HomeMy WebLinkAbout06/24/1991 Council Minutes (3)250
COUNCIL WORK SESSION JUNE 24, 1991
(10:00 P.M.)
A work session of the Lino Lakes City Council was called to order
by Mayor Bisel, Monday, June 24, 1991 at 10:00 P.M. Council
Members present: Neal, Reinert, Bohjanen. Council Member
Kuether was absent. City Engineer's, Darrell Schneider and Dan
Boxrud; City Planner, John Miller; Administrator, Randy
Schumacher and Clerk- Treasurer Marilyn Anderson, were also
present.
The purpose of the work session was to discuss two (2)
redevelopment proposals for Ross' Corner.
Mr. Miller posted the redevelopment plan prepared more than a
year ago by Jerry Anderson Architects. This plan was approved by
the DRB, the City Council and EDC. Tax increment financing was
approved at about $200,000.00. Anoka County Highway Department
has pledged approximately $67,000.00 to purchase right -of -way.
For several reasons this plan has not been implemented. However,
at no time did the developer let the City know that he was "out
of the picture ".
Mr. Dick Enstad, a representative of SCS in St. Cloud has entered
into a purchase agreement with Mr. Ross and is proposing to
develop either a Holiday or Super America gas and convenience
store at the Ross location. The building would be approximately
1,600 square feet. Mr. Ross will continue to operate his off -
sale liquor store at that site. The purchase agreement is
contingent upon the buyer obtaining TIF financing and soil
corrections because of a buried gas tank. It was noted that
cleaning up a hazardous waste site could be costly. Mr.
Schneider said that there is some funding available for this
process.
The second proposal for Ross' Corner consists of developing the
old Jerry Anderson plan. There are a group of people interest in
obtaining TIF money and they are proposing to develop what was
proposed before. One concern is that Mr. Ross wants $200,000.00
for his property. These developers feel that is an artificially
high price. The assessors estimated market value is $100,000.00.
The developers would like the TIF money "up front" not on a "pay
as you go" basis. The TIF attorney for the City recommends the
"pay as you go" method. The developer feels that it would be
proper for the City to purchase the property with TIF through
EDA.
Tax benefits were discussed. Mr. Miller explained that with the
first proposal, a 1,600 square foot building would be
constructed. This development would generate approximate
$13,000.00 of taxes each year. The second proposal would
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COUNCIL WORK SESSION JUNE 24, 1991
(10:00 P.M.)
generate approximately $53,000.00 in taxes each year.
Council Member Reinert felt the area should be developed with the
best interest of the City in mind. Mayor Bisel felt this corner
was critical and would set the pattern for future development in
the area. Mr. Miller noted that Mr. Enstad was really interested
in developing something at this corner. He has talked to Lee's
of Lino, Carpenter's Automotive and the owner of the northeast
corner.
There was discussion regarding digging up the buried tank at
Ross's Liquor Store. Mr. Schneider felt an agreement could be
worked out on this matter. He noted that the "super fund" is
still available for this type of restoration. Mr. Boxrud said
that he could talk to some people he knows and determine an
approximate cost for removal and restoration. Council Member
Reinert asked that Mr. Boxrud and Mr. Schneider determine what is
involved in this matter and approximate costs as well as how much
the developer expects the City to become involved. Council
Member Reinert referred to the term "cooperation" in the second
proposal and asked that this be defined.
It was the consensus of the Council that Mr. Miller pursue the
second larger proposal for Ross' Corner.
The work session adjourned at 10:30 P.M.
These minutes were considered, corrected and approved at a
regular meeting of the City Council on July 8, 1991.
LJ�l �i2/�?1 1
Mari yn. nderson,
Cler - Treasurer
Harold L. Bise
Mayor
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