Loading...
022024 EDA PacketE C O N O MIC D E V E L O P ME N T AU T H O R IT Y ME E T IN G R IC H F IE L D MU N IC IPAL C E N TE R, C O U N C IL C H AMB E R S F E B R U ARY 20, 2024 7:15 PM (I MME D I AT ELY FO L L OWI NG THE HRA ME ETI NG) C all to Order Open F orum E ach speaker is to keep their comment period to three minutes to allow sufficient time for others. C omments are to be an opportunity to address the E D A . P lease refer to the E D A agenda and minutes web page for additional ways to submit comments. You may also call 612-861-9764 or email ldubois@richfieldmn.gov with questions. C all into the open forum by dialing 1-415-655-0001 U se webinar access code: 2633 377 8053 and password: 1234. Approval of the Minutes A pproval of the minutes of the Regular E conomic D evelopment A uthority meeting of October 16, 2023. AG E N D A APPR O VAL 1.A pproval of the A genda O T H E R B U S IN E S S 2.C onsideration of a Memorandum of Understanding for the continued partnership with the C enter for E nergy and the E nvironment in administering the Richfield E nergy E fficient B usiness Rebate P rogram. S taff Report No. 1 E D A D ISC U SSIO N IT E MS 3.E D A D iscussion Items E X E C U T IV E D IR E C TO R R E P O R T 4.E xecutive D irector's Report C LAIMS 5.C laims 6.A djournment Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at least 96 hours in advance to the City Clerk at 612-861-9739. ECONOMIC DEVELOPMENT AUTHORITY MEETING MINUTES Richfield, Minnesota Regular Meeting October 16, 2023 CALL TO ORDER The meeting was called to order by President Vrieze Daniels at p.m. in the Council Chambers. EDA Members Present: Erin Vrieze Daniels, President; Sean Hayford Oleary; Mary Supple; John Young; and Gordon Hanson EDA Members Absent: None. Staff Present: Melissa Poehlman, Executive Director; Julie Urban, Assistant Community Development Director; Jan Youngquist, Economic Development Manager; Dustin Leslie, City Clerk OATH OF OFFICE: COMMISSIONER YOUNG City Clerk Leslie administered the oath of office to Commissioner Young. OPEN FORUM President Vrieze Daniels gave instructions on how to participate in the open forum. No one spoke. APPROVAL OF THE MINUTES M/Hanson, S/Young to approve the regular Economic Development Authority meeting minutes of August 21, 2023. Motion carried: 5-0 ITEM #1 APPROVAL OF THE AGENDA M/Supple, S/Young to approve the agenda. Motion carried: 5-0 EDA Meeting Minutes -2- October 16, 2023 ITEM #2 CONSIDER A RESOLUTION APPROVING THE AMENDED AND RESTATED BUSINESS SUBSIDY POLICY. Economic Development Manager Youngquist gave the report. M/Young, S/Hanson to Adopt a resolution approving the Amended and Restated Business Subsidy Policy. Motion carried: 5-0 ITEM #3 CONSIDER THE CREATION OF A SMALL BUSINESS SEWER AVAILABILITY CHARGE ASSISTANCE PROGRAM FOR RICHFIELD BUSINESSES. Economic Development Manager Youngquist gave the report. President Vrieze Daniels asked about there being no guidelines to assess if barriers are being removed with the program. She asked how the City would ensure the assistance would be going to businesses in need. Economic Development Manager Youngquist stated certain businesses would have bigger needs than others, such as restaurants, and that they looked at adding eligibility criteria to target appropriate types of businesses. President Vrieze Daniels spoke about businesses that were listed as ineligible for the assistance and asked why there were not allowed to apply. Economic Development Manager Youngquist stated it was common for business subsidy programs to nut fund certain businesses. Commissioner Young asked if it would be possible to review financial statements before approving assistance. Economic Development Manager Youngquist stated that the city wanted to administer the program as simply as possible. Commissioner Hanson spoke about the difficulties business owners face with high SAC fees. Commissioner Hayford Oleary asked how some businesses would get denied for assistance. Economic Development Manager Youngquist stated if a business were denied by staff that it could be brought to the EDA to be reexamined. M/Hanson, S/Hayford Oleary to Approve the Small Business Sewer Availability Charge Assistance Program and the use of $20,000 of Economic Development Authority funds for its implementation. Motion carried: 5-0 ITEM #4 EDA DISCUSSION ITEMS President Vrieze Daniels spoke about the success of the Renovation Tour and asked staff to consider if a similar tour of businesses would work. ITEM #5 EXECUTIVE DIRECTOR’S REPORT Executive Director Poehlman spoke about Small Business Saturday coming up and that staff was thinking about ideas of how to celebrate it. EDA Meeting Minutes -3- October 16, 2023 ITEM #6 CLAIMS M/Supple, S/Young that the following claims be approved: U.S. BANK 9/14/2023 EDA Checks # 23341-23358 40,189.51 TOTAL $40,189.51 U.S. BANK 10/16/2023 EDA Checks # 23359-23376 36,064.20 TOTAL $36,064.20 Motion carried: 5-0 ITEM #7 ADJOURNMENT The meeting was adjourned by unanimous consent at 8:09 p.m. Date Approved: February 20, 2024 Erin Vrieze Daniels President Dustin Leslie Melissa Poehlman Secretary Executive Director AGENDA SECTION: OTHER BUSINESS AGENDA ITEM # 2. STAFF REPORT NO. 1 ECONOMIC DEVELOPMENT AUTHORITY MEETING 2/20/2024 Jan Youngquist, Economic Development ManagerREPORT PREPARE D BY: EXECUTIV E DIRE CTOR RE VIEW: ITEM FOR COUNCIL CONSIDERATION: Consideration of a Memorandum of Understanding for the continued partnership with the Center for Energy and the Environment in administering the Richfield Energy Efficient Business Rebate Program. EXECUTIVE SUMMARY: Since 2020, the Economic Development Authority (EDA) has partnered with the Center for Energy and the Environment (CEE) to administer the Richfield Energy Efficient Business Rebate Program (Program). The Program provides a rebate for Richfield businesses that complete upgrades through the One-Stop Efficiency Shop's lighting, HVAC, or refrigeration programs offered by CEE. The Program provides a rebate of 20% of the cost of qualified upgrades, up to $2,500. Businesses making these improvements are also eligible for additional rebates from Minnesota utility companies. CEE receives funding from the utility companies to assist businesses as part of their incentive program, so CEE does not charge the EDA for this service. CEE works directly with participants, provides an energy assessment report, and completes all rebate paperwork. The EDA issues a rebate directly to the participant after the eligible work has been completed. In 2023, the Program provided over $15,000 in rebates to nine recipients for energy efficiency improvements (see attached list of recipients). Since its inception, the Program has funded nearly $70,000 in energy efficiency rebates. RECOMMENDED ACTION: By motion: Approve a Memorandum of Understanding with the Center for Energy and the Environment to provide professional services related to the administration of the Richfield Energy Efficient Business Rebate Program. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT The EDA has identified provision of business assistance activities and funding as a priority since 2018. Melissa Poehlman, Executive Director The EDA created the Program in January 2020 and has annually contracted with CEE to provide administrative support for the Program. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS The Program does not have a direct correlation to equity or the Strategic Plan. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): Business assistance through the Energy Efficient Business Rebate Program is an appropriate activity for an EDA as defined in Minnesota State Statutes. D.CRITICAL TIMING ISSUES: The current MOU with CEE expired on December 31, 2023. E.FINANCIAL IMPACT: The EDA budget includes $20,000 in business assistance funds for the Energy Efficient Business Rebate Program. The Program is funded through the tax levy. A modification was made to the MOU indicating that eligible participants are businesses or commercial property owners operating on property tax paying parcels. F.LEGAL CONSIDERATION: Legal counsel from Kennedy and Graven reviewed the MOU. ALTERNATIVE RECOMMENDATION(S): Chose to deny approval of the MOU and not offer the Program. PRINCIPAL PARTIES EXPECTED AT MEETING: None. ATTACHMENTS: Description Type 2024 Memorandum of Understanding Contract/Agreement 2023 Energy Efficiency Rebate Program Summary Backup Material CEE- Richfield MOU #4391 MEMORANDUM OF UNDERSTANDING Between: Center for Energy and Environment and the Richfield Economic Development Authority Re: Energy Efficient Business Rebate Program Date: January 1, 2024 This Memorandum of Understanding (MOU) stipulates the intentions of Center for Energy and Environment (CEE) and the Richfield Economic Development Authority (EDA), collectively the Parties, to collaborate on the Richfield Energy Efficient Business Rebate Program (Program). This MOU is effective as of January 1, 2024, and ends on December 31, 2024. The MOU can be canceled by either party with 30 days written notice to the Parties’ representatives. Services The EDA has earmarked funds for businesses located in the City of Richfield that complete upgrades through the One-Stop Efficiency Shop® lighting, HVAC, or refrigeration programs. Eligible participants include businesses or commercial property owners operating on property tax-paying parcels. If an eligible business or commercial property owner completes rebate-qualifying upgrades, CEE will prepare a rebate form and obtain signatures from the business or property owner via DocuSign. Upon receipt of the executed rebate form, the EDA has agreed to offer additional rebates of 20% of the cost of rebated measures up to $2,500 to be paid upon completion of the upgrade. The EDA will send a check to the business or property owner. CEE Obligations •CEE will work with the EDA to market the Program offerings to local businesses within the City of Richfield. •CEE will carry out assessments to eligible businesses within the City of Richfield as a part of the One-Stop Efficiency Shop. •Assessments will include information about the EDA’s additional rebate offering. •CEE will obtain a signed pre-approval form from participating businesses before projects start. •CEE will complete all paperwork for participating businesses as is already standard through Program practice. •Once the business completes the qualifying upgrade, CEE will complete and send the rebate form to the EDA. EDA Obligations •The EDA shall assist in marketing the Program offering to local businesses within the City of Richfield. CEE- Richfield MOU #4391 •The EDA will provide an additional rebate to businesses of 20% of the cost of program-eligible energy efficiency measures in an amount up to $2,500. •The EDA will cut checks to qualifying businesses once the rebate form has been received. Budget A total of $20,000 is available from the EDA for rebates through December 31, 2024, under this MOU. Release/Waiver/Indemnification The parties agree that each shall be responsible for its own acts, errors and omissions and those of its officers, directors, employees and agents, as well as any representations, warranties and agreements, made in the performance of this MOU, and neither CEE nor the EDA will be liable in any way for the activities of the other party or the other party’s officers, directors, employees and agents arising out of or in connection with: (a) any failure to perform any of the terms, covenants or conditions of this Agreement; (b) any act, error, omission, misrepresentation or misconduct; (c) the failure to comply with any applicable laws, rules or regulations; or (d) any accidents, claims, damages, losses, injuries or expenses. Representatives of the Parties CEE: Laura Bebo-Ekanayake 612.335.5858 lbeboekanayake@mncee.org 212 3rd Avenue N, Suite 560 Minneapolis, MN 55401 Richfield Economic Development Authority: Jan Youngquist 612.861.9771 jyoungquist@richfieldmn.org 6700 Portland Avenue South Richfield, MN 55423 CEE- Richfield MOU #4391 Center for Energy and Environment By: __________________________________ Title: _______________________________ Date: _________________________________ Richfield Economic Development Authority By: __________________________________ Title: _____President__________________ Date: _________________________________ By: ___________________________________ Title: Executive Director Date: _________________________________ Richfield EDA Energy Efficient Business Program 2023 Recipient Summary Date Recipient Address Amount 3/13/2023 Michoacana Tasty Ice Cream and Burgers Inc 4 - 66th Street E 940.00$ 5/11/2023 Mt. Calvary 6541 16th Avenue 1,027.55$ 8/9/2023 Lyndale Station LLC 6525 Lyndale Avenue 2,500.00$ 8/25/2023 Consignment Ventures 2918 66th Street W 2,500.00$ 9/18/2023 Richfield Transmission 7444 Lyndale Avenue 1,151.83$ 9/26/2023 Woodlake Lutheran Phase 7 7525 Oliver Avenue 471.15$ 9/26/2023 Woodlake Lutheran Phase 8 7525 Oliver Avenue 651.57$ 10/9/2023 JJL Properties 6607 18th Avenue 1,891.76$ 10/9/2023 JJL Properties 1300 - 66th Street E 867.23$ 11/20/2023 District 287 7450 Penn Avenue 2,500.00$ 12/13/2023 SciTech Academy 100 - 66th Street W 1,008.60$ 15,509.69$