The City of Osawatomie has made a commitment toward building a new $48 million water plant and distribution lines, and it’s going to take 40 years to pay for. At a recent council meeting City Manager Bret Glendenning told the council he could not emphasize how critical the decision was and it would set the course for the city for at least 50 years. The plan is to take out loans and receive grants through the Rural Utilities Service and USDA Rural Development Offices. Loans would total just over $30 million, grants at nearly $119 million. Glendening said the loan will pay for the new water plant, with the grant money paying for work on water distribution lines. Osawatomie will be paying off the loan over 40 years, with annual payments being about $1.3 million. The project will also replace water distribution lines, some of which are over 100 years old.
Glendening said city water rates will need to increase over the next few years to allow the city to make payments on the debt. That rate is expected to go from $6.60 per thousand gallons to $9.90 per thousand in 2025 and 11.90 in 2027.
