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HomeMy WebLinkAbout12-11-2023 EDA PacketLINO LAKES ECONOMIC DEVELOPMENT AUTHORITY MEETING Monday, December 11, 2023 Immediately Following Regular City Council Meeting City Council Chambers 1. Call to Order and Roll Call 2. Consideration of Minutes of May 22, 2023 3. Action Items A) Consider EDA Resolution No. 23-02, Approving Purchase of Tax Forfeited Property, Michael Grochala 4. Adjourn CITY OF LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY MEETING DATE: May 22, 2023 TIME STARTED: 7:04 PM TIME ENDED: 7:10 PM EDA MEMBERS PRESENT: Rafferty, Lyden, Stoesz, Ruhland, Cavegn STAFF PRESENT: Michael Grochala, Community Development Director, Sarah Cotton, EDA Executive Director The meeting was called to order at 7:04 PM by EDA President Cavegn. CONSIDERATION OF JANUARY 23, 2023 MEETING MINUTES EDA Member Lyden moved to approve the January 23, 2023 meeting minutes. The motion was seconded by EDA member Stoesz. All voted in favor; the motion carried unanimously. ACTION ITEM 3A. Consider Resolution No. 23-01, Approving Assignment of Contract for Private Development and TIF Note, AX Lino Lakes, LP (TIF District 1-12). Community Development Director Michael Grochala provided background of a 2016 approval for a Contract for Private Development with United Properties; the action also included the authorization for Tax Increment Revenue Note. In 2017, following the construction of the property, the TIF Note was assigned to AX Lino Lakes, LP, new purchaser of the property. Now, OIVF III Clearwater LLC, is purchasing the project which requires assignment and assumption of the contract for private development, the TIF note, and related documents as allowed for in the contract. EDA Resolution 23-01 approves that action. EDA Member Stoesz moved approval of EDA Resolution 23-01; EDA Member Ruhland seconded the motion. The motion carried unanimously with all members voting in favor. ADJOURN With no further business before the EDA, the meeting was adjourned at 7:10 PM. LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY AGENDA ITEM 3A STAFF ORIGINATOR: Michael Grochala, Community Development Director MEETING DATE: December 11, 2023 TOPIC: Consider Resolution No. 23-02, Approving Purchase of Tax Forfeited Land in Apollo Business Park VOTE REQUIRED: 3/5 BACKGROUND In August, with recommendation from EDAC, the Council supported the acquisition of tax forfeit properties in the Apollo Business Park to support industrial expansion opportunities. These properties were originally created as borrow pits for fill material in the development and subsequently used for stormwater runoff. The lots do have capacity that would allow for some building expansion and/or use for additional stormwater from new construction. Since August, staff has continued to work with Mountain Manufacturing on their potential facility expansion. While expansion options are still being evaluated both parties believe acquisition of the parcel located southwest of Mountain Manufacturing is desirable. Under state law governmental subdivisions may purchase the tax forfeit property from the county for an authorized public purpose. The City’s Economic Development Authority (EDA) is authorized to acquire and sell property for economic development purposes. Staff is proposing that the EDA acquire the property from Anoka County for future assembly with abutting property. The County has established a market value of $900. Total cost with recording and state fees is $1,004.65. The proposed funding source is the EDA fund. The first step in the process is to request the purchase of property from the County. The County Board will then take action on the request. Once approved and payment made, the County will request a deed from the State of Minnesota and transfer the property to the EDA. Concurrently with this request, staff will be working with Mountain Manufacturing on a purchase agreement to complete the sale at the purchase price of $900 plus any costs incurred by the EDA. It is anticipated that action on the purchase agreement would be considered by the Authority in January of 2024. The EDA will retain a public drainage and utility easement over a portion of the property to maintain drainage rights for adjacent properties. The sale may also include a right for title to revest to the EDA, at the sale price, if no improvements are undertaken within a certain period of time. The Economic Development Advisory Committee (EDAC) supported this request in August. The board will be reviewing the EDA specific action at it’s December 7, 2023 meeting. Staff will provide the Committee’s recommendation at the EDA meeting. RECOMMENDATION Staff is recommending approval of Resolution No. 23-02. ATTACHMENTS 1. Resolution No. 23-02 2. Location Map LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 23-02 RESOLUTION APPROVING THE PURCHASE OF TAX FORFEITED LAND WITHIN THE CITY OF LINO LAKESS WHEREAS, the Anoka County Board of Commissioners has identified land within the City of Lino Lakes which has been forfeited to the State of Minnesota pursuant to Chapter 282 of the Minnesota Statutes; and WHEREAS, the Lino Lakes Economic Development Authority (the “EDA”) has the authority to purchase property for economic development purposes; and WHEREAS, certain real land identified as Anoka County Tax Parcel, 18-31-22-41-0011, legally described on Exhibit A, attached hereto, is located in the Apollo Business Park; and WHEREAS, the parcel may be used for expansion of abutting industrial properties; and NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Lino Lakes Economic Development Authority that: 1. The purchase of parcel 18-31-22-41-0011 is hereby approved and staff is authorized and directed to notify the Anoka County Land Commissioner of the EDA’s intent to purchase the property. Approved by the Board of Commissioners of the Lino Lakes Economic Development Authority this 11th day of December 2023. President, Tony Cavegn ATTEST: Executive Director, Sarah Cotton 2 EXHIBIT A Legend Address Labels Parcels December 1, 2023± Map Powered By Datafi 1 in = 200 Ft Tax Forfeit Property