7.b Kronmiller Email 02-19-2022 - Message regarding 2-year Midco Request with regard to County Grant Funding
Kenneth Cammilleri
From:robert.wilmers@icloud.com
Sent:Monday, February 21, 2022 1:50 PM
To:Kenneth Cammilleri
Cc:c.maefsky; s.kronmiller
Subject:RE: IAC Item for Consideration
Ken,
Please add this info from Steve to the March IAC packet along with the other items you have already sent about the
certification of the 2021 project’s performance.
I’ll get an agenda for the March meeting out early so everyone has a chance to review all the packet materials. I expect
we’ll have news from MidCo about the 2022 project soon and will include it in the packet as soon as its available. Also, I
hope to have more news on the county funding and DEED by our next meeting.
Thanks,
Bob
From: s.kronmiller <s.kronmiller@ci.scandia.mn.us>
Sent: Saturday, February 19, 2022 9:34 AM
To: robert.wilmers@icloud.com
Cc: c.maefsky <c.maefsky@ci.scandia.mn.us>
Subject: IAC Item for Consideration
Bob,
Attached is a letter I sent to the Council for review last at our meeting last Tuesday.
I had originally intended to my request to the IAC for review at their meeting, but when that meeting got
cancelled, I sent it to the Council. My thought was the County Grant program would be available soon and we
would need MidCo to act quickly and apply for all the grant dollars we can get.
Patti indicated the County program will likely not be ready until May. As such, the Council did not review my
request and we agreed there was time for the IAC to review my comments and make a recommendation.
Last August, the IAC envisioned a $613k buildout with matching dollars from the County over two years. As
such, the City increased its Capital Improvement Plan to align with the IAC request. However, in December the
Council only approved a request for MidCo to define a 1-year, 250 home project.
The IAC has said we cannot produce a plan without funding commitments. I believe we are at the point where
we can get those commitments, with help from the County and MidCo.
Based on historical records of Scandia Expansion, our average per home build cost has been $4,685 (not
including any of the “free” homes MidCo has provided). Using the IAC’s 50/25/25 funding formula
(established in Sept 2020) we should easily be able to build out 500 homes, leaving only 88 to be built in 2024.
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See table below... It should be noted the $613k figure the IAC requested for 2022 and 2023, was added to the
CIP with an escalation factor of 4% a year, which is why the future amounts are higher than you might have
expected.
Once 2022 and 2023 are figured out, the big question still remains... what homes will MidCo not serve? I think,
with enough funding, MidCo would serve all homes... but Justin has consistently indicated he does not see this
happening. We need to figure out how to serve all our residents! I believe, waiting until next year, to know
which homes MidCo will not serve, will not give us time to accomplish our goal of serving everyone by the end
of 2024.
I feel the County has presented us with a great opportunity and The IAC made a great recommendation in
August!
Now… at a minimum… we need the Council to request an expansion plan from MidCo for 2023, so we can
honor the IAC motion from August and get the needed funding commitments from the County as soon as
possible. I would also like us to ask MidCo for an expansion plan for 2024 so this committee knows what
MidCo will and will not do and can plan accordingly.
The attached document contains a draft resolution asking MidCo for 2023 and 2024 expansion plans.
I would like to see this information sent out to the IAC members soon, so they can review it and come prepared
to discuss it in March.
Steve Kronmiller
Scandia City Councilmember
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