In a recent government meeting, city officials discussed the urgent need to address lead service lines and the potential funding options available for their replacement. The city anticipates needing to pothole approximately 300 service lines over the next decade to comply with new regulations. The estimated cost for potholing is around $700 per service line, which officials believe can be managed internally with existing staff and equipment.
A significant focus of the meeting was on the implications of the Lead and Copper Rule Improvement (LCRI) that is expected to be adopted. This rule mandates the replacement of lead and galvanized service lines within ten years, with funding options including a State Revolving Fund (SRF) loan program. Under this program, 60% of the costs would be forgiven, while the remaining 40% would incur a low interest rate of 1.5%. However, the city would be responsible for repaying the loan, and costs cannot be passed on to individual property owners.
Officials debated the merits of having the city absorb the costs versus placing the financial burden on homeowners. Some council members expressed a collective responsibility to address the health risks associated with lead in drinking water, suggesting that the city should cover the costs to expedite the replacement process. They noted that utilizing the SRF loan could significantly speed up the replacement timeline, potentially reducing it from ten years to as little as three years.
The estimated total cost for replacing over 100 service lines is approximately $2.6 million, with the city expected to pay around $1.2 million after accounting for the loan forgiveness. The council emphasized the importance of swift action, given the health concerns related to lead exposure, and leaned towards pursuing the loan option to facilitate a faster resolution.
As discussions continue, city officials are tasked with determining the best approach to ensure compliance with the new regulations while safeguarding public health and managing financial implications for residents.