HomeMy WebLinkAbout20070604 - VIII-A-3
VIII-A-3
MEMO
To: Honorable Mayor and City Council
From: Tom Montgomery
Date: May 3 1,2007
Re: Resolution - Order Feasibility Study - CP Rail Quiet Zone, 2nd and 3rd Streets
Council is requested to adopt the enclosed resolution order a feasibility study for
constructing a center median on 2nd Street on both sides of the railroad crossing,
relocating the west 2nd Street crossing gate west ofthe westerly most set of tracks, and
installing gates to close the 3rd Street crossing. These improvements will meet the federal
requirements necessary to establish a quiet zone through the 2nd and 3rd Street crossings.
The quiet zone improvements are expected to cost approximately$60,000. These
costs are proposed to be assessed against Block] as the quiet zone will benefit residential
development on the site. Last year, the HRA contributed $440,000 towards the Eddy
Street reconstruction as a credit for future infrastructure projects (see attached memo).
The quiet zone assessment against Block I would be deducted from this credit.
FUTURE ACTIONS
The quiet zone feasibility study will be forwarded to the Council at either the June
19 or July 2 Council meeting along with a request to order a public hearing on the
project. Prior to the public hearing, a neighborhood meeting will be held on the proposed
improvements. Following the public hearing and any changes the Council may wish to
make to the project based on comments received, Council will be requested to order the
project constructed and authorize advertisement for bids. Construction would be
completed this fall.
crn' Of HASTINGS
CITY OF HASTINGS
DAKOTA COUNTY, MINNESOT ^
Resolution No.
RESOLUTION ORDERING THE PREPARATION OF
FEASIBILITY REpORTS FOR 2ND AND 3RD STREETS
RAILROAD QUIET ZONE IMPROVEMENTS
WHEREAS, it is proposed to construct a center median on 2nd Street on both sides of the
railroad crossing, relocate the west 2nd Street crossing gate west of the westerly most set
of tracks, and install gates to close the 3rd Street crossing in order to establish a quiet zone
through the 2nd and 3rd Street railroad crossings.
NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF HASTINGS AS FOLLOWS; that
The proposed quiet zone improvements are hereby referred to the City Engineer
for study and he is instructed to report to the City Council with all convenient speed,
advising the Council in a preliminary way as to whether the proposed improvements are
feasible and as to whether they would be made as proposed or in connection with some
other improvements, and the estimated cost of the improvements as recommended.
ADOPTED BY THE CITY COUNCIL OF HASTINGS, MINNESOTA, THIS 4th
DAY OF JUNE, 2007.
Ayes:
Nays:
Paul J. Hicks, Mayor
ATTEST:
Melanie Mesko Lee, City Clerk
(Seal)
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VIII-B-2
September 12, 2006
,
/ TO: The Honorable Mayor and City Council
FR: Jolm Grossman, BRA Director
RE: Use of pre-79 tax increment for public improvements
A result of Shennan's inability to close on land and start work this year, the HRA has a
balance of pre-79 increment from the downtown district. The funds were to be used for
a parking lot lUld the balance for infrastructure assessments along Tyler Street.
The anticipated balance is expected to around $725,000. The funds are to be spent this
year by a combination of paying for completed work and escrowing for contracted work.
The HRA has committed to or is planning $285,000 in redevelopment and rehabilitation
costs by year-end, including the Second and Third Street crossings.
The HRA proposes to use the remaining balance to pay this year's public improvements
on 3'd and Eddy inside the TIF district. That amount would be at least $440,000, perhaps
more. This amount could be used to reduce the bonded debt and/or be used in lieu of
sewer and water funds, saving the City the expense this year.
The HRA asks that the City Council agree to provide the HRA a credit, in an equal
C) amount, against the costs of street and utility work to be done adjacent to HRA
redevelopment property in the future. An agreement would be written to document the
amounts and types of costs paid for this year.
The Engineer's estimate of costs to be paid by the City for Third and Eddy Street public
improvement project.
Street reconstruction: $346,658 City improvement bond
Sewer and water reconstruction: $279,228 City's sewer and water fund
Total $626,540
Staffhas discussed this with Char Stark, Tom Montgomery and tax increment consuhants
to verifY that it would meet legal and accounting requirements. The consultants advise
that the HRA can use the increment to pay for the City's share of public improvements in
the district. lfthe Council approves ofthis concept, an agreement would be drafted for
the meeting in October when the Public Works Director asks the Council to levy for the
project.
ACTION: Approve this use oftax increment in concept, and direct that an agreement be
drafted for consideration.
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