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Mounds View EDA August 8, 2005 <br />Regular Meeting Page 5 <br /> <br />noted that typically the City has had terms longer than three years noting that the consensus was <br />to have the assistance within a defined, shorter period of time. He stated that Scott McGuire, <br />CFO, also indicated that this would be a sufficient time period for them. <br /> <br />Vice President Stigney stated that it was his understanding that SYSCO indicated that cash flow <br />was not a problem for them and they didn’t care if they got it upfront or stretched out. He stated <br />that if SYSCO received a one-year TIF then the TIF would be ready to close out when the TIF <br />District is ready to close out. He stated that to him this appears as if they are extending the TIF <br />District to accommodate SYSCO and he has a problem with that. <br /> <br />Economic Development Coordinator Backman stated that the City is looking at various aspects <br />in terms of cash flow noting that the City would still have the ability to decertify the district five <br />years early noting that it would not preclude a lot of options for the City. <br /> <br />Vice President Stigney asked how the City could decertify a district if they are still collecting <br />revenues on it over a three-year period. He asked why the City wouldn’t want them to pay it <br />back within the one-year and close the district. <br /> <br />Economic Development Coordinator Backman stated that the City has various projects currently <br />in the works and have ideas on how the City would improve the Highway 10 corridor noting that <br />it would be a bit premature to presume how much the City would spend on these efforts right <br />now. He stated that hopefully in the next year or two Staff would have a better sense of what <br />those improvements would cost. <br /> <br />Vice President Stigney stated that when a district has met its purpose it is his personal belief that <br />this is when the district should be closed out because it costs the taxpayers money to keep the <br />districts going. <br /> <br />President Marty explained that right now with the TIF Districts the City captures 100-percent of <br />the taxes coming in. He noted that the consultants have pointed out for years that to redesign and <br />redo County Highway 10 would cost far more. He stated that even if the City didn’t spend a <br />dime of the TIF pool up to the time the districts would be de-certified the City would still not <br />have enough money to redo County Highway 10. He stated that they would have to go ahead and <br />tax the citizens to redo Highway 10 and install a couple of trails. He stated that adding trails, <br />landscaping, repairing some of the intersections and making County Highway 10 safer and more <br />pedestrian friendly would take a lot more money than what the City has. He explained that this is <br />one of the main purposes the City has been earmarking TIF dollars for. He stated that they could <br />also use TIF for housing and redevelopment costs too noting that if they de-certify the district <br />early the City would not have the funds available without taxing for them. <br /> <br />Vice President Stigney clarified that President Marty’s philosophy is that the City should milk <br />every dollar the City can legally get from the TIF district. He stated that he has a problem with