Minutes - Council Work Session - 04/08/2014

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not be transferred as they are for sale and to consider whether it makes sense to turn the other properties over to the EDA. Councilmember Backous stated he likes that option since the Council, elected officials, have the ability to consider and approve the EDA budget. He stated he knows Statute regulates the authority of the HRA and EDA but he thinks the City has perverted the spirit of the HRA into development by finding `blight' and levying property owners to generate HRA dollars. He supported setting limitations on the tool box so it can only be used to remove blight or provide low -cost loans for things like replacing siding. Councilmember Backous stated the City needs to get back to the reality of what an HRA should be. Mayor Strommen stated that would go back to the 1998 enabling resolution with limiting powers. She stated a number of concerns have been raised about using the tool to take blighted property and redevelop; however, The COR was always vacant land. She asked if that can be better defined. City Attorney Langel stated in the current enabling resolution, where it lists limitations, it includes the EDA having to obtain approval of developments /redevelopments from the Council. That allows the Council to find whether it is appropriate. Councilmember Backous asked if that will become a Charter Commission issue. Mayor Strommen asked if `redevelopment' or `vacant property' can be defined within the resolution to limit those powers because that would also bind the Council. Councilmember Backous stated any Council can change a resolution, which is why he finds it will become a Charter Commission issue. City Administrator Ulrich stated there are well - established definitions for redevelopment districts that can be used as a model to define what the Council wants considered. Councilmember LeTourneau supported returning to the prior condition and having another layer of protection to assure Council approval. Councilmember Kuzma asked about transferring the property to the EDA and if the EDA then has powers to set the price and sell it, or if it would require Council approval. Mayor Strommen stated Councilmember Riley had suggested The COR property stay with the City but other properties that can be redeveloped would go to the EDA. Councilmember Backous stated he also supports that option. Councilmember Johns stated she agrees with the suggestion of Councilmember Riley in how to split the land between the City and EDA. City Council Work Session / April 8, 2014 Page 6 of 10