EDA Agenda 02-10-2021AGENDA
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, February loth, 2021— 6:00 p.m.
Mississippi Room, Monticello Community Center
Participants can choose to attend in -person or remotely via Go -To:
Web: https://21obal.2otomeetin2.com/ioin/949013725
Phone: (571) 317-3112 1 Access Code: 949-013-725
Commissioners: President Steve Johnson, Vice President Bill Tapper, Treasurer Jon Morphew,
Tracy Hinz, 011ie Koropchak-White and Councilmembers Lloyd Hilgart and
Jim Davidson
Staff: Executive Director Jim Thares, Rachel Leonard, Angela Schumann, Sarah
Rathlisberger and Jacob Thunander
1. Call to Order
2. Roll Call 6:00 p.m.
3. Annual Business Meeting
a. Consideration to elect EDA Officers
b. Consideration to review EDA Bylaws
c. Consideration to review EDA Enabling Resolution
d. Consideration of EDA Financial Statements and Fund Balance Information
4. Consideration of Additional Agenda Items
5. Consent Agenda
a. Consideration of Approving Regular Meeting Minutes — January 13th, 2021
b. Consideration of Approving Payment of Bills
c. Consideration of Consent of Assignment and Assumption of Contract for Private
Redevelopment and Tax Increment Financing (TIF) Revenue Note
between Rivertown Residential Suites, LLC and GCRE — Rivertown, LLC
Related to Property Transfer
d. Consideration of Approving Entering into a Month -to -Month Lease Agreement
with Alive! Lutheran Church (ALC) for EDA-Owned Property Located at 121
West Broadway
Regular Agenda
6. Consideration of Adopting Proposed 2021 EDA Workplan
7. Economic Development Director's Report
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 1313.05, Subdivision 3(c)(3).
Property Address and PID:
1. Address: 113 West Broadway — PID: #155-010-052060
2. PID:#155-248-001010
3. PID:#155-248-001020
4. PID:#155-248-001030
9. Adjourn
EDA Agenda: 02/10/21
3. Annual Business Meeting (JT)
A. REFERENCE AND BACKGROUND:
The EDA is required to hold an Annual Meeting each year to elect officers, make
appointments as needed and consider Bylaw changes. The EDA's enabling resolution and
Bylaws are attached for review. Staff would entertain any questions or requested
clarifications on the documents; some items may require consultation with EDA legal
counsel.
The offices that need to be filled consist of President, Vice President and Treasurer. Staff
can serve as the Secretary for recording meeting minutes.
Also attached for review and discussion is the 2020 Year End Financial reports of the EDA
Fund(s).
Al. Staff Impact: There is minimal staff time involved in preparing the staff report for
consideration of the Annual Business Meeting.
A2. Budget Impact: No expected budget
B. ALTERNATIVE ACTIONS:
1. Motion to elect 2021 officers; as President,
as Vice President, and as Treasurer.
2. Motion to table election of 2021 EDA Officers
C. ALTERNATIVE ACTIONS:
1. Motion to direct staff to prepare draft amendments to the EDA Enabling
Resolution or Bylaws as follows: (amendments to the Enabling Resolution require
a public hearing).
2. Motion of other.
D. STAFF RECOMMENDATION:
Staff defers to the EDA for appointment of officers. Currently, staff do not have any
recommended amendments to the Enabling Resolution or Bylaws and defers to the EDA
regarding Alternative Action C.
E. SUPPORTING DATA:
A. EDA Bylaws
B. EDA Enabling Resolution
C. EDA 2020 Year -End Financial Reports
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 469.1081, as amended.
ARTICLE II - THE COMMISSIONERS
Section 1. Appointment, Terms, Vacancies, Pay, and Removal. Shall be in
accordance with the Amended and Restated Resolution Enabling the Creation of the City of
Monticello Economic Development Authority dated October 22, 2007 and as it may be amended
(the "Enabling Resolution").
ARTICLE III - THE OFFICERS
Section 1. Officers. The Authority shall elect a president, a vice president, a
treasurer, a secretary, and an assistant treasurer at the annual meeting. A commissioner must not
serve as president and vice president at the same time. The other offices may be held by the
same commissioner. The offices of secretary and assistant treasurer need not be held by a
commissioner.
Section 2. President. The President shall preside at all meetings of the Authority.
Except as otherwise authorized by resolution of the Board of Commissioners, the President and
the Executive Director (the Assistant Treasurer, in the Executive Director's absence or
incapacity) shall sign all contracts, deeds, and other instruments made or executed by the
Authority, except that all checks of the Authority shall be signed by the Treasurer and Assistant
Treasurer. At each meeting the President shall submit such recommendations and information as
he or she may consider proper concerning the business, affairs, and policies of the Authority.
Section 3. Vice President. The Vice President shall perform the duties of the
President in the absence or incapacity of the President, including signing all contracts, deeds, and
other instruments executed by the Authority; and in the case of the resignation or death of the
President, the Vice President shall perform such duties as are imposed on the President until such
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325599v9MN190-130
time as the Board shall select a new President.
Section 4. Secretary. The Secretary shall keep minutes of all meetings of the Board
and shall maintain all records of the Authority. The office of Secretary may be held by the
Executive Director upon approval thereof by the Authority.
Section 5. 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 any Authority -approved method,
including without limitation check, wire transfer, or credit card;
(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; and
(6) shall prepare and submit an annual report describing the Authority's
activities and providing an accurate statement of its financial condition to the City
of Monticello by no later than one month following the annual meeting of the
Authority.
Section 6. Assistant Treasurer. The assistant treasurer has the powers and duties of
the treasurer if the treasurer is absent or incapacitated.
Section 7. Public Money. Authority money is public money.
ARTICLE IV - EXECUTIVE DIRECTOR
The City Administrator, or any other person designated in writing by the City Administrator and
approved by a majority of the Board of Commissioners, shall be designated as Executive
Director of the Authority.
Section 1. Duties. The Executive Director shall have general supervision over the
administration of the Authority's business and affairs subject to the direction of the Authority.
The Executive Director in his or her own name and title shall keep the records of the Authority,
shall act as recorder 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, with the President,
sign all contracts, deeds, and other instruments executed by the Authority, and 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.
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325599v9MN190-130
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 the Authority shall be eligible to serve
as the Executive Director.
ARTICLE V - MEETINGS
Section 1. Regular Meetings. Regular meetings shall be held on the 2nd and 4d'
Wednesday of each month.
Section 2. Annual Meeting. The annual meeting of the Authority shall be held in
conjunction with the regular February meeting at the regular meeting place of the Authority. The
August regular meeting shall include final fund balances reviewed at the Annual Meeting.
Section 3. Special Meetings. Special meetings of the Authority may be called by the
President, two members of the Authority, or the Executive Director 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. Rules of Procedure. Unless otherwise specified in the Enabling
Resolution or in these bylaws, all meetings of the Authority shall be conducted in accordance
with Roberts' Rules of Order revised.
Section 6. Manner of Voting. The voting on all questions coming before the
Authority shall be voice unless the President calls for a roll call vote. The yeas and nays shall be
entered upon the minutes of such meetings.
ARTICLE VI - EMPLOYEES; SERVICES; SUPPLIES
Section 1. Employ. 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. Legal Services. The Authority may use the services of the city attorney or
3
325599v9MN190-130
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. Sppplies. The Authority may purchase the supplies and materials it needs
to carry out its function pursuant to Minnesota Statutes, Sections 469.090 to 469.1081.
Section 5. City Purchasing. The 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. The City may furnish offices, structures and
space, and stenographic, clerical, engineering, or other assistance to the 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 with the
Enabling Resolution.
Section 2. Limitations of Power.
Resolution.
Shall be in accordance with the Enabling
ARTICLE VIII - AMENDMENTS
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. Conflicts. In any instance where these bylaws are in conflict with the
Enabling Resolution, the Enabling Resolution shall control.
Section 3. Effective Date. These bylaws are effective upon their adoption by the
Authority.
Dated: August 14, 2019.
Signed:
President
(Seal)
Executive Director
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325599v9MN190-130
CITY OF MONTICELLO
WRIGHT COUNTY, MINNESOTA
RESOLUTION NO.2012-021
AMENDED AND RESTATED RESOLUTION ENABLING THE CREATION OF THE
CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
BE IT RESOLVED by the City Council of the City of Monticello, Minnesota ("City") as follows:
Section 1. Background and Findings
1.01. The City is authorized by Minnesota Statutes, Sections 469.090 to 469.1081 (the
"EDA Act") to establish an economic development authority to coordinate and administer economic
development and redevelopment plans and programs for the City.
1.02. By Ordinance No. 172, approved April 10, 1989 and codified in the City Code as
Title II, Chapter 3 (the "Enabling Ordinance"), the City established the City of Monticello
Economic Development Authority ("EDA"), for the purpose of coordinating and administering
economic development activities in and for the City.
1.03. By resolutions approved on October 22, 2007 and January 14, 2008, the City
transferred to the EDA the control, authority and operation of all projects administered by the
Housing and Redevelopment Authority in and for the City of Monticello and adopted an Amended
and Restated Enabling Resolution (the "Enabling Resolution"), which superceded the Enabling
Ordinance in all respects.
1.04. The City Council has now determined to revise and clarify certain provisions of
the Enabling Resolution by the adoption of this resolution.
1.05. The City Council has, in accordance with Minnesota Statutes Section 469.093,
provided public notice and conducted a public hearing on the date hereof, at which all persons
wishing to be heard were given an opportunity to express their views, concerning the modified
Enabling Resolution.
1.06. This resolution constitutes an amendment and restatement of the Enabling
Resolution of January 14, 2008, and supercedes such Enabling Resolution in all respects.
Section 2. Enabling Authority.
2.01. The EDA was established pursuant to the EDA Act under the Enabling Ordinance as
adopted April 10, 1989 and codified as Title II, Chapter 3 of the City Code, as amended and restated
by this resolution.
2.02. The EDA shall be composed of 7 members to be appointed by the Mayor and
confirmed by the City Council.
2.03. Two of the members shall be members of the City Council. The terms of office of
the two members of the City Council shall coincide with their terms of office as members of the
City Council. The remaining five (5) members shall be initially appointed for terms of one, two,
three, four, and five years respectively. Thereafter, all non -Council members shall be appointed for
six -year terms.
2.04. A vacancy is created in the membership of the EDA when a City Council member of
the board of commissioners ends Council membership, when any member ends EDA membership
prior to expiration of his or her term of office, on the day following the expiration of a member's
term of office, or when a member is removed by the City Council subject to the terms of Section
2.07 hereof . A vacancy for this or any other reason must be filled for a new term or the balance of
the unexpired term, as applicable, in the manner in which the original appointment was made.
2.05. All of the members who are not members of the City Council must be either
residents of the City, business -owners in the City, or property -owners in the City.
2.06. All members shall serve at the pleasure of the City Council, subject to the terms of
Section 2.07 hereof. Vacancies shall be filled by appointment by the Mayor with the confirmation
of the City Council.
2.07. A commissioner may be removed by the City Council for inefficiency, neglect of
duty, or misconduct in office. A commissioner shall be removed only after a hearing. A copy of the
charges must be given to the commissioner at least 10 days before the hearing. The commissioner
must be given an opportunity to be heard in person or by the counsel at the hearing. When written
charges have been submitted against the commissioner, the City Council may temporarily suspend
the commissioner. If the City Council finds that those charges have not been substantiated, the
commissioner shall be immediately reinstated. If a commissioner is removed, a record of the
proceedings together with the charges and findings shall be filed in the office of the City
Administrator.
2.08. The City Council shall make available to the EDA such appropriations as it deems
fit for salaries, fees, and expenses necessary in the conduct of its work. The EDA shall have
authority to expend all budgeted sums so appropriated and recommend the expenditures of other
sums made available for its use from grants, gifts, and other sources for the purposes and activities
authorized by this resolution.
Section 3. Officers and Meetings.
3.01. The EDA shall elect a president, vice president, treasurer, assistant treasurer, and
secretary annually. A member must not serve as president and vice president at the same time. The
other offices may be held by the same member. The other offices of the secretary and assistant
treasurer need not be held by a member.
3.02. The EDA shall adopt rules and procedures not inconsistent with the provisions of
this Enabling Resolution or as provided in Minnesota Statutes, Section 469.096, and as may be
necessary for the proper execution and conduct of its business. The EDA shall adopt bylaws and
rules to govern its procedures and for the transaction of its business and shall keep a record of
attendance at its meetings and/or resolutions, transactions, findings, and determinations showing the
vote of each member on each question requiring a vote, or if absent or abstaining from voting,
indicating such fact. The records of the EDA shall be a public record, except for those items
classified by law as nonpublic data.
3.03. The EDA shall meet at least quarterly. Special meetings may be called by the
president as needed.
3.04. All administrative procedures, including contract for services, purchases of
supplies, and financial transactions and duties shall be outlined in the bylaws of the EDA.
Section 4. Staff.
4.01. The Economic Development Director shall be designated as Executive Director of
the EDA.
4.02. Subject to limits set by the appropriations or other funds made available, the FDA
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 5. Functions, Powers, and Duties.
5.01. Except as specifically limited by the provisions of Section 6 of this Enabling
Resolution, the EDA shall have the authority granted it pursuant to the EDA Act.
5.02. The EDA shall manage the Greater Monticello Enterprise Fund (the "Fund") the
purpose of which is to encourage economic development by making loans to private businesses.
The EDA shall make loans to eligible businesses, and such loan(s) shall serve a public purpose
as defined in the Greater Monticello Enterprise Fund Guidelines (Fund Guidelines). The Fund
Guidelines are hereby adopted by reference and included in the bylaws of the EDA. No changes
to the fund Guidelines shall be made without approval of the City Council.
5.03. The EDA may be a limited partner in a partnership whose purpose is consistent
with the EDA's purpose.
5.04. The EDA may issue general obligation bonds and revenue bonds when authorized
by the City Council and pledge as security for the bonds the full faith, credit, and resources of the
City or such revenues as may be generated by projects undertaken by the EDA.
5.05. The EDA may cooperate with or act as agent for the federal or state government
or a state public body, or an agency or instrumentality of government or other public body to
carry out the powers granted it by the EDA Act or any other related federal, state, or local law in
the area of economic development district improvement.
5.06. The EDA may annually develop and present an economic development strategy
and present it to the City Council for consideration and approval.
5.07. The EDA may join an official, industrial, commercial, or trade association or
other organization concerned with such purposes, hold reception of officials who may contribute
to advancing the City and its economic development, and carry out other appropriate public
relations activities to promote the city and its economic development.
5.08. The EDA may perform such other duties which may be lawfully assigned to it by
the City.
All city employees shall, upon request and within a reasonable time, famish the EDA or its
employees or agents such available records or information as may be required in its work. The EDA
or its employees or agents may, in the performance of official duties, enter upon lands and make
examinations or surveys in the same manner as other authorized City agents or employees and shall
have such other powers as are required for the performance of official functions in carrying out the
purposes of this resolution.
Section 6. Limitations of Power.
6.01. The following limits apply to the EDA and its operation:
(a) The sale of bonds or other obligations of the EDA must be approved by the
City Council.
(b) The EDA must follow the budget process for City departments in accordance
with City policies, ordinances, and resolutions and the City charter.
(c) Development and redevelopment actions of the EDA must be in conformity
to the City comprehensive plan and official controls implementing the comprehensive plan.
(d) The EDA must submit its plans for development and redevelopment to the
City Council for approval in accordance with City planning procedures and laws.
(e) Except when previously pledged by the EDA, the City Council may, by
resolution, require the EDA to transfer any portion of the reserves generated by activities of
the EDA that the City Council determines are not necessary for the successful operation of
the EDA to the debt service funds of the city to be used solely to reduce tax levies for
bonded indebtedness of the City.
(f) The administrative structure and management practices and policies of the
EDA must be approved by the City Council.
(g) The EDA shall submit all planned activities for influencing the action of any
other governmental agency, subdivision, or body to the City Council for approval.
6.02. The EDA may exercise all the powers under the EDA Act, including, but not
limited to, the following;
(a) all powers under the HRA Act.
(b) all powers of a city under Minnesota Statutes, Section 469.124 to 469.134.
(c) all powers and duties of a redevelopment agency under Minnesota Statutes,
Sections 469.152 to 469.165 for a purpose in the HRA Act or the EDA Act, and all powers
and duties in the HRA Act and the EDA Act for a purpose in Minnesota Statutes, Sections
469.152 to 469.165.
(d) the authority to acquire property, exercise the right of eminent domain; make
contracts for the purpose of redevelopment and economic development; serve as a limited
partner in a partnership whose purpose is consistent with the EDA's purpose; buy supplies
and materials needed to carry out development within the EDA Act; and operate and
maintain public parking facilities.
(e) the authority to issue bonds in accordance with the EDA Act and the HRA
Act.
(f) the authority to levy special benefit taxes in accordance with Section
469.033, subdivision 6 of the HRA Act in order to pay or finance public redevelopment
costs (as defined in the HRA Act), subject to approval by the City Council in accordance
with Section 469.033, subdivision 6.
(g) all powers under Minnesota Statutes, Sections 469.474 to 469.179.
6.03. As provided in the EDA Act, it is the intention of the City Council that nothing in this
resolution nor any activities of the EDA are to be construed to impair the obligations of the City or
HRA under any of their contracts or to affect in any detrimental manner the rights and privileges of
a holder of a bond or other obligation heretofore issued by the City, the EDA or the HRA.
Section 7. Implementation.
7.01. The City Council will from time to time and at the appropriate time adopt such
ordinances and resolutions as are required and permitted by the EDA Act to give full effect to this
resolution.
7.02. The Mayor, the City Administrator, and other appropriate City officials are
authorized and directed to take the actions and execute and deliver the documents necessary to give
full effect to this resolution.
7.03. Nothing in this resolution is intended to prevent the City from modifying this
Enabling Resolution to impose new or different limitations on the EDA as authorized by the EDA
Act.
ADOPTED BY the City Council of the City of Monticello on this 27th day of February, 2012.
CITY OF MONTICELLO
eel ze�l—1
Clint Herbst, Mayor
ATTEST:
JeOW
City Administrator
CITY OF MONTICELLO
Schedule of Assets, Liabilities, Deferred Inflows of Resources, and Fund Balances
Economic Development Authority & Small Cities Development Program
December 31, 2020 - Unaudited
ASSETS
Cash and investments
Receivables
Unremitted taxes
Delinquent taxes
Intrafund receivable
Prepaid items
Notes receivable
Land held for resale
TOTAL ASSETS
LIABILITIES
Accounts and contracts payable
Intrafund payable
Unearned revenue
Escrow deposits
Total liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - property taxes
FUND BALANCES
Nonspendable
Restricted
Assigned
Total fund balance
TOTAL LIABILITIES,
AND FUND BALANCES
Required or Actual Decertification Date
TIF District Type
(d) = decertified
TIF 6 (d) TIF 19 TIF 20 (d) TIF 22 TIF 24
EDA General GMEF TIF Future Raindance MS Shores Prairie West Downtown St. Henry's
$ 811,053 $ 1,049,574 $ $ 6,721 $ 92,936 $ 104,838 $ 400,241 $ 117,208
2,367 - - - - - -
1,551 -
566,924 742,384
3,186 - -
- 183,693 -
3,548,289 1 00 -
$ 4,933,370 $ 1,233,267 $ $ 749,105 $ 90936 $ 104,838 $ 567,441 $ 117,208
t
$ 11,767 $ $ $ $ $ $
- 44,497
- 163,200
6,720 -
18,487 44,497 163,200
1,551 -
3,186 - -
1,233,26 749,105 92,936 104,838 400,241 117,208
4,91 6 (44,497)
4,913, 1,233,267 (44,497) 749,105 92,936 104,838 400,241 117,208
0 $ 1,233,267 $ - $ 749,105 $ 92,936 $ 104,838 $ 563,441 $ 117,208
121912013 12131/2023 1211012018 12131/2024 12/31/2026
Redevelopment Housing Redevelopment Housing & Housing
Redevelopment
(Continued)
CITY OF MONTICELLO
Schedule of Assets, Liabilities, Deferred Inflows of Resources, and Fund Balances
Economic Development Authority & Small Cities Development Program
December 31, 2020 - Unaudited (Continued)
ASSETS
Cash and investments
Receivables
Unremitted taxes
Delinquent taxes
Intrafund receivable
Prepaid items
Notes receivable
Land held for resale
TOTAL ASSETS
LIABILITIES
Accounts and contracts payable
Intrafund payable
Unearned revenue
Escrow deposits
Total liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - property taxes
FUND BALANCES
Nonspendable
Restricted
Assigned
Total fund balance
TOTAL LIABILITIES,
AND FUND BALANCES
Required or Actual Decertification Date
TIF District Type
(d) = decertified
TIF 29 TIF 30 TIF 34 TIF 39 TIF 40 TIF 41 GAAP Total Total
Front Porch CMHP Interchange Otter Creek Briggs UMC Reconciliation EDA SCDP
$ 160,026 $ 112,177 $ 35,662 $ (84) $ 335 $ $ $ 2,890,687 $ 756,345
- - - - - 2,367 -
1,551
(1,309,308) -
3,186 -
183,693 168,193
- - - 3,711,489 -
$ 160,026 $ 112,177 $ 35,662 $ (84) $ 6,792,973 $ 924,538
$ - $ - $ - $ - $ $ $ $ 11,767 $ -
103,215 = 130,596 ` 1,000 (1,309,308) -
(163,200)
- I V - 6,720
103,215 v130,596 1,031,000 (1,472,508) 18,487
1,551
160,026 6
-
35,662
(130,680)
-
335
(1,031,000)
-
163,200
3,186
1,904,100 924,538
4,865,649 -
160,026
8,962
35,662
(130,680)
335
(1,031,000)
163,200
6,772,935 924,538
$ 6
$ 112,177
$ 35,662
$ (84) $
335
$
$ (1,309,308)
$ 6,792,973 $ 924,538
12131/2029
12131/2029
12131/2022
1213112021
1213112045
1213112030
Housing
Housing
Redevelopment
Economic
Housing
Economic
Development
Development
Schedule of Revenues, Expenditures and Other Financing Sources (Uses)
Economic Development Authority & Small Cities Development Program
For the Period Ended December 31, 2020 - Unaudited
Revenues
Property taxes
Tax increments
Intergovernmental
Investment earnings
Interest on loans
Other revenues
Total revenues
Expenditures:
Current
Salary and wages
Benefits
Professional services - legal
Professional services - other
LPV Insurance
Legal and general publications
Property taxes
Marketing
Dues and membership
Utilities
IT services
Travel and conferences
Qualifying TIF expenditures
Other expenditures
Excess increments
Interest on intrafund loans
PAYG payments to third parties
Total expenditures
Excess (deficiency) of revenues over
expenditures
Other financing sources (uses)
Transfers out
Net change in fund balances
Fund balance at beginning of year
Fund balance at end of year
Required or Actual Decertification Date
TIF District Type
(d) = decertified
EDA General GMEF
$ 355,080 $
- 185,000
25,602 19,994
101,465 18,733
TIF Future
CITY OF MONTICELLO
TIF 6 (d) TIF 19 TIF 20 (d) TIF 22 TIF 24
Raindance MS Shores Prairie West Downtown St. Henry's
39,084 298,946 56,104
6,826 1,401 2,000 6,213 1,701
57,805
6,721 40,345 1,895 155,018
105
35
140
57,665
101,465 18,733 6,721
40,345
1,895
155,018
57,665
4,811,867 1,214,534 (44,497) 742,384
52,591
102,943
245,223
59,543
$ 4,913,332 $ 1,233,267 $ (44,497) $ 749,105
$ 92,936
$ 104,838
$ 400,241
$ 117,208
121912013
12131/2023
1211012018
12131/2024
12131/2026
Redevelopment
Housing
Redevelopment
Housing &
Housing
Redevelopment
(Continued)
CITY OF MONTICELLO
Schedule of Revenues, Expenditures and Other Financing Sources (Uses)
Economic Development Authority & Small Cities Development Program
For the Period Ended December 31, 2020 - Unaudited (Continued)
TIF 29 TIF 30 TIF 34 TIF 39 TIF 40 TIF 41 GAAP Total Total
Front Porch CMHP Interchange Otter Creek Briggs UMC Reconciliation EDA SCDP
Revenues
Property taxes $ - $ - $ - $ - $ - $ $ $ 355,080 $
Tax increments 33,749 15,145 218,945 45,479 332 707,784
Intergovernmental - - - - - 185,000
Investment earnings 2,731 2,126 501 3 69,098 15,277
Interest on loans - - - - (9,622) 3,739 4,896
Other revenues - - - - 2,280 -
Total revenues 36,480 17,271 219,446 45,479 335 622 1,322,981 20,173
Expenditures:
Current
Salary and wages - - - - 89,770 -
Benefits 35,496
Professional services - legal - - - 17,318
Professional services - other 105 105 105 63,572
LPV Insurance - - 1,224
Legal and general publications 35 35 3 3 351
Property taxes - - - 1,641
Marketing 1,149
Dues and membership 5,796
Utilities - 2,240
IT services 2,665
Travel and conferences - 1,348
Qualifying TIF expenditures 1,031,000 1,031,000
Other expenditures - 260,624
Excess increments 137,813
Interest on intrafund loans 2,850 6,772 (9,622) -
PAYG payments to third parties - - - - - 11,303
Total expenditures 140 2,990 140 6,912 - 1,031,000 (9,622) 1,663,310 -
Excess (deficiency) of revenues over
expenditures 36,340 14,281 219,306 38,567 335 (1,031,000) (340,329) 20,173
Other financing sources (uses)
Transfers out - - (200,000) (200,000) -
Net change in fund balances 36,340 14,281 19,306 38,567 335 (1,031,000) (540,329) 20,173
Fund balance at beginning of year 123,686 (5,319) 16,356 (169,247) - 163,200 7,313,264 904,365
Fund balance at end of year $ 160,026 $ 8,962 $ 35,662 $ (130,680) $ 335 $ (1,031,000) $ 163,200 $ 6,772,935 $ 924,538
Required or Actual Decertification Date 1213112029 12/31/2029 12/31/2022 12/31/2021 1213112045 1213112030
TIF District Type Housing Housing Redevelopment Economic Housing Economic
(d) = decertified Development Development
MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, January 13th, 2021— 6:00 p.m.
Mississippi Room, Monticello Community Center
Participants attended either in -person or remotely.
Commissioners Present: Steve Johnson, Bill Tapper, Jon Morphew, Tracy Hinz, 011ie
Koropchak-White, and Jim Davidson
Commissioners Absent: Lloyd Hilgart
Staff Present: Jim Thares and Rachel Leonard
1. Call to Order
Steve Johnson called the Regular Meeting of the Economic Development Authority to
order at 6:00 p.m.
2. Roll Call
3. Consideration of Additional Agenda Items
None.
4. Consent Agenda
BILL TAPPER MOVED TO APPROVE THE CONSENT AGENDA. JON MORPHEW
SECONDED THE MOTION. MOTION CARRIED, 6-0.
a. Consideration of Approving Workshop Meeting Minutes — December 9, 2020
Recommendation: Approve Workshop Meeting Minutes — December 9, 2020.
b. Consideration of Approving Regular Meeting Minutes — December 9, 2020
Recommendation: Approve Regular Meeting Minutes — December 9, 2020.
c. Consideration of Approving Payment of Bills
Recommendation: Approve Payment of Bills through December 2020.
Regular Agenda
5. Consideration of Proposed 2021 EDA Workplan
Jim Thares noted that during the December EDA workshop, the board reviewed the 2020
workplan and the process to accomplish a new 2021 workplan. Thares sent out the
materials to EDA members and encouraged them to provide comments and suggestions
for the new workplan. Thares noted that Steve Johnson and 011ie Koropchak provided
comments that were included in the agenda packet. Thares mentioned that those
comments were included in the revised proposed workplan. Staff wanted to ensure that
all members of the EDA had a chance to weigh-in on the 2021 workplan prior to
approval. Thares asked the EDA to review the Monticello 2040 Comprehensive Plan
Economic Development Authority Minutes — January 13t', 2021 Page 1 1 2
Economic Development implementation chapter and rank number the priorities. Thares
noted that a proposed 2021 workplan would be presented to the EDA for consideration at
the February 10, 2021 Regular Meeting.
Thares highlighted a few accomplishments and work progress from the rough draft of the
2021 workplan.
6. Economic Development Director's Report
Jim Thares provided the Economic Development Director's Report as provided in the
agenda packet.
Thares provided further detail regarding the River Street EDA owned property. He noted
that the property was purchased by the HRA in 1998 with the intent to purchase other
properties on that block. The HRA paid $55,700 for this property. The 2021 value of the
property is $50,000. Thares envisioned that the site would be suitable for one single
family residence.
Regarding the Block 52 developer discussions, the EDA concurred that staff should
follow up with Good Neighbor Properties, Alexandria, to further discuss redevelopment
of the block.
Discussion regarding the inclusion of the 4th Street properties in the EDA marketing plan
occurred. The EDA's intent for this property was for multi -family housing. Bill Tapper
mentioned concern with the two single family residential structures located between the
EDA's property and an existing apartment complex. He encouraged the EDA once those
properties are available that the EDA consider purchasing and repurposing those lots.
Thares mentioned another property that may be for EDA consideration for purchase due
to structural issues.
Tapper asked what was holding up Project Gia-Saurus. Thares noted it is a large, atypical
building and the cost of supporting infrastructure. He also noted the advantages and
disadvantages of each of the three locations that were determined in the land feasibility
study completed by WSB. Thares also added that the financing is not locked down at this
time either.
7. Adiourn
TRACY HINZ MOVED TO ADJOURN THE MEETING AT 7:13 P.M.
Recorder: Jacob Thunander
Approved: February loth, 2021
Attest:
Jim Thares, Economic Development Director
Economic Development Authority Minutes — January 13t', 2021 Page 2 12
EDA Agenda: 02/10/21
4b. Consideration of Approving Payment of Bills (JT)
A. REFERENCE AND BACKGROUND:
Accounts Payable summary statements listing bills submitted during the previous month
are included for review.
B. ALTERNATIVE ACTIONS:
1. Motion to approve payment of bills through January, 2020.
2. Motion to approve payment of bills through January, 2020 with changes as directed
by the EDA.
C. STAFF RECOMMENDATION:
Staff recommends approval of Alternative #1.
D. SUPPORTING DATA:
A. Accounts Payable Summary Statements
Accounts Payable
Transactions by Account CITY F
User: Debbie.Davidson —4-to 6effo
Printed: 01/06/2021 - 2:47PM
Batch: 00204.01.2021
Account Number Vendor Description GL Date Check No Amount PO No
213-46301-430300 WSB & ASSOCIATES INC Downtown Redevelop Project - Nov 2 12/31/2020 0 136.50
Vendor Subtotal for Dept:46301 136.50
213-46301-431990 WSB & ASSOCIATES INC 2020 Econonmic Development Service 12/31/2020 0 1,871.50
Vendor Subtotal for Dept:46301 1,871.50
213-46301-443300 INITIATIVE FOUNDATION 2021 Endowment Contribution 01/12/2021 123374 2,390.00
Vendor Subtotal for Dept:46301 2,390.00
Subtotal for Fund: 213 4,398.00
Report Total: 4,398.00
AP -Transactions by Account (01/06/2021 - 2:47 PM) Page I
101 XENIA AVFNUE S
SUITE $00
MINNFAPOLIS. NN
55416
City of Monticello
Atln: Sarah Rath Iisberger, CPPO Finance Manager
505 Walnut Street, Suite I
Monticello, MN 55362-8831
-5 It
s ti I—ti-7
�I
it
wsb;
December 16. 2020
Project/invoice: R•014511-0ao - 10
Reviewed by: Bret Weiss
Project !Manager Penny Rolf
Downtown Redev. Project - Monticello
City Staff Reviewer - Jim Thares
L Acet # N/A
rofes io ervices from November 1 2020 to November 34. 2D2o
Phase 001 Downtown Redev. Project
Acquisition Assistance Services
Hours
Bate Amount
Rolf, Penny 11124J2020 _75
182 00 136.50
Review PA_ prepare draft of Early Not Letter, call to Jim T_
re:
letterhead
Totals .75
136.50
Total Labor
136.50
Total this Task $136,50
Total this phase $136.50
Billing Limits Current
Prior to -Date
Total Billings 136.60
3.587.50 3,824.00
Limit
10,08.00
Remaining
6.384.00
Total this Invoice $136,50
Julie Cheney
From:
Jim Thares
Sent:
Monday, January 4, 2021 2:33 PM
To:
Julie Cheney
Subject:
RE: WSB (2)
Julie, these are okay to pay. Please see coding below:
From: Julie Cheney <Julie.Cheney@ci.monticello.mn.us>
Sent: Monday, January 4, 2021 1:49 PM
To: Jim Thares <Jim.Thares@ci.monticello.mn.us>
Subject: WSB (2)
Importance: High
Jim -
Attached are the following invoices from WSB for November services:
Inv# R015355 -000 11— 2020 Economic Services - $1,871.50 213-46301-431990
Inv# R014511-000 10 — Downtown Redev Project - $136.50 213-46301-431990
Okay to pay?
Sorry for the short notice but I need to include these in our Wednesday check run. Please review and approve by end
of day Tuesday.
ThanksH
Julie Cheney
Finance Assistant
City of Monticello
763-271-3205
Julie.Cheney@ci.monticello.mn.us
AP@ci.monticello.mn.us
ACIOF
Monitieflio
Email correspondence to and from the City of Monticello government offices is subject to the
Minnesota Government Data Practices Act and may be disclosed to third parties.
1
701 XENIA AvkNuE 5
$IJITE 300
MINNEAPOLIS. MN
554}5
wsb
City of Monticello December 16, 2020
Attn: Sarah Rathlisbarger, OPFO Finance Manager ProjeWlnvoice: R-015355-000 - 11
505 Walnut Street, Sutte 1 Reviewed by: Bret Weiss
Monticello, MIS 55362-8831 Project Manager: James Grornberg
2020 Economic Development Services
City Staff Reviewer - Jim Thares
L Aoct # 213.46301.431990
Professional Services froember 30. 202U
Phase 001 2020 Economic Development Services
Monthly Retainer
Comments: M €� 1`00 r
F r hi t
Fee
Total Fee
9,300.00
Percent Complete
91.6667
Total Earned
8.525.00
Previous Fee Filling
7,750.00
Current Fee Billing
775.00
Total Fee
775_00
Total this
Task
$775.00
Special Projects
Hours
Rate
Amount
Grornberg, James
111W020
1.00
150.00
150.00
Information for Project G ia-Saurus - Smiths Office
Gromberg, James
111512020
1.00
150.00
150.00
mitht Funding information
romberg, ,lames
1111112020
.75
15000
112 50
Map Updates
Gromberg, Jaynes
11{2412021)
1_00
150.DO
150.00
Call with Tim KorbylJohn Shoffner about Asia-Saurus Project
Moen, Kristin
11/1112020
2.00
89.00
178 0D
update maps
Moen, Kristin
1111212020
1.50
80.00
13350
map updates
Moen, Knstin
1111312020
2.50
89.00
222.50
update maps and tables
Totals
9.75
1.096.50
Total Labor
1,090_50
Total this Task
S1,096_50
Total this Phase
$1,871,50
Project R-015355-000 MONT - 2020 Economic Development Service Invoice 11
Total this Invoice $1.871.50
Outstanding invoices
Invoice Number pate Balance
10 1111712020 2.379.05
Total 2,379.00
Total Now Due
Billings to Date
Current
Prior
Total
Fee
775.00
7.750.00
8.525.00
Labor
1,086.5D
8.642.00
8.738.50
Add -on
0.00
-397.00
-387.00
Totals
1,871,50
16.005.00
17,876,50
4, 250_ 50
Page 2
Julie Cheney
From:
Jim Thares
Sent:
Monday, January 4, 2021 2:33 PM
To:
Julie Cheney
Subject:
RE: WSB (2)
Julie, these are okay to pay. Please see coding below:
From: Julie Cheney <Julie.Cheney@ci.monticello.mn.us>
Sent: Monday, January 4, 2021 1:49 PM
To: Jim Thares <Jim.Thares@ci.monticello.mn.us>
Subject: WSB (2)
Importance: High
Jim -
Attached are the following invoices from WSB for November services:
Inv# R015355 -000 11— 2020 Economic Services - $1,871.50 213-46301-431990
Inv# R014511-000 10 — Downtown Redev Project - $136.50 213-46301-431990
Okay to pay?
Sorry for the short notice but I need to include these in our Wednesday check run. Please review and approve by end
of day Tuesday.
ThanksH
Julie Cheney
Finance Assistant
City of Monticello
763-271-3205
Julie.Cheney@ci.monticello.mn.us
AP@ci.monticello.mn.us
ACIOF
Monitieflio
Email correspondence to and from the City of Monticello government offices is subject to the
Minnesota Government Data Practices Act and may be disclosed to third parties.
1
Initiative
F❑ U N D AT I a
JcITO'Neill, City Administraror
C'ily of MOwiccll0
505 WAInol SE, Ste
Mom iccllo MN 55362-W2
Pledge Reminder
Invoice #
i Invoice pate } Balance-
1
3 !2021 Plcdgc - 2021 Alloc_ , 2,390_U0
Ploy; (Endowed) Thank you far supporting the work of the Initiativc Foundation_ 2,390A4
Your contribution will provide support for community and economi;
dc%-clopineru kn COINral MilLnesota.
Invoice Total 2,190.00
Amount Due $2,390.00
d K I/o�lz�
IMPORTANT: Please make payable to Initialive Foundalimi only and mail to;
Initiative Foundetion
405 First Street Southeast
Little Falls, MN 56345
Phone; 320-532-9255
MINUTES
1REGULAR MEFTiNG - ECONON1IC DE E1LOPMENT AUTHORITY (EDA)
Wednesday, October loth, 2020 - 6:00 p.m.
R'lississippi boom, kjanticelle ('gmmunity Venter
Participants attended in -person and remotely.
Commissioners Present: Steve Johnson, Bill Tapper, Jon Morphew, Tracy Hinz, 011ie
Korogchak-White, Lloyd Hilgao, and Jim Davidson
Staff Present: Jinn Thares. Angela Schumann. and Rachel Leonard
1, fall to Order
Steve Johnson called the regular luleeting ofthe ED1 to order at b:40 P.m-
2. Roll Call
3_ Consideration of Additional Amends [lens
None.
4, Consent Agenda
BIL1. TAP 1)ER MOVED TO ACCEPT THI, ONSENT AGENDA. !1M DAVIDSON
SF -CO DED THE MOTION. MOTION CARRIED, 7-0.
a. Consideration of Apig rovine Re ular Meetin Minutes - Se tember 9 21120
Retoinmendation: Approve, Regular Meeting Minutes - September 9, 2020-
b. C:onsiderstion of A P pro%'in V4'0rk1hO I eetiny ;4linules - Septernber 9
2020
R ommi�ndauon: Approve Workshop Meeting Minutes - September 9, 2020,
c. Consideration of Aipproving Pa ruent of Sills
Recommendation. Approve payment Of bills through, SePtember.
d. Consideration of approving a CY 2021 Contribution to the Initiative
Foundation's Collinid"itY and Economic Iles-ela ment Pro rams in the
amount ai $2.39i1
Recommendation. }approve a CY 2021 contribution to the Initiative Foundation's
cornmunity and economic development programs efforts in the amount of S2,390,
Regular Agenda
5. C:onsideration of A pip roviniz Smell Business Emer ene ° Grant A reements in the
Arnount of 55 000 to finders KeepSrs Gift & Consi nment' Asian Cafe Sushi Grill'
All Four Kids LLC- IC Enter rises LLC dba C:a itan Paneho Villa; liandle Bars
Barhersho Vivian iV guyes, Inc. dbs PS Nails• Hali J Design s dba Classi ue
Rennroic Develnpnient Awhoriry iulipolcs - Cktober 14'11, 2020 Page 115
Accounts Payable
Transactions b Account CITY F
User: Debbie.Davidonti effo
Printed: 01/19/2021 - 2:3 2:31PM
Batch: 00201.01.2021
Account Number Vendor Description GL Date Check No Amount PO No
213-46301-438200 CITY OF MONTICELLO 7256-004 - 130 Brdwy- Stormwtr 12/31/2020 0 12.25
213-46301-438200 CITY OF MONTICELLO 7256-007 - 103 Pine St- EDA 12/31/2020 0 29.34
213-46301-438200 CITY OF MONTICELLO 7256-008 - 112 River St. W EDA 12/31/2020 0 29.34
213-46301-438200 CITY OF MONTICELLO 7256-009 - 300 4th St. E - EDA 12/31/2020 0 0.00
Vendor Subtotal for Dept:46301 70.93
213-46301-443300 US BANK CORPORATE PMT SYS EDAM - 2021 Membership Dues 12/31/2020 0 295.00
Vendor Subtotal for Dept:46301 295.00
Subtotal for Fund: 213 365.93
Report Total: 365.93
AP -Transactions by Account (01/19/2021 - 2:31 PM) Page 1
Vendor
Date of Transaction l aI n *D
CITY OF MONTICELLO
City Hall Card Transaction
Please attach the invoice/receipt and any other available documentation to this form.
To be completed by purchaser:
p0
Amount $ 2-c 5 —
Circle purchaser name:
Julie Cheney
Tracy Ergen
Vicki Leerhoff
Rachel Leonard
Jeff O'Neill
Jacob Thunander
Sarah Rathlisberger
Jennifer Schreiber
Angela Schumann
Jim Thares
Liz Lindrud
Empl ee Signature
Supervisor Signature
V/ 0 . Ac Z
Date approved
Special Project # or Description
Circle department code:
101-41110
City Council
101-41310
Administration
101-41410
City Clerk
101-41520
Finance
101-41800
Human Resources
101-41910
Planning and Zoning
101-41920
Data Processing
101-41940
City Hall
213-46500
conomic Development
213-46301
HRA
Circle expense code:
421990
General Operating Supplies
431950
Newsletter Services
431990
Miscellaneous Prof Services
432200
Postage
433100
Travel/Training Expense
443700 Licenses and Permits
443990 Misc. Other Expense
Other
Jim Thares
From: info@edam.org
Sent: Thursday, December 17, 2020 3:32 PM
To: Jim Thares
Subject: Thank you for renewing your membership with EDAM!
Dear Jim,
You have renewed your Individual Membership for $295.00 and your new membership expiration date is
12/31 /2021.
We want to be sure you save the date for the upcoming Winter Conference, to be held on January 21 & 22,
likely as a virtual event.
We value you as a member and encourage you to participate in all EDAM has to offer:
• Enjoy reduced rates on Winter and Summer Conferences/educational events
• Build your professional network
• Learn best practices in our ever -changing industry
• Benefit from legislative representation that amplifies the voice of economic development in
Minnesota
• Hone your leadership skills by joining a committee
• Vote in EDAM elections
• Be a part of a dynamic community that works together to benefit all
Please take a minute to login to our website at www.edam.org. Once you login you will be able to update
your profile, search the member directory, and access past webinars. Our website is also your resource for
event information and registration, job postings (and the ability to post them), our legislative policy and much
more.
Your usemame is usually your email address, unless you have changed it. Your password is private. You
can reset it if needed. If you require assistance, call us at 952-928-4640.
Jim, we welcome you back to EDAM and look forward to helping you make meaningful connections within
our association. Please don't hesitate to contact us with any questions.
Thank you,
Colleen Eddy
Chair
Member Services Committee
Tim Johnson
Vice Chair
Member Services Committee
Economic Development Association of Minnesota
www.edam.ora 1 952-928-4640
This is an automated email sent from EDAM. Please do not reply to this email. It has been sent from an email
account that is not monitored. If you feel you have received this message in error, please feel free to contact us at
infoOedam.orc.
12/17/2020 Invoice No. 300001710 -Economic Development Association of Minnesota
Economic Development Association Invoice
of Minnesota
Date Invoice #
12/17/2020 300001710
Bill To
Jim Thares
City of Monticello
505 Walnut Street
Suite 1
Monticello, MN 55362
United States
Member Information
Jim Thares
City of Monticello
PO
Terms
Due Date
Due on receipt
12/17/2020
Description Amount
Individual Membership $295.00
Total $295.00
Payments/Adjustments
Description
Amount
Payment via Credit Card (using card xxxxxxxxxxxx1834)
Applied to invoice on 1211712020 4:31:54 PM
($295.00)
Total Payments/Adjustments
($295.00)
Balance Due
$0.00
4248 Park Glen Road
Minneapolis, MN 55416
P:(952) 9284640 F: (952) 929-1318
VISA MasterCard
Card Number Expiration Date
code (required)
3 digit security
https:/Iv w .edam.org/members/invoice_view.asp 112
Debbie Davidson
From:
Sent:
To:
Subject:
Attachments:
City of Monticello, MN
505 Walnut St, Ste 1
Monticello, MN 55362
763.271.3228
8 AM to 4:30 PM
Account Information
Account:
Name:
Service Address:
Service Period:
Billing Date:
Due Date:
Meter Reading
noreply@merchanttransact.com
Friday, December 4, 2020 9:28 AM
AP
Your bill from City of Monticello, MN is ready.
121201nvoiceBacklnsert.pdf; 11120Webinserts.pdf
007256-004
MONTICELLO EDA (213-46301)
130 BROADWAY E
11/1/2020 to 11/30/2020 (30 days)
12/3/2020
1/1/2021
Previous Reading Current Reading
Serial Date Reading Date Reading Cons
Current Charges
Water: ACH CREDIT - AUTO PAY ($1.25)
Water: EBILL CREDIT ($0.50)
Stormwater: STORMWATER / NON-RESIDENTIAL $14.00
Total Current Charges: $12.25
Bill Summary
Previous Balance:
$12.25
Payments Received:
$12.25
Adjustments:
$0.00
Current Charges:
$12.25
* Total Amount Due by: 1/1/2021
$12.25
* This was the amount due at the time of billing.
To view your amount due at the current time and make a payment click here.
Auto payment is setup for this customer account, do not pay.
1
Debbie Davidson
From:
Sent:
To:
Subject:
Attachments:
City of Monticello, MN
505 Walnut St, Ste 1
Monticello, MN 55362
763.271.3228
8 AM to 4:30 PM
Account Information
Account:
Name:
Service Address:
Service Period:
Billing Date:
Due Date:
Meter Reading
Serial
Current Charges
noreply@merchanttransact.com
Friday, December 4, 2020 9:28 AM
AP
Your bill from City of Monticello, MN is ready.
121201nvoiceBacklnsert.pdf; 11120Webinserts.pdf
Previous Reading
Date Reading
Water:
Water: CITY WATER - NON-TAXABLE
Water: ACH CREDIT - AUTO PAY
Water: EBILL CREDIT
Water: WATER - STATE CONNECTION FEE
Sewer: SEWER - COMMERCIAL
Stormwater: STORMWATER / NON-RESIDENTIAL
Total Current Charges:
Bill Summary
Previous Balance:
Payments Received:
Adjustments:
Current Charges:
* Total Amount Due by: 1/1/2021
* This was the amount due at the time of billing.
007256-007
MONTICELLO EDA (213-46301)
103 PINE ST
11/1/2020 to 11/30/2020 (30 days)
12/3/2020
1/1/2021
Current Reading
Date Reading
To view your amount due at the current time and make a payment click here.
Auto payment is setup for this customer account, do not pay.
Cons
$0.00
$7.10
($1.25)
($0.50)
$0.81
$9.18
$14.00
$29.34
$29.34
$29.34
$0.00
$29.34
$29.34
1
Debbie Davidson
From:
Sent:
To:
Subject:
Attachments:
City of Monticello, MN
505 Walnut St, Ste 1
Monticello, MN 55362
763.271.3228
8 AM to 4:30 PM
Account Information
Account:
Name:
Service Address:
Service Period:
Billing Date:
Due Date:
Meter Reading
noreply@merchanttransact.com
Friday, December 4, 2020 9:28 AM
AP
Your bill from City of Monticello, MN is ready.
121201nvoiceBacklnsert.pdf; 11120Webinserts.pdf
Previous Reading
Serial Date Reading
68621907 11/1/2020 43854
Current Charges
Water:
Water: CITY WATER - NON-TAXABLE
Consumption
Water: CITY WATER - NON-TAXABLE
Water: ACH CREDIT - AUTO PAY
Water: EBILL CREDIT
Water: WATER - STATE CONNECTION FEE
Sewer: SEWER - COMMERCIAL Consumption
Sewer: SEWER - COMMERCIAL
Stormwater: STORMWATER / NON-RESIDENTIAL
Total Current Charges:
Bill Summary
Previous Balance:
Payments Received:
Adjustments:
Current Charges:
* Total Amount Due by: 1/1/2021
* This was the amount due at the time of billing.
007256-008
MONTICELLO EDA (213-46301)
112 RIVER ST W
11/1/2020 to 11/30/2020 (30 days)
12/3/2020
1/1/2021
Current Reading
Date Reading Cons
12/1/2020 43855 1
$0.00
$0.00
$7.10
($1.25)
($0.50)
$0.81
$0.00
$9.18
$14.00
$29.34
$29.34
$29.34
$0.00
$29.34
$29.34
To view your amount due at the current time and make a payment click here.
i
Auto payment is setup for this customer account, do not pay.
Accounts Payable
Transactions by
Account CITY F
�User: Debbie.Davidson effo
Printed: 02/01/2021 - 2:40PM
Batch: 00215.01.2021
Account Number Vendor Description GL Date Check No Amount PO No
213-46301-438100 XCEL ENERGY 51-13295413-8 -103 Pine St- EDA O1/31/2021 0 46.71
Vendor Subtotal for Dept:46301 46.71
Subtotal for Fund: 213 46.71
Report Total: 46.71
AP -Transactions by Account (02/01/2021 - 2:40 PM) Page I
NORTHERN STATES POWER COMPANY
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1
CITY MONTICELLO ECONOMIC DEV AUTH
505 WALNUT ST STE 1
MONTICELLO MN 55362-8831
51-0013295413-8
01/06/2021
STATEMENT NUMBER
STATEMENT DATE
711673865
12/08/2020
$257.10
ACCOUNT BALANCE (Balance de su cuenta)
Previous Balance As of11/01 $1,847.47
Payment Received Phone Pay 11/12-$1,719.13 CR
Balance Forward $128.34
Current Charges $128.76
Amount Due (Cantidad a pagar) $257.10
PREMISES SUMMARY
PREMISES NUMBER PREMISES IDENTIFIER PREMISES DESCRIPTOR CURRENT BILL
302923602 103 PINE ST EDA- $46.71
303409149 112 W RIVER ST PW Split - $82.05
Total
INFORMATION ABOUT YOUR BILL
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ACCOUNT NUMBER I DUE DATE
51-0013295413-8 01/06/2021 $257.10
Your bill is paid through a In automated bank payment plan.
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XCEL ENERGY
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MPLS MN 55484-9477
32 5101OL21 00132954138 0000001287600000025710
Page 2 of 4
Xcel Energy
MAILING ADDRESS
ACCOUNT NUMBER
CITY MONTICELLO ECONOMIC DEV AUTH
505 WALNUT ST STE 1
MONTICELLO MN 55362-8831
51-0013295413-8
/06/2021
;$257.10
STATEMENT NUMBER
STATEMENT DATE
711673865
12/08/2020
SERVICE ADDRESS: 103 PINE ST MONTICELLO, MN 55362-8564
NEXT READ DATE: 01/07/21
ELECTRICITY SERVICE DETAILS
PREMISES NUMBER: 302923602
INVOICE NUMBER: 0875125591
READINGMETER
METER 3632365 - Multiplier x 40 Read Dates: 10/31 /20-12/02/20 (32 Days)
DESCRIPTION
CURRENT READING
PREVIOUS READING
MEASURED
USAGE
BILLED
USAGE
Total Energy
21389 Actual
21385 Actual
4
160 kWh
Demand
Actual
0.4 kW
Billable Demand
0 kW
ELECTRICITY CHARGES
RATE: Sm Gen Svc (Metered)
DESCRIPTION
USAGE UNITS RATE
CHARGE
Basic Service Chg
$10.00
Energy Charge Winter
160 kWh $0.077570
$12.41
Fuel Cost Charge
160 kWh $0.025438
$4.07
Decoupling Adj
160 kWh $0.002849
$0.46
Affordability Chrg
$1.27
Resource Adjustment
$1.12
Subtotal
$29.33
City Fees
$5.50
Transit Improvement Tax
0.50%
$0.18
State Tax
6.875%
$2.40
Total
$37.41
OTHER RECURRING CHARGES DETAILS
INVOICE NUMBER: 875125552
ADDRESS: 103 PINE ST
MONTICELLO, MN 55362-8564
UNIT
DESCRIPTION USAGE UNITS
CHARGE QTY
CHARGE
Install Number 157123
10/31/20to 12/01/20
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a
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Xcel Energy
MAILING ADDRESS
ACCOUNT NUMBER
CITY MONTICELLO ECONOMIC DEV AUTH
505 WALNUT ST STE 1
MONTICELLO MN 55362-8831
51-0013295413-8
/06/2021
;$257.10
STATEMENT NUMBER
STATEMENT DATE
711673865
12/08/2020
OTHER RECURRING CHARGES DETAILS
INVOICE NUMBER: 875125552
ADDRESS: 103 PINE ST
MONTICELLO, MN 55362-8564
UNIT
DESCRIPTION USAGE UNITS
CHARGE OTY CHARGE
100 WATT HIPS AREA CO OWN
Auto Protective Lgt 53 kWh
$7.41 1 $7.41
Fuel Cost Charge
$1.05
Resource Adjustment
$0.20
Subtotal
$8.66
N
Transit Improvement Tax
$0.05
N
M
State Tax
$0.59
0
Total
$9.30
Premises Total
$46.71
DAILY AVERAGES Last Year
r•
Temperature 27' F
Electricity kWh 4.8
Electricity Cost $1.05
INFORMATION ABOUT YOUR BILL
For an average non -demand customer, 68% of your bill refers to power plant costs,
15% to high voltage line costs, and 17% to the cost of local wires connected to your
business. For an average demand -billed customer, 78% of your total bill refers to
power plant costs, 15% to high voltage lines, and 7% to the cost of local wires
connected to your business.
DON'T GET SDAMMED.
Scammers can spoof phone numbers to look like the call is
coming from us. If someone calls and threatens to turn off
your power if you don't pay immediatelyr or asks for your
account number to refund an overpayment, hang up and
Check your account status using My Accauntr our
Xcel Energy mobile app, or call us at 800-895-4999,
C2
V
m
N
0
0
Page 4 of 4
Xcel Energy
DAILY AVERAGES
Last Year
Temperature
27' F
Electricity kWh
5.2
Electricity Cost
$2.92
MAILING ADDRESS
ACCOUNT NUMBER
11 1
CITY MONTICELLO ECONOMIC DEV AUTH
505 WALNUT ST STE 1
MONTICELLO MN 55362-8831
51-0013295413-8
01/06/2021
STATEMENT NUMBER
STATEMENT DATE
711673865
12/08/2020
$257.10
SERVICE ADDRESS: 112 W RIVER ST MONTICELLO, MN 55362-8766
NEXT READ DATE: 01/07/21
ELECTRICITY SERVICE DETAILS
PREMISES NUMBER: 303409149
INVOICE NUMBER: 0875132364
READINGMETER
METER 15062258 Read Dates: 11/01/20-12/02/20 (31 Days)
DESCRIPTION
CURRENT READING
PREVIOUS READING
USAGE
Total Energy
68790 Actual
68719 Actual
71 kWh
Demand
Actual
0.5 kW
Billable Demand
1 kW
ELECTRICITY CHARGES
RATE: General Service
DESCRIPTION
USAGE UNITS
RATE
CHARGE
Basic Service Chg
$25.64
Energy Charge
71 kWh
$0.034070
$2.42
Fuel Cost Charge
71 kWh
$0.024507
$1.74
Sales True Up
71 kWh
$0.001950
$0.14
Demand Charge Winter
1 kW
$10.490000
$10.49
Affordability Chrg
$3.60
Resource Adjustment
$1.38
Subtotal
$45.41
City Fees
$31.00
Transit Improvement Tax
0.50%
$0.39
State Tax
6.875%
$5.25
Total
$82.05
Premises Total
$82.05
INFORMATION ABOUT YOUR BILL
For an average non -demand customer, 68% of your bill refers to power plant costs,
15% to high voltage line costs, and 17% to the cost of local wires connected to your
business. For an average demand -billed customer, 78% of your total bill refers to
power plant costs, 15% to high voltage lines, and 7% to the cost of local wires
connected to your business.
DON'T GET SDAMMED.
Scammers can spoof phone numbers to look like the call is
coming from us. If someone calls and threatens to turn off
your power if you don't pay immediatelyr or asks for your
account number to refund an overpayment, hang up and
Check your account status using My Accauntr our
Xcel Energy mobile app, or call us at 800-895-4999,
Iu
EDA Agenda — 02/10/21
5c. Consideration of Consent of Assignment and Assumption of Contract for Private
Redevelopment and Tax Increment Financing (TIF) Revenue Note between
Rivertown Residential Suites, LLC and GCRE — Rivertown, LLC Related to
Property Transfer (JT)
A. REFERENCE AND BACKGROUND
The EDA is asked to approve a "Consent" to the Assignment and Assumption of the Contract
for Private Redevelopment and Tax Increment Financing (TIF) Revenue Note between
Rivertown Residential Suites, LLC and GCRE — Rivertown, LLC related to a proposed
transfer of the 47-unit apartment property. The proposed Assignment and Assumption
document was prepared by the private parties involved in the transaction and reviewed and
final edited by the EDA attorney.
As a reminder, a Contract for Private Redevelopment was entered into between the EDA and
Rivertown Residential Suites, LLC (Briggs Companies) in July 2018 when TIF District 1-
40 was created to support the development of the 47-unit apartment building. TIF District
1-40 was established as a 26-year Affordable Housing District. The Contract for Private
Redevelopment requires that 20 percent of the units (10 units) be made available to
households with incomes at or below 50 percent of the area median income (AMI). Wright
County income thresholds are used as basis for determining household eligibility.
The Assignment document transfers the Contract obligations and the rights to the TIF
payments to the new owner, GCRE — Rivertown, LLC, including the annual certification of
income verification for the affordable housing units. The Assignment document will not
impact the original plan, as adopted, for TIF District 1-40. The first tax increment collections
are expected to occur in June 2021.
Al. Budget Impact: There is a minimal budget impact to the EDA related to the
Consideration of Consenting to the Assignment and Assumption Agreement between
Rivertown Residential Suites, LLC and GCRE — Rivertown, LLC. The EDA attorney's
expense in reviewing and editing the Assignment will be invoiced to the property buyer,
GCRE — Rivertown, LLC. In-house staff costs related to completing the report are
budgeted in the 2021 EDA General Fund Budget.
A2. Staff Workload Impact: An estimate of 10 to 12 hours of staff time has been committed
in research and communication tasks as well as in reviewing and editing the Assignment
and Assumption Agreement.
A3. Strategic Plan Impact: N/A
B. ALTERNATIVE ACTIONS
1. Motion to approve the EDA's Consent to an Assignment and Assumption Agreement
of the Contract for Private Redevelopment and TIF Revenue Note between Rivertown
Residential Suites, LLC and GCRE — Rivertown, LLC related to a proposed transfer of
the 47-unit apartment property.
2. Motion of other as determined by the EDA.
C. STAFF RECOMMENDATION
Staff recommends Alternative 1. The EDA is considering its Consent to the Assignment and
Assumption as an awareness -informational step rather than as a legal requirement. Since
the EDA previously issued a Certificate of Completion (indicating satisfactory performance
of the development under the Contract terms) to Rivertown Residential Suites, LLC (Briggs
Companies) in October 2020, it no longer has authority of approval or denial of the
developer's actions related to the proposed sale. The document that was presented to the
EDA includes a "Consent" feature and the EDA attorney has indicated that is acceptable,
though it is not required.
Based on staff discussion with the buyer, there is a strong degree of comfort that the purchase
of the 47-unit property by GCRE — Rivertown, LLC is expected to result in continued high
level of professional property management in the future. GCRE (Granite City Real Estate)
currently manages a significant number of apartment properties throughout the St. Cloud
region. Information regarding GCRE is attached as Exhibits E and F.
D. SUPPORTING DATA
A. Assignment and Assumption Agreement — Clean Version
B. Assignment and Assumption Agreement — Redline
C. Contract for Private Redevelopment
D. Certificate of Completion
E. GCRE — Property Management Information
F. GCRE — Owner Borrower Principal Resumes
ASSIGNMENT AND ASSUMPTION OF CONTRACT FOR PRIVATE
REDEVELOPMENT
THIS ASSIGNMENT AND ASSUMPTION OF CONTRACT FOR PRIVATE
REDEVELOPMENT (this "Assignment"), made as of this day of , 2021, by and
between Rivertown Residential Suites, LLC, a Minnesota limited liability company
("Assignor"), and GCRE — Rivertown, LLC, a Delaware limited liability company ("Assignee").
WITNESSETH:
A. The City of Monticello Economic Development Authority (the "Authority") and
Assignor entered into that certain Contract for Private Redevelopment dated July 11,
2018 (the "Contract") providing, among other things, for the construction of
approximately 47 rental units and associated structured underground and surface parking
(the "Minimum Improvements") on the property legally described within the Contract
(the "Development Property") within the City of Monticello (the "City").
B. Pursuant to the Contract, the Assignor shall remain bound by all of the Redeveloper's
obligations under the Contract unless the Assignor submits to the Authority written
evidence of any transfer or assignment, including the transferee or assignee's express
assumption of the Redeveloper's obligations under the Contract.
C. Assignor wishes to assign its rights and obligations under the Contract to Assignee, and
to assign to Assignee its right to the Authority's Tax Increment Revenue Note
(Rivertown Residential Suites Project) to be issued pursuant to the Contract (the "Note"),
and Assignee wishes to purchase the Development Property and assume such rights and
obligations under the Contract and accept the assignment of Assignor's interest in the
Note, and the Assignor and Assignee intend that this Assignment consitute written
evidence of such assignment and assumption.
D. The defined terms in the Contract shall have the same meaning hereunder.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the parties hereto agree as follows:
1
1. Assignor does hereby grant, transfer, and assign to Assignee all of its rights and
interests in, to and under the Contract, and all of its right, title and interest in, to
and under the Note.
2. Assignee hereby accepts this Assignment and assumes and agrees to faithfully
abide by, perform, and discharge each and every term, covenant, and condition of
the Contract and the exhibits thereto applicable to the "Developer" first arising
from and after the date of this Assignment and to be fully bound by all of the
foregoing. Assignee, for value received, further accepts all right, title and interest
of Assignor in, to and under the Note and does hereby assume and agree to be
bound by and to perform all the covenants, agreements and obligations of
Assignor in, to and under the Note arising from and after the date of this
Assignment. Assignee hereby agrees to indemnify and hold Assignor harmless
from and against any and all claims, expenses, costs, obligations, or other
liabilities with respect to the Contract and the Note, arising or incurred from and
after the date hereof.
3. Assignor hereby warrants and represents to Assignee as follows:
a. The Contract has not been modified or amended and is full force and
effect as of the date hereof, and
b. To Assignor's knowledge, there is no Event of Default in existence
under the Contract, nor is there in existence any state of facts or
circumstances which, with the giving of notice or lapse of time or both,
would constitute an Event of Default under the Contract.
4. Assignor and Assignee agree that this Assignment shall not be amended or
changed in any way without prior written approval of the Authority.
5. This Assignment and Assumption shall be binding upon and inure to the benefit
of the successors and assigns of the parties hereto and shall further be for the
benefit and reliance of the Authority.
6. This Assignment shall be governed by and construed in accordance with the laws
of the State of Minnesota.
7. This Assignment may be executed in counterparts, which counterparts when
considered together shall constitute a single, binding, valid and enforceable
agreement.
[signature pages to follow]
2
IN WITNESS WHEREOF, the parties have executed this Assignment and Assumption
Agreement as of the date first indicated above.
ASSIGNOR:
RIVERTOWN RESIDENTIAL SUITES, LLC
By:
Its:
STATE OF MINNESOTA
) SS.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of , 2021,
by , the of Rivertown Residential Suites, LLC., a
Minnesota limited liability company, on behalf of the company.
Notary Public
ASSIGNEE:
GCRE — RIVERTOWN, LLC
Its:
STATE OF MINNESOTA )
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of ,
2021, by , the of GCRE — Rivertown, LLC, a
Delaware limited liability company, on behalf of the company.
Notary Public
This document was drafted by:
Claudia M. Revermann, #0317664
Revermann Law, P.A.
1623 Division Street
Waite Park, MN 56387
CONSENT OF AUTHORITY
The Authority hereby consents to the foregoing Assignment and Assumption of Contract for Private
Redevelopment and acknowledges and agrees that Assignor is hereby released from all covenants
and obligations under the Contract and the Note accruing after the date hereof.
CITY OF MONTICELLO ECONOMIC
DEVELOPMENT AUTHORITY
By
Its President
By
Its Executive Director
STATE OF MINNESOTA )
SS.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of , 2021,
by and , the President and Executive Director of
the City of Monticello Economic Development Authority, a public body corporate and politic and
political subdivision of the State of Minnesota, on behalf of the public body.
Notary Public
5
ASSIGNMENT AND ASSUMPTION OF CONTRACT FOR PRIVATE
REDEVELOPMENT
THIS ASSIGNMENT AND ASSUMPTION OF CONTRACT FOR PRIVATE
REDEVELOPMENT (this `Assignment'), made as of this day of , 2021, by and
between Rivertown Residential Suites, LLC, a Minnesota limited liability company (`Assignor'),
and GCRE — Rivertown, LLC, a Delaware limited liability company (`Assignee').
WITNESSETH:
A. The Housing and Redevelopment Authority ; and for- the City of Monticello Economic
Development Authority (the `Authority') and Assignor entered into that certain Contract
for Private Redevelopment dated July 11, 2018 (the "Contract') providing, among other
things, for the construction of approximately 47 rental units and associated structured
underground and surface parking (the `Minimum Improvements') on the property legally
described within the Contract (the `Development Property') within the City of Monticello
(the "City').
B- Pursuant to the Contract, the Assignor shall remain bound by all of the Redeveloper's
obligations under the Contract unless the Assignor submits to the Authority written
evidence of any transfer or assignment, including the transferee or assignee's ex rp ess
assumption of the Redeveloper's obligations under the Contract.
C- E—Assignor wishes to assign its rights and obligations under the Contract to Assignee,
and to assign to Assignee its right to the Authority's Tax Increment Revenue Note
(Rivertown Residential Suites Project) to be issued pursuant to the Contract (the `Note'),
and Assignee wishes to purchase the Development Property and assume such rights and
obligations under the Contract and accept the assignment of Assignor's interest in the
Note.
G.—
Note withatit the eensent of the . and the Assignor and Assignee intend that this
Assignment consitute written evidence of such assignment and assum tp ion.
D. The defined terms in the Contract shall have the same meaning hereunder.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties hereto agree as follows:
1. Assignor does hereby grant, transfer, and assign to Assignee all of its rights and
interests in, to and under the Contract, and all of its right, title and interest in, to
and under the Note.
2. Assignee hereby accepts this Assignment and assumes and agrees to faithfully
abide by, perform, and discharge each and every term, covenant, and condition of
the Contract and the exhibits thereto applicable to the `Developer" first arising
from and after the date of this Assignment and to be fully bound by all of the
foregoing. Assignee, for value received, further accepts all right, title and interest
of Assignor in, to and under the Note and does hereby assume and agree to be
bound by and to perform all the covenants, agreements and obligations of
Assignor in, to and under the Note arising from and after the date of this
Assignment. Assignee hereby agrees to indemnify and hold Assignor harmless
from and against any and all claims, expenses, costs, obligations, or other
liabilities with respect to the Contract and the Note, arising or incurred from and
after the date hereof.
3. Assignor hereby warrants and represents to Assignee as follows:
a. The Contract has not been modified or amended and is full force and
effect as of the date hereof; and
b. To Assignor's knowledge, there is no Event of Default in existence under
the Contract, nor is there in existence any state of facts or circumstances
which, with the giving of notice or lapse of time or both, would
constitute an Event of Default under the Contract.
4. Assignor and Assignee agree that this Assignment shall not be amended or
changed in any way without prior written approval of the Authority.
5. This Assignment and Assumption shall be binding upon and inure to the benefit
of the successors and assigns of the parties hereto and shall further be for the
benefit and reliance of the Authority.
6. This Assignment shall be governed by and construed in accordance with the laws
of the State of Minnesota.
7. This Assignment may be executed in counterparts, which counterparts when
considered together shall constitute a single, binding, valid and enforceable
agreement.
[signature pages to follow]
2
IN WITNESS WHEREOF, the parties have executed this Assignment and Assumption
Agreement as of the date first indicated above.
ASSIGNOR:
RIVERTOWN RESIDENTIAL SUITES, LLC
By:
Its:
STATE OF MINNESOTA )
SS.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of , 2021,
by , the of Rivertown Residential Suites, LLC., a
Minnesota limited liability company, on behalf of the company.
Notary Public
ASSIGNEE:
GCRE — RIVERTOWN, LLC
Its:
STATE OF MINNESOTA )
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of ,
2021, by , the of GCRE — Rivertown, LLC, a
Delaware limited liability company, on behalf of the company.
This document was drafted by:
Claudia M. Revermann, #0317664
Revermann Law, P.A.
1623 Division Street
Waite Park, MN 56387
Notary Public
j9
CONSENT OF AUTHORITY
The Authority hereby consents to the foregoing Assignment and Assumption of Contract €for
Private Redevelopment and acknowledges and agrees that Assignor is hereby released from all
covenants and obligations under the Contract and the Note accruing after the date hereof.
CITY OF MONTICELLO ECONOMIC
DEVELOPMENT AUTHORITY
By
Its President
By
Its Executive Director
STATE OF MINNESOTA )
SS.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of ,
2021, by and , the President and Executive
Director of the City of Monticello Economic Development Authority, a public body corporate and
politic and political subdivision of the State of Minnesota, on behalf of the public body.
Notary Public
5
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EXECUTION COPY
CONTRACT
FOR
PRIVATE REDEVELOPMENT
By and Between
CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
and
RIVERTOWN RESIDENTIAL SUITES, LLC
Dated as of: July 11, 2018
This document was drafted by:
KENNEDY & GRAVEN, Chartered (MNI)
470 U.S. Bank Plaza
Minneapolis, Minnesota 55402
Telephone: (612) 337-9300
5216190 MNI MN190-156
TABLE OF CONTENTS
PREAMBLE............................................................................................................................1
ARTICLE I
Definitions
SectionI. I. Definitions..........................................................................................................2
ARTICLE II
Representations and Warranties
Section 2.1. Representations by the Authority.......................................................................5
Section 2.2. Representations and Warranties by the Redeveloper.........................................5
ARTICLE III
Property Acquisition; Public Redevelopment Costs
Section 3.1. Status of the Redevelopment Property...............................................................7
Section 3.2. Environmental Conditions.................................................................................7
Section 3.3. Public Redevelopment Costs; Issuance of Note................................................7
Section 3.4. Other Assistance................................................................................................7
Section 3.5. Payment of Administrative Costs......................................................................8
Section 3.6. No Business Subsidy..........................................................................................9
ARTICLE IV
Construction of Minimum Improvements
Section 4.1.
Construction of Minimum Improvements.......................................................10
Section 4.2.
Construction Plans...........................................................................................10
Section 4.3.
Completion of Construction.............................................................................I
I
Section 4.4.
Certificate of Completion................................................................................11
Section 4.5.
Records and Reports........................................................................................I
I
Section4.6.
Income Limits..................................................................................................
I I
ARTICLE V
Insurance
Section5.1.
Insurance..........................................................................................................14
Section5.2.
Subordination...................................................................................................15
ARTICLE VI
Tax Increment; Taxes
Section 6.1. Right to Collect Delinquent Taxes...................................................................16
Section6.2. Review of Taxes..............................................................................................16
i
5216190 MNI MN190-156
ARTICLE VII
Financing
Section7.1. Generally..........................................................................................................18
Section 7.2. Authority's Option to Cure Default on Mortgage............................................18
Section 7.3. Modification; Subordination............................................................................I S
ARTICLE VIII
Prohibitions Against Assignment and Transfer; Indemnification
Section 8.1. Representation as to Redevelopment...............................................................19
Section 8.2. Prohibition Against Redeveloper's Transfer of Property and
Assignment of Agreement...............................................................................19
Section 8.3. Release and Indemnification Covenants..........................................................21
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined...............................................................................22
Section 9.2. Remedies on Default........................................................................................22
Section 9.3. No Remedy Exclusive......................................................................................22
Section 9.4. No Additional Waiver Implied by One Waiver...............................................23
Section9.5. Attorney Fees...................................................................................................23
Section 9.6. Redeveloper's Remedies on Default................................................................23
ARTICLE X
Additional Provisions
Section 10.1.
Conflict of Interests; Authority Representatives Not Individually Liable .......
24
Section 10.2.
Equal Employment Opportunity......................................................................24
Section 10.3.
Restrictions on Use..........................................................................................24
Section 10.4.
Provisions Not Merged With Deed..................................................................24
Section 10.5.
Titles of Articles and Sections.........................................................................24
Section 10.6.
Notices and Demands......................................................................................24
Section10.7.
Counterparts.....................................................................................................25
Section10.8.
Recording.........................................................................................................25
Section10.9.
Amendment......................................................................................................25
Section 10.10.
Authority Approvals........................................................................................25
Section10.11.
Termination......................................................................................................25
Section 10.12.
Choice of Law and Venue................................................................................25
SCHEDULE A
Description of Redevelopment Property
SCHEDULE B
Authorizing Resolution
SCHEDULE C
Certificate of Completion
SCHEDULED
Form of Income Verification
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CONTRACT FOR PRIVATE REDEVELOPMENT
THIS AGREEMENT, made as of the I Ith day of July, 2018, by and between CITY OF
MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and
politic and a political subdivision under the laws of the State of Minnesota (the "Authority"), and
RIVERTOWN RESIDENTIAL SUITES, LLC, a Minnesota limited liability company (the
"Redeveloper").
WITNESSETH:
WHEREAS, the Housing and Redevelopment Authority in and for the City of Monticello
(the "HRA") and the City of Monticello (the "City") previously created the Central Monticello
Redevelopment Project No. 1 (the "Redevelopment Project") pursuant to Minnesota Statutes,
Sections 469.001 through 469.047, as amended (the "HRA Act"), and adopted a redevelopment
plan for the Redevelopment Project; and
WHEREAS, the Authority was established pursuant to Minnesota Statutes, Sections
469.090 to 469.1081 (hereinafter referred to as the "Act"), and was authorized to transact business
and exercise its powers by a resolution of the City Council of the City, which also transferred the
control and responsibility for the Redevelopment Project from the HRA to the Authority; and
WHEREAS, the Authority and City have approved a Tax Increment Financing Plan (the
"TIF Plan") for Tax Increment Financing District No. 1-40 (the "TIF District"), a housing district
within the Redevelopment Project, pursuant to Minnesota Statutes, Sections 469.174 to 469.1794
(the "TIF Act"); and
WHEREAS, pursuant to the Act, the Authority is authorized to undertake certain activities
to facilitate the redevelopment of real property by private enterprise; and
WHEREAS, the Redeveloper intends to acquire certain property within the TIF District (the
"Redevelopment Property") and to construct a multifamily rental housing facility (the "Minimum
Improvements") on the Redevelopment Property, and has requested tax increment financing
assistance from the Authority to offset certain extraordinary costs of constructing such Minimum
Improvements; and
WHEREAS, the Authority believes that the redevelopment of the Redevelopment Property
pursuant to this Agreement, and fulfillment generally of this Agreement, are in the vital and best
interests of the City and the health, safety, morals, and welfare of its residents, and in accord with
the public purposes and provisions of the applicable State and local laws and requirements under
which the Redevelopment Project has been undertaken and is being assisted.
NOW, THEREFORE, in consideration of the premises and the mutual obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
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ARTICLE I
Defimitions
Section I.I. Definitions. In this Agreement, unless a different meaning clearly appears
from the context:
"Act" means the Economic Development Authority Act, Minnesota Statutes, Sections
469.090 to 469.1081, as amended.
"Affiliate" means with respect to any entity (a) any corporation, partnership, limited
liability company or other business entity or person controlling, controlled by or under common
control with the entity, and (b) any successor to such party by merger, acquisition, reorganization or
similar transaction involving all or substantially all of the assets of such party (or such Affiliate).
For the purpose hereof the words "controlling", "controlled by" and "under common control with"
shall mean, with respect to any corporation, partnership, limited liability company or other business
entity, the ownership of fifty percent or more of the voting interests in such entity or possession,
directly or indirectly, of the power to direct or cause the direction of management policies of such
entity, whether through ownership of voting securities or by contract or otherwise.
"Agreement" means this Agreement, as the same may be from time to time modified,
amended, or supplemented.
"Authority" means the City of Monticello Economic Development Authority, or any
successor or assign.
"Authority Representative" means the Executive Director of the Authority, or any person
designated by the Executive Director to act as the Authority Representative for the purposes of this
Agreement.
"Authorizing Resolution" means the resolution of the Authority, substantially in the form of
attached Schedule B to be adopted by the Authority to authorize the issuance of the Note.
"Available Tax Increment" means, on each Payment Date, 90 percent of the Tax Increment
attributable to the Redevelopment Property and paid to the Authority by Wright County in the six
months preceding the Payment Date.
"Business Day" means any day except a Saturday, Sunday, legal holiday, a day on which
the City is closed for business, or a day on which banking institutions in the City are authorized by
law or executive order to close.
"Certificate of Completion" means the certification provided to the Redeveloper, or the
purchaser of any part, parcel or unit of the Redevelopment Property, pursuant to Section 4.4 of this
Agreement.
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"City" means the City of Monticello, Minnesota.
"Construction Plans" means the plans, specifications, drawings and related documents on
the construction work to be performed by the Redeveloper on the Redevelopment Property which
a) shall be as detailed as the plans, specifications, drawings and related documents which are
submitted to the appropriate building officials of the City, and (b) shall include at least the
following for each building: (1) site plan; (2) foundation plan; (3) basement plans; (4) floor plan
for each floor; (5) cross sections of each (length and width); (6) elevations (all sides); (7) landscape
plan; and (8) such other plans or supplements to the foregoing plans as the Authority may
reasonably request to allow it to ascertain the nature and quality of the proposed construction work.
"County" means the County of Wright, Minnesota.
"Event of Default" means an action by the Redeveloper listed in Article IX of this
Agreement.
"Holder" means the owner of a Mortgage.
"HRA Act" means the Housing and Redevelopment Authority Act, Minnesota Statutes,
Sections 469.001 to 469.047, as amended.
"Minimum Improvements" means the construction by the Redeveloper on the
Redevelopment Property of a multifamily rental housing facility, consisting of approximately 47
rental units, and associated structured underground and surface parking.
"Mortgage" means any mortgage made by the Redeveloper which is secured, in whole or in
part, with the Redevelopment Property and which is a permitted encumbrance pursuant to the
provisions of Article VII of this Agreement.
"Note" means the Tax Increment Revenue Note, substantially in the form contained in the
Authorizing Resolution, to be delivered by the Authority to the Redeveloper in accordance with
Section 3.3 hereof.
"Payment Date" means August 1 of the year following substantial completion of the
Minimum Improvements and each February 1 and August 1 thereafter pursuant to the terms of the
Note.
"Public Redevelopment Costs" has the meaning provided in Section 3.3(a) hereof.
"Redeveloper" means Rivertown Residential Suites, LLC or its permitted successors and
assigns.
"Redevelopment Plan" means the Authority's Redevelopment Plan for the Redevelopment
Project, as amended.
5216190 MNI MN190-156
No. 1.
"Redevelopment Project" means the Authority's Central Monticello Redevelopment Project
"Redevelopment Property" has the meaning provided in Section 3.1 hereof.
"State" means the State of Minnesota.
"Tax Increment" means that portion of the real property taxes which is paid with respect to
the Redevelopment Property and which is remitted to the Authority as tax increment pursuant to the
Tax Increment Act. The term Tax Increment does not include any amounts retained by or payable
to the State auditor under Section 469.177, subd. 11 of the Tax Increment Act.
"Tax Increment Act" or "TIF Act" means the Tax Increment Financing Act, Minnesota
Statutes, Sections 469.174 to 469.1794, as amended.
"Tax Increment District" or "TIF District" means the Authority's Increment Financing
District No. 1-40 (Briggs Multifamily Housing).
"Tax Increment Plan" or "TIF Plan" means the Authority's Tax Increment Financing Plan
for Tax Increment Financing District No. 1-40 (Briggs Multifamily Housing), as approved by the
City on June 26, 2018, and as it may be amended.
"Tax Official" means any County assessor; County auditor; County or State board of
equalization, the commissioner of revenue of the State, or any State or federal district court, the tax
court of the State, or the State Supreme Court.
"Termination Date" means the earlier of the following: (a) the date when the Note has been
fully paid, defeased or terminated in accordance with its terms; or (b) the date of termination of the
Note and this Agreement by the Authority due to an Event of Default as set forth in Section 9.2
hereof.
"Transfer" has the meaning set forth in Section 8.2(a) hereof.
"Unavoidable Delays" means delays beyond the reasonable control of the party seeking to
be excused as a result thereof which are the direct result of war, terrorism, strikes, other labor
troubles, fire or other casualty to the Minimum Improvements, litigation commenced by third
parties which, by injunction or other similar judicial action, directly results in delays, or acts of any
federal, state or local governmental unit (other than the Authority in exercising its rights under this
Agreement) which directly result in delays. Unavoidable Delays shall not include delays directly
caused by actions or inaction of the Redeveloper in obtaining permits or governmental approvals
necessary to enable construction of the Minimum Improvements by the dates such construction is
required under Section 4.3 of this Agreement.
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ARTICLE II
Representations and Warranties
Section 2.1. Representations by the Authority. The Authority makes the following
representations as the basis for the undertaking on its part herein contained:
(a) The Authority is an economic development authority duly organized and existing
under the laws of the State. Under the provisions of the Act, the Authority has the power to enter
into this Agreement and carry out its obligations hereunder.
(b) The activities of the Authority are undertaken to foster the redevelopment of certain
real property which for a variety of reasons is presently underutilized, to create increased tax base
in the City, to increase affordable housing opportunities in the City, and to stimulate further
development of the TIF District and Redevelopment Project as a whole.
Section 2.2. Representations and Warranties by the Redeveloper. The Redeveloper
represents and warrants that:
(a) The Redeveloper is a limited liability company duly organized and in good standing
under the laws of the State of Minnesota, is not in violation of any provisions of its organizational
documents or the laws of the State, is duly authorized to transact business within the State, has
power to enter into this Agreement and has duly authorized the execution, delivery and
performance of this Agreement by proper action of its governing members.
(b) After acquisition of the Redevelopment Property and on or prior to the dates
specified in Section 4.3 hereof, the Redeveloper will commence and complete construction of, and
operate and maintain the Minimum Improvements in accordance with the terms of this Agreement,
the Redevelopment Plan and all applicable local, state and federal laws and regulations (including,
but not limited to, environmental, zoning, building code and public health laws and regulations).
(c) The Redeveloper has received no notice or communication from any local, state or
federal official that the activities of the Redeveloper or the Authority in the Redevelopment Project
may be or will be in violation of any environmental law or regulation (other than those notices or
communications of which the Authority is aware). The Redeveloper is aware of no facts the
existence of which would cause it to be in violation of or give any person a valid claim under any
local, state or federal environmental law, regulation or review procedure.
(d) The Redeveloper will obtain, in a timely manner, all required permits, licenses and
approvals, and will meet, in a timely manner, all requirements of all applicable local, state and
federal laws and regulations which must be obtained or met before the Minimum Improvements
may be lawfully constructed.
(e) Neither the execution and delivery of this Agreement, the consummation of the
transactions contemplated hereby, nor the fulfillment of or compliance with the terms and
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conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the
terms, conditions or provisions of any corporate restriction or any evidences of indebtedness,
agreement or instrument of whatever nature to which the Redeveloper is now a party or by which it
is bound, or constitutes a default under any of the foregoing.
(f) Whenever any Event of Default occurs and if the Authority shall employ attorneys
or incur other expenses for the collection of payments due or to become due or for the enforcement
of performance or observance of any obligation or agreement on the part of the Redeveloper under
this Agreement, and the Authority prevails in such action, the Redeveloper agrees that it shall,
within ten days of written demand by the Authority, pay to the Authority the reasonable fees of
such attorneys and such other expenses so incurred by the Authority.
(g) The proposed development by the Redeveloper hereunder would not occur but for
the tax increment financing assistance being provided by the Authority hereunder.
(h) The Redeveloper is not currently in default under any business subsidy agreement
with any grantor, as such terms are defined in the Business Subsidy Act.
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ARTICLE III
Property Acquisition, Conveyance; Public Redevelopment Costs
Section 3.1. Status of the Redevelopment Property. (a) As of the date of this Agreement,
the Redeveloper has entered into a purchase agreement with a third party for the purchase of the
Redevelopment Property. If all contingencies in the purchase agreement are satisfied, the
Redeveloper will acquire the Redevelopment Property on or before July 12, 2018. The Authority
has no obligation to acquire any portion of the Redevelopment Property.
Section 3.2. Environmental Conditions. (a) The Redeveloper acknowledges that the
Authority makes no representations or warranties as to the condition of the soils on the
Redevelopment Property or the fitness of the Redevelopment Property for construction of the
Minimum Improvements or any other purpose for which the Redeveloper may make use of such
property, and that the assistance provided to the Redeveloper under this Agreement neither implies
any responsibility by the Authority or the City for any contamination of the Redevelopment
Property or poor soil conditions nor imposes any obligation on such parties to participate in any
cleanup of the Redevelopment Property or correction of any soil problems (other than the financing
described in this agreement).
(b) Without limiting its obligations under Section 8.3 of this Agreement the
Redeveloper further agrees that it will indemnify, defend, and hold harmless the Authority, the
City, and their governing body members, officers, and employees, from any claims or actions
arising out of the presence, if any, of hazardous wastes or pollutants existing on or in the
Redevelopment Property, unless and to the extent that such hazardous wastes or pollutants are
present as a result of the actions or omissions of the indemnitees. Nothing in this section will be
construed to limit or affect any limitations on liability of the City or Authority under State or
federal law, including without limitation Minnesota Statutes Sections 466.04 and 604.02.
Section 3.3. Public Redevelopment Costs; Issuance of Note.
(a) Generally. If the Redeveloper acquires the Redevelopment Property, in order to
make construction of the Minimum Improvements financially feasible, the Authority will reimburse
the Redeveloper for a portion of the Public Redevelopment Costs incurred by the Redeveloper in
accordance with this section. The term "Public Redevelopment Costs" means costs of acquisition
of the Redevelopment Property, and costs of site preparation, public improvements including
without limitation street parking and sidewalk improvements, costs of construction of the
affordable housing units of the Minimum Improvements, and structured parking on the
Redevelopment Property (to the extent such structured parking costs exceed the amounts paid by
the Authority under Section 3.4 hereof).
(b) Terms. To reimburse the Public Redevelopment Costs incurred by Redeveloper, the
Authority shall issue and the Redeveloper shall purchase the Note in the maximum principal
amount of $785,000. The Authority shall issue and deliver the Note upon compliance by the
Redeveloper with the following conditions:
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(i) delivered to the Authority one or more certificates signed by the
Redeveloper's duly authorized representative, containing the following: (i) a statement that
each cost identified in the certificate is a Public Redevelopment Cost as defined in this
Agreement and that no part of such cost has been included in any previous certification; (ii)
evidence that each identified Public Redevelopment Cost has been paid or incurred by or on
behalf of the Redeveloper; and (iii) a statement that no uncured Event of Default by the
Redeveloper has occurred and is continuing under the Agreement. The Authority may, if
not satisfied that the conditions described herein have been met, return any certificate with a
statement of the reasons why it is not acceptable and requesting such further documentation
or clarification as the Authority may reasonably require;
(ii) submitted and obtained Authority approval of financing in accordance with
Section 7.1; and
(iii) delivered to the Authority an investment letter in a form reasonably satisfactory
to the Authority.
The terms of the Note will be substantially those set forth in the form of the Note shown in
Schedule B, and the Note will be subject to all terms of the Authorizing Resolution, which is
incorporated herein by reference.
(c) Termination of right to Note. All conditions for delivery of the Note must be met by
no later than the date which is less than five (5) years after the date of certification of the TIF
District by the County and complies with the so-called five-year rule under Section 469.1763, subd.
3(c) of the TIF Act. If the conditions for delivery of the Note are not satisfied by the date described
in this paragraph, the Authority has no further obligations under this Section 3.3.
(d) Assignment of Note. The Authority acknowledges that the Redeveloper may assign
the Note to a third party. The Authority consents to such an assignment, conditioned upon receipt
of an investment letter from such third party in a form reasonably acceptable to the Authority, and
will reasonably execute any document evidencing such assignment within 30 days after receipt and
review by Authority's legal counsel.
(e) Qualifications. The Redeveloper understands and acknowledges that all Public
Redevelopment Costs must be paid by the Redeveloper and will be reimbursed from Available Tax
Increment pursuant to the terms of the Note. The Authority makes no representations or warranties
regarding the amount of Tax Increment, or that revenues pledged to the Note will be sufficient to
pay the principal and interest on the Note. Any estimates of Tax Increment prepared by the
Authority or its financial advisors in connection with the TIF District or this Agreement are for the
benefit of the Authority, and are not intended as representations on which the Redeveloper may
rely. Public Redevelopment Costs exceeding the principal amount of the Note are the sole
responsibility of Redeveloper.
Section 3.4. Other Assistance. In addition to the reimbursement of a portion of
Redeveloper's Public Redevelopment Costs through issuance of the Note, the Authority will pay a
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portion of the costs of excavation and materials necessary to construct the structured parking
required in connection with construction of the Minimum Improvements (the "Authority Grant"),
pursuant to and in conformity with the Authority's Policy Statements for Management of Available
Tax Increment Financing Funds, adopted by the Authority on January 10, 2018. The Authority
Grant shall be in the amount of $400,000. The Authority shall disburse the Authority Grant to the
Redeveloper within twenty (20) days after receipt by the Authority of evidence submitted by the
Redeveloper of structured parking expenditures paid or incurred by the Redeveloper, in at least the
amount of the Authority Grant.
Section 3.5. Payment of Administrative Costs. The Authority acknowledges that
Redeveloper has deposited with the Authority $10,000. The Authority will use such deposit to pay
"Administrative Costs," which term means out of pocket costs incurred by the Authority together
with staff costs of the Authority, all attributable to or incurred in connection with the negotiation
and preparation of this Agreement, the TIF Plan, and other documents and agreements in
connection with the development of the Redevelopment Property. At Redeveloper's request, but
no more often than monthly, the Authority will provide Redeveloper with a written report including
invoices, time sheets or other comparable evidence of expenditures for Administrative Costs and
the outstanding balance of funds deposited. If at any time the Authority determines that the deposit
is insufficient to pay Administrative Costs, the Redeveloper is obligated to pay such shortfall
within twenty (20) days after receipt of a written notice from the Authority containing evidence of
the unpaid costs. If any balance of funds deposited remains upon issuance of the Certificate of
Completion pursuant to Section 4.4 of this Agreement, the Authority shall promptly return such
balance to Redeveloper; provided that Redeveloper remains obligated to pay subsequent
Administrative Costs related to any amendments to this Agreement requested by Redeveloper.
Upon termination of this Agreement in accordance with its terms, the Redeveloper remains
obligated under this section for Administrative Costs incurred through the effective date of
termination.
Section 3.6. No Business Subsidy. The parties agree and understand that the primary purpose
of any financial assistance to the Redeveloper under this Agreement is to facilitate development of
housing and is therefore not a "business subsidy" within the meaning of Minnesota Statutes, Sections
I I6J.993 to I I6J.995. The Redeveloper releases and waives any claim against the Authority and its
governing body members, officers, agents, servants and employees thereof arising from application of
the Business Subsidy Act to this Agreement, including without limitation any claim that the Authority
failed to comply with the Business Subsidy Act with respect to this Agreement.
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ARTICLE IV
Construction of Minimum Improvements and Public Improvements
Section 4.1. Construction of Minimum Improvements. The Redeveloper agrees that, after
acquisition of the Redevelopment Property, and on or prior to the dates provided in Section 4.3
hereof, it will commence and complete construction of the Minimum Improvements on the
Redevelopment Property, in accordance with approved Construction Plans and at all times while
Redeveloper owns the Redevelopment Property, will operate and maintain, preserve and keep the
respective components of the Minimum Improvements or cause such components be maintained,
preserved and kept with the appurtenances and every part and parcel thereof, in good repair and
condition.
Section 4.2. Construction Plans. (a) Before commencing construction of the Minimum
Improvements, the Redeveloper shall submit to the Authority Construction Plans. The Construction
Plans shall provide for the construction of the Minimum Improvements and shall be in conformity
with the TIF Plan, Redevelopment Plan, this Agreement, and all applicable State and local laws and
regulations. The Authority Representative will approve the Construction Plans in writing if: (i) the
Construction Plans conform to the terms and conditions of this Agreement; (ii) the Construction
Plans conform to the goals and objectives of the Redevelopment Plan; (iii) the Construction Plans
conform to all applicable federal, state and local laws, ordinances, rules and regulations; (iv) the
Construction Plans are adequate to provide for construction of the Minimum Improvements; (v) the
funds available to the Redeveloper from all sources for construction of the Minimum
Improvements are adequate to construct the project described in the Construction Plans; and (vi) no
Event of Default has occurred. No approval by the Authority Representative shall relieve the
Redeveloper of the obligation to comply with the terms of this Agreement or of the Development
Plan, applicable federal, state and local laws, ordinances, rules and regulations, or to construct the
Minimum Improvements in accordance therewith. No approval by the Authority Representative
shall constitute a waiver of an Event of Default. If approval of the Construction Plans is requested
by the Redeveloper in writing at the time of submission, such Construction Plans shall be deemed
approved unless rejected in writing by the Authority Representative, in whole or in part. Such
rejections shall set forth in detail the reasons therefor, and shall be made within 20 days after the
date of their receipt by the Authority. If the Authority Representative rejects any Construction
Plans in whole or in part, the Redeveloper shall submit new or corrected Construction Plans within
20 days after written notification to the Redeveloper of the rejection. The provisions of this Section
relating to approval, rejection and resubmission of corrected Construction Plans shall continue to
apply until the Construction Plans have been approved by the Authority. The Authority
Representative's approval shall not be unreasonably withheld, delayed or conditioned. Said
approval shall constitute a conclusive determination that the Construction Plans (and the Minimum
Improvements constructed in accordance with said plans) comply to the Authority's satisfaction
with the provisions of this Agreement relating thereto.
The Redeveloper hereby waives any and all claims and causes of action whatsoever
resulting from the review of the Construction Plans by the Authority and/or any changes in the
Construction Plans requested by the Authority that comply with applicable codes and laws. Neither
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the Authority, the City, nor any employee or official of the Authority or City shall be responsible in
any manner whatsoever for any defect in the Construction Plans or in any work done pursuant to
the Construction Plans, including changes requested by the Authority, if such changes comply with
applicable codes and laws.
(b) If the Redeveloper desires to make any material change in the Construction Plans or
any component thereof after their approval by the Authority, the Redeveloper shall submit the
proposed change to the Authority for its approval. For the purpose of this section, the term
"material" means changes that increase or decrease construction costs by $500,000 or more. If the
Construction Plans, as modified by the proposed change, conform to the requirements of this
Section 4.2 of this Agreement with respect to such previously approved Construction Plans, the
Authority shall approve the proposed change and notify the Redeveloper in writing of its approval.
Such change in the Construction Plans shall, in any event, be deemed approved by the Authority
unless rejected, in whole or in part, by written notice by the Authority to the Redeveloper, setting
forth in detail the reasons therefor. Such rejection shall be made within ten (10) days after receipt
of the notice of such change. The Authority's approval of any such change in the Construction
Plans will not be unreasonably withheld.
Section 4.3. Completion of Construction. Subject to Unavoidable Delays, the Redeveloper
must commence construction of the Minimum Improvements by June 1, 2019, and substantially
complete construction of the Minimum Improvements by June 1, 2020. All work with respect to
the Minimum Improvements to be constructed or provided by the Redeveloper on the
Redevelopment Property shall be in substantial conformity with the Construction Plans as
submitted by the Redeveloper and approved by the Authority.
The Redeveloper agrees for itself, its successors and assigns, and every successor in interest
to the Redevelopment Property, or any part thereof, that the Redeveloper, and such successors and
assigns, shall promptly begin and diligently prosecute to completion the redevelopment of the
Redevelopment Property through the construction of the Minimum Improvements thereon, and that
such construction shall in any event be commenced and completed within the period specified in
this Section 4.3 of this Agreement. Subsequent to execution of this Agreement and until
construction of the Minimum Improvements has been completed, the Redeveloper shall make
reports, in such detail and at such times as may reasonably be requested by the Authority, as to the
actual progress of the Redeveloper with respect to such construction.
Section 4.4. Certificate of Completion. (a) Promptly after substantial completion of the
Minimum Improvements in accordance with those provisions of the Agreement relating solely to
the obligations of the Redeveloper to construct the Minimum Improvements (including the date for
completion thereof), the Authority will furnish the Redeveloper with a Certificate of Completion in
substantially the form attached as Schedule C. Such certification by the Authority shall be a
conclusive determination of satisfaction and termination of the agreements and covenants in the
Agreement with respect to the obligations of the Redeveloper, and its successors and assigns, to
construct the Minimum Improvements and the date for the completion thereof. Such certification
and such determination shall not constitute evidence of compliance with or satisfaction of any
obligation of the Redeveloper to any Holder of a Mortgage, or any insurer of a Mortgage, securing
money loaned to finance the Minimum Improvements, or any part thereof.
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(b) The Certificate of Completion provided for in this Section 4.4 of this Agreement
shall be in such form as will enable it to be recorded in the proper office for the recordation of
deeds and other instruments pertaining to the Redevelopment Property. If the Authority shall
refuse or fail to provide any certification in accordance with the provisions of this Section 4.4 of
this Agreement, the Authority shall, within thirty (30) days after written request by the
Redeveloper, provide the Redeveloper with a written statement, indicating in adequate detail in
what respects the Redeveloper has failed to complete the Minimum Improvements in accordance
with the provisions of the Agreement, or is otherwise in default, and what measures or acts it will
be necessary, in the opinion of the Authority, for the Redeveloper to take or perform in order to
obtain such certification.
(c) The construction of the Minimum Improvements shall be deemed to be commenced
when foundations are completed (as reasonably determined by the Authority Representative); and
shall be deemed to be substantially complete upon issuance of a certificate of occupancy for the
Minimum Improvements, and upon determination by the Authority Representative that all related
site improvements on the Redevelopment Property have been substantially completed in
accordance with approved Construction Plans, subject to landscaping and/or public art that cannot
be completed until seasonal conditions permit.
Section 4.5. Records and Reports. (a) The Authority, through any authorized
representatives, shall have the right at all reasonable times after reasonable written notice to
inspect, examine and copy all books and records of Redeveloper relating to the Minimum
Improvements. Such records shall be kept and maintained by Redeveloper through the Termination
Date.
(b) The Redeveloper also agrees to submit to the Authority written reports so as to allow
the Authority to remain in compliance with reporting requirements under state statutes. The
Authority will provide information to the Redeveloper regarding the required forms.
Section 4.6. Income Limits.
(a) The Authority and the Redeveloper understand and agree that the TIF District will
constitute a "housing district" under Section 469.174, subdivision 11 of the TIF Act. The
Redeveloper covenants that, for the duration of the TIF District, it will comply with all income
requirements for a qualified residential rental project as defined in Section 142(d) of the Internal
Revenue Code of 1986, as amended. Specifically, the Redeveloper agrees to reserve at least 20%
of the units of the Minimum Improvements for families with incomes at or below 50% of area
median income in the County, adjusted for family size.
(b) On or before February 2 of each year for the duration of the TIF District, the
Redeveloper shall submit evidence in substantially the form in Schedule D, showing that the
Minimum Improvements meet the relevant income requirements. The parties agree and understand
that the Redeveloper may retain a manager (the "Manager") who will review such evidence and
will certify to the Authority that the TIF District remains a housing district under the TIF Act.
Redeveloper is responsible for any costs incurred to compensate the Manager (or any successor) for
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such activities.
(c) If the Authority receives notice from the Manager, if any, the State department of
revenue, the State auditor, any Tax Official or any court of competent jurisdiction that the TIF
District does not qualify as a "housing district," such event shall be deemed an Event of Default
under this Agreement. In addition to any remedies available to the Authority under Article IX
hereof, the Redeveloper shall indemnify, defend and hold harmless the Authority for any damages
or costs resulting therefrom.
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5216190 MN1 MN190-156
ARTICLE V
Insurance
Section 5.1. Insurance. (a) The Redeveloper will provide and maintain at all times during
the process of constructing the Minimum Improvements an All Risk Broad Form Basis Insurance
Policy and, from time to time during that period, at the request of the Authority, furnish the
Authority with proof of payment of premiums on policies covering the following:
(i) Builder's risk insurance, written on the so-called "Builder's Risk --
Completed Value Basis," in an amount equal to 100% of the principal amount of the Note,
and with coverage available in nonreporting form on the so-called "all risk" form of policy.
The interest of the Authority shall be protected in accordance with a clause in form and
content satisfactory to the Authority;
(ii) Comprehensive general liability insurance (including operations, contingent
liability, operations of subcontractors, completed operations, and contractual liability
insurance) together with an Owner's Protective Liability Policy with limits against bodily
injury and property damage of not less than $1,000,000 for each occurrence (to accomplish
the above -required limits, an umbrella excess liability policy may be used). The Authority
shall be listed as an additional insured on the policy; and
(iii) Workers' compensation insurance, with statutory coverage, provided that the
Redeveloper may be self -insured with respect to all or any part of its liability for workers'
compensation.
(b) Upon completion of construction of the Minimum Improvements and prior to the
Termination Date, the Redeveloper shall maintain, or cause to be maintained, at its cost and
expense, and from time to time at the request of the Authority shall furnish proof of the payment of
premiums on, insurance as follows:
(i) Insurance against loss and/or damage to the Minimum Improvements under a
policy or policies covering such risks as are ordinarily insured against by similar businesses.
(ii) Comprehensive general public liability insurance, including personal injury
liability (with employee exclusion deleted), against liability for injuries to persons and/or
property, in the minimum amount for each occurrence and for each year of $1,000,000, and
shall be endorsed to show the City and Authority as additional insureds.
(iii) Such other insurance, including workers' compensation insurance respecting
all employees of the Redeveloper, in such amount as is customarily carried by like
organizations engaged in like activities of comparable size and liability exposure; provided
that the Redeveloper may be self -insured with respect to all or any part of its liability for
workers' compensation.
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(c) All insurance required in Article V of this Agreement shall be taken out and
maintained in responsible insurance companies selected by the Redeveloper that are authorized
under the laws of the State to assume the risks covered thereby. Upon request, the Redeveloper
will deposit annually with the Authority policies evidencing all such insurance, or a certificate or
certificates or binders of the respective insurers stating that such insurance is in force and effect.
Unless otherwise provided in this Article V of this Agreement each policy shall contain a provision
that the insurer shall not cancel nor modify it in such a way as to reduce the coverage provided
below the amounts required herein without giving written notice to the Redeveloper and the
Authority at least thirty (30) days before the cancellation or modification becomes effective. In lieu
of separate policies, the Redeveloper may maintain a single policy, blanket or umbrella policies, or
a combination thereof, having the coverage required herein, in which event the Redeveloper shall
deposit with the Authority a certificate or certificates of the respective insurers as to the amount of
coverage in force upon the Minimum Improvements.
(d) The Redeveloper agrees to notify the Authority immediately in the case of damage
exceeding $250,000 in amount to, or destruction of, the Minimum Improvements or any portion
thereof resulting from fire or other casualty. In such event the Redeveloper will forthwith repair,
reconstruct, and restore the Minimum Improvements to substantially the same or an improved
condition or value as it existed prior to the event causing such damage and, to the extent necessary
to accomplish such repair, reconstruction, and restoration, the Redeveloper will apply the net
proceeds of any insurance relating to such damage received by the Redeveloper to the payment or
reimbursement of the costs thereof.
The Redeveloper shall complete the repair, reconstruction and restoration of the Minimum
Improvements, regardless of whether the net proceeds of insurance received by the Redeveloper for
such purposes are sufficient to pay for the same. Any net proceeds remaining after completion of
such repairs, construction, and restoration shall be the property of the Redeveloper.
(e) In lieu of its obligation to reconstruct the Minimum Improvements as set forth in this
Section, the Redeveloper shall have the option of: (i) paying to the Authority an amount that, in the
opinion of the Authority and its fiscal consultant, is sufficient to pay or redeem the outstanding
principal and accrued interest on the Note, or (ii) so long as the Redeveloper is the owner of the
Note, waiving its right to receive subsequent payments under the Note.
(f) The Redeveloper and the Authority agree that all of the insurance provisions set
forth in this Article V shall terminate upon the termination of this Agreement.
Section 5.2. Subordination. Notwithstanding anything to the contrary herein, the rights of
the Authority with respect to the receipt and application of any insurance proceeds shall, in all
respects, be subordinate and subject to the rights of any Holder under a Mortgage allowed pursuant
to Article VII of this Agreement.
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ARTICLE VI
Tax Increment; Taxes
Section 6.1. Right to Collect Delinquent Taxes. The Redeveloper acknowledges that the
Authority is providing substantial aid and assistance in furtherance of the redevelopment described
in this Agreement, through reimbursement of the Public Redevelopment Costs. The Redeveloper
understands that the Tax Increment pledged to payment of the Public Redevelopment Costs is
derived from real estate taxes on the Minimum Improvements, which taxes must be promptly and
timely paid. To that end, the Redeveloper agrees for itself, its successors and assigns, that in
addition to the obligation pursuant to statute to pay real estate taxes, it is also obligated by reason of
this Agreement to pay before delinquency all real estate taxes assessed against the Redevelopment
Property and the Minimum Improvements. The Redeveloper acknowledges that this obligation
creates a contractual right on behalf of the Authority through the Termination Date to sue the
Redeveloper or its successors and assigns to collect delinquent real estate taxes and any penalty or
interest thereon and to pay over the same as a tax payment to the county auditor. In any such suit,
the Authority shall also be entitled to recover its costs, expenses and reasonable attorney fees.
Section 6.2. Review of Taxes. The Redeveloper agrees that prior to the Termination Date,
it will not cause a reduction in the real property taxes paid in respect of the Redevelopment
Property through: (A) willful destruction of the Redevelopment Property or any part thereof; or (B)
willful refusal to reconstruct damaged or destroyed property pursuant to Section 5.1 of this
Agreement. The Redeveloper also agrees that it will not, prior to the Termination Date, apply for a
deferral of property tax on the Redevelopment Property pursuant to any law, or transfer or permit
transfer of the Redevelopment Property to any entity whose ownership or operation of the property
would result in the Redevelopment Property being exempt from real estate taxes under State law
(other than any portion thereof dedicated or conveyed to the City or Authority in accordance with
this Agreement).
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ARTICLE VII
Financing
Section 7.1. Generally. (a) Before commencement of construction of the Minimum
Improvements, the Redeveloper shall submit to the Authority or provide access thereto for review
by Authority staff, consultants and agents, evidence reasonably satisfactory to the Authority that
Redeveloper has available funds, or commitments to obtain funds, whether in the nature of
mortgage financing, equity, grants, loans, or other sources sufficient to construct the Minimum
Improvements, provided that any lender or grantor commitments shall be subject only to such
conditions as are normal and customary in the commercial lending industry.
(b) If the Authority finds that the financing is sufficiently committed and adequate in
amount to pay the costs specified in paragraph (a) then the Authority shall notify the Redeveloper
in writing of its approval. Such approval shall not be unreasonably withheld and either approval or
rejection shall be given within twenty (20) days from the date when the Authority is provided the
evidence of financing. A failure by the Authority to respond to such evidence of financing shall be
deemed to constitute an approval hereunder. If the Authority rejects the evidence of financing as
inadequate, it shall do so in writing specifying the basis for the rejection. In any event the
Redeveloper shall submit adequate evidence of financing within ten (10) days after such rejection.
Section 7.2. Authority's Option to Cure Default on Mortgage. In the event that there
occurs a default under any Mortgage authorized pursuant to Section 7.1 of this Agreement, to the
extent the Redeveloper is aware of such default, the Redeveloper shall cause the Authority to
receive copies of any notice of default received by the Redeveloper from the holder of such
Mortgage. Thereafter, the Authority shall have the right, but not the obligation, to cure any such
default on behalf of the Redeveloper within such cure periods as are available to the Redeveloper
under the Mortgage documents, if negotiated and permitted by the Holder. In the event there is an
event of default under this Agreement, the Authority will transmit to the Holder of any Mortgage
and to the Redeveloper's Tax Credit Investor (as hereinafter defined) a copy of any notice of
default given by the Authority pursuant to Article IX of this Agreement.
Section 7.3. Modification; Subordination. In order to facilitate the securing of other
financing, the Authority agrees to subordinate its rights under this Agreement provided that such
subordination shall be subject to such reasonable terms and conditions as the Authority and Holder
mutually agree in writing. Notwithstanding anything to the contrary herein, any subordination
agreement must include the provision described in Section 7.2.
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ARTICLE VIII
Prohibitions Against Assignment and Transfer; Indemnification
Section 8.1. Representation as to Redevelopment. The Redeveloper represents and agrees
that its purchase of the Redevelopment Property, and its other undertakings pursuant to the
Agreement, are, and will be used, for the purpose of redevelopment of the Redevelopment Property
and not for speculation in land holding.
Section 8.2. Prohibition Against Redeveloper's Transfer of Property and Assignment of
Agreement. The Redeveloper represents and agrees that until the issuance of the Certificate of
Completion for the Minimum Improvements:
(a) Except as specifically described in this Agreement, the Redeveloper has not made or
created and will not make or create or suffer to be made or created any total or partial sale,
assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or
with respect to this Agreement or the Redevelopment Property or any part thereof or any interest
therein, or any contract or agreement to do any of the same, to any person or entity (collectively, a
"Transfer"), without the prior written approval of the Authority's board of commissioners. The
term "Transfer" does not include (i) encumbrances made or granted by way of security for, and
only for, the purpose of obtaining construction, interim or permanent financing necessary to enable
the Redeveloper or any successor in interest to the Redevelopment Property or to construct the
Minimum Improvements or component thereof; (ii) any lease, license, easement or similar
arrangement entered into in the ordinary course of business related to operation of the Minimum
Improvements; (iii) admitting or removing limited partners or transferring direct or indirect limited
partner interests or interest in the general partner of Redeveloper or admitting or removing
members of any of Redeveloper's partners in accordance with the applicable organizational
documents, or (iv) removing the general partner of Redeveloper for cause at the direction of its
limited partner(s) (whether one or more, the "Tax Credit Investor") in accordance with
Redeveloper's partnership agreement.
(b) If the Redeveloper seeks to effect a Transfer requiring the approval of the Authority
prior to issuance of the Certificate of Completion, the Authority shall be entitled to require as
conditions to such Transfer that:
(1) any proposed transferee shall have the qualifications and financial
responsibility, in the reasonable judgment of the Authority, necessary and adequate to fulfill
the obligations undertaken in this Agreement by the Redeveloper as to the portion of the
Redevelopment Property to be transferred; and
(2) Any proposed transferee, by instrument in writing satisfactory to the
Authority and in form recordable in the public land records of Wright County, Minnesota,
shall, for itself and its successors and assigns, and expressly for the benefit of the Authority,
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5216190 MNI MN190-156
have expressly assumed all of the obligations of the Redeveloper under this Agreement as to
the portion of the Redevelopment Property to be transferred and agreed to be subject to all
the conditions and restrictions to which the Redeveloper is subject as to such portion;
provided, however, that the fact that any transferee of, or any other successor in interest
whatsoever to, the Redevelopment Property, or any part thereof, shall not, for whatever
reason, have assumed such obligations or so agreed, and shall not (unless and only to the
extent otherwise specifically provided in this Agreement or agreed to in writing by the
Authority) deprive the Authority of any rights or remedies or controls with respect to the
Redevelopment Property, the Minimum Improvements or any part thereof or the
construction of the Minimum Improvements; it being the intent of the parties as expressed
in this Agreement that (to the fullest extent permitted at law and in equity and excepting
only in the manner and to the extent specifically provided otherwise in this Agreement) no
transfer of, or change with respect to, ownership in the Redevelopment Property or any part
thereof, or any interest therein, however consummated or occurring, and whether voluntary
or involuntary, shall operate, legally, or practically, to deprive or limit the Authority of or
with respect to any rights or remedies on controls provided in or resulting from this
Agreement with respect to the Redevelopment Property that the Authority would have had,
had there been no such transfer or change. In the absence of specific written agreement by
the Authority to the contrary, no such transfer or approval by the Authority thereof shall be
deemed to relieve the Redeveloper, or any other party bound in any way by this Agreement
or otherwise with respect to the Redevelopment Property, from any of its obligations with
respect thereto.
(3) Any and all instruments and other legal documents involved in effecting the
transfer of any interest in this Agreement or the Redevelopment Property governed by this
Article VIII, shall be in a form reasonably satisfactory to the Authority.
(c) If the conditions described in paragraph (b) are satisfied then the Transfer will be
approved and the Redeveloper shall be released from its obligation under this Agreement, as to the
portion of the Redevelopment Property that is transferred, assigned, or otherwise conveyed. The
provisions of this paragraph (c) apply to all subsequent transferors, assuming compliance with the
terms of this Article.
(d) Upon issuance of the Certificate of Completion, the Redeveloper may transfer or
assign the Minimum Improvements and/or the Redeveloper's rights and obligations under this
Agreement with respect to such property without the prior written consent of the Authority;
provided that:
(i) until the Termination Date the transferee or assignee is bound by all the
Redeveloper's obligations hereunder with respect to the property and rights transferred. The
Redeveloper shall submit to the Authority written evidence of any such transfer or
assignment, including the transferee or assignee's express assumption of the Redeveloper's
obligations under this Agreement. If the Redeveloper fails to provide such evidence of
transfer and assumption, the Redeveloper shall remain bound by all obligations with respect
to the subject property under this Agreement; and
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5216190 MNI MN190-156
(ii) upon compliance with clause (d)(i) above (whether the transfer occurred
before or after issuance of the Certificate of Completion), the Redeveloper shall be released
from its obligations under this Agreement with respect to the property transferred.
The provisions of this paragraph (d) apply to all subsequent transferors, assuming compliance with
the terms of this Article.
Section 8.3. Release and Indemnification Covenants. (a) The Redeveloper releases from
and covenants and agrees that the Authority and the governing body members, officers, agents,
servants and employees thereof (the "Indemnified Parties") shall not be liable for and agrees to
indemnify and hold harmless the Indemnified Parties against any loss or damage to property or any
injury to or death of any person occurring at or about or resulting from any defect in the Minimum
Improvements.
(b) Except for any willful or negligent misrepresentation or any willful or wanton
misconduct or negligence of the Indemnified Parties, the Redeveloper agrees to protect and defend
the Indemnified Parties, now or forever, and further agrees to hold the Indemnified Parties harmless
from any claim, demand, suit, action or other proceeding whatsoever by any person or entity
whatsoever arising or purportedly arising from this Agreement, or the transactions contemplated
hereby or the acquisition, construction, installation, ownership, and operation of the Minimum
Improvements.
(c) Except for any negligence of the Indemnified Parties (as defined in clause (b)
above), and except for any breach by any of the Indemnified Parties of their obligations under this
Agreement, the Indemnified Parties shall not be liable for any damage or injury to the persons or
property of the Redeveloper or its officers, agents, servants or employees or any other person who
may be about the Minimum Improvements due to any act of negligence of any person.
(d) All covenants, stipulations, promises, agreements and obligations of the Authority
contained herein shall be deemed to be the covenants, stipulations, promises, agreements and
obligations of the Authority and not of any governing body member, officer, agent, servant or
employee of the Authority in the individual capacity thereof.
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5216190 MNI MN190-156
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined. The following shall be "Events of Default" under
this Agreement and the term "Event of Default" shall mean, whenever it is used in this Agreement,
any one or more of the following events, after the non -defaulting party provides 30 days written
notice to the defaulting party of the event, but only if the event has not been cured within said 30
days or, if the event is by its nature incurable within 30 days, the defaulting party does not, within
such 30-day period, provide assurances reasonably satisfactory to the party providing notice of
default that the event will be cured and will be cured as soon as reasonably possible:
(a) Failure by the Redeveloper or the Authority to observe or perform any material
covenant, condition, obligation, or agreement on its part to be observed or performed under this
Agreement; or
(b) The Redeveloper:
(i) files any petition in bankruptcy or for any reorganization, arrangement,
composition, readjustment, liquidation, dissolution, or similar relief under the United States
Bankruptcy Act or under any similar federal or State law;
or
(ii) makes an assignment for benefit of its creditors;
(iii) admits in writing its inability to pay its debts generally as they become due;
(iv) is adjudicated a bankrupt or insolvent.
Section 9.2. Remedies on Default. Whenever any Event of Default referred to in
Section 9.1 of this Agreement occurs, the non -defaulting party may:
(a) Suspend its performance under this Agreement until it receives assurances that the
defaulting party will cure its Event of Default and continue its performance under the Agreement.
(b) Upon an Event of Default by the Redeveloper under this Agreement, the Authority
may terminate the Note and this Agreement.
(c) Take whatever action, including legal, equitable, or administrative action, which
may appear necessary or desirable to collect any payments due under this Agreement, or to enforce
performance and observance of any obligation, agreement, or covenant under this Agreement,
provided that nothing contained herein shall give the Authority the right to seek specific
performance by Redeveloper of the construction of the Minimum Improvements.
Section 9.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the
Authority or Redeveloper is intended to be exclusive of any other available remedy or remedies,
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5216190 MNI MN190-156
but each and every such remedy shall be cumulative and shall be in addition to every other remedy
given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay
or omission to exercise any right or power accruing upon any default shall impair any such right or
power or shall be construed to be a waiver thereof, but any such right and power may be exercised
from time to time and as often as may be deemed expedient. In order to entitle the Authority to
exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as
may be required in this Article IX.
Section 9.4. No Additional Waiver Implied by One Waiver. In the event any agreement
contained in this Agreement should be breached by either party and thereafter waived by the other
party, such waiver shall be limited to the particular breach so waived and shall not be deemed to
waive any other concurrent, previous or subsequent breach hereunder.
Section 9.5. Attorney Fees. Whenever any Event of Default occurs (as determined by a
final court or administrative order or Redeveloper admissions) and if the Authority shall employ
attorneys or incur other expenses for the collection of payments due or to become due or for the
enforcement of performance or observance of any obligation or agreement on the part of the
Redeveloper under this Agreement, the Redeveloper agrees that it shall, within 10 days of written
demand by the Authority, pay to the Authority the reasonable fees of such attorneys and such other
expenses so incurred by the Authority.
Section 9.6 Redeveloper's Remedies on Default. If the Authority fails to make a
payment when due in accordance with the terms of Sections 3.3 and 6.3(c) of this Agreement,
Redeveloper may, after providing 30 days' written notice to the Authority of the Event of Default,
as applicable, suspend or terminate its performance under this Agreement, permit Redeveloper to
suspend or terminate its performance under this Agreement and/or take whatever action at law or in
equity may appear necessary or desirable to Redeveloper to enforce performance of an outstanding
payment obligation of the Authority under this Agreement. If Redeveloper terminates its
obligations hereunder, this Agreement shall be deemed terminated and Redeveloper shall have no
further obligations hereunder.
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5216190 MNI MN190-156
ARTICLE X
Additional Provisions
Section 10.1. Conflict of Interests; Authority Representatives Not Individually Liable. The
Authority and the Redeveloper, to the best of their respective knowledge, represent and agree that
no member, official, or employee of the Authority shall have any personal interest, direct or
indirect, in the Agreement, nor shall any such member, official, or employee participate in any
decision relating to the Agreement which affects his personal interests or the interests of any
corporation, partnership, or association in which he is, directly or indirectly, interested. No
member, official, or employee of the Authority shall be personally liable to the Redeveloper, or any
successor in interest, in the event of any default or breach by the Authority or County or for any
amount which may become due to the Redeveloper or successor or on any obligations under the
terms of the Agreement.
Section 10.2. Equal Employment Opportunity. The Redeveloper, for itself and its
successors and assigns, agrees that during the construction of the Minimum Improvements
provided for in the Agreement it will comply with all applicable federal, state and local equal
employment and non-discrimination laws and regulations.
Section 10.3. Restrictions on Use. The Redeveloper agrees that until the Termination Date,
the Redeveloper, and such successors and assigns, shall devote the Redevelopment Property to the
operation of the Minimum Improvements for uses described in the definition of such term in this
Agreement, and shall not discriminate upon the basis of race, color, creed, sex or national origin in
the sale, lease, or rental or in the use or occupancy of the Redevelopment Property or any
improvements erected or to be erected thereon, or any part thereof.
Section 10.4. Provisions Not Merged With Deed. None of the provisions of this
Agreement are intended to or shall be merged by reason of any deed transferring any interest in the
Redevelopment Property and any such deed shall not be deemed to affect or impair the provisions
and covenants of this Agreement.
Section 10.5. Titles of Articles and Sections. Any titles of the several parts, Articles, and
Sections of the Agreement are inserted for convenience of reference only and shall be disregarded
in construing or interpreting any of its provisions.
Section 10.6. Notices and Demands. Except as otherwise expressly provided in this
Agreement, a notice, demand, or other communication under the Agreement by either party to the
other shall be sufficiently given or delivered if it is dispatched by registered or certified mail,
postage prepaid, return receipt requested, or delivered personally; and
(a) in the case of the Redeveloper, is addressed to or delivered personally to the
Redeveloper at 633 Upland Avenue, Suite C, Elk River, Minnesota 55330; and
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5216190 MNI MN190-156
(b) in the case of the Authority, is addressed to or delivered personally to the Authority
at 505 Walnut Street, Suite 1, Monticello, Minnesota 55362, Attn: Executive Director; or at such
other address with respect to either such party as that party may, from time to time, designate in
writing and forward to the other as provided in this Section.
Section 10.7. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall constitute one and the same instrument.
Section 10.8. Recording, The Authority may record this Agreement and any amendments
thereto with the Wright County recorder. The Redeveloper shall pay all costs for recording.
Section 10.9. Amendment. This Agreement may be amended only by written agreement
approved by the Authority and the Redeveloper.
Section 10.10. Authority Approvals. Unless otherwise specified, any approval required by
the Authority under this Agreement may be given by the Authority Representative.
Section 10.11. Termination. This Agreement terminates on the Termination Date. Upon
termnation of the Agreement, the Authority shall promptly execute any reasonable documents
necessary to remove this Agreement from the title records of the Redevelopment Property.
Section 10.12. Choice of Law and Venue. This Agreement shall be governed by and
construed in accordance with the laws of the State of Minnesota. Any disputes, controversies, or
claims arising out of this Agreement shall be heard in the state or federal courts of Minnesota, and
all parties to this Agreement waive any objection to the jurisdiction of these courts, whether based
on convenience or otherwise.
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5216190 MNI MN 190-156
IN WITNESS WHEREOF, the Authority has caused this Agreement to be duly executed in
its name and behalf and its seal to be hereunto duly affixed and the Redeveloper has caused this
Agreement to be duly executed in its name and behalf on or as of the date first above written.
CITY OF MONTICELLO ECONOMIC
DEVELOPMENT AUTHORITY
B
Its reside
B !�
Y
Its xec tive Director
STATE OF MINNESOTA )
SS.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this 1j"I day of
2018, b '
y �� j�� ,� �() n and s t �_S, the President and Ex utive erector
of the City of Monticello Economic Development Authority, a public body corporate and politic,
on behalf of the Authority.
Notary Public
t is VICKI JAN LEERHOFF
s,
NOTARY PUBLIC
MINNESOTA
My Commission ExPims 01MMM
25
5216190 MNI MN 190-156
RIVERTOWN RESIDENTIAL SUITES, LLC, a
Minnesota Limited Liability Company
By 2
Its
STATE OF MINNESOTA
/> SS.
COUNTY OF 2 f )
The flig1jegping instrument was acknowledged b fore F
this day of ,
2018 by ---� ( the of Rivertown
Residential Suites, LL , a Mi esota limited liability company, on b alf of the company.
Notary Public
PATRICIA K. KOVICH
COMM. #6101660
Notary Public
*,MY
State of Minnesota Cor r ssion Expires 1/31/2ixL0
26
5216190 MNI MN190-156
SCHEDULE A
Redevelopment Property
Lots 1-3, Block 36, Plat of MONTICELLO, according to the recorded plat thereof, Wright County,
Minnesota.
A-1
5216190 MNI MN190-156
SCHEDULE B
AUTHORIZING RESOLUTION
CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
RESOLUTION NO.
RESOLUTION AWARDING THE SALE OF, AND
PROVIDING THE FORM, TERMS, COVENANTS AND
DIRECTIONS FOR THE ISSUANCE OF A TAX
INCREMENT REVENUE NOTE TO RIVERTOWN
RESIDENTIAL SUITES, LLC.
BE IT RESOLVED BY the Board of Commissioners ("Board") of the City of Monticello
Economic Development Authority, Monticello, Minnesota (the "Authority") as follows:
Section 1. Authorization; Award of Sale.
1.01. Authorization. The Authority and the City of Monticello have approved the
establishment of its Tax Increment Financing
Central Monticello Redevelopment Project No.
a tax increment financing plan for the purpose
Redevelopment Project.
District No. 1-40 (the "TIF District") within
("Redevelopment Project"), and have adopted
of financing certain improvements within the
Pursuant to Minnesota Statutes, Section 469.178, the Authority is authorized to issue and
sell its bonds for the purpose of financing a portion of the public redevelopment costs of the
Redevelopment Project. Such bonds are payable from all or any portion of revenues derived
from the TIF District and pledged to the payment of the bonds. The Authority hereby finds and
determines that it is in the best interests of the Authority that it issue and sell its Tax Increment
Revenue Note (Briggs Housing Project) (the "Note") for the purpose of financing certain public
redevelopment costs of the Redevelopment Project.
1.02. Approval of Agreement; Issuance, Sale, and Terms of the Note. (a) The
Contract for Private Redevelopment between the Authority and Rivertown Residential Suites,
LLC (the "Owner"), as presented to the Board, is hereby in all respects approved, subject to
modifications that do not alter the substance of the transaction and that are approved by the
President and Executive Director, provided that execution of the Agreement by such officials shall
be conclusive evidence of approval. Authority staff and officials are authorized to take all actions
necessary to perform the Authority's obligations under the Agreement as a whole, including without
limitation execution of any documents to which the Authority is a party referenced in or attached to
the Agreement, all as described in the Agreement.
5216190 MNI MN190-156 B-1
(b) The Authority hereby authorizes the President and Executive Director to issue the
Note in accordance with the Agreement. All capitalized terms in this resolution have the
meaning provided in the Agreement unless the context requires otherwise.
(c) The Note shall be issued in the maximum aggregate principal amount of $785,000 to
the Owner in consideration of certain eligible costs incurred by the Owner under the Agreement,
shall be dated the date of delivery thereof, and shall bear interest at the lesser of Owner's actual
mortgage financing rate or 5.50%, from the date of issue per annum to the earlier of maturity or
prepayment. The Note will be issued in the principal amount of Public Redevelopment Costs
submitted and approved in accordance with Section 3.3 of the Agreement. The Note is secured
by Available Tax Increment, as further described in the form of the Note herein. The Authority
hereby delegates to the Executive Director the determination of the date on which the Note is to
be delivered, in accordance with the Agreement.
Section 2. Form of Note. The Note shall be in substantially the form attached hereto
as Exhibit A, with the blanks to be properly filled in and the principal and interest rate amounts
adjusted as of the date of issue.
Section 3. Terms, Execution and Delivery.
3.01. Denomination, Payment. The Note shall be issued as a single typewritten note
numbered R-1.
The Note shall be issuable only in fully registered form. Principal of and interest on the
Note shall be payable by check or draft issued by the Registrar described herein.
3.02. Dates; Interest Payment Dates. Principal of and interest on the Note shall be
payable by mail to the owner of record thereof as of the close of business on the fifteenth day of
the month preceding the Payment Date, whether or not such day is a business day.
3.03. Registration. The Authority hereby appoints the City Finance Director to perform
the functions of registrar, transfer agent and paying agent (the "Registrar"). The effect of
registration and the rights and duties of the Authority and the Registrar with respect thereto shall
be as follows:
(a) Register. The Registrar shall keep at its office a bond register in which the
Registrar shall provide for the registration of ownership of the Note and the registration of
transfers and exchanges of the Note.
(b) Transfer of Note. Subject to Section 3.03(d) hereof, within 15 days after
surrender for transfer of the Note duly endorsed by the registered owner thereof or accompanied
by a written instrument of transfer, in form reasonably satisfactory to the Registrar, duly
executed by the registered owner thereof or by an attorney duly authorized by the registered
owner in writing, and consent to such transfer by the Authority if required pursuant to the
Agreement, the Registrar shall authenticate and deliver, in the name of the designated transferee
or transferees, a new Note of a like aggregate principal amount and maturity, as requested by the
5216190 MNI MN190-156 B-2
transferor. The Registrar may close the books for registration of any transfer after the fifteenth
day of the month preceding each Payment Date and until such Payment Date.
(c) Cancellation. The Note surrendered upon any transfer shall be promptly
cancelled by the Registrar and thereafter disposed of as directed by the Authority.
(d) Improper or Unauthorized Transfer. When the Note is presented to the Registrar
for transfer, the Registrar may refuse to transfer the same until it is reasonably satisfied that the
endorsement on such Note or separate instrument of transfer is legally authorized. The Registrar
shall incur no liability for its refusal, in good faith, to make transfers which it, in its judgment,
deems improper or unauthorized.
(e) Persons Deemed Owners. The Authority and the Registrar may treat the person in
whose name the Note is at any time registered in the bond register as the absolute owner of the
Note, whether the Note shall be overdue or not, for the purpose of receiving payment of, or on
account of, the principal of and interest on such Note and for all other purposes, and all such
payments so made to any such registered owner or upon the owner's order shall be valid and
effectual to satisfy and discharge the liability of the Authority upon such Note to the extent of the
sum or sums so paid.
(f) Taxes, Fees and Charges. For every transfer or exchange of the Note, the
Registrar may impose a charge upon the owner thereof sufficient to reimburse the Registrar for
any tax, fee, or other governmental charge required to be paid with respect to such transfer or
exchange.
(g) Mutilated, Lost, Stolen or Destroyed Note. In case any Note shall become
mutilated or be lost, stolen, or destroyed, the Registrar shall deliver a new Note of like amount,
Termination Dates and tenor in exchange and substitution for and upon cancellation of such
mutilated Note or in lieu of and in substitution for such Note lost, stolen, or destroyed, upon the
payment of the reasonable expenses and charges of the Registrar in connection therewith; and, in
the case the Note lost, stolen, or destroyed, upon filing with the Registrar of evidence satisfactory
to it that such Note was lost, stolen, or destroyed, and of the ownership thereof, and upon
furnishing to the Registrar of an appropriate bond or indemnity in form, substance, and amount
satisfactory to it, in which both the Authority and the Registrar shall be named as obligees. The
Note so surrendered to the Registrar shall be cancelled by it and evidence of such cancellation
shall be given to the Authority. If the mutilated, lost, stolen, or destroyed Note has already
matured or been called for redemption in accordance with its terms, it shall not be necessary to
issue a new Note prior to payment.
3.04. Preparation and Delivery. The Note shall be prepared under the direction of the
Executive Director and shall be executed on behalf of the Authority by the signatures of its
President and Executive Director. In case any officer whose signature shall appear on the Note
shall cease to be such officer before the delivery of the Note, such signature shall nevertheless be
valid and sufficient for all purposes, the same as if such officer had remained in office until
delivery. When the Note has been so executed, it shall be delivered by the Executive Director to
the Owner thereof in accordance with the Agreement.
5216190 MNI MN190-156 B_3
Section 4. Security Provisions.
4.01. Pledge. The Authority hereby pledges to the payment of the principal of and
interest on the Note all Available Tax Increment as defined in the Note.
Available Tax Increment shall be applied to payment of the principal of and interest on the Note
in accordance with the terms of the form of Note set forth in Section 2 of this resolution.
4.02. Bond Fund. Until the date the Note is no longer outstanding and no principal
thereof or interest thereon (to the extent required to be paid pursuant to this resolution) remains
unpaid, the Authority shall maintain a separate and special "Bond Fund" to be used for no
purpose other than the payment of the principal of and interest on the Note. The Authority
irrevocably agrees to appropriate to the Bond Fund on or before each Payment Date the
Available Tax Increment in an amount equal to the Payment then due, or the actual Available
Tax Increment, whichever is less. Any Available Tax Increment remaining in the Bond Fund
shall be transferred to the Authority's account for the TIF District upon the termination of the
Note in accordance with its terms.
4.03. Additional Obligations. The Authority will issue no other obligations secured in
whole or in part by Available Tax Increment unless such pledge is on a subordinate basis to the
pledge on the Note.
Section 5. Certification of Proceedings.
5.01. Certification of Proceedings. The officers of the Authority are hereby authorized
and directed to prepare and furnish to the Owner of the Note certified copies of all proceedings
and records of the Authority, and such other affidavits, certificates, and information as may be
required to show the facts relating to the legality and marketability of the Note as the same
appear from the books and records under their custody and control or as otherwise known to
them, and all such certified copies, certificates, and affidavits, including any heretofore
furnished, shall be deemed representations of the Authority as to the facts recited therein.
Section 6. Effective Date. This resolution shall be effective upon approval.
Approved by the Board of Commissioners of the City of Monticello Economic Development
Authority on , 2018.
President
ATTEST:
Executive Director
5216190 MNI MN190-156 B-4
UNITED STATE OF AMERICA
STATE OF MINNESOTA
COUNTY OF WRIGHT
CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
No. R-1 $
TAX INCREMENT REVENUE NOTE
SERIES 20_
(BRIGGS HOUSING PROJECT)
Date
Rate of Original Issue
% , 20
The City of Monticello Economic Development Authority (the "Authority") for value
received, certifies that it is indebted and hereby promises to pay to Rivertown Residential Suites,
LLC or registered assigns (the "Owner"), the principal sum of $ and to pay interest
thereon at the rate of percent (_%) per annum, solely from the sources and to
the extent set forth herein. Capitalized terms shall have the meanings provided in the Contract
for Private Redevelopment between the Authority and the Owner, dated as of ,
2018 (the "Agreement"), unless the context requires otherwise.
1. Payments. Principal and interest ("Payments") shall be paid on August 1, 20_
and each February 1 and August 1 thereafter ("Payment Dates") to and including February 1,
2046 (the "Maturity Date") in the amounts and from the sources set forth in Section 3 herein.
Payments shall be applied first to accrued interest, and then to unpaid principal. Interest
accruing from the date of issue through and including February 1, 20_ shall be added to
principal.
Payments are payable by mail to the address of the Owner or such other address as the
Owner may designate upon thirty (30) days written notice to the Authority. Payments on this
Note are payable in any coin or currency of the United States of America which, on the Payment
Date, is legal tender for the payment of public and private debts.
2. Interest. Interest at the rate stated herein shall accrue on the unpaid principal,
commencing on the date of original issue. Interest shall be computed on the basis of a year of
360 days and charged for actual days principal is unpaid.
3. Available Tax Increment. (a) Payments on this Note are payable on each
Payment Date solely from and in the amount of Available Tax Increment, which shall mean, on
each Payment Date, Ninety percent (90%) of the Tax Increment attributable to the Minimum
5216190 MNI MN190-156 B-5
Improvements and Redevelopment Property that is paid to the Authority by Wright County in the
six months preceding the Payment Date.
(b) The Authority shall have no obligation to pay principal of and interest on this
Note on each Payment Date from any source other than Available Tax Increment and the failure
of the Authority to pay the entire amount of principal or interest on this Note on any Payment
Date shall not constitute a default hereunder as long as the Authority pays principal and interest
hereon to the extent of Available Tax Increment. The Authority shall have no obligation to pay
any unpaid balance of principal or accrued interest that may remain after the final Payment on
the Maturity Date.
4. Default. If on any Payment Date there has occurred and is continuing any Event
of Default under the Agreement, the Authority may withhold from payments hereunder under all
Available Tax Increment. If the Event of Default is thereafter cured in accordance with the
Agreement, the Available Tax Increment withheld under this Section shall be deferred and paid,
without interest thereon, within thirty (30) days after the Event of Default is cured. If the Event
of Default is not cured in a timely manner, the Authority may terminate this Note by written
notice to the Owner in accordance with the Agreement.
5. Prepayment. The principal sum and all accrued interest payable under this Note is
prepayable in whole or in part at any time by the Authority without premium or penalty. No
partial prepayment shall affect the amount or timing of any other regular Payment otherwise
required to be made under this Note.
6. Nature of Obligation. This Note is one of an issue in the total principal amount of
$ , issued to aid in financing certain public redevelopment costs and administrative
costs of a Redevelopment Project undertaken by the Authority pursuant to Minnesota Statutes,
Sections 469.090 through 469.1081, and is issued pursuant to an authorizing resolution (the
"Resolution") duly adopted by the Authority on , 2018, and pursuant to and in full
conformity with the Constitution and laws of the State of Minnesota, including Minnesota
Statutes, Sections 469.174 to 469.1794, as amended. This Note is a limited obligation of the
Authority which is payable solely from Available Tax Increment pledged to the payment hereof
under the Resolution. This Note and the interest hereon shall not be deemed to constitute a
general obligation of the State of Minnesota or any political subdivision thereof, including,
without limitation, the Authority. Neither the State of Minnesota, nor any political subdivision
thereof shall be obligated to pay the principal of or interest on this Note or other costs incident
hereto except out of Available Tax Increment, and neither the full faith and credit nor the taxing
power of the State of Minnesota or any political subdivision thereof is pledged to the payment of
the principal of or interest on this Note or other costs incident hereto.
7. Registration and Transfer. This Note is issuable only as a fully registered note
without coupons. As provided in the Resolution, and subject to certain limitations set forth
therein, this Note is transferable upon the books of the Authority kept for that purpose at the
principal office of the City Finance Director, by the Owner hereof in person or by such Owner's
attorney duly authorized in writing, upon surrender of this Note together with a written
instrument of transfer satisfactory to the Authority, duly executed by the Owner. Upon such
5216190 MNI MN190-156 B-6
transfer or exchange and the payment by the Owner of any tax, fee, or governmental charge
required to be paid by the Authority with respect to such transfer or exchange, there will be
issued in the name of the transferee a new Note of the same aggregate principal amount, bearing
interest at the same rate and maturing on the same dates, within 15 days after the delivery by the
Owner of its request and approval of such request by the Authority if required under the
Agreement.
Except as otherwise provided in Section 3.3(d) of the Agreement, this Note shall not be
transferred to any person or entity, unless the Authority has provided written consent to such
transfer.
IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things
required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen,
and to be performed in order to make this Note a valid and binding limited obligation of the
Authority according to its terms, have been done, do exist, have happened, and have been
performed in due form, time and manner as so required.
IN WITNESS WHEREOF, the Board of Commissioners of the City of Monticello
Economic Development Authority have caused this Note to be executed with the manual
signatures of its President and Executive Director, all as of the Date of Original Issue specified
above.
Executive Director
CITY OF MONTICELLO ECONOMIC
DEVELOPMENT AUTHORITY
President
REGISTRATION PROVISIONS
The ownership of the unpaid balance of the within Note is registered in the bond register
of the City Finance Director, in the name of the person last listed below.
Date of Signature of
Registration Registered Owner City Finance Director
20_ Rivertown Residential Suites, LLC
Federal Tax LD No
5216190 MNI MN190-156 B_7
SCHEDULE C
FORM OF CERTIFICATE OF COMPLETION
(The remainder of this page is intentionally blank.)
5216190 MNIMN190-156 C_1
CERTIFICATE OF COMPLETION
WHEREAS, the City of Monticello Economic Development Authority (the "Authority")
and Rivertown Residential Suites, LLC ("Redeveloper") entered into a certain Contract for Private
Redevelopment dated , 2018 (the "Contract"), recorded at the office of the County
Recorder of Wright County as Document No. ; and
WHEREAS, the Contract contains certain covenants and restrictions set forth in Articles
III and IV thereof related to constructing certain Minimum Improvements; and
WHEREAS, the Redeveloper has performed said covenants and conditions insofar as it is
able in a manner deemed sufficient by the Authority to permit the execution and recording of this
certification;
NOW, THEREFORE, this is to certify that all construction and other physical
improvements related to the Minimum Improvements specified to be done and made by the
Redeveloper have been completed and the agreements and covenants in Articles III and IV of the
Contract relating to such construction have been performed by the Redeveloper, and this Certificate
is intended to be a conclusive determination of the satisfactory termination of the covenants and
conditions of Articles III and IV of the Contract related to completion of the Minimum
Improvements, but any other covenants in the Contract shall remain in full force and effect.
5216190 MNI MN190-156 C-2
Dated: , 20 .
STATE OF MINNESOTA )
SS.
COUNTY OF WRIGHT )
CITY OF MONTICELLO ECONOMIC
DEVELOPMENT AUTHORITY
M
Authority Representative
The foregoing instrument was acknowledged before me this day of
20by , the of the City of Monticello
Economic Development Authority, a public body corporate and politic under the laws of the
State of Minnesota, on behalf of the authority.
Notary Public
This document was drafted by:
KENNEDY & GRAVEN, Chartered (MNI)
470 U.S. Bank Plaza
Minneapolis, Minnesota 55402
Telephone: 337-9300
(Signature page to Certificate of Completion)
5216190 MNI MN190-156 C-3
SCHEDULE D
Fonn of Renter's Income Verification Form
PROPERTY INFORMATION
Postal Address of Property
Unit Number
TENANT INFORMATION
Name of Tenant
Phone #
Number of family/household members:
Annual Household Income* $
*Annual Household Income must be supported by documentation (i.e. copy of most current 1040's, etc). Failure to
provide verification will constitute a "non -qualifying tenant".
INCOME LIMIT INFORMATION
20 Income Limits
Family Size
Income
1
2
3
4
5
6
7
8
Does the Tenant meet these limits and has appropriate documentation been submitted?
YES NO
Pursuant to the Contract for Private Redevelopment between the City of Monticello Economic Development
Authority and Rivertown Residential Suites, LLC dated as of _, 2018, at least 10 of the 47 rental units
comprising the Minimum Improvements must be reserved for tenants whose income is 50% or less of the area's
median gross income.
Signature of Tenant(s)
Reviewed and approved on behalf of Rivertown Residential Suites, LLC.
M.
Date
Date
Date
D-1
5216190 MNI MN190-156
WHEREAS, the City o
Rivertown Residential Suites,
Redevelopment dated July 11
Monticello described as Lots 1
thereof, Wright County, Minn
WHEREAS, the Con
III and IV thereof related to co
Doc. No. A1443066
OFFICE OF THE COUNTY RECORDER
WRIGHT COUNTY, MINNESOTA
Certified Filed and/or Recorded on
October 06, 2020 4:05 PM
Ck#
Fee: $46.00
Code Invoice
Tanya West, County Recorder
ERTIFICATE OF COMPLETION
Monticello Economic Development Authority (the "Authority") and
LLC ("Redeveloper") entered into a certain Contract for Private
2018 (the "Contract"), regarding certain property in the City of
3, Block 36, Plat of MONTICELLO, according to the recorded plat
to (the "Property"); and
contains certain covenants and restrictions set forth in Articles
ing certain Minimum Improvements; and
WHEREAS, the Redeveloper has performed said covenants and conditions insofar as it is
able in a manner deemed sufficient by the Authority to permit the execution and recording of this
certification;
NOW, THEREFORE,
related to the Minimum Impro,
completed and the agreements
construction have been perfoi
conclusive determination of th
III and IV of the Contract rel
covenants in the Contract shall
lis is to certify that all construction and other physical improvements
:Nments specified to be done --and made- by the Redeveloper -have been
end covenants in Articles III and IV of the Contract relating to such
ned by the Redeveloper, and this Certificate is intended to be a
satisfactory termination of the covenants and conditions of Articles
ited to completion of the Minimum Improvements, but any other
•emain in full force and effect.
T
Date4,5'-�OT 0 22 2
STATE OF MINNESOTA
COUNTY OF WRIGHT
0. CITY OF MONTICELLO
DEVELOPMENT AUTHORITY
The foregoing instrume
byt
Development Authority, a pu
Minnesota on behalf of the aul
This document was drafted by:
KENNEDY & GRAVEN, Cha
150 South 5'�' Street, Suite 700
Minneapolis, Minnesota 5540:
Telephone: 612-3 3 7-93 00
RETURN To:
City of Monticello
505 Walnut St
Ste 1
Monticello MN 55362
thority Representative
SS.
ECONOMIC
it was acknowledged before me this day of September, 2020,
the ��-� � ��� of the City of Monticello Economic
)lic body corporate and politic under the laws of the State of
ority.
VICKI JAN LEERHOFF
NOTARY PUBLIC
MINNESOTA
Ally Commission Expires 011311=1
III I Granite City
REAL ESTATE
� Multi Housing Management and Leasing
Leadership Team
Who We Are
Founded in 2004, Granite City Real Estate (GCRE) is an innovative real estate firm that provides
tailored professional services to clients throughout the state of Minnesota. The company is recognized
as a service centric organization focused on growing long-term business relationships. GCRE offers a
wealth of expertise in commercial property management, facilities management, brokerage, multi
housing management and advisory services/consulting.
Management Experience and Knowledg(
Property management is a core competency for GCRE and we deliver unmatched service to
apartment communities, CIC associations, retail, office and industrial properties. GCRE's staff
of more than 70 professionals is led by an executive team with over 150 years of combined
real estate experience. Experience on its own is not what makes a company exceptional.
GCRE prides itself on promoting education and specialized training across the organization. A
common theme at the company is individuals that have obtained their Bachelor's Degree in
Real Estate. GCRE associates also maintain the following professional designations that are
both prestigious and widely recognized:
Certified Property Manager (CPM)
Certified Commercial Investment Manager (CCIM)
Industry organizations where GCRE associates hold active membership and board level
positions include:
Institute of Real Estate Management (IREM)
CCIM Institute
Building Owners and Managers Association (BOMA)
Minnesota Multi Housing Association (MMHA)
National Apartment Association (NAA)
National Association of Realtors (NAA)
Minnesota Commercial Association of Realtors (MNCAR)
GCRE's experienced professionals operate each assignment with a full understanding and
focus on the strategic goals of the property owner. Realizing that every aspect of the
operation is essential to the overall success of the project, GCRE's property managers;
marketing personnel; leasing; accounting and maintenance technicians all collaborate closely
to provide exceptional integrated service. A true team approach to achieve maximum benefit.
www.gcremn.com 1 1 P a g e
Management Team
Andy Martir, President
Andy is the President and Managing Partner at GCRE. He will provide oversight and support to
Shantel and the property team. Martin has been in the business of commercial and
multifamily property management since 1993. Prior to joining GCRE in 2018, Andy was the
Executive Vice President of Operations at Minneapolis based IRET Properties (NYSE ticker:
IRET) where he ran the organization's property management division that operated 97
properties (14,400 units) located in six states.
Andy has a Bachelor's Degree in Real Estate, as well as a Masters in Business Administration
(MBA) from St. Cloud State University. He has earned the Certified Property Manager (CPM)
designation from the Institute of Real Estate Management (IREM) as well as the Certified
Commercial Investment Manager (CCIM) from the CCIM Institute.
Shantel Sundby — Director of Residential Management
Shantel is the Director of Residential Property Management and leads the management effort
for all multi housing properties that GCRE services. She will directly supervise the property
team and direct the team to coordinate all aspects of operating a property. With over 15 years
of experience, Shantel has extensive knowledge of multi housing leasing and property
management. Throughout her career, she has supervised numerous new construction and
stabilized assets. Shantel has a Bachelor's Degree in Real Estate from St. Cloud State
University. She is a highly focused professional moves at a very high fast pace.
Whitney Gettler — Marketing Manager
Whitney is GCRE's corporate Marketing Manager and will lead the effort to establish and
maintain a marketing presence for your project. She has more than six years of graphic
design, sales and marketing experience. Whitney will supervise the creation of the property's
entire online effort, which includes but is not limited to the property website, ILS partnerships
and social media campaigns. She also oversees the development of all print promotional
materials and top of mind advertising (i.e. billboards, radio, etc.). Whitney will collaborate
closely with the GCRE's corporate leasing department and the community team on marketing
campaigns and resident events.
Jessica Huston — Leasing Manager
Jessica Huston is a corporate Leasing Manager at GCRE. She joined the company in 2014 and
delivers excellent results. Jessica will collaborate closely with Shantel and Whitney on an
overall marketing plan for each project. She will also play a critical role in the training of the
property team and monitor the leasing success of a property.
www.gcremn.com 2 1 P a g e
GGranite City
REAL ESTATE
Ownership Bios
Andy Martin
Andy is the President and Managing Partner at Granite City Real Estate, LLC ("Granite City'). He has
been owning and operating commercial and multifamily real estate since 1993. Prior to joining Granite
City, Andy was the Executive Vice President at Minneapolis based IRET Properties (NYSE ticker: IRET)
where he was a member of their Investment Committee and oversaw all management operations for
a $1.4 billion apartment portfolio comprised of 97 properties located in six states.
Andy has a Bachelor's Degree in Real Estate, as well as a Master's in Business Administration (MBA)
from St. Cloud State University. He has earned the Certified Property Manager (CPM) designation from
the Institute of Real Estate Management (IREM) as well as the Certified Commercial Investment
Member (CCIM) Designation.
Steve Feneis
Steve is a Partner at Granite City and maintains direct ownership in multiple investment properties.
For over 35 years he has been credited as one of the most active and successful commercial brokers in
Central Minnesota. Prior to joining GCRE as a Partner, Steve owned Epic Properties based in St. Cloud,
Minnesota.
Steve has a Bachelor's Degree in Management and Accounting from St. John's University. He is on the
Executive Committee for St. Cloud Opportunities and he is an active member with St. Cloud Area
Planning Organization and the Sartell Economic Development Corporation.
Greg Windfeldt
Greg is the President and CEO of Preferred Credit, Incorporated (PCI). Founded in 1982, PCI provides
credit financing services for in -home consumer sales on an international platform. Greg is also an
equity Partner in Granite City and maintains direct ownership in multiple investment properties.
Greg has a Bachelor's Degree in Finance from the University of St. Thomas. He is the Board Chair and
investor in Granite Equity, LLC, and is a member of the Finance Committee for CentraCare Health
System.
Mike Bobick
Mike is a Partner at Granite City and maintains direct ownership in various investment properties. For
more than 20 years Mike has been a prominent commercial broker specializing in investment sales
throughout Central Minnesota. Prior to joining GCRE as a Partner, Mike was a Principal with INH
Commercial Brokerage based in St. Cloud, Minnesota.
EDA: 02/ 10/21
5d. Consideration of Approving Entering into Month -to -Month Lease Agreement with
Alive! Lutheran Church (ALC) for EDA-Owned Property Located at 121 West
Broadway (JT)
A. REFERENCE AND BACKGROUND:
This item requests the EDA to consider entering into a written month -to -month lease
agreement with Alive! Lutheran Church (ALC) for property located at 121 West
Broadway. The EDA acquired this property as part of a purchase of three (3) parcels in
Block 52 from Steven and Candace Johnson on December 10, 2020. ALC has been a
tenant in this property for many years. The EDA attorney recommends that a written
month -to -month lease be entered into because the old lease agreement between ALC and
the Johnsons has expired and no formal written lease currently exists.
The proposed month -to -month lease essentially formalizes ALC's existing usage terms
and rental rate for the space. The rental rate will remain unchanged at $2,000 per month.
ALC will also be responsible for all utility services that are used while renting the space,
including: electricity, natural gas, and sewer/water/garbage. The lease includes a 30-day
notice for cancellation (termination) by either party.
Al. STAFF IMPACT: The EDA attorney drafted the lease agreement. In-house staff
reviewed the document and prepared the staff report as part of normal job duties. No
additional staff are required to complete the tasks related to the proposed lease agreement.
Approximately 12 hours of staff time have been committed to this task.
A2. BUDGET IMPACT: The funds for the legal fees required to draft the document
are included in the 2021 EDA General Fund budget under a line item for "Legal Fees".
The estimated cost to prepare the lease document and Resolution EDA-2021-01 is
approximately $570.00.
B. ALTERNATIVE ACTIONS:
1. Motion to adopt Resolution EDA-2021-01 approving entering into a month -to -
month lease agreement with Alive! Lutheran Church for EDA-owned property
located at 121 West Broadway.
2. Motion to deny adoption of Resolution EDA-2021-01 approving entering into a
month -to -month lease agreement with Alive! Lutheran Church for EDA-owned
property located at 121 West Broadway.
3. Motion to table consideration of Resolution EDA-2021-01 approving entering
into a month -to -month lease agreement with Alive! Lutheran Church for EDA-
owned property located at 121 West Broadway for further research and/or
discussion.
C. STAFF RECOMMENDATION:
Staff recommends Alternative 1. Entering into a month -to -month lease agreement with
Alive! Lutheran Church will formalize and document the owner -tenant relationship,
EDA: 02/ 10/21
rental rate, and usage terms for the space located at 121 West Broadway. ALC was
provided a copy of the proposed lease agreement and has not communicated any
concerns or desire for language adjustments. Penny Rolf, WSB, the EDA's relocation
consultant, has also been updated on the new lease agreement proposal and has had an
initial discussion with ALC's governing board regarding URA (Uniform Relocation Act)
benefits.
D. SUPPORTING DATA:
a. Resolution EDA-2021-01
b. Lease Agreement
2
CITY OF MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY
RESOLUTION NO.2021-01
RESOLUTION APPROVING A LEASE BETWEEN THE CITY OF MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY AND ALIVE LUTHERAN CHURCH
BE IT RESOLVED by the Board of Commissioners ("Board") of the City of Monticello
Economic Development Authority ("Authority") as follows:
Section 1. Recitals.
1.01. The Authority currently administers Central Monticello Development Project No.
1 (the "Project"), pursuant to Minnesota Statutes, Sections 469.090 to 469.1082, as amended.
1.02. The Authority has acquired certain real property within the Project located at 121
West Broadway Avenue, Monticello, Minnesota (the "Property"), and intends to hold the
Property until such time as a favorable redevelopment prospect is presented to the Authority.
1.03. In order to maintain the Property and to prevent additional blighting conditions
over the short term, the Authority proposes to memorialize an unwritten month -to -month Lease
Agreement (the "Lease") with Alive Lutheran Church (the "Tenant"), which was assigned to the
Authority by the seller of the Property, pursuant to which the Authority will lease the Property to
the Tenant for use as a church.
1.04. The Authority finds and determines that the lease of the Property by the Authority
to the Tenant is for a public purpose and is in the public interest because it will further the
development objectives of the Project, prevent further blight or blighting conditions, and
maintain the tax base.
Section 2. Lease Approved; Further Proceedings.
2.01. The Board approves the Lease as presented to the Authority, subject to
modifications that do not alter the substance of the transaction and that are approved by the
President and Executive Director, provided that execution of the Lease by those officials shall be
conclusive evidence of their approval.
2.02. Authority staff and officials are authorized to take all actions necessary to perform
the Authority's obligations under the Lease as a whole.
701518v1 TMR MN325-42 I
Approved by the Board of Commissioners of the City of Monticello Economic
Development Authority this day of February, 2021.
President
Executive Director
ATTEST:
Secretary
701518v1 TMR MN325-42 2
LEASE
This Lease is a legal agreement between the Tenant and the Landlord to rent the
Property described below. The word Landlord as used in this Lease means the City of
Monticello Economic Development Authority, and the Landlord's address is 505 Walnut Street,
Suite 1, Monticello, MN 55362. The word Tenant as used in this Lease means Alive Lutheran
Church, except as otherwise provided herein.
This Lease is a legal contract that can be enforced in court against the Landlord or the
Tenant if either one of them does not comply with this Lease.
1. Description of Property. The address of the Property is 121 West Broadway Avenue,
Monticello, Minnesota.
2. Term of Lease. This Lease is a month -to -month lease starting on the 15th day of
February, 2021. This lease may be terminated by either party upon 30 days written
notice. After such date, and compliance with such requirement, Alive Lutheran
Church will be released from the terms of this Lease.
3. Rent.
a. Amount. The rent for the Property is Two Thousand and no 100ths Dollars
($2000.00) per month in advance.
b. Payment. Rent due on January 15, 2021 in the amount of $2000.00 has been paid
in advance. The rent payment for each month beginning in February 2021 must
be paid before the 15th of the month, at the Landlord's address. The Landlord
does not need to give notice to Tenant to pay the rent. Tenant understands that
Landlord will not accept a partial payment of rent. In the event rent is not paid by
the 20th of each month, there will be a late fee of $25.00 assessed and payable
without demand.
4. Security Deposit. No security deposit has been received or is required by the Landlord.
5. Quiet Enjoyment. If Tenant pays the rent and complies with all other terms of this
Lease, Tenant may use the Property for the term of this Lease.
6. Use of Property. The Property must be used only as a church and for no other purpose.
The Tenant may not use the Property for any unlawful activity. In particular, Tenant
agrees that (a) Tenant will not unlawfully allow controlled substances on the
Property; and (b) the property will not be used by the Tenant or others acting under
his or her control to manufacture, sell, give away, barter, deliver, exchange,
distribute, or possess a controlled substance in violation of any local, state, or federal
law, including Minn. Stat. Chapter 152. This agreement by Tenant is not violated if a
person other than Tenant possesses or allows controlled substances in the Property or
on the property unless the Tenant knows or has reason to know of the activity.
7. Maintenance and Repair.
a. By Landlord. Landlord promises (1) to keep the Property in reasonable repair
during the term of the Lease, except when the damage was caused by the
intentional or negligent action of the Tenant or Tenant's guests; and (2) to
maintain the Property in compliance with the applicable health and safety laws
except if the violation is caused by the Tenant or Tenant's guests.
697470v2 TMR MN325-42
b. By Tenant. Tenant promises, at Tenant's expense, to make all repairs and
eliminate any violation of health and safety laws that result from the negligent,
willful, malicious or irresponsible conduct of the Tenant or the Tenant's family,
agent or guest. Tenant shall comply with all the sanitary laws affecting the
cleanliness, occupancy and preservation of the House, except if the Landlord is
required by law to comply with the sanitary laws (see Minnesota Statute, Section
504.18). Tenant must obtain authorization from Landlord prior to employing
any repair person to make repairs on the Property. Tenant agrees to perform the
following repairs and maintenance at Tenant's expense:
Snow removal.
8. Alterations. Tenant must obtain Landlord's prior written consent to install any paneling,
flooring or partitions or to make alterations or to paint or wallpaper the Property.
Tenant must not change the heating, electrical, plumbing, ventilation or air
conditioning without the prior written consent of the Landlord.
9. Damage to the Property. If the Property is destroyed or damaged not due to the fault of
Tenant or Tenant's guests, and the Property is unfit for use as a Church, and the
Tenant promptly notifies Landlord in writing about the problem, Tenant is not
required to pay rent for the time the Property cannot be used. If part of the Property
cannot be used, Tenant must only pay rent for the usable part. If the Property is
damaged or destroyed, Landlord may terminate this Lease immediately and may
decide not to rebuild or repair the Property. If the damage was not caused by the
Tenant or the Tenant's guest and the Landlord cancels the Lease, the rent shall be pro
rated up to the time of the damage.
10. Utilities. Tenant shall pay for electricity, gas -heat, water -sewer and garbage provided to
the Property during the term of this Lease.
11. Right of Entry. Landlord and Landlord's agents may enter the Property at reasonable
hours (with notice to tenant) to repair or inspect the Property and perform any work
that Landlord decides is necessary. In addition, the Landlord may show the Property
to possible or new Tenants at reasonable hours during the last thirty (30) days of the
Lease term.
12. Assignment and Subletting. Tenant may not assign this Lease, lease the Property to
anyone else (sublet), sell this Lease or permit any other person to use the Property
without the prior written consent of the Landlord. Any assignment or sublease made
without Landlord's written consent will not be effective. Tenant must get Landlord's
written permission each time Tenant wants to assign or sublet. Landlord's permission
is good only for that specific assignment or sublease.
13. Surrender of Premises. Tenant shall move out of the Property upon termination of this
Lease in accordance with Section 2 hereof. When Tenant moves out, Tenant shall
leave the Property in as good condition as it was when the Lease started, with the
exception of reasonable wear and tear.
14. Abandonment. If Tenant moves out of the Property before termination of this Lease in
accordance with its terms, Landlord may bring a legal action to recover possession of
the Property. The Landlord may rent the Property to someone else. Any rent
697470v2 TMR MN325-42
received by Landlord for the re -renting shall be used first to pay Landlord's expenses
for re -renting the Property and second to pay any amounts Tenant owes under this
Lease. Tenant shall be responsible for paying the difference between the amount of
rent owed by Tenant under this Lease and the amount of rent received by Landlord
from the new tenant together with any court costs and attorney's fees. If Landlord
recovers possession of the Property after Tenant moves out, then Landlord may
consider Tenant's personal property in the Property to also have been abandoned.
Landlord may then dispose of the personal property in any manner that the Landlord
thinks is proper. Landlord shall not be liable to Tenant for disposing of the personal
property.
15. Default. If Tenant does not pay the rent or other amounts when due or if Tenant violates
any term of this Lease, Landlord may terminate this Lease. If Tenant does not move
out, Landlord may bring an eviction notice. If Tenant violates a term of this Lease
and Landlord does not terminate this Lease or evict Tenant, Landlord may still
terminate this Lease and evict Tenant for any other violation of this Lease. If
contraband or a controlled substance manufactured, distributed, or acquired in
violation of Minnesota law is seized in the House or on the property on which the
House is located incident to a lawful search or arrest, and if Tenant has no defense
under Minnesota Statutes Section 609.5317, Tenant shall have no further right to
possession of the House, and Landlord may bring an eviction action against Tenant.
16. Insurance. Tenant acknowledges that it is solely responsible for loss or damage to
personal property located on the Property, and hereby indemnifies and holds harmless
Landlord, its officers, agents, and employees from any claims for loss or damage to
such personal property. Tenant acknowledges that obtaining insurance coverage for
such personal property shall be Tenant's sole responsibility. Tenant acknowledges
and understands that any liability insurance obtained by Landlord with respect to the
Property will in no way ensure or protect Tenant from Liability claims which may be
made against Landlord.
DATED: , 2021.
LANDLORD:
CITY OF MONTICELLO DEVELOPMENT AUTHORITY
By:
Its: Vice President
By:
Its: Executive Director
TENANT:
ALIVE LUTHERAN CHURCH
697470v2 TMR MN325-42
Christopher Lieske
697470v2 TMR MN325-42
EDA Agenda: 02/10/21
6. Consideration of Adopting Proposed 2021 EDA Workplan (JT)
A. REFERENCE AND BACKGROUND:
The EDA is asked to consider adopting the proposed 2021 Workplan. Discussion and
review of the 2021 Workplan took place in an EDA workshop on December 9, 2020 and
during the regular meeting on January 13, 2021. While many of the strategies are similar
to prior workplans, there are several new goals and objectives that are based on the
Economic Development implementation chart that was included in the recently approved
Monticello 2040 + Comprehensive Plan. The proposed 2021 Workplan is attached to this
report for final review and comment.
If the EDA has additional edits, staff asks that the 2021 Workplan be considered for
approval contingent on staff making the final adjustments to the document as directed by
the EDA.
Al. Staff Impact: Preparation of the 2021 EDA Workplan required a fair amount of
staff time of the Community Development Director and the Economic
Development Manager.
A2. Budget Impact: The review and editing tasks of the annual workplans are
included in the job descriptions of both of the EDA support staff, and as such, those
associated costs are part of the EDA's routine operating expenditures.
ALTERNATIVE ACTIONS:
1. Motion to adopt the 2021 EDA Workplan as presented.
2. Motion to adopt the 2021 EDA Workplan with revisions identified by the EDA.
3. Motion to table the adoption of the 2021 EDA Workplan for further research and/or
discussion.
B. STAFF RECOMMENDATION:
If the EDA feels the 2021 Workplan is complete and meets their approval, then Alternative
#1 is appropriate. If the EDA feels that the 2021 Workplan needs to be further revised,
then Alternative #2 or #3 is appropriate. Several EDA Commissioner provided feedback
on priority focus areas for 2021. Staff will review those comments at the meeting.
C. SUPPORTING DATA:
A. Proposed 2021 EDA Workplan
B. Economic Development Implementation Chart, Monticello 2040 + Comprehensive
Plan, 11-23-20
TY
MonticeRo
DRAFT
MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY
2021 ANNUAL ECONOMIC DEVELOPMENT WORK PLAN
EDA Purpose:
The EDA is charged with coordinating and administering the City of Monticello's economic
development and redevelopment plans and programs. The EDA is also responsible for housing
and housing redevelopment.
EDA Work Plan Mission Statement:
The EDA's work plan is adopted in support of achieving the goals of the Monticello 2040 +
Comprehensive Plan. The EDA will be proactive by developing and undertaking actions for
achievement of the Comprehensive Plan's Economic Development goals and will be reactive in
responding to economic development opportunities as they arise in the most timely and effective
manner possible. The EDA shall utilize the Economic Development Implementation Chart as a
guiding document creating its 2021 Work Plan.
Comprehensive Plan Goals:
1. Business Attraction and Retention
2_Tax Base Expansion
3_Downtown Vitality
4_Redevelopment and Reinvestment
5_Life Cycle Housing
6_Workforce Development
7_Promotion and Partnerships
8_Opportunity Focus Areas
1IPage
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GOAL #1: BUSINESS ATTRACTION AND RETENTION
Policy 1.1. Business and Employment Retention
Strategies:
1. Maintain a strong Business Retention and Expansion (BR&E)_pro,gram to monitor
opportunities for continued growth and expansion of businesses as well as the continued
relationship development between the City and existing businesses.
2. Identify and support companies that are expanding and adding employees.
3. Identify and promote programs that assist existing companies in expansion and creation
of new positions.
4. Assist and support companies in accessing business assistance programs including
financing and educational programs.
5. Bring Businesses and Educations Organizations together to create training programs to
foster new live wage opportunities.
Policy 1.2: Local Business Support
Strategies:
1. Facilitate relationships with existing businesses on the expansion, redevelopment and
improvement of their buildings and facilities.
2. Consider facade rehabilitation programs, small business loans, grants and other tools to
encourage property reinvestment and support local businesses.
3. Foster partnerships and maintain networking relationships with the goal of maintain
communication in support of existing businesses.
GOAL #2: TAX BASE EXPANSION
Policy 2.1: Diversify economic sectors to broaden the base of available living wage
employment in the communiM.
Strategies
1. Capitalize on the proximity to the I-94 regional transportation facilities, available land
and educated and skilled workforce to create opportunities for job growth.
2. Inventory existing industry clusters by attracting similar and complementary businesses.
3. Work with existing business clusters to expand the attraction of supply chain companies.
4. Recognize changing land use patterns for industrial parks, and other or alternative uses
such as co-workingspaces.
Policv 2.2: Maintain a business development and iob creation toolbox to assist
existing and future businesses.
Strategies:
1. Continue discussion on use of tax reimbursement/abatement. including development of
criteria/application.
2 1 P a g e
2. Identify and communicate new or innovative state and federal programs or grants which
could be leveraged to support business development.
3. Proactively support small business start-up efforts through programs, collaborative efforts
and various tools available for small businesses.
Policy 2.3. Work collaboratively with partners to foster the attraction of new
businesses.
Strategies:
1. Continue to support the IEDC interactions with in the Wright County Workforce
Pathways efforts in addressing workforce needs and training.
2. Consider IEDC recommendations and be prepared to be a partner in potential solutions
based on WCWFP findings.
GOAL #3: DOWNTOWN VITALITY
Policy3_1:. Implement the recommendations of the Downtown Small Area Plan. Formatted: Font: Bold
Strategies:
1. Support and advocate for improvements to the downtown as envisioned in the Small Area
Plan and Walnut Street Corridor Plan.
2. Develop and support the appropriate policies, programs, and incentives that enable the type
of development described in the Plan.
3. Continue to build a funding base for use in property acquisition and redevelopment efforts in
targeted areas.
4. Implement a facade improvement program for desired revitalization areas.
5. Continue to meet with downtown property owners either in an informal group setting
(Downtown Rounds) or individually to understand their concerns with traffic, parking land
use and possible reinvestment in their property as well as willingness to sell, partner, desired
price, etc.
6. Encourage continued incorporation of arts as an economic development tool for Downtown
Monticello and the community at -large.
7. Support opportunities for park and pathway development as consistent with the Downtown
Small Area Plan.
8. Encourage the redesign of the pathway connection under the MN-TH #25 bridge to
incorporate safety elements and improved lighting_
9. Ensure that reg enway and pedestrian/cycle connections are considered within the downtown
and from the downtown to other areas within the community.
10. Support park improvements in the downtown area.
3 1 P a g e
GOAL #4{-S}: FACILITATING -REDEVELOPMENT & REINVESTMENT
Policy 4.10hjectis=e: Redevelopment: Continue to support redevelopment efforts
for publicly -owned properties inen Block 52, Block 34 and other EDA owned sites.
Strategies:
1. Continue to focus on site control for a potential future targeted redevelopment in Block 52 as
envisioned in the Downtown Small Area Study Plan.
2. Proactively market Block 52 ash a unique regional site and development opportunity; reach
out to developers to gauge interest, potential suitability and capacity to collaborate on a
redevelopment plan.
3. Advocate for reconnecting Walnut Street to River Street in support of redevelopment.
4. Remain open to and analyze strategic opportunities for redevelopment throughout the
community.
5. Proactively market Block 34, the Cedar/Broadway site, 4' Street site, West River Street
parcel and the West 71h Street land tract to the commercial and residential development
community.
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D"r-v4jO 34.0bTeEtWe -1: implement the Fec9m-menclations-of theDowntownSmall '- -"""- - Formatted: Heading 2
AypPlan
Formatted: Heading 2, No bullets or numbering
. Formatted: Heading 2
GOAL #5: LIFE -CYCLE HOUSING
Policy 5.1:. Actively promote and seek opportunities for the development of a wide Formatted: Font: Bold
variety of housing types, styles and price points as a mechanism to support and
attract employment.
Strategies:
5 1 P a g e
1. Develop revised policy statements for housing which address the identified 2020 Housing
Study needs.
2. Continue to market workforce housingdevelopment evelopment on EDA owned land along East 4"'
Street and Outlot A of Country Club Manor, or at other suitable sites in the City, including
the Downtown.
3. Support efforts by private and non-profit entities to develop affordable housing projects
utilizing state and federal programs.
4. Examine the use and application of available housing TIF dollars per the 2016 TIF
Management Plan and the adopted Policy Statements for Available TIF Funds.
5. Continue to periodically examine housing stock for aging or blighted properties and research
development of programs for redevelopment and/or revitalization of existinghousing.
ousing.
6. Market the availability of incentives/subsidies available for development of housing.
GOAL #6: WORKFORCE DEVELOPMENT
Strategies:
needs and training.
3. Promote Central Minnesota Jobs and Training Services as an option to Community
College or university for students seeking alternative careers in the trades, manufacturing,
and similar sectors and create a plan to market financial tools which support living wage
employment as a primary focus.
Formatted: Font: 12 pt, Bold
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Policy 7.10z: Create and maintain Develop and implement a
comprehensive Marketing & Communication Strategy for priority sectors and
locations.
,Strategies: Formatted: Font: 12 pt
1. Identify community partners that can be regularly engaged and advised on economic
development activities and events.
4-.Z. Support the development of strategic marketing plan, including creation of an overall
economic development brand, for various focus audiences and sectors of development;
residential, commercial and industrial and redevelopment.
2-3. Incorporate the marketing of EDA incentive programs in a more proactive manner, both
within the community and beyond,
6 1 P a g e
a. Present existing and new incentive programs to smaller community groups, local
banks, realtors, and local businesses either on in an informal group session or a
formal roundtable format.
b. Develop and communicate a "complete" development package program which
provides support and assistance to prospects and developers from inquiry to
construction.
3A.Market industrial development at the Monticello Business Center (Otter Creek Business
Park) to a broad variety of prospects as guided by the ,.m*e-nt and- a,..._o Comprehensive
Plan.
a. Focus on prospects which serve or rely on the St. Cloud and Twin Cities markets.
b. Focus on supply chain prospects.
4.5.In collaboration Wwith the IEDC, communicate with current business and industry in
support of Business Retention & Expansion.
a. Engage in informal business and industry small group meetings and explore
potential format of helpful formal round tables meetings.
b. Work with the Monticello Times to do a business spotlight or profile article two
times per year.
c. Leverage the networks of existing commercial and industrial entities currently doing
business in and around Monticello.
Policy 7.2: Engage as a partner in local and regional planning and development
1. Monitor the regional nlannina efforts of the Central Mississippi River Regional Plannin
Partnership (CMRRPP) and engage with feedback as requested.
2. Consider funding and/or completing studies that provide policy and strategy framework for
desired land uses/or projects in the downtown and for other programs.
3. Monitor commuter rail development in and around the Twin Cities metro region for Dotential
benefits and opportunities to serve Monticello.
Formatted: Font: Bold
Formatted: Font: (Default) +Headings (Cambria), 11 pt
Formatted: Font: 12 pt
GOAL #8. OPPORTUNITY FOCUS AREAS Formatted: Font 14 pt, Not Bold, Font color: Accent 1
Policy 8.1: Opportunity FOCUS Areas_ I Formatted: Font color: Accent 1
1. Maintain open lines of communication with property and business owners to
understand their long-term development objectives.
2. Consider strategies, loans, grants and other financing methods to boost reinvestment and
improvements.
3. Encourage public infrastructure investment in these areas in an effort to support private
investment.
Formatted: Font: Not Bold
Formatted: List Paragraph
7 1 P a g e
^o 'eT:Policy 8.2- Support community quality -of -life initiatives which act as
economic development tools.
Strategies:
1. Encourage and support coordinated planning and development of parks, trails in or near
business districts.
2. Support the development Bertram Chain of Lakes Regional Park, including community
Connections.
3. Formatted: Normal, Indent: Left: 0"
Increase the visibility of the interconnection of all amenities including parks and trails with
economic hubs of the City.
8 1 P a g e
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available tools for business development and job creafie4i-.
'Swa"ieswFormatted: Font: 12 pt
' Formatted: Indent: First line: 0"
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Pathways efforts in addressifig workf r-ee heed. .....,7 t.-.,:..:tt1g
9 1 P a g e
Appendix: Monticello 2040 Vision + Plan, Economic Development and Implementation
101Page
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING UTHEME
TERM TERM
• Policy I.I.- Business and
Strategy 1.1.1- Maintain a strong Business
• Employment Retention
• • ' Retain existingbusinesses and
Retention and Expansion (BR&E) program to
monitor opportunities for continued growth
and expansion of businesses as well as the
t�
• • • • employers to ensure existing
continued relationship development between
• and future residents have access to
the City and existing businesses.
livable wage jobs in a diverse range
Strategy 11.2 - Identify and support companies
of economic sectors.
that are expanding and adding employees.
�f
Strategy 1.1.3 - Identify and promote programs
that assist existing companies in expansion and
}
4s
��
creation of new positions.
Strategy 11.4 - Assist and support companies
�.
in accessing business assistance programs
including financial and educational programs.
Strategy 1.1.5 - Bring Businesses and
Educational Organizations together to
create training programs to foster new living
wage opportunities.
• • •
-
Policy 12: Local Business Support
Support existing businesses in their
Strategy 1.2.1— Facilitate relationships
with existing businesses on the expansion,
redevelopment and improvement of their
4s
efforts to expand and do business
buildings and facilities.
in the community.
Strategy 1.2.2 - Consider facade rehabilitation
programs, small business loans, grants and
other tools to encourage property reinvestment
and support local businesses.
Strategy 1.2.3 - Foster partnerships and
maintain networking relationships with the goal
of maintaining communication in support of
existing businesses.
MONTICELLO 2040 VISION + PLAN 223
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING THEME
TERM TERM
Policy 2.1. Diverse
Economic Sectors
• • ' • • • •
Strategy2.1.1- Capitalize on the proximity to
1-94 regional transportation facilities, available�,.
land and educated and skilled work force to
• - - - Diversify economic sectors to
create opportunities for job growth.
- • • • broaden the base of available
• - - . • • living wage employment in
• • - • the Community.
Strategy 2.1.2 - Inventory existing industry
clusters and strengthen those clusters
by attracting similar and complementary
businesses.
Strategy2.1.3 - Work with existing business
clusters to expand the attraction of supply'
chain companies.
Strategy2.1.4 - Recognize changing land
use patterns for industrial parks, and other or
alternative uses such as co -working spaces.
• • : • • • Policy2.2. Business Toolbox
Strategy 2.2.1 - Promote economic
development tools to the business community.
Maintain a business development
and job creation toolbox to assist
Strategy2.2.2 - Develop criteria for a City tax
1 R
existing and future businesses.
reimbursement and abatement program.
Strategy 2.2.3 - Identify and promote new and
existing state and federal programs to support
business development and attraction.
Strategy 2.2.4 - Prepare a complete
development site package for high -priority areas
including a map of available parcels.
Strategy2.2.5 - Certify available industrial sites
as "shovel ready" to allow for faster turnaround
,>
of development projects.
Strategy2.2.6 - Maintain and update annually
property availability maps for commercial and
industrial parcels.�e
224 7'<`""' """*.7{" IMPLEMENTATION
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING THEME
TERM TERM
• • • • •
Policy 2.3. Local
Strategy 2.3.1 - Proactively support small
Partner Collaboration
business start-up efforts through funding
Work collaboratively with partners
and programs made available by the State
of Minnesota's Department of Employment,
�.•
to foster the attraction of
Initiative Foundation and Economic
!�
new businesses.
Development (DEED) and Wright County
Economic Development Partnership.
• • • • • •
Policy2.4.
Industrial and Business
Strategy2.4.1- Identify funding sources for
infrastructure and proactively engage
e�
Site Analysis and Availability
a variety of partners to help complete the
development of a new business park.
Identify, plan, and develop new
Strategy2.4.2 - Develop partnerships to assist
industrial/business park areas
to ensure site availability for
with marketing and promotion of industrial/
industrial projects as existing
business park areas.'
areas fully develop.
Strategy 2.4.3 - Monitor industrial land
-
absorption to help prioritize future site
-
development and readiness.
Strategy2.4.4 - Investigate opportunities for
grants, legislation, transition aid, or bonding
funds to support industrial land
area development.
Policy3.1. Downtown
Small Area Plan
Strategy 3.1.1 - Develop and support the
appropriate policies, programs, and incentives
•
•
that enable the type of development described
Use and implement the Downtown
in the Downtown Small Area Plan.
Small Area Plan as the guiding
Strategy3.12 - Install improvements to the
downtown as envisioned in the Walnut Street
• • -
document to improve, develop and
redevelop Downtown.
Corridor Plan.
!J1
Strategy3.1.3 - Continue to build a funding
base for use in property acquisition and
redevelopment efforts in targeted areas.
Strategy3.1.4 - Continue to support the
fagade improvement program and promote to
downtown business and property owners.
MONTICELLO 2040 VISION + PLAN 225
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING THEME
TERM TERM
Policy 3.1. Downtown
Strategy3.1.5 - Continue to meet with
Small Area Plan
downtown property owners either in an informal
group setting or individually to understand
Continue to follow and implement
their concerns with traffic, parking, land use,
building improvements and reinvestment in their
}
the Downtown Small Area Plan.
property as well as willingness to sell, partner,
price, etc.
Strategy 3.1.6 - Encourage continued
incorporation of arts as an economic
�((
development tool for Downtown Monticello
and the community at -large.
Strategy3.1.7- Ensure trail and pedestrian/
cycle connections are considered within the
downtown and from the downtown to other
areas within the community.
Strategy 3.1.8 - Maintain and update annually
property availability maps for downtown
property or property investment parcels.
Policy 4.1. Redevelopment
Strategy 4.1.1 - Continue to focus on site control
for a potential future targeted redevelopment in
(((
Continue to support redevelopment
Block 52 as envisioned in the Downtown Small
efforts as identified in the
Area Study Plan.
Downtown Small Area Plan and
in strategic opportunity areas
throughout the community.
Strategy 4.1.2 - Develop and implement
marketing of city -owned properties identified
��
R
for redevelopment, including Block 52, 34 and
Cedar Street/Broadway site.
Strategy4.1.3 - Reconnect Walnut Street to
River Street in support of redevelopment.
Strategy4.1.4 - Use the Block 52
redevelopment project as a catalyst and
template for future redevelopment projects in
the downtown area.
Strategy 4.1.5- Remain open to strategic
P
opportunities for redevelopment throughout
the community in all land use categories .
226 IMPLEMENTATION
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
Policy 4.2. Revitalization
Support revitalization efforts for
publicly owned properties
and other opportunity sites
throughout the community.
Policy 5.1.
Housing to Support Employment
Actively promote and seek
opportunities for the development
of a wide variety of housing
types, styles and price points as
a mechanism to support and
attract employment.
Strategy 4.2.1- Evaluate any development
related processes or fees which could be
modified to support or encourage reinvestment
in targeted areas.
Strategy 4.2.2- Research and develop
reinvestment programs for targeted housing
areas and other sites throughout the community
for long-term investment.
Strategy 4.2.3 - Use strategies identified in
the Community Character, Design and the Arts
Chapter in revitalization projects.
Strategy 5.1.1 - Continue to market workforce
housing development on EDA-owned land
along East 4th Street and Outlot A of Country
Club Manor, or at other suitable sites in the City,
including the Downtown.
Strategy 5.12- Maintain and update annually
property availability maps for residential
housing sites as identified in the
2020 Housing Report.
Strategy 5.13- Support efforts by private and
non-profit entities to develop affordable housing
projects utilizing state and federal programs
based on housing supply and demand data.
Strategy5.1.4 - Examine use and application
of available housing TIF dollars per the 2016
TIF Management Plan and the adopted Policy
Statements for Available TIF Funds.
Strategy 5.1.5 - Complete updates to the
2020 Housing Study and regular and
appropriate intervals.
Strategy5.1.6 - Continue to periodically
examine housing stock for aging or blighted
properties and research development
of programs for redevelopment and/or
revitalization of existing housing.
SHORT- LONG ONGOING THEME
TERM TERM
MONTICELLO 2040 VISION + PLAN
227
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING THEME
TERM I TERM
Policy 6.1. Diversified
Strategy 6.1.1- Continue to support
' ' - • ' ' and Skilled Workforce
interactions with local organizations to address
workforce needs and training.
The City will collaborate with the
Strategy 6.1.2 - Partner with Wright County
• • , • , •
• • • • • , School District, Wright County
Economic Development Partnership
Workforce Pathways (WCWFP) on solutions for
• , , , •
and other local entities involved
training and education programs.
in monitoring and developing
� � • �
workforce training awareness
Strategy 6.1.3-Promote Central Minnesota
efforts to address workforce needs.
Jobs &Training Services as an option to
community college or university for students
seeking alternative careers in the trades
manufacturing, and similar sectors and create
a plan to market financial tools which support
living wage employment as a primary focus.
Policy Z1:
Strategy 7.1.1- Identify community partners
�
• • ' Public Relation Strategy
that can be regularly engaged and advised on
economic development activities and events.
• • • • • - ' • Create and maintain a
Strategy7.1.2 - Support the development of an
• ' ' • • • • • • comprehensive Marketing
• • �' - • • ' • - and Communication Strategy for
economic development brand and utilize it in all
' • • ' priority sectors, available sites
economic development activities.
and opportunities.
Strategy 7.1.3-Enhance the brand and tell
the story of Downtown Monticello.
)))
Strategy 7.1.4 - Regularly update information
about available development sites.
Strategy 7.1.5- Marketing EDA incentive
programs in a more proactive manner, both
within the community and beyond.
• Present existing and new incentive
programs to smaller community groups,
local banks, realtors, and local businesses
either in an informal group session or a
formal round table format.
• Develop and communicate a "complete"
development package program which
provides support and assistance to
prospects and developers from inquiry
to construction.
228 IMPLEMENTATION
IMPLEMENTATION CHART: ECONOMIC DEVELOPMENT
SHORT- LONG- ONGOING THEME
TERM TERM
Policy 71;
Strategy Zt6 - Market industrial development
' • •
Public Relation Strategy
of the business/industrial areas to a broad
variety of prospects as guided by the current
and future Comprehensive Plan.,
• Focus on prospects which serve or rely on
the St. Cloud and Twin Cities markets.
• Focus on supply chain prospects.
Policy 7.1: Partnerships
Strategy 7.2.1- Engage in the regional planning
efforts of the Central Mississippi River Regional
Engage as a partner in local and
Planning Partnership (CMRRPP) to allow for the
regional planning and
continued development of the community.
development opportunities.
Strategy7.2.2 - Consider funding and/or
completing studies that provide policy and
strategy framework for desired land uses/
or projects in the downtown and for other
development opportunities and programs.
Strategy 7.2.3- Monitor commuter rail
development in and around the Twin Cities
metro region for potential benefits and
opportunities to serve Monticello.
Policy 8.1:
Strategy 8.1.1 - Maintain open lines of
• • • • ' ' •
Opportunity Focus Areas
communication with property and business
•*
owners to understand their long term'
• • . , Recognize the opportunity
development objectives.
focus areas of the city as the
Strategy8.1.2 - Consider tax strategies, loans,
locations with optimal conditions
for attracting reinvestment and
grants, and other financing mechanisms to boost
the overall improvement of the
reinvestment and improvements.
appearance and character of
these areas.
Strategy8.1.3 - Encourage public infrastructure
investment in these areas to encourage
private investment.
!!!
MONTICELLO 2040 VISION + PLAN 229
EDA Agenda: 02/10/21
7. Economic Development Director's Report (JT)
A. Additional MN-COVID-19 Business Relief Funding to Counties:
Wright County received $2,700,000 from the State based on its population. They are
encouraging businesses that have been negatively impacted by the pandemic shutdowns to
submit applications for the grant awards of up to $20,000 for businesses and $6,000 for sole
proprietorship type entities. City staff have been contacting Monticello businesses about the
relief program. The grant funding application deadline was Monday, February 8, 2021. The
County is suggesting that applicants can complete the form on February 8, 2021 and send in
required supporting documentation after that date.
The County press release is attached as Exhibit A.
B. Project Gia-Saurus Update: Task efforts related to Project Gia-Saurus have been organized
into four areas and each is accompanied by a short summary of the work status below:
1. Legislative — in a standstill phase and monitoring COVID-19 stimulus discussions.
2. Federal and State funding programs — status of tasks awaits further direction related to a
definitive site for the proposal. Funding would be primarily used for infrastructure which
may or may not include a building. Staff plans an internal discussion in January on this
item.
3. Industrial Land Feasibility Study — Completed by WSB. Study has been revised through
add on Memos identifying full ultimate public infrastructure development costs. The
Memo(s) still identify three viable sites with infrastructure costs ranging from $4,000,000
to $18,000,000. An additional fourth site was reviewed only in relation to dimensional fit
and not studied further as to infrastructure layout and environmental impacts or
constraints.
4. Project and Process Review -Communications — Continuance of efforts to understand the
desired development timeframe and deadlines. Also, additional collaborative efforts to
introduce equity partners and/or willing large project lenders or developers capable of
building and owning the building and leasing it to Gel-X Corporation. A thorough review
of company due -diligence information is expected at the time of funding applications. A
Letter of Intent (LOI) between the EDA and Gel-X is also currently in a rough draft
format and be completed in short order as the status of the proposal evolves in the coming
weeks or month. Its ultimate contents and form will hinge on a final site determination.
The Draft LOI will need to be reviewed by all involved parties prior to formal
consideration. Staff will continue to work various tasks on all of these tracks to keep
moving the proposal forward. Due to the efforts of City staff over the past several
months, third party funding assistance discussions have occurred with potential
agreements occurring. The three (3) third party entities have expressed interest in various
project components. In light of these third -party efforts and discussions, staff continue to
monitor the general progress and maintain communication with each of them. A general
overview of the third -party efforts is provided below.
EDA Agenda: 02/10/21
✓ Equity Funding Partner (100 percent of required funding) — on hold
✓ Real Estate Developer Partner (Building facilities in a lease arrangement with
Gel-X) - Multiple meetings have been held; due -diligence and positive
discussion moved steadily toward a possible agreement. Developer is waiting
on the site information from the City as a next step.
✓ Bank Lender Partner (Equipment funding Loan) — Mtg occurred on 1-22-21
C. UMC Expansion Project Update: UMC continues to work on final financing steps and
ordering supplies and materials for the 58,000 square foot expansion project. The expected
start to construction is approximately March 25, 2021.
The building permit application and related materials have been reviewed and are ready to
issue. Footings and foundation permits will be issued when UMC is ready for it.
D. Block 52 EDA Property Acquisition and Developer Discussion Update:
The Monti Arts Program has requested permission to use the corner buildings, 101 and 107
West Broadway, for arts display activities and also creating art projects. The art displays are
complete and installed at the building as of February 3, 2021. The visibility of the site lends
itself to the Arts Program efforts. Again, Public Works will also be responsible for removal
of snow at the front of the building and in the rear parking lot area.
A follow up meeting with Cl Construction -Good Neighbor Properties, Alexandria, MN
occurred on Wednesday, January 20, 2020. Mayor Hilgart and Jim Thares traveled to
Alexandria to meet with the prospective developer. The takeaway was that this was a helpful
follow-up session. CI Construction expressed interest in a potential meeting with the entire
EDA in the future if that is deemed useful or required. No definitive timetable for next steps
was identified.
E. Community Energy Transition (CET) Grant Program Application Update: The City
was notified via letter from MN -DEED that its CET Grant application submittal was approved
in the amount of $500,000.
CET Grants are intended to support communities in their efforts to transition away from
major power generating facilities. The presence of Xcel Monticello Nuclear Generating Plant
(MNGP) has had an outsized impact in creating a vibrant and healthy economy and
community for many years. The future of the plant is that it will face a closure in 2030 or
possibly as late as 2040. The City proposes to use the grant funds to create a Strategic
Transition Plan and also to complete environmental studies of potential new industrial sites
along with shovel -ready documentation for such areas. Additional work components include
financial modeling related to revenue mix and sourcing capital for necessary public facility
investments needed to attract new business investment and development, marketing material
and medium upgrades and legislative lobbying efforts raising awareness of needed financial
assistance. MN -DEED intends to award the CET Grants by early March 2021. Grantees will
EDA Agenda: 02/10/21
have until June 30, 2022 to complete the work components and draw and spend the funds.
See Exhibit B.
F. EDAM Winter Conference: Jim Thares and Jacob Thunander attended the Virtual Remote
EDAM Winter Conference Sessions on January 21-22, 2021. Sessions included:
Communities and what they mean in a social and economic sense; Building a Crisis Ready
Culture (Pandemic Response); Discussion with Site Selectors about factors influencing site
location decisions; St. Cloud, MN Response Effort and Plan related to closure of Frigidaire
Plant (loss of 830 FTE jobs); Democratizing Business through ESOPs; Blueprint for
Minnesota's Economy - looking 10 years into the future; Virtual Site Visits; and a Legislative
Update by Minnesota legislators. See Exhibit C.
G. EDA Meeting Stipend Update: The City Personnel Committee will be the initiator of the
discussion of meeting stipends. The City Council would be the final decision point in
authorizing any necessary recommended amendment of the EDA Bylaws regarding
authorizing meeting stipends.
H. Prospect List Update: Please see the updated Prospect List as Exhibit D.
I. WSB Update Report: See attached report as Exhibit E.
I Broadway Parking Lot Easement Maintenance Fees: The 2021 monthly fee amount is
set at $198.02 per month for the EDA's share of the operating budget. This compares to
$164.17 per month for 2020. The monthly increase is $33.85 or a total of $406.20.
Item 6. Exhibit A
Below you will find the information that has been shared regarding Wright County COVID-19
Grants.
County to Open Applications for Small Business Relief Grants 1-05-21
In mid -December, the Minnesota State Legislature approved a Minnesota Small Business Relief Grant package
to assist small businesses damaged by the COVID-19 pandemic and specifically losses directly resulting from
Executive Order 20-99 signed by Gov. Tim Walz that forced businesses like restaurants, bars, theaters and
gyms to once again shut down or greatly reduce access to the public.
Under the formula for the small business grant program, Wright County's allocation will be approximately $2.7
million. This is anticipated to be available on or about Monday, January 11, 2021. As it did with CARES Act
funds, the Wright County Board of Commissioners has authorized extending business grants to local small
businesses most deeply impacted by the pandemic.
Commissioner Darek Vetsch explained that the Wright County program will target those in most need of
immediate funding assistance.
"The state has recognized that many small businesses in Minnesota have been struggling to survive since
COVID forced closures back in the spring and again in November. This program has many similarities to what
Wright County set up with its CARES Act allocation, but, with any state- or federal -run program, there are going
to be guidelines that small businesses will have to meet in order to be eligible," Vetsch explained.
Businesses will be divided into three groups: those specifically earmarked for multiple small-business funding
sources (table service restaurants, gyms, theaters, entertainment -related businesses, etc.); sole proprietor
businesses that may only have one employee (hairdresser, barber, DJ's, photo studios, cake bakers, etc.); and
nonprofits and promoters of performing arts, sports and similar events in facilities (youth sports, county fairs,
camps, etc.).
Wright County staff is in the process of setting up an application portal that will be available on the county
website (www.co.wright.mn.us) and allow business owners to fill out their applications electronically. It is
expected to "go live" on or before January 11, 2021.
Vetsch pointed out that there will be quite a bit of documentation required to demonstrate a business loss.
Including the impact was the result of Executive Order 20-99 or previous Executive Orders that shut down or
greatly curtailed the ability for small businesses to operate as normal.
"There are certain hoops you have to jump through because the state will be conducting a stringent audit of
how the funds were allocated. Therefore, those seeking assistance will have to provide the background
materials to quantify their business losses," Vetsch said. "Small business owners will have to provide their
federal tax return, profit/loss statements for the final two quarters of 2019 and all of 2020, a current business
filing with the Minnesota Secretary of State's Office, a business eligible expense worksheet with the supporting
receipts, acknowledgement that the eligible expenses have not or will not be reimbursed from another funding
source and, in the case of home -based businesses, that the home -based business is that person's primary
source of income. There will be a lot that goes into this process."
Depending on the number of employees, a small business can request up to $20,000 ($6,000 for a home -
based business). The application process is expected to open on or about January 11 and will close Monday,
February 8. All funds are expected to be disbursed by Tuesday, February 16.
Vetsch said the biggest unknown, at the moment, is how many small businesses will apply and how many will
be awarded grant funds for eligible expenses. He said that the three -tiered grouping of business classifications
is an attempt to provide relief for as many businesses as possible.
"We know that some businesses have been damaged so severely that $5,000, $10,000 or even $20,000 may
not be enough to make them whole as a business," Vetsch said. "Our goal is to assist as many of these local
businesses as we can with the funds available to us and try to bridge the gap for them until the current COVID
restrictions are lifted and we can start trying to bring our lives back to some sense of normalcy."
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lanuary 29, 2021
The Honorable Lloyd Nljgart
Mayor, City of Monticello
WSWalnut St.
Monticello.MN 55362
Dear Mayor Hilgart:
Grant Awards - Community Energy Transition Grant Program
The Department of Employment and Economic Development is pleased to announce the recent awards
from the Community Energy Transition Grant Program. Following is a list of the projects selected for
funding along with the grant amounts.
Congratulations to the above grant recipients! We are pleased to partner with these communities to
address economic challenges resulting from decommissioning of local power plants.
For additional information, contact Kristin Lukes, Brownfie Ids and Redevelopment Director at
651-259-7451.
AeBards.
e✓e Gin✓e 6MARraazz6
nm/ss/over
arror Bruce O. Anderson
esenfsfrlre Marion O'Nel//
EDAM 2021 Winter Conference
Event Schedule
Thu, Jan 21, 2021
8:30am
President's Welcome & Annual Meeting
0 8:30am - 8:45am, Jan 21
v* Speakers
6
Kim Lindquist Community Development Director, City of Rosemount
Morgan Hill Market Strategist, ISG
8:45am
Keynote * For the Love of Cities: 2020 & Beyond
0 8:45am - 9:45am, Jan 21
1.0 AICP Credit
Join author Peter Kageyama for an exploration of how our relationship with our places has been indelibly
changed by the hurricane of events that is 2020. Our cities, our communities are more important than ever
before and we have new opportunities in the way we think about community, social and economic
development.
Check out Peter's books:
m0'
Loves,
wa TTEN as
PETER K A G E Y A M A
Learn more about Peter
View Past Presentations
v1Speaker
0
Peter Kageyama Senior Fellow, Alliance for Innovation
9:45a m
Break * Visit with exhibitors & connect with each other
0 9:45am - 10:00am, Jan 21
coft
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
10:00a m
Building a Crisis -Ready Culture During a Pandemic
0 10:00am - 11:00am, Jan 21
1.0 AICP Credit
No organization is immune to a crisis - but that doesn't mean you can't be prepared. Your best defense is a
crisis -ready culture that can help you spot potential issues; act swiftly in a crisis; reflect your values and
build trust with your audiences. Goff Public's communications pros will share five steps to building a crisis -
ready culture at your organization, including tools to communicate and engage with your key audiences in
this moment and how to respond well in a crisis.
-t* Speakers
Iwo
Ashley Aram Senior Account Manager, Goff Public
0
Sara Swenson Director, Public Relations, Goff Public
Q&A Session * For the Love of Cities: 2020 & Beyond
0 10:00am - 11:00am, Jan 21
What ideas did the For the Love of Cities opening keynote spark for you? This is your chance to get your
questions answered in our conversation with Peter Kageyama.
-r*Speaker
go
Peter Kageyama Senior Fellow, Alliance for Innovation
11:OOa m
Break * Visit with exhibitors & connect with each other
0 11:00am - 11:15am, Jan 21
M
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
11:15am
Excellence in Economic Development Awards
0 11:15am - 11:45am, Jan 21
Join us as we honor outstanding people, projects, and initiatives that made waves in the economic
development community in the past year!
11:45a m
Lunch Break
0 11:45am - 1:00pm, Jan 21
em
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
A Discussion with Site Selectors
0 1:00pm - 2:00pm, Jan 21
1.0 AICP Credit
Join us for a discussion with site selectors from Twitter, Newmark, and BeyondHQ, exploring key issues
including:
• How to find a location that ensures access to talent/labor, optimizes operating cost, and mitigates
geo-specific risks
• How to plan, program, and design the workplace to align functions and space, enable purposeful
collaboration, allow for privacy, and create a safe and healthy work environment
• How to streamline and digitize workflows for location and portfolio decision making
Ti Moderator
;4-1 -- -
Kylle Jordan Director, Business Investment, GREATER MSP
T* Speakers
4i---
Catharine Broadnax Sr. Program Manager, Location Strategy, Twitter
a.s
Gabriel Dion Director, Global Corporate Services and Consulting, Newmark
r2•
Rajeev Thakur Head of Growth and Client Strategy, BeyondHQ
2:00 p m
Break * Visit with exhibitors & connect with each other
0 2:OOpm - 2:15pm, Jan 21
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
2:15pm
We're Closing Our Plant: Preparing for the Loss of Your Largest Manufacturer
0 2:15pm - 3:15pm, Jan 21
1.0 AICP Credit
In January 2018, Electrolux announced it would close its freezer manufacturing plant in St. Cloud in April
2020. The City would lose its largest manufacturer, a business that had been operating there since 1947,
and nearly 900 employees would be laid off. Resources were galvanized to help the workers plan for next
steps, but what about the City?
Join us to hear how St. Cloud successfully applied for an Economic Adjustment Assistance grant from the
U.S. Economic Development Administration (EDA) to fund economic recovery efforts ahead of the closure.
Through the grant, the City is positioning itself for future growth. Efforts for recovery included conducting a
target industry analysis, a uniquely focused BRE effort, and developing new marketing strategies.
Additionally, a second application to address training needs in the community was submitted to the Federal
EDA and an additional $2.5 M was awarded. Learn about the process, challenges and tips for working on an
EDA grant.
YJ Speakers
Cathy Mehelich Director of Economic Development, City of St. Cloud
Kirstin Barsness Director of Business Development, City of St. Cloud
0
Tammy Bierney Career Solutions, City of St. Cloud
From Talent Development to Wealth Building: How a Focus on Systems Disruption Amplifies
Outcomes for Youth
o
AICP Creditl Breakout Ses
1.0 AICP Credit
The entry point to the workforce has changed. Young people entering the workforce now need a credential
certificate or degree to launch a career. The goal of the Greater Twin Cities United Way (GTCUW) is that all
students have a zero -debt post -secondary option to career paths of their choosing that include $25/hour
jobs. This session will focus on the tools and methods used to shift workforce development initiatives like
career pathways from an employer focus to a student and incumbent worker focus.
The work of the Greater Twin Cities United Way both meets and exceeds the employer's talent needs while
remaining centered on the individual outcomes for youth so that they can build wealth and become leaders
within their communities. They currently partner with 16 different school districts throughout Minnesota to
ensure that students have exposure, experience, and expertise in high wage, high demand career fields.
This presentation will highlight voices in Greater Minnesota through a partnership with the Southwest
Initiative Foundation.
viSpeakers
t"
Scott Marquardt Vice President, Southwest Initiative Foundation
Sareen Dunleavy-Keenan Program Officer for Career Academies, Greater Twin Cities United Way
3:15pm
Break * Visit with exhibitors & connect with each other
0 3:15pm - 3:30pm, Jan 21
��
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
3:30pm
Case Studies in Community Response to COVID-19
0 3:30pm - 4:30pm, Jan 21
RON M.
1.0 AICP Credit
Tom Leighton and Rani Bhattacharyya will interview a panel of economic development specialists who
participated in a series of case studies on their community responses to COVID-19 that supported area
businesses. Panelists will be from both rural and urban communities that were profiled in the case studies
and the hosts will also discuss six central responses that were observed in Minnesotan communities.
T* Speakers
is
Rani Bhattacharyya Extension Educator, University of Minnesota Extension
Tom Leighton Economic Development Specialist, Stantec
Meg Beekman Community Development Director, City of Brooklyn Center
Annie Deckert Executive Director, Greater Fergus Falls
Kristin Guild Deputy Director, Department of Planning & Economic Development, City of Saint Paul
Terri Heggie Crookston Chamber of Commerce, Executive Director
Retaining and Democratizing Community Businesses Through Cooperative Employee
Ownership
0 3:30pm - 4:30pm, Jan 21
1.0 AICP Credit
Communities suffer when they lose businesses, especially in rural areas. Since it's generally is easier to
retain businesses that already exist than to create or attract new businesses, business retention and
succession is key. This is true both because of owner retirements and the business shutdowns caused by
COVID-19. The COVID-19 pandemic has revealed and worsened inequities in our economy, especially for
lower income workers, people of color, and other disadvantaged populations. Wealth creation is more
difficult for people in these populations. Cooperative ownership addresses both issues: business retention
and inclusive development.
This presentation will cover:
• The opportunity in Minnesota for business transitions to employee ownership
• The big picture of employee ownership (ESOPs and especially worker co-ops)
• The nuts and bolts of conversions to co-ops
• Resources and how to learn more and get involved
t-. Speakers
Michael Darger Director, Business Retention & Expansion, University of Minnesota Extension - Community Vitality
Kevin Edberg Executive Director, Cooperative Development Services (CDS)
Fri, Jan 22, 2021
8:30a m
Welcome & Daily Kick -Off
0 8:30am - 8:45am, Jan 22
Join us for a quick welcome and orientation to the day's activities from EDAM President Morgan Hill.
v* Speaker
0
Morgan Hill Market Strategist, ISG
8:45am
Minnesota 2030: A Blueprint for Minnesota's Economy
O 8:45am - 9:45am, Jan 22
1.0 AICP Credit
In the spring of 2019, the Minnesota Chamber Foundation launched Minnesota: 2030, a ten year outlook for
Minnesota's economy. The study asked two fundamental questions: how is Minnesota positioned to grow
and develop its economy over the next decade, and what can be done to help Minnesota's economy grow
to its full potential? Working with the global economic forecasting firm, IHS Markit, and seeking input from
business and stakeholder leaders across Minnesota, we've collected volumes of data to inform our work.
The project was paused due to the pandemic, however, the ten year outlook will be complete by the end of
the year. In the interim, the Foundation worked with IHS Markit to produce a flash report, detailing the
immediate impact of COVID-19 on Minnesota's economy. The final report will incorporate all this data, and
include our recommendations to ensure Minnesota's economy is positioned reach its full potential in the
next decade.
v* Speakers
Jennifer Byers Executive Director, Minnesota Chamber Foundation
0
Sean O'Neil Director of Economic Research, Minnesota Chamber Foundation
is
Tom Forsythe Owner, CCO Communications
The Latest on Virtual Site Visits
O 8:45am - 9:45am, Jan 22
1.0 AICP Credit
In recent months virtual site visits have exploded in popularity due to travel restrictions from COVID-19, and
anecdotal evidence suggests economic development organizations providing them are having more
success engaging site selectors than those not providing them.
In this session, attendees will learn:
• What a virtual site visit is and is not
• The five components that makeup a comprehensive virtual site visit
• The technologies that enable virtual site visits
• How businesses are adopting virtual site visits as a standard part of their site selection process
• How economic developers can incorporate local data and local strengths into virtual site visits
v* Speaker
Ron Bertasi CEO, GIS WebTech
9:45a m
Break * Visit with exhibitors & connect with each other
0 9:45am - 10:00am, Jan 22
em
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
10:00a m
Fostering Economic Development Through Ecosystem Building
0 10:00am - 11:00am, Jan 22
1.0 AICP Credit
Learn how the commitment to be open for business has allowed the City of Brownsville to build ecosystems
that attract and promote investment through education, empowerment, and contact facilitation.
The panel will explore the following:
• Asset Mapping -What competitive advantages and disadvantages does your community have?
• Stakeholder Involvement - Stakeholders as the key to push collaboration and innovation forward.
• Nontraditional Economic Development - Creative solutions to drive results forward a local -first
approach.
vzl Speakers
0
Constanza Miner Retail and Redevelopment Manager, City of Brownsville, Texas
0
Helen Ramirez Deputy City Manager, City of Brownsville, Texas
0
Josh Mejia Executive Director, Brownsville Community Improvement Corporation
11:00a m
Break * Visit with exhibitors & connect with each other
0 11:00am - 11:15am, Jan 22
Refresh between sessions, get up and stretch, and check out the virtual exhibit hall!
11:15am
Legislative Update
O 11:15am - 12:15pm, Jan 22
TiSpeaker
so
Sen. Eric Pratt R, District 55 / Minnesota State Senator, Minnesota Senate
Powered By Whova
PROSPECT LIST
1/29/2021
Date of Contact
Company Name
Business Category
Project Description
Building -Facility Retained Jobs
New Jobs
Total Investment
Project Status
11/12/2016
MN DEED Prospect
Metal Mfg.
Exist Facility+ Equip
65,000 sq. ft.
0
55 - 100
$2,500,000
Active Search
11/17/2016
Project Novus v2
Precision Machining
New Facility Constr.+ Equip
52,000 sq. ft.
205
60
$10,831,000
Constrtuction
6Z�
Project #6580
Metal Mfg.
.1111ft New Facility Constr. jlll�
70,000 sa. ft.
0
5,480,000
n Hold AN
6/26/2017
Project Basil
Bio-Ag.
New Facility Constr. + Equip
165,000 sq. ft.
0
77
$11,000,000
Active Search
10/4/2017
Project Shepherd
Tool Mfg.
New Construction
70,000 sq. ft.
60
50
$5,900,000
On -Hold
10/17/2017
Project Ted
Equipment Mfg.
New Equipment
N/A
45
?
$650,000
Concept Stag
4/3/2018
Project Hawk-FBN
Wholesale Dist Facil
New Construction
35,000 sq. ft.
17
7
$3,905,000
Active Search
5/22/2018
Karlsburger Foods
Food Products Mfg.
Facilty Expansion
20,000 sq. ft.
49
3 +/-
$2,500,000
Act -Plan -Fin
7/3/2018
Project Synergy
Office
New Construction
15,000 to 20,000 sq. ft.
15
$3,000,000
Concept Stag
7/30/2018
Project Saturn
Plastic Products Mfg.
New Construction
5,000+/- sq. ft.
4+/-
$830,000
Active Search
8/10/2018
Project Jupiter
Metal Mfg.
New Construction
5,000 sq. ft. +/-
3
$800,000
Active Search
11/29/2018
Project Blitzen
Precision Machining
Exist Bldg or New Const.
12,000 sq. ft.
10
$1,200,000
Concept Stag
12/14/2018
Project Comet
Commercial Bus
New Const.
1,700 sq. ft. +/-
7
$700,000
Active Search
3/28/2019
Project Nutt
Co -Working Space
Existing Building
?
?
?
?
Concept Stag
5/9/2019
Project FSJP
Light Mfg -Res. Lab
New Construction
20,000 sq. ft.
0
20+/-
$1,400,000
Act Search
8/16/2019
Project Jaguar
Office
New Construction
22,000 sq. ft.
22
4
$2,700,000
Act Search
8/25/2019
Ausco Design
Service-Lt Prod.
Existing Building
8,000 sq. ft.
4
3
$665,000
Concept Stag
9/19/2019
Project Kata
Service
New Construction
22,000 to 35,000 sq. ft.
0
25
$7,900,000
Concept Stag
Project Dancer
Light Mfg.
New Construction
25,000 Sq. ft. +/-
35 to 37
$2,200,000
Concept Stag
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ervice- hild Care-
New Construction
dive earcProject
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GiaSaurus
Medical Prod. Mfg.
AL New Construction
175,000 sq. ft.
0
75
$50,000,000
Active SearchProject
Copperhead
Utility Locating Prod. Mfg.
Expansion of Existing Bldg 7,36
11
$630,000
Construction
5/21/2020
Verde Plus Lawn Care
Service
Existing or New Construction
4,000 to 6,000 sq. ft.
0
3
$550,000
Active Search
8/27/2020
Project Nuss
Combo Service -sale
New Construction
20,000 sq. ft.
0
20 to 30
$3,500,000
Concept Stag
12/23/2020
Project TD
Industrial
Existing or New Construction
10,000 to 15,000 sq. ft.
0
5 to 7
$800,000
Concept Stag
11/5/2020
Project Flowe
YTD = 03
Office
7,000-8,000 sq. ft.
0
12
$750,000
Concept Stage
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Memorandum
To: Jim Thares, Economic Development Manager
From: Jim Gromberg, Economic Development Coordinator
Date: February 5, 2021
Re: Quarterly Report WSB Project No. 013322-00
Thank you for the opportunity to continue to assist the City of Monticello in their continued efforts
to provide economic vitality for the community and the residents. We have finally reached the
end of 2020, and hopefully 2021 will be a less exciting year for challenges facing the City and the
economy. Below are updates on some of the projects and insights to the trends currently facing
the City.
Project Updates:
Project Gia-Saurus: The project continues to move forward with the Company meeting with
another developer that is interested in completing a build to suit and leasing the facility back to
the company. As with the other organizations the company is considering the building of the
facility and leasing it back to the company on a long-term basis. The developer is encouraging
the company on the design of the building to be more user friendly if the facility needs to be
repurposed in the future. The City has completed a meeting with the Company about the funding
of the equipment required for the new facility with a local finical institution. The meeting went
well, and the institution is interested in pursuing the project further. One of the major hurdles
facing the project is the identification of a final site.
New Industrial Park: The City continues to review sites for the new industrial park and has
applied for a CET grant to assist with the planning needs for the project. These include the
AUAR, environmental reviews, and infrastructure planning and design. Should the City receive
the funding, the development of the new industrial area will be advanced significantly. The City
should learn in early February if they are successful and the amount of the award for the grant.
Comprehensive Plan: The City has completed the comprehensive plan process and it is
available for the EDA to review and use as a planning document as they develop the annual work
plan. The comprehensive plan will help the City and EDA plan the direction of the community
over the next 20 years. The economic development chapter is designed to provide the EDA
direction, but the annual work plan provides the specific activities to allow for the fulfillment of the
plan.
Economic Trends:
2020 was a mixed bag for the economy and 2021 is starting out in a similar manner. The
pandemic continues to affect the economy and it appears this will continue through at the least for
first half of 2021 until a significant number of people have been vaccinated.
The federal government is working on the third COVID relief package and with the change in the
white house and senate it appears that a significant assistance package will be passed. It may
include additional direct payments to taxpayers and assistance to local communities and
businesses hard hit buy the pandemic. The final use of the assistance for communities has not
Monticello EDA
February 5, 2021
Page 2
been determined but it may allow for cities to replace lost tax revenues. The new administration
has also signed an executive order requiring the purchase of American made products by the
federal government which could help the Gia-Saurus projects success.
Minnesota's unemployment rate fell in December to 4.4% (seasonally adjusted) down from 4.5%
in November. This is compared to the December 2019 which had a seasonally adjusted rate of
3.3%. However, Minnesota's labor participation rate fell to 67.5% from 67.9% in November. The
decline was entirely due to people leaving the labor force from both employment and
unemployment. The number of unemployed fell 4,048 and the number of employed fell 11,440
for a total decline of 15,488 in Minnesota's labor force.
A bright spot in the economy in Minnesota is the continued strong sales of homes with .90
months' supply available for purchase down from 1.7 in December 2019. A month's supply of 1.0
equates to for every home purchased another becomes available. The limited supply is reflected
in the prices for homes rising to a median value of $307,000 for the MSA and increase of $28,000
from December 2019. This limited availability and increasing costs will help encourage the
growth of new residential developments in Monticello as the market continues to tighten.
A continued bright spot for the commercial real estate markets in the potential need for additional
distribution facilities as more consumers take advantage of the e-commerce opportunities. This
potential need will further be strengthened by surviving retailers moving away from the traditional
"just in time" process and holding more stock in their stores and to begin to use those stores as
small distribution facilities. An example of this trend was Kohl's which reported a decrease in
sales of 13% and in store traffic down significantly. However, balancing this decrease in foot
traffic was a digital sales growth remaining strong, up more than 20%, and accounted for
more than 40% of net sales, with stores playing a critical role in supporting the
heightened demand.
Please let me know if you have any questions concerning the above projects or require additional
information on the projects. In addition, let me know if you have additional projects that should be
reviewed and included.
Item 7. Exhibit F-1
EDA — Broadway Parking Lot Easement
2020 Expenses
From: Amber Dickhausen <mail@managebuilding.com>
Sent: Thursday, January 28, 2021 12:48 PM
To: AP <AP@ci.monticello.mn.us>
Subject: 2020 CAM Reconciliation - Individual
Good Afternoon,
The 2020 reconciliation was completed. The total expenses were a tad over what was
estimated for, as shown below:
Electricity
1200
Grounds Maintenance
9941.72
Management Fees
1800
Maintenance & Repairs
267
Reserve
3000
Total 16208.72
This means there is a slight adjust for the 2020 CAM amounts due by each
owner:
Owner Estimate Monthly 2020 Actual Monthly 2020 Difference Annual Difference
City of Monticello 162.13 164.17 -2.04 -24.48
This amount will be reflected on your owner ledger, along with the new
updated 2021 Estimated Budget which had been sent out earlier this week.
Those updated charges have been entered already.
2021 Budget Requirements
Good Morning,
Please review your 2021 CAM charges, I attached the budget that had gone out a couple weeks earlier.
for comments/review. You can log onto you owner website to pay your 2021 CAM, you can mail in
funds, or you can call and someone from our office will assist you with payment.
2021 CAM Budget
Total: $19,550 annual
$1,629.17 monthly
Owner Monthly Annual
City of Monticello 198.02 $2,376.24
Thank you,
Amber Dickhausen
2021 Broadway Parking Budget I Broadway Parking
BPM Easement - COMMERCIAL I FY2021
B U L L S E Y E As of 1/26/2021
PROPERTY MARAGEMERT&REALTY
Bullseye Property Management &
Realty
35 Lake Street S, Suite 500
Big Lake, MN 55309
(763)295-6566
Account
Mar
I
Aug
Income
Common Area
Maintenance
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
$19,550.00
Total for Income
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
$19,550.00
Expenses
Common Area
Maintenance (CAM)
Electricity CAM
125.00
125.00
125.00
125.00
125.00
125.00
125.00
125.00
125.00
125.00
125.00
125.00
$1,500.00
Grounds Maintenance
(Lawn/Snow) CAM
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
1083.33
$13,000.00
Management Fees
CAM
150.00
150.00
150.00
150.00
150.00
150.00
150.00
150.00
150.00
150.00
150.00
150.00
$1,800.00
Subtotal for
Common Area
Maintenance (CAM)
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
1358.33
$16,300.00
Maintenance & Repairs
Labor
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
$250.00
Subtotal for
Maintenance &
Repairs
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
20.83
$250.00
Reserve Account
250.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00
$3,000.00
Total for Expenses
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
1629.17
$19,550.00
Net Operating Income
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
$o.00
Net Income
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
$0.00
Generated 1/26/2021 7:03 AM Page 1 of 1