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HomeMy WebLinkAbout2004 [09] Sep 15 CITY O.F ST. JOSEPH' · www.cityofstjoseph.com St. Joseph Economic Development Authority Meeting Notice Administrator Wednesday, September 15, 2004 ludy Wcyrcns 3:00 p.m. ·City Hall Mayor . 1. Call to Order. Ldrry I. Hosch 2. Approval of Agenda. Councilors AI Rdssier 3. Approval of Minutes. Ross Rieke a. August 11, 2004. . Regular Meeting. Gary U~h 4. Financial Report. Odic Wick . a.Approval of Accounts Payable. b. Financial Report; 5. Business. a. Oath of Office - Ken Jacobson · b. 3:15 p.m. Revised Landscape Plan Covenant Review - SafeShred c. 3:20 p.m. Jacob Wetterling Foundation - Presentation d. 3:40 p.m. Preliminary TIF application - Midnight Haulers 6. Director Report. a. Prospect List/Activity Report. b. EDA Budget Update. 7. Board Member Announcements. 8. Adjournment. . · 2.) College Avenue North' PO Box 668 . Saint. Joseph. Minnesota .,6174 Phone ,2.0.-,6,.72.01 I'd X 12.0..,61.0142. · CITY OF ST. JOSEPH ECONOMIC DEVELOPMENT AUTHORITY Meeting Minutes - Wednesday, August 11,2004 Present: Chairperson Ross Rieke, Board Members Larry Hosch, Tom Skahen and Bruce Gohman. Absent: None. Also present: Jeff Ramler of SafeShred and Cynthia Smith-Strack of Municipal Development Group. Chairperson Rieke called the regular meeting of the St. Joseph EDA to order at 3:13 p.m. Agenda. Movedby Skahen seconded by Gohman to approve the agenda with the advancement of item 5(a) to the first agenda item following approval of the agenda. Motion carried 4-0. SafeShred Building and Site Plan. Chairperson Rieke introduced the item. The EDA complimented the business owner on the quality of materials submitted with the application for EDA consideration. Business owner Jeff Ramler was present to answer questions and provide information as requested. Strack provided an overview of the proposed project and the site review per covenants to which the EDA is a party. SafeShred is a company that contracts with clients for collection/shredding of sensitive written documents. The company purchased a 3-acre site in the Buettner Business Park and proposes the construction of a 12,800 square foot facility on Lot 2, Block 1 Buettner Business Park 2. The proposed · structure includes approximately 750 S.F. of climate-controlled office space with the remaining space being used for warehousing/storage (Le. 5,650 S.F. for the industrial shredding business with 6,400 sf reserved for future expansion of SafeShredltemporary industrial lease space). Strack referenced the report contained in the EDA packet of materials prepared for the meeting. and noted the project appeared to meet the requirements of the Buettner Business Park covenants subject to the identification of materials. to·be employed as grass cover on the remainder of the lot. The EDA reviewed the covenant standard which requires exteriors of tip-up or cast in place concrete panels to provide "as much adornment as possible". The business owner noted more trees and shrubbery was being employed in the front yard and in viewing lines adjacent to the side yards so as to further screen the facility from the public right of way and adjacent lots. Motion by Hosch, second by Skahen to approve the site and building plan. Motion approved 4-0. The EDAwelcomed business owner Ramler to the community. Minutes. Approval of the minutes from the Wednesday, July 21, 2004 EPA meeting was introduced. Motion Hosch, seconded by Skahen to approve July 21, 2004 Regular EDA minutes as presented. Motion approved 4-0. EDA Accounts Payable. Strack distributed a revised accounts payable summary which included per diem reimbursement to former EDA Member Mike Deutz who resigned in June. Strack provided an overview of the remaining accounts payable and noted banked hours owed to the City by MDG. Motion by Gohman, second by Hosch to approve EDA accounts payable in the amount of $2,228.83. · Motion carried 4-0. EDA Minutes - August 11, 2004 J Page 1 Financial Report · Strack provided an overview of the EDA financial reports included in the information packet for the month of July and indicated first half property tax payment to City from County had been received but not yet coded to each fund. Moved by Skahen, seconded by Hosch to approve the financial report. Motion carried 4-0. 2005 Proposed Preliminary EDA Budget. Strack reported on the budget process followed by the City, including the requirement preliminary budgets be certified to the County by September 15th. Strack indicated staff had prepared a preliminary budget for the Authority (Fund 150), for TIF 1-3 (Fund 155) for TIF 1-4 (Fund 156) and the Revolving Loan Fund (Fund 250) all of which were included in the packet. Strack noted the following changes: Fund 150: Operating Fund for the EDA: The 2005 budget is proposed to be increased from $34,500 in 2004 to $44,000 in 2005. The increases are proposed due to the inclusion of $7,500 for membership to the Partnership and inclusion of $4,000 for engineering fees (assistance with potential industrial park). Fund 155: TIF Fund for 1-3: The anticipated revenues and expenses were increased to reflect market value increases and therefore TIF revenue increases in 2004. The City, via development agreement, is required to reimburse the developer 95% of the increment received. Fund 156: TIF Fund 1-4: 2005 will be the first year an increment is received. The anticipated revenues and expenditures are based on estimates. Actual numbers will be received in June or July, 2005. Fund 250: Revolving Loan Fund. The projected revenue for the revolving loan fund in 2005 is · based on the amortization schedule for the Vicwest equipment loan. No expenses or loans have been budgeted as the fund currently (end of July) has a limited balance of $4,648.31. The fund balance by the end of calendar year 2005 should be over $18,000. The EOA discussed possibility of St. Cloud Area Economic Development Partnership and the associated membership fee. EDA members Hosch and Gohman expressed support for a renewed City of St. Joseph membership in the SCAEDP, The EOA also discussed other professional fees and the extent to which the EDA should and could incur expenses, such as engineering fees, related to encouraging potential developments and assisting such developments in moving from the interest to actualization stages. The EDA reviewed engineering expenses incurred within 2004 which relate to a large scale commercial development and encouraging the development of additional platted industrial acreage within the City. Gohman expressed an interest in illustrating Fund 150 revenue in terms of the portion applicable to the allowable statutory tax levy with the remainder being represented as a transfer from the general fund. Gohman indicated this was an issue discussed during the previous budget cycle which seemed to have not been resolved. Hosch indicated the change was not made in the 2004 budget because of levy limits placed upon the City. Gohman and Hosch requested staff research the issue and report on the subject at the next meeting. Moved by Gohman, seconded by Hosch to approve the preliminary Fund 150, Fund 155, Fund 156 and Fund 250 budgets and authorize/direct EDA staff to submit to the City. Motion carried 4-0. · EDA Minutes - August 11, 2004 ~ Page 2 ~- . Director Report. A prospect list/activity report outlining communication with various contacts was included in the EDA's packet. In conjunction with the Oirector's Report, the EOA discussed the JOBZ Program and how changes in the program were affecting area communities and impacting the City of 51. Joseph. The EDAdirected staff to gather information on changes in the JOBZ Program and' how they may affect proposed projects. The information is intended for use in facilitating potential future projects. Strack also advised EOA Board Members that the plaque ordered for former EOA member Oeutz had arrived and was to be presented at the September 2nd City Council meeting. ' Board· Member Announcements. Hosch updated the EOA on the appointment of a member to the vacancy within the EDA. Hosch indicated he had met with one individual who had declined the appointment and would be meeting with a second candidate within the very near future. . Adjournment Motion by Hosch seconded by Skahen to adjourn. Motion carried 4:0.. Meeting adjourned at 4: 15 p.m; . . EDA Minutes - August 11, 2004 ~ Page 3 CITY OF 'ST. JOSEPH . www.Cityofstjoseph.com DATE: September 8, 2004 Administfdtor MEMO TO: S1; Joseph Ecanomrc. Development Authority Judy Weyrens ~r ~' . FROM: Joanne Foust & Cynthi 'ith-Strac.k, Municipal Development Group Mayor RE: Accounts Payable- August and Financial Report Ldrry I. Hosch Councilors A. Accounts Payable: . AI Rassier Following are Accounts Payable for the EDA's Consideration. Ross Rieke Payable To For Fund Amount Gary Utsch 'MDG, Inc. August Econ. Dev. Service 150-46500-300 $2,218.70 Oale Wick Total $2,218.70 Action: . A MOTION is in orâerto approve the Accounts Payable. B. Financial Report: ~ The August financial reports are not available at this time due to a change in staffing. The August and September reports will be presented for EDA approval atthe October meeting. MDG, Inc. is currently working with the Steams' County Auditor's office to clarify the tax increment which was anticipated to be received for fund 156 (TIF 1-4). A verbal update will be provided at the EDA meeting. , Action: None required. . -5 2.) College Avcnue North' PO Box 668 . Saint. joseph, Minnesotd ,,6,74 Phone 12.0.16,.72.01 I:a x )2.0.161.0142. ~1'4. INVOICE MUNICIPAL DEVELOPMENT GROUP, INC. · 25562 WILLOW LANE , NEW PRAGUE, MN 56071 , 952-758-7399 City of St. Joseph FAX: 952-758-3711 Attn: Judy Weyrens mdg@bevcomm.net City Administrator PO 668 St. Joseph, MN 56374 Invoice Date 09-01-04 I Payment Terms: 30 days 1 Customer ID #: ST J03ED Project August Economic Development Services . See attached detail Amount: $1,885.70 Monthly contract fee-40 hrs $ 333.00 888 miles x .375 $2,218.70 Code to: 150-46500-300 for general EDA Remit To: Municipal Development Group, Inc. 25562 Willow Lane New Prague, MN 56071 · Dates-EDA - - August 04, 2004 EDA Office Hours 7.00 hrs. J.Foust August 09, 2004 Meeting with Developer 2.25 hrs J. Foust August 1 0, 2004 EDA Office Hours 7.50 hrs. C. Strack August 13, 2004 EDA follow up 1.50 hrs. C. Strack August 17, 2004 Coord. Of 8-24-04 mtg 0.50 hrs. J. Foust August 18, 2004 EDA Office Hours...... ...... ...... ... ........ 8. 00 hrs. C. Strack August 24, 2004 Development Meeting 2.00 hrs. J. Foust August 25, 2004 EDA Office Hours 7.50 hrs. C. Strack August 26, 2004 Follow up projects 5.50 hrs. C. Strack Total August, 2004 41.75 hrs -Invoice for 40 hours Banked Hours as of August 31, 2004: -25.50 I MDG, Inc. 25.50 hours owed to Sf. Joseph EDA. I I ~~ appreciated the opportunity to work with you! /) I Check No. I ~~«-~~d · Principal Date: I" i,-·- CITY OF ST. JOSEPH · . www/.cityofstjoseph.com DATE: September 8,2004 Administrator .. MEMO TO: St. Joseph Economic Development Authority Judy Weyrens' j¡ql-r 'SL ' FROM: Joanne Foust & Cynthia ~th-Strack, Municipal Development Group Mayor RE: Oath of Office..;. Ken Jacobson Lörry I. Hosch Councilors Background: AI Rdssier ' Ken Jacobson of CMS Autobody has agreed to serve on the EDA to fill the void resulting from Ross Rieke . the resignation of Mike Deutz. The City Council appointed Ken to the EDA at their September Gary ìJtsch 2,2004 meeting. ., Ddle Wick We welcome Ken to the EDA and appreciate his willingness to serve! Action: Chair Ross Rieke will administer the Oath of Office to Ken Jacobson whose term will be up for · reappointment in January 2005. · 1 2.)' Coil e g eAve n u e N 0 rt h . P 0 Box 6 68 . S din t. J 0 s e ph. M inn e sot d 'ï 6 , 7 4 Phone 12.0,,6,.72.01 I\~ x 12.0.16,,0,42. ~~ -~ - OATH OF OFFICE I, Ken Jacobson, do solemnly swear to support the Constitution of the United States, the Constitution of the State of Minnesota, and to discharge faithfully the duties of the office of the Economic Development Authority of the City of St. Joseph, Minnesota, to the best of my judgement and ability, so help me God. Sígned this 15th day of September 2004. Signature ATTEST: CITY OF ST. JOSEPH Judy Weyrens, Administrator -.. " v" =--~ "8Þ ,ccc ' f'C'. l;?: '·.CITY OF ST. JOSEPH - wWw.cityofstjoseph.com - DATE: September 8, 2004 Administrator MEMO TO: Economic DevelopmentAuthority ludy Weyrens FROM: J1fV1-r . (LS. . Joanne Foust & Cynthia Smith-Strack, Municipal Development Group Mayor RE: Revised Landscaping Plan - SafeShred Lõrry I. Hosch Background Councilors At the August 11, 2004 EDA meeting SafeShred, a company that contracts with clients for AI Rdssier collection/shredding of sensitive written documents, applied for site plan approval under the protective covenants in effect at the Buettner Business Park of which the SJEDA is a party to. Ross Rieke The site plan, including landscape plans were approved by the EDA at the August 11th meeting. Gary Utsch Dôle Wick The Developers have subsequently 'terminated their agreement with the original building contractor and are now working with Strack Construction to build the facility. The original . landscape plan approved by the EDA has been significantly altered. Therefore, the Developer . requests consideration/approval of the revised landscaping plan by the EDA. A copy of the originallandscapin9 plan and the revised landscape plan are attached for your information. . Review Section 3.01 of the Declaration of Covenants, Conditions and Restrictions for the 81. Joseph Industrial Park (a.k.a. Buettner Business Park) requires- EDA prior review and approval of all plans and specifications. Following are excerpts of items relating to the plan review: REQUIREMENT PROPOSED MET/NOT MET Covenants: Section 3.01: The site plan, floor plan and building elevations. Prior approval of structures. for a 12,800 square foot building with a possible NO CHANGE Subd. 1. Requires future approximate 12,800 square foot addition FROM OB~11-04 submission of a horizontal have been submitted to the EDA for review. The floor plan and the exterior floor plan isíllustrated on page A-1. Elevation Information is elevations in relation to drawings are depicted on P~ge A-2. In. addition provided. finished ro osed rade. a draina e Ian is de icted on Pa e AS-1. . Covenants: Section 3:01: The application identifies the employment of pre- Prior approval of structures. cast concrete double T panels as the principal NO CHANGE Subd. 2. Requires. structural building material. FROM 08-11-04 submission of a full description of exterior The building includes four 14' overhead doors Information has building materials. (two on the northeast comer of the facility and been submitted. two on the southwest comer of the facility) which will provide access for vehicles bearing Covenants: Section 3:01: documents for industrial shredding. The Prior approval of structures. structure also includes four loading docks on the Subd. 2. Requires east side of the structure (rear yard) to be used submission of a full for receipt of materials delivered to the site and description of exterior the pick up of shredded material suitable for building materials. recycling. . The building exterior is proposed to be gray in color. The overhead doors are to be comprised of refabricated metal and ra fwhitein color. 1 2.) Coil e g e A v e n u e Nor t h . PO ß 0 x 668 . Sô i n t. 10 s e ph. M inn e sot d ) 6,74 Phone 12.0.,6,·72.01 I:d x 12.0.16,.0,42. a I REQUIREMENT PROPOSED METINOT MET - In addition the plan includes seven windows (six ~ on west side of building Le. front yard) each of which are four feet in height and four feet in width. Window frames are proposed to be of a dark bronze color. The building's front entry is proposed to include a prefabricated metal door gray/white in color with windows on each side (door jam and window frames to be dark bronze in color). In addition two access doors are proposed for the east side of the facility between the four loading docks. Finally, one access door is proposed for the south side of the structure adjacent to the westernmost overhead door. All person access doors are proposed to be of prefabricated metal and gray/white in color. The property owner will be present at the meeting to answer any further questions EDA members may have regarding this. Covenants: Section 3.02, The plans submitted illustrate plantings, trees The proposed paragraph one requires: and shrubs on the west side of the lot adjacent to landscape plan open areas, excluding 15th Avenue. appears to meet the parking, driveway and requirements of the storage areas be landscaped A total of 27 trees and 70 bushes were covenants. with trees, shrubs or planted illustrated on the onainal landscape plan. ground cover. The revised landscape plan illustrates a total . or nine (9) trees and 27 bushes. Proposed tree species are spring snow flowering - - crab; proposed bush varieties are sea green juniper, gold flame spiraea and red prince weigela. Vegetative massings are proposed in the front yard, abutting the trash enclosure and west of the proposed overhead doors on the south side of the building. Groundcover for the remainder of the lot will be grass. Covenants: Section 3.02, 27 parking spaces are illustrated along 15m Staff recommends paragraph two requires: Avenue within the front yard. The parking area approval parking lots adjacent to adjacent to 15th Avenue street right-oF.way is conditioned upon: public R-O-W's include a six calculated to be approximately 143 feet from 1. Reconfiguratiol foot strip of landscaping with the entrance to the parking lot from the of the proposec a minimum three-foot drop in driveway to the fire lane on the south side of shade grade (from the R-O-W to the parking lot. Based on the lineal footage treelshrub the parking lot) with a estimate, the covenants require a total of four layout to meet minimum of one shade tree (4) shade trees at incremental spacing not the covenant's and five shrubs for every 35 exceeding thirty-five (35) lineal feet adjacent required thirty- linear feerfor screening. to the parking lot which faces 15th Avenue. five foot The covenants require five (5) bushes at spacing criteria incremental spacing not exceeding thirty-five and the additio (35) lineal feet adjacent to the parking lot of four shrubs which faces 15th Avenue for a total of twenty to the proposec (20) bushes required. The revised landscape front yard plan illustrates a total of sir.: (S} shade trees landscaping and sixteen (16) bushes in the. front yard adja~ent to the adjacent, parking lot, and . The revised landscape plan appears not to 2. Upon the meet the requirements of the covenants as it installation of 2 in , '-' - REQUIREMENT PROPOSED METINOT MET relates to the number of bushes required the required - adjacent to the parking lot and the spacing of three (3) foot the proposed shrubs/shade trees within the drop in front yard adjacent to the parking lot. .elevation between 15th The landscape plan narrative references a Avenue and the required three (3) foot drop in grade between parking lot. the right-of-way and the parking lot but elevations are not included in the laridscape plan. _ Covenants: Section 3.03. N/A Requires a landscaped NO CHANGE greenway adjacent to CIR FROM 08-11-04 133. This section is not applicable; it is not adjacent to C/R 133. Section 3.05 requires all new The written application indicates concrete facilities to consist of pre- masonry as the construction material. This will NO CHANGE cast or cast tip up concrete include a gray color. FROM 08-11-04 walls, concrete block, post frame/steel frame With _ The conditions of concrete block or poùred this requirement concrete complete perimeter appear to have foundation with frost footings been met. extending a minimum of 8" above the final grade, and . stick built construction. Pre- finished architectural metal panels need a 20-year manufacturer colorfast warranty . Section 3.06 and 3.07 define The west side of the building faces 1~ Avenue The covenants acceptable exterior building NE. The total square footage of the west side of require as much materials. A minimum of the building is 2,000 square feet (25 feet high x adomment as 25% of the ext~rior building 80 feet wide). A minimum of 500 sf of the west possible on precast finish directly facing streets side of. the building must be of alternative concrete buildings. shall consist of: face brick, materials, except that precast or cast in place The plans illustrate natural stone, glass, vinyl, concrete much provide as much adomment as 7% of the building stucco, aluminum lapsiding, possible. comprised of cut block, or concrete block double T concrete and other approved Plans illustrate six windows (4 X 4), one entry panels facing 15th decorative siding with pre- door (3 X 6'8") and two window panels adjacent Avenue NE will be cast or cast in place to the main entrY door (3' x 7') are proposed, composed of other concrete buildings shall totaling 159 sf (7%) of alternate exterior building building materials. provide as much adornment materials. as is possible considering At the August 11th, their exterior finish The original landscape plan included the meeting the EDA limitations. installation of 48 shrubs and 24 trees within discussed phrase the front yard and the installation of 'as much additional trees adjacent to viewing lines in adornment as the side yards. possible' as it related to the The revised plan depicts a reduction in the landscaping plan number of trees and shrubs and the removal and approved the or screening within the side yards with the proposed 7% . exception of screening adjacent to the trash percent alternate container and one group of vegetation exterior materials positioned southwest of the two overhead on the west side doors on the southwest portion of the of the proposed 3 /1 REQUIREMENT PROPOSED MET/NOT MET - building. facility. The EDA may - wish to further discuss this item. Covenants: Section 5:01 Plans illustrate a dumpster on the south side of requires'refuse containers to the building. An architectural note indicates NO CHANGE be kept in three sided "screen to comply with Section 5,01 of FROM 08-11-04 enclosures a minimum of Covenants" Pre-cast panels to match the five feet in height building with a screened gate are proposed The conditions of constructed of brick, stone, around the dumpster. the covenants decorative concrete material appear to have or durable material. been met. Covenants: Section 5.03: No outdoor storage is proposed. states, "No outdoor storage NO CHANGE of products, non-movable FROM 08-11-04 equipment, inventory or storage in any container or This item is not semi-trailer shall be allowed. applicable as no Any storage of allowable outdoor storage is material shall be screened proposed. from public view." Covenants: Section 5.02 Plans depict four exterior loading docks on the Staff recommends requires "Loading docks and east side of the building. Two overhead garage approval garage entrances and exits doors are proposed for each the north and south contingent upon shall be screened to sides of the facility. No overhead garage doors the instaliation or minimize visibility from any are proposed for the front of the building (west) screening which public street and/or any which faces 15th Avenue NE. minimizes . adjacent building structures visibility of the front or side yard viewing The original landscape plan illustrated th& overhead garage point." installation of shrubs adjacent to the doors on the north -~ proposed overhead doors on the north and side of the facility south sides of the building. The landscape from the side yard plan also illustrates the planting of trees of the lot directly within sight lines adjacent to the side lot lines north of the in the front yard. subject parcel. The revised landscape plan illustrates screening adjacent to the southwestern-most overhead door and both east and west of the proposed trash container which is directly south of the southwestem-most overhead door. The revised landscape plan does not illustrate screening adjacent to the southeastem-most overhead door or either of the overhead doors on the north side of the facility. It is noted the east side of the facility (rear lot) abuts the rear yards of industrial facilities within St. Joseph Industrial Park. It is noted the EDA review of the covenants, conditions and restrictions for the St. Joseph Business Park (a.k.a. Buettner Industrial Park) does not constitute a review of the requirements of the Zoning Ordinance of the City of St. Joseph. EDA Action: . The EDA will take action on the approval, conditional approval or denial of the proposed plans based on its compliance or lack of compliance with the Covenants for the Business Park. 4 / z- - A MOTION ¡sin order from the EDA to approve the site and building plans for SafeShred - contingent upon the following: 1. Reconfiguration of the pr"posed shade tree/shrub layout to meet the covenant's required thirty-five foot spacing criteria and the addition offöur shrubs to the proposed front yard landscaping adjacent to the parking lot; 2. The installation ofthe requir~d three (3) foot drop in elevation between 15th Avenue and the parking lot; 3. The finding that 'as much adomment as possible' has been added to the front of the building; and 4. The installation of screening which minimizes visibility of the overhead garage doors on the north side of the facility from the side yard of the lot directly north ofthe subject parcel. 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JOSEPH tit www.citYofstjoseph.com· DATE: September 8, 2004 Administrator Judy Weyrens MEMO TO: St. Joseph Economic Development Authority . Mãyor FROM: JoI~~oust & Cynthi~~ith-strack, M~nicipal Development Group Larry r Hosch RE: . Jacob Wetterling Foundation Councilors AI Rdssier Background: Ross Rieke Nancy Sabin, . Executive Director of the Jacob Wetterling Foundation, Gary Gyullo,Board President and Founder Dr. Wetterling will be present at the September 15,2004 EDA meeting Gòry Utsch to discuss the Foundation's current and future plans. A 20 to 30 minutes presentation and Ode Wick answer/question time slot has been scheduled. MDG, Inc. representatives have previously met with those presenting information at the September meeting. MDG and Foundation staff have shared information regarding possible . tenants for sublease and/or other lease options. Jacob Wetterling Foundation representatives have noted they currently have two office locations, one in St. Paul and one in S1. Joseph (currently lease 1.,391 square feet from Deutz Rentals, LLC). The current lease expires in April 2005 and due to financial considerations the Foundation would like to either find smallerlless expensive lease space or sublease a portion of the building they currently lease. The Foundation representatives feel 500 to 800 square feet of lease spàce in S1. Joseph would be sufficient The Foundation is open to a shared office/reception area and restroom. Compatible tenants included a one or two personal professional tenant. The Foundation also inquired about a member of the-community who may see the tax benefit in donating space. They plan to meet with other members of the community and have already askedMr. Deutz about-donated space. The Foundation also noted they have considered a special community event to update the community on their needs and turn it back to the community as a project. Foundation representatives are attending the EDA meeting in hopes of gaining input from EDA Board Members/community leaders. Action -No action is required. - - 2 ~ Call e g e A vc n u e Nor t h . PO Box 6 b 8 . S òi n t. 10 s e ph. M inn es 0 t ò ~·6, 74 Phone 12.0.,6,.72.01 I:d x 12.0.16,.0142. , I t f./J CITY 'OF ST. JOSEPH 'V;"¡?w. ci tyofstjosep h .com . DATE: September 8, 2004 MEMO TO: Economic Development-Authority Administrator FROM: JoaJ~~ust & Cynth~~ith-Strack, Municipal Development Group Judy Weyrens RE: Request for Tax Increment Financing Assistance - Midnight Haulers, Inc. MdYor Ldrry J. Hosch Request: Councilors Midnight Haulers, Inc.. have submitted a pre-application for Tax Increment Financing assistance for the construction of a 15,000 square foot addition to a warehouse/distri bution AI Rdssier faèility located at 828 19th Avenue NE. A copy of the TIF Pre-Application is attached for Ross Rieke your review. A brief narrative regarding the company is attached for your infonnation. Gary Utsch Representatives of the company will be present . to answer questions regarding the Odle Wick preliminary application. Background: The project consists of the construction of a 15,000 s.f. addition to an existing facility. Plans for the single-story facility will be forwarded to EDAstaff on Friday of this week and copied for Board Member input at the September 15th meeting. Construction cost is estimated at . $530,000 (developer estimate). The project is..expected to create approximately 10 new jobs with wages between $10.00 and $29 per hour, not including benefits. TIFassistance is requested in order to help the project move forward. Without TIF the company has indicated expansion at the St. Joseph facility will not move forward. Preliminary TIF Application Requirements: The following are required to be submitted with the preliminary application for TIF assistance: 1. A map showing the exact boundaries of the proposed development. The Developer is to have a copy delivered to staffno later than Friday, September 1rfh. 2. A General description of the project including the following: . Size and location of building(s); An aerial photo of the existing structure is attached. . Business type and use; The business is a wholesale warehousing and distribution. Type of land use is industrial in nature and allowed in the current zoning class for the subject parcel. s Traffic information, including parking; Expansion plans are to be forwarded to staff prior to the meeting, it is expected additional parking facilities wíll be included in the plan. ., Timing of project; The applicant wishes to proceed with the expansion on a timely basis. - e Estimated market value following project completion.EDA staff will consult with the County Assessor following receipt of plans for the expansion. - 2.ç College Avenue North' PO )ox 6bß . Sdint. Joseph. !v1inncsotd )6,74 Phone '20.,6,,7201 I:c~ x I 120.101.0,42. e 3. The existing Comprehensive Plan land use designation and zoning of the property. The comprehensive plan guides the subject parcel to continued industrial use. Current zoning class is 1-1. The uses of the property are permitted within said zoning class. 4. A statement identifying how the increment will be uses and why it is neéded to complete the project. The increment will be ùsed to assist with a proposed 15,000 sf expansion. Staff has requested the applicant prepare a statement as to why the increment is needed to complete the project Thorough sources/uses will be included with the final application for TIF, the company will be required.to disclose financial information in conjunction with the final application. 5. A statement identifying the public benefits for the proposal including estimated increase in property valulation, new jobs to be created and other community assets. The increase in value willbefollowed up on by MDG staff. ThèDeve/oper is proposing the addition of ten (10) new employment positions within the next two (2) yealS. The employment positions are outlined in the attached preliminary application and range from $10/hour to $29/hour exclusive of benefits. 6. A written perspective of the developers company (Le. corporation, principals, history, past projects, etc.). A written narrative produced by the developer is attached to this memo. 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 appealS to meet t/1is policy criteria. 2. Objectives: The project appealS to . meet the objective of increasing the number and divelSity of jobs with attractive wages and benefits. 3. Costs that qualify for TIF assistance: The TIF would assist with expansion of an existing facility. . 4. Minimum Qualifications: a. TIF would facilitate development that would not occur without the assistance. The Preliminary TIF application does not provide evidence the development would not occur without assistance (e.g. preliminary sources and uses of funds and a written explanation of why TIF development would not occur with out TIF assistance). . Additional information has been requested of the applicant b. But-For Test. The pre-application requires the developer to submit a statement identifying how the increment will be uses and why it is needed to complete the project. The na"ative submitted with the application does not specifically address this issue. Additional information has been requested of the applicant c. The project is consistent with the Comprehensive Plan and zoning ordinance. The subject parcel is zoned industrial. - d. Prior to approval of the TIF Plan (at the time of final application), financial - guarantees and credentials will be required. /e e. Ownership of the parcel will be required by the applicant. e 5. Desired Qualifications: a. Taxes paid before and after the development will be greater than a 2: 1 ratio. Additional information on this subject is expected to be available at the meeting. b. TIF should not be used for speculative projects. Midnight Haulers has been in existence since 1997. Complete financial information from the company and major shareholders will be required if/when a final application is submitted. The developer is notproposing a spec. building. . c. TIF should not be used to pay for overpriced land. The TIF assistance is proposed to be used for an expansion to an existing facility. d. TIF should be pay-as-you go. The request is for pay-as-yougo assistance. e. Preference is given to projects that do not cause extraordinary demands on City services. The applicant is a wholesale distributor and warehouser. No extraordinary demands on the utility systems 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 however building plans/materials list have not been submitted at this time. Appropriateness ofTIF: Attached is the "Grading and Report Card for TIF". The proposed project received a composite score of '3.3' meaning it is a 'very good' and 'good' use of tax increment financing. Estimated TIF available: . Northland Securities is available to prepare projected tax increment cash flow figures based on certain assumptions if the preliminary application is approved. Preliminary information is expected to be available after building plans are received and the County Assessor's input is received. 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 (Commercial/Industrial property taxed at a rate of 1.5% for the first $200,000 in value and 2% for portions of the value exceeding $200,000). · Net tax capacity multiplied by the City's tax rate - 135.562%. The gross tax increment available is subject to a State Auditor reduction of 0.25% and a 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 period of time and includes the school district, county and City portions of new taxes generated. 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 Northland Securities, the City's Financial Advisor, is recommended to be retained to prepare the TI F Plan. - - ~ 1'1 , ! ,City :of St.' Joseph' , ~ TIF Assistance Program " . Preliminary Application ·,(prease ,print or type) 'General 'Information: ;Legal 'name ,of-owner/applicant: '\)::).. \J id R \ \e.n . 'QotTf',(' iOperatingEntiW(ifdifferent):~m \d.n\~h\-· }1ClU\e19 îJJîC . ';~ddre~s: <tQ...Cß \C\-\b 'A,/w\J£ tv !St", \O'3eph', f(\t\J ~lLl ~elephone:Number: &D~4J>3-:T6?2.. . :F~~Numbe~: 8ZO-8(§3- t??-Y~ , IName'Óf;~ontact¡person: ---Aa I/fi!-. !J #cv--, 'The :following ·information 'should ',be :presented in 10 ·the 51. Joseph EDA Office as soon as possible.Ælfter"the initial meeting with 'the EDA Director.· The information will be evaluated to determine it-the proposed project conforms withjhe community's goals and objectives. => A map showing the exact boundaries of the' proposed development. .- => . Give a general description ofthe project including the following: . Size and location of building(s) - '. business type and use '. 'traffic information, including parking ,. timing of-project .. ·estimatedmarket.value following completion => The existing Comprehensive Plan land use designation and Zoning of the property. "Make.8 general statement as' how the project will conform to the land use designation. => A statement identifyinghowthe 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 Applicants signature: ~'.+c~ ------- Date: C1-~~L't(_ - S1. Joseph TIP Policy Attachment C-I 20 Attachment B . PROPOSED TAX INCREMENT FINANCING -Rating& Analysis 1. Ratio of:Private:to ,Public Investment in the Project: iB= priv~~rrIF ~ Private Investment $ : 1 TIFlPublic Investment _ '. 4: Ratio ofPrivatelPublic Financing" 3: 1 3 2:1 ,., ¿. Below 2:1 1 2. Jobs ,created .and! or retairiedin ~the ,City: # Jobs created/retained Score: Kl. Total number of jobs created and/or retained as 26+ 5 a result of the project. 11-25 4 ~ cp -) None I . 3. - % of MedianClass Wa!!e* Score:** \.. ( tL 91 /l..) ì{¡,c1o 0- '( (#! S"/) \1øCf C/)O !; InE3e?o 0 iSc10 0 11~<>?D 5-5 I \ 3tfì() 5-S- 1000cf7o I..f-<-/- Average Score: :'3/10 -=- >I< Median age or Job Classifications is defined as the median wage for the applicable overall job classification.in the S1. Cloud Metropolitan Statistical Area as identified by the Minnesota World'orce Center's most current report. **Seore Calculation (for each iob classification): 111 % of median wage for job classification or greater = 5 101-110% of median wage for job classification = 4 100% of the median wage for job classification = 3 90 - 99% of the median wage for job classification = 2 Less than 89% of median wage for job classification = 0 *** The average score of aU job classifications shalJ be used as the overall score for this category. 7) -.~. 4. Increase "in Estiínated Market Value: . Before/ After 'Development Score $ Estiniate market valuè of site after development 1:5 5 . . 1:4 4 '4- $ q..~Yro ~ Estimated market value of site before development 1:3 3 To 1:2 2 Ratio of value before/after development 1:1 . 1 ßL' 1:<1 0 d.Jei141 5. . Will the proposed project redevelop.a previou_sly contaminat~d or enviromnentally.chaIlenged site; redevelop a blighted or underutilized .parcel; or, preserve/promote historical features of existing . .buildings? . _ Yes (5 pointS) V'N 6. Is1:he proposed project consistent with the City's long term. development and redevelopment guidelines as contained in the City's Comprehensive Plan? v" y~:~ _ No (Zero points) . 7. Does the Developer agree to pay-as-you-go financing? -V Y~in~ _ No (Zero points) , <CALCULATION OF OVERALL SCORE~ Total Points Scored / 7 == average score. 5 == Excellent,~ e;G:od, 3 == ~ 4 == Below Average, 5 == Fail '7b!,JJ fJ4 ~ 5 3 3·3 5 S -º- {extlM-ðos ~4j Zl· '3 / (p h. :;(¡;I"P J.£ç ;?~ ~:fIDNIGI-IT "T...~REI-I01JSIN(}, INC' . .J..' ". i 828 19th Ave NE SUoseph, MN 56374 ~ Phone: (320)363-7832 ! Fax: (320)363-8224 Midnight Haulers was established in 1998 and founded by David Potter. He operated his business from his dad's fann located near Clearwater, MN. The business started with one employee and a semi truck and trailer. In 2001 Midnight Haulers was incorporated, and at this time the company consisted of three over the road truck drivers. In April of 2003 he came across a customer in need of both transportation and warehouse services. After searching the local area for warehouse space, he found Larry's Trucking and Warehousing in St Cloud. At this time he made the decision to lease a small area, working his way up to 2,800 sq. ft. By July the overall customer demand for space quickly outgrew the space available. The search for more warehouse space had begun once again, and in August the business was able to move into its current location at 828 19th Ave NE S1. Joseph. MN. Along with this change came two additional employees, making a total of seven. In January of2004, Midnight Warehousing, Inc. was established as the sister company of . Midnight Hauler's, Inc. Between the two companies, we currently employ 23 individuaJs and sub-contract three local owner-operators. Between our location in St Joseph and at Larry's Warehouse our total warehouse space has grown to 72,000 sq ft, of which 30,000 is being sub-leased. Today our very fIrst customer, Hansen's Natural Beverage based out of Corona, CA and a leading supplier of a growing market of energy drinks, is still our largest customer. We provide our 20 plus customers with the transportation and warehouse space for their products which are brewed at the Gluek Brewing Company in Cold Spring, MN. The addition of Midnight Warehousing, Inc. has provided tremendous gro-wth for Midnight Hauler's, by increasing the number of local runs between our facility and Gluek Brewing Company. This continuous and growing demand for our services has led up to the recent decision of an approximate 15,000 sq ft expansion. '7 ..., c~ J · SUBJECT PARCEL - - 2tJ City of St. Joseph . Policy and Procedures for Tax Increment Financing Project For the purpose of this policy, the "EDA" shall also mean the Sf. 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 or Si. Joseph and the Economic Development Authority with respect to the use of Tax Increment Financing for private development within the City. This policy shalf 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 81. 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(i.e. 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 (i.e. stable employment andlor attractive wages and benefrts. · To encourage additional unsubsidized private development in the area, either directly, or through secondary "spin-off' development. · To offset increased costs of redevelopment (i.e. 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 TIF Policy 1 ,'1 /" _A. J . .' Tó 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 govemment,etc. III. COSTS WHICH QUALIFY FOR TIFASSISTANCE · 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, streetfpàrking 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 TIFprojects 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 QUALFICIA TIONS 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 andlor 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 changesto the plan and ordinances must be under active consideration by the City at the time of final TIF application submittal. St. Joseph TIP Policy 2 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 orits 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 andlor 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 TIP Policy 3 7'7 t7'- " . 7. TIFwill not normally bè 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 INCREMENTPRO,jECT EVALUATION PROCESS The following five methods of analysis for all TIFproposals 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 an!'ther in terms of importance to determining the level of TlF 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 TIP Policy 4 1(3 ~ ../ 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 St. Joseph according to State Statute, Loss ofGovemment 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. It 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 5 :'~l ,:.. . ~. M U N IC I PAL DEVELÓPMENT GROUP, INC. DATE: September S, 2004 MEMO TO: Economic Development Authority FROM: ;Jfv1t - . & "f' ~ L;'~St . M ., I D I t G anne rOUst I..iyn ma mil - . raCK, umclpa eve opmen roup RE: Economic Development Activity Report August "S, 2004 to SeptemberS, 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 ottier projects, please do not hesitate to contact us at 952-758-7399. A project number has been assigned to protéct the confidentiality of the businesses prospects. Project 01-8: This company originally contacted the city in 2001. Plans for expansion were placed on hold in 2002. A developer working with the company contacted MDG in June, 2004 regarding the potential for expansion plans in 2005. MDG most recently followed up on September 1, 2004. - - 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. Most recent correspondence occurred on September j, 2004. 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 infolTTlation on a number of commerèial sites. MDG last followed up with the contact on August 1Sth. Project 01-1: This business originally contacted the City in 2001. In 2002 they noted their project was on-hold. The company most recently contacted MDG on June 1S, 2004 requesting infonnation on available commercial sites in the City. MDG followed up with a phone call on August 4, 2004. Most recent follow-up occurred via email on August1Sth as MDG forwarded additional infolTTlation regarding available parcels and followed up on September 1, 2004. Project 02-H: This developer contacted MDG in July regarding available highway commercial lots. MDG faxed info on optional sites and followed up most recently on September ·1, 2004. Project 02-R: This company recently purchased land in Buettner Business Park for the construction of a facility in 2005. MDG most recently corresponded with the business contact on August 4th and 18th. Project 02-AA: This business purchased land in Buettner Business Park earlier this year. During August, the site plan for this project was approved by the Planning Commission, the covenant review for this project was approved by the EDA and the development agreement for this project was approved by the City Council. The next step . EDA Monthly Project Report - mid August-September 2004 Activities Page 1 .XJ will be issuance of a building permit. MDG most recently followed up with the company on September 1, . 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. MDG most recently followed up on August 4, 2004. Meetings with project representatives were held on August 9th and August 24th. Additional written correspondence occurred on August 11th and September 1, 2004. Project 03-1: This business contacted the City in 2003 regarding available commercial lease space. MDG most recently followed up with a phone conversation on September 1, 2004. 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. On August 18, 2004 project representatives indicated an agreement for sale of the property appeared imminent. The developers last stopped at city hall for maps and information on September 1, 2004. 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 August 18th. Project 04-D: MDG contacted the owner of industrial acreage within the corporate limits regarding interest in re-subdividing and marketing industrial lots. The property owner expressed an interest in possibly re-subdividing. MDG continues to follow up with the project representative regarding the project, with follow up via phone on August 4th and 18th. On August 18th the project representative indicated the property owner is continuing to ~ further define the actual acreage available with the county. - _ Project 04-F: This prospect contacted MDG in May of 2004 regarding commercial lease space in the downtown area. MDG met with the prospect several times in May. Most recent correspondence with the project representative on August 18th indicated the project had been abandoned due to costs involved in obtaining and/or leasing commercial space. Project file closed. Project04-H: MDG met with a representative on May 26,2004 regarding a building in the downtown. Most recent follow- up occurred on August 18th, The current commercial lessee will be vacating the building upon lease term cessation. The building has been listed for sale. Project 04-J: This contact met with MDG on July 21st and requested information for a commercial/service business. MDG most recently followed up on September 1, 2004. Project 04-K: A representative from Project Q4-K contacted the City on August 11th regarding office lease space. MDG forwarded information regarding previ.ous inquiries for office space (as authorized for distribution) and regarding current lease space available. Additional follow up occurred on August 25th. A meeting with project representatives was held on September 1, 2004. Project 04-L: MDG met with project representatives on August 25th regarding potential expansion of an existing industrial facility. EDA Monthly Project Report - mid August-September 2004 Activities Page 2 "Î. ~} Project 04-M: . This business is currently located in another community and are considering relocating to St. Joseph. MDG, Inc. and City Administrator Weyrens met with. the development representative on August 25, 2004 and September 8, 2004. .J - - EDA Monthly Project Report - mid August-September 2004 Activities Page 3 3 2---