Afton Town Administrator Violet Sanderson has announced that the town is progressing with a crucial project to enhance its water infrastructure. This initiative aims to replace and upgrade the water line along South Highway 89, with the expectation of improving fire flows and overall capacity for local businesses.

As part of this effort, Afton will submit a loan application for approximately $2,047,000 in drinking water State Revolving Fund (SRF) financing to the State Loan and Investment Board (SLIB) in February. Sanderson emphasized the importance of public input, noting that this project involves a loan rather than a grant, which will affect future water rates.

RELATED: RADIO INTERVIEW WITH VIOLET SANDERSON AFTON TOWN ADMINISTRATOR –

“This project has been on our radar for the last five to ten years,” Sanderson stated. “This will help with increasing fire flows and capacities to the south side of town, as well as dealing with some old steel line that we have that’s now serving about 20 businesses on Main Street down there.”

A significant aspect of this funding application is the potential for about 45% in principal forgiveness, which could save the town nearly $1 million in project costs. However, Sanderson mentioned that even with this forgivable amount, the town will still face an annual debt service payment of approximately $60,000, necessitating adjustments to water rates.

To address this financial responsibility, the Afton utility board has proposed a rate change. If approved, residents with three-quarter to one-inch water line sizes will see an increase of $4.50 in their monthly bills, resulting in about a $56 annual difference.

The town council discussed the proposed resolution during Tuesday night’s Afton Town Council meeting, which occurred after the press deadline. The resolution can be found in our online story on our website.

“We always have the opportunity to figure out if we can save money. If we can do it a little bit cheaper, if we can do it in a more efficient way, we as the Town of Afton always strive to do that,” Sanderson explained. The proposed rates, however, will not be implemented until July 2026, pending the receipt of the loan funding.

If the resolution was passed at the Town Council meeting, the next step will be to seek approval from the SLIB board in February. After that meeting, they will find out if they’ve been approved for the loan, and the proposed rate structure will only take effect if the loan is approved.