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- . . ARDEN HILLS CITY COUNCIL - FEBRUARY 9.1998 7 Phase I of 155,00 square feet in their report. Therefore, there is about 45,000 square feet of capacity before an upgrade is needed. He noted the closing date is coming up and the developer wants to move forward with all three phases. The most optimistic estimate for intersection completion is mid- to late-fall but Welsh wants to occupy the buildings in August. This would conservatively result in a 75 day window that buildings would be occupied and roads not functioning in an appropriate manner. Mr. Ringwald stated a meeting was held with people involved and they looked at three options: I. Leave the PUD condition in place which means the buildings could be started but not occupied until the roads are done. (However, since there are some tenant obligations and in process of selling their buildings that would cause problems and may kill the deal); 2. Install temporary signalization at Round Lake Road and Highway 96 that would require signalizing the ramp which would be cost prohibitive and require Mn/DOT approval which may not be received in a timely manner; 3. Install a different type of control structure, one or two police officers at that intersection at given times. Mr. Ringwald advised that this system is being successfully used by the Blaine Airport. Staffs estimate of $30,000 is based on $40 per hour per deputy for two deputies for five hours per day for seventy-five days. Staff has not received a confirmation of the price from the Sheriff Deputy office. Mr. Ringwald stated the City is moving towards closing (February 13, 1998) and sale of the bonds. He noted that although it may be inconvenient, the intersection could operate with a police otIicer being present. Mr. Ringwald advised the Council will need to deal with who would pay for it. It is staffs perspective that this is an opportunity cost for the developer and that dollar amount should come from their side. Mr. Ringwald noted staff gave the Council releases from the Governor's office with regard to proposed class rate structure changes in the tax laws for commercial/industrial properties. He noted the City has already expended more than first thought for soils and brick upgrades and, with each item added, the cash flow becomes less. Mr. Ringwald pointed out that putting this Phase on line now increases tax revenue on Phase III by 12 to 18 months. He reported staff recommends approval of the requested modification to state: "Issuance of the Certificate of Occupancy permits for Phases II, III, and IV is subject to Welsh Companies agreeing to reimburse the City of Arden Hills for its costs associated with studying and implementing of temporary control structures which are acceptable to the City of Arden Hills at the intersection of Round Lake Road/Highway 96 to facilitate development of Phases II, III, and IV in 1998." Mr. Ringwald advised that a 4/5 vote of the Council is required for approvaL Mr. Ringwald noted the developer's bench handout explaining their side. Mayor Probst asked what would trigger using police officers for patrolling. Mr. Ringwald stated this would happen as soon as the building is occupied since occupancy will increase traffic through the intersection. Mayor Probst noted there is a potential for the occupant to manage the time of arrival by shifting start times so not all employees are entering or leaving at the same time. He stated he thinks the cost estimate for the patrol officcrs may be on the high range. Mr. Ringwald stated he does not know if tenants for Phase III have been identified but the first two phases probably have tenants lined up.