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Bedford council votes to reject $11.176M Clean Water State Revolving Fund loan for Sevens Pond sewer extension

Bedford Town Council · November 13, 2024
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Summary

Town staff recommended, and the council approved, rejecting a state CWSRF loan award for sewer extension to the Sevens Pond neighborhood, citing high repayment costs and uncertain return on investment for ~51 properties.

Town staff presented an $11,176,000 Clean Water State Revolving Fund (CWSRF) loan award to extend sewer lines to the Sevens Pond neighborhood and recommended that the council not accept the funds at this time because the town would be responsible for loan repayment and the overall project cost (nearly $14 million) would be hard to justify for roughly 51 properties.

DPW staff explained the proposed sewer alignment and noted that although the loan includes 10% principal forgiveness, the town (and ultimately its taxpayers) would still need to repay the remainder and secure financing. Staff and the water and sewer advisory committee suggested additional steps—such as further testing to confirm septic leachate is reaching the pond—before committing to a costly sewer project.

Councilor Gilbert moved to accept the water and sewer advisory committee’s recommendation to reject the CWSRF loan; Councilor Bemis seconded the motion. After questions about whether the town could reapply in future and whether rejection would bar future applications, staff confirmed the state understands the town’s decision and that the town may reapply when conditions or data change. The council voted 7–0 to reject the loan.

Councilors said additional options remain, including further testing, targeted water‑line extensions or future funding opportunities if conditions change. The town will retain the option to reapply for CWSRF funding when the council and staff believe the project is feasible.