NEW CARROLLTON, MD. - The Maryland Department of Housing and Community Development today announced it has issued $17.2 million in bonds through the Local Government Infrastructure Finance (LGIF) Program to support infrastructure improvement efforts in St. Mary’s County.

The money for these St. Mary’s County projects are part of an overall $34.8 million in bonds that will be issued by local entities across Maryland. DHCD’s Community Development Administration administers the bonds on behalf of counties, municipalities and/or their instrumentalities to finance projects that serve the community at large, such as streetscape improvements, transportation enhancements or water and sewer treatment facilities.

The financing through the Department will bring the following projects in St. Mary’s County to fruition:

• Leonardtown - $6,000,000 to fund the construction of a new water storage tank and well.
• St. Mary's Metropolitan Commission - $11,257,216 to fund water and sewer system improvements.

“Our Local Government Infrastructure Finance program is an important tool for local governments to help fund projects to enhance the lives of its residents such as those planned in St. Mary’s County,” said DHCD Secretary Jake Day. “ We’re also grateful for partners such as McKennon, Shelton & Henn, People First, Caine Mitter, and Wilmington Trust for their hard work and diligence to make this happen.”

“The Town of Leonardtown is pleased to have been the recipient of our second LGIF loan in the last two years,” said Town Administrator Laschelle E. McKay. “These funds are being used to fund significant infrastructure projects to support future growth and economic development projects for our growing Town. The team implementing the LGIF program is top notch and assists the applicant throughout the entire process. The terms of the program make these large water and sewer projects much more affordable for small municipalities.”  

“The St. Mary’s County Metropolitan Commission is very appreciative of the Local Government Infrastructure Fund financing received through the Maryland Department of Housing and Community Development,” said Metropolitan Commission’s Executive Director George Erichsen. “These funds will allow the Commission to ensure that the community continues to be provided with a reliable supply of quality public water, enhanced fire protection and upgraded wastewater collection & treatment systems. We are grateful to the State, in particular to Mr. Charlie Day and Darrel Connelly for their work in helping secure these funds and to the all-volunteer Board of the Commission and our local County Commissioners for the incredible work they do in our community.”

The funds supporting the St. Mary’s County Metropolitan Commission in particular will go towards four projects:

• $2.9 million in upgrades to the King Kennedy / Loveville Road (MD 247) Water System will increase fire protection, correct undersized water main conditions, improve water service and replace lines that have experienced ongoing maintenance issues.

• The Bay Ridge Well Replacement & Upgrade Project was designed to provide a new production well and well house to improve system performance and integration in the Lexington Park service area, which serves an estimated 31,000 people. The $4 million project will include the new well, well house, pump controls, disinfection system, pipe work, telemetry equipment, and controls integration.

• $775,000 will enable Cured-in-Place Pipe (CIPP) sewer main rehabilitation technology to be applied to over 11,000 linear feet of prioritized sewer lines to prevent unnecessary expenses at sewer treatment facilities and corrosion in the public sewer system, which can significantly reduce the strength of the pipe and potentially lead to failure or collapse.

• $1.2 million to the Grinder Pump Replacement Program will help to replace aged, worn or otherwise problematic sewer grinder pump systems in order to improve reliability, reduce maintenance costs and avoid sanitary sewer overflow incidents. Without this program property owners would have no other means to dispose and treat their sewage.

Whether funds are needed for a $150,000 effort or a $10 million project, Local Government Infrastructure Financing is a convenient and streamlined resource for local governments that:

• Want to secure long-term capital financing with advantageous terms;
• Do not routinely issue bonds; and
• Have limited resources to initiate financing on their own.

Local governments must secure local legislative approval to receive the financing.

To see a full list of awards, click here. For more information on the Local Government Infrastructure Financing program, click here.