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Mayor Ramsey stated staff will review the assessment amounts and directed staff to work with <br />Mr. Sharp on possibilities. <br />3) Discuss Appointing a Representative to the Governance Group — Connect Anoka <br />County Broadband <br />City Administrator Ulrich stated the Connect Anoka County Broadband Governance Group is <br />asking the City to appoint a representative to the Governance Group. <br />Councilmember Backous stated he would be willing to serve. <br />4) Discuss Lease Agreement for 6811 Hwy 10 by TMBC, LLC dba Crystal Pierz <br />Marine <br />Economic Development/Marketing Manager Backman reviewed the staff report. <br />Mayor Ramsey asked if the City is liable to pay back any RALF funds. <br />City Attorney Goodrich stated the City is not liable because it hasn't yet received any funds and <br />there is no lease in effect. He said net proceeds are subject to what funds are expended. <br />Councilmember Elvig said if the City did have a lease in place, it would have some obligation. <br />City Attorney Goodrich said the lease was terminated September 30, 2010. <br />Mayor Ramsey clarified the City is trying to reach an agreement for a lease to move forward. <br />Councilmember McGlone inquired about the monthly lease payment for Mr. Sharp. <br />Finance Officer Lund stated that 6701 building is $2,930.50 and other building is $1,840.00 per <br />month. <br />Councilmember McGlone expressed concern about tampering with the market and asked <br />Council to reconsider the policy on RALF properties. <br />Councilmember Elvig said a policy is in place about not competing with the market but as the <br />City tries to lease buildings it must lower the rate and still can't compete. <br />City Attorney Goodrich stated the City paid $500,000 for this parcel so the value should support <br />$1,600 /month. <br />Councilmember McClone asked when these parcels should be offered for best and highest uses. <br />Economic Development/Marketing Manager Backman reviewed current rental rates as for <br />various spaces, ranging from pole barns at $2 per square foot, heated storage ranging from $3.00- <br />3.80 per square foot, and shop /office at approximately $4 per square foot. He stated this space is <br />a little more than a pole barn, adding parking lot spaces ranged from $.25 and $.50 square foot. <br />City Council Work Session / June 14, 2011 <br />Page 3 of 7 <br />