HomeMy WebLinkAbout3.1 Approval of June 9, 2020 EDA Meeting Minutes
CITY OF COTTAGE GROVE
E CONOMIC
D EVELOPMENT
A UTHORITY
MINUTES
EDA Meeting
June 9, 2020
Pursuant to due call and notice thereof, a meeting of the Economic Development Authority was virtually
th
held via Zoom at https://cottagegrovemn.zoom.us/j/91575887526 on the 9 day of June at 7:31 a.m.
CALL TO ORDER
The meeting was called to order at 7:31 a.m. by EDA President Bailey
ROLL CALL
Members Present: Myron Bailey, EDA President
Chris Carey, EDA Member
Steve Dennis, EDA Vice President
Dan Myers, EDA Member
Erin Pash, EDA Member
Rachel Smoot, EDA Member
Eric Thiewes, EDA Member
Members Absent: None
Staff Present: Jennifer Levitt, EDA Executive Director/City Administrator
Robin Roland, Finance Director
Christine Costello, Economic Development Director
Matt Wolf, Economic Development Coordinator
Others Present: David Reller, Senior Real Estate Manager Colliers International
APPROVAL OF MINUTES
3.1 Approval of the May 12, 2020 EDA Meeting Minutes
EDA Member Carey motioned to approve the May 12, 2020 EDA Meeting Minutes. EDA
Member Pash seconded. Motion passed unanimously (7-to-0 vote)
3.2 Approval of the June 2, 2020 Special EDA Meeting Minutes
EDA Member Carey motioned to approve the June 2, 2020 Special EDA Meeting Minutes.
EDA Vice President Dennis seconded. Motion passed unanimously (7-to-0 vote)
Economic Development Authority – Minutes
June 9, 2020
Page 2 of 4
BUSINESS ITEMS
4.1 Economic Development Update/Business Inquiry
Economic Development Coordinator Wolf gave an overview of the various projects that are
currently occurring throughout the City of Cottage Grove as related to Economic Development.
4.2 Award Small Business Emergency Assistance Program Grants
Economic Development Director Costello presented on the grants submitted for the Small
Business Assistance Grant Program from Carbone’s Kitchen and Pub, Cedarhurst, Cottage
Grove Florist, Hound Around, and Salon 80 Hair Studio for a total of $50,000.
EDA Vice President Dennis motioned to authorize the approval of five (5) Small Business
Emergency Assistance Grants each for $10,000 to Carbone’s Kitchen and Pub,
Cedarhurst, Cottage Grove Florist, Hound Around, and Salon 80 Hair Studio totaling
$50,000. EDA Member Thiewes seconded. Motion passed unanimously (7-to-0 vote).
4.3 Façade Improvement Applications
Economic Development Coordinator Wolf presented the Façade Improvement Program
Applications submitted for 2020 and the desire to expand the program by $50,000 for a total of
three awards.
EDA President Bailey stated that even under the current economic conditions that commercial
property owners are looking to improve their businesses and that is why the additional $50,000
is being requested. EDA Vice President Dennis inquired about the scope of the parking lot
project as part of the Jamaica Square application. Economic Development Coordinator replied
that he did not have the quote in front of him regarding the project but believed it was a mill and
overlay of the parking lot. EDA Vice President Dennis asked based on the current conditions of
the parking lot how long the repairs would last. City Administrator Levitt stated that given
current conditions the parking lot would most likely at maximum last five years, but it depended
on how much traffic used the road.
EDA Vice President Dennis asked Colliers International Senior Real Estate Manager David
Reller, who represents the Shoppes at Gateway North, why they are proposing redoing the
parapets and reducing the elevation. Senior Real Estate Manager Reller replied that the work
that is being proposed is currently what the market is seeing in multi-tenant buildings with a
move to a more modern architecture style.
EDA Member Carey inquired if the Façade Improvement Program applications are required to
show that the money is needed to get support, similar to tax increment financing. Economic
Development Coordinator Wolf replied that tax increment financing projects are required to pass
the “but for” test meaning that but for the use of public assistance funds the projects would not
develop. Economic Development Coordinator Wolf stated that currently the program does not
have such a clause or guideline as part of the program.
EDA Member Thiewes motioned to approve the Culvers of Cottage Grove project with an
award letter and a contract for $25,000 as part of the Façade Improvement Grant
Program. EDA Member Myers seconded. Motion passed unanimously (7-to-0 vote).
EDA Member Pash motioned to authorize the approval of an additional $50,000 of
funding for the program through the EDA Trust Fund with an award letter and contract
Economic Development Authority – Minutes
June 9, 2020
Page 3 of 4
for $25,000 to Jamaica Plaza LLC and $25,000 to Crown Estates Family, LLP (Shoppes at
Gateway North). EDA Member Smoot seconded. Motion passed unanimously (7-to-0
vote).
4.4 9165 and 8991 West Point Douglas Property Appraisal
Economic Development Coordinator Wolf presented on the request to have the properties of
9165 and 8991 West Point Douglas Road appraised by Patchin Messner Valuation Counselors
for $4,500.
EDA President Bailey stated that in the past the EDA has always looked to purchase distressed
properties or non-conforming use properties in the community. EDA President Bailey inquired if
the appraisal process would include checking for environmental issues related to the sites. City
Administrator Levitt stated that the if the EDA made an offer it would be contingent on a
environmental phase 1 being completed on the site and stated that the appraisal process would
not include that work. EDA President Bailey asked if there was money available to the City for
environmental clean-up at the sites if there were environmental issues found at the sites. City
Administrator Levitt stated there are opportunities for clean-up assistance through the county
and the state, which the City would apply for assistance.
EDA Vice President Dennis inquired from EDA Member Smoot if Zillow was used as a tool for
determining price in the real estate market as the property listed at 8991 West Point Douglas
Road was currently listed for over $400,000. EDA Vice President Dennis stated that based on
the SWOT analysis for the properties and the limited funds received for the EDA Trust Fund
each year he would prefer to let the private market develop the Langdon Village Area.
EDA President Bailey stated that in past there were opportunities to purchase some of the land
in the Langdon Village area, but the EDA did not move forward. EDA President Bailey stated
that at this point the appraisals would give the opportunity to the EDA if a feasible offer could be
made on the properties. EDA Member Smoot stated that she would be willing to run a market
on the property at 8991 West Point Douglas and that Zillow is currently not a tool used by real
estate agents.
EDA Member Smoot motioned to authorize the appraisal of 9165 and 8991 West Point
Douglas by Patchin Messner Valuation Counselors for the total cost of $4,500 to be
funded by the EDA Trust Fund. EDA Member Thiewes seconded. Motion passed
unanimously (7-to-0).
EDA Member Pash left the meeting.
PUBLIC HEARINGS
5.1 None
OTHER BUSINESS
6.1 Calendar
EDA President Bailey pointed out that the EDA has a special meeting on Tuesday, June 30.
Economic Development Director Costello commented that the purpose of the EDA Special
Meeting was regarding the third round of the Small Business Emergency Assistance Grant
Program.
Economic Development Authority – Minutes
June 9, 2020
Page 4 of 4
6.2 EDA Comments
EDA Vice President Dennis asked if there were additional businesses that applied for the next
round of the Small Business Emergency Assistance Grant Program. Economic Development
Director Costello stated that currently there are a few applications that have been submitted for
review and as the deadline approaches believes more applications will be received.
6.3 Response to Previous EDA Comments
None
WORKSHOP
None
AJOURN
EDA Vice President Dennis made a motion to adjourn. EDA Member Smoot seconded. The
meeting adjourned at 8:33 a.m. (7-to-0 vote)
Respectfully Submitted,
Matt Wolf
Economic Development Coordinator