That is what was decided when the Lake Barkley Water Board met Monday afternoon at the LBW central office. To pay for both phases of the project, the district is taking out a $5,439,000 rural development loan from the U.S. Department of Agriculture, as well as a $1,354,700 USDA rural development grant, a $1 million Kentucky infrastructure grant and a $240,600 Environmental Protection Agency grant, said Terry Goins, general manager of the Lake Barkley Water District.
To pay back the loan, there will be a rate increase from $17.22 to $19.38 per month for the first 2,000 gallons used for the water district’s 5,100 customers, Goins said.
The first phase, which will likely begin this October, involves upgrades and renovations to the Lake Barkley Water Treatment Plant, including an increase of the plant capacity from 2 million gallons to 4 million gallons per day, Goins said.
The rate increase had been scheduled for July but now might not take effect until September, Goins added. Louis Robbins of GRW, the engineering firm the district has already chosen for the improvement project, said another rate increase, possibly a 10 percent increase, might be required in 2013 or 2014. However, it’s possible that no rate increase will be necessary at that point, Goins said.
Also discussed at the meeting was water loss. Goins said there are 842 homes that are customers in the water district that used no water, adding that testing the water meters at those homes, though a potentially lengthy process, is one of the primary ways the district will be using to solve this problem.