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City of Buckhannon Receives USDA Commitment for Major Water Treatment Plant and Line Replacement Project

BUCKHANNON, WV: The City of Buckhannon is pleased to announce that the United States Department of Agriculture (USDA) Rural Development has officially obligated loan and grant funding for the construction of the City’s new water treatment plant—an essential infrastructure investment totaling $47.31 million.

During a meeting with USDA officials, the City received confirmation that federal funds are now committed and reserved exclusively for Buckhannon’s project, marking a major milestone in advancing the long‑planned upgrade to the municipal water system. This commitment represents the second‑largest USDA financing package ever approved for a water or sewer project in West Virginia. USDA representatives emphasized that the obligation reflects strong federal confidence in the project and is expected to encourage additional state and federal partners to finalize their own commitments. The project’s funding package includes USDA loan and grant support, ARPA funds, West Virginia State Revolving Fund dollars, U.S. EDA grant funding, West Virginia Water Development Authority support, IJDC loan participation, and an EPA CDS grant.

In total, USDA is providing $33.31 million of the $47.31 million project cost—including a $31.31 million low‑interest loan and a $2 million grant—while the remaining $14 million will come from a combination of state and federal partners.

Project Scope

The new water treatment plant represents one of the largest infrastructure investments in the City’s history. The City’s recent water rate adjustment will support the long-term repayment of the USDA loan, ensuring the project’s financial stability. USDA also outlined requirements for project reserves, construction timelines, environmental compliance, engineering documentation, and procurement standards. The City will continue to coordinate with the Region VII Planning & Development Council, project engineers, and legal counsel to meet all federal conditions within the one‑year compliance window.

Next Steps

The City of Buckhannon will now proceed with:

  • Finalizing engineering plans and specifications
  • Securing commitment letters from all partner funding agencies
  • Completing required permitting and environmental documentation
  • Preparing for construction bidding authorization

USDA officials noted that Buckhannon’s progress to date has been exemplary, stating that the project team, engineers, and financial staff “did a very good job with the financial documents and the price‑to‑earnings ratio.”

A Milestone for Buckhannon’s Future

Mayor Robbie Skinner and City leadership expressed appreciation for the partnership and diligence of USDA Rural Development, Region VII, project engineers, and all agencies involved.  Mayor Skinner also recognized the professionalism and dedication displayed daily by the City’s Water Department supervisors and employees, whose work ensures reliable service to thousands of customers across the region. The new water treatment plant will secure long‑term reliability, regulatory compliance, and service capacity for residential, commercial, and wholesale users throughout Buckhannon and surrounding communities. The City of Buckhannon will continue to provide updates as the project advances toward bidding, construction, and eventual groundbreaking.

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