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Mitchell to receive $1.3M in additional loans for water projects

PIERRE -- Gov. Kristi Noem says the state Board of Water and Natural Resources has approved an additional $1,295,750 to the funding package for Mitchell to make storm water, sanitary sewer and drinking water system improvements on Sanborn Bouleva...

Mitchell City Hall. (Republic file photo)
Mitchell City Hall. (Republic file photo)

PIERRE - Gov. Kristi Noem says the state Board of Water and Natural Resources has approved an additional $1,295,750 to the funding package for Mitchell to make storm water, sanitary sewer and drinking water system improvements on Sanborn Boulevard and for nonpoint source projects in the Firesteel Creek watershed upstream of Lake Mitchell.

The board previously awarded $8,345,000 for these projects in September 2018. The original funding package included an $821,000 Drinking Water State Revolving Fund loan and a $7,524,000 Clean Water State Revolving Fund loan.

The new award includes an additional $207,000 loan from the Drinking Water State Revolving Fund program and a $1,088,750 loan from the Clean Water State Revolving Fund program.

The funds will be administered through the Department of Environment and Natural Resources.

The additional funds are needed to fully fund the project due to higher than estimated bids being received by the city. The project involves infrastructure upgrades and road resurfacing on Sanborn Boulevard between 1st and 15th Avenues.

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• Drinking water system upgrades include replacement of existing cast iron water main with 3,176 linear feet of 6- to 14-inch PVC water main and 14 service connections.

• Wastewater upgrades include replacement of old existing vitrified clay sanitary sewer with 3,295 linear feet of 8- and 10-inch PVC sanitary sewer main, 13 manholes and 46 service connections.

• Stormwater upgrades include the replacement of existing vitrified clay storm sewer with 5,145 linear feet of 10- to 48-inch PVC and reinforced concrete storm sewer pipe, 39 inlets, and 16 manholes.

• The storm sewer upgrades will improve drainage throughout the area and help alleviate flooding at the intersection of 9th Avenue and Sanborn Boulevard.

The nonpoint source funding component provides $780,750 for the installation of nonpoint source best management practices in the Firesteel Creek watershed basin to improve water quality in the creek and Lake Mitchell. Nonpoint source projects may include stream stabilization, grazing management, agricultural waste management and vegetative buffers.

The estimated cost of the projects totals $9,805,150. These additional loan funds, along with the previous loan packages, will cover the costs. Loan terms are 1.25 percent for 20 years for the Clean Water State Revolving Fund loan, and 2.25 percent for 20 years for the Drinking Water State Revolving Fund loan.

The State of South Dakota and the U.S. Environmental Protection Agency fund the Drinking Water State Revolving Fund Program, which provides low-interest loans for public drinking water system projects.

The State of South Dakota and the U.S. Environmental Protection Agency fund the Clean Water State Revolving Fund Program, which provides low-interest loans for wastewater, storm water, water conservation, and nonpoint source projects.

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“Why would we create new major programs, when we can’t even fund the programs that we have?” a public education lobbyist said in opposition to Noem's three-year, $15 million proposal.
"If we show we are complacent with areas like this that clearly need addressing, we’re not improving as a city,” Mitchell Republic Editor Luke Hagen said during the city council meeting discussion.
Discussion will take place during the 6 p.m. meeting on Monday at City Hall
Lawmakers have said it is likely only one is affordable at this time without cutting programs or adding other taxes or revenue streams