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61EIRO E6111 <br /> • .. <br /> startribune.cam <br /> Published Sunday,June 10,2001 <br /> Legislative plan would have major impact on <br /> subsidized projects <br /> Mike Kaszuba and Dan Wascoe Jr. / Star Tribune <br /> The remaking of the Mermaid Supper Club, a landmark in Mounds View since <br /> the 1960s, was going to be a $10 million deal with a hefty public subsidy until the <br /> Legislature came along. <br /> Now the project is in limbo as state lawmakers debate tax changes that could <br /> have far-reaching effects on how tax-increment financing works. <br /> The Mermaid's large electronic message board on Hwy. 10 promises a new 500- <br /> seat convention center in October and a hotel in December. But owner Dan Hall <br /> • knows that years of planning may be unraveling. <br /> "I've got my neck out on the line," he said. <br /> The Mermaid is one of several about-to-be-built projects that could lose subsidies <br /> through the dramatic change contemplated for the state's property tax system. <br /> The Minnesota Historical Society's Mill City Museum and accompanying office <br /> complex on the Mississippi River in downtown Minneapolis is another, as is the <br /> $161 million Upper Landings residential village planned near downtown St. Paul. <br /> Two weeks ago, the Minneapolis Community Development Agency, the city's <br /> development arm, told the City Council that the impact from the proposed <br /> legislative changes to tax-increment subsidies ranged from "damaging to <br /> devastating." <br /> Should the changes be enacted, the impact on the use of tax-increment <br /> subsidies would be indirect, but significant. <br /> • <br />