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ARDEN HILLS CITY COUNCIL - MAY 26 1998 12 . Councilmember Aplikowski asked why they are needing so many sprinkler heads, Ms, Bossert explained these warehouse buildings will contain high piled storage which is a special fire challenge so they are using this system which will suppress a fire, The building owner likes this type of system since it places all fire protection at the roof and provides flexibility for building use, Councilmember Hicks asked if Viking Sprinkler would have won the contract if they had been aware of the proper fee rate structure and included that higher rate in the bid, Ms, Bossert stated she does not know, Councilmember Hicks stated the fees are built around recovery of the City's cost. Ms, Bossert stated she believes the City's costs for inspection will be much less than $8,300, Councilmember Hicks noted a scenario may exist where a bidder presents a lower bid, is awarded the bid, and now is in trouble and requesting relief. Ms, Bossert stated they have worked with Welsh Development in the past and are known as a quality contractor. Councilmember Malone stated the other bidders may have known the fee structure when preparing their bid, He stated that he is sorry they made a mistake when preparing their estimate but the Council must consider what is fair for all. He noted the fees are public information and to make the adjustment at this point is not appropriate, . Mayor Probst concurred and stated it seems inappropriate to go back retroactively to reduce the fee, He stated if the fees are out of line that can be considered in an appropriate fashion, Mr. Ringwald agreed and stated that as construction techniques change the City may be high in one area but low in another. He stated he did provide a letter indicating a willingness to review this issue in a larger perspective and making a recommendation for Council's consideration, However, given Staffs workload, the storm activity damage, and Bethel College project, Building Official Scherbel will be very busy and it may be more timely to review these fees in the fall, Mr. Ringwald advised that the City's fee does not identify the type of sprinkler system and while it may be appropriate to research whether a change is warranted, it needs to be considered in a broader sense, Mayor Probst noted the majority consensus of the Council has indicated they are not willing to consider a fee reduction in this case, Ms, Bossert thanked the Council for their time, C. Revolving Loan Fund . Mr. Ringwald explained that the Council is asked to adopt guidelines for the City of Arden Hills Revolving Loan Fund, He explained Staff is attempting to resolve grant applications and the EDA has previously adopted these guidelines, but the State has requested that this fund be managed by the City rather than the EDA.