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Winona Holds Work Session On Proposed Wastewater Treatment Plant

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WINONA LAKE- Winona Lake Town Council Tuesday night held a work session to discuss a proposed wastewater treatment plant.

The council previously discussed the issue at its regularly scheduled Oct. 13 meeting, but did not make a decision on the plant.The town's sewer has been serviced by the city of Warsaw for a number of years, but in the past couple of years the town has challenged the rates Warsaw imposed on the town. Now Winona Lake is looking at having its own sewer treatment plant, claiming Warsaw is unfair with the rates it imposes on Winona.

The total cost of the treatment plant for Winona Lake would cost $4.9 million. The Aeormod Wastewater Process Solutions facility would handle half a million gallons per day. It would service all the town's current customers plus have room for growth.

The treatment plant would have a fementor tank, selector tank, aeration basin, aeration sequox and ClarAtor Clarifier.

Other areas with the Aeromod system include McCordsville, Monrovia, LaGrange, Fortville, and Koontz Lake.

The council Tuesday agreed they would like to see a portion of the wastewater fund broken down to make sure there is a solid division between funds.

Town Council President Terry Howie suggested a committee be formed to negotiate sewer rates with Warsaw Mayor Ernie Wiggins and Warsaw City council members.

Howie suggested besides himself, State Representative Dave Wolkins, and former state senator Kent Adams, both Winona Lake residents, and town councilman Randy Swanson serve on a committee to meet with Warsaw to discuss the sewer issue.

Howie said although Wiggins is out of town on vacation, the two talked about a meeting to discuss the issue and Wiggins seemed agreeable.

The objective of the meeting would be to have dialogue with Warsaw about Winona Lake's sewer rates.

"We'd like to see Winona Lake's sewer rates lowered, but I don't know if that will happen," Howie said.

Adams attended Tuesday's meeting and said he would be willing to serve on a committee.

"I'm in a listening mode because I am not familiar with all of the background on the sewer issue, but I see us as one community joining together," Adams said.

Sue Sargent Haase, certified public accountant with London Witte Group, attended the council's Oct. 13 meeting and said there currently is no written agreement between Warsaw and Winona Lake regarding sewer. The town currently pays a negotiated reduced commercial rate per 1,000 gallons.

The Winona Lake residential rate prior to July 2005 was $35, increased to $42 in July 2005 and to $44 in January 2007. That was a total percentage increase of 25.72.

With the estimated treatment plant cost being $4.95 million, Haase said the town has $1 million of cash on hand.

The remaining costs of the treatment plant would come from debt issuance of $3.95 million at an estimated 5 percent interest rate. The maximum annual debt payment would be $420,569 and a 5-year debt reserve funding requirement equal to $64,114.

Public Works Director Pete O'Connell said the town spent an estimated $125,000 last year for wastewater repairs at its pumping station.

"Wastewater plants are like businesses and you have to run them like business and put away money for repairs," O'Connell said.

Swanson said he would like to see a breakdown of employee's hours for wastewater work to see how services are being used.

Winona Lake resident Jerry Nelson said the council is being charged with two tasks. One task is to develop a bottom line dollar amount for a reserve fund for the treatment plant, and negotiate not just a lower sewer rate for now, but also in the future.

Councilwoman Joy Johse said she supports a committee that would talk to Warsaw about the sewer issue.

"If this committee can re-negotiate the town's sewer rate and achieve the agreement for long-term commitment I think that's phenomenal," Lohse said.

Lohse said Warsaw has provided Winona Lake with outstanding services for many years, but said in the town's strategic plan it is looking at issues like its environmental impact, keeping waterways clean, and having future control over its water rates that is currently does not have.

Lohse said the town needs an industrial park for sustainability of the town.

"In the broad picture we need to look at continued growth and development in Winona Lake," Lohse said.