IRONWOOD, MI - Tuesday, April 29, 2008 - The Ironwood City Commission met yesterday afternoon in the Commission Chambers on the second floor of the Ironwood Memorial Building.

The Chambers were filled to capacity with supporters of the Pat O'Donnell Civic Center, by the time Mayor Bruce Noren called the meeting to order. Noren briefly considered moving the meeting to the auditorium, but after discussing the matter with several of the attendees, decided to remain in the Commission Chambers. At 5:30 PM CST the meeting began with the opening prayer and the Pledge of Allegiance.

City Clerk, Karen Gullan recorded the roll. Four of the five Commissioners were present – Tom Laabs, Mayor Bruce Noren, Gemma Lamb, and Suzanne Toth. Bob Burchell was excused.

Mayor Noren wisely opted to discuss and consider the Civic Center ballot language before acting on any other business. He asked the Commission to approve such a change in the agenda. The Commission unanimously agreed to bump the Civic Center up on the agenda.

Prior to discussing the Civic Center issue, the Commission approved the consent agenda, however. In so doing, the following actions were taken: (1) The minutes of the April 14, 2008 meeting were approved; (2) Minutes from the following meetings were reviewed and placed on file – Downtown Ironwood Development Authority (March 27, 2008), Gogebic-Ontonagon Community Action Agency (March 20, 2008) and the City Commission Work Sessions (April 9, 2008 & April 21, 2008); (3) The regular City Commission meeting for Monday, May 26, 2008 was rescheduled to Tuesday, May 27, 2008 due to Memorial Day; (4) A public hearing was scheduled for May 27, 2008, at 5:15 PM CST to introduce an ordinance to regulate sexually oriented businesses; and (5) Advertisements for bids were approved for the demolition of the structures at 305 South West Street and 1100 East Cloverland Drive.

CIVIC CENTER BALLOT LANGUAGE

Louise Demasi was the first person to discuss the Civic Center. Her concern was that non-citizens pay the same amount to use the facility as citizens. She said she supported the Civic Center, but she believed that Ironwood citizens are getting the short end of the stick because they are "paying twice."

Scott Stephens, President of the Civic Center Board, spoke on behalf of the Center. He pointed out that 1 mill would generate approximately $70,000-75,000 per year in revenue. He told the Commission that roughly 30% of the Center's budget is depreciation. "There's not much we can do with that one!" Stephens said.

The next biggest expense for the Center is labor, Stephens pointed out. It used to be 28% of the budget, however it will be significantly reduced due to the hiring of a new manager. Stephens told the Commission that the new manager is getting paid less and is working throughout the year. This gives the Center a better chance to generate income during the summer months. Stephens believes there will be a 25-35% savings in labor costs.

According to Stephens, 25% of the Center's entire budget goes to energy costs.

Stephens said the millage is necessary to the Civic Center. The number one priority, if the millage passes, is to pay off the existing loans. He said the second priority is to make changes that will result in lower energy costs. On the list of energy savings is a new compressor, which will cost approximately $150,000. He said the "mat system" (hoses on top of the concrete) is inefficient. The way the ice is currently made is not very energy efficient. If the hoses were embedded in the floor's concrete, less ice would need to be made; less energy would need to be used; and a significant savings in energy costs could be realized.

The number three priority with the Civic Center Board is to have a savings account to cover the cost of a new Zamboni, This piece of ice preparation equipment is quite costly, and it is only a matter of time before a new unit will be required. A new Zamboni costs roughly $75,000. Stephens pointed out that the entire ice operations are dependent on this one piece of equipment.

Stephens told the Commission that user rates will increase this year. Actual charges have not yet been set, but there will be an increase in rates to help the Center become more self-sustaining.

Stephens pointed out that the Civic Center, except for open skating, doesn't charge the individual users any fee. The fees are charged to the clubs that utilize the Center. "We rent time to the clubs!" Stephens said.

Stephens told the Commission that the clubs pay an hourly rate that is roughly $100. He told the Commission that so far, for the summer, the Center offers in-line skating, and a radio controlled automobile race track. He pointed out that the City could have the skate park at the center, and it could be one within a week. Stephens discussed some of the advantages to having the skate park at the Center – parking, supervision, restrooms, etc.

Mayor Noren, recognizing that the majority of people present were in favor of supporting the Civic Center, asked if anybody was in attendance that opposed the Center. There was no opposition.

George Goerig addressed the Commission and reminded them that efforts were made to outreach to surrounding communities. Goerig told the Commission that virtually every one of our neighbors fully supported the Center and were willing to provide him with a letter of support. Unfortunately, Goerig said, nobody was willing or able to help with the Center financially.

Goerig said twenty-five years ago the people of Ironwood had a vision and a mission for the Civic Center. They realized what an asset it could be to the community. Nobody realized back then, according to Goerig, how much the economic situation in the Ironwood area would change. Goerig asked the Commission to let the voters decide whether or not they want to continue to support the Civic Center.

Jeffery Hautala reminded the Commission that the taxpayers are already paying a millage for the Civic Center. No added taxes will be paid. The people won't be paying any more than they already are. The request is to renew the current millage. He explained that the current millage was adopted by a sizable margin four years ago.

Commissioner Gemma Lamb told the Commission that she favored a two year millage and that she would like to see wording on the ballot that explains the money will be used to pay off that debt. Mayor Noren agreed.

Noren told the Commission that the Civic Center Board had good intentions, but they needed a "reality check." Noren said the Board's recommendations seem to put the Center even deeper in debt and not out of debt. Noren said he would rather see a proposal that would go strictly towards paying off the existing debt, and once that debt is paid off, the remaining millage could go towards other things.

Commissioner Toth asked if the voters could be given options. She suggested having both a two-year plan and a four-year plan on the ballot. The voter could voter for either the two- or four-year plan or vote no on the millage.

Dennis Cossi interjected that such language could lead to unforeseen problems – like people voting for both. Although this scenario seems very unlikely, Cossi felt strongly that such an option would not be feasible.

Noren made a motion to have a two-year millage placed on the ballot, with language that clearly states proceeds would first go towards servicing the existing debt, and that once the debt is satisfied, the remaining millage could be used in the Center's general fund. Lamb seconded the motion.

The Commission voted on the two-year millage and it failed by a vote of 2-2. Laabs and Toth voted against the two-year proposal.

Then Laabs made a motion to have the four-year millage placed on the ballot as originally proposed. Toth supported Laabs' motion. Gemma Lamb suggested that she would support the motion if there was something in the proposal that guaranteed to the voters that efforts would be made to service the existing debt within four years. Laabs said he would agree to that.

Attorney Cossi told the Commission that they would have to withdraw the original motion before they could vote on the new motion. The Commission followed Cossi's orders and withdrew Laab's motion. Lamb then made a motion to have a four-year millage with a guarantee that the existing debt will be paid off within that time. Laabs seconded the motion.

The Commission voted on the new proposal and it passed by a vote of 3-1. Noren voted against the proposal.

STATEMENT OF REVENUE & EXPENDITURES

MONTHLY CASH REPORTS

Finance Director Julie Frederickson presented the financials to the Commission. Everything appeared to be in order.

IRONWOOD THEATRE GRANT APPLICATION

The Commission authorized the Theatre to apply for a Michigan Council For Arts and History Grant. Commissioner Laabs asked who owned the Theatre, and Scott Erickson informed him that the building is owned by the City – similar to the Civic Center.

BLUEPRINTS DOWNTOWN PROGRAM

The Commission authorized the Community Development Director Dan Petersen to contact the Michigan State Housing Development Authority (MSHDA) and request to be included in the Blueprints for Michigan Downtown Program.

DIDA Member Steve Frank told the Commission that the DIDA voted on the Blueprint Plan based on incorrect information.

DIDA Vice-Chairman Joe Karius and City Manager Scott Erickson attended a meeting on the Blueprints program earlier this year. Karius reported to the DIDA that he felt the program would be beneficial to the downtown. He told the DIDA that the total cost to participate in the program was $15,000, and that the City would only be responsible for half of that amount. He proposed to the DIDA that the DIDA pay $3,725 and the City could pay the other half.

When Dan Petersen contacted MSHDA he learned that the actual cost of the program is $30,000 and the City would be responsible for half of that amount – or $15,000. The Chronicle confirmed this information from MSHDA.

GRASS MOWING

The City Commission authorized advertisement for bids on mowing and trimming for the Riverside Cemetery and at City of Ironwood designated parks.

FIRE HYDRANTS

The City Commission tabled awarding the lowest bid to replace 20 fire hydrants until more information can be gathered. Commissioner Tom Laabs asked why the City crews couldn't do the work. He said he believed that hydrants could be replaced during slow times by City workers. He said it is bound to be a cost savings. The issue was then tabled to be discussed at a later date.

MANAGER'S REPORT

Here is what the written Manager's Report says:

(1) The City has received notice from the Tony Hawk Foundation that the City of Ironwood has been awarded a $10,000 foundation grant for the construction of the skate park. The Tony Hawk grant will be a very welcome addition to the funding and development of the skate park.

(2) Waste Management will be notifying approximately 170 residents in the City of Ironwood that their garbage collection date (residential only) will change from a Monday collection to a Wednesday collection, effective May 05, 20008. Waste Management will be notifying affected property owners.

(3) A neighborhood meeting for the Greenbush Street reconstruction project is scheduled for 4:00 PM, Thursday, May 01, 2008. The meeting will give property owners along Greenbush to review the project and it gives the City an opportunity to obtain their input into the project design.

(4) A preconstruction meeting with MDOT is set for the Alfred Wright Boulevard project for 9:00 AM, Tuesday, May 06, 2008. The meeting will be held at the Memorial Building.

(5) City Clean-Up Day dates and activities. The "Make a Difference Day" clean up is scheduled for 9:00 AM, Saturday, May 10, 2008. Everybody will meet at the Depot. The "Spring Clean Up Day Drop Off" on Vacant Lot on Ayer Street will be Saturday, May 17, 2008, from 8:00 AM to 2:00 PM.

(6) A budget workshop with the City Commission is scheduled for 5:30 PM, Tuesday, April 29, 2008, to review proposed water and sewer rates.

(7) The May 5, 2008 City Commission Budget Workshop has been rescheduled to 5:30, Tuesday, May 13, 2008.

(8) The City of Ironwood DPW has scheduled the cube side pick up, "Spring Clean UP" of yard waste as follows: Pick up for areas North of Ayer Street (including Ayer Street) will be Monday, May 5, 2008. The areas south of Ayer Street will have curb side pick up on Wednesday, May 07, 2008 and Thursday, May 08, 2008. The designated pick up days will not be extended.

(9) The City of Ironwood compost site will be open 7:00 AM to 6:00 PM Monday through Friday through the end of May. The site is located off of Frenchtown Road and is open for residents to dispose of yard waste (leaves, brush, branches, etc.)

(10) The City Clerk's office will be open this Saturday, May 03, from 8:00 AM to 2:00 PM to accept Absentee Voter Ballots. The Clerk's Office will be holding the school district elections on Tuesday, May 06, 2008.

AUDIO  VIDEO

Jim Albert