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<br />Case No.2 was moved up in the agenda to precede Case No. 1. <br /> <br />Case #2: <br /> <br />Potential Business Case <br /> <br />Economic Development Coordinator Sullivan reviewed that staff has been in contact with a <br />company from Rogers, MN. The company would like to relocate to the City of Ramsey and is <br />seeking financial assistance to make their project work. The company uses water cutting <br />technology to make parts for other companies. This technology is cutting edge and it would be a <br />touch of diversity for the Sunfish Lake Business Park. Lot 2, Block I, Sunfish Lake Business <br />Park Third Addition is the preferred site for this company. Staff recommends that a <br />Development Agreement be negotiated with the company and to provide financial assistance <br />within the Minnesota Business Subsidy Law. Staff also recommends that the EDA recommend <br />this project to the City Council for approval if a mutually agreeable financial assistance package <br />can be reached. <br /> <br />Chairperson Riley inquired what type of assistance the business has requested. Economic <br />Development Coordinator Sullivan replied the site is approximately $184,000. The business has <br />requested $175,000 in assistance, and staff has responded with the possibility of approximately <br />$90,000. The business will be asked to commit to at least 8 jobs at a $14 base level. <br /> <br />Chairperson Riley asked whether staff follows up on requirements such as job creation and <br />wages. Economic Development Coordinator Sullivan replied he is required to visit the site on an <br />annual basis and meet with the Human Resources Department. Once the required threshold is <br />reached the business is finished reporting and he sends the final report into the state. <br /> <br />Member Elvig inquired whether staff has received historical information regarding this company. <br />Economic Development Coordinator Sullivan replied this information is included in the business <br />plan; the company was started in 2003. <br /> <br />Member Elvig questioned if the company has the capacity to handle a building this size, and <br />whether the business has a review of good standing with the State and the Better Business <br />Bureau. Economic Development Coordinator Sullivan explained these types of things are <br />reviewed when the development agreement is being drafted. A certificate of good standing can <br />be obtained from the State, and financial information can be obtained to determine if the <br />company is viable. Within the development agreement it states that the company needs to be <br />financially viable. At this point that information is not available, but it has been researched <br />before the case goes before the Council. <br /> <br />Member Steffen inquired whether the company currently leases space in Rogers. Economic <br />Development Coordinator Sullivan replied the company currently leases a little over 10,000 <br />square feet, which is not large enough. <br /> <br />Economic Development Consultant Mulrooney commended Mr. Sullivan on finding this <br />prospect for this site. He explained it was determined at the eleventh hour that a road needed to <br />be located on this site, which took away a lot ofland on the site. It is not easy to find a company <br />with a building that would fit the dimensions of this site, which this company does. <br /> <br />Economic Development AuthoritylMay 18,2006 <br />Page 2 of 10 <br />