Loading...
HomeMy WebLinkAbout06_18_24_EDA packetSt. Joseph Economic Development Authority Tuesday, June 18th, 2024 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 – May 21st b.Financial Report – May c.TIF Reports 5.Grant request/discussion for 1511 Minnesota St E 6.Business Subsidy and TIF/Abatement Policy updates 7. 2025 Budget discussion 8.General Business updates 9.Board Member Announcements Zoom Meeting Information Join Zoom Meeting https://us06web.zoom.us/j/82698897944?pwd=b1RaeE5IenZ0L0Z0ejF4UWhvWUVidz09 Meeting ID: 826 9889 7944 Passcode: 725385 1 Apr 16th, 2024 Page 1 of 1 Pursuant to due call and notice thereof, the St. Joseph Economic Development Authority met on Tuesday, May 21st, 2024 at 12:00 PM. Members Present: Board Members Joe Bye, Larry Hosch, Kevin Kluesner, Dale Wick Members Absent: Rick Schultz City Representatives Present: Nate Keller, Community Development Director Others present: Joe Walz Wick called the St. Joseph Economic Development Authority meeting to order at 12:00 PM Public Comments Joe Walz spoke on his property and continued interest he is receiving. Agenda Approval: Kluesner made a motion to approve the agenda as presented; seconded by Bye and passed unanimously by those present. Consent Agenda: Hosch made a motion to approve the consent agenda as follows; seconded by Wick who added to the motion a correction on the minutes from April 16th and then the amended motion passed unanimously by those present. a. Minutes – Apr. 16th b.Financial Report – As of April Business Subsidy Policy and TIF/Abatement Policy Updates Keller provided an overview of suggested changes to the Subsidy and TIF/Abatement policies. The policies were last updated in 2002 and late 2000’s according to records. Questions were asked on: evaluating projects based on job numbers and the importance of not always rating projects high based on quantity of jobs created, purpose of the Appendix, and items tied to how projects are rated. Keller will bring back some more revisions next month with intent to request for action on the Policies. General Business/Development update Updates by Keller were provided and included: Feedmill property, Synergy Site, Business Retention Visit @ Chiropractic Connection in June, Great River Energy Powerline removal, Council approval of Hansen Abatement and Zoning items, Joetown Blocks event on June 9th, Boutique hotel, GSDC Annual meeting on Thursday May 23rd from 4-6 @ the Ledge in Waite Park. Kluesner asked about: Wedding Event Venue and House of Hern status updates. Adjourn: Kluesner made a motion to adjourn the meeting at 12:19 PM, seconded by Bye and passed unanimously by those present. Minutes by: Nate Keller Community Development Director 2 EDA Agenda Item ________________________ MEETING DATE: June 18, 2024 AGENDA ITEM: May Finance Reports SUBMITTED BY: Finance BOARD/COMMISSION/COMMITTEE/COUNCIL RECOMMENDATION: N/A PREVIOUS EDA ACTION: EDA approved three façade grants; waiting to be reimbursed. BACKGROUND INFORMATION: Enclosed you will find the reconciled financial reports through May 31, 2024. The cash position on May 31, 2024 is $1,894. Of this amount, $58,447 is set aside for EDA program expenditures. This leaves an undesignated cash deficit of $56,553. The EDA is mainly funded with property taxes. The first half property taxes will be received the end of June and beginning of July. There is a $9,000 transfer to CVB for Joe Town Blocks. All the expenditures will run through fund 220- CVB. I also included a revenue/expense tracking spreadsheet for Joe Town Blocks in the packet. Most of the activity will be posting in June for the event. The other funds reported include the TIF funds, Lodging Tax, DEED CDAP Housing 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 CVB is mainly funded with lodging tax. Staff has been trying to reach out to Rodeway Inn. They have not remitted lodging taxes since March for lodging taxes through Feb. 2024. We were told they had a family emergency to respond to. Staff noted a lower than normal amount of lodging taxes. The Rodeway Inn remits the largest amount of lodging taxes to the CVB fund. If they have lower than normal rentals, this will reduce the availability of budget available for CVB to operate. BUDGET/FISCAL IMPACT: For Information Only ATTACHMENTS: Financial Summaries – EDA Funds REQUESTED BOARD ACTION: Consider acceptance of the May 2024 financial reports. 3 2024 Capital Expenditures General Fund Capital Improvement Plan ‐ EDA Final adopted December 4, 2023 12/31/2023 Available through 5/31 through 5/31 Project Project Reserve Budget Grants/Aids Spent 2024 Department Account Code Number Equipment Balance 2024 2024 2024 Balance EDA 250-46500-582 EDA-1401 Computer Software 4,306.74 ‐  4,306.74           EDA 250-46500-588 EDA-1402 Business Development 40,140.22 25,000.00 11,000.00        54,140.22         RLF 251-46500-588 EDA-1402 Business Development 427,053.91                 ‐  427,053.91      467,194.13                 25,000.00 ‐ 11,000.00        481,194.13      TOTAL EDA CIP 471,500.87 25,000.00 ‐ 11,000.00        485,500.87      BFA Grants Awarded, not paid as of 4/30/2024:Grant Match $ College & Minnesota, Quonset Building 106 2nd Ave NW front façade $2,000 Hudson Properties, new Gift Shop 13 Minnesota St W front façade $2,000 College & Minnesota, WR Home Company 33 1st Ave NW front façade upgrades $2,000 $9,000 transferred for Joe Town Blocks Project 4 St. Joseph Economic Development Authority Summary Treasurer's Report - Fund 250 April 30, 2024 Fund 250, EDA Balance as of December 31, 2023 (unaudited)44,824.43 Year to Date Revenue:Budget YTD Actual Interest Earnings 500 721.91 TIF/MIF Deposit - - State of Minnesota Grant - - Abatement Reimbursement (School District)9,385 - Ad Valorem Taxes 120,800 - Total Revenue 130,685 721.91 Year to Date Expenditures by Object: Board Stipends 1,050 (360) Staff Salaries/Training 57,745 (21,829) Software Support/Office Supplies/Postage 1,610 (1,271) Professional Services 1,000 (3,463.75) Telephone 1,435 (560.74) Greater St. Cloud Development Investment 5,000 (5,000.00) Dues and Memberships (Other)295 - Advertising 150 (167.74) Abatement Payments (Country Manor)36,400 - Marketing 500 - Computers 500 - EDA Programs 30,000 (2,000.00) Transfer to Other Funds - (9,000.00) Total Expenses 135,685 (43,652.06) Fund Summaries as of April 30, 2024 (unreconciled): EDA Net Position - Fund 250 - (unaudited), cash balance 1,894.28 Designated for Capital Programs 58,446.96 Undesignated (56,552.68) TIF 4-1 Fortitude Senior Apts Balance - Fund 253 29,953.81 TIF 2-1 Millstream Shops and Lofts Balance - Fund 257 43,639.88 TIF 2-3 Bayou Blues & Alley Flats Balance - Fund 259 146.58 Lodging Tax Balance - Fund 220 25,188.14 DEED CDAP Housing Grant Balance - Fund 225 56,633.94 Revolving Loan Balance - Fund 251 539,278.45 Designated for Revolving Loan Program 72,224.54 Designated for Economic Development 467,053.91 5 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 220 - CVB ASSETS 220-10199CASH25,188.14 TOTAL ASSETS25,188.14 LIABILITIES AND EQUITY FUND EQUITY 220-25310UNASSIGNED FUND BALANCE20,691.69 REVENUE OVER EXPENDITURES - YTD4,496.45 TOTAL FUND EQUITY25,188.14 TOTAL LIABILITIES AND EQUITY25,188.14 6 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 225 - DEED CDAP HOUSING GRANTS ASSETS 225-10199CASH56,633.94 TOTAL ASSETS56,633.94 LIABILITIES AND EQUITY FUND EQUITY 225-25310UNASSIGNED FUND BALANCE56,440.07 REVENUE OVER EXPENDITURES - YTD193.87 TOTAL FUND EQUITY56,633.94 TOTAL LIABILITIES AND EQUITY56,633.94 7 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 250 - EDA ASSETS 250-10199CASH( 1,905.72) 250-15500DUE FROM OTHER FUND3,800.00 TOTAL ASSETS1,894.28 LIABILITIES AND EQUITY FUND EQUITY 250-25310UNASSIGNED FUND BALANCE44,824.43 REVENUE OVER EXPENDITURES - YTD( 42,930.15) TOTAL FUND EQUITY1,894.28 TOTAL LIABILITIES AND EQUITY1,894.28 8 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 251 - REVOLVING LOAN FUND ASSETS 251-10199CASH539,278.45 TOTAL ASSETS539,278.45 LIABILITIES AND EQUITY FUND EQUITY 251-24415DESIGN. FD BAL - OPERATIONS467,053.91 251-25310UNASSIGNED FUND BALANCE65,125.25 REVENUE OVER EXPENDITURES - YTD7,099.29 TOTAL FUND EQUITY539,278.45 TOTAL LIABILITIES AND EQUITY539,278.45 9 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 253 - TIF 4-1FORTITUDE SENIOR APTS ASSETS 253-10199CASH29,953.81 TOTAL ASSETS29,953.81 LIABILITIES AND EQUITY FUND EQUITY 253-25310UNASSIGNED FUND BALANCE28,903.71 REVENUE OVER EXPENDITURES - YTD1,050.10 TOTAL FUND EQUITY29,953.81 TOTAL LIABILITIES AND EQUITY29,953.81 10 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 257 - TIF 2-1 MILLSTREAM SHOPS LOFTS ASSETS 257-10199CASH43,639.88 TOTAL ASSETS43,639.88 LIABILITIES AND EQUITY FUND EQUITY 257-25310UNASSIGNED FUND BALANCE43,552.29 REVENUE OVER EXPENDITURES - YTD87.59 TOTAL FUND EQUITY43,639.88 TOTAL LIABILITIES AND EQUITY43,639.88 11 CITYOFSTJOSEPH BALANCESHEET MAY31, 2024 FUND 259 - TIF 2-3BAYOU BLUES ALLEY FLAT ASSETS 259-10199CASH146.58 TOTAL ASSETS146.58 LIABILITIES AND EQUITY LIABILITIES 259-20500DUE TO OTHER FUND3,800.00 TOTAL LIABILITIES3,800.00 FUND EQUITY 259-25310UNASSIGNED FUND BALANCE( 3,665.93) REVENUE OVER EXPENDITURES - YTD12.51 TOTAL FUND EQUITY( 3,653.42) TOTAL LIABILITIES AND EQUITY146.58 12 CITY OF ST JOSEPH REVENUES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 CVB PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETCURRENT BUDGETUNEARNEDPCNT ECONOMIC DEVELOPMENT AUTHORI 220-46500-31600LODGING TAX2,430.431,219.9315,700.0015,700.0014,480.077.8 220-46500-33400STATE GRANTS AND AIDS4,321.46.00.00.00.00.0 220-46500-34409MARKETING150.00243.501,000.001,000.00756.5024.4 220-46500-36210INTEREST EARNINGS39.03106.23150.00150.0043.7770.8 TOTAL ECONOMIC DEVELOPMENT A 6,940.921,569.6616,850.0016,850.0015,280.349.3 OTHER FINANCING SOURCES 220-49302-39201TRANSFERS FROM OTHER FUNDS.009,000.00.00.00( 9,000.00).0 TOTAL OTHER FINANCING SOURCES.009,000.00.00.00( 9,000.00).0 TOTAL FUND REVENUE6,940.9210,569.6616,850.0016,850.006,280.3462.7 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 1 13 CITY OF ST JOSEPH EXPENDITURES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 CVB PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT ECONOMIC DEVELOPMENT AUTHORI 220-46500-208VISITORS BUREAU PRIZES.00.00200.00200.00200.00.0 220-46500-209VISITORS BUREAU MERCHANDISE.00.001,000.001,000.001,000.00.0 220-46500-300PROFESSIONAL SERVICES3,750.003,750.009,000.009,000.005,250.0041.7 220-46500-307JOE TOWN BLOCKS.00602.71.00.00( 602.71).0 220-46500-308COMMUNITY PROGRAMS.00.001,200.001,200.001,200.00.0 220-46500-309VISITORS BUREAU PHOTOS/VIDEOS775.00.00.00.00.00.0 220-46500-310IT SERVICES89.00297.00740.00740.00443.0040.1 220-46500-328MARKETING718.31.003,845.003,845.003,845.00.0 220-46500-340ADVERTISING.001,423.501,755.001,755.00331.5081.1 TOTAL ECONOMIC DEVELOPMENT A 5,332.316,073.2117,740.0017,740.0011,666.7934.2 TOTAL FUND EXPENDITURES5,332.316,073.2117,740.0017,740.0011,666.7934.2 NET REVENUE OVER EXPENDITURES1,608.614,496.45( 890.00)( 890.00)( 5,386.45)505.2 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 2 14 CITY OF ST JOSEPH REVENUES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 DEED CDAP HOUSING GRANTS PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT ECONOMIC DEVELOPMENT AUTHORI 225-46500-36210INTEREST EARNINGS164.93193.87500.00500.00306.1338.8 TOTAL ECONOMIC DEVELOPMENT A 164.93193.87500.00500.00306.1338.8 TOTAL FUND REVENUE164.93193.87500.00500.00306.1338.8 NET REVENUE OVER EXPENDITURES164.93193.87500.00500.00306.1338.8 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 3 15 CITY OF ST JOSEPH REVENUES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 EDA PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT ECONOMIC DEVELOPMENT AUTHORI 250-46500-31010CURRENT AD VALOREM TAXES289.96.00221,070.00221,070.00221,070.00.0 250-46500-33400STATE GRANTS & AIDS( 4,457.46).00.00.00.00.0 250-46500-36210INTEREST EARNINGS166.61721.91500.00500.00( 221.91)144.4 250-46500-36301TAX ABATEMENT REIMBURSEMENT4,691.00.009,385.009,385.009,385.00.0 TOTAL ECONOMIC DEVELOPMENT A 690.11721.91230,955.00230,955.00230,233.09.3 TOTAL FUND REVENUE690.11721.91230,955.00230,955.00230,233.09.3 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 4 16 CITY OF ST JOSEPH EXPENDITURES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 EDA PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT ECONOMIC DEVELOPMENT AUTHORI 250-46500-101EDA SALARIES13,731.7916,240.9140,510.0040,510.0024,269.0940.1 250-46500-103EDA LEGISLATIVE BODIES245.00360.001,200.001,200.00840.0030.0 250-46500-121PERA CONTRIBUTIONS1,029.891,219.773,040.003,040.001,820.2340.1 250-46500-122FICA CONTRIBUTIONS928.281,204.442,350.002,350.001,145.5651.3 250-46500-123DEFERRED COMP-EMPLOYER96.2596.25455.00455.00358.7521.2 250-46500-125MEDICARE CONTRIBUTIONS112.35.00550.00550.00550.00.0 250-46500-130H SA- EMPLOYER CONTRIBUTION402.50411.25825.00825.00413.7549.9 250-46500-131HEALTH INSURANCE2,243.102,323.156,720.006,720.004,396.8534.6 250-46500-132DENTAL INSURANCE157.60157.60505.00505.00347.4031.2 250-46500-133LIFE INSURANCE11.6511.6530.0030.0018.3538.8 250-46500-134DISABILTY INSURANCE135.63135.60405.00405.00269.4033.5 250-46500-151WORKERS COMP. INSUR. PREM.23.85.00225.00225.00225.00.0 250-46500-171CLOTHING ALLOWANCE.00.0020.0020.0020.00.0 250-46500-200OFFICE SUPPLIES57.80.00200.00200.00200.00.0 250-46500-300PROFESSIONAL SERVICES.003,368.751,500.001,500.00( 1,868.75)224.6 250-46500-303ENGINEERING FEE.00.001,000.001,000.001,000.00.0 250-46500-304LEGAL FEES2,626.0095.00500.00500.00405.0019.0 250-46500-310SOFTWARE SUPPORT1,654.231,271.263,415.003,415.002,143.7437.2 250-46500-321TELEPHONE564.90560.741,325.001,325.00764.2642.3 250-46500-328MARKETING.00.00520.00520.00520.00.0 250-46500-331TRAVEL & CONFERENCE EXPENSE.0027.95650.00650.00622.054.3 250-46500-340ADVERTISING.00167.74100.00100.00( 67.74)167.7 250-46500-433DUES & MEMBERSHIPS5,000.005,000.005,295.005,295.00295.0094.4 250-46500-582COMPUTER SOFTWARE.00.00500.00500.00500.00.0 250-46500-588EDA PROGRAMS2,000.002,000.0025,000.0025,000.0023,000.008.0 250-46500-622TIF/ABATEMENT PAYMENTS.00.00134,115.00134,115.00134,115.00.0 TOTAL ECONOMIC DEVELOPMENT A 31,020.8234,652.06230,955.00230,955.00196,302.9415.0 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 5 17 CITY OF ST JOSEPH EXPENDITURES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 EDA PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT OTHER FINANCING USES 250-49300-720TRANSFERS TO OTHER FUNDS.009,000.00.00.00( 9,000.00).0 TOTAL OTHER FINANCING USES.009,000.00.00.00( 9,000.00).0 TOTAL FUND EXPENDITURES31,020.8243,652.06230,955.00230,955.00187,302.9418.9 NET REVENUE OVER EXPENDITURES( 30,330.71)( 42,930.15).00.0042,930.15.0 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 6 18 CITY OF ST JOSEPH REVENUES WITH COMPARISON TO BUDGET FOR THE 5 MONTHS ENDING MAY 31, 2024 REVOLVING LOAN FUND PRIOR YTD AMOUNTYTD ACTUALORIGINAL BUDGETBUDGETUNEXPENDEDPCNT EDA 251-46500-36210INTEREST EARNINGS711.021,335.702,500.002,500.001,164.3053.4 251-46500-36320LOAN PRINCIPAL( 49,441.33)5,290.0213,410.0013,410.008,119.9839.5 251-46500-36321LOAN INTEREST629.72473.571,035.001,035.00561.4345.8 TOTAL EDA( 48,100.59)7,099.2916,945.0016,945.009,845.7141.9 TOTAL FUND REVENUE( 48,100.59)7,099.2916,945.0016,945.009,845.7141.9 NET REVENUE OVER EXPENDITURES( 48,100.59)7,099.2916,945.0016,945.009,845.7141.9 FOR ADMINISTRATION USE ONLY42 % OF THE FISCAL YEAR HAS ELAPSED06/13/2024 02:52PM PAGE: 7 19 CVB 2024 Financial Summary As of May 31, 2024 Beginning Fund Balance 1‐1‐24 (Audited)20,691.69$               Budget YTD Rev Customer 2024 2024 Interest Earnings 150.00$                         106.23$                     T‐shirt/Hats/Merchandise Sales 1,000.00                        243.75                       Joetown Blocks ‐                                  ‐                             Transfer from EDA ‐ Joetown Blocks ‐                                  9,000.00                    Rodeway Inn Lodging Tax 10,500.00                      447.29                       CSB Lodging Tax 4,100.00                        7.65                           Estates B&B Lodging Tax 1,100.00                        764.99                       16,850.00$                    10,569.91$               Budget YTD Exp Vendor 2024 2024 Professional Services ‐ Manage Social Media (Bruno Press)9,000.00$                      3,750.00$                 Travel & Conference Expenses ‐$                                ‐                             IT Services ‐ Website/Social Media/QR Code Reader 740.00                            297.00                       Visitor's Bureau ‐ Rubinski Works ‐ Videos ‐                                  ‐                             Visitor's Bureau ‐ Photos ‐                                  ‐                             Community Programs ‐ Shop Small/Winterwalk/Feb/June 1,200.00                        ‐                             Community Programs ‐ Joetown Blocks ‐                                  602.71                       Visitors Bureau Prizes ‐ Swag Give‐Aways/Prizes 200.00                            ‐                             Marketing ‐ SHRPA 2,845.00                        ‐                             Marketing ‐ Campaigns 1,000.00                        ‐                             Visitor's Bureau ‐ Merchandise (Krillan/Rambow)1,000.00                        ‐                             Advertise ‐ Think Tourism USA 775.00                            825.00                       Advertise ‐ MN Trails Magazine 780.00                            598.50                       Advertise ‐ Newcomer Service Magazine 200.00                            ‐                             17,740.00$                    6,073.21                    Ending Cash Balance 5‐31‐24 (Unaudited)25,188.39$               20 E Co Tip Act ACTUAL EXPENSES JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC YEAR Ent Employee Costs Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Police Security $720.00 $720.00 Fire Fighters $0.00 Public Works Staff $0.00 Subtotal $0.00 $0.00 $0.00 $0.00 $0.00 $720.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $720.00 Ent Contracted Services/Supplies Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Porta John's $930.96 $930.96 Dunk Tank $0.00 Water for Tank/Barricades $0.00 Band 1 $500.00 $500.00 Band 2 $0.00 Band 3 $0.00 Car Show Awards $0.00 Kids' Event Items $0.00 Raffle Tickets/Prize $23.96 $23.96 Tents/PA rental Plus 2 techs/steps $169.99 $1,000.00 $1,169.99 Subtotal $0.00 $0.00 $0.00 $23.96 $169.99 $2,430.96 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,624.91 Ent Marketing Costs Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR T-shirts $578.75 $578.75 Flyers $50.13 $50.13 Postcards/sandwich board $67.99 $77.43 $145.42 Social Media $0.00 Photographer $500.00 $500.00 Video $2,000.00 $2,000.00 Subtotal $0.00 $0.00 $0.00 $0.00 $696.87 $2,577.43 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $3,274.30 Ent Other Fees Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Special Event Fee $0.00 $0.00 Liquor License Fee $0.00 $0.00 Subtotal $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Tot TOTAL Planned Expenses Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Year Monthly Actual Expenses $0.00 $0.00 $0.00 $23.96 $866.86 $5,728.39 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $6,619.21 TOTAL Actual Expenses $0.00 $0.00 $0.00 $23.96 $890.82 $6,619.21 $6,619.21 $6,619.21 $6,619.21 $6,619.21 $6,619.21 $6,619.21 go placeholder is in this cActual Expenses 220-46500-307Joe Town Blocks 2024 21 Page 2 of 222 E En Tip Pla PLANNED REVENUES JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC YEAR Ent Revenue Sources Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Transfer from EDA $9,000.00 $9,000.00 Raffle 50/50 $5,000.00 $5,000.00 $10,000.00 $20,000.00 Dunk Tank $0.00 $0.00 $625.00 $625.00 Other - Vendor Registration Fees $500.00 $500.00 Total Revenues $0.00 $0.00 $0.00 $14,500.00 $5,000.00 $10,625.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $30,125.00 Pla ACTUAL REVENUES JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC YEAR Ent Revenue Sources Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Transfer from EDA $9,000.00 $9,000.00 Raffle 50/50 $1,330.00 $1,330.00 Dunk Tank $1,210.00 $1,210.00 Other - Vendor Registration Fees $400.00 $400.00 Total Revenues $0.00 $0.00 $0.00 $9,000.00 $0.00 $2,940.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $11,940.00 Pla REVENUE VARIANCE JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC YEAR Ent Revenue Sources Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YEAR Transfer from EDA $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Raffle 50/50 $0.00 $0.00 $0.00 ($5,000.00) ($5,000.00) ($8,670.00)$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 ($18,670.00) Dunk Tank $0.00 $0.00 $0.00 $0.00 $0.00 $585.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $585.00 Other - Vendor Registration Fees $0.00 $0.00 $0.00 ($500.00)$0.00 $400.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 ($100.00) Total Revenues $0.00 $0.00 $0.00 ($5,500.00) ($5,000.00) ($7,685.00)$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 ($18,185.00) Joe Town Blocks 2024 Detailed Revenue 220-46500-34410 go placeholder is in this c Tip: HOW TO USE THIS TEMPLATE Input data in the white cells on the PLANNED EXPENSES and ACTUAL EXPENSES worksheets, and the EXPENSE VARIANCES and EXPENSE ANALYSIS will be calculated for you. If you add a row on one sheet, the other sheets need to match. 23 EDA Agenda Items 5-6 and 8 MEETING DATE: June 18th, 2024 AGENDA ITEMS: 5, 6, 8 PREVIOUS BOARD ACTION: 5 - none 6 – drafted revisions presented at May meeting with feedback obtained from Board members 8 – none BACKGROUND INFORMATION: 5 – Grant request/discussion for 1511 Minnesota St E Staff has been working with Angela Larcom who purchased the building at 1511 MN ST E and is looking to do some improvements. 24 The improvements are mostly tied to parking lot expansion and re-paving. However, she is also looking at some landscaping improvements (shrubbery and trees around the perimeter of the lot). Given the Façade grant has been extended to the B-2 Highway district and portions of this property abut the Highway 75 corridor staff believes the landscaping can be eligible. However, staff would like input from the Board regarding eligible improvements the Board may support. Angela will attend the meeting to provide more background on her planned improvements. 6 – Business Subsidy and TIF/Abatement Policy updates Staff have worked with Northland and Taft law on updates to the city’s Subsidy policy. Based on last month’s discussion staff have clarified the purpose of the Appendix and redlined the proposed revised changes to the policy. Overall this is coming forward because the city needs to update the policy to be in align with State Statutory requirements. Updates are mostly tied to: •Adding wage goals (includes pay and wage amounts) •Adds Appendix with definitions •Adds new Pre-application and application forms •Revised TIF/Abatement scorecard (evaluation) Staff is looking for feedback on the policies and a recommendation. The Subsidy policy was last updated in 2002 and the TIF/Abatement in the late 2000’s. 8 – General Business updates Updates will be provided for the Synergy Site, Joetown Blocks, Hansen and Company, Industrial Park development, Housing developments BUDGET/FISCAL IMPACT: None ATTACHMENTS: BFA Highway District Façade Grant Existing Subsidy Policy Existing TIF/Abatement Policy Drafted Subsidy Policy with revisions Drafted TIF/Abatement Policy with revisions Drafted TIF scorecard with revisions REQUESTED BOARD ACTION: 5 – feedback on project in terms of items eligible for grant reimbursement 6 – recommendation on Subsidy Policy revisions and TIF/Abatement Policy revisions 7 – none just updates 25 1 City of St. Joseph Business Assistance and Subsidy Policy Adopted ________________ 1. PURPOSE 1.01 The purpose of this Business Assistance Policy (the “Policy”) is to provide a guideline for the City of St. Joseph (the “City”) to offer assistance for a qualified commercial development project (the “Project”). The Business Subsidies Statutes are codified as Minnesota Statutes 116J.993 through 116J.995 (the “Act”). 1.02 Section 116J.993, Subd. 3 of the Act defines a Business Subsidy as "a state or local government agency grant, contribution of personal property, real property, infrastructure, the principal amount of a loan at rates below those commercially available to the recipient, any reduction or deferral of any tax or any fee, any guarantee of any payment under any loan, lease, or other obligation, or any preferential use of government facilities given to a business." Appendix A lists forms of financial assistance that are not a business subsidy. The Policy shall be used as a guide in processing and reviewing applications requesting business assistance. 1.03 The City shall have the option of amending or waiving sections of the Policy when determined necessary or appropriate. Section 1161.994, Subd. 2 of the Act allows the City to deviate from its criteria by documenting in writing the reason for the deviation and attaching a copy of the document to its next annual report to the department. 2. STATUTORY LIMITATIONS 2.01 Business assistance requests subject to the Policy must comply with the Act. 3. GOALS 3.01 T he City will consider using a business assistance tool to assist private developments only in those circumstances in which the Project show a demonstrated financing gap and meet one of more of the criteria identified in the Policy. 4. APPROVAL CRITERIA 4.01 To be considered for business assistance pursuant to the Policy, the Project must meet the following mandatory minimum business assistance approval criteria listed below. It should not be presumed that if the Project meets these criteria that assistance will be approved by the City. A. The business assistance requested must be comply with the Act and any other applicable state laws , State Auditor interpretation, debt limit guidelines, and any other relevant financial requirements and policies of the City. B. The Project must meet one or more of the criteria listed in Section 5 of the Policy. C. The Project must be in accord with the Comprehensive Plan and Zoning Ordinances, or required changes to the Comprehensive Plan and Zoning Ordinances must be under active consideration by the City at the time of approval. D. The business assistance will not be provided if the Project is financially feasible without the benefit of the assistance. Assistance will not be provided solely to broaden a 26 2 developer's profit margins on the Project. Prior to consideration of a business assistance request, the City may undertake an independent underwriting of the Project to help ensure that the request for assistance is valid. E. Prior to approval of business assistance, the developer shall provide any required market and financial feasibility studies, appraisals, soil boring, information provided to private lenders for the Project, and other information or data that the City or its financial consultants may require to proceed with an independent underwriting. F. The developer requesting business assistance should be able to demonstrate past successful general development capability as well as specific capability in the type and size of development proposed. G. The developer must retain ownership of the project at least long enough to complete it, to stabilize its occupancy, to establish the project management, and to initiate repayment of the business assistance. H. The level of business assistance funding should be reduced to the lowest possible level and least amount of time by maximizing the use of private debt and equity financing first, and then using other funding sources or income producing vehicles that can be structured into the project financing, prior to using additional business assistance funding. 5. BUSINESS ASSISTANCE PROJECT EVALUATION CRITERIA 5.01 If a business meets the criteria in Section 4 and is eligible for consideration of business assistance, the following criteria will be used to determine the amount of assistance and type of assistance that may be provided. All projects will be evaluated by the City on the following criteria for comparison with other business assistance projects reviewed by the City, and for comparison with other subsidy standards (where appropriate). It is realized that changes in local markets, costs of construction, and interest rates may cause changes in the amounts of business assistance subsidies that a given project may require at any given time. In applying the criteria to a specific project, the following will apply: A. The City may consider the requirements of any other business subsidy received, or to be received, from a grantor other than the City. B. If the business subsidy is a guaranty, the amount of the business subsidy may be valued at the principal amount of the guaranteed payment obligation. C. If the business subsidy is real or personal property, the amount of the subsidy will be the fair market value of the property as determined by the City. D. If the business subsidy is received over time, the City may value the subsidy as it determines is fair and reasonable under the circumstances. E. As used herein, "Benefit Date," means the date the business subsidy is received. If the business subsidy involves the purchase, lease, or donation of physical equipment, then the benefit date occurs when the recipient puts the equipment into service. If the business subsidy is for improvements to property, then the Benefit Date refers to the earliest date of either when the improvements are finished for the entire project or when a business occupies the property. F. All business assistance projects will need to meet a reasonable rate of return as determined by the City or consultants to the City. Assistance will not be used unless the need for the City's economic participation is sufficient that, without the business assistance the project could not proceed in the reasonably foreseeable future in the manner as proposed. The reasonable r ate of return will be based on market standards at the time of the application for business assistance as determined by the City or consultants to the City. 27 3 G. Business assistance will not be used when the developer's credentials, in the sole judgment of the City, are inadequate due to past track record relating to: completion of projects, general reputation and/or bankruptcy, or other problems or issues considered relevant by the City. H. Business assistance funding should not be provided to those projects that fail to meet good public policy criteria as determined by the City, including but not limited to: poor project quality; projects that are not in accord with the comprehensive plan, zoning, redevelopment plans, and city policies; projects that provide no significant improvement to surrounding land uses, the neighborhood, and/or the City; projects that do not have significant new, or retained, employment; projects that do not meet financial feasibility criteria established by the City; and projects that do not provide the highest and best desired use for the property. I. All projects receiving business assistance under the criteria listed in Section 116J.993, Subd. 3 of the Act must meet the job and wage goals described below in this section. Section 116J.994, Subd. 2 of the Act allows the City to deviate from its criteria by documenting in writing the reason for the deviation and attaching a copy of the document to its next annual report to the Department of Employment and Economic Development. a. A business subsidy that results in the creation or retention of jobs shall pay a minimum of 80% of the Media n Income for Stearns County. Stearns County is part of the St. Cloud, MN MSA. In addition, consideration will also be given to the creation or retention of jobs, which will pay 100% of Median Income for Stearns County (head of household jobs). The Median Income for the County is annually reported by HUD.gov. b. Wage goals will be set forth specifically in the business subsidy agreement. Where job creation is one of the public purposes of the business subsidy, the subsidy may be up to $10,000 per base job retained or created and may be up to $20,000 per head of household job retained or created. c. If wage goals are a reason for the subsidy then the following should be used as an assistance tool in the evaluation of the project: Number Score (out of 5) Jobs Created or retained 30 or more 5 15-29 4 6-14 3 1-5 2 None 1 c. The amount of assistance available to a project will be limited by the amount of proceeds that Tax Increment Financing, Tax Abatement, or other applicable financing tools may support. d. Job creation or retention is not required for businesses subsidies if the grantor identifies an alternate public purpose in addition to tax base increase. If after a public hearing/council consideration of the alternate public purpose(s) proposed, the creation or retention of jobs is determined not to be a goal, the wage and job goals may be set at zero. e. In lieu of job creation or retention, other measurable, specific, and tangible goals shall be established. Examples of tangible goals may include redevelopment, or pollution or soil remediation. f. Business assistance will normally be used for projects that address the following land 28 4 use issues: (1) more compatible with the City's Comprehensive Plan than other permitted uses for property; (2) located on property which needs but is not likely to be developed or redeveloped because of blight or other adverse conditions of the property; and/or include design and/or amenity features not otherwise required by law. g. Business assistance will be evaluated on the project's impact on existing and future public investment: (1) whether and to what extent the project will utilize existent public infrastructure capacity and the extent it requires additional publicly funded infrastructure investments; (2) arrangements for the City to receive a direct monetary return on its investment in the project. H. Business assistance will nor mally be used for projects that demonstrate to the satisfaction of the City adequate financing for the project is available and that the project will be completed in a timely fashion. I. Business assistance from the City must satisfy all requirements of the Act. 5.02 Some criteria included in the Policy, by their very nature, must remain subjective. However, wherever possible "benchmark" criteria have or will be established for review purposes. The fact that a given proposal meets one or more "benchmark" criteria does not mean that it is entitled to funding under this policy, but rather that the City is able to proceed with evaluations of (and comparisons between) various business assistance proposals, using uniform standards whenever possible. 5.03 A recipient of a business assistance must enter into an agreement with the granter of the assistance that includes: 1. The amount and type of assistance. The type of district if assistance is tax increment financing. A list of financial assistance by all granters for the project. 2. A statement(s) of public purpose (from Section 3), including a statement of why the assistance is needed. 3. Goals for the assistance 4. A statement as to the recipient's obligation if the recipient does not fulfill the agreement. At a minimum the agreement must require a recipient failing to meet assistance agreement goals to pay back the assistance plus interest to the grantor provided that repayment may be prorated to reflect partial fulfillment of goals. 5. The name and address of the recipient (and parent corporation where applicable) and, a description of the financial obligation of the recipient if the goals are not met. 6. A commitment to continue operations at the site where the assistance is used for at least five (5) years after the benefit date. 7. A statement as to the proposed project's compliance with the City's Comprehensive Plan. 8. A statement as to the recipient's annual reporting requirements. 29 5 CITY OF ST. JOSEPH PRE-APPLICATION BUSINESS ASSISTANCE FINANCING Legal name of applicant: Address: Telephone number: Name of contact person: REQUESTED INFORMATION Addendum shall be attached hereto addressing in detail the following: l. A map showing the exact boundaries of proposed development. 2. Give a general description of the project including size and location of building(s); business type or use; traffic infom1ation including parking, projected vehicle counts and traffic flow; timing of the project; estimated market value following completion. 3. The existing Comprehensive Guide Plan Land Use designation and zoning of the property. Include a statement as to how the proposed development will conform to the land use designation and how the property will be zoned. 4. A statement identifying how the assistance will be used and why it is necessary to undertake the project. 5. A statement identifying the public benefits of the proposal including estimated increase in property valuation, new jobs to be created, hourly wages and other community assets. 6. A written description of the developer's business, principals, history and past projects I understand that the application fee, pursuant to the City’s adopted fee schedule, will be used for City staff and consultant costs and may be partially refundable if the request for assistance is withdrawn. Refunds will be made at the discretion of the City Council and be based on the costs incurred by the City prior to the withdrawal of the request for assistance. If the initial application fee is insufficient, I will be responsible for additional deposits. SIGNATURE Applicant's signature: ____________________________________________________________ Date: __________________________ 30 6 CITY OF ST. JOSEPH Application for Business Assistance Financing GENERAL INFORMATION: Business Name: Date: Address: Type (Partnership, etc.): Authorized Representative: Phone: Description of Business: Legal Counsel: . Address: Phone: FINANCIAL BACKGROUND: 1. Have you ever filed for bankruptcy? 2. Have you ever defaulted on any loan commitment? 3. Have you applied for conventional financing for the project? 4. List three financial references: 31 7 5. Have you ever used Business Assistance Financing before? If yes, what, where and when? PROJECT INFORMATION: 1. Location of Proposed Project: 2. Amount of Business Assistance requested? 3. Need for Business Assistance: 4. Present ownership of site: 5. Number of permanent jobs created as a result of project? 6. Estimated annual sales: Present: Future: 7. Market value of project following completion: 8. Anticipated start date: Completion Date: FINANCIAL INFORMATION: 1. Estimated project related costs: a. land acquisition $ b. site development C. building cost d. equipment e. architectural/engineering fee f. legal fees g. off-site development costs Total 32 8 2. Source of financing: a.private financing institution $ b.requested public assistance funds c.other public funds d.developer equity Total PLEASE INCLUDE: 1.Preliminary financial commitment from bank. 2.Plans and drawing of project. 3.Background material of company. 4.Pro Forma analysis. 5.Financial statements. 6.Statement of property ownership or control. 7.Payment of application fee of $1,000 8.Escrow payment $10,000 and Escrow Agreement 33 9 APPENDIX Items that do not qualify as Business Subsidies in accordance to State Statute The following are not b usiness subsidies as defined by the State Statutes. • A business subsidy of less than $150,000. •Assistance that is generally available to all businesses or to a general class of similar businesses, such as a line of business, size, location, or similar general criteria . • Public improvements to buildings or lands owned by the state or local government that serve a public purpose and do not principally benefit a single business or defined group of businesses at the time the improvements are made. •Redevelopment property polluted by contaminants as defined in Section 116J.552, Subd. 3 of the Act. •Assistance provided for the sole purpose of renovating old or decaying building stock or bringing it up t o code and assistance provided for designated historic preservation districts, provided that the assistance is equal to or less than 50% of the total cost. •Assistance to provide job readiness and training services if the sole purpose of the assistance is to provide those services. •Assistance for housing. •Assistance for pollution control or abatement, including assistance for a tax increment financing hazardous substance sub-district as defined under Section 469.174, Subd. 23 of the Act. •Assistance for energy conservation. •Tax reductions resulting from conformity with federal tax law. •Workers' compensation and unemployment compensation. •Benefits derived from regulation. • Indirect benefits derived from assistance to educational institutions. •Funds from bonds allocated under chapter 474A, bonds issued to refund outstanding bonds, and bonds issued for the benefit of an organization described in section 501 (c) (3) of the Internal Revenue Code of 1986, as amended through December 31, 1999. •Assistance for a collaboration between a Minnesota higher education institution and a business. •Assistance for a tax increment financing soils condition district as defined under Section 469.174, Subd. 19 of the Act. •Redevelopment when the recipient's investment in the purchase of the site and in site preparation is 70 percent or more of the assessor's current year's estimated market value. •General changes in tax increment financing law and other general tax law changes of a principally technical nature. •Federal assistance until the assistance has been repaid to, and reinvested by, the state or local government agency. •Funds from dock and wharf bonds issued by a seaway port authority. •Business loans and loan guarantees of $150,000 or less. •Federal loan funds provided through the United States Department of Commerce, Economic Development Administration. •Property tax abatements granted under section Minnesota Statutes 469.1813 to property that is subject to valuation under Minnesota Rules, Chapter 8100. 34 St. Joseph TIF and Tax Abatement Policy 1 City of St. Joseph Policy and Procedures Tax Increment Financing and Tax Abatement For the purpose of this policy, the “EDA” shall also mean the St. Joseph Economic Development Authority, which serves in conducting various economic development, housing and redevelopment programs and activities within the City of St. Joseph. Tax increment financing and tax abatement are generally interchangeable with respect to policy application. I.GENERAL POLICY The purpose of this policy is to establish the position of the City of St. Joseph and the Economic Development Authority with respect to the use of tax increment financing or tax abatement for private development within the City. This policy shall be used as a guide in the application for, review and consideration of any requests for tax increment or abatement assistance. The fundamental purpose of tax increment financing or tax abatement in St. Joseph is to encourage desirable development and/or redevelopment that would not otherwise occur “but for “the assistance provided through TIF or tax abatement. The City of St. Joseph and EDA shall consider tax increment financing or tax abatement for projects that serve to accomplish the City’s goals for housing and economic development as they may change over time. The goals include facilitating projects that would result in the creation of quality jobs (i.e. stable employment and/or attractive wages and benefits) and the attraction, retention, and expansion of business and housing options in the City. II.CITY/EDA OBJECTIVES FOR THE USE OF TIF or TAX ABATEMENT As a matter of adopted policy, Tthe City of St. Joseph and EDA will consider using tax increment financing (TIF) or tax abatement to assist private development projects to achieve one or more of the following purposes: •Remove blight and/or encourage redevelopment in the commercial and industrial areas of the City in order to encourage high quality development or redevelopment and private reinvestment in those areas. •To provide for a balanced and sustainable housing stock to meet diverse needs both today and in the future. For example Senior housing, mixed uses, affordable workforce housing. •To retain local jobs and/or increase the number and diversity of quality jobs (i.e. stable employment and/or attractive wages and benefits. •To encourage additional unsubsidized private development in the area, either directly, or through secondary “spin-off” development. •To offset increased costs of redevelopment (i.e. contaminated site clean-up), over and above those costs that a developer would incur in normal urban and suburban development. •To facilitate the development process and to achieve development on sites which would not be developed without this assistance. Formatted: Strikethrough 35 St. Joseph TIF and Tax Abatement Policy 2 • To meet other uses of public policy, as adopted by the Council from time to time, including promotion of quality urban design, quality architectural design, energy conservation, decreasing the capital and operating costs of local government, etc. III. COSTS WHICH QUALIFY FOR TIF OR ABATEMENT ASSISTANCE • Project design fees including: utilities, landscape, architectural and engineering design. • Site related work including: permits for site work, earthwork/excavation, soil correction, landscaping, utilities, streets and roads, street/parking lot paving, street/parking lot lighting, curb and gutter, sidewalks • Land acquisition • Special assessments • Legal fees (acquisition, finance, closing) • Soil tests • Environmental studies • Surveys • Park and open space dedication fees • Interest rate write downs • Relocation assistance • Replacement or clean-up of contaminated soils which would otherwise preclude redevelopment • Rehabilitation • Any other costs allowable by Statute IV. PROJECTS WHICH MAY QUALIFY FOR TIF OR ABATEMENT ASSISTANCE All new TIF or tax abatement projects considered by the City of St. Joseph and EDA must meet each of the following minimum qualifications and will also be evaluated based on their ability to meet the desired qualifications for assistance. However, it should not be presumed that a project meeting any of the qualifications will automatically be approved. Meeting the qualifications creates no contractual rights on the part of any potential developer to have its project approved. A. MINIMUM QUALFICIATIONS 1. The project should meet one or more of the tax increment or tax abatement Objectives outlined in Section II of this policy, but at a minimum shall: • Remove blight and/or encourage redevelopment in the commercial and industrial areas of the City in order to encourage high quality development and redevelopment and private investment in those areas. • To facilitate the development process and to achieve development on sites which would not be developed without this assistance. 2. The developer must demonstrate that the project is not financially feasible “but for” the use of TIF or abatement assistance. 3. The project must be consistent with the City’s Comprehensive Plan, zoning ordinance, and building code or require changes to the plan and ordinances must be under active consideration by the City at the time of final TIF or abatement application submittal. 36 St. Joseph TIF and Tax Abatement Policy 3 4. Prior to approval of a TIF or abatement financing plan, the developer shall complete and submit the City’s form for application and provide any requested market and financial feasibility studies, appraisals, soil borings, private lender commitment, and/or other information the City, EDA or its financial consultants may require in order to proceed with an independent underwriting of the proposal. 5. The developer must provide adequate financial guarantees to ensure the completion of the project. These may include, but not limited to: assessment agreements, letter of credit, personal deficiency guarantees, maximum cost contract, etc. 6. Any developer requesting TIF or tax abatement assistance should be able to demonstrate past successful general development capability as well as specific capability in the type and size of development proposed. TIF or abatement will not be used when the developer’s credentials, in the sole judgement of the City, are inadequate due to past track record relating to: completion of the projects, general reputation and/or bankruptcy, or other problems or issues considered relevant by the City and EDA. 7. The developer shall retain ownership of the project for at least five years after the agreement is executed in order to long enough to complete it, to stabilize its occupancy, and to establish the project management and initiate repayment via the TIF or abatement assistance. B. DESIRED QUALIFICATIONS 1. TIF and abatement proposals creating a higher ratio of property taxes paid before and after redevelopment will receive priority consideration. Given the different assessment circumstances in the City, this ratio will vary widely. A 1:2 ratio of taxes paid before and after redevelopment is desired. 2. TIF and abatement proposals should normally not be used to support speculative industrial, commercial, office or housing projects. In general, the developer should be able to provide market data, tenant letter of commitment or finance statements which support the market potential/demand for the proposed project. 3. TIF and abatement will normally not be used in a project that involves an excessive land and/or property price. This will normally be where the acquisition price is more than 20% in excess of the market value as determined by an independent appraisal of the property. 4. TIF and abatement will not be used in projects that would give a significant competitive financial advantage over similar projects in the area due to the use of tax increment or abatement subsidies. Developers should provide information to support that the TIF or abatement assistance will not create such a competitive advantage. Priority consideration will be given to projects that fill an unmet market need. 5. TIF and abatement will be provided on a pay-as-you-go basis. Any request for up front assistance will be evaluated on its own merit in accordance with this policy. Projects requesting pay-as-you-go financing will receive priority consideration. 6. Preference will be given to projects that do not place extraordinary demands on City services. If it is determined by the City’s Public Works Director and City Engineer that an extraordinary increase in public service would result because of the project, TIF or abatement will not be considered. Commented [TO1]: How does the city demonstrate compliance with this requirement? I would specify this in the policy. Formatted: Strikethrough 37 St. Joseph TIF and Tax Abatement Policy 4 7.TIF or tax abatement will not normally be used for projects that would generate significant environmental problems in the opinion of the local, state, or federal governments. Priority will be given to project that aim to clean-up existing contaminated sites and would facilitate the location of an industry or business that has an environmentally sound track record, or meet a housing need in the City. 8.Preference will be given to projects that meet good public policy criteria as determined by the EDA and City Council, including: •Projects that are in accord with the Comprehensive Plan, Strategic Plan, Zoning Ordinances and other redevelopment plans of the City and EDA, •Projects that provide significant improvement to surrounding land uses, the neighborhood, and/or the City, •Projects that provide a significant increase in tax base, •Projects that provide significant new, or retained employment, •Projects that meet financial feasibility criteria established by the EDA, and •Projects that provide the highest and best desired use for the property. V.TAX INCREMENT OR ABATEMENT PROJECT EVALUATION PROCESS The following five methods of analysis for all TIF and Abatement proposals will be used: 1.Consideration of project meeting minimum qualifications. 2.Consideration of project meeting desired qualifications. 3.Project meets “but for” analysis and statutory qualifications (Exhibit A). 4.Project is deemed consistent with EDA goals and the City’s Comprehensive Plan. 4.5. Project is scored in accordance to the TIF/Abatement Scorecard Please note that the evaluation methodology is intended to provide a balanced review. Each area will be evaluated individually and collectively and in no case shall one area outweigh another in terms of importance to determining the level of TIF assistance. VI.APPLICATIONS The City’s tax increment financing or tax abatement program will be administered by the St. Joseph Economic Development Authority (EDA). The St. Joseph EDA will require a non-refundable application fee for its processing of the application. The application fee shall be paid to the EDA at the time a final application is submitted. At the time a final application is submitted, the applicant shall also deposit a review escrow as required in the fee schedule. If additional costs are incurred beyond required review escrow the Applicant shall be notified of such additional costs in writing. Said additional costs shall be paid prior to the execution of a development agreement., the EDA Staff shall notify the applicant in writing and the applicant will be required to deposit additional funds upon notice. If the project is approved and the applicant proceeds with the project, the EDA shall reimburse the applicant any unused portion of the deposit as of the date of execution of the development agreement. If the applicant does not proceed with the project, the EDA shall reimburse the applicant for the unused portion of the deposit as of the date that the EDA is notified in writing that the applicant desires to withdraw its application. Formatted: Not Strikethrough Commented [TO2]: I did not have a copy of Exhibit A or B to review Formatted: Strikethrough 38 St. Joseph TIF and Tax Abatement Policy 5 VII.APPLICATION PROCESS The application process is a two-step process and must be completed in accordance with the TIF and abatement application procedures (Exhibit C). The purpose of this approach is to give an applicant the opportunity to present a development proposal without expending a great deal of money and time in pursuing a development that may conflict with the City’s and EDA’s goals and objectives. VIII.OTHER POLICY ISSUES FISCAL DISPARITIES Does not impact the City of St. Joseph according to State Statute. Loss of Government Aid At any time, if the formation of a new TIF district or the use of an existing district to finance a project will subject the City to an LGA/HACA penalty or local contribution to a project, the transaction shall be structured so as to have the ultimate cost the City minimized to the greatest extent permitted by law, so as to have the project bear the cost of the penalty or contribution. Public Use of Tax Increment or Abatement The City and EDA shall follow applicable state laws in terms of potential public improvement financing with TIF or abatement. It shall be the general policy of the City and EDA to identify public improvements at the time of adoption or amendment of the TIF Plan or abatement agreement and to determine source of funding to pay for the identified public improvements. Formatted: Strikethrough 39 TAX INCREMENT FINANCING AND ABATEMENT PROPOSAL Rating Analysis Grading and Report Card 1.Ratio of Private to Public Investment in the Project:Grade Score: Private Funds/TIF $ Private Investment $5:1 A 5 $ TIF/Public Investment 4:1 B 4 $ Ratio of Private/Public Financing 3:1 C 3 2:1 D 2 Below 2:1 F 1 2. *New jobs created and retained in the City:Grade: Score New employees in St. Joseph as a result of the project. 50+ A 30+ = 5 25+ B 15-29 = 4 ____ Jobs retained in St. Joseph as a result of the project. 15+ C 6-14 = 3 <15+ D 1-5 = 2 ____ Total number of jobs created and retained. None F None = 1 3.Ratio of City Financing to new jobs created:Grade: $ TIF assistance requested $8,000 or less per job A New jobs created $10,000 or less per job B $ TIF/Job $12,000 or less per job C $15,000 or less per job D More than $15,000 F This standard is proposed for deletion because it does not appear to be functional in a community the size of St. Joseph. If a project generates $550,000 in tax increments, according to this standard, the project would need to create 70 jobs to receive an “A – Excellent” rating; 55 jobs to receive a “B – Very good” rating; 45 jobs to receive a “C – average” rating or 36 jobs to receive a “D – below average” rating. This is a very difficult standard to implement in a community of 7,000 population, in close proximity to an urban growth center (St. Cloud) with significant development costs. 4.Pay Level of Jobs:Grade: Pay Range # of Employees in Range Total Wages Grade $45,000/yr or more ______________________ ____________ A $35,000/yr or more ______________________ ____________ B $30,000/yr or more C $20,000/yr or more D Less than $20,000 ______________________ ____________ F Total Wages ______ / # of employees (FTE) ___= Average wage $ This evaluation point is proposed for deletion because job creation and minimum wage floors are mandatory in the City’s Business Subsidy Policy which is required by state law. Per statute, we will soon be implementing minimum wage floors for subsidy which include an actual dollar amount or a calculation 40 which arrives at an actual dollar amount for the minimum wage requirement. This evaluation point also appears to be non-functional in a community the size of St. Joseph. According to this standard currently, the new jobs created must average $21.63/hr. to achieve an “A – Excellent” rating; $16.83/hr to achieve a “B – Very Good” rating; $14.42/hr. to achieve a “C – Average” rating or $9.61/hr. to achieve a “D – Poor” rating. 3.Increase in Real Estate Estimated Market Value:Grade: Score $_________ Estimate market value of site after development Before/After Development 1:5 A 5 $ Estimated market value of site before development 1:4 B 4 1:3 C 3 __________ Ratio of value before/after development 1:2 D 2 1:1 F 1 Bonus Points •The project adds value to the neighborhood and/or business community 2 points and adheres to the Comprehensive Plan. •The developer agrees to the Pay-as-you-go financing.1 point •The proposed project will redevelop a previously contaminated or 2 points environmentally challenged site or occur at a high priority redevelopment site as identified in the Comprehensive Plan •Mixed use project bonus 2 points Total Bonus Points Available 2 points PROPOSED ADDITIONAL STANDARDS: 1.The proposed development is consistent with the City’s long term development and redevelopment guidelines as contained in the City’s Comprehensive Plan. _____ YES (5 points) ______ NO (0 points) 2.The Developer agrees to pay-as-you-go financing? _____ YES (5 points) ______ NO (0 points) 3.There is a demonstrated need for the commercial/industrial development within the City of St. Joseph specifically within the neighborhood the project is located in. _____ YES (5 points) ______ NO (0 points) *Total Points Scored / 6 = average score. 5 = Excellent, 4= Very Good, 3 = Average, 2 = Below Average, 1 = Fail *Please note job creation/retention shall only be used if the subsidy agreement has job wages and goals as a reason for the subsidy 41 Question Grade Points 1. A Excellent = 5 B Very Good = 4 2. C Average = 3 D Below Average = 2 3. F Fail =1 4. 5. 6. Bonus Points ________ TOTAL POINTS ________ / 5 =_________GPA 42 EDA Agenda Item 7 ________________________ MEETING DATE: June 18, 2024 AGENDA ITEM: 2025 EDA Budget Requests SUBMITTED BY: Finance BOARD/COMMISSION/COMMITTEE/COUNCIL RECOMMENDATION: N/A PREVIOUS EDA ACTION: None BACKGROUND INFORMATION: Each summer staff requests the EDA to recommend budget proposals for the upcoming year. The EDA is mainly funded by general levy. The preliminary general levy is required to be adopted by Sept. 30th each year. City Council requests input from staff, boards, committees, etc. to be included in the following year budget. Ultimately, City Council will determine priorities to include in the budget before final adoption by Dec. 28th of each year. The EDA supports 40% of the Community Development Director’s salary and benefits. The remaining portion is included in the planning budget. Other items included in the EDA budget includes dues and memberships, conferences, tax abatement payments, and economic development initiatives. For discussion, staff has the following points to go over with the EDA. 1.Membership participation in the Greater St. Cloud Development Corporation (GSDC) at a cost of $5,000. 2.Economic development initiatives: a.Boutique Hotel (EDA goal) b.Business Subsidy Plans c.Façade Grants (typically a set amount budgeted for this every year with any remaining funds getting transferred to EDA’s larger fund) d.Downtown Redevelopment (EDA goal) e.Northside Commercial Redevelopment (EDA goal) f.Business of the month feature (recognition…award, plaque, flower basket,) g.Others? Items from the Comprehensive Plan? BUDGET/FISCAL IMPACT: ATTACHMENTS: Request for 2025 Budget REQUESTED BOARD ACTION: Discussion on 2025 budget ideas. Goal is to formulate a recommendation on budget items by the July EDA meeting. 43 Comprehensive Plan Economic Dev. Chapter 3.5 64 | The City of St. Joseph Comprehensive Plan Economic Development Overview Cities are places of activity and commerce. Healthy commercial areas draw in people who bring their energy and economic resources and who, through their purchases and investments, contribute towards the improvement of these places. The purpose of this section is guide future economic development and redevelopment in St. Joseph. Local businesses provide needed goods and services for residents, unique goods and experiences for visitors, and generate investments that remain in the communities where they are located. Local businesses also provide employment opportunities for residents, and help increase the sense of connection in a community. St. Joseph is a relatively small town of approximately 7,000 people. The City has many great assets: its “small town” character and historic downtown, vital arts and cultural events, and “mom and pop” shops. A nationally-recognized liberal arts college, the College of St. Benedict, adds to the intellectual capital of the city and its residents. Coupled with the city’s proximity to both the Twin Cities and St. Cloud, St. Joseph’s prospects for continued vitality are bright. Key Findings Economic development is not just about businesses and industries, but about maintaining a vibrant livable community that will attract workforce and businesses. It usually includes the adoption of new technology, transition between types of industries, and improvement of living standards. It can also guide how to create and retain desirable jobs providing a good standard of living to a city’s residents. Education is the largest industry in St. Joseph with the College of Saint Benedict, Kennedy Community School, and All Saints Academy being among the largest employers. Education employment is dependent on enrollment. Currently, the college does not anticipate any growth in enrollment, which means that education employment is not likely to grow. Any rapid future population growth in St. Joseph would mean either The City of St. Joseph Comprehensive Plan | 65 that non-education job growth in the community has accelerated or more residents are commuting to St. Cloud. Employment in a community is tied closely with household growth. There must be jobs available within St. Joseph or within a reasonable driving distance in order for St. Joseph to grow. St. Joseph and the region are performing moderately well and should continue to attract additional development. Other considerations Local Downtown Businesses Both large commercial businesses and smaller-scale “Mom and Pop” shops are important to the residents of St. Joseph. New Commercial and Industrial Uses Attracting new commercial as well as industrial businesses will help diversify the city’s tax base and increase employment. A significant percentage of property within St. Joseph is tax exempt posing challenges for the City. Proximity to the Greater St. Cloud Region St. Joseph’s close proximity to the greater St. Cloud area makes it easy for residents to travel across city borders to purchase goods and services. Participants in the plan’s community engagement activities saw this as a potential threat and as an opportunity to the health of local businesses: • If St. Joseph residents can access other businesses in St. Cloud, they may choose to spend their money there and not support local businesses • If St. Cloud area residents are attracted to visiting St. Joseph (because it offers them an engaging and vital Main Street experience that they can’t have elsewhere) they will likely spend their money in St. Joseph and will help improve economic activity in the community. 66 | The City of St. Joseph Comprehensive Plan Current Efforts The City is actively pursuing economic development and working toward diversifying its tax base. The following services to businesses considering locating, expanding or redeveloping within St. Joseph are provided: Business Retention and Expansion Program The St. Joseph Economic Development Authority (EDA) works to keep existing businesses and to attract new businesses to the city. Keeping an existing business in a community is usually easier and more economically efficient than attracting a new business. The EDA and city staff visit with existing businesses as part of their Business Retention and Expansion (BR & E) Program as a way to hear and address any needs the business has. Public Financial Assistance The EDA also offers financial resources to assist existing and new businesses, including the Business Façade Architectural Grant and Demolition Grant Programs, Tax Increment Financing (TIF), Tax Abatement, and a Revolving Loan Fund. Grant Preparation The City directly or partners with an organization to prepare grant application to various state and federal programs as specific projects are identified and potential grant resources are available. Examples include Minnesota Investment Fund, Small Cities Grant Program, and Business Development Public Infrastructure Grant Program. Community Promotion The City promotes economic development through the city website, a community profile flyer and participation in the Chamber of Commerce and Greater St. Cloud Development Corporation. Additionally, in 2016 the City approved a lodging ordinance for collection of a lodging tax which will be used for future marketing of St. Joseph. The City of St. Joseph Comprehensive Plan | 67 Site and Building Selection The City provides assistance with locating existing building space or property for development or redevelopment. Demographic and Community Research The City compiles up to date demographic information and undertakes planning studies. This information is shared with site selectors (professionals who help business find new locations) and business leads. Small Business Resources The City connects businesses with the various local and state resources, including the Small Business Development Center, Small Business Administration, Minnesota Department of Employment and Economic Development, and Minnesota Business Finance Corporation. Priority Redevelopment Areas The City has identified areas along the CSAH 75 corridor and in the downtown area that are appropriate for redevelopment. Those areas include properties that are within the Central Business District and the Highway Business District, and include commercial and residential buildings that are in substandard condition. The purpose of these redevelopment areas is to achieve the highest and best use for these properties as well as establish appropriate land use in relation to their location. Maps of the redevelopment areas are provided on the following pages. 68 | The City of St. Joseph Comprehensive Plan Downtown Redevelopment Map North of CSAH 75 Redevelopment Map The City of St. Joseph Comprehensive Plan | 69 CSAH 75 and 8th Avenue NE Redevelopment Map Minnesota Street and Chapel Lane Redevelopment Map CSAH 75 and Old Highway 52 Redevelopment Map 70 | The City of St. Joseph Comprehensive Plan Economic Development Goals The Comprehensive Plan’s goals for Economic Development in St. Joseph were developed through public input, consideration of current and future trends: Goal 1: Retain, attract and grow business Strategies 1.1 Develop a “shop local” campaign A strong local economy will attract new companies and businesses, and support the ongoing vitality of the city. 1.2 Support and enhance existing businesses Seek opportunities to learn about and solve barriers to retention of businesses like a Business Mentorship Program or Business Retention Program. 1.3 Develop and distribute key informational resources, such as guidelines and best practices, to support decision-making and viability of existing businesses. 1.4 Directory of locally-owned businesses St. Joseph residents expressed strong support for unique, local shops and for keeping the small town character in the downtown and urban areas. Develop a directory of existing St. Joseph businesses to allow residents and other businesses to easily find what they need from their local shops. For an example, please see www.ppna.org/shop-powderhorn 1.5 Support focused redevelopment in downtown Development in the downtown area should be consistent with the area’s existing character, emphasize a pedestrian-oriented scale for development, and link to existing pedestrian and bicycle networks. Downtown redevelopment should include retail, professional services, arts and entertainment, and housing. Mixed-use developments are recommended for incorporating multiple uses and creating a people-centered environment. 1.6 Support the redevelopment of CSAH 75 area The development of CSAH 75 will increase commerce and tourism, as well as efficient transportation across the City. Redevelopment of this area will also prioritize safe mobility for pedestrians and bicyclists to connect the southern and northern regions of the City. The City of St. Joseph Comprehensive Plan | 71 “We have great pride in our small town atmosphere” What we heard 1.7 Attract larger businesses Create strategic plans to attract large businesses that require a large employee base. New businesses should reflect the values, vision, needs of the St. Joseph community. If possible, businesses should consider brownfield sites to revitalize existing urban and suburban areas. 1.8 Develop a pipeline of trained interns and potential new staff into existing and new businesses Partner with local educational institutions to connect students and recent graduates with local employers, and support the staffing needs of new and growing businesses. 1.9 Support the development of business incubators for local start-ups Business incubator spaces provide small spaces that are affordable to start- up businesses. Work with local developers and property owners to develop a business incubator in the walkable Downtown area of St. Joseph (attractive to software or tech start-ups), as well as in the industrial areas of the city (attractive to manufacturing start-ups). Goal 2: Focus on competitiveness Strategies 2.1 Establish and maintain public and private partnerships Public entities should collaborate with private entities, when possible. 2.2 Provide business incentives Consider comprehensive incentives to support healthy growth of existing businesses and encourage them to remain in the city, and to attract new businesses. 2.3 Review land use and zoning standards Zoning standards should reflect current needs of community while creating new opportunities for residential and commercial growth. 2.4 Attract technology innovation Partner with technology companies to provide additional resources for existing businesses, and attract new businesses and professionals. 2.5 Seek grant opportunities Public community-based projects should be partly funded by outside grants. 72 | The City of St. Joseph Comprehensive Plan Goal 3: Provide a high quality life Strategies 3.1 Preserve community character Downtown businesses should reflect the “small-town” character to create a sense of place for residents and visitors. New structures in the downtown area should fit in with the existing architecture. 3.2 Encourage strong community pride Public events and art, vibrant open spaces, City marketing efforts, conservation of natural resources, and preservation of “small-town” character should focus on developing strong community pride. 3.3 Invest in a high-quality education Support creation of opportunities within public and private entities to provide youth with professional experiences to gain tools and resources. Continue to partner with the School District to provide these tools. Goal 4: Retain and attract residents Strategies 4.1 Explore extending the reach of public transportation Public transportation should offer mobility to all major parts of the city and be accessible to all residents and visitors. 4.2 Accommodate a variety of housing types Accommodate housing for all ages, including a variety of housing types, including single-family, multi-family and mixed- use developments. 4.3 Recruit technology businesses Seek opportunities to recruit technology businesses to create new employment and attract outside professionals. The City of St. Joseph Comprehensive Plan | 73 Goal 5: Strengthen the downtown as a center for historical and cultural history Strategies 5.1 Support new and existing businesses in the downtown and urban areas that provide dining, retail, arts and entertainment. 5.2 Create new educational, cultural, and recreational activities and spaces downtown. 5.3 Maintain and enhance existing public spaces while creating new public spaces for social interaction in the urban and suburban areas. 5.4 Work with the St. Joseph Historical Society to create a list for designating buildings on local, state, or national registers in the downtown and urban areas. 5.5 Provide economic incentives to encourage restoration of historically significant buildings downtown. Goal 6: Continue to host and sponsor local arts and cultural activities Strategies 6.1 Incorporate public art into the design of public spaces and infrastructure. 6.2 Explore regulations to implement a “percent for arts” requirements in community projects. 6.3 Create a community-wide project to create a logo for use in public activities. 6.4 Create opportunities, in collaboration with the College of St. Benedict, All Saints Academy, Kennedy School and other schools, for the public to contribute to public art and landscaping within the City. 6.5 Solicit input from local developers when building or renovating public buildings. Implementation Matrix: Economic Development Strategy Number Strategy Ownership Priority Goal 1: Retain, attract and grow businesses. Economic 1.1 Develop a “shop local” campaign. A strong local economy will attract new companies and businesses, and support the ongoing vitality of the city. Economic Development Authority High Economic 1.2 Support and enhance existing businesses. Seek opportunities to learn about and solve barriers to retention of businesses like a Business Mentorship Program or Business Retention Program. Economic Development Authority Medium Economic 1.3 Develop and distribute key informational resources, such as guidelines and best practices, to support decision-making of existing businesses. Economic Development Authority Medium Economic 1.4 Directory of locally-owned businesses, searchable by good or service provided - please see www.ppna.org/shop-powderhorn for an example. Economic Development Authority High Economic 1.5 Support redevelopment in downtown. Development in the downtown area should be consistent with the area’s existing character, link to existing pedestrian and bicycle networks, and emphasize a pedestrian-oriented development. Community Development High Economic 1.6 Support the redevelopment of CSAH 75 area. The development of CSAH 75 will increase commerce and tourism, as well as efficient transportation across the City. Economic Development Authority High Economic 1.7 Attract larger businesses. Create strategic plans to attract large businesses that require a large employee base. New businesses should reflect the values, visions, needs of the St. Joseph community. If possible, businesses should consider brownfield sites to revitalize existing areas. Economic Development Authority High Economic 1.8 Develop a pipeline of trained interns and potential new staff into existing and new businesses. Partner with local educational institutions to connect students and recent graduates with local employers, and support the staffing needs of new and growing businesses. Economic Development Authority High Economic 1.9 Support the development of business incubators for local start-ups. Business incubator spaces provide small spaces that are affordable to start-up businesses. Work with local developers and property owners to develop a business incubator in the walkable Downtown area of St. Joseph (attractive to software or tech start-ups), as well as in the industrial areas of the city (attractive to manufacturing start-ups). Economic Development Authority High Goal 2: Focus on competitiveness. Economic 2.1 Establish and maintain public and private partnerships. Public entities should collaborate with private entities, when possible. Economic Development Authority Low Economic 2.2 Provide business incentives. Comprehensive incentives should be present to create healthy growth for existing businesses and encourage new businesses. Economic Development Authority, City Council Medium Economic 2.3 Review land use and zoning standards. Zoning standards should reflect current needs of community while creating new opportunities for residential and commercial growth. Community Development High Economic 2.4 Utilize Technology. Advanced and updated technology should improve residents’ quality of life, provide additional resources for existing businesses, and attract new businesses and professionals.Administration Medium 104 | The City of St. Joseph Comprehensive Plan The City of St. Joseph Comprehensive Plan | 105 Implementation Matrix: Economic Development Strategy Number Strategy Ownership Priority Economic 2.5 Seek grant opportunities. Public community-based projects should be partly funded by outside grants. Administration, Community Development Low Goal 3: Provide a high quality of life. Economic 3.1 Preserve community character. Businesses should reflect the “small-town” character to create a sense of place for residents and visitors. New businesses in downtown area should fit in with the existing architecture. Community Development High Economic 3.2 Encourage strong community pride in urban and suburban areas. Public events and art, vibrant open spaces, City marketing efforts, conservation of natural resources, and preservation of “small-town” character should focus on developing strong community pride. Economic Development Authority, Planning Commission, & City Council High Economic 3.3 Invest in a high-quality education. Opportunities within public and private entities should be created to provide youth more professional experiences to gain tools and resources. The City should continue to partner with the School District to provide these tools. Administration Medium Goal 4: Retain and attract residents. Economic 4.1 Explore the extension of public transportation. Public transportation should create mobility to all major parts of the City and be accessible to all residents and visitors. Administration & City Council High Economic 4.2 Accommodate a variety of housing types. Accommodate housing for all ages, including a variety of housing types, including single-family, multi-family and mixed-use developments. Community Development, Planning Commission & City Council High Economic 4.3 Recruit technology businesses. Seek opportunities to recruit technology businesses to create new employment and attract outside professionals. Economic Development Authority High Goal 5: Strengthen the downtown as a center for historical and cultural history. Economic 5.1 Support new and existing businesses in the downtown and urban areas that provide dining, retail, arts and entertainment. Economic Development Authority High Economic 5.2 Create new educational, cultural, and recreational activities and spaces downtown. Economic Development Authority Low Economic 5.3 Maintain and enhance existing public spaces while creating new public spaces for social interaction in the urban and suburban areas.Community Development Medium Economic 5.4 Work with the St. Joseph Historical Society to create a list for designating buildings on local, state, or national registers in the downtown and urban areas.Planning Commission Medium Economic 5.5 Provide economic incentives and design flexibility to encourage restoration of historically significant buildings downtown. Community Development, Economic Development Authority & City Council Low 106 | The City of St. Joseph Comprehensive Plan Implementation Matrix: Economic Development Strategy Number Strategy Ownership Priority Goal 6: Continue to host and sponsor local arts and cultural activities. Economic 6.1 Incorporate public art into the design of public spaces and infrastructure.City Council Low Economic 6.2 Explore regulations to implement a “percent for arts” requirements in community projects.City Council Low Economic 6.3 Create a community wide project to create a seal used in a range of public activities.Planning Commission Medium Economic 6.4 Create opportunities, in collaboration with the College of St. Benedict, All Saints Academy, and Kennedy School students, for the public to contribute to public art and landscaping within the City.Park Board High Economic 6.5 Solicit input from local developers when building or renovating public buildings.Community Development High