Havelock city officials are working to correct a drainage problem that caused flooding in the area and damaged several homes last year.
The city was recently denied state and federal grants to help with the Joes Branch Project on the Eastside of the city.
But city officials are borrowing money at low interest to ensure that the issue is met head on.
The project will make drainage during rain events more efficient.
Last year, several roads were shut down and homes were damaged when the city received heavy amounts of rainfall in a short period of time.