A $6 million improvement project for Winsted Water Works could begin later this year, and will be paid entirely with user fees, officials said. Winsted Finance Director Bruce Stratford said the loan for the project involves no public money. “The payments for the loan come from the users,” he said. “The finance department receives (the company’s) money, and pays the bills for Winsted Water Works.” The water company could try to fund the project using its rates directly, but it would take years to accumulate the full amount, according to Stratford. “Projects that total more than $6 million have been accepted by the (state’s) revolving loan fund for financing, and this one has been approved,” Stratford said. In two weeks, the Water and Sewer Commission will ask the Board of Selectmen to set a hearing date and referendum and invite people to attend a program to learn about the project.