11-13-2007 EDA MINMEETING OF THE ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
TUESDAY, NOVEMBER 13, 2007
Members Present: President Gongoll, Commissioners Dwyer, Farber, Klinzing, Moon, Tveite,
and Zenvas
Members Absent: None
Staff Present: Community Development Director Scott Clazk, Director of Economic
Development Catherine Mehelich, City Administrator Lori Johnson,
Planning Manager Jeremy Bamhart, Finance Director Tim Simon, and
Recording Secretary Jessica Miller
1. Call Meaning T~sQS>~
2.
3.
4.
5.
Pursuant to due call and notice thereof, the meeting of the Economic Development
Authority was called to order at 5:30 p.m. by President Gongoll.
on id r A ~~a
MOVED BY COMMISSIONER KLINZING AND SECONDED BY
COMMISSIONER DWYER TO APPROVE THE NOVEMBER 13, 2007, EDA
AGENDA. MOTION CARRIED 7-0.
('onsider ('onsenr Agenda
MOVED BY COMMISSIONER DWYER AND SECONDED BY
COMMISSIONER TVEITE TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
3.1. CONSIDER OCTOBER 8, 2007, REGULAR MEETING MINUTES
3.2. OCTOBER 15, 2007, SPECIAL MEETING MINUTES
3.3. CHECK REGISTERS
3.4. BALANCE SHEET
3.5. REVENUE/EXPENDITURE REPORT
3.G. PAY ESTIMATES (YMCA)
MOTION CARRIED 7-0.
n Mik
No one appeared for open mike.
Undate nn C'ar ==.~y B,lsi~ j
Planning Manager Jeremy Baxnhaxt provided an update on the Gateway Business Center
project. Mr. Bamhart indicated that staff continues working with EECHCC on details of
their potential location widtin die business pazk.
Economic Development Authority Minutes
November 13, 2007
Page 2
Mr. Barnhart stated that staff met with Cargill to provide them with an update on the city's
plans for the Gateway property. He explained that the agreement that is in place between the
city and Cargill states that Cargill must be given 90 days notice when the city portion of the
property is to be developed and six months notice when the Cargill portion of the property
is to be developed. He stated that the property includes the connecting road from 165
Avenue to 171~~ Avenue. He stated that staffs understanding is that the plan is to not
develop the road at this time.
Commissioner Motin questioned if Cargill should be given notice since the current
development is planning a June groundbreaking. Mc Bamhart stated that if the plan is to
develop or improve the road in the near future the city may want to give Cargill notice.
Commissioner Motin questioned if the developer has requested the additional access. Mr.
Bamhart stated that they have not. He noted that improvements to the connecting street
may be included as pazt of the development analysis.
Mr. Clark noted that developing the through street from 165w to 171s~ Avenue is also a
financial issue. He stated that current cost estimates for improvements, including utilities and
wetland mitigation, are in upwards of $4 million. He indicated that it may advantageous for
the city to phase in the development and road improvements.
Commissioner Moon questioned if six months notice should be given in order to lock in the
alignment. Mr. Bamhart explained that the agreement between Cargill and the city
establishes the alignment and staff understands no change is proposed. Mr. Bamhart noted
that six month notice could be given iE the desire is to begin preliminary grading work soon
for the road alignment.
6. Tlpdate on nt rtainment (' r r Pr~gxr
Director of Economic Development Catherine Mehelich indicated that staff is continuing
discussions with Energy Entertainment Enterprises, LLC. on refining site plans to work with
the current road alignment. She stated drat staff is working with Ehlers & Associates to
complete the tax abatement application process. She stated that staff is also working with the
developer to obtain the necessary information for Ehlers and Associates to conduct a due
diligence on the financial feasibility analysis. Ms. Mehelich indicated that an update will be
provided at the December EDA meeting.
lpdate nn Fine Dining Recta, r~r pro~~
Director of Economic Development Catherine Mehelich explained that staff is working with
Umbria - La Cucina Italiana, the developer of the proposed Assissi/Level fine dining and
night club. Ms. Mehelich stated that staff has been working to obtain information for Ehlers
to conduct a due diligence on the financial feasibility analysis.
Ms. Mehelich indicated that the developer has expressed strong concerns on the timeframe
for securing the property. She stated that the developer is continuing to explore the
economics of locating elsewhere.
Economic Development Authority Minutes
November 13, 2007 Page 3
8. ~I Tiszn Callinv Cloeed Exes~r' C n in Ctrono Confer n R m to Cnnc~dr
Purrhac.. (1FF . t . u,.,.i n____ _. . ~ ,- _ _- - - -
MOVED BY COMMISSIONER TVEITE AND SECONDED BY
COMMISSIONER FARBER CALLING CLOSED EXECUTIVE SESSION IN
ORONO CONFERENCE ROOM TO CONSIDER A PURCHASE OFFER FOR
REAL PROPERTY IDENTIFIED AS LOT 1, BLOCK 1 MULVANEY POINT IN
ELK RIVER PER MN STATUTE ]3D.03, SUBD, 3(C). MOTION CARRIED 7-0.
9 Executive S ccinn
The regular meeting was recessed at 5:45 p.m. in order to hold the executive session. The
regular meeting reconvened at 6:26 p.m.
10. Executive Session Summarc
President Gongoll stated that the purpose of the executive session was to review an appraisal
and consider a purchase offer for real property identiFed as Lot i, Block 1 Mulvaney Point
in Elk Rivet Mr. Gongoll stated a motion was approved 4-3 to proceed with consideration
of the bid process for this property based upon further evaluation of the bid information.
11. Adjournment
There being no other business, President Gongoll adjourned the meeting of the Elk River
Economic Development Authority adjourned at 6:28 p.m.
Minutes prepared by Jessica Miller.
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Tina A1lazd
City Clerk