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HomeMy WebLinkAbout05-11-2009CITY OF MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY MEETING AGENDA MOUNDS VIEW CITY HALL Monday, May 11, 2009 6:00 PM 1. CALL TO ORDER 2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull, Commissioner Mueller, Commissioner Gunn 3. APPROVAL OF AGENDA 4. PUBLIC INPUT: Citizens may speak to issues not on tonight’s agenda. Before speaking, please give your full name and address for the minutes. Also, please limit your comments to three minutes. 5. APPROVAL OF MINUTES: A. April 13, 2009, EDA Minutes. 6. CONSENT AGENDA 7. EDA BUSINESS A. Review City Tagline Options 8. REPORTS A. Update - City Communications/Marketing Plan B. Business Improvement Partnership Loan Program Inquiry C. Update - Property Owner (2949 Hwy 10) Acquisition Request D. Update - Select Senior Living Project 9. NEXT EDA MEETING: Tuesday, May 26, 2009 at 6:30 p.m. 10. ADJOURNMENT Corrections made by Mayor Flaherty, Councilmembers Hull, Mueller, and Gunn. Clerk-Administrator Ericson, Asst Clerk-Administrator Crane, Community Development Director Roberts, and Economic Deve. Spec. Steinmetz. PROCEEDINGS OF THE MOUNDS VIEW EDA 1 CITY OF MOUNDS VIEW 2 RAMSEY COUNTY, MINNESOTA 3 4 Regular Meeting 5 April 13, 2009 6 Mounds View City Hall 7 2401 Highway 10, Mounds View, MN 55112 8 6:03 P.M. 9 10 11 1. CALL MEETING TO ORDER 12 13 2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull, 14 Commissioner Mueller, Commissioner Gunn, and Executive Director Ericson. 15 16 NOT PRESENT: None. 17 18 3. APPROVAL OF AGENDA 19 20 MOTION/SECOND: Mueller/Hull. To Approve the April 13, 2009, Agenda as presented. 21 22 Ayes – 5 Nays – 0 Motion carried. 23 24 4. PUBLIC INPUT 25 26 None. 27 28 5. APPROVAL OF MINUTES 29 A. EDA Minutes, Monday, February 23, 2009. 30 31 The following correction was requested: Page 2, Reports, Line 52, “Economic Development 32 Specialist Steinmetz stated the EDC appreciates that the Council will consider these priorities.” 33 34 MOTION/SECOND: Mueller/Gunn. To Approve the Monday, February 23, 2009, Minutes as 35 corrected. 36 37 Ayes – 5 Nays – 0 Motion carried. 38 39 6. CONSENT AGENDA 40 41 None. 42 43 Mounds View EDA April 13, 2009 Regular Meeting Page 2 7. EDA BUSINESS 44 A. Resolution 09-EDA-252, Approving First Amendment to Development 45 Assistance Agreement between Mounds View Economic Development 46 Authority and MoundsVista, Inc. 47 48 Economic Development Specialist Steinmetz presented the past consideration of the 49 MoundsVista, Inc. (dba The Mermaid) TIF revenue bond agreement for assistance of $631,897 50 and request to modify the Development Assistance Agreement to allow for the sale of the hotel 51 and continuation of semi-annual payments to the bondholders. In response to the suggestion that 52 MoundsVista pay off one-third of the outstanding balance of the bonds, they indicated they are 53 not in a financial position to do so. Economic Development Specialist Steinmetz presented 54 staff’s recommendation to approve the first amendment to the Development Assistance 55 Agreement, allow for the sale of the hotel, and continuation of semi-annual payments to the 56 bondholders. If approved, the Council will consider the final plat to divide the property into one 57 lot for the hotel and a second lot for the restaurant and banquet center. 58 59 President Flaherty opened the floor for public comment. None was offered and it was noted the 60 applicant was not in attendance. 61 62 Commissioner Mueller noted if they wish to sell, the contract requires payment of the bond note. 63 Economic Development Specialist Steinmetz explained the MoundsVista attorney alluded to that 64 requirement; however, the contract does not contain such a requirement. In early negotiations 65 between staff and MoundsVista, several options were discussed but MoundsVista has clearly 66 indicated they need to sell the hotel and transfer those funds to their other property. In addition, 67 when the final plat is recorded, Ramsey County will require payment of taxes. 68 69 Vice President Stigney referenced a letter from the MoundsVista attorney indicating their 70 intention to sell only the hotel and that the Agreement requires payment in full of the note if any 71 portion of their property is sold. Executive Director Ericson clarified that the letter from the 72 MoundsVista attorney is incorrect because there is no such requirement in the Development 73 Assistance Agreement. Executive Director Ericson stated the EDA is under no requirement to 74 amend the Agreement but if an amendment is considered, the EDA can place a condition for 75 partial or full payment of the bond note. 76 77 Vice President Stigney stated his understanding the Agreement may not “require” payment but 78 the EDA can place that condition. He indicated he had asked staff to negotiate at least partial 79 payment in consideration for an amendment so the TIF District is reduced in some manner. 80 81 Commissioner Gunn stated even if they don’t pay down the note, payments will continue and all 82 that would be accomplished by payment of one-third of the note is to move up the District’s close 83 date. She noted that a lot is owed in back taxes, which may be equivalent to the one-third 84 amount. Economic Development Specialist Steinmetz stated she is not aware of the amount of 85 Mounds View EDA April 13, 2009 Regular Meeting Page 3 back taxes owed. Commissioner Gunn stated a willingness to approve the amendment since the 86 TIF District will continue, she would like the business to stay in Mounds View, and if approved 87 they would be able to pay their current and back taxes. 88 89 Commissioner Hull stated support to consider the amendment with no contingencies since it 90 would result in the hotel being sold, The Mermaid would be in a better financial position, 91 expansion of the hotel would occur to increase the value and tax base, and additional jobs may be 92 created. Currently, it would be a burden on The Mermaid if required to pay one-third of the bond 93 note. 94 95 Vice President Stigney stated that expanding the tax base will not matter until the TIF District is 96 paid off. He stated support to shorten the life of the TIF District and pointed out that no 97 information has been provided regarding The Mermaid’s financial position so he is not able to 98 consider that matter. He stated he is not in favor of an “all or nothing” position but would like to 99 know what MoundsVista will offer to accomplish the amendment. 100 101 Commissioner Mueller noted that one bondholder has indicated no objection to not paying off 102 the bond and the other bondholder has indicated they want to be bought out. Economic 103 Development Specialist Steinmetz explained that when MoundsVista was considering an earlier 104 amendment, Western Bank indicated a willingness to buy out First Bank. However, noting has 105 been submitted in writing to confirm that remains the case. 106 107 President Flaherty stated he had hoped The Mermaid owners would be in attendance to answer 108 questions. However, they did relate to staff that they are unable to pay off one-third of the bonds. 109 He noted that The Mermaid is a struggling business, they are making attempts to gain solvency, 110 and that revenue may be needed to pay property taxes. 111 112 President Flaherty asked whether Mounds View assumes any risk by modifying the Agreement. 113 Executive Director Ericson stated it would not. 114 115 President Flaherty asked what is the benefit to retire a portion of the District. Executive Director 116 Ericson explained the EDA can selectively decertify parcels but could not decertify any Mermaid 117 parcels while a TIF note is associated with those parcels. The drawback is that the TIF dollars 118 otherwise generated on those parcels would no longer be available for street and utility projects 119 and the City’s budget anticipates those dollars will be available. 120 121 Vice President Stigney stated again he would like to know what MoundsVista is willing to do if 122 the EDA considers the requested amendment. He noted when the hotel expansion occurs, they 123 may request it to also be in the TIF District. 124 125 President Flaherty commented on the importance of balancing the needs of the City with the 126 needs of the property owner. He stated he would take that stance for any Mounds View business, 127 Mounds View EDA April 13, 2009 Regular Meeting Page 4 not just The Mermaid. 128 129 Commissioner Gunn stated she had asked for written confirmation from the bond holders in 130 addition to other information. She stated she is willing to table consideration until that 131 confirmation is received. 132 133 Commissioner Mueller stated she would like to hear from the business owners before the EDA 134 makes this decision. 135 136 Commissioner Mueller noted there may be timing issues because license renewals are coming 137 due for The Mermaid and one condition for renewal is being current on tax payments. 138 139 President Flaherty noted The Mermaid owners had just arrived and asked Mr. Hall to address the 140 questions raised why MoundsVista was not able to pay off one-third of the bond note. 141 142 Dan Hall, 2200 Highway 10 and owner of The Mermaid, explained that they do not have funds 143 available to pay the note early. He stated they have placed personal guarantees so the City will 144 not be out any money and bringing in another owner for the hotel assures there will be no 145 shortfall in taxes so the TIF payments can be made. Mr. Hall stated this is a calculated move to 146 solidify their business and there is no reason to accelerate the note payments since their request is 147 miniscule in the broad scope of things and does not place a burden on Mounds View. 148 149 Commissioner Mueller asked how many people MoundsVista presently employs. Mr. Hall stated 150 they average 150 employees with 125 during summer months and up to 175 during the holiday 151 season. They have 65-70 full-time employees. The new prospective owner wants to construct 152 an addition to the hotel, which would increase property taxes paid. 153 154 Commissioner Mueller asked about the property value on which the TIF note was originated. 155 Mr. Hall stated it was $8.4 million to $8.6 million and their property taxes just increased by 10% 156 so he does not believe the property value will go down if this passes. 157 158 Vice President Stigney asked what they would be willing to do. Mr. Hall stated he cannot afford 159 to pay on the note, his family still personally guarantees payment of the TIF, and Mounds View 160 would not have any additional burden. 161 162 Vice President Stigney asked if The Mermaid will go bankrupt unless no TIF payment is made. 163 Mr. Hall stated he does not want to use the word “bankruptcy” but he is out of money and this 164 sale will put money back into the coffers of The Mermaid. He advised they have not paid 165 property tax from last fall because they do not have the money. Vice President Stigney asked if 166 they can submit supportive documentation of The Mermaid financials to show that is the case. 167 168 President Flaherty stated The Mermaid is trying to make a sale to gain solvency and if any 169 Mounds View EDA April 13, 2009 Regular Meeting Page 5 portion of the TIF bond is required, even 1/10th, it would come from operating revenue. Mr. Hall 170 stated it would come from money needed to pay delinquent and current taxes. He pointed out 171 that if taxes are not paid, he will not be able to obtain a liquor license. 172 173 Commissioner Hull stated that 1/6th would be $68,000 and if Mounds View needs it that bad, it 174 should close its doors. He stated he has no problem with the amendment approval without 175 contingencies because The Mermaid is an excellent business and hires many people including 176 residents. 177 178 MOTION/SECOND: Gunn/Hull. To Waive the Reading and Approve Resolution 09-EDA-252, 179 Approving First Amendment to Development Assistance Agreement between Mounds View 180 Economic Development Authority and MoundsVista, Inc. 181 182 Commissioner Mueller asked when the closing date would be if this is approved without 183 requirement for advance bond payment. Mr. Hall stated the scheduled closing is April 30, 2009, 184 and the buyer owns seven other hotels in the Twin Cities area. The appraisal will be completed 185 this Wednesday. 186 187 Commissioner Mueller asked if property taxes will be paid by May 15 if the sale does not go 188 through. Mr. Hall stated taxes would not be paid. 189 190 President Flaherty stated this business is attempting to reorganize to be more viable and payment 191 of taxes is an important consideration. He stated he would consider the same action for any 192 business in Mounds View that came before the Council. 193 194 Vice President Stigney noted that Mr. Hall has indicated that he cannot pay 10% or the deal 195 would fall through. Mr. Hall stated he did not make that implication. 196 197 Vice President Stigney stated the motion establishes a precedence by granting a request of a 198 business and its offering absolutely nothing to the City. He noted the tax payers would gain 199 benefit if the TIF District is shortened. Mr. Hall suggested that would be a windfall for the 200 taxpayers since the money would come from his pocket. Vice President Stigney stated if they 201 cannot support 10% then he questions whether the business is even viable. 202 203 President Flaherty stated he understands it would not stop the project from moving forward but 204 could impact The Mermaid’s operation, future hiring, and cause a possible reduction in staff. 205 206 AMENDMENT MOTION/SECOND: Stigney/Mueller (for discussion purposes). To Waive the 207 Reading and Approve Resolution 09-EDA-252, Approving First Amendment to Development 208 Assistance Agreement between Mounds View Economic Development Authority and 209 MoundsVista, Inc., as amended to require a minimum 10% payment of the one-third TIF bond, 210 which gives the taxpayers some benefit. 211 Mounds View EDA April 13, 2009 Regular Meeting Page 6 212 Vice President Stigney stated he has seen no written documentation supporting Mr. Hall’s 213 comments about their financial insolvency. 214 215 Commissioner Mueller stated she understands the desire for “give and take” by both parties but 216 when she thinks about the jobs involved and the business owner coming before the EDA with a 217 “cry for help,” the $13,666 (10% of one-third) will not make that great of an impact to the City’s 218 budget. However, it could make a great impact to the jobs of the employees at the business. 219 Commissioner Mueller stated she would like to see some “give and take” in the negotiation but 220 this business has been creatively trying to solve fiscal issues during difficult economic times to 221 stay afloat in an entertainment business. She stated the EDA needs to see some “gray” between 222 the “black and white” so she does not favor the amendment. 223 224 Ayes – 1 (Stigney) Nays – 4 Amendment failed. 225 226 Ayes – 4 Nays – 1 (Stigney) Motion carried. 227 228 RECESS AND RECONVENE 229 230 MOTION/SECOND: Mueller/Gunn. To recess the EDA at 7:08 p.m. so the Council meeting 231 can be called to order. 232 233 Ayes – 5 Nays – 0 Motion carried. 234 235 President Flaherty reconvened the EDA meeting at 7:28 p.m. 236 237 B. Adopt Brand Strategy and Select New City Logo. 238 239 Economic Development Specialist Steinmetz presented staff’s recommendation to formally 240 adopt the final Brand Strategy developed by Risdall Marketing. She read the Brand Promise and 241 advised the objectives and recommendations are included in the Brand Strategy. 242 243 MOTION/SECOND: Mueller/Gunn. To Approve Adoption of the Brand Strategy and 244 Recommendations. 245 246 Commissioner Mueller stated her support for Objective #5 addressing active and healthy 247 lifestyles, including the creation of a Mounds View Garden Club. 248 249 President Flaherty read the five objectives contained in the Brand Strategy aloud. 250 251 Objective One - Develop a new look and tagline 252 Objective Two - Keep residents and businesses informed 253 Mounds View EDA April 13, 2009 Regular Meeting Page 7 Objective Three – Capitalize on the County Road 10 corridor 254 Objective Four – Develop a long rang vision for future development 255 Objective Five – Support active and healthy lifestyles 256 257 Vice President Stigney noted the Risdall Marketing work cost $23,000 and no funds have been 258 budgeted to implement this plan. He stated he does not support that expenditure or the motion 259 on the floor. 260 261 Commissioner Mueller stated that she doesn’t want the public thinking that it cost $23,500 262 for a few objectives. She asked Ms. Steinmetz to explain what the City received for the 263 contract amount. Ms. Steinmetz explained that so far the City received resident and 264 business surveys, a research report and a logo. They City will also receive a tagline and a 265 marketing/communications plan in the next few weeks. 266 267 Ayes – 4 Nays – 1 (Stigney) Motion carried. 268 269 Economic Development Specialist Steinmetz stated the EDA is also asked to choose the final 270 logo design. She reviewed that seven logo designs had been submitted for consideration at April 271 2, 2009 Workshop. 272 273 Commissioner Mueller noted the City paid for professional branding which involved a lot of 274 work, research, and surveying of residents and businesses. Economic Development Specialist 275 Steinmetz reviewed the history of the brand strategy consideration and detailed the steps taken by 276 Risdall Marketing during its survey and research reports and creation of logo designs and 277 taglines. A Communications Plan will also be developed to define how the City can better 278 communicate with its residents and business owners. Economic Development Specialist 279 Steinmetz stated it is correct that money was not budgeted to phase in a new logo design; 280 however, it is the intent to first deplete the stationary and supplies on hand and staff will research 281 corporate sponsorship to cover implementation costs. 282 283 Patrick Bettenburg, Risdall Marketing Project Manager, stated the new logo will create a new 284 identity for Mounds View. He presented the three final logo designs and explained the 285 modifications made to each. 286 287 Community Development Director Roberts noted visual samples were also provided of street 288 signs and the water tower showing each logo. 289 290 Commissioner Hull stated support for Option 2. 291 292 Commissioner Mueller stated support for Option 2 with the lettering remaining black and the 293 lines green. 294 295 Mounds View EDA April 13, 2009 Regular Meeting Page 8 Commissioner Gunn stated supported for Option 2, especially after seeing how it would appear 296 on the water tower. 297 298 Vice President Stigney stated he likes Option 1 with heavier lettering because it is more artistic 299 and not the same classic design (Option 2) used by all other cities. 300 301 Economic Development Specialist Steinmetz stated in January of 2008, the EDC began the 302 branding project and had presented recommendations to the EDA. Also, an article was included 303 in the Mounds View Matters inviting resident participation. Two residents, Val Amundson and 304 Cindy Carvelli, responded and were helpful during the process. 305 306 EDC members offered comment on the logo designs. 307 308 Val Amundson, 3048 Woodale Drive, noted the survey found that residents believe that Mounds 309 View is a fun community. She found Option 2 to be more “business” or “stuffy” in design so she 310 supports Option 1 with tweaks to make it more outstanding. She also felt a tagline would fit 311 nicely under the arched bottom line. 312 313 President Flaherty stated support for Option 1 if tweaked to make the design more bold. 314 315 Mr. Bettenburg stated the final art phase will fine tune those tweaks; however, use of a different 316 font would change the impact. 317 318 MOTION/SECOND: Mueller/Hull. To Approve Logo Design Option 2, which will be unveiled 319 at the Town Hall meeting, and to direct staff to work with Risdall Marketing to fine tune the 320 design. 321 322 Vice President Stigney stated he found Option 2 to be “corporate” and “stuffy” in appearance and 323 Option 1 to be more free-flowing and relaxed. He stated he does not support Option 2 and 324 suggested resident input be received at the Town Hall meeting prior to a final decision. 325 326 Ayes – 4 Nays – 1 (Stigney) Motion carried. 327 328 Mr. Bettenburg stated taglines will be developed with the Marketing/Communications Plan. 329 330 8. REPORTS 331 332 None. 333 334 9. NEXT EDA MEETING: Monday, April 27, 2009 335 336 10. ADJOURNMENT 337 Mounds View EDA April 13, 2009 Regular Meeting Page 9 338 President Flaherty adjourned the meeting at 8:01 p.m. 339 340 Respectfully submitted, 341 342 Recorded and transcribed by: 343 Carla Wirth 344 TimeSaver Off Site Secretarial, Inc. 345 Item Number: 7 Meeting Date: May 11, 2009 Type of Business: EDA Administrator Review: _____ City of Mounds View Staff Report To: Economic Development Authority From: Heidi Steinmetz, Economic Development Specialist Item Title/Subject: Review City Tagline Options Background In August 2008, the EDA authorized a contract with Risdall Marketing Group to work with City staff on the Mounds View Branding Project. After a nine-month process, the EDA adopted a brand strategy and new logo for Mounds View in April 2009. Discussion It is now time for the EDA to discuss new tagline options for the City. Patrick Bettenburg of Risdall Marketing Group will facilitate the EDA’s discussion. City Tagline History The City’s original tagline was “Gateway to the North”. There are records that the City used “Pride, Progress and Partnerships” and “Quite Simply the Best” as its tagline beginning in 1991 but essentially, “Pride, Progress and Partnerships” has been the City’s tagline for the past 18 years. Public Input on Current Tagline During the survey work last Fall, Mounds View residents and businesses provided input on “Pride, Progress and Partnerships”. Responses to the resident survey were evenly mixed on whether the tagline appropriately describes the city. Of the respondents that said “no”, however, many felt that the tagline made no difference or was of little significance. Others stated strongly that it doesn’t fit where the City is today. When businesses were asked if “Pride, Progress and Partnerships” appropriately described the City, the majority of business respondents (80.6%) indicated that it did. This strong response indicates that the tagline represented relevant business attributes that were important to the respondents. EDA Item 7 – May 11, 2009 Review City Tagline Options Page 2 of 3 City Staff Team The same City staff team that reviewed logo options also reviewed tagline options. The team consisted of representatives from each City department. Based on their research and expertise, Risdall created several taglines for the City and presented the following tagline options to the staff team: • Where you want to be • The small town with big opportunities • Connected to the future • Central to growth • Close. Convenient. Connected. • Convenient. Connected. Caring. • Close enough. Far enough. • See more from here • Growing better everyday • It’s all here • A caring connected community • Discover for yourself • A connected community • The heart of it all After City staff discussed the above options, staff asked Risdall to refine the taglines. Based on comments and input, Risdall submitted the following list of possible taglines to staff: • Close enough. Far enough. • Growing better every day. • Small Town Feel. Big Picture Thinking. • At the center of growth. • The Intersection of Progress and Growth. • Growing home. • Where past values meet a bright future. • The future looks great from here. In addition, various City staff members brainstormed on their own to create additional taglines. Listed below are the strongest of the additional taglines: • Small Town Feel. Big City Vision. • Small town feel. Forward looking vision • Community Within Reach • Community Redefined • Two Words. One Community. EDA Item 7 – May 11, 2009 Review City Tagline Options Page 3 of 3 • Honor the past. Celebrate the present. Choose the future. • Mounds View: Value(s) the past. Welcome(s) the future. • Celebrating the present and planning for the future • A small town feel with a modern vision • Honoring the past and building the future Risdall then asked the staff team to select the five strongest options from the refined list that Risdall had prepared. Below are the results of the staff team’s preferences: • Close enough. Far enough. 1st • Where past values meet a bright future. 2nd • Small Town Feel. Big Picture Thinking. Tied for 3rd • The future looks great from here. Tied for 3rd • The Intersection of Progress and Growth. Tied for 4th • Growing better every day. Tied for 4th • At the center of growth. Tied for 5th • Growing home. Tied for 5th Since there were ties for 3rd, 4th and 5th place, there was apparent difficultly on reaching a staff consensus on tagline options. Therefore, Risdall suggested that the City postpone the tagline discussion until after the EDA/Council chose a new logo design. Recommendation Based on feedback from the residents and businesses, staff recommends that the EDA consider the following questions about taglines: • Do any of the tagline options listed in this staff report describe Mounds View today and for Mounds View going forward? • Does the City need two taglines (one for residents and another for businesses)? Staff recommends that the EDA select the strongest five tagline options (from any of the options listed in this staff report) for final consideration at the May 26 or June 8, 2009, EDA meeting. Respectfully submitted, ___________________________ Heidi Steinmetz Economic Development Specialist Item Number: 8 Meeting Date: May 11, 2009 Type of Business: EDA Administrator Review: _____ City of Mounds View Staff Report To: Economic Development Authority From: Heidi Steinmetz, Economic Development Specialist Item Title/Subject: Reports 8A. Update – City Communications/Marketing Plan Patrick Bettenburg of Risdall Marketing Group will present the EDA with the City Communications/Marketing Plan on Tuesday, May 26, 2009. The plan will be an extension of Mounds View’s branding process and will build upon the work already done during the branding phase. The plan’s goal and objectives as stated in Risdall’s June 27, 2008, proposal to the EDA are as follows: Plan Goal: Successfully connect with the City’s target audiences, getting them to remember the City’s brand message and associate it with the brand’s value. Plan Objectives: • Refine the City’s current communication vehicles • Offer suggestions for other communication efforts • Provide a structure for each communication channel The implementation of the plan is not included in the EDA’s contract with Risdall, so City staff would implement the plan. Implementation tasks will include the extension of the brand identity to the communication vehicles such as the City Website and the City newsletter. 8B. Business Improvement Partnership Loan Program Inquiry Staff received an inquiry on April 24, 2009, about the EDA’s Business Improvement Partnership Loan Program. Attached is the program criteria for the EDA’s reference. The inquiry came from Brian Wentz of Klein Bank out of Maple Grove who is trying to finance a start-up dental clinic to locate in Mounds View City Center Suites (5372 Edgewood Drive). As shown on the attached flyer, there are three units available for sale in Mounds View City Center Suites. The dentist and the building owner have an agreed upon purchase EDA Item 8 – May 11, 2009 Reports Page 2 of 3 agreement for Unit 5366, which is 1,550 square feet. The purchase agreement is contingent upon the dentist obtaining financing to assist with such things as purchasing the space (about $183,000) and building out the space (about $120,000). The space currently has sand floors. Mr. Wentz also told City staff that the clinic would create three initial jobs in Mounds View (dentist, dental hygienist and receptionist). The proposed dental clinic does not meet the EDA’s loan program criteria because only businesses that have been located in Mounds View for at least two years are eligible. Staff has not received a loan application but the dentist plans to submit an application if the EDA is willing to consider waiving the aforementioned loan criteria. Staff is requesting direction from the EDA on this issue. 8C. Update - Property Owner (2949 Hwy 10) Acquisition Request On April 27, 2009, homeowner Mark Schnor (2949 Hwy 10) asked the EDA to purchase his property for redevelopment purposes. The EDA did not make a decision to purchase Mr. Schnor’s property but directed staff to continue promoting the site for redevelopment. Staff met with Finn Daniels Architects on April 28, 2009 who is interested in completing a 30-unit rental townhome project in Mounds View. They are interested in the five- parcel, 4-acre site shown below, which includes Mr. Schnor’s property, Mr. Waldoch’s property and Mr. Lillistrand’s property. EDA Item 8 – May 11, 2009 Reports Page 3 of 3 Finn Daniels Architects are currently acting as the developer to initiate this project. They are studying the site and invited the property owners to a joint meeting to discuss the total land costs. Would the EDA support a rental townhome project on this site? 8D. Update - Select Senior Living Project The City Council approved this 95-unit senior housing project at the corner of Groveland Road and County Road 10 in October 2008. The contractor applied for the building permit in February 2009 and Building Official Kathi Osmonson has signed off on the building plans. There are several items that the City needs the developer or builder to complete before issuing the permit including: • A signed Development Agreement • A signed Final Plat • Payment of Park Dedication and County Hwy10 trail fees In addition, the developer needs to secure financing in order to purchase the property. Respectfully submitted, ____________________________ Heidi Steinmetz Economic Development Specialist Attachments: • Business Improvement Partnership Loan Program Criteria • Mounds View City Center Suites Flyer