HomeMy WebLinkAboutII - MinutesHEDRA
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, February 11, 2021, at
6:00 p.m. via Zoom video conference.
HEDRA Commissioners Present: Peine, Goblirsch, Horsch, Braucks, and Vaughan.
HEDRA Commissioners Absent: Sinclair and Sullivan
Staff Present: Community Development Director John Hinzman
Economic Development Coordinator Eric Maass
City Administrator Dan Wietecha
I. Quorum
A quorum was established and the meeting was called to order by President Peine at
6:00 PM with five members present.
II. Minutes - January 14, 2021 meeting - Motion by Goblirsch seconded by Horsch to
approve the minutes as presented. Roll call vote. Approved 5-0.
III. Bills
Motion Goblirsch seconded by Horsch to approve the bills as presented. Roll call
vote. Approved 5-0.
IV. Business
a. Land for a Dollar Program Update - Maass provided a summary of the Land
for a Dollar Program and sought direction from the Commission on when
payment should occur on the land credit program; should payments occur at the
time of closing based on an estimated calculation, or paid upon the end of the five
year program based on actual numbers.
Commissioner Braucks asked if any statistics are available on the use of the
program over the last 5-10 years; how many have utilized the five year window.
Is price a barrier to starting a business? Hinzman stated most of the Land for a
Dollar transfers have not involved a cash payment; with credits of most sales
exceeding the property value.
Commissioner Goblirsch stated it takes a few years to create jobs, how is the
credit and dollars transferred?
Commissioner Vaughan stated he supports the program but would like to see
more data. Have there been any defaults? He believes the $13 and hour
minimum wage requirement is too low.
Commissioner Horsch and President Peine agreed that more information is
needed.
Hinzman stated staff will provide further information at the next meeting.
b. Approve Preliminary Land Credit Sale - Custom Sawdust
Maass provided a summary of the request. Motion by Goblirsch seconded by
Braucks to approve the preliminary land credit sale as presented. Roll call vote.
Approved 5-0. The City Council will review the request on March 1, 2021.
c. Adopt Resolution #2021-03: Approving Exclusive Land Sale Negotiations of
HEDRA Property - Luke Siewert
Maass provided a summary of the staff report. Staff seeks direction on whether
the resolution should include sale of the land for one dollar if price to be
determined at a later date based on meeting subsidy criteria.
Commissioner Vaughan stated he does not believe sale for a dollar is warranted at
this time.
Commissioner Goblirsch stated his support for the project; being part of the
downtown property use study and bringing housing to downtown. A discount on
the land price appears to be warranted. What is the City seeking to justify a
subsidy? Maass stated the City is seeking a bank commitment letter and actual
construction estimates for the project.
Commissioner Vaughan stated more construction details are warranted to justify a
subsidy beyond a concept plan. What will be the exterior materials.
Motion by Vaughan to adopt Resolution #2021-03 providing exclusive sale of the
property and directing Mr. Siewert to work with the City to provide the necessary
information to determine what if any land price discount is warranted on the
property. Seconded by Braucks. Roll call vote. Motion approved 5-0.
V. Reports and Information
a. Spades Development
Ray Menard of Spades provided an update on activities. COVID has been a
challenge to their planning. They are excited about the prospect of operating in
Hastings and hope to have further information later this year.
b. Parklets
Maass provided an update on development of an ordinance to allow parklets
within the City. Commission discussed number of requests for parklets.
c. Open To Business
Hinzman provided a summary of the report. Commission Vaughan suggested
tying future grant dollars to participation in the program.
d. COVID Business Support - Dakota County Grant
Maass provided an update on County activities.
e. Commercial Vacancy
Hinzman noted no new changes.
f. Development Update
Hinzman provided an update on recent development.
VI. Adjournment
Commissioner Goblirsch motioned to adjourn the meeting at 7:12 p.m., seconded
by Commissioner Braucks. Roll call vote. Motion passed 5-0. Meeting adjourned.
Next Meeting: March 11, 2021
Respectively Submitted:
John Hinzman