The former Lockwood-Duchess Mill building in Waterville is shown in August from the Ticonic Bridge that connects Waterville and Winslow. Rich Abrahamson/Morning Sentinel file

AUGUSTA — Kennebec County officials said they continue to support the Waterville mill affordable housing development following an announcement late last month that the project is on hold.

The comments came as a dozen people — representing business, local government, Colby College and the Chamber of Commerce — turned out at Tuesday’s county commissioners meeting to show support for the redevelopment of the former Lockwood-Duchess Mill building at 6 Water St.

District 3 Commissioner George Jabar said the three commissioners have not changed their minds and “are 100% behind this project.”

“Nobody knows better than us what a boon this project is,” said Jabar, whose district includes Waterville. “This would make Waterville stand out.”

Northern River Co. was one of the entities awarded funding over a year ago from Kennebec County’s $23.7 million in funding from the federal American Rescue Plan Act, also known by the acronym ARPA. Commissioners allocated $1 million to the developers to support affordable housing, one of the priorities they identified in reviewing the nearly $48 million worth of requests submitted for consideration.

Northern River Co. is proposing to make over the building at 6 Water St. into apartments and commercial space. In the first phase, the upper floors of the southernmost wing would be renovated to create 65 affordable apartments, with the rent tied to the local median income.

The cost of the first phase has been estimated to be about $30 million, and developers are working to secure financing via Maine State Housing for their project as they also contend with construction costs.

A second phase would redevelop the wing that runs parallel to Water Street into both housing and commercial space and is expected to be developed at a later date.

The two former Lockwood Mill buildings in Waterville, beside the Hathaway Center at far right, are seen in 2019. Morning Sentinel file

Mariah Monks, a project manager on the development, said the project is at the center of North River Co.’s attention.

“We have been working very hard in the last months, weeks, years to get this project started,” Monks said. “We are very close to being able to close (on financing), but we can’t close without ARPA funding.”

The American Rescue Plan Act funneled millions of dollars in federal funding to all levels of government following the COVID-19 pandemic. Under the rules of the program, funds have to be obligated by December 2024 and spent by December 2026.

The three mill buildings at the site, built in the late 1800s, were designed by mill complex architect Amos Lockwood. The three were called the Lockwood-Duchess Mill complex, used for textile manufacturing for many years until 1956.

The southernmost mill building on Water Street was home to C.F. Hathaway Co., a shirt and clothing manufacturer, from 1957 to 1992. That building, at 10 Water St., became the Hathaway Creative Center and now includes 67 apartments on the upper floors, plus other commercial tenants.

All three commissioners said they have received a number of calls and emails about the proposed development and the promised funding.

William Post, acting Waterville city manager, thanked the commissioners for their support for the key piece of funding that’s needed for the project to move ahead.

“I just want to make sure where we are today. I appreciate the support from the commissioners for this project and everybody that’s here is in support of the project,” Post said, indicating the people who had accompanied him to the meeting. “I know that you understand the value of this to the city and to the region.”

Post said developers had started meeting last week with city fire and code enforcement officials to start the permitting process.