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City Administrator Ulrich summarized we could look at administratively permitting and look at <br />drafting language that would allow it to be park specific — designate portions of parks as "alcohol <br />zones ". He talked about the smoking and stated that it is not against the law — it is only <br />recommended that no smoking take place. <br />Councilmember Backous commented that the initiative of no smoking began and was carried <br />through sports events. <br />Consensus of the Council was to look at administrative permits and designate alcohol in certain <br />parks or portions of parks under Code. <br />2.5) Consider Demolition of Property Located at 145590 Armstrong Boulevard <br />Director of Public Works Olson stated we have talked about the demolition of Oasis Market for a <br />number of months. Now there have been significant discussions with Power by Karl to <br />potentially use the property as a go -kart track and the City Attorney is working on an agreement <br />with Karl Jansen. He noted there are some environmental concerns so there may be some <br />additional expenses moving forward with the demolition. He talked about the indemnification <br />agreement. There is an estimated cost of $3,600 to move forward with the contamination plan. <br />That does not include any soil mitigation. It is about $50 a cubic yard for removal of that <br />material. Staff talked with Power by Karl about what would be included in the demolition. We <br />agreed the building needs to come down and the pavement left until they know how much of the <br />parking area they need. <br />Consensus of the Council was to move forward with the demolition. <br />City Administrator Ulrich stated that part of the demolition is based on the go -kart proposal. He <br />noted the City Attorney is handing out an agreement. At this time the City starts to incur costs — <br />grading and engineering would be done by the City. <br />Mr. Olson stated they would need to incur costs as well. <br />Mr. Ulrich added they need a signed agreement so they can move forward. <br />Discussion ensued. The soils issue — that could be for something new that came up. That could <br />be a liability issue. We are adding into this project and starting to incur costs to draft the <br />agreement. Councilmember Jeffrey asked about the prior owner and the $150,000 liability; what <br />is securing that $150,000. Mr. Goodrich responded just his personal guarantee. The <br />indemnification agreement was discussed. The agreement requires the prior property owner to <br />pay for up to $150,000 of contamination, if encountered, and expires 36 months after closing. <br />Councilmember Wise stated that when they pulled the tanks, they found some contamination. <br />He did not understand what the concern is now when it was cleared before. Whether there is <br />contamination there or not, it needs to be dealt with sooner or later. <br />City Council Work Session — March 29, 2011 <br />Page 6 of11 <br />