Water board tables Pine Ridge interconnect transfer; utility staff report leaks, ARPA closeout progress

The Kingston Water Board considered a staff request to authorize the chairman, the city manager and the utility director to negotiate with Chrome Central Utility for relocation of the Pine Ridge Road interconnect and transfer of related wholesale-water infrastructure. Board members raised concerns that a USDA loan remains outstanding on the line and questioned whether the city could transfer an asset it still owes on. The board voted to table the item while staff investigate loan and liability implications.

Utility updates: The utility director reported six leaks in the prior week and thanked crews for expedited repairs. Staff said Longbow/Longville Heights developer crews made changes to divert runoff across a road and that complaints have not continued after the corrective work. City staff also said the TDEC portion of ARPA funding is nearing closeout and that retainages remain to be paid before final completion of ARPA-funded work.

Timing and next steps: Utility staff said the bridge/interconnect work on Highway 58 is progressing and that the city's portion of interconnect work could begin in late fall; the director said he would provide updated schedules to board members when available. The board asked staff to report back with details on the USDA loan and options for resolving outstanding obligations before any transfer or negotiation with Chrome Central Utility.

Why it matters: Transferring wholesale-water infrastructure subject to an outstanding federal loan can create legal and financial obligations for the city; tabling the request preserves the board's options while staff gather necessary loan documentation and legal guidance.

Next step: Staff to investigate USDA loan obligations tied to the Pine Ridge Road line and report findings to the water board; the transfer/negotiation request will return to the agenda after staff follow-up.