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06-25-2025 EDAM EDA Board Meeting Hutchinson Enterprise Center 11:30 AM Wednesday, June 25th, 2025 Members present are in bold. on©mrc ©eu (©pmen Ruth©r',tY Flnanciaf°urrffrayhrduh May ©2 MEETING MINUTES Operations Cash Available $114,429 Members (bold = present) Reserved $56,736 Mike McGraw Unreserved $50,166 Jonny Block Economic Development Loan Fund, Corey Stearns Cash Available $133,208 Chad Czmowski Pat May CURRENT LOANS Jack Daggett Smoky Dukes $100,000 Jeremy Carter Zephyr Wind Services $26,404 FireLake Mfg. $21,884 Staff Innovative Foam Balance(12/1/2025) $8,355 Miles Seppelt, EDA Director Downtown Revolving Loan Fund Andy Reid, Finance Director Cash Available $365,966 Brynn Beffert, EDA Intern Loans Receivable $388,768 Total Assets $912,046 Guests Valerie Mackenthun,Chamber President MIF Loan Fund Cash Available $9,305 MOXY Loan Receivable $1,198 I. Call to Order— 11:28 AM Enterprise Center Fund II. Approve Agenda Cash Available $27,559 SHOPKO TIF District(TIF 4-5) No action. Cash Available $7,576 Interfund Loans Receivable $436,261 III. Review previous meeting minutes A. May 21St Finance Team M/S/P: Stearns, Czmowski to accept minutes as written. Passed unanimously. B. May 28th EDA Board M/S/P: Czmowski, Daggett to accept minutes as written. Passed unanimously. C. June 4th Special EDA Board meeting M/S/P: May, Czmowski to accept minutes as written. Passed unanimously. IV. Review EDA Financial Statements M/S/P: May, Stearns to accept the May financial report. Passed unanimously. V. Director's Report A. Marketing Plan: FB = 1,000, 6 FB entry this month thus far, 4 website updates B. Business recruitment/expansions C. Cannabis ChemLab— Made 2nd visit to MITGI building this past Friday D. Smokey Dukes Pretzels— In production. E. Guiding Light Early Childhood Learning —fully funded, working to hire an executive director. F. Downtown Redevelopment Projects 1. Downtown Association — meeting planned to discuss different models of excellence. 2. Festival Street/ Parking lot signage design &development proposal is fully funded. Consultant will have examples/options for us next month. 3. Jorgensen Hotel Redevelopment— Demolition grant has been extended until Dec. 31St. Staff is in the process of qualifying Kock Bldg. for the TIF District, purchase (by 9/19) and mobilizing for demolition (by 10/14). VI. Proposed public assistance package for The Landing Staff provided an update on the project and reviewed the public assistance being proposed. • Developer has submitted a TIF application and $15,000 application fee • Developer is working through the various planning steps: Plat, Planned Unit Development, Conditional use permit, etc. • Next steps are to draft the Development Agreement and establish the Housing TIF District for the project • Proposed financial assistance: o Establish a Housing TIF District o Sell the lot to the Developer for$1 o Provide $930,000 (present value) in tax increment so the Developer attains a 7% rate of return on the project o City will pay $250,288 for construction of the stormwater retention pond and realignment the sanitary sewer line that bisects the site. o City will provide up to $25,000 from the TIF for construction of sidewalks o City will provide up to $332,000 from the TIF for needed soil corrections on the site. • Funds would be available for construction of a trail along the riverbank as well (probably a 2026 project) • This is all in line with what has been discussed previously, going back to when the EDA first drafted the Request for Proposals (RFP). • Staff noted that all tax increment comes from the property taxes paid by the finished project, so no public dollars are involved. Discussion. M/S/P: Block, Stearns to recommend approval of the public assistance package for The Landing. Passed unanimously. VII. Presentation on proposed Downtown App— Brynn EDA intern Brynn Beffert presented on the downtown smart phone app being developed: ■ Vendor is called App My Community: Promotes local businesses/events; includes alerts, scavenger hunts, and push notifications. ■ Ad Revenue: Local control; splash screens, banners, featured listings. ■ Business Tiers: Bronze—Platinum with increasing features. ■ Cost: $5,400/year+ optional $3,500 onboarding. ■ Goal is to roll out the app in time for the Arts & Crafts Festival. Brynn also shared about placer.ai ■ Placer.ai: Tracks real-time visitor data and trends. ■ Cost: $16,000/year(Year 1: $14,000 with 2-year plan). Discussion. VIII. Consider 2026 EDA Levy& Budget Staff presented the proposed 2026 EDA budget for consideration. ■ Proposed levy amount would be $286,437—the maximum allowed by statute and a 1.7% increase from the current levy ■ Most budget line items would remain the same as this year. ■ Adding $5,000 to the `Donations to Civic Organizations' line item was proposed, to provide annual support for the new Downtown Association. Discussion. M/S/P: Block, Daggett approve the requested levy amount. Passed unanimously. An updated budget will be presented to the Board in a few months, once benefits costs are nailed down. IX. Consider recommendation to the Mayor for filling the EDA Board vacancy M/S/P: Stearns, Czmowski to recommend Anthony Hanson for the EDA Board. Passed unanimously. X. Grant& Loan Applications— NONE XI. Other Business— NONE XII. Set Next Meeting—Wednesday, July 23rd, 2025 XIII. Adjourn M/S/P: May, Block to adjourn the meeting at 12:44 PM. Passed unanimously. Respectfully Submitted, Brynn Beffert Economic Development Intern