The Ely City Council approved a preliminary levy increase of 4.9% for taxes collectible in 2027 at the regular meeting on Tuesday, Sept. 15.
The council will adopt a final levy in December, which may be lower but not higher than the preliminary levy.
The maximum revenue the city may raise through next year’s levy will be $2,549,000.
A request from council member Emily Roose to raise the budget from $5,000 to $10,000 for the comprehensive plan was denied.
The $5,000 will support a contracted consultant who will assist the city with public outreach related to the plan.
Roose said a $10,000 allowance would be better suited to supporting community engagement related to the comprehensive plan, as well as the writing of the plan.
Council member John Lahtonen pushed back, stating the $5,000 added to the budget for professional help had already boosted the preliminary levy increase from 4.7% to 4.9%.
Council member Al Forsman said the city’s goal is to cut back on costs through the use of in-house labor.
Mayor Heidi Omerza said the planning and zoning administrator will take a lead role throughout the plan’s development, which Omerza said will simplify the process.
“Had we gone to the $10,000, we would have been over 5%,” Forsman said of the percent levy increase. “I know that’s just an arbitrary number, but it’s tough to get up over five on your levy. It makes a difference trying to keep that levy increase as low as we can.”
The council additionally adopted a recommendation from the budget committee to update the fund balance policy from 50% to 80%.
A city fund balance acts as a contingency for emergencies or revenue loss. Forsman cited the 2008 loss of local government aid (LGA) and said the updated balance policy could improve the city’s ability to operate through disaster.
Omerza said a greater fund balance can additionally boost a municipality’s bond rating.
The council further adopted the budget committee’s recommendation to continue offering in-kind boiler maintenance and plowing services at the Hub.
City employees manage those operations, allowing the city to send an in-kind invoice to the Ely Community Foundation (ECF). ECF then provides a cash donation to the daycare.
“It’s a direct reduction in the cost of childcare in Ely,” said clerk-treasurer Harold Langowski.
Lottie Pinckney presented concerns to the council about the safety of Ely’s crosswalks.
Pinckney said she has almost been hit by a car on Chapman Street when crossing. She suggested the city place signs informing drivers that vehicles must follow the law and stop for pedestrians in crosswalks.
Pinckney also raised concerns about illegal parking on First Avenue and Harvey Street.
“To this day, I’ve never seen a ticket put on a car,” Pinckney said.
Representative Roger Skraba (R-Ely) provided a legislative update, responding to council questions on housing.
Skraba said the 37 Wilderness Escape units represented a big win for Ely, especially since other communities had not received funding to the same extent.
Langowski said the city would begin pursuing the next housing project once Wilderness Escape wraps up in summer 2027.
“This won’t be our last housing project. I can promise you that,” Langowski said.
Omerza said the council’s priority for next year’s state legislative session will be the obtainment of local government aid (LGA).
Langowski said the city is additionally working to secure the “last little piece” of funding from the IRRRB for the ambulance garage and auxiliary fire hall project, which will be their largest ask for the upcoming funding round.
Contractors are ready, Langowski said, and the IRRRB will meet on Oct. 7.
Police chief Chad Houde said the festival weekend went smoothly for the Ely Police Department.
“I think that was the most people I’ve seen on a Friday at Harvest Moon in my career, so it was a good event,” Houde said.
Houde said the department was in contact with the National Weather Service in preparation for inclement weather on Friday evening, but the severe storm passed approximately five miles to the south, over Babbitt and Embarrass.
“Luckily, we did not have to close the event,” Houde said.
The council also adopted a recommendation from the Heritage Preservation Committee (HPC) to mark Oct. 10 as Remembrance Day for Sergeant James Mondati of the United States Army Air Force.
Mondati was born in Ely and died during the Bataan Death March in World War II. He will be laid to rest on Oct. 10 at the Ely Cemetery after recently receiving DNA identification.
