A special meeting of the Council for the City of Crystal Falls was held in the Council Chamber of the City Hall on Friday, June 7, 2002 at 9:00 a.m. Central Time.

Present: Mayor Cram, Councilors Hendrickson, Nylund, Benda and Lind.

Also present were City Manager Nordeman, City Attorney Lawrence and City Clerk/Treasurer Olson.

The purpose of this special meeting was to conduct a budget workshop and to consider pay request #3 from Butch Neuens Landscaping, Inc. for work completed on the Paint Riverwalk project.

Councilor Benda supported by Mayor Cram moved to approve Pay Request #3 from Butch Neuens Landscaping, Inc. in the amount of $13,180.42, for work completed on the Paint River walk project.

Motion carried.

Manager Nordeman presented the Council with some preliminary facts and figures to consider during the budget process. He reviewed the Capitol Equipment Purchase plans, pay increases, sidewalk restorations, and the expected revenue sources for the upcoming fiscal year. Mr. Nordeman also presented the need to budget some dollars for the planning commission to assist in the development of a Master Plan for the city.

A suggestion to meet with the employees and Fred Stoor about the hospitalization cost increase and options available was proposed. Manager Nordeman will set up the meeting for a date in the near future.

Manager Nordeman urged the Council to consider increases in the water rates to help fund a water project; the sewer rates to cover the shortfalls experienced due to legal fees; and electric rates to recoup losses due to increases in the city’s cost to purchase power from Wisconsin Electric.

A report on the reserves showed a steady holding since 1994. Councilor Lind asked if perhaps some of our reserves would be better invested in different ways. Manager Nordeman will look into the possibilities.

Councilor Hendrickson asked that a portion of the budget be reserved for auditorium renovations. Frank Groeneveld briefed the Council as to what the Historic Preservation Committee is working toward regarding the auditorium asking for $1,500 - $2,500 be set aside for this project.

There being no other items on the agenda, the meeting was adjourned at 11:43 a.m.