CC 09-22-1997 (3) - Laserfiche WebLink

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. . . ARDEN HILLS SPECIAL COUNCIL MEETING - SEPTEMBER 22. 1997 8 Mayor Probst requested clarification that approval of the Purchase and Sale Agreement assumes that the City will pay the above-listed additional costs. Mr. Fritsinger stated he is seeking Council direction on these issues, Mayor Probst inquired as the wetland mitigation is now being relocated with the changes to 14tb Street, and what becomes of the $85,000 credit. Mr. Ringwald stated the developer would be paying the additional costs of increasing the pond in the 14tb Street area. Mr. Ringwald stated as the City is paying the costs of raising the street, the developer should pay for the additional ponding in this area. Mayor Probst inquired if language changes were necessary, Mr. Fritsinger stated the changes would be non-substantial. Mayor Probst requested clarification that the purchase price would be $323,385 with the understanding that the developer would pay the additional costs, Mr. Filla stated this would be considered a substantial change, as the purchase price will change significantly. Mr. Zehring stated this is the first time he has heard of this particular arrangement. He stated his company has budgeted $325,000, and they are already experiencing budget problems due to the soil corrections and additional easements. The grading costs are not reflected in the budgeted amount. Mayor Probst stated the original agreement was for the developer to accommodate the City's ponding needs, but with the regrading of the street, this has changed, Mr. Fritsinger stated at the last two meetings with Mr. Zehring, it was pointed out that the final costs had not yet been determined, Mayor Probst suggested that the City pay for the removal of the foundation and piping, but that the square foot nwnbers will have to be recalculated for the pro forma. Mr. Fritsinger stated he could recalculate the figures, but it would require a short amount of time to do so. Mayor Probst stated this would need to be done immediately for an agreement to be reached, Mr. F ritsinger recalculated the figures, and the meeting reswned, Mr. Fritsinger stated the additional costs for l4tb Street and the ponding could be considered part of the infrastructure improvements necessary to make the project feasible. The City had initially indicated it would use tax increment financing (TIF) to cover the costs of similar improvements, If the Council believed these costs were consistent with this position, it would not be out ofline to use TIF to cover the costs, Mayor Probst requested clarification that any additional costs could be covered by the TIF monies being generated from the project. Mr. Fritsinger stated that appears to be correct.