Redevelopment Agency earmarked funds for other projects prior to
sewer plan
Some Hollister residents are questioning why the Redevelopment
Agency has budgeted only $13.3 million to help defray the costs of
a new sewer treatment facility estimated at about $70 million.
Redevelopment Agency earmarked funds for other projects prior to sewer plan
Some Hollister residents are questioning why the Redevelopment Agency has budgeted only $13.3 million to help defray the costs of a new sewer treatment facility estimated at about $70 million.
The RDA is governed by the city council in its capacity as the agency board and is charged with eliminating blight in the city
Councilman Doug Emerson explained that there are certain projects that have to take priority, since there are no other funding sources available for them.
For example, the city has to replace the main fire station that has been plagued by termites. With the general fund running on reserves, there are no other funding sources available. Since the RDA is already committed to those projects, they were unable to redirect funding to a project that already has income from other sources.
“The plan has to stay in place – it’s not that the money is in a pot and we can take whatever we want and spend it on that particular project,” Emerson said. “The only way we could have arrived at more would have been to completely overhaul the plan, which has to be adopted and approved by the state,” Emerson said.
Opponents of the water rate increases have been especially critical of the city and the RDA for contributing $13 million.
“I think it’s pathetic, they want us to pay $150 more per month for water service but the redevelopment agency only kicks in $13.3 million, that really isn’t that much at all,” said Gina Milsapp, a concerned citizen.
Milsapp was first interviewed by The Pinnacle when she attended a forum put together by the Community Leaders for Economic Activity and Recovery (CLEAR), a group comprised of business leaders and concerned citizens organized to educate the public about the effects of the sewer moratorium and help the city get the moratorium lifted.
Annette Giacomazzi, a spokeswoman for CLEAR, did not return phone calls from The Pinnacle.
Also, it was learned this week that bids came in $14 million lower than the project planners had previously estimated. The project was estimated at $71 million, but the lowest bid was $57 million.
City Manager Clint Quilter did not return phone calls requesting comment.
Patrick O’Donnell can be reached at [email protected]
