Jackson City Hall on Wednesday, March 23, 2022. Meg Potter | MLive.com
JACKSON, MI – A state loan will help renovate Jackson’s 85-year-old wastewater treatment plant.
At its Tuesday, Aug. 9 meeting, the Jackson City Council unanimously approved a $10.2-million contract with Spence Brothers of Saginaw for improvements to the plant. The funds are coming from a loan from the state of Michigan’s Clean Water State Revolving Fund, according to a city council memo.
The CWSRF is a low- interest loan financing program with possible principal forgiveness that assists qualified municipalities with construction and improvements to wastewater infrastructure. Jackson’s loan has a principal forgiveness of 20 percent, according to a memo to city council.
The wastewater treatment plant was built in 1937. Most equipment due for upgrades was installed in the 1970s and is beyond its useful life, officials said. The plant services the city and parts of Blackman, Napoleon, Spring Arbor, Sandstone and Summit townships, as well as Rives Junction.
Improvements to the wastewater treatment plant have been an ongoing discussion for city council. In May 2021, the council adopted the resolution for consulting firm Fishbeck to prepare the project plan as part of the city’s CWSRF loan application.
Related: Officials to apply for state loan to fund upgrades at Jackson wastewater treatment plant
Council agreed last year to apply for a $6.44-million loan, but did not receive it as the state decided to grant funds to another community, City Spokesman Aaron Dimick said. This year, the council agreed in June to apply again, this time for $10.2 million loan, which was approved in August, Dimick said.
The city expects to receive the loan funds in mid-September, so work can begin sometime in spring 2023, Dimick said.
“Projects are often planned for several years, and costs fluctuate based on labor/supply availability and project demands,” Dimick said. “However, costs and overall plans are more concrete once project planning is complete and a contractor to do the work is selected.”
Officials want to optimize existing facilities. Improvements include the rehabilitation of the primary clarifiers and replacement of sludge pumping, aeration blower and electrical unit substation equipment.
The loan, however, is not expected to lower water or sewer rates for residents, Dimick said, because current water-rate revenue is sufficient to cover the long-term cost of the project. The council unanimously approved a 12% water rate increase in May 2021, which also included a 4% increase in sewer rates.
Related: Jackson residents will see water rates rise by 12% annually over the next 2 years
At the Aug. 9 meeting, the council also unanimously approved a $1.1-million contract to Blastek, LLC of Middleville for the recoating of four clarifiers and replacement of deteriorating steel beams in these clarifiers.
This money is coming from the city’s American Rescue Plan Act funds and work will take place this fall, Dimick said.
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