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Serving Northern St. Louis County, Minnesota

Area winners in new IRRRB funding plan

Tom Klein
Posted 5/20/15

REGIONAL – Several area projects — including a business park expansion in Ely, improvements for the Scenic Rivers Clinic at the Tower-Soudan Elementary School and a new emergency services …

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Area winners in new IRRRB funding plan

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REGIONAL – Several area projects — including a business park expansion in Ely, improvements for the Scenic Rivers Clinic at the Tower-Soudan Elementary School and a new emergency services building for the Lake Vermilion Fire Brigade — were approved for funds from the Iron Range Resources and Rehabilitation Board on Tuesday.

Ely Mayor Chuck Novak said Ely’s business park is running out of room and needs to expand. “We’re in the process of developing the last lot left in the business park,” he said. “We need to expand so we can draw more businesses to Ely and attract more jobs.”

The $200,000 allocated by the IRRRB on Tuesday is a start on what Novak says is a $1.8 million to $2 million project. The city also is applying for funds from the Department of Employment and Economic Development and will attempt to get the project included in a state bonding bill next year.

Cook received IRRRB funds for two projects. The city will get $200,000 for a new emergency services building for the Lake Vermilion Fire Brigade and is also receiving $50,000 for a community center being built at the Doug Johnson Recreation Area.

The Lake Vermilion Fire Brigade needs the emergency service building to house equipment and boats, said Cook City Administrator Theresa Martinson. The city is serving as fiscal agent for the brigade.

Meanwhile, volunteers who have been raising funds and working on the community center for nearly five years were elated by the news that their project would receive $50,000.

“Now we have enough to finish the job,” said Greg Burckhardt, who said the funds will pay for materials and some professional services required to complete construction of the building.

Tammy Palmer, who has been one of the driving forces behind the project, said the center, which will serve as both a community and youth center, could be finished ideally this summer.

“This is just great news,” she said.

Scenic Rivers Health Clinic also benefitted when the IRRRB allocated $140,000 for the addition of a handicapped ramp and paving for parking at the Tower-Soudan Elementary School. The funds for the project will come from interest generated by the $4 million Highway 1 fund designated for economic development projects.

Mike Holmes, CEO of Scenic Rivers Health Services, said the ramp will make access to the clinic easier for patients with disabilities and the clinic also needed better parking spaces.

“We’re excited to get this funding and continue our development of our clinic at the school,” said Holmes.

State Rep. David Dill, who chairs the IRRRB, said the communities did most of the heavy lifting to make these projects happen.

“If it wasn’t for the volunteers who donated their skills, time and other contributions, these projects wouldn’t have happened,” said Dill.

Overall, more than $1.6 million in public works projects were approved including $300,000 for Phase II of the Joy Global epansion project in Virginia, $300,000 for a new housing development in Hibbing and $150,000 for a new town hall in Nashwauk.

The IRRRB also approved a $33.15 million fiscal year 2016 budget. IRRRB Commissioner Mark Phillips said the budget is focused on the agency’s new development mission.

“I am pleased that over half of the proposed budget is dedicated to development projects and programs,” said Phillips. “This funding reflects our commitment to investing in a better future for northeastern Minnesota.”

Development projects and programs account for 51 percent of the agency’s spending while funding for Giants Ridge is 29 percent and operations make up 21 percent.