081202 EDA Min
CITY OF SHOREWOOD
ECONOMIC DEVELOPMENT AUTHORITY MEETING
MONDAY, AUGUST 12,2002
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
8:00 P.M. or Immediately
following Regular Council Meeting
MINUTES
1. CONVENE ECONOMIC DEVELOPMENT AUTHORITY MEETING
Vice President Garfunkel called the meeting to order at 8:45 P.M.
A.
Roll Call
Present:
Vice President Garfunkel; Commissioners Lizee, Turgeon, and Zerby; Assistant
Executive Director Nielsen; Assistant Treasurer Burton; Attorney Keane; and Engineer
Brown
Absent:
President Love; and Executive Director Dawson
B.
Review Agenda
Vice President Garfunkel reviewed the Agenda. Assistant Executive Director Nielsen distributed an
additional agreement, A Sublease Purchase Agreement between the EDA and SLMPD, for Item #78.
Lizee moved, Zerby seconded, Approving the Agenda as presented. Motion passed 4/0.
2. APPROVAL OF MINUTES
A. EDA Minutes of July 22, 2002
Zerby moved, Turgeon seconded, Approving the EDA Meeting Minutes of July 22, 2002, as
presented. Motion passed 3/0/1, with Lizee abstaining due to absence at that meeting.
3. ARCHITECTURAL SERVICES AGREEMENT WITH TSP ONE, INC.
Attorney Keane explained negotiations on the Architectural Services Agreement with TSP One, Inc., for
the Joint Public Safety Facility had been concluded. The agreement extended and expanded the
responsibilities and basic services of the architects for the project. The architect's fee would be capped at
approximately 7.64 percent of an estimated construction cost of $8.9 million. This amount was noted to
be slightly less than the original estimate of cost for services.
Zerby moved, Lizee seconded, Approving and Authorizing Execution of the Architectural Services
Agreement for TSP One, Inc. Motion passed 4/0.
4. GENERAL CONTRACTOR CONSTRUCTION MANAGEMENT SERVICES
AGREEMENT WITH KRAUS-ANDERSON CONSTRUCTION COMPANY
Attorney Keane briefly explained the purpose of the construction management services agreement
regarding the defined scope of services and the two-percent fee being included by Kraus-Anderson. This
agreement also capped the cost of additional services, noting revisions could be made throughout the
project as needed. Attorney Keane also explained a bid process would be in place for the construction
SHOREWOOD ECONOMIC DEVELOPMENT AUTHORITY
August 12, 2002
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phase of the project with Kraus-Anderson assigned as a contracting agency for the project. Relationships
were also delineated in this agreement between the EDA, the architects, and Kraus-Anderson.
Zerby moved, Lizee seconded, Approving and Authorizing Execution of the General Contractor
Construction Management Services Agreement with Kraus-Anderson Construction Company.
Motion passed 4/0.
5. COOPERATION AGREEMENT WITH THE CITY OF DEEPHA VEN FOR THE EFD
EAST STATION PROJECT
Attorney Keane explained State law would not permit a municipal EDA to act outside of its corporate
limits, unless permission was granted by the affected municipality. Accordingly, the Shorewood EDA
and the City of Deephaven would need to enter into a Cooperation Agreement with the City of
Deephaven for the construction of the facility with the lease-revenue financing available through the
EDA.
Zerby moved, Lizee seconded, Approving and Authorizing Execution of the Cooperation
Agreement with the City of Deephaven for the fire facility for use by the Excelsior Fire District.
Motion passed 4/0.
6. METHOD OF SALE FOR LEASE-REVENUE FINANCING
Attorney Keane noted at the July 24, 2002, Joint City Councils Meeting, the financial advisor discussed
the benefits and disadvantages of negotiated public placement of lease-revenue financing for the fire and
police facilities. At this meeting direction was given by the EFD and SLMPD governing boards
regarding the preferred method of lease-revenue financing. Deephaven Councilmember Thompson
questioned the possibility of exploration of private placement in effort to save underwriting expenses at
that meeting. It was noted, however, by Assistant Treasurer Burton that negotiated public placement was
considered appropriate in this matter, and the same method of financing had the approval of both the EFD
and SLMPD governing boards.
Zerby moved, Turgeon seconded, Approving the negotiated public placement of lease-revenue
financing for the Joint Public Safety Facility project. Motion passed 4/0.
7. AGREEMENTS FOR PUBLIC SAFETY FACILITIES PROJECT
A. EFD East Facility
B. EFD West/SLMPD Facility
Attorney Keane reviewed the agreements related to the Public Safety Facilities project.
Zerby moved, Lizee seconded, Preliminary Approval for the EFD East Facility, EFD West/SLMPD
Facility, and the SLMPD Sublease Purchase Agreement. Motion passed 4/0.
8. FINANCING SCHEDULES FOR PROJECT
Assistant Treasurer Burton and Attorney Keane provided a brief report on the percentage of costs
allocated to each member city comprising the Excelsior Fire District. Percentages were noted to be in
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August 12, 2002
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need of refinement, and thus, slight change could occur over the next few months. More information
would be provided at a later date.
9. SET EDA MEETING - AUGUST 26, 2002
Lizee moved, Zerby seconded, Setting a Meeting date of August 26, 2002, for the next EDA Board
Meeting. Motion passed 4/0.
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10. OTHER BUSINESS
No other business was presented this evening.
11. ADJOURN
Turgeon moved, Zerby seconded, Adjourning the Economic Development Authority Meeting of
August 12,2002, at 9:10 P.M. Motion passed 4/0.
RESPECTFULLY SUBMITTED,
Sally Keefe,
Recording Secretary
a!62
WOODY LOVE, President
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ATTEST:
Craig W. Dawson, Executive Director