Loading...
09/17/1996 - City Council Special MINUTES OF A SPECIAL MEETING OF THE Z EAGAN CITY COUNCIL e--144r 2' 3 Eagan,Minnesota September 17, 1996 A special meeting of the Eagan City Council was held on Tuesday, September 17, 1996, in the lunchroom of the Eagan Municipal Center building. Present were Mayor Egan and City Councilmembers Awada, Hunter, Masin and Wachter. Also in attendance were Acting Civic Arena Manager Mark Vaughn, Director of Parks &Recreation Vraa, Director of Finance VanOverbeke and City Administrator Hedges. VISITORS TO BE HEARD There were no visitors to be heard. MIGHTY DUCKS GRANT APPLICATION/SECOND SHEET OF ICE Mr. Paul Dahlberg,Architect,ACC,was present and presented revised drawings for the second sheet of ice as previously directed by the City Council. In addition to reviewing the revised drawings,Mr. Dahlberg presented the cost estimates for the second sheet of ice which totaled$2,182,474. City Councilmember Wachter stated that he is no longer certain that the City should proceed with the second sheet of ice,stating that he has received a number of constituent calls asking that the City Council not increase property taxes, further stating that these calls have come since the park bond referendum failed on September 10. He further stated that if the City continues to pursue a second sheet of ice,the taxpayers should have a voice in that decision. Upon further review of the building plans, both City Councilmembers Awada and Wachter expressed concerns that the revised arena drawing is not as conducive to parking, especially the plan that utilizes Rocky Lane as an access to the new parking lot. After further discussion regarding the pros and cons • of each of the plans, Paul Dahlberg stated that if the building is moved to the south,there may be a need to seek a setback variance from the City and further that the cost will increase due to the additional fill that is necessary. After further review and comments on the various site plans,the Director of Parks&Recreation and architect went through the cost estimates in detail. City Councilmember Awada raised questions regarding the revenue proposed for the second sheet of ice. She further questioned whether the budget as originally proposed could adequately finance the facility since the architect's cost is that much higher. Director of Parks& Recreation Vraa stated that it has been the intention, based on an original construction estimate of$1.8 million, that$1.4 million could be financed through the sale of revenue bonds, $250,000 through grant proceeds from the Mighty Ducks and the remaining$150,000 would be a cash contribution from the hockey association. City Councilmembers expressed concern that the new estimates are higher due to reasons stated by Mr.Dahlberg which include the price of concrete and the fact that the construction industry is extremely busy and bids are much higher as a result of an ongoing shortage of construction materials. City Councilmembers expressed concern about the$382,000 funding gap and whether it would be appropriate to proceed ahead with the project given the possible financial exposure of$382,000 given the higher bids. City Councilmembers had a brief discussion about the Western Dakota County fourplex ice arena proposal stating that the number of hours required as a financial guarantee and the $500,000 contribution continued to be a concern when evaluating that proposal. Councilmembers further discussed the probability of additional Mighty Ducks funding appropriation for awarding grants May 1, 1997. City Councilmember Awada again stated that she is concerned about the cash flow and proposed that any further consideration of the grant application be delayed until spring, 1997. After further discussion, there was a general concurrence that the City should delay further consideration of a Mighty Ducks grant application until spring, 1997,to further evaluate funding alternatives to cover the increased • project cost, submit a Mighty Ducks grant application in the spring of 1997 and further evaluate the fourplex 'J2 Page 2/Eagan Special City Council Meeting Minutes September 17, 1996 proposal that is under consideration for Western Dakota County. City Administrator Hedges stated that Mighty Ducks funding for 1997 is not certain. Even if there is funding available in the spring,there is a possibility that the fourplex unit could be delayed and would compete with any application the City is processing at that time. EXECUTIVE SESSION Mayor Egan stated that the City Council will adjourn into Executive Session in the administrative conference room for the purpose of receiving a review of pending litigation to be presented by the City Attorney. OTHER BUSINESS Following the Executive Session,there were no additional items presented for consideration. ADJOURNMENT The meeting adjourned at 6:25 p.m. September 17, 1996 Date rr City Clerk TLH S • •