EDA Minutes - 11/08/2023MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, November 08, 2023 — 6:00 p.m.
Mississippi Room, Monticello Community Center
SPECIAL MEETING — ECONOMIC DEVELOPMENT AUTHORITY
4:00 p.m. - Monticello Community Center
• EDA Land Holdings Strategic Planning and Development Objectives
Commissioners Present: President Steve Johnson, Treasurer Hali Sittig, 011ie Koropchak-
White, Rick Barger, Mayor Lloyd Hilgart and Councilmember Tracy
Hinz
Commissioners Absent: Vice President Jon Morphew
Staff Present: Executive Director Jim Thares, Hayden Stensgard
1. General Business
A. Call to Order
President Steve Johnson called the regular meeting of the Monticello EDA to order
at 6:10 p.m.
B. Roll Call 6:00 p.m.
Mr. Johnson called the roll.
C. Consideration of Additional Agenda Items
None
2. Consent Agenda
A. Consideration of Payment of Bills
B. Consideration of Approving Regular Meeting Minutes — October 11, 2023
HALI SITTIG MOVED TO APPROVE THE NOVEMBER 8, 2023 REGULAR MEETING CONSENT
AGENDA. OLLIE KOROPCHAK-WHITE SECONDED THE MOTION. MOTION CARRIED
UNANIMOUSLY, 6-0.
3. Public Hearing
A. Consideration of adopting EDA Resolution No. 2023-11 the Monticello Business
Subsidy Policy as amended, based on findings in Resolution No. 2023-11
Executive Director Jim Thares provided an overview of the agenda item to the EDA
and the public. With the City's consideration of instituting the use of Tax Abatement,
an amendment to the business subsidy policy was recommended. The amendment
identifies the new tax abatement program that is administered by the City. The
proposed amendment would also bring the policy's language into alignment with
recent statutory requirements, including establishing a minimum wage requirement
when job creation is a factor in granting a subsidy.
Rick Barger asked staff why the proposed policy includes a minimum wage
requirement set at double the state minimum wage. Mr. Thares said that this
conclusion resulted from information pointed out within the 2023 housing study
update. Monticello is below average in community wages when compared to the
rest of Wright County. Mr. Thares said this goal is not necessarily a requirement in
every request for tax abatement, though it does establish that the City is committed
to raising that average wage number within the community.
Mr. Johnson asked if the wage requirement means every job created must be
double the state's established minimum wage, or if it is an average of all potential
jobs created. Mr. Thares clarified that it would be the average between the total
jobs created.
Mr. Johnson opened the public hearing portion of the agenda item.
Mr. Johnson closed the public hearing portion of the agenda item.
TRACY HINZ MOVED TO ADOPT THE MONTICELLO BUSINESS SUBSIDY POLICY AS
AMENDED, BASED ON FINDINGS IN RESOLUTION NO. 2023-11. RICK BARGER
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 6-0.
4. Regular Agenda
A. Consideration of adopting EDA Resolution No. 2023-12 Authorizing a Purchase
Agreement with Riverwood Bank in the amount of $415,000 for 14.16 acres of
vacant REO land, to be platted as Outlot A, Great River Second Addition, as well as
Outlot A, Great River Addition (4.81 acres), along 7t" St. West (PID #155226000020
(partial)
Mr. Thares provided an overview of the agenda item to the EDA and the public.
Previously, the EDA met in a closed meeting to discuss potential acquisition of the
noted property. Acquisition of the vacant parcel will expand the opportunity for
economic development consistent with the Monticello 2040 Vision + Plan. The site's
land use designation is Commercial and Residential Flex, allowing for flexibility for
compatible and supportive uses.
LLOYD HILGART MOVED TO ADOPT RESOLUTION 2023-12 AUTHORIZING A
PURCHASE AGREEMENT WITH RIVERWOOD BANK FOR THE ACQUISITION OF
PROPERTY TO BE PLATTED AS OUTLOT Al GREAT RIVER SECOND ADDITION (14.16
ACRES) OF VACANT -UNDERUTILIZED LAND AS WELL AS OUTLOT A, GREAT RIVER
ADDITION, A 4.81-ACRE PARCEL WITH A STORMWATER DRAINAGE POND, BOTH OF
WHICH ARE LOCATED ON 7T" STREET WEST, IN THE AMOUNT OF $415,000. TRACY
HINZ SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 6-0.
B. Consideration of Requesting the City Council to grant a deferral of Special
Assessments payments for 14.16-acre parcel soon to be platted as Outlot A, Great
River Second Addition, along 71" St. West (PID #155226000020 (partial)
Mr. Thares provided an overview of the agenda item to the EDA and the public.
Connected to the previous item on the agenda, the EDA was asked to formally
request that the City Council extend the payment deferral of the special assessments
levied against the 14.16-acre parcel that is anticipated to be purchased by the EDA.
Mr. Barger asked for clarification on when these proposed deferred assessments
would be paid. Mr. Thares clarified that when the EDA sells the property for
development, the deferred assessments would be paid at that time.
RICK BARGER MOVED TO REQUEST THE CITY COUNCIL EXTEND DEFERRAL OF
PAYMENTS OF PUBLIC IMPROVEMENT SPECIAL ASSESSMENTS LEVIED AGAINST THE
14.16-ACRE RIVERWOOD BANK PARCEL, SOON TO BE PLATTED AS OUTLOT A, GREAT
RIVER SECOND ADDITION, ALONG 7T" STREET WEST, CONTINGENT ON EDA
OWNERSHIP OF THE PROPERTY. OLLIE KOROPCHAK-WHITE SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY, 6-0.
C. Consideration of EDA Resolution No. 2023-13 authorizing an Interfund Loan for
advance of certain costs in connection with a Tax Increment Financing (TIF) District
related to acquisition of the vacant 14.16-acre Riverwood Bank parcel, soon to be
platted as Outlot A, Great River Second Addition, along 7t" Street West
Mr. Thares provided an overview of the agenda item to the EDA and the public. By
adopting the interfund loan resolution, the EDA's immediate costs of acquiring the
Riverwood Bank parcel and other related expenses connected to the purchase are
considered a "loan or funding advance" and may be reimbursed through tax
increments generated in a future Tax Increment Financing (TIF) district.
OLLIE KOROPCHAK-WHITE MOVED TO ADOPT RESOLUTION 2023-13 APPROVING AN
INTERFUND LOAN FOR ADVANCE OF CERTAIN COSTS RELATED TO EDA ACQUISITION
OF REAL PROPERTY LOCATED ALONG 7T" STREET WEST IN CONNECTION WITH A
FUTURE TAX INCREMENT FINANCING (TIF) DISTRICT. HALI SITTIG SECONDED THE
MOTION. MOTION CARRIED UNANIMOUSLY, 6-0.
5. Other Business
A. Consideration of Economic Development Manager's Report
Mr. Thares provided an overview of the agenda item to the EDA and the public.
6. Adjournment
TRACY HINZ MOVED TO ADJOURN THE REGULAR MEETING OF THE MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY. SECONDED THE MOTION. HALI SITTIG MOTION
CARRIED UNANIMOUSLY, 6-0. MEETING ADJOURNED AT 7:06 P.M.
Recorded By: Hayden Stensgard
Date Approved: December 13, 2023
ATTEST:
Jim hares, Exeriutive Director