2009 Mayor's Recap

I'm pleased to report on the major accomplishments of the Grand Marais City Council in 2009. I also want to take this opportunity to publicly thank the City Staff and City Employees for doing the hard work.

2009 Grand Marais City Accomplishments
(in no particular order)

• Established Council Goals & Objectives for 2009-2010
• Purchased and installed Finger Piers in the Municipal Marina
• Successfully completed Creechville annexation
• Obtained DNR commitment to create and present draft Joint Powers Agreement for Marina/Harbor based on Resolution 2007-05
• Approved and installed Aqua Climbing Wall in the City Pool
• Seamlessly re-organized City Attorney responsibilities
• Passed Rec Park Master Plan with Goals & Policies
• Worked earnestly to pass the County One Percent Sales Tax
• Passed City Noise Ordinance
• Improved Pedestrian Safety with addition of Highway 61 crosswalk
• Worked with Mn DOT to slow traffic on Highway 61 through Grand Marais by purchasing "Event Congestion" signs and planning for purchase and installation of "Your Speed Is" sign
• Passed annual audit; maintained "A" bond rating.
• Asked for and received commitment from County to support the swimming pool up to $75,000 in 2009 and 2010
• Executed plan to re-finance the $1.63M EDA Temporary Bonds for the Business Park
• Minimized tax levy increase in spite of significant Local Government Aid cuts
• Worked with IRRB to obtain $140K to help offset costs for Business Park infrastructure
• Partnered with Grand Marais business community and the Cook County Events and Visitors Bureau with $5K cost-share commitment to decorate downtown for "A North Shore Holiday"

On a personal note, it's been my absolute pleasure to serve as the Mayor of Grand Marais. I'm grateful for the growing cooperative spirit within our community and look forward to a productive 2010.

Happy New Year to All!

Sue Hakes

Last City Council Meeting of 2009

Mayor Hakes and Councilors Kay Costello, Tim Kennedy, Bill Lenz and Jan Sivertson were all present for the last City Council Meeting of 2009. Also present was Finance Director Kim Dunsmoor. City Administrator Mike Roth was absent. City Attorney Chris Hood was not present for this meeting at Council request.

City Council Meeting

Open Forum
No member of the public opted to speak at the Open Forum.

Consent Agenda
The consent agenda was approved with one minor change to the Dec. 9, 2009 City of Grand Marais Minutes.

2008 Improvement Project Final Pay Estimate
Council approved the Final Payment of $115,596.53 for the 2008 Street and Utility Reconstruction Project. Per a memo received from City Engineer Jamison Mehle, the project has been completed and quantities have been agreed to by all parties. The project may now be closed, less the one-year warranty period.

Council & Staff Reports
Jan Sivertson gave a progress report on the EDA. A Public Hearing was held regarding the sale of a Cedar Grove Business Park lot to Pete Grescyk for $45,000 plus $20,000 Special Assessment (pending approval of the City Council). The Baptist Church has also expressed possible interest in purchasing an additional Business Park lot. The University of MN Crookston has begun their Cost Benefit Analysis of the EDA to be completed by July 2010. Jan also discussed overall budget concerns and said the EDA will have a balanced budget in 2010. The EDA Board is exploring all options to deal with current debt, lot sales, other issues. Jan expects the EDA to repay the City the $100,000 loan in January 2010.

Mayor Hakes shared a written summary of the 2009 Grand Marais City Accomplishments and expressed her gratitude for the way in which the Council worked together in 2009. Hakes, and the other Councilors, also acknowledged the work of the City Staff and City Employees during 2009.

Mark Your Calendars
Wednesday January 13 at 4:30 PM Initial City Council Annual Meeting at City Hall
Wednesday January 27 at 4;30 PM City Council Meeting at City Hall

Building Relationships (Better Together)

I had the good fortune to participate in two extremely informative and very pleasant meetings this week with the shared goal of relationship building.

Minnesota Land Trust
On December 15, Dave Tersteeg, Park Manager, and I had a very information and productive meeting with Francis "Fitz" Fitzgerald (Northern Region Conservation Director) and Anne Murphy (Conservation Stewardship Director) of the Minnesota Land Trust.

This very friendly and informal meeting gave us the opportunity to get to know one another, and to better understand how the Land Trust and the Grand Marais Land Trust easement work. We were also able to give a general review of the recently adopted Park Master Plan and work being done with the DNR for a Marina/Safe Harbor.

After our meeting, Tersteeg gave Fitzgerald and Murphy a tour of the Rec Park and Harbor Park.

We all concluded that it is important to work closely together for our mutual benefit and agreed to do so.

U.S. Border Patrol
Mike Roth, City Administrator, and I were invited by Richard Fortunato (Supervisory Border Patrol Agent) to tour the Border Patrol Office on Artist's Point and visit with Fortunato about issues of mutual concern between the City of Grand Marais and the U.S. Border Patrol.

On December 17, Roth and I met with Fortunato and Mariano Arguedas (Lead Border Patrol Agent) for 90 minutes or so. This time was extremely well spent as Fortunato and Arguedas gave us a very useful overview of the U.S. Border Patrol, their mission, and their facility.

We also spent valuable time discussing the desire of the Border Patrol to build a positive relationship with elected officials, law enforcement and the Public. The Border Patrol intends to hold an Open House for the Public at their local facility. They are also involved with community service through the Boy Scouts and their Gunflint Trail Outreach programs.

Fortunato encouraged us to contact him with any concerns, and we promised to do so.

City Council Meeting and Budget Public Hearing

Mayor Hakes and City Councilors Costello, Kennedy, Lenz and Sivertson were all present at today's City Council Meeting and Budget Public Hearing. Also present were City Administrator Mike Roth, Finance Director Kim Dunsmoor, and City Attorney Chris Hood (via phone).

City Council Meeting

Open Forum
No member of the Public opted to speak at the Open Forum.

Consent Agenda
The Consent Agenda was approved with the addition of an agenda item to discuss the upgrading of Librarian I Job Description.

2010 Budget Discussion and Budget Public Hearing
Council discussed the 2010 City Budget prior to the Public Hearing and approved it after the 6:00 PM Public Hearing. No members of the Public were present at the Public Hearing (except WTIP and Cook County News Herald reporters).

Council unanimously adopted Resolution 2009-15 to set the final levy, collectible in 2010 upon the taxable property in the City of Grand Marais for a total of $802,657.38. Council set the same amount as the preliminary levy set at the September 9, 2009 Council Meeting. This amount represents an increase in the total levy of 3% ($23,000).

Council, City Staff and Department Heads have worked throughout all of 2009 to spend wisely and set a budget that is responsible. Final budget adjustments were made, resulting in ~$50,000 of unallocated funds.

The State has announced a $1.2 billion deficit that will require significant remedial action by the 2010 legislature. Governor Pawlenty has stressed that 2010 Local Government Aid (LGA) could be reduced to address this deficit. This means that the 2010 LGA allocation of $96,422 for Grand Marais is in jeopardy.

Council agreed the remaining ~$50,000 should be allocated for spending on the Council Priorities adopted in 2009 including PUC Maintenance Facility, Safe Harbor/Marina, Capital Improvement Planning, and the Municipal Building. However, this money will also be marked as a Contingency Fund should the State unallot all or part of the the $96,422 LGA for 2010. Council could have opted to decrease the levy, but felt it was too risky with the uncertainty surrounding LGA for 2010.

2010 Supervisor Salaries
Council approved a 2.5% wage increase for supervisors in 2010. This is consistent with the 2.5% wage increase negotiated with AFSCME for union employees in 2009-2010.

2010 Board Openings
There are several board openings beginning in 2010. Serving on a City Board is a rewarding way to contribute meaningfully to the Community. Anybody interested in applying is encouraged to do so at City Hall. Open positions will be advertised in the local newspaper. Open spots include (2) on the Library Board, (2) on the Park Board, and (1) on the Public Utilities Commission.

Librarian I Position Description
Council approved the modifications recommended by the Personnel Committee to the Librarian I Position Description. These changes were made to more accurately reflect the responsibilities and qualifications required for this job.

Council & Staff Reports
Tim Kennedy reported that Pete Grescyk is exploring the purchase of a lot in the Cedar Grove Business Park for septage pre-processing. A Public Hearing is set for December 14 at City Hall. (Contact 387-1848 to confirm time.) Kennedy also reported that the Biomass Committee explored the possibility of submitting a proposal for another Federal Grant. However, due to the 20/80 split the Committee decided not to submit.
Bill Lenz updated the Council on modest increase to the 2010 Fees at the Campground and Marina.
Kay Costell0 participated in the 2nd Strategic Planning for the Library this week. She also recommended the Friends of the Boundary Waters sponsored movie, "Precious Waters' about the environmental impact resulting from Sulfide Mining on the Iron Range.
Jan Sivertson reported that the EDA continues to work on the Cedar Grove Business Park Marketing Plan. The EDA listed the Business Park lots with Tim Kennedy, Owner/Broker of Gunflint Realty. The EDA is working closely with Kennedy to establish new pricing and determine special assessments. The EDA needs to create a plan to repay the City the $1.6 million debt plus interest for the General Obligation bonds sold by the City this month. Sivertson also reported that the EDA has not repaid the $100,000 loan to the City, but still intends to do so.
Sue Hakes shared that she has heard some public concern about Tim Kennedy being hired by the EDA to sell lots. Council discusssed this briefly noting that a legal opinion was obtained and it was determined that there is no conflict of interest for Kennedy to work with the EDA as their real estate broker. It was also noted that the Council does not have authority over the EDA or Kennedy in this matter. Hakes also reported that US Border Patrol representative Richard Fortunato invited Hakes and any member of the Council to meet to discuss issues of mutual concern. Hakes and Mike Roth will meet with Fortunato at the Border Patrol office on Thursday, December 17, at 10 AM. And lastly, Hakes reported that she presented the Council's letter to the County Board stating the Council's desire to be a part of the process to design and build a Community Center/Rec Area and build an addition on the existing Library. No specific feedback was given to Hakes from the County Board. The City Council will continue to advocate for a new Community Center in Grand Marais.

Mark Your Calendars
Mon December 14 at 10:00 AM Public Hearing for EDA Lot Sale (call City Hall at 387 1848 to confirm date and time)
Wed December 30 at 4:30 PM City Council Meeting
Wed January 13 at 4:30 PM City Council Meeting
Wed January 27 at 4:30 PM City Council Meeting

Census 2010 Employment Opportunity

The United States 2010 Census is still looking for workers in Cook County. For more information, including a practice test, go to http://www.2010censusjobs.gov/ or call 1-866-861-2010. The work hours are flexible.

Working Together Downtown!

I want to acknowledge and give a warm thank you to everyone involved in decorating downtown Grand Marais for “A North Shore Holiday”. The friendly collaboration between the downtown business owners, City Staff, Grand Marais Area Tourism Association, and the City Council has resulted in making our town more beautiful, more festive and more welcoming.

It is my sincere hope that residents and visitors alike have an opportunity to enjoy many pleasurable strolls through our newly decorated Harbor Park and downtown streets as they shop for the holidays and gather with friends and family this season.

Have a happy and safe holiday!

Happy Thanksgiving!

On this Thanksgiving Day I am particularly grateful for our beautiful harbor town and all of the wonderful people who live and work here.

Enjoy your time with family, friends and neighbors!

Holiday Parade Tonight in Grand Marais!

Join the fun tonight at the Chamber of Commerce Annual Christmas parade in downtown Grand Marais. The Parade starts at 6:00 PM. If you want to be in the parade, the line-up begins at 5:30 PM in the Senior Center Parking Lot; this year's them is A Christmas Carol.

After the Parade, be sure to stop in at the Senior Center for pictures with Santa. Cookies, hot cider and coffee will be served.

White Tents a Glowin'

The North House Folk School Winterer's Gathering campers are settled in at the School and the Rec Park. The lamps inside the tents and the outdoor fires cast a warm and friendly glow. Join the fun this weekend.

City Council Meeting and Grand Marais Noise Ordinance Public Review

Mayor Hakes and Councilors Kay Costello, Bill Lenz and Jan Sivertson were all present for the November 18, 2009 City Council Meeting and Noise Ordinance Public Review. Councilor Tim Kennedy was absent. Also present were Mike Roth, Kim Dunsmoor, City Attorney Chris Hood and Librarian Linda Chapelle.

City Council Meeting

Open Forum
No member of the public spoke at the Open Forum.

Consent Agenda
Two items were added to the agenda: 1) Council Letter to the County Board and 2) Store Front Loan Application. No other changes were made to the Consent Agenda.

Council Letter to the County Board
Council reviewed the letter rewritten by Hakes to be presented to the County Board by the Council for specific One Percent Sales Tax funding to build a Community Center/Rec Area and the Grand Marais Library expansion. Council is eager to support both efforts by participating on the Community Center Committee and the Library Board to bring these projects to fruition. Both Hakes and Bill Lenz attended the Community Center Board Meeting on November 17 and asked to be a part of the process. Kay Costello continues to work with the Library Board.

Library Improvement Project
Librarian Linda Chapelle and Library Board Members David Quick and Carol Miller reviewed with the Council their concept drawing for a proposed 3000 square foot addition. They also asked the Council for their support in proceeding with the project. The Library Board will also be talking with the County Commissioners about obtaining One Percent Sales Tax funding for the expansion. Council, Chapelle, Quick and Miller all agreed that the current location of the Library was the best location.

Store Front Loan Application
Bev Wolke presented the Store Front Loan Application letter from the Shoreline Inn Motel for $12,500. Council unanimously approved the loan to repair and replace the Shoreline Inn and Cobblestone Cove sign at the corner of Highway 61 and Broadway.

Business Park Financing
Carolyn Drude of Ehlers & Associates presented the results of the bond sale to pay off the Temporary General Obligation Bond sold 3 years ago (January 2007) for EDA Cedar Grove Business Park infrastructure . Due to the lack of lot sales, the EDA has been unable to repay this debt of $1,630,000. The low bid for the sale of $1,675,000 General Obligation Bonds was presented as 20 years at a true interest rate of 4.2419%. Council unanimously passed the resolution providing for the issuance and sale of these General Obigation Improvement Refunding Bonds.

In a positive note, Standard & Poor's Rating Services assigned the "A" long-term rating to the City of Grand Marais noting "the stable outlook reflects our expectations that the city will maintain its very strong financial position and balanced operations in future years".

SMMPA Contract Extension
Mike Roth reviewed the Southern Minnesota Municipal Power Agency (SMMPA) presentation given to the Public Utilities Commission regarding the extension of the power sales contract from 2030 to 2050. Council supported the PUC decision to make this extension to the contract, obligating SMMPA to provide Grand Marais with electricity.

Grand Marais Noise Ordinance Public Review
No members of the public were present for this review of the Noise Ordinance adopted earlier this year. Mayor Hakes and Councilors present remarked that they received no noise complaints after the Noise Ordinance was enacted. Sheriff Mark Falk reported to Mike Roth that there were no music related noise complaints after the Ordinance was enacted. Sue Hakes received positive input from one city resident prior to the meeting; this resident had no noise complaints. Council agreed that the Noise Ordinance was a successful process.

Council & Staff Reports
No individual reports were given.

Mark Your Calendars
Wednesday Nov 19 at 4:00 PM Joint CCST at High School
Wednesday Dec 9 at 4:30 PM City Council Meeting
Wednesday Dec 30 at 4:30 PM City Council Meeting

Another Budget Worksession and City Council Meeting

Mayor Hakes and Councilors Costello, Lenz, Kennedy and Sivertson were all present for the Budget Worksession and City Council Meeting held Monday, November 9. Also present were Mike Roth, Kim Dunsmoor and Attorney Chris Hood. Present for the Worksession were Pat Hennessy, Mike Kunshier and Dave Tersteeg.

Budget Worksession

Pat Hennessy, Liquor Store Manager, gave an overview of Liquor Store Revenues and Expenses to date and the 2010 Budget. Liquor Store sales are up 3.8% through October. The Liquor Store is an important enterprise fund for the City of Grand Marais.

Mike Kunshier, Manager of Gunflint Hills Golf Courses, gave an overview of Revenues and Expenses to date and the 2010 Golf Course Budget. Also discussed were options for 2010 Course Rates. The Golf Course is an important asset to the City of Grand Marais drawing customers to the Rec Park Campground, as well as locals and tourists. Due to a nationwide decline over the past few years in golfing, the Golf Course has struggled and has shown losses. There was some discussion about whether to account for the Golf Course as an Enterprise Fund or change it to the General Fund.

City Council Meeting

Open Forum
Eric Humphrey and Jane Shinners, representing the Grand Marais Area Tourism Association (GMATA), reported several items of interest to the Council including 1) A major effort is underway to consolidate tourism marketing efforts throughout Cook County. GMATA, Gunflint Trail Association, Lutsen-Tofte Tourism Association, Grand Portage and the Cook County Events and Visitors Bureau are working together to form a 501(c)(3) umbrella organization. There will be (1) Director for the newly formed organization. GMATA will remain in its current location. The Chamber of Commerce will remain an independent entity. 2) A special Customer Service Training will be offered through Cook County Higher Ed on 12/16 or 12/17. 3) Local business owners raised nearly $6K for the North Shore Holiday downtown decorations. This will be matched with $5K from the City of Grand Marais.

Planning Commission Report
The Council unanimously approved Dale Speck's request for a variance from the requirement of a lot to have frontage on a public street. Council supported the Planning Commission's unanimous recommendation.

Liability Insurance Renewal
Paul Coe updated Council on the City's Liability Insurance renewal.

One Percent Sales Tax Recap and Next Steps
Grand Marais residents voted heavily in favor of the One Percent Sales Tax Referendum. GM East voted 61.8% YES and GM West voted 70% YES for an overall 66% in favor within the City of Grand Marais.

The Council acknowledged its pleasure in the success of the Referendum, which they had identified as its most important priority for 2009. Together and individually, the Council worked diligently with community members to pass this important tax. Jan Sivertson led the Committee to Pass the Referendum (thanks Jan!); Sue Hakes was also a member of that Committee. Councilors Costello and Kennedy were on the One Percent Committee that worked for nearly a year to to identify potential projects for Sales Tax Funding. All (5) City Councilors advocated for the Referendum publicly and particpated in the public process held throughout 2009.

Also in March 2009, Council identified building a swimming pool within the proposed Cook Community Center as a top priority. Council is ready to begin work in earnest to make this long-awaited dream become a reality. It is important to remember that a Community Center garnered the most support from residents of Cook County during the Public Process Phase of the Referendum Project. Hakes volunteered to participate as a member of the Community Center Committee which will meet this month.

Council discussed the next steps in working with the County to discuss the funding process and when funds will be available for the Community Center/Recreation Area and Library projects. Mayor Hakes drafted a letter to be presented by the full Council to the County Board asking for specific Community Center/Recreation Area funding. Councilor Costello requested the Library Project also be included in this request. Hakes will redraft the letter to include the Library.

Business Park Financing Update
Council voted to move forward in selling General Obligation bonds as planned to pay off the $1.6M debt incurred 3 years ago (January 2007) to pay for Business Park Infrastructure. If the EDA is successful in receiving any grant assistance fro the IRR as requested from Senator Tom Bakk, that money will be used to make the first bond payment.

Council & Staff Reports
Tim Kennedy reported that the Biomass Project proposal submitted in partnership with Ely did not receive Department of Energy grant funding.
Jan Sivertson gave a recap on the One Percent Sales Tax committee.
Bill Lenz prefers the Golf Course not be continued as an Enterprise Fund.
Sue Hakes reported that the DNR and City Staff are working together to find a resolution to the problems with City's Burn Pile. Hakes also reported that the DNR has renewed their effort to provide the City with a draft Joint Powers Agreement to be used as a roadmap for a Grand Marais Safe Harbor/Marina.

Mark Your Calendars
Wednesday Nov 18 at 4:30 PM City Council Meeting
Wednesday Nov 18 at 5:00 PM Noise Ordinance Public Hearing
Thursday Nov 19 a 4:00 PM Joint CCST Meeting at Courthouse
Wednesday Dec 9 3:30 PM Budget Worksession
Wednesday Dec 9 at 4:30 City Council Meeting
Wednesday Dec 30 4:30 City Council Meeting

Veteran's Day Thank You

The Veteran's Day Band Concert this morning was a wonderful opportunity for our community to honor all the Veterans of Cook County. A very special thanks to the Veterans who were able to attend today's ceremony, giving all of us the chance to show our gratitude for your service and sacrifice. Thank you Cook County Veterans.

Thanks also to the VFW Color Guard, the High School Band, William Tormondsen, Shelby Anderson, Kale Boomer, Pastor Ditmanson, Richard McKenzie and ISD 166 for creating this meaningful and important event.

Today there is much to be grateful for.

Special Election Results

The Polls close at 8:00 PM tonight. If you've not voted, there is still time to hand deliver your ballot to the Cook County Courthouse. Exercise your right to VOTE and let your voice be heard.

From Community Radio WTIP--

Tune in to WTIP on Tuesday, Nov. 3 for the 1 percent sales tax referendum results. As the ballots are tallied, WTIP Hosts Roger Linehan and Jay Andersen will keep you up to date on the results. Special coverage starts at 8:20 p.m. with updates every half hour.

From Cook County--

The County will be posting the referendum results as each precinct is certified by the County Auditor. Starting soon after the polls close at 8pm, we will begin posting results at http://co.cook.mn.us/

City Council Meeting

The Mayor and all members of the City Council were present for today's City Council Meeting. Also present were Mike Roth, Kim Dunsmoor, Dave Tersteeg and City Attorney Chris Hood.

Open Forum
Mark Sandbo, representing Grand Marais Hotel Company, informed the Council that in response to the letter received from the City Council, a new Shoreline sign would be in place within a month.

Consent Agenda
Council approved the Consent Agenda with no changes.

Christmas Parade Permit
Council approved the Christmas Parade Permit requested by the Chamber of Commerce. Bev Wolke infromed the Council that the Parade will start at 6 PM on Tuesday, November 24, downtown Grand Marais.

Lion's Club Request for Public Restrooms
Ken Walenski and Max Bichel of the Grand Marais Lion's Club expressed concern for the lack of enough public restrooms in downtown Grand Marais. Their request was supported by several business owners in the audience. Walenski and Bichel explained that the Lion's Club is a service organization with the motto "We Serve". In the spirit of community service, the Lion's Club has offered to take this project on as a Community Service Project. The Lion's Club has asked the Council to endorse the Lion's willingness to form a committee to work toward solving the problem of identifying an appropriate location and funding sources for public restrooms. Council acknowledged and agreed there is a need and fully supported the Lion's request. Council will add Public Restrooms to their Capital Improvement Planning.

Harbor Park/Downtown Holiday Decorating
Diane Brostrom, Director Grand Marais Area Tourism and Committee Member for "A North Shore Holiday" requested assistance from the City to decorate Harbor Park and the Downtown Area for the Holiday Season. Brostrom's request was supported by several business owners in the audience. Time is of the essence as the holiday season will be kicked off in just a few short weeks. After some discussion, including members of the Business Community, Council agreed to provide a match up to $5000 to purchase lighting and holiday decorations that might be used for several years. Council also agreed to provide labor for hanging lights & banners, putting up a tree, etc.

Led by the Cook County Events and Visitors Bureau, local retailers and marketers throughout the County are taking full advantage of a one-time $15,000 grant from Explore Minnesota Tourism to promote shopping and activities on the North Shore this holiday season. This promotion includes a direct mailing of 10,000 pieces.

The investment in decorating Grand Marais's Harbor Park/downtown area, combined with this significant CCEVB marketing effort are part of a unified effort to make Cook County and Grand Marais a holiday shopping and vacation destination.

PAC-13
PAC-13 broadcasting equipment has been relocated to City Hall, allowing City Staff to update and broadcast PAC 13. Council decided to video tape Council Meetings in the simplest manner and at the lowest cost. A process for broadcasting Public Service Announcements is being determined.

Cairn Sign Maintenance Agreement
Modifications to the Cairn Sign Maintenance Agreement were recommended by City Attorney Chris Hood and accepted by Council.

Other Items
Mike Roth reported that the City's brush pile is being burned. Complaints of smoke in the school and in the hospital have been reported. Wind conditions, combined with the amount of green brush from the last storm, have caused more smoke than is typical. Council discussed options, but there is no clear solution to this problem.

Council & Staff Reports
Mike Roth reported on the October 27 meeting with Senator Tom Bakk to request funding assistance for the repayment of the Business Park Infrastructure debt. Meeting attendees included Roth, Matt Geretschlaeger (EDA Director), Hal Greenwood, Dick Grabko (SEH), and Mike Larson (IRRB). Specifically, the EDA asked if a previously awarded grant for Housing Development ($135,000) might be transferred to pay for Business Development Infrastructure. The Housing Development project is not proceeding as planned. A loan with favorable terms was also requested. Roth reported that Senator Bakk would take our requests under consideration at the IRRB.
Tim Kennedy reported that the Biomass District Heating Project Group is still meeting. No word regarding the Federal Grant submitted with the City of Ely has been heard.
Jan Sivertson reported that 1 proposal was received in response to the EDA's Request for Proposals for Real Estate Brokers to list, sell and market lots in the Business Park. The proposal received was from Gunflint Realty. City Attorney Chris Hood will review to be sure there is no conflict of interest.
Sue Hakes gave notice that the Northeastern Entrepreneur Fund's Women's Business Luncheon will be held at City Hall on November 18. Hakes will be speaking on the topic "Know Your City Government".

Mark Your Calendars
Mon November 9 at 3:30 PM Worksession--Budget (Liquor Store & Golf Course)
Mon November 9 at 4:30 PM City Council Meeting
Wed November 18 at 4:30 PM City Council Meeting
Wed November 18 at 5:00 PM Noise Ordinance Public Hearing
Thur November 19 at 4:00 PM Joint C/C/S/T at Courthouse
Wed December 9 at 3:30 PM Worksession-Budget
Wed December 9 at 4:30 PM City Council Meeting
Wed December 30 at 4:30 PM City Countil Meeting

How to Register to Vote

It's not too late to register to vote in the November 3, 2009 Special Election. Click here for the instructions straight from the Cook County Auditor's Office.

Special Election on November 3

Go to the Cook County Website to see a Sample Ballot and get information about how to register and vote in the November 3, 2009 Special Election.

Bonding Worksession and City Council Meeting

Sue Hakes and all City Councilors were present for today's Worksession and City Council Meeting. Also in attendance were Mike Roth, Kim Dunsmoor and Carolyn Drude, Senior Financial Advisor/Executive VP of Ehlers & Associates.

Worksession to Re-finance EDA Infrastructure Debt
Just about 3 years ago (January 2007) the City of Grand Marais issued $1,630,000 General Obligation (G.O.) Temporary Improvements Bonds to provide financing for the Sewer, Water & Street infrastructure improvements in the EDA Business Park. The plan at that time was for the EDA to sell lots in the Business Park and repay the City $60,000 for each lot sold until the debt was repaid. Lot sales have not occurred as planned and the EDA is unable to repay this debt. This 3-year G.O. Temporary Improvement Bond is now due in January 2010 and the City is responsible for this payment.

The City Council once again met with Ehlers & Associates to discuss options for refinancing this Temporary Bond including the sale of 10, 15 or 20-year G.O. Improvement Bonds . Carolyn Drude of Ehers & Associates also offered for consideration a 20-year Build America Bond which the Council is considering. In general, Build America Bonds bear a higher interest rate, but the Federal government will pay 35% of the interest payment through an annual rebate reducing the cost to the City. Council requested time to consider more fully the Build America Bond and will meet again at 12:00 Noon on Friday to decide.

City Council Meeting

Open Forum
Nobody from the Public opted to address the Council at the Open Forum.

Variance Request
Council unanimously approved the request from Alyssa and Jonathan Hedstrom for a variance from the setback from residentially zoned property to construct an addition to the South and West side of their commercial building located in the H61 District.

EDA Business Park Discussion
Even though Council is working to refinance the $1.63M debt owed by the EDA on the Cedar Grove Business Park, they will continue to hold the EDA accountable for repayment. As agreed by the Council previously, Mayor Hakes wrote to the EDA on behalf of the City asking them to explore all options for this debt repayment. The City has also asked for a comprehensive marketing plan to sell lots in the Business Park. Jan Sivertson reported that the EDA has published a Request for Proposals soliciting bids from licensed real estate brokers to list, sell and market 31 lots in the Business Development Park.

Cairn Signs Maintenance Agreement
The City has agreed to provide the maintenance for the Cairn signs at the entrance to the City of Grand Marais and the Gunflint Trail. Details are being worked out between the City and the Arrowhead Regional Development Commission.

Noise Ordinance Public Hearing
A Public Hearing was promised and has been scheduled to allow the Public to check in with the Council regarding the Noise Ordinance that was established in 2009. The Public is encouraged to attend this Public Hearing at 5:00 on Wednesday November 18.

Council & Staff Reports
Mike Roth asked for Council to approve replacement of the Liquor Store awning that blew down in the storm. Council approved the purchase.
Tim Kennedy reported that the PUC has agreed to extend their contract with SMMPA through 2050. A presentation will be provided to Council for review and support. Kennedy also raised the issue of the Shoreline sign and the danger it caused during the recent windstorm. Council agreed that the City should send correspondence to the owner asking that the sign be removed or restored to a safe condition.
Jan Sivertson gave an update of the on-going efforts to pass the One Percent Sales Tax. Ballots will be mailed to all registered voters in the County on Friday October 16. Jan also asked each member of the Council if they supported the One Percent Tax. Each member of the Council shared their support for this proposed tax without hesitation. Sivertson also raised the need for more public restrooms downtown. And, Sivertson shared the CCEVB plans to make Cook County a December holiday destination. Council agreed to explore ways to support this effort including the possibilities of providing a large holiday tree in Harbor Park, lights and electricity.
Bill Lenz reported on the revenues for the Park Department including an increase in Pool, Campground and Marina revenues and a decrease in Golf Course Revenues, mostly due to weather. Lenz also reported that the Park Board voted to de-ice the docks at the Marina by moving water around them as opposed to removing the docks in the Fall and putting them back in the Spring. De-icing is less expensive than taking the docks in and out.
Kay Costello reported that the Library has begun their strategic planning and has (2) full day sessions planned.
Sue Hakes reported that she has also heard requests from both the Lions Club and GMATA for more public restrooms downtown. Hakes has encouraged these groups to come before the Council with their requests; Mike Roth confirmed they have asked to be on the agenda for October 28. Hakes also shared that several community members have asked for Community Garden Space and Council discussed various possibilities including the Business Park.

Meeting was recessed and will resume at Noon on Friday October 16, 2009.

Mark Your Calendars
Please note that there are several changes to the usual meeting schedule:

FRI October 16 at Noon City Council will resume Council Meeting to discuss Bonding options
WED October 28 at 4:30 City Council Meeting
MON November 9 at 3:30 Council Worksession to discuss Liquor Store & Golf Course Budgets
MON November 9 at 4:30 City Council Meeting
WED November 18 at 4:30 City Council Meeting (will authorize Bond Sale)
WED November 18 at 5:00 Noise Ordinance Public Hearing
THUR November 19 4:00 Joint City/County/School/Tribal Council Meeting at Courthouse

OCTOBER IS NATIONAL DOMESTIC VIOLENCE AWARENESS MONTH

A Proclamation by the President of the United States...

Domestic violence touches the lives of Americans of all ages, leaving a devastating impact on women, men, and children of every background and circumstance. A family's home becomes a place of fear, hopelessness, and desperation when a woman is battered by her partner, a child witnesses the abuse of a loved one, or a senior is victimized by family members. Since the 1994 passage of the landmark Violence Against Women Act, championed by then Senator Joe Biden, our Nation has strengthened its response to this crime and increased services for victims. Still, far too many women and families in this country and around the world are affected by domestic violence. During National Domestic Violence Awareness Month, we recommit ourselves to ending violence within our homes, our communities, and our country.

This evening in Grand Marais, about 2 dozen community members, friends and neighbors held a candlelight vigil at Java Moose to remember the women, children and men that died this year in Minnesota as a result of domestic violence. The group then walked to Harbor Park to light the Tree of Hope. This special tree is decorated with small purple lights and will be lit from dusk to dawn. The purpose of the tree is to raise awareness about the problem of domestic violence and to let everyone who is a survivor of violence know that they are not alone.

If you or someone you know needs help, call the Violence Prevention Center in Grand Marais at 387-1237 or go to: http://www.boreal.org/violencepreventioncenter/MainLFrame.html

One Percent Local Sales Tax Opportunity!

Vote YES!

There is a lot of energy surrounding the Referendum to pass the One Percent (1%) Sales Tax in Cook County; there is also some confusion. Following is an attempt to clarify.

A Special Election is being held in Cook County for voters to decide whether or not to impose a sales tax of one percent (1%) on all taxable transactions within Cook County. Election Day is November 3, 2009. Beginning October 16, a ballot will be mailed to every registered voter in Cook County, including the City of Grand Marais. Your ballot must be received in the Cook County Auditor's Office by 8 PM on November 3, 2009, either by mail or hand delivery.

The money collected through this sales tax will be used to pay for all or a portion of the following projects and associated financing costs: (i) construction and improvement of a countywide high-speed communications infrastructure network; (ii) construction, improvements and additions to community centers and public recreations areas, including public parking areas, located in Grand Marais, Tofte, and Lutsen; (iii) construction of and improvements to the Grand Marais Public Library; and (iv) construction and improvement of a district energy plant for public facilities in Grand Marais.

For the past year or so, the Community has worked to identify specific projects for potential funding using this 1% Sales Tax. And, a One Percent Sales Tax Committee was formed. This Committee, based on Public input, identified (7) projects for possible funding:

Expanded Cook County Community Center
Cook County Community Center Outdoor Rec Area
Birch Grove Outdoor Rec Area
Public Library Addition
County-wide Broadband
District Energy Facility
Improvements to Superior National Golf Course

It is important to understand that the County Board has the discretion to decide which project(s) to fund in part, in full, or not at all. It is equally important to understand that it is up to each of us to advocate to the County Board (and within the Community) for the projects we believe in and want to see realized. We have the right and the responsibility to let our County Board know how we want this money spent.

Before us is the unique chance to collect $20 million to spend on projects that we could not otherwise afford in this small community. Before us is an opportunity to participate fully and directly in the political process that determines where to spend this money. It is important that we let our County Commissioners know what we want.

Bottom Line: Let's pass the Referendum to get the $20 million into the County. Then, let's work together with the County Board to spend it responsibly and on the projects we want.

The One Percent Sales Tax and how it will be spent is complex. If you have questions, take the time to find answers.

For further information:

WTIP is sponsoring a public forum at the Arrowhead Center for the Arts with the Cook County News Herald and Community Education from 6:30-8:30 p.m. on Oct. 13. Childcare will be provided in the community gym for attendees of the forum by the Cooperation Station. Questions, concerns and comments on any issue related to the 1 percent sales tax will be taken from the public at the forum, which will also be broadcast live on WTIP at 90.7 FM in Grand Marais and 91.7 FM on the Gunflint Trail

Cook County Conversations
WTIP North Shore Community Radio, Boreal Access and the Cook County News Herald, in partnership with e-democracy.org and the Blandin Foundation have launched Cook County Conversations, an on-line forum for sharing insights and perspective on issues that affect our community. This new forum is a safe, civil and informative platform for residents and visitors of Cook County to discuss issues that affect them.

http://boreal.org/drupal/onepercent

Vote YES!
for the One Percent Local Sales Tax

PUC Power Restored

This just in from City Hall
Power has been restored to all areas served by the Grand Marais Public Utilities. If you do not have power, please contact the office at 387-1848. We thank all customers for their patience and understanding.

And a Note of Thanks
I'd like to echo the gratitude many PUC customers have expressed to the PUC Electrical Department employees that have worked so hard under difficult circumstances to restore electricity to all customers. Thank you for a job well done.

It's also important to note the teamwork between all City Departments to restore services and normalcy to Grand Marais. Phone calls were answered and information was provided, priorities were established, streets were cleared of fallen trees, street lamps, and dangerous debris. Clean water was made available to anybody who needed it. These are just some of the additional tasks accomplished during the storm event and aftermath.

Last, but not least, thanks to everybody who managed to make it work without power these past few days. Your patience and resourcefulness in these past few days was great.

City Council Meeting & Other Notes

Sue Hakes, Kay Costello, Tim Kennedy, Bill Lenz and Jan Sivertson were all present for today's City Council Meeting. Also present were Mike Roth, Kim Dunsmoor, Attorney Chris Hood, Dave Tersteeg, Amber Rude.

Open Forum
No members of the public opted to speak at the Open Forum.

Violence Prevention Center Request
October is Domestic Violence Awareness Month. Jodi Yuhasey of the Violence Prevention Center requested permission to put up a 6-7 foot tree in the grassy triangle space at the intersection of Highway 61 and Wisconsin Avenue (near Java Moose). The tree will be decorated with small purple lights and will be lit from dusk to dawn. The purpose of the tree is to raise awareness about the problem of domestic violence and to let everyone who is a survivor of violence know that they are not alone.

Council approved the request 5-0.

Park Master Plan
Park Manager Dave Tersteeg presented to Council the Goals & Policies and Master Plan Map that was approved unanimously by the 7-Member Park Board. The Master Plan is the result of a 13-month/$20k effort led by the Park Board and made possible by a 2008 Lake Superior Coastal Program Grant. The Park Board made their recommendation based on significant public input received from October 2008 through July 2009 through a series of Listening Sessions, Public Forums and Park Board Meetings. Key features in the Park Plan include an improved Park Entrance in the extreme NE corner, new/improved trails along the water's edge featuring the natural shoreline and wetland area, new and improved playground area, reserved space for motorized trail under the power line, improved public space in the SW corner (point) including year-round Events Pavilion. Approximately 30 campsites are planned to be moved from the NE corner to allow more open space and accomodate a future new Park/Marina Office. New, replacement campsites are planned for the area currently being used as a softball field. It is anticipated that both the Pool and Softball Diamond will become part of the Community Center/Recreation Area being planned for near the existing Community Center. The plan also calls for the PUC Garages to be re-located outside of the Rec Park. The recommended plan is consistent with and supports the Goals of the City Council as established in early 2009.

Council approved the recommended Master Plan 3-2. Mayor Hakes thanked the Park Board for their hard work in this effort and for delivering a Master Plan that met the goals & objectives established.

EDA Business Park and Bond Repayment
Council discussed the current state of the Economic Development Authority (EDA) as it relates to the EDA's inability to repay the $1.6M G.O. Bond due in January 2010. Council expressed frustration that the EDA has not been pro-active in the development of an overall strategy and marketing plan to sell lots in the Cedar Grove Business Park. Mayor Hakes will draft a letter to the EDA asking for specific action to be taken regarding business development lot sales.

Council & Staff Reports
Tim Kennedy reported on the progress being made by the PUC in restoring electricity to customers after the Monday 9/28 storm event. All City Departments have been involved in this work and are to be commended for team play. A particular note of gratitude was given to the Electrical Department. Kennedy also reported that the Biomass Committee continues to work on their cash flow analysis to determine project viability.
Jan Sivertson gave an update on efforts being made by the One Percent Committee to educate the public about the opportunity before us. Volunteers are needed; contact Jan Sivertson if interested in helping out.

Mark Your Calendars
Wed October 14 at 3:30 PM City Council Worksession
Wed October 14 at 4:30 PM City Council Meeting
Wed October 28 at 4:30 PM City Council Meeting

TUESDAY November 10 at 3:30 PM City Council Worksession
TUESDAY November 10 at 4:30 PM City Council Meeting
Wed November 19 4:00 PM Joint CCST Meeting at the Courthouse
TUESDAY November 24 4:30 PM City Council Meeting

Note the change from Wed to Tuesday for both City Council Meetings in November.

After the Storm

It's all hands on deck at City Hall as all departments continue working to restore power and clean the streets in Grand Marais. We appreciate your patience as we get things back to normal.

If your power is still out, please call City Hall and let them know at 387-1848. City Hall is also available if you need water; just bring your jug.

The Gales of September

Wind from the North
It's reported that the anemometer at the Grand Marais Harbor today measured gusts of 60 mph. Today's weather was spectacularly beautiful, frustrating, and very humbling.

And the wind continues to blow.

North Shore Scenic Drive Cairn Celebration

I had the distinct pleasure of welcoming and thanking the MN Scenic Byways Commission to Grand Marais to celebrate the (2) newly built cairns in Grand Marais. These cairns mark the way along the North Shore Scenic Drive, the entrance to Grand Marais, and the entrance to the Gunflint Trail Scenic Byway.

This project was a joint effort that included MN Department of Transportation, MN Department of Natural Resources, MN Historical Society, Explore MN Tourism, MN Scenic Byways Committee, Grand Portage Tribal Council, Cook County, Grand Marais Area Tourism Association, and the City of Grand Marais. Gee---I sure hope I didn't miss anybody!!

Using cairns as a way to mark the trail is practical, historical and beautiful. May all who find their way along these roadways find safety, joy and happiness in their travels and adventures.

Happy Trails!

Congratulations and Thanks

Cook County North Shore Hospital is 50 Years Old

The lower level of the Sawtooth Mountain Clinic was packed Saturday afternoon with folks celebrating 50 years of having a hospital in Cook County. The celebration included coffee, punch, brownies and cake. More importantly, the celebration included a handful of speakers that shared their personal stories about how the hospital came to be. Many of those women and men who worked hard to make our hospital a reality were present and acknowledged. It was great to hear this history from those who actually made it happen!

Thanks to all who had the vision and perserverence to build our first hospital and pave the way to the excellent health care we enjoy today.

Budget Worksession, City Council Meeting & Setting the Preliminary Tax Levy for 2010

The Mayor and all City Councilors, Mike Roth, Kim Dunsmoor and Chris Hood were present for both the Budget Worksession and City Council Meeting. Assistant Park Manager Amber Clay was also present for the Budget Worksession.

Budget Worksession

Amber Clay presented the revised Recreation Park Budget for 2010 to the City Council. The most significant change in this Budget was a reduction in the projected loss for the Pool. Projected 2010 Pool Expenses are $290,847. The projected Pool Revenues are $61,200 leaving a projected loss of $229,647 before the County's $75,000 contribution. Heating fuel and salaries make up most of the costs for running the Pool. Pool hours have reluctantly been reduced to help meet the budget. Great care was taken by Park Management and the Park Board to reduce hours when the pool is least used.

Council reviewed the 2010 Budget and City of Grand Marais spending history since 2005. Council also re-visited the projected revenues and expenses for each City Department to determine a general levy amount of $601,802.

City Council Meeting & Setting the Preliminary 2010 Tax Levy

Open Forum
Nobody from the public opted to speak at the Open Forum.

Consent Agenda
Two items were added to the agenda: Revolving Store Front Loan Application, Library Rain Garden Project. Meeting Minutes and Payment of Bills were approved.

Revolving Store Front Loan
Council approved a $15,000 Store Front Loan for Rob Svadlanka to make improvements to his Subway Store.

Library Rain Garden
Tristan Beaster of Cook County Soil & Water Conservation District (SWCD) reported that original cost estimates for the Library Rain Garden project went from $7859 to $13,159 after actual bids for the project were received. As a result, the Cook County SWCD requested an increase of $1324.69 in the City's contribution to the Library Rain Garden project. Council approved the increase. Council approved contracting with low bidder Crawford Excavating for the project. The City may contribute with funding or in-kind. This project is part of a US Coastal Grant and supported by the City, County and State.

Liquor License Renewals
Council approved 14 liquor license renewals for 2009-10. All applicants are required to have completed the appropriate paperwork, including proof of insurance, and paid the necessary fee. All renewals are contingent on a successful background check by the Sheriff.

2010 Budget Considerations
Council approved Resolution 2009-10 approving the preliminary 2009 tax levy, collectible in 2010 for a total of $802,657 including a general levy of $601,802. This preliminary levy will be used by the County Auditor to prepare parcel specific tax notifications. The preliminary levy may not be exceeded without specific emergency reasons. Council will continue to review the budget for ways to reduce the levy.

In spite of a significant reduction in Local Government Aid for 2010, the Council has set the preliminary levy at an increase of 3% or approximately $24,000. In anticipation of the LGA cuts, Council began work to manage the budget early in 2009. Huge credit goes to the City Department Heads and City Staff for working hard to reduce spending and/or increase revenues without reducing City services.

One Percent Local Option Sales Tax
Jan Sivertson, Chair of the 1% Sales Tax Committee, updated Council on community efforts being made to pass the November 3 Referendum. Earlier in 2009, Council identified passing the 1% Sales Tax as a priority as a way to fund a Community Center/Pool/Recreation Area.

(Note: I encourage every Cook County voter to educate themselves about the One Percent Local Option Sales Tax and the opportunity it presents for the residents of Cook County.)

Council & Staff Reports
Kay Costello reported that the Library has begun the process of strategic planning with other members of the Arrowhead Regional Library Association.
Jan Sivertson reported on the serious EDA budget concerns, Business Park re-zoning considerations and Superior National Golf Course revenues. She also shared the good news that 10 Cook County homes will be undergoing rehabilitation projects under the Small Cities Grant for income qualified home owners. Most of these homes are located within the City of Grand Marais.
Tim Kennedy reported on the Biomass Project noting that the committee continues to work on a Business Plan to determine the economic viability of the proposed project.
Kim Dunsmoor reported a tolerable increase of 5% in health insurance costs while other municipalities are suffering with increases between 11-27%.
Sue Hakes reported that she had the opportunity to welcome and visit with Bonnie Dahl--author of Superior Way--while she stayed in the Grand Marais Harbor September 1-3. Ms. Dahl reported to the Great Lakes Cruising Club the details of the new docks, recent dredging and plans being considered to enlarge the marina.

Mark Your Calendars
Wed September 30 at 4:30 PM City Council Meeting
Tues October 13 Time TBD Community Forum on 1% Sales Tax (Sponsored by WTIP, Cook County News Herald and Community Ed)
Wed October 14 at 3:30 PM Council Worksession
Wed October 14 at 4:30 PM City Council Meeting
Wed October 28 at 4:30 PM City Council Meeting
Tues November 3---Referendum Mail-In Ballots due at Cook County Courthouse
Wed December 9 at 6:00 PM Budget & Levy Hearing (formerly known as Truth in Taxation Hearing)

Gunflint Hills & Lions Club 3-Person Scramble Golf Tournament

Gunflint Hills Golf Course and the Lions Club are sponsoring a 3-Person Scramble on Sunday September 13. The Entry Fee is just $35.00 ($25.00 for Members) and includes 18 holes of golf, a hot dog lunch, prizes and a shot at the $10,000 Hole-In-One. Golfers must be entered by 5 PM on Friday September 11. Call the Gunflint Hills Golf Course at 218 387 9988 for more information about what promises to be a very fun event. For general information on the Golf Course go to GrandMaraisGolfCourse.com

Good luck to all Tournament Golfers!

2010 City Budget, Temporary Bond Refinancing (EDA) and District Energy System Bonding Options

2010 City Budget Department Budget Meetings

Mayor Hakes, Councilors Kennedy and Sivertson, Mike Roth and Kim Dunsmoor met all of Friday morning on August 28 with City Department Heads to discuss 2010 Budget Requests.

• Lenny Bloomquist presented the Buildings, Streets & Roads proposed budget. The need for capital planning to eventually replace the Street Sweeper and Mini Dump Truck was discussed.


• Benny Silence presented the proposed budget for the Fire and Medical Services Departments. The need for capital planning to replace the Tanker was discussed.


• Dave Tersteeg presented the proposed budget for the Rec Park including the Recreation General Fund, Swimming Pool and Boat Harbor. A second meeting with Tersteeg to discuss both Expenditures and Revenues will be scheduled. The increasing cost to operate the Swimming Pool continues to be of serious concern.

The Council will set the preliminary levy for the City on September 9.

City Council and County Board Meet with Ehlers & Associates

The City Council, County Board, City Staff, EDA Director Matt Geretschlaeger and EDA Board Chair Mike Litfin met the afternoon of August 28 to discuss refinancing what has come to be known as the EDA Bond and also discuss options for financing a Biomass Facility.

Refinancing General Obligation Temporary Improvement Bonds

Just about 3 years ago (January 2007) the City of Grand Marais issued $1,630,000 General Obligation (G.O.) Temporary Improvements Bonds to provide financing for the Sewer, Water & Street infrastructure improvements in the EDA Business Park. The plan at that time was for the EDA to sell lots in the Business Park and repay the City $60,000 for each lot sold until the debt was repaid. Lot sales have not occurred as planned and the EDA is unable to repay the City.

This 3-year G.O. Temporary Improvement Bond is now due in January 2010 and the City is responsible for this payment. Ehlers & Associates has provided the City with options for refinancing this Temporary Bond including a 2nd G.O. Temporary Improvement Bond or a 15 or 20-year G.O. Improvement Bond. Although further information needs to be gathered before any final decision is made, the City is leaning toward the 20-year G.O. Improvement Bond which means an average annual debt service cost to the City of $125,000.

The City has again requested that the EDA establish a comprehensive plan for the Business Park focusing on lots sales. They have also asked the EDA to explore other options to repay the debt. In the meantime, the City is on the hook for repayment.

District Energy System Bonding Options

The City also requested that Ehlers & Associates provide information on bonding authority for a District Energy System, aka Biomass Facility. (See Mayor Minutes July 8 entry for a brief history of this project. )

Ehlers & Associates first noted that State Law gives the City primary authority for a District Energy System, but that the County may also operate a District Energy system within the City. They also clarified that financing options for the Biomass Facility assumed that no 1% Local Options Sales Tax funding would be available for this project.

Bonding options for a Biomass Facility include, but are not limited to:

1. Utility Revenue Bonds--Ehlers & Associates have not sold Utility Revenue Bonds for a Biomass Facility, nor are they aware of any that have been sold for this purpose. However, they believe that with a strong enough business plan it is possible. They also noted that a more favorable interest rate could be achieved by backing the bond with the local electric utility revenues. A $6,000,000 bond at 6% over 20 years would result in an annual principal and interest payment of ~$523,100.
2. General Obligation Improvement Bond--Ehlers & Associates did not recommend this type of bond, but noted that it could be used in combination with other types of funding.

A brief discussion of the Biomass Facility project ensued. Mayor Hakes was clear that a detailed and credible Business Plan--including a financial & cash flow analysis, debt repayment, risk analysis and technical analysis--must be done before she will support the creation of this new utility for the City.

Budget Worksession, City Council Meeting & Special Assessment Public Hearing

It was a busy afternoon at City Hall with a Budget Worksession, City Council Meeting and Special Assessment Public Hearing. Present for these meetings were Mayor Sue Hakes, Councilors Kay Costello, Tim Kennedy and Jan Sivertson. Councilor Bill Lenz was absent. Also present were Mike Roth, Kim Dunsmoor. Attorney Brandon Fitzsimmons of Flaherty & Hood participated in both the City Council Meeting and Special Assessment Public Hearing.

Budget Worksession

Council met to continue its work on the 2010 Budget by reviewing the City Hall General Fund Expenditures, Cable TV Fund and the Debt Service Fund. City department heads continue to prepare their 2010 budget requests and will meet with the Council Friday August 28 at 9 AM. The Preliminary Levy for the City will be set on September 9.

City Council Meeting

Open Forum
Nobody from the public spoke at the Open Forum.

Payments Approved
Council reviewed the Grand Marais Fire Relief Association's Lump Sum Pension Plan Report for Year 2009. Relief Association investments have gone down approximately 20% requiring the City of Grand Marais to make a contribution of $8529 in 2010.

Redstone Construction Pay Estimate #6 and (2) Minor Extra Work Orders were approved by the Council for the 2008 City of Grand Marais Street and Utility Project.

The Safety Management Program contract with Minnesota Municipal Utilities Association and the annual payment terms of $12,400 were approved.

One-Percent Local Option Sales Tax
Council discussed the current status of the 1% Local Option Sales Tax. Jan Sivertson reported that she has assembled a preliminary team to begin the work of educating the public about the Sales Tax. The team will include an advocate of each of the (7) proposed projects: Danna MacKenzie, Buck Benson, Diane Booth, Mark Sandbo, D.C. Olsen, Linda Chappell. The voter referendum is scheduled for November 3, 2009.

Council & Staff Reports
Councilors Jan Sivertson and Tim Kennedy reported on the EDA regarding the Cedar Grove Business Park. Currently the EDA is struggling to determine asking prices for the individual lots, recognizing that lots are different sizes with different topography and visibility and should be priced accordingly. The pressure is on to sell lots to repay the $1.63M bond due in January 2010. The EDA and the City are meeting with their bond counsel Friday to discuss options.

Mike Roth gave an update on the Rec Park Master Plan. The graphic designer is incorporating the wetland delineation into the Park Map. The Master Plan recommended by the Park Board will be delivered to the City Council in September. Mike Roth also acknowledged the new city entrance signs provided by the Scenic Byways organization.

Special Assessment Public Hearing at 5:00 PM

The Council held a Public Hearing for the Special Assessments for the improvements done on 1st, 2nd, 3rd, and 6th Avenues, as well as 4th Avenue between the Gunflint Trail and 11th Street. Approximately (10) residents expressed concerns, asked clarifying questions and offered constructive or positive feedback. The assessments for the 1-2-3-6 Avenue projects were adjusted downward due the subtraction of the cost for sidewalks on 1st Avenue. City Staff will be available to answer specific questions about individual property owner payments and possible deferment options for those who qualify. Council voted 4-0 to pass a resolution to adopt the proposed/adjusted assessment.

Mark Your Calendars
Thur August 27 4:00 PM Joint City/County/School/Tribe Meeting At City Hall
Fri August 28 9:30 AM City Budget Worksession
Fri August 28 1:00 PM Ehlers Bond Counsel Meeting (EDA and City)
Wed September 9 3:30 PM Worksession--Preliminary Levy
Wed Septmeber 9 4:30 PM City Council Meeting
Wed September 30 4:30 PM City Council Meeting

1% Local Option Sales Tax Update

Just this morning, the County Board took the recommendation of the 1% Local Option Sales Tax Steering Committee to include (7) community projects in the proposed 1% Sales Tax:

• Community Center Outdoor Recreation Area in Grand Marais
• Community Center (with Aquatic Center) in Grand Marais
• Birch Grove Recreation Complex
• County-wide Broad Band
• Public Library Addition
• District Energy (Biomass) Facility in Grand Marais
• Improvements to Superior National Golf Course

You've likely heard a lot about the 1% Local Option Sales Tax opportunity for Cook County. You may be unclear about what it is, what's actually being proposed in each of the (7) projects and how it will affect you. That's understandable, there is a massive amount of information to absorb and much of it is complex. But, it's important to understand this proposed tax in order to make an informed decision when you vote in the November 2009 Referendum.

Efforts are currently underway to further educate the public about the (7) projects, as well as the Sales Tax itself. Watch for information in the coming weeks. Take the necessary time to understand the benefits and the issues surrounding the proposed Sales Tax; it's important.

Good News for the Pool

Mayor Hakes, supported by Councilors Kennedy and Sivertson, Mike Roth, Kim Dunsmoor and Dave Tersteeg, came before the County Board this morning to ask the County Commissioners to re-affirm their March 2009 committment to partner with the City in financing the operation and maintenance of the Grand Marais Pool. (See Mayor Minutes March 4, 2009).

After a brief discussion, the County Board agreed to share 1/3 of the Pool's Operating Deficit for the Year 2009. They also agreed to share 1/3 of the Year 2010 Pool Operating Deficit up to $75,000. Both the City Council and the County Board recognize the Pool as an important community asset.

Budget Worksession and City Council Meeting

Mayor Hakes and City Councilors Tim Kennedy, Bill Lenz, and Jan Sivertson were in attendance at today's City Budget and City Council meetings. Councilor Kay Costello was absent. Also in attendance were Mike Roth and Kim Dunsmoor. Together they welcomed newly hired City Attorney Christopher Hood of Flaherty & Hood who participated in the regular City Council Meeting via telecommunication.

Budget Worksession

City Department heads are currently preparing their 2010 budget requests; departments supported by the General Levy will will appear before the Council to present their budgets at the end of August. The preliminary levy will be set in early September.

Significant considerations to the budget include wages, Local Government Aid cuts, the potential impact of State of Minnesota budget deficits (~$7 Billion), capital planning, and funding for the advancement of 2009/2010 priorities including a new maintenance facility, marina/safe harbor and Rec Park Master Planning.

Council also spent a significant time discussing the Pool finances; the Pool lost approximately $219,000 in 2008 with a similar loss anticipated annually. This loss is supported by the City with Rec Park profits and levy dollars. Last April, County Board representatives Bob Fenwick and Bruce Martinson expressed willingness to cost-share the Pool losses with the City and agreed to ask the County Board to increase their participation in the pool funding. The City has submitted a letter requesting additional funding as part of the County's 2010 budget process.

City Council Meeting

Open Forum
Nobody from the public opted to address the Council at today's meeting.

Planning Commission Report
The Cook County Tennis Association was granted a variance from the side yard setback to construct a wall for a tennis practice court near the existing tennis courts. The Planning Commission supported this request 4-0. The City Council approved this variance 4-0.

David Mills and Beth Ferry were granted a variance from the front yard setback to construct a deck and (3) dormers on their building in the R-1 district. The Planning Commission supported this request 4-0. The City Council approved this variance 4-0.

Tim Kennedy informed the Council that the Planning Commission will be reviewing Roof Signs and making a recommendation to the Council.

IRR Community Business Partnership Grant
Council voted to accept the Community Business Partnership grant from Iron Resources Board for $25,000. Combined with a $12,500 (2 for 1) match from the storefront loan program, there is a total of $37,500 to create a grant/loan program for business rehabilitation projects.

Lake Superior Coastal Program Grant for North House Folk School
Contracts and paperwork were received by the City for a previously awarded project from the MN DNR's Lake Superior Coastal Program. This $90K award will be used at North House Folk School to make improvements to the outdoor common space including planting trees & shrubs and replacing old asphalt with pervious surfaces. The work will also include relocation of parking, managing storm water runoff and improving the driveway entrance. The project is being matched with $151K of North House funds for a total of $241,300 to do this work.

Council & Staff Reports

Tim Kennedy updated the Council on several issues.

1% Sales Tax--The County Board has scheduled a Public Meeting on Monday August 24 at 7 PM to give the Public a very brief overview of the projects currently under consideration for funding through the 1% Sales Tax. The City Council unanimously supports the inclusion of a Community Center--including a swimming pool--on the referendum ballot. The Council would like to see the cost of the Community Center reduced to approximately $6M, assuming development of a sound business plan.

Biomass District Heating Project --The Biomass Project Working Group meets weekly and is making its way through the many issues surrounding this project.

A long-term affordable and reliable supply of biomass is critical to success. Patty Johnson is scheduling a meeting with potential suppliers of biomass to begin addressing this need. Seeking a commitment from the Superior National Forest (USDA), Fish and Wildlife (USDI), and the MN DNR that biomass will be available for life of the facility was also discussed. The Forest Service is also conducting a technical review of the technical aspects of the proposed project. Buck Benson is working to identify major commercial end users for the heat produced from the project; Mike Roth will talk with SMMPA. Ehlers & Associates--the City's Bond Counsel--is scheduled to meet with the City Council on August 28 at 1:00 PM to discuss the feasibility of selling bonds to support the proposed biomass facility. Ways to raise public awareness and understanding about the project were also discussed.

County-wide Broad Band Service--The County is pursuing federal stimulus funds, as well as 1% funding for County-wide broad band services. The total project cost is estimated to be $51M with $32M funded through a federal grant, $9M requested to be funded with 1% sales tax monies, and $10M funded through bonding.

Sue Hakes reported that she followed up with DNR personnel (Stan Linnell, Les Ollila, Larry Killien, Cheryl Erickson) by thanking them for their participation in the July Meeting in Grand Marais. Killien updated Hakes on the progress being made on the Joint Powers Agreement to be drafted by the DNR; other priorities have taken precedence, but the draft document is anticipated to be completed soon. Hakes will also explore the status of the Water Resources Development Act as a possible funding source with Jackie Morris of Congressman Oberstar's office.

Mark Your Calendars
Mon Aug 24 7:00 PM 1% Sales Tax Public Meeting at Courthouse
Wed Aug 26 4:30 PM City Council Meeting
Fri Aug 28 Morning Time TBD Budget Meetings w/Department Heads
Fri August 28 1:00 PM Ehlers & Associates Bond Counsel Meeting
Wed Sept 9 3:30 PM Worksession Topic TBD
Wed Sept 9 4:30 PM City Council Meeting
Wed Sept 30 4:40 PM City Council Meeting

No Council Report This Week

On July 29, the City Council held a Worksession on Capital Planning as well as our regularly scheduled Council Meeting. I was unable to attend due to the death of my beloved brother-in-law and friend, Mike Gorski.

Thanks to everybody on the Council and at City Hall who filled in for me so that I could be with family in Minneapolis.

Pedestrian Safety Improvements in Grand Marais

Slowly but surely the City is improving Pedestrian Safety and slowing traffic along Highway 61 in Grand Marais. The Council has been working with MnDOT Traffic Engineer Rob Ege and the Street Department and have accomplished the following:

1. Pedestrian crosswalks have been repainted.
2. An additional crosswalk was added near 3rd Avenue and the Dairy Queen.
3. Additional "STOP FOR PEDESTRIANS" signs have been purchased and placed at the new crosswalk and at the 5th Avenue crosswalk.
4. Two "EVENT CONGESTION AHEAD" signs have been ordered and will arrive in August. In the meantime, two signs of this type have been borrowed from MnDOT for the Dragon Boat Festival and Fisherman's Picnic.
5. The City has applied for a permit to install an electronic "YOUR SPEED IS" sign at the west end of town on Highway 61.

The City intends to continue working with MnDOT and Sheriff Falk to resolve pedestrian and traffic safety issues in Grand Marais.

Each of us can help improve safety issues in our town by remembering to "Watch out for the other guy!"

City Hosts Department of Natural Resources

City of Grand Marais and DNR Safe Harbor and Marina Meeting

The City of Grand Marais hosted the DNR last week to do the following:

A) Re-establish trust between the City of Grand Marais and the DNR
B) Discuss City of Grand Marais, DNR, and Army Corp of Engineers requirements for building a Safe Harbor and Marina in the Grand Marais Harbor.
C) Identify next steps in the process

DNR Attendees: Stan Linnell, Les Ollila, Larry Killien, Cheryl Erickson
City Attendees: Sue Hakes, Mike Roth, Dave Tersteeg, Kim Dunsmoor

Key topics discussed included:

1) Meeting City Resolution No. 2007-5 parameters
2) Satisfying the Army Corp of Engineers requirements including a Cost Benefit Ratio Analysis
3) DNR requirements for Safe Harbor and Land Side Uses & Easements

Points of Particular Interest:
a. Riparian Rights---Public funding may not be used to enhanced private property. In other words, a new or improved break wall cannot benefit private land owners.
b. Basin Size---Our City Resolution identifies the new basin size to be of about 6 acres
c. Land Ownership---DNR agrees that the City may retain land ownership and provide lease or easement. (The City has a current example of a successful lease arrangement with North House Folk School.)
d. Marina Size--may be built incrementally with limited number of slips.

The DNR agreed to discuss the results of this meeting with Commissioner Mark Holsten and Sue Hakes will report to the City Council. The DNR offered to draft an agreement outlining how the DNR and City of Grand Marais might work together. Safe Harbor and Marina are on the City's Top Priority List as established in early 2009.

75 Years of the Grand Marais Garden Club

Join the Grand Marais Garden Club in celebrating 75 summers of flowers at the Community Center this Friday--July 17--from Noon to 5:00 pm. The Garden Club has been an amazing community asset since 1934, most significantly by promoting the beautification of the City of Grand Marais through gardening. The Garden Club continues to work closely with the City by creating and maintaining gardens in areas such as the Triangle, downtown flower boxes, Johnson Heritage Post, Bear Tree Park, Care Center, Memorial Rose Garden, and Harbor Park. Your participation is welcome in Friday's celebration. You may bring your own flower arrangement; drop off is before 11 AM. For details, contact Carol Forstad by sending email to retired@boreal.org

Grand Marais Volunteer Fire Department Training

The Grand Marais Volunteer Fire Department (GMVFD) conducted an all-day training exercise on Saturday July 11, 2009. About a dozen firefighters in the GMVFD and (4) trained instructors participated in a planned and controlled burn of a Grand Marais home. The exercise provided an excellent opportunity for firefighters to create a reasonably safe environment to observe how fire behaves in an actual burning house. It also gave them additional experience in extinguishing the home once fully engulfed in flames. The exercise was well-planned and safely executed. The Firefighters were supported by the local Emergency Management Team.

Be sure to thank the individuals on the local fire departments and emergency response teams next time you see them around. They work hard, take risks, and give up a lot of personal time to keep our community safe.

Biomass Proposal Worksession and City Council Meeting

All City Council Members were present at both the City Council Worksession on the Biomass District Heating Grant Opportunity and the regularly scheduled City Council Meeting.

Worksesssion on Biomass District Heating Grant Opportunity

Chuck Hartley, Director of Energy Management Services for LHB Corporation and Buck Benson of Cook County Local Energy Project (CCLEP) gave an overview of their proposed project entitled "Boundary Waters Renewable District Heat and Combined Heat & Power" to be submitted to the Department of Energy for funding.

To summarize, Grand Marais will join with the City of Ely to submit a proposal for a ~$20 million District Heating project. Ely and Grand Marais would each build a Centralized District Heating Plant; in Grand Marais the plant would generate electricity and provide heat to the School, Hospital, County Courthouse, the proposed Cook County Community Center and 100-300 homes. Benefits of such a plant are believed to be job creation, energy savings, reduction in fuel oil and propane, fossil fuel displacement, energy independence and reduction of CO2 emissions.

There is a 50/50 cost-share so if the proposal is successful, Grand Marais will receive $5.646 million and provide cost-share of $5.646 million, most likely by selling bonds. The proposal is due Tuesday 7/14 with awards to be announced in October 2009.

Council discussed the many unanswered questions in this proposal, and voted 4-1 to take a "leap of faith" and submit the proposal, using the 3 months between now and October to determine project feasibility both technically and financially.

Mayor Hakes cast the dissenting vote stating that while she supports the overall objectives and exploration of Centralized District Heating with Biomass, she feels it is irresponsible to move forward with so many unanswered questions and critical unknowns about the technical and financial viability of the project and whether it is a good use of public funds.

City Council Meeting

Open Forum
Bradley Peterson of the Coalition of Greater MN Cities gave an overview of the services provided by the Coalition. The Grand Marais membership in the Coalition expires at the end of 2009.

Permits Granted
Council granted several permits including The American Legion's Fisherman's Picnic Bingo Permit and Temporary ON-Sale Liquor Permit and Beer Tent, the NSFCU Street Permit for Customer Appreciation Days, the Dragon Boat Festival Permit, the Fisherman's Picnic Permit, and the Sawtooth Challenge Bike Race Street Permit.

Planning Commission Report
Council unanimously supported the the Planning Commission's approval for a Conditional Use Permit to allow (2) roof signs at the Cook County Whole Foods Coop.

Council voted unanimously to officially deny a request to rezone a lot in the EDA Business Park to R-1 to accomodate an affordable housing development. Funding used for the construction of the Business Park would not allow this rezone. Both the Planning Commission and Council expressed their disapointment in the EDA for moving this proposal forward in the first place.

Grand Marais Area Tourism Association (GMATA)
GMATA Director Diane Brostrom gave an overview of the 2009 GMATA Budget and County Lodging Tax. The Budget is on plan. The Lodging Tax Report through May 2009 shows a 16.5% reduction in tax for the Lutsen-Tofte Area, a 5.0% reduction for Grand Marais, and 11.4% reduction for the Gunflint Trail. There is optimistic that this downturn will change during the last half of 2009.

Noise Ordinance 2009-02 Second Reading
A second reading of Ordinance No. 2009-02 aka the Noise Ordinance was read and approved by Council 4-1. Councilor Bill Lenz cast the dissenting vote stating he wasn't convinced that we needed any change to the existing ordinance. He also expressed concern about no noise limits during the exception periods. Council appreciated the value of Public input in this matter and agreed to hold a Public Hearing in the Fall to solicit public input about the effectiveness of the amended ordinance.

County Prosecution Services
Council unanimously approved the Agreement for Prosecution Services provided by County Attorney Tim Scannell. In the agreement, the County agrees to provide the City of Grand Marais prosecution services for petty misdemeanors, misdemeanor, and gross misdemeanor violation of state law or city ordinance that occur within the city limits of Grand Marais. A quarterly fee of $3125 will be paid to the County. This agreement will now move to the County Board for approval.

Resolution 2009-05 Declaring Costs to be Assessed and Ordering Preparation of Proposed Assessment for 2008 Improvements Project
Council voted unanimously to pass this resolution authorizing Mike Roth to prepare the Assessment Role for the 2008 Improvements Project.

MN DOT Pedestrian Safey Project
Council and Mike Roth continue to work with Rob Ege of MN DOT to slow traffic along Highway 61 through Grand Marais. Of most significance, a new crosswalk has been added between the Dairy Queen and the Pumphouse. "EVENT CONGESTION AHEAD" signs have been ordered. And, MN DOT has provided the specifications for a "YOUR SPEED IS" sign to be placed along with a REDUCED SPEED AHEAD sign at approximately MM 108.593. MN DOT will also monitor traffic before/after these signs are placed to determine effectiveness.

Council Reports
Tim Kennedy reported on the Broadband Project noting that the Committee continues to work on Grant Funding for this County-wide project. Arrowhead Electric Coop is the proposed vendor for this service. Broadband is also a candidate for the 1% sales tax opportunity.

Bill Lenz reported that the Park Board has agreed upon a final recommendation for the Park Master Plan. Lenz reported that the Board was in agreement about the Plan to be presented to the Public on July 28 at 7 PM. The recommended Master Plan will be forwarded to the City Council for consideration and approval.

Mike Roth said (2) bids for wetland delineation in the Rec Park are being solicited.

Mayor Hakes updated the Council on her conversations with the DNR regarding the Safe Harbor/Marina project. The DNR suggested a face-to-face meeting with the City to discuss both DNR and City requirements for a Safe Harbor/Marina. The City will use Resolution 2007-05 as passed under Mayor Larsen as its basis for requirements.

Hakes also reported that the Grand Marais Volunteer Fire Department is working on a grant proposal to expand the current Fire Station in Grand Marais. The grant will be submitted to FEMA this week.

Mark Your Calendars
Tues July 28 at 7 PM Park Board Presentation of Master Plan at location TBD
Wed July 29 at 3:30 PM Capital Improvement Worksession
Wed July 29 at 4:30 PM City Council Meeting
Wed Aug 12 at 3:30 PM Budget Worksession
Wed Aug 12 at 4:30 PM City Council Meeting

Worksession, Council Meeting and Noise Ordinance Public Hearing

It was a very busy day at City Hall. There was a full Council present for the City Auditor Report, the regularly scheduled City Council Meeting and the Public Hearing on the Noise Ordinance. Also in attendance at today's meetings were Mike Roth, Kim Dunsmoor, Don Davison and Sheriff Mark Falk.

City Auditor Report Worksession

Gary Giroux of the CPA firm Walker, Giroux & Hahn presented the Independent Auditor's Report for the City of Grand Marais. The findings of this annual audit were presented in a 51 page report entitled "Financial Statements and Supplementary Information for Year Ended December 31, 2008." The report states that the City of Grand Marais' practices for the Year 2008 conform with accepted accounting principles.

City Council Meeting

Law Enforcement
Sheriff Mark Falk and the Council discussed several City Law Enforcement matters including a Hell's Angels rally planned this summer in Carlton, the Noise Ordinance, Highway 61 traffic issues, downtown parking, and summer law enforcement staffing. Sheriff Falk also attended the Public Hearing for the Noise Ordinance.

MN DOT Update
Rob Ege from MN DOT has been out of the office, but will prepare a written summary of the MN DOT proposal to use additional signage and monitoring on the west end of town to slow traffic down as it enters on Highway 61. (Refer to City Council Meetings Minutes from June 10, 2009.) Ege will provide this written summary for the next Council Meeting.

Shawn Perich of the Hovland Fire Department contacted Sue Hakes with an idea for Hovland and Grand Marais to work together in the pursuit of grant funding for an EVENT CONGESTION AHEAD sign that would be shared. Council decided that the need for signage in Grand Marais immediate and moved to authorize Mike Roth to purchase (2) EVENT CONGESTION AHEAD signs for $1000; there was also concern about both Hovland and Grand Marais needing the sign on the same dates. The Council appreciated the offer from HVFD to partner.

Shawn Perich also made Hakes aware of the STOP program established by Keck Melby for the Hovland Volunteer Fire Department to provide traffic control/safety on scenes. Mike Roth will follow up with Shawn to see if the City might benefit from such a program.

City Attorney Request for Proposal
Council approved the Request for Proposals for Attorney Services. This RFP will be available on the City's website, the Cook County News Herald, the League of MN Cities classifieds. It will also be sent to several firms along the North Shore. Current City Attorney Don Davison has resigned his position effective July 15, 2009. Individuals or firms interested in learning more about submitting a proposal may contact Mike Roth at City Hall at 218 387 1848. Proposals are due July 17, 2009.

Street Project Payment
Pay estimate #4 for the Reconstruction and Creechville Improvements project was approved for payment.

Personnel
Lenny Bloomquist will be the new Street Department Supervisor for the City.

Council Reports
Tim Kennedy expressed his concerns about the growing urgency for decisions to be made about the 1% Sales Tax. The effort is being led by the County Board; the City is eager to move forward in an effort to pass the needed referendum.

Bill Lenz stated that the Park Board will have a Master Plan Recommendation for the City Council that will be presented to the Public on July 28 at 3:30 at City Hall.

Sue Hakes reported that Aaron Mielke of the Grand Marais Fire Department talked with Steve DuChien about the costs and needs to upgrade fire hydrants in the City. Mielke reported that to replace a hydrant will cost an estimated $3-4,000; approximately 20 hydrants will need to be upgraded or replaced over time.

Public Hearing for Amendment to Ordinance No. 2009-02

The first reading of An Ordinance Amending Grand Marais Code, Chapter 46, by Creating an Exception fo Noise Nuisances within the City for Live Musical Performances (aka the Noise Ordinance) was held at 5:00 PM at City Hall. Approximately 20 members of the public were in attendance at this hearing.

Members of the Public speaking at this hearing included: Jan Nosker, Andy Brostrom, Mary St. John, Bob St. John, Nancy Nosker, Jeff Gecas, Jane Shinners, Jeff Cerniak, Todd Miller, Michelle G., Joan Farnum, Rhonda Silence, John Gorski. Public feedback on the matter was delivered in a positive manner with great respect shown to persons with differing opinions on this matter. A spirit of cooperation was evident with several attendees expressing a desire to compromise.

Sheriff Mark Falk was asked to discuss the enforcement issues around the Noise Ordinance. Sheriff Falk expressed his concerns about use of a noise meter, stating that controlling noise by established times is easier to enforce.

After a lengthy discussion, the Council moved to amend further the existing Ordinance by changing the distance stated in Section (d) to 100 feet (from 50 feet) and by including the 4th of July in the exceptions. Here is the newly proposed wording for Section (d) Amplified Sound. Changes made today are in bold:

It shall be a violation of this section to play, operate or permit the playing, use or operation of any radio, tape player, disc player, loud speaker or other electronic device used for the amplification of sound, unless otherwise permitted by law, located inside or outside, the sound of which carries to points of habitation or adjacent properties, and is audible above the level of conversational speech at a distance of 100 feet or more from the point of origin of the amplified sound. This section shall not apply to live musical performances:

1) between the hours of 12:00 o'clock noon and 10:00 o'clock p.m. Sundays through Thursdays; and
2) between the hours of 12:00 o'clock noon and 12:00 o'clock midnight on Friday and Saturdays;
3) between the hours of 12:00 o'clock noon and 12:00 o'clock midnight on the 4th of July, the Sunday before Labor Day and the Sunday before Memorial Day.
4) The City Council may permit other exceptions to the foregoing restrictions in connection with the application for a festival or street and sidewalk use permit.

The wording is confusing in the Ordinance. An attempt to simplify follows:
It is okay to play amplified music either inside or outside as long as the sound being made cannot be heard above the level of conversational speech beyond 100 feet from the place the music is originating. It's okay to play or make music above this level during the exception times stated above. In most cases, music played indoors will not pose a problem. This amendment basically makes it possible for music to be played outdoors until 10 pm Sun-Thursday and until 12 midnight on Fri-Saturday, 4th of July, the Sundays before Memorial Day and Labor Day, or by permit during city festivals.

It is important to note that the (2) Grand Marais establishments that play the most amplified music are eager to be considerate to the community and have made strides to reduce the volume level including reconfiguring their stage, moving speakers, installing air conditioning, etc.

The 2nd Reading of this Ordinance will be conducted at the City Council Meeting scheduled for July 8, 2009 at 4:30 in City Hall. The Public is encouraged to attend.

Mark Your Calendars

Tues July 7 at 3:30 Regular Park Board Meeting

Wed July 8 at 3:30 pm Worksession on Capital Improvements
Wed July 8 at 4:30 pm City Council Meeting
Tues July 28 at 7:00 pm Park Board Master Planning Presentation w/Carduus Consulting
Wed July 29 4:30 pm City Council Meeting