10-10-1994 EDA MIN
MEETING OF THE ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, OCTOBER 10, 1994
Members Present:
President Gongoll, Commissioners Dietz, Dwyer and Duitsman.
Commissioner Farber and Holmgren arrived at 5:35 P.M.
Commissioner Scheel arrived at 5:46 P.M.
Members Absent:
None
Staff Present:
Bill Rubin, EDA Executive Director
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 Gongoll.
2. Consider October 10, 1994 Aqenda
COMMISSIONER DUITSMAN MOVED TO APPROVE THE OCTOBER 10, 1994 EDA
AGENDA AS AMENDED. COMMISSIONER HOLMGREN SECONDED THE MOTION. THE
MOTION CARRIED 7-0.
3. Consider September 12, 1994 Minutes
The following corrections to the September 12, 1994 EDA Minutes were noted:
Page 3, Item 8, Paragraph 3 - Meeting on September 14th at 7:00 p.m.
Page 7 Item 12.1, 2nd Motion - Commissioner Dwyer voted "No"
Page 5, Item 10, Paragraph 2 - Should read "President Gongoll and Commissioner
Dwver expressed their satisfaction with Ms. Browning's proposal as well as her
qualifications. Il
COMMISSIONER FARBER MOVED TO APPROVE THE SEPTEMBER 12, 1994 EDA MINUTES
AS AMENDED. COMMISSIONER DUITSMAN SECONDED THE MOTION. THE MOTION
CARRIED 6-0.
4. Open Mike
No one appeared for this item.
5. Financial Update
Bill Rubin reviewed the following financial summary provided by Finance Director
Lori Johnson:
Micro Loan Fund - The Micro-Loan Fund had a cash balance of $156,897.97 on
September 30, 1994. A loan application fee of $500.00 from John Weicht and
Associates was received in September. As of Thursday, October 6, all October
payments are current except Americlnn.
EDA Minutes
October 10, 1994
Page 2
Block Grant Micro-Loan - The Block Grant Micro-Loan Fund had a cash balance
of $13,236.15 on September 30, 1994.
6. Presentation of DTED Star Cities Awards
Bill Rubin reported that Elk River was awarded plaques in three categories at
DTED's annual Star City Conference as follows:
Best Community Marketing Video
Best Overall Marketing Materials
1994 All-Star Designation
Bill presented a proclamation from Governor Arne Carlson, awarding Elk River the
All-Star City designation for 1994 and also, proclaiming October 19, 1994 as Elk
River All-Star City Day. Bill added that Elk River was the only city to receive three
a total of 3 awards.
7. Discuss proposed changes to the EDA Enablinq Resolution reqarding the addition
of one more non-elected EDA Commissioner to serve in an at-Iarqe capacity
Bill Rubin reviewed a proposed timetable relative to adding at least one more at-
large EDA commissioner, and thereby reducing the number of City
Councilmembers on the Elk River EDA. He explained that the City Council would
be required to conduct a public hearing on the proposed modification, after the
notice of the public hearing is publiShed once a week for two consecutive weeks.
He stated that based on the proposed timetable, the City Council would have
approximately 45 days to solicit a candidate, and to determine which City
Councilmember no longer serves on the EDA.
Commissioner Duitsman stated that he did not feel any of the Councilmembers
would be willing to give up their seat on the EDA and not be involved in the City's
development.
President Gongoll stated that the reason he brought up the issue was to further
the intent of the EDA, by providing more input from business and industry. He
added that the final decision on matters lies with the City Council.
Commissioner Dwyer stated that this issue of adding another at-large
commissioner to the EDA had been brought up in the past. Because of time
restrictions regarding the public hearing notice, they were not able to do it at
their annual meeting.
Commissioner Duitsman stated that he felt the only way the Council would agree
to adding another at-large EDA commissioner would be if. one of the
Councilmembers decided to step down.
Discussion followed regarding holding a public hearing on the matter.
Commissioner Farber stated that the timetable would allow time for
PRESIDENT GONGOLL MOVED TO RECOMMEND TO THE CITY COUNCIL THAT THE
COUNCIL INITIATE A PUBLIC HEARING ON A PROPOSED MODIFICATION TO THE EDA
ENABLING RESOLUTION RELATIVE TO THE ADDITION OF ONE OR MORE AT-LARGE
COMMISSIONERS, WITH THE UNDERSTANDING THAT THE PUBLIC HEARING HAS BEEN
EDA Minutes
October 10, 1994
Page 3
SET FOR DISCUSSION PURPOSES AND NO DEFINITE CHANGES HAVE BEEN
DETERMINED AT THIS TIME. COMMISSIONER FARBER SECONDED THE MOTION. THE
MOTION CARRIED 6-0-1. COMMISSIONER DUITSMAN ABSTAINED.
8. Consider Transferrinq Title of the EDA Main Street Site to the City of Elk River
Bill Rubin stated that the County Assessor has been suggested that the title for the
Main Street site interim park be transferred to the City of Elk River. He explained
that the Minnesota Statute provision granting a tax exemption for EDA property
cannot exceed eight years. Bill added that if the property were conveyed to the
City, it could remain tax exempt until an appropriate user can be identified.
Discussion followed regarding
PRESIDENT GONGOLL MOVED TO AFFIRM THAT THE EDA RETAIN THE PROPERTY TITLE
FOR THE MAIN STREET SITE FOR MARKETING PURPOSES, AND THAT THE EDA WILL
WORK WITH THE SHERBURNE COUNTY ASSESSOR'S OFFICE REGARDING
DETERMINATION OF USE FOR THE PROPERTY; AND, THAT THE CITY ATTORNEY IS ASKED
TO PREPARE A RESOLUTION ADDRESSING THE EDA'S INTENTIONS FOR THE PROPERTY,
AS WELL AS CONVEYANCE DOCUMENTS FOR THE EDA TO CONVEY THE MAIN STREET
SITE TO THE CITY OF ELK RIVER, IF NEEDED. COMMISSIONER FARBER SECONDED THE
MOTION. THE MOTION CARRIED 6-0-1. COMMISSIONER HOLMGREN ABSTAINED.
9. Update on Addressinq the City's Review and Permittinq Process
Bill Rubin explained that there has been no response from Anoka Hennepin
Technical College regarding the proposal to study the City of Elk River's review
and permitting process.
Bill Rubin noted that the Chamber of Commerce recently conducted a survey
which asked respondents to identify issues that they felt the Chamber could help
address. As a result, a subcommittee will be addressing the user-friendly review
and permitting processes of the City. He stated that some of the issues need to
be done internally, but at some point in the future, the subcommittee could meet
with the City for input.
COMMISSIONER DWYER MOVED TO DIRECT THE EDA EXECUTIVE DIRECTOR TO
SOLICIT CANDIDATES FOR THE PROPOSED PROJECT TO STUDY THE CITY'S REVIEW
AND PERMITTING PROCESS. COMMISSIONER HOLMGREN SECONDED THE MOTION.
THE MOTION CARRIED 7-0.
10. Update on the City Council Initiative to Rezone Certain Property B-P, Business Park
Bill Rubin reported that the Business Park rezoning request by the City of Elk River
failed for lack of a 4/5 affirmative vote at the last City Council meeting, but that it
would be reconsidered at the October 17, 1994 Council meeting. He stated that
two of the affected property owners submitted plans for proposed development
of their property, while the third owner did not. The item was tabled in order to
provide the developer time to submit plans.
Commissioner Dwyer expressed his concern that only 15 acres would be left for
the business park, and also, that they would be setting a precedent for land
owners to come to the City requesting Highway Commercial also.
EDA Minutes
October 10, 1994
Page 4
Bill Rubin stated that he is hopeful the Council will take into consideration the
numerous inquiries the City receives from potential business park users, and
stressed the importance of maintaining an inventory of sites for that purpose.
11. Custom Motors' Relocation Plans
Bill Rubin stated that the City Council recently rezoned the Custom Motors site
from a light industrial use to a single family use, giving them 10 years to relocate.
He stated that it was his understanding that the owners have successfully
presented a purchase agreement for property in the Ar-Mon Commercial Park.
He stated that he and Steve Ach met with the owners of the property to discuss
possible uses for tne present site. He stated that there are two TIF districts which
may apply; a soils condition district and redevelopment district. He added that
until they have done an on-site inspection with the building official, the City is not
in a position to make a determination on what could be done with the property.
Bill stated that the resolution addressed the City providing assistance to Custom
Motors in relocation.
Bill Rubin explained that a T1F soils condition district addresses costs to correct
whatever deficiency is there, such as peat, or a large amount of contamination.
He stated that staff will be conducting a site inspection on Wednesday, October
12th.
Commissioner Duitsman that he feels it is important that the Council take a look
at the zoning of property on north Highway lOin this vicinity.
12. Other Business
13. Adjournment
There being no further business, COMMISSIONER HOLMGREN MOVED TO ADJOURN
THE MEETING. COMMISSIONER DWYER SECONDED THE MOTION. THE MOTION
CARRIED 7-0.
The Elk River EDA meeting adjourned at 6:25 p.m.
Respectfully submitted,
MI;(:fc; 1-<< (?~Li!J
Debbie Kleckner
Recording Secretary