Proposed county building meets resistance

St. Louis County is moving ahead with plans for a government services center in Hibbing,

Tuesday, the county board passed a resolution to spend $130,000 for architectural services to remodel the former Mesaba Clinic, now known as the Hibbing Annex building.

The county plans to spend up to $2.5 million on the project. Improvements will be made to the roof, windows, air and electrical systems, parking lot and miscellaneous repairs.

The annex is on the county's 2003 list of projects proposed to be financed by bonds. The list includes $2.8 million in upgrades to the Duluth Courthouse and $525,000 to tear down the old jail.

Residents will have a chance to comment on the 2003-2008 capital improvement plan at a June 24 hearing in Ely.

The county bought the clinic building in 2001 for $325,000 and spent another $66,000 for asbestos removal. The building is adjacent to the Hibbing Courthouse and will enable the county to provide one central service location, eliminate some leased space and possibly house other government entities.

But Hibbing businessman Homer Manney thinks it's a bad idea. He owns two strip malls on the Iron Range, including the Graysher Shopping Center in Hibbing which leases to county social services.

"In a time of nationwide budget crises and downsizing 'how can you justify growing the government?'" he said. "Growing the county government right now will shift a great burden on a shrinking number of taxpayers -- businesses and homeowners."

"I'm not here today to try and salvage the social service lease, I will have no problem filling it," said Manney. "I'm just concerned as a taxpayer and business owner. I'd like to know when taxes are going to stop going up both for businesses and residents."

He questioned the county's return on the investment and said the project will cost more than the status quo.

"I think putting it into use for public purposes is appropriate," said Commissioner Steve Raukar. "I don't think we're trying to grow government. It's more about consolidating other units of government. Unlike the private sector, we're in it for the long haul."

Commissioner Keith Nelson pointed out the county could build new, for what it will spend to renovate the annex.

"I don't want to be a landlord," he said. "Maybe we sell and build a smaller building." He also wants a more comprehensive breakdown of project costs.

Commissioner Peg Sweeney did not think the project was growing government, but accommodating residents by providing services.

"We're not in the business of making money, we're in the business of providing services," she said. "We aren't a business; we can't operate like a business."

Commissioner Chair Dennis Fink said, it is not an economic decision, but a political decision. He does not believe the project is necessary and doesn't support it.

"This is not a good economic decision," said Fink. "This is not a good decision for our taxpayers. It will be the taxpayers who foot the bill."

The resolution passed 5-1 for the agreement with Architectural Resources Inc. of Hibbing. Fink voted against it and Commissioner Joanne Fay was out sick.

In other business, the board continued the public hearing on the septic system loan ordinance until Tuesday. There were concerns about loan committee appointments, definitions and an interest rate mechanism. The ordinance is to increase the size of loans available from the county to replace failing septic systems.