Agenda - Council - 07/28/1987 - Laserfiche WebLink

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15 Minutes CASE #9: DISCUSS MR. DICK CARSON'S PROPOSED RESIDENTIAL DEVELOPMENT By: Anne Norris, Community Development Director Pete Raatikka, City Engineer Dave Hartley, City Administrator Background: At its last meeting, the City Council directed Staff to research how the City could participate using tax increment financing in Mr. Dick Carson's proposed residential development north of Magnesium Street NW, Subsequently, th~ City Administrator, City Engineer, and Community Development Director met with Mr. Ron Batty, Bond Counsel for the City. Staff determined that the area proposed to be included in Mr. Carson's project could be established as a tax increment financing district; however, it would have to be as a housing district.- The requirements for this type of district are that at least 20% of the units must be priced such that low and moderate income families can qualify for those homes. Typically, these are multiple family units and are usually rental housing. In addition, Staff discussed imposing the following conditions prior to committing City participation in the project: a) That the property between Magnesium Street NW and County Road No. 5 be included in the project area; b) That there be one agent representing the various property owners and developers in the project area to work with the City; c) That the developers have a unified development plan for the entire project area which would include thoroughfares, drainage, open space, phasing, etc.; and d) That the costs for extending trunk utilities to the boundary of the project area would be financed with tax increment proceeds. However, the costs of utilities within the project area would be paid by assessments against the project area. In order to accommodate Mr. Carson's proposed project, the City needs to modify its boundaries for Development District No. 1, as well as to establish a tax increment financing district encompassing the proposed project area. In addition, at the meeting with Mr. Batty, several other related issues were identified that need to be resolved prior to City participation in Mr. Carson's project. These issues are as follows: a) The alignment of trunk utilities in order to provide for the orderly growth and development of the City with utilities. Extension of the main trunk would benefit a greater portion of the City and cause less disturbance to existing residents. Amend the City's Comprehensive Plan to allow for the extension of sewer to serve this area. We need to insure that we have adequate sewer capacity for present and future development and growth in the City. c) The need for a policy for determining whether the City will consider using tax increment financing to participate in projects and if so, the extent of such participation.