ELY - A multi-million dollar expansion project begins later this month that will double the space used by the Veterans Affairs Community Medical Clinic at the city-owned “Sato” building in the Ely business park on Miner’s Drive.
Work on the $2.8 million project could be completed by the end of next summer, according to Clerk-Treasurer Harold Langowski, who provided a recent update to the Ely Economic Development Authority.
Langowski represented the city late last month in design work and project discussions with the architects and contractor, and VA officials approved the majority of the design work. He anticipated the VA would grant final approval this week on the building addition that would increase the clinic’s capacity to 7,450 square feet.
“It was a good process and I’m glad I went,” Langowski said. “We were able to, in real time, revise the drawings, and the designer, who was based in Colorado, was able to take every revision we discussed before lunch and have the (new) drawings available after lunch.”
Langowski related several “stumbling blocks” in moving the project forward.
“Materials gathering is seemingly a little difficult. Even with lumber, the pricing has gone up for trusses and those sorts of things,” he said.
The city is completing an infrastructure grant application to the Department of Iron Range Resources and Rehabilitation to help pay for required site improvements.
“Our hope is to be under construction for the site utilities in September, building construction in October, and have it all dried in before winter sets in so then the carpenters can work on the inside throughout the winter,” Langoski said. “Late next spring we want them to occupy the new space and then we will remodel the existing space so we are complete some time next August. It is a pretty busy schedule.”
The medical clinic expansion project comes with the VA agreeing to a ten-year lease with the city earlier this summer that could be extended for an additional ten years, according to Langowski.
“We will finance the (expansion) project and be paid by the VA at occupancy and over the first ten years of the term to pay for the financed improvements.”
With the 3,500 square-foot expansion, new medical services will be available for the area’s many veterans.

Other business
Langowski provided an update on the West End Development and Trailhead project.
“A lot of work has occurred in the last month,” he said. “The paving is done. We have a little bit of concrete work left. The (grass) seeding and erosion control is done.”
He said the new Fifth Avenue West access off Hwy. 169 remains closed until traffic control signage is installed.
A grand opening is in the works to coincide with the state ATV association event planned for Sept. 18-20 in the area. Mayor Chuck Novak noted that prior to a VIP ride, slated for Friday, Sept. 18, a ribbon-cutting event could be held.
“I know that state Sen. Tom Bakk and state Rep. Rob Ecklund could make that. We can have the city council here, hospital officials, HRA members and invite all the committee members of the state bonding committee,” Novak said.
The state invested more than $1.3 million on the project.
Langowski reported that the downtown high-speed fiber project continues to advance. The lease agreement and construction agreements are signed, he said.
“We are receiving fiber material on a weekly basis. There are some long lead times on some of the materials and we are still waiting for all that to come in,” he said.
Langowski estimated that fiber service could be offered sometime in the first quarter of 2021.
“It is very important when we start marketing this that we can deliver on the dates that we tell people. We have seen in the past when other promises did not come true, and we don’t want to fall into that category.”