HomeMy Public PortalAbout03/31/04 Special CCM77
MEDINA CITY COUNCIL SPECIAL MEETING MINUTES OF MARCH 31, 2004
The City Council of Medina, Minnesota met in special session on March 31, 2004 at 7:00 p.m. at
Medina City Hall. Mayor Phil Zietlow presided.
Members present: Workman, Lane, Zietlow, Smith, Brinkman
Members absent: None
Also present: City Administrator Chad Adams, Public Works Director Jim Dillman, City
Attorney Ron Batty, City Planner Josh Doty, City Engineer Tom Kellogg, and Shelly Eldridge
with Ehlers and Associates.
Tax Increment Financing (TIF) and Infrastructure Master Plan
Shelly Eldridge, Ehlers and Associates reviewed some TIF basics for Council. She commented
school bond referendums are based on tax capacity. She clarified that TIF captures inflation to
benefited properties. She explained general uses of TIF and stated 90% must go to
redevelopable costs. Developers will need to provide a proforma regarding their projects for
TIF. Eldridge defined the "but/for" test.
Lane requested clarification of Eldridge's discussion of affecting tax rolls compared to tax base.
Eldridge explained that taxes paid in TIF as part of a development would be same if outside TIF
as part of a development. Properties pay the same taxes, but the increment is captured to pay
for infrastructure improvements.
Batty discussed the TIF affects on schools and implications on taxes. Batty stated TIF can be
used as a subsidy, if not properly calibrated. TIF, as part of the current proposal, will not be
used as a subsidy directly to developers.
Discussion was held on how city services will be affected by a TIF District and if other taxpayers
will be picking up new costs. Adams mentioned that the public benefits of improvements
compared to cost of increased services needs to be evaluated as an economic policy
discussion.
Discussion of the plan budget and if costs exceed the budget. Staff clarified that budget should
not be exceeded and that budgets can be amended within five years of creation of district.
Adams updated the Council on the proposed TIF boundary. He explained that Hamel Road has
been extended west to the Uptown Hamel zoning boundary. Discussion of how to add parcels
later in the process if needed.
Adams reviewed the Master Plan Infrastructure costs. Discussion on accuracy of the
intersection improvement figures. Discussion on completing the Hamel Road overlay compared
to a complete reconstruction.
Dillman and Kellogg presented an option for the west storm water pond, to consist of a large
berm from free dirt hauled in. Consensus that staff should continue evaluating option.
Eldridge provided an overview of the TIF financial analysis and explained the numbers
presented are very conservative and do not include inflation. Zietlow commented that he
preferred to get the district to 10 years, rather than 25 years. Discussion on special
assessments being used along with TIF.
Medina Special City Council Meeting Minutes
March 31, 2004
78
Batty discussed progress with the SEH report.
Discussion held on Ryan Companies involvement in Open House. Consensus that no change
in current course be made. Lane questioned potential conflict with Donald Brauer as planning
consultant making alternative recommendations on site under contract with Ryan Co.
Farmers State Bank of Hamel (8:50 p.m.)
Discussion of the changes requested. Discussion on lighting ordinance change regarding
consistency in orange, yellow, or white glow of light.
Workman moved, Smith seconded for authorizing staff to prepare final resolution for site plan
approval. Unanimous approval of the motion.
Adjournment
Workman moved, Smith seconded to adjourn. Unanimous approval. The Council meeting was
adjourned at 9:10 p.m.
Attest:
Chad M. Adams, City Administrator
,-
Medina Special City Council Meeting Minutes
March 31, 2004