03-12-2007 EDA MINMEETING OF THE ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, MARCH 12, 2007
Members Present: President Gongoll, Commissioners, Dwyer, Gumphrey, Motin and Tveite
Members Absent: Commissioners Farber and Klinzing
Staff Present: Director of Economic Development Catherine Mehelich, Assistant
Director of Economic Development Heidi Steinmetz, Community
Development Director Scott Clazk, Planning Manager Jeremy Barnhart, and
Ciry Clerk Tina Allard
Call MeetingTo Order
Putsuant to due call and notice thereof, the meeting of the Economic Development
Authority was called to order at 5:30 p.m. by President Gongoll.
2. Consider Agenda
The following items were added to Other Business.
Micro Loan Request-Mikols River Studio, Inc.
GRE Update
MOVED BY COMMISSIONER DWYER AND SECONDED BY
COMMISSIONER ZERWAS TO APPROVE THE MARCH 12, 2007 EDA
AGENDA AS AMENDED. MOTION CARRIED 5-0.
3. Consent Agenda
MOVED BY COMMISSIONER TVEITE AND SECONDED BY
COMMISSIONER DWYER TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
3.1. FEBRUARY 12, 2007 MINUTES
3.2. CHECK REGISTER
3.3. BALANCE SHEET
3.4. REVENUE/EXPENDITURE REPORT
MOTION CARRIED 5-0.
4. n Mik
Jerry Gumphrey, 20045 Zane Court-Thanked the EDA for the opportunity to serve on
their board. He stated he would like the EDA to consider developing industrial business
clusters, which is a group of businesses that come together and support similaz businesses.
Economic Development Authority Minutes
Mazch 12, 2007
Page 2
Ms. Steinmetz stated the city is working with other cities in the county on a project. She
stated the EDA has contributed $500 for the Enterprise Network Regional Analysis (ENSA)
project which is developing a similar cluster program.
$. Consider Recommendation to City Council on Resolution Authorizes Pa_rdcipation in the
h rb ~m ounttrEconomic Development Authority
Ms. Mehelich introduced Sherbume County Administrator Brian Benson.
Mr. Benson provided information regazding the county's efforts to establish a Sherbume
County EDA and is requesting the City of Elk River EDA participation along with other
cities in the county.
Commissioner Dwyer stated he served on the taskforce that was formed to evaluate the
establishment of the Sherbume County EDA and he felt it would be a complement to the
city EDA.
Commissioner Motion questioned if there were to a conflict with the city EDA and county
EDA, would the city have an option to opt out of participating.
Ms. Mehelich stated the city would be unable to withdraw for at least five years.
MOVED BY COMMISSIONER DWYER AND SECONDED BY
COMMISSIONER MOTIN TO RECOMMEND THE CITY COUNCIL ADOPT
A RESOLUTION AUTHORIZING TH E CITY OF ELK RIVER TO
PARTICIPATE IN THE SHERBURNE COUNTY ECONOMIC
DEVELOPMENT' AUTHORITY. MOTION CARRIED 5-0.
6. I iodate ~~ t'arewaw Bu in .enter Project
Mc Bamhart provided an update on the main findings of the Maxfield Research Study for
the Gateway Business Park development. Mr. Bamhart stated the Study indicated that the
Pack was best suited for industrial and limited commercial develapment and not retail.
Commissioner Motin stated he would like to see the enure Study report as some comments
don't make sense according to what he has heard from developers. He stated that dependent
upon the Study he may disagree with the consultant's opinions. He stated the city should
contact restaurant businesses and promote directly to them and not to developers.
Commissioner Motin questioned who the consultants contacted for the study.
Commissioner Dwyer questioned if the easiest way to mazket the Park is in the best interest
of the city. He stated there should be "mix uses" in the Park.
Commissioner Tveite stated it may be worthwhile for the city to wait to develop the Pazk
but the EDA should wait until they see the Study report.
Chair Gongoll stated he was also surprised by the results of the Study. He stated he would
like to see a different name for the Park as Gateway Business Park is being used for another
pack along Highway 101.
Ms. Mehelich noted there would be an April 9 worksession discussion for this item. She
stated the Study seems to be in conflict with what the city desires for the Pazk.
Economic Development Authonry Minutes
March 12, 2007
Page 3
Mx. Clark suggested that the EDA send staff emails with photos or locations of the samples
of the "mixed use" they would like to see Eor the Pack.
~Jndate on Downtown Redevelopment Plan Taskforce
Commissioner Tveite provided the following update on the Downtown Redevelopment
Plan Taskforce. Some items covered were:
• Alternatives to TH 10
• Visibility to keep TH 10 at grade
• Possible closure of Main Street with Jackson Avenue being a gateway entrance
• Market of two distinct areas (north/south of TH 10 and the railroad)
Commissioner Dwyer questioned if Mn/DOT was part of any Taskforce discussion.
Mr. Clark noted that City Engineer Terry Maurer has had discussions with representatives of
Mn/DOT.
8. Other Business
A. Sider Micro Loan Request' Mikols River Studio Inc
Ms. Steinmetz stated Mikols River Studio has submitted application today for $25,000 from
the Downtown Business Revitalization Loan Program. She stated Mr. Mikols would like to
utilize the funds for upgrading his showroom and purchasing equipment. She stated that
EDA Commissioner Motin proposed the application be considered by the EDA in order to
respond to Mr. Mikol's timing request rather than delaying another month with a Finance
Committee recommendation.
Tony Mikols, applicant-Stated he has been impressed with the activity downtown and would
like to spmce up his shop.
MOVED BY COMMISSIONER MOTIN AND SECONDED BY
COMMISSIONER TVEITE TO APPROVE A $25,000 LOAN TO MIKOLS RIVER
STUDIO, INC. AT A FIXED INTEREST RATE OF THREE PERCENT TO BE
PAID BACK WITHIN TWO YEARS AND SECURED BY A PERSONAL
GUARANTEE. MOTION CARRIED 5-0.
B. CARE Update
Ms. Mehelich noted the GRE is pursuing legislative appropriation fora $250,000 grant to
the City of Elk River EDA to be provided to GRE for the feasibility study of an RDF to
methanol plant.
9, AA~jjoumment
The me g f the Elk River Economic Development Authority adjourned at 6:35 p.m.
Tina Allard
City Clerk