IDC Agenda 06-21-1984
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AG NDA
MONTICELLO INDUSTRIA DEVELOPMENT COMMITTEE
Thursday, June 21, 1984 - 7:00 A.M.
Monticell City Hall
Members:
Co-Chairmen Jay Morrel
Tom Eidem, Bruce Gagne
Shelley Johnson, Harve.
Schrupp, Don Smith, an
and Gary Wieber, John Bondhus,
ius, Arve Grimsmo, Ron Hoglund,
Kendall, Dale Lungwitz, Bud
Allen Pelvit.
1. Call to Order.
2. Approval of the Minutes of t e Meeting Held May 15, 1984.
3. IDC's Comments Regarding Upd ting of City's comprehensive
Plan.
New Business
4. Consideration of Future Trade Shows.
5. Review of IDC Annual Banquet.
6. Consideration of Purchasing tar City Road signs.
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7. Consideration of a Thank-yo Ad for those Contributing
to the Banquet.
8. Consideration of a survey/Q estionnaire for Businesses
Expanding/Relocating, etc., in Monticello.
9. Other Business.
10. Adjournment.
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MINU
MONTICELLO INDUSTRIAL
Tuesday, May 15,
Monticello
Members Present:
Jay Morrell, S
Smith, John Bo
Kendall, and A
Members Absent:
Walt Musty, To
Bud Schrupp, a
ES
EVELOPMENT COMMITTEE
984 - 7:00 A.M.
ity Hall
elly Johnson, Ron Hoglund, Don
dhus, Dale Lungwitz, Harvey
len Pelvit.
Eidem, Arve Grimsmo, Bruce Gagnelius,
Gary Wieber.
NOTE: Tom Eidem, Gary Wieber, a d Bud Schrupp were attending a special
HRA planning meeting duri g this time.
Chairman Morrell called the meet'ng to order and asked for a motion to
approve the April 19, 1984, minu es. Don Smith made the motion to
approve said minutes and Ron Hog und seconded the motion.
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Allen gave an update on banquet
126 tickets had been either paid
$9,450.00 in revenue. Jay Morre
approximately $2,000.00. Jay as
on Friday, May 18, 1984, to thos
be a good idea. Allen stated th
completed.
icket sales. He stated that approximately
for or spoken for. This amounted to
1 estimated that expenses would be
ed Allen if he felt a telephone call
who committed but did not pay would
t reminder calls would definitely be
Don Smith suggested Allen compi1 a list of all ticket prospects. He
further suggested that he indica e those who have paid, those who say
they will attend but have not paid, and those who definitely will not
attend. At that point, Allen can let each IDC member know which people
to follow up on. Allen stated that he has a running total of those
paid and committed.
Don asked if any of the other mem ers ran into resistance because they
raised the prices. It was agreed by all that this was a major concern
of many individuals.
Jay indicated that the banquet in general should be critiqued at the
next meeting. He understood that tickets were $100.00 each at the
first banquet and variations occu red in recent years. Jay also discussed
the possibility of having low cos tickets ($15-$20) available after
purchasing 1-2 tickets at full pr'ce ($75). After reviewing this, it
was decided to not change the tic et structure this year because the
hospital had already purchased 7 ickets at $75.00. Jay thought the
Committee would be better off if e left the ticket prices as is and
have the first ticket $75.00 and he secontl ticket $25.00. Ron Hoglund
questioned what to charge succeed"ng tickets.
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It was the Committee's consensu
banquet but had perhaps created
prices. The Committee also fel
would be in good shape. Our go
to work on and should be brough
IDC Minutes - 5/15/84
that we would not do badly on the
some bad feelings by raising the
that if we grossed $10,000.00, we
1 was $12,000.00. There are some areas
up at the next meeting.
Allen reported on banquet publi He stated that the St. Cloud
Times was contacted. Jeanine N"stler was on maternity leave but
discussed the banquet with a reional director. They did not want
to cover this because they were doing a story on economic development
of several Central Minnesota cities later this summer. The Times did
say they would be contacting us at that time. This would be a fOllow-up
of an article they did in 1983.
He also sent a press release typ
T.V., and newspapers in the St.
Don Dorn was contacted about thi
sent to WTCN and that he would i
.
Allen briefly described the gene
suggested that Don and Jay work
The head table was to be compose
Morrell and his wife, Mickey Pet
and Mark Dayton. Allen stated t
introductions for all speakers a
Jay suggested working on this af
Committee that Dayton would be s
of Economic Development and the
Dale Lungwitz questioned the pre
stated that the House bill (H.R.
have both passed. The next step
Committee and attempt to negotia
has per capita limits of $150, w
limitations. The Senate version
business to $40 million. This
and projects with UDAG funds.
office buildings, for doctors, 1
Now we must wait for passage of
Shelly asked if the Monte Club's
indicated that this has been dis
a new system had just recently b
just 10 days earlier the speaker
assured the Committee that Jay a
Club to make sure the arrangemen
of letter to all the major radio,
loud and Metro areas. Jay asked if
Allen stated that a letter was
form Shelly Johnson.
al format for the banquet and
n this after the meeting adjourns.
of the Mayor and his wife, Jay
rson and her husband, Terrell Towers
at he has prepared informational
d on Monticello's accomplishments.
er the meeting. Allen informed the
eaking on the Minnesota Department
rograms it has to offer.
ent status of IRE's in Congress. Allen
4170) and the Senate bill (H.R. 2163)
is to have each bill enter the Conference
e a compromised bill. The House bill
ereas the Senate bill has no per capita
however, does limit each private
es not apply to manufacturing concerns
e bill prohibits IRB's for use in
wyers, accountants, or similar professions.
bill.
PA system has been improved. Jay
ussed before and Allen indicated that
en installed. Don Smith stated that
system was not very good. Allen
d himself would meet at the Monte
s were adequate.
Chairman Morrell introduced and fficially welcomed Harvey Kendall
as a member of the Committee. Several members indicated they knew
Harvey. Those that didn't were introduced. Harvey will sit on the
Promotional, Publicity, and Prospect Subcomittee.
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IDC Minutes - 5/15/84
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Jay proceeded into the next agen a item dealing with individuals
needed at the May 22-23 Trade Fa'r in Minneapolis. Allen explained
that he was looking for some hel to carry in equipment and set up.
He also would like someone to sp nd some time during the show hours
as well as helping dismantle and pack up. Jay suggested this be
arranged after the meeting on an,individual basis. He also suggested
this be a good opportunity to ge those who do not attend the meetings
to get involved.
John Bondhus stated that he orig nally suggested Walt Musty as a member,
but he has not been to a meeting in the last six months. Allen stated
that he is willing to sell his t ckets; but when he is called and
reminded of the meetings, he can ot make them.
John stated that walt recently m
if he really wanted to be a part
that it is sometimes hard to res
Allen contact Walt and discuss h
consensus to keep in touch with
to Monticello.
ved from Monticello and did not know
of this Committee. Don Smith stated
gn from something and suggested that
s intentions. It was the Committee's
alt and try to relocate his business
There being no further business, Chairman Morrell asked for a motion
to adjourn the meeting. Motion as made by Harvey Kendall and
seconded by John Bondhus. g adjourned.
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IDC Agenda - 6/21/84
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3. IDC's Comments Regarding updatin of City's Comprehensive Plan. (A.P.)
A. REFERENCE AND BACKGROUND:
During the past 2-3 months, City
the Comprehensive Guide Plan for:
was completed in 1978 and obviou
period mentioned above, the Plan:
Redevelopment Authority, and the
sessions to review recommended c
and policies Section. As well a
meetings were held for citizen i
B. ALTERNATIVE ACTIONS:
1.
Review the goals and policie,
revisions of the Comprehensi e
items you are concerned with.
2. Make no comments at all.
C. RECOMMENDATION:
.
Carefully review the Goals and
on areas that particularly deal
This is a chance for each of yo
the City's future direction.
D. SUPPORTING DATA:
staff has been re-evaluating
the City of Monticello. It
ly was outdated. During the
ing Commission, Housing and
City Council each held work
anges or comments on the Goals
individual meetings, public
volvement.
section and the suggested
Plan, making comments to
olicies section and make comments
with Industrial Development.
to express your views for
Copy of the Goals and Policies ection and suggested revision
materials.
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IDC Agenda - 6/21/84
4. Consideration of Future Trade Sh ws. (A.P.)
A. REFERENCE AND BACKGROUND:
In the past, the Committee has b
shows. After attending the firs,
Small Business Marketplace), I f
the leads obtained and am still
After attending the second show
I have become very disappointed
of people attending.
The last show was not good in re
their wares. On the contrary, t
more SOliciting than the exhibit
bankers and realtors. They were
development but only for their 0
B. ALTERNATIVE ACTIONS:
en in favor of attending trade
trade show (The Minnesota
It somewhat comfortable with
ommunicating with these firms.
The Small Business Trade Fair),
n the attendance and the type
pect to exhibitors selling
ose attending the show did
,rs. Those that did stop were
interested in Monticello's
1. Continue to use trade shows as an advertising media, especially
manufacturing orientated.
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2. Discontinue attending trade sows.
3. Attend trade shows but as an ttendee and not as an exhibitor.
C. RECOMMENDATION:
I am presently requesting informa
types of manufacturing trade show
etc. I recommend attending shows
to companies. This will save the
productive.
D. SUPPORTING DATA:
None needed.
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ion from Brede, Inc., on
held in Minnesota and dates,
as an attendee and talking
Committee money and be more
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IDC Agenda - 6/21/84
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5. Review of IDC Annual Banquet. ( .P.)
A. REFERENCE AND BACKGROUND:
As of 6/15/84. the fOllowing revenues and expenses have been
received and paid with regard to the 1984 Annual Banquet:
REVENUES:
113 tickets paid @ $75.00
1 ticket paid @ $100.00
$ .475.00
I
$: 100.00
$8.575.00
Subtotal
$8.575.00
(28 tickets committed for but no paid. Sent Reminder. Anticipate
approximately $1.500.00 to be re urned out of $2.100.00)
EXPENSES:
Food-l08 dinners @ 11.25
Bar
Gratuity
$1.450.00*
$ 435.80
$ 182.00
$2.067.80
.
Net Profit
$6.507.20
Less Minnesota Plaque
$
85.00
$
85.00
Adjusted Net Profit
$6.422.20
B. ALTERNATIVE ACTIONS:
1. Change the ticket price struc ure from $75.00 to something
lower.
2. Keep ticket price as is.
3. Throughout the year think of new approach to ticket price.
i.e.. 1st ticket $75-$100. 2nd ticket $25-$50.
C. RECOMMENDATION:
A review of the banquet and the ti ket prices indicates two
areas to concentrate on next year. 1) A frequent excuse heard
was "It costs too much". or "I can't afford that much"; and
2) We sold more tickets than in 19 3. If we can present 1984
ticket sales in a more attractive ight. our success should
be good.
..-..
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D. SUPPORTING DATA:
Attached comparison.
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*$235.00 was added
for hors d'oeuvres
and wine.
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COMPARISON BETWEEN 108 PAID AND 160 PAID @ $75.00
REVENUE:
108 Paid @ $75.00
EXPENSES:
Food - 108 X 11.25
Bar - $4.05/person
Bar - $2. 18/person
Gratuity
Subtotal
Less Montage
NET PROFIT
ACTUAL
$8,575.00
160 Paid @ $75.00
$1 ,215.00
$ 435.80
$ 235.00
$ 182.00 $2,067.80
$1,800.00
$ 650.00
$ 350.00
$ 270.00
GOAL
$12,000.00
$ 3,070.00
$6,507.20
$ 8,930.00
$
85.00 $
85.00
$6,422.20
We have sent remit, ders for up to
another $2,100.00 to be sent in.
Realistically we may receive $1,500.0a
$
85.00
G)
$
85.00
$ 8,845.00
IDC Agenda - 6/21/84
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6. Consideration of Purchasing Star City Road Signs. (A.P.)
A. REFERENCE AND BACKGROUND:
At an April 2, 1984, luncheon me ting, the Minnesota Department
of Energy and Economic Developme t (DEED) revealed tentative
plans for road signs for designa ed Star Cities. Upon attending
the Star Cities Conference in Ma, 1984, DEED presented signs
with the Star City logo and the ity name or a sign with only
the Star City logo that could beipurchased. At the same time,
they presented me with five lape pins with the Star City logo.
Dimensions of the sign with logo
the cost is $142.50; whereas the
18"x 30",costing $67.50. These
of the sign and installation.
name are 18" x 84", and
only sign would measure
include minor maintenance
For anyone interested in pursuin a symbol board in conjunction
with a town sign, contact Bill H nsen, St. Cloud, 253-1492.
He is on an external committee c ncerned with traffic engineering.
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1. Purchase either logo only
or logo/city name sign.
B. ALTERNATIVE ACTIONS:
2. Do not purchase Star City
sign.
C. RECOMMENDATION:
I have heard that Delano made the'r own sign with the Star
City logo (billboard style), and hey claim it is indirectly
related to a firm relocating ther I have no opinion as to
buying or not buying these signs. I only intended to present
the information to you.
D. SUPPORTING DATA:
Attached is a facsimile of each s gn.
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IDC Agenda - 6/21/84
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7. Consideration of a Thank-you Ad for those Contributing to the
Banquet. (A.P.)
A. REFERENCE AND BACKGROUND:
Recently Jay Morrell suggested t at the Committee consider
placing an ad in the Times thank'ng all those individuals and
firms who contributed to our ann al fund raiser.
I have contacted the Times and r quested costs per column inch.
A display ad 2 Columns wide (5" x 5") would cost $38.00.
Three columns (7~" x 7") would c st $78.75.
Approximately 65 names would hav to be placed in the ad along
with the text. I then contactedjDon Smith to see which size
would be appropriate and at the .ame time keep the cost to
a minimum. Don stated that a 2-olumn x 5" ad would be adequate.
B. ALTERNATIVE ACTIONS:
1. Place an ad in newspaper.
2. Do not place an ad in newspap r.
.
C. RECOMMENDATION:
I feel that it would be appropria e to express our
to those contributing financially for our efforts.
should be adequate and cost appro imately $38.00.
appreciation
A 2-column x 5"
D. SUPPORTING DATA:
A sample text and layout for an a .
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SAMPLE TEXT ANI LAYOUT FOR AD
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(Approximately 65 names that have donated would be listed.)
IN APPRECIATION for their contri1ution to the Industrial Development
Fund Raiser, the Committee would I like to acknowledge the following
firms and individuals: '
LIST (F NAMES
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Your monetary support will be uled throughout the year to further
pursue our goal of seeking and lupporting industrial, commercial,
and professional businesses in he Monticello Community.
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IDC Agenda - 6/21/84
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8. Consideration of a survey/Questiol naire for Businesses Expanding/
Relocating, etc., in Monticello. (A.P.)
A. REFERENCE AND BACKGROUND:
Jay Morrell expressed interest i possibly designing a survey/questionnaire
to give the businesses that expa ,d and/or relocate in Monticello.
Jay has recently completed a pro~ect and thought there should
be a way of evaluating all parti s concerned with the development,
i.e., the City and its staff, th HRA and staff, the City council,
the Planning Commission and Publ'c Works Department, etc.
Although Jay said his project in olved several wrinkles which
were worked out, he suggested th t in the event other projects
had difficulties, the appropriat' concerns could get feedback
to be used for self critiquing.
B. ALTERNATIVE ACTIONS:
1. Upon formally adopting the u e of such a survey/questionnaire,
have the research and planni g committee work on such a
form.
2. Take no action at all.
C. RECOMMENDATION:
.
No formal recommendation is give, The idea has merit and
could indicate strengths and wea nesses in each particular
unit.
D. SUPPORTING DATA:
None needed.
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INFORMATIONAL ITEMS
IDC Agenda - 6/21/84
Scandinavian Transport Products (TP): Two representatives
from STP will be arriving in Monticello on June 22 at approximately
5:00 p.m. originally it was thou ht that this visit would
be used for site selection purpo:'es but has now been expressed
as a marketing mission. If ther are sufficient markets and
sales potential, etc., they (STP representatives) will return
in September for choosing a site.,
Although the Minnesota Trade Off"ce is down-playing this visit,
it is my opinion that we must ma e our best impression to them.
Schedules and intentions have ch nged so many times since January
that I feel this visit will esta 1ish in STP's mind the more
favorable site locations. We mu t approach this as though
this is our only chance to visit The future may be too late.
On June 22, Arve Grimsmo, Tom Ei
will be visiting with the STP's
to be an informal dinner meeting
interested in STP and their plan
to pursuade them in choosing Mon
em, John Simo1a, and myself
epresentatives. This is planned
The group will be genuinely
However, we will not try
ice110.
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We will attempt to use this as a fact finding meeting. We
will have a very comprehensive i formational packet available
for STP to review. With the inf rmation obtained at this meeting,
we will then be able to assemble a better presentation and
combine with our initial informa iona1 packet.
_ As some of you may already know,
as a member of this Committee.
Walt's ticket sales and then ask
for IDC commitment. Walt stated
move from Monticello it had beco
active. He did express his than
wishes for continued success. I
relocation of his business to Mo
Walt Musty has recently resigned
fter our last meeting, I collected
d him about his intentions
that because of his recent
e increasingly harder to be
s to the Committee and best
will keep in touch for a possible
ticel10.
Fulfillment systems, Inc. (FSI): At present, FSI is having
their legal counsel prepare con racts between them and the
City. Other legally binding co itments will also be finalized
and forwarded to HUD. Upon the"r approval (3-5 weeks) we can
begin withdrawing UDAG funds an thus moving earth. This ever
so slow progress is getting c10 er to reality.
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Key Tool and Plastics, Inc.: Th
the entire United States. You'l
of 1983 the City Council approve
time, Key Tool and the rest of t
action. At this point we are an
competing as a non-entitlement c
monies ($100 million).
I have met with Key Tool and Pla
the last month and have gotten a
are greater than they anticipate
for their firm.
Terrell Towers, Minnesota Depart
Business Finance Specialist, and
Plastics on June 13, 1984. We d
of IRB's and other types of fina
a result, Key Tool will be assem
for the state. I will again rew
finance proposal and work out a
breaking.
IDC Agenda - 6/21/84
IRB issue has virtually crippled
remember that in December
IRB Authority. Since that
e nation has awaited Congressional
icipating the City of Monticello
ty for limited amounts of
tics several times during
recommitment from them. Sales
, thus causing growing pains
ent of Economic Development
I visited with Key Tool and
scussed the possibilities
cing as alternatives. As
ling their financial proposal
rk a preliminary tax increment
ossible time frame for ground
There are several alternatives f r Key Tool and Plastics to
choose from. They are:
.
1.
Completely move it
Monticello. This
in electricity cos
to their present b
operation from Big Lake to
ould save up to $3,OOO/mo.
s. However, they are obligated
ilding.
2. Keep smaller machi es and some assembly work
at the Big Lake si e and expand in Monticello
for the larger mac ines, etc.
3. They may try to se 1 the existing business or
keep their obligat on and sublease it out.
In any event, Key Tool and Plast c
facilities and wants to move fas
financing this project is expect
of Energy and Economic Developme,
Within 7-10 days Terrell will le
good enough to warrant Monticell
.
has outgrown its present
All information regarding
d to be submitted to the Department
t (DEED) by June 22, 1984.
us know if the proposal is
applying for funds.
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Stuart Hoglund was in on June 14, 1984.
He was still upset over the Counoi1's decision to not approve
his application for IRB's. Thro ghout the discussion, Stuart
constantly tried to have me commit myself. He wanted to know
what the City wants him to deve10 on his property.
I explained why IRB's are so touch and go at the present time.
But Stuart stated that he had an individual who could have
handled any obstacles regarding I B's.
He told me he was considering bu~lding in Rogers now.
Stuart asked what function I had with the City and the Industrial
Development Committee. After ex1aining it, he asked who the
IDC members were and when their eetings were held. He told
me that I wasn't promoting business in Monticello. I then
explained that in August of 1983 I had tried to get the Committee
to pursue retail and commercial eve10pment without much success.
I stated that the Committee want d to direct its efforts toward
industry and that retail/commercial, etc., would take care
of itself.
I could continue with this repor , but you would know how the
conversation went.
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In short, Mr. Hoglund wanted a d cumented copy of the Council
minutes. I have him a copy of t e minutes for the 6/11/84
meeting. After reading the minu es, Mr. Hoglund asked where
the minutes stated the Council's reason for denying the claim.
I gave several possible reasons. They are:
1. Fran Fair did not favor appr val because of a lack of IRB
guidelines distinguishing ty es of projects that would
get IRB approval.
2. Mayor Grimsmo thought the ne d for another motel was not
as great as when Mr. Hoglund applied for IRB's for the
Silver Fox.
3. Fran Fair also felt that a t ird motel was not in the City's
best interest.
4. The consensus of the Council
IRB legislation, IRB's shou1
projects.
that in light of recent
utilized for industrial
During the whole discussion, Mr. Hoglund was appearing to be
looking for revenge.
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