HomeMy WebLinkAboutHRA Item 02CITY OF LAKEVILLE
HOUSING AND REDEVELOPMENT AUTHORITY
JUNE 6, 2016
Chair Anderson called the meeting to order at 6:30 p.m.
Present: Commissioners Davis, Little, Swecker, Anderson, LaBeau
Also present: Justin Miller, Executive Director; Roger Knutson, City Attorney; David Olson,
Community & Economic Development Director; Jerilyn Erickson, Finance Director; Charlene
Friedges, City Clerk
Motion was made by Swecker, seconded by LaBeau, to approve minutes of the January 4,
2016 H.R.A. meeting.
Voice vote was taken on the motion. Ayes – unanimous
Item 03
Chair Anderson opened the public hearing to consider submittal of an application to the
Minnesota Department of Employment and Economic Development (DEED) for a grant under
the Minnesota Investment Fund program.
Ken Kaplan, Plant Manager of Hearthside Food Solutions, provided an overview of the
proposed expansion of Hearthside Foods in Airlake Industrial Park. He stated the company is
planning an investment of $13.6 million to accommodate a growth opportunity, which would
require the purchase and installation of new processing lines. The expansion will maintain
the current, and create additional, full-time permanent jobs.
Mr. Olson stated the Minnesota Investment Fund provides loans to businesses that create or
retain full-time permanent jobs and invest in machinery or real property acquisition or
improvements. The program is available statewide for manufacturing, distribution,
warehousing and other eligible business activities. The DEED has proposed a Minnesota
Investment Fund loan of $450,000, with $200,000 being forgiven once job and wage goals
have been achieved. The additional $250,000 is proposed to be repaid over seven years at
three percent interest. Hearthside Foods will be required to retain 99 jobs and create 36
additional jobs within two years. Upon approval of the application, the Lakeville HRA will
enter into an agreement with the State of Minnesota on behalf of Hearthside Food Solutions.
There were no questions or comments.
Motion was made by LaBeau, seconded by Swecker, to close the public hearing.
Voice vote was taken on the motion. Ayes – unanimous
HRA Meeting Minutes – June 6, 2016 Page 2
Motion was made by Davis, seconded by Swecker, to approve Resolution No. 16-01
authorizing an application to the Department of Employment and Economic Development
for a Minnesota Investment Fund loan on behalf of Hearthside Food Solutions, LLC.
Roll call was taken on the motion. Ayes – Davis, Little, Swecker, Anderson, LaBeau
Item 4
Ms. Erickson presented a resolution calling a public hearing to consider refinancing of the Ice
Arena Lease Revenue Bonds, Series 2006. She explained that the City has been monitoring
outstanding debt for any opportunities to refund bonds to achieve future interest cost
savings. Refinancing of the 2006 Lease Revenue Bonds would save approximately $1 million
in interest costs. A public hearing is scheduled to be held on July 5, 2016.
Motion was made by Swecker, seconded by Little, to approve Resolution No. 16-02 relating to
the third sheet ice arena project and its refinancing under Minnesota Statutes, Chapters 465,
469, 471 and 475 and calling for a public hearing.
Roll call was taken on the motion. Ayes – Little, Swecker, Anderson, LaBeau, Davis
There being no further business, Chair Anderson adjourned the meeting at 6:42 p.m.
Respectfully submitted,
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Charlene Friedges, City Clerk
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Douglas P. Anderson, Chair