04.03 October 11, 2004 Special Council Meeting Minutes

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EMERGENCY MEETING OF THE PEQUOT LAKES CITY COUNCIL MONDAY, OCTOBER 11, 2004 PEQUOT LAKES CITY HALL Members Present: Mayor C. Malecha, Council Members Johnson, Bolz- Andolshek, Sjoblad, Akerson, Pfeiffer, and Ryan Members Absent: None Staff Present: Sandra Peine, City Clerk; and Nancy Rudbeck Deputy City Clerk 1. Call Meeting to Order Mayor Malecha called the emergency meeting of the Pequot Lakes City Council to order at 3:30 p.m. HRA Request to Borrow Funds for Housinq Project Sharon Thudow indicated that the HRA has an opportunity to purchase a lot located on Ash Street. She stated that the lot has a mobile home on it. The HRA would like to remove the mobile home and build a new home on the lot. She indicated that this is a community revitalization project that would be done through a partnership with Central Minnesota Housing. Sharon indicated that the HRA is requesting to borrow$28,000 from the City to purchase the lot. The money would then be paid back through the CMHP. Discussion was held regarding who would be responsible for paying for the removal of the mobile home. The Council indicated that there were no funds in the budget for the project. Sharon Thurlow indicated that the HRA could possibly pay for the removal. COUNCIL MEMBER JOHNSON MOVED TO BORROW $28,000 FROM THE WATER DEPARTMENT FOR THE PURCHASE OF A LOT FOR THE HRA COMMUNITY REVITALIZATION PROJECT AND THAT THE HRA PAY THE $28,000 BACK TO THE CITY AT AN INTEREST RATE OF PRIME AT THE TIME OF CLOSING. COUNCIL MEMBER SJOBLAD SECONDED THE MOTION. MOTION CARRIED 7-0. City Hall Building Project The Clerk reviewed the costs associated with renovation and building improvements to the City Hall building. She indicated that costs associated with the building renovation have come in just short of$100,000 over the estimate. The Clerk reviewed the major cost overages. She discussed ways of covering the costs.