Improvement hearing on Capital Improvement Project 11114: Germania Park Phase 5.

Adoption of the attached resolutions.

A public hearing was held on January 13, 2025. Prior to the hearing, the City received a letter from the developer on 8th Avenue objecting to the proposed improvements, including the extension of 8th Avenue north of Cleveland Street. Also received prior to the hearing was an inquiry from Grace Baptist Church regarding their pending application to vacate Lind Street between 6th Avenue and 7th Avenue. Considering the significance of these two issues, staff recommended, and the City Council voted to continue the hearing to March 10, 2025.  
 
The following is a summary of the current status of the two issues raised on January 13, 2025:
 

• 8th Avenue Developer Objection – Since the January 13 hearing, the developer has clarified that they wish to see the improvement on 8the Avenue south of Cleveland Street be included in the project and constructed in 2025. Staff agree that it is appropriate to remove 8th Avenue north of Cleveland Street from the proposed project and have adjusted the feasibility report accordingly. Staff continue to work with the developer to finalize the location of the utility service to serve future development and to resolve other associated design and legal issues associated with the future development. Staff considers the “8th Avenue Developer Objection” issue to be resolved with regard to the March 10, 2025, hearing.
   
• Vacation of Lind Street – Just before the original public hearing for the street project held on January 13th, City staff became aware of a pending application from Grace Baptist Church to vacate Lind Street between 6th Avenue and 7th Avenue and a portion of the public alley south of Lind Street. Grace Baptist Church made an application for this vacation and a hearing was held at the Planning Commission on February 26, 2025, where the item was tabled to allow time for Grace Baptist Church to provide additional information supporting their request and to see what the City Council’s decision would be regarding Lind Street on March 10, 2025. The Church’s representative (who also represents the developer on 8th Avenue) has indicated that the Church will request the City Council to remove Lind Street between 6th Avenue and 7th Avenue from the proposed street project. Staff do not consider the “Vacation of Lind Street” issue to be completely resolved at this time.

The improvements proposed as part of the Germania Park Phase 5 project are certainly needed. Generally, the City attempts to resolve as many issues as possible when moving forward with improvements of this magnitude – they are expensive and impact the neighborhood significantly. The 2025 construction season is quickly approaching and staff are concerned that further delays this year may impact the cost and schedule of the project. With these thoughts in mind, the following two options are offered for City Council consideration: 
 

1. Approve the Germania Park Phase 5 project on March 10th – This would include Lind Street between 6th Avenue and 7th Avenue in the bid project. The construction contract would allow the City to remove this segment by July 1, 2025, to allow time for Grace Baptist Church’s vacation request to be resolved. If the vacation was approved by the City, the segment would not be constructed. This approach allows the City to complete plans, bid and construct the project in 2025. Staff recommend this option.
2. Delay the Germania Park Phase 5 project – This option would put the proposed improvements on hold. Presumably, a similar project would be brought forward to the City Council for consideration at a future date, yet unknown, when neighborhood issues have been resolved, or the project is reprogrammed in the CIP. There is no guarantee that neighborhood issues will be more resolved in the future and the project may need to be forwarded due to failing infrastructure.

Staff recommend the Council consider this improvement per the attached feasibility report and the resultant costs and funding sources are as follows:  

ITEM	COST
Street and Landscaping	$776,888.03
Stormwater Pollution Prevention	$40,200.00
Storm Drainage Construction	$38,200.00
Sanitary Sewer Construction	$381,325.00
Watermain Construction	$434,998.08
CONSTRUCTION SUBTOTAL	$1,671,611.11
Construction Contingency	$167,161.11
Administration	$110,326.33
Engineering	$183,877.22
TOTAL PROJECT COST	$2,132,975.78

 

FUNDING SOURCE	AMOUNT	PERCENT
Sewer Revenue	$448,438.20	21.02%
Water Revenue	$511,557.74	23.98%
General Obligation Bonds	$422,474.11	19.81%
Special Assessments	$705,582.52	33.08%
Stormwater Revenue	$44,923.20	2.11%
TOTAL FUNDS	$2,132,975.78	100%