The Closure of a Paper Mill in Park Falls
The paper mill in Park Falls, Wisconsin, was a significant employer in the world for over 120 years. However, the mill shut down for good last 12 months, leaving many residents without jobs. John Tapplin, a former machine tender on the mill, said, "The place was good to me over time. I raised 4 kids and built a great life there. It’s sad to see it go away because now other people aren’t going to have that chance."
A Thriving Community Turns right into a Retirement Village
During its heyday, the mill employed as many as 650 people out of town’s roughly 2,400 residents. Now, Tapplin sometimes wakes up as early as 3:30 a.m. to haul logs on a roughly two-and-a-half-hour drive to a mill in Cloquet, Minnesota. Since the closure, he said former mill employees have found other jobs or moved out of the world. "This was once an actual thriving community, and now it’s more like a retirement village," said Tapplin.
The Mill’s Demise
The mill operated under several different owners since opening in 1896. The mill almost shut down in 2006 when Ohio-based SMART Papers filed for bankruptcy. The mill had idled for months before Flambeau River Papers bought it with the assistance of a $4 million loan from the state. However, the mill’s demise slowly happened over time when Flambeau River Papers shut down certainly one of its machines in 2018. The company sought an alternative choice to bankruptcy, falling into receivership. Then, the COVID-19 pandemic hit.
A New Owner and a Crypto-Mining Operation
Northwoods Group Realty now owns the previous mill site. Jordan Feldman, who owns the corporate and serves as vice chairman of Global Equipment International, said he and partners wish to lease space to other manufacturers or corporations. The Delaware-based business has already been leasing space to a crypto-mining operation owned by SOS Limited. "They even have several containers up and running already. The containers hold these computers that essentially use energy to mine Bitcoin and other cryptocurrencies," said Feldman.
The Impact of Crypto-Mining on the Environment
According to Forbes, Bitcoin mining is a process where a network of computers confirm online transactions and generate latest Bitcoins. The process requires a number of electricity. The University of Cambridge estimates Bitcoin requires electricity at a rate of 127 terawatt-hours (TWh) every year, which exceeds the quantity of electricity utilized by Norway in a 12 months.
The City’s Efforts to Revive the Economy
The city has sought grants and tax incentives to support other manufacturers on the town, including Weather Shield. The manufacturer of doors and windows made a $3.6 million investment last 12 months to expand its facility in Park Falls with the assistance of $225,000 in state tax credits. The expansion could create as much as 63 latest jobs. St. Croix Rods, which makes fishing rods, also acquired the constructing that after housed a Shopko store.
The Loss of the Mill Leads to Water Woes
The closure of the mill has also meant the lack of town’s largest water customer, which can drive up water rates for residents. The city has needed to run around 250,000 gallons of water a day through the winter to maintain water mains that served the mill from freezing. The city also drilled wells around 20 years ago to supply enough water for the mill to operate.
A Grant to Update Water Infrastructure
In August, Gov. Tony Evers announced a $3.75 million grant funded by COVID-19 relief to assist town update its water infrastructure. The city’s mayor said that ought to help fix the utility’s aging water mains. Without the funding, town was facing a roughly 75 percent increase in water rates.
Conclusion
The closure of the paper mill in Park Falls has had a major impact on the community. The city is working to revive the economy and update its water infrastructure. While it is a difficult time for town, the mayor is optimistic concerning the future. "Mill towns they either roll over and die, or they stand and fight," he said. The city’s leaders are "fighting like hell" to maintain Park Falls moving forward.
