Cook County News Herald

City OKs business park bond contract




In an effort to make lots in the Cedar Grove Business Park more marketable, Grand Marais city councilors approved a joint powers agreement with the county and Economic Development Authority (EDA) May 27.

The seven-page agreement, which was recently approved by the Cook County Board of Commissioners, calls for the county to contribute half of the annual bond payment amounts to the city. In turn, the city will re-assess the lots to more accurately reflect market prices; credit the county’s payment toward the EDA’s assessments; and collect any lot sales revenues in a fund to pay off the bonds when the fund is sufficient.

For its part, the EDA will continue its assessment obligation and provide all lot sale revenues to the city until the bonds are paid off.

City Administrator Mike Roth said the agreement evolved following conversations between the city and county. City Attorney Chris Hood said the document has been in the development phase for two years and although it is “not exactly the way I want it to be,” it is nevertheless acceptable.

According to a memo Roth presented, the EDA identified the $60,000 assessment per lot as a major obstacle for potential sales. Accordingly, with the agreement almost in place, the EDA will move forward based on the new prices; the current market value of the lots is believed to be substantially lower than the original value.

Councilors agreed that by re-assessing the lots, chances of selling the remaining lots will be increased. “If this will validate the values for the owners– why not do it?” said Councilor Tracy Benson.

“This seems like a pretty good solution to me,” said Mayor Jay Arrowsmith DeCoux of the assessment process, adding that the prices still in effect from the original assessment are no longer valid.

Following council’s approval of the agreement, Roth said a hearing will be set to determine what the new and proper rates should be.

To date, only five of the 37 lots in the business park have been sold since 2007.

In other matters, Roth updated council on the ongoing efforts to upgrade the public restroom facilities in City Hall. He said council’s earlier decision to invest up to $5,000 to modernize the existing space isn’t going to work, mainly because the plumbing is not suitable for needed improvements. Furthermore, Roth said, “the main problem with the space is the space,” explaining that it is inadequate to install any additional stalls due to ADA requirements. While some work is under way in the restrooms, Roth said it will be mostly cosmetic to bring it up a notch.

Benson, who asked for the update, said it is important to keep the process moving so something will be accomplished by next year at this time. Tourism is important to the city, she observed, and people should have something better than blue plastic porta-potties. Mayor DeCoux said the public restrooms will be included in budget discussions for next year. “We will probably spend more on restrooms than we are now no matter what we do,” he said.

The decision is complicated by the uncertain future of the City Hall building (how much should be invested in a building that may possibly be abandoned?), the need for additional restrooms, and the location of any new facilities.

In other city business

. George Wilkes of the Cook County Local Energy Project (CCLEP) stopped by to report that the city and his organization have decided to discontinue their efforts at pursuing funding and development for a biomass district heating project. Owing mainly to the recent decision of the North Shore Hospital District board to not participate in the project, Wilkes said the economics of the proposal simply are not viable at this time.

However, Wilkes and Arrowsmith DeCoux lauded the cooperation and interest of area businesses and said there was a lot of good information gathered that will be helpful in the future. “The process we followed was a good one, and the safeguards and contingencies we put in place worked,” Arrowsmith DeCoux said, adding that a lot of finished parts will still be viable years down the road. “We’re in a pretty good place for the future of biomass,” he said.

. Roth received permission to hire Michael Ryan as a liquor store clerk, and to advertise for a park facilities manager, a position recently vacated by Dave Hepler.

. Council granted a permit to the American Legion to once again operate its beer tent during Fisherman’s Picnic, July 30 through Aug. 2. Terry Breithaupt, Legion manager, said the security features that have worked well in the past will again be used, including three controlled entrances, gate guards to check IDs, and ensuring that no minors have access to beer in the enclosed area. “We get a lot of people of all ages,” he said of the event.

. Council approved the second reading of an ordinance amendment permitting Sunday sale of growlers in the city. There were no changes from the original version, and no public opposition or comment.

. Councilor Dave Mills reported that the Broadband committee is still meeting and planning; the most recent YMCA board meeting dealt mainly with finances, which he described as “looking good”; and the North Woods Food Project is continuing its efforts at developing a food waste composting program.



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