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LGA disaster relief

Published (2/27/2009)
By Sonja Hegman
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After suffering a fire during the summer that took out two city blocks, the city of Green Isle is looking for help.

Sponsored by Rep. Laura Brod (R-New Prague), HF684 would provide a $150,000 increase in local government aid to Green Isle for aids payable only in 2010. The bill was laid over Feb. 25 for possible inclusion in the House Property and Local Sales Tax Division’s report.

Mayor Randal Bruegger said 25 percent of the city’s commercial base was destroyed in the July 3 fire. Shamrock Storage, the city’s largest commercial building, suffered the greatest loss. Several neighboring fire departments were called to bring the fire under control. “It smoldered for two weeks,” he said.

The city’s problems were compounded when a developer with many empty lots stopped paying special assessments in October. This will cause serious future cash flow problems and significant increases in the city’s property tax levy, Bruegger said. Green Isle has also been unable to maintain a six-month operating reserve because of increased operating costs.

Other cities have received special LGA increases in the wake of disasters including Browns Valley, Cass Lake and Mahnomen in recent years.

A companion, SF609, sponsored by Sen. Kevin Dahle (DFL-Northfield), awaits action by the Senate Taxes Committee.

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