Economic Development Authority

AGENDA ECONOMIC DEVELOPMENT AUTHORITY NOVEMBER 2, 2020 1. CALL TO ORDER 2. CONSENT ITEMS A. Meeting Minutes — October 19, 2020 B. Arbor Lakes Business Association COVID- 19 Grant - EDA Resolution No. 24 Motion to approve EDA Resolution No. 24 authorizing a grant of funding to provide business assistance to the Arbor Lakes Business Association to combat the ongoing COVID- 19 pandemic. Motion by seconded by to approve, table or deny the Consent Items as presented. 4. ADJOURNMENT Motion by seconded by to adjourn. Meeting adjourned at  EDA 2A AGENDA ITEM Maple Grove Economic Development Authority DRAFT Meeting Minutes October 19, 2020 DRAFT Delete this when final edits are complete) Call to Order Pursuant to call and notice thereof, an Economic Development Authority Meeting of the Maple Grove City Council was held at 7: 30 p. m. on October 19, 2020 at the Maple Grove Government Center/ Public Safety Facility, Hennepin County, Minnesota and online via WebEx. Members present were President Mark Steffenson, Vice President Karen Jaeger, Secretary Heidi Nelson, Treasurer Judy Hanson, and Commissioners Phil Leith and Kristy Barnett. Absent was none. Present also were Joe Hogeboom, Community and Economic Development Director; Peter Vickerman, Planning Manager; Ken Ashfeld, Director of Public Works/ City Engineer; Brett Angell, Economic Development Manager; and Justin Templin, City Attorney. President Steffenson called the meeting to order at 7: 52 p. m. Approval of Motion by Vice President Jaeger, seconded by Treasurer Hanson, to approve the September 21, 2020 Economic September 21, 2020 Minutes Development Authority meeting minutes. Upon call of the motion by President Steffenson, there were five ayes and no nays. Motion carried. COVID- 19 Economic Development Manager Angell requested the EDA authorize a process for forgiveness of the COVID recovery Emergency loans and emergency loans. He explained starting in May the and Recovery EDA began issuing loans to local businesses in response to Loans COVID- 19. He reported 51 businesses have been approved for Forgiveness loans and only one of these businesses has closed and returned their loan funding. He commented further on the loan EDA He forgiveness paperwork that would be sent to businesses. Resolution No. discussed the review process that would be followed by staff in DRAFT Maple Grove EDA Minutes May 1, 2020 Page 2 23 order to approve the ELF and RLF loan forgiveness. Motion by Commissioner Leith, seconded by Treasurer Hanson, to approve EDA Resolution No. 23 authorizing a process for forgiveness of COVID recovery loan fund and COVID emergency loan fund loans. Upon call of the motion by President Steffenson, there were five ayes and no nays. Motion carried. Adjournment Motion by Treasurer Hanson, seconded by Vice President Jaeger, to adjourn to the City Council meeting. Upon call of the motion by President Steffenson, there were five ayes and no nays. Motion carried. The meeting was adjourned at 7: 55 p. m. by President Steffenson. Respectfully submitted, Heidi Nelson EDA Secretary  REQUEST FOR EDA ACTION November 2, 2020 EDA 2B DATE AGENDAITEM ORIGINATING DEPT. AGENDA ITEM CITY ADMINISTRATOR APPROVAL Community and Economic Arbor Lakes Business Development Association COVID- 19 Grant i EDA Resolution No. 24 PREVIOUS ACTIONS: None. RECOMMENDED COUNCIL ACTION: Motion to approve EDA Resolution No. 24 authorizing a grant of funding to provide business assistance to the Arbor Lakes Business Association to combat the ongoing COVID- 19 pandemic. 1U\/ DN As the holiday season approaches, many retail businesses are relying heavily on strong sales numbers to negate the impact of the COVID- 19 pandemic and further ensuring the viability of the business moving forward. For Maple Grove, the Arbor Lakes area serves as the main retail trade destination for the northwest suburban market. Working collaboratively with the business community and applicable organizations to ensure a safe and unique shopping experience can aid Arbor Lakes businesses and increase sales figures. Approval of the attached resolution and grant agreement will provide a grant of $10, 000 to the Arbor Lakes Business Association to further improve and expand the shopping experiences at Arbor Lakes in a safe and effective manner. The funds would be used directly to purchase items that would provide additional comfort to consumers, aid in the creation of a specialized event to attract additional consumers, and for marketing of the area and events. The proposed grant of $10, 000 would be funded through CARES Act funds, as this would be an eligible expenditure. The funds would come directly out of the COVID- 19 recovery loan fund, which was previously established by the EDA to aid businesses in response to the pandemic. Economic development staff will work directly with ALBA to ensure the funds are properly expended and tracked. The grant agreement includes a provision which requires all purchases to be approved by staff prior to the purchase being made. ATTACHMENTS: Attachment A: EDA Resolution No. 24 Attachment B: Grant Agreement Attachment C: ALBA Request for Funding Letter  Attachment A RESOLUTION NO. 24 ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MAPLE GROVE A RESOLUTION AUTHORIZING A GRANT OF FUNDING TO PROVIDE BUSINESS ASSISTANCE TO THE ARBOR LAKES BUSINESS ASSOCIATION TO COMBAT THE ONGOING COVID- 19 PANDEMIC WHEREAS, the federal Coronavims Aid, Relief, and Economic Security (" CARES") Act, passed by Congress and signed into law on March 27, 2020, was intended to provide economic relief to state and local govermnents negatively impacted by the COVID- 19 pandemic; WHEREAS, the City of Maple Grove received funding under the CARES Act in the total amount of approximately $ 5. 4 million, a portion of which was dedicated to the Economic Development Authority (" EDA") COVID- 19 Recovery Loan Fund (" COVID RLF") and dispersed in accordance with the terms and conditions of that program; WHEREAS, the EDA seeks to use a portion of the funding that had been previously earmarked for the COVID RLF but not yet dispersed in order to provide assistance to businesses to make investments to improve and expand shopping experiences at Arbor Lakes in a safe and effective manner during the ongoing COVID- 19 pandemic; WHEREAS, the EDA seeks to enter into a grant agreement with Arbor Lakes Business Association to use that funding for the designated purposes for the benefit of Arbor Lakes businesses; WHEREAS, the Economic Development Authority recognizes that ( a) the expenditures contemplated herein and the measures taken are, in the sound and reasonable judgment of the Board, reasonably necessary to respond directly to the COVID- 19 emergency, including expenditures incurred to respond to second order effects of that emergency, by providing economic support to those suffering as a result of employment or business interruptions due to COVID- 19 related business closures; ( b) the costs of these expenditures were not accounted for in the City' s budget most recently approved as of March 27, 2020; and ( c) delivery of the assistance will occur during the covered period of March 1, 2020 to November 15, 2020, NOW THEREFORE, IT IS RESOLVED by the Board of Commissioners of the EDA, based on the above recitals, information provided by City staff, and information received at the meeting, as follows: 1. The EDA hereby authorizes dispersal of $10, 000 of CARES Act funding to Arbor Lakes Business Association for the purpose of aiding businesses coping with and combating the ongoing COVID- 19 pandemic to make investments to improve and expand shopping experiences in a safe and effective manner; 1  2. The EDA further authorizes the Chair and Secretary, on the EDA' s behalf, to enter into an agreement establishing the terms and conditions of the foregoing grant. Motion to approve the foregoing findings, conclusions, and decisions was made by and seconded by upon a vote being duly taken thereon, the following voted in favor thereof: and the following were against: and the following were absent: whereupon, the resolution was declared duly passed and adopted this 2nd day of November, 2020. STATE OF MINNESOTA ) COUNTY OF HENNEPIN ) ss. CITY OF MAPLE GROVE ) I, the undersigned, being the duly qualified Secretary of the Economic Development Authority in and for the City of Maple Grove, a public body corporate and politic and a political subdivision of the State of Minnesota, hereby certify that the above Resolution No. 24 is a true and d correct copy of the Resolution as adopted by the EDA Board on the 2 day of November, 2020. Secretary 2  Attachment B GRANT AGREEMENT ALBA COVID BUSINESS ASSISTANCE) THIS GRANT AGREEMENT ( the " Agreement"), effective November 2, 2020, is between the Economic Development Authority of the City of Maple Grove, Minnesota, a public body corporate and politic under the laws of the State of Minnesota ( the " Authority"), and the Arbor Lakes Business Association, a Minnesota Nonprofit Corporation ( the " Recipient"). RECITALS A. The Recipient has requested funding from the Authority to assist with providing a safe and enhanced retail shopping experience in the Arbor Lakes area through the creation of events, marketing, and purchasing of items promoting social distancing and outdoor comfort. B. The Authority approved EDA Resolution No. 24 authorizing a grant of funding to provide business assistance to the Recipient to combat the ongoing COVID- 19 pandemic. C. The Authority and the Recipient acknowledge that businesses within the Arbor Lakes area have faced significant challenges and negative impacts as a direct result of the COVID- 19 pandemic and that this grant may aid in the fourth quarter sales for the businesses. C. The Authority now has additional funds available via the federal Coronavirus Aid, Relief, and Economic Security ( CARES) Act, passed by Congress and signed into law on March 27, 2020 and has elected to make grant of $ 10, 000 using funds from the CARES Act which were previously designated to be used for business assistance through the COVID- 19 Recovery Loan Fund. THEREFORE, in order for the Authority to make the Grant ( as defined herein) to the Recipient on the terms stated, and for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. The Grant. Subject to and upon the terms and conditions of this Agreement, the Authority agrees to the following: To grant to the Recipient the sum of $ 10, 000. 00, or so much thereof as is disbursed to the Recipient in accordance with this Agreement ( the " Grant"). b. That ( i) the expenditures contemplated herein and the measures taken are, in the sound and reasonable judgment of the Board, reasonably necessary to respond directly to the COVID- 19 emergency, including expenditures incurred to respond to second order effects of that emergency, by providing economic support to businesses affected by the ongoing COVID- 19 pandemic; ( ii) the costs of these expenditures were not accounted for in the City' s budget most recently approved as of March 27, 2020. 2. Disbursement. The Grant shall be provided to the Recipient on November 4, 2020 or on such other date as the parties hereto may agree. Before any portion of the Grant is provided to the Recipient, the Recipient must deliver to the Authority the following: a. A true and correct copy of the Agreement, executed by the authorized representative of the Recipient. b. A description of the planned use of the Grant funds that corresponds to the goals established by this grant program. 3. Grant Expenditures. The Recipient shall ensure all purchases utilizing funds from the Grant receive approval from the City' s Economic Development Manager prior to the purchase being made. 4. Representations and Warranties. The Recipient represents and warrants to the Authority that it reaffirms for purposes of this Grant all of its representations and warranties as contained in the loan agreement previously executed between it and the Authority. ira IN WITNESS WHEREOF, this Agreement has been duly executed and delivered by the duly authorized proper officers of the Authority on the day and year first written above. ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF MAPLE GROVE By: Its President By: Its Secretary  This Grant Agreement has been duly executed and delivered by the Recipient on the day and year first written above. ARBOR LAKES BUSINESS ASSOCIATION By: Its By: Its 4  Attachment C A" oR L- A- K,, E,, S ARBORLAKES. NET October 16, 2020 To the Honorable Mayor and City Council, The Arbor Lakes Business Association ( ALBA) has been presenting Hometown Holiday on Main Street for the past 20 years. It included horse and carriage rides free to the public, music, visits with Santa and Mrs Claus in various businesses on Main Street and a parade culminating with the Community Tree Lighting on the corner of Arbor Lakes Parkway and Main Street. This has been a much -anticipated event for the Maple Grove community and has drawn thousands to Main Street to celebrate the start of the festive season. Unfortunately, due to Covid- 19 and the restrictions caused by the pandemic, Hometown Holiday cannot proceed in 2020 as it has in the past. We believe we have found a way to replace this beloved event in a pandemic -safe, socially distanced way and are respectfully asking for a $ 10, 000 grant to accomplish our 2020 Hometown Holiday vision which will help attract customers to businesses that have been negatively impacted by the pandemic during the holiday season. As you may remember, we had to reimagine Chalkfest at Arbor Lakes 2020 to accommodate our new normal by holding a Mural Tour as well as a virtual Chalkfest. We are planning a holiday event similar to the Mural Tour by creating Hometown Holiday vignettes around the Arbor Lakes area --we are calling it Mistletoe, Memories and Magic at Arbor Lakes. The vignettes will be holiday and winter related scenes where the community can view them and take photos of and/ or within the scene. We are working with set designers, Chalkfest artists and a Christmas decor company to accomplish creating approximately 10 vignettes. We are in the process of identifying the locations, getting permission from the landlord/ property owners and have started the design process —we are hoping to be able to complete this project as imagined with the $ 10, 000 grant. The funding will assist with purchases ensuring a safe and comfortable environment for our shoppers and community. Mistletoe, Memories and Magic at Arbor Lakes will create a pandemic - safe, family -friendly event which the community can experience at any time during the holiday season —it will run from the day after Thanksgiving through New Year' s weekend. Please feel free to reach out with any questions you may have. Best regards, Nancy Whitelaw Executive Director Arbor Lakes Business Association nancvCcDhi2hlandinnovations. com 612- 590- 8960