Minutes |
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Community Development Authority |
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City Hall PRESENT: Chairman Pat Wilborn, Mayor Scott Huebner, Alderman Harold Matthews, Mary Becker, and Mike Haggenjos. ALSO PRESENT: John Meland of SEWRPC, Planning & Development Director Randy Tetzlaff, Linda Robbins and Michelle Norman, representing Dinner Helpers, and Keith Wetherell from the Port Washington State Bank. Roll Call: Chairman Wilborn called the meeting to order at 4:30 p.m. and noted that a quorum was present. Review and Recommend a Request from Home Plate Enterprises, LLC (Dinner Helpers) for an $80,000 Revolving Loan to Assist with the Purchase of Equipment, Working Capital, and for Closing Costs. John Meland presented the members with an update of the RLF program noting that the existing balance is $378,949 Meland reviewed the company’s proposed business. A 7-year loan at 3.25% is proposed, which is ˝ of prime that is for principal and interest. He also reviewed in a memorandum his suggested contingencies. The members asked the business representatives several questions about the proposed operation and competition. The intention of the business to buy food items local was well received. A motion was made by Matthews, seconded by Huebner to recommend approval of an $80,000 loan request to Home Plate Enterprises, LLC as per the contingencies suggested in John Meland’s memorandum. All voting aye, the motion carried. Discuss Recent U.S. Supreme Court Decision Regarding the Expansion of Eminent Domain Powers for Economic Development. Tetzlaff distributed and reviewed some legal opinions regarding the recent decision and its possible impacts on Wisconsin. It appears the media may have misrepresented the decision, yet, and some state legislators have decided to draft new legislation limiting municipal eminent domain power. Wisconsin currently prohibits the use of eminent domain for economic development; it may only be used for public purposes (roads, parks, etc.). However, it may be used if part of an approved redevelopment area if the property is designated as blighted. That however, requires much public scrutiny. In addition to just compensation, Wisconsin requires relocation and moving expenses. Haggenjos asked whether the Court decision may prompt changes to more liberalize the use of eminent domain. It is thought on the contrary, if there are any changes, they would be more restrictive. Any Other Matter That May Be Authorized By Law: Mayor Huebner informed the members that he recommending Ruth Lansing, a VP at Ozaukee Bank to fill the remaining vacancy on the CDA. Adjournment: Motion by Matthews, seconded by Becker to adjourn the meeting. All voting aye, the meeting adjourned at 5:30 p.m. City Hall PRESENT: Chairman Pat Wilborn, Mayor Scott Huebner, Alderman Harold Matthews, Erica Roller, and Mike Haggenjos. ALSO PRESENT: John Meland of SEWRPC, Planning & Development Director Randy Tetzlaff and Edward Lutz. Roll Call: Chairman Wilborn called the meeting to order at 4:00 p.m. and noted that a quorum was present. Approval of Minutes: A motion was made by Huebner, seconded by Haggenjos, to accept the minutes of the July 29th meeting as presented. All voting aye, the motion carried. Review and Recommend a Request from Custom Wire Technologies, Inc. for a $65,000 Revolving Loan to Assist with the Purchase of Equipment and for Closing Costs. John Meland first presented the members with an update of the RLF program noting that the portfolio currently exceeds $1M and the existing balance is $366,984. He also gave a quick status report on past RLF loans. Meland provided an overview of the company’s business and product line. Although currently sub-leasing space, the company wants to acquire a business condominium, from which Ozaukee County RLF monies would be used; and then use City RLF monies for the purchase of equipment. A 3-year term would coincide with the bank loan. A personal guarantee would be provided by each of the three owners as security. Up to nine FTE jobs may be created with the use of the funds. Members asked several questions of both Meland and Ed Lutz who was represented the company. Lutz stated emphatically that the company wants to be here in Port Washington. A motion was made by Becker, seconded by Roller to recommend approval of a $65,000 loan request to Wisconsin Wire Technologies as per the contingencies suggested in John Meland’s memorandum. All voting aye, the motion carried. Any Other Matter That May Be Authorized By Law: None Adjournment: Motion by Seiwert, seconded by Huebner to adjourn the meeting. All voting aye, the meeting adjourned at 5:30 p.m. City Hall PRESENT: Chairman Pat Wilborn, Mayor Scott Huebner, Alderman Harold Matthews, Erica Roller, and David Seiwert. ABSENT: Mary Becker and Mike Haggenjos ALSO PRESENT: Planning & Development Director Randy Tetzlaff and representatives of the Taurean Group. Roll Call: Chairman Wilborn called the meeting to order at 4:30 p.m. and noted that a quorum was present. Approval of Minutes: A motion was made by Matthews, seconded by Roller, to accept the minutes of the April 7th meeting as presented. All voting aye, the motion carried. Review and Approve Expenditure of Funds for a Strategic Revitalization Plan by the Taurean Group: Tetzlaff provided the members with a brief overview of the proposed study. John Norman and Mike Robbins, representing the Taurean group, provided more detail and answered questions. It was noted that the Common Council had already approved funding a portion of the study pending approval of the CDA. A motion was made by Huebner, seconded by Roller to approve the expenditure of $10,000 for the Strategic Revitalization Plan by the Taurean Group. All voting aye, the motion carried. Review and Approve Amendments to the Revolving Loan Fund Program and Policies Manual: Tetzlaff distributed copies of revisions made to the RLF Program and Polices Manual. The revisions which, were previously recommended by the CDA, have now been approved by the Wisconsin Department of Commerce. The CDA and Common Council still need to give final approval to the changes. A motion was made by Matthews, seconded by Roller to approve the amendments to the Revolving Loan Fund Program and Policies Manual. All voting aye, the motion carried. Any Other Matter That May Be Authorized By Law: Dave Seiwert announced that he has accepted a job transfer and will be moving. A banker or someone with lending experience will again be sought for his replacement. Adjournment: Motion by Seiwert, seconded by Huebner to adjourn the meeting. All voting aye, the meeting adjourned at 5:30 p.m. City Hall PRESENT: Chairman Pat Wilborn, Mayor Scott Huebner, Alderman Harold Matthews, Mary Becker, and Erica Roller. ABSENT: James Burczyk and Mike Haggenjos ALSO PRESENT: Planning & Development Director Randy Tetzlaff, John Meland of SEWRPC, City Administrator Mark Grams, and Loan Applicants Witzlib and Gehl. Roll Call: Chairman Wilborn called the meeting to order at 4:30 p.m. and noted that a quorum was present. Approval of Minutes: A motion was by Matthews, seconded by Roller to accept the minutes of the March 29th meeting has distributed. All voting aye, the motion carried. Review of Program Funds: John Meland reviewed a status report on the RLF funds to date. Currently, there is $522,920 available for lending. Review and Recommend Request for Revolving Loan Funds From Witzlib Holdings, LLC: John Meland reviewed his memorandum discussing the request for $100,000 from Witzlib Holdings, LLC to assist in the acquisition of real estate and assets of a community-based residential facility (C.B.R.F.) at 226 N. Spring Street. John noted that there is adequate cash flow and a community need for this type of facility. A motion was made by Becker, seconded by Huebner to recommend approval of a $100,000 RLF loan to Witzlib Holdings, LLC, subject to the contingencies in the April 1st memorandum. All voting aye, the motion carried. Review and Recommend Request for Revolving Loan Funds From Three Daughters, LLC: Meland reviewed his memorandum discussing the request for $100,000 from Three Daughters, LLC, to assist in the acquisition of the assets of the local Dairy Queen. The assets would include the land, building, equipment, and DQ franchise. Although this business is seasonal, both owners are employed full-time. John proposes that the principal payments be delayed for 12 months because this is a start-up of a new business. Interest only payments would continue during the referral period. A motion was made by Huebner, seconded by Becker to recommend approval of a $100,000 RLF loan to Three Daughters, LLC, subject to the contingencies in the April 2nd memorandum. All voting aye, the motion carried. Amendments to the RLF Program Policies and Procedures Manual: Randy Tetzlaff suggested that the City may want to formally request that our Manual be amended to include some of the changes that we have been discussing. John then reviewed each of them. He further suggested that a letter be drafted by the Mayor and sent to the Department Commerce requesting the amendments. If approved, they would be sent to the Common Council for formal approval. A motion was made by Becker, seconded by Roller to recommend the following amendments: (1) that the City require a loan application fee of 0.5% of the RLF loan amount, with a $50 minimum and a $500 maximum; (2) that the City require the applicant to pay ˝ of the legal fees and costs incurred for the loan closing; (3) that the interest rate shall be set at ˝ of the prime rate as published in the WSJ or 4%, whichever is less, and shall be fixed for the term of the loan; and (4) deferral of principal payments may be provided for a maximum of 2 years from the date of the first disbursement, or ˝ of the loan term, whichever is less. Interest only payments shall be required during this term. All voting aye, motion carried. Any Other Matter That May Be Authorized By Law: Randy verified that Jim Burczyk has now retired and will be spending most of his time at his cottage in northern Wisconsin. He asked that someone be appointed to replace him. A banker or someone with lending experience will be sought. Adjournment: Motion by Roller, seconded by Becker to adjourn the meeting. All voting aye, the meeting adjourned at 6:00 p.m. City Hall PRESENT: Chairman Pat Wilborn, Mayor Scott Huebner, Alderman Harold Matthews, Mike Haggenjos, Mary Becker, and Erica Roller. ABSENT: James Burczyk ALSO PRESENT: Planning & Development Director Randy Tetzlaff, John Meland of SEWRPC, City Administrator Mark Grams, and Loan Applicants Kathryn and Bill MacDonald Roll Call: Chairman Wilborn called the meeting to order at 4:30 p.m. and noted that a quorum was present. Review Role of the Community Development Authority and Discuss Future Projects and Activities: Since this is the first CDA meeting in some time and because four of the members are new, Randy Tetzlaff gave a brief overview of the purpose and responsibility of the CDA. Harold Matthews and Pat Wilborn also reviewed past Authority activity including the study of the S. Spring Street corridor; the discussion about acquiring the billboards along the street; and the possible relocation of the mobile home park. John Meland also took time to review how the Revolving Loan Program (RLF) works and summarized past loans and projects in the City. At a subsequent meeting, staff will review past redeveloped sites identified by the CDA as well as a discussion of possible new sites and projects. Review and Recommend Request for Revolving Loan Funds by K. MacDonald: John Meland discussed his memorandum dated March 25th that summarized the applicant’s request for a RLF loan for a start-up business operation to be called Kasha’s Old World Café at 309 N. Franklin Street. The members asked several questions and it was a consensus that while the project was lean on collateral, there was a strong business owner present. John also informed that members the Common Council had met in a special session and had approved the loan contingent on the approval of the CDA. The Council also approved extending the interest only period from six to twelve months. A motion was made by Huebner, seconded by Matthews, to recommend approval of the RLF loan to the MacDonalds for Kasha’s Old World Café subject to the contingencies contained in the March 25th memorandum, noting that the interest only period be extended from 6 months to 12 months and that debt service begin on the thirteenth month of the loan term. All voting aye, motion carried. It was requested that John distribute a summary of quarterly financial statements to the members. In addition, Randy will distribute copies of the RLF Policies and Procedures Manual. In the future, the CDA may want to review and discuss possible revisions to the Manual. Any Other Matter That May Be Authorized By Law: The next CDA meeting will be held at 4:30 p.m. on Wednesday, April 7. In addition, Randy would verify if Jim Burczyk is still available to serve. If not, he would try seeking a banker to either serve on the CDA or to serve as an advisor. Erica Roller indicated that she would like to be reappointed after her term ends next month. Adjournment: A motion was made by Haggengos, seconded by Becker to adjourn the meeting. All voting aye, the meeting adjourned at 5:40 p.m. |
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