The Community Center Committee has been laboring for months to design a new facility that will please the greatest number of people for the least amount of money. They have tried to accommodate the wish lists of a wide variety of individuals and groups throughout the community. The proposed facility would cost $11,000,000, which would still leave money for the other projects to be funded from the county’s 1 percent sales tax. The catch, however, is that operating costs are greater than what the county is currently paying for the amenities slated for the new facility.
A new pool is one of the biggest and most expensive elements in the proposed facility. For more than 30 years, the City of Grand Marais has been maintaining the current pool at a loss. In 2005 the city signed a legal agreement with Burbach, an aquatics firm, for its assistance investigating what could be done about the pool’s aging infrastructure. Burbach now contends that the city is required to use its services “on any repair, renovation or replacement of the city pool.”
The city’s attorneys have stated that if the city helped fund the operation of the new community center and Burbach sued and the court declared a breach of contract, the city could be liable for a damage claim in excess of $325,000. This has made the city reluctant to contribute financially to the county’s pool project.
On Tuesday, May 10, 2011, the county board decided to try to get the city’s help anyway.
The board discussed a letter to the city that had been drafted by County Board Chair Jim Johnson and Commissioner/Community Center Steering Committee Chair Sue Hakes soliciting its help with the new community center. It states, “… We understand the reasons the City of Grand Marais has withdrawn from further participation in the community center project. That said, we feel strongly that the involvement of the City of Grand Marais is crucial to achieving the countywide support necessary for the construction and long-term success of the project.
“…We are well along the path toward describing a facility that will benefit the largest possible group of users within our community but are having a difficult time projecting enough revenue to sustain the facility into the future. It is our hope that the City of Grand Marais will find a way to help bridge the revenue gap by committing to help with the longterm maintenance effort of the facility.”
“We need their revenue,” Commissioner Hakes said. “We need their expertise.” The city has been successfully running a campground, marina, ball field, pool, hiking trails, sliding hill, and golf course for years. Hakes said the city’s stepping out of the Community Center Steering Committee “has been a loss.”
Commissioner Bruce Martinson wanted to make the appeal even more clear by adding to the letter this statement: “Unless the city is able to contribute financially on an equitable basis, the size of the facility will be scaled back considerably if the project moves forward.”
Hakes was concerned about how that might sound to city. “What I don’t want to do is make the city the bad guy in this project,” she said. The city considers a pool to be an important community amenity, she said. One of its top priorities has been to repair or replace the current pool, but it just hasn’t had the means to do it. She said she would like to work with them to figure out how to get them back to the table as a partner in this project.
Commissioner Jim Johnson concurred, suggesting that they try to “hold out the olive branch” to the city.
The board decided not to add the sentence suggested by Martinson but to keep the letter as it was and hand deliver it to the city the next day.
Hakes reported that the committee had continued to revise the design of the new facility in preparation for public meetings that night and the next night. They had “bumped up” projected usage numbers and fees and reworked staffing costs, she said. The gap between revenue and expenditures was still at $325,219. “The steering committee realizes this is too big,” Hakes said.
“We have not finalized what we want to do with the curling club yet,” Hakes continued. The committee is still discussing options for using and funding the current Community Center building, which houses the curling rink.Even though the Senior Center has not expressed interest in having space in the new facility, Hakes said, the committee wants to dedicate space and incorporate amenities for seniors there. The Senior Center wants to grow its numbers, she said, and maybe a walking track and a pool could help them do that.
Every time the building design or proposed programming changes, Commissioner Jim Johnson said, the operating figures change, and this is a normal part of the process. “We have to live with some flexibility,” he said.
“It is going to be a moving target for a little bit,” Hakes said. “It’s very fluid.” She hoped they would continue to build relationships and partnerships throughout the community in order to bring the facility to fruition.
Superior National analysis
The board approved a contract with Sirius Golf Advisors for analysis of Superior National at Lutsen golf course. In light of declining profitability in recent years, Sirius will assess the physical and financial state of the course, identify the type of course that would maximize the returns on money invested, present ownership and management options, and make suggestions for a long-term business plan. The company expects to have the work done by the end of June. The evaluation will cost at least $22,500 with further work to be done at the county board’s discretion.
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