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ARDEN HILLS CITY COUNCIL—FEBRUARY 24, 2014 7 <br /> David Monson, 1175 Edgewater Avenue, reported that he has lived in Arden Hills for the past 15 <br /> years and he is opposed to the franchise fee. He loves the City's parks and trails and suggested <br /> that another funding source be sought for park improvements. He discussed the ratio of franchise <br /> fees that would be paid between residential and tax exempt/commercial properties. He <br /> recommended that the Council not pursue franchise fees. <br /> Gregg Larson, 3377 North Snelling Avenue, explained that he loves the parks and trails in Arden <br /> Hills. He indicated that he has supplied over 100 trees to the City's parks. He stated that the real <br /> issue is not how residents feel about City parks, but rather how to finance the improvements <br /> needed in the City. He believes that the Council should pursue a property tax increase instead of a <br /> franchise fee. <br /> Mayor Grant closed the public hearing at 8:31 p.m. <br /> Mayor Grant thanked the residents in attendance for their comments. He appreciated the <br /> feedback that was given. <br /> Councilmember Holden discussed the transparency concern stating that the Council had not <br /> gathered all the necessary information from Xcel Energy because it wanted to see how residents <br /> felt about franchise fees prior to spending too much time on the topic. At this time, she is not <br /> comfortable moving forward with franchise fees given the lack of support from the community. <br /> Councilmember Werner stated that he does not support the franchise fees either. He explained <br /> how gas prices have risen over the past winter and how this has adversely impacted residents. He <br /> recommended that the Council pursue an alternative funding source. <br /> Mayor Grant thanked the public for providing the Council with their thoughts on the City's <br /> parks and trails, and he understands that the residents are against franchise fees. He reviewed the <br /> impact a property tax increase would have on homeowners versus a franchise fee. He explained <br /> that the Council has worked to keep property taxes low in Arden Hills. He discussed how the <br /> economic downturn is still impacting the community. He believed that after taking into <br /> consideration all of the comments from the public, franchise fees are not supported and for this <br /> reason,he does not believe franchise fees should move forward. <br /> Councilmember McClung explained that Arden Hills is a unique community and has a fairly <br /> diverse tax base, as a large percentage of the property in Arden Hills is tax exempt. This presents <br /> the City with challenges for funding much need road improvement projects. He believes roadway <br /> improvements are an essential service provided by the City. In addition, many residents in Arden <br /> Hills view the parks and trails as essential services which require maintenance and improvement. <br /> This led the Council to discuss the possibility of a franchise fee. He discussed the budgeting <br /> process and his viewpoints on franchise fees stating he does not support them. He thanked the <br /> public for taking part in this discussion. He anticipated that the Council would be having <br /> additional discussions on how to prioritize the much needed streets and parks improvements. <br /> Councilmember Holmes thanked everyone for coming and speaking this evening. She explained <br /> that the Council has heard loud and clear that the public does not support franchise fees. For this <br /> reason, she does not believe that the Council should move forward with franchise fees. <br />