Seaford city staff on Tuesday presented three public hearings on water and sewer projects that would use State Revolving Fund (SRF) loans, including significant principal forgiveness offers.

Director Mears told the mayor and council that the Martin Farms sewer relocation (Phase 2) carries an estimated price tag of $2,070,000 and that the town has a binding commitment letter from the state for a 20-year loan at 2 percent. He said the overall water-and-sewer program totals about $5.8 million and that the town already secured principal forgiveness on several elements of the broader package.

The water portion under public hearing number 2 was shown as $1.25 million with a 20-year, 2 percent loan; staff said up to $388,902 of the water principal would be forgiven, leaving roughly $861,098 to amortize over 20 years if council decides to proceed. Mears said interest during the disbursement period would be 0 percent and the 2 percent rate would apply thereafter.

The Nylon well project was presented as a separate $2.7 million award for two production wells and a treatment building; staff said the state has provided 100 percent principal forgiveness for that award. Mears said the town has lost two earlier production wells and now operates three, making additional capacity necessary to meet peak summer demand and to mitigate PFAS concerns.

Council members questioned technical details, timetable and water-quality implications. Vice Mayor Dan Henderson asked whether drilling deeper would intersect a different, confined aquifer and raised a related concern about a nearby radium-contaminated well. Mears and staff said the state requires sealing through unconsolidated layers when the well casing passes between aquifers, that test wells had higher pH and lower yield than shallow wells, and that state geologists had not observed the same radium contamination in modeled wells between the proposed site and the Delaney Street location, though staff acknowledged there are no absolute guarantees.

On timing, Mears said the town requested the state amend the binding commitment letter’s closing window (originally 120 days) so the city can decide whether to include the work in the FY27 budget; staff indicated the state may modify the agreement to extend the closing deadline into July 2026 to avoid losing the funding. Mears also said the design, bidding and construction schedule for the Nylon wells would likely extend into 2026–2027 (design completion by April, bid in June, construction start October 2026 and completion by September 2027 if approved).

Staff reminded council that these presentations were the first of two required public-hearing legs under the charter and that the same hearings will return at the Dec. 9 meeting for adoption of any required resolutions.

The council did not vote on project resolutions on Nov. 25; staff urged council to consider the budget timing and the amended commitment letter before any final approval at the December meeting.