HomeMy WebLinkAboutEDA_Oct 17th_full packetCITY OF ST. JOSEPH
www.cityofstjoseph.com
75 Callaway Street East | Saint Joseph, Minnesota 56374
Email: cityoffices@cityofstjoseph.com | Phone: 320.363.7201 | Fax 320.363.0342
St. Joseph Economic Development Authority
Tuesday, October 17th, 2023
12:00 PM
75 Callaway St E (St. Joseph City Hall)
** The meeting will also be offered remotely via Zoom**
1.Call to order
2. Public Comments
3. Approve Agenda
4. Consent Agenda
a. Minutes – Requested Action: Approve the minutes of September 19th, 2023
b. Financial Report – September
5.Joetown Blocks – Mary Bruno and Ann Reisner
6.Highway Business Façade Grant
7.General Business/Development update
8.Board Member Announcements
9. Adjourn
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September 19th, 2023
Page 1 of 1
Pursuant to due call and notice thereof, the St. Joseph Economic Development Authority met on
Tuesday, September 19th, 2023 at 12:00 PM.
Members Present: Board Members Kevin Kluesner, Rick Schultz, Joe Bye, Larry Hosch
Members Absent: Kevin Kluesner, Dale Wick
City Representatives Present: Nate Keller Community Development Director,
Schultz called the St. Joseph Economic Development Authority meeting to order at 12:00 PM
Public Comments
Joe Walz provided update on his property and asked a few questions tied to assessments.
Agenda Approval: Bye made a motion to approve the agenda as presented; seconded by Schultz
and passed unanimously by those present.
Consent Agenda: Bye made a motion to approve the consent agenda as follows; seconded by
Hosch and passed unanimously by those present.
a. Minutes - Approve the minutes of August 15th, 2023
b.Financial Report – As of July and August
GSDC President
NeTia Bauman introduced herself and provided background on her experiences as it relates to Economic
Development work. The Board provided background on some priorities and Strategic Planning that is
occurring at the Council level.
Business Façade Grant
Keller mentioned a business owner in the B-2 District and off MN ST reached out asking about Façade
enhancements and incentives. Background on the Façade grant was provided by Keller. Program started
half dozen years ago with purpose being to spur re-investment in the downtown area and encourage
Façade enhancements on distressed properties.
Staff asked Board for input on geographic boundaries of the current program.
Schultz mentioned idea of creating a new program specifically for B-2 properties which would clearly
define the corridor boundaries and criteria. The Board recognized some properties in the B-2 are not
directly off the highway. Board agreed to have staff draft potential parameters for consideration.
CVB follow-up
Update provided to Board on conversation Keller and Murphy had with Bruno.
General Business/Development update
Keller updated Board on: Casey’s, Economic Dev. Training Keller will be attending next Mon-Thurs,
Business Retention visits, Obbink purchase of Sunset building, Feedmill property, CUP for
Wedding/Event venue off Jade Rd, 12,000 S.F. “spec” building being built in Industrial Park, and JR
Mobile site.
Adjourn: Kluesner made a motion to adjourn the meeting at 12:46 PM, seconded by Wick and
passed unanimously by those present.
Minutes by:
Nate Keller
Community Development Director
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EDA Agenda Item
________________________
MEETING DATE: October 17, 2023
AGENDA ITEM: September Finance Reports
SUBMITTED BY: Finance
BOARD/COMMISSION/COMMITTEE/COUNCIL RECOMMENDATION: N/A
PREVIOUS EDA ACTION: None
BACKGROUND INFORMATION:
Enclosed you will find the reconciled financial reports through September 30, 2023. The ending
undesignated balance shows a deficit of $10,774. The designated project balance is $45,947 for
economic development programs. The designation for capital programs includes the 2023 budget of
$30,000. The budget is paid for with tax proceeds and may not be spent during the year. The first half
taxes are received in June (70%)/July (30%). The second half will be received in December.
The other funds reported include the TIF funds, Lodging Tax, DEED CDAP Grant reimbursement and the
Revolving Loan fund. There are three revolving loans to Krewe and Flour to Flower Bakery; St. Joseph
Food Co-Op; and Jupiter Moon Ice Cream. The current revolving loan fund balance is $470,441 on
September 30th, including $427,054 reserved balance from the EDA fund to be used for future economic
development projects; $43,387 is available from the State’s RLF fund for future loan requests.
The Lodging Tax fund has a balance of $22,450 on September 30th. A summary of their activity is
enclosed in this report. Hats and t-shirts are being sold at the MN Street Market. The Co-op remits
sales proceeds monthly. City staff is monitoring the sales and inventory monthly.
BUDGET/FISCAL IMPACT: For Information Only
ATTACHMENTS: EDA Treasurer’s Report Summary
EDA Financial Summaries
EDA Trial Balance
EDA Summary CIP
CVB Financial Summary
REQUESTED BOARD ACTION: Consider acceptance of the September 2023 financial reports.
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4b
CVB 2023 Financial Summary
As of September 30, 2023
Beginning Fund Balance 1‐1‐23 (Audited)19,125.16$
Budget YTD Rev
Customer 2023 2023
Interest Earnings 300.00$ 148.09$
T‐shirt/Hats/Merchandise Sales 1,000.00 706.25
State of Minnesota Grant (from 2022 expenditures)‐ 4,321.46
Rodeway Inn Lodging Tax 10,500.00 7,797.94
CSB Lodging Tax 4,100.00 1,894.63
Estates B&B Lodging Tax 1,100.00 1,093.35
17,000.00$ 15,961.72$
Budget YTD Exp
Vendor 2023 2023
Professional Services ‐ Manage Social Media (Bruno Press)9,000.00$ 6,750.00$
Travel & Conference Expenses ‐$ ‐
IT Services ‐ Website/Social Media/QR Code Reader 600.00 497.88
Visitor's Bureau ‐ Rubinski Works ‐ Videos 500.00 ‐
Visitor's Bureau ‐ Photos 500.00 ‐
Community Programs ‐ Shop Small/Winterwalk/Feb/June 1,945.00 119.81
Visitors Bureau Prizes ‐ Swag Give‐Aways/Prizes 200.00 333.64
Marketing ‐ SHRPA 500.00 2,750.00
Marketing ‐ Campaigns 1,000.00 ‐
Visitor's Bureau ‐ Merchandise (Krillan/Rambow)1,000.00 812.55
Advertise ‐ Think Tourism USA 775.00 775.00
Advertise ‐ MN Trails Magazine 780.00 598.50
Advertise ‐ Newcomer Service Magazine 200.00 ‐
17,000.00$ 12,637.38
Ending Cash Balance 9‐30‐23 (Unaudited)22,449.50$
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St. Joseph Economic Development Authority
Summary Treasurer's Report - Fund 250
September 2023
Fund 250, EDA Balance as of December 31, 2022 (Audited)46,607.17
Year to Date Revenue:Budget YTD Actual
Interest Earnings 500 382.51
TIF/MIF Deposit - -
State of Minnesota Grant - (4,457.46)
Abatement Reimbursement (School District)9,385 9,382.00
Ad Valorem Taxes 120,800 54,090.40
Total Revenue 130,685 59,397.45
Year to Date Expenditures by Object:
Board Stipends 1,050 (455)
Staff Salaries/Training 57,745 (36,973)
Software Support/Office Supplies/Postage 1,610 (2,388)
Professional Services 1,000 (2,828.50)
Telephone 1,435 (1,009.47)
Greater St. Cloud Development Investment 5,000 (5,000.00)
Dues and Memberships (Other)295 -
Advertising 150 -
Abatement Payments (Country Manor)36,400 (19,928.29)
Marketing 500 (250.00)
Computers 500 -
EDA Programs 30,000 (4,000.00)
Transfer to Other Funds - -
Total Expenses 135,685 (72,832.01)
Fund Summaries as of September 30, 2023:
EDA Fund Balance - Fund 250 - unaudited, cash balance 33,172.61
Designated for Capital Programs 43,946.96
Undesignated (10,774.35)
TIF 4-1 Fortitude Senior Apts Fund Balance - Fund 253 24,527.06
TIF 2-1 Millstream Shops and Lofts Fund Balance - Fund 257 39,997.58
TIF 2-3 Bayou Blues & Alley Flats Fund Balance - Fund 259 995.06
Lodging Tax Fund Balance - Fund 220 22,449.50
DEED CDAP Grant Fund Balance - Fund 225 54,399.40
Revolving Loan Fund Balance - Fund 251 470,440.52
Designated for Revolving Loan Program 43,386.61
Designated for Economic Development 427,053.91
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2023 Capital Expenditures
General Fund Capital Improvement Plan ‐ EDA
Final adopted December 19, 2022
12/31/2022
Available through 9/30 through 9/30
Project Project Reserve Budget Grants/Aids Spent 2023
Department Account Code Number Equipment Balance 2023 2023 2023 Balance
EDA 250-46500-582 EDA-1401 Computer Software 3,306.74 500.00 3,806.74
EDA 250-46500-588 EDA-1402 Business Development 14,140.22 30,000.00 4,000.00 40,140.22
RLF 251-46500-588 EDA-1402 Business Development 427,053.91 ‐ 427,053.91
441,194.13 30,000.00 ‐ 4,000.00 467,194.13
TOTAL EDA CIP 444,500.87 30,500.00 ‐ 4,000.00 471,000.87
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EDA Agenda Items 5-7
MEETING DATE: October 17th, 2023
AGENDA ITEM: 5-7
PREVIOUS BOARD ACTION:
5 – none
6 – discussion occurred last month with direction to create a new template for potential B-2 Façade Grant
7-updates provided as needed
BACKGROUND INFORMATION:
5 – Joetown Blocks
Mary Bruno and Ann Reisner will be attending to present idea for “Joetown Blocks”. Some preliminary
ideas for the event include:
•Having it on a Sunday in May or June
•Shutting down portion of Minnesota St
•Band with stage for live music (lighter type of music)
•Few booths for some local businesses
6 – Highway Business Façade Grant
Since its inception the Façade grant has helped numerous downtown district businesses with façade
enhancements. Staff has been working with a business owner who is located in the B-2 Highway district
who inquired about Façade types of assistance.
Per direction from last month’s meeting staff has modified the Façade Grant template to allow for
potential consideration of expanding program to B-2 Highway District. Staff would like input from Board
on the template draft along with geographical boundaries of the grant program.
7 – General Business/Development update
Tracker provided with updates in green font. Verbal will be provided on JR Mobile, Feedmill, and the
former Casey’s gas station.
BUDGET/FISCAL IMPACT: 5. Unknown more information will be provided
6.If Boundary adjustments are made to Façade grant this will
result in potentially more applications and funds being spent (but
funds spent would still stay within budget allocations).
ATTACHMENTS: Drafted Façade Grant Application for Highway Business District
REQUESTED BOARD ACTION:
5 – Financial support to help cover cost for band, stage, bathrooms, etc.
6 – input on drafted template and direction on expanding Façade grant to Highway Business district
7 – informational
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ST. JOSEPH HIGHWAY COMMERCIAL DISTRICT
FAÇADE GRANT PROGRAM
PURPOSE
The St. Joseph Highway Commercial Façade Grant Program provides incentives to stimulate visible
investment in St. Joseph businesses that are located directly abutting Highway 75 as defined in the “main
corridor area” shown in Exhibit A.
The program provides a matching grant for design and construction costs, up to $2,000 per property
address, per calendar year. Qualifying projects must be of located in the “main corridor area”, be an
approved design, be applied for by commercial property owners and/or merchants, be applicable to exterior
building, landscape improvements, and other similar improvements visible from a public right-of-way.
Approved projects will be funded on a first-come/first-served basis until all funds are expended. In addition,
the opportunity exists that the St. Joseph Economic Development Authority’s revolving loan program could
be available to assist with construction costs associated with the implementation of façade designs.
ELIGIBILITY
1.All work must be done on the exterior of the building/property and/or result in a publicly visible
improvement seen from Highway 75.
2.All work done must be in accordance with the City of St. Joseph Code of Ordinances, and the building
code. All required permits must be obtained. Work shall include the correction of any known exterior
building code violations.
3.Work in progress or performed prior to project approval will typically not be eligible for funding unless
the EDA finds significant underlying purposes for work beginning prior to project approval.
4.Funds may be used for the design of exterior building improvements, awnings, windows, doors and/or
site landscaping, other than sod or seed, resulting in a publicly visible improvement and for actual
construction costs related to an approved improvement. Other uses may also be eligible if prior approval
is granted by the St. Joseph Economic Development Authority.
5.Signs are eligible for this program but must be in connection with a façade improvement project. Sign
are not eligible as a “stand-alone” project unless approved by the EDA.
6.The following types of property are not eligible:
•Tax delinquent
•Special Assessment delinquent
•Property in litigation
•Property in condemnation or receivership
•Tax exempt properties
•Exclusively residential buildings
•New construction projects on lots previously undeveloped (redevelopment and/or rehabilitation
projects remain eligible) unless it results in a project beyond typical construction and is consistent
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with Design Standards and is found to have a significant impact
• Property considered non-conforming to the City’s Code of Ordinances, unless the proposed
improvements are intended to correct all the non-conforming issues.
PROJECT APPROVAL GUIDELINES
Program oversight and authority for grant approval is delegated to the City of St. Joseph Economic
Development Authority. The Economic Development Authority will review and approve all grants based on
the following guidelines:
1. A project for which an application has been received will only be reviewed if it is filled out completely.
Photographs illustrating subject building(s) and property and proposed site changes/improvements may
be required by the EDA.
2. Multiple property owners must submit separate applications for each property/project.
3. Any business owner under a lease who submits an application must obtain and provide written consent
of the property owner.
4. Preference will be given to projects which:
• Will positively contribute to the City revitalization/renewal efforts
• Will eliminate a blighting influence
• Will result in a visible improvement that would not be made otherwise
• Will result in a property that transitions to an allowable commercial use (e.g. converting a non-
conforming residential use on a commercial zoned property into appropriate commercial use.)
• Demonstrate a ratio of private investment to public investment greater than 2:1
5. Project is consistent with the Comprehensive Plan, transportation plans, and other applicable plans.
6. Projects must be completed within a timely manner from date of official project approval (i.e. one year
with a maximum extension of an additional six months). As indicated, dollars are limited and
reimbursement will be made after project improvements are completed, and reimbursement requested.
7. Grant Disbursement
Awarded loan funds will be dispersed to the applicant upon submittal of receipts or invoices for
supplies purchased and inspection which certifies the work completed is in accordance with the EDA
approval and other city ordinances.
PROPERTY OWNER REQUIREMENTS
Upon the application submittal for a project, the Applicant will play an important role in a partnership that
includes the City of St. Joseph and the Economic Development Authority. The following may be required to
review plans depending on the scope of the project: City staff, the Planning Commission, the EDA and the
City Council. Those required to review the plans and/or grant application will review design drawings,
proposed work specifications, and the architectural materials. Below are items that will be required of as
part of completing your project.
1. Attendance at an informational meeting which will outline the entire project procedure.
2. Property owners’ attendance at various meetings, reviews etc. with representatives of either the City or
EDA to expedite various stages of the project.
3. All work to be done on the project shall be the sole responsibility of the property owner. The City of St.
Joseph/EDA administers the grant program herein and the City/EDA is not responsible for any work
undertaken as a result of the grant. The owner hereby holds the City and EDA harmless for any and all
liability commencing out of any work constructed and paid for the design grant herein.
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APPLICATION FOR
ST. JOSEPH HIGHWAY COMMERCIAL DISTRICT
FAÇADE GRANT PROGRAM
** Please remember to include photos of your building(s) and/or property as they relate
to the types of improvements indicated on this application. **
APPLICANT AND PROPERTY OWNER INFORMATION:
Applicant
Phone: Email:
Mailing Address:
Property Owner:
Phone: Email:
Mailing Address:
PROJECT INFORMATION:
Business Name:
Business Address:
1. On the attached page, please identify the specific improvements you are proposing for the building(s)
and/or property.
2. Based on the proposed improvements identified, please provide your best estimate of the entire
project cost: $
3. If the project cost comes in at, or exceeds your estimate, do you have private funds readily available
to complete the proposed the project? Yes No
If No, by what means will you secure funding and still complete the project within a timely manner
4. If your project is approved, does completing the project timely pose any concerns for you?
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Yes No
If yes, Please list those concerns:
PROJECT DESCRIPTION
Please provide an accurate and thorough summary of your project. The photographs taken of your
building(s) and property will assist in a visual manner to further support your written project description.
Based on the description of your project and your motivation for wanting to make these improvements,
please place a check mark next to those project preference item you feel your project meets.
Will positively contribute to the City’s revitalization/renewal efforts.
Will eliminate a blighting influence.
Will result in a visible improvement that would not be made otherwise.
Result in a ratio of private investment to public investment greater than 2:1.
Building Permits & Inspections
Applicant is responsible for obtaining appropriate building permits, per the Building Code and/or City of
St. Joseph Zoning Ordinance. In the case of improvements that do not require a city-issued building
permit, the applicant must submit the name and state license number of the contractor completing the
work and agree to an inspection of the work by a city building official.
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Grant Disbursement
Awarded loan funds will be dispersed to the applicant upon submittal of receipts or invoices for supplies
purchased and inspection which certifies the work completed is in accordance with the EDA approval and
other city ordinances.
Certification
City staff or an authorized representative shall have the right to inspect the property to be improved at any
time from the date of application upon giving due notice to the owner and to occupants.
I/We understand that any intentional misstatements will be grounds for disqualification.
I/We authorize program representatives the right to access the property to be improved for the purpose of
the grant program and to take photographs of the structure before and after rehabilitation.
I/We further understand that I/we will make the final selection of the improvements to be made with the
loan funds and that the contract for improvements will be solely between myself and the contractor(s).
The administering agency will not be liable for the inadequate performance of the contractor(s).
The information on this application is accurate. I have read, understand, and agree to comply with the
program criteria for the St. Joseph Highway Commercial Facade Grant Program.
Signature of Applicant Date
Signature of Owner(s) (if different than Applicant) Date
Contact:
Nate Keller, Community Development Director
(320) 557-3524
nkeller@cityofstjoseph.com
Submit completed application by email to nkeller@cityofstjoseph.com or to:
St. Joseph Government Center
75 Callaway St. E
St. Joseph, MN 56374
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EXHIBIT A
INSERT EXHIBIT ON ELIGIBLE PROPERTIES WITHIN B-2 DISTRICT
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DEVELOPMENT TRACKER
Project
numbe
r
Name/locatio
n area
Type Status
01-A Summit
Commons
Storage (outside) yard C.U.P. going to
Council on Oct. 16th
01 – B Obbink Expansion of production area Property closed on
July 14th
01-C Knife River Rail Expansion Phase 1 complete.
Phase 2 unknown
for timing.
01- D Cultural café New commercial cultural café space Looking for
space/buildings/lan
d. Meeting had and
connections made
to property owners.
List of potential
properties provided
to group by staff.
01 - E Wedding/Even
t venue
Wedding/Event Venue amendment in RR areas Council approved
C.U.P. on 09/05.
Two conditions of
C.U.P. asked to be
reconsidered.
Council directed
staff to work with
applicant and bring
forth modifications
to original C.U.P.
resolution
01 – H Low Density Residential Subdivision expansions
near Kennedy
Discussion with one
of the property
owners on 08/08.
Staff monitoring
potential funding
programs from the
State to spur
growth. If funds are
offered city should
consider applying
01 – I East Park Expansion of Park Funding acquired
through DNR grant
and LCCMR.
Construction
pushed to 2024 due
15
to timing on
LCCMR.
01 – J Joetown Apts 2 Phase market rate apt complex (just south of
100 units)
Construction begun
on Phase 1.
01 – K Downtown
Redevelopmen
t
Redevelopment in Downtown Numerous
properties along
Ash St converted or
in process of
conversion from
Residential to
Commercial.
Kensington Bank
now open!!!
01 – L JR Mobile Redevelopment of Gas Station parcel Property has been
sold! Staff working
with purchaser on
vision and rezone to
B-1 Downtown
Commercial
(existing zoning is R-
3)
01 – M Gateway area Green field Commercial development – Gateway Bonding request
submitted and
lobbyist hired
01 – N Northside
Commercial
Redevelopment of Northside Commercial area Visioning discussion
with purchaser of
Sunset building.
01 – O Elm St Roadway expansion – Elm St Follow-up with
property owners on
alignment
continues.
Engineering in
design phase
01 – P Rolling Ridge Expansion of Commercial Facility Numerous
discussions with
property owner.
Zoning information
and building
information
provided on process
needed and steps to
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approval (PUD
required)
01 – Q Lutgen Relocation of business and new commercial
construction
Discussion with
owner. Information
on TIF/Abatement
provided to
business owner.
01 – R MN Home
Improvements
New Commercial build – MN Home Improvements Project on hold.
Variance approvals
extended till 2024.
01 – S 20th Ave
growth
Plat to do Storage buildings and transition to
residential. High – medium – low density
Purchase of
property has been
made. Pre-
development
meeting in July.
01 – T Adam Hansen
Woodworks
80,000-90,000 S.F. Manufacturing facility.
Existing business expansion looking to consolidate
into one lot/building.
Lots in Industrial
Park sent to owner.
Owner had pre-
development
meeting with staff
in May. Follow-up
has occurred
regarding
TIF/Abatement, city
fee’s, and approvals
needed. Meeting
occurred in July.
01 – U Industrial Park
expansion
Expansion of Industrial Park Expansion needed
should a large user
be interested in
locating in St. Joe.
Discussion with land
owners/developers
01- V Meyer
Expansion –
old Industrial
Park
Industrial Building Expansion. Possible 6 + new
jobs
Awaiting sketches
for review
01-W Dollar Tree New retail building Discussion on
potential lots.
01 – X Brenny
Trucking
Relocation and expansion of existing St. Joe
Business – 100,000 S.F. + potential outside
storage/parking
Not ready to move
forward.
Connections made
between land
owner and business
owner.
01 – Y Boutique hotel Developers reached out to or heard from include:
Midnight group, Golder hospitatilty, Cobblestone,
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John Meyer (WP hotel developer…maybe not a
good fit).
01-Z Hiltner
warehouse
11,900 S.F. warehouse facility Building permit
issued and
construction
underway. Item will
be deleted from
tracker
02-A Full Circle
Water
25,000 S.F. expansion. Retention of 28 FTE and
adding 6-10 FTE
Held meeting with
owner, DEED, HRA,
GSDC, and project
partners
02 – B Feedmill
property
Potential rehab or knock down Property has been
sold
Tracker is a sampling of projects and is not exhaustive.
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