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City Council Minutes July 16, 2018 Page 11 would have to be acquired through property taxes. According to a study from the University of MN Extension Service, $19 million of the total cost would be paid through the sales tax from Elk River residents and $16 million would be paid by people from other communities who shop in Elk River. Most of the items on the proposed referendum list deal with quality of life issues and is what people use to decide where to live and work. He also wished to clarify it was not a permanent sales tax; once the total amount has been collected, the sales tax will end. With this in mind, he chose Option 1 as it seemed the best opportunity to acquire the necessary money at the least impact to residents. He is hoping clear communication can be provided to the voters early in September and, if anyone has doubts or questions, they will have the time to get answers prior to the general election. He sees this project as a tremendous benefit to all citizens. 8.4 Resolution: Local Option Sales Tax Referendum Moved by Councilmember Westgaard and seconded by Councilmember Wagner to adopt a resolution relating to imposition of a Local Option Sales and Use Tax and the issuance of bonds for the purposes of making $35,000,000 in certain park improvements and recreational facility improvements. Motion carried 5-0. Moved by Councihnember Westgaard and seconded by Councilmember Wagner to adopt Resolution 18-48 relating to the imposition of a Local Option Sales and Use Tax and issuance of bonds for purposes of certain park improvements and Recreational Facility Improvements. Motion carried 5-0. Councilmember Westgaard returned to the Public Forum comments made by Mr. Lorge and asked the Council if they wanted to define specifically where the $1.5 million appropriated for the senior center improvements would be designated. He wanted to know the status of the YMCA plans. Mt. Pormer said the next steps included having senior member representatives tour the YMCA and the YMCA determine what they would have to add and prepare for a draft agreement. Mayor Dietz brought up a recent article he read stating many cities are not putting money into senior specific facilities but integrating the senior citizen group with other age groups. Councilmember Olsen agreed seeing different age groups together was a good idea. Councilmember Wagner had a discussion with Mr. Lorge on "Why do you like the current facility so much?' His response was he liked the sense of community the current facility provided. He believed going to the YMCA may segregate the senior citizens and they would not see their friends as easily. P 0 V I A I G 8 Y P/rk r U P