Minutes - Council - 10/23/2012 - Laserfiche WebLink

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Further discussion: Councilmember Backous asked Development Manager Lazan whether he had objected to the $15,000 estimate when it was put forward. Development Manager Lazan indicated at one time it was understood that WSB or Landform would do the inspection. After it was decided to have City staff inspect the project, he had noted his objection twice, in writing. Councilmember Strommen stated she thinks it would have been reasonable for Landform to present this request the end of September. She stated she does not want to stop the project, but finds this to be an issue of timeliness dealing with the public's money and she intends to vote against the motion. Development Manager Lazan reviewed Landform's billing process, noting it bills two to three weeks in arrears. He had been alerted when the costs reached $17,000 and brought it before the Council on September 25, 2012, but it had been tabled to tonight. Development Manager Lazan stated he wanted to keep the project moving forward and worked in good faith. Councilmember Backous clarified the motion is for a maximum (not to exceed) of $30,000. Motion carried. Voting Yes: Mayor Ramsey, Councilmembers McGlone, Backous, and Tossey. Voting No: Councilmember Strommen. Abstain: Councilmember Wise. Absent: Councilmember Elvig. 8. MAYOR, COUNCIL AND STAFF INPUT Councilmember Tossey expressed his increasing concern related to tax increment financing (TIF) and belief that it leads to unfairness. Motion Councilmember Tossey, seconded by Councilmember Backous, to instruct staff to start the process to decertify properties within TIF 14. City Administrator Ulrich indicated a decertification will need additional research and public hearings. Councilmember McGlone raised the issue of fairness to the rest of the City should TIF be eliminated. The Council discussed whether the concept of TIF results in "handcuffing" the City's general funds. It was noted that most TIF Districts will be coming off line within a year or two. City Administrator Ulrich reviewed the current obligation for TIF districts. Councilmembers Tossey and Backous revised the motion to instruct staff to start the process to decertify properties within TIF 14 that are not currently obligated. The Council continued its discussion on the impact of TIF and resulting impact to annual property taxes, costs for administration of the contract, staff time, and intangibles. Councilmember McGlone and Mayor Ramsey indicated that while they support, in theory, eliminating TIF, it can be beneficial when in the right hands and used correctly. They, along City Council / October 23, 2012 Page 10 of 11