09-29-2009 EDAMEDA Board Meeting
Main Conference Room — City Center
11:30 AM Tuesday, September 29th, 2009
Meeting Minutes
Members present in bold.
Members
Tim Ulrich Diane Gordon Steve Jansick Marc Vaillancourt
Chad Czmowski Jim Haugen Mike McGraw
Staff
Miles Seppelt, EDA Director
Ryan Miller, EDA Assistant
Jeremy Carter, Finance Director
Liaison
Bill Corby, Chamber President
Guests
Tom Daggett
Call to Order
Mr. Ulrich called the meeting to order at 11:44 AM.
Approve Agenda
No action.
III. Review Meeting Minutes
A. August 22" Board of Directors
M /S /P: Jansick, Vaillancourt to approve August 26th Board of Directors' Minutes as
written. Passed unanimously.
B. August 15th Finance Team
M /S /P: Jansick, Haugen to approve August 19th Finance Team Minutes as written.
Passed unanimously.
IV. Review of August Financial Statements — Finance Director
• In operations the EDA has $86,772 in cash available, $22,736 is reserved (proceeds
of Warrior land sale)
• Year to date property tax revenue totals $71,924.
• In the Economic Development Loan Fund we have $81,817 in cash available.
• In addition we have a receivable of $32,461 for work done of the Stritesky Property.
• Notes receivable total $90,446 and all loans are performing as required.
• For the month we've had $1,732 in loan prepayments.
• In the Downtown Revolving Loan Fund we have $362,089 in cash, $713,655 in loans
receivable and $150,000 invested in Capital Assets — 3 d Avenue lots.
• Loan repayments for the month totaled $9,087 and total assets are $1,225,744.
• In the MIF Loan Fund we have $136,876 in cash available and outstanding loans
totaling $574,509.
■ For the month we have received $8,553 in loan repayments.
M /S /P: Haugen, Czmowski to approve the August financial statements as presented.
Passed unanimously.
V. Director's Report
A. Cenex Redevelopment update
■ The EDA's portion of work to be done on the Cenex Site is nearly done. Work
still in progress includes the removal of the adjacent Les Kouba Parkway,
removal of signs on the former road and resetting the curb flush with 3 d Avenue.
The entire lot will be leveled and covered with soil from the industrial park. There
are storm drains on the site that will remain the low points on the lot for proper
drainage. Monitoring wells will also need to be put in place within the lot.
B. Industrial Park
• The Industrial Park project is at a stand still once again while Mr. Seppelt waits
for a letter to proceed from the Federal EDA.. The federal grant is approved but
final notice must be given for the work to begin. Contractors are still holding their
bids. The land available in the industrial park will start appearing on the EDA's
website for marketing efforts. Two lots will be assessed in order to cover the
20% required for bonding authority.
• Pending lot sales:
Warrior Manufacturing: 11 -12 acres
Hutchinson Utilities: approx. 3 acres
C. County EDA
■ The next workshop with the County Board will be on October 6th. Mr. Seppelt
recently attended a township meeting to discuss the County EDA proposal with
the townships associations.
VI. NuCrane Manufacturing
A. Project Update
■ NuCrane Manufacturing will build large scale cranes which will operate within
nuclear power plants. The cranes will be built to their entirety in the Hutchinson
facility being built adjacent to Hutchinson Manufacturing. The cranes will be forty
one feet off the ground and require a clearance of about 56ft inside the
manufacturing facility. Products will be taken apart after completion and shipped
worldwide. Mr. Daggett hopes to have operations starting March 1St of next year.
NuCrane will initially offer 12 -15 jobs with the potential to increase its payroll to
nearly 50 within a few years. The jobs will be high - paying and offer benefits.
JOBZ will be utilized on this project and possibly the Minnesota Investment Fund
and an AG Loan as well.
B. Public Hearing
M /S /P: Viallancourt, Haugen to open public hearing. Passed Unanimously.
No comments were offered.
M /S /P: Haugen, Czmowski to close public hearing. Passed Unanimously.
C. Resolution
M /S /P: Czmowski, Jansick to approve EDA Resolution 2009 -2, authorizing bonding up to
$4,845,000 for the Daggett Ventures II project (NuCrane Manufacturing). Passed
unanimously. Marc Vaillancourt abstained from the vote.
VII. Grant & Loan Applications
Sign & Awning Grants
Crow River Eyecare Center
225 Main Street South
$2,000
M /S /P: Vaillancourt, Czmowski to approve the grant request, subject to the receipt of a
second bid. Passed unanimously.
VIII. Other Business
■ Finance Team Addition
The addition of Mr. Keith Fischer of Wells Fargo Bank to the EDA Finance Team was
discussed.
It was agreed that Josh Gehlen of Home State Bank and Jeff Grant from First
Minnesota Bank should be invited to join the Finance Team as well. Staff will visit
with both individuals to see if they are interested.
M /S /P: Vaillancourt, Haugen to appoint Keith Fischer to the EDA Finance Team.
Passed Unanimously.
■ SWIF Event
The Southwest Initiative Foundation will be hosting an event speaker at the Morton,
MN Casino, October 30tH
IX. Chamber Update
• Hutchinson Leadership Institute will start September 24 -25. There are 21 participants so
far this year.
• Business after Hours will be held Wednesday October Stn at New Century Charter
School- New Discoveries Montessori.
• CEO Exchange (name not confirmed) — a business owners /managers roundtable will be
kicking off in October.
• Ladies Passport Event will be held on November 6 -7.
X. Set Next Meeting — October 28th
XI. Adjourn
The meeting was adjourned at 12:25 PM.
Respectfully Submitted,
Ryan Miller
EDA Assistant