Local officials are scrambling after bids to remodel the existing ambulance garage came in far over budget.
The low bid for the project was $983,000, but only $650,000 in grant funds are available to spend.
Council member Al Forsman, Ely’s representative on the area ambulance joint powers board, briefed the rest of the Ely council about the dilemma during Tuesday’s regular meeting.
At the moment, the board has decided to look for additional money to complete the project.
“The consensus was to go out and apply for an IRRRB grant to see if we can make it work,” Forsman explained. “Otherwise we’ll have to regroup.”
Plans call for renovating the garage - which houses the Ely Area Ambulance Service and is located in the former Kondos Outdoors building on Central Avenue.
In another ambulance related matter, Forsman said that Ely-Bloomenson Community Hospital has pulled out of a consortium to help cover operating costs for the garage.
That may mean additional costs for the city of Ely, perhaps up to $2,000 more per year, according to Forsman.
The news didn’t sit well with council member John Lahtonen, who questioned whether the city should pay more for subsidizing those operating costs.
Any final decision on additional expenditures will wait before review by the city’s budget committee and would require council action later in the year.
The ambulance discussion was part of a brief council meeting at City Hall.
In other business, the council:
• Approved a letter of support for the 2026 Minerals Article, legislation advancing in St. Paul that would provide additional aid to cities, townships and school districts in northeastern Minnesota.
Mayor Heidi Omerza noted that the legislative session is nearing an end and voiced support both for the minerals legislation as well as a bonding bill that would include funds for the city’s water line project.
• After brief debate, appointed Timothy Kulik and Courtney Clark to the parks and recreation commission.
A third candidate, Russell Alioth, was also in the running and present at the meeting.
A motion to appoint Kulik passed 4-3 with Lahtonen, Forsman and Adam Bisbee opposed.
Clark was approved on a 6-1 vote with Emily Roose voting no.
• Accepted Eva Sebesta’s resignation from the parks and recreation commission.
• Approved a two-year lease with the Ely Golf Club from May 18, 2026 through May 18, 2028.
• Authorized a $10,000 residential rehabilitation loan for Adam and Kelsey Borchert for their home on East White Street.
•Approved a special event permit application for the Farmer’s Market for this season, at the existing rate of $30 per day. Lahtonen suggested that rate should be increased.
• Approved a request for in-kind services from the Ely School District to help install new batting cages between the baseball and softball fields
• Agreed to hold a study session on May 26 with the comprehensive plan steering committee.
• Approved holding the annual Spring Clean Up Days on May 15 and May 16 at Whiteside Park.

