The Salem City Council has agreed to seek up to a $2-million low interest EPA loan to pay engineering costs for a sewer project the city is seeking grant money to complete.
Public Works Director Travis Sanders says the amount needed for engineering will be just a fraction of the loan request giving the city some flexibility.
The city was turned down for the construction grant last year but will seek the grant again this year in hopes of getting it approved to complete the project. It includes relining existing sewer lines on the southeast side of town south of US 50 between South Broadway and Marion Streets. The lining of the sewer mains is being proposed to avoid digging up the existing sewer lines. The overall cost of the project is estimated at between $1 million and $1.5 million dollars.
Sanders says it is likely the low interest loan for the engineering part of the project will eventually have 35% of the amount turned into a grant.
