The Springfield City Commission on July 29 authorized city staff to apply for a Water Supply Revolving Loan Account loan from the Ohio EPA and Ohio Water Development Authority to finance the city's 2025 East High Street water-service replacement project and voted to award the construction contract to Majors Enterprises Inc.

The loan application item, approved as an emergency to meet an Aug. 1 application deadline, covers an estimated project cost of $1,027,400. City staff told the commission that approximately 51% of the project is expected to qualify for principal forgiveness through the state program; 45% would be financed at 0% interest and roughly 4% (about $40,000) would carry a standard interest rate to cover items such as bond and insurance costs.

City staff said the project will replace lead service lines at approximately 96 locations along East High Street in advance of a planned Ohio Department of Transportation urban repaving project. "If we don't do this work, we would then be subject that we'd have to go back in after a road was paved and tear up a brand new roadway that the state has paid for," a staff speaker said during the meeting.

The Commission also approved a contract with Majors Enterprises Inc. for an amount not to exceed $921,523, plus a contingency included in the overall estimated project cost. Staff said Majors was the low, responsive bidder among three contractors and that financing through the state program will be paid from water and sewer user charges rather than the city's general fund.

Actions taken: The commission voted to authorize the loan application and related approvals to comply with local, state and federal rules, and separately voted to award the construction contract to Majors Enterprises Inc. Both votes passed on roll call with all members voting yes.

Why it matters: Replacing lead service lines improves water quality and removes the need to later break newly repaved road surfaces. The state's principal-forgiveness program substantially lowers the city's borrowing cost and reduces ratepayer impacts.

Next steps: Staff will submit the loan application by the Aug. 1 deadline for consideration at the Ohio EPA/OWDA meeting. If approved, the city will proceed with contracting, permitting and scheduling the replacements ahead of the expected ODOT paving work in 2027 or thereafter.

Ending: City officials said the project will not be paid for from income-tax revenue but from water and sewer charges; commissioners approved the emergency ordinances to keep the project on the state schedule.