Laserfiche WebLink
Item ~ 6.1.A <br /> <br />~ ,City of <br /> <br />iYer <br /> <br />FROM: <br /> <br />DATE: <br /> <br />City Council <br /> <br />Marc Nevinski, Assistant Director of <br />Economic Development <br /> <br />July 10, 2000 <br /> <br />SUBJECT: ANC/Opus Proposal <br /> <br />Issue <br />A proposal has been submitted by Opus Northwest, in conjunction with <br />Advanced Nutrionals Corporation / PouchPac Industries (ANC) to <br />develop the 14.97 acre Emmerich property in the West Business Park. <br />Opus and ANC are requesting that pay-as-you-go Tax Increment <br />Financing be used to write down the land costs. <br /> <br />Background <br />ANC intends to build a state of the art plant in Elk River that will <br />produce, package, and distribute beverage products in stand-up <br />flexible pouches. The facility will be built by Opus Northwest and will <br />consist of a premium fabcon concrete structure of approximately <br />75,000 square feet in Phase I and may approach 200,000 square feet in <br />subsequent expansions. Six thirty-seven foot storage tanks will be <br />included in the design of the building and will require a conditional use <br />permit. ANC plans to employ approximately 50 people with the initial <br />phase and up to 200 with subsequent expansions. Many of the jobs <br />will be technically oriented and will command higher wages. <br /> <br />Staff has proposed the following financial package for the project: <br />· Refund 100% of land costs over a 4-5 year period (interest rate to <br /> be negotiated). <br />· $100,000 micro-loan at four (4) points below prime <br />· 20% reduction in water rates for a three-year period of all water <br /> usage in excess of 2,000,000 gallons per month. <br /> <br />As is often the case, this project is on a very tight schedule and staff is <br />doing its best to accommodate the timeframe where possible. Opus <br />and ANC are in the process of completing the necessary paperwork, <br />including the TIF application, and submitting site plans. Although the <br />TIF application was not available for inclusion in this packet, it is <br /> <br />13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 * TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425 <br /> <br /> <br />