05-22-1989 EDA MIN
.
MEETING OF THE ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, MAY 22, 1989
MEMBERS PRESENT: Commissioners Tral1e, Schuldt, Dobe1, Holmgren, and
Kropuenske
MEMBERS ABSENT: None
STAFF PRESENT: Richard Fursman, Economic Development Coordinator; and
Pat Klaers, City Administrator
1.
Commissioner Tralle called the meeting of the continued
Development Authority to order at 9:35 p.m.
Economic
2. Consider EDA Agenda
OOMMlSSlONKR >>OBEL MOVED TO APPROVE THE ECONOMIC DEVELOPMENT AUTHORITY
AGENDA. COMMISSIONER KROPUENSKE SECONDED THE MOTION. THE MOTION CARRIED
5-0.
3.1. Consider 5/8/89 EDA Minutes
COMMISSIONER SCHULDT MOVED TO APPROVE
COMMISSIONER HOLMGREN SECONDED THE MOTION.
THE 5/8/89 EDA MINUTES.
THE MOTION CARRIED 5-0.
. 3.2. Consider 5/15/89 EDA Minutes
COMMISSIONER HOLMGREN MOVED TO APPROVE
COMMISSIONER SCHULDT SECONDED THE MOTION.
THE 5/15/89 EDA MINUTES.
THE MOTION CARRIED 5-0.
Dick Fursman, Economic Development Coordinator, distributed a letter from
Mike Mulrooney regarding recommended amendments to the Revolving Loan
Fund guidelines. Mr. Fursman reviewed the recommended changes with the
EDA Commissioners.
Mr. Fursman discussed with the Commission a graph which illustrates the
projected growth of the Revolving Loan pool. He indicated to the
Commission that the $20,000 increase between May and June is dependent on
industrial park land sales. He also indicated that the increase between
July and August is contingent upon Mork Clinic paying a minimum of
$75,000 after the City's involvement in land write-downs and site
corrections. Mr. Fursman stated that other revenue to be collected would
be from Small Cities Grants which would equal $3,500 a month.
The Commissioners discussed the possibility of selling the Alltool Loan
in the form of a bond which would allow the City to put the $100,000 into
the Revolving Loan Fund immediately. Commissioner Tralle authorized Mr.
Fursman to pursue this arrangement so that more money could be added to
the Revolving Loan Fund.
.
COMMISSIONER KROPUENSKE MOVED TO
GUIDELINES. COMMISSIONER HOLMGREN
CARRIED 5....0.
APPROVE
SECONDED
THE
THE
REVOLVING LOAN FUND
MOTION. THE MOTION
.
.
.
Page 2
Economic Development Authority Minutes
May 22. 1989
5. Other Business
Dick Fursman indicated that he would be providing the EDA with a
comparison of a hypothetical loan to Mork Clinic with the use of G.O.
Bonds and stated that he would also weigh the pros and cons in regard to
the use of G.O. Bonds for the loan.
Mr. Fursman updated the EDA on several items. He indicated that he has
been contacted by Kmart Corporation. Mr. Fursman stated that Kmart is
seriously looking at locating in Elk River.
Mr. Fursman indicated
companies. One that
manufactures steel.
locating in Elk River.
that he has been contacted by two manufacturing
manufactures plastics and the other which
He indicated they have both shown interest in
Mr. Fursman indicated to the Council that he is running out of industrial
park space and stated that the Commission should be looking at this
situation.
Mr. Fursman updated the EDA on the motel project. He indicated that the
developers did not meet the deadlines for the SBA loan and that they have
decided to put a hold on the project until they can find out what is
going to happen with TIF #4.
6.
Adjournment
There being no further business COMMISSIONER DOBEL MOVED TO ADJOURN THE
MEETING OF THE EDA. COMMISSIONER HOLMGREN SECONDED THE MOTION. THE
MOTION CARRIED 5-0.
The meeting of the EDA adjourned at 10:25 p.m.
Respectfully submitted.
~~~
Deputy City Clerk