Minutes - Council - 12/14/2010 - Laserfiche WebLink

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Development Manager Lazan stated he had not analyzed the difference between A and B. He noted there was less increment available for the projects between A and B. Councilmember Look stated he hesitated to fund the scenario with option A. Councilmember Elvig stated he did not want to bind the hands of future Councils. He indicated it was the matter of the Council at the time to be prudent. He asked when the Council could shift gears and enact the other option. Mr.. Denaway responded Council would need to adopt a Resolution at a Council meeting with the possibility of a public hearing. Councilmember Elvig stated his concern was obtaining a TIF was very difficult to do. He wanted the TIF managed well and he did not want over borrowing from one District to pay another. He stated with Option B it cut down the cash flow at the time cash flow was needed. He stated he wanted to go with Option A with the option to switch to Option B in the future. Councilmember McGlone stated if the Council chose Option B, the City could not switch to Option A later, but the City could switch to Option B if Council chose Option A first. Mr. Denaway responded that was correct. City Administrator Ulrich believed it was prudent to start out with Option A with close monitoring and then switch to Option B when the time was appropriate. Councilmember Look stated he was reluctant to go with Option A partially due to the burden this puts on the businesses in the City. He stated he did not want to put more taxes on the residents and businesses in the City. Councilmember Jeffrey stated having the cash in the bank was easier than having to go out with Federal funding. He stated he was torn on this decision because he did not want to put this burden on the businesses, but he wanted the flexibility. Mayor Ramsey noted the City could not just incentivize anyone and there was a limit. Councilmember Elvig stated he believed the Council was talking black and white. He noted there would not be a lavish cash flow coming in, just cash flow to maintain this. He indicated this would not be easy and he wanted to keep as much flexibility as possible. Councilmember Wise stated he was directly affected by this decision as he owned a business in The COR as well as other businesses in the district. He stated if they sat on the sideline and did nothing, there would be businesses going under in the District. He stated he was in favor of Option A to allow for flexibility. He stated he did not want to limit the City's ability to get the projects done. He noted there were a lot of businesses that could not get the financing, even though they had the work. City Council / December 14, 2010 Page 8 of 19