for e anybody hear from e 10:15 2024 Eda is now in session we have a special guest today we're going to bring them on our side of the fence for bonding bills and 101 stuff but we're going to get to that soon we have to approve a approval of agenda I make a motion I'll second all in favor I I all opposed consent agenda approval of minutes of 17th 2024 September I'll make a motion second let somebody else do some work hi hi I open Forum 3 minutes anybody here want to talk to us in open form is that what he is here for today or is he here for his section for his section okay anybody anybody at home online no nobody moving on Old business old of office for Dave Anderson Eda member current let's give him the oath of office and uh do this on film how do we you s right there we're going front and center you better get from the other side oh I'll getting the P thank you hi David Anderson hi David Anderson duly and solemnly swear to affirm do and solemnly swear to affirm that I will support the Constitution of the United States I will support the Constitution of the United States and the constitution of the state of Minnesota and the constitution of the state of Minnesota and that I will discharge Faithfully my duties of office I'll discharge Faithfully my duties of the office for the city of Dayton for the city of Dayton as an Eda commissioner as an Eda commissioner in the counties of hanapin in the counties of henpen right right the state of Minnesota the state of Minnesota according to the law to the best of my judgment and ability according to the law to the best of my judgment and ability thank you sir now you're in I'm officially officially and sign this one I believe this one is you Dave all right now you're a bigger wheel there we go that is uh this if you want that's your here you want the seal the seal one I want the seal one so I can frame that with my T you can stop okay you go cool thank you thank you all right better I like run for office you move I to move yeah there is that section six new business we're going to start with resolution a resolution 124 amending bylaws Eda bylaws we have an amendment to attach to this and we need some legal jargon attach to it as well that the Eda and its Commissioners or its chair will have the excused versus unexcused absence in our three strike law thing that was always in there but now is no longer in there but we want it back in there how do we how do we say that thank you commissioner so you will um just make a an amendment so you are approving the resolution and the bylaws with an amendment to add back in that linkage okay looking for a motion I'll make a motion I'll second this again is to make sure that we have our excuse absences call call the chair call admin so your motion will be my motion the motion will be can unexcused right as long as it's an excused it's not no no strike against you correct that's what you agree with that yeah yeah okay we got a motion in a second all in favor I all opposed motion carries think just so that I'm clear the language that's being added is what's highlighted on the screen in in the p uh let's see just ABS commission is the executive director you drive yes okay Council that look good to you yeah that's fine legal council yeah that's good thanks okay you're good too yeah I'm good all right so we still carry right motion's passed yep yes discussion bonding Bill do we need to talk to John first or do we need to have her you so she can connect up to it we have John behind the podium today because you know when you're when you're kind of one of us trying to get a solution Sol we we're up here you're up here you're up here I like being up here feels pretty good maybe I should move to Dayton what do you think run for office I'm kidding do that um I mean part of the part of the question um uh gentleman and um man honorary uh lawyer counselor um the uh in front of you in in the in your handouts there is the PowerPoint that uh is available that's going to be up there and what it what your chair had asked me to do was to just put together bonding 101 basically it's like what what is bonding what does it mean for bonding in the state of Minnesota and so I I highlighted that but I also have in there some links to you if you want to get deep in the Weeds on the the very last page there's uh we had uh nonpartisan Council research put together two briefs that they had done the last couple years one is a PowerPoint the other one is a explanation and then there's a really good one that the Minnesota management and budget put together about you know what about bonding what happens after the post for bonding and so if you want I don't I can go you can go to the next slide if you want to do we need you before her or her before you um counselor I I don't have anything to add right now on this yeah I mean we can we can just uh we get going and if you want to if you see something cuz there is going to be a question on the table because it's the authority of the Eda the question was did the Eda have authority to do bonding and so I went to the Capital bonding person and said who has Authority on the Eda or who has Authority on bonding bills in the state of Minnesota and you know it's it's kind of like um many opinions out there what what makes it up and as you can see through the handout which I'll I'll go through uh in a couple minutes that it is absolutely across the board anybody you can think of but there's some cats and there's some caveats that fit into some statutory regulation and I put some notations on what stat drives at but basically what you're saying in a bonding Bill how many of you can get the weeds on a bonding Bill discussion in here nobody okay so I'll I'll keep it if it if it seems if it seems old holwood yes Salon if it seems old Hollywood Township grade school you know uh you know we uh let me know and I'll I'll I'll Jazz it up a little bit but basically bonding bills authorize the state uh to borrow money to pay for infrastructure projects right or construction projects like college buildings roads Bridges and and it comes through the sale of an obligation of bonds and um that eventually they need to be repaid there's some there's some caveats to when that needs to be repaid but but here's the thing that it takes a bonding Bill really takes um 60% vote of both the house and the Senate and and the way bonding bills work it's not just that the entity got the money but you need a chief author in the house and you need a chief author in the and both those bills need to follow parallel with one another and what's amazing about bonding in Minnesota is it's usually five to6 billion dollars in asks every time there's a bonding session so if you're a city or an entity that got a bonding bill you know already if you look at two years ago the bonding bill with cash was 2.6 billion 2.5 billion so it was about half of what the need was that was established out there next slide um and as you go to the next Slide John you one of these yeah okay uh as you go to the next slide prior to that it takes 60% so 60% meaning you need 41 Senators out of 67 to want to do that right um and and what it does is is it then says to the state of Minnesota you're authorized to take the debt to finance this project or the projects that are listed in the bonding Bill and then those bonds are sold and again you know that's going to be a projection of over many years 10 years um there are some fiscal responsibilities regarding how do you cap that Bond how much can you Bond the state the one thing about Minnesota is when they go and borrow the money it's basically uh at 0.001% interest it's because our bond rating is so high the state of Minnesota so it's made sense the last couple of years to plus if you look at your for example our our minsu systems you know the ones that were built in the late 60s and70s buildings are actually falling apart the heaper systems are always coming up every year or there's new building requests or there's old building request or for the example the city of Dayton and I um there was uh five projects that were requested in the last couple of years in bonding and I can't believe it or not that you know two years ago we got $1.75 million for a a well hat I think that was the first time the city of Dayton actually got a uh a bonding Bill other than the the um interchange on '94 which was quite a snafu which was quite a snafu is that would you call it a snafu I did you call it a snafu I like that word we're on film I can't swear you really does Tim ever swear in your scy no no okay that's good I'm good because I'd call your wife and tell you know but if you look at the numbers it's a numbers game members and and it's really about getting a bipartisan support if you really want something to pass and and for example Danny Nido is a republican I'm a Democrat so what Danny um had the had the bill over in the house I had the bill over in the Senate and we actually ushered that through to the end where it got added in both the Senate and the and the house uh provisions on that and end of the day um in connection the city in connection with what uh I think Dean Phillips did and some other things the city investment it helped put that Wellhead over the top there's a deep need over in this part of the uh of the Senate District and I just inherited the Senate District two years ago so it's kind of nice to get back here when I was on the school board um I would come here and give updates on the school district because uh Dayton has two had 2,000 people in the city of Dayton that actually were the an no Canan School District so why do I remember that I don't know that's 20 years ago so if you look look at it's basically a numbers game as we go to the next slide uh John and then you can go on to the next one after that and because of the the fact that if you look at that the it was 2.58 billion I was close 2.6 right that came at the end of the session which typically happens with bonding because you're always they're putting this thing together again you got $5 billion wor a request and um two years ago it finally came together when there was uh $300 million that we took in cash now bonding you have cash part and you have the bonding part of it right if there's cash in the bank uh you can you can get that cash uh versus a bonding and some people will say well then we should always just go with cash instead of bonding that's kind of the debate why it gets all um you know spread out over the whole year because people are are saying well no we should not Bond and there are some legislators to this day I can name a handful of them that just absolutely will not vote for a bonding Bill based on that piece they don't like to borrow money so in this case the $300 million that was added at the end we have a nursing home problem Minnesota has the most people 65 and older more so than you have in the K12 education system it's the first time in history there's 850,000 kids in the K12 system and that's been static for years right last year we saw 1.1 or 1.3 million people 65 and older and you say well what does that mean well two things happen there's a need for home and commun based Home and Community Based Services right because people want to age in place but there's also there's a Medicaid mandate and there's 15 Medicaid mandates that each state must assure and one of those is a nursing home right and people want to go they they get a right to go to a nursing home at the end of you know their life when they're when they're living however nursing homes were struggling with um staff there are 53,000 job openings in the caregiver bucket in the state of Minnesota and that's everything from PCA all the way to nurses and a in a large amount of those were in nursing homes so they were struggling to help incentivize or get people to to come to the nursing homes when in fact here's what's happening though if you look at it those people receiving Services Home and Community Based Services from the state of Minnesota 90% of them want to receive those services in their home they don't necessarily need or want to go to nursing but a nursing home care is a needed mandate that Medicaid says states must do the other one is hospitalization that's a mandated service too so at the end we held um on and got an extra 300 Millions to Aid those struggling nursing homes and it was the first time in the history of Minnesota there was $3.25 billion do that was invested in human services and that's basically to address that Workforce shortage plus it was to align some of the waivers that needed some work done and in this case the the nursing homes it's still not fixed it stabilized it a little bit but it wasn't fixed we used cash Tim to do that so let's go to what was financed so cuz the question that you you threw to me was you know what gets financed so if you look at that that $2 billion everything from the Minnesota Zoo to Transportation projects to go to the next slide rapid TR Transit and then you go to the next slide it's new state eer operations center the DNR threw in you know $247 million for Parks Trails boat docks and building upgrades DNR Mississippi River so as the Eda is considering what what do we can or can do can or cannot do right what is it that our needs are in the community and how does that do uh you can go to the next one so I just wanted to show you what was funded shows you that there's just a whole plethora of things that get funded the last notation and their Hills ice rinks theaters playgrounds museums sports centers wellness centers and more and the list of more is there but those were all identified that a community did and they made it across the finish line so go to the next one um and you can see those two shots really it talks about that infrastructure need Bridge you think about Bridge upgrades or water treatment plants right but you also look at art centers emergency centers there was even a curling club that had gotten cash cash in the past right and a cash on the cash bonding if it's separate than the bonding bonding bill you don't need 60% you do it with a simple majority and sometimes you see the first year being a bonding Bill the second year being the cash one so let's go to the next one I know you you only gave me five minutes but I'm sorry that just goes again on what needs the votes that needed to do it um the dynamic really um comes from lawmakers delivering projects for their home communities right at the end of the day um it's like David Thomason who was a senator from Chisum used to say to me at the end of the day hoop and what matters is what you deliver for your community in my handouts there's two yearly updates one from 2023 and one from 2024 and um there's a list in there of those projects that were part of the work that I had done the last two years and of course you might recognize one of them the city of Dayton in there city of Champlain you know Brooklyn Park it's all about that piece and that's what they want to do John you go to the next slide so so the real question is what about us right um and and that says there's a Minnesota statute 46991 and that should pop up on the screen pretty soon that says how you were established right uh a City May it's permissive language right because not all cities have an Eda this city happens to have an Eda there are some neighboring cities that do not have an Eda and so questions of bonding or questions of bills are actually run through there however you know um you guys have attorneys that are smarter than any of us in this room who could probably figure out how you interact with the role of the city's Authority versus The eda's Authority because if you go to the next slide um subdivision two says this an economic development Authority is a public body a political subdivision of the state right now just keep that highlight that piece the rest of it's Su or not sued everybody can get sued or not sued but um your Authority is not immune from liability because of this that's another legal thing but I really wanted to highlight that you are considered a political subdivision of the state and you are a public body is that correct um counselor yeah thank you I got a yes from a lawyer so um in that case you you exist you have a right to to uh go into a bonding request right now how you interact between the city council how the city council sees that role that's something you know you all have to debate but you have authority um to actually put together some bonding proposals and to look at that right according to what I know here's the thing that I asked Senator Sandy papis on the next Slide John is you know um Economic Development author Authority does qualify and and what I mean by qualify is when we give bonding or we give direct Appropriations we can do direct Appropriations to those entities that qualify you see a lot of places that get some bonding that have to go through a different doorway and the different doorway is it's got to be managed by somebody else right but what I really think it's kind of interesting about 4691 is look at this you you clear and redevelop blighted areas you perform a duties on a comprehensive plan and you are actually adequate safe and sanitary buildings in order to protect the health safety and Welfare of the citizens of the state right that's your duties is that correct Madam counselor I'm getting a yes in there so know on the next slide is really it talks about limited powers and so you know I don't know what limited powers are it's a question I think and Scott this actually goes to how's the interaction between you know the Eda Authority um and and the you know the city council's Authority the Eda Authority that's not my my debate my thing is you guys has have have an has an agency or have authority to go ahead and and uh and request or look at bonding bills right how the interaction occurs that's that that has to happen that's why you have a counselor that's why you have people on this board that go dance between both of them right but that um The Authority must not exercise any powers without the prior approval of the city council I don't know what that means but it is a statutory reference and so that's just that's why I threw the question Parts on there right next Slide John and that's why our council's here today and that's why your council's here today to really kind of get into that you know piece of it there's some links if if uh members of the committee those links are in depth I mean I could spend the next four hours going through especially that last I'm you got four minutes I know especially that that last one um really gets into this the debt management capital projects it really discussions about after the bonding bill it really gets you in the weeds for anybody that wants to really do that kind of conversation it's there next slide um new business that was the last one um oh that's that's Tim's okay sorry yeah no that's my last one for you guys so I mean it was a quick highlevel overview it's really simple it takes uh kind of takes a village it needs 60% to get something done Tim so I kind of think the information is better today than on most regular meetings would would you mind me asking a question no go ahead I find this very interesting so in in explain B bonding bonding basically allows whatever entity to borrow money which they have to pay back however that is often at very low not Zer zero interest where does that money then generated from the state taxes no they borrow they the tomorrow's bonded they're projecting the bond but there's nothing out of the general fund uh unless it's a cash if there's a cash or a general operating obligation on that day then then it's coming out of the general so the state will borrow money let's just say from Wells Faro just for an example and let's say have a billion dollar bonding bill they borrow a billion dollars they pay the current rate and then borrow and then allow entities like Dayton to borrow that at zero interest so the state picks up the difference in the interest no the interest is at 01 so these private entities um borrow that money to the state no it's actually it's granted the money is granted through a bond through the bond from the state of Minnesota to The Entity that gets it you don't have to pay any of the the interest on that David that's that's BL obliged by the state of Minnesota does that make sense no yeah well it doesn't make sense for me either but if you want Health and Human Serv just questioning who who pays the difference between let's say the interest rate Dayton would pay a bond and the person or the entity borrowing the money I guess I don't understand it's got to come out of the state Coffer you would think it's coming out of the state the state the state obliges that that money and the state obliges to pay that bond interest back over that 10-year period Dave so so it so it does come out of tax tax oh I get your question yeah I I suppose one would argue that you know your property tax your whatever taxes that are going and there some somebody's picking up that that interest rate out of it right but it doesn't here's the thing that's interesting you rais that um when we're having discussions about bonding versus appropriated funding I never see that bonding affect any the appropriated funding like the department of humans it's a completely separate animal and looking at the uh record of success for our district I see things in there like Anoka County trunk Highway 65 improvements would that be let's say they didn't want to make improvements to 12 mhm isn't that a county responsibility could be I mean there's a trunk Highway like an example this is where it's going to be nice to have Sandy papis you know there's always a bate about debate about who's got the responsibility versus a trunk highway or if it's a county road right and uh and sometimes you see a mix of that funding that goes in there in this case that's a a there was a combination of bonding and transportation dollars that were sitting out there and then you get into you know how is that Transportation money how is it affected right in there and there's a so uh there's a mix in that one brass tax it's always us paying the bill yeah oh bottom line yeah so if that answers your question it it does I mean regardless where it comes from we're paying the bill correct we're always paying the bill always paying the bill so everybody says uh just a matter who gets what we get taxes versus local taxes I tell everybody it's at a different rate we pay a higher rate local than we do state because everybody's paying the state one we're only one to pay in the Daton one that's a good that's a good I should so it's it's a rate function we're always paying we're always paying next item Dave did I answer your question else have more questions John uh one one other question John uh yeah Mississippi Crossing everything had happened over in chaning that was there's a lot of bonding that was involved in that correct yeah it was the first time again the city the first time in the history of champlin and it started with the dam and it was this need for the dam and we were up against a brick wall there I was the chief author in the Senate Mark ugland was the chief author of the house and and it was the first time the city of Champlain ever got any bonding money and then from there it went and there was a mixture there's the legislative citizens Commission on Minnesota resources there that's money that's set aside through tax gambling you know profits that go into a bucket and um Champlain was able to clean out the mil pond with money from there plus on top of that we gave another 3 billion in bonding and then on top of that I did another bill and I think Dan no um Zach Stevenson was in the house at the time that whole building that $3.6 million that was my bill in the Senate and so um which you didn't get credit for if I remember right that is correct I wasn't even invited to the ribbon cutting on that the ribbon cutting it's kind of like my first you can't write that you can't make that up well if you give me if you give d 3.6 for uh 1.74 I had to get invited from him I invited you to the river cutting I invited the Eda it's like yeah but yeah no Scott that that was um but it took a took a lot of conversations you know Todd tumin and who was the engineer for the city as soon as he got his uh he's now retired um when when he uh got into it on why the water why it was time to really do it that water was clean it made a difference and yeah that um so it's kind of nice to see that's a regional and in this case the argument was how is Mississippi Crossings a regional um effect because that was always a question that pops from the chair of the bonding committee to a chief author and I of course 169 is one of the most traveled roads which leads into 10 which is you know 90,000 cars day there's only two of them and there's people that's the Gateway I kept calling it The Gateway to the north the people were you know joking about that but it was so John if we were to uh rattle this cage yeah yeah and say we need some cash funding for certain projects how do we start uh we start with an idea Scott you everybody on this committee start with an idea right that that and we'll take a look at that idea how much is that idea who submits it um well in this case anybody can submit it John could submit it to me just give me a this is my idea I mean the city of champlin it was his an idea um then my staff went to the revisers and we had had uh the put into Bill language and then I signed off on the yellow jackets went and got signatures on it submitted will we need Danny on this too Danny do oh absolutely you need two to play on this one and and Danny um absolutely if uh you know if he wins the reelection here in U November then he's the one if not his opponent is the you know the person but other way you need a House member and a senate member so it's kind of nice to have that balance that goes in there so yeah you guys can come up with an idea John can email me um whatever space shuttle man can we do that oh my God yeah that'll make the front page of the St what do you think space shuttle dat gets a space shutle actually said that wants us to build a space shle we'll trve might not fly very well but we'll try thanks thank you thank you very much very nice presentation thanks John do you want do you want to hang for the rest of it or you going to bounce yeah I got to bounce in a couple minutes so I'll just sneak out as you guys are doing your things all right uh moving to section c of new business recommendations of support for State's manufacturing applications to deed an MF and jcf funding program would you like to come up here certainly we'll build a space shell together God that's funny we'll try we'll try I have these that line before do you have the plans the Elon mus plans yeah no he's a little out there so a little good morning everyone for your for the record State all your goods uh I am Wyatt schal better CEO at States Manufacturing we're a electrical power distribution company that is currently located over in Champlin so thanks for having me this morning uh John what was it about two weeks ago that we met um met for the first time so you got a presentation up there for me uh one page of it so one page this is it awesome uh is is anyone here familiar with what uh the Minnesota investment fund or the job creation fund is would you like to talk about it oh I don't ever ask a politician to talk I know I know well I thought he was going to give a presentation for me um so uh a little bit about States real quick like we are uh so we're in manufacturer I'm actually fourth generation family owner in the business my great-grandfather started States in Minneapolis in 1922 we actually celebrated what we thought was our 100y year anniversary this uh this spring in June turns out it was 102 years old we found out because we were cleaning my grandfather who's 96 years old still alive out of his uh house in Plymouth and when we were cleaning out his home home office as he was moving in we found a letter he had written that he had forgotten he had written um but it established that states is was founded in 1922 so 102y old uh fourth generation familyowned business in in uh Minnesota here so we are we are a very unique entity entity in that not many companies make it to fourth generation not many companies make it to 102 years old uh two years ago in 2022 we moved from Golden Valley to Champlain when we moved from Golden Valley to Champlain we had 62 employees we employ 127 people in Champlain today so we are one of Champlain's largest employers today um I haven't gotten the latest report from them but uh in one year we became a top 10 employer in Champlain uh our business has obviously grown quite substantially yeah good day to be here right let's move that to Dayton yeah well we uh we actually are not going to completely move to Dayton because this expansion is not about moving the business it's about expanding the business because the power uh the power grid in the US has been significantly underinvested in for uh 25 years if you look at the you look at the Investments That utilities the IUS in the country have done for 25 years it's been very small it's been anywhere from 3 to 5% a year that a utility has actually invested in the grid and what's happened with Co why our business has expanded so significantly is a lot of it was offshor as well so a lot of manufacturing a lot of utilities a lot of the power distribution products Transformers switch gear Breakers was mov moved to uh Mexico it was moved to Korea it was moved to China and a lot of it's done in Europe we've invested heavily here in Minnesota we've invested in Champlain so we went from around 56,000 sare ft in Golden Valley to 95,000 square ft in Champlain we filled our building up in a year and a half uh we are actually looking to take 40,000 square ft in Champlain and the rest of the building that we're in there as well as 53,000 Square ft in the cubes which is the vet building uh just out daa 881 and uh Dayton Parkway there as you can imagine uh a 500,000 ft expansion of our business requires significant investment so we are looking at spending around $23.5 million on the facility and what we've done is we've gone to deed and put in an application with the uh MF and the jcf for funding to facilitate that investment in capex spending and modification of that facility so we're a completely vertically integrated manufacturer we do everything from the sheet Metal Manufacturing the cutting the forming the painting any of the welding that needs to be done up to the assembly and wiring of the large scale scale power distribution uh equipment that we make so there's two components that we're looking at today we're looking for a partnership because that's what's required as part of the deed programming um that Dayton would have to sign up to administer the funds for the myth and the jcf so two components to it 1.45 million for the myth and 1.35 million for the jcf there's also some additional uh programs out there that I I believe are more on job creation side too so that could be an additional component to what we're looking for the city of Dayton's assistance with uh the expansion here so expansion will bring how many jobs to this city uh when we're up to full scale we would see around 350 to 400 jobs for the city so if you look at the facility it was uh tailor built I think to a uh Distribution Center as you can imagine as a Manufacturing Company going in there we'll have quite a quite a few more more jobs than what a distribution center how would you feel about a Spur uh don't need one today and the reason uh you got to ask the question John John asked the question as well uh part of what we build is utility substation buildings so they're very uh large they could be anywhere from 24 ft wide to 85 ft long they don't fit on a rail car so that's a a core component of what our business is and it's usually specialty Trucking that has to move those but King Solutions like that one they they will would they would so a mil you know the cube is kind a lot of space it is and you're going to bring 400 jobs to this city yep low medium high pay tech jobs so our production floor is a union production floor uh so very highp paying production floor jobs and then we today in our 127 we staff uh 22 electrical mechanical engineers uh very very large uh facet of project managers and uh sales folks as well our average wage right now is $60 an hour when you factor in sales project management top level leadership in the production floor is cubes going going to be big enough for you if I think half is gone isn't it no no oh it's completely V so we are looking at taking half the building you taking half and we actually have a rofer on the other half as well it would be the idea is what we'd look for yeah that work then You' have to pull out a Champlin all together um you know that's a long-term question so Ste in here do you mind what does does Champlain uh did they slight you at one point or no no no not at all daily basis daily basis I like you know I like Champlin it it was interesting when we looked at moving from Golden Valley to the uh to the Northwest uh suburbs here I live in Maple Grove 75% of our Workforce ended up with a shorter drive and it wasn't anything we proactively did we actually we looked at it on the back end and we we kind of felt that we knew roughly where everyone was at and so when we mapped it out after deciding on the Champlin building it was pretty unique to see 75% of the people have was up yeah company miror up shorter Drive yeah yep very much so be shorter now if you're over here it it uh it could be um we have one individual that lives uh 225 yards from our uh from our building he uh he still drives to work every day so we give him a hard time for that but so you build these facility or these kind of like prefab buildings almost that what it sounds like and then you ship them on trucks yep so that's one core component of our bus so the power distribution Market we have 26 UL files so we can build anything from a small little Junction Bo up to 38 KV so 38,000 volt switch gear used in utility substations and everything in between so heavy power heavy industrial data centers utilities that's our core Market healthc care uh most schools in Minnesota North Dakota Iowa uh South Dakota have uh have backup generation system so we build the power distribution that handles an emergency generator utility inti so that if there's an outage or storm abatement it's uh usually our equipment there that's facilitating the transfer of power between sources defin are they store it inside before you ship or we going outside uh the building's large enough that it should facilitate everything staying inside okay good question no doubt a uh tour of the facility for the Eda yep absolutely and uh I think we talked John we'd welcome anyone that wants to come see our current facility U more than welcome to come down to see Champlain and what we do there really it's going to be it's going to be an expansion our our capabilities it's not uh not about moving it that was part of our discussions with Champlain we're not leaving Champlain we're looking to expand in Champlain as well well their Ed as cool as ours so let's uh have the question in front of us you were looking for us to support this and we have to facilitate it as an Eda for your business and is that a motion for us yeah so what it is so State's manufacturing is wanting to expand they can expand anywhere they want country MH because they're choosing to expand in Minnesota they're uh asking for a funding from the state so it's a forgivable loan and a grant um how this works through the state is the city is the administrator of the forgivable loan so the state gives up money the city gives it to States assuming they um meet certain goals for employment and wages correct and the City kind of oversees the the funding of it or ad ministers the funding of it yes even though it's the state's correct it's the state's you're the plan administrator per se with their their program no cost for the city to what's our fall back on this what do we what's what's if this go bad what's it for us um the state doesn't give us money we don't give it to the state okay so no no retribution on our our behalf correct so kind of a touch-free thing other than administering what's our Administration fees on this um it's our so we we don't it it's all a pass through yeah oh it was in there you get paid for it basically right okay then any other questions for no I mean I think it's a better use of the warehouse space than Warehouse so especially when it's not used at all right now yep okay I want to looking for a motion to uh Grant and approve I'll make a motion I'll second second second Dave seconds no one second all in favor I I all opposed motion carries congratulations thank you appreciate it um this will go to the city council on October 29th it's a special meeting so the council's required to hold a public hearing uh 7 a.m. so we'll be right and early why so early what's your time frame so we are looking at being operational in the building at the end of quarter uh q1 next year so when we moved to Champlain we started the renovations of that space so we had to demo out some office space and build out in uh June of 2022 and we were operational in September of 22 so we've been in there for uh just over two years at this point but we've done it before and it's an ambitious goal but that'll be our goal so well maybe we someday can talk in and moveing to complete operations here if uh if we do I will be happy to have that as uh something we have to do because that means we are successful beyond our wildest dreams that's a win win for everyone okay thank you thank you thank you okay uh John resolution 0224 approval of purchase of agreements of legal property P 36 121 2341 0021 3621 2341 0010 36 12123 41011 and 36121 2341 0012 sure so commission this is um the purchase agreement packet uh starting on page uh 28 uh this is for the the lent property that we spoke about a couple months ago um so Ryan lent is the son of David lent who is the property owner of record although he has been deceased now for two years um I spoke with him the other day he signed the purchase agreement um in your packet is the purchase agreement today I'm looking for approval of the the attached resolution uh key terms to the purchase agreement are purchasing 1.19 Acres the purchase price is $150,000 that was what we had talked about a couple meetings ago earnest money is $10,000 the contingency date is December 1st so that is the State essentially that the purchase agreement um the earnest money is no longer refundable the title analysis needs to be done within 30 days of the execution of the purchase agreement so hypothetically 30 days from today uh the 15th and closing date would be honor before the end of this year I need a few more documents from Ryan lent to confirm that he actually has the authority to sign the purchase agreement on behalf of the estate essentially um so that will have to go through one more signing mechanism um with him he knows that he's getting me those documents um and then assuming that the Eda approves this purchase agreement today I will move forward with ordering the phase one environmental study I didn't want to start spending that money until this was officially all locked up I do have the title commitment already I've taken a look at it there is not anything in the title that gives me concern I available for questions okay is this property vacant yes okay there's a a little Gage right but I mean there there's no residential housing on it's an interesting plot of land have you gone down and looked at it at all I thought I saw you down right right in downtown Dayton yeah it's um yeah there's a house there in the corner where you can see there yeah okay so you need from us the nod to go ahead with the other piece mhm yeah so what I'm looking for is an approval of resolution 02202 4 and that authorizes um myself actually you and John to do all of the actions necessary to effectuate the purchase agreement and then the next steps to get this to closing to determine whether all the kind of due diligence basically correct and then anything else that would be required for for closing AKA signing closing documents those kinds of things Scott you good with that yeah okay let's have a motion motion second I'll second all in favor I all opposed motion carries okay do your thing thank you does that clear up our D John clear up our what does that clear up our D yes discussion tax Forfeit of property P ID 31 1 12022 13 01 0 I I believe our Council are going to have a discussion on this one as well yes feel free you got to turn it up just a little bit for me okay sorry I'll try um so I feel like I'm yelling at you um okay you can't yell not that I'm not used to that already right um okay so this parcel is the up on your screen it's a about a nine a little over 9 acre parcel that is currently owned by the city of Dayton under a special use deed I am still working on getting the documents on this I have spoken with the county um a woman named am Amber who is in charge of their a forfeit property division essentially and uh the issue with with this property there's there's a few things going on um so we have a deed on this property that we got in 20 2012 um and that deed is uh has use restrictions on it so we can only use it for Transit Hub park and ride and there was one or two other items I have not seen this document this is what I've been told by and Amber I'm waiting to get a copy of it I'm sorry 2016 is when we got this deed the use restriction is on there for 30 years so we have 22 years left on this use restriction deed at the end of the 22 years the city just owns it outright with no restrictions on how they might use it uh the process to essentially where's the deed come from I mean the county the county did that yes so the county said this is what you can use it for period for 30 years correct so we do have one option or you know one fact to keep in mind is that we do have the ability to go back to the county and say we don't want to use it for a Transit Hub or park and ride or Transportation really at ated use we would like to use it for fill in the blank but it would need to be some other public use so I I I don't think this is a good um idea but something that John and I talked about was like I know you're looking for a fire station parcel not saying this is the right fit for that but you know it would need to be something that is a public use specifically um so that is one thing that we can do in terms of being able to to essentially buy it from them outright or just take straight ownership as the Eda or frankly as the city it doesn't matter um unfortunately there was a law that was passed this year that requires that if we were to say County take back we're going to give you back this deed that would trigger a requirement that they have to uh put it up for public action we have the ability to to bid at the public auction and purchase it but it would have to be it would have has to follow some very specific steps in the statute along with the related Department of Revenue guidance about that statute around how this would have to go down but essentially us and anybody else on the market could purchase the property at that uh at that auction um so they cannot I guess the the the issue is we cannot say we'd like to buy outright from you and of circumvent that public action process this is according to Amber um I've looked at the statute and I sort of agree um but I want to do a little bit more digging if that's something that the Eda wants me to spend more time on before I spend your money I wanted to make sure that it was okay for me to do additional digging on that um so I'll come back to that or get an answer to that question in one one second um but the the long and the short of it is if you do nothing for 22 years the property is the cities to do whatever they want with it if they want to try to find some way to make it um on the tax roles essentially now right to give it some sort of economic value now then the mechanism could be to give it back to the county to trigger this public action process knowing that we may not be we might not even choose to bid on it right the public we might just let the private Market try to pick up this this piece of property but my understanding from talking with John is that you already have a fair amount of parcels that are in private hands that have not been developed so you run the risk of you push it over to the private market and the private Market sits on it for another 15 years and in terms of creating any sort of economic benefit or growth to the city doesn't do anything then either um or you can look at asking uh kicking it back to the county and and then B planning to bid on it at the auction yourself right now this from the last estimated value that the county has for the property is from 2021 and that was $1.4 Million so you can assume something over that would be what they would be asking for at the auction or looking to get at the action um this slot took an effect this year yeah so before that we had C launch to it and we should have just purchased it then potentially yeah and so here's where this is going back to the use would have been the same though asking um for some for authorization to do a little bit of research according to Amber there is this window of years that the Department of Revenue the Minesota a Department of Revenue has identified as the time frame for which this particular statute triggers and this property is within 15 days of the start of that trigger so we um it forfeited September 13th 2012 and the trigger was August 31st 2012 so but I can't find anything that says that that's something that she's just told me my prelim research has not brought anything up but again I haven't spent a lot of time on it yet I'm assuming she's right I don't have any reason if you were to spend more time digging I would do more time spend more time digging to see if it if that's actually true in the Department of Revenue guidance I've taken a look at case law um a little bit of case law and there obviously this is a brand new statute so there isn't anything on this statute um but it's in a specific chapter that I've kind of looked around there isn't much to be said there is proba I don't have any reason to uh not believe what Amber is telling me at the same time we're all old enough to to know that trust but verify is always a good um plan of action so um and if it was that we would be able to circumvent the essentially waiting or the auction correct so like let's say that this had forfeited in July of 2022 then this would supposedly not be bound by that stat statute and so initially she thought that it wouldn't be a problem but then when she looked at the DAT of the forfeit that's when she said this will not work because of the date of the forfeit our first question is do you want to do some D do you want to spend some money digging to see if Amber is accurate how much time do you think it's going to take or how much of money um I would I would guess 3 hours our second conversation is had we acted upon this in the first place way back we wouldn't be in this position now so that's more of maybe maybe not I mean still had that uh that deadline date 30 years well that's that goes away so if we were to to assuming that this had been something that was done you know two years ago or a year ago or whatever um you could have kicked it back to the county and then just rebot it and you would have owned it free and clear with no use for in first position in first yeah yeah now now we're in any position a year ago you're saying according to what amber told me well I mean less than that because this this legislation was enacted this legislative cycle so August of this year Mr chair I think the DD Eda would like a better understanding of kind of what our options were and what our options now I don't have any issues with an attorney doing research on that like we do this for other items all the time I'm I'm still burnt on the fact that we had done this before we wouldn't be in the second position okay we not been dragging our feet for the last two years that's what I meant to say exactly well okay so we need some time to dig into it would you dig into it and we need a motion for that no no just then just trying to be respectful of spending money we don't we want to KN our heads I think the general idea is we want to buy it and flip it so okay so let let's talk about that you want to buy it and flip it um for because you want to because the goal is you want to try to make a little bit of money off of it or because you want control what's going to be developed there I would want to get it developed into something where there's some tax R coming back to the city out of the so if and the reason that I asked that question is if the goal is just to get it developed and you think that this has some sort of Demand right now like there are people who would like to put something there but can't because we own it then uh you can kick it back to the county and it will go up for auction and hypothetically that person you know could buy it I realiz there's a lot of ifs and and you know potential pitfalls on that but that would spend you would spend the least amount of money and the least amount of effort just kicking it back to the county and forcing them which forces them to put it up for public auction if you're hoping that you can flip it and make some money off of it that obviously is not a part of that equation um and so that that would require that you buy it but of course you have to buy it at a low enough price that you're able to flip it for something which I don't know if that's realistic given the public bid sit you know the public auction position that we're in all it really gives you is the power to decide who buys it if you do it the other way well and the one thing you keep in mind you own this you own this triangle piece right here so you own this little little over one acre piece that's right there so I assume um potentially whoever would be interested in this piece would also want that piece and so um from that perspective well this other piece said crosses the road and I think that's where the Dayton City sign is in that little corner there across the road yeah and maybe there you're going to have to redraw the line to get rid of I mean the one you probably to do a swap for that so you could take that triangle and you and there would obviously the other triangle above is larger piece of property it's worth more just looking at it etc etc but so potentially you still have the ability to negotiate with a developer from the perspective of you have something you have that corner piece that they may want and and so that would be how you could potentially um have some influence in the development that happens there um but again those are things that are not sure thing you know there there's a lot of ifs and a lot of pieces have to fall in place for that to work so if if the eda's goal is just say like manufacturing you guys would like a manufacturer to be located there the easiest way to do is just Zone it for manufacturing you right now it's manufacturing or warehousing um that's the simplest way and the most cost efficient you try to make a profit on it then it's buying it from henan County and then playing given the new law it's a whole different thing now it's a it's a way different thing totally way different so right now the cost of doing nothing is zero I mean we we've got we can do nothing for 29 more 2031 yeah you 2 22 more years on the another mistake DT's made another another mistake I'm going to suggest or can we can we do a close s like I think we need to talk about this in much more go in depth and more detail I don't know if close we can't close until he gives prior notice to it we can't close that's what I'm saying we do a separate not today but at some other time but I think this in itself is an entire meeting going through options yeah to consider purchase is what it would be yeah yeah say again oh John give me a look like what would we be using a close session for and the close session would be to consider uh selling purchasing property in this case consider selling it essentially selling it back to the county it's for free but yeah that would be the I'm just throwing that out there as an idea I think there's a lot to talk about more than what we can talk about in 10 minutes okay well I mean in primary thing is what's the objective exactly that's something that we need to discuss obviously there's some people that have a knowledge of what they think the objective is but I to me if the objective is let's make sure that that gets developed into something that creates a significant tax base that's either a technology or manufacturing type business not a warehouse that can be accomplished by zoning so I mean maybe that's we need to go into a closed session and talk about what is the real objective of what we want to do here because it doesn't sound like the objective is to turn it into a public use I don't know if we close SE with talking about strategy so the the close session you'll have to correct me is specifically about purchasing purchasing or selling land correct not not Z not the objectives well well I mean maybe we have that that could be open session it it yes I and you can talk I mean the concept of the closed session and I don't know has to necessarily be closed or open I don't know if there's anything necessarily that has to be secretive about thinking about what you might like to do with this parcel technically you do own it right now you do nothing for 20 years you own it with no restrictions the city does um so that those are true statements you can talk about what you might like to do with it the close session um would be do you want to sell it and in this case it would be selling it back to the county for free and part of that that analysis would be what would be the reason to do so do we know if there's any use restriction on that little triangle that you said well so that triangle that whole thing there is regional storm water pond so that that is not moving you're talking about the darker green area there is that a little corner up in the on the right hand corner did you see the pond but it's also part of the land you're talking about but it's a pond so nothing's happening with it it's staying there nothing will but you're saying the little piece right there where your cursor just is this is also being developed or dug right currently for storm water Pond that serves the hus project across Okay so the city owns that it's a storm water Pond and nothing else is going to what my concern was is like is there some kind of use restriction on that that but you're saying well the use restriction is it's a pond right here yes is there more capacity in that stormw water Pond potentially for this site I believe so I'm not 100% certain but I believe so so that's another chip that you would have then is that's where they would put their storm water yeah other than storm water maybe for for the existing site some's going to buy storm water at retail rate yeah so no but if they can buy if someone buys that land and they know that they have capacity to put storm water a selling point we have land Brokers on the cuff ready to make that happen and now with this current law it's certainly Kaiser so is our input yeah no I don't disagree I'm just I think that's a benefit that was pointed out is that that could if it has the capacity be a selling point to whoever wants to buy that who whoever the the potential buyer might be I don't think we should flip back to the county at all anything I say it take an nap for 20 years and then let it become ours but we we really need right what's that just out of principal just but I think we should do some digging mhm the agonizing uh effect here is it's okay for the county to make money on it but it's not okay for the GDA to make money on it yeah the the statute was surprising when she was talking to me about it I was pulling it up and I thought this is a I don't understand the the Genesis for why they yeah wrote that this year I don't have that answer and I'm not going to waste time trying to make answer that prob Impressions they made on the ones that they got Su at state level but then all cities are doing except us yeah okay making sense we all got the handle on this I by you I I I would invest another 5 six 700 bucks to go and dig it a little further just we can can we address like set aside more time at the next meeting so we can discuss this doesn't necessarily need to be open or closed we just I just feel like we need there's a well we need her data first right get her data next next month we can put on the agenda well okay yeah okay we need to move on now we ready what are we 835 recommendation for adopt an affordable life cycle goals for the 2021 or 30 decade what's what's a life cycle goals life cycle goals so knew this yesterday I forgot it over overnight so um this is through the the Metropolitan Council uh administers What's called the uh liable communities act so it's a grant dollars that's provided to cities that participate in the LCA program in order to participate those cities have to adopt affordable housing unit goals for affordable housing life cycle unit within a 10year time frame so this is 2021 through 2030 uh the numbers that are shown on here were um assigned to Dayton old I'm going to say 10 years ago or longer ago uh so the goal here is affordable housing for 183 to 330 units by the year 2030 and life cycle units meaning um units that are uh have a a variety of uh I'm going to use use the term density because that's how the the definition I remember seeing at the M Council of eight units an Acres so an example would be to an apartment building at 8 units uh so once again is to have uh I'm going to call it zoning that would allow affordable housing and life cycle housing to take place it's not necessarily building these it's creating the environment where this type of development can occur we're already doing that currently um we're just not saying that we're doing it so you know for example the Southwest plus Corner Dayton where that is guided for mixed use development at it's either 12 units an acre or 15 units an acre eda's reviewed a couple of uh concept plans for that those two projects are going forward so again the intent here is the city saying yes we are committed to providing an environment for affordable housing and life cycle housing um if we don't meet these goals there's nothing there's no consequences to it um if we're participation participating in the LCA communities we qualify for uh grants from the Met Council um in uh this past September the Met Council provided a million dollars in Grants to seven different communities one of these that I'm highlighting is in Blaine where the Blaine was given $56,000 um although they requested quite a bit more to do an assessment for uh manufactur homes that should be replaced this kind of doesn't sound like Eda territory um well it is because you have the authority for H well H Eda serves as H right so this is an H program no I mean it seems like you're getting I mean at least based on what they did in 24 is very little money and the question is how many how do those goals how do the life cycle goals that we would support compared to what's in the current plan so to speak because you say we're doing it we're doing it conceptually but are we doing it to the level that they want no because I I know met councils always pushing for way more than what we're sure the market demand up to this point has been single family and town home so like we're you know in single family as in you know High higher end homes um that's the market domain that's what we're building so we're at least my opinion we're not as a community we're not mature enough where we're hitting a market for affordable housing or lower in housing like we've got to we need more population to get there and more services to get there when I say Services um you know such as like retail you know there's I don't know how you can live in Dayton without a car if you want to go to the grocery store it's 10 miles away so what's our Kung Fu today what are we doing um this is a recommendation to participate in the livable community act a recommendation from uh to the council so this ultimately the council has to oh so it's Eda recommending to the council to adopt it I no interest this is trip tonight and I wouldn't touch this with 10 foot pull no motion or denied for me yeah guys doesn't feel like much benefit for the poal risk but there's nobody here with interested at unless you guys want to change my opinion no good to go I'm moving on need a motion or a motion I'll make a motion I'll make a motion to deny motion to deny I'll second second all in favor I I all opposed motion can go away we're good staff updates uh so projects are currently at on the pipe I uh so State's manufacturing it as the Eda is now aware uh the states is requesting to deed right I'm going to say one forgivable loan one Grant uh this will go to the city council on October 29th at a special council meeting uh second item Dayton Creek Edition so the Eda had reviewed this I believe at the past uh most previous meeting um Dayton Creek is in Southwest Dayton on uh Dayton Parkway in Brockton uh they're proposing the pl out lots for future apartments and Commercial um theum that this is passed still they are outlaws and so the developer would sell an outlaw to somebody else and then that person would replant those Outlaws for whatever the specific use is going to be then we have a Parkway neighborhood um a little similar so Parkway uh will be going through preliminary plan approval in November uh their first phase is 180 unit apartment building um they will have probably about 10 years worth of development and that will be all apartment building buildings there's one commercial corner where it's likely it'll be a gas station where's the parkway neighborhood oh the other side that 56 acre piece I think it's 56 I think I know where it's so here's States Manufacturing in cubes uh Dayton Creek Edition in the very uh southwest corner and then Parkway neighborhood is next to it uh the parkway neighborhood will also be asking for public assistance um I've got to dig in that a little bit so I think I don't know if that would come to the Eda or not if if it would only go to the city council so I think that's probably going to occur in November as well so they're both south of so this is Interstate 94 and then Dayton Parkway through here so that's your developments um Morris letherman survey J yes um so this was presented to the council uh this past Tuesday last week uh so it it's a scientific survey it was a phone survey of 400 residents um I believe the average response time was about 14 minutes on the phone um I picked out one slide here uh that was probably the most helpful as far as um is there too much development about right or too little so uh the green is kind of what what is the market demand for the residents that are responding and and I'm just kind of going in order here where we have uh job producing businesses affordable housing one level Association maintained housing Assisted Living starter homes um it'll say service and Retail and restaurants that's what the biggest the biggest demand is yeah or want from residents correct well that's that's a no-brainer it's been that way for a long time yep so this there were I can't remember how many questions there's over 100 questions um so this is available on the city's website it's being pushed out on Facebook uh there's kind of three things to look at so one is the actual report itself which is uh quite lengthy there's a PowerPoint presentation which is this you know one slide that kind of ties the two together and then for anyone that would like to listen to the Pres presentation uh there's a link to the uh what was that the October the last October meeting I can't think of what the date was um but uh Morris letherman or Peter Le letherman did an excellent job kind of presenting it and putting in in context of where Dayton's results were in comparison to a lot of similar cities that are in a similar situation to user October 8th city council meeting okay master plan open house moving forward um yep so this is not a short day um so tonight is the open house for the master plan uh this will be at the activity center in the village uh from 6:30 to probably 730 or 8 or so um we held another open house and I want to say it was October November of last year um to kind of gather information from the residents that are within the the one square mile area and now this is a presentation to those residents again okay um so after this it will go to the Eda at a future meeting as well as the Planning Commission the park commission and the city council everybody gets in on it yes good there I'm good approval of development District number November 19th yes so in announcements what uh you am Manon could probably do this better than I can as far as adopting a district or development District uh so Commission on uh the November 19th meeting there will be a resolution uh for your approval that is um something that is required under the Eda statutes and it is recognizing what your development district is so your Authority is to buy and sell property as you as you want to but it must be property that is in an identified development District your original documents that you've approved did not identify a development District what's coming before you on the on November 19th we have to notice it for a public meeting and a public hearing and do some things like that which is why it's not on this meeting but essentially um I made it the entire city so if it's in the city border with you know within the city it's part of the development district and so basically that needs to get passed before we close on the lent property that's it and it wasn't in there the first time I'm sorry the verbiage was not in there we adopted it and the verbiage wasn't in there no when you uh adopted your bylaws and all of your legal documents you did not identify a development District where to go we was never there it was it never existed okay so what she saying you got to identify the area in which you're going to my why didn't we have it in the first place yeah well probably we just spent another attorney to go through all this because no attorney told us that we needed to have it why that might be the case and for the record it didn't take me long it was a quick thing it's it's a short resolution for for the record again I'd like to know how many days we missed on the triangle did we miss by month or a year look like a month for when that law becomes inactive sorry say that again this new law this new law so the new law so the the date well if you're asking about this the the the trigger date the um property was forfeited on September 13th and the trigger date was August 31st I mean that happened years ago right that happened in 2012 or 2016 whatever it was um the law that just was enacted was enacted when the at the end of this legislative cycle so I think those take play they trigger um well this one would have started like August 1st two months three months so month and 13 days it looks like August 1st was when I think that was when this was I didn't look down to see what it's effective date was I'm assuming it was at the end August 1st July 31st report back let us know what you find I will thank you I have one quick question on the development area that the resolution for that yes is that is it fairly normal for a city to are an Eda to identify the entire city I'm most wondering what kind of feedback we might get on the public uh hearing I have never you know what are people going to be like why is it the entire city no I have never not put it as the entire city because you just don't know where economic development is going to happen well it makes sense I just was curious you were about some Fallout huh you were about some Fallout no no I was just as a as people you know citizens and you say well the Eda is looking at the entire city for development their minds go to places like I'm in in my neighborhood they're not going to develop in my neighborhood and that's not the intent at all no you could see drawing goofy conclusions and that's what I was wondering well the other the other reason why I do the entire city is it has to be contiguous so it isn't like I you can spot it right so so in that regard there's really not a mechanism other than identifying the entire city okay yeah under the statute that's the rule in the statute when she has her initial official findings you will send that to group yes and are you you getting emails or I got to keep sending you I mean you can keep sending okay keep sending them to me all right put a fork in it who's done Fork thank you Council we appreciate your input thanks thank you staff motion to close I think great Mo let's have a motion to leave I make a motion to second to close approved all in favor I let's do it all right motion carries e