EDWARDSVILLE — Two infrastructure projects in the village of Pontoon Beach and the city of Venice will benefit from Madison County Community Development’s Revolving Loan program following approval of the loans by the Madison County Board at its January meeting.
The Pontoon Beach Public Water District will receive a $260,000 loan to construct a third water main connection to the Illinois-American Water Co.’s water main on the east side of Route 111. The project will improve water pressure for emergency services throughout the water district and will significantly improve the overall management of the water system.
The $100,000 loan from Madison County Community Development will be used by the city of Venice to fund its share of the engineering costs associated with a $987,000 project to reconstruct Bissell Street, which borders Venice and the city of Madison at Route 3.
Madison County Chairman Alan J. Dunstan said the revolving loan program has been an asset to local governments.
“The low-interest loans from the county’s revolving loan program have enabled communities throughout Madison County to make needed infrastructure improvements while minimizing the financial impact on residents,” Dunstan said in a press release.
“The loans to Pontoon Beach and Venice are for projects which improve public safety,” Dunstan said. “But the projects, and Madison County’s support, positively contribute to general improvements of the area in question and make them more attractive for housing or business development which benefit the respective communities and, ultimately, Madison County.”
According the Madison County Community Development Administrator Frank Miles, the funds for both loans are drawn from the Madison County Community Development Revolving Loan account, which is funded by Urban Development Action Grant loan repayments.
“Through the effective management of the grant funds, Madison County has been able to maintain a sufficient balance in the account to support a wide range of large and small projects throughout the county,” Miles said.
Miles said the revolving loans support projects that “… strengthen Madison County. When any area of Madison County is improved, whether it is a road or water project, a new firehouse or safety equipment, it not only benefits the respective community but the image of the entire county.”
The loans carry a 3 percent interest rate for a seven-year term and are secured by general obligation ordinances individually adopted by the Pontoon Beach Public Water District and the city of Venice. The city will repay the loan with motor fuel tax funds approved by the state of Illinois.
The Urban Development Action Grant program was funded by the U.S. Department of Housing and Urban Development (HUD) and is administered in Madison County by the Community Development department.