Water lines, sewer loans discussed by council

by Nathan Arneal
Published 5/14/25

Pat Tawney, president of the North Bend Rural Fire District Board that oversees the North Bend Fire Department, asked the city to partner with improving water access to the future site of the new fire station.

A larger water line needs to be installed to meet the new station’s needs in the southeast corner of town.

At the May 6 city council meeting, Tawney said the fire board would foot the bill of approximately $53,250 to install the new water line, which needs to be about 700 feet long.

That would result in a dead-end line and stagnant water at the fire station, Tawney said.

He asked the city to run a line of about 300 feet to loop the line to the Oak Street main to the east. This would cost about $14,200. Tawney said that line could also serve future growth to the east.

“We feel as a fire district building a new fire station that we would be remiss not to put that water line back to Oak Street,” Tawney said. “Because it’s forever. It’s not going to do anybody any good to have that stagnant water sit there. We can go a week or more and not use water there.”

Councilman Ken Streff, who is also a member of the fire department, said that area of town is a drop-tank area, meaning there is not enough pressure to use water from a fire hydrant. In case of a fire emergency, water is shipped in and dumped into a holding tank and then pumped into the fire hoses. Adding a few fire hydrants along the potential new water line loop would solve that issue.

Councilman Chuck Krenzer, who is the chair of the Utility Department, expressed concern about opening a door to the city finishing other loops and water line projects around the city.

Tawney said the difference is that this requested line is not being installed for a private entity or a development trying to make a profit.

“We’re a non-profit building a new $3 million building in our community,” Tawney said. “We’re not in it for gain. We’re not making money.”

Tawney said if he was developing east of Oak Street he would expect to pay for the water line.

City clerk Theresa Busse said the city could use sales tax money, which has to go toward infrastructure, to fund the project. The city is hoping future sales tax will help pay for a new sewer plant, but Busse said those payments won’t start until 2027.

“The city as a whole is financially sound,” Busse said. “But the Utility Department is sunk. We’re strapped.”

Tawney said to look at it as a $68,000 water main loop through the community for $14,200.

“I’m not opposed if we can use some sales tax money to help finish it,” Krenzer said. “But where is that going to lead us down the road? I understand this is not a development, and they are replacing a water line to their facility.”

Tawney said if the city covers the $14,200 loop, the fire department would be likely to cover the cost of new fire hydrants, which would eliminate the drop-tank problem in that corner of town. Each fire hydrant costs between $7,000 and $8,000.

Councilman Alex Legge made a motion to complete the loop at $14,200 using sales tax money. The motion passed 3-0, with mayor Rod Scott voting and the two councilmen on the fire department, Streff and Waylon Fischer, abstaining.

On the topic of the new sewer treatment plant and lagoon, the city recently received a 48-page copy of the loan agreement from the State Revolving Fund, and it came with some sticker shock.

The city had agreed to the loan in February 2024 but did not know what its final payments would be until recently receiving the agreement to approve.

The twice-a-year payments on the approximately $10 million loan are scheduled to be $214,000.

“That’s a $36,000-a-month payment that we cannot afford,” Busse said.

The biggest surprise was that the agreement said the payments had to be made completely with money from water system user rates and no other outside sources.

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