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Economic Development Authority Packet - October 19, 2026 Economic Development Authority Regular Meeting Agenda Monday, October 19, 2026 5:30 PM Elk River City Hall ▪ Regular meeting in Council Chambers 1. CALL MEETING TO ORDER 2. PLEDGE OF ALLEGIANCE 3. CONSIDER AGENDA 4. CONSENT AGENDA Considered to be routine and noncontroversial and will be approved by one motion. There will be no separate discussion of these items unless there is a request to remove the item from the consent agenda to the regular agenda. 4.1 DRAFT Minutes - September 21, 2026 4.2 Check Register 4.3 Balance Sheet 4.4 Revenue/Expenditure Reports 5. OPEN FORUM An opportunity to provide comments and feedback regarding items not on the agenda. Information provided in Open Forum will not be discussed at this meeting; rather, the information will be referred to staff and/or scheduled for discussion at a future meeting. 6. PUBLIC HEARINGS An opportunity for the public to express their opinions and raise questions pertaining to the agenda item. All comments become part of the official public record. For this reason, all comments must be made at the podium so they can be heard and recorded. Comments may also be provided in writing. There will not be deliberations, discussions, or answers to questions until the hearing is closed. It is important to be courteous and allow each presenter to comment before adding additional testimony. 7. GENERAL BUSINESS Items in which the information is presented by city staff or consultants, then deliberation and action occur. General Business items are not opportunities to receive or provide public input. However, the presiding officer may, at its sole discretion, solicit public feedback. 7.1 Beautification Award Recommendation 7.2 Maintenance Agreement with Elk River Municipal Utilities 8. OPEN DISCUSSION This section is reserved for the board and staff to discuss relevant topics, updates, and other non-action items of the board. 9. MOTION TO ADJOURN Page 1 of 42 Meeting of the Economic Development Authority Held at the Elk River City Hall Monday, September 21, 2026 Members Present: President Matt Westgaard, Commissioners Cory Grupa, Jeff Hartwig, Mike Beyer, Jennifer Wagner, and Charlie Blesener Members Absent: Commissioner J. Brian Calva Staff Present: Economic Development Director Brent O'Neil, Economic Development Specialist Joshua Mollan, and Recording Secretary Jolene Richter 1. CALL MEETING TO ORDER Pursuant to due call and notice thereof, the meeting was called to order at 5:31 p.m.. 2. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was recited. 3. CONSIDER AGENDA Moved by Commissioner Jennifer Wagner and seconded by Commissioner Cory Grupa to approve the agenda. Motion carried 6-0. 4. CONSENT AGENDA Moved by Commissioner Charlie Blesener and seconded by Commissioner Mike Beyer to approve the following consent items as outlined in their respective staff reports. Motion carried 6-0. 4.1 DRAFT Minutes - August 17, 2026 4.2 Check Register 4.3 Balance Sheet 4.4 Revenue/Expenditure Reports 5. OPEN FORUM No one appeared for open forum. Page 2 of 42 Economic Development Authority Minutes September 21, 2026 --------- Page 2 of 3 6. PUBLIC HEARINGS There were no public hearings. 7. GENERAL BUSINESS 7.1 Resolution 26-11 TIF 30 Interfund Loan The staff report was presented. Moved by Commissioner Jennifer Wagner and seconded by Commissioner Jeff Hartwig to approve Resolution 26-11 establishing an interfund loan related to Tax Increment District (TIF) 30. Motion carried 6-0. 8. OPEN DISCUSSION Mr. Mollan noted the following items: ▪ Beautification Public Art Committee had a presentation from Liquor Operations for a potential mural at the new liquor store site. They will be applying for a public art grant for a mural onsite and would be looking for a letter of support from the committee and/or the Economic Development Authority. He will continue to talk to Liquor Operations and bring something back in the following months. ▪ Beautification Public Art Committee had a kickoff for a public art plan discussion for community guidance and is planning a final plan approval in early 2027. They will be working on a plan in the next few months. Mr. O'Neil noted the following items: ▪ Project Fit, which is a distributor of seat covers, decided on a location in Monticello. ▪ They have had multiple conversations with some brokers representing a large project of 30-50 acres, with a minimum building footprint of 250,000 sq ft possibly doubling that number, and they could potentially have up to 500 jobs. They liked all three properties; however, all three properties have utility considerations, as the properties are outside of the service districts. Mr. O'Neil will keep this on the commission's radar. He would like to start having discussions regarding the costs of expanding services to these areas. ▪ Kwik Trip will have their final inspection coming up. ▪ The Tai restaurant will be moving in a couple of weeks. Commissioner Blesener commented that the historic water tower site could be a potential site for public art pieces. President Westgaard asked about the former Elk River and Stone building and asked if they had heard what the potential was for that site. Mr. O'Neil explained that there is an item on the Council meeting for that evening for a rezoning request for that area. Mayor John Dietz explained that the owners are asking the city to keep that area zoned industrial. Page 3 of 42 Economic Development Authority Minutes September 21, 2026 --------- Page 3 of 3 9. MOTION TO ADJOURN REGULAR MEETING Moved by Commissioner Mike Beyer and seconded by Commissioner Cory Grupa to adjourn the meeting. Motion carried 6-0. The regular meeting adjourned at 5:46 p.m. President Westgaard called the work session to order at 5:47 p.m. 10. WORK SESSION 10.1 Distinctive Iron Loan Extension Discussion The staff report was presented. President Westgaard asked how long of an extension are they requesting. Mr. O'Neil stated a 2-5 year extension. Commissioner Grupa asked if they were in good standing. Mr. O'Neil stated yes, they are. Commissioner Blesener stated that if they extended, interest rates should be looked at. Commissioner Wagner stated they are a great company and have done well within the community; however, recommended looking at the terms of the loan. President Westgaard echoed that they should look into the terms and stated that they should explain why they are approving the extension. The commission discussed and agreed as long as they are staying consistent and look at the terms and interest rates of the loan to make sure we are working with them for the reason of them asking for the extension. 11. MOTION TO ADJOURN Moved by Commissioner Mike Beyer and seconded by Commissioner Charlie Blesener to adjourn the meeting. Motion carried 6-0. The meeting adjourned at 5:55 p.m. Minutes prepared by Jolene Richter. __________________________ Matt Westgaard, EDA President ________________________ Justin Dunford, City Clerk Page 4 of 42 Page 5 of 42 Page 6 of 42 CITY OF ELK RIVER Balance Sheet September 30, 2026 Fund 920 - EDA Assets 920-1010 Cash - EDA 3,208,057.56 Total Assets 3,208,057.56 Fund Equity 920-2400 Fund Balance 2,641,795.06 Revenues over Expenditures - YTD 566,262.50 Total Fund Equity 3,208,057.56 Total Liabilities & Equity 3,208,057.56 Page 7 of 42 CITY OF ELK RIVER Revenues with Comparison to Budget For the Months Ending September 30, 2026 Fund 920 - EDA Period Actual YTD Actual Budget Unexpended PCNT 920-3-0000-3111 Property Taxes - 220,518.19 429,850.00 209,331.81 51% 920-3-0000-3621 Interest Income 10,222.83 58,852.64 75,000.00 16,147.36 78% 920-3-0000-3629 Miscellaneous Revenue - 63.78 - (63.78) 0% 920-3-0000-3910 Sale of Assets 494,505.30 494,505.30 - (494,505.30) 0% 920-3-0000-3949 Transfer-HRA - 4,500.00 4,500.00 - 100% Total Fund Revenue 504,728.13 778,439.91 509,350.00 (269,089.91) 153% Page 8 of 42 CITY OF ELK RIVER Expenditures with Comparison to Budget For the Months Ending September 30, 2026 Fund 920 - EDA Period Actual YTD Actual Budget Unexpended PCNT 920-4-6210-4101 Regular Pay 11,923.28 90,480.55 138,000.00 47,519.45 66% 920-4-6210-4103 Part-time Pay 1,050.00 8,400.00 12,600.00 4,200.00 67% 920-4-6210-4104 PERA 909.24 6,917.13 10,550.00 3,632.87 66% 920-4-6210-4105 FICA 745.01 5,691.76 9,250.00 3,558.24 62% 920-4-6210-4107 Medicare 179.68 1,374.88 2,200.00 825.12 62% 920-4-6210-4108 Insurance 1,512.00 12,096.00 31,100.00 19,004.00 39% 920-4-6210-4109 Workers Comp - 426.00 650.00 224.00 66% 920-4-6210-4112 PFML 49.59 409.22 800.00 390.78 51% 920-4-6210-4201 Office Supplies 34.24 335.40 2,000.00 1,664.60 17% 920-4-6210-4212 Fuels & Lubes - - 50.00 50.00 0% 920-4-6210-4304 Legal Fees 1,767.50 1,767.50 10,000.00 8,232.50 18% 920-4-6210-4319 Professional Services - - 25,000.00 25,000.00 0% 920-4-6210-4321 Telephone - - 700.00 700.00 0% 920-4-6210-4322 Postage - 12.72 100.00 87.28 13% 920-4-6210-4331 Travel, Conferences & Schools 160.00 899.75 12,500.00 11,600.25 7% 920-4-6210-4349 Advertising/Marketing 154.00 12,896.52 115,500.00 102,603.48 11% 920-4-6210-4359 Publishing - 269.00 1,000.00 731.00 27% 920-4-6210-4361 Insurance 2.00 83.00 300.00 217.00 28% 920-4-6210-4404 Software Services 780.66 11,832.98 17,500.00 5,667.02 68% 920-4-6210-4433 Dues & Subscriptions - 5,365.00 6,200.00 835.00 87% 920-4-6210-4440 Miscellaneous - 3,020.00 18,500.00 15,480.00 16% 920-4-62104510 Land - - 50,000.00 50,000.00 0% 920-4-6210-4721 Transfer-General Fund - 49,900.00 49,900.00 - 100% Total Fund Expenditures 19,267.20 212,177.41 514,400.00 302,222.59 41% Net Revenue Over Expenditures 485,460.93 566,262.50 (5,050.00) (571,312.50) 11313% Page 9 of 42 The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action To Economic Development Authority Item Number 7.1 Meeting Date October 19, 2026 Prepared By Joshua Mollan, Economic Development Specialist Item Description Beautification Award Recommendation Reviewed by Brent O'Neil Cal Portner Action Requested Approve, by motion, the 2026 Beautification Award winner as recommended by the Beautification and Public Art Committee. Background/Discussion The Beautification and Public Art Committee marketed and accepted nominations for the Beautification Award from May through September. Staff received and reviewed three nominees: NRH Plumbing, Price Homes, and Elk River Lutheran Church. The nominees are slated to be reviewed and scored during the October 19 Beautification and Public Art Committee meeting. The Beautification and Public Art Committee is expected to approve a recommendation which will be shared with the EDA. If approved, we will invite the winner to be recognized and accept the award at the November 16 EDA meeting. As part of the awarding process, staff will work with the awardee to place a fixture or furnishing (garden bench, stone) on the site with an engraving highlighting the EDA’s recognition of the business. Financial Impact The cost of a fixture or furnishing is estimated at $100 to $750. Mission/Policy/Goal The City Beautification Award recognizes business owners whose efforts to clean, repair, improve, and enhance the overall esthetics of the exterior of the business, property and/or space, thereby maintaining the beauty of their neighborhood and surroundings. It is presented to encourage community improvements and enhance the city’s image and economic vitality. Attachments 1. Elk River Lutheran Church 2. NRH Plumbing 3. Price Homes Page 10 of 42 Page 11 of 42 Elk River Lutheran Church729 Main StreetPage 12 of 42 Page 13 of 42 Page 14 of 42 Page 15 of 42 Page 16 of 42 Page 17 of 42 Page 18 of 42 Page 19 of 42 Page 20 of 42 Page 21 of 42 Page 22 of 42 NRH Plumbing10725 165thAvenuePage 23 of 42 Page 24 of 42 Page 25 of 42 Page 26 of 42 Page 27 of 42 Page 28 of 42 Page 29 of 42 Price Homes550 Freeport AvenuePage 30 of 42 Page 31 of 42 Page 32 of 42 Page 33 of 42 Page 34 of 42 Page 35 of 42 Page 36 of 42 Page 37 of 42 Page 38 of 42 Page 39 of 42 The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action To Economic Development Authority Item Number 7.2 Meeting Date October 19, 2026 Prepared By Brent O'Neil, Economic Development Director Item Description Maintenance Agreement with Elk River Municipal Utilities Reviewed by Cal Portner Action Requested Approve, by motion, the attached agreement with Elk River Municipal Utilities (ERMU). Background/Discussion ERMU owns the light poles in the downtown area, and for many years has provided its services to place banners, mount holiday decorations, and hang brackets for the downtown flowers. The EDA utilizes the poles to hang decorative banners throughout the year. While the cost of some of these services has been charged to the EDA and paid, ERMU has requested a written agreement to memorialize its arrangement with the EDA. In addition, ERMU has a similar arrangement with the HRA. For ease, this agreement includes both the EDA and HRA as parties to the agreement. Financial Impact $1,000 to $2,000 per year. Mission/Policy/Goal Together we win. Attachments 1. Installation and Maintenance Agreement with ERMU Page 40 of 42 INSTALLATION AND MAINTENANCE AGREEMENT FOR BRACKETS AND ACCESSORIES BETWEEN ELK RIVER MUNICIPAL UTILITIES AND ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY AND HOUSING AND REDEVELOPMENT AUTHORITY This AGREEMENT, hereinafter referred to as “Agreement,” is hereby made and entered effective the ______ day of _____, 2026, by and between the Economic Development Authority for the City of Elk River hereinafter referred to as the “EDA,” the Housing and Redevelopment Authority in and for the City of Elk River, hereinafter referred to as the “HRA,” and Elk River Municipal Utilities, hereinafter referred to as “ERMU”. 1.0 Purpose The purpose of this Agreement is to clarify the attachment and maintenance of brackets and accessories affixed to certain streetlight utility poles located with the downtown area in Elk River, Minnesota, and defining allowances, responsibilities, and costs. 2.0 Attachments of Brackets, Fixtures, and Accessories to Streetlights Generally, brackets, fixtures, and accessories may not be affixed to the streetlight poles without the permission of ERMU. Upon request of the EDA or HRA, and subject to ERMU’s determination that installation is feasible, ERMU shall attach brackets to certain streetlights within the downtown area (see map Appendix I.) ERMU will maintain and replace the brackets as necessary. The brackets may be used for the following purposes: • Hanging banners year-round • Hanging planters during the summer season • Hanging holiday-themed decorations during the holiday season To minimize unnecessary wear, tear, and maintenance issues, all other requests are subject to approval of ERMU, at its discretion. ERMU shall be responsible for the installation and removal of fixtures and accessories. The banners, planters, and holiday decorations shall be provided by the EDA, HRA or to the EDA and HRA by the Downtown Ek River Business Association (DERBA). ERMU will not be responsible for storing any banners, planters, or holiday decorations. ERMU will install replacement banners provided by the EDA when necessary, but not as part of an annual replacement program. Banners are intended to last multiple years, with select banner locations (the four corner poles at Main and Jackson) being rotated more frequently to convey community information. The HRA, or its contractor, in coordination with ERMU, shall install, maintain, and remove the hanging planters on a seasonal basis. ERMU will install and remove the holiday decorations annually. Page 41 of 42 3.0 Billing for Services ERMU shall invoice the City’s Economic Development Department, collectively the HRA and EDA, for services (labor and material) related to the installation, removal, or maintenance of fixtures and accessories. The EDA and HRA shall be responsible for the costs of brackets. The parties agree to communicate and coordinate as needed to avoid unnecessary or unreasonable charges. The EDA nor HRA shall not be responsible for labor or materials of a community partner, ie DERBA, unless coordinated through the EDA or HRA. The EDA and HRA do not intend to draw electricity for their activities. To the extent DERBA activities draw electricity, charges for power consumption shall be invoiced directly to DERBA or donated. 4.0 Termination of Agreement This Agreement may be cancelled or terminated without cause by either party by giving (30) calendar days advance written notice to the other party. Such notification shall state the effective date of termination or cancellation. Any and all amendments must be made in writing and must be agreed to by the parties before becoming effective. ERMU recognizes that the EDA, HRA, DERBA have made long- term investments in tangible property with an expectation this agreement will not be unduly or unreasonably terminated. IN WITNESS WHEREOF, each of the parties has caused this Agreement to be executed by their duly authorized representatives: ELK RIVER MUNICIPAL UTILITIES EDA FOR THE CITY OF ELK RIVER By______________________________________ By______________________________ John Dietz, Chair Matt Westgaard, President By_______________________________________ By______________________________ Mark Hanson General Manager Brent O’Neil, Executive Director HRA IN AND FOR THE CITY OF ELK RIVER By_______________________________ Nate Ovall, Chair By_______________________________ Brent O’Neil, Executive Director Page 42 of 42