HRA Minutes 01-02-1991
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MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, January 2, 1991 - 7:00 PM
City Hall
MEMBERS PRESENT: Chairperson Al Larson, Ben Smith, Lowell Schrupp,
Everette Ellison, and Tom St. Hilaire.
STAFF PRESENT: Jeff O'Neill and Ollie Koropchak.
1. CALL TO ORDER.
Chairperson Larson called the HRA meeting to order at
7:00 PM.
2. APPROVAL OF THE NOVEMBER 7 AND NOVEMBER 14, 1990 HRA MINUTES.
Lowell Schrupp made a motion to approve the November 7, 1990
HRA minutes, seconded by Ben Smith, without further discussion
the minutes were approved as written.
Ben Smith made a motion to approve the November 14, 1990
HRA minutes, seconded by Tom St. Hilaire, and without further
discussion the minutes were approved as written.
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3. CONSIDERATION TO ACCEPT 1991 HRA MEMBERSHIP FOR CITY COUNCIL
APPOINTMENT.
With HRA member Ben Smith's willingness to remain on the HRA
for an additional term, Tom St. Hilaire made a motion
recommending, the name of Ben Smith for HRA membership, to the
Mayor for appointment and City Council approval. The
motion was seconded by Ben Smith and without further
discussion passed unanimously.
HRA Members and Terms:
Tom St. Hilaire
Everette Ellison
Al Larson
Lowell Schrupp
Ben Smith
December 1991
December 1992
December 1993
December 1994
December 1995
4.
CONSIDERATION OF FOLLOW-UP ON THE ELDERLY CONGREGATE
HOUSING CONCEPT.
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Koropchak informed the HRA members of the recommendations received from
Patty McCallan of Health Research, via Barb Schwientek, regarding
some criteria for Phase I of a market study and assessment guidelines
of the study. (See enclosure.) Koropchak further reported that
the scheduled tour of the Helgeson Development Housing Complex
in Sartel1 was cancelled because of HRA members conflicts. The
tour was scheduled for Wednesday, December 5, 1990 at 10:00 AM.
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4. CONTINUED.
The HRA concluded that the present time was not right for congregate
housing in Monticello due to the excellent ancillary services
provided in Monticello along with the availability of elderly
housing both subsidized and fair market. Additionally, the project
isn't financially feasible without assistance and at present
the HRA is aware of an interested long term investor. The
HRA suggested that the tour of the Sartell housing complex be
rescheduled in the spring.
5.
CONSIDERATION OF FOLLOW-UP ON THE GILLE PROPERTY PROPOSAL.
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Koropchak reiterated the November 30, 1990 telephone conversation
with Brad Larson. Mr. Larson said the West Prairie Partnership
was not interested in the project unless the City, Gille, or the
HRA provided the partnership with a closure report certifying
tank removal and no soil contamination. Mr. Larson further
indicated that he felt Mr. Gille was in no financial position
to remove the tanks. Inother words the partnership is not
interested in the property unless clear of all tank removal
and possible soil contanmination expenses. The HRA acknowledged the site
improvement on the property, yet, about six cars and
car parts and junk remain on the property. With the knowledge that the
City could become owners of the Gille property due to the
seven year delinquency on property taxes. the HRA requested a
current status report on the taxes and information on the
Super Fund.
6.
CONSIDERATION OF ACTIVE PROSPECTS:
a) 1.2 million sq ft distribution center - This undisclosed company
plans to employ 500+ personnel and will create an excess of
500 round trip daily truck traffic, plus employee and company owned
truck fleet traffic. The company officials have selected three
Minnesota communities for potential site selection. Monticello
is among the three along with Anoka and Owattona. The HRA
reminded staff that from their perspective they support
quality rather than quantity, however. encouraged the staff
to be aggressive in the recruitment. Additionally, they
encouraged staff to ask questions when the opportunity
arises and encouraged the Mayor and/or City staff to visit
another company similiar site.
b)
Aroplax - This 40 year old family owned company is strongly
looking at Monticello to relocate their plastic injection
molding company. Currently, preliminary building plans
are being completed and on January 3rd the owners will
visit our industrial site options and visit with staff.
The HRA analyzed the project against the TIF policy considerations
and determined the company project met considerations 1, 2,
3, 7. and 8. Based on previous information of the company
the HRA gave preliminary concept approval for the use of
TIF to Arop1ax.
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6. CONTINUED.
c) Woodcraft Industries, Inc. - the company's president
contacted my office regarding their desire to expand
their manufacturing facility. The company plans to
construct a 100,000 square foot facility and employ
150 people at $6.50 per hour. The company is in the production of
hardwood dimension cabinet componets. Plans are for
the company officicals to view industrial sites available
and to meet with staff and Mr. Pat Pelstring on January 8th.
The company is interested in a financial package and are
also looking at Becker, Wilmer, and Sauk Rapids.
The HRA supported the project recruitment.
d) Eric Bondhus - although the company's largest customer
is located in the metro area, Eric remains interested in
Monticello. TIF numbers have been run for the project
under the assumption to purchase a city lot. Mr. Bondhus
will contact Rick Wolfsteller for 1) purchase options on the
Old Fire Hall and 2) negotiable land costs on the industrial
sites.
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e) Circuit Technologies, Inc. - Based upon Pat Pelstring's
recommendation Ken Maus, Shelley Johnson and Koropchak met
to review the company's business plan and resumes. The
meeting intent was to secure additional community input
for this start-up company. Based upon the submitted
information the group recommended a commitment letter
from the proposed sales person (key person to the success
of the company), at least five letters from companies
interested in their market niche, and a two year lease
commitment. The group encouraged to proceed with the
recruitment process and if the project becomes unviable,
stop the process.
Upon the group's recommendation the company representatives,
Pat Pelstring, and Koropchak visited lending officers at
Wright County State Bank and First National of Monticello
for preliminary concept review of the project and willingness
to participate in the project. These meetings held December
28, and at this point have not heard from the lending institutions.
7. COPY OF THE REQUEST FOR PROPOSAL TIF/SPEC BUILDING PRE-PLANS
FOR INFORMATIONAL PURPOSES.
No action necessary on this agenda item, copy of the proposal
in for informational purposes only. The proposal was approved
by the IDC in December and was mailed to approximately ten
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7. CONTINUED.
contractors on December 19th with IDC selection scheduled
for January 18th.
9. ADJOURNMENT.
Tom St. Hilaire made a motion to adjourn, seconded
by Everette Ellison. the HRA meeting adjourned at 8:25 PM.
~ \<cnaC\.SJ~
Ollie Koropchak
HRA Executive Secretary
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