HomeMy WebLinkAbout10/12/2006 ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley
Dakota County, Minnesota
• October 12, 2006
Minutes of the special meeting of the Economic Development Authority of Apple Valley, Dakota
County, Minnesota, held October 12, 2006, at 6:30 o'clock p.m., at the Apple Valley Municipal
Center.
PRESENT: Commissioners Bergman, Erickson, Goodwin, and Hamann - Roland.
ABSENT: President Severson and Commissioner Grendahl.
Staff members present were: Executive Director Lawell, Secretary Gackstetter, Finance Director
Ballenger, Assistant City Administrator Grawe, Public Works Director Heuer, Acting
Community Development Director Lovelace, City Engineer Manson, and Police Captain Marben.
Vice - President Goodwin called the meeting to order at 6:30 p.m.
APPROVAL OF AGENDA
MOTION: of Bergman, seconded by Hamann - Roland, approving the agenda for today's
meeting as presented. Ayes - 4, Nays - 0.
• MINUTES
MOTION: of Hamann- Roland, seconded by Erickson, approving the minutes of the special
meeting of June 20, 2006, as written. Ayes - 4, Nays - 0.
$6,400,000 REFUNDING BONDS FOR ISD 196
Mr. Steve Mattson, of Northland Securities, said with the current market it is possible to save
approximately two - thirds of a percent on the revenue bonds issued for the Independent School
District 196 School of Environmental Studies (SES). The bonds were originally sold in 1994 and
were refinanced in 1998. Although the Economic Development Authority sold the bonds for the
SES project, the school district is responsible to pay the principal and interest on the bonds. The
school district leases the SES property from the Zoo for $1.00 a year. There are eight years left
in the lease. Refunding the bonds will save the school district approximately $105,000.00 in
future debt service costs.
MOTION: of Erickson, seconded by Hamann- Roland, adopting Resolution No. EDA -06 -2
amending and restating the resolution authorizing the issuance of $6,400,000
Public Project Revenue Refunding Bonds, Series 1998 (Independent School
District No. 196 lease obligations) and the execution and delivery of a second
supplement to Lease Agreement and a second supplement to Trust Indenture, and
• authorizing the President and Secretary to sign the necessary documents. Ayes -
4, Nays -0.
ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley
Dakota County, Minnesota
October 12, 2006 •
Page 2
BIOSCIENCE ZONE PROGRAM
Mr. Lovelace explained that Dakota Future is a non - profit organization serving Dakota County.
Its primary goals are to improve the overall economic environment in Dakota County by
engaging the collaborative leadership of business, government, and education; and to market
Dakota County as a world -class location for business. Approximately 20 private sector
companies sponsor the organization.
Mr. Lovelace said Dakota Futures asked the City if it would like to participate in a joint
application with Dakota and Goodhue Counties in designating specific parcels for inclusion in
the Bioscience Zone Program. The Bioscience Zone Program provides tax exemptions and
credits to biotech and health science businesses. The program provides a tool that allows bio-
related businesses to cluster together.
Five properties in Apple Valley met the criteria for inclusion in the application. Two property
owners opted not to participate in the program. Venstar, Fischer Market Place, and the Hartford
Group have agreed to be included in the bio -zone application. Mr. Lovelace indicated that this
evening the City Council will consider passing a resolution and authorizing submittal of an
application designating these properties for inclusion into the Bioscience Zone Program.
Commissioner Hamann- Roland stated she was interested in the program.
Commissioner Bergman asked if this would lock these properties into this use
Mr. Lovelace said there is no obligation to actually develop the property for bio -tech and health
science uses. The tax credits and exemptions would simply not be granted if the land is not used
for this purpose.
Commissioner Bergman left the meeting at 6:44 p.m.
Mr. Bill Coleman, Dakota Future Executive Director, said bioscience businesses would be a
valuable asset to Dakota County. Medtronics has indicated it would like to expand south of the
river. Very likely the first place they will look at is a bio- zone. By participating in the program,
Apple Valley is increasing its opportunity to develop and grow this type of business.
Commissioner Bergman returned at 6:46 p.m.
Commissioner Goodwin said he believes participating would give Apple Valley an advantage.
Mr. Lawell noted that although $1,000,000 was initially funded for this program, no additional • -
funds have been authorized.
ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley
Dakota County, Minnesota
• October 12, 2006
Page 3
MOTION: of Hamann- Roland, seconded by Erickson, recommending approval of the joint
application with Dakota and Goodhue Counties on the Bioscience Zone Program
application to the State of Minnesota. Ayes - 4, Nays - 0.
MOTION: of Erickson, seconded by Bergman, to adjourn. Ayes - 4, Nays - 0.
The meeting was adjourned at 6:50 o'clock p.m.