ELY— Taxpayers here may need to dig a little deeper next year after the city council, minus the absent Paul Kess, unanimously approved a preliminary 2023 levy of $2.117 million, a 7.06 percent increase over 2022. The proposed levy includes $1.454 million in the city’s general fund, $371,400 in the library fund, and $292,300 to cover bonded debt.
Council member Al Forsman, who serves on the budget committee, said the committee did what it could to “sharpen the pencil” during budget talks. At the same time, he said the city was facing cost increases that were beyond its ability to control. “We just have to adjust for them,” he said.
Mayor Roger Skraba acknowledged that the proposed levy increase is high but held out some hope for lowering it, perhaps to the four-to-six-percent range when the council sets its final levy in December.
“There are very few places in the budget where we can cut, and one of them might be in the capital improvements budget, which might mean that we don’t have a project next year,” said Skraba. He also urged the public to weigh in on the issue ahead of the December deadline.
Clerk-Treasurer Harold Langowski noted that the city still faced some budget uncertainty because they won’t know their final health insurance premiums for its employees until later in the fall.
Under state law, cities must set their preliminary levies by Sept. 30. While cities can reduce their levies when they set the final number in December, they can’t increase them above the level set in September. That’s why many councils give themselves a bit of a cushion on their preliminary levy.
The council took their levy action after opening the meeting with a moment of silence in remembrance of Keith Vandervort, the Timberjay’s Ely editor, who died unexpectedly on Aug. 26. Vandervort had regularly covered the Ely council for just shy of ten years and was well-respected for his fair and accurate reporting. Mayor Roger Skraba said he always enjoyed Vandervort’s company.
In other business, the council gave its approval to an easement for the new utility lines at the Ely schools. Langowski said the new utilities will include new water lines to both the elementary and high schools, and a new sewer line to the elementary. Langowski said the city was able to receive a federal EPA grant and additional funding from the Department of Iron Range Resources and Rehabilitation to help pay for the city’s share of the work.
“We will maintain the water and sewer in that area. The school will then maintain their services that tie onto those mains and go into the buildings. It’s very similar to what we do everywhere else in town.”
Councilors briefly discussed progress on the school renovation and noted that paving of the parking lot should be completed by the end of the week, presumably in time for the planned start of school next week.
The council also approved a development agreement with Razor Edge Systems for the renovation and finishing of a building located at 1625 E. Camp, which the company is updating as part of a business expansion. The city is serving as the fiscal agent for IRRR funds that will be used to pay for a portion of the facility upgrade. Skraba lauded the company for expanding in Ely, creating more jobs in town.
In other action, the council:
• Approved providing city worker support for the Harvest Moon Festival, set to get underway on Friday, Sept. 9 and running through Sunday at Whiteside Park.
• In response to a comment from Skraba on the need for housing, heard from Langowski that the city’s HRA is looking at a market rate housing project if they can find a grant source to help bring the debt service down to an affordable level. Council member Angela Campbell said there are at least 25-30 people on a waiting list for new housing in Ely.
• Approved the rezoning of an approximately one-acre, parcel located on the west side of Hwy. 1, just south of Sheridan St., from R-1 to C-2. The property is owned by Keith Singery.
• Heard that the Board of Adjustment approved a conditional use permit for Steger Designs to construct an additional building on property where an existing covenant did not allow another building.
• Approved a numbering system at the cemetery based on the recommendation of the Cemetery Committee.
• Approved a HeatShare contract with the Salvation Army and urged residents who might need help with their heating bills this winter to sign up early since funding could go quickly with the high cost of heating fuels.
• Approved installing two live-streaming cameras in downtown Ely, based on the recommendation of the Telecommunications Advisory Board. The cameras, which will cost $3,116 for the equipment, installation, and programming, will be purchased from Custom Theaters in Ely.
• Approved the library assistant job description to be forwarded to AFSCME for review and consideration.
• Heard from fire chief Dave Marshall that the city’s new used pumper was delivered on Aug. 30. He said the truck needed detailing and equipping before it is placed into service.
• Heard from City Attorney Kelly Klun that a residential rehab loan on property on E. James is on hold over title issues. The requestor of the loan holds a contract for deed, which might not protect the city in the event the current owner fails to make good on the contract. Councilors urged Klun to try to resolve the issue to allow the repairs, which include a new roof and water heater, to go forward.
• Approved the purchase of a small city-owned lot by Daniel Krings for the construction of a garage.