Gardiner Sanitary District seeks
one-stop funding solution in Salem
May 22, 2013
The Gardiner Sanitary District is going to try again for funding to allow it to uncouple from the Reedsport sewer system and utilize facilities at the former International Paper site, north of Gardiner.
The district’s board learned it would participate in a “one-stop” meeting in Salem on June 11.
J. Garrett Pallo, of Civil West Engineering Services, is a contractor working with the district.
“The one-stop meeting is something the state of Oregon does to help agencies get the story straight, as far as funding, in one simple meeting,” Pallo said after the sanitary board meeting. “All of the funding agencies that could potentially fund the project come to the meeting, they listen to your needs and then they make an offer, if they can, for a funding package.”
Pallo suggested three options, two involving federal block grants the district would not be eligible for without Douglas County backing.
“The county is the only agency that could be that sponsor.
“They’re either going to have the block grant to go south,” Pallo explained, “or, they’re going to have the block grant to go north or they’re going to go north without the block grant.”
It’s possible the district could be eligible for $2 million in loans and/or grants.
Representatives of the DEQ, United States Department of Agriculture Rural Development and IFA, the Infrastructure Finance Authority, are expected to be at the June 11 meeting. The IFA is the state agency for funding.
Gardiner has been in negotiations with the city of Reedsport regarding fees and payments for sewer service and debt repayment for the construction of Reedsport wastewater treatment facility. The two sides disagree on how much is owed. Gardiner, in those discussion, claims the city owes them. That years-long dispute has Gardiner looking at other options.
Pallo said he fully expects the district to come away from the June 11 meeting with some funding.
“It’s just going to be which option produces the lowest cost for residents,” Pallo said.
The complicated issue involves possible replacement of the pipe in the Umpqua River that carries effluent to the Reedsport treatment facility, which will need to be done, if the district chooses to remain with Reedsport.
Replacement of the pipe may mean tunneling deep beneath the riverbed.
Gardiner also serves Bolon Island and the American Bridge facility.
On hand at the district’s May 16 meeting, Keith Andersen, the western region administrator for Oregon’s Department of Environmental Quality, said he was pleased to see Gardiner take a positive step.
“If going north is the economical way to go, then that’s great,” Andersen told the board, “You guys are going to go the one stop and present several options, I think that’s a fantastic approach.”
Andersen made clear to the board that it should decide on an option that best serves the district’s ratepayers and gives them adequate service.
“It’s going to be important to select the least-cost option,” he said. “I’m really encouraged to hear everybody here is looking out for the citizens of the district.
“The other concern, that I think that we do have,” he continued, “is that, whatever option you choose, is practically implementable.”
Andersen said the DEQ plans to meet with the district after it’s one-stop meeting.
“What we’d like to do is get with you and come up with a new schedule to modify the MAO,” he said.
MAO is a mutual agreement and order for the operations of the district, currently involving Reedsport and the underwater pipe.
“I have to admit that one of the things, and I’m sure you guys a nervous about it, too, is that pipeline has always seemed like it’s very tenuous,” Andersen said.
