2019-03-18 EDA Minutes (signed) - Laserfiche WebLink

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REDA Meeting Minutes—Monday,March 18,2019 Page 3 this that have some pretty significant impact on the operational cost of the City. Member Groff echoed Member Willmus' comments because he was concerned when it was noted that what the City is actually able to use for the City services is staying the same but, for example in the Colder project, 388 employees are being added. He stated just because of the extra volume of people there is going to be more need for some services, probably emergency services, and those have to be coming out of the rest of the taxpayer's funds. He asked on the Sienna Green property, what is the process if the TIF was extended out by ten years. Ms. Gundlach stated the City could direct staff to go back and negotiate with AEON to make sure that the company is going to maintain that affordability for those additional ten years through the term of the District. There would be a revised contract that would come back before the EDA to approve that extension. Ms. Kvilvang stated to clarify, typically for multi-family housing projects, those increase in services are there and people live closer together so people hear more and see more so may get more calls for services. If there is a senior development, there may be increase in calls because there may be more need for medical calls and other things that actually happen. She stated traditionally what is found in most communities is that for a project such as Colder in the Industrial developments, typically the call increase is not significant or increased because the building is sprinklered and the business does not generate public safety calls or issues. If it was a retail project, there would be some increase in services. Member Willmus thought that really follows and mirrors the City's existing policy. He thought it would be worthwhile to revisit this because this is a new Council and there should be a refresher on the existing policy. President Roe thought some of the actual TIF policies of the City are outdated compared to what State Statute says. The other part of the discussion related to affordable housing and the AEON TIF 18, is that by negotiating and if willing to accept that agreement to maintain affordability for ten more years, one of the things the City is getting is ten more years of affordability that has been agreed to and gets weighed into the equation as it relates to getting that money back into funding the levy because the service costs. b. Authorize the Assignment and Subordination of Contract for Redevelopment and Tax Increment Financing Note for 2785 Fairview, LLC