Wednesday, August 17, 2011

$250 per month per mile in salt storage

Look on the bright side - it's only about $3000 per mile of road per year, on top of the regular highway budget. I should have posted this sooner, but just got around to doing the math today, and didn't have time to type it up until now.

$845,000 at 4% over 15 years => $280,065 interest
$845,000 + $280,065 = $1,125,065 total project cost

$1,125,065/25 miles of town road = $45,000 per mile of road, on top of the regular highway budget, assuming they can actually get a 4% loan.

Or, annually: $6250.36 * 12 months = $75,004/year
$74,004/12 = $3000/mile per year, or $250/mile per month in addition to the regular highway budget.

-- Michelle Richardson

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