IDC Minutes 02-01-2005
MINUTES
MONTICELLO INDUSTRIAL DEVELOPMENT COMMITTEE
Tuesday, February 1, 2005 - 7:00 a.m.
Academy Room, 505 Walnut Street, Monticello, MN
MEMBERS PRESENT: Chair Dan Olson, Vice Chair Paul Kleinwachter, Tom Lindquist, Mary
Barger, Bill Tapper, Lynne Dahl, and Sue Struckness.
MEMBERS ABSENT: Dick Van Allen, Don Roberts, Mike Benedetto, Barb Schwientek,
Kelli Huxford, and Don Tomann.
STAFF PRESENT: Ollie Koropchak.
COUNCIL LIAISON PRESENT: Mayor Clint Herbst.
IDC MISSION STATEMENT: To maintain and increase the industrial tax base and to
create jobs in the City of Monticello, Minnesota.
Call to Order. (Please read the minutes and information prior to the meeting.)
Chair Olson called the IDC meeting to order at 7:00 a.m. declaring a quorum.
•
2. Vote to approve the January 4, 2005 IDC minutes.
Bill Tapper made a motion to apps°ove the .Ianua~ y -~, 2005, IDC mingles. Seconded by
Tom Lindquist and with no corrections and additions, the minutes were approved as
written.
3. Follow-up and discussion on the development of Otter Creek Business Campus.
Chair Olson thanked Koropchak and the Small Group of Mary Barger, Dick Van Allen, and
Dan Frie for their work in assembly of the industrial site called Otter Creek Crossing and
continued efforts in seeing the purchase completed and zoning approved.
A. Status of the relocation of AVR and suggested site options.
At this point, no meeting between the AVR and the city has been scheduled or taken place.
Mayor Herbst informed the IDC that the Monticello AVR plant is inefficient according to their
attorney. We've heard their Buffalo plant is going to close and now hear its going to remain
open. Herbst continued stating the AVR is scheduled to be out by October-November 2005
and must order materials nine months in advance. The order of condemnation for tax purpose
was approved and a site and business appraisal completed by the city. A gravel permit is a
condition of any new site outside city limits plus the proper zoning. The IDC encouraged a
meeting between the City and AVR and suggested the City research whether a set pattern of
results has been established in like situations.
B. Status of preparation of covenants for Council approval and recording.
Koropchak reported the target date for the Council to accept the covenants for recording is
February 14, 2005. The City Attorney is redrafting the Declarations after Chadwick's
IDC Minutes - 02/01/2005
Attorney recommended he not be a party to the Declarations; therefore, the Declarations only
cover the first 35-acres purchased by the City..
C. Review schedule of process and construction of infrastructure/ preliminary plat design.
Koropchak reported she had requested a time schedule from WSB on the process and
construction of the infrastructure for Otter Creek. Has not received one at this time.
D. Status of the YMCA property
Herbst reported the YMCA is looking to sale. Perhaps the City/County may partner to
purchase and preserve as a nature or recreational area for the community. The 1,200-acre
piece also has the interest of Heritage Builders which is another potential partner for the City.
F. Marketing Committee meeting February 10, 7:30 a.m.
Koropchak noted the Marketing Committee, consisting of two IDC and HRA members, is
scheduled to meet February 10. The committee members were hesitant to begin plans for
marketing until the land was actually purchased (December 2004). Koropchak said she would
prefer the assurance that the City's Otter Creek zoning will remain I-lA prior to advertising the
preferred land price for consistency among end-users. Mayor Herbst indicated to the IDC that
Otter Creek would not be re-zoned to I-2. The IDC encouraged the committee to start
marketing.
4. Cit~pdate:
A. Proposed I-94 and County Road 18 Interchange Project.
Mayor Herbst informed the IDC that after a meeting with Weinend and Pfeffer, the Assessment
Agreement was re-negotiated to the betterment of the City. No agreements have been
executed between Ryan/Streeter and the City and Weinend/Pfeffer and the City.
B. Others.
None.
5. Reports:
A. Economic Development Report - In lieu of the early agenda mailing, the written report
was not mailed. Koropchak asked Tapper to inform the IDC of his building expansion
plans for the previous known H-Window building of which he now owns. Tapper gave
a brief history of his proposed tenant, Strategic Equipment and Supply Corporation.
With the tenant's need for 35,000 sq ft of warehouse space comes the need to expand
the building by 25,000 sq ft. Additionally, the tenant will lease 10,000 sq ft of existing
warehouse space and 5,000 sq ft of office space for their regional headquarters. The
tenant will bring 40 new high-paying jobs to Monticello.
- Koropchak stated the City continues to work with Dahlheimer's for a relocation to
Otter Creek Business Campus. Three other local businesses are looking to expand
within the year.
- Koropchak then told of her conversation with Ray Schmidt. Sometime ago, he
called about the building permit fees associated with the Tire Service Equipment Mfg's
12,000 sq ft expansion. The trunk fees were of particular concern. He again called a
week ago, upset of hearing his expansion qualified for a State Loan. He was informed
that both the State and City Loan must create new jobs and are used as gap financing.
Koropchak apologized for not informing him of the programs earlier but assumed since
2
IDC Minutes - 02/01/2005
he had proceeded with the building permit his financing was secured. Schmidt was
going to check with his partner in AZ.
-Koropchak reported on nine other leads.
6. Review the draft copy of the February. l_, 2005 Planning Commission Agenda for industrial
related items. Discuss and vote on an IDC position or action if necessary.
Koropchak stated the Planning Commission would be considering a resolution stating Tapper's
proposed 25,000 sq ft expansion as noted within the Central Monticello Project No. 1 Plan
was consistent with the City Comprehensive Plan. This part of the process for establishment of
a TIF District.
A) Summary of the January 19 committee meeting relative to proposed ordinance
amendment for outdoor storage.
Koropchak noted no summary was prepared for the Planning Commission agenda packet and
a verbal report is planned. Koropchak said the January 19 meeting was well attended by
industrial leaders from the Oakwood Industrial Park and by Don Roberts, IDC member.
Following the preparation of the summary and prepared recommendations, the group will meet
again prior to any action by the Planning Commission.
Consideration of a replacement for IDC member, Service -Utility.
Koropchak informed IDC members of her conversation with Tom Ollig and his request to
resign from the IDC due to changes within the communications industry. Although not a
representative of the utility sector, Barger suggested Tom Feaski as a replacement because of
his good attendance record and his viewpoint is an added value to the IDC. Mary Barger
made a motion to appoint Tom Feaski to replace Tom Ollig as an IDC member with an
expiration term date of December 2007. Seconded by Tom Lindquist and with no
further discussion, the motion carried. Koropchak to notify Feaski of appointment and
acceptance.
8. Other Business.
A. Chamber Updates -Chamber Chair Sue Struckness noted that after further
consideration she decided to attend the IDC meetings as the Chamber representative
and was glad that Feaski was appointed as he enjoyed the IDC. She thanked those
who contributed to the Annual Banquet and in spike of the weather, the Chamber made
about $4,000. The February 17 Chamber meeting will host Secretary of State Mary
Kiffineyer as guest speaker and Marie Flicker gave her notice of resignation as
Chamber co-staff.
B. Next IDC meeting -Koropchak noted she would not be in attendance at the March 1,
2005 IDC meeting. Arrangements would be made to have the room available and
reminded the IDC to take minutes. Agendas will be mailed out.
IDC Minutes - 02/01/2005
9. Adjournment.
Tom Lindquist made a motion to adjourn the IDC meeting. Seconded by Mary Barger
and with no further business, the meeting adjourned at 8:45 a. m.
~n
Ollie Koropchak, Recorder
;7
4