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HomeMy WebLinkAbout03-10-2008 CITY OF MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY MEETING AGENDA MOUNDS VIEW CITY HALL Monday, March 10, 2008 6:00 PM 1. CALL TO ORDER 2. ROLL CALL: President Marty, Vice President Stigney, Commissioner Flaherty, Commissioner Hull, Commissioner Mueller 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 and sign in on the sign-in sheet located on the podium. 5. APPROVAL OF MINUTES A. February 25, 2008, EDA Minutes. 6. CONSENT AGENDA 7. EDA BUSINESS A . Resolution 08-EDA-244, Approve Mounds View Business Toolbox 8. REPORTS A. Premium Stop Redevelopment Area Update 9. NEXT EDA MEETING: Monday, March 24, 2008 @ 6:30 p.m. 10. ADJOURNMENT Minutes reflect changes by Mayor Marty, Interim City Administrator Jim Ericson and Asst City Administrator Crane PROCEEDINGS OF THE MOUNDS VIEW EDA 1 CITY OF MOUNDS VIEW 2 RAMSEY COUNTY, MINNESOTA 3 4 Regular Meeting 5 February 25, 2008 6 Mounds View City Hall 7 2401 Highway 10, Mounds View, MN 55112 8 6:33 P.M. 9 10 11 1. CALL MEETING TO ORDER 12 13 2. ROLL CALL: President Marty, Vice President Stigney, Commissioner Hull, 14 Commissioner Flaherty, Commissioner Mueller, and Interim Executive Director Ericson. 15 16 NOT PRESENT: None. 17 18 3. APPROVAL OF AGENDA 19 20 MOTION/SECOND: Mueller/Flaherty. To Approve the Monday, February 25, 2008 Agenda as 21 Presented. 22 23 Ayes - 5 Nays – 0 Motion carried. 24 25 4. PUBLIC INPUT 26 27 None. 28 29 5. APPROVAL OF MINUTES 30 31 A. January 28, 2008 EDA Minutes 32 33 President Marty, on Page 4, Line 44, add deadline had expired. Line 151, remove 40 unit 34 memory care/half assisted living. 35 36 Commissioner Hull on page 3, Line 108 insert the word letter after financial. 37 38 MOTION/SECOND: Mueller/Hull. To Approve the January 28, 2008 EDA Minutes as 39 Amended. 40 41 Ayes – 5 Nays – 0 Motion carried. 42 43 44 Mounds View EDA February 25, 2008 Regular Meeting Page 2 6. CONSENT AGENDA 45 46 None. 47 48 7. EDA BUSINESS 49 50 A. Resolution 08-EDA-243, Election and Appointment of Officers of the 51 Authority 52 53 Interim Executive Director Ericson noted that Vice President Stigney had brought up that the 54 bylaws were not being followed relating to the appointment of officers. Staff has reviewed the 55 bylaws and determined that they are not consistent with Minnesota Statutes. He then said that 56 the appointments can be made that need to occur and Staff can come back with a 57 recommendation for necessary amendments. 58 59 The Authority added Mr. Stigney as Vice President. 60 61 Vice President Stigney indicated that he would like to wait on appointing the Treasurer until the 62 duties are determined and the necessary amendments to the bylaws are made. 63 64 Interim Executive Director Ericson agreed that those appointments could wait until the issues are 65 resolved. 66 67 Attorney Riggs indicated that he would review the Statute for a recommendation. He then said 68 that he just revised another city’s enabling resolution and that is more difficult than amending 69 bylaws. He then said that there are about six locations in the bylaws that should be amended, but 70 it should not take long for the revisions to be made and presented to the Authority for 71 consideration. He further said that he does not believe that appointment of officers would be 72 affected by changes necessary to the bylaws. 73 74 Vice President Stigney said that he would like to know what the Statute stated when this was 75 established. 76 77 Attorney Riggs indicated that the statute shows that the provisions were adopted in 1987 and 78 have not been changed since then. 79 80 MOTION/SECOND: Marty/Mueller. To Postpone Appointments to a Future EDA Meeting to 81 Allow Time for Researching this Matter. 82 83 Commissioner Flaherty asked what takes precedent. 84 85 Attorney Riggs indicated that the State Statute is what needs to be followed. 86 Mounds View EDA February 25, 2008 Regular Meeting Page 3 87 Commissioner Mueller noted the Charter, as it relates to elected officials, states that they are not 88 to hold any other office, and she is wondering if this is a direct conflict of the Charter. 89 90 Attorney Riggs indicated that the Legislature does allow Councils to serve on EDA Boards. He 91 then said that this should be looked at, but the Legislature has the ability to say that you can do 92 this regardless of what it states in the Charter. 93 94 Ayes – 5 Nays – 0 Motion carried. 95 96 B. Resolution 08-EDA-244, Approve Mounds View Business Toolbox 97 98 Economic Development Specialist Steinmetz reviewed Resolution 08-EDA-244 with the 99 Authority. Staff and the EDC is comfortable with the 2% rate associated with the Business 100 Improvement Partnership Loan Program and also agrees with the recommendation to have an 101 annual review of that rate. 102 103 Commissioner Mueller said that one reason the Tool Box was developed, was at the request of 104 the Authority is because there are more ways to bring businesses or keep businesses in the 105 community than by using TIF. 106 107 Commissioner Mueller said that she feels it is important that this document remain internal for 108 use of the City. She then said that as long as the 2% covers administrative costs she is fine with 109 the rate. 110 111 MOTION/SECOND: Mueller/Hull. To Approve Resolution 08-EDA-244, Approving the 112 Mounds View Business Toolbox. 113 114 Vice President Stigney would like to expand the definition of the purpose of this program. He 115 then said that he would like language requiring for improvements that further the goals of the 116 EDA. He further said that he does not think that the EDA should be doing this at all. 117 118 Interim Executive Director Ericson pointed out that the EDA did review and approved a tax 119 rebate financing policy, and the EDA should make a change, if that is not something that the City 120 wants to use, then language should be adopted to clarify. 121 122 Vice President Stigney said that may be, but this approves the Business Toolbox. He then said 123 that he would like to clarify that TIF is for the intended purposes of the EDA. He further said 124 that he would want people to come forward with something that would have a requirement to 125 justify why these programs should be agreed to. 126 127 128 Mounds View EDA February 25, 2008 Regular Meeting Page 4 Interim Executive Director Ericson noted that the city approved the Business Subsidy Policy that 129 outlines what the City is looking for and when assistance will be provided, and when it will not. 130 He then said that the goals of the EDA could be tied in, but they are already in document format 131 in the Business Subsidy Policy. 132 133 Commissioner Flaherty noted that these are programs that are in existence, however, that does 134 not mean that you are entitled to them or qualify for them. 135 136 Vice President Stigney indicated he would like to add that TRF is not currently being 137 recommended by the EDA in 2008. 138 139 Mayor Marty noted that the 2% rate is to be approved annually, so he would suggest looking into 140 current rates with the Finance Director. 141 142 Interim Executive Director Ericson said that the 2% rate would not put the City or the EDA in 143 any type of jeopardy or risk. He then said that he has found that this amounts to a savings of 144 about $500 per year for the applicant. So he does not think that will be enough to really incent 145 anyone to go through that process. 146 147 Council Member Mueller said that she would like to see this approved with minor modifications. 148 149 Vice President Stigney said that as far as intended purposes for these programs he thinks that 150 should be specified. He then said that the big boxes can use their own dollars and not free taxes 151 for up to 20 years. He further said that he would not support tax abatements. 152 153 Economic Development Specialist Steinmetz indicated that she would take the toolbox back and 154 make revisions as requested and bring it to the next meeting for consideration. She then said that 155 since this is an internal document that is dated, it will not be misused. 156 157 The Motion to approve was withdrawn. 158 159 MOTION/SECOND: Marty/Stigney. To Postpone action on the toolbox to a Future Meeting. 160 161 Commissioner Flaherty asked if this is a binding document. 162 163 Attorney Riggs indicated that it is not, and everything would run through the EDA. 164 165 Ayes – 5 Nays – 0 Motion carried. 166 167 8. REPORTS 168 169 A. Twin Cities North Chamber Gala: Saturday, March 1, 2008 170 Mounds View EDA February 25, 2008 Regular Meeting Page 5 171 Economic Development Specialist Steinmetz reviewed the invitation to the Twin Cities North 172 Chamber Gala scheduled for Saturday, March 1, 2008. She then asked anyone wishing to attend 173 to contact Staff. 174 175 Vice President Stigney said that tickets for the gala are $70.00 and he thinks that EDA money 176 could be spent more wisely 177 178 179 B. Economic Development Commission 2008 Priorities 180 181 Economic Development Specialist Steinmetz reviewed the 2008 Economic Development 182 Commission Priorities with the Authority. 183 184 President Marty asked whether Staff has looked into a Byerly’s or Lund’s for the Premium Stop 185 location. 186 187 Economic Development Specialist Steinmetz indicated that she had provided the information to 188 the business agent for Lund’s and Byerly’s. Staff will follow up with them to provide any 189 additional information that they may request. They do not have any plans for new locations at 190 this time, however. 191 192 President Marty asked about Knollwood Place/Johnson property and whether the permit has 193 expired. 194 195 Interim Executive Director Ericson indicated that it expires at the end of this month. 196 197 Commissioner Mueller asked if any contacts have been made with the owner of the Car Wash 198 that had the fire. 199 200 Interim Executive Director Ericson indicated that the property is listed with a realtor, and they 201 have been given the information. He also indicated that he understands that they do not plan to 202 re-open. 203 204 C. Robert’s Sports Bar Update 205 206 Economic Development Specialist Steinmetz indicated that there is someone interested in the 207 property that wishes to keep it as a bar. Staff did find out that the grant application for the 208 redevelopment is being reviewed by a former Mounds View employee and that does help. 209 210 211 9. NEXT EDA MEETING: Monday, March 10, 2008 at 6:00 p.m. 212 213 Mounds View EDA February 25, 2008 Regular Meeting Page 6 10. ADJOURNMENT 214 215 President Marty adjourned the meeting at 7:25 p.m. 216 217 218 219 Respectfully submitted, 220 221 222 Recorded and transcribed by: 223 Joan Lenzmeier, Recording Clerk 224 TimeSaver Off Site Secretarial, Inc. 225 Item No. 7B Meeting Date: March 10, 2008 Type of Business: EDA Administrator Review: _____ City of Mounds View Staff Report To: Mounds View Economic Development Authority From: Heidi Steinmetz, Economic Development Specialist Item Title/Subject: Consider Resolution 08-EDA-244 Approving Mounds View Business Toolbox Background: The Mounds View Business Toolbox was originally intended to serve as a summary document listing the financial and technical resources available to existing and prospective Mounds View businesses. The EDA reviewed and discussed the document from February through April 2007 and again on February 25, 2008. Throughout the review process, the Toolbox prompted EDA discussion regarding the City’s business financing policies in general. Therefore staff has attached the latest versions (along with supporting material) of the City’s three business financing policies as listed below: • Business Subsidy Policy (May 2003) o This is an overarching document that corresponds with most business subsidies awarded by the City or EDA. o May 12, 2003 EDA/Council Minutes o EDA Resolution 03-EDA-173 • Tax Rebate Financing Policy (September 2003) o September 22, 2003 EDA Minutes • Tax Increment Financing Policy (January 2007) o The EDA last reviewed the Tax Increment Financing Policy on January 22, 2007 but did not take formal action on the Policy. Discussion: Staff is not asking the EDA to review its three business financing policies as they relate to the Toolbox since the Toolbox is simply a summary document, which is not meant to provide the level of detail provided by the policy documents. However, if the EDA wishes to revisit the policy documents to consider potential amendments or revisions, staff would be happy to add the discussion to the next EDA agenda. Consider Resolution EDA-08-244 March 10, 2008 EDA Meeting Page 2 of 2 The EDA provided staff with the following input regarding the Toolbox on February 25, 2008: • Add purpose statements under the Business Improvement Partnership Loan Program, Tax Increment Financing and Tax Rebate Financing sections of the Toolbox. Purpose statements were added to the attached version of the Toolbox and are consistent with the latest versions of the City’s Tax Increment Financing Policy, Tax Rebate Financing Policy and the attached Business Improvement Partnership Loan Program criteria and application. Recommendation: Staff recommends that the EDA consider the attached Resolution 08-EDA-244 Approving the March 2008 Mounds View Business Toolbox. Respectfully submitted, ____________________________ Heidi Steinmetz Economic Development Specialist Attachments: • Resolution 08-EDA-244 • Mounds View Business Toolbox, March 2008 • Business Subsidy Policy (May 2003) o May 12, 2003 EDA/Council Minutes o EDA Resolution 03-EDA-173 • Tax Rebate Financing Policy (September 2003) o September 22, 2003 EDA Minutes • Tax Increment Financing Policy (January 2007) • Business Improvement Partnership Loan Program Criteria & Application