July 3, 2013

New Town receives $10 million in grants

New Town  receives $10 million in grants
By Jerry W. Kram

New Town will receive $10 million in grants from the state of North Dakota in energy impact grants. The city will use the funds to expand the New Town Water Plant and to install infrastructure for residential development on Outlot 2 on Sand Hill.
New Town Mayor Dan Uran said the expansion of the water plant is needed for the anticipated growth in and around New Town. The current water plant also provides water to the Fort Berthold Rural Water District as well as the city of New Town.
“We’re looking at adding a 78 unit apartment building north of town, the Elbowoods housing development, the city housing development (Outlot 2) and there have been a couple of hotels proposed,” Uran said. “All of those types of things make us realize we are going to have to expand the water plant to keep up.”
Uran said the expanded plant will also allow the city in increase revenue from water sales. Currently, water sales from the depot just east of New Town are shut down whenever water levels in the New Town or Fort Berthold Rural Water towers drops below a certain level. This has limited the city’s water sales.
“If you can sell water to the oil industry that is a pretty good source of revenue,” Uran said.
Uran said the plant was designed to be expanded when it was built ten years ago. About $9.6 million of the grant funding will go to the water plant.
The development of Outlot 2 was funded for $378,000, Uran said. The money will go to the construction streets, sewers and other infrastructure that will prepare the 14 acre lot for residential development. Eagle Rock Timber is the contractor performing work on Outlot 2. The total cost of installing water, sewer and streets on the development is estimated to be $1.2 million.

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