PROJECT INFORMATION:
Osage currently purchases water service from Black Hills Power and Light
(BHPL). BHPL owns the source wells, the transmission pipelines, storage
facility and the distribution system. BHPL projects phase-out of their
power generation facility at Osage between 2010 and 2015. Osage wants
to acquire the system from BHPL and rehabilitate the components to bring
the system up to standards.
The Level II report identified approximately $2,000,000 in recommended
system improvements which should be made to the system to insure a long
term reliable supply. BHPL and the community have signed contracts
transferring the well and water system to the District contingent on the
District receiving funding to purchase the system and perform necessary
repairs. In 1995, the WWDC funded the stimulation of a Madison well
currently owned by Black Hills. Production was increased from about 12
gpm to an excess of 300 gpm.
RECOMMENDED LEGISLATIVE ACTION:
The Commission recommends that the project be placed on hold status to
allow the District sufficient time to hold the bond election necessary
to secure partial project funding from Rural Economic and Community
Development.
