Clearwater EDA Regular Meeting September 23, 2020

Zoom Web Conference Call to Order: 8:00 a.m. Roll Call 1. Approval of Agenda

2. Approval of Minutes from August 19, 2020 Meeting

3. CARES Act Program Update

4. Recruitment Update

5. EDA Res 2020-01 – Certify Preliminary Levy

6. Revisit EDA Programs

7. Other Business

8. Next Meeting Date – October 21, 2020

9. Adjournment

Strong Heritage

Bright Future

To: Honorable Members of the Clearwater EDA

From: Annita Smythe, City Administrator

Date: September 23, 2020

Re: September 23, 2020 EDA Meeting

1. Approval of Agenda

2. Approval of Minutes from August 19, 2020 Meeting

3. CARES Act Program Update The Cares Act Grant Program was rolled out to the Patriot News via a press release. It was also sent via email to CVBC members and posted to the city’s Facebook page. To date, we have received three requests for applications, but none have yet been returned. If Members have other suggestions for publicizing the program, let me know.

4. Recruitment Update We have sent a message to both the Patriot News and to CVBC letting them know the EDA is seeking applicants to fill vacant Board positions. I have also sent personal invites to a handful of people. We have not yet received any applications. If Members have suggestions for individuals who may wish to serve, along with contact information for those folks, I can continue to reach out until we get the seats filled.

5. EDA Res 2020-01 – Approving 2021 Preliminary Levy This is the Resolution certifying the levy that was discussed by the Board at the last meeting. This resolution likely should have been considered at the last meeting with the budget, but we were behind on completing the budget this year due to staff shortages. So, the total levy was not ready. I think it still makes sense to consider this just to ratify the levy adopted by the City Council for the EDA.

6. Revisit EDA Programs

The staff have asked if the newly-formed EDA intends to continue some programs implemented by the previous Boards, such as the Rental Lease Rebate Program or the Revolving Loan Program. Does the Board want to continue these programs or terminate them or delay for discussion until 2021 when there is a full Board?

7. Other Business

8. Next Meeting Date – October 21, 2020

9. Adjournment

CLEARWATER ECONOMIC DEVELOPMENT AUTHORITY REGULAR MEETING MINUTES

AUGUST 19, 2020

Call to Order: 8:00 a.m. via Zoom Web Conference − EDA President Crandall called the Clearwater EDA to order Wednesday, August 19, 2020 at 8:00

a.m. via Zoom Web Conference. Members present were EDA President Crandall, Mayor Lawrence, and Council Member Scott. Also present was Administrator Smythe. A quorum was present.

1. Approval of Agenda

− MOTION by Lawrence to approve agenda as presented, seconded by Scott, all voted aye. MOTION CARRIED.

2. Approval of Minutes from July 22, 2020 Meeting − MOTION by Lawrence to approve minutes, seconded by Scott, all voted aye. MOTION CARRIED.

3. Revisit By-laws

− Members continued discussion of the amendments to the by-laws. Discussion continued on the need for the EDA to have a separate checking account. Smythe explained that per the city’s attorney, a separate bank account is not needed so long as the EDA’s funds are segregated on the city’s books, which they are. Members consensus was to close the EDA Checking Account and transfer the funds to the city’s primary checking account, which is at the same bank.

− Changes discussed at the last meeting were incorporated into the new draft by-laws. Following the discussion of the checking account, Members concluded that the Treasurer will be the City Treasurer, the Assistant Treasurer will be the City Deputy Clerk, and check signers shall be the check signers as assigned by the City Council for the city’s accounts.

− MOTION by Lawrence to approve the amended by-laws from the current draft with the changes noted above, seconded by Scott, all voted aye. MOTION CARRIED.

4. CARES Act Program Update − Smythe explained the sample program and application that is in the agenda packet. Members did

not have concerns with the samples. There was discussion about the timing of the program and advertising. The Board will also need to wait until the City Council authorizes transferring the funds to the EDA.

− MOTION by Scott to approve a grant program and application based on the examples from the City of Big Lake with an application deadline of September 30, 2020, seconded by Lawrence, all voted aye. MOTION CARRIED.

− The program will be advertised via a press release to the Patriot News, posted to the city’s Facebook page, and information sent to CVBC. Applications will be considered at the October meeting.

5. 2021 Growth Incentive Program − Members discussed the Growth Incentive Program for 2021. After discussion, members

determined that no changes should be made until a full Board was seated and could study the issue. Members decided to retain the cap implemented by the City Council for 2020.

− MOTION by Lawrence to continue the Growth Incentive Program for 2021 utilizing the same percentage split of the fees as is currently used, applying that percentage to the fees established by the City Council for 2021, and having a cap of the first 5 houses built in 2021, seconded by Crandall. Voting aye – Lawrence, Crandall. Voting nay – Scott. MOTION CARRIED 2-1.

6. 2021 Budget Discussion

− Members discussed the proposed budget for 2021. Board stipends and taxes will remain the same. Members would like the sign budget increased to $45,000. The website budget was reduced to $10,000 based on past price quotes indicating costs. $12,500 was put in for the Growth Incentive Program and $10,000 added for a marketing program. Total levy was set at $81,270, a decline from 2020 of 2.97%.

7. Next Meeting Date – September 16, 2020

− Smythe stated that she is out of the office on September 16, 2020. Members consensus was to move the next meeting to September 23, 2020.

− Members would like an “Other” section added to agenda. − Members noted that the I94 Project to add a lane from Monticello had been delayed to 2021. − Some Members plan to attend a future I94 Coalition meeting to see if we would like to become a

member. 8. Adjournment

− MOTION to adjourn by Lawrence, seconded by Scott, all voted aye. − Meeting adjourned at 9:00 a.m.

ATTEST APPROVED ___________________________________ ____________________________________ Annita M. Smythe, City Administrator Kris Crandall, EDA President

CLEARWATER ECONOMIC DEVELOPMENT AUTHORITY WRIGHT AND STEARNS COUNTIES, MINNESOTA

RESOLUTION 2020-01

ADOPTING 2021 PRELIMINARY LEVY

WHEREAS, Minnesota Statutes require that all local units of government must formally adopt a preliminary tax levy for the succeeding fiscal year on or before September 30, 2020; and WHEREAS, the Clearwater EDA and City Staff have prepared a preliminary budget based on the EDA’s planned programs for 2021 and determined the levy amount needed to fund the program budget. NOW, THEREFORE, BE IT RESOLVED that the Clearwater EDA hereby adopts a preliminary levy amount of $83,759. BE IT FURTHER RESOLVED, that the City Administrator is hereby authorized and directed to transmit this information to the Clearwater City Council to be included in the Preliminary Levy to be adopted by the City Council. Board Members voting in favor: Opposed or Abstained: Adopted by the Clearwater EDA this 23rd day of September, 2020. ATTEST: APPROVED BY: ________________________________ __________________________________ Annita M. Smythe, City Administrator Kris Crandall, EDA President

Adopted December 2, 2013

City of Clearwater Economic Development Authority

P.O. Box 9 Clearwater, MN 55320

 

LEASE REBATE PROGRAM  

Purpose:

The purpose of this program is to create a positive business environment that will provide opportunities for the community, by decreasing vacancies of commercial and industrial properties, and make them more competitive with our surrounding communities. The Clearwater Economic Development Authority will provide rental assistance through this rebate program for the first three months of rent. Guidelines and Procedures:

1. Applications for consideration must be submitted to the Clearwater Economic Development Authority.

2. New or expanding retail, commercial, and industrial businesses permitted within the City’s districts zoned for business operations may apply. Sexually orientated businesses are not eligible for this program.

3. Businesses must enter into a 12 month lease agreement with the property owner, must pay the first two months’ rent, and must remain open and in operation for a minimum of 12 months.

4. The lease rebate will be for the monthly rent with a maximum amount of $1,000.00 per month, for a total for $3,000.00 for the first three months of eligibility.

5. Upon proof of payment, such as a canceled check, receipt for payment, etc., the EDA will issue a check to the tenant for the amount of the eligible rebate for months 2, 3, and 4.

6. The applicant must appear before the EDA Board to present their application, at which time the EDA may request additional information that may include a business plan, financial statements, and / or other documents for review by the EDA during the consideration of the application.

Strong Heritage, Bright Future

Adopted December 2, 2013

APPLICATION FOR LEASE REBATE PROGRAM

Name of Applicant: _____________________________________________________________

Mailing Address: _______________________________________________________________

Name of Business: ______________________________________________________________

Building Address: ______________________________________________________________

Phone Number: (O) ______________________ (P/C) _________________________

Social Security Number or Employer Identification Number: _____________________

Please describe the type of business and how it will contribute to the City of Clearwater:

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

Estimated date of opening: __________________ Hours of Operation: ____________________ Size of building: ______________________ Landlord: _________________________________ Monthly rent payment: ______________________ Term of Lease: _______________________ Estimated number of jobs to be created: _____________________________________________ The undersigned applicant affirms: The information submitted herein is true and accurate to the best of my knowledge. I understand the requirements of this program an agree to abide by its conditions and guidelines. Signatures of Applicant(s): _______________________________________ Date: _______________________ _______________________________________ Date: _______________________ _____________________________________________________________________________

Project meets the general approval of the Clearwater EDA: YES ____ NO ____ Signature: ________________________________________ Date: _______________________