IEDC Agenda - 06/06/2023AGENDA
INDUSTRIAL & ECONOMIC DEVELOPMENT COMMITTEE (IEDC)
Tuesday, June 06, 2023
7:00 a.m. at Monticello Community Center
Members: Chairperson Sarah Kortmansky, Vice Chairperson Luke Dahlheimer, Tracy Hinz, Liz Calpas,
Joni Pawelk, Darek Vetsch, Kevin Steffensmeier, Wayne Elam, Andrew Tapper, Randy
Skarphol, Eric Olson, Ryan Schmitz, Rob Stark, Tony Velishek
Liaisons: Rachel Leonard, Angela Schumann, Jim Thares, Marcy Anderson, Jolene Foss, Dave
Tombers, Tim Zipoy
1. General Business
A. Call to Order
B. May 2, 2023, meeting minutes
C. Consideration of Adding Items to the Agenda
2. Regular Agenda
A. Consideration of Accepting resignation of Ryan Schmitz
B. Table Topic — Wright County Workforce Pathways Update — Jolene Foss
3. Liaison Updates
A. Economic Development
• Roundtable Event Update — Steering Committee Members
• Projects and Prospects Update
• Planning Commission
B. City Council Update
C. Wright County Economic Development Partnership (WCEDP)
D. Chamber of Commerce
4. Other Business
A. Next Meeting Reminder — Date: August 1, 2023
5. Adjournment (8:00 a.m.)
INDUSTRIAL & ECONOMIC DEVELOPMENT COMMITTEE (IEDC)
DRAFT MINUTES
Tuesday, May 02, 2023
7:00 a.m. at Monticello Community Center
Members Present: Chairperson Sarah Kortmansky, Vice Chairperson Luke Dahlheimer, Tracy
Hinz, Joni Pawelk, Darek Vetsch, Kevin Steffensmeier, Wayne Elam,
Andrew Tapper, Randy Skarphol, Eric Olson, Ryan Schmitz, Rob Stark
Members Absent: Liz Calpas, Tony Velishek
Liaisons Present: Rachel Leonard, Jim Thares, Marcy Anderson, Jolene Foss
1. Call to Order
Chairperson Sarah Kortmansky called the regular meeting of the Monticello IEDC to
order at 7:00 a.m.
a. Approve Minutes:
ANDREW TAPPER MOVED TO APPROVE THE APRIL 4, 2023, REGULAR MEETING
MINUTES WITH CLERICAL CORRECTION. RANDY SKARPHOL SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY, 12-0.
b. Consideration of Adding Items to the Agenda
Chairperson Sarah Kortmansky added an item to the consideration of approving Cory
Ritter as a member of the IEDC.
WAYNE ELAM MOVED TO APPROVE THE APPROVAL OF MEMBERSHIP AND THE
AGENDA. ERIC OLSON SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY, 12-
0.
2. Table Topic
A. Xcel Energy EV Charging Infrastructure Network Development Overview +
Funding Programs, Neal Callinan, Strategy & Policy Principal for Xcel Energy,
presented information about clean transportation vision programs. Currently
there are over 80 team members on the EV Team committee of which Mr.
Callinan is a part of.
The attention to EV programs has created the need for energy, auto, and
transportation groups to work together to achieve the 2030 goal of 1 in 5
vehicles being electric and 2050 goal of 0 carbon fuel.
Xcel is serving its eight states to bring easy and accessible charging. Xcel is the
first in the industry to have an all -electric bucket truck as well as its own fleet.
The gas savings for electric vehicle owners is approximately $1 per gallon which
has been confirmed by studies at the Federal level and the State level. The
current annual tax for EVs is higher than that of non-EVs in the state of
Minnesota. Some studies have shown that the current tax rate on EV vehicles is
higher than required.
There are several studies focusing on charging availability for all EV owners
including solutions for multi -family units. Some of the cost considerations for EV
transportation is the upfront expense of charging stations. This impacts fleet
operators and commercial users. Cost incentives will provide a desire to charge
vehicles off hours. It will be a matter of educating and will help make the energy
provided at a lower cost.
There is a pilot program measuring the amount of energy used to charge
individual vehicles to help evaluate costs for multi -family units.
Xcel Energy's goal is to provide 1470 charging ports by 2030, following
Minnesota's goal of 20% of all vehicles be EV.
B. Local Option Sales Tax (LOST) Update
Rachel Leonard, City Administrator, gave a presentation on Monticello LOST
Analysis conducted by the University of Minnesota Extension. The analysis
showed that 31.4% of tax proceeds come from Monticello residents and 68.6%
from non-residents.
3. Reports
a. Economic Development
L Business Round Table
Jim Thares provided an update of the sub -committees' planning efforts.
The event is scheduled for September 14, 2023, from 3:00-5:00 p.m.
Potential location in Nordic Brewery.
ii. Prospects List
1. Mr. Thares reviewed the Building Permit Activity and Valuation
Report highlighting a decrease from 15t quarter last year,
suggesting it is not a surprise due the current cost of construction
and recent interest rate hikes.
2. Mr. Thares highlighted the prospect list. During the past month three
hotel developers contacted the City regarding potential hotel
developments concepts. The 2020 Hotel Study results showed
Monticello is in need of hotel space of at least a hundred rooms.
3. Currently there are no other projects on the list. Prospects are
continuing to reach out to City staff. They are mostly initial concepts
that are exploratory in nature.
iii. Plannine Commission
Mr. Thares reviewed the Planning Commission 06/04/2023 Agenda and
highlighted a Workshop prior to the regular meeting reviewing the
Monticello 2040 Vision + Plan land use designations. The regular agenda
features a Public Hearing considering a Conditional Use Permit (CUP) for
an Accessory Structure Single Family Residential District. A Public Hearing
on an Amendment to the Headwaters West Planned Unit Development
District related to Subdivision Ordinance Requirements related to private
utilities is also on the agenda.
b. City Council
Rachel Leonard, City Administrator, highlighted the Special Meeting held on April
3, 2023, to review the plans for Downtown street improvement project involving
Block 52 as well as the area from Pinewood to Elm Street, a CUP to maximize
public parking at Block 51, the purchase property on West River Street, approval of
construction at Cargill, and the School Pedestrian Project.
c. Wright County Economic Development Partnership (WCEDP)
Jolene Foss, Wright County Economic Development Partnership Executive
Director, highlighted the next Capacity Building Seminar previously scheduled for
May 11th has now been shifted to May 24th. It involves a free breakfast with
guest speaker, SCSU Dean of the School of Public Affairs, Dr. King Banian,
speaking about the Central MN economy. Attendance is encouraged, registration
is required. Register at CAPACITY BUILDING SEMINAR (wriehtpartnership.org)
d. Chamber of Commerce
Marcy Anderson, Chamber of Commerce Director, highlighted the upcoming Golf
Tournament, the success of the State of the City Chamber Luncheon. Also, the
Puzzle Palooza event was so successful another one is being scheduled for
September 30, 2023. This event brings visitors to the community and is
interesting to observe.
4. Next Meeting Reminder — Date: June 6, 2023
5. Adjournment (8:01 a.m.)
ROB STARK MOVED TO ADJOURN THE REGULAR MEETING OF THE MONTICELLO IEDC.
ANDREW TAPPER SECONDED THE MOTION. MOTION CARRIED BY CONSENSUS
Recorder: Vicki Leerhoff
Approved: JUNE 6, 2023
Attest:
James Thares, Economic Development Manager
Industrial Economic Development Agenda: 6/6/2023
2A. Consideration of accepting resignation — Ryan Schmitz
Prepared by:
Meeting Date:
® Regular Agenda Item
Administrative Assistant
6/6/2023
Reviewed by:
Approved by:
N/A
Economic Development Director
REFERENCE AND BACKGROUND
Consideration of accepting resignation of Ryan Schmitz.
• Letter of resignation.
From:
To: Jim Thares
Subject: Re: IEDC
Date: Thursday, May 25, 2023 8:49:47 AM
Hi Ryan,
I am just back from a few days out of the office.
First, congratulations on the new role at Cargill.
Please go ahead and have Liz submit application and attend the next meeting.
(@Jim Thares
Feel free to call if there is more we should discuss.
Sarah Kortmansky
Vice President Commercial Lending, West Market
North Star Bank - "Your Financial Partner"
LPO/DPO at 530 Walnut Street, Monticello, MN 55362
direct: 763.235.1135 fax: 651.489.9541
Confidentiality Notice: This e-mail message, including any attachments, is for the sole use of the intended recipient(s) and may contain confidential
and privileged information. Any unauthorized review, use, disclosure or distribution is prohibited. If you are not the intended recipient, please contact
the sender by reply e-mail and destroy all copies of the original message. Thank you.
From: Ryan Schmitz
Sent: Tuesday, May 23, 2023 9:07:10 AM
To: Sarah T. Kortmansky
Subject: IEDC
Hi Sarah,
I wanted to reach out to you about the IEDC. Please let me know if you have a few minutes to talk.
My cell phone is I have been working at the Monticello Cargill plant for the last 12
years but I recently accepted a regional role within Cargill and I will no longer be supporting the
Monticello facility. I have spoke with my replacement (Liz Kokesh) and she would like to be
considered to join the IEDC. I think it is important to have a Cargill representative on this committee
and I believe she would be a great fit.
Take care,
Ryan
Industrial Economic Development Agenda: 6/6/2023
2B. Table Topic — Wright County Workforce Pathways Update
Prepared by:
Meeting Date:
® Regular Agenda Item
Administrative Assistant
6/6/2023
Reviewed by:
Approved by:
N/A
Economic Development Director
REFERENCE AND BACKGROUND
Presentation by Jolene Foss, Wright County Economic Development Partnership Executive
Director.
IEDC Agenda: 06/01/23
3A. Project Update
Block 52 Mixed Use Commercial -Residential Redevelopment:
Progress is continuing on the construction of the 5 -story mixed use commercial -residential
development. The next phase of construction activities involves the roof being added to the
top floor to seal up the building. This work is also accompanied by the HVAC, plumbing and
electrical and fire sprinkler works tasks. next phase of construction. Insulation and interior
framing will be the following tasks. Municipal sewer and water services are also being stubbed
into the structure on the Broadway side, thus the Broadway Street road closure until early
June. The pace of the project is moving along faster than was projected. It is possible that the
project will be ready to open in early 2024 versus the previously projected date of May 2024.
On the building lease up front, the developer has informed staff that discussions have been
occurring with prospective commercial tenants. The developer is hoping to entice a restaurant
to locate on the north end of the commercial space (facing the park) with an outside patio. The
Business Subsidy component of the Purchase and TIF Development Contract requires 53 new
jobs to be created by the development (by the new businesses that are located in the building).
Wiha Tools Warehouse Facility Development:
Wiha broke ground on its new 74,000 square foot assembly and warehouse facility
development in early May. Site excavation and grading is nearing completion and structure
footings have been poured. The new facility will house Wiha Tools' assembly, warehouse,
distribution, sales, and administrative functions. Wiha received $880,000 in funding assistance
from the MIF and JCF programs for equipment and building (MN -DEED) as well as City -EDA TIF
assistance to offset land acquisition and site prep costs. Under the Business Subsidy
component of the TIF Development Agreement, Wiha is required to create 59 FTE new jobs
over the next 5 years. The company is also planning to complete a second phase addition of
79,000 square feet in the future at the 12 -acre 7t" Street East site. An additional 21 FTE jobs
are expected to be created in the phase 2 project increasing the total workforce at the facility
to approximately 142 +/-.
Scooters Coffee Shop:
A groundbreaking event was held on May 25, 2023, for Scooters Coffee drive up coffee shop.
The Scooters site is located on the east side of the Cub grocery store, just east of the Poncho
Villa Restaurant. The Scooters building is approximately 845 square feet in size.
IEDC Agenda: 06/01/23
Deephaven Third - West Metro Ophthalmology:
A 10,000 square foot building is newly under construction at the southeast corner of Cedar and
Chelsea Road for a new ophthalmology clinic. The building has room for a second tenant as the
eye clinic will occupy about 60 to 65 percent of the space. West Metro is relocation from 504
Pine Street (adjacent to Papa Murphy's Pizza).
Sunny Days Therapy — 7t" Street East:
Construction of the Sunny Day's Therapy occupational and speech therapy facility is
progressing and in the final phase. City of Monticello building inspections staff estimate the
progress of completion at approximately 65 percent.
Headwaters Villa Twinhomes:
The 60 -unit twinhome housing development project for ages 55 + is well underway at the
former 16.70 -acre EDA parcel along 71h Street West. Currently, excavating and grading for
infrastructure (utilities and roads) is occurring. Specific pad sites are also being prepped.
Headwater's goal is to complete the placement and finish of 10 units (the units are modular
fabricated at the AVA facility in nearby Albertville) by late July. The balance of the 50 units
would be placed and finished throughout the remainder of 2023.
Headwaters Apartments:
Construction of the 102 -unit apartment building for ages 55 + is expected to begin in the fall of
2023 and progress through the entirety of 2024. The building has ground level covered parking
with four floors of rental units above the parking structure. Attached are illustrations from the
plan set approval packet showing the building.
Monticello Lakes Apartments:
A two building, 200 -unit apartment development at a parcel on the west side of Edmunson Ave
NE in the Pointes At Cedar (PAC) Master Plan Planned Community District is expected to see
construction begin in mid -summer 2023. This a market rate housing development and will help
fulfil the demand estimates that were projected in the 2020 Housing Needs and Demand Study.
A new Study is being considered by the EDA at its June 14, 2023, meeting to better understand
the needs and demands for the next several years. The PAC water amenity features are and
proximity to restaurants and shopping are expected to be a strong leasing draw for this
development.
2
Cgo
0
Date of
Company Name
Business Category
Project Description
Contact
IL
Retained lobs New lobs
Total Investment
5/22/2018
Karlsburger Foods
Food Products Mfg.
Facilty Expansion
11/29/2018
Project Blitzen
Precision Machining
Exist Bldg or New Const.
3/28/2019
Project Nutt
Co -Working Space
Existing Building
5/9/2019
Project FSJP
Light Mfg -Res. Lab
New Construction
8/16/2019
Project Jaguar
Office
New Construction
1/20/2020
Project Panda v3
Service -Child Care
New Construction
12/23/20- 6-
Project TDBBST
Industrial
New Construction
30-22
$1,400,000
Active Search
22,000 sq. ft.
2/16/2021
Project Cold
Industrial -Warehouse -Di
New Construction
10,500 sq. ft.
0
stri
$4,100,000
3/19/2021
Project Orion
Warehouse-Distributi
on
New Construction
2/28/2022
Project Emma II
Light Ind -Assembly
New Construction
6/16/2021
Project UBAA
Child Care Services
New Construction or Exist
6/30/2021
Project Ecosphere
Industrial Tech Mfg.
New Construction
06/01/2023
Project BA710
Lt Assem-Distribute
New Construction 6,500 to 7,000 sq. ft 0
10 $650,000
Building -Facility
Retained lobs New lobs
Total Investment
Project Status
New Construction 42,000 sq. ft.
40 $3,600,000
Active Search
2/7/2022
Project Shepherd
III
20,000 sq. ft. +/-
42
10 to
$4,500,000
On Hold
Project Cougar
Precision Machining -Mfg.
20
38 $4,700,000
Active Search
12,000 sq. ft.
10
$1,200,000
Concept Stage
?
?
?
?
Concept stage
20,000 sq. ft.
0
20+/-
$1,400,000
Active Search
22,000 sq. ft.
22
4
$2,700,000
Active Search
10,500 sq. ft.
0
21
$4,100,000
Active Search
10,000 to 15,000 sq.
0
9
$1,850,000
Concept Stage
ft.
80,000 sq. ft.
0
21
$12,000,000
Concept Stage
832,500 sq. ft.
0
500
$125,000,000
Active Search
20,OOOsq. ff.
0
4
$1,350,000
Active Search
5,000 sq. ft.
0
14 to 19
$2,000,000
Act Search
1,000,000 sq. ft.
0
1122
$85,000,000
Act Search
7/29/2021
Project BA710
Lt Assem-Distribute
New Construction 6,500 to 7,000 sq. ft 0
10 $650,000
Active Search
10/28/2021
Project Stallion
Technology Servicer
New Construction 42,000 sq. ft.
40 $3,600,000
Active Search
2/7/2022
Project Shepherd
III
Lt Assembly Distribution
New Construction 75,000 sq. ft.
75 $10,500,000
Active Search
4/28/2022
Project Cougar
Precision Machining -Mfg.
New Construction 35,000 to 45,000 sq. ft.
38 $4,700,000
Active Search
8/11/2022
Project Sing Precision Machining New Construction 400,000 sq. ft. 0 500 $90,000,000 Active Search
10/28/2022
Project IAG Mfg. New Construction 300,000 sq. ft.? 0 50? $70 to $80,000,000 Active Search
11/9/2022
Project Tea
Mfg
New Construction
25,000 sq. ft.
55
20
$5,800,000
Active Search
12/13/2022
Project Love
Mfg
New Construction
250,000
130
$24,000,000
Active Search
4/20/2023
Project Lodge DH1
Lodging -Service
New Construction
?
?
?
$9,500,000 to
$12,500,000
Active Search
4/20/2023
Project Lodge RS2
Lodging Service
New Construction
?
?
?
$9,500,000 to
$12,500,000
Active Search
4/26/2023
Project Lodge DO
Lodging Service
New Construction
?
?
?
$9,500,000 to
$12,500,000
Active Search
5/30/2023
Project Flower -M
&M
Commercial
Concept Expansion
?
?
?
?
Concept
Contacts: M = 02 YTD =14
AGENDA
REGULAR MEETING – PLANNING COMMISSION
Monday, June 6, 2023 – 6:00 p.m.
Mississippi Room, Monticello Community Center
JOINT MONTICELLO PLANNING COMMISSION/CITY COUNCIL WORKSHOP
Monticello Community Center
5:00 p.m. Concept Stage Planned Unit Development Proposal
100 -unit Multi -family Residential Project in a B-3 (Highway
Commercial) District Outlot B, Great River Addition, 155-226-000020
(Applicant: Briggs Company)
Commissioners: Chair Paul Konsor, Vice Chair Andrew Tapper, Teri Lehner, Eric Hagen,
Melissa Robeck,
Council Liaison: Councilmember Charlotte Gabler
Staff: Angela Schumann, Steve Grittman, Ron Hackenmueller, Hayden
Stensgard
1. General Business
A. Call to Order
B. Roll Call
C. Consideration of Additional Agenda Items
D. Approval of Agenda
E. Approval of Meeting
• Workshop Meeting Minutes—May 2, 2023
• Regular Meeting Minutes—May 2, 2023
F. Citizen Comment
2. Public Hearings
A. Continued - Consideration of Conditional Use Permit for an Accessory Structure—
Major and Conditional Use Permit for Driveway leading to Accessory Structure in
Rear Yard in the R-1, Single Family Residential District
Applicant: Ben Roberg
B. Consideration of a Conditional Use Permit for Home Occupation for Manufacturing
which requires equipment other than that which is typically found in a dwelling, and
Use of an Accessory Building for said Home Occupation, which includes sales, in the
R-1, Single-family Residential District
Applicant: Tyler Berg
C. Consideration of an Amendment to the Monticello 2040 Vision + Plan
(Comprehensive Plan), Chapter 3, "Land Use, Growth and Orderly Annexation",
amending the text of the Plan to add flexibility for implementation of the Plan's
goals and land use objectives for Industrial designations
Applicant: City of Monticello
3. Regular Agenda
4. Other Business
A. Community Development Director's Report
5. Adjournment