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City agrees to limited payment and contract changes to restart 500 E. Erie St. project
Summary
The council voted to authorize payment of up to $29,731 and directed staff to pursue contract edits including removal of a successor clause and adding a not-to-exceed cap of $153,817 to allow 500 E Erie St., LLC to continue work toward a May 31 deadline.
The Missouri Valley City Council on Feb. 24 agreed to resume support for the 500 E. Erie St. project by authorizing payment of up to $29,731 on the most recent invoice and directing staff to pursue contract revisions. Council action also included direction to remove a successor clause from the contract and to add a not-to-exceed cap of $153,817 for city obligations tied to the project. The motion to proceed was made by Councilmember Struble, seconded by Councilmember Keizer, and passed by roll call vote.
Council discussion noted that the project’s principal (identified in meeting records as Kester) had not signed a personal guaranty and that Kester sought a guarantee of access to funds needed to complete the work. The council also recorded a target date in the discussion: staff would proceed with efforts to meet a May 31 project deadline. The motion authorized payment only for the recent invoice up to $29,731 and set the contract modification parameters; it did not authorize payment beyond those limits without further council action.
