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HomeMy WebLinkAbout1996-12-02 HRA Regular Meeting • MINUTES OF THE HOUSING AND REDEVELOPMENT AUTHORITY HELD AT CITY HALL DECEMBER 2, 1996 ROLLCALL Answering rollcall were Commissioners Kelly, Maetzold, Paulus, smith and Chairman Richards. CONSENT AGENDA ITEMS APPROVED Motion of Commissioner Kelly and seconded by Commissioner Smith approving the HRA Consent Agenda as presented. Rolicall: Ayes: Kelly, Maetzold, Paulus, Smith, Richards Motion carried. *MINUTES OF HRA MEETING OF NOVEMBER 18, 1996, APPROVED Motion of Commissioner Kelly and seconded by Commissioner Smith approving the Minutes of the HRA Meeting of November 18, 1996. Motion carried on rollcall vote - five ayes. AMENDMENT TO TAX INCREMENT FINANCING AGREEMENT FOR CENTENNIAL LAKES APPROVED Executive Director Hughes reported that last July the HRA entered • into a Tax Increment Financing Agreement with respect to the Phase I Centennial Lakes Office Building. This Agreement provided 25% of the tax increments received from this office building would be returned to the developer. Under the terms of the Agreement, the developer was required to use such payments only to pay financial inducements to prospective tenants of the office building. The developer, United Properties, is requesting that this Agreement be amended to permit tax increments to be used to reimburse the developer for project related expenses. A letter from Brian Carey was presented summarizing the issue and included recommended language for the Amendment. The proposed Amendment, in staffs opinion, does not alter the amount of tax increment financing assistance being directed to this project by the HRA. In staffs view, it is immaterial to the HRA if this assistance issued to provide tenant inducements or to reimburse the developer for project related costs. Staff recommended approval of the Amendment. Brian Carey from United Properties gave an overview of the proposed revisions to the July 1, 1996, Agreement stating the change will clarify the document. Section 5.2 states the Redeveloper agrees to use the assistance only to provide financial inducements to tenants in the building. Further into the section it is stated the assistance is being made to reimburse the Redeveloper for costs of acquisition of the property, grading and other site • improvements. Additional language confirms that the reimbursement of these qualifying costs are also a permitted use of the funds. The purpose of the language change, according to Mr. Carey, will also serve to make it clear that the Redeveloper may expend capital for these qualifying costs and tenant inducements "up-front" even though the TIF benefits will be paid out over time. Following a Council discussion, Commissioner Maetzold made a motion to execute the revised Amendment to Tax Increment Financing Agreement for Centennial Lakes as proposed. Commissioner Kelly seconded the motion. Rollcall: Ayes: Kelly, Maetzold, Paulus, Smith, Richards Motion carried. CLAIMS PAID Commissioner Kelly made a motion to approve payment of the HRA claims as shown in detail on the Check Register dated November 27, 1996, and consisting of one page totaling $20,289.65. Commissioner Smith seconded the motion. Rollcall: Ayes: Kelly, Maetzold, Paulus, Smith, Richards Motion carried. There being no further business on the HRA Agenda, Chairman Richards declared the meeting adjourned. Executive Director i I I,