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HomeMy WebLinkAbout7A - Powers of the EDA - Suesan Lea Pace..___v ~~ PRI~~ ~ ~ ~ y u x MINIVESD~P 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 ECONOMIC DEVELOPMENT AUTHORITY AGENDA REPORT MEETING DATE: February 16, 2010 AGENDA #: 7A PREPARED BY: Frank Boyles, Executive Directdk AGENDA ITEM: Presentation Regarding the Powers of the Economic Development Authority PRESENTATION: In 1989, the City originally established an Economic Development Authority pursuant to Minnesota Statutes 469. The Economic Development Authority is a separate and independent corporation with significant powers. The EDA is dependant upon the City Council for its powers and the limitations the Council places upon it. For a better idea of the structure and authority of the EDA, refer to the attached graphic by that name. Also enclosed is the enabling resolution which both creates and empowers the EDA. Finally, a review of the EDA by laws which outline the powers, processes, procedures and other corporate matters of the body will provide useful background information about the intended purpose of the Prior Lake EDA. City Attorney Suesan Lea Pace, who also acts as Chief Council of the EDA, will provide a presentation to the EDA on this topic. www. cityofpriorlake. com Phone 952.44.9800 /Fax 952.447.4245 LEGISLATURE ,_ _ MIN_$x~t, Ch. 469 __; CITY EDA Purpose To acquire, build, lease, sell or pro- vide facilities for industrial, recrea- tional, or commercial development in order to provide stable, diversified local economics and to provide new employment opportunities under the direction of the Mayor and City Council. (MN Stat. 469.109) Powers 1. To acquire, transfer, lease or improve real estate/easements within its area of operation; 2. Eminent domain; 3. To enter into contracts; 4. To act as a limited partner; 5. To cooperate with and act as an agent of the federal government; 6. To compile studies, analysis and re- search; 7. To borrow money, issue bonds, invest reserve funds and make expenditures; 8. To undertake and carry out improve- ment projects within its area of opera- tion; 9. To join official trade associations and perform public relations; 10. Any other powers granted by its City Council. 11. To create Tax Increment Financing Districts City of Prior Lake Structure and Authority of the EDA The City may, by ordinance, divide the economic development powers; and by resolution may transfer the control, authority, and operation of any project from the governmental agency that established the project to the Economic Development Authority. (MN Stat 469.094, Subd. 1-2) HRA Purpose To provide a sufficient supply of safe, adequate and affordable hous- ing, to redevelop blighted areas, and to perform those duties accord- ing to comprehensive plans. (MN Stat. 469.001) CITY DEVELOPMENT Purpose To develop a program to provide impetus for commercial develop- ment, increase employment, to provide open space relief, to pro- vide safe, adequate parking. (MN Stat. 469.124) Powers 1. To sue and be sued; 2. To employ experts, officers and employ- ees; 3. To undertake and carry out improve- ment projects within its area of opera- tion; 4. To acquire, transfer, lease or improve real estate/easements within its area of operation; 5. To borrow money, issue bonds, invest reserve funds and make expenditures; 6. To compile studies, analysis and re- search; 7. To cooperate with and act as an agent of the federal government; 8. To make recommendations to the City Council on enforcement or initiation of municipal powers relating to develop- ment of improvement projects; 9. To develop housing rehabilitation/ assistance grant programs. Powers 1. Adopt development programs aimed at improving the facili- ties, quality of life and quality of transportation; 2. To acquire land or easements through negotiations or eminent domain; 3. Adopt ordinances regulating traffic controls as they relate to adequate parking and pedestrian systems; 4. Install special lighting, landscap- ing and snow removal systems; 5. Negotiate the sale or lease of property for private develop- ment if consistent with the de- velopment program for the dis- trict. The City Council may i restrict the powers of the EDA by modification of j the enabling resolution. i.._.._.._.._.._.._.._.._.._.._.._..- Limitations: 1. City Council must approve management/administrative structure; 2. All actions must be consistent with the City's Comprehensive Plan; 3. Must follow City Council budget process; 4. City Council must approve the sale of bonds by a 2/3 majority; M:~DA 5. City Council must approve any action involving a government agency; 6. City Council may require transfer of reserves. BYLAWS OF PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY Amended January 3, 1995 Amended January 2, 1996 Amended February 20, 1996 Amended October 21, 1996 Amended December 21, 1998 Amended April 16, 2001 Amended March 19, 2007 ARTICLE I -NAME AND PURPOSE The Prior Lake Economic Development Authority is a public body politic and a political subdivision of the State of Minnesota. The affairs of the Authority shall include, but not be limited to, promoting the growth, development and redevelopment of commercial and industrial concerns in Prior Lake. The primary purpose of the EDA is to serve as an Economic Development Authority (EDA) pursuant to Minnesota Statutes, Section 469.090 to 469.108. The EDA shall be governed by all requirements of said statute, the Enabling Resolution passed by the Prior Lake City Council and any amendments to the Enabling Resolution which may be enacted by the City Council in the future. ARTICLE II -OFFICES AND BOUNDARIES The principal office of the EDA shall be in the City Hall of the City of Prior Lake, 4646 Dakota Street SE, County of Scott, State of Minnesota. The EDA may also have offices at such other places as the Commissioners of the EDA may from time to time appoint, or as the business of the EDA may require. The territory in which operations of the EDA are principally to be conducted consists of the City of Prior Lake in Scott County in the State of Minnesota. ARTICLE III -BOARD OF COMMISSIONERS The management of all of the affairs, property and member Board of Commissioners. The members Commissioners. business of the EDA shall be vested in a five (5) of the City Council shall serve as the Board of A vacancy is created in the membership of the EDA when a City Council member of the EDA ends council membership. A vacancy for this or another reason must be filled for the balance of the unexpired term, in the manner in which the original appointment was made. The City Council may set the term of the commissioners who are members of the City Council to coincide with their term of office as members of the City Council. Minn. Stat. 469.095, subd. 2(f). All vacancies in the Board of Commissioners of the EDA, whether caused by resignation, termination of Councilmembers, death or otherwise, shall be filled by the successor to the Council position. The Board of Commissioners may exercise all powers of the EDA and do all such lawful acts and things as are authorized pursuant to Minnesota State Statutes, the Enabling Resolution or pursuant to these Bylaws. M:IEDAIBYLAWSIEDA bylaws rev 3-07.DOC - 1 - A commissioner, including the president, shall be paid for attending each regular or special meeting of the EDA in an amount to be determined by the City Council. In addition to receiving pay for meetings, the commissioners may be reimbursed for actual expenses incurred in doing official business of the EDA. All money paid for compensation or reimbursement must be paid out of the EDA's budget. (Minn. Stat. 469.095, subd. 4). ARTICLE IV -MEETINGS The EDA shall meet monthly as determined by the EDA at the City Council Chambers at 4646 Dakota Street SE. At least seven (7) days written notice of such meetings shall be given to the Commissioners. Meetings will be held at 5:30pm before the City Council meeting. Notice of a regular meeting shall comply with the requirements of the Minnesota Open Meeting Law. Three Commissioners shall constitute a quorum for the purpose of conducting business. Commissioners are to notify the staff prior to the meeting if they are unable to attend. ARTICLE V -OFFICERS. DUTIES AND RULES The EDA shall elect apresident, avice-president, a treasurer, a secretary, and an assistant treasurer. The EDA shall elect the president, vice-president, treasurer, and secretary annually. A commissioner must not serve as president and vice-president at the same time. The other offices may be held by the same commissioner. The offices of secretary and assistant treasurer need not be held by a commissioner. The officers have the usual duties and powers of their offices. They may be given other duties and powers by the EDA. The treasurer shall receive and is responsible for EDA money, is responsible for the acts of the assistant treasurer, shall disburse EDA money by check only, shall keep an account of the source of all receipts, and the nature, purpose and amount of all disbursements, and shall file the EDA's detailed financial statement with its secretary at least once a year at times set by the EDA. The assistant treasurer has the powers and duties of the treasurer if the treasurer is absent or disabled. The treasurer shall give bond to the state conditioned for the faithful discharge of official duties. The bond must be approved as to form and surety by the EDA and filed with the secretary. The bond must be for twice the amount of money likely to be on hand at any one time, as determined at least annually by the EDA provided that the bond must not exceed $300,000. (Minn. Stat. 469.096) ARTICLE VI -FINANCE AND ADMINISTRATION EDA money is public money. The monies of the EDA shall be deposited in the name of the EDA in such bank or banks as the Board of Commissioners shall designate. The EDA check must be signed by the treasurer and one other officer named by the EDA in a resolution. The check must state the name of the payee and the nature of the claim that the check is issued for. (Minn. Stat. 469.096) The nature, number and qualification of the staff required by the EDA to conduct its business according to these Bylaws shall be annually determined by the Board of Commissioners. Any agreement shall set M:lEDA1BYLAWSIEDA bylaws rev 3-07.DOC - 2 - forth in reasonable detail the nature of the EDA services to be performed, the cost basis for such services and the payment to be made by the EDA. The books and records of the EDA shall be kept at the EDA office in the City of Prior Lake, Minnesota. The EDA's detailed financial statement must show all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets, and its outstanding liabilities in a form required for the City's financial statements. The EDA shall examine the statement together with the treasurer's vouchers. If the EDA finds that the statement and vouchers are correct, it shall approve them by resolution and enter the resolution in its records. ARTICLE VII -DEPOSITS. DEFAULT, COLLATERAL Every four years the EDA shall name national or state banks within the state as depositories. Before acting as a depository, a named bank shall give the EDA a bond approved as to form and surety by the EDA. The bond must be conditioned for the safekeeping and prompt repayment of deposits. The amount of bond must be at least equal to the maximum sums expected to be deposited at any one time. When EDA funds are deposited by the treasurer in a bonded depository, the treasurer and the surety on the treasurer's official bond are exempt from liability for the loss of the deposits because of the failure, bankruptcy, or other act or default of the depository. However, the EDA may accept assignments of collateral from its depository to secure deposits just as assignments of collateral are permitted by law to secure deposits of the City. (Minn. Stat. 469.099) ARTICLE VIII- POWERS The EDA may exercise all of the powers contained in the Enabling Resolution consistent with Minnesota Statutes, Sections 469.090 to 469.108. The EDA may exercise all of the powers contained in the Housing Act, Minnesota Statutes, Sections 469.001 to 469.047. The EDA may exercise all of the powers of an Agency contained in the Development Act, Minnesota Statutes, Sections 469.124 to 469.134. The EDA may exercise all of the powers of a redevelopment agency contained in the Industrial Bond Act, Minnesota Statutes, Sections 469.152 to 469.165. The EDA may exercise all of the powers of a city contained in the Housing Finance Act, provided authorized to do so by ordinance of the Council pursuant to Section 46X.02, Subdivision 6 of the Housing Financing Act. The EDA may exercise all of the powers of an authority contained in the Tax Increment Act, Minnesota Statutes, Section 469.174 to 469.179. The EDA may exercise such powers as may be contained in other laws applicable to economic development authorities or housing and redevelopment authorities not specifically described herein. ARTICLE IX -LIMITATION OF POWERS All official actions of the EDA must be consistent with the adopted Comprehensive Plan of the City and with any official controls adopted by the City Council to implement the Comprehensive Plan. M:IEDAIBYLAWSIEDA bylaws rev 3-07.DOC - 3 - ARTICLE X -ANNUAL REPORT AND BUDGET An EDA shall not levy a tax or special assessment, except as otherwise provided in Minn. Stat. 469.090 to 469.108, pledge the credit of the City or incur an obligation enforceable on property not owned by the EDA. Annually, at a time fixed by resolution or ordinance of the city, the EDA shall send its budget to the city council. The budget must include a detailed written estimate of the amount of money that the EDA expects to need from the city to do EDA business during the next fiscal year. The needed amount is what is needed in excess of any expected receipts from other sources. The fiscal year of the EDA shall be the same as the fiscal year of the City. Annually, at a time and in a form fixed by the City Council, the EDA shall make a written report to the City Council giving a detailed account of its activities and of its receipts and expenditures during the preceding calendar year, together with additional matter and recommendations it deems advisable for the economic development of the City. The financial statements of the EDA must be prepared, audited, filed and published or posted in the manner required for the financial statements of the City. The financial statements must permit comparison and reconciliation with the City's accounts and financial reports. The report must be filed with the state auditor by June 30 of each year. The auditor shall review the report and may accept it or, in the public interest, audit the books of the EDA. At the request of the City or upon the auditor's initiative, the state auditor may make a legal compliance examination of the EDA including the salaries paid to the examiners while actually engaged in making the examination. The state auditor may bill monthly or at the completion of the audit. All collections received must be deposited in the general fund. (Minn.Stat. 469.100) ARTICLE XI -NOTICES Whenever the provisions of an applicable statute or these Bylaws require notice to be given to any Commissioner or officer, the provisions shall not be construed to mean personal notice unless explicitly stated; such notice may be given in writing by U.S. Mail, in a postage-paid, sealed wrapper, addressed to the Commissioner or officer at his or her address as appears in the books of the EDA, and the time when the notice is mailed shall be deemed to be the time of the giving of such notice. Special meetings of the Board of Commissioners may be called at any time by the President, or, in his/her absence, by the Vice President or by any two (2) Commissioners. Notice of special meetings of the Board of Commissioners shall be given to each Commissioner at least three (3) days prior to the meeting via telephone, telegram, letter or personal contact and shall state the time, place and the business scheduled to come before the EDA. Public notice of a special meeting shall comply with the requirements of the Minnesota Open Meeting Law. In the case of special meetings, the presence of any member of the commission at a special meeting shall constitute a waiver of any formal notice of the meeting unless the commissioner attends for the specific purpose of objecting to the holding of such meeting. ARTICLE XII -STAFF The City Manager shall serve as the Executive Director to the EDA. M:IEDAI6YLAWSIEDA bylaws rev 3-07.DOC - 4 - The EDA may employ a chief engineer, other technical experts and agents, and other employees as it may require, and determine their duties, qualifications and compensation. (Minn. Stat. 469.097, subd. 1). The EDA may contract for the services of consultants, agents, public accountants, and other persons needed to perform its duties and exercise its powers. (Minn. Stat. 469.097, subd. 2) The EDA shall use the services of the City Attorney. The City Attorney is its chief legal advisor. (Minn. Stat. 469.097, subd. 3) The EDA may purchase the supplies and materials it needs to carry out Minn. Stat. Sections 469.090 to 469.108. (Minn. Stat. 469.097, subd. 4) The EDA shall use the facilities of its City's purchasing department in connection with construction work and to purchase equipment, supplies, or materials. (Minn. Stat. 469.097, subd. ~ The City may furnish offices, structures and space, and stenographic, clerical, engineering or other assistance to the EDA. (Minn. Stat. 469.097, subd. 6) The EDA may delegate to one or more of its agents or employees powers or duties as it may deem proper. (Minn. Staf. 469.097,subd. 7) ARTICLE XIII -SEAL The official seal of the EDA shall be the same as the official seal of the City of Prior Lake. ARTICLE XIV - INSURANCE The EDA shall obtain a written opinion from the LMCIT regarding insurance coverage issues. The EDA shall purchase and maintain insurance as recommended by the LMCIT to cover the activities of the EDA including its Commissioners, officers, employees, agents and attorney. ARTICLE XV -AMENDMENT OF BYLAWS Alterations, amendments or repeal of the Bylaws may be accomplished by a majority vote of the Commissioners entitled to vote at any meeting, if the notice of such meeting contains a statement of the proposed alteration, amendment or repeal. Notice of any alteration, amendment or repeal of the Bylaws shall be given in writing to each Commissioner at least ten (10) days prior to the meeting at which said proposed alteration, amendment or repeal shall be considered. ARTICLE XVI -MISCELLANEOUS The conduct of meetings of the EDA shall be governed by the bylaws governing the conduct of the City Council meeting. ARTICLE XVII -CONFLICT OF INTEREST Except as authorized in Minn. Stat. Section 471.88, a commissioner, officer or employee of the EDA must not acquire any financial interest, direct or indirect, in any project or in any property included or planned to be included in any project, nor shall the person have any financial interest, direct or indirect, in any contract or proposed contract for materials or service to be furnished or used in connection with any project. (Minn. Stat. 469.098) M:lEDA1BYLAWSIEDA bylaws rev 3-07.DOC - 5 - ..,~ PRIn . ti ~ n?I ~' N RESOLUTION 00-119 i;~SOLUTON AMENDING RESOLUTION 89-17 AND RESOLUTION 96-99 ESTABLISHED THE PRIOR LAKE ECONOMIC iDEVELOPMENT AUTHORITY PURSUANT TO THE PROVISIONS OF MINN. STAT. CHAPTER 469. Motion By: ERICSON Second By: PETERSEN WHEREAS, the Minnesota State Legislature has enacted Minnesota Statutes Sections 469.090 to 469.10$ authorizing any statutory or home rule charter city to establish (1) an economic development authority having the powers contained in the enabling resolution; (2) a housing and redevelopment authority established under Minnesota Statutes Sections 469.001 to 469.047 or other law; and (3) city development districts under Minnesota Statutes Sections 469.124 to 469.134 or other law; and WHEREAS, the City wishes to amend and establish such an economic development authority and to define the relationship between it and the Council and Mayor by adoption of this resolution; and WHEREAS, it is intended that this resolution be amended from time to time as may be required to further define or redefine the respective roles of the economic development authority and the Council and Mayor by regarding development and redevelopment within the city; arid WHEREAS, it is intended that through this resolution and by the actions taken hereunder, the Council and Mayor of the city shall establish broad policies for public assisted development within the city and that the implementation of such policies be the responsibility of the economic development authority; and WHEREAS, it is the desire of the Council. and Mayor that adoption of this resolution and the creation of an economic development authority will result in a conscientious and coordinated effort to encourage and precipitate commercial and residential future development within the city so as to increase tax base, promote employment and enhance the health, safety and welfare of city residents; and WHEREAS, legal notice of the. public hearing was duly published and mailed in accordance with Minnesota Statutes and Prior Lake City Code; and WHEREAS, the City Council conducted a public hearing on December 4, 2000 for those interested in this amendment to present their views. NOW THEREFORE, be it resolved by the City Council of the City of Prior Lake that the following are hereby adopted: Establishment. There is hereby created in the City an Economic Development Authority which, subject to the provisions of this Enabling Resolution, shall have all of the powers, duties and responsibilities of any economic development authority created pursuant to the Act, or other law, 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 /Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER A housing and redevelopment authority created pursuant to the Housing Act, or other law and which shall constitute an "Agency" pursuant to the Development Act. It shall be the role and responsibility of such Economic Development Authority to carry out economic, housing and industrial development and redevelopment within the City in accordance with such general policies as may from time to time be established by the Council and Mayor. 2. Definitions: A. "Authority" means the Prior Lake; Economic Development Authority. B. "City" means the City of Prior Lake, Minnesota. C. "Council" means the duly elected governing body of the City. D. "Enabling Resolution" means this resolution of the Council establishing the Prior Lake Economic Development Authority pursuant to the Enabling Act. E. "The Development Act" means the City Development Districts Act, Minnesota Statutes, Sections 469.124 to 469.134. F. "Federal Limitation Act" means certain acts of congress which limit the aggregate amount of obligations of a specified type which may be issued within the City, as further defined in Section 474.16, Subdivision 5 of the Industrial Bond Act and as may from time to time be defined in other state laws. G. "The Housing Act" means Municipal Housing and Redevelopment Authorities Act, Minnesota Statutes, Sections 469.001 to 469.047. H. "The Housing Bond Act" means the Municipal Housing Program Act, Minnesota Statutes, Chapter 462C. I. "Industrial Bond Act" means the Municipal Industrial Development Act, Minnesota Statutes, Sections 469.152 to 469.165. J. "Project Area Plan" means an outline for the development or redevelopment of a geographic area of Authority concentration which contains a statement of objectives for improvement of the areas as well as a description of public facilities to be constructed, and estimated schedule of the open space to be created, the environmental controls to be applied, the property to be publicly acquired and the condition under which the Authority shall exercise the right of eminent domain, if any,'the proposed reuse of private property and the general standards of development. Said plan shall be sufficiently complete to constitute a "development program" pursuant to Section 469.125, Subdivision 3 of the Development Act and a "redevelopment plan" pursuant to Section 469.002, Subdivision 16 of the Housing Act. K. "Project Budget" means a financial budget containing the sources and use of public funds to be expended in carrying out the public costs associated with a Project Plan or Project Area Plan. In the event any or all such public costs are to be paid with tax increment, the Project the Project Budget shall constitute a "tax increment financing plan" as described in Section 469.175 of the Tax Increment Act. M. "Project Plan" means a description of the development or redevelopment of property, including an estimated schedule, the property to be publicly acquired and the~condition under which the Authority will exercise its right of eminent domain, if any, description of the public facilities to be constructed, and the proposed reuse of private property. N. "Tax Increment Act" means Tax Increment Financing, Minnesota Statutes, Sections 469.174 to 469.179. 3 Legal Status. The Authority shall be a public body politic and corporate and a political subdivision of the State of Minnesota. It shall not be considered a department of the City nor shall the City be liable for its obligations, unless assumed by the City in writing. Its relationship to the council and Mayor shall be governed by the Enabling Act, this Enabling Resolution and the various statutes under which it operates, including the Enabling Act, the Housing Act, the Development Act, the Industrial Bond Act, the Housing Bond Act, and the Tax Increment Act; provided, that in the event there is a conflict between the terms of this Enabling Resolution and any such statute, the statute shall control, in the event there is a conflict between the Enabling Act and any such statutes, the Enabling Act shall control; provided further, that a statute granting authority shall not be deemed to be in conflict with a statute that grants less or no such authority. 4 Name. The Economic Development Authority created by the Enabling Act and this Enabling Resolution shall be known legally as the Prior Lake Economic Development Authority. 5 Governing Body. The powers of the Authority shall be vested in the commissioners thereof in office at any time, a majority of whom shall constitute a quorum for all purposes. Pursuant to Minnesota Statute Section 469. Subdivision 2(d), the members of the City Council shall serve as the Commissioners of the Economic Development Authority. A. Upon adoption of this amended Enabling Resolution the terms of all current commissioners of the Economic Development Authority are hereby terminated. 6 Authority Officers. The commissioners of the Authority shall elect officers as provided in Section 469.096 of the Enabling Act. 7 Authority Staff. A. ~ The Authority shall be empowered to hire such employees, agents and consultants as deemed proper and as further provided by Resolution 89-17, this Resolution and applicable State Statutes. Such employees, agents and consultants shall assist the Authority in performing the following powers and duties: 1. To see that all resolutions, rules, bylaws, regulations, or orders of the Authority are enforced. R:\RESOLUTIIADMI NRES\eda1. DOC 2. To appoint and remove upon the basis of merit and fitness, all subordinate officers and regular employees of the Authority. 3. To present to the Authority plans, studies and reports prepared for Authority purposes and recommend to the commissioners for adoption such measures as deemed necessary to enforce or carry out the powers and duties of the Authority or the efficient administration of the affairs of the Authority. 4. To recommend for adoption such rules and regulations as deemed necessary for the efficient operation of the Authority's functions. 5. To perform such other duties as may be prescribed by the Authority. 6. The City Attorney shall serve as counsel to the EDA . 8 Reports. A. At least once annually by March 1, the Commissioners of the Economic Development Authority shall at a regularly scheduled City Council meeting report regarding the operational status of the Authority. Such report shall comply with Minnesota statutes Section 469.100, Subdivision 4, and describe current and proposed projects as well as describe general development goals for the City. B. The Authority shall be responsible for all filings and reports required by the various statutes under which it operates. Copies of all such reports shall be provided to the City Council and Mayor and shall be available to members of the public unless protected by the Minnesota Data Practices Act. 9 Account, Budget and t=iscal Year. A. The accounting, maintenance of books and records, establishment and maintenance of funds and accounts, investment of cash surpluses, disbursement of moneys and other necessary financial matters of the Authority shall be the responsibility of the Commission Treasurer. The Authority accounting, investment, fund maintenance and disbursement shall be consistent with City procedures. B. On or before September 1 of. each year the Authority shall submit its annual budget to the City Manager in a form prescribed by the City Manager. Such budget shall include a detailed written estimate of the amount of money that the Authority expects to need from the City for Authority business during the next fiscal year and shall otherwise comply with Minnesota Statute Section 469.100, Subdivision 1. The Council may impose such conditions upon the issuance of obligations by the City for the purpose of funding said Authority budget as it may determine. The City Council shall review and consider approval of the proposed authority budget as a part of the City budgetary process. A member of the Authority shall explain and discuss the content of the proposed Authority budget. Upon approval of such budget, the Authority shall not exceed total budgeted expenditures without approval of corresponding budget amendments by the City Council; provided, however, that R:\RESOLUTI\ADMI N RES1eda1.DOC this provision shall not preclude the Authority from unilaterally making line-item changes as it deems appropriate. C. The fiscal year of the Authority shall be the same as the fiscal year of the City of Prior Lake. 10 Powers. A. The Authority may exercise all of the powers contained in the Enabling Act and the Enabling Resolution. B. The Authority may exercise all of the powers contained in the Housing Act. C. The Authority may exercise all of the powers of an Agency contained in the Development Act. D. The Authority may exercise all of the powers of a redevelopment agency contained in the Industrial Bond Act. E. The Authority may exercise all of the powers of a City contained in the Housing Finance Act, provided authorized to do so by ordinance of the City Council pursuant to Section 46X.02, Subdivision 6 of the Housing Financing Act. F. The Authority may exercise all of the powers of an Authority contained in the Tax Increment Act. G. The Authority may exercise such powers as may be contained in other laws applicable to economic development authorities or housing and redevelopment authorities not specifically described herein. PASSED AND ADOPTED THIS 4T" DAY OF DECEMBER, 2000. YES NO Mader X Mader Ericson X Ericson Gundiach X Gundlach Petersen X Petersen Zieska X Zieska R:\RESOLUTIIADMINRES\eda1.DOC Prior Lake EDA has the Powers and Limitations set out in the Enabling Resolution Creating It The Prior Lake City Council established the Pdor Lake Economic Development Authority pursuant to Resolution No. 89-17, as amended by Resolution No. 96.99 and No. 00-119. These resolutions are referred to as the Enabling Resolution. The Enabling Resolution sets out the powere and limitations the City Council granted and imposed on the Economic Developmenf (469.090-469.106); and includes: Powers in Housing Act (469.001A69.047) Powers of an Agency ceniained in the Development Act (469.124-469.134) - POWERS OF AN EDA • An economic development authority may create and define the boundaries of economic development districts at any place or places wRhin the city, except that the district boundaries must be contiguous, and subject to the requirements and procedures set out in state statutes • Acquire property by lease, purchase, gift, devise or condemnation to create economic development districts • sell and lease fond held by if in an ewrwmic development district for economic development • Enter into contracts for the purpose of economic development • Limited partner • Acquire easements for development of an economic development district Powers of Prior Lake EDA continued - Powers of a Redevelopment Agency contained in the Industrial Bond Act (469.152-469.165) - Powers of a City contained in the Housing Finance Act if authorize by ordinance of the Council pursuant to 46X.02 Subd. 6 of the Housing Finance Act" - Powers of an authori contained in the Tax Increment Act (469.174-469.179 - Powers contained in other laws relating to EDA's, HA's and RA • Receive public property for economic development in an economic development dlstnct • Appy to the Federal government to become a Foreign Trede Zone (See. USC, title 19, section 81a-61u) • Exercise the powers and duties of a redevelopment agency • Operate and maintain public parking facilities or other public facility to promote development In an economic development district • Accept public land • An aumority ay nil pr de, and prdeet the property ntl do erpMing necessary and expoedknt, after acquUing me prop dy, to make tt sudable end atbadfve as a tredfor amk development The authority may lease some or aA of tts Ianda or property an~dnkroay set up'local Improvement d stdets' In all ar partof an economic development • Loans in anticipation of bonds ' • Sell debit instruments ai private or public sale • May.participate with public or pdvate corporations or other entkies to rovlde seed or venture capital to small businesses that have facilities Pocated within a disidct Tax Increment Financing • May issue general obligation bonds, if approved by the City Council - Bonds must pledge full faith, credit and resources of city • An authority that issues GO bonds "shall before issuing them, levy a tax for each year on the taxable property in the authority's city • May issue Revenue bonds • May issue Tax Increment bonds • EDA may request City levy tax in any year for the benefit of the authority "Tax Increment Financing District" means a contiguous or noncontiguous geographic area within a project delineated in a tax increment financing plan (469.175 subd.1) for the purpose of financing redevelopment, housing or economic development in municipalities through the use of tax increment generated from the captured net tax capacity in the tax increment financing district. Various Types of Districts • Tax Increment Financing District • Redevelopment District • Renewal and Renovation District • Qualified Disaster Area • Housing District • Economic Development District • Soils Condition District • Hazardous Substance Sub district Legal Status • Public body politic and corporate and a political subdivision of the State of Minnesota • Not a department of the City • City not liable for it's obligations Study and analyze economic development needs in the city and ways to meet them Join associations to promote economic development and conduct public relations campaigns to attract economic development Undertake economic development activities in economic development districts to make land suitable and available for economic development 2