09-29-2016 JFC MIN City of
Elk Meeting of the Elk River EDA Finance Committee
River Held at the Elk River City Hall
Tuesday, September 29,2016
Members Present: Larry Toth,Ryan Hardin,Dan Tveite,Jennifer Wagner, and Chad Vitzthum
Members Absent: Nate Ovall
Staff Present: Amanda Othoudt, Economic Development Director and Colleen Eddy,
Economic Development Specialist
Also Present: Annie Deckert, Decklan Group;Brian Hill,Apex;Dan Weber, Sherburne
County;Mikaela Huot, Springsted Inc
1. Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River Finance Committee
was called to order at 7:37 a.m.
2. Consider Agenda
Motion by Wagner and seconded by Vitzthum to approve the agenda. Motion
carried 5-0.
3.0 Consent Agenda
Motion by Toth and seconded by Hardin to approve the consent agenda. Motion
carried 5-0.
4.1 APEX Embroidery Forgivable Loan Application
Ms. Othoudt presented the staff report and reviewed the score sheet. Members discussed the
number of jobs the loan would create and asked if there was any city owned land that would
work for this business. Ms. Othoudt reported that there was very limited city property
available at this time.
Motion by Vitzthum and seconded by Wagner to approve the forgivable loan request.
Motion carried 5-0.
4.2, APEX Embroidery Tax Abatement Application
Ms. Othoudt presented the staff report. Mikaela Huot from Springsted presented the "but
for" analysis. Members discussed various items regarding the local market rates, abatement
usually supports bigger projects,and the number of jobs being created among other things.
Dan Weber spoke on behalf of Sherburne County,who is in support of the abatement
request. Further discussion was had by the committee,whom directed staff to shorten the
abatement term if Springsted could show through alternative assumptions by means of a
blended rate that a shorter term of abatement would cover the immediate financing gap.the
company needed for the project to proceed.
Motion by Toth and seconded by Hardin to approve up to 12 year property tax
abatement for SBH Properties, LLC. Motion carried 5-0.
4.3 EDA Microloan Policy Review
Moved to next meeting. ,.
5.1 Announcements
5.1 Ethanol Technology Verbal Update
Ms. Othoudt stated that Judge Sheridan has been assigned to the case.
5.2 Resignation letter from Paul Motin
Ms. Othoudt reported that Paul Motin has moved out of the Elk River area which leaves an
open seat on the EDA Finance Committee. There is an active search to replace the legal
representation to the board.
6. Adjournment
•
There being no further business Chair Tveite moved to adjourn the meeting at 8:50 a.m.
Minutes prepared by Colleen Eddy.
T. : Allart, City Clerk
1111, •a Othoudt, Economic Development Director