HomeMy WebLinkAbout3.1. Approval of Minutes: June 18, 2013 3.1•
Consent Business
SHAKOPEE
TO: Economic Development Authority
FROM: Julie Linnihan, Finance Director /City Clerk
DATE: 07/16/2013
SUBJECT: Minutes from June 18, 2013.
Action Sought
Move to approve the EDA minutes from June 18, 2013.
Attachments: 06 -18 -13 Minutes
OFFICIAL PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT
AUTHORITY SHAKOPEE,
MINNESOTA
Regular Session
June 18, 2013
Members Present: President Jay Whiting, Commissioners Steve Clay, Matt Lehman
and Brad Tabke. Absent was Commissioner Pamela Schurman.
Staff Members Present: Mark McNeill, City Administrator; Kris Wilson, Assistant City
Administrator; R. Michael Leek, Community Development Director;
Bruce Loney, Engineer /Public Works Director; Julie A. Linnihan,
Finance Director /City Clerk; Jim Thomson, City Attorney.
1. Roll Call
President Whiting called the meeting to order and roll was noted as above.
2. Approval of the Agenda
Lehman /Tabke moved to approve the agenda. Motion carried 4 -0.
3. EDA Minutes from May 21, 2013
Clay /Tabke moved to approve the minutes from May 21, 2013. Motion carried 4 -0.
4. Bills in the Amount of $4,104.37
Lehman/Clay moved to approve the bills in the amount of $4,104.37. Motion carried 4 -0.
5. Consideration of Private Activity Revenue Bond Policy
Julie Linnihan, Finance Director, said the City has been approached by a variety of end users to
issue Private Activity Revenue Bonds on their behalf. Some of these users include multi - family
housing developments, senior housing developments, and health care facilities.
The advantage to the businesses is that they are able to use the City's tax - exempt status to get
more favorable bond interest rates when the bonds are sold. Conversely, the City is able to assist
these businesses, while at the same time not incurring any risk or potential impact on the city's
bond credit rating.
Previously, the City has billed for actual expenses incurred due to financial or legal reviews.
However, there are also ongoing costs involved with reporting requirements. Therefore, to
ensure continuity, and to make certain that future reporting costs are covered, a policy for the
issuance of conduit bonds is recommended.
The City Attorney's office, Kennedy & Graven, and the City's Financial Adviser, Springsted,
have provided samples of current policies from other cities for the staff to use when developing a
policy. The EDAC reviewed a staff - recommended policy on June 12, 2013, and subsequently
made a recommendation that the City Council approve the policy. Their only addendum was that
it includes a provision that the benefiting business shall have a tie to Shakopee.
Clay /Tabke moved to recommend to the City Council the adoption of the Private Activity
Revenue Bond Policy. Motion carried 3 -1 with Cncl. Lehman in dissent.
Official Proceedings of the June 18, 2013
Economic Development Authority Page 2
6. Adjourn
Lehman/Tabke moved to adjourn to Tuesday, July 16, 2013 at 7:00 p.m. Motion carried
4 -0.
Julie A. Linnihan
Finance Director /City Clerk
Kim Weckman
Recording Secretary