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Chelsea City Council expected to discuss process for picking new council member

Kent Martinez-Kratz

Since Council Member Kent Martinez-Kratz is now County Commissioner-elect Krantz, he will have to resign his seat on the Chelsea City Council.

So Tuesday night, Nov. 13, the City Council is expected to discuss the dates and process for selecting someone to fill the vacancy. The meeting begins at 7 p.m. in the council chambers of the new police building.

The council is also expected to hold a “hearing of necessity” for a special assessment district for BBQ 52, which has requested to be included in an REU program through the Chelsea’s Downtown Development Authority.

The program offers funds for utilities, similar to tax abatements, wherein the DDA pays the city based on an agreement between the owner of the property and the DDA.

It “provides for periodic forgiveness of the installments of principal and interest,” as part of a special assessment district for the property, but final approval at each step is up to the City Council.

The REU program was first approved by the DDA in April 2011 as a way to attract new businesses and redevelopment to the downtown district by offseting some of the costs for utility hook-ups. The DDA allocated $300,000 to fund the program in 2011-2012, $350,000 in 2012-2013 and $150,000 in 2014-1015.

The program allows for 1/12th of the original amount of the special assessment plus interest. So, in essence, it’s a special assessment that’s forgiven over 12 years.

This is the first request for assistance through the program.

Here’s part of the resolution to be discussed Thursday night: “The City Council determines that approximately 100 percent of the cost of the improvements shall be paid by the special assessment on the properties specifically benefited and approximately 100 percent of the cost will be paid by the Downtown Development Authority, subject to the conditions in the agreement to initiate special assessments for water and sewer connections and payment of the connection fees in the Chelsea Downtown Development Authority,” according to the resolution.

 

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