HomeMy WebLinkAbout3.B. EDA Minutes Consent Business
3. B.
S1 IAK0111'1.
TO: Economic Development Authority
FROM: Julie Linnihan,Finance Director/City Clerk
DATE: 07/15/2014
SUBJECT: EDA Minutes
Action Sought
Move to approve the EDA Minutes from May 20, 2014 and June 17, 2014.
Attachments: 05-20-14 EDA Minutes
06-24-14 EDA Minutes
OFFICIAL PROCEEDINGS OF THE ECONOMIC DEVELOPMENT AUTHORITY
REGULAR SESSION SHAKOPEE MINNESOTA May 20,2014
Present: President Matt Lehman;Commissioner Brad Tabke;Commissioner Mike Luce; Commissioner Kathi
Mocol;Commissioner Jay Whiting
Staff City Administrator Mark McNeill;Community Development Director R. Michael Leek;Public Works
Present: Director/Engineer Bruce Loney;Finance Director/City Clerk Julie A Linnihan; City Attorney Jim
Thomson
1. Roll Call
2. Approval of the Agenda
Moved by Jay Whiting, seconded by Mike Luce
Vote: 5 -0 Carried
3. Consent Business
Moved by Kathi Mocol,seconded by Brad Tabke
Vote: 5 -0 Carried
A. Move to approve the EDA minutes from April 15,2014. (Motion carried under the Consent
Agenda)
B. Moved to approve bills in the amount of$1,332.85 for the EDA Fund.(Motion carried under the
Consent Agenda)
4. General Business
None
5. Adjourn to Tuesday,June 17,2014.at 7:00 p.m.
Moved by Jay Whiting,seconded by Kathi Mocol
Vote: 5 -0 Carried
Julie A Linnihan
Finance Director/City Clerk
Kim Weckman
Recording Secretary
OFFICIAL PROCEEDINGS OF THE ECONOMIC DEVELOPMENT AUTHORITY
REGULAR SESSION SHAKOPEE MINNESOTA June 17,2014
Present: Acting President Kathi Mocol;Commissioner Brad Tabke;Commissioner Mike Luce;Commissioner
Jay Whiting
Absent: President Matt Lehman
Staff City Administrator Mark McNeill;Community Development Director R.Michael Leek;Public Works
Present: Director/Engineer Bruce Loney;Finance Director/City Clerk Julie A Linnihan; City Attorney Jim
Thomson;Economic Development Coordinator Samantha DiMaggio
1. Roll Call
2. Approval of the Agenda
Moved by Brad Tabke,seconded by Jay Whiting moved to approve the Agenda.
Vote: 4-0 Carried
3. Consent Business
A. EDA Bill List
Moved by Brad Tabke,seconded by Mike Luce to approve bills in the amount of$1,140.80 from
the EDA Fund. (Motion carried under the Consent Agenda)
Vote: 4-0 Carried
4. General Business
A. Authorization of Redevelopment Tax Increment Financing(TIF)Analysis for Canterbury Park
Holding Corporation.
Ms.DiMaggio said Canterbury Park is currently exploring the possibility of a multi-use
development. This development would be in addition to the current racing and card club facility
for which Canterbury is well known.
Very early stage planning indicates a possibility of relocating and redeveloping the stables portion
of the track,adjacent to CR 83.In order to facilitate this,public financial assistance may be
needed. Canterbury is therefore exploring the possibility of whether TIF assistance would be
possible.Before further discussions may take plan, a legal and financial analysis of the project will
be necessary,as Minnesota law is very specific regarding the criteria that must be met in order to
qualify as a Tax Increment Redevelopment District.
As the TIF analysis would be for the City,the contractor would need to be hired by,and
answerable to the City. As a result, City staff contacted LHB to provide a proposal. LHB has
subsequently submitted a proposal for a feasibility study,including a work plan and cost
assessment.
This study would be completed for the City of Shakopee's benefit,but Canterbury Park would
reimburse the City for the cost of the study. The proposal is for the work to be done on an hourly
basis,with a total cost not to exceed$24,000,plus expenses.
Randy Sampson,General Manager of Canturbury,presented Council with concept plans of the
redevelopment project.
Moved by Jay Whiting, seconded by Mike Luce to authorize the appropriate officials to enter into
contract with LHB for a TIF Redevelopment Analysis for Canterbury Park Holding Corporation.
Vote: 4-0 Carried
B. Commercial Exterior Improvement Program update.
Ms.DiMaggio discussed the current Commercial Exterior Improvement Program. She provided
updates to the EDA of current projects. Ms.DiMaggio stated that there is currently$128,108.80 in
the fund. No action required.
1. Consideration of a Commercial Exterior Improvement Program Loan for PJT Investments,LLC.
Ms.DiMaggio said PJT Investments,LLC has requested assistance in the form of a deferred loan
from the City's Commercial Exterior Improvement Program. If the application is approved,
replacement of the roof will be done to the building.
Two estimates were received:the first was for$34,344 and the second was for$22,500. The
program covers 50%of the total costs,therefore PJT Investments,LLC would be eligible
for$11,250 in the form of a deferred/forgivable loan.
The Commercial Exterior Improvement Committee met on Thursday,June 12,2014 and
recommended this loan be approved in the amount of$11,250.
Moved by Brad Tabke, seconded by Mike Luce to approve a Commercial Exterior Improvement
Loan in the amount of$11,250 and authorize the appropriate officials to enter into Repayment
Agreement with PJT Investments,LLC, 100 Fuller Street, Suite 250, Shakopee.
Vote: 4-0 Carried
2. Consideration of a Commercial Exterior Improvement Program Loan for ABF Properties,LLC
(DBA Thirvent Financial).
ABF Properties,LLC has requested assistance in the form of a deferred loan from the City's
Commercial Exterior Improvement Program. If the application is approved,the following work
will be done to the exterior of the building:
•Purchase and installation of new doors and windows
•Roof Replacement
•Brick Repair
Two estimates were received:the first was for$63,088.30 and the second was for$58,012. The
program covers 50%of the total costs or a maximum amount of$15,000. Due to the extensive
renovation costs associated with both the interior and exterior of this property,ABF Properties,
LLC is requesting a deferred/forgivable loan in the amount of$29,006.
The Commercial Exterior Improvement Committee met on Thursday,June 12, 2014 and
recommended this loan be approved in the amount of$15,000.
Andy Frank, owner of ABF Properties,presented the EDA with his plans to renovate the building
discussed above. He also asked the EDA to consider his request of a deferred/forgivable loan in
the amount of$29,006. After discussion,the EDA asked if Mr. Frank if he would be willing to
commit to a 10 year deferred/forgivable loan if the EDA funded$29,006. Mr.Frank said he plans
on his business being at the location for more than 10 years.
Moved by Brad Tabke,seconded by Mike Luce to approve a Commercial Exterior Improvement
Loan in the recommended amount of$29,006 and also authorize the appropriate officials to enter
into Repayment Agreement for 10 years with ABF Properties,LLC,238 Lewis Street South,
Shakopee.
Vote: 4-0 Carried
5. Adjourn to Tuesday,July 15,2014 at 7:00 p.m.
Moved by Jay Whiting, seconded by Mike Luce to adjourn to Tuesday,July 15,2014 at 7:00 p.m.
Vote: 4-0 Carried
Julie A Linnihan
Finance Director/City Clerk
Kim Weckman
Recording Secretary