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Commissioners Say Regional-Sewer Project Faces Rising Costs and Funding Uncertainty
Summary
County officials updated the board on the regional sewer study and said construction estimates have risen sharply since 2022; funding through state revolving funds appears less generous this year, and the county will weigh costs against other priorities.
DuBois County commissioners received an update on the proposed regional sewer project serving portions of the county and nearby towns and were told early construction estimates have roughly doubled since 2022, increasing the project’s fiscal and operational complexity.
The county has been coordinating with the city of Jasper and consultant Clark Dietz on engineering and with Baker Tilly on financial modeling. Commissioners said the newest construction-cost estimates are markedly higher than those provided in 2022; that gap has pushed the county to re-evaluate how to finance the work and how large end-user bills would be for connected households.
Why this matters: The proposed system aims to address elevated E. coli levels, small lot sizes, failing septic systems and public-health concerns in parts of the county. But commissioners said higher up-front construction costs would translate into higher monthly user charges and more county subsidy if the county borrows to lower customer rates.
Funding outlook: Commissioners said fewer large grants appear to be available this funding cycle from the State Revolving Fund (SRF) and similar programs. County staff are awaiting SRF decisions expected later this month; outcomes will shape whether the project can proceed with a workable user rate or whether costs would be prohibitively high for typical households.
Board view and next steps: Commissioners said they have not abandoned the project given its public-health rationale, but they also must weigh the sewer system’s benefits against other county needs. The county’s next steps include continued coordination with Jasper, further financial modeling, and awaiting SRF allocation decisions. If the SRF or other grant opportunities do not provide substantial subsidization, commissioners said the county will need to decide whether to proceed, reduce scope or pursue alternative approaches.
What to watch: SRF funding decisions later this month and updated financial scenarios from Baker Tilly and Clark Dietz will determine whether the proposed system is financially feasible for residents and the county in 2025–26.
