08/13/1981 Council Minutes - Laserfiche WebLink

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August 13, 1981 47 The special meeting of the Lino Lakes City council was called to order at 7:30 P.M., August 13, 1981, by Mayor Gourley with all Council members present. Mr. Steve Mattson, Juran 6 Moody, Mr. Wayne Long and Mr. Bob IIFrigaard, OSM, Mr. Ken Meister, Carley, Mr. Locher, Attorney and Mr. Schumacher were also present. 1 i MINUTES Mr. Kulaszewicz moved to approve the minutes of the meeting of August 10, 1981. Seconded by Mr. McLea. Motion carried with Mr. Jaworski abtaining. ALTERNATIVES CONCERNING PROJECT 81 -01 Mr. Steve Mattson presented his analysis of the two figures provided by OSM. He reported that, as of this date, the bonds are selling at 12%, He alo pointed out that with the elimination of the area assessment, there would need to be additional funding by 1985/86. Mr. Mattson then went through his analysis and explained the figures to the Council. He presented the anticipated disbursements and income, noting there would be a deficit figure in 1985.85, and explained this would have to be obtained from other sources. This could be either the use of the system or from a mil levy or both. Mr. Mattson wanted the Council to understand that this proposal is in the worst possible manner. He also pointed out that short term bonds, for a period of three years, can be sold at 10% at the present time and there is provision by State Law that allows a three year roll over on these bonds. Mayor Gourley noted the connection porjections and Mr. Mattson explained that figure representes only those persons abutting the trunk line and does not take into account any extension of laterals. Mayor Gourley asked, if short term bonds were sold, when is an assessment hearing held? Mr. Mattson said this is a very tough question to answer - there is a possibility of the interest changing - he suggested that it would be easier to asses at the maximum and if the bonds are sold at less, then the interest could be lowered. Mr. Mattson pointed out that there are a lot of variables in this proposal. Mr. Wayne Long pointed out that the figures presented by Mr. Mattson re- presented a shortened version of the project that was presented at the Public Hearing. This represented construction of the pump station, the lateral down Hodgson Road, the trunk line up #8 to Elm, over Elm to 4th Avenue, up 4th Avenue to Lilac, with a leteral from Elm to I35 W along #8. The larger project represented is the same project as described with the addition of a lateral along Lilac to #8 and North on #8 for approximately 500 feet. This would then serve all lands that were included in the original petition. Mr. McLean said a third alternative was being discussed - this would end the trunk at the North side of the freeway with an extension up #8 to the free- way. Mr. McLean felt this cost had been represented at approximately 1.9 million. Mr. Long pointed out that was the project cost - the figures presented by Mr. Mattson represented all costs. Mr. Long pointed out that all wet lands and unbuildable lands had been eliminated from the acres that would be assessed. It was pointed out that the 1.9 million dollar project included a shortened lateral along #8 - approximately 1000 feet only.