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Board recommends council approve $2.0M wastewater loan package and forwards Water Trust Board applications

Los Alamos Board of Public Utilities · August 20, 2025

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Summary

The board recommended County Council approve Ordinance 7-45 to enter a loan agreement with NMED for wastewater plant upgrades (total award $2,000,000 with $250,000 loan subsidy/grant), recommended signatory resolution 25-19, and authorized Water Trust Board applications for a tank repaint and transmission main replacement; motions passed unanimously where recorded.

At its Aug. 20 meeting the Los Alamos Board of Public Utilities recommended that County Council approve an ordinance and related resolutions to fund planned upgrades at the Los Alamos wastewater treatment plant and to pursue state funding for water infrastructure projects.

James (utilities staff) summarized the recommended ordinance (No. 7-45) and loan agreement with the New Mexico Environment Department Bridal Infrastructure Program. He told the board the award totals $2,000,000 and that $250,000 of that amount is a loan subsidy (a grant-like subsidy within the loan package). The proposed work program covers five project areas: repairing cracks and applying protective coatings to aeration basins, replacing the fine screen at the headworks, replacing ultraviolet disinfection equipment, improving HVAC in the blower building to prevent overheating of motors, and replacing various motor control centers and electrical controls.

The board moved and recommended the council adopt Ordinance 7-45 (roll-call vote 4–0). James also presented Resolution 25-19, which delegates signature authority to execute loan documents required by NMED; the board recommended council approve that resolution (4–0).

Separately, staff presented two proposed Water Trust Board applications and asked the board to recommend council approval of Resolution 25-20 to allow staff to submit applications. The first application was for repainting "Parvito Tank 4A" (project cost and request itemized in the staff packet). The second application seeks funding to replace roughly one mile of a 16‑inch transmission main along Parrito Road (located inside LANL boundaries); staff noted recurring breaks and declining pipe condition prompted the request. James explained Water Trust awards are typically a mix of grant and low‑interest loan (staff used 60% grant / 40% loan as the typical split) and that the county must budget approximately a 20% local match on the total project cost.

Finally, Joanne presented Resolution 25-22, the annual list to remove uncollectible utility accounts (FY2021). The board voted to recommend that resolution (4–0); staff noted COVID-era disconnection moratoria contributed to larger balances on some accounts.

All of the ordinance and resolution recommendations will be forwarded to County Council for introduction and subsequent public hearing and final action.