USDA Helps IPSD Get New Squad Car & Brings $4.9 Million to Gogebic & Houghton Counties

IRONWOOD, MI - Wednesday, August 20, 2008 - U.S. Department of Agriculture (USDA) Rural Development Director for Michigan, Gene DeRossett, today presented four ceremonial checks totaling more that $4.9 million to community leaders in Ramsay, Ironwood, Bessemer and South Range for water and public safety improvements.

"USDA Rural Development is committed to improving the quality of life for Upper Peninsula residents," said DeRossett. "From clean water to public safety, we are working with communities to get the job done."

The Gogebic Water Range Authority (GWRA) received a $1,550,000 loan and $150,000 grant to install and replace 8,800 feet of new 6-inch and 8-inch water main, improve the Blackjack pump station and provide pressure-reducing valve replacements. The project will correct violations of the Safe Drinking Water Act city by the Michigan Department of Environmental Quality (DEQ) and will serve 3,023 rural customers. An additional loan of $652,000 and grant of $100,000 will go to the GWRA for a 250,000 concrete storage tank located on land donated by Grand View Hospital and 1,000 feet of 12-inch main to connect to the tank. This project will serve 899 rural customers.

The City of Ironwood received a $12,000 grant for a new police patrol vehicle. Gogebic County received a $30,000 grant for a new Sheriff Department patrol vehicle and computer and car video equipment.

Adams Township received a $552,000 loan and a $1,893,00 grant for a new gravity sewer collection system, with 5,200 feet of transmission force main to the Painesdale treatment plant, a main pump station and an additional lagoon at Painesdale with discharge in the Pilgrim River. This will eliminate violations of the Clean Water Act and benefit 103 rural customers.

The events are part of a series of ceremonies commemorating more than $6 million in grants and loans this month for communities across the Upper Peninsula.

USDA Rural Development's mission is to deliver programs in a way that will support increasing economic oopportunity and improve the quality of life of rural residents. As a venture capital entity, Rural Development provides equity, liquidity, and technical assistance to finance and foster growth in homeownership, business development, and critical community and technology infrastructure. Further information on rural programs is available a a local USDA Rural Development office of by visiting USDA's web site at http://www.rurdev.usda.gov/.

The pictures that accompany this article are of the check presentation from the USDA to the City of Ironwood for the purchase of the IPSD's newest squad car. Featured in the photos above, from the USDA, are Rural Development Director for Michigan, Gene DeRossett; Area Director, Dennis Maufort; and Area Specialists, Duane Reid and Brenda Stevenson. Also photographed were 110th District Michigan State Representative Mike Lahti;  Kane Beauchamp, congressional staffer for U.S. Senator Debbie Stabenow; and Amy Wisti, congressional aide for 1st District U.S. Congressman Bart Stupak. City officials attending the presentation included: Mayor Bruce Noren; City Commissioner Tom Laabs; City Manager Scott Erickson; Community Development Director Dan Petersen; and IPSD Director Robert Erspamer. Representing the media were Margaret Levra, photojournalist for the Ironwood Daily Globe, and yours truly.

Before the actual ceremony began, Ms. Levra requested that those participating in the check presentation pose for a Daily Globe photo op. Ms. Levra said she couldn't stay for any of the actual meeting, so she requested that a "presentation before the presentation" be made. The group ablidged. The first photo of the indoor "check presentation" is the result of Ms. Levra's request.

The ceremony began at 10:15 AM with USDA's area specialist Brenda Stevenson's introduction. She told everybody in attendance that she fully enjoyed working with Bob Erspamer and other City Staff on the program. She said she looks forward to assisting the City in the future as well. After her brief introduction, State Director DeRossett spoke.

"It is indeed a pleasure to be here today. I bring you greetings from our President whose name is not only on this check, but also the other eight checks that we will be presenting this week, and it is indeed an honor to be in your community." DeRossett said. "The Secretary of the USDA Ed Schafer from North Dakota sends his regards, as well as Under Secretary Tom Dorr for Rural Development, it's who we work for."

"I have to tell you, with the 130 staff that I had in the State of Michigan in ten offices, I have never worked with more dedicated individuals. I spent thirty years in the private sector as a general contractor and a realtor; and I served three terms in the legislature; and I've been honored for the last thirty months to have received this appointment. But I can tell you that it is because of hard work like Dennis, Brenda and Duane that are out in the communities presenting our programs, and I want you to help me thank my staff for the hard work that they do every day."

DeRossett took the opportunity to introduce four current USDA Rural Development programs:

  • Single Family Housing Program - The Single Family Housing Program provides homeownership opportunities to low and moderate-income rural Americans through several loan, grant, and guarantee programs. The program also makes funding available to individuals to finance vital improvements necessary to make their homes decent, safe, and sanitary. According to DeRossett, Michigan leads the nation in this program that will surpass $300 million in 3,200 guaranteed housing loan applications.
  • Direct Home Loan Program - Under the Direct Loan program, individuals or families receive direct financial assistance directly from Rural Development in the form of a home loan at an affordable interest rate. Most of the loans made under the Direct Loan Program are to families with income below 80% of the median income level in the communities where they live. Since Rural Development is able to make loans to those who will not qualify for a conventional loan, the Rural Development Direct Loan program enables many more people to buy homes than might otherwise be possible. Direct loans may be made for the purchase of an existing home or for new home construction. This is a smaller program, at about $30 million, that will supply direct loans to roughly 192 families.
  • Multi-Family Housing Programs  - The USDA Rural Development makes a variety of loans and grants to housing developers for the construction and renovation of multi-family housing facilities in rural areas. These programs have assisted low-income individuals by providing 19,000 housing units throughout the State of Michigan. Seniors and people with disabilities are benefiting from these programs.
  • Business and Co-Operative Programs - Promoting a dynamic business environment in rural America is the goal of Rural Business Programs (BP). BP works in partnership with the private sector and the community-based organizations to provide financial assistance and business planning. BP helps fund projects that create or preserve quality jobs and/or promote a clean rural environment. The financial resources of BP are often leveraged with those of other public and private credit source lenders to meet business and credit needs in under-served areas. Recipients of these programs may include individuals, corporations, partnerships, cooperatives, public bodies, nonprofit organizations, Indian tribes, and private companies. Bio-fuel and alternative energy programs in the Upper Peninsula could drastically change the area's economy in the near future.

"I was saying earlier," DeRossett said, "When I crossed the bridge yesterday, I could feel the tension and the stress go away. Not only do I like being in the U.P., I like the people in the U.P. I like the community. I like the friendliness. I like the fact that it is about community, and everybody is willing to be supportive and help eachother."

Since the squad car grant was through the Rural Emergency Responders Initiative, DeRossett went on to describe the program. After September 11th, the U.S. Congress -- and particularly Congressman Bart Stupak -- realized there wasn't enough emergency responders equipment in small communities. Stupak was the perfect person to initiate the program as he was once an Escanaba policeman; then a Michigan State Trooper; and evenutally a lawyer. As a result Stupak's efforts the Initiative was started. Since the program went in affect, it has provided over $37 million in 139 projects to rural Michigan communities. To view a Northern Michigan Summary for 2001-2008 of the program [CLICK HERE].

DeRossett pointed out the huge impact this initiative has made, particularly on small communities with very tight budgets. He said many of the smaller police and public safety departments would not be able to survive without the assistance provided through their programs.

In his closing statements, State Director DeRossett touched on Michigan Native American Tribal Projects from 1996 through 2007. To view a summary of these programs [CLICK HERE].

USDA Area Director Dennis Maufort then read a letter written to Mayor Noren from U.S. Senator Carl Levin. The letter congratulated the City of Ironwood for receiving the Rural Development grant. Levin apologized for not being able to make it for he presentation. Maufort explained that Levin's congressional assistant, Amy Berglund, usually represents the Senator when he is unable to attend such a presentation, but she was forced t attend an important staff meeting in Detroit.

Kane Beachamp congratulated the City on behalf of U.S. Senator Debbie Stabenow, and Amy Wisti, 1st Congressional District Congressional Aide, spoke on behalf of Congressman Bart Stupak.

Mayor Noren thanked everybody for their assistance in getting the grant, and he thanked those that attended the presentation. He invited everybody to tour the Memorial Building since just about everybody at the presentation was truly impressed by the structure.

IPSD Director stood up and thanked the USDA for the grant money, and he expressed special gratitude to Brenda Stevenson, USDA Area Specialist from Gladstone, for "walking him through" the grant process. He explained that former Community Development Director Pat Merrill usually did all of the grant writing, and that after Pat left, the job was suddenly his responsiblity. Erspamer said he was basically clueless when it came to writing the grant application. He said that there wouldn't have been an Ironwood grant application if Stevenson hadn't gone the extra mile to assist him.

The group then moved outside to have the actual presentation of the check in front of the new squad car. The presentation ended at 11:00 AM.