Cook County News Herald

Lutsen water district pipeline included in state bonding bill




“We are very grateful to Governor Mark Dayton, Sen. Tom Bakk, Rep. David Dill and the legislature for their support of the Lake Superior-Poplar River Water District and pipeline project,” said Charles Skinner, co-owner at Lutsen Mountains, when he learned on May 8 that the legislature had included the $3.6 million Lutsen project in the 2012 state bonding bill.

The money from bonding will be used to secure easements and for engineering, design, permitting and construction of an approximately two-mile 20-inch diameter pipeline from Lake Superior to Lutsen Mountains Ski Hill for snowmaking.

Proponents of the pipeline to Lake Superior believe the water line will not just benefit the ski hill, but could also directly benefit the Cook County – Grand Marais Economic Development Authority (EDA)-owned Superior National at Lutsen (SNL) golf course by providing a sustainable water source for irrigation, as well as drinking water for resorts on the ski hill and fire protection via hydrants along the pipeline.

“Our team worked hard. We enjoyed strong support from our community, the governor, Sen. Bakk and Rep. Dill and because of that, the legislature included the project in the 2012 bonding bill,” added Skinner.

The project gained support from a number of local resorts, tourism groups, fire departments, and local government entities.

“We are now able to move forward in a coordinated fashion with the renovation of Superior National and the pipeline project,” said Bob Fenwick, manager at Superior National. “This will help create new jobs when we need it most and increase employment opportunities in the future.”

Although most of the money for the project is coming from the bonding bill, more money must be found. According to Judith Erickson, government relations specialist for Lutsen Mountains, the bonding bill consists of state General Obligation bonds, which means the state is responsible for the debt service on the bonds, not the recipient of the bonding project funds. The debt service for the state is paid for out of the state’s general fund budget (sales and income tax receipts). “Simply put,” said Erickson, “the water district and surrounding communities are not responsible for paying the debt service on the bonds.”

The water district users will have to come up with an estimated $1.2 million in non-state funds. In April 2012, Lutsen Mountain Corporation Co-President Charles Skinner said the majority of those funds would come from Lutsen Mountains Corporation (LMC).

Preliminary engineering has been completed and final engineering and permitting are on schedule to be completed by July 2012; easements on private lands have already been acquired. The project will correspond with the Superior National’s renovation construction schedule and allow adequate time for construction to be completed prior to the 2014 expiration of Lutsen Mountains’ current snowmaking permits.

In November 2011, the Minnesota Department of Natural Resources granted LMC permission to continue drawing water from the Poplar River for snowmaking, despite very low water levels in the river. However, at that time, DNR Commissioner Tom Landwehr stressed that the permit was a short-term solution. The DNR said LMC must cease all pumping from the Poplar River by fall 2016.



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