05-20-2024 CCM - Laserfiche WebLink

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City Council Minutes May 20, 2024 --------- Page 5 of 8 Lease Termination. She apologized and stated it would not happen again. She has requested a different communication plan with the city (handout). Mayor Dietz asked Mr. Stremcha for clarification regarding the payments and the increased payment. Mr. Stremcha stated all the payments are up-to-date, including late fees and penalties. Michelle Thatcher, Bank of Elk River, stated there was a bank error when keying in the increased amount, which defaulted to the old amount. She explained that has now been corrected. Councilmember Beyer clarified payments with Mr. Stremcha. He thinks it is a valuable space and does not want it to go away and is willing to give it another chance. Councilmember Westgaard stated he hoped the communication changes would help. He would prefer not to terminate the lease and thinks it is good for the community to have them in the space. He stated, as long as the finance piece is whole and there are mechanisms in place to make sure this doesn't happen again that keeping the status quo of them being in the space would be best for all parties involved. Councilmember Grupa questioned the sub-lease and the logistics of who will be handling the sub-lease. Mr. Portner clarified by stating the entire lease space is held by iBack Check and they are sub-letting a portion of it to another group which the Council approved as well. In terms of that part of the lease it will remain as is until iBack Check's lease has ended. Councilmember Wagner understands what it takes to run a small business and would like to see them run a successful business. She suggested for them to do what they need to do to ensure this doesn't happen again. She is looking forward to working this out and moving forward. City Attorney Shepherd suggested the status of the lease to come back to the next Council meeting. Moved by Councilmember Grupa and seconded by Councilmember Westgaard to maintain the current lease agreement and bring back a resolution with the status of the lease at the next Council meeting. Motion carried 5-0. 8.2 Agreement 24-14: Two Brothers Hockey Lease Agreement This item was removed due to the appeal of iBack Check being approved. 8.3 Select Executive Search Firm The staff report was presented. The Council unanimously agreed that MGT/GovHR was the most appealing based on their experience with law enforcement, and they are originally from this area. Moved by Councilmember Westgaard and seconded by Councilmember Grupa to approve the engagement of MGT/GovHR for executive recruitment services for the chief of police. Motion carried 5-0.