EDA Meeting Minutes - 01/08/25 (Workshop)MINUTES
WORKSHOP MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, January 8, 2025 — 4:45 p.m.
Academy Room, Monticello Community Center
Commissioners Present: President Steve Johnson, Vice President Jon Morphew, Mayor
Lloyd Hilgart, Council Member Tracy Hinz
Commissioners Absent: Rick Barger, Treasurer Hali Sittig
Staff Present: Executive Director Jim Thares, Community Development Director
Angela Schumann, Community and Economic Development
Coordinator Tyler Bevier
1. Call to Order
President Steve Johnson called the workshop meeting to order at 4:45 p.m.
2. Roll Call
Mr. Johnson called the roll.
3. Block 34 Redevelopment Update
Angela Schumann presented the agenda and the shared the expectations staff have for
the EDA at this workshop.
Jim Thares, Economic Development Manager, began the discussion by presenting an
update of the Concept. Mr. Thares introduced Stefan Michno from Krause Anderson
(KA).
Mr. Michno shared an overview of existing conditions for Block 34.
• Several buildings are owned by the city
• 2 active municipal wells
• 2 buildings are not owned by the City
There are 2 phases. Phase one includes the Christiansen Group (CG) and the wells will
remain.
Mr. Johnson asked if it was a definite decision that the CG will be a part of the
development. Ms. Schumann addressed; CG is anxious to come in and will discuss the
development with Krause Anderson and present to the EDA for their consideration.
Phase 2 is a future phase expecting additional information about the status of the well.
KA believes the best use for this space is to acquire the remaining buildings.
Mr. Michno stressed this is a concept and there will be changes as the EDA, City and KA
move forward on this project.
Mayor Hilgart asked if the EDA was able to purchase both buildings, would the phase 2
EDA Workshop Meeting Minutes — 01/08/2025
be able to move forward with having only the one well in the middle. Mr. Michno
confirmed that it would be an option.
Council Member Tracy Hinz inquired if the concept sees the EDA owning these
properties. Mr. Michno addressed; there are 2 scenarios. One would be for KA to
purchase the property, and it would be a part of the finance package purchasing the
properties when they are shovel ready, approximately in 2027. The other scenario
would be for the city to purchase the property sooner.
Mayor Hilgart inquired if there has been discussion about decommissioning the wells.
Ms. Schumann address stating the city has only taken steps to allow us to consider
moving the wells to see if it is a viable option.
Mr. Michno stated that if the CG decided to hire KA, it would only be as a developer
unless they select KA as a contractor and architect.
Ms. Hinz asked Mr. Michno if in Phase One the Building for the CG is just a building and
a parking lot.
Mr. Johnson asked who hires KA in these circumstances. Mr. Michno said the CG would
hire them for Phase One and KA would be the owner for Phase Two.
Neither CG nor KA have an agreement in place to purchase any property on Block 34.
What they envision is CG would have their own subdivided property on Block 34 and
have a development agreement with the City in Phase One. There would be a separate
property within the TIF District where KA is looking to purchase from the city in Phase
Two.
Mr. Johnson inquired if KA would be entering into a development agreement with the
EDA for a fee. KA said there wouldn't be a fee.
Ms. Hinz asked how much of Block 34 would KA own, Mr. Thares said it is yet to be
defined. The city wants public parking. It will be modeled much like Block 52.
Discussion was held the need for additional conversation if CG decides to hire another
company and to confer with the EDA Attorney.
Parking challenges were discussed.
Ms. Schumann addressed the EDA and informed them this is a good time to share their
thoughts.
Mr. Johnson said he is not confident the EDA will see a return on its investment and
feels the developer is expecting the city to provide parking for the businesses. He
suggested a 2-story building would bring in more income and tax base.
EDA Workshop Meeting Minutes — 01/08/2025
Mayor Hilgart suggested that the highest investment may not be the best fit for
Monticello.
Mr. Morphew noted this development is a catalyst for progress outside of Block 34.
Mr. Johnson doesn't feel the EDA is ready to give the approval for KA to develop the
Christianson Groups building and move forward.
Mr. Hilgart and Ms. Schumann expressed that they believe the EDA has been clear as
they are aware of the square footage, etc. and gave KA directions to meet with CG. Mr.
Thares agreed the EDA gave direction to Staff to keep moving forward.
Mr. Johnson has strong reservations with KA moving forward with CG.
Mr. Michno noted the following day KA is meeting with CG to go through the schedule
of architect, construction, design, financing, city processes of approval. This will point
out to CG they have to begin the process quickly to meet their goal of 9/2026.
Mayor Hilgart confirmed the concept presented today is the same as the last one
presented to the EDA.
Ms. Schumann clarifies the meeting between KA and CG on 2/31/25 is to convey the
objective the EDA envisions for Block 34 and understand and meet CG needs.
Mayor Hilgart felt a need for a special meeting with all in attendance to decide on the
CG involvement. It was the conscious to schedule a special meeting to decide if and how
CG fits into the EDA objective for Block 34 next week.
Mr. Thares shared that the buildings the EDA owns, has a blight findings whcihc the EDA
is not responsible for.
4. Nordic Brewpub Update
This item was not addressed due to time constraints.
TRACY HINZ MOVED TO ADJOURN; JON MORPHEW SECONDED THE MOTION. MOTION
CARRIED UNANIMOUSLY, 5-0. MEETING ADJOURNED AT 6:09 P.M.
EDA Workshop Meeting Minutes — 01/08/2025
Recorded By: Vicki Leerhoff 6\1\��
Date Approved: 04/09/2025
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