Title
RESOLUTION AUTHORIZING AGREEMENT WITH ST. MARY’S DULUTH CLINIC HEALTH SYSTEM, DBA ESSENTIA HEALTH EAST, FOR THE CONSTRUCTION OF ROADS AND UTILITIES IN CONNECTION WITH THE REGIONAL EXCHANGE DISTRICT PROJECT IN THE AMOUNT OF NOT TO EXCEED $5,262,000.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to enter into an agreement, substantially in the form of that attached hereto as Exhibit A, with St. Mary’s Duluth Clinic Health System, DBA Essentia Health East, a Minnesota non-profit corporation (“SMDC”), pursuant to which SMDC will cause to be designed and constructed certain road and utility improvements as part of the development and redevelopment of the Regional Exchange District and the city will reimburse SMDC for the costs thereof in the amount of not to exceed $5,262,000 payable from Fund 455 Regional Exchange District.
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to authorize an agreement with SMDC pursuant to which SMDC will cause to have designed and constructed certain road and utility improvements necessary to the Regional Exchange District Project and the City will reimburse SMDC for those costs up to the amount authorized in special legislation for the Project.
The improvements will include road construction, and water, gas, sanitary sewer and storm sewer improvements as well as steam and hot water utility improvements related to the District Energy System in the district. The approval of the city’s director of public works and utilities will be required before the work is constructed and the director’s approval of the construction will be required as well. Upon approval, the city will accept the resulting work as part of the public system and the city will reimburse SMDC for the costs of the work but only as funds become available from the State under the special legislation for the project.
This contract will include only a portion of the work necessary to allow the Essentia project to keep on track. A second phase of the work will be covered by a subsequent contract.