Paul James, co-owner of Cook County Towing, approached the Cook County/Grand Marais Economic Development Authority (EDA) in June 2014 with an offer to purchase a lot in the Cedar Grove Business Park (CGBP). At the July 8 meeting, James thought the sale would be completed. However, EDA Attorney Baiers Heeren said there was one more clause in the lot sale—James must complete a stormwater management plan and submit it to either the EDA or the Minnesota Pollution Control Agency (MPCA). “That is a step that must be taken before construction begins,” explained Heeren.
In June, James appeared before the EDA board with Realtor Tim Kennedy to make an offer on Lot 1, Block 8 in the business park. James made an offer of $25,000 for the lot, which had been listed at $45,000.
James gave a summary of his business, which he said consists of four rollback trucks, three frontline wreckers, three service trucks, a couple of plows and a skid steer.
James said in addition to himself and his wife Pam, Cook County Towing employs Jay Mesenbring, Brad Peterson, Lee Jahnke and Paul Olin as drivers.
James said Cook County Towing currently has an agreement with Grand Marais Motors to leave their tow trucks in the Grand Marais lot, but it slows down vehicle recovery to have to clear snow off of vehicles and warm them up. “Meanwhile, someone is stranded in the ditch,” James told the EDA in June.
Cook County Towing would like a building in Grand Marais to house its vehicles, he said. However, James said it would not be an income-generating operation, so they don’t have a lot to invest.
Kennedy pointed out that Cook County Towing would be making improvements to the lot and it would be added to the tax rolls.
James shared some preliminary drawings of what the building would look like. The EDA board discussed where the driveway would be and screening. James said they would keep the lot clean and would plant some screening if needed. They have done so at the lot they own near Birch Grove voluntarily. James said, “It behooves my business as well as the business park to keep a clean area.”
The EDA passed a unanimous motion to proceed with the sale of the lot.
Kennedy said Cook County Towing would like to move forward quickly. He presented the EDA with a purchase agreement and the board said they would have EDA attorney Baiers Heeren look at the purchase agreement.
At the July 8 meeting, after the public hearing on the lot sale had been opened—with no public comment given— and closed, Heeren called the EDA’s attention to the need for a stormwater management plan.
EDA Board President Mark Sandbo asked James if he was okay with the requirement to complete a stormwater management plan. James said he wasn’t sure. He asked what that entailed. “What are you requiring? Do I have to hire a stormwater engineer? Or can I have Greg Gastecki from Thoreson’s write out something? This is throwing a lot more money at this,” said James.
The EDA board was unsure what sort of stormwater plan was required. Board Member Howard Hedstrom asked if this requirement was over and above what is required of other properties in Cook County. He added, “It’s not an unusual activity for a commercial business to have to have a stormwater plan.”
Sandbo suggested that James talk to Edwin E. Thoreson, Inc. to see if they are able to complete stormwater management plans.
James said he didn’t mind having to complete a stormwater management plan, but he would have appreciated knowing about the requirement sooner. “I started working on this a year ago. I submitted a plan for the building. I got satellite photos and showed the location of the building and the road. How much more information do you need for siting of this building?” he asked.
James expressed frustration that the delay in finalizing the purchase means a delay in ordering his building, which will mean it will cost more. Depending on that and the cost of having a stormwater plan completed may lead to him having to cancel his purchase.
The board debated whether it should insist that James submit a stormwater management plan to the MPCA or if the EDA should approve it.
Sandbo said, “We could approve it. But if a major storm hit and Paul’s building washed away, we could be fined.”
EDA Board Member and Commissioner Heidi Doo- Kirk asked if the other lot holders had been required to complete a stormwater plan. “If we’ve allowed other lot holders to build without this, it’s not fair to put this obstacle up for this buyer at this point in the game.
“Let’s approve it,” she said, adding that the EDA needed to set up an understandable policy for lot sales.
Doo-Kirk made a motion to approve the purchase agreement with Cook County Towing, which received unanimous support from the EDA board, with Bob Spry absent.
In other business:
. At the start of the meeting, Pat Campanaro introduced the new Arrowhead Economic Opportunity Agency representative Anita Jeziah, who had just started the day before. Jeziah will be working in the office area in Grand Marais City Hall behind the EDA conference room. She will be at the office 32 hours per week, serving as the local case manager/instructor.
. Tofte Supervisors Paul James and Jim King appeared before the EDA to give an update on Tofte’s efforts to construct senior housing. The duo showed an architect rendering of what the West End senior housing could look like and talked about the process to get this far. The men said an onsite visit is scheduled with the Iron Range Resources and Rehabilitation Board (IRRRB). The township is seeking additional funding for the project from IRRRB. They asked for a letter of support from the EDA.
King said, “We are here asking for your support. Not for money, just a letter of support.”
The EDA board unanimously voted to send a letter of support for the Town of Tofte’s request for funding for its senior housing project.
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