GLENS FALLS -- Cash flow at the Glens Falls Waste Water Treatment plant could increase significantly under an agreement to handle additional sewage flow from anticipated housing developments in Moreau.
An agreement to reserve additional capacity at the city's treatment plant for Moreau sewage would be worth "well over $2 million" over 10 years, if the town uses the full amount reserved, said Glens Falls Mayor John "Jack" Diamond.
The city Water and Sewer Commission and city Common Council approved the agreement at separate meetings last week.
The Moreau Town Board is expected to discuss it at its June 28 meeting, said town Councilman Tom Cumm.
The city plant on Shermantown Road already processes some sewage for Moreau.
But additional capacity will be necessary to handle several large housing developments planned in the town.
"They will all have to have sewer," Cumm said.
Under the agreement, the city would reserve up to 1 million gallons of daily capacity for use by the town, in increments, over the next 10 years, if the town needs it.
On or before June 1, 2014, the town may purchase up to 300,000 gallons of daily capacity, at a cost of $867,000.
An additional 300,000 gallons of capacity could be purchased on or before June 1, 2017, for $867,000, with a final purchase option of an additional 400,000 gallons on or before June 1, 2021, for $1.156 million.
"Again, the city is taking the lead on an intermunicipal cooperation agreement," Diamond said.
If Moreau takes the full amount, the plant would have about 800,000 gallons of unused capacity available for other customers without expanding the plant, Diamond said.
The plant also processes sewage for Queensbury, and officials have discussed the possibility of processing sewage for Kingsbury or Hudson Falls, if it is feasible to install a pipeline connecting either municipality to the plant in Glens Falls.