CCP 01-24-2012 - Laserfiche WebLink

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Repayment of Miller Dump Note and Contract for Deed Director Fernelius reported that in 1990, the City acquired approximately 17 areas from John and Wanda Miller; an area that was often referred to as the "Miller Dump". Mr. Miller donated 8 acres and then sold roughly 8 acres ($350,000) to the City on a contract for deed. The City has been paying off the contract for deed since that time and has an outstanding balance of approximately $38,000. Under the repayment schedule the note will be completely paid off in August of 2013. The City does have the right to pay off the contract early which is the staff's recommendation at this time. The City is choosing to pay off the note at this time because it will make it easier to re-plat the property and record the necessary pond easements against the title. Financial Projections Director Fernelius reported that staff is still working with Ryan Co. and our consulting team to refine the development assumptions and projections for New Brighton Exchange. The biggest challenge for Ryan is getting a better handle on the extraordinary site costs for the east side. These include environmental and geo-technical issues. Ryan provided detailed cost estimates, which staff plans to review and discuss in a meeting scheduled for December 15th with the company. Chair Zisla questioned if the City has an anticipated cost recovery threshold. Director Fernelius responded stating that the City is aware of its total debt, and what tax increment will be needed to support that. The project will need to be self-sufficient post 2024, once the TIF districts decertify. Director Fernelius stated that he would like to have up to three scenarios prepared for analysis. Chair Zisla asked if the market will support higher density residential. Commission Neumann-Walker expressed concern with the possibility of having too many rental housing units in the City. Director Fernelius reported a recent study indicated that New Brighton can support 800-900 new units of additional housing, noting in order to provide that, higher density housing will need to be considered. Commissioner Murlowski stated that renting is becoming more appealing to many people recently. Chair Zisla questioned the next steps. Director Fernelius reported that he would like to review the financial analysis in the first quarter of 2012, followed by a discussion related to development guidelines. Director Fernelius stated that he would expect to see commercial development occurring on the east side in the near term, rather than a lot of additional housing development. Director Fernelius reported that The View has a non- exclusive right to develop on site G until January 1, 2013. Commissioner Smith asked if there are any interested parties currently. Director Fernelius reported that there is a downtown office user that continues to show some interest and is evaluating their options. Financial Projections Director Fernelius stated he is hoping to have the financial models in time for a January 2012 meeting. Chair Zisla questioned if it would be better to meet in February 2012 when the financial models are likely to be ready, or would if it to be good to meet in January to prepare an outline. Director Fernelius stated he is open to postponing the meeting if that is the commission's desire. The consensus was to wait until the meeting date approaches and make a decision regarding the January 17, 2012 meeting based on the material that would be ready. Other Topics Temporary Sign Discussion Director Fernelius reported that over the course of the last couple of months the Planning Commission has been reviewing the City's sign code, especially with regard to temporary signs.