02-09-1998 EDA MIN - Laserfiche WebLink

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Economic Development Authority Minutes February 9. 1998 Page 2 e the time the new building is occupied, to be used for soil corrections on the new property, and $50,000 over the life of the T1F District. President Duitsman indicated that he supports the previous decision of the EDA made on February 2. Commissioner Gongoll indicated that he would support splitting the $300,000, giving the Morrells $150,000 up front and the balance of $150,000 on a pay-as- you-go basis. Terry Morrell reviewed the different components of the project which consisted of clean up of the old site, soil corrections and building completion at the new site, and improvements required by the city. He requested the EDA to consider the Morrell's proposal of $300,000 up front and $50,000 on a pay-as-you-go basis. Commissioner Holmgren indicated he supported Commissioner Gongoll's proposal. Commissioner Bender indicated he supported the Authority's decision on February 2. e COMMISSIONER BENDER MOVED THAT NO CHANGE BE MADE FROM THE FEBRUARY 2 DECISION OF THE EDA WHICH CONSISTED OF INCREASING THE TAX INCREMENT FUNDS TO $350,000 WITH AN UP FRONT PAYMENT OF $50,000 FOR CLEAN UP OF THE OLD SITE AND THE BALANCE OF $300,000 TO BE ON A PAY-AS-YOU-GO BASIS. PRESIDENT DUITSMAN SECONDED THE MOTION. Commissioner Farber indicated that he concurred with Commissioners Gongoll and Holmgren in splitting the $300,000. He further stated he does not feel a pay- as-you-go basis would help the Morrells and would rather see the entire $300,000 paid up front. Commissioner Dwyer indicated that he would abstain from the vote as he is an officer and stockholder of the bank as potential lender. Commissioner Dwyer stated that the situation is unique in that the Morrells have to clean up the old site prior to moving to the new site. He indicated that due to this fact he could consider deviating from the pay-as-you-go method of providing assistance. Commissioner Thompson indicated that he made the original proposal of giving the Morrells $50,000 up front for the purpose of cleaning up the old site. He stated that the Morrells have made it evident that there are other obstacles they are facing such as soil and water corrections at the new site. He indicated that he would be willing to compromise by offering the Morrells $300,000 with $150,000 up front. President Duitsman called for the vote. e THE MOTION FAILED 2-4-1. President Duitsman and Commissioner Bender voted aye. Commissioners Holmgren, Thompson, GongolL and Farber voted nay. Commissioner Dwyer abstained.