×

State budget tags $22M for Alpena-area water, housing

News File Photo A couple walks their dog past the Water Treatment Plant in Alpena in this December 2020 News archive photo.

ALPENA — Alpena residents could have better-protected drinking water and more housing thanks to line items in the $76.9 billion 2023 Michigan budget approved by lawmakers on Friday.

The budget earmarks more than $22 million for Northeast Michigan projects, including $6 million to replace two century-old tanks at the Alpena Water Treatment Plant.

Should the budget receive final approval from Gov. Gretchen Whitmer, the region could see $12.5 million for a housing project in Alcona County and $3.9 million to supplement a project that could bring senior housing to the site of the former Bingham Arts Academy building in Alpena.

The state would allocate the funds through its Economic Development and Workforce Grants for next year.

City leaders weren’t sure where they would find the money to replace two clear well tanks at the water treatment plant, said City Manager Rachel Smolinski.

The two tanks that hold clean water for more than 7,000 customers have shown signs of disintegration after nearly 100 years of use. Leaks in both tanks have required numerous repairs by the city, Smolinski said.

The state grant will keep the city from having to borrow millions of dollars to pay for replacement tanks, which will increase the city’s water capacity and allow for introduction of new businesses within the city, according to the grant proposal for the state funds, shared by Smolinski.

Smolinski was unsure when the city might replace the wells.

Hope Network, a downstate agency that connects people in need with affordable housing and needed services, hopes to use the more than $3.8 million earmarked for the Bingham project to create 35 senior apartments in Alpena.

Even with the state grant, planners must still clear a financial hurdle before moving forward with the project, said Anthony Barker, executive director of housing and community development for Hope Network.

The agency has an option to purchase the property from a private owner but does not yet own it, Baker said.

He would not share any planned timeline for purchasing the building or starting the project, citing the unknowns of fluctuating building costs and other pending grant applications.

A windfall of $12.5 million would make a sizable dent in a $25 million housing project planned in Alcona County.

Lenny Avery, executive director for the Alcona County Commission on Aging, hopes to spearhead construction of a community center, 44 housing units for families and seniors, and recreational amenities such as tennis courts, a splash park, and a walking track in Lincoln.

News of the pending grant award brought Avery to tears of joy as he called legislators to thank them for backing his plan to help decrease low-income housing disparities in Alcona County, he said.

Avery hopes to fund the remainder of the project through a federal allocation match. If not, he’ll try to partner with local business and programs interested in helping him complete the project, Avery said.

The $250 million in Economic Development and Workforce Grants included in the state’s 2023 budget will, if approved by Whitmer, also fund 24 other Michigan projects, including a water line extension in Gaylord, a housing project in Traverse City, and a community center in Midland.

Julie Riddle can be reached at 989-358-5693 or jriddle@thealpenanews.com. Follow her on Twitter @jriddleX.

State money for Northeast Michigan

Budget line items earmarked for Northeast Michigan in the 2023 state budget include:

∫ Alpena Water Treatment Plant: $6,000,000

∫ Bingham Apartments Project: $3,860,000

∫ Lincoln Housing Project: $12,500,000

Source: Michgian Legislature

Newsletter

Today's breaking news and more in your inbox

I'm interested in (please check all that apply)
Are you a paying subscriber to the newspaper? *
   

Starting at $4.62/week.

Subscribe Today