10-10-1988 CC MIN - SPECIAL - Laserfiche WebLink

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e SPECIAL MEETING OF THE ELK RIVER CITY COUNCIL HELD AT THE ELK RIVER CITY HALL MONDAY, OCTOBER 10, 1988 MEMBERS PRESENT: Mayor Gunkel, Councilmembers Tralle, Dobel, and Holmgren MEMBERS ABSENT: Councilmember Schuldt ALSO PRESENT: Richard Fursman, Economic Development Coordinator Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order by Mayor Gunkel at 7:00 p.m. Richard Fursman presented an overview of current development possibilities for the downtown business district. Mr. Fursman explained that Tax Increment Financing dollars would be available for the construction of a boardwalk provided that downtown was declared a redevelopment district. Tax Increment Financing dollars would also be used to ensure the reconstruction of the hardware store. Councilmember Holmgren expressed his concern over using Tax Increment Financing dollars to help the hardware store get back on its' feet. Mr. Holmgren stated he would want to see figures on the cost of reconstruction in relation to the insurance settlement before guaranteeing the use of Tax Increment Financing dollars. e Mr. Fursman pointed out that the use of Tax Increment Financing in this case is to encourage the owners to develop property which advances the aesthetic quality of the downtown and which causes the owners to incur a higher cost than they normally would. The direct use of Tax Increment Financing for the construction of their building would be avoided and any dollars spent for that property will be used for expenses above and beyond those covered by their insurance policy. Mr. Fursman stated that timing is a crucial element with this project due to grant cycles which are coming due. Mr. Fursman recommended that a study be done which would include an environmental impact statement and three different designs to pick from for possible boardwalks. The Council concurred that an engineering study would be the next appropriate step. COUNCILMEMBER HOLMGREN MOVED TO PREPARE A REQUEST FOR PROPOSAL FOR THE DESIGN AND STUDY OF THE BOARDWALK. COUNCILMEMBER DOBEL SECONDED THE MOTION. THE MOTION PASSED 4-0. Mr. Fursman provided the Council with an update on a position taken by an outside developer on the old courthouse, located downtown, and the County Administration Building, located downtown. Mr. Fursman informed the Council that there is likely going to be an offer of $750,000.00, which is the asking price for the property by the developer to the County Board. Mr. Fursman also advised the Council tbat the County Board would seriously consider the offer made. The offer, if accepted, would lead to tbe possibility of having the Courthouse torn down and a Hardees replacing it. e