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7 <br />that the City waive all building fees for the Rice Lake <br />Elementary School that is to be constructed on Birch Street. Mr. <br />Schumacher explained that the City and the School District have <br />cooperated on several projects and the City will be helping in <br />the development of the school grounds and play area. He also <br />noted that the City will be participating in the construction of <br />an underpass under Birch Street. <br />Mr. Schumacher noted that several other entities have constructed <br />buildings in this City and the City has always followed the state <br />building code and required payment of the building code fees. He <br />noted that waiving of building permits is more common in other <br />communities. <br />Mr. John McClellan, Superintendent of Schools explained that the <br />school district is not trying to "bite the hand that feeds them" <br />but this is a public facility which will partially be paid for by <br />the citizens of Lino Lakes. He noted that the City of Blaine has <br />been very cooperative in this area and has even forgiven other <br />fees that were due. <br />The amount of the fees will be approximately $14,000.00. Mr. <br />McClellan explained that the school district would pay all <br />inspection costs and other costs related to the building permit. <br />The cost savings will allow the school district to build <br />something in the new building that otherwise might be deleted <br />from the plan. <br />Council Member Kuether asked if permit fees were considered in <br />the bidding of the project. Mr. McClellan said yes, but he is <br />asking that the cost of the building permit be used in another <br />aspect of the construction. He noted that the 4th gym has <br />already been eliminated from the plan and the irrigation system <br />is being re- evaluated. <br />Council Member Neal noted that the school district is planning to <br />give the ice arena project $250,000 of general revenue money. <br />Mr. McClellan explained that the total cost of that project is <br />over $2,000,000. This is the only money the school district will <br />put into this improvement. All other funding is coming from <br />private sources. <br />Council Member Bohjanen said he enjoyed working with the school <br />district and felt if $14,000 would enhance the school district <br />position, he would waive the fees. <br />Council Member Kuether said she personally felt this City should <br />not be subsidizing the school district. She noted that Lino <br />Lakes cannot afford to do this. <br />Acting Mayor Reinert noted that we do not have a precedent in <br />Lino Lakes and asked Mr. Schumacher to research the uniqueness of <br />PAGE 6 <br />1 <br />