Vermont community takes on $2M septic crisis with the help of CDI’s WISP Program

Photo of Sunset Lake Cooperative courtesy of ROC USA.

After inheriting failing leach fields, the Sunset Lake Cooperative is securing critical funding to overhaul its wastewater system and safeguard residents’ health

By: April Myers | Communications Associate of ROC USA

HINESBURG, Vt. – In 2019, shortly after the residents of Sunset Lake Cooperative purchased their community, they noticed an odor coming from their land – and not a pleasant one.

“We started getting complaints of a sewage smell,” said Tim Hutchins, vice president of Sunset Lake Cooperative’s Board of Directors. “We came to find out that both of our leach fields were failing. It was something we inherited and to fix it was more than we paid for the park, but it has to be fixed.”

Permanently fixing Sunset Lake’s wastewater infrastructure is going to cost about $2 million, said Annik Paul, Program Associate for the Cooperative Development Institute’s Water Infrastructure Support Program (WISP). It will cost another $1 million to make needed fixes to the community’s water distribution system, she added.

Residents purchased the community in March 2019 for $1.6 million, and Hutchins said since then, lot rents have only been raised twice – a $10 monthly increase each time. Site fees are $465 or $515, depending on the size of the homesite. However, without the support of outside funding, the cost of repairs and replacements could make rents go higher.

CDI launched WISP in April 2023 to help resident- and nonprofit-owned manufactured home communities access funding to build a safe and reliable water and wastewater infrastructure. Many resident-owned communities (ROCs) inherit aging infrastructure that has reached the end of their useful lifespan, so major investment is needed to sustain these affordable communities for the long term. CDI is a ROC USA Certified Technical Assistance Provider and is administering this program in all six New England states.

“After years of deferred maintenance and systems that were pieced together with whatever the maintenance guy had on hand,” Paul said, “the community was dealing with a stinky, wet leach field that resulted in the neighbors complaining to the state.”

Thanks to support from WISP, the community has secured initial funding to address issues and is applying for more to permanently fix the community’s water and wastewater infrastructure. Sunset Lake will procure bids for the construction of the project this winter and break ground in spring 2025. Additional funding is currently being raised for the project which will be completed in stages.

That funding includes:

  • $30,000 USDA-Rural Development SEARCH grant for the community to do their Preliminary Engineering Report (PER) and Environmental Information Document. The PER outlines the alternatives for fixing the Watewater, Drinking Water, and Storm Water and recommends the best options.
  • $1,459,500 in American Rescue Plan Act Healthy Homes funding.
  • $500,000 in VT Housing and Conservation Board Grant Funding (VHCB)

 

Sunset Lake Cooperative is a 55-home community in the suburban town of Hinesburg, about 15 miles southeast of Burlington and about two hours east of Lake Placid, N.Y. The town with a population of nearly 5,000 is touted for its top-rated public schools and beautiful trails and scenery. Sunset Lake was able to get the support of WISP because they were eligible for federal funding.

To be eligible for WISP support, the manufactured home community in New England must be resident-owned or nonprofit owned, in a USDA Water and Environmental eligible area, and in a town with fewer than 10,000 people and a median household income lower than the state median.

The four-part process to apply for WISP funding includes: assessment of the potential project, project development, securing the funding, and project implementation.

There are 140 cooperatives across New England that are eligible for the funding and so far, 31 have applied, Paul said. While the process is lengthy and could take more than a year for resident-owned communities (ROCs) to see the funding, the first step of the process is receiving income surveys from 90 percent of a community, a step required by the USDA.

Hutchins said being part of a strong Board of Directors where everyone works well together has been crucial to securing the income surveys.

“We reached out to people to make sure everyone is on board with what is going on,” Hutchins said. “We went online and walked around to get the surveys. The Board gets along great which is really important. And this community is a lot better now than it was five or six years ago. Everyone here now wants to take care of their property and get along.”

Sunset Lake is on CDI’s Preservation and Reinvestment Initiative for Community Enhancement (PRICE) application for $1,170,620 and CDI/WISP is also exploring HUD-CDBG and Northern Borders Regional Commission as other possible funding sources.

“It’s incredibly exciting for Sunset Lake Cooperative to connect to the municipal wastewater system after dealing with failing leach fields since they purchased the community,” Paul said. “This connection not only ensures improved health and environmental outcomes for the residents but also brings peace of mind through reliable infrastructure. The Board has worked tirelessly to navigate the complexities of this project – balancing regulatory and funder requirements, coordinating with multiple parties, and ensuring the needs of the community are met. This is a major step forward, and we’re excited to see all the effort coming to fruition.”

Hutchins is grateful for the help of WISP and is excited that the infrastructure will be permanently fixed.
“Without funding from WISP, we would be in big trouble,” Hutchins said. “Without this program, we would be in hot, hot water.”


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