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<br />Ensuing agreements or contracts could be for a specified term in years with options to extend for <br />additional terms. By following a structured evaluation and selection procedure, the City can <br />demonstrate impartiality. The City of Centerville should, on a regular basis, be knowledgeable <br />about the marketplace to ensure that the most cost-effective services are being provided. <br /> <br />We recommend that the City Council document its decision to develop or not develop an RFP in <br />its minutes. <br /> <br />We recommend there be an updated, written agreement between the City and Bonestroo since <br />the agreement in place is currently over ten years old. <br /> <br />Development Al!:reement <br /> <br />The petitioners were concerned that a conflict of interest existed between Centerville Mainstreet, <br />LLC, and the City of Centerville, and that all zoning codes now refer to the redevelopment plan <br />under Centerville Mainstreet, LLC. <br /> <br />We reviewed the agreement entered into between Centerville Mainstreet, LLC, and the City of <br />Centerville; information obtained from the Minnesota Secretary of State; and the City's Check <br />Summary Registers covering the time period of July 1,2007, through November 30, 2008. We <br />noted the following items. <br /> <br />1. On July 11, 2007, the City of Centerville entered into an agreement with Centerville <br />Mainstreet, LLC, for Centerville Mainstreet, LLC, to be the developer for the City's <br />downtown redevelopment project. Centerville Mainstreet, LLC, is an operating entity of <br />The Beard Group, Inc. <br /> <br />2. We gathered information from the Minnesota Secretary of State's Office which stated <br />that the manager of Centerville Mainstreet, LLC, is William Beard. According to The <br />Beard Group, Inc.'s, website, William Beard chartered the company and is the current <br />President/CEO. The City of Centerville is aware that there is a relationship between The <br />Beard Group, Inc., and Centerville Mainstreet, LLC. <br /> <br />3. No disbursements were directly made by the City to the Centerville Mainstreet, LLC, for <br />the period July 2007 through November 2008. <br /> <br />Based on our review, the City seems to refer to Centerville Mainstreet, LLC, and The Beard <br />Group, Inc., interchangeably, and this may be causing confusion to those referring to the City's <br />zoning codes. We are not aware of any conflict of interest or legal concerns regarding the <br />creation of Centerville Mainstreet, LLC, by The Beard Group, Inc. <br /> <br />Page 5 <br />