MINUTES OF THE PROCEEDINGS OF
THE BURLINGTON, IOWA CITY COUNCIL
Special Meeting No. 8
May 12, 2003
THE BURLINGTON, IOWA CITY COUNCIL
Special Meeting No. 8
May 12, 2003
The Burlington City Council met in special session at 4:30 p.m. in the City Manager’s office with Mayor Scott, Council Members Baker, Edwards, Kellogg and King present.
SPECIAL MEETING NOTICE ACKNOWLEDGED
PUBLIC HEARING:
1. Statement: Consideration of A Resolution Approving Development Agreement with Ambrose Development, Inc., Authorizing Tax Increment Payments and Pledging Certain Tax Increment Revenues to the Payment of the Agreement
COMMENTS: The City Manager stated that the Resolution provides for the approval of a development agreement with Ambrose Development, Inc., authorizes tax increment payments and pledges certain tax increment revenues to the payment of the agreement. He stated that the development agreement would provide jobs and housing opportunities. The Deputy City Manager stated that the agreement also sets out Ambrose Development’s responsibility for the redevelopment of the Mercy Building. He stated that the agreement provides that the City shall improve Fourth Street and Court Street adjacent to the property as well as install historic period lighting in the area. He stated that the lighting would be similar to lighting installed in North Hill Park and it was the intent of the City to maintain public parking on these streets. He further stated that the City shall pay to the developer the $671,000.00 received from Great River Medical Center less expenses already paid. Those funds will be deposited to Ambrose’s account at Hills Bank and Trust and withdrawals from the account shall only be made following approval of the City. In addition, the City shall rebate to the Developer $400,000.00 in incremental property taxes received from the property over a five year period, however, this amount may needed to be adjusted based on actual tax collections. In the event tax collections are less than $80,000.00 annually the Developer shall receive 100% of incremental taxes received by the City. If necessary, to assure a total of $400,000.00 is paid to the Developer, payments may be extended as needed. Council Member Kellogg questioned if all floors were sold. Glen Patton, Project Manager for Ambrose Development, Inc., stated that recently three floors had opened up, but those floors would be quickly marketed. Council Member Baker questioned why the buyers backed out of the deal. Glen Patton stated that he was unable to state the reasons due to privacy rights. Council Member Edwards questioned how the City was paying for the improvements to Fourth Street and Court Street. The Deputy City Manager stated that the improvements to Fourth Street and Court Street would be a part of the 2004 Overlay Project. All present had opportunity to speak and nothing additional was filed in the office of the City Clerk.
Motion to Close CARRIED
Resolution Approving Development Agreement with Ambrose Development, Inc., Authorizing Tax Increment Payments and Pledging Certain Tax Increment Revenues to the Payment of the Agreement
DISCUSSION: None.
(VOTE: 4 - “AYES” KING, KELLOGG, EDWARDS & SCOTT
1 - “NAY” BAKER) ADOPTED
ADJOURNMENT: 4:45 p.m. APPROVED: May 19, 2003
Kathleen P. Salisbury, C.M.C. Timothy E. Scott
City Clerk Mayor
(See tape on file in the office of the City Clerk for complete discussion and documentation.)