Sewer funding shortfall to be covered by MEDC

Members of the Strategic Fund Board approved the recommendation from Michigan Economic Development Corporation staff which will make it possible for the city of Onaway to proceed with Phase II of the sewer project. ?Certainly the (MEDC) staff saw the dire situation that we were in, in terms of not only this project, but also the remainder of the sewer project,? said city manager Joe Hefele, who attended the May 20 monthly board meeting in Lansing.

?I think that the staff saw a very real need for the sewer project and to get the infrastructure out to that Renaissance Zone,? said Hefele. The MEDC presented a package seeking board approval of $582,350 in grant money, $282,000 of which had previously been a loan. The rest was the amount ($300,000) the project came in over budget, when bids were opened in April. ?Board members had several questions, but all of them were very supportive,? said Hefele. Phase II brings sewer main to the west edge of the Onaway city limits, along M-68 from the intersection of M-33/M-68. It also brings sewer and water main along M-211 to the northern city limits, which will connect with future development in the Renaissance Zone. The MEDC funding is in addition to the $1.3 million grant from the U.S. Economic Development Administration

A PUBLIC HEARING (past press time) was to be conducted Thursday at city hall as a requirement of the application process with MEDC. Residents were given an opportunity to make comments or raise any concerns they had about the project, before the money can be officially released. Following the hearing, a recommendation from the engineering firm Wilcox Professional Services, with concurrence from the city manager, is expected. Glawe Inc. is the low qualified bidder. The awarding of the bid would be contingent upon finalization of project funding.

?Awarding the contract would allow the contractor to get its performance and payments bonds, which are required on the job, so they could start when we issue the notice to proceed,? said Hefele. The ?notice to proceed? is expected in mid-June, with work on Phase II to start soon after. The city received a commitment from the U.S. Department of Agriculture Rural Development for a loan of $1,095,000 and a grant of $2,999,000 to complete phase III. IN OTHER city news: ? The awarding of the next phase of the Onaway Courthouse project was expected during Thursday?s special meeting of the Onaway City Commission. The city was prepared to close on the deal with U.S. Rural Development and a ?notice to proceed? was expected to be issued in mid-June. Construction would begin immediately thereafter. ? A new junk vehicle ordinance was adopted at the May 17 city com

mission meeting, with some additions which will make it easier for the city to enforce.

?There is language in the ordinance now that involves businesses that utilize cars or parts of cars for part of their business,? said Hefele. ?There?s also language included for residents who are selling vehicles in their yards. It basically gives the officer some direction as to how many days the vehicles can sit there with a ?for sale? sign in them.? Additions in the new ordinance also address the storage of stock cars. During the race season, from mid-May until early September, one stock car per resident will be allowed.

?When I was handling it (enforcement), and it?s been done similarly in the past, we?ve kind of looked the other way during the racing season because everybody values the importance of the speedway as an important business in the greater Onaway community and we wanted to allow our residents to drive race cars,? said Hefele.

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