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Ely Council awards $911,637 street contract, approves utility projects and three ordinances
Summary
Ely City Council on June 2 awarded the 2026 Street & Infrastructure Project to Mesabi Bituminous for $911,637, approved sale of two graders and several utility expenditures including a solar down payment for the water plant, and unanimously adopted second readings of Ordinances 401–403.
Ely, Minn. — The Ely City Council on June 2 awarded the 2026 Street & Infrastructure Project to Mesabi Bituminous, Inc., accepted high bids on two surplus graders and approved a package of utility and ordinance actions during a meeting at City Hall.
Council voted unanimously to award the street and infrastructure contract to Mesabi Bituminous for $911,637, subject to Change Order #1 and a contract decrease of $61,083. Clerk‑Treasurer Langowski told the council the project will be funded by a mix of sources, including $150,000 from IRRR, $175,000 from CDBG, $64,000 from Small Cities funding, $130,000 from street and infrastructure receipts, a $5 monthly utility bill surcharge, and remaining amounts from the Capital Projects Fund and Public Works General Fund.
In related asset actions, the council accepted a $39,750 bid from Mesabi Bituminous for a 1994 Cat 140G grader and a $25,000 bid from Bloomquist Construction for a 1988 Cat 140G; both sales were approved unanimously.
The council also approved several Ely Utilities Commission recommendations. Members authorized a $5,000 quote from Hawkins for a mini bulk storage tank and chemical feed equipment and approved a 10% down payment of $14,851 to Zieglar for installation of solar panels on the Water Treatment Plant roof; Langowski said approximately 70% of the solar project cost will be covered by a State of Minnesota grant and the remainder by a federal grant upon completion. Council approved Miller Roofing’s $27,680 bid to replace the Water Plant roof and several smaller utility expenditures including a $1,011 estimate for water meters and a $17,330 invoice from Fergus Power Pump for press rental to process biosolids, which A. Forsman said will yield about a 60% cost savings for biosolids handling.
City Attorney Klun presented amendments for second readings to three ordinances. The council unanimously approved Ordinance 401 (amending Chapter 6 on peddlers, solicitors and mobile food vehicles — adding a requirement that food trucks participating in organized city festivals show proof of a valid Department of Health license and registration with the event organizer), Ordinance 402 (amending Chapter 5 on consumption and display), and Ordinance 403 (amending Chapter 11 permissible and conditional uses). Each ordinance passed on a unanimous roll call vote.
Votes at a glance: - Award 2026 Street & Infrastructure Project to Mesabi Bituminous, Inc., $911,637 (A.Forsman/Roose; outcome: approved unanimously). - Sell 1994 Cat 140G to Mesabi Bituminous for $39,750 (A.Forsman/Lahtonen; approved unanimously). - Sell 1988 Cat 140G to Bloomquist Construction for $25,000 (A.Forsman/Roose; approved unanimously). - Authorize $14,851 down payment for Water Plant solar panels to Zieglar (A.Forsman/Roose; approved unanimously). - Approve Miller Roofing $27,680 roof replacement (A.Forsman/Roose; approved unanimously). - Adopt Ordinances 401, 402 and 403 on second reading (A.Forsman/Lahtonen and others; each approved unanimously).
The council approved city and Ely Utilities Commission claims totaling $323,085.08. The street project award is contingent on final contract adjustments; staff will return with finalized contract documents and implementation timelines.
