Ironwood works to find more funding for water plant

By LARRY HOLCOMBE

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Ironwood — Ironwood city manager Paul Anderson told the city commission Monday that the bids for the proposed water treatment plant came in over budget — again. But they’re getting closer.

He said the city has secured Rural Development funding of $7.6 million for the construction. In summer 2022, bids for the entire plant came in at $14.4 million.

The city responded by splitting the project into two phases, with the goal of using the existing RD funding for Phase 1. He said Phase 1 will include construction of the building and pump station equipment, leaving Phase 2 to include the treatment equipment and systems. He added that the city is working on a State Revolving Fund grant for Phase 2 at approximately $10 million.

On March 2, city officials opened the Phase 1 bids, hoping for something in line with $7.6 million. The bid from Gundlach Champion was $9.99 million. The bid from CD Smith was $9.55 million.

Anderson said they’re going back to Rural Development for supplemental funding, which he’s been told they have a good chance at. But new rules on this round of funding includes attention to a federal Build America, Buy America initiative. He said they are asking the contractors which parts are not made in the United States and their value. If the total of the foreign made parts is less that 5% of the project the city can get a waiver and continue on with the supplemental funding; but if not, they’ll have to replace some foreign made parts with American made parts, and if the price goes up, obtain more supplemental funding.

He told the commission they have 90 days to do this inventory, but expect to be done soon, as others are in line for similar funds.

In other matters, the commission:

—Approved a contract with Saari’s Lawn Service to mow the cemetery this year. It totals $41,850 and includes six separate cuts at $6,975 each. Anderson said the city can determine to do less than those six, and he hopes to use the summer help and equipment it has to perform one cutting in order to assess production and help plan for 2024.

—Approved a list of 28 goals for fiscal year 2023-2024 that came out of a recent work session held by the commission. The top goals included: construction of the water treatment plant, maintain good ambulance service, create a recreational authority to expand recreation opportunities, purchase a new fire truck, continue code enforcement and blight elimination effort, and continue effort to create diverse housing opportunities.

—Approved an annual appropriation request by the Gogebic County Council of Veteran Affairs for $8,362.

—Approved calling for bids for a crack sealing project for a third of the city in what Anderson said could be the beginning of a three-year cycle to do the entire town as was done in 2017-2019.

—Approved calling for bids for replacing a sidewalk along the north side of the civic center and moving it further from the building.

—Approved Mayor Kim Corcoran’s appointment of Ben Thompson to the Downtown Ironwood Development Authority for a three-year team ending June 2026.

—Heard Anderson report on a long list of projects including lead water service line replacement, Hemlock Street reconstruction and downtown sewer main lining work that will all at least begin this summer. He also reported they are looking at Congressional Directed Spending funds to help with the purchase of a new fire truck and improvements to the library, and that they are reviewing bids on the Memorial Building fire alarm system improvements and meeting with department heads as part of the budgeting process.