Committee Minutes

Minutes/Growth Fund Authority (JDA)
Monday, March 28, 2005 - 7:00 p.m.___

The city council of the city of Grand Forks sitting as the JDA (Growth Fund Authority) met in the council chambers in City Hall on Monday, March 28, 2005 at the hour of 7:00 p.m. with Chairman Gershman presiding. Present at roll call were Council Members Brooks, Hamerlik, Christensen (teleconference), Kerian, Kreun, Mayor Brown, Gershman - 7; absent: Council Member Glassheim - 1.

APPROVE SALE OF PROPERTIES TO HOOD
PACKAGING CORPORATION

The staff report from the Urban Development director relating to Hood Packaging Corporation purchase agreement, with recommendation from the Growth Fund: 1) approve acquisition of Lot 2, Block 1, Industrial Resubdivision No. 3 from the Grand Forks Development Foundation for $45,500; and 2) approve the sale of Lot 1, Block 1, Industrial Resubdivision No. 4 and Lot 2, Block 1, Industrial Resubdivision No. 3 to Hood Packaging pursuant to the terms and conditions set forth in the purchase agreement contingent on the acquisition of Lot 2, Block 1, Industrial Resubdivision No. 3.

Greg Hoover, director of Urban Development, reported there are two items for approval, purchase of property currently east of and adjacent to building that is occupied by Hood Packaging, and we will purchase that if the Authority approves and convey that and the building in which Hood is currently residing and purchase that property and they will expand their workforce, the purchase price of the property that we want to acquire is $45,500 and in turn Hood will be purchasing from us that property and the FTZ building for $1,600,000 and they get a $200,000 fit up to help with their expansion at their facility.

Council Member Kerian stated that some of this is contingent on TAG's movement out of there and what their timing is. Mr. Hoover stated TAG's acquisition of another building has already been approved and they are working with them and the current tenant of that building to facilitate that move, have had good working relationships with the companies to allow each one sufficient time to move so not disrupting any of their business operations. It was noted that it is a likelihood for December 31, 2005.

Council Member Christensen stated that arrangements made if TAG holds over before that date and TAG will be paying Hood rent for the holdover period. Mr. Hoover stated they would and that has been worked out with TAG.

It was moved by Mayor Brown and seconded by Council Member Kreun that this recommenda-tion be approved. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.

ADJOURN

It was moved by Council Member Brooks and seconded by Council Member Hamerlik that we adjourn. Carried 7 votes affirmative.

Respectfully submitted,

John M. Schmisek, City Auditor