August 5, 2009 Albert Lea Post Authority Minutes

By Tyler Golberg | August 5, 2009

August 5, 2009

ALBERT LEA PORT AUTHORITY

MINUTES

Wednesday, August 5, 2009

7:30 a.m.

Albert Lea Business Development Center/Conference Room

 

  • The Regular Meeting of the Albert Lea Port Authority was called to order on Wednesday, August 5, 2009 at 7:30 a.m. by President Ellen Kehr and roll was noted.

COMMISSIONERS PRESENT: President, Ellen Kehr; Commissioners: Al Brooks, Paul Field, Keith Fligge, Mike Moore, and Vern Rasmussen Jr.

COMMISSIONERS ABSENT: Nancy Skophammer.

EX-OFFICIO MEMBERS PRESENT: Randy Kehr, Business Community representative; Chris Shoff, Freeborn County representative (arrival 7:55 a.m.); Victoria Simonsen, City of Albert Lea representative (arrival 8:10 a.m.)

EX-OFFICIO MEMBERS ABSENT: None.

STAFF MEMBERS PRESENT: Dan Dorman, Executive Director; Nanciana Jensen, Board Secretary.

STAFF MEMBERS ABSENT: Ryan Nolander, Assistant Director.

GUEST: John Kluever, Freeborn County Administrator.

  • APPROVAL OF MINUTES OF THE JULY 1, 2009 REGULAR MEETING.

The minutes of the July 1, 2009 meeting were reviewed. Commissioner Rasmussen made a motion to accept the minutes as presented, seconded by Commissioner Moore. The motion carried with 6 in favor and 0 opposed.

  • RESOLUTION PA-09-15 – AUTHORIZING PAYMENT OF CLAIMS.

The claims were presented for review and discussion followed. Commissioner Fligge made a motion to approve Resolution PA-09-15 authorizing payment of claims in the amount of $42,935.77, seconded by Commissioner Brooks. The motion carried with 6 in favor and 0 opposed.

  • RESOLUTION PA-09-16 – AUTHORIZING LEASE WITH RING CONTAINERS.

Executive Director Dorman reviewed the new Ring Container lease with the Board. Commissioner Fligge made a motion to approve Resolution PA-09-16 authorizing staff to enter into a 5 year lease agreement with Ring Container Technologies, leasing 19,200 sq. ft. in the building at 2105 Myers Road for the amount of $3.00 per square foot triple net. The motion was seconded by Commissioner Moore, and carried with 6 in favor and 0 opposed.

  • UPDATE ON LEASE WITH CARPENTER COMPANY.

Executive Director Dorman informed the Board that ALEDA staff and staff from the Carpenter Company are working together to update language of a new lease. Instead of a three year lease, the Carpenter Company is asking for a two year lease; and discussions have also been held regarding parking lot repairs. Board discussion followed. Executive Director Dorman stated that he will bring back the updated lease agreement for Board approval to the September 2, 2009 meeting.

  • RESOLUTION PA-09-18 – AUTHORIZING LEASE WITH VENTURA FOODS.
     Executive Director Dorman informed the Board that Ventura Foods wishes to lease an additional 10,200 square feet of space, in the building at 2105 Myers Road for a period of three years beginning August 1, 2009. The rental rate negotiated is in the amount of $3.00 per square foot triple net, plus payment for a portion of property taxes and insurance. Director Dorman recommended that the Board accept the lease agreement. Discussion followed. Commissioner Rasmussen made a motion to accept the lease with Ventura Foods beginning August 1, 2009 at a rate of $3.00 per square foot triple net, plus payment of a portion of property taxes and insurance. The motion was seconded by Commissioner Field, and approved by a vote of 6 in favor and 0 opposed.
  • RESOLUTION PA-09-18 – AUTHORIZING LEASE WITH BRIDON CORDAGE.

Executive Director Dorman informed the Board that Bridon Cordage wishes to lease 24,000 square feet of space in the building at 2105 Myers Road for a period of one year beginning September 1, 2009. This space is the balance of space remaining in the Ring Technologies building owned by the Port Authority. The rental rate negotiated is in the amount of $3.00 per square foot triple net, plus payment for a portion of property taxes and insurance. Director Dorman recommended that the Board accept the lease agreement. Commissioner Fligge made a motion to accept the lease with Bridon Cordage beginning September 1, 2009 at a rate of $3.00 per square foot triple net, plus payment of a portion of property taxes and insurance. The motion was seconded by Commissioner Brooks, and approved by a vote of 6 in favor and 0 opposed.

  • BUDGET REVIEW.

Executive Director Dorman reviewed the Port Authority budget for the first six months of 2009, noting that expenses were a bit lower than last year. Discussion followed. The Board discussed the amount of return on investments as it was less than the previous year. Executive Director Dorman will look into this and bring back a report to the next Port Authority meeting.

  • ALEDA BUILDING LEASE UPDATE.

A hand-out was distributed to Board members with an updated review at all building lease information. This agenda item was a reference item only.   No action was necessary.

  • SPEC BUILDING UPDATE.

Director Dorman informed the Board that things seem to be going smoothly in the construction of the new spec building. He informed the Board that he had also received an inquiry from the State regarding a business that is looking for a building such as ours, which has location, ceiling height and the flooring required.

Commissioner Field asked what the lease amount would be on the building. Executive Director Dorman said that the lease amount would depend on the internal finishing. Discussion followed. Director Dorman said that a competitive lease rate for the 60,000 square foot building would be $3.50 per square foot as is, without internal finishing.

Director Dorman informed the Board that the completion date for the spec building is early October, but since the construction crew is ahead of schedule, it may be completed in September.

  • EX-OFFICIO UPDATES.

Chris Shoff – Freeborn County Representative

  1. A few weeks ago, Commissioner Shoff visited a wind farm in Iowa. The progress of the new Freeborn County wind farm is moving forward. Board discussion followed. Commissioner Shoff said the biggest concern may be the roads, as it takes 150 trucks to bring in everything for one wind tower to the staging area. The staging area is a 23 acre site, across Highway 13 and east of the City of Hartland. Highway 13 is scheduled for repair within the next year, and Commissioner Shoff was hoping that the Highway 13 repair could be delayed until after the wind farm completion. He also informed the Board that communication with people who are near the project is very important. Commissioner Mike Moore commended the Freeborn County Board of Commissioners for all the ‘homework done on the wind farm project.”
  2. The Freeborn County Fair had a pretty good turnout on Tuesday night.
  3. All day meetings will begin next Tuesday to discuss the budget.
  4. Lunch on the lawn will also be held at the Courthouse next Tuesday. Proceeds will benefit the United Way program.

Victoria Simonsen – City of Albert Lea

  1. Simonsen stated that currently the City has been very busy with three projects. They are: putting together a preliminary budget; working on union negotiations for four contracts; and, participating in Blue Zones activities.
  2. The street projects are ahead of schedule. The Willamor project will begin late in the season. The airport project has begun.
  3. Simonsen informed the Board that people from several states have been calling her office for information on the Blue Zones/Vitality project, i.e. nutrition in the schools, etc. Discussion followed

Randy Kehr – Chamber of Commerce.

  1. The Chamber office submitted four small business grant applications to the State. The announcement of the grant awards should be Tuesday, August 11th. There were a total of 750 grant applicants from across the State.
  2. On August 18th, the CEO group will meet at Mrs. Gerry’s Kitchen.   A representative from Schwanns will share information on converting facilities to a smoke free/tobacco free campus.   Another presentation, which will be open to the public will be presented at    2:00 p.m. that same day.
  • EXECUTIVE DIRECTOR’S REPORT.
  1. Assistant Director Ryan Nolander had back surgery on Tuesday and will be out for about two weeks. The surgery went well.
  2. There has been very little progress on obtaining broadband for this area. Jaguar wishes to apply for stimulus funds, a grant specifically for Southeast Minnesota.
  3. Director Dorman spoke with John Garry of Austin to see if Austin and Albert Lea could work together with Tim Penny and SMIF to set up a regional legislator meeting regarding enhancements to businesses who wish to locate in Southern Minnesota and area throughout the State. Discussion followed. The Board asked if we could get in on border legislation, i.e. the Fargo/Moorhead area, as Albert Lea is in such close proximity to Iowa.
  4. The Magnolia project is unofficially on hold.
  • COMMISSIONER ITEMS.
  • Commissioner Field informed the Board that the front nine of the Wedgewood Cove Golf Course opens on Tuesday.
  • Commissioner Fligge opened up for discussion the Scott La Favor property. He felt it would be a good opportunity, as far as timing, for the City to acquire some of the acres available and expand Edgewater Park. Ms. Simonsen responded by advising him that the bank has to have the area re-platted. If anyone is interested in the property, they should call Tom Leland. Commissioner, and City Council member, Vern Rasmussen informed the Board that no private contractor will mow the abandoned area as the land is in very bad condition and it could damage mowing equipment. The City mows the first 50 feet of the perimeter of the area.
  • President Kehr informed the Board that the bank papers for the new Spec building had all been signed. She said that Daniel Otten of Farmers State Bank did a tremendous amount of work on the project, and that she appreciated all the work he has done to keep business in the community.
  • ADJOURNMENT.

Commissioner Rasmussen made a motion to adjourn the meeting at 8:50 a.m., seconded by Commissioner Moore. The motion carried with 6 to approve and 0 opposed. .

Filed and attested August 5, 2009.

____________________________________                    ___________________________________

Ellen Kehr, President                                                        Nanciana Jensen, Board Secretary

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