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HomeMy WebLinkAbout25-082 Authorizing Funding and 2025 Budget Amendments and Interfund Loan for the Acquisition of Real Property at 17622 Dodd Boulevard CITY OF LAKEVILLE RESOLUTION NO. 25-082 RESOLUTION AUTHORIZING FUNDING AND 2025 BUDGET AMENDMENTS AND INTERFUND LOAN FOR THE ACQUISITION OF REAL PROPERTY AT 17622 DODD BOULEVARD WHEREAS, the City is proposing to acquire the property located at 17622 Dodd Boulevard,Lakeville,Minnesota consisting of two parcels with PID Nos. 22-00900-79-011 and 22- 73370-00-070;and WHEREAS, multiple funding sources are proposed for the property acquisition;and WHEREAS,the majority of the property acquisition costs will be incurred and paid by the City prior to receipt of franchise fee revenues. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota: 1) The total cost of property acquisition and clean-up is estimated to be $5,700,000, including a purchase price of$5,400,000,plus estimated costs for demolition, surveys, environmental and closing costs. Anticipated funding sources are listed below. City staff is hereby authorized to amend the 2025 budgets and make the appropriate transfers between funds with respect to the project funding sources up to 10% above the estimated costs. Funding transfers may include loans between funds to cover costs incurred in advance of receiving other funding. Fundin�Sources Total Franchise Fees $ 1,053,598 Public Safety Aid 1,850,000 WaterTrunk Fund 2,796,402 Total $ 5,700,000 2) The land acquisition and associated costs will be accounted for in the Building Fund (F4000), with transfers as needed between the funds listed above/below. 3) A loan from the Water Trunk Fund (F5500) is authorized in an amount sufficient to cover all costs incurred for the land acquisition and associated costs until Franchise Fees are received and/or bond proceeds are received. 4) If an interfund loan is utilized, the Water Trunk Fund (F5500) will be the lending fund. If an interfund loan is needed, a separate resolution will be brought to Council establishing the specific terms of the loan. The lending fund will be compensated for the use of its financial resources at the market rate realized on the City's general investment pool during the loan period, which will end when a sufficient amount of combined bond proceeds and franchise fees are collected. ADOPTED by the Lakeville City Council this 2nd day of June 2025. . � Luke M. Hellier, Mayor ATTEST: Ann Orlofs y, City Clerk