CR 06-049 Environmental Clean-up Applications-Excelsior Crossings
CITY OF
m
April 12, 2006
HOPKINS
Council Report 2006-049
ENVIRONMENTAL CLEAN-UP GRANT APPLICATIONS - EXCELSIOR
CROSSINGS
Pro Dosed Action
Staff recommends adoption of the following motion: Move to approve Resolution
2006-029 authorizina the submittal of environmental cleanup arant applications to
Minnesota Department of Emplovment and Economic Development. Metropolitan
Council and Hennepin Countv in coniunction with the proposed Opus Corporation's
Excelsior Crossinas redevelopment proiect.
Overview
As part of the proposed redevelopment of the former SUPERVALU North Annex by
Opus Corporation, the City has been asked to support and submit grant applications
for environmental remediation to DEED, Met Council and Hennepin County. Various
forms of soil contamination and exist on the property which must be addressed
before any development can occur. Additionally, the existing structure to be
demolished contains asbestos. Grant funds from these programs would be used for
soil remediation, asbestos removal and associated clean-up costs.
Applicants for the respective grant funds must be municipalities or other such
agencies. Therefore, the City of Hopkins would act as the official sponsor and
applicant for these programs. All costs associated with the development of the
applications will be paid by Opus Corporation including any local match required.
The total amount of the three grant requests is $1,727,810 with Opus contributing
$258,190.
SUDDortina Information
Financial Impact: $_0
Budgeted: Y/N
Source:
Related Documents (CIP, ERP, etc.):
,
Notes:
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION NO. 2006-029
RESOLUTION AUTHORIZING APPLICATION TO THE METROPOLITAN LIVABLE
COMMUNITIES TAX BASE REVITALIZATION ACCOUNT, DEED CONTAMINATION
CLEANUP AND HENNEPIN COUNTY ENVIRONMENTAL RESPONSE FUND PROGRAMS
WHEREAS, the City has identified a clean-up project within the City located at 9300 Excelsior
Boulevard for redevelopment by Opus Corporation that meets the purposes and criteria of
these programs; and
WHEREAS, the City of Hopkins is a participant in the Livable Communities Act's Housing
Incentive Program for 2006 as determined by the Metropolitan Council, and is therefore
eligible to make application for funds under the Tax Base Revitalization Account; and
WHEREAS, that the City of Hopkins has the legal authority to apply for financial assistance,
and the institutional, managerial, and financial capability to ensure adequate project
administration, and
WHEREAS, that the sources and amounts of local match identified in the applications are
committed to the project, and
WHEREAS, the City certifies that it will comply with all applicable laws and regulations as
stated in the contract agreements; and
WHEREAS, the City of Hopkins has not violated any federal, state, or local laws pertaining to
fraud, bribery, graft, kickbacks, collusion, conflict of interest or other unlawful or corrupt
practice.
THEREFORE, BE IT RESOLVED, that the City of Hopkins supports the environmental
financial grant applications to the Department of Employment and Economic Development,
Metropolitan Council, and Hennepin County Department of Environmental Services and
agrees to act as legal sponsor for the project contained in the applications submitted on May
1, 2006.
BE IT FURTHER RESOLVED that upon approval of its applications, the City of Hopkins may
enter into an agreement with the State of Minnesota, Metropolitan Council and Hennepin
County for the above referenced project.
Adopted this 18th day of April, 2006.
By
Eugene J. Maxwell, Mayor
Attest:
,
Terry Obermaier, City Clerk.
Barr Engineering Company
4700 West 77th Street . Minneapolis, MN 55435-4803
Phone: 952-832-2600 . Fax: 952-832-2601 . www.barr.com
An EEO Employer
BARR
Minneapolis, MN . Hibbing, MN . Duluth, MN . Ann Arbor, MI . Jefferson City, MO
April 13, 2006
Kersten Elverum
Honsing and Development Coordinator
City of Hopkins
1010 - First Street South
Hopkins, MN 55343
Re: Excelsior Crossing Pevelopment Project- Proposed Grant Applications
9300 Excelsior Boulevard
Hopkins, Minnesota
Dear Ms. Elverum:
This informational letter is provided on behalf of our client Opus Northwest, L.L.C. (Opus). The
purpose of this letter is to summarize information about three proposed brownfield grant applications
that will be submitted by Opus under the City of Hopkins' sponsorship. The grant applications will
be submitted on or before the grant submittal deadline of May 1,2006, to the following three
brownfield funding sources:
1) Department of Employment and Economic Development (DEED)- Contamination Cleanup
Grant program
2) Twin Cities Metropolitan Council (Metro Council). Tax Base Revitalization Account
(TBRA) Cleanup Grant program
3) Hennepin County- Enviroumental Response Fund (ERF) Cleanup Grant program
We anticipate that funding for the cleanup project would be provided from the grants and the
required local match funding, plus any remaining balance, will be provided by Opus, the developer of
the site. The grant applications will request project fundiug distributious approximately as listed in
the following summary table:
Antici ated Grant Distribution Summar Table
. 4~~ - "~rt:[!r ~ 1 .~~~ .,.
",.~1' (~, . ,~)." ~ "0riiis~'~"
.:'\,',~\i.~. ".< ,-1, ':,\;:ti~~~l;:': 'f~~,/:~dAb'W1f~i
,'G.'~.'a_".h.'_fEIi "~I' s'kS'lI""" """'h' ".,.F~"~..",,
1'; _. "!~"'~!'_ ,:,:;.t:f,'..._~ .,.,,1Jl;JI~::' .,
Site Investigation and Voluntary
Res onse Action Plan Preparation .
Cleanup Implementation- South 28-
acre Area
Cleanup Implementation- North 3-acre
Area
Cleanu 1m lementation- Consultant
Eligible Demolition and Pavement
Management costs- South 28-aere
area
Eligible Demolition and Pavement
Mana ement costs- North 3-acre area
Totals:
:;fI!ljDEE
,~'i,l'..~"'I'l""'!f.
','~Pea
#;;,~itJ;J' '."\J,
~1:.\-,{Gra
Sources ~;" ;;~:i':'~~
;:~'_~~!~01'I{~. J,l:!~~nepj,~~ f :';~l~i;_>li~~
;,I:P9llnf(i:._,~: ~pr~oL!nfY~~: :,';~~~ ,~>;~.:~~~~~
':'. ",,,,"""A", '. .. ,:/t;":ER~o.:,.\llS .' . ,..,motll~"u''', <',
,_ -:~;~,I;t, "~r IOtlt~~., ~ ,.~;;t".,
120/0 ,:~~~t~~s'.~~~!~ $ 195,000
12% ~:;:~i~fm~?~ $ 977,000
13%
75%
13%
13%'
75%
~~L.:~lll}i--:~;,:, ;
lil,,,.;.,.,p'l !8:"
ff'.ll< ,:~. ~~.
75%
12%
12%
75%
$116,000
$ 78,000
13%
75%
13%
$ 258,190, $ 1,361,260
S~i\I~;/:fr~
12%
$ 238,340
75%
$128,210
$565,000
$ 55,000
$ 1,986,000
13%
12%
,
Footnotes:
, Additional project costs may include site acquisition. If included in the DEED grant application, this item would be the
developer's responsibility.
t
April 13. 2006
Page 2
At this time we are seeking feedback from the grant program staff on the proposed grant request
distributions, so it is possible that the amounts or the distributions that will be requested in the final
applications may change. As discussed with you last month, Opus will keep you informed of auy
changes and you will be asked to review a draft of the grant applications before they are finalized and
submitted.
Thank you for your assistance with the grant applicatious so far. On behalf of our client, thank you
for your sponsorship of the grant applications for the planned development project. Please coutact
me at (952) 832-2740 to discuss this information or if you have any questions.
r;:
~
~-
Eric Dott, P.G.
Senior HydrogeoJogist
BARR ENGINEERING COMPANY
Cc: Ericka Miller, Opus Northwest, LLC
P:\23\27\GOl Femr SuperValu (Opus)\RAP & Grants\Grant summary leuer to City_041306.doc