The second step in financing sewage capacity expansion for Clackamas County Service District No. 1 (CCSD #1) ratepayers was successfully completed Nov.10, with the sale of almost $44.9 million in revenue obligations.
        The sale was coordinated by Clackamas County Water Environment Services on behalf of CCSD #1 to continue paying for phase 1 construction of the CCSD #1 Capacity Management Program, which includes expansion of the Tri-City Water Pollution Control Plant in Oregon City, short term maintenance projects at the Kellogg Creek Plant and construction of conveyance pipelines between the two districts.
        “Eight bids were received, at extremely competitive rates. The successful bidder Merrill Lynch purchased the bonds at an average interest rate of 4.1 percent, a rate lower than the first bond sale in February of this year. This is a testament to how the market perceives our District and the recent actions by the Districts’ governing board”, says Mike Kuenzi, Director of WES.
        Acting as directors of CCSD #1, the Clackamas County Board of County Commissioners (BCC) on Jan.27, directed WES to finance the program with a three step financing effort. The Board authorized staff to borrow up to $95 million in revenue obligations to use with accumulated reserves to pay for the Phase I program.
        CCSD #1 is required to complete the project by 2011 to meet the terms of an agreement with the Oregon Department of Environmental Quality (DEQ). The District entered into the agreement last year to avoid further fines after several instances of untreated wastewater flowing from the Kellogg plant into the Willamette River because the plant is operating beyond its’ intended capacity.
        For more information, please contact Amy Kyle at (503) 742-4561 or Akyle@co.clackamas.or.us, or visit www.riverhealth.org.