Above: Peavey Plaza shortly after it opened, in 1975 (M. Friedberg & Associates) For more photos of the plaza from across the years, go here. For video from the plaza Wednesday, including of the news conference, go here.

Story updated at 6:09 p.m.

Peavey Plaza was saved from the wrecking ball two years ago, but age continues to take its toll on the downtown Minneapolis park.

Failing pumps and drains have shut down its cylindrical fountains and transformed the plaza's centerpiece attraction, a large pond, into a permanently dry field of tiles. Once a popular gathering space for its below-ground oasis of water and greenery, now it's mainly a place for downtown workers to sit on the steps and eat lunch.

But the ball began rolling — slowly — on Wednesday toward eventual reconstruction of the property. The city is seeking a consultant to conduct what Council Member Lisa Goodman called "yet another study" of the conditions in the plaza, which must be kept largely intact following a legal battle with preservationists. Even under an ideal timeline, however, construction would not be complete until 2018.

The City Council initially sought to demolish the existing 1974 plaza and replace it with a new, more modern space that was also handicap-accessible. Preservationists sued and fought successfully to have the property listed on the National Register of Historic Places, resulting in a settlement with the city in 2013 that ditched the demolition plans.

Goodman noted that the reconstruction "would have been done by now" were it not for the legal challenge.

"I think that there are a lot of people in the community that think the current situation is totally unacceptable and we really need a new vision," Goodman said at a news conference Wednesday in the plaza. "A vision that makes this plaza more green, a vision that makes it more accessible, and brings it back to the days of 1974, when people really saw this plaza as our town square."

Above: Peavey Plaza on Wednesday morning.

In addition to its deterioration, the plaza is not accessible for people in wheelchairs — a key goal of the reconstruction.

The so-called "Historic Structures Report," expected by the end of the year, will outline possible methods of rehabilitating aspects of the plaza, as well as document the current condition of the property.

"I've described it as kind of an unimpeachable set of facts about what the physical conditions are that need to be improved here," said Downtown Council President Steve Cramer. "And how those can be addressed within the context of the historic designation that has been put in place."

Doug Gasek, executive director of the Preservation Alliance of Minnesota, a plaintiff in the lawsuit, said the report is "a great next step...so we can hopefully finally see a fully rehabilitated Peavey Plaza in the near future."

An exhibit attached to the 2013 settlement envisioned that basic repairs could cost about $2.3 million, but a spokesman said at the time the budget would be "far in excess" of that after the water features were included. Officials said Wednesday that the project budget is unknown. The city still has $2 million in state bonding funds to help pay for the project, secured from the Legislature in 2010.

The Downtown Council and the Downtown Improvement District are committed to programming the plaza while it awaits reconstruction.

Cramer highlighted a number of activities happening in the plaza this summer, including live music every weekday in August, yoga on Tuesdays and Thursdays in July and a fitness course taught by the YWCA. A full calendar is available at downtownmpls.com/peavey.

The space also now features items designed to encourage activity, such as pianos, a bean bag toss and vinyl decals for practicing dance steps.

Goodman said they called the press conference in part because of how the $50 million reconstruction of Nicollet Mall has reignited interest in the plaza.

"And a lot of people were wondering what was happening with Peavey Plaza," Goodman said. "I get that question three times a week from constituents: What's happening with Peavey Plaza?"