EDSR MEMORANDUM 03-08-1993 - Laserfiche WebLink

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I`/ -\( tyloic TO: ECONOMIC DEVELOPMENT AUTHORITY River FROM: WILLIAM RUBIN, ED COORDINATO 7K DATE: MARCH 3, 1993 SUBJECT: AGENDA MEMO FOR MARCH 8, 1993 EDA MEETING 5 . FINANCIAL UPDATE An update on the Revolving Loan Fund will be given at the March 8, 1993, meeting. The EDA did close on its loan with Coldwell Banker (DBA Designing Women of Elk River) on February 18th. 6 . PUBLIC HEARING ON TESCOM TIF PLAN As its February EDA meeting, Commissioners authorized the preparation of a new Tax Increment Financing Plan for the Tescom Corporation expansion project in the Elk River Industrial Park. In addition, an EDA public hearing on this matter was scheduled for March 8, 1993. Similarly, 411 the Elk River City Council will conduct a public hearing on March 8, 1993, immediately following the EDA meeting. The review process required before the adoption a TIF plan has been completed. TIF District No. 9 will be an "Economic Development District. " Manufacturing uses are permitted in an Economic Development District. District No. 9 is proposed to be comprised of three parcels: Lot 1, Lot 2, Lot 3, Block 2, Elk River Industrial Park 2nd Addition. If the TIF Plan is approved, Tescom Corporation will receive up to $194,000 in Tax Increment Financing assistance. These funds will be used to write-down the acquisition price and to reimburse the developer for the cost of site surveys, civil and engineering, and soil boring and analysis. Exhibit D of the TIF Plan indicates that the EDA/City will collect new property taxes off this project from 1995 through 1999, inclusive. These funds will be used to make the EDA "whole. " That is, new property taxes will be collected exclusively by the EDA/City until the $194,000 in TIF assistance is reimbursed. The TIF Plan for TIF District No. 9 is included in the agenda packet. 411 Action Requested 720 Dodge Avenue N.W., Elk River, Minnesota 55330 (612) 441-7420