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Home My WebLink About3.1 October, 9th EDA Minutes CITY OF COTTAGE GROVE E CONOMIC D EVELOPMENT A UTHORITY MINUTES th October 9, 2018 Pursuant to due call and notice thereof, a regular meeting of the Economic Development Authority was th held at Cottage Grove City Hall, 12800 Ravine Parkway, Cottage Grove, Minnesota 55016 on the 9 day of October 2018. CALL TO ORDER The meeting was called to order at 7:30 a.m. by EDA President Bailey. ROLL CALL Members Present: Myron Bailey, EDA President Chris Carey, EDA Member Steve Dennis, EDA Vice President Eric Thiewes, EDA Member Ramona Westerberg, EDA Member Members Absent: Wayne Butt, EDA Member Dan Myers, EDA Member Staff Present: Charlene Stevens, EDA Executive Director Robin Roland, Finance Director Jennifer Levitt, Community Development Director/City Engineer Christine Costello, Economic Development Director Matt Wolf, Economic Development Specialist Others Present: Michael Falleroni, Manager, Credits and Incentives Consulting, Ryan Perry Haines, Plant Manager, Up North Plastics APPROVAL OF MINUTES th 3.1 Approval of EDA Minutes September 11, 2018 EDA Vice President Dennis motioned to approve the September 11th, 2018 EDA Meeting Minutes. EDA Member Westerberg seconded. Motion passed unanimously (5-to-0 vote) Economic Development Authority – Minutes October 9th, 2018 Page 2 of 4 BUSINESS ITEMS 4.1 Economic Development Update/Business Inquiry Economic Development Director Costello gave an update on the new business and projects occurring in Cottage Grove. 4.2 Request the City Council call for a public hearing for the creation of a TIF District for Up North Plastics Economic Development Director Costello gave an overview of the expansion by Up North Plastics and their request for Tax Increment Financing (TIF) for the project. EDA President Bailey asked Up North Plastics consultant Michael Falleroni if some of the outdoor storage that is currently at the facility would be shifted indoors with their new expansion. Manager Falleroni responded that most of the storage would be shifted to other locations with the expansion but mostly would state outdoors. Manager Falleroni also indicated that Up North Plastics is also considering the purchase of additional land for the project. EDA President Bailey inquired that with the proposed addition of 200 employees will the project contain additional parking for employees. Economic Development Director Costello stated that the project will contain additional parking for employees. EDA Member Thiewes asked if Up North Plastics used the rail line to transfer their materials for production. Manager Fallernoi stated that was correct the rail line is used to bring in raw material for production of ag-film and private label trash bags. EDA Member Thiewes asked if there was any concern with how close the rail line was to the new expansion. Manager Falleroni stated that the proximity of the rail line to the expansion was not a concern but a benefit for bringing in raw materials. EDA Member Westerberg motioned to approve the resolution requesting that the City Council call for a public hearing on the Modification of Development District No. 1 and the Establishment of Tax Increment Financing District No. 1-19. EDA Member Thiewes seconded. Motion passed unanimously (5-to-0 vote). 4.3 Proposed Façade Improvement Grant Program Guidelines Economic Development Specialist Wolf presented the guidelines for the proposed 2019 Façade Improvement Program. EDA Member Thiewes asked if the program was first come first serve or if there is a selection process if there are more applications then money available. Economic Development Specialist Wolf stated there st was criteria set for deciding which projects to fund based on applications due by April 1, 2019 st deadline. If there is still funding after the April 1 deadline then it would move to first come first serve for funding. EDA President Bailey inquired how the City of Cottage Grove was going to work to get this message out to businesses. Economic Development Specialist Wolf stated that staff would be working to put together a brochure for marketing the program through the mail and also working with the Chamber of Commerce to market the program. Economic Development Authority – Minutes October 9th, 2018 Page 3 of 4 EDA President Bailey stated he would also like us to call or talk directly with potential building or business owners to market the program. EDA President Bailey inquired that although the financial limit for the program is $5,000 is their ability to increase that amount for a project. Economic Development Specialist Wolf stated the guidelines are written that if there is a project that is more comprehensive and needs more financing there is an ability to increase the funding, those applications would be brought before the EDA for consideration. EDA Vice President Dennis inquired where the proposed funds were coming from for the project, whether it is from the EDA Trust Fund or EDA General Fund. Finance Director Roland responded that technically the money comes from the EDA General Fund, but the EDA General Fund receives a transfer from the EDA Trust Fund each year. EDA Member Thiewes asked for before and after pictures of projects. Economic Development Specialist Wolf stated that all projects would be required to take before and after pictures and they would be brought before the EDA at the end of the year. EDA Member Thiewes motioned to authorize staff to submit the proposed 2019 Façade Improvement Grant Program Guidelines to the City Council with any proposed changes or recommendations as put forth by the EDA. EDA Member Carey seconded. Motion passed unanimously (5-to-0 vote). PUBLIC HEARINGS 5.1 Minnesota Investment Fund (MIF) Application Up North Plastics Economic Development Director Costello presented on Up North Plastics application to the Department of Employment and Economic Development for assistance through the Minnesota Investment Fund. EDA President Bailey opened the public hearing and no comments were brought forward. EDA President Bailey closed the public hearing. EDA Vice President Dennis motioned to approve a resolution regarding an application by Up North Plastics MIF loan application to DEED. EDA Member Westerberg seconded. Motion passed unanimously (5-to-0 vote). OTHER BUSINESS 6.1 Calendar EDA President Bailey noted that the East Metro Public Safety Facility Groundbreaking Ceremony will be held on October 11, 2018 at 9:00 am. EDA President Bailey also stated that the Chamber of Commerce is having their Business After Hours event the same day at 4:30 pm at River Oaks and the Chamber Candidate Forum at 5:30 pm at the City Hall. EDA Vice President Dennis stated that Smart Asset ranked Cottage Grove as the healthiest housing th market in the State of Minnesota and the 15 healthiest in the United States. 6.2 EDA Comments Economic Development Director Costello responded to previous EDA comments regarding the Business Retention and Expansion Program from the previous EDA meeting. Economic Development Director Costello stated that based on research of the surrounding communities the City of Cottage Grove’s ordinance regarding signs is not substantially different. Economic Development Director Economic Development Authority – Minutes October 9th, 2018 Page 4 of 4 Costello also replied that in the metropolitan area of Minneapolis-St. Paul there were no grants available for fiber. The EDA also inquired last meeting how we could get our information out regarding information on sign ordinances and other information. Economic Development Director Costello stated that moving forward information will be included in the Certificate of Occupancy that is sent out to businesses when they start in Cottage Grove. 6.3 Response to Previous EDA Comments None WORKSHOP 7.1 None AJOURN EDA Member Thiewes made a motion to adjourn. EDA Member Westerberg seconded. The meeting adjourned at 8:13 a.m. (5-to-0 vote) Respectfully Submitted, Matt Wolf Economic Development Specialist