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Regular City Council Meeting Monday, November 26, 2007 Page 21 Roll Call Ayes: Roe: Pust; Kough; Ihlan; and Klausing. Nays: None. h. Receive Skating Center Thermal Conductivity Study Results City Manager Malinen advised that Parks and Recreation Director Lonnie Brokke had been called out of town on a family matter. City Manager Malinen reviewed summary results of the recently-conducted test borings, and findings that the field area for the proposed geothermal system was capable of handling the system for the skating center, as well as potentially other facilities on the City Hall campus. Discussion included financial implications; Council consensus on geothermal or conventional options; phasing of the project, depending on the chosen option; and further presentation and requested action anticipated at the December 3 or De- cember 17, 2007 Council meetings. Finance Director Chris Miller and City Manager Malinen discussed with Coun- cilmembers total estimated costs; and projected cost-savings and proposed period for return on the investment, detailed in Chart 2 included in the staff report; dif- ferences of the two (2) approaches; differentiating between a wise investment for private versus public capital improvements over 6-9 years; and positive environ- mental impacts to be achieved. Councilmember Kough questioned grant opportunities through the State of MN, and recent replacement of refrigeration units, and rationale for that improvement. Mayor Klausing asked that Mr. Brokke discuss those specific issues with Coun- cilmember Kough when returning to the office. Further discussion included potential bonding; the recent visit of the House Capi- tal Improvement Committee, and future visit of the Senate Committee; possible funding for the geothermal component as well; incentive grants available to sup- port alternative energy uses; financial resources; short and long-term capital costs, and additional savings overall in heating and cooling current buildings. Councilmember Roe requested staff to provide additional information to the City Council on campus-wide facility costs for heating/cooling, and potential short and long-term capital costs, as well as projected annual energy cost savings, for im- plementation beyond capital costs, based on the proposed 6-9 year payback pe- riod, and noting that some of the building components, or units would reach the end of their life expectancies during that timeframe.