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The Town of Alexander has received a loan and a grant to establish a new water district.

Congressman Chris Collins announced that USDA Rural Development has awarded Alexander a nearly $1.2 million loan and a $500,000 grant as part of Rural Development’s Water and Waste Disposal Loan and Grant program.

Once complete, the new water district will provide public water to 66 residents. The project includes running 21,500 linear feet of 12-inch water line and installing valves and hydrants along Route 98.

The combined total of the loan and grant will equal cost of project. The loan has an interest rate of 2.1 percent over the next 38 years.

Collins says in a news release that this a smart use of federal tax dollars.

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