EDA Agenda 04-03-1990I AGENDA
P MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
Tuesday, April 3, 1990 - 7:00 AM
City Hall
MEMBERS: Ron Hoglund, Harvey Kendall, Al Larson, Barb Schwientek,
Bob Mosford, Fran Fair, and Warren Smith.
STAFF: Rick Wolfsteller, Jeff O'Neill, and 011ie Koropchak.
1. Call to Order.
2. Consideration to Approve the EDA May 16, 1989 Minutes.
3. Consideration to Review and to Adopt a Resolution Approving
the EDA Bylaws.
4. Consideration to Adopt an Organization Resolution of the Board
of Commissioners of the Economic Development Authority in and
for the City of Monticello. Minnesota and appointing officers.
5. Consideration to Adopt a Resolution Approving a Joint Powers
Agreement and Authorizing and Directing the President and
Secretary to Execute Same.
6. Other Business.
7. Adjournment.
,[
MINUTES
MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
Tuesday, :.ay 16, 1989 - 7:OOAM
City Hall
MEMBERS PRESENT: Bob Mosford, Barb Schwientek, Harvey Kendall,
Al Larson, Warren Smith, and Fran Fair.
MEMBERS ABSENT: Ron Hoglund.
STAFF PRESENT: Rick Wolfsteller. Jeff O'Neill, and 011ie Koropchak.
1. Call to Order.
The EDA organizational meeting began at 7:05 AM.
2. CONSIDERATION TO REVIEW THE ORDINANCE AMENDMENT, THE JOINT
POWERS AGREEMENT, AND THE GREATER MONTICELLO ENTERPRISE FUND
GUIDELINES.
Jeff O'Neill briefly highlighted the contents of the
Ordinance Amendment stating the document creates the
Monticello Economic Development Authority and describes
Its organizational structure and functions.
The Joint Powers Agreement defines the powers of the City
of Monticello, the Housing and Redevelopment Authority,
and the Economic Development Authority. The EDA has powers
the HRA does not, the EDA's prime purpose to the management
of the revolving loan fund (Grenter Monticello Enterprise
Fund) and the HRA's prime purpose is the manngement of
Tax Increment Financing. City Council tins the ultimate
power to approve or deny action token by either the EDA
or the HRA.
Mr. O'Neill presented the GMEF Guidelines to the Commissioners.
Comments made at the meeting included: 1) non-competitive
business in a grny area, not black and white; 2) mandatory
public purpose no. 1 b 3 for approval; 3) 102 equity in
GMEF Loan; and 4) Loan fee, if not incorporated with
project cost, where is the source. 5200,000 is available
from the Liquor Store Fund for transfer upon approved lonn
request (maximum loan request of 502 RLF balance). The
Council line the right to reverse EDA action within 21 days
following. Detailed application process needs to be drafted.
No formal action was taken on either of the three documents.
3. CONSIDERATION TO ADOPT AN ORGANIZATIONAL RESOLUTION OF THE
BOARD OF COMMISSIONERS OF THE ECONOMIC DEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO. MINNNSOTA AND APPOINTING
OFFICERS.
EDA offices were astnblished with tho following commissioners
voluntooring: Barb Schwientok, Vice President; Rick Wolfsteller,
EDA Minutes
5/16/89
Page 2
a
). CONTINUED.
Treasurer; and Bob Mosford, Assistant Treasurer. The other
offices were not filled, therefore, no action was taken
to adopt the organizational resolution.
4. CONSIDERATION TO REVIEW AND ADOPT THE EDA BYLAWS.
The EDA revived the Bylaws as presented, however, not
completed. The EDA suggested quarterly meetings in
January, April, July, and October on the 4th Tuesday
of the month at 7:OOAM. Special meetings may be called
upon needed loan approvals. The item was tabled.
5. CONSIDERATION TO ADOPT A RESOLUTION APPROVING A JOINT POWERS
AGREEMENT AND AUTHORIZING AND DIRECTING THE PRESIDENT AND
SECRETARY TO EXECUTE THE SAME.
No action was taken as the EDA President and Secretary were
not determined.
6. CONSIDERATION OF A NOTICE FOR THE CITY'S JOINT GOVERNMENTAL_
UNITS MEETING.
The EDA members were invited and encouraged to attend the Joint
Governmental Units meeting to be held June 5, 1989 at the
Fire Hall.
7. OTHER BUSINESS.
None.
8. ADJOURNMENT.
�
The EDA meeting adjourned by general consensus.
QQ �' N<mk ��
011ie K
Recorder
I
BYLAWS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
ARTICLE I - THE AUTHORITY
Section 1. Name of Authority,. The name of the Authority
shall be the "City of Monticello Economic Development Authority."
Section 2. Office of Authority_. The office of the Authority
shall be at the City Hall in the city of Monticello, state of
Minnesota, but the Authority may hold its meetings at such other
place or places as it may designate by resolution.
Section 3. Seal of Authority. The seal of the Authority
shall be in the form of a circle and shall bear the name of the
Authority and the year of its organization.
Section 4. Establishment. The City of Monticello Economic
Development Authority is established pursuant to Minnesota
Statutes, Section 469.090 to 469.108, and adopted by Ordinance
Amendment No. 172, Chapter 3, City of Monticello, Wright County,
Minnesota.
ARTICLE II - THE COMMISSIONERS
Section 1. Appointments Termss vacancies, Pay, and Removal.
Shall be in accordance to the Monticello Ordinance Amendment
No. 172, Chapter 3, Economic Development Authority, Section 2-3-1:
Creation.
ARTICLE III - THE OFFICERS
Section 1. Officers. The Authority shall elect a president,
a vice president, a treasurer, a secretary, and an assistant
treasurer. The Authority shall elect the president, treasurer, and
secretary at the annual meeting. A commissioner must not serve as
president and vice president at the same time. The other offices
may be hold by the same commissioner. The office of secretary and
treasurer need not be hold by a commissioner.
Section 2. Duties and Powers. The officers have the usual
duties and powers of their offices. They may be given other duties
and powers by the Authority.
IBYLAWS.EDA:3/27/90 Page I
Section 3. Treasurer's Duties. The treasurer:
(1) shall receive and is responsible for Authority money;
(2) is responsible for the acts of the assistant treasurer;
(3) shall disburse Authority money by check only;
(4) shall keep an account of the source of all receipts and
the nature, purpose, and authority of all disbursements;
(5) shall file the Authority's detailed financial statement
with its secretary at least once a year at times set by
the Authority.
(6) shall prepare and submit an annual report describing its
activities and providing an accurate statement of its
financial condition to the City of Monticello by March 1
each year.
Section 4. Assistant Treasurer. The assistant treasurer has
the powers and duties of the treasurer if the treasurer is absent
or disabled.
Section 5. Public Money. Authority money is public money.
IARTICLE IV - EXECUTIVE DIRECTOR
The Economic Development Director shall be designated as Executive
Director of the Authority.
Section 1. Duties. The Executive Director shell have general
supervision over the administration of its business and affairs
subject to the direction of the Authority. As secretary, the
Executive Director in his own name and title shall keep the records
of the Authority, shall act as Secretary of the meetings of the
Authority and record all votes, and shall keep record of the
proceedings of the Authority in a journal of proceedings to be kept
for such purpose, and shall perform all duties incident to the
office. The Executive Director shall keep in sole custody the seal
of the Authority and shall have power to affix such seal to all
contracts and instruments authorized to be executed by the
Authority.
Any person appointed to fill the office of Executive Director, or
any vacancy herein, shall have such terms as the Authority fixes,
but no commissioner of tie Authority shall be eligible to this
office.
M BYLAWS.EDA:3/27/90 Page 2
ARTICLE V - MEETINGS
Section 1. Reqular Meetinqs. Quarterly meetings shall be
held upon oral or written notice at the regular meeting place of
the Authority on the 4th Tuesday of January, April, July, and
October, at
Section 2. Arnual Meetinq. The annual meeting of the
Authority shall be held in conjunction with the regular January
meeting at o'clock p.m. at the regular meeting
place of the Authority.
Section 3. Special Meetinos. Special meetings of the
Authority may be called by the president or two members of the
Authority for the purpose of transacting any business designated in
the call. All commissioners of the Authority shall be notified.
Section 4. Quorum. At any meeting of the Authority, the
presence of four Commissioners shall constitute a quorum. If a
quorum is not present at any meeting, those present shall have
power to adjourn the meeting from time to time without notice other
than announcement at such meeting until the requisite number of
votes shall be present to constitute a quorum. At any such
adjourned meeting at which a quorum is present, any business may be
transacted which might have been transacted at the meeting as
originally called. Any resolution, election, or other formal
action of the Authority shall be adopted upon the affirmative vote
of a majority of the Authority membership.
Section 5. Order of Business. At the regular meetings of the
Authority the following shall be the order of business:
1. Call to order.
2. Roll call.
3. Reading and approval of the minutes of the previous
meeting.
4. Bills and communications.
5. Report of the Executive Director.
6. Report of committees.
7. Unfinished business.
B. Now business.
9. Adjournment.
All resolutions shall be in writing and shall be copied in the
journal of the proceedings of the Authority.
Section 6. Unless otherwise specified in the agreement or in
these bylaws, all mootings of the Authority shall be conducted in
accordance with Roberts' Rules of Order revised.
IBYLAWS. EDA: 3127190 Pago 3
Section 7. Manner of Voting. The voting on all questions
coming before the Authority shall be by roll call, and the yeas and
nays shall be entered upon the minutes of such meetings.
ARTICLE VI - EMPLOYEES; SERVICES; SUPPLIES
Section 1. Employees. Subject to limits set by the
appropriations or other funds made available, the Authority may
employ such staff, technicians, and experts as may be deemed proper
and may incur such other expenses as may be necessary and proper
for the conduct of its affairs.
Section 2. Contract for Services. The Authority may contract
for services of consultants, agents, public accountants, and other
persons needed to perform its duties and exercise its powers.
Section 3. Leqal Services. The Authority may use the
services of the city attorney or hire a general counsel for its
legal needs. The city attorney or general counsel, as determined
by the Authority, is its chief legal advisor.
Section 4. Supplies. The Authority may purchase the supplies
and materials it needs to carry out Sections 469.090 to 469.108.
Section 5. City Purchasinq. An authority may use the
facilities of its city's purchasing department in connection with
construction work and to purchase equipment, supplies, or
materials.
Section 6. City Facilities, Services. A city may furnish
offices, structures and space, and stenographic, clerical,
engineering, or other assistance to its authority.
Section 7. Delegation Power. The Authority may delegate to
one or more of its agents or employees powers or duties as it may
deem proper.
ARTICLE VII - POWERS
Section 1. Functions, Powers, and Duties. Shall be in
accordance to the Monticello Ordinance Amendment No. 172,
Chapter 3, Economic Development Authority, Section 2-3-4:
Functions, Power, and Duties.
Section 2. Limitations of Power. Shall be In accordance to
the Monticello Ordinance Amendment No. 172, Chapter 3, Economic
Development Authority, Section 2-3-5: Limitation of Power.
1 BYLAWS.EDA:3/27/90 Pago 4
ARTICLE VIII - AMENDMENTS
v
Section 1. Amendment to Bylaws. The bylaws of the Authority
shall be amended by a majority vote of the Authority membership at
a regular or special meeting. The amendments must be in written
form.
Section 2. In any instance where these bylaws are in conflict
with the Ordinance Amendment No. 172, Chapter 3, Economic
Development Authority, such Ordinance Amendment shall control.
Section 3. These bylaws are effective upon their adoption by
the Authority.
Dated: , 1990.
Signed:
President
Executive Director
(Seal)
0 BYLAWS.EDA:3/27/90 Page 5
® EDA RESOLUTION
BE IT RESOLVED BY THE COMMISSIONERS OF THE ECONOMIC
DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO,
MINNESOTA, WRIGHT COUNTY.
That the attached bylaws be and they are hereby adopted and
approved as and for the bylaws of the Economic Development
Authority of Monticello, Minnesota.
After dicussion of the resolution, Commissioner
moved that said resolution be adopted as introduced and read.
The motion was seconded by Commissioner
The question being put upon the final adoption of said resolution,
the roll was called with the following result:
YEAS:
NAYS:
Chairperson declared such motion carried and
resolution adopted.
IDATED:
I
EDA RESOLUTION 89-1
ORGANIZATIONAL RESOLUTION OF THE BOARD OF
• COMMISSIONERS OF THE ECONOMIC DEVELOP111ENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
AND APPOINTING OFFICERS
BE IT RESOLVED by the Board of Commissioners (the "Board") of the Economic
Development Authority in and for the City of Monticello, Minnesota (the "EDA")
as follows:
1. Recitals. All actions required by the applicable provisions of the
Economic Development Authorities, Minnesota Statutes, Sections
469.090 to 469.108 inclusive, as amenaeo, nave teen duly taken in
order to create, constitute, and activate the EDA.
2. Appointment of Officers. In accordance with Minnesota Statutes,
Section 469.096, the Board hereby appoints to the following ottices
of the EDA the following persons, respectively:
President:
vice President:
Secretary:
Treasurer:
Assistant Treasurer:
1. Appointment of Executive_Director. In accordance with Minnesota
Statutes, Section 469.091, Suouivision 1, the Board heresy appo7nts
Me Economic Development Director to be designated as the Executive
Director of the EDA.
4. Effective Date. This resolution shall be effective as of the date of
the resolution of the Monticello City Council activating the EDA
becomes effective.
Adopted by the Board of the EDA this day of , 1989.
President
ATTEST:
Secretary
EDA RESOLUTION 89-2
® A RESOLUTION APPROVING A JOINT POWERS AGREEMENT AND
sp AUTHORIZING AND DIRECTING THE PRESIDEN A14D
SECRETARY TO EXECLPPE SAME
WHEREAS, the Economic Development Authority of the City of Monticello did, on
the day of , 1989, at a
scheme and duly called meeting, consider and review a "Joint Powers
Agreement" dated April 10, 1989; and
WHEREAS, said Joint Powers Agreement did provide for the assisting of certain
economic development and redevelopment activities of the City of Monticello by
and between the City of Monticello, the Housing and Redevelopment Authority of
the City of Monticello, and the Economic Development Authority of the City of
Monticello; and
WHEREAS, the Housing and Pedevelopment Authority of the City of Monticello has
determined that the execution of the Joint Powers Agreement is in the best
interests of the City of Monticello.
NOW, THEREFORE, BE IT RESOLVED BY THE ECONOMIC DEVELOPMENT AUTHORITY OF THE
CITY OF MONTICELLO AS FOLLOWS:
1. That the Joint Powers Agreement dated April 10, 1989, is hereby in
all respects approved and the President and Secretary are authorized
and directed to execute said Joint Powers Agreement.
Adopted this 16th day of May, 1989, by the Economic Development Authority of
the City of Monticello.
President
ATTESTED TO BY:
Secretary
(SEAL)
250 East Rr.ei hr.,r
M,miiccllo, \1N 5ilo2-9245 AUTHORIZATION RELEASING INFORMATION
Ph,mv: ((112 ) 2,15-2 % 11
\ iro: (612) 333.57.39
TO:
Name of Financial Institution
Street
City
State Zip
I hereby authorize any person to furnish to the Monticello Economic
Development Authority, 250 East Broadway, PO Dox 1147, Monticello,
Minnesota 55362, any and all financial records, reports,
statements, or other documentation or information in their
possession regarding:
Developer's name(s)
Developer's address
Upon presentation of this authorization or an exact copy thereof,
you are directed to permit the personal review, copying, or
photostating of such records, information, and evidence and provide
same to the Monticello Economic Development Authority.
i, the undersigned, acknowledge the said above information may
become public.
This authorization shall be valid
the entire term of the loan.
Doted:
Authorized Signature
Ona copy for each principal of a
partnership or corporation as
well as the ontity Itself.
a
6
MONTICELLO EDA CHECKLIST FOR
Preliminary GMEF Loan Application.
Formal GMEF Loan Application -- Business Information:
History and Description of business.
Resumes of principals and senior management.
Financial Information:
Personal financial statements -- all principals with
20 percent ownership or more and/or guarantors.
Business financial statements current within 60 days --
operating statement and balance sheet.
Aging of existing accounts receivable and payables.
Schedule of existing debt.
Operating projections for two years.
Project Information:
Purchase Agreement.
Coat estimates with supporting documentation.
Project Appraisal.
Collateral Listings.
Business benefit analysis -- job creation/efficiency,
etc.
Lender commitment letters or commitment agreement between
landing institution and the EDA.
Prior to Loan Closing:
Certificate of Good Standing (verifies existence).
Corporation Resolution (who is authorized to borrow).
Articles of Incorporation/By Laws (lteting of do's and don't).
Picitious Namo Statement.
Equity doposti verification.
Applicablo permits and/or liconsas.
Loose Agroomants
Monticello EDA Checklist for
Page 2
O
UCC I Filings: State (M&E) Date of Filings continuations
UCC II Filings: County (Fixtures)
Evidence of insurance -- life and property.
Preliminary title report.
Certification of current status on employment
compensation, workman's compensation, and state
and federal tax withholdings.
Partnership Agreement.
Personal Guaranty(s)
Authorization Releasing Information.
Loan Agreement.
Subordination Agreement.
I
The EDA reserves the right to request additional information if so
determined.
A
FI
OPTIONAL REQUIREKE:TS
Business Information:
Business and marketing plan.
Franchise Agreement.
Financial Information:
Month -by -month cash flow.
Source of equity capital.
Personal/business federal and state tax returns.
Proforma balance sheet.
Project Information:
City, state, £edeal review by
Plans and specifications -- city site plan review.
0
A motion was made by EDA member to (approve -
disapprove) GMEF in the amount of
dollars and cents to developer
this day of Seconded by EDA
member
YEAS: NAYS:
GMEF disbursed 19_ by Check No.
EDA Treasurer
City Council may reveres an EDA loan decision within twenty-one days
of EDA approval.
ACCEPTANCE OF TERMS
I (We) hereby accept the terms and conditions stated above as approved
by the Economic Development Authority In and for the City of Monticello.
Datedt
GREATER MONTICELLO ENTERPRISE FUND
ECO::OMIC DEVELOPMEt:T AUTHORITY
IN AND FOR THE
CITY OF MONTICELLO
Preliminary Loan Application approval
Loan terms negotiated and agreed upon between the developer, the
lending institution, and the EDA Executive Director
Formal loan application and financial statements analyzed by the
lending institution and/or city staff
Formal loan documents reviewed by_city staff
Building permit approval or construction commitment
Loan documents reviewed by the City Attorney
Economic Development Authority approval or disapproval:
Loan Number Loan approved
Borrower
Address Loan disapproved
Loan Amount —'
Rate Date
Terms
A motion was made by EDA member to (approve -
disapprove) GMEF in the amount of
dollars and cents to developer
this day of Seconded by EDA
member
YEAS: NAYS:
GMEF disbursed 19_ by Check No.
EDA Treasurer
City Council may reveres an EDA loan decision within twenty-one days
of EDA approval.
ACCEPTANCE OF TERMS
I (We) hereby accept the terms and conditions stated above as approved
by the Economic Development Authority In and for the City of Monticello.
Datedt
a
Sb---IARY OF REVOLVING LOAN FUND (GMEF)
AS OF
ECO,%O?nC DEVELOPMENT AUnDR-17Y
CITY OF MONTICELLO
COMPANY. DATE OF MATURITY AMOUNT OF PRINCIPAL irrrREsT BALANCE AS MON'My PERSONAL CERT OF DATE OF
LOAN DATE Lam PAID TO DATE PAID To DATE OF PAYMENT GUARANTEES INSUREXPIRES COLLT REV
MCF RALA CE 11/1/89 $200,000