2004.06.21 CC Minutes - Laserfiche WebLink

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City Council meeting of June 21, 2004 Page 5 Agenda accepted the resignation of Jeff Wenzel and publicly thanked him for his 14 years of dedicated service. TAX ABATEMENT FOR FINANCING CSAH 8/14 REALIGNMENT PROJECT/TAX ABATEMENT POLICY At its May 24, 2004 meeting, Council listened to a presentation from City financial advisor Paul Steinman and Mikaela Huot from Springsted, Inc. regarding the use of tax abatement as a financing tool for the CSAH 8/14 project. Council accepted the financial advisor's recommendation and scheduled a public hearing for June 21, 2004 in order to take public comment on the issue. Council also directed Springsted to prepare a draft tax abatement policy, which will also be discussed at the public hearing reflecting the City's strong interest in this Minnesota state legislature -approved financing tool. Paul Steinman and Mikaela Huot reviewed the proposed tax abatement policy, as well as how tax abatement could implemented for the CSAH 8/14 project. Council member Haas stated that the City should encourage the school district and Washington County to use this tool as well. Mayor Fran Miron opened the public hearing at 7:25 pm. Steve Nelson of 6644 132nd Street asked if this project was taking taxpayer money away from other projects. Paul Steinman stated that this project would have no impact because of the dollar cap. Walter Stoltzman asked what the money would be used for. Mayor Miron stated that the money was earmarked for right-of-way acquisition and that the money abated would be used to pay off bonds. Should the money be used for other projects, a public hearing would be required. The public hearing was closed at 7:40 pm. Council suggested that the proposed policy be reworded to reflect that tax abatement would encourage "economic" development within the City. Miron made motion, Haas seconded, to adopt RESOLUTION 200445 ADOPTING A TAX ABATEMENT POLICY. VOTING AYE: Granger, Haas, Petryk, Puleo, Miron Motion Carried. Miron made motion, Haas seconded, to adopt RESOLUTION 200446 APPROVING PROPERTY TAX ABATEMENTS FOR THE CSAH 8/14 PROJECT. VOTING AYE: Granger, Haas, Petryk, Puleo, Miron Motion Carried. At this time, Paul Steinman presented Mayor Fran Miron and the City of Hugo a plaque congratulating the City for its two-step improved bond rating, from A3 to Al from Moody's Investors for the sale of bonds for the public works facility. 132ND STREET PUBLIC IMPROVEMENT PROJECT At its regular meeting of May 17, 2004, Council received the feasibility study for the paving of 132nd Street between Goodview Avenue and Henna Avenue. The feasibility study was completed in response