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Management Analyst Brama stated based off research, he knows there are data centers in the <br />280,000 sq. ft. range in the metro area but agreed there is less of a market for the larger user. He <br />stated those researched indicated the scenario with two data centers of 100,000 sq. ft. each is . <br />more realistic. <br />Councilmember Backous noted the buildings will require a lot of cooling, which can include fan <br />noise, and asked how sound will be dampened. <br />Management Analyst Brama agreed that noise pollution will be a major component that needs to <br />be addressed through the planning process. He stated technology for generators and fans have <br />become quieter and restrictions can be included to address those issues. In addition, some users <br />have internal systems that exhaust to the outside. <br />City Administrator Ulrich suggested staff conclude the presentation and Fire Chief Kapler make <br />comment prior to additional Council questions and direction. <br />Management Analyst Brama continued presentation of the cost benefit analysis and annual cash <br />flow. It was noted that from an annual cash flow prospective, data center development scenarios <br />result in a significantly higher general tax revenue stream than does a residential development. <br />A single data center would generate cash flow of $276,742; two data centers would generate cash <br />flow of $223,714; and, residential would generate cash flow $28,263.97 after expenses. From a <br />one -time land transaction perspective, a residential development scenario results in a higher <br />return for the City with data centers equaling $500,000 and residential generating $1 million. <br />Considering the City's strategic plan of using revenues from the subject party to pay for a new <br />fire station, staff concluded the data center scenarios provide a stronger and more complete <br />financial solution than does a residential development. <br />Mayor Strommen noted adjournment will occur in about five minutes and asked staff if this item <br />should be discussed following tonight's Council meeting or continued to the next Work Session. <br />Councilmember Tossey supported rescheduling this topic to a future meeting. <br />City Administrator Ulrich stated it is not time sensitive and can be rescheduled to a future Work <br />Session. <br />Fire Chief Kapler asked the Council what type of detail it needs to make this decision. He stated <br />going forward, the key point is that funding from this use would generate funding for a new fire <br />station. He noted an issue to address is that the City cannot just close the building down since it <br />is part of the service blanket to the community, to have that staff and vehicles, so there would <br />have to be a merge in and out. Fire Chief Kapler stated the time the building is started and <br />completed could be shortened to make this property as salable as possible. <br />Councilmember Elvig asked about the option of a temporary structure. <br />Fire Chief Kapler agreed that is an option and staff had considered the grocery store at 167 <br />Avenue. <br />City Council Work Session / February 26, 2013 <br />Page 4 of 5 <br />