Tracy City Council Explores Hotel Development at City Park Site, Eyes Economic Boost
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Meeting Type:
City Council
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Meeting Date:
11/25/2024
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Recording Published:
11/25/2024
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Duration:
91 Minutes
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State:
Minnesota
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County:
Lyon County
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Towns:
Tracy
- Meeting Overview:
During the recent Tracy City Council meeting, a proposal to repurpose a city park for a new hotel development emerged as a central topic. The council deliberated on relocating the park to accommodate a three-story, 63-unit hotel, with hopes of stimulating local economic growth through increased visitor spending.
The most noteworthy discussion centered around a feasibility study presented by the Tracy Development Corporation (TDC), which proposed the construction of a hotel on a parcel currently occupied by a city park, located at 10th Street next to the Caboose parking lot. The representative emphasized the potential economic benefits, suggesting that a hotel would attract visitors who would support local businesses such as gas stations, restaurants, and shops. The conceptual design of the hotel includes amenities like a swimming pool, and the TDC representative noted the possibility of negotiating community access to the pool, fostering local engagement.
A significant consideration for the council was the relocation of the existing park, given that the current playground equipment failed to meet safety standards. The TDC representative advised that moving the equipment was impractical and recommended purchasing new equipment for a relocated park. The council was urged to consider the proposal, with a motion made to further explore the option of selling the park land for hotel development. While no final agreements were sought during the meeting, the TDC stressed the importance of investigating the proposal to capitalize on interest from Windom Properties.
The feasibility study initially identified a need for 42 hotel units, but the TDC proposed 63 to accommodate varying occupancy rates, with room prices estimated between $95 and $120. Infrastructure considerations, such as sewer and water connections, were discussed, with the TDC indicating no immediate need for tax increment financing but acknowledging potential city infrastructure adjustments.
Council members raised questions about the potential size of a new park site, fundraising timelines, and construction plans. The urgency to advance the planning process was reiterated, highlighting the opportunity to revitalize the local economy with improved lodging options. The proposal received unanimous support from the council.
In addition to the hotel development, the council addressed several other matters. The meeting included a public hearing on variance request 2024-103 for Andrew Hessie, which passed without public comment. Another public hearing focused on Ordinance number 390, aimed at removing livestock within city limits. This ordinance had sparked recent debate, with residents expressing concerns over grandfathering existing livestock.
The council discussed ongoing developments on Greenwood Avenue, a subject of past concern. The city administrator reported worsening conditions and new complaints from neighbors, pledging to keep the council informed. Staff reports highlighted community activities, including a make-and-take ornament event and a paint party planned for December, catering to older children and adults.
The meeting also explored grant opportunities, with the city opting not to pursue a grant for Swift Lake Park due to burdensome requirements. Instead, alternative grant ideas were considered to supplement future project budgets. The need for engineering plans for smaller projects was discussed, with the costs potentially matching the project budgets themselves. Plans for pathways and incorporating the Swift Lake project into a larger grant request were mentioned, aligning with the comprehensive plan to maximize funding.
The council further examined a proposal to establish a Housing Trust Fund, drawing from state funding and matching grants. This initiative aimed to address demographic shifts and the need for assisted living facilities in Tracy. The administrator outlined that every dollar invested by the city could leverage additional funds, emphasizing the importance of setting aside existing housing funds to meet trust fund requirements.
The council also engaged in a dialogue about grant eligibility guidelines, noting that current programs targeted low to moderate income individuals. Concerns were raised about citizens falling between income brackets, with a portion unable to afford housing improvements due to rising costs.
Updates were provided on various projects, including a tennis court removal project and the acquisition of a new backhoe loader. Preparations for winter were underway, with plows being installed and sidewalk equipment readied. Discussions included the potential acquisition of a courtesy van for airport users, a common amenity at smaller airports.
A notable issue involved a sewer problem linked to the old elementary school apartments, stemming from past infrastructure projects. The council learned of complications due to an active sewer line previously thought abandoned, resulting in significant plumbing costs for the new property owner. Efforts to resolve the issue were ongoing.
Pam Cooreman
City Council Officials:
George Landuyt, Seth Schmidt, Jeri Schons, Dave Tiegs, Jan Arvizu, Brian Hinrichs
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Meeting Type:
City Council
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Committee:
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Meeting Date:
11/25/2024
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Recording Published:
11/25/2024
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Duration:
91 Minutes
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Notability Score:
Routine
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State:
Minnesota
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County:
Lyon County
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Towns:
Tracy
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