04-053 RES RESOLUTION NO. 04-53
CITY OF ELK RIYER
RESOLUTION APPROVING PROPERTY TAX ABATEMENTS
BE IT RESOLVED by the City Council (the "Council") of the City of Elk River,
Minnesota (the "City"), as follows:
1. Recitals.
(a) Badger Ventures, LLC (the "Developer") proposes to construct an
approximately 13,000 square foot light manufacturing facility in the City (the "Project").
The Developer has requested that the City provide financial assistance to the Developer
for the Project. The City proposes to use the abatement for the purposes provided for in
the Abatement Law (as hereinafter defined), including the Project. The proposed term of
the abatement will be for up to ten years in an amount not to exceed $72,778. The
abatement will apply to 100% of the City's share of the property taxes (the "Abatement")
derived from the property described as the East 143.83 feet of Lot 4, Block 1, Elk River
Business Park, and the West 125.98 feet of Lot 5, Block 1, Elk River Business Park,
according to the recorded plat thereof, Sherbume County, Minnesota, Elk River Business
Park (the "Property").
(b) On the date hereof, the Council held a public hearing on the question of
the Abatement, and said hearing was preceded by at least 10 days but not more than 30
days prior published notice thereof.
(c) The Abatement is authorized under Minnesota Statutes, Sections 469.1812
through 469.1815 (the "Abatement Law").
findings:
Findings for the Abatement. The City Council hereby makes the following
(a) The Council expects the benefits to the City of the Abatement to at least
equal or exceed the costs to the City thereof.
(b) Granting the Abatement is in the public interest because it will increase or
preserve the tax base of the City and provide employment opportunities in the City.
(c) The Property is not located in a tax increment financing district.
(d) In any year, the total amount of property taxes abated by the City by this
and other resolutions, if any, does not exceed the greater of ten percent (10%) of the
current levy or $200,000.
3. Terms of Abatement. The Abatement is hereby approved; provided, however, the
this approval is contingent upon the approval by Sherburne County of an abatement program for
the Project upon the same terms as set forth below for the County's share of property tax amount
which the County receives from the Property. The terms of the Abatement are as follows:
04-53
(a) The Abatement shall be for up to ten (10) years and shall apply to the
taxes payable in the years 2006 through 2015, inclusive.
(b) The City will abate 100% of the City's share of property tax amount which
the City receives from the Property, not to exceed $72,778.
(c) The Abatement shall be subject to all the terms and limitations of the
Abatement Law.
(d) The Abatement may not be modified or changed during its term.
The motion for the adoption of the foregoing resolution was made by Councilmember
Motin and duly seconded by Councilmember Kuester and, upon a vote being taken thereon after
full discussion thereof, the following voted in favor thereof:
Mayor Klinzing, Councilmembers Motin, Kuester, Tveite, and Dietz
and the following voted against the same:
None
Whereupon said resolution was declared duly passed and adopted on June 21, 2004.
linzing, ~
2 04-53
STATE OF MINNESOTA )
) SS
COUNTY OF SHERBURNE)
I, the undersigned, being the duly qualified and acting Clerk of the City of Elk River,
Minnesota (the "City"), by reason of my office as Clerk, DO HEREBY CERTIFY that I have
compared the attached and foregoing extract of minutes with the original thereof on file in my
office, and that the same is a full, true and complete transcript of the minutes of a meeting of the
City Council of the City, duly called and held on the date therein indicated, insofar as such
minutes relate to property tax abatements for the Badger Ventures, LLC Project.
WITNESS my hand this 21st day of June, 2004.
Joan Sc.c.c~idt, City Clerk
04-53