Minutes - Council - 12/09/2003 - Laserfiche WebLink

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City Adm in istrator Norman noted that the City Council has added language to other development agreemcnts that the property owner would not be able to re-coop the increased value of the new footage in the future. City Attorney Goodrich replied that the issue as he sees it in 10 years is that thc appraiser is going to have to appraise the property and then deduct the values of the addition, which could be difficult to do. Councilmember Elvig replied that it may not be possible 10 years clown the road, but it does prevent the City receiving a numerous amount of similar requests. Mayor Gamec stated that if the City is saying that the property is not able to take the value of the improvements then why is it fair for them to pay higher property tax. He would be agreeing that the 900 feet would not be added to the value of the property. Mr. Touchette explained that one of the problems is that retail is based on three different factors which are comparable values, which would be very difficult in this case because sale on the quadrant will be very few, secondly rebuildable value which would be minimal, and thirdly income stream value which will not be impacted by the addition. Councilmember Elvig disagreed slightly because they will base income value on the size of the building. He did agree that it was not fair to make a property owner pay higher property taxes if the property value is frozen. City Attorney Goodrich proposed language to be added to the development agreement that would state that in the event the State of Minnesota, City of Ramsey, or other entity acquires the property for the future improvement of the Highway #10 corridor the acquiring agent will not be responsible for the improved value. Councilmember Elvig stated that if he were the property owner he would rather take his chances with someone not being able to appraise the property properly years down the road rather than being tied to an ordinance that may or may not exist. Mr. Touchette replied that he objects to being held to a different standard. Councilmember Elvig pointed out that right now Mr. Touchette was asking for special privileges. Mr. Touchette replied that the moratorium ordinance states that there are certain situations where an exception can be granted. He is simply trying to update the property, which is a benefit to the City. Councilmember Elvig replied that the problem is that he came in during the two-month time where they are in limbo. Mr. Touchctte stated that he was one of the few people that did not speak up against the moratorium. He agrees that new expensive units should not be built along the corridor at this time, but property owners are faced with trying to figure out what to do with their properties until 2025. He personally is trying to improve his property by making improvements that do not have an extended life span. Councilmember Strommen replied that if the improvements are minimal in value what is Mr. Touchette's objection to the language. Mr. Touchette replied that he does not understand how they would determine the value. Councilmember Cook called for the vote. Motion carried. Voting Yes: Mayor Gamec, and Councilmembers Cook, Kurak, and Pearson. Voting No: Councilmembers Elvig, Strommen, and Zimmerman. Case #6: Request for Site Plan Approval; Case of Ronald Touchette Community Development Director Frolik stated that the City of Ramsey has received a request for site plan review from Ron Touchette. The site plan is proposing to modify the existing off- sale liquor store located at 7129 Highway #10 NW. The proposed modifications will facilitate thc requirements of the proposed new tenant, MGM Wine & Spirits. The proposal includes a City Council/December 9, 2003 Page 14 of 23