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JUN _ 8 1994 <br /> JAMES P.LARKIN LARKIN, HOFFMAN, DALY& LINDGREN, LTD. DANIEL L.BOWLES <br /> ROBERT L.HOFFMAN TIMOTHY.1.MO MANUS <br /> JACK F.DALY ATTORNEYS AT LAW TIMOTHY J.KEANE <br /> D.KENNETH UNDGREN ALAN M.ANDERSON <br /> GERALD H.FRIEDELL DONNA L.ROBACK <br /> ALLAN E.MULLIGAN MICHAEL W.SCHLEY <br /> JAMES C.ERICKSON USA A.GRAY <br /> 4 EDWARD J.DRISCOLL 1500 NORWEST FINANCIAL CENTER GARY A.RENNEKE <br /> GOENE N.FULLER CHRISTOPHER J.HARRISTHAL <br /> HN D.FULLMER 7900 XERXES AVENUE SOUTH MICHAEL A.ROBERTSON <br /> OBERT E.BOYLE BRUCE J.DOUGLAS <br /> FRANK I.HARVEY BLOOMINGTON, MINNESOTA 66431-1194 SHANNON K.MCCAMBRIDGE <br /> CHARLES S.MODELL WILLIAM C.GRIFFITH,JR. <br /> CHRISTOPHER J.DIETZEN TELEPHONE(61 2)835-3800 JOHN J.STEFFENHAGEN <br /> JOHN R.BEATTIf FAX(612)896-3333 DANIEL W.VOSS <br /> UNDA H.FISHER JOHN R.HILL <br /> THOMAS P.STOLTMAN PETER J.COYLE <br /> MICHAEL C.JACKMAN MICHAEL J.SMITH <br /> JOHN E.DIEHL VIUS R.INDE <br /> JON S.SWIERZEWSKI DWIGHT N.HOLMBO <br /> THOMAS J.FLYNN ANDREW F.PERRIN <br /> JAMES P.QUINN ANN M.MEYER <br /> TODD I.FREEMAN FREDERICK K.HAUSER III <br /> PETER K.BECK MARY E.VOS <br /> JEROME H.KAHNKE LARRY D.MARTIN <br /> GERALD L.SECK JANE E.BREMER <br /> JOHN B.LUNDQUIST RENEE L.TOENGES <br /> DAYLE NOLAN• MARCY R.KREISMAN <br /> THOMAS B.HUMPHREY,JR, MARIEL E.PIILOLA <br /> JOHN A.COTTER• DAMON E.SCHRAMM <br /> BEATRICE A.ROTHWEILER STEPHEN J.KAMINSKI <br /> PAUL B.PLUNKETT <br /> ALAN L.KILDOW OF COUNSEL <br /> KATHLEEN M.NEWMAN WENDELL R.ANDERSON <br /> MICHAEL B.LEBARON JOSEPH GMS <br /> GREGORY E.KORSTAD MARK A.RURIK <br /> GARY A.VAN CLEVE` <br /> •ALSO ADMITTED IN WISCONSIN <br /> June 7, 1994 <br /> Mr. Bill Rubin, Executive Director <br /> Economic Development Authority <br /> City of Elk River <br /> P.O. Box 490 <br /> Elk River, Minnesota 55330 <br /> Re: Conflict of Interest <br /> •Dear Bill : <br /> This letter is in response to your letter of May 10, 1994, requesting, <br /> on behalf of the Elk River Economic Development Authority (EDA) , my <br /> opinion with respect to a potential conflict of interest. Your letter <br /> indicates that EDA President Jeffrey Gongoll recently accepted <br /> employment with Riverside Development (Riverside) . Riverside, its <br /> principals and subsidiary companies, are involved in the business of <br /> real estate development, brokerage and leasing in the City of Elk <br /> River. The EDA' s specific concern is whether President Gongoll ' s <br /> access to the monthly "confidential" Prospect Status Report <br /> distributed to EDA Commissioners will give Riverside an unfair <br /> competitive advantage over other developers, and therefore constitute <br /> a conflict of interest. <br /> Your letter refers me to Minnesota Statutes Section 469 .098, which <br /> identifies certain conflicts of interest regarding EDA Commissioners; <br /> and Section 471 . 88, which identifies a number of exceptions to the <br /> state conflict, of interest statute set forth in Section 471. 87. I <br /> have also reviewed the City conflict of interest ordinance, found at <br /> Section 218 . 08 (9) of the City Code of Ordinances; and the Minnesota <br /> Open Meeting Law, Minnesota Statutes Section 471. 705 . My response to <br /> your specific inquiry regarding the Prospect Status Report is set <br /> forth below. I have also come across, in the course of reviewing the <br /> Ilitatutesand ordinances identified above, several related issues which <br />