10-25-2023 EDAM EDA Board Meeting
Hutchinson Enterprise Center
11 :30 AM Tuesday, October 25, 2023
MEETING MINUTES
Members present in bold. ,
EDA Board Members �% e
Operations
Mike McGraw Cash Available $182,234
Jonny Block Reserved $56,736
Mike Cannon Unreserved $119,966
Corey Stearns Economic Development Loan Fund
Chad Czmowski Cash Available $192,037
Pat May Zephyr Wind Services $51,107
Jack Daggett
Jeremy Carter, ex officio FireLake Mfg. $29,612
Laser Dynamics Balance(forgivable) $23,000
Staff Innovative Foam Balance(forgivable) $14,355
Miles Seppelt, EDA Director Downtown Revolving Loan Fund
Matt Jaunich, City Administrator Cash Available $413,349
Andy Reid, Finance Director Loans Receivable $305,253
I. Call to Order Capital Assets $201,329
Meeting called to order at 11:31 AM. Total Assets $1,062,134
MIF Loan Fund
II. Review Agenda Cash Available $12,314
III. Review Minutes MOXY Loan Receivable $5,958
Enterprise Center Fund
a. September 20th Finance Team meeting Cash Available $36,673
M/S/P: Daggett, Cannon to accept the minutes as SHOPKO TIF District(TIF 4-5)
written. Passed unanimously.
b. September 27th EDA Board Meeting Cash Available $0.00
M/S/P: Stearns, Cannon to accept the minutes as Interfund Loans Receivable $418,793
written. Passed unanimously
IV. Review of EDA Financial Statements (Please refer to table)
M/S/P: Stearns, Daggett, to accept the financial report as presented. Passed unanimously.
V. Director's Report
A. Business Retention &Expansion—two BR&E visits made: Kids, Inc. and Redline Systems. Kids Inc.would open
a second location if a cost-effective building could be found. Redline Systems is doing well.
B. Business Incubation—Both RD Machine and Innovative Foam will be moved out of the Enterprise Center by the
end of October. Recruitment efforts continuing to find new tenants.
C. Business Recruitment—Staff provided an update on recent prospects and on-going conversations.
D. Skilled Workforce Development— IGNITE job fair at Ridgewater was very successful.
E. Downtown Development—Owners cannot afford to renovate the Gold Coin building at this time. Looking at option
to potentially lease space for the restaurant.
F. Housing Development—Staff is reaching out to developers that have experience doing projects in rural Minnesota.
G. Childcare Business Development—Staff met with New Horizon's Daycare about opening a new daycare center in
Hutchinson.
H. Marketing—10 Facebook updates, 1 Website update, 847 followers on FB
I. Other—Brush removed from Lot 1140/HUC transformer project will be in extreme NW corner of industrial park.
VI. Uptown Grand
Staff provided an update on the status of the project and a revised Development Agreement was discussed:
■ Trees have been removed from west half of the block
■ The HRA house has been removed
■ Demolition of remaining buildings will occur in the first half of November.
■ City plans to move ahead with sanitary sewer relocation, street rehabilitation and pond construction in the
Spring of 2024. Riverbank cleanup will wait until the apartment project is under construction.
■ Current Development Agreement with the developer expires on December 31"
■ Due to current economic conditions, developer wishes to hold off on construction until July, 2025. (One year
later than originally planned)
■ At an estimated $4.1 million, the tax increment projected to be generated by the project will more than cover
the city's costs in getting the site ready for development.
■ Discussion
■ Staff will meet with the developer to discuss project timing and to see if anything can be done to make this a
2024 project.
VII. Hutchinson Enterprise Center
■ Staff provided an update on efforts to recruit new tenants for the Enterprise Center.
■ One application has been received: a start-up business that would do powder-coat painting
■ Staff has connected with the Agricultural Utilization Research Institute (AURI),which does a lot of work with
food and beverage manufacturers in Minnesota.
■ Discussion
Vill. Grant&Loan Program Applications
Siqn &Awning Grant Program
Hutchinson Area Chamber of Commerce—Mary Hodson $1,230
44 Main Street South
M/S/P: Cannon, Daggett to approve the grant. Passed unanimously.
IX. Other Business
■ November/December meeting schedule was discussed
■ Staff noted that Mr. McGraw's term on the EDA Board was up at the end of December and that Board
elections were coming up.
X. Set Next Meeting—11:30 AM Wednesday, November 29, 2023
XI. Adjourn—M/S/P: Cannon, Stearns to adjourn the meeting at 12:25 PM. Passed unanimously.
XII. Tour of Stearnswood
Respectfully Submitted,
Miles R. Seppelt
Economic Development Director