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COUNCIL MINUTES NOVEMBER 24, 2003 APPROVED 145 COMMUNITY DEVELOPMENT DEPARTMENT REPORT, MICHAEL GROCHALA 046 147 A. Consideration of Resolution No. 03-209, Modifying Development District No. 1 and 148 Establishing Tax Increment Financing District No. 1-11, Mary Alice Divine 149 150 Economic Development Assistant Divine summarized the Staff report. She noted they started this 151 project in 1997, when the City bought 11 acres of land for this project, which is still vacant and not 152 generating taxes. She continued the report, noting some years ago the City committed to they 153 YMCA, which is not in the TIF district. She noted this is a public hearing. 154 155 Councilmember Carlson asked if the number of housing units shown on page two is correct. 156 Economic Development Assistant Divine stated the number is correct for the number of units within 157 the TIF district, however there are many units outside the district that will generate tax as soon as they 158 are built. 159 160 Mayor Bergeson opened the public hearing at 7:22 p.m. There was no one present who wished to 161 speak. 162 163 Councilmember Carlson moved to close the public hearing at 7:22 p.m. Councilmember Dahl 164 seconded the motion. 165 166 Motion carried unanimously. 167 Ah168 Economic Development Assistant Divine stated Staff is recommending approval. She indicated Paul W69 Steiner from Springsted is available for questions, having made a presentation at the EDA meeting. 170 171 Mr. Steiner reviewed the graphs he presented to the Council, noting they show the tax revenues 172 projected for the project within the TIF district and also outside of the district. 173 174 Councilmember Reinert moved to adopt Resolution No. 03-209 modifying Development District No. 175 1 and establishing Tax Increment Financing District No. 1-11. 176 177 Councilmember Carlson stated her two concerns are the $26,450,000 amount, and the cost of road 178 improvements to the citizens of Lino Lakes, especially after they turned down the bonds for road 179 improvements. She indicated the roads would be built with TIF, but the residents would still be 180 paying for services, police, etc. She stated the sheer dollar amount of this proposal is a concern, 181 especially considering they do not have a plan in place. She indicated she has always supported the 182 Village, and knows public money will be needed to go into it. She stated she also supports the 183 YMCA. She is concerned that regarding the Village, there is not a specific plan to say what they will 184 get, and she is concerned about the road improvements and the $26 million cost. 185 186 Councilmember Reinert asked what is the right amount. Councilmember Carlson stated she did hear 187 the amount proposed, which was about 115th of this, which makes her wonder why this has to be so 188 high. She indicated she remembers when they had the Target and Kohl's project, and the discussion 189 that they would have to increase the amount of TIF, even though they did not. She is concerned about 190 statements in the document that indicate the City does not intend to bond for $11 million, but they 91 could. lip 92 4