Adopt Resolution R2021-024, ordering improvements and preparation of plans and specifications for the 2021 Alley Reconstruction Project, CIF-20-009.

Adopt Resolution R2021-024.

On February 16, 2021, City Council received the feasibility report for the 2021 Alley Reconstruction Project. City Council approved the feasibility report and called for a Public Hearing.

A virtual information meeting was conducted on February 3, 2021, where property owners and tenants were in attendance to discuss the project and to provide the design team additional information about their neighborhood and properties relative to the project. A questionnaire was also mailed to property owners asking for information specific to the alley and storm water drainage in their neighborhoods.

In accordance with Minnesota Statute 429 and City Resolution R2021-019, a Public Hearing for the 2021 Alley Reconstruction Project, CIF-20-009, is scheduled for this evening, March 2, 2021. Proper publication and notice for the improvement hearing have been provided.

City Council is advised to conduct a public improvement hearing for the proposed improvements associated with the 2021 Alley Reconstruction Project. Once the improvement hearing has been conducted, Council should then consider ordering the improvements in accordance with Resolution R2021-024 and authorizing the preparation of plans and specifications for the project. A presentation of the project will be made at the public improvement hearing.

This improvement project was not petitioned by the property owners; therefore, adoption of this resolution requires a 4/5ths vote.

Table 1 below compares the overall budgeted amount in the 2021 Capital Improvement Plan and the projected amount in the project feasibility report.

Table 1. Cost and Funding Summary - 2021 Capital Improvement Plan Estimate for CIF-20-009

The overall CIP budget for the project is $371,000. The projected project estimate from the feasibility report is $175,000. A sizeable portion of the project was completed as part of the construction of the new apartments on the corner of Holmes Street and 2nd Avenue. This has reduced the project scope and cost. 

Included in the resolution is funding language that would allow the city to reimburse project costs from future bond proceeds. This language allows for greater flexibility in funding current and future projects, should the city desire or need this in the future. The additional language allows the city a period of up to three years to issue and reimburse itself with bond proceeds. The language does not change the requirements or administrative process for issuing debt. All debt issuance will still require separate approval by the City Council.