Koochiching County Board Minutes 8-9-05

Board Minutes

for

August 9, 2005

SPECIAL MEETING OF THE KOOCHICHING COUNTY BOARD OF COMMISSIONERS
Held on Tuesday, August 9, 2005; 10:25 a.m.

OTHERS ATTENDING: Einar Sundin, Jim Eberspacher, Kate Miller, Carol Clauson, Ann Scholler, Doug Grindall, Susan Congrave, Della Warren, Richard Lehtinen, Senator Tom Saxhaug, Larry and Elaine Beach; Reporter Laurel Beager

2005/08-01 Motion by Lepper, seconded by Briggs to approve the agenda with additions and deletions. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-02 Motion by Adee, seconded by Pavleck to approve the minutes from the July 26, 2005 special meeting. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-03 Motion by Pavleck, seconded by Briggs accepting the recommendation of the Personnel Committee to deny an employee’s request for a one year personal leave due to policy review finding the reason for the request an exclusion in policy and finding that the leave would not be in the County’s best interest. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-04 Motion by Lepper, seconded by Adee to approve payment of the Auditor claims in the amount of 23,513.93, authorizing Board Chair’s signature to the Auditor’s July vendor payment listing verifying its review and to approve payment of the monthly County Board expense claims in the amount of $5,615.32. Payment detail on file in the Auditor/Treasurer Department. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-05 Motion by Lepper, seconded by Adee accepting the recommendation of the License Committee granting a two-day On Sale 3.2% Malt Liquor License for August 20 and 21, 2005 to the Birchdale Softball Club for a softball tournament. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-06 Motion by Lepper, seconded by Pavleck that as fiscal agent for the Koochiching County Drug Court, to approve a contract with ProWest and Associates for Phase 2 of the conversion of the DUI/Substance Abuse Court database to a web-based system to allow the Drug Court access to drug court data as recommended by the Drug Court Coordinator (County Attorney has reviewed and approved the contract). Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-07 Motion by Briggs, seconded by Adee to defer concerns of the Convention and Visitors Bureau on private parties operating lodging facilities that may be in violation of various County regulations to the Planning Commission for review and recommendation. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-08 Motion by Adee, seconded by Pavleck accepting the recommendation of the Management Committee for an interim lease agreement from August 1 through December 31, 2005 with ODC for space in the NDAC building setting rent at $1,100 per month for this period to allow the new provider of Day Activity Center to establish their service plan with regards to utilization of the facility and their budgetary position including the per diem rate set for this service and with another meeting set with the provider in November to discuss a long term lease for utilization of the facility. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

000 The Board Chair appointed Commissioner Kallie Briggs to serve as the Board’s representative on the Minnesota Rural Counties Caucus Board as set in Board motion 2005/07-30 (alternate will be remaining Board members).

2005/08-09 Motion by Pavleck, seconded by Lepper to endorse the National Park’s Community Trust Survey of community members for the purpose of hearing what they have to say about the relationship between the Park and its neighbors and to learn what benefits from living next to Voyageurs National Park are important to them. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

000 The Board was informed that Kate Miller was officially appointed as Voyageurs National Park Superintendent.

2005/08-10 Motion by Lepper, seconded by Adee that upon direction from the Judge, authorizing payment from the 2005 Court Budget in the amount of $2,600.41 to Attorney Kimberly Wimmer for parent legal representation under a unique CHIPS (child protection) petition case with the understanding the Court will enter judgment for this amount against the parents for the County to seek cost reimbursement. Voting yes: Hanson, Adee, Lepper, Briggs; voting no: Pavleck. Motion carried.

2005/08-11 Motion by Lepper, seconded by Adee that upon direction from the Judge, authorizing payment from the 2005 Court Budget in the amount of $8,905.58 to pay Legal Aid Service of Northeastern Minnesota for representation of a parent in a unique CHIPS (child protection) petition case heard in the MN Appellate Court. Voting yes: Adee, Lepper, Briggs; voting no: Hanson, Pavleck. Motion carried.

000 Board acknowledged that with payment of the two above cases, the 2005 Court Budget will be over spent by September. Concern was again expressed with the County having expenditure obligations in the state court system without any funding or means of controlling expense.

2005/08-12 Motion by Lepper, seconded by Pavleck authorizing the cancellation of the following authorized work bills for 2003, 2004 and 2005 as recommended by the Highway Engineer: snowplowing for courthouse facilities, work at Littlefork Fairground, work at the Transfer Station, and curb removal at the Courthouse for a total sum of $21,674.34 (detail on file in the Highway Department). Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-13 Motion by Lepper, seconded by Briggs that be it resolved the County of Koochiching enter into an agreement with the Duluth, Winnipeg and Pacific Railway and the Commissioner of Transportation for the installation and maintenance of railroad crossing signals with gates, circuitry and LED’s at the intersection of County Road 98 with the tracks of the Duluth, Winnipeg and Pacific Railway in Ericsburg, Minnesota and appointing the Commissioner of Transportation agent for the County to supervise said project and administer available Federal Funds in accordance with Minnesota Statute, Section 161.36. The County’s share of the cost shall be ten percent of the total signal cost. Be it further resolved that the Koochiching County Board Chairman and Highway Engineer are hereby authorized to execute said agreement and any amendments thereto for and on behalf of the County. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

000 The Health Director reviewed the Department’s Quarter 2, 2005 financial and statistical report with the Board and provided the Board a list of restaurants and bars that are now smoke-free.

2005/08-14 Motion by Lepper, seconded by Adee to renew the Joint Powers Agreement for the Koochiching Family Collaborative for three years with no change as recommended by the Health Director and Collaborative Coordinator and contingent on the County Attorney’s review of the agreement. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-15 Motion by Lepper, seconded by Pavleck approving the Bond Purchase and Project Loan Agreement with the Minnesota Public Facilities Authority to lend $4,816,795 to the County for the construction of a wastewater pressure collection system to serve the Jackfish Bay area and further, authorizing the Board Chair and Coordinator’s signature to said agreement. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.

2005/08-16 Motion by Lepper, seconded by Briggs introducing the following Resolution and moving its adoption for authorizing the issuance and sale of a $4,816,795 General Obligation Revenue Notes, Series 2005, and providing for its payment:

BE IT RESOLVED by the Board of Commissioners (the “Board”) of Koochiching County, Minnesota (the “County”), as follows:

1.01. Recitals.
(a) Pursuant to the provisions of Minnesota Statutes, Sections 116A.01 through 116A.26 (the “Act”), the County established the East Koochiching County Sewer District (the “District”) in order to provide for wastewater collection and treatment within the District.

(b) Pursuant to the requirements of Section 116A.24 of the Act, the County appointed the Sewer Commission (the “Commission”) for the District to do all things necessary to establish, construct, operate and maintain one or more wastewater treatment and collection systems within the District (along with the Project described below, the “System”), to act as agent of the County in supervising the construction, improvement and extension of the System and in operating and maintaining the System as further set forth in Section 116A.24 of the Act, subject to the approval of the Board.

1.02. Findings.
(a) It is hereby found and determined to be necessary and in the best interest of the County, the residents of the County and the environment, that the County should issue its General Obligation Revenue Note, Series 2005 (the “Note”), pursuant to Minnesota Statutes, Chapter 475 and Section 116A.20 of the Act for the purpose of providing funds to construct a wastewater collection system to serve the Jackfish Bay area in the District (the “Project”).

(b) It has been determined that the sum of $4,816,795 will be needed in order to undertake the Project.

1.03. Note for Capital Improvements to System. It is further hereby found and determined to be necessary and in the best interest of the County and the residents of the County to sell and issue a general obligation revenue note of the County to the Minnesota Public Facilities Authority in the amount of $4,816,795 to finance the Project, all pursuant to Minnesota Statutes, Chapter 475 and Section 444.075, and subject to execution by the Authority and State of Minnesota of a project loan agreement as further described below.

1.04. Authorization of Issuance and Sale of Note.
(a) The County hereby authorizes the issuance and sale of its $4,816,795 General Obligation Revenue Note, Series 2005 (the “Note”), in substantially the form attached hereto as Attachment A for the purposes specified in Section 1.02A above to the Minnesota Public Facilities Authority (the “Lender”) pursuant to a Public Facilities Authority Bond Purchase and Project Loan Agreement between the Lender and the County and acknowledged by the Commission, in substantially the form presented to the Board and on file in the office of the County Coordinator (the “Loan Agreement”), which is hereby authorized and approved.

(b) The Note will be issued in strict accordance with the requirements of the Act and will be payable from special assessments levied or to be levied against property specially benefited by the Project, together with interest payable thereon (the “Special Assessments”) and from the net revenues from time to time received during the term of the Note in excess of the current costs of operating and maintaining the System, including maintenance of a reasonable operating reserve and necessary allowances for depreciation, from the establishment and collection of charges for connection to the System and for service furnished and made available by the System to any person, firm, corporation, or political subdivision or from any federal or state grant monies, or from any combination of these receipts (the “Net Revenues”), which, along with the Special Assessments, are in an amount necessary to pay the principal of the Note and the interest thereon as the same become due and payable.

2.01. Terms. The Note to be issued hereunder shall be dated as of the date of issuance, shall be issued in the principal amount of $4,816,795, in fully registered form and lettered and numbered R-1. Principal payments shall be made in the respective years and amounts set forth on Exhibit A to the Note.

2.02. Execution. The Note and the Loan Agreement shall be prepared for execution in accordance with the approved forms and shall be signed by the manual signature of the Chair and attested by the manual signature of the County Coordinator. In case any officer whose signature shall appear on the Note shall cease to be an officer before delivery of the Note, such signature shall nevertheless be valid and sufficient for all purposes, the same as if such officer had remained in office until delivery.

2.03. Note Register. The County will cause to be kept at its offices a register in which, subject to such reasonable regulations as the County may prescribe, the County shall provide for the registration of transfers of ownership of the Note. The Note shall be initially registered in the name of the Lender and shall be transferable upon the register by the Lender in person or by its agent duly authorized in writing, upon surrender of the Note, together with a written instrument of transfer satisfactory to the County Auditor/Treasurer, duly executed by the Lender or its duly authorized agent.

2.04. Delivery. Delivery of the Note shall be made at a place mutually satisfactory to the County and the Lender. The Note shall be furnished by the County without cost to the Lender. The Note, when prepared in accordance with this Resolution and executed, shall be delivered to the Lender by and under the direction of the County Auditor/Treasurer. Disbursement of the proceeds of the Note shall be made pursuant to the Loan Agreement.

2.05. Loan Agreement to Govern. In the event of an inconsistency between a provision of this Resolution and a provision of the Loan Agreement, the provisions of the Loan Agreement shall govern.

3.01. Covenants. The Commission has covenanted and agreed with the County, the Lender and with its customers that it will impose and collect just and equitable rates and charges for all use and for the availability of all facilities of the System at the times and in the amounts required to pay the normal, reasonable, and current expenses of operating and maintaining the System and to maintain a reasonable operating reserve, and also to produce Net Revenues which, along with Special Assessments, will be at least adequate at all times to pay the principal and interest due on the Bonds issued hereunder and on all other bonds heretofore or hereafter issued and made payable from said Net Revenues, and will operate the System and segregate and account for the revenues thereof as provided in this Section.

3.02. Sewer Fund.
(a) The Commission has agreed to place all charges described in Section 3.01 above when collected, and all money received from the sale of any facilities or equipment of the System in the Sewer Fund (the “Sewer Fund”) previously established by the Commission on behalf of the County.

(b) The Sewer Fund will be continued as a single fund administered by the Commission on behalf of the County and held to serve as a depository for all sums, including bond proceeds, tax levies, Special Assessments and Net Revenues received on account of the System.

(c) Except as provided in this Section, the Sewer Fund may be used only to pay claims duly approved and allowed for payment of expenses which, under generally accepted accounting principles, constitute normal, reasonable, and current expenses of operating and maintaining the System; to maintain such reasonable reserves for such expenses and other reasonable operating reserves as the Commission determines to be necessary from time to time; and as may otherwise be permitted by the Act. Sums required to make such payments and maintain such reserves, constitute the Net Revenues which are herein pledged and appropriated first to pay the principal of and interest when due on the Bonds.

(d) The depository bank selected by the Commission for deposit of the monies constituting the Sewer Fund is hereby deemed designated by the Board for purposes of Section 116A.24, subdivision 3(d).

3.03. Accounts Established. There are hereby created the following accounts: the 2005 State Public Facilities Authority Note Construction Account (the “Construction Account”) and the 2005 State Public Facilities Authority Note Debt Service Account (the “Debt Service Account”), which shall be separate, restricted bookkeeping accounts of, and held by the County.

3.04. Construction Account. Each disbursement of proceeds of the Note which is received pursuant to the terms of the Loan Agreement shall be credited to the Construction Account. Monies on deposit in the Construction Account shall be used from time to time to pay the capital costs of the Project, including but not limited to costs of planning, engineering, legal, financial advisory, and other professional services, printing and publication costs, and costs of issuance of the Note, as such payments become due. Upon completion of the Project, any amounts left in the Construction Account shall be transferred to the Debt Service Account.

3.05. Debt Service Account.
(a) The money in the Debt Service Account shall be used for no purpose other than the payment of principal and interest on the Note and other notes similarly authorized; provided, however, that if any payment of principal or interest shall become due when there is not sufficient money in the Debt Service Account, the Auditor/Treasurer shall pay the same from any other funds of the County and said funds shall be reimbursed for such advance from the Debt Service Account when a sufficient balance is available therein.

(b) The Commission has irrevocably appropriated to the Debt Service Account for payment of the principal of and interest on the Note: (i) the Net Revenues solely to the extent allocated to pay the principal of and interest on the Note when due, to the extent Special Assessments are insufficient therefore, the portion of such payments allocated to the Note shall be transferred to the Debt Service Account no later than the last business day of the month in which such payments are received, and (ii) all income and gain from investment thereof.

(c) The Board affirms the pledge of the Commission and further irrevocably appropriates to the Debt Service Account for payment of the principal of and interest on the Note:

(ii) all sums collected from the taxes, if any, extended and assessed under the
provisions of Section 3.07;

(iv) any funds remaining in the Construction Account after completion of the Project and payment of the costs thereof; and

3.06. No Tax Levy. The full faith and credit and taxing powers of the County are irrevocably pledged for the prompt and full payment of the principal of and interest on the Note, as such principal and interest respectively become due. However, the monies and payments appropriated to the Debt Service Account in Section 3.05 hereof are estimated to be not less than five percent in excess of the principal of and interest on the Note when due, and accordingly, no tax is levied at this time.

3.07. General Obligation Pledge. In the event the Special Assessments and interest thereon, Net Revenues and investment earnings thereon appropriated to the Debt Service Account in Section 3.05 hereof are insufficient to pay principal of and interest on the Note as the same become due, the County is required by law and by contract with the Lender and hereby obligates itself to levy and cause to be extended, assessed and collected any additional taxes found necessary for full payment of the principal of and interest on the Note.

3.08. Investments. Subject to the requirements of Section 7 of this Resolution, monies on deposit in the Construction Account and the Debt Service Account may, at the discretion of the Commission, be invested in any securities permitted by Minnesota Statutes, Chapter 118A and in accordance with resolutions of the County; provided, however, such investments shall mature at such times and in such amounts as will permit payments by the County for authorized purposes, when due.

Section 4. Registration of Note with County Auditor/Treasurer.
The County Auditor/Treasurer is directed to file a certified copy of this Resolution and such other information as the County Auditor/Treasurer may require in the records of the County, and to execute a certificate stating that the Note has been duly entered on the Auditor/Treasurer’s register. If any taxes are required to be levied under Section 3.07 hereof, the County Auditor/Treasurer will assess and extend such amount each year as may be required and certified by the Commission. The County Auditor/Treasurer will certify the assessed valuation of taxable property within the District each year, and may each extend and assess the full amount of the taxes to be levied that the Commission computes and certifies to the County Auditor/Treasurer.

5.01. Official Proceedings. The officers of the County are authorized and directed to furnish to the Lender certified copies of proceedings and information in their official records relevant to the authorization and issuance of the Note and the execution and delivery of the Loan Agreement, and such certificates and affidavits as to other matters appearing in their official records or otherwise known to them as may be reasonably required to evidence the validity and security of the Note, and all such certified copies, certificates, and affidavits, including any heretofore furnished, shall constitute representations and recitals of the County as to the correctness of all facts stated therein and the completion of all proceedings stated therein to have been taken.

5.02. Absent or Disabled Officers. In the event of the absence or disability of the Chair, the County Coordinator or the Auditor/Treasurer, such officers or members of the Board as in the opinion of the County’s attorney may act in their behalf shall, without further act or authorization, execute and deliver the Note, and do all things and execute all instruments and documents required to be done or executed by such absent or disabled officers.

Section 6. Covenants. The Board covenants and agrees and the Commission has covenanted and agreed with the holders of the Note that so long as any payments under the Note remain outstanding and unpaid, they will keep and enforce the following covenants and agreements:

(a) They will at all times adequately maintain and efficiently operate the System as a municipal utility in accordance with the Act. They will from time to time make all needful and proper repairs, replacements, additions and betterments to the equipment and facilities of the System so that it may at all times be operated properly and advantageously, and whenever any equipment of the System has been worn out, destroyed or otherwise becomes insufficient for proper use, it must be promptly replaced or repaired so that the value and efficiency of the System will be at all times fully maintained and its revenues unencumbered by reason thereof.

(b) They will not sell, lease, mortgage, or in any manner dispose of the System or any part thereof including any and all extensions and additions that may be made thereto until all obligations payable from the revenues of the System or a part thereof have been paid in full or will be paid in full from the proceeds of such sale. This covenant may not be construed to prevent the sale of the System at fair market value of real estate, equipment or other non revenue producing properties which in the judgment of the Commission have become unnecessary, uneconomical or inexpedient to use in connection with the System provided that suitable facilities are obtained in place thereof or in the judgment of the Commission the sale will not adversely affect the System earnings or ability to meet required financial obligations.

(c) They will procure and keep in force or cause to be procured and kept in force insurance upon the System of a kind and in an amount which would normally be carried by private companies in a like business, including public liability insurance, with an insurer or insurers in good standing; and they will keep in full force and effect fiduciary bonds on employees in charge of the System. In the event of any loss, the proceeds from such insurance (including liability insurance) or bonds must be used to make good such loss or to repair or restore the System or to discharge all of the Note in accordance with this Resolution. Insurance premiums may be paid as a cost of operation.

(d) They will cause to be kept proper books, records and accounts adapted to the System separate from other accounts to be audited by a certified public accountant at the end of each fiscal year. The expense of preparing such audit may be paid as current operating expenses of the System. The Lender, or its duly appointed representatives, from time to time has the right at all reasonable times to inspect the System and to inspect and copy the books, records, accounts and data relating thereto. The County agrees to furnish copies of such audit, without cost, to the Lender in accordance with the requirements of the Loan Agreement.

(e) They will faithfully and punctually perform all duties with reference to the System required by the Constitution and laws of the State of Minnesota, the Act and this Resolution.

(f) They will grant no franchise to any competing utility if denial of such a franchise is not in violation of any law.

Section 7. Tax Covenants.
7.01. Covenants with Respect to the Lender’s Bonds. The County agrees to cooperate with the Lender as necessary to maintain the tax-exempt status of any bonds issued by the Lender either to fund the Note or which are secured by the Note (the “Bonds”). The County specifically agrees:

(a) Any sums from time to time held by or under the control of the County which would constitute “gross proceeds” of the Bonds (“Gross Proceeds”), as defined in the Internal Revenue Code of 1986, as amended, and the regulations in effect with respect thereto (the “Code”) shall not be invested at a yield in excess of the applicable yield on the Bonds. Disbursements of proceeds of the Note shall not be reinvested by the County. In addition, said Gross Proceeds shall not be invested in obligations or deposits issued, guaranteed or insured by the United States or any agency or instrumentality thereof if and to the extent that such investment would cause the Bonds to be “federally guaranteed” within the meaning of Section 149(b) of the Code.

(b) The County hereby covenants not to use the Project or to cause or permit it or any of it to be used, or to enter into any deferred payment arrangements for the cost of such Project, in such a manner as to cause any Bonds to be “private activity bonds” within the meaning of Sections 103 and 141 through 150 of the Code.

(c) With respect to any Gross Proceeds, the County shall comply with requirements necessary under the Code to establish and maintain the exclusion from gross income under Section 103 of the Code and the interest on any Bonds, including without limitation requirements relating to temporary periods for investments, limitations on amounts invested at a yield greater than the yield on the Bonds, and the rebate of excess investment earnings to the United States.

(d) The County shall comply with such instructions as may be provided from time to time by the Lender with respect to gross proceeds of Bonds.

7.02. Covenant Regarding Tax-Exempt Status of the Note. The County covenants and agrees with the Lender that the County will (i) take all action on its part necessary to cause the interest on the Note to be exempt from federal income taxes including, without limitation, restricting, to the extent necessary, the yield on investments made with the proceeds of the Note and investment earnings thereon, making required payments to the federal government, if any, and maintaining books and records in a specified manner, where appropriate, and (ii) refrain from taking any action which would cause interest on the Note to be subject to federal income taxes, including, without limitation, refraining from spending the proceeds of the Note and investment earnings thereon on certain specified purposes.

7.03. Covenant as to Yield Restriction. No portion of the proceeds of the Note shall be used directly or indirectly to acquire higher yielding investments or to replace funds which were used directly or indirectly to acquire higher yielding investments, except (i) for a reasonable temporary period until such proceeds are needed for the purpose for which the Note was issued, and (ii) in addition to the above, in an amount not greater than the lesser of five percent of the proceeds of the Note or $100,000. To this effect, any proceeds of the Note and any sums from time to time held in the Debt Service Account (or any other County account which will be used to pay principal and interest to become due on the Note) in excess of amounts which under the applicable federal arbitrage regulations may be invested without regard as to yield shall not be invested at a yield in excess of the applicable yield restrictions imposed by the arbitrage regulations on such investments after taking into account any applicable temporary periods or minor portion made available under the federal arbitrage regulations.

7.04. Arbitrage Rebate Exemption. For purposes of qualifying for the small-issuer exception to the federal arbitrage rebate requirements, the County hereby finds, determines and declares:

(b) the Note is not a “private activity bond” as defined in Section 141 of the Code;

(d) the aggregate face amount of the tax-exempt obligations (other than private activity bonds) issued by the County during the calendar year in which the Note is issued is not reasonably expected to exceed $5,000,000, all within the meaning of Section 148(f)(4)(D) of the Code.
7.05. Bank Qualified Obligations. In order to qualify the Note as a “qualified tax-exempt obligation” within the meaning of Section 265(b) (3) of the Code, the County hereby makes the following factual statements and representations:

(a) the Note is not a “private activity bond” as defined in Section 141 of the Code;

(b) the County hereby designates the Note as a “qualified tax-exempt obligation” for purposes of Section 265(b) (3) of the Code;

(c) the reasonably anticipated amount of tax-exempt obligations (other than obligations described in clause (ii) of Section 265(b) (3) (C) which will be issued by the County (and all entities whose obligations will be aggregated with those of the County) during the calendar year in which the Note is issued will not exceed $10,000,000; and

(d) not more than $10,000,000 of obligations (other than certain qualified refunding obligations, which are not taken into account) will be issued by the County during the calendar year in which the Note is issued have been designated for the purposes of Section 265(b)(3) of the Code.

Voting to adopt the Resolution: Hanson, Adee, Lepper, Briggs, Pavleck. Whereupon, said Resolution was declared duly passed and unanimously adopted.

000 Senator Tom Saxhaug met with the Board to provide an overview of the 2005 Legislative Session. Out of the regular session the bonding, higher education and public safety bills were passed but no agreements were reached on health and human services, education, tax, agriculture and transportation bills that were satisfactory to rural Minnesota and thus the body went into special session. Though the final deal in special session was based on monetary targets, he felt the special session provided more for rural and northern Minnesota than anything brought forth in the regular session. MN Care was restored, more money was provided for education, aid to local units of government was restored, and the passage of legislation giving relief to counties north of Highway 2 on DNR ATV trail designations. Though no movement was made this year on the Clean Water Legacy Act, the Senator believed any funding for this initiative will be sought from general revenue and not as a fee on properties. No agreement was reached on a transportation bill in this session and will be up for discussion again in the 2006 session (session will start in March 2006). The Senator reviewed legislation which stripped away counties approval of DNR’s designation of SNA lands with compromised language that counties have a 90 day period to approve or disapprove the designation in which the DNR would take to the Land Exchange Board for further consideration. The Board thanked the Senator for his hard work in fighting for northern Minnesota’s needs.

000 The Board Chair called for public comment at 12:05 p.m. Elaine Beach informed the Board she received notice from the County Attorney stating Minnesota Statute that it is lawful for any surveyor to enter upon any land for the purpose of locating surveying reference monuments/landmarks and putting the property owner on notice that on August 10 County surveyors will enter their property for this purpose. She provided a copy of the MN Statute quoted in the letter which gave no reference to this lawful entry. She felt they have been improperly notified. Larry Beach stated that property owners were not aware that an easement was also needed around the grinder pump and again stated that property owners should be paid for their easements before the County assesses their property for the sewer. He stated that property owners are willing to negotiate rather than go to court for their easement costs. With no other comment, the Board Chair closed public comment.

2005/08-17 Motion by Adee, seconded by Briggs to adjourn the meeting at 12:12 p.m. Voting yes: Hanson, Adee, Lepper, Briggs, Pavleck. Motion carried.