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Planning Commission <br />Meeting Minutes <br />June 25, 2020 <br />Page 3 of 24 <br /> <br />He also mentions that the surpluses generated to the debt service fund occur because <br />the existing city debt service expenditures are not directly attributable to the proposed <br />development. The analysis also highlights the city’s reliance on sales and use taxes. <br /> <br />Commissioner Questions of Consultant: <br />Moline asks if Bise knows what the city’s overall debt commitment is and how much of <br />a contribution that will total that will factor into the city’s overall debt burden. Can the <br />debt service fund be utilized in other areas? <br /> <br />Bise says he will have to get back to him for the first question. As for the second <br />question, he says he does not have an answer for that. He thinks it may be possible to <br />change the debt levy. <br /> <br />Diehl states that for over 20 years, the open space and parks and rec funds look as if <br />they were breaking even. In terms of capital dollars, it is about two million dollars a year. <br />Is that an appropriate way to look at it? <br /> <br />Bise says yes, you could look at it as staying generally neutral. We did not take into <br />account that there is likely to be metro districts established. As part of this analysis, the <br />city would be building parks and roads and developers would be paying impact fees. To <br />an extent, those things are mitigated through metro districts. <br /> <br />Diehl asks if that means that there is an additional cash flow coming in for the city. <br /> <br />Bise says that it is complicated. If the metro district provides the parks, a certain portion <br />of the parks and open space land is likely to be credited to the impact fee amount. It is <br />difficult to say what will be classified as system wide improvements versus <br />improvements that are just serving that development though. It is the same with the <br />road network. He says that they cannot accurately project at this point what is an impact <br />fee eligible expenditure from the metro district and what is not, so they have just <br />modeled based on the entire relationship. <br /> <br />Brauneis asks if he can you go more into detail of what is driving those deficits for the <br />open space fund. <br /> <br />Bise first describes what is a special revenue fund and how those funds are not <br />covering the costs today of open space and parks funds revenue. He says that every <br />year, the general funds transfer money to balance out those budgets. If you are looking <br />at a balanced budget and you are going to maintain a certain level of services, it is <br />always going to run as a deficit. <br /> <br />Brauneis asks if that is for maintenance as well. <br /> <br />Bise says it is for programs, maintenance, administrative and a portion in the capital <br />fund because the funds are covering for everything. Some of the impact fees are <br />transferred into the open space and parks fund but they also are transferred into the <br />capital improvements fund. <br /> <br />Rice asks Bise to speak to the third column of the fiscal analysis summary.