Jesse, I see you. Can I Can you hear me? >> We're good to go. >> Perfect. Thank >> everybody. Hang tight. Good morning. >> Good morning. Well, >> now we can see him. Mark, I trust you're doing well.
>> A lot better than I was a few weeks ago. >> Amen. >> It's going to take a longer than than my patience has, but [laughter] but I got Bruce here. He's been through it, so he's giving me coaching. >> Okay, it is um 10:30 a.m. on Thursday,
February 12th. I would like to officially call the city of Nisa special meeting to order. Um we have one agenda item on this special council meeting which is the economic development authority/commission
um council discussion and then in parenthesis council motion. Um before we get started I would just like to have the following information noted for the minutes. Miss Wentler, if you could identify for us the two council members that called today's meeting that would be great. uh Zan and Hall and Hall is
had a family emergency so he will not be here tonight. >> Okay, got it. >> It's morning. >> Hopefully everything is okay. Um council, I just wanted to note with this specific special council meeting, this is the second time within two weeks that this meeting was scheduled, cancelled,
and then rescheduled. And just a friendly reminder for all of us that special meetings do create additional costs for taxpayers. You know, including things like our attorneys time, um special meeting compensation for us, uh pulling staff away from their
responsibilities in the office, and also when we schedule meetings that have limited notice during the weekday at 10:30 a.m. on a Thursday, we really restrict public accessibility and participation. and even um Tyler who is a key stakeholder in this for his
knowledge with Bladec like he's got a heart stop at 11 for other meetings. So I would encourage us to really think about that moving forward um and think about respecting the public in time so we can have full transparency, participation and accessibility. And
also on that note, I I do want to say as we all know, we do have final interviews next Tuesday morning for the city administrator clerk position with the expectation that we would ideally have an individual um coming on board and a
new administrative leader in place shortly following those final in uh interviews. So, I also think for us as a city and a council, it would also be beneficial to think about including that new staff leaders perspective on something as important as economic
development for our city moving forward. Um, and I still I was trying to look through it because I didn't see anything in the packet, but I didn't see any information in there or with the call of this meeting that indicated such a level of urgency that warranted this special
meeting today when we do have our regular scheduled council meeting next Tuesday at 6:00 p.m. Uh, I know council member Hall is not here. council members on I don't know if you have any perspective you can share on uh what the critical time perspective of doing this meeting today was versus our council
meeting in three business days from now. >> Uh we are at hand right now needing to get information over to the city attorney to be able to prepare what could and hopefully will be an economic development authority or committee. Uh
so in order for us to be able to do that and vote on it as a council to authorize it, we have some fine details that we still have to hammer out here and uh uh hopefully hoping that this meeting can accommodate that to be able to give the city attorney what he would need uh from
the entire city council's perspective to be able to move forward with this or not. And and and just a followup to that, is there a reason we are in kind of a rush, you know, or urgency to do that versus um waiting until we have a key staff
partner on board with the city administrator clerk and having kind of their, you know, past history, expertise, [clears throat] guidance because we kind of have been without that position for some time. >> Well, we've been without the a full-time city administrator since uh I want to
say close to a year now. So, >> April. um been, you know, moving under that guise. It we still need to, I think, from my perspective, continue to move the city's business forward as much as possible. And I'm hopeful that these interviews next week uh will land us a
full-time city administrator without knowing when they would start uh this investment that the city's made in this property for example uh having an economic development authority be able to be made up from who whomever will be on it will continue to help move that
project forward. So in regards to the timing of it uh we've just kind of been in this limbo for the last I would say better part of a year. So, uh, urgency. I don't know if I'd want to use the word urgency. Uh, apologize if this is disrupting anybody's schedule. Um, but
working diligently to try to keep things moving forward as that's what the city deserves. >> Okay. Thank you. Um, well, let's get into it. So, since we've had a couple of conversations and we've had uh Tyler here multiple times with us to kind of
give his experience and leadership regarding an EDA and then we got into the discussion last uh discussion last time around an EDC. I did a little um digging, you know, in the time since. I don't know if anyone else had the opportunity to do that, but one of the things that I found is that in our Nysa
City Ordinance section 2-125B number 8, it states that the city already has an economic development authority in place. And under Minnesota State statute 469.091, 091 establishment
of an economic development authority requires council adoption of an enabling resolution that would have put would have codified that in our city ordinances. So if you go and look at our ordinances, the last amendment to our city ordinances occurred on October 21st
of 2020, meaning that this economic development authority has been in place at least since then. And when I did look at that last revision, the EDA that is already codified in city law was not actually included as a revision. So,
it's been in place sometime longer than that October uh 21st, 2020. And you know, under Minnesota statute, you can't have one without the other, right? You can't have it in city law if if you didn't have the enabling resolution. And I don't know if anyone here has a copy
of that enabling resolution today, but I think it's critical because that original enabling resolution likely outline things that actually Mr. Glenn brought to our attention in previous uh presentations is the size of the authority, right? Its composition and
membership structure. Was it all the council members that just made it up? Was it a few council members and members of the public or the community? you know, it could have also included things like meeting frequency and governance requirements. And so, uh, Mr. Pearson, I
don't know if you happen to have a copy of that enabling resolution today or Miss Wetler, if you have a copy of that enabling resolution today, but I feel like it's critical for us as a council to be able to review that enabling resolution that already codified in EDA,
which sits in our city law today. Does anyone by chance have a copy of that or any council members? >> I didn't even know we had one. >> Do you want me to speak to that? >> Yes, Mr. Pearson.
>> It looks like it is. I think it is. Yeah. Just a second. >> And here, gentlemen, is a copy of if you guys want. Yep. If Ron wants one too. Is that just the ordinance provision
that you're passing? >> Yeah. Do you It's just This is >> No, no, I don't need to see it. >> Okay. >> Are you suggesting, >> Mler? Do you want to see a copy of this? >> Got it. >> Jesse, I have it. I'm sending you a picture of it. >> Thank you.
Yeah, there's no question that the ordinance makes reference to an EDA and it there's no question that there has been an EDA operating in the city in the past. And so in this process, I've asked city
staff to find out what information we have about how that EDA was formed, any um minutes of meetings, anything that disbanded the EDA because we've heard that word that there was an EDA, but that it was disbanded. We can't find
anything in our archives that disbanded the EDA. Nor can we find an enabling resolution that created it in the first place. Am I talking on a term? >> Well, I found something at one point in
time and maybe it just >> Let me see if I can find it. But I thought there was one at one point in time that disbanded the EDA. Was that in 2017, Tyler? >> Okay. >> And Maggie, maybe you sent me that. I
know you sent me some stuff, but I don't remember seeing that specific. >> So, if if I can just say something is when I came in in 2021, I was asking about if there was an EDA or EDC, and I was told no. >> But there are two I sorry, I'm going to interrupt. There there are there are a
couple issues here then. So, >> this is just kind of surprising. I'm sorry, M. >> Right. But if but if if if staff had found anything um that disbanded the EDA or whatnot, that should have been included in this packet prior to this meeting, right? We we should have had the ability to see
that. The other note on that is if there was something that disbanded this, it's still codified in our city law. So why was there not a public hearing then to change our ordinances to remove it? Because it it's still there. And so this what what is unclear to me is if
the city council at some time passed a law saying that we have an economic development authority and and our city ordinance is crystal clear that it says that but we're claiming it's disbanded
there there needed to be proper steps and processes that we would have gone through to remove that from our city code because right now it is in our ordinances. Mr. Pearson, it looks like you have something to add. >> I just ask you for a second to stop
overt talking this. Will will you, Maggie, will you put back up there that first? >> Yes, this one. >> Is is that the is that the complete is there anything further up resolution? Okay. >> Closing out econom. >> That's okay. So that's with respect to
the fund, right? Correct. >> I just can't access my email from this computer. >> So, so in my opinion, that's not a disbanding resolution. That's a that's a resolution that just declares that the city doesn't operate an EDA any longer
and that the EDA funds are transferred over to the general fund. So that would certainly be a piece that would have been part of concluding an EDA at the time, but I still don't see that we have anything in our records where a resolution has been made to disband the
EDA. I don't know that it matters a lot. Okay? because whether there is an EDA in effect that didn't get properly disbanded or we're starting fresh here, we can still populate a current resolution that makes reference to the question about that and and and
basically says that to the extent that there's a resolution disbanding the former EDA, this resolution will now um recreate the EDA or if there's a resolution out there that we're not aware of and the EDA is still alive, then this consider this an amended
resolution with respect to how the EDA will operate. So, I don't know that it matters terribly um that we can't find that we can structure this resolution, if there's going to be one regarding this current EDA in a way that covers
either base. Um and and I don't have any comment necessarily about our ordinance and what it says about an EDA. Um and that that should have been revised if there wasn't an EDA. I don't know that it matters now because we're talking about going forward with an EDA and a resolution of
some sort which will have which will make that happen. So, from my standpoint, the conversation today needs to be to inform Tyler and I about what you want this EDA to be, what powers you want it to have, what powers
you don't want it to have, so that we can put together the appropriate resolution that you can approve that will then put this EDA either back on track if it still exists or re reformulate it if it got disbanded.
Mr. Pearson, I'm not in full alignment and agreement with what you're stating because the conversation for this agenda item today is for the council to consider either an economic development authority or an economic development commission or committee. And so if the council chooses to move in a direction
of an EDC versus an EDA by majority vote, then we would have to go through the subsequent processes of then, and this is why I do think it's important. I don't know why an enabling resolution doesn't exist because by state law it has to exist, that then there would have
to be a motion to resend that enabling resolution, which is certainly a possibility. But then if the council wanted to go down the path of an EDC versus an EDA, now we're getting into things where we are changing city ordinance and that does require proper notice, public hearing, right? Time
allowing the public to be involved in this. Um, if it's if the council chooses to stay on the path of an EDA, an EDA is already codified in our city ordinance. to your point, yes, we would need an appropriate enabling resolution um by
state law. But I think the prudent and responsible thing to do for city government and for the people is to make sure even if we're if state law doesn't require us take steps A, B, C, D, and E, why not cut corners? Why
not do the due diligence, go through the process, include the public, [clears throat] do things that is right, not because state law mandates us to do it because it's the right thing to do by the people. >> The creation, >> the creation of this, Mr. Pearson, I have not recognized you yet. creation of
this, whichever it is, will fall on the council majority vote. But I am disappointed that staff and our city attorney were looking into things behind the scenes and none of this was included in the packet. That is not right to the public and it's not fair to us as
elected officials. We need the opportunity to be able to look into these things to assess, understand, and analyze so we can come into these meetings educated, informed, thoughtful with details and not just pass it on to maybe, you know, one council member or
two if that happened. I don't know if it did or didn't, but we all have to receive things equally. And we're going to start taking a more professional and respectful approach in this council chamber as we move forward. So, what Maggie has on the board, I think it would be wonderful if we could all have
a copy of that either at our inboxes or printed before we leave today. Um, if council is prepared to have a discussion on the path of an EDA or an EDC, we can certainly have that. We have this on the agenda for Tuesday. We can
table this until Tuesday so we can get more inputs as well. Um, council member Freillley, what are your thoughts? >> I'd like to speak first, please. I'm recognizing council member Freillley first. Mr. Pearson, >> that is fine. >> The bully pulpit. >> I concede my time to the uh city attorney
if he will so have me. I to move forward. I don't think we need an economic authority. I would like to have a committee, but I don't know where we stand right now with everything that you're putting up there. So, that's just where I stand. Council member London,
>> I'm with Mark on that. Uh I think we need to go ahead with uh our plan >> with uh committee or an EDA. >> EDA. >> Okay. I I don't know if council me I don't see council member Zan, but if council member Zan would like to weigh
in >> just so I heard that clearly because I'm trying to pick up what's being said on the microphone. Was council member Freley and council member London what was their stance? They are for They are in favor of an EDC over an EDA.
>> Okay. >> Okay. >> Okay. >> My reason if I can give you reason for that if you'd like. >> Sure. Yeah. Absolutely. >> Well, my reasoning is is because the I just don't want to add another taxing authority or uh committee that has the
authority to tax without the council's uh input >> in response to >> Go ahead. >> Go ahead. Council members on >> in response to that I I have a question for Mr. Glenn. Uh would a if an EDA is
uh what is uh uh if that's a route that the city would go does the EDA then have the opportunity or would we be able to exclude the taxing authority provision from an EDA? >> Uh yes you would. Okay. the the the
what you would be able to do is if you saw a pro just as an example, if you saw a a a project worth the city making an investment into it, you could based on council vote move forward with um setting a tax for that particular year.
You have the as the EDA, you have the ability to tax or not tax. So you can you can look at this a couple ways. one is is that again if there's a project worth taxing for taxing the citizens for you can you can do that you don't need to the city of Baxter does not um
execute a EDA tax each year the city of Brainer does so there are some differences out there but you have the ability on an annual basis to determine whether or not you would uh enable the tax as your EDA but I would suggest that you don't do that I would just suggest
if you do have a project that the EDA feels like that they need funding for. You can I hate to say it this way is you can turn it on and turn it off, but you really can. So you don't have to have the you do not have to um put a tax forward just by creating an EDA.
>> And Mr. Glenn, just to be correct, the EDA, Council Member Fle, Dear Point, you don't want to add another body that has taxing authority, but ultimately the council has to adopt it. >> That is correct. It can't the EDA can't just say hey we want these funds for
project A and >> right >> this is level of it still has to come through council and we as council like you said back like the city of Baxter versus the city of Brainard we could still say hey thank you for the work we like this idea however we're not comfortable with this additional tax
>> correct it just gives any establishment just gives you the ability to enact a tax but you don't have to >> okay since I wasn't at the meeting that a lot of that came out and me and just >> how I've seen them work in the past. So, so
>> if we go with an EDA, they could recommend a tax or recommend some funding. The council then would have an up or down on that. So, it's not like they can go like some authorities where they say, "Yep," and add it onto the levy. Okay, good. That was a good clarification. Thank you. >> Yeah, you're welcome. What about what
about like tiff or and then the other thing would be um because EDA's correct me if I'm wrong do have powers in the sense that they could determine who are the who are the projects we want to give priority to who are the
potential maybe developers that we see around those projects so in that sense does the EDA have those broad powers to I'm saying this wrong but to pick the winners and the losers so to speak >> they do not because it is the city if you were looking at a tiff project which
is t tax tax increment financing or there's also another option is tax abatement and tax abatement isn't isn't used a lot anymore um but the tiff project if there was a project that the city looked at and said or the EDA recommended you know offering tiff
financing to that project they do not have the authority to do that themselves that has to come through the council >> okay >> yep >> so the council still >> correct >> maintains the perspective that we are elected and we do cast those votes. >> The creating an EDA for the city gives
some separation if you want to say it that way. It gives the EDA the ability to work on projects to guide staff to guide me on projects to work forward to. Um then they would still projects that require any type of um assistance would
still need to come back through the council for full council approval. >> Okay. Um, I'm not opining either way on EDA or EDC, but the one thing I would note, um, and again, I'm not speaking in favor. I just am trying to put facts on the table for everyone to consider. Um,
if the council chooses to go with an EDC, just keep in mind an EDC really doesn't have any teeth. It's like the liquor committee, right? It's a group of people that are appointed. Um, and sure, uh, we want their expertise, their
value, and knowledge, but ultimately it's like the liquor committee. There's no teeth. We can we can motion on things in the liquor committee. It doesn't really matter because it still comes back to the council, whereas I think an EDA has a little more
uh, weight behind it. Um, council members, you have expressed some concerns with an EDA. Um, I think Mr. Glenn has tried to do a good job in explaining things, but I just wanted to note that as one major difference between the two, then are we just creating another level of bureaucracy?
Is it even needed? Right. The second thing I would say is if we do go down the path, if council decides to go down the path of an EDC, which is absolutely an option, just keep in mind too uh based on what we cited here earlier in the meeting, we already have an EDA
codified and in city ordinance. So that's not a reason to do or not to do something. But if we're going to change it, we are going to need to follow the process of a public hearing, public notice, right? Um going through that all those steps in which it seems like some
council members felt this was more of let's keep it moving, not that this would delay it. So just factoring all that in. Obviously on the flip side of it, we have heard from multiple members of the public um and business owners that are adamantly against an EDA, right? So, we've kind of heard all
angles here, but that's really up for council to decide. I know Mr. Glenn has a hard stop in about seven minutes. I don't know if you want to add anything else before I turn it back here to council. >> Yeah, if I could. The and and your points are valid. Uh, Mayor Carneahan, the the one thing I would say about an
EDC is an EDC is, as you mentioned, is just an advisory board and they're made up of just community members. No, there are no sitting uh council members that are allowed to be on an EDC. So that group is appointed by the council. The
council then takes recommendations from an EDC to move projects forward, to do different things. If they're looking at marketing, if they're looking at um how to promote the city, the EDC's typically do that. Uh so they're really they don't carry really any power. I
don't and power is not the proper word, I guess. >> So if I jump in here real quick. So the so the C ends up to just okay this is what we can do but they don't have anything and the authority okay that was a good clarification that you had they basically keep the ball rolling
so okay yep so I I am I am very changeable on my position >> council member London before because Mr. Glenn does have to go to another meeting do you have any questions for him before he leaves okay council members on do you have any questions for Mr. Glenn before he has to jump off
>> just in regards to the document that uh Tyler that you shared with us at the last um the last meeting regarding EDA. Uh you had a two-page document of of what an EDA can do and the key functions. Um, would you believe that to
be proper guidance for us to consider in regards to perhaps drafting a formal asking the city attorney to draft a formal resolution so we have some guiding principles that that was originally what council member Hall and I were discussing is we we don't want to continue to let more and more time pass.
We we'd like to try to get this to a a council vote um and have everybody's ideas of an economic development authority or committee on the table so we can start moving forward. Um specifically in regards to uh the the
land prop property out on 371. Um do you have any suggestions for us so we can make use of this time for perhaps a council motion to direct the city attorney? Yeah, I I do. And the the document that I drafted is really highlighted um what authority an
economic development authority has, you know, and there are some I think there are some broad strokes in there. It could peel it down um provide some at least some updates or some guidance for the uh for the council with regards to moving that forward. Um, you know, an
EDA does I think an EDA does pro put put the proper structure into a into a a city that has the opportunities for development and the opportunities to move city-owned pro properties forward.
Um, it does give me more authority, if you want to say it that way, as your contracted economic development person. Um, it allows me to go much broader in how we're supporting the uh the city- owned properties in in particular, but also other properties. Um, working with
developers. So, I end up being the front line to that. So, that development, if development does come to me, then I bring it forward to the EDA. The EDA can have discussions. We can give recommendations to that EDA board. The EDA board then can take action and move it forward to the council. Um so you
know with regards to drafting a resolution however all of this plays itself out as regards to whether there is an EDA in place already. If there is you know my recommendation of course then would be to the council is to assign some you know have some
conversations around uh members of that. If you do go with a fivep person board you would you are allowed or required excuse me to have two sitting city council members be a part of that authority. So then you'd need three other community members and you'd have to ask them to serve on this. But um I
think that if I I can go back through the agreement uh council members on and or the documentation that I provided for you and um highlight some things if you'd if you'd like me to or provide some information back to the uh city attorney. I'm happy to do that as well. >> I
here would be my Thank you so much. Um wait, sorry. Any last questions for Mr. before he leaves because he does have to leave here soon. >> Yeah. I got one more, Tyler. Do from your experience, do those other if it was five, do those other three
community members need to be residents or of the city in Niswah or do they need to have a principal business in Niswah? >> Either or. So, if they can they to serve on a committee to serve on an authority, they have to either own a business within city limits or be a resident of
the city itself. >> Okay. That's that's I think that's very consistent with the other committees, too. So, okay. I don't have any more questions. I appreciate Tyler. >> You're welcome. >> Okay. Last call, gentlemen. Any questions? >> Okay. I've got a few. >> Yeah. We know you have a hard stop, so we don't want to hold you up. We
appreciate you being here. >> Yeah. Thank you very much for having me here and and uh asking for my assistance. >> Thank you. We appreciate it. >> Um Okay, gentlemen, the question would be are are you ready?
We're missing a council member. Are you ready to vote today? We are meeting again for our regular council meeting on Tuesday at 6 PM. This is on the agenda for that meeting. Um would you prefer to take your time to think about what you want in the resolution to direct our city attorney between now and Tuesday
and we all can take because this was a robust dialogue. There was inputs that I think not everybody had visibility to coming into this meeting. It gives us all each a few additional days. Then it allows the public to be informed. And when we're having the discussion then to
give guidance and direction to the city attorney about crafting a resolution and then depending on the outcome of that EDA or EDC then that could be you know adopted at our Mar at our March 17th meeting or do you feel like we need to
hammer this out and do this today and get this done so that at Tuesday we're ready to go? Um Council Member Freley, I'll start with you. >> Um I have no problem waiting until Tuesday. Council member London, >> I think it'd be best to wait till Tuesday. The city attorney is present.
>> Okay. Uh, council members on I I'm in alignment with the two that I think it's best to wait till Tuesday, but what are what is your perspective? Are you comfortable with that? And because we're also missing council member Hall and he did call this meeting with you and I feel like it's a little bit unfair to not have him here and have his voice either.
>> Sure. I I mean, my my goal was to try to have us have uh enough meat on the bone to be able to give to the city attorney to have even some form of a draft resolution for us to consider to be able to uh discuss and
and vote on for the Tuesday meeting. Um, I feel like we have enough to be able to give to the city attorney to to do that, but if the majority there is under the uh perception that you guys would like to wait until Tuesday's meeting, uh,
then it means we'll be doing it in March. So, um, >> which is not, it's only another month off because February is a shorter month by a day, right? >> A full day. >> A full day. So, >> I mean, so so to answer your question, I guess, mayor, is is no, I would not like
to wait, but uh I'm just I I like to I like to move uh forward, but if this is where we're at, uh I I guess that's okay. I mean, I [snorts] Joe's uh emergency situation with his family, and I don't think anybody can predict that,
but uh just because I've had conversations with him about the prospects of a of a EDA for a couple years now, uh since he's been on council, um I feel like I kind of get a gist where he's at and I think he would probably encourage us to try to move
forward with it. But, um if that's uh where the majority sits, then I guess we'll have to wait. I think we just wait and we give it time and we have good inputs. Did you have one more thing, Mr. Glenn, before you have to jump off? >> Yes, if I may. Um, Mayor Carin and Council, um, I am available in this
window. So, if you can I mean, Maggie has all of my contact information if anybody has any questions or would like more information or details >> around um how this process moves and how you uh what work we are able to do on this. I'm happy to answer any questions
you have prior to drafting a resolution that you'd like to do that on Tuesday night. Um, I'm available on Tuesday night as well, so I can be here for for council meetings. So, just wanted to put that out there. I hope I'm not crossing any whatever, but >> No. And we could and you would be comfortable if any of us on the council
reached out to you prior to Tuesday for offline input. >> Absolutely. I I would welcome it. >> Thank you very much. >> Okay. Well, with that then a motion to adjurnn would be in order. >> I so move. Second. >> All those in favor signify by saying I. >> I. >> Opposed. Okay. Our meeting is adjourned.
Thank you everyone. >> Thank you. >> Um we come to get a copy of that. Medic.