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EDA Minutes 11-10-2020MINUTES REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Tuesday, November loth, 2020 — 6:00 p.m. Mississippi Room, Monticello Community Center Participants attended in -person and remotely. Commissioners Present: Steve Johnson, Bill Tapper, Tracy Hinz, 011ie Koropchak-White, and Jim Davidson Commissioners Absent: Jon Morphew and Lloyd Hilgart Staff Present: Jim Thares 1. Call to Order Steve Johnson called the Regular Meeting of the EDA to order at 6:10 p.m. 2. Roll Call 3. Consideration of Additional Agenda Items None. 4. Consent Agenda OLLIE KOROPCHAK-WHITE MOVED TO APPROVE THE CONSENT AGENDA. JIM DAVIDSON SECONDED THE MOTION. MOTION CARRIED, 5-0. a. Consideration of Approving Regular Meeting Minutes — October 14, 2020 Recommendation: Approve Regular Meeting Minutes — October 14, 2020. b. Consideration of Approving Regular Meeting Minutes - October 28, 2020 Recommendation: Approve Regular Meeting Minutes — October 28, 2020. c. Consideration of Approving Payment of Bills Recommendation: Approve payment of bills through October, 2020. Regular Agenda 5. Consideration of Approving Small Business Emergency Grant Agreements in the Amount of $5,000 to: TMC & J Taylor Corp. dba Beef O'Brady's and Bodv Rhythms Wellness Inc. to Mitigate COVID-19 Economic Impacts Jim Thares introduced the item for consideration of approving two grants through the EDA's Small Business Emergency Grant Program. Thares indicated that both applications have been reviewed by staff and appear eligible. BILL TAPPER MOVED TO APPROVE SMALL BUSINESS EMERGENCY GRANT AGREEMENTS BETWEEN THE EDA AND TMC & J TAYLOR CORP. DBA BEEF O' BRADY'S AND BODY RHYTHMS WELLNESS INC. IN THE AMOUNT OF Economic Development Authority Minutes — November 10', 2020 Page 1 1 4 $5,000 TO MITIGATE COVID-19 ECONOMIC IMPACTS. OLLIE KOROPCHAK- WHITE SECONDED THE MOTION. MOTION CARRIED, 5-0. 6. Consideration of Wright County Economic Development Partnership Update and approving 2021 Membership and Dues in the amount of $2,606 Jim Thares introduced the item and noted the EDA has been a member of the Wright County Economic Development Partnership (WCEDP) for many years. Thares introduced Jolene Foss, Executive Director of WCEDP. Foss provided an introduction and update for the partnership. In 2020, the partnership had 73 members which included all cities in Wright County, 1 township, 41 businesses, 14 non -profits, and many other partners. Foss provided the economic development goals and objectives for the partnership. Foss also explained several upcoming events that the partnership is holding or collaborating with other organizations. She also explained some possible seminar topics and encouraged EDA members if they had suggestions to reach out and they could help find the information of interest and bring in an expert to share that knowledge. She provided information about possible future initiatives of the partnership. Lastly, Foss explained what the partnership has been doing the past six months, which included CARES Act grant review and administration, meeting with stakeholders and attending board meetings, familiarizing herself with the policies and procedures of the partnership, attending partnership related meetings, and marketing. Recently, Foss and other organizations met with Twin City Die Castings in Monticello to help get them resources to get training available to fill positions they need. Steve Johnson asked about employee retention and workforce development and the efforts the partnership is doing in terms of affordable housing. Foss responded that the partnership in the past has not put a lot of focus on housing, especially affordable or workforce and senior housing. Foss noted the importance of this type of housing in the County and could be a future initiative for them. Darek Vetsch, Wright County Commissioner, indicated through the Central Mississippi Regional Planning Partnership and their 2030 Framework, they are doing a regional housing inventory that will identify how the area is doing from an affordable housing perspective. Johnson also added that the City of Monticello EDA recently approved a housing study. Thares asked if any Monticello businesses received the CARES Act Grant through the partnership. Foss indicated that the finalized list was not available as the County is responsible for the last round of approval, but it is believed that 25 businesses and 3 non- profits in Monticello that will receive funding. Thares also noted that Foss recently participated on a discussion with the City of Monticello involving a large development prospect. Thares also mentioned that an industrial prospect called the City today and they are interested in locating in Monticello, but will need loan assistance. Thares envisioned collaboration between the EDA and Economic Development Authority Minutes — November 10', 2020 Page 2 14 WCEDP for potential gap loan financing. Foss added that in partnership with Wright County, there are funds available in the enterprise loan fund and that this would be an appropriate application. BILL TAPPER MOVED TO APPROVE THE 2021 ANNUAL WCEDP MEMBERSHIP DUES IN THE AMOUNT OF $2,606. TRACY HINZ SECONDED THE MOTION. MOTION CARRIED, 5-0. Wright County Commissioner Darek Vetsch, District #, explained that the County Board recently reviewed the final report from the Wright County Economic Development Authority Advisory Committee. They finalized three high level initiatives that they would like to accomplish through the EDA. These include County property liquidation, partnering with local cities and townships to meet their economic development needs, and access to state and federal grants at a more global level. Vetsch noted that a resolution for the creation of an EDA is on the Board's agenda for their meeting on November 24. If approved, the EDA would have their first meeting sometime during January 2021, where they will formalize bylaws and a board makeup. The initial meeting would be involve the five county commissioners. The intent is to later on increase the EDA commissioner membership to the either seven or nine members. Solicitations for members throughout the county would be sought. The County EDA will not have any taxing authority. All cities and townships in the county would receive a draft resolution for participation. Vetsch also added that the County has stepped up their efforts with the Economic Development Partnership by increasing their funding to them and taking a much more active role in working with them. Steve Johnson asked how the Wright County EDA organization was going to be funded. Vetsch noted that there would be proceeds from the sales of their properties as initial seed money. The County also has some funds that they plan to transfer into the program for the initial piece of it. 7. Economic Development Director's Report Jim Thares provided the Economic Development Director's Report. Thares noted at the September 9, 2020 EDA Meeting, the EDA authorized entering into a purchase agreement with Steve Johnson for three properties on Block 52 in the amount of $829,000. The title search has identified one encumbrance between a joint wall between Johnson's property and a neighboring building. Staff recommends that the EDA Attorney revise the title objection letter and remove objection #9 that would allow the rest of the process to move forward and an eventual property closing. Thares noted there is a minor risk with the encumbrance. It's possible that the building sharing the joint wall with the adjacent property would not be able to be torn down or that it would require an structural engineering study and some mitigation measures if it permissible to demolish it. Thares also noted that there is also a financial risk if the EDA delays on moving forward with the current purchase offer as the corner properties are now vacant and have no relocation expenses associated with their acquisition at this time. If the EDA waits, the owner could Economic Development Authority Minutes — November 10 ', 2020 Page 314 enter into lease agreements with tenants. This would potentially add $110,000 to the cost for a future purchase agreement. Balancing out the various risk scenarios, staff recommends that the EDA moves ahead with the purchase. The EDA agreed to continue moving forward with the purchase of the Johnson properties and directed Thares to discuss the intent with the EDA Attorney. 011ie Koropchak-White noted the success of Jill Agosto's building in the downtown using the Downtown Fagade Improvement Program. Thares noted he would send photos of before and after views of Ms. Agosto's building. 8. Adjourn BILL TAPPER MOVED TO ADJOURN THE MEETING AT 7:07 P.M. OLLIE KOROPCHAK-WHITE SECONDED THE MOTION. MOTION CARRIED, 5-0. Recorder: Jacob Thunander -F Approved: _ December 9th, 2020 Attest: , Economic Development Director Economic Development Authority Minutes — November 101h, 2020 Page 4 14