City Clerk Joel Young, at the July 24 meeting of the Chatfield City Council, announced that the city has been awarded a Business Development Public Infrastructure grant by DEED in an amount of up to $177,000 for segment 1 roadway improvements of Industrial Drive. The grant matches one dollar for one dollar.
Councilor Joshua Broadwater said he was only comfortable doing segment 1. Approval was given to accept the low bid for segment 1. The project was bid in three segments to allow the council the option to do part or all of the planned improvements. Edge Contracting, Inc., Elgin, had the lowest bid in the amount of $892,000 to complete segment 1 of the street and utility project.
City Engineer Tom Kellogg suggested Edge Contracting will complete the installation of utilities (storm sewer, water, and sanitary sewer) and provide a drivable surface (gravel) by sometime in November. The bituminous surface, curb and gutter, and other work is to be completed by June 30, 2018.
Mike Bubany, David Drown and Associates, said the fact that the council decided to limit the project strengthens his recommendations. He suggested getting a 10-year loan from the Minnesota Rural Water Association (MIDI) Loan program, which allow banks to participate in the funding. MiEnergy has approved a 10-year no-interest loan of $300,000 to assist in the funding of the Industrial Drive improvements.
A resolution was approved calling for a public hearing for Tax Abatement to establish legal authority to issue bonds. The hearing will be held at 7 p.m. on August 28. Approval was given to submit an application for a loan from the Minnesota Rural Water Association.
With the improvements around 10 or more lots will be salable, which will generate income to help pay for the project. The sale of the lots will increase the city’s tax capacity creating new tax revenue, as will the development of these lots.
Other business in brief
• Kallie Rollenhagen, Southern Minnesota Initiative Foundation (SMIF) communications coordinator, thanked the city for its ongoing support. She reviewed some of the foundation’s efforts. Over the next year the foundation expects to double its investments in smaller communities. She added that small towns use their dollars really wisely. She requested that the city increase its donation from $1,000 to $1,250.
• The second consideration of Ordinance 427, Omnibus Fee Ordinance Amendment, was approved as was its publication. The amended ordinance has the recycling fee at $5.62 and the cost of a 33-gallon yellow garbage bag at $1.95 and a 15-gallon yellow garbage bag at $1.45.
• Brian Burkholder was authorized to hire up to three part-time helpers for Western Days. They will help with clean-up of garbage in the parks each morning and help get ready for the event.
• A request from Lee Amundson for a land conveyance was approved as recommended by staff. The conveyance will rectify a lot line or building error where the garage and driveway to an existing home are on an adjacent property.
• A resolution was approved supporting the hazard mitigation planning effort and adopting the Olmsted County All Hazard Mitigation Plan.
• The Public Services committee recommends continuing with the current garbage bag system and weekly recycling. Broadwater argued that they should still conduct a survey to determine interest in a cart system. Councilor John McBroom explained the committee agreed, if it is not broke, don’t fix it. Mayor Russ Smith maintained it has gone through committee, adding the council is here to make these decisions.
• Young reported that Rolling Hills Transit (Semcac) will start part time service in Chatfield in September.
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