Detroit Lakes Council approves TIF for Lincoln School redevelopment, funds for Washington Ballpark and multiple construction contracts

Detroit Lakes City Council voted to approve a set of development, procurement and funding actions at its meeting, including a tax-increment financing (TIF) development agreement for the former Lincoln School site and awards for parks and facility projects.

On the redevelopment item, Chairwoman Sprague summarized that the developer requested $956,966 in TIF assistance structured as a pay-as-you-go note to close a financing gap on an approximately $7.5 million redevelopment project; staff presented a financial analysis and a but-for test required for TIF eligibility. The council adopted a resolution approving the development agreement for TIF 1-1 following a committee recommendation.

On parks and capital projects, the council approved an additional $266,027 in permanent improvement funds for the Washington Ballpark project to cover items such as camera/security infrastructure, previously incurred predesign costs (about $109,000) and contingency. The council also accepted bids for Washington Ballpark Phase 2 and awarded the contract to Hauge (low bidder) and awarded the artificial turf purchase, as recommended by finance committee.

Other approvals included awarding bid package #1 for the pavilion project (demolition, site mobilization and a roofing down payment), accepting bids and awarding the library renovation contract (including accessibility upgrades and a new elevator) at a total project cost just over $1.4 million with a $750,000 state grant noted, and approving an easement encroachment agreement with Bergens Greenhouses for a decorative fence that encroaches roughly six feet into the public right-of-way.

Routine municipal items passed as well: a one-year park-use lease with Bad Medicine LLC for Orton Stone Gardens (nominal fee), a two-year facility-use agreement with the Detroit Lakes Community and Cultural Center for a proof-of-concept sailing school (no remodel authorization), acceptance of quotes for a two-year HVAC service contract contingent on contractor licensing, and approvals for several special-event applications including July 4 fireworks and Crazy Days.

What’s next: staff will manage contract execution and follow-up reporting per standard procurement practice; the finance committee will continue to monitor the Washington Ballpark budget and any required grant-match work for the Detroit Mountain Recreation Area item, which was deferred pending further review.

Quoted from the meeting: “The developer is requesting $956,966 in TIF assistance,” Hope said during the presentation on the Lincoln School redevelopment, and city administrator Kelsey Clem summarized that fundraising for Washington Ballpark had brought nearly $3 million to date but that the additional $266,027 would get the project to the finish line.

The council recorded these approvals by voice vote and moved on to remaining agenda items.