HomeMy WebLinkAbout02-11-2002
CITY OF MOUNDS VIEW
EDA MEETING AGENDA
MONDAY, FEBRUARY 11, 2002
7:00 p.m
1. CALL TO ORDER
2. ROLL CALL: Sonterre, Quick, Marty, Stigney, Thomas
3. APPROVAL OF AGENDA
4. APPROVAL OF MINUTES
A. January 28, 2002
5. SPECIAL ORDER OF BUSINESS
6. REPORTS
7. CONSENT AGENDA
A. Resolution 02-EDA-158 Approving the Purchase and Redevelopment Agreement
for 2091 Hillview Road and Amending Previously Accepted Terms of Purchase
(Ericson)
B. Resolution 02-EDA-159 Approving Appointments to the Economic Development
Authority (Ericson)
8. EDA BUSINESS
A. Resolution 02-EDA-160, Approving Developer Payments for Building N and Silver
Lake Pointe Projects (Ericson, Hansen & Backman)
9. SPECIAL ORDER OF BUSINESS
10. ADJOURNMENT
11. Next Council Work Session: February 19, 2002
Next EDA Meeting: February 25, 2002
PROCEEDINGS OF THE MOUNDS VIEW EDA
CITY OF MOUNDS VIEW
RAMSEY COUNTY, MINNESOTA
Regular Meeting
January 28, 2002
Mounds View City Hall
2401 Highway 10, Mounds View, MN 55112
11:00 P.M.
1. CALL MEETING TO ORDER
2. ROLL CALL: Sonterre, Stigney, Marty, Thomas.
NOT PRESENT: Quick.
3. APPROVAL OF AGENDA
President Sonterre requested that the appointment of Jason Helgemoe and David Fox to the
Economic Development Commission be added under Special Orders of Business.
City Administrator Miller asked that the Minutes from February 9, 1999 be removed from the
agenda.
MOTION/SECOND: Marty/Thomas. To Approve the Agenda for January 28, 2002 as amended.
Ayes – 4 Nays – 0 Motion carried.
4. APPROVAL OF EDA MINUTES
A. Approve Minutes of January 7, 2002.
MOTION/SECOND: Marty/Stigney. To Approve the Minutes of the EDA for January 7, 2002
as presented.
Ayes – 4 Nays – 0 Motion carried.
5. SPECIAL ORDER OF BUSINESS
President Sonterre noted Jason Helgemoe is employed by Western Bank and is fairly in tune with
the workings of the EDC. He then explained that Cindy Carlson, a long time member of the
Commission, had recommended Jason’s appointment.
MOTION/SECOND: Sonterre/Marty. To Appoint Jason Helgemoe to the Economic
Mounds View EDA January 28, 2002
Regular Meeting Page 2
Development Commission.
Ayes – 4 Nays – 0 Motion carried.
President Sonterre indicated that David Fox is doing business in the City and had expressed a
strong desire to be civically involved with the workings of the community.
MOTION/SECOND: Sonterre/Marty. To Appoint David Fox to the Economic Development
Commission.
Vice President Stigney asked what business Mr. Fox was in.
President Sonterre indicated the name of his company is Water Jet Technologies.
Ayes – 4 Nays – 0 Motion carried.
President Sonterre noted for the record that Tori Johnson had been incorrectly listed as a business
member of the EDC and that has been corrected to reflect that she is a resident of Mounds View.
6. REPORTS
A. Update Regarding Developer Payments for C.G. Hill & Building N Projects.
Finance Director Hansen explained that one of the main functions is to promote development
within the City and, back in the earlier days, this was done by the City selling bonds and paying
for infrastructure and improvements to facilitate the re-development of properties. He then noted
that the City has five pay as you go agreements in place and the payments are due February 1,
2002.
Economic Development Coordinator Backman indicated that Staff had been reviewing the
projects to ensure that the payments have been properly calculated and has found that two of the
five are correct. The other projects have errors in calculation going all the way back to 1996.
Commissioner Marty asked if these errors were for the good or bad for the City.
Economic Development Coordinator Backman indicated that he and Ellers had been evaluating
the numbers and he believes the City has been overpaying the developers.
President Sonterre asked for a timeline on an update on the errors.
Economic Development Coordinator Backman indicated that Staff is working on putting together
Mounds View EDA January 28, 2002
Regular Meeting Page 3
spreadsheets and should be able to provide information within a week or so.
Vice President Stigney thanked Staff for identifying the error.
Economic Development Coordinator Backman commented that the amounts could total more
than $30,000.
City Administrator Miller noted that Mr. Backman has not been on Staff for very long and said
she appreciates his efforts.
MOTION/SECOND: Thomas/Stigney. To Waive the Reading and Approve Resolution 02-
EDA-157 as Presented.
Ayes – 4 Nays – 0 Motion carried.
7. CONSENT AGENDA
None.
8. EDA BUSINESS
A. Mounds View Animal Hospital Subordination Agreement
Community Development Director Ericson explained that the City Attorney had recommended
approval of the Subordination Agreement to assist Mounds View Animal Hospital in receiving
financing for the project.
City Attorney Riggs explained that the folks at Mounds View Animal Hospital had run into an
issue with the financing because the City has a right of reverter in place on the property and the
Subordination Agreement would satisfy the financial institution.
MOTION/SECOND: Thomas/Stigney. To Approve the Subordination Agreement as Presented
and Recommended by the City Attorney.
Commissioner Marty indicated that everything sounds like it is in order and noted the only
reason he did not make the motion is because he did not have time to read the document.
Ayes – 4 Nays – 0 Motion carried.
Mounds View EDA January 28, 2002
Regular Meeting Page 4
9. ADJOURNMENT
President Sonterre adjourned the meeting at 11:16 p.m.
Respectfully submitted,
Recorded and transcribed by:
Joan Lenzmeier
TimeSaver Off Site Secretarial, Inc.
Item No: EDA 7a
Meeting Date: Feb 11, 2002
Type of Business: EDA Consent
City of Mounds View Staff Report
To: Mounds View Economic Development Authority
From: James Ericson, Community Development Director
Item Title/Subject: Consideration of Resolution 02-EDA-158 Approving
Amendments to the Purchase and Redevelopment
Agreement for 2091 Hillview Road and Amending
Previously Accepted Terms of Purchase
Date of Report: February 7, 2002
Background:
On December 10, 2001, the EDA accepted the offer submitted by G.R. Danielson and
Son Company to purchase EDA-owned property located at 2091 Hillview Road (the
“Property”) for $100,100. On January 7, 2002, the EDA held a public hearing regarding
the proposed conveyance of the property to the purchaser. Subsequent to the public
hearing, the City began negotiating a mutually agreeable Purchase and Redevelopment
Agreement (the “Agreement”) with the purchaser.
Discussion:
It was brought to the Council’s attention on February 4, 2002 that the purchaser objected
to a provision in the Agreement pertaining to payment of all city legal fees relating to the
transfer of the Property. It was pointed out that the Purchaser, had they known of the
requirement to reimburse the City for legal fees associated with the transfer, would have
originally offered a lesser amount to compensate for the additional expense. The Council
suggested as a compromise that the accepted purchase price of the Property could be
reduced to $99,000 in exchange for keeping the provision in the Agreement. The
Purchaser has agreed with this change.
Recommendation:
Staff recommends approval of attached Resolution 02-EDA-158.
_____________________________________
James Ericson
Community Development Director
763-717-4021
RESOLUTION NO. 02-EDA-158
MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY
COUNTY OF RAMSEY
STATE OF MINNESOTA
RESOLUTION AMENDING PREVIOUSLY ADOPTED RESOLUTION NO. 02-EDA-155
REGARDING THE TERMS AND CONDITIONS OF THE SALE OF EDA-OWNED
LAND LOCATED AT 2091 HILLVIEW ROAD TO G.R. DANIELSON & SON
COMPANY
It is hereby resolved by the Board of Commissioners (the “Board”) of the Mounds
View Economic Development Authority (the “Authority”) as follows:
WHEREAS, the Authority acquired the real property located at 2091 Hillview
Road (the “Property”) from the Department of Housing and Urban Development on
September 4, 2001; and,
WHEREAS, on December 10, 2001, the Authority accepted the offer submitted
by G.R. Danielson and Son Company (the “Purchaser”) in the amount $100,100 with an
additional $135,000 to be invested toward the repair and improvement of the Property;
and,
WHEREAS, the Authority held a public haring on January 7, 2002 regarding the
conveyance of the Property to the Purchaser at which time all interested persons were
given an opportunity to be heard; and,
WHEREAS, through negotiations with the purchaser, an amendment to the
proposed Purchase and Redevelopment Agreement (the “Agreement”) and to approved
Resolution 02-EDA-155 (the “Resolution”) have been put forward to the Authority for its
consideration; and,
WHEREAS, the amendments to the Agreement and Resolution are as follows:
1. The purchase price of the Property accepted by the Authority shall be
$99,000.
2. The Purchaser of the Property shall be identified by their individual personal
names: Gary Danielson, Debbie Danielson, David Scott and Peggy Scott.
All other provisions and requirements identified in the Agreement and Resolution shall
remain unchanged and in force.
NOW THEREFORE BE IT RESOLVED, the Mounds View Economic
Development Authority approves the sale of the Property to the Purchaser in the
amount of $99,000 less submitted earnest money.
RESOLUTION NO. 02-EDA-158 February 11, 2002
Page 2
NOW THEREFORE BE IT FURTHER RESOLVED, the Mounds View Economic
Development Authority hereby authorizes its President and Executive Director to
execute the amended Agreement which articulates the conditions and requirements of
this sale.
Adopted by the Board of Commissioners of the Mounds View Economic
Development Authority this 11th day of February, 2002.
___________________________
Richard Sonterre, President
ATTEST:
____________________________
Kathleen Miller, Executive Director
Motion:
Second:
Sonterre:
Stigney:
Quick:
Marty:
Thomas:
N:\DATA\GROUPS\COMDEV\Special Projects\SP-090-01 (2091 Hillview)\EDA Report - Feb 11, 2002.doc
M:\MasterFiles\1999 thru 2010\2002\EDA\EDA Packets\02-11-02\Item 7B-Reso 02-EDA-159 Approving Appointments to the EDA.doc
RESOLUTION NO. 02-EDA-159
MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY
COUNTY OF RAMSEY
STATE OF MINNESOTA
RESOLUTION FORMALLY APPROVING PERSONS APPOINTED BY THE MOUNDS
VIEW ECONOMIC DEVELOPMENT AUTHORITY TO FILL VACANCIES ON THE
ECONOMIC DEVELOPMENT COMMISSION
WHEREAS, the Mounds View Economic Development Commission (EDC) consist of
seven members appointed by the Authority President with the approval of the majority of the
Authority; and,
WHEREAS, the membership of the EDC is made up of four resident representatives and
three business representatives; and,
WHEREAS, on January 28, 2002, the Authority approved the appointment of two
business representatives to the EDC:
1. Jason Helgemoe, Western Bank (term to expire December 31, 2004)
2. David Fox, FedTech (term to expire December 31, 2004)
NOW, THEREFORE, BE IT RESOLVED that the Mounds View Economic Development
Authority does hereby approve the appointments as so identified.
Adopted this 11th day of February, 2002.
_____________________________
Richard Sonterre, President
Attest:
_____________________________
Kathleen Miller, Executive Director
SEAL
Motion: ________
Second: ________
Sonterre:
Stigney:
Quick:
Thomas:
Marty:
EDA Consent
Item 7b
Item No: 8A
Meeting Date: Feb 11, 2002
Type of Business: EDA Business
City of Mounds View Staff Report
To: Mounds View Economic Development Authority
From: James Ericson, Community Development Director
Item Title/Subject: Consideration of Resolution 02-EDA-160 Approving
First Half Developer Payments for the Building N and
Silver Lake Pointe Developments
Date of Report: February 7, 2002
Background:
Aaron Backman and Charlie Hansen have been working many hours together with the
assistance of our TIF advisors to come up with the appropriate pay-as-you-go
development assistance payments.
Discussion:
After long and careful review, staff is confident with the accuracy of the payments for the
two projects outlined in Resolution 02-EDA-160. Payments for the remaining pay-as-you-
go project will not be made at this time as it appears that the developer has been
overpaid in excess of what the first half 2002 payment would have been. Staff will be on
hand at the meeting to discuss this in as much detail as the Authority would desire.
Recommendation:
Approve Resolution 02-EDA-160 approving first half 2002 developer payments for the
Building N and Silver Lake Pointe Developments.
_____________________________________
James Ericson
Community Development Director
763-717-4021
RESOLUTION NO. 02-EDA-160
MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY
COUNTY OF RAMSEY
STATE OF MINNESOTA
RESOLUTION AUTHORIZING PAYMENT OF PAY-AS -YOU-GO DEVELOPMENT
PAYMENTS TO THE EVEREST GROUP AND HEARTLAND MOUNDS VIEW
COMMON BOND
It is hereby resolved by the Board of Commissioners (the “Board”) of the Mounds
View Economic Development Authority (the “Authority”) as follows:
WHEREAS, the EDA has entered into pay-as-you-go development agreements
on five properties with the developers of those properties; and,
WHEREAS, first half payments for these agreements are due on February 1st;
and,
WHEREAS, questions regarding calculations on past payments have been
found for three of the agreements; and,
WHEREAS, recalculations of the past payments are complete; and,
WHEREAS, payment of $24,311.35 to The Everest Group for the Building N
Project is now appropriate; and,
WHEREAS, payment of $19,980.12 to Heartland-Mounds View Common Bond
for the Silver Lake Pointe Project is now appropriate.
NOW THEREFORE BE IT RESOLVED, that the Mounds View Economic
Development Authority, that payments of $24,311.35 to The Everest Group and
$19,980.12 to Heartland-Mounds View Common Bond under pay-as-you-go
development agreements may now be made and subsequently included on the
February 25, 2002 Just and Correct Claims List.
Adopted by the Board of Commissioners of the Mounds View Economic
Development Authority this 11th day of February 2002.
___________________________
Rich Sonterre, President
ATTEST:
____________________________
Kathleen Miller, Executive Director
Motion:
Second:
Sonterre:
Stigney:
Quick:
Marty:
Thomas: