HomeMy WebLinkAboutNovember 8, 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
November 8, 2006
6:00 p.m.
Conference Rooms A & B
AGENDA
1. Call to Order - 6:00 p.m.
2. Approval of Minutes (10/17/06 Regular Mtg.)
3. Community Center Refinancing Update/Approval
0 4. Amendment to Bruggeman Purchase Agreement.
5. Update on Economic Development Activities
6. Other Business
7. Adjourn
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ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING
NOVEMBER 8, 2006 - MINUTES
A Regular Meeting of the Andover Economic Development Authority was called to order
by President Gamache at 6:00 p.m., Wednesday, November 8, 2006 at the Andover City
Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota.
Commissioners Present:
Don Jacobson, Mike Knight, Ken Orttel, Julie Trude,
Resident Members Joyce Twistol and Robert Nowak
Edward Schultz, Advisor to the EDA
Jim Dickinson, Executive Director
Will Neumeister, Economic Development Director
Others
Commissioners Absent:
Also Present:
APPROVAL OF MINUTES
October 17, 2006
Motion by Gamache, seconded by Knight to approve the minutes of October 17, 2006 as
presented. Motion carried on a 5-yes, 2-present (Orttel, Nowak) vote.
COMMUNITY CENTER REFINANCING UPDATEIAPPROV AL
Mr. Dickinson explained that the bond sale didn't happen. He plans to sell on Monday
and do another sale 15 days after that. One closing will be in December and one in
January. This is a crossover refunding with a call date of 20 14. The minimum savings
will be $800,000.
Commissioner Trude asked if there is a risk that we will lose money. Mr. Dickinson
stated no, as they will be invested in fixed rate securities.
Commissioner Orttel asked how this would affect our balance sheet. Mr. Dickinson
stated that it wouldn't hurt it at all. He then discussed a handout regarding the
comparison of refunding structures.
AMENDMENT TO BRUGGEMAN PURCHASE AGREEMENT
Mr. Neumeister noted that Bruggeman has requested a change in their purchase
agreement that will result in a closing date of December 31, 2007. They would like more
time because of the slow market conditions. The balance would be applied to a new
mortgage with an interest rate of 6%.
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Economic Development Authority Meeting
November 8, 2006 - Minutes
Page 2
Commissioner Jacobson asked about Points 4 and 5 on Page 2. Mr. Dickinson stated that
#4 is boilerplate language and #5 allows them to take down a certain number of units.
We require 4 at a time. On a 4 unit building they will pay $15,500 per unit. He
explained that the EDA is carrying the mortgage on the property.
Motion by Jacobson, seconded by Orttel to authorize the City Attorney to draw up an
amendment to the purchase agreement dated June 6, 2006 with Bruggeman to set a
closing date on the Povlitzki parcel no later than December 15,2006 with $5,000 cash
due at the closing and $119,000 in seller financing.
Motion carried unanimously.
UPDATE OF ECONOMIC DEVELOPMENT ACTIVITIES
Mr. Neumeister updated the Authority on development activities, ipc1uding the Rudnicki
building, Bruggeman Homes, the Funeral Home proposal, Day Care proposal, NBI
Office Development and other proposals.
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Motion by Jacobson, seconded by Knight to adjourn.
Motion carried unanimously.
Respectfully submitted,
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Vicki V olk
City Clerk
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