A special meeting of the Council for the City of Crystal Falls was held in the Council Chamber of the City Hall on Wednesday, November 28, 2007 at 5:00 pm Central Time.

Present: Mayor Hendrickson, Councilors Heikkinen, Valesano, Smokevitch, and Bicigo.

Absent: None

Also present were City Manager Nordeman, City Attorney Lawrence, City Clerk/Treasurer Olson, Consultant Merle Lebakken, Chief Electrician David Graff, Robert Sherwin, Mark Simeoni, Lynn Perry, Larry Bicigo, and Charlotte Broswavic.

The purpose of this special meeting was to discuss and consider action on Iron County Community Hospital Board Appointments and a possible electric rate increase.

Mayor Hendrickson led all in reciting the Pledge of Allegiance.

Mayor Hendrickson seconded by Councilor Heikkinen moved to forward the nomination of Charles Nordeman to serve another term on the Iron County Community Hospital Board.

Motion carried.

Mayor Hendrickson seconded by Councilor Heikkinen moved to forward the nomination of Charles Sandstrom to serve another term on the Iron County Community Hospital Board.

Motion carried.

Discussion regarding the need for a restructuring of the electric rates charged by the City ensued. City Manager Nordeman, Chief Electrician Graff, and Consultant Merle Labakken explained that the increase in fees to the City for electricity purchased from WE Energies has resulted in a significant loss of revenue for the City.

Mayor Hendrickson seconded by Councilor Valesano moved to authorize the development of a new electric rate structure that will amount to an overall increase of 6%.

Motion carried.

Councilor Valesano seconded by Councilor Heikkinen moved to authorize the purchase of Demand meters for the high end electric users at a cost not to exceed $5,000.00.

Motion carried.

Councilor Heikkinen seconded by Councilor Valesano moved to adjourn this special meeting of the City Council.

Motion carried.

Meeting adjourned at 6:01 p.m.