Committee Minutes

Minutes of Grand Forks City Council/Growth Fund
Authority (JDA) - Monday, August 27, 2007 - 5:30 p.m.____

The city council of the city of Grand Forks sitting as the Growth Fund Authority met in the council chambers in City Hall on Monday, August 27, 2007 at the hour of 5:30 p.m. with Chairman Gershman presiding. Present at roll call were Council Members Brooks, Glassheim, Christensen, Kreun, Gershman and Mayor Brown - 6; absent: Council Members McNamara, Bakken - 2.

HOLD PUBLIC HEARING AND APPROVE PACE LOAN
FOR G.F. TRUSS, INC.

The staff report from the urban development director relating to G.F. Truss, Inc. Growth Fund application, with recommendation to hold public hearing on the proposed funding for G.F. Truss, Inc. and approve a PACE loan to G.F. Truss, Inc. in the amount up to $18,000.

Chairman Gershman opened the public hearing, there were no comments and the public hearing was closed.

Keith Lund, Economic Development Assn., reported that the application from G.F. Truss, Inc., for expansion of their business which produces residential and commercial trusses has had challenges keeping up with their existing customer base and wants to enter new markets and to achieve efficiencies have undertaken equipment expansion project as summarized in this report: PACE participation interest rate buy-down loan in amount up to $18,000, with 0% interest, and payments deferred until maturity of bank loan (5 years); monthly payments to be at the same rate as the bank loan and made until debt is satisfied, loans will also be personally guaranteed by Mr. Johnson of G.F. Truss..

It was moved by Mayor Brown and seconded by Council Member Brooks that this recommenda-tion be approved. Upon roll call the following voted "aye": Council Members Brooks, Glassheim, Christensen, Kreun, Gershman, Mayor Brown - 6; voting "nay": none. Chairman Gershman declared the motion carried.

HOLD PUBLIC HEARING AND APPROVE PROPOSED
LAND OPTION WITH EICKHOFF DEVELOPMENT
GROUP, LLC

The staff report from the urban development director relating to Eickhof Development Group, LLC land option, with recommendation to hold public hearing on the proposed land option from Eickhof Development Group, LLC, and approve a three-month option of 8.5 acres of land in the Grand Forks Industrial Park to Eickhof Development Group.

Chairman Gershman opened the public hearing, there were no comments and the public hearing was closed.

Keith Lund, Economic Development Assn., reported that Eickhof Development has formed a relationship with an out of state primary sector company making plans to expand operations in the Grand Forks region, the Development company is in the final stages of negotiating development agreement to construct a 70,000 sq.ft. manufacturing facility in Grand Forks, the site for the project is 8.5 acres in the Industrial Park on 12th Avenue South, east of the public safety training campus; and in order to move forward with the development agreement, Eickhof Development requires site control and are requesting a three-month option on the land at a price of $26,136 an acre which is $0.60 per sq.ft.

It was moved by Council Member Christensen and seconded by Mayor Brown that this recommendation be approved. Upon roll call the following voted "aye": Council Members Brooks, Glassheim, Christensen, Kreun, Gershman, Mayor Brown - 6; voting "nay": none. Chairman Gershman declared the motion carried.

ADJOURN

It was moved by Council Member Brooks and seconded by Council Member Glassheim that we adjourn. Carried 6 votes affirmative.

Respectfully submitted,



John M. Schmisek
City Auditor