Council Minutes, July 20, 2020

Posted: July 20, 2020

City of LeRoy MN – Council Meeting Minutes, July 20, 2020

A special meeting of the LeRoy City Council was called to order by Mayor Brian Thiel on Monday, July 20, 2020, at 6:00 PM at the LeRoy Community Center with the following members present:  Mayor Brian Thiel, Council Members Jan Whisler, Harold Shipman, Daisie Fox, and City Clerk Patty White.  Council Member Ashley Huntley was absent.
Also attending: Axel Gumbel and Chris Hahn (LeRoy EDA Coordinator)

Thiel read the due call for this special meeting, “The purpose of this special meeting is to address a partial tax abatement request for a potential commercial business considering locating to LeRoy,” and called the meeting to order.  All present stood for the Pledge of Allegiance.

Chris Hahn, LeRoy EDA Coordinator, presented a Power Point presentation on RWF Bron, Inc.  RWF Bron is the U.S. brand for Roberts Welding and Fabricating that is based in Ontario, Canada.  RWF Bron representatives have toured the former SEMA property owned by Richard Koch.  They would like to open a sales, parts, and service center in that facility.  The company is looking to have three to six employees at this facility.

RWF Bron is requesting a 50% tax abatement of the city portion of the property taxes over a five (5) year period.  At the current assessed value, this would amount to $5,378.56 per year.

Shipman commented that there may not be many chances to get a business in that building; Shipman questioned if the council should offer a bigger tax abatement.  Thiel noted they could come back and ask for more in a negotiating process.  Fox questioned if this is something that businesses request to locate in a community.  Hahn noted this is normal; sometimes more is offered to bring a business to a community.  Whisler noted that all the council is in favor to try to get this business here to LeRoy.  He was in agreement to possibly offer a full year of city tax abatement and negotiate to a different percentage for the next four years.

White noted that no decisions need to be made at this meeting to negotiate the amount of the tax abatement.  The next step for the city council is to call for a public hearing to address this proposed tax abatement.

Motion by Shipman to call for a public hearing at the regular August council meeting, August 3, 2020, at 7:00 PM.  Second by Fox.  Motion carried 4-0.

Being no further business to come before the council, the meeting was adjourned on a motion by Shipman, second by Whisler at 6:18 PM.

– Brian Thiel, Mayor

– Patty A. White, City Clerk-Treasurer

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