06-29-2007 EDAMEDA Board Meeting
Minutes of Meeting
Friday, June 29th 2007
Members present in bold print:
Members:
Tim Ulrich Steve Jansick Jim Haugen Diane Gordon
Duane Hoversten Casey Stotts Mike McGraw
Staff:
Miles Seppelt, EDA Director
Shan Ghimire, EDA Assistant
I. Mr. Ulrich called the meeting to order at 7:04 a.m.
II. Approve Agenda: No action.
III. Review and Approve Meeting Minutes:
a. May 16th Finance Team Minutes
M /S/P: Ulrich/Jansick to pass May 16th Finance Team minutes. Approved
unanimously.
b. May 25th EDA Board Meeting
M /S/P: Stotts /Gordon to pass May 25th EDA Board minutes. Approved
unanimously.
c. June 13th EDA Special Meeting
M /S/P: McGraw / Jansick to pass June 13th EDA Special minutes.
Approved unanimously.
IV. Review May 2007 Financial Statements
• On Pg 1 under operations for the EDA, there is $212,851 cash on hand. The total
fund balance & liabilities as of May 31, 2007 is $275,828.
• Pg 2 and 3 is the statement of revenue and expenses. The EDA continues to
collect $500 each month for the Wetherell Property. $200 was received from
refunds and reimbursements giving total revenue of $700. The EDA spent down a
total of $22,840 for the month of May. The EDA has spent down a total of
$73,746 for the year of 2007.
• Pg 4 under the EDA Loan Fund, there is $128,740 as cash on hand.
• Pg 5 under the EDA Downtown Loan Fund, there is $503,015 as cash on hand.
Mortgages receivable is $714,510. $55,234 has been collected this year for loan
repayments. A total of $161,031 has been paid out thus far for 2007 including
loans, downtown grant program, and miscellaneous. The current revenues under
expenditures were $105,797.
MIS/P: Gordon, Stotts to approve financials for May 2007. Passed Unanimously
V. Director's Report
a. Cenex Redevelopment Project
Phase II environmental inspection is underway for this project; we are in
the process of preparing a purchase agreement.
b. Cornerstone Commons
- American Pastime BBQ is all set to be open for business by mid -July
- Snap Fitness is expanding the facility towards the north end of the
building
- They are working on individual office suites in the west end of the
building
c. Warrior manufacturing
They should be ready to go for production any day soon.
d. Customer Elation
The plans are to be approved by the planning commission meeting on July
2nd and by the city council on the l Wh.
e. Nordic Components / Spec Building
Discussion underway with the Architect for floor plan. EDA staff is
meeting with Midwest Tool Grinding as a new potential business for that
space.
f. Industrial Park Design
Currently working with SEH on the design; soil borings underway.
VI. Request for Letter of Support
Mr. Seppelt informed the board that Mr. Jim Fayhe is looking for a letter of support
regarding the space west of Spec Building site that could be used for charter school.
MIS/P: Stotts, Gordon to provide a letter of support to Jim Fayhe for new
Charter School facility. Passed unanimously.
VII. Parameters of Cenex Deal
Mr. Seppelt provided an update on the status of the Cenex Redevelopment Project. As
part of the deal, EDA would get 4 lots on Fertilizer site and right of way needed to
access the industrial park. Cenex would demolish all of their existing structures and
would also cover 20% match requirement for AG -VIC program. Cenex would get
$300,000 in cash and 1.8 acres of the eastern -most Goebel lot.
VIII. Report on Project Financing (2007 Projects)
Mr. Seppelt presented different options for financing 2007 projects. For Cenex Deal,
EDA could use $150,000 each from Downtown Revolving Loan Fund and the City's
Development Fund. For the $1.2 million Spec Building Project, 40% of the cost
would be funded by Nordic Components, 45% can be used from EDA TIF Bond and
rest of the 15% can be used from Economic Development TIF district. He also
mentioned that the plan for Call Center is to keep the project under 1.5 million and
will probably be financed by a lease- revenue bond.
IX. Farmers' Market Pavilion
Mr. Seppelt informed that the bids for pavilion came back much higher than what we
were expecting. The lowest bid was for about $279,000 and the highest was over
$370,000. There was a discussion to reject all bids and terminate the project.
MIS/P: Gordon, Stotts to reject all bids and terminate the process. Passed
unanimously.
X. Grants & Loan Applications
a. Sign & Awning Grant
American Pastime BBQ $2,000
MIS/P: Gordon, Stotts to approve $2,000 Sign and Awning Grant for American
Pastime BBQ. Passed unanimously.
Salon Montage $1,600
MIS/P: Jansick, Cannon to approve $1,600 Sign and Awning Grant for Salon
Montage. Passed unanimously.
b. Storefront Revitalization Matching Grant
Hager Jewelry $2,100
MIS/P: Gordon, Stotts to approve $2,100 Storefront Revitalization Matching
Grant for Hager Jewelry. Passed unanimously.
Dry Cleaner Building $5,000
Bids for the project were still needed. So the board decided to approve with the
condition of submitting the bids.
MIS/P: Jansick, Stotts for contingent approval of $5,000 Storefront
Revitalization Matching Grant for Dry Cleaner Building. Passed unanimously.
XI. Chamber Update
Mr. Bill Corby has been appointed as the new president of the Hutchinson Area
Chamber of Commerce.
XII. Set next meeting
The next meeting will be Thursday, July 27, 2007 at 7:30am in the City Center Main
Conference Room.
XIII. Adjourn
The meeting adjourned at 8:11 a.m.
Respectfully submitted,
Shan Ghimire, EDA Assistant