The URL can be used to link to this page

Home My WebLink About2003 [12] Dec 17 . CITY OF ST. JOSEPH wW'(\/. cityofstjoseph .com St. Joseph Economic Development Authority Meeting Notice Administfdtor Wednesday, December 17,2003 Judy Weyrens 3:00 p.m. City Hall MdYor Ldrry J. Hosch 1. Call to Order. Councilors 2. Approval of Agenda. AI Rdssier Ross Rieke 3. Approval of Minutes. Gdry Utsch a. November 19, 2003 Regular Meeting Minutes. Ddlc Wick 4. Financial Report. a. Approval of Accounts Payable. . i. MDG, Inc. b. Financial Report. I. November 2003. ii. December 2003. 5. Business. a. High Speed Data Line to Industrial Areas. b. Draft 2003 Annual Report. 6. Director Report. a. Prospect List! Activity Report. b. Report from Staff Meeting. 7. Board Member Announcements. 8. Adjournment. - 1.~ College Avenue North' PO )ox 668 . Sdint. joseph, Minnesotd ~6,74 Phone ,1.0 ,6,.71.01 I:d x ,1.0.,6,.0,41. . THIS PAGE INTENTIONAllY lEFT BLANK . . - ~ J . CITY OF ST. JOSEPH ECONOMIC DEVELOPMENT AUTHORITY Meeting Minutes - Wednesday, November 19, 2003 Present: EDA Board Members Mike Deutz, Bruce Gohman, Larry Hosch, Ross Rieke and Tom Skahen (4:25 p.m.). Absent: None. Also present: Ted Schmidt of Lumber One and Cynthia Smith-Strack of Municipal Development Group. President Deutz called the regular meeting of the St. Joseph EDA to order at 4:10 p,m. Agenda. Moved by Gohman seconded by Rieke to approve the agenda. Motion carried 4-0. Minutes. The minutes from the October 15, 2003 Regular EDA meeting were discussed. It was noted the vote total illustrated in the final sentence on page one of the September 17, 2003 minutes should indicate a vote of 5-0 vs. 5-5. Further discussion occurred regarding verbiage included in the minutes relative to a potential conflict of interest. After further discussion, no changes were suggested. Moved by Gohman seconded by Rieke to approve the minutes from the regular EDA meeting held October 15, 2003. Motion carried 3-0 with Deutz abstaining. . EDA Accounts Payable. Strack provided an overview of accounts payable including the MDG contract for October in the amount of $1,766.04 with 41.75 hours 'banked' for the year. Moved by Gohman seconded by Rieke to approve the EDA October Accounts Payable in the amount of $1,766.04 as presented. Motion carried 4-0. Financial Report Strack provided a brief overview of EDA expenditures as of November 2003, noting that due to the shortage in staff a revenue report was forthcoming. Discussion followed regarding availability of full report for December 2003 EDA meeting. Moved by Gohman, seconded by Rieke to table the EDA November Financial Report until December. Motion carried 4-0. MDG, Inc. Contract Renewal Strack provided a brief overview of the materials included in the packet relative to the renewal of consulting contract with Municipal Development Group. Discussion occurred regarding the willingness of MDG, Inc. to increase contracted hours per month from 35 to 40 at the contract rate, resulting in an increase in the monthly contract rate. In a further attempt to reduce the amount of 'banked' hours, it was suggested MDG, Inc. review the 2004 calendar and identify four (4) weeks during which services will not be provided. The said four weeks are to be identified at the January EDA meeting. Further discussion occurred regarding the remaining weeks of the 2003 contract. EDA members directed MDG, Inc. to cancel office hours for the week of November 24, 2003 (Thanksgiving week) and identify a week in December 2003 in which office hours would be cancelled. - Moved by Hosch, seconded by Rieke to authorize and direct the EDA to execute a contract with MDG, Inc. for 40 hours of consulting services each month for a fee in the amount of $1,885.70 per month, not ~ EDA Minutes - November 19, 2003 Page 1 ~ . including reimbursable expenses, and contingent upon identification in January 2004 of four weeks during which office hours will not be scheduled. Motion carried 4-0. High Speed Data Line. Strack provided an update on access to high-speed data lines within the industrial areas of the City. Gohman noted an easement was granted to US Cable by W. Gohman Construction so as to provide services to St. Joe Vet Clinic, Metro Plumbing and Heating and W. Gohman Construction this year. Skahen arrived at the meeting (4:25 p.m.). Strack noted a request by US Cable. Staff requests authorization to organize a meeting with business owners who have expressed an interest in high-speed internet service in the past by are currently not served. Moved by Gohman, seconded by Hosch to authorize staff to proceed with organizing a meeting with business owners who have expressed an interest in high-speed internet service but are not currently served by a provider and representatives from US Cable. Water and Sewer Connection Fees. Strack provided an overview of some of the materials included in the EDA information packet. Discussion followed regarding connection fees, use of structures and tying fee an alternate rate structure. Strack described concept of enterprise funds, the use of connection fees to fund oversizing of mains and capacity which is already built but reserved for growth, analogy of 'buy in to existing system' and that the model proposed represents an average of water used by different users. Following further discussion regarding the applicability of the proposed calculation model, a member of . the public suggested the hiring of an independent firm to study alternative models. Additional discussion ensued. Moved by Hosch, seconded by Rieke to "encourage the City Council to look at the calculation of water and sewer availability charges further, citing flow in the system, and to further encourage the City Council to seek a request for proposals from additional sources to find an acceptable model for WAC/SAC calculation." Motion carried 5-0. Deutz requested itemization of water usage (by specific type vs. class) be made available to EDA members (for their information) at the next EDA meeting. Hosch excused himself from the meeting and exited the meeting. Prospect List/Activity Report. A report outlining communication with various contacts was included in the EDA's packet. Director's Report. Strack noted the staff meeting originally scheduled for 1 :00 p.m. was cancelled. Board Member Reports. Motion by Gohman, seconded by Skahen to move time of December 17, 2003 EDA meeting to 3:00 p.m.. Motion carried 4-0. Adjournment The meeting was adjourned by consensus at 5:35 p.m.. - ~ EDA Minutes - November 19, 2003 Page 2 ~ . CITY OF ST. JOSEPH WW\'(/. cityofstjoseph .com DATE: December 10, 2003 MEMO TO: St. Joseph Economic Development Authority Administrator 'Í(V\F f l ~ FROM: Joà«ne Foust & Cynthia Smi -Strack, Municipal Development Group udy Weyrens RE: Accounts Payable- November, 2003 and Financial Report Mayor Larry I. Hosch A. Accounts Payable: Following are Accounts Payable for the EDA's Consideration: Councilors AI Rassier Payable To For Fund Amount Ross Rieke MDG, Inc. November Econ. Dev. Service 150-46500-300 $1,624.60 Gary Utsch MDG, Inc. Banked hours 150-46500-300 $1,215.00 Dale Wick Total $2,839.60 Action: A MOTION is in order to approve the Accounts Payable . B. Financial Report: Attached are the October and November financial reports for the EDA. Action: A MOTION to approve the financial report is in order. - - 2. ~ Coil c g c A \' C n u e Nor t h . POI) 0 x 6 6 8 . S din t. 0 s e ph, M inn e sot d ~ 6 3 7 4 Phone ,2.0.,6,.72.01 I'd X 32.0.,6,.0'42. Æf .. INVOICE . MUNICIPAL DEVELOPMENT GROUP, INC. 25562 WILLOW LANE NEW PRAGUE, MN 56071 City of St. Joseph 952-758-7399 FAX: 952-758-3711 Attn: Judy Weyrens mdg@bevcomm.net City Administrator PO 668 St. Joseph, MN 56374 ¡Invoice Date 12-1-03 ~ Payment Terms: 30 days II Customer ID #: ST J03ED I Project November Economic Development Services See attached detail Amount: $1,500.00 Monthly contract fee-35 hrs $ 4.33 Postage and phone reimbursements $ 120.60 Mileage: 335 miles x .36 $1,624.93 Total Remit To: Municipal Development Group, Inc. 25562 Willow Lane New Prague, MN 56071 . Dates-EDA November 05, 2003 EDA Office Hours 7.00 hrs. J. Foust November 12, 2003 EDA Office Hours 7.00 hrs. C. Strack November 19, 2003 EDA Office Hours & EDA meeting 5.50 hrs, C. Strack November 24, 2003 EDA minutes 1.00 hr. C. Strack Total November, 2003 20.50 hrs - Invoice for 35 hours Banked Hours: 41.75 hours as of October 31st less (-) 14.50 from banked hours in November= 27.25 banked hours remaining. Thank you! We appreciated the opportunity to work with you! / &J I Check No. I 4A-,,_-:- "'4-~ Principal Date: . to ~. INVOICE . MUNICIPAL DEVELOPMENT GROUP, INC. City of St. Joseph 25562 WILLOW LANE NEW PRAGUE, MN 56071 AUn: Judy Weyrens 952-758-7399 City Administrator FAX: 952-758-3711 PO 668 staff@municipaldevelopmentgroup.com St. Joseph, MN 56374 Invoice Date 12-2-03 I Payment Terms: 30 days II Customer ID #: ST J03ED Project 2003 Economic Development Services -Banked Hours beyond 35 hour per month contract. Amount: 20.25 hours remaining in bank end of 2003 (see Summary) X 60.00 hourly rate for banked hours $1,215.00 Amount Due Remit To: Municipal Development Group, Inc. 25562 Willow Lane New Prague, MN 56071 . Summary: Banked Hours: 27.25 banked hours remaining s of 12-1-03. December contract = 35 hours. Proposed contract days/hours = Dec. 2nd (7 hrs), Dec. 10th (7 hrs), Dec. 11h (7 hours) and Dec. 30th (7 hrs) = 28 hours, resulting in a draw of 7 hours from the bank or 20.25 hours remaining at the end of calendar year 2003. Thank you! We appreciated the opportunity to work with you! I Check No. I GJt~Íl ~ et~c-¡ , . Principal Date: . 7 . THIS PAGE INTENTIONAllY lEFT BLANK . - ~ 8 CITY OF ST. JOSEPH 12/10/0311:15AM Page 1 EDA Expenditures . Current Period: October 2003 YTD % OBJ OBJ Descr Budget Exp Expense Balance of Budget FUND 150 Economic Development DEPART 46500 Economic Development Authority 103 Legislative Bodies $700.00 $0.00 $700.00 0.00% 151 Workers Compo Insur. Premo $100.00 $70.00 $30.00 70.00% 200 Office Supplies $500.00 $0.00 $500.00 0.00% 300 Professional Services $21,600.00 $16,822.51 $4,777.49 77.88% 303 Engineering Fee $2,000.00 $0.00 $2,000.00 0.00% 304 Legal Fees $1,000.00 $0.00 $1,000.00 0.00% 321 Telephone $1,200.00 $677.42 $522.58 56.45% 322 Postage $200.00 $100.00 $100.00 50.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 331 Travel & Conference Expense $500.00 $0.00 $500.00 0.00% 340 Advertising $500.00 $0.00 $500.00 0.00% 433 Dues & Subscriptions $0.00 $0.00 $0.00 0.00% 582 Computer Software $980.00 $0.00 $980.00 0.00% 587 Special Projects $0.00 $0.00 $0.00 0.00% 700 Misc $0.00 $25,000.00 -$25,000.00 0.00% DEPART 46500 Economic Development Autho $29,280.00 $42,669.93 -$13,389.93 145.73% FUND 150 Economic Development $29,280.00 $42,669.93 -$13,389.93 145.73% FUND 155 TIF 1-3 Borgert (SKN) DEPART 46500 Economic Development Authority . 300 Professional Services $0.00 $510.00 -$510.00 0.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 340 Advertising $0.00 $19.43 -$19.43 0.00% 600 Debt Service - Principal $0.00 $2,454.97 -$2,454.97 0.00% 611 Bond Interest $0.00 $5,991.00 -$5,991.00 0.00% 620 Agent Fees $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $0.00 $8,975.40 -$8,975.40 0.00% DEPART 49301 Transfer to other Funds 700 Misc $0.00 $15,438.97 -$15,438.97 0.00% DEPART 49301 Transfer to other Funds $0.00 $15,438.97 -$15,438.97 0.00% FUND 155 TIF 1-3 Borgert (SKN) $0.00 $24,414.37 -$24,414.37 0.00% FUND 156 TIF 1-4 St. Joe Development DEPART 46500 Economic Development Authority 300 Professional Services $0.00 $640.00 -$640.00 0.00% 304 Legal Fees $0.00 $285.50 -$285.50 0.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 340 Advertising $0.00 $19.42 -$19.42 0.00% 600 Debt Service - Principal $0.00 $0.00 $0.00 0.00% 611 Bond Interest $0.00 $0.00 $0.00 0.00% 620 Agent Fees $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $0.00 $944.92 -$944.92 0.00% FUND 156 TIF 1-4 St. Joe Development $0.00 $944.92 -$944.92 0.00% FUND 250 Revolving Loan Fund -- DEPART 46500 Economic Development Authority 490 Revolving Loan $0.00 $42,000.00 -$42,000.00 0.00% ~ DEPART 46500 Economic Development Autho $0,00 $42,000.00 -$42,000.00 0.00% FUND 250 Revolving Loan Fund $0.00 $42,000.00 -$42,000.00 0.00% c¡ CITY OF ST. JOSEPH 12/10/0311:15 AM Page 2 EDA Expenditures . Current Period: October 2003 YTD % OBJ OBJ Descr Budget Exp Expense Balance of Budget $29,280.00 $110,029.22 -$80,749.22 375.78% . - ~ /0 CITY OF ST. JOSEPH 12/10/03 11 :22 AM Page 1 EDA Revenues . Current Period: October 2003 YTD % SOURCE SOURCE Descr Budget Rev Revenue Balance of Budget FUND 150 Economic Development 31010 Current Ad Valorem Taxes $29,280.00 $0.00 $29,280.00 0.00% 31050 Tax Increment $0.00 $0.00 $0.00 0.00% 34150 TIF/MIF DEPOSIT $0.00 $0.00 $0.00 0.00% 34151 IDB DEPOSIT $0.00 $0.00 $0.00 0.00% 36210 Interest Earnings $0.00 $173.71 -$173.71 0.00% 39201 Transfers from Other Fund $0.00 $54,280.00 -$54,280.00 0.00% FUND 150 Economic Development $29,280.00 $54,453.71 -$25,173.71 185.98% FUND 155 TIF 1-3 Borgert (SKN) 31050 Tax Increment $0.00 $8,890.49 -$8,890.49 0.00% 39201 Transfers from Other Fund $0.00 $0.00 $0.00 0.00% FUND .155 TIF 1-3 Borgert (SKN) $0.00 $8,890.49 -$8,890.49 0.00% FUND 156 TIF 1-4 S1. Joe Development 31050 Tax Increment $0.00 $0.00 $0.00 0.00% 34150 TIF/MIF DEPOSIT $0.00 $0.00 $0.00 0.00% 34151 IDB DEPOSIT $0.00 $0.00 $0.00 0.00% FUND 156 TIF 1-4 S1. Joe Development $0.00 $0.00 $0.00 0.00% FUND 250 Revolving Loan Fund 33130 Federal Grants-Community $0.00 $42,000.00 -$42,000.00 0.00% 36210 Interest Earnings $0.00 $265.08 -$265.08 0.00% .6212 CDAP Loan Interest $0.00 $140.00 -$140.00 0.00% 9312 CDAP Loan Proceeds $0.00 $633.49 -$633.49 0.00% FUND 250 Revolving Loan Fund $0.00 $43,038.57 -$43,038.57 0.00% $29,280.00 $106,382.77 -$77,102.77 363.33% - - /J · THIS PAGE INTENTIONALL Y LEFT BLANK - - /2- . THIS PAGE INTENTIONAllY lEFT BLANK . - ~ I~ CITY OF ST. JOSEPH www.cityofstjoseph.com Date: December 10, 2003 Administrdtor Memo To: EDA Board Members Judy'Weyrens ];11 r /; {'--> Memo From: Joanne Foust and Cynthia Smith~track, Municipal Development Group MdYor RE: High Speed Data Line - Industrial and Commercial Areas Ldrry J. Hosch Background Councilors The EDA continues to work toward its goal of having high-speed data line plant installed in the AI Rdssier industrial areas of the City. Ross Rieke A representative from Qwest contacted MDG, Inc. on Wednesday, November 26, 2003 regarding Gdry Utsch high speed data lines in industrial areas in St. Joseph. Qwest will be installing digital subscriber lines Ddlc 'Wick in the late spring/early summer 2004 in the Buettner Business Park. The plant will be extended to serve Borgert/SKN, Amcon and possibly the Feld site. Costs to businesses are estimated at $29.00 per month depending on the bandwidth desired. US Cable: - The EDA authorized MDG, Inc. to convene a meeting with US Cable and industrial property owners - to gain information regarding the needs of the businesses. MDG, Inc. contacted a US Cable representative to gather input regarding the meeting. US Cable has not responded to the request, therefore, a meeting has not been scheduled. EDA Action: This item is for information only, no action is required. . 2.) Coil e g c A v e n u e Nor t h . POI) 0 x 6 6 8 . S din t. 0 se ph, M inn e sot d ) 6 ) 74 Phone )2.0.)6)·72.01 I:d x )2.0.)6).0)42. 11 - - THIS PAGE INTENTIONALL Y LEFT BLANK - - . IB CITY OF ST. JOSEPH - www.cityofstjoseph.com - Date: December 10, 2003 Administrdtor Memo To: EDA Board Members Judy'Weyrens --~yì\r- ~L~ Memo From: Jo-inne Foust and Cynthia mith-Strack, Municipal Development Group MdYor RE: Draft EDA Annual Report to City Council Ldrry J. Hosch Background Councilors The EDA is required to report annually on its activities to the City Council. Attached is a draft of the AI Rdssier 2003 annual report. Ross Rieke EDA Action: Gdry Utsch Input from the EDA is requested for incorporation into report. Ddlc 'Wick . . /9 2.'; College Avenue North' PO I) ox 668' Sdint. Joseph. Minnesotd ,;6374 Phone j2.0-j6j.72.01 1\1 X j2.0.j6j.Oj42. DRAFT - 2003 ANNUAL REPORT OF THE ST. JOSEPH EDA - The following activities and events occurred during the calendar year of 2003. 2003 APPOINTMENTS: The following appointments to offices were made at the February 20, 2003 EDA meeting: Chair: Mike Deutz (At-large representative, term expires 2005). Vice Chair: Larry Hosch (Mayor, term expires 2005). Treasurer: Ross Rieke (Council Representative, term expires 2006). Secretary: Bruce Gohman (At-large representative, term expires 2006). Member at Large: Tom Skahen (At-large representative, sworn in February 19, 2003; term expires 2007) Former Council Member Bob Loso diligently served as the Council Representative to the EDA from February, 2001 through December, 2002. Mr. Loso decided not to seek re-election in 2002. MEETING DATES: The St. Joseph Economic Development Authority met 17 times during the year 2003. The meeting dates were as follows: January 22, 2003 May 12, 2003 (Special) August20,2003 February 19, 2003 May 21, 2003 September 17, 2003 March 19, 2003 June 18, 2003 October 15, 2003 April 16, 2003 July 16, 2003 November 19, 2003 April 22, 2003 (Special) July 30, 2003 (Special) December 17, 2003 - May 8, 2003 (Special) August 6,2003 (Special) - MISSION: The mission of the EDA is to provide a professional management program which assists 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. 2003 PROSPECTSITECHNICAL ASSIST ANCE/COORDINA TION The EDA members and their staff/consultants worked with a number of commercial and industrial businesses during 2003. Twenty-four (24) new business contacts were made during 2003, and seventeen (17) contacts from previous years were followed up with. Of the prospects approximately 43% were commercial/service businesses while 57% were industrial or manufacturing businesses. Following is a summary of the various contacts. 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: This project was finalized in 2003 with the construction completion and lessee occupation of a 67,000 square foot production facility in the Buettner Business Park. The project included assistance from the Minnesota Investment Fund in the form of a $42,000 grant to the City of St. Joseph which was, in turn, loaned to the company for purchase of equipment. A St. Joseph revolving loan fund has been established in conjunction with the MIF grant. Project 01-E: - This project involves the expansion of an existing service business in the community. MDG has continued to remain in contact with the business on a regular basis over the past 2 1/2 years. - Project 01-F: City of St. Joseph EDA 2003 Annual Report 1 lÙ DRAFT . This project involves the locating of a fast food restaurant in the City of St. Joseph. Follow-up discussions occurred on numerous occasions throughout the past 2 1/2 years with assistance in locating potential sites and information regarding the status of individual parcels. MDG, Inc. continues to update the prospect on proposed residential and commercial/industrial expansion within the community. Project 01-J: This developer owns a commercial subdivision in St. Joseph. MDG has provided information on the available sites to prospects over the past two years. Two structures have been constructed in the subdivision with a third proposed to begin in Spring, 2004. Project 01-N: MDG, Inc. has been in contact with this prospect for the past 2 1/2 years. This prospect has purchased a commercial lot in the Indian Hill Subdivision with construction planned for 2004. Project 02-E: This company contacted the City in February, 2002 regarding commercial sites Y:z to 1 acre in size for a 5,000 square foot commercial enterprise. MDG, Inc. continues to be in contact with this prospect, who has indicated the project is still being considered, however, it is on-hold pending an upturn in the economy. Project 02-G: Construction of an approximately 13, 000 square foot facility was initiated in 2003. Project 02-H: MDG, Inc. continues to forward building and leasing information regarding this facility located in the B-2 Highway 75 Business District to prospects. Project 02-L . This company contacted the city regarding potential space for the construction of a office/warehouse and office facility. The prospect is constructing a 12,800 square foot multi-tenant building in Buettner Business Park, with plans to expand to a total square footage of 32,000. Project 02-P: This prospect was forwarded to the EDA staff by a City staff member. The staff member indicated the company was looking for expanded space to either lease or purchase. EDA staff continued to remain in contact with this prospect regarding potential lease/purchase opportunities within the city throughout the first half of the year. The project is currently inactive. Project 02-V This company contacted the City in the fall of 2002. MDG, Inc, followed-up and met with the owner to discuss sites, zoning, covenants and incentives. Follow-up on the project continued throughout the 2003, the project is currently inactive. Project 02-Y This prospect contacted MDG in the fall of 2002 indicating he had met with City representatives a few years ago regarding new construction in the Buettner Business Park. Although development plans are in initial stages at this time, MDG continues to remain in contact with this prospect. Project 02-2 This company contacted the MDG regarding relocation of their current commercial facility in the fall of 2002. MDG, Inc. worked with the prospect and a local landowner to negotiate the transfer of a subject parcel to the prospect for redevelopment/rehabilitation. The project was closed when the prospect was unable to secure financing. Project 02-AA . This prospect closed on a 3.0 acre parcel in Buettner Business Park in February, 2003. Construction of a 6,000 to 10,000 square foot facility is expected to occur in 2004. City of 81. Joseph EDA 2003 Annual Report 2 ~/ DRAFT . Project 02-CC This prospect contacted MDG in late fall, 2002 regarding available acreage within the Buettner Business Park. MDG continued to follow up with the contact throughout the year. The prospect ultimately purchased acreage in a township industrial park. Project 02-EE This developer met with MDG in December, 2003 regarding construction of a 6,000 square foot restaurant. The project is proceeding with opening expected in 2004. Project 02-FF: This prospect phoned the City in late December, 2003 inquiring about a specific lot in the Buettner Business Park. MDG, Inc. remains in contact with the prospect. Project 03-A: MDG, Inc. has been working with representatives from this project throughout the year. The property owners are interested in a highway commercial development in an area not yet annexed into the City. Project 03-B: This business contacted the city in January 2003 inquiring about availability of 1 to 1 % acres of industrial land. MDG followed up with the contact and industrial property owners. The prospect ultimately secured a parcel in the City of Richmond. Proiect 03-C: This prospect contacted the City in January 2003 regarding 2,000 sJ. of short-term commercial lease space. MDG, Inc. met with the prospects and followed up on subsequent occasions. The prospect secured short-term lease space in an existing building in Waite Park. . Project 03-0: St. Cloud Area economic development contacts were invited to a presentation at the St. Cloud Area Economic Development Partnership in January 2003 where two entrepreneur's shared their interest pursuing project involving processing plant which would flavor pre-dressed poultry for distribution to the home replacement meal market. Follow up phone calls, meetings and discussions occurred with the prospect on numerous occasions over the next few months. The prospects narrowed the field of potential locations to St. Joseph and St. Cloud and ultimately chose St. Cloud due to the size of the City. Project 03-E: This prospect met with MDG in February 2003 to receive information on lots in the Buettner Business Park. MDG provided the prospect with site information, assessment and covenants and followed up on several occasions thereafter. The prospect decided to expand at their current location in the St. Joseph Industrial Park rather than purchase land in the Buettner Business Park. Project 03-F: This prospect phoned the City requesting information on industrial zoning requirements and covenants for the Buettner Business Park. MDG, Inc. forwarded information as requested. Follow up calls revealed a firm commitment on the part of the prospect to building a pole building. Project 03-G: This prospect contacted the City via fax requesting information on industrial acreage, zoning requirements and Buettner Business Park covenants. MDG, Inc. forwarded information and followed up on several occasions. The prospect decided to purchase acreage in the Industries West Business Park. Project 03-H: This company purchased 4.0 acres in Buettner Business Park and is currently constructing a 30,000 sJ. facility. . Project 03-1: This lead contacted the City in search of 5,000 sJ. of retail space to lease. MDG, Inc. remains in contact with this prospect. City of St. Joseph EDA 2003 Annual Report 3 :{Â DRAFT - Project 03-J: - This company contacted the City regarding leasing of warehouse space in the Spring of the year. The company submitted an offer to lease an existing facility within the City, however the offer was declined. The company decided to expand in its current location in Avon. Project 03-K: This prospect contacted the City in May 2003. The prospect was in the very initial stages of researching the establishment of a retail business within the community. The prospect is currently searching for available acreage and/or lease space. MDG, Inc. remains in contact with this prospect. Project 03-L: This contact phoned the City in the Spring to inquire about the availability of lots within Buettner Business Park. MDG, Inc. has remained in contact with the prospect who did not wish to have contact information released to any other parties. The contact indicates construction is one to 1 1/2 years away. Project 03-M: Prospect 03-M contacted the City in May 2003 to inquire about commercial facilities available for lease. The prospect was seeking facilities meeting specific guidelines. Although MDG, Inc. has remained in contact with the prospect, the project is inactive at this time. Project 03-N: This project involved the purchase of industrial land for the construction of a 10,000 to 20,000 sJ. facility. The project stalled as the prospect could not reach an agreement on the purchase of property. The project has been inactive since July of this year. Proiect 03-0: -- MDG, Inc. assisted this business owner by researching various programs which may provide grant assistance to ~ culturally significant projects. Proiect 03-P: A commercial construction company approached the City on behalf of a client interested in purchasing industrial acreage. Information regarding available acreage, services available, financial assistance for qualifying projects, zoning standards, covenants and contact information for the appropriate real estate representative were forwarded to the commercial construction contact person. MDG, Inc. followed up on several occasions. The prospect ultimately purchased acreage in a different community. Project 03-Q: A real estate representative forwarded information regarding this project to the City. MDG, followed up on several occasions with the realtor who has indicated the business decided to expand in Sartell. Project 03-R: This prospect phoned the City regarding available industrial acreage to purchase. The prospect was interested in acreage below the minimum lot size within the Buettner Business Park. MDG, Inc. remains in contact with this prospect on a bi-monthly basis. Project 03-S: MDG, Inc. has been meeting with representatives of an estate which includes several acres of land guided for future industrial development. MDG, Inc. has met with representatives on several occasions and continues to work actively on the project. Project 03- T: MDG, Inc. received a call from a realtor representing a client interested in purchasing a small amount of commercial acreage. MDG, Inc. continues to work on the project. - -- Project 03-U: City of St. Joseph EDA 2003 Annual Report 4 µ DRAFT . Inquiry forwarded to MDG in October regarding a commercial development in St. Joseph. MDG, Inc. continues to be in contact with the prospect. Project 03-V: This prospect left a message for the City Administrator in October regarding expansion of an existing commercial enterprise to the City of St. Joseph. MDG attempted to follow up on a number of occasions. The prospect has entered into a purchase agreement for a facility within the City, the establishment is expected to open in Mayor June 2004. Project 03-W: This prospect phoned the City in October requesting information on the Highway 75 Business District requirements. MDG, Inc forwarded information and followed up on several occasions. The contact has indicated the project is in limbo at this time. BUILDING PERMITS: 1998 - 2003 Following is a five year comparison of building permits let for commercial and industrial projects in the City of St. Joseph: 1998 Sunset Mfging $250,000.00 1998 MCO Addition $300,000.00 1998 Borgert Products $725,000.00 1998 Kittridge Truck Storage $80,000.00 1998 Tamarack Addition $51,000.00 1998 Caseys $500,000.00 Subtotal $1,906,000.00 . 1999 Comm/rental . $175,000.00 1999 Storage $60,000.00 1999 Bank $1,200,000.00 Subtotal $1,435,000.00 2000 Vicwest Remodel $21,000.00 2000 Vet Clinci $270,000.00 2000 Gas & Bait Expansion $16,500.00 2000 Lemmer Commercial $54,000.00 Subtotal $361,500.00 2001 Spring Green $143,000.00 2001 Autobody 2000 $280,000.00 2001 Ministorage $90,000.00 2001 Sunset Mfging $80,000.00 Subtotal $593,000.00 Year Project Permit Amt. 2002 Essilor $20,000.00 2002 Scherer Trucking $26,530.00 2002 Tanner Systems $350,000.00 2002 Bill Nelson $650,000.00 2002 Vicwest $2,500,000.00 2002 American Manufacturing $210,000.00 . 2002 St. Joseph Business Ctr. $148,000.00 2002 Knight Builders $225,000.00 City of St. Joseph EDA 2003 Annual Report 5 ;21 DRAFT - 2002 Borgert Products $99,000.00 2002 Deutz $350,000.00 - 2002 Deutz $108,900.00 Subtotal $4,687,430.00 2003 Mn. Home Improvements 132,000.00 2003 OM Partnership 400,000.00 2003 OMS/MAC 1,409,000.00 2003 Lemmer Trucking 25,000.00 2003 North Central Truck Accessories 1,058,300.00 2003 BTL Properties 400,000.00 2003 OM Builders 4,895.00 2003 Midnight Haulers 2,500.00 2003 Midnight Haulers 30,000.00 Subtotal $3,461,695.00 TOTAL $12,444,625.00 DIVERSIFICATION OF THE TAX BASE: The following summary and chart indicate the progress toward the EDA's goal of diversifying the tax base: City of St. Joseph - Historical Commercial & Industrial Construction 1997 $895,000.00 1998 $1,906,000.00 1999 $1,435,000,00 - 2000 $361,500.00 - 2001 $593,000.00 2002 $4,687,430.00 2003 $3,461,695.00 Total $12,444,625.00 Historical C/I Market Value Increase I == $5,000,000 ~ >- $4,000,000 'õ ~ $3,000,000 CI):U $2,000,000 :;, ns $ ¡¡¡ 1,000,000 > $0 1997 1998 1999 2000 2001 2002 2003 i Year I - - City of 81. Joseph EDA 2003 Annual Report 6 25 DRAFT . Estimated increase new taxes annually $100,000 - $80,000 t: $60,000 ;:, 0 E $40,000 « $20,000 $0 1997 1998 1999 2000 2001 2002 2003 I Year I I ADDITIONAL PROJECTS: The St. Joseph ED A actively pursued other projects during 2003. Marketing Outreach The EDA created and distributed a survey to over forty business contacts. The purpose of the survey was to gauge the level of service offered by the City to the business community and potential commercial/industrial businesses. A limited number of responses were received with results varying widely. . EDA staff compiled and have on file a commercial/industrial property site inventory and summary of available parcels. Staff have also compiled a comprehensive list of business owners within the City. Revolving Loan Fund and MCCF Participation One of the goals of the EDA since its inception has been to form a local revolving loan fund to assist local projects with below market rate loans. In 2002 a revolving loan fund was established, principal and interest payments from a MIF granUloan have been building the fund, which has a current balance of _. The City of St. Joseph, upon EDA recommendation, has also opted to participate in the Minnesota Community Capital Foundation (MCCF). The MCCF became operable in February of this year. EDA staff have distributed information to several development prospects regarding the fund. Through the MCCF the City is able to offer up to $250,000 to qualified projects for a variety of uses (including working capital) on reoccurring basis. To date the MCCF has an estimated 62 participants. COMMISSION PARTICIPATION: St. Joseph EDA representatives participated in the Stearns County Economic Development Partnership. In addition to regular economic development activities the EDA also participated in: · Worked with local telecom providers to provide for the extension high-speed data lines to the industrial portions of the City. · Review of development plans as requested by the City Council and as authorized by the Buettner Business Park covenants. · Began working with property owners for the development of future industrial acreage. · The EDA issued a $700,000 lease revenue bond in conjunction with the construction of a public maintenance facility. The City will make lease payments to the EDA to make the bond payments. - The EDA held several special meetings in conjunction with this project and change orders related to - facility construction. City of St. Joseph EDA 2003 Annual Report 7 Z(p DRAFT - . The EDA created a proposed budget for approval by the City Council for the following funds: Fund - 150 (EDA Fund); Fund 155 (TIF 1-3); Fund 156 (TIF 1-4); and, Fund 250 (RLF). GOALS FOR 2004: Following are proposed EDA goals for 2004. The first set of goals involve participation directly by the EDA (i.e. the EDA's Work Plan), the remaining goals apply to community development in general but do not require specific action by the EDA. EDA Work Plan: Recommendations relatinQ to technoloQV: 1. Research the establishment of a low interest loan through state and regional sources or local tax levies to support commercial/industrial technology upgrades. ~ Implementation: St. Joseph Economic Development Authority and City Council. Recommendations for Downtown Commercial (Re) Development: 1. The EDA should continue to promote rehabilitation of substandard properties and/or preservation of structures for rehabilitation in the Downtown. Uses should be centered on activities dependent on pedestrian traffic. ~ Implementation: St. Joseph Economic Development Authority. 2. The EDA should gauge business interest in participating in a commercial rehabilitation program and if - strong interest exists, consider the application for funding to the Small Cities Development Program. ~ Implementation: The St. Joseph Economic Development Authority and City Council. 3. The EDA should work with the College of St. Benedict and the Chamber of Commerce to proactively and consistently promote a downtown atmosphere that projects an image and ambiance associated with St. Joseph's history and its association with higher education as a means of creating a distinct identity for the City's downtown. ~ Implementation: St. Joseph Economic Development Authority, College of St. Benedict and Chamber of Commerce. 4. Sponsor or work with community organizations and the Minnesota Green project to sponsor downtown landscape and holiday light displays which reflect the interdependence of the City and the College. ~ Implementation: St. Joseph Economic Development Authority. Recommendations for HiQhwav Commercial Developments: 1. Continue to encourage and promote efforts to achieve commercial redevelopment. ~ Implementation: Economic Development Authority. Recommendations for Industrial Development: - 1. Existing industrial uses should be retained and new industrial development should be encouraged to locate in existing industrial parks and industrially zoned areas. ~ Implementation: Economic Development Authority and City Council. City of St. Joseph EDA 2003 Annual Report 8 ;2.1 DRAFT · 2. The EDA should continue to work with property owners to develop future industrial areas adjacent to current industrial zoned land, to assure an adequate supply of industrial land is available for development in the future. ~ Implementation: Economic Development Authority. 3. The Economic Development Authority should promote industrial development that maximize the return on city investments in public facilities and services, expand the tax base, provide quality employment opportunities and compliment existing services. ~ Implementation: Economic Development Authority. 4. Industrial activities complementary to existing uses should be identified and the development of such industries should be promoted and facilitated. ~ Implementation: Economic Development Authority and City Council 5. The Economic Development Authority should work with developers of new industrial parks to develop covenants which provide for aesthetically pleasing and quality developments. ~ Implementation: Economic Development Authority. Overall: The City should focus on providing a balance of industrial growth to support the community's tax base and to provide jobs, commercial growth to provide services to employees and residents and housing · development to provide housing opportunities for all. Community Development Goals: Recommendations relatinq to the presence of the colleQe and university in the area: 1. The City and College of St. Benedict should explore cooperative ventures to provide cultural activities for the community. ~ Implementation: College of St. Benedict, City's Community Education. Recommendations relatinq to historic preservation: 1. The City Council should appoint a committee to identify the image desired for the downtown commercial district and the desirability of adopting design standards which address items such as the exposure of original architectural features, colors, awnings, construction materials and historic preservation. If determined design standards are desirable, it is recommended the City assist through the establishment of a low interest revolving loan fund to financially encourage and support such changes. Application for a commercial rehabilitation small cities development grant may assist in the fund development. ~ Implementation: City Council to appoint a committee. Recommendations for Downtown Commercial (Re) Development: 1. Governmental and semi-governmental services and buildings including the City offices and the post office impact the vitality of the downtown business district. These services should be encouraged to remain (City Hall) and permitted (Post Office) in the downtown business district. The City may wish to work with the Postal Service to extend the carrier delivery service area and post office hours. · ~ Implementation: City Council and Postal Service. City of 81. Joseph EDA 2003 Annual Report 9 28 DRAFT . 2. To further accommodate downtown (re) development the City Council should consider appointing a committee to review downtown commercial district standards or design guidelines including construction materials, colors, restoration of original architectural features, signage and awnings and/or establishing a low interest revolving loan fund to assist with the implementation of these goals. ~ Implementation: City Council. 3. Traffic circulation and congestion concerns should be addressed through volume analyses and origin- destination studies to determine causes of problems and effects if not resolved, and potential benefits to be derived by proposed solutions. ~ Implementation: Police Department, Public Works Department, City Engineer and City Council. 4. The City should consider ways to alleviate the parking shortages in the downtown through the use of signs to limit specific spaces to two hours or less parking as well as signage to direct customers to the municipal parking lot. ~ Implementation: Planning Commission and City Council. 5. New single-family housing within the downtown core area should be prohibited due to compatibility concerns. Housing more appropriate in this type of setting is of a multiple family type, such as senior housing in which residents may walk to nearby services. Adequate off-street parking and open space should be provided for residential uses. ~ Implementation: Planning Commission and City Council. . 6. The pedestrian circulation system should be enhanced by improving sidewalks, street furniture, and mitigate conflicts with traffic and street intersections by providing proper separation and signage control and enforcing such signage regulations. ~ Implementation: Public Works Department and City Council with enforcement by the Police Department. Recommendations for Hiç¡hwav Commercial Developments: 1. Commercial developments along County Road 75 and County Road 2 should be complimentary to commercial and service uses of the Downtown. ~ Implementation: Planning Commission and City Council through the identification of 'permitted uses' within the highway and general commercial areas in the zoning ordinance. 2. Commercial developments along 1-94/County Road 2 and County Road 75 should be of a specialized nature exhibiting the unique needs associated with major highway access and visibility. ~ Implementation: Planning Commission and City Council through the identification of 'permitted uses' within the highway commercial areas in the zoning ordinance. 2. A plan to extend lighting along County Road 2, from the Interstate 94/County Road 2 intersection into the community should be developed and implemented. ~ Implementation: Public Works Department, City Engineer and City Council. - -~ City of St. Joseph EDA 2003 Annual Report 10 1-1 DRAFT . 3. The City should encourage Stearns County to proceed with the right-of-way acquisition for the County Road 2/ County Road 3 bypass to allow the future planning of commercial land uses and their access points. ~ Implementation: City Council and Stearns County Highway Department. 4. Commercial and service centers should be developed as cohesive, highly interrelated and coordinated units with adequate off-street parking and appropriate regulated points of access. ~ Implementation: Planning Commission and City Council, through the zoning ordinance and site plan approval. 5. Commercial maintenance codes may be enacted and enforced to help insure that the commercial development maintains community character on an ongoing basis. ~ Implementation: Building Inspector and City Council. 6. Safe and convenient pedestrian movement should be considered within all service and commercial districts, including research on the feasibility of an overpass or underpass for bicycle/pedestrian traffic over or under County Road 75. ~ Implementation: Street Commissioner, City Engineer and City Council. Recommendations for Industrial Development: 1. Traffic generated by industrial activity should be prohibited from penetrating residential neighborhoods. . ~ Implementation: Planning Commission and City Engineer through site plan approval and long range transportation planning. 2. Existing industrial uses and new industrial development should not cause pollutants or contaminants to be emitted into the surrounding environment (including air, soils, ground water, drainageways, sanitary sewer and storm sewer) in excess of State and Federal regulations. ~ Implementation: Building Inspector and Planning Commission. 3. Industrial areas should be adequately screened and appropriately landscaped and designed according to City standards. For both existing and new industrial development, regulations should be maintained with criteria regarding: building appearance and materials; screening of outside storage areas; screening of off-street parking facilities; use of landscaping; and proper handling of environmentally sensitive areas. ~ Implementation: Planning Commission, Economic Development Authority and City Council. 4. Efforts should be undertaken to limiting heavy/noisy industry to a specific area within current and future industrial zoning districts to reduce the impact of these industries on residential areas. ~ Implementation: Planning Commission and City Council. 5. Due consideration should be given to all potential physical implications and services and facility demands (i.e., traffic generation, sewer and water demands, etc) of any proposed industrial development. Extension of utilities and annexation of areas about to become industrial in nature should occur prior to the issuance of building permits for the industrial construction. - ~ Implementation: St. Joseph Public Works Department, City Engineer, Planning .~ Commission and Council. City of St. Joseph EDA 2003 Annual Report 11 3D DRAFT · 6. The City should work with the Stearns County Highway Department to redesign County Road 133 to increase the weight limits from 9 ton restrictions to 10 ton weight restrictions or to waive the restrictions. ~ Implementation: Public Works Department, City Engineer and City Council. · - · ,~ City of St. Joseph EDA 2003 Annual Report 12 :3/ · THIS PAGE INTENTIONALL Y LEFT BLANK · · 32 - ~. ~ MUNICIPAL DEVELOPMENT GROUP. INC, DATE: December 10, 2003 MEMO TO: Economic Development Authority FROM: :JMF ¿L~ Joanne Foust & Cynthia Smith-Strack, Municipal Development Group RE: Economic Development Activity Report - November/December, 2003 Municipal Development Group, Inc. has been interacting with a number of prospects throughout the past month. Following is a summary of activities that have transpired. If you have any questions on any of these or other projects, please do not hesitate to contact us at 952-758-7399. A project number has been assigned to protect the confidentiality of the businesses prospects. Project 01-E: This project involves the expansion of a service within the community, MDG has been keeping in touch with the project contact over the past two years, the latest communication occurred via a mailing on December 10th. Project 01-F: - This company has been in contact with the EDA regarding potential sites for a commercial business since August, - 2001. MDG has forwarded the contact information on a number of sites. MDG's latest contact with the company was a mailing on December 10th. Project 01-J: This developer owns a commercial subdivision in St. Joseph and has constructed a commercial building. MDG has been working with the developer and has forwarded potential business leads. MDG's latest contact with the developer occurred via phone on December 10th. Project 01-N: This company has been searching for commercial lots for the construction of an office building since the fall of 2001. Contact with this developer has occurred on numerous occasions, the latest on December 10, 2003. Construction is expected to occur next spring. Project 02-E: This company is looking for approximately 1 acre of land for an industrial use for an expansion. MDG last followed up with the company representative via mail on December 10, 2003. The contact noted that expansion plans are now on hold. Project 02-L: This business is currently constructing a building in Buettner Business Park. MDG followed up on November 19, 2003 via phone and with a mailing on December 10, 2003. The property owner reports two leads with a possible offer for lessee. Project 02-Y: This prospect contacted MDG on October 7,2002 regarding new construction in the Buettner Business Park. MDG has had numerous follow-up conversations with the company and supplied information requested on other sites. - MDG's last followed-up occurred on December 10th via a mailing. - EDA Monthly Project Report - November, 2003 Municipal Development Group - Page 1 53 Project 02-AA: . This business purchased land in Buettner Business Park earlier this year. They are starting building and site plans for proposed construction in the spring of 2004. MDG last followed-up with the contact on December 10, 2003 via a card. Project 02-FF: This prospect contacted MDG about a year ago regarding available acreage within the Buettner Business Park. MDG followed-up most recently with via mail on December 10, 2003. Project 03-A: These developers are interested in a large highway commercial development in an area not yet annexed into the City. MDG has been working with them over the past several months. Latest contact occurred on December 8, 2003 and December 10, 2003. Project 03-1: This contact phoned the City last spring regarding 5,000 sJ. of retail lease space. MDG has been following up routinely with the last contact occurring on December 10th. Project 03-K: This contact requested information from MDG on starting a business and zoning regulations in the Central Business District, last spring. MDG most recently mailed a card on December 10, 2003. Project 03-L: This contact originally contacted the City in the spring of this year regarding industrial acreage within the community. Additional contacts have been made with the latest on December 10th. Project 03-U: . Inquiry forwarded to MDG on October 1, 2003 regarding a potential commercial development in St. Joseph. MDG followed up with the contact on December 2 and December 10th. Project 03-V: This prospect left a message for the City Administrator on Wednesday, October 08, 2003 regarding expansion of existing regional commercial enterprise to the City of St. Joseph. MDG last followed up with the contact on December 10, 2003. Project 03-W: This developer contacted the City on October 8, 2003 regarding the expansion of an existing facility. MDG has followed up by supplying information and offering assistance. The latest follow-up occurred via mail on December 10,2003. Project 03-X: This developer contacted the City on October 8, 2003 regarding the expansion of an existing facility. MDG forwarded zoning information via fax. A follow-up mailing was sent on December 10, 2003. Other: MDG met with representatives from the Feld Estate who indicated the family does want to proceed with sale of the property. Aerial photographs of the area have been layered with data regarding the joint annexation area and the future land use map from the Comprehensive Plan to determine the precise area(s) within the joint annexation agreement and future land use map. In an attempt to reduce banked office hours (41.75 hours banked as of 11-12-03), MDG was not present in the St. Joseph offices on Wednesday, November 26t1i, and will not be in the office the week of December 22nd. . EDA Monthly Project Report - November, 2003 Municipal Development Group - Page 2 3L-} WATER USAGE STUDY - ST. JOSEPH * Previous year average: cu ftImonth TYPE OF BUSINESS AVERAGE MONTHLY WATER USAGE* ultiple Family Apartments - Average per unit 244 Multiple Family Apartments - Average per unit 400 Multiple Family Apartments - Average per unit 395 Multiple Family Apartments - Average per unit 506 Multiple Family Apartments - Average per unit 624 Multiple Family Apartments - Average per unit 616 Multiple Family Apartments - Average per unit 650 Hair/Personal Care 700 Hair/Personal Care 1,050 Hair/Personal Care 8,092 Hair/Personal Care See #1 Health Service 734 Health Service 1,384 Health Service 2,750 Health/Dental Service 1,550 Health/Dental Service 1,859 Institutional 1,687 Institutional 6,109 Insurance/Real Estate/Financial 67 Insurance/Real Estate/Financial 100 I nsurance/Real Estate/Financial 100 I nsurance/Real Estate/Financial 5,592 I nsurance/Real Estate/Financial See #1 Insurance/Real Estate/Financial See #1 I nsurance/Real Estate/Financial See #1 I nsurance/Real Estate/Financial See #2 Vlsurance/Real Estate/Financial See #2 - fnsurance/Real Estate/Financial See #2 Manufacturing - durable goods 192 Manufacturing - durable goods 1,317 Manufacturing - durable goods 3,373 Manufacturing - durable goods 10,504 Manufacturing - durable goods 12,038 Printinç¡/Publishing 1,234 Processing/Retail 37,867 Professional/Office 100 Professional/Office 184 Professional/Office See #1 Professional/Office See #1 Religious Institution 1,075 Religious Institution 1,950 Restaurant 892 Restaurant , 900 Restaurant 1,675 Restaurant 2,275 Restaurant 2,392 Restaurant 3,742 Restaurant 4,592 Restaurant 4,767 Restaurant Bar 2,742 Restaurant Bar 4,292 Restaurant Bar 5,584 . ~estaurant Bar 10,059 tetail 350 Retail 1,725 Retail 3,509 Retail 4,300 TYPE OF BUSINESS AVERAGE MONTHLY WATER USAGE* Retail See #2 Retail 1,100 etail w/ carwash 15,742 etail w/ carwash 17,783 Transportation Service 100 Wholesale 70 Wholesale/Office 50 Wholesale/Office 184 Wholesale/Office 384 Wholesale/Office 2,117 #1 SI. Joseph Business Center contains: Cost CuUers, Home TO'HJ1 Title, EasllWest Realth, Mortgages 011 Main, Petre\( law Offices, and Frieler, Habben & Company #2 Induded in St. Joe Gas & BaillT ouchless Car Wash . - -