There have been many improvements to the former Lind Chevrolet garage and Lake Superior Collectibles building since Jill Terrill purchased it in October 2009. More improvements could be on the way.
At the request of the Cook County – Grand Marais Economic Development Authority’s Commercial Loan Review Committee, Grand Marais City Council approved a $23,000 loan which will be used to rehabilitate one of downtown’s oldest buildings.
It is the first project to be approved under the Community Business Partnership Loan Program, which is designed to provide low-interest revolving loans to local businesses.
The guidelines used in selecting the projects are based on the city’s existing Storefront Loan Program, with the EDA being responsible for evaluating and administering the applications rather than the Chamber of Commerce. The program is funded through the IRRRB, and is intended to provide loans to businesses using funds from the Small Cities Program, which has been successfully used for housing rehabilitation in Lake and Cook counties.
Hal Greenwood joined Nancy Grabko, the EDA’s housing administrator, in making the formal request to council Feb. 8. Greenwood, who serves on the EDA’s review committee along with Anna Hamilton and Vicki Wenz, said they reviewed six applications and narrowed their selections down to two projects: the Senior Center, and The Garage.
“We took a lot of time with this…we didn’t want to hurry,” said Greenwood. “We plan to do likewise in the future.”
Grabko said she, too, spent a lot of time carefully reviewing the proposals, ensuring that the contractors are all eligible for federal funds and the plans are in compliance with historic preservation regulations.
The $23,000 loan approved by council as the required local leverage—the maximum amount under the newly adopted loan guidelines—will partly fund a $78,500 proposed rehabilitation plan for The Garage on First Avenue West. The EDA has already committed $38,500 in funds from its commercial rehabilitation project, which Grabko noted leaves a shortfall of $16,000. Grabko said she was planning to speak with the county auditor to find out if there were any other funds available to fill in the gap, but if not, it will be up to owner Jill Terrill to scale back the project or find funding elsewhere. “That’s up to her,” said Grabko.
At any rate, Grabko said she hopes to have the financing finalized within a week or 10 days, at which time the process to award contractors will begin. Work is tentatively set to begin in late April.
Plans call for major renovation including electrical system upgrade, installation of new doors and windows, new water closet, additional insulation and wall repair.
In other City business:
. North House Folk School Director Greg Wright presented his annual report and update. He said things are going well, with enrollment figures showing the best year ever to date, and the current month shaping up to be “the best February ever.” In addition, Wright said six of the last 12 months have been the school’s strongest ever, and 2012 numbers are already 20 percent ahead of that.
Wright also said work is progressing nicely on the quartermillion dollar “outdoor commons” construction project, which got off to a better-than-hoped-for start thanks to the mild weather in December. Wright said plans call for gearing back up in early April. “May will be a busy time,” he commented.
. As requested by Jim Boyd at its prior meeting, council approved a letter of support for the EDA’s pursuit of a Business Retention and Expansion Program with the University of Minnesota. The letter states, “The city will be an active partner, and will encourage local businesses to participate fully in the program,” but as Mayor Larry Carlson pointed put, there is no monetary commitment involved at this point.
. Councilor and park board member Bill Lenz reported that the park board has been working to revise the community connection proposal in an effort to bring the price tag down from its original $595,191. Lenz said the entrance could probably be done for less than $100,000 if the city does away with its consultants, and the project can be done piecemeal as funding allows. Lenz said its is also believed a series of ponds rather than a channel can be used for stormwater mitigation, further reducing the cost.
. City Administrator Mike Roth said he has been contacted by DNR Trails representatives from Two Harbors asking about local interest in developing a snowmobile trail head in the city. Roth said he plans to speak with local business to gather input.
. It was noted that during a special meeting on Feb. 1, council voted to send a letter of support to Rep. David Dill and state Sen. Tom Bakk to re-open the closed Gunflint Trail demolition and transfer station sites. The request was made by Ray Pederson and Rick Austin of R&R Disposal in an effort to reduce the cost to local residents and businesses of refuse hauling.
. Linder Pederson was appointed to the planning commission, joining Ed Bolstad and Tim Kennedy. Three members are still needed.
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