Exiting contract to be costly

If Pioneer Rural Water pulls out of its contract for its treatment plant, the cost will be expensive.  Terry Pruitt, general manager, quoted Harper Corporation this afternoon as saying it would cost Pioneer $2.7 million to suspend the deal up to 90 days and $3.6 million to terminate the contract.  The contractor has moved trailers to the plant property and is far along in grading both the plant site and the spot where Pioneer would draw water from Lake Hartwell.  After a closed-door session this afternoon, the Pioneer board voted to have its attorneys confer with Oconee County’s attorneys.  Suspending work, according to Pioneer board member, Eddie Grant would cost the district $35 thousand a day.  The board went to closed session after hearing Pruitt give figures.  So far, he said, Pioneer has incurred out of pocket expenses of $3.025,00 toward the project to build a 2.5 million gallon a day treatment plant.  The board also heard comment from Westminster Mayor Brian Ramey, who offered to cut wholesale water costs from his city, and from Ryan Honea, one of the district’s original customers.  Pruitt also released a statement to the press which, in part, says, “The Water District has been discouraged from continuing construction by a number of parties outside the district.  Subsequent to the opposition, we have continued negotiations with water suppliers to determine if a new water purchase agreement with the cities of Seneca and/or Westminster would be a viable alternative.  Those negotiations are continuing.”