07-27-2001 EDAMHutchinson Community Development Corporation - an EDA
Board of Commissioners
Friday, July 27, 2001
7:00 a.m. at City Center Conference Room
Minutes
Board Members present are in bold print
Don Walser Bob Windel Jeff Haag
Jim Haugen Keith Fischer Duane Hoversten
Tim Ulrich
Chamber Rep: Dave Westlund, Hutchinson Chamber of Commerce
HCDC Staff. Christie Rock, Executive Director
1. Call to order... President Tim Ulrich
Tim Ulrich called the meeting to order at 7:05 a.m.
2. Approval of EDA Board of Commissioners minutes for June 29, 2001
The minutes from the June 29th board meeting were not available for review. Copies of the June
and July minutes will be in the August board packets.
3. Approval of financial statements for June 2001
Bob Windel made a motion to approve the financial statements for June 2001. Jim Haugen
seconded the motion. Tim Ulrich asked for discussion. The motion passed.
4. One - Motion Agenda
Duane Hoversten made a motion to approve the One - Motion Agenda. Keith Fischer
seconded the motion. Tim Ulrich asked for discussion.
Tim commented on the spreadsheets for the Sign and Awning Grant Program and the Storefront
Revitalization Matching Grant Program. Nearly 38,000 has been awarded for new signs and
awnings, and over $80,000 has been awarded for exterior work.
There was also a brief discussion regarding a motion that came out of the Finance Team
regarding the approval process for downtown loans. The Finance Team recommended that
Christie get Ownership and Encumbrance report for property with a pending loan application.
This report will show if there are any undisclosed liens against the property. McLeod County
Title will get the report for Christie for a fee of $65.00. The motion passed.
5. Executive Director Update
Christie provided an update of the projects she has been working on over the past month.
Projects include the following:
• Working on a brochure to promote the Economic Development loan program
• Working on a brochure to explain tax increment financing
• Continued work on the inventory of property in the downtown area
• Prepared postcard reminder for the downtown association's membership appeal
• Working on marketing plan for downtown association
• Interviewed SEH, Hoisington Koegler and SRF for the downtown revitalization master plan
• Board packets, minutes, meeting notices and agendas
6. Industrial Park Developments
American Energy Systems — The HCDC held a groundbreaking ceremony for AES on
Wednesday, July 18. The ceremony was well attended by Chamber members, city staff, elected
officials, and the media.
Richard McClure / DAV property — Mr. McClure started construction on the third phase of his
business park project. Space will be available in the building in the fall. Sizes range from 2,784
square feet to 1,280 square feet.
Miller Property — The asbestos problem on the Leonard Miller property was cleaned -up without
too much hassle. There has been no word from the Pollution Control Agency regarding a fine for
not following the rules.
Goebel Property — Dick Goebel is planning to do an expansion to his existing building on 5Th
Avenue. The intention would be to bring some of the manufacturing from the business on Dale
Street out to the industrial park. A meeting with John Rodeberg and Julie Wischnack, along with
Jim Haugen, Dick Goebel and Virgil Goebel was held on July 23. Dick and Virgil inquired about
the EDA's interest in acquiring the remaining parcels they own east of the existing building.
Industrial park land acquisition — The board recommended that the Industrial Park Task Force
reconvene to discuss future industrial park expansion opportunities. They also suggested that
Christie get a map of existing, available and proposed industrially zoned land.
7. Consideration of applications to the Commercial Rehabilitation Loan Program
There was one application to the Commercial Rehabilitation Loan Program. Lynette Jensen, the
owner of Thimbleberries, is seeking a loan for $16,204.00 for interior electrical work. Ms. Jensen
provided a bid from Hutch Electric. The Finance Team recommended approval.
Jeff Haag made a motion to approve the loan to Lynette Jensen. Bob Windel seconded the
motion. Tim Ulrich asked for discussion. The motion passed.
Christie indicated that she also received an application from Quade Family Partnership for a new
roof for Main Street Antiques. Christie is waiting for additional information including financial
statements from the partnership and the O and I report. Duane Hoversten inquired about the loan
the partnership received for 101 Park Place. He indicated that several tenants were not happy that
Kirk Quade did not use the money as was originally intended. Duane suggested that Christie
send a letter to Kirk requesting a break down of the work that was completed. He also felt
strongly that the HCDC should not approve another loan until work on 101 Park Place is finished.
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8. Consideration of application to the Storefront Revitalization Matching Grant Program
There was one application to the Storefront Revitalization Matching Grant Program.
Mr. Koch is seeking $40,051 in matching funds to replace windows in all of the properties he
owns on Main Street. The Finance Team tabled discussion on this item last month. The Finance
Team decided that Mr. Koch should provide more information about his proposed projects,
including a site plan or pictures of the proposed signage and awnings.
Mr. Koch provided a picture of the proposed work on the Kelly's Dance Academy building. He
would like to remove the existing wood fagade and replace it with stucco. He is not seeking
additional funds from the Storefront Revitalization Matching Grant Program for this project. The
Finance Team recommended approval of the matching grant.
Duane Hoversten made a motion to approve the matching grant to Paul Koch. Bob Windel
seconded the motion. Tim Ulrich asked for discussion. The motion passed.
9. Consideration of application to the Sign and Awning Grant Program
There were two applications to the Sign and Awning Grant Program.
Paul Koch is seeking $20,000 for new signage and awnings for several properties he owns on
Main Street. The Finance Team tabled discussion on this item last month, pending more
information regarding the proposed work on Kelly's Dance Academy. The Finance Team
recommended approval in August.
Duane Hoversten made a motion to approve the matching grant to Paul Koch. Bob Windel
seconded the motion. Tim Ulrich asked for discussion. The motion passed.
Doug Dobratz, owner of the Kid Approved building, is seeking a grant for a new awning for
$2,000. He provided a bid from Mankato Tent Company. This application came in to Christie
after the Finance Team meeting.
Jeff Haag made a motion to approve the sign and awning grant to Doug Dobratz. Jim Haugen
seconded the motion. Tim Ulrich asked for discussion. The motion passed.
10. TIF Update
Ken provided the board with an update of the various TIF districts that are in place. Ken spent
significant time reviewing District 94, which includes the downtown area and the industrial park.
The district was retired in April. The fund balance is nearly $600,000. Ken invited the HCDC to
consider / recommend uses for the monies. Discussion took place regarding using the funds to
acquire land for industrial park expansion, and for implementing projects related to the downtown
revitalization master plan.
11. New business
Tim and Christie reviewed the interviews that took place with SEH and Hoisington Koegler
Group for the downtown revitalization master plan.
12. Chamber report
Dave Westlund gave an update of the following Chamber activities:
• Dedication of the fountain
• Chamber Open House scheduled for Friday, August 3
• Crazy Days was hot
• Jack Yates nominated to the MN Chamber of Commerce Board of Directors
• Ridgewater College student welcome planned
• Arts and Crafts Festival is September 14 and 15
• Greyhound has resumed bus service to Hutchinson
13. August Chamber Rep is Tim Ulrich
14. Next meeting
The next meeting is August 24, 2001.
15. Adjournment
A motion was made to adjourn the meeting. The motion was seconded. The meeting
adjourned at 8:30 a.m.
Respectfully submitted,
Jim Haugen, Secretary /Treasurer
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