Gov. Mike Rounds recommended the funding, which was approved when the board met Thursday and Friday in Pierre.
"The city of Vermillion has been progressive in upgrading its drinking water treatment plant," said Gov. Rounds. "This loan will enable Vermillion to complete the third phase of their plant upgrade that will ensure continued treatment of drinking water."
The phase three improvements to the existing water treatment plant include adding 4,900 square feet to the existing plant which will house additional chemical feed systems, a second solids contact clarifier and re-carbonation basin, and a second lime feeder and slaker. These additions will increase treatment capacity during normal operations and reliability when units are out-of- service for maintenance and repairs.
The groundwater monitoring at the old closed Vermillion landfill is being done at the request of DENR. The landfill was closed in 1993, and DENR is requesting additional monitoring to safeguard the site. The city proposes to contract with an environmental consulting firm to install and test ground water monitoring wells on property adjacent to and east of the landfill.
The total estimated cost of the drinking water treatment plant project is $4,133,000. The loan is at 2.5 percent for 20 years. The total estimated cost of the groundwater monitoring is $25,000.
The South Dakota Drinking Water State Revolving Fund provides low interest loans for public drinking water system projects. The Solid Waste Management Program provides grants and loans for solid waste disposal, recycling, and waste tire projects statewide. Revenues come from dedicated state solid waste fees that are deposited in the state Water and Environment Fund. The Legislature appropriates Water and Environment Funds annually to the Solid Waste Management Program through the Governor's Omnibus Water Funding Bill.