10-26-2011 EDAMEDA Board Meeting
Main Conference Room — City Center
11:30 AM Wednesday, October 26th, 2011
Members present in bold.
MEETING MINUTES
Members
Tim Ulrich Steve Jansick Mike Retterath Daron Vanderheiden
Chad Czmowski Mary Christensen Mike McGraw
Staff
Miles Seppelt, EDA Director
Seth Kauffman, EDA Assistant
Andy Reid, City Controller
Liaison
Bill Corby, Chamber President
Guest
Erin Hawker, Mike McGraw's job shadow
I. Call to order
A. EDA President Tim Ulrich called the meeting to order at 11:31 AM
II. Approve Agenda — No Action
III. Review meeting minutes:
A. September 28th Board of Directors
M/S/P: Czmowski, Christensen to approve the minutes as written. Passed unanimously.
B. September 21St Finance Team
M/S/P: Ulrich, McGraw to approve the Finance Team minutes as written. Passed unanimously.
IV. Review September EDA Financial Statements — Andy Ried
■ Cash available in operations is $99,746
■ $56,736 is reserved (proceeds from Warrior land sale) and $38,203 is unreserved.
■ The Economic Development Loan fund has $488,433 in cash available.
■ Total assets in the Economic Development Loan fund are $929,263.
■ Downtown revolving loan fund has $472,462 in cash available, loans totaling $563,681 and
$201,329 in capital assets (Cenex & Wright property).
■ Loan repayments totaled $7,636 for the month.
■ MIF Loan fund has $84,107 in cash available and loans receivable of $431,967 (NuCrane).
■ A total of $0 in MIF loan repayments came in during the month — NuCrane made a double
payment for September and October.
M/S/P:McGraw, Retterath to approve the financial report as presented. Passed unanimously.
V. Director's Report
A. Minnesota Angel Network — Staff informed the Board on the meeting and evaluation process of a
business.
B. Federal Grant Status (Industrial Park): $238,955 Remaining — Staff talked with Chicago, and is
expecting the letter and check soon.
C. Business Recruitment Update — Staff updated the team on company "X": No movement.
Staff also updated on company "Y" in the Twin Cities — called them recently but no contact.
D. BDPI Grant — $250,000 payment is due October 28t"
E. Downtown Program Outreach — Staff informed the board that letters had been sent out to all the
businesses. In the next week or so staff will call or go door to door to discuss EDA programs
further.
F. Marketing Plan Update — Miles informed the board on the current state of the marketing plan and
the next steps in the plan. Discussion followed on the primary beneficiary of the marketing plan.
The first goal of the marketing plan is to promote the Economic Development of the city. There is
no planned changes of the city logo in this plan.
G. Stritesky Parcel - Top bid = $335.10 / acre $25,926.69 For the year (Luthens)
VI. Consideration of Revision of Storefront Matching Grant Program Rules
(Currently the program prohibits applicants from using the Downtown RLF as their required match.
Finance Team is recommending allowing use of RLF as the match, thereby enhancing the effectiveness
of this program.) — Staff updated the team on the proposal to use the loan program to match the
Storefront Grant. Discussion followed and the following change was taken to a vote:
Grant amounts range from $500 to $5, 000. For every dollar the property owner
contributes, the HCDC will contribute a matching dollar, up to a maximum match of
$5,000. The grant recipientn,ot can access the Commercial Rehab Loan Program
for the match, and nor can the. n;int match the HCDC funds with grant monies
l
received from other organizations. (e.g.Hut^h�`nUtil esu ) Tb;s grant requires qu res tp��
pro eo owner to make a personal 7yestment ;n the nro;anf aw
M/S/P: McGraw, Retterath to approve the change in the grant program language effective November 1,
2011. Passed unanimously.
VII. Inquiry about Finance Team Membership —
(Nathan Matti, business banker at MidCountry Bank, inquired about becoming a member of the Finance
Team. Finance Team is recommending his appointment) — Discussion followed on the size of the
finance team and the appointment was taken to a vote.
M/S/P: Retterath, Czmowski to approve Matti for Finance Team membership; passed unanimously
VIII. Project Update: Depot renovation / Farmers Market — Staff updated the board on the current state of
the Depot redevelopment project. City council has approved prepayment of the last three years of their
mortgage on the railroad right of way through town — contingent upon a favorable report being received
from the MPCA on the environmental status of the Depot site. With this prepayment the Cenex right of
way behind the old Cenex fertilizer site will be released to create a larger lot for that site. Next steps
include taking the site plan before the planning commission for review. Also the MPCA has been
contacted to inquire about a timeline for the remediation. Discussion followed.
IX. Grant & Loan Applications
A. Storefront Matching Grant
Mark Dawson -The Hairy Edge $3,155
6 North Main Street
M/S/P: Czmowski, Christensen to approve grant; passed unanimously.
Robert Schlueter — Salon Montage $2,005
133 South Main Street
M/S/P: McGraw, Czmowski to approve grant; passed unanimously.
B. Sign & Awning
Mark Dawson -The Hairy Edge $1350
6 North Main Street
M/S/P: Czmowski, Retterath to approve grant; passed unanimously.
X. Other Business —
A. BR & E — Miles updated the board on the visits to Customer Elation and the Hutchinson Co-op.
Customer Elation is expanding and their estimate of 60 new jobs is conservative. The Hutchinson
Co-op currently has about 25 full time employees and about 25 part time employees. Crop yields
appear to be off this year.
B. EDA Strategic Planning as part of City's comprehensive plan update — Staff updated the
board on the plans to update the comprehensive plan. Discussion followed and a joint lunchtime
meeting was settled on as a time to get feedback from the EDA Board and Finance team on the
economic development aspects of the new Comprehensive Plan.
XI. Chamber/ CVB Update — Bill updated the board on upcoming chamber events.
XII. Set Next Meeting — November 23rd 2011
XIII. Adjourn
With no further business to attend to, the meeting was adjourned at 12:16PM.
Respectfully Submitted,
Seth Kauffman
EDA Assistant