Butler Area Sewer Authority as seen in Oct. 29, the day of its sale to Pennsylvania American Water. Morgan Phillips/Butler Eagle

Butler City Council discussed an early outline for careful usage of funds gained from the sale of BASA in October during a meeting Thursday, Dec. 19.

The sale to Pennsylvania American Water totaled $230 million, split evenly between Butler and Butler Township. The city received around $90 million after settling the authority’s outstanding debts and liabilities.

Most of the money has been put into accounts with PNC and NexTier to begin accumulating interest. The PNC account holds the majority of the trust, roughly $50 million, while the NexTier account holds $25 million.

The remaining $15 million will be used for immediate projects, such as making improvements to Butler’s paid parking system and Tier Parking Garage. Mayor Robert Dandoy said council views it as an investment, as paid parking will recoup money naturally.

Other immediate projects include investing more funds into paving, sidewalk upgrades and work on Father Marinaro Park. The approved 2025 city budget set aside $3 million in total toward capital projects.

Before using any more of the BASA sale money, Butler City Council plans to have a board of trustees established. City council officials plan to only allow the usage of interest from the accounts.

Currently, discussions are being held between Dandoy, attorneys and trust fund advisers to ensure the board of trustees is established correctly.

City resident Jeff Weber asked council about plans to make BASA fund usage reports available to residents. Dandoy said it would be available as soon as possible, reaffirming a commitment to transparency.

“I can say very confidently that we have been incredibly transparent in this process all the way, and we will continue to be transparent,” Dandoy said. “The residents of Butler will know where the money is going.”

Dandoy feels confident the plans for the city’s portion of the money is being used as wisely as possible.

“I’ve said several times — people told me again and again and again when we were going to do all of this — they weren’t objecting to the sale. I didn’t get a lot of pushback on the sale, but I met dozens of people who walked up to me and said ‘don’t blow the money,’” Dandoy said.

After the establishment of the board of trustees, council hopes that continued strategic usage will ensure a long-term steady income for the city to reinvest.