By Anne Thom

Development and growth topped the agenda for the May 12 Stacy City Council meeting.

The creation of a Tax Increment Financing (TIF) district and establishment of a city Economic Development Authority were tied together in the cityís quest to build a new liquor store.

There are a number of considerations and obstacles. A June 14 public hearing on the establishment of a TIF district is pending. The council is waiting for City Attorney Peter Grundhoefer to review two resolutions for establishment of an Economic Development Authority (EDA). Todd Hagen, a financial advisor with Ehlers & Associates of Roseville, Minn., was a last minute addition to the agenda. Stacy will need to purchase the land on which the new liquor store will be constructed and then file a quit claim deed to turn over the property to the EDA. The Council launched into a 20-minute discussion and question and answer session with Hagen regarding the EDA then taking possession of the property and using its authority to take control of the land. The issue is to be discussed further at the May 24 meeting and before that meeting at a council work session. It is to be decided which of the two resolutions will be adopted and what type of bond will be issued to fund the construction.

new liquor store
Later in the meeting the council voted to approve the construction of the liquor store to the low bidder, Greystone Construction, with Councilmember Mel Aslakson abstaining. Bids ranged from $999,469 to $1,018,000. Two parcels of land need to be combined to qualify for TIF. TIF can be used for anything ìfrom the ground downî Councilmember John Daher said. The city can go ahead and survey the parcels and secure a legal description for the combined parcels. Hensel and Greystone can then buy the property and construct the liquor store. Since TIF cannot be used to support a municipal project, this represents the private sector involvement in the project. The city will then be paid for the land and can hold the money to later buy back the enterprise. Grundhoefer said the cleanest way to handle it is to involve the parties in a long-term lease. Grundhoefer also said regarding a Deposit and Disbursement Agreement to set up a TIF district to hold off on the agreement at this time and separate out TIF. As the council has followed all necessary steps for financing and obtaining the land and it is now May, Grundhoefer then asked, ìWhatís the latest date to get it (the liquor store) into the ground?î Hensel said it would the project could be completed in four months. Councilmember Barbara Otterson asked about the increase in cost related to any delay the city might run into. Daher said, ìThe old bar wonít be closed until the new one opens,î to insure an uninterrupted stream of revenue to the city.
In other liquor store business, Amy Joslin reported to the council that the auditors have finished their report and they would like to present it to the council on May 24. The liquor stores budget is carrying a surplus of money and the council approved the transfer of $70,000; $40,000 will be put into a short term certificate of deposit and $30,000 will be transferred to the general fund.

Repairing pavement
City maintenance supervisor Tom Archibald told the council maintenance is proceeding with repair of cracked pavement and is checking into the price of sealant.
Mayor Carlson said that a process or plan needs to be in place for regular maintenance.
Daher added that a plan would be helpful to the budget process. Daher reminded Archibald that the fire department still needs a statement from the city that all roads can support fire apparatus; specifically the new pumper and new tanker truck.

Drilling to start
City Engineer Chuck Schwartz is currently working on a number of issues and reported to the council first that the agreement with Royal Concrete Pipe (RCP) is to be signed with a few changes including $8,500 less in legal, engineering and administrative costs.
Drilling starts on May 11 in front of city hall. A water main is to be run. The drilling will disrupt parking at the Municipal Building.

Billing questioned
The billing of hours to the city by the company known as Landform for the services of Stacy City Planner Samantha Crosby have come up. Otterson wanted to know if the city was being billed an hourly rate or per meeting. Crosby said, ìI charge a flat rate.î For drafting the zoning memo on the agricultural district the fee was $700 and for work on the sign ordinance Crosbyís fee was $800. Crosby explained the discrepancy was the result of a change from an hourly rate to a flat fee. Crosby herself then proposed a cap of $1,000 per project. There are other projects the council would like to have Crosby work on including a swimming pool ordinance. It had been decided at the previous council meeting that Crosby would no longer accept projects from individual council members but that the council as a whole would have to agree on and be aware of what she is working on.

In other news:
ï The recent traffic accident involving two youngsters, their bicycles and a motorist driving a Humvee was brought up. The council was advised that maintenance of the crosswalks and their markings are the cityís responsibilities and not the county. The council was told the crosswalks had been repainted last year and that the paint has already been worn off.

ï Public information procedures were brought up. The council was advised to have the requestor go through the Mayor and was reminded they have the option to say ìno comment.î

ï North Branch Community Education sent a letter regarding National Night Out. There will be no event this year in the city park.

ï Birchwood Arbors will be hosting an open house in honor of its two-year anniversary.

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