HomeMy WebLinkAbout3.A. Approval of Minutes: August 06, and 19, 2003
OFFICIAL PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
SHAKOPEE, MINNESOTA
REGULAR SESSION
AUGUST 6, 2003
Members Present: Link, Joos, Mars, Helkamp and Chair Lehman.
Members Absent: None
Staff Present: Mark McNeill, City Administrator; Judith S. Cox, City Clerk; R. Michael
Leek, Community Development Director; Bruce Loney, Public Works Director/City
Engineer; Gregg V oxland, Finance Director; Paul Snook, Economic Development
Coordinator; Jim Thomson, City Attorney; Mark Themig, Facilities and Recreation
Director; and Mark McQuillan, Natural Resources Director.
I. Roll Call:
Chair Lehman called the meeting to order at 7:58 p.m. Roll was taken as noted above.
II. Approval of the A~enda:
Chair Lehman removed Item # 5 Approval of the bills from the Consent Agenda.
Link/Mars moved to approve the agenda as amended. Motion carried 5-0.
III. Approval of the Consent Ae;enda:
The following item was removed from the Consent Agenda. Item # 5 Approval of the
bills.
The following items were on the Consent Agenda.
Item #4 Approval ofthe Minutes.
Item # 6 Small Cities Development Program - July Update.
Mars/Helkamp moved to approve the Consent Agenda as modified. Motion carried 5-0.
IV. Approval of the Minutes:
There were no minutes to approve this month.
V. Financial
V.a. Approval ofthe Bills.
This item was removed from the Consent Agenda.
Chair Lehman questioned Mr. Snook regarding the attorney's fees in the amount of
$1,170. Mr. Snook noted some of the attorney's fees may be related to development fees
and those fees were reimbursed to the City.
Official Proceedings of the Shakopee August 6, 2003
Economic Development Authority Page -2-
Lehman/Mars moved to approve the EDA bill list in the amount of$56,989.75. Motion
carried 5-0.
VI. Small Cities Development Program - July Update.
Mars/Helkamp moved to accept the July, 2003 Small Cities Development Program
(SCDP) Update. (Motion carried under the consent agenda.)
VII. Ryan Companies US, Inc. Request to Amend Subsidies Application for Valley
Green Corporate Center.
Mr. Snook stated that the EDA was asked to grant authorization to Ryan Companies US,
Inc. to amend its Application for Business Subsidies for the proposed Valley Green
Corporate Center, and submit it to the Economic Development Advisory Committee for
consideration and possible recommendation to the EDA and City Council. Mr. Snook
stated that Ryan Companies would resubmit its application to the EDAC and from there
the application would come to the Economic Development Authority (EDA) and then the
City Council after it was reviewed by the EDA. Since the original application was
received backin February there had been much discussion regarding the planning, land
use and financial aspects of this project. There was not a lot of support for the financial
abatement on the residential portion of the project. Mr. Snook noted the Business
Subsidies application proposed to amend the residential portion (eliminating the
abatement on the residential), consider a tax abatement on the retail development only
and Ryan Companies was also asking for consideration that park dedication fees be
waived for the residential development. This tax abatement would be dedicated to the
infrastructure costs. The details of the abatement were unknown at this time.
Mr. Snook noted that if the authorization to grant Ryan Companies US, Inc. permission
to amend its Application for Business Subsidies were granted, the Park and Recreation
Advisory Board would also review this application because Ryan Companies was asking
that the Park Dedication Fees be waived.
Chair Lehman pointed out that there was not much to talk about until the plans for the
abatement were seen. He noted that the tax abatement for the residential sector was going
to be removed and he had been opposed to this residential abatement originally.
Joos/Lehman moved to grant authorization to Ryan Companies US, Inc. to amend its
Application for Business Subsidies for the proposed Valley Green Corporate Center, and
submit it to the Economic Development Advisory Committee and the Park and
Recreation Advisory Board for their consideration and possible recommendation to the
EDA and City Council.
Official Proceedings of the Shako pee August 6, 2003
Economic Development Authority Page -3~
City Attorney, Jim Thomson, explained some of the wording of the proposed abatement.
Mr. Snook gave an overview of what the EDAC does. He noted it was an advisory
committee only that recommends. They do not have any decision making authority.
Cncl. Link noted that a few years ago Valley Green petitioned to have work done on
County Road 83 and County Road 16 and signed a waiver not to contest the assessments
and that they would pay the assessments. Cncl. Link and the City Attorney noted that a
waiver was a contract. Cncl. Link therefore, wanted to know why Valley Green was then
asking the taxpayers of Shakopee to pay the assessments. Chair Lehman noted that it was
Ryan Companies and not Valley Green asking for the abatement. It was not the person
who petitioned for the improvement that was asking for the assistance. Cncl. Joos felt
this discussion was premature because the only thing on the table was a request to accept
the change. The application was not in front of the EDA tonight; it was only a request for
a change.
It was noted that the County should have built the roads because these were county roads
that were being talked about and the assessments never would have happened. It was
stated by Chair Lehman that there are rules that have to be followed to receive an
abatement.
Motion carried 4~ 1 with Cncl. Link dissenting.
Mr. McNeill noted that Valley Green was current with paying their assessments.
VII. Adjourn:
Joos/Lehman moved to adjourn to August 19,2003. Motion carried 5-0. The meeting
adjourned at 8: 17 p.m.
~d.~
a~ s. Cox,
EDA Secretary
Carole Hedlund
Recording Secretary
OFFICIAL PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
SHAKOPEE,MINNESOTA
ADJ. REGULAR SESSION
AUGUST 19,2003
Members Present: Link, Joos, Mars, Helkamp and Chair Lehman.
Members Absent: None
Staff Present: Mark McNeill, City Administrator; Judith S. Cox, City Clerk; R. Michael
Leek, Community Development Director; Bruce Loney, Public Works Director/City
Engineer; Gregg Voxland, Finance Director; Jim Thomson, City Attorney.
I. Roll Call:
Chair Lehman called the meeting to order at 7:22 p.m. Roll was taken as noted above.
II. Approval of the A2enda:
Joos/Link moved to approve the agenda. Motion carried 5~0.
III. Resolution 2003-04, Approving the Execution and Delivery of an Indenture of Trust
and Other Documents Related to the Northridge Apartments Project:
Mr. McNeill noted this was an item relating to the follow-up and the fmancing of the
Northridge Apartments project. This action was taken per Councils direction after the
June 3, 2003, meeting.
Joos/Link offered Resolution No. 2003-04, approving the Execution and Delivery of an
Indenture of Trust and Other Document Related to Northridge Apartments Project, and
moved its adoption.
Cncl. Lehman noted that he would like to read the document. . Mr. McNeill noted the City
could provide copies of the full agreement. Cncl. Lehman stated that he wanted to make
sure what he had been asking for was actually in the agreement. Cncl. Lehman wanted to
make sure if the project did not succeed not only would the City have a financial interest
in the land but in the building also.
Barb Portwood, on behalf of Scott County HRA, approached the podium and stated since
the development agreement had been negotiated there had been further developments;
therefore, Scott County was putting its full faith and credit behind the bonds. The City's
full statutory limit will be pledged to reimburse the County, as a result of this, the
document currently provided that the first mortgage was in favor of the County but to the
extent that the City reimbursed the County there would be a seeond mortgage in favor of
the City. This did secure the City.
Motion carried 5-0.
. ---.
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Economic Development Authority Page -2-
IV. Other Business:
There was no other business.
V. Ad.iourn:
JooslLehman moved to adjourn. The meeting adjourned at 7:25 p.m. Motion carried 5-0.
cn~o~ ~
EDA Secretary
Carole Hedlund
Recording Secretary