Loading...
HomeMy WebLinkAbout2002 [02] Feb 20 · Annual Meeting Notice St. Joseph Economic Development Authority Wednesday, February 20,2002 4:00 p.rn. City Hall 1. 4:00 p.rn. Call to Order 2. Approval of Agenda 3. Approval of Minutes A. December 12,2001 4. New Business: A. EDA Election of Officers B. 2002 Meeting Schedule and Time C. EDA 2002 Budget D. Approval of Amendments to Covenants - St. Joseph (Buettner) Business Park E. Request for TIP - VicWest F. Brochure Insert Update · G. Proposed Schedule for Street Improvements - St. Joseph Business Park H. Review of Permitted Uses - Highway Business & Industrial 5. Director Reports A. Prospect List 6. Board Member Announcements 7. Adjourn · . February 1, 2002 MEMORANDUM To: EDA Board Members From: Joanne Foust and Cynthia Smith-Strack, Municipal Development Group RE: February 20, 2002 EDA Board Annual Meeting An EDA Board Annual meeting has been scheduled for February 20, 2002 at 4:00 a.m. in City Hall. The EDA is required to hold an Annual Meeting as required by State Statute. The first portion the agenda focuses on annual business that needs to occur. EDA Board appointments for 2002 are as follows: . Larry Hosch (2003) - Mayor Bob Loso (2002)- City Council Ross Reike (2007)- at large Mike Deutz (2005)- at large Bruce Gohman (2006) - at large EDA Board Officers need to be elected for 2002. The 2001 Officers were: Chair - Bruce Gohman, Vice Chair- Larry Hosch, Treasurer - Ross Reike, and Secretary - Bob Loso. Nominations for the Board Officers can be made during the meeting. In 2001, the EDA Board made a motion to hold the regularly scheduled board meetings on the third Wednesday of every other month. If the EDA Board wishes to follow the same schedule, the 2002 meetings would be; February 20th, April 17th. , June 19th, August 21 51 , October 16th and December ISth. If this schedule is acceptable, a motion needs to be made adopting the schedule. As always, the EDA can hold special meetings at any other time as deemed necessary. The 200 1 Annual Report is included in your packet. The report summarizes the activity of the EDA in 2001, with the modifications suggested by the EDA at the December 12, 2001 meeting. . , CITY OF ST. JOSEPH . ECONOMIC DEVELOPMENT AUTHORITY Meeting Minutes - Wednesday, December 12,2001 Present: Bruce Gohman, Mayor Larry Hosch, Bob Loso, Mike Deutz, Ross Rieke Also present: Joanne Foust, Municipal Development Group and Leo Buettner. President Gohman called the meeting of the St. Joseph EDA to order at 4: 1 0 p.rn. Minutes: Moved by Loso seconded by Deutz to approve the minutes of the November 21, 2001 EDA meeting as presented. Minutes were approved 5:0. The minutes of the August 8, 2001 meeting will be presented at a future EDA meeting for approval. Update of the Protective Covenants for Buettner Business Park (a.k.a. St. Joseph Business Park). A copy of proposed amendments to the Protective Covenants for Buettner Business Park. (a.k.a. St. Joseph Business Park) were reviewed. Foust noted that John Scherer, City Attorney, also reviewed the covenants and proposed changes and suggested the following: 1. The establishment of a setback for any areas used for outdoor storage, something similar to a greenspace, and 2. That the owner of Spring Green be contacted regarding the proposed changes. Deutz suggested the setback for outdoor storage and fencing comply with the Zoning Ordinance . setbacks. The following amendments were also discussed: Section 1.02. Term of Covenant: Buettner requested the second sentence be amended from "During the initial 10-year term of these covenants, they may be terminated only with the written consent of one hundred percent (100%) of the property owners and the consent of the EDA.", to "During the initial 10- year term of these covenants, they may be terminated only with the written consent of eighty Dercent (80%) of the property owners and the consent of the EDA." The EDA concurred. Section 3.01; Buettner questioned the provision which allows the EDA sixty (60) days to review and act on a plan submitted for review. He requested a shorter time period. The EDA noted state statutes provide sixty (60) days for planning action and they would like to remain consistent with statutes. Buettner agreed to leave this as stated. Section 3.02: Landscaping along parking lots was discussed briefly. It was determined the language would remain as written. Section 3.05: Acceptable Construction Material. The EDA requested this section read as follows, "All construction of new facilities shall consist of pre-cast or cast tip up concrete walls, concrete block (painted or decorative), post frame/steel frame with a concrete block or poured concrete complete perimeter foundation with frost footings extending a minimum of eight inches (8") above the final grade, and stick built construction. Pre-finished architectural metal panels with a minimum twenty (20) year manufacturer color-fast warranty, may be used as a construction material, provided the requirements of Section 3.06 are adhered to. Surface painted metal and unfinished metal panels are not permitted as acceptable construction materials. . 1 }) . Section 3.06: Exterior Building Standards. The EDA and Buettner agreed to the following addition to item · (b) Natural Stone or Cultured Rock. Sections 4.02 to 4.06: The EDA and Buettner concurred with the removal of these sections relating to Air Pollution, Noise, Odors, Dust and Other Particulate Matter and Smoke and replacment with the statement, "Any activity or operation shall conform to Minnesota Rules Chapters 7002-7030 (as may be from time to time amended) relating to air quality standards. Air quality standards apply to emissions of noise, odors, particulate matters, etc.)." Section 5.03. Outdoor Storage Screening. The EDA and Buettner agreed to the following language for Section 5.03, "Outdoor storage of equipment and materials directly related to the use of the principal building, provided the storage area does not exceed seven (7) times the gross floor area of the principal building and the area is contained within and screened with an eight (8) foot high chain link lathe fence. Outdoor storaoe and fence setbacks shall conform with the City's Zonino Ordinance reaulations." The EDA requested a copy of the revised proposed Covenants be forwarded to Spring Green for review and approval as well as included on the February agenda of the EDA for final review and approval. Marketing Material Updates In an effort to further market and promote the sale of the highway commercial and industrial lots within the St. Joseph Business Park, as well as within the community, MDG, Inc. prepared a marketing folder of information and a direct mailing list to send information on the community to. Foust requested EDA Commissioner comments and suggestions on the marketing data, noting a few areas need to be updated such as the length of the airport runway, etc. EDA members reviewed the information and provided the following comments; (1) change the distance · from the city to the St. Cloud airport to fifteen miles, (2) Include the increased price per acre in the St. Joseph (Buettner) Business Park, and (3) narrow the list of commercial industrial rea1tors to a select number within the St. Cloud area and active metro realtors. Commissioners felt the information would be beneficial in recruitment of businesses and response to leads. Rieke excused himself from the meeting at 5:05 p.m. 2001 Annual Report to the Council In accordance with the EDA Bylaws, the EDA is required to submit an annual report to the City Council on its acüvities. A draft report was included in the packet for EDA input. EDA members noted the following changes to the report, (1) Inclusion of the December 12,2001 meeting on the meeting list, (2) Modification of the prospect list to reference the business prospect by letter or number to protect their confidentiality, (3) Inclusion of Tamm Photography on the list of commercial building construction in 2001 and (4) Inclusion of the EDA Goals which were adopted as a result of meetings with Jeff Schlingman from the Partnership. Project Updates: A report outlining communication with various contacts was included in the EDA's packet. Foust also provided the following updates: 1. TIF 1-3 SKN Properties-Borgert Project- The county has resolved the issue with unpaid tax increments to the City and has the funds in their appropriate account. MOO has requested the TIF distribution be made to the City in the next 'Neek to allow the increment payment to be paid to the Borgert's in fiscal year 2001, avoiding problems with 2001 TIF Reports and obligations of the TIF note and developers agreement. · 2 Y , . 2. Two parties are seriously interested in 4-5 acre parcels in St. Joseph Business Park. The north ~ of Lot 1. Block 1 and the west ~ of Lot 2, Block 1 are under consideration for purchase agreements over the winter with spring construction proposed. Both have inquired about the Minnesota Investment Fund loan program and one has inquired about TIF or industrial revenue bonds. EDA members requested future project updates reference projects via a number or letter, again to protect their confidentiality. Next Meeting The next official meeting of the EDA was scheduled for February 20, 2002 at 4:00 p.m. This will be the organizational meeting of the EDA with the election of officers for 2002. Adjournment Moved by Hosch to adjourn; Seconded by Duetz. All voted in favor of adjoumment, the EDA meeting adjourned at 5:25 p.m. . . 3 , ity of St. Joseph .ollege Avenue NW P.O. Box 668, St. Joseph, MN 56374 (320) 363-720 I Fax: 363-0342 CLERK! ADMINISTRATOR February 1, 2002 Judy Weyrens MAYOR Larry J. Ho~çb MEMORANDUM COUNCILORS To: EOA Board Members Bob Loso From: Joanne Foust and Cyn~mith-Strack, Municipal Development Group Cory Ehlert ~~ Kyle Schneider RE: February 20, 2002 EOA Board Annual Meeting Alan Rassier An EOA Board Annual meeting has been scheduled for February 20, 2002 at 4:00 a.m. in City Hall. The EOA is required to hold an Annual Meeting as required by State Statute. The first portion the agenda focuses on annual business that needs to occur. EDA Board appointments for 2002 are as follows: Larry Hosch (2003) - Mayor . Bob Loso (2002)- City Council Ross Reike (2007)- at large Mike Oeutz (2005)- at large Bruce Gohman (2006) - at large EDA Board Officers need to be elected for 2002. The 2001 Officers were: Chair - Bruce Gohman, Vice Chair- Larry Hosch, Treasurer - Ross Reike, and Secretary - Bob Loso. Nominations for the Board Officers can be made during the meeting. In 2001, the EOA Board made a motion to hold the regularly scheduled board meetings on the third , Wednesday of every other month. If the EOA Board wishes to follow the same schedule, the 2002 \ meetings would be; February 20th, April 17th, , June 19th, August 21st, October 16111 and Oecember 18111. If # Ì(\.~' this schedule is acceptable, a motion needs to be made adopting the schedule. As always, the EOA can ~d'U hold special meetings at any other time as deemed necessary. 0 The 200 1 Annual Report is included in your packet. The report summarizes the activity of the EOA in 2001, with the modifications suggested by the EOA at the December 12,2001 meeting. . 1 2001 Annual Report of the St. Joseph EDA · The following activities and events occurred during the calendar year of 2001. 2001 Appointments: The following appointments to offices were made at the February 14th, 2001 EDA meeting: Chair: Bruce Gohman (At-large representative, term expires 2006). Vice Chair. Larry Hosch (Mayor, term expires 2003). Treasurer. Ross Reike (At-large representative, term expires 2007). Secretary: Bob Loso (Council representative, term expires 2002). Member at Large: Mike Duetz (term expires 2005) Meeting Dates: The St. Joseph Economic Development Authority met 13 times during the year 2001. The meeting dates were as follows: February 14, 2001 April 11,2001 December 12, 2001 May 2, 2001 May 16,2001 June 20, 2001 July 11, 2001 July 18, 2001 July 23, 2001 August 8, 2001 September 19, 2001 October 17, 2001 November 21, 2001 Mission: The mission of the EDA is to provide a professional management program which assists commercial · industrial and commercial development activities that minimize impacts to the environment, transportation system, municipal water and sewer and financial resources for the City of St. Joseph and surrounding townships. 2001 Projects/Activities Summary: · Spring Green Development: 4,500 square foot facility in St. Joseph Business Parle · St. Joseph Community Marketing Brochure completed. · 2002-2003 Strategic Plan developed with assistance from the SCEDP's Jeff Schlingman. · EDA Director resignation in July. · Municipal Development Group contracted to provide economic development service. · St. Joseph Farmer's Market received an Initiative Foundation Grant. 2001 ProspectsfTechnical AssistancefCoordination The EDA members and their staff/consultants worked with a number of commercial and industrial businesses during 2001. Businesses have been identified with a project number to protect the confidentiality of the company, which is sometimes a concern while they explore expansion opportunities. · Project #01-A: Assisted an industry with technical assistance for a proposed expansion. Met with the company representatives and state representatives to discuss financing programs to assist with their expansion project. Provided TIF projections and site information. · Project #01-B: Assisted an industry with technical assistance for a proposed expansion. Met with the company representative, provided TlF projections and grant/loan information, site and community information. · Project #01-C: Assisted the company with their proposed expansion at 30984 Joseph Street. · City ofSt. Joseph EDA 2001 Annual Report 1 S , · Project #01-D: Met with commercial business to discuss EDA assistance. They are in their initial . stages of planning an expansion project. - · Project #01 E: Assisted the commercial/service business with site and utility information. A 2002-2003 project is planned. . · Project #01-F: Assisted a commercial realtor with information relating to available sites, utilities, etc. for a 2003 commercial construction project. · Project #01-G: Tanner Systems relocated to an 8,000 square foot building on Lot 10 Renne Addition, St. Joseph. · Project #01-H: Comtrac: Assisted with information on lots in St. Joseph Business Park. The . company decided to locate in another community due to timing issues. · Project #01-1: Assisted this industrial/commercial business by providing information on the St. Joseph business park. Also assisted by exploring various financial programs to assist the company, which hopes to sign a purchase agreement over the winter for spring construction of an estimated 12,000 square foot building on a 4 to 5 acre lot. · Project #01-J: Provided the developers of this proposed commercial project with information on the community. · Project #01-K: Assisted the company with potential sites for a future proposed expansion of a manufacturing/commercial facility. · Project #01-L: Met with the commercial representative regarding possible expansion of their facility . and re-use of their existing facility. Identified potential sites and zoning/parking requirements to accommodate their plans. · Project #01-M: Assisted the company with information on available sites, zoning, financial programs and the community. · Project #01-N: Met with company representatives and provided information on a potential site and utility costs to service the site. Project is proposed for 2002. · Project #01-0: Assisted the industrial business with information on St. Joseph Business Park and financial programs available to assist with the project. Provided with information on TIF and the State's MN Investment Fund. Provided with a sample purchase agreement which is anticipated to be signed early in 2002 with a proposed 40,000 square foot building proposed for construction in the spring, 2002. · Project #01-P: Provided the light manufacturing company with information on the community, available sites and zoning requirements. They are analyzing building needs prior to proceeding with site selection in various communities. Building permits were let for the following commercial and industrial projects in 2001: · Spring Green construction: Value $143,000. · Autobody 2000, Inc. construction: Value $280,000. · St. Joseph Meat Market expansion: Value $4,000. · Riverwood Storage construction: Value: $90,000. · Sunset Manufacturing construction: Value: $80,000. · Tamm Photography construction: Value: $62,000. . . Total new commerciallindustrial construction: $659,000 City ofSt. Joseph EDA 2001 Annual Report 2 q Commission Participation: . St. Joseph EDA representatives participated in the Steams County Economic Development Partnership and the Minnesota Department of Transportation 1-94 Corridor Study. Goals for 2002-2003: During 2001 J the EDA developed a 2002-2003 Strategic Plan with assistance from Jeff Schlingman of the SCEDP. Following are Goals and Objectives for Commercial/Industrial and Community Development. Commercial/Industrial Goals =:> Provide for commercial and industrial development mutually beneficial to the City and St. Joseph Township by identifying areas that will accommodate parking, storage and expansions. =:> Cooperate with St. Joseph Township in the development of an order1y annexation plan. =:> Provide for the development of industrial park areas that are equipped with City service and suitable transportation access to accommodate industrial growth. =:> Effectively manage growth areas and assess the development costs and suitability of providing the needed services to those area, reference the annexation plan. =:> Encourage the high technology businesses and other special industrial uses that do not put an undue strain on the City's infrastructure and public services. =:> Require businesses to adhere to environmental standards and City zoning codes. . =:> Plan for and provide guidance to the City regarding municipal services that encourage and promote industrial and commercial growth. =:> Explore financial opportunities and incentives that will encourage commercial and industrial development. =:> Improve current industrial park area and provide options for additional industrial growth options. =:> Effectively promote the community as a place to do business. =:> Assess the feasibility of extending infrastructure to development areas in a cost effective manner. =:> Continue to enhance and sustain development activities in the Central Business District. =:> Research the feasibility of a downtown parking facility or area. =:> Ensure public utilities are capable of handling expansion plans and development as it occurs in commercial and industrial areas. Community Development Goals =:> Strengthen relationships and cooperation with Federal State, development, munici pal and . educational organizations. City of St. Joseph EDA 2001 Annual Report 3 rO . ~ Diversify and enhance the housing opportunities in the City of St. Joseph. => Research and assist in the development of municipal administration facilities. => Continue to enhance the relationship with local organizations and assist municipal commissions in assessing community development. => Ensure all development is cbmpatible to the area's transportation framework. => Ensure that the public infrastructure is capable of handling the implementation of the annexation plan andorderty growth of the City. => Implement beautification and redevelopment plans for the City and Central Business District. Commercial/Industrial Obiectives => The EDA will actively encourage and recruit commercial and industrial development that helps sustain the economic vitality and quality of live for the City. => The EDA will approach and negotiate the future development of the industrial park area and· provide financial resource information for the project. => The EDA will enhance the Central Business District by implementing a parking plan and create a redevelopment district to assist in the retention of the Central Business District. => The EDA will actively work with the Planning Commission to assess the commercial and . industrial zones of the community to ensure development occurs in the appropriate areas, serviceable with water and sewer. => The EDA will develop financial resources for the community and area businesses to assist in commercial and industrial development and retention, such as the creation of a Community Development Revolving Loan Fund. => The EDA will study and provide options for additional industrial development areas, utilizing the annexation plan for guidance. => The EDA will develop a marketing plan for commercial and industrial growth by using the City's brochure, community profile and Internet options. => The EDA will work jointly with business prospects to ensure that environmental standards and City infrastructure capabilities are being addresses and met. => The EDA will promote and secure financial incentives for business prospects for the community. => The EDA will develop a Public Finance Policy to be adopted by the City Council to aid in development activities and make sound decisions. Within the policy, a set of priorities and benchmarks will be establish that a prospect, at a minimum, must meet in order to receive public assistance. => The EDA will be an active partner with organizations such as the St. Cloud Area Economic Development Partnership, Quad County Network, St. Cloud APO, and other organizations . that can assist with the economic development of the community. City ofSt. Joseph EDA 2001 Annual Report 4 l \ => The EDA will be an active partner with the City Engineer, Planning Commission and City Council to assist with economic development issues and planning. · Community Deve/oDment Obiectives => The EDA will assist City Officials in creating a link between Federal and State organizations that can financially assist the community in development activities. => The EDA will actively work with housing subdivision developments to ensure compliance with City ordinances and possible uülization of EDA powers to assist with the development. => The EDA will assist the construction of a municipal administration center by using the tools authorized by the State, City Council, and EDA Board of Directors. => The EDA will serve as an asset to the Planning Commission by providing expertise to planning and zoning activities and assist in the future revisions of the Comprehensive Plan and Zoning Ordinances (Le. implementation of the Orderty Annexation Agreement, Transportation System, and water and sewer services to development areas). => The EDA will develop a redevelop plan and creation of a Redevelopment District for the Downtown and Central Business District to promote the vitality of the downtown and address the parking issues. · · City ofSt. Joseph EDA 2001 Annual Report 5 1'2- .ollege Avenue NW ity of St. Joseph P.O. Box 668, St. Joseph, MN 56374 DATE: February 5, 2002 (320) 363-7201 Fax: 363-0342 MEMO TO: Economic Development Authority ~- ~ CLERK! FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group ADMINISTRATOR RE: EDA Budget - 2002 Judy Weyrens MAYOR Background: Larry J. Hosch At the December 12, 2001 meeting the EDA voted to request $46,367 for the 2002 budget, COUNCILORS which included a levy of $18,087 and allocations from the City's general fund for operating expenses and development of a local revolving loan fund. Bob Loso Cory Ehlert The City, in preparing its budget and levy, anticipated the EDA levy of $18,087 would not fall Kyle Schneider within the city's levy limits. It was discovered however that this is a part of the total levy limit Alan Rassier of $299,997 for the City. In addition, the state legislature will be reviewing the Governor's proposal, which will negatively impact city funding. If approved, the City will face an additional $50,000 reduction in funding for 2002. In order to present a balanced budget the city placed a freeze on hiring of new employees and on capital expenditures. $13,087 was also deducted from the EDA's allocation. If the additional $50,000 reduction in state aid occurs, the other departments within the City will be required to make reductions within their departments. . The EDA hoped to utilize a portion of the funds requested for the establishment of a local revolving loan fund. The EDA, however does have access to the revolving loan fund established at the Stearns Coop. The current balance is $60,000. An additional $30,000 will be added in November of 2002. If one or more of the proposed industrial projects in St. Joseph Business Park proceeds with Minnesota Investment Fund funding, a local revolving loan fund could be established as well. Enclosed is a copy of the 2002 Budget for the EDA's information. The $13,807 included for "Special Projects" will be removed. If you have any questions relating to this please feel free to contact us or City Administrator Judy Weyrens. . l3 CITY OF ST JOSEPH 02/05/02 1 :28 PM Revised Expenditure Page 1 . 2002 YTD January 2002 Account Descr Budget 2002 Amt YTD Amt Balance FUND 101 General E 101-46500-101 Salaries $0.00 $0.00 $0.00 $0.00 E 101-46500-103 Legislative Bodies $700.00 $0.00 $0.00 S700.00 E 101-46500-121 PERA Contributions $0.00 $0.00 SO.OO $0.00 E 101-46500-122 FICA Contributions $0.00 $0.00 SO.OO $0.00 E 101-46500-125 Medicare Contributi $0.00 $0.00 SO.OO $0.00 E 101-46500-131 Health Insurance $0.00 $0.00 $0.00 $0.00 E 101-46500-132 Dental Insurance $0.00 $0.00 $0.00 $0.00 E 101-46500-133 Life Insurance $0.00 $0.00 $0.00 $0.00 E 101-46500-134 Disabilty Insurance $0.00 $0.00 $0.00 $0.00 E 101-46500-136 Health Club Premiu $0.00 $0.00 $0.00 $0.00 E 101-46500-151 Worker's Compo Ins $180.00 $0.00 $0.00 $180.00 E 101-46500-200 Office Supplies $500.00 $78.67 $78.67 S421.33 E 101-46500-300 Professional Servic $20,000.00 $1,453.58 $1,453.58 $ 18,546.42 E 101-46500-304 Legal Fees $1,000.00 $0.00 $0.00 $1,000.00 E 101-46500-321 Telephone $1,200.00 $71.24 S71.24 $1,128.76 E 101-46500-322 Postage $200.00 $0.00 $0.00 $200.00 E 101-46500-331 Travel & Conferenc $500.00 $0.00 $0.00 $500.00 E 101-46500-340 Advertising $500.00 $74.93 $74.93 $425.07 E 101-46500-433 Dues & Subscriptio $8,500.00 $0.00 $0.00 $8,500.00 E 101-46500-570 Office Equipment $0.00 $0.00 $0.00 $0.00 . E 101-46500-581 Computer Hardware $0.00 $0.00 $0.00 $0.00 E 101-46500-582 Computer Software 0.00 $0.00 $0.00 0.00 E 101-46500-587 Special Projects ~ $13,087.00---- $0.00 $0.00 - S13,087.oÕì FUND 101 General $46,367.00 $1,678.42 $1,678.42 $44,688.58 $46,367.00 $1,678.42 $1,678.42 $44,688.58 FIL TER: ((DEPART="46500")) . Ii .ollege Avenue NW itg of St. Joseph P.O. Box 668, St. Joseph, MN 56374 (320) 363-7201 Fax: 363-0342 DATE: February 5, 2001 CLERK! ADMINISTRATOR MEMO TO: Economic Development Authority Judy Weyrens Joan~ & Cynthia~th-Strack. Municipal Development Group FROM: MAYOR Larry J. Hosch RE: Update of Covenants - St. Joseph (Buettner) Business Park COUNCILORS Background: Bob Loso Cory Ehlert At the December 12, 2001 meeting the EDA and Leo Buettner reviewed the current Protective Covenants for St. Joseph (Buettner) Business Park and recommended numerous Kyle Schneider changes. These changes, along with suggested additions from the City Attorney have been Alan Rassier incorporated in to the enclosed document. Enclosed are (1) A copy of the redline copy of the covenants (language proposed to be omitted is illustrated with a strikethrough and proposed new language is included in BOLD print, and (2) a copy of the amended covenants in the fOnTIat required for signature and recording. The owners of Spring Green have been sent a copy of the proposed covenant amendments for comment and approval. . Action: Following discussion, if the EDA views proposed amendments as favorable, a MOTION to approve the amended Declaration of Covenants, Conditions and Restrictions for the Buettner Business Park and authorize the EDA President and Secretary to sign the Covenants, upon signature by Leo and Gloria Buettner, is in order. ~~JlVJ ShIJW)-¡ . C()ßJed 0-0 (,/ Zf) r D2- /iLì~ ölL ~( pYüpi%.¿d . 15 LOfY ifJ of St. Joseph 25 CollegeAvenueNW December 19,2001 · P.O. Box 668. St. Joseph. MN 56374 Mr. Gary Hawkins (32~) 363-7201 Spring Green Fax. 363-0342 PO Box 1704 CLERK! St. Cloud, MN 56302 ADMINISTRATOR Judy Weyrens Dear Mr. Hawkins: MAYOR The St. Joseph EDA has been working in cooperation with Mr. Leo Buettner, owner of Larry J. Hosch the Buettner (St. Joseph) Business Park to clarify several items within the Protective Covenants for the Park. COUNCILORS Bob Loso At their December 12, 2001 IT)eeting a number of changes were suggested. As an Cory Ehlert owner of a lot within the Business Park, the EDA and Mr. Buettner are requesting your Kyle Schneider review and approval of the proposed changes to the covenants. Enclosed is a red-lined Alan Rassier copy of the proposed covenants with language proposed to be removed illustrated with a strikethrough and proposed new language in bold print. Also enclosed is a copy which incorporates the amendments suggested at the December 12,2001 EDA meeting, without the changes noted. If you have any questions, please feel free to contact Cynthia Smith-Strack or me at 952- 758-7399 or schedule an appointment at city hall at 320-363-7201. If you do not have any questions and approve of the proposed changes, we request' a letter to this regard · be sent to the City of St. Joseph EDA at: 25 College Avenue North, PO Box 668, St. Joseph, MN 56374. The EDA will be reviewing the final copy for approval at their February 20, 2002 meeting. On behalf of the St. Joseph EDA, C)~-:fcvJ Joanne Foust Municipal Development Group · /0 - !". o..iU.,.¡ V... J¿" " . . :' V!!.~~ ltd. . ".. . -.. ...... ... -'--::Y'¡.--'--~ 7671 DaIs p~t ~_ '1 f¡-ia '. ,.' '. From ,.,-,- *~ ~ ".IV ~.' '. . Co, :J -._...._.J.~___--~ ~,t (.;'! ,. ¡. = - '~ . ,.. ~.- f'ho!'.", !I , . 'i -...,........,--~- FAX~ ____.....,.................. 3;'0,.4>1; i· : ~~,1 Jt\JI\lary 3, 2002 T("·¡; {.r<~i; 'f:')1' ... .}.,,': ~ .iI.1I; ,.[! ,.1::. ,:-...~~. f3 h,f~·::: }.' " , Ms. Judy Weyrens \+\1/·\··..;..·,·;·:1 ; Clerk Administra.tor of the City of St. Joseph 25 CoUege Avenue North P.O, Box 668 St. Joseph, MN 56374 RE: B\lettnef Busin~ss Park Our File No. 21793 . Dear Judy: r have revìew~d the draft of the Amendments to the Buettner Business J)ark Protectìve Covenants. The proposed changes look fIne. In addition, r would suggest that the r:.:(.#- ,: :"ô 'i" ~.!"';.. No- following be considered before the final draft is presented for signature: V!:·~.Io"·"\ I : . "'{ll(r 1. The document should be captioned "Amended" Buettner Business Park Protective ~r':Lt'-..· ;';' .' ¡." . ~ CQvenants. Tt),·:,u,·~~', ;.rtl....t~:~\f' !'.Jf'r-,..~ ;. tll f ,. ~ 2. There shouJd be a margin 011 the top of the first page of at least 3 inc.hes. This top margin is required by the County Recorder to provide an area v.ithin which recording Fi:,I"~'" ':~,~:, ,..'!.. - information çan be stamped. This top mArgin should be left blank in its entirety. t:O:"I' " "¡., 3. With regard to Section 1.03, I suggest that the following language be added: \-\.I.:h'·'j; . "':"/ :.t: ;;:<.I~.t\m ,.... '\·.Þn'~ ::"...(. "Subdivision: An owner of a lot may subdivide a lot into two separate :'¡;l;i":f';;; 1\'.';.-.' parcels, but may do so only by foUowing and complyjng with tht rules ar\d regulations established by the City of St. Joseph Subdivision Ordinance, and ; .5,,..... :-;.. .....-- .,. so long as each rema1nÌng jot, following the subdivision, is at least , ~ :~..... ~ :..' ~ .,.\t· ~1 __acres jn size" ..:,........ . ~,. The DDA. Board may consider w'ha.t would be appropriate minimum lot Rcreage. for ·:.f! ,.' . . - . ~. th~ subdívis1on. That number can be inserted where indicated. . . ~.¡..:) 'i.!; " ~~\..' I~' ,;';'.'-.(lrI \1'... ~:,I¡,'(¡I"JJ:~q..,...:,....1'7"-Yltt.::()' ff'i wi) :!J''C'/fJ tlo'1,n P;-kott, f)~"/"'fr)'~ h' f1;;'nm~If'l,í" Ncr!h P.;koCø al1o'V",-rn-'='tf.!'::. ('It1,'.~", h"y!""'{):~':-'.i.' 'l. ,~'~..~·.W" ,::It~ :\í'.... dõ: . I..·. . M~Mber 'It Þ."",fH"·:"l'" );:w't:1 O~1H(¡~ A(i\1o::3'Ie~. .Ollllirit'(.! A()R N~I 1.·,ti {l \!r.N- ~-UL rr-.l j, ¿ I }1m ~, I J ~'r :;! J V ~ H ¡ !' Pi), l~IJ, V ..J~v ¡ ..IU.,)! U--,q. '"' I, I. , .. Judy Weyrens ~ J¡;U\unry 3, 2002 . P IIgt: 2 4. Tsuggcst that the follo,,~ng provision be added as Se,ction 6.02: "6.02 ~cisìoníAme¡¡dmeDí, The execution and recording ofthes~ Amended Buettner Dusinc5~ Park Protective Covcmmts shaH act liS a recision of the Buettner Business Park Protective. Covenants executed on , and recorded in the office of the Stearns County Recorder on as Document NQ, _~_' The partjef; executing this Amendment represent the requisite T\1.1mber of property owners and authorized offiœrs of the St. Joseph EDA to approve and adopt an AmclidmC'-nt of the origi nal Protective Covenants pursuant to Section L 05 thereof." Judy, the recorded copy of the original Protective Covenants should have the appropriate information to fiU it'\ the blanks relative to dates and document number. The Amendment must be sígned by Bucttners and the appropriate offic.ers of the St. Joseph EDA. please Jet me know ifth~re arc any other questions regarding this document, Very truly yams, RAJKOWSKI HANSMElER L TV . ~ / / , , C--................-...__.-."". E¥Y .' ohn H. Scherer .lHS/baz: Enclosure . [8 · Proposed Amended Buettner Business Park Amendments to Covenants to be Protective Covenants considered for action on Feb. 20, 2002 by the EDA. All property owners are now advised that they will be expected to abide by the protective covenants hereby established by the Property Owner and the St. Joseph Economic Development Authority. These standards are intended to assure the integrity of the Buettner Business Park and protect the property values and adjoining property uses and may be revised from time to time. WHEREAS, Leo Buettner and Gloria Buettner (hereinafter the "Owners') are the owners of certain real property located in Steams County, Minnesota, and legally described in the attached · Exhibit A (hereinafter the 'Property'); and, WHEREAS, the Owners are developing the Property as a commerciallindustrial park with the assistance and cooperation of the City of St. Joseph (hereinafter the 'City') and the St. Joseph Economic Development Authority (hereinafter the 'EDA'); and, WHEREAS, the Owners desire to establish certain covenants and conditions regulating the development and use of the Property for the purpose of promoting the general welfare of the community and a consistent standards for use of the Property to enhance the Property's marketability; and, WHEREAS, the City and the Owners have authorized the EDA to administer the protective covenants consistent with the terms set forth herein; and, WHEREAS, the Property will remain subject to covenants, restrictions and easements hereinafter set forth in addition to such ordinance as from time to time may be adopted to ensure property use and appropriate development and improvement of each building within the Property; and, WHEREAS, the standards are not intended to unduly interfere, restrict and exclude or artificially increase the cost of construction. Property owners may expect the fullest cooperation from the City and EDA office in establishing, prospering, expanding and enjoying their part of the Buettner Business Park. THEREFORE, the Owner define, publish and declare the following protective covenants which shall be binding upon the ultimate recipient of the Property as follows: · Declaration of Covenants, Conditions and Restrictions for the BUettner Business Park Page 1 lq SECTION I · GENERAL TERMS Section 1.01. Nature The protective covenants hereinafter set forth shall be considered as covenants running with the land, be binding on the all persons claiming ownership of the property in the Buettner Business Park and the duration of the covenants will run in perpetuity with the land and facilities, except as stated in Section 1.02. The administration of such covenants will be a responsibility of the EDA, but any party or entity owning any portion of the Property may take any action permitted under law to enforce these covenants in the event of a violation to another Property Owner. Section 1.02. Term of Covenants. The protective covenants hereinafter set forth shall be considered as covenants on said property, administered by the EDA, for a period of 20 years from the date of their execution. During the initial10-year term of these covenants, they may be terminated only with the written consent of one- hundred eighty percent (80%) of the property owners and the consent of the EDA. During the second 1 O-year term of these covenants, the covenants may be terminated by written action of at least seventy percent (70%) of the Property owners as measured by the square footage of the buildable lots contained within the Buettner Business Park. Thereafter, these covenants will continue to renew annually unless terminated by written action of fifty-one percent (51 %) of the Property Owners, as measured by the square footage of the buildable lots contained within the Buettner Business Park. Section 1.03. Alteration of lot lines. Combination: an owner of adjoining lots may combine lots so as to make the development of a facility more compatible with setback requirements. Such a combination may be subject to the · vacation of utility easement and will require approval from the St. Joseph City Council. Upon combination of lots, the multiple parcels which are combined shall be one building lot and not be split thereafter. Subdivision: An owner of a lot may subdivide a lot into two separate parcels, but may do so only by following and complying with the rules and regulations established by the City of Sl Joseph Subdivision Ordinance, and so long as each remaining lot, following the subdivision, is at least l acres in size. Section 1.04. Acknowledoement of City. The owners of lots in the Development Park acknowledge that this land is in the City of St. Joseph and all purchasers and assigns hereafter are given notice that all properties are subject to the regulations and requirements of said City. Section 1.05. Amendments. Existing Language: This Declaration may be amended, modified or terminated by an instrument in writing, executed by the holders of seventy percent (70%) of the Property Owners as measured by the square footage of the buildable lots contained within the Buettner Business Park. During the initial ten (10) years of these covenants, any amendment must also be approved by the EDA to be effective. An instrument executed in accordance with this section shall be effective when filed for recording with the Steams County Recorder's Office. No amendment or modification to this Declaration may impose additional restrictions on the Property. Purpose of proposed amendment: This Section as existing conflicts with the second sentence of Section 1.02. The proposed amendment is to delete the word 'terminated' from the first sentence so the two sections · Dec1aratíon of Covenants, Conditions and Restrictions for tile Buettner Business Park Page 2 7JJ do not conflict. Underlined text indicates proposed additional language, strikethrough text · indicates proposed deleted text. Amended Standard will read as follows: This Declaration may be amended or modified SF terminatOO by an instrument in writing, executed by the holders of seventy percent (70%) of the Property Owners as measured by the square footage of the buildable lots contained within the Buettner Business Park. During the initial ten (10) years of these covenants, any amendment must also be approved by the EDA to be effective. An instrument executed in accordance with this section shall be effective when filed for recording with the Steams County Recorder's Office. No amendment or modification to this Declaration may impose additional restrictions on the Property. Section 1.06. Severabilitv. If any part, term or provision of these protective covenants is by the Courts held to be illegal or in conflict with any law of this state where made, the validity of the remaining portions or covenants shall not be affected and the rights and obligations shall be constructed and enforced as if these covenants did not contain the particular part, term or provision held to be jnvalid. Section 1.07. Mortgages. If any lot is sold under a foreclosure of any mortgage, the purchaser at such foreclosure sale and the purchaser's heirs, successors and assigns shall own such lot, subject to all of the covenants, conditions and restriction of this declaration. Section 1.08. Dues and Assessments. The owners of lots shall not be obligated to pay any dues in conjunction with the covenants, conditions and restrictions imposed by this declaration. Special assessments may be levied on · any lot, by the City of St. Joseph, for public works projects as permitted by law. SECTION II ECONOMIC DEVELOPMENT AUTHORITY Section 2.01. Duties. Existing Language: During the initial ten (10) year tenn of the covenants, it shall be the duty of the EDA to consider and act upon such proposals or plans from time to time submitted pursuant to Sections 3.01 through 3.05 and to perform such other duties from time to time delegated to it by these Protective Covenants. Purpose of proposed changes: To ensure Property Owners and EDA can enforce all of Section III of the Covenants rather than just Sections 3.01 through 3.05. Underlined text indicates proposed language change. Proposed Language: During the initial ten (10) year term of the covenants, it shall be the duty of the EDA to consider and act upon such proposals or plans from time to time submitted pursuant to Section III and to perform such other duties from time to time delegated to it by these Protective Covenants. Section 2.02. Liability. Neither the City, Owners or the EDA or any officers thereof shall be liable to any owner or · association of owners for any damages, loss or prejudice suffered or claimed on account of: Declaration of Covenants, Conditions and Restrictions for the Buettner Business Part< Page 3 Û\ a. The approval or rejection of any plans, drawings and specifications, whether or not . defective, b. The construction or performance of any work, whether or not pursuant to approved plans, drawings and specifications, c. The development or manner of development of any property within the City; and, d. A violation of these Protective Covenants by another owner. SECTION III CONSTRUCTION REQUIREMENTS Section 3.01. Prior ADDroval of Structures. Existing language: No buildings or structures shall be constructed, erected, excavated or maintained upon any lot within the Development without prior review and approval by the EDA of all plans. AJI plans to be approved by the EDA must be sent or dropped off at the St. Joseph City Hall, St. Joseph, Minnesota. The EDA will review the plans in a timely manner and will be approved or disapproved within 60 days of filing them with the EDA If the EDA has not made a decision within the 6O-day time period the plans will be considered approved. The plans and specifications shall include a set of drawings which will become property of the City and include the following: 1. Horizontal floor plan and the exterior elevations in relation to the proposed finished grade; 2. A full description of exterior building materials; 3. Parking and landscaping plans subject to Section 3.02 and 3.03, and 4. other reasonable details that may be requested. Purpose of proposed amendment: To (1) clarify the EDA review ¡approval process and (2) . add a requirement that the developer submit information describing proposed outdoor storage so the EDA can fully determine the scope of the proposal (this should save time when reviewing the request from the developer). Underlined text is proposed revised language. Proposed Language: No buildings or structures shall be constructed, erected, excavated or maintained upon any lot within the Development without prior review and approval by the EDA of all plans. All plans to be approved by the EDA must be sent or dropped off at the St. Joseph City Hall, St. Joseph, Minnesota. The EDA will review the plans in a timely manner and will aDD rove or denv the Dlans based on comDllance or non-comDliance with these covenants. If the EDA has not made a decision within 60-days of the receipt of a completed application, the plans will be considered in compliance with covenants and aDDroved. The plans and specifications shall include a set of drawings which will become property of the City and include the following: 1. Horizontal floor plan and the exterior elevations in relation to the proposed finished grade; 2. A full description of exterior building materials; 3. Parking and landscaping plans subject to Section 3.02 and 3.03, and 4. Outdoor storaae sketch indicatina the tvDes and auantities of materials to be stored outdoors: the exact area and dimensions of the Dortlon of the site to be desianated for outdoor storaae: and. the location. tvDe and dimensions of fencina and screenina materials to be used to enclose . outdoor storaae. Declaration of Covenants, Conditions and Restrictions for the Buettner Business Pari< Page 4 ~V 5. Other reasonable details that may be requested. . Section 3.02. LandscaDina and Par1dna Lot Screenina. All open areas of any site, tract or parcel shall be upgraded to provide proper drainage, and except for areas used in parking, drives or storage, shall be landscaped with trees, shrubs or planted ground cover. It shall be the owner's responsibility to see that this landscaping is maintained in an attractive and well-kept condition after the initial sale by the landowner. All vacant lots, tracts or parcels shall also be properly maintained in accordance to the St. Joseph Weed Ordinance. When a parking lot is located adjacent to a pUblic right-of-way, a strip of landscaping shall shield views of parked cars to passing motorists and pedestrians. Parking lots are required to have a six foot landscaped strip with a minimum three-foot grade drop from the right-of-way to the parking lot. One shade tree and fIVe shrubs are required for every thirty-five (35) linear feet. Sight hazards for passing traffic and employees shall be avoided by prohibiting solid hedges over four (4) feet as a screening material. Section 3.03. Landscaped Greenwav. Property owner shall maintain a 10-foot wide greenway adjacent to the drainage and utility easements that abut County Road #133 right-of-way. Wrthin this greenway, trees shall be planted and maintained by the property owner at 35-foot intervals. Trees shall be deciduous and shall be at least two-inch caliper at a point one-foot above the ground surface when planted. Species of trees shall be subject to approval of the EDA The surface of the greenway and adjacent drainage and utility easements may be sodded or seeded, and shall be maintained as a owed lawn. Automatic underground sprinkler systems designed to provide water to the greenway . and easement areas are encouraged, but not mandatory. Section 3.04. Pole Barns. The construction of a pole barn shall be prohibited in all areas of the Development. A pole barn is defined as a structure, the basic support and framework of which is provided by wooden poles inserted into the ground vertically similar to a telephone pole. Section 3.05. Acceptable Construction Material. Existing language: All construction of new facilities shall consist of pre-cast or cast tip up concrete walls, concrete block (painted or decorative), post frame/steel frame, and stick built construction. All other material not included here will be reviewed by the EDA for its appropriateness and a decision will be made to accept the material. Purpose of proposed amendment: This language change reflects one of the two amendments suggested by the EDA at their October 17, 2001 meeting. Underlined text indicates proposed amendment. Proposed language as suggested by EDA at the 10-17-01 Meeting: All construction of new facilities shall consist of pre-cast or cast tip up concrete walls, concrete block (painted or decorative), post frame/steel frame with a concrete block or poured concrete complete perimeter foundation with frost footinGs extendinG a minimum of eiaht inches (8") above the final arade, and stick built construction. Pre-finished architectural metal panels, with a minimum twenty (20) year manufacturer color-fast warranty, may be used as a construction material, provided the requirements of Section 3.06 are adhered to. Surface painted metal and unfinished metal panels are not permitted as acceptable construction materials. . Declaration of Covenants, Conditions and Restrictions for the Buettner Business Park Page 5 ~:!J Section 3.06. Exterior Buildino Standards. . Buildings in the Development built with the materials defined in Section 3.05 shall require a minimum of twenty-fIVe (25%) of the exterior building finish directly facing streets consist of materials comparable to the list of acceptable materials listed in this Section. Pre-cast or cast in place concrete buildings shall provide as much adornment as is possible considering their exterior finish limitations. Approved Exterior Building Finishes: a. Face Brick b. Natural Stone or Cultured Rock c. Glass d. Vinyl e. Stucco f. Aluminum Lapsiding g. Cut Block h. Concrete Block (the suriace must be treated with an applied decorative texture or material) í. Other approved decorative siding. Section 3.07. Conditionallv ADDroved Materials. Pre-finished architectural metal panels may be utilized for accent and/or architectural components of a building such as the entry or entry appendage, a required enclosure or screen (unless expressly prohibited by section language) or architectural roofing as an intended designed accent or a mandatory component of a prototype national or regional building program. Section 3.08. Environment. The EDA wiU request information from property owners such as the proposed use of the lot and siting of the structures. The intent is to encourage uses and designs which protect the . environmental quality of the area. SECTION IV ON-8ITE REQUIREMENTS Section 4.01. Hazard. Every operation shall be carried on with reasonable precautions against fire and explosion. Existing Language (Sections 4:02 - 4:06): Section 4.02. Air Pollution. Any activity or operation shall conform with the City and State regulations relating to ambient air quality standards and air pollution control regulations. Section 4.03. Noise. Noise shall be measured on any property line of the tract on which the operation is located. Noise emanating shall be in compliance with and regulated by the State of Minnesota Pollution Control Agency standards, Minnesota Regulation NPC, as amended. Section 4.04. Odors. The emission of odor by any use shall be in compliance with and regulated by the State of Minnesota Pollution Control Agency standards, Minnesota Regulation APC-1-15, as amended. Section 4.05. Dust and Other Particulate Matter. The emission of dust, fly, ash or other particulate matter by any use shall be in compliance with and regulated by Minnesota Pollution Control Agency standards, Minnesota Regulations APC-1- . 15, amended. Declaration of Covenants, Conditions and Restrictions for the Buettner Business Park Page 6 1-i . Section 4.06. Smoke. The emission of smoke by any use shall be in compliance with and regulated by the Minnesota Pollution Control Agency standards, Minnesota Regulations APC-1-15, as amended. I Purpose of Proposed Language Amendment: Sections 4:02 through 4:06 relate to the emission of air pollution, noise, odor, dust/other particulate matter and smoke. The existing language references Minnesota Regulation NPC and Minnesota Regulations APC-i-i5. Those regulations no longer exist. The correct reference should be to several of the Minnesota Rules chapters relative to the MPCA. The five sections all relate to air quality standards and thus can be referenced together rather than individually. Proposed Text: Underlined text is proposed new language. Strikethrough is proposed deleted language. It is understood the numbering for this Section shall change if amendment is approved. Section 4.02. Air Qualitv. Any activity or operation shall conform to Minnesota Rules Chapters 7002-7030 (as may from time to time be amended) relatinG to air Quality standards. Air Quality standards applY to the emission of noise. odors. particulate matters. etc. Section 4.02. . Air Pollution. Any aGtivity or operation shall Gonform ",\lith the City and State regulations r~lating to ambient air quality standards and air pollution Gontrol regulations. SeGtion 4.03. Noise. . Noise shall be measured on any prøperty line of the traGt on whiGh the operation is looated. Noise emanating shall be in Gomplianoe ,-vith and regulated by the State of Minnesøta Pollution Control j\.genGY standards, Minnesota Regulation NPC, as amended. Sestien 4.04. Odors. The emission of odor by any use shall be in Gomplianoe 'lAth and regulated by the State of Minnesota Pollution Contrøl J':.gen,?, standaFds, Minnesota Regulation APC 1 15, as amended. Section 4.05. Dust and Other PartiGulat~ Matter. The emission of dust, fly, ash or other partiGulate matter by any use shall be in Gompliance ':lith and regulated by Minnesota Pollution Contre' Agensy standards, Minnesota Regulations APC 1 16, amended. Section 4.06. Smoke. The emission of smoke by any use shall be in complianGe '.vith and regulated by the Minnesota Pollution Control Agen,?, standaFds, Minnesota Regulations APC 1 16, as amended. Section 4.07. Glare. Any lighting used to illuminate off-street parking area, sign accent lighting for the main building structure, whether direct or reflected shall be arranged to minimize visibility and not to be visible from the property line. Section 4.08. Waste. All solid waste material, debris or other refuge shall be contained within an enclosure as specified . in Section 5.01, Refuse Enclosure. All liquid waste containing organic or toxic materials shall be discharged in a manner described by the Minnesota Pollution Control Agency. Any temporary Declaration of Covenants, Conditions and Restrictions for the Buettner Business PaIk Page 7 ~6 storage of any such materials shall be contained in an approved manner complying with the state . and federal office of Fire Marshal, PCA and agricultural department. Section 4.09. Radiation and Electrical Emission. All activities that emit radioactivity and/or electrical emissions shall be in strict compliance with the Minnesota Pollution Control Agency Act and Federal Communications Commission. SECTION V SCREENING AND ENCLOSURES Section 5.01. Refuse Enclosure. All refuse containers shall be kept in a three sided enclosure constructed of a brick, stone, decorative concrete material or a durable material (i.e. screened chain link) with a latched gate for the fourth side. A minimum height of five (5) feet for the enclosure will be required. Section 5.02. Loadina Dock and Garaae Entrance Screenina. Loading docks and garage entrances and exits shall be screened to minimize visibility from any public street and/or any adjacent building structures front or side yard viewing point. Section 5.03. Outdoor Storace Screenina. Existing Language No outdoor storage of products, non-movable equipment, inventory or storage in any container or semi-trailer shall be allowed in this area. Any storage of allowable material shall be screened from public view from the public right-of-way. Purpose of proposed amendment: This language change reflects one of the two . amendments suggested by the EDA at their October 17, 2001 meeting. Underlined text indicates proposed amendment. Proposed language as suggested by EDA at the 10-17-01 Meeting: Outdoor storage of equipment and materials directly related to the use of the principal building, provided the storage area does not exceed seven (7) times the gross floor area of the principal building and the area is contained within and screened with an eight (8) foot high chain link lathe fence. Outdoor storaoe and fence setbacks shall conform with the City's Zonina Ordinance reaulations. SECTION VI COVENANT ADMINISTRATION Section 6.01. Enforcement. The EDA shall have the authority to enforce the covenants established in the Buettner Business Pari<. The EDA will have the authority to bring action for specific performance or injunctive relief to enforce any protective and servitude contained herein. Any owner of Property within the Buettner Business Park shall also have the authority to bring an action against another o'Nl1er seeking enforcement of these covenants. Section 6.02. Recision/Amendment. The execution and recording of these Amended Buettner Business Covenants executed on the 27th day of September, 1999 and recorded in the office of the Steams County Recorder on as Document No. . The parties executing this . Decfaration of Covenants, Conditions and Restrictions for the Buettner Business Pa1< Page 8 ~G . . Amendment represent the St. Joseph EDA to approve and adopt an Amendment of the original Protective Covenants pursuant to Section 1.05 thereof. IT WITNESS WHEREOF, the undersigned has executed this instrument on the _ day of . 2002. St. Joseph EDA; By By STATE OF MINNESOTA COUNTY OF STEARNS The foregoing instrument was acknowledged before me this day of . 2002 by and . the President and '> Secretary of the St. Joseph Economic Development Authority, respectively. . . Declaration of Covenants, Conditions and Restrictions for the Buettner Business Park Page 9 ~1 · Buettner Business Park Protective Covenants All property owners are now advised that they will be expected to abide by the protective covenants hereby established by the Property Owner and the St. Joseph Economic Development Authority. These standards are intended to assure the integrity of the Buettner Business Park and protect the property values and adjoining property uses and may be revised from time to time. WHEREAS, Leo Buettner and Gloria Buettner (hereinafter the uOwners') are the owners of · certain real property located in Steams County, Minnesota, and legally described in the attached Exhibit A (hereinafter the 'Property'); and, WHEREAS, the Owners are developing the Property as a commerciallindustrial park with the assistance and cooperation of the City of St. Joseph (hereinafter the 'City') and the St. Joseph Economic Development Authority (hereinafter the 'EDA'); and, WHEREAS, the Owners desire to establish certain covenants and conditions regulating the development and use of the Property for the purpose of promoting the general welfare of the community and a consistent standards for use of the Property to enhance the Property's marketability; and, WHEREAS, the City and the Owners have authorized the EDA to administer the protective covenants consistent with the terms set forth herein; and, WHEREAS, the Property will remain subject to covenants, restrictions and easements hereinafter set forth in addition to such ordinance as from time to time may be adopted to ensure property use and appropriate development and improvement of each building within the Property; and, WHEREAS, the standards are not intended to unduly interfere, restrict and exclude or artificially increase the cost of construction. Property owners may expect the fullest cooperation from the City and EDA office in establishing, prospering, expanding and enjoying their part of the Buettner Business Park. THEREFORE, the Owner define, publish and declare the following protective covenants which shall be binding upon the ultimate recipient of the Property as follows: · Dec1aration of Covenants, Conditions and Restrictions for the Buettner Business Pari< Page 1 7ß . . SECTION I GENERAL TERMS Section 1.01. Nature The protective covenants hereinafter set forth shall be considered as covenants running with the land, be binding on the all persons claiming ownership of the property in the Buettner Business Park and the duration of the covenants will run in perpetuity with the land and facilities, except as stated in Section 1.02. The administration of such covenants will be a responsibility of the EDA, but any party or entity owning any portion of the Property may take any action permitted under law to enforce these covenants in the event of a violation to another Property Owner. Section 1.02. Term of Covenants. The protective covenants hereinafter set forth shall be considered as covenants on said property, administered by the EDA, for a period of 20 years from the date of their execution. During the initial 1 O-year term of these covenants, they may be terminated only with the written consent of eighty percent (80%) of the property owners and the consent of the EDA During the second 10- year term of these covenants, the covenants may be terminated by written action of at least seventy percent (70%) of the Property owners as measured by the square footage of the buildable lots contained within the Buettner Business Park. Thereafter, these covenants will continue to renew annually unless terminated by written action offifty-one percent (51%) of the Property Owners, as measured by the square footage of the buildable lots contained within the Buettner Business Park. . Section 1.03. Alteration of lot lines. Combination: an owner of adjoining lots may combine lots so as to make the development of a facility more compatible with setback requirements. Such a combination may be subject to the vacation of utility easement and will require approval from the St. Joseph City Council. Upon combination of lots, the mUltiple parcels which are combined shall be one building lot and not be split thereafter. Subdivision: An owner of a lot may subdivide a lot into two separate parcels, but may do so only by following and complying with the rules and regulations established by the City of St. Joseph Subdivision Ordinance, and so long as each remaining lot, following the subdivision, is at least - acres in size. Section 1.04. Acknowledaement of City. The owners of lots in the Development Park acknowiedge that this land is in the City of St. Joseph and all purchasers and assigns hereafter are given notice that all properties are subject to the regulations and requirements of said City. Section 1.05. Amendments. This Declaration may be amended or modified by an instrument in writing, executed by the holders of seventy percent (70%) of the Property Owners as measured by the square footage of the buildable lots contained within the Buettner Business Park. During the initial ten (10) years of these covenants, any amendment must also be approved by the EDA to be effective. An instrument executed in accordance with this section shall be effective when filed for recording with the Steams County Recorder's Office. No amendment or modification to this Declaration may impose additional restrictions on the Property. Section 1.06. Severabilitv. . If any part, term or provision of these protective covenants is by the Courts held to be illegal or in conflict with any law of this state where made, the validity of the remaining portions or covenants Declaration of Covenants, Conditions and Restrictions for the Buettner Business PaIi< Page 2 ~~ shall not be affected and the rights and obligations shall be constructed and enforced as if these · covenants did not contain the particular part, term or provision held to be invalid. Section 1.07. Mortgages. If any lot is sold under a foreclosure of any mortgage, the purchaser at such foreclosure sale and the purchaser's heirs, successors and assigns shall own such lot, subject to all of the covenants, conditions and restriction of this declaration. Section 1.08. Dues and Assessments. The owners of lots shall not be obligated to pay any dues in conjunction with the covenants, conditions and restrictions imposed by this declaration. Special assessments may be levied on any lot, by the City of St. Joseph, for public works projects as permitted by law. SECTION II ECONOMIC DEVELOPMENT AUTHORITY Section 2.01. Duties. During the initial ten (10) year term of the covenants, it shall be the duty of the EDA to consider and act upon such proposals or plans from time to time submitted pursuant to Section III and to perform such other duties from time to time delegated to it by these Protective Covenants. Section 2.02. Liabilitv. Neither the City, Owners or the EDA or any officers thereof shall be liable to any owner or association of owners for any damages, loss or prejudice suffered or claimed on account of: a. The approval or rejection of any plans, drawings and specifications, whether or not · defective, b. The construction or performance of any work, whether or not pursuant to approved plans, drawings and specifications, c. The development or manner of development of any property within the City; and, d. A violation of these Protective Covenants by another owner. SECTION III CONSTRUCTION REQUIREMENTS Section 3.01. Prior ADDroval of Structures. No buildings or structures shall be constructed, erected, excavated or maintained upon any lot within the Development without prior review and approval by the EDA of all plans. All plans to be approved by the EDA must be sent or dropped off at the St. Joseph City Hall, St. Joseph, Minnesota. The EDA will review the plans in a timely manner and will approve or deny the plans based on compliance or non-compliance with these covenants. If the EDA has not made a decision within 6O-days of the receipt of a completed application, the plans will be considered in compliance with covenants and approved. The plans and specifications shall include a set of drawings which will become property of the City and include the following: 1. Horizontal floor plan and the exterior elevations in relation to the proposed finished grade; 2. A full description of exterior building materials; 3. Parking and landscaping plans subject to Section 3.02 and 3.03, and · Declaration of Covenants, Conditions and Restrictions for the Buettner Business Pm Page 3 30 . . All refuse containers shall be kept in a three sided enclosure constructed of a brick, stone, decorative concrete material or a durable material (i.e. screened chain link) with a latched gate for the fourth side. A minimum height of five (5) feet for the enclosure will be required. Section 5.02. Loadina DQck and Garaae Entrance Screening. Loading docks and garage entrances and exits shall be screened to minimize visibility from any public street and/or any adjacent building structures front or side yard viewing point. Section 5.03. Outdoor Storaoe Screening. Outdoor storage of equipment and materials directly related to the use of the principal building, provided the storage area does not exceed seven (7) times the gross floor area of the principal building and the area is contained within and screened with an eight (8) foot high chain link lathe fence. Outdoor storage and fence setbacks shall conform with the City's Zoning Ordinance regulations. SECTION VI COVENANT ADMINISTRATION . Section 6.01. Enforcement. The EDA shall have the authority to enforce the covenants established in the Buettner Business Park. The EDA will have the authority to bring action for specific performance or injunctive relief to enforce any protective and servitude contained herein. Any owner of Property within the Buettner Business Park shall also have the authority to bring an action against another owner seeking enforcement of these covenants. Section 6.02. Recision/Amendment. The execution and recording of these Amended Buettner Business Covenants executed on the 27th day of September, 1999 and recorded in the office of the Stearns County Recorder on as Document No. . The parties executing this Amendment represent the S1. Joseph EDA to approve and adopt an Amendment of the original Protective Covenants pursuant to Section 1.05 thereof. IT WITNESS WHEREOF, the undersigned has executed this instrument on the _ day of ,2002. S1. Joseph EDA: By By STATE OF MINNESOTA . COUNTY OF STEARNS Declaration of Covenants. Conditions and Restrictions for the Buettner Business Park Page 6 3!:J it!} of St. Joseph 25 College Avenue NW · P.O. Box 668, DATE: February 13, 2002 St. Joseph, MN 56374 (320) 363-7201 MEMO TO: Economic Development Authority Fax: 363-0342 J ¡'VI ç è..j./~ FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group CLERK! ADmNISTRATOR RE: Request for Tax Increment Financing Assistance - VicWest Steel Judy Weyrens R~est: MAYOR M'· Gohman has submitted a pre-application for Tax Increment Financing assistance for Larry J. Hosch the construction of a manufacturing facility which will be leased to VicWest Steel. A limited COUNCILORS liability corporation will be formed to lease the facility to VicWest. A copy of the TIF Pre- Application is attached for your review. Bob Loso Cory Ehlert Background: Kyle Schneider The project consists of the construction of a 67,000 sJ. manufacturing facility (7,000 sf Alan Rassier office, remaining production) on 10 acres (southern portion Lot 1, Block 2) in the Buettner Business Park (a.k.a. St. Joseph Business Park. The single story facility will be constructed of steel and block materials with ceiling heights will range from 12' (office) to 26' (production). Construction cost is estimated at $2.7 million with an additional $500,000 for overhead cranes and land acquisition costs totaling about $380,000 for a project total of $3.58 million. The building will be leased from the LLC by VicWest. VicWest plans to move into the · facility in December, 2002. The project is expected to create approximately 15 new jobs with wages of $16.00 per hour. TIF assistance is requested in order to help the project move forward. Without TIF the company has indicated the lease rate would be cost prohibitive and the project will not move forward. A copy of the building layout is attached for your information. TIF Policy: A copy of the City's TIF policy is attached. The policies for the use of TIF include the following: 1. General Policy - The project should serve to accomplish the goals for economic development including creation of quality jobs and the attraction of business to the City. The request meets this policy criteria. 2. Objectives: The project meets the objective of increasing the number and diversity of jobs with attractive wages and benefits. 3. Costs that qualify for TIF assistance: The TIF would be used to offset site related work and land acquisition. 4. Minimum Qualifications: a. TIF would facilitate development that would not occur without the assistance. b. But-For Test. The pre-application includes the above statement. Sources and uses of funds would be submitted with the final TIF application. c. The project is consistent with the Comprehensive Plan and zoning ordinance. The · industrial park is zoned industrial. 3S . d. Prior to approval of the TIF Plan (after final application is submitted), financial . guarantees and credentials will be required. e. Ownership of the parcel will be required by the applicant. 5. Desired Qualifications: a. Taxes paid before and after the development will be greater than a 2:1 ratio. Current taxes on the 10-acre parcel are estimated at $1,200. Estimated taxes after the development are estimated at between $40,000 and $50,000. b. TIF should not be used for speculative projects. VicWest Steel is an existing company with an established market. They are not proposing a spec. building. c. TIF should not be used to pay for overpriced land. The EDA has a cooperative marketing agreement with the owner of the industrial park. The land price has been established as a fair asking price. d. TIF should be pay-as-you go. The request is for pay-as-you go assistance. e. Preference is given to projects that do not cause extraordinary demands on City services. VicWest is a leading manufacturer and distributor of metal cladding, roofing and decking. No extraordinary demands on the system are anticipated. f. Preference is given to projects that are consistent with the compo plan, improve surrounding land uses, provide new employment, are financially feasible and provide the highest and best desired use for the property. The project appears to meet these criteria. Appropriateness of TIF: Attached is the "Grading and Report Card for TIF". The proposed project received a composite score of '4' meaning it is a 'very good' use of tax increment financing. Estimated TIF available: ~+ . fV'vJ , \~51è.30D Juran & Moody is preparing projected tax increment cash flow figures based on certain ~~ò~_?~~~~OÒ . assumptions. The projected tax increment cash flow is expected to be available for distribution at the EDA meeting for review. 'J.io33 900 I -r v\x, vC\.,-tt II 'õ". 53 To summarize the information, tax increments are based on three factors: . Estimated increase in market value - the difference between pre-project and ~ post-project market value as determined by the County Assessor (this is not necessarily equal to project cost) . Tax capacity - Increase in market value multiplied by property tax class rate ? DOl> (Commercial/lndustri~1 property taxed at a rat~ of 1.5% for the first $200,000 in . ;$?~kh'3 6 c:¡ 0 value and 2% for portions of the value exceeding $200,000) -~!'('--"---'"í GSJ · Net tax capacity multiplied by the City's tax rate - ~o. i \ ~ 5-3 ~~: .~ o' Lf - 1311 - The gross tax increment available is subject to a State Auditor reduction of 0.25% and a "' 5 L( t ~~ .' City administration fee of 10%. The net annual tax increment is available for use as a ;;. -~ financial incentive to development. The net annual tax increment is collected for a finite 4- <!fA period of time and includes the school district, county and City portions of new taxes generated. The estimated tax increment cash flow for the VicWest project will indicate a annual net tax increment of $40,000 to $50,000 (estimated total of $400.000 to $500,000 over the lifetime of the district) will be available to encourage development. It is noted these are estimates only. A sample pay-as-you-go note for the project is also expected to be available for your review at the EDA meeting. . Action: 3fo . Action: If the EDA is supportive of utilizing TIF for this project, a MOTION is in order to approve the . pre-application and authorize submittal of the final application and fee. The services of Juran & Moody, the City's Financial Advisor, is recommended to be retained to prepare the TIF Plan. . . 2-7 . ~GOFIlVIAN - CONSTRUCTION CO. BOX 57 815 E. COUNTY ROAD 75 ST. JOSEPH, MN 56374 (320) 363-7781 FAX (320) 363-7207 www.wgohman.com TRANSMITTAL SHEET TO: DATE February 13,2002 GENERAL CONTRACTOR City of St. Joseph I 21 NW 1st Avenue St. Joseph, MN 56374 Building & Remodeling Commercial .JOB: Vic West Steel Proposed Project Industrial Institutional WE TRANSMIT HEREWITH FOR Information xx Professional YOUR - Approval Religious Pricing I Files Correction Return . Design/Build 1 ea. Copies of Preliminary Application I 1 ea. Plat Plan Lot 1 Block 2 - To be subdivided for approxi- mately 10-acres of south portion 1 ea. Preliminary Plant Layout Construction Afanagement Services Remarks Yours very truly, . W. Gohman ~ Co. v?%;/JÛ - Enclosed: xx By Michael Gohman 38 City of St. Joseph TIF Assistance Program Preliminary Application · Please print or type General Information: Legal name of ownerlapplicant: To be named LLC Operating Entity (if different): Vie Hest Steel Address: P.o. Box 57. St. Joseph. MN SÓ~74 Telephone Number: 320-363-77Rl Fax Number: ~?O-%1-7?n7 Name of contact person: Hike Gohman The following information should be presented in to the St. Joseph EDA Office as soon as possible after the initial meeting with the EDA Director. The information will be evaluated to determine if the proposed project conforms with the community's goals and objectives. ::=> A map showing the exact boundaries of the proposed development. ::=> Give a general description of the project including the following: · · Size and location of building(s) · business type and use · traffic information, including parking · timing of project · estimated market value following completion ::=> The existing Comprehensive Plan land use designation and Zoning of the property. Make a general statement as how the project will conform to the land use designation. ::=> A statement identifying how the increment will be used and why it is needed to complete the project. ::=> A statement identifying the public benefits of the proposal including estimated increase in property evaluation, new jobs to be created and other community assets. ::=> A written perspective of the developers company(i.e. corporation, principals, history, past project, etc.) Signature ~ i Applicants signature: ¡;*,ßa Date: 2/13/02 · St. Joseph TIF Policy Attachment C-] 3~ . Preliminary Application Information · Description of Building Propose to build 150' x 400' production space with 50' x 140' office space and the ability to expand an additional 100' x 400' of production space. · Business Type & Use The use of the building is for light manufacturing; using light gauge metal coil stock and fomring into metal building panels. Distribution is to a five state area. · Traffic Information & Parking Requires parking for 50 to 75 employees and truck parking for 24 trailers. There are to be two driveways for trucks and one driveway for personal vehicles. All areas are to be paved in a hard surface. · Timing of Project Proposed proj ect will take 90 days for preliminary work with construction scheduled to start mid May 2002 and construction completion by December 15, 2002. · Estimated Market Value The estimated market value following completion is $3.2 million. 7,\· . · Land Use Designation and Zoning Proj ect will be located in the Industrial Park and the building is designed for industrial use. · Increment Use and Why TIP is needed for this project because ofthe high cost of assessments on the property and to assist with the retention and expansion of an existing manufacturing business that has been here for 10 years; thereby keeping it ITom moving outside the area. · Public Benefits The benefits to the S1. Joseph community area will include an increase in the number of jobs and a significant increase in the tax value of the property. It will also help keep them ITom moving the facility out ofthe state. Additionally, this will be the first large manufacturing facility in the new Industrial Park; thereby making is easier to attract other businesses. · Perspective of W. Gohman Construction Co. - W. Gohman Construction Co. is a Minnesota Corporation. - Officers: Bruce Gohman, President . Michael Gohman, Executive Vice President Denis Anderson, Vice President of Project Administration Dennis Klehr, Vice President ofField Operations Diane Gohman, Secretary L/V History/Philosophy . W. Gohman Construction was founded in 1950 by Willard Gohman, providing personal service and quality workmanship to its clients. On April I, 1977, W. Gohman Construction Co. was incorporated and the management of the family business transferred to the second generation. Bruce Gohman became President in 1981 and Willard Gohman retired in 1984. Over the past 50 years, \lV. Gohman Construction Co. has provided its services to many communities and individuals to improve living and working facilities. W. Gohman Construction Co. has grown from a very small company to one of the largest management and general contracting companies in the local area for small to large commercial, industrial and institutional projects. The employees ofW. Gohman Construction Co. are very important. Our primary service area is a 60-mile radius of St. Cloud; that way employees can be home with their families in the evening. We offer a complete benefit package and competitive rates which in tum gives us employees that are happy and have longevity with the company. In the past, as in the future, we have and will operate a low-overhead, personal-touch business. We feel a credit to our success is that when someone selects our firm to do their work, \ve make sure that the work is done on schedule and with the best workmanship possible; the customer will get value for their dollar. We have the staff to . help with budgeting and complete co-ordination between and within all phases of the proj ect. Being fully computerized with state-of-the-art budget management and cost-tracking software enables us to follow the project from its concept through estimating, construction and completion. We pride ourselves on being exceptionally cost competitive and committed to particularly high quality work. Selected Projects that have relevancy to industrial facilities. . Park Industries, Inc. St. Cloud, Minnesota New manufacturing facility located in St. Cloud's industrial center west on a 17.5-acre site. The new building consists of approximately 51,324 SF manufacturing area, 9,608 SF tech center and research and development area, 4,539 SF of support areas and 13,402 SF of office space for a total building area of78,873 SF. Park Industries, Inc. designs and fabricates machines and equipment used in the stone fabrication process. This project is a designlbuild project with a fast-track schedule. . L/! · · Cold Spring Granite West Plant - Shot Saw Building Expansion Cold Spring, Minnesota 35,000 SF expansion to the existing shot saw building to house six new shot saws and a wire saw. The concrete foundations for the shot saws are also incorporated into this project. This design/build project is on a fast-track schedule. · Borgert Paver Products - New Paver/Retaining Wall Plant St. Joseph, Minnesota New "Start-of-the-Art" manufacturing facility located adjacent to their existing plant in St. Joseph, MN. The new buiiding consists of approximately 8,400 SF fabricating area, 3,600 SF aggregate area, 3,900 SF curing area, 3,400 SF warehouse area, 1,200 SF shipping area, 1,000 SF offices, toilets, break room and control room for a total area of21,500 SF. It also includes an automated kiln system for curing the finished product. Borgert utilizes the new plant for the computerized manufacturing of many styles of concrete pavers and retaining wall block. The design/build project was on a fast-track and included a 48 foot high pre-engineered building with extremely close tolerances required to accommodate the computer-controlled equipment. · Central McGowan, Inc. St. Cloud, Minnesota DesignJbuild Industrial Distribution Center, vehicle storage and inventory storage · addition. Responsibilities included architect selection, design and complete construction with new construction and retrofit of existing space into offices and display area. Vehicle storage space included interior docks for loading and unloading oftrucks. · Cold Spring Granite West Plant - Foundry Building Cold Spring, Minnesota 15,750 SF new foundry building located at Cold Spring Granite West Plant. The new building is a design/build project that will house "State-of-the-Art" foundry and finishing equipment for specialty castings to compliment Cold Spring's wide variety of granite products with a major emphasis on dust collection, pollution control and air quality. · Cold Spring Granite West Plant - MonuWest Project Cold Spring, Minnesota 137,000 SF new "State-of-the-Art" granite processing facility including complete production/warehouse area and support services (offices) along with a sales area. This was a design/build project on an extremely fast-track schedule; construction [mished in five months, start to finish. · Cold Spring Granite West Plant - Gang Shot Foundations Cold Spring, Minnesota · Installation of 4,000 SF of new concrete foundations for new sawing equipment. Five each, heavy foundations consisting of metric layouts each into ground approximately 17' deep with over 400 CY of concrete each, heavily reinforced. t!¿ · Borgert Paver Products - Addition to Original Paver Plant . S1. Joseph, Minnesota Addition to paver plant located in St. Joseph, MN. The addition consists of approximately 6,000 SF of warehouse area and 800 SF shipping area. Borgert utilizes the new addition for warehousing and curing of the fabricated paver products. This designlbuild project was added to the north of the existing facility and included a pre-engineered addition attached to the existing structure. · Cold Spring Granite Ne"y 'Vest Plant Cold Spring, Minnesota 175,000 SF fast-track, heavy industrial new facility featuring metal fInishing and gang shot sawing and slabbing building, and circle saw building. Work included designlbuild of pre-engineered building and complete construction. · Nahan Printing Plant, Phase I, II, III, IV and V St. Cloud, Minnesota Phase I was started as a designlbuild project in 1990 with a new building to house a raw stock warehouse, production area, fInish goods and bindery prep department, and office area with master planning for future needs utilizing a 23- acre site. Since then, expansions occurred to production warehouse, prep department, bindery and currently the new mail center. All expansions to the facility were completed as designlbuild projects using "State-of-the-Art" technology for printing, waste recovery, heat recovery, pollution control and . mechanical systems. Total building area currently exceeds 250,000 SF. · Benton County Sheriffs Office & Jail Foley, Minnesota 65,000 SF facility incorporating a 72 bed jail complex for male and female housing complete with extensive food preparation and service facilities, laundry facilities and multi-purpose activity rooms. Also the building serves as the new Benton County Sheriffs Office complete with administration support services, 911 communication, j ail booking, j ail administration, firing range and underground parking. All under tight inspection by the Minnesota Department of Health and Minnesota Department of Corrections. · Central Landscape Supply St. Cloud, Minnesota Designlbuild of pre-engineered 16,000 SF facility providing offIce, storage and cold warehouse space for wholesale landscape supply business; completed in six months. · S.L. Haehn Campus Center, College Of S1. Benedict S1. Joseph, Minnesota Designlbuild of a 73,000 SF new campus center consisting of fIeld house facility (pre-engineered building), fItness area, night club and multi-use room. . L/3 · Camp Ripley Training Facility . Little Falls, Minnesota 208,870 SF training facility consisting of thirteen different buildings of which five were Barracks buildings each consisting of full in-house food service which was under tight inspection by state and federal requirements. · Ziegler, Inc. St. Augusta, Minnesota 23,000 SF complete construction of office, retail sales and service facility for heavy equipment repair. · Borgert Paver Products - Paver Plant St. Joseph, Minnesota New 12,800 SF manufacturing facility consisting of a fabricating area, aggregate area, warehouse area, shipping area, offices, toilets, break room and control room. This new plant was used to manufacture many styles of concrete pavers. This designlbuild project was on time and on budget. · Central McGowan, Inc. - Office & Show Room Remodel St. Cloud, Minnesota Designlbuild project for their office and show room remodel expansion. This project was completed without Central McGowan having to shut down their . business. · Northern States Power Co.-Service Center St. Cloud, Minnesota Designlbuild 25,000 SF vehicle storage and office facility. Contract included architect selection, design and complete construction. The vehicle storage space included interior loading and unloading of trucks. . L/L/ ------- " ~ ¡¡ 8 ~ !t ~ c . ~ ~ ~ ö ~ 0 II! g ~ ~:: ~ ,.:. ~--" ~~ '" -~]Q ~< w ~ i:; ~ 8 :::: ~, ~ u g § 1~ .. '% ~ 5 :> ~,,~~ ~ ~ i ~ . ~ ~ ~ ~ ., ~ .~ ~ ~2 O()"1JQ(¡ ~ Z ~ij §t!~~q ~ ~ -0 ~,,- _ _ "~~ ~ /< iJ -..: t'{ ~ -f\ ~ '" ,,~ "- 0 ~ cll~ ~ '6 ]~~~ ç:, ~ - = n11h ~H~m ~ ~ ~ ~ ~ ~ I ~ . ~ ~ " I .! , " I .(/" I I I .§ I & ~ I ~ ~ ~ I ~ I S 8 I '\- '<,; è) . '(\ 0 ~ l l ~ i i . 1! i 1 ~-1 I I I a ID ~ $ [J V I W I I I I çlt k() Zit ,(O() 11t/.o(} I {\ I 1'-- ~ . tis > . City of St. Joseph Policy and Procedures for Tax Increment Financing Proj ect For the purpose of this policy, the "EDA" shall also mean the St. Joseph Economic Development Authority, which serves in conducting various economic development, housing and redevelopment programs and activities within the City of St. Joseph. I. GENERAL POLICY The purpose of this policy is to establish the position of the City of 81. Joseph and the Economic Development Authority with respect to the use of Tax Increment Financing for private development within the City. This policy shall be used as a guide in the application for, review and consideration of any requests for Tax Increment assistance. The fundamental purpose of tax increment financing in 81. Joseph is to encourage desirable development and/or redevelopment that would not otherwise occur "but for" the assistance provided through TIF. The City of St. Joseph and EDA shall consider Tax Increment Financing for projects that serve to accomplish the City's goals for housing and economic development as they may change over time. The goals include facilitating projects that would result in the creation of quality jobs(Le. stable employment and/or attractive wages and benefits) and the attraction, retention, and expansion of business and housing options in the City. . II. CITY's and EDA's OBJECTIVE FOR THE USE OF TIF As a matter of adopted policy, the City of 81. Joseph and EDA will consider using tax Increment Financing (TIF) to assist private development projects to achieve one or more of the following purposes: · Remove blight and/or encourage redevelopment in the commercial and industrial areas of the City in order to encourage high quality development or redevelopment and private reinvestment in those areas. · To provide for a balanced and sustainable housing stock to meet diverse needs both today and in the future. · To retain local jobs and/or increase the number and diversity of quality jobs (Le. stable employment and/or attractive wages and benefits. · To encourage additional unsubsidized private development in the area, either directly, or through secondary "spin-oft" development. · To offset increased costs of redevelopment (Le. contaminated site clean-up), over and above those costs that a developer would incur in normal urban and suburban development. · To facilitate the development process and to achieve development on sites which would not be developed without this assistance. . St. Joseph TIP Policy L/-b 1 · To meet other uses of public policy, as adopted by the Council from time to time, including promotion of quality urban design, quality architectural design, energy conservation, . decreasing the capital and operating costs of local government, etc. III. COSTS WHICH QUALIFY FOR TIF ASSISTANCE · Project design fees including: utilities, landscape, architectural and engineering design. · Site related work including: permits for site work, earthwork/excavation, soil correction, landscaping, utilities, streets and roads, street/parking lot paving, street/parking lot lighting, curb and gutter, sidewalks · land acquisition · Special assessments · legal fees (acquisition, finance, closing) · Soil tests · Environmental studies · Surveys · Park and open space dedication fees · Interest rate write downs · Relocation assistance · Replacement or clean-up of contaminated soils which would otherwise preclude redevelopment · Rehabilitation · Any other costs allowable by Statute IV. PROJECTS WHICH MAY QUALIFY FOR TIF ASSISTANCE . All new TIF projects considered by the City of St. Joseph and EDA must meet each of the following minimum qualifications and will also be evaluated based on their ability to meet the desired qualifications for assistance. However, it should not be presumed that a project meeting any of the qualifications will automatically be approved. Meeting the qualifications creates no contractual rights on the part of any potential developer to have its project approved. MINIMUM QUALFICIATIONS 1. The project should meet one or more of the Tax Increment Financing Objectives outlined in Section II of this policy, but at a minimum shall: . Remove blight and/or encourage redevelopment in the commercial and industrial areas of the City in order to encourage high quality development and redevelopment and private investment in those areas. . To facilitate the development process and to achieve development on sites which would not be developed without this assistance. 2. The developer must demonstrate that the project is not financially feasible "but for" the use of TIF assistance. 3. The project must be consistent with the City's Comprehensive Plan, Zoning Ordinances and the EDA's Strategic Plan or require changes to the plan and ordinances must be under active . consideration by the City at the time of final TIF application submittal. St. Joseph TIF Policy 1/7 2 · 4. Prior to approval of a TIF financing plan, the developer shall provide any requested market and financial feasibility studies, appraisals, soil borings, private lender commitment, and/or other information the City, EDA or its financial consultants may require in order to proceed with an independent underwriting of the proposal. 5. The developer must provide adequate financial guarantees to ensure the completion of the project. These may include. but not limited to: assessment agreements, letter of credit, personal deficiency guarantees, maximum cost contract, etc. 6. Any developer requesting TIF assistance should be able to demonstrate past successful general development capability as well as specific capability in the type and size of development proposed. TIF will not be used when the developer's credentials, in the sole judgement of the City, are inadequate due to past track record relating to: completion of the projects, general reputation and/or bankruptcy, or other problems or issues considered relevant by the City and EDA. 7. The developer shall retain ownership of the project at least long enough to complete it, to stabilize its occupancy, and to establish the project management and initiate repayment via the TIF assistance. DESIRED QUALIFICATIONS 1. TIF proposals creating a higher ratio of property taxes paid before and after redevelopment will receive priority consideration. Given the different assessment circumstances in the City, this ratio will vary widely. A 1:2 ratio of taxes paid before and after redevelopment is desired. · 2. TIF proposals should normally not be used to support speculative industrial, commercial, office or housing projects. In general, the developer should be able to provide market data, tenant letter of commitment or finance statements which support the market potential/demand for the proposed project. 3. TIF will normally not be used in a project that involves an excessive land and/or property price. This will normally be where the acquisition price is more than 20% in excess of the market value as determined by an independent appraisal of the property. 4. TIF will not be used in projects that would give a significant competitive financial advantage over similar projects in the area due to the use of tax increment subsidies. Developers should provide information to support that the TIF assistance will not create such a competitive advantage. Priority consideration will be given to projects that fill an unmet market need. 5. TIF will be provided on a pay-as-you-go basis. Any request for up front assistance will be evaluated on its own merit in accordance with this policy. Projects requesting pay-as-you-go financing will receive priority consideration. 6. Preference will be given to projects that do not place extraordinary demands on City services. If it is determined by the City's Public Works Director and City Engineer that an extraordinary increase in public service would result because of the project, TIF financing will not be considered. · St. Joseph TIF Policy LjEJ 3 7. TIF will not normally be used for projects that would generate significant environmental · problems in the opinion of the local, state, or federal governments. Priority will be given to project that aim to clean-up existing contaminated sites and would facilitate the location of an industry or business that has an environmentally sound track record, or meet a housing need in the City. 8. Preference will be given to projects that meet good public policy criteria as determined by the EDA and City Council, including: · Projects that are in accord with the Comprehensive Plan, Strategic Plan, Zoning Ordinances and other redevelopment plans of the City and EDA, · Projects that provide significant improvement to surrounding land uses, the neighborhood, and/or the City, · Projects that provide a significant increase in tax base, · Projects that provide significant new, or retained employment. · Projects that meet financial feasibility criteria established by the EDA, and · Projects that provide the highest and best desired use for the property. V. TAX INCREMENT PROJECT EVALUATION PROCESS The following five methods of analysis for all TIF proposals will be used: 1. Consideration of project meeting minimum qualifications. 2. Consideration of project meeting desired qualifications. 3. Project meets "but for" analysis and statutory qualifications (Exhibit A). 4. Project Report Card (Exhibit B). 5. Project is deemed consistent with the EDA Strategic Plan and the City's Comprehensive Plan. Please note that the evaluation methodology is intended to provide a balanced review. Each area · will be evaluated individually and collectively and in no case shall one area outweigh another in terms of importance to determining the level of TfF assistance. VI. APPLICATION FOR TIF ASSISTANCE FOR ALL TIF DISTRICTS AND PROJECT AREAS The City's tax increment financing program will be administered by the St. Joseph Economic Development Authority (EDA). The St. Joseph EDA will require a non-refundable application fee in the amount of $2,000 for its processing of the application. The application fee shall be paid to the EDA at the time of final TIF application is submitted. At the time a final TIF application is submitted, the applicant shall also deposit $8,000 with the EDA if the project cost is estimated at $750,000 or less or $15,000 if the project cost is estimated at $750,001 or more, with the EDA to cover its attorney's and consultant's costs incurred as part of amending or establishing a TIF District, drafting and negotiating a development agreement, and conducting and fiscal analysis that may be require to meet the requirements of utilizing TIF. If additional costs are incurred beyond the $15,000, prior to the execution of a development agreement, the EDA shall notify the applicant in writing and the applicant will be required to deposit additional funds upon notice. If the project is approved and the applicant proceeds with the project, the EDA shall reimburse the applicant any unused portion of the deposit as of the date of execution of the development agreement. If the applicant does not proceed with the project, the EDA shall reimburse the applicant for the unused portion of the deposit as of the date that the EDA is notified in writing that · the applicant desires to withdraw its application. St. Joseph TIF Policy Iff 4 . VII. APPLICATION PROCESS The application process is a two-step process and must be completed in accordance with the TIF application procedures (Exhibit C). The purpose of this approach is to give an applicant the opportunity to present a development proposal without expending a great deal of money and time in pursuing a development that may conflict with the City's and EDA's goals and objectives. VIII. OTHER POLICY ISSUES FISCAL DISPARITIES Does not impact the City of S1. Joseph according to State Statute. Loss of Government Aid At any time, if the formation of a new TIF district or the use of an existing district to finance a project will subject the City to an LGAlHACA penalty or local contribution to a project, the transaction shall be structured so as to have the ultimate cost the City minimized to the greatest extent permitted by law, so as to have the project bear the cost of the penalty or contribution. Public Use of Tax Increment The City and EDA shall follow applicable state laws in terms of potential public improvement financing with TIF. ft shall be the general policy of the City and EDA to identify public improvements at the time of adoption or amendment of the TIF Plan. . PASSED AND DULY ADOPTED this ~ day of , 1998 by the City of St. Joseph. PASSED AND DULY ADOPTED this _ day of ,1998 by the St. Joseph EDA. Mayor EDA Chair ATTEST: City Administrator EDA Director Attachment A "But For" Worksheet Attachment B In-house Grading and Report Card .- Attachment C Application Procedures - St. Joseph TIF Policy 5D 5 Attachment B . TAX INCREMENT FINANCING PROPOSAL Grading and Report Card 1. Ratio of Private to Public Investment in the Project: Grade: A-+- Private FundsfTIF $ 3¡lw, Oõb Private Investment $5:1 A $ '-leo, 000 TIFlPublic Investment 4:1 B $ '8,'1'5/ I Ratio of Private/Pub1ic Financing 3: I C , 2: 1 D Be]ow 2:1 F 2. New job creation in the City: Grade: c... R New employees in St. Joseph as a 50+ A result of the project 25+ B 15+ C <15;- D None F . 3. Ratio of City Financing to new jobs created: Grade: F- $ ~COI aOD TIF assistance requested $8,000 or 1ess per job A £- New jobs created $10,000 or 1ess per job B $- 2~, 100 TIF/Job $12,000 or less per job C $15,000 or less per job D More than $15,000 <D 4. Pay Level of Jobs: Grade: L Pay Range # of Employees in Range Total Wages Grade $45,000/yr or more A $35,000/yr or more '&3~.' 2--80 B $30,000/yr or more X \Q © $20,000/yr or more D Less than $20,000 F ~ Total Wagesjy.<jq, '3001 # of employees (FTE) i5 = Average wage $ 3 'SI l-ðD - - ~ 6/ -\-- 5. Increase in Real Estate Value: Grade: A · $-<1 ;?';?lP, 82D Value of site after development Le>-t; W1a.k) Before/After Development , 1:5 ŒY $ 2-71, croo Value of site before development 1:4 B ", ~ .)1 1:3 C Ratio of value before/after development 1:2 D 1: 1 F Bonus Points (5 points total) · The project adds value to the neighborhood and/or business community Ó)points and adheres to the Comprehensive Plan. · The developer agrees to the Pay-as-you-go financing. Ú)0int · The proposed project will redevelop a previously contaminated or 2 points environmentally challenged site. · Mixed use project bonus 2 points Total Bonus Points Available 7 points · - · 52- PROJECT REPORT CARD . BUSINESS and COMMERCIAL PROJECTS Ouestion Grade Points 1. A- S A Excellent =5 B ~ =~ 2. L :) C Average =3 D Below Average =2 3. F 1 F Fail =1 4. c... 3 5. ·À S Bonus Points 3 TOTAL POINTS 1-0 /5 = Y CPA . . 53 . THIS PAGE INTENTIONAllY lEFT BLANK . ..-.. ~ 51 ity of St. Joseph 25 College Avenue 1\T\V . P.O. Box 668", St. Joseph, MN 56374 (320) 363-7201 Fax: 363-0342 MEMO TO: Economic Development Authority FROM: :)\;\J\ (" ~~ CLERK! Joanne Foust and Cynthia mith-Strack, Municipal Development Group AD~IL'IISTRATOR RE: St. Joseph Brochure Insert Updates Judy Weyrens MAYOR In 1999 the EDA coordinated the development o~rochures which contain information on Larry J. Hosch the community. The brochures include inserts with information on (1) Commun ity /Commercial/I nd ustrial Development (2) Government, (3) City Overview COUNCILORS (including population and household trends), (4) Educational Opportunities, (5) Bob Loso Infrastructure, (6) Business/Community Services and (7) Transportation Infrastructure. Cory Ehlert Kyle Schneider Upon reviewing the data, we have noted six of the seven inserts contain information that is Alan Rassier outdated. We have edited the data and obtained a quote from Elness Design Studio for the printing of the 6 insert pages in quantities of 250, 500, 750 and 1000. Enclosed is the price quote and sample insert pages. If 250 sets are ordered the cost will be $1.76 per set of 6 (due to the $200 Agency Fee). If 500 are ordered the cost will be $0.95 per set of six. The fee per set continues to decrease to $0.69 per set of 6, if 750 are ordered and $0.55 per set of 6 if 1,000 are ordered. Action: . If the EDA would like to update the inserts for the brochure, a MOTION is in order to authorize the printing of the 6 inserts. YVe WOuld~COmmenrl nrrlAring 500 sets for a cost . of $475, as information will continue to changa... cel Energy has a program available to W'Íq,"" . assist with marketing costs to promote business development within their service area. VJ· ....,c;' 0".J'q~ They have indicated their program provides for up to 25% of the costs. If the EDA would '\ <SU ~ -{V--Y- like to pursue this assistance (approximately $120), we will complete the required 't ~ application materials. Ø#lfP' ð VJ ,\.JI v f\ ~~~'{J . ~~iSJ o ~^'-~ ~.~ q, V ~~ ~ # "'/ \ q.,) /~ ~.J rr; '0 ,~ 'S S~'0~ \ ~t'- \J - ~ SS- . . ~ ~ ~ ~ ~ - ] ~ ~ 8 i ~ :5"i ~ ~ £~~~ ~ ~ ~ _ 0 ~ ~ ~ ~ ~ ~ õ ~ ~ ~ H ~ 0 0 ~ c: +' CLI 0 >, Ll) <tß ¡::¡ ........,.H ~~ l~ g. :;, 1:: ~ ðj i "'0 .E .~ 8 .--' ~ ª Þ 00 0... // \D ) a ~~ ~ ~ / ()~. ~ gj 0 u v ( N , ,~ c.o ~ g H "- ~ ~',/' " '§ ~ ì2 ~ ] ~ .~ ~'H"'-' - ~ ~ [, rtJ '-1-1 Q.) ~ (f. I ~ "0 _1. I <.q E . ~..1 ,/ ~, . \.0 : 'U c W 00 ¡::¡ ( JV ~ U~., '+< C' <U (!j lQ ~ . 0 ~ ~ ::1 '1:: //..../ Q ....... 0 '<tí !-4 " ¡¿' --- 0..... IU' c· «:'-II ¿h ~ ~ ~ . . .~ "'0 Q.I >., ~ \ ~ · ~ ~, _~ Sf 0\ 0-. ro QJ J:: -E :;.."..... . fb ;p If.I "0 '"d :.E !-4 <IS OJ;) ,,+,... >. . ; II) . ~ ê s, ¡ä c: 1::~b;§~] ',-æ 3 ¡ß ~ ~ ~ ~ ~ >. e ~ ~ ~ ~ 9 E t-.,.. .;g ~ ~ è;i) u.. ~ fì. tfj a< ~ G- II ¡.>-o. ~ r; ';þ ~ t' <=> ~ !LI ~ .S .s >- &1 Š ï:: ~ ~.... t8 ~ ~ ~ ~ e ~ ~ ~'~ 4 -. u u ('\') ~ ~ t-L< ~ ø., ~ 0 ';¡:J ...... ~ ~ 1 <~ å} ö >-. ~ ~ ~ b) .t;~ -:¡j F4 d QJ X 5 ' ~ , ;~ 0 ~ !. Š ~ Q) 0 T;c fT. ~ ..t:: ~ tIJ Z ,~ ...... ¡:¡ ø.. !-4 ~ _ :~ ~ ð ~ 6?f ~ ~ ~ ~ 0 ~ ~ .~~ ..... ;::¡.... 'oÒoI _ t··~ v .s ~ 0 ~ ~ ." ,~ ~ u Ô ~ ~~ Q U Z -;~ ! ~ :; ~ ~ (Q ;; L.('}><t-.;tc QU> lOa.: z ~.... OJ '" en ~ õ a, I ~ C ~ It)..c: Q) C 00 <.I >- .£ rI (\I @ . c(::!:\O. i: .<:; Jj Ç>.:!! - "0 t'\J fit c: N 'II 5 z~'(').., a; 0 '" C>.>c x: . ~ 0 ~ w < c .- tV - --(.I)MILQI tØ'd 9~~6~~ZØZ~ OIanLS N~IS3a SS3N'3 9Ø:SØ nHL ZØ-Lt-N~~ ..' .':';' . ..:.:.;.;.~:-~...'...'. . .... ........"........ ! (} January 25, 2002 Cynthia Smith-Strack Joanne Foust City of St. Joseph 2S College Avenue NW St. Joseph, MN 56374 Dear Cynthia and Joanne: Original proofs of the St Joseph INSERTS are enclosed for you to present to the EDA board. The most recent updates have been made as requested. You may wish to make copies for each member's packet as desired. If there's anything else you need, just let me know. Please contact me as soon as you're ready to proceed, which I understand will be following the February 20th meeting date. . Thank you. Sincerely, . L-fl .:' . v¿ çA . / / (1/1 tp~ .--.. Marla Elness . 57 Ra¡J,ds, MN 5637902400 saIJ'I. ~of\n \ essdesign@chart~,/) oef\\Je e f\ . ~f 1100 Ninth ¡.; <;1;& ~\.,:) 32():2.SS.9 320.252.8444 ~pn) ¡INSERTS 1/25/2002 10~age 1 I · - - CommlUlit)'/C ommercial/Industrial Development Industrial Sites · St. Joseph Industrial Park · St. Joseph Business and Industrial Park · Borgert Industrial Park Note: Complete with MunicipalServices Contact the St. Joseph Economic Development Authority for tax rate information, financing, zoning regulations and development procedures. St. Joseph Economic Development Authority Contact. . . . . . . . Joanne Foust or Cynthia Smith-Strack Phone. . . . . . . . . . . (320) 363-7201 or (952) 758-7399 Fax . . . . . . . . . . . . . . . . . . . . . . . . . . . (320) 363-0342 Address. . . . .25 College Avenue, St.Joseph, MN 56374 + St. Joseph Area Chamber oj Commerce + Contact . . . . . . . . . . . . . . . . . . . . . . . . . . Peter Omann · Owner, Omann Insurance Phone. . . . . . . . . . . . . . . . . . . . . . . . . (320) 363-7233 Fax . . . . . . . . . . . . . . . . . . . . . . . . . . . (320) 363-0109 Address. . 305 East Cedar Street, St.Joseph, MN 56374 St. Cloud Area Economic Development Partnership Contact. . . . . . . . . . . . . . . . . Jeff Schlingman, President Phone. . . . . . . . . . . . . . . . . . . . . . . . . (320) 656-3815 Fax . . . . . . . . . . . . . . . . . . . . . . . . . . . (320) 251-0081 Address. . . . . . . . P.O. Box 1091, St. Cloud, MN 56302 · - - I -+- I 68 ¡INSERTS 1/25/2002 10: 31 ¢ Page 2 I · - - Go,'cnUl1cnt Organization: . . . . . Counci1JMayor Contact: . . . . . . . . . . City Administrator - Judy Weyrens (320) 363-7201 Commissions: . . . . . Park Board Planning Commission Fire Board Economic Development Authority Employment: . . . . . . Fire - 30 Volunteers Police - 6 full-time, 3 part-time and reserves City Staff - 4 Administration, 5 Maintenance, 6 Seasonal Contract ~ Consultants:. . . . . . . SE' Engineering ~ t Rajkowski Hansmeier LID Advanced Resources for Development · Juran and Moody r Municipal Development Group - - · I ¢ I 51 ¡INSERTS 1/25/2002 10~age 3 I . - - City Overvie1v City Of St. Joseph: County . . . . . . . . . . . . . . . . . . . . . . . Stearns Region. . . . . . . . . . . . . . . . . . . . . . . . Central Distance to St. PaullMpls . . . . . . . . . . 70 miles Nearest MSA . . . . . . . . . . . . . . . . . . . St. Cloud MSA (8 miles) US Congressional District . . . . . . . . . . 7 MN Legislative District. . . . . . . . . . . . 14A Population Trends: Current Population (2002) 5,074 2000 1990 1980 1970 St. Joseph 4,475 3,349 2,994 1,786 % Change 1970-2000 = 151 % Stearns County 130,537 119,324 108,161 94,400 + % Change 1970-2000 = 38% + . St. Cloud MSA 164,631 149,509 133,348 116,241 % Change 1970-2000 = 42% Household Trends: Current Households (2002) 1,185 2000 1990 1980 St. Joseph 1,185 746 544 % Change 1980-2000 = 118% Stearns County 47,604 39,776 32,250 % Change 1980-2000 = 48% . - - I -+- I (pO ¡INSERTS 1/25/2002 I I 10: 31 q:; Page 4 · - - Educational Opportunities Elementa1}' Schools Phone John F. Kennedy School, St. Joseph. . . . . . (320) 363-7791 St. Joseph Lab School, St. Joseph. . . . . . . (320) 363-7769 St.Joseph, Waite Park............... (320) 251-4741 Discovery School, Waite Park. . . . . . . . . . (320) 251-7770 Wilson Walter Elementary, Holdingford . . (320) 746-2232 Junior Highs Phone John XXlll, St. Cloud. . . . . . . . . . . . . . . . (320) 251-3421 North Junior High, St. Cloud. . . . . . . . . . (320) 251-2159 South Junior High, St. Cloud. . . . . . . . . . (320) 251-3296 Rocori Middle School, Cold Spring. . . . . . (320) 685-3296 St. Peter Paul & Michael, St. Cloud. . . . . . (320) 251-5295 High Schools Phone St. Cloud Apollo High School. St. Cloud. . (320) 253-1600 St. Cloud Cathedral High School, St. Cloud. (320) 251-3421 St. Cloud Technical High School, St. Cloud. . (320) 252-2231 Area Learning Center, St. Cloud. . . . . . . . (320) 251-4963 ~ St. Johns Preparatory, Collegeville. . . . . . . (320) 363-3315 + Rocori High School, Cold Spring . . . . . . . (320) 685-8683 · \.J/ Holdingford High School, Holdingford . . . (320) 746-2196 I Post-Secondary Schools Phone College of St. Benedict, St. Joseph. . . . . . . (320) 363-5011 St. John's University, Collegeville . . . . . . . (320) 363-2011 St. Cloud State University, St. Cloud. . . . . (320) 255-0121 St. Gaud Technical College, St. Cloud . . . (320) 654-5000 Rasmussen College, St. Cloud. . . . . . . . . . (320) 251-5600 Regency Beauty Academy, St. Cloud. . . . . (320) 251-0500 Model College of Hair Design, St. Cloud. . (320) 253-4222 - - · I -+- I ~/ ¡INSERTS 1/25/2002 10~age 5 I . - - Infrastructure Public Utilities: Electric: Steams Electric Association. . . . . . . . . . (320) 363-6601 Xcel Energy. . . . . . . . . . . . . . . . . . . . . (320) 255-8600 Natural Gas: 1_ <600 -L ~ 1-4'7 Db Xcel Energy. . . . . . . . . . . . . . . . . . . . . (320) 255-8600 Telephone & Internet: US West. . . . . . . . . . . . . . . . . . . . . . . 1-800-879-4357 Cable: US Cable. . . . . . . . . . . . . . . . . . . . . . . 1-800-642-5509 Astound. . . . . . . . . . . . . . . . . . . . . . . . (320) 529-1300 City Services: Water: Source. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 wells + Storage Capacity. . . . . . . . . . . . . . . . . . . . 500,000 gal. + Pumping Capacity. . . . . . . . . . . . . . . . . 1,000 gal.lmin. . Average Demand. .. . . . . . . . . . . . . . . 290,000 gal.lday Peak Demand. . . . . . . . . . . . . . . . . . . 675,000 gal.lday Total Water Hardness. . . . . . . . .. . . . . . . . . . . 20 ppm Industrial Water Rate. . . . . . . Base charge: $1.35/100 cf 700 cflmin. (based on winter quarter reading) Sewer: Treatment Type. . . . . . . . . . . . . . . . . . Mechanical Plant Capacity of Plant . . . . . . . . . . . . . . 13,000,000 gal.lday Average Demand. . . . . . . . . . . . . . .9,500,000 gal./day Peak Demand. . . . . . . . . . . . . . . . . 11,000,000 gal./day Usage Charge. . . . . . . . . . . . . Base charge: $1.35/100 cf 700 cflmin. . - - I -$- I 62-- ¡INSERTS 1/25/2002 10:31¢ Page 6 I - - . Business/CoJ11111unit)' Services Lodging Facilities: Super 8 Motel - 29 units Medical & Support Services: Centra Care Heartland Clinic - City Clinic, St. Joseph St. Cloud Hospital - Regional Hospital, St. Cloud Arlington Place - Assisted Living Center, St. Joseph Worship: Redeeming Love Lutheran Church Resurrection Lutheran Church St. Joseph Catholic Church St. John's Abbey Church Sacred Heart Chapel, St. Benedict's Monastery Newspaper Services: St. Joseph Newsleader - weekly St. Cloud Times - daily Å Meeting Places: /h -- ~---- I Capacity of three largest: 2,500 -500- 300 ,~---~ . r í 5;) 360 coD / Banking/Finance: I /, _ I First State Bank of St. Joseph-~88,88e irí -aSsëf5 Librmies: Clemens Library - Co\1ege of St. Benedict, St. Joseph Great River Regional Library, St. Cloud Learning Resource Center - St. Cloud State University Parks: Brian Klinefelter Memorial Park Memorial Park Centennial Park Northland Park Millstream Park - - . rh I '-T 6~ ¡INSERTS 1/25/2002 10~age 7 I · - - Transportation Infrastructure Systems: Distance from Ton St. Joseph Limits Interstates: Interstate 94 1/2 mile 9 ton Four Lane Highways: US 10 10 miles 9 ton Minnesota 15 8 miles 9 ton County 75 within· city limits 9 ton Other: Minnesota 23 5 miles 9 ton County 2 within city limits 9 ton Truck Services: Truck Lines - 10 Truck Terminals - 2 Air Services: S1. CLOUD REGIONAL AIRPORT Miles to . . . . . . . . . . . . . . . . . 15 + Longest runway length . . . . . . 7,000 feet + Surface. . . . . . . . . . . . . . . . . . Paved · Lighted. . . . . . . . . . . .. . . . . . Yes Customs. . . . . . . . . . . . . . . . . No Navigation Aids . . . . . . . . . . . Beacon DME VOR/DME Airlines. . . . . . . . . . . . . . . . . . Northwest Airlinkl Mesaba Airlines Shuttle Service available from St. Cloud Regional Airport to Mpls.lSt. Paul International Airport. Regional connections from St. Cloud to Mpls.lSt. Paul MPLS/ST. PAUL INTERNATIONAL AIRPORT Miles to . . . . . . . . . . . . . . . . . 70 Longest runway length. . . . . . 10,000 feet Surface. . . . . . . . . . . . . . . . . . Paved Lighted. . . . . . . . . . . . . . . . . . Yes Customs. . . . . . . . . . . . . . . . . No Navigation Aids . . . . . . . . . . . Beacon DME VOR/DME Airlines. . . . . . . . . . . . . . . . . . American Delta Northwest -,i:ttR tÇ: UlFS .. TWA United · - - I -+- I bi ity of St. Joseph 25 College Avenue I\'W · P.O. Box 668, St. Joseph, MN 56374 (320) 363-7201 Fax: 363-0342 MEMO TO: Economic Development Authority FROM: :1 A'\~ L'-' ./. CLERK! Joanne oust & Cynthia Smith-Strack, Municipal Development Group ADMINISTRATOR RE: Proposed Improvement Schedule for Elm Street and 15th Avenue North Judy Weyrens ¡\-JAYOR We have been working with City Engineer Joe Bettendorf, SEH, and City Administrator Larry J. Hosch Judy Weyrens to coordinate the improvement of Elm Street and 15th Avenue in the St. Joseph Business Park. Mr. Bettendorf recommends the construction of both streets COUNCILORS simultaneously but inde~endent of the St. Joseph Street projects. The benefits of Bob Loso constructing Elm and 15t together include: (1) More control over individual projects and Cory Ehlert project schedule; (2) No duplication of tasks (assessment hearing, council action, bidding, Kyle Schneider etc); (3) Ensures one contractor coordinates both street projects and has one timeframe for Alan Rassier completion; (4) Provides the ability to move the projects forward and complete the improvements by September, 2002 to allow developers to construct in 2002; and (5) less disruption to adjacent businesses. The proposed project schedule follows: February 7, 2002 City Council presented the Feasibility Report February 8, 2002 Notice of Public Hearing published · February 21, 2002 City Council conducts public improvement hearing March 7, 2002 Council public hearing continued, if needed March 14,2002 Advertise for bids April 4, 2002 Bid opening and Council action on the Award of Bids April 22, 2002 Construction begins August 1,2002 Construction complete If you have any questions on the proposed street project, please feel free to contact us or Administrator Weyrens. · 65 · THIS PAGE INTENTIONALLY LEFT BLANK · · hro ity of St. Joseph 25 College Avenue NW · P.O. Box 668., 51. Joseph, MN 56374 (320) 363·7201 Fax: 363-0342 DATE: February 12, 2002 CLERK! MEMO TO: St. Joseph Economic Development Authority Am!INIsTRATOR ~'(v\ ç Lv'.:> Judy Weyrens FROM: Joanne F st & Cynthia Smith-Strack, Municipal Development Group RE: Economic Development Activity Report -December 15, 2001- February 12, MAYOR 2002 Larry J. Hosch COUNCILORS Municipal Development Group has been interacting with a number of prospects throughout the Bob Loso past two months. Following is a summary of activities that have transpired. If you have any Cory Ehlert questions on any of these or other projects, please do not hesitate to contact us at 952-758- Kyle Schneider 7399. Alan Rassier Business Prospects have been identified by a project number to protect the confidentiality of the businesses. Project 01-Ä: The company has been considering the construction or leasing of a newly constructed 65,000 square foot building in St. Joseph Business Park. On December 4, 2001 the company's point person contacted MDG and noted the project is currently not at the forefront at this time with the · Board of Directors of the company. He noted he appreciated the follow-up calls and would contact us as the project proceeds in the next couple of months. The Department of Trade and Economic Development contacted MDG on December 12, 2001 to express their continued support and inquire about the status of the company's interest in utilizing their bond program. MDG noted the company will be reviewing their plans first quarter, 2002. On January 8, 2002, MDG called the company representative to express continued interest in helping the project move forward. The contact noted the Board of Directors had met the previous week and gave approval to move forward on the project in St. Joseph. A meeting with the company representative was tentatively scheduled for the beginning of February. MDG left messages for the company contact on January 22 and 31 st regarding potential meeting dates. A representative from the company called back February 15t and noted scheduled a tentative meeting on February 13, 2002. The project was discussed in detail at the meeting on February 13th. The project is moving forward. VicWest intends to move into the new building in December of 2002. Project 01-8: This company has been discussing a 60,000 square foot addition to their facility to accommodate consolidation of several facilities. On December 6th, MDG contacted the company contact regarding the revised tax increment financing calculations which were provided to them in November. MDG also contacted the owner of their current facility regarding any updates. December 11, 2001 the owner of the facility called back and noted he did not have any updates. MDG left messages for the company's contact on December 28, 2001 and January 22, 2002 offering to assist and requesting a return call regarding the project status. On January 30th the company called back and indicated they are focusing on a couple of other projects at this time and this project is on the back burner. He noted he appreciated the follow- up contact. Project 01-1: · 6 7 · This company is considering the purchase of approximately 5 acres in St. Joseph Business Park for a 12,000 square foot facility in the spring of 2002. MDG conducted phone conversations with the owner regarding the project on December 5, 12 and 26th and met with the owner and Leo Buettner on December 19th to discuss the project, current taxes and assessments, future estimated assessments, land costs and purchase agreement language. MDG worked with the City Engineer and City Attorney on assessment and purchase agreement information. MDG met with the company owner on December 28, 2001 and received a copy of a signed purchase agreement for the west Y:z of Lot 2, Block 1, reviewed the Minnesota Investment Fund application (MIF), discussed timing for the lot split and Planning Commission/Council approval and timing for Elm Street improvement. City Engineer will place the improvement in the bid documents with other city street improvement projects for 2002. January 8, 2002, MDG called and left a message offering to assist with any additional questions on the MIF application and provided an update that the Planning Commission tabled the lot split and will consider it on February 4, 2002. On January 15, 2002, MDG spoke to the property owner regarding the need for a site plan for the lot split. The owner indicated he should have one by the end of January. On January 22, 31 and February 5, 2002, MDG left messages checking with the owner to see if the site plan would be ready the next week. Also asked if we could assist with any other aspects of the project such as the MIF pre-application. Project 01.J: This developer is considering highway commercial development(s). On January 8th and 22nd, MDG provided information on the proposed development to two different commercial businesses inquiring about available sites. Both were interested in leasing existing space. Project 01-K: This company has been seeking a 1 to 2 acre lot for the construction of a 2,000 square foot facility which would house both manufacturing and retail uses. MDG has been working with the · company for approximately 4 months. On December 19th MDG followed-up to suggest an existing facility. The company noted the cost was too high. MDG and the company will remain in contact. On February 1, 2002 MDG spoke to the owner regarding potential commercial/industrial taxes and availability of this information for specific sites from the County Assessor. Project 01-L: This commercial businesses has been reviewing potential sites for an expansion, They are also interested in businesses which may wish to purchase their existing facility. On December 6th, MDG met with a commercial business interested in leasing a commercial facility and provided them with information on Project 01-L's building and suggested they meet with the company's contact person. On January 8, 2002, MDG, contacted the contact person who indicated the company, at least for the near future, has decided to remain at their current location. He noted he had met the commercial business person who requested a lease arrangement. The company decided it was not a good fit. Project 01-N: This commercial business is considering the construction of a 3,000 square foot facility in St. Joseph (not in the St. Joseph Business Park). MDG and City Administrator Weyrens met with the company initially in November. On December 12'h MDG forwarded the company information from the City Engineer regarding servicing the site with utilities and estimated costs. The company contact noted their Board of Directors is supportive of the project in St. Joseph and is proceeding with a financial analysis of the project. On January 8, 2002, MDG called to follow-up on the project. The company noted they are reviewing the project and anticipate this will be completed by March 12'h. Their next Board meeting, in which they will determine if they will proceed is scheduled for the third week of March. · Project 01-0: ¥" This comþáll-y is considering the construction of a 30,000 square foot manufacturing facility in " 81. Joseph Business Park. MDG met with the company on December 6th and 12'h to discuss ' b/ß the project and possible financial incentives. The company estimates 15 new jobs as a result of · the project. MDG followed-up with phone calls on December 18th, 19th and 28th with the company's contact. They are hoping to enter into a purchase agreement on approximately 5 acres and proceed with construction in the spring of 2002. The company has indicated they will be applying for TIF assistance and possibly the MN Investment Fund. MDG placed follow-up calls on January 2nd and 8th and also forwarded information on the financial programs the company inquired about (TIF and MIF). MDG also discussed 15th Avenue NE improvements with SEH, the City's Engineer. January 15th MDG discussed lot prices with Mr. Buettner and the business contact, updated both on the proposed schedule for 15th Street and Elm Street construction. A purchase agreement is still being drafted. On January 31, 2002 MDG left a message for the contractor for the project. On February 5th MDG left a message for one of the owners regarding status of the project and any assistance we could provide to assist in the coordination of the project. \)'i\. \~~ \io\ Project 01·P: This company contacted the City on December 12'h to inquire about available commercial/industrial lots for a 33,000 to 35,000 square foot facility. MDG provided the company with information on St. Joseph Business Park, zoning information and covenants. MDG followed up with the company on December 19th and suggested the company contact Leo Buettner as well, prior to his departure on December 27, 2001. The company contact indicated they are working on building plans at this time and need that completed prior to proceeding. He will contact MDG when the plans are finished. On January 31, 2002 MDG spoke to the company representative who indicated property taxes for a new building in St. Joseph would be higher than what he is currently paying in Waite Park, making the relocation/expansion economically unrealistic. Project 01·0: · Jeff Schlingman of the Partnership contacted MDG on December 28th and noted they have an inquiry for a 5-7 acre industrial lot for a 60,000 square foot tip-up-concrete facility with an estimated 55 employees. He requested a letter outlining available lots, land and assessment costs and incentives available, by January 2, 2002. MDG prepared a location map and letter and sent it to the Partnership on December 28th. MDG placed follow-up calls to The Partnership on January 2nd and 8th. Christine Brinkman noted Jeff Schlingman is on vacation for 2 weeks. They have forwarded the proposal to the company and their builder and expect to hear back the end of January. On January 22, MDG followed-up and left a message for Schlingman regarding any updates on the site selection process and offered to provide any additional information. On January 31st and February 5, 2002 MDG contacted the Partnership for any updates. Mr. Schlingman noted the contractor is working on a "time study" for the company. They are hoping to have a spring project but have not yet selected a site. Mr. Schlingman noted he is not aware who the company is. Project 02·A January 8, 2002, this contact called the city looking for a retail space. MDG contacted owners of the building adjacent to the laundromat and provided the information to the contact. On January 22, 2002 MDG followed up and left a message for the business contact regarding the feasibility of the site and asked if additional alternative sites were needed. Project 02·B January 18, 2002, this contact contacted MDG noting they are looking for a highway commercial site and need assistance in compiling demographic data on the city. A meeting was held on January 22, 2002 in which potential sites were discussed, population and housing trends and traffic count information was provided to the three business representatives. MDG left a message on January 31, 2002 offering to assist with any additional information that may be needed. · Project 02-C £1 , January 22, 2002, the business owner saw the sign in the St. Joseph Business Park and called . for more information regarding lot sizes, prices and zoning or covenant regulations. This is a small manufacturer looking for approximately 2 acres. Lot prices, assessments and covenants were discussed. On February 5th MDG left a message offering to meet to review the information sent or provide additional assistance. Project 02-D January 22, 2002. This contact is considering the construction of a highway commercial building. Administrator Weyrens and MDG reviewed the site and building plans. Other: MDG followed up with County Staff regarding TIF District 1-3 and the parcel involved in the district. The 2001 distribution will be made to the City with its first tax settlement in 2002 on January 25, 2002. A pay-as-you go payment will be made for 2001 at that time. Marketing folders containing information on the community, the St. Joseph Business Park, transportation, utilities and contact information were sent to sixteen St. Cloud area realtors. Modifications were made to the inserts to the St. Joseph brochure and quotes for printing new inserts were obtained. MDG, Strack, attended the Chamber meeting on January 15, 2002 as well as toured St. Benedict's campus. Foust and Strack attended the annual Chamber banquet on February 1, 2002. . MDG, Strack, spoke with a party interested in leasing 1,000 sf of existing office space that is handicap accessible. Strack researched available existing office space and forwarded information regarding developers planning office space construction. . 70