HomeMy WebLinkAboutEDA October 3, 2006
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1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100
FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US
ECONOMIC DEVELOPMENT AUTHORITY
MEETING
October 3, 2006
6:00 p.m.
Conference Rooms A & B
AGENDA
1. Call to Order - 6:00 p.m.
2. Approval of Minutes (9/19/06 Regular Mtg.)
3. Consider Parameters Resolution/Community Center Refinancing
4. Update on Economic Development Activities
5. Other Business
6. Adjourn
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CITY OF
NDOVE
1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100
FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US
TO: Economic Development Authori
CC: Jim Dickinson, Executive Director
FROM: Vicki V olk, City Clerk
SUBJECT: Approval of Minutes
DATE: October 3,2006
INTRODUCTION
The following minutes were provided by TimeSaver for approval by the EDA:
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September 19, 2006
DISCUSSION
Attached are copies of the minutes for your review.
ACTION REOUIRED
The EDA is requested to approve the above minutes.
Respectfully submitted,
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Vicki V olk
City Clerk
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Regular Meeting, Cont.
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ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING
SEPTEMBER 19, 2006 - MINUTES
A Meeting of the Andover Economic Development Authority was called to order by President Mike
Gamache, September 19,2006,6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard
NW, Andover, Minnesota.
Present:
Commissioners Don Jacobson, Ken Orttel, Julie Trude; Voting
resident member Joyce Twistol
Commissioner Mike Knight, Voting resident member
Robert Nowak, Edward Schultz (Advisor to the EDA)
Executive Director, Jim Dickinson
Community Development Director, Will Neumeister
City Engineer, David Berkowitz
Others
Absent:
Also present:
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APPROVAL OF MINUTES
September 5, 2006: Correct as written.
MOTION by Trude, Seconded by Jacobson, approval of the Minutes as written. Motion carried
unanimously.
Commissioner Orttel arrived at 6:05 p,m.
LETTER OF INTENTIPURCHASE AGREEMENT REVIEW (DESHAW FUNERAL
HOME)
Executive Director Dickinson stated at the September 5, 2006 EDA meeting, the EDA asked for
revisions to Mr. DeShaw's Letter of Intent. The letter of intent and purchase agreement both
pertain to the land the EDA is planning to sell to Daniel DeShaw as the site for a new funeml
home. Based on the EDA's direction, the crematorium has been removed from the language in
the documents.
Mr. Dickinson indicated he is looking at the EDA covering 50% of the cost for the utilities and
o oversizing and the buyer would be covering the costs ofthe driveway.
Commissioner Jacobson stated Mr. Nowak indicated in his memo that the letter from the buyer to
the EDA has crematorium in it and it should be removed. Mr. Dickinson indicated the developer
is fme with the change.
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Andover Economic Development Authority Meeting
Minutes - September 19, 2006
Page 2
Motion by Jacobson, Seconded by Twistol, to approve the revised letter of intent and purchase
agreement and to authorize the Executive Director to sign the documents.
Commissioner Trude stated she wants to make sure they are selling the land for a funeral home alone
without a crematorium. She stated this does not preclude them from putting in a crematorium. She
read from the motion of the previous minutes. President Gamache indicated the intent is to limit the
use to a funeral home but in the future the applicant could apply for a CUP for a crematorium. He
stated the sale of the land is for the funeral home.
Motion carried unanimously.
PURCHASE AGREEMENT REVIEW (NBI - OFFICE BUILDING)
Executive Director Dickinson explained the City Attorney has prepared a purchase agreement
based on the letter of intent submitted by Andy Stoner (Nassau Builders, Inc.) for the north half
of Lot 24, Block 1, Parkside at Andover Station.
Mr. Dickinson noted one change to the contingencies should be "market conditions or economic
viability" .
Commissioner Trude stated this is a contingency they control. Commissioner Jacobson asked if
this agreement is for six months. Mr. Dickinson indicated it is.
Commissioner Trude stated some of the contingencies include getting the entire building
approved which will be longer than six months so she wondered how they could know the
viability before then. Mr. Dickinson stated within six months of the signing of the agreement
they will know the viability of the project and at that time the deposit becomes non-returnable.
Commissioner Trude stated when she was looking at the minutes it was unclear about the trash
enclosures and her indicating she did not want plastic enclosures. She does not want to see the
steel gates with plastic woven through. She thought they could have trash enclosures inside or a
nice looking enclosure outside of the building.
Motion by Grttel, Seconded by Trude, to approve the purchase agreement with the added
contingency to be drawn up by the City Attorney and authorize the Executive Director to sign the
documents. Motion carried unanimously.
REVIEW PROPOSED SIGNS AT ANDOVER STATION (UNITED PROPERTIES)
Community Development Director Neumeister explained United Properties has asked for the
EDA to review their request to update their monument sign package at Andover Station.
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Andover Economic Development Authority Meeting
Minutes - September 19, 2006
Page 3
Mr. Bruce Carlson, United Properties, made a monument sign package presentation to the
Commission,
Commissioner Trude wondered if the area will look too cluttered with signs. Mr. Carlson stated
in his experience people look at the signs individually and thought the signs would look
symmetrical.
Commissioner Jacobson asked if the sign ordinance allowed so many feet per business and if
they took the feet from the proposed signs and put them together, would they match the size
allowed or be more or less. Mr, Dickinson stated because it is Andover Station, they are able to
vary from the sign ordinance to a point. They are allowed to have multiple tenants on one sign
monument.
President Gamache thought the way the signs are lined up, the signs might block each other
depending on which way you are traveling.
.' " Commissioner Jacobson stated there are more tenants than sign space available. Mr. Carlson
"J stated they would put a tenant on the sign dependent on when they sign their lease. He indicated
that is the only fair way to do it and has been done that way in the past. He noted it is an
incentive to sign earlier in new buildings.
President Gamache indicated he is ok with the sign monument. Commissioner Trude agreed.
Motion by Trude, Seconded by Orttel, to approve the new monument signs at Andover Station as
presented by Bruce Carlson of United Properties. Motion carried unanimously.
REVIEW PROPOSED NEON BAND SIGNAGE (NORTHGATE LIQUOR)
Executive Director Dickinson stated Bruce Knowlan, Northgate Liquors owner, has requested
approval of a signage package for the new location of North gate Liquors.
Mr. Bruce Knowlan showed the Commission the neon band signage he would like to put on his
building. He stated the reason they want to install a band is because they would be behind
Walgreens and with the bank coming in they did not want to get lost from sight. He indicated it
will draw attention to them.
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Ms. Twistol wondered if any thought was given to uplighting rather than neon banding. Mr.
Knowlan stated they had a person come in to review the lighting and that was not brought up as
an option. He stated the red neon will be subtle and match the signage they have. There will not
be any neon lighting along the townhome side of the building.
Commissioner Trude did not see anything wrong with this. Mr. Carlson thought this would
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Andover Economic Development Authority Meeting
Minutes - September 19, 2006
Page 4
create an entity and would look good.
Commissioner Trude wondered if they are going to do any of the canopies on the new building.
Mr. Knowlan did not think they would do this because it can be dangerous. He stated snow sits
on top of the canopy and melts and creates ice below it.
Motion by Orttel, Seconded by Twistol, to approve one neon red band for the liquor store as
presented. Motion carried unanimously.
Commissioner Trude wondered if the landscaping is being worked on in the back of the building.
Mr. Neumeister thought it was probably submitted but he has not seen it yet.
UPDATE ON EDA ACTIVITIES
Executive Director Dickinson updated the Commission on EDA activities going on in the City.
Commissioner Trude wondered if on the Rudnicki site they gave too many signs for the tenants.
Mr. Dickinson stated because of their location, he thought it would be ok.
Commissioner Jacobson asked what the price point is for the Bruggeman Homes in the front.
Mr. Dickinson stated it is between $180,000 to $220,000.
Commissioner Trude wondered if they could do a newsletter article on the Towncenter area.
Mr. Dickinson indicated Mr. John Larkin was in and stated he is going to bring forward a letter
of intent soon.
Commissioner Jacobson stated Mr. Larkin knew what their design requirements were and he
wondered ifhe would meet them with his ideas for a building. Mr. Dickinson thought the
building Mr. Larkin would propose would fit in with the design standards and there would not be
a dome.
Commissioner Trude thought they should talk to Mike Mulrooney again about some of the
parcels at Andover Station North that are still open.
Commissioner Jacobson wondered ifPovlitzki has indicated any interest in developing some of
his parcels in the back. Mr. Dickinson stated they have not heard anything.
OTHER BUSINESS
Mr. Dickinson stated he has been researching information on the lease revenue bond for the
Community Center and he was looking at refinancing the bonds. He indicated if they refinance
~J Andover Economic Development Authority Meeting
Minutes - September 19, 2006
Page 5
they would be saving 1.1 million dollars over the next thirty years. He noted they do not have
time for the ninety day process because the interest rates may rise on bonds within that time. The
Commission is asked to consider a parameters resolution that would need to be approved by the
EDA and City Council which would authorize the City Treasurer to negotiate the deaL He noted
this is an acceptable and legal process and the Bond Counsel is on board. He stated he would
bring this back to the next EDA and City Council meetings for discussion and approval.
Commissioner Trude wondered if they had heard about any other projects in the City that are not
being leased with the EDA. Mr. Dickinson reviewed a couple of the other businesses in the City
with the Commission.
Motion by Jacobson, Seconded by Trude, to adjourn. Motion carried unanimously. The meeting
adjourned at 6:55 p.m.
Respectfully submitted,
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Susan Osbeck, Recording Secretary
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CITY OF
NDOVE
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1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100
FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US
TO:
EDA President and Commissioners
FROM:
Jim Dickinson, Executive Director
SUBJECT: Consider Parameters Resolution/Community Center Refinancing
DATE:
October 3, 2006
INTRODUCTION
Activity in the current bond market is indicating that there may be an opportunity for the EDA to
potentially save some significant long term debt service expense by refinancing the EDA's
$19,640,000 Public Facility Lease Revenue Bonds, Series 2004.
DISCUSSION
City Staff has been working with an underwriter (Northland Securities), our fiscal advisor (Ehlers &
Associates), and the City's bond counsel (Briggs & Morgan) to explore whether or not the time is right
to refinance the Community Center Bonds.
Attached are some preliminary debt service comparisons prepared by Northland Securities, based on
market projections on September 21, 2006. The projections are showing long term savings ranging
. , frDm $933,482.77 to $1,660,708,28 and present value savings ranging from $508,077.20 to
,_) $528,711.73. As you are all aware the bond market is somewhat volatile and that on any given date
the market can change, which is why I am proposing a new streamlined approach to refinancing the
EDA's bonds.
The new approach is initiated by what is called a "parameters resolution" where the EDA Board of
Commissioners authorizes, the City Administrator, City of Andover, Minnesota, to execute a Bond
Purchase Agreement which will approve the sale of the Bonds to Northland, provided that the total net
savings accomplished by the refunding is at an amount set by the EDA and the net present value
savings as a percentage of the present value of the refunded debt service of the 2004 Bonds is at a
percentage acceptable to the EDA.
Attached is a resolution prepared by bond counsel that sets forth the appropriate language the EDA
needs to approve with blanks that will be filled in at the meeting after discussion.
ACTION REOUESTED
The EDA is requested to discuss a potential refunding of bonds and approve the attached "Resolution
approving the issuance of Public Facility Lease Revenue Refunding Bonds (City of Andover
Community Center), Series 2006A" with specific criteria in the blanks based on discussion at the
meeting.
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Preliminary
City of Andover, Minnesota
Lease Revenue Refunding Bonds Df 2006 (A+ S&P)
Crossover Refunds 2004 Lease Rev. I Late Savings
Debt Service Comparison
Date Total P+I
02/01/2007
02/01/2006 661.560.00
02/01/2009 736,460.00
02/01/2010 736,460.00
02/01/2011 736,460.00
02/01/2012 736,460.00
02/01/2013 736,460.00
02/01/2014 736,460.00
02/0112015 1,336,460.00
02/01/2016 1,339,760.00
02/01/2017 1,334,467.50
02/01/2016 1,336,022.50
02/01/2019 1,340,010.00
02/01/2020 1,340,400.00
02/01/2021 1,334,162.50
02/01/2022 1,336,462.50
02/01/2023 1,336,900.00
02/01/2024 1,340,360.00
02/01/2025 1,336,665.00
02/01/2026 1.336.392.50
02/01/2027 1.338.867.50
02/01/2026 1.344.317.50
02/01/2029 1,332.517.50
02/01/2030 1.336.605.00
02/01/2031 1.337.190.00
02/0112032 1.338,500.00
, 02/0112033 1.061,690.00
\ 02/01/2034
'--~/ Total $30,436,270.00
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PCF
(661,560.00)
(736,460.00)
(736,480.00)
(736,460.00)
(736,480.00)
(738,480.00)
(17.193,460.00)
(21,747,4411.00)
Existing DIS
666,068.13
1.147,326.26
1,341,436.26
1,343,176.26
1.338,191.26
1,341,591.26
1,336,321.26
17,793,746.26
$26,309,856.95
Net New DIS
663,147.43
1,147,326.26
1.341,436.26
1.343,176.26
1.336,191.26
1.341,591.26
1.336,321.26
1.336,746.26
1,336,480.00
1.339,760.00
1,334,467.50
1.336,022.50
1,340,010.00
1.340,400.00
1.334,162.50
1.336,462.50
1,336,900.00
1,340,380.00
1.336.665.00
1,336,392.50
1,336,667.50
1,344.317.50
1,332.517.50
1,338,605.00
1,337,190.00
1,336,500.00
1.061,690.00
$34.995,766.25
Old Net DIS
666.066.13
1.147,326.26
1,341,436.26
1.343,176.26
1,336.191.26
1,341,591.26
1,336,321.26
1,336.746.26
1,342.596.26
1,342.646.26
1,336.846.26
1.339,846.26
1,341,346.26
1,341.346.26
1,339,056.76
1,340.233.76
1,339,615.00
1,342,202.50
1,337,740.00
1,340,880.00
1.341,660.00
1,345,140.00
1.336,000.00
1.339,780.00
1,340.700.00
1.338.760.00
1.336.960.00
1,336.040.00
$36,656,474.53
Savings
2.920.70
0.00
4,116.26
3,066.26
2,376.76
1,823.76
1,336.26
946.26
4,896.26 .
3,751.26
2,715.00
1,622.50
1,075.00
4,467.50
2,812.50
622.50
3,462.50
1.175.00
3,510.00
260.00
277.270.00
1.336,040.00
$ 1,660, 708.28
PV Analysis Summary (Net to Net)
Gross PV Debt Service Savings...................
525.791.03
525.791.03
Net PV Cashnow Savings @ 4.443%(Bond Yield)... .
Contingency or Rounding Amount....................
Net Present Value- Benefrt
2.920.70
$526,711.73
Net PV Benefit I $12,792,239.69 PV Refunded Debt Service
Net PV Benefit I $16,455,000 Refunded Principal...
Net PV Benefit / $16,755,000 Refunding Principal..
Refunding Bond Infonnation
4.133%
3.213%
3.156%
Refunding Dated Date
Refunding Delivery Date
12/0112006
12/01/2006
04ref 1 I SINGLE PURPOSE I 9121(2006 I 1:05 PM
Northland Securities
Public Finance
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Preliminary
City of Andover, Minnesota
Lease Revenue Refunding Bonds of 2006 (A+ S&P)
Crossover Refunds 2004 Lease Rev. I Level Savings
Debt Service Comparison
Date Total P+I PCF Existing DIS
0210112007 666,068.13
0210112008 864,852.92 (864,852.92) 1.147,326.26
02101/2009 741,302.50 (741.302.50) 1.341,436.26
02101/2010 741,302.50 (741.302.50) 1.343.176.26
02101/2011 741,302.50 (741,302.50) 1.338.191.26
02101/2012 741,302.50 (741,302.50) 1.341,591.26
02101/2013 741 ,302.50 (741.302.50) 1,338,321.26
02101/2014 741,302.50 (17,196,302.50) 17.793,746.26
0210112015 1,291,302.50
02101/2016 1,289,577.50
0210112017 1,286,492.50
0210112018 1,287,302.50
02101/2019 1,286,780.00
0210112020 1.289,900.00
0210112021 1,286,425.00
0210112022 1,286,540.00
02101/2023 1,285,002.50
0210112024 1,291,782.50
0210112025 1,286,405.00
0210112026 1,289,692.50
0210112027 1,290,767.50
0210112028 1.290.042.50
0210112029 1,282,517.50
0210112030 1,287.927.50
0210112031 1.286,062.50
0210112032 1.287,150.00
" 0210112033 1.285,400.00
'-) 0210112034 1.281.350.00
Total $31,061,087.92 (21,767,667.92) $26,309,856.95
PV Analysis Summary (Netto Net)
Gross PV Oebt Service Savings.....................
Net PV Cashflow Savings @ 4.461%(Bond yield).....
Contingency or Rounding Amount....................
Net Present Value Benefit
Net PV Benefit / $12,757,845.73 PV Refunded Debt Service
Net PV Benefit / $16,455,000 Refunded Principal..
Net PV Benefit I $16,755,000 Refunding Principal..
Refunding Bond Information
Refunding Dated Date
Refunding Delivery Date
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Net New D/S
663.314.94
1,147,326.26
1.341,436.26
1.343,176.26
1,338,191.26
1,341.591.26
1,338,321.26
1,338.746.26
1,291.302.50
1,289.577.50
1,286,492.50
1,287.302.50
1,286,780.00
1,289.900.00
1,286,425.00
1,286,540.00
1,285.002.50
1,291.782.50
1,286,405.00
1,289,692.50
1.290.767.50
1,290.042.50
1.282.517.50
1,287.927.50
1.286.062.50
1.287.150.00
1.285,400.00
1.281,350.00
$35,600,523.76
Old Net DIS
666,068.13
1.147,326.26
1.341,436.26
1.343.176.26
1,338,191.26
1.341.591.26
1,338.321.26
1,338,746.26
1,342.596.26
1,342.846.26
1.336,846.26
1.339,846.26
1,341.346.26
1,341.346.26
1.339.058.76
1.340,233.76
1.339,615.00
1.342.202.50
1.337.740.00
1,340.880.00
1,341.680.00
1,345,140.00
1.336.000.00
1,339.780.00
1.340.700.00
1.338.760.00
1,338,960.00
1.336.040.00
$36,656,474.53
Savings
2,753.19
0.00
51.293.76
53.268.76
50.353.76
52,543.76
54,566.26
51,446.26
52,633.76
53,693.76
54,612.50
50,420.00
51,335.00
51,187.50
50,912.50
55,097.50
53,482.50
51,852.50
54,637.50
51,610.00
53,560.00
54,690.00
$1,055,950.77
505,798.32
505,798.32
2,753.19
$508,551.51
3.986%
3.091%
3.035%
1210112006
1210112006
04ref I SINGLE PURPOSE I 912112006 I ':04 PM
Northland Securities
Public Finance
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Preliminary
City of Andover, Minnesota
Lease Revenue Refunding Bonds of 2006 (A+ S&P)
Partial Net Advance Refunds 2004 Lease Rev. I Level Savings
Debt Service Comparison
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Date
0210112007
0210112008
0210112009
02/0112010
02/0112011
0210112012
02/0112013
02/01/2014
0210112015
0210112016
0210112017
0210112018
0210112019
02101/2020
02101/2021
02101/2022
0210112023
0210112024
02101/2025
0210112026
02101/2027
02101/2028
0210112029
02101/2030
02/0112031
02/0112032
02/0112033
02101/2034
Total
Total P+I
Existing D/S
242,270.00
299,730.00
493,840.00
495,580.00
490,595.00
493,995.00
490,725.00
491,150.00
Net New D/S
239.410.71
1,188,732.92
1,305.842.50
1,305,757.50
1,298.947.50
1,305,497.50
1,300.137.50
1,303.445.00
1,304,955.00
1,303.032.50
1,299,745.00
1.300,350.00
1,304,620.00
1,302,320.00
1,303,632.50
1.303.317.50
1,301,345.00
1,302,685.00
1,302,085.00
1,304,927.50
1,305,552.50
1,309.377.50
1,301,177.50
1,300.905.00
1,303,585.00
1,298,990.00
1,301,780.00
1,297,040.00
$35,299,193.63
Old Net D/S
242.270.00
1,147,326.26
1.341,436.26
1,343,176.26
1,338,191.26
1,341,591.26
1.338,321.26
1,338,746.26
1,342,596.26
1,342,846.26
1,336.846.26
1,339,846.26
1,341,346.26
1,341.346.26
1,339,058.76
1,340,233.76
1,339,615.00
1,342,202.50
1,337,740.00
1,340.880.00
1,341,680.00
1,345.140.00
1,336,000.00
1,339.780.00
1,340,700.00
1,338,760.00
1,338,960.00
1,336,040.00
$36,232,676.40
Savings
2,859.29
(41,406.66)
35,593.76
37,418.76
39.243.76
36,093.76
38,183.76
35,301.26
37,641.26
39,813.76
37,101.26
39,496.26
36,726.26
39,026.26
35.426.26
36.916.26
38,270.00
39.517.50
35.655.00
35,952.50
36,127.50
35.762.50
34.822.50
38.875.00
37,115.00
39,770.00
37,180.00
39,000.00
$933,482.77
889,002.92
812,002.50
810,177.50
808.352.50
811,502.50
809,412.50
812,295.00
1,304,955.00
1,303,032.50
1,299,745.00
1,300,350.00
1,304,620.00
1,302,320.00
1,303,632.50
1,303,317.50
1,301,345.00
1,302,685.00
1,302,085.00
1,304.927.50
1,305,552.50
1,309,377.50
1,301,177.50
1,300,905.00
1,303,585.00
1,298,990.00
1,301,780.00
1,297,040.00
$31,804,167.92
$3,497,885.00
PV Analysis Summary (Net to Net)
Gross PV Debt Service Savings.....................
929,016.04
Net PV Cashfiow Savings @ 4.456%(Bond yield).....
929,016.04
Transfers from Prior Issue Debt Service Fund......
Contingency or Rounding Amount....................
Net Present Value Benefit
(423,798.13)
2.859.29
5508,077 .20
Net PV Benefit! 518,199,016.04 PV Refunded Debt Service
Net PV Benefit / 516,455,000 Refunded Principal...
Net PV Benefit / $17.270.000 Refunding Principal..
2.792%
3.088%
2.942%
Refunding Bond Information
Refunding Dated Date
Refunding Delivery Date
12/01/2006
12/01/2006
04ref 2 I SINGLE PURPOSE I 9/2112006 I 1 :21 PM
Northland Securities
Public Finance
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EXTRACT OF MINUTES OF A MEETING OF THE
BOARD OF COMMISSIONERS OF THE
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ANDOVER, MINNESOTA
HELD: October 3, 2006
Pursuant to due call thereof, a regular or special meeting of the Board of Commissioners
of the Economic Development Authority of the City of Andover, Minnesota, was duly held at the
City Hall on October 3,2006, at _ P.M.
The following members were present:
and the following were absent:
Member
introduced the following resolution and moved its adoption:
RESOLUTION APPROVING THE ISSUANCE OF PUBLIC FACILITY LEASE REVENUE
REFUNDING BONDS (CITY OF ANDOVER COMMUNITY CENTER), SERIES 2006A
A. WHEREAS, the Board of Commissioners of the Economic Development
Authority of the City of Andover, Minnesota (the "Authority"), has been advised by Northland
Securities, Inc., in Minneapolis, Minnesota ("Northland") that a refunding of the Authority's
$19,640,000 Public Facility Lease Revenue Bonds, Series 2004 (City of Andover Community
Center) (the "2004 Bonds") is feasible via a crossover refunding, based on interest rates presently
available by the issuance of Public Facility Lease Revenue Refunding Bonds (the "Bonds"), and .
interest rates presently available for permissible investments utilized in the escrow account; and
B. WHEREAS, Northland has indicated a willingness to purchase the Bonds; and
C. WHEREAS, the Authority desires to effectuate the transaction with Northland
whenever market conditions are appropriate.
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the
Economic Development Authority of the City of Andover, Minnesota, as follows:
1. Authorization. The Board of Commissioners hereby authorizes Mr. Jim
Dickinson, the City Administrator, City of Andover, Minnesota, to execute a Bond Purchase
Agreement which will approve the sale of the Bonds to Northland, provided that the total net
savings accomplished by the refunding is at least $ and the net present value
savings as a percentage of the present value of the refunded debt service of the 2004 Bonds is at
least %.
2. Meeting. Upon approval of the sale of the Bonds by the City Administrator, the
Board of Commissioners will meet at it's next regularly scheduled Board meeting to adopt the
necessary approving resolutions and related dDcuments to be prepared by Briggs and Morgan,
Professional Association, as Bond Counsel.
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3. Official Statement. The Executive Director and other officers or employees of the
Authority are hereby authorized to cooperate with Ehlers and Associates, Inc. and participate in
the preparation of an official statement for the Bonds.
The motion for the adoption of the foregoing resolution was duly seconded by member
, and upon vote being taken thereon the following voted in favor thereof:
and the following voted against the same:
whereupon the resolution was declared duly passed and adopted.
Passed: October 3, 2006.
President
Attest:
Executive Director
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1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100
FAX (763) 755-8923. WWW.CI.ANDOVER.MN.US
TO:
f2C:
FROM:
SUBJECT: Update on Economic Development Activities
DATE:
October 3, 2006
INTRODUCTION
This memo is provided as a status update for all the economic development activities related to
Andover Station North that the City staffhave recently been engaged in.
DISCUSSION
~_ ) The following is the update on activities:
Rudnicki Building - Mr. Rudnicki's building has all the walls standing, steel is in place, pavement is
ready to be put down in the parking area.
Bruggeman Homes - They have two crews installing utilities in the second phase. They are
beginning construction on one of the 4-unit buildings and they have pulled permits on two additional
8-unit buildings. They will soon ask for a building permit for one of their one-unit townhomes. They
want to have that unit available for the spring 2007 Parade of Homes.
Funeral Home Proposal- The final version of the purchase agreement has been prepared and sent out
for signature and they are preparing a commercial site plan submittal. Staffhas ordered a lot survey to
be prepared as needed to complete the sale.
Town Center Companies - Due Diligence Progress Review - Their marketing sign has been installed
along Hanson Boulevard on September Ii". The site plan and marketing brochures are being
designed and will be put out very soon.
Other New Proposals - John Larkin is still working on preparing a proposal for the sports training
facility on the site located east of the ball fields. He will be preparing a "Letter of Intent" for the site
in the next 30 days. He feels he can build a building that the EDA may approve (with high quality
design and materials, etc.).
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Day Care Proposal - The purchase agreement was prepared and mailed out to Tracy Sonterre for
,') signature. Staffhas ordered a lot survey to be prepared as needed to complete the sale.
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NBI Office Development - The final version of the purchase agreement was prepared and sent out to
for signature. Staffhas ordered a lot survey to be prepared as needed to complete the sale.
EPA Clearance of Institutional Controls - Staff has received acknowledgement from EPA in
Chicago that they have sent the State Attorney General's office a document that they will remove the
institutional controls placed on the Andover Station North parcels and establish a reduced set of
requirements. The Attorney General's Office is in the process of preparing a new set of documents
that will be recorded against the property indicating there will be "Vapor Barrier " protection on all
buildings in the northerly 80 acres and no ground water extraction will be allowed. The City Attorney
prepared all the purchase agreements for land sales in this area to include this provision as a restrictive
covenant.
Ballfield Completion - The sodding of all three ballfields is on schedule to be completed by the end of
September. The irrigation system is now operational and the ballfields will be ready for use in the
spring-summer of2007.
POV's Ballfield Netting - The work of installing poles and netting along the edge of Jay Street
adjacent to POV's ballfields has been completed. The installation of the netting was agreed to by the
City when the easement negotiations took place to assure Mr. Povlitzki that no balls from his fields
would be hitting vehicles on Jay Street.
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\ .J ACTION REQUIRED
This is an informational update to the EDA only, no action is needed.
Respectfully submitted,
Will Neumeister
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