11-12-2025 Workshop Minutes - Laserfiche WebLink

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MINUTES OF THE WORKSHOP MEETING CITY COUNCIL LITTLE CANADA, MINNESOTA NOVEMBER 12, 2025 Pursuant to due call and notice thereof a Workshop meeting of the City Council of Little Canada, Minnesota was convened on the 12th day of November, 2025 in the Conference Room at the City Center located at 515 Little Canada Road in said City. Mayor Tom Fischer called the meeting to order at 5:30 p.m. and the following members of the City Council were present at roll call: ROLL CALL: In attendance were, Mayor Fischer and City Council Members Miller, Gutierrez, Kwapick and Malone. Absent: none. ALSO PRESENT: City Administrator Bryce Shearen, Finance Director Sam Magureanu, Community Development Director Ben Harrington, Assistant City Administrator Laura Linehan and City Clerk/HR Manager Heidi Heller. UPDATE ON LUPE DEVELOPMENT TAX INCREMENT FINANCING AND CONDUIT DEBT FINANCING REQUESTS The Community Development Director reviewed the proposal by Lupe Development for a 106-unit affordable senior housing development, Lupe's previous financing assistance requests and Council actions that have already occurred. He explained the updated project timeline and Lupe's increased financing assistance request, since they were not awarded the full amount of the grant funds that were applied for. He reviewed the three options from the city to provide financing assistance: provide up to $400,000 Tax Increment Financing (TIF), provide up to $200,000 TIF or in -lieu of TIF, provide Local Affordable Housing Aid (LAHA) funding up to $200,000. Fischer stated that the Council had previously agreed to likely provide up to $200,000 in assistance to Lupe Development for this project, but noted that the Council also wants to create a homeowner assistance program for manufactured housing and single-family housing. He asked if the Council is willing to give up some of the seed money for that program for this senior housing project. Kwapick stated that it is easier to use the LAHA funds, but feels that developments are not the intended use for this funding. The Community Development Director explained that Little Canada is expected to get about $180,000 per year in LAHA funds, but the agreement to use those funds should make it clear that this is a unique situation, and the city is not necessarily willing to use LAHA funds for other developments since there is a plan for them in the future. Fischer stated that he understands Kwapick's opinion, but he thinks that using the LAHA funds makes more sense than TIF. Miller stated that he wants to start the housing assistance program soon, even if it is a smaller amount to begin with. There was Council consensus to offer $200,000 to Lupe Development for the senior housing project at 99 County Road B East and to use LAHA funds. There was Council consensus to no longer offer TIF or tax abatement to Lupe Development.