Heritage of Elmwood contractor failed to pay subcontractors, facing felony

By Sarah Nigbor
Posted 3/9/23

A contractor is facing a felony charge after failing to pay several sub-contractors during the Heritage of Elmwood nursing home remodel in 2018.

Scott James Schmidt, 61, Cadott, posted a $10,000 …

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Heritage of Elmwood contractor failed to pay subcontractors, facing felony

Posted

A contractor is facing a felony charge after failing to pay several sub-contractors during the Heritage of Elmwood nursing home remodel in 2018.

Scott James Schmidt, 61, Cadott, posted a $10,000 signature bond Feb. 27 on one felony theft by contractor > $10,000 to $100,000 charge. If convicted, he faces up to 10 years in prison and/or up to $25,000 in fines.

According to the complaint:

On May 4, 2021, Elmwood Police Chief Thibado learned from then Village President William Stewart and then Village Clerk Amy Wayne that Pillar Construction, run by Schmidt, had failed to pay several subcontractors who had completed work at the Heritage of Elmwood, which is owned by the village. On June 2, 2020, JP Mechanical had placed a lien against the nursing home.

Wayne provided Thibado with a list of subcontractors that Pillar Construction had failed to pay. Thibado reached out to them and learned a few had been paid, but those who had been advised it had been difficult to obtain the money. The following businesses were not paid: JP Mechanical Inc., Richardson Electric Inc., Hurlburt Heating and Plumbing, Nationwide Floor and Window Coverings, Fireline Sprinkler LLC, Eau Claire Acoustics Inc., Superior Building Specialty Products, Hagen Decorators Inc., and Larson’s Custom Cabinets.

Representatives from all companies said they had made multiple attempts to obtain payment, via email and phone. Schmidt always had excuses, usually blaming the village board for not approving payment yet. In some cases, workers threatened not to finish the jobs unless payment was received, which resulted in partial payments.

Pillar failed to pay the following amounts:

  • $7,250 to Richardson Electric
  • $22,360 to Hagen Decorators
  • $1,830 to Superior Building Specialty Products
  • $40,980 to Fireline Sprinkler LLC
  • $11,559.45 to Eau Claire Acoustics Inc.
  • $21,750 to Nationwide Floor and Window Coverings
  • $3,218.96 to Hurlburt Heating and Plumbing
  • $16,677.44 to JP Mechanical
  • $6,171.88 to Larson Custom Cabinets

The owner of Nationwide Floor and Window Coverings said he had also contacted River Valley Architects on multiple occasions in an attempt to get paid. A rep from there told him that payment had been delayed due to the nursing home director’s passing. The nursing home director had not died; the CEO of Grace Lutheran Communities, the company that oversees Heritage of Elmwood, was the one who had died, which would have had no effect on payment. Any further contact to Pillar or River Valley Architects went unanswered.

Heritage of Elmwood/Village of Elmwood paid Pillar Construction for the work completed and Pillar Construction was supposed to pay the subcontractors as required by the contracts.

Schmidt is scheduled to appear in Pierce County Circuit Court at 11:30 a.m. April 18 for a preliminary hearing.

Heritage of Elmwood, theft by contractor, Scott Schmidt, Pillar Construction, Elmwood, Wisconsin, Pierce County Circuit Court