REGULAR MEETING OF THE KOOCHICHING COUNTY BOARD OF COMMISSIONERS
Held on Tuesday, June 19, 2007; 9:30 a.m.

MEMBERS PRESENT: Commissioners Lepper, Hanson, Adee, Briggs, Pavleck

MEMBERS ABSENT: None

OTHERS IN ATTENDANCE: Senator Tom Saxhaug, Representative Tom Anzelc, Mitch Berggren, Doug Grindall, Richard Lehtinen, Rod Otterness, Jim Miggins, Einar Sundin, Jack Walls, Terry Randolph, Jack Murray, Mayor Shawn Mason; Reporters Lisa Kaczke and Jerry Franzen

000 The Board Chair opened the meeting to receive a post 2007 legislative session report from Senator Saxhaug and Representative Anzelc. Representative Anzelc reported that by this Friday they expect an announcement as to whether a special session will be held and if so, it is anticipated it will be a one day session to handle the tax bill only. The County did receive $400,000 for funding the feasibility study for the Plasma Gasification Project, noting that $2.5 million of project funds are already reserved for the project from the 2006 legislative session. Northome received state dollars for the replacement of their municipal building and library and that they are supporting efforts for development opportunities in their industrial park. Support is being provided in the 2008 bonding bill to assist with funding the NPS Headquarters and Interpretative and Historical Center Project. Looking forward to the 2008 legislative session, which will start on February 12, 2008, the priorities will be funding for school districts, improve the nursing home reimbursement rates, with focus on a rate adjustment for the Good Samaritan Center located in International Falls. Senator Saxhaug first stated that the northern counties are very supportive in their legislative efforts in St. Paul and when asked to come down, they are there and very prepared. The 2007 session faired well for forestry and did not change current legislation for ATV/OHV north of Highway 2. Some additional funding was provided the school districts which is good news. He would like to see a tax bill yet this session but if the push is made to add in the transportation and bonding bills that were also vetoed by the governor, it would require a longer session. Representative Anzelc, in regards to the transportation bill, wished that this could be addressed on a bi-partisan level as there is a real need for increased transportation funding in the State. In hindsight, it may have been a better approach to start out with a 5 cent tax increase rather than 10 cents. Commissioner Briggs stated her support for the proposal in the tax bill to allow resorts to pay taxes in increments to further encourage the resort business, noting the trend of resort owners selling their property to private ownership. Senator Saxhaug stated that if a session is called on the tax bill, this proposal is in the tax bill. Overall the legislators stated their position that they want to see things done through statute, not the rule making process and the Board agreed wholeheartedly. The Board acknowledged that the rule making process does not provide a process for fair representation and today the process is dealing with some very important matters. Commissioner Pavleck addressed concerns with legislative change allowing the DNR to review the current voluntary Shoreland Management Standards in the rule making process. Senator Saxhaug stated that what was taken from the bill for this exchange was a good thing for northern Minnesota and that they would be watching what happens in the rule making process closely. He stated that northern Minnesota is always going to be challenged on environmental issues and you have to fight to get the best outcome. In response to Commissioner Pavleck’s question as to why less funding is going to the counties than cities when counties have all the mandated services, Senator Saxhaug stated that the tax bill’s 4:1 funding formula for cities and counties was driven by the bigger cities in the state. It was acknowledged that corrections also faired well in the 2007 session. With regards to wetlands, the representatives agreed to have the reviser draft a bill for exemption of cities (based on city class) in counties with 80% or more of its pre-settlement wetlands which will be provided to the local units of government as the first step in garnering support for the next session. In this process, the wetland requirements under the Federal Clean Water have to be considered as wetland management at the local government involves both federal and state requirements. In wrap up, the Koochiching County Board expressed sincere thanks to the representatives and their support staff for all the hard work and their support to Koochiching County.

2007/06-27 Motion by Hanson, seconded by Adee to approve the agenda with additions and deletions. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

2007/06-28 Motion by Hanson, seconded by Briggs to approve the minutes from the June 12, 2007 regular meeting. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

2007/06-29 Motion by Pavleck, seconded by Briggs to defer a LELS Union Step 3 Grievance on travel time to the Personnel Committee for review and recommendation. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

2007/06-30 Motion by Adee, seconded by Pavleck to approve payment of the Highway claims in the amount of $68,935.33 and to approve payment to Flaherty & Hood in the amount of $3,784.14 for May lobbyist services with payment from the 2007 Legislative Budget. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

2007/06-31 Motion by Hanson, seconded by Adee to approve an adjustment to the 2007 Communication Budget transferring $6,000 from the 2007 Budget Contingency for painting of the Van Lynn Communication Tower, and further authorizing Voyageurs Communications to seek services for the painting work. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

000 Commissioner Hanson requested support to form up to a five-member citizen committee to work with Kootasca to explore the potential for senior housing in the Birchdale area.

2007/06-32 Motion by Pavleck, seconded by Adee to form up to a five-member citizen committee to work with Kootasca and the District Commissioner to explore the potential for senior housing in the Birchdale area and that appointment of the members by the County Board will fall under the County’s Citizen Committee Expense Policy with payment of claims from the 2007 Budget Contingency for committee expense. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

000 That due to the Board only meeting twice in July and the Engineer’s plan to let the bids for the Airport Road Project (funded by CSAH dollars), the Engineer requested authorization for the Engineer and Board Chair to award the bid at the July 16 letting with Board’s ratification at the July 24 Board meeting which would allow more time for the project to be completed in this construction season. Board members serving on the Airport Commission asked if there was time to coordinate the Airport’s plan to repave their parking lot with this road project to reduce cost. The Engineer stated that if the Airport Commission has their plan ready for the project, it may be possible to coordinate the projects but he would need to see where the Airport is at. Board members stated that they would like to see the bid results before an award is made and therefore supported awarding the Airport Road Project bid at the July 24th meeting.

2007/06-33 Motion by Pavleck, seconded by Adee authorizing the Highway Engineer to call for bids for the Airport Road Reconstruction Project with the bid results to the County Board for award at its July 24, 2007 meeting. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck.

000 The Highway Engineer provided information listing the seven grant applications to be considered by the ARDC RTAC, in which one is the International Falls Gateway Phase II Project. The RTAC will approve two of the seven projects at its June 28, 2007 meeting.

2007/06-34 Motion by Briggs, seconded by Pavleck accepting the recommendation from legal counsel for the Jackfish Sewer Project to make payment for settlement of sewer easements with payment from the Environmental Service Jackfish Sewer Administration Account as follows:
Larry and Linda Chezick, Parcel #15-64-00150 for $942.00; Kurt Kennedy, Parcel # 15-86-00010 for $650.00 and Monica Santangelo and Anne Krinski, Parcel #15-64-00100 for $1,042.00. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

000 The Environmental Service Director provided a proposal to the Board to conduct a feasibility study for extending sewer further east to the end of Highway 11 East. Commissioner Pavleck and Commissioner Briggs in conjunction with the Jackfish Sewer Committee are working with a private individual willing to pay the cost to extend the sewer across Tilson Bay
to service several parcels across the bay. In reviewing this proposal, the Committee felt the option of extending the sewer even further should be pursued. Commissioner Pavleck stated that in the 2007 Budget review process funding was set aside to consider a feasibility study for this purpose as one of the goals of the Board’s Strategic Action Plan. Commissioner Pavleck made it clear that this first step is needed for considering wastewater treatment options for this portion of the lake area and that upon completion of the study, the information and further exploration of the options will go through the public process, including meetings with property owners in that area.

2007/06-35 Motion by Briggs, seconded by Pavleck to approve a service agreement between Koochiching County and Benchmark Engineering, Inc. for up to $25,000 to conduct a feasibility study for extending the Jackfish Sewer System further east to the end of Highway 11 East, with the County Board’s position that the study’s results be provided no later than September 15, upon approval of the agreement by the County Attorney and with funding from the 2007 Budget Contingency. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.

000 In concluding the information received from previous sessions with regards to wetland concerns in the County, Commissioner Pavleck inquired as to whether there should be any action/direction taken by the Board. Commissioner Hanson was not supporting a bold stand at this time to leave WCA but take advantage of the opportunities made available during the review to work toward a positive change for wetland determination/mitigation in the County. Commissioner Pavleck stated that he heard nothing in these reviews that things are fixed and going to be better. He does not buy the bureaucratic position that wetlands are being locally managed through a local plan as the state and federal governments are the decision maker and send in the enforcement officers. Commissioner Briggs agreed with Commissioner Pavleck as her concerns were not eased except for the supported movement for legislative change and with the BWSR Board coming to the County in August to review WCA implementation. Also she remains very concerned with the recent issuing of cease and desist orders and wants these resolved to allow needed development to proceed in this construction season. Commissioner Pavleck feels that the County should withdraw from the Technical Advisory Committee (TAC) until the County can see a positive movement. Commissioner Lepper did not necessarily disagree but felt maybe it would be a better position to appoint a Board member to the Committee to monitor the wetland determination/mitigation going on in the County. Commissioner Adee agreed. In calling for public comment, the International Falls City Administrator stated appreciation of the County’s effort and work to address the wetland concerns. That it is the City’s position based on recent events, that TAC is just allowing the federal and state bureaucrats to use the local process to hurt local government and stop development. Jim Miggins summarized that the process is the problem, not wetlands. The intent of TAC, as stated in previous meetings, to assist people and local units of government through the complex process of wetland determination/mitigation is good but something went awry when TAC was used as the forum to punish the City and issue cease and desist orders on private development projects. Jack Walls stated that there is no fair play for wetland management in this County and that TAC is accountable to the local units of government for assisting in implementing WCA at the local level and it is time to tell the state we need a change. The Board Chair concluded public comment and requested that the Environmental Service Director provide the Board at the June 26th meeting information as to the County’s role and the pros and cons of the County withdrawing from TAC at which time the Board can consider its position regarding the committee.

000 The Board Chair called for public comment: Einar Sundin, in regards to earlier Highway Business, asked if a committee could award a bid. The Board Chair explained that the County Board would need to ratify the action to make it official. Terry Randolph from the VFW informed the Board that the traveling Vietnam Wall memorial will arrive in Ray at 1:00 p.m. on June 26th and will be escorted into International Falls to the display site by the Falls Public Library by Law Enforcement and VFW and Canadian Color Guards. The Memorial will then be assembled and available for public viewing until the morning of July 2, 2007. The opening ceremony is planned for June 28th and closing ceremony on July 1, 2007. Jack Murray expressed his appreciation to the VFW for bringing this important memorial to the people of the County. Mayor Shawn Mason thanked the Board for their support on the wetland issue and in viewing their concerns regarding the TAC process.

2007/06-37 Motion by Pavleck, seconded by Adee to adjourn the meeting at 12:00 p.m. Voting yes: Lepper, Hanson, Adee, Briggs, Pavleck. Motion carried.