Boost in Chattanooga area sewer upgrades from federal funds may lessen impact of upcoming rate increase

Staff File Photo / Water overflows from a storm drain on Lupton Drive in Hamilton County in this file photo. Several Hamilton County municipalities received state grants of American Rescue Plan funds for sewer rehabilitation projects to address overflows and other issues with the county's aging sewer infrastructure.
Staff File Photo / Water overflows from a storm drain on Lupton Drive in Hamilton County in this file photo. Several Hamilton County municipalities received state grants of American Rescue Plan funds for sewer rehabilitation projects to address overflows and other issues with the county's aging sewer infrastructure.


East Ridge and Red Bank are among the Tennessee cities receiving American Rescue Plan funds for sewer repairs in the most recent round of grants awarded earlier this week by the Tennessee Department of Environment and Conservation.

The grants are part of the around $1 billion in American Rescue Plan funds designated for noncompetitive population-based grants offered to counties and eligible cities to address critical systems needs, including updating aging infrastructure, reducing water loss for drinking water systems and minimizing inflow and infiltration for wastewater systems, according to a state Department of Environment and Conservation news release.

The funds will help reduce the Hamilton County Water and Wastewater Treatment Authority's upcoming rate increase, which will be in the single digits rather than double digits thanks to the federal funds, Executive Director Michael Patrick said by phone. The American Rescue Plan, a pandemic stimulus package, was passed by Democrats in Congress in March 2021.

"The ARP money in general has not reduced the need for rate increases, but it has certainly reduced the amount of rate increases," said Patrick, adding that the county sewer authority's board has yet to vote on the exact amount of the increase that will go into effect Oct. 1.

(READ MORE: Hamilton County to spend $15 million in recovery funds on sewer projects)

The city of East Ridge received a $2.5 million grant that will be matched with $500,000 from Hamilton County, City Manager Scott Miller said at the City Council's April 27 meeting.

The work is to occur in the western part of East Ridge to address stormwater infiltration into the sanitary sewer system, Miller said.

The work is also to address other significant noncompliance issues such as chronic sanitary sewer overflows. Projects include the rehabilitation of around 8,400 feet of pipelines, 50 manholes and 305 service laterals in the East Ridge service area, according to a news release.

It is the second grant of American Rescue Plan funds the city has received for sewer rehabilitation projects, with the first amounting to around $3 million, Mayor Brian Williams said at the same meeting.

(READ MORE: Don't use city sewer system? Soddy-Daisy residents find out they can be charged anyway)

He said the city will pass the grant funds to the county sewer authority to perform work within the city, which does not operate its own utilities or bill for those services.

"They are by ... federal decree mandated to upgrade the system," Williams said, referring to the authority's efforts to bring the sewer system into compliance with federal law. "In doing that, they're spending a lot of money, which is causing the rates to be increased. It's out of our control, out of our hands, but I think if we're passing through $3-5 million, we're at least limiting and reducing the amount of bond money they had to go out and borrow, which continues forcing rates to go higher."

The East Ridge service area comprises multiple basins, and Basin 10 -- through which all wastewater from the city ultimately flows -- is under a moratorium, meaning no new connections to the sewer system are allowed.

Exceptions to the moratorium, such as the townhomes under construction in the Gateway development that includes the Red Wolves stadium, are made possible with "points" the county sewer authority earns through sewer rehabilitation projects, Patrick said.

(READ MORE: Hamilton County sewer projects raise rates, aim to stem overflows)

The city of Red Bank, a portion of which is also under a sewer moratorium, this month received a $1.6 million grant in American Rescue Plan funds from the state to develop a stormwater management plan; complete stormwater projects, including the reconstruction of the White Oak pond's culvert crossing to improve and protect the water quality of Stringer's Branch; and to purchase a JetVac truck for stormwater management.

In March, other municipalities served by the county sewer authority received grants for sewer projects from the state, according to a news release.

The town of Signal Mountain received $240,516 that it will use to improve the reliability of its drinking water system by connecting to the Walden's Ridge Utility District's water supply. The town's water utility received a separate $758,033 grant to install a new pump station, replace a booster pump and implement a new metering system.

The city of Soddy-Daisy received $1.7 million, and the town of Lookout Mountain received $663,338 for rehabilitation of sewer pipes, manholes and laterals, among other projects; and the town of Walden received $685,680 to improve its stormwater conveyance system.

Contact Emily Crisman at ecrisman@timesfreepress.com or 423-757-6508.

  photo  Staff Photo by Emily Crisman / East Ridge City Manager Scott Miller talks about a grant the city received from the state for sewer projects at the City Council's April 27 meeting. From left are Miller, Mayor Brian Williams and City Attorney Mark Litchford.
 
 


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