Beatrice Board of Public Works supports water loan amendment
BEATRICE – The Beatrice Board of Public Works has recommended approval of an amendment to a state interest-free loan that assisted major downtown water main work.
The cost of the work came in about one-million dollars higher than expected, due to the need to replace several water meters while the work was going on.
BPW Manager Tobias Tempelmeyer says the amendment would add a slight interest cost to the overall loan from the state, which was for more than seven-million dollars. He says the State of Nebraska has agreed to the amendment.
"It would also be a 30-year loan. That one million dollars would carry an interest rate of one-percent...so they've kind of blended everything together, so your blended interest rate on the entire loan amount would be point-zero-seven percent...on everything over the thirty years."
The construction cost of the downtown water main project was roughly $6.25 million dollars. The state loan also provided funding for construction of a water transmission line from the city’s wellfields northwest of Beatrice, along with electrical generating improvements at a city underground reservoir pump station, at 4th and Grant.
Tempelmeyer says the additional cost came from replacing 86 meters during the water main construction work. That was far more than the 10 originally planned, City officials opted to make the replacements now, rather than having to do that later.
The recommendation by the BPW now goes to the Beatrice City Council, for action. The council recently approved the one-million dollar change order adding to the payment to Myers Construction, which performed the water main work.