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North St. Paul council votes to halt multicultural outreach center study and decline grants
Summary
Facing a more-than-$3 million gap between remedial costs and awarded funding, the council voted to terminate the feasibility study by EAPC and decline the state and federal grants, and authorized staff to pursue possible reallocation to a single city-only project.
The North St. Paul City Council voted to discontinue a feasibility study for a proposed community multicultural outreach center, terminate the contract with EAPC and decline the associated state and federal grant awards after staff said an interim report estimated remedial costs would exceed awarded grant funding by more than $3 million.
City staff read the resolution describing the interim report’s estimate that remediation costs would exceed federal and state funding by in excess of $3 million and recommended terminating the contract and declining the grants. The resolution directs the city manager to notify relevant agencies and explore reallocation of the funds to a single alternative city project, if possible.
Council members asked about next steps and the reallocation process. Staff said city contacts in the House Capital Investment Committee indicated that reallocation is possible for a single, city-only project and that the grants in question are cash awards (which staff described as easier to move than bonding grants). Staff cautioned any reallocation would require committee approval and is not guaranteed.
Council member Woods moved to discontinue the study and decline the grants; Council member McKenzie seconded. The council approved the resolution by voice vote (transcript does not record a numerical tally).
Speakers emphasized the financial implications: some members said pursuing the project would place a multi-million-dollar obligation on current and future city budgets. Staff noted operational next steps if the building were returned to other uses, including relocation of IT equipment, generator relocation, and coordinating leases (for example with the library) while staff explores reallocation options.
The resolution takes effect immediately upon adoption as read at the meeting. Staff will follow up with legislative contacts and report back to council on reallocation possibilities and any required public engagement if council pursues a reallocation.
