Agenda - Council - 04/11/2017 - Laserfiche WebLink

Home

� a Our Uissiow To work together to resposihty grow ouf communiiry, and to prowlde quality,cost-effective.and eificlent gowemment servIem. CC Regular Session 7. 3. Meeting Date: 04/11/2017 Submitted For: Patrick Brama,Administrative Services By: Patrick Brama,Administrative Services Information Title: Adopt Resolution 417-04-080 Authorizing the City of Ramsey to Purchase Real Property and Submit a RALF Program Application to the Metropolitan Council Purpose/Background: PURPOSE Consider approving the attached resolution formally authorizing the city to purchase 6401 Highway 10 and officially apply for Metropolitan Council RALF Program funding. BACKGROUND This case was brought to the City Council on 09/13/2016 and 01/24/2017. Please reference those cases for detailed background on this project. UPDATES At the 01/24 Council meeting,the City entered into a purchase agreement with Athans Holdings for the acquisition of 6401 Highway 10, and authorized staff to complete remaining property acquisition due diligence (Phase II Environmental Site Assessment(ESA), UST/Pump Removal, State Inspection of UST Removal). That work was recently completed by Braun InterTech. Overall,the Braun InterTech work went well. The Phase II ESA came back without any major concerns--and Bruan InterTech supports the City's purchase of 6401 Highway 10.NOTE: see actual Phase II ESA report for details--some very minor items did come up during the Phase II ESA. RE the remaining due diligence items, staff included a line item budget in the RALF application of$52,000. The estimate provided by Braun for this work was $40,260. The actual project costs were $52,535. A major reason for the difference was due to change-orders submitted to Braun from the tank-removal sub-contractor(about$10,000). Staff is currently working with Braun and the sub-contractor to find a resolution/settlement on this particular item. Staff has not approved said change orders. Staff will keep the Council posted on this item. Regardless of how this item unfolds, staff believes we can still move forward with the attached RALF application, as-is. Lastly, it should be noted, during the UST(underground-storage-tank)removal,a minor gas leak occurred;which, did result in a response from the Ramsey Fire Department and Centerpoint Energy, and slightly delayed said work. No property damage occurred, and no injuries/health concerns occurred. NEXT STEP A major component of any purchase agreement is the "inspection period" (also know as the "due diligence" period). As mentioned,the City has completed remaining due diligence items for the proposed property acquisition. The "inspection period" for this purchase agreement officially ends on 04/12/2017. At that time, if the City decides they