NEW ULM — The holiday season is nearly here, but the future of New Ulm’s downtown holiday decorations is delayed.

The New Ulm City Council voted to table a decision on hiring engineering services regarding anchor design for new poles used for hanging holiday garlands. The cost of this engineering service is $45,000.

At its Oct. 29 meeting, the Downtown Garland Committee unanimously approved the use of the holiday decoration funding for engineering services by Bolton & Menk for anchor designs of new poles in the downtown area.

The anchor points on the buildings downtown are no longer able to supports the garland spanning across Minnesota street. The Downtown Garland Committee was tasked with looking at options for the garland to continue.

To move forward with the hanging garland, Bolton & Menk would need to draw up anchors for new poles for installation at all intersections of downtown. This service has a range of $32,500 to not to exceed the amount of $45,500. The service includes drawing anchors for the proposed 22 poles, for 11 strands of garland from 4th North to 1st South.

City Manager Chris Dalton said engineering services are needed before obtaining quotes. The pole manufacturer needs to know the weight, wind and snow load before giving a quote. The engineering service will let the city know where poles can be placed as steam tunnels and utility lines run throughout downtown.

Based on projected quotes from 2013, the cost of these poles would be $464,343. In 2013, the price per pole was $15,000. Based on a 5% increase per year, the cost per pole is now $21,106.50.

The council was evenly split on whether to move forward with this project. City Councilor David Christian said spending $45,000 for a study on a project that could cost half a million dollars was a lot to ask; especially since the garlands were only up a few weeks out of the year.

Councilor Les Schultz supported moving forward. He said half a million was the high end but said fundraising was an option for this project. In addition, the poles could be used for advertising other events throughout the rest of the year. He reminded the council this is a one-time cost and these poles would be in place for decades, and the garlands were a long-time tradition that people want. Installing the poles in phases could spread out the cost over multiple years.

Councilor Larry Mack acknowledged this project was a lot of money but said an engineering plan was needed to move forward.

Garland committee member Heather Hammer said last year the stores received thousands of signatures from people who wanted to keep the garlands.

“I think this is best for the city,” she said. “This is something that is unique to New Ulm and brings people here.”

Schultz agreed that without the garlands, New Ulm loses one of the things making the city special.

“I think we can all come together as citizens to make this happen,” he said.

Christian said there was nothing in the budget next year for this, and the city was already facing a difficult budget in 2021.

“I have a hard time supporting it,” he said. “It is a lot of money.”

Council President Charlie Schmitz did not support moving forward with engineering. He had hoped the Garland Committee would use the $50,000 budgeted to develop a new plan, but instead, it was being used for a study that committed the city to a high-cost project. Schmitz wanted to move beyond the garland decorations because it was too great of a cost.

“We can’t spend that kind of money on poles, whether that is tradition or not,” he said.

Schmitz said if the public wanted to fundraise first, they could considering doing the study, but until then, the idea put too much money on the taxpayers. He estimated this could raise the tax levy by 8%.

Schultz said if installed in phases, the expense could be spread out and it was a one-time expense.

The council decided to table a decision on the study because the vote was likely to end in a 2-2 tie.

Even if the study was approved, New Ulm could not realistically expect to install the poles until 2022 due to the lead time needed to conduct the study and order the materials.

The poles are necessary to hang the garlands because the anchor points on downtown businesses are no longer structurally sound.

Dalton said the bells and stars attached to the garlands caused a fire a few years ago and the liability is too high for the city. Getting businesses to sign easements was difficult and only three garland lines were currently up.

No garlands are planned for this holiday season. For 2020, the city will place double-sided wreaths on 78 of the downtown light poles for Christmas decorations. The Chamber of Commerce will continue to place trees at every corner.

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The council approved the use of $1.028 million of Coronavirus Aid, Relief and Economic Security Act (CARES) Act Funds by the State of Minnesota.

Finance Director Nicole Jorgensen said the funds would be allocated with approximately 60% going towards payroll, 29% towards technology, 11% to miscellaneous expenses and less than 1% to general supplies. The payroll allocation will put about $300,000 back into the General Fund, $69,000 into the Park and Recreation Fund and $200,000 into Public Utilities funding. The remaining will be distributed to smaller funds such as Library, Housing, Parking and Equipment.

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A request from Kwik Trip to terminate an agreement and easement for the property at 618 N. 16th St. was approved. Kwik Trip owns this property as of March 20. An easement agreement on the property was placed on the property in 1983 for the buildings located at this address. With the removal of these buildings, there is no longer a need for the agreement.

Kwik Trip agrees to install a sidewalk, curb and cutter at this location before Sept. 1, 2021.

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The 2021 city fee schedule was reviewed for the first time, and Schultz discussed waiving the daycare inspection fee.

Schultz said three years ago this $50 fee was waived for one year to eliminate an obstacle for daycares. Schultz felt daycares were still a need and believes the fee could be waived again, suspecting it was not a significant source of revenue for the city.

Schultz also questioned the cost for residents renting the new amphitheater. The full-day rental for a resident is $110. Park and Recreation Director Tom Schmitz said this fee was for renting a combination of German Park pavilion and the amphitheater together. At this time, there is no non-profit rental fee for the amphitheater.

This was the first reading of the fee schedule, and no official changes were made at this time.

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Interim City Engineer Joe Stadheim was appointed city engineer, effective Nov. 4. Stadheim has been the interim since May 31 and was the assistant city engineer since Jan. 2, 2007. No initial probation period is needed as he has served in the interim capacity.

Stadheim thanked the council for the opportunity to serve the City of New Ulm in a new role.

The council also approved the appointment of Interim Public Works Superintendent Jeff Hoffmann to Public Works superintendent. Hoffmann has served as the interim superintendent since July 1 and has been the assistant Public Works superintendent since April 20, 2014. No probationary period is needed as Hoffmann has been serving in the interim since July.

Hoffmann thanked the council and said he enjoys working for the city.

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A conditional use permit (CUP) was approved for Jill Peterson’s home occupation hair salon at 29 Circuit Dr. Home occupations are allowed with a permit. Since 1977 the city has approved 15 CUPs for hair and beauty salons. Staff recommended approval due to a limited amount of traffic generated by the business, adequate off-street parking and the previous CUPs approved for this purpose.

A side-yard variance request from M & D Properties, LLC, was approved for the construction of two storage building condominiums at 323 N. 19th St. The approval required a common party firewall to be constructed along the common walls of each unit.

An application from Rodney and Bonnie Roebbeke for a variance to reduce the front yard setback from 30 feet to 17 feet was approved. The application would allow the construction of a 20-foot by 26-foot attached garage at 1213 Hauenstein Dr. The staff and council recommended approval due to the unique nature of the property. Its location at a street intersection gives it three front-yard setbacks.

A petition from Bev Luneburg of Luneburg Enterprises was approved to rezone 1601-1627 S. German St. from High-Density Residential (R-3) to Medium Density Industrial (I-2). Staff recommended approval because the property abuts two industrially zoned areas. The property was formally zoned as Industrial but was changed in 1975 to Residential. The land is currently undeveloped, suggesting the current zoning does not fit.