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HomeMy WebLinkAboutEDA Resolution 08-EDA-248EDA RESOLUTION NO. 08-EDA-248 MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION AUTHORIZING A MODIFICATION TO THE OCTOBER 2001 DEVELOPMENT ASSISTANCE AGREEMENT WITH MOUNDSVISTA, INC. WHEREAS, in October 2001, the Mounds View Economic Development Authority (EDA) entered into a Development Assistance Agreement with MoundsVista, Inc. (d.b.a. The Mermaid) to assist with the construction of a hotel and banquet center; and, WHEREAS, the assistance was in the form of pay-as-you-go Tax Increment Financing (TIF) Revenue Bonds that the EDA issued at a principle amount not to exceed $850,000 plus interest at a rate not to exceed 7.75, which equates to a total assistance amount of $1,278,006; and, WHEREAS, the October 2001 Development Assistance Agreement includes a Minimum Assessment Agreement requiring that the project area reach a minimum assessed market of $8,500,000 by 2013; and, WHEREAS, on September22, 2008, the Mounds View City Council approved a 4-acre subdivision of the project area; and, WHEREAS, on October 20, 2008, MoundsVista, Inc. requested that the 1.4-acre subdivision be removed from the project area; and, WHEREAS, the TIF Revenue Bondholders must approve MoundsVista, Inc.'s request; and, WHEREAS, Ramsey County will require a new appraisal of the property located within the project area (less the 1.4 acres) in order to re-certify the minimum assessed value of the property per the Minimum Assessment Agreement; and, NOW, THEREFORE BE IT RESOLVED THAT the Mounds View Economic Development Authority does hereby authorize a modification of the October 2001 Development Assistance Agreement for the removal of the future 1.4-acre subdivision from the project area and that all costs associated with this modification be the responsibility of MoundsVista, Inc. subject to the following: 1. Compliance with all terms and conditions of this resolution; 08-EDA-248 October 27, 2008 Page 2 of 2 2. Any required approvals and conditions of any other governmental entity necessary for the modification contemplated by this Resolution; and 3. That such modification contemplated by this Resolution should be at no cost to the City of Mounds View (the "City") and the EDA, and further, that such modification shall not result in any liability to the City and the EDA and that MoundsVista, Inc. agrees to indemnify, defend and hold harmless the City and EDA and all officers, employees and consultants of the City and EDA from any and all liability associated with the modification contemplated by this resolution. Adopted this 27th day of October, 2008 by the Mounds w Econ mic Development Authority Rob Marty, President (ATTEST) ~ ~~ ~k.t~ James Ericson, Executive Director