Farmington officials on Monday authorized up to $50,000 to fund several expenditures related to purchasing the Maxfield Training Center.
During a 6 p.m. study session, Economic and Community Development Director Kevin Christiansen said the city is now 30 days into a 90-day “due diligence” process before finalizing the sale.
The $50,000 will cover soil studies, environmental work, surveying the property, and legal work around financing the sale. Three, 40-foot deep soil borings on the ridge at the back of the Training Center property “will tell us whether erosion will continue to be a problem,” Mayor Steven Schneemann said.
But the biggest expenses are yet to come. City manager David Murphy shared estimates of around $203,000 for demolition of the building and $237,000 for asbestos abatement. The city will take bids on those projects after the sale is finalized.
Murphy also noted that the city will likely be reimbursed for demolition and abatement costs through “brownfield” tax increment financing (TIF). In a TIF district, the city can capture the increase in taxes once a project is built on the property, to cover abatement costs.