6.2. SR 03-11-1996'ity of
**ITEM 6.2?*
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FROM:
DATE:
SUBJECT:
MEMORANDUM
Mayor & City Council
Pat Klaers, City Administrator
March 11, 1996
Consider Resolution of Support to the
Central Minnesota Initiative Fund
(Marketech Loan Request)
Marketech, Inc., is requesting a supplemental business financing loan from
the Central Minnesota Initiative Fund (CMIF). Any relevant correspondence
that is available between CMIF Loan Representative Dave Hardie,
Marketech President Rich Duggan, or the bank will be attached to this memo
or distributed at the March 11, 1996, EDA meeting.
As the EDA heard at its February meeting, Marketech is looking to relocate
and expand its operation to a more permanent location in Elk River. The
company anticipates purchasing some land in the McChesney Industrial
Park and constructing a facility this spring. The financing for the project
will be mainly a primary lender (bank), a city TIF project, and this
supplemental business loan from CMIF. It should be noted that an EDA
micro loan is not part of the financing package.
The city typically approves a resolution of support for projects and has done a
number of these in the past. In December the Council approved two
resolutions of support to CMIF - one for Internet Five and one for ViroGen,
Inc.
As with these other loan requests to CMIF, the city is required to adopt a
resolution in support of this business. A draft of this resolution is attached.
Action Requested
The City Council is asked to adopt the attached resolution of support for the
Marketech, Inc., loan request to CMIF.
s:Xcouncil\markres.doc
13065 Orono Parkway ° P.O. Box 490 · Elk River, MN 55330 ° (612) 441-7420 · Fax: (612) 441-7425
RESOLUTION 96 -
A RESOLUTION FOR THE CITY OF ELK RIVER, MINNESOTA
A RESOLUTION OF SUPPORT TO THE CENTRAL MINNESOTA
INITIATIVE FUND (MARKETECH, INC.)
WHEREAS,
pursuant to the provisions and requirements of the 1987 Rural
and Economic Development Act, the local governing unit ("The
City of Elk River") is required to issue a Sponsoring Resolution
on behalf of businesses requesting financing through the
Central Minnesota Initiative Fund's partnership with the
State of Minnesota's Cha]]enge Grant Program; and,
WHEREAS, the City of Elk River has received a request to issue a
resolution on behalf of Marketech, Inc.; and,
WHEREAS,
it is consistent with the purpose of the City of Elk River to
encourage employment, enhance the tax base, and create more
opportunity for its residents.
NOW, THEREFORE, BE IT RESOLVED that the City of Elk River
supports the project submitted by Marketech, Inc., to the Central Minnesota
Initiative Fund's partnership with the State of Minnesota's Challenge Grant
Program.
Passed and adopted by the City Council of the City of Elk River, Minnesota
this 11th day of March, 1996.
ATTEST:
Henry A. Duitsman, Mayor
Sandra A. Thackeray, City Clerk
Minutes of the meeting of the City of Elk River adopting this resolution are attached hereto
and made a part hereof.