02/27/2006 Council Minutes (2) - Laserfiche WebLink

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COUNCIL MINUTES FEBRUARY 27, 2006 APPROVED • Considering that savings, the total City contribution, in today's dollars, remains approximately the same 30 cents on the dollar that was originally anticipated in 1999. • • Springsted updated its analysis of the capacity of the Tax Abatement District,there is capacity available to provide the additional $850,000 to meet the current gap in funding. Providing an additional tax abatement to cover the costs associated with the City's partnership with the YMCA is considered a business subsidy under the Minnesota Business Subsidy Act. After closing the public hearing, the City Council will consider a resolution that approves the use of $850,000 in tax abatement for the YMCA facility and a business subsidy to the YMCA. The Economic Development Advisory Committee took action supporting additional tax abatement for the YMCA project for the inclusion of a leisure pool and improved architectural design of the facility, but recommended that the abatement be contingent upon increased public access through, but not limited to, resident user fees for a negotiated period of time. Of the nine EDAC members, one was absent and one abstained. The final agreements and discussions regarding proposed programming opportunities for Lino Lakes residents are not complete. Therefore, staff is recommending that the public hearing be continued to the March 13, 2006 City Council meeting. Mayor Bergeson opened the public hearing at 6:45 p.m. Councilmember Reinert moved to continue the public hearing to the March 13, 2006, City Council meeting. Councilmember Carlson seconded the motion. Motion carried unanimously. Consider Resolution Granting Approval of Issuance of Tax Exempt Revenue Notes for the benefit of YMCA of Great Saint Paul — Finance Director Rolek advised the City has agreed to consider assisting the YMCA with financing its share of debt for the Chain of Lakes YMCA in Lino Lakes. Springsted, Inc., the City's financial consultant, has completed an analysis and recommends providing Tax Exempt Revenue Notes in order to provide tax exempt financing to the YMCA. This is a financial savings to the YMCA and provides additional protections to the city for its investment in the construction of the facility. Because the public hearing regarding the tax abatement and business subsidy agreement with the YMCA is being continued until March 13, 2006, staff is recommending that this public hearing also be continued to that date. Mayor Bergeson opened the public hearing at 6:50 p.m. Councilmember O'Donnell moved to continue the public hearing to the March 13, 2006, City Council meeting. Councilmember Reinert seconded the motion. Motion carried unanimously. ADMINISTRATION DEPARTMENT REPORT, DAN TESCH There was no Administration Department report. 3