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As most Snowmobilers are aware, there is an increase in trail permit costs
for 2001/2002. These fees allow additional grooming to be performed on the
trails. There is also a lot of misinformation about the funding legislation. The
following is an attempt to clarify the specifics.
 | The DNR grant includes a 60/40 cost-sharing for new
grooming equipment for clubs that qualify. Qualification is based on how
long the "Grant Sponsor" operation has used their previous
equipment, as well as miles groomed. |
| The 60/40 plan is based on a maximum cost of $115,000
for tractor and drag. The "Grant Sponsor" is responsible for any
excess costs beyond the maximum. Maximum DNR contribution is $69,000. |
| Projected grooming funds, per groom, include $3.50 per
mile groomed (in other words, the "Grant Sponsor" is compensated
at a rate of $3.50 per mile groomed. The basic formula the DNR’s cap on
reimbursement is for 1.5 grooms per day x 6 days per week x 16 weeks. A
reasonable projection for an average year would be for 100 miles per day
groomed x 6 days per week x 10 weeks. This would equate to $21,000 in actual
grooming reimbursement. In addition, there is a $6,200 annual reimbursement
for trail signing, brushing and general maintenance. This totals $27,200.
This compensation rate requires that the club provide all labor for
maintenance and grooming with volunteers. There is no way that the Petoskey
Snowmobile Club could afford to pay its operators and balance the
budget. |
| New for 2001 Tractor - Pisten Bully Tractor - $116,230
x .06 (sales tax) = $123,203.80 |
| LaCross Enterprises Groomer Drag - $12,500 x .06 (sales
tax) = $13,250 |
Total = $136,453.80
DNR Grant = $69,000
PSC Portion = $67,453.80
The Petoskey Snowmobile Club took out a loan for the
$67,453.80 to cover costs. The loan payment, maintenance, and fuel will
completely consume the projected $21,000 reimbursement from the DNR. The club
does not currently receive any business support from the area businesses, with
the exception of advertising in our trail map.
For the 2001/2002 season, we will utilize both the new
groomer, as well as our LMC Beartrac groomer, which is approximately 6 years
old. The LMC machine and drag were approximately $100,000 when new. The use of
both machines will allow us to better cover the trail each night, as well as
cover all of the trail in the event of a breakdown. This should greatly
improve the quality of the trail system.
So where did the increase in trail permit fees go? The
majority comes in the authorization to increase grooms from 3 to six times per
week. There was no increase in the cost sharing for equipment.
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