Council moves to continue TIF discussions into 2024

b Richard Uhlhorn

Community Development Director John Ajaz gets permission to continue discussions with the Junior Taxing Disrict for the foreseeable future.

John Ajax, community development director, told the Chelan City Council that the City hasn’t reached an agreement with either the Fire District or EMS (hospital) on the Tax Incremental Financing (TIF) proposal that will provide secure water delivery for years to come in what is being called East Chelan.

The infrastructure proposed to be constructed would include a water transfer system from the City limits on the west side to the east end of the City at Apple Blossom Center and down toward the fruit warehouses. It will also include a one million gallon reservoir.

The Junior Taxing Districts are concerned about the loss of property tax funds potentially derived from new construction within the TIF area which only represents two percent of each taxing district’s area.

“We have presented an alternative proposal to the Fire Department but are now recommending to continue negotiations,” said Ajax.

The third option was passed by the Council and stated:

“I move to continue negotiations with Chelan County Fire District 7 and EMS throughout 2024 to allow additional time to evaluate the potential impacts of service levels within the Tax Increment Area (TIA).

The City, of course, hopes to find alternative funding sources through legislative bodies including Federal funding for the project.

Councilman Chris Baker asked if Chelan was still the only City proposing a TIF program. Ajax replied that another City that has a TIA that is much bigger than Chelan.

Ajax added that a plan was in place, but no funds were available to begin.

In other business:

The City held a public hearing at the beginning of the meeting on the 2024 Property Tax Levy. Finance Director informed the Council that a one percent passage as allowed by law would increase the City’s Property tax to $1,866,471.17 or an increase of $86,945.52.

Most of the property tax revenues go to the Public Works Department.

The Council approved three motions before them:

An extension agreement to extend the  Social Media Management Services with Chelan Social from $40 per hour to $45 per hour.

A Task Authorization to RH2 Engineering for the West Woodin Avenue and Center Street Pedestrian Crossing design and a professional services agreement with SCJ Alliance for the Lakeside Trail Design

City Engineer Travis Denham told the Council that SCJ would be working on design and permitting along with holding two public meetings regarding the Lakeside Trail corridor planning. The design work will cost $338,996.

Mayor/Council comments:

Peter Jamtgaard said he appreciates the work that Mike Steele has accomplished as Chamber Director.

Tim Hollingsworth talked about the possibility of moving forward on the North Shore Pathway in the near future.

Tim Hollingsworth attended an RCO meeting and remarked that the Northshore Pathway from Manson to Chelan was still in the works. “There is considerable money out there to build that,” said Hollingsworth. “It would get the pedestrians and bicyclists out of the traffic lanes and increase safety.”

Erin McCardle said she had attended a Washington State Tourism Conference in Yakima and stated that she learned a lot about creating a set of community values and how to measure that success.

Mayor-elect Erin McCardle

McCardle also said that the Mayor race was still not certified. “The Mayor and I have a great relationship and I’ve learned a lot from Bob,” said McCardle. (At this writing it appears that McCardle will become Mayor Elect.).

Outgoing Mayor Bob Goedde

Goedde said the percentage break between the two probably wouldn’t change and McCardle would take his place as Mayor. “I hope you have a good time.”

City Engineer Travis Denham reported to the Council that Public Works has installed a new pump at the Darnell Pump Station. “It was a big job getting a big piece of equipment installed,” he said.

Wade Farris said he and Bob attended the ICC meeting. “It was my first time and and it was worthwhile. There were some good ideas on how to fund water projects.”

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Author: allthingslakechelan

I have been a journalist, photojournalist and reporter in the Lake Chelan Valley since 1988; first with the Wenatchee World, then 15 years at the Lake Chelan Mirror and another 12 years at GoLakeChelan. Currently, I am semi-retired but can't give up the media gig which is why I started All Things Lake Chelan blog. I also have two social media platforms; allthingslakechelan/facebook and lakechelansportsandrecration/facebook. I am also a professional photographer with many credits with major outlets around the world.

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