Agenda Packets - 1989/02/06 - Laserfiche WebLink

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'U: MAYOR AND CITY COUNCIL ft'M: CLERK -ADMINISTRATOR PAULE'r DW DATE: JANUARY 25 , 1989 SUBJECT: MOUNDS VIEW BUSINESS PARK; - WESI As I have previously advised you, Everest Development has entered into a purchase agreement pn the Herbst property and discusseJ with staff a project they call Mounds View Business Park - West. A development proposal has not been submitted to the City as yet, but Everest has communicated some of the details of their proposal which you have received information on in the past. Attached please find a letter from the Vice -President of Finance for Everest outlining the details of their request for financial assistance using tax increment fin>,ncing. I have not discussed the contents of this letter with our consultants as Everest has not deposited escrow funds with -the City end I felt that the City Council needs io provide some policy direction first. This policy direction could then be used by staff during negotiations on the project. The following questions form the framework for the discussion of the s�Polllicy issues I am requesting direction on at this time. 1 Does the Council wish to provide any additional tax increment assistance to commercial/industrial developments? 2. If yes, do you wish of focus the assistance on specific projects or locations or simply review and fund the projects on a first crime - first served basis? If the latter, you mig:it wane to establish some limits ❑n the a;;tent of tar, increment assistance you wish to provide to encourage development. Then staff can tell developer what our limts are and give them a feel for whether or not aasis-fiance. trey will receive 3. If you wish to provide tax increment assistance to this proje..t, do , YOU wish to limit such assistance? Some areas where limitations could occur would be, Limit the term of the bonds. This then limits the amount of funds available. >K Prohibit the use of surplus increments to provide additional funding beyond that available from the initial bond issue. t Prohibit or limit the amount of land buy -down. Everest is requesting $1.73 million for the 17.2 acre site. Prohibit or limit the amount of improvement funding. Staff would suggest the use of tax increment funds for improvements that are clearly public in nature would he appropriate. Everest is estimating the cost of public improvements and wetland mitigation at $291,000.