ECONOMIC DEVELOPMENT AUTHORITY- Bryan Schafer, Community Development Director
Title
CONSIDERATION OF THE SALE OF EDA WETLAND CREDITS TO THE BOARD OF WATER AND SOIL RESOURCES
Background
As discussed at the December 21, 2017 City Council Workshop, the Minnesota Board of Water and Soil Resources (BWSR) acting as the agent for the Minnesota Department of Transportation (MnDOT) have requested to purchase 14 acres of wetland credits from the EDA’s Wetland Bank for mitigation of various state roadway projects in our region.
The terms of the purchase would be at a price of $54,450 per credit (totaling $762,300), plus applicable fees as shown on the attached Joint Powers Agreement. This amount is equivalent to $1.25 per square foot which is significantly lower than the standard rate, $1.80-$2.00 per square foot that is the standard rate charged to developers.
Staff is in favor of this rate due to the large volume of credits being purchased and the purchase being made by the State. There are approximately 42 credits remaining in the EDA Wetland Bank.
The EDA is entering into this agreement to sell EDA wetland credits based on the understanding that the City will be holding 14 acres of credits that will be created from the Site 7 wetland bank and those credits would be allocated to the EDA once the City’s wetland bank has been permitted.
The money from this sale to BWSR will be transferred to the City to offset maintenance and future improvement costs in the Blaine Wetland Sanctuary.
Attachments
State of Minnesota Joint Powers Agreement Sale of Wetland Credits
Recommendation
It is recommended that the EDA adopt the Resolution approving the sale of 14 acres of wetland credits to assist BWSR.
Body
BE IT RESOLVED by the Board of Commissions (the “Board”) of the Blaine Economic Development Authority (the “EDA”), as follows:
WHEREAS, it is one of the goals and purposes of the Blaine EDA to improve the community, strengthen the tax base and enhance employment opportunities; and
WHEREAS, BWSR, acting as the agent for the MnDOT proposes to complete roadway projects in the region; and
WHEREAS, BWSR, acting as the agent for the MnDOT has determined that in order for their roadway projects to be feasible, wetlands will need to be impacted; and
WHEREAS, BWSR, acting as the agent for the MnDOT has identified the need to acquire 14 acres of wetland credits and has indicated an interest in purchasing those credits from the EDA’s Wetland Bank.
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Blaine Economic Development Authority, City of Blaine, Minnesota, that the President and Executive Director of the Blaine Economic Development Authority are hereby authorized to execute any and all agreements and documents required for the sale and transfer of 14 acres of EDA wetland credits to the Minnesota Board of Water and Soils Resources, acting as the agent for the Minnesota Department of Transportation, at a cost of $1.25 per square foot plus the EDA’s out of pocket cost for withdrawing credits from the wetland bank.
NOW, THEREFORE, BE IT FURTHER RESOLVED, that the decision to sell EDA wetland credits is based on the fact that the City will hold 14 acres of like value wetland credits from the City’s Site 7 Wetland Bank for future use by the EDA.
PASSED by the Blaine Economic Development Authority this 18th day of January, 2018.