EDA

Blaine City Hall City of Blaine 10801 Town Square Dr Blaine, MN 55449 Anoka County, Minnesota Minutes - Final EDA The purpose of the Blaine Economic Development Authority is to increase the City’s commercial/industrial tax base, provide employment opportunities, undertake redevelopment to enhance and maintain neighborhood economic stability, and address special needs, such as senior housing. As authorized under Minnesota State statutes, the Blaine City Council also serves as the Blaine Economic Development Authority. Thursday, February 18, 2016 7:20 PM Council Chambers 1 Call to Order The meeting was called to order at 7:23 p.m. by President Ryan followed by the Roll Call. 2 Roll Call Quorum present. ALSO PRESENT: Executive Director Clark Arneson; Planning and Community Development Director Bryan Schafer; Public Services Manager Bob Therres; Finance Director Joe Huss; Police Chief/Safety Services Manager Chris Olson; Economic Development Coordinator Erik Thorvig; Communications Technician Roark Haver; Senior Engineering Technician Al Thorp; and City Clerk Catherine Sorensen and Recording Secretary Linda Dahlquist. Present: 7 - Comissioner Bourke, Comissioner Clark, Comissioner Herbst, Comissioner Hovland, President Ryan, Comissioner Swanson, and Comissioner King 3 Minutes 3-1 MIN 16-07 JANUARY 21, 2016 EDA MINUTES Moved by Commissioner Herbst, seconded by Commissioner King, that the Meeting Minutes of January 21, 2016, be approved. Motion adopted 5-0-2 (Commissioner Herbst abstained from the Meeting Minutes of January21, 2016, due to his absence. Commissioner Clark abstained from the Meeting Minutes of January21, 2016, due to his absence.) Aye: 5 - Comissioner Bourke, Comissioner Hovland, President Ryan, Comissioner Swanson, and Comissioner King Abstain: 2 - Comissioner Clark, and Comissioner Herbst City of Blaine Page 1 EDA Minutes - Final February 18, 2016 4 New Business 4-1 EDA RES 16-05 PURCHASE OF 10610 NASSAU STREET FROM SPORTSTOWN USA Economic Development Coordinator Thorvig stated Sportstown USA owns 10610 Nassau Street and the property is currently for sale. He stated the property has a building that is required to be removed. He stated Council directed staff to pursue purchasing the property by the EDA subject to an environmental review. He noted Carlson McCain conducted Phase I and Phase II ESA testing and concluded that no significant issues exist. He stated soil testing indicated elevated levels of diesel range organics in three soil borings and one ground water test. He stated that due to the high levels present, a report to the Minnesota Duty Office is required by the current owner and following the report a limited site investigation is required. He stated the cost of the LSI is reimbursable by up to 90% from the Minnesota’s Petroleum Tank Release Cleanup Fund and the cost of the LSI is estimated to be no more than $30,000. The proposed purchase price is $325,000. The site is 2.43 acres which equates to a purchase price of $3.07/sf. This is consistent with existing industrial raw land value. The 2016 Anoka County assessed value is $356,400. Funding would be provided from existing pooled TIF funds. Planning and Community Development Director Schafer stated the property has been leased since Sportstown left. He noted the building is in poor shape and there is heavy outside storage He noted that the City cannot control the tenants that lease the property, but if the EDA owns the property the City would control who purchases the property. Commissioner Bourke asked if the alignment of the property can be reset due to the lot having a strange configuration. Planning and Community Development Director Schafer replied the lot is angled in the back and staff proposes a storm pond in that area. Commissioner Bourke asked if funds could be held in escrow until the property is cleaned. Economic Development Coordinator Thorvig replied yes and the City has done that in the past with other properties. Commissioner Herbst confirmed the escrow would be for after demolition. He asked about the square foot cost and recouping costs. Economic Development Coordinator Thorvig replied the $3.07 per square foot is market rate and this site is expected to turn around quickly. Commissioner King asked if the zoning will remain. Planning and Community Development Director Schafer replied yes, the property is City of Blaine Page 2 EDA Minutes - Final February 18, 2016 currently zoned I-2. He commented a manufacturer or contractor could use this property. Moved by President Ryan, seconded by Commissioner King, that “Resolution 16-05, “Purchase of 10610 Nassau Street from Sportstown USA,” be approved. Motion adopted unanimously. Aye: 7 - Comissioner Bourke, Comissioner Clark, Comissioner Herbst, Comissioner Hovland, President Ryan, Comissioner Swanson, and Comissioner King 5 Other Business None. 6 Adjournment Moved by Commissioner Herbst, seconded by Commissioner Hovland, to adjourn the meeting at 7:38 p.m. Motion adopted unanimously. Aye: 7 - Comissioner Bourke, Comissioner Clark, Comissioner Herbst, Comissioner Hovland, President Ryan, Comissioner Swanson, and Comissioner King City of Blaine Page 3