Title
RESOLUTION MAKING AVAILABLE $250,000 0F 2018 TOURISM TAX FUNDS PREVIOUSLY ASSIGNED TO FINANCE REHABILITATION OF THE MINNESOTA SLIP BRIDGE AND REAPPROPRIATING THAT $250,000 TO FINANCE ADDITIONAL COSTS ASSOCIATED WITH THE WILLIAM A. IRVIN TOW PROJECT.
Body
CITY PROPOSAL:
RESOLVED, that resolution 16-0836R as amended by resolution 17-0043R and 18-0457R, authorizing an interfund loan for the Minnesota Slip Pedestrian Bridge retrofit project be amended to decrease the Tourism Tax Fund payment due in 2018 by $250,000 and increasing the final Tourism Tax Fund payment due in in 2022 by $250,000.
BE IT FURTHER RESOLVED, that resolution 17-0877R as amended by 18-0457R, distributing the estimated 2018 hotel-motel and food and beverage tourism taxes, be modified by decreasing the Minnesota Slip Bridge appropriation by $250,000 and increasing the William A. Irvin appropriation in the amount of $250,000 for additional costs associated with this project.
Statement of Purpose
STATEMENT OF PURPOSE: The City has undertaken a project to reconstruct a portion of the seawall within the Minnesota Slip and in the harbor adjacent to the DECC which requires the William A. Irvin to be temporarily relocated from Minnesota Slip (the “Reconstruction Project”).
The cost of towing the Irvin from Minnesota Slip to Fraser Shipyard and back is expected to be $850,000, $250,000 greater than the $600,000 projected budget. Costs have exceeded budget as a result of the necessity to semi-permanently install a large number of pilings outside Minnesota Slip to safely guide the vessel out of the Slip this fall and back into the Slip next spring.
Tourism tax funds in the amount of $250,000 previously designated in 2018 for Minnesota Slip Bridge loan repayment will be reallocated to the Reconstruction Project which requires delaying the remaining scheduled 2018 pedestrian bridge interfund loan payment of $250,000 until 2022