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Regular City Council Meeting Monday, July 28, 2008 Page 17 Further discussion included Planning Commission rationale for including a condi- tion not allowing for patient care on site and need for applicable licensing for any expanded or future uses; and significant and different traffic demands if patient care were a use in that area. Applicant, Valerie Alt, owner representative of Presbyterian Homes Ms. Alt advised that the Planning Commission had been assured that this building was intended for use as a corporate office for administrative purposes only; and noted that any patient care would need to be addressed through state and federal licensing regulations. By consensus, Councilmembers supported removing that condition. Councilmember Roe sought additional background information and questioned rationale for condition g. in Section 10.0 of the staff report, indicating that the property shall remain on the property tax rolls. Associate Planner Lloyd advised that, upon counsel from City Attorney Jay Squires, at best it was improper to condition land use approval on something that was fiscal in nature; and since the Planning Commission recommendation, staff was suggesting that such a condition not be applied, as noted in Section 9.3 of the staff report. City Attorney Anderson opined that such a condition seemed to place an unfair restriction on future property use. Councilmember Ihlan spoke in support of Presbyterian Home's intent to not seek tax exempt status of the property. However, Councilmember Ihlan opined that, if this was not an enforceable condition, that another alternative, such as negotiating PILOT, would indicate a commitment from Presbyterian Homes to the City for reassurance. City Planner Thomas Paschke noted that, by law, at this time, based on the in- tended function and use of the property, Presbyterian Homes was not able to make this property tax exempt. Mayor Klausing expressed his unease with continued discussions on limiting enti- ties that enjoy tax exempt status from doing so, when federal and state statutes provided for that status. Mayor Klausing opined that the City needed to accept that status, and not attempt to circumvent the law. Mayor Klausing clarified that what was currently before the Council was a land use application, and that there was no basis to deny the land use designation and application, for Concept PUD approval with revised conditions.