Minutes - Council - 06/09/2015 - Laserfiche WebLink

Home

Councilmember Kuzma stated that if there is an opportunity to develop on the land that is identified as surplus, that economic development could generate funds that could be used to fund the campus and therefore he would like to keep that option open and moving forward. Mayor Strommen agreed that the space needs analysis would help to determine if there is excess space that could be used for economic development. Motion by Councilmember LeTourneau, seconded by Councilmember Johns, to approve the proposal for professional services from BKV Group, not to exceed $19,500 to complete the space needs analysis. Motion carried. Voting Yes: Mayor Strommen, Councilmembers LeTourneau, Johns, and Williams. Voting No: Councilmembers Kuzma and Riley. Absent: Councilmember Shryock. 7.05: Consider Dominium Development & Acquisitions, LLC Letter of Intent Asst. City Administrator/Economic Development Manager Brama reviewed the terms of the Letter of Intent (LOI) from Dominium Development & Acquisitions, LLC for 4.94 acres of City - owned land located between Coborn's and the future Common Bond project and recommendation to counter offer Dominium as staff believes the proposal for City financial assistance is too high at $2.2 million to $2.6 million, or 9.12% to 10.77% of the total project cost. He noted that senior living is the number one priority identified in the housing assistance policy. Asst. City Administrator/Economic Development Manager Brama stated the EDA reviewed this case at its June 4, 2015, meeting and while it generally supported the project concept, it felt more discussion was needed relating to how this project fits within the City's Zoning Districts and The COR Master Plan and that the financial assistance request should be reduced to a level similar with comparable projects. Asst. City Administrator/Economic Development Manager Brama asked Council direction whether the project concept fits the property, the overall development concept is acceptable, and level of financial assistance. He stated that the Council could direct staff to work with Ehlers to prepare a counteroffer and request that Dominium adjust their LOI which would then be brought back to the Council. Councilmember LeTourneau referenced the location proposed and questioned whether a more appropriate location could have been identified. Asst. City Administrator/Economic Development Manager Brama replied that other options do exist, noting that Dominium was interested in this site because of the available infrastructure and proximity to both Coborn's and the rail station. He noted that Dominium would be flexible in choosing another site. Councilmember LeTourneau stated that he would need more time to consider that aspect as the Master Plan would need to be changed. City Council / June 9, 2015 Page 11 of 18