HomeMy WebLinkAbout10-12-198729164 RECORD OF OFFICIAL PROCEEDINGS OF THE COMMON COUNCIL
CITY OF ROCHESTER, MINNESOTA
Special Meeting No. 12 - October .12,,1987
Agenda
Item
A-1
E-1
President Postier called the meeting to order -at 4:00 P.M., the
following members being present: President Postier, Aldermen Canfield
�ckjr?uaJcligiie i�' RS0o1 i�g orf iiy ial�ln. Absent: Alderman Bl uhm.
The call of the special meeting was read by President Postier, the
same being called for -the purpose of considering a possible amendment
to the D-5 contract on the letter of credit provisions and any other
business the Council may deem proper.
Solinger moved, Canfield second to approve the requested amendment t
the D-5 Development contract - this regards the letter of Credit
Provisions.subject to the following"
1. A letter of credit in the amount of $100,000. will be required
until the issuance of a certificate of completion.
2. The Council's actions concerning the amendment of the development
contract will only become effective upon the official closing of the
Chemical Bank construction loan and after the first construction
draw has been completed.
Alderman Strain asked Mr. Chafoulias - Dev. of D-5 - if they would
be spending the first construction draw money on actual footings,
etc. Mr. Chafoulias stated that this would be used..in that manner.
Alderman Hunziker asked if all the 35,000 sq. feet has been leased?
Mr. Chafoulias stated that he has 35,000 sq. feet of letters of
intent to become tenants. Mr. Chafoulias also stated that they will
know if Chemical Bank will approve the loan by Oct. 22, 1987. Aldermz
Hunziker asked - What if you don't? - Mr. Chafoulias stated that
he would have other means of financing, but he really doesn't expect
he will need to seek other options.
Alderman Hunziker asked if the total would be more then 41.6 million
dollars - he was informed that 43.9 million should be the total
amount.
Alderman McConnel stated that he is voting very reluctantly and
he is unhappy with Chemical Bank and how they handled this situation.
Wishing to be heard was Clem Springer of the Kahler Hotel - the
Council let him be heard on this matter. Mr. Springer stated that
they were against the City releasing the D-5 1,000,000. that
if they were to release this letter, then the Kahler wanted to be
treated in the same manner and not require them to furnish the
City a letter of credit.
President Postier stated that the Kahler's matter was a different
subject and would be dealt with accordingly.
Having no further discussion by the Council, vote was taken.
Ayes (6), Nays (0).Motion carried. Resolution No. 530-87 was adop
RECORD OF OFFICIAL PROCEEDINGS OF THE COMMON COUNCIL `'
CITY OF ROCHESTER, MINNESOTA'�� `
Special Meetina No. 12 - October 12, 1987
Agenda
Item
E-2 Strain moved, Hunziker second to adopt Resolution No. 531-87
awarding the low bid of $17,320.50 to Swenke Construction Co.
of Kasson, Mn. on Pro..ct No. 6303-2-87 J 8994 - Sanitary Sewer
and Watermain Ext. from 3rd Avenue S. E. to serve GNS Fencing
and Others in Oil City. Ayes (6), Nays (0).Motion carried.
Having no further business, Strain moved, Hunziker second to adjourn
the meeting. Ayes (6), Nays (0).Motion carried.
City Clerk
1