HomeMy WebLinkAbout2011 02-14 EDAP Regular Session • EDA MEETING
City of Brooklyn Center
February 14, 2011 AGENDA
1. Call to Order
—The EDA requests that attendees turn off cell phones and pagers during the meeting. A
copy of the full City Council packet, including EDA (Economic Development Authority),
is available to the public. The packet ring binder is located at the front of the Council
Chambers by the Secretary.
2. Roll Call
3. Approval of Agenda and Consent Agenda
—The following items are considered to be routine by the Economic Development
Authority (EDA) and will be enacted by one motion. There will be no separate
discussion of these items unless a Commissioner so requests, in which event the item will
be removed from the consent agenda and considered at the end of Commission
Consideration Items.
a. Approval of Minutes
1. January 24, 2011 — Regular Session
e 4. Commission Consideration Items
a. Resolution Authorizing Advertisement for Bids, Earle Brown Heritage
Center /Embassy Suites Connecting Link
Requested Commission Action:
— Motion to adopt resolution.
5. Adjournment
EDA Agenda Item No. 3a
MINUTES OF THE PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF BROOKLYN CENTER
IN THE COUNTY OF HENNEPIN AND THE
STATE OF MINNESOTA
REGULAR SESSION
JANUARY 24, 2011
CITY HALL — COUNCIL CHAMBERS
1. CALL TO ORDER
The Brooklyn Center Economic Development Authority (EDA) met in Regular Session called to
order by President Tim Willson at 8:23 p.m.
2. ROLL CALL
President Tim Willson and Commissioners Carol Kleven, Kay Lasman, Tim Roche, and Dan
Ryan. Also present were Executive Director Curt Boganey, Public Works Director /City Engineer
Steve Lillehaug, Director of Business and Development Gary Eitel, Assistant City
Manager/Director of Building and Community Standards Vickie Schleuning, City Attorney
Charlie LeFevere, and Carla Wirth, Timesaver Off Site Secretarial, Inc.
3. APPROVAL OF AGENDA AND CONSENT AGENDA
Commissioner Ryan moved and Commissioner Roche seconded approval of the Agenda and
Consent Agenda, and the following item was approved:
3a. APPROVAL OF MINUTES
1. January 11, 2011 — Regular Session
Motion passed unanimously.
4. COMMISSION CONSIDERATION ITEMS
4a. RESOLUTION NO. 2011 -02 APPROVING MODIFICATION OF TAX
INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING
DISTRICT NO.3
Executive Director Curt Boganey introduced the item, discussed the history, and stated the
purpose of the proposed resolution.
Commissioner Ryan moved and Commissioner Lasman seconded adoption of RESOLUTION
NO. 2011 -02 Approving Modification of Tax Increment Financing Plan for Tax Increment
Financing District No. 3.
01/24/11 -1- DRAFT
Motion passed unanimously.
5. ADJOURNMENT
Commissioner Roche moved and Commissioner Lasman seconded adjournment of the Economic
Development Authority meeting at 8:24 p.m.
Motion passed unanimously.
•
01/24/11 -2- DRAFT
EDA Agenda Item No. 4a
EDA ITEM MEMORANDUM
. DATE: February 1, 2011
TO: Curt Boganey, City Manager
FROM: Jim Glasoe, CARS Director
SUBJECT: Resolution Authorizing Advertisement for Bids, Earle Brown Heritage
Center/Embassy Suites Connecting Link
Recommendation:
It is recommended that the Economic Development Authority consider approval of the attached
resolution authorizing advertisement for bids for the Earle Brown Heritage Center/Embassy
Suites Connecting Link
Background:
On June 28, 2010, the Economic Development Authority approved the fourth amendment to the
development agreement with Brooklyn Hotel Partners LLC, related to the Embassy Suites Hotel
development.
The Fourth Amendment to the Development Agreement provides a global resolution to the
default of the Development Agreement and the D -Barn Lease Agreement. The major elements
of this global resolution include the following components:
1. The construction of the pedestrian link has been removed as a Developer's
responsibility under the terms of the minimum improvements of Phase I. The EDA
will have the sole and absolute discretion on the design, location, schedule and
construction of the link.
2. The Developer relinquishes all rights and obligations to develop Phase II and is not
entitled any tax abatements from the Phase II site development.
3. The EDA agrees to provide the Developer with a right of first offer for the Phase II
site until July 1, 2011. The EDA maintains sole and absolute discretion to accept,
reject or conditionally accept an offer from the Developer.
4. The payment of tax abatements for the Phase I (Embassy Suites Hotel Site) are
subject to a right of set off by the City for all payments owing the authority by the
Developer as a tenant under the D -Barn Lease Agreement and License Agreement for
use of the Pedestrian Link.
5. An Amended and Restated Parking, Access and Pedestrian Link easement Agreement
provides the EDA with total discretion on the location and construction of the
pedestrian link on the Earle Brown Heritage Center site.
6. The First Amendment to the D -Barn Lease provides for the commencement of this
ten year lease to occur upon the issuance of an occupancy permit for the completed
link; the developer's payment of $72,181, which represents certain lost revenues.
As part of the fourth amendment shifts responsibility for construction of the connecting "Link"
between the hotel and the Earle Brown Heritage Center from the developer to the City of
Brooklyn Center, construction plans, specifications and contract documents have been prepared
Mission: Ensuring an attractive, clean, safe community that enhances the quality of life andpreserves the public trust
EDA ITEM MEMORANDUM
for this project. Staff is prepared to begin the project bidding process upon authorization from
the Economic Development Authority.
The bidding process would involve advertisement of the project in the City's official newspaper
in accordance with Minnesota State Statute. Sealed bids would be collected, opened on a
scheduled bid opening date, and tabulated by the City Clerk and CARS Director. Staff
anticipates that the bid results will be presented to the Economic Development Authority for
consideration on March 28, 2011.
Budget Issues:
The total project cost is estimated to be $860,000. Funding sources for the project include the
Earle Brown Heritage Center Capital Fund ($60,000), TIF District #2, see attached memorandum
($320,000), and EDA Fund Balance ($480,000). The intent is the EDA Fund Balance portion
will be reimbursed the $480,000, once Phase #2 of the Embassy Suites site is sold.
Council Goals:
Strategic:
2. We will aggressively proceed with implementation of City's redevelopment plans
i
Mission: Ensuring an attractive, clean, safe community that enhances the quality of life and preserves tire public trust