AMHERST — Town of Tonawanda Supervisor Anthony Caruana has been encouraged by recent investment in the town, but sees tough times on the horizon if state and federal governments don’t step in to aid multi-million dollar infrastructure projects.

During his annual State of the Town address, the supervisor presented a complex melange of issues facing the suburban community. High among the challenges are the looming improvements to the town’s aging water and sewer system. While the economic downturn has made the present a difficult time to spend large amounts of money on such extensive work, Caruana said the dilapidated lines leave the town with little choice.

“As our town increases in age, the requirements to maintain it increase as well,” Caruana said.

The supervisor was also critical of the Army Corps of Engineers’ decision to leave large amounts of radioactive materials inside the Seaway Landfill. While the Corps has pledged to monitor the site for 1,000 years to ensure it is safe, Caruana said the result leaves another parcel of land in the town out of the running for possible development. The stigma of having such material stored nearby also makes it less likely that businesses will move in nearby, despite the Corps’ assurances.

“Financial costs have, once again, come before our environmental and economic health,” Caruana said.

But the report wasn’t all sour grapes. Development is continuing in the town, most notably in the recently renamed Riverview Solar Technology Park. The supervisor expressed optimism over a $1 million grant to construct a road connecting that park to the North Youngmann Commerce Center. The town’s community development office is also providing money for environmental studies of the abandoned land in between, hopeful that the 100 acres will be useable for further development.

As the town works to write laws to govern the future development of solar technology and solar power installations, Caruana said he has been impressed by TM Montante’s drive toward innovation at Riverview. Opening up more space in the nearby area, including the former Spaulding Fibre site in the City of Tonawanda, is a step the supervisor saw as having the potential to create a green technology corridor.

“We could become a hub for green and solar technology in Western New York,” he said.

At the same time, the town is grappling to keep the level of services high and the cost of providing them down. To that end, the supervisor thanked Assemblyman Robin Schimminger, D-Kenmore, for his assistance in securing $500,000 for a new recreation office. The new building allowed the Youth, Parks and Recreation Department to move out of rented office space, one way town leaders are hoping to trim the budgets for years to come.

But the town will need more help from the ailing state government if it hopes to insulate taxpayers from sharp tax increases as large scale sewer projects continue. But even as the state has demanded that the town spend upward of $200 million to eliminate sanitary sewer overflows from the systems, Caruana said the state is poised to eliminate the Empire Zone program responsible for keeping and drawing in thousands of jobs. While town leaders are continuing to argue for the funding and programs it needs to succeed, the supervisor said forward progress is necessary whether those efforts prove successful or not.

“In spite of these attacks, we will work with existing employers and to attract new companies,” Caruana said.