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IDC Agenda 05-21-1992 . . . AGEN A MONTICELLO INDUSTRIAL EVELOPMENT COMMITTEE Thursday, May 21, 1992 - 7:00 AM City all MEMBERS: Chairperson Shelley John on, Vice Chairperson Don Smith, Treasurer Ron Hoglund, L well Schrupp, Arve Grimsmo, Jay Morrell, Harvey Kendall, Dennis Taylor, Linda Mielke, Ken Maus, John McVay, Dave eterson, Tom Pogatchnik, Kevin Doty, Merrlyn Seefeldt, Steve Lemme, Cyndie Johnson, Candy Benoit, and Mary icke. STAFF: Rick Wolfsteller, Jeff O'Neill, and Ollie Koropchak. 1. CALL TO ORDER. 2. CONSIDERATION TO APPROVE THE PRIL 16, 1992 IDC MINUTES. 4. 3. CONSIDERATION TO HEAR AND IDC FINANCIAL REPORT. CONSIDERATION OF PROSPECT a) Aroplax Corporation b) Long Lake Tool & Die c) Wisconsin Foam Products d) Out-of-State Food Proces e) Federal Foam Technology, f) Karl Merzel g) Q-A Thermo Processing, I h) Potato Machine Manufactu i) Agricultural Product Man anufacturer ing Company Inc. c. er factureI' BRE UPDATE: a) Remmele Engineering b) Hoglund Bus Company c) BRE-IDC Reports d) BRE Tour 5. CONSIDERATION TO DISCUSS AND UMMARIZE THE BRE BREAKFAST. 6. CONSIDERATION OF IDe HOUSEKEE ING: a) Banquet Speaker, Jack Gr ndhofer. b) Advertisement Committee. c) Additional new videos. d) BC/ll Land Use Ordinance Amendment. e) Brochure Data Update. f) Joint Governmental Meeti g. g) County Economic Developm nt Update. h) Labor Survey Committee. i) Legislative Affairs Committee. 1) IDC Newsletter. m) Farm Credit Property. n) Wright County Compose Fa ility Tour. . . . IDC AGENDA 5--21-92 Page 2 7. OTHER BUSINESS. a) Chamber meeting, noon t day, American Legion Club "Improving Customer Foell in Your Company" Bob Nassauer. 8. ADJOURNMENT. . . . MINU ES MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Thursday, April 16 1992 - 7:00 AM City H 11 MEMBERS PHESENT: Chairperson Selley Johnson, Vice President Don Smith, La ell Schrupp, Arve Grimsmo, Jay Morrell, Har ey Kendall, Ken Maus, Linda Mielke, John McVay, Kevin Doty, Merrlyn Seefeldt, Ste e Lemme, Mary Micke, and Cyndie Johnson. MEMBERS ABSENT: Ron Hoglund, D nnis Taylor, Dave Peterson, Tom Pogatchnik, an Candy Benoit. STAFF PRESENT: Ollie Koropch k. STAFF ABSENT: Rick Wolfstell r and Jeff O'Neill. 1. CALL TO ORDER AND WELCOME OF NEW MEMBERS. Chairperson Johnson called th IDC meeting to order at 7:02AM and welcomed Merrlyn Seefeldt, Electro Industries, and later Steve Lemme, The H-Window Co pany, as a new members of the IDC. 2. CONSIDERATION TO APPROVE THE ARCH 19, 1992 IDC MINUTES. Lowell Schrupp asked for an a endment to the minutes stating he was present at the Mar h meeting. With no further corrections or additions, Joh McVay made a motion to approve the IDC minutes as amended, econded by Harvey Kendall, the minutes were approved as amen ed. 3. CONSIDERATION TO HEAR AND ACJEPT THE IDC FINANCIAL REPORT. In the absence of Treasurer on Hoglund, no financial report was given. 4. CONSIDERATION OF PROSPECT UP ATE: a) Aroplax Corporation - Th company has received the Letter of Intent and is expecte to execute the document soon. The Letter af Intent asically cammi ts Aroplax ta a Monticello site location up to 180 days, and if Aroplax withdraws from the praj ct they agree to reimburse the City's incurred expense, not to exceed $5,000. Also, the final uses and s urces of funds are outlined. Currently, the landowner and Mr. Schoen are negotiating the details of the new purchase agreement. At this point, it looks a go. . . . IDC MINUTES 4-16-92 b) Long Lake Tool & Die, P astic Injection Molding - This company which is propos ng to construct a 20,000 sq ft structure and employ 20-25 people, responded positively to Monticello incentive 0 sweeten the pot. The company representatives visi ted Monticello on April 6th, they were very impressed wi h our communi ty and was most interested in the scho I system and upscale housing. During the luncheon me ting, Mr. Pelstring suggested other sources of funds w ich would reduce the company's monthly debt service. They were aware of the Aroplax project and had concerns about competition for the labor force. The representati es have been invited to the BRE Breakfast and the compan plans to make a site location decision around May 1st (Monticello or Buffalo). c) Wisconsin Foam Products anufacturer - Arrangements were made for a Friday, ApI' I 10 meeting wi th the company representative; however, due to the snowstorm the meeting was cancelled. At this oint, Koropchak has been unable to reach the representative to reschedule. d) Out-of-State Food Proces ing Company .- Mr. Towers of the MTED off ice, repol'ts n news from the South Carol ina consultant firm. John cVay reported he had heard this was a southern poultry p odueer looking to under-cut the market. e) Federal Foam Technology, Inc. - This company currently has two existing facilit'es in the metro and are looking to lease an existing 50, 00 sq ft building, 22 ft ceiling height and two docks. etal facility @ $2.00-$3.00 per sq ft. Would employ 50-60 semi-skilled personnel. The company cuts up large ro Is of foam for use in furniture, athletic equipment, et. The Shingobee project was marketed and Jay Morrell's facility was referred. f) Hallmark Window Company - This two to three year old window producing company from Bloomington was looking for 7,000 to 10,000 sq ft for lease, employment seven people. He sold his existing fac'lity and must move by May 15th. He was very interested in Monticello, our financial programs, and available property with freeway exposure. Both the Shingobee project and available existing industrial space was mar eted. The owner plans to build Page 2 . . . IDC MINUTES 4-16-92 a 15,000 sq ft facility 'n three years and employ thirty people. He was able to find suitable space to rent in Hopkins; however, he's s ill interested in Monticello for future planning. BRE UPDATE: a) Remmele Engineering - Koropchak informed the IDC that Remmele's 10,000 sq ft expansion plan (formal announcement March 16th) has been put on hold due to unforeseen problems in 0 taining a building permit. The company's desire is not to install a sprinkler system because water damage po es a greater risk than fire to their production machi ery/equipment and because of installat ion costs. Ke Maus referenced the need for sprinklers as it pertai s to construction material and building size as stated within the State Building Code. Koropchak was unaware t at Remmele had not received a building permit or part al permit until notified by an IDC member. Confusion stems from the need to install a sprinkler system in Mont cello and not in other Minnesota communi ties. Koropchak since has spoken to both Mr. Chuck Jungman and Mr. M'ke Pudil to schedule a meeting between company and IDC representatives and city staff. One IDC member express d sprinkler installation costs would prohibit their ind strial business from expanding in Monticello, another member expressed they felt Monticello has lost de elopment to other communi ties because of unnecessary code enforcement, and another member expressed this a an example of a breakdown in communication. The IDC abeled this a priority item and asked Koropchak to pursu for a workable solution. 5. CONSIDERATION OF AN UPDATE BY DC MEMBERS HEGAHDING DESIGNATED INDUSTRY BUSINESS VISITS OR CONTACTS. a) BRE Breakfast RSVP - R VP's given by IDC members were Jones Mfg, 2; Tapper's, 2; Sunny Fresh, 1 maybe 2; H- Window, 1; Electro, 2; ~ mmele, 1; Automatic Garage, 1; Tire Service Mfg, 1; Bri ge Water, 1; and M&P Transport, 1. No attendance were f om Clow Stamping, Hoglund Bus, and Rainbow. Yet to be determined are FSI; Fingerhut; NSP Nuclear, Training, 8' d Service Center; Bondhus; ABK Inc.; Hoglund Transport tion; Dahlheimers; and Monti Ready-Mix. The program ill consist of John Simola Page 3 . . . IDC MINUTES 4-16--92 (recycling) and Jeff 'Neill (BC Land Use Map and Ordinance). The IDC sug ested an introduction of County Assessor Gruber, only, to eliminate a potential lengthy property tax discussi n. Koropchak suggested we encourage businesses t tell about themselves if so desired. b) Visits or contacts - Don Smith reported on his two hour lunch with Sunny Fresh. His experience indicated if a company is given the pportuni ty to talk, they are willing to share. Upon Countney Allen's retirement in three months, Jerry Rose has been named General Manager of Sunny Fresh. He is a if teen year employee of Cargill and has been at the Mon icello facility the past three years. The company plans an open house and tour of the renovated old creamery which will house research, conference, and rece tion areas. The company complimented Mayor Maus 01 the positive strives developed between the city and th company in the areas of site utilization, sewer, and t e fire department. The company being landlocked has d veloped a cooperative parking arrangement with the Methodist Church and utilizes the railroad right-of-way. ohn McVay informed IDC members that in Albany permissio was granted to Kraft, Inc. to bui ld wi thin five feet of the rai lway. Mayor Maus mentioned JM Oil, Jeff ichaelis, and city staff have looked at the potential to relocate the petroleum bulk dealers to the industria park and the IDC acknowledged the Methodist Church's interest to relocate, all of which, could provide alte native options for Sunny Fresh. A meeting of all parties was enco1lraged. Steve Lemme said that at the company will revi potential to expand next on production levels dur September and this fall. board meeting, and discuss the company's ear. He said a lot will depend ng the months of July, August, 6. CONSIDERATION OF FARM CREDIT' PLANS FOR A LAND SALE AUCTION. Korapchak informed the IDe of off the industrial land by see a land sale auction contract the City was interested in p Maus reported on the Council's Page Farm Credit's plan to auction ions. Their plans are to have n place by June I and asked if rchasing the property. Mayor previous decision which was not . . . IDC MINUTES 4-16-92 to become land developers an further stated with the recent rezone and ordinance amendment, the city can control the land use. The city may be interes ed in the northerly portion for future development of a holdi,g pond. Koropchak expressed her concern for available indus rial property at a reasonable price as Oakwood has limit d space, Hoglund not eager to develop, and Lauring Hills 1 S8 attractive because of price and the current transporta ion route. Many communi ties develop private/public par nerships to assist with the infrastructure installation. The IDC saw this as a role of the Housing and Redevelopmen Authority. 7. OTHER BUSINESS. a) Banquet speaker update - Koropchak contacted Marn FLicker who has spoke to his cousin, Jack Grundhot'er, CEO of First Banks Systems, In ., as the potential IDC banquet speaker. Grundhofer responded favorably if his calendar permits, Marn will be c ntacting Grundhofer's secretary for confirmation. b) Chamber meeting this no n at the American Legion. 8. ADJOURNMENT. The IDC meeting adjourned at 8:15 AM. ~~ SJ~ '< 6) (S Ollie Koropchak, IDC ecutive Se retary Page 5 . . . IDC SUBCOM ITTEES PROSPECT COMMITTEE: HOST OR VISIT NDUSTRIAL PROSPECTS. Shelley Johnson, Ron Hoglund, Arve Grimsmo, Harvey Kendall, and Ken Maus. MARKETING COMMITTEE: ADVERTISI G, VIDEO, BROCHURE, DATA, LABOR SURVEY, A D NEWSLETTER. Don Smith, Dave Peterson, Mar Micke, John McVay, and Merrlyn Seefeldt. ZONING ORDINANCE, PROPERTY TAXES, INDUSTRIA PROPERTY AND INFRASTRUCTURE, WIS HOOK P AND RATES, METRO PHONE, ATTITUDE COMMUNICATION SKILLS, RECYCLING, PERMIT FEES AND BREAKFAST. BRE COMMITTEE (LOCAL): John McVay, Jay Morrell, D nnis Taylor, Ken Maus, Linda Mielke, Tom Pogatchnik, Kevin Doty, Steve Lemme, and Merrlyn Seefeldt. BRE COMMITTEE (STATE): WORKMEN'S COMPENSATION, TAXES, INSURANCE. Chamber Legislative Affairs C mmittee: Ollie Koropchak, Cyndie Johnson, and Candy Benoit. FINANCIAL COMMITTEE: BUDGET, FINANCIAL INCENTIVES, BANQUET. Shelley Johnson, Ron Hoglun , Harvey Kendall, and Lowell Schrupp. . . . MONTICELLO INDUSTRIAL EVELOPMENT COMMITTEE BUSINESS RETENTION AN EXPANSION BREAKFAST Thursday, April 23, 1992 - 7:30 AM Riverwood Conf rence Center GUESTS: Jerry Schoen - Aroplax Paul Schoen - Aroplax Bill Coleman - Minnesot Trade an orporation orporation Department of Economic Development Dale Lungwitz - Charter Doug Gruber - Wright C unty Assessor Ken Maus - Honorable Ma PROGRAM: Retired Member of the IDC Monticello Welcome ------------------------ Johnson, IDC Chairperson Introduction of Guests --------- Johnson, roc Chairperson Self-Introductions ---------- Ind strial Business Representatives Recycling Issues ---------------John Simola, Public Works Director Industry Reports --------- Open fo Industries to Tell Their Story Business Campus/Light Industrial L nd Use Maps/Ordinance --------- Jeff O'Neill Other Questions: Metro Phone, Indu trial Tours ---------------Open Wrap-up ------------ Ollie Koropch k, Economic Development Director Jones Mfg---------------- Ed and NSP Training ------------ Larry N AME Ready Mix ----------- Dick Ma The H-Window ------------ Steve L Automatic Garage Door --- ? Sunny Fresh ------------- ? NSP Nuclear ------------- Doug Antony and ? The Tire Ser Equ Mfg ---- Ray Sch idt Tapper's Inc ------------ Bill an Barb Tapper Remmele Eng ------------- Joe LaV lIe Bridge Water ------------ Bob Rierson Electro Industries ------ Merrily Seefeldt* and? M & P Transports -------- Jay Morrell * Dahlheimer Distr -------- Greg Da Iheimer Hoglund Bus Company ----- Gordon a d Jeanine Hoglund Brad Theisen ------------ Chamber Board Peg Hanawalt ------------ Chamber oard IDC Members City Administrative Staff * IDC Member Jones . BRE- IDC B AS'!' SUMMARY '01" ~ S tI\ .. RlVERNOOD COKFERENCE COST - $291. 9 (46) \~~.~ IRDUSTRY .Jones Mfg IISP Training H-Window Sunny Fresh XSP Nuclear The Tire Ser Mfg Genereux Fine Wood Products Re_ele Engineering Bridge Water Electro Industries M & P Transport Dahlhei.er Hoglund Transportation TOTAL 13 C. C\ ") . GUEST :Jerry and Paul Schoen, Aroplax Bill Coleaan, MTKD Dale Lungwitz, Charter and Retir TOTAL 4 tL( ) IDC MEMBERS TOTAL 13 (absent :Ken Maus, To. P CITY STAFF TOTAL 5 $ CHAMBER BOARD TOTAL 2 l b') TOTAL IX A:rrd.tJARCE 41 "S . REPRESDTATlVE(S) :John :Jones Larry Ifolan Steve Le.-e :Joe Caapbell and :Jerry Rose Doug Antony Ray Scbaidt Bill and Barb Tapper :Joe LaValle Bob Rierson Merrlyn Seefeldt and :Jon Zillaer :Jay Morrell Greg Dahlheiaer Gordon and :Jeanine Hoglund rOTAL 17 \").. IDe Neaber tchnik:, and Dave Peterson) \1.... . . . IImUSTRIES Ror IR ArrElIDAlICE FSI Fingerhut Rainbow Enterprises ? AME Ready Nix 1 Clow Staaping no Bondhus Autoaatic Garage 1 ABIC. Inc. .SP Service Center Hoglund Bus Cmapany (Wayne Hogl no) SMA Elevator no TOTAL 11 IDC MEMBERS Ken Mans Dave Peterson (no) To. Pogatchnik (?) OTHERS Doug Gruber. County Assessor Doug Revinski. RSP Ruclear