MILO, Maine — There was no way sewer users or the town could have absorbed the approximately $1 million cost to extend sewer lines to the Eastern Piscataquis Industrial Park in Milo, and without sewer, the park was less appealing to potential businesses.

Now thanks to a $475,000 grant from the U.S. Department of Housing and Urban Development, that sewer extension is closer to reality.

U.S. Rep. Mike Michaud, who has been working with Milo officials for about a year, announced this week that the funding had been approved.

“The release of this funding is welcome news because it will help make a real difference in the region’s ability to attract new businesses,” Michaud said in a prepared press release. “With this new sewer line, the industrial park will be able to market ready hook-up for water, sewer and power — something that interested businesses will certainly find valuable. Once completed, this project will help improve the economic outlook for the area and promote job creation.”

Milo officials were happy about the news. “The acquisition of these funds affords us an excellent opportunity to provide the necessary infrastructure upgrades to our industrial park,” Milo Town Manager Jeff Gahagan said Thursday.

Tim Gormley, superintendent of the Milo Water District, which also encompasses sewer, said Thursday he was happy the grant was awarded because it saved ratepayers from having to bear the entire burden. With the grant, the district will not have to borrow as much to complete the project, he said.

Dirigo Engineering of Fairfield will design the sewer extension project. Gormley expected bids would be solicited in the spring and construction started in early summer.