I'd like to call this meeting to order of the International Falls City Council. It's 5:30 p.m. on Monday, August 4th. Years is 2025. Please rise. We will say the pledge to the flag of the United States of
America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. All members of the council are present this evening
for the record. Next, moving on to our agenda as presented this evening. I have a informal addition
to add International Falls Wreck hockey between new business number one and number two to come forward and discuss a grant opportunity for a refrigeration
system at Kerry Park. Is there any other additions or deletions for this evening's agenda? And would you accept the agenda with the addition that I've proposed? >> I will move second.
>> We have motions by councilors Kaylor and Wagner. Is there discussion? >> Call the question. >> I I >> I. >> I'll vote yes. The agenda is approved unanimously. Thank you. Next on this evening's agenda, approval of minutes
from previous meetings. First, minutes of the Monday, July 21st special city council meeting. Second, from July 21st, the regular city council meeting. Third,
minutes of the Monday, July 21st, 2025 special committee of the whole meeting. And fourth, minutes of the Monday, July 28th, 2025 special city council meeting. Is there a
motion to approve these minutes as presented? >> I'll make that motion. >> A motion to approve them by councelor Holden. Second. Second by councelor Wgner. Is there discussion on approving minutes of previous meetings? Seeing no
further discussion, call the question. >> I I >> I >> I. >> I'll vote yes. Minutes are approved unanimously. Thank you. Next on the agenda of this
city council meeting, we'll move on to payment of claims and approval for payment of accounts payable. Number one, which is to adopt a resolution approving transfers, payments
of claims and accounts payable. First transfers, City of International Falls transfers to fund number 101, general fund from fund number 812, lodging tax fund,
$1,22,528. Accounts payable claims. City of International Falls claims $713,514.13. Airport commission claims $146,233.72. Airport Major Capital Project claims $1,65,000 999586
for total accounts payable and claims of $1,925,743.71. Is there a motion to approve these payments, claims, and transfers? >> So move. Motion by councilors Wagner and Buller. Is there discussion?
>> Question. >> I >> I I >> I'll vote yes. These are approved unanimously. Thank you. Item two, an update from May
31st and June 30th, monies held in deposit information. >> Yes. So it was recently brought to our attention that the claims cover sheet um that summarizes the monies in deposit for both May and June had a couple
clerical errors. So the fund balance report that you receive monthly was correct as that does tie to our financial software. However, uh the claims cover sheet which has to be manually typed by staff um and transferred over from the investment report to the cover sheet as a summary
um did have a couple errors. So, in order to reduce the likelihood of human error, uh we will just be providing you the investment uh report monthly, which is done as a part of our bank record as opposed to retyping that information on the cover sheet. So, you'll just have one extra page to accompany the fund
balance report on a monthly basis. >> Yep. >> Thank you, Miss Rudd. Is there any questions amongst the council on these fund balances? I have worked with um Emma and Betty on
this and one of the reasons that I wanted this to be on the agenda was at a previous meeting with the overstatement from the end of June of 10,268,000 that there was 6,827
000. Um, so I appreciate the update to the council and thank you. At this time, this is the first opportunity for our audience open forum. Um, please if you
would like to come forward, name and address for the record and limit comments to five minutes. Thank you. Alan Cruz, 3077 County Road 20 International Falls. >> Excuse me, Mr. Cruz. >> Yes. >> Um, could someone please run the
stopwatch? Uh, I am failed at multitasking. Please continue, Mr. Cruz. Thank you. >> Yeah. Um, two Mondays ago, um, I had talked to the city administrator the day after about finding out the, um,
definitive answers around the policy for the band shell. and she and then I followed up with her last week and she said that there were stipulations, but she still had to get with the policy manager to get the
the down to the bolts and nuts on what the stipulations were depending on the use case. And I was just, she's not here, but I was wondering if uh if she had by chance shared that information with uh you, mayor, or any of the
council. >> I would have to lean on the council. Certainly not with me at this time. >> Okay. >> No, I had basically asked about can the money can the money only be used for the band shell? Can it be used for something else? and she basically
alluded that there were stipulations on multiple avenues. And so just since I saw the uh the later part of the agenda in terms of talking about both ambulance and the band shell, I figured I'd see if anybody knew. So
that that's all I got. >> Mayor Mayor, >> please um continue. Um Mrs. Riggs, >> me. Okay. I just want to share with Mr. proves that Betty is working with Tim Anderson um our insurance agent on those
questions. So, I do know she's working on that. >> Okay. It just without I I just think that until you until the city council knows exactly what can be done with the money, giving an open house, talking about it, discussing it versus, you
know, maybe it can be used for the ambulance. Maybe it can't. Maybe it has to be used only for the band shell. But seeing that it's almost been a year and and and nobody knows because no one's asked uh is a little is a little shocking, but I appreciate uh Betty uh I
know that has been working on it. So, I just wanted to bring that up. So, thank you. Julie Melstrom, International Falls, 9046 Street. Uh, this is in reference to the four counselors. It's kind of what he talked about with the band shell.
Um, because I understand you're not going to rebuild the bandell. And how much money from the insurance company and what pot did it go in? >> I want that answer. >> We haven't gotten any money from the insurance company.
>> Okay. And we haven't said we're not we haven't said we're not rebuilding the band shell >> and we don't know what the amount is for sure. >> Why aren't you going to rebuild it? >> Well, we we've got a poll out so that everybody can weigh in and ask what they
want to do. >> Well, how long does that take? Uh, it'll probably take a month >> because I understand there's going to be a building put there, but it's going to be like a garage to put their lawnmowers and all that crap in. >> You're miss I'm sorry, but you're
misinformed. >> Okay, one other u question. Um, when are you starting uh the lead pipes? I want mine started soon to replace
and if you don't uh do it, I will take you guys to court. I've done it before and I will do it again. >> It needs to be fixed with my condition and I want to know when it's going to be started to work on.
>> I would like to lean on our city engineer, Mr. Fischer. He will have an answer for that. >> Yeah. What's your address? Just >> 9046 Street. I brought it up before uh because I have cancer and that's lead pipes are not
good. I want I want to know when it's going to be started to work on. >> Okay. It'll probably be next spring. That will be >> It was supposed to be this year. This year? >> Well, it's part of this year's contract. But yeah, the contractor that's
>> But why why isn't it being done this year when you said it was this year and then you'll go next year and then it'll be the same thing again. You'll keep putting it off. >> No, it'll be it'll be >> Well, it should have been started this year. Like I said, I have cancer. That's
not good for me. Couple other people on my block have it. It's not good for them. I would be very careful because I know how to go to court >> and I will take Teddy Bulka. He'll be in the courtroom too for not doing a job.
So why isn't going to be started this year? >> That project has started this year, but it's under the it's the contractor's schedule that dictates when they're doing your gun service conference. >> Well, where are they starting? uh the
train. >> Why aren't they starting at the beginning of Fifth Street and work all the way down where they started and they said if we get our stuff in earlier it'll be all taken care of and paid for. It's not being done.
>> It is being done but just not this year. So >> okay, I'll keep an eye on it. Thank you. >> Thank you. I would I didn't I was under the impression that the lead pipes were
happening um yet this year. So, thank you for clarifying. >> Some are as part of the >> Ninth Street >> with the bundle. >> Yeah. >> And the other ones would have maybe started, but that was a deal with the
price of the bid. Why we would >> Yeah. Just the contractor, that's all. >> Yeah. But last year we didn't accept the bids because the price was >> right there only one bid. >> We will move on at this time to new
business. The first item under new business is to adopt a resolution, excuse me, providing for the issuance and sale of general obligation bonds series 2025A
9th Street project and sanitary sewer vector acquisition. George Eertson is already here. Thank you, sir. from Northland Securities. The floor is yours. >> Thank you, mayor, members of the council. I'll be primarily referring to
a handout that you should have uh bond sale summary at the top. As noted by the mayor, one action item to consider tonight, that's the approval of a bond resolution. approval of that and and we'll wait until after my
presentation, but approval of that locks in all the rates and terms associated with this bond. Um, this bond sale is, as we've talked about before, for two purposes. One is the Ninth Street project. Um, primarily the sewer and and
uh storm and lighting aspects of the Ninth Street project along with the purchase of a sewer vector truck. So, so 9inth Street plus the truck. Uh the bond is sized at $2,830,000.
Um most of the components, uh the the truck is financed over an 8-year term and the balance of the financing is over a 20-year term. As part of this financing, I worked with your city administrator and your finance
director, uh, Emmy, I'm sorry, Emma and Betty, on assignment of the city's bond rating and the result of that was the affirmation or assignment of an A+ rating with standard and pores. Uh, so a
good credit rating was assigned. And just a couple of highlights council that went into the assignment of that rating out of the rating report standard and pores notes uh the rating reflects our view of the city's healthy reserves uh a
history of stable budgetary performance and manageable debt relative to the budget. So uh so those were certainly some positives that went into the assignment of that credit rating. on top of that rating. Then uh we went out and pursued what's known as bond
insurance. And bond insurance is um you know not too dissimilar from going out and getting insurance on your home or your auto. Uh you have to pay a premium if you qualify for it. The benefit of the bond insurance is it's rated double
A. So it's it lifts your underlying credit rating of A+ up to double A for the bond issue. Uh and certainly we have to look at the e economics. Does the premium that you pay get offset by the interest cost benefit? And in this case,
the premium cost approximately $9,000, but it's benefiting you by lowering the interest rates uh approximately 210 of a percent. Uh that 2/10en of a percent on your bond is about $60,000 of benefit.
So certainly the u the the uh benefit is there to add the insurance. Um the uh again I noted the bond has got uh an overall 20-year term. The closing date
on the bonds is September 3rd. The final maturity is out in 2046. And what's known as the call date is February 1 of 2033. The called date is when you, the city, have the opportunity to either prepay on principal or
refinance existing um the the interest rates on the existing principal. When you reach that call date, you've paid approximately 30% of your debt um or 855,000. Once you reach the call date, it's at the city's discretion. So the in people
on the other side of the transaction, the investors that purchase the bonds can't come to the city and say, "We want you to call these bonds or or prepay these bonds." It's at the city's discretion. So when you reach that call date, you've got 70% of your principal
still outstanding. Um approximately $1,975,000 at that time. We'll be working with your staff uh when we approach that call date just to let them know it are market conditions favorable? Can you refinance
the bonds? Um etc. So uh rest assured on that council. So over the 20-year term of the bonds, the true interest cost is 4.39%. So that's what you would be locking in by approving the bond resolution is that
true interest cost of 4.39%. uh your staff em Emma and Betty were both involved. Uh we had last week a pre-pricing call. Uh that call kind of talks through the market conditions, talks through comparable sales in the
marketplace and then we make any adjustments uh based upon market conditions. The market actually started to come your way which is good since last week. Interest rates have trended down so interest rates accordingly fell
as well. So, um, so 4.39% mayor and council is that, uh, true interest cost over the 20-year term. I can address any questions that you may have. >> I have many. Um, is there
>> I just thought I'd make some and part of this the project's already being paid for uh with uh the sales tax, correct? That's correct. Yes. >> And and and so people aren't confused, they're under the same bond, but the
vector and the project are getting paid are different things actually. Correct. But we put the bonds together for the better rate. Yes. >> Even though they're and I think you explained it the last time you're here, but gave the
>> mayor and council, good question. the provided you have the ability to issue general obligation debt for individual purposes here, you can package it together as one common financing. Uh the benefits of course being savings on cost
of issuing the debt and um so yes, the sewer vector truck even though it's separate from the ninth street project is we're financing it together for the city's benefit. Um, you know, they'll certainly get a final schedule from us
that shows here's the individual payment schedule for the truck and here's the individual payment for the Ninth Street portion of the project. So, they can track it internally as well as what revenue sources take, you know, how much of that you'll need
as well. >> Questions from council. Why is this um this was just put in front of us Friday and now more today? So we have a what I
feel is a really large decision in front of us almost immediately. Um but why are these not set up as revenue bonds? Uh mayor and council, good question. The
why not revenue bonds? the city has the statutory authority to do they're kind of like a double barrel if you will type of financing in terms of security. You've got on one hand the security of the sanitary sewer fund for example uh
that's paying for the sanitary sewer portion as well as the vector truck but then you enhance that with your general obligation pledge. So if there's ever so the the city can take the approach yes we're paying and the expectation is
we're paying for these 100% based upon revenues for that portion of the bonds but if there's ever a shortfall we can have the ability to levy taxes. Now certainly and we've worked with the city on a financial management plan for your
utility funds that factors in projects like this. here's what you need to set your utility rates at to service not only existing debt but future debt. But uh but and and the other benefit uh mayor is certainly interest rate. If you
can do a general obligation pledge on your bonds instead of just a straight revenue pledge, you'll get a considerably better interest rate. >> And this counts this would count against our statutory debt limit.
Uh, also good question. A m v vast majority of this bond does not count towards your debt limit. If it's paid for a source of revenue by a source of revenue other than just property taxes, it does not count towards your debt limit. if it's paid for by just taxes.
Um, for example, uh, you know, if there's the the lighting portion of the project and that's, uh, you know, if again, if you back up and say, how are we paying for that individual portion of this project? If it's just taxes, then yes, that would count towards the the
limit. >> Okay. Um, and does are there questions from the council? I have a long list, so Um, I
would like to ask, um, are at our most recent city audit, um, our reserves are in horrible shape. They're 23%. Our own rules that we've made for
ourselves by resolution is 50%. We have an opinion coming from our auditor that unless we can take severe corrective action, which doesn't have to happen at once, that we'll have to accept a modified
opinion on our city audit. So, um, like I said, this is a bit new and that this was just dropped in front of the council, but it's certainly
a concern of mine. Were Were you aware of the audit? >> Yes, we we factor in the audit. We we put it into the bond offering document. When when the rating agency looks at your reserves, they compare that to your
operating expenditures and often times they bring into the calculation uh available funds outside of the general fund as well. For example, sometimes cities may have a capital improvement fund that's not dedicated for a specific project. Um, that may
come in to the rating agency's opinion or or their review of how much uh would you have in reserve, >> right? Because we can raise our utilities costs and we can backfill a shortfall with the general fund if we
had to, which means we'll just levy more money. I'm not saying that that would occur. Um, okay. Thank you. Any questions from councel and and mayor and council, just a a
quick note. You'll you in your packets, for example, for tonight, you would have gotten a resolution in your packets that's preliminary. It's got blanks in that because we don't know final interest rates until you know late morning today. So that's why um Emma
printed out uh a filledin version for you uh that was provided today by the bond attorney. What is the um excuse me what what is the amount of the vector that we're refinancing? I was not able to find that with the
information that I received on Friday. >> The Vector truck is approximately $300,000. So that's at closing that amount would be provided. Thank you. And if we refinance that vector truck,
where will those proceeds go? I I guess I'm confused by your term refinance. Are you are you saying the initial financing of the vector truck? >> Correct. The to the best of my knowledge, the vac truck was approved in
October or November. >> Yes. >> Um >> of which we have acquired and we have already paid for and we have done the resolution as indicated by Northland Counseling in order to repay that money. Um, so we'll be putting it back against
where we expended it. >> Okay. Which was from >> would have been I believe sanitary sewer or it would have been cap outlay sanitary sewer. Thank you. Floor is open for the council at this
time. All right. I'll make a motion to adopt the resolution. >> I'll second it. We have motions to adopt the resolution by councelor
Kaylor and councelor Holden. Discussion can ensue. I uh will be voting no on this for several reasons. Um, first reason that
there's been what seems like almost no communication with the council on this, which I considered a big ticket item, all of it. and we've been having some meetings about other financial
problems that we're having and I can't vote for this in in good faith and and whether we pass it or not that's that's fine. So, >> I just say we have talked about we talked about it at committee of the whole we talked about it at um public
works committee about this project and possible where the money's coming and how we're paying for it. So, I think it I don't feel it has snuck up on me, I guess, is what I'm saying. >> Thank you, counselor. >> I feel the same way.
>> Okay. I'm just what I want to share is that if we're going to raise taxes at this point, I think it should be for the ambulance. >> So, um, any more discussion from councel question? >> I I
>> I >> I >> I'll vote no. Motion carries 41. Resolution is adopted. Thank you, Mr. Eardson. >> Thank you. Next on the agenda was an addition. I'd like to invite Leif Larson forward. He is representing the
International Falls Recreational Hockey Association. >> That is correct. Good evening, Mayor Dill and Council. Um, I am here on behalf of the International Falls Recreation Hockey Association and we were just recently made aware of
a grant opportunity that um could be applied for that would allow for significant dollars to help pay for a new ice system at Kerry Park Arena.
and we we've attended a few different uh public works meetings and we've had this discussion for for quite some time. We got some numbers on what we would be looking at to replace it and um this grant, you know, if for if we were
awarded it, it would pump about $500,000 into that project. So, we think it's well worth applying for. Um, you know, there's there's a lot of improvements that need to be made to Carrie Park Arena. Um, but above all, um, we have to
have an ice plant. If we don't have an ice plant, we don't have a hockey program. And we've had issues with the ice plant, um, gosh, probably the last three years. And I think we're on borrowed time with
our current ice plant. it's time to look at um replacing it. And I think this would be a good start. Um in in 2020, the EPA banned the R22 refrigeration
systems that is currently in many hockey arenas throughout the state of Minnesota. So, the state of Minnesota through their Mighty Ducks grant program has stepped forward and has has made these grants available to um any hockey
community in the state of Minnesota. In fact, we've uh made the high school aware of it as they also need to replace their ice plant. They're having issues as well as theirs is quite outdated. Um so, I brought with me a packet, an
application. Um I can leave this with you all. Um there is a deadline at the end of the month that we have would have to have it submitted by. So I guess with that I I guess just on behalf of Wreck Hockey, we would strongly encourage you
to apply for the grant. Do is there an estimate that you're aware of or were aware of for a new refrigeration facility at the plant? Well, I believe it was at our last public works
committee meeting. Um, Ted had spoken with a gentleman from the refrigerator refrigeration system that we've worked with in the past and I'm just kind of going off my
recollection here, but I believe it was 1.8 million is what we were told. I >> does that sound right? >> I thought it was a million but it was maybe it was one point. It was a it was not a
it was roughly around seeing as we're talking a million. It's roughly around a million >> and I don't know if that in included some other things other than the ice plant either but >> uh for sure it's something we need to
look into either way. Um, >> as you know, there's a lot of needs at Kerry Park Arena. And I think you're right, Pete. I think there were some other things maybe included in that bid, but uh, say a million dollars basically. >> But either way, I now do you have to
apply for it as wreck hockey or does the city apply for it? >> My understanding is it would be the city because it's a city-owned building. >> Okay. But we would help in any way that we can
>> in including financially if if needed. We could talk about that too. >> Um this was and thank you for pointing this out over the weekend. I have some of the information >> on my phone. Um
so anyway, all the information is here. It requires NLGU to apply for the grant and to be the sponsor if we receive the grant. >> And it's up to is it a half a million dollars? >> It is. >> Um so
if we applied and we got it, we could figure things out from there. Yes. >> And if we apply and we don't get it, >> maybe we get to apply again. >> Yeah. And we're no worse off, right? I didn't get but I think Yeah. I think thing you'd have to do is uh we'll
have to get it seen as public work geted >> contact head. And >> one of the issues that we're really running into is when the ice plant does break down because of its age, there just are no parts available any longer.
We have to kind of uh put a band-aid over it, so to speak. And we just don't know how many band-aids we have left to to cover up those. Not many. Not many. Right. >> No. And and it has happened at some in
opportune times when, you know, luckily they were able to get it up and running. >> Where we got lucky was we had two compressors that were alternating back and forth and taking the load off of each one. Okay. Equal time. and one went
down, we at least had another one to get back, keep in operation, and we just got lucky a number of times. Um, the other thing that's needed is the refrigerant. We need to get the upto-date refrigerant
in there. Those are big things >> and that and that's because actually we don't have the two going. We got one now that they try to keep going because like say can't get parts like everything that gets old. But yeah, I would think we'd
be I would move that we would apply for the grant. >> I second that >> and direct the public works director and administration to look into it and do what they need to do. So, we do have motions from
counselors Kaylor and Holden. I would like to add that the submission deadline for this grant is Friday, August 29th, 2025, no later than 5:00 p.m. Central time.
>> Is there more discussion? Please counselor. >> If uh we get the grant, we're not obligated, >> right? We we don't have to do anything, right? Because if you get a grant, that's >> Well, we'll >> $200,000, how you going to get the $800,000 to pay for the thing?
>> We Go ahead. >> Well, I would say that as we're going over the grant and if that's what it says, then that's another decision we got to make. I would you be amendable to have this presented for final submission at the
next regular city council meeting in two weeks which would be before August 29th and allow us time to review it probably with your services as well Chelsea. >> Yep. >> Yeah. >> Okay. >> Yes. I will resend or
>> amend >> amend not resend and bring it back after the city attorney has looked at it. >> Thank you. More discussion >> question. >> I >> I >> I'll vote yes. This carries unanimously.
We'll get working on the application and thank you for bringing this forward. >> I'd like to add that to thank you for you guys. >> Thanks Le. >> Can I leave this application with you? Okay, >> thank you. >> Okay, >> there you go. >> What is now item three to adopt a
resolution approving application to conduct excluded bingo for International Falls Chamber of Commerce on December 4th, 2025 at VFW Post 2948. >> I'll make that motion. >> Motion by councelor Holden
>> to approve. Second. >> Second by councelor Buller. Is there discussion? >> I'd just like to give a shout out to the VFW for always being so accommodating to all the different organizations in town that they let us use their license
and raise money playing bingo there. >> Yeah, >> I'm involved in a couple myself. So, >> sure. >> That's awesome. >> Yeah. >> Absolutely. >> Question. I I >> I >> I'll vote yes. This resolution is
adopted unanimously. Thank you. New business. Item four, adopt a resolution approving commercial loan program funding in the amount of $24,999.99
as requested by Truear Federal Credit Union on behalf of Lac DLoon LLC. Max Dasharm. Good evening. >> Good evening, Mayor and Council. >> Thank you for coming forward. Is there anything uh you'd like to speak about your project?
>> No, I think uh just to give a little bit of background, uh my wife and I, we are we moved back uh officially full-time to the falls in January, but we've been more and more involved here over the past couple years. and our mission is
really to try to get more people to move back to the falls. And so through that conversation and with some city council members, um we learned about this program where the city offers just a little bit of money at a low interest rate to help revitalize some some real
estate. And so we've taken advantage of that. And uh so far, not directly through this program, but so far through our efforts, um we've been in direct uh we worked directly to bring four
households who were not living in the falls back to the falls um or to the falls for the first time. So about well, we have two that were eyeballs natives who moved back and then two who uh moved here for different jobs and stuff like
that. So what we do is we take old houses and old eyefalls and we gut them. We make them good and uh we make them rentable for people who are moving from out of town back to in town. And so that's what this loan program helps us
do. That's what we're asking. Um it's also a benefit to the city. Not very much, but you get 2% return on that money. >> Thank you. and thank you for your work in bringing families back or that are
new to our community. >> I make motion we approve it. >> Second motions by councelor Buller and Wgner. Is there discussion? >> Question. >> I >> I
>> I vote yes. This resolution is approved unanimously. Thank you, Mr. Dair. Thank you. Thank you, Mayor Council. Next under new business, item five, public works committee recommendations.
Item A, approve proposal for scope of services for Highway 11 multi-use trail project with Bolton and Mink. Mr. Fischer, if you would like to come forward, that would be wonderful. Thank you,
>> Mayor Council. Good evening. So, this project is a project that we applied for funds through the Minnesota Active Transportation Program for and we were successful in getting those funds. Um, it it's 700 or $478,000
plus dollars. um which will be the cost of construction but it does not cover the engineering services. So this is a proposal for our engineering services to design and do the construction inspection uh for this project. So
uh the it'll be paid for through um permanent improvement funds. >> Street PI. >> Street PI. Yes. And this is a trail project that'll be connecting uh 14th
Avenue to 11th Street by the school. Um it'll be happening before the uh the street pro the highway project that they have coming in 2029 and this will be getting us a jump on that. So
and it'll help connect across u a trail across the city. So, >> thank you, Mr. Fischer. Questions from councel. >> I'll make motion. >> Motion by councelor Wgner to approve
this proposal. A second. >> Second by councelor Bullard. Is there discussion? >> Question. >> I >> I >> I vote no. This recommendation is
approved for one. Thank you. Thank you, Jason. Next, array of sunshine. Number five, new business to consider Banshell committee request to schedule an open house to
gather community input on the Banshell. Um, as many of you know, there is a Banshell committee. Councilors Wgner and Kaylor are on it. And in my hands I have
a beautiful packet that is in the form of a survey. And since this is public information like most things we do, there's some conceptualizations including pictures of an old band shell
that is new and some other ideas. Is this something that we have a date in mind for? >> We No, we'd have to talk about that here. A date. Um, councelor Wagner, if you have any ideas on the date
>> soon, but I I would say we we we still have unanswered questions with um what we were asked tonight about the insurance. I think we have to have that answer. If it can be used for say an ambulance debt reduction, I think
we need to have that. We need to know that. Thank you, councelor Wagner. Council, >> I think we could set a date and maybe the question could be um
if feasible use the money for something else, something like that. >> Yeah, E would have to be changed, >> huh? >> I think E would have to be changed. >> I don't know. Is there a date uh seeing that it's your
committee that you would suggest an open house for? >> Well, we want to have time to let people get information out what they want. I would say towards the end of the month
when that would be for everybody like the last week and August should get and we should be able to find that out soon enough. >> Yeah. >> About the >> and we should be getting that information pretty soon.
>> Okay. >> Um say on Monday the 25th of August, >> that would work for me. >> There would be a the potential that we have a special city council meeting that night.
>> Yeah. Um, similar to how we just did the the deer feeding ordinance open house. >> Yeah. >> Yeah. >> Yes. >> Um, >> thank you. >> What >> and and and just so the people that are here that don't know the questions, some as you know, there's been some
discussion of do we want to have the traditional band shell like it was. We have some that want that. We have some that would like something a little more multi-use, not just for performing. And then there's going to be an option
to uh just have a bigger pavilion and then not do anything with the money and just leave uh the green space if that's allowed with the insurance. And people
get to give their input at the meeting and written contact um or comment. >> Yeah. uh here to city hall by the 25th and you can just mail it to city hall or
uh email uh city staff with your thoughts. That'll get give us an idea what people want. >> Thank you, councelor. >> So, you're still going to have an open house?
>> Yes, but this is for the people that can't make it. Oh, okay. >> You got it. And hopefully we'll be able to get some of the designs out and that and we for sure will get it on the Facebook page and >> other thing. Yeah. And out on the board
here and >> some other avenues so people know what we're talking about. >> But do you need a motion >> on the open house? >> Um August 25th save 6 p.m. >> Sure. I'll make that motion. Thank you,
councelor Holden for making the motion. >> Second. >> Second by councelor Wgner. Is there any discussion? Date, place, time. City council chambers, Wednesday, August 25th at 6:00 p.m.
>> I think it's a good thing there was setting the date just because we've had the runaround from the insurance company and that's why we don't have any numbers yet because they're just kind of like, oh, give us a couple weeks. Give us a couple weeks. They they know that we have to have this on that time to present it to you everybody out here. We
need to put the pressure on them. >> I mean, it's just been >> I agree >> too long. They they agree. >> Every time they say it go two weeks and it's two weeks again. So, it's it's time to get going on this thing. >> Thank you, counselor. Is there further input, discussion,
>> question? I >> I >> I >> I'll vote yes. We have a date set for the vans shell. Carries unanimously. Thank you. Item six in regard to the International Falls
Ambulance Service. Item A, authorize talks with private ambulance service providers. Um to provide some input to that. I believe we discussed that at a previous meeting.
There's been I won't say interest, but parties that have reached out and to have that discussion formally would require council action. Would that be correct, Chelsea?
>> To have like a committee talk to them or who reach out >> to start um as a council discussing what the options are directly with those providers. who would be reaching out the whole council or like through Betty?
>> Through Betty >> or through councelor Holden and I I just I wanted it to be formal in the sense that we don't have one person sitting over off to the side trying to make >> you can certainly do a motion. It could
just be direction as well though similar to when you provide direction to the um band shell committee. When you're pro providing direction to a committee or individual, you don't necessarily need a motion, but you certainly can. >> Okay. How about
consideration for a motion to direct the ambulance committee of counselor Holden and I to reach out to private ambulance service providers as routine due diligence in ongoing. >> So move
>> talks. >> Second. We have motions first by councelor Buller, second by councelor Wgner. Is there discussion on that topic? Question. >> I >> I >> I >> I >> I'll vote yes. This carries unanimously.
Item A. Thank you. 6B. Discuss the funding plan to purchase the three ambulances currently on order. This was a question from the council. at a previous meeting in regard to the
three ambulances that we currently have on order. >> Oh, you're looking at me. >> I'm sorry, M. Um, sure. Um, I can I either take it or did you want to take it, Adam? You have any preference?
>> Oh, I'm sorry. Or Chief Manasa, I will. Um, Emma and I did speak today and I think we're both maybe uh probably going to have give you a rehash
of um what we've done in the past here unless there's some further direction but uh we did present a plan on February 5th of 24 which I know was before you were seated mayor. I think the rest of the council was here then.
Uh so that plan was laid out at that time. of ordering the two rigs to replace 15 and 16 and 26 uh in order the other rig in early 27. Uh the options we had laid out for that was the
public safety money, the donation from Cooching County and then we budgeted money in 23 that we carried over and then we had budgeted money in 24 for the purchase of an ambulance that we were going to earmark. So all of that
obligation was included in that plan. Um we presented that same plan again uh this year in July uh with no changes to that plan. Um and it
was again approved by the council. Um the only thing that maybe you're not privy to mayor or we're not uh around for was in the February discussion we did talk about uh doing similar to what we do with
other things including radios um other high budget items in that respect is we can do municipal leasing through one of our our vendors here and we had all of that laid out and a proposal done for us. Uh we did not at
the time find that to be financially sound uh or the council did not. Um so we we opted against that and went with the aforementioned plan. Uh if there's so we did the motion the minutes. The
only thing I could not find is I did request uh and I think this was a committee the whole meeting. I couldn't find the minutes on this, but um I believe it would have been the first committee of the whole meeting of this year uh was requesting to
allocate I I will read it to you here. Uh approved to allocate $150,000 of unused funds currently in the 24 ambulance budget in line item 5800. So that was a capital outlay we set aside in 24, which is what we're talking
about. I am requesting it either be allocated into 2025 ambulance budget 5800 or other suitable place to be used with the already budgeted $200,000 in the 2025 ambulance budget for order purchase of a new ambulance to align
with our purchasing plan discussed and approved in early 24. So I don't know if that was approved or not approved. uh Emma and I did talk about that and um so that that would be the only outlying question otherwise to answer to answer
we did have a laidout plan that was approved by council. if there's something more in depth you're looking for. I >> Thank you, Chief. Um, I just want to say that I think we need the ambulances
or at least a new ambulance or two or four or three more than some other things that we've done. But that for tonight, that's neither here nor there is what my concern is. What for the council level discussion is
that when we take the money out of reserves and we loan the money to the ambulance fund that increases the debt of the ambulance service and it lowers our reserves
on the general fund side or in that area unless we directly levy for it or unless we get some massive amount of money. So the way that that's kept,
we don't have the money. Our ambulance debt is still going to go up and it's gone up since we went ALS. I understand that. I also understand that we're trying to come up with some solutions to support the service as we've had it. So that's
why I asked about the concern. So going into this next year and this following year, I'm fine with increasing our tax levy to cover those purchases. But if we don't, we're
going to have to take the money from somewhere else. If we have the 251 that we got from the state, that was already in our reserves over here. When we write the check to the ambulance fund, the debt goes up. And so it's that's what we're internally
fighting with the service and it's not a knock on a great service. We need the service. That's why we're here. My concern is the solvency of the city. Especially if we come in 6 7 8 $900,000 over budget like we did last year
on a general operating basis, we're toast. I mean, we can borrow a bunch of money, put the money back, but until we can start having a surplus, and provide all of our services. That's my fear. Not about the
ambulances. We know how many miles they have. One thing we got is we got options, you know? I mean, you and I are sitting down at the table, right? And if it goes the way I understand
if the county takes it over, that's one way. That's one option. We wouldn't even be paying for ambulances. It'd be the taxing district that would be paying for it. Okay. The other one is
the option is um if it goes private, we wouldn't be paying for those ambulances. they they would be taking that in as part of the operation >> other than my my only two counterpoints
that I'd like to share is we're we'll be in the taxing district if there is one. So our taxes still go up and that's fine. We want the district to support. >> Yeah. But on the private side, I don't think, and Chief Manassa, you'll know
more about this than me, just in one of the private companies that called us, whether the county took the certificate, whether D mayor, our friend Mayor Wagner came here and took the certificate, if it's a private company, they almost
always require a subsidy >> because it is so difficult to run an ambulance service and stay solvent to begin with. >> So the decision that needs to probably be made is when we examined the taxing
district previously three years ago or four years ago into three years ago. And then when we also examined the private entity taking over both in both scenarios, the equipment was a straight transfer to either entity. So if we signed the taxing agreement, all
equipment was a straight transfer. We didn't get paid for it. I would assume that should be a different scenario if we're sitting on three brand new ambulances at $800,000. That needs to be a negotiation point or you need to not do that, right? >> Um I'm not advocating that you not do
that, but I'm just saying that scenario needs to change if that's >> Sure. >> But keep in mind when we did that previously in both agreements that was taking over the equipment we had at the time. Chief, I I want to thank you for
for that comment that you made about whether we do it or we don't do it because the discussion is about where we're at and not to have a study session at a regular city
council meeting, but so that we hopefully have all have the same understanding. I I do want to share with the council too today as directed by from last week. I did send some emails out last week and I just got responses today on the
possibility of remounting boxes that we have. Um there's a little cost savings but not a lot. It's similar to what we ran into before. So, um, I got what I'm going to say is ballpark
figures over the phone today with formal quotes on the way that I haven't received prior to this meeting. So, I I don't want to share those numbers right now because I don't have anything formally, but what was relayed to me over the phone is not a significant cost savings. There's there's a little bit,
but it's not significant. >> Thank you. >> Thank you. Any questions for Chief Manaz? Thank you, Chief. Is there any other updates? Seeing no further updates, we'll move on
to item seven, new business. Is there any other business to come before this council? At this time, we can move back to our audience open form where there's an opportunity.
Name and address and please limit 5 minutes or less. Alen Cruz 3077 County Road 20 International Falls. Um, just a couple things based off of the last two points is I guess
I'm I I don't understand why the ambulance service is looked at as something other than just a mandatory city service. You're not going to look at the, you know, the chief of police and say, "Oh, sorry. We ain't got no money. Send them
loose. Don't put them in jail. You don't get new cars. You rebuild roads. You take care of sewer systems because that's the responsibility of the city. The city needs the ambulance. Period.
Talking to an outside private source, that's insulting. No offense. That's insulting to your crew that's sitting here. you're more than willing to sit down and have a conversation with an outside source about having them come in when they to get paid still have to set
up potassium district, which the county isn't going to do. They haven't done it with you in 20 years. There's no pain point for them to. You can't force them to take the ALS. They have to be willing to. You should be figuring out that you're
at four paramedics, how to get back to six, and just simply raise the levy and treat the ambulance service as just a critical piece of this city because it is. Period. End of conversation. Treating
them as a secondary outside entity that, oh well, we owe money and oh, I don't know what we're going to do is absolutely the the highest level of horseshit. And you guys all know better. I apologize for the language, please. That's a warning.
>> Yep. Absolutely. >> We can do better. We need to do better. This city ambulance needs to be here, period, without exception. And raising the taxes to do it over other things way, way, way more important.
>> Not yet. I would like to add for council information that in almost all cases taking the service private was a function of a county entity taking the
certificate away from a municipality so that the district could be taxed evenly and the service provided equitably to all people in the primary service area. >> Yes. Good evening.
>> Hi. >> I just have a couple questions. Rhonda Benedicts, 9096 Street. So, one of my questions is when you're talking about the band shell, I could have sworn that you said you already had the insurance money.
Pretty sure that you said you had the insurance money already. If not, how have you paid for the demolition of the vans? because it was a large large lump sum that you said you already paid out, right?
Yes. Wasn't it a large sum of money that was already paid for demolition of the band shell >> recently? Are you referring to jackhammering the concrete out? >> The whole band shell came down. So, how did you pay for that if you didn't have
the insurance money? >> Please, Miss Rudd will >> So, um, >> wait a minute. Oh yeah, >> I'm going to say all my questions cuz I don't want you to cut me off in the five minutes. So you can answer that in a second. So that was one of my questions. So you keep saying that Bettyy's still
working with your insurance company. So that was could have sworn that you said you had somebody asked about the insurance money if you still had it or if you've already spent it. Could have sworn you said you still had it. Um so that was my question. You can answer in a second. Um
second one, lead pipes. She asked about the lead pipes. Did you or did you not just say you're rethinking that? Didn't know lead pipes. You said you thought they were happening this year. He said it's
in with the Ninth Street project. So my question is, are you using some of the lead lead pipe money that you got through funding on the Ninth Street project?
And last question, you just voted through the Ninth Street project with the bonding. So you say say we paid for the how do you say it? Is it the Vector machine? Am I
saying that right? Okay. So, we've already paid for it. Now, you want to refinance it. So, the citizens paid for it through our taxes. Now, you want us to pay for it again through refinancing. So, that is also with
um interest on that. So, now you want us to pay for it again. Okay. So, there you go. First question. Thank you, Miss Benedict's. Um, shall time permit if you could, if you're willing to help with the band shell. >> We'll answer as many of the questions
that I have the knowledge on. So, the band shell demolition that was conducted in um we got that bid out. I believe it was Wagner Construction that's got the low bid on that and they completed that demolition. We were reimbursed from the insurance company for that demolition.
So, we have been reimbursed in part for um a number of our expenses to date. Um I won't say that all of them have been reimbured, but the bulk of them have been. Um the dispute is about the rebuilding and basically what we will be
able to have, what pot of money we will be able to have to rebuild whatever type of whether it's an exact replica or something similar. We just need to know essentially. I mean, step one is finding out how much money, and that is what
we're we're dealing with the insurance company on the disputing on some of that um and what they want versus what we want type of thing. Um the lead pipes, I believe, was your next question. Okay. So, the lead pipes um because the lead
pipe project came in so high initially a couple years ago when it was initially bid out um in order to get a better price and better utilize those funds from the state of Minnesota and get more lead pipes replaced. We bundled that as a part of the Ninth Street project. So,
the Ninth Street project is actually a three-year project. It's going to um primarily done in 25 and 26, but there's going to be a little bit curtailing into 2027. >> So, you're using part of the lead pipe money with the 9inth Street project. Yes. No,
>> not exactly. So, there is a portion of lead pipes that are being replaced on 9inth Street as well as Fifth, Sixth, I believe, 7th Street if I'm not mistaken. >> So, those will be separately. It it's it's
separated, but it's in order to get a better price on the project overall. >> Know that there was more money coming out next year for lead pipes. >> Yes. So, that's why we want to get a roll on the lead pipes and get that moving forward so we can utilize those funds and essentially target as many um
individual services as possible. >> Okay. And then the fact >> that's five. >> That's five. Thank you. I'm happy to answer the rest of your questions after. >> Sure. >> Hello, Mayor and Council.
>> Good evening. >> I'm Bobby Bernath. I live at 19006th Avenue. I have a couple things. When Julie Melstrom was up here talking, I remember back in October, I believe if you look back in the minutes in 24 when
we started talking about the lead pipes and stuff, I thought, and maybe I'm wrong, that you guys talked about her Sixth Street being the first project to start.
And that's just what I thought I heard, but maybe you can look back in the minutes and see. >> Um, so that was in 24, but I would give some basics on it. The money that was received from the state, and I could ask
Emma to fill in probably the blank of how much it was, the first shot of money, call it, went out for a bid for the lead service lines. And the bid that came back was astronomical. I think it was something along the lines of like 30
or $40,000 a service. It was really high. So at that time the city opted to not accept the bid at which now this year it was bundled the lead service portion with the ninth street total
rehabilitation project. So is what that allowed to do. It would be like taking in your vehicle and when you have the oil changed also have the tires rotated. Um so that is how that came about and I believe um Jason that when
we did that that the lead service line replacement cost did it come down to like 18,000 >> around that. So, um, no, I wasn't aware and whether the council was or not at this point. Probably can't be changed
that it wasn't happening this year, but I the intention is certainly there to get the lead pipes changed out. Is there any chance that's occurring this year, Jason? >> There there is a chance. The contractor did say they're trying to get another
crew available to come up and do those services. I just don't have a guarantee on that. >> And I would add that the the contracts for those projects awarding that work to the best of my knowledge has been signed.
So um I don't know how it couldn't happen at this point unless there was an act of God or force majour or some legalesque term that stopped it. But I guess the point I'm trying to make is that it's it's all there.
>> Okay. The other question I have is um last month I asked about uh the Molton Ben um engineering service. Last month it was 130,000. Now this month it's 100,000. Would it be possible to do a
survey to see if it would be reasonable to hire an engineer rather than contract it out? Because in 2 months, that's almost a quart million. Something that I've always believed as
mayor is that the city should have its own engineer that's independent of anybody on staff. Um we certainly are spending enough on engineering work on an ongoing basis. There's some ins and outs of that. Um
Jason works directly for Bolton Mink. He's our engineer and um does I believe a fantastic job. He does a fantastic job. I >> I want to point out that um he started as the city engineer for the city of
Chisum when St. Louis County Commissioner Mike Jugovich was mayor. And so I don't know if he would consider working directly for us. I'm guessing not. >> Well, I remember back in the day, did we not have Gary Skullman? >> Yeah. I mean,
>> Gary was he was an engine, but he wasn't a he wasn't an engineer, >> right? He was public works director. Okay. >> But he wasn't an engineer. >> We did have Joel Sutherland for a while. He was a city engineer for two or three years >> and he decided to get out of here.
>> And I would guess even then he was probably contracting out some of the work that they do. >> Yeah, you did. And uh when you see these big bills too, a lot of them are when projects are finally getting done. Well then that's when we get build there
could be three four projects altogether there that they're getting paid for at a time. >> But you're right >> do it because bolton I'm just trying to not I'm just trying to explain to you why because they an engineer isn't just one guy doing all
this. They have all these different departments to take care of all these different right cuz roads are different than sewers and stuff like that and one engineer even if we had one it'd be like supervising. >> Thank you.
>> Thank you. >> Thanks. Good evening. >> Good evening. Helen Tweet, 3001 County Road 2 North. Um, just going back to the ambulance issue. I had a lengthy conversation with Representative Scraba
today. Um, and uh, there were a couple things we touched on. One of them was billing for the ambulance. He said that when he was mayor of Elely, um they had a company do their billing that was terrible and it took months and
months and months to get their payments and um when they switched companies, they got them within a month. So, I was just wondering who does our ambulance billing and, you know, if that would be something we could reach out to the city
of Elely and see who they use and maybe a change to a different billing. I know at that public meeting back in November of 23, I'm remembering a figure of like $50,000 a year this company was being paid to do
our ambulance billing. And I said, my goodness, you know, we can't do that in house. But evidently, it's quite complicated. Um, I'm sure it hasn't gotten any less complicated, but that was something he and I talked about. And also, um, he reiterated that St. Louis
County is on board with a taxing district. He said Reineer might be a little more difficult to convince, but and he also said he would be available if we have a public um a public forum
to, you know, to get the information out to to everybody. He would be more than happy to attend. Um I left a message at uh Senator Housechild's office and did not hear back from him today yet. So, um, just
some thoughts that things are in the works. He also said to me things are in the works for when they get back into session after the new year, but you know, we have kind of a deadline, I guess, to get on taxing, you know,
districts by July 1. So, he's aware of that. And it was good to hear that it feels like something they know this is terrible all over the state of Minnesota. My primary request was that the legislature take up the issue of EMS
being deemed essential in the state of Minnesota. There are now 13 states in this country that um you know call it that whatever. I don't know how a you could have a fire department be essential and not an ambulance department, but so there may
be some movement on that too, but that's all I know. Some of it it felt it felt encouraging. >> Yeah, >> please. Councelor Wagner, >> we have changed billing. Um Chief Manassa did a few years ago him and went through the same thing. So we're we're
right there. We've done those things. >> Okay. Good. Good. All right. Wonderful. Thank you. >> And and just to clear up, we we don't we get we give them a percent of what they collect, right? Isn't that how we pay them? >> Yes. >> Not not that we like got a
>> So the the company that Elie had issues with was the same company we were using, which was a lot of them around the area. >> We all switched to a similar company. >> Uh at the time of the switch, it was $29 a run was the billing. So about 1,500 runs a year. $29 a run. Y
>> uh the new company changed their billing status to a percentage of the revenues. So the more revenue they collect, the higher they they collect their bill, which incentivizes them to do a little bit better job. >> They want to get the most money they can for our service, they get a bigger bill
that they get paid is kind of the gist of that. Uh we've seen better collection rates from them and >> Great. >> Okay. Wonderful. Thank you. >> Thank you. Good evening. >> Hello everyone. My name is Lois Lundine.
I live at 2222 3rd Avenue East. Um I assume that this is the report you were talking about earlier, Mr. Mayor, that had the discrepancies on the monies held in deposit and there weren't questions from council, but I have questions and and I would like to
understand the same that all of you do. So when I look at the June 16 report, um the Bremer Bank IC cash sweep is where I see the changes, the discrepancies. There are numbers here that just don't make a whole lot of sense. Um in June
16, the reported balance was 4,600,000 and change. And then there's a column on the July 21st report where that same account reads7,76,796. And then in the next column, it's 3,635,95846.
Emma, can can you shed a little light on me on what all of these numbers are and why they're so different? >> Yeah. So I provide a staff member with a copy of our investment report and in the process of it's in a different order than what they have here. So they were
putting it in order and they inadvertently copied an old month's u figure from the ICS sweep. Um hence the the different total. So um the 36 35 958 and 46 cents was the correct number for the IC sweep for the July 21st cover
sheet. So, is the amount of the error the difference in the 7 million and 3 million? >> Yes. >> Yes. The I don't know if you have the highlighted. >> I do. >> Yes. So, >> I do. >> The ones that are highlighted. So, the one that struck through is it was what
was originally reported inadvertently. The one in the green highlighted is the correct version. >> Okay. So, we were going to see a balance on monies held in deposit of 10,268,000 and after the error, we're really at 6,827.
Is that right? >> Uh, yes. However, the fund balance report that's always behind and attached that always had the correct total. >> So, our correct total as of July 21 is
6,827,531.30 30 cents >> as of 630. Um, so the report is on July 21st, but it's reconciled through the end of June. >> Okay. And that's our money is held in deposit. That's our cash on hand. >> Correct. And that's um obviously at the
low end of our year. So at the beginning of July, we receive our funds for LGA and first half property taxes. So June and um usually the end and beginning of December are our lowest months um where
we have funds in deposit. >> So the 6,827 53130 includes like restricted funds >> is that dollars that are only >> Yes. >> It's not general funding. That's that's our restricted funding. >> Correct. Yes. It's everything.
>> All right. Thank you very much. Those are my questions. Thank you. One quick, >> please come forward. >> Granny Calder, 19016th Avenue West. Uh, I have a question about the uh
tax, the 3% tax that goes to uh the convention visitors bureau. Is that something that's mandated by state statue or is it Yes. Um I used to serve as the chairman
of a visitor and tourism bureau. So that I feel like I can answer this with 100% certainty. There's a state statute that allows certain local areas like our municipality to have an opt-in tax um
called a bed tax. So when someone comes to town and stays at the New American or the Cobblestone or any other hotel, by law, they have to charge the bed tax. It's a trust tax, so there's no way to know if they paid it or not, but it's
the honor system. The money comes to the city and then it gets transferred back out and goes to the local visitor and tourism bureau in which those dollars are then used to market our community um for tourism purposes for lodging and
anything that's associated with it. >> Okay. Thank you. >> Seeing no further comment at this time. Reminders, there is a special city council meeting Monday, August 11th, 5:30 p.m. And the
next regular city council meeting is Monday, August 18th, 2025. At 5:30 p.m., is there any other business to come before the council? >> We have a couple meetings tomorrow.
We have a finance meeting at 1:00 and then we have um airport meeting at 4:00. >> That's correct. >> Right. Yes. At 1 p.m. that will kick off the
budgeting process for next year. >> Bring your party hats. >> Mayor, I do have one more. >> Please. just before it ends up in a public uproar when Merath was up trying or saying her piece. I forgot to set the
timer and I whispered and I'm certain the mic picked it up. I said, "Oh sh Hi T." And I apologize. I'm sure it's going to pick it up. It won't happen. >> Thank you. >> Okay. >> Is there any other business to come before the council?
>> National Night Out tomorrow >> from 4 to 7:00. >> 4 to 7. four must be 4 to 7 >> or till they run out of hot dogs and broughtworth and you know kind of the shine leaves. >> Thank you counselor. This meeting's
adjourned.