Hildale City Takes Advantage of New Natural Gas Grant

SEATTLE (Oil Monster): The special council meeting in Hildale held July 20 discussed some gas issues resulting in a “squeaky clean” scheme for the city with little to no pressure for any financial responsibility on the city.

During the meeting, an item was discussed about a grant submission for just over $1 million under the Federal and Utah Departments of Transportation. The grant will help pay for upgrades and to improve gas pipelines for infrastructure safety.

Jerry Postema, the city’s utility consultant, laid out the grant requirements and what it entails for Hildale.

“The negative impact on the public is very low,” Postema said.

The grant program was announced on May 24 by U.S. Department of Transportation Secretary Pete Buttigieg as the Natural Gas Distribution Infrastructure Safety and Modernization Grant. The program was made possible by President Joe Biden’s bipartisan Infrastructure Law, signed into effect in November 2021.

The grant, which is a $200 million dollar annual program, is dedicated to improving and replacing old natural gas pipelines in underserved communities. The five-year program is only available to government or tribal-owned utility companies and not “for-profit” utility entities.

Postema outlined how they are looking at about $2 million in grant money, and, at the moment, they were up a little above $1 million in current findings of needed repairs or improvements.

Mayor Donia Jessop had one major concern of how much of a match would be required for the grant, to which she got a very surprisingly good reply.

“100% grant. No match,” summed up Postema.

The grant will be administered and regulated by the Pipeline and Hazardous Materials Safety Administration under the Federal Department of Transportation. The grant is to help underserved communities of both urban and rural areas to receive the finances to repair gas leaks, replace older piping, replace broken meters, and more.

Several council members asked if the grant would help create new lines for city members who do not have gas lines for their properties.

“No, it is for existing lines, not extensions,” stated Postema.

Mayor Jessop asked how likely they were to receive the grant to which Postema replied, “very likely.”

“Very high. Because of the one required stipulation of it going to an underserved community, we are guaranteed at least 40% of the grant,” answered the city consultant.

Courtesy: www.stgeorgeutah.com