HomeMy WebLinkAbout01-26-1976. N
RECORD OF OFFICIAL PROCEEDINGS OF THE COMMON COUNCIL
CITY OF ROCHESTER, MINNESOTA
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President Postier called the meeting to order at 7:30 P.M., the
following members being present: President Postier, Aldermen Allen,
Kamper, Larson, McNary, Powers and Strain. Absent: None.
Allen moved,Larson second to approve the minutes of the January 19,
1976 meeting. Ayes (7), Nays (0). Motion carried.
Powers moved, McNary second to approve the appointment of Virgil
Nielsen to the position of Motor Operator effective January 27, 1976,
Ayes (7), Nays (0). Motion carried. Strain moved, Kamper second
to approve the appointment of Russell F. Clark to the position of
Firefighter effective February 2, 1976. Ayes (7), Nays (0). Motion
Carried. -
A moment of silence was observed.by the Council and the people attend•
ing the Council meeting for the tragic and untimely death of Motor -
Operator Otis. D. Ondler who died while fighting a fire on January
23, 1976.
A Hearing on the Development District Tax Increment and Development
Plans. Mr. Richard Ehrick, Chairman of the Downtown Development
District was present and wished to be heard. Mr. Ehrick introduced
the members of the Board and explained the Development District
Program . This has been divided into five parts: I, Description of.
Project which includes Boundaries, and Maps of the areas. II
Development District Framework; III. Development District General
Objectives a. Citywide objectives and b. Development District
Objectives; IV Development District Land Use Objectives; V. The
Development Program a. Street patt&4s,and traffic; b. Parking;
c. Open Spaces, Parks, River Area, General Beautification and
Aesthetics; d. Proposed Reuse of Private property; e. Pedestrian
Oriented Areas;.f. Pedestrian Accommodations g. Public building
sites; h. Environmental controls; i. Financing; j. Operation -of the
District. Mr. Ehrick stated that the Board is a Board which was
established by the Common Council in 1974 pursuant to the Minnesota
Statutes on Development districts, and the function was to advise
you on matters relating to the establishment and implementation
of a Development district. The plans which are on file in the City
Clerk's office on the Development District Program and the Tax
Increment Finance Plan also on file with the City Clerk are a result
of the recommendations of this committee. Mr. Carl Laumann, Member
of the Board presented the Tax Increment Finance Plan whi:ch included
the fo 1lowing: A. District Boundaries - Map.No. 1 - B. Objectives;
C. Development Program; U. Cost of the Development Program; E. Source,
of Revenue a. Tax Increments ; b. Other Revenues; 'F. ' Bonded Indebetedi
,to be incurred; G. Duration of the Program's Existence; H. Estimated
'Impact on Taxing Jurisdictions. This program is also on file in the
.City Clerk's office. Mr. Laumann explained the charts found in the
Tax Increment booklet, and the methods of financing the development
.projects. Mr. Clarence Simonowicz,Consultant of C.R.S. and Associate!
ess
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2180 Upper Afton Road, St. Paul, Minnesota was present and presented
RECORD OF OFFICIAL PROCEEDINGS OF THE, COMMON COUNCIL
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CITY OF ROCHESTER, MINNESOTA
Adjourned Meeti nq No. 36 - January 26. 1976
programs that he had experience with. He stated Minneapolis was
done under a different set of laws but St. Paul Development District
was similar, and he explained how this plan worked, he explained
what took place, including the skyway system, and the parking ramp.
He explained what was bonded, and how this would be paid back.�Mr.
Simonowicz is. confident that this can take place in Rochester.
President Postier then recognized Mr. Willard Knapp of 730 5th St.
S. W. who.,wished to be heard -Mr. Knapp was wondering if the traffic
flow would change in downtown Rochester. President Postier stated it
was to premature to the Council at this point to state a definite
traffic flow pattern. Mr. Richard Ehrick brought out a problem and
asked " What happens if no development, comes in " ? Mr. Sinomowicz
stated that a guarantee of development is necessary before the bond
issue is initiated: Alderman. McNary questioned the identity of the
block for development and would they _consider just a portion of the
block for development or wait until the whole block is under consider.
ation for development? Mr. Simonowicz stated that they begin in the
very early stages of development. Mr. Laumann stated that the
assistance of an Administrator to work with the developer is necessan
to study what the city`s commitment: -As. President Postier asked when
we could get a performance bond on the projects, and Me. Simonowicz
stated that after the.project planning has been done and the City
has identified the costs but an`agreement,would-have to be made
by the developer, but the bond would have to be issued before the
purchase of property and the demolition of buildings. Mr. Collan B.
Kneale of 920 Elton Hills Drive wished to be heard and wondered about
what the control 6.f!� the City would be for land outside of the 99 acre',
designated for the development district. President Postier stated
it would remain as it has been in the past. The Planning Department
would receive any changes, zones, etc. and they advise the Council
who make the final decision. Marilyn Wick of 604 21st St-.-.N. E.
wished to be heard and questioned the.taxing of private businesses
for improvement in the downtown development, such as new development
ripping up sidewalk etc. would they have to pay for this over again.
President Postier stated that past policy has been not to assess the
property owner over again, if the City is responsible for removing
a portion that is in good repair. This however would be a method
of financing the project-. Mr. Richard Ehrick stated that the Council
would have to decide on that method, but they could rely on the tax
increment to cover this. Mr. Darryl Lee of the Chamber of Commerce
was present that wished to be heard, and Mr. Lee spoke on behalf of
Mr. Howard Winholz and stated that the Chamber supported the concept
of what is being done in the development of the downtown. He congrat
ulated the Council on the selection of the board, stated they did an
excellent job and it is progressing fantastic, and now urged the
Council to grab the "bull by the horns" and get going and do somethin,
with these plans, and that the Chamber of Commerce would be happy to
work with them. Mr. James Sheehan of 1644 Wilshire Drive, who is the
manager of the Rochester School District stated that the school is th
major source of taxes and was concerned about the tax increment, but
stated that the tax increment provides an avenue for needs.in the
community and if this. method_of financing would be -accepted, they
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CITY OF ROCHESTER, MINNESOTA
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would receive money from the State and less from the City..
Alderman Allen questioned the increase in duties from the various
department heads, and -would it effect the work load in the department!
Mr.Ehrick stated that it would not be expected that any extra burden
be implemented on city departments. Alderman Strain wondered.what
would happen to a business that wanted to return to the same location
they were presently in. Mr. Ehrick stated that cooperation is urged
from the business to relocate them, and eminent domain is the last
choice. Mr. Simonowicz stated that certain funds are available to
help businesses find a new location but one move is paid to businesse!
and -only one move. Having no one else present that wished to be
heard, President Postier closed the hearing. Larson moved, McNary
second to instruct the City Attorney to prepare a resolution
approving the proposed plans., Ayes.(7), Nays (0). Motion carried.
Having no further business, Larson moved, Allen second to adjourn the
meeting. Ayes (7)., Nays (0). Motion carried.
City Clerk
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