Agenda - Council - 10/22/2002 - Laserfiche WebLink

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-70- City Engineer Jankowski replied that the City provided TIF funds to facilitate certain things. Councilmember Hendriksen stated that he had remembered' seeing numbers around a half a million for the Burger King trunk extension. City Engineer Jankowski replied that he did not recall the figures, but noted that it is only inch lateral pipe.to the Burger King. CounCilmember Zimmerman inquired if the City was still paying back the bonds for the 1996 trunk extension. City Engineer Jankowski replied that he was not sure. Councilmember Zimmerman stated that in 1992, the developers paid for the entire extension and then when the houses were built the City paid them back. City Engineer Olson replied that in 1992, the City was able to use TIF funds for residential development, which was the mechanism used. Councilmember Zimmerman stated that if sewer is extended to a property that is going to be developed it should be done at the developer's expense. Councilrnember Anderson stated that the real question is does the developer construct the sewer system or does the City. City Engineer Olson replied both. He explained that in the past, developers had requested that the City do the improvements and then the developers were specially assessed for the project. Recently the developers have been doing the improvements then the City inspects the work and the systems are turned over to the City once the project is completed. Councilmember Hendrikser/stated that they needed to differentiate between those projects that are "real" TIF projects. He stated that the City needs to bring in jobs.to the community, which is the appropriate use of TIF funds. He understands the City no longer has the option of using TIF funds for residential developments, but he does not think that would be an appropriate use of TIF funds. He stated that he looks at what they have done in the residential districts different than how they have dealt with industrial/commercial development. Mayor Gamec replied that the problem that commercial development is having in the area is that they don't have the housing to support the cormnercial business. Councilmember Hendriksen replied that he did not thinl¢ that was a valid argument. He thinks there:are employers trying to pay employees seven or eight dollars an hour, which is not the kind of businesses the City wants to attract. He stated that Ramsey is a City of 18,500 people and he can practically name all the businesses in Ramsey. City Council/October 8, 2002 Page 2 of 7 I I I I I I I i I I I I I, I I I I I