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EDC Minutes July 15, 2016 Page 6 of 10 Larson said there have been certain houses that have been built as a replacement of some of the blighted homes and this will bring in higher tax revenue than those homes that were just sitting there in a blighted condition. Therefore, there is positive payback in updating and/or replacing such homes. Commissioner Stevenson said it may be much easier in Mounds View to sell it because the city is nearly fully developed rather than a city that has a lot of developable land. However, in a city like Mounds View he believes it would be a fairly easy sell to the public and he believes the city needs those funds. Chair Helgemoe stated that in terms of uses, there are many good uses such as retaining businesses, conducting studies, and to support a currently unfunded loan program. If the program is unfunded then why do we have it? I believe that if generating around $168,000 it would leave a lot of money for loan programs, but if we can use some of these funds for our loan programs for improvements then it would be beneficial if it can improve properties in the city. Helgemoe asked if the Commissioners had any other comments or recommendations regarding the EDA levy. Hearing no further comments, Helgemoe said it appears that the Commission is in favor of the levy and we believe it is a positive use of funds. So to summarize, the Commission agrees number one, that the EDA levy is a positive. Two, since we are all in agreement should we recommend an amount or would we leave that up to the Council. Beeman responded, saying that it would be the Council's decision. For the EDC's purposes we need the Commission to decide what they think about the EDA levy. Is the levy a good idea, a bad idea, etc. Helgemoe stated that in that case, the Commission is in agreement that this is a positive for the city and we are recommending that this move forward to the Council for further consideration. Motion/Second: Commissioner Freichels moved and Commissioner Shoop seconded the motion recommending the EDC's support of an EDA levy to assist in the funding of business and housing goals & purposes to the City Council for further consideration. Motion Carried: 6 Ayes, 0 Nays 6. REPORTS OF STAFF Crossroad Point Redevelopment Prosect Business Development Coordinator, Brian Beeman provided the Commission with an update on the Crossroad Pointe redevelopment site. Beeman stated that he had talked to The Beard Group and they are moving away from the idea of a Housing TIF and exploring Tax Credits as a way to fund their project. Since the developers have never used Tax Credits, they are working with their consultants to better understand the process and the anticipated gap in financing before approaching the City with their plans. The use of Tax Credits requires a 20% affordability aspect of the overall project which increases the project costs. This means that out of the 205 units being proposed, approximately 41 units would need to be affordable.