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EDA Meeting Minutes - 8/14/2024 (Workshop)MINUTES WORKSHOP -ECONOMIC DEVELOPMENT AUTHORITY (EDA) Wednesday, August 14, 2024 — 5:00 p.m. Academy Room, Monticello Community Center Commissioners Present: President Steve Johnson, Vice President Jon Morphew, Treasurer Hali Sittig, 011ie Koropchak-White, Rick Barger, Mayor Lloyd Hilgart Commissioners Absent: Councilmember Tracy Hinz joined the meeting at 5:11 pm. Staff Present: Executive Director Jim Thares 1. Call to Order a. President Steve Johnson called the workshop meeting to order at 5:03 p.m. 2. Roll Call a. President Johnson called the roll. 3. Marketing Materials Review and Discussion Jim Thares, Economic Development Manager presented the item. Previously the EDA authorized AES2 to create marketing materials. Mr. Thares gave a brief review of the brochure. Discussion was held as to who the target audience is and how to reach them. The EDA shared comments and Mr. Thares will compile them and bring back the suggestions to AES2. 4. Rustech Microbrewery GMEF Loan Discussion Jim Thares, Economic Development Manager presented the item. Rustech plans to move out of its current location Thursday, August 15, 2024. The EDA's GMEF Loan documents state the equipment is located at that address. When the equipment is removed from the building, they will be in default on their GMEF Loan. The EDA can try to collect; however, the EDA attorney cautions against that action. The owner intends to pay $5,000 to $10,000 this week bringing the loan balance to $$54,000 to $49,000. The loan is current as monthly payments are being made. The owner is not has indicated that they do not intend to file for bankruptcy and prefer to continue to work with the EDA to pay off the loan. Mr. Johnson inquired if the EDA has a UCC filing against the equipment. He presented the question as should the EDA modify the loan so he can move the equipment or keep Rustech in default so the EDA can recover the equipment at anytime they choose. Jim Thares responded that yes the EDA has a UCC filing on specific identified equipment which was renewed in 2023. Further discussion was held. Staff recommends the EDA continue to work with the owner. 5. GMEF and SCDP Fund Balance Discussion Mr. Thares presented the current loan balances for GMEF and SCDP. Staff suggested the EDA consider a minimum fund balance. EDA members noted that they would prefer to have the flexibility to look at all potential loan requests and if at some point the future, there is insufficient loan balance, then they would determine how to proceed with a request at that time. 6. Adjournment TRACY HINZ MOVED TO ADJOURN THE WORKSHOP MEETING OF THE MONTICELLO EDA. JON MORPHEW SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 7-0. MEETING ADJOURNED AT 5:58 P.M. Recorder: Vicki Leerhoff4 Atte Jim T are Economic Development Manager