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Town borrows $2.2M for second phase of improvement project

Town leaders were expected to sign the paperwork Tuesday morning that will kick off the second phase of an ongoing improvement project at the Jonesborough Wastewater Treatment Plant.
Phase I of the multimillion dollar project is nearing completion. Started last spring, it includes the expansion of the plant, including new, larger basins for treatment of wastewater.
In all, the first phase is expected to cost somewhere around $5.3 million.
Now, the town is signing on for another $2.2 million in debt to get to work on the project’s second phase.
Phase II, estimated to cost a total of approximately $4.5 million, will include the construction of a 6-mile outcall line from the town plant to the Nolichucky River.
The line will increase the amount of treated materials the town can discharge from the current 500,000 gallons per day to at least 1 million gallons daily. It will also include additional improvements to the plant.
The $2.2 million loan from USDA Rural Development is at a 2.5 percent interest rate over a 38-year term.
The town also has received several grants to fund Phase II of the project, including $1 million from the Economic Development Administration, $816,000 from Rural Development and $500,000 through a Community Development Block Grant.