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<br />Mayor and City Council <br />East Elk River Urban Service Area <br />May 9, 2005 <br />Page 3 of 3 <br /> <br />In discussions with School District representatives, city staff has indicated that it would work with <br />the District in order to obtain a 40-acre Middle School site as part of this development proposal <br />provided that: <br /> <br />. <br /> <br />If a Middle School is not constructed within 10 years then the site is donated by the District <br />to the city to be used for public park purposes. <br />With the construction of a school, the District reimburses the city 100% of the cost of the <br />pedestrian tunnel underneath County Road 40 (built in 2006 with the CR 40 project). <br />With the construction of the school, the District reimburses the city $100,000 for the <br />improvement of County Road 40. <br />The school includes a 1500 square foot warming house that would be scheduled and <br />operated by the city during non-school hours. <br />The Middle School site includes a hockey rink and open skating area adjacent to the <br />warming house with lights (the city will pay for electricity on an ongoing basis). <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />The School District has not officially accepted the above terms and conditions. Nonetheless, these <br />terms and conditions have been discussed with two board members and management staff and they <br />believe the requests are reasonable and a good starting point for future negotiations in exchange for <br />them obtaining a 40-acre site that is free of trunk assessments. If the above scenario is generally <br />acceptable to the City Council, then staff would like to firm up the School District's position while <br />the development proposal and the expansion of the Urban Service Area moves forward in the next <br />six months or so. <br /> <br />All in all, it appears that this is the time to make a decision whether to expand the Urban Service <br />Area as the County Road 40 improvement project is moving forward and the trunk utilities are being <br />installed in the River Park plat. The development concept for the northern section of this area <br />appears to be a win-win-win situation whereby all three parties, the developer, the School District, <br />and the city, obtain some benefits but not everything they desire. This expansion of the Urban <br />Service Area also allows for the future urban development for the southern area once utilities are <br />available, which is likely to be after the 2008 timeframe. <br /> <br />S:\Council\Pat\2005\ Worksessions\east ER Urban Service. doc <br />