City, BEA volley over tennis courts
Cost sharing percentages continue to be a topic of discussion
The rally between the Blue Earth City Council and the Blue Earth Area (BEA) School Board continued on Monday, March 6, as the council once again debated its contribution to the proposed eight-court tennis facility at BEA High School.
The city agreed to jointly finance the project with the School District last spring. Per the original agreement, the city would initially finance the project in full, and the School District would reimburse the city for a sizable percentage of the costs.
As the city has reached its annual limit on general obligation and abatement bonding, it would take out lease revenue bonds to fund the project up front in its entirety.
The amount for which the School District would reimburse the city has been a matter of intense debate for several months, with the council favoring a 70/30 cost split and the School Board favoring a 60/40 cost split. In both cases, the School District would be responsible for the higher percentage of the project’s estimated $1.2 million cost.
At a City Council meeting on Feb. 21, the council unanimously agreed to a 70/30 cost split, and directed city administrator Mary Kennedy to begin the process of issuing the bonds contingent on the School Board’s approval of the funding proposal.
However, the School Board countered the City Council’s proposal with a request for a 60/40 cost split.
On March 6, several council members were unwilling for the city to contribute more than 30 percent of the project’s costs.
“I thought 70/30 was a good number,” mayor Rick Scholtes said. He also pointed out that the city will soon be funding its own project at Putnam Park.
Scholtes observed that with the 70/30 cost split, “The school would put in $700,000 for their portion of the project, and the city would put in $300,000 plus $800,000 for Putnam (Park). At the end, we would be paying a lot more than the school.”
Susie Rosenau, a member of the Blue Earth Area Tennis Association, suggested the council contribute a set dollar amount to the project, rather than a set percentage of its cost.
“It changes the discussion,” she explained, adding that the $1.2 million cost estimate may very well be higher than the project’s actual cost upon completion.
Amenable to the idea, Scholtes suggested the city contribute $350,000 to the project, which would total roughly 35 percent of the project’s costs were they to come in low at $1 million.
Council member Ann Hanna disagreed, saying, “I think we’ve gone into this project in good faith as far as obtaining the financing. I was happy – the whole (council) was happy – with the 70/30 split. I’m not going to vary from that.”
She added she would feel more comfortable if the city contributed $300,000 to the project.
As a compromise, council member John Huisman moved that the city make a $330,000 contribution to the tennis court project and maintain its agreement to initially finance the project in full. The motion passed unanimously.
The council also discussed its own proposed project to replace the tennis courts at Putnam Park next year.
Current project plans accommodate an athletic facility with the same footprint as Putnam Park’s existing tennis courts. The facility would include two tennis courts, one basketball court and nine pickleball courts. The project’s estimated cost is just under $800,000.
Suggesting that nine pickleball courts are unnecessary, Huisman said, “I’d like to see us consider a skateboarding track or park. The space is there, and this is the time to include that if we so choose as a council.”
He added a skateboarding park could be a valuable community resource for children who do not participate in organized sports like tennis and basketball.
The council received Huisman’s suggestion favorably and discussed either reducing the number of pickleball courts in the facility to make room for a skateboarding park, or constructing a skateboarding park adjacent to the athletic facility.
In other business, the Blue Earth City Council:
• Heard an update from city attorney David Frundt about the status of Main Street’s Three Sisters Buildings, which are currently owned by Project 3 Sisters.
Frundt said he had recently reached out to Project 3 Sisters’ attorney and hinted that the city would be willing to take the buildings back.
“Project 3 Sisters is willing to do that at no cost to them, with the possibility of considering the funds they put into the building as a gift to the city,” Frundt said.
The council agreed they would like to take back the buildings if offered the opportunity. They decided to consider accepting Project 3 Sisters’ expenses as donations to the city, depending upon the amount the organization claims to have invested in the buildings.
• Approved a Street Project Tree Reimbursement Program which will allow residents to request reimbursement for the cost of replacing trees removed due to street improvement projects, for up to $600 per tree.
Applicants will need to submit an application within 12 months of the project’s assessment hearing and provide a sales receipt for the tree’s purchase or installation within 60 days of purchase.
• Conducted a first reading of an ordinance to convey two city-owned lots at the Prairie View Addition to Joshua Anderson and Cora Haas for $21,500.
• Agreed to cancel a City Council meeting scheduled on Monday, July 3, as it is the day before a holiday.
• Approved a Mosquito Control Agreement with Mosquito Control of Iowa for their services from June 1 through Sept. 15, which will cost $17,535.
• Approved a travel request from Dave Olson, manager of Blue Earth Wine and Spirits.
• Approved the Blue Earth Chamber of Commerce’s request to hold a raffle on March 17.
• Approved a Soliciter, Peddler, Transient Merchant Permit for The P-Pod.
• Approved 2023’s various licenses with the city of Blue Earth.