EDA Minutes 11-10-2021MINUTES
REGULAR MEETING - ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Wednesday, November 10th, 2021— 6:00 p.m.
Mississippi Room, Monticello Community Center
Members Present: President Steve Johnson, Treasurer Tracy Hinz, 011ie Koropchak-White,
Mayor Lloyd Hilgart and Councilmember Jim Davidson
Members Absent: Vice President Jon Morphew and Hali Sittig
Staff Present: Executive Director Jim Thares, Angela Schumann, Hayden Stensgard
1. Call to Order
President Steve Johnson called the regular meeting of the Monticello Economic
Development Authority to order at 6:00 p.m.
2. Roll Call
3. Consideration of additional agenda items
None
4. Consent Agenda
a. Consideration of Approving Regular Meeting Minutes — October 13, 2021
b. Consideration of Payment of Bills
c. Consideration of Authorizing a Donation to the Initiative Foundation for use in
Community Economic Development Programs in the amount of $2,390 from the
2022 EDA General Fund Budget
d. Consideration of approving Billboard Lease agreements with Lamar Companies
and Reagan Outdoor Advertising
MAYOR LLOYD HILGART MOVED TO APPROVE THE CONSENT AGENDA; JIM
DAVIDSON SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 5-0.
Regular Agenda
5. Consideration of Resolution #2021-13 Authorizing entering into a Purchase Agreement
with KC & the Boys, LLC for acquisition of real property located at 113 West Broadway
in the amount of $528,000
Executive Director Jim Thares provided an overview of the agenda item to the EDA and
the public. The 8,552 square foot property is located in the middle of Block 52 and
fronts on Broadway and given its location it is critical the EDA's goals of redeveloping
Block 52. The proposed purchase price is $528,000. The acquisition of the parcel will
give the EDA and City control of 83 percent of the land area in the Block. The two
tenants in the building, Elevated Wellness and Preferred Title, will each receive
relocation assistance as required in the Federal Uniform Relocation and Assistance Act
(URA).
EDA Members expressed their appreciation and gratitude towards Cindy Heaton, the
seller of the property.
TRACY HINZ MOVED TO APPROVE RESOLUTION 2021-13, AUTHORIZING ENTERING INTO
A PURCHASE AGREEMENT WITH KC & THE BOYS, LLC FOR ACQUISITION OF PROPERTY
LOCATED AT 113 WEST BROADWAY IN THE AMOUNT OF $528,00 FOR THE PURPOSE OF
BLOCK 52 REVITALIZATION EFFORTS, CONTINGENT ON PLANNING COMMISSION REVIEW
FOR CONFORMITY WITH THE COMPREHENSIVE PLAN. OLLIE KOROPCHAK-WHITE
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 5-0.
6. Consideration of Shared Parking and Cross -Access Proposal in Block 34, Mike Mitchell,
Nicollet Investments, 154 East Broadway
Jim Thares provided an overview of the agenda item to the EDA and the public. Mike
Mitchell sent a letter requesting the EDA consider selling some of the land held by the
City and/or EDA to Nicollet Investments, LLC, the entity that recently purchased the
former Barracks rental apartment building located at 154 East Broadway. The main
concern for Nicollet Investments is that there is limited parking serving the needs of the
renters in the building. The sketch provided by Mr. Mitchell was reviewed and
commented on by the EDA members.
Community Development Director Angela Schumann summarized the situation by
stating that the property owner brought this to staff's attention. Referring to the sketch
illustration, she noted the parking spaces that are proposed to be added specifically for
tenants would be on the City-EDA owned parcel to the East. Staff do not believe the
proposal would be in the long-term best interest of the City-EDA and therefore
recommend not approving the reconfiguration of parking on the site. As to the
potential for adding diagonal parking spaces directly along the west side of the building
Mr. Mitchell owns, staff further noted that if this is the direction and becomes the best
solution, the Nicollet owners would likely still need to comply with city standards for
parking in the respected district of the City. Also, if cross -access was supported by the
EDA, a Conditional Use Permit would be necessary to proceed.
Councilmember Jim Davidson asked why there is a sudden need for parking on this site.
Angela Schumann said that the city has never asked the property owner to add parking
to the site, but it is assumed that there would be more of an appeal to potential
residents if parking was included.
Jim Davidson said that he is not in favor of doing anything that will potentially harm
future redevelopment on the block.
Tracy Hinz noted that she was not in favor of selling any piece of the parking lot to the
property owner.
Steve Johnson noted that if this were to be approved, it would add value to his building,
but would affect the EDA and the City's future potential for the block as a whole.
Angela Schumann mentioned that the only way to access the parking on Mr. Mitchell's
site is through City -owned property. Ms. Schumann also entertained the idea of angled
parking on Cedar Street for the tenants of Mr. Mitchell's building. While difficult to
accomplish, Mr. Mitchell was opened to the idea.
Lloyd Hilgart noted that Cedar Street has the opportunity for angled parking all the way
to 3rd street by the current DMV building. If angled parking were to happen for Mr.
Mitchell's property, there is potential for it to extend down to 3rd Street.
Angela Schumann said that if diagonal parking were to happen on Cedar Street, it would
still be public parking due to it being in the public right of way. The City cannot give Mr.
Mitchell any exclusive parking on the angled parking spots. It would add more spaces
adjacent to his building, but it does not give his tenants the exclusivity Mr. Mitchell is
requesting.
Lloyd Hilgart said that he does not want to sell any land on this block because of how
important it will be for redevelopment. Hilgart asked if the stalls adjacent to his building
currently are on City property.
Angela Schumann said that the many of the stalls proposed on the illustration are on
Mr. Mitchell's property, but the City and the EDA would be asked to approve a cross -
access proposal for Mr. Mitchell's tenants because they would need to use City owned
property to access the parking spaces.
Jim Davidson asked if this were to be considered by the City, and the City said the
agreement is good until redevelopment is ready to take place, is that something that
can happen.
011ie Koropchak-White said that she appreciated the upkeep of the building on site, she
also asked about how many parking spaces there would be if angled parking were to
happen on cedar street.
Angela Schumann said that her best guess would be four parking spaces.
Steve Johnson wonders if the agreement were to take place, is there potential for
constriction of redevelopment on the block; he would caution that this could make it
difficult to eventually proceed with a meaningful redevelopment proposal.
Jim Davidson asked if this was just a discussion on the subject.
Angela Schumann clarified that there is no action necessary, decision would be at a City
Council meeting. The EDA is being provided the opportunity to offer feedback to Mr.
Mitchell.
Jim Thares noted that Mr. Mitchell's business partner was present at the meeting.
Steve Johnson provided Ethan Johnson the opportunity to speak on the item at hand.
Ethan Johnson said that the goal is to find a permanent parking solution for their
tenants on site.
Lloyd Hilgart said that they cannot predict what will happen in the future regarding the
block. Hilgart also noted that it would be beneficial to look at some potential layouts of
the block for redevelopment. There may be potential to work with the owners of the
building in the future. He understands the appeal parking has to the tenants in the
building.
Angela Schumann clarified that the building sits on top of the right of way.
Jim Davidson agreed that he would entertain the idea Mr. Hilgart brought up though he
would rather see the right of way access be on Cedar and not Broadway.
Steve Johnson mentioned that the county would agree with Mr. Davidson and would
not want to see an access on Broadway Street.
Angela Schumann clarified staff will continue working on alternatives to bring back for
discussion to the EDA.
Steve Johnson asked if EDA members and staff were comfortable with that and to move
forward.
EDA members and staff confirmed.
Steve Johnson asked Mr. Johnson if he had anything else to say.
Ethan Johnson noted that he and Mr. Mitchell are committed to bringing high quality
tenants to this part of the downtown area and that guaranteed parking will only help
the process.
Steve Johnson assured Ethan Johnson that if anything were to happen on the block,
property owners will be notified ahead of time.
7. Economic Development Manager's Report
Jim Thares provided an overview of the Economic Development Manager's Report to
the EDA and the public.
Steve Johnson made the comment referring to the Multi -Family Development Projects -
Proposal Summary that potential residential projects could change the complexion of
Monticello, having almost 1,000 new units added to the City.
Jim Thares said that if all the proposals move forward that it may end up bringing more
retail businesses to the City as well.
Lloyd Hilgart asked when Jim would know if Duffy received their federal tax credit. Jim
Thares said that staff is planning to reach out to them to touch base. Steve Johnson
asked if the City will be ready to proceed if and when that development gets approved
for funding by Minnesota Housing Finance Agency (MHFA). Jim Thares confirmed and
said that there will be a lot of review and approval steps yet to complete by the EDA,
Planning Commission and the City Council.
8. Adjourn
TRACY HINZ MOVED TO ADJOURN THE REGULAR MEETING OF THE MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY. OLLIE KOROPCHAK-WHITE SECONDED THE
MOTION. MOTION CARRIED UNANIMOUSLY, 5-0. MEETING ADJOURNED AT 6:55 P.M.
Recorder: Hayden Stensgard
Approved: December 8, 2021
Attest:
Economic Development Director