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HomeMy WebLinkAboutCOM 0052.000 2012-2014 c.P '�, • Nancy E.Crawford William P. Kenoi • - ���%s,• Director t.,. Mayor • .�\ �r�t -.Tar Deanna S. Sako •r;T c,qr Deputy Director County of Hawaii Finance Department 25 Aupuni Street,Suite 2103 • Hilo,Hawai`i 96720 (808)961-8234 • Fax(808)961-8569 December 21, 2012 J Yoshimoto, Council Chair and c,? Members of the Hawai`i County Council Hawai`i County Council �t 25 Aupuni Street Hilo, Hawai`i 96720 Re: Capital Budget The State Department of Health has indicated that funding through the State Water Pollution Control Revolving Fund Loan Program is available for the Kealakehe Wastewater Treatment Plant (WWTP) Aeration Upgrade and Sludge Removal project. This project was previously appropriated as a project funded by County general obligation bonds. This request is to appropriate State Revolving Loan Funds for this project in order to take advantage of the lower interest rates provided by this program. Enclosed is a bill for an ordinance to add the project titled "Kealakehe WWTP Aeration Upgrade and Sludge Removal", and appropriating $12,000,000 to the Capital Budget. If there are any questions, please do not hesitate to call Lyle Hirota of the Department of Environmental Management at 961-8333. Itk-7F6±L Nancy Crawford Director of Finance Enc. cc: Environmental Management ett 11 13) Comm. No. Ref.To: PC- Ref. Date DEC 2 4 2012 Hawaii County is an Equal Opportunity Provider and Employer Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Dept of Environmental Management DATE: 12/15/12 STAFF CONTACT: Lyle Hirota PHONE: 961-8333 A. REQUEST: Request to amend Ordinance 12-87, Capital Improvement Budget, to include an appropriation for the following project: Kealakehe Wastewater Treatment Plant Aeration Upgrade and Sludge Removal — $12,000,000 from State Revolving Fund B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The State Department of Health has indicated that funding through the State Water Pollution Control Revolving Fund Loan Program is available for the Kealakehe Wastewater Treatment Plant Aeration Upgrade and Sludge Removal project. This project was previously appropriated as a project to be funded by County general obligation bonds. This request is to appropriate State Revolving Loan Funds for this project in order to take advantage of the lower interest rates provided by this program. In order to serve the growing population of West Hawai'i, the Kealakehe Wastewater Treatment Plant Aeration Upgrade is necessary to restore the plant's treatment capacity to original design capacity, comply with an existing DOH variance which allows discharge of total suspended solids above the original discharge concentration of 30 mg/I due to the presence of algae in the treatment lagoons, facilitate future upgrades of the facility to provide R-1 reuse water, and to reduce electricity costs at the facility. Sludge removal at the plant is also required to maintain and upgrade the plant capacity and allow for the successful implementation and performance of the aeration system upgrade. The design for this project is at 95 percent completion and the construction is expected to begin in the second quarter of 2013. A Project Data/Financial Impact Statement is attached. 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