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HomeMy WebLinkAbout17-171CITY OF LAKEVILLE DAKOTA COUNTY, MINNESOTA RESOLUTION NO. 17-171 A RESOLUTION DECERTIFYING TAX INCREMENT FINANCING DISTRICT NO. 20 OF THE CITY OF LAKEVILLE AND APPROVING A TERMINATION OF CONTRACT FOR PRIVATE DEVELOPMENT WHEREAS, the City of Lakeville ("City") and Housing and Redevelopment Authority In and for the City of Lakeville ("Authority") created its Tax Increment District No. 20, (the "District"); and WHEREAS, Lakeville Technologies, LLC ("Developer") and Mendell Machine and Manufacturing, Inc. ("Mendell"), Developer's tenant, proposed a Project located within the District; WHEREAS, by Resolution No. 15-01, dated May 4, 2015, the Authority authorized the City to undertake, on the Authority's behalf, all of the public development activities in connection with the development of the Developer's proposal; WHEREAS, the City entered into that certain Contract for Private Development dated as of July 6, 2015 (the "Development Contract") in which the City agreed to provide tax increment financing as a business subsidy to Developer provided that Developer agreed to substantially complete the construction of certain identified Minimum Improvements and Mendell agreed to provide a net increase of 12 new full-time jobs in the City and retain its existing 93 full-time equivalent jobs within 24 months of the Benefit Date at wages specified in the Development Contract; WHEREAS, Developer completed the Minimum Improvements, but Mendell has not created the number of jobs required under the Development Contract for the proposed business subsidy within the required time -period; WHEREAS, Mendell has indicated that it will not be able to comply with the job requirement in the near future and Developer and Mendell have requested that the Development Contract be terminated; 195168v2 WHEREAS, as of the date hereof, the projects have been completed, all obligations to which tax increment from the District has been pledged have been paid in full or defeased, and the City has determined that it is in the best interests of the City to terminate and decertify the District; WHEREAS, the City, Developer and Mendell desire to terminate the Development Contract as provided in the attached Termination of Contract for Private Development; and WHEREAS, the City desires by this resolution to decertify the District immediately. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville as follows: 1. The Termination of the Contract for Private Development is hereby approved; and 2. The District shall be immediately decertified and the City requests the County Auditor of Dakota County to decertify the District as a tax increment district. ADOPTED by the Lakeville City Council the 20th day of November 2017 CITY OF LAKEVILLE DouglasMayor A Charlene Friedges, City 195168v2