Hibbing council approves resolution showing full funding for public safety building project

The Hibbing City Council on Wednesday approved a resolution documenting full funding for construction of a new public safety building, including a $10 million state appropriation and a $229,266 commitment from the city general fund. Finance Director-Treasurer Sheena Mollner told the council the project’s GMP (bid package 2) is $29,829,266.196 and that the $10 million state cash allocation grant from the 2023 legislative session must be shown as committed before the state will encumber the funds. The funding plan presented to the council assigns an unspecified portion of the GMP to the city’s local sales-tax-authorized dollars, $10,000,000 from the state appropriation, and $229,266 from the city general fund; Mollner said the city retains the option to issue general obligation bonds if it chooses. Why it matters: securing the state appropriation in writing allows the state to move forward with the grant agreement and encumber funds needed for construction. The council’s action makes the city eligible to receive and apply the $10 million to the GMP for bid package 2. In discussion, Mollner summarized the funding sources and asked the council to approve the resolution so the state can finalize the grant agreement. There were no substantive questions recorded from councilors after the presentation. Council action: Councilor Swiberger moved approval; Councilor Bayless seconded. The council approved the resolution by voice vote with no recorded dissent. What’s next: With the resolution passed, the city expects the state to encumber the appropriation so construction bidding and contracting tied to GMP package 2 can proceed. The council did not set a timeline in the meeting for bond issuance; Mollner noted bonds remain an option.