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and letting Ferrellgas keep possession of the property through April 2007. The agreement did <br /> increase in price to reflect the increase valuation by the County Assessor. The Council has <br /> received a proposal from Belair and Midwest Asphalt that may incorporate Ferrellgas, which <br /> may be the reason why staff has not heard from them regarding this offer. <br /> Kaufhold inquired if there is any residual contamination from the Co-op that used to be near the <br /> site. Black replied that a Phase I has not yet been done on the property; when it is complete the <br /> results will show the City if there is any residual contamination. <br /> Dump <br /> Black reported that Barr Engineering is designing a landfill gas collection system as part of an <br /> amendment to the Response Action Plan. It should be completed at the end of the month and <br /> will be forwarded on to the PCA for comments. Nelson inquired if the large pile of dirt on the <br /> east side is from the west side excavation or the east side. Black replied it is from the west side. <br /> The pile is peat and muck which is not suitable for building materials. Kaufhold inquired if it <br /> could be used for any New Brighton gardens. Black replied that in a thin layer it may be suitable <br /> for gardening. <br /> Railroad <br /> Fernelius gave a brief history of the wye project. He reported that staff has been in contact with <br /> USF Dugan for the last two years regarding the City's wish to purchase a portion of the site to <br /> relocate the wye. The wye is used to redirect trains to the east, which blocks several <br /> intersections through out the City twice a day. The wye would require two acres of the <br /> approximate eight acres of the site. At the same time there has been a dilemma of where to <br /> provide a functional team track for the abandonment of the Butcher's Spur. It was decided that <br /> the team track could be incorporated into the location of the wye. <br /> The USF Dugan site is for sale and there is a potential buyer for the property. Staff has shared <br /> with the potential buyer and USF Dugan the desire to purchase the two acres that is required to <br /> relocate the wye. Dugan has rejected the offer and there has been no word from the potential <br /> buyer,who has started their due diligence. Before condemnation could be considered there will <br /> need to be agreements between the two railroad companies. Sculthorp inquired if the City will <br /> be required to fund the team track. Fernelius replied that a $1 million grant from the state was <br /> received to help with the reconstruction of the wye and the City will have to pay some money to <br /> the railroad for the land at the Northwest Quadrant. Black added that there will be some <br /> additional costs for engineering, the reconstruction of the spur and the construction of the storm <br /> water retention pond on the USF Dugan site. Larson added that if joint venture between Belair <br /> and Midwest Asphalt goes through, then the railroad company is willing to forgo the payment for <br /> the land and will abandon the spur. <br /> Harmon inquired if the trucking company is aware of the City's interest in a portion of the <br /> property. Fernelius replied that the potential buyer is aware of the City's interest, but has taken <br /> the stance that they will need the entire site for their operation. Delaune asked whether the buyer <br /> understands how serious the City is in purchasing the required portion for the wye relocation. <br /> Fernelius replied that staff has had several telephone conversations and a meeting with potential <br /> purchaser and they understand the City's position. <br /> Page 2 of 5 <br />