03/22/2017 - City Council Finance CommitteeFINANCE COMMITTEE MEETING
WEDNESDAY MARCH 22, 2017
10:00 AM
CITY HALL
2nd FLOOR CONFERENCE ROOM
AGENDA
I. AGENDA ADOPTION
II. TIF DISTRICT 2-S BLUE GENTIAN
I11. UPDATE ON FIRE ADMINISTRATION BUILDING
IV. OTHER BUSINESS
V. ADJOURNMENT
Agenda Information Memo
Finance Committee Meeting
March 22, 2017
II. TIF DISTRICT 2-5 BLUE GENTIAN
Direction To Be Considered:
To discuss further the priorities for TIF District 2-5, Blue Gentian and receive an update on the
current status of the project.
Facts:
➢ McGough Development worked with the Eagan EDA on the acquisition and assembly of
property at the northwest corner of Highway #55 and Blue Gentian Road for redevelopment
purposes. The property is part of Northeast Eagan Redevelopment District #2-5. Certain
agreements between the EDA and McGough are scheduled to expire on April 28, 2017.
➢ McGough bore all the costs associated with assembling the property. Total costs for the
parcels assembled by the EDA were $3,262,866, of which $2,908,000 was paid in cash and
$354,866 was assessed against parcels in 2011 to be repaid over five years. The
assessments are now paid in full.
➢ The TIF Development Agreement anticipated financial assistance to a project on the site
through a pay as you go note for up to 75% of the increment created by the project.
➢ The five year rule for the property was extended to April 28, 2017 through general
legislation in the 2014 session.
Attachments: (0)
Information will be provided at the meeting
Agenda Information Memo
Finance Committee Meeting
March 22, 2017
III. UPDATE ON FIRE ADMINISTRATION BUILDING
Direction To Be Considered:
Receive an update from Art Works Eagan on their plans to purchase the Fire Administration
Building and consider possible amendments to the Sale and Purchase Agreement between the
City of Eagan and Art Works Eagan.
Facts
➢ The City of Eagan and Art Works Eagan have entered into a Sale and Purchase Agreement
effective January 17, 2017 for the acquisition of the Fire Administration Building.
➢ The contingency period and buyers termination clause of the Purchase Agreement will
expire on May 17, 2017, which is 120 days after the effective date of the Sale and Purchase
Agreement.
Attachments: (0)