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7 <br />Hillsborough's master plan for water main layout calls for a <br />water main loop in the area south and east of town. <br />Hillsborough plans to extend the existing twelve inch water <br />main at the intersection of NC 86 and New-Hope Church Road up <br />New Hope Church Road to Old NC 10. then up Old NC 10 to <br />University Station Road, then north on University Station <br />Road to US 70 where it will be tied into the Durham pipe <br />line. Hillsborough has indicated that this loop will <br />eventually be built. even if the Durham pipeline is not <br />built. Given this scenario, it is reasonable to calculate <br />that the only costs that would be attributable to <br />construction for buying water from Durham would be the pump <br />station and the section of line between University Station <br />Road and the existing Durham line. That cost is <br />approximately $300.000. Using the other assumptions outlined <br />in the earlier cost analysis. the total annualized cost of' <br />capital construction would be approximately $28.000. When <br />the construction costs are added to the $36.000 annual cost <br />for water purchase alone. the total annualized cost to <br />purchase water from Durham is $64.000. or $11.000 per year <br />less than purchasing water from OWASA. <br />RCC1001 <br />