04-26-2002 EDAMHutchinson EDA
Board of Directors
Minutes of Meeting
Friday, April 26, 2002
Members present in bold print
Members:
Tim Ulrich Bob Windel Jim Haugen
Don Walser Jeff Haag Duane Hoversten
Keith Fischer
Chamber Rep. Mike Boehme
Staff: Christie Rock, EDA Executive Director
1. Tim Ulrich called the meeting to order at 7:00 a.m.
2. Consideration of minutes from March 22, 2002 meeting.
Duane Hoversten noted that he was present at last month's board meeting. Christie stated
that she would make the correction.
Keith Fischer made a motion to approve the minutes from the March 22, 2002 meeting.
Jim Haugen seconded the motion. Tim Ulrich asked for discussion. The motion passed.
3. Consideration of Financial Statements from March 2002
Jim Haugen made a motion to approve the financial statements from March 2002.
Duane Hoversten seconded the motion. Tim Ulrich asked for discussion. The motion
passed.
4. Consideration of one - motion agenda
Christie suggested that the board pull the subordination request from the one motion agenda.
Tim indicated that he would move it to new business.
Bob Windel made the motion to approve the one - motion agenda. Jeff Haag seconded
the motion. Tim Ulrich asked for discussion. The motion passed.
5. Executive Directors Report
Christie Rock gave the Executive Directors report.
• Industrial park expansion
• Initiated discussion on the How to Start a Business workshop
• Prepared of loan documents
• Posted loan payments
• Responded to questions from the auditors
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• Prepared information for Agracel — an industrial park developer from Illinois
• HDA membership drive
6. Update on the Downtown Revitalization Master Plan
Christie Rock gave an update on progress being made toward the completion of the
Downtown Revitalization Master Plan.
7. Consideration of applications to the Sign and Awning Grant Program
There were two applications for review. The Finance Team recommended approval of both
applications on April 23, 2002.
The American Legion is seeking a grant in the amount of $2,000 for a new awning to replace
the existing awning. The awning will look approximately the same as the one currently on
the building. Bob Windel made a motion to approve the Sign and Awning Grant to the
American Legion in the amount of $2,000. Jeff Haag seconded the motion. Tim Ulrich
asked for discussion. The motion passed.
Picture the Pages, a new business on Main Street, is seeking a Sign and Awning Grant in the
amount of $922.10 for a new sign. The sign will be red and blue in color and will be
displayed on the north face of 101 Park Place. Bob Windel made a motion to approve the
Sign and Awning Grant to Picture the Pages in the amount of $922.10. Jim Haugen
seconded the motion. Tim Ulrich asked for discussion. The motion passed.
8. Consideration of participating in the MN Community Capital Fund
Tim Ulrich asked the board members to refer to the information that Christie provided in the
board packets, as well as recall the presentation that was made by Scott Martin from the
Northland Institute at the Finance Team in March.
The fund is a new nonprofit organization, offering local communities and economic
development organizations an opportunity to participate in an innovative new financing
resource. The fund is designed to leverage underutilized local revolving loan fund capital by
pooling the monies. Participants are able to access 10 times their contribution. For instance,
a contribution of $25,000 enables a community to access up to $250,000 in MN Community
Capital Fund dollars.
Jeff Haag made a motion to participate in the MN Community Capital Fund at a level
of $25,000. Duane Hoversten seconded the motion. Tim Ulrich asked for discussion.
The motion passed.
9. New business
Consideration of subordination request from Citizens Bank and Trust Company
Citizens Bank and Trust Company is requesting a subordination of the City of Hutchinson's
loans to Main Street Sports Bar, Inc. Citizens Bank and Trust Company is making a loan of
$92,000 to Main Street Sports Bar, Inc. The city currently has an outstanding loan balance of
approximately $53,000. The bank is asking the city to subordinate its liens to Citizens Bank.
The 2002 tax value for the two affected parcels is $153,400. The total loan volume against
the property is $145,000. This amount includes the city and the bank. Therefore, the loan to
value ratio on the property would meet the criteria of the city's subordination policy. This
request was approved by the Finance Team on April 23.
Keith Fischer made a motion to approve the subordination request. Bob Windel
seconded the motion. Tim Ulrich asked for further discussion. The motion passed.
Jeff Haag and Tim Ulrich abstained from voting due to conflicts from interest.
There was no other new business to come before the board.
10. Chamber of Commerce Update
Mike Boehme gave the Chamber of Commerce Report. Mike gave a medical report on how
Vi Mayer and Sue Mortenson are doing. He also reported on the following:
• Music in the Park starts June 10
• Arts and Crafts Festival has 260 vendor applications for 230 spots
• Jim Fahey received the Blandin Community Leadership Award at the Southwest MN
Foundation banquet
• Dairy Days is scheduled for June 7 in Library Square
• Final Crow River Quality Council event is scheduled for May 22
• Green Leaf / Sioux Lake State Park concept under consideration by DNR
11. Communications
Public open house for the Downtown Revitalization Master Plan is scheduled for
Monday, May 6, from 5:00 p.m. to 7:00 p.m.
Events Center open house scheduled for Friday, May 17 during the noon hour
12. The next meeting is scheduled for Friday, May 31, 2002
13. Adjournment
A motion was made and seconded to adjourn the meeting. The meeting adjourned at
8:45 a.m.
Respectfully submitted,
Christie Rock, Executive Director