09-07-2021 EDA Minutes - Laserfiche WebLink

Home Search

EDA MINUTES APPROVED DATE : September 7, 2021 TIME STARTED : 5:30 p.m. TIME ENDED : 5:40 p.m. MEMBERS PRESENT : EDA Members Rafferty, Ruhland, Lyden, Stoesz, Cavegn MEMBERS ABSENT : None OTHERS PRESENT : Community Development Director Michael Grochala; City Administrator Sarah Cotton; Bond Counsel Julie Eddington; City Clerk Julie Bartell; The meeting was called to order at 5:30 p.m. by EDA President Lyden. CONSIDERATION OF THE MINUTES OF JULY 22, 2019 Economic Development Authority (EDA) Member Stoesz moved to approve the minutes of January 25, 2021 as presented. EDA Member Ruhland seconded the motion. Motion carried on a voice vote. ACTION ITEMS A. Consider Resolution No. 21-01,Approving an Assignment and Assumption Agreement and Restated Contract for Private Development with Lyngblomsten at Lino Lakes, LLC—Community Development Director Grochala reviewed the written report. The council is being requested to approve agreements related to the Lyngblomsten project. He reviewed the benefits to the City of the project and City objectives that would be met. Mr. Grochala noted that changes to contract are requested that relate to project timing and increased assistance to the project. He explained that staff is proposing an increase of$400,000 in assistance to the project, to be funded from the Willow Ponds tax increment financing (TIF) district. The original amount of TIF proposed for the project is $3.6 million. The funding would be structured as a pay as you go note, with taxes paid reimbursed to the development. A minimal assessment agreement is also included. Director Grochala reviewed components of the agreement that remain unchanged (see staff report). He introduced bond counsel Julie Eddington and Lyngblomsten development representative Judd Fenlon who were present to answer questions. EDA Member Stoesz asked if the $4 million proposed includes tax proceeds that would go to the County and school district; Mr. Grochala said yes, the tax increment is pulled from all tax authorities except special districts. EDA Member Ruhland asked about the project value, which he heard was $60 million. Director Grochala said that is total project cost; $30 million is the assessed value. EDA Member Ruhland asked about the project schedule and Mr. Fenlon suggested townhomes in 2022 as a start. EDA Member Ruhland moved to approve Resolution No. 21-01 as presented. EDA Member Cavegn seconded the motion. Motion carried on a voice vote. 1