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Be it not mistaken. It’s a real mess.

• The city started in a hole, with the $36.7M project originally projected at a mere $12.7M. Yikes.
• The city’s credit rating fell due to steam plant difficulties; the city is, for the time being, maxed out on their borrowing capability.
• Funds have been borrowed from the electric utility to prop up the steam utility in the short term.
• The Council is questioning whether they can hire long-needed employees in the Parks and Streets departments, because if the cash situation at the plant worsens, the city may need the dollars initially intended for new-hires.
• Funds to purchase badly-needed capital improvements were borrowed from a reserve fund intended not for capital improvements, but for protection of bondholders.
• The city may approach vendors and/or customers for concessions.

And it all started because Mayor Joe wanted to save the jobs of 13 utility workers. Also, city-manufactured steam was meant to help surrounding paper mills be more competitive, to keep business - and lots more jobs than 13 - in Menasha. So now we have 20 utility workers at the steam plant (the business plan calls for 24!) and the city is deep in a financial hole.

The council, via an amendment from Alderman Merkes, demanded extensive financials be reported to them for discussion at their March 5 Council meeting. The Council will wrestle with a variety of options, ranging from bad to worse, once they see those detailed financials.

So here are the questions for you:
Is it a city’s job to be in the utility business? (The City of Menasha owns four utilities!)
Is it the city’s job to subsidize local business so they can be competitive?

I’ve heard tell folks are still standing in line in the freezing cold to shake Mayor Joe’s hand, to slap him on the back or wrap their arms around his shoulders. Do they know what a mess this steam plant is? Do they know their city is in serious debt capacity trouble? Do they know their city has one of the highest assessed tax rates around?

Here’s the real question that folks are tip-toeing around: If mistakes are made on a mayor’s watch, should voters hold him accountable?

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