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Mounds View EDA August 25, 2003 Regular Meeting Page 4 that if the attorney general settled for that there was not what could be called abuse. Commissioner Quick asked Mr. Ericson what has been built with TIF in the City. Community Development Director Ericson indicated the City benefited to a great extent from using TIF as both business parks, a number of businesses within the park, infrastructure and the Sysco build out. He then said that Sysco may not have located in the City if TIF had not been available and Sysco is the City’s largest employer. He also indicated that TIF helped with the expansion of the Mermaid. Commissioner Quick commented that all major development within this City has been done utilizing TIF and the City used TIF as it was meant to be used. He then said that using the word abuse is a slam and he feels that is inappropriate. Commissioner Stigney commented that once a property is in a TIF district the amount of the tax is frozen. He then said that this City has 22% of its properties in TIF districts and that is in excess of many other cities. He further commented that the amount of TIF money coming in sounds like a lot but it is to be used within the TIF district or pool district and does not benefit the City’s general fund. He also commented that there are indirect costs to the City because the money does not go to the general tax base. Mayor Linke commented that it does not take much to reach 22% when your City is only four square miles. Commissioner Stigney indicated that parcels can be closed out as soon as they have met their purpose. He then said that TIF can be useful but there are two sides of the coin and he wanted to present the other side of TIF. Community Development Director Ericson indicated that Mounds View is only four square miles so it does not take much to reach the 25% figure. He then said that other cities percentages are lower but they actually have more acreage in TIF districts. He then said that funds from the TIF district are 100% captured by the City to be used for uses that are spelled out by the TIF laws many of which benefit the whole City such as trailways, infrastructure, and aesthetic improvements such as the Highway 10 landscaping, lighting, and trail. He further commented that he feels it is a mischaracterization to say the money does not come to the City because while it does not come to the general fund the funds are available to benefit the City on the whole. Commissioner Quick asked how many jobs were created in the community utilizing TIF funds. Community Development Director Ericson indicated there were at least 1,000 jobs created, if not more.