The developer Patrick Brahma with Enclave companies is here with us this morning and here he's prepared to respond to several questions that have been posed to him over the last couple weeks about his proposals.

The direct answer is the this project that was approved on 9917 wouldn't work there is there is a financial gap... if anybody hasn't heard it this project wouldn't move forward uh we're not in a position financially to make it work without Tiff as approved.

We've attempted to be transparent that we knew a financial gap existed on the project and that that this discussion would be needed and that assistance would be needed at some level... we've tried to be transparent that that would be the case on this project from the very beginning.

We're going through this question because we're being asked uh this is not we're not requesting changes these changes we're not opposing these changes uh we are aware and we're made aware and are conscious of the city's policies that they have in place sustainability policies affordability policies comprehensive plan small District plans... a core value for Enclave is that we we don't want to be the developer that's going into the communities and to ask for exceptions to all the rules.

Everything is connected and so when I read through what you have here there's a couple of things that stand out to me... the project that we have in front of us right it's a it's a beautiful project right when you step back and you think about the vision in that space um I think it's a beautiful project um but I do think our processes kind of lead us toward an outcome fairly early on in the process.

This project would not occur but for Tiff like we talk about Tiff Tiff Tiff Tiff and what we really should be saying is right the city needs to make an investment in this project well what are the options for that well tip is one of those right we also look at Grants right we could do bonds we there's lots of things we could do.

You could argue with your land use strategy points as a city we perhaps we can't really afford our comp plan because there's a gap there all right well if that's true then what do we need to do as a city um to make sure that the things that we have in there we can achieve maybe we can achieve them in a longer period of time maybe we can structure projects differently.

We're also looking at a um a proposed tax lever increase of 133% now we're doing some work on that... if we do this project or a project and we use Tiff we definitely create more tax capacity but it sits in the district for whatever the time frame we set for that that tax District so if we're in a position where we need additional Revenue could it be better for us to have a project that can be done in two years without Tiff maybe it's not 300 50 um million in tax capacity maybe it's 150 but that 150 goes directly to the general fund once that project is complete.

I do think that um commissioner pierce the way you framed it up of do we need to change what it is that we're looking for our comprehensive plan like does our comprehensive plan need to change if we want to set a specific threshold or cap or goal of what Tiff is for a city.

If if assuming no assistance at all we would have never worked on this project it's if we knew it wouldn't be a possibility for that discussion period that I we don't think a project works here that meets because the only way for us to make it work would be for me for us to ask for a bunch of variances that's that's the honest I mean that's we would have to ask for several variances and waivers to policies.

We're using a kind of a passive investment strategy in this we're deferring the benefit that's created to the tax base in order to obtain all of these amenities that we want in this project and at the end of the day it's going to come back onto the tax base eventually and add to the pie of the ex existing taxpayers um but not for the period while the Tiff district is established.

What I think it was about $10 million in Tiff donut 50th in France right yeah the the Tiff uh at 50th was a $10 million Tiff note and so every as I recall every 6 months now they're paying $600,000 worth of taxes and based on them doing all the work now they're getting reimbursed 90% of that probably goes back to the developer to reimburse them for the money they expended until the $10 million is satisfied plus interest.

Our deadline is January 10th um so we're trying to back into that and and U to be candid it's getting very tight and so um we're closely monitoring that And discussing that with Macy's... we're under a time crunch right now um as far as uh debt and Equity uh the the Full Construction lending the full final debt and Equity that's something that will come into play before construction starts.