Mid Ohio says East Side trunk bids reached $22M; financing raises true repayment to about $44M

During a presentation to London City Council, Mid Ohio Executive Director Nick Daley addressed the cost and financing of the East Side trunk sewer and explained how borrowing terms changed the project’s long-term burden.

Daley told council that construction bids for the trunk came in at about $22,000,000 and that, excluding other costs, he uses roughly $24,000,000 as the project construction figure on today’s dollars. He added that because the district financed the project with a 30-year loan at roughly 3.4–3.6% rather than receiving a 0% regional credit, the total amount to be repaid over the loan is far higher. “That total project just on today's dollars is somewhere around $24,000,000... the true number that we have to pay back is $44,000,000,” Daley said.

Daley said the district had expected regionalization credits in some cases under Ohio EPA programs but that eligibility can depend on how a project was nominated (for example, whether the City of London originally nominated the project). He told council Mid Ohio will continue seeking grants and funding opportunities but that the loan is already in place and debt service will shape rates and budgetary projections going forward.