05-11-1998 EDA MIN
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MEETING OF THE ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, MAY 11,1998
Members Present:
President Duitsman, Commissioners Bender, Dwyer. Farber,
Gongoll and Thompson. Commissioner Holmgren arrived at 6: 18
p.m.
Members Absent:
None
staff Present:
Paul Steinman. Director of Economic Development; Debbie
Huebner, Recording Secretary
Also Present:
Chris Carlson, Sportech
1. Call Meetina To Order
Pursuant to due call and notice thereof. the meeting of the Economic
Development Authority was called to order at 6:00 p.m. by President Duitsman.
2.
Consider 5/11/98 Aaenda
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COMMISSIONER GONGOLL MOVED TO APPROVE THE MAY 11, 1998, EDA
AGENDA. COMMISSIONER BENDER SECONDED THE MOTION. THE MOTION
CARRIED 6-0.
3.
Consider Consent Aaenda
COMMISSIONER DWYER MOVED TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
3.1. 4/13/98 AND 4/15/98 EDA MINUTES - APPROVED
3.2. EDA CHECK REGISTER - APPROVED
COMMISSIONER BENDER SECONDED THE MOTION. THE MOTION CARRIED 6-0.
4. Open Mike
No one appeared for open mike.
5. Consider Zonina Recommendation to the City Council
Executive Director Paul Steinman indicated the rezoning of property located
east of the intersection of County Road No. 12 and County Road No. 13 and
south of County Rood 13 will be considered by the City Council at their May 18th
meeting. Paul noted this property is owned by the Mulvanys and the Browns.
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Mayor Duitsman and Commissioner Bender expressed their support for the
rezoning to Business Park.
EDA Meeting Minutes
May 11, 1998
Page 2
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COMMISSIONER BENDER MOVED THE EDA RECOMMEND THE TWO AREAS
CURRENTLY UNDER CONSIDERATION BY THE CITY COUNCIL FOR REZONING,
INCLUDING THE BROWN AND MULVANY PROPERTY, AND THE AREA LYING BEWTEEN
COUNTY ROAD 12 AND 13, BE REZONED TO BUSINESS PARK. COMMISSIONER
THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 6-0.
Discussion followed regarding the business park standards: specifically, metal
building construction and concrete tip-up panels.
The Commissioners asked staff to research the cost impact for the business park
architectural standards versus the light industrial standards.
Commissioner Holmgren arrived at this time (6: 18 p.m.)
6. Consider MAS Technoloaies Business Incubator Lease
Paul Steinman indicated MAS Technologies made a presentation to the Business
Incubator Advisory Board on Wednesday. May 6th. The Board unanimously
supported recommending that the company be allowed to enter the Business
Incubator program as the fourth member company. Paul discussed the
proposed lease with MAS Technologies.
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COMMISSIONER FARBER MOVED TO AUTHORIZE THE EXECUTION OF A BUSINESS
INCUBATOR LEASE AND BUSINESS INCUBATOR MEMORANDUM OF
UNDERSTANDING WITH MAS TECHNOLOGIES, AND THAT A MAXIMUM OF $9,600 BE
SPENT ON LEASE HOLD IMPROVEMENTS. COMMISSIONER THOMPSON SECONDED
THE MOTION. THE MOTION CARRIED 7-0.
7.
Consider Soortech Micro Loan Request - $45.000
Paul Steinman indicated the EDA Finance Committee met with Chris Carlson of
Sportech to consider a $45.000 micro loan request. The Finance Committee
unanimously recommended approval of the loan request with the conditions
outlined in the staff report.
Chris Carlson indicated that Sportech' s largest customer is Polaris. for whom
they supply snowmobile windshields. Mr. Carlson noted his facility currently is
involved in shipping but they plan to manufacture their products in the new
facility. He indicated there are currently 4 full-time employees and 4 more will
likely be qdded when they begin manufacturing products.
COMMISSIONER GONGOLL MOVED TO APPROVE THE SPORTECH MICRO LOAN
REQUEST IN THE AMOUNT OF $45.000 WITH THE FOLLOWING TERMS:
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. 8.5% INTEREST
. 20 YEAR AMORTIZATION
. 3 YEAR BALLOON, OR PAYOFF WHEN ADJACENT PROPERTY IS SOLD,
WHICHEVER COMES FIRST
. PERSONAL GUARANTEES REQUIRED
EDA Meeting Minutes
May 11. 1998
Page 3
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COMMISSIONER HOLMGREN SECONDED THE MOTION. THE MOTION CARRIED 6-0-
1. Commissioner Dwyer abstained due a conflict of interest.
8.
Consider a Request to the City Council to Reschedule the Public Hearinq for Tax
Increment Financinq District No. 19 IHohlen Property)
Paul Steinman reviewed the timing of this project. He noted that AmCon has
partnered with Associated Builders and will present their proposals as a package
the next time the ED reviews the project. Also, reports on this issue from the City
Engineer, Building Official. and Springsted will be reviewed at the next EDA
meeting.
COMMISSIONER FARBER MOVED TO REQUEST THAT THE CITY COUNCIL RESCHEDULE
THE PUBLIC HEARING FOR TAX INCREMENT FINANCING DISTRICT NO. 19 FROM
JUNE 1, TO JULY 13, 1998, AT APPROXIMATELY 6:00 P.M. IN THE CITY COUNCIL
CHAMBERS. COMMISSIONER DWYER SECONDED THE MOTION. THE MOTION
CARRIED 7-0.
9. Presentation of 1997 Annual Report
Paul Steinman reviewed highlights of the 1997 EDA annual report.
10. Other Business
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10.1. Draft Morrell Development Aqreement
Paul Steinman indicated the draft development was included in the
Commissioners' packets for their review.
10.2. Open House
An open house at the Business Incubator site is tentatively scheduled for
Thursday, June 11, 1998, from approximately 4 p.m. to 6:30 p.m.
11. Adiournment
There being no other business, COMMISSIONER THOMPSON MOVED TO ADJOURN
THE MEETING. COMMISSIONER SECONDED THE MOTION. THE MOTION CARRIED
7-0.
The meeting of the Elk River Economic Development Authority adjourned at 7:05
p.m.
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Debbie Huebner
Recording Secretary