IDC Minutes 03-21-1996• MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, March 21, 1996 - 7:00 a.m.
City Hall
MEMBERS PRESENT: Chairperson Bill Tapper, Treasurer Ron Hoglund, Don Smith,
Ken Maus, Kevin Doty, Tom Perrault, Dick Van Allen, Tom
Ollig, and Bill Endres.
MEMBERS ABSENT: Vice Chairperson Tom Lindquist, Arve Grimsmo, Shelley
Johnson, Jay Morrell, Merrlyn Seefeldt, and Jim Fleming.
CITY STAFF PRESENT: Ollie Koropchak.
CITY STAFF ABSENT: Rick Wolfsteller and Jeff O'Neill.
1. CALL TO ORDER.
Chairperson Tapper called the IDC meeting to order at 7:10 a.m.
2. CONSIDERATION TO APPROVE THE DECEMBER 1995 AND FEBRUARY
• 1996 IDC MINUTES.
Minutes were not prepared for approval.
3. CONSIDERATION TO HEAR AND ACCEPT THE IDC MONTHLY
FINANCIAL REPORT AND YEAR-END FINANCIAL REPORTS.
Treasurer Hoglund reported a balance of $4,000.45 at First Bank and a balance of
$10,311.37 at Marquette Bank for a total monthly balance of $14,311.82. Monthly
revenues of $1,000 from Marquette Bank and $75 from MN Depart of TED.
Monthly expenditures of $2,000 to City of Monticello (1996 Sal/Benefits) and $150
EDAM membership. Tom Ollig made a motion to accept the IDC monthly financial
report. Kevin Doty seconded the motion and with no corrections or additions, the
financial report was accepted and filed.
The year-end financial reports were not reviewed.
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• IDC MINUTES
MARCH 21, 1996
4. OLD BUSINESS:
a) Consideration to discuss for recommendation: Requirement of IDC members
to be a member of the Monticello Area Chamber of Commerce.
Chairperson Tapper informed members that Hoglund, Koropchak, and he attended
the March Chamber Board of Directors meeting. At the Chamber meeting, Tapper
reported the IDC accepted the invitation of the Chamber as a branch committee
with two stipulations: One, the IDC spends its own money and secondly, IDC
members are not required to be Chamber members. Although the Chamber tabled
any action, he felt the Chamber was unlikely to change the membership requirement.
Additionally, Tapper felt the Chamber had little understanding of the IDC, they
perceived the IDC and the Merchants Association as equivalent organizations, and
didn't appear to comprehend that IDC members are individuals who volunteer their
time and talent to further the industrial growth of the community. Chamber
membership is through a pro-rated dues structure based on number of employees.
The question becomes: What is the benefit of Chamber to industrial businesses`?
Ken Maus said that question has been asked more than once and felt the best
response was a "return on investment".
Bill Endres reported some retail businesses are being accepted as first-year members
at $75. Businesses with an employment of 30+ pay annual dues of $700. Tapper
gave an example: If a retired, specialist volunteered his/her expertise, would the
IDC want to exclude that qualified person`? Maus suggested perhaps the current
industrial individuals who serve on the IDC could be grandfathered-in or perhaps a
subcommittee could analyze the long-term value or benefits to the IDC of input
from industries and without industries.
Don Smith viewed the IDC as a high-bred committee without a home and recalls its
origination some 16-18 years ago by individuals who viewed Monticello as a location
for industries. The IDC appoints its own members, unlike the City commissions
which consist of appointed members or unlike the Chamber where members pay
dues and the board of directors are elected by the membership.
Upon review of the proposed 1996 IDC budget, members discussed the need for the
annual contribution of $2, 800 from the Chamber. Perhaps, the IDC should be an
advisory committee only, with no budget or banquet. Again, the question surfaced
"What is the purpose of the IDC`?" Koropchak noted the enclosed organizational
structure for the position of the Economic Development Director briefly describing
the role of each commission or committee and percentage of contribution toward the
Director's salary.
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IDC MINUTES
MARCH 21, 1996
Smith saw the objective of the IDC as two-fold: One, recruitment of new industry
and second, the retention and expansion of existing industries. The IDC assisting to
carry out the objective by serving as advisors and cheerleaders.
Chairperson Tapper suggested the IDC define its goals, purpose, and mission
statement. He further suggested City Council take the opportunity to decide if
Monticello's long-term destination is a bedroom community or a real
commercial/recreational community and perhaps not industrial. Tapper felt
Monticello does not have enough resources to support both. He gave the example
of the City of Deephaven. Some members agreed, maybe the City Council has
never been approached and maybe that was the role of the IDC. Tapper felt if such
decision was made, the commissioners and committees had the direction to pursue
goals or a workplan to carry out the long-term destination. Ken Maus, a previous
Mayor, responded: The decision is not so black and white but somewhere in
between as both destinations have strengths and weaknesses.
Dick Van Allen made a motion to table any action relating to the Chambers
requirement that IDC members must be Chamber members for the IDC to be
branch committee of the Chamber. Tom Ollig seconded the motion and with no
further discussion, the motion passed unanimously. Don Smith made a second
motion recommending past and present IDC officers Kevin Doty, Ken Maus, Bill
Tapper, and Tom Lindquist meet to determine the goals and purpose of the IDC.
Dick Van Allen seconded the motion and with no further discussion, the motion
passed unanimously.
5. CONSIDERATION TO SELECT FOR RECOMMENDATION TO THE CITY
COUNCIL AN IDC MEMBER FOR APPOINTMENT TO THE EDA.
Koropchak informed members that the IDC needs to consider an individual for
replacement of Mr. Kendall on the EDA. Prior to Mr. Kendall's resignation, the two
individuals representing the IDC on the EDA were Mr. Kendall and Ran Hoglund.
Ron Hoglund nominated Ken Maus. Tom Perrault nominated Arve Grimsmo.
Kevin Doty seconded the nomination of Ken Maus. Without further discussion, the
motion passed unanimously. Ken Maus accepted. The City Council will need to
ratify the IDC recommendation and appoint Mr. Maus.
•
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• IDC MINUTES
MARCH 21, 1996
6. CONSIDERATION OF SUBCOMMITTEE REPORTS AND
RECOMMENDATIONS FOR APPROVAL OF THE PROPOSED 1996 IDC
BUDGET.
Chairperson Tapper explained the format used for establishment of the proposed
budget. Assuming annual revenues of $13,000 for this non-profit organization,
expenditures were allotted first to the fixed expenditures of salary/benefits, and
banquet and miscellaneous expenses. The remaining portion was disbursed equally
between the three IDC subcommittees to carry out their planned activities.
Koropchak presented the Education Subcommittee's request for IDC approval to
endorse and spend $500 to $1, 000 for an IDC Technical Trade Scholarship to a
senior(s) with good standings, apprenticeship program participant, and plans for
career in the technical trades. A decision is needed at this time to allow the School
District time to establish the criteria and process the selection of a recipient(s) of the
1996 scholarship(s).
Ken Maus made a motion to table any action relating to approval of the 1996
• proposed budget or any expenditures until the question "What is the purpose of the
IDC`?" is resolved. Tom Ollig seconded the motion and with no further discussion,
the motion passed unanimously.
7. CONSIDERATION TO DISCUSS THE ADDITION OF AN IDC OFFICER
SECRETARY FOR THE PURPOSE OF RECORDIN MINUTES
Chairperson Tapper explained that with the reduction of the IDC contribution
toward the Economic Development Director's salary/benefit, the position devotes
more time to the City. Inorder to maximize the best use of Director's time from the
prospective of the IDC, comes the request for discussion of an additional officer to
the IDC. Namely, a secretary for the purpose of recording and preparing minutes
of the meetings of the IDC. The Director will remain the City contact for industrial
leads and will continue the efforts which carry out the goals and mission of the IDC
and its subcommittees.
Tom Ollig volunteered to record and prepare the minutes of the IDC for one year.
By an executive action, Chairperson Tapper appointed Ollig as Secretary of the IDC
for one year.
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• IDC MINUTES
MARCH 21, 1996
8. CONSIDERATION OF PROSPECT UPDATES AND BRE VISIT REPORTS.
Koropchak reported an increase of industrial leads within the last month. Request
for proposals or information was mailed. No strong interest to pursue Monticello
as a site location resulted which would then require the involvement of the Prospect
Team. Time no longer allows for good follow-up of new prospects or for BRE visits.
Industrial competition is strong.
No BRE visit reports were given.
9. Other Business.
Chamber President Endres encouraged members to attend the Chamber luncheon
meeting at noon at the Silver Fox Inn - Poolside. Program by Rita Rapoza &
Associates.
10. ADJOURNMENT.
• T'he IDC meeting adjourned at 8:40 a.m.
Ollie Koropchak, Economic Development Director
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