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<br />r(/ -\.( <br />( II <br />.Yl~' <br />E I\. River <br /> <br />ITEM 5.5. <br /> <br /> <br />TO: <br /> <br />MAYOR & CITY COUNCIL <br /> <br />FROM: <br /> <br />PAT KLAERS, CITY ADMINISTRATOR <br /> <br />DATE: SEPTEMBER 23, 1993 <br /> <br />SUBJECT: UTILITIES COMMISSION MEETING <br />UPDATE <br /> <br />On September 7, 1993, the Utilities Commission considered a <br />request to reimburse the City $10,000 for the water tower site <br />in the northeast part of our community. A healthy discussion <br />took place regarding how the purchase price was determined and <br />whether or not the Utilities should have been directly involved <br />in this transaction. The Commission asked for additional <br />background information on this purchase; on the purchase of the <br />water tower site just north of the School District office; and <br />on other water tower sites that are anticipated to be needed in <br />the next few years. I will plan on attending the next <br />Utilities Commission meeting to further discuss water tower <br />land transactions with the Commission. <br /> <br />e <br /> <br />One item that the Commission wanted to know more about is <br />whether or not they would be requested to reimburse the City <br />for the land where the western water tower will sit next to <br />Orono Park and Highway 10. As the Council may recall, the <br />City purchased this highway frontage land from E & 0 Tool a few <br />years ago as an extension of Orono Park, and this land has <br />since been assessed for public utilities. Accordingly, the <br />value of a one acre parcel of park land in this area for a <br />water tower, well, and discharge pond would be in the $23,000 <br />range. <br /> <br />No request for the Utilities to purchase this land was <br />discussed by the Council when the discharge pond and well <br />locations were approved. If the City does desire reimbursement <br />for this property being taken out of park use, then the City <br />could deduct this value from the TIF contribution that it plans <br />to make to the Utilities for the western water tower and apply <br />this TIF money toward another eligible project. <br /> <br />As far as <br />no other <br />location. <br />Utilities <br />leave the <br /> <br />future water tower sites are concerned, at this time <br />public park land has been identified as such a <br />Also, it is probably best to simply have the <br />negotiate all future water tower site purchases and <br />City out of this water department issue. <br /> <br />tit <br /> <br />P.O. Box 490 · 13065 Orono Parkway · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425 <br />