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City Council Approves Medtronic Changes: Vote Allows Firm to Speed Up Project

Posted on: Tuesday, 14 February 2006, 06:00 CST

By Emily Gurnon, Pioneer Press, St. Paul, Minn.

Feb. 14--The Mounds View City Council voted 4-1 Monday night to allow Medtronic to speed up the building of its new cardiac rhythm management facility on the former Bridges Golf Course site.

The vote, in which Mayor Rob Marty dissented, also gives Medtronic another tax incentive, in addition to the incentive already approved for the first phase of the project.

The company broke ground in December on Phase 1 of the development, an 820,000-square-foot office complex consisting of two eight-story towers and a three-level parking ramp. For that portion, valued at $65 million, Medtronic will get 37 cents back for every tax dollar paid, in a device known as tax increment financing.

The question before the council Monday was whether Medtronic should be able to build Phase 2 of the project concurrently with Phase 1 and be rewarded with another tax incentive of $8.1 million.

Stan Meyer was among a number of residents who told council members they should have negotiated more aggressively with the Fridley-based medical device manufacturer.

"It sounds like you're all too in love with the deal," Meyer said. "You guys are in a good bargaining position. Take it for what it's worth -- you don't have to give up another $8 million."

Others praised the council members for helping to bring the company to town.

"It maybe won't affect me now, but I have children and grandchildren," said David Jahnke. "You wait and see how it's going to affect you."

Phase 2 of the development will bring the complex to 1.2 million square feet, a size that will accommodate up to 4,400 employees, Medtronic has said.

The cost for both Phase 1 and 2 will be about $96 million.

"I think it's a real good deal for Mounds View," Council Member Roger Stigney said.

Emily Gurnon can be reached at egurnon@pioneerpress.com or 651-228-5522.

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Copyright (c) 2006, Pioneer Press, St. Paul, Minn.

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Source: Saint Paul Pioneer Press (St. Paul, Minn.)

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