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EDA Agenda - 06/11/2025AGENDA REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Wednesday, June 11, 2025 – 6:00 p.m. Mississippi Room, Monticello Community Center Commissioners: President Steve Johnson, Vice President Jon Morphew, Treasurer Hali Sittig, Rick Barger, Clint Berglof, Councilmember Tracy Hinz, Mayor Lloyd Hilgart Staff: Executive Director Jim Thares, Rachel Leonard, Angela Schumann, Tyler Bevier, Sarah Rathlisberger 1. General Business A. Call to Order B. Roll Call 6:00 p.m. 2. Approval of Agenda Approval of Agenda – EDA members or the Executive Director may add items to the agenda for discussion purposes or approval. The EDA may or may not take official action on items added to the agenda 3. Consent Agenda A. Consideration of Payment of Bills B. Consideration of Approving Workshop Meeting Minutes – May 14, 2025 C. Consideration of Approving Regular Meeting Minutes – May 14, 2025 D. Consideration of Approving Regular Meeting Minutes – May 28, 2025 4. Public Hearing N/A 5. Regular Agenda A. Consideration of authorizing Chalk Fest Marketing Sponsorship in the amount of $5,000 B. Consideration of Update - 1st Qtr. 2025 Financial Reports ECONOMIC DEVELOPMENT AUTHORITY WORKSHOP MEETING (Academy Room) 5:00 p.m. Direct Housing Aide and Housing Trust Fund Ordinance Review-Discussion 5:30 p.m. Historic Plaque Signs Review-Discussion EDA Regular Meeting Agenda – 06/11/2025 2 6. Other Business A. Consideration of Economic Development Manager’s Report • BR&E Visit Updates • Project Updates • EDAM Conference • EDAM Legislative Update Info • Prospect List 7. Adjournment User: Printed:05/07/2025 - 2:39PM julie.cheney@monticellomn.gov Transactions by Account Batch:00201.05.2025 Accounts Payable Account Number Vendor AmountGL DateDescription Check No PO No 213-46301-415100 BITCO INSURANCE COMPANIES Work Comp Audit Adjustment 129975 105.0005/13/2025 105.00Vendor Subtotal: 213-46301-430400 KUTAK ROCK LLP General EDA Matters - Feb/ March 2025 129997 920.0005/13/2025 213-46301-430400 KUTAK ROCK LLP Block 34 Redevelopment - March 2025 129997 791.6005/13/2025 1,711.60Vendor Subtotal: Subtotal for Fund: 213 1,816.60 Report Total: 1,816.60 AP-Transactions by Account (05/07/2025 - 2:39 PM)Page 1 User: Printed:05/30/2025 - 2:33PM julie.cheney@monticellomn.gov Transactions by Account Batch:00203.05.2025 Accounts Payable Account Number Vendor AmountGL DateDescription Check No PO No 213-00000-103010 NATIONAL BANK OF COMMERCEFacade Improvement - Nordic Taphouse 130073 111,000.0005/28/2025 111,000.00Vendor Subtotal: 213-46301-431990 GROMBERG & ASSOCIATES LLC UMC Funding Structure; Project Corona RFP 130057 1,530.0005/28/2025 1,530.00Vendor Subtotal: 213-46301-435100 ECM PUBLISHERS INC PH Nordic Brewing Ad# 1466338 0 186.5005/28/2025 186.50Vendor Subtotal: Subtotal for Fund: 213 112,716.50 Report Total: 112,716.50 AP-Transactions by Account (05/30/2025 - 2:33 PM)Page 1 User: Printed:05/19/2025 - 9:38AM julie.cheney@monticellomn.gov Transactions by Account Batch:00202.05.2025 Accounts Payable Account Number Vendor AmountGL DateDescription Check No PO No 213-46301-433100 US BANK CORPORATE PMT SYSTEMST CLOUD PARKING - Parking @ Conference (JT) 0 10.0005/15/2025 213-46301-433100 US BANK CORPORATE PMT SYSTEMMN DEPT OF EMPLOYMENT & ECON DEV - 2025 Redevelopment Conference Registration (JT) 0 225.0005/15/2025 235.00Vendor Subtotal: 213-46301-438200 CITY OF MONTICELLO 216 Pine St (EDA - old Finders Keepers consignmt by old DMV) 0 53.8205/15/2025 213-46301-438200 CITY OF MONTICELLO 130 Broadway E. (EDA strmwtr - formerly the Zoo) 7/3/2019 new fee 0 31.5005/15/2025 85.32Vendor Subtotal: 213-46301-443990 US BANK CORPORATE PMT SYSTEMMONTICELLO CHAMBER OF COMMERCE - Chamber Lunch - April (JT) 0 20.0005/15/2025 213-46301-443990 US BANK CORPORATE PMT SYSTEMWALMART - Food Special Mtg - EDA 0 76.4805/15/2025 96.48Vendor Subtotal: Subtotal for Fund: 213 416.80 Report Total: 416.80 AP-Transactions by Account (05/19/2025 - 9:38 AM)Page 1 User: Printed:06/02/2025 - 2:26PM julie.cheney@monticellomn.gov Transactions by Account Batch:00204.05.2025 Accounts Payable Account Number Vendor AmountGL DateDescription Check No PO No 213-46301-431991 DEMVI LLC Parking Lot Maintenance - May 2025 0 213.8605/31/2025 213.86Vendor Subtotal: 213-46301-438100 CENTERPOINT ENERGY 12045691-8 - 216 Pine St 0 157.4605/31/2025 157.46Vendor Subtotal: 213-46301-438100 XCEL ENERGY 101 E 3rd St (216 Pine St) - formerly Finders Keepers 0 40.4805/31/2025 40.48Vendor Subtotal: Subtotal for Fund: 213 411.80 Report Total: 411.80 AP-Transactions by Account (06/02/2025 - 2:26 PM)Page 1 The preceding list of bills payable totaling $115,361.70 was approved for payment. Date: 6/11/25 Approved by:___________________________________________ Hali Sittig - Treasurer MINUTES WORKSHOP MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Wednesday, May 14, 2025 – 4:45 p.m. Academy Room, Monticello Community Center Commissioners Present: President Steve Johnson, Vice President Jon Morphew, Clint Berglof, Mayor Lloyd Hilgart, Councilmember Tracy Hinz Commissioners Absent: Treasurer Hali Sittig, Rick Barger Staff Present: Executive Director Jim Thares, Community Development Director Angela Schumann 1. Call to Order President Steve Johnson called the workshop meeting of the Monticello Economic Development Authority to order at 4:55 p.m. 2. Roll Call 4:55 p.m. Mr. Johnson called the roll. 3. Block 34 Preliminary Development Agreement Update-Discussion Executive Director Jim Thares provided an overview of the agenda item concerning the preliminary development agreement (PDA) with Kraus-Anderson (KA) Development Co. and the EDA for Block 34. He noted the language revisions regarding “Exclusive Developer” versus “Master Developer” and the role of KA for all tasks relating to land entitlement, site layout and development of the potential Christensen Group (CG) office building, though not the actual construction of the Christensen Group facility. He further referred to the concept meeting held earlier in the year and to the CG’s desire to construct a 10,000 square foot one-level office building, though with rising overall costs, CG is further analyzing the merits of a new building (ownership or rental) versus renewing a lease at their current office in Monticello that provides additional space. Community Development Director Angela Schumann noted the preliminary nature of the agreement and its intent to offer flexibility to the EDA and the developer now. In short, it is an agreement to work towards a final development agreement that meets the needs of all parties involved. Steve Johnson said it is somewhat open-ended allowing the ability to build at the southwest corner of the block without questions to “if” or “when and pondered that it may serve as a Statement of Intent. All commissioners similarly view the document as needing to reflect the previous discussions with the parties involved as to the intent of allowing CG to decide if a new building is the best path for their situation or if not then KA can proceed with its own concept in sort of a carte blanche approach. EDA Workshop Meeting Minutes – 05/14/2025 2 Clint Berglof asked about the status of the current CG office and Jim Thares noted the location, and lease ending date of September 2026. Angela Schumann stated the preference by KA is to move in a methodical way forward, and factoring in the location of the wells on-site and the plans to potentially relocate the wells. She further noted that the City Council continues to discuss coordinating the relocation of the Block 34 wells with the opening of the new water treatment facility in 2028. Jim noted the 14-month timeline in the PDA; 12 months for due diligence with a 2-month extension. Lloyd Hilgart confirmed the well relocation timeline is best tied to the new water treatment plant Steve Johnson asked if the vacant 4th Street NE property owned by the EDA would be a potential new site for the wells. Jim noted that initial studies indicate that the aquifer in this area may be adequate, pending further final studies. Angela Schumann agreed that is a strong possibility. She further reminded the Commissioners that the PDA will come back to the EDA once additional edits are completed. 4. EDA Land Holdings Review and Discussion Angela Schumann reminded the EDA of the property holdings workshop discussion held in November 2023 regarding prioritizing development timelines and what Commissioners envisioned for the best use of their land. She noted that this is an effort to reaffirm the EDA’s thoughts and priorities on the various land sites. She stated that the comprehensive plan and the downtown small area plan were also contributing factors for the drafted overview pertaining to the feasibility work. The EDA priorities were also factored in along with concept development projects and potential timeframes toward completion. Jim Thares identified the parcels and solicited EDA comments about the various sites. River Street Mayor Hilgart said this lot has little value unless combined with the neighboring parcel or if used for parking spaces. Councilmember Tracy Hinz agreed to keep this item as a low priority as noted. 349 West Broadway (former Fred’s Auto) Jim Thares stated the space is currently used for MontiArts as utility space and reported on the lease expiring in August. He noted the neighboring former post office building as larger potential redevelopment concept consideration. Steve Johnson suggested a daycare center might be a good prospect if demolishing the old post office and former Fred’s occurs and noted the building to the east has “for rent” signs displayed. Mayor Hilgart noted the aged condition of the building. Tracy Hinz agreed that it is a low priority and that MontiArts should continue to utilize the former Fred’s building. Block 36 Jim Thares said the EDA owns a small narrow parcel on the same block which is part of the EDA Workshop Meeting Minutes – 05/14/2025 3 parking lot in the core of the Block and is covered through an easement. Beef O’Brady’s customers and other businesses use this parking lot. The EDA contributes funding to the parking maintenance through the easement agreement. Tracy Hinz asked why the EDA purchased the parcel. Jim Thares said it was due to the potential for the greenspace and connecting the parking area to the street sidewalk; an initiative dating back to 2018. The lot is quite small, yet still buildable. Angela Schumann stated this parcel is within the CCD business district downtown and addressed scenarios in how the City might use the space with anticipation for growth and renewed downtown vitality while factoring development of the surrounding area. Mayor Hilgart noted the fees incurred by the City as being the only loss and suggested discussing with existing businesses to possibly offer the use of the space for outdoor seating. Steve Johnson suggested picnic tables supplied by the Rotary could be relocated to the site for community use or other landscaping means to make it accessible for walking. Tracy Hinz asked about food trucks selling on the lot. Angela Schumann noted the 500-foot setback distance from another restaurant, which would not allow the food trucks to be located here. Angela Schumann suggested that the EDA consider changing the priority of this project from low to medium or revisit it again in 6 to 12 months. Lloyd Hilgart said that the EDA should not be in a rush to sell the parcel though it should be used to benefit the downtown community. If someone came forward and wanted to build on the small lot, then we should allow them the opportunity to buy it then. Cedar Street Site Jim Thares stated this location is close to the Block 34 site. He described efforts with the developer that was encouraged to consider potential housing on the site in the fall of 2024. He also noted that with the site being in the core area of downtown it is an attractive site and may offer a range of potential concepts. Tracy Hinz said the site would be a great opportunity for the EDA to challenge themselves to envision how suitable affordable housing might be a creative approach and suggested multiple dwellings and accessory buildings. Steve Johnson envisioned row housing with access off Cedar Street with parking to the north and mentioned his office is in the building just east of the site and suggested collaborating with that property owner on access points or possibly acquisition of the adjacent properties to consolidate land area into a complete frontage redevelopment effort here. Mayor Hilgert noted other development options may work as well. If the EDA would EDA Workshop Meeting Minutes – 05/14/2025 4 continue to envision this as an affordable housing development, the EDA may want to consider if adequate space is available for garages and how the parking would work. Similarly, to Block 52, Ms. Schumann stated an RFP is possible, if desired. Steve Johnson noted that pedestrians and heavy traffic on Highway 25 are concerns related to Block 52 which will likely become more of a desirable location for downtown visitors. Lloyd Hilgert noted parking availability at the sliding hill and potential new parking in the downtown area. Angela Schumann stated the priority for this stie is likely high and suggested that the EDA determine what it would like to see developed at the site, so staff have full understanding when holding future discussions with potential developers. Staff will try to bring this site back to the EDA for more direction within the future 12 to 15 months. Tracy Hinz suggested to think creativity about affordable or senior housing outside of the traditional scope and spoke about how some cities use the Charles Marohn “Strong Towns” framework. Steve Johnson asked if active promotional marketing is occurring for this site. Jim Thares responded that it is listed on CoStar. Steve further asked if the EDA should be advertising the sale of the site more proactively. Mayor Hilgert said the board should determine its vision before aggressive marketing. Mr. Angela Schuman said, in July as part of the EDA budget discussion, staff are hoping to have more marketing discussions with the EDA regarding various potential promotional campaigns. 4th & Palm No changes – Commissioners agreed to leave the site as-is for potential municipal wells in the future. 7th Street West (former Riverwood Bank property) Jim Thares spoke on the 14.16 quality acres rated as a high priority and the recent closed meeting and the follow-on steps which will be back to the EDA later this summer for further guidance and direction. Otter Creek Business Park Jim Thares noted that Otter Creek Business Park (OCBP) has 53.49 usable acres (also includes 5 non-buildable acres). He noted recent inquiries related to a prospective developer. Angela Schumann added that staff are asking the developer to submit a proposal to review with the EDA. Lloyd Hilgert suggested another local entity may have an interest in one of the OCBP sites as well. Tracy Hinz recognized the efforts by Jim Thares and appreciates his efforts. EDA Workshop Meeting Minutes – 05/14/2025 5 Steve Johnson indicated that a build-to-suit situation might make sense for the interested parties. 5. Adjournment TRACY HINZ MOVED TO ADJOURN THE WORKSHOP MEETING. CLINT BERGLOF SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 5-0. MEETING ADJOURNED AT 5:52 P.M. Recorder: Anne Mueller Approved: July 9, 2025 Attest: ____________________________ Jim Thares, EDA Executive Director MINUTES REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Wednesday, May 14, 2025 – 6:00 p.m. Mississippi Room, Monticello Community Center Commissioners Present: President Steve Johnson, Vice President Jon Morphew, Mayor Lloyd Hilgart, Councilmember Tracy Hinz Commissioners Absent: Treasurer Hali Sittig, Rick Barger Staff Present: Executive Director Jim Thares, City Administrator Rachel Leonard, Community Development Director Angela Schumann, Finance Director Sarah Rathlisberger 1. General Business A. Call to Order President Steve Johnson called the regular meeting of the Monticello Economic Development Authority to order at 6:00 p.m. B. Roll Call 6:00 p.m. Mr. Johnson called the roll. C. Oath of Office Administration – Clint Berglof President Johnson administered the Oath of Office to Clint Berglof. 2. Consideration of Additional Agenda Items None Mr. Johnson explained Robert’s Rules used by the governing body of the Economic Development Authority (EDA) to the Commissioners, staff, and potential audience members who wish to speak at public hearing later in the agenda. 3. Consent Agenda A. Consideration of Payment of Bills B. Consideration of Approving Workshop Meeting Minutes – April 9, 2025 C. Consideration of Approving Regular Meeting Minutes – April 9, 2025 D. Consideration of Approving Special Meeting Minutes – April 23, 2025 VICE PRESIDENT JON MORPHEW MOVED TO APPROVE THE CONSENT AGENDA. TRACY HINZ SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 5-0. WORKSHOP MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Monticello Community Center - Academy Room 4:45 p.m. Block 34 Preliminary Development Agreement Update-Discussion 5:00 p.m. EDA Land Holdings Review and Discussion EDA Regular Meeting Minutes – 05/14/2025 2 4. Public Hearing A. Business Subsidy - Nordic Taphouse – Consideration of EDA Resolution 2025-02 - Façade Improvement Forgivable Loan in the amount of $111,000.00 Executive Director Jim Thares provided an overview and background of the item to the EDA and the public related to proposed Facade Improvement Forgivable Loan funding to the Nordic Brewing Co. LLC DBA Nordic Tap House. Mr. Thares noted the applicant’s business operations, intentions for relocation this summer, and the status of and quotes for the exterior upgrades to the façade including new channel letter illuminated signage, extensive stucco repair, and painting. Mr. Thares spoke about the financial intricacies involving the agreement conjoined with the progress of the project, also operating adjacent to the pre- existing improvement projects outside of the eligible project scope, with a total exterior cost of just under $216,000.00. Mr. Thares also noted the most recent EDA approval of a Façade Improvement Forgivable Loan funding for a property in Block 52 totaling over $100,000.00 for improvements to three visible sides of the building. Staff took comments from the Commissioners at the past workshop meetings along with the amounts for all project components into consideration for the loan proposal. Mr. Thares pointed out that the total proposed loan of $111,000 is a deviation from the policy and past approvals. With that as background, he further stated that staff recommend EDA approval of Facade Improvement Forgivable Loan funding to the Nordic Brewing Co. LLC DBA Nordic Tap House in the amount of $100,000. Staff defer to the EDA regarding the additional $11,000 in Facade Improvement Forgivable Loan funding to Nordic Brewing Co. He noted the building has four very visible sides in a key redevelopment block in the core downtown area. The impact from completed facade improvements at the Nordic building will be visible and immediate. President Johnson opened the public hearing portion of the agenda item. Mr. Johnson asked the applicant to explain to the justification for the additional $11,000.00, deviating from the EDA policy. Zach Barthel, applicant and owner of the Nordic Brewing Co. LLC, said he was improving the look of the building and functionality of the building to be a community gathering spot in the core of the City with a goal of bringing more people to the City. He noted his activity in the community dating back to 2017. He pointed out that he has not seen progress in creating an entertainment venue downtown in his time in the community. Mayor Hilgert recalled the increased loan amount was suggested by EDA member Tracy Hinz at the previous workshop. Ms. Hinz affirmed that was correct. She said EDA Regular Meeting Minutes – 05/14/2025 3 that she suggested this loan amount based on the highly visible location of the building, and the demonstration of the applicant’s commitment to the community, and fierce dedication toward success of this project. Mr. Barthel also spoke with appreciation and recognition of the grants and funding assistance from the City and the EDA and noted his own financial commitment to the improvement project. Jon Morphew said he was in favor of the amount of $110,000.00, though he might oppose this if other applicants were also wanting to access these funds at the same time. He feels that the business model will bring critical mass for the City and would prefer to see the exterior improvements completed versus it remaining in its current condition. Mr. Johnson asked the applicant if he intended to include a fourth and final elevation plan to accompany the three others submitted with the proposal, noted the south side of the building. Mr. Barthel noted the photo on the depiction with the garage doors at current state and his plans for construction and stucco work related to several large garage door openings. Mr. Johnson asked Mr. Barthel if he is committed to the agreement as proposed. Mr. Barthel stated that he understands and that he is committed, and he guarantees to get the work done. Steve Johnson closed the public hearing portion of the agenda item. JON MORPHEW MOVED TO ADOPT RESOLUTION EDA RESOLUTION 2025-02 APPROVING A FAÇADE IMPROVEMENT LOAN TO NORDIC BREWING CO. LLC DBA NORDIC TAP HOUSE IN THE AMOUNT OF $111,000, CONTINGENT UPON EXECUTION OF THE REQUIRED LOAN AGREEMENT AND PROMISSORY NOTE BY THE APPLICANT AND COMPLIANCE WITH CASH MATCH REQUIREMENTS AND BASED ON FINDINGS TO BE MADE BY THE EDA. CLINT BERGLOF SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 5-0. 5. Regular Agenda A. Consideration of Accepting Phase II Environmental Site Assessment (ESA) 216 Pine Street (Block 34) Executive Director Jim Thares provided an overview on the agenda item to the EDA. LLOYD HILGERT MOVED TO ACCEPT THE PHASE II ENVIRONMENTAL SITE ASSESSMENT (ESA) REPORT RELATED TO 216 PINE STREET AND ADJACENT CITY OWNED PARCEL (PID #155010034020). CLINT BERGLOF SECONDED THE MOTION. Steve Johnson spoke to the vast 300-page report and, noting the concept for an EDA Regular Meeting Minutes – 05/14/2025 4 office building on this site, and asked if future soil borings will be taken at the site upon development onset. Jim Thares confirmed he believed there may be additional soil tests at that point in time. MOTION CARRIED UNANIMOUSLY, 5-0. B. Economic Development Manager’s Report Mr. Thares provided an overview of the following items to the EDA and the public. • Downtown Façade Forgivable Loan Progress • Historic Sign Plaque Update • EDA Attorney Update • Business Retention & Expansion (BR&E) Efforts • UMC Expansion Project 2022 MIF Grant Status • Equipment Sale for Rustech Brewing, LLC Update (GMEF Loan) • Multi-Family Housing Market Update • Commercial-Industrial Project Updates • Building Permit Update – Quarter 1 – 2025 • Prospect List No action was taken. C. Adjournment The EDA adjourned at the regular meeting at 6:43 p.m. and entered a closed meeting to discuss the agenda items below. Closed Session - Consideration of adjourning to Develop or Consider Offers or Counteroffers for the Purchase or Sale of Real or Personal Property Pursuant to Minnesota Statute 13D.05, Subdivision 3(c)(3) • PID # 155282000010 – 14.17 acres • Legal Description: Outlot A, Great River Addition & Outlot A, Great River Second Addition MINUTES REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA) Wednesday, May 28, 2025 – 7:00 a.m. Mississippi Room, Monticello Community Center Commissioners Present: President Steve Johnson, Treasurer Hali Sittig, Rick Barger, Clint Berglof, Mayor Lloyd Hilgart, Councilmember Tracy Hinz Commissioners Absent: Vice President Jon Morphew Staff Present: Executive Director Jim Thares, Community Development Director Angela Schumann, Tyler Bevier, Anne Mueller 1. General Business A. Call to Order President Steve Johnson called the regular meeting of the Monticello Economic Development Authority to order at 7:00 a.m. B. Roll Call 7:00 a.m. Mr. Johnson called the roll. 2. Approval of Agenda None 3. Public Hearing None 4. Regular Agenda A. Consideration of Resolution 2025-03 reaffirming approval of a Façade Improvement Forgivable Loan to Nordic Taphouse, 106 Walnut Street, in the amount of $111,000 Executive Director Jim Thares informed the EDA that the Façade Loan Agreement language has been revised as suggested by the EDA attorney. With those changes, staff is asking the EDA to reaffirm its May 14 decision about the loan. Essentially, the changes are technical in nature though, it is believed they should be discussed with the EDA. The key change is that the Kjellberg Estate is being removed as a signatory to the loan agreement since the EDA attorney believes the agreement is not enforceable against the estate. With this change, Nordic Brewing Co., LLC, will be the sole borrower and guarantor of the loan. He further noted the potential scenarios and claw back penalties or lack thereof if Zach Barthel was unable to finalize the Contract for Deed with the estate or to sell his business within the noted three-year period. He also noted that there is a shared sense of Mr. Barthel’s commitment to seeing his business succeed through his sweat equity and self-contracted improvements to the building and façade. DR A F T EDA Regular Meeting Minutes – 05/28/2025 HALI SITTIG MOVED TO ADOPT RESOLUTION 2025-03 AUTHORIZING A REVISED FAÇADE IMPROVEMENT LOAN AGREEMENT TO NORDIC BREWING CO. LLC DBA NORDIC TAP HOUSE IN THE AMOUNT OF $111,000, CONTINGENT UPON EXECUTION OF THE REQUIRED LOAN AGREEMENT AND PROMISSORY NOTE BY THE APPLICANT AND COMPLIANCE WITH CASH MATCH REQUIREMENTS AND BASED ON FINDINGS TO BE MADE BY THE EDA. CLINT BERGLOF SECONDED THE MOTION. Hali Sittig spoke to having confidence with the applicant, Zach Barthel, being successful in the new location and building. Steve Johnson noted the document’s validity and inquired if it would make sense to have Mr. Barthel to personally cosign the loan agreement along with the LLC to satisfy ownership until the closing date in 2026. Jim Thares noted that this would be an unusual situation for these loans which are essentially grants after a three-year period. Steve Johnson acknowledged the EDA’s interest in having the building façade improved. Mayor Hillgert indicated that he was okay with just Nordic Brewing being the signatory to the loan agreement. He pointed out the main idea is to have the building façade improved and that this is occurring through this process. Steve Johnson noted that the Contract for Deed is the unique element in this project. Jim Thares said that the Contract for Deed element has added complexity to this application and consideration. MOTION CARRIED UNANIMOUSLY, 6-0. 5. Economic Development Manager’s Report Mr. Thares provided an overview of the agenda item to the EDA and staff, spoke about the Business Retention and Expansion (BR&E) visits to Aroplax and Foundation Building Materials (FBM). He noted two additional visits are scheduled in early June - ServPro on the 5th and Classique Jewelry on June 11. Rick said he really thinks the BR&E visits are valuable and help in building great relationships. Jim said he believes these are the basic building blocks of economic development efforts. Jim reviewed the prospect list and noted the upcoming site tour and meeting on May 30, 2025, with a developer interested in constructing an industrial building in Otter Creek Business Park. He further said that there are not very many open industrial spaces in the City. Rick Barger confirmed that the market has limited industrial space availability. DR A F T EDA Regular Meeting Minutes – 05/28/2025 6. Adjourn TRACI HINZ MOVED TO ADJOURN THE REGULAR MEETING OF THE MONTICELLO EDA. HALI SITTIG SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 6-0. MEETING ADJOURNED AT 7:33 P.M. DR A F T EDA Agenda: 06/11/2025 5A. Consideration of sponsorship in the amount of $5,000 for the Monticello Chalk Fest Event Prepared by: Economic Development Manager Meeting Date: 06/11/2025 ☒ Regular Agenda Item ☐ Consent Agenda Item Reviewed by: Community Development Director, Finance Director Approved by: City Administrator ACTION REQUESTED Motion to authorize a $5,000 sponsorship of the Monticello Let’s Chalk event on September 20- 21, 2025. REFERENCE AND BACKGROUND The EDA is asked to consider sponsorship of the Monticello Let’s Chalk event in the amount of $5,000. The 2025 Let’s Chalk event will be held on September 20 and 21, 2025. It will be a slightly larger event than in the previous three years with more music, food and chalk artists. The EDA has sponsored the Let’s Chalk event in the amount of $5,000 in the past 2 years. The sponsorship offers the EDA marketing and awareness building opportunities related to its overall mission and downtown development goals. Through a $5,000 Gold Level sponsorship, the EDA will get an optimal booth location at the event as well as more prominent displays of the EDA logo along with verbal recognition by both the musicians and the radio broadcasters working at the event. A table-booth and display will allow the EDA to provide marketing materials and information about its work plan goals and objectives. The 2025 Chalk Fest event will again be held River Street and West Bridge Park and near the fully completed Block 52 Redevelopment project. This event may be a great opportunity for the EDA to showcase and discuss its downtown and community development goals and accomplishments with local residents and/or stakeholders. I. Budget Impact: The budget impact related to the Monticello Let’s Chalk event sponsorship consideration, if approved, would total $5,000. II. Staff Workload Impact: The staff impact related to the Monticello Let’s Chalk event sponsorship consideration is minimal. III. Comprehensive Plan Impact: N/A EDA Agenda: 06/11/2025 STAFF RECOMMENDATION Staff recommend the EDA approve the sponsorship of the Monticello, Let’s Chalk event in the amount of $5,000. Since the event is being held adjacent to the Block 52 Redevelopment project, it may be a great opportunity to showcase the results of the fully completed development as well as the EDA’s overall development goals and objectives. SUPPORTING DATA A. Monticello, Let’s Chalk Event Information EDA Agenda: 06/11/2025 5B. Consideration EDA Financial Statements Update Prepared by: Economic Development Manager Meeting Date: 06/11/2025 ☒ Regular Agenda Item ☐ Consent Agenda Item Reviewed by: Community Development Director, Finance Director Approved by: City Administrator ACTION REQUESTED No Motion; Update Only REFERENCE AND BACKGROUND The EDA Quarter 1, 2025 Financial Statements are attached to this report. Staff will provide an overview of the status of various EDA funds and answer questions during the meeting. As a reminder, the EDA is poised to being consideration of its 2026 General Fund budget and levy in July with a goal of finalizing those budget items in August 2026. I. Budget Impact: The budget impact related to updating the EDA on the financial statements for Quarter 1, 2025 is minimal. II. Staff Workload Impact: The staff impact related to providing the Quarter 1, 2025 financial statement update to the EDA is minimal. III. Comprehensive Plan Impact: N/A STAFF RECOMMENDATION Staff are providing the EDA with an update of the Quarter 1, 2025 status of various EDA funds as a means of providing helpful information so the commissioners have a solid understanding of EDA resources that are integral to the economic development efforts and ample time to make desired adjustments if necessary. SUPPORTING DATA A. EDA Quarter 1, 2025 Financial Statements CITY OF MONTICELLO Schedule of Assets, Liabilities, Deferred Inflows of Resources, and Fund Balances Economic Development Authority & Small Cities Development Program March 31, 2025 - Unaudited TIF 6 (d)TIF 19 (d)TIF 20 (d)TIF 22 (d)TIF 24 TIF 29 TIF 30 TIF 34 (d)TIF 40 TIF 41 TIF 42 TIF 43 TIF 45 TIF 46 GAAP Total TotalEDA General GMEF TIF Future Raindance MS Shores Prairie West Downtown St. Henry's Front Porch CMHP Interchange Briggs UMC Headwaters Headwaters Block 52 WiHa Reconciliation EDA SCDPASSETSCash and investments 1,651,719$ 818,527$ -$ 112,601$ 37,719$ 104,142$ 248,445$ 115,764$ 76,360$ 82,257$ 77,340$ 21,049$ 32,930$ -$ -$ -$ 3,148$ -$ 3,382,001$ 899,601$ ReceivablesUnremitted taxes - - - - - - - - - - - - - - - - - - - - Delinquent taxes 3,465 - - - - - - - - - - - - - - - - - 3,465 - Accounts 11,542 - - - - - - - - - - - - - - - - - 11,542 - Intrafund receivable 109,779 - - 687,248 - - - - - - - - - - - - - (797,027) - - Prepaid items - - - - - - - - - - - - - - - - - -- - Notes receivable 127,246 446,615 - - - - - - - - - - - - - - - -573,861 85,386 Land held for resale 2,759,929 - - - - - 163,200 - - - - - - - - - - - 2,923,129 - TOTAL ASSETS 4,663,680$ 1,265,142$ -$ 799,849$ 37,719$ 104,142$ 411,645$ 115,764$ 76,360$ 82,257$ 77,340$ 21,049$ 32,930$ -$ -$ -$ 3,148$ (797,027)$ 6,893,998$ 984,987$ LIABILITIESAccounts and contracts payable -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 127,246$ -$ -$ -$ 127,246$ -$ Intrafund payable - - 58,563 - - - - - - 49,331 - - 687,248 431 431 431 592 (797,027) - - Unearned revenue - - - - - - 163,200 - - - - - - - - - - (163,200) - - Escrow deposits 41,254 - - - - - - - - - - - - - - - - - 41,254 - Total liabilities 41,254 - 58,563 - - - 163,200 - - 49,331 - - 687,248 431 127,677 431 592 (960,227) 168,500 - DEFERRED INFLOWS OF RESOURCESUnavailable revenue - property taxes 3,465 - - - - - - - - - - - - - - - - - 3,465 - FUND BALANCESNonspendable - - - - - - - - - - - - - - - - - - - - Restricted 121,740 1,265,142 - 799,849 37,719 104,142 248,445 115,764 76,360 32,926 77,340 21,049 (654,318) (431) (127,677) (431) 2,556 163,200 2,283,375 984,987 AssignedEconomic Development 4,364,731 - (58,563) - - - - - - - - - - - - - - - 4,306,168 - Façade Grant 132,490 - -- - - - - - - - - - - - - - - 132,490 - Total fund balance 4,618,961 1,265,142 (58,563) 799,849 37,719 104,142 248,445 115,764 76,360 32,926 77,340 21,049 (654,318) (431) (127,677) (431) 2,556 163,200 6,722,033 984,987 TOTAL LIABILITIES,AND FUND BALANCES 4,663,680$ 1,265,142$ -$ 799,849$ 37,719$ 104,142$ 411,645$ 115,764$ 76,360$ 82,257$ 77,340$ 21,049$ 32,930$ -$ -$ -$ 3,148$ (797,027)$ 6,893,998$ 984,987$ Required or Actual Decertification Date 12/9/2013 12/31/2023 12/10/2018 12/31/2023 12/31/2026 12/31/2029 12/31/2029 12/31/2022 12/31/2045 12/31/2031 12/31/2050 12/31/2050 12/31/2050 12/31/2032TIF District Type Redevelopment Housing Redevelopment Housing &Housing Housing Housing Redevelopment Housing Economic Housing Housing Redevelopment Economic(d) = decertified Redevelopment Development Development UN A U D I T E D CITY OF MONTICELLO Schedule of Revenues, Expenditures and Other Financing Sources (Uses) Economic Development Authority & Small Cities Development Program For the Period Ended March 31, 2025 - Unaudited TIF 6 (d)TIF 19 (d)TIF 20 (d)TIF 22 (d)TIF 24 TIF 29 TIF 30 TIF 34 (d)TIF 40 TIF 41 TIF 42 TIF 43 TIF 45 TIF 46 GAAP Total TotalEDA General GMEF TIF Future Raindance MS Shores Prairie West Downtown St. Henry's Front Porch CMHP Interchange Briggs UMC Headwaters Headwaters Block 52 WiHa Reconciliation EDA SCDPRevenuesProperty taxes -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Tax increments - - - - - - - - - - - - - - - - - - - - Intergovernmental - - - - - - - - - - - - - - - - - - - - Charges for services 120 - - - - - - - - - - - - - - - - - 120 - Investment earnings - - - - - - - - - - - - - - - - - - - - Interest on loans - 7,344 - - - - - - - - - - - - - - - - 7,344 834 Other revenues - - - - - - - - - - - - - - - - - - - - Total revenues 120 7,344 - - - - - - - - - - - - - - - - 7,464 834 Expenditures:CurrentSalary and wages 36,318 - - - - - - - - - - - - - - - - - 36,318 - Benefits 12,034 - - - - - - - - - - - - - - - - - 12,034 - Supplies 86 - - - - - - - - - - - - - - - - - 86 - Professional services - legal 85 - - - - - - - - - - - - - - - - - 85 - Professional services - market matching - - - - - - - - - - - - - - - - - - - - Professional services - enviromental - - - - - - - - - - - - - - - - - - - - Professional services - other 1,156 - - - - - - - - - - - - - - - - - 1,156 - LPV Insurance 1,371 - - - - - - - - - - - - - - - - - 1,371 - Legal and general publications - - - - - - - - - - - - - - - - - - - - Property taxes - - - - - - - - - - - - - - - - - - - - Marketing - - - - - - - - - - - - - - - - - - - - Dues and membership 6,999 - - - - - - - - - - - - - - - - - 6,999 - Utilities 1,587 - - - - - - - - - - - - - - - - - 1,587 - IT services 864 - - - - - - - - - - - - - - - - - 864 - Travel and conferences 1,062 - - - - - - - - - - - - - - - - - 1,062 - Land adjustment to market - - - - - - - - - - - - - - - - - - - - Qualifying TIF expenditures - - - - - - - - - - - - - - - - - - - - Other expenditures 17,994 - - - - - - - - - - - - - - - - - 17,994 - Excess increments - - - - - - - - - - - - - - - - - - - - Interest on intrafund loans - - - - - - - - - - - - - - - - - - - - PAYG payments to third parties - - - - - - - - - - - - - - - - - - - - Total expenditures 79,556 - - - - - - - - - - - - - - - - - 79,556 - Net change in fund balances (79,436) 7,344 - - - - - - - - - - - - - - - - (72,092) 834 Fund balance at beginning of year 4,698,397 1,257,798 (58,563) 799,849 37,719 104,142 248,445 115,764 76,360 32,926 77,340 21,049 (654,318) (431) (127,677) (431) 2,556 163,200 6,794,125 984,153 Fund balance at end of year 4,618,961$ 1,265,142$ (58,563)$ 799,849$ 37,719$ 104,142$ 248,445$ 115,764$ 76,360$ 32,926$ 77,340$ 21,049$ (654,318)$ (431)$ (127,677)$ (431)$ 2,556$ 163,200$ 6,722,033$ 984,987$ Required or Actual Decertification Date 12/9/2013 12/31/2023 12/10/2018 12/31/2023 12/31/2026 12/31/2029 12/31/2029 12/31/2022 12/31/2045 12/31/2030 12/31/2050 12/31/2050 12/31/2050 12/31/2032 TIF District Type Redevelopment Housing Redevelopment Housing &Housing Housing Housing Redevelopment Housing Economic Housing Housing Redevelopment Economic(d) = decertified Redevelopment Development Development UN A U D I T E D Borrower Loan Amount Loan Balance as of 5/31/25 Origination date Amortization Period Monthly Payment Balloon Payment Date Interest Rate Security RE or Mortgage or Equipment GMEF/S CDP Rustech 75,513.26$ 48,178.06$ 3/1/2018 20 Years 428.31$ 3/1/2029 3.25%Equipment GMEF Bondhus 201,039.79$ 81,925.72$ 3/1/2019 10 Years 1,918.14$ 3/1/2030 2.75%Equipment/Facility SCDP RRG Holdings, LLC 140,954.11$ -$ 4/1/2022 20 years -$ 4/1/2032 1.25%Mortgage GMEF Block 52 Holdings, Inc 303,587.67$ 299,137.71$ 10/1/2024 25 Years 1,687.44$ 10/1/2034 4.50%Mortgage GMEF Hair Obsession 95,239.45$ 93,731.78$ 11/1/2024 20 Years 668.66$ 11/1/2034 5.75%Mortgage GMEF EDA Agenda: 6/11/2025 6.Economic Development Manager’s Report Prepared by: Economic Development Manager Meeting Date: 6/11/2025 ☒Other Business Reviewed by: N/A Approved by: N/A REFERENCE AND BACKGROUND A.Business Retention & Expansion Efforts: The Industrial and Economic Development Committee (IEDC) and the EDA conducted a BR&E visit with ServPro, 1348 Dundas Court, on June 5, 2025. Another BR&E visit is planned with Classique Jewelry on June 11, 2025, at 11:00 a.m. The purpose of the visits is to demonstrate support for local business investment and gather feedback on assistance and/or other tools to further encourage business development and retention in the community. Please see the attached photo and summary overview of the ServPro visit. See Exhbit A. (to be provided at meeting) B.Project Updates 1.Downtown Façade Forgivable Loan Progress: Nordic is progressing with its Façade Improvement project. An initial disbursement of the façade loan funding was completed during the week of June 2, 2025. Pictures of the project are shown as Exhibit B 2.Rustech Brewing, LLC – Equipment Sale Occurring: Staff continues to stay in touch with Bill Burt, the owner Rustech, regarding the wind down of the business venture and disposing of the assets. The EDA has a first security interest through a Purchase Money Security Interest (PMSI) on a list of brewing equipment through a valid UCC (Universal Commercial Code) filing with the MN Secretary of State’s office. Mr. Burt continues to consider recent opportunities to auction the remaining equipment. EDA Agenda: 6/11/2025 3. Headwaters Villa Twin Homes: The 60-unit Phase 1 twin home housing development project for ages 55 + on 7th Street West is now complete (2 units still have not received Certificates of Occupancy). Staff are working on paperwork related to the initial increment disbursement in August of 2025. The 22-twin home unit Phase 2 project is also just getting started with site prep, grading and utility installation activities. Those units will be completed by late 2025. The total number of rental units in phases 1 and 2 totals 82 with 33 units required (40 percent) to be rented by households of low- and moderate-income levels (60 percent of the AMI; Wright County). C. Economic Development Association of Minnesota (EDAM) 2025 Summer Conference – Duluth, MN: The EDAM 2025 Summer Conference Schedule is attached as Exhibit C. D. EDAM Legislative Update: The EDAM Government Affairs lobbyist has provided weekly updates to the EDAM GA Committee throughout the 2025 session. The latest updates are included as Exhibit D. E. EDA Property Holdings Workshop Summary Direction: The summary notes from the EDA May 14, 2025, Property Review Workshop are attached as Exhibit E. F. Prospect List – Please see Exhibit F. Photos taken 6/6/25 1:00 p.m. Event Agenda 2025 EDAM Summer Conference Wednesday, June 11, 2025 4:00 PM - 7:00 PM Registration Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 5:00 PM - 7:00 PM Welcome Reception Location: DECC * Harbor Side 303-305 (3rd Floor) Thursday, June 12, 2025 7:15 AM - 4:00 PM Registration Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 7:15 AM - 4:00 PM Quiet Room Location: DECC * Harbor Side 301-302 (3rd Floor) 7:30 AM - 8:00 AM DEI Committee Meet-Up Location: DECC * Harbor Side 303-305 (3rd Floor) 8:15 AM - 8:30 AM Welcome + Opening Announcements Location: DECC * Harbor Side 303-305 (3rd Floor) Speaker: Keith Dahl 8:30 AM - 9:30 AM Embrace Your Quirks: How Stories Attract Business & Talent Location: DECC * Harbor Side 303-305 (3rd Floor)Speakers: Raquel Strand, Nicole Gaustad 8:30 AM - 9:30 AM The Role of Community Development Financial Institutions (CDFIs) in Community Economic Development Ecosystem: Serving BIPOC Communities Location: DECC * Horizon 203-204 (2nd Floor) Speaker: Alma Flores 9:30 AM - 9:45 AM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 9:45 AM - 10:45 AM Community Benefits Plan: Articulating Your Community Goals and Unlocking Federal Funds Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Jonathan McGee, Elizabeth Bergman 9:45 AM - 10:45 AM Who Leads in Minnesota? Leveraging Data and Resources to Promote Inclusive Leadership in Economic Development Location: DECC * Horizon 203-204 (2nd Floor)Speakers: Justin Hollis, Allison Liuzzi 10:45 AM - 11:00 AM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 11:00 AM - 12:00 PM Sandstone, MN: A Case Study and a Work in Progress Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Mike Fischer, Kathy George, Valerie Palmer 11:00 AM - 12:00 PM The Evolution of Executive Coaching and its Impact on Economic Growth in Minnesota Location: DECC * Horizon 203-204 (2nd Floor)Speakers: Steve Ryan, Victor Thompson 12:00 PM - 1:00 PM Lunch Location: DECC * Harbor Side 303-305 (3rd Floor) 1:00 PM - 2:00 PM Keynote * Leading for Today's Workplace Location: DECC * Harbor Side 303-305 (3rd Floor) Speaker: Hannah Ubl 2:00 PM - 2:15 PM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 2:15 PM - 3:15 PM Leveraging the Power of a Collaborative Approach to Economic & Workforce Development Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Jessica Miller, Catalina Valencia 2:15 PM - 3:15 PM CM@R: Legislative Changes and How to Use It Location: DECC * Horizon 203-204 (2nd Floor) Speakers: Tim Guyette, Rik Myhre, Carolyn Wolf 2:15 PM - 3:15 PM Waterfront & Seawall Tour Location: Meet at registration desk 3:15 PM - 3:30 PM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 3:30 PM - 4:30 PM Building Equitable Entrepreneurial Ecosystems Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Elizabeth Bergman, Jonathan McGee 3:30 PM - 4:30 PM Foreign Trade Zones 101 Location: DECC * Horizon 203-204 (2nd Floor) Speaker: Maddi Krieger 3:30 PM - 4:30 PM Waterfront & Seawall Tour Location: Meet at registration desk 4:30 PM - 6:00 PM Break on your own 6:00 PM - 8:00 PM Boat Cruise + Networking Reception on the Vista Star Location: Board outside Door G of the DECC Friday, June 13, 2025 7:30 AM - 12:00 PM Registration Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 7:30 AM - 12:00 PM Quiet Room Location: DECC * Harbor Side 301-302 (3rd Floor) 8:30 AM - 9:30 AM The Power of Cross Network Connections Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Amber Lewis, Ali Bilden Camps, Karl Schuettler, Zack Filipovich, Jared Dunlap 8:30 AM - 9:30 AM Leveraging AI for Economic Developers Location: DECC * Horizon 203-204 (2nd Floor) Speaker: Aaron Brossoit 9:30 AM - 9:45 AM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 9:45 AM - 10:45 AM The Port of Duluth-Superior: Supply Chain in Action Location: DECC * Harbor Side 303-305 (3rd Floor) Speaker: Kate Ferguson 9:45 AM - 10:45 AM Leveraging Fair Chance Hiring for Inclusive Growth: Addressing Labor Shortages and Empowering Lives Location: DECC * Horizon 203-204 (2nd Floor) Speakers: Jeremiah Carter, Nolan Thomas 10:45 AM - 11:00 AM Break with Exhibitors Location: DECC * Harbor Side Ballroom Lobby (3rd Floor) 11:00 AM - 12:00 PM DEED & Legislative Session Update Location: DECC * Harbor Side 303-305 (3rd Floor) Speakers: Matt Varilek, Darielle Dannen 12:00 PM - 12:15 PM Prize Drawing + Adjournment Location: DECC * Harbor Side 303-305 (3rd Floor) 1 | Page EDA-HELD PROPERTY WORKSHOP | NOVEMBER 8, 2023 SUMMARY PROGRESS REPORT: May, 2025 _____________________________________________________________________________________ 1. RIVER STREET a. 2040 Economic Development Goals: Depending on the use of the property both Downtown Vitality, Life-cycle Housing b. Priority: LOW (5-10 years) c. Notes/Discussion: • Hold for possible integration with a larger redevelopment project in the area, including townhomes similar to those to the north. • Proximity to the river is an advantage for higher amenity housing, less likely for affordable housing. • Location makes it ideal to support/work outward from downtown activities. • Located in Mississippi Wild Scenic and Recreational River District, which limits impervious and height, some uses. d. Next Steps: • Continue to illustrate on available property maps. • Monitor acquisition opportunity and private development interest. e. Marketing/Development Strategies: • Continue to illustrate on available property maps. PROGRESS TO-DATE: Evaluation for possible addition of diagonal public parking along River Street at direction of City Council. May require discussion with the EDA on additional easement/ROW. Listed on Publicly Owned Properties for Sale - Downtown map. No inquiries to-date. 2025 EDA DIRECTION: Continue as a low priority. 2. 349 WEST BROADWAY (FORMER FRED’S AUTO) a. 2040 Economic Development Goals: Downtown Vitality, Redevelopment & reinvestment, Opportunity Area b. Priority: LOW (5-10 years) c. Notes/Discussion: • Hold for potential combination with redevelopment/revitalization of adjacent former post office site. • EDA would consider additional land acquisition in the area depending on timing and price. • Would consider re-use of existing site depending on the use and surrounding revitalization opportunity. d. Next Steps: • Monitor acquisition opportunity and private development interest. 2 | Page • Concept development rendering; clearly depicting private properties (discussion with adjacent property owner). • EDA should define desired users, if any. (Refer to zoning ordinance.) e. Marketing/Development Strategies: • Continue to illustrate on available property maps. PROGRESS TO-DATE: Current lease with MontiArts valid until August 31, 2025. Listed on Publicly Owned Properties for Sale - Downtown map. No inquires to-date. 2025 EDA DIRECTION: Continue as low priority. Continue to allow MontArts as user. Monitor availability of adjacent properties and opportunity for larger redevelopment effort. 3. BLOCK 36 a. 2040 Economic Development Goals: Downtown Vitality, Promotion & Partnerships b. Priority: LOW (5-10 YEARS+) c. Notes/Discussion: • Utilize as a connection between existing parking and Broadway – small improvements on the parcel with that function as the focus. • Involve PARC in concept development. d. Next Steps: • Discuss priority for parklet improvements as part of current PAR Master Planning for specific concepts and initiatives. • Staff to research and advise EDA on funding opportunities and restrictions for improvements to/on property. • Budget for improvements in EDA CIP request. e. Marketing/Development Strategies: • Continue to illustrate on available property maps. PROGRESS TO-DATE: No change. EDA continues to pay CAM for parking lot maintenance. Listed on Publicly Owned Properties for Sale - Downtown map. No inquiries to-date. 2025 EDA DIRECTION: Continue as low priority. Investigate inviting additional outdoor uses, picnic tables, etc. Consider increased marketing. 4. CEDAR STREET SITE a. 2040 Economic Development Goals: Downtown Vitality, Life-Cycle Housing, Redevelopment & Reinvestment b. Priority: HIGH (1-3 YEARS) c. Notes/Discussion: • Ideal use is two-story “brownstone” townhomes, fronting Broadway, deck over rear-load garages. • Market rate housing with affordable component preferred. • Continue to look for opportunities to manage traffic and safe access across both Hwy. 25 and CR75; look at alternative traffic control at River and Cedar. 3 | Page • More environmental review needed; review DEED, MPCA or other state assistance. • No additional acquisition is likely needed for successful development. • Zoning currently allows townhouses and multi-family units of 4-12 units by CUP in this sub-district of the CCD. d. Next Steps: • Obtain quote for additional environmental work, complete work. • Determine priority and eligibility for remediation grants. • Contract for debris and fence removal; understand snow storage. • Discuss desired housing program/projects at Housing Workshop in 2024. e. Marketing/Development Strategies: • Continue to illustrate on available property maps. • Design, construct and place “for sale” sign. • Develop a concept rendering of intended product and other development parameters. • Develop a list of possible developers and/or contractors. • Prepare RFP. PROGRESS TO-DATE: Economic Development Manager continues to actively market the site. New marketing material prepared and used to respond to inquiries. Information provided to Streetfront as a potential developer following Listed on Publicly Owned Properties for Sale - Downtown map. Recent discussion with multi- family housing developer occurred in early March 2025. Previous discussion with a developer was with Main Street Development following the Block 34 RFP submittal interviews. 2025 EDA DIRECTION: Continue as high priority. Continued strong interest for housing uses, including creative affordable housing. Discuss marketing or RFP effort within next 12 months. 5. BLOCK 34 a. 2040 Economic Development Goals: Downtown Vitality, Redevelopment & Reinvestment, Business Expansion & Retention b. Priority: HIGH (1-3 YEARS) c. Notes/Discussion: • Quarter to half block redevelopment is an option. • Evaluate opportunity to relocate one or both municipal wells, including cost and timeframe. • Two-story development design preferred (not 4+ stories). • Professional office uses preferred, residential not preferred. • Additional acquisition is an opportunity on the block. • Parking for existing multi-family will need to be a consideration with redevelopment. • Develop the perimeter, leaving the center for parking (and wells if not relocated); small structured parking something to look at in terms of design and cost. 4 | Page • More environmental work is likely needed d. Next Steps: • Continue to illustrate on available property maps. • Obtain quote for remaining TIF qualification and environmental work, complete. • Determine priority and eligibility for remediation grants. • Workshop with City on intended uses, parking and wells. • Consider amendment to the Downtown Small Area Plan for intended uses. • Zoning allows a mix of commercial and residential uses; block is split between Pine Street and Walnut & Cedar sub-districts. • Continue to monitor acquisition opportunity. e. Marketing/Development Strategies: • Develop a concept rendering of intended product, site plan incorporating wells and development parameters. PROGRESS TO-DATE: High priority. Active redevelopment efforts in progress. EDA completed a Request for Proposal process in 2024. Various environmental and TIF studies complete. Pending preliminary development agreement. 6. 4TH & PALM a. 2040 Economic Development Goals: Life-Cycle Housing, Tax Base Expansion b. Priority: MEDIUM (5 YEARS) c. Notes/Discussion: • Medium density housing preferred (not apartments). • Senior living opportunity. • Market rate with affordable housing component preferred. • Evaluate well relocation to this site and any development footprint impact. • Potential to utilize Palm Street ROW for access. • Owner-occupied preferred. d. Next Steps: • Work with Engineering/Public Works to understand well relocation. • Discuss desired housing program/projects at Housing Workshop in 2024. e. Marketing/Development Strategies: • Continue to illustrate on available property maps. PROGRESS TO-DATE: Under consideration as possible Block 34 well relocation site. If feasible, EDA and Council to negotiate acquisition/easements and timing of relocation. Listed on Publicly Owned Properties for Sale - Downtown map. No recent inquiries. Several inquiries in 2022 and early 2023. 2025 EDA DIRECTION: Continue to leave site as is for potential relocation of Block 34 wells. 7. 7th STREET EAST (FORMER RIVERWOOD BANK PROPERTY) a. 2040 Economic Development Goals: Tax Base Expansion, Workforce Development, Business Retention & Expansion 5 | Page b. Priority: HIGH (1-3 YEARS) c. Notes/Discussion: • Commercial uses preferred, light industrial or campus opportunity. • Develop to take advantage of I-94 visibility. • Be mindful about competing with private property owners; focus on diversification of business types. • No outdoor sales and display uses. d. Next Steps: • Consider re-guiding and rezoning property following acquisition. • Defer 7th Street assessments to development. e. Marketing/Development Strategies: • Continue to illustrate on available property maps. • Consider developing a concept rendering of intended products and uses. • Install a for sale/development sign. PROGRESS TO-DATE: Subject of upcoming closed meeting on 5/14/25 for potential next steps. Listed on Available Commercial Inventory map. 2025 EDA DIRECTION: Continue as high priority. Investigate opportunity and uses based on inquiries. 8. OTTER CREEK a. 2040 Economic Development Goals: Business Expansion & Retention, Workforce Development b. Priority: MEDIUM (3-5 YEARS) c. Notes/Discussion: • No additional expansion of park needed at this time given the existing supply; work to develop private industrial properties in the community. d. Next Steps: • Complete shovel-ready certification. Site visit is next task (likely spring 2024). e. Marketing/Development Strategies: • Implement Integrated Marketing & Communications Plan; prioritize actions from plan. • Review site selection marketing opportunities. • Partner with Xcel’s site selection team to further marketing. PROGRESS TO-DATE: Economic Development Manager continues to actively market the site. New marketing material prepared and used to respond to inquiries. Two active inquiries for potential development or expansion are in process. Listed on Available Industrial Inventory map. 2025 EDA DIRECTION: Continue as medium priority, reserving applicable sites for potential existing user expansion and responding to leads/inquiries. Date of Contact Company Name Business Category Project Description Building-Facility Retained Jobs New Jobs Total Investment Project Status 5/22/2018 Karlsburger Foods Food Products Mfg.Facilty Expansion 20,000 sq. ft. +/- 42 10 to 20 $4,500,000 On Hold 2/28/2022 Project Emma II Light Ind-Assembly New Construction 20,000 sq. ff. 0 4 $1,350,000 Active Search 10/28/2021 Project Stallion Technology Service New Construction 42,000 sq. ft. 40 $3,600,000 Active Search 8/11/2022 Project Sing Precision Machining New Construction 400,000 sq. ft. 0 500 $90,000,000 Active Search 5/30/2023 Project Flower-M & M Commercial Concept Expansion ????Concept 6/9/2023 Project Pez Mfg New Construction 6,000 to 8,500 sq. ft. 12 2 $1.300,000 Active Search 8/16/2023 Project Lodge RT4 Lodging-Hopsitality New Construction 98 Room Hotel N/A 30 $19,500,000 Identified Site 9/19/2023 Project Panda #4 SZ Childcare Facility New Construction ? N/A ? $2,000,000 +/- Active Search 2/12/2024 Project Lodge- MSMWDC Lodging-Hospitality New Construction ? 0 10 $12,000,000 Identified Site 3/5/2024 Project Panda 20-MS Child Care Facility New Construction 25,000 sq. ft. 0 20 $5,500,000 Active Search 3/29/2024 Project ET-BB-12-9 Industrial Relocate - Existing Bldg 12,000 sq. ft. 12 $1,150,000 Identified Site 4/12/2024 Project Rest B52 Restaurant New build out-Finish 5,000 sq. ft. +/- 0 15 1500000 +/- Identified Site 5/30/2024 Project EP-BDDC LACW Data Center New Construction ?? ?? ?? Identified Site 5/31/2024 Project DC2-NWG-GB Data Center New Construction ?? 0 40 ?? Active Search 7/30/2024 Project EPG 40x2-50 Industrial New Construction 40,000 sq. ft. 0 40 $4,000,000 Active Search 12/3/2024 Project LEI Pack Industrial New Construction 52,500 sq. ft. 0 21 $16,500,000 Active Search 1/14/2025 Project Megawatt Industrial New Construction 650,000 to 1,300,000 sq. ft. 0 592 $757,000,000 Active Search 2/5/2025 Project Nordic Resturant-Taphouse Relocate - Remodel-4,300 sq. ft. 9 1 $1,090,000 Identified Site 4/17/2025 Project Corona Industrial - Retail New Construction 30,000 to 50,000 sq. ft. 0 50 $15,000,000 Active Search 4/15/2025 Project BB Food Service-Retail Renovation 6,000 sq. ft. 0 25 $2,500,000 Identifed Site 5/19/2025 Project 7030-B-O Industrial New Construction 70,000 sq. ft. 0 30 $7,300,000 Site Search Contacts: M = 03 YTD = 12 PROSPECT LIST 06/06/2025