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win. The City would benefit from this type of land swap, as the City needs commercial land in this location. However, the current CEO at Connexus has indicated he does not believe any of that land should be let go at this point. Acting Chairperson Elvig expressed concem in what the City would really be obtaining with this type of land swap, and what the net/net gain is. He stated to tmly do something for the City's behalf they need to be able to quantify the dollars. Mr. Peterson stated Connexus has done things in the past, such as donating land for the City's water tower and donating land for the City street. Connexus has been here for the City of Ramsey in the past. If the only outcome is that the City must receive the $600,000 they will always be stymied. Acting Chairperson Elvig stated his point is not necessarily that the $600,000 must be met, but it is to determine the net worth of what is agreed to, and to quantify the dollars involved. There is a mutual benefit for both parties to come out and explain their positions. At this point it is important to determine what the land that is being discussed is worth. City Administrator Norman advised there is benefit to the Council to obtain land in this area. The Council has directed staff to get into strong negotiations for Highway 10, which is going well. Some of those properties that are in prime locations, such as Holiday and Burger King, will be more difficult. When a plan is laid out it will need to be determined where the businesses with the best locations will eventually relocate. Holiday and Burger King have expressed an interest in the land controlled by Connexus; however the current CEO at Connexus has indicated the land will not be for sale. Mr. Peterson stated currently Connexus is covering the carrying charge on this land for the City. The City might want to consider a comprehensive plan for the entire 17 acres; obviously the comer is the most ideal location. There may be other uses there that are more advantageous to the other developers. If the time were to come for Connexus to market that land it would not just be for another box to be located there. There is an advantage to Connexus not to sell the land. Acting Chairperson Elvig suggested a starting point for consideration of a land swap between the City and Connexus at a $200,000 purchase price for 1 ½ acres. Mayor Gamec noted the need to determine the values and the tax base involved. Mr. Peterson noted the possibility of discussing an agreement where Connexus is still paying the taxes and maintaining the land. Mayor Gamec stated the key would be to work together on economic development and the right businesses, with the land transfer done in the future. This would benefit the long range tax base. Councilmember Jeffrey questioned what the responsibility is regarding the under-billing if there is no land deal available. Finance Committee / February 14, 2006 Page 5 of 6