The Hermiston City Council voted this week to authorize the issuance of revenue bonds of up to $5.5 million to complete the upgrade of the city’s wastewater treatment and delivery facilities.
The total cost of the facility is $27.2 million with $23.6 million coming from the State Revolving Fund, leaving $3.6 million to be financed through bonds.
The city, however, also needs $1.25 million to extend the waterline to the OSU Experiment Station in Hermiston, $400,000 for a debt service reserve and $85,000 for debt issuance costs, bringing the total bond requirement to just over $5.3 million. Amy Palmer, the city’s finance director, recommended the council authorize a bond of up to $5.5 million to cover any difference between the estimated costs of the facility and the actual costs.
