09-16-2019 EDA MINMeeting of the Elk River
Economic Development Authority
Held at the Elk River City Hall
Monday, September 16, 2019
Members Present: President Dan Tveite, Commissioners Garrett Christianson, Matt
Westgaard, Nate Ovall, Jennifer Wagner, Jeff Hartwig, and Charlie
Blesener
Members Absent: None
Staff Present: Economic Development Director Amanda Othoudt, Economic
Development Specialist Colleen Eddy, and Deputy Clerk Jessica
Miller
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. Pledge of Allegiance
Pledge of Allegiance was recited.
3. Consider Agenda
Moved by Commissioner Wagner and seconded by Commissioner Ovall to
approve the agenda.
Motion carried 7-0.
4. Consider Consent Agenda
Moved by Commissioner Blesener and seconded by Commissioner Ovall to
approve the following consent agenda:
4.1 August 19, 2019, minutes.
4.2 Check register as outlined in the staff report.
4.3 Balance sheet as outlined in the staff report.
4.4 Revenue/expenditure report as outlined in the staff report.
Motion carried 7-0.
5. Open Forum
No one appeared for Open Forum.
Economic Development Authority Minutes Page 2
September 16, 2019
6. Public Hearings
There were no public hearing items.
7.1 Industrial Incentive Microloan Application for Distinctive Iron, LLC
Ms. Othoudt presented the staff report.
Cindy Hemmer, owner of Distinctive Iron, thanked the city for helping a local
business grow by providing financial support.
Councilmember Ovall questioned if the existing $89,338.20 loan will be secured by
the property on Industrial Boulevard. Ms. Othoudt stated the existing loan will be
secured by the new property on Jarvis Street. Councilmember Ovall had some
concerns about the new property on Jarvis serving as collateral for both loans. He
stated his understanding was the first loan would remain with the Industrial
Boulevard property to be paid off when the property is sold.
Ms. Othoudt stated she can work with the applicant to restructure the loan to keep
the loans separate if the EDA desires.
Councilmember Westgaard indicated this is a great use of the microloan program.
He questioned if the first loan is secured to the Jarvis property, if a stipulation could
be included for the loan to be paid off when the Industrial Boulevard property is
sold. Councilmember Ovall explained that would be cumbersome and easier handled
if left with the Industrial Boulevard property as part of the mortgage. He added he is
comfortable structuring the loan either way.
President Tveite indicated he was also under the impression the first loan would be
secured with the Industrial Boulevard property but after hearing the proposal he is
comfortable securing the loans on the Jarvis property.
Moved by Commissioner Westgaard and seconded by Commissioner
Blesener to adopt resolution 19-05 approving an amended and restated loan
agreement and related documents for Distinctive Iron.
Motion carried 7-0.
7.2 FAM Tour Update
Ms. Eddy provided an update on the Familiarization (FAM) tour she recently
attended in Chicago.
7.3 Director Report
Ms. Othoudt presented her staff report.
NATVRI<:
Economic Development Authority Minutes Page 3
September 16, 2019
7.4 Joint Finance Committee Member Appointment
Ms. Othoudt presented her staff report.
Moved by Commissioner Wagner and seconded by Commissioner Ovall to
appoint Charlie Blesener to the Joint Finance Committee.
Motion carried 7-0.
8. Adjournment
There being no further business, President Tveite adjourned the meeting of the Elk
River Economic Development Authority at 6:04 p.m.
Minutes prepared by Jessica Miller.
Dan Tveite, EDA President
Tina Allard, City Clerk
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