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03-28-2023 JFC MIN Elk River Joint Finance Committee Held at Elk River City Hall Tuesday, March 28, 2023 Members Present: Dan Tveite, Jim Gromberg, Ryan Hardin, Chad Vitzthum, Jill Larson-Vito and Rhonda Magnussen (7:37 am) Members Absent: Nate Ovall, and Charlie Blesener Staff Present: Brent O’Neil, Economic Development Director, Joshua Mollan, Economic Development Specialist Others Present: Mikaela Huot (Baker Tilly), Ken Beaudry (Beaudry Oil) 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River Joint Finance Committee was called to order by Chair Tveite at 7:35 a.m. 2. Consider Agenda Moved by Gromberg and seconded by Vitzthum to approve the agenda. Motion carried 5-0 (Magnussen absent). 3. Consent Agenda Moved by Larson-Vito and seconded by Hardin to approve: 3.1 November 29, 2022 meeting minutes Motion carried 5-0 (Magnussen absent). 4.1 Appointment of the Chair Mr. O’Neil stated that per committee bylaws, a chair is to be nominated and elected at the first meeting of every odd year for a two-year term. Mr. Gromberg nominated Chair Tveite to continue to serve as Chair of the Joint Finance Committee. Moved by Gromberg and seconded by Hardin to re-elect Dan Tveite as Chair of the Joint Finance Committee for a two-year term ending in 2024. Motion carried 5-0 (Magnussen absent). 4.2 Review Tax Abatement Application – Beaudry Lubricants/Harvest Reaper Mr. O’Neil introduced the Beaudry project and presented the site location. Mr. O’Neil introduced Ms. Huot (Baker Tilly) to present her review on the tax abatement application. Ms. Huot described the project and tax abatement request from Beaudry Oil and Propane and Harvest Reaper LLC of which the latter will be the recipient of the tax abatement. Ms. Huot’s analysis that this project warrants public assistance due to extraordinary site development costs. She estimates the city share to be $138,000 over 11 years. Chair Tveite shared that this project would be a good fit for the area. Mr. Beaudry shared that they would have liked assistance for the full 15 years but is happy with any city assistance supporting the project. Mr. Hardin asked if there needed to be any additional language to the motion in subject to county participation.Mr. O’Neil and Ms. Huot stated that the city review is for the city portion only and the item under consideration is for city tax abatement independent of the county’s participation. Moved by Gromberg and seconded by Larson-Vito to provide a recommendation to the City Council and EDA to approve this tax abatement Motion carried 5-0 (Vitzthum abstained). 4.3 Open Discussion Items Mr. O’Neil requested feedback to move forward with contacting a potential candidate for consideration as an at-large member of the Joint Finance Committee. The committee was agreeable to consider the applicant at the following meeting. 5.1 Announcements There were no announcements. 6. Adjournment There being no further business, Mr. Tveite adjourned the meeting at 7:58 a.m. Minutes prepared by Brent O’Neil and Joshua Mollan. _____________________ Tina Allard City Clerk ___________________ Brent O’Neil Economic Development Director