BY PRESIDENT STAUBER:

WHEREAS, the Duluth City Council adopted resolution 89-0323, on April 24, 1989, establishing the Duluth economic development authority (DEDA); and

WHEREAS, the Duluth City Council adopted resolution 98-0949, on December 21, 1998, amending the above-referenced resolution to require that four of the commissioners on DEDA be city councilors and to further require that a majority of the commissioners present at a meeting must be city councilors for action to be taken; and

WHEREAS, the Duluth City Council adopted resolution 99-0239, on March 22, 1999, further amending the above-referenced resolution to require that any expenditure by DEDA in excess of $25,000 be approved by the city council; and

WHEREAS, the Duluth City Council adopted resolution 02-0606, on October 28, 2002, further amending the above-referenced resolution to require that if an action is taken by DEDA at a meeting in which council members do not constitute a majority of commissioners present and voting, then that action is not final and cannot be implemented unless and until it is approved by resolution of the Duluth City Council. (Resolution 89-0323, Resolution 98-0949, Resolution 99-0239 and Resolution 02-0606 are hereinafter referred to as the DEDA establishment resolution.); and

WHEREAS, the Duluth City Council desires to further amend the DEDA establishment resolution.

NOW, THEREFORE, BE IT RESOLVED, that Paragraph 4 of the DEDA establishment resolution is hereby amended as follows:
That the DEDA shall be governed by a board of commissioners (commissioners) consisting of seven nine members four all of whom shall be members of the council. and all of whom shall be appointed by the Mayor with the approval of the council. The term of commissioners' appointments shall be governed by Section 469.095, subdivision 2(c), of the EDA Act. coincide with their term of office as members of the city council. The appointment of the council commissioners shall expire with their terms of office as members of the council and a vacancy shall be created. No person shall serve as a commissioner while such person holds an elective office other than Duluth city councilor or is a member of any of the following entities:  Duluth state convention center administrative board, Duluth transit authority, Spirit Mountain recreation area authority, Duluth airport authority, Seaway Port authority, Western Lake Superior Sanitary District board, Duluth housing and redevelopment authority, city planning commission, city board of zoning appeals, Duluth downtown housing commission, 1200 Fund, Inc. board of directors, advisory boards for city development districts, housing trust fund and the citywide citizens advisory committee.

FURTHER RESOLVED, that Paragraph 4.a of the DEDA establishment resolution which reads:
4.a. If an action is taken by DEDA at a meeting in which council members do not constitute a majority of commissioners present and voting, then that action is not final and cannot be implemented unless and until it is approved by resolution of the Duluth City Council duly passed as set out in the City Charter,
is hereby deleted in its entirety.

FURTHER RESOLVED, that Paragraph 19 of the DEDA establishment resolution which reads:
19. That DEDA shall not enter into an agreement or contract involving an expenditure by DEDA of more than $25,000 without the prior approval of the council,
is hereby deleted in its entirety.

STATEMENT OF PURPOSE:  This resolution amends the resolution establishing DEDA to increase the number of commissioners to nine and require that all of the commissioner positions be held by city councilors. It further strikes the requirement that if an action is taken by DEDA at a meeting in which council members do constitute a majority of commissioners present and voting, then that action is not final and cannot be implemented unless and until it is approved by the city council. Finally, this resolution eliminates the requirement that DEDA expenditures of more than $25,000 require city council approval.