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million, assuming that it could be replenished. At this point she is not comfortable liquidating <br /> any cash reserves in case the City needs to tap into them. Furthermore, she stated that the City <br /> has the benefit of time because the project is ahead of schedule right now. <br /> Director Rancatore underscored the uncertainty that the City is facing in its fund balances over <br /> the next 6 months and reviewed the financial breakdown of the project in further detail. <br /> Councilmember Shachner acknowledged the many unknowns such as the number of residents <br /> who are unemployed and the impact of the drop in sales tax. He asked the administration to <br /> explain the use of additional liquid assets. He remarked that the project creates additional <br /> capacity and long-term benefits that may outweigh the short term loss. <br /> Mayor George responded that Lakewood has one of the highest rates of unemployment <br /> applications and the City's income tax will be greatly impacted. She stated that pausing the <br /> project is the most responsible thing, given the many unknowns. She stated that the City may <br /> need to tap into its reserves to fill gaps and pay salaries. She cited an obligation to the City <br /> workforce and taxpayers. <br /> Councilmember Rader echoed the sentiments of Mayor George and stated that a pause is <br /> understandable considering that the total remaining project cost exceeds the $3.5 million in the <br /> Land Acquisition Fund. <br /> In response to a councilmember question regarding when the City will have more certainty on its <br /> financials, Mayor George stated that it will have more information in August or September. She <br /> stated that the City still plans to move forward with the abatement in September using CDBG <br /> dollars. <br /> Councilmember Bullock expressed a desire for the City to have a broad financial strategy <br /> regarding COVID-19 in order to understand how this fits in. He wondered if delay could increase <br /> costs and stated that delay makes sense if the project is ultimately to be cancelled. He suggested <br /> moving forward this year,pointing out that the City still has plenty of time to determine how to <br /> raise the $4 million needed in 2021. He advised against using one-time money to fill gaps and <br /> pay salaries. <br /> Mayor George responded that the City does have a broad policy which includes a freeze on all <br /> hiring,training, and travel and daily re-evaluation. <br /> In response to a question by Councilmember Kepple, the Mayor explained that the waste water <br /> treatment portion of the project doesn't appear in the City's EPA plan for 7-10 years. <br /> Mr. Baker, Chair of the Planning Commission made suggestions based on his experience <br /> working on staff at the Metroparks. He suggested getting Infinity under contract and to pursue <br /> the design work now and get a guaranteed maximum price (GMP). If the City finds the GMP to <br /> be too high it could take the design and go out to bid using the design. He noted that such a <br /> strategy could well-position the City for stimulus dollars. <br /> In response to a question from a councilmember, Mayor George stated that she was considering <br /> financing the project in 2021 using debt. <br /> 2 <br />