02-26-08 EDC Meeting Minutes - Unsigned

Home Browse Search

EDC Minutes February 26, 2008 Page 7of10 Kvilvang indicated that if what she is hearing that the group thinks we are a good employment center and it's service needs are what we need focus on, then she would say to look to lower the number of jobs that you require and the wage levels that are required. Ed noted if more restaurants do come in to the City, then one of the jobs that is created is a management job and they are going to make considerably more than 150% of the minimum wage. Nancy noted that there are typically a lot more individuals employed by a restaurant that make substantially less than a manager and this wouldn't reduce any effect a higher income job is going to create. Ms. Kvilvang noted whatever your job creation minimum goals are you need to be paid that level no matter what that position is. Ed asked how "tipped" employees are handled. Ms. Kvilvang indicated typically they wouldn't meet the requirement. Typically, in most cases where restaurants are part of that, it's usually in redevelopment districts and it's already exempt from the business subsidy policy or reporting so they don't have to meet job and wage goals because there is another public purpose they meet which is clearing up blight. Jim Paulet asked if this would apply in a TIF district or redevelopment. Ms. Kvilvang indicated it may apply, so again you have to look to see it can be exempted from the reporting requirements. A City can always choose to not go along with their business subsidy policy by explicit findings in the form of a resolution. If exemption findings are not met, a Council can still making findings that job creation is not the main goal. Chair Kunkel indicated he thought what was initially said was that restaurants are exempt in redevelopment. Ms. Kvilvang indicated that was incorrect and that again, it all depends on the qualification that you meet have for redevelopment to exempt yourself from business subsidy. She indicated there is a list of about 25 exemptions and redevelopment criteria happens to be one of them. Most cities will typically look to exempt it in redevelopment because they goals are to clean up the area. Nancy asked if spot redevelopment can be looked at. Ms. Kvilvang indicated spot development can be looked at,but typically larger parcels are the focus. Ms. Kvilvang noted the thing to remember about job and wage goals is the minimums. Other requirements can always be added when forming a development agreement, but the minimum must always be met. Jim Paulet asked about the dangers of stating these goals versus not stating them. Ms. Kvilvang stated simply put, if you go with one job at"X" amount, you provide the maximum flexibility. If you put on an onerous number, it may be difficult for some employers to meet that goal.