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HomeMy WebLinkAboutSeptember 12, 1994 0 0 ,/ '\ ~ CITY of ANDOVER "-j Andover Economic Development Authority Meeting Monday, September 12, 1994 Andover city Hall 1685 Crosstown Boulevard N.W. Andover, Minnesota Call to Order - 5:30 p.m. 1. Award Bid/Grading/park Complex #2 2. 3. Adjournment ( \ \~ (--, V 0 0 ...-....- . "f<':¡:H··';"""'"·····__··_·,"",,',¡¡¡'0Õ''''I,,. :<f{ 1"',-", --.." ',-,,,' ,.,., I";';!" '::-"" CITY of ANDOVER 0 ¡'"ref- -1, ,<~ '-, ~,. ". '..1", .I... ;' 1685 CROSSTOWN BOULEVARD N.W. · ANDOVER, MINNESOTA 55304 · (612) 755-5100 - ,- ,. ...,," ~ . ':::"" "';# ,-- -'_c"" _""C"O"C ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING SEPTEMBER 12, 1994 - MINUTES A Meeting of the Andover Economic Development Authority was called to order by Mayor Jack McKelvey on September 12, 1994, 5:46 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Present: Councilmembers Jacobson, Perry Absent: Councilmembers Dalien, Knight Also present: City Finance Director, Daryl Sulander City Administrator, Richard Fursman Others AWARD BID/IP94-13 AND IP93-7/ANDOVER COMMERCIAL PARK GRADING AND CITY HALL PARK COMPLEX #2 Mr. Haas explained the difference in the Division II sodding item and the Division V, Alternate Bid C, is that the contractor would lay the sod in Division II, but volunteers would be expected to lay it under the alternate bid. That would be a savings of $17,091. (During the meeting 0 Mr. Haas discussed the Alternate with Mr. O'Toole and Mr. Grabowski of ! the Andover Recreational Development Association, who felt the sod should be laid by the contractor, not volunteers.) There was great concern over what items in the bid can be paid with Tax Increment Financing funds and which ones would need to be paid with City funds. They did not want to award the bid and later find out that over a quarter million dollars of the contract must come from City funds, because that amount of money is not available. Nor did they want to use TIF money on items that cannot legally be paid from that source. It was suggested that opinions be solicited from the City Attorney and bond counsel as to which items in the bid can legally be paid with TIF funds. The 20 percent rule was mentioned which allows the EDA to spend up to that amount of TIF funding on park properties. The Authority asked that both legal and bond counsel comment on the ability to apply that rule as well. Staff felt an opinion from the counsels can be obtained rather quickly. So the project is not delayed, the Authority agreed to award the bid contingent upon the opinion from counsels that all or a majority of the cost for the projects can come from TIF funds. Otherwise it is to be brought back to the EDA for further consideration. MOTION by Jacobson, Seconded by Perry, the Resolution as presented accepting the bids and awarding contract for 94-13 and 93-7 as presented ,r"'. with the change in the amount. The number which presently reads { 1 $400,323.82 to be changed to read $514,565.83 (which includes Alternates \J A and B). The Resolution is contingent upon receiving from the City's legal counsel and the City's bond counsel concurrence that the City can, through the use of TIF funds and the 20 percent rule, expend the dollars in this Resolution for the items indicated in the bids. If legal .' \ ' \ U U Andover Economic Development Authority Meeting Minutes - September 12, 1994 \, Page 2 (Award Bid/IP94-13 and IP93-7/Commercial Park Grading and City Hall Park Complex #2, Continued) counsel and bond counsel determine that significant amounts of the project cannot be funded with TIF funds and those amounts so determined are in excess of what is available to the Andover Park Commission, then the contract would return to the Economic Development Authority for review before it is given to the contractor. (See Resolution EDA R008- 94) DISCUSSION: Councilmember Perry was concerned with the balance of the TIF funds after awarding this project. She wanted to be sure enough funds remained to proceed with the cleanup in the southern part of the City, which is the original purpose of those funds. Mr. Fursman stated the City will be receiving the appraisals on the auto recycling businesses on September 30; however, he was confident there is enough funding for both those purchases and these two projects. Also, it is unlikely that all of the businesses selling to the City will want their money up front. Motion carried on a 3-Yes, 2-Absent (Dalien, Knight) vote. \ MOTION by Jacobson, Seconded by Perry, to adjourn. Motion carried on a J 3-Yes, 2-Absent (Dalien, Knight) vote. The meeting was adjourned at 6:18 p.m. Respectfully submitted, ~~~L Recording Secretary ')