HomeMy WebLinkAbout10-26-2000 Council Work Session PacketM
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City Council Work Session
7:30 a.m., Thursday, October 2)^2000
Orono City Council Chambers
2780 Kelley Parkway
AGENDA
Police Chief Selection Process
a. Update Regarding Applications Received
b. Results of the Police Department Organizational Review
c.Police Chief Position Profile
Personnel Matter
3. Senior Housing Project ~ Tax Increment Financing
TO:Mayor and City Council
FROM;Ron Moorse, City Administrator
DATE;October 24,2000
SUBJECT : Senior Housing Project -- Tax Increment Financing
In a recent meeting with Frank Dunbar regarding his senior housing proposal, he reiterated the
importance of substantially reduced property taxes to the viability of the project ~ in terms of
enabling targeted rent levels. He further indicated that the only feasible way of accomplishing this
is through the use of tax increment financing. The way this would work is that each year a
substantial portion of the property taxes generated by the development would be used to reimburse
the developer for eligible expenses. This revenue would enable the rents to be held at below market
levels.
Because the use of tax increment financing is key to the viability of the senior housing project, a
determination needs to be made as to whether the Council is willing to consider the use of tax
increment financing before the project moves further in the City ’s review process. Staff has
reviewed this project and the requested use of tax increment financing with Rusty Fifield of Ehlers
Associates, the City ’s financial consultant. He indicated tax increment financing is the only feasible
method of providing a financial benefit that is equivalent to substantially reducing property taxes.
It is important that the Council make a determination about whether they are willing to consider the
use of tax increment financing in relation to the senior housing project prior to the City ’s
development review process moving too much further along. If the Council would like to meet with
Mr. Dunbar and/or Rusty Fifield regarding this issue, a work session can be scheduled.
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MINUTES OF THE COUNCIL WORK SESSION
HELD AT 7:30 A.M. ON THURSDAY, OCTOBER 26, 2000
Roll
Members present:
Staff present:
Others present:
Mayor and all Council Members
City Administrator and the Police Chief
Harry Brull, Police Chief Search Consultant
1 . Police Chief Selection Process Update.
3.
Harry Brull of Personnel Decisions International indicated approximately 50 candidates have
applied for the Police Chief position. The field includes both local candidates and candidates
from various areas of the country. It is a very strong field.
2. Results of Police Department Organizational Review.
Harr)^ Brull presented the results of a Police Department review process. Harry had met with
approximately half of the police officers and support staff to gather information regarding
how effectively the department is operating. He also met with the mayors of the cities to
which the Police Department provides police services. He reported the feedback from the
mayors was that tlic Department is doing a good job of providing police services. He also
reported that there are some problem areas that are keeping the department from moving to
the next level of effectiveness. These relate to some officers feeling they are not a part of the
team. Mr. Brull will provide a written report outlining his findings.
Personnel Matter.
fhe Council discussed a personnel matter. After the discussion, the Council gave its consent
to the City Administrator’s recommendation to impose a three-day suspension on an
emplo*’“e for failure to follow rules and directives.
4. Tax Increment Financing for a Senior Housing Development.
Moorse indicate tliat a proposal for a senior housing development currently being reviewed
by staff includes a property tax abatement to enable the rental rate to be significantly reduced.
The only feasible method of accomplishing this is tnrough a tax increment financing district.
The City has not used tax increment financing as a development assistance tool in the past.
The Council indicated they were open to considering the use of tax increment financing, and
directed staff to move forward with its review of the development proposal, including a
review of the use of tax increment financing.
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MINUTES OF THE COUNCIL WORK SESSION
HELD AT 7:30 A.M. ON THURSDAY, OCTOBER 26, 2000
ADJOURNMENT
The meeting adjourned at
ATTEST:
a.m.
Gabriel J^bbour, Mayor
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