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HomeMy WebLinkAbout06-23-1997 EDA MinutesCITY OF LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY MINUTES DATE: June 23, 1997 MEMBERS PRESENT: J. Landers, S. Kuether, C. Lyden, J. Bergeson, A. Neal OTHERS PRESENT: R. Schumacher, B. Wessel, M. Divine CONSIDERATION OF MINUTES EDA Member Kuether moved to approve the minutes of April 28, 1997. EDA Member Neal seconded the motion. Motion passed unanimously. CONSIDERATION OF CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN LINO LAKES EDA AND NORTHERN DEVELOPMENT, LLC Mr. Wessel explained to the board that the development agreement outlines the conditions for public assistance to Northern Development, LLC., which is locating on 4.2 acres in the Clearwater Creek Development Center. Northern Development plans to house GNW Machine and Uptech Engineering, and lease 9,000 square feet to Prime Yield, a precision parts manufacturer. In this agreement the EDA agrees to reimburse the developer 12% of the project costs for a total of $197,737 towards the cost of the land and special assessments. A total of $120,142 for assessments and administrative fees will be presented "upfront" and the remaining $77,595 will be reimbursed over time from available tax increment. Estimated payback is 3 1/2 years. The agreement also gives the city the right to preapprove any tenants that will be occupying the building to ensure compliance with zoning and TIF regulations. Mr. Bergeson noted that this was a quality company that was paying close to $100,000 in property taxes, while having no impact on the school district and little impact on the city. He said the business owners were not warmly welcomed when they appeared before the council. EDA President Landers apologized for the lack of city support shown to the owners. EDA Member Kuether moved to approve the development agreement. EDA Member Neal seconded the motion. Motion passed unanimously. ADJOURNMENT EDA Member Kuether moved to adjourn. EDA Member Neal seconded the motion. Motion passed unanimously. Meeting adjourned at 6:23 p.m.