PHOTO ATTACHED: “Tank D” on the Upcountry CAWP system. The aging, inadequate water storage tank is slated to be replaced with a new, larger tank and is one of the project improvements to be paid for through the Amador Water Agency’s pending municipal bond sale.
For immediate release: 10/1/2024
Contact: Larry McKenney, AWA General Manager, 209-223-3018
(Sutter Creek) At their Sept. 26 Board meeting, Amador Water Agency Directors unanimously approved issuing short-term municipal bonds for a principle amount of $19 million to pay for critical water infrastructure improvements. The bonds are scheduled to be issued the week of Oct. 14, 2024, with a plan for a new debt issuance in about two years that will replace the short-term bonds.
Bond funding is one part of the Agency’s financial plan to pay for about $70 million in high priority infrastructure improvements and replacements identified in the AWA 5-Year Water Capital Improvement Plan that were the main driver of the county-wide water rate increases approved in 2021.
The revenue bonds are planned to pay for improvements to the Ione Water Treatment Plant, the Tanner Water Treatment Plant, and replacement of a storage tank in the Upcountry CAWP water system, with the goal of improving water supply and reliable service to existing customers and meeting the demand for projects that the cities and county are planning.
AWA Board President Rich Farrington said Amador County cities face the same challenges of old and failing water and wastewater infrastructure and tighter government regulatory standards.
“Our infrastructure challenge is daunting but it’s not unique. This Board of Directors is committed to addressing the critical replacement and repairs while keeping costs as low as possible for our customers. We will continue to look for ways to reduce future project costs and operate the Agency as efficiently and transparently as possible,” said Farrington.
To address the remaining funds needed for priority water projects, the Agency is applying for a Federal long-term low interest loan and continues to pursue state and federal grants that do not have to be paid back.
For the bond issuance, the Agency received an A2 rating by Moody’s Investor Service showing a strong improvement in the Agency’s finances, creditworthiness, and its ability to meet the challenges of maintaining and improving Amador County’s aging infrastructure.
Detailed information on the county-wide Water Master Plan Study and related financial documents are available at the Agency website (www.amadorwater.org) and by calling the AWA office, 209-223-3018.
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