08-07-1995 WS - Laserfiche WebLink

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11/4 MY OF Agenda Section: 2 REQUEST FOR COUNCIL CONSIDERATION DUOS STAFF REPORT Report Number: 95-1424WS OI W AGENDA SESSION DATE August 7, 1995 Report Date: 8-3-95 DISPOSITION ATTACHMENT A Item Description: Discussion of Tax Increment Proposal for Bridges Technology Center Administrator's Review/Recommendation - No comments to supplement this repor q,,/ - Comments attached. Explanation/Summary (attach suppleme, sheet: .s necessary.) SUMMARY: After two months of negotiations and fine tuning regarding the Bridges Technology Park, the proposal in now ready for council/EDA consideration for both building plans and specifications and tax increment financing assistance. Jim Winkles, BelAir Builders and the owners of the venture, Larry Lindberg and Steve Peterson will make a presentation outlining the parameters of the project. In addition, Jim O'Meara and Rocky Kheen, will be in attendance to answer questions with regards to TIF and stormwater drainage issues. The project includes construction of a 31,400 sq.ft. office\warehouse building on 2.87 acres on lot 3 of the North Star Light Industrial Park previously owned by Watson Investments. The occupants of the building would be Midwest IV, manufacturer and distributor of home health care units and Laser & Cutting Technology, which cuts industrial tools with precision laser technology. Both are clean high tech operations with minimal truck traffic to impact the area. We (Samantha, Paul and I) have included information relating to the financial assistance (Attachement A) and building specifications (Attachment B) for your convenience. TAX INCREMENT FINANCING PROPOSAL: The TIF request includes three separate elements to the project for consideration. Each are based on a pay-as-you-go agreement, at 7% interest for nine increment years with payment beginning in 1997. This includes 90/10 split of the increment between the Owners and the City and 10% for administration of the agreement. As part of the purchase agreement between the City of Mounds View and Doug Watson's on the property for the golf course, the City agreed to consider TIF for lateral water and sewer connection fees and storm water retention pond for the development of lots 1, 2, and 3. 1. The agreement states that "$30,000 of the TIF would be for the drainage water retention pond to be advanced for the benefit of the first third party buyer of any of the benefited lots". The $30,000 is for the construction of a live storage pond on outlot A that would serve the development of all three lots. It is proposed to include the entire $30,000 in the agreement, which is equal to $0.24 per sq.ft. of assistance. The pond would be constructed by the developer per City codes and specifications. RECOMMENDATION;