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IDC Agenda 07-21-1994AGENDA • MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Thursday, July 21, 199 - 7:30 a.m. City Hall MEMBERS: Chairperson John McVay, Vice Chairperson Kevin Doty, Treasurer Ron Hoglund, Mayor Brad Fyle, Shelley Johnson, Arve Grimsmo, Don Smith, Harvey Kendall, Jay Morrell, Ken Maus, Dennis Taylor, Tom Lindquist, Merrlyn Seefeldt, Steven Lemme, Dr. Glean Nemec, Cyndie Johnson, Bill Tapper, and Jim Fleming. STAFF: Rick Wolfsteller, Jeff O'Neill, and Ollie Koropchak. GUEST: Rotarian Jim Eastwood, Cookstown, Northern Ireland. 1 . CALL, TO ORDER . 2. CONSIDERATION TO APPROVE THE JUNE 16, 1994 IDC MIPIUTES. 3. CONSIDERATION TO HEAR AND ACCEPT THE MOI~TTI-ILY IDC FINANCIAL REPURT, 4. WELCOME OF AND PRESENTATIOPd BI' ROTARIAN JIM EASTWOOD. 5. CONSIDERATION OF PROSPECT UPDATES: a) Fay-Mar Metal Fabricators, Inc. b) Stamping-short & long run dies company c) Plastic injection molder d) Coronado Stone e) Ultra Pac f) Phoenix Solutions (Fluidyne} g) Steinwall, Inc. h) Tom LaTour i) OSI Environmental, Inc. j) JS Specialties, Inc. k) Miley Gjertsen 1) John Holman m) Advanced Faod Sciences, Inc. n) Boat Production BRE UPDATES: a} Polycast Mfg. Inc. Groundbreaking b) Standard Iron & 6aireworks, Inc. Open How e c) Remmele Engineering, Inc. d} Reports: June - Shelly Johnson, Hoglund Bus Company and Hoglund Transportation Company. June - Dennis Taylor, Bondhus Corporation. July - Harvey Kendall , NSP Power Plant ;~ Training Center . July - Dan Smith, Sunny Fresh Foods, Inc. August - Ken Maus, Rainbow Enterprises, Inc. and Jay Morrell, Jones Manufacturing, Inc, (L7ntzntzed) 8. CONSIDERATION TO ACCEPT LETTER Off" RESIGNATION _FROM IDC MEMBER • DENNIS TAYLOR AND CONSIDEPATION OF P.EFLACEA2ENT._ 7. CONSIDERATION OF SUBCOMMITTEE REPORTS; a}~~ Legislative - Cyndie Johnson b} BRE - Tom Lindquist (Approval of banquet contribution.} c} Infrastructure - Ollie Koropchak d} Education - Shelley .Johnson e} Marketing - Kevin Doty 8. OTHER BUSINESS :_ a} NO chamber meeting today. 9. ADJOURNMENT. • MzravTEs . MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE Thursday, June 16, 1994 - 7:30 a,m. City Hall MEMBERS PRESENT: Treasurer Ran Hoglund, Don Smith, Jay Morrell, Tom Lindquist, Merrlyn Seefeldt, Steven Lemme, Dr. Glenn Nemec, Cyndie Johnson, and Bill Tapper. MEMBERc ABSENT: Chairperson John McVay, Vice Chairperson Kevin Doty, Mayor Brad Fyle, Shelley Johnson, Arve Grimsmo, Harvey Kendall, Ken Maus, Dennis Taylor, and Jim Fleming. STAFF PRESENT: U11ie Karopchak. STAFF ABSENT: Rick Wolfsteller and Jeff O'Neill. 1. CALL TO ORDEP.. Treasurer Ron Hoglund, acting as Chairperson, called the IDC meting to order at 7:40 a.m. 2. CONSIDERATION TO APPROVE THE MAY 19, 1994 IDC MINUTES. Tam Lindquist made a motion to approves the May 19, 1994 IDC minutes. S2cond2d by Dr. Glenn Nemec and with no corrections or additions, the minutes were approved as written. 3. CONSIDERATION TO HEAR AND ACCEPT THE MONTHLY IDC FINANCIAL REPORT. Treasurer Hoglund reported a balance of $1,247.04 at Marquette Bank - Monticello and a balance of $3,866.54 at Metropolitan Federal far a total monthly balance of $5,113.58. Merrlyn Seefeldt made a motion to accept the financial report as given. Seconded by Jay Morrell and with no corrections ar additions, the financial report was accepted and filed. 4. CONSIDERATION OF PROSPECT UPDATES. The written prospect update was accepted without questions. Merrlyn Seefeldt reported that Bill had spoken to Maureen Steinwall regarding Steinwall's interest in the Big Lake facility. No decision has been made: however, there is a concern far the potential loss of employees. Company headquarters would remain in Fridley. . Page 1 IDC MINiJTES • JUNE 15, 19~3~ Don Smith reported Rotarian Jim Eastwood of Northern Ireland would be present at the July 21 IDC meeting, He will give a 5--10 minute presentation on industrial development in Northern Ireland. BRE REPORTS: The written BRE report was accepted as written. The H-W1T1dOW announced their intentions to host an open house in August upon completion of their expansion. 5. CONSIDERATION 0~' SiJBCOMMITTEE REPORTS: a) Legislative - None. b) BRE - Tom Lindquist reported that the subcommittee has made preliminary arrangements with Charlie Herrmann, employee of Josten's and a motivation speaker, as guest speaker for the IDC October 25 Banquet. In order tc maintain the banquet standard far goad speakers, the sia.bcommit tee found it nzcessary to expend dollars to meet Mr. Herrmanri's fee of $1,000. Although an outside contribution may b2 secured to cover this expense, the IDC members were asked to consider and approve the proposzd expenditure. Dr. Glenn Nemec made a motion tc expend an amount not-to-exceed $1,000 inclusive of mileage to securz Charlie Herrmann as guest speaker. Bill Tapper seconded the motion. Discussions concluded to recommend 30-minute speech and for the s~zbcommittee to evaluate the banquet program: local activities, three 5-- minute local testimonies, and the industrial displays. With no additional discussion, the motiorA passed unanimously. c) Infrastructure - Although the subcommittee has not met to determine future industrial site options, Koropchak asked members if they would like a presentation by OSM on the results of the completed TrazzsportatiotZ Study. It was recommended for the August IDC meeting. d) Education - None. e) Marketing - None. f ) EAS - The last day for receipt of EAS ballots was Mox^.day, June 1°. Results will riot be released until after PUC approval of results which is expected to be the first week of July. Page 2 IDC MTNiJTES JUNE 16, 1934 6. CONSIDERATION TO BEGIN BRAINSTORMING FOR THE IDENTIFICATION OF THE IDC MISSION STATEMEPIT OR FOCUS. Koropchak informed members of economic activities encompassing an area from Elk River to Clear Lake, to Annandale-Buffalo, and to P.ogers. In addition, with an outdated IDC mission statement (focus), unknown City mission statement, the uncertainty of the power plant's future, the need far future industrial land and the Comprehensive Plan Update, building and landscaping issues; the IDC suggested a special meeting comprised of two members each of the CouYieil, IiRA, IDC, EDA, Planning, etc. address these issues. 7 . t)THER BiJSINESS . None. 8. ADJOURNMENT. The IDC meeting adjourned at $:45 a.m. Ollie Karopchak, IDC Exec tive Director Page 3 LJ • • IDC AGENDA JULY 21, 1994 5, Consideration of Pros ect iJ dates:Inc This Blaine tube a} Fay-Mar Metal Fabricators, roximate 15,000 fabricator company will construct an app ft office/manufacturing facility on three acres of sq Suburban Manufacturing in the= land to the east of The company employs 17 Monticello Commerce Center. individuals and anticipates the addition of another 8-~O` within the next fzw years. Average wage $8.50 p welders, machine oP FaDpstrictcNo.Ih1 HRAfortland~ed~t e establishment of TI Ron Musick down in addition to the Bank/SBA financing. is the owner. Anticipated construction this fall with completion as soon-as-possible. p y _ This Blaine b} Stamping-short & long run dies com an however, manufacturer has not made its annual dea it on toward the g Mr. Curless tells me the comp revent loss of trained City of Anoka in order to P ie.,siv~ employees combined with an attractive/agg'" `' financial package from Anoka. The Gity owns land whicx~ can be written down to $10,000 per acre. c} Plastic injection molder - This company's two-Year plan calls for the addition of a 30,000-60,000 sq ft manufacturing facility to employ 100-150 in 2-3 Years. Tool designers, mar_hinist, etc. Preliminary stage, will attempt to initiate a visit. was for d} Coronado Stone - The ixiitial con~}cz met with president an existing building. On July Starkweather as he has been plzrsueing a wide-location ft search and now plans to construct a 22,000 sq facility. The company produces, stares, an earance1buMrs stone and brick. Upon Manticello's aPP Starkweather viewe ~~ atlk~lel land uses ~ Monticello ovaas and a mix of non c p cut from the location list. Cal Kruppa vaas e) Ultra Pac - In his initial call, Mr. invzstigating finanical incentives f ers accommodated production expansion. The City of Rog their immediate needs through the avail~heloQmpa°y adjoining property/facility. Additionallft production is planning another 60,000-80,000 sq incentive expansion in 1--2 years and are shopping packages and land availability in Minnesota and out--of-- state . k:nawn as Fluidyr~e • Brad f) Phoenix Solutions - Previously roceed Barger informs me this company is now ready to p with a relocation. The initial 1993 cont ~ to ~ sedrvi° e a leased facility of 8,000 sq ft. This hig firm would employ professional individuals with annual Page 1 IDC AGENDA • JULY 21, 1994 average wages of $40,000. When able to contact President Len Frame a schzduled visit will be pursued. g} Steinwall, Inc, - Unable to make contact, will report if appropriate. h) Tom LaTour - The owner of the Maple Lake boat production company, "Warrior", appeared in my office. Unhappy w~.th the community's contracted Building Inspector, he was interested in a relocation to Monticello contingent upon a buy out of his existing facilities. He has a completed 22,000 sq ft facility and an uncompleted 22,000 sq ft expansion. He was informed it's not Monticello's policy to purchase property in other communities or to seek other Wright County companies without first notifying the community in jeopardy (Wright County Partnership - Business Code of Ethics.) I've talked to Jim Vrchota at Maple Lake State Bank and the community's economic development director Has not returned my call. i) OSI Environmental, Inc. - This Newport/Osseo oil service company's lease expires in November and is looking for a site to construct a 8,000-10,000 office/process facility. The company collects used oil and oil filters state-wade for reprocessing. Within three years, three Class A bulk tanks, diked and with liners are proposed. Daily transport trucks estimated at 10 per day in summer months acid would employ seven individuals. The company was discouraged by the need for a conditional use permit for bulk tanks and no mention of refinery within the Zoning Ordinance. j) JS Specialties, Inc. - This home-based company in Montrose was looking for an existing 3, 200 sq ft building to relocate his fabric and plastic recycling company. The company was mailed marketing information. k} Miley Gjertsen - Initially, this 30-year old company which installs irrigation systems was looking to construct a 13,200 sq ft polo building for equipment storage and office. No financing necessary. "The company interested in a community's receptiveness of pole facilities aIld estimated property taxes. He has now dawn-sized the project to 8,700 sq ft (7,500 warehouse and 1,200 office) and fines Albertville's taxes more favorable. No site decision has bean made. 1) John Holman -~ As you may remember, Mr. Holman has the Fridley refrigerated storage business and last year was looking to COI1Str11Ct a 30,000 sq ft facility with long-- term accessibility to rail. He now is looking for property adjoining a local industry to construct a blast- freezer and refrigeration warehousing on a lease--back arrangement. • Page 2 IDC AGENDA • JULY 21, 1994 m) Advanced Foad Sciences, Inc. - The City of Becker has 'aeen cut Pram the site location and it is my understanding a Wisconsin community is in forth run. Monticello was cut last year due to the unwillingness to meet the company's financing requests. The research devel~~pment process would increase the shelf-life of foods. n) Boat Production - This out-af-state 30-year old company which manufactures pontoon boats is looking for an existing 15,000 sq ft facility. They would employ 30 individuals. Pheffer's building was marketed and information mailed. The lead was through MTED. BRE UPDATES: a ) Polycast Mfg, Inc . Groundbreaking - It is per the request of Roy Schulz that the groundbreaking be prolonged and incorporated with an open hawse. This due to a combination of heavy production load and time consumed va.ith the construction. b) Standard iron & Wire Works, Inc. Open House - Yau probably have received your invitation by now; otherwise, I havz another one for you. Open House, Friday, August 4, 3:00 til 7;00 p.m. c) Remmele Engineering, Inc. - Please note the enclosed letter announcing Monticello's Plant to receive the "AEGIS Excellence Award" from the US Navy and Martin Marietta Government Electronic Systems Division. • Page 3 REMMELE ENGIHEERING,IHC. PRODUCTION DIVISION -PLANT 20 June 23, 1994 Ollie Koropchak, Economic Development Director CITY OF MONTICELLO 250 East Broadway Monticello, MN 55362 Dear Ms. Koropchak, The United States Navy and Martin Marietta Government Electronic Systems Division has advised us that they will award Remmele Engineering Inc., Plant 20, the "AEGIS Excellence Award" for our performance in delivering components for the AEGIS weapons control system over the past several years. They have scheduled the award ceremony for July 27, 1994 at our manufacturing facility in Monticello, MN starting at .Y.80 A.M. and ending at about 1 1:00 A.M. '~' `r We take great pride in extending an invitation to you to join us on this occasion. The AEGIS system is a critical part of the U.S. Navy defense strategy, and the "AEGIS Excellence Award" is recognition of Remmele's outstanding performance in quality, delivery and productivity. Top officials of Martin Marietta and the U.S. Navy will make this prestigious presentation. Please advise if you will be able to join us for this event. You are also invited to join us for Brunch following the presentations and comments. Please RSVP by phone to 477-6018, by FAX to 1-295-4228, or by mail to me at 213 Chelsea Road, Monticello, MN 55362. Sincerely, J e LaValle, Plant/General Manager 213 Chelsea Road, Monticello, Minnesota 55362-8920 (612) 295-5353 ~~ McMeen TAYLOR LAI~ID SURVEYORS II~C. • 213 W. BROADWAY, P.O. BOX 179, MONTICELLO, MINNESOTA 55362 PHONE (612) 295-3388, METRO 422-9126, FAX (612) 295-3408 DENNIS V. TAYLOR REGISTERED LAND SURVEYOR July 15, 1994 Ollie Koropchak Economic Development Director CITY OF MONTICELLO P.O. Box 1147 Monticello, Minnesota 55362 Dear Ollie: This letter is to inform you of my resignation from the Industrial Development Committee. It is getting incleasingly difficult to make all of the meetings • because of my busy work schedule. Thank you for the opportunity to work with you and the other committee members these last 5 years. Sincerely; Dennis V. Taylor •