Rochester City Council Votes on Miracle Mile Funding Request
Rochester, MN (KROC AM News) - The Rochester City Council has approved additional public assistance for the Miracle Mile housing project.
Developer Javon Bea has told the city the project hit a major and expensive snag when the contractor discovered a section of the bedrock was not suitable for footings. The cost to correct the problem was put at $1.3-million and Bea asked the city to use Tax Increment Financing (TIF) to cover half the cost.
The City Council discussed the issue Wednesday night and approved the $650,000 request.
Earlier this year, the council approved TIF funds of $2.9-million for the project. Before its Wednesday vote, the council was told there was a risk the project could come to “a major standstill” or “possibly be abandoned.”
The latest contribution raises the city’s share to $3.5-million, or just under 10-percent of the overall project cost. The money will be repaid through property taxes.
The extra work has pushed the expected completion date back two months to Nov 30 next year.