By Tara Mathews
HOWARD LAKE, MN Howard Lake City Council approved a new agreement with Howard Lake Foods owners, Mark and Lori Custer, and the company that is leasing the store, PMC Grocers, at its meeting Tuesday.
The new contract outlines a five-year plan which extends the contract between the Custers and the city.
The contract includes interest at 5 percent, and quarterly payments made to the Custers from the city of $4,500.
The city will make a down payment to the Custers, which will be taken from the general fund and paid back to it within three years, according to City Administrator Jennifer Nash.
The current grocer, PMC Grocers, will lease the facility for another five years with an increased monthly lease payment that will help pay the city back for the down payment.
Currently, PMC Grocer pays a $1,500 monthly lease payment, which will increase to $2,500 after the new contract.
“We are pleased to see continued commitments from the Custers and PMC Grocers,” Mayor Pete Zimmerman stated. “And are happy to have the store in town.”
The council also agreed to extend the terms of a Voyager loan made to PMC Grocers for an additional three years, which brings the contract to term in 2024.
Odds and ends
In other business, the council:
• approved purchase of a new public works truck up to $30,000, which has been included in the city’s capital fund budget.
Public works supervisor Tim Kosek received two bids; for a 2015 GMC Sierra, and a 2015 Dodge Ram.
Kosek and the council decided to purchase the GMC truck.
• approved a liquor license for the Howard Lake Orphans to sell 3.2 malt liquor at its baseball games.
• approved a route for a 5k benefit for Ryan Pettit’s family Saturday, May 30 at 9 a.m.
• accepted a donation of $100 from Carolyn Wackler, which was given in memory of Christine Rosenberg, who watched the Howard Lake cable access channel often.