By Patrick Tepoorten

The Rush City Aquatic Center finished the year better than expected, though it continued the trend of ending the year in deficit.

Rush City School District Activities Director Bob Schlagel addressed the Rush City Council on Nov. 13, and attributed some of the $7,754 shortfall to low August pool usage, a shrinking body of children needing swimming lessons, and repairs to the concession stand that required it to be closed a portion of the summer. Still, he also noted, that had August numbers been higher, the center may have covered its losses this year.

The center lost $16,192 in 2006, $2,172 in 2005, and $47,344 in 2004 and was projected to lose $21,850 in 2007.

"We'd all like to see black numbers," said Schlagel, "but it's not in the cards."

Councilor Mick Louzek was not phased by the deficit balance, pointing out, "with the recreational services we're providing, I don't have a problem with it."

Mayor Jim Ertz added, "We just don't have enough people."

As in previous years, the city and the school district are expected to split the cost of the budget deficit.

In other city news:

• The hiring of a winter seasonal employee forced a discussion among the city council as to the responsibilities of a city making such hires. After much back and forth over drug tests and background checks, it was decided that the approved temporary employee would be subject to a background check.

The council noted the move had nothing to do with the approved seasonal employee, and that it would take up the issue policy for all seasonal employees at its next regular meeting. As well, the city will be looking at making a medical physical and drug test mandatory for all full- and part-time hires.

• Negotiations are under way between the city and the St. Croix River Education District (SCRED) over two sites (in one building) the district leases from the city. City Administrator Amy Mell reported that, in negotiating with Rush City School District Superintendent Vern Koepp, $3 per square foot, per month, over 10 years, had emerged as a possible lease agreement.

Ertz pointed out that SCRED had leased a large portion of the space for essentially nothing over the past seven years, although he did acknowledge upgrades to the facility made by SCRED over the last decade or better.

Added Louzek, "They've had a pretty nice deal for the past seven years."

Mell was directed to seek a $4 per square foot - 10 year lease from SCRED. The lease would be considered a "triple net" lease that would make the district responsible for all maintenance and taxes on the property over the lease period.

• The city decided to change health plans next year after it was learned that costs would increase 15 percent from this year to next. Starting in 2008, employees of the city will have health savings accounts rather than the more traditional insurance plan.

• Rush City will put out "requests for proposals" for city attorney, auditor, engineer, and bonding in the near future.

• The Truth in Taxation hearing for Rush City is scheduled for Nov. 29, at 6:30 p.m.