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$3.1 million in city improvements for new hospital area get city OK

Sewer and street improvements for the proposed Perham Memorial Hospital and Home and nearby Clearwater Estates residential plat will go to the drawing board.

The improvements, estimated at as much as $3.18 million, will be prepared for bid by Ulteig Engineering.

Bids could be awarded by May, with construction beginning in June. The timeline calls for completion of construction in October 2009.

The preliminary financing plan calls for the city to pay a $1.1 million share of the project, with $2.07 million being assessed to the lots, as yet undeveloped, and to the hospital.

Based on present estimates, the 38 plated residential lots would be assessed $19,874 each for street, sewer and water.

The hospital site is on 60 acres, adjacent to the proposed Clearwater Estates development.

PMHH would be assessed a total of $339,143.

Figured into the current project is an optional $527,000 extension of Coney Street, to the north. This would connect to County 34, giving a northern access to the hospital.

Under this option, the city would pay $142,000; the hospital $167,700; and Offut6t $199,000. Officials from Offutt have expressed concern about their share, according to City Manager Kelcey Klemm, as the Offut owned land is presently in agricultural use.

In addition to providing infrastructure to the hospital and the residential area, the city will establish two green space, park areas within the Clearwater development.