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HomeMy WebLinkAbout2B TCAAP Updated EN HILLS Request for Council Action2B , Prepared By: Ron Moorse,City Administrator Council Meeting Date: November 30,2009 TCAAP Update Budgeted Amount: Actual Amount: Funding Source: Recommendation: 1. No action required Supporting Documents: 1. See the attached memo from Ron Moorse, City Administrator. ---ARZENHILLS MEMORANDUM DATE: November 30, 2009 TO: Mayor and City Council FROM: Ron Moorse, City Administrator SUBJECT: TCAAP Update TCAAP Public Sale Bidders' Conference The TCAAP bidders' conference was held on November 18. The conference included representatives from the City of Arden Hills, the General Service Administration (GSA), the Army, the Environmental Protection Agency (EPA), Ramsey County, Minnesota Department of Transportation (Mn/DOT), Rep. McCollum's office, and the City of Shoreview. A full attendance list will be posted on the GSA's website. - Mayor Harpstead presented a summary of the City's TCAAP Reuse Statement. - Mike Fix, representing the Army, discussed environmental remediation information and requirements, and the areas that would be subject to a license to enable remediation prior to being sold. In addition to the areas known to require remediation to meet industrial use standards, the areas subject to the license requirement include several building slabs that have not yet been investigated to determine the existence of soils contamination and a large area in the southeast corner of the property. These areas will be licensed for environmental investigation and remediation only, with the exception of the area in the southeast corner of the property. The southeast corner would be allowed to be developed, but the buyer would not obtain title to the property until remediation of all of the licensed areas was complete. All of the licensed area would need to be remediated before any of it is transferred to the buyer. The total license area is approximately 87.7 acres. There was considerable discussion about the license agreement, and how it would facilitate the remediation of the site. The GSA believes that requiring all of the licensed sites to be remediated before any of the licensed sites can be sold to a developer will provide the necessary incentive to a buyer to get all of the sites remediated in a timely manner. The licensed area in the southeast corner could be developed prior to the remediation of all the licensed sites, but it could not be transferred to the developer until all licensed sites are remediated, which is also meant to be incentive for remediating the contaminated sites. They have not yet established the licensing criteria or timelines for environmental remediation that would be required in the license. The Army recently received a letter from MPCA regarding potential requirements for remediation related to petroleum contamination. This means the buyer of the property will need to do investigation and remediation related to petroleum. Mark Lindeberg of Mn/DOT indicated that Mn/DOT does not have any improvements along Interstate 35W in its plans. He indicated there is the potential of some funding of minor improvements that would facilitate new development. Mn/DOT has not settled on a new design for the CR H and I-35W intersection, and they do not have funds for the project. Mike Fix noted that the Army has not budgeted any additional funds for cleanup at TCAAP. The property is being sold as-is. Conference CaII with General Services Administration (GSA) A conference call was held with Kevin Legare of the GSA on Monday, November 23"a to review the bidders' conference, particularly questions related to the proposed license agreement, and to discuss next steps in the public sale process. Kevin Legare indicated he thought the bidders' conference was a good first step. But, because of the low turnout, he anticipated holding another bidders' conference in the spring in conjunction with a much more substantial marketing effort. Kevin had not had an opportunity to discuss with the Army questions raised regarding the license agreement, but clarifying how the license agreement will work is a priority for the GSA and the Army. The next GSA conference call is scheduled for 2:00 p.m. on Monday,December 7, 2009. -