07-25-2016 EDA Minutes - Laserfiche WebLink

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EDA MINUTES July 25, 2016 APPROVED 1 DATE : July 25, 2016 TIME STARTED : 8:32 p.m. TIME ENDED : 8:50 p.m. MEMBERS PRESENT : EDA Members Kusterman, Reinert, Rafferty, Maher, Manthey MEMBERS ABSENT : None OTHERS PRESENT: : Community Development Director Michael Grochala; City Clerk Julie Bartell The meeting was called to order at 8:32 p.m. by EDA President Kusterman. CONSIDERATION OF THE MINUTES OF JUNE 13, 2016 Economic Development Authority (EDA) Member Rafferty moved to approve the June 13, 2016 minutes as presented. EDA Member Maher seconded the motion. Motion carried on a voice vote. RESOLUTION NO. 16-04, APPROVING MODIFIED DEVELOPMENT DISTRICT PLAN AND APPROVING TAX INCREMENT FINANCING PLAN Community Development Director Grochala reviewed the written staff report and requested actions. President Kusterman indicated that the council already had a full report and robust discussion on this subject as part of the regular council meeting. EDA Member Maher moved to approve Resolution No. 16-04 as presented. Council Rafferty seconded the motion. Motion carried on a voice vote. PUBLIC HEARING AND CONSIDERATION OF RESOLUTION NO. 16-05, APPROVING CONTRACT FOR PRIVATE DEVELOPMENT AND AWARDING SALE OF TAX INCREMENT REVENUE NOTE Michael Grochala, Community Development Director, reviewed the written staff report. He noted that this will be a public hearing. Julie Eddington, Kennedy & Graven, counsel to the EDA, explained what is included in the proposed development contract, including the term required for construction. With respect to the tenant, the contract requires that there be an executed lease including a job requirement. Because of the statutory requirement related to a Green Acres property, the tenant will additionally be required to meet certain wage stages. The developer agrees to pay for everything related to the construction and in exchange the EDA promises a pay-as-you-go note and that will be attached to a tax increment note. The job and wage requirements will be monitored. The developer is still in the process of purchasing the property although they are in the final stages. If the developer does run into purchase issues, they can terminate the contract. The action approves the contract and provides authorization to issue the note.