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Fort Wayne borrows $108 million for sewer improvements

July 12th, 2016

Fort Wayne Busines Weekly 

Fort Wayne will get state assistance for ongoing work to improve water quality in the city’s rivers.

The city secured a $108-million, low-interest loan through the Indiana Finance Authority’s Clean Water State Revolving Fund, the state said in a statement.

The loan will finance several projects, including plans to bore a massive tunnel under the city. Wastewater and runoffs would drain into the tunnel during storms, then flow to the water treatment plant instead of overflowing into the rivers.

The state money will also help pay for improvements to the treatment plant, wet weather ponds and the ongoing work to separate the city’s combined sewer system, which lets both sewage and rainwater drain into the rivers when it’s overloaded.

The city is working under a federal mandate to meet clean water regulations and reduce sewage overflows.

By taking the State Revolving Fund loan, Fort Wayne is expected to save about $23.3 million in interest over the life of the loan when compared to traditional loans, the state said in the statement.