June 1, 2011 Albert Lea Post Authority Minutes

By Tyler Golberg | June 1, 2011

June 1, 2011

ALBERT LEA PORT AUTHORITY

MINUTES

June 1, 2011

Albert Lea Business Development Center

 

 1.     CALL TO ORDER & NOTATION OF ROLL

The Regular Meeting of the Albert Lea Port Authority was called to order on Wednesday, June 1, 2011 at 7:30 a.m. by President Vern Rasmussen.  Roll was noted by the Board Secretary.

COMMISSIONERS PRESENT:  Jerry Ehn, Ellen Kehr, Mike Moore, Vern Rasmussen, Jr., Al Brooks, Keith Fligge and Nancy Skophammer

COMMISSIONERS ABSENT:  None

EX-OFFICIO MEMBERS PRESENT:  Randy Kehr, business community representative and Mike Lee, Freeborn County Representative

EX-OFFICIO MEMBERS ABSENT:  None

STAFF MEMBERS PRESENT:  Dan Dorman, Executive Director; Ryan Nolander, Assistant Director; Julie Dandrea, Board Secretary

STAFF MEMBERS ABSENT:  None

GUESTS:  Chuck Paczkowski, Greg Steil, Rebecca Gisel, Alliant Energy and Sandra Hans, LarsonAllen

2.     AUDIT – SANDRA HANS, LARSON ALLEN

Sandra Hans gave an overview of the annual audit.  Sandra noted that nothing unusual came up during the audit.  She summed up by saying the Port Authority currently has strong cash flow and financial position considering the economy.  Commissioner Brooks made a motion to approve the audit, seconded by Commissioner Moore.  The motion carried 7 in favor; 0 opposed.

3.     APPROVAL OF MINUTES FROM MAY 4, 2011 MEETING

The minutes from the May 4, 2011 meeting were reviewed.  Commissioner Ehn made a motion to approve the minutes as presented, seconded by Commissioner Kehr.  The motion carried 7 in favor; 0 opposed.

4.     RESOLUTION PA-11-07 AUTHORIZING PAYMENT OF CLAIMS

The claims were presented for review.  Executive Director Dorman pointed out a negative entry for Alliant Utilities.  This was for a long outstanding check that never cleared the bank and when the Port changed banks, this amount was credited back to the account.  Commissioner Fligge motioned to accept the claims as presented in the amount of $10,696.59, seconded by Commissioner Moore.  President Rasmussen asked if there were any other questions and hearing none, the motion carried 7 in favor; 0 opposed.

5.     RESOLUTION PA-11-09 AUTHORIZING AUTOMATIC ACH PAYMENTS ON ALEDA SPEC BUILDING

Executive Director Dorman reminded the board the automatic payment does not show up in the monthly claims report and this action is in response to the recommendation made at last month’s meeting to make this an annual resolution.  The original resolution was passed in August 2010 at the city’s request.  The Commissioner Ehn made a motion to authorize monthly automatic ACH payments on the ALEDA spec building in the amount of $11,363.17.  Commissioner Fligge seconded it and the motion passed 7 in favor; 0 opposed.

6.     ALMC PROJECT UPDATE

The schematic design plan from ALMC will be sent to SHIPO to review and then it goes to the U.S. Dept. of Interior to approve.  If approved, federal tax credits would be issued and then state credits can be obtained of which 90% of state value can turn into a grant.

7.     ANNUAL RETREAT PLANNING SESSION AND PROGRAM OF WORK

Any changes suggested will be covered next month at the annual retreat and regular meeting to be held at the Wedgewood Cove.

8.     EXECUTIVE DIRECTOR’S REPORT

  • Lease with ZRB – A lease was entered into with Zumbro River Brands on a portion of the ALEDA spec building.  It will have to be re-dated as the USDA has required the floor be sealed before ready for use.
  • Spec Building Build-out – The requests for improvements has grown considerably with some specialty items unique to ZRB’s business.  The estimate came in at $80,000 and originally had been budgeted at $20,000-30,000.   Executive Director Dorman said he will work with ZRB on these items and no action is required at this time.  Commissioner Moore asked when the lease could be expected to begin and it’s unknown at this time.  ZRB may want to wait until after July to save on property taxes as it would remain tax exempt all of next year.  Additionally, it’s unlikely the build-out would be done before July.
  • Revisiting the Knights Inn topic, Executive Director Dorman said the hotel’s current owners have worked out a property tax payment plan with the county auditor so the hotel would not go to sheriff’s auction in August as long as they come up with the payments.  Commissioner Fligge asked how much is owed and the amount is $300,000.  President Rasmussen said the city has denied a liquor license until they’re paid up to date and stated they are current on their CVB tax.
  • Lease update – Ventura’s lease is up next year, Zumbro River Brands is coming on board and Gametec sent a letter saying they plan to vacate on July 31.  Gametec did offer a much lower lease amount to so some warehousing, but it wasn’t enough to cover the property taxes and insurance.  It’s unknown what their plan is.  This will allow us to make any needed repairs on the building.

9.     EX-OFFICIO UPDATE

Freeborn County

  • Mike Lee reported the Shell Rock Wind Farm is still a go.  Commissioner Fligge asked who the owners are and it is the MN Municipal Power Association.
  • The county still doesn’t know what the cuts from the state will be.
  • ICE contract numbers are up slightly.
  • A new tower is up on the southeast side of the courthouse for the new radio system.

City of Albert Lea

  • Commissioner Moore made a motion to accept Chad Adams, the new City Manager, as the new ex-officio representing the City of Albert Lea.  Commissioner Brooks seconded and the motion passed 7 in favor, 0 opposed.
  • President Rasmussen commented on the effect of state cuts on property taxes.  He said there is not much publicity about market value credits. Even if the levy amount stays the same homeowner and commercial/industrial taxes will go up.
  • The sign ordinance is still moving ahead at a slow pace.
  • President Rasmussen said he is looking forward to working with Chad Adams, the new city manager, and he enjoyed working with Pat McGarvey.
  • Commissioner Kehr passed along that Albert Lea has AA bond rating when selling bonds.

Chamber of Commerce

  • Randy Kehr thanked Ryan and Dan for their help with the Leadership Economic Development Day.  The group visited Lou Rich, lunched at Crescendo and toured the Freeborn Bank building downtown, the industrial parks, Albert Lea Select Foods and Zumbro River Brands.
  • The fireworks fundraiser is this Friday so please bring cash and give a donation.
  • The Charter Commission meets Monday regarding changing the mayoral term.  So far there has been very little input.
  • Red Power Roundup will be June 23-25 at the fairgrounds.  Randy urged everyone to wear red that week and be ready for all the people coming in.  It will have a huge impact on the local economy.

10.  COMMISSIONER ITEMS

  • Commissioner Ehn said the ALMC is now officially known as MCHS (Mayo Clinic Health System).

11.  ADJOURNMENT

Commissioner Moore made a motion to adjourn the meeting, seconded by Commissioner Skophammer.  The motion carried 7 in favor, 0 opposed.  The meeting recessed at 8:15 a.m.

 

Filed and attested June 1, 2011.

 

_____________________________                    __________________________

President                                                                     Board Secretary

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