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Vice Chair Nagler commented that the Council made a specific recommendation that if sales <br />tax sharing was not adequate to payback the amount that had been advanced then at the end <br />of the period if there was any balance left over this would be Costco's loss and the loan to the <br />City would be forgiven. <br />Mr. Beaudin clarified that the payback period varies based on how much sales tax is <br />generated. It is a 60/40 split and it could be 20 years, 12 years or sooner and he wanted to <br />clarify this point. It is not a loan but an advancement of funds and funding infrastructure <br />improvements. The sales tax pays back for that improvement made to the public infrastructure. <br />Vice Chair Nagler asked if the maximum number of years the advance would be repaid was 20 <br />years. <br />Mr. Beaudin clarified it is a maximum of 25 years. <br />Commissioner Ritter referred to existing businesses and change of use, if FedEx moved out <br />and UPS wanted to move in, he asked if they would be able to move into the space based on <br />the grandfather clause or would this be a change of use? <br />Mr. Luchini stated this would be a change of use and most likely would have to follow the new <br />listed uses; however, in this instance, it would be at the discretion of the director to look at <br />some sort of substantial compliance. If it is a short or very long period of time they vacated out <br />of the building it may make sense to allow this, and he asked for Mr. Beaudin to comment. <br />Mr. Beaudin said to be clear, because Commissioner Ritter used this specific example, there is <br />a footnote put into the use table because there was interest in being able to maintain those <br />uses and have conforming industrial uses. Anywhere in the EDZ, grandfathered uses allow <br />changing like for like. He explained, this particular site will have additional flexibility with <br />industrial uses the way the footnote is written. <br />Commissioner Ritter asked if this also applied to the AT&T site. <br />Mr. Beaudin said no; that site is not large enough to meet the criteria. <br />Commissioner Allen stated her questions are related to use. She asked what criteria were <br />used for defining the uses seen here, knowing the objective is to increase the economic vitality <br />of this area. As an example, a massage parlor with less than three people is permitted versus <br />greater than three people is not permitted. <br />Mr. Luchini said early on, Nearon came to staff and had some ideas about some of the uses <br />they would like to see. Staff took a code based approach and looked at some of the <br />Freeway -Commercial and Central -Commercial Districts list of uses at that time. Through <br />negotiation, staff and Nearon eliminated those they thought would not add vitality in the area; <br />however, certain personal services were left in to balance out things, trying to specify the list of <br />uses they thought they could draw interest for, what the City was willing to accept from the <br />zoning perspective, and meeting the goals and objectives of the EDZ at the time. <br />PLANNING COMMISSION MINUTES, October 11, 2017 Page 4 of 13 <br />