Green River council authorizes $3 million SRF loan application for Teton Tank rehabilitation

The Green River City Council voted 5‑1 to authorize submission of a $3,000,000 loan application to the State Loan and Investment Board for rehabilitation of the city’s 1,000,000‑gallon Teton Tank, according to a resolution approved during the council’s meeting.

Dustin Romero of the Public Works Department presented the project at a public hearing, saying, “Teton Tank is a 1,000,000 gallon steel water tank” that was built in 1976 and serves several pressure zones on the city’s south side and “approximately 4,000 citizens.” Romero said a 2025 inspection by portable divers identified corrosion and deterioration and that the divers recommended recoating the tank “within the next 1 to 2 years.”

The council heard three preliminary alternatives: do nothing (risking leaks or structural issues), rehabilitate the existing tank (sandblasting, recoding and roof replacement, an option Romero said could extend the tank’s life by about 20 years), or replace the tank entirely (giving a new service life of 60+ years but with substantially higher upfront costs and potential site work).

Romero explained the proposed timeline and funding steps: if approved, the city would submit the SRF application immediately, the State Loan and Investment Board (SLIB) would review the application at its June meeting, feasibility and engineering work would take place in the fall, a state environmental review would follow early next year, and construction could occur in fall 2027. He said the Drinking Water State Revolving Fund (DWSRF/SRF) provides low‑interest financing that spreads costs over time and that the feasibility study will calculate life‑cycle costs before the city commits to rehabilitation expenditures.

Councilors pressed staff on costs and alternatives. Councilor Williams, who said he has experience working on tanks, questioned the $3,000,000 figure for rehabilitation and the number of studies, and raised concerns about increasing water and sewer bills for fixed‑income residents, saying, “I’m fixed income. A lot of other people in this community, low income. That’s why I just can’t keep throwing more and more money onto the citizens.” Romero responded that grants aimed at emergency conditions (for example, MRG) are limited and competitive, that the inspection did not show an immediate emergency, and that submitting an SRF application does not preclude pursuing other funding during the feasibility phase.

The staff presentation included preliminary rate projections from a NewGen study used in the council’s planning: a base rate starting at $26 in fiscal year 2026 with $1/month increases projected through fiscal year 2030, and example average monthly water bills rising in the study’s scenarios (low use: $32→$37; moderate: $44→$53; high: $56→$70 by FY30). Romero noted the rate model assumed a $3,000,000 principal at 1.5% interest over 20 years but said loan terms could change and that the city would return to council with further public meetings if the requested principal needed to increase.

After discussion, Councilman Kilpatrick moved to approve the resolution authorizing the loan application and the mayor to sign the documents; the motion passed on a 5‑to‑1 vote. Councilors and staff said the feasibility study will refine cost estimates and evaluate whether rehabilitation or replacement is the best long‑term option.

Next steps: city staff will submit the SRF loan application for SLIB review in June, complete feasibility and engineering work this fall, undergo state environmental review early next year, and bring alternatives and final recommendations to the council once the feasibility study is complete.