Athens Looking at Debt Consolidation

Athens Township is looking to enter into a debt consolidation so as to limit the amount of impact that sewer rates could have on residents. The Athens Township Sewer Authority is considering a debt consolidation so that the upgrade of the Valley Joint Sewer Plant won’t hurt residents as much as they think it might at this point.

The ATA Presidents Dave Steiner says that by using a debt consolidation they could eliminate any VJSA upgrade impact that residents might feel. The plant must be upgraded per new nitrate and phosphorous regulations for wastewater plants along the Susquehanna River. The passage of the Chesapeake Bay 2000 agreement ensured the upgrades would happen but they also ensured more taxpayer funds to make it happen.

The upgrade could cost them as much as $14 million and as the ATA doesn’t have any bonds all they have are loans. They say that by using debt consolidation to combine the loans they have and get a lower interest rate that they might be able to save money in interest and thus save their taxpayers money as well. They say that they are working with a local bank on the debt consolidation and that they are hopeful that this will help them.

The debt consolidation doesn’t have a specific time table, but that has not stopped them from working on a plan for about a year now. They have brought in financial advisors hoping for more assistance on how they might be able to relieve some taxpayer burden.

 

 

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