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Gridley Herald

Federal Funding Opportunities Discussed in Live Oak

Feb 27, 2025 09:09AM ● By Shaunna Boyd

LIVE OAK, CA (MPG) -The Live Oak City Council held a special meeting on Feb. 18 to discuss possible federal funding opportunities for community facilities and water system upgrades. 

Sally Tripp with the United States Department of Agriculture (USDA) Rural Development outlined a variety of programs offered by the department that could support the community of Live Oak.

Tripp explained, “You determine what your community needs. We’re just trying to provide the funding for it.”

Tripp said that the City of Live Oak has an existing loan with United States Department of Agriculture at approximately $1 million taken out 20 years ago to pay for the city’s water system. The loan also came with a $1.4- million grant at that time.  

The United States Department of Agriculture doesn’t impose a maximum amount on its long-term, low-interest loans; the total is determined by the repayment amount the city can afford. Tripp said the current interest rate on their loans is approximately 41/8 percent. 

In the Community Facilities loan program, eligible projects could include new buildings, the purchase of land and the purchase of equipment. The Water and Wastewater program would cover projects such as new water lines, new wells, an emergency program for systems damaged by disaster, and upgrades to water or sewer plants.

Councilmember Nancy Santana said one of her top priorities is establishing a School Resource Officer (SRO) for local schools, and she asked if there would be any funding that could support such a position. Tripp said the Community Facilities program cannot fund ongoing operating costs but could be used for the purchase of necessary equipment, including a police vehicle. 

Councilmember Ashley Hernandez, who attended via teleconference, asked about funding for improving local businesses and supporting the launch of new businesses. Tripp said there are rural business development grants that could provide one-time funding for new businesses, and loans could cover improvements to sidewalks, roads, and gutters, as well as ADA upgrades.

Of particular interest was potential funding for Water and Wastewater upgrades. Interim Public Works Director Jeff Nelson said that despite low levels of PFAs (forever chemicals) found in some of Live Oak’s wells, most of the wells are in good shape and meeting current demand. However, the water system is due for some maintenance, and the city would like to add an eighth well in addition to a water storage tank. 

Nelson said that if a well had to be taken offline for any reason, “we’re a little vulnerable,” so an extra well would be beneficial and “serve future growth of the city.” 

The water system lift stations are also in need of upgrades. Nelson said the P Street station is very old and being managed “with baling wire and rubber bands. … It really needs to be completely redone.” A design was previously completed and put out to bid, but the project was cancelled due to lack of funding. 

Nelson added that the storm water system also needs upgrades, since there are areas of the city that flood during heavy rain events. 

Tripp said all those projects would be eligible for funding under the Water and Wastewater program, so the appropriate program liaisons will reach out to city staff to assist with the application process. 

Vice-Mayor Aaron Pamma asked for an overview of the application process, and Tripp explained they accept applications year-round. The first step is a pre-application process to determine if a proposed project is eligible for funding. If it is eligible, then the city submits the complete application, and approval would be determined within 45 days. The United States Department of Agriculture would then present a letter of conditions, and if the city agrees, they sign documents to officially request the funds. Then the design and bid process can begin, and the money is released into an account for city access.

Tripp cautioned that last year, Congress only allocated $250,000 to the Community Facilities program for the whole state of California, with a maximum award of $50,000. And they are not sure how much funding will be made available for all the United States Department of Agriculture programs this year. But the federal budget should be approved in March, so then they will have a better idea of how much of each type of funding will be available. 

Mayor Jeramy Chapdelaine said, “We have some work to do now and figure out what the priorities are.” He said the council will follow up to determine program eligibility for the projects that will most benefit Live Oak residents. 

Vice-Mayor Pamma said, “This is huge for us, so we’ve got to take advantage.”