05-18-2020 EDA MIN - Laserfiche WebLink

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"—*N Economic Development Authority Minutes May 18, 2020 ----------------------------- Commissioner Wagner questioned if you have to apply for the loan to get the property tax relief and why there is an employee requirement. Page 3 Ms. Othoudt stated one form was created for both programs as it was simpler to administrate and the applicant could apply for either the loan and/or tax relief. Ms. Fiorini stated this policy was modeled after other similar EDA policies noting most want to target smaller businesses. Chair Tveite stated he'd like to remove the employee requirement and have it applied to the businesses forced to shut down due to the governor's order. Commissioner Wagner concurred and would suggest the requirement that they have to be in business for six months prior to shut down removed. Commissioner Westgaard questioned if we are wanting to target or eliminate a certain demographic of business and that was a reason for having some of these requirements. Ms. Fiorini stated the requirement were based on what is typical for other EDA's. Commissioner Westgaard questioned if the requirement applies to a new business or new ownership of an existing business, referencing the recent sale of Olde Main Eatery. Chair Tviete stated it is reasonable to say businesses had to be in operation prior to the orders. He stated he would like to strike the employee requirement and keep that a business had to be open prior the orders. Commissioner Wagner concurred. Commissioner Ovall felt having both programs lumped into one application is too cumbersome for the property tax relief program, noting there are some requirements that aren't needed for this program. Ms. Othoudt stated separate applications can be drafted. She stated it would be helpful to clarify how the Authority will be measuring the property taxes to be forgiven. She questioned if it would be the May or October tax payment. Comrissioner Blesener stated it should be for any taxes due in 2020. Conunissioner Ovall stated is should be the lesser of their 2020 annual property tax 61 due or $5,000. Ms. Othoudt noted it could get a little tricky with leased properties, but the lease agreements would have to be reviewed. 1 0/ E A E I e T NATURE