Minutes - Economic Development Authority - 01/14/2002

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A~gistant Wald updated the EDA on the Plants n Things/Hunter Investment Redevelopment Project. Staff plans to meet with Mr. Hickman and Bob Dillon in the next weeks to discuss the project moving forward without any assistance fi.om the City. The EDA discussed the importance of adopting an "Official Map" after MnDOT has completed the required environmental review. The "Official Map" will allow the City to guide development accordingly. The EDA was updated on the Southeast Highway 310 Frontage Project. Staff has meet with Mr. Lano, owner of Lano Equipment, and Mr. Carlson, representing Mr. Peterson, to discuss the possibility of a redevelopment project. Initial reaction fi.om Mr. Lano was very positive and Staff will continue to work with him. Mr. Carlson will be contacting Staff when he has gotten a reaction from Mr. Peterson regarding the possibility of the City purchasing the property. Staff will bring this case back to the February EDA for further discussion along with the study done by HKGi outlining a few redevelopment options for the subject area. Case #2: Use of TIF Revenues During the 2002 budget process, City Councilmembers requested information to the use of Tax Increment Financing (TIF) revenues. Staff was asked to research TIF revenues and proportionately separate the amounts spent to developers distinguished fi.om the amounts spent on public projects. A study was performed in September 2001, on TIF Districts No. 2 and 6. TIF District No. 2 showed that the total expenditures was approximately $7,087,601 with 51.7 percent going toward public cost and 48.3 percent toward development costs. The study further showed that TIF District No. 6 showed that of the $5,648,258 spent in the District, 53.6 percent was spent toward public expenses while 46.3 percent was spent in development costs. Staff was asked to clarify expenditures in the TIF No. 2 detail of expenditures. Case #3: Staff Memo City Administrator Norman updated the EDA regarding St. Paul Terminal/IRT project. Staff has learned that IRT may be experiencing some financial difficulties. However, Staff will continue to pursue redevelopment negotiations with St. Paul Terminal/IRT. The City has submitted a CDBG grant application for money that can be used for the acquisition of blighted property. Staff will provide further updates on this project as the City receives responses from Anoka County. Economic Development Authority/ January 14, 2002 Page 2 of 3