IDC Agenda 12-16-1993AGENDA
• MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, December 16, 1993 - 7:00 a.m.
City Hall
MEMBERS: Chairperson John McVay, Vice Chairperson Keviiz Doty,
Treasurer Ron Hoglund, Shelley.JohnJon, Don Smith, Lowell
Schrupp, Arve Grimsmo, Jay Morrell, Harvey Kendall, Ken
fdaus, Dznnis Taylor, Dave Peterson, Linda Mielke, Tam
Lindquist, Steven Lemme, Merrlyn Seefeldt, Cyndie
Johnson, Mary Mieke, anal Dr. Glenn Nemec.
STAFF: Rick Wolfsteller, Jeff O'Nei11, and Ollie Koropchak.
1. CALL TO ORDER.
2. CONSIDERATION TO APPROVE THE NOVEMBER 18, 1993 IDC MINUTES.
~. CONSIDERATION TO HEAR AND ACCEPT THE MONTHLY FINANCIAL REPORT.
4. CUPd
a)
b)
c)
d}
e)
f)
• g)
BRE
a)
~i )
C}
d)
e)
SIDERATION OF PROSPECT UPDATES:
Steinwall, Inc.
Berns, Inc.
Polycast, Inc.
Claw Stamping, Inc.
Dungannon!Monticello Connection
Advanced Faad Sciences, Inc,.
Pampered Pets, Inc.
UPDATES:
Genereux Fine Wocad Products, Inc.
ABIi, Inc .
Sunray Fresh Foods , Inc .
Standard Iran & Wire Works, Inc.
H-Window Company
5. CONSIDERATION TO REVIEW IDC YEAR-END MEMBERSHIP TERMS.
6. CONSIDERATION OF PROJECT UPDATES:
a} Du.nwoody Ii~st=it~te Taur, January 13.
b} Star City Recertification.
c) Economic Development Partnership of Wright County, Inc.
d) Quad County Networking.
e) Metro-phones.
7. OTHER BUSINESS.
a) No Chamber meeting, today.
b) Chamber BanquE~t, Tuesday, January 25, P.ivervaaad
Conference Center.
8. ADJOURNMENT.
•
MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Triursday, November 18, 1993 - 7:00 a.m.
City Hall
MEMBERS PRESENT: Chairperson John McVay, Ron Hoglund, Shelley
Johnson, Arve Grimsmo, Lowell Schrupp, Don
Smith, Harvey Kendall, Ken Maus, Dennis
Taylor, Linda Mielke, Merrilyn Seefeldt,
Cyndie Johnson, and Dr. Glenn Nemec.
MEMBERS ABSENT: Kevin Doty, .Jay Morrell, Dave Peterson, Tom
Lindquist, Steven Lemme, and Mary Micke.
STAFF PRESENT: Jeff O'Neill and Ollie Koropchak.
STAFF ABSENT: Rick Wolfsteller.
t;tJESTS: Neil McMillin, Treasurer, Economic Development
Partnership of Wright County.
Bill Enders, Marquette Bank - Monticello.
1. CALL TO ORDER.
Chairperson McVay called the IDC meeting to order at 7:00 a.m.
2. CONSIDERATION TO APPROVE THE OCTOBER 21, 1993 IDC MINUTES.
Ron Hoglund made a motion to approve the October 21, 1993 IDC
minutes. Seconded by Lowell Schrupp and with no additions or
corrections, the minutes were approved as written.
3. CONSIDERATION TO HEAR AND ACCEPT THE IDC FINANCIAL REPORT.
Treasurer Hoglund reported monthly balances of $10,352.55 at
Marquette Bank - Monticello and of $1,594.19 at Metropolitan
Federal for a total balance of $11,946.74. All banquet
expenditures have been paid except for Little Mountain
Flowers. Harvey Kendall made a motion accepting the November
financial report as given. Seconded by Lowell Schrupp and
witri no additions or corrections, the report was accepted and
filed.
4. CONSIDERATION TO HEAR A PRESENTATION FOR ENDORSEMENT OF THE
ECONOMIC DEVELOPMENT PARTNERSHIP OF WRIGHT COUNTY.
Chairperson McVay introduced Mr. Neil McMillin. Koropchak
informed IDC members that Mr. McMillin made a pre:~entation to
the City Council on November 8. Because the City of
Monticello has an economic development budget and staff
person, Council directed City Staff to research the pros and
Page 1
iDC MINUTES
. NOVEMBE;k 18 , 19g:~
cons of city membership prior• to trieir consideration of
membership; therefore, the IDC is being asked for input.
Mr. Neil McMillin, Treasurer far the Economic Development
Partnership of Wright County and Economic Development Manager
for Wright-Hennepin Cooperative Electric Association, told IDC
members that the idea of a County Economic Development
organization has been a "buzz word" for the past twelve years .
The Economic Development Partner:~hip of Wright County has been
established as a Minnesota non-profit organization. The
public/private partnership, which is not comprised of elected
officials, has an office at the County Court House. The 15-
member board of directors' mission statement includes plans
for development of county marketing, job retention and
creation, code of ethics, small business education, quarterly
newsletter, and a revolving loan fund. The partnership has
developed and filed their Articles of Incorporation and
Bylaws, received endorsement from the County Commissianers,
received a $2,500 grant from Minnesota Technology, and
participated in the development of the Quad County "blue
print" in cooperation with Department of Trade and Economic
Development. Currently, informational presentations have been
• made to the Cities of Clearwater, Maple Lake, Buffalo, Cokato,
Monticello, Annandale, and C)stego. Membership commitments
have been received from all the above except Buffalo,
Monticello, and Ostego. After completion of city
presentations, the directors will meet with the townships,
private businesses, and organizations completing a 45-day
membership drive.
Mr. McMillin presented IDC members vaith a list of the names of
the chartered boardmembers. Directors have staggering three-
year terms and meet every other month on the fourth Thursday
at 9:00 a.m., membership meeting at 10:00 a.m. Additionally,
hE~ spoke of the five-level membership structure and expressed
"Monticello and Buffalo memberships" as key to the success of
the partnership.
In response to IDC questions, Mr. McMillin said the county
would develop a data base for industrial leads . Leads as from
the Minnesota DIED would than be distributed to governrnentai
unit members. However and for example, Monticello or Wright
County would receive. secondary benefits from the tax base or
jobs created by a development in another community. The
partnership could enhance the working relationships for
development between cities and tocansliips.
• Page 2
IDC MINTITLS
NUVEMSP;R 18, 199
Dc~n Smith responded that Morticello has been self-sufficient
and years ahead of the Couxlty with respect to economic.
development because of its freeway accessibility and
land,`utility availabilities. He saw the county partnership
not as a threat but as an opportunity for expari~:iun in
economic development. IDC members endorsed the county
partnership; Y~iowever, saw the need for local representation an
the board. Arve Grimsmo made a motion for the IDC to
contribute $50C) towards the City's approximate $1,500
membership fee; therebye, indicating IllC support of the
partnership and encouraging City Council to endorse the
Economic Development Partner~iiip of Wright County. The
partnership bEanefits to be reviewed every other year.
Seconded by Harvey Kendall and with no further discussion, the
motion passed unanimously.
5. CONSIDERATION OF Pi~OSPECT UPDATES:
a) Dungannon/Monticello Connection --Don Smith reported that
Monticello Rotary delegates to Northern Ireland were
welcomed with open--hearts, left a good impression, and
felt very satisfied with the initial established
connection. The groia.p toured various manufacturing
operations in £~elfast and Dungannon. Arve Grimsmo
• 1~epor.ted seeds were planted and told of his personal
contact with individuals. Koropchak received a fax from
Pdr. William Beattie, Chief Executive of the Dungannon
District Council. The Dungannon delegation is interested
in visiting Monticello, this will be coordinated through
the Rotary Club. Some of the Monticello School District
classrooms and teachers are already experiencing
Dungannon exchanges.
b) Food Processor - On November 2, the Monticello Protipect
Team and City Staff met with Mr. Jim Devine, Advanced
Food Sciences, Inc., and Mr. Peter Lytle, Land O'Lakes,
Inc. The two individuals were accompanied by Deb
Palmquist, NSP Economic Development Consultant. Mr.
Lytle described the OHMIC process in detail. Food
particulates, which arrive via truck transportation; are
placed in vertical columns designed with heater electrode
wiring. The process sterilizes the particulates evenly
and quickly; ultimately, increasing the shelf-life up to
three years while preserving a fre3h, crisp texture zzpon
consumer preparation. The process which is utilized .in
Japan and Europe has not received FDA approval. The
capital investment has increased from the initial $~
million to $15 million. Initial building size increased
from 10,000 sq ft to 21,000 sq ft with the greatest
increase attributed to the high-tech research and
Page :~
IDC MINIITES
NOVEMBER 18, 1993
development equipment. At maximum, the company projects
an employment of 250-300 full-time people at an average
vaage of $18 per hour including benefits. The
representatives visited 11 metro/fringe communities and
are looking for a community willing to participate as a
financial partner.
Although the Monticello team and staff saw potential
spin-off benefits to the community, they agreed any
financial proposal must be contingent upon receipt of
full, ~~.nr_onditional corporate partnership guarantees. A
prapasal letter was faxed on November 15. The agenda
included a cagy of the November 2 fallow-~_ap
correspondance from Mr. Devine. Chairperson McVay
reported the company has opened their site selection
search to include the state of North Dakota.
b) Pampered-Pets Cuisine, Inc. - Koropchak reported that the
preliminary building plans were submitted to the Building
Official late Tia.esday. The 15,500 :~q ft metal facility
is proposed with one-half the office front consisting of
brick.
c) Polycast, Inc:. - Koropchak has a meeting scheduled far
November 23 with Roy Schulz and his son. The 16,300 :~q
ft building design plans are complete, no site selection
• has been made, and no bank financing has been ser_ured.
d) Berns, Ir~c. - Koropchak has a meeting scheduled far
December 2 with Mike Berns to discuss the likelihood of
a companyJMonticello fit. The 199 project would
constr~zct a 25,000-30,000 sq ft facility with 25-30
employees.
e) Federal Foam Products, Inc:. - According to the TED
office, this company has placed their site selection
search on-hold.
f) Steinwall, Inc. - Koropchak reported contacting Richard
Brotherton as a follow-up to his banquet attendance and
to arrange a tour of trieir Fridley facility. Mr'.
Brotherton inquired if Dinnis ~ylla, Northco, Inc., site
selection consultant for Steinwall, had contacted her
office recently. Mr. Brother indicated that Mr. Zylla
r•epeatly markets Maple Grove and Champlin; although,
Morztic~llo, Fridley, and Plymo~a.th are also potential site
options. Steinwall representatives visited an Iovaa
plastic injection molder, the fourth largest in the
nation, to study a floor design plan. Kraus-Anderson is
the general contractoY• with site selection scheduled for
December. Koropchak responded having received no calls
from Mr. ~ylla. Currently, a financial proposal is being
prepared and vai_11 be faxed to Maureen Steinwall today.
The building project has increased from 30,000 to 50-
. Page 4
IDC MINUTES
• NOVEMBEK 18, 1993
5£i,000 sq ft. The IDC earmarked Steinwall, Inc. as
number one priority for recr~zitment. Shelley Johnson
expressed an interest to be part the Prospect Team visit .
BRE iJPDATES
a) Custom Canopy, Inc. - The agenda inr.luded a copy of
Chairperson McVay's letter to the Planning Commission as
per the IDC's recommendation. Also, enclosed uses a copy
of IiRA Chairperson Larson's letter to Mr. Stephen
Birkeland, Jr., Custom Canopy, Inc. City Council
approved screening the back perimeter of the developed
property vaith an eight-foot fence extending from the
northeast building corner northerly than westerly. At
the point of proceeding south, the fence may be
substituted with green plantings.
b) Standard Iron & Wire Works, Inc. - The company hopes to
have the building enclosed and the primary parking
surface in front of the office completed prior to winter
frost. Koropchak reported that one of the construction
workers was injured an-site and air-ambulanced t~ North
Memorial.. This on November 10, the worker is recovering,
Award letters have not been received from the State or
the Initiative Fund regarding funding approval; however,
. are anticipated.
c ) H-Window Company - Trae expansion project is on schedule .
The State has requested a list of items which need
satisfying prior to final review and approval of the loan
application.
d) Others - Koropchak reported she spoke with and presented
I3ondhus' Russian Office Marketing individual with the
City of Mcnticello's marketing information acid a
Monticello, Your Kind of Place sweatshirt. The twentY-
three year old female employee has studied English for
fourteen years. It was suggested that farther
communication and correspondance with her not be direct
but through the Bandhus Corporation.
C. CONSIDERATION OF FEEDBACK AND TO SUMMARIZE THE 1993 IDC
BANSUET.
Enclosed in the agenda was a summary of banquet attendees and
donations. The banquet revenue and expenditure report
indicated a net profit of $5.944.13 making triis the first year
the IDC met their proposed budget profit. Koropchak
congratulated IDC members on a job well-done and further rioted
that 17 industries participated or made a donation towards
economic development setting another new record. Also,
enclosed were letters of various bancluet comments, In
. Page 5
IDC MINUTES
• NOVF.MI'~~.R 18 , 1993
response to Dr. Bensen and Culver's invitation, IDC members
suggested Karapciiak :sche~~.ule a date in 1994 to tour Dunwaody
Institute and invite the industrial businesses to join the IDC:
members.
7. OTHER BUSINESS.
a) Members were reminded of the Chamber meeting, today and
Expo '93 scheduled far Sunday, Navember 21.
b) Korapchak reported continuous contact with
representatives from the Alexandria and Anoka-Hennepin
Technical Colleges who are pursuing space within
Monticello (NSP Training Center) far a flex-lab computer
training center.
c) Liberty Paper - Chairperson McVay reported that the
130,000 sq ft facility under construction in Becker is
scheduled far completion in October, 1994 with production
beginning June, 1995. Initial employment is ?5.
8. ADJOURNMENT.
The IDC meeting adjourned at 8;35 a.m.
•
~~ ~~
Ollie Koropchak, IDC Executive Director
Page 6
MONTICELLO
250 East Broadway
P. O. Box 1147
Monticello, MN
55362-9245
Phone: (612) 295-2711
Metro: (612) 333-5739
Fax: (612) 295-4404
William J. Beattie
Chief Executive
Dungannon District
Circular Road
Dungannon, County
Northern Ireland
Dear Bill:
Council
Tyrone
7 December 1993
The arrival of your letter of interest to proceed in the economic
development twinning process was very timely. Your letter arrived
on the day the Monticello Rotary Group shared their experiences of
their visit to Northern Ireland. Their hearts and voices were
filled with a great appreciation of the warmth and receptiveness
they received from the people of Northern Ireland. Their mission
to initiate a connection between Dungannon and Monticello had been
accomplished.
The Monticello Rotary Club and the Industrial Development Committee
(IDC) are delighted and encouraged by the Dungannon District
Council's interest to proceed. We are pleased to make the
following suggestions for your consideration:
Travel via Northwest Airlines, London - Minneapolis/St. Paul.
Arrive in Minneapolis/St. Paul, either the Saturday or Sunday
prior to the second or fourth Monday of your desired month to
travel. Examples: Arrive March 12/13 or 26/2?, April 9/10 or
23/24, or May 7/8 or 21/22, etc. This would allow your group
the opportunity to attend a Monticello Rotary Club meeting and
a Monticello City Council meeting on Monday.
Consideration of your desired month of travel may be
influenced by the price of airline tickets which generally
begin to increase around the first of May.
Mr. Beattie
7 December 1993
Page 2
Home-stays and ground transportation would be provided by the
Monticello Rotarians.
Two to three days in Monticello would allow time to tour four
to five local industries and the Monticello School District
and to meet with the IDC.
One to two days in Minneapolis/St. Paul would allow for
options to tour the Minnesota Trade Office, State Capitol
Building, or Mall of America and/or attend a sporting, arts,
or cultural event. Additonally, free time should be a
consideration.
Depart Minneapolis/St. Paul Saturday or Sunday.
Bill, the suggested program and dates are flexible. If the dates
in March, April, or May aren't workable, you could choose another
week or consider February or June. Also, if your group has a
particular interest of which they wish to see or experience while
in the Monticello area, please don't hesitate to let me know.
Again, we are excited to have the opportunity to host the Dungannon
District Council Group. I look forward to hearing from you as we
continue to plan for your group's visit to Monticello.
Sincerely,
CITY OF MONTICELLO
~~~~~~~~
Ollie Koropchak
Economic Development Director
cc: Oliver Hanratty, President, Dungannon County Tyrone Rotary
Dr. Sue Reiner, President, Monticello Rotary
Kenneth Maus, Mayor, City of Monticello
John McVay, President, IDC
MIIVN86pTA DEAA1!"fMENT GP
TJCAAIt ,lli~ip ECONOMIC ~$VBL¢PMENT
li00 Metro ~q~~n
1217th I+I~u Quit
5~~ntl~uLMi,-ne~o~le~01.2]~e t7iA
i
NovQmber 3Q, i993
-~~il~,
1dr. Patrick Bawataks, Che~ir
Wxi ht County Courthouse
10 Second Street N.M.
~uflalo, Minnesota 5b313-1100
pear Chair Sawatake:
I sin phased to inform you that your a p1lca~ian for a Minnesota
Eaanomic itecovor Fund grsrit has been epprQv$~ Sn the amount of $230, 000.
As outlined in the appproved application, the iPright County will a-ak• a
lean o! $250000 to Standard Iron 6 ~Qira Works, TnG.
As ou may know, the z~egie~lature appropxiatfd tund• elfeotive
Jul 1, 993, to establish an ~eonomiG Recovery Fund to •uppplemer:t the
Small Cities Development Program. Your Qrant award wi11 be made Pram
this fund. You shauid be aware that State legialatian creating th+r
~canomic Recovery Grant Program •spGcifiee that "th• pportion of an
~tcortomio recovery loan that exceeds S~i.aa.000 muett bd rapeJ~d to the State
when it ~.e repaid to the lacml oommunlt ar re~aognised Yndian CrSk~al
gowrnmint by the p4rson or entity to wh~ch it was loaned..."
• A rant a regiment is being pr~tpaxed by Susir,ess and Community
Devdlopl sot Aiv~aion ata~ff . They sill al~-o provide you with additian~ll
information about your grant award to help you achieve your economic
development gaslt~. Also, please note that your approved e~ppl3cetion
becomes part of the grant agreement. Na changes can be made regarding
the =Aces, tNrm, use, achcdulee, or recipient of the loan fu»ds without
approval from this Departm®nt. For additional inforxustion, contest
Jennifer Lngh, Deputy Commissioner, at (61afZ~7-2515.
Finally, let me extend my congratulations to you and your l~taff for
developping a aucceeafui project app],ipatian to help address your
community and economic development n+aadl~ .
Sine ly,
~. a"'~t~ Gillette Jr
Commissioner
RPG:~I
ease=ror.~dk
Ar 1*qu~l OpForh.+nlty Employer
r ~
U
INDUSTRIAL DEVELOPMENT COMMITTEE
LENGTH OF MEMBERSHIP TERM: Members shall serve for three year
terms on a three year rotating basis so that approximately one-
third of the membership expires each year. Individuals wishing to
continue serving on the committee may so indicate prior to the
expiration of their term. Any member wishing to relinquish his/her
position on the IDC may do so by submitting a letter of
resignation.
TERM
December 1993
December 1994
December 1995
MEMBER
Linda Mielke
Merrlyn Seefeldt
Dave Peterson
Arve Grimsmo
Ron Hoglund
Kevin Doty
Steven Lemme
Dennis Taylor
Jay Morrell
Shelley Johnson
Ken Maus
Tom Lindquist
John McVay
Harvey Kendall
Lowell Schrupp
Don Smith
M[_NNESOTA DEPARTMENT OF
TRADE AND ECONOMIC DEVELOPMENT
•
500 Metro Square
121 7th Place East
Saint Paul, Minnesota 55101-2146 L'SA
'~~inomi~ ~'
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Memorandum
DATE: December 3, 1993
TO: star Coordinators
FROM: Mark Lofthus, Director ~~'~---~y~~ ~>
Office of Regional Initiatives
PHONE: 612/296-9090
800-657-3858
RE: Recertification
• The Star Program, Community Needs Assessment Program and other
community technical assistance programs within the Office of
Regional Initiatives will be evaluated and improved to better
meet the needs of Minnesota communities in the first six months
of 1994. Local economic development organizations will be
integrally involved in this process. This evaluation process is
one of several pilot projects within DTED's Total Quality
Initiative.
There will be no formal recertification process this year.
If an organization would like assistance in facilitating planning
sessions or reviewing plans, your regional representative would
be happy to assist you. I know that many of you have already
called upon our staff for this type of assistance.
We will be gearing up our evaluation process after the first of
the year. If you would like to be actively involved in this
process, please call me at the numbers above or contact your
regional representative.
Thank you for being an active partner with DTED. Through this
evaluation process, we intend to make this partnership stronger
and even-more productive.
An Equal Opportunity Employer