Loan Tweak Saves Some From Hiking Rates "Significantly" - ABC FOX MONTANA NEWS, WEATHER, SPORTS - KTMF/KWYB

Loan Tweak Saves Some From Hiking Rates "Significantly"

Posted: Updated:
BIGFORK -

Bigfork gets a better deal at the bank as part of a far reaching change that's saving Montana taxpayers $29 million over the next two decades.

Governor Bullock said he's lowering the interest rates on a loan program that fuels water work in local cities.

The wastewater treatment plant in Bigfork serves around three to four thousand people. Of course, in summer that average is lower. To build up extra capacity and have a backup in case something goes wrong, the water and sewer district has been working since 2010 to put in more pipelines and dig more wells. Officials already put in $900,000 of taxpayer money so far. Now they're asking for about $1.5 million from the state.

"The state revolving fund is money that is in the state coffers that people borrow from for public works projects and then pay back into, so it's revolving," said Julie Spencer, the manager of the Bigfork water and sewer district.

That money isn't just for the taking. It comes with a more than 3% interest rate, that is until this past Friday. Now it's been bumped down around 2.5%.

"Just over the course of a 20 year loan you pay a lot less interest on 2.5% than 3.75% interest," said Spencer.

That makes at least thousands of dollars of difference to Bigfork taxpayers. The new lower rate will touch 19 projects statewide, ranging from a $26 million undertaking in Butte, to a project using less than half a million dollars in Philipsburg. Governor Bullock has said that cutting costs for local infrastructure projects is part of his Main Street Montana program.

"We may have had to raise rates significantly to pay for it," said Spencer.

With the loan, the initial investment in the wells, and a grant for three-quarters of a million dollars, Spencer hopes to dig this summer and be done by 2015.

A project not even an hour away from Bigfork, in Whitefish, is also on the list for the new interest rate. That project is estimated to cost about a half a million dollars.

  • NationalMore>>

  • Alaska tourist train halts runs after derailment

    Alaska tourist train halts runs after derailment

    Thursday, July 24 2014 4:13 AM EDT2014-07-24 08:13:54 GMT
    A vintage rail company that hauls hundreds of thousands of tourists every year along the route of the historic Klondike Gold Rush has suspended operations while it investigates a derailment that injured nine people.
    A vintage rail company that hauls hundreds of thousands of tourists every year along the route of the historic Klondike Gold Rush has suspended operations while it investigates a derailment that injured nine people.
  • Arizona execution takes nearly 2 hours

    Arizona execution takes nearly 2 hours

    Thursday, July 24 2014 3:41 AM EDT2014-07-24 07:41:42 GMT
    A condemned murderer took nearly two hours to die and gasped for about 90 minutes during an execution in Arizona that quickly rekindled the national debate on capital punishment in the U.S.
    A condemned murderer took nearly two hours to die and gasped for about 90 minutes during an execution in Arizona that quickly rekindled the national debate on capital punishment in the U.S.
  • Colorado gay marriage ban struck, appeal awaits

    Colorado gay marriage ban struck, appeal awaits

    Thursday, July 24 2014 3:32 AM EDT2014-07-24 07:32:56 GMT
    For years, gay rights activists in Colorado repeatedly said it would only be a matter of time before they would be allowed to marry.
    For years, gay rights activists in Colorado repeatedly said it would only be a matter of time before they would be allowed to marry.
  • Most Popular

  • Most Popular StoriesMost Popular StoriesMore>>

  • Carlton Complex Fire now 52% contained

    Carlton Complex Fire now 52% contained

    Thursday, July 24 2014 12:48 AM EDT2014-07-24 04:48:19 GMT
    UPDATE: Officials say the massive wildfire that has destroyed about 150 homes in north-central Washington is now more than half contained. 
    UPDATE: Officials say the massive wildfire that has destroyed about 150 homes in north-central Washington is now more than half contained. Firefighters made good progress Wednesday as rain and hail fell. The moisture wasn't enough to extinguish the nearly 400-square-mile Carlton Complex of fires, but it gave crews a chance to dig lines along the south and east parts of the fire.
  • INCREDIBLE drone video shows fire destruction over Pateros/Brewster

    INCREDIBLE drone video shows fire destruction over Pateros/Brewster

    Tuesday, July 22 2014 9:51 AM EDT2014-07-22 13:51:52 GMT
    KHQ.COM - Chelan HD Productions has given us permission to show this incredible video they shot with a drone surveying the damage done from the Carlton Complex Fire in the areas of Brewster and Pateros. This video is truly jaw dropping and really shows the level of destruction from the fire.
    KHQ.COM - Chelan HD Productions has given us permission to show this incredible video they shot with a drone surveying the damage done from the Carlton Complex Fire in the areas of Brewster and Pateros. This video is truly jaw dropping and really shows the level of destruction from the fire.
  • UPDATE: Search and Rescue Efforts Continue for Flathead Kayaker

    UPDATE: Search and Rescue Efforts Continue for Flathead Kayaker

    Tuesday, July 22 2014 1:04 PM EDT2014-07-22 17:04:28 GMT
    The search for a missing kayaker will continue Monday on Flathead Lake, it's surrounding shores and the Flathead River, after he's been missing for more than 24 hours.
    The search for a missing kayaker will continue Monday on Flathead Lake, it's surrounding shores and the Flathead River, after he's been missing for more than 24 hours.
  • Update: Semi Removed, Lanes Reopen After Chemical Spill Near Bonner

    Update: Semi Removed, Lanes Reopen After Chemical Spill Near Bonner

    Wednesday, July 23 2014 3:22 PM EDT2014-07-23 19:22:36 GMT
    Emergency officials, including health department personnel, are on scene of a semi rollover east of Missoula.
    Emergency officials, including health department personnel, are on scene of a semi rollover east of Missoula.
  • Bugg Road fire near Tonasket

    Bugg Road fire near Tonasket

    Tuesday, July 22 2014 2:29 PM EDT2014-07-22 18:29:21 GMT
    KHQ.COM- UPDATE: The Bugg Road fire burning 7 miles east of Tonasket, WA and has destroyed one structure and expanded to 1,700 acres on Tuesday.This fire started on Monday and by the end of the day had burned 1,000 acres. Air support and dozers are trying to keep the fire in check.
    KHQ.COM- UPDATE: The Bugg Road fire burning 7 miles east of Tonasket, WA and has destroyed one structure and expanded to 1,700 acres on Tuesday.This fire started on Monday and by the end of the day had burned 1,000 acres. Air support and dozers are trying to keep the fire in check.
  • Water Pipe Improvements in Bozeman

    Water Pipe Improvements in Bozeman

    Wednesday, July 23 2014 12:41 AM EDT2014-07-23 04:41:42 GMT
    A water main break earlier today knocked out the water supply to about 20 homes in Bozeman. This is the second break within recent weeks, but city officials say there is nothing to be alarmed about.
    A water main break earlier today knocked out the water supply to about 20 homes in Bozeman. This is the second break within recent weeks, but city officials say there is nothing to be alarmed about.
  • Bozeman Scuba Divers Explore Yellowstone Lake

    Bozeman Scuba Divers Explore Yellowstone Lake

    Tuesday, July 22 2014 11:38 PM EDT2014-07-23 03:38:22 GMT
    Montana is known for its outdoor recreational and adventure sports.There's everything from whitewater kayaking to extreme mountain biking.
    Montana is known for its outdoor recreational and adventure sports.There's everything from whitewater kayaking to extreme mountain biking.
  • Many Frustrated By Stalled Cobell Settlements

    Many Frustrated By Stalled Cobell Settlements

    Wednesday, July 16 2014 9:30 PM EDT2014-07-17 01:30:30 GMT
    In Congress Wednesday, the group in charge of doling out Cobell settlement claims says it's waiting on setting exact amounts and a judge's okay before making the rest of the payments.
    In Congress Wednesday, the group in charge of doling out Cobell settlement claims says it's waiting on setting exact amounts and a judge's okay before making the rest of the payments.
Powered by WorldNow

Features

  • More Features
  • Powered by WorldNow
    All content © Copyright 2000 - 2014 WorldNow and Cowles Montana Media. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms of Service.