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IDC Agenda 08-17-2000AGENDA MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Thursday, August 17, 2000 - 7:00 a.m. City Hall - 505 Walnut Street -Academy Room MEMBERS: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Tom Lindquist, Bill Tapper, Dick Van Allen, Bob Mosford, Don Roberts, Mike Benedetto, Dan Carlson, and Jim Amundson. COUNCIL LIAISON: Mayor Roger Belsaas. STAFF: Rick Wolfsteller, Jeff O'Neill, John Simola, and Ollie Koropchak. GUEST: John Bondhus, Bondhus Corporation Call to Order. 2. Consideration to approve the July 20, 2000 IDC minutes. 3. Consideration of updates: a) Mayor Belsaas -Mayor's report b) Koropchak -Prospect and BRE c) Smith, Ollig, or Van Allen -Marketing 4 Continued -Consideration of an update on the progress to actively pursue acquisition of land for future industrial use. a) Grading Study for Chadwick parcel. b) Draft copy of Swap Agreement between City and Chadwick parcel. c) Update on Chelsea Road West Development. Continued -Consideration to review and discuss city engineer contracts, fees, and process of improvement projects. 6. Consideration of an update relative to the IDC Banquet reported by the Committee. 7. Consideration of accepting the resignation of Shelly Johnson as member of the IDC. 8. Other Business. 9. Adjournment. Next IDC meeting, September 21, 2000. MINUTES • MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Thursday, July 20, 2000 - 7:00 a.m. City Hall - 505 Walnut Street -Academy Room MEMBERS PRESENT: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Tom Lindquist, Bill Tapper, Dick Van AILen, Don Roberts, Mike Benedetto, Dan Carlson, and Jim Amundson. MEMBERS ABSENT: Shelly Johnson and Bob Mosford. COUNCIL LIAISON ABSENT: Mayor Roger Belsaas. STAFF PRESENT: Ollie Koropchak. GUESTS: Jim Eastwood, Cookstown Enterprise Centre John Bondhus, Bondhus Corporation Call to Order. Chair Ollig called the meeting to order at 7:00 a.m. 2. Consideration to approve the June 15, 2000 IDC minutes. Tom Lindquist made a motion to approve the June 15, 2000 IDC minutes. Seconded by Dan Carlson and with no corrections or additions, the minutes were approved as written. Consideration to hear message from Northern Ireland by Jim Eastwood. Don Smith introduced Ji-n Eastwood of the Cookstown Enterprise Centre stating Jim and he developed a friendship over the years through the Northern Ireland Children's Program. Jim's job is not unlike that of the Monticello's Economic Development Director. Interest for development of a "Sister City" Program between the Cities of Cookstown and Monticello exist as the cities share similarities. Eastwood informed members the Cookstown Enterprise Centre is a private company to serve business start-ups and foster business growth. In the last six years, he has made 3 trips to the US. Their current issues are rural in-nature with the decline in agriculture. The agency goal is job creation through BRE (growth within) with hands on support from ideas, training, one-to-one mentor, rental space, and administration and staff. Their district covers a population area of 35,000. Because of the country's geographic size not much relocation occurs between cities. A recent high profile business located in Ireland from Iowa constructing a 100,000 sq ft building and creating 200 jobs. The Council is equal to Monticello's City Council which is active in economic development: 1. Business retention. 2. Strong new businesses. 3. Outside investment. t IDC Minutes - 7/20/2000 4. Consideration to hear concerns of John Bondhus, Bondhus Corporation. John Bondhus introduced himself stating at one tine he was a member of the IDC and felt of late he's been out-of--the-touch. Therefore he elected to appear before the IDC prior to consideration of addressing the City Council. His concer-1 is one of process: How projects are done within the city such as storm sewer improvements? A--e projects developed by the city engineer for a fee or percentage basis? It appears the more you do, the more in-the-pocket. An examples: Easement on Bondhus property for pipe under County Road 75, want to finish pond by school, want new easement for (sanitary sewer interceptor) pipe to extend under freeway. Bondhus stated perhaps the pipe may never be needed, as the City could not give him a date or time. To incur costs for improvements which may not be needed is costly for business said Bondhus. Bondhus is OK with easement if needed. Perhaps, the City needs to consult with two engineers, one to oversee projects. Smith noted several years ago, the City discussed the need to add another city staff or another engineer consultant due to the growth of the community. Tapper mentioned the trunk fee approach. Upon expansion by existing business, the existing business is assessed. For new businesses, the fees disappear through a creative financial package. Koropchak, as a point of information, informed Bondhus and others that the final section for design and build of the sanitary sewer interceptor has been put on hold. She expressed her concern relative to marketing of the Chadwick property and the need for this line to serve that area. It is her understanding this is a major linkage for the system. After crossing the interstate, the pipe will travel westerly along East and West Chelsea Road to the Chadwick property. This pipe replaces the gravity pipe for full development of the Chadwick parcel. That won't happen in one day. Granted no one knows that date. IDC members agreed to invite Rick Wolfsteller, Jeff O'Neill, John Simola, and Mayor Belsaas to the next IDC meeting to review contracts and fees and to discuss how the city oversees public improvement projects. If all can be in attendance, call John Bondhus. 5. Consideration of updates: Mayor Belsaas - Ma ory 's report [n absence of Mayor - no report. b~ Koropchak -Prospect and BRE See Attachment. Smith, Ollie, or Van Allen -Marketing No report. 6. Continued -Consideration of an update on the progress to activelypursue acquisition of land for future industrial use. Grading Study for Chadwick parcel. Draft copy of Swap Agreement between City and Chadwick parcel. Planning Commission Update of June 6 relative to Gold Nugget parcel. Update on Chelsea Road West Development. IDC Minutes - 7/20/2000 Less amount of gravel to mine than first anticipated by Bowers/Chadwick. Negotiation on- going. 7. Consideration to hear options or plans for a reliable power source to the proposed future mdustr-al park and recommendation if so necessary (Bret Weiss and John Simola) Removed from agenda by Koropchak. 8. Consideration of the Chamber/IDC October Banquet• Speaker's A brief discussion was held relative to the Industrial Banquet of ] 999 and the IDC Minutes of November 1999. The IDC agreed to appoint the IDC Marketing Committee and Joanne Forbord, Susie Wojchouski, and 1im Amundson of the Chamber to further evaluate the banquet for continuation. 9. Other Business. None. 10. Adjournment. Next IDC meetin August I7 X000 Kevin Doty made a motion to adjourn. Seconded by Don Robe--ts, the IDC meeting adjourned at 8:35 a.m. (~'~ n n ' V ~ ~ cn o ,~~ ,~~ Ollie Koropchak, Recorder Economic Development Director Report • July 19, 2000 100,000 sq ft user -Window production. Elects to stay in the SLP or Golden Valley area to retain their current employees. Was very impressed with our brochure, advised to keep mailing. If has a need to start a new business would certainly consider Monticello. 4,000 sq ft user -Machine tool shop. Now works out of home in St. Michael. Met with owner July 12. Future project. Looking for acres to construct facility. Allied Companies -Mark Houge no longer with Allied. It appears Silvez Creek Development may work with Allied for development of the East 7 Street roject. Proposed ,~ ~ ~, industriaUcommercial incubator facility. \~ ~v~.+:.~-~~--~ ~~ `~ ~-~- ~ ` , ~~;'k'"?~ 50-100 acre site user - MN mfg headquarter. Representative was in town looking at Pfeffer property, did not contact City. 7-19-00 Company put project on hold -not dead. 100,000 sq ft, three-story office headquarters -About 400 people, not CEO headquarter but upper management. 10 acres. Through CB Richard Ellis. Needs freeway access not freeway exposure. Professional aesthetics. 500 cars, one floor. Time frame not known. Met June 27, with Ollie and Jeff. Request shapes. Follow-up July 6 -Report submitted to company June 29. Visited three communities. One withdrew, concentration of one employer. Monticello most helpful and respective. Monticello sites: Proposed City, Pfeffer, and Conoco area. Uses to close to industrial, mining operation, trucking, car dealership. Corporate image. Company rep on vacation. 50,040 sq ft office/production facility -Foam fabricating company - 2001-2002 project. Monticello information to decision makers. June 16. 30,000 sq ft machine shop - 3-4 acres. 10-15 jabs wages $22-$26 (machinists). Lead from "' Wright County. June 29. 400,000 sq ft foot office/warehousing facility. 30 ft ceilings, 30,000 sq ft office, 10,0001ight industrial, and 360,000 sq ft warehousing. 25-35 acres. Lead from Brad Barger. July 17. Mailed information July 19. 25,000-30,000 sq ft facility -manufacturing (metal stamping) 40 employees now. 6-8 new. $15.02 ph excluding benefits. 2001 project. Builder and company owner in Monticello June 16. No commitment but every interested in Monticello. Was contacting Pfeffer. 5-6 acres. Lead from brochure. Commercialllndustrial Builder - Tricon, Inc. of Rogers on tour. Interested in Monticello to relocate business. Drove by Value Plus building soon to be listed. He called and has purchased building. 30 brochures mailed last week of June. • 1999 Authority and Municipal TIF Reports for State Auditor under preparation. August 4 -Guests of Arve Gnrimsmo: Norway Ambassador Thomas Vraalsen, Representative David Minge, Ross Peterson, Don Smith, Mayor Belsaas, and Koropchak will have lunch at the community center prior to the delegation touring the H-Window Company and Wright County Fair. Keeping in touch with Profile. Manufacturer looking for 15-20 acres. Needs rail. Out of Duluth. Mailed information July 18. Colliers Towle Real Estate -Looking for information to assist with lazge users. Zoning maps, commerciaUindustrial land available, utility maps, information on scheduled infrastructure improvement and projects, information of availability of fiber optics, existing or planned, TIF and other incentives offered. June 30. Waiting for information on scheduled infrastructure improvement and projects. • 1