09-13-89 Council Minutes - Laserfiche WebLink

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MINUTES CITY COUNCIL 5eptember 13, 1989 could not support this expense. Collova asked if the instrument being discussed was a special assessment on taxes and asked how the bond would be paid. Ippel replied that the bonds would be paid through a City-wide ad vorum tax. Fahey pointed out that the end result is the same as if a referendum were held and approved. The procedure is different, but the end result is the same. Fahey asked about the situation if bonds were sold over the actual amount of the cost of the fire station. Ippel replied that the bonds would be issued on reasonable estimates of the cost. If there was a surplus, the surplus funds would be transferred to the debt service fund and used for debt service on the instrument. Fahey asked if the surplus could be used to fund a City Center expansion. Ippel replied that the money has to be used in connection with the project. Ippel reported that surplus funds can be used to beef up the project with better equipment, etc. If the project is a combination Fire Station/City Center, then surplus funds can be used towards the addition of City Center at that site. Scalze asked if it is difficult to set up an EDA. Ippel replied that she believes a public hearing is required with two published notices. The HRA or EDA would require 3 to 5 commissioners, and these commissioners can be City Council members. Ippel stated that to the extent that one of the two entities would be created, she would recommend the EDA since it incorporates the powers of an HRA plus some additional powers. An EDA would give the City more flexibility in preparation of economic development. Council discussed the issue further, and it was suggested that Ippel put together some information on EDA's and HRA's for the Council's review. Council felt a workshop should then be held with Ippel and Farnham to discuss the matter. Page 21