City passes $8.9M debt for update in water waste system

Amarillo, TX - The City of Amarillo approved a several million dollar loan application that will go toward improving the City's waste water system.

The $8.9 million project will primarily be used to construct a new sewer line on south Georgia.

The project will be funded by a loan from the Texas Water Development Board and will be paid back over time using dollars the City collects in water and sewer rates. Although there's been no rate increase for residents yet, officials said there's no guarantee that they might not fluctuate in the future to help pay back these types of loans.

"As time goes, we're always having to look at rates and there could be rate increases in the future to cover the loans and that sort of thing," said Tim Loan, Assistant Director of Utilities for the City of Amarillo.

Loan said the project is also considered environmentally clean, because it will allow the City to decommission Pump Station 8 near Austin Park.

When construction begins, it will be a lengthy process and will affect traffic on South Georgia. Officials hope to begin the project sometime in the spring of 2014.