09-13-1993 Council Minutes2 - Laserfiche WebLink

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MINUTES OF THE REGULAR ORONO COUNCIL MEETLNG HELD AUGUST 23, 1993 SEPTIC UPGRADES - CONT. It was moved by Callahan, seconded by Jabbour, to place a moratorium on th*; enforcement of septic regulations until November 8, 1993. Ayes 5, nays 0. Hurr asked what the answer would be to a mortgage company or purchaser of property until November 8. Gaffron replied that if the system does not meet the City code it is considered non-conforming and.it should be upgraded. The question will be when does this have to be done. It will not be required this year since the moratorium is in effect so it may be one or two years. MAYOR/COUNCIL REPORT A) Mayor Callahan stated there are two major contracts on the new building with Kraus- Anderson and Boarman and Associates still in dispute. The architect has about $29,000 more than the City felt he was entitled to. Kraus-Anderson billed the City approximately $20,940 more than their contract. He addeu that suff has analyzed these figures. Jabbour has worked with these two comracts and negotiated with the architect. Boarman has agreed to refund $14,000 and made some concessions such as insurance premiums that were not paid. Kraus- Anderson has also agreed to reduce their amount by $20,940. This reduction of approximately $34,000 brings tlie City as close as it can be to the budgeted amount. Jabbour added the negotiations were approached with a "win-win" attitude and the City did not have all the money coming to it accoiding to the contract. He also thanked Bruce Engelsma from Kraus-Anderson who is also an Orono citizen. Jabbour asked that the Mayor send a thank you to Kraus- Anderson and Boarman and make them feel welcome at City Hall. Mayor Callahan also reported on the Melamed contract. The areas of disagreement are: 1) Legal Deed. What kind of legal deed would the City provide? Full Warranty or Limited Warranty? Quit Claim Deed? The City Attorney has advised that the City should proceed with a Limited Warranty Deed and Mayor Callahan agreed. This would not be a hardship for the buyer since he would still want to obtain title insurance. 2.)Special assessments. Melamed proposed that the City would be responsible for any special assessments on the property. Mayor Callahan was unaware of any but ordered a Special Assessment Search to clarify this. If there were any. Callahan would suggest that the City pay for these assessments until the time of the sale and then it would become the responsibility of the buyer. k