NEW SHARON — The New Sharon Water District will hold a public meeting Tuesday, July 12, to discuss a grant/loan application to the United States Department of Agriculture Rural Development for system upgrades.

The meeting is at 3 p.m. at the Town Office.

The board of trustees is seeking $125,000 in federal funding in a combination grant/loan, Forrest Bonney, chairman of the board, said.

It will likely be 45 percent grant, he said. The nonprofit Maine Rural Water Association is conducting an income survey, and if it shows incomes of residents are below state average, more funding could be available, he said.

There is also the possibility of taking on another loan from the state’s revolving loan fund.

The small water company of about 92 customers has been losing money, he said. That has meant being unable to make necessary upgrades.

A rate increase of 42 percent was sought last fall but customers opposed it. A smaller increase of 20 percent was also opposed twice in December.

The Public Utilities Commission approved a 21 percent increase, which amounts to a customer charge of $33.44 per month, he said.

The increase was smaller than hoped for and may limit the amount of money that can be borrowed, he said.

The amount is expected to produce an extra $6,000 a year. But, the funds are basically to help the water district get out of operating in the red, he said.

The district also wants to find and fix leaks in the aging system. Some customer meters are also not working and should be replaced. 

Residents are encouraged to attend the meeting.

abryant@sunmediagroup.net

Copy the Story Link