Last Updated:  March 26, 2019

After years of discussion and debate by the Township Board, Oshtemo Township applied to the United States Department of Agriculture (USDA) Rural Development program for a $28M loan to extend sewer into older neighborhoods that were developed before any sewer existed in the Township and areas where we expect development to occur in the near future.  At the USDA’s urging, the project was split into two phases as described below:

  • Phase I ($8.3M) to service six areas
    • Beech Ave
    • Skyridge and Burgundy Manor plats
    • Whitegate Farms No. 1 and No. 2 plats
    • Fairlane plat
    • Sunset Road and Meridian Ave
    • M-43 between 8th St and Township Hall & 7th St north of M-43

 

  • Phase II ($19.9M) to service five areas
    • All of Westport (i.e., Westport plats 1-13, Meadowbrook Hills No. 1 and No. 2 plats, Countrywood Estates plat, and Wyndham Wood plat)
    • Country Club Village plats 1-5
    • KL Ave between 8th Street and Autumn’s Way Blvd
    • 11th Street between Parkview Ave and N Ave
    • Opark Street and Frie Ave in the Frie & Gibbs plat

A map of the existing Oshtemo sewer system and the planned sewer extensions is above and can be found here.

The application for the USDA Rural Development loan for Phase I has been accepted by the USDA.  USDA provided conditional approval of the Phase I loan for 40 years at 2.375% interest rate.  To close the Phase I loan, Oshtemo must complete the engineering design of the sewer system, receive USDA approval to proceed to contract bidding, receive bids, and select a contractor.  That process will establish the amount of the loan.  The notional schedule for Phase I is as follows:

  • Complete engineering design of Phase I sewer extension – Spring 2019
  • Receive USDA approval to proceed to bidding – Spring 2019
  • Receive contractor bids and award contract – Summer 2019
  • Receive detailed construction schedule from contractor – Summer 2019
  • Construct sewer in Phase I areas – Summer/Fall 2019 and Spring 2020.

The Phase II loan application has been accepted by the USDA.  The USDA is waiting for Congress to determine the USDA 2019 funding levels to determine if they can fund the Phase II loan in 2019 or wait until 2020.  Oshtemo intends to complete sewer engineering design in the Summer 2019 to ensure the project is ready to go once USDA funding has been determined.

A Frequently Asked Questions (FAQs) document was created to answer typical resident questions.  The references for the FAQs are:

For questions about specific properties, please contact the Public Works staff for more information.

 

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