Tuesday, September 17, 2013
COUNCIL FORMS THREE MEMBER ECONOMIC DEVELOPMENT COMMISSION IN SPECIAL MEETING SEPTEMBER 17
17 September 2013 Dearborn County Council Special Meeting Notes
Present: Dennis Kraus. Sr., President, Dan Lansing, Liz Morris, Randy Lyness, Charlie Keyes, Maynard Barrett, and Bill Ullrich.
Also present: Gayle Pennington, Auditor, Kevin Lynch, Commissioner and Redevelopment Commission, Andy Baudendistel, County Attorney, and Teresa Randall, County Administrator
Dennis Kraus Sr said it was pretty rude that they were emailed at 10 till 4 and expect them to decide on this without time to review. Would someone like to explain this?!
Terri Randall said that they have been competing for this Milling Company with Carlisle Ohio. They do not have anyone who does redevelopment on a daily basis. They are making a $44 million investment. Committed to us now. Instead of cash incentives- allow them to borrow money at their own risk and pay for it with their own tax incentives from the TIF. Apologize- my day job is something else- but I tried to get things together from the legal expert . Ask your indulgence…
Randall went on: Economic development Commission regulations by state statute. Thought this company should have some skin in the game. Our local towns have done this- like Greendale. This is our first time. If you allow a company to borrow money you have to have a legal process. Economic Development Commission is simply a 3- person Board. If you wanted to bond out in the future you would need this board. This is a mechanism to do that. Because of the time frame we are working under. One member nominated by Council one by Commissioners and one by Lawrenceburg, Then the Commissioners formally make the appointment of these 3 people. Andy Baudendistel had nothing to add. He said Tom Pittman from Barnes and Thornberg worked with Terri on this. He has no problem with this. Apologize that he hasn’t been as hands on as he was out for a few weeks due to the birth of a child.
Lyness said- $44 million project- but this bonding is for $2.5 million. Terri- 20 million in equipment. Another 20 million to get land out of flood plain etc. Grant helped buy the land. Kraus – cost of land – ½ million? No it was $600,000- half L-bg and half us. Now there is another piece that the Redev is considering buying of the Stone property also. Randall – my goal was to protect the county. We got experts and actuaries looking at this when they actually go to a bank. It’s up to $2.5 million they can borrow against the bond. They had to go into a really detailed process just to get L-bg company. They are a stable long term company. If you don’t bring the jobs or if you don’t live up to commitments- they owe us money back. The redev won’t see a lot of tax revenue from this particular project- but another company that has merged with them and their taxes will be considered as part of this for funds to go back to redevelopment. This allows farmers to cycle wheat into their crop rotation here.
This will be the whole county’s economic development commission. How long does board stay in place? Commish 3 years, council 2, L-bg 1 year terms. Keyes doesn’t want to make the appointment tonight. Option to keep things moving- per Randall is to have another meeting. Lansing said it’s a necessary step. He sits on Greendale’s Economic Development Board but hasn’t had to decide anything yet.
Morris- said- we could agree to adopt the ordinance and then later have Kraus, Sr. and Barrett could give the name to Commissioners.
Morris moved to adopt ordinance as presented 2nded by Ullrich for the Dearborn County Economic Development Commission. Passed.
Morris moved that in 5 days Kraus and Barrett could give a name to Commissioners for their rep. Ullrich 2nded. Passed. Council’s appointment is a 2 year appointment.
Decided to withdraw this as they cannot do this- will violate open door law!!!!
Al Abdon Greendale is Lansing’s nomination. Tom Orschell Is another name. Jody Blasdel per Keyes.
Lansing motioned to nominate Orschell first choice and Blasdel is 2nd choice if Orschell cannot do it.
Maynard Barrett 2nd. Passed.
Council signed the ordinance setting up the Economic Development Commission.
Adjourned at 5:40 PM
Christine Brauer Mueller