05-25-1993 EDA MIN - SPECIAL
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SPECIAL MEETING OF THE ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
TUESDAY, MAY 25, 1993
Members Present:
President Gongoll, Commissioners Dwyer, Duitsman and
Scheel
Members Absent:
Commissioners Dietz, Holmgren and Farber
Staff Present:
Patrick Klaers, Executive Director; Bill Rubin,
Economic Development Coordinator
1. Call Meeting To Order
Pursuant to due call and notice thereof, the special meeting of the Elk
River Economic Development Authority was called to order at 5:49 p.m.
by President Gongoll.
2. Consider 5/25/93 EDA Agenda
COMMISSIONER SCHEEL MOVED TO APPROVE
COMMISSIONER DUITSMAN SECONDED THE MOTION.
THE 5/25/93 EDA AGENDA.
THE MOTION CARRIED 4-0.
3.
Consider an Allotment Agreement and a Commitment Agreement with
Minnesota Housing Finance Agency
Economic Development Coordinator, Bill Rubin, explained that he had
attended the bond allocation meeting on May 12, 1993, wherein,
Minnesota Housing Finance Agency reduced Elk River's requested amount
of mortgage funds in the Minnesota City Participation Program. The Elk
River request was reduced from $1,500,000 to $974,242.
As a result of this meeting, Minnesota Housing Finance Agency prepared
two documents for execution by the Elk River EDA. Bill Rubin explained
that the purpose of the Allotment Agreement was to provide for the
allotment of 1993 mortgage revenue bond authority in accordance with
Minnesota Statutes. The purpose of the Commitment Agreement is to set
forth the contractual obligations of participating cities wherein a
city authorizes Minnesota Housing Finance Agency to sell bonds on their
behalf.
As a result of this reduced allocation, Bill Rubin also indicated that
the Elk River EDA needed to authorize a new 1% deposit fee to Minnesota
Housing Finance Agency plus a $200 processing fee. These funds would
not be paid immediately; but rather, they would be paid when Minnesota
Housing Finance Agency has the ability to issue revenue bonds. The
ability to sell mortgage revenue bonds expired in June, 1992. It is
expected that authority to issue bonds will be restored again, but this
will not likely occur until mid summer.
COMMISSIONER SCHEEL
REFUNDABLE DEPOSIT
MOVED TO AUTHORIZE A NEW ONE PERCENT (1%)
FEE IN THE AMOUNT OF $9,742.42, AND A NONREFUNDABLE
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$200 PROCESSING FEE. COMMISSIONER DUITSMAN SECONDED THE MOTION.
MOTION CARRIED 4-0.
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COMMISSIONER DWYER MOVED TO AUTHORIZE PRESIDENT GONGOLL TO SIGN THE
COMMITMENT AGREEMENT AND THE ALLOTMENT AGREEMENT WITH MINNESOTA HOUSING
FINANCE AGENCY. COMMISSIONER DUITSMAN SECONDED THE MOTION. THE MOTION
CARRIED 4-0.
s. Other Business
There was no other business presented.
6. Adjournment
There being no further business, PRESIDENT GONGOLL MOVED TO ADJOURN THE
MEETING. COMMISSIONER DWYER SECONDED THE MOTION. THE MOTION CARRIED
4-0.
The special meeting of the Elk River Economic Development
adjourned at 5:55 p.m.
Authority
Respectfully submitted,
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William Rubin
Economic Development Coordinator