EDA Minutes 04-11-2018MINUTES
REGULAR MEE'T'ING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, April 11th, 2018 — 6:00 p.m.
Mississippi Room, Monticello Community Center
Commissioners Present: Steve Johnson, Bill Tapper, Jon Morphew, Tracy Hinz, 011ie
Koropchak-White, and Lloyd Hilgart
Commissioners Absent: Jim Davidson
Staff Present: Jim Thares and Angela Schumann
1. Call to Order
Steve Johnson called the EDA to order at 6:00 p.m.
2. Roll Call
3. Consideration of additional agenda items
None.
4. Consent Agenda
Steve Johnson requested removing Item 4d. and 4e. from the Consent Agenda.
BILL TAPPER MOVED TO APPROVE THE CONSENT AGENDA. MOTION
CARRIED, 6-0.
a. Consideration of approving Regular Meeting Minutes — March 14, 2018
Recommendation: Approve the Regular Meeting Minutes — March 14, 2018.
b. Consideration of approving Special Workshop Meeting Minutes — March 14,
2018
Recommendation: Approve the Special Workshop Meeting Minutes — March 14,
2018.
c. Consideration of approving Special Workshop Meeting Minutes — March 28,
2018
Recommendation: Approve Special Workshop Meeting Minutes — March 28,
2018.
d. Consideration of approving payment of bills
ITEM WAS REMOVED FROM THE CONSENT AGENDA.
e. Consideration of Preliminan7 Development Agreement with BP -Pines 1, LLC
ITEM WAS REMOVED FROM THE CONSENT AGENDA.
4d. Consideration of approving payment of bills
Steve Johnson asked that all utility services be turned off for 349 Broadway W.
OLLIE KOROPCHAK-WHITE MOVED TO APPROVE THE PAYMENT OF
BILLS THROUGH MARCH, 2018. BILL TAPPER SECONDED THE
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MOTION, MOTION CARRIED, 6-0.
4e. Consideration of Preliminary Development Agreement with BP -Pines 1, LLC
Steve Johnson noted that there were concerns with parking for this property. Jim
Thares mentioned that the preliminary development agreement is a document that
indicates the EDA's interest in continuing to work toward a final development
agreement.
Bill Tapper asked for clarification on the parking. Schumann stated that the
applicant revised their plan to reduce the number of units and the amount of
parking stalls. Schumann stated that it's still in discussion the amount of parking
stalls to include in the Central Community District.
011ie Koropchak-White noted that it was their understanding that the EDA would
be able to review the final development plans prior to any approvals of TIF funds
that would be used towards construction of the project. Schumann responded that
the final contract requires the submittal and review of final plans.
OLLIE KOROPCHAK-WHITE MOVED TO ADOPT RESOLUTION 42018-07
APPROVING A PDA BETWEEN BP -PINES 1, LLC AND THE EDA IN
CONNECTION WITH THE DEVELOPMENT OF A 44 -UNIT MARKET
RATE, MULTI -FAMILY DEVELOPMENT WITH AN AFFORDABLE
COMPONENT. BILL TAPPER SECONDED THE MOTION, MOTION
CARRIED, 6-0.
Regular Agenda
5. Consideration of Bondhus Corporation EDA-SCDP Loan Application
Jim Thares noted a discrepancy with the staff report regarding the amount of the loan
request. Bondhus Corporation applied to utilize the EDA's SCDP loan program for in
the amount of $200,000.
Thares further explained that Bondhus plans on modifying their existing manufacturing
facility by undertaking a two-story 12,400 square foot addition. Bondhus also intends on
purchasing $500,000 in new equipment and hiring an additional 15 FTE employees. A
job creation fund (JCF) reimbursement grant in the amount of $195,000 was also
submitted (by Bondhus) to Minnesota DEED.
Thares noted that due to the amount of the SCDP loan, a public hearing is required to be
held.
OLLIE KOROPCHAK-WHITE MOVED TO AUTHORIZE PUBLISHING A PUBLIC
HEARING NOTICE TO CONSIDER AN EDA-SCDP LOAN IN THE AMOUNT OF
$200,000 FOR BONDHUS CORPORATION'S EXPANSION PROPOSAL AT THE
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MAY 9, 2018 EDA MEETING. BILL TAPPER SECONDED THE MOTION. MOTION
CARRIED, 6-0.
BILL TAPPER MOVED TO AUTHORIZE PREPARATION OF A LOAN
AGREEMENT BETWEEN THE EDA AND BONDHUS CORPORATION FOR
CONSIDERATION AT THE MAY 9, 2018 EDA MEETING. OLLIE KOROPCHAK-
WHITE SECONDED THE MOTION. MOTION CARRIED, 6-0.
6. WSB Update Report
Jim Gromberg provided an update on economic development efforts that WSB &
Associates have been working with the City of Monticello on. Gromberg highlighted the
IRT site, childcare needs, and Block 52.
Gromberg reviewed the process for the potential utilization of MN -DEED'S
Contamination Cleanup and Investigation Grant Program for the IRT site, if it is needed
and of interest by the property owner. The local match (and potential cost) to the EDA is
50 percent of the grant amount with the grant capped at $50,000. Small sites like the IRT
parcel typically translate into smaller investigations and therefore less cost.
TRACY HINZ MOVED TO AUTHORIZE MOVING FORWARD WITH DEED'S
CONTAMINATION CLEANUP AND INVESTIGATION GRANT PROGRAM
APPLICATION DUE MAY 1sT, 2018. BILL TAPPER SECONDED THE MOTION.
MOTION CARRIED, 6-0.
Gromberg then explained more details on the need for childcare in Monticello and
Wright County as a whole. He suggested that First Children's Finance present additional
information to the EDA at its next workshop meeting.
BILL TAPPER MOVED TO INVITE FIRST CHILDREN'S FINANCE TO MAKE A
PRESENTATION DURING A FUTURE WORKSHOP MEETING. OLLIE
KOROPCHAK-WHITE SECONDED THE MOTION. MOTION CARRIED, 6-0.
Gromberg provided a quick update on downtown Block 52.
7. Director's Report
Jim Thares provided the Economic Development Director's Report.
Thares proposed the EDA consider authorizing a budget add on for a sign on Block 52 to
market the property for redevelopment. The existing sign structure could possibly be
used. Angela Schumann stated that staff would certainly try to keep the cost under
$2,500 for the sign by discussing with several vendors.
$2,500, TRACY HINZ MOVED TO AUTHORIZE CITY STAFF TO CREATE AND
PLACE A SIGN ON BLOCK 52, NOT TO EXCEED $2,500. JON MORPHEW
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SECONDED THE MOTION. MOTION CARRIED, 6-0.
8. Closed Session — Consideration of recessing to closed session to develop or consider
offers or counter-offers for the purchase or sale of real or personal property
pursuant to Minnesota Statute 13D.05, Subdivsion 3(c)(3).
TRACY HINZ MOVED TO BEGIN THE CLOSED SESSION. OLLIE KOROPCHAK-
WHITE SECONDED THE MOTION. MOTION CARRIED, 6-0.
Address: 209 WALNUT ST., PID #: 155010036041
Address: 207 WALNUT ST., PED#: 155010036061
Address: 200 BROADWAY W., PID#: 155010036060
9. Adiourn
BILL TAPPER MOVED TO ADJOURN THE REGULAR MEETING AT 7:12 P.M.
JON MORPHEW SECONDED THE MOTION. MOTION CARRIED, 6-0.
Recorder: Jacob Thunander
Approved: May 9th, 2018
Attest:
Economic Development Director
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