IDC Minutes 05-20-1993_~ MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, May 20, 1993 - 7:00 a.m.
City Hall
MEMBERS PRESENT: Vice Chairperson Kevin Daty, Treasurer Ron
Hoglund, Don Smith, Arve Grimsmo, Jay Morrell,
Ken Maus, Dennis Taylor, Tom Lindquist,
Merrlyn Seefeldt, Cyndie Johnson, and Mary
Micke.
MEMBERS ABSENT: Chairperson John McVay, Shelley Johnson,
Lowell Schrugp, Harvey Kendall, Dave Peterson,
Linda Mielke, Steve Lemme, and Dr. Glenn
Nemec.
STAFF PRESENT: Jeff O'Neill and Ollie Koropchak.
STAFF ABSENT: Rick Wolfsteller.
1. CALL TO ORDER.
Vice Chairperson Doty called the IDC meeting to order at 7:03
a.m.
• 2. CONSIDERATION TO APPROVE THE APRIL 15~, 1993 IDC MINUTES.
Ran Hoglund made a motion to approve the April 15, 1993 IDC
minutes. Seconded by Merrlyn Seefeldt and with no corrections
or additions, the minutes were approved as written.
3. CONSIDERATION TO HEAR AND ACCEPT THE IDC FINANCIAL REPORT.
Treasurer Hoglund reported a Metropolitan Federal balance of
$1,241.13 and a Marquette balance of $4,134.00 for a total
balance of $5,375.13. Monthly disbursements were for
advertising, the BRE Breakfast, EDAM membership, and the
Custom Canopy Groundbreaking Reception. Arve Grimsmo made a
motion to accept the May financial report. Seconded by Tom
Lindquist and with no corrections or additions, the financial
report was accepted and filed as given.
Treasurer Hoglund requested the IDC consider the addition of
Koropchak's name to the IDC bank accounts. This to increase
the convenience of securing the second-required IDC signature
for check issuance. Arve Grimsmo made a motion authorizing
the addition of Ollie Koropchak's name to the IDC accounts at
Metropolitan Federal Bank and Marquette Bank - Monticello.
Seconded by Mary Micke and without further discussion, the
motion passed unanimously.
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MAY 20, 1993
4. CONSIDERATION OF PROSPECT UPDATES:
a) Steinwall, Inc. - Mr. Brotherton and Koropchak visited
industrial sites on April 20. The company is most
interested in sites with freeway exposure, projected land
and building costs are 1.2 million dollars, and the
company's current employment is 70. The company
anticipates purchasing property in 1993 with building
construction projected far 1994. Mr. Brotherton had
planned to attend the BRE Breakfast. Koropchak has left
numerous messages of which Mr. Brotherton has not
returned.
b) Wilson Tool, Inc. - In a conversation with Mr. Tom Emery
on May 7, Koropchak was informed that Wilson Tool had
hired a manager for the proposed new plant. The new
manager is from the Minnetonka area and has suggested the
company consider a western Metro suburb site location.
The company will be looking at new site locations in the
next weeks, the project is still scheduled for 1993, and
Monticello still remains a contender. The company will
receive a second letter marketing Monticello and its
financial proposal. Tn addition, the IDC suggested that
Monticello's position may be strengthened if the Topper's
• were willing to contact the company on behalf of the City
of Monticello.
c) All-Temp Distribution - With the unknowns of the future
railroad availability and as per the enclosed Hoglund
letter which states the family's decision to market and
sell the 72 acre industrial site to one developer, Mr.
Holman will refocus and look at other expansion options.
d) Weinhold Company - With the inquire from Vogel Display,
Koropchak proceeded to contact contractors interested in
a building to lease/purchase option. The two projects
being of the same timeframe would allow for the creation
of one TIF District thereby reducing City costs and
providing a greater tax increment benefit to the
companies. Dan and Craig Miller of Miller Construction,
St. Cloud, expressed interest and the two companies were
informed of the need to update financial statements and
their business plan. Mr. Weinhold is in the process of
doing so. Proposed project is 5,000 sq ft, 6 full-time
jobs, and the product is quick-change bits for power
drills. The company's current lease agreement in St.
Louis Park expires December 1993. The Insty-Bit market
piece was made available to IDC members.
e) Vogel Display - A small St. Louis Park company which
manufactures Christmas decorations is looking to
relocate. The company's current lease expires in
• December 1993 . The proposed project would be a 20 , 000 sq
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IDC MINUTES
MAY 20, 1993
ft metal facility consisting of heat and cold storage.
The company employs five full-time and during the peak
season employs up to thirty. Upon further contact with
Mr. Vogel, his decision was to delay his relocation
plans.
f) Leo Adams - Koropchak reported the start-up company has
been unsuccessful in their attempt to secure conventional
financing locally, therefore, the project concept was
referred to BDS, Inc. for potential assistance in
securing funding. Merrlyn Seefeldt reported Bill and she
were cooled on the idea to lease to Mr. Adams as he
wished to lease 10,000 sq ft and had no committed
clients.
BRE UPDATES:
a) The H-Window Company - Koropchak reported Pat Pelstring
and Lenny Kirscht of BDS, Inc. and herself are scheduled
to meet with the Norwegian Board members and Mr. Steve
Lemme on Tuesday morning, May 27. The meeting will be to
discuss the development of a financial proposal for the
company's planned expansion. Arve Grimsmo reported the
Norwegian glass company sold out to a major firm, the
board has given the go ahead for a plant expansion,
long-term plans call for a second major expansion in 96-
97, and that Knut Flakk and his family would be moving to
the US.
b) BRE Business Reports - No reports were given.
5. CONSIDERATION TO SUMMARY THE 1993 BRE BREAKFAST AND HEAR
FEEDBACK.
Koropchak provided IDC members with a recap of the BRE
Breakfast attendance. Total attendance being 42 or one
greater than the previous year; however, seven industrial
leaders who committed to attend were not present. The
breakfast objective is to provide an informal networking
opportunity for IDC, city staff, and industrial leaders.
Various comments and ideas surfaced from IDC members: Spring,
busy time of the year; try a 7:00 pm Cocktail Networking Hour;
sponsor a shared-service (wages, benefits) workshop far just
industrial leaders; and support for the current breakfast
concept.
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IDC MINUTES
MAY 20, 1993
6. CONSIDERATION TO HEAR AN UPDATE OF THE MONTICELLO COMMERCE
CENTER REZONING REQUEST AND TO REVIEW CHAIRPERSON MCVAY'S
LETTER.
Jeff O'Neill reiterated the proposed Gair rezoning request as
heard by the Planning Commission in May. The I-1 request
included a 35-acre strip along Fallon Avenue from Chelsea Road
south to the school property and remaining industrial property
be BC zoning. The Planning Commission tabled the item as the
one and one-half hour presentation wore the commissioners
down.
Koropchak summaried the results of the April IDC meeting
stating the members felt encouraged that compromise and
progress was being made, questions were asked, no direction
given, and members were encouraged to contact staff for
additional comments. Two concerns raised following the IDC
meeting were to ensure that the proposed larger ponding area
not infringe on the school property and that the berm
plantings be of types to encourage low-clearance visibility
which might assist to discourage potential gathering of
students.
• Additionally, Koropchak informed members that the enclosed
letter to Mr. O'Neill from Mr. McVay was the result of a
meeting between Pfeffer, McVay. and herself which transpired
a few days following a meeting between Pfeffer, Gair, Taylor,
Griffth, O'Neill, and Koropchak. At that meeting, the City
Planner recommended the entire industrial area remain Business
Campus (BC) only. Korapchak noted Mr. McVay's letter
suggested that consideration be given to reduce the 3096 green
space if the property were zoned BC only OR that consideration
be given for a combination Light Industrial (I-1) and BC
zoning. McVay's letter does not suggest the consideration of
both options, only, one of two options.
Vice Chairperson Doty informed members that Planning
Commission Chairperson Lemme would appreciate some input from
the IDC.
Jay Morrell said he has never supported a BC zoning next to an
I-2 zoning. Dennis Taylor said Mr. Gair's plan presented a
compromise with the combination of I-1 and BC zoning while
encouraging development. Mr. O'Neill said a BC zoning would
secure a plan for quality long-term development for the City
of Monticello. All agreed to BC zoning along the freeway and
suggested the same zoning concept be applied to the Hoglund
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IDC MINUTES
MAY 20, 1993
property upon development. However, some members felt BC may
be good planning but does not encourage marketing or property
development.
Merrlyn Seefeldt made a motion recommending 350 feet I-1
zoning east of and parallel with Fallon Avenue between Chelsea
Road and the school property. Cyndie Johnson seconded the
motion, adding she initially opposed the BC 30~ green space
requirement. The motion was discussed and Mr. Taylor
suggested amending the motion to allow for two tiers of I-1
lots or 800 feet east of and parallel with Fallon Avenue.
Tom Lindquist suggested calling a special IDC meeting to
further discuss the proposed zoning request. Mayor Maus
suggested the motion eliminate the footage amount and leave
that decision up to the experts. Merrlyn Seefeldt amended the
original motion recommending a minimun of 300 feet I-1 zoning
east of and parallel with Fallon Avenue between Chelsea Road
and the school property. Cyndie Johnson seconded the motion
and without further discussion, the motion passed unanimously.
The Planning Commission will review the zoning request at
their June meeting.
• 7. CONSIDERATION TO HEAR_ OF THE SCHEDULED COMMUNITY/NSP RAILROAD
PARTNERSHIP COMMITTEE MEETING.
Based on the recommendation from the IDC, a NSP/Community
Railroad Partnership Committee has been formed and will meet
following the IDC meeting. Members are Arve Grimsmo, Harvey
Kendall, Ron Hoglund, Mayor Maus, Charlie Anderson, and
Koropchak. Other players will be asked to become involved as
the objective research is complied. Today's meeting will
outline the committee's objectives and tasks.
8. OTHER BUSINESS:
a} Chamber President Micke reminded members of the Chamber
meeting today at 11:50 a.m. at the American Legion.
Program: "Customer Service and Understanding Your
Customers" by Terry Slattery.
b} Koropchak announced the upcoming Wright County
Development Group meeting scheduled for Thursday, May 27,
1993, 7:30 p.m. at Functional Industries on Highway 25,
Buffalo.
c) The IDC congratulated Jeff O'Neill and the Parks
Commission as recipient of a Minnesota Bikes, Trails, &
Pathways Grant. The City of Monticello was awarded
$285,000 for development of a city system. Monticello
• was one of a few cities to receive a grant.
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• IDC MINUTES
MAY 20, 1993
ADJOURNMENT.
The IDC meeting adjourned at 8:35 a.m.
C~ 9~ \`~
Ollie Koropchak, IDC Executive Director
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