The URL can be used to link to this page

Home My WebLink About2004 [12] Dec 15 . CITY OF ST. JOSEPH www.cityofstjoseph.com St. Joseph Economic Development Authority Meeting Notice Ad~inistrator VVednesday,Decernber15,2004 Judy Weyrens 3:00 p.m. City Hall MdYor 1. Call to Order. Larry J. Hosch 2. Approval of Agenda. Councilors AI Rassier 3. Approval of Minutes. Ross Rieke a. November 17,2004. Regular Meeting. Gdry Utsch 4. Financial Report. Oalc Wick a. Approval of Accounts Payable. b. Financial Report. 5. Business. . a. Introduction of Guests: Mayor and Council Elect b. 2004 Draft Annual Report. c. Initial Utility Analysis for Proposed Developments. 6. Director Report. a. Prospect List/Activity Report. 7. Board Member Announcements. 8. Adjournment. . 2. ~ Call e g e A v e n u e Nor t h . PO ß 0 x b 6 8 . S'd i n t. J 0 s e ph, M inn e sot d ) 6 ,74 Phone ,2.0.,6".72.01 fd x ,2.0.,6,,0,42. . CITY OF ST. JOSEPH www,.cityofstjoseph.com DATE: December 8, 2004 Administfdtor MEMO TO: St. Joseph Economic Development Authority Judy Weyrens FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group MdYor RE: Accounts Payable - November 2004 Ldrry I. Hosch November Financial Report Councilors AI Rassier A. Accounts Payable: Ross Rieke Following are Accounts Payable for the EDA's Consideration. Gdry Utsch Payable To For Fund Amount Odle 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: November financial reports for the EDA are attached. The reports consist of: 1. EDA revenue to date. 2. EDA expenditures to date. 3. Check Register for November. 4. Fund Balances (Econ Dev. 150, TIF 1-3 155, TIF 1-4 156 and RLF 250). Action: A MOTION is in order to approve. the financial reports. . 2.) College Avenue North· PO Box 668 . Sdint. Joseph, Minnesotd )6,74 Phone ,2.0.36,.72.01 t:d x ,2.0.,6,.0'42. CITY OF ST JOSEPH 12/08/0410:15AM Pag~ 1 EDA Report · 2004 YTD December 2004 Account Descr Budget 2004 Amt YTD Amt Balance FUND 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 $2,135.64 $21, 207.21 $5,792.79 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 $32.70 $511.30 $688.70 E 150-46500-322 Postage $200.00 $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 FUND.150 Economic Development $34,500.00 $2,168.34 $27,815.61 $6,684.39 FUND 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 · 155-46500-620 Agent Fees $0.00 $0.00 $0.00 $0.00 F 155 TIF 1-3 Borgert (SKN) $17,780.00 $0.00 $9,563.71 $8,216.29 FUND 156 TIF1-4 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 FUND 156 TIF 1-4 St. Joe Development $55,088.00 $0.00 $130.00 $54,958.00 FUND 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 FUND 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 12/08/049:02 AM . Page 1 EDA Check Register · :HECK # Search. Name Comments FUND DEPART Amount )35013 MUNICIPAL DEVELOPMENT CORP 32.25 HRS EDA 150 46500 $2,135.64 )35041 TDSMETROCOM telephone 150 46500 $32.70 $2,168.34 · · CITY OF ST JOSEPH 12/08/04 9:33 AM Page 1 EDA Revenues · Current Period: December 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 IDB DEPOSIT $0.00 $0.00 $0.00 0.00% 36210 Interest Earnings $0.00 -$25.31 $25.31 0.00% 39201 Transfers from Other $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 S1. Joe Development 31050 Tax Increment $55,088.00 $0.00 $55,088.00 0.00% 34150 TIF/MIF DEPOSIT $0.00 $0.00 $0.00 0.00% 34151 IDB DEPOSIT $0.00 $0.00 $0.00 0.00% FUND 156 TIF 1-4 S1. Joe Development $55,088.00 $0.00 $55,088.00 0.00% FUND 250 Revolving Loan Fund 33130 Federal Grants-Community $0.00 $0.00 $0.00 0.00% 36210 Interest Earnings $0.00 $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 12/08/04 9:25 AM Page 1 EDA Expenditures · Current Period: December 2004 YTD % OBJ OBJ Descr Budget Exp Expense Balance of Budget FUND 150 Economic Development DEPART 46500 Economic Development Authority 103 Legislative Bodies $700.00 $0.00 $700.00 0.00% 151 Workers Compo Insur. Premo $100.00 $102.00 -$2.00 102.00% 200 Office Supplies $500.00 $330.11 $169.89 66.02% 300 Professional Services $27,000.00 $17,472.68 $9,527.32 64.71% 303 Engineering Fee $2,000.00 $2,506.77 -$506.77 125.34% 304 Legal Fees $1,000.00 $0.00 $1,000.00 0.00% 321 Telephone $1,200.00 $286.80 $913.20 23.90% 322 Postage $200.00 $102.00 $98.00 51.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 331 Travel & Conference Expense $500.00 $0.00 $500.00 0.00% 340 Advertising $1,000.00 $0.00 $1,000.00 0.00% 433 Dues & Subscriptions $0.00 $0.00 $0.00 0.00% 582 Computer Software $300.00 $0.00 $300.00 0.00% 587 Special Projects $0.00 $0.00 $0.00 0.00% 700 Mise $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $34,500,00 $20,800.36 $13,699.64 60.29% FUND 150 Economic Development $34,500.00 $20,800.36 $13,699.64 60.29% FUND 155 TIF 1-3 Borgert (SKN) DEPART 46500 Economic Development Authority · 300 Professional Services $838.00 $0.00 $838.00 0.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 340 Advertising $50.00 $0.00 $50.00 0.00% 600 Debt Service - Principal $5,330.00 $0.00 $5,330.00 0.00% 6t1 Bond Interest $11,562.00 $0.00 $11,562.00 0.00% 620 Agent Fees $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $17,780.00 $0.00 $17,780.00 0.00% DEPART 49301 Transfer to other Funds 700 Mise $0.00 $0.00 $0.00 0.00% DEPART 49301 Transfer to other Funds $0.00 $0.00 $0.00 0.00% FUND 155 TIF 1-3 Borgert (SKN) $17,780.00 $0.00 $17,780.00 0.00% FUND 156 TIF 1-4 St. Joe Development DEPART 46500 Economic Development Authority 300 Professional Services $0.00 $0.00 $0;00 0.00% 304 Legal Fees $5,409.00 $0.00 $5,409.00 0.00% 327 Tax Increment Certification $0.00 $0.00 $0.00 0.00% 340 Advertising $100.00 $0.00 $100.00 0.00% 600 Debt Service - Principal $28,198.00 $0.00 $28,198.00 0.00% 611 Bond Interest $21,381.00 $0.00 $21,381.00 0.00% 620 Agent Fees $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $55,088.00 $0.00 $55,088,00 0.00% FUND 156 TIF 1-4 St. Joe Development $55,088.00 $0.00 $55,088.00 0.00% FUND 250 Revolving Loan Fund DEPART 46500 Economic Development Authority · 304 Legal Fees $0.00 $0.00 $0.00 0.00% 490 Revolving Loan $0.00 $0.00 $0.00 0.00% DEPART 46500 Economic Development Autho $0.00 $0.00 $0.00 0.00% CITY OF ST JOSEPH 12/08/049:25 AM Page 2 EDA Expenditures . Current Period: December 2004 YTD % OBJ OBJ Descr Budget Exp Expense Balance of Budget FUND 250 Revolving Loan Fund $0.00 $0.00 $0.00 0.00% $107,368.00 $20,800.36 $86,567.64 19.37% . . CITY OF ST. JOSEPH · wwW'.cityofstjoseph.com DATE: December 8, 2004 MEMO TO: St. Joseph Economic Development Authority Administrdtor FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group I udy Weyrens RE: Introduction of Guests: Mayor Elect and Council Member Elect Möyor Lörry I. Hosch Background At the previous meeting Mayor Hosch suggested inviting the Mayor Elect and Council Councilors Member Elect to the December meeting for introductions and a discussion about the AI Rdssier function of the EDA. Ross Rieke Action Göry Utsch No action required. Introduction of newly elected officials, brief statement from each official Odic Wick and brief overview of EDA function. · · 2.) College Avenue North, PO Box 668 . Sdint. Joseph. Minnesotd )6174 Phone ,2.0,36,.72.01 fd x ,2.0,,6,.0,42. DRAFT 2004 ANNUAL REPORT OF THE ST. JOSEPH EDA · The following activities and events occurred during the calendar year of 2004. 2004 APPOINTMENTS: The following appointments to offices were made at the February 20, 2004 EDA meeting: Chair: Ross Rieke (Council Representative, term expires 2006). Vice Chair: Larry Hosch (Mayor, term expires 2005). Treasurer: Mike Oeutz (At-large representative, term expires 2005). Secretary: Bruce Gohman (At-large representative, term expires 2006). Member at Large: Tom Skahen (At-large representative, sworn in February 19,2004; term expires 2007) Board Member Mike Deutz diligently served the EDA from its inception through June 2004. Mr. Deutz tendered his resignation in June. The Board welcomed St. Joseph resident, business owner and Chamber of Commerce President - Elect Mr. Ken Jacobson to the EDA Board. Mayor Hosch appointed Jacobson to the Board to complete the remainder of Mr. Oeutz's term. ( . MEETING DATES: The St. Joseph Economic Development Authority met 12 times during the year 2004. The meeting dates were as follows: January 21, 2004 July 21, 2004 February 18, 2004 August 11, 2004 April 21, 2004 September 15, 2004 April 28, 2004 (Special) October 20, 2004 May 19, 2004 November 17,2004 · June 16, 2004 December 15, 2004 MISSION: The mission of the EOA is to provide a professional management program which assists industrial and commercial development activities that minimize impacts to the environment, transportation system, municipal water and sewer and financial resources for the City of St. Joseph. The EDA conducted prioritization analysis during 2004 and selected the following priorities: 1, Promote industrial developments that maximize the return on city investments in public facilities and services, expand the tax base, provide quality employment opportunities and compliment existing services. 2. Work diligently with property owners to develop future industrial areas adjacent to current industrial zoned land to assure an adequate supply of industrial land is available for development in the future. 3. Retain existing industrial uses and encourage new industrial development to locate in existing industrial parks and industrially zoned areas. 4. Identify activities complementary to existing industrial uses and promote/facilitate the development of such industries. 5. Work with the College of St. Benedict and the Chamber of Commerce to proactively and consistently promote a downtown atmosphere that projects an image and ambiance associated with St. Joseph's history and its association with higher education as a means of creating a distinct identity for the City's downtown. · City of St. Joseph EDA 2004 Annual Report 1 DRAFT 2004 PROSPECTSITECHNICAL ASSISTANCE/COORDINATION The EDA members and their staff/consultants worked with a number of commercial and industrial businesses . during 2004. Seventeen (17) new business contacts were made during 2004, and eighteen (18) contacts from previous years were followed up with. Of the new prospects approximately 60% were commercial/service businesses while 40% were industrial or manufacturing. That compares with previous year prospects of which 43% were commercial/service businesses while 57% were industrial or manufacturing businesses. Following is a summary of the various contacts. Businesses have been identified with a project number to protect the confidentiality of the company, which is sometimes a concern while they explore expansion opportunities. Project 01-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 three and a half years. Proiect 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 and a half years. 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. Project 01-J: This developer owns a commercial subdivision in St. Joseph. MDG has provided information on the available sites to prospects over the past three years. Three structures have been constructed in the subdivision since its platting. Project 01-N: . MDG, Inc. has been in contact with this prospect for the past 2 1/2 years. This prospect has purchased a commercial lot in the Indian Hill Subdivision in 2003 and constructed a facility in the subdivision in 2004. Project 02-E:- This company contacted the City in February, 2002 regarding commercial sites % to 1 acre in size for a 5,000 square foot commercial enterprise. MDG, Inc; remained in contact with this prospect who eventually purchased a parcel in the township industrial park in 2004. Proiect 02-G: Construction of an approximately 13, 000 square foot facility was finalized in 2004. Project 02-L: This project involved the construction of industrial lease space (Le. incubator space) in the Buettner Business Park. MDG continues to follow up with the property owner regarding lease space. Project 02-Y This prospect contacted MDG in the fall of 2002 indicating he had met with City representatives a few years ago regarding new construction in the Buettner Business Park. In 2004 this contact purchased a lot in the township industrial park. Proiect 02-AA Construction of a 10,000 square foot facility is nearing completion. Proiect 02-FF: This prospect phoned the City in late December 2003 inquiring about a specific lot in the Buettner Business Park. MDG, Inc. remains in contact with the prospect. . City of St. Joseph EDA 2004 Annual Report 2 . DRAFT Project 03-1: This lead contacted the City in search of 5,000 s.f. of retail space to lease. MDG, Inc. remains in contact with this · prospect. Proiect 03-K: This prospect contacted the City in May 2003. The prospect was in the very initial stages of researching the establishment of a retail business within the community. This project is currently inactive. Proiect 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. Proiect 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. Project 03-S: MDG, Inc. has been meeting with representatives of an estate which includes several acres of land guided for future industrial development. MDG, Inc. has met with representatives on several occasions and continues to work actively on the project. A sale is reportedly pending. Project 03- T: MDG, Inc. received a call from a realtor representing a client interested in purchasing a small amount of commercial acreage. This project is currently inactive. Project 03-U: Inquiry forwarded to MDG in October 2003 regarding a commercial development in St. Joseph. MDG, Inc. remains in contact with the prospect. · Proiect 04-A: This lead involved a wholesaler/re-packager in St. Cloud Area seeking to relocate. The contact ultimately decided to expand at the site of the existing facility in Foley. Project 04-B: 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 November 3rd. Proiect 04-C: This developer contacted the City in March of 2004 and inquired about vacant industrial acreage and financial incentives available. The contact closed on a parcel in the Buettner Business Park in June of 2004. 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. Project 04-E: This prospect contacted MDG in April regarding demographic and economic development data for St. Joseph. The prospect was considering a leasing commercial retail space in the community near the Wobegon Trail. This project is currently inactive. Project 04-F: This prospect contacted MDG in May of 2004 regarding commercial lease space in the downtown area. MDG remains in contact with this prospect nearly each week basis. · City of St. Joseph EDA 2004 Annual Report 3 DRAFT Project 04-H: MDG mef with a representative for this project regarding a building in the downtown which has been listed for sale. . A potential sale of the property is reported. Proiect 04-1: A commercial realtor in St. Cloud phoned MDG for information on commercial lease space for a client. Information was exchanged. Follow-up revealed the lead ultimately decided not to lease additional space. Project 04-J: Local developers cordially inquired as to the availability of landlbuildings in downtown. This lead is currently inactive. Project 04-K: A representative from Project 04-K contacted the City in August regarding office lease space. MDG forwarded information regarding previous inquiries for office space (as authorized for distribution) and regarding current lease space available. MDG remains in contact with the development representative. Project 04-L: This project involved consideration of the use of TIF to facilitate the expansion of an existing facility. The developer ultimately decided to not seek TIF. Project 04-M: This business is currently located in another community and is considering relocating to St. Joseph. This contact has secured the services of an architect. Project 04-N: This business owner contacted the City in September regarding available industrial acreage. MDG representatives have met with the prospect on a few occasions and remains in contact with the prospect. . Project 04-0: This prospect contacted MDG in November requesting information on existing commercial lease space and vacant acreage available for purchase. MDG remains in contact with this prospect. Project 04-P: This prospect contacted MDG in November to review applicable zoning standards, the process for rezoning and site, plan review and redevelopment TIF for a parcel in the northern portion of the City. Also discussed redevelopment tax increment financing. . City of St. Joseph EDA 2004 Annual Report 4 DRAFT BUILDING PERMITS: 1998 - 2004 Following is a five year comparison of building permits let for commercial and industrial projects in the City of 81. . Joseph: 1998 Sunset Mfging $250,000.00 1998 MCO Addition $300,000.00 1998 Borgert Products $725,000.00 1998 Kittridge Truck Storage $80,000.00 1998 Tamarack Addition ' $51,000.00 1998 Caseys $500,000.00 Subtotal $1,906,000.00 1999 Comm/rental $175,000.00 1999 Storage $60,000.00 1999 Bank $1,200,000.00 Subtotal $1,435,000.00 2000 Vicwest Remodel $21,000.00 2000 Vet Clinci $270,000.00 2000 Gas & Bait Expansion $16,500.00 2000 Lemmer Commercial $54,000.00 Subtotal $361,500.00 2001 Spring Green $143,000.00 2001 Autobody 2000 $280,000.00 2001 Ministorage $90,000.00 2001 Sunset Mfging $80,000.00 . Subtotal $593,000.00 Year Project Permit Amt. 2002 Essilor $20,000.00 2002 Scherer Trucking $26,530.00 2002 Tanner Systems $350,000.00 2002 Bill Nelson $650,000.00 2002 Vicwest $2,500,000.00 2002 American Manufacturing $210,000.00 2002 St. Joseph Business Ctr. $148,000.00 2002 Knight Builders $225,000.00 2002 Borgert Products $99,000.00 2002 Deutz $350,000.00 2002 Deutz $108,900.00 Subtotal $4,687,430.00 2003 Mn. Home Improvements 132,000.00 2003 DM Partnership 400,000.00 2003 OMS/MAC 1,409,000.00 2003 Lemmer Trucking 25,000.00 2003 North Central Truck Accessories 1,058,300.00 2003 BTL Properties 400,000.00 2003 DM Builders 4,895.00 2003 Midnight Haulers 2,500.00 2003 Midnight Haulers 30,000.00 . Subtotal $3,461,695.00 City of St. Joseph EDA 2004 Annual Report 5 DRAFT 2004 Kaeter Trucking 113,400.00 2004 Safeshred 585,000.00 . 2004 Mn. Association of Farm Mut. Insur. 305,000.00 2004 Stonehouse Properties, LLC 997,043.00 2004 BTUSt. Joseph Partners, LLC 350,000.00 2004 Holiday 50,000.00 2004 Beeline 12,000.00 2004 Central MN. Fed Credit Union 125,000.00 2004 Mark Loso 158,395.00 2004 OM Bldg. Remodel 13,000.00 Subtotal 2,708,838.00 TOTAL $15,153,463.00 . . City of St. Joseph EDA 2004 Annual Report 6 DRAFT DIVERSIFICATION OF THE TAX BASE: The following summary and chart indicate the progress toward the EDA's goal of diversifying the tax base: · City of St. Joseph - Historical Commercial & Industrial Construction 1997 $895,000.00 1998 $1,906,000.00 1999 $1,435,000.00 2000 $361,500.00 2001 $593,000.00 2002 $4,687,430.00 2003 $3,461,695.00 2004* $2,708,838 Total $15,153,463.00 * Total building permit value through November 2004. I Increase In Market Value I I I i -- $5,000,000.00 1 ' $4,000,000.00 · $3,000,000.00 $2,000,000.00 $1,000,000.00 $0.00 1997 1998 1999 2000 2001 2002 2003 2004* Year · City of St. Joseph EDA 2004 Annual Report 7 DRAFT Estimated An"ual* Increase in Taxes For All Jurisdictions . Year City County School State Misc 1997 $ 5,591.88 $ 4,905.49 $ 5,500.44 $ 6,302.59 $ 245.43 1998 $ 16,241.82 $ 14,248.16 $ 15,976.22 $ 18,306.09 $ 196.37 1999 $ 12,995.39 $ 11,400.22 $ 12,782.88 $ 14,647.05 $ 43.96 2000 $ 2,909.47 $ 2,552.34 $ 2,861.89 $ 3,279.25 $ 69.68 2001 $ 4,611.19 $ 4,045.17 $ 4,535.78 $ 5,197.25 $ 636.83 2002 $ 42,143.93 $ 36,970.81 $ 41,454.76 $ 47,500.25 $ 476.41 2003 $ 31,528.04 $ 27,658.00 $ 31,012.47 $ 35,535.12 $1,753.17 2004 $ 21,224.27 $ 20,706.77 $ 23,218.16 $ 26,604.14 $ 356.68 TOTAL $137,245.99 $122,486.95 $137,342.61 $157,371.74 $3,778.53 , Based on taxes payable 2003 {i.e. city tax rate 45.006; county tax rate of 42.38; school tax rate of 47.52; state tax rate of 54.45 and misc. tax rate .73% and tax capacity rates for commercial property of 1.5% for first $150,000 in value and 2.0% thereafter. Annual Increase in Taxes $50,000,00 /¡ $40,000.00 $30,000.00 $20,000.00 . $10,000,00 célûäi%", $0.00 ~,~""".. 1997 1998 1999 2000 2001 2002 2003 2004' Year . City of St. Joseph EDA 2004 Annual Report 8 DRAFT ADDITIONAL PROJECTS: The St. Joseph EDA actively pursued other projects during 2004. . Preparation of Information for Distribution to Develoøment Leads The The EDA created and distributed information to development leads as requested throughout the year. information includes a summary of development activity based on City data and commercial/industrial sales based on data from the Stearns County Assessor's Office. All data reflected is part of the public record. A summary of sample information created follows and includes: 1. A summary of current residential development activity, phasing and resulting increases in population. 2. A summary of historical commercial development activity. 3. A summary of residential building permit information for 2004. 4. A summary of sales of vacant commercial acreage. 5. A summary of sales of commercial facilities. 6. A summary of sales of vacant industrial acreage and industrial facilities. . . City of St. Joseph EDA 2004 Annual Report 9 () . -IN N N N N .... .... ....1-< ~ -f 'I*' 'I*' 'I*' 'I*' 'I*' 'I*' 'I*' 'I*' 'I*' -f -< CD :::J: c 'I*' en :::0 o 0 o 0 0 0 CD CD CD CD 0 Q, Q, Q, Q, Q, Q, Q, Q, m Q, Q, 0 C ã: (t) æ: 0 CD _0 B~~g~~~ ~ - Æ > c c c c c c c c < :s: (f) ,g: m - 'U DI .þ. en m CD (I) - .. (t) ,... 2. => => => $: 2. 2. 2. ,... c: S' z: · ~ -0 en ¡¡; ~ iZ ;::¡: ¡¡; ¡¡; ¡¡; 0 co c ~ en """"'i fI) fI) (t) "tI "2: ëñ 3 ¡¡¡ "U "U "U "U "U "U "U I'V == CD CI" - ;f 0 0 a a a a a a a 0 "TI C ::J ~ m "TI D> III c: '" "C "C '0 '0' '0 '0 '0 z: D> ~. ... z :::0 :T 0 0 0 0 0 0 0 ~. 0 m '" fI) '" fI) fI) fI) '" -f .:<: - '0 0 0 CD CD CD CD CD CD CD < <= "tI .:<: c:: ::r (I) - 0.. 0.. 0.. 0.. 0.. 0.. 0.. C z: '" :I: ::s m 3 C') (t) Q ~ Q Q Q Q Q » c => ;:;: cr :;T 2. - 0 !!¡ 0 en '" en """"'i is: I'V I'V I'V I'V I'V I'V I'V ¡¡; » .'" » ~ ~ C> C> C> C> C> Z "U "tI - II C> C> C> C> C> G') "U a a » I\) '" r- "" ~ C> CD . ex> -..¡ 0> 01 a -c "C 0 0 :...¡ 0 '0 0 0 0 .þ. ... 0 '" en r- ~ (') :e '" CD III :;T CD 0.. a.. » õ· 0.. C :J 0 :;T :J 8 c m !!!.. :s:: ëiJ '" ï < :::u :s:: -0 c= 0 () (') ::J CD m '0 a. ~ 0 0 m (J ... .þ. .þ. ex> ... r- ;:¡. ~ 6' ...., -..¡ 0 -..¡ ...., fjt en :::0 w "'tI 0 .... -f:ß -f:ß-f:ß -f:ß -f:ß - ::J 0 ... ~. S' ~cn _N _w _~ -f:ß -f:ß _~ _~ -f:ß c: C') - '"'tJ O-.. ~o)01W~tOCX> 0 1B - - :s:: .þ.o O)CX>tOO)wotO õ· » :ß , cocx> ~-..w~01o)01 Z ':Þ.ën ò)'".¡:,.OÒ1000 ~ r- 9' eno m cnw tOwooooo < "C .... I'V I'V .... CD:+ 0 <::r WCX> 01000000 !!!.. "C ... ex> ex> ... CD - z: co 0000000 C <= ::I II) c: iiï ::I """"'i 00 0000000 CD "'- c. m 0 ::J < g, en (.0) m èD c:: (.0) r- 1'> "'tI :s:: 0 0 ::I s: ..... ~ ~ ..... c. '"'tJ ... co ex> ... < CD' » s: ::E Ã1 < m -< c.. :z · - -I G> It> .... <iF> <iF> <iF> .- .- en .... II) w w w w w w w ~ m .... n ..... '" v..> ... Q1 ...., CD CD CD CD CD c.o CD 0 .... CD 000'00 C ... co 01 ... < 00000 CD' 00000 n :s:: ::E '00000 .-00000 0 000000 3 :s:: 000000 c 000000 3 » CD :::: ~» ..... j ~ ... ~ ~ ..... ~ ~ ~ ..... => I'V 0> ... -... <.õ> Q. UI I'V I'V I'V I'V I'V I'V ~ Q) ~ 01 UI o n <.õ> ... w I'V W I'V W I'V -..¡ ... "Co -..J C 3 ::I ..... Ch CD <.õ> .... ::I <.õ> n - ¢¢. ..... 0 <.õ> j 3: <.õ> Ch m~ <.õ> .... -< '" "'I => => => => => tn ::I 0 C ... => ... ... w ... ... --. CD co Q) Q) Q) Q) Q) C> C> Q) I'V ex> co a::l :;, 0 (") CDcc 0 :!. tn !!!. '" 0 c. 0 ~ CD 0 ..... '" ;:om 0 0 .... ... _.0 '" ... :t: c.C .... ... ... (Q- '" CDg- 0 0 ... v..> :¡:ó' ... ... => ~ w .... o >< .... -..¡ Q) 0> ~ .... =3 o 0 ::E .... CD -f ..... ..... ..... 0 -I .... ..... ..... ..... ..... ..... .... .... ..... .... co .... » 0 ... .... en en en en co cD en co ... ... · UI ... ..... .... ..... .... ..... en cD ..... .... UI ï ::u » .... ." 0 -t () -I I\) I\) I\) I\) I\) ...a. ...a. -< ~ !XI ...a. ;:c ,g: 0 0 0 0 0 0 CD CD CD CD 0 - 0 0 0 0 0 CD CD CD D) m -. '0 D) ~ Co) I\) ...a. 0 CD CO ...... Q) - .... .. '3 en - '" - 5' C 2 z m "t:! 0 ::T <: Q) Z m 3 r:1" 0 !!¡ -I » ~ 9' - N '" » 0 0 0 0 .>. .þ. r- » OJ :J :J c: c: !!!.. ~ - ::JJ ." r- eD "t:! CD C 0 .... ;:¡. 3 - ...>. Z (J) 0 (J) 01 IV ú) IV ú) it ú) 00 0 ,þ. ú) 00 0 01 C') -a m ;:c < :s: D) - - ~ c -I .þ. ~ ...>. ~ ~ ~ ~ ~ ~ CD en en 00 ú) ...... (J) IV _ú) ...>. -,þ. 0 ëø (J) 01 ...>. 0 ú) ...>. (0 ...>. .... c: en (J) 0 01 ,þ. (J) ú) IV ...... ." 0 00 (0 IV 0 ...>. ...>. (J) ...>. s: W -,þ. - 0 0 CD ú) (0 01 ...>. 0 co (J) 01 ,þ. 0 IV 0 0 0 .... s: :::I O! 00 ...... 0 0 0 0 0 0 ... 0. 0 0 0 0 0 0 0 0 ;::;: » 0 0 0 0 0 0 0 0 0 (J . ~ z :: - =- It> :I: .., (i)' -" ...... I\.) .þ en OJ a I\J - a a a a a a a 0 -" ::::!. CJ) (") CJ) ¡ I» ...... ';u -' CJ) <11 CJ) I (h OJ I 0- ...... CJ) I to CJ) I CJ) ! c -< I\J It> a 0- s:: a i a ::J I\J ! <a 0 "'tJ a ...... (þ I\J ; ... a 3 a ::;: I\J I\J (h 0 a w . 0 ::0 » ..... ,., ..... -I DRAFT . Sales Information - Vacant Commercial Property City of St. Joseph PARCEL DATE OF SALE SALES PRICE SALES PRICE/SQ EST MKT VALUE FT 2003 A 10/29/2003 $126,312 $2.89 $ 27,300 B 12/22/2003 $650,525 $3.32 $140,900 C 12/03/2003 $313,686 $3.60 $205,800 ~~p: II .. (;,liI/'p1 I;; :f'""I' m] W1 r := . "'¡J - '.¡ =m rr I - m~ ;¡¡¡¡¡ µ,- f) \ ~'- =- f- mm OOI'~ ~ r-- = Parcel B . ~~ I r '" At r-:- ~ ~ ~.¡:" ..-. ~r"" .,-- ~. ¡:::::::::=- I-- ~ l " ,;.,¡ ..... --- I t-- .Ht:::""J. .~~ ._._.~..... . .' 1 \,~-- I-- '---I........... Parcel A lia I"'LU ~~~~/ ~. .III.L~~~~~~~ . ~~~ ~ÆQj~- -=~II ~parcelC '-:¡J ~iiI&:r n mlUThL H..~ #- ... TT' ;"Y ~ - -, I \ ~ A ~9 II o:mrnl = 1 H CIIJ:I;IJ:.1 i ~ - H ^'¥ 1/77 A-. '^ ~~/ (\. ~ . City of St. Joseph EDA 2004 Annual Report 12 DRAFT · Sales Information - Commercial Land/Bldgs. City of St. Joseph PARCEL COMMON NAME DATE OF SALE SALES PRICE EST MKT VALUE 2003 A Ross Nesbit 'nsur 02/02/2004 . $150,000 $ 79,000 B Kay's Kitchen 12/16/2003 $500,000 $185,700 C Holiday Station Store 05/17/2004 $700,000 $460,700 D Non-Conforminç¡ Dwel/inç¡ 08/18/2004 $126,700 $ 72,700 E Credit Union 12/2/2003 $129,900 $ 82,300 F Papa G's Pizza 03/05/2004 $174,900 $101,800 G Loso Parking 06/28/2004 $ 13,500* $122,400 *Quit claim deed/unqualified sale PARCEL B PARCEL A \\ '--/ · 0 PARCEL C PARCEL E PARCEL F PARCEL G · City of 81. Joseph EDA 2004 Annual Report 13 DRAFT · Sales Information - Industrial Land/Bldgs. City of St. Joseph PARCEL COMMON NAME DATE OF SALES PRICE PRICE PER SQ 2003 ASSESSED SALE FT VALUE A Vacant Land - 04/30/2004 $118,928 $ .90 - Business Park B Vacant Land - 04/30/2004 $219,780 $ .61 - Business Park C Former D & D Welding 06/30/04 $175,000 N/A $154,900 D Kiffmeyer Property 10/24/03 $115,000 N/A $112,800 E Precise Refrig. 11/13/2003 $210,000 NIA $192,700 Parcel C Parcel B · Parcel D Parcel E ~ jJ -~...- T.DII. - -.-.-.....-.......... .......... COPNrY.~7S -._._.~.-._. COPNrY..I!CMD 7S _.~. ....._._.-.-.~ ~~ - - Q¡~~Q ~ _ ~ I 1-; \ 1\\ n ílì r---.. <\bl-,~ · City of St. Joseph EDA 2004 Annual Report 14 DRAFT Preparation of Inventorv of Available Commercial and' Industrial Land and Buildings for Sale or Lease. . The EDA has created a database of information regarding available commercial and industrial properties (for sale or lease). The database contains GIS information that is available with overlays of existing urban facilities/infrastructure, orthophotos, topography, soil types, wetlands and more. The data is tied to Stearns County's GIS database and includes information such as names of property owners, property identification numbers, estimated market values, property addresses and more. The EDA file includes electronic copies of: 1. Vacant commercial and industrial parcels available for sale within the community. 2. Commercial and industrial facilities available for sale within the community. 3. Commercial and industrial facilities for lease within the community. 4. A parcel by parcel inventory/examination of all properties within the B-1 Downtown Commercial District· zoning classification. Financial Incentives Available The EDA continues to offer the following incentives to qualified applicants. Tax Increment Financing The EDA reviewed one pre-application for the use of tax increment financing in 2004. The proposed use of economic development TIF was the expansion of an existing industrial facility. The EDA recommended the City Council approve the use of economic development TIF in conjunction with the project provided the incentive not exceed the amount proposed for eligible uses and that the applicant sufficiently demonstrate a gap in financing. The applicant pulled the pre-application prior to consideration by the City Council due to a perceived better use . of funds available for a down payment versus a TIF application ($2,000 application fee and $15,000 escrow requirement). EDA staff have reviewed TIF concepts with a variety of business prospects. Among TIF districts contemplated were economic development district(s), redevelopment district(s) and renovation/rehabilitation district(s). Economic development districts have the shortest duration (eight years of payable increment) whereas both redevelopment and renovation/rehabilitation districts can have a life of up to twenty five years. As you may be aware tax increment financing is a tool which allows the City/EDA to reimburse the company or land owner a portion of the new property taxes which are generated as a result of an expansion project. The amount of financial assistance available (TIF) is dependent upon a number of factors including but not limited to the assessed market value of the building and the financial need of the company. Tax Abatement Although EDA staff reviewed tax abatement as an incentive with many business prospects this year, no application for tax abatement were received. Like TIF, tax abatement is a tool which allows the City/EDA to reimburse the company a portion of property taxes which are generated within a specified period of time. The difference between TIF and tax abatement is that with tax abatement the County and/or school district have an option to participate (with TIF participation is mandatory). The amount of the tax abatement available depends on a number of factors, including, but not limited to the financial need of the company and participation by County and school entities. The legislature's omnibus bill includes a provision for the extension of tax abatement districts for up to twenty years in specific situations. The omnibus bill has not been acted on by the State legislature. Revolving Loan Fund . The revolving loan fund, established in 2002 through principal and interest payments from a MIF grant/loan have been building the fund, which has a current balance of approximately $10,000. City of St. Joseph EDA 2004 Annual Report 15 DRAFT · EDA staff have discussed the RLF with a few business contacts however no formal applications for assistance were received. Minnesota Community Capital Foundation The City of St. Joseph/EDA participates in the Minnesota Community Capital Foundation (MCCF). The MCCF became operable approximately 18 months ago. Throughout the year EDA staff have distributed information to several development prospects regarding the fund. Through the MCCF the City is able to offer up to $250,000 to qualified projects for a variety of uses (including working capital) on reoccurring basis. GOALS FOR 2005: Following were proposed EDA goals for 2004 with updates on progress toward goals and plans for 2005. EDA Work Plan: Recommendations relatinq to technoloQY: 1. Research the establishment of a low interest loan through state and regional sources or local tax levies to support commercial/industrial technology upgrades. ~ Implementation: St. Joseph Economic Development Authority and City Council. Update: The State has proposed a $1 million program to assist communities in actualizing local commercial/industrial technological upgrades. The proposal is included in a legislative action that has not been brought to a vote. The Citymay have an opportunity to assist local business establishments with technological upgrades via this program if approved. The City's revolving loan fund is also at a point where companies wishing to access capital for technological upgrades could tap into RLF resources. MCCF loans are also · available to assist with technological upgrades. Recommendations for Downtown Commercial [Re) Development: 1. The EDA should continue to promote rehabilitation of substandard properties and/or preservation of structures for rehabilitation in the Downtown. Uses should be centered on activities dependent on pedestrian traffic. ~ Implementation: St. Joseph Economic Development Authority. Update: EDA staff met with several contacts regarding potential developments in the downtown business district throughout 2004. Information regarding individual properties and exchange of information between leads seeking lease space and developer's seeking facility ownership/lease have been provided. Redevelopment TIF information has been distributed to interested parties. A detailed inventory of downtown parcels has been created and is on file. 2. The EDA should gauge business interest in participating in a commercial rehabilitation program and if strong interest exists, consider the application for funding to the Small Cities Development Program. ~ Implementation: The St. Joseph Economic Development Authority and City Council. Update: Businesses within the downtown have not demonstrated interest in participating in a commercial rehabilitation program which could involve storefront enhancements, coordination of design elements, installation of streetscape amenities, etc. · City of S1. Joseph EDA 2004 Annual Report 16 DRAFT 4. The Economic Development Authority should work with developers of new industrial parks to develop . covenants which provide for aesthetically pleasing and quality developments. ~ Implementation: Economic Development Authority. Update: EDA staff continues to work with owners of industrial property zoned or guided for industrial development. The 1-1 zoning standards have been amended to reflect standards prescribed by existing covenants specific to industrial parcels. . - - City of St. Joseph EDA 2004 Annual Report 18 CITY OF ST. JOSEPH · www.cityofstjoseph.com DATE: December 8, 2004 MEMO TO: St. Joseph Economic Development Authority FROM: Joanne Foust & Cynthia Smith-Strack, Municipal Development Group Administrator Judy Weyrens RE: Preliminary Estimate for Extension of Utilities MdYor Background Ldrry J. Hosch Staff has been working closely with a commercial development prospect. The development prospect is currently conducting pro-forma analysis on a parcel in St. Joseph. Preliminary Councilors estimates for extending utilities to the parcel are required for said analysis. The EDA has AI Rdssier assisted two other proposed developments with similar analysis in the past. At this time the Ross Rieke 2004 budget doesn't contain adequate funding to support the analysis which is estimated to Gdry Utsch cost approximately $1,500.00. Odic Wick Staff requests input how to proceed. Additional information will be available at the meeting. · · 2.) College Avcnue North, PO ßox 668 . Sdint Joseph, Minnesotd )6,74 Phone ,2.0,6,·72.01 fd x ,2.0,6,.0'42.