State Approves Saxonburg's Financing Request

PENNVEST okays $24.9 million loan for major sewer expansion

The Pennsylvania Infrastructure Investment Authority (PENNVEST) today (March 23) approved a $24.9 million low-interest loan for a major sewer expansion project proposed by the Saxonburg Area Authority (SAA), according to Senator Don White, R-41st District and a member of the PENNVEST board.

"I am pleased that the Saxonburg Area Authority's application was approved and that it will receive this important financing. The 1-percent interest rate offered by PENNVEST is much lower than what SAA would receive on the open market, so the Authority will realize significant savings. That's excellent news for the Authority's existing customers as well as those who will receive service as part of the expansion project," Senator White said.

Senator Jane Orie, R-40th District, also hailed the PENNVEST announcement.

"This project is important from an economic and environmental standpoint," Senator Orie said. "It will help to protect water quality and ensure that the area has adequate sewage treatment facilities as it continues to grow."

Representative Daryl Metcalfe, R-12th District, agreed that the expansion project would be a major boost for the area.

"I was pleased to offer my full support to the Saxonburg Area Authority's sewage treatment expansion project," Representative Metcalfe said. "I believe that this regional approach is fiscally responsible and that it will provide a long-term solution to many of the area's sewage needs."

SAA is proposing a major expansion of its sanitary sewage system, which when completed would provide service to residents of six municipalities in southern Butler County and northern Allegheny County.

The system currently serves the residents of Saxonburg as well as those living in Clinton and Jefferson townships in Butler County. Through the expansion project, SAA is looking to add 7,400 residences in Penn and Middlesex townships, Butler County and in Richland Township, Allegheny County.

Senator White has strongly supported the SAA expansion project and the request for financing.

"From the beginning, this project has been an example of municipal cooperation and deserves credit for the cost savings to be realized over the years by the 7,400 customers that will eventually be served by the SAA system. I fully support this project and would appreciate your favorable review of this request," Senator White wrote in a Jan. 10, 2005 letter to PENNVEST Executive Director Paul K. Marchetti.

Note: For specific information about the project, contact Jay Rinebolt, SAA Chairman at 724.352.1400.