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City Council Minutes Page 3 <br />December 18, 2006 <br />----------------------------- <br /> <br />Mr. Maurer stated he held informational meetings with property owners affected by this <br />project. He noted there may be an issue with sidewalks due to the topography of the area. <br /> <br />MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY <br />COUNCILMEMBER DIETZ TO ADOPT RESOLUTION 06-134 RECEIVING <br />THE FEASIBILITY REPORT AND ORDERING A PUBLIC HEARING ON <br />THE IMPROVEMENT IN THE MATTER OF THE DEERFIELD 3 <br />RD <br />ADDITION STREET/STORM DRAINAGE RECONSTRUCTION <br />IMPROVEMENT OF 2007. MOTION CARRIED 5-0. <br /> <br />6.2. Resolution Approving Tax Abatement and Business Subsidy with United HealthCare <br />Services, Inc., Public Hearing <br /> <br />Ms. Mehelich stated United HealthCare Services, Inc. is requesting property tax abatement <br />for construction of a data center in Elk River. She provided a description of the project and <br />the tax abatement request. She stated the city’s financial assistance to the project is limited to <br />five percent of the completed market value. <br /> <br />Mayor Klinzing opened the public hearing. There being no one to speak to this issue, Mayor <br />Klinzing closed the public hearing. <br /> <br />Councilmember Dietz stated he is concerned how this may affect Elk River Municipal <br />Utilities (ERMU). He stated ERMU is investing between $2-3 million into this project and it <br />will be many years before they could re-coup their investment. He stated if the data center <br />went defunct, ERMU would have no use for the extra equipment they have to provide. <br /> <br />MOVED BY COUNCILMEMBER FARBER AND SECONDED BY <br />COUNCILMEMBER MOTIN TO ADOPT RESOLUTION 06-135 APPROVING <br />PROPERTY TAX ABATEMENT AND AUTHORIZING EXECUTION OF A <br />TAX ABATEMENT AND BUSINESS SUBSIDY AGREEMENT. MOTION <br />CARRIED 4-1. Councilmember Dietz opposed. <br /> <br />6.3. Consider Street Disruption Permit for Jackson Avenue <br /> <br />Ms. Mehelich stated Flannery Construction is requesting to reconfigure traffic and parking <br />on Jackson Avenue so a crane can complete framing work on the Jackson Place <br />development. <br /> <br />Councilmember Dietz questioned when Jackson Avenue would be opened to two-way <br />traffic again. <br /> <br />Dennis Anderson, Project Superintendent-Stated it will need to remain a one way through <br />the end of the construction of Jackson Place. <br /> <br />Councilmember Gumphrey suggested signage be installed on Jackson Avenue informing <br />citizens there is parking available in the rear of the building. <br /> <br />Councilmember Farber questioned when the alley next to Rivers Edge Park would be open <br />to traffic. <br /> <br /> <br />