HomeMy WebLinkAbout10/27/1994 ECONOMIC DEVELOPMENT AUTHORITY
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City of Apple Valley
Dakota County, Minnesota
October 27, 1994
Minutes of the special meeting of the Economic Development Authority of Apple
Valley, Dakota County, Minnesota, held October 27th, 1994, at 7:30 o'clock p.m.
at Apple Valley City Hall.
PRESENT: President Branning; Commissioners Erickson, Goodwin, Humphrey, and Sterling.
ABSENT: None.
Staff members present were: City Administrator Gretz, Secretary Mueller, City
Attorney Sheldon, City Engineer Gordon, Finance Director Ballenger, Community
Development Director Kelley, Planning Intern Kragness, and Public Works Director
Miranowski.
President Branning called the meeting to order at 7:30 p.m.
MOTION: of Erickson, seconded by Sterling, approving the agenda for APPROVE AGENDA
tonight's meeting as presented. Ayes - 5 - Nays - 0.
MOTION: of Sterling, seconded by Erickson, approving the minutes of SEPT. 22, 1994
the special meeting of September 22nd, 1994, as written. MINUTES
• Ayes - 5 - Nays - 0.
John Voss, Ken Sherman, Steve Dubbs and Robert Deike were present to SHERMAN GROUP
discuss their proposal for the northeast corner of County Road 42 and LANDMARK
Cedar Avenue as outlined in Mr. Deike's letter of October 21, 1994. CORNER PROP.
Mr. Sherman said they are working with Old Chicago and Appleby's, to
construct restaurants; and with Country Inn, to construct an 82 -unit motel and
conference center.
Sid Inman, of Publicorp, the City's consultant, said he has reviewed the finan-
cial assistance proposal. The request is to use 95 percent of the tax increment
to acquire the hotel site. None of the increment would be used for the rest-
aurants, but would be used for acquiring the hotel site. Though Mr. Deike's
letter refers to "restaurant site improvements ", these are really common area
improvements not directly related to the restaurants. Assessment agreements will
be required to assure that minimum levels of tax increment are generated.
Jana King, the City's consultant, said they are looking for feedback on the
proposal at this time. The next step is for the attorneys to draft an agreement.
Larry Severson, of the Economic Development Growth Partnership Committee, said
the Committee reviewed the proposal and supports it.
Commissioner Sterling questioned the projected 12 years of tax increment
financing assistance. Mr. Inman said the total being financed is $1,405,000
($525,000 for land and $800,000 for improvements). The increment is projected to
• be captured for 11 years at $300,000 per year. With interest it will take until
the year 2008 to turn the corner. Commissioner Erickson asked to see the details
of such a financing schedule.
ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley •
Dakota County, Minnesota
October 27, 1994
Page 2
Mr. Gretz said the attorneys will be preparing a development agreement to come
back to the Board and the developers will start the process of making application
through the Planning Commission.
MOTION: of Goodwin, seconded by Humphrey, to adjourn. Ayes - 5 - Nays - 0.
The meeting was adjourned at 8 :03 o'clock p.m.
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