IDC Minutes 05-18-2000MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Thursday, May 18, 2000 - 7:00 a.m.
City Hall - 505 Walnut Street -Academy Room
MEMBERS PRESENT: Chair Tom Ollig, Vice Chair Kevin Doty, Shelly Johnson, Don
Smith, Tom Lindquist, Bill Tapper, Bob Mosford, Don Roberts,
Mike Benedetto, and Dan Carlson.
MEMBERS ABSENT: Dick Van Allen and Jim Amundson.
COUNCIL LIAISON ABSENT: Mayor Roger Belsaas.
STAFF PRESENT: Rick Wolfsteller, Jeff O'Neill and Ollie Koropchak.
Call to Order.
Chair Ollig called the IDC meeting to order at 7:00 a.m.
2. Consideration to approve the Apri120, 2000 IDC minutes.
Shelly Johnson made a motion to approve the Apri120, 2000 IDC minutes. Seconded by
Dan Carlson and with no correction or additions, the minutes were approved as written.
3. Consideration of updates:
a) Mayor Belsaas - Ma ore's report. No report.
b) Koropchak -Prospect and BRE. See Attachment A.
c) Smith, Ollig, or Van Allen - Marketing.
Ollig reported Van Allen, Koropchak, and he met relative to plans for the Mayor's
Bus Tour and Golf Outing, June 14. Koropchak submitted a copy of the invitation
mailed to some 92 developers, contractors, real estate agents, and consultants.
4. Continued -Consideration of an uvdate on the progress to actively pursue acauisition of
land for future industrial use.
a) Grading, Studv for Chadwick parcel.
Couple of questions: Does the deal hinge on the timing of the gravel removal?
What is the timing and amount of land available for development? Amount of
contiguous acres? These are some unanswered questions. Twenty acres of the
185 acres abutting the Bondhus Addition is zoned residential. Neighborhood
meeting hasn't been scheduled.
b) Draft copy of Swap Agreement between City and Chadwick parcel.
With the above questions yet under discussion, it appeared premature to submit
the preliminary draft copy of the swap agreement to the City Attorney for review.
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IDC Minutes - 5/18/00
c) Planning Commission Update of May 2 relative to Gold Nug~parcel.
O'Neill reported the Planning Commission elected not to further explore land use
options, in hold or in part, relative to the Gold Nugget site as recommended by the
IDC. O'Neill felt the Commission decision was based on the pending law suit.
Looking from a point of view of global, the future, and large users, the IDC
requested the Planning Commission revisit the topic: If not the Gold Nugget parcel
for industrial use, then where? Another IDC member summarized other topics as
it relates to the Gold Nugget discussion: Interchange improvements at Hwy 25 and
I-94 and potential construction of future Orchard Road and I-94 interchange, Gold
Nugget law suit not going away fast, and two parcels (Bohanon and Gold Nugget)
suggested for industrial use by the IDC difference from that of the two
jurisdictions.
d) Uydate on Chelsea Road West Development.
Bid opening for signalization and Chelsea Road West scheduled for this Friday.
All adjoining property owners onboard and road completion expected in August.
5. Consideration to hear a presentation by IDC Member Don Roberts: As a member of the
site selection team, Don will share his exQeriences and insight.
Don Roberts shared with IDC members his experience as a member of the Cargill Team
who conducted a site analysis search for a proposed Sunny Fresh expansion. Currently
• Sunny Fresh has facilities in Minnesota, Michigan, and Iowa. The search was conducted
about six months ago. The company identified the importance of being near their
ingredient "the egg" which ultimately meant close to the corn belt. Additional items of
importance: Distribution, water/sewer capacity (being a wet industry the company
requires 50,000 gallons of water per day), land available fora 50,000 sq ft facility plus
circulation (15 acres) with competitive utility providers, and not next to heavy industrial
user. Sunny Fresh as a food industry wanted a clean look and image.
The State of Iowa is extremely aggressive with agricultural businesses with offerings of
state and local incentives. Sunny Fresh narrowed their selection to three communities and
then turned to the communities. Sunny Fresh expects to create 40 new jobs for an
investment of 8 million dollars in a community. The field was narrowed to Fort Dodge,
Nebraska and Mason City, Iowa. Sunny Fresh selected Mason City, Iowa. Land price
between $25,000- $35,000, electric/gas non-negotiable, water/sewer rates locked for five
years. In Fort Dodge, the Nebraska Electric provider offered a reduction in rates. Both
communities were extremely receptive and operate as a private non-profit corporation
which holds and owns land. Fifteen/twenty community leaders and contractors represent
the corporation. The union town stigma still remains in Fort Dodge who offered a three
million dollar incentive package. Mason City offered a two million dollar incentive
package and a higher quality of life. The labor (unemployment rate is less than 3%):
however, the incentive package included a $200,000 education grant for training of skilled
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IDC Minutes - 5/18/00
workers at a community college. Additionally, the City offered TIF $700,000; a
$350,000 loan from the corporation, and a $500,000 interest free loan from the state.
With his experience behind him, Roberts sees City of Monticello as a great community
located along I-94. However, he felt the unanswered question remains: What does
Monticello want to be? Members thanked Roberts for sharing his experience.
6. Other Business.
Members inquired as to the purpose of the grading along Chelsea Road in the Monticello
Commerce Center. Other than for site prep and drainage purpose, staffwas unaware.
7. Adjournment. Next IDC meeting, June 15, 2000 and tour of Tire Service Mfg_
Equipment.
The IDC meeting adjourned at 8:10 a.m. and the committee toured Rainbow Enterprises.
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Ollie Koropchak, Recorder
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