Agenda - Council - 10/13/2015 - Laserfiche WebLink

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Option 2 included costs required to clean up the debris including loading, hauling, and disposing of the soils mixed with construction debris in a landfill, including all known costs for testing, permitting, and backfilling excavated areas with imported fill meeting project specifications. The contractor estimated the debris removal costs to be around $823,300. This cost does not include any costs for work previously completed or for restoring the site and would therefore be in addition to all costs required to complete the original project. A third option was briefly explored which included costs for screening the debris from the encapsulating soils so the contractor would only have to pay to haul and dispose of the screened debris while leaving the existing soils on site for use where appropriate, but this cost was found to be prohibitive. Based on these costs, Village Bank has determined it is not feasible to totally remove the debris from the site and move forward with the original project at this time, and would like to explore options for financial assistance for the required site cleanup work to allow the development to move forward as proposed in the future. It is imperative that the infrastructure that was removed be replaced within the next few weeks to allow full use of the Mississippi River Trail and Rivlyn Avenue to continue into the future. Staff is proposing to reconstruct these facilities per the Ridgepoint development plans to ensure the costs spent to reconstruct these facilities will not be thrown away in the event the project moves forward in the future as originally proposed. Notification: No notifications are required for this case. Observations/Alternatives: Observations: The amended Assessment Agreement will be presented to the City Council at the Council meeting. Staff is proposing that the developer pay cash for all project costs and restoration. These costs could be assessed to the two parcels as it is currently platted, but the City would need to require cash securities in 125% of this amount because (as it sits) the land has a negative value and would not be suitable collateral for the payment of assessments. The contractor believes they can complete construction of the "walk away" improvements by the end of October. Alternatives: Alternative #1 — Motion to adopt Resolution #15-10-256 approving Change Order #1 and amended Assessment Agreement for Ridgepoint Development Improvements, Improvement Project #15-21, contingent on approval by the City Attorney. Alternative #2 — Motion to deny adoption of Resolution #15-10-256 at this time. Funding Source: City Improvement Project 15-21 is proposed to be funded in cash from the developer, but in the event an amended Assessment Agreement is used the Public Improvement Revolving fund would be used to pay for the improvements, which would then be paid back in full over a period of three years using the special assessments levied against the property owner via the amended Assessment Agreement. Recommendation: Staff recommends approving Alternative #1, contingent on City Attorney approval of the amended Assessment Agreement. Action: Motion to approve or deny adoption of Resolution #15-10-256.