Agenda - Council - 10/09/2001 - Laserfiche WebLink

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Councilmember Hendriksen stated that he would be more comfortable with any subsidizing the City offers be included in the TIF District. Councilmember Anderson replied that there are not funds available in that TIF DistriCt, Councilmember Hendriksen stated that currently the City has to be bo~ing somewhere. He stated that the City built a pond that needed an outlet, bdtT'~the,City did not hake, the funds to construct the outlet, which would mean that someone did:,.not dc~4heir job. He did,: not see this case asa being a precedent setting situation., ;5~i(~!~'!i:}):"!1~ 'i~,7':,~;. -r:,~ ~, .... City Engineer Cleon stated that precedent would be set as far aS !~rrection'~f drainage problems, which has already been set with using the Storm Water UtilitY. / Motion by Councilmember Kurak, seconded by CoUnC~tn~nber Zimme~an~'to recommend that the City Council authorize $108,100 be taken from the StormWate~ Management Fund and the Storm Water Utility fund be reimbursed. ~i/-- :- ' Further discussion: Mayor Gamec stated that it would be interesting to know ~if it would be better to take the funds out of the TIF District. He inquired if staff needed .an answer on the funding fight away or if there would .tO~ ,:time to ,research the option. 'Finance Officer Lund replied that using TIF Funds. Would require budget':amendments an~i:':'~0uld put the District further in the red. Councilmember HendiSksen expressed ConCemthat it does not set precedent for what the City would do in the future: He statedTth~t he does not think it is the right idea to build something that they know and aclmowl,edge an outle{ is needed, but ignore that fact. Mayor Gamec inquired if they should borroW'fi.om the Storm Water Utility fund and then pay it back. Finance Officer Lund replied that thereis adequate funds in the Storm Water Management fund to cover the entire cost. Councilmember Handriksen stated that he would feel more comfortable if'the funding was came from the TI:F ,District and questioned if there was a way to borrow fi.6m another fund and' then pay it baek~: Finance Officer Lund replied that staff would havetO,right another case identifying where'the' funds would be borrowed from. Councilmember Henddksen inquired if the StOrm Water i~tility fund is operating in the red how is it functioning. Finance Officer Lund'reptied that they area borrowing fi.om other funds with interest. City :"~'~d-m/nistrator Norman stated that original direction given by Council was to use funds from the Storm, Water Utility fundand some questions were raised by a Councilmember so staff agreed to bring it forward as a case.,,: C0uncilmember Anderson recommended that language be added in the motion noting that thAS case not be precedent setting because of the background. Amendment by-Councilmember Hendr/keen, seconded by Mayor Gamec, to add to original motion that the Case not set precedent due to the unusual history of the case. Amendment carried. Voting Yes: Mayor Gamec, Councilmembers Hendriksen, Anderson, K, urak,, and Zimmerman. Voting No: None. -14- Finance Committee/September 11, 2001 Page 4 of 7 I I I I I I I I I I I I i I I I I