IDC Agenda 09-21-2000r1
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TDS TELECOM
316 PINE STREET
IDC MEETING
THURSDAY, SEPTEMBER 21, 2000 - 7:00 A.M,
u
. AGENDA
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, September Zl, 2000 - 7:00 a.m.
TDS Telecom - 316 Pine Street
MEMBERS: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Tom Lindquist, Bill Tapper,
Dick Van Allen, Bob Mosford, Don Roberts, Mike Benedetto, Dan Carlson, and
Ji~idson. ^~ ~-~ ~°-u-~-~
COUNCIL LIAISON: Mayor Roger Belsaas.
STAFF: Rick Wolfsteller, Jeff O'Neiil, Fred Patch and Ollie Korapchak.
1. Call to Order.
2. Consideration to approve the July 20 and August 17, 2000 IDC minutes.
3. Consideration of updates:
a) Mayor Belsaas -Mayor's report
b) Koropchak -Prospect and BRE
c) Smith, Ollig, or Van Allen -Marketing (Banquet, Sept 2b)
4. Continued -Consideration of an update on the progress to actively pursue acquisition of
land for future industrial use.
a) Grading Study for Chadwick parcel.
b) b0-day extension granted the Chadwick Group for development of a proposal.
5. Follow-up discussion to the August IDC meeting relative to city engineer contracts, fees,
and process of improvement projects.
6. Consideration of accepting the resignation of Shelly Johnson as member of the IDC and
consideration of replacement.
7. Other Business.
8. Adjournment. Next IDC meeting, October 19, 2000.
t
MIlYUTES
• MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, August 17, 2000 - 7:00 a.m.
City Hall - 505 Walnut Street -Academy Room
MEMBERS PRESENT: Tom Lindquist, Bill Tapper, Bab Mosford, and Jim Amundson.
MEMBERS ABSENT: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Dick Van
Allen, Don Roberts, Mike Benedetto, and ban Carlson.
COUNCIL LIAISON ABSENT: Mayor Roger Belsaas.
STAFF PRESENT: Rick Wolfsteller, John Simola, and Ollie Koropchak.
GUEST PRESENT: John Bondhus, Bondhus Corporation
1. Call to Order.
In the absence of the IDC Chair and Vice Chair, Tom Lindquist called the IDC meeting to
order at 7:10 a.m. Koropchak noted Ollig, Smith, and Van Allen informed the IDC office
of their planned absence.
2. Consideration to approve the July 20, 2000 IDC minutes.
Due to a lack of quorum, the July minutes were not approved.
3. Consideration of updates:
Mayor Belsaas -Mayor's report
Absent - No report.
Koropchak -Prospect and BRE
See Attachment.
Smith. Ollis~,. or Van Allen -Marketing
No report.
4. Continued -Consideration of an uadate on the nro~a'ess to actively pursue acquisition of
land for future industrial use.
~ Grading Study for Chadwick arcel.
Draft copy of Swap Agreement between Cit~and Chadwick parcel.
Administrator Wolfsteller updated the members on the progress of negotiations between
the City and Chadwick stating: There appears to be a snag in the negotiations due to the
amount of gravel for mining and the time allowed to mine. At the last meeting between
the Chadwick group and the City Staff and Engineer Consultant, the City Engineer
IDC Minutes - 8/17/00
• presented a preliminary grading study showing the current topography and a suggested
topography or elevation after mining which would be acceptable for development. After
seeing the preliminary study, the Chadwick group appeared to drag their feet as their
return was not as expected. The City Engineer is putting together cost estimates for
development of infrastructure to the site, these estimates will assist the City in further
negotiations as the estimates will indicate if there is room for negotiations and how much.
An IDC member asked: Is the amount of gravel insufficient or is the amount of gravel
insufficient because of what the city will allow? A combination of both responded
Wolfsteller, initial miscalculation by the Chadwick Group and the city does not want to
acquire a site with aground-water table that is not economically feasible to develop.
Following the last meeting via the city engineer, the figure of 600,000-$800,000 was
thrown-out by the Chadwick Group. With the Chadwick Group on vacation for two
weeks and awaiting the estimated infrastructure development costs from the engineer, a
follow-up meeting has not been scheduled. Wolfsteller informed the IDC, the City
invested $400,000 for Phase II of West Chelsea Road in anticipation of the City owning
the property and for accessibility to the anticipated future industrial pazk. However, the
City still has some edge as the mining permit is for 45-acres only and not the entire site.
The City needs the study on the costs far infrastructure development before setting the
next meeting. If not the Chadwick site, then where would we go? An IDC member
expressed with the addition of the recycling permit, the traffic along West Chelsea will
• greatly increase. Perhaps, it's time the City involve a third party as a mediator. Is the
swap deal slipping away because the Chadwick Group last a potential commercial project?
was another thought expressed.
Update on Chelsea Road West Development.
West Chelsea Road is expected to open August 28 and the commuter lot relocated and
Oakwood Drive West closed next week as plans far construction of the I-94 ramps begin.
5. Continued -Consideration to review and discuss city engineer contracts. fees, and process
of improvemen~rojects.
John Bondhus, Bondhus Corporation, repeated his concern relative to the process and
timeliness for development of city infrastructure improvement projects and felt the need
far the City to hire two engineer consultants: one engineer hired on a fee basis to oversee
the city's overall infrastructure system and another hired on a contract basis for individual
city projects. John Simola, Public Works Director, noted within the water department,
other engineers are used. He continued noting in the past, the hiring of two engineers has
been discussed by the City, as the City has more work than WSB can handle. Also noted
was, in some cases, fees don't follow contracts using the example of the Highway 25
project. We have the same concerns expressed Simola.
In order to meet future development, the City has looked to do projects in smaller phased
sections. Simola told members the City is restricted by the CPA to a single point
• 2
IDC Minutes - 8/17/04
• discharge and 2 lb. limitation permit. The City's option is to find an alternative discharge
point. The single point discharge being the treatment plant along the Mississippi. Simola
reviewed the system stating the Front Street/River Street line was installed about 40 years
ago and has a life expectancy of maybe another 5-10 years. The interceptor line along the
railroad track is 24 inches and at a depth of 35 feet. The pipe reduces to 18 inches by
Ruffs. NSP flows to the Chestnut Street and the overload is pumped into the RR line as
well as Washington Street is pumped into this system built which was built in the 80s. All
the new east housing development flows down the Mississippi Drive line. No one
anticipated the growth of the city and the need for a new and larger interceptor line? A
temporary route by Ruts Auto can serve a portion of Groveland and the industrial area.
However, it was the City's hope to get the major link or first section in and under the
freeway. As you recall, prior to the reconstruction of County Road 75, the line was
installed underneath. In order to allow future expansion to the west by Bondhus, the line
was moved westerly. Because of the 35 ft depth and the 160 ft width necessary for
installation of the line and with the understanding, the School's desire was for immediate
benefit of the Nature ParklPand; the City felt installation of the line prior to development
of the park/pond made good sense. Not knowing the timing for development of the
Chadwick, Groveland, and Gold Nugget properties, the City had hoped to acquire
easements and install the line under the railroad tracks and freeway. The City
misunderstood the desire of the School.. To raise the sanitary sewer trunk fee may hinder
development. Bondhus told city staff: In his business, they don't buy until there is need.
• He again questioned the process and how the city decides to proceed with a project? The
Council authorizes staff or the engineer to proceed with a project. Does the engineer push
for projects? The Council relies on the expertise of the engineer. Simola said he was
comfortable with the water system; however, he sees a gray area with the sanitary sewer
system. Bondhus and Tapper agreed of the need for two city engineers both hired from
the outside not internally. One to oversee the plan and one for design and construction.
They suggested have plans, get easements, and wait an installation. Simola stated he was
in-favor of two engineers. Bondhus suggested Administration check with other cities if
they have one or two engineers. Bondhus believes more than one engineer firm is not a
waste of money as it eliminates conflict of interest and is a checks and balance system. He
prefers outside firms rather then inside firms.
6. Consideration of an update relative to the IDG Banquet reported by the Committee.
Koropchak reported the committee met and targeted September 26 or 28 as the banquet
date. Ted Mondale was contacted to speak about urban sprawl; however, he declined due
to conflict. St. Paul Mayor Norm Coleman is now being approached. The event will
include wine tasting and will be held at the Vintage Grill.
•
IDC Minutes - 8/17/00
7. Consideration of accenting a resignation of Shelly Johnson as member of the IDC
Due to a lack of quorum, no action was taken. Koropchak suggested members think
about a replacement for Shelly. Members agreed the membership should be more
diversified meaning by professions.
8. Other Business.
None.
9. Adjournment. Next IDC meetin,.g Seytember 21 2000
The IDC meeting adjourned at 8:30 a.m.
Ollie Koropchak, Recorder
4
Council Agenda - 8/14/2000
Economic Develoament Director's Report.
a) Prospects -
100,000 sq ft user -Window production. Elects to stay in the SLP or Golden Valley area to
retain their current employees. Was very impressed with our brochure, advised to keep mailing.
If has a need to start a new business would certainly consider Monticello.
4,000 sq ft user -Machine tool shop. Now works out of home in St. Michael. Met with owner
July 12. Future project. Looking for acres to construct facility.
Allied Companies -Mark Houge no longer with Allied. It appears Silver Creek Development
may work with Allied for development of the East 7 Street project. Proposed '~"T ~-
industriaUcommercial incubator facility. Meeting with developer August.-'9:30 a.m. fi°~ ~a~'~0^~
SO-100 acre site user - MN mfg headquarter. Representative was in town looking at Pfeffer
property, did not contact City. 7-19-00 Company put project on hold -not dead.
100,000 sq ft, three-story office headquarters -About 400 people, not CEO headquarter but
upper management. 10 acres, Through CB Richard Ellis. Needs freeway access not freeway
exposure. Professional aesthetics. S00 cars, one floor, Time frame not known. Met June 27,
with Ollie and Jeff. Request shapes. Follow-up July 6 -Report submitted to company June 29.
Visited three communities. One withdrew, concentration of one employer. Monticello most
helpful and respective. Monticello sites: Proposed City, Pfeffer, and Conoco area. Uses to close
to industrial, mining operation, trucking, car dealership. Corporate image. Company rep on
vacation. However, agent saw need for Ieaseable industrial space.
50,000 sq ft office/production facility -Foam fabricating company - 2001-2002 project.
Monticello information to decision makers. June 16.
30,000 sq ft machine shop - 3-4 acres. 10-15 jobs wages $22-$26 (mac ' 'sts). Lead from
Wright County. Will be meeting with company. ? ~~- ~ ~~ J
? ~,a. 'C o s
350,000 sq ft foot office/warehousing facility. 30 ft ceilings, 30,000 sq ft office, 10,0001ight
industrial, and 310,000 sq ft warehousing. 40 acres. Lead from Brad Barger. Looking at Big
Lake, Anoka, Blaine, Rogers. 270 jobs. . ~ ,.
`~ ~'
25,000-30,000 sq ft facility - manufa tunng (metal stamping) 40 employees now. 6-8 new.
$15.02 ph excluding benefits. 2001 project. Builder and company owner in Monticello June 16.
No commitment but every interested in Monticello. Like Pfeffer property. S-6 acres. Lead from
brochure. Pfeffer indicated he would be out-of-business in Roger (land sold). Has more activity
relative to Monticello property, -large user - no commitments.
• Council Agenda - 8/14/2000
CommerciaVIndustrial Builder - Tricon, Inc. of Rogers on tour. Interested in Monticello to
relocate business. Drove by Value Plus building soon to be listed. He called and has purchased
building.
August 4 -Guests of Arve Grimsmo: Norway Ambassador Thomas Vraalsen, Representative
David Minge, Ross Peterson, Don Smith, Mayor Belsaas, O'Neill, Koropchak and others will
have lunch at the community center prior to the delegation touring the H-Window Company and
Wright County Fair.
Keeping in touch with Profile Powder Coating Company.
Manufacturer looking for 15-20 acres. Needs rail. Out of Duluth. Mailed information July 18.
Colliers Towle Real Estate -Looking for information to assist with large users. Zoning maps,
commerciaUindustrial land available, utility maps, information on scheduled infrastructure
improvement and projects, information of availability of fiber optics, existing or planned, TIF and
other incentives offered. June 30. Waiting for informa~n on s~heduled infrastructure
improvement and projects. '~ ~`°- Q ~d . ~ ~ d 5 o a~>
b) August 2, 2000, the HRA executed 120-day exclusive right to work with Brad Johnson
. and Barry Fluth for redevelopment of the Broadway Amoco site +.
c) Authority and Municipal Tax Increment Reports to the State Auditor's Office were mailed
on August 1, 2000, for compliance of the Minnesota Statutory.
d) The fourth and final request to the State on behalf of Twin City Die Castings was made
meaning the total $500,000 grant was disbursed to TCDC.
sue'--~`~ ~2~.. ~ ~ '~ O o ~ .
~~A ~ ~ ,.'t ~` w. vas, o ~~
MINUTES
. MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, July 20, 2000 - 7:00 a. m.
City Hall - 505 Walnut Street -Academy Room
MEMBERS PRESENT: Chair Tom Ollig, Vice Chair Kevin Doty, Don Smith, Tom Lindquist,
Bill Tapper, Dick Van Allen, Don Roberts, Mike Benedetto, Dan
Carlson, and Jim Amundson.
MEMBERS ABSENT: Shelly Johnson and Bob Mosford.
COUNCIL LIAISON ABSENT: Mayor Roger Belsaas.
STAFF PRESENT: Ollie Koropchak.
GUESTS: Jim Eastwood, Cookstown Enterprise Centre
John Bondhus, Bondhus Corporation
Call to Order.
Chair Ollig called the meeting to order at 7:00 a.m.
Consideration to approve the June 15 2000 IDC minutes.
• Tom Lindquist made a motion to approve the June 15, 2000 [DC minutes. Seconded by Dan
Carlson and with no corrections or additions, the minutes were approved as written.
Consideration to hear message from Northern Ireland by Jim Eastwood.
Don Smith introduced Jim Eastwood of the Cookstown Enterprise Centre stating Jim and he
developed a friendship over the years through the Northern Ireland Children's Program. Jim's
job is not unlike that of the Monticello's Economic Development Director. Interest for
development of a "Sister City" Program beriveen the Cities of Cookstown and Monticello exist
as the cities share similarities.
Eastwood informed members the Cookstown Enterprise Centre is a private company to serve
business start-ups and foster business growth. In the last six years, he has made ~ trips to the
US. Their current issues are rural in-nature with the decline in agriculture. The agency goal is
job creation through BRE (growth within) with hands on support from ideas, training, one-to-one
mentor, rental space, and administration and staff. Their district covers a population area of
35,000. Because of the country's geographic size not much relocation occurs beriveen cities. A
recent high profile business located in Ireland from Iowa constructing a 100,000 sq ft building
and creating 200 jobs. The Council is equal to Monticello's City Council which is active in
economic development: l . Business retention. 2. Strong new businesses. 3. Outside
investment.
•
IDC Minutes - 7/20/2000
Less amount of gravel to mine than first anticipated by Bowers/Chadwick. Negotiation on-
going.
7. Consideration to hear options or plans for a reliable power source to the proposed future
industrial park and recommendation if so necessary. (Bret Weiss and John Simola)
Removed from agenda by Koropchak.
8. Consideration of the Chamber/IDC October Banquet: Speaker?
A brief discussion was held relative to the Industrial Banquet of 1999 and the [DC Minutes of
November 1999. The IDC agreed to appoint the IDC Marketing Committee and Joanne
Forbord, Susie Wojchouski, and Jim Amundson of the Chamber to further evaluate the banquet
for continuation.
9. Other Business.
None.
J
10. Adjournment. Next IDC meeting, Au;ust 17, 2000.
Kevin Doty made a motion to adjourn. Seconded by Don Robe--ts, the IDC meeting adjourned at
8:35 a.m.
Q Q~ ~ ~ a ~.9 ~~
Ollie Koropchak. Recorder
3
Economic Development Director Report
• July 19, 2000
100,000 sq ft user -Window production. Elects to stay in the SLP or Golden Valley area to
retain their current employees. Was very impressed with our brochure, advised to keep mailing.
If has a need to start a new business would certainly consider Monticello.
4,000 sq ft user -Machine tool shop. Now works out of home in St. Michael. Met with owner
July 12. Future project. Looking for acres to construct facility.
Allied Companies -Mark Houge no longer with Allied. It appears Silver Creek Development
may work with Allied for development of the East 7 Street roject. Proposed ,
industriaUcommercial incubator facility. \~,~ ~~-~ ~~ '~ ~-~- ~ -} 1 ~~J ..--~ '3- ~%
50-100 acre site user - MN mfg headquarter. Representative was in town looking at Pfeffer
property, did not contact City. 7-19-00 Company put project on hold -not dead.
100,000 sq ft, three-story office headquarters -About 400 people, not CEO headquarter but
upper management. 10 acres. Through CB Richard Ellis. Needs freeway access not freeway
exposure. Professional aesthetics. 500 cars, one floor. Time frame not known. Met June 27,
with Ollie and Jeff Request shapes. Follow-up July 6 -Report submitted to company June 29.
• Visited three communities. One withdrew, concentration of one employer. Monticello most
helpful and respective. Monticello sites: Proposed City, Pfeffer, and Conoco area. Uses to close
to industrial, mining operation, trucking, car dealership. Corporate image. Company rep on
vacation.
50,000 sq ft office/production facility -Foam fabricating company - 2001-2002 project.
Monticello information to decision makers. June 16.
30,000 sq ft machine shop - 3-4 acres. 10-15 jobs wages $22-$26 (machinists). Lead from
Wright County. June 29.
400,000 sq ft foot office/warehousing facility. 30 ft ceilings, 30,000 sq ft office, 10,000 light
industrial, and 360,000 sq ft warehousing. 25-35 acres. Lead from Brad Barger. July 17.
Mailed information July 19.
25,000-30,000 sq ft facility -manufacturing (metal stamping) 40 employees now. 6-8 new.
$15.02 ph excluding benefits. 2001 project. Builder and company owner in Monticello June 16.
. No commitment but every interested in Monticello. Was contacting Pfeffer. 5-6 acres. Lead
from brochure.
CommerciaUIndustrial Builder - Tricon, Inc. of Rogers on tour. Interested in Monticello to
relocate business. Drove by Value Plus building soon to be listed. He called and has purchased
• building.
• IDC MEMBERSHIP
2000
VOTING MEMBERS
TERM MEMBERS OCCUPATION
December 2000 Kevin Doty Service, Lender
Sheldon Johnson Citizen, City
Dick Van Allen Industrial, Manufacturer
Dan Carlson Service, Insurance
December 2001 Don Smith Service, Publisher
Tom Lindquist Service, Lender
Tom Ollig Service, Utility
Don Roberts Industrial, Manufacturer
December 2002 Bill Tapper Industrial, Manufacturer
Bob Mosford Service, CPA
Mike Benedetto Education
Standing Member Chamber C
• NON
VOTING MEMBERS
-
City Council Liaison Roger Belsaas Mayor
Executive Director Ollie Koropchak
Support Staff Rick Wolfsteller
Jeff O'Neill
Fred Patch
. ~,
U
December 1999 Ken Maus Retail, Grocer
Bob Mosford Service, CPA
Bill Tapper Industrial, Mfg
10-12-99 Consistent with IDC comment, to fill term only, not re-instated for 3 years.
SUGGESTED OCCUPATIONS
Education
Service, Electrical Utility
Service, Health Care
Commercial
• Service, Developer
Service, Contractor
Service, Real Estate
Service, Attorney
Industrial, Manufacturing
Suggested names: Jim Amundson, Lender
John Babcock, Industrial
Roger Oberg or Nancy Dahlen, Hospital District
Dan Carlson, Service, Insurance
NSP -Marketing ability equal to a John McVay
Pam Ringstad or John Hayden -Education
Linda Smith, Al Loch, Marn Flicker -Retail
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1
September 2b, 2000
IDC Members -
Sorry I had to miss the IDC meeting.
Attached is the Economic Development Director's report prepared for the meeting of September
21. I noted on the IDC minutes of September 21 that the Economic Development Director's
report was recorded as not available. To keep you informed, they are being mailed out.
I did receive a request for proposal fora 300,000 sq ft headquarterlproductian facility. The
request did not mention site needs and is relocation expansion from St. Cloud. Checking with
Pfeffer or maybe fishing around in order to get additional incentives from City of St. Cloud. Will
give it our best.
Ollie. ~7i
•
Economic Development Director's Report
September 20, 2000
Jim Amundson will not be present - JoAnn may fill-in.
Perhaps there is a volunteer to take minutes.
With a lack of quorum las# month, please approve two sets of minutes.
Rick should take care of items 4 & 5, refer to minutes as a reminder.
Item 6, see minutes. Perhaps a subcommittee be formed to fmd a replacement. Note other
member terms to aspire in December. Name people for subcommittee.
Brochures - 25 industrial marketing brochures mailed August 31, 2000.
IDC Banquet - 80 registered for banquet on 9-20-00 at noon per Susie. Don Smith has latest
update.
NAWCO -John Babcock called my office to inform me that the H-Window is not leaving town.
They have listed their building and its parcel of land for sale to lease back. They hope to free-up
• cash to expand their product line. They will also lease part of their manufacturing space for
warehouse or storage. The easterly lot is for sale for construction.
Sunny Fresh -Don Roberts will give an update.
Twin City Die Castings -Two die casting machines and furnaces expected to be installed this
week. invited to banquet.
Minnesota Manufacturers Week -October 16-22. Here's an opportunity for the IDC to take
advantage and as part of your BRE program let your local employer know how important they
are to your community. Examples: luncheons, plant tours, coffee breaks or other activities.
Previous Monticello activities: Rotary luncheon, acknowledgment at banquet, newspaper
recognition. New ideas?
Journal excerpts within agenda are from City Business and I felt would be of interest to IDC
members.
100,000 sq ft, three-story office headquarter -Monticello continues to be in the running along
with St. Cloud. Company name unknown. 10 acre site south of I-94. 400 employees.
30,000 sq ft machine shop - 10-15 jobs. $22-2b per hour. Lead from Wright County. This is two
manufacturing companies. One from Long Lake, the other rural Monticello. I talked to the
Monticello business owner about a year ago. Looking to build with space to lease to Long Lake
business. Long Lake business will only go as far north as Buffalo. Can't get name of Long
Lake company, tried to arrange visit to or here with Long Lake company. They are working with
Buffalo.
350,000 sq ft office/warehousing facility - 270 jobs. Company decision to stay within the 694
area.
25,000-30,000 sq ft facility -Likes Monticello.. Invited to banquet. Getting cold feet about
expansion/relocation.
Profile Powder Coating Company -Invited to banquet
Information mailed via lead from Chamber OfFice. No information of company available.
Albertville business looking for 5,000 sq ft. A specialized in-store advertising and display
company. Information mailed and lead to Triton and Silver Creek Development.
New Flyer, St. Cloud -The manager of the St. Cloud facility spoke at Rotary some weeks ago
and I asked him what the City of St. Cloud provided. City owned land. City had plans in place
for infrastructure (time savings). Site located near waste water treatment platrt. Needed electrical
sub-station. HRA land write-down of 72 acres plus public improvements. Interchange by 2001,
City committed funding (may be reimbursed by Federal.) State grant of $500,000. Advise to
Monticello: Have infrastructure plans in place to show business. 3 ° ° ' ° ° ~
"~ DSL Di ital Subscriber Lines) - An HRA member provided a copy of a tent referring to the City
( g
of Crookston and Marshall, Minnesota, in relationship to the important of high-speed access to
businesses. The decision by business leaders when learned that a city has no high speed Internet
service. The HRA suggested perhaps the IDC host a meeting between cable company, telephone
company, Internet provider, etc.
Industrial leads been slow the last month.