IDC Agenda 04-18-1991
.
.
.
AGEND
MONTICELLO INDUSTRIAL D VELOPMENT COMMITTEE
Thursday, April 18" 1991 - 7: 00 AM
City Hll
MEMBERS: Chairperson Shelley Joh son, Don Smith, Ron Hoglund,
Lowell Schrupp, Arve Grimmo, Dale Lungwitz, Jay Morrell,
Harvey Kendall, Ken Maus~ Dave Peterson, Dennis Taylor,
Tom Pogatchnik, Linda Mie ke, John McVay, Bob Dawson, and
Candy Benoit.
STAFF: Rick Wolfsteller, Jeff 0'Neil1, and Ollie Koropchak.
1. Call To Order.
2. Approval bf the March 21, 199 IDC Minutes.
3.
Consideration of prospects:
a) Aroplax Corporation
b) Dennis Pomerleau
c) Towle Real Estate (Maid 0 Scandinavia)
d) Olson Concrete of Minneap lis
e) Shingobee, Inc.
f) Fulfillment Systems, Inc.
g) Walmart Distribution Cent r
h) Enviro Acoustics
4. Consideration to Discuss Agen as and Meeting Dates for the
Governmental Units Meeting an IDC/Industrial Breakfast.
5. Consideration of Update on 1D Goal Activities:
a) Newsletter
b) Housing Development Repor
c) Star City Conference
6. Other Business.
7. Adjournment.
CHAMBER OF COMMERCE MEETING, TODAY, 11:50 AM, AMERICAN LEGION CLUB,
SPEAKER: KARLA HEATER, CREATIVE AYS TO RECOGNIZE SECRETARY'S
MONTH.
.
.
.
MINUTElS
MONTICELLO INDUSTRIAL 0 ,VELOPMENT COMMITTEE
Thursday, March 21, I 1991 - 7: 00 AM
City H 11
MEMBERS PRESENT:
Chairperson Sh Johnson, Don smith, Dennis
Taylor, Bob awson, Lowell Schrupp, Arve
Grimsmo, John I McVay, Dave Peterson, Dale
Lungwitz, Tom ogatchnik, and Linda Mielke.
MEMBERS ABSENT:
Ken Maus, Ron Hoglund, Harvey Kendall, Jay
Morrell, and C ndy Benoit.
STAFF PRESENT:
Ollie Koropcha .
STAFF ABSENT:
Rick Wolfstell r and Jeff O'Neill.
1. CALL TO ORDER.
Chairperson Johnson called the IDC meeting to order at 7:00
AM.
2.
APPROVAL OF THE FEBRUARY 21
991 IDC MINUTES.
Don Smith made a motion to ap rove the February 21, 1991 IDC
minutes, seconded by Arve Grimsmo, and without further
discussion the minutes were a proved as written.
3.
CONSIDERATION TO REVIEW RESEA CHED INFORMATION:
a) Community Profile Compari ons - As per request of the IDC
at their February meeting, oropchak presented the members
wi th a comparative study of the communi ties of Big Lake,
Buffalo, Elk River, Fariba It, Melrose, Monticello, New
Brighton, Owattona, and St. Cloud. The communi ties were
compared in the catagories f city budget, annual average
unemployment rate, tax rate, and occupation median wage per
hour. The IDC noted that wai es in Monticello were somewhat
higher compared to those of other communi ties. Koropchak
added the wages did not inc' ude the NSP Nuclear Plant and
wages vary from year to ear depending on which local
industrial businesses comple e the wage salary information in
the BRE survey.
b) Industrial Site compari! ons - This study included the
communities listed above a d compared the availablity of
industrial acres, the serviaes provided within those acres,
and listed the owners. Wi 'h the information provided, it
appears Monticello has an adequate amount of available
industrial acres platted or nplatted to meet our prospect's
inquiry.
.
IDC MINUTES
3-21-1991
c) Monticello Available ndustria1 Sites Koropchak
presented the IDC with ov rhead maps of the available
Monticello industrial acres wh ch outlined the availability or
accessibility of water, sanita y sewer, storm sewer, and roads
to the individual parcels. Al though, it appears in the
previous information that Mont'cello has an adequate amount of
available industrial acres latted or unplatted; the IDC
recognizes that some of the nplatted property (Hoglund or
Farm Credit), currently, is n t that accessible for purchase
and maybe time consuming to btain and to develop within a
prospect's time frame. If t e current trend of industrial
development continues the I C sees a potential lack of
available industrial land fo immediate development and to
market. Koropchak further eported that Jeff 0' Neill is
currently working with Dahlgr n, Shardlow, & Uban to develop
a strategic plan for industri I land use.
.
d) Champlin Development Park Funding - Koropchak reported in
a conversation with the Cham lin Mayor, the park land was
donated to the city who forgave the assessments of
approximately fifty cents er square foot against the
property. Sewer was in pI ce to a point and the City
completed the public improv ments (sewer, water, curb &
gutter, and roads) which were aid for through pooling monies
from existing TIF Districts. Today, the city markets the
parcels (approximately one-ha' f acres) at $1.50 to $3.00 per
square foot subject to frontage location and market demand.
Comparatively a Monticello in ustrial five acre plus parcel
will market for approximately thirty cents per square foot.
4.
CONSIDERATION TO ACKNOWLEDGE STAR CITY RECERTIFICATION AND
SUMMARY OF THE BRE SURVEYS.
.
Koropchak reported that Monti ello was recertified as a Star
City for 1991 by the Depa tment of Trade and Economic
Developement with completion nd submittal of the 1990 Annual
Economic Development Acti ,ity Report, 1991 Economic
Development Work Plan, Economi Development Assessment Sheets,
Updated Community Profile, B E Visits and Surveys, and the
Peer Networking Community C mments. The members briefly
discussed the merits of St r City and its benefits in
comparison to the work (time) invested in the program. The
members agreed the program povided networking, educational
opportuni ties, provides an, inside track to redirect
objectives, forces one to be accountable for yearly stated
objectives, and provides real'value and assessibility of our
industrial businesses with th IDC members as part of the BRE
visitations. Koropchak reported Mr. Harry Rosefeldt was no
longer with the department.
.
IDC MINUTES
3-21-1991
Koropchak earmarked the summar of the BRE survey as prepared
by the MTED and completed y fifteen of our twenty-one
Monticello industries.
I) Employment represented by surveyed firms has increased
9.0 percent since last year. (Of twenty-one firms the
increase has been approximate y 20%.)
2) Factors viewed as most favorable included land, quality of
life, and labor availability.. Unfavorable factors reported
were imposed costs, permit pr cesses, and state taxes.
3) Companies were most satisf ed with the following community
services/facilities: roads, emergency medical, and
electric/gas utilities and r ported the most problems with
solid waste, sewer, and water.
4) Eighty-seven percent of co
the next two years.
plan to add employees in
.
5) Asked if they intended to elocate outside the community,
no company indicated plans to move.
Koropchak noted that specific ssues of the survey and request
from the visits need to be eva uated and implemented into the
IDe objectives and marketing trategies.
5.
CONSIDERATION OF PROSPECTS:
a) Aroplax - the forty yea old family plastic injection
molding company plans to construct a 22,400 square foot
concrete facility in the Oakw od Industrial Park. The first
floor production and tool are will consist of 16,200 sq ft
and an office mezzanine of 3,2 0 sq ft. BDS, Inc. expects the
SBA application to be Bubmi t ed to the Board in May. The
company has not secured a Ian purchase agreement or provided
BDS with construction costs. Plans are to use TIF and the
GMEF. Paul Schoen expressed he courtesy and easy of working
with the city staff. It was suggested for the IDC to meet
wi th Mr. Jerry Schoen inor er for him to become better
acquainted with the community date convenient to Mr. schoen.
.
b) Shingobee, Inc. - the TIF/SPEC Building Proposal criteria
modifications for approval b the HRA has been delayed from
March 6, to March 20, to April 3 because Mr. Pelstring has not
received actual construction c st numbers from Shingobee, this
needed for Mr. Pelstring to omplete final analysis for the
use of TIF and thereafter preparation of the TIF Plan.
Building and Site Plans have been received by the Building
Inspector and the City Engin er for review. A copy of the
.
IDC MINUTES
3-21-1991
Joint Venture Agreement has b en sent to Mr. Paul Weingarden,
newly appointed City Attorne , for review.
c) Towle Real Estate - Re Estate Agent Peter Rand has
inquired of the availabili t of a 45,000 to 65,000 sq ft
concrete facility which may be in foreclosure or the
availability of approximate y eight acres of free land
(without use of TIF). The co pany would employ 100 people of
which 75 would be new emplo ment. The company is Maid of
Scandinavia which is pres en ly located at Highway 100 and
Highway 7. The facility .would consist of office and
distribution (catalog mail o~ er) space with the possibility
of a small amount of retail space in a different location.
Koropchak explained the posit ve use of TIF (how the city has
used TIF in the past to assi t companies with write down of
land cost and sometimes site improvements) and the possible
myths some businesses may a sociate with the use of TIF.
Koropchak encouraged the comp ny to look at available sites in
Monticello and to meet with Mr. Pelstring and herself to
further explain the use of TI .
.
d) Others - Ray Schmidt of The Tire Service Equipment Mfg
Company reported all is goin well, business down a little
with research development up. They enjoy their location and
facility in Monticello.
Remmele Engineering plans to place footings in the ground this
fall for an anticipated sprin expansion.
onth in cabinet production but
ell. They hope to make final
ontractor soon.
The Tapper's report a slower
the hardware portion going
close out with their general
Kromer's the company which produces spray equipment for
painting or fertilizing is in erested in our TIF/SPEC Plan.
.
Don Smith reported on The H-W ndow Company stating the recent
addition of another four to s x employees due to the increase
of door production. With the ompany having turned the corner
under new management and with the reorganization of ownership
(now three of the original .ive owners). The company has
expanded their markets to the I ast and west coasts and an area
of Canada. The Board members. ill meet in May and discuss the
future of The H-Window in Mo ticello and the US. They will
consider Monticello incentiv s as well as their impact to
Monticello and the state. The company holds 43% of the
Scandinavia market where in the US market the company was
completely foreign.
.
.
.
IDC MINUTES
3-21-1991
6. OTHER BUSINESS.
The IDC members were reminded f the Chamber meeting at 11:50
AM at the American Legion.
7. ADJOURNMENT.
The IDC meeting adjourned at! 8:20 AM by consensus of its
members.
~\
Ollie Koropchak,
~
... ~,~
{:J
,.
.ml~
...J to ,... to V V I"- ~I ,"" <f.
~ to l"- V Ll) 0 (t) v m
(t) N (t) (0 (t) (0 m ,...
0 ,...
I-
~I Ll) ,... N Ll) m to ~I 'N 3-
N N N co (t) v l"- Ll)
,... ,...
0 <f.
Q) ~I v I"- ,... t:! <<> ,... ~I iN
m N N (t) V Ll) ;0 N
,... iN ,...
I
0 "S-
a> ~I m m a> a> a> a> ~I
m N N (t) a> V Ll) (t)
,... ,...
0
w !/ a> a> V m ~I <f.
::> ,... ,...
(t) (t) (t) N (t) <<> Ll)
CJ) ,... ,...
~
~ ~I V (t) <<> a> ~ ~ ~I :::f
0
CO ,... (t) m to
::E N
a: :::f
w .... ~I IX) (t) V N N ,... ~I 0
0- eu V (t) (t) Ll) N IX) Ll)
...J ~ N
<
i= ~I (t) V IX) l"- I"- ~I :::f
,... 0
. Z (t) N N (t) N Ll) (t)
W N
0
m ~I to <f.
w 0 (t) CO N <<> ~I
a: N (t) Ll) (t) N Ll) <<>
,...
~
~ ~I (t) ,... ,... <<> (t) ~ :51 <f.
if ,... N (t) ,... ,... V
,...
W
...J :::f
~ ~I 0 Ll) N C\J (t) Ll) [;)1 0
z (t) N N C\J ,... Ll) ?"-
m N
~I (0 I"- 0 a) C\J (t) RI <f-
(t) ,... N (t) ,... Ll) m
C\J
c. (j)
:E .9- ...J
a. <
.Q l/J ..c c. I- .Q
:i: Qi 0) e: l/J .- 0 "8 a; -
CJ) .:M: ~ e:..c (j) - 0)
.2 tIS 0 ;: ~ I- 0 .....
z E ...J I- 0 ~ ...J 0.. ',Q I- eu
~ 01- < e: ..c
0 C) 0 I- ::c 0 - CJ)
0
:E i:D =0)1- 0 (j) :E -
O).:M: -
..... l- e: 0)
- - ,~ tIS 0) Z .:M:
0 0 -...J..::.: ~ S: 0 0) .....
>, >, 5 Cl 0 >,0 eu
- - 0 .':: Q; ~
C3 C30 :Ei:D~ () I- oa. -
..
..
0
-
-
V
c.>
.....
.....,
~
0
Cf.) ;:g
""C
c: <J
G)
.....
I- m
-
ctl tt1
....., v .....,
.- l-< 0 0
E -< Oi E-<
0 Oi A.
. .....
..... - I .....
- ..c:
G) v 0 m
c.> CO ~
a.. .....
....., Oi ~
!::: ..... 0
C) 0 E-<
;:g
c:
.- <>
""C
-
.-
::I -
tt1
OJ .....,
0
.....,
>.
....,
.....
u
+
00000 000 0 000
..... 0 Oi ro ~ ~ ~ ~ M N ~ 0
N N ..... ..... ~ ..... ..... ~ ..... ..... ..... ~
o 0 0 0 0 0 0 0
ro ~ 1..0 ~ '<1< M N .....
.
samoIl p:q 0 .
.
VOLUME 1 NUMBER 4
NHnnesota sets work program for in-st
high-speed rail study
Minnesota's In-State Steering
Committee met with TMS/Benesch
consultants to finalize a detailed
work program for a possible high-
speed rail network within the state
that would connect with proposed
service between Minneapolis/St.
Paul and Chicago.
With a preliminary draft due in May,
the study includes five corridors:
I
I
I
..
i
"\
.I
APRIL 1991
Tri.state study
in final review
The Tri-State High-Speed Rail
Study (Twin Cities to Chicago via
Milwaukee) is in its final technical
review.
Duluth, Mankato, R chester, St.
Cloud and Winona 0 the Twin
Cities.
Five high-speed ra I technologies
under consideratio are: DMU
(diesel multiple uni ), HST (British),
ABB (Swedish tilt), GV (French)
and Maglev (magn tic levitation).
TMS/Benesch is a alyzing the
results of an origin estination
survey and of a tra el inventory
behaviorial survey 0 identify travel
and ridership patt ns to help
assess feasibility 0 fast train
service within Mi nesota.
Minnesota I n-Statei
Rail Study Network
!v\ankato
PrD~o~ed Tri-State
-_...'~. '_i:,):-,~:.:.""up,.-; R""',I
, '. -._' ~,t.... L ,_.....~ j U
Twin Cities
\~
" .
\ Wmona
.........
Rochester...... la rosse
After reviewing the study, policy-
makers from Minnesota, Illinois
and Wisconsin will offer recom-
mendations about the future of
high-speed rail in the Twin Cities
to Chicago corridor.
.:. .:. .:. .:.
Fast.train studies on
track worldwide
Portugal and Spain agreed to
develop a high-speed rail plan
to link Lisbon and Oporto with
Madrid.
Washington, Georgia and
Arizona are looking at the con-
struction of wayports (airports
away from metro areas). Super-
speed magnetic levitation rail
systems would then connect the
airports with major cities.
Texas High-Speed Rail Authority
is analyzing proposals from
firms seeking a fast train fran-
chise. Six firms are ready to
submit proposals for a
Dallas/Fort Worth, Houston, San
Antonio and Austin high-speed
rail system.
Two international consortiums
also appear interested in partic-
ipating in this high-speed rail
project. One consortium pro-
motes using Germany's ICE
technology and the other favors
France's TGV technology.
I
I
I
\ funding, teglslat on Roundup
e. -..... t .
.)(;utll'e (;1 LWrQr:1l;l vo ers, since
1980, have approved railway
bond and tax measures yielding
more than $5 billion. Funded are
commuter, urban rail and Amtrak
service improvements as well as
special projects and other new
and extended services.
Florida High-Spe'iO'd Rail Corpor-
ation' (FHSRC) hoped to con-
struct and operate a $3.5 billion
high-speed rail network pro-
posed by the state of Florida.
FHSRC planned to finance the
network through a combination
of real estate development
rights and revenues as the basis
for issuing bonds to construct
the railway. The recent eco-
nomic slump, however, makes
the Florida real estate market a
poor source of funding.
4.Jggested financing alterna-
es include public support
rough surtaxes on gasoline
and vehicle licenses. Gov.
Lawton Chiles opposes these
proposals.
The Florida Legislat re will be
asked to finance th train, but
this will not be an e sy sell.
Florida faces a $1 illion budget
deficit, putting high speed rail in
competition for environmental,
health and social s rvice
dollars.
Florida may choos
system in segment
watches to see ho
meets this funding.
to build the
. The nation
Florida
High-speed rail pro onents sug-
gest the federal go ernment's
role could include aking grade
crossing replacem nt funds
available for fast tr in projects.
Both motorists and pedestrians
as well as the railr ad compa-
nies would benefit.
The federal gover ment also
could declare the lorida project
an exception to th restrictions
on the amount of t x-free indus-
trial revenue bond. a state may
issue. Proponents emphasize
the project's publi benefits-
~" \tltlE'30~ ~
1J ,0
)> f-
'" '"
..\ ,...
~ ~ 6t
(,!;;- "?{
o~ \~~'\"
Minnesota Department of Transportation
Office of Railroads and Waterways
Transportation Bldg., 395 John Ireland Blvd.
St. Paul, MN 55155
(612) 296-1611
.
Ajjie KOl'opaluk
'''''0 E E
i.C' I. -:l'oad way
Monticello, MH 55:.62
improved transportation and
controlled city growth manage-
ment.
Ohio Railway Organization-a
private consortium of banking,
engineering and financial con-
sulting concerns-will fund a
$1.5 million study to plan the
development of a $2 billion high-
speed rail system linking
Cincinnati, Columbus and
Cleveland. The consortium has.
12 months to submit to the state
a plan outlining the route, tech-
nology and funding for the pro-
posed system.
The Ohio Legislature created the
Ohio High-Speed Rail Authority
in 1986 to plan, construct and
operate a statewide system. The
Ohio Railway Organization was
then selected to finance, design,
construct and operate Ohio's
intercity high-speed rail system.
. ."\
...' "". ":.
U.S. Postage
_ PAID
_'~;:::flrs~ Class
" ._ ii.; :~.: ~G~t~~.~~1
/ ,,' }'ii - .g~155
~" _"~~'_'~- '.:'i~,?;'=~
! .
_,1~l j ~ '~\
. .'or: I fII\
'j I:;;~;;';:.:i- .......__.~___v,_........-.i,