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HomeMy WebLinkAbout3.1 November 13, 2018 EDA Minutes CITY OF COTTAGE GROVE E CONOMIC D EVELOPMENT A UTHORITY MINUTES Special EDA Meeting th November 13, 2018 Pursuant to due call and notice thereof, a special meeting of the Economic Development Authority was th held at Cottage Grove City Hall, 12800 Ravine Parkway, Cottage Grove, Minnesota 55016 on the 13 day of November 2018 at 9:03 am. CALL TO ORDER The meeting was called to order at 9:03 a.m. by EDA President Bailey. ROLL CALL Members Present: Myron Bailey, EDA President Wayne Butt, EDA Member Steve Dennis, EDA Vice President Dan Myers, EDA Member Ramona Westerberg, EDA Member Members Absent: Chris Carey, EDA Member Eric Thiewes, EDA Member Staff Present: Jennifer Levitt, Interim City Administrator Robin Roland, Finance Director Christine Costello, Economic Development Director Matt Wolf, Economic Development Specialist Others Present: Michael Falleroni, Manager, Credits and Incentives Consulting, Ryan Jason Aarsvold, Senior Municipal Advisor, Ehlers APPROVAL OF MINUTES th 3.1 Approval of EDA Minutes October 9, 2018 EDA Vice President Dennis motioned to approve the October 9th, 2018 EDA Meeting Minutes. EDA Member Westerberg seconded. Motion passed unanimously (5-to-0 vote) Economic Development Authority – Minutes November 13, 2018 Page 2 of 3 BUSINESS ITEMS 4.1 Economic Development Update/Business Inquiry Economic Development Specialist Wolf gave an update on the new business and projects occurring in Cottage Grove. EDA Vice President Dennis highlighted the North Star Sheets ribbon cutting the great work staff did on making the project happen on a tight timeline. EDA President Bailey stated he spoke briefly with the North Star Sheets CEO and that the CEO stated that after doing this for 40 years Cottage Grove was one of the best communities he has worked with in his career. 4.2 Resolution adopting a Modification to the Development District No. 1, Establishing Tax Increment Financing District 1-19 (Up North Plastics Inc.) Senior Municipal Advisor Jason Aarsvold gave a brief overview of Tax Increment Financing and the process for creating Tax Increment Financing District 1-19. EDA Member Myers inquired what happens to Tax Increment Financing (TIF) Districts when property taxes increase or decrease. Senior Municipal Advisor Aarsvold responded that the business and the City of Cottage Grove will enter into a TIF agreement at a set monetary level. Once that level is met within the nine years that the TIF district is active no more distributions are made to the business. However, if property taxes decrease and the business do not receive all of their financial incentives through the TIF in the nine years of the TIF the agreement ends. That way no matter if property taxes increase or decrease the TIF will only generate a certain financial incentive that will never go beyond that capped incentive level. EDA Member Myers motioned to approve a resolution adopting a modification to the Development Program for Development District No. 1, establishing Tax Increment Financing District No. 1-19 therein and adopting a Tax Increment Plan Therefor. EDA Member Butt seconded (5-to-0 vote). PUBLIC HEARINGS None OTHER BUSINESS 6.1 Calendar None 6.2 EDA Comments None 6.3 Response to Previous EDA Comments Economic Development Authority – Minutes November 13, 2018 Page 3 of 3 None WORKSHOP 7.1 None AJOURN EDA Vice President Dennis made a motion to adjourn. EDA Member Westerberg seconded. The meeting adjourned at 9:32 a.m. (5-to-0 vote) Respectfully Submitted, Matt Wolf Economic Development Specialist