EDA Minutes 03-11-2015MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, March 11th, 2015, Mississippi Room, Monticello Community Center
Present: Bill Tapper, Tracy Hinz, Jim Davidson, Steve Johnson, Tom Perrault, Lloyd
Hilgart
Absent: Bill Demeules
Others: Angela Schumann, Wayne Oberg
1. Call to Order
Bill Tapper called the meeting to order at 6:00 p.m.
2. Roll Call
3. Approval of Minutes
TOM PERRAULT MOVED TO TABLE THE FEBRUARY 11TH, 2015 SPECIAL EDA
MEETING MINUTES. TRACY HINZ SECONDED THE MOTION. MOTION
CARRIED 6 -0.
LLOYD HILGART MOVED TO APPROVE THE FEBRUARY 11TH, 2015 REGULAR
EDA MEETING MINUTES. STEVE JOHNSON SECONDED THE MOTION.
MOTION CARRIED 6 -0.
4. Consideration of adding items to the agenda None
5. Consideration of approving payment of bills
LLOYD HILGART MOVED TO APPROVE PAYMENT OF BILLS THROUGH
FEBRUARY 2015. JIM DAVIDSON SECONDED THE MOTION. MOTION
CARRIED 6 -0.
6. Consideration to accept into the record a statement of Conflct-of- Interest
Disclosure by Commissioner Steve Johnson
Schumann reported that Steve Johnson had submitted a Conflict -of- Interest Disclosure
form which would be entered into the formal record.
Johnson stated that by signing the form she certified that he had received a copy of
Minnesota Statute 469.098 Conflict -of- Interest, that he had read and understood the
policy, and that he agreed to comply with the policy. He read that the form required that
he describe any relationships, transactions, positions he holds (volunteer or otherwise), or
circumstances he believed could contribute to an actual or possible conflict of interest
between the EDA and his personal interests, financial or otherwise. Johnson stated that:
EDA Minutes: 3111115
1) He owns commercial property on Block 52 in the downtown area of Monticello,
Minnesota.
2) A potential conflict may arise with ownership of downtown commercial property
(Block 52) and his responsibilities in regards to his position of commissioner on
the Monticello EDA.
3) He will refrain from any official discussion, decisions, votes or any matter before
the EDA that would have financial implications regarding his holdings on Block
52 in downtown Monticello.
4) When addressing by any means potential development or financial matters
regarding Block 52, he will be representing in whole or in part, his own interests
in this block as a private citizen and not any public interests of the City of
Monticello or the Monticello EDA.
Johnson certified that the information set forth above is true and complete to the best of
his knowledge. He noted that he had signed and dated the document.
TRACY HINZ MOVED TO ACCEPT THE CONFLICT OF INTEREST
CERTIFICA T ION AND DISCLOSURE BY COMMISSIONER STEVE JOHNSON
AND TO ENTER SAID STATEMENT AND ACCEPTANCE INTO THE MINUTES
OF THE ECONOMIC DEVELOPMENT AUTHORITY. JIM DAVIDSON SECONDED
THE MOTION. MOTION CARRIED 5 -0. (Steve Johnson did not vote.)
7. Consideration to adopt a Resolution for Modification of the Tax Increment
Financing Plan for Tax Increment Financing District No. 1 -36 and Tax Increment
Financing District No. 1 -37
Tammy Omdahl of Northland Securities explained that in December 2014, the EDA had
approved modifications to the budget for TIF Districts 36 and 37 to provide for actions
the EDA had taken nearly a decade ago. She said that the State Auditor's Office had
agreed with the action taken but noted that a public notice and hearing process must be
conducted. Omdahl estimated that the hearing process would cost $5,000 in legal and
consultant fees. She noted that the original loan reimbursement would be reapportioned
among the County, the School District and the City.
Hinz asked if it would be an option to put funds reapportioned to the City back into the
interfund loan. Omdahl said that would be a lawful use of those funds but added that it
would be a decision of the Council. Wayne Oberg said that he would not recommend that
Council redistribute the funds to the EDA. He noted that, in the past, funds that were
reapportioned to the City had been used for capital projects rather than for operations.
Omdahl suggested that the EDA could also satisfy the state requirement by rescinding its
approval of the prior modifications to TIF 36 and 37 and adopting a new resolution
approving the modifications to plans for the districts. This would also allow the EDA to
decertify TIF 37 (as of the end of 2014) having collected $122,113 of the original loan.
TRACY HINZ MOVED TO ADOPT A RESOLUTION PARTIALLY RESCINDING
EDA Minutes: 3/11/15
RESOLUTION NO. 2014-096 AND APPROVING A REVISED MODIFICATION OF
THE TAX INCREMENT FINANCING PLANS FOR TAX INCREMENT DISTRICT
NO. 1 -36 AND TAX INCREMENT FINANCING DISTRICT NO. 1 -37. LLOYD
HILGART SECONDED THE MOTION. MOTION CARRIED 6 -0.
8. Consideration of accepting bids and awarding the contract for the abatement and
demolition of the building located at 100 Broadway East
Schumann noted that Veit & Company of Rogers, MN, had submitted the low bid of
$26,253 for abatement and demolition of the building located at 100 Broadway East.
Demolition preparation activities are scheduled to begin April 15th and be completed by
May 30a, 2015 so that work can begin on TH 25 /CSAH 75 intersection improvements.
Bill Tapper asked how unknowns related to the site would impact the project deadline.
Schumann said that WSB's Ryan Spencer had recommended proceeding with the
demolition as scheduled. Schumann noted that WSB's contract provided for a
preliminary level of testing to determine the level of site contamination. WSB would then
set up a series of next steps and timelines depending on the outcome of that testing. Costs
related to next steps have not been approved by the EDA.
Tracy Hinz asked how information about this project would be communicated to citizens.
Schumann said that, as part of their contract, WSB will set up a series of community
meetings to address lane closures, timing and construction schedules. Hinz asked if this
approach would begin prior to demolition. Schumann indicated that she would convey
the comment to Shibani Bisson so that meetings can be timed accordingly.
LLOYD HILGART MOVED TO ACCEPT BIDS AND AWARD THE CONTRACT IN
THE AMOUNT OF $26,253.00 TO VEIT & COMPANY, INC. FOR THE
ABATEMENT AND DEMOLITION OF THE BUILDING LOCATED AT 100
BROADWAY EAST. STEVE JOHNSON SECONDED THE MOTION. MOTION
CARRIED 6 -0.
9. Consideration of Director's Report
Interchange Planning Study — City Council approved an interchange planning study.
10. Adiournment
LLOYD HILGART MOVED TO ADJOURN THE MEETING AT 6:37 PM. JIM
DAVIDSON SECONDED THE MOTION. MOTION CARRIED 6 -0.
Recorder: Kerry Burn
Approved: April
Attest: /7711p,
Community Development Director