08-22-1994 CC MIN - Laserfiche WebLink

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City Council Minutes August 22, 1994 Page 5 e 5.6. Consider Chanqe Order to Arcon's contract for underqround construction in the Hillside Crossinq Development Terry Maurer informed the Council that underground utility improvements in the Hillside Crossing development are proposed to be accomplished by a change order to the existing contract. The Developer will be contracting independently for the street improvements. Mr. Foster, the developer, concurs with the change order in the amount of $241,670.49. COUNCllMEMBER SCHEEL MOVED TO AUTHORIZE CHANGE ORDER #2 TO ARCON CONSTRUCTION CONSISTING OF SANITARY SEWER, WATER, AND STORM SEWER IMPROVEMENTS IN THE HillSIDE CROSSING PLAT IN THE AMOUNT OF $241,670.49. COUNCllMEMBER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 4-0. 7.1. Consider the results of the $250,000 Small Cities Economic Development Proqram Grant from DTED/Public Hearin<;:l e Bill Rubin, Economic Development Coordinator, stated that in 1992 a public hearing was conducted and an application authorized and submitted to DTED to assist with the expansion of Tescom Corporation. In October of 1992, DTED informed the City of Elk River that its application for an Economic Development Program Grant in the amount of $250,000 had been approved. Bill Rubin explained that the grant award was made from federal Community Development Block Grant dollars. The Tescom expansion, which was funded by CDBG money, met the requirement of benefiting persons falling into the low to moderate income category. This was met by Tescom agreeing to create approximately 45 new permanent jobs, of which, 34 would be considered for low or moderate income persons. Bill Rubin indicated that through June 30, 1994, Tescom has created 62 jobs but, due to attrition in the company, a more reflective number of the permanent jobs created would be about 44 or 45 to date. Bill Rubin reviewed the amount and type of funding and financial support provided by the City for this project. Bill Rubin indicated that Tescom is current on its repayment of loans to the City. He further explained that the City of Elk River will retain 100 percent of Tescom's principal and interest payments throughout the life of the DTED loan providing $316,947.46 to help capitalize the block grant micro-loan fund. Vice Mayor Farber opened the public hearing. There being no one for or against the matter, Vice Mayor Farber closed the public hearing. No formal action was required by the Council on this issue other than to hold a public hearing. 7.2. Consider Northeast Area Assessments/Public Hearinq e Terry Maurer, City Engineer, indicated that assessment notices have been sent to affected property owners for the Northeast Area utility Improvement. He indicated that the assessment notices that were mailed to the property owners