08-12-2002 EDA MINMEETING OF THE ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, AUGUST 12, 2002
Members Present: Commissioners Dwyer, Klinzing, Kuester, Tveite and i~Iotin
Members Absent: President Gongoll and Commissioner Koenig
Staff Present: Dixettor of Economic Development Catherine Mehelich, City
Administrator Pa[ Klaers, Finance Director Lori Johnson and City Clerk
Sandra Peine
1. Call Meeting To Order
Pursuant to due call and notice thereof, the meeting of the Economic Development
Authority was called to order at 6:00 p.m. by Vice President Dwyer.
2. ConsidecS/12/02Agenda
COMMISSIONER TVEITE MOVED TO APPROVE THE AUGUST 12, 2002,
EDA AGENDA. COMMISSIONER MOTIN SECONDED THE MOTION. THE
MOTION CARRIED 4-0.
3. Consider Consent Agenda
COMMISSIONER TVEITE MOVED TO APPROVE THE CONSENT AGENDA
AS FOLLOWS:
3.1. JULY 8, 2002 EDA MINUTES
3.2. CHECK REGISTER
3.3. REVENUE/EXPENDITURE REPORT
3.4. BALANCE SHEET
3.5. AMENDMENT TO NORTSTAR DIE CASTING (STEVE WHITING)
SETTLEMENT PAYMENT OF $500 PER MONTH FOR A PERIOD OF
ONE YEAR COMMENCING SEPTEMBER 1, 2002 AND RESUMING
PAYMENTS OF $1,000 PER MONTH NO LATER THAN SEPTEMBER
1, 2003 AND TO CONTINUE UNTIL FULL PAYMENT IS RECEIVED
IN JULY 2004.
COMMISSIONER KUESTER SECONDED THE MOTION. THE MOTION
CARRIED 4-0.
4. Ogen Mike
No one appeared Eor open mike.
(Commissioner Klinzing arrived at this time (6:04 p.m.)
Economic Development Authority Minutes Page 2
August 12, 2002
5. 2003A S8.OOQ000 Public Safety Bond
6. 2002B $1.695.000 City Hall Bond
Finance Director Lori Johnson reviewed the staff report regarding the issuance of bonds for
the public safety building and the addition to city hall (Elk River Nlunicipal Utilities
addition). She noted that there would be a lease agreement between the EDA and the City as
the EDA is the issuer of the bonds. She further noted that the City would be bound by the
lease to make all debt payments.
Lori Johnson informed the EDA that Moody's has upgraded the City's bond rating to A2.
Nlark Ruff of Ehlers and Associates reviewed the results of the bond sale. He noted that
Piper Jaffcay was the low bidder for the public safety facility at 4.4124% and that Morgan
Stanley Dean Witter was the low bidder fox the city hall addition at 4.695%.
COMMISSIONER MOTIN MOVED TO ADOPT RESOLUTION 02-04
AUTHORIZING THE ISSUANCE OF PUBLIC SAFETY BUILDING LEASE
REVENUE BONDS SERIES 2002A AND THE EXECUTION AND DELIVERY
OF A LEASE AGREEMENT, A MORTGAGE AND SECURITY AGREEMENT,
AND INDENTURE OF TRUST ON OTHER DOCUMENTS IN
CONNECTION THEREWITH. COMMISSIONER TVEITE SECONDED THE
MOTION. THE MOTION CARRIED 5-0.
COMMISSIONER KLINZING MOVED TO ADOPT RESOLUTION 02-OS
AUTHORIZING THE ISSUANCE OF CITY HALL EXPANSION REVENUE
BONDS SERIES 2002B AND THE EXECUTION AND DELIVERY OF A
SUPPLEMENT TO LEASE PURCHASE AGREEMENT AND A SUPPLEMENT
TO TRUST INDENTURE IN CONNECTION THEREWITH.
COMMISSIONER MOTIN SECONDED THE MOTION. THE MOTION
CARRIED 5-0.
Other Business
Vice President Dwyer noted that the City of Elk River has received a local advertising award
from EDAM. Vice President Dwyer referenced the Business Incubator Program Update
memo in the EDA packet.
8. Adjournment
There being no other business, COMMISSIONER TVEITE MOVED TO ADJOURN
THE MEETING. COMMISSIONER MOTIN SECONDED THE MOTION.
THE MOTION CARRIED 5-0.
The meeting of the Elk River Economic Development Authority adjourned at. 6:10 p.m.
~~ Q ~~
Sandra Peine
City Clerk