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News Release
Release No. STELPRD4013784
ContactKatherine Belcher859.224.7306
Printable Version  Printable Version

Lexington, KY, Nov 28, 2011 -- Rural Development State Director Tom Fern was in Stanton today to announce more than $6.3 million in funding to establish a new regional wastewater system for the cities of Stanton and Clay City. Fern was joined by U.S. Rep. Ben Chandler (6th), Powell County Judge-Executive James Anderson Jr., Stanton Mayor Dale Allen and Clay City Mayor James Caudill.

The total cost of the project is estimated at $11.9 and includes additional grant funding from the Kentucky Infrastructure Authority ($500,000), Appalachian Regional Commission ($600,000), Community Development Block Grant ($2 million) and the Economic Development Administration ($2.5 million).

“Rural Development’s support for infrastructure projects reflects our commitment to ensuring rural communities can create jobs, attract businesses and provide essential services to their residents,” said Fern. “The local, state and federal officials representing this area have worked together in concert to make this project a reality, ensuring that these communities can provide adequate wastewater service to residents and businesses while also planning for future needs and enhancing opportunities for economic development.”

Improvements at the new treatment plant include increasing capacity from 460,000 gallons per day to more than 1.4 million gallons per day; upgrading the existing pump station; construction of a building to house administration/laboratory/electrical services. It also includes installation of a major sewage pumping station at Clay City that will convey collected wastewaters to the expanded Stanton treatment plant.

This project was necessary as the cities of Stanton and Clay City have existing wastewater treatment plants that are operating under enforcement actions from the Kentucky Environmental and Public Protection (EPP) Cabinet. Both plants have wastewater flows that exceed rated treatment capacity. Rather than continue operating two treatment plants, the decision was made to expand and upgrade the Stanton facility to serve both areas and decommission the plant in Clay City.

The enforcement actions have made it nearly impossible for local leaders to bring new employers into the county as the existing sewer infrastructure will not support growth or additional sewage flow. Combining the two systems will eliminate existing problems and make the operations more efficient, cost-effective and allow for economic growth and increase the potential for jobs creation.

Once the project is complete, the treatment plan can eliminate current enforcement actions and improve its wastewater service for its 1,500 residential customers and 219 commercial customers.

Rural Development’s Water and Environmental Programs (WEP) provide loans, grants and loan guarantees for drinking water, sanitary sewer, solid waste and storm drainage facilities in rural areas and cities and towns of 10,000 or less. Public bodies and non-profit organizations may qualify for assistance. Rural Development also makes grants to nonprofit organizations to provide technical assistance and training to assist rural communities with their water, wastewater, and solid waste problems. For more information, go to

USDA, through its Rural Development mission area, administers and manages more than 40 housing, business and community infrastructure and facility programs through a national network of 6,100 employees located in the nation's capital and nearly 500 state and local offices. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America. Rural Development has an existing portfolio of nearly $142 billion in loans and loan guarantees.


USDA is an equal opportunity provider, employer and lender. To file a complaint of discrimination, write: USDA, Director, Office of Civil Rights, 1400 Independence Ave., S.W., Washington, D.C. 20250-9410 or call (800) 795-3272 (voice), or (202) 720-6382 (TDD).

Last Modified:09/28/2012 
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