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HomeMy WebLinkAboutNovember 18, 2025 ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING – NOVEMBER 18, 2025 - MINUTES The Meeting of the Andover Economic Development Authority was called to order by President Jamie Barthel, November 18, 2025, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Commissioners Present: Rick Engelhardt, Karen Godfrey, Scott Schue, Jonathan Shafto, Kari Kafer and Greg Mueller (arrived at 6:03 p.m.) Commissioners Absent: None Also present: EDA Executive Director, Sarah Cotton Community Development Director, Joe Janish APPROVAL OF MINUTES September 16, 2025, Regular Meeting: Correct as written. Motion by Schue, Seconded by Engelhardt, to approve the minutes as written. Motion carried unanimously. 2026 LAHA WATER CONNECTION PROGRAM DISCUSSION Mr. Janish reviewed the Local Affordable Housing Aid (LAHA) program, which is administered by the Center for Energy and the Environment (CEE) on behalf of the City. Mr. Janish indicated CEE closed on five grants providing $148,621.34 to Andover residents for the connection to city water. Mr. Janish stated staff is looking for guidance from the EDA on the following items to continue the program: 1. Does the EDA desire to continue the water connection program for 2026? The EDA directed staff to continue the program. 2. Is the current $33,000 an appropriate cap for 2026? Mr. Janish indicated fees are projected to increase for 2026. The EDA directed staff to cap the amount at $35,000. 3. Does the EDA desire to add to the current budget remaining ($79,378.33) to the Andover Economic Development Authority Meeting Minutes – November 18, 2025 Page 2 expected December 2025 distribution of $127,552.56? The EDA directed staff to combine the remaining budget balance with the December 2025 distribution. Motion by Engelhardt, Seconded by Mueller, to continue the LAHA Water Connection Program in 2026 with a cap of $35,000 per qualified property and combining the current remaining budget with the funds to be distributed in December 2025. Motion carried unanimously. 2026 ANDOVER HOME IMPROVEMENT GRANT DISCUSSION Mr. Janish reviewed the Andover Home Improvement Program. The program has been in place since 2023 and is based on home value and not income. The budget for 2026 includes $25,000 for the program. Mr. Janish indicated the current qualifying home value is $299,000 for the grant program. Staff is looking for direction from the EDA on whether the qualifying amount should be increased since the median estimated market value of an Andover home has increased for 2026. Commissioner Mueller asked if there is a way to show that a property that has used the program has spurred other projects in the neighborhood. President Barthel stated the program was not meant to spur; the program was meant to help an individual's home. Mr. Janish indicated he can check with GIS for a map showing properties that have used the program, but there really is no way to track whether the program is spurring projects in a neighborhood. Commissioner Schue asked how many properties applied this year. Mr. Janish replied four projects are currently active, and he can bring the exact number of properties that have applied to a future EDA meeting. The consensus of the EDA was to increase the qualifying home value to $316,000 for the 2026 Andover Home Improvement Grant Program. REVIEW COMMERCIAL PROJECT ACTIVITY Mr. Janish updated on the following: Interest in Hughes Industrial Park – Staff continues to have occasional discussions with business owners in the area of expansion. However, they tend not to carry through on the expansion due to costs associated with sprinklers, septic systems, etc. Restaurants/Fast Food – The city continues to receive inquiries from companies interested in acquiring land for development in Andover. Chase Bank, 2184 Bunker Lake Boulevard – Chase Bank has received its CO, and an escrow was collected for items that were not completed on the exterior. th Holiday/Circle K, 7 Avenue and Bunker Lake Boulevard – Final inspection occurred last week. Andover Economic Development Authority Meeting Minutes – November 18, 2025 Page 3 JA Wedum/Crosstown Landing – Work is progressing on the interior, and building inspections are being done daily. Boulder Prairie Estates – Preliminary plat has been approved by the City Council. Grading is occurring. Lakeview at Sloth Farm, 13624 Gladiola Street – Grading is complete. Lots are currently on the market. Housing – 85 new home permits have been issued in 2025. Walmart, 1851 Bunker Lake Boulevard – A CO has been issued for the project. Walmart will be notified to remove the shipping containers currently on the property. st Transform Church, 1657 161 Avenue – Building permit is being reviewed, and CSP is stamped. They are adding an auditorium to the facility. Meadow Creek Church, 3061 Bunker Lake Boulevard – Received a CUP for a new facility located just west of the existing facility. Legacy Christian Academy has acquired the existing structure. The building permit has been reviewed. Waiting on CSP final review. Hartmans Meadows – 12 rural lots east of Country Oaks North is under construction. th th Fields of Winslow Cove 4 Addition – Homes can be built in most of the 4 addition soon. A lift station is currently being designed for the additional phasing of the development along Prairie Road. Pizza Ranch, 13797 Jay Street – Framing is ongoing, with the roof being placed. The contractor th is hoping for a December 18 opening date. Rural Reserve/Fields of Andover Draft AUAR – Staff has heard from two commercial real estate companies asking questions about the draft AUAR, noting they have several clients that may be interested in the City of Andover if this project occurs. The different sections of the AUAR continue to be worked through. Overall Marketing – City staff continues to work with parties interested in investing in Andover and marketing all commercial sites. Staff continues to work with Anoka County Regional Economic Development (ACRED) on marketing of the community and Anoka County. BUNKER LAKE REDEVELOPMENT AREA UPDATE th Mr. Janish stated the Fire Department held training at 2542 138 Avenue. During the fire permit process, the MPCA walked through the property and questioned some of the materials that were not tested during the asbestos testing. The MPCA returned the following week to test the materials. Andover Economic Development Authority Meeting Minutes – November 18, 2025 Page 4 Mr. Janish indicated the MPCA walked through 2607 Bunker Lake Boulevard and wanted to see the survey and the list of materials removed from the property. Mr. Janish explained the MPCA indicated the buildings removed in 2020 should have had an MPCA permit. Mr. Janish stated the asbestos contractor sent staff the reports on the buildings that they had inspected. Commissioner Godfrey asked how this permitting process was missed. Mr. Janish replied the MPCA stated the contractor missed the permitting process. Ms. Cotton stated moving forward, the city will require the contractor to give the city a copy of the MPCA permit. Mr. Janish indicated once staff receives approval from the MPCA, staff will contact the contractor for demolition. OTHER BUSINESS There was none. ADJOURNMENT Motion by Mueller, Seconded by Schue to adjourn. Motion carried unanimously. The meeting was adjourned at 6:38 p.m. Respectfully submitted, Michelle Hartner, Recording Secretary