The fairground’s dilemma
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The fate of the Blackwater on the Water project that is proposed for the Alpena County Fairgrounds may be decided during today’s Alpena County Commissioners meeting.
The proposed project could lead to a $3 million needed investment into the fairgrounds, as well as an increased use of it.
Opinion of the project is divided in the Alpena area and it is expected there will be much public comment at today’s meeting. I hope the people giving public comments come armed with facts and not only speaking out of emotion.
With every passing minute, the project becomes less likely because of a lack of action by the Alpena County Fair Board, who has made it clear they are against the project and potentially surrendering a portion of the control it has at the fairgrounds.
Both the contract approved by the commissioners earlier this month, and the one currently being considered by the Alpena Fair Board, contain language that if Blackwater assumes control of the fairgrounds, there will be a fair each year. Blackwater has offered the fair board three weeks during fair season. A week for set up, a week for the fair, and a week for tear down.
First off, and rightfully so, there is concern by some in the community about the possibility that Alpena County may be forced to pay Blackwater $1.5 million if the project goes south.
The contract passed by the county says the county only has to pay that amount if it voids its deal with Blackwater, depending on whether the developer is meeting its terms of the contract.
If at any point Blackwater is forced to void the deal because operations and plans aren’t meeting its expectations, the amount the county owes it is zero.
The potential cost to the county, should it void the deal in future years, is reduced from 50% of the total costs of the improvements to as little as 30%.
That means the county would have paid a fraction of the cost of improvements than if they did so entirely out of its own pocket.
I think most people involved in the project can agree that extensive investment is needed at the fairgrounds. The issue is, neither the county nor the fair board have the financial resources to pay the high price tag to do the work needed. Blackwater provides an opportunity to have the improvements made, while offering events such as concerts, high profile circuit rodeo events, and other events that are far outside the scope of what the Northern Light Arena or APlex can accommodate.
Is there risk? Of course, but there is also risk in seeking a millage.
I also reviewed several state grants that could help pay for improvements, but most offered only a small portion of the needed funds, a large match by the county, or both. Plus, government just isn’t handing out large amounts of free money like it did during and after COVID.
The contract says Blackwater will pay the county $100,000 annually beginning in 2027. It will only pay the county $1 for this year because by the time the construction projects are done, only a few events would be held by year’s end.
Blackwater has already proved to the county it has the entire amount of money for the project and is just waiting for a green light to move forward.
The $1 lease deal is nothing new for the county. It charged the Alpena Boys and Girls Club $1 a year for decades to utilize its property on River Street.
Much has been said about the number of LLCs one of the primary developers has had over the years. That’s business, and people open and close them all the time. They can be used for one project or event, and then closed. An LLC can be opened in anticipation of a job or business opportunity and then closed if it falls through.
You really can’t judge a person’s business acumen based simply on how many LLC they have had.
I wager to bet there are others in Alpena who have opened and closed more LLCs but aren’t getting the heat, nor should they.
The News has done its best to get comments from members of the fair board, 4-H, and Michigan State Extension for its reporting on this issue, but thus far, Facebook has been the place to go to see what the agriculture communities’ concerns are.
That is a shame but will not prevent it from covering the issue and exploring all angles of it as thoroughly as possible.
Are people’s concerns valid? Of course. I have deep concerns about parking, traffic in the area, and the quality of life for the people who live next to the facility, just to name a few.
Let’s examine this further.
What if the Blackwater project falls through. The developers told The News on Monday that they can not wait until a scheduled May 5 meeting of the Alpena County Fair Society to continue forward because they have made commitments for needed materials and entertainment, including a large event it wants to host on July 4 and another event around Labor Day.
If the vote is not expedited, Blackwater could be forced to move on and an opportunity to have the fairgrounds updated will move on with it.
Once again, deadlines are tight and not ideal for anybody.
On Monday, Alpena County Fair Society President Courtney Tauriainen told The News that there will be no vote on the contract at a planned meeting on May 5, which could kill the project. She added that her primary concern is for members of the society and what is best for them.
That quote was perplexing to me, as the fair board has been entrusted to represent the best interests of all citizens and businesses in Alpena County, not just one sector of it.
Let’s not forget, there has been much support for Michigan State Extension and 4-H over the years, They have received hundreds of thousands of dollars in tax money via the county-wide Youth and Recreation millage over the years, which is paid for by all property owners, not just those in the agriculture community.
That is a worthwhile investment in our youth, in my opinion, but support nevertheless.
Does the decision on whether the project moves forward solely fall on the fair board? No. The county has other options that could keep the project afloat. It could terminate its contract with the fair board, with a 90 days out, and continue forward with Blackwater. But, that timeline doesn’t appear to line up with Blackwater’s own.
I hope it doesn’t come to that, but it is an option the county has and could explore.
Over the last week, the Alpena County Fair Society has been in full recruitment mode to bolster its number of members. It has promoted a $5 membership which allows the new members to make comments on the project, but not vote on it.
The call on social media for new members made no mention of a need for additional volunteers, help with event planning or improvement projects, or any of the countless ways new members can help. Only that they can comment.
That strikes me as odd when most local organizations are begging for volunteers and help.
I’m sorry, that just seems like someone is trying to stack the deck.
If this project falls through, where is the money going to come from to make the needed improvements to the fairgrounds?
Does the fair society have the dough to invest in the grandstands, barns, electrical, and plumbing fixes? Is there an appetite for property owners to pass another millage to pay for repairs and maintenance for the fairgrounds?
I feel confident in saying that is unlikely in both cases.
The county, which was facing a budget deficit of over $1 million just two years ago, just now is operating with a balanced budget and is unlikely to go into debt and disrupt the financial progress it has made and it shouldn’t.
I’m not pretending I have all the answers, but I also won’t throw the baby out with the bathwater. When there is an opportunity presented that could improve county facilities, infrastructure, while providing more things for all people to enjoy at the fairgrounds, it must be seriously considered, no matter whose egos are bruised.
Did this project move fast? Yes. It moved much more quickly and without the community engagement we all should demand.
But, this is where we are today and the transparency of the county and Blackwater can be debated and explored later and it will be.
For now the question is simple.
Should the county and fair board take a chance on a project that could reap big benefits, or scramble to find the money needed to make the improvements at the fairgrounds before it falls into further disrepair?
We’ll find out the answer soon enough, but no matter what the course is, I suspect taxpayers are going to pay one way or another.





