08-19-2014 CCM - Laserfiche WebLink

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LAKE ELMO CITY COUNCIL MINUTES AUGUST 19, 2014 Page 4 of 8 Council Member Nelson asked about the $174,000 number and where it comes from. Finance Director Bendel responded that it is an in and out, the money comes from the Assessment dollars to pay the debt. There was further discussion on this point. Council Member Bloyer asked about the initially proposed numbers vs what they came in at for the streets and trails portion. City Engineer Griffin stated that both of those numbers came in under the Feasibility Report so they went down. Council Member Nelson asked about the water component that got added and why it is there now. City Engineer Griffin responded that the watermain was added because as Public Works went out and as they were exercising the valves they found the valve covers were full of water. When this happens, it is anticipated that every valve will need to be inspected and see what kind of condition it is in. This project has an amount built in to replace all the valves but engineering will be looking at all the valves and deciding whether or not to keep them, replacing parts of them, or replacing the entire valve. The amount included for replacing valves is $55,000. There is also $45,000 for replacing five fire hydrants. There is also a cost of about $15,000 for providing temporary water to the buildings while construction is taking place. There is also a cost for restoration. Council Member Nelson asked if the City has enough cash flow in the sewer and water fund to carry until bonding next year. Finance Director Bendel answered that we do. Council Member Smith asked about the outstanding assessment and who is responsible if the property owner does not pay the $2,667. City Administrator Zuleger stated that the property owner has committed to the $2,300. Mayor Pearson asked City Attorney Snyder if the City would be on the hook for the amount. City Attorney Snyder stated that he does not think so. Council needs to adopt the Resolution ordering the assessments as put forth by the City Engineer. Council Member Smith asked about putting an assessment or a lien on the property when it goes to be sold. City Attorney Snyder stated that he believes so but Council needs to pass the resolution ordering the assessments. Council Member Smith stated that she would be more comfortable with this being done. MOTION: Mayor Pearson moved TO APPROVE RESOLUTION NO. 2014-63, ACCEPTING BIDS AND AWARDING A CONTRACT TO GEISLINGER & SONS, INC. IN THE AMOUNT OF $1,760,458.80 FOR THE 39TH STREET NORTH: STREET AND SANITARY SEWER IMPROVEMENTS INCLUDING ADD ALTERNATE NO. 1 AND ORDERING THE ASSESSMENT AS MODIFIED BY OUR ENGINEER. Council Member Nelson seconded the motion. Council Member Bloyer spoke about the project being over budget. Council Member Smith spoke about the how sidewalk benefiting all 1,200 new homes that will be coming to this area. She is also concerned about spending $1.7 million dollars and about what might happen in the future, but she also wants to do the project right if Council is going to approve it and that it is a good investment. There was further discussion on the sidewalk and maintenance issues. Mayor Pearson stated that he understands Council Member Bloyer’s concerns but that the property owners are paying for 80% and the City is picking up 20%. Most developments now are doing sidewalk like this. He also stated that there was no pushback from property owners on putting in sidewalk. Mayor Pearson stated that he also has concerns with the project but that it makes complete sense. Council Member Nelson stated that he agrees with both Council Member Bloyer and Mayor Pearson. He also has concerns about adding the sidewalk, and that it is something he feels could be added later,but it is something that is going to be done.