EDA Meeting Minutes - 05/14/25MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, May 14, 2025 — 6:00 p.m.
Mississippi Room, Monticello Community Center
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
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.
EDA Regular Meeting Minutes — 05/14/2025
4. Public Hearing
A. Business Subsidy - Nordic Taphouse — Consideration of EDA Resolution 2025-02 -
Facade 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 facade
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 Facade 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
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EDA Regular Meeting Minutes — 05/14/2025
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 FACADE 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.
S. -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
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EDA Regular Meeting Minutes — 05/14/2025
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 Fagade 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
Recorder: Anne MuellerVAP
Approved: June 11, 2025
Attest:
Jim Thareg. EDA Executive Director
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