Johnson County approves additional funding source for Nelson Wastewater Facility Improvement Project
Today, the Board of County Commissioners approved a second funding source for the Nelson Wastewater Facility Improvement Project.
The Kansas Water Pollution Control State Revolving Fund Loan from KDHE will fund 48.2% of the Nelson project at 60% of market interest rate. The BOCC voted 7-0 to approve the SRF loan application consideration for the project.
The Nelson Wastewater Treatment Facility is the oldest in the Johnson County Wastewater service area. As part of Johnson County Wastewater’s 25-year integrated plan, that treatment facility will undergo renovations.
The facility serves two main tributary basins in northeast Johnson County – containing all or part of the cities of Fairway, Merriam, Mission, Overland Park, Prairie Village, Roeland Park, and Shawnee.
The treatment technology in place at Nelson is not capable of meeting the EPA and KDHE’s stricter future water quality standards and much of the facility needs replacement. Once improvements are complete, the treatment facility will be able to treat 15 million gallons per day during average daily flows and 150 million gallons per day during peak flows.
The budget for the Nelson project is $574 million. The projected cost at 30% design is $600 million, however JCW is continuing to value engineer the project. This is 4.5% over the project budget in a construction market that has increased 15% over the same period according to the Bureau of Labor Statistics.
The project team has reduced the project cost through $40 million in value engineering efforts. Additionally, a previous $281M Water Infrastructure Finance and Innovation Act (WIFIA) loan through the Environmental Protection Agency will save JCW approximately $80 million in financing costs on this project.
Feedback from community engagement has influenced design, location, site screening, and odor control strategies. Currently, the design phase is 30% complete.
View JCW’s presentation and flyover video of the proposed Nelson Wastewater Treatment Facility is available here. Project updates can be found at JCWNelson.com. Learn more about the integrated plan at jcwprogram.com.