SAUGUS—Finance Director and Treasurer/Collector Wendy Hatch spoke about the $900,000 interest-free Massachusetts Water Resource Authority (MWRA) loan on Tuesday.
“The town participates in the local water pipeline program that the MWRA offers to their municipalities throughout the Commonwealth where they offer 10-year interest-free loans,” Hatch said.
These loans go towards water meter replacements, lead removal, relining of pipes, main replacements, and many other things, she added.
“The DPW, with their engineers, will be putting a project out to bid for the replacement of approximately 500 linear feet of existing 12-inch unlined cast iron pipe with new 12-inch cement-lined ductile iron water mains,” Hatch said.
These replacements would be on Ballard Street between the Salem Turnpike and Eastern Avenue.
The second part of the project will include the replacement of approximately 400 linear feet of 10-inch unlined cast iron pipe with new 12-inch cement-lined ductile iron pipe on Central Street between Elm Street and the Saugus River.
“Water services will also be replaced with copper pipe within the limits of that project area,” Hatch said.
The MWRA is looking to close the loan on Jan. 27 and make distribution of the $900,000 to the town on Jan. 30, Hatch added. Article 14 of an annual Town Meeting warrant authorized the town to borrow $2,906,400 for this purpose, and all that is now needed is for the board to vote on the loan.
Chair Debra Panetta asked when the project would be completed, to which Hatch responded the project would be undertaken in 2025 and, depending on project size and other outside factors, it could be eight to 12 months.
“We do design in one year and then construction in the next…In any of these capital projects, a lot of the design work takes a year, and then those go out to bid, and we do the work the next year,” Town Manager Scott Crabtree said.
He said that there are a lot of things in place that are master long-term plans that involve preventive maintenance.
“It really helps deliver services better. It prevents emergencies. It prevents water breaks and sewer issues or any other issues we’re dealing with…Having a plan in place and being able to figure out what’s next on a master plan…and being able to sort out the funding saves us a lot of money,” he said.
The Board of Selectmen unanimously voted yes for the interest-free loan, which would be paid in installments of $90,000 for 10 years starting in 2026.
