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TO: Mayor Richard C. Irvin
FROM: John Hoffmann, P.E. Engineering Coordinator
DATE: August 29, 2024
SUBJECT:
The City has previously applied for a 100% principal forgiveness loan from the Illinois Environmental Protection Agency to fund the upcoming "Lead Service Line Replacement" project. The attached debt ordinance must be adopted by the City for the IEPA to finalize the forgivable loan.
PURPOSE:
The attached ordinance outlines the requested $3,027,000.00 amount of the forgivable loan. The City of Aurora qualifies for principal forgiveness for lead service line replacement and for FY2025 the maximum forgiveness amount is $3,027,000.00. The proposed 2024 budget shows the partial loan amount for construction of this service replacement project; the City intends to front fund the construction and seek reimbursement at the same time as payments are made to the contractor. Processing contractor payments significantly quicker in this manner in lieu of waiting for the receipt of loan funds makes the project more attractive to contractors and will most likely result in lower bids.
BACKGROUND:
The State of Illinois passed Public Act 102-0613 in August 2021 titled the Lead Service Line Replacement and Notification Act requiring full replacement of lead water service lines when disturbed. The City of Aurora has an estimated 17,200 lead water services connected to the public water system. The Lead Service Line Replacement Project will include the full replacement of the lead service from the water main to the water meter in the house or the completion of previous partial lead water services to eliminate all sections of lead between the main and meter.
The service replacements per the funding approval must occur in Census Tracts 8542.00, 8529.04 and 8532.00. Please see the attached Exhibit A representing these 3 Census Tracts. Please see Exhibit B for the submitted Illinois Environmental Protection Agency's Funding Nomination Form for Public Water Supply Loa...
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