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MINUT~S <br />CITY COUNCIL <br />JUNE 8,1999 <br />may not cover that cost. The Administrator pointed out that Mr. <br />Frattalone has an excellent track record with the City. However, the City <br />may be faced with a different owner given that the interim use will run <br />with the land. <br />Fahey suggested that an option may be to require a smaller bond as well as <br />a Confession of Jud~;ement Clause wherein the developer would reco~nize <br />the liability for the cost of removal of the stockpiles. This could be added <br />as a lien against the property. Fahey agreed that bondability was critical in <br />the contracting business, and suggested that the City look for options to <br />protect its interests while not placing undue burden on Mr. Frattalone. <br />The City Attorney reported that he has not had an opportunity to explore <br />whatever options might exist. The Attorney pointed out the potential the <br />City would have of dealing with the property owner in an adversarial <br />position and noted that whether a bond or Confession of Judgement is <br />used, neither provide as much protection to the City as a Letter of Credit. <br />Fahey indicated that he would prefer a smaller bond. Pedersen pointed out <br />that Mr. Frattalone could cease to be the property owner, and then the City <br />would be dealing with someone that did not have the proven track record <br />that Frattalone has. Fahey noted that the documents will iun with the land. <br />Pedersen suggested that Mr. Frattalone argue his position and that the <br />Council must consider what is best for the City. <br />Fahey suggested a lien against the property may be an option, and the <br />Council discussed the value of the property. <br />Frattalone estimated the value at $2 to $2.25 per square foot and noted that <br />he has ten acres of property, therefore, a property value of $1 million. <br />Frattalone also pointed out that there have been some sales along Country <br />Drive where prope~Yy sold for $3.00 per square foot. <br />Fahey felt there was sufficient property value to support a lien on the <br />property that would run with the land for the term of the interim use <br />permit. Fahey agreed that the City has to protect the City's interest while <br />balancing the needs of the property owner. <br />Pedersen noted that the Council has been told that the propeRy should be <br />used as a stockpile site because the property is not worth anything. <br />Fahey stated that it appears the business is a viable one that is acceptable <br />for the area. <br />