HomeMy WebLinkAbout2004 [06] Jun 16
CITY Of ST. JOS'E'PH
www.cityofstjoseph.com
.
St. Joseph Economic Development Authority
Meeting Notice
Administrator Wednesday, June 16, 2004
ludy Weyrens 3:00 p.rn.City Hall
MdYor
Lorry I. Hosch 1. Call to Order.
Councilors 2. Approval of Agenda.
AI Rassier
Ross Rieke 3. Approval of Minutes.
Gdry Utsch 'a. April 28, 2004. Joint Meeting with City Council. .
Dale 'Wick b. May 19, 2004. Regular Meeting.
4. Financial Report.
a. Approval of Accounts Payable.
b. Financial Report.
. 5. Business.
a. "New" Industrial Park Project Update.
b. Referral of Business Leads to Township Industrial Park.
c. Legislative Updàte.
6. DirectorReport.
a. Prospect List/Activity Report.
7. Board Member Announcements.
8. Adjournment.
.
2.) College Avenue North' PO Box 668 . Saint. Joseph, Minnesota .,6,74
Phone ,2.0.,6,,72.01 fa x 12.0.16,,0142.
DRAFT
April 28, 2004
Page 1 of 2
· Pursuant to due call and notice thereof, the 81. Joseph City Council and the EDA for the City of 81.
Joseph met in joint session on Wednesday, April 28, 2004 at 4:30 PM in the St. Joseph City Hall.
City Council Members Present: Mayor Larry Hosch. Councilors Gary Utsch, AI Rassier, Ross Rieke,
Dale Wick. Administrator Judy Weyrens.
EDA Members Present: Chair Ross Rieke. Members Tom Skahen, Larry Hosch, Bruce Gohman,
Michael Deutz. EDA Director Cynthia Smith-Strack.
Alternative Transportation routes: Hosch stated the City is beginning to discuss future transportation
corridors in anticipation of the realignment of County Road 2. The City Engineer has prepared four (4)
scenarios for discussion purposes only. The Council has already discounted one option as the proposed
design routed traffic away from the downtown area. Weyrens clarified that at this time the City is only
seeking feedback on general traffic patterns. The transportation study will facilitate and determine the
exact location of the road. Hosch stated that Stearns County has scheduled the re-alignment of County
Road 2 for 2007.
Deutz questioned how traffic will be encouraged to continue to the downtown area instead of by-passing
the City to County Road 75. Hosch stated that whatever transportation route is selected, the design
should not make it difficult or an effort to go to the downtown area. The main purpose of the by-pass is
to route truck traffic away from the residential district. Discussion also included the following:
· Rassier stated that he would like to see an intersection at Highway 75 and County Road 2.
· Signalization at County Road 2 will create a viable commercial intersection and in the planning
process, consideration should be given to assure that the intersections parcels are developable.
· The proposed alignments have been forwarded to the developers of Gateway Commons for
comment.
· The current Orderly Annexation Agreement does not extend to all property being discussed at
· this time. The City should consider approaching St. Joseph Township to discuss the potential
expansion of the Orderly Annexation area.
· At the present time there is a disadvantage to the City if property abutting County Road 2 is
annexed. If the property is in S1. Joseph Township, Stearns County will pay for the right-of-way
cost of the realignment.
· Gohman suggested the City hire a master planner to determine the optimal lot size for
commercial development. This should be done before the location of the road is determined so
thatthe intersection can provide for prime commercial development.
· Wick questioned why we would put residential developments near commercial developments.
Gohman and Hosch agreed that different land uses should be able to co-exist with one another.
They believe that business can merge with residential developments if the business serves the
neighborhood. Rieke believes that we want to harvest on commercial developments but we also
need to help residential developments.
Discussion on proposed Industrial Park: Strack stated that the EDA has been researching alternative
Industrial Property as there is very little property left for Industrial Development. She further stated that
she has contacted the owner representative for the St. Joseph Business Park and he has indicated that
only two lots have not been sold. Strack stated that she has had numerous discussions with
representatives from Borgert, who have approximately 7.32 Acres of Industrial property adjacent to Elm
Street. This area has municipal services and improved roadways.
Deutz questioned the zoning of the two parcels of the Buettner Plat that are designated as Highway
Business. He stated it is his opinion that these properties could be developed commercially as they are
not visible for County Road 75. Gohman stated that when the property was platted the EDA allowed the
property owner to retain the frontage lots for commercial.
Strack stated that she has also been in contact with the owners of the Feld Property and will be meeting
· with a potential developer on April 30, 2004 to discuss a possible public/private partnership in conjunction
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DRAFT
April 28, 2004
Page 2 of 2
with an Industrial Park. She questioned those present as to what assistance, if any, the City would be .
willing to provide to help the creation of a new industrial park. The Council agreed that the City should
not be taking a risk on development and would be willing to work with the developer and possibly issue
improvement bonds.
Strack stated that the City/EDA could develop a portion of the Feld property, perhaps starting with 40
acres, creating lots with a 3 acre minimum. In order for the Feld property to be developed, utilities and
streets would have to be extended. The estimate to extend services as provided by SEH is
approximately $ 2.6 Million. At that rate, the lots would have to sell for approximately $ 60 - $ 75 per
acre, which is greater than the market will bear. The current industrial property is selling for
approximately $ 40 per acre.
The members came to a conclusion stating that for a new industrial development to prosper, it must be in
a good location and be accessible. Right now, we are a growing metropolitan area and accessibility is not
that great.
Other Matters
Buildinq Official: Skahen stated he has received some feedback regarding the new Building Official and
questioned the Council if the City has expanded the service or received the service that was promised.
Hosch stated that in his opinion the services provided have exceeded the past service as the City has a
Building Official working 40 hours per week. Some contractors have experienced difficulty adjusting to
the new process, but the concerns of the contractors are declining. Inspectron is working on providing
an Inspector for St. Joseph but has yet to find a qualified individual. It is anticipated that by early summer
an Inspector will be in place.
Next Meetinq: The members of the EDA and of the City Council have decided that they would like to meet
3-4 times per year to discuss items of mutual concern. The meetings will be scheduled as issues arise. .
Wobeqon Trailhead Center: Skahen stated that on Friday, April 30, 2004, the St. Joseph Chamber of
Commerce will be turning the keys for the Wobegon Trailhead Center over to the City. Skahen
commended Deutz for his time and commitment to the project.
Landscapinq: The Sentence to Serve crew will be at the City offices the week of May 17, 2004 to work
on the landscaping around City Hall. Rassier stated that he received quotes for the landscaping material
and will have the matter placed on the May 6, 2004 Council agenda.
The meeting was adjourned by consensus.
Judy Weyrens
Administrator
.
4
CITY OF ST. JOSEPH
. ECONOMIC DEVELOPMENT AUTHORITY
Meeting Minutes - Wednesday, May 19, 2004
Present: EOA Board Chairperson Ross Rieke, Board Members Mike Oeutz and Tom Skahen.
Absent: EOA Board Members Bruce Gohman and Larry Hosch.
Also present: Cynthia Smith-Strack of Municipal Development Group.
Chairperson Rieke called the regular meeting of the St. Joseph EOA to order at 3:12p.m.
Agenda.
Moved by Deutz seconded by Skahen to approve the agenda with the deletion of item 3(b) "Approval of
April 2é1h Joint EDA/CC Minutes". Motion carried 3-0.' .
Minutes.
The minutes from the April 21, 2004 Regular EDA meeting were discussed. The date of the joint EDA/CC
meeting was inadvertently represented in the meeting minutes as May 28th rather than April 28th.
Moved by Skahen seconded by Deutz to approve the minutes from the regular EDA meeting held April
21, 2004 subject to a change in the joint meeting date referenced from May 2Eih to April 2fjh. Motion
carried 3-0.
EDA Accounts Payable.
Strack provided an overview of accounts payable.
. Motion by Deutz, second by Skahen to approve EDA accounts payable in the amount of $2,206.89.
Motion carried 3-0.
Financial Report
Strack provided an overview of the EDA Fund Balance, Revenue, Expenditure and Check Legder reports
for the month of April. The EOA financial report was briefly reviewed.
Moved by Deutz, seconded by Skahen to approve the financial report. Motion carried 3-0.
Future Industrial Park.
Strack provided an overview of the contact that has been on-going with representatives from the Feld
property and updated the Board on a meeting with a perspective developer on April 30th and contact with
another perspective developer initiated by MDG. . Strack also indicated the City Engineer was reviewing
the possibility of looping both water and sewer utilities to a portion of the Feld Property (southeasterly) to
allow initial phasing of a project.
Strack presented information regarding discussions/meetings with representatives of the Bo~gert Property
and discussions with the City Engineer regarding extension of utilities to three 1.35 acre parcels south of
19th Avenue.
Marketing of Township Industrial Park.
Deutz recused himself from the EDA Board. Deutz requested the EDA reconsider allowing the disclosure
of limited information by City EDA staff regarding an industrial park located within the joint annexation
area of which he is a fee owner. Deutz requested the EDA staff initiate the transfer of information
regarding the industrial park when suitable developers contact the City. At the present time, pursuant to a
discussion at an EDA meeting in November of 2003, staff acknowledge the presence of the park if a
. perspective developer broaches the subject.
,EDA Minutes - May 19, 2004 Page 1
S
Skahen indicated he did not see a problem with sharing information regarding the township industrial
park, but did recognize a wide difference between the phase "marketing the park" and simply referring ·
leads to the property owner(s).
Rieke recognized that the volume of lots available has changed in recent months and he expressed a
desire to not turn potential developers away due to lack of available lots. He also indicated a desire to
further Bxplore the issue in that some things will likely fit while others may not.
Staff suggested further defining the specifics of referrals, for example, if/when information regarding the
park should be voluntarily disclosed and what specific, defined actions the property owner(s) were
requesting.
Following additional discussion the issue was tabled until the next EDA meeting due to the lack of a
voting quorum following Deutzs' recusal.
Development of Community Identity
Strack indicated that in light of discussion regarding the promotion of Downtown St. Joseph in conjunction
with the extension of CSAH 3 and further determination of a southern collector street, EDA staff prepared
information regarding the promotion of a sense of place/ identity within the Downtown. Strack reported
various methods of promoting the sense of place werelhave been discussed in the past, but action had
not materials. Staff wished to discuss the issue of community identity with the EDA to determine what, if
anything the EDA could/should do to further the subject.
Rieke indicated the concept of community identity sounded great, but he was concerned about fiscal
priorities and allocation of staff time to other projects. Skahen recognized the presence of the College of
St. Benedict in the Downtown's identity comparing it to Dinkytown in Minneapolis near the University of
Minnesota. Skahen further indicated he was not sure where Downtown began or ended.
The EDA further discussed previous efforts and possible means of gaining additional input from area ·
residents regarding what came to mind when they thought of "Downtown St. Joseph." The availability of
parcels and resources to assist projects within the Downtown were also discussed.
Following additional discussion the EDA recommended other committees/commissions drive efforts to
further define a Downtown identity at this time.
Prospect List/Activity Report.
A report outlining communication with various contacts was included in the EDA's packet.
Board Member Announcements.
None.
Adjournment
Motion by Oeutz, seconded by Skahen to adjourn. Motion carried 3 - O. Meeting adjourned at 4:35 p.rn.
·
EDA Minutes - May 19, 2004 Page 2
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It.
CITY OF ST. JOSEPH
· www.cityofstjoseph.com
DATE: June 9, 2004
Administfdtor MEMO TO: St. Joseph Economic Development Authority
Judy Weyrens
FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
MdYor RE: Accounts Payable- May 2004 and Financial Report
Ldrry J. Hosch
Councilors A. Accounts Payable:
AI Rðssier Following are Accounts Payable for the EDA's Consideration:
Ross Rieke Payable To For Fund Amount
Gdry Utsch MDG, Inc. May Econ. Dev. Service 150-46500-300 $~jl~&j?o
",.,_f">,.~,,·,,C'"Jc'
'Oðle Wick
Total $2;;;ÜS5B70
,;;;-(t-",--_;,:··,.::.:,;:"
Action:
A MOTION is in order to approve the Accounts Payable.
· . B. Financial Report:
Attached are the April financial reports for the EDA consisting of:
1. EDA Revenues.
2. EDA Expenditures.
3. Check Register
4. Fund Balances (Econ Dev. 150, TIF 1-3 155, TIF 1-4 156 and RLF 250).
Action:
A MOTION to approve the May financial report is in order.
·
2.~ College Avenue North' PO Box 668 . Sdint. Joseph. Minnesotd ,,6,74
Phone )2.0.,6".72.01 Fd x )2.0.,6,.0'42.
?
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~. Invoice
Municipal Development Group Invoice Number:
25562 Willow Lane STJ060104
New Prague, MN 56071
United States Invoice D.
MUNICIPAL May 31, 20
Voice: 952-758-7399 DEVELOPMENT GROUP, INC. Page:
Fax: 952-758-3711 1
Duplicate
Sold To: Ship to:
CITY OF ST. JOSEPH
PO BOX 668
ST. JOSEPH, MN 56374
i Customer ill I Customer PO Payment Terms
I ST. JOSEPH I Net 30 Days
Sales Rep ill 1 Shipping Method I Ship Date I Due Date
I Airborne I I 6/30/04
i Quantity Item I Description I Unit Price I Extension
i 1.00 ~onthlY contract EDA for 40 I 1, '85. 71 1,885.70
I
I
I Ìhour s. 32.5 actual hours: May
! I -
¡
I ~th (7.0), May 12th (7.5), May I
I I I
I ~9th (7.5), May 26th (7.5), May i I
I
! I I
I 7th (3.0) I
I 1. OO~ileage !
I Mileage: 720 miles for Mav , 270.00 270. "
I J eetings at .375 per mile-
I (-12.0 hours as of April 30th
i ith additional -7.5 in May ~
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I 19.5 hrs owed by MDG in 2004)
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Subtotal 2,155.70
Sales Tax
Total Invoice Amount 2,155.70
Check No: Payment Received 2,155..
TOTAL
25562 Willow Lane · New Prague, MN 56071 . (952) 758-7399 . Fax (952) 758-3711
www.municipaldevelopmentgroup.com · staff@municipaldevelopmentgroup.com
S
CITY OF ST JOSEPH 06/09/04 3:33 PM
Page 1
EDA Expenditures
. Current Period: May 2004
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 $0.00 $100.00 0.00%
200 Office Supplies $500.00 $131.12 $368.88 26.22%
300 Professional Services $27,000.00 $8,757.42 $18,242.58 32.43%
303 Engineering Fee $2,000.00 $2,172.00 -$172.00 108.60%
304 Legal Fees $1.000.00 $0.00 $1,000.00 0.00%
321 Telephone $1,200.00 $129.46 $1,070.54 10.79%
322 Postage $200.00 $2.00 $198.00 1.00%
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 $1,000.00 $0.00 $1,000.00 0.00%
433 Dues & Subscriptions $0.00 $0.00 $0.00 0.00%
582 Computer Software $300.00 $0.00 $300.00 0.00%
587 Special Projects $0.00 $0.00- $0.00 0.00%
700 Mise $0.00 $0.00 $0.00 0.00%
DEPART 46500 Economic Development Autho $34,500.00 $11,192.00 $23,308.00 32.44%
FUND 150 Economic Development $34,500.00 $11,192.00 $23,308.00 32.44%
FUND 155 TIF 1-3 Borgert (SKN)
DEPART 46500 Economic Development Authority
300 Professional Services $838.00 $0.00 $838.00 0.00%
. 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00%
340 Advertising $50.00 $0.00 $50.00 0.00%
600 Debt Service - Principal $5,330.00 $0.00 $5,330.00 0.00%
611 Bond Interest $11,562.00 $0.00 $11,562.00 0.00%
620 Agent Fees - $0.00 $0.00 $0.00 0.00%.
DEPART 46500 Economic Development Autho $17,780.00 $0.00 $17,780.00 0.00%
DEPART 49301 Transfer to other Funds
700 Mise $0.00 $0.00 $0.00 0.00%
DEPART 49301 Transfer to other Funds $0.00 $0;00 $0.00 0.00%
FUND 155 TIF 1-3 Borgert (SKN) $17,780.00 $0.00 $17,780.00 0.00%
FUND 156 TIF 1-4 St. Joe Development
DEPART 46500 Economic Development Authority
300 Professional Services $0.00 $0.00 $0.00 0.00%
304 Legal Fees $5,409.00 $0.00 $5,409.00 0.00%
327 Tax Increment Certification $0.00 $0.00 $0.00 0.00%
340 Advertising $100.00 $0.00 $100.00 0.00%
600 Debt Service - Principal $28,198.00 $0.00 $28,198.00 0.00%
611 Bond Interest $21,381.00 $0.00 $21,381.00 0.00%
620 Agent Fees $0.00 $0.00 $0.00 0.00%
DEPART 46500 Economic Development Autho $55,088.00 $0.00 $55,088.00 0.00%
FUND 156 TIF 1-4 St. Joe Development $55,088.00 $0.00 $55,088.00 0.00%
FUND 250 Revolving Loan Fund
DEPART 46500 Economic Development Authority
304 Legal Fees $0.00 $0.00 $0.00 0.00%
. 490 Revolving Loan $0.00 $0.00 $0.00 0.00%
DEPART 46500 Economic Development Autho '$0.00 $0.00 $0.00 0.00%
cr
CITY OF ST JOSEPH 06/09/04 3:33 PM
Page 2
EDA Expenditures
Current Period: May 2004 .
YTD %
OBJ OBJ Descr Budget Exp Expense Balance of Budget
FUND 250 Revolving Loan Fund $0.00 $0.00 $0,00 0.00%
$107,368.00 $11,192.00 $96,176.00 10.42%
.
.
)0
CITY OF ST JOSEPH 06/09/04 3:34 PM
Page 1
EDA Revenues
. Current Period: May 2004
YTD %
SOURCE SOURCE Oeser Budget Rev Revenue Balance of Budget
FUND 150 Economic Development
31010 Current Ad Valorem Taxes $0.00 $0.00 $0.00 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 -$25.31 $25.31 0.00%
39201 Transfers from Other Fund $34,500.00 $0.00 $34,500.00 0.00%
FUND 150 Economic Development $34,500.00 -$25.31 $34,525.31 -0.07%
FUND 155 TIF 1-3 Borgert (SKN)
31050 Tax Increment $17,780.00 $0.00 $17,780.00 0.00%
39201 Transfers from Other Fund $0.00 $0.00 $0.00 0.00%
FUND 155 TIF 1-3 Borgert (SKN) $17,780.00 $0.00 $17,780.00 0.00%
FUND 156 TIF 1-4 S1. Joe Development
31050 Tax Increment $55,088.00, $0.00 $55,088.00 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 $55,088.00 $0.00 $55,088.00 0.00%
FUND 250 Revolving Loan Fund
33130 Federal Grants-Community $0.00 $0.00 $0.00 0.00%
36210 Interest Earnings $0.00 $16.87 -$16.87 0.00%
36212 CDAP Loan Interest $1,383.00 $500.23 $882.77 36.17%
.9312 CDAP Loan Proceeds $7,899.00 $2,593.73 $5,305.27 32.84%
F 250 Revolving Loan Fund - $9,282.00 $3,110.83 $6,171.17 33.51%
$116,650.00 $3,085.52 $113,564.48 2.65%
.
II
CITY OFST JOSEPH 06/09/04 3:35 PM
Page 1
EDA Check Register
·
CHECK # Search Name Comments FUND DEPART Amount
034257 MUNICIPAL DEVELOPMENT CORP apr EDA services 150 46500 $2,206.89
034266 US LINK april phone service 150 46500 $32.84
034318 SEH engineering-EDA in 150 46500 $159.00
$2,398.73
·
·
)2-
CITY Of ST. JOSEPH
. www.cityofstjoseph.com
DATE: June 9, 2004
MEMO TO: 81. Joseph Economic Development Authority
Administrator FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
Judy Weyrens
RE: Future Industrial Park
MdYor
Ldrry I. Hosch Background Feld Property:
The Economic Development Authority has been researching the development of additional
Councilors improved industrial park acreage in St. Joseph. MDG, Inc. has been in contact with
AI Ròssier representatives from two separate property owners: representatives of the "Feld Property" and
Ross Rieke representatives of the "Borgert Property". .
Gdry Utsch As you are aware, the Feld property includes six parcels and approximately 320 acres; the
Ddle Wick Borgert property approximately 11.3 acres. Following is an update of pertinent events
transpiring over the past month regarding each property:
Feld Property: MDG received a phone call from a Minneapolis-based commercial realtor
regarding the need for 500 to one-million square feet of la(ld for the location of a redistribution
. facility. Staff drafted letter and associated information and mailed to the contact, then phoned
the Feld Property representative and gave him the realtor's name and phone number. The real
, estate firm phoned for additional information regarding the site and financial incentives. Last
contact-occurred on June 7,2004.
Borgert Property: The property owner representative has indicated he and his associate have
met repeatedly with property owners and they feel the project will move forward in the near
future. . The property will likely have to be re-subdivided. The City Engineer developed
preliminary estimates for services the southeastern-most parcels in current Borgert Industrial
Park Plat 2 with municipal utilities and public right-of-way. MDG representatives met with
project representatives for an extended period on June 9th to discuss re-subdivision of the
property and extension of right-of-way and utilities to the subject property. The project
representatives will now present information to the property owner to formulate a timeline for the
project.
Action:
This item is for your information only.
.
2." College Avenue North' PO Box 668 . Sdint. Joseph, Minncsotd .,6,74
Phone 12.0.,61.72.01 ¡:d x ,2.0.16,.0142.
\.3
CITY OF ST. JOSEPH
.' www.cityofstjoseph.com
DATE: June 9, 2004
MEMO TO: St. Joseph Economic Development Authority
FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
Administrdtor
ludy Weyrens RE: Referral of Leads to Owners of Industrial Park in St. Joseph Township
MdYor Background:
Larry J. Hosch, EDA Board Member Deùtz has requested the EDA reconsider referring of development leads
by the City to the owners/representatives of an industrial park in the township. Deutz has made
Councilors the" request in light of the EDA's efforts to provide or make available additional improved
AI Rassier industrial lots.
Ross 'Rieke Mr. Deutz is one of the fee owners of record for the subject property. The EDA reviewed this
Gdry Utsch request· initially in the fall of 2003 and moved to assist the property owners in pursuing
Odle Wick annexation, but declined to actively refer leads to the owners of the township park since it was
not urban or about to become urban in nature.
At the May 19th regular EDA meeting the EDA Chair recused himself from discussion resulting
in the lack of a quorum. Therefore, the item has been carried over to the June meeting.
. Specifically, the property owners are requesting that business leads brought to the City's
attention and involving the purchase of greater than four' acres or less than three acres of
. industrial property be actively referred to the township industrial park owners until such a time
as additional industrial acreage within the City becomes available.
Request:
Staff requests input from the EDA regarding reconsideration of making referrals to the owners of
industrial property in the township.
.
2." College Avenue North' PO Box 668 . Sdint. Joseph. Minnesotd .,6,74
Phone 12.0.,6,·72.01 I:d x 12.0.,6,.0'42.
)S
CITY OF ST. JOSEPH
. www.cityofstjoseph.com
DATE: June 9, 2004
MEMO TO: St. Joseph Economic Development Authority
Administrdtor FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
ludyWeyrens
RE: Legislative Update
MdYor
Larry I. Hosch Background
The regular Minnesota Legislative Session for 2004 closed in mid-May leaving a number of
Councilors items pending. Initially a special session was expected to be called to act on the state
AI Rdssier bonding bill and budgetary items, but is now seemingly becoming more of a remote
Ross Rieke possibility. One DEED official has put the chance of a special session at 50/50 although
Gdry Utsch reports of a special session have been increasing in the past few days. Following is a
summary of bills/items relating to Economic Development which were introduced in the
Odfe Wick 2004 legislative session:
1. Reallocation to the Greater Minnesota Business Infrastructure Development
Program. This is the program that assists cities in greater Minnesota with extension
of infrastructure to industrial parks. Bills were introduced in both the House and
. Senate which proposed reallocation in the amount of $25 million. Proposed bills
were incorporated in the state bonding bill .and the proposed allocation reduced to
$14 million (still double the amount of the initial program allocation). The legislative
session closed without action on the bonding bill. -A special session may be called.
2. Broadband Infrastructure Grant Program. This program, proposed to be
administered by DEED, would assist in the extension of high-speed data lines in
Minnesota communities. An initial allocation of $1 million was included in the
bonding bill. The legislative session closed without action on the bonding bill. A
special session may be called.
3. Changes to TIF statutes. Proposed changes to statutory text relative to TI F
includes several items which, according to the Economic Development Association
of Minnesota (EDAM), clean up inconsistencies in existing language along with a
few more substantial changes. Among them are proposed revisions applicable to
Housing TIF districts. A requirement limiting the percent of proposed development
that can be other than low-moderate income housing (Le. market value test) is
proposed for deletion. New language proposed for housing TIF districts restricts
the percent of non-low and moderate income housing (e.g. retail, if a mixed use
facility) to a maximum of 20 percent of the project. Proposed language is included
in the omnibus bill; the legislative session adjourned without action. A special
session may be called.
4. Business Assistance. Proposed text amendment allows job creation/retention goals
to be combined throughout separate facilities owned by the company within the
City. Proposed language is included in the omnibus bill; the legislative session
adjourned without action. A special session may be called.
.
2.) College Avenue North' PO Box 668 . Sõint. joseph. Minncsotd )6,74
Phone 12.0.161.72.01 fõ x 12.0.161.0,42.
11
5. Tax Abatement Term Limit. Proposed amendment would increase the maximum
duration of tax abatement assistance from 10 to 15 years and from 15 to 20 if other .
minor subdivisions did not participate in the abatement. The bill was laid over for
possible inclusion in the public finance bill. Legislative session adjourned prior to
action, special session may be called.
Action
This item is provided for your information only.
.
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~
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. é,.
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, . ,
MUNICIPAL
DEVELOPMENT GROUP, INC.
DATE: June 9, 2004
MEMO TO: EconomicDevelopment Authority
FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
RE: Economic Development Activity Report - May 2004
Municipal Development Group, Inc. has been interacting with a number of prospects throughout the past two
months. 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. Interest in various sites has increased over the past two months.
Previous correspondence occurred on April 26th and June 2nd.
. 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 phoned the project
contact on May 15th and met briefly with the representative regarding this -subject on May 26th. ,Most recent
contact occurred via phone on June 9th. . '
Project 01-J:
The developer contacted the City in the fall of 2001 regarding the development of a commercial subdivision.
Since that time the company and EDA representatives have remained in contact. The developer has
constructed a commercial lease facility and has commercial lease space available. MDG last followed up
with the Developer on May 19th and May 26th and June 2nd.
Project 02-E:
This company is looking for approximately 1 acre of land for an industrial use for an expansion. MDG
followed up with the company representative via email on June 9, 2004.
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. File closed on May 19th as prospect purchase a lot in the township.
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 summer/fall of 2004. MDG followed-up with the contact on May 19th
and June 2nd and 9th.
. Project 02-FF:
This prospect contacted MDG in December of 2002 regarding available acreage within the Buettner
Business Park. The development prospect visited St. Joseph in mid-April to tour the remaining lots in
EDA Monthly Project Report - May 2004 Page 1
Iq
Buettner Business Park as well as the potential future industrial park area. MDG followed up on May 5th with
the contact indicating he was going to take a wait & see approach for the time being. ·
Project 02-R:
This business originally contacted the city in June, 2002. They have been researching an expansion project
and industrial site to accommodate their long-range needs. The company has purchased a lot in Buettner
Business Park and is researching financial assistance programs. Most recent interaction was via email on
June 2, 2004.
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 few years. Additional follow up contact occurred on
May 19th, 20th and 26th and June 9th. The developers intend to request plat approval in 2004 with
construction in 2005.
Project 03-1:
This contact phoned the City last spring regarding 5,000 s.f. of retail lease s~ace. MDG has been following
up routinely with the contact. Contact occurred most recently on May 19t. The contact is interested in
finding a franchise owner locally.
Project 03-R:
This prospect contacted the City in the summer of 2003 inquiring about vacant industrial acreage. MDG
forwarded information and continues to remain in contact with the prospect. MDG, Inc. last followed up on via
phone on June 2nd and June 4th. The development contact requested contact information for the
representatives of Project 04-D. MDG disclosed contact information and phoned Project 04-D
representatives to do the same.
Project 03-5: ·
This project involves the possible expansion of the industrial acreage in the community. MDG has been
working with the property owners on the project since August of 2003. MDG has been in contact with the
property owners and City E;ngineer. Routine project correspondence occurred on May 5th and j ih. On May
26m a Minneapolis-based commercial realty search firm contacted MDG regarding the need for large amount
of land for a redistribution facility. MDG drafted letter and associated information and mailed and phoned the
property owners to give them the realtor's contact information. The real estate search firm contacted MDG
on June 4th and ih for additional information regarding the available acreage, local transportation network
and financial incentives.
Project 03-U:
Inquiry forwarded to MDG on October 1, 2003 regarding a potential commercial development in St. Joseph.
MDG followed up last occurred on May 1ih and 26th and June 9th.
Project 04-8:
This builder contacted the city on March 16th regarding availability of industrial lots in the city and financial
programs to assist with a project. On April 28, 2004 MDG was informed of the develorer's purchase of Lot
1, Block 1 Buettner Business Park 3. MDG last followed up with the contact on May 19t via phone.
Project 04-C:
The Stearns Co. HRA forwarded this solicitation to the city for a potential large scale commercial
development. The large scale commercial development is subject to legislative approval and currently
proposed for a site in the Twin Cities Metro Area and not Greater Minnesota. The project file has been
closed.
Project 04-D:
MDG contacted the owner of industrial acreage within the corporate limits regarding interest in re-subdividing
and marketing acreage. The property owner expressed an interest in possibly re-subdividing. MDG ·
continues to follow up with the project representative and City Engineer regarding the project. Latest follow
up occurred on May 5th, 10th, 1 ih, 19th and 26th and June 2nd. Project representatives phoned City Hall on
EDA Monthly Project Report - May 2004 Page 2
z{)
June ih and scheduled a meeting with MDG on June 9th., MDG and two project representatives met for an
. extended period to discuss re-subdivision and utilitylroadway extension to the subject property.
Project 04-E:
This pr:ospect contacted MDG on April 21st regarding demographic and economic development data for St.
Joseph. The prospect is considering a leasing commercial retail space in the community. Follow up occurred
on May 5th and June 9th.
Project 04-F:
This prospect contacted MDG on May 3rd regarding commercial lease space in the downtown area. MDG
met with the prospect on May 5th, forwarded information to the contact on May 6th and corresponded via
phone with the contact on May ih. A second meeting was scheduled and held May 1 ih. Additional
discussion followed on May 13th, May 14th, May 19th and May 26th.
Project 04-H:
A representative of a downtown land owner phoned MDG, Inc. on May 24th regarding a meeting on May 26th.
Staff met with the representative for an extended period of time on May 26th to discuss (1) CBD permitted
and condìtional uses, (2)parking requirements, (3) parcel information, aerial photo of the property, (4)
redevelopment and renovation/renewal TIF and (5) the Comp Plan land use element for District 5. MDG
followed up with the contact on June 9th.
Other:
Staff hosted an hour long tour of development within the City with the Board of Directors of Stearns Electric
on Thursday, May 2ih.
.
.
EDA Monthly Project Report - May 2004 Page 3
C!
Stearns Electric Association
Headquarters Branch Office
. 900 East Kraft Drive· Melrose. MN 56352-0040 7341 Old Hwy. 52 . St. Cloud, MN 56303
Phone: (320) 256-4241 . Fax: (320) 256-3618 Phone: (320) 259-6601 .. Fax: (320) 259-7099
,
May 28, 2004
Ms. Cynthia Smith-Strack
City of St. Joseph
P.O. Box 668
St. Joseph, MN 56374
Dear Cynthia,
Thank you very much for taking the time to meet with the Board of Directors and
executive staff of Steams Electric Association. We very much appreciate you providing
us with a tour of some of the development taking place in the City of St. Joseph.
Seeing first-hand the new housing developments and prospects for commercial growth
was quite impressive. By sharing your expertise with use, we gained in our understanding
ofthe challenges facing the City. Not only does this help us in our future planning but we
learn of ways in which we can do a better job in serving the City's needs.
. Thank you again for taking the time to meet with us. We really enjoyed our tour.
_ Please let me know if we can be of assistance.
~
Da ruenes
District Manager \
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.
A Touchstone Energy® Cooperative ~i:~,
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