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The Legislative Auditor told the city that two $500,000 business recovery loans approved by the City Council violate rules of a relief package approved by the Legislature last September. That’s because one of the businesses wasn’t damaged in last summer’s flood, and the other didn’t exist back then.
The loans were for farm equipment maker Connaughty Industries and startup Rushford Nanotech.
State Rep. Steve Drazkowski, R-Wabasha, said neither business has received the money yet, and both have been directed to apply for other funds from the Minnesota Department of Employment and Economic Development.
Rushford Mayor Les Ladewig said Thursday that DEED had approved the loans, and he’s hopeful the state agency will ultimately deliver on them. Ladewig said about $800,000 in other loans are on hold and in jeopardy until the city gets a final, formal ruling.
The mayor said the loans to the two companies were meant to stimulate new development in the community, and city officials believed they were following the rules. Of the almost 700 homes and buildings in the town of about 1,700 people, more than half were seriously damaged by flash flooding last August, including every building in the downtown business district.
“Without jobs and economic development in Rushford, all of the money that’s being pumped in here right now is going to go for naught,” Ladewig said.
Take mold precautions for flood cleanup
First were the pesky bees. Then snow. Now mold.
As people resume repairs to flood-damaged buildings, the Winona County Environmental Services advises cleaners to take mold precautions in highly fungi-prone conditions.
Indoor mold can trigger allergies or allergy-like symptoms affecting the upper respiratory system. Individuals can avoid inhalation or infection by:
- Using rubber gloves and well-sealed eye goggles.
- Wearing outer clothing that can be discarded or easily removed before leaving a work area.
- Wearing a “N-95” respirator.
- Not eating, drinking or smoking in contaminated areas.
- Washing hands, especially before eating or drinking.
For more information, call Lesli Haines at (507) 457-6405 or e-mail lhaines@co.winona.mn.us.
