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Member Riley asked if the restaurant portion would be a nonprofit. <br />Economic Development Manager Sullivan commented that level of detail has not yet been <br />conveyed, it has been stated that this is a nonprofit entity. He noted that the mission is to stop <br />human trafficking and the revenue from the restaurant would be used to support that purpose. He <br />stated that if a for profit entity were to come in that would bring in an issues with taxes and <br />therefore, he would be surprised if that portion were transitioned to for profit. <br />Chairperson Steffen asked if this were to be approved, is this the last raining piece to get this <br />project over the hump. <br />Economic Development Manager Sullivan stated that he cannot answer that, but the developer has <br />indicated that they need this assistance in order to get there. He stated that the project involves a <br />lot of fundraising and donations. He stated that TIF is not an option because of he nonprofit status. <br />Chairperson Steffen asked the closing date for the purchase agreement. <br />Economic Development Manager Sullivan replied that te is July 31s <br />Chairperson Steffen noted the goal to bring restaurants into i mmunity and noted that it is not <br />typical to have a nonprofit operate a restaurant therefore he w. doubtf 1 similar requests would <br />come forward. He stated that the program has b used a few times in the last ten years and he <br />believes it is a good program to have. He stated t at it would appear the question is whether to <br />grant an exception to the current policy for the program or to change the program and noted that <br />he does not have a prefer <br />Member Cords stated that he likes idea of gran ' s e exception and did not see a need to alter <br />the program. <br />Member MacLennan agreed. ` e stated that the DA will evaluate each business. He noted that <br />this is eat organization that wirovide a good service, but he would want the ability to <br />eval . ch business. <br />Ink <br />Member 0 sked the reason for omitting nonprofits from the policy to begin with. <br />Economic Development Manager Sullivan replied that this policy was created prior to his time <br />with Ramsey. He stated that the provision was likely included as a nonprofit does not generate a <br />tax base. He stated that there is the ability to grant an exception. <br />Member Riley commented that he would want to elaborate on what the exception is and why this <br />nonprofit is being allowed to avoid having to grant similar exceptions in the future. <br />Economic Development Manager Sullivan noted that this project is within The COR and on City <br />owned land. <br />Economic Development Authority/ July 8, 2021 <br />Page 5 of 12 <br />