Monday, November 7, 2011

$990,000 Estimated Price Tag for Sheridan Water Project

The Sheridan City Council learned that it would cost around $990,000 total, including all of the administrative costs, to overhaul its water system. The old water system was put in around 1950 at a cost of around $50,000 and has lasted 60 years. However, the alternative for the city is to keep on as it is with the recurring mechanical problems that the aging water facility is facing.
The council paid its $2,350 share of the preliminary Engineering Report conducted by Snyder, which included a map of the waterways and an overview of the project. Work is nearly complete on the report subject to council approval. The estimated $1.225 million includes the $101,000 that the city would have to pay in order to complete the emergency hookup with the Rural Water District west of town. Also, the city would need to raise its water rates to $33.93 per 5000 gallons and would have to raise its 2000 gallon rate as well; in what amounts to a backdoor tax increase, the city must raise the rates in order to meet obligations incurred in the water line project. The price tag also includes basic equipment such as needed fire hydrants and water meters.
The price tag also included a demolition of the present water plant; however, it was the consensus of the Sheridan City Council that the city keep the plant operational for as long as possible. The $990,000 figure does not include administrative costs such as audits, contingencies, and other such things. One possibility would be a bond issue; the city would then take out a bridge loan until the USDA sold the city’s bonds if the city were to pass one.
Instead of the present water mains, the city would have 6” mains for the most part to accommodate the fire hydrants. The city would need to build a savings fund in order to meet any unexpected expenses. The report includes a map of the new water lines as well as possible sewer lines if the city decides to upgrade its sewer system after the water project is finished.
The tower would not be raised or lowered and the USDA would likely not pay for water meters unless it is for existing customers. Pressure would be much better than before, which would lead to fewer breaks; main breaks and boil orders have been a recurring problem over the last few years.
Under the plan, there would be more fire hydrants placed around town. That would lower homeowners insurance rates since more people would be living next to one. If there were a break, the plan would allow Sheridan to fix it without shutting down the whole water system, which is a recurring problem with the present system.
Problems continued to plague the present system. Water Superintendent David Parman reported that a valve near MFA would not shut off and that he had to put in a new one. A fire hydrant near Charlie Haun’s was removed; if it hadn’t, Parman said it would have wreaked havoc on the system during winter by spraying water all over the place. Another time, the pumps to the wells would not kick on; Parman reported that he and John Stephenson fixed it. However, it broke down again; luckily, Parman was able to find Charles Warner, who was able to find the problem and create a temporary fix until he could order new parts. The breaker had broken and had worn clear out. Stanley Hensley’s cold water was plugging up; the city will call Tracy Constant.
The city has been filling potholes in the streets.
The council voted to take a step towards meeting requirements for the water project by raising water rates by $1 per gallon effective January 1st, 2012.
Mayor Leland Wake said that the city was in no hurry to get the project completed and that it could take as long as 2-3 years for the project to be completed.

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