CCP 11-27-2006 - Laserfiche WebLink

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ARDEN HILLS CITY COUNCIL - October 16, 2006 of comments and conccrns from previous work session discussions and a copy of the framework . vision plan. Tonight's mccting providcd the City Council with a refresher on public financing options that are available for the City Council to considcr rcgarding the TCAAP property. Stacie Kvilvang and Sid Jnman of Ehlcrs & Associatcs and Steve Bubul of Kennedy and Graven were prescnt at the mccting to provide an overview of public financing options to mcmbcrs ofthc City Council. Ms. Stacie K vilvang (Ehlers & Associates) provided the City Council with a power point presentation rcgarding TlF and other bonding options that could be utilized for the TCAAP project. Councilmembcr Grant asked how the counties and school districts vicw TIF financing. Ms. K vilvang said that TIF financing usually equates to increased student populations and more long tenn tax growth [or thc school districts and counties. Typically projects of this magnitude would not occur without some form of public financing. Mr. Sid Inman (Ehlers & Associates) noted that thc Bcst Buy officc complex in Richfield has created a very favorable economic forccast for the City of Richfield. The Best Buy project was funded with TIF dollars. The TCAAP projcct is currcntly considered a tax exempt property. The TCAAP land would be taxable property once it is sold and appraised by Ramscy County. Councilmember Holden asked how thc appraiscd value of a vacant property is assessed. . Ms. K vilang said that vacant property is typically asscssed based upon its market value and projected income valuc. Councilmembcr Larson noted that the City and thc dcveloper may havc differing opinions regarding the property valuc versus thc assessed property value. Ms. Stacie Kvilvang said that thc Ramsey County assessor will typically comparc the vacant land to other similar properties in order to assess the land value for TCAAP. Mr. Stcve Bubul said that Ramsey County may utilize the negotiated price as the assessable land value. The property is unique in that thc build out of thc dcvelopmcnt will occur over time and not all at once. Councilmember Grant stated that public financing will depend bl}"Catly on the dcnsity of thc project. The need for public financing will vary depending on how large the project becomes over time. Mr. Sid Inman noted that most projects of this magnitude will use a combination of bonding and TIF dollars. Most citics use a pay as you go approach when funding infrastructure improvcments. . 2 --