Pennies from heaven: The second installment of the American Rescue Plan monies

 In March of 2021, President Joe Biden signed into law the American Rescue Plan Act (ARPA). Regardless how you feel about the wisdom of whether or not Congress should have appropriated this $1.9 trillion aid package by a certain equation every municipality and township in America received a little slice of the pie. In Chetek's case, that piece amounted to $219,280.62 sent to us in two equal installments of $109,640.31 in 2021 and 2022. While an accompanying government document outlining what these monies can and cannot be used for came with each disbursement distilled into layman's terms the gist of that hundred-page manual is: “Here's some money to alleviate your pain and suffering brought about by Covid-19. Spend it wisely.”

In my dreams

No doubt if anyone of us suddenly received an approximately $220K windfall we would be both ecstatic and energized to build that deck complete with hot tub and any other multiple home improvement projects that have been on our wish list forever. In municipal spending terms, however, it amounts to, essentially, pennies from heaven. But since they're ours to spend as we see fit here is how we allocated the first $109 thousand:

2021 disbursement

• $5,482.00: Donation to the Chetek Area Ambulance Commission (CAAS)*

• $9,317.00: Purchasing a sound system for council chambers

• $24,200.00: Municipal parking lot behind Home Town

  

  Nearly done

  
  Pharmacy**

• $58,000.00 Boat landing improvements to be done in 2023***

• $7,945.00: Rip-rap for both the Stout and Mound Street docks

* This was a request by the CAAS to all participating townships. The common council decided to allocate 5% of each disbursement for the purchase of new equipment for the CAAS. This money has been set aside and as soon as these items have been ordered we will forward the money to them.

** Technically, this project is not yet complete. The parking lot has been formed and paved but we ran out of weather before parking lines could be painted. These will be painted in the spring of 2023 and money from the first ARP installment has been set aside for this purpose.

*** The boat landing located where the Hydroflites perform is in need of serious improvements that will be done in 2023. This money has been set aside for this project.

If you do the math, that leaves $4,696.31 left which we are allowed to carry over to this year.

Last Tuesday night at a special meeting the council decided to allocate this year's disbursement in the following manner:

2022 disbursement

• $5,482.00: Donation to the Chetek Area Ambulance Commission (CAAS)*

• $5,000.00: To purchase/build a shed for the attendant at the compost site.

• $24,999.00: For sidewalk replacement in the downtown business

  

  Since 2017, the council has designated
  funds annually to replace old and
  deteriorating sidewalks in the downtown
  business district

  
  district**

• $10,000.00: For the re-surfacing of the airport runway***

• $15,000.00: For handicap access doors at both The Center and The Calhoun Memorial Library****

• $10,000.00: For the purchase of new holiday décor for the downtown business district.

• $5,000.00: Toward the development of a new athletic complex at Gotham Park*****

• $5,000.00: Toward the purchase of a new downtown wireless sound system******

First, it should be clear that these are approximate numbers and with the exception of the handicap doors for The Center, no bidding has yet been done. Otherwise here are some explanations:

* As stated above, we will allocate 5% of the second disbursement for the purchase of new equipment for the CAAS. This money has been “ear-marked” for just that purpose and as soon as the CAAS has a purchase order we will forward the money to them.

** Every year since 2017, the council has set aside money in our annual budget toward the replacement of old and deteriorating sidewalks in the downtown business district. Unfortunately, we were not able to do that for the 2023 budget. Instead, the council has allocated money from the ARP for this purpose.

It needs serious attention. If not now, the bill will
come due later.

*** Our runway at the airport is in need of serious improvement. At November's meeting the council voted to appeal to the State for funds for a “stop-gap” procedure that would involve filling cracks and such. This money is designated for this project should the State approve our request.

**** Neither The Center or the Calhoun Memorial Library have handicap accessible doors. The council voted to change that by replacing the entry door at the library as well as enhancing the First Street entrance at The Center as well as the entrance from the alley where parking is allowed.

***** For twenty years there has been talk of developing Gotham Park (across from Philips Park) into an athletic complex that could be the site of future basketball courts and/or a softball field and/or tennis/pickleball courts. This money has been allocated to hire the services of a mechanical engineer to give us a potential site map that would include water, lights, parking information as well as what could feasibly fit at this complex.

****** Following the very successful Santa Comes to Town event (complete with holiday parade) the council has designated money toward the potential purchase of a downtown sound system. This money is contingent on community groups raising the remaining funds needed for installing such a system.

If the math is correct that comes to a total of $80,481 leaving us well shy of the $109,640.31 (not including the nearly $4,700 carry-over from 2021). That leaves approximately $34K to work with. There's a reason behind that. Mainly, we don't know what the hard figures will end up as so wisdom is to leave the balance alone for the time being. Things being what they are we may be in for some sticker-shock when it comes right down to it. But here's hoping we'll be close.

On the main, if you peruse the list, I think you'll see that there is a trend to use these monies as what they really are: a windfall that hopefully will benefit the lives of the people who live here and call this place home as well as the many folks who live among us during the warmer months of the calendar year.

The race definitely does not go to the swiftest (updates and recent developments)

After weeks of building toward the big event, suddenly we are on the back side of Liberty Fest. Granted there's still plenty of good weather ahead of us for boating, water-skiing, fishing, golfing and general lying around on our backyard chaise lounges but for families with kids in high school sports, very soon we will be gearing up for fall. Don't blink!

Just to bring you up to speed on what's going on around town, here's a few talking points for you to ponder:

• 
  At June's council meeting, two sealed bids were opened to purchase 110 Moore Street (the former Jost Law Office) right next door to The Center. Originally, the city had purchased the building from the Josts in 2016 thinking to raze it and use the space for a parking lot. Our experience with the expense of tearing down the old Chetek Cafe cured us of that notion, especially given that we might have realized only seven parking spots for all our trouble. In May, someone approached us about purchasing the building and the decision was made to go public with our intention to sell. Travis Turner of Black Bear Properties was awarded the bid for $110,000. Given that we had bought the property from the Josts for $70K and gained a moderate rental stream annually, we did all right. I don't know what Mr. Turner's intentions are with the property but I know he has given notice to his renters to vacate and for the Chamber to remove the various items they have been storing there since the city took ownership in 2016.

• 
  If you have heard a rumor that the city intends to put in a 28-spot parking lot behind Chetek Hometown Pharmacy (formerly Ohde's Drug) you have heard rightly. We purchased the empty lot back in 2017 thinking to use it as an expansion to Main Street Park. After a few years of pondering, we've decided to convert the lot for parking purposes given how challenging it is to find adequate parking on Second Street during the busy days of summer. The fact that it's right across the street from The Center will be a boon to attendees on Salad Bar Fridays or whenever an event is going on there. Right now we're just waiting on Jerry's Tree Service to take the trees away. Public Works will put the lot in which will run us approximately $17,000.

• 
  Not only will we be putting in a new Waste Water Treatment
  Plant (construction to begin sometime in 2023) but we are also moving ahead on erecting a new water tower. Technically speaking what we have now atop city hill is referred to as a water stand, a giant tank that holds approximately 425,000 gallons of water (our daily needs are a little more than half that). What's more, to prevent it from freezing solid in the winter time Public Works Director Dan Knapp has to open a few hydrants in town to keep adequate water flow. And several companies in the north industrial park require extra pumps on account of inadequate water pressure. These are reasons enough to pursue building a new tower to say nothing of the needs of the new housing development that is still in the works. We applied for a grant for the tower to pay for half of it last year (the thing will cost us a little more than $2 million dollars) and didn't make the cut. This fall we plan to apply again but either way a new tower will be built (should we win the grant it can be applied to reimburse ourselves if the money doesn't come in until after the project is complete).

• 

  This is what it looks like

  Speaking of the new waste water treatment plant, by now you should have received notification that sewer rates will be going up approximately 23% this fall. You should notice the change come your October water bill. If you feel your bill is high now you may have to ask yourself, “Have I been watering my lawn during this dry spell we've been in?” If so, that may be your culprit. If you haven't already installed a water deduct meter and you like your lawn to be looking lush and fresh the whole summer long, it would be worth the investment. Call City Hall for how to go about getting one of these meters installed at your home.

• 

  Moving soon

  To make room for the new waste water treatment plant, this past spring the city put the house across from Whiskey Way (the former Brass Rail) up for sale. The new owner puchased the house for just under $12K and as soon as all the permits go through it should make its slow crawl to a lot over by Bailey Lake sometime later this month.

• 
  Carol Burnham, Calhoun Memorial Library's Director, is
  retiring come fall which means we are in search of a new director. Interviews will begin this week for the position that Carol has filled since the early 2000s.

• 

  One day there will be homes here
  instead of hayfields

  And finally, I get asked from time to time if “Area 51”, the 39 acres we purchased from Jenny O's back in 2018, will ever be developed. The short answer is “yes!” When we began to put together what's referred to as an RFP (request for proposal) we needed to do a Phase 1 (a history of the property) and just to be safe a Phase 2 (take soil samples looking for bones [i.e., Native American burial grounds] or contaminants. With the exception of a some roofing materials that were located in the basement of the former manager's house, we came out “good to go.” S.C. Swiderski, with whom we have had serious conversations about developing the property, is currently doing what is referred to as their “due diligence”. If there is nothing discovered in this phase that would give them pause the next thing to follow is agreeing on a site plan. So we are taking steps toward seeing homes where there are currently fields and trees albeit slow, baby ones.

That's the long and short of it. Like so many things in the governmental world the pace is agonizingly slow at times but, as a kid who once upon a time ran cross country for Chetek High School used to tell his coach before a meet, “Slow and steady wins the race, Coach!” That's really not true in cross or track but when it comes to municipal business I'll take “steady and slow” over motionless any old day.

Good news/Bad news (We're getting a new waste water treatment plant but we're also getting a $10 million bill)

 

Coming to us by 2024 (conceptual drawing)

Hopefully by now you've heard the news: Recently Chetek was the recipient of a ten million dollar grant from Rural Development. It is the largest public works grant of its kind in Wisconsin history which will be applied toward the new waste water treatment plant that will begin to be built sometime in 2023. That's the good news.

Now here's the bad news: the project is expected to cost a little over twenty million dollars. So, yes, we got the thing for 50% off but we still have to fund ten million dollars of the project. That means our sewer rates will go up over the next three years to pay for our $338,000 annual loan payment. And by ordinance the only way to pay for a new sewer plant is through sewer rates.

That's a lot of Benjamins!

How much will they go up? On average, the increase to our individual sewer rates will be 23.3%/year for the next three years translating to a 70% total increase (ONLY to our sewer rates, not on our entire utility bill). What that means is that the sewer usage fee will increase from $6.13 per 1,000 gallons to $10.40 by 2024.

I asked Carmen to put an example together and here's what she offers:

Based on current rates with a household using 4,000 gallons of water per month:

Water	13.24 (water usuage – 4 x 3.31)
WTRBS (water rate base)	10.00 (water base fee)
Sewer	24.52 (sewer usage fee 4 x 6.13)
SWRBS (sewer rate base)	14.67 (sewer base fee)
PUBFR (public fire protection)	8.22 (public fire protection fee)
STORM	2.75 (storm water fee)
GARBG	18.50 (garbage fee)

$91.90 current total monthly charge

To estimate your new bill after the increase in September 2022:

Water	13.24 (same as above)
WTRBS	10.00 (same as above)
Sewer	30.23 (take your above sewer charge x 123.3%)
SWRBS	18.09 (take your above sewer base charge x 123.3%)
PUBFR	8.22 (same as above)
STORM	2.75 (same as above)
GARBG	18.50 (same as above)

$101.03 projected total monthly charge

You may have a couple of questions that come to mind and here's a few I thought of:

We wish

Why now? Why do we need a new waste water treatment plant given that the present one is working well?

Given that it's nearly 40 years old, it is working well but it no longer meets the Department of Natural Resources' (DNR) requirements for effluent (what we put back into the Chetek River after its been treated) nor could it even if we chose to do a “remodel” instead of a “new build”. What's more if something breaks, it is increasingly difficult to find replacement parts given its age. So why now? Because the DNR will no longer give us a “free pass” on the level of phosphorus that returns to the river after the water has been treated. We are on the clock and they are insistent that we get it fixed.

Knowing that this was coming why didn't the city set aside monies for the inevitability of this project?

While we knew this day was eventually coming (nothing lasts forever after all) to just blindly increase sewer rates is neither practical or responsible as we didn't know, say, ten years ago what kind of plant we were going to need or what kind of requirements the DNR would insist on. While you can save for a $20K house (if you can even find one at that price!) you cannot save for a ten million dollar one.

Other than the amount, why is the Rural Development grant such a big deal?

Eligibility for grant money is based on an equation that factors in community need, community median income, current rates, revenues, expenditures and how much fund balance a community has in their sewer utility. Based on those criteria, we were eligible for the very substantial grant from Rural Development that we have been awarded. If forty years ago we had been able to discern and estimate that it would cost us $10 million in 2022 monies and began putting that money aside then by charging residents higher rates year after year, most likely utility customers would have paid for the entire $20 million through rates paid over forty years and we wouldn't have been eligible for the $10 million grant. Since no one has access to a crystal ball, however, the argument is mute. There is just no way to know what your costs will be a generation out.

When does this all start?

Coming to our mail box
by this September

At the May 2022 city council meeting it was the unanimous decision of the council to implement a three-year step program beginning September 1^st. That means that we should expect our sewer rates to increase by 23.3% this September. In September 2023, we should expect them to increase again by 23.3%. And then in September 2024, we should anticipate a third and final increase of 23.3%. The idea is to wade into the water rather than plunge into it.

We appreciate the fact that this information you just read may provoke further questions about your individual water bill. Please don't hesitate to call City Hall at 715-924-4838. We don't relish the fact of increasing your monthly utility bill but unfortunately it's the price of doing business for any municipality regardless of its size.

Going, going...gone?

 

Back in December 2016, the then city council voted unanimously to purchase the former Jost Law Office building from Ken and Marge Jost for $70,000. Why? The thinking at the time was parking around The Center is at a premium especially on “Salad Bar Fridays” so why not raze the Jost building for a small city parking lot right next door? So we paid $10,000 down and then made two additional payments of $30,000 each in January 2017 and 2018.

That was six years ago now. What gives? Where is the parking lot? And will there be one there soon? Well, there's been some water that has flowed under the bridge since then that has caused us to put an extended pause on that idea. For starters, when we tore down the old Chetek Cafe building in 2019 for just under $50K it gave us all a case of sticker-shock. If it cost half a hundred thousand to get a patch of ground on Second Street, how much would it run us on Moore? Certainly not “more” but still it won't be cheap.

A building that had stood for 100 years went very quickly

And who is going to tear it down? Due to its proximity to The Center and the Mosaic building, it's unlikely an outfit like Stout could bring one of its big excavators in to do the demolition. In 2019, I reached out to a local Amish man and had him walk through the building to see if he could organize a crew to do it. Let's just say that as he walked through his eyes seemed to get bigger by the step. The present building has at least four roofs on it (a layer of shakes, two layers of shingles and metal sheeting to boot), interior walls that have been built out and ceilings that have been dropped down which all spell “buyer beware” to a prospective demolition man. That Amish feller never did get back to me.

A couple of years ago, a Property Committee was formed made up of local citizens to evaluate all the currently owned city properties. They toured the library, the police department, The Center, City Hall, the City Shop and the Jost building. It was their opinion that a parking lot at this location was not a top priority. And in the meantime there has been a change in the make-up of the council and I know that at least a few of the current members are not in favor of such a project as well.

Recently Carmen had an inquiry from a local resident if we were interested in selling the building. While nothing is official, if this person was serious the matter would first go to The Plan Commission. It would be their task to assess the inquiry and then recommend yea or nea to the Council. Ultimately, the council would have the final say on the matter.

When events are going on at The Center
parking is at a premium

There are some ideas that are good and some that, well, are good but just not cost-effective. Maybe the idea of a parking lot next to The Center is one of the latter. We can certainly continue to park on the street from here to eternity. Of course, if we were to sell the building the idea of a parking lot next to The Center goes with it. While I personally still think a parking lot there would be a good thing to have reality is, when it comes right down to it, I may not have a say in the matter. Here's hoping we choose well.

"Why lookee here..." (how the City of Chetek plans to use the first installment of our ARPA funds)

 

On March 11, 2021, President Joe Biden signed into law the American Rescue Plan Act (ARPA) intended to put a shot into the arm of the economy and bring relief to communities affected by COVID-19. Whether or not Congress should have passed this piece of legislation is a matter of strong opinions on either side of the political spectrum. But the reality is the City of Chetek has had a windfall of approximately $218,000 half of which we have already received and half we can expect next year.

The rules that govern the use of these funds is nearly 50 pages long with a lot of fine print (and absolutely no pictures!) While you can't use these funds to reduce taxes or satisfy long-standing debts, it does give each municipality a measure of flexibility on addressing what they think the funds should be allocated for.

As far as the City goes, at February's meeting after a lot of discussion the council unanimously approved the following items to use 2022's ARPA's funds (which is approximately $109K):

• new siding/ceilings in the pavilions at both Philips and Airport Park

• a sound system in the council room to assist in livestreaming our monthly council meetings

• an ADA path at the beach leading to the bathrooms from Lakeview Drive

• a new roof at the community center

• enclosure for the porta potty at Main Street Park

• a new roof for the Main Street pavilion

She needs a new roof!

Estimates are still being solicited and as in all things “the devil will be in the details” (which is to say before we submit any work order all the funds necessary for that project will need to be allocated).

Some may wonder why not set some of the windfall aside for the new $22 million wastewater treatment plant or the new $2.3 million water tower or for the development on Knapp Street? The answer is simple: while a $100,000 would be a substantial windfall to any one of us for a municipal project it is a proverbial drop in the bucket. Besides, the price tag for the wastewater treatment plant has already been reduced by $10 million on account of the recent USDA Rural Development grant we received. The water tower may be paid in part by monies that the TID (Tax Increment District) in which it stands will generate. And we're still working out the details with S.C. Swiderski regarding “Area 51”.

The reality is Chetek is a “parks poor” community. We rarely have anything extra on hand other than funds for upkeep and maintenance for the parks we have. So when a $109 thousand windfall drops in our lap it seems the best thing to do is to get on it and put it to good use in projects that can be done in a season. I'll be sure to keep you posted.

Speaking of the new wastewater treatment plant, Senator Tammy Baldwin will be in town THIS Monday morning, February 21 to take a short walking tour of our old WWTP and get a virtual tour of the one currently being designed by cbs². It's not every day the Mayor of Chetek gets to play host for a U.S. Senator.

"Where's the beef?" or Why we called the meeting on the Chetek Area Ambulance Service last week

There was a big pow wow last week at The Center in Chetek to talk about the future of the Chetek Area Ambulance Service (CAAS). The City of Chetek is one of 6 municipalities that co-op together to provide emergency medical care to our area. Our partners include the Towns of Chetek, Dovre, Prairie Lake, Sioux Creek and Rusk. In December, representatives from the Chetek City Council made the rounds to all the town board meetings to invite them to the meeting in hopes we could discuss concerns we have with the CAAS and seeking interest in a dialogue about these things.

Asking the same question?

Remember those“Where's the beef?” Wendy's commercials back in 1984 when a dowdy old lady croaked that now iconic line as she looked at her little burger in the middle of a giant bun? Some of our neighbors in the surrounding townships may be thinking or saying that very thing following the meeting on Monday. “What just is the city's beef with the CAAS?” In case you weren't there I'll try and answer that as succinctly as I can.

For starters, one of our biggest concerns with the service is not with who is running it but the operational structure of it.

• Prior to 2018, the director of the CAAS was a certified EMT who picked up shifts and was paid an additional monthly stipend of $550 per month for director's duties. The crew chief was paid $12 per hour for 16 hours per week to handle most of the day to day activities which included run review, supply ordering, cleaning, monitoring of training hours, etc. The crew chief also was on call during these hours. The medical billing and the bookkeeping position were handled in house.

• Beginning in 2018, a new operational model was introduced and implemented that created one position out of two. Instead of a fire chief and an ambulance director both the Chetek Area Fire Department and the Chetek Area Ambulance Service is now overseen by one individual. This new role became a full-time position. Instead of netting $6,600 annually the new director's responsibilities come with a $55,000 annual salary. In addition to this a Quality Assurance position was created and medical billing is now outsourced as well.

• The bottom line: all these “eye-brow raising” administrative expenses were thrust upon the city and the townships with very little discussion about it. While it may now be water under the bridge we feel the commission did not do a good job of communicating ahead of time the particulars of what it was going to cost us. “Buyer's regret”? Perhaps but we weren't really aware at the time just what we were signing off on.

Our next concern is the fact that since the new operational structure was implemented, annual subsidies have gone through the roof from $31K in 2018 to $60K for 2022. That's a 100% increase in a five year span. The other participating townships have seen significant increases as well. So our question to our other partners is are you persuaded that this new operational structure is the one we can live with and afford without having to raise taxes in the not-so distant future?

Here's the beef

What we heard on Monday night – or, at least, what I heard (in so many words) - either from other members of the CAAS commission or the towns was, essentially, 'Quit your whining, City of Chetek. It's the price of doing business. The days of having a part-time director are over. It's a brave new world. EMTs are no longer local folk who have a day job and answer the bell when a page comes in. Given the amount of training involved to acquire and maintain their certification they want and deserve higher pay.' Former CAAS director Sue Gehl, who was at the meeting on Monday night, put it bluntly to all of us: “...if you want to run it like 2018, you find 12 volunteers to run it. Either you pay them, you beg them to come or there’s no volunteers. Volunteerism is dead.”

And she's right. Just like there is currently a national shortage of
police officers and fire fighters there are a whole lot less people wanting to become EMTs. At the very same time that ranks are thinning, the State continues to up the anti as to the amount of training that they demand before a person jumps in a rig to respond to a 9-1-1 call. To compete with the shrinking pool of EMTs, ambulance services, our own included, have gone from “on call” pay to a straight hourly rate. Call it supply and demand. Right now only three individuals on the CAAS have Chetek zip codes. That means the remaining pool of our emergency personnel are driving a long way to pick up shifts so that we can keep our ambulance running simply because not enough of us want to do the work.

There are other things that are outside our control. Reimbursement rates from Medicaid and Medicare for example. If an ambulance ride costs (as an example) a $1,000 to get you from here to there, those who are insured pay the bill. If you're on Medicaid or Medicare, the CAAS may see only $300 of it – and that's that. Medical supplies for the rig have increased dramatically in the last few years. And what of those portions of the Towns of Sumner and Stanley that refuse to pay any subsidy at all? We acknowledge that it all affects the bottom line.

The results of the meeting were, in my opinion, a mixed bag. On the plus side, there was good representation from all our partners. What's more, we talked with one another. We didn't yell at each other but listened to what each had to say in turn. While monthly CAAS meetings are open to the public there probably hasn't been that many people to a meeting about our ambulance service for ever. What's more, there were two reporters there, Chief Ambrozaitus of Chetek PD, Sheriff Chris Fitzgerald and several EMTs as well. And the meeting was live-streamed over the net allowing many to watch the meeting from home then or later. All those things are “wins” as far as I'm concerned as we do need to keep talking about these things.

But having said all that, we are a bit surprised that no one seemed overly concerned by the dramatic way subsidies have increased in the last few years. With the exception of the Town of Prairie Lake, what we heard were “crickets.” I happened to catch Sheriff Fitzgerald on the Dryden Report the other day and referencing this meeting he said: “The City of Chetek's council has to decide what they want for a service.” In response I would simply ask the Sheriff are we to just throw in the towel, pony up, pay our fair share and blame our sorrows on all those darn politicians in Madison who set the rules we live by? We think the people we serve deserve better than just collective hand-wringing and annual rate increases.

We've got a couple of ideas. We'd love to keep the conversation going between our partners on how we can provide the most affordable and effective service the people in these parts deserve.