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October 15, 2003 – 7:30 PM



The meeting was called to order by Chairman Michael White at 7:30PM.


Members present:  Managers Bud Bystrom, Deena Congdon, Jim Sanborn, Darrell Scott, and Mike White.

Members absent:  None.


Also present:  John Jamnick and Jim Pucel of RLK-Kuusisto Ltd., Clerk Jo Ann Pohlman, a reporter from the Voyageur Sentinel and 7 members of the community.




Motion by B. Bystrom, supported by D. Scott to approve the minutes of the Regular Meeting of October 1, 2003.  Motion carried.



  • The correspondence was presented to the Board.
  • A motion was made by J. Sanborn, supported by B. Bystrom to place the correspondence on file to be acted upon as required.  Motion carried.


RLK-Project Status Report

  • Wastewater Collection System – Wagner completed most of the mainline piping on Gold Coast Road, Hilltop Road, from the County dock to the post office on C.S.A.H. 24 and from Borderland to the access road on C.S.A.H. 24.  The Contractor is scheduled to complete the mainline piping on C.S.A.H. 24 and will start from the end of Bowser Court and complete the mainline to C.S.A.H. 24.
  • Wastewater Treatment System – Rice Lake completed the removal of the wall plates and ties, removed the wall forms off the site, backfilled around the building, installed the manifold piping, installed all of the six-inch force main and installed all the waterline piping.  The Contractor is scheduled to install the eight-inch PVC piping and manholes for the sand filter, install the three-inch HDPE piping to the header and to complete the construction of the south dike of the sand filter.
  • Easement signing is nearly completed.
  • Lake Country Power needs to apply for a permit from the US Forest Service for power to the lift station and the treatment site.
  • A work order has been placed for telephone service with Frontier and Automatic Systems Co. has been contacted.  Frontier and Automatic Systems are coordinating service requirements.
  • Easement/construction changes requested by homeowners are being addressed.
  • Culvert – John Jamnick spoke to the County bridge engineers.  It is not in their plans to replace the culvert between Borderland and Norway Lodge on the Gold Coast Road.  RLK should go ahead with work as planned.
  • A punch list has been prepared for the Contractor for road completion and cleanup.
  • No Board action was required.


Grinder Pumps

  • John Jamnick, Jim Pucel and Mike White met previous to this meeting to discuss grinders.
  • RLK recommends that the grinder pump submittal be returned to the Contractor unapproved as it does not meet the specifications in three areas:  The type of tank – fiberglass vs. polyethylene, the float system is different than the spec, and it is a wet well structure only where a wet well/dry well structure was requested.
  • The Contractor will be allowed time to respond.

Special Assessments

  • M. White has been talking with Scott Harder and John Jamnick.  Scott Harder is working with Mary Frances Skala of Fryberber.
  • There are referrals in some Hearing letters for a process to defer payments.  Mary Frances advised that the deferral process would require that the property owner be over 65 and retired or certifiably disabled by the Social Security Administration. The deferral process would be available for Homestead properties only; not for seasonal residences or businesses.  Deferrals would increase assessment amounts for the remaining property owners. Because of these requirements, it appears no one is qualified.  If someone feels they are qualified, they should contact the Board and the Board will look into the deferral process further.
  • The Board will need input from John Jamnick and Scott Harder regarding undeveloped property assessments. M. White felt undeveloped property would benefit from the sewer system when the property is developed.  There would then be a hook-up fee.
  • Scott Harder created a schedule to wrap up this part of the project.  The schedule is as follows:


October 15 Board Meeting:     Board to consider policy on grinder pump station sharing (need to make final decision on this).  Board to discuss policy on deferment of assessments (no action necessary).


October 15 – October 31:       Engineers to address changes in grinder pump station location, sharing and sizing.  Engineers to identify any properties that should connect to the system per the 300-foot rule in Ordinance No. 1.  Board to identify connections that may have been missed in the mailing (e.g. Stern, who never received the mailed notice) and seek signed waivers from those property owners.


October 31:                             Board and engineers to forward final connection information to EFG.


November 1 – November 4:    EFG and Fryberger to compile appeals and appropriate responses.


November 5 Board Meeting:   Board to adopt deferment policy.  Board to formally address appeals.  Board to authorize mailing of final assessment notices.  Board to authorize certification of assessment roll pending receipt of full- or partial- prepayments on or before November 15.


November 15:                         EFG to provide assessment roll, certification resolution, and CD-ROM of assessment information to St. Louis County auditor.


  • The accelerated timeline of this part of the process was affected by the timing of the injunction hearing results and the November 15th County Auditor deadline.
  • Dave Erding asked how the assessment included in property taxes would affect the sale of a property.  M. White said the remaining amount is usually passed on to the buyer but is dependent on the agreement of the lender.



  • RLK is researching the issue of barging to a collection point in the WSA.  Holding tank requirements, schedule for pumping systems, costs to operate, and a feasible way to spread the costs of the project are issues to be determined.
  • Their current ESA report would need to be amended, as barging was not a consideration when it was created.


NTS Contract

  • M. White has received a revised contract with minor changes.
  • M. White requested and received the Boards approval to forward the revised contract to Mary Frances Skala for review before distributing to the Board.

Lawsuit Settlement

  • The District requested $7,506.54 in court costs.
  • The Court awarded $3,794.04 or 50.5%.
  • Our attorney has advised that there is an appeal process and recommended that the District does not appeal.
  • M. White has contacted the Attorney as to the payment process of the settlement amount.




Board of Manager’s Appointments – Two members of the Board’s terms will expire on January 1, 2004 – Jim Sanborn and Mike White.  The District and the Town Board have notified the County Board that the Town Board would be making recommendations for future appointments. A motion was made by B. Bystrom, supported by D. Scott, to write a letter to the Town Board notifying them of the expiring terms so they may begin the selection process.


A letter was received from attorney Joseph Mihalek requesting payment.  $Approximately $10,000 will be transferred from the Project Fund to the Administrative Fund within the next few days.    M. White requested approval to send $10,000 to Mr. Mikahlek; which is about ½ of the total bill.  A motion was made by J. Sanborn, supported by B. Bystrom, authorizing payment of $10,000 to attorney Joseph Mihalek.  Motion carried.


There was a question at the Hearing regarding the $6,000 loan from the Administrative Fund to the Township in 2002.  The loan was repaid to the District in September of 2003.  The bank loan referred to at the Hearing was interim funding for the project. The Project Fund now owes the Administrative Fund approximately $30,000.  Approximately $10,000 will be sent to the Administrative Fund within the next few days with the remainder being repaid soon.  This information has been on the Treasurer’s report each month and the Township loan was included in the outside accountant’s financial statement for 2002.


Regarding the safety issue near the Siegley property, the hole had dirt piled on either side and barricades in front.  The area now has orange fencing around it.




The question was asked, if a subdivision is created on undeveloped property, who is responsible for the expense of the sewer pipe and roads accessing the lots in that subdivision?  The response was that it was typically the developer’s responsibility.


Would the District be reassessed for that expense?  The response was no.


Why do property owners sharing grinders have a lower assessment?  The Assessment is based on property owners and sharing of grinder stations should not result in a lesser charge.


John Jamnick referred to Dave Adams’s Hearing request to have his own systems installer for his planned development.  John stated that the work would be done by Wagner, because it is part of the project.  John Jamnick and Dave Adams will discuss the coordination of Dave’s activities with the Project.


The next Board of Managers’ Regular Meeting will be on Wednesday, November 5 at 7:30PM at the Crane Lake Chapel Fellowship Hall.


There being no further business the meeting was adjourned at 8:30PM




J. Pohlman


Crane Lake Water & Sanitary District
P.O. Box 306 · Crane Lake, Minnesota 55725
© 2001 CLWSD