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HomeMy WebLinkAbout04-29-1995 EDA MinutesCITY OF LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY MINUTES DATE: Monday, April 29, 1995 MEMBERS PRESENT: J. Landers, J. Bergeson, A. Neal, S. Kuether MEMBERS ABSENT: C. Lyden OTHERS PRESENT: Brian Wessel, Ron Batty, Mary LaForest CONSIDERATION OF MINUTES Ms. LaForest noted in the March 25, 1996 minutes that "EDA President Lyden..." should be corrected to read "EDA President Landers..." EDA Member Kuether moved to approve the minutes with the correction noted. EDA Member Neal seconded the motion. Motion passed unanimously. CONSIDERATION OF CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN LINO LAKES EDA AND PROGRESSIVE ENGINEERING Mr. Wessel explained to the Authority that the substance of the development contracts to be considered had been agreed to by all parties, but some minor details still needed to be worked out. He requested that if the Authority approves the contracts, they do so contingent upon staff approval of any minor changes. He outlined the Progressive Engineering agreement for financial assistance and for the conveyance of public property in the Apollo Business Park. The company is building on 2.3 acres and is paying for 1/2 acre of land and assessments for later expansion. The city is contributing $129,962 in a combination of upfront and pay-as-you-go tax increment financing to subsidize 1.8 acres of land and assessments, which is 17% of the total project cost. Mr. Batty explained that he had received a letter from the company's attorney acknowledging receipt of the agreement, but had not heard from him regarding any problems. Two minor issues had been raised by the company, but they were resolvable. EDA Member Kuether requested that in the future the green sheets for development agreements specify the total amount of TIF and what percent of the project cost the city is subsidizing. EDA Member Kuether moved to approve the development agreement between Lino Lakes EDA and Progressive Engineering contingent upon staff approval of the final details. EDA Member Bergeson seconded the motion. Motion passed unanimously. CONSIDERATION OF CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN LINO LAKES EDA AND NORTHERN WHOLESALE Mr. Wessel explained that Northern Wholesale was purchasing nine acres in the Clearwater Creek Development Center. The company is receiving $608,449 toward the cost of the property, assessments and site preparation costs in a combination of upfront and pay-as-you-go TIF. The subsidy is 15% of the total project cost. Mr. Batty noted that he had talked with the company's attorney, and only minor changes were required in the agreement. EDA Member Kuether asked that staff find out what the company was charging for its leasable space. EDA Member Kuether moved to approve the development contract contingent upon staff approval of final changes. EDA Member Bergeson seconded the motion. Motion passed unanimously. CONSIDERATION OF CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN LINO LAKES EDA AND TAYLOR CORPORATION Mr. Wessel explained that the development agreement outlined the conditions for public assistance for the construction of the new Taymark facility in the Clearwater Creek Development Center. The company is receiving $800,000 in subsidy toward the cost of land, special assessments and site improvements in a combination of upfront and pay-as-you-go TIF, which is 12% of the total project cost. Mr. Batty said he had discussed the company's concern regarding the assessment agreement. The attorney requested the agreement be written so that it expired when TIF has recovered the subsidy. Mr. Batty said that was workable. EDA Member Kuether moved to approve the development contract contingent upon staff approval of final changes. EDA Member Neal seconded the motion. Motion passed unanimously. Mr. Wessel thanked the Authority and noted the cooperative effort of these companies, the city council and staff. ADJOURNMENT EDA Member Neal moved to adjourn. EDA Member Bergeson seconded the motion. Motion passed unanimously. Meeting adjourned at 5:26 p.m.