HomeMy WebLinkAbout2007 [06] Jun 20CITY OF ST. JOSEPH
ECONOMIC DEVELOPMENT AURTHORITY
Meeting Minutes -Wednesday, June 20, 2007
Present: EDA Board Members Ken Jacobson, Tom Skahen, Dale Wick and Carolyn Yaggie-
Heinen.
Also present: Chris Schellinger and Wendy Haselbus with Remodeling Professionals, Traci Ryan
with David Drown Associates, St. Joseph Finance Director Lori Bartlett, City Administrator Judy
Weyrens and Cynthia Smith -Strack of Municipal Development Group.
Vice Chairperson Jacobson called the June 20, 2007 meeting of the St. Joseph EDA to order at
3:00 p.m.
Agenda.
Vice Chairperson Jacobson introduced the agenda. Moved by Wick seconded by Skahen to
approve the agenda as presented except for moving agenda item 5a up to just before agenda
item 4. Motion carried 4-0.
Approval of Minutes.
Vice Chairperson Jacobson introduced the minutes from the May 16, 2007 meeting. Motion
Skahen, Seconded Heinen to approve minutes from the previous meeting. Motion carried 4-0.
Preliminary TIF Application: Schellinger
Vice Chairperson Jacobson introduced the agenda item. Strack noted that developer Chris
Schellinger and consultant Wendy Haslebus were present to answer any questions regarding the
proposed project. In addition Traci Ryan was present to address any questions the EDA had
regarding the use of redevelopment TIF in conjunction with the project.
Strack noted that Chris Schellinger had submitted apre-application for Tax Increment Financing
assistance for the construction of an 8,000 to 9,000 square foot commercial (retail/office) facility
at 24 College Avenue North in Downtown St. Joseph. A summary of the proposed project was
included in the EDA packet. Pay-as-you-go redevelopment TIF assistance is requested in order
to help the project move forward. Staff has requested the Company provide the EDA with
preliminary source/use statements illustrating a gap (net present value) in funding. The applicant
had not as of the time of the meeting submitted a source and use statement and a sufficient
concept plan although the developer had initial source/use statements and concept sketches with
him at this time. Strack noted the developer wanted to seek approval of the use of TIF to assist
the project prior to closing on the property. Construction was expected to be at the earliest this fall
or the latest the Spring of 2008. The developer is representing the completed value of the project
to be $1.2 to $1.4 million.
Strack noted Ms. Ryan had prepared preliminary TIF projections based on the estimated
completion value. The projections indicated a net present value of TIF of $325,560 (25 years) or
$230,772 over a 15-year term. Ryan reviewed the projections in detail and described a proposed
method to modify TIF District 2-1. Ryan suggested including additional parcels within the
modification as a means of simplifying additional development that could occur near the proposed
development.
The EDA discussed the potential project and noted support for the concept of a new commercial
facility at the subject location. However, the EDA noted additional information regarding project
sources/uses and a more detailed site plan would be needed prior to the EDA making a
recommendation to the City Council regarding the use of redevelopment TIF. If the required
information is submitted prior to the joint CC/EDA meeting on July 11`h the preliminary application
could be acted on at that time.
EDA Minutes -June 20, 2007
The EDA thanked Schellinger for his interest in redevelopment in downtown St. Joseph
EDA Accounts Payable.
Jacobson introduced the topic. Strack noted accounts payable for the month totaled $10,383.26
including $2,249.17 for MDG and $8,000 in dues to the St. Cloud Area Economic Development
Partnership. Strack noted Administrator Weyrens had envisioned a transfer from the fund balance
covering the dues to the Partnership.
Motion by Wick, second by Heinen to approve the EDA accounts payable for the month of May
2007 in the amount of $10,383.26. Motion carried 4-0.
Financial Report.
Jacobson introduced the agenda item. Strack noted the City's new Finance Director, Lori Bartlett
was present at the meeting. Bartlett would be instrumental in assisting the EDA through the
budget process and would also be available to advise the EDA on municipal finance matters and
the results of the 2006 audit. Reports presented included: revenue, expense, check register and
fund balance.
Motion by Wick, second by Heinen to approve the May financial reports as presented. Motion
carried 4-0.
2006 Audit
Jacobson introduced the topic. Bartlett reviewed reports contained in the 2006 audit including a
combining balance sheet and revenues, expenditures and changes in fund balances as they
related to the EDA. EDA members thanked Bartlett for presenting the information.
Southwest Beltway Transportation Corridor Study CAC
Jacobson introduced the agenda item. Strack noted the St. Cloud APO, Stearns County, Waite
Park, St. Joseph and St. Joseph Township agreed to initiate a corridor study for a regional arterial
roadway commonly referred to as the 'Southwest Beltway'. This arterial roadway is an extension
of 33rd Street from St. Cloud to Highway 15 to Highway 75 somewhere in the vicinity of CR 134.
The initial portion of the Southwest Beltway corridor from 33rd Street in St. Cloud (including an at-
grade intersection with Hwy 15) to the western. boundary of Quarry Park in Waite Park has been
mapped. The remaining portion is the subject of the proposed study. A consulting engineering
firm has been selected to lead the corridor study. As part of the scope of the study a 'corridor
advisory committee' (CAC) will be convened to provide input on the study and various
alternatives. The CAC group is to include a representative from the EDA. The CAC group is
scheduled to meet twice although the date, location, time of those meetings has not yet been
established. It is expected the initial CAC meeting will be held within the next month.
Weyrens joined the meeting and noted the initial meeting date was Wednesday, August 8th from 2
to 4:30 p.m. at Waite Park City Hall.
Motion Skahen, Second Heinen to appoint Ken Jacobson and Dale Wick as co-representatives to
the CAC. Motion carried 4-0.
20th Avenue North Design Services
Jacobson introduced the agenda item. Strack noted the transportation plan completed by the City
of St. Joseph last year illustrated a collector street projecting north from existing 20th Avenue in
the vicinity of Ridgewood Road. Since completion of the transportation study, City staff have been
meeting with property owners potentially affected by the roadway extension. In the course of
meeting with some property owners it became apparent that special design services were needed
to properly evaluate the impact a potential roadway could have on efficient operation at an
existing facility. Staff had located a specialized engineering consultant to assist with site
evaluation. The cost of a site visit and report preparation was not to exceed $1,500. The potential
EDA Minutes -June 20, 2007
roadway extension will impact commercial/industrial property presently and in the future. The
EDA had budgeted $2,000 for engineering expense related to economic development for the year
2007. The $1,500 study was proposed to be paid by the EDA from the Engineering line item.
Motion Heinen, second Wick to approve the $1,500 study. Motion carried 4-0.
Downtown Work Group Urban Environs Draft Design Guidelines
Jacobson introduced the agenda item. Strack noted that at the previous EDA meeting Board
Members directed the draft guidelines be mailed to all business/property owners within Downtown
along with information on financial/technical resources available from the EDA and answers to
questions which were likely to arise. The cover memo, FAQ's and financial/technical resource
listings that were mailed to property owners along with the draft guidelines were included in the
packet along with a listing of those receiving the mailing.
Strack noted the guidelines were mailed three weeks prior to the EDA meeting and that she had
not be contacted by anyone regarding the standards.
The EDA noted the next step should be to bring the guidelines to public hearing at the next
Planning Commission meeting. Weyrens noted she have the item added to the agenda, the
hearing notice mailed to business owners and the draft guidelines put on the City website.
McComb Group Market Research Study -Preliminary Tables
Jacobson introduced the topic and noted Complete Electronics and City Hall should be added to
the list of businesses. Heinen noted GMS Autobody should be changed to CMS Autobody. Wick
noted Tam Photography should be changed to Tamm Photography. Weyrens noted Joseph's
Hair Care and Floral Arts should be added to the list of businesses. Strack noted she and
Weyrens were concerned with the classification of Sals, the LaPlayette and Loso's as full service
food establishments within the downtown. The EDA agreed and recommended reclassification of
the three facilities.
Strack noted the final study is due out by the end of June. A joint City Council and EDA meeting
is proposed for July 11`h to review the study results.
Next Meeting Date: Change from July 18th to July 11th (proposed)
Jacobson introduced the agenda topic. Motion Heinen, second Skahen to hold the July EDA
meeting on July 11`h versus the 18`h. The meeting will be a joint meeting with the City Council.
Adjournment.
Motion Ska ~n, second Heinen to adjourn the DA meeting. Meeting adjourned at 4:45 PM.
EDA Minutes -June 20, 2007