FEBRUARY 11, 2010 ISSUE
Blowing Rock Receives $2.2M in Stimulus Funds for Water Interconnection
State officials announced February 3 that the Town of Blowing Rock was the recipient of $2.2 million in funding from the American Recovery and Reinvestment Act (ARRA), better known as the federal economic stimulus package. The funding will be used to build a 4.9-mile, 12-inch waterline connecting the water systems of Blowing Rock and the Town of Boone.
The Blowing Rock Town Council approved a capital project ordinance for the interconnection project at its monthly meeting February 9.
“Now we have final numbers,” Town Manager Scott Hildebran said at the meeting.
The new projected cost of the project is less than the original estimate of $4 million. In November 2009, the council voted to award a contract for the construction of the waterline to Ronny Turner Construction of Hickory for $2,998,196, with a $149,910 contingency. The total projected cost of the project, including engineering fees, permits, easements and legal costs, is $3.6 million.
The $2.2 million in ARRA funding will be applied to a $2.2 million loan to Blowing Rock from the N.C. Department of Environment and Natural Resources. The loan was originally to have a 20-year term with 2.5 percent interest. About $1.1 million of the ARRA money will be used to forgive half of the debt on the loan; the other $1.1 million will be in the form of a loan with zero interest.
Blowing Rock will ultimately save about $1.6 million thanks to the stimulus funding—that’s partly because other government grants awarded to the project were slightly reduced after the announcement of the federal stimulus allocation.
A $500,000 grant to Watauga County from the N.C. Rural Center for the project was reduced to $445,515, a $1 million grant the Town of Boone received from the Rural Center was reduced to $891,025 and a $300,000 grant to Blowing Rock from the Appalachian Regional Commission was reduced to $267,310.
Council members praised the efforts of Hildebran; state legislators Cullie Tarleton and Steve Goss; McGill Associates, the town’s engineering firm; and other staff in successfully securing the federal stimulus funding.
Hildebran said recently that the construction of the line has been delayed by this winter’s weather, but the tentative start date is March 1. The water interconnection line is planned for emergency purposes only; no water extensions from the line will be permitted.
Community Interest
News & Notes
Events
Arts & Entertainment
