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home : news : news September 03, 2010


9/9/2009 6:02:00 PM
Funding for water tank sought
By LEAH TOLBERT
Staff Reporter

Funding for a new 500,000-gallon water tank off Mississippi 16 west is being pursued by Philadelphia Utilities to increase the water system's reliability while improving the city's fire protection capability.

Philadelphia Utilities and the city hope to secure enough funding within the next six to 12 months to purchase the water tank that would also service the Williamsville area.

"Every effort is under way to make this project happen," John Burt, manager of Philadelphia Utilities, said.

"It would be a tremendous improvement to the city's fire protection capability, the water system's reliability, and would also improve chances of commercial and industrial development for Philadelphia."

Securing the needed funding for the water tank, however, will not be an easy task as there are many factors involved in the process, Burt said.

In April 2005, prior to Hurricane Katrina, Philadelphia Utilities signed

an agreement with the U.S. Army Corps of Engineers Reimbursement Program known as Section 592 which reimburses eligible entities for 75 percent of expenditures made for water/wastewater infrastructure improvements, Burt said.

Philadelphia Utilities began official efforts to obtain federal funds from the Corps on April 1, 2000.

The original plan included two tanks, one in East Philadelphia, and the other in the Williamsville area, Burt said.

At the time, the cost of constructing the two tanks was estimated at $700,000. Now, the cost to construct one is close to $1 million. Because of Hurricane Katrina, the cost to build a water tank in the state has nearly doubled, Burt said.

This is also due in part to the rising price of steel and a lack of engineers, he said.

To complicate matters, construction costs of water/sewer lines and pump stations also increased dramatically. As a result, the remaining funds that can be applied to construction of even one tank are limited, Burt said.

The Corps has agreed to reimburse $270,000 for the project, while Philadelphia Utilities has $200,000 available.

Mayor James A. Young and the Board of Aldermen agreed to apply for a $100,000 Small Municipalities Grant last month on behalf of the Utilities. If that application is successful the project will still be short approximately $430,000.

"Utilities had things under control until the money was cut back," Young said. "We are trying to help them get the funding they need."

Young joined U. S. Army Maj. Cassius McRae on a tour of Philadelphia last month where they looked at water and wastewater infrastructure improvements that were constructed through the U. S. Army Corps of Engineers.

They also discussed future opportunities which may be available through the Corps Section 592 program which could benefit Philadelphia.

"Section 592, administered by the Corps of Engineers, is the best support program I have seen in my 28 years at Philadelphia Utilities," Burt said. "Without it, our customers would have already seen significant increases in their water and sewer bills. We have made improvements to our system that otherwise would have been almost impossible to do."

Through the 2005 agreement with the Corps, Philadelphia Utilities has been reimbursed nearly $2.2 million for the construction of new water lines to improve fire protection and reliability, installation of new wastewater lift stations on Gum Street and Hospital Street, repainting an existing water tank, installation of a new roof on a water reservoir located at the Philadelphia Water Treatment Plant, and installation of a new automated meter reading system for the water system. Also, a $1 million expansion of the wastewater treatment system was constructed, said Burt.

Officials will continue working to determine exactly how to fund construction of one 500,000-gallon elevated storage tank in the Williamsville area, Burt said. The tank for East Philadelphia has been deferred until a later time.

If Philadelphia Utilities receives all the necessary funding, it would take nine months to build a 500,000-gallon tank.

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