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Thursday, July 13, 2006
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State auditor nixes utility scholarship
The Brainerd City Council and the Brainerd Public Utilities Commission will reconsider how to fund a $300 scholarship offered in honor of the late former commission member Ole Howard.
The PUC established the scholarship, the Ole Howard/Brainerd Public Utilities Memorial Scholarship, at its April 25 meeting as an offshoot of the Minnesota Municipal Utilities Association scholarship program. The council, at its July 1 meeting, directed City Administrator Dan Vogt to check with the state auditor's office to determine if a scholarship was allowed.
In a letter to Vogt, Brooke Bordson of the state auditor's office said user fees may not be collected to fund a scholarship because the scholarship is not related to services provided.
Vogt said the scholarship had not been paid and the $300 will be reviewed by the city council Monday. PUC member Bonnie Cumberland said the commission will look into different ways to fund the scholarship. She said the commission would honor this year's winner with funds coming from another source.
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