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to them for four years. He said he requested in writing that the building will remain exempt until <br /> such time as the use is changed on the property. That allows the City to apply what would have <br /> been used for taxes to the debt. <br /> Councilmember McGlone said he disapproved. He explained in 4 years' time, it is likely a renter <br /> could be found to pay for the improvements themselves. He said none of the revenues go back <br /> to the RALF fund so the City is shorting itself and the taxpayers. Councilmember McGlone <br /> noted the building is slated for demolition in the future, so considering improvements makes no <br /> sense. <br /> Councilmember Wise agreed with some of Councilmember McGlone's comments. He said the <br /> building has been here a long a time and if fire suppression can be installed, it could possibly be <br /> leased when the church is done. <br /> Councilmember McGlone stated the building does not need improvement to be leases. <br /> Economic Development/Marketing Manager Backman stated this particular property has been <br /> vacant six years. He has approached businesses for this building and there is now an opportunity <br /> to lease the space, and generate $20,000 or more per year. <br /> Councilmember Strommen stated if the space can be used as an incubator space for the church, it <br /> seems better than having the building sit empty for the time being. <br /> City Administrator Ulrich explained if the RALF property is getting leased revenue, the revenue <br /> • would go to the RALF program. This could make it a more valuable property after the four <br /> years is up. The alternative is to deny the lease and look for a taxpaying entity. He noted the <br /> priority has been to get the properties to pay taxes and there is a concern about the appearance of <br /> the building and having the building occupied would improve the appearance. <br /> Councilmember McGlone stated he thought all the points the City Administrator made were <br /> disadvantages. The use next door is perhaps why it hasn't been leased for six years. He said he <br /> would rather find a taxpaying entity but if the church paid for fire suppression, he would approve <br /> the request. He noted he does not consider that building to be a problem. <br /> Councilmember Backous stated there are huge advantages to having a church in the community <br /> and asked about the parking situation. <br /> Economic Development/Marketing Manager Backman responded that based on the information <br /> provided and discussions with staff; there is sufficient parking for what is proposed. <br /> Councilmember Backous pointed out this would be taxing on the police and fire departments. <br /> The best -case scenario is breaking even. He asked what the remedy would be if they broke a <br /> four year lease after two years. <br /> Economic Development/Marketing Manager Backman explained the parent church is the United <br /> Methodist Church of Anoka and their board has agreed to this start up. <br /> City Council Work Session / October 11, 2011 <br /> Page 3 of 6 <br />