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spaces or additional storage spaces; and (e) no training or de-contamination spaces. The study <br />recommended the fire department construct a new station with adequate space and facilities to <br />last the department for the next fifty years and close Station 4. The study highlighted the new <br />station should be at least three to four acres, able to accommodate six drive thru bays, and <br />include training, support, and administrative offices. The recommended location was between <br />Lexington Ave and Snelling Ave along County Road E. The fire department researched <br />potential locations, and based on its size, location, and current development status, highlighted <br />the property to the north of the Anderson Center as its first choice. A copy of the needs study is <br />available on the City’s website under the proposed station’s webpage <br />(https://www.cityofardenhills.org/1005/Proposed-Fire-Station-Location). Additional information <br />regarding the project and FAQ’s can also be found on the development page. At the direction of <br />the board of directors, the fire department began discussions with Bethel about potentially selling <br />a piece of their property to the fire station. <br /> <br />The university was open to selling a piece of their property and hired a real estate consultant to <br />assist them in the negotiations. Following negotiations, a letter of intent (LOI) was reached <br />between the fire department and Bethel, which outlined major points in the deal, and now the <br />department is seeking to move forward with a purchase agreement (see Attachment B). The <br />purchase agreement is being brought forward to the Lake Johanna Board of Directors on May 20, <br />2020 for discussion and potential direction to have the fire chief move forward. <br /> <br />The major points of the Purchase Agreement are: <br />-The fire department will purchase the land for $1,350,000. <br />-The fire department will pay 1/3 or $325,000, whichever is less, of the cost to relocate the <br />current access road for the Anderson Center. <br />-The fire department will have a sixty-day contingency period following the approval of the <br />preliminary plat by the City of Arden Hills and the approval of the access road by the City and <br />the Rice Creek Watershed District. <br />-Bethel will request the City waive its traditional park dedication fees for the fire department <br />proposal. <br /> <br />Should a purchase agreement be reached, the cities would be responsible for funding their <br />respective portions of the purchase price and road cost. Generally, the cities fund the fire <br />department’s operating and capital costs based on a formula that is used in the budgeting <br />process; for Arden Hills this currently equates to 25%, with Shoreview and North Oaks being <br />responsible for 61% and 14%, respectively. Based on that formula, Arden Hills would be <br />responsible for $417,000 assuming the purchase price and the maximum amount for the road <br />relocation, which could be less depending on final costs (this does not take into account a <br />potential $300,000 contribution from the fire department’s General Fund which is discussed <br />below). <br /> <br />It is worth noting that the fire station is only seeking to acquire the property at this stage, timing <br />of construction for a future station has not been approved by the board of directors or vetted by <br />the three cities. <br /> <br />The City represents one vote on the LJFD Board of Directors, there are also representatives from <br />the cities of Shoreview and North Oaks, as well as, the fire department. If the board directs the <br />fire department to sign the purchase agreement, then the process would continue and the fire <br />department would continue with their due diligence of the site. <br />