Laserfiche WebLink
<br />11-' .... <br />. <br />I CITY OF ARDEN HILLS <br />" MEMORANDUM <br /> DATE: October 24, 1997 <br />I TO: Brian Fritsinger, Cily Administrator <br />I FROM: Terrance Post, City Accountant @ <br /> SUBJECT: 1997 General Obligation (G.O.) Bond Issuance <br />. Background <br />I With proposed development activities in the Gateway Business District (GBD), the need for <br /> related public improvements to support such activities exists. Specifically, the public <br /> improvements can be summarized as being required in two areas: <br />I I. The relocation of Fourteenth Street and related utilities (water, sanitary sewer, <br /> storm sewer) in order to support parcel assembly and improve site plan layout <br />I with respect to the minimum ten (10) acre buildable site ordinance requirement. <br /> 2. The reconfiguration and signalization of the Highway 96/West Round Lake Road <br />Ie intersection. While this intersection currently operates in a marginal capacity, it is <br /> estimated that additional traffic loads from GBD development activities will <br />. require the intersection to be upgraded for safety reasons. <br /> Internally or Externally Finance <br />. While described more fully below, the proposed cost of public improvements to support <br /> development activity in Tax Increment District (TrF) #2 (Round Lake Office park) are estimated <br /> at approximately $2.7 million. Although the City currently has a Permanent Improvement <br />I Revolving (PIR) Fund cash balance of approximately $4.0 million, the use of the PIR Fund for <br /> these public improvements would substantially limit the future use and flexibility ofthis fund - <br /> particularly with respect to the scope of future Pavement Management Program (PMP) activities, <br />I maintenance garage repairs/reconstruction needs and unforseen contingencies. As discussed with <br /> Council at an earlier Worksession on this topic, there appeared to be consensus to externally <br /> finance the GBD public improvements rather than internally finance them. <br />I Use of Funds for Public Improvements <br /> The Fourteenth Street relocation project costs are estimated to be $1,204,450 with contractors bid <br />I costs ($730,700) and engineering fees ($159,000) being major cost elements of the project. Note <br /> that an estimated $250,000 in soil correction costs are not included in the $1,204,450 project <br />I total nor are bond proceeds expected to be used for this purpose. <br />.- <br />I <br />