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TOWN OF ULSTER, N.Y. — Expenses to get RUPCO water and sewer line extension projects started will be paid through a $250,000 loan from the town general fund in anticipation that American Rescue Plan Act reimbursements are going to be made by the end of the year.
The funding would be used as part of plans to extend the lines from the south side of the state Thruway to the north side, Town Board members said during a meeting Thursday.
“It’s a resolution authorizing the loan … to the capital project extension of water and sewer lines to the RUPCO-Quality Inn project,” Councilman Clayton VanKleeck said.
Under a construction agreement, officials expect to have right-of-way permissions from the county and Thruway Authority by June, issue a request for bids in July, award contracts by September, start construction in October, have water lines connected by April 2024, and sewer lines finished by October 2024.
Ulster County officials have committed up to $2 million toward the project, which RUPCO has requested to support a plan to convert the former 162-room Quality Inn into an 81-unit apartment building that will help homeless people transition to permanent housing.
RUPCO Executive Director Kevin O’Connor said in a project presentation in June 2022 that the project is intended to help people deal with problems as they work toward establishing a stable home life.
“It (includes) getting children into school, there could be still some (issues) with domestic relations, there could be some medical issues, we’ll have both medical and behavioral health (assistance) on site,” he said. “there’s just a host of needs.”
The town has previously agreed to contribute $10,000 toward engineering costs needed to design a crosswalk on state Route 28; approved a payment-in-lieu-of-taxes that will have RUPCO pay $1,000 per unit annually with a 5% increase every five years over a 40-year period; and adjusted the Washington Avenue Sewer District rates to include the same residential fees that are used in other districts.
Supervisor James Quigley previously said that the city of Kingston has been helpful in revising the sewer rates, which had been set 17 years for the Washington Avenue Sewer District based on it having only commercial users.
“The city of Kingston consented to modifying their agreement with the town of Ulster to include a residential billing rate,” Quigley said. “(It) is the same billing rate that the Spring Lake Sewer District is being operated under.”
Under the resolution, residential rates were set at $54 for the first 5,000 gallons of water used and $10.77 for each 1,000 gallons of additional water used. Commercial rates have been set at $80 for the first 5,000 gallons and the same $10.77 for each 1,000 gallons of additional water.
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