02-24-2023 EDAM EDA Board Meeting
Hutchinson Enterprise Center
11 :30 AM Friday, February 24th, 2023
MEETING MINUTES
Members present in bold.
EDA Board Members Operations
Cash Available $149,931
Mike McGraw Reserved $56,736
Jonny Block Unreserved $89,923
Mike Cannon Economic Development Loan Fund
Corey Stearns Cash Available $164,645
Chad Czmowski Zephyr Wind Services $60,538
Pat May Laser Dynamics Balance (forgivable) $23,000
Jack Daggett Innovative Foam Balance (forgivable) $14,355
Jeremy Carter Advances to other funds (Enterprise $226,925
Center)
Staff Downtown Revolving Loan;Fund
Miles Seppelt, EDA Director Cash Available $382,807
Matt Jaunich, City Administrator Loans Receivable $333,194
Andy Reid, Finance Director Capital Assets $201,329
Maddie Newcomb, EDA Program Manager Total Assets $1,059,533
MIF Loan Fund
Cash Available $9,598
I. Call to Order MOXY Loan Receivable $7,862
Meeting was called to order at 11:32 AM. Enterprise Center Fund
II. Review Agenda Cash Available $44,587
SHOPKO TIF District(TIF 4-5)
III. Review Minutes Cash Available $(333,850)
Interfund Loans Receivable $418,793
a. January 18chc Finance Team meeting MEDICAL CLINIC TIF District(TIF 4-16)
M/S/P: Daggett, May to approve the Interfund Loan Payable $295,194
minutes as written. Passed unanimously.
b. January 25th EDA Board Meeting
M/S/P: Block, Stearns to approve the minutes as written. Passed unanimously
IV. Review of EDA Financial Statements
Finance Director,Andy Reid provided an update on the EDA financials. (Please refer to table)
■ EDA finished 2022 in the black,with a net operating revenue of$13,017.
■ Enterprise Center finished 2022 with a positive cash flow of$8,225. $8,000 will be transferred to
the Building Maintenance Fund.
M/S/P: Czmowski, Stearns to approve the financial report as presented. Passed unanimously.
V. Director's Report
A. Marketing Plan Report: Facebook updates= 10,Website updates=4
Social media effort has 790 likes on Facebook.
B. Business recruitment/expansions—Staff provided an update on recent prospects and ongoing
conversations.
C. Project 9500—on hold until 3M and UPONOR are hiring again.
D. Jorgenson Hotel—Developer expressing concerns about interest rates, no start date yet for construction.
E. Gold Coin—staff in regular contact with owners to keep project moving forward
F. Human Resources Roundtable—growing in popularity. Positive feedback.
G. TigerPath—TigerPath Conference scheduled for April 281h/Planning for TigerPath open house in May/
worked with school district staff to set three SMART goals to keep TigerPath moving forward.
H. Hutch Uptown Grand—awaiting FEMA reimbursement/City making plans to realign sanitary sewer line
in August/Staff hopes to have all houses removed by mid-summer
I. Spec Building—Talks between local investor and Marcus Construction hopefully next week on a 2023
Spec Building project
J. TIF Report—will finalize and present next month
VI. Consider recommendation on Franklin House site Redevelopment Proposal
■ Discussion of pros&cons of the one proposal that was received.
■ Discussion of need for a back-up plan for parking if it's not possible to acquire all the properties
needed for Hutch Uptown Grand.
M/S/P: Daggett, Block to table consideration of the proposal until all needed properties are acquired for
Hutch Uptown Grand. Pass unanimously.
VII. Consider sale of Olson House
■ HRA asked if the EDA would consider donating the house to them to be relocated, refurbished and put
back into use.
■ Staff indicated that FEMA was open to having the house donated rather than demolished.
M/S/P: Czmowski, Daggett to donate the house to the HRA,on the conditions that(A)this is done at no
expense to the EDA and, (B)FEMA gives final authorization. Passed unanimously.
Vill. Incubator Tenants
A. Innovative Foam requesting to stay in the Enterprise Center and extra month or two past their lease end
date, in order to complete needed improvements to their new building.
M/S/P: May, Czmowski to authorize extra time in the Enterprise Center on the conditions that (A) EDA is
provided with a copy of the purchase agreement on the new building; and, (B) a firm move out date is
established. Passed unanimously.
B. Laser Dynamics—staff provided an update on their building search.
Staff was directed to put together a plan for needed improvements to the EDA's small 5ch Avenue lot and
bring it to the Board next month.
IX. Grant& Loan Program Applications
Sign &Awning Grant Program
Gruenhagen Insurance& Financial Services—Alycia Gruenhagen $2,000
149 Main Street South
M/S/P: Czmowski, May to approve the sign &awning grant in the amount of$2,000. Passed unanimously.
X. Other Business
Maddy Newcomb announced that she had taken a position with the City of Minneapolis and that this would be
her last day.
XI. Set Next Meeting—11:30 AM Wednesday, March 22"d, 2023
XII. Adjourn
With no further business to attend to the meeting was adjourned at 12:42 PM.
Respectfully Submitted,
Miles R. Seppelt
EDA Director