Minutes - 2007/02/26 - Laserfiche WebLink

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Mounds View City Council February 26, 2007 Regular Meeting Page 9 • Mr. Jay said that they made payments and continued to work and struggle and ended up getting the money paid into the pension program and refinanced land and buildings and equipment to help with the debt load and then, when they thought they were digging out, they were indicted 18 months ago. Council Member Fiaherty asked why the payments to the retirement funds were not made. Mr. Jay indicated they did not have the money to make those payments as they were behind in all payments and were paying themselves very little to survive and keep from having to file bankruptcy. Council Member Flaherty asked if there was malicious intent. Mr. Jay said there was no money to embezzle they simply had no money to pay into the fund. Council Member Mueller asked how many people they employ today. Mr. Jay said 26 or 28 or so and will be up to 45 or 50 in the suminer and they will do about $8,000,000 in revenue this year. • Acting Mayor Stigney said that a lot of people ha~e had issues since 911 and that is not an excuse but a judge has ruled and passed a sentence and his only concern is whether this contractor can perform under the contract. He then said that this contractor has shown that they can perform on other projects in the City. Finance Director Beer indicated that the payments are made directly to a bonding company on behalf of the contractor. Mr. Jay indicated that is still the case. Council Member Flaherty said that when he saw the information and had a lot of questions. He then thanked Mr. Jay for coming to the Council and standing before him and providing an explanation for the situation. He further asked that the Resolution be reread. Council Member Flaherty said that the bump out was put in to allow a place to move over to the side away from the flow of traffic on the boardwalk and overlook the wildlife while resting for a minute. He then said that there are a lot of people that cannot make that walk all at one time. He further said that he feels the bump out is needed in this location and he would like to leave it in. Ayes - 2 Nays - 2(MuellerlFlaherty} Motion failed. • MOTION/SECOND: Mueller/Flaherty. To Waive the Reading and Approve Resolution 7027, a Awarding a Construction Contract for the County Road 10 Trailway Project and Accept Jay Brothers and Leave the Bump Out In.