IDC Agenda 12-03-2002AGENDA
• MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Tuesday, December 3, 2002 - 7:00 a. m.
Academy Room - 505 Walnut Street
MEMBERS: Chair Dick Van Allen, Vice Chair Mary Barger, Kevin Doty, Tom Lindquist, Bill
Tapper, Tom Ollig, Don Roberts, Mike Benedetto, Susie Wojchouski, Barb Schwientek,
Dan Olson, and Kelli Huxford.
COUNCIL LIAISON: Mayor Roger Belsaas.
STAFF: Rick Wolfsteller, Jeff O'Neill, John Simola, Fred Patch, and Ollie Koropchak.
IDC MISSION STATEMENT: To maintain and increase the industrial tax base and to
create jobs in the City of Monticello, Minnesota.
7:00 a.m. 1. Call to Order. (Please read the minutes and information prior to the meeting.)
7:02 2. Vote to approve the Nove-~ber 5, 2002 [DC minutes.
7:06 3. Updates by Mayor Belsaas and O'Neill.
a) Annexation hearing and ruling.
b) Status of the Council recommendation to establish a task force for
implementation of the Comp Plan.
7:20 4. Discussion on and to continue development of a list of potential tasks to
accomplish the goal of the IDC: To provide a continuous stream of available
industrial land with infrastructure potential.
a) Update on the formation of a subcommittee to complete the Business Park
Development 101 Exercise.
b) Review the draft copy of the December 3, 2002 Planning Commission
Agenda for industrial related items. Discuss and vote on an !DC position or
action if necessary.
c) Follow-up on IDC request for HRA to restate use of committed funds and
d--aft a letter to city staff, City Council, and Planning Commission.
d) Review current list of tasks established to accomplish the goal of the [DC.
8:00 5. Request by the IDC Membership Subcommittee of names for membership and
IDC officers.
8:10 6. Reports:
BRE Scheduled Visits - Bondhus Corporation (Olson/Koropchak)
Economic Development Report -Koropchak.
8:29 7. Other Business.
8:30 8. Adjournment.
•
• MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Tuesday, November 5, 2002 - 7:00 a. m.
Chamber of Commerce Office, Broadway and Pine Street
MEMBERS PRESENT: Chair Dick Van Allen, Vice Chair Mary Barger, Tom Lindquist, Bill
Tapper, Mike Benedetto, Susie Wojchouski, Barb Schwientek, Dan
Olson, and Kelli Huxford.
MEMBERS ABSENT: Kevin Doty, Tom Ollig, and Don Roberts.
COUNCIL LIAISON ABSENT: Mayor Roger Belsaas.
STAFF PRESENT: Jeff O'Neill and Ollie Koropchak.
IDC MISSION STATEMENT: To maintain and increase the industrial tax base and to
create jobs in the City of Monticello, Minnesota.
Call to Order. (Please read the minutes and information prior to the meeting.)
Chair Van Allen called the IDC meeting to order at 7:05 a.m.
2. Vote to approve the October 17, 2002 IDC minutes.
Sarsie Wojchonski made a motion to approve the October 17, 2002 IDC r~~in~tes. Seconded b_v
Tom Lindquist and with no additions or corrections, the minutes were approved as written.
Updates by Mayor Belsaas and O'Neill.
a) Annexation hearing and ruling. O'Neill infor-ned the IDC that the City is awaiting annexation
ruling from the judge. The deadline date is December 1, 2002. He felt the judge is obligated to
the deadline date; however, the ruling can be appealed. According to the city attorney and the
administrator, early on in the hearing process, it was felt the judge was sensitive to the city
reported O'Neill.
b) Amend-nents to the Comp Plan as approved by City Council. Status of the Council
recommendation to establish a task force for implementation of the Comp Plan.
A meeting is scheduled fo-- November 7, 11:00 a.m., between staff and the planner and engineer
consultant to develop an agenda for study the northwest corridor including development of a
capital improvement plan. Van Allen again volunteered to be on the Task Force. O'Neill
suggested the IDC vote to appoint a representative to the Task Force.
O'Neill then reported on the residential development waiting in line for annexation: 1)
Approximately 40-50 acres, 190-240 units, north of 1-94, B. W. Johnson, developer 2) Harold
Schermer, east of Meadow Oaks, 25 units, 15 acres 3) Hermes, 78 acres, 80 units, new RlA
standards 4) Jim Schultz, 40 acres, 80 units, high density 5) Kenneth Schultz, 40+ acres, single
family, RlA standards 6) School Blvd & County Rd 18, Kenneth Schultz, town homes, 40-50
units, Rl A standards 7) O'Brien property, 150 acres, nothing going on, not interested in
development at this time, prime area 8) Kline Farm 7''' Addition 9) 94 acres sold at auction for
$40,000 per acre, single family/high density combination 10) Gold Nugget in limbo, nothing 11)
Hwy 25 - Groveland Fourth Addition, 50 acres, 1 ] 0 units, everything is place, ready to go upon
annexation l2) Schleunder, nothing 13) Chadwick, commercial/industrial, no residential just
fishing, preliminary PUD approved for including such uses as large furniture or the store 14)
IDC Minutes - 11/5/02
Paumen, aggressive development with extension of Chelsea Road west, left side residential and
right side commercial/industrial, preliminary sketch at comp plan meeting. Other updates: 15)
Retail space well poised for development, across f--om Comfort Inn, staff provided info, 35 ac--es
for Home Depot and other large boxer, deal close to done, Custom Sheet Metal condemnation
maybe necessary 16) Retail space, east end, Dahlheimer/Bondhus, 55 acres, more boxers, need
interchange and 7 Street alignment developed 17) Redevelopment of Ruffs Auto, 7 acres, east-
side only, applied for clean-up funds 18) Extension of West 7 Street, prior to big boxe-°s, right
up there on Council's priority list. IDC members asked questions: Appears more pressure for
development now? Due to 18 month stall of annexation, pent-up. Big Lake and Albertville
beginning to deal with township issues. What does up-scale housing mean? Over $200,000 to
$225,000. Developments contingent upon annexation.
4. Discussion on and to continue development of a list of potential tasks to accomplish the foal of
the IDC: To provide a continuous stream of available industrial land with infrastructure
potential.
a) Vote to mail the IDC minutes and BRE Visit summaries directly to the City Council and
Plannin#~ Commission members. Bill Tapper made a motion to mail the IDC minutes and BRE
Visit samnaaries directly to the City Council and Plunning Commission members. Mike
Benedetto second the motion and ti-~ith no further discussion, the motion passed unanimously.
O"Neill reported that it was a good decision by the IDC to change their meeting date to the first
Tuesday of the month, as the third Thursday conflicted with his preparation of Council agenda
items.
b) Vote to endorse the formation of a subcommittee to complete the Business Park Development
1 Ol Exercise and appoint a representative. Ko--opchak reported that on behalf of the HRA
recommendation to attend the NAHRO Conference and attend the Business Park Development
01 session, Koropchal: was requesting endorsement to form a subcommittee to work through
the exercise (attached outline). Suggested was a group of 5-6 consisting on an IDC, HRA,
Council or Planning Commission member, electric or gas representative, and
consultants/specialists as necessary. O'Neill cautioned the IDC on the time invested in the
approval of the Comp Plan Amendment which IDC rep--esentatives gave input. Now to take off
in a different direction takes energy and is it realistic. IDC me-nbers asked of the difference
between the tasks of the Comp Plan Task Force and the 101 Exercise Group. Van Allen stated
the 101 Exercise prioritizes sites from the viewpoint of the end user (industrial business owner)
where the Comp Plan Task Force will focus on the northwest corridor and the entire Comp Plan
implementation. As a means of buying-in the Planning Commission to the idea of a 10]
Exercise, O'Neill suggested the IDC make a presentation to the Planning Commission selling the
exercise as a test plan or complimentary plan to the Comp Plan. O'Neill requested involvement
in the presentation and preparation of the Planning Commission Agenda. Dan Olson made a
motion to make a presentation to the Planning Commission defining the purpose of the 101
Exercise, to endorse the formation of a 101 subcommittee, and to appoint Don Roberts as the
IDC representative. Mike Benedetto seconded the motion and ~~ith no further discussion, the
motion passed w~animously.
c) Review the draft copy of the November 7, 2002 Planning Commission Agenda for industrial
related items. Discuss and vote on an IDC position or action if necessary. Not discussed.
d) Follow-up on IDC request for HRA to reinstate use of committed funds and draft a letter to
_ city staff, City Council, and Planning Commission. Not discussed.
e) Review current list of tasks established to accomplish the foal of the IDC. Not discussed.
f) To recommend the City Council order the installation of fire hydrants along Chelsea Road
undeveloped land and to assess the property owner. In order to eliminate the "surprise" to
2
. IDC Minutes - 11/5/02
business owners relative to the installation of a fii°e hydrant upon development of a platted site,
the Public Works Director requests the IDC recommend City Council order the installation of
fire hydrants. Although the business owner is informed as to the fire hydrant installation
requirement at initial site planning meeting, it consistently becomes a ``surprise" item.
Normally, the fire hydrants would be installed by the developer upon construction of Chelsea
Road and the utility improvements. Tapper questioned the time value of the development. Is it
necessary to install something prior to its need? Is there not amiddle-line, i°ather than coming in
after the fact and irritating the developer? Estimated cost about $5,000 per hydrant. O'Neill
suggested a cash deposit from the developer as part of the plat approval. Bill Tapper made a
motion recommending plat approval be subject to a cash deposit, from the developer for
installation of a fire hydrant(s~ for undeveloped land along Chelsea Road Mike Benedetto
seconded the motion and with no further discussion, the motion passed unanimously.
Request by the [DC Membership Subcommittee for input and vote to amend the IDC
Organization and Membership Guidelines as recommended.
Chair Van Allen read the summary of the Membership Committee meeting. Barb Schwientek
made a motion to approve items 1, 2, and 3 as recommended ~~ithin the summary and requested
IDC members suggest other names for IDC membership betl~~een noN~ and the next IDC meeting.
Susie Wojchouski seconded the motion and tivith no further discussion, the motion passed
unanimously.
6. Reports:
BRE Scheduled Visits -Bondhus Corporation (Olson/Koropchak) Not discussed.
Unofficial BRE Visit with John Bondhus -Van Allen. Not discussed.
Economic Development Report -Koropchak. Not discussed.
nYhP.Y RllClll P,SS
None.
8. Adjournment.
The IDC meeting adjourned at approximately 8:45 a.m.
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Ollie Koropchak, Recorder
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ANNEXATION CRITERIA
Staff Recommendation ID Approx. Acreage Comp Plan Guided Concept Plan Preliminary Plat Utilities
o~ MW Johnson
+~ Shermer '~
+~ Farr X
+0 Jim Shultz '~
Ken Shultz ~
Ken Shultz
`~4:. Future
Future
[~ Future
0 Chris Klein
o~ Loren O'Brien
~ Gold Nugget °t
Gold Nugget
o~ Gold Nugget
,~,~~ Groveland Iv
'~+ Chadwick ~
1 27.06 (R-1) Approved Pending eed Study
2 21.47 (R-1) A roved A roved vail.able
3 38.96 (R-lA) Pending Pending vailable
4 39.78 (R-1 A) A roved A roved vailable
5 17.39 Med. Den. Attach Pending Pending vallable
6 34.55 (R-1 A) Pendin Pendin vai].able
7 107.40 Ind / R-1 Not Cont guous Yet
8 39.60 (R-1 A) Not Cont guous Yet
9 67.55 (R-1) Not Cont uous Yet
10 37.96 (R-1) None Available None Availabl Available
11 56.72 (R-1) None Available None Available Available
12 39.96 (R-1) I3nder Devel t
13 40.35 (R-1) tinder Devel t t Avail.
14 31.03 Ind t Avail.
15 26.27 (R-1) A roved A roved vailable
16 60.60 Ind Approved Pending vailable
+ =Proceed with annexation by Ordinance or Joint Resolution
0 =Wait for development of potential new MOAA Agreement or completion of necessary studies/plarming
AGENDA
REGULAR MEETING - MONTICELLO PLANNING COMMISSION
Monday -December 3, 2002
7:00 P.M.
4b~
Members: Dick Frie, Robbie Smith, Richard Carlson, Rod Dragsten and Lloyd Hilgart
Council Liaison: Clint Herbst
Staff: Jeff O"Neill, Fred Patch, and Steve Grittman
L Call to order.
2. Approval of the minutes of the regular Planning Commission meeting held November 8,
2002.
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7
8
Consideration of adding items to the agenda.
Citizens comments.
Public Hearing -Request for preliminary plat of the Monticello Marketplace Commercial
Subdivision and consideration of conditional use permits allowing a convenience store, car
wash, and joint parking in a B-3 District. Applicant: Richard Brendsel, Brendsel Properties ~"''ck~•y'''
1,~ i ~.a ~..~ - 000., e,,, ~J-~ ......- Sri. o,.s-~- - °~"'
Consideration of a request, table y the City Council, to re-zone property from R-1, to
R-2A to accommodate an eig t-unit detached residential development. Applicant:
Tom Holthaus. '~`''O' 7'~°<~,~ ~~S
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Consideration of discussion regarding temporary, multi-tenant sign regulations.
Adjourn.
DRAFT
•
y,C~
RESTATED RESOLUTION N0. 02-13
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
RESOLUTION NO. 99-4
Resolution recommending the City Council actively pursue the acquisition of the
Goeman/Chadwick properties for industrial development
and authorize city staff to begin preparation thereof.
WHEREAS, the Monticello Housing and Redevelopment Authority ("Authorit}~')
endorses the City of Monticello Comprehensive Plan and the Community Vision and Governing
Policies; and
WHEREAS, the Authority endorses the economic development efforts of the City of
Monticello through the administration of the Central Monticello Redevelopment Project No. 1
Plan and the Marketing Plan; and
~ ~( on ,o~vv d~~~ ~0~3
WHEREAS, the Authority previously committed a total of ~-59~,~886 toward the
acquisition or development of industrial land; and
• Jf '300 .o o~HEREAS, the Authority previously requested the City Council match the Authority's
$6',000 for acquisition or development of industrial land; and
3~s.ntio ~„ a~ -~oc3
WHEREAS, the City Council previously committed a total of $~-59;866~ toward the
acquisition or development of industrial land; and
NOW THEREFORE, BE IT RESOLVED by the Board of Commissioners of the
Monticello Housing and Redevelopment Authority as follows:
Acquisition of said properties will control land prices.
2. Acquisition of said properties will control and simplify development schedules.
Acquisition of said properties will diversify ownership of industrial lands.
4. Acquisition of said properties will provide for a competitive market.
Acquisition of said properties will allow for flexibility in deal structuring.
6. Preparation for acquisition of said properties places the City of Monticello first in-
line to acquire.
•
HRA Resolution No. 99-4 RESTATED N0. 02-13
Page 2
Adopted by the Board of Commissioners of the Monticello Housing and Redevelopment
Authority this 9th day of June , 1999.
HRA Chair
ATTEST:
~~ ~~?
Executive Director
RESTATED RESOLUTION N0. 99-4 WITH CURRENT COMMITTMENTS. ADOPTED BY THE
BOARD OF COMMISSIONERS OF THE MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY THIS
6th DAY OF NOVEMBER, 2002.
HRA Vice Chair
ATTEST:
Executive Director
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~ ~7
• BRE Visit
Schedule and written summary form
IDC member:
Dan Olson & Ollie Koropchak
INDUSTRY:
Bondhus Corporation
John Bondhus, President
1400 East Broadway
Monticello, MN 55362
PH: 763-295-2162
DATE OF VISIT:
October 30, 2002 @ 2:00 pm
NOTES:
• Discussed purpose of IDC and purpose of our visit: to retain Industrial Business
and pursue more industrial land
^ John seemed understanding of the role of the IDC and was very
supportive of our efforts. He supports the idea of strong industry
complimenting a strong city.
^ Agreed to being linked with the city web site
^ John discussed the surrounding land from his business possibly
being sold.
• Although it is 5 + years out, the possibility is still there to expand
or relocate.
• I sensed that cost is not John's greatest concern however
the concern is still present.
• John did share past and ongoing frustrations, which I
interpreted as lack of communication: add-ons, last minute
changes and demands that just did not seem sensible. "It's
hazd to even think about expanding because you really
can't get a final cost figure". John seems to have many
examples supporting his frustrations and concerns.
^ John had concerns of higher taxes for him vs. surrounding
community.
• Ollie had information showing his concern is accurate
although he seemed pleasantly surprised that the difference
was less than he anticipated. Ollie did a great job of
reminding John of the benefits that come with tax money.
^ INTERESTING FACT: many employees travel west from the
metro azea homes to work at Bondhus.
^ COMMUNITY SERVICE CONCERN: having trouble with mail
address to the business name, not PO Box, being returned to sender
. BY: IDC member Dan Olson
~~
BRE VISIT
. SCHEDULE AND WRITTEN SUMMARY FORM
IDC MEMBER INDUSTRY
Name Dan Olson/Ollie Koropchak Name Bondhus Corporation
Phone
FAX
E-Mail
Mailing Address
Date of Visit Octaber 30, 2002
•
Summary of Visit:
Primary Contact John Bondhus President
Phone 763-295-2162
E-Mail r~~~~.boi~_dhu~ eo~rn
Location _ 1400 East Broadway
Monticello, MN
FAX
Time of Visit 2:OO~.m.
1. Agreed to a two-way linkage to the City website.
2. The Bondhus Corporation began about 35 years ago and currently employs 88 people.
John noted he was a charter member of the IDC who assisted in the preparation of the
data necessary for Star City designation.
Taxes and an available labor pool are important to a small business owner. Suggested
marketing to attract commuters: At least $2,000 per year spend per commuter. John had
requested a copy of local tax rates. Presented a copy of the analysis of 2002 property tax
data from the League of Minnesota Cities.
4. Felt the Power Plant hurt the City of Monticello. Things came to easy.
5. Bondhus Corporation looking to perhaps sell-out in the future (beyond five years).
Looking elsewhere beyond the city and township limits. Feels city staff and engineer
consultant run the city. (Projects driven by the engineer consultant.) Feels the city
constructs infrastruchire and assesses the abutting property owner prior to its need.
6. Felt the break-even point for city revenue and expenditure (services) for a home requires
$300,000 market value.
7. Suggested the local post office be customer sensitive. Does not deliver mail with street
address only or without PO Box.
Asked about when the dirt in the area of Bondhus and school would be moved as
promised. (where water/sewer line was installed)
Suggested the following types of businesses be added to the Local Industrial Supplier list:
Wes Olson Electric under commercial electrical, travel agencies, insurance agencies, and
computer services.
10. Appreciated the visit and information provided.
11. Meeting concluded at 3:25 p.m.
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IDC Meeting - 12/3/02
6b). Economic Development Report
Business Park Development 101 Exercise - At the HRA meeting of November 6, the HRA made
a motion for the Comp Plan Task Force to complete the 101 Exercise. Rational: No need for
more committees, some duplication of the tasks of the Comp Plan Task Force.
At the November HRA meeting, the commissioners made a motion restating Resolution No. 99-4
with adjustments to the dollar amount committed by the HRA and City. (See attachment 4.C).
Funds for acquisition and development of industrial land.
Have calls in to AME Ready Mix and Aroplax for appointment for BRE visits.
Comp Plan Task Force -Staff and consultants met November 7. Engineer consultant showed
options for interchange design in the area of Orchard Road and I-94. It was noted the County has
plans to redo or update the County Road 75 bridge over the railroad tracks. It was estimated the
need for approximately 20 acres for a diamond interchange at an estimated total cost of between
4-6 million dollars. Construction 10 years. Need contact person relative to future need and use
of land surrounding the Plant Need base data or GIS data on property owners, acreage, and
wetlands.
IDC October Minutes and last four BRE Visit Summaries were mailed to the Planning
Commission and City Council.
Chadwick Parcel - On November 13, 2002, a developer met with O'Neill and Koropchak
inquiring about the Chadwick property for possible purchase and/or development He noted his
conversation with Mr. Pfeffer who stated property north of Chelsea Road was not for sale and
property south of Chelsea Road for sale in 10 acre or larger parcels. Recognizing the need for
available 5-7 acre industrial parcels has this developers interest He was given a copy of the
Otter Creek Crossings Business Park -Description of Approved Concept Stage PUD.
Paumen Property located in northwest corridor -For those of you who attended the Planning
Commission open house on the Comp Plan Amendment, a developer presented a concept sketch
for development of the 268 acres lying north of County Road 39 and east of Silver Springs Golf
Course. In the land use map of the Comp Plan, the land use is residential and industrial split by
proposed Chelsea Road alignment. At staff review, the suggested road alignment is a 500 to 600
foot depth between proposed Chelsea Road and I-94 for industrial use.
Negotiations underway to sell the Industrial-Business Campus 13-acres along East 7 Street.
Talked with proposed buyer.
UMC -construction about a month behind. Preparation of Loan Agreements for State and EDA
IDC Meeting - 12/3/02
fields under way. Business Subsidy Public Hearing scheduled for December 9, 2002.
Production Stamping to begin construction in spring.
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