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Home My WebLink AboutHEDRA Minutes - 01-11-2021HEDRA HASTINGS ECONOMIC DEVELOPMENT and REDEVELOPMENT AUTHORITY The Hastings Economic Development and Redevelopment Authority of the City of Hastings, Minnesota met in a regular meeting on Thursday, January 14, 2021, at 6:00 p.m. via Zoom video conference. HEDRA Commissioners Present: Sullivan, Peine, Sinclair, Goblirsch, Horsch, Braucks, and Vaughan. HEDRA Commissioners Absent: None Staff Present: Community Development Director John Hinzman Economic Development Coordinator Eric Maass City Administrator Dan Wietecha I. Quorum a. A quorum was established and the meeting was called to order by President Sullivan at 6:00 PM with seven members present. b. Oath of Office: HEDRA Commissioners Mark Vaughan, Lori Braucks, and Margaret “Peggy” Horsch recited the Oath of office individually to begin their terms. II. Minutes - December 10, 2020 meeting - Approved 4-0 (Sullivan, Braucks, and Horsch abstaining), as presented. A motion to accept December minutes was presented by Vaughan. This was seconded by Goblirsch III. Bills- a. Bills presented by Hinzman including CARES Act expenditures including anchor grants, nonprofit grants, legal fees, downtown barricades, and administrative spending. Motion to approve by Sinclair. Motion seconded by Peine. Approved 7- 0 as presented. IV. Business a. Election and Appointment of Officers - Motion approved 7-0 to elect: i. Peine -President, ii. Goblirsch - Vice President, iii. Sinclair - Treasurer, iv. Maass - Secretary, v. Eitemiller - Assistant Treasurer vi. Fluegel and McDowell Poehler as Attorneys. vii. Sullivan passed the gavel to Peine to preside over the remaining meeting. b. Resolution #2021-01: Authorization of Banking Signatories - Allowing newly elected officers to sign for banking reasons. Motion to approve by Sullivan. Motion seconded by Braucks. Approved 7-0 consistent with the election of officers. c. Adopt Resolution #2021-02: Approving Continued HEDRA Loan Payment Deferral in response to the Covid-19 Pandemic through December 31, 2021. - This program has resulted in about $40,000 in savings to 12 loan holders. Motion to approve by Sullivan. Motion seconded by Horsch. Approved 7-0 as presented. d. Approve Downtown Property Study - Commission looked at this document during the December meeting. Discussion of staff’s ability to meet timelines as established based on market and other factors, for the commission to “refresh” the plan after a year, to publish the plan on the City web site after approval, and to use the plan in the future to educate public on what HEDRA is and does. Motion to approve by Sinclair and seconded by Goblirsch. Approved 7-0 as presented. e. Authorize Funding for Parklets - Maass summarized a research survey of downtown business owners on the addition of parklets. i. Negatives include aesthetics of the parklets, the closing of 2nd Street on the weekend, pedestrians in the roadway. Positives include additional seating, social distancing, and increased business. ii. Parklets would be fully owned and operated by business owners. A proposed $40,000 grant program to start these structures with funds coming from the HEDRA budget, not CARES Act. This could fund an estimated 5-10 parklets. The city would provide guidelines for these parklets. Any business in the City could apply for this program. This would require an annual permit. Parklets can and should be used year after year. There was an idea to hold creative design promotion. Discussion on how to enforce the guidelines of design and if funds would be given before or after construction. iii. There is a general agreement on the benefits of parklets and discussion on whether funding should be a loan or grant. Motion to approve by Sullivan seconded by Goblrisch. Approved 4-3 (Sinclair, Vaughan, and Peine nay). f. Discuss Preliminary Land Credit Sale - Custom Asphalt - Local business Custom Asphalt is looking to relocate and has been working with the city to find a lot in the industrial park. i. There are three lots available (4,5,6). Custom Asphalt is interested in about 1 acre and Lot 5. There are some reservations about selling lot 5 first as there is not a detailed 2nd phase of development put forth by Custom Asphalt yet. ii. Existing business to the north may be encroaching onto lot 6, no conversation has started with them yet. iii. Jerry Grotjohn from Custom Asphalt spoke on his desire for Lot 5, his previous business’ tax revenue benefit to the city, and the buildings he’d like to put on the property (three buildings 100’ x 50’) One for the business, two for condos. Plan for one building per year starting each spring for 6 months. iv. Lots can be sold for $1.54 per sq ft and can be offered a full or partial land credit. Mr. Grotjohn is not asking for the land credit as he does not meet employee criteria. v. General agreement to offer Lot 5 for sale to accommodate the development. Formal action on the sale to be taken at a later date. V. Reports and Information a. Siewert Construction Apartments - Presentation of revised architectural elevations by Maass. Discussion of procedures for determining the sales price of the property. Staff will continue to work with Mr. Siewert to evaluate the justification for any reduction in the land price. i. Luke Siewart spoke to the commission about financial reasoning and the need for owning the lot before moving forward with development. ii. Discussion on potential land purchase with a deferred payment. iii. Financial analysis from Siewart is needed to offer a subsidy on the property. iv. The commission is in support of working with Siewart to accomplish negotiations. b. Riverfront Lighting - Installed. c. COVID Business Support - Dakota County Grant - 31 businesses have applied for the grants. Update on available assistance. d. HEDRA Project Support Sign - Sign ordered and will be placed with new development. e. Commercial Vacancy - Progress made with School House Senior Housing. f. Development Update - Heritage Ridge is under construction with submission for another 30 lots. There is a Spades meeting next week. 61/55 property of Caribou coffee, purchased brown building by Dairy Queen. VI. Adjournment Commissioner Sullivan motioned to adjourn the meeting at 7:49 p.m., seconded by Commissioner Braucks. Roll call vote. Motion passed 7-0. Meeting adjourned. Next Meeting: February 11, 2021 https://www.youtube.com/watch?v=r8iXISk64sA Respectively Submitted: Lindsay Anderson