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IDC Agenda 02-16-1984 . AGEND MONTICELLO INDUSTRIAL DEVEL Thursday, February 16 Monticello City Hall Chairman: Jay Morrell PMENT COMMITTEE MEETING 1984 - 7:00 A.M. Conference Room Co-Chairman: Gary Wieber Members: J. Bondhus, T. Eidem, . Gagnelius, A. Grimsmo, R. Hoglund, C. Johnson, S. Johnson D. Lungwitz, W. Musty, B. Schrupp, D. Smith, and A. pelvi . 1. Call to Order. 2. Approval of January 19, 1984 meeting minutes. OLD BUSINESS 3. Consideration of Adding an N P Representative to the Committee. 4. Consideration to Table Indus rial Brochures and Testimonials until Later in Spring. . NEW BUSINESS 5. update on Speakers for Annua Fund Raiser Banquet. 6. Continuation of Promotional Entertainment, and Invitatio Banquet. 7. Prospect Update. 8. Other Business. 9. Adjournment. . ommittee Organizing Ticket Sales, s, etc., for the Annual Fund Raising . MINUT 5 Monticello Industrial D velopment Committee Thursday, January 19, 1984 - 7:00 A.M. Members Present: John Bondhus, om Eidem, Arve Grimsmo, Shelly Johnson, Jay M rrell, Don Smith, Gary Wieber, and Allen Pelv"t. Members Absent: Bruce Gagneliu , Ron Hoglund, Con Johnson, Dale Lungwitz, Walt Musty, Bud Schrupp. Chairman Morrell called the meet"ng to order. J. Morrell asked for a minutes as submitted. by A. Grimsmo. motion to approve the December 15, 1983, Motion w s made by G. Wieber and seconded J. Morrell suggested setting up the metro areas. He also sugge brochure and then a follow up c realtors that participate in th with the metro areas. It was t pelvit incorporate this into ou . A. Pelvit explained that he was location to have the regular I. it would be helpful to know in to holding a meeting. A. Pelvi of members that will attend cou attend (when there was not enou that the committee as a whole h came aboard. When Pel vi t came about attending meetings. "Aft was hired." Some members were by now. T. Eidem stated that i will not be able to attend additional mailings to realtors in ted sending a cover letter with a 11 afterwards. We should use local Multiple Listing Service (MLS) along e consensus of committee to have A. general mailing campaign. trying to find a convenient time and .C. meetings. He also stated that dvance how many would attend previous further stated that knowing the number d prevent wasted time of those who did h to hold a quorum). A. Grimsmo stated d worked very hard before A. Pelvit n board some members became more lax raIl," Grimsmo said, "that's why Allen urnt out, but they should have recovered is important to notify Allen if they ting or activity. Jay Morrell suggested that the ext meeting should be held Thursday, February 16, 1984, at 7:00 A.M. The meeting will start promptly at 7:00 A.M. and end at 8:15 A.M. The minimum number of members needed for a quorum was suggested to b five. The meeting is to be held at City Hall in the Conference Roo , and Allen will make reminder calls to each member, who will indicate their attendance. A motion to adopt these rules was made by G. Wie er and seconded by A. Grimsmo. T. Eidem stated that attendanc attendance for the membership. sidering what each individual . is poor and the committee should evaluate J. Morrell and G. Wieber suggested con- ontributes throughout the entire year. 1 - . J. Bondhus felt that personalit John also suggested setting up XXX meetings, they should be dr noted that the members are volu services. T. Eidem stated that they should still fulfill their the committee to have Allen rev annually and check with members to check with all members on We feedback to the February meetin A. Pelvit explained meeting wit Economical Development Departme Chairman of the Board very much Monticello's Nuclear Plant on 0; Wayne Shamela (Plant Manager) 0 recommended Norm Eklund. T. Ei Norm Eklund as a new member of motion. A. Pelvit suggested T. and he agreed. Tom will invite . Jay Morrell wanted to know if t that could be a liaison for the and Bud Schrupp were both HRA m mission would not be very recep also stated that Pelvit and him Planning Commission. A. Grimsm of Planning Commission minutes. with that arrangement. I dust rial Devel. Committee Minutes - 1/19/84 es should be kept out of evaluation. guideline such as if a member misses pped from the committee. It was teers and do not get paid for their even though the members were volunteers, obligations. It was the consensus of ew the attendance of the members semi- for their commitments. Allen is also nesday as the best meeting day. Bring Bob Stern and Dick Wright of NSP's t. He also pointed out that NSP's wanted to have a representative from committee. Allen suggested either Norm Eklund as a possibility. A. Grimsmo em moved to extend an invitation to he I.D.C. S. Johnson seconded the idem make the invitation to Mr. Eklund Eklund to the February meeting. ere was a member on the Planning Commission I.D.C. T. Eidem indicated that D. Cochran mbers and Cochran on the Planning Com- ive to acting on more committees. Eidem elf were indirect liaisons with the asked if it were possible to get a copy Eidem didn't think there was any problem J. Morrell agreed that the spri g fund raising banquet has been a success and should be done again. Jay lso stated that Allen has been very active in promoting prospects, developi g an industrial brochure, and lining up television publicity. This shold be noted at the banquet. There was a suggestion to have the banquet i a roast form, but committee felt this should be more professional in n ture. It was also the consensus of the committee that we should try to et Governor Rudy Perpich and Mark Dayton to attend as guest speakers. Don Smith reported that Mr. R. dtke (Snyder Drug) likes what the I.D.C. is accomplishing. Don indicated that Hedtke is not a very active Chamber member but is exemplary of other ' attitudes toward the I.D.C. T. Eidem will contact Pat Johnson (Govern r Perpich's scheduler) to see if Perpich will attend. He will also conta t Mark Dayton's assistant (Connie Lewis) to invite Mr. Dayton. If they w"ll not give us a commitment by February 1, 1984, A. Pelvit will contact the names (headed by Dr. Song Won Sohn of Norwest) suggested by G. Wieber. The ban uet was scheduled for May 21 at the Monte Club. A. Grimsmo suggeste asking for the same deal (steak and lobster) as the Rotary. . In ustrial Deve1. Committee Minutes - 1/19/84 . A. Pe1vit briefly reported what as taken place with Veits Construction. He stated that they originally t lked about constructing a 20-40,000 sq. ft. building with four 5-10,000 sq. ft. units for lease. Veits would like at least a 50% guaranteed 0 cupancy (with five year leases) . Morrell and Pelvit both agreed t at this project would have to be strictly a speculative arrangement and no just a company putting up a building for a tenant. Allen will relay his information to veits and proceed with more definite plans. He will get Dale Lungwitz and Con Johnson involved with the next meeting. Don stated that this type good but did suggest that that if any I.D.C. member Allen. ting of prospects and actions is very dd names of owners and businesses so lly knows a prospect, they can help other Business included A. Grims o's report on a joint venture between Monticello, Big Lake, and Elk Ri er to build an airport. Three hundred acres has been located approxima ely eight miles northeast of Monticello. This project is confidential at his time. It should be kept between the members of this committee. he project can get FFA funding for approximately 80-90% of the total costs. Even the initial feasibility study will be funded by MN/DOT - District 3. We will keep the committee informed. . A. pelvit briefly reported that local commercial printer literally laughed at trying to make brochures with $3,500.00. They wanted $200.00 up front just to have their artist do the layout work. From this they could tell how much to charge us. I received bids from several other commercial printers. However, 0 ly May Printing in St. Cloud could handle all phases of the brochur. We could get a brochure jacket similar to Exhibit III (enclosed in the January 19, 1984, supplement) made of a quality paper and appr ximately seven inserts for $1,200.00 to $1,500.00. G. Wieber and All n will continue working on the final draft and layout of inserts. Development . - 3 - / i . . . IDC Agenda - 2/16/84 3. Consideration of Addin an NSP Re resentative to the Committee. (A.P.) A. REFERENCE AND BACKGROUND: At the January meeting A. Pelvit with Bob stern and Richard wright with the Star City Recertificatio of NSP's Economic Development Dep Chairman of the Board wished to h plant on our committee. This was an excellent idea. An N would have given us accessibility Department in Minneapolis. eported on a meeting he attended Mr. wright was helping B. Stern process. Mr. wright is Manager rtment. He told me that NSP's ve an employee from the Monticello p representative on the committee to their large Economic Development It was the consensus of the committee to ask Norm Eklund to become part of the Monticello Industria Development Committee. I asked T. Eidem to invite Mr. Eklund to the February meeting because he knew him quite well. When asked, Mr. Eklund declined the invitation because he is too involved with ork at the Becker Plant, etC. He will, however, direct us toward n individual who would be a positive force on our committee. B. ALTERNATIVE ACTIONS: 1. When given the opportunity, nvite Mr. Eklund's nominee to the next meeting. 2. Not proceed any further with adding a representative from NSP to the committee. C. RECOMMENDATION: Although the committee already h would benefit us to have an NSP only does NSP have a large Econo reach out in many other areas as to us in future projects. It is Eklund suggests. D. SUPPORTING DATA: s an adequate number of members, it epresentative on the committee. Not ic Development Department, but they well. Their resources may be of value recommended to pursue whomever Mr. None needed at this time. Furt er information can be obtained from T. Eidem. - 1 - . IDC Agenda - 2/16/84 4. Consideration to Table Industria, Brochures and Testimonials until Later in Spring. (A.P.) A. REFERENCE AND BACKGROUND: At the December meeting, it was he consensus of the committee to compose and print an industrial rochure for Monticello. This brochure was to be completed by id-February so it could be used at the February 22-23 trade show. This item was tabled at the Janu ry meeting because time expired. Printers suggest giving them two weeks' time to complete their work. If decided to go ahead at this meting (February 16), we would not get the brochures until March. B. ALTERNATIVE ACTIONS: 1. Keep working on the final dr ft, layout, etc., and have printed for delivery in March. 3. Abandon project indefinitely. 2. Table this project until som time this spring. . C. RECOMMENDATION: I suggest we table the brochure not receive the brochures or tes trade show. In fact, I suggest have an NSP representative on th industrial brochure in 1967. Pe in the future. D. SUPPORTING DATA: or the present time since we would imonials in time for the February aiting with the brochure until we committee. NSP helped make an haps we could use their services Copy of 1967 industrial brochure produced by NSP. Full brochure will be available to see at the meeti g. . - 2 - rj\ ~ .9 tt v ita t i 0 tt t 0 \9 tt d u rd. It ~ ~ It 0 m MONTICEllO M\NNE501A I I ~ IDC Agenda - 2/16/84 . 5. U date on S eakers for Annual F d Raiser Ban uet. (A.P.) As of February 8, 1984, the Gove will be in Singapore. Mark Dayt attend if his schedule permits. acknowledgement from Kathy Calla (MN. Dept. of Economic Developme were suggested. They included: Dr. Song Won Sohn, and others A. REFERENCE AND BACKGROUND: A list of possible guest speaker Governor Rudy Perpich, Mark Dayt involved with economic developme scheduler has indicated he n has indicated a willingness to T. Eidem has contacted and received an, Director of Business Services t) that she would attend. B. ALTERNATIVE ACTIONS: 1. Invite Mark Dayton as guest peaker with Ms. Callahan as special guest representing the State Business Service. 2. Invite Dr. Song Won Sohn. C. RECOMMENDATION: . Staff recommends formally inviti g Mark Dayton as guest speaker with Ms. Callahan as representative from the Business Services Department. This position has eplaced the position previously held by Michael Mulrooney. D. SUPPORTING DATA: None needed at this time. . - 3 - IDC Agenda - 2/16/84 . 6. Continuation of Promotional Comm"ttee Entertainment, and Invitations, tc., Banquet. (A. P.) A. REFERENCE AND BACKGROUND: round work for contacting several eakers for the banquet. Because uts and bolts planning for the ting. The January individuals the meeting banquet was meeting established suggested as guest s; time ran short, the . tabled until this ma Added expenses of the Director will mean raising more funds. required by all members. Economic Development's position s a result, more effort will be B. ALTERNATIVE ACTIONS: 1. Form subcommittees to work n individual areas such as ticket sales, invitations, enterta"nment, etc., and have these members work out the details. 2. Have Allen work independent'y with G. Wieber assigning tasks for the various areas. . C. RECOMMENDATION: working with G. Wieber has been good in the past and should be in the future. I feel we could ge more accomplished and in a shorter period of time. These meetings are to be completed in 75 minutes (one hour and 15 minutes). If ime permits, we could discuss areas that members are concerned abou . D. SUPPORTING DATA: List of Monticello businesses, individuals who are good prospe to Exhibit I, Item #5, Agenda S meeting. ndividuals, and other businesses or ts to invite to the banquet. Refer pp1ement for the January 19, 1984, . - 4 - IDC Agenda - 2/16/84 . 7. Prospect Update. (A.P.) Alpana Aluminum. I stopped to t lk with Donald Klitzka, President of Alpana, abo t their plans for expansion and relocation. Their Board of Dire. tors appreciated Monticello's interest but have decided to buy their ow. property (30 acres) near Medina and proceed on their own. The probl m with Delano, according to Mr. Klitzka, was that the City promi ed Alpana the world. They virtually gave Alpana the land and everyth'ng else associated with the deal. Then Delano elected a new mayor . nd appointed a new administrator causing the City to think twice bout what they promised. Throughout the following months the city st rted taking back "bits & pieces" of their fantastic offer. Alpana b came upset and withdrew their offer as well and decided they would b better off developing their project on their own without outside int. rference. . Pies, Inc. On January 24, 1984, I visited with Pies at their office to see why they woul not return my calls. Charlie Bench, Corporate Accountant, didn't kno much about what was taking place. After some time passed, Bill Str nglis, Vice-President of Marketing and Sales, talked with me. I ex lained Monticello's interest in their company and asked if a dec'sion had been made. Bill told me that they had made a decision ju t a day or two earlier. During our remaining discussion I asked leading questions, looking for reasons why they did not choose onticello. Financial analysis played a major role in their dec'sion. It came down to a numbers game. Albert Lea had an empty ilding they had been trying hard to unload for a long time. Pies, Inc. liked the Monticello location, the possible working relationshi with Wrightco, but financially had to put their company's futur in an area where give-aways speak louder than personal likes or di likes. Pederson's Unlimited. I recentl talked to Mrs. Pederson about various types of financing and incentives available to businesses in Minnesota. They definitely want to expand but are having trouble with the City of paynesville. She told me that they would like to stay in paynesville if they c uld work something out. When I asked about an approximately time table, she stated that the middle of March would be the earliest a decision could be made. She gave two reasons. They (Pederson's Unlimited) have to take care of some inhouse things before they can decide. This my mean 1) that they are dealing with Paynesville and will know if they want to relocate; or 2) their prOducts, TEAM U.S.A. Hockey Uniforms, will be worth a fortune if they (the USA Team) win a Gold Medal. I will keep you informed. Schmidt Laboratories. This is a new business. They are in the eye- lens in ustry. One and-a-half years ago they started production with three p ople including the president and . . vice-president. Currently they are to employ approximately 250 is the type of industry that ma~ of economic conditions. The st. the lens and eye craft center of pursuing them. However, most of that their business requires. T and most other cities surroundin' between the plant and their home' them ways of car pooling, etc. employee, and it takes 6-8 weeks without constant supervision. T business and loosing any number move or commute to Monticello) w . Odee Henrickson. I made severa a message fro get the N~ of Lot 4, Block 1, Oa Mr. Henrickson said he would thi him and asked how his other prop that "the other cities did not m gutter and tar at all." I asked and he said no. Inside sources they didn't want to deal with Mr in another related deal. Fulfillment Systems. The U.D.A. project is will be given after formal notif . - 6 IDC Agenda - 2/16/84 mploy 49 people. Their plans eople in five years. This industry s profits during almost any type Cloud area is considered to be the world. Other cities are them cannot offer the exact conditions e one drawback that Monticello St. Stephen have is the distance My main goal is to try and show his company personally trains each before they can be trusted to work e eye-lens industry is a very precise f employees (those who would not uld be very costly. calls on Odee and Finally gave him Oakwood Corporation that he could wood Industrial Park for $1,000 less. k it over. The next time I contacted sals were coming along, he explained ke it mandatory to install curb and if he would still consider Monticello hat the Building Inspector knows said Henrickson. This land may be good . Funds were approved and the starting to proceed. More information cation from Washington arrives.