EDC 03-19-2013 - Laserfiche WebLink

Home Browse Search

MINUTES New Brighton Economic Development Commission Not Approved Regular Meeting—January 15, 2013 7:30 a.m. Members/Liaisons Present: Chairperson Paul Zisla, Commissioners Mike Murlowski, Al Potter, Vivian Neumann-Walker, Bruce Knight, Linda Zelm, D.L. Beach, and Councilmember Gina Bauman Members/Liaisons Absent: Marie Carrell Staff Present: Grant Fernelius-Community Development Director, Katie Bruno-Office Assistant. Guests Present: Call to Order Chairperson Zisla called the meeting to order at 7:30 a.m. Approval of Minutes Motion by Commissioner Potter; seconded by Commissioner Murlowski to approve the minutes from the November 20th meeting. Approved 7-0 Report from Council Liaison Councilmember Bauman reported that the council recently certified a 0% levy increase; including a 1% COLA and Step increases for employees. The council will be having a one day retreat with staff in order to review 2013 topics. New Brighton Exchange Update on APi Discussions Director Fernelius reported that the City Council met with representatives from APi Group in December to learn more about the company's plans to expand on the vacant lot north of their current headquarters. The Council was supportive of the project. Fernelius directed the commission to the term sheet included in their packet where some key issues included the price of the land- noting the City is in the process of obtaining an appraisal. Chairperson Zisla questioned if the recovery cost is based on the taxes generated or the price of the land. Director Fernelius confirmed that it was based on generated taxes. Commissioner Potter questioned the negotiation process. Director Fernelius stated that staff typically works out a general framework by having conversations with the commissions and council; noting that the ultimate approval comes from the City Council. Commissioner Knight asked if the City has established low and mid-point price points. Fernelius responded that the appraisal will determine the fair market value, noting that may differ from the County Assessor's office appraisal. Chairperson Zisla commented that there is more to consider than solely the price of the land. Commissioner Murlowski agreed. Commissioner Zelm commented that appraisals are done on previous sales, which will likely be low. Chairperson Zisla asked for background related to structured parking. Director Fernelius reported that parking is often a driving factor in office use. In the proposed APi project surface parking will likely not meet the requirements. Structured parking is an extraordinary cost, and is often worked into the purchase price as part of the negotiation process. Fernelius stated that APi has been making payments to the City equal to the tax increment from the building they started construction on previously, these payments will go through 2013. Fernelius suggested this could be used in the negotiation process as well.