HomeMy WebLinkAbout09/23/1993 ECONOMIC DEVELOPMENT AUTHORITY
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City of Apple Valley
Dakota County, Minnesota
September 23, 1993
Minutes of the special meeting of the Economic Development Authority of Apple
Valley, Dakota County, Minnesota, held September 23rd, 1993, at 7:00 o'clock p.m.
at Apple Valley City Hall.
PRESENT: President Branning (attended at 7:15 p.m.); Commissioners Erickson,
Goodwin, Humphrey and Sterling.
ABSENT: None.
City staff members present were: Executive Director Melena, Secretary Mueller,
City Attorney Sheldon and Finance Director Ballenger.
Vice President Humphrey called the meeting to order at 7:00 p.m.
MOTION: of Erickson, seconded by Sterling, approving the agenda for APPROVE AGENDA
tonight's meeting as amended. Ayes - 4 - Nays - 0.
MOTION: of Sterling, seconded by Erickson, approving the minutes of SEPT. 9, 1993
the special meeting of September 9th, 1993, as written. MINUTES
Ayes - 4 - Nays - 0.
• Steve Mattson, of Juran & Moody, was present and described a proposal BOND REFINANCE
for refinancing certain bonds. The tax increment bond refinancing will PROPOSAL
reduce the interest rate from 6.393 percent to 3.896 percent. The City
Council will be acting on the refinancing, but because tax increment bonds are
involved, the EDA is requested to approve a pledge agreement regarding available
tax increments for the debt service account. The bonds involved are $2,100,000 G.O.
Tax Increment Bonds of 1989 and $2,250,000 G.O. Tax Increment Bonds of 1990.
MOTION: of Goodwin, seconded by Erickson, adopting Resolution No. RES. EDA -93 -5
EDA -93 -5 approving and authorizing execution of a tax BOND PLEDGE
increment pledge agreement respecting payment of $3,250,000 AGREEMENT
General Obligation Refunding Bonds of 1993, Series B, of the
City of Apple Valley. Ayes - 4 - Nays - 0.
The Board received a report dated September 20, 1993, summarizing BUS. ASSIST.
business assistance program agreement costs incurred to date and the PROGRAM
cost of those being submitted for consideration at this meeting. Mr. REPORT
Melena reviewed the information and noted retention /expansion funds
have been used. Agreements submitted at this meeting could be funded under the
discretionary attraction portion and then only the incubator portion of the
program will have funds remaining.
MOTION: of Goodwin, seconded by Erickson, approving the Agreement APPLIEDGRAPHIC
with AppliedGraphics Limited Partnership for discretionary BUSINESS ASST.
attraction business rental assistance totaling $30,254.28, AGREEMENT
• over three years, for 2,370 square feet of space; and
authorizing execution of documents. Ayes - 4 - Nays - 0.
ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley •
Dakota County, Minnesota
September 23, 1993
Page 2
MOTION: of Goodwin, seconded by Sterling, approving the Agreement SUBURBAN TITLE
with Suburban Title, Inc., for business rental assistance, BUSINESS ASST.
under the discretionary attraction program, totaling AGREEMENT
$25,000.00, over three years, for 3,200 square feet of
space; and authorizing execution of documents.
Commissioner Sterling said she opposes moving Suburban Title to the discretionary
attraction portion of the program since it was to be used to help businesses
locate to the City. The program was set up on a first come first served basis
and if retention /expansion funds have been used up, that portion of the program
should end. (President Branning attended during this time.)
Commissioner Humphrey said the overall program has funding available and he does
not see a problem with approving this under the discretionary attraction portion.
Commissioner Erickson noted that the program has been adjusted as it has gone
along and he does not have a problem adjusting it for this agreement.
Mr. Melena said the Board authorized an initial budget of $250,000 for the three-
year program. If an allocation of $60,000 is made for rental assistance to
Enderes Tools, all of the funding through December 31, 1996, will be used and •
that will basically end the program . Only about $3,600 will remain in the
incubator portion.
Vote was taken on the motion. Ayes - 4 - Nays - 1 (Sterling).
MOTION: of Goodwin, seconded by Erickson, setting the next Board SET NEXT
meeting at 7:00 p.m. on October 28, 1993, at City Hall. Ayes MEETING
- 5 - Nays - 0.
MOTION: of Sterling, seconded by Erickson, to adjourn. Ayes - 5 - Nays - 0.
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The meeting was adjourned at 7:20 o'clock p.m.
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