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Lolo Rural Special Improvement District #901

Lolo residents created a Rural Special Improvement District #901 to operate and maintain a water and sewer systems that provide service to properties within the legally defined boundaries.

Residents within RSIDs pay taxes directly towards the maintenance of the systems. They show up under the “special assessments” table on your tax bill.

Improvements

The district entered into a contract with Prospect Construction Incorporated on Oct .22, 2024 to build a new dewatering building and lift station, with funding provided through the American Rescue Plan Act (ARPA). The project is scheduled to start in March 2025 and is expected to be completed by the end of November 2025. This development is part of the district's ongoing efforts to enhance its infrastructure, improve operational efficiency and ensure the continued delivery of essential services to the community.

The District has been facing challenges with capacity and redundancy in both utilities. The Public Works Department collaborated with residents in this RSID to form a steering committee, which will better understand the needs of the community. This group has met multiple times to discuss critical infrastructure needs, the formation of a special district and potential funding sources for improvements.

Once decisions are made regarding the necessary upgrades and their associated costs, the Missoula County Commissioners will determine whether to move forward with a special district or establish a new RSID as the most beneficial funding approach. Both options will include a protest period, giving the community an opportunity to review and voice any concerns. In addition, the county is actively seeking alternative funding sources to reduce the financial burden on the district. The county recently submitted a proposal for federal Community Project funding was submitted to Congressman Zinke, seeking $1.4 million for water system improvements in Lolo, which would help lower the district’s costs for water infrastructure.

Low Income Loan Program

Income-eligible families facing an unexpected water or sewer line repair expense can contact their water and wastewater Operations Manager to file a loan application for funding to cover the repair costs. The application is submitted to a County Grants Administrator for verification of eligibility. The Grants Administrator will notify the homeowner of their eligibility and provide further instructions.

Once approved, the homeowner contacts at least two contractors to obtain bid proposals. The contractor with the lowest responsible bid is then selected to complete the repair work and the homeowner enters into a loan agreement with the County for the amount of the bid.*

Once connection repair work is completed, the County Operations Manager and homeowner verify the work was done to their satisfaction. The contractor sends the invoice to the County for payment.*The loan agreement will be amended if the cost of the repair differs from the bid.

  • Must provide income verification
  • Must meet annual U.S. Department of Housing and Urban Development (HUD) income limits of 80% or less of median income
  • Must be owner and occupy residence
  • Must maintain homeowner’s insurance on the property
  • Must reside within the participating RSID boundary

  • Deferred until the property is sold or transferred to another party
  • One-percent simple interest (e.g., a $2,000 loan would accrue $20 per year in interest)
  • Loan secured with lien on property in the amount and duration of the loan
  • Owner agrees to use the property as primary residence
  • Can pay off loan prior to property transfer
  • There are no upfront costs to the homeowner

Contact Jasen Neese, Lolo RSID operations manager, at 406-273-2733 or Kayla Talbert, grants administrator, at 406-258-4947.

Homeowners are responsible for their service lines for both water and sewer from their homes to the main. For low– and moderate-income households, the costs of these types of repairs can cause financial hardship.

In 2010, the Missoula Board of County Commissioners signed a resolution to use Missoula County Community Development Block Grant (CDBG) Program Income Funds to provide loans to low– and moderate-income homeowners needing water and wastewater connection repairs. The loan program was initially designated to assist Lolo (RSID 8901) households experiencing economic hardship. This program was amended in 2016 to include other RSIDs.