Council Divides on Borberg Development as Housing Needs Highlighted in Grand Marais Meeting

The Grand Marais City Council faced a split decision on the Borberg planned unit development (PUD) proposal, reflecting ongoing concerns about housing, infrastructure, and city planning.

The most contentious topic of the evening was the Borberg PUD proposal. Igor Lensar, representing the applicant Borberg, presented a detailed defense of the development, emphasizing its potential benefits to the community. Lensar noted that the property had been largely undeveloped since its initial platting in 1917 and assured that the proposed homes were intended for long-term rentals, not short-term vacation use. He highlighted that 20% of the homes would be reserved for individuals who both lived and worked in Cook County.

Lensar addressed several concerns, including traffic and utility impacts. He reported that a traffic study deemed unnecessary by the applicant’s engineer due to minimal impact, with a proposal to widen Third Street West to address city concerns. On utilities, Lensar clarified that the developer would privately fund the extension. He challenged the assertion that the development would hinder access to other properties, noting the area’s existing utility encirclement.

Linda Jurich, executive director of The Cook County Chamber of Commerce, supported the project, stressing the need for housing to attract and retain workers. Jurich noted that the Chamber had unanimously voted to advocate for the project, highlighting both the housing shortage and the infrastructure challenges that remained even after the establishment of a housing and redevelopment authority (HRA).

Despite these arguments, the council ultimately voted on two resolutions concerning the Borberg PUD, both of which resulted in a split decision. In a roll call vote, Craig Schulte, Bill Lovaas, and one other member voted in favor of denying the development, while Ben Peters and Michael Garry voted against the denial.

The meeting also addressed other topics, including updates on the city hall and liquor store construction project. John Heen Miller, the site superintendent, provided a progress report detailing the installation of structural steel, drainage systems, and upcoming plans for framing and exterior concrete.

Further discussion centered around the marketing strategies for the city’s liquor store, with a focus on social media marketing proposals. Chris presented two options: one from Breakwell Digital, which was considered costly, and another from Sweetwater Design Company, which was more familiar and cost-effective. The council deliberated on the merits of each proposal, aiming to enhance the store’s visibility and engagement, particularly in Thunder Bay and local regions.

Additionally, the council reviewed a parking license agreement with Fight for Something LLC. The agreement would allow the LLC to use a designated area for parking in relation to a pending conditional use permit application. The council emphasized that this agreement did not constitute a permanent arrangement and would be revisited as needed.

The Third Street feasibility study proposal also garnered attention. With a proposed budget of $1,275, the study would assess the financial viability and potential special assessments for the necessary infrastructure improvements. While some council members expressed skepticism about involving multiple parties, there was a consensus on the importance of conducting the study to understand the project’s scope and funding opportunities.

The discussion on Third Street continued with a broader evaluation of the city’s infrastructure needs. One member highlighted the urgency of addressing the “substandard” condition of Third Street, while another advocated for a comprehensive assessment of multiple streets to prioritize improvements. The conversation acknowledged the necessity of creative funding solutions to support infrastructure and housing developments.

The council also discussed budget preparations for the upcoming preliminary levy, with plans to involve various department heads for insights into the budget documents. The preliminary levy was noted as a maximum figure, with a three-month period for adjustments before finalization.

Other items included the introduction of the State of the Range address, SBA low-interest disaster loans for residents affected by recent storms and flooding, and the announcement of a new hire for the Water Wastewater Superintendent position.

Note: This meeting summary was generated by AI, which can occasionally misspell names, misattribute actions, and state inaccuracies. This summary is intended to be a starting point and you should review the meeting record linked above before acting on anything you read. If we got something wrong, let us know. We’re working every day to improve our process in pursuit of universal local government transparency.
Mayor:
Tracy Benson
City Council Officials:
Craig Schulte, Michael Garry, Ben Peters, Bill Lovaas

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