09-07-1993 HR MIN - Laserfiche WebLink

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Housing and Redevelopment Authority Page 3 September 7, 1993 • At this time, Commissioner Duitsman suggested that it would be appropriate to discuss his "Other Business I" item. He stated that if the HRA agreed to fund 50% of these costs, up to a maximum of $25,000, the City would retain additional funds from TIF Districts No. 1 and No. 3 for future projects such as a Business Park. In addition, Commissioner Duitsman suggested that the HRA consider funding an additional $10,000 of the redevelopment project, thereby increasing its contribution to $35,000. Chair Hinkle questioned whether the City Council should adopt a new motion requesting that the HRA participate more than the 50% of the eligible cost, up to a maximum of $25,000. Executive Director Klaers responded by stating that this action was up to the HRA. Chair Hinkle suggested an additional $10,000 may not affect the TIF project. However, he desired that the HRA build up its account for other future projects. Commissioner Duitsman stated that the request to the HRA for participation in the project at Main Street and Freeport Avenue came from him. Executive Director Klaers stated that requests like this likely will not be the last request from the City for assistance in future projects. Chair Hinkle stated that he preferred to go along with the Council's original motion funding 50% of the eligible cost. COMMISSIONER DUITSMAN MOVED TO AUTHORIZE THE EXPENDITURE OF UP TO $25,000 IN HRA FUNDS TO HELP FINANCE THE REIMBURSEMENT OF ELIGIBLE REDEVELOPMENT COSTS ASSOCIATED WITH THE PROJECT AT MAIN STREET AND FREEPORT AVENUE. COMMISSIONER SCHULDT SECONDED THE MOTION. THE MOTION CARRIED 3-0. 8. Elk River Limited Partnership Change Order Request HRA Commissioners reviewed a request from Elk Terrace Limited Partnership regarding a change order in the amount of $2,100 for costs over and above a budgeted amount to locate and cap a utility line. This cost was incurred as part of the site preparation activities associated with Tax Increment Financing District No. 10 - a 23 unit senior apartment project constructed at 4th Street and Holt Avenue. Because as-built drawings did not exist for 4th Street or Holt Avenue, the subcontractor incurred additional out-of-pocket costs to close a utility line. Requests for change orders like this are not extraordinary. The Mork Clinic redevelopmen 7ro4ecz resulted in similar requests. COMMISSIONER SCHULD'' MOVED TO APPROVE THE $2,100 CHANGE ORDER PAYABLE 1111 TO ELK TERRACE LIMITED PARTNERSHIP FOR COSTS INCURRED ENCLOSING A UTILITY LINE. COMMISSIONER DUITSMAN SECONDED THE MOTION. THE MOTION CARRIED 3-0.