He gave me >> good morning. It is 8:00 a.m. on Tuesday, December 9th, 2025. I call the economic development authority meeting of new alm to order. The first item of business is the roll call. We do have a quorum present. Item 2.1, the EDA
November 18th, 2025 minutes. So move. >> Second. We have a motion and a second to approve the minutes. Any further discussion? All in favor say I. >> I. >> I. Opposed. Motion carries. Item 3.1, administrative activities for November
2025. >> All right. Good morning, Madame President, commissioners. Uh you have the report in your packet. I'll just highlight um we did receive one get it ready loan program. Um, that application's been placed on the waiting
list for 2026 funding. And note, under the multif family rental rehab loan program, two loans closed each in the amount of $25,000. And that fund is now out of money for the remainder of the year. I'll make a motion to accept the
Economic Development Authority administrative activities for the month of November 2025. >> Second. We have a motion and a second. Any further discussion? All in favor say I. >> I. >> I. >> Opposed. Motion carries. Item 4.1, public housing utility allowance
schedules. All right, commissioners. Madame President, uh, this is an item we review on an annual basis. Um, occupants of the public housing program pay 30% of their adjusted income toward their rent and utility costs. Um residents of Broadway
House Apartments um no longer pay any utilities um due to our solar panel project. So a utility allowance is no longer necessary for those tenants. Um but the tenants in our family unit um the scattered site rental houses are still responsible for the payment of
their gas, water, sewer, and garbage bills. Um so we do have a utility allowance for those. Um so in order to determine the average utility costs for the residents, we review the utility
usage for the prior year um to calculate the average usage. Uh we calculate um or look at the current sorry the current utility rates um and some of those um
did increase over the prior year. Um and then there's other factors that go into the calculation um such as degree days based on the weather from the prior year. So those factors um all put together can result in the utility
allowance increasing or decreasing accordingly. Um you can see the comparison of the utility allowances based on bedroom size for the prior year. Um the two-bedroom utility allowance is increasing from
$123 to $127. The um three-bedroom utility allowance stayed flat at $144 and the four bedroomedroom utility allowance increased from $169 to $173.
So very minor um changes from the prior year. Um, I think utility rates went up, but I think the degree days because we had a mild winter kept them um from increasing to
um more than they did, I guess. So, relatively flat over the prior year for the most part. Any questions? No. I will make a motion to adopt the revised public housing utility allowance
schedules effective March 1st, 2026. >> Second. >> We have a motion and a dis and a second. Any further discussion? >> All in favor say I. >> I. Opposed? Motion carries. Item 4.2 EDA
December 9th, 2025 claims list. I didn't see anything out of the ordinary. So, unless there's any questions, I'll make a motion to approve the EDA December 9th, 2025 claims list. Second that we have a motion and a second. Any further discussion? Who seconded? Sorry.
>> Thank you. >> All in favor say I. >> I. Opposed. Motion carries. Item 5.1 is the discussion of Oak Hills Garden Terrace 2 loan. I am a current board member on the Oak Hills board. So I recuse myself from this meeting and will
leave the meeting for this discussion and I will hand over the gavl to vice president Kulk. Thank you. >> All right. uh vice president, commissioners, um before you you have a request and and this one we're just
asking for discussion if you have any um issues uh with potentially giving a loan. Uh and this would be to authorize us um to work with our city attorney to prepare the loan documents that would come back to you um at the next meeting or potentially a special meeting um to
approve the the final loan documents. Um, Oak Hills has come to us uh and they're looking for a loan for the furniture, fixtures, and equipment. So, the FFNE uh for the Garden Terrace 2 project um as the LE they are
responsible to um for that. Um they're looking at roughly 800,000. Um they're working with Western Homes uh who has done developments and projects like this and they said that that amount uh would be sufficient um for the FFN uh of the
project. Uh they're looking at a 10-year term um an interest rate of between 1 to 2%. Um we cannot do zero. Um by statute we do have to charge an u an interest rate. So between 1 to two is where we
usually do um our EDA loans. Um they're also looking at no interest or principal payments until May of 2028 uh when we were looking at their financials. Um that's when that building would actually be turning a profit uh where they'd have a full year of full fully leased up. So
in May of 28 they would start those uh payments. Uh and then um like I had mentioned before, this is just to help Oakills during um the the early operational phase of Garden Terrace 2. Um and then uh like I said before, this
loan will come the final loan if you authorize us to move forward will come back at a special meeting or the January meeting. And Candace is here from OILS if you do have any questions. Um, I do have a couple questions just
because this is a pretty large loan. Um, Nicole, where would these funds come from? >> From the 88. I mean, they have >> the sale of Garden Terrace. >> Um, what would the collateral be for the loan? >> Cuz the furniture and fixtures and equipment, those will depreciate by the time they
start making payments. >> Okay. I mean, we can put a mortgage on the on the property. And then what would a payment be like at a 1% and 2% interest rate? Do you have happen to have that calculated? >> I haven't figured out the schedule yet. No, >> we haven't figured out schedule yet.
>> Okay. Cuz I think knowing how much those payments would be would be pretty important. >> So we can bring that back when we bring it to you for approval. Bring that information. >> Okay. I'm all in favor of the loan. I just
have questions. >> Was this in our original plan when we sold the garden terrace to garden terrace at all? I just kind of I just feel like we need a little more information. Um so
>> I mean, no, it wasn't in the plan uh when we sold Garden Terrace. it is um an opportunity to help them move into the building and potentially purchase the building faster um than the seven years um that they're looking at. Uh but
getting them up and operating part of what they part of what the board's decision is is they don't again if you don't mind me um you know they're hesitant in signing the lease because it is $800,000 that they potentially don't have for the FF&E and if they have if
you kind of give the authorization for us to move forward then they would be inclined to sign lease and move forward with the project. This is kind of one of those things that's floating out there. >> At a 2% interest rate, the loan payment would be about just under 700 a month.
Probably that's an estimate. Am I correct? also um in um the uh reality that Oak Hills will be in a better financial position with respect to their present operation because of the improvements they're making and that
their reimbursement uh levels will increase. So this will help bridge them to a point where they have more sustainability potential and uh so I would support uh this this loan at this time.
>> When would they be signing a lease if this got approved? Would they be signing that lease right away? I think they were waiting to see if the EDA was leaning in favor of this loan today. Um, and then they'll go back to their book. Candace, maybe you can speak to that.
>> If you could come up to the podium to state her name. >> State your name and address for the record. >> Hi, I'm Candace Shuer. Um, you want my address? You said no. >> At Oakills,
>> uh, the administrator at Oakills. Um, yes. So, um, we were not aware that the FFNE was going to fall on our plate. Um, we thought that was part of the, um, rebound real estate. Um, so when we were
planning the FFN, uh, we it was discovered that that would be our responsibility. Um, so the board is hesitant to sign the lease agreement because we we don't have that type of um funds to be able to invest in that at
this point. So um that is why the board um was asking for um a loan to be able to get us through this hump. Um and then um once we're done with our moratorum remodel, our rates will our property
rates will improve and so um there'll be better rates coming back to us. So it's just really getting us through this um stage. So the board um isn't comfortable signing a lease at this point.
>> And if if you don't sign the lease, then rebound won't start construction. >> Correct. Correct. and they wanted to start construction this month with the ground being frozen. So, >> um, and I'm sorry, I just I was doing the math on this. So, $800,000 over 10
years, which is 120 months. So, 800,000 divided by 120 with no interest, it would be 66667 a month. Um, almost $7,000 a month in payments, right? Is that right? $800,000 for 10
years. the payments with a 2% interest rate would be just under $700 a month. >> How is that possible for 10 >> 10 years? >> Calculator. >> So like $800,000 divided by 120 is 6700. >> Move the decimal. I don't
>> unless they're doing a lump payment at the end. So just >> they can't do any of their projects that they had planned that we had sold them the property for. And then without this,
>> I'm just a little confused. >> While she's calculating that, is the intended use for the property going to be long-term care still or assisted living or what would be >> the intent is for a senior independent living for 55 and older.
>> It's a it's to help diversify our campus. Right now we have um you know majority of our um census is long-term care. >> Okay. >> And um in order to be sustainable in this industry, we have to diversify our
services. >> Sure. >> Do you have assisted living currently within >> We have a very small assisted living. Yeah, we have 16 apartments. >> Okay. >> Yep. Um, is that any would that be of
consideration for a building? I'm just thinking back to um kind of a lack of assisted living facilities and beds within New >> Actually, we're overpop populated with
assisted living. There is there is there is um a need for senior independent living in our community. We did a market study. >> Okay. >> The payment would be, you're right, just over 7,300 a month with a 2% rate. I was
looking at the average monthly interest. >> That's okay. I'm like, I want a good deal cuz I was like, I want that low. >> Yeah. >> Um, you know, obviously we know that the financial picture doesn't allow for Oakill to sign this. And that's just why I, you know, I I want to do this um
because it it is extremely important. I just want to know how our EDA is going to be protected and I want to make sure that we're being very, you know, responsible with these dollars. Um and we don't know what kind of legislative changes are going to happen in the next couple of years. Hopefully something to
better support um these facilities, but you know, given we don't know that um and that this was a surprise from Rebound as well. So, it makes me wonder what other surprises >> planning on almost a million dollars. >> What other surprises are coming and what
if there's a need beyond this, you know, um is Oakills equipped to take that on as well. So, those are just some of the questions I have. I do agree it's very important and we want to keep this going but again like this is this is a large very large loan
more than we normally do with deferred payments right so if we could get more information and have the staff bring that to us I guess >> what information >> well I guess
like Andrea said how are they going to back that collaterally. Um, >> I agree with the city manager. You put a lean against the property >> on the property like we do with any other loan. >> As long as we have appropriate collateral, I'm fine with it.
>> And there won't already be an existing lean on the property. Yeah, I realize it's a large project and I only read this thing once. Our strategic plan >> Oh, if any of you did read that, >> there's going to be a mortgage on the building. I believe
>> Yes. >> for the construction. So, we would be in second position behind that mortgage, but that's typical of any loan we >> But is there enough equity at that point to collateralize an $800,000 loan? That's I mean these are these are just
the real questions. >> I'm assuming there um was some kind of like cash flow done on >> Yep. >> and all of that. Maybe that would help ease mines or something. >> That was why the 2-year payment >> presented that.
>> Yeah. >> At one of the meetings with the cash flow basis. >> Oh, okay. Was that the last one? Maybe I missed that. Oh, okay. Do your deferred payment have cash flow? >> This was not on there. >> I don't think so.
This just came up because they thought rebond was taking this. >> So, how could that have been on there? >> We've seen we've seen the cash flow. It was presented to us. Yes. And that's why there's two years deferred payment >> that was presented to >> Yeah. It was part of the information that was presented to you.
>> So, this wasn't a surprise from rebound. this particular thing was, but the cash flow figures were >> enough to cover this. >> Yep. >> It It's definitely important to um create more facilities like this. This
is one of the issues we've kind of had under housing and the EDA because we have so many um a growing elderly population that are having no other choice but to stay in their homes
because there isn't necessarily um other options available to them. and creating more spaces like this allows more resources for them, which allows more young families to be able to move into some of these homes. So, it it has
a obviously a really positive um trickle down effect. And [Music] I I think if the city manager has seen the cash flow and everything works that
that would be sufficient for me but maybe it would be helpful for others to see some of the numbers associated before um making the approval. I think it's important for us to
remember that we put the as the city and EDA put the stipulation on the property purchase that rebound partner with Oak Hills that is what brought us to this point. So I believe we need to do whatever we can to make this work. And
if we've seen the performer as far as cash flow, I believe uh we not that we have a responsibility. We have to be sure that we're making good decisions regarding funding. But if we've seen the performer, we put the stipulation on
rebound that they have to work with Oakills in a partnership that was part of the development plan, then I see this as a way to move forward with the project overall. Yeah, I agree with mayor. I think that makes sense to
keep supporting the overall goal that was initially set for this project and partnership. Um I'll say I agree and the demand for that type of housing is clear. Um I just want to make sure that we're, you know, the collateral is protected and that the
equity is there to cover that um that loan just, you know, for our protection. But I am totally in favor of moving forward and I would want I would be more in favor of the 1% interest rate than the 2% interest rate um to kind of show
the partnership that we have with both Rebound and Oakills and the community. Okay. And so the next step was is to now authorize the staff. Is that correct? Yep. >> So we're looking for a motion to do that if we're ready. Does anybody want any
further discussion on this? I just would like to see the information that we're protected from a collateral standpoint. Otherwise, that's the only thing I would need. I would want to see >> and I think they would bring that to the next meeting. >> That would be part of the loan package.
>> Part of the loan package. >> Yep. Okay. All right. All right. I'll make the motion um to authorize staff in accordance uh in coordination with the city attorney to prepare all necessary loan documents related to the Oak Hills Garden Terrace 2 project. >> Second.
>> Okay, we have a motion and a second. Any further discussion? Those in favor say I. >> I. >> I. >> Opposed. >> Motion carries. And then we can welcome back our president, Mark Grath.
Thank you. Item 5.2 is the EDA strategic plan. And we have um Jason and Sarah from Better City with us virtually again today to present the final draft and answer questions. Um and if if we're
ready, we can move to adopt the plan today. I'll turn it over to you, Jason. Excellent. Well, Madam President and the board, it's it's a pleasure to meet with you all again. Um, it this has been a
really fantastic project and we've appreciated both the opportunity to get to know the the board and Chris and Heather, but also the community. It's a really exceptional community. Um, let's see. Can can y'all see us?
>> Yes. >> Yes. >> Okay. got some weirdness on our end, but that's that's fine. Um, uh, >> oh, >> oh, >> they froze. >> The overall objectives and for today's presentation, we want to
go to the the next level of granularity and really describe what 2026 like looks like for the board and the important decisions that are in front of you as you as you look at implementing this plan. And so this will be a more of a
deep dive into the the specifics and so you'll understand at at some level granularity what what this means and what um what 2026 looks like. So um I presume you can see this. Okay, you can see my screen. >> Yes. >> Yes.
>> Okay. So, you know, before we talked about data and the the stakeholder input and and looked at the draft of the plan and today we we'll, like I said, look at the specific tools or decisions that the board will need to make to implement
this and and the implementation uh matrix for the year. I I want to highlight that that implementation is a team sport. Um and so the EDA really has assumes a leadership role. um this board
there's a lot of moving parts and a lot of organizations involved. You know, ED has staff and the role of the the EDA board is to to show that leadership and I really think we'll we'll talk about this next, but these next few years can
be transformative and and probably should be given the the changes that you're facing. um this this plan because it's backed by data but also local input. And so there's a lot of
times where we'd hear, oh, conventional wisdom says this, and then we'd go challenge with data and challenge the people. And there was a really robust cycle of of of comparing the what the analytics were saying with what what we're hearing on the street. and and because of that, we
think this is a really robust um depiction of where you're at and what's what the next steps need to be. It also acknowledges what your capabilities are within the community. Um and and the things that we're suggesting may seem
smallish, um kind of changing around the edges, around the margins in some case, but it they represent an inflection point and a and a change in doing things that could have long-term catalytic impact. Um so the competitive advantage what
what is what are the goods and I think it's really important we've talked about this but I think it's really important to always keep this in mind because these are the things that need to be leveraged the next screen we'll talk about what you know what what are the challenges what the challenges are but but this is what makes you unique and
this is the strengths you need to lean into as you as you go to implement and and really long term you know Who are we and what are we good at? I don't know that I've ever been anywhere where the employers say such great things about
their employees. Um just normally you talk to employers like ah we can't find good workers and no one wants to show up to work and it's the exact opposite in new all the employers say oh people are great and and I'm able to find people and they work hard. So, you've got a
really strong workforce from a, you know, from an employer standpoint. Labor labor force participation is exceptionally high, 84%. Your unemployment's below 2%. It's just, it's just people that want to work and work hard.
This next one is remarkable. 77% of Oops. of Hey, 77% of your residents commute less than 15 minutes. That's that that just doesn't happen. I I can't even explain that. That's incredible. So, you have
this ecosystem where, you know, the vast majority of your people are, you know, just a a short commute away. What a great what a great place to live. What a great quality of life. And then I want to point out this chart to the right, which is the mix of industries. And it's
just so healthy. You see, you know, if you see a bunch of public services, well, this is this is only private sector. But if you see, you know, re a lot big retail and big healthcare and stuff like that and food preparation, that means you're you're just doing things internally. You're spending money
internally without export bringing stuff in. But you have you have you across the board, you have production and you have management, you have office, you have real estate. You've really got all the different elements of a healthy economy represented. Um, the downtown is amazing. And not
only that, it's trending. It's good and it's getting better, right? And then we've talked about your quality of life and the strong identity that could be better, but there is a good strong sense of community. And finally, it's your community is remarkable
because there's so many people that care deeply. And this is maybe your biggest competitive advantage, your biggest asset. You know, you have crazy good events. Uh you have great recreational opportunities. Everybody sings from the same hbook. You all work together and
people care. They keep up their own yards, things like that. And and this is one of your core strengths challenges. Okay. Um the bottom chart here shows GDP by by year and you see the peaked in 2019 at 1.53 billion. Then
co happened but you haven't GDP hasn't hit that mark again and you know most communities rebounded by by 2022 or 2023 and and in in New's case um it hasn't and so that's okay that's
interesting that's an interesting data point right and then the second one is is what's above here the um location quotient and I'm going to go into some details here because I think this is really important to understand. Let me switch to the live model. Um,
okay. So, this bubble here. So, so, okay, the left hand axis is your location quotient. So, one represents something where you have the exact same percentage of your employees in this industry as the national average, right? So, anything above this green line means
you have more people than the national average. Anything below this blue line says you have less people. So it's an underrepresented industry. And then this line here is zero demarcation which is employment by year
and employment change. So everything on the right hand side means your employment is growing on left hand side is shrinking. So up here you have manufacturing and I'm going to show the time lapse. I might have to Here
we go. Here it is. Okay. So, all right. 2020. Okay. 2021 big negative, right? In manufacturing. Of course, lots of stuff went backwards be postco, right? 2022 it rebounds.
Great. But 2023, it kind of starts to decline. In 24, manufacturing is losing employment by 4%. A pretty significant decline in employment. And so the long-term trend here, okay, yeah, of course, you know, just that's just the COVID rebound, but
ooh, kind of negative and quite negative. So, that's something to to be aware of. Um, some of the other things is this is interesting. Arts entertainment is is increasing as a cluster. It just it just appeared. It wasn't even a thing in 2022 and all of a
sudden it's this growing industry of yours. And also, um, this is retail or a combination. So what I see, you know, when you look at retail and accommodation and arts and arts and entertainment is your your tourism cluster is growing. Um it's still kind
of not not high in terms of compared to other places, but this is an area that by itself naturally is starting to gain some traction. Um and the other thing I wanted to highlight was um where was it? Real estate. Oh yeah,
here real estate is starting to you know it's below underrepresented but growing. As you get more more development that'll that cluster will grow as well. Stop here. Any questions that you have?
Okay. Okay. Uh so with this with the change you know the the dynamics in in what's happened in the manufacturing sector your workforce needs are changing and the skills that were that have made new ohm
so successful for generations are suddenly going to be different as you go forward. And so that's really important to understand that what's worked in the past which has worked extremely well might not work in the future. Okay. the aging housing stock.
We've talked about that. You don't It's It's surprising to me. Why do I keep doing that? That you have only six and a half% um that work remotely cuz New Home is such a great place to live. It's got such a high quality of life. You'd think there'd be a lot of people that would move there just and then work remotely.
So, I think that's an opportunity. It's interesting that it's so low. And then this is kind of um something to keep an eye on that your educational attainment at 27% versus statewide average is 38%. You know, is is low. It's it's worked
great in a manufacturing heavy economy. But going forward um that's something to be aware of that that you know as the manufacturing jobs gradually or maybe not gradually start to decline
um do do people have the skills and the training to to move into other other professions and other sectors of the economy. Okay. So now I'm going to stop and and so with that background, let's go to the
actual document and review. We'll go through the five areas and and look at in detail what it is that um we're suggesting that that you look at in this coming year. So, we've talked about housing and how
this focus should shift from we're just supporting new homeowners to we're going to use the funding to promote public benefit, which is density of the downtown and infill. And so, um, we're recommending that you
create an incentive program that adds to the downtown core. And so it's it's a pretty seismic shift really in the way you're allocating funds and the focus of that and that will require you to look at um you know what are the criteria that
to determine you know yes this is a project we'll invest in um you know looking at underutilized houses sites or underutilized sites which could be excess parking or government property or blighted property. you don't have bladed property, but if you did um and and
figure out how to convert those into housing again to create that density in your in your urban core. So, so the key the key deliverables here are okay, what does that program look like? How do we identify them? And then what's the type of incentives that we
provide? And there's some some suggestions here as to what kinds of things you could do to help developers and and owners make those upgrades. Okay. The next one is Oh boy. Um the update the home buyer program.
Honestly, we think, you know, there's plenty of demand, right, for housing. And so, you know, stimulating demand by by providing home ownership um incentives or support
is is kind of is kind of standing fuel to the fire. So, um, to be honest, if this program were to be sunseted or at least paused for a little while, that might make a lot of sense. But if you do move forward with with the program, the recommendation is make it very targeted.
Say, okay, we're targeting AMI, maybe prioritize essential workers, whether it be public safety workers or teachers or things like that. Um, and and and really just just recognize that that, you know, attracting people isn't the problem. and
and yes, housing is expensive, but but if you're just making it easier for people to get homes, you create more demand. It's kind of exacerbating the problem. Um, please at any time if there's questions or comments, I would encourage
you to stop me and and um ask for clarification. >> Jason, I'm I'm going to stop you. I appreciate the clarification on the home buyer program and the encouragement to be more strategic with how we do those funds rather than just give them out to
whomever asked. So, thank you for that. >> Thank you. Yeah, that's one of the things that we that we felt pretty strongly about that that you know if that those funds might be better applied to the supply side, how can we create more supply? Right? So um all right the
third one is the rehabilitation preservation program. This is brilliant. I we told you that we were blown away when we looked at the numbers and saw how many homes were um over 100 years from when they were constructed. We I had a mental picture of what your
neighborhoods would look like and the reality did not match that at all. It's remarkable how what your housing stock looks like and how and how well it's been upkept. But that's a continual, you know, that's a continual effort. So, this effort to to
um to continue to rehabilitate homes and continue to invest them will be essential to to maintaining those neighborhoods as being great places to live. you you've seen so many cities where the inner ring just just um gets
decrepit and and gets underinvested and it creates a donut where you got a urban core or outer ring that's kind of run down and then the the suburbs and you managed to do the opposite where because of the investment you've made in those older homes, you know, th those are very
desirable neighborhoods. Um so one thing we we thought about is you know energy efficiency becomes a really big deal and maybe targeting that program towards that and how how can you ensure that um you know there's there's
a sustainability component to that as well. >> Okay. >> And then Jason I just had one question if you could go back to the prior slide. um expand funding or consider energy efficiency upgrade grants and then
increasing grant amounts. This is a loan program. So, are we talking loans or grants here? Are are you suggesting we change it to a grant or is that a typo?
>> So, the challenge, right, great question. Um, we probably should have clarified this. The the current loan program is great. The the piece that that kind of um when it's an older older homeowner,
right, and they're they're living in a house that needs to be upgraded. We thought that maybe in that case it might be appropriate to look at some kind of grant situation knowing that you know any investment that's made will will make the property more um marketable if
you know at some point when it comes on the market. So that's why the grant piece was put in there just again targeted to really means-based um looking at maybe some specific cases where those might be helpful to people
that are um how do I say this? Arfleet anyway that that that might be exiting the market in the next little while. But we'll we'll clarify that. I I think we'll clarify that. So, take note there.
Okay. So, the fourth is is just the monitoring and tracking of it. So, making making sure you have key indicators um looking at at you know the permits, vacancy rates, but also the pricing. So, so we we looked at the affordability.
Um, I can pull that up real quick. You know, this this chart, you know, shows that for generations, Brown County has been very affordable, you know. So, so this red line is the
affordability frontier. where where the median income can afford the median pricriced home and you're you're getting right there, you know, where you're still affordable, but it's getting tight, right? And so, I think these are the kinds of things to to look at to keep looking at the affordability and
make making sure you're staying above that affordability line by cons by by ensuring consistent supply. >> I got a question on that. Being with building my whole life, the last discussion you had was about baby
switching grant 65 and older. What I see in the world today in building is the younger people starting with their homes can't afford it. To me, we're given to the retired drawing social security 65 and above giving them money. Just give it to them.
If we switch it to a grant, I in my mind what I saw in the building word should go the other way. That's just my take on it. Flip it the other way. Those young homeowners who can't afford to put blinds on the place,
we don't give them anything, but 65 plus drawing social security, been in the home 40 years. Let's give them a grant and don't have to pay us back. That's my take on it. I I think it's stripped the other way. From what I've seen in 50
years of building, I don't know what the other board members think, but it's just like that part's going the opposite. From my understanding, and correct me if I'm wrong, that targeting this grant to
a certain population will then set up the younger homeowners for an already improved home that they don't have to stick that money into. >> Is that
accurate? I I don't know I don't know how to say it delicately. But that's what you're saying. There's probably not a good way to say that. >> In my mind, people are living till their 90s, whatnot. This elderly person's going to be in there another 25 plus years.
>> So maybe that grant isn't for people in their homes that are 65 plus. Maybe it's for people in their homes that are 75 plus, 80 plus. >> Yeah. Yeah. I I the point the point is really well taken. Um I I I appreciate
what you're saying. Um probably means tested, right? So, so some some criteria that looks at that need and I think if you if you make it a competitive grant and say we got five of these, you know, you know, we're going to cap it and what
what's the biggest need we can fill out there, then then at that point it's, you know, you can look at the different criteria and maybe you're right. Maybe there's a a family with a disabled child or something and and that's the the the you know, that's the priority. So I I I
appreciate that that viewpoint. That does make a lot of sense. >> I just want to make a comment on that as well as supporting Dave's position. Uh growing out in growing up in a household where there were six children, my parents didn't have the money uh to do a
lot of improvements or uh extra uh discretionary dollars. As they got older, they had money because we are all grown and gone. So, it makes sense to consider looking at income versus age,
uh, in my opinion. >> And it would allow the new homeowners to do what they choose with it and not move into something that they might not they might not have loved that improvement and want to change it anyway. there. Yeah,
>> those improvements may not be and that would be probably stipulated in a grant that it may not be for, you know, uh, aesthetic things, but a new roof or new windows or things that are going to >> keep the structural integrity of the
house, >> a heat pump or new insulation, things like that that lower the cost of ownership. Yeah, >> precisely. And those are the things you can't recoup when you sell your house. >> Yeah. Right. >> Right.
>> Yeah. Great point. Good discussion. Okay. Awesome. Well, um the EDA uh branding initiative. I don't think there's a lot to talk about here. I think that was that was fairly um
straightforward that that make sure that the as the city does its branding then that flows through the EDA and that it's just and to the extent possible all the all the partners have this consistent brand and especially consistent messaging. So what's the
narrative around around uh new why is it a good place to do business? Why is a good place to raise a family and and and your challenges it's like a you know riches too too much you have to select among them but because it's
really important to have two or three here's here's what our brand is so um I think Chris kind of take the leadership role here and say city will lead and then that trickles down or no EDA we'd like you to to maybe drive and that what
the EDA comes up with can can roll up to the city. Hey Chris, any thoughts there? >> That's kind of how I see the branding rolling out where city will do the overall general branding for city uh and whether it's individual departments or
branches. So the utility and the EDA would have say in a similarish logo but would have a very distinct so you know it's from the utility you know it's from the EDA um so kind of in conjunction
and yeah perfect and then how does that overall brand apply to as we're trying to attract businesses what's the messaging so that that will be an important focus probably 2027 is, you know, as a lagging lagging the city's
efforts. Okay, this business retention and support is really the dramatic shift and I want to spend a bit of time on this because I think this is where we we talked about those charts. Oh, and and hopefully you haven't all seen the
report, but the the format is we talk about the current program um and and the performance and strategical alignment and then we say, okay, here's what how we here's our recommendations to go forward.
Those charts that I showed where manufacturing is starting to lose employment and you know your your machine shifts and we talk about education levels. these strategies here are, I would argue, are the most important um areas of focus for this
board that that this is it's kind of like the not sexy stuff. It's not the super visible stuff, but what you do here will have tremendous impact over time because
by by making this shift in in which businesses you support and where the focus is, you can really help to create um momentum behind the entrepreneur entrepreneurs who are going to create jobs and export in export industries that bring cash into the into the
ecosystem. So the the first piece is the the BR. So this is working with with Heather giving Heather support the tools you know maybe be our CRM software um creating metrics around all right we need to visit these
people or these sectors you know so so it's it's providing the resources to make this a reality because if if you're going to really be support the businesses you need to know what they're facing what are the challenges they're facing which are the ones that
are having success you know where were impeded that the DA can help um alleviate and and the only way to gain that intelligence is is the boots on the ground piece. Okay. The second is the economic gardening. So, we're recommending really
a 180 on on the business support and going from um grants or to the to new startups to saying okay identifying stage two companies. So companies who've already had gone through proof of concept and then giving them targeted
support. Now you as a board are going to need to determine what that looks like. So there's a couple things. What's the criteria? You know, so what does the stage 2 company look like in New? Um we've worked with the National Center of
Economic Gardening. Um, and they have criteria which frankly don't, you know, it works great if you're in Minneapolis or if you're in, you know, if you're in Chicago, but it it doesn't scale well, you know, to new home. So, so they would say, "Oh, you've got to have $10 million
in revenues." Like, well, that's a that's a stage three company, new home, right? And so, you have to determine your own criteria and say, "No, for us, five employees and 2 million in revenue is is kind of where we say, "Yep, you've proven your concept or a million." Anyway, you you determine your criteria
and say this is this is what a stage two company feels like for us. And then the next thing is to figure out what support look like. What does that what does that mean? A couple of options are you can bring in an outside firm or or have like
a retainer with an outside consultant that that says, "Okay, we're going to work with this firm and here's what we do." So the National Center of Economic Gardening, they have a very specific program that they run companies through. is very successful, but it's it's really um narrow in their scope. It's just
growing your client base. Um you might say, "No, we're going to use local resources and support them with with what they need." So, it might be marketing or it might be helping them to gain financing.
And so there's there's an assessment that needs to happen for you to really understand what is it our our businesses need and how do we get those resources in. So, so it could be, you know, um
strategic loans to help them scale. You know, it it's uh this is this is going to be a lot of work on your part and I think the visits that Heather does to the businesses will really help to inform this. But this will be the most
critical thing you do I think in 2026 is to understand what is the specific support you can you can provide to those export oriented companies to help them to scale. So I want to stop here. Any questions or
comments or thoughts about this? This is my favorite part of the whole strategic plan that you've put together. I agree with this very much too that a lot of work new businesses >> um >> has has been good but retaining
is a definite need especially with the economic challenges that are that businesses are facing right now. I appreciate that you you can you see
the sense of purpose here. And if you think about when New Brick was launched and they said, "Oh, we're going to go out and recruit companies, right?" And they were super successful in GameCraft and you know, some of those other big companies and in that era they crushed it. They did just the right thing. In
2025, it looks very different. And I really think that that the future looks like figuring out those companies that have, you know, that figure it out on their own that that have a concept and supporting them. So
appreciate that that sense of mission and and uh you know, I think you're going to have to rebrand the the current program to make sure that people understand that it's different. And then you've got to go out. It's actually harder than you think to find to find these businesses. there's a ton of effort that goes into
this to say, "Okay, who are these companies we're going to target?" Um, and so you do you go like find them individually or do you have a you know a grant program or a program they can apply to? You say here's the criteria and people apply then you have to market
it. You know there's a lot of work behind this, a lot of thought. >> I appreciate this step as well. I know Michelle made a comment. Um, I have had conversations this last year with
individuals who I don't think typically would share the fact that they are digging into their personal savings to support their business and they've been in business in New Alma for 20 25 years but that they've seen a downturn in
their in their industry and how do we figure out where those people are? So I think these particular uh strategies that we're looking at are going to be our future as far as opportunity again to to asssure that we have the continued
investment and reinvestment and making that pie larger rather than having more people participate in a smaller pie. So um thank you for this. >> Well well said. I love how you said that. Roll the pie.
Okay, this next one, um, the CTE support. Again, this is hyper critical because if you're training machinists and welders, you've lost the narrative that that the the workforce needs of the future are going to be radically
different than they are today. Now, you might you might still need some of those for some period of time, but the focus really needs to be on what's next. M >> and so um this step of again Heather going out in the community
talking to people having those contacts becomes hyper critical to understanding what not yesterday's workforce development needs are or not even today's but tomorrow's right what what are the what are the emerging workforce
needs that we can start to address now because it takes you know there's a latency it takes time to spin up a program and say you really got to anticipate the needs, get the resources, get the programming, get the training, and to have people ready to go when the
need catalyzes. >> I like the focus on the local employers because we don't want to train people and then have them go elsewhere because that's where the jobs are, >> right? which is so important to acknowledge because if you want to do something at
scale, well then you're going to have to target. All right, we're going to do nurses. Well, how many nurses do you need? Right? And you're going to export them, which is, you know, the world thanks you, but you haven't helped your local economy, right? So, so I think acknowledging that we're really training
people for our local workforce means that you're okay if there's three people in the program, right? Because that's meeting the local need. >> Mhm. So good point. Okay. And then uh the small business loan program really this is a maintain
and hence it's it's looks like very successful doing well. You know we just saw an example of that that I thought you know a great discussion great application of you know something that will help the community builds community needs. you're
able to to help someone out where otherwise, you know, they they couldn't they couldn't do. So, I thought today was a perfect example of why this program is successful and needs to continue. All right.
Tourism, hotel development. Um, I don't know, Heather, can we I don't know what anyway you interrupt me, Heather, if you have something you want to share. This this is really less about hotel and
tourism than it is about downtown. So, this is a way to support our downtown businesses through tourism and buy a hotel, right? Um, at the end of the day, it's creating just an incredibly vibrant downtown. Let me stop for a second. I
was in Ship Shawana, Michigan, um, a couple weeks ago, and it's a cute little town. it it's an Amish community, which means you can buy goods that have poor packaging that makes you feel like you're spending less even though you're spending more. Um, but you know, they
they have a convention center there and they have um it's a it's a really vibrant tourist place and crazy busy and cute, you know, uh uh holiday type atmosphere.
And I kept thinking, they have nothing on New Absolutely nothing on New M. Um your your downtown is far better. Your your city is so beautiful. You know, it's just it's just, you know, putting
the pieces together. And I think that but that convention piece is really interesting to me. Um new would be a fantastic place for a convention, right? And so so thinking about bringing convention space contiguous to the downtown where people could you know
have their and again not not huge scale but but you know moderately sized convention space but that at night people spill out onto the downtown and enjoy the the incredible um what you've already built the incredible amenities that are there. So
so again this is this is not this is not tourism for the sake of tourism. We're not targeting $12 an hour jobs here. The point is to create more vibrant senior downtown. So to to hit there, you know, to get there, you know, doubling down on the
events, which are phenomenal, off the charts, but be even better at events and figure out ways to support them. Um, and and and creating, you know, more more year round. There's got to be for you know the hotel you the hotel feasibility
study said you're not ready right and so you've got to change the economics you got to change the narrative and and you know the events will be big and then also you know sports events things like that thoughts questions
and then the hotel um is again downtown walkable to the downtown contiguous to it and and you have to really the the feasibility study is actually kind of an albatross around your neck because you have to say well I know what it said
however what it didn't know is that we're you know here's the progress we're making um which can be done and it's just about the narrative and as people understand okay that was a point in time looking backward but you can see all that's happening And you know, you can bet on this
because we're things are changing. And then the other piece is is to have in place understanding, okay, there's going to have to be tiff, there's going to have to be abatements. And I would think that if in this next year you can put together your package and start
start preparing that then then as as the market changes and as things take hold you know you're ready to go out and recruit devel a developer or if a developer comes you can say okay yeah I
see your vision but you need to amp it up because we you know you're not you're not appreciating the the full opportunity here. Okay. Thoughts, comments, questions? >> I'd love to see another hotel with some of um the recommendations,
improvements downtown, um hotel downtown, um attracting more tourism. One challenge or worry I have um is that
as we continue to work on our downtown, revitalize our downtown um which is great and needed um that that's also being done in a way that we keep the integrity of of that
European aesthetic feeling that people get when they come here. And as we move forward, >> um, some of the buildings that do put improvements in, which is wonderful, they're maybe more modern. And now, like
little bit by little bit, you lose that niche that New Alm has that makes it so unique and so valuable. um to where how do you keep attracting tourism on the basis of we're this
magical little gem of a town where you feel like you're in another place. Um and kind of prevent some of that becoming like any other main street. [Music]
>> That is such a great point. I'm so glad you brought that up because honestly, if all you do is um just double down and get more or I'm sorry, if if you get modern buildings, it's actually at some level detriment to
what you're trying to create, right? So, that is such a good point. Furthermore, um you know, if you're at the point where you don't need anything, you just want things, right? And that that puts you in the driver's seat
because you don't have to roll over and say yes to everything. Um you can have really high standards and especially for this hotel because if if someone says, "Hey, I want to put a Motel 6 down there." Okay, that's not helping your market at all, right? What you want is a
really nice boutique hotel or a higher, you know, higher mid mid-tier hotel that's going to raise prices, okay? Because then that that brings the whole market up, right? If you if someone comes in lower, that that that dilutes it. But if someone comes in and says,
"Hey, our room might start at $170 a night." All right, that helps the Best Western, right? That helps the other ones as well because you're you're creating lift and and setting a higher market expectation. And that's what we're going for. It's not just more
beds. You're trying to lift the market so aesthetically, but also economically. All right. And then this last one, I think we've really covered it. Um I don't know there's anything more to say. Just just that coordination. um the no
wrong door making sure that everyone understands the policies this becomes even more critical you know we talked about how you know events are important okay so we so how can the EDA support the chamber on events right we talked about workforce development is super
critical so how does the EDA support uh new brick as it works on you know with the CTE so so this this coordination and making sure it is a team effort becomes becomes even more critical was as the as
the EDA shifts into into kind of different strategic directions, the partnerships become even more important. And so that that communication and the the ED EDA's role as the convenor as the
leader as as setting the expectations and setting the the strategic direction becomes really essential. Okay. And in my mind, I got a question on that. That's a whole new ball game for the EDA. They've never been involved
in that before. Never. I mean, I caught that on the one page about us helping the EDA, drawing tourism, different events as needed, possibly with seed funding or marketing. That's a whole new ball game
to this EDA. I mean, >> we've not in my 35 years of the city, I've never known the EDA to be involved in that. >> Is that a good thing or not? I'm asking. That's a whole different
change of direction for this board. >> Are you talking? >> Are you talking tourism or are you talking CTE? >> No. All of it together with this initiatives, actions he was on. It's all together in one big for attractions, heritage, tourism, events,
winter festivals, whatnot. >> Mhm. >> I mean, anybody here remember may or anybody that we were ever involved in that besides giving permission to use a park or whatnot, but past that extent? Not to my knowledge.
>> Dave, I agree with you. I think that um there have been support efforts to the PUC and the city uh informally. As an example, when I ran Heritage Fest, PUC would do a lot of electrical hookup and
and put up banners and so on and the the city participated as well, but to actually have a concerted intentional effort of EDA to support it uh by basically embracing it or funding it.
You know, there's you can give verbal support or you can and you can fund it. So, I haven't seen this in in my history living here. [Music] >> Just because it hasn't been done doesn't
>> doesn't mean not to. But I think it would have to be very strategic and something that >> we would see pulling in people like maybe it's a big home show where people do tours of the homes in New Almer. You know, something that's really strategic to what we want to accomplish. I don't
think it's just doing another event in town just to support the other event. >> The other thing I thought as you talked about adding more events is I don't know that it's funding that makes it difficult, but the volunteers I think a lot of people in Newm are
pretty tapped out as far as as far as volunteering for events goes. And I don't know that we have the people to add more events and volunteer even more. we already have a robust program and are on the map regularly as far as a
destination for tourism and activities. Um, so I'd be curious to see how that plays out again with the it's not the funding issue, it's the people issue. >> And again, I agree. I just mean if anybody out there organization looks at
our new strategic adopted plan, they come to this board. Well, it's in your strategic plan if the whole board says no, forget it. Then why is it in there? >> I think there's going to have to be those those criterion. Like Michelle said, it has to be targeted. Yes, we
would support it, but here's why. And they'd have to meet those criterion. >> Yeah, good good discussion. I I certainly agree with things that are happening already, you know. That's you know support you know you
know provide support as you know as possible but but you know look at piloting support for incremental things right so is there are there incremental events or um programs that will bring
you know lift us get to that next level and then is there support the day can provide so those that's the thought there okay last thing I want to look at is just a calendar. Um, and so this is on page 37
and it's the um, you know, we laid out a a timeline for the year where you look at at, you know, here's the current program and then what changes you want to make. So, um, you know, the small business loan program
and the small business grant program, we're we're suggesting rather radical changes to that, right? So, so that's you know in April what are the criteria that that we're going to that we're going to adopt what what um how do we
find the program the the businesses to be in in this in this economic guardian program and then how do we brand it communicate it. So, a lot y'all have a really heavy lift this year as you look at, okay, here's here's what
we've been doing. We got the recommendations. How do we what are the specifics to implement them? And so, um, that's that's how we laid it out over this year. Of course, you can change that according to what makes the most sense to you, but, um, uh, this is the
what we've laid out. So, you don't have to try and do it all in one marathon. You can take each topic um, individually. I have a question for you with this layout, which I do appreciate not doing everything all at once and spending 20
days in a row doing this. Um, but like for the review small business grant program or the commercial loan where we're talking about perhaps radical changes, would your suggestion be we put those on hold for funding until we've gone through this review or do we do
business as normal and then perhaps next year then I mean the small business grant program if we do business as normal that's going to be gone in January. >> Right. Well, my understanding is that the the budget's already um
prepared and so it's really a matter of adopting it in January and there's probably not I I would suggest you kind of go on autopilot with the current programs for 2026 knowing that you're you know the changes will take time to implement. So
2027 is when the the real changes would be implemented. >> Okay. Thank you. Other [Music] questions or comments on the calendar? I'll just note that this is a really
aggressive schedule and if we need more time, you know, we may need to draw this out, you know, to try and get it all all done in one year um might be might be ambitious on my part. So, um, we'll just have to see how it goes when we get
start, you know, when we get started and we may have to start shifting the calendar. So, it's not set in stone. >> Um, I just want to lay that expectation out up front. >> Yeah, I I just want to say this is a lot of work and I I certainly support what
Heather's saying. this is um just to figure out all the different criteria of the programs and and and how you're going to implement them is it's a ton of work. And so um and we're happy to help if you know if you need to ping some
ideas off us or you ask for some best practices, but it's it's a fair amount of work, including the day job, right? So Heather still had to do her day job plus come up with with these new programs. >> Yeah. And the other thing too that complicates it is we adopt our budget in
September already and we aren't even going to be through all of these changes. So 2026 is going to be status quo. It may also need to be that 2027 needs to be status quo and the changes are
implemented in 2028. Uh you know because we have to set our budget. We're not done going through everything. Also, we need time to share with the community what the changes are. So, I just want to
be realistic in that I know we're anxious to get the changes in place, but we also need to allow ourselves the time to do it and do it well. And to that point, could it be that we
implement some of what we've accomplished earlier in the year and dovetail that into the new budget? So, you're graduating it in rather than 100%. Okay. Now, we're going to do all of this in 2027, 2028.
>> Yeah. Maybe it'll be a hybrid. >> Yeah. >> Yeah. Another thing I'm wondering if we should consider to um be more efficient or um lighten some of that burden that falls on Heather.
Typically, um, Heather and Chris will bring something to the EDA and then we have all the all the questions and we want to change this and we want to change that and Heather goes back and makes adjustments based on
um our discussions at meetings. I'm just wondering if we can do some of these work sessions on the front end instead of the back and forth. that kind of creates more work for Heather. >> I think that's Can you go back to the
calendar slide, Jason? I think that's the way we have it is that we do the work session, >> talk about all the changes we want, and then we bring it for adoption after the work session. >> Is that what you're say? >> Yes, I think that's the way we do have it laid out. So, in February, we'd have
the work session on the commercial rehab loan, small business loan, and then in March, we'd bring it to the EDA. So we already will have your >> okay >> feedback on what you want to see. We'll put that together and bring it >> okay session isn't an already
change program that you >> the work session is just to dis dig into it discuss the changes give staff feedback >> to put it together and then we'll bring it to the following meeting >> um to be approved with the changes that
you wanted to see. >> Sure. Okay. Does that make sense? >> Yeah, that helps clarify that. Thank you. >> We're being strategic. >> I love it. Any other questions or comments for Jason and Sarah?
Thank you very much for your time today. >> Thank you. >> Thank you. >> Thanks. >> Thank you. >> Thanks. >> What are your wishes on the strategic plan? I appreciate the plan that's been put into
place. I think it really um fits the things we've discussed. I would make a motion to approve the EDA strategic plan prepared by Better City unless there's any further discussion. No, I'll second that. We have a motion and a second. Any further discussion or
questions? All in favor say I. >> I. >> Opposed. Motion carries. I'm looking forward to this new plan and thank you very much, Jason and Sarah. >> Goodbye. >> Thanks everyone.
>> Item 6.1 is the economic development activity report. >> All right. Uh madame president and commissioners I um in interest of time I'll cruise through this pretty quickly. Partnership did not meet in November. Um child care team met and has started
planning the 2026 childcare provider appreciation and training event that will be held in April. I think we set the date. Um Smith agreed to sponsor that program again this year. So they'll pay for the trainers and the catered lunch for the providers. Um, so that's a
great partnership um, we've had with them. So the cost to the EDA is very minimal. Um, mainly staff time and a few incidental expenses. Um, received a loan application for a small business loan. Um, and then I'll just
note that um, city staff has met with a developer um, that's interested in potentially creating a downtown hotel. So that may may already be in the works. We'll see if it if it happens or not. Um I attended a data center center forum
that was put on by region 9 in Smith in um North Mano in November and um city manager attended a data center forum at one of the recent trainings. He was at I can't remember if it was >> League of Cities. >> League of Cities. Thank you. Um that is
a hot topic. Um data centers are um sort of everywhere. Um there are small data centers, there are large data centers and um the concerns with water usage and things like that are are very hot topics. So we are learning more about those because we have been approached by
a company that is interested in a future data center in NewM. And so we want to educate ourselves and know what we need to know and what we would allow, what we wouldn't allow in our community. So we're um quickly trying to get up to
speed on that issue. Um, and then I was invited to and attended an openhouse event at Oak Hills Living Center to see their progress on their um, remodel that they're um, wrapping up hopefully this spring. Very, very beautiful. If you haven't had the chance to see um, to see
the improvements, it's um, they're doing a great job and we're so lucky to have them as an asset to our community. End of report. >> Um, I will say that data centers are a hot topic. all of the conferences I go to um including NLC
um coalition region 9 and I didn't I didn't I wasn't able to attend that one um but it is something that data centers all of us should you know if you see an article on it or something like let's really be aware because there are a lot of cautionary tales that are coming out
of some other cities in Minnesota again in regards to the data usage uh or the water usage um it's using a lot of resources um I find that they don't create a lot of jobs. Um, and then they look for a lot of breaks like tiff and abatement to come in and those are
things that we just really like I really want to be cautious about that. I'm not going to say it's pro it couldn't be the right thing for our city. Um, but I really this is something where I would like if anybody comes across this information and and sees reports and things on it, you know, just to take a
look and see if that's something we really want here in our community. >> Yeah, it's funny how the um topics change from year to year. Last year all the tra all the topics were AI you know how to use AI um now this year the topic
seems to be data centers and so it'll be interesting to see what next year brings but you know we all use data centers in our daily lives whether you realize it or not if you use a credit card or debit card or an iPhone or you're using a data center and so we do need them because we
all want that technology at our fingertips and they have to go somewhere um but it's just you know we want to be smart about it if we have one in our community. What um you know, we want it to be an asset, not a detriment to our community. So,
>> um if there's no other questions or comments, I'll make a motion to accept the economic development activity report for November 2025 activities. >> Second. >> We have a motion and a second. Any further discussion or questions for Heather? >> All in favor say I. >> I. I. Opposed. Motion carries. There
being no further items on the agenda, this meeting is adjourned. [Applause]