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IDC Minutes 11-21-1989 . MINUTES MONTICELLO INDUSTRIAL DEVE OPMENT COMMITTEE Tuesday, November 21, 1989 - 7:00 AM City Hall MEMBERS PRESENT: Chairperson She ley Johnson, Don Smith, Jay Morrell, Dennisl Taylor, Lowell Schrupp, Arve Grimsmo, Linda ielke, Harvey Kendall, Ken Maus, Dale Lungwitz, on Hoglund, Rick Wolfstel1er, and Ollie Korop hak. MEMBERS ABSENT: Dave Peterson, ale Pogatchnik, and John McVay. 1. CALL TO ORDER. Chairperson Shelley Johnson aIled the IDC meeting to order at 7:00 AM. 2. APPROVAL OF THE OCTOBER 19, 989 IDC MINUTES. . Corrections or additions to Ken Maus was not present at referred to his opinion that Engineering was not smooth m perspective. Don Smith made minutes with the above named Ron Hoglund, the minutes wer 3. WELCOME OF NEW IDC MEMBER: he October 19th minutes were he meeting and Don Smith the presentation to Remmele ant from a graphical a motion to approve the October corrections, seconded by approved as corrected. OHN MCVAY. John McVay having a previous commitment with a client outside of the area was unab e to attend the IDC meeting. 4. CONSIDERATION OF PROSPECTS: a. Remmele Engineering - co comparisons between the and Monticello. Remmele another location than Bi because of the concern 0 or trucking onto Highway biggest edge on Montice1 metro phones. John McVa with Remmele on comparat Minnesota and the indust offered by NSP. Koropch property taxes between E prepared building fees, suggested to be waived 0 Monticello's industrial to Interstate 94 are a p . b. tinues to research the ommunities of Elk River s desire to expand in Lake Township is safety for employees 10. Elk River's o is the availablity of continues to work ve electrical rates within ial reduction rate programs k has prepared comparative 'k River and Monticello, ook-up fees which are written into TIF plan. ites with easy access Genereux - is also conti their research for a site relocation betwee St. Michael area and Monticello. Decision to be made within the next IDC . 4. CONTINUED. IDC Minutes - 11/21/89 Page 2 b. few months. Bill and Ba, b Tapper attended the IDC in October which may ind cate an interest in Monticello. c. Cardinal IG - Koropchak repared information on the TIF pay-as-you-go option wit a carry through for a lease reduction per square foot on an approximate 130,000 square foot building. 0 contractors were contacted for construction of a b~ild-to-lease option: Winkelman Building Corporation and Peterson Assoicates. In the first quarter of the ye r, Cardinal's Board of Directors will make a decision on whether to expand or relocate their West Lake - d. Bridge Water Telephone prepare a financial pro to consider relocating from West County Road 3 to better conform with Anderson is to prepare sq ft structure in acco e. Andersen Corporation - on a lead that Andersen their operation. I con possible inside contact name of the President. plans to expand at thei . ompany - Koropchak is to osal to encourage Bridge Water heir service storage building into the industrial park he City Ordinance. Gary layout of the 12,000 dance with City Ordinance. oropchak followed through Corporation was expanding acted Mr. Lizardo for a person and was given the Andersen Corporation only Bayport location. f. Bondhus Corporation - K vin Doty, Lois Payne, and Koropchak worked on a r volving loan fund for Bondhus' expansion of a heating ,urnace and the addition to house the furnace. All was placed in order, until Lois informed us that t e Board of Directors advised John Bondhus to give no personal guarantees and collateral was reduced 0 not meet GMEF guidelines. Mr. John Ingve, Arve Gr"msmo, Ken Maus and myself met and reviewed the GM' F guidelines and policies. Mr. Ingve, Chairman of he Bondhus Board of Directors, advised John Bondhus no! to give personal guarantees because of the strength of the company compared to the small amount of the loan. Mr. Ingve understood the policy from the per eption of City loaned dollars. It was Mr. Ingve' s deci, ion that the GMEF was not applicable for this Bon hus' project, however, maybe in the future. g. Cargill - based on a leiad, Koropchak contacted Mr. Mike Westphal who has oved to Monticello to research a site location for a seed mill (corn meal and sweetner). Mr. Westphal was not at liberty to discuss details until after the first of the year. Chairperson Johnson informed the IDe that "t would be a relocation from Belegrade which employed 16-20 people and they were . IDC Minutes - 11/21/89 Page 3 . 4. CONTINUED. g. looking at sites east of St. Cloud, Elk River and Monticello areas. h. K-Mart - Rick Wo1fste11e reported that K-Mart is in the process of obtaining financing for the portion of the new structure rat er than their first plan to refinance the existi~ mall plus the new addition. The City Council has coq erated in this manner by approving a subdivision 'dividing the property line at the existing wall with no setbacks. No word has ever been received hat K-Mart is not coming, plans are for a spring onstruction. Storm sewer, site ponding, and stree' feasibility studies are being completed which m y alter the TIF plan or level of assistance. i. Sunny Fresh, Inc. - Ma that the City recently for a strong disposal i almost killed the bacte Plant. NSP may also be Sunny Frssh is under ne been very cooperative w the IDC that Rick Wolf and herself had rece production/management program. or Ken Maus advised the IDC eavi1y fined Sunny Fresh to the sewage system which ia at the Water Treatment a contributing factor. management and has not th the City. Koropchak informed teller, Linda Mielke, Bob Voecks, t1y attended Sunny Fresh's a1ity control kick-off . Koropchak informed the IDC that a cover letter and Part I of the Business Retention Survey was mailed to seventeen industrial businesses in M ntice110 and asked for IDC volunteers to accompan her on the plant visit to complete Part II of the su vey. 5. CONSIDERATION OF THE BUSINE, S RETENTION SURVEY VISITS. Monday, November 27 10:00 arson Manufacturing - Bud Schrupp 11:15 & P Transports - Tuesday, November 28 10:00 Electro Industries - Ron Hoglund 1:30 NSP - Linda Mielke 3:00 NAWCO - Ken Maus Wednesday, November 29 10: 0 Automatic Garage Door 8: 0 Rainbow Enterprises - Ken Maus 1: 0 WEB Precision Machining - Shelley Johnson Thursday, November 30 9:00 FSI Don Smith 10:00 Clow Stamping Harvey Kendall 1:30, Bondhus Corporation - Ken Maus Friday, December 1 8:00 Su ny Fresh - . _I IDC Minutes - 11/21/89 Page 4 . 6. CONSIDERATION OF AN UPDATE 0 THE EAS PETITION. Koropchak informed the IDC t. at the EAS petition was mailed to the Public Utiliti s Commission, the Bridge Water Telephone Company, and Northwestern Bell. The I telephone companies have 30 ays to contest the petition which is highly unlikely bec use all petition signatures were validated for duplicate! and existing numbers on software at the Bridgewater, elephone Company. 7. CONSIDERATION OF AN UPDATE 0 THE AIRPORT ISSUE. Chairperson Johnson informed the IDC that Mr. Bob Voecks and his son are interested ~ the future of the existing airport. Bill, his son, is conducting a survey of business and residents interest to establish a need to upgrade the current faciity. The data collected is part of a class project t the Aviation School, University of North Dakota. Lee Hurd at Busch Travel is interested in expanding he airport. . Koropchak reported a decrea e in ticket sales this year. Suggestions to evaluate for the future are ticket price, quality of speaker, maybe t me for something new. Koropchak will prepare a fi ancial report on the banquet. 8. CONSIDERATION TO EVALUATE T E 9. CONSIDERATION TO UPDATE THE MARKETING PROGRAM PROGRESS. Koropchak reported that the which was targeted for pres not complete because the sp Henning & Associates wasn't staff received three pages will immediately work on it preliminary hard copy print ntation in November was cific data required by complete. The city f requested data. Staff 10. OTHER BUSINESS. . The IDC further discussed ti e K-Mart issue, Arve Grimsmo recalling a statement by Mr. Dalhgren, City Planners, " a healthy mall is a hea1t y downtown". Mayor Maus expressed that the communit will have the retail/commerica1 businesses when the community can support it. Harvey Kendall expressed that a CQ unity our size does not always have this opportuni~y. Don Smith expressed his view that we are in a busi ess world change and Monticello is in the midd1 of it: vacant buildings, larger businesses expandin as they are strong. vital, aggressive, and growing. heir need is for larger square footage buildings w ich we don't have. In reality we may have larger square footage and less owners and also maybe reas n for a decrease in IDC banquet ticket sales. The IDC agreed that their focus . 10. CONTINUED. IDC MINUTES - 11/21/89 Page 5 would continue on industria recruitment and retention. however. do support the ret i1/commerica1 sector. Dale Lungwits reported he w u1d have more information on the Titan Recreational P oducts project next month. 11. ADJOURNMENT. The IDC meeting adjourned ~ \<tf\..L~~S~_~ Ollie Koropchak IDC Executive Secretary . . 8:10AM.