Agenda - Council - 08/11/1998 - Laserfiche WebLink

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I I ! I I I I :1 I I I I i I I I I I i CASE # ~/ REQUEST FOR AUTHORIZATION FOR EXECUTION OF A DEVELOPMENT AGREEMENT WITH BUILDING FASTENERS By: James E. Norman, City Administrator Background: The proposed development agreement is with Building Fasteners, which will be located in Development District No. 1 and Tax Increment Financing District No. 6. Building Fasteners is a manufacturer of building fastener materials such as bolts, screws, threaded devices, cable, and electrical hardware. Currently Building Fasteners is based out of St. Anthony. Building Fasteners will be approximately a 31,000 square foot facility with an estimated market value of $1,225,000. It is anticipated that the project will generate approximately $45,000 per year toward a TIF District which will be used to pay for the improvement costs. The TIF District is scheduled to be completed in the year 2006. The development agreement for this project is in excess of 30 pages. The City has utilized a standard format except for the dollar amounts specific to this project. Any changes in language are passed through the City Attorney for his review. Given the above, staff has attached pertinent pages of the agreement for Council review. As the Council is aware, other sections deal with indemnity, construction documents, prohibitions against assignments and transfer, and the agreements to pay deficiencies. The entire agreement is available at Council request. Council Action: Motion to authorize execution of the development agreement with Building Fasteners, contingent upon approval by the City Attorney. Reviewed by: City Administrator City Attorney Finance Officer Economic Development Consultant CC: 08/11/98 jmt/BuilFast,doc