Paris, Tenn.—Meeting in regular session Tuesday morning, the Paris Board of Public Utilities approved submittal of a loan resolution to the Paris City Commission for its approval.
BPU General Manager Terry Wimberley said the USDA Rural Development loan will fund Phase 2 of construction of the water treatment facility. Wimberley said the design has been complete for a few months, but bidding and construction has been on hold while funding was secured.
Initially, BPU sought State Revolving Fund loan funding, but it had become arduous, Wimberley said. “In the midst of numerous SRF funding delays, the USDA funding opportunity came available to us and will provide positive financial results for the water department.”
The loan amount is $7.2M, with an interest rate of 2.375 percent and repayment terms over 40 years.
The original SRF funding plan was for a $7.5M loan, 1.25 percent interest rate and 20 year repayment.
Annual savings with the USDA funding path will be $130,000, Wimberley said. “This is a very positive funding opportunity for us,” Wimberley said.
The resolution will be presented to the Paris City Commission at its August 2 meeting.
In other business:
–The board approved a business insurance package with the Tennessee Municipal League.
–The board approved purchase of a new bucket truck to replace an existing unit. Price is $141,875. Wimberley noted the purchase is already budgeted.
–The board authorized BPU to participate in the TML Rick Management Pool “Safety Partners” matching grant program for $2,000.
Photo: Board members listen as BPU General Manager Terry Wimberley presents reports. (Shannon McFarlin photo).
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