LOWELL -- City officials hope a $617,000 sewer line extension on Dixieland Road north toward Rogers will help spur commercial growth in the area.
The City Council approved the extension during a meeting Tuesday. The line will be extended about a mile from the intersection of Dixieland Road and Monroe Avenue to Oakwood Street.
"When Dixieland Road was developed the sewer failed to be addressed," Mayor Eldon Long said. "We feel the road is not commercially developed because there is no sewer there."
Jerry Hudlow, Lowell finance director, said there has been interest from builders to add commercial buildings along the road in the past.
"When they found out there wasn't any sewer service they would back off it," Hudlow said.
Cost wasn't the concern for most interested commercial developers, Hudlow said. The delay in extending the sewer line was the issue, he said.
"They wanted to purchase the property and start construction and have their business up and running in a reasonable time frame," Hudlow said.
The $617,000 includes a $496,473 construction contract with Arco Excavation and Paving in Bentonville the council also approve Tuesday, according to city documents. Bids for the project were opened in February, and Arco Excavation was the lowest bidder.
Engineering fees, attorney fees and the purchase of two easements also are calculated in the total cost, the documents state.
Hudlow said the city is still in the process of negotiating with one landowner for an easement. The project price could be increase or decrease depending on the cost negotiated, he said. The project would go back before council for a cost change approval if that happens.
Long said the cost of extending the line will be dispersed back to businesses as they develop lots along the road. He businesses will be charged a fee for the sewer extension. The fee amount is unknown at this point, he said.
The city could start recouping costs in the near future, Long said. The project will take 90 days after the contract is signed, and it should be signed in a few days, he said.
"I am so happy that the council has not only approved the project but also the funding and now we will be moving forward and awarding the contract," Long said.
Hudlow said commercial revenue is important for the city.
"Sales taxes are the mother's milk of city government," Hudlow said. "That is where you live and die. We are trying to spur a little economic development along that stretch of highway."
NW News on 03/20/2015