DERRY — Town councilors voted Tuesday night to approve a $4.02 million bond that includes $1.97 million to help fund the Exit 4A project, $250,000 to improve Hood Pond dam, a $1.5 million project to build a park lodge replacement and $300,000 in other park upgrades.

The $1.97 million for the highway exit off Interstate 93 is part of $5 million the town has committed to investing. The town has already spent $3.03 million toward the project.

The town of Londonderry is also committed to investing $5 million and the state will pay the difference, which is estimated to be over $50 million.

After a presentation by Town Administrator Dave Caron and Director of Public Works Mike Fowler, the public had an opportunity to comment during a public hearing on the project.

“The town has very little debt, so the town is in a very, very good position,” Caron said during the meeting.

Caron said the town currently has $4.5 million in outstanding principal debt.

Derry will be retiring three existing bonds in the next two fiscal years, Caron said.

Fowler said construction for the exit is slated to begin in 2021 and conclude sometime in 2023, which includes road improvements between the highway east to Route 102.

The biggest recreation facilities project is the replacement of the Alexander-Carr Park Lodge, which is a 5,000-square-foot structure off Pierce Avenue. The current building is close to 50 years old and has fallen into disrepair.

The building has been rented out as a conference and meeting space but because of some limitations to the space it has been used less frequently in recent years, according to Fowler.

Another $200,000 will be spent on installing LED lights at the baseball diamond at Don Ball Park, and $100,000 will go toward park structure upgrades including rebuilding the Alexander-Carr playground and installing outdoor fitness stations at three town parks.

Earlier estimates for upgrading the Hood Pond dam was $400,000, but the Department of Public Works was able to negotiate the cost down to $250,000, in part by finding more efficient engineering methods, Caron said.

The council approved the plan unanimously.