CANAAN — Voters will head to the polls Tuesday to decide whether to approve a $690,000 bond for repairs and upgrades to the town’s water system.

The full cost of the proposed project is $3 million, the bulk of which will be covered by state and local grants. The bond, if approved, would cover the amount that the town is required to provide in matching funds.

The reason for the special meeting is that in order to accept two grants for the project, the town must receive voter approval before Sept. 30.

A $780,000 Local Source Water Protection grant will fund the remediation of lead contamination in the water supply, which serves about 160 users. Upgrades to the system’s outdated distribution system will be supported by a $1.5 million Congressional Directed Spending award.

The bond is not expected to impact the tax rate, Town Manager Chet Hagenbarth said in an interview last month.

Water system users will see a rate increase regardless of whether the bond passes, because the system has experienced revenue shortfalls for the past five years, Hagenbarth said.

Polls will be open on Tuesday, Sept. 24, from 1 to 6 p.m. at the town’s Emergency Operations Center on Route 118.