No Censure of DIDA Leadership: Chairman Goerig Resigns

IRONWOOD, MI - by Keri Singleton - Friday, June 25, 2010 - The regular meeting of the DIDA (Downtown Ironwood Development Authority) was held Thursday, June 24, 2010, at 8:00 AM, in the Women's' Club Room in the Memorial Building, downtown Ironwood, Michigan.

The meeting was called to order on time by DIDA Chair George Goerig. Present: Joe Karius, George Goerig, Rick Tippett, William Penrose, Eva Smith-Furgason, Jim Albert, and Gail Johnston. Excused: Mayor Bob Burchell and Corey Gresham.

All in favor to approve the June 10, 2010 Re-Scheduled Regular Meeting Minutes.

Approval of the Docket.  George Goerig, Chairman, added Corey Gresham’s resignation to the docket under 6A.

All in favor to approve the docket.

Citizens wishing to address the Authority on Agenda Items (3 Minute). Citizen Lou Bonagura stated that he would like to speak on item 11.

George Goerig said Corey Gresham resigned and said he appreciates being on the board. Joe Karius said the Authority should send Corey a letter thanking him for his service. The motion was seconded, and passed unanimously.

Update on Unused Budgeted Funds. Julie Frederickson, City Treasurer, gave a presentation to the Authority, which covers through the month of May. Julie said that the revenues are $17, 050, and a little over $8,000 has been spent so far. The high balance, Julie said, is due to last year’s vote by the Board to put $5,000 of the fund balance into this year’s budget for a project to do with the Blue Print. Jim Albert asked what percentage of Dan’s salary came out of DIDA budget, to which he was told nothing. The only salary in the budget is for Jane Bowman, City Clerk. Jim was told Dan’s unused salary would go into the general fund.

Festival Ironwood Request. Will Corcoran gave an update, saying that the big change will be the Festival ending Saturday. There will also be a cook-off. There was a motion to donate $500.00 to Festival Ironwood towards the cost of a dance. The motion was seconded, and opened for discussion, to which Jim Albert questioned the legality of the donation. He said that the Festival is a good thing, but the DIDA is on a limited budget. Bill Penrose said that it would help out downtown as far as bringing people to downtown. Jim Albert said while he is no lawyer, he doubts it’s legality. Lengthy discussion ensued, and Will Corcoran said that in the past the donation was used for Friday night activities.

City Manager said that Festival Ironwood is something many communities wish they could do. He said it is important to support Festival Ironwood. Joe Karius said that it falls under advertising budgeting. A motion was made by Gail Johnston to allow the organizers to use the donation as they see fit. Eva Smith-Furgason asked that it be amended to include credit being given to DIDA by something visible at the event. Will aid that signs will include credit to DIDA, within two weeks of the event.

All in Favor. Passed.

Update on Grant Application. City Manager Scott Erickson said that more grant funding was included than expected, according to Cathi Cole from downstate, leading them to modify the original proposal, which then went back to Cathi Cole. Scott said Cathi requested more clarification on the language was requested. He said they expect over $600,000 in grant money, and $90,000 in matching money. Scott said they will be working on bid packages for downtown. Scott said if the group is interested in a day tour to Minneapolis for a day tour, to look at their streetscaping, that can be coordinated. Jim Albert said that Calumet’s website shows how that city made improvements under a four-year plan. He said that Steve Frank has the website cached his computer, readily available. Jim asked if it could be shown; to which Chairman Goerig stated it is not an agenda item. Jim went on to say that it had to do with some ideas for the grant application. He was told by George that it would require an audience. Mr. Karius said it might be easier for people to look it up on their own computers. Scott Erickson said that the pictures, and other input as far as downtown improvements, could be the focus of a special meeting. Scott said once the grant money comes, they will really want to focus on getting some projects done. Scott said that a special meeting will help when it comes to doing bid packages also.

Eva Smith-Furgason asked for clarification in regards to the grant application. She asked if it had been submitted to Cathi Cole’s board. City Manager Scott Erickson said Cathi Cole requested some additional information, in regards to clarification of language, then will be submitted to her board, which meets every two weeks. Scott said providing it comes back with the hoped for approval, they can put together bids. Scott said he doesn’t believe a formal acceptance of the grant will be needed by the Ironwood City Commission, but he will verify it. Jim Albert asked if it was a concern that they haven’t done an update, to which Scott said it wasn’t a concern in regards to the grant at all. Scott said the update had to be done as part of the Blueprint process; however, it should not be an issue with the grant.

Discussion of Annual Blueprint Benchmarks. Jane Bowman told the group that they had a copy of the benchmarks written by Dan Peterson in the grant application, and also on what Hyatt-Palma had; saying she thinks they should focus on what Dan wrote in February, which included 15 items to address.

Chairman George Goerig said he believed everybody was supposed to bring back items in regards to what they report out. Eva said she didn’t believe that they voted on that agenda item. George said he had his information, in regards to implementing the Blueprint. George said they had 4 new businesses open: 1 meat market, 1 take-out food establishment, 1 beauty shop and one small manufacturing retail shop. George said that these places created approximately 70 jobs. He said they had two business closures; both tattoo shops. The tattoo places, he said, were one-man operations. George said they gained approximately 5 new jobs in the downtown area. George said there was no change in the vacant or occupied office space, that he is aware of. No noticeable change in residential space. George said the total number of retail businesses in Ironwood, in the downtown district is approximately 44. He said the district had one real estate change since implementing the blue print program. While there were no new buildings created in the district, one blighted structure was razed by as a result of a joint effort by the City of Ironwood, Ironwood’s DEA, and Gogebic County. One single-family dwelling was also razed in the district. Jim Albert added that The Serenity Center has also opened, which is a drop-in center for mental health patients. The Center employs 3 or 4 people.

Eva Smith-Furgason asked if there was a current retail number, to which George said yes. Lengthy discussion ensued; regarding the methodology used to arrive at the current statistics regarding the downtown space usage, and non-usage. Smith-Furgason pointed out that for the benchmarks to be accurate, the information has to be current, and the same methodology that was used before has to be used again, or corrected, to maintain continuity. Eva proposed a committee be formed to deal with this issue. Bill Penrose concurred, saying perhaps the new Merchant’s Association that was formed could help deal with this issue. Joe Karius said that the issue seems to be one for the DIDA and City Staff, which would include a Community Development Director, which they don’t have as of now. Joe said he has no objection to having a committee ready, to be ready to work with the new Community Development Director.

Scott Erickson said he will work on finding out from Dan Peterson how he arrived at the statistics for the businesses in the report.

Eva Smith-Furgason made a motion for City Staff to outline on each one of the items listed, how the figure was arrived. The motion was seconded, and passed unanimously.

Update of Blueprint Action Plan. a. Update on Style and price of downtown benches. Eva Smith-Furgason said that she received notes from the previous committee in regards to the benches. She said the goal is for something durable, and something to meet the requirements of the Blueprint Plan and look historic. Bill Penrose has contacts regarding casting and prices, and is waiting on more information. Discussion ensued involving bench styles, prices, and whether or not they have to go out for bids. Joe Karius said that the planters and garbage receptacles will have to match the benches. It was decided to have the committee meet and then report back to the DIDA. Eva said that the Blueprint calls for story placement, which basically says you exist. She produced a magazine which featured a local business, Randall’s, which has been in the magazine four times. Smith-Furgason said that story placement needs to be done for the good of the city.

Consider Action On Censuring DIDA Member. Jim Albert spoke, saying that it should say, “Members.” Jim went on to produce a list of instances that have happened since George Goerig assumed office. The things on the list included: last meeting’s docket never being approved, Mr. Karius and Mr. Goerig laughing at people and insulting them, trying to remove Eva Smith-Furgason for talking to the City Commission, and flip-flopping on decisions to support the SISU Ski Race. Jim also said that he and Steve Frank have been stopped from addressing the Authority or answering Authority members questions at meetings. Also included in the allegations was the fact that Mr. Karius did everything in his power to stop the Superior Chronicle, (Mr. Albert’s online newspaper), from operating. Jim said that Steve Frank left meetings due to Jim not being able to talk.

Jim Albert expressed his desire to work together, only to be rebuffed, and encourages everyone to read the list. George told Jim to make a motion, as his back was giving him trouble to sit. Jim Albert made a motion to censure Mr Karius and Mr. Goerig. He said some disciplinary action should be taken; although he was not sure what the discipline should be. Eva Smith-Furgason seconded the motion for purpose of discussion.

Eva mentioned one item on Jim Albert’s list: violation of the open meetings act on at least three occasions. Eva mentioned an audience member not being allowed to speak under other business, and said that while she doesn’t know if that is worthy of censure, steps should be taken to make sure that members of the public are allowed to speak, if they choose. Rick Tippett and Gail Johnston said that the incidents spoken of happened before their time. George Goerig said that other business is for the Board to deal with issues not on the agenda, not for public comment. The motion to censure the Vice Chairman and Chairman was made by Jim Albert, supported by none. Motion Failed.

Citizens Wishing To Address the Authority on Items Not on the Agenda. Lou Bonagura, citizen, said in essence that censuring and recalling is a pretty serious matter and it shouldn’t be used for hypocritical or self-serving purposes.

Citizens Wishing to Address the Authority on Issues Not on The Agenda (3 minute limit). Citizen Steve Frank said, “The open meetings act actually says that you have to allow public comment under rules that are established by the Board or Commission. Those rules you have established is your agenda.” Steve said that the rules cannot be changed in the middle of the meeting. Steve also asked if the update to the blueprint was due in May, one year after the plan was approved and accepted by the DIDA; or December, the end of the year.

Jim Albert said he doesn’t see why simple questions cannot be answered.

Lou Bonagura spoke in behalf of his experience with Calumet. He said Calumet is his ideal city plan. He doesn’t know if the blueprint has the discipline needed for the city plan. He said, in conclusion, that he hopes when the Blueprint Plan recommends this or that, that it doesn’t preclude the members of this Authority from using their own intelligence and their own better judgement, when it comes to our town.

Other Business. Smith-Furgason said she’s like to address Lou’s comment. She said while she doesn’t believe anyone there considers this plan to be a silver bullet, it is plan to help them address downtown. She said she’s sure that no one thinks the town will become vibrant overnight; and that’s why it’s a 5-year plan. Eva said that they are doing their best to address all of the issues that are presented to them, and they could use volunteers. Volunteers could be used for story placement; and volunteers could be used from other community organizations. She expressed the need to work together. Jim Albert said that Calumet has a good web presence, and many events that draw people. He said those things can be done here in small steps.

Eva asked about the Authority’s website, saying it is part of the blue print plan. She said money was left in promotions and marketing. Scott Erickson said that would be a task for the Community Development Director, who has not been hired yet. Jim Albert asked that time to view other cities via website be added to the next meeting’s regular agenda. Bill Penrose said that he would stay on the bench committee until it is finished; even though this is his last DIDA meeting. It was agreed that he could.

Meeting Adjourned.

Keri Singleton

EDITOR'S NOTE: Following yesterday's meeting, Chairman George Goerig informed me that he turned in his resignation from the DIDA. There are currently four openings on the Authority. Eva Smith-Furgason's and Bill Penrose's terms have expired. Corey Gresham and George Goerig resigned today. Smith-Furgason has reapplied for the Authority, and she will, more than likely (if tradition means anything), be reappointed -- leaving three open seats. Monday's City Commission agenda states that "Mayor's Appointments" will take place. Whether or not DIDA positions will be filled remains to be seen.

Mr. Goerig's resignation letter reads as follows:

June 24, 2010

City of Ironwood
213 S Marquette St.
Ironwood MI 49938

Mayor Bob Burchell

Please accept this letter as my resignation from the Downtown Development Authority effective immediately. Mayor Burchell because of your inept appointment of Jim Albert to the Downtown Development Authority, I feel that you have negatively impacted the hard work and positive direction that the board has made over the last year of implementing the Blue Print Program. Mr. Albert has not only disrupted meetings as a private citizen, to the point where a public safety officer had to be present at DDA meetings because of his violent and inappropriate out bursts. Mr. Albert has now disrupted two of the three meeting he has attended as a board member by insisting that the board discuss matters inappropriate and outside of the realm of the boards authority. It is very disturbing that you have no respect for the Downtown Development Authority by making such an appointment.

George Goerig

Thanks George! I love you too! So let me get this straight... you don't approve of my appointment? If anyone wishes to hear how "disruptive" I've been at DIDA meetings, I encourage them to listen to the posted audio files. I'm sorry I had the nerve to ask that the DIDA treat people with dignity. I'm sorry I insisted that we spend the Downtown Business District tax dollars wisely. I guess it's best to continue to waste the DIDA's limited budget on things that do nothing to improve the downtown or to help the downtown businesses.

By the way, maybe you think it's not a DIDA matter that you, as Chairman of the DIDA, is actively trying to recall two City Commissioners. I think it's very much a DIDA matter. In the time wasted discussing whether or not the issue was something the DIDA should consider, the matter could have been resolved by simply discussing it.

Over the years, how many important issues were never discussed because the leadership decided they were not "DIDA matters?" Let me remind you of a few: (1) The Miners' Memorial Heritage Park, which could become a huge attraction to the entire Ironwood area; (2) the Hiawatha Area Clean-Up, who cares if the downtown's biggest tourist attraction is littered with filth; and (3) Downtown Parking during the SISU, a race that was endorsed by the DIDA, bringing in over 500 visitors to the downtown.

If you ask me, I think each of these issues are much more important than some of the matters the leadership believed worthy of debate: (1) Downtown pigeon poop; (2) "pee" maps for the downtown businesses; and (3) purchase of budgeted items such as postage, envelopes, and stationery.

Jim Albert