Economic Development Authority

Meeting Location: Farmington City Hall, Conf Room 170 430 Third Street Farmington, MN 55024 ECONOMIC DEVELOPMENT AUTHORITY REGULAR MEETING AGENDA Monday, April 20, 2026 5:30 PM Page 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVE AGENDA 5. CITIZEN COMMENTS 6. CONSENT AGENDA 6.1. Minutes of the March 16, 2026 Regular Economic Development 3-7 Authority Meeting Approve the minutes of the March 16, 2026 Regular Economic Development Authority Meeting. Agenda Item: Minutes of the March 16, 2026 Regular Economic Development Authority Meeting - Pdf 6.2. Monthly Financial Report 8-9 Accept the Monthly Financial Report. Agenda Item: Monthly Financial Report - Pdf 7. PUBLIC HEARINGS 8. DISCUSSION ITEMS 8.1. MicroGrant Program 2026 10 - 18 Provide feedback on the MicroGrant guidelines and approve Resolution 2026-02, authorizing funding for the MicroGrant program. Agenda Item: MicroGrant Program 2026 - Pdf Page 1 of 35  8.2. Downtown Social Grant Agreement 19 - 29 Review and approve Resolution 2026-03, approving funding for Downtown Social. Review and approve the grant agreement with Laura Hanks on behalf of Downtown Social. Agenda Item: Downtown Social Grant Agreement - Pdf 9. DIRECTOR'S REPORT 9.1. Director's Report 30 - 35 No action requested. This item is informational and is provided to communicate how the EDA time and money resources are allocated and to track and measure the impact of initiatives. Agenda Item: Director's Report - Pdf 10. ADJOURN Page 2 of 35  ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO To: Economic Development Authority From: Shirley Buecksler, City Clerk Department: Administration Subject: Minutes of the March 16, 2026 Regular Economic Development Authority Meeting Meeting: Economic Development Authority - Apr 20 2026 INTRODUCTION: For approval are the minutes of the March 16, 2026 Regular Economic Development Authority Meeting. ACTION REQUESTED: Approve the minutes of the March 16, 2026 Regular Economic Development Authority Meeting. ATTACHMENTS: 03.16.26 EDA Minutes Page 3 of 35  City of Farmington Economic Development Authority Regular Meeting Minutes Monday, March 16, 2026 The Farmington Economic Development Authority met in regular session on Monday, March 16, 2026 at Farmington City Hall, 430 Third Street, Farmington, Minnesota. 1. CALL TO ORDER Chair Cordes called the meeting to order at 5 pm. 2. PLEDGE OF ALLEGIANCE Chair Cordes lead everyone in the Pledge of Allegiance. 3. ROLL CALL Members Present: Chair Jake Cordes Commissioners Holly Bernatz, Nick Lien, and Steve Wilson Members Absent: None Staff Present: Lynn Gorski, City Administrator David Chanski, Assistant City Administrator Deanna Kuennen, EDA Executive Director Stephanie Aman, Economic Development Coordinator John Powell, Public Works Director/City Engineer Kim Sommerland, Finance Director Kellee Omlid, Parks and Recreation Director Nate Siem, Police Chief Also Present: Laura Hanks and Jared Cooley, Farmington Downtown Social 4. APPROVE AGENDA Motion was made by Commissioner Bernatz and seconded by Commissioner Lien with a request to move Item 8.2 to Item 8.1 on the agenda and approve the agenda as amended. Motion carried: 4 ayes / 0 nays 5. CITIZEN COMMENTS No one addressed the Commission to speak. EDA Minutes of March 16, 2026 Page 1 of 4 Page 4 of 35 6. CONSENT AGENDA 6.1 Minutes of the February 17, 2026 Regular Economic Development Authority Meeting 6.2 Monthly Financial Report Motion was made by Commissioner Bernatz and seconded by Commissioner Lien to approve the Consent Agenda, as presented. Motion carried: 4 ayes / 0 nays 7. PUBLIC HEARINGS 8. DISCUSSION ITEMS 8.1 Funding Request for 2026 Event Series – Downtown Social Downtown Social is beginning its second season of attracting people to Farmington's downtown. The organizers have reached out to the City seeking collaboration with promotion and funding. Staff met with key organizers to better understand what it is that they have done, what they hope to accomplish this season, and how they wish to move forward in the future. Although still in early stages for future bigger events, Downtown Social is working intentionally to build an inclusive model. Organizers have expressed strong interest in ensuring that any Farmington brick-and-mortar business that wishes to participate can be incorporated into the monthly events. These businesses have invested in Farmington, and they are now requesting the EDA to provide an investment into them. Motion was made by Commissioner Wilson and seconded by Commissioner Bernatz to approve up to $6,000 to support the 2026 Downtown Social Event Series. Motion carried: 4 ayes / 0 nays The EDA directed Staff to move forward with the development of a contract. 8.2 Resolution 2026-001 Approving the Acquisition of Real Property in the City of Farmington (PID: 14-77000-08-110) Following discussion of the property, motion was made by Commissioner Lien and seconded by Commissioner Wilson to approve an offer of $53,980. EDA Minutes of March 16, 2026 Page 2 of 4 Page 5 of 35  8.3 Letter of Support – Childcare Economic Development Grant, Mis Tortuguitas Mis Tortuguitas, the only Spanish immersion daycare in Farmington, located at 19645 Pilot Knob Road, recently opened in November 2025. They have already expressed their desire to expand at their current location. To facilitate the expansion, they are pursuing a DEED Childcare Grant. Mis Tortuguitas reached out to the CDA to submit the grant on their behalf. The CDA agreed to partner and has additionally requested a letter of support from the EDA. Priority will be given to projects that demonstrate support from the community in which the project will take place. Providing a letter of support demonstrates the City's own role in supporting our businesses and the importance that this potential project has on addressing the regional childcare shortage and how the expansion of Mis Tortuguitas directly supports workforce participating by enabling additional families to access reliable childcare. Motion was made by Commissioner Bernatz and seconded by Commissioner Lien to authorize the EDA Chair to send a letter on behalf of the EDA to support the Mis Tortuguitas Child Care Economic Development Grant application being submitted by the Dakota County Community Development Agency. Motion carried: 4 ayes / 0 nays 8.4 “Share the Downtown” – 15 Minute Parking Pilot Program With the increased activity in downtown, there is also a greater demand for convenient parking options that support quick visits to local businesses. Several businesses and property owners have expressed interest in seeing the City add short-term parking spots in the downtown. Following discussion of the number and location of “Quick Stop Spots,” motion was made by Commissioner Lien and seconded by Commissioner Bernatz to approve version 2, which is a total of ten 15-minute parking spots. Motion carried: 5 ayes / 0 nays 9. DIRECTOR’S REPORT 9.1 Director’s Report EDA Minutes of March 16, 2026 Page 3 of 4 Page 6 of 35 10. ADJOURNMENT The meeting was adjourned at 6:45 pm. Motion carried: 4 ayes / 0 nays Respectfully submitted, Shirley R Buecksler City Clerk EDA Minutes of March 16, 2026 Page 4 of 4 Page 7 of 35  ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO To: Economic Development Authority From: Deanna Kuennen, Community & Economic Development Director Department: EDA Subject: Monthly Financial Report Meeting: Economic Development Authority - Apr 20 2026 INTRODUCTION: Attached is the monthly Financial Report for April 2026. DISCUSSION: Attached is the monthly Finance Report for April 2026. The report includes a summary of the approved 2026 budget and year-to-date expenditures. ACTION REQUESTED: Accept the Monthly Financial Report. ATTACHMENTS: EDA Budget Report- April 2026 Page 8 of 35  04/16/2026 BUDGET REPORT - APRIL EDA MTG 2025 2025 2026 2026 Activity Amended Budget Activity /YTD Expenditures Amended Budget GL Number Description Fund: 200 HRA/ECONOMIC DEVELOPMENT Account Category: Estimated Revenues UNRESERVED FUND BALANCE 411,501.80 200-0000-4011-000 CURRENT PROPERTY TAX 250,000.00 250,000.00 0.00 250,000.00 200-0000-4516-000 ADMINISTRATION FEES - PROJECTS 0.00 0.00 0.00 0.00 200-0000-4955-000 INTEREST ON INVESTMENTS 25,546.57 2,600.00 0.00 5,200.00 Estimated Revenues 275,546.57 252,600.00 0.00 255,200.00 TOTAL REVENUE Account Category: Appropriations 200-2000-6280-000 BOOKS & SUBSCRIPTIONS 1,755.51 150.00 245.00 150.00 The Business Journal 200-2000-6401-000 PROFESSIONAL SERVICES 37,260.60 25,000.00 1,040.00 25,000.00 appraisal 200-2000-6403-000 LEGAL 496.00 3,000.00 152.80 3,000.00 legal review 200-2000-6426-000 INSURANCE 404.63 600.00 0.00 600.00 200-2000-6445-000 POSTAGE/SHIPPING FEES 0.00 1,000.00 0.00 1,000.00 200-2000-6450-000 OUTSIDE PRINTING 2,148.54 3,000.00 993.16 3,000.00 banners, notebooks 200-2000-6455-000 LEGAL NOTICES 0.00 500.00 0.00 500.00 200-2000-6460-000 MEMBER DUES & LICENSURE 8,060.00 8,500.00 3,675.00 8,500.00 DCRC, MAEDC, MREE, EDAM 200-2000-6470-000 TRAINING & SUBSISTANCE 5,940.28 5,000.00 2,016.70 5,000.00 EDAM, Fluence, Next26 200-2000-6480-000 MEETING EXPENSE 523.14 500.00 0.00 500.00 200-2000-6485-000 MILEAGE REIMBURSEMENT 784.98 5,100.00 234.42 5,100.00 200-2000-6492-000 ADVERTISING 0.00 0.00 0.00 0.00 200-2000-6505-000 EQUIPMENT REPAIR/MAINTENANCE 0.00 1,000.00 0.00 1,000.00 200-2000-6550-000 DEVELOPER PAYMENTS 0.00 50,000.00 0.00 50,000.00 200-2000-6570-000 PROGRAMMING EXPENSE 18,709.00 85,000.00 15,500.00 85,000.00 MREJ, CDA (Open to Business) 76,242.67 188,350.00 23,857.08 188,350.00 YTD EXPENDITURES/2026 BUDGET Fund 200 - HRA/ECONOMIC DEVELOPMENT: TOTAL ESTIMATED REVENUES 275,546.57 252,600.00 0.00 255,200.00 TOTAL EDA FUNDS (including unallocated funds) TOTAL APPROPRIATIONS 76,242.67 188,350.00 23,857.08 188,350.00 NET OF REVENUES & APPROPRIATIONS: 199,303.90 64,250.00 (23,857.08) 66,850.00 unallocated EDA FUNDS 231,342.92 Remaining YTD Unspent Balance Page 9 of 35  ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO To: Economic Development Authority From: Stephanie Aman, Economic Development Coordinator Department: EDA Subject: MicroGrant Program 2026 Meeting: Economic Development Authority - Apr 20 2026 INTRODUCTION: With ongoing discussions over the last year, the EDA has expressed desire to continue to explore opportunities and programs that would strengthen the local business environment and support entrepreneurial growth. At the direction of the EDA, Staff are bringing forward a refined and more robust MicroGrant program designed to provide modest, targeted financial assistance in the form of matching dollars, to businesses seeking to address immediate needs, enhance their operations, and in general to meet businesses where they are at. This updated program reflects the EDA’s commitment to fostering a vibrant and resilient local economy and is being brought forward for consideration as a tool to support Farmington’s business community. DISCUSSION: The EDA is being asked to consider reinstating the MicroGrant Program with updated parameters that better reflect current business needs and the community’s economic development goals. The previous version of this program provided grants of up to $2,500 per business. While successful for the businesses that utilized the program, Staff recognize that a more impactful level of assistance may be necessary to meaningfully support business growth, operational improvements, and innovation. Staff are proposing that the updated MicroGrant Program offer awards of up to $10,000 per business, structured as matching grants to ensure shared investment and accountability. This expanded funding level is intended to give businesses greater flexibility to address immediate needs or undertake projects that may otherwise be financially out of reach. (Examples of uses are outlined in the MicroGrant Program Guidelines and are intended to be flexible.) To support the program, Staff recommend allocating up to $50,000 from existing program dollars. This allows multiple businesses to benefit from the program while maintaining responsible use of EDA resources. Page 10 of 35 The EDA is asked to discuss the new proposed funding levels, total program allocation, and any other changes they would like to see and allow staff to move the updated MicroGrant Program forward for implementation. BUDGET IMPACT: $50,000 from program funds ACTION REQUESTED: Provide feedback on the MicroGrant guidelines and approve Resolution 2026-02, authorizing funding for the MicroGrant program. ATTACHMENTS: 2026-02 Resolution Approving Micro Grant Program - Final Final - 2026 Microgrant Guidelines Page 11 of 35  ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF FARMINGTON DAKOTA COUNTY, MINNESOTA RESOLUTION 2026-02 A RESOLUTION APPROVING THE 2026 MICRO GRANT PROGRAM AND ASSOCIATED FUNDING. WHEREAS, the City of Farmington Economic Development Authority and City Council have identified business growth as a priority pillar; and WHEREAS, the City of Farmington Economic Development Authority has developed a Micro Grant program, based on a previous program, to meet businesses where they are, reduce barriers to growth, and support long-term success of businesses of all sizes; and WHEREAS, the City of Farmington Economic Development Authority has allocated fifty thousand dollars ($50,000.00) in the 2026 EDA budget for program development and business incentives; and NOW, THEREFORE, BE IT RESOLVED, that the Economic Development Authority of the City of Farmington hereby approves the 2026 Micro Grant program and authorizes funding to support the program in the amount of fifty thousand dollars ($50,000.00); and BE IT FURTHER RESOLVED, that the President of the Economic Development Authority and the Executive Director are hereby authorized to sign and execute all documentations necessary to fulfill this action. Adopted by the Farmington Economic Development Authority of the City of Farmington, Minnesota, this 20th day of April 2026. ATTEST: ____________________________ ______________________________ Jake Cordes, Chairperson Deanna Kuennen, Executive Director Page 12 of 35  Micro Grant Program Guidelines 2026 A business resource provided by the Economic Development Authority Page 13 of 35  City of Farmington – Farmington Economic Development Authority Micro Grant Program Program Objectives Business growth is a priority of the City Council and the Farmington Economic Development Authority. To support small businesses, enhance the footprint of Farmington businesses, and meet businesses where they are at – the city continues to build out an economic development tool kit that will encourage business growth and investment. The goal is to support innovative ideas and necessary projects that can help our small businesses contribute and enhance the Farmington economic base. The Economic Development Authority (EDA) is offering a microgrant program to provide infusions of cash into our local businesses to be used for a variety of purposes that help businesses thrive and grow. All commercial business are eligible, provided that the business is located within the city and meets all zoning and code requirements. This grant is meant to meet business where they are at, fund bold projects and ideas, reduce barriers to growth, and contribute to overall business success in Farmington. Eligible Businesses Businesses located within the municipal boundaries of the City of Farmington are eligible. If you are unsure if your business is eligible or if you qualify for this program, please contact city staff who will assist you. When bringing an idea for funding forward, business coaching is encouraged but not required. The City of Farmington works very closely with MDDC/Open to Businesses and encourages all small businesses to utilize their free and confidential small business services. Examples of other business coaching agencies include SBA and the Small Business Development Center. Eligible Improvements Funds may be used for a variety of purposes, and the micro grant program has been designed to meet businesses where they are at, allowing the businesses to determine what they need to be successful. Applicants must outline how the project provides value to their business, expected outcomes, and how they intend to utilize the matching grant funding. Funds may be used for, but are not limited to: • Point of sale system – new or upgrade • Website – new build out or upgrade/enhancement of current site • Social media consultation for business • Signage • Relocation of business within the municipal boundaries (not to a non-Farmington location) • Building improvements and repairs (with building owner consent) • Local SAC fees and/or other permit costs Be creative and bold! The flexibility built into the program is meant to encourage business owners to present projects for funding that would be an asset to your business. Ineligible Businesses • Non-profit organizations • Gambling organizations • Lending or investment businesses Page 14 of 35  • Land and property held for sale or investment. Ineligible Improvements • Management fees • Financing costs • Franchise fees • Debt consolidation • Costs to the applicant prior to EDA acceptance and grant agreement execution. Funding The EDA recognizes the need for small businesses to have access to funding to make improvements and implement business ideas. $50,000 of the 2026 annual operating budget is dedicated to funding the Micro Grant Program. The program will contribute up to a maximum of 50% of eligible project costs. Grants will not exceed $10,000 per business. One grant approval is allowed per year per business. Businesses that have not received funding within the last 5 years will receive priority, and businesses will not be eligible to receive funding two consecutive years in a row. All grants require a minimum 1:1 funding match from the applicant. Maximum grant: $10,000 Additional Program Requirements: All projects are subject to city regulations, permitting requirements, and inspections. Historic Properties The City of Farmington is a Certified Local Government under the Historic Preservation Act. Each project submitted for review that is determined eligible for designation or is a heritage landmark property will be reviewed as outlined in city code to receive a Certificate of Appropriateness. This requires additional Planning Commission review for the project. Permits All projects that involve building improvements must obtain any required approvals and/or permits. All construction management is the responsibility of the applicant. Property Inspections Upon determination that the applicant(s) applying for financial assistance is eligible based on the program guidelines, and the project requires it, the Building Official may conduct an inspection of the property to determine if the proposed improvements conform with City of Farmington building code standards. Grant Terms & Requirements If approved, a grant agreement will be executed between the applicant and the Farmington EDA outlining all requirements which must be met by the applicant before funding is released. Once the grant agreement is executed, the applicant has 12 months to complete the project. The applicant may apply for one extension, if necessary, which will be reviewed on a case-by-case basis. At the completion of the project – grant recipients will document the project and notify city staff for a final inspection. Page 15 of 35 Data Privacy All information provided by applicants under the Micro Grant Program shall be maintained in accordance with the Minnesota Data Practices Act. Contact Information Deanna Kuennen Stephanie Aman Community & Economic Development Director Economic Development Coordinator DKuennen@FarmingtonMN.gov SAman@FarmingtonMN.gov 651-280-6820 651-280-6823 Page 16 of 35  Grant Approval Process Step One: Be sure you meet program requirements • The business is registered with the Secretary of State. • The business is located within the municipal boundaries of the City of Farmington. • The business receiving grant dollars must use the funding for business purposes, as described in the application. • The property is up to date on all property taxes and is in good standing with the city. Step Two: Contact Community Development city staff with any questions you have before applying for the program. Possible project discussion can occur over the phone, email, virtually or in-person. Please contact: Stephanie Aman, Economic Development Coordinator 651-280-6823 SAman@FarmingtonMN.gov • Properties which are a designated historic property may require Planning Commission review and approval for a Certificate of Appropriateness before a grant can be approved. Step Three: Submit a completed (online only) Micro Grant Program Application. A completed application includes: • Filled-out application available online. • Photo(s) of current area to be redeveloped and reinvested in. • Rendering and/or plan drawings showing proposed improvement. • Contractor bids (minimum two) with a breakdown of itemized costs or cost proposals for services. • Proof of insurance on the building and/or property to be improved. Step Four: Application review and grant selection. Completed applications will be reviewed for completeness and processed on a first-come, first-served basis. Applications will be accepted until the allocated funding has been fully expended. The EDA will award grants on a rolling basis, reviewing staff recommendations for funding awards at their Regular EDA meetings each month. The EDA reserves the right to approve or reject projects on a case-by-case basis taking into consideration established policies, project criteria and Micro Grant demand. Meeting program criteria does not guarantee the award of business assistance to the project. Approval or denial of any project does not set a precedent for approval or denial of another project. Any applicant/project not recommended for funding will be notified in writing as to the reasons the project is not eligible. Applications will be accepted until the full $50,000 program allocation is expended. Step Five: Grant Award A signed personal guarantee will be required to ensure that funds are spent as outlined in the awarded application. Once a business has been approved for a grant, the business will execute a grant agreement with the Farmington EDA. Payment will then be made directly to the business. If funds are not going to be spent according to the approved application, and comply with the stated timeline, the business must notify the EDA staff for reapproval of the project. If the grant is not spent according to the approved application, a personal guarantee and claw back policy will be in effect. Step Six: Completion of project. Page 17 of 35 Applicants have one year to complete the funded project. Applicants are required to notify staff when the project is complete. The business must also provide a report that documents the total project cost, use of the grant funds (with receipts), and the impact to the business. The report will include photos of the project, and a written summary of how the funds were used and the impact of the funds. The reports will be provided at an EDA meeting for all completed projects. If the applicant fails to complete the project and/or uses the funds for not-intended purposes, those funds will be subject to claw back and the business will not be eligible to reapply for five (5) years. Page 18 of 35  ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO To: Economic Development Authority From: Stephanie Aman, Economic Development Coordinator Department: EDA Subject: Downtown Social Grant Agreement Meeting: Economic Development Authority - Apr 20 2026 INTRODUCTION: At its March meeting, the EDA heard from Downtown Social representatives Laura Hanks and Jared Cooley, who spoke on behalf of the downtown business community regarding their plans for the Fourth Thursday event series. Following that presentation, the EDA approved allocating $6,000 to support event coordination, permitting, and vendor needs. Staff were directed to prepare a formal agreement outlining the use of funds and establishing clear roles of the Downtown Social event and the EDA. DISCUSSION: Staff are bringing forward the draft funding agreement in support of the Downtown Social Group’s Fourth Thursday event series for EDA review and approval. This agreement outlines how those funds will be administered and the roles and responsibilities of both the EDA and the Downtown Social Group. As part of this partnership, Staff are committed to a streamlined permitting process, assisting with routing required paperwork through City Hall, coordinating and paying approved vendors, and providing access to necessary equipment such as barricades. Staff will also support the marketing and promotional work led by the Downtown Social Group to help ensure strong visibility and participation. Over the past several weeks, staff have communicated with and met with group representatives Laura Hanks and Jared Cooley, who have demonstrated strong leadership and engagement with downtown businesses. Staff are confident in the group’s ability to organize and rally participation for the Fourth Thursday series. The EDA is asked to review the grant agreement, provide any feedback or requested revisions, or approve the agreement as presented so that funds can be made available ahead of the May kickoff event. BUDGET IMPACT: Page 19 of 35 Up to $6,000 ACTION REQUESTED: Review and approve Resolution 2026-03, approving funding for Downtown Social. Review and approve the grant agreement with Laura Hanks on behalf of Downtown Social. ATTACHMENTS: 2026-03 Resolution Approving Downtown Social Funding DOCS-#238968-v2-Farmington_EDA_Grant_Agreement--Downtown_Social Page 20 of 35  ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF FARMINGTON DAKOTA COUNTY, MINNESOTA RESOLUTION 2026-03 A RESOLUTION APPROVING THE 2026 DOWNTOWN SOCIAL FUNDING. WHEREAS, the City of Farmington Economic Development Authority and City Council have identified business growth as a priority pillar; and WHEREAS, in 2025, business owners in the Downtown district in the City of Farmington organized the “Downtown Social,” a series of monthly events intended to attract customers to Downtown businesses and build community engagement with the businesses; and WHEREAS, organizers of the Downtown Social, led by Grantee, Laura Hanks, are organizing the Downtown Social for the summer of 2026, with activities that will include a variety of live music and attractions, will offer discounts and prize drawings, and will encourage customers to “shop local”; and WHEREAS, 2026 Downtown Social will be held on the fourth Thursday of each month, from May 28 through September 24, 2026; and WHEREAS, organizers of the 2026 Downtown Social, led by Grantee, has requested financial support from the Authority to help offset certain logistical shared costs for the events, including the costs set forth in Exhibit A of the grant agreement (“Eligible Expenditures”); and WHEREAS, the Authority has determined that Eligible Expenditures in support of the 2026 Downtown Social events will further the Authority’s goal of promoting and growing business in the City of Farmington, and the overall economic development of the City; and WHEREAS, the Authority agrees to provide a Grant in the amount not to exceed Six Thousand and no/100 Dollars ($6,000.00) (“Funds”) to Grantee pursuant to Resolution No. 2026-02, approved by the Authority’s Board on April 20, 2026; and WHEREAS, the Grantee shall serve as the representative of the businesses for purposes of this grant to coordinate all documentation required by the Authority for disbursement of the Funds; and NOW, THEREFORE, BE IT RESOLVED, that the Economic Development Authority of the City of Farmington hereby approves the 2026 Downtown Social Agreement and authorizes funding to support the program in the amount of up to six thousand dollars ($6,000.00); and Page 21 of 35  BE IT FURTHER RESOLVED, that the President of the Economic Development Authority and the Executive Director are hereby authorized to sign and execute all documentations necessary to fulfill this action. Adopted by the Farmington Economic Development Authority of the City of Farmington, Minnesota, this 20th day of April 2026. ATTEST: ____________________________ ______________________________ Jake Cordes, Chair Deanna Kuennen, Executive Director Page 22 of 35  FARMINGTON ECONOMIC DEVELOPMENT AUTHORITY GRANT AGREEMENT—DOWNTOWN SOCIAL This GRANT AGREEMENT (“Agreement”) is made and entered into this _____ day of _______, 2026 (the “Effective Date”), and is by and between the FARMINGTON ECONOMIC DEVELOPMENT AUTHORITY, a public body, corporate and politic, and a political subdivision of the State of Minnesota, 430 Third Street, Farmington, Minnesota 55024 (“Authority”), and LAURA HANKS (the “Grantee”), the owner of Main Street Salon & Apparel Co. LLC, a Minnesota limited liability company, 328 Third Street, Farmington, Minnesota 55024. RECITALS 1. The Authority is an economic development authority duly created by the City of Farmington pursuant to Minnesota Statutes §§ 469.090 – 469.1081, and is authorized to exercise its powers for the purpose of promoting business, business growth, and business recruitment in the City of Farmington. 2. In 2025, business owners in the Downtown district in the City of Farmington organized the “Downtown Social,” a series of monthly events intended to attract customers to Downtown businesses and build community engagement with the businesses. 3. Organizers of the Downtown Social, led by Grantee, are organizing the Downtown Social for the summer of 2026, with activities that will include a variety of live music and attractions, will offer discounts and prize drawings, and will encourage customers to “shop local.” 4. The 2026 Downtown Social will be held on the fourth Thursday of each month, from May 28 through September 24, 2026. 5. Organizers of the 2026 Downtown Social, led by Grantee, has requested financial support from the Authority to help offset certain logistical shared costs for the events, including the costs set forth in Exhibit A (“Eligible Expenditures”). 6. The Authority has determined that Eligible Expenditures in support of the 2026 Downtown Social events will further the Authority’s goal of promoting and growing business in the City of Farmington, and the overall economic development of the City. 7. The Authority agrees to provide a Grant in the amount not to exceed Six Thousand and no/100 Dollars ($6,000.00) (“Funds”) to Grantee pursuant to Resolution No. 2026-02, approved by the Authority’s Board on April 20, 2026. 8. Grantee shall serve as the representative of the businesses for purposes of this grant to coordinate all documentation required by the Authority for disbursement of the Funds. 1 238968v1 Page 23 of 35  NOW THEREFORE, in order to induce the Authority to make the Grant to Grantee consideration of the mutual covenants and agreement contained herein, the Authority and Grantee agree as follows: ARTICLE 1 TERMS OF GRANT Section 1.01 Grant Amount. Authority agrees to provide this Grant to Grantee in the amount of not to exceed Six Thousand and no/100 Dollars ($6,000.00) upon the terms and conditions and for the purposes set forth in this Agreement. The Grant constitutes a grant of funds and no portion of the Grant is to be repaid by Grantee to Authority unless mutually agreed to by all parties as part of this Agreement or an Event of Default (as defined below) occurs. Section 1.02 Use of Funds. Grantee agrees to use the Funds solely for the Eligible Expenditures. Funds shall not be used to pay salaries or hourly wages or stipends to persons assisting with any Downtown Social event, including but not limited to, set-up or take-down activities (each an “Ineligible Use”). Section 1.03 Grant Term. Documentation required for disbursements of Funds shall be submitted in a timely manner and all Grant funds will be expended no later than December 31, 2026 (“End Date”). Section 1.04 Disbursement of Funds. The Authority will disburse Funds in response to written payment requests (“Payment Requests”) submitted to the Authority by Grantee. All Payment Requests must include copies of bills and invoices from the third-party vendors for which Grantee seeks payment. Subject to verification of the facts contained in each Payment Request and a determination of compliance with the terms of this Agreement, the Authority will disburse Funds to the vendor within thirty-five (35) days after receipt of each Payment Request. Payment Requests shall be submitted to the Authority in person or via email to the contact person identified in Section 4.05 of this Agreement. Section 1.05 Unused Funds. Upon the earlier of (a) the End Date or (b) the termination of this Agreement, any Funds not previously disbursed for any reason, shall not be bound by the terms of this Agreement and may be retained by the Authority, at the Authority’s sole discretion. Section 1.06 Business Subsidy. The Authority and Grantee agree and acknowledge that the Grant does not constitute a business subsidy under Minnesota Statutes, §§ 116J.993 to 116J.994, as amended, because the grant is for less than $150,000. ARTICLE 2 INDEMNIFICATION Section 2.01 Hold Harmless and Indemnification. A. Grantee agrees that it is financially responsible (liable) for any audit exception which occurs due to its negligence or failure to comply with the terms of this Grant Agreement. 2 238968v1 Page 24 of 35  B. Grantee agrees to hold harmless and defend the Authority and the City of Farmington, their collective officials, officers, employees, agents, representatives, customers, or invitees against any and all claims, lawsuits, damages, or lawsuits for damages arising from or allegedly arising from or related to the project, including but not limited to Grantee’s acts, failures to act, or failures to perform its obligations under this Grant Agreement, and to pay the costs of and/or reimburse the Authority, its officials, officers, employees, agents, representatives, customers, or invitees for any and all liability, costs, and expenses (including without limitation reasonable attorneys’ fees and costs) incurred in connection with such acts or failures by Grantee. The Authority is required to promptly notify Grantee of any claim made for any such damage or loss and afford Grantee and its counsel the opportunity to contest, compromise, or settle such claim. C. Nothing in this Grant Agreement will constitute a waiver by the Authority or the City of Farmington of any statutory limits or exceptions on liability. ARTICLE 3 GRANTEE OBLIGATIONS Section 3.01 Grantee represents and warrants to Authority that Grantee will obtain, or cause to be obtained, in a timely manner, all required permits, licenses and approvals, and will meet, in a timely manner, all requirements of all applicable local, state, and federal laws and regulations which must be obtained or met for each Downtown Social event. Grantee agrees to and takes responsibility for returning public property back to the original state after the event including removal of trash and clean up of sidewalks and streets as appropriate. Section 3.02 Acknowledgement. Grantee shall acknowledge the assistance provided by the Authority in promotional materials, press releases, reports and publications relating to the Eligible Expenditures that are funded in whole or in part with the Funds. Section 3.03 Assignment. Grantee shall not cause or permit any voluntary transfer, assignment, or other conveyance of this Agreement without the written consent of the Authority. Any non-approved transfer, assignment, or conveyance shall be void. ARTICLE 4 GENERAL PROVISIONS Section 4.01 Amendments. This Agreement represents the entire agreement between Authority and Grantee on the matters covered herein. No other agreement, statement, or promise made by any party, or by any employee, officer, or agent of any party that is not in writing and signed by all the parties to this Agreement shall be binding. Authority and Grantee may amend this Agreement by mutual agreement and shall be effective only on the execution of written amendments signed by authorized representatives of Authority and Grantee. 3 238968v1 Page 25 of 35  Section 4.02 Conflict of Interest. The members, officers, and employees of Grantee shall comply with all applicable state statutory and regulatory conflict of interest laws and provisions. Section 4.03 Severability. If one or more provisions of this Agreement are found invalid, illegal, or unenforceable in any respect by a court of competent jurisdiction, the remaining provisions shall not in any way be affected, prejudiced, disturbed or impaired thereby, and all other provisions of this Agreement shall remain in full force. Section 4.04 Time. Time is of the essence in the performance of the terms and conditions of this Agreement. Section 4.05 Notices and Communications. Any notices and communications required or contemplated under this Agreement, including Payment Requests, must be delivered in person, via United States Mail, or email, and shall be addressed as follows: To the Authority: Farmington Economic Development Authority ATTN: Executive Director 430 Third Street Farmington, Minnesota 55024 Email: dkuennen@farmingtonmn.gov Phone: (651) 280-6820 To Grantee: Laura Hanks Main Street Salon & Apparel Co. LLC 328 Third Street Farmington, Minnesota 55024 Email: Mainstreetapparelco@outlook.com Phone: (651) 246-5299 Mailed notices or communications conveyed through the United States Mail shall be deemed duly delivered two (2) business days after the date of mailing. Section 4.06 Warranty of Legal Capacity. The individuals signing this Agreement on behalf of Grantee and on behalf of Authority represent and warrant on Grantee’s and Authority’s behalf respectively that the individuals are duly authorized to execute this Agreement on Grantee’s and Authority’s behalf, respectively and that this Agreement constitutes Grantee’s and Authority’s valid, binding, and enforceable agreements. Section 4.07 Electronic Signatures; Execution in Counterparts. The electronic signature of the parties to this Agreement shall be as valid as an original signature of such party and shall be effective to bind the parties hereto. For purposes hereof, (i) “electronic signature” 4 238968v1 Page 26 of 35 means a manually signed original signature that is then transmitted by electronic means; and (ii) “transmitted by electronic means” means sent in the form of a facsimile or sent via the internet as a portable document format (“pdf”) or other replicating image attached to an electronic mail or internet message. This Agreement may be simultaneously executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. Section 4.08 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota, without regard to choice of law principles. All litigation regarding this Agreement will be venued in the appropriate state or federal district court in Ramsey County, Minnesota. Section 4.09 Severability. If any provision of this Agreement is held unlawful or unenforceable in any respect, such illegality or unenforceability will not affect any other provisions of this Agreement, and this Agreement will be construed as if the unlawful or unenforceable provisions had never been contained in this Agreement. Section 4.10 Data Practices. All data collected, created, received, maintained, or disseminated for any purpose in the course of Grantee’s performance of this Agreement is governed by the Minnesota Government Data Practices Act, Minnesota Statutes, Chapter 13, and any other applicable state statutes, any state rules adopted to implement the Act and statutes, as well as federal statutes and regulations on data privacy. Section 4.11 No Joint Venture. Nothing contained in this Agreement is intended or should be construed as creating the relationship of agents, partners, joint venturers, or associates between the Authority and Grantee, or as constituting Grantee as the employee of Authority for any purpose or in any manner whatsoever. Grantee is an independent contractor and Grantee, its employees, agents, volunteers, or representatives are not employees of Authority. Section 4.12 Incorporation of Recitals and Exhibits. The Recitals made at the beginning of this Agreement, and the Exhibits that are attached to this Agreement, are each one true and correct and, by this reference, are incorporated into and made a part of this Agreement. IN WITNESS WHEREOF, the Authority and Grantee have caused this Agreement to be executed and effective as of the Effective Date first written above. [Remainder of the page left blank intentionally. Signature page follows.] 5 238968v1 Page 27 of 35  SIGNATURE PAGE TO GRANT AGREEMENT GRANTOR: FARMINGTON ECONOMIC DEVELOPMENT AUTHORITY Jake Cordes, Chair Date: Deanna Kuennen, Executive Director Date: GRANTEE: Laura Hanks Date: 6 238968v1 Page 28 of 35  EXHIBIT A Eligible Expenditures • Advertising and marketing • Permitting • Barricade/street closure costs • Accessory uses such as garbage/recycling receptacles, table and chair rentals, live music/entertainment. • Other logistical expenses related to Downtown Social as administratively approved by the Authority’s Executive Director. 7 238968v1 Page 29 of 35  ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO To: Economic Development Authority From: Deanna Kuennen, Community & Economic Development Director Department: EDA Subject: Director's Report Meeting: Economic Development Authority - Apr 20 2026 INTRODUCTION: Attached please find a summary of economic development activities. Additional details regarding some of the activity may be highlighted separately in the EDA packet. DISCUSSION: Attached please find a summary of recent economic development activities. Staff will be available to answer questions. ACTION REQUESTED: No action requested. This item is informational and is provided to communicate how the EDA time and money resources are allocated and to track and measure the impact of initiatives. ATTACHMENTS: 04-2026 meeting Page 30 of 35 Reporting DIRECTOR’S REPORT – providing project highlights and a summary of Period: economic development activity. April 2026 Farmington Technology Park - Data Center (Farmington Technology Park) | Farmington, Projects & MN Initiatives Information about the project including the project timeline, actions, official documents (applications, staff reports, resolutions, and presentations) can be found on the webpage. As more information becomes available, information will be added and/or this page will be used to link to other sources. The most recent action associated with this project is the application to divide the Farmington Technology Park into two separate additions – Farmington Technology Park 1st Addition and Farmington Technology Park 2nd Addition. The final plats are substantially the same as the final plat that was approved in 2024 and consistent with the preliminary plat. If approved, the action will allow the Farmington Technology Park 1st Addition Plat and accompanying development contract to be recorded. • Request For Information (RFIs) Prospects Project Kraken – DID NOT SUBMIT – medical equipment assembly and manufacturing, seeking existing buildings only. Canadian Company – DID NOT SUBMIT – manufacturing plant seeking existing buildings only. Project Sarek – DID NOT SUBMIT – rare earth magnet manufacturing facility seeking existing buildings only. Project Corona – DID NOT SUBMIT – food manufacturing/retail operation, seeking acreage. Project Heart – DID NOT SUBMIT – seeking 60+ acres requiring rail access for a heavy power user. Project lead from DEED and will require an NDA. Project Blue – DID NOT SUBMIT – only considering existing buildings. Project lead from GreaterMSP Project Locksmith 2 – DID NOT SUBMIT – manufacturer of high-end dairy products, only considering existing buildings previously used for dairy production/food grade. Project Black Sabill – DID NOT SUBMIT – seeking minimum 250-acre site for heavy industrial user/manufacturing plant. Page 31 of 35  Project Duck – International company, seeking existing building (move-in ready) for a manufacturing operation. Project Gamma – DID NOT SUBMIT – seeking existing building, minimum, 250,ooo SF in size for AI and robotics company. Project Green – SUBMITTED sites for consideration – distribution hub seeking industrial land for purchase. Site evaluation process is still underway, and all submitted sites are still under consideration. Project SOL – SUBMITTED sites for consideration – manufacturing center of excellence seeking land for purchase. Project X – SUBMITTED building for consideration – German manufacturing facility that supports medical device and pharmaceutical packaging. Project X – DID NOT SUBMIT – seeking 400+ acres, single ownership, for $10B investment, heavy utility user project, with 5100 FTE projected. With land available as purchase agreements have expired, staff have contacted older RFI holders to determine if there are additional fits for newly available land. Still waiting for next steps. DEED has notified metro communities that RFI activity is very minimal currently. • Developer Meetings Staff make a concerted effort to meet with developers and real estate brokers who have expressed interest in working in Farmington. Conversations are ongoing, circling back as opportunities present themselves to be explored and vetted: o Sever Commercial Construction o MWF o DBS o Acumen o DR Horton o Synergy Land Co. o Cushing Terrell o CORE Real Estate Group o Caughan Companies o Obsidian o Ozhi Development o Bauer Design & Build o Remain RE o NEOO Partners o CBRE o Cushman & Wakefield o NEOO Partners o CERRON Commercial Properties, LLC o G. M. / Acumen Business Solutions, LLC o Upland Real Estate Group Page 32 of 35  o Cushing Terrell o Remain RE / APPRO o CORE Real Estate Group – exploring small site multi-family o Acumen Business Solutions, LLC – connected with local property owner o T.G – discussed residential development o Remain RE – connected with local business owner o • Other Prospects Initial conversations have occurred with existing and prospective businesses looking to locate/relocate in Farmington. The types of projects that are represented include entertainment, services, hospitality, manufacturing, distribution, commercial/retail, quick-serve restaurants, daycare, and MF housing. We anticipate that projects that have been talked about for a while, will move forward (more to come). Other • Grocery Initiative At its February 2025 meeting, the EDA authorized staff to move forward with completing a grocery market study for Farmington. The report, which was shared with the EDA at their May meeting, is actively being used to market Farmington to groceries, developers, wholesalers, etc. . **The report has been provided to multiple parties allowing the grocery conversation to advance. Prior to having the report, Staff was only able to provide anecdotal information. Now the conversations focus on data.** Staff will be building out a “public facing” component to the grocery recruitment efforts. This will likely involve community surveys, a page on the website with market information, etc. utilizing insights from the KState Rural Grocery Initiative. At the March 12, 2026 MREJ Land Development Summit – Staff discussed the Grocery Study with a developer and will have follow up meeting in April. • Ribbon Cuttings/Open House In 2026 Staff worked with the AV team to enhance the ribbon cutting celebrations by creating videos that talk more about businesses and their projects. These videos are housed on the City’s YouTube page. The videos (shorts) will also be used to tell Farmington’s story and highlight the unique businesses in our community and the investments that are being made. City of Farmington MN - YouTube o Trinity – celebrated on February 5, 2026 o Mis Tortuguitas – celebrated on February 19, 2026 o Lucid Tatoo – celebrated on April 1, 2026 • Downtown Social Staff has been actively working with the organizers of the Downtown Social, to support and promote the season-long event. Part of those efforts have Page 33 of 35  included researching how other communities “permit” monthly/weekly community gatherings and understanding the city’s existing license and permits. This has led to the identification of possible efficiencies that will benefit this event but have a broader, positive community-wide impact as well. • Partner Meetings Staff is continuing to prioritize connecting and leveraging our economic development partners – including the Minnesota Trade Office, DEED, Greater MSP, utility providers, and other organizations. Partner presentations will be scheduled throughout 2026, and Staff will continue to participate in regional activities that provide exposure and access. An example of this is Staff attended the Greater MSP Partnership Next26 event on March 3rd to learn about the plans for the region and to better understand Farmington’s place in the region. The first partner meeting for 2026 has been scheduled. These meetings will provide an opportunity for the EDA to connect with these partners, ask questions, gain a broader understanding of how our work aligns, and learn how we can leverage these relationships. 2025 Partner Meetings: DCTC/Inver Hills College - March MCCD / Open to Business – April Dakota County CDA – May CVN/Brookshire - June Dakota County Regional Chamber - July University of Minnesota Extension Office – October 2026 Partner Meetings: Dakota Electric – May 2026 GreaterMSP DEED Utility Partners – Xcel, Northern Natural Gas Others, TBD • MREE Staff plan to be more involved in this organization in 2026. More information to come. • MREJ – Summits/Conferences/Awards Staff tabled at the MREJ Apartment Summit in January. These tabling and networking events foster deeper conversations and connections with brokers/agents/developers who typically see Team Farmington presenting and tabling at the MREJ Summits. Staff tabled at the MREJ Land Development Summit in March and spoke on the “Municipal Collaboration in Minnesota: Making Public-Private Partnerships Page 34 of 35  Work” panel. At this summit staff reconnected with a developer interested in talking about grocery, talked with a developer about affordable MF housing, and heard from numerous developers interested in finding land in Farmington for SF housing development. Staff tabled at the MREG Women in Real Estate Summit in April and moderated the panel “Women in Economic Development.” At this summit staff connected/reconnected with several brokers who have done deals in Farmington, Upcoming events include: o MREJ Award Ceremony – Finalist in the following categories: ▪ City/County of the Year ▪ Rambling River Center – Government Building of the Year ▪ Rye Apartments – MF of the Year, Suburban o SE Metro Summit o MREJ Annual Golf Outing - sponsor • Other Speaking/Presentation Invitations & Commitments o Regional Market-Visit – Chicago Market. Farmington has been asked to participate and help plan a site selector market visit to the Chicago region. The initial planning meeting has taken place focusing on dates for the visit, site selectors and trade offices to target, messaging and value proposition. Planning will continue with the goal for Fall 2026. • Economic Development Website Staff have been implementing the Economic Development Website Revamp as presented at the February EDA meeting. More information to come. • Strategic Land Acquisition/Shovel Readiness Staff continue to explore opportunities to increase the available land supply and/or the level of shovel readiness associated with existing land. Conversations are underway with developers and property owners exploring what this could mean for key opportunity sites. A new, more visually attractive map asset has been produced, allowing staff to engage in broader conversations. More information to come. o EDA Authorized the acquisition of 512 3rd Street. Closing is scheduled for mid-May o Staff is participating in conversations regarding rezoning of key parcels to support industrial development. • Legislative Session Staff is following several economic development-related topics, moving through the legislature. Page 35 of 35