Governor Kaine Awards Grant, Emergency Aid to Big Stone Gap After Water Emergency
– Reimbursement for town, agencies; grant to help prevent future shortages –

RICHMOND – Governor Timothy M. Kaine today awarded a $274,260 grant and $457,412 in state emergency funding to the Town of Big Stone Gap to purchase water filtration plants that proved essential during the town’s water crisis last fall. The town and Wise County will make up the difference to complete the purchase of the equipment, which will be incorporated into Big Stone Gap’s existing water filtration system.

A state of emergency was declared for Big Stone Gap in October 2005 after the town experienced a major water shortage caused by construction of the Big Cherry Dam and local, drought-like conditions. The town took several actions to provide water for residents, including leasing two water filtration plants to process water from the Powell River. The portable plants were placed in Bullitt Park, and processed approximately one million gallons of water a day during the water crisis.

“As Big Stone Gap’s water supply continues to replenish itself, we want to support the town to help prevent future water shortages,” said Governor Kaine. “This grant and other assistance will add to the town’s water supply resources and, more importantly, support important upgrades to the current system.”

“After a stressful couple of months, this state assistance is wonderful news. We are thankful that the state acted quickly on our application,” said George Polly, Big Stone Gap Town Manager. “These plants will help prevent future water shortages and improve the town’s overall water supply system.”

Governor Kaine also noted the long-term value of using federal grants, state loans, and other resources to extend clean, safe drinking water to rural and remote communities – including a state revolving loan fund, which the Virginia House of Delegates seeks to cut by $2.8 million in its 2006 budget proposal announced Sunday. The introduced budget seeks to offset a $2.6 million decrease in federal funding for the program. Since 2002, the fund has been used to connect nearly 70,000 Virginians to sanitary, reliable water supplies.

In addition, Governor Kaine approved a request for $706,430 in emergency funding which, when combined with $487,706 approved earlier, authorizes $1.3 million in state economic aid to help cover the majority of the cost of local emergency operations in Big Stone Gap. The Governor also authorized $312,000 for the Virginia Department of Corrections, nearly $149,000 for the Virginia Department of Military Affairs, about $23,000 to the Virginia Department of General Services, and nearly $13,000 for Mountain Empire Community College for costs they incurred during the water emergency.

The $274,260 grant comes from the Virginia Department of Housing and Community Development’s (DHCD) Urgent Need Community Development Block Grant (CDBG) program.

Virginia receives approximately $19 million a year from the U.S. Department of Housing and Urban Development for the CDBG program, and are intended to primarily benefit low- and moderate- income persons. For more information about DHCD or the CDBG program, go to www.dhcd.virginia.gov or call Tamra Talmadge-Anderson at (804) 371-7000.

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