State water agency approves $16.8 million loan for Mitchell to dredge lake – Mitchell Republic

State water agency approves $16.8 million loan for Mitchell to dredge lake - Mitchell Republic

PIERRE – With the approval of Mitchell voters in 2024, the city of Mitchell received nearly $17 million in loans from the South Dakota Board of Water and Natural Resources on Thursday afternoon for its $25 million funding package to dredge the Lake Mitchell.

The proposal at hand was the centerpiece of the June 2024 ballot measure, which was approved by Mitchell voters by 30 votes.

The application for financing from the State's Clean Water State Revolving Fund Program for a 20-year loan in the amount of $16,815,900 at an interest rate of 3.5%. The board unanimously approved the loan plan.

“I feel like this project has been a long time coming,” said Joe Schroeder, Mitchell’s public works director, who was available to answer questions from the board.

The City of Mitchell has committed sales tax revenue toward loan repayment, which is contingent upon the City of Mitchell adopting a bond resolution.

The only question came from Board Chairman Jerry Soholt of Sioux Falls, who asked about the progress of riparian buffer work and other projects in the Lake Mitchell watershed.

Schroeder detailed a number of watershed projects in Firesteel Creek, including nonpoint source management work through federal funding under Section 319 of the Clean Water Act and management of riparian areas upstream. He said the city of Mitchell is also working with the federal Natural Resources Conservation Service to secure sponsors for a watershed and flood control program for the Firesteel watershed.

“We are pleased with the progress we are making within the watershed,” Schroeder said.

Voters approved the loan request in the June 4, 2024 primary election by a 2,177-2,147 yes vote. It was the second year in a row that Mitchell voters approved a ballot question on the ballot to support efforts to restore Lake Mitchell. More than 56% of voters approved a measure in 2023 to sell designated park land at Lake Mitchell to help fund water quality improvements.

The funds approved at the state level will go toward addressing water quality issues related to elevated phosphorus levels and the resulting algal blooms that have degraded water quality at Lake Mitchell. The plan calls for removing 2 million cubic meters of phosphorus-containing sediment through lake water level lowering and mechanical dredging. Conventional earthmoving equipment will dredge the lake and transport the sediment to Firesteel Park near the lake and other tailings sites.

The City of Mitchell is expected to bid on the project in the summer of 2025, with the project expected to be completed by the end of 2028. The city has nearly $8.2 million in local funding to contribute to the lake improvement project.

Marcus Traxler

Marcus Traxler is deputy editor and sports editor at the Mitchell Republic. A former state Outstanding Young Journalist award winner and 2023 South Dakota Sportswriter of the Year, he has worked for the newspaper since 2014, covering a wide range of topics. Traxler is a Minnesota native and can be reached at mtraxler@mitchellrepublic.com.

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