Mayor Hakes and Councilors Costello, Kennedy and Sivertson, along with Mike Roth, Kim Dunsmoor and Chris Hood (via telephone) were all present for today's City Council Meeting. Also present was Grand Marais Volunteer Fire Chief Ben Silence. Councilor Bill Lenz was absent.
City Council Meeting
Open Forum
Jack Stone, Owner of Stone Harbor Wilderness Supply Company, asked Council to approve his request for seasonal kayak storage on the City-owned grassy area between the holding pond and stone beach east of his store. The kayaks would be stored on a rack specifically designed for this purpose and would be secured and insured by Stone Harbor Wilderness Supply. Council discussion of this request included zoning, approximate size of storage rack, location, specific use, liability, months of use, and termination of the request. No decision was made, but Council authorized Mike Roth and Chris Hood to draft a proposed lease for Council review at their next Council Meeting.
Consent Agenda
Consent agenda was approved with addition of Library Budget to today's Council Meeting.
Burbach Aquatics
(In 2005, the City of Grand Marais entered into an agreement with Burbach Aquatics for architectural services regarding repair, renovation or replacement of the Grand Marais Pool.) Council passed a motion to direct Mike Roth to contact the Cook County Board to request that the County use Burbach for the architectural services, including design and construction administration, related to the pool portion of the Community Center project, if the Comunity Center is to include a pool. Council also passed a motion authorizing Mike Roth and/or legal counsel to take all actions necessary to communicate with Burbach and/or other appropriate entities regarding the City's actions related to Cook County's proposed Community Center project.
Personnel Items
Council approved hiring James Daniel Ford as a new Paid-on-Call Firefighter. Council also approved hiring (2) part-time lifeguards.
Relief Association State Pension Cost Estimate
Council reviewed the Cost Analysis to estimate the on-going cost of joining the statewide volunteer firefighter retirement plan administered by PERA. Joining the statewide retirement plan was requested by the Grand Marais Volunteer Fire Department. After review of the costs, Council approved a resolution opting to join the voluntary statewide lump-sum volunteer firefighter retirement plan at the $1250 benefit level per year of service.
Library Budget
Council approved a .98% increase to the Library Budget which does not include any wage increases. The City will enter into contract negotiations in Fall 2010.
Council & Staff Reports
Jan Sivertson reported that the EDA received its Cost Benefit Analysis last week. Written reports are not yet available but have been requested.
Mark Your Calendars
Wednesday, August 11 at 3:30 pm, Budget Worksession
Wednesday, August 11 at 4:30 pm, City Council Meeting
Wednesday, August 25 at 4:30 pm, City Council Meeting
Wednesday, July 28, 2010
Sunday, July 25, 2010
Happy 40th Birthday Grand Marais Playhouse!
The Grand Marais Playhouse is celebrating its 40th Season with a Birthday Bash in the backyard of the Arrowhead Center for the Arts.
Free lemonade, birthday cake and dance music by "The Cavern Beat!" Join the fun!
Free lemonade, birthday cake and dance music by "The Cavern Beat!" Join the fun!
Sunday, July 18, 2010
Fishing, Neighbors Working Together, Good Food
Check out this wonderful Lake Superior Fish video featuring Harley Tofte, Tyler Smith, Dockside Market, Barb LaVigne & George Wilkes, the Angry Trout and herring!
Wednesday, July 14, 2010
Worksession and City Council Meeting
Mayor Hakes and Councilors Costello, Kennedy, Lenz and Sivertson were all present for today's Worksession and City Council Meeting. Also present were City Administrator Mike Roth, Finance Director Kim Dunsmoor and Attorney Chris Hood (via telephone). Tom Nelson was present for a portion of the Council Meeting.
Budget Worksession
Linda Chapelle and Carole Miller presented the Library's proposed Operating Budget for 2011 to the City Council for review. The proposed budget shows an approximate 1% budget increase and does not allow for any wage or salary increases. Salary increases for the City are unknown; contract negotiations will occur in the Fall of 2010. Council asked for more information regarding the Arrowhead Library System services and will review again at the July 28 meeting. (The County and City support the library 50/50.)
City Administrator Mike Roth, supported by Finance Director Kim Dunsmoor, presented the Council with a high-level overview of the 2011 City Budget Considerations. Council discussed a) Salary and wages for City employees are to be determined. The AFSCME contract expires at the end of 2010; negotiations will occur this Fall. b) Local Government Aid (LGA) has decreased from $184,209 in 2008 to $96,422 in 2010. With the State facing a $5-9 billion deficit we should anticipate further cuts to State Aid. c) No major infrastructure or capital expenditures are planned. d) Council Priority projects currently underway will require funding to move forward.
Department Heads will soon be preparing their 2011 budget request and appear before the Council to present.
City Council Meeting
Open Forum
No member of the public opted to speak at the Open Forum.
Consent Agenda
Council approved the consent agenda with a minor change to the July 6 Worksession Minutes.
Grand Marais Fire Relief Association Request
The Grand Marais Volunteer Fire Department (GMVFD) is considering participating in the Statewide Volunteer Firefighter Retirement Plan. Council unanimously approved GMVFD request to contact PERA for a cost analysis of the plan. The request was made by Tom Nelson on behalf of the GMVFD.
Propane Bids
Competitive bids were solicited for supplying the City of Grand Marais with propane. The award was made to Como Oil & Propane based on low bid.
Lion's Club Fisherman's Picnic Permit
Council approved Lion's Club request for Use of Street and Sidewalks Permit for 2010 Fisherman's Picnic. The request was made by Lion's Club members Andrew Smith and Al Taenzer.
Planning Commission Requests/Report
Council unanimously approved Robert and Delores Spry's request for a variance from the side yard setback to construct an addition to their existing building. This addition will connect to their existing second story residence.
Council unanimously approved Jane Ranum's request for a variance from the front yard setback to build a covered porch on the north side of her existing home.
Council approved 3-2 Ron Lund's request for a conditional use permit to operate an art classroom and studio as a home based business at his property located in the R-1 district. Hakes and Costello voted against the request.
Mayor Hakes suggested that Council request the Planning Commission visit the current Grand Marais Zoning Ordinance regarding Home Occupations and consider adding some guidelines for more consistency.
Economic Development Authority Discussion
Hakes and Roth reported on the July 13 EDA Board meeting. Hakes and Roth attended that meeting to communicate the City's position to the EDA Board regarding the $1.6 million bond debt on the Cedar Grove Business Park. Representing the City of Grand Marais, Hakes expressed grave concern over the Cedar Grove Business Park debt and requested that the EDA Board include the bond payment in their budget and consider it in their levy request. Hakes requested the EDA resolve their existing debt obligation before creating any new obligations or debt. The EDA Board made a motion and voted to "not incur any more bonded indebtedness until the Cedar Grove Business Park is stabilized". There is some confusion with Hakes and Roth about this motion which will need to be clarified.
Hakes and Roth reported that a private developer is working with the EDA and hoping to build several rental homes on his property in Grand Marais. The developer and EDA are exploring IRRB grant funding to offset infrastructure costs. There will likely be a presentation to the Council on July 28.
Mike Roth reported that EDA Director Matt Geretschlaeger verbally indicated to the EDA Board that he would be resigning from the EDA effective January 1, 2011 if his position was only funded for 1/2 time.
Burn Pile Discussion
Hakes reported that Diane Pearson, Cook County Hospital Administrator, called her with a concern about the smoke from the City's burn pile and its negative affect on patients in the ER and hospital. Pearson said the problem seems to be worst when the pile is smoldering. Council acknowledged that air quality at the hospital and school are sometimes affected by the burn pile. After discussions about the pros and cons of having a City burn pile, Council directed Roth to talk with the DNR, County and Forest Service about possible solutions which most likely means alternative locations. Council also discussed the possibility of a Public Meeting for citizens to express their concerns about the Burn Pile both pro and con.
New Hire at the Library
Council unanimously approved the hiring of Patsy Ingebretson in the Library I position replacing Anne Prinsen.
Council & Staff Reports
Bill Lenz reported that Golf and Park revenues are up year-to-date; bookings are also up. Lenz reported that the Charter School painted a lovely mural at the Pool on one of the doors. Lenz was pleased to announce the Pool passed their surprise pool inspection "with flying colors". And, Lenz shared with the Council that friends of Dick Joynes would like to donate a flag pole and flag in memory of their dear friend Dick and will talk with the Park Board about an appropriate location.
Kay Costello reported her attendance at the last Library Board Meeting and that they've been working diligently on their 2011 budget.
Tim Kennedy reported that the PUC is discussing how the City should manage and oversee sewage treatment systems within the City of Grand Marais.
Jan Sivertson announced to the Council that she is getting married in October 2010 and may be absent for 2-4 months beginning January 2011. She is considering resigning her position on the Council.
Sue Hakes reported that the orange flags to be used as a pedestrian aid in the crosswalks have arrived; the street department will be placing them as soon the signage arrives.
Mark Your Calendars
Wed, July 28 at 4:30 pm, City Council Meeting
Wed, August 11 at 4:30 pm, City Council Meeting
Wed, August 25 at 4:30 pm, City Council Meeting
Budget Worksession
Linda Chapelle and Carole Miller presented the Library's proposed Operating Budget for 2011 to the City Council for review. The proposed budget shows an approximate 1% budget increase and does not allow for any wage or salary increases. Salary increases for the City are unknown; contract negotiations will occur in the Fall of 2010. Council asked for more information regarding the Arrowhead Library System services and will review again at the July 28 meeting. (The County and City support the library 50/50.)
City Administrator Mike Roth, supported by Finance Director Kim Dunsmoor, presented the Council with a high-level overview of the 2011 City Budget Considerations. Council discussed a) Salary and wages for City employees are to be determined. The AFSCME contract expires at the end of 2010; negotiations will occur this Fall. b) Local Government Aid (LGA) has decreased from $184,209 in 2008 to $96,422 in 2010. With the State facing a $5-9 billion deficit we should anticipate further cuts to State Aid. c) No major infrastructure or capital expenditures are planned. d) Council Priority projects currently underway will require funding to move forward.
Department Heads will soon be preparing their 2011 budget request and appear before the Council to present.
City Council Meeting
Open Forum
No member of the public opted to speak at the Open Forum.
Consent Agenda
Council approved the consent agenda with a minor change to the July 6 Worksession Minutes.
Grand Marais Fire Relief Association Request
The Grand Marais Volunteer Fire Department (GMVFD) is considering participating in the Statewide Volunteer Firefighter Retirement Plan. Council unanimously approved GMVFD request to contact PERA for a cost analysis of the plan. The request was made by Tom Nelson on behalf of the GMVFD.
Propane Bids
Competitive bids were solicited for supplying the City of Grand Marais with propane. The award was made to Como Oil & Propane based on low bid.
Lion's Club Fisherman's Picnic Permit
Council approved Lion's Club request for Use of Street and Sidewalks Permit for 2010 Fisherman's Picnic. The request was made by Lion's Club members Andrew Smith and Al Taenzer.
Planning Commission Requests/Report
Council unanimously approved Robert and Delores Spry's request for a variance from the side yard setback to construct an addition to their existing building. This addition will connect to their existing second story residence.
Council unanimously approved Jane Ranum's request for a variance from the front yard setback to build a covered porch on the north side of her existing home.
Council approved 3-2 Ron Lund's request for a conditional use permit to operate an art classroom and studio as a home based business at his property located in the R-1 district. Hakes and Costello voted against the request.
Mayor Hakes suggested that Council request the Planning Commission visit the current Grand Marais Zoning Ordinance regarding Home Occupations and consider adding some guidelines for more consistency.
Economic Development Authority Discussion
Hakes and Roth reported on the July 13 EDA Board meeting. Hakes and Roth attended that meeting to communicate the City's position to the EDA Board regarding the $1.6 million bond debt on the Cedar Grove Business Park. Representing the City of Grand Marais, Hakes expressed grave concern over the Cedar Grove Business Park debt and requested that the EDA Board include the bond payment in their budget and consider it in their levy request. Hakes requested the EDA resolve their existing debt obligation before creating any new obligations or debt. The EDA Board made a motion and voted to "not incur any more bonded indebtedness until the Cedar Grove Business Park is stabilized". There is some confusion with Hakes and Roth about this motion which will need to be clarified.
Hakes and Roth reported that a private developer is working with the EDA and hoping to build several rental homes on his property in Grand Marais. The developer and EDA are exploring IRRB grant funding to offset infrastructure costs. There will likely be a presentation to the Council on July 28.
Mike Roth reported that EDA Director Matt Geretschlaeger verbally indicated to the EDA Board that he would be resigning from the EDA effective January 1, 2011 if his position was only funded for 1/2 time.
Burn Pile Discussion
Hakes reported that Diane Pearson, Cook County Hospital Administrator, called her with a concern about the smoke from the City's burn pile and its negative affect on patients in the ER and hospital. Pearson said the problem seems to be worst when the pile is smoldering. Council acknowledged that air quality at the hospital and school are sometimes affected by the burn pile. After discussions about the pros and cons of having a City burn pile, Council directed Roth to talk with the DNR, County and Forest Service about possible solutions which most likely means alternative locations. Council also discussed the possibility of a Public Meeting for citizens to express their concerns about the Burn Pile both pro and con.
New Hire at the Library
Council unanimously approved the hiring of Patsy Ingebretson in the Library I position replacing Anne Prinsen.
Council & Staff Reports
Bill Lenz reported that Golf and Park revenues are up year-to-date; bookings are also up. Lenz reported that the Charter School painted a lovely mural at the Pool on one of the doors. Lenz was pleased to announce the Pool passed their surprise pool inspection "with flying colors". And, Lenz shared with the Council that friends of Dick Joynes would like to donate a flag pole and flag in memory of their dear friend Dick and will talk with the Park Board about an appropriate location.
Kay Costello reported her attendance at the last Library Board Meeting and that they've been working diligently on their 2011 budget.
Tim Kennedy reported that the PUC is discussing how the City should manage and oversee sewage treatment systems within the City of Grand Marais.
Jan Sivertson announced to the Council that she is getting married in October 2010 and may be absent for 2-4 months beginning January 2011. She is considering resigning her position on the Council.
Sue Hakes reported that the orange flags to be used as a pedestrian aid in the crosswalks have arrived; the street department will be placing them as soon the signage arrives.
Mark Your Calendars
Wed, July 28 at 4:30 pm, City Council Meeting
Wed, August 11 at 4:30 pm, City Council Meeting
Wed, August 25 at 4:30 pm, City Council Meeting
Sunday, July 11, 2010
20th Annual Grand Marais Arts Festival 2010
The Grand Marais Art Colony is celebrating its 20th Annual Arts Festival in downtown Grand Marais. I spent a wonderful morning yesterday wandering from booth to booth enjoying the many works displayed in over 60 booths by local and visiting artists.
The temperatures are cool and there is virtually no wind; I think I'll go catch the 2nd day of this event! Hope to see you there!
The temperatures are cool and there is virtually no wind; I think I'll go catch the 2nd day of this event! Hope to see you there!
Wednesday, July 7, 2010
Lieutenant Governor Candidate Visits Grand Marais
John Gunyou, Candidate for Lieutenant Governor of Minnesota, paid a visit to City Hall last week. Gunyou is running with DFL-endorsed gubanatorial candidate Margaret Anderson Kelliher. Gunyou's staffers called last week to request this meeting.During our meeting I had a chance to express concerns about the budget and the uncertainties in Local Government Aid to cities. We also discussed the wide gap between city government and the Governor's office causing difficulties in serving the Public. Gunyou explained that closing that gap was one of the main purposes of his visit. Gunyou is currently serving as the City Manager for Minnetonka, so he understands the issues facing cities.
After our meeting, I had the distinct pleasure of introducing Gunyou and his Campaign Staff to Grand Marais. We took a walk through town stopping at the Beaver House, World's Best Donuts, Sivertson's Gallery, the Trading Post and Stone Harbor Wilderness Supply Company. Gunyou enjoyed a plain donut (his choice) from Staci and Dee, as well as a tour of the newly expanded kitchen at the World's Best Donuts (see photo taken by Rhonda Silence). We also had a few minutes to enjoy Harbor Park and discuss our long-term efforts to work with the DNR and Corp of Engineers to build a Safe Harbor and Marina in Grand Marais.
Upon his departure, Gunyou promised to return to Grand Marais and enjoy a stay at the Rec Park!
Tuesday, July 6, 2010
City Council Work Session on Economic Development Authority (EDA)
The purpose of today's City Council Work Session was to formulate a Council position to give to the EDA to resolve the financial problems at both Superior National and the Cedar Grove Business Park. In attendance at today's work session were Mayor Hakes, Councilors Costello, Kennedy, Lenz and Sivertson, City Administrator Mike Roth and City Finance Director Kim Dunmoor. Also in attendance were the City's representatives on the EDA Board, Hal Greenwood and Mark Sandbo.
(Reminder: The EDA, along with members of the West End Business Community, presented an idea for long term stewardship of the Golf Course which included: 1) The County will payoff the remaining Superior National bonds of $440,000, 2) The County will invest $1.2 million dollars of 1% Sales Tax monies for equipment, irrigation and course improvements, and 3) The County will increase the levy by $140,000 annually to fund future golf course capital needs.)
Mayor Hakes opened the meeting with some general remarks framing the problem from her perspective which are summarized below:
The purpose of today's meeting is to formulate the City Council's position for the EDA regarding the financial struggles at Superior National Golf Course and the Cedar Grove Business Park. At the risk of speaking for others, it seems quite apparent that we all agree that Superior National is a valuable and important asset to the County, is in need of capital improvements and is in need of financing and marketing to restore the course and increase rounds. We also agree that our County economy is driven by Tourism.
But, as the Mayor, I believe it is important to frame the EDA's problem from the City's point of view. The City of Grand Marais faces serious financial challenges both today and in the future. The State of MN predicts a $5-8 billion deficit in 2011. As a result, the City can basically be assured of further reductions in State Aid (LGA and MVHC). Much of the City's financial worries are in large part due to the EDA's Business Park debt of $1.6 million (well over $2 million with interest) and an annual payment of approximately $130,000 over 20 years that is paid entirely by City taxpayers.
I feel strongly that before we consider any increased spending/debt at Superior National, we need to address the $2 million problem we have at the Business Park. We (the Council) represent the people of Grand Marais and it is unfair for them to absorb this enormous debt without County assistance. The EDA is a joint effort between the City and the County. The EDA needs to work as diligently on the Business Park problem as they do on Superior National. I fear that if the County accepts the solution currently recommended by the EDA that our opportunity to get financial support from the County for the Business Park will be lost forever. As Mayor of Grand Marais, I'm not willing to let that happen.
What ensued after these remarks was an impassioned conversation between the Mayor, the Council and the City's representatives on the EDA Board (Sandbo & Greenwood). I will not attempt to speak for the others, only myself. I openly admit that I was very intense in my arguments because I am zealous in my commitment to represent the taxpayers of Grand Marais, as well as the taxpayers of the County, to the best of my ability.
I firmly believe the following:
1. The Cedar Grove Business Park debt is the responsibility of the EDA. If the EDA is unable to pay this debt, it should be the joint responsibility of the City and the County.
2. The EDA should resolve the financial debt at the Business Park before supporting any further spending.
In the end, the Council unanimously passed a motion to ask the EDA to include the Bond Payment for the Business Park in their budget and levy request.
(Reminder: The EDA, along with members of the West End Business Community, presented an idea for long term stewardship of the Golf Course which included: 1) The County will payoff the remaining Superior National bonds of $440,000, 2) The County will invest $1.2 million dollars of 1% Sales Tax monies for equipment, irrigation and course improvements, and 3) The County will increase the levy by $140,000 annually to fund future golf course capital needs.)
Mayor Hakes opened the meeting with some general remarks framing the problem from her perspective which are summarized below:
The purpose of today's meeting is to formulate the City Council's position for the EDA regarding the financial struggles at Superior National Golf Course and the Cedar Grove Business Park. At the risk of speaking for others, it seems quite apparent that we all agree that Superior National is a valuable and important asset to the County, is in need of capital improvements and is in need of financing and marketing to restore the course and increase rounds. We also agree that our County economy is driven by Tourism.
But, as the Mayor, I believe it is important to frame the EDA's problem from the City's point of view. The City of Grand Marais faces serious financial challenges both today and in the future. The State of MN predicts a $5-8 billion deficit in 2011. As a result, the City can basically be assured of further reductions in State Aid (LGA and MVHC). Much of the City's financial worries are in large part due to the EDA's Business Park debt of $1.6 million (well over $2 million with interest) and an annual payment of approximately $130,000 over 20 years that is paid entirely by City taxpayers.
I feel strongly that before we consider any increased spending/debt at Superior National, we need to address the $2 million problem we have at the Business Park. We (the Council) represent the people of Grand Marais and it is unfair for them to absorb this enormous debt without County assistance. The EDA is a joint effort between the City and the County. The EDA needs to work as diligently on the Business Park problem as they do on Superior National. I fear that if the County accepts the solution currently recommended by the EDA that our opportunity to get financial support from the County for the Business Park will be lost forever. As Mayor of Grand Marais, I'm not willing to let that happen.
What ensued after these remarks was an impassioned conversation between the Mayor, the Council and the City's representatives on the EDA Board (Sandbo & Greenwood). I will not attempt to speak for the others, only myself. I openly admit that I was very intense in my arguments because I am zealous in my commitment to represent the taxpayers of Grand Marais, as well as the taxpayers of the County, to the best of my ability.
I firmly believe the following:
1. The Cedar Grove Business Park debt is the responsibility of the EDA. If the EDA is unable to pay this debt, it should be the joint responsibility of the City and the County.
2. The EDA should resolve the financial debt at the Business Park before supporting any further spending.
In the end, the Council unanimously passed a motion to ask the EDA to include the Bond Payment for the Business Park in their budget and levy request.
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