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TWO POSSIBILITIES FOR CITY HALL CONTINUED:

That parcel was slated in 2008 to become the Bayfront Project that envisioned two three-story buildings of mixed use and a public plaza. Since then, both Bayfront, as well as the Creamery project that included two three-story buildings of office, retail, condo space, have not transpired.

Now, in 2013 there are proposals for two very different uses for the properties -- City Hall and Enki Brewing, respectively. City Hall is still in the planning stages, however, while Enki Brewing is becoming a reality.

At this time, a new City Hall has two possible sites: the Hartman property on Stieger Lake Lane and the city-owned parcel on Main Street next to the Post Office. As City Manager Don Uram said on June 24th, "Our architect has been directed to re-evaluate the plans for City Hall. We're looking at a single story City Hall for downtown that would accomplish our office needs."

A council workshop has been scheduled for Monday, July 1st, to review plans and cost estimates in preparation for the community gathering on July 9th. Mr. Uram said there will be schematic designs and cost estimates available that evening for residents on both City Hall locations.

NEW SKETCH PLAT FROM HARTMAN

PROPOSING 49 NEW HOMES FOR VICTORIA

On June 24th, city councilmembers saw a sketch plat for 49 new single family homes in Victoria on 40 acres just south of Carl Krey Lake and north of the Rhapsody development. Called the Hartman 40, it is being presented by Hartman Communities and Lennar. It will be served by Eastern Carver County School District, with water, sewer, and fire protection from Victoria.

Said Holly Kreft, Community Development Director, "The city would accept cash [$2,500 per lot] in lieu of parkland dedication because the park in Rhapsody is so close." She said the plat provides access to the Michael and Donna Tellers property to the west, and also to the Heger property along its eastern border. Holly said a sketch plat for the Heger property, 42 acres, is expected in a couple weeks.

Councilmember Joe Pavelko asked why none of the lots would be lakeshore lots. Holly replied that Carl Krey Lake is a natural environment lake; also, a developer can get more lots on the plat since lakeshore lots must be at least one acre in size.

Reported Mayor Tom O'Connor, "The Planning Commission was very, very supportive of this plat. They had thoughtful discussion. They make our job a lot easier." No action was required at this time

NO TO DEBT MANAGEMENT POLICY

MAJORITY OF CITY DEBT IS FOR NEW STREETS

Council voted 2-2 on June 24th to adopt a Debt Management Policy. Those in favor: Mayor Tom O'Connor and Councilmember Lani Basa. Those against: Councilmembers Tom Strigel and Joe Pavelko. Absent: Councilmember Jim Crowley.

Said City Finance Director Kelli Grinnell, "The Finance Committee recommended we take this to council for review and adoption." She said the resolution gives guidelines for issuing debt. She said that city debt as a percentage of the total estimated market value of the city would not exceed 3%. She said the current amount of tax-supported debt as a percentage of estimated market value is 1.02%.

Kelli identified three types of bonds the city can issue for debt, and that the city would refund debt when it is in the best interest of the city.

"There are a lot of numbers on the page," said Councilmember Tom Strigel. "At the end is the possibility of tripling our debt. It seems exceedingly high. It would be equivalent to not even having a debt policy."

Mayor Tom O'Connor pointed out that the Finance Committee is comprised of himself, Councimember Lani Basa, and Victoria citizens with finance expertise. "If this doesn't work, what does?" he asked.

Said Councilmember Strigel, "Auditors have commented on our existing high debt level. I see an incomplete picture."

Said Councilmember Basa, a member of the Finance Committee, "We looked at a number of things to guide us. The city has managed its money well. There has been good stewardship. People on the Finance Committee are well versed. There really was good discussion. This policy didn't happen overnight."

Said City Manager Don Uram, "We've talked to the auditors and our financial advisor. Our auditors are very hesitant to make comments on our finances. Every city is unique and different things work for individual cities. The majority of our debt is for streets, our infrastructure."

Said Councilmember Joe Pavelko, "I'd like to have our Finance Committee come in and talk about how their numbers were arrived at. I'd like an official workshop. It's not that I don't trust this council, but maybe in a couple of years we'll have a council that really likes to spend money."

Councilmember Strigel said a workshop would be "a good next step."

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