09-09-2019 Council Work Session Minutes

Home Search

CITY COUNCIL WORK SESSION APPROVED 91 Council Member Stoesz asked about a data center and sharing of heating and cooling; 92 he's experienced some negatives with that model. Staff hasn't specifically looked at the 93 concept but there is certainly discussion about water/cooling needs for technology 94 centers. 95 96 Mayor Reinert asked for more information on Elmcrest and sharing costs with other 97 cities. Director Grochala remarked that having an appropriate agreement in place would 98 prevent a project coming forward and the cities getting bogged down for too long 99 working out their details. Mr. Grochala added that part of moving forward will be 100 looking at additional interconnect (utility). lol 102 Staff would like to continue working on efforts in this area. Mayor Reinert said he 103 supports continuing the efforts. ]04 105 4. Tax Exempt Financing Guidelines — Finance Director Cotton noted that back in 106 2005 the City adopted these guidelines (associated with the YMCA development in the 107 city). In 2018 the City granted host approval on a couple of developments. At that time 108 the Council expressed the desire to update the policy as needed. I09 110 Ms. Cotton noted that the City's bond counsel, Julie Eddington of Kennedy and Graven, ill reviewed current policy and has made recommendations as noted in the written staff 112 report. She specifically pointed out the one percent administrative fee and how that has 113 translated into funds to the City in the past. Staff is not recommending any change in that 114 fee. She also noted that Lyngblomsten has expressed an interest in this type of financing 115 so staff would prefer to be prepared if an application were to come forward. 116 117 Council Member Manthey suggested that if this is being considered to bring funds to the 118 City, shouldn't the percentage be higher with the understanding that it could be adjusted 119 downward. Ms. Cotton explained that the one percent is a figure consistent with other 120 communities in the area so raising it could result in no requests. 121 122 Council Member Stoesz asked if the charges could be added to the City Fee Schedule so 123 the Council will see it each year. Director Cotton concurred. 124 125 The council concurred that they would consider the new guidelines at the next council 126 meeting. 127 128 5. 2020 Budget - 129 13o Finance Director Cotton noted her staff report and updated gap analysis. She said the 131 only change from the council's last view is the budget cuts proposed by staff and the use 132 of $100,000 from the Closed Bond Fund. She noted that funds have been added back 133 into the Pavement Management fund. She stated that the changes would bring the levy 134 increase to 8.3 percent with a tax rate of 41.31 (a reduction from 2019). That would still 135 be a significant year over year change in the City levy. It was suggested that the use of