Monessen council held an extended discussion about the federally assisted sewer project, including a $1.7 million change order to extend lining work across the railroad and to the river, interim financing arrangements with PNC Bank, and a flagged discrepancy in payment requisition paperwork destined for USDA review.

Mayor Mosher said the $1.7 million change order continues anticipated phase 3c work — lining additional pipe runs that originally had been left out of the phase 3c bid. Staff explained the work uses the same unit pricing and the same USDA funding pool; USDA had reviewed and conditionally approved the extension, and staff reported USDA indicated approval would be in March. Council emphasized the work had been contemplated but not included in the original phase 3c bid documents, which is why the item appears as a change order.

Council received an update on the city’s interim PNC Bank loan that finances construction until USDA reimburses the completed and closed project portions. Staff said discussions with PNC and bond counsel were under way to pay down approximately $7.5 million of the interim loan and to extend the interim loan term (PNC had indicated possible extension by two or three years). Staff also noted the interim loan interest rate was materially higher (cited at about 6.6%) than the USDA loan (about 1.125%), and paying down the PNC balance would lower daily interest costs.

The council also reviewed requisition number 27, a draw request for phase 3 work. The requisition’s cover letter included the correct total ($368,967.21), but the form prepared for USDA submission contained an incorrect lower total; staff agreed to correct the form before submission to USDA/PNC. Council voted to approve the payment requisition (motion carried unanimously) contingent on the corrected paperwork being submitted.

On several smaller change order items, council debated whether engineering costs and right‑of‑way easement tasks had been excluded from the original contract and whether WEC (engineer) should bear costs that resulted from design omissions. The mayor suggested withholding a portion of an amendment payment pending further analysis; council directed staff to get more information from the engineer (WEC) and USDA reviewers before finalizing certain invoices.

Ending: Council approved requisition 27 on the record and asked staff to correct the USDA submission form, provide additional documentation and follow up with WEC and PNC on right‑of‑way and amendment questions before payment of disputed engineering fees.