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	MINUTES Growth Fund Committee Meeting Office of Urban Development Conference Room 1405 1st Avenue North Grand Forks, ND 58203 Tuesday, September 18, 2007 1. Roll Call Chairman Doug Christensen called the meeting to order at 4:10 pm. Present were Eliot Glassheim, Terry Smith, and Jon Ramsey. Also present were Greg Hoover, Connie Mangan, Meredith Richards, Tina Hoffart, Katie Osborne, Todd Fahrni, John Schmisek, Brian Osowski, and Pam Evenson. Absent was Bob Brooks. 2. Approval of Minutes – August 21, 2007 Jon Ramsey moved and Eliot Glassheim seconded the motion to approve minutes from the previous meeting of August 21, 2007. All present voted AYE. MOTION CARRIED. 3. Monthly Report – July & August 2007 Tina Hoffart reviewed the financial information portion of the Monthly Report. She said the numbers reflect where we are at the beginning of the year and what she projects being at the end of the year. It includes loan obligations even though they have not been processed. Numbers will vary according to the day they are compiled. John Schmisek said that the snapshot in the monthly report from his department to the City Council is on an accrual basis while the JDA’s report is on a cash basis. 4. Other Business Tina Hoffart handed out her report on Fund 2163 and Fund 5996 Cash Availability as of 09/10/07. See attached. The report included the uses and sources of funding for the JDA from 2007 going forward. The spreadsheet detailing the Growth Fund exposure for Cirrus Design was first reviewed. Brian Osowski, Vice-President of Bremer Bank was requesting, on behalf of Bremer Bank and Cirrus, that the Growth Fund pledge the original part of the Cirrus building as collateral for a $1 million New Jobs Training Grant Loan to Cirrus, which was part of the original financing package for the expansion. Mr. Osowski went on to explain that the debt is owed from Cirrus to Bremer, and the intent is Cirrus will use the New Jobs Training Grant subsidy that includes the state tax from employees hired since February 11, 2005. The state tax dollars generated from the new hires’ salaries will result in a rebate, and those funds will go to pay the Bremer loan. If there is not enough money collected, Cirrus understands that it is their obligation to pay the loan balance. The New Jobs Training Grant can be carried over 10 years so Cirrus would have 10 years to recoup those state income tax dollars. Cirrus projected hiring 300 new employees with the expansion, and Mr. Osowski believes they are in the 70 to 100 range at this time. Every time they hire a new person, they continue to get the credit. Bremer is offering Cirrus Design a 10-year term loan. Cirrus projected 300 employees based on their average wages to cover the $1 million plus interest. Discussion followed. Eliot Glassheim moved and Jon Ramsey seconded the motion to bring to the City Council the recommendation to allow Cirrus Design to use the original building as collateral for 5 years for a $1 million New Jobs Training Grant Loan from Bremer Bank. All present voted AYE. MOTION CARRIED. Tina Hoffart reviewed the portion of her report on the JDA/EDC exposure on the LM Glasfiber Project, Fund 5996. Discussion followed. Ms. Hoffart will supply Committee Members with additional information as requested. 5. Project Update None. 6. Adjournment Jon Ramsey moved and Terry Smith seconded the motion to adjourn. All present voted AYE. MOTION CARRIED. Meeting adjourned at 5:10 pm. ____________________________ _________________________________ Pamela Evenson Doug Christensen Office of Urban Development Chairman