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Baltimore Village moves to apply for state water loan as officials weigh new well and line projects
Summary
Finance committee recommended that the village begin a formal application for a Water Supply Revolving Loan while council took up a first reading; officials discussed a proposed new well, waterline projects, tap-fee timing and principal-forgiveness opportunities.
Baltimore Village officials directed staff to begin the application process for a state Water Supply Revolving Fund loan and discussed short‑ and medium‑term water infrastructure needs, including drilling a new well and pursuing smaller waterline projects.
The finance committee discussed Resolution 25-08, described in meeting materials as authorizing the village to apply for and accept a water supply revolving loan, and moved the paperwork toward council review so the village can meet application deadlines. Council later gave the measure a first reading; sponsors were not yet finalized at first reading.
The discussion centered on whether to apply (which does not obligate the village to accept funds), options for low‑ or zero‑percent loans, and the availability of principal forgiveness for some projects. Officials said the well project would be tested on village‑owned land north of the water bank and that drilling would proceed only if test borings show sufficient yield. Staff flagged a March application deadline for certain waterline projects.
Officials described a multi‑pronged approach: test and, if successful, construct a new well; reopen and rehabilitate older wells to add redundancy; and pursue smaller waterline repairs and loops. Participants noted that some older wells had been cleaned and returned to service after being abandoned because of water quality concerns, and that a single working well in prior seasons left the village vulnerable.
Finance committee members and councilors also discussed revenue timing tied to tap fees. One official said developers have pledged tap‑fee collections that the village expects to approach about $1.5 million, and that the village plans to collect roughly 60% of those fees this year to help cover near‑term loan payments. Officials emphasized that exact principal‑forgiveness or grant amounts are not guaranteed and that federal and state programs can change even after application.
No council vote adopting loan debt was recorded at the first reading; the committee’s action moved the application process forward so the village could meet the program deadline and preserve options.
The council and staff said further technical and financial details — including final loan amounts, interest rates, and whether the village will accept an awarded loan — will be determined after engineering reports and test drilling are complete.
