Senator Carl Levin paid a visit to City Hall today. Mayor Beach Hall and Council Member Gary Nowak toured Rogers City with the Senator, showing his some of the USDA-RD construction projects funded in part with federal dollars. Mayor Hall thanked the Senator for helping Rogers City obtain Federal grants and loans, such the "Build America Bonds," United States Department of Agriculture Rural Development (USDA-RD) loans, and Community Development Block Grants (CDBG) used for various improvement projects in Rogers City.
They also shared with the Senator their concerns about the economy, needs of the City, and legislation pending to expand the Marine Sanctuary--which Rogers City strongly supports.
Other opportunities and concerns were also presented or discussed, including regional cooperation, energy, and taxes.
This visit was a non-partisan event to keep communications open between Rogers City and a key elected official in Washington D.C.. On behalf of the entire City of Rogers City, thank you Senator Levin for helping this community.
Showing posts with label USDA-RD. Show all posts
Showing posts with label USDA-RD. Show all posts
Friday, October 29, 2010
Wednesday, October 27, 2010
New Sludge Tank
The project is possible because of a low interest rate loan from the United States Department of Agriculture -- Rural Development (USDA-RD). USDA-RD was able to offer the City a rate of 2.35 percent for 40 years. Using provisions of the "Build America Bonds," the interest rate was reduced to 1.54 percent.
Also, the Michigan Economic Development Corporation (MEDC) provided a grant of $750,000 toward the WWTF project.
Tuesday, October 26, 2010
USDA Sewer Project in Full Swing
Thanks to USDA-RD, MEDC, and to you, our sanitary sewer customers in Rogers City. Thanks also to Ray Hansen, Rob Kortman, and Josh Fleming at the WWTF: "They deal with things scary to make Rogers City sanitary."
The purpose of the WWTF renovation project is to provide safe, environmentally responsible, and efficient sanitary sewer service to our customers for decades into the future. If you want to learn more about the renovation of the WWTF, please contact me.
Monday, October 18, 2010
Water and Sewer Projects Overcome Challenges
Due to nice weather, the water and sewer projects are going forward at a fair pace. However, two of the contractors have experienced some challenges. On Cedar Street, MacArthur Construction discovered underground conditions to be very difficult with a layer of hard pan and flowing springs in the excavation area. At the WWTF, the main building was more deteriorated than originally noted, and Merridian has had to accomplish additional repairs on the foundation, walls and windows. The water tower project is on schedule. Overall, MacArthur, Merridian, and CBI are doing a very credible job on these projects so far. Thanks!
With any major project, unexpected items do arise. City staff has regular progress meeting with the contractors. The next meeting is on October 20, 2010. If you have any questions or comments on these projects, please contact me.
With any major project, unexpected items do arise. City staff has regular progress meeting with the contractors. The next meeting is on October 20, 2010. If you have any questions or comments on these projects, please contact me.
Monday, August 16, 2010
City Closes on Water and Sewer Loans
On August 11, 2010, Rogers City closed on two loans from the United States Department of Agriculture (USDA) Rural Development (RD) to make improvements to City water and sewer systems. The water system loan is for $3,098,000. These funds will pay for the work to replace 12% of the water main system, build a new water tower, and drill a replacement well. The sewer system loan is for $3,771,000. It will pay to rebuild the Wastewater Treatment Facility, install a new sewer lift station, and replace 4% of the sewer main system. The loans are actually municipal revenue bonds. Due to USDA-RD's low interest rate and due to provisions of the Build America Bonds Legislation, the effective interest rate for Rogers City's bonds is 1.55% for 40 years. The bonds will be repaid from water and sewer fees to system customers. A grant from the Michigan Economic Development Corporation (MEDC) in the amount of $750,000 will also be used to pay for sewer system work.
While no one wants to pay increased water and sewer rates, the rate increase was necessary to keep the water and sewer systems working safely. The new rate went into effect in April 2010. The work will begin over the next two weeks and will last for over a year.
Along with the rate increase, there was a change in the billing practice. Customers are now charged a base rate, regardless of the on/off status of their service or metered consumption. This base rate ($38.25 per month) reflects the cost to be able to turn on/off your water service and dispose of your wastewater. The largest part of the cost to operate the water and sewer systems is the infrastructure to deliver the water and sewer and safely process it. There is now no charge to turn on or turn off service.
The rate increase makes the average customer's bill (for water and sewer) approximately the same as the average customer in Cities throughout the State of Michigan.
If you have questions about infrastructure, water and sewer service, rates, or the Revenue Bonds, please contact me.
While no one wants to pay increased water and sewer rates, the rate increase was necessary to keep the water and sewer systems working safely. The new rate went into effect in April 2010. The work will begin over the next two weeks and will last for over a year.
Along with the rate increase, there was a change in the billing practice. Customers are now charged a base rate, regardless of the on/off status of their service or metered consumption. This base rate ($38.25 per month) reflects the cost to be able to turn on/off your water service and dispose of your wastewater. The largest part of the cost to operate the water and sewer systems is the infrastructure to deliver the water and sewer and safely process it. There is now no charge to turn on or turn off service.
The rate increase makes the average customer's bill (for water and sewer) approximately the same as the average customer in Cities throughout the State of Michigan.
If you have questions about infrastructure, water and sewer service, rates, or the Revenue Bonds, please contact me.
Wednesday, March 3, 2010
City Water and Sewer Rate Increases
In response to citizen questions about the rate increases, I offer the following additional information about the USDA-Rural Development Water and Sewer Project rates.
There are seven different rates in the City water and sewer rate structure. Not all rates apply to all customers, so please, do not add up all the rates found in Council Resolution No. 2010-14 because that would not be a real bill. Please see the three examples below to understand how the rate increases may apply to your bill:
Example 1: Minimum charge for all customers. Even with a zero meter reading, customers will pay $38.25 per month. This charge includes an increase of $14.40 per month, or 37.5%. This charge pays for fixed City water and sewer system costs.
Example 2: For a customer with a meter reading of 600 cubic feet during a billing period, the bill will be the minimum $38.25, plus $27 for consumption charges. In this example the bill is $65.25 per month. The consumption rate for 100 cubic feet includes an increase of ten cents for water and fifty cents for sewer. In this case, the consumption rate increased approximately 15%, and the total bill increased 38%. The consumption charges pay for the cost associated with producing 100 cubic feet of water and processing 100 cubic feet of sewer.
Example 3: For customers with a private well for drinking water, the City requires a flat rate charge for sewer. This charge is now $39.75. The flat rate sewer charge was increased 47%.
No one enjoys rate increases. The increases are the minimum needed to maintain a safe and effective system. Also, City Council Members worked hard to find the fairest method to apply the rates, and they consider many factors. With the new rate structure, the billing and capital charges apply to all customers, even customers with a vacant building or water shut off. If you have questions or concerns, please contact me at City Hall or via email.
There are seven different rates in the City water and sewer rate structure. Not all rates apply to all customers, so please, do not add up all the rates found in Council Resolution No. 2010-14 because that would not be a real bill. Please see the three examples below to understand how the rate increases may apply to your bill:
Example 1: Minimum charge for all customers. Even with a zero meter reading, customers will pay $38.25 per month. This charge includes an increase of $14.40 per month, or 37.5%. This charge pays for fixed City water and sewer system costs.
Example 2: For a customer with a meter reading of 600 cubic feet during a billing period, the bill will be the minimum $38.25, plus $27 for consumption charges. In this example the bill is $65.25 per month. The consumption rate for 100 cubic feet includes an increase of ten cents for water and fifty cents for sewer. In this case, the consumption rate increased approximately 15%, and the total bill increased 38%. The consumption charges pay for the cost associated with producing 100 cubic feet of water and processing 100 cubic feet of sewer.
Example 3: For customers with a private well for drinking water, the City requires a flat rate charge for sewer. This charge is now $39.75. The flat rate sewer charge was increased 47%.
No one enjoys rate increases. The increases are the minimum needed to maintain a safe and effective system. Also, City Council Members worked hard to find the fairest method to apply the rates, and they consider many factors. With the new rate structure, the billing and capital charges apply to all customers, even customers with a vacant building or water shut off. If you have questions or concerns, please contact me at City Hall or via email.
Monday, February 1, 2010
Utility Rates and USDA Project
The City Council meeting scheduled for 7:00 pm, Tuesday, February 2, 2010 is a very important meeting.
The City Council may decide on new water and sewer rates which will impact all our customers. The rates will be going up to pay for needed improvements to the water and sewer system to provide safe and healthy water and sewer service to homes and businesses in Rogers City.
Water rates may go up by about 25% and sewer rates may go up about 50%. This could result in an increase of about $10-12 per month for the average customer.
Whatever your thought about these improvements and their cost, this meeting is your opportunity to speak your mind to City Council.
The City Council may decide on new water and sewer rates which will impact all our customers. The rates will be going up to pay for needed improvements to the water and sewer system to provide safe and healthy water and sewer service to homes and businesses in Rogers City.
Water rates may go up by about 25% and sewer rates may go up about 50%. This could result in an increase of about $10-12 per month for the average customer.
Whatever your thought about these improvements and their cost, this meeting is your opportunity to speak your mind to City Council.
Monday, March 2, 2009
Infrastructure Projects
The City has been working for over a year to obtain funds to make needed improvements to our water and sewer systems. Our staff, including financial consultants and our engineering firm, C2AE, have been planning and engineering to help accomplish this important work. If all goes well, the project construction will begin in 2010.
Today, the City Council took an important step in the process of making these improvements. They approved making an application to the US Department of Agriculture (USDA) Rural Development (RD) for the projects shown at the link below. Click on the link to see a map showing where all the projects are located. If you have any questions, please contact me.
USDA-RD%20Project%20Locations.pdf
Making all the improvements shown on this map may cause an increase in water and sewer rates of about 34%. This rate increase may be reduced depending on exactly what work is done and what other funding and financing become available. City Council, and staff members, such as Chuck Keiliszewski, Water Superintendent, Ray Hansen, Waste Water Treatment Plant Superintendent, and myself do not want to increase the rates; however, if we don't make the needed improvements to the water and sewer systems, failures in the system will cause service disruption and even greater expenses in the years ahead.
The proposed changes are throughout the City and effect the water quality and sewer disposal of everyone; therefore, the cost of the work will not be levied as a special assessment, but as a rate increase for all customers.
If you have any questions, please contact me.
Today, the City Council took an important step in the process of making these improvements. They approved making an application to the US Department of Agriculture (USDA) Rural Development (RD) for the projects shown at the link below. Click on the link to see a map showing where all the projects are located. If you have any questions, please contact me.
USDA-RD%20Project%20Locations.pdf
Making all the improvements shown on this map may cause an increase in water and sewer rates of about 34%. This rate increase may be reduced depending on exactly what work is done and what other funding and financing become available. City Council, and staff members, such as Chuck Keiliszewski, Water Superintendent, Ray Hansen, Waste Water Treatment Plant Superintendent, and myself do not want to increase the rates; however, if we don't make the needed improvements to the water and sewer systems, failures in the system will cause service disruption and even greater expenses in the years ahead.
The proposed changes are throughout the City and effect the water quality and sewer disposal of everyone; therefore, the cost of the work will not be levied as a special assessment, but as a rate increase for all customers.
If you have any questions, please contact me.
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