IRONWOOD, MI - Friday, October 24, 2008 - The Downtown Ironwood Development Authority (DIDA) held its regular monthly meeting on Thursday, October 23, 2008, at 8:00 AM in the Community Development Conference Room on the second floor of the Municipal Memorial Building, Ironwood, Michigan.

Attending yesterday's meeting were DIDA members: Louise Demasi; Corey Gresham; Jackie Powers; Steve Frank and the DIDA Chairman. DIDA members excused from yesterday's meeting included: Eva Smith-Furgason; Wayne Ozark; and Mayor Bruce Noren. The DIDA Vice-Chairman, Joe Karius, was absent and unexcused. Two City staff members also attended: Community Development Director Dan Petersen and DIDA Secretary Jane Bowman. Representing the media at yesterday's meeting were Lou Bonagura, photo-journalist for IronwoodInfo.com, and yours truly representing the Chronicle. The Ironwood Daily Globe was not present for the meeting.

FLOWER BASKETS FOR 2009

Dan Petersen explained to the Authority that the watering equipment for the flower baskets was on its "last legs." He pointed out that the unit was originally purchased in 2001 for $260, and that it is basically worn out. Petersen explained that he did a thorough search in an attempt to find a similar model, however, it seems that hand-pull watering carts are no longer available. Petersen told the Authority that a truck (dolly) and a spot sprayer, at a combined cost of $289, would need to be separately purchased to replace the existing equipment. Jane Bowman pointed out that the watering fund was zeroed out this year.

Ms. Bowman explained that cost of watering the baskets was $275 for June, July, August, and part of September. According to Bowman, the flowers most recently cost $650, however, there has never been a cost to the DIDA or the City. Funds for the flower baskets have always been donated by local downtown businesses.

Jackie Powers told the authority that they flower baskets were attractive, and that most people liked them, so she supported continuing the program. Louise Demasi made a motion to continue the program. Steve Frank asked if a condition could be placed on the motion stating that the City agreed to assume the financial responsibility of the Pocket Park, but hasn't yet done so.

Bowman explained that a decision needed to be made soon so that the flowers can be ordered. Petersen explained that the Pocket Park financing would be added to next year's budget, but the idea was proposed too late this year to be included in the current budget.

Demasi asked how much the donation request was from each business last year. Bowman explained that each business paid $25 per basket hung near their business. Demasi suggested raising the request to $40 to help pay for the watering equipment. The Chairman suggested raising the charge to $30. A compromise of $35 was ultimately agreed upon by the majority of the Authority.

Demasi told the Authority that she was to meet with City Manager Scott Erickson at 9:30 AM yesterday. She offered to negotiate a deal with Erickson -- stating that no holiday lights were going to be purchased this year, saving $300 out of the recreational budget. Considering the savings, Demasi reasoned, she would see if Erickson would approve the purchase of the new watering equipment. Demasi explained to the Commission that purchasing new holiday lighting was not practical at this time because she discovered dozens of functional strings of lights owned by the City.

A motion was made to allow Demasi to negotiate a deal with Erickson for the purchase of watering equipment and to send out donation requests to area businesses in the amount of $35 for flower baskets for 2009. All of the DIDA members voted to approve the motion except Steve Frank. [08:36]

HOLIDAY DECORATIONS & THE JACK FROST PARADE

According to Jane Bowman, thirty four-eight inch wreaths from Santa's Wreath Company (Charles Moncher) cost $720. Louise Demasi told the Authority that she received a bid from another company at a cost of $900, so she suggested going with the $720 bid.

Steve Frank questioned a contact from Sue Murphy in the amount of $13,000. It was explained that the number Ms. Murphy was referring to was for "permanent" decorations. Frank was somewhat surprised at the amount. Demasi explained that the amount was actually cheap when compared to what Hurley was paying.

Frank explained that permanent year-round decorations would make much more sense than spending such a large amount on ornaments that are up for such a short time.

A roll call vote was taken on the purchase of the wreaths. All of the members, except Steve Frank, voted to approve the purchase of the holiday wreaths.

When the idea of "permanent decorations" came up on the docket, the Chairman asked if the item should be tabled until after the new year. Demasi asked why it should even be discussed because the DIDA didn't have any money!

Frank made a plea to the Authority that their goal should be to draw people into downtown year-round. He said permanent decorations would help to do that -- much like what Hurley has done. He repeated that it was foolish to waste so much money, when the DIDA had such a limited budget, on decorations that are up for only one month out of the year.

Frank warned the Authority that the downtown businesses are being tapped to death with charges -- they are already charged a special "downtown" property tax (TIF) that no one else in the City pays; they are asked for funds for the flower baskets; now holiday decorations. Frank explained that the success of the Blue Prints program will be dependent on the full cooperation of area businesses. He said antagonizing them with constant "added" charges and taxes isn't the way to gain their support.

There was a brief discussion about the decorations for the Pocket Park and for the Pocket Park tree lighting. Louise Demasi was visibly upset that the lights and other City property were stored in such an unkempt manner. She questioned if the City was really in a financial crisis or not, pondering how they could be so wasteful.

A brief discussion about the tree lighting ceremony, the parade judges, an other Jack Frost issues took place. [31:25]

BLIGHTED PROPERTIES & EFFORTS TO BRING PEOPLE DOWNTOWN

The Authority decided to table the blighted properties issue until the next scheduled meeting.

Before moving on to other business, however, Steve Frank briefly addressed Authority stating that a downtown typically provides three things: (1) businesses; (2) housing; and (3) entertainment, recreation & socialization. He went on to say that no business will ever want to locate in Ironwood's downtown unless there are people in the district. Foot and auto traffic are vital to a successful downtown. He said that customers make a business and that nothing will help bring them to the area better than to promote various activities, events, performances, etc.

He stressed the need to informally meet with other entities throughout the City to develop some new ideas to encourage traffic in the downtown. The Authority agreed with Frank, and they agreed to endorse and support his idea. Frank asked that Dan Petersen send out letters to help organize an informal meeting. [05:03]

STAFF UPDATES - WEB PAGE & SIGNAGE

Dan Petersen presented a printed illustration of how the DIDA's new web page will appear once the City's server and web host are again available. The Authority liked Dan's efforts.

There appears to be some problems placing the fourth and fifth wayfinder signs as well. The one originally planned for the McLeod/Aurora intersection ("flats" area) has the arrows pointing in the wrong directions. Also the sign would have to be placed on MDOT right-of-way, and MDOT will not allow it. The sign planned for Constantini's corner does not suit Wisconsin's DOT, so it may not be placed there.

Jackie Powers explained that many visitors to the area mistake the highway as the City's downtown. They are generally shocked to find out that Cloverland Drive is not Ironwood's downtown.

Several suggestions for the placement of the "spare sign" were made.

The proposed mural for the Taplin building was also discussed. Steve Frank expressed concern that selling "faces" on the miners in some ways could be seen as being offensive to many locals. He pointed out that the miners deeply contributed to the World War II effort, and that many miners lost their lives during that time. He said substituting faces for the actual miners -- with people that might have never set foot in a mine could be insulting to former miners and their families. He said it would be similar to placing a non-veteran's face on a veteran's body. He pointed out that most vets would be upset if a "draft dodger's face" was portrayed as a war veteran in a veteran's mural.

The Authority unanimously ruled to contact the artists with Frank's concerns. [16:56]

CITIZENS WISHING TO ADDRESS THE AUTHORITY

As a private citizen I expressed my displeasure with the way the wayfinder sign program was implemented by the DIDA. The idea of wayfinder signs is to fill the road with signs that direct the newcomer to the community to various key locations throughout the City. Four signs that are primarily ONLY downtown do nothing to promote the downtown.

I also expressed my feelings regarding the DIDA Chairman's lack of action on my complaint about Joe Karius and the Daily Globe. I previously filed a complaint with the DIDA Chairman stating that Joe Karius and the Daily Globe were following unfair business practices in an attempt to sabotage the Superior Chronicle. My complaint read:

Joe Karius, the Vice-Chairman of the DIDA and the publisher of the Ironwood Daily Globe, and his newspaper has made several attempts to impede business operations at the Superior Chronicle. I am a taxpayer in the City of Ironwood, and the Superior Chronicle is a licensed business with offices located downtown. As a downtown business, we pay a special TIF tax that sponsors the actions of the DIDA. Downtown development districts were specifically created throughout the State back in 1978 to encourage business growth and development in downtown business districts throughout the State. Mr. Karius' role on the Authority is supposed to be to do his best to encourage business to locate with the Authority's District.

Since we started operations in late December of last year, Karius and the Globe have made attempts to prevent free and fair trade because our online news service is in direct competition with the Globe.

! Interruption of Business - On December 19, 2007, the Globe's Phil Watson contacted our web host, Host Monster, claiming that the Chronicle was infringing on the Globe's copyrighted Community Calendar. Our hosting company temporarily interrupted our service until we proved that no infringement took place. Calendar events cannot be copyrighted. There are only so many ways a person can phrase ""DIDA Meeting, 8:00 AM, Community Development Conference Room,"" for example. This event can be verified by calling Host Monster at (866) 573-4678.

! Contacting Prospective Advertisers –– Before we even officially launched our site on January 1, 2008, we placed ""dummy"" test banner and sidebar ads on our site. Globe staff contacted Miner Foods in Hermantown, Minnesota and had their attorney contact us claiming we were illegally using their trademarked information. This can be verified by contacting Miner Food's legal department in Hermantown, Minnesota.

! Threats to Local Radio Media –– Prior to July 15, 2008, WJMS radio was periodically –– with my permission –– reading news information from the Superior Chronicle site on the air. By agreement, WJMS' News Director, Bill Swift, was originally giving the Chronicle ""on air"" credit for our articles. Joe Karius threatened to quit supplying WJMS with Globe news as long as they continued to mention the Chronicle online. This sanction was not limited to news, however, Sam Erspamer ""Sam in the Morning"" often mentioned the Chronicle because we had an agreement to provide archived audio files of their sports and two Larry Peterson programs. Karius warned the station that he would immediately discontinue business with them if they ever made mention of our business. This is clearly a violation of free and fair trade. The attached email from Bill Swift to myself (with my response) demonstrates Mr. Swift's concern about airing credit to us due to the Globe. When I called Mr. Swift the following morning, he explained that Karius was pressuring the station NOT to make mention of the Chronicle. Mr. Joe Rimkus and Mr. Bill Swift at WJMS can verify this information as well.

At DIDA meetings, Mr. Karius is forever preaching about the importance of growth in the community. Are the efforts of the Globe really encouraging the growth of our community? What happened to free trade? How would any business owner feel, after paying a special tax to the DIDA to encourage business, having a member of the Authority doing everything in his power to put him out of business?

I have serious doubts that this letter of complaint will result in anything that is fair or just for myself or my business. The City of Ironwood, with a few exceptions, continues to show preference to the Globe. The Chronicle never receives ""press packets"" like the Globe for any City meeting. The City continues to send press releases to the radio stations and to the Globe –– ignoring us –– even though our site, according to our host company's statistics, has had over 1.3 million hits to date this year. That's an average of over 148,000 hits per month.

Often we are the ONLY media present for City meetings. Before we launched, the Globe NEVER covered DIDA meetings; RARELY covered Planning Commission meetings; and HAPHAZARDLY covered City Commission meetings. I must admit that their coverage has improved since we launched our site. This proves that fair competition is a ""healthy"" thing. We have done NOTHING to interfere with the operations of the Globe. Mr. Karius' and the Globe's actions are disgraceful! My business partner, Steve Frank, and I are convinced that we will succeed because he have a superior product. Let's let free enterprise determine whether or not we supply what the public needs.

By the way, have you ever noticed that Steve Frank and I have been virtually ignored in the pages of the Globe? Don't you find it odd that Steve does more talking than just about anybody at DIDA meetings, and he is never mentioned? Likewise, both Steve and I are forever offering ideas to the City Commission, the DIDA, the Parks and Rec Committee, the Blight Committee, and the Planning Commission, and judging from accounts... the readers would never know we attended the meetings.

The Chairman's response to my complaint:

I have read the attached letter from Mr. Albert concerning Joe Karius, the Vice Chairman of the DIDA. The allegations that Mr. Albert has made do not appear to violate the City Charter Section 3.3 Conflicts of Interest, or the Downtown Development Authority Act 197 of 1975 Section 125.1657 Powers of Board. Free Trade is based on the unrestricted international exchange of goods with tariffs used only as a source of revenue, and fair trade is to market (a Commodity) in compliance with the provisions of a fair trade agreement*. It appears that Mr. Albert's issues with Mr. Karius is a private matter and has no concern with the DIDA.

*I Googled these lines and it appears that they were "cut and pasted" from Merriam-Webster's Collegiate Online Dictionary.

I asked the Chairman how he would have reacted if a member of the Authority was trying to interfere with his business. I'm certain he would have a very different view of the issue.

I explained to the Authority that the Chairman loves the "limelight" and the publicity the Globe has been giving him. I also pointed out to the Authority that the City of Ironwood -- with a few exceptions -- have also discriminated against the Chronicle, so I didn't expect any other outcome. The City refuses to forward press releases to us. When the Globe covers a meeting, the Globe is supplied with the EXACT same packet as the City Commissioners receive. Strangely, even after numerous requests (both verbal and in writing) were made, the City refuses to treat us as media equals.

I was also critical of the suggestion that downtown businesses stay open late for the Jack Frost Parade. I pointed out that very few downtown businesses sell items that would be of interest to the average parade attendee. "Is somebody going to stop by Rovelsky's after the parade to buy a clutch for their snowblower?"

Lou Bonagura addressed the Authority mentioning that Houghton's downtown is "as dead as we are here!" He said that all of the businesses are closed down way too early. He suggested that the City of Ironwood start adjusting their hours to accommodate the local population.

Steve Frank pointed out that things have dramatically changed mostly because of lack of business.

OTHER BUSINESS

Jackie Powers tried to address my complaint about the City's failure to provide the Chronicle with press releases, etc. She asked if the DIDA could simply send us a copy of the Agenda, etc.

Jane Bowman informed Ms. Powers that she has no choice other than to follow what the City tells her to do. Powers told the Authority that she spoke with Scott Erickson regarding the matter and he told her it was "mostly a problem remembering" to send the information out to the Chronicle.

[EDITOR'S NOTE: If our City Manager "cannot remember" to send out press information to ALL area press after over ten verbal and several written requests, one needs to question his ability to properly manage this City.]

Lou Bonagura began to address the Authority stating the his website, IronwoodInfo.com, has over double the readership of the Daily Globe... Before he could finish his sentence, the DIDA Chairman rudely interrupted Bonagura with a chuckle stating, "People read the National Enquirer too!"

The Chairman tried to misrepresent that the City Commission each year chooses an "official media" for the City. That doesn't mean that they have any "special rights" or "privileges" than any other media. That simply means that they will be used for advertising bid offers, special notices such as street parking, etc.

Steve Frank pointed out that the Ironwood Daily Globe recently wrote a "relatively nasty" letter to the Ironwood Township Council informing them that they were in violation of the Open Meetings Act because the Council didn't supply the paper with adequate packet information or notices of their meetings. Frank pointed out that all of the information requested should be posted on the City website to eliminate the entire problem.

The Chairman then attempted to say that I was requesting to have a DIDA agenda sent to the Chronicle. I corrected the Chairman stating that I never asked the Authority for anything -- I was merely pointing out the inequity of the situation.

"I mean, if you would like to request..." the Chairman interrupted.

I said, "Where's the fairness? Where's the equality?"

The Chairman barked back, "Jim! I'm not going to get into a heated discussion on this!"

I quickly pointed out that he was trying to put words into my mouth, and that I made no requests for the DIDA to take any kind of action whatsoever regarding the way the City treats our news service. [10:30]

The Chairman then attempted to "move on to other business." Steve Frank requested to speak.

"Hold on! Hold on!" Frank said, "I have one more thing under 'other business,' and I'm just going to respond..."

"There's no response that has to be taken from the board!" the Chairman yelled.

Frank quickly replied in disgust, "Okay... then it's a COMMENT! I think your letter was completely off base. You completely misinterpreted what Jim said. He had no intention of quoting international trade law to you. That's my comment to you... okay? You really missed the mark on that one!"

Frank went on to point out to the Authority that Paulsen Tire closed and St. Vincent's is soon to open, and he believes the Authority should keep up on what is actually going on downtown. [2:45]

UPCOMING MEETINGS RESCHEDULED

The Chairman proposed canceling the November and December meetings due to the Thanksgiving and Christmas holidays that occur around the same time as the DIDA meetings were originally scheduled. Steve Frank proposed pushing the meetings back instead.

The Authority agreed to have a combined November/December meeting on Thursday, December 4, 2008 at 8:00 AM. Blighted properties will be fully discussed at that meeting.

The meeting was then adjourned.

[AUDIO]