Ely City Council minutes Dec. 16, 2008

Council Chambers<BR><BR>Ely, Minnesota<BR><BR>Tuesday, December 16, 2008<BR><BR>6:30 P.M. Regular Meeting<BR><BR>Ely City Council <BR><BR>Regular meeting of the Ely City Council was called to order at 6:30 P.M. by Mayor Charles J. Novak.<BR><BR>PRESENT: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Zupec, Mayor Novak (7)<BR><BR>ABSENT: None (0)<BR><BR>Moved by Zupec supported by Debeltz, that the minutes of the regular meeting of December 2, 2008 be approved without reading. Carried unanimously. Minutes to stand as recorded.<BR><BR>The following additions were requested to be added to tonight's agenda:<BR><BR>City Attorney Kelly Klun - Addition of City Leases ( former city garage, county garage, city hall) to be added to D. City Attorney, Item #6;<BR><BR>Clerk-Treasurer Boese - Addition of presentation of plaques of appreciation to outgoing council members, to be added to IV. Departmental Reports, A. Clerk-Treasurer, Item #5;<BR><BR>Mayor Novak - Addition of wording change to E. Consent Agenda Items, Item #3;<BR><BR>Also the omission of VII. Old Business, A - Duluth Metals - purchase of two lots in Ely Business Park ( will be addressed under City Attorney).<BR><BR>Council members concurred with approving above items, requesting that Item #2 be taken care of at this time, on tonight's agenda.<BR><BR>Clerk-Treasurer Terri Boese then presented Mayor Charles Novak and City Council Member John Lindroos, with plaques of appreciation for their service to the Ely Community.<BR><BR>There were no agenda items listed on tonight's agenda; Mayor Novak stated that he will be making a closing statement at the end of tonight's agenda.<BR><BR>The following consent agenda items were brought before the Council for approval:<BR><BR>1. Police Chief Manning - request to attend 2009 Chief of Police Training Institute, April 6th - 9th, St. Paul, Minnesota * also requesting that Assistant Chief of Police John Saw be approved to accompany him. Moved by Debeltz supported by Zupec, that request be approved. Council member Debeltz withdrew his motion, Council member Zupec withdrew his support. Council member Sheddy reported that due to tight budget constraints, he does not feel the Council should be approving any unnecessary travel at this time. Council member Nikkola also expressed concerns over the Chief and Assistant both being out of town for four days, and as to who would be in charge of the Ely Police Department, as there is no sergeant. Council member Zupec also recommended that the request be tabled at this time and brought back to the Council for consideration in February, when the City will know more budget wise, where the City is at financially in 2009. Moved by Zupec supported by Debeltz, that the request be tabled at this time. Carried unanimously.<BR><BR>CGMC - Legislative Action Day - January 15, 2009, St. Paul, Minnesota<BR><BR>( Mayor/Council members authorized to attend - make reservations with Deputy Clerk by January 5th) - Mayor Novak noted that at the recent City Budget Committee Meeting, Mayor-Elect Skraba was present and agreed with the general discussion of authorizing the Mayor / Acting Mayor or one designee from the Council to attend those meetings deemed necessary by the Council. He further noted that the City of Ely pays annual dues to the League of Minnesota Cities, Coalition of Greater Minnesota Cities, RAMS, and those groups employ paid lobbyists to look out for the city's interest, so many of these out of town meetings are not necessary for Council to attend. He has a problem spending dollars for Council member's travel when city cuts and possible payoffs are in the future.<BR><BR>Council member Omerza noted that she is the City appointed representative to the Coalition of Greater Minnesota Cities, and that she has attended all of their scheduled meetings, and many of the key contacts be made are those made during the evening hours. Moved by Omerza supported by Zupec, that the Mayor and any Council members interested, be authorized to attend this Legislative Action Day.<BR><BR>Council member Nikkola recommended that if several elected officials will be going, that they should travel together and avoid any lodging if possible due to current budget constraints. Council member Zupec stated that he does not want to speak for Mayor Elect Skraba or Councilmember Elect Salerno, but the Council will need to address certain budget items in the near future, that they will not be approving, if the City does not get the funding anticipated. Council member Debeltz stated that he does not see a problem. Council member Lindroos noted that it is going to be the next Mayor's decision as to budget requests, and that any action the Council has now taken can be changed.<BR><BR>Moved by Debeltz supported by Zupec, that Mayor Novak call the question.<BR><BR>Carried unanimously.<BR><BR>YES: Council members Debeltz, Lindroos, Omerza, Zupec (4)<BR><BR>NO: Council members Nikkola, Sheddy, Mayor Novak (3)<BR><BR>ABSENT: None (0)<BR><BR>Motion carried.<BR><BR>Harold Langowski, City Operations Director - Joint Public Works Garage Lease Payments - to transfer to 101-43100-604 ($42,052.15) and split evenly from 601-49440-604; 602-49490-604; 604-49590-604 - Moved by Debeltz supported by Zupec, that transfer incorporating new recommended wording be approved. Carried unanimously.<BR><BR>School bus garage space in exchange for heat - JFK - INFORMATION;<BR><BR>Mayor Novak noted that there is no cash transfer; the City is housing a new school bus that does not fit in the current school bus garage, and the cost for heating this garage will be applied to the prior agreement approved by the City of Ely and Ely School Board, for the heating of the JFK Building. Council member Zupec questioned required liability insurance, with the City Attorney directed to draft up a lease agreement between the City of Ely and Ely School District. <BR><BR>Mark C. Pursell, TKDA - CATEX Long Form document required for crack repair project at Ely Municipal Airport ( Mayor and Clerk-Treasurer authorized to execute).<BR><BR>Moved by Nikkola supported by Lindroos, that the City of Ely approve of document with the Mayor and Clerk-Treasurer authorized to execute on behalf of the City of Ely.<BR><BR>Carried unanimously.<BR><BR>Mike Hillman requested placement on tonight's agenda, presenting the Ely City Council with a draft of a Grant Application to United States Steel Foundation, Pioneer Mine Restoration, Preservation, and Dissemination Committee, City of Ely, Mn., that he had put together as contracted with the City of Ely. Moved by Zupec supported by Omerza, that the Ely City Council approve of Grant Application as presented contingent upon any additional comments that Council members may wish to direct to the City Clerk-Treasurer, and that the Mayor and Clerk-Treasurer be authorized to sign necessary grant application; also approving the City of Ely submitting a grant to the IRR for grant writer's services, with the Mayor and Clerk-Treasurer authorized to sign any necessary documentation pertaining to this grant application. Carried unanimously.<BR><BR>Council members thanked Mike Hillman for his efforts.<BR><BR>Cecilia Rolando, Executive Director of the Northern Lakes Arts Association requested placement on tonight's agenda, regarding rumors of future fees relating to facility use for events. She noted that NLAA was in receipt of a letter from the Librarian, noting that the City of Ely will be charging fees for events planned at the CC by Northern Lakes Arts Association in 2009, including office rental, and was inquiring as to when the Council took this action. It was noted that the Council did not officially take specific action as stated in letter, with Mayor Novak noting that it had been part of City Budget Committee discussions, but encouraged NLAA to approach the Ely City Council in January, with a list of events that NLAA will be holding at the Community Center in 2009, with the Council to address at that time.<BR><BR>Chris Hartman, Coordinator of Ely Community Education requested placement on tonight's agenda thanking the City of Ely for their annual contribution to Ely Community Education for 2008, also informing the Council that the organization is in a time of rebuilding, submitting the fall and winter programming scheduled for information.<BR><BR>She noted that the Ely Community Education Board would like some direction as to whether or not they can expect the amount given them in 2008 to carry through to 2009 also, requesting that Ely Community Education be notified of the dollar amount the City will be allocating in 2009 as soon as their budget is set. Mayor Novak stated that the City is unsure of the amount of funding for 2009 at this time due to potential LGA cuts, ($3,520.00 ) is currently designated in the 2009 City General Fund Budget, but recommended that a representative from Ely Community Education attend the City's scheduled budget meetings in 2009 to keep abreast of further actions. <BR><BR>Mike Jankovec, representing the Boundary Waters Blues Festival, requested placement on tonight's agenda reporting that the Festival has received a grant from the IRR for advertising the blues festival, along with banners to be strung across Sheridan Street, preferably near the West Entrance. He is requesting approval and assistance from the City of Ely, to hang appropriate banner in June/July. City Operations Director Langowski reported that the current light standards cannot support such banners, and that banner poles will have to be erected. Moved by Debeltz supported by Zupec, that the City of Ely approve request to hang banner under the approval of type of banner, and direction of the City Operations Director. Carried unanimously.<BR><BR>John Fossum, Ely Bloomenson Community Hospital Administrator, requested placement on tonight's agenda regarding 1st responders and ambulance matters. After learning of the Council's prior discussion on claim for payment for First Responders, he noted that the first responders are extremely important to the ambulance service, and was wondering if there is anything additional the hospital should be monitoring at this time pertaining to the first responders. Fire Chief Gerzin reported that the run sheets from Midway do not show if the service was requested, or if personnel just showed up on their own; that it would be beneficial to have a check / balance system with the hospital. John reiterated that the First Responders Program was not an ambulance issue. In 2004 the Hospital procured a $33,000 grant to study ambulance models, with discussion evolving around a fire contract doing that the ambulance contract currently does. He noted that the Ambulance Contract ( 501C3) cannot be replicated with a future fire district in the area, as with ambulance service all persons are equal; with fire service houses valued at a different rate. He stated that he would be happy to visit with the Committee that will be addressing potential fire district, but that these two issues are not the same, as the success of the ambulance service is different from fire contract service. <BR><BR>Clerk-Treasurer requested approval of the following listed transactions as recommend by Librarian Herincich;<BR><BR>Gardner Trust - $2,985.00<BR><BR>Revenue - 211-45501-36200; expenditure - 211-45501-202;<BR><BR>Northern Trust / Stephanie Kalman Foundation - $500.00<BR><BR>Revenue - 211-45501-36200; expenditure - 211- 45501-206;<BR><BR>VFW Donation - $100.00<BR><BR>Revenue - 211-45501-36233; expenditure - 211-45501-204;<BR><BR>Gallagher Donation - $50.00<BR><BR>Revenue - 211-45501-36233; expenditure - 211-45501-204;<BR><BR>Freeduf Memorial - $1015.00<BR><BR>Revenue - 211-45501-36233; expenditure - 211-45501-206<BR><BR>Totals: Revenue - 211-45501-36200 - $3,495.00<BR><BR>211-45501-36233 - $1,165.00 <BR><BR>Expenditures:<BR><BR>211-45501-202 - $2,985.00<BR><BR>211-45501-206 - 1,615.00<BR><BR>211-45501-204 - 50.00<BR><BR>Moved by Nikkola supported by Omerza, that above recommendations be approved.<BR><BR>Carried unanimously.<BR><BR>Council member Nikkola reported on behalf of the City Budget Committee Meeting of December 11th: request from the Ely Nordic Ski Club for City financial contribution for the purchase of a sign and installation at the Hidden Valley Road was addressed, with recommendation that the Ely Nordic Ski Association pay for the sign and installation, not the City of Ely. Council members concurred with recommendation.<BR><BR>He also reported that the Committee had recommended for Council approval, tax levy resolution on tonight's agenda. Discussion was also held regarding the following budgetary items: possibly closing the Community Center for the last quarter of 2009 <BR><BR>( the City Budget Committee is currently waiting to hear back recommendation from the Buildings Facility Group on city buildings); freezing employees wages and no new hirees. The Budget Committee must be reactive, not proactive. Matter of information.<BR><BR>Mayor Novak reported on a recent EADA Executive Board Meeting; also the December 15th Community Joint Powers Board Meeting at the Grand Ely Lodge. He noted that HRA Executive Director Marty Hendrickson, EADA Executive Director Nancy Larson and himself had met to discuss the Housing Pilot Project Program. The Ely Chamber of Commerce did not receive grant requested from the IRR for public restrooms. Matter of information.<BR><BR>Council member Omerza reported that she had been asked to speak at a recent St. Louis County Partners Board Meeting in Duluth, along with some Ely High School students, and she reported that the meeting was very positive, with quite a few counties interested in signing on with Youth In Action Group. Matter of information.<BR><BR>Mayor Novak then recognized Kelly Klun for passing the State Bar, with Kelly responding that it has been approximately two years since her late father Larry Klun was representing the City of Ely as City Attorney, and that she is very much looking forward to working with the Council in 2009.<BR><BR>City Attorney's Office had the following listed items on tonight's agenda:<BR><BR>90 day fire contract extensions ( through March 31, 2009) between the City of Ely, City of Winton, and Stony River Township have been sent to both entities as directed by prior Council action, and have been approved. Matter of information. These extensions have been provided entities in light of Town of Morse and Fall Lake Township not signing the 2009 Fire Contracts with the City of Ely. <BR><BR>Fire Contracts for 2009 - City of Winton, Stony River Township - actual drafts of Fire Contract for 2009 has now been sent to both entities for consideration and execution. Moved by Nikkola supported by Lindroos, that the City of Ely authorize the 2009 Fire Contracts between the City of Ely, City of Winton and Stony River Township, with the Mayor and Clerk-Treasurer authorized to execute on behalf of the City of Ely. Carried unanimously. <BR><BR>Ely TV / City of Ely contract extension for public access. Moved by Omerza supported by Sheddy, that the City of Ely authorize a four month extension of current 2008 contract, with the Mayor and Clerk-Treasurer authorized to execute on behalf of the City of Ely. Carried unanimously.<BR><BR>Annexation - Attorney Klun apprised the Council as to what steps need to be taken on annexation of the US Forest Service property; a petition to adjacent landowners will need to be sent out, along with appropriate resolution.<BR><BR>Moved by Zupec supported by Sheddy, that the Council authorize the City Attorney to forward necessary paperwork for USFS annexation, as presented in discussion. Carried unanimously.<BR><BR>Duluth Metals Earnest Money Agreement - Attorney Klun informed the Council that this matter has come to fruition as of last week, where David Oliver ( Duluth Metals) will be giving the City of Ely earnest money of $6,000.00 towards the purchase of two lots in the Ely Business Park, which will help offset the cost of soil sampling, concluding the sale. There has been no purchase or development agreement in place as of yet, but costs have incurred. Mayor Novak commented that these two new lots will be on the tax roles for 2009. <BR><BR>City Leases for former city garage, former county garage, City Hall Office space;<BR><BR>Council member Sheddy, City Operations Director Langowski, Clerk-Treasurer Boes along with City Attorney have met to review current leases on above properties, and are making the following recommendations for lease renewals: Marty Gish - $525.00/month; Enviro Trac LLC - $275.00/month; Ben Lundquist - $275.00/month; JJ Day, Inc. - $425.00/month; Ely Igloo Snowmobile Club - $500.00/month (former city public works garage); Tonka Bay - $250.00/month <BR><BR>( former county garage); Range Mental Health - $200.00/month ( City Hall Office space). Moved by Omerza supported by Lindroos, that above rates be approved with the Mayor and Clerk-Treasurer authorized to execute leases. Carried unanimously.<BR><BR>Council member Sheddy noted that the current space being utilized by the Ely Igloo Snowmobile Club is worth $800.00 per month based on current figures for heat and electricity; the City of Ely currently has a lease with St. Louis County for rental of Sheriff's Office space at the Ely City Hall through December 31, 2009, but the County has been contacted about possibly reopening this lease after January 1, 2009; also, an office at Ely City Hall houses the probation department a day or two per week, and a lease needs to be drafted on this office space also. Operations Director reported that there are a couple of additional spaces available at the former city garage available to rent out, and if anyone is interested, please give Harold Langowski a call at 365-2695. <BR><BR>Clerk-Treasurer requested Council approval in designation of Wells Fargo Insurance Services Inc. - Suzanne M. Today, Agency Contact, as City Insurance Agency for property / casualty coverage for year 2009. Moved by Debeltz supported by Omerza, that designation be approved.<BR><BR>Council member Zupec recommended that the City of Ely put this proposal out for other agents to bid on, rather than reappointing the same agency year after year. He suggested that the Clerk-Treasurer advertise in a timely fashion for proposals in the future.<BR><BR>YES: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Mayor Novak (6)<BR><BR>NO: Council member Zupec (1)<BR><BR>ABSENT: None (0)<BR><BR>Motion carried. <BR><BR>Clerk-Treasurer Boese requested approving the January 1, 2009 renewal for the City of Ely for Blue Cross Blue Shield Health Insurance Benefits, as provided by the Northeast Service Cooperation. Moved by Omerza supported by Lindroos, that recommendation be approved with the Mayor and Clerk-Treasurer authorized to sign any documents pertaining to renewal. Carried unanimously.<BR><BR>Clerk-Treasurer reported that to date, Memos of Understanding Establishing at VEBA Health Care Insurance Plan for active and retirees for year 2009 have been signed by: LELS Police Officers Union; Essential and Other Than Essential Supervisory Units. Local #1490 AFSCME Basic and Essential Units have informed the City that they will not be signing a memo of understanding. Matter of information.<BR><BR>Clerk-Treasurer Boese reported on behalf of The Employee Relations Committee Meeting of December 11th: Barbara Mathews had approached the ER Committee, requesting consideration that in her retirement from the Ely Police Department in 2009, the City consider her request of moving to a Single Health Insurance Plan effective January 1, 2009 ( employee is currently on family plan), if the City would cover her spouse's Medicare Supplement at $247.00 per month, for a five month period of time. This would be a $729.50 per month cost savings to the City of Ely. The ER Committee is recommending approval of employee's request. Moved by Omerza supported by Sheddy, that per recommendation of the Employee Relations Committee, Memorandum of Understanding by the City of Ely and AFSCME Local #1490, Essential Unit ( a non-precedent setting agreement) be approved, with the Mayor and Clerk-Treasurer authorized to execute. Carried unanimously.<BR><BR>Clerk-Treasurer Boese requested Council approval of City and EUC bills and payroll for the first half of December 2008, in the amount of : General Fund - $274,058.07;<BR><BR>EUC - $210,934.96. Moved by Omerza supported by Debeltz, that bills and payroll be allowed and paid. Carried unanimously.<BR><BR>City Operations Director of Public Works and Utilities Langowski, reported on the following: <BR><BR>1. He had checked out the Jack Alexander complaint from prior Council meeting, and will be looking at installing a sign designating old Lawrence Street on the roadway, along with a new dead end sign to help alleviate Mr. Alexander's concerns. He also recommended that people living on the street being discussed, show courtesy to Mr. Alexander by not turning around in his driveway, or allowing their visitors to do so. Matter of information.<BR><BR>2. NTS - Proposal for Assistance in Obtaining No Further Action and No Association Determinations for Parcel 3 within the Ely Industrial Park. Moved by Debeltz supported by Zupec, that the proposal dated December 2, 2008 be approved, with the Mayor and Clerk-Treasurer authorized to execute proposal of $1,460.00 for assistance in obtaining No Further Action and No Association Determinations for Parcel 3 within the Ely Industrial Park ( NTS p8077-08B). Carried unanimously.<BR><BR>City Operations Director Langowski requested approval of the following EUC Consent Agenda:<BR><BR>Rescheduling the next regular EUC meeting to Tuesday, December 23, 2008, at 5:00 P.M.;<BR><BR>Approved payment of the November 28, 2008 Bills Payable for $72,179.01;<BR><BR>Approved payment of the RLK Inc. Invoice #1 for the 2nd Avenue West Utilities Project for $1,470.00;<BR><BR>Approved payment of the Terry's Operation Services November 2008 Invoice, for $550.00 <BR><BR>Moved by Debeltz supported by Zupec, that above items be approved and ordered filed.<BR><BR>Carried unanimously.<BR><BR>Communication was received from the Ely Winter Festival, informing the City that they are in the midst of planning next year's festivities, for February 6 - 16, 2009. The Festeival promotes the City's winter activities and beauty, and brings many visitors to the Ely area. They are requesting that any way the City can help their non-profit, volunteer organization, for the following requests, would be appreciated:<BR><BR>reducing or waiving fees for utilizing city facilities<BR><BR>approving and assisting the Festival organizers to place a banner over Sheridan Street from 12/15/2008 - 2/16/2009, promoting the Ely Winter Festival.<BR><BR>Moved by Debeltz supported by Zupec, that above item #2 be approved, to coordinate with the Ely Operations Director for the proper type of banner to be utilized. Carried unanimously. <BR><BR>Claim for payment was received from St. Louis County for billing for the 2008 assessment in the amount of $49,575.00. Moved by Zupec supported by Nikkola, that claim be allowed and paid. Carried unanimously.<BR><BR>Moved by Omerza supported by Zupec, that the City dispense with readings in their entirety, of all ordinances and resolutions on tonight's agenda. Carried unanimously.<BR><BR>Council member Nikkola recommended that at this time the City of Ely consider offering a six month extension to Fall Lake Township and Town of Morse for fire contract services, "all in rate" as agreement presented in June 2008 proposal to both entities.<BR><BR>He noted that rumor or fact, that the Morse / Fall Lake Fire Department cannot provide fire services to their constituents at this time. Council member Nikkola feels that the City cannot hold the constituents at fault for what their township officials are doing. Moved by Nikkola supported by Zupec, that the City of Ely offer a six month extension to the Town of Morse and Fall Lake Township, for fire services with the "all in rate" as June 2008 draft proposal. Carried unanimously.<BR><BR>Mayor Novak recommended that the Clerk-Treasurer be directed to notify the townships by phone and letter, so if interested, it would give them the ample time required, to hold a special meeting. Council member Zupec noted that he supports this motion as he feels the City owes it to our neighbors to give them this opportunity, but would like to insert a December 26, 2008 deadline in which they would be required to remit a signed extension to the City of Ely. Mayor Novak reported that he feels the City of Ely has now given its best efforts on this issue; Council member Lindroos commented that he would recommend all Town of Morse and Fall Lake residents to contact their insurance agents, as to what changes would incur with their fire insurance coverage and rates, if the townships do not sign on with the City of Ely for fire protection services, effective January 1, 2009.<BR><BR>Moved by Sheddy supported by Nikkola, that if the Town of Morse and Fall Lake Township, wish to approve of the six month extension of fire contract service contract which has been offered by the City of Ely, the executed extensions must be received at the office of the Clerk-Treasurer, 209 East Chapman Street, Ely, Minnesota, by the close of the business day ( 4:30 P.M.) on Monday, December 29, 2008. Carried unanimously.<BR><BR>Council member Debeltz offered the following resolution: 2008-45<BR><BR>A RESOLUTION ADOPTING AND APPROVING PROPOSED TAX LEVY, COLLECTIBLE IN 2009<BR><BR>WHEREAS: The City of Ely is required by Minnesota Law to adopt a proposed 2009 tax levy, and<BR><BR>WHEREAS: The City is required by Minnesota Law to certify it to the county auditor.<BR><BR>NOW, THEREFORE BE IT RESOLVED: That the City Council of Ely adopts and approves the following sums of money be levied for the current year, collectible in 2009, upon taxable property in the City of Ely, for the following purposes:<BR><BR>GENERAL FUND $ 957,298<BR><BR>LIBRARY FUND 241,045<BR><BR>DEBT SERVICE 136,635 <BR><BR>TOTAL LEVY: $1,334,978 <BR><BR>BE IT ALSO RESOLVED: That the Ely City Clerk-Treasurer is hereby instructed to transmit a certified copy of this Resolution to the County Auditor of St. Louis County, Minnesota.<BR><BR>Motion for the adoption of the foregoing resolution was made by Council member Debeltz, seconded by Council member Omerza, and declared carried on the following vote:<BR><BR>YES: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Zupec, Mayor Novak (7)<BR><BR>NO: None (0)<BR><BR>ABSENT: None (0)<BR><BR>Adopted this 16th day of December 2008.<BR><BR>Moved by Nikkola supported by Lindroos, that the City of Ely adopt the General Fund Budgets dated on December 15, 2008. Carried unanimously.<BR><BR>Council member Debeltz offered the following resolution: 2008-46<BR><BR>RESOLUTION AUTHORIZING THE CITY OF ELY TO MAKE APPLICATION TO THE IRON RANGE RESOURCES COMMUNITY BUSINESS PARTNERSHIP (09) GRANT PROGRAM FOR THE CITY OF ELY STOREFRONT RENOVATION LOANS PROJECT FUNDING.<BR><BR>WHEREAS: The Ely City Council approves submission of the above application because it supports retail, service community and economic development.<BR><BR>NOW, THEREFORE BE IT RESOLVED: That the Ely City Council of the City of Ely, Minnesota, does hereby adopt this resolution, and that the Mayor and City Clerk-Treasurer be authorized to sign all documents pertaining to this project on behalf of the City of Ely.<BR><BR>Motion for the adoption of the foregoing resolution was made by Council member Debeltz, seconded by Council member Nikkola, and declared carried on the following vote:<BR><BR>YES: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Zupec, Mayor Novak (7)<BR><BR>NO: None (0)<BR><BR>ABSENT: None (0)<BR><BR>Adopted this 16th day of December 2008.<BR><BR>Clerk-Treasurer Boese noted that the maximum award for funding is $150,000.<BR><BR>Council member Zupec offered the following resolution: 2008-47<BR><BR>RESOLUTION AUTHORIZING THE CITY OF ELY TO MAKE APPLICATION TO THE IRON RANGE RESOURCES MINING AND MINELAND RECLAMATION GRANT PROGRAM FOR MINER'S DRY BUILDING REPAIRS<BR><BR>Whereas: The Ely City Council approves submission of the above application because it supports community and economic development.<BR><BR>Now, Therefore Be It Resolved: That the Ely City Council of the City of Ely, Minnesota, does hereby adopt this resolution, and that the Mayor and City Clerk-Treasurer be authorized to sign all documents pertaining to this project on behalf of the City of Ely.<BR><BR>Motion for the adoption of the foregoing resolution was made by Council member Zupec, seconded by Council member Omerza, and declared carried on the following vote:<BR><BR>YES: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Zupec, Mayor Novak (7)<BR><BR>NO: None (0)<BR><BR>ABSENT: None (0)<BR><BR>Adopted this 16th day of December 2008.<BR><BR>Council member Debeltz offered the following resolution: 2008-48 <BR><BR>A RESOLUTION APPROVING A STREET AND INFRASTRUCTURE FIVE YEAR PLAN AND THE ISSUANCE OF GENERAL OBLIGATION STREET RECONSTRUCTION BONDS.<BR><BR>Be It Resolved: By the City Council ( the "Council") of the City of Ely, Minnesota ( the "Issuer") as follows:<BR><BR>Section 1. Recitals.<BR><BR>Pursuant to the Authority contained in Minnesota Statutes, Section 475.58, Subdivision 3b ( the "Act"), the Issuer is authorized to issue and sell obligations for street reconstruction pursuant to a street reconstruction plan approved by the unanimous vote of the Council following a public hearing.<BR><BR>The Issuer has authorized preparation of a Street and Infrastructure Five-Year Plan describing the streets to be constructed, the estimated costs and any planned reconstruction of other streets in the Issuer over the next five years ( the "Plan).<BR><BR>The Issuer desires to fund street reconstruction improvements within the Issuer<BR><BR>( the "Project.").<BR><BR>Section 2. Findings. It is found determined and declared that:<BR><BR>Pursuant to the Act, the Council held a public hearing on the Plan on December 16, 2008;<BR><BR>The Notice of Hearing on Street Reconstruction Plan was published in the Ely Echo, the Issuer's Official newspaper, on December 6, 2008; and<BR><BR>Pursuant to authority contained in Minnesota Statutes, Chapter 475 and the Act, the Issuer has determined that it is necessary, expedient and in the best interest of the residents of the Issuer that the Issuer issue and sell its General Obligation Street Reconstruction Bonds of the Issuer in an amount not to exceed $275,000<BR><BR>( the "Bonds"), in order to finance the Project and to pay part of the issuance costs of the Bonds. <BR><BR>Section 3. Approvals.<BR><BR>The Plan is approved.<BR><BR>The issuance of the Bonds is approved. The final terms of the Bonds will be set forth and approved in a subsequent resolution of the Council.<BR><BR>Motion for the adoption of the foregoing resolution was made by Council member Debeltz, seconded by Council member Omerza, and declared carried on the following vote:<BR><BR>YES: Council members Debeltz, Lindroos, Nikkola, Omerza, Sheddy, Zupec, Mayor Novak (7)<BR><BR>NO: None (0)<BR><BR>ABSENT: None (0)<BR><BR>Adopted this 16th day of December 2008.<BR><BR>George D. Eilertson, Sr. VP, Public Finance, Northland Securities Inc., provided Council members with a preliminary bond schedule based upon a borrowing need of $250,000. The bonds are amortized over 10 years; George has contacted the three local banks and they are interested in providing a quote for the bonds. Moved by Omerza supported by Nikkola, that the City of Ely approve of the Financial Advisory Service Agreement between the City of Ely, Minnesota and Northland Securities, Inc., with the Mayor and Clerk-Treasurer authorized to execute all documents pertaining to this issue on behalf of the City of Ely. Carried unanimously.<BR><BR>Mayor Novak reported that Ely is one of four potential cities that may be eligible for a Housing Pilot Program. He had received a call from the Minnesota Greater Housing regarding a Housing Pilot Program, for a designated neighborhood of about 150 homes. This would be a volunteer/community effort, with Ely being considered as one four potential cities being considered for this project. Mayor Novak recommended that EADA Executive Director Nancy Larson be approached to take on this project as an extra ordinary job - $7,500.00 will be available for a coordinator. The HRA would be considered as the point organization for this pilot program. Council member Zupec commented that St. Louis County has wonderful documentation and could pinpoint where these homes could be in an area most populated with vacant homes. Matter of information at this time.<BR><BR>Mayor Novak then closed tonight's meeting by stating that he feels very good about the past four years he has served on the Council as a Council member and Mayor, citing the SATO Building / expansion with the Department of Revenue; Spectrum Housing ( there are currently 24 staff employed); JMW Project - good positive things are happening in Ely, although 2009 will be a tough year. He noted that Frank Salerno will be a great asset to the Council, and community. Moved by Omerza supported by Debeltz, that the meeting adjourn. Carried unanimously.<BR><BR>Patricia M. Wellvang<BR><BR>Deputy Clerk<BR><BR>City of Ely<BR><BR>Ely Echo 12/27/2008