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Council weighs 55-space downtown parking lot and lease; estimated $90,740 construction cost
Summary
Council reviewed a proposed 55-space parking lot near downtown with a conceptual construction estimate of $90,740 and debated lease length, phased construction, insurance needs and whether bond funds could cover the project.
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City engineering staff presented a conceptual plan for a 55-space downtown parking lot on the Crandick property, estimating a construction and contingency cost of about $90,740 including three lights and ADA parking. The council discussed phased construction, a lower-cost gravel option, insurance needs tied to railroad adjacency, and the potential to use leftover bond funds if county financial issues are resolved.
"So looking at that with 55 spaces, our conceptual estimate is ... $90,740," the city engineer said while describing the layout and required green space and lighting. Councilors asked whether chip-seal, gravel or phased construction might reduce near-term costs; staff provided a gravel-only figure of about $13,500 for an initial build-out that would later be sealed.
A nearby business owner offered to donate grading if needed. Staff also noted the lease term initially discussed was five years, with discussion of seeking a longer term when significant improvements are made so lessee improvements can be amortized. Council discussed requirements for railroad protective liability coverage; staff said ICAP had noted carriers exist that can provide that railroad protection but the premium could be in the low thousands and would need to be procured or assigned to a contractor.
Budget timing and county reimbursements were central to the discussion. Councilors asked staff to return with answers to questions for Crandick and to consult the bonding attorney about repurposing leftover Division Street bond money. No final construction authorization or funding allocation was approved; council agreed to place the item on the budget work session calendar for January and to follow up with the landowner and attorney.
Outcome: Council directed staff to gather additional information for budget-season consideration and to consult the bonding attorney about funding and lease-timing options.

