The city of Johnstown has acquired a low-interest loan to pay for a sewer improvement project in the Roxbury neighborhood.
Earlier this week, officials learned they will receive $10.9 million in Pennsylvania Infrastructure and Investment Authority funds. The money will be used for development of a sewage collection system to catch stormwater overflow before it reaches the Stonycreek River.
“On one hand, we’ve secured sizable, low-interest funding for our needs, and better yet, we’re helping keep the Stonycreek clean and nearby residents safe,” said state Rep. Bryan Barbin, D-Johnstown. “This really is a win-win for Johnstown.”
Johnstown pursued PennVEST money, instead of a bond, because it could get money from the state at only a 1 percent interest rate.
“It will save the taxpayers of Johnstown a considerable amount of money,” said City Manager Kristen Denne.
A new collection system is expected to reduce energy demands on the Dornick Point Wastewater Treatment Plant.
The project will directly affect about 8,000 residents. Work is scheduled to begin in November and take approximately one year to complete. No user rate increases are expected.
Elsewhere in Cambria County, the Cresson Township Municipal Authority has been awarded $1.3 million in state loans to be used for building a 295,000-gallon water storage tank and pump station, along with installing 2,819 linear feet of water line and improving systemwide monitoring.
“These projects are critical to the safety of our citizens and the efficiency of our water and sewer systems,” said state Sen. John Wozniak, D-Westmont.
“They also add a small boost to economic development and job creation in the area.”
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