2013.08.05 CC Minutes - Laserfiche WebLink

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Hugo City Council Meeting Minutes for August 5, 2013 Page 4 of 6 Approve revised Assessment, Escrow Disbursement Agreement, and Letter of Credit for Rosemary Way Staff removed this from the Consent Agenda to provide the Council information on recent details of the agreements. At its June 3, 2013 meeting, the City Council approved a revision to the City's assessment policy as well as an assessment agreement and feasibility study for the construction of Rosemary Way west of Everton Avenue. The staff received a draft of a letter of credit along with revisions to the assessment agreement for consideration by the City. In order to off -set the amount of the letter of credit, a significant amount of cash was proposed to be provided up front for construction, and therefore an escrow disbursement agreement had been provided. The proposal differed from the recently adopted city policy, which requires 60% of the total assessment amount be provided to the City to secure the payment of the special assessment, including interest. The developer, Len Pratt, was proposing to provide $450,000 cash and $145,000 in a Letter of Credit. The church to be constructed on the northwest corner of Rosemary Way and Everton Avenue has agreed to cover the additional $125,000 necessary to meet the 60% as required by the Assessment Policy. Council discussed this offer and found it to be acceptable. Haas made motion, Petryk seconded to approve the Assessment Agreement, Escrow Disbursement Agreement, and Letter of Credit subject to further revisions as requested by the City Attorney. All Ayes. Motion carried. Update on the Bald Eagle Lake Outlet At its July 1, 2013 meeting, the Council discussed the Bald Eagle Lake outlet. Since the meeting, staff has met with officials from the DNR and St. Paul Water Utility to discuss ownership of the outlet as well as the need to reconstruct it. City Engineer Jay Kennedy informed Council that, though definite ownership of the structure has not been determined, there has been cooperation from the DNR, St. Paul Water Utility, and the Rice Creek Watershed District in discussing the matter. Staff hopes to put a funding package together, involving all agencies, to reconstruct the structure. No formal action was taken. Update on DNR Groundwater Management Area and Metropolitan Council Feasibility Studv During the 2013 legislative session, the legislature approved funding related to groundwater management and drinking water supply. The primary purpose is to study and evaluate the use of groundwater within the northeast metropolitan area including the City of Hugo. City Administrator Bryan Bear talked about the U.S. Geological Survey Study done on White Bear Lake; money has been approved for phase two of the study. Also, authority has been given to the DNR to create a groundwater management area to appropriate groundwater, including regulating private wells, which will likely result in conservation regulations and the use of other water sources that could impact growth. The Met Council will also be doing a feasibility study, which will include pumping water from the Mississippi River to the northeast metro area. It was noted by the Council that, though the Met Council does not regulate groundwater, it does have implications on land use planning. No formal action was taken.