Wrangell’s economy has been in decline since long before the COVID-19 pandemic erupted three years ago. But the economy — meaning jobs, businesses and families — would be a lot worse off if not for federal assistance.
Oppose federal spending if you want, but the $30 million or so in pandemic relief aid that the U.S. Treasury poured into Wrangell the past few years for the borough, schools, businesses, individuals and the tribal government made a huge difference in people’s lives.
Criticize the IRS and income taxes if it makes you feel better, but the community received more in federal dollars the past three years than residents paid to the Treasury.
The pandemic relief aid certainly helped Wrangell get through a tough time of poor health and an ill economy.
That $30 million total includes direct payments to individuals, extended unemployment benefits, tribal assistance payments for food and utilities through the Wrangell Cooperative Association, millions of dollars to help businesses make payroll, about $1 million that the school district has used to help cover budget shortfalls, and hundreds of thousands of dollars in rental and mortgage assistance for more than 1 in 10 Wrangell households.
Money for the commercial fishing industry and help for nonprofit organizations also were on the list, along with millions of dollars for the borough to help cover pandemic-related costs, lost sales tax and port revenues, and a strong dose of a couple million more the community can use to repair its economy and make improvements.
The borough is looking at using the last round of federal aid dollars to help pay for improvements to the community water system, specifically a new pipeline from the upper reservoir to the water treatment plant, to ensure adequate and consistent supply.
There were not a whole lot of government strings attached to the pandemic aid dollars, particularly for the financial assistance that went to businesses, the WCA and government, other than to do good things with the cash, keep track of the money, don’t waste it, and help build a better community.
To put that $30 million or so into perspective, it’s more than 60% of all the wages paid out in Wrangell in 2019, the last pandemic-free year. It’s about five times the size of the school district’s general fund operating budget for a year.
It’s almost three times the total revenue of Wrangell’s maritime industry in 2021. That includes seafood processing, commercial fishing and all the work at The Marine Service Center and other service providers.
And $30 million is about equal to what it cost SEARHC to build the Wrangell Medical Center, which opened in the middle of the pandemic in 2021.
Just as the new hospital will have lasting benefits for the community, so too will the federal aid. At least as far as Wrangell is concerned, it was money well spent.
— Wrangell Sentinel
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