Minutes - Council Work Session - 01/30/2007

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looking to originate, and docs not know short of circumventing the City's state senator and current representative, that the City will get the support they want to try to get this passed now that it didn't pass last year. Council member Strommen indicated the Finance Committee had a brief conversation about this, but didn't to go through the finances to determine what the need is, what is currently available, and \l.ihat the fiscal impact is of going beyond that. She has concerns about moving forward \vith this, and would not be in favor of moving forward until they have looked at the fiscal analysis. The City's debt has been tripled over the past couple years. She has a concern about committing to more debt without a clear demonstration of the need and how they will manage the finances in the future. Interim City Administrator Nelson indicated the P0I1 Authority legislation '\\'ould include a levy set up similar to the EDA levy. Mayor Gamec questioned ifit is right to continue building on the City's taxation. He stated they should be able to support some of the projects through the development. Council member Elvig stated he echoes everything that has been said. His primary concern about this is that he does not see the payback or the mechanism in place. They just had a difficult budget discussion this past year, and they are not sure the economy is back yet. This is not the time to be talking about furthering the City's debt load. Consensus o/the Council was to direct staff not to proceed with the Port Authority legislation/or the 2007 legislative session. Community Development Director Trudgeon indicated another issue staiT would like Council direction on is concerning a transit oriented TIF district through special legislation. This is something Representative Abclcr has been \\torking on. There is a general policy in the League of Minnesota Cities to expand the TIF district in a variety of things, such as the transit TIF district. Mayor Gamec asked if this legislation would be in relation to the Municipal Ramp and the Northstar Station, and would involve taxing the district around this area that would benefit. Community Development Director Trudgeon explained this legislation '\\!ould support transit activities, and could also support other activities. He explained there is transit oriented development that could support Town Center. Currently Town Center cannot rceeive TIF cxcept for housing, so there is no ability to TIF a project. The question before the Council is whether the City should pursue this type of legislation. This legislation would be introduced now for 2007. Councilmember Strommen stated the City is not in a position to do any special legislation right now. City Council \Vork Session / .January 30, 2007 Page 10 of 16