How has Wright City spent its $10.5 million?

City sold its water utilities in 2018 with promises for infrastructure, park

Adam Rollins, Staff Writer
Posted 12/23/22

During numerous discussions of potential street projects, stormwater improvements, facility maintenance, and replacing rundown vehicles, Wright City’s elected leaders have frequently commented …

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How has Wright City spent its $10.5 million?

City sold its water utilities in 2018 with promises for infrastructure, park

Posted

During numerous discussions of potential street projects, stormwater improvements, facility maintenance, and replacing rundown vehicles, Wright City’s elected leaders have frequently commented that the city’s funding needs far exceed its annual income.

According to city officials, Wright City has a to-do list that includes $20 million to $30 million in major projects aimed at repairing deteriorated infrastructure or making upgrades to support the needs of a growing city. That needs list dwarfs the city’s annual revenue of a little over $2 million.

Last week, The Record reported that city leaders are now considering proposals for new taxes and fees on builders and businesses in order to fund infrastructure projects. 

But the city also has access to a pool of millions of dollars that came from the 2018 sale of its water and sewer utilities, which generated $10.5 million. Aldermen at the time promised the money would go toward streets, infrastructure, and a new city park on Westwoods Road.

Since funding for streets and infrastructure is a growing need, The Record asked for city officials to provide an account of how that $10.5 million has been spent so far, and what amount remains. The answer is that so far, $4.3 million has been spent in four large chunks:

  • Purchase of 62 acres for a city park on Westwoods Road: $1.17 million. 
  • Earth moving for 62 acre park, phase one: $1.54 million.
  • Reconstruction of South First Street East: $564,000. (This is the road that connects Elm Street/Highway F to Wright City’s industrial park.)
  • Reconstruction of Westwoods Road from North Service Road to Indian Lake Drive: $1.04 million.

“We have definitely done some pretty big projects with this money, which would have never happened (without it),” commented Alderman Nathan Rohr.

With those projects paid for, that leaves a little over $6 million from the utility sale waiting in reserve.

So why hasn’t that money already gone into more infrastructure spending? The short answer, according to Wright City leaders, is that it would be easy to spend every bit of $6 million on street, stormwater and park projects, but once that money is gone, it’s gone for good.

“We could turn around tomorrow, spend every dime of it, and we wouldn’t get one-fourth of the projects done that need to be done,” stated Mayor Michelle Heiliger. Instead of spending it all at once, she said the city wants to get more mileage out of that money by seeking outside grant funding to supplement what the city has. 

City Administrator Jim Schuchmann explained that a lot of state and federal money has become available for infrastructure projects, but those grants still require the city to take on some percentage of the project cost.

“So if we get $3 million from the (state) government, then we’ve got to have something to match. So right now we’re holding onto that $6 million, somewhat,” Schuchmann continued. “If we have to do something, then we have to do it. But we’re trying to keep all the balls in the air and decide which (project) we want to pick off as grants come available.”

Alderman Ramiz Hakim also noted that selling Wright City’s water and sewer utilities meant that the city isn’t collecting user fees for those services anymore. Those fees used to cover a large portion of the cost for the city’s public works department. That cost is now being paid entirely from the city’s other tax revenue, putting more pressure on the city to be conservative with its remaining funding, Hakim said.

“We have big projects, it’s just a matter of ‘Let’s see if we can get a grant to offset that,’” Hakim said. “Which projects are the biggest priority is really based off of where we can get the grant that saves the most money and stretch out those savings.”

Wright City Board of Aldermen, Infrastructure

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