City Council Meeting Date: October 20, 2026
To: Mayor and City Council
From: Ben Martig, City Administrator
Scott Wopata, Community Development Director
Title
Public Hearing Related to Resolution for Modified, Amended and Restated Resolution of the Economic Development Authority (EDA).
Body
Action Requested:
The Northfield City Council is asked to hold a Public Hearing Related to Resolution for Modified, Amended and Restated Resolution of the Economic Development Authority (EDA).
Summary Report:
Public Hearing Procedure (from adopted City Council Rules of Business):
A Public Hearing is used by the City Council to solicit the public's comments on various projects or City operation procedures.
A. The Mayor will open the hearing by identifying the subject.
B. Staff Presentation- Community Development Director Scott Wopata will give a presentation on the proposed amendments.
C. Applicant's Presentation - NOT APPLICABLE
D. Public Input- The public will have the opportunity to speak for or against the issue. The public may ask questions, make comments, voice support, agree or disagree with the issue.
1. The Mayor will recognize a speaker at the podium and comments/conversation will be between the Mayor and speaker; and between the Mayor and Council Members.
2. At the podium the speaker must give their name, and if representing a business, must give the name of the business or corporation. If an Attorney or consultant is representing a client, the client must be identified for the record.
3. Speakers will be allowed to speak a maximum of two (2) minutes per item (not including interpreter’s time, if applicable).
4. Speakers who have material to be handed out to the City Council will pass the material to the City Administrator. The City Administrator will then pass the information to the appropriate people. A minimum of twelve (12) copies are needed.
5. Persons cannot gift their 2 minute speaking time to other members of the public.
Note: There are two scheduled action items after this agenda item. There will not be separate public input on that agenda items since this public hearing relates to those action item.
E. Questions or Clarifications from City Council - After the public input of the public hearing is completed, the City Council may request questions or clarifications prior to closing the public hearing. This section will be used when there are questions related to the topic on which the public hearing is being held. Questions should be succinct and avoid being rhetorical or leading in nature. Subsequent actions of the City Council provide for opportunities for further questions or clarifications from the City Council.
F. Any material to be entered into the record shall be noted. Any written communication presented to the City Council during a City Council meeting shall be read into the record or summarized for the record or simply delivered to the City Council, as the City Council may determine. They shall then be recorded in the minutes by title and filed with the minutes in the office of the City Clerk.
G. Motion to Close Hearing - The Mayor will state if there is an extension of time for public input into the hearing. If not, the City Council Members will make a motion, second, and vote of the City Council on closing the public hearing.
This is only a public hearing. Approval of amended EDA enabling resolution and approval of the first reading of an ordinance updating City Code to align with the amended resolution will be on the November 10, 2026 meeting agenda.
Background
There are several organizational structures available for community economic development programs. The structure a community chooses depends on the activities it wants to pursue. For example, some communities focus on business development and job creation, while others focus on housing development or redevelopment. Still others address all these areas, with priorities that may change over time. The main theme of the proposed changes are 1) administrative updates and 2) consolidating the HRA’s responsibilities and powers within the EDA.
Minnesota cities have authority under state law to establish an Economic Development Authority (EDA). An EDA can help a community carry out a broad development program involving business development, redevelopment, and housing. Northfield currently has a separate Housing and Redevelopment Authority (HRA) whose members are City Council members, a common arrangement. State law also allows a city to grant HRA powers to its EDA, subject to applicable statutory requirements, including those related to levy authority.
The Northfield EDA was established by the City Council through an enabling resolution under Minnesota Statutes Chapter 469. The enabling resolution defines the specific powers the Council has granted to the EDA. The EDA’s authority comes from both state law and the Council’s decision to establish it and delegate powers through that resolution.
Northfield’s current enabling resolution was adopted many years ago. Some provisions are outdated, inconsistent with current organizational practices, or no longer reflective of how the City and EDA operate. The proposed update is intended to ensure the City’s governing documents accurately reflect current practices and provide a clear foundation for future economic development activities. This work also advances one of the EDA’s three priorities related to reviewing and updating policies.
Staff and legal counsel’s review identified several provisions that extend beyond the core purpose of an enabling resolution, including mission statements, policy direction, and administrative details. While these provisions may have reflected the City’s priorities when adopted, they are not necessary to establish or authorize the EDA under Minnesota law. Staff recommends focusing the enabling resolution on organizational structure, statutory authority, governance, and delegated powers. Policy priorities, strategic objectives, and operational practices can be addressed through separate Council and EDA actions. This approach would create a clearer, more durable governing document while allowing the City to adjust its goals as community needs evolve.
Staff also reviewed how the EDA currently operates to determine what should be reflected in the resolution and to ensure the draft remains within state law requirements. The attached resolution is a working draft and can be amended as the review continues.
As part of this update, staff also recommends consolidating the existing HRA powers and duties within the EDA. The Council could consider this change through amendments to the enabling resolution and the City Code of Ordinances. The EDA’s current membership and structure would remain in place, while housing responsibilities and related funding oversight would be added to its work alongside redevelopment and business development. Combining these responsibilities would allow community leaders to use available City, EDA, and HRA tools in a more coordinated approach to economic development, redevelopment, and housing. Community Development staff assignments are also expected to align well with this structure.
The City Council previously reviewed governance priorities as part of the last City Strategic Plan. It adopted ordinance, policy, and procedural changes to create more consistent operations and improve governance. The Council also reviewed boards and commissions to determine whether their roles remained relevant or would benefit from changes. As part of that work, the Council revised some duties, eliminated certain boards, and assumed the duties of the HRA. Given the Council’s broad responsibilities, assigning HRA duties to the EDA would more closely align those duties with the EDA’s existing work. Staff has had preliminary conversations with individual Council members, who were receptive to bringing forward more details for review and consideration.
The proposed new resolution and existing enabling resolution are attached for reference. A short presentation also provides background on the proposed changes. Staff presented these amendments to the Economic Development Authority at their September 28, 2026 meeting. A link to the video of that presentation and discussion is attached.
Staff will take another final review of the proposed new resolution taking input from the EDA, Council, Public Comments and internal review to bring back for a final recommendation. See tentative timeline below related to that timing.
Concurrent, we will bring forward an amended ordinance under the City Board and Commission section that correlates to the proposed changes for the HRA and EDA.
Alternative Options:
N/A
Financial Impacts:
N/A
Tentative Timelines:
ü EDA Presentation and Discussion September 28, 2026
• Public Hearing October 20, 2026
• EDA Approval and Recommendations October 26, 2026
• Approval of Amended Enabling Resolution November 10, 2026
• First Reading of Ordinance Updating City Code November 10, 2026
• Second Reading of Ordinance Updating City Code December 1, 2026
• Summary Publication for Ordinance December 1, 2026
• Publication of Ordinance December 8, 2026
• Changes to EDA go into effect January 1, 2027