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Published August 23, 2008 05:07 pm - SENECA, Mo. — Seneca officials want Milnot to cover part of the cost of a new sewer plant. Residents will be asked to approve a proposal in November allowing the city to assume up to $4.2 million in debt to build a new mechanical sewer plant.
Seneca asks Milnot to share cost of sewer plant
By Derek Spellman
dspellman@joplinglobe.com
SENECA, Mo. — Seneca officials want Milnot to cover part of the cost of a new sewer plant.
Residents will be asked to approve a proposal in November allowing the city to assume up to $4.2 million in debt to build a new mechanical sewer plant.
The Seneca City Council earlier this month voted to place the issue on the ballot. Proceeds from the bonds the city would issue for the work would be coupled with a $2 million state grant for which the city has already been approved.
Seneca Mayor Gary Roark said the city’s existing lagoon treatment system will not comply with Oklahoma’s environmental standards by late 2011 — when the city’s wastewater permit with the Oklahoma Department of Environmental Quality expires. The lagoon is on the Oklahoma side of the border.
“We don’t have a choice,” Roark said. “We have got to put this system in.”
Seneca officials say voter approval would enable the city to participate in the state’s revolving loan fund, which offers lower interest rates.
Milnot’s role
The city also has asked Milnot, which operates a plant in Seneca, if it would share some of the capital costs since the company’s plant produces about 70 percent of the sewage the city treats. Roark said the city asked the company if it would be willing to contribute up to $2.8 million toward the new plant.
Roark said the incentive to Milnot, which he called a “big part of Seneca,” is that contributions toward construction would mean lower rate increases. Also, the plant now must pre-treat its sewage before discharging it into the city system. With the new operation, the city would assume that responsibility.
Roark said the city is awaiting a response from Milnot.
If the company declines, Roark said Milnot would face larger rate increases to pay for its share of city treatment.
“We can’t expect the residents to pay the cost of the commercial use,” he said.
A phone message left for the Milnot plant manager in Seneca was not returned.
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