06-27-2018 EDAM
EDA Board Meeting
Main Conference Room – Enterprise Center
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11:30 AM Wednesday, June 27, 2018
____________________________________________________________________________
Members present in bold.
MEETING MINUTES
EDA Board Members
Mike Cannon Corey Stearns Daron Vanderheiden Chad Czmowski
Mary Christensen Mike McGraw Jonny Block
Staff
Miles Seppelt, EDA Director Andy Reid, Finance Director
Matt Jaunich, City Administrator Meagan Donahue, EDA Program Manager
I. Call to Order
EDA Vice President Jonny Block called
Economic Development Authority
the Board to order at 11:34 AM.
Financial Summary as of May 2018
Operations
II. Approve Agenda – no action.
Cash Available $85,076
Reserved $56,736
III. Review Minutes
Unreserved $19,502
Economic Development Loan Fund
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Cash Available $100,832
May 16 Finance Team meeting.
Redline Systems Balance $11,044
Ashwill Industries Balance $11,757
M/S/P: Stearns, Czmowski to approve
Laser Dynamics Balance (forgivable) $23,000
minutes as written. Approved
Innovative Foam Balance (forgivable) $14,355
unanimously.
Downtown Revolving Loan Fund
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May 23 EDA Board meeting.
Cash Available $468,215
Loans Receivable $450,195
M/S/P: Block, Christensen to approve
Capital Assets $201,329
the minutes as written. Passed Total Assets $1,119,739
unanimously.
MIF Loan Fund
Cash Available $22,265
NuCrane Loan Receivable $11,253
IV. Review of June EDA Financial
Enterprise Center Fund
Statements
Cash Available $15,728
Expenditures (Ebert Construction) $29,496
Finance Director Andy Reid provided an
SHOPKO TIF District (TIF 4-5)
update on the EDA financials. (see table
Cash Available $1,436
at right)
Interfund Loan Receivables $480,497
Expenditures $
M/S/P: Cannon, Stearns to approve the
MEDICAL CLINIC TIF District (TIF 4-16)
financial report as presented. Passed
Interfund Loan Payable $300,257
unanimously.
V. Director’s Report
A. Marketing Plan Report:
Facebook updates = 10
Twitter activity = 10, Website updates = 0
Social media effort has
284 likes on Facebook and 76 followers on Twitter.
B. Business Recruitment / Expansions – staff updated the board on recent contacts and
conversations.
C. UPONOR – has begun production; building modifications continue.
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D. Japanese Consulate-General visit – Planning for August 2; Tour of 3M.
E. Hutchinson Enterprise Center – Two local companies are considering renting space
F. Hotel Project – Projecting August opening.
G. Skilled Workforce Development Plan – TigerPath Coordinator to be hired shortly.
H. DEED MN Magazine Advert – New advert is in the works.
I. IEDC Judging Panel – Staff gave update on trip to Washington DC for IEDC meeting.
J. Tim Pawlenty visit – Good visit; has expressed interest in returning to learn more about
TigerPath specifically.
K. Industrial Park hay land – No bids received, staff will look at getting someone to cut it.
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L. Small Business Development Center – SBDC will have an open house on July 12 at the
Enterprise Center.
VI. Hutchinson EDA Budget
A. Consider EDA levy request
Discussion of proposed levy request
Growth of Hutchinson’s tax base has boosted the maximum potential levy
amount to $182,303 – an increase of $13,103 from last year.
B. Consider 2019 EDA Operating Budget
Staff summarized proposed changes for the 2019 EDA budget
o Eliminate hay land rental income (no bids this year)
o Reduce TIF admin reimbursement
o Increase advertising line item to reflect higher costs
o Increase SWIF contribution to $5,500 (and consider another increase
next year)
o Continue support of Minnesota Economic Development Foundation
Discussion.
M/S/P: Vanderheiden, Christensen to approve the increased levy amount and adopt the
proposed 2019 EDA budget. Passed unanimously.
VII. Industrial Park Prospect
Staff updated the Board on a potential industrial park prospect.
Discussion.
Consensus was that this company would be a good fit for our community and the
industrial park.
VIII. Enterprise Center
A. 2019 Operating Budget
Staff reported that the EDA will be receiving a $9,783 rebate for the energy efficient
equipment built into the Hutchinson Enterprise Center.
M/S/P: Czmowski, Stearns to reserve those dollars for future building maintenance
needs. Passed unanimously.
The annual budget for the Hutchinson Enterprise Center was reviewed and
discussed.
M/S/P: Block, Cannon to approve the proposed budget. Passed unanimously.
B. Signage
Discussion of adding a monument sign for the Hutchinson Enterprise Center.
Cost would be $5,050 with Innovative Foam as the main contractor.
Funded via MIF loan fund from proceeds of the MOXY loan repayment.
Cost sharing with tenant companies (to the extent possible) was discussed.
M/S/P: Cannon, Vanderheiden to proceed with the project. Passed unanimously.
C. Remove two overhead doors between bays
Laser Dynamics is having problems with high humidity in their space,
adversely affecting their sensitive equipment
Cause is air moving around the two overhead roll-up doors on each side of
their rental space.
Staff proposed removing the two overhead roll up doors at a cost of
approximately $2,000 total.
Discussion
Board asked that a less expensive alternative be found.
IX. EDA Strategic Planning
A. Review of EDA Marketing effort / strategy
B. Review overall Economic Development strategy
Discussion deferred until next month due to time constraints.
X. Grant & Loan Program Applications – None.
XI. Other Business
Set date for joint meeting with City Council – City Administrator will get some
possible dates from the City Council.
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XII. Set Next Meeting – 11:30 AM Wednesday, July 25, 2018
XIII. Adjourn
M/S/P: Cannon, Block to adjourn the meeting at 1:00 PM. Passed unanimously.
Respectfully Submitted,
Meagan Donahue
Economic Development Manager