City Manager Greg told the Two Rivers City Council on July 7 that the city is negotiating to buy a parking lot owned by Wineknot LLC at the southwest corner of Adams and Eighteenth Street for $30,000 and asked the council to amend the 2025 budget to provide funding.

Greg said the lot is largely paved with about 22 spaces and is directly across the street from the community house. He proposed taking $15,000 from parks and recreation capital carryover funds and $15,000 from borrowed funds currently held in Tax Incremental District (TID) No. 12.

Council members raised multiple concerns: the use of TID borrowed funds versus parks capital, the possible effect on planned parks projects, the cost and cap on the Phase I environmental site assessment, and the legal and practical implications for an existing cooperative agreement between the city and Wineknot LLC that currently gives the city rights to use 10 spaces in that lot.

Greg said he had solicited a Phase I environmental assessment and the single quote received so far came in at $2,000 — higher than the $1,500 cap discussed earlier — and that the purchase contract allows the seller to pay up to $1,500 which would be deducted from the purchase price; the city would pay any amount above that. "That did come in at $2,000," Greg said, and he told council the purchase price would be reduced by the seller’s portion for the Phase I if applicable.

Council members asked whether the cooperative agreement would remain in effect after the city acquired the lot. Greg and the city attorney, Sean (last name not specified), said the cooperative agreement remains in force until either party terminates it under its notice provisions, though council asked staff to return with clearer language or an amendment if council wants different terms. Staff clarified the agreement currently allows the city to use up to 10 spaces in the lot and provides reciprocal public‑parking designation in a city lot across the street.

Some council members said they preferred the entire $30,000 be taken from parks capital; others said TID funds are available and would reduce the immediate impact on parks projects. One member said they would vote no unless more time was allowed to evaluate environmental costs. Greg said he would attempt to obtain a second Phase I quote quickly and that staff would provide additional documentation to council.

The council discussion produced a motion to authorize the city manager and city clerk to execute a purchase agreement with corrected parcel numbering and clarified title‑insurance language, but the transcript does not include a final recorded vote on that authorization. The purchase agreement circulated to council calls for closing within days of receipt of a title commitment and draft closing documents and makes title insurance and closing fees the seller’s responsibility as revised in the document.