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HomeMy WebLinkAbout2006-06-13 EDA MinutesCITY OF COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY MINUTES June 13, 2006 Pursuant to due call and notice thereof, a regular meeting of the Economic Development Authority was held at City Hall, 7516 80th Street South, Cottage Grove, Minnesota on the 13th day of June 2006. CALL TO ORDER The meeting was called to order at 7:30 a.m. by EDA President Bailey. R()I I CAI Members Present: Myron Bailey, EDA President Paul Narpaul, EDA Member Paul Poncin, EDA Member Gerry Weingartner, EDA Secretary /Treasurer Mike Wennen, EDA Member Jim Wolcott, EDA Member Members Absent: Pat Rice, EDA Vice President Others Present: Howard Blin, Community Development Director Joe Fischbach, Management Analyst Ron Hedberg, Finance & Administrative Services Director Tom Kaiser, Bulletin Newspaper Jessica Sandin, Management Analyst Ryan Schroeder, EDA Executive Director APPROVAL OF MINUTES A motion was made by EDA Member Wolcott to approve the May 9, 2006 Economic Development Authority minutes. Seconded by EDA Member Wennen, All Present in Favor. Economic Development Authority - Minutes June 13, 2006 Page 2 DEVELOPMENT UPDATE EDA Executive Director Schroeder gave the EDA a development update. Specifically he gave them the latest news about the Cottage Square Mall redevelopment project and what is happening with the eminent domain process. A public purpose hearing was held on June 2, 2006 and halfway through the hearing Presbyterian Homes reached a termination agreement with Demori's. Demori's will close June 30, 2006 and will totally vacate on July 15, 2006. Upon closure Demori's will receive $90,000 and if they remove all fixtures and tenant improvements by July 15 they will receive another $90,000. This deal releases Presbyterian Homes and the City from all claims for relocation, lease termination and /or any other claims. Demolition of the Cottage Square building could start as early as July 16, 2006 but sometime in August or September is more likely. It was also noted that with this deal the City has never completed an adversarial condemnation action in that all four takings that have been managed by the court resulted in joint stipulated agreements. Presbyterian Homes also has bought the Goodyear and BP Amoco parcels to go with the Cottage Square parcel. The EDA can expect to see an amendment to the original development agreement to reflect these purchases. Since 2001 there has been speculation throughout the community that the City wants to redevelop the G -Will Center parcel and with that, All Saints Church and the Armory. The City has not approached any of the owners of these three parcels for redevelopment. It was noted that Grey Cloud Island is currently developing 600 acres and some more shopping may be needed on that side of the highway some time in the future. The EDA came to the conclusion that redeveloping the G -Will Center at this time is not feasible and there is no desire by the EDA or the City to approach the owners regarding redevelopment at this time. The building permit has been issued for the Resorts and Lodges project located at 9900 Hemingway Ave. The Zitzloff Auto Body parcel has closed, it was noted that it took about 2 years. The City Council authorized plans and specs and a feasibility report for Lyman Lumber at their June 7, 2006 meeting. Bongaard Meats has yet to pull a building permit but Kath Oil has and they should be starting site work next week. There will be an Open House /Ribbon Cutting at the 80 Street Village Green Mall (former MGM Mall) on June 14, 2006. The mall and parking lot have gone through a major facelift and some lease spaces are still available. On June 7, 2006 the City Council approved an amendment to the PUD at 70th and Hinton to allow for a medical office building. It was originally approved for a senior housing project. This facility will relocate the HealthEast clinic from the current site on 80 street. Staff has not received any information about the use of 80 street site after HealthEast relocates. 2 Economic Development Authority - Minutes June 13, 2006 Page 3 WASHINGTON COUNTY ECONOMIC DEVELOPMENT PROPOSAL (Deferred) The City will wait to see what Woodbury and Oakdale do before acting. Woodbury and Oakdale initiated talks about this proposal. GATEWAY NEIGHBORHOOD BUSINESS MEETING Joe Fischbach recapped the business district meeting that was held on Friday, May 19 with interested parties in the Gateway Business District. CAI FNnAR The EDA members were reminded of upcoming meetings and events. MISCELANEOUS BUSINESS ITEMS The entrance sign by the 80 street bridge have been removed at the request of MNDot. To put signs in the proposed new locations will cost $17,000 each. The EDA is frustrated with the way MNDot has handled this situation. ADJOURN EDA Member Wolcott moved to adjourn the meeting. Seconded by EDA Secretary /Treasurer Weingartner, All Present in Favor, the meeting adjourned at 8:05 AM. Respectfully Submitted, Joe Fischbach Management Analyst 3