Agenda - Economic Development Authority - 10/13/2011

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approvals and construction activities. Observations: Funding Source: Water Utility Fund and/or EDA Fund. Because this water main will likely serve other businesses in this commercial node in the future, it makes sense that the City pay for this trunk line out of the Water Utility Fund, which currently has a $6 million balance. In addition, the City amortizes all of its trunk lines out of this enterprise fund. Staff Recommendation: City staff is recommending that the Ramsey EDA accept the proposal from Joel Buttenhoff, owner of the commercial strip mall at 167th Avenue and Hwy 47, that in exchange for the owner's willingness to bear the cost of installing a fire suppression system for that portion of the property required by the City's building code and the cost of bringing water from the City's water main to the building, the EDA would propose that the City incur and bear the cost of extending the water main to the property. Staff further recommends that the cost for the City's water main extension, estimated to be $180,324, be paid for out of the City's Water Utility Fund. It is logical that the City pay for the 167th Avenue trunk line out of the Water Utility Fund because this water main will likely serve other businesses and residential accounts in this area in the future. EDA Action: The Ramsey EDA recommends that the City accept the proposal from Joel Buttenhoff, owner of the commercial strip mall at 167th Avenue and Hwy 47, that in exchange for the owner's willingness to bear the cost of installing a fire suppression system for that portion of the property required by the City's building code and the cost of bringing water from the City's water main to the building, the City would incur and bear the cost of extending the water main to the property. The EDA further recommends that the cost for the City's water main extension, estimated to be $180,324, be paid for out of the City's Water Utility Fund. It is logical that the City pay for the 167th Avenue trunk line out of the Water Utility Fund because this water main will likely serve other businesses and residential accounts in this area in the future. 167th Commercial Mall Aerial Photo 167th Existing Water Main 167th Water Main Extension 167th Water Main Ext. Cost Estimate Attachments Form Review Inbox Reviewed By Date Aaron Backman (Originator) Aaron Backman 10/10/2011 09:15 AM Form Started By: Aaron Backman Started On: 10/07/2011 02:09 PM Final Approval Date: 10/10/2011