Continuously serving Kosciusko County since 1854
To assist the town of Claypool with its wastewater project, the Kosciusko County Council Thursday night approved allocating $250,000 out of the Louis Dreyfus TIF (tax increment financing) district.
In presenting the request for the allocation, Kosciusko Redevelopment Commission President Doug Hanes said, “So this evening I’d like to talk about an important infrastructure project at Claypool that directly impacts economic impact and community sustainability.”
He said the Redevelopment Commission voted to approve it and he was there to recommend the project to the council.
Claypool’s wastewater system is outdated and currently under an Indiana Department of Environmental Management (IDEM) order, Hanes said, “and if the town of Claypool doesn’t act, they risk losing housing opportunities, as well as even the local elementary school.”
The economic growth in Claypool is being held back because the sewer system is at 90% capacity as it sits today, he said. During heavy rains, it’s at 310% of capacity because of wastewater infiltration.
Hanes offered the following “key” facts: Louis Dreyfus is the single-largest user of any type, consuming about 60,000 gallons per month of the capacity, which represents about 12% of the entire system’s load. The town has secured currently $2.3 million in grants and state funding, but the total project cost is $4.5 million, which leaves a gap the town needs to fill.
“Currently, the residents are facing sewer costs alone of $100 a month for 4,000 gallons on a monthly basis,” Hanes continued. “The current capacity of the sewage treatment plant is 33,600 gallons, but after this successful expansion, they’ll be able to handle 56,000 gallons on a daily basis.”
He said County Auditor Alyssa Schmucker is working with the State Board of Accounts (SBOA) and Baker Tilly to make sure if the council approves the dispersement of funds, it’s efficiently and compliant with all laws and requirements.
“So what we’re asking is, the Redevelopment Commission chose to redirect $176,000 that had been previously earmarked for a ditch improvement, within the Louis Dreyfus TIF district, but Jim (Moyer), our surveyor, has indicated he can source other funds for that ditch project. So, we are reallocating that $176,000 and then adding an additional $74,000 to bring it to a total of $250,000 that the Redevelopment Commission wants to provide to support the sewer system upgrade,” Hanes explained.
The current balance of the Louis Dreyfus TIF district is $478,000, and the funding will go toward major infrastructure projects, not maintenance, and will benefit the entire TIF area, he said.
Improving the sewer system will open the housing to housing developments, help stabilize school enrollment and support businesses like Louis Dreyfus, he finished.
Don Miller, Claypool Town Council member, said the town “kind of got down into the ditch” when it came to their utilities. He reiterated the sewer is at capacity and under an order by IDEM.
“I look at this as not just getting by, with some assistance, but a step forward for our future for the town of Claypool. We appreciate our small community, but we also are looking ahead. I believe we are a valuable part of the greater community in Kosciusko County and we want to be a part of that,” he said.
Miller said they’ve pulled funds from different places to make the project happen because it has to happen. He mentioned the town sold its water department to Indiana American Water in 2023.
Chris Harrison, Commonwealth Engineers, said one of the key focal points with the community is the wastewater treatment plant and their collection system.
“It is a cornerstone for the future growth of the community as a whole,” he said.
The problem they’re having with improving the wastewater system within the town of Claypool is that they have a small customer base of 185 customers.
“To disperse those dispersements on a monthly basis is running into a roughly $100-a-month bill, so any improvements, any grant money that they can have, any redevelopment,” is going to help lower that rate and help the residents, he said.
Councilwoman Kathy Groninger asked if Claypool residents were currently paying $100 a month for sewer.
Harrison said no. A year ago, the Claypool Council approved a three-phase rate increase. Currently, the rate is $76 a month for 4,000 gallons. Once all the phases are in, it’s going to be right at that $100 mark.
“So any assistance from the council here is going to help pay down those rates,” he stated.
As for a timeframe, Harrison said they did have a groundbreaking last week and it’ll be about a year for the project to be completed.
Groninger made a motion to approve allocating $250,000 out of the Louis Dreyfus TIF toward the wastewater improvements for Claypool, and Councilwoman Kimberly Cates seconded the motion.
Before the motion was unanimously approved by the council, Schmucker said, as far as the funding, “We are trying to find the correct funding path. We’re working with Baker Tilly and the State Board of Accounts to figure out the lawful and legal way to get these funds to them. So you approving it tonight is fabulous, it’s a big first step, and I will continue to work with the State Board of Accounts and the Claypool folks to make sure we can get these funds to them in the correct path that’s legal and lawful.”
