09-29-2016 JFC MIN - Laserfiche WebLink

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City of Elk Meeting of the Elk River EDA Finance Committee River Held at the Elk River City Hall Tuesday, September 29,2016 Members Present: Larry Toth,Ryan Hardin,Dan Tveite,Jennifer Wagner, and Chad Vitzthum Members Absent: Nate Ovall Staff Present: Amanda Othoudt, Economic Development Director and Colleen Eddy, Economic Development Specialist Also Present: Annie Deckert, Decklan Group;Brian Hill,Apex;Dan Weber, Sherburne County;Mikaela Huot, Springsted Inc 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River Finance Committee was called to order at 7:37 a.m. 2. Consider Agenda Motion by Wagner and seconded by Vitzthum to approve the agenda. Motion carried 5-0. 3.0 Consent Agenda Motion by Toth and seconded by Hardin to approve the consent agenda. Motion carried 5-0. 4.1 APEX Embroidery Forgivable Loan Application Ms. Othoudt presented the staff report and reviewed the score sheet. Members discussed the number of jobs the loan would create and asked if there was any city owned land that would work for this business. Ms. Othoudt reported that there was very limited city property available at this time. Motion by Vitzthum and seconded by Wagner to approve the forgivable loan request. Motion carried 5-0. 4.2, APEX Embroidery Tax Abatement Application Ms. Othoudt presented the staff report. Mikaela Huot from Springsted presented the "but for" analysis. Members discussed various items regarding the local market rates, abatement usually supports bigger projects,and the number of jobs being created among other things. Dan Weber spoke on behalf of Sherburne County,who is in support of the abatement request. Further discussion was had by the committee,whom directed staff to shorten the abatement term if Springsted could show through alternative assumptions by means of a blended rate that a shorter term of abatement would cover the immediate financing gap.the company needed for the project to proceed.