Minutes

of the

Regular Meeting Of

DETROIT LAKES DEVELOPMENT AUTHORITY

Tuesday, August 22, 2006

 4:30 PM

Conference Room

 City Administration Building

MEMBERS PRESENT:     Jim Anderson, Dixie Johnson, Matt Brenk, Mark Hagen and Greg Hildenbrand

MEMBERS ABSENT:      Tim Olson, Greg Hildenbrand, Tom Klyve

OTHERS PRESENT:       Larry Remmen, Community Development Director,  Nancy                                         Wichmann, Richard Grabow, Lou Guzek, James Hannon, Bruce                                   Imholte, Leonard Heltemes and Steve Dewald

I.       Call To Order:

          Chairman Jim Anderson called the meeting of the Detroit Lakes Development Authority to order at 4:30 PM in the Conference Room of the City Administration Building, 1025 Roosevelt Avenue on Tuesday, August 22, 2006.  All members of the Authority having been duly notified of the meeting and the business to be transacted.

II.     Minutes:

        A motion was made by Dixie Johnson, seconded by Commissioner Mark Hagen and         carried unanimously to approve the minutes of the regular meeting held July 18, 2006.

III.    Financials:

A.      A motion was made by Commissioner Matt Brenk, seconded by Commissioner Mark Hagen and carried unanimously to approve the financial report and payment of claims for the periods ending June 30th 2006, and July 31, 2006.

IV.    Old Business:

A.      Discuss Tax Increment Financing Policy

          This item was deferred until a later date.

B.      Update on PUC Loan Grant Funds

          This item was deferred until the next meeting

V.      New Business

A.      Consideration to the request of PRH Investments for $240,000 in tax increment financing for 24 housing units in Pelican River Heights

        Larry Remmen reported that Pelican River Heights Investments is requesting consideration for tax increment financing in the amount of $240,000 on a pay as you go basis, for 18 years to assist in developing 24 owner/occupied housing units, and requesting to reserve the right to alter the project to rental occupied housing if projected sales are not occurring.  Larry Remmen reported he checked with the Authority’s attorney and it is possible, to change from owner to rental occupied housing as long as each type met the criteria for TIF with each type of development.  A motion was made by Commissioner Matt Brenk, seconded by Commissioner Dixie Johnson and carried unanimously to approve $240,000 in TIF for 15 years on a pay as you go basis to construct 24 owner/occupied housing units to be built by 12/31/2008.

B.      Consideration to advertising in the Becker County Business & Industry Publication

          Larry Remmen reported that DL Printing is publishing a Business and Industry         Publication that would be circulated throughout Becker County.  Larry Remmen would recommend using the IRP information.  Richard Grabow suggested thatadvertising be focused on the Highway sign on Highway 10 West entering into Detroit Lakes.  It was unanimously voted to spend advertising dollars in other areas.  Commissioner  Matt Brenk abstained from the vote.

C.      Discuss 2007 budget with Lou Guzek

          Finance Director, Lou Guzek presented the Development Authority’s 2007 budget.   A motion was made by Commissioner Mark Hagen, seconded by Commissioner Matt Brenk and carried unanimously to approve the 2007 budget. 

VI.    Adjournment

        There being no further business to bring before the Board, the meeting was         adjourned.                                

                                                                        Signed                                                                                                              

Larry Remmen                                                                                                    

Community Development Director