The Elk Grove City Council will be discussing the proposed incentives for the Ridge Shopping Center project that includes Costco and whether to make any proposed changes to the city ordinance regarding RV parking in residential areas.
It was over a year ago that Costco announced plans to build a store in the city near Elk Grove Blvd and Bruceville Road. After a community meeting, with a deeply divided audience, the proposal went before the city council where it was eventually approved. Since then residents have been asking when the store would be built. There were rumors of Costco seeking incentives, or backing out of the deal. In the last couple of weeks details emerged about a request from the developer for $8 million in incentives. The incentives would come from the additional sales tax revenue that Costco brings to the city. According to the staff report, the city will receive $27 million in sales tax revenue over 25 years, AFTER the $8 million in incentives is paid out.
The full staff report on the proposal can be seen here Ridge Center Incentives
Highlight from the report:
Approval of the Economic Incentive Agreement would have no effect on current City revenues, or future City revenues not derived directly from the Project. Staff estimates total net sales tax revenue to be derived from the Project (after the City’s payment obligations under the Agreement are satisfied) to be approximately $27,893,195 over the 25 year term of the Agreement. Staff estimates total sales tax revenue to be generated by retail projects in vicinity of the Costco Project over a 25-year period to be $42,521,970, for a total positive fiscal impact of the Project to the City of $70,415,165 in future dollars.
The council will also revisit the topic of RV parking in the city. In 2006 an ordinance was passed that restricted RV parking within the city limits. In 2012, it was amended to allow or grandfather in, those who had purchased an RV prior to 2006. Earlier this year the council heard a request from two citizens to amend the ordinance. On a 4-1 vote with Steve Detrick dissenting, the council voted to look into the issue and possibly repeal the ordinance at a later date. The issue became a hot topic on social media and according to several council members, the feedback received was overwhelmingly against changing the ordinance. At a subsequent meeting the council asked staff to cancel any further discussion on the topic, but due to the fact that it was already requested as an agenda item, the council will would have to wait for the item come before them. The council is expected to vote tonight to keep the current ordinance as is.
Other items on the agenda include a request from developers of a proposed AM-PM minimart and gas station on the corner of Whitelock Parkway and Bruceville to sell beer and wine. Staff Report
Council meetings begin at 6 pm in the council chambers located at 8400 Laguna Palms Way, Elk Grove, 95758.