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Mounds View EDA July 11, 2005 Regular Meeting Page 3 87 Economic Development Coordinator Backman referenced the packet provided to the 88 Commission noting that it includes a letter of explanation from Mr. Seipp discussing the estimate 89 for the current project, an estimate done in April by RLK, and an estimate done by SYSCO’s 90 Houston Engineers showing a higher estimate of costs due to the construction and engineering 91 work that would have to be done, especially with the electrical work due to the need to relocate 92 some of the utilities. He explained that he had asked them to provide a breakout of what the 93 stormwater/wetlands portion of the project would be and reviewed the numbers with the 94 Commission. He clarified that he is not suggesting that the City fund the parking lot but he is 95 suggesting that if there is a consideration for this project that it be limited to the stormwater 96 management and items typically dealt with through the Rice Creek Watershed District. He 97 reviewed the existing conditions stating that the project would relocate the pond further to the 98 southeast and it would move the road further to the east. He provided a brief overview of the 99 proposed parking areas and explained that the three acres, previously donated to the city, would 100 be needed for the additional parking if they move the pond further south. He provided the 101 Commission with an overview of the project timeline noting that it also includes a comparison of 102 the estimates and what they are asking for in addition to a breakdown of costs per job within the 103 overall project. 104 105 President Marty referenced last two pages noting that the amount for SYSCO’s stormwater 106 management is $250,000 and it also shows the EDC’s recommendation for $250,000 and asked if 107 this would be $500,000 or are these two numbers referring to the same amount, $250,000. 108 109 Economic Development Coordinator Backman explained that the EDC considered this request in 110 June and their recommendation was to fully fund the request at $250,000. He stated the request 111 is for $250,000 and the recommendation is for the $250,000 noting that the EDC does have the 112 ability to set other limits if they wish. He noted total cost per square foot is not applicable 113 because they are not talking about a building addition, they are talking about a parking lot 114 expansion and utility costs. He referenced the city cost per job noting that this is the typical unit 115 of measurement in economic development terms, shows $2500 and total investment per job 116 created would be approximately $12,000 in capital investment for both private and public 117 investment. 118 119 Vice President Stigney asked if the TIF contribution would be an upfront contribution and would 120 it be a pay as you go or is this a grant. 121 122 Economic Development Coordinator Backman stated that they have asked for upfront noting that 123 it could be a pay as you go over a period of time. 124 125 Vice President Stigney clarified that this is in TIF District 3 and asked if this proposal were 126 granted would the funds be taken from TIF District 3 or from pooled funds taken from all of the 127 district funds. 128