02-27-1989 EDA MIN
MEETING OF THE ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
. MONDAY, FEBRUARY 27, 1989
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Members Present: Commissioners Tralle. Dobel. Kropuenske. Schuldt and
Holmgren
Members Absent: None
Staff Present: Dick Fursman, Economic Development Coordinator; Pat
Klaers.City Administrator
1. Pursuant to due call and notice thereof, the meeting of the Economic
Develoment Authority was called to order at 7:05 p.m.
2. Consideration of 2/27/89 EDA Agenda
COMMISSIONER DOBEL MOVED TO APPROVE THE
COMMISSIONER HOLMGREN SECONDED THE MOTION.
ECONOMIC DEVELOPMENr AGENDA.
THE MOTION CARRIED 5-0.
3. Consideration of 2/4/89 EDA Minutes
COMMISSIONER KROPUENSKE MOVED TO APPROVE THE 2/4/89 EDA MINUTES.
COMMISSIONER DOBEL SECONDED THE MOTION. THE MOTION CARRIED 5-0.
4. Mork Clinic
Dick Fursman, Economic Development Coordinator, updated the Commission on
the requested site location for Mork Clinic. He indicated that the
previous requested site along Main Street. which would have been a joint
project with Dr. Jarmoluk. is no longer being proposed. Mork Clinic is
now requesting a new site, located on the corner of 3rd Street and Holt
Avenue. Mr. Fursman further indicated that Mork Clinic is requesting that
the City be involved with the use of tax increment financing as a
redevelopment tool to raise the existing homes on the lots and to prepare
the site for construction.
Dick Moore. representing Mork Clinic, stated that the topography of the
land located on Main Street is not as condusive to building as the site
location located on 3rd Street and Holt Avenue. There is more land
available on the alternative site which would provide an opportunity for
growth in the future. He indicated that Mork Clinic has signed a purchase
agreement with with the owners of the property contingent upon the EDA's
approval of tax increment financing.
The City Administrator questioned whether Mork had any plans of pursuing
the purchase of the surrounding property for future expansion. Mr. Moore
stated that it has been considered but it is not a mandatory need at the
present time.
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Economic Development Authority Minutes
February 27. 1989
The City Administrator questioned Mr. Moore if there was any level of
expect ion from Mork clinic. or any dollar amount mentioned in the purchase
agreement, as to the amount of money Mork expects the City to contribute
with tax increment financing. He indicated that it will be some time
before a dollar amount can be determined as the City must follow all the
guidelines required for TIF and further that the City does not know the
evaluation of the property. Mr. Moore indicated that Mork has no
expectations but feels the City will be fair in their decision.
Commissioner Holmgren stated he would like it to go on record that he will
abstain from any decision making regarding this project as his parents own
property adjacent to the proposed clinic.
Mr. Fursman indicated that the City's goal is to help Mork Clinic acquire
the property at a reasonable price and eliminate the burden of having to
remove existing homes. He further stated that a fair market value for the
property will be Mork Clinic's responsibility.
Mr. Moore stated that it would be financially impossible for Mork Clinic
to support the project without the City assisting with TIF.
.
COMMISSIONER KROPUENSKE MOVED TO SUPPORT THE REDEVELOPMENT PROJECT USING
TAX INCREMENT FINANCING FOR SITE PREPARATION WITH THE DOLLAR AMOUNT '1'0 BE
ESTABLISHED AT A LATER DATE. COMMISSIONER SCHULDT SECONDED THE MOTION.
THE MOTION CARRIED 4-0-1. COMMISSIONER HOLMGREN ABSTAINED.
5.
Update on ED Projects
Mr. Fursman updated the EDA on the Jenne project and other possible
business propects looking at Elk River for possible location.
6. Other Business
Mr. Fursman informed the EDA that on Thursday. 2:00 p.m. the State Star
City Recertification Team will be visiting City Hall. He encouraged the
EDA members to atend the meeting. He noted the Team will be talking about
the structure of the organization and will be reviewing the one year work
plan and will also assign tasks to various committees.
7. Adjournment
There being no further business. COMMISSIONER HOLMGREN MOVED TO ADJOURN
THE MEETING OF THE ECONOMIC DEVELOPMENT AUTHORITY ~ COMMISSIONERDOBEL
SECONDED THE MOTION. THE MOTION PASSED 5-0.
The meeting of the EDA adjourned at 7:52 p.m.
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Sandy Thack ay ~---
Deputy City Clerk ~_ .-/