Stimulus funding assisting Louisville

MASSENA — Increasing the scope of their proposed water project has helped Louisville town officials score a bigger slice of federal stimulus money, driving down the cost to households from $600 to $548 per year.

The $10.35 million water project is scheduled to be the subject of a public hearing at 7 p.m. Feb. 24 at the Louisville Fire Station.

Engineer Timothy A. Burley of Burley-Guminiak & Associates shared with the town board Wednesday night a new offer from the U.S. Department of Agriculture's Rural Development office.

He said the addition of about 15 houses along Whalen and Patterson roads did increase the total cost of the project from the $9.28 million estimate received in October to $10.35 million.

However, including the additional homes and cooperating with the town of Norfolk to include a cluster of 70 parcels there helped the town earn a fatter grant offer.

The original proposal made by USDA was $5.26 million, or 56 percent of the projected cost. That amount has been increased to $6.79 million, or 65 percent of the project cost, according to a Feb. 8 offer from the agency.

According to the most recent proposal, the USDA would supply a $6.79 million grant for the water project, plus a $3.55 million low-interest loan, which would be paid back over 38 years at an estimated 2.5 percent interest rate. The town would be expected to contribute $10,000.

"You're not going to see an offer better than that," Mr. Burley said.

The town's next step will be to create Water District 3, which will require approval from a majority of the residents and business owners whose parcels would be included in the district, and to complete the state environmental quality review process. The creation of the new water district will be the subject of the Feb. 24 public hearing, which will be followed by a brief town meeting on the SEQR.