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Midstate water projects receive state loans, grants

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Pennsylvania American Water will be using a $5.35 million low-interest loan from the Pennsylvania Infrastructure Investment Authority to extend water lines in a York County township.

The project to connect 350 households in Fairview Township using 6.4 miles of waterline extensions is one of 14 projects to which the authority, also known as PENNVEST, is providing funding worth $81.5 million.

Of that money, $66.5 million is for low-interest loans and $15 million is offered as grants, according to a news release from Gov. Tom Corbett’s office.

The awards range from a $100,000 grant to eliminate nutrient run-off from a farm in Cambria County aimed at reducing Chesapeake Bay pollution to a $13.7 million loan to Northumberland in Northumberland County to eliminate discharges of raw sewage into the Susquehanna River that occur during heavy rains, according to the release.

The terms for the York County project are 1.356 percent interest for the first five years and 1.985 percent for the balance of the 20-year loan, according to a news release from Pennsylvania American Water. The homes are being connected to public water because a number of wells in the township have been contaminated by malfunctioning on-lot septic systems. Construction will begin this fall, and the company expects to complete the project by the end of 2015.

Other local projects include:

• Joseph Smucker of Lancaster County received a $208,842 grant to construct manure storage facilities, a composting facility, grassed waterways, animal trails and other improvements to eliminate nutrient runoff into Little Conestoga Creek and, eventually, the bay.

• Strasburg Township, Lancaster County, received a $1.4 million loan and a $1.6 million grant to construct almost two miles of sewage collection lines and a small sewage treatment facility to serve homes that have no centralized service and whose malfunctioning on-lot septic systems are contaminating local drinking-water wells.

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