The city of Polson has been approved for loans to help improve water quality, according to Governor Steve Bullock.

On July 12, Polson was approved for two State Revolving Fund loans for a total of $14.6 million to modernize the city’s wastewater treatment system. The project will improve water quality, protect public health and safety and create jobs, a press release stated.

One loan was approved for $14.2 million at a 2.5 percent interest rate for 30 years while a second loan was approved for $400,000 at 2.5 percent, also at 30 years. The smaller loan will be forgiven if certain conditions are met.

Those conditions, City Manager Mark Shrives said Monday morning, include meeting reports, requirements and running an overall “good project.”

Polson’s wastewater system dated back to 1981 with major improvements in 2001.

The facility, located on 7th Avenue, will cost an estimated $17.6 million. Swank Enterprises out of Kalispell is the contractor for the project.

Other monies used to fund the project include grants and about $1.15 million in what Shrives called “match funds,” money that officials have saved from two rate increases over the last three years that are set aside.

Shrives said that Polson has had a lagoon system, which, according to the city’s website, has been used since the 1950s.

A mechanical system, with large basins of water that are processed mechanically, will be put in place, Shrives said.

The replacement project began in April and is anticipated to be completed in October of 2018, he added.

An updated water treatment system means that the water discharged into Flathead River will go through an ultraviolet disinfection. “It’s going to be very clean water,” Shrives said.

The city also received several grants to help with the cost of an engineering and design study for the new treatment system, including a $750,000 Treasure State Endowment Program grant and a $125,000 Renewable Resource Grant, all within the last couple years as officials have worked on the project, Shrives said.

The replacement is not part of a bill introduced by U.S. Senators Jon Tester and Steve Daines, the Authorized Rural Water Projects Completion Act.

“This (Polson’s water project) was actually in place for about three years. This did not fall under that new legislation,” Shrives said.

That act, according to a joint press release from both senators, will invest $80 million annually for the next 20 years, constructing and upgrading drinking water infrastructure in Montana as well as across the country.

Shrives said that if a third rate increase is needed, it would not be considered until after the project is completed. He stated that officials are working to get the project “done at budget.”

Shrives said that there are photos of the project located in City Hall, 106 1st Street East, with descriptions of the process.