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Mounds View EDA July 25, 2005 Regular Meeting Page 5 C. Set a Public Hearing for August 8, 2005 for Discussion of the Proposed 170 Business Subsidy for the SYSCO Minnesota Expansion Project. 171 172 Economic Development Coordinator Backman stated that as part of the process for business 173 subsidies the current legislation requires that there be a business subsidy hearing, which has a 174 minimum requirement of a ten-day notice. He stated that Staff is looking to schedule a hearing 175 for August 8, 2005. He stated that last Wednesday Scott McGuire submitted a TIF application 176 along with a check noting that the application shows when they would like to start construction 177 and also includes a breakdown of the revised budget. He indicated that the previously submitted 178 budget was a bit low on the electrical work and has been revised to reflect the changes. He 179 referenced the portion of the budget as it relates to stormwater management and explained that 180 they are asking that a portion of the wetland mitigation/stormwater management component be 181 paid for via TIF assistance. He stated that they are in discussion with the Rice Creek Watershed 182 District noting that this is a significant component of the project, which would be the expansion 183 of the of the proposed parking lot. He referenced the map noting that approximately three-acres 184 of the land, to the east and to the south, would be transferred back from the City of Mounds View 185 to SYSCO for this project. 186 187 Director Ericson explained that one of the reasons this was pulled from the agenda is because 188 Staff would need to draft a development agreement for review at the August 8, 2005 meeting. 189 He stated that they would like to have something that the EDA would be comfortable with in 190 terms of a dollar amount that could be entered into the development agreement. He clarified that 191 Staff is not asking for authorization at this time but rather to get a consensus on the dollar 192 amount noting that it would be helpful. 193 194 President Marty clarified that they are considering possibly $250,000 as TIF eligible. 195 196 Commissioner Thomas clarified that it is basically saying that there is approximately $300,000 197 plus dollars that would be TIF eligible. 198 199 Economic Development Coordinator Backman stated that right now SYSCO is requesting 200 $250,000 adding that they do recognize that the costs would exceed that amount. 201 202 Vice President Stigney referenced TIF noting that in listening to some of the EDC meetings they 203 don’t have handle on it. He suggested a meeting with the EDA and Council to see where they are 204 with all of the TIF districts, what the balances are, and determine when they would be closed out 205 or would they be stretched out to maintain the current TIF districts. He stated that they should 206 look at the big picture stating that it is important to get these items clarified first. He recalled that 207 the SYSCO property could have been turned back over to the tax base in 2006. 208 209 Economic Development Coordinator Backman stated that the final obligation for TIF District 3 is 210 the payment to Bridges Leasing, which is around $30,000.00 for the Spring 2006. He stated that 211