Relationship between Paavo Ogren, Maria Kelly not a conflict of interest, official says

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• Los osos sewer project may get a little cheaper

  Los osos sewer project may get a little cheaper

  State water officials will meet in Sacramento on Monday to consider lowering the interest rate on a loan for the Los Osos sewer project, a move that could shave millions of dollars off the price of the project, reducing the cost to residents.

  The State Water Resources Control Board will consider a staff recommendation to lower the rate on a $69.7 million loan from 2.6 percent to 2 percent. The county and Los Osos Community Services District are sending letters to the water board urging that the interest rate be reduced to zero in an effort to make the massive infrastructure project as affordable as possible.

  “The district board is wholly supportive of a reduction in the current interest rate of 2.6 percent to 0 percent, and we believe we speak for the overwhelming majority of the 12,500 residents affected by the project,” community services district board President Marshall Ochylski stated in a letter to the board.

• Federal judge upholds CSD bankruptcy plan in Osos

  Federal judge upholds CSD bankruptcy plan in Osos

  A federal judge has upheld the bankruptcy plan for the Los Osos Community Services District.

  The district filed for bankruptcy protection in August 2006 to hold off creditors while it figured out how to deal with an estimated $45 million in debts, fines and claims resulting from the district’s decision to halt construction of a sewage treatment and collection system.

  The March 26 decision by U.S. District Court Judge Manuel L. Real resolves all of the lawsuits and claims arising from the failed sewer project and ends more than six years of legal proceedings, said Marshall Ochylski, president of the Los Osos services district.

• Bouquets and Brickbats: Local teen is a real life saver

  Bouquets and Brickbats: Local teen is a real life saver

  We toss 17-year-old Noah Erwin a big bouquet of water lilies for his role in rescuing Donna Przybyla, 78, during an aqua aerobics class. Noah was on lifeguard duty at the Paso Robles Municipal Pool last week when Przybyla suddenly became limp during an exercise session in the pool. Noah pulled her from the water and checked for vital signs while others called paramedics, who transported her to Twin Cities Community Hospital.

  Przbyla, who had a seizure that was linked to brain surgery she underwent a few years ago, is recovering and looking forward to getting back in the water. And Noah is taking his part in the rescue in stride: “It was a big team effort,” he told a Tribune reporter. “I don’t want to take sole responsibility for everything that went on.”

  Drinking rules apply in Pismo, too

• San Luis Obispo County supervisors approve Los Osos sewer oversight contract

  San Luis Obispo County supervisors approve Los Osos sewer oversight contract

  The San Luis Obispo County Board of Supervisors on Tuesday unanimously approved a $7.6 million contract to oversee construction of the Los Osos sewer.

  The vote came a week after California water officials reduced the interest rate on a loan for the project of nearly $70 million from 2.6 to 2 percent.

  The reduction is expected to save some $6 million in interest payments over the 30-year life of the project, said John Waddell, project manager.

• Nipomo Mesa landowners vote against water pipeline funding plan

  Nipomo Mesa landowners vote against water pipeline funding plan

  The Nipomo Community Services District boardroom was quiet Thursday afternoon while some local residents watched as the final ballots were counted to determine the fate of a nearly $26 million project to bring water to the area from Santa Maria.

  The silence continued even after district General Manager Michael LeBrun announced the results: The measure had failed, gaining just 48 percent approval from property owners in voting weighted according to proposed land assessments.

  Nipomo Community Services District officials were leading the effort to form an assessment district by asking property owners of 8,077 parcels whether they would agree to levy a tax to cover the capital cost of constructing a pipeline to transport water to the Nipomo Mesa.