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EDA Agenda 02-17-1998 . . . AGENDA - ANNUAL MEETING MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY Tuesday, February 17, 1998 -7:00 p.m. City Hall MEMBERS: Chair Ron Hoglund, Vice Chair Barb Schwientek, Assist Treasurer Ken Maus, Clint Herbst, Roger Carlson, Bill Demeules, and Darrin Lam. STAFF: Rick W olfsteller and Ollie Koropchak. GUEST: Rich Cline, Ernie's Bate and Tackle Pam Campbell, DA T Chair 1. CALL TO ORDER. 2. CONSIDERATION TO APPROVE THE JANUARY 20, 1998 EDA MINUTES. 3. CONSIDERATION OF ADDING AGENDA ITEMS. 4. CONSIDERATION TO REVIEW FOR APPROV ALfDISAPPROV AL THE DMRF APPLICATION FOR 112 EAST BROADWAY. 5. CONSIDERATION TO ELECT 1998 EDA OFFICERS. 6. CONSIDERATION TO REVIEW AND ACCEPT THE YEAR-END EDA FINANCIAL STATEMENTS, ACTIVITY REPORT, AND PROPOSED 1998 BUDGET. 7. CONSIDERATION TO REVIEW YEAR-END FUND BALANCES OF THE GMEF, UDAG, AND ERG FUNDS. 8. CONSIDERATION OF EXECUTIVE DIRECTOR'S REPORTS. 9. OTHER BUSINESS. 10. ADJOURNMENT. . . . EDA AGENDA FEBRUARY 17, 1998 4. Consideration to review for approval/disapproval the DMRF application for 112 East Broadway. A. Reference and Background: You will recall in October, 1997, the EDA tabled any action relating to the OMRF application from Rich and Sylvia Cline. This was recommendation by OAT due to the fact Cline had serious contentions of selling Ernie's Bate and OAT felt perhaps the new owner might maximize the purpose of DMRF. However, the Cline's now plan to retain the business and the property has been taken off the market. The OAT reviewed the new proposed facade improvements on February 4, 1998, and approved the design improvements. Please consider the following when reviewing this application. Pur:pose Does the proposed project seek to promote the revitalization of downtown Monticello? I. Enhfces slorefronts and facades in accordance with the design gnidelines in the Plan. Yes No 2. Encourages the rehabilitation of building interiors to bring them intoympliance with local codes and ordinances. Yes _ No Not Applicable 3. Encourages building rehabilitation)! provide space suitable for the proposed use. Yes No Not Applicable 4. Provides funding to close the "gap" between financing needed to undertake the project and the amount raised by equity and private loans. Yes l No - 5. Provides economic incentives to locate businesses in the downtown. Yes No Target Area Preference given to Blocks 35,36, 51, and 52, Original Plat. This proposed project lies outside the preferred area. Location Block 34. Facade Grants 1 . . . EDA AGENDA FEBRUARY 17, 1998 Matching grant of $2,500 for eligible improvements to the front facade and signage. Request $2,500 Projected cost of improvements $5,000 Equity $2,500 Criteria to meet: 1. Do the improvements meet the applicable design guidelines and all codes and ordinances? Yes No 2. Does the amount of the grant match the amount ofthe private investment up to the stated limit? Yes No Fee Reimbursement Reimbursement of City fees in an amount equivalent of 10% of the total cost of the improvements up to a maximum of $500. Request $500 Projected costs of city fees $63 Projected total cost of improvements $9,900. Non-Performance The approved DMRF becomes null and void iffunds are not drawn or disbursed within 270 days from date of ED A approval. October 17, 1998. B. Alternative Action: 1. A motion to approve DMRF in the amount of $ for front facade and signage improvements and $ for fee reimbursement at 112 East Broadway (Ernie's Bait and Tackle - Richard & Sylvia Cline). Terms and conditions as determined. 2. A motion to deny approval ofDMRF in the amount of $2,500 for front facade and signage improvements and $500 for fee reimbursement at 112 East Broadway. 3. A motion to table any action. C. Recommendation: Although the improvements proposed are outside the target area, the project has merit. In 2 . . . EDA AGENDA FEBRUARY 17, 1998 speaking to Rita relating to the question: Are the proposed improvements replacement for storm damage and if so does this meet the DMRF purpose? Rita estimated about 80% of the facade treatment was unrelated to storm damage, only the upper right~hand comer and trim was storm damage. Window replacement is not consisted part of the facade grant. Fee reimbursement is projected at $63. If this were true, the applicant would be entitled to the $63 and not the requested $500. In the case of Kathy Froslie, the total permit fee was $1,764.50 and the Building Official estimated the building value improvements at $25,000. She received $500. Recommendation for the Cline application: Fee reimbursement subject to guideline of an amount equivalent of 10% of the total cost of the improvements up to a maximum of $500. D. SuPportini Data: Copy of the application for Ernie's Bait Shop and DAT review. 3 . . , DOWNTOWN MONTICELLO REVITALIZATION FUND Monticello Economic Development Anthority .271-3208 250 East Broadway, POBox 1147 Monticello, MN 55362 FUND APPLICATION 1. Basic Information: Name of ApplicantIProperty Owner ~,'('knJ +- Sr;k,'o- d V/'-e Address of ApplicantlProperty Owner I};). E, {; rcdwcl 7 ~ q)tJ II1lJV/t:ce/Jo, 1Ih!1, - , . s,""'? 56 '- Telephone Number of ApplicantIProperty Owner ,;;) 95"- -32 Z l Social Security of ApplicantlProperty Owner 'f7/S ~ 7:R -w,'7 3 '177- A? '-b9g9 Tax ID# of ApplicantIProperty Owner 'il ~ /&1 6,;<?J <7 II. Nature of Revitalization Fund Request: Street Address of Revitalization Property J I A E, P> rao..d uJ c.... y Pill Number of Revitalization Property /55 -- CJ /{J - o.~ ~ /30 Legal Description of Revitalization Property - Block 631 Lot(s) CJ/3 Revitalization Property is currently: Occupied -X- Prospective Occupant Unoccupied If applicable, Name of Occupant (Business) or Prospective Occupant (Business) Fitl.'f '5 f!p.:1-- + -r;; c..k/e. If applicable, brief description of the nature of the business of the occupant: f<.e~" I ho...c'+ ~ ~ Ie.. I'ie (,...... s . I . . . Downtown Monticello Revitalization Fund Fund Application III. Type of Revitalization Fund Request: A. Facade Grants 1. Front Facade and Signage Grant (Matching funds of up to $2,500) Amount of Request $ ;2 t:;D" , Projected Cost of Improvements $ ~ I) no Amount of Private Loans $ Amount of Equity $ Brief description of the improvements for which applicant is seeking funds: lleuJ 1CJJ ~r'd'~r. OK cd,€ wftd..1e ~O4.1- cJ'--{! 6ur'/Q''j . (I f' cJ ce tiel s!\?{k ~ S> 0 l."- o..cJ~"- ''-'''\, . "1 e W -k,'~ o.Jo<--.'"- J ~e Ho'-'-/- ~-f h(~J' h .f{O.JM ~ ,'-1. ~('xJ uJe w"" b~ ;V\s~(o.-I<~ "t- fY~/J.,~ ,'",,- ne....J . w~~io~s 2. Rear Facade Grant (Matching funds of up to $2,500) , Amount of Request $ Projected Cost of Improvements $ Amount of Equity $ Amount of Private Loans $ Brief description of the improvements for which applicant is seeking funds: 3. Side Facade Grant (if applicable) (Matching funds of up to $2,500) Amount of Request $ Projected Cost of Improvements $ Amount of Equity $ Amount of Private Loans $ Brief description of the improvements for which applicant is seeking funds: 2 . . . Downtown Monticello Revitalization Fund Fund Application B. Rehabilitation Loan (Maximum amount is the lesser of25% of total cost of the improvements or $20,000) Amount of Request $ Projected Cost of Improvements $ Amount of Equity $ Amount of Private Loans $ Brief description of the improvements for which applicant is seeking funds: Fee Reimbursement (Reimbnrsement of City fees in an amount equivalent of t:,J t;~ 10% of the total c:st of~e improvements up to a maximum of $500) ..-#. q 'iO Amount of Request $ .5e>a- .- Projected Cost of City Fees $ c. IV. Lender Information: Name of Participating Lender Contact Person Telephone number I/we certify that all information provided in this application is true and correct to the best of my/our knowledge. / - 3/- r~ Date 3 . OERTEL ARCHITECTS Jeffrey l. Oertel. AlA. CCS, Principal . [: 361 W. Government St- Taylors Fnlls. Minnesota 55084 CLA YBAlJGH PRrSERV A nON ARCHITEC lURE INC Robert J. Claybaugh AlA lei 612.465.7900 . fax 612.465.3505' e-mail rjcOpolarislel.net .' . COMMERCIAL ARCHITECTURE HISTORIC PRESERVATION RENOVATION AND REPAIR BUILDING DIAGNOSTICS 1406 West Lake Street. Suite 201 Romy Building, Minneapolis. MN 55408 . 612-825-6613 Fax 612.824-7884 . , . '. , Design Advisory Team Review Team Members Property Owner Building Address f2,cl( ~ . II ,.;;., F ~ ~~),.~ Cl..ne I3r f') c:..J W CLI Sketch of Proposed Facade Improvements: 5id'"- " ~~....:..:..:'--- .;;.~~ iJ-'~~:l-;~0~ ,,__, '" / ~',j'- o 2;Tr~:lJ- -, ~ ,-~~..~.~'-'''~ _..~~-,..~-~~~~".. _.~o:.....__':/,~,:~-::.t-:::':-:-':::'~..:.,:_::. I ( I( l ! ( I i / ( tLe --=:_:c---~""'-=--, '-_~ cr D' Q !!f~_~,~L --...... -------0:'.,..".. .."- .--- Date j- 3/- 92 [0 6 01~ Lou <; ,I ''!, Improvements in conformance with the Design Guidelines: /00 s;J,'''''-0 c e.- do.,.x ~ k. /.( ~ "!:1 0 '" 4c. o....uJ" l~J ,'+- ~<- (-P pet ,,,,I- +-- ~., t Improvements in non-conformance with the Design Guidelines: ; Y) ~",,-t cJ..-,rC} __ _ w ,'-".-do ~ ~ -- r e. po.....,r 5 ( ( 0/0. f~c eo..;. I' C 'q. ......,( ~. ~ 0- f e. t: "- ~ -+-r.r rI'--"' q c.Jv-.,-:' ~~ . r1t " _ o...JO '---""-- J Design Advisory Team Recommendation: Comments: b I Ji; . o"\. ef /:/ ~l doo r-~ . . . . GENE BAUER r-,." _CONSTRUCTIC~. .1 ~-;.-" e... H.. aU P..,.,~ 295-5970 1,:/ ; ~ ..ma 6677 95th Street NiIi Monticello, MN 55342 PROPOSAL PROPOSAL SUBMITTED TO: I TO BE PERFOR1vlED AT: Name: ERNlES BAIT I Name: Same Address:, 112 E. BROADWAY ! Address: City, State, Zip MONTICELLO, MN 55362 i City, State, Zip: Attn: RlCH or SIL VIA I Phone: 295.3222 ! WE HEREBY PROPOSE TO FURNISH ALL THE LABOR NECESSARY FOR THE COMPLETION OF: REMODLE FRONT upper with awning 1) Projection based on 36" from front ofbuilding 2) Exposed rafter system undersoffit, construction spf. Log timbers await pricing (not included) 3) Base includes cedar shakes, 8" select tightnot cedar lap siding 41 Material and labor aD Vinylite windows, custom, rough thru finish trim 5) Signs remove and install new, no electrical 0) Demo and garbage removal 7) Pennit City of Monticello 8) Cedar trim boards at perimeter affront and fascia boards 9) 2 x 2 stripping of block and Styrofoam 15 inch "'Price as noted includes all above @........$5144.02 REMODLE FRONT lower wi1h windows aDd doors 1) Log siding itemized 2) Window glass allowance 3) All cnrpentry inclusive . peront fees (additional 63.00) . strip and insulate block wall labor and materials · installation of all exterior log siding, trim boards etc. . all purts iind labor for doors . all thsteners . demo and clean up "'no exterior pointing or staining a1.\owed 539.80 1786.00 2473.70 4,799.50 ALL OF THE ABOVE WORK TO BE PERFORMED IN ACCORDANCE wrrn THE DRAWINGS AND SPECIFICATIONS SUBMmED FOR ABOVE WORK AND COMPLETED IN A SUBSTANTIAL WORK:.'\IANLlKE MANNER. FOR THE SUM OF 9.943.52 ANY ALTERA.TION OR DEVIATION FROM ABOVE SPECIFICATIONS INVOLVING EXTR....\ COSTS \vlLL BE EXECL'TID ONLY UPON WRITTEN ORDERS, A'\1D WILL BECOME AN EXTRA CHARGE OveR AND ABOVE THE ESTIMATE. ALL AGREEMEN"TS CONTINGEN'TUPON STRIKES, ACCIDENTS OR DELAYS BEYOND OUR CONTROL. OWNER TO CARRY FIRE, TORNADO AND OlliER NECESSARY INSURANCE UPON WORK. WORKMAN'S . . . Design Advisory Team Review Team Members Rita Ulrich Susie Wojchouski Pam Campbell Ollie Koropchak (ex-officio) Property Owner Building Address Richard and Sylvia Cline 112 E Broadway Monticello Sketch of Proposed Facade Improvements: -~, ~ """' ~ --"- -- ... ~----'~.'--'_. ..;,::.:c:::.--_ I .. -.........." ..~. ....' .... ~ t '.- j~__, / ""7,. ,rI /:'.r).~ I I~---'.-~"'---"-" .1. D .--~::. tJ~~::-~D. 'j I ...-.---..., ~-.. I - .--. ,.. --'--. "j..-----"" I "~. _.;. -.. - ! 1/1 i i " I ..... " I /, r, .J '-<; ~')~-:--. ~...~. ,'_': -r-" i foe 0' J '/---, G'T! 0 - 0 ;L-j . !fJ,--~_' /7 I . --.-. .- : J/! . ----~- ~ I----=-_~"- _;:._ - c I . d. -\ CJ' [01 u Improvements in conformance with the Design Guidelines: Appropriate siding considering the building's character Top cornice will be accentuated by mass or paint Window signs will be reduced to meet 70% clear guideline Window trim color will appropriate to building's character Upgraded primary sign Improvements in non-conformance with the Design Guidelines: 4 smaller backlit signs on the second story will be reused. Cedar shingled awning will be replaced with the same Design Advisory Team Recommendation: To approve Comments: See attached Date 2 / 4 / 98 I i'o-J ?;('O- f~ ( . C' ,. .J ..,-( ...... \ o V'-." ~ re(''' ~ --H; ~........ . . . In our conversation with Richard Cline on February 4, 1998 we covered the following details of the facade rehabilitation. First, this project is unique in several ways. While in many cases the Design Advisory Team is encouraging property owners to remove the cladding from the building fronts, we are encouraging the Clines to replace the log facade. In the Architectural seminar in September of 1997 Ernie's bait was evaluated by a small group that included the State Historic Architect, Charlie Nelson, consultants Bob Claybough and Jeff Oertel as well as several local attendees. The assessment was that Ernie's Bait has become somewhat of a landmark and the nature of the business contributes to the appropriateness of the log facade. In this case the building's character is defined by the function of the business inside. This is a unique situation and would not be recommended for most other buildings. Even though this building is out of the preferred area for EDA funds, the Design Advisory Team felt the Clines had a great proposal and a building and business worth supporting. The details of the improvements are listed here in lieu of a scale drawing. The existing siding and cedar shake awning will be removed. It will be replaced with horizontal logs from top to bottom. The building will be framed on both sides in either rough-sawn cedar or vertical log and painted in the chosen accent color (dark green). The building top will be a metal cap for weather proofing also painted green to better define the top edge. The small cedar shake awning will be replaced with a larger one, extending farther over the sidewalk for rain protection for the customers. It will be held up with log bracing, again keeping with the lodge-like appearance. City code today requires all protruding building parts to be 8' above the sidewalk. This concerns the Design Advisory Team because it may raise the horizontal division of this building to the point that it looks unbalanced. The Design Advisory Team will look into the issue. The cedar siding will be sealed with a product with a natural finish. The sealant cannot be applied until the logs have cured in place for a year. While all other aspects of this project will be completed within the 270 day limit, it is impossible to complete this. The upper and lower windows will be replaced with ones the same size. The facade grant will l10t include cost of the window replacement. The windows will be trimmed in cedar and painted green which is included in the facade grant. We discussed the guideline regarding 70% of the window space must be clear. The owner will comply. The owners will insulate the front facade but the insulation Will110t be considered in the matching portion of the facade grant. The Ernie's Bait sign will be removed. The owners have designed a new sign with letters painted to look like birch logs which will spell out the business name. The new sign will either be at the top of the building or on the cedar shake awning if the slope of the awning will allow the sign good visibility. The four backlit signs will be used again in their present position. Although backlit signs are generally discouraged, the Design Advisory Team feels these signs contribute to the building's character and are appropriate for its age and function. The signs will be lit to indicate the business is open (very early during fishing and hunting season) but will not be flashing. The guideline of one square foot of signage per one linear foot of storefront gives this property 32 square feet of total sign age. The new sign and the 4 backlit signs will meet this guideline. . . . MINUTES SPECIAL MEETING - MONTICELLO DESIGN ADVISORY COMMITTEE Wednesday, February 4, 1998 - 10:00 am Members: Pam Campbell, Rita Ulrich, Susie Wojchouski Absent: Gail Cole, Ron Hoglund City Staff: Ollie Koropchak Guests: Richard Cline 1. Call to Order. PAM CAMPBELL CALLED THE MEETING TO ORDER. 2. Approval of the minutes of the special meeting held January 16th, 1998. PAM CAMPBELL MADE A MOTION, SECONDED BY RITA ULRICH, TO APPROVE THE MINUTES. Motion carried unanimously. 3 Consideration of a request for a matching facade grant from the Downtown Monticello Revitalization Fund for 112 East Broadway. Applicant, Richard and Sylvia Cline. Members reviewed the application for the Cline Building which includes remodeling the entire facade with horizontal logs on the upper portion to match the existing lower portion with a cedar awning over the lower portion of the building. Members noted that the plans are in keeping with the purpose and character of the building and would be a significant improvement in its appearance. The members noted that although the building is not in the preferred area for the DMRF matching grant funds, they felt strongly that this was a good project, that it would improve the appearance of the downtown area, and that it was in keeping with the intent of the matching grant program. Pam Campbell will write the report to the Economic Development Authority. RITA ULRICH MADE A MOTION, SECONDED BY PAM CAMPBELL, TO APPROVE THE APPLICATION. Motion carried unanimously. 4. Adjourn. SUSIE WOJCHOUSKI MADE A MOTION, SECONDED BY PAM CAMPBELL, TO ADJOURN. Motion carried unanimously. . . . EOA AGENDA FEBRUARY 17, 1998 5. Consideration to Elect 1998 EOA Officers. A. Reference and Backaround. In order to comply with EOA Ordinance Amendment No. 172, section 2-3-2: The Authority shall annually elect a president, vice president, treasurer, assistant treasurer, and secretary. The current list of officers are: President Vice President Treasurer Assistant Treasurer Secretary Ron Hoglund Barb schwientek Rick wolfsteller Ken Maus Ollie Koropchak Nominations will be made at the meeting; therefore, any EOA member unable to attend the meeting and doesn't wish to be re- elected or nominated, please contact me. 1998 EOA membership and terms: Clint Herbst, Council Barb schwientek Bill Oemeules Ron Hoglund Roger Carlson, council Ken Maus Oarrin Lahr 12-1998 12-1998 12-1999 12-2000 12-2000 12-2001 12-2002 B. Alternative Action: 1. Call for nominations from the floor, cease nominations, and approve the nominations as elected 1998 BDA officers. 2. Table election of 1998 officers. c. Recommendation: No recommendation. page 1 . . I EDA AGENDA FEBRUARY 17, 1998 6. Consideration to review and accept the Year-End EDA Financial Statements. Activity Report. and 1998 Proposed Budget. A. Reference and Background: In order to comply with EDA Ordinance Amendment No. 172, Section 2-3-6: The Authority shall prepare an annual budget projecting anticipated expenses and sources of revenue. And B: The Authority shall prepare an annual report describing its activities and providing an accurate statement of its financial condition. Said report shall be submitted to the City Council by March 1 of each year. Enclosed are the year-end statements, proposed budget, and activity report. The EDA will need to review and discuss prior to consideration of the following alternative action. B. Alternative Action: 1. A motion to accept the year-end financial statements and report for submittal to the City Council on February 23, 1998. 2. A motion to accept the year-end financial statements and report subject to named revisions prior to submittal to the City Council. 3. A motion to not accept the year-end financial statements and report. 4. A motion to table any action. C. Recommendation: If the EDA members make findings that the statements and report are so correct, recommendation is alternative no. 1. D. Su.pporting Data: Copies of financial statements and report. 1 . MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY GREATER MONTICELLO ENTERPRISE FUND (GMEF) Balance Sheet December 31, 1997 ASSETS Cash in Bank $458,594.05 Notes Receivable - Tapper, Inc. Notes Receivable - Muller Theatre Notes Receivable - SMM, Inc. Notes Receivable - Aroplax Corp. Notes Receivable - Custom Canopy, Inc. Notes Receivable - Standard Iron Notes Receivable - Vector Tool Notes Receivable - Tapper, Inc. Notes Receivable - SELUEMED Appropriations Receivables - 1997 GMEF 1997 SCREG -0- -0- $ -0- $ 26,668.13 $ 35,855.95 $ 52,853.83 $ 47,352.31 $ 96,044.06 $ 58,910.37 $100,000.00 S100.000.00 . TOTAL ASSETS FUND EOUITY Fund Balance Reserved for Participation Loans (Economic Development) TOTAL LIABILITIES AND FUND EQUITY . $976.278.70 S976.278.70 S976.278.70 . MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY GREATER MONTICELLO ENTERPRISE FUND (GMEF) Statement of Revenues, Expenditures, and Changes in Fund Balance For the Year Ended December 31, 1997 REVENUES Appropriations - 1997 GMEF $ 1997 SCREG $ Interest Income - Notes $ Interest Income - Investment ('96 adj.) $ Loan Fees $ Miscellaneous $ -0- -0- 25,105.35 10,161.52 -0- -0- TOTAL REVENUES $ 35,266.87 EXPENDITURES Legal Fees Professional Fees MCP Architect Seminar Service Fees Miscellaneous Other Int. Adjustment - Notes $ -0- $ 78.75 $ 1,000.00 $ 70.00 $ 10.00 ~ 0 . TOTAL EXPENDITURES ~ 1.158.75 Excess of Revenues Over Expenditures $ 34,108.12 FUND BALANCE - End of Year ~942.170.58 ~976.278.70 FUND BALANCE - Beginning of Year . . MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY GREATER MONTICELLO ENTERPRISE FUND (GMEF) 1998 Cash Flow Projection BEGINNING CASH BALANCE, January 1998 RECEIPTS Appropriations, Expected ~ SCERG UDAG Notes Amortization Payments - Tapper Inc. Muller Theatre SMM, Inc. Aroplax Corp. ($1,241.73 Mo.) 12-99 Custom Canopy, Inc. ($269.03 Mo.) 6-98 Notes Receivable Standard Iron ($795.49 MO.) 7-01 Vector Tool ($380.18 Mo.) 11-00 Tapper's II ($760.36 Mo.) 4-01 SELUEMED ($1,031.01 Mo.) 9-03 T.J. Martin (In $473.95 Mo) 3-05 Interest Income - Investment (est.) oan Fees Miscellaneous TOTAL RECEIPTS TOTAL BEGINNING BALANCE AND RECEIPTS EXPENDITURES GMEF Loans - T.J. Martin, Inc (SCREG) Other DMRF Grants Loans Legal Fees Miscellaneous TOTAL EXPENDITURES EXPECTED CASH BALANCE, December 1998 . $139.183.06 $ 60,816.94 -0- -0- -0- $ 14,900.76 $ 1,345.15 $ 35,157.40 $ 9,545.90 $ 4,562.16 $ 9,124.32 $ 12,372.12 $ 4,265.62 $ 10,000.00 $ 600.00 S 1. 000 .00 $ 87,500.00 $112,500.00 $ 30,000.00 $ 20,000.00 $ 1,000.00 S 500.00 $458,594.05 S302.873.43 $781,039.60 S251.500.00 $529,539.60 1997 ECONOMIC DEVELOPMENT AUTHORITY ACTIVITY REPORT MEETING DATE SUBJECTS Annual Meeting held 2-11-97 EDA officers elected for 1997: President - Ron Hoglund Vice President - Barb Schwientek Treasurer - Rick wolfste1ler Assistant Treasurer - Ken Maus Secretary - Ollie Koropchak Accepted EDA 1996 Year-End Financial Statements and Activity Report. All existing GMEF loan paybacks are current. Discussed the GMEF loan fee for possible reduction. Did not amend as criteria allows for flexibility. Reviewed City Council prioritization List: Establishment of commercial/retail funding program. 4-29-97 Presentation by Rusty Fifield, Ehlers and Associates, on funding options for revitalization of downtown. Voted to continue research. 5-28-97 Received input from Doug and Karen Schneider and Judy Kruse relating to what funding opportunities would be beneficial to property owners. Determined approach and type of funding program for commercial/retail. 6-19-97 Reviewed draft copy of guidelines for commercial/retail finance program. Allocated $200,000 for the assistance program: Matching grants, interior loan program, reimbursement. downtown facade and fee 7-22-97 Approved the Downtown Monticello Revitalization Fund (DMRF) Guidelines for submittal to city council for approval on July 28, 1997. --... Tom Lindquist expressed an interest on behalf of First National to sponsor a 1 loan program to encourage downtown development. Requested the Design Team send out an RFP to architectural firms for a one-day educational seminar for possible EDA funding. Ron Hoglund was appointed the EDA representative to the MCP-Design Team. GMEF Loan No. 001 (Tapper's Inc.) balloon payment of $72,076.91 was reported as paid-in-full. 10-21-97 Tabled any action on DMRF No. 100 for 112 East Broadway (Rich and Sylvia Cline). Approved DMEF No. 101 for 103 Pine Street (Kathy Froslie) in the amount of $5,710. Front and signage facade improvements, $2,500; rear facade improvements, $2,500, and side facade improvements, $710. Approved DMRF No. 102 for 121 West Broadway (Steve Johnson) in the amount of $6,200. Front and signage facade improvements, $2,500; rear facade improvements, $2,500, east side facade improvements, $1,000, and fee reimbursement, $200. Approved expenditure of $1,000 for a one- day training session for members of DAT and others. 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I GREATER MONTICELLO ENTERPRISE :FUND (GMEF) LOAN STATUS December 31, 1997 Economic Development Authority (EDA) was created in 1989. APPROVED LOANS Tapper/Genereux (1990) Muller/Monti Theatre (1990) Barger/Suburban #004 (1992) Schoen/Aroplax #005 (1992) Birkeland/Custom Canopy #006 (1993) Demeules/Standard Iran #007 (1993) Blue Chip Dev/Vector Tool #010 (1995) Tapper's #011 (1996) Standard Iron/Seluemed #013 (1996) $88,000.00 $50,000.00 $50,000.00 $85,000.00 $42,500.00 $75,000.00 $50,000.00 $100,000.00 $70,000.00 TOTAL APPROVED LOANS $610,500.00 LOAN DISBURSEMENTS Liquor Fund: 1991 to Tapper 1992 to Suburban 1992 to Aroplax 1994 to Standard I ran 1995 to Vector Tool 1996 to Standard Iron Total Liquor Fund $73,000.00 $50,000.00 $65,000.00 $75,000.00 $50,000.00 $70,000.00 $383,000.00 UDAG Fund: 1991 to Tapper 1991 to Muller 1992 to Araplax 1993 to Custom Canopy 1996 to Tapper's Total UDAG Fund $15,000.00 $50,000.00 $20,000.00 $42,500.00 $100,000.00 $227,500.00 TOTAL LOAN DISBURSEMENTS $610,500.00 GMEFWK1: 02/11/98 . . , EDA AGENDA FEBRUARY 17, 1998 7. Consideration to review year-end fund balances of the GMEF UDAG... and ERG Funds. A. Reference and Back~round: All GMEF loan payback payments are current as accounted for in the 1997 year-end statements. The approved $87,500 TJ. Martin GMEF Loan No. 014 has not been disbursed from the SCERG fund. Loan 014 is projected to create an additional five jobs within two years at an annual average wages of between $30,000 to $40,000. Ofthe approved $5,710 Kathy Froslie DMRF Matching Grant No. 101, $3,210 has not been disbursed as the Design Advisory Team (DAT) found the front and side facades not complete as approved for funding. DMRF No. 101 becomes null and void on July 21, 1998. The approved $6,200 Steve Johnson DMRF Matching Grant No. 102 has not been disbursed. The FS1-UDAG has two years of payback remaining for a total of approximately $55,000. The Aroplax-SCREG payback to the city ended in January, 1997. Therefore, with no request in 1998 for additional Liquor Funds, no payback from SCREG, two years of UDAG payback remaining, and $199,000 pledged to the DMRF; the EDA-GMEF is or will be self supporting. It is unknown at this time if future Liquor Fund revenues or a portion ofthe revenues will be earmarked to help retire the debt of the proposed NG Training and Community Center. All Regional, State, and Federal loan paybacks are current. Interested parties in the DMRF Matching Grant programs are Rich Cline, Al Loch, Bruce Hammond, Dan Olson, Keith Kjellberg, and JiM (gt6n8.'~ Oafc). Oov('-1:, S.~i tLA.. . 1 SMALL CITIES ECONOMIC RECOVERY GRANT (SCERG) .. AROPLAX . FINANCIAL REPORT December 31, 1997 Payback began in December, 1992 for 7 years ending in November, 1999. Annual principal and interest payback total is $29,801.40. First $100,000 principal payback ends January, 1997. GRANT TOTALS ORIGINAL PAID REMAINING Principal $170,000.00 $127,471.56 $42,528.44 Interest $37,969.92 $24,018.99 $13,950.93 TOTAL $207,969.92 $151,490.55 $56,479.37 Jan. 1997 GMEF STATE Principal $170,000.00 $100,000.00 $70,000.00 Interest $29,634.75 $24,018.99 $5,615.76 TOTAL $199,634.75 $124,018.99 $75,615.76 Grant must be expended by December 31, 1994, up to $170,000. EXPENDED: $116,556.75 1993 . $16,996.18 1993 $12,356.59 1993 $4,021.10 1/18/94 $15,132.50 4/1 3/94 $4,936.88 7/20/94 $170,000.00 REVENUES Principal Payback $127,471.56 Interest Payback $24,018.99 Interest Income - Investment: 1993 $1,061.92 1994 $1,256.00 1995 $5,475.97 1996 $7,381.27 TOTAL REVENUES $166,665.71 EXPENDITURES Payback to State $27,482.65 Transfer to GMEF $0.00 . TOTAL EXPENDITURES $27,482.65 FUND BALANCE FOR SMALL CITIES GRANT $139,183.06 SCERG-AWK1: 02/11/98 . . . URBAN DEVELOPMENT ACTION GRANT (UDAG) - FSI FINANCIAL REPORT December 31, 1997 Payback began in January, 1988 for 12 years ending in January, 2000. Annual principal and interest payback total is $27,971.40. GRANT TOTALS Principal Interest TOTAL ORIGINAL $256,957.71 $78,700.35 $335,658.06 PAID $204,894.61 $74,819.39 $279,714.00 REMAINING $52,063.10 $3,880.96 $55,944.06 REVENUES Principal Payback Interest Payback Interest Income - Investment: 1990 1991 1992 1993 1994 1995 1996 Transfer from GMEF - [company] Transfer from GMEF - [company] $204,894.61 $74,819.39 $6,342.02 $8,593.59 $8,436.32 $5,227.10 $3,756.77 $12,297.72 $9,775.19 TOTAL REVENUES $334,142.71 EXPENDITURES 1991 Transfer to GMEF 1992 Transfer to GMEF 1993 Transfer to GMEF 1996 Transfer to GMEF (Tapper's) $65,000.00 $20,000.00 $42,500.00 $100,000.00 $227,500.00 TOTAL EXPENDITURES FUND BALANCE FOR ECONOMIC DEVELOPMENT $106,642.71 UDAG.WK1: 02/11/98 . . . SMALL CITIES ECONOMIC RECOVERY GRANT (SCERG) - STANDARD IRON FINANCIAL REPORT December 31, 1997 Payback began in July, 1994 for 7 years ending in June, 2001. Annual principal and interest payback total is $33,306.12. GRANT TOTALS Grant must be expended by December 31, 1994, up to $250,000. EXPENDED: $250,000.00 REVENUES Loan Payback Grant Administrative Fee 8/18/94 $116,571.42 $4,165.00 TOTAL REVENUES $120,736.42 EXPENDITURES Reimbursement to Wright County Transfer to GMEF TOTAL EXPENDITURES FUND BALANCE FOR SMALL CITIES GRANT SCERG-SI.WK1: 02/11/98 $115,941.42 $0.00 $115,941.42 $4,795.00 . . , CENTRAL MINNESOTA INITIATIVE FUND (CMI}-') - STANDARD IRON FINANCIAL REPORT December 31, 1997 Payback began in July, 1994 for 7 years ending in June, 2001. Annual principal and interest payback total is $13,322.52. GRANT TOTALS EXPENDED: $100,000.00 $100,000.00 1994 REVENUES Loan Payback $46,628.82 $46,628.82 TOTAL REVENUES EXPENDITURES Reimbursement to Wright County Transfer to GMEF TOTAL EXPENDITURES $46,208.82 $0.00 $46,208.82 FUND BALANCE FOR CENT MN INITIATIVE FUND $420.00 CMIF-SI.WK4: 02/11/98 . TAX INCREMENT FINANCING LOAN 1-14 SUBURBAN FINANCIAL REPORT December 31, 1997 Payback began in May, 1993 for 8 years ending in May, 2000. Semi-annual principal and interest payments total $3522.52 for the year. LOAN TOTALS Principal Interest TOTAL ORIGINAL $19,575.00 $6,843.82 $26,418.82 PAID $11,733.06 $5,879.54 $17,612.60 REMAINING $7,841.94 $964.28 $8,806.22 REVENUES Principal Payback Interest Payback $11,733.06 $5,879.54 $17,612.60 TOTAL REVENUES . EXPENDITURES , TOTAL EXPENDITURES $0.00 FUND BALANCE FOR TIF 1-14 SUBURBAN * $17,612.60 *funds are available only for public improvements TIF14.WK1: 02/11/98 . . . TAX INCREMENT FINANCING LOAN 1-12 AROPLAX FINANCIAL REPORT December 31, 1997 Payback began in May, 1993 for 9 years ending in November, 200l. Semi-annual principal and interest payments total $2369.30 for the year. LOAN TOTALS Principal Interest TOTAL ORIGINAL $15,000.00 $6,323.59 $21,323.59 PAID $7,023.62 $4,822.88 $11,846.50 REMAINING $7,976.38 $1,500.71 $9,477.09 REVENUES Principal Payback Interest Payback $7,023.62 $4,822.88 $11,846.50 TOTAL REVENUES EXPENDITURES TOTAL EXPENDITURES $0.00 FUND BALANCE FOR TIF 1..12 AROPLAX * $11,846.50 *funds are available only for public improvements TIF12.WK1: 02/11/98 . GMEF Cash Balance DMRF Cash Balance UDAG Cash Balance SCREG-Aroplax Cash Balance Subtotal Less T.J. Martin (SCREG) Kathy Froslie TOTAL USES OF FUNDS . . USES OF FUNDS January 1, 1998 $259,594.05 $199,000.00 $106,642.71 $139,183.06 $704,419.82 $ 87,500.00 S 3.000.00 $613,919.82 . . . EDA AGENDA FEBRUARY 17, 1998 8. Consideration of Executive Director Report. a) 103 Pine Street - Enclosed is a copy ofDAT findings relating to DMRF No. 101 and 103 for Kathy Froslie. The rear facade matching grant of $2,500 and the fee reimbursement of$500 was disbursed February 6, 1998. b) Design Advisory Team (DAT) - DAT is now an official advisory team to the Planning Commission for the Central Community District (CCD). This through either the Revitalization Plan as part of the Comprehensive Plan or the establishment of the CCD. Members are Pam Campbell, Ron Hoglund, Rita Ulrich, Gail Cole, Susie Wojchouski. Fred Patch and Ollie Koropchak serve as ex- officio. Officers are as follows: Chair, Pam Campbell~ Vice Chair, Ron Hoglund~ and Secretary, Rita Ulrich. Secretary is a semi-annual rotating position. Bylaw will be written and DAT is subject to open meeting laws. The group will meet once a month and will review all building and landscaping designs within the CCD. c) GMEF Loan No. 014 - Loan No. 014 for TJ. Martin (Lake Tool, Inc.) has not been disbursed because the company elected not to purchase the Mitsubishi EX8 CNC EDM in the amount of $130,000 and in exchange elected to purchase a Makino EDMC-43 including MR-C Axis in the amount of $223,000. Marquette Bank has disbursed their portion and the remait'ling portion other than the GMEF dollars will be financed through a lease finance program. Originally, this was planned for SBA financing. The amount of the GMEF remains the same as approved by the EDA $87,500. An executive decision by EDA Chair Hoglund and Executive Director accepted the change with evidence of bank commitment and copy of lease agreement. The Makino has greater capabilities and is an overall better machine. 1 . . . draft MOllticcllo COlnl))U 11itYP~lrtllers PO. Box 984 · Monticello, MN 55362 Design Advisory T earn Friday, January 16,1998,11:30 am Monticello Area Chamber of Commerce Office Members Present: Members Absent: Meeting Minutes Pam Campbell, Ron Hoglund, Rita Ulrich Gail Cole, Susie Wojchouski Those present went to see the work on the Froslie property at 103 Pine Street. After viewing the building, members agreed tharneorth side of the building had been complf!ted, but suggested that all of the window trim on the north and west sides of the build'n1atch. There was also some debris left on site. No work has been started on the east facfng entrance of the bUilding. Members noted that the main entrance to the building on the South side did not have all of the work completed as proposed in Ms. Froslie's application. The steel columns are to be painted and the lower portion enclosed with brick. The metal railing around the entrance were to be replace with brick fin walls. The remainder of the work appeared to be completed. Action: The Design Advisory Team approved the work on the rear facade, and tabled any decision on the east and north sides until the work is completed. 1/19/98 RU <<From: To: Ollie s:: WM: Dilte: 3110/88 Time: 15:43:17 IIlIge 1 of 1 Attn: Ollie "'- '..... 11 Martin, Inc. 1341 Dundas Circle, Monticello, MN 55362 phnn.e: (6i2) 295-6655 Fax: (6.1.2) 295.6555 I' I ,L I, r I (} "Ii' ", ." \ :,.., . .::',:' :'.' ;', , . . I' . .. ... ;~.. TOI Productivity I Inc. 15150 15th Ave N M.inneal'nli., MN 55447 DATE ORDERED: 2..10.18 ~~.'~~~Qr, .,....... ~~17.'1~ i":: . '" i. Qb. Dellc..i nUn,. I:. r 1~: 1 Makino EDMC43 including MR~C Axis 16 Position Tool Changer 3R Macro Chuck Video - Serial *0470092 Tote I $223,000.00 Down Payment ($2.000.00) Remaining Due $221,000.00 !'. j:' i~ . V I:. ~::: ~. ,.~ k ,- ( I i'- t1:;: r;- r i~~ ~. \. f./ f; rr I: (;. ~:~' t.~. t. . ~ f t> ~ ['