The Finance Committee of the Winchester City Council voted to forward a resolution and related ordinance authorizing the issuance and sale of a taxable water and sewer system revenue bond, series 2025, in a principal amount not to exceed $14,000,000 to finance three sanitary-sewer projects.

Harry (staff member) described the work as: two new sewer pump (lift) stations (one near Superior in the southeast corner of the city and one called the Capitol Records Lift Station on property owned by Trex, for which Trex has granted an easement), upsizing about 800 feet of pipe on Woodstock Lane from 24 inches to 36 inches, and lining roughly 12.5 miles of existing clay sewer mains plus rehabilitating about 280 brick manholes.

“These are very important improvements,” Harry said, adding the lining work addresses inflow and infiltration and that the loan is federally subsidized through the Virginia Department of Environmental Quality; the city will receive an interest rate roughly 1 percentage point below market, with an anticipated rate of about 2.25% on a 20-year term. Harry also said the lining contract has been advertised for bid and that the lining work is expected to cost approximately $5.5–$6 million compared with an estimated $20–$25 million to excavate and replace the same length.

Committee members asked whether the utility enterprise fund can support the bond debt service at current rates; staff said yes at current rates. Members also asked how much inflow and infiltration the lining could reduce; staff estimated a likely reduction in billable flow of about 5%–10% in the lined areas, but said exact savings are difficult to predict. The committee discussed federalization requirements for the subsidized loan, including Davis-Bacon wage rates and Buy American provisions, and confirmed recorded easements from Trex for the Capitol Records Lift Station site.

A motion to forward the resolution and the ordinance with recommendations for approval passed by voice vote. The items will be presented to the full City Council.