May 11, 2013 8:23 PM by ASSOCIATED PRESS
SAN LUIS OBISPO, Calif. (AP) - Nipomo community leaders plan to borrow $4 million more dollars to move forward with the construction of a water pipeline for area residents, after a lawsuit was filed contesting drawing the money from a reserve fund.
The Tribune of San Luis Obispo reports (http://bit.ly/18BESEH ) district leaders who were present at a special meeting Friday voted unanimously to approve the financing plan for the $17.5 million project.
The Mesa Community Alliance, a group of local residents, filed a lawsuit a week ago to stop Nipomo leaders from drawing from the fund reserved for repair and replacement of existing assets.
District officials had argued the project would reduce costs of repairing and refurbishing wells.
Project operators face an Oct. 31 deadline to finish drilling under the Santa Maria River.
(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)
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