Agenda - Council - 04/08/2003 - Laserfiche WebLink

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I I I l I I I I [ I I I I I I i I I CASE #: AUTHORIZATION' TO ACCEPT AND EXECUTE METROPOLITAN LIVABLE COMMUNITIES GRANT By: Principal Planner Patrick Trudgeon, AICP Background: [n July 2002, the City of Ramsey applied for a Livable Communities Grant from the Metropolitan Council to assist in the funding of the Sunwood Drive extension through the proposed Ramsey Town center. As part of the application, the City requested funding of nearly $2.3 million. This amount is about half of the cost of extending Sunwood Drive with City sewer, water, and stormwater~utilities. In December 2002, through the work of Natalie Haas Steffan, the area's. Metropolitan Council representative, the City of Ramsey received notification that it has been awarded $800,000.00. in Livable Communities grant money for the construction of Sunwood Drive. Observations: The costs [hr the Sunw(~)d Drive street improvements through the whole Town Center area are estimated to be about $2.6 million. The total project, which in¢tUdes the installation of public utilities (sewer, water, stormwater) is estimated to cost nearly $4 million. Under the proposed grant agreement, only.costs associated with the street improvements are eligible for reimbursement. Under the grant agreement only "hard" costs are eligible for reimbursement (i.e. actual construction costs). Some examples of ineligible uses of the grant funds are such things as administrative overhead costs, legal fees, permit fees, prorated salary costs. The Metropolitan Council will disburse the grant funds in response to written disbursement requests from the City. Under the grant a~eement, the City is required to submit quarterly reports showing how the grant funds have beea expended and how the funds are expected to be expended in the upcoming quarter. On March 11, 2003 meeting, the City Council instructed the City to discuss with Met Council staff the legal ramifications of the City accepting the LCDA grant. City Attorney BilI Goodrich and City Administrator Norman had discussions with Met Council staff. From these discussions City Staff has determined that accepting the grant and entering into the agreement will not obligate the City to expend funds. The grant is setup as a reimbursement grant, so therefore, the City will not receive any funds from Met Council until the City incurs the cost and requests reimbursement from the Met Council. Recommendation: Based on the above discussion, City Staff recommends accepting the LcDA grant entering into the grant agreement with Metropolitan Council. Council Action: Motion to authorize the Mayor and the City Administrator to execute and enter into a LCDA grant agreement with Metropolitan Council for the Sunwood Drive/Town Center project. Review Checklist: City Administrator City Attorney CC: 04/08/03 -2t5-