HomeMy WebLinkAbout2004 [11] Nov 17
CITY OF ST. JOSEPH
· WW\YI. cityofstjoseph .com
St. Joseph Economic Development Authority
Meeting Notice
Administfdtor Wednesday, November 17,2904
ludy Weyrens 3:00 p.m. City Hall
MdYor 1. Call to Order.
Ldrry J. Hosch
2. Approval of Agenda.
Councilors
AI Rdssier 3. Approval of Minutes.
Ross Rieke a. October 20, 2004. Regular Meeting.
Gary Utsch 4. Financial Report.
Odle Wick a. Approval of Accounts Payable.
b. Financial Report.
5. Business.
a. 2004 Expense Reports for EDA Commissioners.
· b. MDG, Inc. Contract Renewal.
6. Director Report.
a. Prospect List/Activity Report.
b. 2005 EDA Meeting Schedule.
c. Update: Protective Covenant Amendment for Buettner Business Park.
7. Board Member Announcements.
8. Adjournment.
·
2.) College Avcnue North, PO I) ox 668· Sdint. Joseph. Minnesotd )6,74
Phone ,2.0.16,,72.01 Fd x )2.0.,6,.0,42.
CITY OF ST. JOSEPH
· ECONOMIC DEVELOPMENT AUTHORITY
Meeting Minutes - Wednesday, October 20,2004
Present: Chairperson Ross Rieke, Board Members Bruce Gohman, Larry Hosch, Ken Jacobson and
Tom Skahen.
Also present: Cynthia Smith-Strack of Municipal Development Group.
Chairperson Rieke called the regular meeting of the St. Joseph EDA to order at 3:07 p.m.
Agenda.
Moved by Skahen seconded by Gohman to approve the agenda with the addition of item 5(d)
Memberships in Chamber Organizations. Motion carried frO.
Approval of Minutes.
Chairperson' Rieke introduced approval of the minutes from the Wednesday, September 15, 2004 EDA
meeting. Gohman noted the minutes from the discussion regarding the EOA statutory levy were
somewhat ambiguous. After further discussion it was suggested the final sentence in the paragraph be
amended by adding the following: "... operations, therefore the EDA will not exercise its statutory levy
authority. "
Motion Gohman, seconded by Skahen to approve the September 15, 2004 Regular EDA minutes with the
aforementioned change. Motion approved frO.
EDA Accounts Payable.
· Strack provided an overview of the accounts payable in the amount of $2,205.22.
Motion by Gohman, second by Skahen to approve EDA accounts payable in the amount of $2,205.22.
Motion carried 5-0.
Financial Report
Strack indicated that financial reports for August and September were not available due to a staffing
change in the City Accountant position. Reports for the months of August - October should be included in
the November EOA packet.
Update Economic Development TIF Assistance - Midnight Haulers.
Chairperson Rieke introduced the agenda item. Strack provided the history of the request to the EDA
Board and indicated the applicant withdrew its request for City Council consideration prior to the October
7,2004 City Council meeting.
JOB Zone Modification Process.
EDA Chairperson Rieke introduced the agenda item. Strack provided background information on the
project by noting that at the August 2004 regular EOA meeting the Board discussed the pursuit of JOB
Zone modification as a means of facilitating future projects within the community. At the August meeting
the Board encouraged staff to research the zone modification process as a means of preparing for the
potential use of said process in the future. Strack indicated the job zone modification process is used
when "swapping" or exchanging acres from a current JOB Zone to parcels in another JOB Zone or
parcels outside of a JOB Zone. Modifications are only considered if there is a qualified business ready to
locate onto the requested parcel(s). For the parcels where acreage will be removed from a JOBZ sub-
zone a resolution from an authorized city or township official approving the donation of acreage is
required. For the parcels where acreage will be added, resolutions approving the addition from the
county, school district and city are required. Construction projects receiving tax exemptions under JOBZ
· are required to pay prevailing wages as defined in Mn. Stat. 177.42, Subd. 6.
EDA Minutes - October 20, 2004 Page 1
· The Board discussed the use of the information provided noting the EDA would not actively promote the
JOBZ program since no acreage within the community was currently available but would retain the option
to investigate facilitation of a JOBZ modification petition in the event a qualified business requested a
proposal from the City.
Board Member Gohman suggested staff remain up-to-date on the rules for the use of JOBZ and be
prepared to speak to the requirements of the JOBZ program in discussions with prospective businesses.
Gohman stated the requirements/rules of JOB Zones, such as the requirement to pay prevailing wages
for construction projects, may actually increase the cost of the project to levels which exceed the benefit
realized via tax exemptions.
Staff will retain such information on file in the City offices.
Buettner Business Park Covenant Amendment.
EDA Chairperson Rieke introduced the agenda item. Strack provided background information on the
topic resulting from the review of a revised landscaping plan at the September 15, 2004 EOA meeting.
The EDA at that time noted a lack of implementation of the required installation of a three foot drop in
grade between a parking lot and a public right-of-way. At the September meeting the EOA requested
staff pursue an amendment to the Buettner Business Park Covenants which would eliminate the
reference to a three-foot drop in grade. Since that time staff had re-drafted a proposed amendment and
restatement ofthe covenants and contacted several of the property owners within the Business Park.
Gohman noted he was unable to attend the September EDA meeting but indicated he felt the language
requiring a drop in grade should remain in the covenants but be supplemented with the alternative for a
berm included as well. He noted most developments within the park have incorporated berms versus a
drop in grade. Gohman questioned why when reviewing the landscape plan approved at the September
meeting the EDA did not require a berm versus a drop in elevation. Strack noted the current covenants
· did not give the EDA to ability to enforce a berming requirement, only the drop in grade which in the
previous instance would have led to rear yard elevations which would potentially be subject to flooding.
Board Member Hosch also noted that none of the other developments within the business park had
- adhered to the drop in grade requirement.
Jacobson questioned the intent of the drop in grade requirement. Strack indicated in addition to providing
aesthetic benefits the change in elevation also prohibited storm water from being discharged directly from
the parking lot into the public right-of-way and associated storm sewer mains. Gohman noted the drop in
grade prevented headlights within the parking lot from reaching the public right of way.
Gohman expressed a desire to abstain from additional discussion on the matter.
Motion by Skahen, seconded by Hosch to change approach to the proposed amendment and retain
existing reference to a three-foot drop in grade between a parking lot and a public right-of-way
supplemented by an option for a three-foot berm between a parking lot and a public right-of-way. Motion
approved 4-0 with Gohman abstaining.
The EDA directed Strack to contact Mr. Jeff Ramler to inquire as to whether or not it would be possible to
install a three-foot berm adjacent to a proposed parking lot.
Membership in Chamber Of Commerce Organizations.
Chairperson Rieke introduced the agenda item. Strack indicated she had a conversation with City
Administrator Judy Weyrens earlier in the day regarding Ms. Weyrens' discussion with a member of the
EOA Weyrens reported the EOA member inquired as to why the EDA was not more active in various
Chamber organizations, like the St. Cloud Area Chamber of Commerce. Strack provided information on
the area chamber and background on her discussion with the City Administrator.
·
EDA Minutes - October 20,2004 Page 2
Chairperson Rieke indicated that he had spoke to the City Administrator but on a slightly different note.
· He indicated he wished to involve more people in a presentation by the Sisters of the Order of St.
Benedict regarding the history of the Mother House and its role in the community. Strack noted she
apparently might have misunderstood the City Administrator's request earlier in the day.
Rieke requested input on whether or not the City's elected and appointed officials should be notified of a
pending presentation on the subject to the St. Joseph Chamber of Commerce. Rieke noted he had
witnessed the presentation when it was given to the St. Cloud Area Chamber of Commerce and was
pleasantly surprised and energized by the information presented and felt others may have the same
reaction.
Discussion as to whether or not the presentation was to be given to the St. Joseph Chamber ensued.
Director's Report.
A prospect lisVactivity report outlining communication with various contacts was included in the EDA's
packet. Strack reported on an upcoming decision regarding the location of a water treatment plant which
could potentially impact one of the projects.
Hosch excused himself from the meeting at 4:01 p.m.
Board Member Announcements.
Gohman expressed a desire to forecast EDA meeting dates for the remainder of the year and for 2005 so
as to allow incorporation of said dates into Board Members' schedules in advance of receiving the
. informational packet. Staff to provide said meeting dates at the November meeting.
Adjournment
Motion by Gohman, seconded by Skahen to adjourn. Motion carried 4:0. Meeting adjourned at 4:09 p.rn.
·
·
EDA Minutes - October 20, 2004 Page 3
CITY OF ST. JOSEPH
· www.cityofstjoseph.com
DATE: November 10, 2004
Administrdtor MEMO TO: St. Joseph Economic Development Authority
ludy Weyrens Joa~ ~oust & cy~h,ià Smith-Strack, Municipal Development Group
FROM:
MdYor RE: Accounts Payable - October 2004
Ldrry I. Hosch August, September and October Financial Reports
Councilors
AI Rassier A. Accounts Payable:
Ross Rieke Following are Accounts Payable for the EDA's Consideration.
Gdry Utsch Payable To For Fund Amount
Oale Wick MDG, Inc. October Econ. Dev. Service 150-46500-300 $2,135.64
Total $2,135.64
Action:
· A MOTION is in order to approve the Accounts Payable.
B. Financial Report:
August, September and October financial reports for the EDA are attached. The reports will
consist of:
1. EDA revenue to date.
2. EDA expenditures to date.
3. Check Register for August, September and October.
4. Fund Balances (Econ Dev. 150, TIF 1-3 155, TIF 1-4 156 and RLF 250).
It is noted expenditures have exceeded budget estimates in Fund 150 for engineering services.
This reflects work performed by the City Engineer primarily attributable to Project 03-A. The
project is not likely to move forward at this time due to extenuating circumstances. Site plan
review is not imminent at this time. Discussion/direction on how to proceed is welcomed.
Action:
A MOTION is in order to approve the financial reports.
·
2) College Avcnue North' PO Box 668 . Sdint. joseph, Minnesota )6,74
Phone ,2.0.,6,.72.01 ~:a X 12.0.,63.0,42.
/'
/ ~. Invoice
/
Municipal Development Group Invoice Number:
25562 Willow Lane STJ04110204
New Prague, MN 56071
Ited States Invoice Date: ,
MUNICIPAL Nov 2, 2004
Voice: 952-758-7399 DeVELOPMENT GROUP, INC. Page:
Fax: 952-758-3711 1
Duplicate
Sold To: Ship to: RI1ZCEI\¡¡¡:;rJ
i . ~ 10 ?;.c.-,o
CITY OF ST. JOSEPH
PO BOX 668 NOV 0 3 2.004
ST. JOSEPH, MN 56374
CITY OF ST. JOSEPH
Customer ID Customer PO Payment Terms
ST. JOSEPH Net 30 Days
Sales Rep ID Shipping Method Ship Date Due Date
Airborne 12/2/04
Quantity Item Description Unit Price Extension
1.00 ctober EDA Office Hours: 40 hour 1,885.7 1,885.7
ontact: 32.25 actual hours: Oct
6th (7.25), Oct. 8th (3.0), Oct.
l.oJileage þ3th (7.25), Oct. 20th (7.0) and
ct. 27th (7.75)
666.5 miles at .375 per mile 249 . 94 249.94
ll'dNC LXfM·~
-- ~/-
Subtotal 2,135.64
Sales Tax
Total Invoice Amount 2,135.64
Check No: Payment Received
. TOTAL 2,135.64
25562 Willow Lane · New Prague, MN 56071 · (952) 758-7399 · Fax (952) 758-3711
www.municipaldevelopmentgroup.com .. staff@municipaldevelopmentgroup.com
\S'C::. -4t...~ ò,......' 'J .","1.
CITY OF ST JOSEPH 11/10/041:20 PM
Page 1
EDA Revenues
Current Period: November 2004
·
YTD %
SOURCE SOURCE Descr 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 lOB DEPOSIT $0.00 $0.00 $0.00 0.00%
36210 Interest Earnings $0.00 -$25.31 $25.31 0.00%
39201 Transfers from Other $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 $9,852.93 $7,927.07 55.42%
39201 Transfers from Other $0.00 $0.00 $0.00 0.00%
FUND 155 TIF 1-3 Borgert (SKN) $17,780.00 $9,852.93 $7,927.07 55.42%
FUND 156 TIF 1-4 St. Joe Development
31050 Tax Increment $55,088.00 $0.00 $55,088.00 0.00%
34150 TIF/MIF DEPOSIT ßO.OO $0.00 $0.00 0.00%
34151 lOB DEPOSIT $0.00 $0.00 $0.00 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
33130 Federal Grants-Community $0.00 $0.00 $0.00 0.00%
36210 Interest Earnings $0.00 $60.64 -$60.64 0.00%
36212 CDAP Loan Interest $1,383.00 $1,351.77 $31.23 97.74%
39312 CDAP Loan Proceeds $7,899.00 $7,156.62 $742.38 90.60%
FUND 250 Revolving Loan Fund $9,282.00 $8,569.03 $712.97 92.32%
· $116,650.00 $18,396.65 $98,253.35 15.77%
·
CITY OF ST JOSEPH 11/10/04 1 :19 PM
Page 1
EDA Expenditures
Current Period: November 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 $120.00 $580.00 17.14%
151 Workers Compo Insur. Premo $100.00 $102.00 -$2.00 102.00%
200 Office Supplies $500.00 $461.23 $38.77 92.25%
300 Professional Services $27,000.00 $19,071.57 $7,928.43 70.64%
303 Engineering Fee $2,000.00 $5,309.87 -$3,309.87 265.49%
304 Legal Fees $1,000.00 $0.00 $1,000.00 0.00%
321 Telephone $1,200.00 $478.60 $721.40 39.88%
322 Postage $200.00 $104.00 $96.00 52.00%
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 $34,500.00 $25,647.27 $8,852.73 74.34%
=UND 150 Economic Development $34,500.00 $25,647.27 $8,852.73 74.37%
=UND 155 TIF 1-3 Borgert (SKN)
DEPART 46500 Economic Development Authority
300 Professional Services $838.00 $130.00 $708.00 15.51%
327 Tax Increment Certification $0.00 $0.00 $0.00 0.00%
340 Advertising $50.00 $73.43 -$23.43 146.86%
600 Debt Service - Principal $5,330.00 $3,734.36 $1,595.64 70.06%
. 611 Bond Interest $11,562.00 $5,625.92 $5,936.08 48.66%
. 620 Agent Fees $0.00 $0.00 $0.00 0.00%
EPART 46500 Economic Development $17,780.00 $9,563.71 $8,216.29 53.79%
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%
=UND 155 TIF 1-3 Borgert (SKN) $17,780.00 $9,563.71 $8,216.29 53.79%
=UND 156 TIF 1-4 St. Joe Development
DEPART 46500 Economic Development Authority
300 Professional Services $0.00 $130.00 -$130.00 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 $55,088.00 $130.00 $54,958.00 0.24%
UND 156 TIF 1-4 St. Joe Development $55,088.00 $130.00 $54,958.00 0.24%
UND 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 $0.00 $0.00 $0.00 0.00%
.
CITY OF ST JOSEPH 11/10/041:19 PM
Page 2
EDA Expenditures
Current Period: November 2004
.
YTD %
OBJ OBJ Descr Budget Exp Expense Balance of Budget
=UND 250 Revolving Loan Fund $0.00 $0.00 $0.00 0.00%
$107,368.00 $35,340.98 $72,027.02 32.92%
.
.
CITY OFST JOSEPH 11/10/041:17 PM
Page 1
EDA Check Register
.
:HECK # Search Name Comments FUND DEPART Amount
134598 St. JOSEPH NEWSLEADER Annual Disclosure 150 46500 $73.43
134638 MUNICIPAL DEVELOPMENT CORP July EDA Services 150 46500 $130.00
134638 MUNICIPAL DEVELOPMENT CORP July EDA Services 150 46500 $130.00
)34638 MUNICIPAL DEVELOPMENT CORP July EDA Services 150 46500 $1,848.83
134651 US LINK telephone service 150 46500 $30.62
\34661 DEUTZ, MICHAEL 2004 EDA Meeting 150 46500 $120.00
134733 LEAGUE OF MN CITIES INS TRUST work camp 150 46500 $102.00
34746 MUNICIPAL DEVELOPMENT CORP eda services, 150 46500 $2,218.70
134748 OFFICE MAX paper 150 46500 $150.00
,34762 SEH engineering - 150 46500 $334.77
134763 SHAMROCK LEATHERS, INC plaque, Deutz 150 46500 $48.99
34767 STAMP FULFILLMENT SERVICES stamped 150 46500 $100.00
34801 TDS METROCOM telephone 150 46500 $60.00
134887 MUNICIPAL DEVELOPMENT CORP eda services, 150 46500 $2,205.22
,34901 TDS METRO COM telephone 150, 46500 $64.64
$7,617.20
.
.
CITY OF ST JOSEPH 11/10/041:15 PM
Page 1
EDA Report
.
2004 YTD November 2004
Account Descr Budget 2004 Amt YTD Amt Balance
UND 150 Economic Development
E 150-46500-103 Legislative Bodies $700.00 $0.00 $120.00 $580.00
E 150-46500-151 Workers Compo $100.00 $0.00 $102.00 -$2.00
E 150-46500-200 Office Supplies $500.00 $0.00 $461.23 $38.77
E 150-46500-300 Professional $27,000.00 $0.00 $19,071.57 $7,928.43
E 150-46500-303 Engineering Fee $2,000.00 $0.00 $5,309.87 -$3,309.87
E 150-46500-304 Legal Fees $1,000.00 $0.00 '$0.00 $1,000.00
E 150-46500-321 Telephone $1,200.00 $0.00 $478.60 $721.40
E 150-46500-322 Postage $20Ó.00 $0.00 $104.00 $96.00
E 150-46500-327 Tax Increment $0.00 $0.00 $0.00 $0.00
E 150-46500-331 Travel & $500.00 $0.00 $0.00 $500.00
E 150-46500-340 Advertising $1,000.00 $0.00 $0.00 $1,000.00
E 150-46500-433 Dues & $0.00 $0.00 $0.00 $0.00
E 150-46500-582 Computer Software $300.00 $0.00 $0.00 $300.00
E 150-46500-587 Special Projects $0.00 $0.00 $0.00 $0.00
E 150-46500-700 Misc $0.00 $0.00 $0.00 $0.00
UND 150 Economic Development $34,500.00 $0.00 $25,647.27 $8,852.73
UND 155 TIF 1-3 Borgert (SKN)
E 155-46500-300 Professional $838.00 $0.00 $130.00 $708.00
E 155-46500-327 Tax Increment $0,00 $0.00 $0.00 $0.00
E 155-46500-340 Advertising $50.00 $0.00 $73.43 -$23.43
E 155-46500-600 Debt Service - $5,330.00 $0.00 $3,734.36 $1,595.64
E 155-46500-611 Bond Interest $11,562.00 $0.00 $5,625.92 $5,936.08
. E 155-46500-620 Agent Fees $0.00 $0.00 $0.00 $0.00
'.155 TIF 1-3 Borgert (SKN) $17,780.00 $0.00 $9,563.71 $8,216.29
UND 156 TIF 1-4 St. Joe Development
E 156-46500-300 Professional $0.00 $0.00 $130.00 -$130.00
E 156-46500-304 Legal Fees $5,409.00 $0.00 $0.00 $5,409.00
E 156-46500-327 Tax Increment $0.00 ·$0.00 $0.00 $0.00
E 156-46500-340 Advertising $100.00 $0.00 $0.00 $100.00
E 156-46500-600 Debt Service - $28,198.00 $0.00 $0.00 $28,198.00
E 156-46500-611 Bond Interest $21,381.00 $0.00 $0.00 $21,381.00
E 156-46500-620 Agent Fees $0.00 $0.00 $0.00 $0.00
UND 156 TIF 1-4 St. Joe Development $55,088.00 $0.00 $130.00 $54,958.00
UND 250 Revolving Loan Fund
E 250-46500-304 Legal Fees $0.00 $0.00 $0.00 $0.00
E 250-46500-490 Revolving Loan $0.00 $0.00 $0.00 $0.00
UND 250 Revolving Loan Fund $0.00 $0.00 $0.00 $0.00
$107,368.00 $0.00 $35,340.98 $72,027.02
.
CITY OF ST. JOSEPH
. www.cityofstjoseph.com
Administfdtor DATE: November 10, 2004
Judy Weyrens
MEMO TO: St. Joseph Economic Development Authority
Mdyor FROM: d¡\r1 F (;' ~~
Larry I. Hosch Joanne Foust & Cynt Îa mith-Strack, Municipal Development Group
RE: EDA Board Member Expense Reports - 2004
Councilors
AI Rassier
Ross Rieke Background:
MDG, Inc. has reviewed official meeting minutes and created expense report authorization
Gary Utsch forms for each Board Member. The expense reports will be distributed at the EDA meeting for
Oalc Wick your review and signatures.
Action:
No action is required.
.
.
2.) Coil eg e A v e n u e Nor t h . P 0 ß 0 x 6 6 8 . S a i n t. J 0 s e ph, M inn es 0 t a ) 6 , 7 4
Phone 12.0.,6,.72.01 fd x 12.O.16,.oi42.
CITY OF ST. JOSEPH
· EXPENSE REPORT
conomlc eve opmen
Name: ROSS RIEKE Period: 2004
Date Board/Commission Meetin Location Fee
01-21
04-28-2004 Economic Devl. Authori St. Joseph City Hall $20.00
05-19-2004 Economic Devl. Authority St. Joseph City Hall $20.00
06-16-2004 Economic Devl. Authority St. Joseph City Hall $20.00
· 07-21-2004 Economic Devl. Authority St. Joseph Cit Hall $20.00
08-11-2004 Economic Devl. Authority Hall $20.00
09-15-2004 $20.00
10-20-2004 $20.00
11-17-2004 $20.00
12-15-2004 Economic Devl. Authori St. Joseph City Hall $20.00
TOTAL Economic Devl. Authority $240.00
Signature Date
· Chair Signature Date
CITY Of ST. JOSEPH
. www.cityofstjoseph.com
DATE: November 10, 2004
Administfdtor MEMO TO: St. Joseph Economic Development Authority
/udy Weyrens ~lf ~L~
FROM: Joanne oust & Cynthia h-Strack, Municipal Development Group
MdYor RE: MDG, Inc. Contract for Economic Development Services - 2005
Ldrry . Hosch
Councilors Background:
AI Rdssier MDG, Inc. has provided economic development consulting services to the City of St. Joseph
Ross Rieke since August of 2001. MDG, Inc. is interested in continuing to provide these services and work
Gary Utsch with the EDA and community to further commercial and industrial development.
Odle Wick Enclosed is a letter outlining previous contract arrangements and the proposed contract for
2005.
Action:
It is requested the EDA take action on the extension of the Economic Development Consulting
. Services Contract with MDG, Inc.
.
2.) College Avenue North, PO I)ox 668 . Sdint. Joseph, Minnesotd )6,74
Phone ,2.0.161.72.01 Fd x 12.0,,6,.0,42.
~.
. MUNICIPAL
DEVELOPMENT GROUP, INC.
November 12, 2004
City Administrator Weyrens
Mayor and City Council
Economic Development Authority
St. Joseph EDA
City of St. Joseph
25 College Avenue, PO Box 668
St. Joseph, MN 56374
Dear Administrator Weyrens, Mayor and Council and EDA Members:
Over the previous three and one-half we have enjoyed working with the EDA, City Staff and Business
Community on various economic development projects as the City's Economic Development Consultants.
We see tremendous potential for continued commercial and industrial growth in 2005 and in the future. We
have had the opportunity to work with a number of business contacts that are currently implementing their
plans as well as begin coordinating a number of projects that we are planning projects for 2005. We feel
consistency in business contact and development is important.
In December 2003, we entered into a one-year contract for economic development consulting services for
calendar year 2004. We are very interested in continuing to assist the EDA and City with economic
development projects. Our current fees are $1,885.70 per month for 40 hours of contracted service, or
. $47.14 per hour of contracted service. The previous contract rate was $1,500 per month for 35 hours or
$42.86 per hour of contracted service. Hours in less than or in excess of the monthly contracted amount
have been 'banked' with a final adjustment made in December of each year. The 'banked hours' concept
was introduced due to the variability of projects and there associated demand on contracted hours. In 2003
when MDG was under contract for 35 hours per month additional contracted hours were relatively common.
In 2004 as a means of decreasing the amount of hours 'banked' the contract was revised to include 40 hours
of contracted service per month. Thus far in 2004 the City has accrued a credit of 'banked' hours indicating
the 40 hours per month is slightly high.
Therefore, we propose a contract rate of $1,750 for 35 hours of service per month (420 hours per year) or an
average of $50.00 per contracted hour for 2005. In addition we proposed a flat rate of $5(5/hour for additional
hours above 35 per month. The preliminary budget includes a total of $27,000 for professional contract
services or a total of 540 annual hours at $50/hour. We welcome the opportunity to extend the contract
through the end of calendar year 2005, at which time the contract may be re-evaluated by both parties.
If you have any questions regarding our current or future services, please do not hesitate to contact us at
952-758-7399 or at staff@municipaldevelopmentgroup.com.
Thank you!
Cynthia Smith-Strack, Principal
Municipal Development Group Inc.
// _-1 .'
l¡/1,i..·~~ic-1LL
Joanne Foust, Principal
Municipal Development Group, Inc.
. : -1 FLt-
25562 Willow Lane. New Prague, MN 56071. (952) 758-7399 . Fax: (952) 758-3711.
staff@municipaldevelopmentgroup.com . www.municîpaldevelopmentgroup.com
. ~.
M U N I C I PA L
DEVELOPMENT GRouP,INC.
DATE: September 8, 2004
MEMO TO: . Economic Development Authority
FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group
RE: Economic Development Activity Report mid-October to mid-November 2004
Municipal Development Group, Inc. has been interacting with a number of prospects throughout the past
three and a half years. 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. Most recent correspondence occurred on October 20th and
November 3rd.
. 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 commercial sites at various times
throughout the previous three years. MDG last followed up with the contact on October 6th via a lengthy
phone conversation. The contact requested additional information from the City on October 20th.
Project 01-1:
This business originally contacted the City in 2001. In 2002 they noted their project was on-hold. The
company contacted MDG again in June of this year requesting information on available commercial sites in
the City. MDG has forwarded additional information and remained in contact with this prospect, including b~
phone on October 6th and via email on October 3rd, 8th and 9th. MDG met with the prospect on October 10
and em ailed additional information requested, including contact information for potential lessees.
Project 01-J:
This company owns commercial lease space adjacent to CSAH 75. MDG has remained in contract with this
developer over the past several years. MDG spoke with the developer re: lease space remaining and
confirmed price on October 6th.
Project 02-H:
This development contact re-initiated contact with the City in July of this year on behalf of a client. MDG
forwarded requested information and has continued to offer additional assistance. Latest correspondence
occurred on October 20th via fax.
Project 02-L:
This project involved the construction of industrial lease space (Le. incubator space) in the Buettner Business
. Park. MDG last followed up with the property owner on October 20th and 2th.
EDA Monthly Project Report - October 2004 Page 1
Project 02-AA:
. This project is now seeking the issuance of a building permit for the construction of a facility in Buettner
Business Park. MDG last followed up with the còntact on October 20th and 2ih.
Project 02-R:
This contact owns a business in the area and is currently leasing space. Earlier in the year the developer
entered an agreement to purchase an 8+ acre industrial site in the City. The developer is not prepared to
undertake development on the parcel at this time. MDG continues to remain in contact with the prospect.
MDG most recently followed up on October 20th and 2ih and November 9th.
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 correspondence occurred
phone on October 20th and November 10th.
Project 03-1:
This contact owns a series of retail establishments in communities the size of 81. Joseph. The contact is
specifically seeking a franchisee to establish a presence in St. Joseph. MDG mailed a letter to the contact
on November 3rd and gave a potential developer information on this project on November 10th.
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. In August project representatives
indicated an agreement for sale of the property appeared imminent. MDG last followed up with the property
owners on October 2ih and November 3rd.
Project 03-U:
Inquiry forwarded to MDG on October 1, 2003 regarding a potential commercial development in St. Joseph.
. MDG followed up on October 20th.
Project 04-8:
This developer purchased an industrial lot in the City earlier in the year. The prospect has no immediate
construction plans. MDG follows up with the prospect routinely offering to assist as needed. MDG most
recently followed up on October 20th and November 3rd.
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. MDG most recently followed up
on October 20th and November 3rd via phone.
Project 04-F:
This prospect contacted MDG in May of 2004 regarding commercial lease space in the downtown area.
MDG spoke with the prospect on October 6th, emailed the contact on October 20th and spoke with the contact
on November 10th. Contact information for this project was forwarded to Project 01-1 on November 10th.
Project 04-H:
MDG met with a representative on May 26, 2004 regarding a building in the downtown which has been listed
for sale. Most recent follow-up occurred on November 3rd. A potential sale of the property is reported.
Project 04-K:
A representative from Project 04-K contacted the City on August 11th regarding office lease space. MDG
forwarded information regarding previous inquiries for office space (as authorized for distribution) and
regarding current lease space available. Contact information from this project was forwarded to Project 01-1
on November 10th.
.
EDA Monthly Project Report - October 2004 Page 2
Project 04-M:
· This business is currently located in another community and is considering relocating to St. Joseph. MDG
spoke with the project contact on October 20th, 26th and 2ih. Emailed on November 3rd. MDG met with the
City Administrator and Buildinál Official on November 10th regarding the project. MDG received an email from
the contact on November 10 and spoke with the contact via phone regarding the outcome of the meeting
earlier in the day. This contact has secured the services of an architect.
Project 04-0:
This prospect contacted MDG on November 2nd requesting information on existing commercial lease space
and vacant acreage available for purchase. MDG emailed information requested on November 3rd and
followed up via phone. The prospect emailed for additional information on November ih and phoned on
November 9th. MDG last spoke with the prospect on November 10th and tentatively set up a meeting for the
17th. MDG forwarded contact information to Project 01-1 after confirming with this contact.
·
·
EDA Monthly Project Report - October 2004 Page 3
CITY OF ST. JOSEPH
. www.cityofstjoseph.com
Administrator DATE: November 10,2004
ludy Weyrens
MEMO TO: St. Joseph Economic Development Authority
Mayor FROM: jWI-f ( (if
Ldrry I. Hosch Joanne Foust & Cyntlìla mith-Strack, Municipal Development Group
RE: 2005 EDA Meeting Schedule
Cpuncilors
AI Rdssier
Ross Rieke Background:
MDG, Inc. has prepared the regular meeting schedule for 2005. Copies of the calendar will be
Gdry Utsch distributed at the meeting.
Oale Wick
Action:
No action is required.
.
.
2.) College Avenue North· PO Box 668 . Saint. Joseph. Minnesotd )6174
Phone ,2.0.,6,·72.01 fd x '32.0 ' , 6 1 .0 ,42.