4.1. DRAFT MINUTES (2 SETS) 03-18-2019
Special Meeting of the Elk River
Economic Development Authority
Held at the Elk River City Hall
Tuesday, February 19, 2019
Members Present: President Dan Tveite, Commissioners Garrett Christianson, Matt
Westgaard, Nate Ovall (4:35 p.m.), and Jennifer Wagner
Members Absent: Commissioners Bryan Provo and Charlie Blesener
Staff Present: Economic Development Director Amanda Othoudt, Economic
Development Specialist Colleen Eddy, Elk River Municipal Utilities
Conservation and Key Account Manager Tom Sagstetter, and City
Clerk Tina Allard
1. Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River Economic
Development Authority was called to order at 4:30 p.m. by President Tveite.
2. Work Session-Energy Incentive Program
Ms. Othoudt presented the staff report. She reviewed the Economic Development
Energy Incentive Program Policy and discussed goals, requirements, and annual
Payment in Lieu of Taxes (PILOT) as outlined in her presentation. She stated this
would be a unique incentive tool not utilized in other cities.
The commission discussed whether the program should be for any types of
businesses who can meet the policy requirements or strictly for data centers. They
also discussed job creation criteria. The commission questioned if data centers
needed more incentives.
Ms. Othoudt reviewed past projects along with their job creation, taxes and
economic output. She noted job creation numbers can vary based on the business
type.
Chair Tveite feels the underlying goal is to attract larger manufacturers.
Commissioner Ovall questioned the need for a lengthy application and review
process. He stated he preferred an auto-eligibility process whereby a staff checklist
could be utilized. He asked is the juice worth the squeeze because an applicant
doesn’t want to go through a lengthy process when they don’t know exactly what
they’re getting. He further commented some of the incentive amounts suggested in
the draft program seems nominal.
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February 19, 2019
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President Tveite felt an executed agreement should be required so the applicant
knows the parameters prior to reimbursement or reclamation of incentives.
Ms. Othoudt stated there is a need for some form of application for recording
purposes and criteria measurement. She expressed state reporting concerns. She
stated the EDA attorney could draft template documents to minimize costs.
Mr. Sagstetter reviewed the eligibility timeline map.
The commission concurred a graduated scoring formula should be established for
job creation criteria.
Sherburne County Assistant Administrator Dan Weber stated having a program
incentive would score Elk River at a higher ranking to obtain a data center.
Mr. Sagstetter stated when undergoing bonding review, data centers can affect a
rating negatively and there may need to be a balance as to how many should be
allowed. He questioned if the city wants to add any more sites besides the current
shovel ready site. He noted twenty percent of Elk River Municipal Utilities current
consumption is used by data centers.
President Tveite noted formatting issues under the Eligible Businesses section and
the need to segregate the criteria.
The EDA concurred they would like to have the attorney evaluate the need for an
application and approval process and this matter would come back to another work
session.
3. Adjournment
There being no further business, President Tveite adjourned the meeting of the Elk
River Economic Development Authority at 5:21 p.m.
Dan Tveite, EDA President
Tina Allard, City Clerk
Meeting of the Elk River
Economic Development Authority
Held at the Elk River City Hall
Tuesday, February 19, 2019
Members Present: President Dan Tveite, Commissioner Garrett Christianson, Matt
Westgaard, Nate Ovall (5:31 p.m.), and Jennifer Wagner
Members Absent: Commissioner Bryan Provo and Blesener
Staff Present: Economic Development Director Amanda Othoudt, Economic
Development Specialist Colleen Eddy, and City Clerk Tina Allard
1. Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River Economic
Development Authority was called to order at 5:30 p.m. by President Tveite.
2. Consider Agenda
Moved by Commissioner Westgaard and seconded by Commissioner Wagner
to approve the agenda.
Motion carried 4-0.
3. Consider Consent Agenda
Moved by Commissioner Wagner and seconded by Commissioner
Christianson to approve the following consent agenda:
3.1 January 22, 2019, EDA Minutes.
3.2 Check Register as outlined in the staff report.
3.3 Balance Sheet as outlined in the staff report.
3.4 Revenues and Expenditures as outlined in the staff report.
Motion carried 4-0.
4. Open Forum
No one appeared for Open Forum.
5. Public Hearings
There were no public hearing items.
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February 19, 2019
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6.1 Director’s Report
Ms. Othoudt presented the staff report.
6.2 Public Art
Ms. Othoudt presented the staff report.
Commissioner Westgaard stated he supports the imitative. He discussed the timing
of the process and suggested a contingency plan if there are no grants of funds
remaining in the budget.
President Tveite would like to set a maximum expenditure level.
Consensus of the commission is to move forward with a public art project.
6.3 EDA Bylaw Amendments
Ms. Othoudt presented the staff report. She asked for clarification on the Pledge of
Allegiance and the roles of the treasurer and secretary noting most of this work is
done be staff. She suggested appointing the executive director as treasurer and
secretary role.
The commission concurred with the bylaw changes as noted in the staff report, with
the Pledge added to the agenda but not to the bylaws, and for the executive director
to serve as the treasurer and secretary.
7. Announcements
There were no announcements.
8. Adjournment
There being no further business, President Tveite adjourned the meeting of the Elk
River Economic Development Authority at 5:53 p.m.
Dan Tveite, EDA President
Tina Allard, City Clerk