03-22-2023 EDAM EDA Board Meeting
Hutchinson Enterprise Center
11 :30 AM Friday, March 22nd, 2023
MEETING MINUTES
Members present in bold.
o,
EDA Board Members Operations
Cash Available $128,895
Mike McGraw Reserved $56,736
Jonny Block Unreserved $62,584
Mike Cannon Economic Development Loan Fund
Corey Stearns Cash Available $167,040
Chad Czmowski Zephyr Wind Services $59,372
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 $385,102
Matt Jaunich, City Administrator Loans Receivable $329,127
Andy Reid, Finance Director Capital Assets $201,329
Total Assets $1,057,761
MIF Loan Fund
I. Call to Order Cash Available $9,868
Meeting was called to order at 11:34 AM. MOXY Loan Receivable $7,624
Enterprise Center Fund
II. Review Agenda Cash Available $40,316
III. Review Minutes SHOPKO TIF District(TIF 4-5)
Cash Available $(352,465)
a. February 15th Finance Team meeting Interfund Loans Receivable $418,793
M/S/P: Stearns, May to approve the MEDICAL CLINIC TIF District(TIF 4-16)
minutes as written. Passed unanimously. I Interfund Loan Payable $295,194
b. February 24thEDA Board Meeting
M/S/P: Block, Czmowski to approve the minutes as written. Passed unanimously
IV. Review of EDA Financial Statements
The EDA Director provided an update on the EDA financials. (Please refer to table)
■ Advertising line item was primarily for Hutchinson's membership in the Community Venture Network
(CVN)
■ It was noted that certain expenditures occur early in the budget year and that overall expenditures will
even out by the end of the year.
■ FEMA grant reimbursement of$436,153 came in and will be reflected on next month's financials.
M/S/P: Block, Stearns to approve the financial report as presented. Passed unanimously.
V. Director's Report
A. Marketing Plan Report: Facebook updates=9,Website updates= 3
Social media effort has 805 likes on Facebook.
B. Business recruitment/expansions—Staff provided an update on recent prospects and ongoing
conversations.
C. Project 9500—on hold until major employers are hiring again
D. UPONOR grant closeout—DEED will be sending MIF grant amount to the City, to be disbursed to
UPONOR.
E. Jorgenson Hotel—Developer will be in contact soon to discuss next steps.
F. Gold Coin—awaiting plumbing permit
G. HTI Layoff/Chamber-EDA project—partnering with EDA to connect laid-off workers with known local job
openings
H. Spec Building—Held meeting with local investor&Marcus Construction on a potential joint project
I. Central Hydraulics—still interested in purchasing 5ch Ave. lot next to Charter School
J. RD Machine Groundbreaking—well attended event.
K. Development of Lot 1140 (5th Ae. SE)—staff still pulling together project cost information.
VI. Report on TIF Districts
Staff summarized the status of current TIF Districts in the city. Discussion.
VII. Overview of 2022 EDA Annual Report
Staff summarized the 2022 EDA Annual Report. Discussion.
Vill. Rural Child Care Innovation Program $15,000
■ Consideration was given to providing matching dollars for a First Children's Finance Grant.
■ Concerns were expressed about the last-minute nature of the request for funds.
■ The Board expressed a desire that other potential sources of funding be obtained if possible, so the
EDA isn't the only provider of matching dollars.
■ Discussion
M/S/P: McGraw, Czmowski to approve up to$15,000 (minus any other contributions that can be obtained)as
the local match for the First Children's Finance Grant. Approved unanimously.
IX. Consider authorization for purchase of Witt Properties $600,000
■ Staff provided an update on the status of the Hutch Uptown Grand project.
o FEMA vetoed the proposal to re-use the former Olson house.
o Developer of the Franklin Site project way okay with waiting until the City acquired all its
needed properties.
■ Plan would be to close on the properties as soon as possible, then lease back as needed until owners
can move out, no later than October 15t
■ Discussion on project timing and next steps.
■ Further discussion.
M/S/P: Block, Cannon to authorize up to$600,000 for the purchase (and differential payment)to acquire the
three Witt properties. Approved unanimously.
X. Grant& Loan Program Applications—NONE
XI. Other Business
The appointment of Dan Mahon to the EDA Finance Team was discussed.
M/S/P: May, Stearns to appoint Dan Mahon to the Finance Team for a one-year term.Approved unanimously.
XII. Set Next Meeting—11:30 AM Wednesday,April 26th, 2023
XIII. Adjourn
M/S/P: Block, May to adjourn the meeting at 12:59 PM. Approved unanimously.
Respectfully Submitted,
Miles R. Seppelt
EDA Director