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