09/10/2001 Council Minutes - Laserfiche WebLink

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• • • COUNCIL MINUTES SEPTEMBER 10, 2001 five (5) years for a total of $519,000, but not $624,000, which would mean another year of abatement. She stated the City should not waive a fee that was not waived for someone else. She stated she will support an abatement amount of $519,000 but does not think the developer will compromise. The process has made the community angry. The County Engineer indicated 77th would stay as is, but that was not acceptable to Ryan and the City conceded. She asked what the City should do now and if the City would ever construct a 16' wide median in another part of the City? She stated she knows the City would not. She stated she is unsure about what the City will be getting for their money. The Forest Lake School District and the County will be paid because they chose not to participate in the abatement. The City will also have to pay a subsidy for the south section, which is very important because of the YMCA and senior housing. Council Member Carlson referred to the business policy and quoted a statement from that policy. She stated she believes there will be spin-off business from the project. She noted the votes from EDAC regarding this issue. She stated many of the Council Members wanted a five -(5) year term or less, similar to what the City is doing with TIF. She stated she can support a five -(5) year abatement but will vote no to any additional fees being waived. The abatement period is r- , ly six (6) years when you factor in the waived fees. Council Member Dahl stated the Finance Director indicated t amount and could go up as high as $113,000. Finance Dir c surface water management fund is unknown at this tim the point is that the fee will be waived. re not a definite ed the exact fee for the figure is approximately, but Council Member Dahl stated she spoke to c irec°:r Rolek and Community Development Director Grochala and indicated she wa • i re for abatement, although she previously stated she would support $519,000 with a=re + o waived fees. She stated Target can do this without the City, as can Kohl' ated e does not know about Ryan. She stated this is very tough decision and nobod en',_htly. She stated she wants the condition that the problems on 77th Street are reso ed. • is the only one that can change that. Ryan should make it so with the neighbors on 77th Council Member Carlson thanked everyone who called her noting she did not call everyone back. She received 39 calls showing support for her opinion and 17 who did not. She stated she wants the project and believes the community wants it. She stated another concern is where will the money go? Finance Director Rolek stated the subsidy is for Target and Kohl's. Council Member Carlson read an excerpt from the Springsted report relating to options regarding tax abatement and an abatement levy. Finance Director Rolek advised there are different methods of abatement. This method is rebating their tax. There are a number of ways to structure financing options. He noted no taxes will go back to them if they do not pay their taxes. Council Member Carlson moved to amend the motion to include that instead of paying $624,000, the City pay $519,300 — the abatement total without the waiver of fees. 15