City council authorizes $5 million for construction of new ice facility

The Worthington City Council on Monday voted to authorize $5 million in funding for construction of a new ice facility in the community, with a potential option for more down the road.

A new facility constructed on city-owned property was one of four options up for consideration, with the others being a renovation and addition to the current facility, a renovation alone to that facility or committing no funding. The projected cost of a new arena is just below $21 million.

The city's $5 million commitment comes with a sunset date of Dec. 31, which essentially gives the Worthington Hockey Association and its allies eight months to fundraise. District 518 has already allotted $5 million to a new ice facility. If the city had selected an option involving the current arena, the school district was poised to withdraw its financial support.

Council members' vote to allot $5 million was 4-1. Council member Mike Kuhle made the motion and was supported by Chris Kielblock, Dennis Weber and Larry Janssen. Amy Ernst cast the lone no vote, but she was by no means against funding a new facility. She noted that in a recent survey gauging support for it, 99 of 105 respondents were in favor.

Said Ernst: "We as council members are elected to represent you guys … the message is loud and clear. Now it’s our job as elected officials to make that happen. We need to believe in Worthington and show that belief by voting to help this project move forward." Ernst supported funding $8 million for a new arena.

Mayor Rick von Holdt didn't have a vote in Monday's decision, but he quickly agreed with Ernst's remarks, noting that he favored a $10 million city commitment.

"This just opens up so many opportunities, especially with our property out by the interstate where it's got high visibility," he said. "Why did we expand our city if we're not going to use a property that we've got annexed in?"

While Kuhle said he was well aware of the support for the project, he added that "we also need to be responsible stewards of the taxpayers’ money." Calling $5 million his "red line," he said this initial funding would allow fundraising efforts to begin, with the potential for more city dollars in the future via sales tax revenue. He also said that "it's high time that the rest of the public entities in this town step up, and I think we all know who they are." The Nobles County Board of Commissioners has stated previously that it would not fund construction of a new arena.

Kielblock commented that he believed a renovation of the current arena offered "the best bang for our buck." Weber echoed comments about fiscal responsibility, particularly at a time when the state budget picture is murky. Janssen said he supported a renovation option — yet all three ultimately backed Kuhle's motion.

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Also Monday, the city council approved the purchase of right-of-way needed to construct its Service Road and Service Drive Extension Project.

Council members approved a purchase agreement with Roger Baschke and Ann Baschke, owners of Viking Car Credit, for the acquisition of necessary right-of way.  An independent appraisal was conducted, which determined the fair market value of the required property to be $50,000. The purchase agreement stipulates that amount for the purchase.

The council also voted to receive the feasibility report on the upcoming East Flower Lane project and ordered an improvement hearing to proceed with the assessment project. The proposed East Flower Lane extension goes from West Gateway Drive to approximately 1300 feet west. Five 38-unit apartment buildings are currently planned for the immediate area.

Required hearings on the project will take place during the May 12 city council meeting,

Additionally, council members approved a task order with Bolton & Menk for professional engineering services to support the city's request for FEMA reimbursement related to Olson Park washout repair. The washout occurred last summer, and the total repair cost is estimated at approximately $99,000.

As part of FEMA's reimbursement process, a special certificate must be submitted verifying that the repair project does not increase flood levels within the floodplain. The task order, which carries a cost of not to exceed $14,000, outlines Bolton & Menk's work connected to obtaining the needed certificate.