ITEM 3.2B SCC 2.24.2014 MinutesITEM 3_20
SPECIAL CITY COUNCIL MEETING
OTSEGO PRAIRIE CENTER
February 24, 2014
Call to Order.
Mayor Jessica Stockamp called the meeting to order at 7:32 PM.
Roll Call: Mayor Jessica Stockamp; Councilmembers: Vern Heidner, Jason Warehime, Doug
Schroeder and Tom Darkenwald. Staff: Lori Johnson, City Administrator; Dan Jordet,
Administrative Services Director and Ron Wagner, City Engineer.
The agenda was amended to include: Tax Abatement for Duke Property and Administrator
updates.
1. Pavement Management,
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City Administrator Johnson began with overview of the process so far. Stated that this meeting
will cover engineering and background information for the plan. Stated that future meetings
would refine the information to allow Council to make the "big decisions" on basic rules to be
promulgated by the policy.
City Engineer Wagner presented a PowerPoint recitation of the criteria to be discussed and the
best practices solutions to the questions of how streets should be maintained.
The Council requested that a bullet point list be made of the decisions to be considered in
assembling this policy and that it be presented to the Council at another special meeting to be
held on March 10, 2014 directly following the regular City Council meeting.
2. Tax Abatement.
Terms of a tax abatement assistance package for construction of a new facility in the Gateway
North Second Addition were presented and discussed.
One method for structuring this abatement would be to terminate the first abatement
agreement and develop an entirely new abatement agreement. This would, however, delay the
collection of the first abatement proceeds by two years.
Another method would be to determine what remains of the original abatement agreement,
what would be available to the Developer under this agreement and draft a document
supplemental to the first agreement detailing the abatement terms and amounts. Staff has
been working with the Developer and the City's economic development attorney to draft an
agreement to facilitate this second option. It will be presented at the March 10, 2014 regular
Council meeting during a public hearing scheduled for that date on the issue. The Council
concurred with the second abatement in the amount of $340,000 based on a total of $160,000
for the first abatement; 50 percent of the City tax paid to Duke with the City receiving 50
percent; a term of seven years.
3. City Administrator Updates.
Consultants to provide assistance for Economic Development strategic planning have been
contacted for proposals. Two proposers have responded positively and will be submitting
proposals.
Capitol Day for Otsego has been arranged by Senator Kiffineyer for Thursday, March 6, 2014.
Suggestions on others in the community to invite will be helpful.
4. Adjourn.
CM Darkenwald motioned to adjourn. Seconded by CM Warehime. All in favor.
Motion carried. Adjourned at 9:32 PM.
ATTEST:
Mayor Jessica Stockamp
Dan Jordet, Administrative Services Director