Investing in Infrastructure: City Committees Back $9.1 Million Capital Plan

The City Council is prepared to make a big investment in South Milwaukee’s infrastructure.

The council’s Finance and Public Works and Public Property committees jointly approved a more than $9.1 million capital improvements plan for 2011-12 on Wednesday night.

The plan includes dozens of items, from big expenditures like flood prevention upgrades and road projects to much smaller items like an emergency generator for the library and minor remodeling for the fire department … and everything in between.

Projects will be funded through a 10-year borrowing to be executed in coming months — money that will come “cheaper” to us than other communities because of our stellar Aa2 bond rating. That, combined with historically low interest rates, make now as good a time as any to move ahead with this. And there is another good reason to do this now: We didn’t do a general borrowing in 2010, leaving us with essentially two years worth of major capital items and projects to fund with this initiative.

Of the $9.1 million, about half will be general fund debt, with the remainder being paid back through our water, wastewater and stormwater utilities (perhaps through rate increases for the last two).

The capital plan includes nearly $2 million for projects in the 4^th District. Among them: 

• More than $1.1 million in road and flood-prevention projects in and around Parkway Drive and 17^th Avenue.  This includes $200,000 to improve stormwater flow and another $250,000 to improve the efficiency of the Oak Creek wastewater lift station during major storms. Another$675,000 is being earmarked for reconstruction of 17^th Avenue from Rawson Avenue to Hemlock Court later this summer and fall, to coincide with the stormwater work and to ensure that the road will serve as a sufficient alternate route for traffic impacted by the Nicholson Avenue widening project planned for 2012.
• $640,000 to cover the city’s share of the estimated $4.5 million widening project of Nicholson between College and Rawson Avenues; and
• $150,000 for new water main installation on Monroe Avenue between 17^th and Nicholson.

Among the other spending approved for the next two years:

• $1 million for the installation of automated water meters;
• Approximately $800,000 for new garbage trucks and accessories;
• $575,000 for water main replacement;
• $538,000 for various street and alley improvements;
• $300,000 for hazardous sidewalk replacement and miscellaneous concrete work; and
• $150,000 for police radio upgrades.

Keep in mind, however, that these are all cost estimates, and some of these projects, especially those involving the wastewater utility, will require much more study and could change in size and scope — or ultimately not be done at all. In that case, the money can be “re-programmed” to other capital projects as needed.

The capital improvements plan will now likely be taken up by the full council at its meeting on Wednesday, April 6, with the vote on the borrowing anticipated for our April 19 meeting.

I’ll keep you posted as this plan moves along, and as some of the projects come to life. Of course, as always, post your comments below.

I close with this: I believe strongly that cities must regularly invest in projects like this, even in times of economic struggle. Yes, times are tough. But there is a cost to not doing these types of projects, and it can be far greater than the size of the investment we make today.

In other words, invest in infrastrucure now. We will be stronger for it in the future.