by justin strawser
MOUNT CARMEL - The Mount Carmel Municipal Authority approved a loan to fund the last phase of its storm water separation project Wednesday night at a special meeting.
The authority was approved for a 1.46 percent rate loan from PNC Bank over three years. The loan will pay the contractor for the work, at which time PENVNEST will reimburse them for the money.
PENNVEST announced today they are handing out $84 million of state money in low-interest loans and grants to help pay for drinking water and sewage projects.
Daryl S. Peck, principal of Concord Public Finance, and Joseph K. Pierce, attorney for Eckert Seamans, were at the meeting to provide the authority with information.
The $1.5 million portion of the project would be the fourth and final phase, which will separate storm water from sewer in the east end of Mount Carmel.
The total cost of the project, which included similar construction in the rest of the borough and Mount Carmel Township and the new wastewater treatment plant, totals approximately $20 million.
The authority accepted the bank proposal on a 4-1 vote. Following this vote, they also approved the resolution with the bank proposal.
Authority members Glen Wetzel and Larry Czeponis made and seconded the motion to accept the resolution. It passed 4-1 with member Joseph Swatski voting against it.
In order to continue with the project and loan, Mount Carmel Borough Council must approve the authority's decision. The council meets Oct. 17.
Furmano Foods in Northumberland will also receive $9 million from PENNVEST for its waste water treatment facility.