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INFORMATION #2 12-16-1996'ty of ver December 6, 1996 Paul Ammerman United Power Association 17845 East Highway 10 P.O. Box 800 Elk River, MN 55330-0800 SUBJECT: ANOKA COUNTY CAPITAL FUND Dear Mr. Ammerman: The purpose of his letter is to provide you with a written request to the United Power Association Board of Directors to consider becoming shareholders in the Anoka County Capital Fund- soon to be Anoka/Sherburne County Capital Fund. Since our initial meeting of potential investors in the fund, we have received verbal acknowledgment of approximately $125,000 in total investments from three sources within Sherburne County. This falls short of our initial goal in this first round recapitahzation of the fund but surely indicates a significant commitment. As we discussed on the phone several weeks ago, an ongoing issue which I am concerned about is that Elk River and the portion of Sherburne County which is in a territory served by Anoka Electric Cooperative, are unable to tap into any of the business financing resources offered by UPA. Elk River and Sherburne County continue to have substantial needs for business financing programs such as those you offer. Due to the fact that I don't foresee any changes in the future availability of these programs here in Elk River, the Anoka County Capital Fund provides an excellent opportunity for UPA to participate in sharing its financial resources for the benefit of local business. Not only is Anoka County Capital Fund an excellent opportunity for UPA to share its resources, but it is also a method to possibly achieve a significant return on investment. 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425 Ammerman December 6, 1996 Page 2 As I have indicated to you prior, I feel the most important aspect of a UPA investment would be that the community of Elk River is able to finally tap into a small portion of UPA's financial resources to aid in achieving business growth, which meets the goals of both our organizations. Thank you for your consideration of this request. I look forward to hearing from you soon. If you have any questions or would like additional information about the fund, please feel free to call me anytime at 441-4905. Sincere, Paul T. Steinman Director of Economic Development PTS:akh C: Mayor and City Council Economic Development Authority Pat Klaers, City Administrator letters\pammer.doc