The city of Oak Harbor must move another section of waterline because of Department of Transportation road construction, this time at a cost of $2.3 million.

The city is applying for another low-interest loan from the state to pay for the work.

City Engineer Larry Benfield told the City Council on Tuesday meeting that the DOT recently notified Oak Harbor that it would need to move the waterline in the area of Lunz Road, which is in Skagit County near the shrimp shack. DOT is doing safety improvement to Highway 20 near Campbell Lake and the water lines run within the state’s right-of-way.

“They are making vertical and horizontal grade changes,” he said, “and we have to move our water lines to accommodate those changes.”

This is the second time a state safety project has forced to city to move water lines. DOT will be starting a major safety improvement project this spring near Deception Pass bridge. The grade will change by more than 10 feet, so the city must move water lines, at a cost of $1.5 million.

Staff has already applied for a low-interest loan from the State of Washington Public Works Trust Fund for the first project. The city is waiting for the governor to make the final approval on the loan, which will likely happen soon. Tuesday, the City Council authorized the staff to apply for the loan to fund the newer project.

The city won’t have to pay the entire $2.3 million. The Navy also receives water through the lines and will be responsible for paying for a portion of the cost of the project.

Oak Harbor buys its water from the city of Anacortes, which runs a water treatment plant on the Skagit River in Mount Vernon. The water runs in pipes that follow Highway 20 to Anacortes and Oak Harbor. Oak Harbor is responsible for the water line after it splits off from the main pipe at Sharp’s Corner near Anacortes.

Benfield said the city is responsible for relocating 4,460 lineal feet of 24-inch pipe near Campbell Lake because of the road construction. DOT is improving the intersections of Highway 20 with Lunz and Deception roads, as well as constructing a new bridge over Meadow Creek. The project is scheduled to begin in the fall of 2006.

Councilman Paul Brewer wasn’t happy about the expense. He called Oak Harbor a “poor city” and said officials should get state representative to find money to help pay for such projects.

“It’s another unfunded mandate,” he said, “that’s what I look at it as.”

You can reach Jessie Stensland at jstensland@whidbeynewstimes.com or 675-6611.