**Mary Gambill, Community Outreach Specialist** Ainsworth, Nebraska
(402) 387-2242

**Vicki Pecena**, Village Clerk Spencer, Nebraska (402) 589-1038

**WATER IMPROVEMENTS FOR SPENCER VIA FEDERAL AND STATE FUNDING**

**Ainsworth, Neb., May 23, 2003\--**The U.S. Department of Agriculture
(USDA) Rural Development awarded this month, over \$1 million in loan
and grant funds to the Village of Spencer. The USDA monies leveraged
with \$250,000 in Community Development Block Grants from the Nebraska
Department of Economic Development will afford the 541 residents of
Spencer with the continued delivery of potable drinking water.

\"Difficulties occurring with the Village\'s water distribution system
and lack of storage tank capacity will be corrected through the water
improvement project,\" stated Mary Gambill, community outreach
specialist for Nebraska USDA Rural Development. \"Presently, the water
system is in a state of constant repair with increasing maintenance
costs.\"

The existing 35,000-gallon elevated water storage tank for Spencer lacks
the capacity to meet one day of the community\'s reasonable water
demands. The majority of the water system dates back to 1920 complete
with cast iron water mains that are deteriorating and causing a rise in
the frequency of water main breaks. Additionally, the distribution
system is extremely weak, this witnessed when opening hydrants in
various areas of the Village reducing some main line pressures to below
20 psi or zero pressure. The minimal number of valves, which are also
old and some inoperable, prove challenging when isolating the mains
during repairs and in minimizing sanitary hazards. Water system
deficiencies noted when compared to state standards include insufficient
sized mains; dead-end mains; inoperable and inadequately spaced
hydrants; hydrants without isolation valves; and hydrants connected to
inadequately sized mains. These deficiencies contribute to inadequate
water system reliability and operating pressures, increased sanitary and
health hazards, and customer complaints of low pressure.

\"This water project will be a big step for the citizens of Spencer to
rebuild the infrastructure of the community - the foundation of the
town,\" stated Vicki Pecena, village clerk of Spencer. \"The residents
will have a safe, low maintenance water system for their future. Small
towns like Spencer can\'t survive if their basic services are allowed to
deteriorate.\"

Spencer\'s water improvement project will provide for the construction
of a 100,000-gallon elevated water storage tank and for demolition of
the existing tank. Approximately 21,500 LF of old distribution lines
will be replaced for improved water delivery. The new tank will aid the
Village in meeting the minimum guidelines of the Nebraska Department of
Health and Human Services. The tank will also provide for minimum
residential fire demands and eliminate a potential health concern where
a residential fire demand could exceed existing supply and storage
capacity and create the potential for back flow of contaminants into the
distribution system.

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The \$979,800 USDA loan and \$55,200 grant were provided through the
USDA Rural Development Water and Waste Disposal Loan and Grant program.
The loan term is 40 years at the rate of 4.5 percent interest. For
additional information contact Mary Gambill at 731 E. 4^th^ Ainsworth,
Neb. 69210 or phone (402) 387-2242, (402) 437-5093 (TDY). Visit
http://www.rurdev.usda.gov/ne/.

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USDA Rural Development is an Equal Opportunity Lender, Provider and
Employer. Complaints of discrimination should be sent to USDA, Director,
OCR, Washington, D.C. 20250-9410.