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HomeMy WebLinkAbout09-08-14 ,It ,- I�N HILLS Approved: December 8, 2014 CITY OF ARDEN HILLS, MINNESOTA SPECIAL ECONOMIC DEVELOPMENT AUTHORITY MEETING SEPTEMBER 8,2014 5:15 PM—ARDEN HILLS CITY HALL CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, President Grant called to order the special Economic Development Authority meeting at 5:19 p.m. Present: EDA President David Grant; EDA Commissioners Brenda Holden, Fran Holmes, and Ed Werner Absent: EDA Commissioner Dave McClung (excused) Also present: Secretary Patrick Klaers; Executive Director Jill Hutmacher; Public Works Director Terry Maurer; City Planner Ryan Streff; Associate Planner Matthew Bachler; and City Clerk Amy Dietl 1. APPROVAL OF AGENDA MOTION: EDA Commissioner Holden moved and EDA President Grant seconded a motion to approve the agenda as presented. The motion carried unanimously (4-0). 2. APPROVAL OF MINUTES A. April 28, 2014 MOTION: EDA Commissioner Holden moved and EDA President Grant seconded a motion to approve the April 28, 2014, Economic Development Authority minutes as presented. The motion carried unanimously (4-0). 3. NEW BUSINESS A. Preliminary EDA 2015 General Fund Budget ARDEN HILLS SPECIAL EDA MEETING— SEPTEMBER 8, 2014 2 Secretary Klaers stated that the EDA is a blended component unit of the City of Arden Hills which makes EDA Funds Special Revenue Funds of the City. Annually the City is required by the State to set budgets for the City's General Fund and all Special Revenue Funds (which includes all the EDA Funds). Secretary Klaers indicated that the EDA funds consist of the EDA General Fund, the EDA Revolving Loan Fund, the EDA TIF District #2 Round Lake, the EDA TIF District #3 Cottage Villas, and the EDA TIF District#4 Presbyterian Homes. Secretary Klaers stated that overall, the EDA General Fund is in good financial condition for 2014 with an estimated year-end reserve balance of $208,166; but the EDA and City Council need to identify dependable, reoccurring revenue for EDA activities in the future as the primary funding source of revenues from the Round Lake Road TIF District will be done in 2015. The other main reason the EDA General Fund is in good condition for at least 2014 is because of the transfer of conduit fees into this fund for operating expenses. Secretary Klaers commented that unless the EDA and City Council decide to change priorities, the expenses for economic development related activities will exist regardless of whether they are in the City General Fund budget or if they are in the EDA General Fund budget. Today, economic development expenses for personal services and for other services/charges are estimated to be in the $130,000 per year range. Secretary Klaers stated that the fund balance being projected at the end of the year includes funds that are intended to be used for gateway signs (approximately $90,000). Tax revenues are likely the only reoccurring source of funding for EDA activities. Staff is recommending that $30,000 in tax revenues for the EDA be part of the 2015 budget and that this amount be increased in future years as needed. Secretary Klaers reported that one funding option is to do an EDA levy. Another option is to do a transfer from the General Fund. The advantage of a levy is that funds being levied for EDA activities can be separated out when presenting the budget while still being part of the City's overall levy amount. The key point is to make the spending of the funds transparent. Secretary Klaers asked for input on this item. He noted that the EDA will review the final budget at its October meeting. Commissioner Holmes did not support a special EDA levy. Secretary Klaers explained how the EDA levy would be a part of the General Fund tax levy. It was noted that the EDA levy would require separate approval by the EDA. MOTION: EDA Commissioner Holmes moved and EDA Commissioner Werner seconded a motion to approve the 2015 Proposed EDA Final Budgets as presented with no separate EDA tax levy. The motion carried unanimously (4_0)• ARDEN HILLS SPECIAL EDA MEETING— SEPTEMBER 8, 2014 3 4. ADJOURN MOTION: EDA President Grant moved and EDA Commissioner Holmes seconded a motion to adiourn the Economic Development Authority meeting. The motion carried unanimously (4-0). EDA President Grant adjourned the special Economic Development Authority meeting at 5:32 p.m. (�,? Jill tmacher David Grant Ex cutive Director EDA President It, --S ENHILLI Request for Special Economic Development Authority (EDA) Meeting A special meeting may be called by the President of the EDA or by any two EDA Members. Reason for meeting: To Discuss EDA Funding Requested Date: 09/08/14 Requested time: 5:15 PM Open meeting X Closed meeting Signature of person(s) making request: hM4jA;ZR4i 08/ 26 14 President or EDA Member Date EDA Member Date -This section to be completed by City staff Date received: S /�� / I L{ Date meeting to be held: 09/08/14 Time of meeting: 5:15 PM Location: City Hall All necessary posting and notices have been completed. � I a/ ;),G / IH Signature of Cit Jerk Date City of Arden Hills * 1245 West Highway 96 * Arden Hills,MN * 55112-5743 Phone 651-792-7800 * Fax 651-634-5137 + www.cityofardenhills.org