A committee formed to review applications for projects to be funded from the county’s new 1% sales and use tax has rejected the initial application for capital improvements to Superior National at Lutsen golf course because it didn’t come from the official owners of the course—the Cook County/ Grand Marais Economic Development Authority (EDA). The application was submitted by Superior National Stewardship Corporation, which according to contact person Mark Sandbo has not become legally incorporated but would if it were allowed to manage the golf course.
At a recent meeting of the county board, the City of Grand Marais, and the EDA that was convened to discuss the direction of Superior National, a proposal to manage the course was made by a group of business people including Lutsen Mountains owner Charles Skinner, Lutsen Resort owner Scott Harrison, and Lutsen Real Estate group owner Mike Larson along with members of Friends of Superior National, an auxiliary group advocating for the course.
Commissioner Bob Fenwick, on the 1% review committee along with Commissioner Bruce Martinson, County Attorney Tim Scannell, and Auditor-Treasurer Braidy Powers, told the county board on Tuesday, September 28, 2010 that returning the paperwork “is no reflection on the merits of the application at all.”
Over the last decade, Superior National revenue has decreased along with the amount spent on maintenance, upgrades, and advertising. The course has been bringing in enough to cover its expenditures, but some believe extra investment is needed now to maintain its reputation as a premier golf course. Those advocating for the golf course have asked the county for some funding— in the form of a loan after the county declined a request to pay off the bonds—to help the course get back on its feet.
Late this summer, the county board turned down an offer to take on ownership of the course. It has considered paying for a consultant to evaluate options for turning the golf course into a more successful venture. The provisions of the bonds require hiring a “nationally recognized golf course consultant” if revenues were less than 115% of the annual debt service on the total amount of all bonds. This has been the case for years, but a consultant was never hired.
At this meeting, commissioners discussed who should choose a consultant. Commissioner Jim Johnson indicated he would like to make sure a consultant was “independent and objective” so people would not think a group from the West End could pick a consultant sympathetic with its proposal and then convince the EDA to go with its recommendation.
Commissioner Jan Hall was concerned that if the county did not pay for a consultant, the EDA would end up paying for one and levy the costs directly to the taxpayers.
Hall commended the 1% evaluation committee on its response to the Superior National application. “You did a good job,” she said. “Thisis good.”
Commissioner Fritz Sobanja wondered how willing the golf course advocates would be to raise funds or put matching funds into the project.
Commissioner Fenwick stated that while the county doesn’t want to own the course, if they made all the decisions related to it, they would be doing what an owner does. On August 24, the board had voted 3-2 not to take on ownership of the course, with commissioners Fenwick and Martinson casting the two minority votes.
The board made some changes to a letter Attorney Scannell had drafted on their behalf in response to the 1% project application. The letter states that the board will choose a consultant to evaluate the course. It will be sent to the Superior National Stewardship Corporation and the EDA.
Fiber optic build-out
Cook County Information Systems Director Danna MacKenzie reported that Joe Buttweiler and Jeannie Muntean of Arrowhead Electric Cooperative Inc (AECI) attended a special meeting for recipients of the federal stimulus grant for fiber optic infrastructure. AECI successfully applied for a grant with Pulse Broadband for a project that will bring high-speed fiber optic lines to every location that has electric service in Cook County.
Build-out of fiber optic infrastructure is one of the capital improvement projects approved for funding from the county’s 1% sales and use tax, although the AECI/Pulse grant does not depend on a county match.
The Cook County Broadband Commission, formed at the direction of the county board, will simply be monitoring developments at this point.
MacKenzie said a steering committee is working with about a half dozen applicants for a $100,000 Blandin Foundation grant for projects that can demonstrate broadband applications that could benefit the community. Applications for this grant will be accepted until October 14.
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