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HomeMy WebLinkAbout2000 [06] Jun 14Official Minute&-EDA Board Pursuant to due call andnotice thereof, the Economic Development Authority for the City of St. Joseph met in regular session on Wednesday, June 14, 2000 at 8:00 a.m. in the St. Joseph City Hall. Members Present: Chair Kenneth J. Hiemenz. Board Members Mike Deutz, Ross Rieke, and Bruce Gohman. EDA pirector Chad A. Carlson. Others Present• MarkMark H~emami, Platinum Marketing Group Mark Hamann -Platinum Marketing 6ronr~: Mark Hamann introduced himself as one of the lead developers in ~ golf courseJresidential development south of the Township Hall. the property is under control by the developers via signed purchase agreements. Preliminary plans are being completed; which include a mix use of residential development. The residential development will consist of apartments, town homes, starter homes and up scale living. The development partners are currently discussing the golf course ownership with some local investors. The golf course will be privately owned. Hamann indicated that annexation and the availability of city services is critical to the completion of the development. Hemapn stated that the project has many potential benefits to the community such as increased traffic counts, affordable living, and the golf course will put St. Joseph on the map. Rieke questioned if Mr. Hamann would share a bit about his background in property development. Hamann stated teat he has over 15 years of experience in the real estate development field with commercial and golf course development. His partners have extensive experience in residential development in central Minnesota. Rieke questioned the amount of property in holding for the project. Hamann stated that the development consists of approximately 325 acres. A surveyor has been hired to confirm the amount of property purchased from the Hiem and Bechtold families. The golf course will require anywhere from 150-200 acres and the remaining will be developed as residential. The architect will be incorporating the natural terrain and features into both sides of the development, including the Sauk River. Gohman questioned how many housing units will be included in the development. Hamann stated that the specific amount of units are yet to be determined. However, they are devoting 120 acres to single f~r-ily homes, 15 acres to town homes, and 8 acres to apartments. Once an engineering film is retained, they will determine the amount of housing units that are needed to make the project financially feasible. Gohman questioned Hemanri's experience in golf course development. Hamann stated that his experience is with course development in the Southern California and the San Diego area. Gohman introduced himself as the owner and developer of Eagle Trace Golfer Club in Clearwater. Gohman cautioned Hamann regarding the development of another golf course in the St. Cloud area. There are currently 5 courses under development in an already saturate market. Gohman further stated that in order for the development to occur, 200 or more acres must be available to residential development. Gohman further cautioned Hamann regarding current golf course studies that are being completed throughout the slate and their validity. Deutz stated that the St. Cloud Area is missing a championship course design and an upscale golfing experience. The golf course proposed by Hamann will provide this to the St. Cloud Area. Deutz further stated that the City completed a housing study last year and the study indicated that the City was lacking in every category of housing. This development should fit the needs identified in the study. Rieke stated that the City of St. Joseph should and is in the position to embrace any business that wishes to locate in the St. Joseph area. Rieke further stated that the EDA will provide any assistance needed to promote the completion of this project and Rieke welcomed the developer to town. I-liemenz questioned the timing of construction for the residential units proposed with the development. Hemann stated that his partners would like to begin construction on the residential units within 12 to 14 months. The construction will be contingent upon the reconstruction of County Road # 121 and the extension of mupicipal services to the area. The first phase of construction would begin across from the township hall and wifl consist of town homes. However, single family and apartments could be constructed at the same time. Deutz stated that the golf course will be a major economic boost for downtown St. Joseph. The amount of traffic on College Avenue and Minnesota Street will increase dramatically. The businesses will see a benefit. Hemenn added that he has contacted the colleges regarding their role in the development and operation of the golf course. Each college did_notcommitto a_major. leadership role_inthe_development of operatian. Hemann stated that the City will benefit from alumni and their families returning to the area to enjoy the course, not to mention the college scheduled events that bring people and staff into the community. Hemann concluded by stating that St. Joseph is the ideal location for this development due to the natural features of the land, small town atmosphere, and development patterns and constraints of the area. Approval of Minutes: Gohman moved to approve the April 13, 2000 EDA Board minutes with the following correction: 1) remove Deutz from the motion to adjourn after the EDA Board met with Greg Reinhart at the First State Bank of St. Joseph. Seconded by Deutc. The motion was approve by the following vote: Ayes: Gohman, Deutz, Hiemenz, and Rieke .Nays: None Motion Carried Deutz moved to approve the May 11, 2000 EDA Board minutes as presented; Seconded by Rieke. Discussion: Deutz reminded the EDA Board that the bond amount for the City Hall Complex is $960,000. Deutz further stated that GLT Architects stated at the last City Council meeting items were missed in the original estimate and questioned if the budget had enough room to add additional expenses. Carlson stated that at the last building committee meeting, after the City Council meeting, that the project is still under budget. The building committee also eliminated and added items to the project as alternates for the bidder. The motion was approve by the following vote: Ayes: Gohman, Deuti, Hiemenz, and Rieke Nays: None Motion Carried EDAM Conference Re¢istration and Lod¢in¢: Rieke moved tq approve Carlson, EDA Director, to attend the EDAM Conference June Z8-30m; Seconded by Gohman. The motion was approve by the following vote: Ayes: Gohman, Deutz, Hiemenz, and Rieke Nays: None Motion Carried Cou4ty Road #f33: Carlson informed the EDA Board that Stearns County has advertised for bids on the project and the bid letting will be June 28m . Hiemenz stated that he was informed by Mitch Anderson, Steams County Engineer, that MNDOT made an error and the bid letting is now scheduled for July b`~. Carlson suggested that once the bid letting is complete and we know the name of the contractor selected, the EDA Board end staff should lobby to have the project begin in St. Joseph. Gohman stated that the bidders list should be available prior to the bid letting. Gohman suggested that an information letter be sent to all the bidders letting them know the importance of starting in St. Joseph, not to mention that we're ready. Rieke added that Joe Bettendorf, City Engineer, draft a letter to assist in the process. I-Iiemenz stated that Sartell has to address traffic control issues much larger then St. Joseph, which may work to our favor. The contractor may have a large enough crew to start on both ends if needed. Gohman stated that starting the project in St. Joseph and Bartell at the same time would create additional traffic problems that the County should consider. County Road #133 is the primary route for citizens of St. Joseph to get to work irr Bartell and north and West St. Cloud. Carlson stated that he will follow up on the bidders list and get in contact with the EDA Board members regarding the progress of the project. 2000 Legislativf Updates: Carlson stated ttlat he attended the Economic Development Committee meeting held by the Coalition of Greater Minnesota Cities to discussed the changes made by State Legislatars at the 2000- Session in economic development. Carlson highlighted the mare significant changes: 1) Elimination of the 11/9 rule regarding the duration of a TIF District. The current law now states that increment can be collect no longer the 8 years after the first receipt of increment in an economic development district. 2) Extension of the public notice requirements and school and county notifications 3) The following items werE changed in the Business Subsidy Law: a) Included ingrease tax base as a public benefit b) Subsidy providers must create a wage floor or formula within the agreement c) Subsidy agreement must have measurable, specific and tangible goals. d) The grantor can deviate from the goals set in the policy e) 'The grantor has until 2003 to make the necessary amendments to the policy. 2000 Prospect List: Carlson detailed theprvjeets on the prospect list. The EDA Board suggested creating another category on the spreadsheet detailing those projects that have started construction and require Follow up or assistance from the EDA Office. Carlson informed the EDA Board that the changes will be made prior to the next meeting. Announcements• Deutz requested Hiemenz give an update regarding the public informational meeting for the County Road # 121 project. Hiemenz stated the proposal was presented to the residents in the proposed annexation area. Many residents have changed their `4io" vote to a "yes" vote. The proposal will bring water and sewer lines down as far as the Tovynship Hall. Most of the residents in the "Hilltop" area are opposed to the project with is ironic since. they are the ones. with. the failing septic systems. Hiemenz anticipated that vote was currently 50/50. Deutz suggested that the City Council redefine the project and annexation area to provide to those requesting municipal service. The people on 295` would then connect to the system at a later date and much higher cost. Hiemenz stated ghat the City would need to reassess the project and area to be annexed. The biggest obstacle for the pity is the carry cost of approximately $700,000 which doesn't include the lift station and the large amount of tax exempt land in the project area. In order to make the project work for those requesting services, the annexation boundary will have to redrawn. Deutz questioned if the annexation would-have put to City over 5,000 in population. Hiemenz stated ghat the State Demographers Office had the City 200+ short of 5,000 in population. Carl is working with the State Demographers Ogee to work on the frgure. Adiourn• Deutz moved to adjourn at 9:05 a.m.; Seconded by Rieke The motion was approve by the followingvote: Ayes: Gohman, Deutz, Hiemenz, and Rieke Nays: None Motion Carried `Cad A. C lson Economic Development Director