Traverse City commissioners voted Monday to approve issuing up to $18.2 million in bonds for Traverse City Light & Power (TCLP) to build out the rest of its citywide fiber network and create a city smart grid, which will allow for real-time monitoring of power usage and outages and give customers the option to track and adjust their energy consumption. The move comes after the U.S. Department of Agriculture (USDA) approved a $14.69 million loan for the projects, with the city committing additional funds to cover drop costs for connecting customers to the fiber network.

TCLP board members voted in March to accept the USDA loan, with city commissioners doing the same Monday and approving issuing bonds to cover project costs. The commission’s vote signals the city’s intent to borrow up to $18.2 million – $14.69 million for the grid upgrades and another $3.5 million for fiber drop costs – and kicks off a 45-day period when city voters can petition to put the bonds on the ballot. If no petitions are submitted, final bond documents will be brought to commissioners in May for authorization, clearing the way for work to begin. The city commission's vote Monday noted that TCLP is responsible for project costs “to ensure that city funds are ultimately not vulnerable.” Funding will allow TCLP to expand its fiber system beyond the current service radius of downtown Traverse City – where just over 3,200 customers now have fiber access – to the entire city, reaching nearly 8,000 more customers. Funding will also cover the buildout of a city smart grid.

Commissioners also voted to approve a 10-year extension with the firm Jacobs to continue operating and maintaining the city’s wastewater treatment plant, which it has done for the past 32 years. The agreement sets a base fee of $3,007,616 for 2022-23 (an increase from the most recent base fee of $2,837,858) and allows for that fee to be renegotiated annually over the next decade. Jacobs will also provide several new value-added services as part of the contract at no cost to the city, such as hosting annual innovation workshops with industry leaders “to review and discuss specific challenges and opportunities to continuously improve and advance the city’s wastewater and water treatment operations,” design and install at least one charging station at the plant that will become the property of the city, update a 2016 solar study, and provide up to $250,000 in out-of-scope consulting engineering services at a discounted rate.

Commissioners Monday also approved a $34,000 contract with Molon Excavating to replace the sand at the West End volleyball courts. Parks and Recreation Superintendent Michele Hunt wrote that the current sand has been in place at the courts since the 1980s, with additions over the years, and is “too coarse and has become rocky and filled with detritus. This type of sand is also not suited for sand volleyball courts and is often too hot and mixed with sharp aggregate causing scrapes for players’ knees, shins, and feet. The type of sand chosen is a much finer grade of sand and will be easier for Parks staff to mechanically groom and rid of litter and debris.” The contract will cover the cost for Molon to deliver 1,200 yards of new sand. The city’s Department of Public Services will “recycle the existing sand and use it for backfill site leveling at the compost facility,” according to Hunt.