Loading...
HomeMy WebLinkAbout04-10-1995 EDA MinutesCITY OF LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY MINUTES DATE: April 10, 1995 TIME: 6:05 p.m. MEMBERS PRESENT: V. Reinert, S. Kuether, A. Neal, J. Bergeson, L. Elliott MEMBERS ABSENT: None OTHER PRESENT: Community Development Director, Brian Wessel CONSIDERATION OF MINUTES EDA member Neal moved to approve the minutes from the Aug. 11, 1994 EDA meeting. EDA member Kuether seconded the motion. Minutes were approved unanimously. CONSIDERA TION OF RESOLUTION AUTHORIZING PREPARA TION OF TAX INCREMENT FINANCING DISTRICT PLAN FOR TIF DISTRICT 1-7 Mr. Wessel informed the board that Nol-Tec Systems, Inc., a Forest Lake based company, was interested in purchasing three acres in the city -owned portion of the Apollo Business Park. Nol-Tec is an engineering and light assembly company which designs pneumatic conveying systems. The company looked at numerous other cities before selecting Lino Lakes. The company is planning to build a 16,256 square foot facility, and has plans for doubling the building size in the future. No%Tec currently employs approximately 35, and has demonstrated consistent growth. It is selling its building in Forest Lake and wishes to move quickly to begin construction in the business park. Mr. Wessel explained that the city's TIF attorney, Ron Batty, recommended the remaining city -owned portion of the business park be included in a new TIF district to take advantage of the current low economic adjustment factor. In 1994 the decision was made to create a TIF district for each project. The situation has changed in 1995, however, and the valuation of properties within the city -owned portion of the park will be accelerating and there are several prospects considering an Apollo Business Park relocation. Putting all property within the TIF district before the valuations increase will keep the city's inflation factor low. Mr. Wessel explained that once the EDA authorizes preparation of TIF District 1-7, Mr. Batty will prepare a TIF plan, and will send it to Centennial School District and Anoka County for review. Mr. Wessel informed the board he is committing approximately $160,000 in TIF assistance on the $950,000 project. The assistance will pay for itself through generation of more than $250,000 in increment. He is in the process of finalizing the arrangements with No/-Tec. The TIF assistance will be used to reimburse Nol-Tec $8,000 in administration costs, $90,249 in assessments, and $62,400 towards writing down the cost of the land. No/-Tec will be responsible for $54,600 in land costs. He noted that Ron Batty will appear at the public hearing to explain the final TIF arrangements. EDA member Kuether moved to adopt resolution 95-01 authorizing preparation of a Tax Increment Financing Plan for Tax Increment Financing District No. 1-7. EDA Member Elliott seconded the motion. The motion carried unanimously. ADJOURNMENT EDA Member Elliott moved to adjourn. Motion was seconded by EDA Member Bergeson. Meeting adjourned at 6:20 p.m.