EDA Minutes 08-14-2019MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, August 14th, 2019 — 6:00 p.m.
Mississippi Room, Monticello Community Center
Commissioners Present: Steve Johnson, Bill Tapper, Tracy Hinz, 011ie Koropchak-White,
Lloyd Hilgart, and Jim Davidson
Commissioners Absent: Jon Morphew
Staff Present: Jim Thares and Angela Schumann
1. Call to Order
Steve Johnson called the Regular Meeting of the EDA to order at 6 p.m.
2. Roll Call
3. Consideration of additional agenda items
None.
4. Consent Agenda
BILL TAPPER MOVED TO APPROVE THE CONSENT AGENDA. OLLIE
KOROPCHAK-WHITE SECONDED THE MOTION. MOTION CARRIED, 6-0.
a. Consideration of approving Regular Meeting Minutes — July 10, 2019
Recommendation: Approve Regular Meeting Minutes — July 10, 2019.
b. Consideration of approving Workshop Meeting Minutes — July 10, 2019
Recommendation: Approve Workshop Meeting Minutes — July 10, 2019.
c. Consideration of approving Special Meeting Minutes — July 31, 2019
Recommendation: Approve Special Meeting Minutes — July 31, 2019.
d. Consideration of adopting Resolution #2019-07 approving EDA Bylaws
Amendment establishing a Second Monthly Meeting
Recommendation: Adopt EDA Resolution #2019-07 approving the changes to the
Bylaws establishing a second monthly meeting time.
e. Consideration of approving payment of bills
Recommendation: Approve payment of bills through July, 2019.
Regular Agenda
5. Consideration of Letter of Intent for UMC, Inc. Development Proposal
Jim Thares introduced the item and noted that UMC, known as Project Novus, is looking
at an expansion of their facility. They would like to construct a new 40,000 square foot
building on the site adjacent to their current 72,000 square foot facility. They expect to
also add 60 full time employees.
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Thares noted a draft Letter of Intent (LOI) between UMC and the City of Monticello has
been proposed. He also noted that the LOI was non-binding and would lead up to a
preliminary development agreement or a standard development agreement. Thares asked
the owner of UMC, Don Tomann to speak.
Tomann introduced his staff and the Decklan Group. Tomann provided the history of the
company explaining the type of work they do in precision machining. He briefly
explained the goals of the new project.
Tim Dolan, Decklan Group, explained the expansion project goals. He noted that the goal
was to break ground late this year. Dolan also said the company did look into relocating
outside of Monticello and decided to keep the project here.
Bill Tapper asked if Tomann if he was able to review the LOI and had any questions
regarding the items. Tomann said he reviewed the LOI and was comfortable with it. The
EDA commended UMC for the work they have complete and thanked them for their
continued investment in Monticello.
BILL TAPPER MOVED TO AUTHORIZE ENTERING INTO A LOI WITH UMC,
INC. LAYING OUT INTENTIONS AND RESPONSIBILITIES AS THE BOTH
PARTIES WORK TOWARD THE GOAL OF COMPLETING A DEVELOPMENT
AGREEMENT RELATED TO THE PROPOSED DEVELOPMENT OF A NEW
MANUFACTURING FACILITY. OLLIE KOROPCHAK-WHITE SECONDED THE
MOTION. MOTION CARRIED, 6-0.
6. Consideration of acceptance of Economic Development Tax Increment Financing
(TIF) District Application by UMC, Inc. and further consideration of Minnesota
Investment Fund (MIF) and Job Creation Fund (JCF) grant recommendations to
the City Council
Decision Item One
TRACY HINZ MOVED to accept the Economic Development TIF Application submittal
from UMC. BILL TAPPER SECONDED THE MOTION. MOTION CARRIED, 6-0.
Decision Item Two
OLLIE KOROPCHAK-WHITE MOVED TO RECOMMEND THAT THE CITY
COUNCIL AUTHORIZE SUBMITTAL OF A MIF GRANT APPLICATION IN
SUPPORT OF THE UMC EXPANSION. BILL TAPPER SECONDED THE MOTION.
MOTION CARRIED, 6-0.
Decision Item Three
BILL TAPPER MOVED TO RECOMMEND THAT THE CITY COUNCIL
AUTHORIZE SUBMITTAL OF A JCF GRANT APPLICATION IN SUPPORT OF
THE UMC EXPANSION. LLOYD HILGART SECONDED THE MOTION. MOTION
CARRIED, 6-0.
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7. Consideration of Adopting Resolution #2019-08 approving 2020 HRA Property Tax
Levy in the amount of $355,000 and 2020 EDA Budget in the amount of $360,241
Jim Thares noted that the highest levy authority that the EDA could be establish for 2020
is $355,000. This is an increase of $7,000 from 2019. The recommendation of the EDA
would go to the City Council for preliminary consideration at their meeting.
Steve Johnson asked if the money allocated to the EDA would be flexible in how it was
spent. Thares confirmed.
BILL TAPPER MOVED TO ADOPT RESOLUTION #2019-08 APPROVING THE
2020 HRA SPECIAL BENEFIT PROPERTY TAX LEVY IN THE AMOUNT OF
$3559000 AND THE PROPOSED 2020 EDA BUDGET AS PRESENTED AND
FORWARDING TO THE CITY COUNCIL FOR FURTHER CONSIDERATION AT
ITS SEPTEMBER 9, 2019 MEETING. OLLIE KOROPCHAK-WHITE SECONDED
THE MOTION. MOTION CARRIED, 6-0.
8. Director's Report
Jim Thares provided the Director's report. He explained a recent conference that he
attended with Greater MSP.
Thares also provided the prospect list.
9. Closed Session — Consideration of recessing to closed session to develop or consider
offers or counter-offers for the purchase or sale of real or personal property
pursuant to Minnesota Statute 13D.05, Subdivision 3(c)(3).
Property Address and/or PID #155-223-000010 & 155-194-000010
Property Address: 216 PINE ST — PID #155-010-034010
Property Address: 300 4TH ST E — PID #155-019-008010
10. Adiourn
TRACY HINZ MOVED TO ADJOURN THE MEETING AT 7:08 A.M. JIM
DAVIDSON SECONDED THE MOTION. MOTION CARRIED, 6-0.
Recorder: Jacob Thunander
Approved: September 11,E
Attest:
Thares, Economic Development Director
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