Council - Regular Meeting

The minutes supported. Is there any further discussion? Call for a vote. All in favor? Aye. Opposed? Item for individual discussion. Discussion on 201 North Clinton Street. Is there a background on that?

So I met with Brandy. I asked her what plans were She was waiting on, she's been trying to get ahold of Shane Williamson to get a definitive answer. She was looking to go to the community foundation building. It just depended on what, um, what the price was going to be, whether it was going to be a lease or a purchase. And so she just, as of Tuesday, she still has not heard back from him. She's trying to find multiple rooms. So. I don't know if that's going to be a viable option for her or not. She would like to stay here in Albion. However...

So what is the ABA's position on that building, I guess? Is she looking to move or does she want to stay in that building? I think she would stay in the building, but I don't think she wants to pay for it.

Okay. It's kind of like she put $187,000 into it. Mm-hmm. 10 years ago or whenever it was that she moved in there. And the value of it when it was appraised was 150,000. And so it's one of those things where it's like, you don't want to, she's only been paying a dollar a month the whole time. And her lease is, I believe the end of December.

Actually, I think the lease goes through, I looked at this the other day, unless there was a change to it. I think it's through end of 28, or excuse me, May of 28.

I thought we had it come due earlier. Yeah. The lease was included in our online packet, but it's not included here. Is that right? Am I thinking of something else?

I'm thinking of something else.

We have a copy of that. Do you have a copy of that column? I'm sorry. I didn't know you were there. No, you're fine.

Um, yeah, I, uh, give me two seconds. Let me get to it here. I, as Cheryl had asked me a question about, about the lease expiration. And, uh, when I pulled it up, my, at least the, the last permutation I have of it prior to it being signed, um, Oh, which was, I think we redid that lease finally in 22?

Yeah, it's been, I mean, when I say recently, it's in the last couple of years, but I sort of recall.

Well, we had a, we redid it and then there was a denim. I apologize. I'm just trying to get there real fast. We redid, actually, the last version I have is from 23, I'm sorry. And the expiration that I showed on there for the addendum was that the addendum extended it from June 8th of 23 to June 5th of 28.

I recall a five-year deal as well. I don't know if you do, Mike. I recall the five years. It's just that the The actual what span? I don't remember. Five years.

Yeah, so that makes sense to me. Yeah, because I know they at least went overdue. We couldn't communicate with their home office. Right.

So you're probably right then with the 28. But she doesn't have anything either that was like signed. And so that was the big copy she gave me was. So I'm copying from 23. She couldn't find anything that was signed either. So either way, we still need to.

Colin, if you have those documents, can you forward those to us?

Yeah, I'm looking at an unsigned version. I don't have a signed copy of that lease, but it wouldn't have been signed by her. It would have been signed by. Okay.

Yeah.

That would have been signed by their corporate.

Was that when Haley was here?

Yeah, 2023. So yeah, Haley would have been here. Okay. Let me just check something while you guys are talking here. They sent me on April 17th of 23. An addendum signed by them. And then I forwarded that to. I'm sorry, she said they sent it to both me and Haley.

Okay.

So I can, I can forward that to you.

All right. So the addendum was executed by them. Yeah. So have a, uh, executed, uh, copied by the city by both parties. Is that what you're saying?

I don't have one that's signed by ABA. I just have the one that's signed by Edward Jones, but I reviewed their modification. We went back and forth, um, with them and and they had some minor modifications to that last addendum and i was fine with them which is why i gave haley the okay to right the aba the okay so so i mean given that they have the least or the 28th what does that do with our discussion well i would say it kind of puts it to bed yeah until 28. okay

I mean, unless she wants to move sooner, that's fine. But she can do what she needs to do. But I'm sure there's termination clauses in that lease. But, you know, if she wants to move to the foundation building or wherever, then she has time to do that. I guess there's not a time crunch.

That's what you're saying. What we're saying now. I think at the very least, we need to get an executed copy that the clerk's office has so that actually we have all the paperwork in order. Okay. The other thing, too, on that lease, the city is supposed to be taking care of the building, like the outside maintenance. I didn't know that until I looked at a copy she gave me. So it would include snow plowing or snow removal. I don't know if it includes mowing.

Who's been doing that? She has. She say that she wants the city to start doing that, or is she okay to? No, but I mean, I would think that now we're aware of it. Right. Right, I agree.

That's the terms of the agreement. Yeah, I agree. So that's something I can research just to make sure, at least for lawn care. I'm checking it right now.

Are we under obligation? I mean, we got the appraisal done for what, $150 on the building? Yeah, that was how long ago though? Where is that? So if it's set, we have to go with that, correct? We couldn't sell it for $50,000 if we wanted to.

Thank you. I think you probably could, but it's just I wouldn't think they'd be kind of low.

Well, yeah, but I'm just throwing it out for discussion. I'm just, because I'm saying that because, I mean, we're with public funds. Yeah. I mean, we're under an obligation. That's the appraised value, so you have to stay with the appraised value. Is there been, has she mentioned anything about buying? I know probably there was.

She's already put in $180,000. Right, and it's kind of like

insinuating right kind of close to nothing right that's that's my understanding too yeah talking with her is that she's invested her own money to renovate the building and that that's why it's appraising at 150 and i get that argument right and the other part i didn't know because there's the assessed value take part of the charter language says the assessors um

Valuation. So I don't know if that could come into play versus the fair market value, which is obviously even less than the fair market value. But if it doesn't expire until 20 years, at least we have a little time to negotiate the terms. Yeah.

If she's interested in stating that.

Yeah.

So, all right. So who's responsible for getting the executed, fully executed version of the lease

I have sent that to Jill. So Jill should have the, well, this is the addendum. I mean, the original lease was obviously executed, but this is the addendum that extends it to 28. I forwarded that to Jill's email so that the chair of the ABA can execute that.

Okay, so I sign that? Yes. Okay, all right.

If I could ask, Colin, since we can do addendums, Could we do an addendum, negotiate an addendum where she's paying more reasonable rent?

You mean post-2028? No. Prior. Prior. I don't see that happening, but I mean, we could, but I don't think it's a good look for us to negotiate a renewal in good faith. And then once it's, once it's signed by one side to say, Oh, Hey, wait, we want you to actually pay more for it now. I mean, that's, that's not a, not a good look for the city.

We kind of went through that with that prior to that addendum about raising it. That was one of the big issues. And the original intent when she took the building over, at least that's my recollection of this board, was that the idea was that she was going to put her money into bringing the building up and making it look nice. And that's why we did the dollar rent. But I think they also pay... a number for taxes too, don't they?

I think so.

But I guess the intent was not to make it a money generating proposition, but to get the building up. She did put the money into it, you know, and rather than I have a problem, you know, coming back and saying we want more, we want more, you know, like If it was me, I'd say, bye-bye.

Before that addendum, we had, I mean, because obviously I remember very vividly having discussions with both Haley and the ABA board, but the original red line that we sent them for the renewal, and this was like five years ago, would have raised the rent to $500 a month. And then as it relates to the taxes, Um, they were going to, I think right now they're, they were paying like, they weren't paying very much for taxes. They're paying maybe like a thousand dollars a year for taxes. And I think we raised that to, closer to $2,000 a year for taxes. And then if it exceeded 2000, if the actual real property taxes were to exceed 2000, that they would pay the deficiency. But I don't know what happened to that other than, um, there were, you know, they, they, we, they, they came back with this other addendum and that was what, what everybody gave the thumbs up to. So, okay. But I guess in the long run, post-2028, yeah, I mean, you can say, hey, let's do a market rent rate or whatever.

Okay. So I guess what I'm hearing then is the lease is good through May 28th. Jill's going to get me a copy of the addendum to sign. And then, you know, after, there's nothing we can do until May of 2028 and when it comes up again, unless she wants to move sooner. Is that everybody's understanding?

I'll find out. We'll take care of the grounds as well.

Would there be opposition to me at least inquiring if she would accept at least an increase in the amount she pays in lieu of taxes in light of the increase in the value of the property?

I guess I in theory don't have a problem with it. The worst thing she could say is no. She's not obligated to do it, but you can always ask her if she wants to pay more.

Does that outline

Sound right to you? Moving forward?

What do you mean?

I'm going to sign the addendum. It's good through May 28, unless she wants to move sooner, and then we're honoring that agreement, that addendum.

Yep.

Okay. And then Jason's going to find out about the responsibility for grounds.

So the way that the current lease... I should say the original lease because the addendum didn't modify the requirements as it relates to maintaining the property. Of course, I just scrolled past that. Let me get back there. It says lessor, meaning us, shall be responsible at its expense for all repair, maintenance, or replacement of the following building, common area, and premise elements. Roof, foundation, outside walls, sidewalks, parking lot, common corridors, restrooms, windows, drainage system, heating and air conditioning, plumbing, electrical wiring, snow and ice removal, landscaping, Interior walls and construction, pests including termite control and lighting. Pretty much everything.

Yeah. If I can just make a note for going forward, we seem to execute leases that put us on the hook for literally everything. We are on the hook for every single building, for everything down to a nail. It kills us. So going forward, you keep that in mind.

That was part of the original lease though, right? Yeah. Yeah. Okay. I guess you don't need to find out.

Pretty much anything in that parcel is ours.

All right. Is there any further discussion about 201 North Clinton?

looks like maybe at the next meeting we're going to have to make a budget amendment and put some money in there to prepare for maintenance and upkeep. Well, that's in good shape.

Yeah.

But I mean, you know, like the lawn mowing and the snow removal and stuff to be prepared for it.

Okay. Okay. We'll move now to the next item on the agenda B, which is the discussion of an approval of a new steel building for 219 North Eaton. Jason, you have some information on that?

So at the last meeting, we came to the board about replacing, we took down 219 North Eaton and then putting something back in its footprint because the land around it is still contaminated. So we left the cement slab that was there. And then it was discussed about going across the street to the fire station. When I talked with Whiteman about that, I found, you know, the myth was you could do anything anywhere because it's all contaminated around that whole area. It's not exactly the case. Anything from the edge of the driveway that goes on towards Eaton Street, the west side of the building, or the fire station currently.

Oh, fire station, yeah.

of that driveway and go north, that has been remediated all the way to that wall. So the only part that is not remediated and still has some sort of contamination from Sunco is from that driveway on the west side of the fire station south to the river. Then you go from the Edward Jones building and you go west, so it's that little that we're not allowed to disturb the soil other than mown.

So you're saying where that slab is has been remediated or not? No, this is just on the east side.

The west side of Eaton Street is all still at up limits. And so when I ran some of this stuff by Mickey Bittner, our engineer, I sent him the blueprints for all the of the driveway. When that driveway, that whole extra pad where the recycling center used to be, that was graded and it's made to drain going westbound to the southwest corner going towards Cunningham Street is how that entire area is sloped. In order to do this, we would have to pad that's there but saw cut around the perimeter and do two foot footings all the way down. There's nothing wrong with the cement slab that's there currently where the recycling center is at but we still have to put some sort of footings on the building and since it's not a residential and it's just a commercial building you're able to go two foot down instead of two foot down, one foot wide, footings all the way around. So that would save on having to tear out all that concrete just to pour it back in that same spot. When talking with Phipps, I sat down with Phipps and Timmons, and we kind of designed a building that would look exactly like the one that's currently there. Same color scheme, it's not in this packet. And we would put it close And we did it with the intention of if we ever needed to add on or do anything or connect the two buildings to it. The one thing when the fire station was designed, they limited themselves on future expansion. It would have been nice because we could have gone to the north side of the building between Michigan Street and the north side of the fire station and encased all that. But there's all the electrical generator host tower, so the only Bible way to go is to the south, but you're kind of limited, because if you encroach on Edward Jones and there's a lot of grading issues there, because the height difference in in great. So the thought would be to put it on the north northwest corner of the fire station now. So right just to the south side of the big wall, that's right there, we would leave about 10 to 15 foot away so you could drive a vehicle around it and also deal with any water drainage that would run off of the roof. And we would put a large, on the backside, a 12 by 12 roll-up door. On the front side, we'd put a 14 by 14. There'd be two of them. So the way you'd have enough to drive any type of equipment, whether it's a front-end loader, fire truck, or maybe the initial thought is just to have it for storage, partly for public safety, the other half for public purpose. That would allow us to have all the barricades, snow removal equipment for downtown. They could also put their grass rig in there once they winterize the hose, extra hose, because they're kind of limited on space as it is currently. So We came up with the 60 by 60 or the 60 by 80. One thought we had too is if we do a loan back to the ABA of whatever it may be where each department splits it over maybe a 10 year. For either building, the 60 by 60, I believe, it is. Well, it's actually just 40 by 60.

It says 21 by 45.

Go to the next one. It's the whole page. So it's on page eight. It says 40 by 60.

Oh, 40 by 60. And so does the other one.

Well, I'm looking at the other page, like nine. Well, it says size. Well, don't. Don't look at that.

Oh.

Yeah.

If you look at the top, see where it says on page 10. Page 10. Top left, it says John Hance. Then underneath. So base price, you got it incorrect. And then same with page 60 by 60.

All right. So is the pricing correct or is it- The pricing is correct.

It's the, just where it says base price, it didn't change it there. On both pages.

Okay, but- I guess.

And your first one, the 22 by 45 doesn't do you anything or is that kind of from what we tore down?

That would be the exact footprint of what's there.

Oh, okay. But again, by the fire station, we're not talking across the street.

The larger buildings would be by the fire station. smaller building the 21 by 45 or 22 by 45 would be on the west side of eaton so you're talking about two buildings now no oh just the one okay one building but we were just going to decide which one to go with whether it's the one on the existing pad where the contaminated soil is next to the riverwalk trail the building as we tore down that's the 22 by 45 that price is 21.6 Or do we go across the street to the fire station where the recycling center is and go with a 60 by 60 or a 60 by 80?

If you did that, what would we do with the west side of the cement slab that's just over there, just leaving the cement slab?

Or just tear it out, put grass in there. You can't tear it out? can't tear it out. I just can't dig down. I can't dig around it. I can pull the cement out, but I can't do it anymore. Now I put topsoil back in it and seed it just for the park bench. Or a weight-finding sign of some sort next to the river trail.

And then we put on this lab.

But just kind of big slab 22 foot wide by 45 foot was not a nice lab yeah. Right doesn't look like out front yeah. It looks like a couple streets.

Yes. Other words you wouldn't even want to put like an open pavilion sky thing for no. And who would use it anyway?

Yeah, it's kind of, it's in an oddball spot. It's really close to the road.

It's right off the sidewalk. So Jason, if they do the 60 by 80, that's what it was, right? Yeah. Would that, or the 60 by 60, would that take the place of everything that's housed over on Gale? Or is that something completely different? I don't know what's at that place in Gale anymore. I thought that place was falling apart, but... Oh, no. It's not? I thought the roof was giving in on that.

No.

Oh. You ever been in there for fire training? No.

Not in a while. Okay. I built a... I built an entire house inside that.

Oh, no shit. Sorry.

Yeah. It has a nine-bedroom, fully furnished house with a two-story Well, good to know. Okay. And then it has a gym in there. All right.

Yeah. Off topic. Okay. All right. Well then, yeah. You know, I don't, where are all this, where's all the stuff being housed right now that would be housed in the 60 by 60 or 60 by 80? Where's all that stuff?

Right now it's in several buildings out of the street department for our side of things. Which is where out on 27 miles? Yeah. On 27 mile road. A lot of it's going to be used for barricades, like the Jersey barricades that we bought, and then also any traffic control devices, the arrowboard trailers that we bought. That way, because instead of bringing everything down from one side of town to the corner of town, everything's right here to be deployed quickly and easily, plus it'll give us more rooms. more storage out there for other heavy equipment that we purchase. And then when we do downtown snow, we cram everything into the fire station now. So you got two tractors, a bobcat, two snow raiders, and a couple sprayers. And so it gets pretty tight. So now we would just deploy it right out on the other side of the building. Perfect. And then public safety would be able to take all their hose trucks, whatever it may be, and put it inside that building as well. Initially, the smaller building was what we were looking at using just to put so forth. But it really wouldn't give us the option of storing equipment. During winter out or winter operations.

Real does the city have anything.

We definitely need additional storage. And now there is, let's add another recreation program. They'll have enough number of items that need to be near downtown as well. And I think that's more of a permanent solution than trying to get a bunch of those that should be trying to get in containers. Your opinion?

I'm sure you do. Oh, yeah. Just looking at your face.

Oh, I see the need. There's no question there. And I mean, if we're going to do it, you're going to do the bigger one. It doesn't make sense to... If you do the smaller... You're going to say, God, if we did the bigger one, it's 15,000 more. It's not a big concern there. The other concern that's me is when you look at our financials, it's going to take our fund balance in half.

What about paying it back? But as Jason was saying, it's more of a loan. I mean, over X amount of years, it's going to need to be negotiated, I guess.

I would think a loan would be better, personally, as a board member. I think the city's already doing it on a fire station.

What did we... I think we just had a... Not a loan, but just an... How was it done? An agreement for, was it the Gale building? I remember doing that with Scott.

We were supposed to, the city was supposed to transfer it after we just haven't executed it.

But we were paid so much.

Yeah.

But it wasn't, I don't remember a loan agreement. I think it was just a lease. Essentially a lease to Scott.

At the end of it, we were supposed to, the city was supposed to get it for a dollar and just transfer it into their name. And that hasn't been done. No, it hasn't been done. The building itself out there is in great shape. So it's not going anywhere. It's been secured. The ABA did put a new roof on it. They put new garage doors in it. I redid all the plumbing, all the electrical. I gutted the electrical and redid everything. Same with the plumbing. We did cement work inside the building and then built the training facility and a gym as well. And then wired the cameras almost inside and outside the wall. Don't know how many permits he pulled.

I was just thinking about that. I'm not sure we want this to be heard at a public meeting.

We also cleared the land to the north of it on the north side of the building. We removed all the debris. There was a bunch of shingles and stuff through there. We cleaned it up and then we raised the lot by three and a half feet to make it level with the rest of the area. and then put a parking lot around the backside of it. Wow. It's been 10 years since I've been to that building. It looks deceiving. It looks run down, and that's for a reason. The outside is ugly, brown. We left it like that on purpose. We may have thrown a couple pallets up against the walls, too.

All right, so let's get back to this building. Are there what we need? So what I'm hearing is that we're going to need some kind of lease agreement. If we move forward with this. With the city, or who is that least agreement? What is that with the fire department? Is it with public works or both? Or what's the. Who are the tenants with the department? So we need 2 separate lease agreements. For public safety and. Public works is that.

Yeah, but I'm hearing or one brother. And it just be the city. You're calling are you there.

Yeah, any of the reasons I'm going to be with individual departments, it'll just be specified building, but all the leases are going to be between. We're going to be with the city.

What would the terms what would the lease terms be.

Be consistent. I think it should be a dollar.

Of course you do. About two dollars. Would you be upset if I approached you about an addendum?

You know, I'll say in trying to get prices for concrete and electrical, you're looking at roughly I would just go the higher end of 25,000 for the concrete for the footings on top of this, and then probably another 10,000 for the electrical. Talking with who? So you're looking at 135. With a 60 by 80. Right.

Which is going to be my next question. What for another cost? Is it just the building?

Yeah, you're going to have that. Put it there. It was just, I couldn't get a run. I couldn't get a number on paper because we didn't know what size we're going with. But it was anywhere from 20 to 25,000. So I would just figure 25,000. Now the city does get concrete at a cheaper rate than any other contractor through Shaper. I was able to negotiate $50 a yard cheaper than anybody else. And so that will help out drastically with that price. We're just paying for the later. And we worked something out with the Albion Electric to do the same. We've added materials.

What does the fire station, what does the city pay for the fire station? It's a 20-year agreement.

It's about over, isn't it? 28.

So it's tied to the bonds. Yeah. I'm still loving them.

an ACA or the ambulance pays one twelfth of the payment. I think it's like $36,000 or $26,000 or something.

Yeah, but that's got that strange auditing at the end.

You look back and I could never understand it.

Kevin tried to explain that to me dozens of times.

It's a very odd agreement. I tried to look into it. You're right. It's got

So there's $36,000 a year in rent for the fire and ambulance building.

I thought it was... Just looking at the budget. If you do $135,000 over 10 years, that's $13,000 a year, and both departments split it.

Couldn't the departments afford that?

No. Is that something doable for those departments? Without looking at the financials? I know it's in my budget. So that would be six and seven divided by six. That's $125,000 a year from water, sewer, streets, parks, cemeteries.

As an alternative, that's the full $135,000. Right. We just do it throwing a number out. do it at $100,000. And we just... In other words, we charge you for the building. All the other stuff that goes with it, we just pay for it. Oh, okay.

The building is $106,000.

So if we take this in... Because I guess I'm going back and looking at our fund balance and we're... And so not to believe that takes us down to $200,000. you know, that we're actually removing, well, we're going to move 135 out of there. It's going to take us down to 100. Yeah. But essentially forgiving the 35. I'm okay with that.

Do we want to run that by me again?

I'm saying that we would do an agreement with the city For the 101,000. The building itself. 101. Oh. 101, 234. Oh, that's. Right. That's the bigger one. Yeah. Okay. Got all the bells and whistles you want. And then. The. Install. Not installation costs, but. The concrete. The concrete, the electrical and that. Approximately 35,000. We just pay for the ABA. I assume we could do that. Should be able to. We've done a lot of things.

And that's over 10 years?

10 grand a year, essentially. Yeah. And if we were to come into some money.

Next to Stefan, I don't know. So is there, what I'm hearing is that to go with the 60 by 80 building with a 10 year Leased to the city for the 101 to 34. Uh, that will be split between whatever departments the city needs to split it between, I guess. Um, and that the. So, pending that the outcome of that lease agreement, the signing of that lease agreement. Oh, is that something that you can draw up as a lease agreement for that? Similar to maybe the fire stations or.

Well, or do we need something or about this straightforward? this crazy one the fire station has.

Well, yeah, yes. I mean, I want something in writing about it, but yeah. I don't know what we need.

Or should it just be an interest-free loan? Oh, interest-free? Because we don't want to retain ownership of the building. And if you do a lease, you're going to have to put something in at the end of the 10 years. You're right. because essentially it's the same thing. We're doing an interest-free loan if you do a lease. Is that, Cullen, are you there?

I'm here.

What's the legal opinion on that versus, you know, how to structure it?

Well, I mean, it's, I would say this, the concept of an interest-free loan isn't really, I mean, nothing's ever free. And so to have a valid agreement between there has to be at least some consideration. And so, I mean, obviously we could say, hey, it's for a dollar or whatever. And realistically, it's a interest-free loan. I mean, however you guys want to do it, I mean, either way is probably fine.

I mean... Well, again, thinking the end result, you know, we don't want to retain. I guess this way... I mean, if you did something like a dollar a year for the loan interest or whatever, a dollar a month, the city owns the building from the word go. Well, even 1% is a thousand dollars, you know?

So you do that 1% a year, it's an extra 500 bucks. Yep.

Is that an agreement that you can draw on?

Yeah, if somebody sends me the info on the building and the duration and the amounts and all that, I'll put it into an agreement.

Okay. So is there a motion for anything here?

I don't know that you guys, I mean, I wouldn't necessarily vote on it. I mean, if we're going to do it via an agreement, why don't you just hold off until there's a draft agreement to approve? Okay.

I just didn't know if they wanted to move forward with the building or not until, but because we only meet quarterly.

Question to you, Tom. Yeah. You're leaving?

How long are you going to be gone that we couldn't? Where's that span? We can't have a meeting. I'm not even potentially leaving town until next year. So I've got a while.

I know you talked about traveling.

Well, I am traveling. I'll be gone all of August and September.

So I guess, Colin, you can get this a draft and we'll have to hold a special meeting.

Yeah. Prior to you. Sorry, I forgot about my travels. Yeah.

Yeah, that's fine. Is that enough? Okay.

Yeah, as long as somebody gets me the info, I can, well, that's what I got associates for. So I'll put one of my minions on it.

Yeah, I can send them the information on that.

Okay. Um, just so we're clear this is for the 60 by 80 correct? Yeah. Yeah. Okay. To make sure we're clear on that. All right. Is there anything else about the new steel building at 219? Next item is a discussion on the proceeds from Maple Grove.

Well, sorry, do we want to pull that slab off of there? Or just leave it right now. And 219. We can leave it for right now. Okay. I did leave the electrical pole there. Okay. So should we, I could always check with Whiteman to see if we wanted to do anything there. Like you said. Yeah. Anything. I left it because if I remember. And then if we ever... I think eventually we want to just remove the slab.

It just doesn't... Or maybe in a year or two we want to throw up a 22 by 45 building there. I don't know. On that slab or whatever.

Or a bench with a light on top of it. Something.

All right. Nothing about that needs to be decided right now. The consensus is then to leave that slab at 290. All right, the proceeds from Maple Grove. I know we've been talking about this for quite some time and that the ABA was supposed to have been or entitled to some of the proceeds from the sale of Maple Grove. It was just a determination of how much and how that was going to be done. And we never really got good answers from anybody on that over the course of, I think, maybe a year, I think, of meetings that this just kept getting pushed off and pushed off. And I want to get it settled. And Mike, I know you have some background on that. And I know, Cullen, we've been trying to get you involved with this for a while too. But again, we just keep getting pushed off. And not by you, but I just want to get it settled.

It's my understanding that the sale was 2 million 150,000. The net after closing was 1 million 875128. It's also my understanding that the city had a number of major projects they had to undertake for infrastructure. So we're not currently in a position to transfer those funds to you in its entirety. So we'll definitely welcome a conversation on what you would accept and then the terms of providing that over time.

About the Albion Trust. I thought that was dissolved with Maple Grove and that there was like a million.

That went to the city.

The terms of the Albion Trust were upon Maple Grove going from public to private ownership, the trust dissolved and the funds from the trust went to the Grand Tour, which was the city.

It's just the trust was funded from Maple Grove. Wasn't there something in writing. I mean, it all kind of goes back to the fact that when the ABA was discussing the possible sale of this and then the surprise came up, it said, well, you transferred the Maple Grove back to the city in such a year. And I was like, boom, okay, we don't own it now. We were just the manager. But I thought I've got something, maybe I don't have something that said the Like you say, the ABA was supposed to get a portion of it.

Not all. I can maybe offer a little bit of insight here. So I don't think anybody, the ABA, the city, or even my office thought of, I mean, everyone was like, okay, great. We've got somebody willing to purchase Maple Grove. and we're gonna transfer these parcels around to facilitate the sale, but nobody, including myself, thought about, okay, how are we gonna divvy this up on the back end? And obviously hindsight is 20-20. We probably should have had those discussions in advance, but we didn't. So as Cheryl indicated, the sale price was 1.8. I had a conversation with her and I had a conversation with Dave Clark, the finance director, And so what the city is tacitly proposing is that if the sale price was 1.8, they were thinking of transferring roughly, I mean, obviously it's 1.8 and change. So I'll just say roughly a third of that allocating it to the ABA. We'd have to figure out how to stagger the payments on that because according to Dave, because rates were so high in certain things, he put a lot of the money into investments. And so some of it's locked up in, I don't know if it's CDs or whatever for certain periods of time, because he wanted to take advantage of those, those high rates, which makes sense. And so it'd be roughly 600,000 to the ABA over, I don't know, we can figure out a period of time, but a couple of years. But as an alternative, I mean, obviously ABA's whole purpose is capital improvements. On the flip side of that coin, if ABA wants to just allocate those monies towards specific capital improvement projects in the city, that's another alternative. But those were some of the discussions that I had with the finance director and the city manager. So those are some proposals, I guess, for you guys to chew on.

And you remember David putting money, because he was doing that with some of the city's budgets, line items too, for six-month CDs, because the interest rates were, he was getting five and over, 5%. And so he was making a good amount of money just taking the excess cash that he had, because he was doing it by department as well. Right. But we don't know, sorry.

So where do we go? I feel like we're back to yesterday again. It's like, where do we go with this?

Yeah, the tricky thing here, and I don't think any of us considered kind of like the unknown variables because obviously these were, well, number one, there were parcels that were split. before the transfer, which made things even more complicated. But that was something that the buyer wanted to do, and I can't remember why. But then obviously we went from having parcels that were owned by both ABA and the city that didn't have a taxable value, So now they're in the hands of a private entity and their value obviously changes. But it's like, how do you determine a value on what the parcels were when they were publicly owned versus privately owned? So it's quite a mess. But anyway, those were the two ideas that the city came up with to offer to the ABA if either of those are palatable. Or if ABA wants to come up with something for me to take back to the city, I'm happy to.

If I could suggest for your consideration, if we're looking at the net proceeds of $1.8 million, if the ABA would accept one-third as their portion and then allowing the city to pay that over three years?

No objection. I don't have a problem with that.

You got that, Colin?

Yeah, so here's my thought on how to- Of the net proceeds- Yes. My general thought on how to take care of this on the back end, I guess, would be to have both the city and the ABA Board adopt basically identical resolutions that basically says, you know, as it relates to this sale of the property, you know, we're in agreement. And we may have to, I'll have to dig into this and see if we need to have some sort of a written agreement between the city, but certainly resolutions authorizing that these are going to be the proportions of the sale proceeds and how we're going to split it. And that way it's official.

Yeah, I'm good with that. Can we draw up those resolutions? Yep. Yep, we can do. Add that to an agenda for a special meeting before I take off. When is it? June? So, yeah.

As soon as you can get them.

All right, I'll send that one to my other associate.

I appreciate the follow up on that and finally putting this to bed.

Well, we need a special meeting to confirm that or can they authorize the chair to sign the documents?

Well, we're going to do a resolution that would have to be at a meeting. But right now, it's just on your agenda for discussion. So, I mean, I'll put together the resolution, and if we decide that we need to have some sort of post-sale agreement between the ABA and the city, I can prepare that, too, and have it ready to go for the same meeting.

Okay. Other discussion on the Maple Grove? All right. Move to the financials. Financials were provided in the packet.

Since that's all your discussion, unless anybody needs me further, I'm going to bow out.

All right. Thank you. Thank you, Colin. Well that one 40 transfer out that's the elevator in.

But you have any but and some of our animals just looking back at the military. There were all 5th Street got removed that's what it was there. It's disappeared.

Well, there is a thing on the income statement for Fitch Street. Fitch Street was supposed to be removed.

Oh, it is there, 312.

So that's not part of the ABA, that Fitch Street house? looks on our financials.

That's money going in and out. That was a pass-through.

They used it as a pass-through.

The only thing that I would like, David, he's done it a couple of times. This, and there was the big one with the maple growth, but he's put money in, taken money out, and we don't know what's happening until we see this. I guess I'd just like to, if he's going to do that, that we get a notification or something. It's just like this fixture. Well, we're approving our financials and we don't know what's going on. I guess it's just information. I understand what you're doing, but we don't have it in our minutes or anything recorded that we knew what was taking place. It was like Maple Grove, the 2 million one appeared on our financials and then the next month it disappeared from our financial. What's going on?

Yeah, I agree.

By the way, we're entertaining an offer on the Fitch Street property. Although it might be at a loss.

We should not show up on the ABA's financials.

We'll keep an eye on it. I make a motion to approve the financials.

Second.

Motion to approve the financials supported. Any further discussion on the financials? Seeing none, do we need roll call for that? All in favor? Aye. Opposed? Motion carries. Next item is to excuse absent board members. Did we hear from Audra?

What's the, I think I've asked this before.

We're made to say above removal.

I'm not saying we're not, we're not getting any notification or response.

I can't make it or I'll follow up with the mayor on that.

Okay. Um, do we need to schedule a special meeting for July? And we should, yeah.

You want to schedule it or not knowing when the paperwork will be ready? In case it's ready before. Well, we give them a deadline.

Yeah, I know. Just when the meeting is. Yeah. So, um,

I'm going to be doing my little trip towards the end of July and then all of August and then most of September. So sometime in mid-July would be great. You come out the week of the 13th or the week of the 20th? 20th. For the meeting or when you're leaving? For the meeting. I'm not going to leave until the week of the 26th, probably midweek, but yeah. Okay.

August Thursday, the 23rd, look.

Don't be right now. I'm retired, so.

Oh my, that's good.

July 23rd.

8 o'clock is the time for everyone?

Yeah, that's fine.

If I could ask, would you be, there's a number of projects that we need addressed here at City Hall, including The stairs up front, the entrance, and there's some mold situations in the public safety area. And the city manager would really like an air conditioning unit. But would you be willing to consider a capital improvement proposal for this building?

So one of the things that has come up in previous meetings, what we wanted to do is about putting City Hall under the ABA. Maybe we can add that to the agenda for the special meeting. And then we can do both. We can talk about capital improvements and then we can talk about the putting this building under the ABA and how that would look. I think that Doug brought that up. So it's kind of a yes or no question. Yes.

I think that's a good question because I don't know if the ABA needs to own municipal buildings in order to do the infrastructure work or not.

I don't either.

So it would be good to learn that.

Yep.

Okay. All right.

How did that come up?

I think it was during the elevator discussion. Might have been when Doug was stressing about the budget. He was too. He was. It's tight. Yeah.

Right.

Any other public comments? Is there a motion to adjourn?

No. Board member comment. Oh, board member comment. Sorry. I got one. We, correct me if I'm wrong, do we still have that lot across from the credit union next to Dollar General? The open parking lot is ours, still the ABA. Is there any dreams that the city or departments have had of use of that lot? Should we ever consider just, say, throw it up for sale and see what happens? I don't think we've ever listed it. I mean, it's just there. We don't really take care of it at all.

It looks horrible.

Yeah, I mean, it's an eyesore there.

My opinion would be just to hop on it, sell it, put it up for sale. It's... Maybe look at developing it. I wish I would have known, because I would have ran utilities to it. Um...

I mean, the last time it got discussed, I think there was a possibility Dollar General was looking at it. I remember somebody was looking at it. And I thought, like, they were to move there versus the other lot, so maybe it had something to do with their agreement on where they're at, that they would just build a smaller footprint when you already had two stores in town. All right.

Do you want to add that to the agenda? There's a special meeting in

Or what do we need to do to list them? Well, then we have to put an RFP out for listing it, if I remember right, to realtice. Because we sold something and we had to do an RFP for the realtor. We couldn't just pick one.

Well, I wonder if we'd fall into the city's policy of getting three bids.

That's right.

Yeah. Maybe just get three bids from different realtors because it's going to boil down to percentage rates. We don't know what their cut's going to be.

No.

No, and the city is using Joe Verbecki right now with Ace. And I think he gave the city a pretty good rate for commissions, so. I would definitely consider Joe.

Yeah.

I'm still going to put it out there. Yeah. But I would ask Joe and maybe a couple other national chains or.

Linda Wado still in business or retired?

Oh, no. Okay.

Max or somebody in Marshall.

Yeah.

I put it out there in single bids. So, yeah.

So you want to RFP for the realtors. That's what I'm hearing.

Yeah.

Any other board member comments? I'll be quiet. I think it's good. Gets his stuff cleaned up. All right. Motion to adjourn. So moved. Second. All in favor? Aye. Good meeting. Thank you.

I think everyone knows.