By Patrick Tepoorten

Two developments, one old and one new, dominated the Rush City council meeting Monday night. Rush Creek Estates was denied its request to construct homes before the first lift of blacktop is on streets and Rush Landing was granted the completion of its roads.

In denying Rush Creek Estates, the council heard from a handful of local residents regarding one of the builders and problems encountered with some of its previous work. Following a short discussion, the council moved to not allow any building permits for Rush Creek until the first lift is complete and the city is in possession of a completed developerís agreement.

As promised, engineering firm SEH presented the council with an estimate to complete the public roads at Rush Landing.

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The estimate includes repairs to distressed areas of the road and some damaged curbs, and reflects significant increases in the price of blacktop. SEH estimates the job at $83,706.

Less than two years ago the council requested a price from a construction company for the same work, minus a few additional repairs and received a quote of $32,460. Bituminous accounts for the most drastic of the price differences. In 2004, the city was quoted $2,500 for non-wear bituminous and $20,292 for bituminous wear course. In 2006, those prices have risen to $14,400 and $42,500 respectively.

SEH reminded the council that the city has $36,834 in monies intended for the developer, before it went bankrupt, that could now be used for the project. City Attorney Joe Anderson added that a $50,000 line of credit, a safeguard against unforeseen problems created at the time the development was originally approved, still existed.

There is some question as to whether the line of credit is still available in light of the bankruptcy, but city staff has been directed to send a letter to the bank requesting access to those funds.

If the funds are available, the entire cost of the project would be covered by existing funds, provided bids roughly reflect SEHís estimate. If they are not available, the city will need to produce any funds above the $36,834 figure.

Concerns over that possibility caused one Rush Landing resident to inquire about any city plans to assess residents for the repairs.

ìThe city has no plans to assess for this project,î responded Mayor Mike Skalsky. ìIt wouldnít be right. This project is different, unique. We need to bite the bullet.î

Rush Landing resident Wayne King inquired if his street would be included. The council responded that it would not because Kingís street is a private road, not a public street. The road in question serves some town homes in the development and was delineated as a private road by the developer.

ìThe city has no control over non-city property,î concluded Anderson.

In other city news:

ï Anderson informed the council that his office has received notice of a lawsuit filed by multiple business owners along 4th Street against Rush City Bakery. The lawsuit is in regards to plans by the bakery to construct an addition behind its current facility. Business owners have stated at previous meetings that the addition would eliminate access to the rear of their buildings.

Anderson advised the city that, until it receives a court order instructing it not to issue building permits for the addition it must abide by its ordinances.

ï The city will file for an unlawful detainer against a lease-holder at the Rush City airport. According to Anderson, the lease-holder, D. Carlson, has not paid on the lease and is using less than 20 percent of the hangar for aviation related storage. Ultimately, an unlawful detainer would allow the city to have the property removed and claim the structure after six months.

ï The city reviewed its basic financial statements from 2005. An independent audit concluded, ìThe city of Rush City overall is in a very good position financially. As the enclosed statements and schedules illustrate, effective budgeting has been employed to ensure revenues are sufficient for current expenditures and the accumulation of resources for future use.î

ï A proposed land purchase, a 1000 foot strip adjacent to Rush Creek Estates, was discussed. The city hopes to use the land for hangar expansion at the airport, but plans show holding ponds encroaching in that area. The plans, which were approved as part of the plat, will be reviewed to see if the ponds can be moved.

Anderson told the council that if they approved the plat with the ponds on it they may be ìstuckî with them.

Interim City Administrator Amy Mell responded that the city was hoping something could be worked out with the developer since the developerís agreement had not yet been finalized. She added that further research by the city was in order as well. She recalled that former City Administrator Daniel Hoffman may have thought the ponds would help with airport drainage.

ï Mell announced the latest figures from the state demographerís office. According to that office Rush City currently has a population of 3,060 and households numbering 788.

ï The city approved the hire of Lisa Ripp part-time to do some typing and data entry.

ï A wine and beer license for Roxyís Coffee and Bistro was approved.