Letter to Governor David A. Paterson

Letter

AS ECONOMIC RECOVERY BILL NEARS PASSAGE, SCHUMER, ARCURI PUSH TO PRIORITIZE ONEIDA AND UTICA SEWER-WATER PROJECTS - PROTECT RATEPAYERS, LOCAL ECONOMY AND ENVIRONMENTAL HEALTH OF ENTIRE REGION

Oneida's and Utica's Aging and Broken Sewer Systems Have Been Overflowing & Discharging Untreated Sewage into the Mohawk River for Years; Oneida Upgrade Under State Mandate Could Cost $158 million and Utica Upgrade as much as $152 million

But Sky-High Cost to Fix Ailing Infrastructure System Will Place Enormous Economic Burden on Oneida County and Utica Ratepayers Just As the Economy Worsens

Schumer, Arcuri Write Personal Letter Urging NYS to Make Every Effort to Direct Funding to Oneida, Utica Sewer Projects When Economic Stimulus Funds Flow to State

U.S. Senator Charles E. Schumer and U.S. Congressman Michael Arcuri today urged New York State to work to make Oneida County's sewer district and Utica's sewer system top priorities when federal economic stimulus funds for infrastructure projects are delivered to the state. The aging sewer-water systems in the Oneida sewer district and in Utica are in near disrepair and have been spewing untreated sewage into the Mohawk River for years, threatening the economic and environmental health of the entire region. Under state order, the cost to fix the Oneida County Sewer District sewer-water systems is estimated at over $150 million, with a similar amount to upgrade the Utica system. Paying for the projects would place a crushing burden on homeowners, ratepayers and businesses.

In an effort to protect taxpayers from bearing the entire burden for the cost of fixing the sewer-water system, and to protect the economic and environmental health of the entire region, Schumer and Arcuri are urging the state to make these projects top priorities as they begin to work to distribute the funds from the federal economic stimulus package, which is expected to pass soon.

"It is vital that we provide resources to help Oneida and Utica meet their obligations to upgrade their sewer systems," Schumer said. "In these very tough economic times, the multi- hundreds-of-million dollar price tag of these projects is too high of a burden for local ratepayers and the county to handle all on their own. As we work in Congress to create new jobs by funding infrastructure projects, Congressman Arcuri and I want to make sure the Oneida and Utica sewer-water project is on the radar for funding. This would be a win-win for the Mohawk Valley - not only relieving some of the cost on the county, city and taxpayers, but also creating many new jobs in the region. Over the past decades, state and federal partners unwisely walked away from their responsibility to help fund these vital sewer upgrades and now is the time to change that way of doing business."

"From day one, Senator Schumer and I have been fighting to make sure that Oneida County and the City of Utica get the funding they need to upgrade our sewer system." said Arcuri, a member of the House Transportation and Infrastructure Committee. "I've said over and over again that repairing our sewer is the top priority here in the Mohawk Valley, and I'll fight to make sure New York State invests available federal funds in critical local projects."

In February of 2007, Oneida County was ordered by the state to immediately fix its sewer-water system because untreated sewage has been flowing into the Mohawk River when it rained or snowed. Recently, the Oneida County Sewer District entered into a consent order with the New York State Department of Environmental Conservation (DEC) to improve its system. This will entail rehabilitating the sanitary sewer collection system, and upgrading a pumping station, forcemain, and water pollution control plant. After a complete study of the problem, the cost for repairing the system had soared from $66 million to at least $150 million. Much of this cost could fall to the ratepayers in the sewer district -- many of whom are already slammed by high taxes and a severe economic downturn. In addition, the cost to the County could pose a threat to the overall economic health entire region, impeding growth and jobs across the Mohawk Valley.

Additionally, like many older cities, the City of Utica has a combined sewer overflow (CSO) system. During heavy rains, the system can overflow, discharging untreated sewage into the Mohawk River, posing environmental and public-health problems for the surrounding communities. The City is working to separate its storm-water and sanitary sewer systems and the estimated cost is another $150 million.

The Senate federal economic stimulus package includes over $520 million for sewer-water infrastructure projects in New York State, millions of which will go to Upstate New York. The funding for these projects will be decided by the state but will be channeled through existing federal funding formulas such as the Drinking Water State Revolving Fund and the Clean Water State Revolving Fund. This funding will be a mix of loans and grants. All of the projects will have to meet federal statutory requirements. The Obama stimulus package will not include earmarks for specific projects. The Oneida and Utica sewer-water projects meet all of the federal criteria for shovel-ready projects that could receive funding from the economic stimulus project. They are not currently on the State's Intended Use Plan (IUP), which is the list used to distribute funds. In their letter, Schumer and Arcuri urge the State to issue a supplement to the IUP which would include these projects. Getting on the IUP is a critical first step in getting federal funding.

In a push to bring much-needed federal dollars to the project, Schumer and Arcuri today wrote a personal letter to Governor David Paterson, asking him to prioritize the Oneida and Utica sewer-water project on the list of projects that could be funded with money from the economic stimulus package. Schumer and Arcuri cited the high-cost on already-strained ratepayers and Oneida County, saying it could force property tax hikes and program cuts in the region if the project doesn't receive financial help. The representatives also urged the state to accomodate the needs of the region saying, "We are hopeful that the deadline for expending the money in the ARRA will give you sufficient time to include these two projects."

Schumer and Arcuri wrote, "We understand that you will have many worthy projects from which to choose when you spend this money. . . We encourage you to put some portion of that money towards two projects in Oneida County: one with the City of Utica, and the other with the Oneida County Sewer District. Both of these important projects critically need federal support, and we encourage you to make them priorities."
See below for a full copy of the letter:

Dear Governor:

As you prepare your priorities for spending the money included in the American Recovery and Reinvestment Act of 2009 (ARRA), we encourage you to put some portion of that money towards two projects in Oneida County: one with the City of Utica, and the other with the Oneida County Sewer District. Both of these important projects critically need federal support, and we encourage you to make them priorities.

Neither of these projects is currently on the State's Intended Use Plan (IUP) for 2009. We are hopeful that the deadline for expending the money in the ARRA will give you sufficient time to draft a supplement to the IUP. If that is possible, we encourage you to include these two projects.

Like many older cities, the City of Utica has a combined sewer overflow (CSO) system. During heavy rains, the system can overflow, discharging untreated sewage into the Mohawk River, posing environmental and public-health problems for the surrounding communities. The City is working to separate its storm-water and sanitary sewer systems. This project is very important, but unfortunately very costly—current estimates put the cost at well over $150 million.

Similarly, the Oneida County Sewer District has been working to control the outflow of sanitary sewer overflows (SSO) into the Mohawk River during wet weather. Recently, the District entered into a consent order with the New York State Department of Environmental Conservation (DEC) to improve its system. This will entail rehabilitating the sanitary sewer collection system, and upgrading a pumping station, forcemain, and water pollution control plant. The District estimates that this work will take more than $150 million to complete.

Both of these important projects are absolutely critical to protecting the environment in the Utica region and expanding the local economy. We encourage you do everything you can to fund the shovel-ready phases of both projects with money from the American Recovery and Reinvestment Act.

Sincerely,

U.S. Senator Charles E. Schumer
U.S. Congressman Michael Arcuri

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