5.0. EDSR 02-13-2006 - Laserfiche WebLink

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Economic Development Authority Minutes August S, 2005 Page 5 from the City. She stated that staff recommends that the EDA Finance Committee review the request prior to an EDA recommendation to the Council. President Gongoll suggested that if necessary, the EDA could review the request at a special EDA meeting. Commissioner Motin stated that he had some concerns that the applicant was requesting both types of assistance from the City. Commissioner Gongoll stated that the request should go through the Finance Committee fox their recommendation. Ms. Steinmetz asked Mx. Inman if his `But Fox" analysis fox the company would be affected by the additional financing. b1r. Inman stated that the was small in comparison to their whole package, and should have no direct impact on the "But For" finding. Commissioner Motin noted that the transportation bonding bill has been approved for the Northstax Corridor project and the project will be going to final design. He stated that $80 million in Federal funds has been indudcd in the 2006 Federal Budget. 9. Consider Year 2006 EDA Budget and Resolution Regarding EDA Lew Ms. Steinmetz reviewed the 2006 projected expenditures and revenues. She noted that the 60/40 split for Personal Services between the EDA and HRA will continue fox 2006. Also, the budget includes a $2,500 contribution to the Initiative Foundation. Ms. SteinmeU discussed the proposed Business Incubator expenses, noting that the Business Incubator continues to be funded since 1997 from repayment of the Tescom loan. She reviewed the current lease agreement with Mx. Larry Hickman and contract with Harlan Jacobs of Genesis Business Centers. Commissioner Dwyer stated that he feels payment to Mx. Jacobs should be 100 percent incentive-based. President Gongoll stated that he felt the retainer was worthwhile, since Mr. Jacobs provides a service. The Commission discussed the issue of a retainer versus an incentive fee, and the state of the Business Incubator Pxogxam. Commissioner Tveite suggested decreasing the retainer and including bonuses fox filling the three spaces. Commissioner Motin stated that he had concerns with giving incentives and felt a flat rate of $125 a month when all three Incubator spaces were full would be appropriate. He suggested that the Commission look at this issue when the 20071ease with b1r. Hickman expires. President Gongoll stated that the EDA needs to look at what they want to put into the Business Incubator project and what they expect to get out of it. MOTION BY COMMISSIONER FARBER, SECONDED BY COMMISSIONER TVEITE TO APPROVE THE 2006 EDA BUDGET, INCLUDING THE 2006 BUSINESS INCUBATOR BUDGET AS PRESENTED; AND, TO APPROVE RESOLUTION OS-01, A RESOLUTION ESTABLISHING THE TAX LEVY FOR THE ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF ELK RIVER, MINNESOTA. MOTION CARRIED 6-0.