Council gives OK to Spring Valley Senior Living/Olmsted Medical proposal
Monday, April 15, 2013 12:12 PM
The Spring Valley City Council, during a regular meeting Monday, April 8, approved a refinancing proposal for Spring Valley Senior Living that would allow a new clinic building for Olmsted Medical Center.
Financial consultant Mike Bubany approached the council Monday to review the proposal for the project. Spring Valley Senior Living intends to build a 14,055 square foot building that will contain a medical clinic, which Olmsted Medical Center will be renting, a post acute nursing facility with more private rooms and an updated rehabilitation wing.
In 2006, the city of Spring Valley approved a tax-exempt conduit bond for the first Spring Valley Senior Living project. Now as an important step for the current project, the council needs to refinance the outstanding principal amount.
Bubany explained the city would need to approve the refinancing of the project in order for Spring Valley Senior Living to move forward with other financing. The facility will save an estimated $220,000 on interest if it is able to refinance with a new lower rate of 3.5 percent.
Bubany urged the council to charge a local government administration fee because it would be giving up a good amount of money. In 2006, it did not include this fee, but Bubany explained that now more cities are doing this and suggested an amount of $10,000.
The board approved the proposal as recommended by Bubany.
The pro-rated liquor license for Steve Tart's Rack's Bar and Grill, formerly Tooties, was approved.
According to Zimmer there was only one bid received for the repairs to the intersection of Franklin and Washington. Rochester Sand & Gravel's bid of $22,958 was approved, as the funds had been set aside last year for this project.
The council approved new Inframap software for the city. This software allows city maintenance to keep an updated map of everything from street signs to sewer lines and park equipment. The hope is this will streamline the process, as well as, help with budgeting and make it easier to make repairs. The expense of $24,797 will be split in half with Public Utilities.
The council has received many calls from citizens concerned the pool will be closed this year. The concrete is out of the pool, but now the city is working on finding a way to remove two dump truck loads of sand that was used to fill in a tunnel during the last repairs. The sand must be removed before the repairs can be made. The city may be looking for more summer laborers or volunteers to remove the sand by hand. The council approved the estimate of $24,870 for the pool repairs so the pool will remain open this summer.
Playground equipment was approved for South Park and Spring Creek and benches for the grassy area on the side of City Hall.
The council approved a cigarette license for the Old Tyme Saloon.
The citywide cleanup is scheduled for Saturday, April 27, from 10 a.m. to 1 p.m.
The next meeting will be held April 22 at 6 p.m.