By David Meade
The ReWa Letter of Intent to purchase the Town of West Pelzer sewer system was unanimously approved by West Pelzer Town Council Tuesday.
The letter of intent included fourteen terms under which ReWa is willing to acquire the system and assume all respnsibility for continued operation and development.
Among them:
ReWa will assume ownership and operation of the town’s wastewater collection system, including two pump stations, the EQ Basin and Transfer Pump Station (Treatment Plant).
The defined collection system includes all sewer installations identified in a “Progress Report” prepared by Design South Professionals, Inc. dated July 20, 2017.
The Town of West Pelzer will convey their existing easements, rights of way and any property associated with the collection system, including pump stations.
The collection system is defined as the runs of pipe between manholes and identified in the system map prepared by Design South Professionals, Inc.
The Town of West Pelzer will retain property not associated with the EQ Basin and Transfer Pump Station located on Mill Street. All liens associated with the debt that is not part of the wastewater collection system, pump stations or transfer station will remain with the town.
The grants secured against the system by the USDA-RD must be forgiven or otherwise retired.
ReWa will thereafter retire the debt on the system subject to verification of the outstanding balances of $1,520,000 for West Pelzer.
ReWa will invest further funds in the system if necessary currently anticipated to be approximately $250,000.
ReWa will hold an investment fund available for system improvements to foster economic development opportunities in the area amounting to $400,000.
ReWa is willig to make a cash settlement for any remaining system value anticipated at $400,000.
The town will provide all available records, reports, consturcton plans, permits, and related documentation of the sewer collection system.
The town will furnish detailed customer information for the approximate 450 users on the system.
The town will continue to fully complete and closeout the Phase 2 upgrade project.
The town sill continue to fully bill for, collect and transfer to ReWa monthly sewer charges by ReWa for the sewer customers at a cost subject to annual review and adjustment agreeable to the parties.
The town will collect all sewer bills following the current practices of water service disconnection for delinquent bills.
ReWa made the initial proposal to purchase both the West Pelzer wastewater and the Pelzer system and several joint meetings were held last year about the proposal.
After the two towns combined their public works departments, a joint sewer committee comprised of the mayor and mayor pro tem of both towns was formed to look at the options with ReWa.
A newly elected Pelzer Town Council severed that agreement with a vote during a special called meeting Monday.
West Pelzer Mayor Blake Sanders said that attorneys and others including US Rural Development have agreed that West Pelzer can move forward with selling their system to ReWa, regardless of what Pelzer officials decide to do.
