The most significant event of the meeting was the public hearing and subsequent approval of a tax abatement pledge for the Community Wellness and Recreation Center, commonly known as the arena. A representative from David Ground Associates presented a detailed financing proposal for the project, which includes $2,491,000 in renovation costs. Security Bank and Trust from Glencoe, Minnesota, offered the lowest borrowing cost with an interest rate of 4.63% over a 20-year term. The representative also mentioned the potential for additional grants, with a conservative estimate of $500,000 being pursued to support the project.

During the public hearing, there were no comments against the renovation plan, and the council members expressed unanimous support for the resolution. One council member emphasized that the renovations would enhance the arena’s marketing prospects. Following the approval of the tax abatement pledge, the council also passed a resolution for the sale of the general obligation bonds needed to finance the project.

In addition to the arena renovation, the council delved into discussions about the city’s water treatment and infrastructure. The Public Utilities Director addressed recent water quality issues, explaining that discoloration was due to chlorine reacting with suspended matter rather than a chemistry issue. A strategy to combat this problem was discussed, including moving the chemical feed point and flushing hydrants throughout the town. The director assured the council that there were no health risks associated with the water, labeling the issue as primarily cosmetic.

The discussion then turned to a comprehensive analysis of the city’s water treatment facility. A draft water system analysis report was presented, highlighting the aging infrastructure and the need for upgrades. Six alternatives were proposed to address the identified issues, including restoring the existing treatment plant, regionalization with the East Range Water Board, and constructing new facilities utilizing different water sources. The cost estimates for these alternatives ranged from $13 million to $31 million, depending on the chosen solution.

The council also considered the potential for sourcing water from White Water Lake, although concerns were raised about the sustainability and treatment costs associated with this option. A technical committee review process was initiated, focusing on regionalization and groundwater supply as the most viable alternatives. The council emphasized the need for further investigation and a review before making any final decisions.

In a related topic, the council discussed a hydrogeologic study concerning the water tower, with an estimated completion time of two to three months for a desktop review. The potential drilling of test wells was mentioned. A motion to proceed with acquiring information and estimates for the study received unanimous support from the council.

Another issue discussed was the Fisherman Point application process for the 2025 season. A new Google survey format was introduced to simplify the submission process, especially for those applying for multiple sites. The council debated raising the rates for lake access and non-lake access sites, ultimately deciding to increase the fees to $3,000 and $2,500, respectively. This decision was made to keep up with annual cost rises while ensuring the area remains competitive compared to nearby locations.

The council also supported a resolution for the St. Louis County project to create a grade separation at the County State Highway 100 railroad crossing. This proposal aims to address concerns about emergency service access being hindered by railway crossings. The council recognized the importance of improving traffic safety and emergency response capabilities, agreeing to support the bridge construction project scheduled for 2027.

Lastly, the council approved an agreement with a golf course guide company to provide free golf course guides funded through advertisements. This initiative aims to enhance visitor experience and promote local amenities. Additionally, the council approved the final payment application for the Midway Shelter project.