HomeMy WebLinkAboutHEDRA Minutes 04-09-2020HEDRA
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, April 9, 2020 at 6:00 p.m.
via Zoom video conference.
President Sullivan explained the reasons for the video conference and referenced
various city, state and federal declarations and guidelines that an in-person meeting
was not practical or prudent due to the COVID-19 Pandemic.
HEDRA Commissioners Present: Balsanek, Fox, Goblirsch, Peine, Sinclair,
Sullivan and Vaughan.
Staff Present: Community Development Director John Hinzman
Economic Development Coordinator Rusty Fifield
City Administrator Dan Wietecha
I. Quorum
A quorum was established and the meeting was called to order by President Sullivan
at 6:00 PM with seven members present.
II. Minutes
Commissioner Vaughan motioned to approve the minutes from the regular meeting of
March 12, 2020, as presented, seconded by Commissioner Goblirsch. Roll call vote: Ayes
7; Nays 0. Motion approved.
III. Bills
Hinzman summarized the bills.
President Sullivan asked for clarification on the Open to Business bill. Hinzman explained
the details of the Open to Business Bill.
Commissioner Sinclair motioned to approve as presented, seconded by Commissioner
Goblirsch. Roll call vote: Ayes 7; Nays 0. Motion approved.
IV. Business
A. Review COVID 19 Financial Assistance for Local Businesses
Fifield presented a summary of potential actions to assist City businesses in
response to the COVID-19 Pandemic.
Commissioner Vaughan inquired if there were fund balance policies for the
various HEDRA funds. Hinzman responded no, but that the Finance Manager
recommended keeping a four to five month balance reserve.
Commissioner Balsanek was interested in the specific loan amounts. Fifield did
not have specific amounts. Commissioner Goblirsch commented on the Payroll
Protection Program loans. Fifield added that on the City’s website was a list and
description of the various financial assistance available.
Commissioners Balsanek and Fox and Fifield discussed the dissemination of the
information.
Commissioner Sinclair remarked about his experience for applying for financial
assistance for his business.
Commissioner Fox and Fifield discussed possibly splitting the City’s program
funds into half used for relief and the other half used recover.
Commissioner Sinclair motioned to approve the following actions
recommended by staff:
1. Suspend existing revolving fund loan and land acquisition programs to
retain existing fund balances.
2. Allocate $320,000 for COVID-19 relief purposes to be determined
3. Include additional funds for COVID-19 economic recovery in 2021
Budget.
4. Ask City Council to transfer all net sale proceeds from Business Park
to HEDRA for COVID-19 assistance.
Motion seconded by Commissioner Peine. Roll call vote: Ayes 7; Nays 0.
Motion approved.
B. Resolution: Defer Payments on HEDRA Loans
Hinzman indicated that due to the COVID-19 Pandemic, staff decided to
suspend collection of payments and interest accrual on HEDRA’s fourteen
revolving loans. He explained that the resolution would approve deferral of
payment until December 31, 2020.
Commissioner Balsanek and Hinzman discussed the different types of loans
offered through HEDRA.
Commissioner Balsanek motioned to approve as presented, seconded by
Commissioner Vaughan. Roll call vote: Ayes 6; Nays 0; Abstain – Fox.
Motion approved.
C. Panache Cidery
Fifield detailed correspondence with Panache Cidery and the real estate
agreement with them and the City.
Commissioner Balsanek discussed possible reasons for allowing the extension
to the agreement. Hinzman explained that the agreement for working
exclusively with Panache Cidery would expire; however, the expired agreement
does not preclude the City and Panache Cidery from still working together. The
lack of an agreement with a specific developer allows the site to become
available for other potential developers.
Hinzman expressed concerns of the financial viability of Panache Cidery.
Commissioner Peine favored allowing the agreement to expire.
President Sullivan indicated that since a price could not be determined, then the
agreement should expire.
Commissioner Vaughan agreed that the Commissioners should allow the
agreement to expire.
Commissioner Vaughan and Fifield discussed what will happen with the
gathered information the downtown property study.
Commissioner Vaughan and Hinzman discussed the grant received from the
Metropolitan Council for site cleanup and its relationship to Panache Cidery’s
development. Fifield clarified that the grant was to cleanup up the site and not to
solely cleanup the site for the Panache Cidery development.
D. Website Update
Hinzman discussed the City’s new website.
Fifield demonstrated the Economic Development section of the City’s Website.
The Commissioners thanked Fifield and Communications Coordinator Lee
Stoffel for their work.
V. Reports and Information
A. The Confluence
Hinzman described that outdoor site and exterior building activities will begin
in May. Also, financing remains in place for the project; however, the project
may not meet the December 2020 requirement for substantial completion due to
the COVID-19 Pandemic.
B. Downtown Property Utilization Study
Hinzman indicated that staff met via Zoom with the consultant Cunningham
Group and the study results would be presented at a future meeting.
C. Commercial Vacancy
Hinzman discussed various openings and closings of businesses in the City.
D. Development Update
Hinzman updated the Commission of the two senior housing projects and the
annexation for single family development.
VI. Adjourn
Commissioner Vaughan motioned to adjourn the meeting at 7:19 p.m., seconded by
Commissioner Sinclair.
Next Meeting: May 14, 2020
Respectively Submitted:
Erica Henderson
Deputy City Clerk