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HomeMy WebLinkAbout2020-09-14 EDA Meeting MinutesA. MEETING MINUTES MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY 6:15 P.M. Monday, September 14, 2020 Held Remotely Via Conference Call CALL TO ORDER A meeting of the Maplewood Economic Development Authority (EDA), was held remotely via conference call and was called to order at 6:15 p.m. by President Knutson. B. ROLL CALL C E. William Knutson, President Present Bryan Smith, Vice President Present Marylee Abrams, Commissioner Present Kathleen Juenemann, Commissioner Present Sylvia Neblett, Treasurer Present APPROVAL OF AGENDA Executive Director Coleman requested the commission table agenda items Ela Public Hearing and E1 b Contract for Private Redevelopment with Susco 4 Mapleridge, LP; and add an agenda item to call for Special Economic Development Authority Meeting on September 28, 2020 for those items to be placed on that agenda. Commissioner Abrams moved to approve the agenda as amended. Seconded by Commissioner Smith Ayes — All, via roll call The motion passed. APPROVAL OF MINUTES 1. August 24, 2020 Economic Development Authority Special Meeting Minutes Commissioner Juenemann moved to approve the August 24, 2020 Economic Development Authority Special Meeting Minutes as submitted. Seconded by Commissioner Abrams The motion passed. PUBLIC HEARING Ayes — 4, via roll call Abstrain — Commissioner Neblett 1. Tax Increment Financing and Business Subsidy Agreement for Maple Ridge Center a. Public Hearing b. Contract for Private Redevelopment with Suso 4 Mapleridge, LP c. Resolution Authorizing Interfund Loan for Advance of Certain Costs in Connection with Tax Increment Financing District No. 1-14 September 14, 2020 Maplewood Economic Development Authority Community Development Director Thomson gave the presentation. Commissioner Abrams moved to table the public hearing. Seconded by Commissioner Juenemann Ayes — All, via roll call The motion passed. Commissioner Juenemann moved to table the Contract for Private Redevelopment with Suso 4 Mapleridge, LP. Seconded by Commissioner Abrams Ayes — All, via roll call The motion passed. Commissioner Abrams moved to approve the Resolution Authorizing Interfund Loan for Advance of Certain Costs in Connection with Tax Increment Financing District No. 1-14. Resolution 20-09-0002 MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION AUTHORIZING INTERFUND LOAN FOR ADVANCE OF CERTAIN COSTS IN CONNECTION WITH TAX INCREMENT FINANCING DISTRICT NO. 1-14 BE IT RESOLVED by the Board of Commissioners of the Maplewood Economic Development Authority ("MEDA") as follows: Section 1. Background. 1.01. MEDA has established Tax Increment Financing District No. 1-14 (the "TIF District") in the general vicinity of 2501 White Bear Avenue, pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the "TIF Act"). 1.02. MEDA has incurred certain costs (the "Preliminary Costs") related to the TIF District prior to such time as tax increment will be available to pay for such costs. 1.03. Pursuant to Section 469.178, subdivision 7 of the TIF Act, MEDA is authorized to advance or loan money from its general fund or any other fund from which such advances may be legally authorized in order to finance the Preliminary Costs. 1.04. MEDA will loan funds from its general fund (the "General Fund"), or any other fund designated by MEDA, to finance the Preliminary Costs (the "Interfund Loan") in accordance with the terms of this resolution. Section 2. Interfund Loan Authorized. 2.01. MEDA hereby authorizes the advance of up to $50,000 from the General September 14, 2020 2 Maplewood Economic Development Authority Fund or other funds or so much thereof as may be required to pay the Preliminary Costs. MEDA shall reimburse itself for such advances together with interest at the rate stated below. Interest accrues on the principal amount from the date of each advance. The maximum rate of interest permitted to be charged is limited to the greater of the rates specified under Minnesota Statutes, Section 270C.40 and Section 549.09 as of the date the loan or advance is authorized, unless the written agreement states that the maximum interest rate will fluctuate as the interest rates specified under Minnesota Statutes, Section 270C.40 or Section 549.09 are from time to time adjusted. The interest rate shall be 5.0 percent and will not fluctuate. 2.02. Principal and interest (the "Payments") on the Interfund Loan shall be paid semiannually on each February 1 and August 1 (each a "Payment Date"), commencing on the first Payment Date on which MEDA has Available Tax Increment (defined below), or on any other dates determined by MEDA's Executive Director, through the date of last receipt of tax increment from the TIF District. 2.03. Payments on the Interfund Loan are payable solely from Available Tax Increment, which shall mean, on each Payment Date, tax increment available after other obligations of the TIF District have been paid, or as determined by MEDA's Executive Director, generated in the preceding six (6) months with respect to the property within the TIF District and remitted to MEDA by Ramsey County, Minnesota, all principal. Payments on the Interfund Loan may be subordinated to any outstanding or future bonds or notes issued by MEDA and secured in whole or in part with tax increment from the TIF District. 2.04. The principal sum and all accrued interest payable under the Interfund Loan are prepayable in whole or in part at any time by MEDA without premium or penalty. No partial prepayment shall affect the amount or timing of any other regular payment otherwise required to be made under the Interfund Loan. 2.05. The Interfund Loan is evidence of an internal borrowing by MEDA in accordance with Section 469.178, subdivision 7 of the TIF Act, and is a limited obligation payable solely from Available Tax Increment pledged to the payment hereof under this resolution. This Interfund Loan and the interest hereon shall not be deemed to constitute a general obligation of the State of Minnesota or any political subdivision thereof, including, without limitation, MEDA or the city of Maplewood. Neither the State of Minnesota nor any political subdivision thereof shall be obligated to pay the principal of or interest on the Interfund Loan or other costs incident hereto except out of Available Tax Increment, and neither the full faith and credit nor the taxing power of the State of Minnesota or any political subdivision thereof is pledged to the payment of the principal of or interest on the Interfund Loan or other costs incident hereto. MEDA shall have no obligation to pay any principal amount of the Interfund Loan or accrued interest thereon, which may remain unpaid after the final Payment Date. 2.06. MEDA may at any time make a determination to forgive the outstanding principal amount and accrued interest on the Interfund Loan to the extent permissible under law. 2.07. MEDA may from time to time amend the terms of this resolution to the extent permitted by law, including without limitation amendment to the payment schedule and the interest rate; provided, however, that the interest rate may not be increased above the maximum specified in Section 469.178, subdivision 7 of the TIF Act. September 14, 2020 3 Maplewood Economic Development Authority 2.08. MEDA officials and consultants are hereby authorized and directed to execute any documents or take any actions necessary or convenient to carry out the intent of this resolution. Section 3. Effective Date. This resolution is effective upon approval. Adopted by the Board of Commissioners of Maplewood Economic Development Authority, this 14th day of September, 2020. Seconded by Commissioner Juenemann Ayes — All, via roll call The motion passed. Commissioner Juenemann moved to call for a Special Economic Development Authority Meeting on September 28, 2020 at 6:30 p.m. Seconded by Commissioner Neblett Ayes — All, via roll call The motion passed. F. UNFINISHED BUSINESS None G. NEW BUSINESS 1. Resolution Providing Approval of the 2021 Preliminary EDA Budget Executive Director Coleman gave the report. Commissioner Juenemann moved to approve the resolution providing approval of the 2021 Preliminary EDA Budget in the amount of $150,000, with a funding request of $100,000 from the City Council. Resolution 20-09-0003 MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION RECOMMENDING APPROVAL OF THE 2021 PRELIMINARY EDA BUDGET WHEREAS, State law requires the City of Maplewood to certify its preliminary property tax levy to the County Auditor by September 30th of each year; and WHEREAS, the bylaws of the Maplewood Economic Development Authority (EDA) require the EDA to submit an annual budget to the City Council for inclusion and incorporation in the City's annual budget and tax levy. NOW THEREFORE BE IT RESOLVED that the Maplewood Economic Area Development Authority (EDA) approves the 2021 Preliminary EDA Budget, in the amount of $150,000, and recommends a request to the Maplewood City Council for funding in the amount of $100,000 for fiscal year 2021. September 14, 2020 4 Maplewood Economic Development Authority Seconded by Commissioner Abrams Ayes — All, via roll call The motion passed. 2. Resolution Approving the Grant Agreement with YMCA Finance Director Paulseth gave the staff report. Commissioner Juenemann moved to approve the resolution approving the grant agreement in the amount of $800,000 with the YMCA. Resolution 20-09-0004 MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION APPROVING A GRANT AGREEMENT WITH YMCA OF THE GREATER TWIN CITIES WHEREAS, on August 10, 2020, the Maplewood City Council allocated $500,000 in CARES Act funding to the Maplewood Economic Development Authority (EDA) for the purpose of providing reimbursement to nonprofit entities who have a contractual relationship with the City of Maplewood to provide services relating to community response to the Covid-19 public health emergency; and WHEREAS, on August 10, 2020, the Maplewood City Council further allocated $300,000 in CARES Act funding to the Maplewood EDA to provide business relief to nonprofit entities who have a contractual relationship with the City during the pandemic shutdown period ordered by the Governor of the State of Minnesota. NOW, THEREFORE BE IT RESOLVED that the Maplewood Economic Development Authority (EDA) approves the grant agreement with the YMCA of the Greater Twin Cities (YMCA), dated September 14, 2020, which provides for a $500,000 allocation to the YMCA for reimbursement of expenses related to community response to the Covid-19 public health emergency, and a $300,000 allocation for business relief purposes with the provision that 30% of furloughed employees are rehired during the period from August 3, 2020 through November 15, 2020. Seconded by Commissioner Neblett Ayes — All, via roll call The motion passed. 3. Resolution Allocating Residual CARES Act Funding to St. John's Hospital Finance Director Paulseth gave the staff report. Commissioner Juenemann moved to approve the resolution approving the distribution of residual CARES Act funding in the amount of $86,000 to St. John's Hospital, Maplewood MN. Resolution 20-09-0005 MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY September 14, 2020 5 Maplewood Economic Development Authority RESOLUTION APPROVING RESIDUAL CARES ACT FUNDING TO ST. JOHN'S HOSPITAL WHEREAS, on August 10, 2020, the Maplewood City Council allocated $86,000 in residual CARES Act funding to the Maplewood Economic Development Authority (EDA) for the purpose of distributing the funding to St. John's Hospital, Maplewood MN, for community response to the Covid-19 public health emergency. NOW, THEREFORE BE IT RESOLVED that the Maplewood Economic Development Authority (EDA) approves the distribution of residual CARES Act funding to St. John's Hospital, Maplewood, MN, on or before the federal deadline of November 15, 2020. Seconded by Commissioner Abrams Ayes — All, via roll call The motion passed. H. ADJOURMENT President Knutson adjourned the meeting at 6:44 p.m. Andrea Sindt, City Clerk September 14, 2020 6 Maplewood Economic Development Authority