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Elkton council advances $8.3M drinking-water upgrade and schedules $5M state loan hearing
Summary
After a public hearing on a five-year water rate plan, council scheduled a public hearing for two VDH loans totaling $5 million to support an $8.3 million mandated drinking-water project that includes a new well, extensive line replacements and a 1 million-gallon aboveground tank.
The Elkton Town Council on Sept. 16 heard a public hearing on a proposed five-year water rate plan tied to a mandated drinking-water project and voted to schedule a public hearing on two loans totaling $5 million from the Virginia Drinking Water State Revolving Fund.
Public Works Director Gaither Hurt summarized the system's age and condition, noting that much of the town's water system was installed in the 1900s with the majority of lines six inches or smaller. Treasurer Donna Curry said "the current project cost was $8.3 million." Town Manager Greg Lunsford read from a 2021 Virginia Department of Health letter that stated, "This tank should be replaced with an above ground atmospheric storage tank." Council members described the project as mandatory and warned of potential service loss if the town delayed major repairs.
Several residents spoke during the hearing. Barry Reahm provided a document supporting the project's urgency and warned the town could face a Consent Order similar to prior sewer enforcement if it failed to act. Wayne Printz raised concerns about increasing long-term debt (he estimated debt would exceed $25 million if multiple projects were borrowed) and said higher rates would hurt seniors and low-income families. Sabrina Dorman-Andrew supported the five-year plan, saying the increases were "in small increments and not a high price to pay for safety and clean drinking water."
In response, Council Member Jan Hensley noted the town's water loss had been reported at about 57% previously and was now reported at about 60%, and explained the loan program is "draw as you need," meaning the town would not be required to borrow the full loan amount if not necessary. Council voted 5-0 to schedule the state-loan public hearing (motion moved by Council member Virginia Fulginiti, seconded by Council member Rachel Michael).
The proposed rates would take effect July 1, 2025, and the town included multi-year step increases in its plan for both in-town and out-of-town customers. Council and staff framed the increases as a measure to secure grant and loan eligibility and to avoid the severe consequences of a failing holding tank.
