During the community comment section, Ralph Siker raised concerns about the transparency and accountability of city spending. He questioned the clarity surrounding the developer’s required rate of return for the Macy site project and whether the $23 million offered in TIF would sufficiently cover the developer’s funding shortfall. Citing a prior council meeting from August 20, he pointed out discrepancies in the city staff’s responses and suggested that the developer might be short by at least $35 million. Siker’s comments emphasized the need for the council to provide clear answers regarding the financial viability of the Macy site project to prevent it from stalling like two other TIF districts.

The public hearing on the Macy’s site TIF proposal included detailed financial discussions. The city manager presented the TIF plan, noting its importance in facilitating complex redevelopment projects by leveraging private sector investments without imposing additional tax burdens on the public. The plan outlines the creation of an eight-acre TIF district, expected to last 25 years and generate approximately $81 million in cumulative tax increment, enhancing the tax base upon redevelopment.

Concerns about the project’s compliance with the city’s comprehensive plan and the greater Southdale plan were raised, along with the potential impacts on city services. Discussions touched on the financial dynamics, emphasizing the developer’s need to demonstrate sufficient revenue generation to repay any leveraged debt while providing returns to equity investors. The projected return on investment (ROI) for the developer was discussed, with a 3% return deemed insufficient compared to the typical investor expectation of 6% to 7%.

Public commentary also highlighted the city’s increasing reliance on TIF districts. Ralph Siker provided an overview of Edina’s 15 active TIF districts, projecting a total of $432 million in sequestered tax revenue, and questioned the transparency of the financial data regarding these districts. He expressed skepticism about the council’s decision-making process and urged residents to consider future voting behavior critically.

In addition to the TIF discussions, the council addressed other issues. Sarah Roer Maker voiced concerns about sidewalk maintenance on Concord Avenue, designated as an active route for local schools. She requested the council revisit the neighborhood’s maintenance petition to alleviate the financial burden on residents and ensure pedestrian safety. The council discussed the timing of a work session to address the issue, with Member Risser emphasizing the urgency of making a decision before winter.

Bike safety was another topic of concern, with Ryan Geick questioning the adequacy of Edina’s existing bike infrastructure. He called for better bike lanes on busy streets to accommodate the increasing number of cyclists. City staff acknowledged the importance of improving bike facilities and encouraged residents to submit specific safety requests for evaluation.

The council also delved into special assessments for various neighborhood projects. Sandy Dibble, representing the Morningside Community Church, expressed concerns about a proposed special assessment of over $25,000 for the Morningside neighborhood roadway reconstruction project. Dibble highlighted the church’s declining attendance and budget deficits, urging the council to consider options such as exempting the church from the assessment or extending the repayment period.

Residents of Blake Road voiced strong opposition to a proposed special assessment related to a roadway reconstruction project, citing increased traffic, safety risks, and environmental concerns. Several residents argued that the improvements primarily benefited through-traffic rather than the residents, questioning the fairness of the assessment.

The meeting concluded with discussions on the proposed TIF district for the Macy’s site, with the council agreeing to keep the public input period open until October 6, 2024, before making a decision on October 15. The council also addressed modifications to the Heritage Preservation Commission and Edina Heritage Landmarks.