09-11-1989 EDA MIN - Laserfiche WebLink

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. . . Page 2 Economic Development Authority Meeting September 11. 1989 5. Consider Price Alternative for Mork Clinic Revenue Bond Chairman Tra11e indicated that at the last EDA meeting the Commission had considered issuing taxable bonds for the purpose of lending proceeds of the bonds to the Mork Clinic to finance the construction of the clinic. He indicated that the interest rates on these bonds would be lower than the interest rate which would be charged to the clinic and that the EDA would receive the difference which would be added to the EDA development fund. He indicated however. that the EDA had denied the request and stated that they have since received a memo from the City Attorney stating that in order for an EDA to issue a General Obligation Bond this would have to be approved by the voters of the City through a referendum. Dick Fursman. Economic Development Coordinator. stated that due to the findings from the City Attorney regarding the G.O. Bond. this would be a dead issue. He indicated however. that an attractive alternative to a General Obfigation Bond would be a Revenue Bond. However. the time frame for financing a Revenue Bond has been reestimated to 120 days and this would put the project behind schedule. Mr. Fursman stated that due to the complications involved in using either G.O. Bonds or Revenue Bonds. Mork Clinic has decided to go with private financing. Mr. Fursman indicated that the Tax Increment Financing Plan has been received and he indicated that the Commission has received a resolution which amends the size of the district. He further stated that the TIF Plan has been distributed to the School and the County. COMMISSIONER DOBEL MOVED TO ADOPT RESOLUTION 89-2. A RESOLUTION APPROVING THE FINDINGS OF CONDITIONS FOR THE CREATION OF TAX INCREMENT FINANCING DISTRICT '6 AS A REDEVELOPMENT DISTRICT. COMMISSIONER KROPUENSKE SECONDED THE MOTION. THE MOTION CARRIED 5-0. 6. Adj ournment There being no further business. COMMISSIONER HOLMGREN MOVED TO ADJOURN THE IDA MEETING. COMMI SSIONER DOBEL SECONDED THE MOTION. THE MOTION CARRIED 5-0. The meeting of the Economic Development Authority adjourned at 6:15 p.m. ~Res~ectfu11Y submitted. 7 1 J , ~-.t~ ~~~.-L7'><'d:, Sandy Tha-6keray City Clerk ..