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HomeMy WebLinkAbout10 21 2013 EDA Report 4B 4646 Dakota Street SE Prior Lake, MN 55372 ECONOMIC DEVELOPMENT AUTHORITY AGENDA REPORT MEETING DATE: October 21, 2013 AGENDA #: 4B PREPARED BY: Jerilyn Erickson, Treasurer PRESENTED BY: Jerilyn Erickson AGENDA ITEM: CONSIDER APPROVAL OF THE 3RD QUARTER FINANCIAL REPORT FOR THE ECONOMIC DEVELOPMENT AUTHORITY SPECIAL REVENUE FUND DISCUSSION: Introduction Staff has prepared a preliminary summary financial report as of September 30, 2013 for the Economic Development Authority Special Revenue Fund. The report reflects revenue and expenditure activity for the first nine months of 2013. The reports are preliminary, unaudited and may change. The attached memorandum provides a summary of the significant issues. If commissioners have questions please feel free to contact me at 952- 447-9841 for more information. ALTERNATIVES: The following alternatives are available to the EDA: 1. A motion to accept the September 30, 2013 Financial Report as submitted. 2. Take no action and provide the staff with specific direction. RECOMMENDED Alternative 1. MOTION: ATTACHMENT: 1. Quarterly Report – EDA Special Revenue Fund MEMORANDUM TO: Prior Lake Economic Development Authority FROM: Jerilyn Erickson, Treasurer RE: Financial Report dated 09/30/2013 The financial report presented as part of this agenda item reflects activity for the first nine months of 2013. The significant issues identified at this time are summarized below. Revenues First half property taxes were received in June. Second half and final tax settlements are received in December and January, respectively. Facility rental payments have been received from design a tivity, llc. and Innovative Computer Professionals, Inc. (ICP) for the Technology Village Business Incubator. Argos Risk is a new st tenant starting October 1. Transfers reflect the funding provided by the General Fund for the Technology Village Business Incubator set up costs. Expenditures The EDA budget was amended on January 28, 2013 to complete the City of Prior Lake Technology Village Business Incubator. An amendment was originally approved in 2012 but not all purchases were made by yearend. The remaining funds were re-appropriated in 2013. Personnel, commissioner per diems, communications, legal and Technology Village Business Incubator expenditures comprise the majority of the expenditures. The EDA reallocated $20k of the $60k budgeted for professional services to fund the SAC Loan Program. Loan Programs A Deferred Payment Agreement was entered into with the Artisan Bistro Café under Local Program A of the City of Prior Lake Sewer & Water Fee Deferral Program on March 18, 2013. The EDA funded the $6,000 City share of the loan which covers the fees for sewer connection, water connection and water tower and therefore, reflects a loan receivable on its balance sheet for this amount. Payments on the Met Council loan will be collected monthly and submitted to the Met Council when invoiced. The first payment of $209.52 was due on June 1, 2013. A Deferred Payment Agreement was entered into with the Honest-1 Auto Care under Local Program A of the City of Prior Lake Sewer & Water Fee Deferral Program on July 11, 2013. The EDA funded the $8,000 City share of the loan which covers the fees for sewer connection, water connection and water tower and therefore, reflects a loan receivable on its balance sheet for this amount. Payments on the Met Council loan will be collected monthly and submitted to the Met Council when invoiced. The first payment of $279.36 was due on October 1, 2013. The following table provides a status of the loans: Business Original Met Council City Share Current Interest Loan Share of Loan of Loan Principal Paid YTD Balance (City) Artisan Bistro Café $11,844.00 $5,844.00 $6,000.00 $5,660.36 $63.83 Honest-1 Auto Care $15,792.00 $7,792.00 $8,000.00 $8,000.00 $0.00 Totals $27,636.00 $13,636.00 $14,000.00 $13,660.36 $63.83