01-25-1999 CC MIN - Laserfiche WebLink

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Elk River City Council Minutes January 25. 1999 Page 8 e Discussion was held by the council regarding the amounts set for meals. Finance Director Lori Johnson indicated that the city's policy closely mimics the federal guidelines. COUNCILMEMBER THOMPSON MOVED TO APPROVE THE CITY OF ELK RIVER TRAVEL REIMBURSEMENT POLICY AS REVISED JANUARY 1999. COUNCILMEMBER MOTIN SECONDED THE MOTION. THE MOTION CARRIED 5-0. The City Council recessed at 8:37 p.m. and reconvened at 8:40 p.m. 7. East Elk River Worksession City Administrator Pat Klaers gave a brief update of the background on the east Elk River public improvement project. Pat Klaers explained that a number of worksessions have been held on the east Elk River project. He indicated that a main focus of the early 1998 worksessions was a debate over whether a large or small project should be undertaken. He further indicated that in early 1998 staff strongly supported a small project based on the deficit, the overall financial size of the projects, and the potential cash flow problems due to deferred assessments. The city administrator indicated that following those worksessions the city received $2.8 million in federal funding for the street component of the project. He indicated that each of the sewer, water, street, and storm drainage components of the public improvement project still do not cash flow, but with the federal funds for the street, the overall project is in better financial condition. e The city administrator reviewed the action the City Council has taken to date on this project. He further stated that public hearings on the extension of trunk sewer and water have been held, bids have been received, and the assessment hearing for the large project has been conducted. He indicated that assessments have been levied in the amount of $6,000 per acre and that three property owners have repealed this assessment. Lori Johnson reviewed the project costs. Discussion was held by the council regarding the project shortfall and possible funding mechanisms. The city administrator informed the council that they will be asked to make a decision on the project size very soon. Jim Mevissen questioned the council about the eminent domain process. Mayor Klinzing informed the council that the EDA did not have any direct communication with the property owners regarding the eminent domain process and stated that this has caused some misunderstandings. City Attorney Peter Beck indicated that the EDA is awaiting an appraisal on the property and then the city representative plans to meet with the Mevissens. e Kathy Swanberg spoke to the council regarding the Warden's property and the eminent domain process. She requested the City Council to talk to the Wardens regarding the city's intention of eminent domain. She indicated she did not feel it was proper that the city had no contact with the homeowners. She further stated that she did not approve of the tactics being used by the people who are acquiring land for the developers.