HRA Agenda 01-05-2005
.
AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, January 5, 2005 - 6:00 p.m.
505 Walnut Street - Bridge Room
Commissioners:
Chair Bill Fair, Vice Chair Darrin LaIn, Dan Frie, Brad Barger, and Steve
Andrews.
Council Liaison:
Staff:
1.
2.
"l
.J.
4.
5.
.
6.
To be appointed at the Council meeting of January 10,2005.
Rick Wolfsteller, Ollie Koropchak, and Angela Schumann. _
Call to Order.
Consideration to approve the December 1, 2004 HRA minutes.
Consideration of adding or removing items from the agenda.
Consent Agenda.
Consideration of a progress report from Brad Johnson or Barry Fluth relative to Phase II of
Landmark Square and authorization to begin process for establishment of Redevelopment TIF
District No. 1-33 if so determined.
Consideration to review for finalization the Transformation Loan Program.
A. Finalize design of marketing piece.
B. Get concept approval for Program from Council.
C. Set date for breakfast inviting local real estate, mortgage lenders, title companies, and
home remodeling builders.
D. Mail to targeted homes.
7. Consideration to approve authorizing transfer of$500,000 for acquisition 01"35 acres of Otter
Creek Crossing and update on the closing, I-I A zoning, covenants, and preferred measures.
8. Consideration to authorize payment of HRA bills.
9. Consideration of Executive Director's Report.
10. Committee Reports.
a) Marketing Committee - Lahr and Barger.
.
11.
Other Business.
a) Next HRA meeting February 2,2005.
12. Adjournment.
.
.
.
MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, December 1,2004 - 6:00 p.m.
505 Walnut Street - Bridge Room
Commissioners Present:
Chair Bill Fair, Vice Chair Darrin Lahr, Brad Barger, Dan Frie,
and Steve Andrcws
City Council Liaison:
Roger Carlson
Staff Present:
Rick Wolfsteller, Ollie Koropchak, and Angela Schumann.
1. Call to Order.
Chairman Fair called the meeting to order at 6:00 PM, and declared a quorum.
2. Consideration to approve the November 3rd, 2004 HRA minutes.
MOTION BY COMMISSIONER ANDREWS TO APPROVE THE MINUTES OF
NOVEMBER 3rd, 2004.
MOTION SECONDED BY COMMISSIONER FAIR. MOTION CARRIED.
3.
Consideration of adding or removing items from the agenda.
Koropchak indicated that she would like to add a review of a recommendation to the
Planning Commission regarding the rezoning of Otter Creek Crossings to her Executive
Director's report.
4. Consent Agenda.
NONE.
5. Consideration of a progress report from Brad Johnson or Barrv Fluth relative to Phase n
of Landmark Square.
Koropchak had spokcn with Brad Johnson who indicated that Masters Fifth A venue is
continuing to look at developing Phase II of Landmark Square. They have one
prospective tenant, an cxisting Monticello business. The proposed restaurant previously
discussed is still prospective as well.
Fair questioned whether the land acquisitions had been completed. Koropchak indicated
that the purchase agreements had been reviewed as part of justification for TIF.
.
Koropchak noted that she had also spoken with a prospective retailer who had expressed
interest downtown opportunities.
Barger had spoken with a representative of the development firm that had completed the
the Rivage, a high-end condo/townhome development in Lake City. Barger stated that he
is specifically interested in Paul Wurm' s bloek. Koropehak indicated that she had spoken
with him previously about the area. Barger reeommended calling him to support the idea.
6. Consideration to review the final revisions to the Monticello Transformation Home Loan
Application Package.
Koropchak reviewed the revisions made subsequent to a meeting with staff members Jeff
O'Neill and Fred Patch. Koropchak stated that O'Neill had inquired whether Balboul
Estates should be included in the project area. Barger indicated that perhaps the entire
City limits should be included in the one-year pilot program. Fair stated that he believed
the primary goal of the program should be to encourage core City revitalization.
Koropchak reported that there are approximately 235 qualifying homes in the core city.
Koropchak noted that Patch had prcpared a qualification form for potential applicants.
The form helps identify structurally sub-standard houses. Patch also noted that there may
be a potential conflict in the building offieial serving both as advisor and inspector. .
Frie askf:d Koropchak to provide the amount available for the program. Koropchak
stated it was approximately $435,000 dollars.
Lahr asked about added parcel requirement. Koropchak stated Jeff O'Neill had
commented that if a substandard home or cluster of homes might be better served by
redevelopment rather than the loan program, the review team may want to consider
recommending that option rather than the transformation loan. Lahr commented that in
that case, perhaps some criteria should be outlined in order to make an objective
determination. Koropchak referrcd to language allowing HRA to make the determination
on whethcr the loan would be granting. Lahr rccommended checking the language with
the attorney.
Koropchak noted that the loan summary sheet was also a new piece that had been
recommended by banker Paul Kleinwachter in order to give an overvicw of the project.
Discussion commenced on whether to extend the program city-widc versus just the core
city. The consensus was that the Commission was satisfied with the program as
previously outlined.
2
.
.
.
.
Koropehak indicated that a special meeting of the Council and Council-elect had been
called to review the project on December 13th. Fair will attend to represent the HRA.
7.
Consideration to review design sketehes for marketing core eity development and thc
Transformation Loan Program.
Koropehak presented and reviewed a sample marketing brochure promoting both the
program and the core city in general.
The Commissioners recommended a few minor modifications, specifically requesting
additional or revised language that spotlights the transformation project. It was rcquested
that the focus of the brochure be on the loan program, while still referencing the
investments and opportunities downtown. Lahr asked for a chart illustrating the dollar
amounts available for specific project values in order for potential applicants to easily
understand the funding availability.
The Commissioners recommended that the HRA host an informational meeting for
builders and lenders to explain the project as they will hclp promote the projcct. The
Commissioners also discussed a workshop for prospective applicants.
8.
Consideration to discuss tcrm expiration dates of BRA Commissioners.
Commissioner Barger's term would expire in 2005. Commissioner Barger indicated he is
willing to scrve additional term. The recommendation for an additional term will be
provided to the City Council.
9.
Consideration to authorize payment ofHRA bills.
MOTION BY COMMISSIONER ANDREWS TO AUTHORIZE PAYMENT OF BRA
BILLS.
MOTION SECONDED BY COMMISSIONER FRIE. MOTION CARRIED.
8. Consideration of Executive Director's Report.
Koropchak provided information on the Otter Creek Crossings performance measures,
rezoning and covenants. The covenants and performance measures had becn previously
reviewed by the HRA.
3
9.
Committee Reports.
Marketing Committee will meet Thursday the 9th at 7:30 AM.
10. Other Business.
NONE.
11. Adjournment.
MOTION BY COMMISSIONER BARGER TO ADJOURN.
MOTION SECONDED BY COMMISSIONER LAHR. MOTION CARRIED.
Chairman
Secretary
4
.
.
.
.
.
.
HRA Agenda - 01/05/05
5.
Consideration of a pro2Tess report from Brad Johnson or Barn' Fluth relative to Phase
II of Landm~lrk Sauare and authorization to bellin process for establishment of
Redevelonment TIF District No. 1-33 ifso determined.
A. Reference and back~r()und:
After a brief discussion with Fluth and prior to his leaving i{)[ AZ, he would contact Johnson as
to the need to update the lIRA in person. Fluth still plans to move forward with Phase II and
currently is looking at sites to relocate the one house. We discussed the need for an internal
inspection by the building official to determine and satisfy the requirements of a redevelopment
TIF district and the 2 month process for creation of a new district. It appears to begin that
proeess still remains premature.
Johnson may update the HRA further.
.
.
.
HRA Agenda - OliOS/OS
6.
Consideration to review for finalization the Transformation Loan Prollram.
A. Finalize design of marketinll piece.
Since the December HRA meeting, the brochure was redrafted based on the suggestions of the
commissioners. Members felt the brochure scnt a mixed message of housing options and loan
program. The page outlining points of interest in the core city was great. Working with Design
for Print, the second draft was designed based on suggestions and reviewcd at the Marketing
Subcommittcc meeting by Barger and Lahr. The most sufficient changes suggested in the third
draft was referring to the Loan as a Grant and removing the structurally substandard language.
In further discussion with the HRA Attorney, he recommended not to market the program as a
grant because the applicant and I-IRA will enter into a Loan Agrecment with a mortgage and
note as security. Secondly, removing the structurally substandard language eliminates the
purpose of the funds and would generate unnecessary phone calls. A fourth draft was prepared
and is cnclosed for final review. Colored copies will be available at meeting.
Action: Motion to approve final design of the marketing piece.
B. Gct con cent approval for Home Loan Program from Council.
Chair Fair did attend the December 13th Council workshop; however, the Council did not
have enough time to ask questions or give a conccpt approval or go ahead. A second attempt
will be made at the regular meeting ofthe Council on January 10,2005.
C. Set date for breakfast invitinll local real estate. mortealle lenders. title
companies. and home remodelin!! builders.
The plan has been to unveil the program at a breakfast inviting local real estate, mortgage
lenders, title companies, and home remodeling builders. It would be nice if the Chair or other
HRA members would be present. Please suggest a couple of dates and time. The goal was to
do this in January.
Action: Set date and time for breakfast.
D. Mail to tareeted homes.
I have Kathy printing labels for residential properties with 2004 market values of $150,000 and
less within the dcsignated area. A brochure plus the loan summary will be mailed after the
breakfast.
rB
r'
cr:
,...,
OJ
--<
:;;V"'l."J<'
o ...... <: n '7'
03"=,--235"
S8S-.""""'"{t;:l
~ en --c ~ p".
n>-rfi'" @
l--'4 l-t ~ :?: ~
-.<re~~O
" 'I:l 7'>' n
::r:: CO OJ ...... 0
OJ OJ ,..., ;:l !::l
~;:l 7'>' QCI ;:l
"en ~ G ;:? :3
23~'-<:~s
0.........:3 r.:=;"
,...,~gn'<;
nrtlen""-
(1) ro r-" ~.
;:l :::r. C ;:l
(t cfcl 13 s:
,..., ;:l
QCI
o W+ ..,-,
;oon::c:n
5='-< 3 ~ ~
~ 'I:l t:l '"Cl ~
PJ PJ ;:l ...... n
'< ,..., rtI 5r ~
CIl 7\'8....-(0
........ en .............. [JJ
<:' PJ n
Pf 'S'
;;;;: ~......
~ ~ n
~ ~ Q
[JJ S
'"0
C
[JJ
'""'I- ~ \)
;:::r< en'
~ ~ '""'I- a
~ \) \J ..... ~ ~ tT1
;:s a Cj ;:s
~ a ~ ~ \) ~,~
~ ~ ~
'""'I- ~ ~ s:.~ ~~'
~
~ ~ ~ ~
-..: ~ '""'I- ........
en ;:s \) .....
~ ~ ..... Cj
("') ..... ~. ~ '""'I-
5~ a ~ -,
........ 8 ~ _, ;:s
a \) ~ ;:s ;:sOQ
~ ~ -..: en' 8 -,
;:s ~ '""'I- ;:s
a en
'""'I- '" 8 - ~
~ en' ........ '""'I-
","'t ;:s en ?)" ~
.... _.
'\:j . ;:s
'\:jOQ
-
);;.> Z
" ~
'< n:,
~~r:JJ
- ~ .......
~ f'l ;::
~ ~o.s.........
.... n:, n:, en
j~~~
C;)~~c::!
:"o:=~
. ~ ,:;:;: ......
;; ;! ~ ~
.:J n:, ~ C';"
;-, ~" ........
<;::; 0 \"';)
A ......, ...., '--'"
---I~C';Q'
-ll "" ;:: "'t
::IN\''';)n:,
~a7~
::;:) 0 0 tho
a~\i~
~ f'l .......
Oen;;::~
""t cn ~ ,,~
~ ~ ~.
n:, en n:,
en cn ~
cn n:, "
. ~
::;'-1
::CO:r
o :J It)
3 ~~
It) 0 0
r--'::S
03:=:
Q c n
_ :=: to
-0=
:J 0
.
o
;:l
ro
I
'<
ro
PJ
H
'"0
......
9:
'"0
a
OQ
,...,
PJ
P
t'T:l
f'l
C
;:::.......'1':1
o en 0
;:t -t
o Fl' W ~
E;t:J I ~
~ ~ ~_.
~~'-IS-
-t 00 ---->. 00
c"'l::$ - -t
~ ~ I ~
sa w g,
?\' t:J I\J ?
~. 0 2
f'l""""-
~""",,-
o
..;--t
-<
o
c 0
;~::a
o _.tD
333
tD "t:J 0
....-,c.
oO<tD
Q. --
OlD
-<
.-
.
en en >-.-.... r
~ " ;::::., t-< ......
~ g- 1i)' g S
;:: a ~.;;::, ......
>:l ~~ tn ~ r-+
-e g: c' ro
-e';::: p..
a a -e .......
;::: -{g _.;::: 0
~Er':N~ n
;:l;" -.............. 0
l'"<l >:l <::! ;:l;" H
-..: (1:> a ro
tJ) Et,,:~ n
5.:l'"<l 8 '1'::::
l'"<l>:ll'"<l<:..o'-<1
. ~ ~ f-I:>. PJ
~ H
..Q..-.Q.,;:::re
O.....>:l...
i:.t ~ is
l'"<l >- ~
-. ,::,., .....
n _.;:l;"
-..: >:l.....2
l'"<l >:l.. "
o..~"'"
0- ~
"- l'"<l
.
CJ)
~
'"0
........
ro
:3
ro
;:l
......
.......
o
.
~ 0'4:~
OH~::r
;:l'o...10ro
[JJ '-<1 :3 5"
PJ ro ro PJ
ro ~ 0 ;:l
o [JJ ~ Cij'
,...,..,PJ;:lro
'"0 :+' ro ......
H (0 H .......
o H CIl ffi
'"'dHOH
ro ro n
~ S n 0'
'-<10.g~
'"0 ft'< ~.
:J. ........ ~ ro
OOo;:l
H H S
6" '"0 ro
PJ
'0...1'-<1
"<~
ro ........
~ ro
tJ)
........
ro
;:l
p..
ro
H
::n
;:l
PJ
;:l
n
......
;:1
OQ
<:'~ ;r~
'"'d n tr:I
~ ~ ru
. . . ~
-- ""l::j ....
::r Cij' ~ ~n'"'dO~ a o ""'l
~gH~::r ~ \) 0 ::r
.-to ~PJ E;. Cj tt)
ro NX b ........9. "< ro ""'l
I-t 0...... o ro 0 ~ ~ -, ~
ro " :3 o neO P... ~
'Jl 8e O~"..-t-HPJ ~
rl" S;~~@;:l ~ ..... cn 0
i-T"> ~:3 0 ;:s ;:s ::J
I-t :3Hffi:3:3
ro ........ ~ '""'I- ~ .....
ro 0 o ro :;:l 0 PJ ~ ;::r< 8 -.
PJ n
;:l H:3 p.. '-< -- ~
ro 0 s=- ro 0'" ..... C'D
PJ ~ \) --
. p..ro:::-;ro '-S; -
:3 ro..-t-;:lN a -
~ ~ 0
0 ........oOQ 0 '\j
e .....,...-+ 0 '""'I-
[JJ PJ 0:::: ""'l \) a ....
~ ........ ...9 "". .,
....... '""'I- 0
~. ~ -- Q
\) ~ :J
'""'I- ~
\) ~ ""'l II'
a ;::r< 0'
cn ~
'""'I- -- a ..,
cn a ~ 3
l:::l ~
;:s cn Q
_. ~ ::!:
r:r, ;:s 0
~ P... ::s
Cj r:r,
~ '""'I- :J:
_. ""'l 0
--
~ ~
C3'" \) 3
-- '""'I-
~ ~ C'D
~ i:5 r-
""'l -- 0
--
~ ~ C
""l::j cn ::J
'""'l- i>:
0 C3'"
"f;;A. cn
'""'l-
N ~
a ;:s
" ~
a ~
a ""'l
a P...
0 ;::r<
;::s a
~
~
r:r,
~.\....'.........~..'..I ~
C '..%..1 0
m .,:",,1 C
~:.....a.I\. ~
z:~z
~.E'.i ~
n _ _
- C -
z Ze
'" f"""'m
C n
>:I~
ZiO
~..'..,I U1
"'1 .....
1!1
tA:4A1tA
- ""J-
O;91~
Po..
o 010
o 0[0
010
~
s' g
,-t-t "
mll:::ajm
%:J>~
c....:,'.z:',: 0
m.CA',.
" ~.I C
:I! c~: ~
z.. ........'.l...' Z
J> .'; -
Z '" I.IJ
n .""'4: I' ""0
- ....-,.,... "
Z 0'0
'" ....%........1:1 -
.... m
.....0 n
~. ..:1>:.....1 -I
IX'! n
_1:0
~1U1
01-1
~J
,~,:',I
. ' 1
Vl "Ai Vi
VI _.1.......
en ,a:a.;iO
'11IIII ~ I....
000
000
000
(J'\j
a ""t
~
:-<:-<
rl:'~:"l;~IIb,.--.- . I
.
.
.
HRA Agenda - 01105105
7.
Consideration to approve authorizing transfer of $500.000 for aCQuisition of 35 acres of
Otter Creek Crossing and update on closin!!. I-IA zoning:. covenants. and preferred
measures.
A. Reference and background:
Authorize transfer of $500,000.
As you recall, the !-IRA and City over the years have committed funds for the purpose of
acquisition of land for industrial development. Since its commencement and through 2004, the
HRA committed $500,000 and the City $500,000. The amount disbursed at the December
closing for acquisition of35 acres was $876,473.35. The HRA committed funds could be
dishursed from either the estimated year-end 2004 balances of the HRA General Fund (non-
restrictive) $901,889 or the Tax Increment Fund $2,301,409 which includes $650,000 from
Redevelopment Districts 1-5 and 1-6. In conversation with Mark Ruff, he recommends
transferring the money from the General Fund because as the Otter Creek property is sold, the
non-restrictive General Fund is reimbursed. Tax increment dollars are restrictive. The City
Attorney fees associated with the closing have not been accounted for at this time. The
remaining balance of the City's $500,000 after closing costs will bc reserved for the attorney
fees and first Contract for Deed payment in December 2005.
The $100,000 commitment by the HRA and by the City for Budget Year 2005 is not part of
this disbursement and will begin to accumulate from 2005.
For the purpose of paper trail and the fact the HRA, only, has the authority to expend tax
increment dollars, the HRA is requested to authorize transfer of $500,000 from the lIRA
General for acquisition of 3 5 acres of Otter Creek Crossing.
Update on closing, ]-1 A zoning, covenants, and preferred measures.
Work completed to date:
1. On Decemher 22, 2004, the closing of the 120 acres of Otter Creek Crossing took
place and the City acquired 35 acres ofland. (See map) The plat was also recorded.
2. On December 13, 2004, Council approves I-IA zoning and covenants for 120 acres
of Otter Creek Crossing.
3. On December 13,2004, Council and Council-elect reviews Preferred Measures for
Otter Creek Business Campus.
ORA Agenda - 01/05/05
4.
Marketing Committee meets to determine marketing plan and budget for marketing
Otter Creek Business Campus.
.
5. November 8, 2004, Council approves preliminary and final plat for Otter Creek
Crossing.
6. All properties are annexed.
7. October 25, 2004, Council authorizes preliminary survey and preparation of plan and
specs for Chelsea Road West and School Blvd.
Work yet to be completed:
1. Since the property has been acquired, can proceed to research State dollars for
infrastructure improvements.
2. Per Contact must commence construction of infrastructure improvements by May 1,
2005 for completion fall of2005.
3. Hauling rights cease November 1,2005.
4. Development of School Blvd, Haul Road, other access road, and release of additional
property as need be per Agreement.
5. Need to research platting process with WSB and the County.
6. Develop marketing materials and implement marketing plan.
A pending concern is the potcntial request by the City to re-zone 6 to 12 acres from I -1 A to 1-2 .
(Heavy Industrial) for the purpose of relocating the A VR Readi-Mix. Thc re-zone would
require a public hearing and approval by the Planning Commission and approval by the City
Council. Previously, the HRA reviewed and accepted Preferred Measures and approved a
recommendation for zoning and covenants for Otter Creek Business Campus. A deviation
from the Preferred Measures, zoning, or covenants will set the tone and criteria for Otter Creek
Business Campus. As indicated at the special workshop for council and council-elect on
December 13, the Economic Dcvelopment Director recommended no additional (1-2) Heavy
Industrial zone in the City. Reasons: Not good planning for the city long term and not
progressive planning (high tech) but regressive planning (smoke stacks), and not consistent with
thc Preferred Mcasures, zoning, and covenants. J did ask Ed Sorgatz, Olson Gencral
Contractors, following the Chamber meeting in Decemher [or his thoughts. Ed was project
manager for construction of the UMC and TCDC buildings. See supporting data.
Rick will update the HRA on the status of the A VR at the mecting.
2
.
"""",.,
'-
,,:'.
.
ORA Agenda - 01/05/05
B.
Alternative Action:
1. A motion to approve authorizing transfer of $500,000 from the HRA General Fund
(non-restrictive) for acquisition of35 acres of Otter Creek Business Campus dcscribed
as Lot I, Block 2, Otter Creek Crossing.
2. A motion to deny approval authorizing transfer of $500,000 from the HRA General
Fund or Tax Increment Fund.
c. Recommendation:
The City Administrator and Economic Development Director recommend Alternative No.1.
At the time the first Economic TIF District is created, the lIRA will modify the Central
Monticello Redevelopment Project No.1 boundaries to include the Otter Creek Business
Campus. Additionally, Ruff suggested the need to modify the budgets of TIF District Nos. 1-5
and 1-6 to ensure the future use of the tax increment for land acquisition or other uses.
D. Supportinu- Data:
.
Map outlining 35 acres of 120 acrcs of Otter Creek Business Campus.
Excerpt for the Contract for Dccd.
Email from Ed Sorgatz, Olson General Contractors.
Information provided to the council and council-clect on Decembcr 13.
.
3
;~\"""'\IPtII\.1,I.-...,.,.,.....
, ~;i ii
J~! ~
'f'" '-
" ...,........
;~;~~\' r.
i ~~lj
~;#\;lt
"'--'- /-:-\
"~o." ,"
"0"" \"V
"<l~0'_
,~
~~f
, .i>1
'vj/
I
IL_
,
>
"'
\
\~
,>
.'
"~""
Ulr.::-
..
.-
>
.>
\
-,
v
/.~_ t>>'l,~.."";
~..
~ -; / <"
-rn.... ,."t ./
t / /
r v // /
~ / /z-
/
/ / \"
, I /
" 1/ /
~~1//
/ "
/ 't-~
/ ':;/
/ 'l> I
/C;> 0/ L'
/ /
/ ',..
- --
i
IfIll It 5 'f(f ; n ;
fir} I I, I "Iml'mm;! !.I r'l ,
f'.... III ,l llh:Is..~.blrlri [r III' l!l tl ~.
~Jrr i1 (I ~~l.lrlhf"II' I" h: II I l i l .
M!ll' ; tl~'alil'!:iIJl'I H r! 81 I i r ~
nlr'(1 !i :!iiH~i!l!,'I! j' I~! I H ,
II i ' " !'j!I'f 111!H!.!!.l lrIl; II
~11' i! 111!il1Iiifl!l!li;1 i[ l1i11 Ii
!I n f :! '~III":!lf'll, i. ij.! I
f.it~ i I' l!j!l,tl::,;t.pI IJ !'ll I
.rl! i ! i!rl'j iI iqllllll. IJ:! :
JI~11 ~ fJ ~I r~i~['f!i!,I~l;! ,: ~ll~ !
tl Ii l~ ~ rrfi~ ~r;i ~ ~It . ~ f
H~, l ;;1 ..It:i ~
/
i~
\~
,>
,,,
\
~\--
\0,
>
.>
~-
.'
\
",'\
\0,
~-
.>
.lt~~..1
~-
~>
\
.
~
COM1V\ERCIALPARTNERS
TIT l E, l l C
200 South Sixth Street, Suite 1300
Minneapolis, MN 55402
PHONE (612) 337-2470
FAX (612) 337-2471
BUYER'S CLOSING STATEMENT
Closing Date:
Disbursement Date:
BUYER:
SELLER:
Closing Agent:
Closing Agent File No.:
PROPERTY ADDRESS:
December 22,2004
December 22,2004
City of Monticello
Otter Creek, LLC, J.X. Bowers, LLC and J. Edwin Chadwick, LLC
Commercial Partners Title, LLC, 200 South Sixth St., Suite 1300, Minneapolis, MN 55402
23205
Outlot B, Outlot E, and Lot 1, Block 2, Otter Creek Crossing
DEBIT CREDIT
Sales Price 3,067,532.32
Earnest Monev 10,000.00
Contract for Deed 2,185,221.97
Pro~rated Taxes (12/22/04 - 12/31/04) 10 days @$24.50/day 245.00
Closing Fee (1/2) to: Commercial Partners 500.00
Commitment Fee (23958) to: Commercial Partners 250.00
itle Insurance Premium to: Commercial Partners 3,068.00
Recording Fees 100.00
SUBTOTAL 3,071,695.32 2,195,221.97
CASH FROM BUYER 876,473.35
CASH TO BUYER
TOTAL 3,071,695.32 3,071,695.32
- '?> S.
~~
The above closing statement is hereby approved, and the closing agent is hereby authorized and
directed to disburse the money as indicated herein and deliver instruments, documents and other
property, if any to the designated parties and otherwise close this transaction in accordance with
the closing instructions.
City of Monticello
By: (if;f,,-- Jtf2,fl cGL l &iy Alhi/nUl
Tax entification 'No. 41 ~&0051J'5 /
COMMERC'1'/- PARTNERS Trr~LC
By. ill~v~ ~
I
Sharon Ruane
- .....
.
.
.
.
CONTRACT FOR DEED
Business Entity Seller
THIS CONTRACT FOR DEED (the "Contract") is made on December 22,2004 by
OTTER CREEK, LLC, J. X. BOWERS, LLC and J. EDWIN CHADWICK, LLC, all
limited liability companies under the laws of Minnesota, Seller, and CITY OF
MONTICELLO, Purchaser (whether one or more).
Seller and Purchaser agree to the following terms:
1.
PROPERTY DESCRIPTION. Seller hereby sells, and Purchaser hereby buys, real
property in Wright County, Minnesota, described as follows:
Outlot B, Otter Creek Crossing, Wright County, Minnesota (owned by Otter Creek,
LLC)' and
, ,
Outlot E, Otter Creek Crossing, Wright County, Minnesota (owned by 1. Edwin
Chadwick, LLC and 1. X. Bowers, LLC)
together with all hereditaments and appurtenances belonging thereto (the "Property").
Unless otherwise specified, Seller hereby delivers possession of the Property to Purchaser
on the date hereof.
Seller check applicable box:
[R] The Seller certifies that the Seller does not know of any wells on the described
real property.
o A well disclosure certificate accompanies this document.
o I am familiar with the property described in this instrument and r certify that the
status and number ofwclls on the described real property have not changed since
the last previously filed well disclosure certificate.
2. TITLE. Seller warrants that title to the Property is, on the date of this Contract, subject
only to the following exceptions:
(a) Covenants, conditions, restrictions (without effective forfeiture provisions) and
declarations of record, if any;
(h)
Reservation of minerals or mineral rights by the State of Minnesota, if any;
nJ792v4
.
.
.
(c) Utility and drainage easements shown on the plat of Otter Creek Crossing;
(d) Applicable laws, ordinances and regulations;
(e) The lien of real estate taxes and installments of special assessments which are
payable by Purchaser pursuant to paragraph 6 of this Contract; and
(f) The following liens or encumbrances:
See Exhibit A attached hereto.
(g)
Existing mining operations which must terminate no later than November 1, 2005,
with no hauling taking place after that date. Mining operations encumber
approximately five acres and are conducted on the Property subject to this
Contract (the "Mining Parcel"). There shall be no charge by Purchaser for the
mining operation on the Property until June, 2005. From June, 2005 until
November 30,2005, Otter Creek, LLC shall payrent to Purchaser at the rate of
$630.00 per month for each month from July through November, 2005 that
mining continues. The operator of the mining operations shall have the right to
continuous access over the existing haul road pursuant to temporary easement
filed as Document No. 693291 until November 30,2005 or when the mining
operations cease, whichever first occurs (the "Termination Date"). In the event
Purchaser needs to relocate the existing haul road prior to November 30,2005 to
accommodate a sale or development of part of the Property, Purchaser shall
provide Seller and its operator with equivalent access for mining purposes over
other portions of the Property until the Termination Date. Within 120 days ofthe
cessation of the mining operations, Seller, at its sole expense, shall supply
adequate fill material and will grade the mining site pursuant to the "End Use
Plan" on file with Wright County as part of the mining permit issued for the
mining operations, including a minimum elevation of935 feet. Purchaser shall
permit Seller and Seller's agents access to the Property for the purpose of
performing such fill and grading.
3. DELIVERY OF DEED AND EVIDENCE OF TITLE. Upon Purchaser's full
performance ofthis Contract, each Seller shall:
(a) Execute, acknowledge and deliver to Purchaser a Limited Warranty Deed, in
recordable form, conveying to Purchaser marketable title to the respective
portions of the Property owned by each Seller, subject only to the following
exceptions:
(i) Those exceptions referred to in paragraph 2(a), (b), (c), (d), (e) and (f) of
this Contract;
(ii)
Liens, encumbrances, adverse claims or other matters which Purchaser has
created, suffered or permitted to accrue after the date of this Contract; and
(iii) The following liens or encumbrances: None.
2
'i"")'i....,.n'1..1
.
.
.
(b)
INTENTIONALL Y DELETED.
4.
PURCHASE PRICE. Purchaser shall pay to Otter Creek, LLC, as agent for all Sellers, at
11430 Zion Circle, Bloomington, MN 55437, the sum of Two Million One Hundred
Eight Five Thousand Two Hundred Twenty-One and 971100 Dollars ($2,185,221.97), as
and for the purchase price (the "Purchase Price") for the Property, payable as follows:
the unpaid balance from time to time shall bear interest at six percent (6%) per year.
Principal and interest shall be paid as follows: (1) a principal payment 01'$100,000.00,
together with interest accrued on the unpaid principal balance shall be paid on the first
anniversary of the date o{this Contract ("Anniversary Date") and on each Anniversary
Date thereafter until the 5th Anniversary Date. On the 5th Anniversary Date, the entire
unpaid principal balance and all accrued interest shall be due and payable in full;
provided, at the election of Purchaser made by written notice to Seller given at least 60
days prior to the 5th Anniversary Date, Purchaser may elect at its sole discretion to extend
the term for five (5) additional years. If such election is timely made, Purchaser shall
continue to make annual principal payments of $1 00,000.00, together with interest
accrued on the unpaid balance on the 5th Anniversary Date and each subsequent
Anniversary Date until the 10th Anniversary Date, when the entire unpaid principal
balance and all accrued interest shall be due and payable in full. The final payment is a
balloon payment.
If during any year Purchaser pays additional amounts of principal, such additional
payments of principal shall reduce the amount of principal due on the balloon payment,
but shall not postpone the due date of the annual installments of $1 00,000 of principal to
be paid pursuant to this Contract, or change the amount of any such annual installment to
less than $100,000 unless the unpaid principal balance is less than $100,000.
Purchaser may obtain releases of land subject to this Contract in increments of not less
than ten (10) acres, such releases to be based upon payment of principal in the amount of
$25,334.28 per acre or $253,342.80 for ten (10) acres. Each parcel to be released shall be
contiguous to land previously conveyed by the Limited Warranty Deed delivered on the
date of execution of this Contract or under subsequent conveyances made pursuant to this
Contract.
5.
PREP A YMENT. Purchaser shall have the right to fully or partially prepay this Contract
at any time without penalty. Any partial prepayment shall be applied first to payment of
amounts then due under this Contract, including unpaid accrued interest, and the balance
shall be applied to the principal installments to be paid in the inverse order of their
maturity. A partial prepayment shall not postpone the due date afthe installments to be
paid pursuant to this Contract or change the amount of such installments.
6.
REAL EST ATE TAXES AND ASSESSMENTS. Real estate taxes and installments of
special assessments which are due and payable in the year in which this Contract is dated
shall be paid as follows:
Purchaser shall pay, before penalty accrues, all real estate taxes and installments of
special assessments assessed against the Property which arc due and payable in 2005 and
3
723792 v4
.
.
~
.~
Ollie Koropchak
C) "
- ''''~
/NIl:'
From: Ed Sorgatz [esorgatz@olsongc.comJ
Sent: Thursday, December 16, 2004 2:54 PM
To: Ollie Koropchak
Subject: Monticello Industrial Park
Hi Ollie -------- After our visit I stopped by to say hello to Shawn Weinand. During the course of our visit, I asked
him, "If you owned the proposed City Industrial Park, how would you deal with the question of whether or not the
Readi Mix plant should be included within the Park". He responded that he definitely would not mix heavy
industrial with light industrial for the same reasons we discussed.
1. It would have a major impact on the type of business you can attract to the park and ultimately significantly
reduce the overall tax base of the park.
2. The problem created by the related trucking tied to the Readi Mix plant would not only affect neighboring
businesses but also every other business up and down the road all the way out to highway 25,
He indicated that atone point in time the nursery property south of town had been targeted as a relocation site for
the Readi Mix plant. Apparently, the property could be acquired for far less than the developed cost of the Ind,
Park, plus it is on the outskirts of town, has good access to 25 and also has a mining permit which could be
attractive to the Readi Mix owners. He said he envisioned joining this with a neighboring parcel and creating both
a home for Read; Mix as well as a Heavy Industrial park for other like users, He indicated that this property is now
back on the market after having been sold earlier. This sounds like an ideal solution.
I have learned over time that in business, the people who are Successful at what they do, whatever the field, are
generally good resources and worth listening too in areas in which they are knowledgeable, I personally don't
know anyone any more knowledgeable than Shawn with regards to real estate development and would regard his
input as worthy of consideration
I don't mean to meddle in your business, but it sounded like you could use some help in supporting your position
on this matter
Good to see you again,
Ed Sorgatz
12/] 6/2004
.
2005
CITY OF MONTICELLO
OTTER CREEK BUSINESS CAMPUS
PREFERRED PACKAGE DEAL
PREFERRED PRICE - $1.00 PER SQUARE FOOT UP-FRONT (CASH)
NO 2005 IMPROVEMENT ASSESSMENTS, NO TRUNK FEES, AND NO PARK FEES
*********
PREFERRED MEASURES
Jobs per acre:
8 full-time equivalent jobs/acre
Average hourly wage:
At least $16.00 ph excluding benefits
Land to building ratio:
I acre: 25% building (43,560 sq n: 10,890 sq ft)
Developed new market value:
$435,600 per acre*
Minimum size lot
2.5 acres
. * $40 per sq ft.
EXAMPLE: 50,000 sq ft building qualifies for 4.59 acres at preferred price (50,000 divided by
10,890.) New market value must be $1,999,404 (4.59 x $435,600.) Create at least 36.7 full-time
jobs (8 x 4.59) at wage levels of $16.00 or greater excluding benefits.
PREFERRED LAND PRlCE: 4.59 acres or 199,940 sq ft @ $1.00 "'" $199,940 (Cash)
**********
FORMULA FOR MAXIMUM ACREAGE TO SELL ONE USER
(Property not intended for speculation)
1) Building size X 2 "'" max area for building 2) max area for building X 2 "'" area of parking. 3) 1 + 2 X
15% ""'? 4) I + 2 + 3 :0 Total maximum acreage to sell one user.
EXAMPLE: 1) 50,000 X 2 "'" 1 00,000 sq. ft. 2) 100,000 x 2 "'" 200,000 sq ft. 3) 100,000 + 200,000
= 300,000 sq ft x .15% "'" 45,000 sq ft. 4) 100,000 sq ft + 200,000 sq ft + 45,000 sq ft. = 345,000 sq
ft or 7.92 acres.
.
.
.
.
ESTIMA TED PROJECT COSTS
OTTER CREEK BUSINESS CAMPUS
InfI-astructure
Chelsea Road
Miscellaneous
School Blvd
Haul Road
TOTAL
Trunk Fees
Water (120 @ $1,685)
Sanitary (120 @ $2,142)
Storm Sewer (95 @ $6,497)
TOTAL
Land
120 acres @ $.58 per sq ft
Grading
TOTAL COSTS
Divide by 95 acres
$ 389,168
$ 258,]68
$1,074,290
$ 858,750
$2,580,376
TIF
$ 202,200
$ 257,040
$ 61 7,215
$1,076,455
TIF
$3,031,776
UP FRONT
$ 816,000
UPFRONT
$7,504,607
$ 78,996 per acre or $1.81349 per sq ft
')
.)
.
.
.
EXCESS LAND PRICE - $2.15 PER SQUARE FOOT
"Excess Land" means the difference between maximum acreage less preferred acreage. The "Excess
Land" is sold at market value. Developer pays for trunk fees on "Excess Land" at the current rate at
time of expansion. No assessment for 2005 improvements and no park fees. "Excess Land" subject to
five-year re-verter clause.
EXAMPLE: 7.92 acres less 4.59 acres"" 3.33 acres or 145,055 sq ft.@ $2.15 per sq ft = $311,868
(cash).
******************************************************************************
* $435,600 lacre market value x 4.59 acres"" $1,999,404. Annual taxes $51,0091ess (5%)Adm
$2,550"" TI $48,459 X 8 years"" $387,672. $193,836 NPV. (Adm"" $20,4(0)
City Costs: $27,162 pia infrastructure
$11,331 pia trunk fees
$31,913 pia land ***
$ 8,590 pia grading
TOTAL $78,996 pia ($1.81 per sq ft)
Return:$43,560 pia land ($1.00 sq. ft cash.)
$42,230 pia TIF
TOTAL $85,790 pia ($1.96 per sq ft)
*** Based on 95 net acres
Purchase price $25,265 pia or $.58 per sq ft [or120 acres
2
.
.
.
2005 Market Values
212-111-000161 PALP CO 16.18 deeded acres
155-011-000151 P ALP CO 2.12 deeded acres
18.30 deeded acres
155-143-001010 UMC 10.15 deeded acres
155-120-001010 TCDC 6.14 deeded acres
County: new $5-$10 sq ft. bin and $30-$35 sq ft facility
Land $ 340,500
Bldg $ 161,900
Land $ 69,100
Total $571,500
Land$ 331,700
Bldg $3,126,700 (75,000 sq ft)
Total $3,458,400
Land $ 200,500
Bldg $1,502,800 (36,000 sq it)
Total $1,703,300
.
RECOMMENDATIONS
Approved December 7, 2004
Clarified December 13, 2004
BY THE
INDUSTRIAL DEVELOPMENT COMMITTEE (IDC)
for
OTTER CREEK BUSINESS CAMPUS
1.
RECOMMENDATION TO RE-ZONE THE 120 ACRES OF OTTER CREEK
BUSINESS CAMPUS FROM A-O TO J-IA (Light Industrial District)
2.
RECOMMENDA TION TO ESTABLISH THE FOLLOWING COVENANTS FOR
OTTER CREEK BUSINESS CAMPUS.
A.
Require installation of an irrigation system with the exemption of prairie
grass.
Landscaping Irrigation Required: On all lots on which a building is proposed to be
constructed, the owner shall, prior to occupancy of said building, install, or cause to be
installed, in-ground landscaping irrigation between the front building line and the public
street. This requirement shall also apply to the side lot areas of corner lots which face a
different street. In the case of rear lot areas that front on a public street, the owner shall
install, or cause to be install, landscaping irrigation for all landscaped areas within 50
feet of said public street. Irrigation required by this restrictive covenant shall provide
adequate irrigation water to all landscaped areas, including lawns, shrubs, tress, flower
beds, or other similar features. This requirement also applies to the "boulevard" portion
of the public right of way between the owner's property line and the curb line of the
public street.
.
No outdoor storage allowed. On all lots, no owner, tenant, or other occupant
shall store materials, equipment, or items outside of any building. The
following exceptions are not to be considered storage, and may be located
outside in compliance with other applicable regulations:
B.
a.
b.
c.
d.
. e.
Parking of passenger vehicles and light trucks, parked in compliance with the
City of Monticello zoning regulations.
Parking of company vehicles, including trucks, vans, and other similar vehicles,
with the exception of semi-truck rigs which are subject to separate regulations.
Semi-truck tractors and trailer rigs when such tractors and trailer rigs are
parking in the side and rear yard.
Semi-truck trailers located in designated loading docks.
Trash Handling equipment.
\
.
.
.
8
RECOMMENDATION TO ALLOW NO METAL OR STEEL EXTERIOR
SIDEWALL BUILDING MATERIALS WITH THE EXCEPTION OF
ARCHITECTURAL PANELS NOT-TO-EXCEED 10%.
4. RECOMMENDATION TO RETAIN THE EXISTING LANDSCAPING
ORDINANCE.
Reason for zoning recommendation:
I-IA Zone is consistent with Monticello Commerce Center zone. (UMC, TCDC, Suburban area.)
No re-zoning from I-IA to 1-2: Value of YMCA land for housing, consistency with surrounding
communities, industrial park with higher quality, sets tone, next users???
IDC worked long and hard, want to do it right.
\.~
l{;r
J
.1' J
J , "
w
MONTlCELW
.
.
How To Site and Develop Your Business
In the City of Monticello, Minnesota
A Location Site and Development Guide
January 2005
Monticello City Hall, 505 Walnut Street, Suite I, Monticello, MN 55362-883] . (763) 295.271] . Fax: (763) 295-4404
Oftlce of Puhlic Worb, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295.3170. Fax: (763) 27] -3272
.
.
.
How To Site Your Business In the City of Monticello
A Location Site and Development Process Guide
The Development Service Department of the City of Monticello developed this guide to assist you in the
siting and the developing of your business in Monticello. We want you to understand the
siting/development process in the City of Monticello so we can meet your needs and provide excellent
service. The goal of the City of Monticello is to provide a service that is user-friendly and professional.
Site selection and the development process can be challenging, time-consuming, and unique to each
business. There are hundreds of details to consider. Therefore, the City of Monticello offers a Pre-
Design Consultation, an opportunity to gather information and exchange your business needs and the city
requirements.
.
.
.
CITY OF MONTICELLO
How To Site And Develop Your Business
In the City of Monticello, Minnesota
A Location Site and Development Process Guide
Phase I - Site Selection
Site Selection Components
_ldent(IY Client Components
_ Show Appropriate Sites
Select Site
Information Needed
For Business To Do:
* Complete and submit the Customer Requirement Worksheet
* Visit industrial sites with Economic Development Director
* Attend luncheon with Prospect Team (optional)
* Select site
* Attend Pre-Design Consultation between business and city development service staff
* Provide all preliminary project information including preliminary building sketch and job and wage
level projections
* Execute and submit Preliminary Development Agreement and non-refundable deposit
* Submit Preliminary Loan Application, if applicable
For City of Monticello To Do:
* Show industrial sites and provide infrastructure capacity
* Understand all of business needs
* Host business luncheon between business and Prospect team (optional)
* Visit existing facility, it applicable (Prospect Team)
* Develop a land acquisition proposal based project benefit
* Schedule Pre-Design Consultation between business and city development service staff
* Review project development requirements with business
* Provide all relevant development information
- Construction
- Financing
* Execute Preliminary Development Agreement
DEFINE AND INSERT TIME TABLE
.
.
.
Phase II - Project Approval
Project Approval Components
_ Site/Building Plans
_. Platting
Environmental
_ Financial/Land Closing
Information Needed
For Business To Do:
* Provide and submit complete, detailed Site and Building Plans
- Site Plan (illustrating circulation, parking, and dimensions)
- Landscape/Lighting/Sign Plan
- Grading/Drainage/Utility Plans
- Floor Plans and Building Elevations
- Certified Site Survey
~ Obtain Necessary Regulatory Approvals
* Provide and submit Financing Information
- Evidence of Construction Financing
- Letter of Commitment from Lender
- Job and Wage Level Commitment
- Historical and Current Financial Statements, if applicable
- Certificate of Liability Insurances
* Attend meeting, if applicable
- Planning Commission, first Tuesday of the month, 6:00 p.m.
- City Council, second and fourth Monday of the month, 7:00 p.m.
_ Housing & Redevelopment Authority (HRA), first Wednesday of the month, 6:00 p.m.
- Economic Development Authority (EDA), 4:00 p.m. as called
* Attend Closing and Execute documents
- Contract for Private Development including land acquisition (Purchase Agreement)
- Loan Agreement, if applicable and submit payment of legal fees
- Collateral for Loan.
* Complete and submit all pertinent applications and fees
- Building Permit (including WAC/SAC) Fees
- Landscape Bond
- Loan Application Fee
. FOR CITY OF MONTICELLO TO DO:
- Ensure project stays on time-line through approval process
_ Provide business with one-stop shop, user-friendly service
_ Authorize establishment of an Economic TIF District
_ Authorize preparation of the Contract for Private Development including land acquisition (Purchase
Agreement)
~ Authorize preparation of Preliminary/Pinal Plat (include necessary easements)
(Both Preliminary and Final Plat require 5 paper plan sets + 20 reduced)
_ Authorize preparation of the Loan Agreement, if applicable
_ Revi~w and approve Site Plans at development service staff level or at planning review, if applicable.
_ Approval of Building Plans by Chief Building Official.
_ Arrange and achieve development and financing approvals from all required city departments and
commissions/council
_ Prepare Pinal Plat Mylars (3 mylars, I retained by City)
- Record Final Plat at County
_ Schedule closing and execution of Contract for Privatc Development including land acquisition and
Loan Agreement, if applicable.
- Record necessary closing documents
. DEFINE AND INSERT TIME TABLE
.
.
Phase III - Construction
Construction Components
_ Permitting
_Inspection
Permitting needs to be completed before construction begins. All development approvals and financing
closing/recording must be completed prior to permitting.
FOR BUSINESS TO DO:
_ Ensure that the site and building meets City Code requirements
_ Pick-up necessary Building Permits.
_ Schedule Groundbreaking Celebration (optional)
_ Call and schedule inspections and final inspection.
_ Comply with documentation and reporting requirements outlined in the Contract for Private
Development and Loan Agreement, if applicable.
FOR CiTY OF MONTICELLO TO DO:
. _ Verify all fees are collected and verify financing and closing documentation is executed and recorded.
_ I-lost Oroundbreaking Celebration Reception (optional)
_ Building/grading permit issued by Chief Building Official.
_ Complete inspections on a timely basis
_ If site does not comply, write to business requesting correction and re-inspection
_ Issue Certificate of Occupancy
_ Issue Certificate of Completion.
If you have any questions about Phases I, II, or III described in this guide or have any questions about
the site selection and development process, please contact the City of Monticello Economic
Development Director.
City of Monticello qIJice qf Economic Development Director Direct: 763-271-3208
City afMonticello Main: 763-295-2711
We bsite: www.manticello.mn.us
DEFINE AND INSERT TIME TABLE
.
,J
..
~~
~
,
nd-----
'~<,',~\~.~'~ ,>,'...,., <
\ ! ~, , ~ ' .
DEVELOPMENT SERVICES Phone: (763) 271-3208
Economic Development Services Fax: (763) 295-4404
E-mail: ollie.koropchak@ci.monticello.us
Return to City of Monticello, Office of Economic Development
505 Walnut Street, Suite 1, Monticello, MN 55362
MONTlCELW
MONTICELLO CUSTOMER REQUIREMENT WORKSHEET
Name of Company:
Address:
Phone:
Fax
Email
Contact person:
Title:
.
Nature of the business:
Number of existing jobs and wage levels to be retained: Complete attached.
Type of jobs:
Number of workers per shift:
Number of new jobs and wage levels to be created: Complete attached.
Expansion:
Relocation:
If relocation, from where:
Proposed size of new facility:
Manufacturing sq. ft.:
Warehousing sq. ft.:
Office sq. ft.:
Proposed exterior material:
Acreage requested:
.
Zoning: IlA - Light Industrial/Business Campus
Monticello City Hall, 50S Walnut Street. Suite 1. Monticello, MN 55362-8831 . (763) 295-2711 . Fax: (763) 295-4404
Office of Public Works, 909 Go]f Course Rd.. Monticello, MN 55362 . (763) 295-3170 . Fax: (763) 271-3272
Customer Requirement Worksheet - Page 2
. Timetable for occupancy:
Wet industry:
Dry industry:
Potential Environmental Impact:
Anticipated consumption of water?
Special needs within Facility:
Overhead Doors
Clean Area
Utilities
Other
Garage Doors
Paint Area
Public Improvements
Outdoor/open storage requirements?
Arc you looking at other communities?
How can we assist you?
. How did you select Monticello as a possible site location?
.
What are you looking for from the community?
Age of company?
History of Company?
How do you market your product?
What is your market area?
Expected company growth in five years?
Expected company growth in ten years?
Name & address of architect and general contractor? -
Can we visit your existing site?
Set Date:
Level of Confidentiality Required?
Mise/Customer rcquircmcnt.2004
~
( 'J
) ,
w
DEVELOPMENT SERVICES
Phone: (763) 271-320S
Fax: (763) 295-4404
Email: ollie.kornpchukrilci.monticello.lllll.us
Economic Development Director
MONTlCELW
CITY OF MONTICELLO, MINNESOTA
II
JOB AND WAGE LEVEL - EXISTING JOBS
II
Please indicate number of current employees at each level and indicate the corresponding benefit level.
Number of Jobs
Hourly Wage
Level
Hourly Value
of Voluntary
Benefits (S)
Full-time
Part-time
(Excl. benefits)
.-
Less than $7.00
$7.00 to $7.99
$8.00 to $9.99
$10.00 to $11. 99
$12.00 to $13.99
$14.00to$15.99
$16.00 to $17.99
$18.00 to $19.99
$20.00 to $21.99
$22.00 and higher
Company Name
eOBSW AGEEXISTING.FORM
Monticello City Hall, 505 Walnut Street, Suite 1, Monticello, MN 55362-883 I . (763) 295-271] . Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170' Fax: (763) 27] -3272
DEVELOPMENT SERVICES
Phone: (763) 271-320fl
Fax: (763) 295-4404
Email: 01Iie.kornpchukii/ci.1l1olltieelIO.llln.us
Economic Development Director
MONTICELW
CITY OF MONTICELLO, MINNESOTA
II
JOB AND WAGE LEVEL GOALS - NEW JOBS
II
Please indicate number of additional employees at each level and indicate the corresponding benefit level. Number of
new jobs created over the first two years of relocation or expansion.
Job Creation
Hourly Wage
Level
Hourly Value
ofYoluntary
Benefits (5)
Full-time
Part-time
(Excl. benefits)
e
Less than $7.00
$7.00 to $7.99
$8.00 to $9.99
$10.00 to $11.99
$12.00 to $13.99
$14.00 to $15.99
$16.00 to $17.99
$18.00 to $19.99
$20.00 to $21.99
$22.00 and higher
eJOBW AGESNEWFORM
Monticello City Hall, 505 Walnut Street, Suite 1, Monticello, MN 55362-flfl31 . (763) 295-271 I . Fax: (763) 295-4404
Office of Puhlic Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170 . Fax: (763) 271-3272
.
.
.
City of Monticello
Accounts Payable
505 Walnut Street, Suite 1
Monticello, MN 55362
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
! '
(612) 337v9300
Tax ID No. 41v1225694
DEe L 8 2004
December 23, 2004
Statement No. 64215
Through November 3D, 2004
MN190-00101 General HRA Matters 45.00
Total Current Billing: 45.00
I declare, under penalty of law, that this
account, claim or demand is just and correct
and that no art of it has been paid.
OK TO PAY? '0[1\1(
Code; ~\o _ "-\ ~ ~o \ .30 li a
Initia~
.
.
.
City of Monticello
Accounts Payable
505 Walnut Street, Suite 1
Monticello, MN 55362
MN190-00101
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
41-1225694
December 23,2004
Invoice # 64215
C;1 <Yr-J~.l.
1-- \r D V'-J
+ '0"\
Q ,'-c,'~ ~_\??
~
General HRA Matters
Through November 30, 2004
For All Legal Services As Follows:
11/18/2004 SJB Review fax re: release of contract; emails to/from 0
Koropchak re: same.
y6'-
Total Services:
Hours
0.25
$
\ €-~
c..., 'D '?
Amount
45.00
45.00
Total Services and Disbursements: $ 45.00
~~
~
.
.
.
HRA Agenda - 01/05/05
9.
Economic Development Report.
a) Industrial Leads -
* 28,000 sq f1 manufacturing facility - The company abandoned their site search in
Hanover. Search re-opened to Big Lake, Monticello, and Elk River. Rubber products
and rubber coated rollers. 25 jobs currently and estimate 20 new jobs within two
years. Tour date December 2 I, 3 :00 p.m. Unable to attend.
· 20,000 sq it manufacturing facility - looking to purchasc existing building or acreage for
future multi-use building.
· 30,000 sq ft assembly and distribution facility with expansion up to 50,000 sq ft -
looking to build, 6 full-time employees, another 6 in two years.
· 30,000-50,000 sq ft manufacturer of high-tech pumps, 3 full-time, another 7-15 in two
years.
· 15,000-20,000 sq ft heavy industrial zone - request 3-5 acres, out-door storage
required for large pieces of equipment, 80 construction professionals.
· Proposed 3 buildings of 8,000 to 13,000 sq ft each. Condo for sale or lease of 3,300
sq ft bays. Spring construction. Purchased lot from Ron and Dee Johnson next to
Polycast Specialities along Dundas Road.
· Heart of the Lakes -Corner lot of Chelsea Road and Fallon A venue sold for proposed
wholesale home construction materials such as carpet, etc.
· 10,000-20,000 sq ft. job shop looking for space or to construction. 8 existing jobs ,1t
$16 per hour with potential of adding 12 new jobs.
b) Business and retention expansions
Suburban expansion - report tram Mary Barger.
Sunny Fresh - report from Don Roberts
Dahlheimer proposal - will report status at meeting.
One manufacturer planning to expand by 10,000 sq ft in 2005.
Another manufacturer planning an addition or relocation to business campus in 2005.
Another manufacturer discussing long range plans.
Tapper looking at an addition for possible lease (Review concept with I-lRA).
c) After the Chamber meeting in December, I spoke with Ed Sorgatz, Olson General
Contractors, who constructed UMC and TCDC about his thoughts for a Heavy
Industrial Use in Monticello or Otter Creek Business Campus. He did some additional
research. See attachment under Item 7.
d) UMC - I stopped by UMC to talk with Don Tomann. One to check on his and his
hither's recovery process and to check on their future plans. Don plans to attend the
January IDC meeting.
e) Marketing Committee met in December. Developed a marketing plan and budget.
Requested $15,000 from Xcel Energy. Received $7,500 in 2004 and the otber
$7,500 f()rthcoming in 2005. See attachment 9A.
HRA Agenda - 01/05/05
f) Monticello Transformation Home Loan Program to be unvciled in January. .
g) Met with developer interested in purchase of Broadway theater building and possible
redevelopment.
h) Barry Fluth's Phase II redevelopment project proposed to move forward in 2005.
i) Semi-annual TIF payments ready for disbursement the 1 sl of February, 2005.
j) Wright County Economic Development Partnership Annual Meeting, Friday, January
21,7:45 a.m., Silver Springs Golf Course. Koropchak cnds 2004 ycar as Chair and
Nod Nikula, Wright-fIcnnepin Electric becomes Chair 2005. Guest speaker: Chris
Berghoff, Entrepreneur of the Year Award Recipient.
k) Chamber Annual Fundraiser (Theater and Silent Auction), Friday evening, January 21,
2005, Community Center.
I) Upon decertifying and closing 5 TIF Districts in early 2004, the County was paid
$310,131 in excess tax increment. The city portion returned in taxes was $150,052.87
which was deposited in the HRA General Fund. This similar to the $118,090.79
deposited from the decertification and closing of 4 TIF Districts earlier.
......
.'l!I;
2
.
December 10, 2004
-~
,,~
MONTICELLO
Mr. Kenneth E. Stabler
Xcel Energy
414 Nicollet Mall, 5'11 Floor
Minneapolis, MN 5540 I
Re: Industrial Development Partnership
Dear Mr. Stabler:
The City of rVlonticello has a Purchase Agreement to acquire 120 acres of land for industrial development. The site, Otter
Creek Business Campus, is located to the south of 1-94 and west of Trunk Highway 25 and is served by Xcel Energy.
Construction of road and utility improvements will commence in spring 2005 with a scheduled fall completion.
The Marketing Subcommittee made up of members of the Monticello Industrial Development Comm ittee and the I-Iousing
and Redevelopment Authority have prepared a Marketing Plan. For the first time, the Subcommittee can market a
tangible product (land) in addition to Monticello's location ancl amenities. The strategy is to create a brand, to keep the
message simple, and to be repetitive. The plan includes ads in a manu facturing journal and classified ads in the Wall
ereet Journal and Star Tribune, design and distribution of direct mai I post cards, rental space at trade shows, lease of
IIlboards along 1-94 and Highway 169/ 10, redesign of city industrial website, update of city brochure inserts, and hosting
local promotional events. The total cost of the marketing plan is approximately $36,000 (see attached budget.)
The Marketing Subcommittee would like to partner with Xcel Energy and is asking Xcel Energy for $15.000 to help defray
design, set-up. artwork, print, distribution. and other costs associated with the Marketing Plan.
In addition to the Marketing Plan, preferred measures, a Light Industrial Zone, and covenants are proposed for the Otter
Creek Business Campus supporting the investments made by Xcel Energy and the City of Monticello. The Marketing
Subcommittee is very optimistic that our efforts will be sllccessful and spur growth which is positive for both Xcel Energy
and the City.
For additional information relating to the request, please call me at 763-271-3208. Thank you for consideration to partner
with the City of Monticello.
Sincerely,
CITY OF MONTICEU,O
G~ ~1I10~~
Ollic Koropchak
.lionol1l ic Dcvt:lopment Di rector
~tachl1l(;nt
Monticello City Hull, .')05 Walnut Street, Suite I, Monticello, MN 55362-XWi I . (76:'>) 295-2711 . F'ax: (763) 295-44()4
()ITkc of" Puhlic Works. l)()l) Golf COl!rXC Rd., Montic;cllo, MN 55362 . (76]) 2l)5-3 17() . F:\;c (763) 271-3272
Date
/"''''.;;~
\({')}
.:%~~~ ~~ .~";;~ l
12/18/04 ~~
O?Q0377560,.' . ".
~2
U2
9600019921..
(2. Xcel EnergY$M
Northern States
Power Company
d/lt/a Xce! Energy
414 Nicollet Mall
Minneapolis, MN 55401
3O:J.62S-2644
Wells Fargo Bank, N.A.
115 Hospital Drive'
Van Wert, OH 45891
.
Pay
SEVEN THOUSAND FIVE HUNDRED & 00/100************************
$7500.00 USD
DOLLARS
VOID IF NOT CASHED IN 90' DAYS
To The
Order
Of
CITY OF MONTICELLO
505 WALNUT STREET
SUITE 1
MONTICELLO MN 55362
~0~.~
~"'ml,..n~ I ~ ;t~~e.1~'1;a 1i I ~ 'IiltI~ 1h'lI=NlIl: ,.'t--"'9dI-i.J ~.);t :11:' :"Ill'j~(ti;[.] U~ 1.18}~'llrJ: 11;=1 :J~' ;J:::t-:.IN1':r.:.'~ ,~,;. ~ I ~ (tJ r~' "II'/I~. ::t:h'l
r:.' ;l~C '1~ I; I =v 1 =I il--"i=f...."i I J) =Z!;{.) ~ ,-,,'1 xr~ N (ei ~ ~ l~ !Tll::~H ,N~
II' 0 0 0 0 :1 7 7 5 bOil- I: 0 ~ l. 2 0 :18 2 ~ I: q bOO 0 l. 11 11 2 l.1I'
Payee
CITY OF MONTICELLO
Vendor ID
CITYMONTIC 01
Employee #=
Payment Ref Invoice No.
927907100000 121004
Pymt Comments:
PO/Contract
Check No.
0000377560
Disc/Wth
.00
Date
12/18/04
Pay Amount
$7500.00
.
Marketing plan
Attn: Ollie Koropchak
Monticello City Hall
F'~
~.~~
~
'Z~
.
11"( ') 'J
Iii 'I '.. ...J
*
000017 220596
.
..
'"
'"
0'
"-
;';
"-
r<
r<
""
.
u '"
'0 u
,. ~
'Or<
.;.-<
o
~ u
"
~ I
.~ g
,; r<
,"
'" :;]
;:
"'
'"
'"
'"
ffi
u
'"
"
.
f) r-)
~1 n
n
I) In
"
m
oJ
0,
'"
.,
"
c,
~:
"
'"
'"
~
,~
"-
c,
c,
~i;
~ll "J
(I: {".I
(J Ll
lr.l U
no: I\~
><
.8
(~:
OdoQQOOQQOOOOO
oooooooooooCQO
~,
-,
'"
IJ'\ o,:->oO'Jooooooooo
d\ OOOOCluC:lOOaOQOO
'"
"
o aooOO.:.::!OOOClQOOO
~ c;::lc::lOQOOOCJOQoooa
N
r<
"
'"
N
ggggggggg6gggg
N
g
N
oooaOOOOOOOOOQ
0000000000000.0'
"
"
'"
N
gggggggg~ggggg
t
..
'"
'"
01
rt' <:t' f"'-, to-. f"" .... ~Q \0 CJ;I cg l;l 0 .:0 ..:0
u;J lli "'"I' ~I' ro maD r- r- .-l rl ("'I 1'""
. . . . . .
~~~!7\~~~~~;~~~66
f"-Q a o l'T'll'Tl.......-IOOr'-r--
"
"
'"'
~~~~~.,'-~
~~..-j.-.lCDlI)\Q'Ot2~
rl rl r-C....r
~,
,n
....
o
e'
~ ~ ~ ~ ~ ~ ~ ~ ~ II) Q 0 00 ~
1,0' lfl ." .~ en r,r:I 0 0 r- r-- .-1 rl r-l "I
lil lfl cr\ iJ1 1'"'1 f"'1 01 r'-1 "'1' ~I' (J'I 0'1 CI;I aj
~Q~ lflLf\a)tO~CI~(.l{1\{hoo
C-.o. a r-'...:J f'1 <"1....1 rl 0 a t"- e--.
'"
'"
'D
o~ 0' !""I /""1 ,; 00' \D'" \O~ If"1~ ti)
t.n lil \0 10'
,...j...1 ...t.-i
["
o
'" '" ,. c'
," ., fo' Ul .n
," '"' .n f-' 'n f-' "' " OJ
~ i') eJ UI " ~l [,I 'n '"
c; '" '" Q '"
'" l:l '" '"' " " ~
'"~ '"~ ,,' c- ,.]
~~ "' ~1 ,,' c, '" "'
IIJ ", ,,,
l< 01 e: (_I ,,, f-' ,,, c' u, ,.,
r:.1 ~I c' ~l f-' ~1 ~: 'I ,., 'I
", ", ",
c, f-' '" 1;-: '" ~:-J 1:'1 "
,. 0 c' 0 '" 0 c. 0 " 0
'" ,. 0 c' c' .' " .'
"
(..t
[: ~
f) 0
~;; ~I
1-1 rr.1
:r: (J
'/)1-.\
:-.~ 1:-1
:'~ ;'.~
IJ r)
1.1 :;;::
~: '.1
ll: ~I.
'" p.; 1;-.1 f-' "
,., rr; '" ~ ~; 'n u, ~"l "i
'v LIt ,,' " 0] ~
0, ,,' 'n ~;; " 'J r<1 ,., ,,'
?:' ,,' ,,' t~ :.j
Po '.1 [.") ,~: <) '.1
fl, c, t~~ 8 ",
;d .(1 ,. '" ~ r,
:.1 0 ", '" ) 0
(.1 '" C' ~l ... ~.. . u, .'
'-I
,., ",
i=2
C" 't
0 ~!
,,<
r.l
,.,
.,-l
~ I . ..,
() LJ
.:-J .~:
~J ~:
.r; lrl
~
~
~
~
-{.
~
..
'-
~
,J
t
\)q
-t
1
'D
T
o
a
(~
t
-~
t
J
~
O\L
-
C
<::P
("
l--- V.Q
1~ 1. ~
s-J... ').:
!>-j ~
J)
f
..-
...
C'
9
--'
~
k-
J
()
~
l-< '-< ::: ",-
(],) <l) '" S'
'-< ;:;
..D ;;J ~ '7
::J In ,,'
<<l :::>
. l-< <l) -".
(j '-<
~ .i
..
~ ... ~
r-::i 0
.~ c:l
IJ1 ~
C'j ;;J
......, ~
bJ) t.~
;::1
0 ~ "
Q 0 c.;
u
";::: '-ll
C"-
O biJ t'-'
.J .~
:::l >- t"'
..- --..
Q,,) ......'
rr u
..... '4-
..j,..l
d
0
~
.,......
o '\ ",-
cl"6\ '"
""
,,'
r-"
.....1 0) r"1
UN, '" 2
~J ~
(1) --0\ '"' .-
'"'
..d 11 :. -
..j,..l ~
J-l >-f ;.-,
~ "
/ "
-.../
"
. ..j,..l '::;
..
d oS
(1) ..,.
""
S '0'
,,'
Q,,) "0
~ ~ 2
..j,..l OJ t;
(1) ,,"
c .2
en Cl
:;;:
~ '0 .2
-" u; "
"
u " "
~ 0 :5 .2 "
......, Ol "8
- '0 t:::
C (],) '~
U .2 "
" "
d -....... :; ~ b
.....
l=i '" '"
~ '"
0 '" =
0 ~ ~ 2
'"
U = TI
"
'"+-< 2 '0
0
..j,..l :<::i ~
>-. '" '-'
...d ..... c. '"
.- "' .D
b.ll U i;;' TI
.C t::: :l
(],) Cl Cl
E J:.
~ .!:I '"
" '"
..... :S ;.-,
'"+-< '0 "
"
0 Cl
t::: E
l-< E '"
0 '"
'" '"
..... ~ .t:
C'j I-
"'
l-< '" c
..... ,'12 "
. IJ1 E
~ Ol
" "
-....... ',> :::
...... E '"
c= "'
"d :2 ~
0 ~ '"
f-< .t: S
>-
",- S .... r- m ,-. ,..., :: "" r- '-0 .". ~ .". "" ,,., 0', .".
.". - "" Ir! "'"1 "'"' co ~ '" r"1 :::> .". r- :::> "" <-
u - '" .,., I(i 0\ :l 00 c-- ..,. ,..., M ~: \0 ,.; m <;0 "" c-, ""
.". ,,' <- '" '-0 ",- S .". M <"l "" ",- ,,' ""
C 1'0 f"~, 0;, ,,' <"l ,,., co "" ,,' I"'!, '-0 co ",- ", ""
to .... "" :::> o' ,...: ",,' -. ",' ~ ri' .... ,< o.i r'")' "" .....:
0 ,,' r' "" "" .". '" M ..,. ~
l... ,- '" .". .fl r' 0\ .... ,,., ""
Cl f- ,..i d ....;
:::> :<J <"l .... rl or. .". :::> .". '" '-0 .... ~
": "" " "! '" "" ,,' 0 ": r-- " .".
"" ,Ii r-- ,..., 00 "i '" r"1 '" 6 ..... ,,' 6
- .,., .". :3 .... ~ '" .,., '" "" .". '" 'n
~ ","" "" .... ""- - "" ~, "". "" 'n
Cl 00 ",,' ;:: ~-:' <"l .... r-t' c-: ~ "" ..Q ""
:0 ::;> ,..., "" 00 .". "" "" 00 r--
::J :;, '"" ",- ,,., ,,' 0\ - '<T ,,., 0
(Il C ....
--~~ -- --- .,~- - -
....
C 2:'
III
l... ~
l... "
:l "-
U
0 00 ,.., - ,,' 'n ",- S .". '" "" ..... ~
": "" r-- "! "! "" "! '" .". " ..... ":
00 ,,., .....: - '" "i .". ..; '" '" .-.: ,,' 6
'n .". ::: .... ~ '" ,,., r"1 "" .". 0 I,.,
>< "- "'. .... ~ - "" o_ m "" I,.,
ro 00 '" 0- .'r-~~ '"" '" ,..: 00 ~ ",,- '"
'" ,..., "" 00 .". "" - 00 00 r-
f- <-- '"" .". In ,,' "'" - .". "., 0
,..., C -
.". "" ,.., '<T "" ~ "" .... '-0 ", ,,' ..,. "" 00 I~
0 '" .... - .n "" - "" ~ r-- ,.,., ,,' ".
- '" .Ii "i ..; .....: .-.: .,,: - :> =' '" ",; ='
';;j '" r- r"1 - .... 0 .". r-- - '" r"1 "" ,,'
00 "L - ,,' ..,. 0 - 0_ 0_ f"~. .".- '" .".
3 ~ .". In -" 00 <"l '"" ,..: -
.D .". <r1 ""
:l -
ill
..,. .". - 'n
'"" ..., "" -
-.0 '" .....: .".
~ '" '" :=: .".
"' "'. :} M
~ ....; '"
.... ~
c
a.>
:::l
C"
C ..,. .".
.- '0' 0
- -.0 ..c
a.> 2:' - :;;;
Q ""
';;j ",," '"
n;
"-
.". '" '" .". '" '-0 "" ::: '-0 ,,' c-, 'n M ""
"" c-' -: lr~ .... co "" ~ " 0; .". <"l
.... '" .n '" '" .....: .-.: -i ,..i 0::> '0' ::; 0 00
'" r-- ,.., .... '0' .". r- '" '" .fl
>< "" '" --< C-' -T 0 - '0'_ 0_ C-L '" c-,
ro ~ ",' Of' ....; "" '" '" <>-," '"
r- ,..., '" .". '"
-'/1
I>~ )
"t:
:u
:::::::. ~
"'......'
>1 ~
:: '" '"
a.> n; '"' .~ E ~
.... ~ ~ ~ '" ;;; '" ~
('J ~ '" " E ~
u "' '"
.... ~ .::: -= :.-, ,~ '"
(1) '" ::;; i::;. :'J 0 ... '" .- .Z '"
'0 0 " ... t;: iC E :0 -
UJ ~ '" "" ~ P-;
t::: :-; '2 ... .5 - .::: '" 0
:l '" ~ " "" b '" '" 0. b
- ..... " ~ .c "' .... ~ '" 3 .-::., 'F! ~
('J ~ ;: ~ .. E u ,~ .;j ~ '" .- Q :: '"
~ ... '" '" '" '" '" 0: '" .. "
a.> " ... " .w ;;:, '" ;:; ." '" ';r, "" ..<:l - - ..
c::: ~ '" ... ... :::1 0 -"1 :: "" "'I:J ~ ) ,,' <;;> <;;> ...
p,.. 0 ~ i-' u ~ ,,, ill ,,, ,,, '" q ,,, l- i-' 0
l ..1
'--~/
/--....
\
C\L
, \
,I
.'
'J
, I
\ i
I
!
,,1
:)
)
- , j
"-, ~.
'.1
--J\
o \\-
. f,,,
"J/J ')
) \<!\
'AY
)
r.5~.J
C
u/
() \ ()'\.J ()
)" l)
,./). . j\
)\ ..>'
\ .
\. >, .;) \
, \
/,) I. (>
{ (,.
/\ ~ '\,\
';J.
\
1
"
("=-...~
".;)
.~.\,'
I.)
"
.' '()
,.J'
'.. /
I
.<J
1 '(
\/
./
./