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Chairperson Dehen opened the public hearing at 11 :22 p.m. <br />There were no comments made at the public hearing. <br />Motion by Commissioner Wise, seconded by Commissioner Ramsey, to close the public hearing. <br />Motion carried. Voting Yes: Chairperson Dehen, Commissioners Wise, Ramsey, Look, Elvig, <br />Jeffrey, and McGlone. Voting No: None. Absent. None. <br />The public hearing was closed at 11:23 p.m. <br />Development Manager Lazan and Consultant Stacie Kvilvang summarized the project timeline, <br />the significant meetings, parking, property acquisition, purchase agreement, City's obligation, <br />development fees, minimum assessment agreement, TIF, City loan, and how risk was mitigated. <br />Commissioner Elvig asked how much of the portion of the subsidy equity was the true cash. <br />David Flaherty, Flaherty & Collins, explained what the banks would be looking for in order to <br />base the loan off of. He indicated most loans were based on what income would come in from <br />the project. <br />Commissioner McGlone questioned the way the subsidy was calculated. <br />City Administrator Ulrich responded there were many ways to calculate subsidies. <br />Chairperson Dehen stated he was opposed to the project given the amount of the subsidies. He <br />believed if a project could not proceed on its own, it should not go in. He stated he was <br />personally upset with Flaherty & Collins that they had not informed the Council about two of <br />their projects going into bankruptcy. He believed the Council should have been informed about <br />this information in advance of it being reported by the media. He stated he was concemed that a <br />person involved in Landform was an owner in this project. He questioned whether this was <br />secondary gain. <br />Commissioner Jeffrey stated he was concerned about the perceived conflict with Landform being <br />involved in the project as an owner also. He stated he could not in good conscious support the <br />project at this time. <br />Development Manager Lazan stated when Landform had submitted the proposal for a possible <br />development, they had disclosed there was a possibility about self - development. He stated a <br />document had also been handed out at both a Council meeting and worksession that Landform <br />was involved in self - development. <br />Chairperson Dehen stated he had no idea about Landform being involved. <br />Mayor Ramsey stated he knew about this and that was the reason HRA Executive Director <br />Nelson got more involved in this. <br />Housing and Redevelopment Authority / December 14, 2010 <br />Page 3 of 6 <br />