Pertains to increased cost
The Town Board will hold a public hearing on Monday, June 24 at 7 p.m., at Town Hall, on the topic of proposed repair work and modernization improvements to the Fort Montgomery Sewer Improvement Area.
The hearing is being held because the cost of the project has risen about $610,000 since its inception, Attorney Justin Rider said, bringing the total cost from $2.8 million to $3.4 million.
When the Town Board opened bids on the project in March, the bids were higher than expected, he said. The town began the process of planning the project in April 2016.
Rider said the additional cost for the project has qualified for funding via the state’s Environmental Facilities Corporation, although they do not know at what interest rate yet. $700,000 of the project’s cost will be paid for by a state grant; some of the costs will be funded at zero percent interest, and the remainder will be funded at an interest rate somewhere between two and four percent.
Prior to the additional funding, costs to Sewer Improvement Area residents were expected to average $420 annually. With the increased project expense, the average will be anywhere from $458 to $506 annually, depending on the interest rate.
It was noted that the low bidders on the project are holding their bids until August to give the town the time it needs to deal with the increased expenditures.