2019-08-28 CC Packet - Laserfiche WebLink

Home Browse Search

City of Centerville Council Meeting Minutes July 24, 2019 Lengthy discussion was had by the Council regarding the benefit to the community, spurring development in the downtown area, public safety implications, budgetary implications, fluctuation of "affordable" "market based" rent on a yearly basis, etc. Mr. Patrick Brama, Trident Development was available for comment and questions. Council Member Koski questioned the typical annual rate of return on investment and Mr. Brama stated 6- 7% on the low end and 10-12% on the high end which was agreeable by the developer, banker and owner. He stated that without TIF the project would not be financially worthy. Additional discussion ensued regarding alternative options for the development, the City paying expenses associated with sewer, water, storm sewer and additional expenditures without the City receiving tax dollars for 20 years, potential for setting a precedence and others requesting the same type of financing. Mr. Brama, Trident Development stated that they had explored a handful of options to make the project viable but determined that TIF was the only tool. Administrator Statz stated that the next step would be to adopt the resolution and order a public hearing. He stated that the process for establishing the district follows the public hearing. However, only concept plans have been submitted to the Planning & Zoning Commission and there will be additional discussion and approvals associated with the look and character of the building. Finance Director DeJong stated that the district would not be established if the project did not proceed. Motion by Council Member Lakso, seconded by Council Member Love to Adopt Res. #19- 021 — Calling for a Public Hearing on the Proposed Modification of Development Dist. #1 and the Establishment of Tax Increment Financing District #1-8 within the Development District and the Adoption of the Modified Development Program and the Adoption of the Tax Increment Financing Plan Relating to Thereto as Presented. Council Member Montain Opposed. Motion Carried. IX. NEW BUSINESS 1. None. X. COUNCIL/ADMINISTRATOR ANNOUNCEMENTS 1. Administrator's Report Administrator Statz stated that there was no written report for the week. He also stated that grading for Old Mill Estates was nearing completion, that plat would be recorded shortly and all appropriate documents (Letter of Credit, Escrows and Insurance) were on file. He reported that the previous builder for Bay View Villas had pulled out and Staff is waiting to hear of another builders as they are aware of discussions taking place. Page 4 of 7