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Wednesday, March 17, 2010

Federal stimulus money funding Hancock projects could total $15.9 million

HANCOCK -- Federal stimulus funds from the American Recovery Reinvestment Act (ARRA) will soon total more than $15 million for the City of Hancock, if the latest water project is funded as anticipated.

During the November 2009 City Council meeting, Hancock City Manager Glenn Anderson uses a City map to indicate locations where the new water project will make needed repairs of infrastructure. Also pictured, seated from left, are James Hainault, mayor pro-tem, and councilmen John Slivon and Ted Belej. (Photo by Keweenaw Now)

"We're up to almost $15.9 million of stimulus money for projects," said Hancock City Manager Glenn Anderson. "It's all Obama's money. It's amazing."

Anderson noted these projects include water and sewer improvements, housing, transit, roads and a district heating study. The funding includes both grants and loans.

"The interest rate is at an all-time low," Anderson added. "They have more grant money to give away this year than ever before. We're never going to get a better deal."

While the $3.6 million drinking water project completed last year was not funded through ARRA, a new phase of the water project, should ARRA provide the $7.9 million in the application, would be funded by a $5.8 million grant and the rest loans, all stimulus money, Anderson explained.

The biggest part of this new project is to put a new transmission main up to Painesdale, the source of Hancock's water.

The sewer improvements will be funded by $4 million in federal stimulus funds -- about half grants and half loans.

John Fukey, technician for Tunnel Vision, with the truck containing video equipment that has been televising sewer problems in certain Hancock neighborhoods. Since last November, the company has been working with OHM (Hitch Engineering) on the design for a $4 million sewer project, to be funded by federal stimulus money. (Photo by Keweenaw Now)

Last week the Tunnel Vision contractor was completing the video exploration of the sewer lines in areas of Hancock known to have problems.

"They're televising about seven miles out of 30 miles of sewer line," Anderson noted. "It's for the design of the project. We hope to have the design done by the end of May."

Tunnel Vision is working with OHM (Hitch Engineering) on the project design.

Anderson said the bidding for the sewer project construction should be done by June, since the City's goal is to start the sewer work by mid-summer this year.

After a Public Hearing preceding their Feb. 17 meeting, the Hancock City Council approved Ordinance #273 to increase the water rate from $5.75 per 1000 gallons to $6.85 per 1000 gallons and to increase the turn on / turn off fees to $60 each.

"We still expect one more rate increase related to the new (water and sewer) projects," Anderson said.

Water-sewer fees for Hancock residents contribute to the cost of the project loans. The stimulus funding helps keep these increases at a minimum.

"It's too bad I don't get a commission!" Anderson joked.

The Hancock City Council will hold its regular monthly meeting tonight, Wednesday, March 17, in the Council Chambers, City Hall. A work session will be held at 6:30 p.m., followed by two Public Hearings at 7:30 p.m.:

1. Public Hearing on proposed purchase of 29.64 acres of land from Tonne Construction Company for $135,000.00.
2. Public Hearing on proposed ordinance #274 "AN ORDINANCE TO AMEND ORDINANCE NO. 268, KNOWN AS THE HANCOCK HOUSING FOUNDATION TAX EXEMPTION ORDINANCE" for the start of the 24 unit Quincy Haven Apartment project construction to December 31, 2010, regarding their payment in lieu of tax.

The regular meeting will follow the Public Hearings. Click here for the Agenda.

Editor's Note: Thanks to City of Hancock Clerk Karen Haischer, the updated City of Hancock Web site includes agendas and minutes of meetings. Visit the Web site at
www.cityofhancock.com.

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