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Finance committee backs loan arrangement to fund Ledyard WPCA lead-and-copper survey
Summary
The Ledyard Finance Committee unanimously recommended the Town Council approve a loan to the Ledyard WPCA to fund a federally required lead-and-copper service‑line survey, amending terms to cap the loan at $215,000 with a 2% interest rate and a semiannual payment up to $11,914.29.
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The Ledyard Finance Committee voted July 1 to recommend that the Town Council approve a memorandum of understanding that would let the town loan up to $215,000 to the Ledyard Water Pollution Control Authority to complete federally required lead‑and‑copper service‑line surveys.
Agency official (S6) said the federal requirement — adopted after the Flint, Michigan crisis — obliges municipal water systems to document whether service lines contain lead or copper, even where local records suggest the town’s newer system is likely free of those metals. "The federal government after Flint required all municipal water systems to do lead and copper surveys," S6 said, explaining that Arcadis and other vendors were solicited to perform the work and WPCA lacks the budgeted funds to complete the surveying without town support.
Committee discussion focused on the loan structure and how repayment would affect residents. Chair (S1) moved to amend the MOU to specify loan terms; the motion set the loan cap at $215,000, an interest rate of 2%, a 10‑year amortization and a semiannual payment capped at $11,914.29. Committee member (S4) seconded; the committee voted to approve the amendment and to recommend the amended MOU to the Town Council.
Members noted the town’s water system records reduced the expected survey scope and cost, because prior files and Groton Utilities’ records helped narrow where excavations would be needed. WPCA representative (S5) said Groton Utilities had provided files and solicited vendors; S5 added that one vendor, Arcadis, returned a bid and WPCA found other historic records reducing the work and cost estimates.
The committee’s recommendation will be forwarded to the Town Council for final approval. If the council approves the MOU and the contract with a vendor is signed, S6 said the survey work would begin on the contractor’s schedule and the loan repayment schedule would commence per the agreed semiannual terms.
