Agenda - Council - 01/26/1999 - Laserfiche WebLink

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Case #7: Inducement Resolution Authorizing Industrial Revenue Bonds Community Development Director Sherman noted that Mike Mulrooney, the City's Economic Development Consultant is present with a representative of Anderson Dahlen with regard to an inducement resolution. Mike Mulrooney, Advance Resources for Development Inc., reported that the manufacturing company of Anderson Dahlen will be relocating to the City of Ramsey. They are planning to construct an 80,000 to 120,000 square foot facility in 1999. The total cost of the project is about $5 million. They are currently located in Coon Rapids and Blaine and the plan is to consolidate into one facility in Ramsey. They employ about 110 people at present and expect to add between 40 and 50 new positions within two years. He introduced Tom and Dave Knoll, owners of the company. Mr. Mulrooney informed Council that they are being requested to approve an inducement resolution. This is the first step in issuing revenue bonds and it's for manufacturing facilities. Application usually.occurs in January and February, but not all get approved at the State level. Mr. Mulrooney stated that he has had opportunity to visit with the owners personally and he suggested that Council would be pleased with what they are proposing. He added that there will be a final resolution for Council if this is approved by the State. He explained that tax exempt revenue bonds do not mean that the company will not be paying taxes, it only means that the invested return to the investors is exempt from Federal taxation. Mr. Mukooney pointed out the location, which is on Sunwood Drive immediately to the east of the Vision-Ease project. Mr. Knoll stated that their business will be creating jobs in Ramsey and added that they manufacture specialty equipment. The call would be for primarily skilled labor, e.g., machinists, welders, etc. The average wage would be $15 to $16 per hour. Motion by Councilmember Haas Steffen and seconded by Councilmember Beyer to adopt Resolution #98-12-296 reciting a proposal for an industrial development project and taking official action with respect thereto and indicating preliminary iment to assist the financing of the project pursuant to the Minnesota Municipal Industrial Development Action. Motion carried. Voting Yes: Mayor Gamec, Councilmembers Haas Steffen, Beyer, Beahen and Zimmerman. Voting No: None. Case #8: City of Ramsey Capital Improvement/Capital Outlay Plan 1999-2003 Finance Officer Lund presented the Capital Improvements/Capital Outlay Plan (CIP) in its final form and staff is recommending that Council adopt the 1999 - 2003 plan. This is not "concrete" - it can be changed and each project has to be voted on. The CIP is basically a forecasting tool. Councilmember Haas Steffen asked that a memorandum be written to City staff, City boards, etc., so it is understood that the CIP is a forecasting tool. City CouncilfDecember 8, 1998 Page 8 of 13 I I I I i I I I I I i I I I I I I I I,