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1 <br />1 <br />COUNCIL WORK SESSION <br />he has been through the entire program with all the affected <br />residents in that area. Mrs. Nelson noted that if 2nd <br />Street is extended there will be a fair number of residents <br />subdividing their lots. The developer has already provided <br />purchase agreements to several residents. <br />Mayor Benson suggested that the City hold a meeting of <br />affected property owners and explain to them the problems <br />facing this City. He suggested asking them if they feel <br />this City should grow and explain that this information is <br />needed to put together a package and the City needs their <br />input to make a decision. Mr. Schumacher noted that he, Mr. <br />Stahlberg and Mr. Miller have already met with nine of the <br />affected property owners. These owners said they were <br />willing to accept their fair assessments but are not willing <br />to put cash up front. <br />Mr. MacGillivray was concerned for the security of the bonds <br />that will be issued. He did not want to get into a position <br />where the City would be required to levy a portion of the <br />bond payment. He also explained that the City could <br />establish a housing Tax Increment Financing District. <br />Mrs. Nelson felt there should be incentives to present home <br />owners so that they will be encouraged to hook to the new <br />facilities and possible pass an ordinance that would limit <br />the permits for repairing or replacing current wells and <br />septics. <br />Mr. Bisel said he felt the most important issue is getting <br />the utilities to the commercial and industrial property near <br />the freeway. <br />Mr. Reinert noted that the utility extensions will create <br />the development of new homes which in turn will create a <br />greater burden on the school districts. He felt that this <br />could cause the need for additional schools and an increase <br />in the school district mill rates. <br />Mr. Schumacher explained that the Economic Development <br />Committee feels if this City does not provide the utilities, <br />the quality of development will not be very good. <br />Mr. MacGillivray will get figures from Mr. Stahlberg and <br />provide an overall picture for the Council. Mayor Benson <br />felt some of the project will be a gamble. He would like to <br />look at some industrial and shopping development. Mr. Bisel <br />noted that some people do not look at what is good for the <br />PAGE 4 <br />