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HCA approves $1M in projects, invoices, locks natural gas rates

standardspeaker.com · last updated

The Hazleton City Authority approved over $1 million in invoices and project funding at its most recent meeting, covering PENNVest loan payments and ongoing efforts to improve the water system.

The agenda for Wednesday’s meeting was packed with more than double the resolutions the board normally discusses.

The first included approving an approximately $400,000 payment for HCA’s PENNVest loan principal.

“The PENNVest payment was part of the regular invoices the authority approves on a weekly basis. That just involved releasing money the HCA already has for projects it’s already approved. The amount paid out was more than normal, but it’s going to be the new normal going forward as the grace period on the loans ends,” explained Joseph Zeller, chairman of the HCA board. “This invoice is another example of what’s being covered by the August rate increases.”

In addition to the invoice expenses, the HCA also approved another $490,900 for two services contracted by the authority.

“A fifth of the money approved will go to MDA Engineering for Geographical Information System Services, which allows us to map and inspect our underground water systems for 2027 without needing to dig everything up. The rest of it will go to USG Water Solutions for their work on the Derringer water tank, to clean and rehabilitate this infrastructure, which is about 15 years old now,” said Zeller.

Finally, the board moved to approve a natural gas rate lock deal with NRG Business and Consulting LLC to cover the authority’s natural gas expenses for the next three years.

“To put it simply, this deal will save the authority $20,000 every year, totaling $60,000 in savings by the end of the contract compared to the next best offer,” said Zeller

Other items

In addition to the passed resolutions, the HCA board had planned to discuss a new well-drilling project, but could not, due to a lack of bids.

“It’s pretty unusual that this happens. When we open a construction bidding session, we expect to receive at least a few offers; maybe the news just didn’t spread far enough.  For now, we plan to just open it back up for re-bidding at a later date, which will be decided later on,” explained Zeller.