EDA Minutes 02-08-2017MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AtJTHORET Y (EDA)
Wednesday, February 8th, 2017 — 6:00 p.m.
Mississippi Room, Monticello Community Center
Present: Bill Tapper, Steve Johnson, Tracy Hinz, and Jim Davidson
Absent: Bill Demeules and Lloyd Hilgart
Staff. Angela Schumann, Jim Thares, Jacob Thunander, Wayne Oberg
1. Call to Order
Bill Tapper called the regular meeting of the EDA to order at 6:00 p.m.
2. Roll Call
3. Approve Meeting Minutes:
a. Workshop Meeting —January 11', 2017
TRACY HINZ MOVED TO APPROVE THE WORKSHOP MEETING
MINUTES FROM JANUARY 11TH, 2017. STEVE JOHNSON SECONDED
THE MOTION. MOTION CARRIED, 3-0-1 WITH BILL TAPPER
ABSTAINING DUE TO HIS ABSENCE AT THE MEETING.
b. Regular Meeting — January 1111, 2017
STEVE JOHNSON MOVED TO APPROVE THE REGULAR MEETING
MINUTES FROM JANUARY 11TH, 2017. JIM DAVIDSON SECONDED THE
MOTION. MOTION CARRIED, 3-0-1 WITH BILL TAPPER ABSTAINING
DUE TO HIS ABSENCE AT THE MEETING.
4. Consideration of additional agenda items
Bill Tapper requested adding the consideration of City Staff to research having a consent
agenda for future EDA meetings.
Thares agreed that staff would research into having a consent agenda and a respond by
the following meeting.
5. Consideration of approving payment of bills
Bill Tapper asked what the Petroleum Brownfields invoice for $250.00 was for. Thares
believed that it was for previous environmental work completed on Block 34 from around
a year ago.
Tapper also asked what the invoice from Midwest Electro for $1,040.00 was for. Thares
stated they were a subcontractor for METCO for the LSI completed on Block 34
Tapper also asked what was provided by Pace Analytical Services. Thares stated that this
was also a subcontractor for METCO that completed soil sampling of Block 34.
TRACY HINZ MOVED TO APPROVE PAYMENT OF BILLS THROUGH
JANUARY, 2017. JIM DAVIDSON SECONDED THE MOTION. MOTION
CARRIED, 4-0.
6. Consideration of approving additional expense for LSI — Block 34
Jim Thares stated when the LSI was completed METCO needed to gather borings from
beneath the sidewalk, which required a right-of-way permit through Wright County. EDA
approval of the additional service was required as this work was considered a change
order to the contract.
JIM DAVIDSON MOVED TO APPROVE THE PAYMENT OF $100.00 INVOICE
FROM METCO. STEVE JOHNSON SECONDED THE MOTION. MOTION
CARRIED, 4-0.
7. Annual Business Meeting
a. Consideration to elect EDA Officers
TRACY HINZ MOVED TO ELECT 2017 OFFICERS BILL DEMEULES AS
PRESIDENT, BILL TAPPER AS VICE PRESIDENT, AND STEVE JOHNSON
AS TREASURER. JIM DAVIDSON SECONDED THE MOTION. MOTION
CARRIED, 4-0.
b. Consideration to review EDA Bylaws and Enabling Resolution
Jim Thares stated that the EDA Bylaws and Enabling Resolution were provided to
the EDA for review and to make any changes they would like to see amended.
The EDA did not have any changes to either the Bylaws or Enabling Resolution.
c. Consideration of 2017 EDA Appointments
This item was omitted.
d. Consideration of EDA fund balance information
Wayne Oberg presented a draft of the 2016 financial statement fund balances.
Oberg noted the overall cash balance increased significantly due to a land sale. He
also reviewed each of the TIF Districts. Oberg stated that TIF District 38 would
be ending in 2017 and it currently has a negative balance of $115,305. This
amount would be absorbed by the City if it couldn't receive money to pay it back.
Oberg also mentioned that TIF 39 currently has a $303,910 Interfund Liability,
which is expected to be paid back by the decertification of the district. Oberg
stated the year that each TIF District is eligible for decertification: 19 (2023), 20
(2024), 22 (2022), 24 (2026), 29 (2029), 30 (2029), 34 (2022), 35 (2023), 38
(2017), and 39 (2021). Oberg noted that the EDA has been fiscally conservative
this past year, with an increase in the general fund of $900,000.
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Tracy Hinz asked what `Other Revenues' included. Oberg stated that $260,000 of
that is from the sale of property, the remaining is miscellaneous funds.
8. Consideration of Mod 4ication of GMEF Loan Guidelines
Steve Johnson pointed out Section 5, K. Non -Performance, of the GMEF Loan
Guidelines, asking if the EDA or the City Council approves the loans. Jim Thares stated
that it should say the EDA, rather than the'City Council. Johnson also questioned Section
6, b. 5, and asked if that item was necessary. Angela Schumann noted that it would be
best if the EDA's attorney would review this, but stated this was likely in place to act as a
check and balance.
TRACY HINZ MOVED TO MODIFY THE GMEF LOAN GUIDELINES AS
PRESENTED (TO CHANGE THE TERM FROM 5-7 YEARS TO 10 YEARS ON
EQUIPMENT AND FROM 5 TO 10 YEARS ON REAL ESTATE). STEVE JOHNSON
SECONDED THE MOTION. MOTION CARRIED, 4-0.
9. Consideration of dissolving Prospect Team and Business Subsidy Committee
Bill Tapper stated that the EDA set up a Prospect and Business Subsidy Committee to
meet privately to discuss proposals. Due to Open Meeting Law, Staff requested the team
be disbanded.
Jim Thares stated the open meeting law limits the effectiveness of the committee as it
was to be a quick response to prospects. Thares noted that the committee was just
beginning to form, but had not yet met.
TRACY HINZ MOVED TO DISSOLVE THE PROSPECT TEAM SUBCOMMITTEE.
JIM DAVIDSON SECONDED THE MOTION. MOTION CARRIED, 4-0.
10. Consideration of Recommendation for Appointment of EDA Member
STEVE JOHNSON MOVED TO RECOMMEND APPOINTMENT OF JON
MORPHEW TO A SIX YEAR TERM ON THE EDA. JIM DAVIDSON SECONDED
THE MOTION. MOTION CARRIED, 4-0.
11. Director's Resort
Jim Thares noted the CEDS (Comprehensive Economic Development Strategy) meeting
being held on February 23, 2017 to discuss Economic Competitiveness. Thares indicated
that he would notify the EDA of the future CEDS meetings as well.
Thares stated the second draft of the Housing Study was being reviewed by staff. Thares
thought the EDA may possibly be able to review it during the March meeting.
Thares stated the Small Area Study Steering Committee would meet for the first time on
Thursday, February 9, 2017 at 4:00 p.m.
Lastly, Thares mentioned that an RFP for a new prospect for a 125,000 square foot
building was submitted. He stated that staff should hear back by early March.
12. Adiourn
TRACY HINZ MOVED TO ADJOURN THE MEETING AT 7:44 P.M. STEVE
JOHNSON SECONDED THE MOTION. MOTION CARRIED. 4-0.
Recorder: Jacob Thunander.
Approved: March 8, 2017
Attest:
Ji Thares, Economic Development Director
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