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IEDC Agenda 04-05-2016AGENDA INDUSTRIAL&ECONOMICDEVELOPMENTCOMMITTEE(IEDC) Tuesday,April5th,2016–7:00a.m. BoomIslandRoom,MonticelloCommunityCenter ________________________________________________________________________________ Members:SteveJohnson,JoniPawelk,WayneElam,LukeDahlheimer,DickVanAllen,Jim Johnson,DonRoberts,TimO’Connor,DarekVetsch,DonTomann,OllieKoropchak- White,JasonKisner,MariLouMcCormic,AndrewTapper Liaisons:JeffO’Neill,AngelaSchumann,MayorBrianStumpf,LloydHilgart,MarcyAnderson 1.CalltoOrder 2.ApproveMinutes: a.March1st,2016 3.Considerationofaddingitemstotheagenda 4.Reports:(VerbalReports) a.EconomicDevelopmentReport b.TAC c.CityCouncil d.ChamberofCommerceandIndustry 5.Considerationtoreviewupdatefromindustriallandinventorysub-group(VerbalReport) 6.ConsiderationoffinalcommentsonNorthwestMonticelloInterchangeLandUseStudy (VerbalReport) 7.Considerationtoadopt2016IEDCActionStatement 8.Considerationofareportfrombusinessandindustry(VerbalReports) 9.Adjournment.(8:00am) MINUTES INDUSTRIAL & ECONOMIC DEVELOPMENT COMMITTEE (IEDC) Tuesday, March 1, 2016 – 7:00 a.m., Boom Island Room, Monticello Community Center Present: Steve Johnson, Joni Pawelk, Wayne Elam, Dick Van Allen, Don Roberts, Tim O’Connor, Darek Vetsch, Zona Gutzwiller, Ollie Koropchak-White, Jason Kisner, Mari Lou McCormic Absent: Luke Dahlheimer, Jim Johnson, Don Tomann Other: Jeff O’Neill, Angela Schumann, Brian Stumpf, Marcy Anderson, Duane Northagen, (WCEDP) 1. Call to Order Steve Johnson called the meeting to order at 7 a.m. 2. Approve Minutes JONI PAWELK MOVED TO APPROVE THE MINUTES OF THE FEBRUARY 2ND, 2016 IEDC MEETING. OLLIE KOROPCHAK-WHITE SECONDED THE MOTION. MOTION CARRIED 11-0. 3. Consideration of adding items to the agenda None 4. Reports  Economic Development o Master’s 5th Avenue development proposal to allow ground floor multi-family residential housing in the CCD:  Planning Commission review of land use applications  EDA review of TIF Management Plan  City Council  Chamber of Commerce & Industry  TAC o Transportation improvements underway 5. Consideration to review information on industrial land inventory Don Tomann, Mari Lou McCormic and Wayne Elam will review industrial land supply, capacity and future inventory within the context of the City’s long-range goals for industrial development, and prepare a recommendation for IEDC consideration. IEDC Minutes: 3/01/16 2 6. Consideration to review the draft Northwest Monticello Interchange Land Use Study Angela Schumann outlined the conceptual land use analysis for the “interchange planning area” in Northwest Monticello prepared by NAC. She pointed out that the study would provide a baseline of information for future comprehensive planning efforts. She noted that Option 4 detail would be provided as it becomes available. Schumann invited IEDC members to submit any comments related to the study by email. 7. Consideration of 2016 IEDC Action Statement planning Schumann asked that the committee members complete and return the action statement planning worksheet provided by March 15th. She indicated that IEDC feedback would be incorporated into a draft 2016 Action Statement to be presented at the April meeting. 8. Consideration of a report from business and industry Staff provided an overview of a recent Xcel Energy report which addressed the following:  Facility investments  Longevity of facilities  2030 Monticello licensing  Running beyond licensing with current investments  Risk and cost associated with nuclear causing questions  Providing baseload energy-nuclear  Requested support politically: “Breakfast and Politics” event, jobs and other social and economic factors 9. Adjourn DAREK VETSCH MOVED TO ADJOURN THE MEETING AT 8:08 AM. DICK VAN ALLEN SECONDED THE MOTION. MOTION CARRIED 11-0. Recorder: Kerry Burri ___ Approved: Attest: _____________________________________________ Angela Schumann, Community Development Director £¤10 £¤10 Æÿ25 !(14 !(11 !(43 !(50 !(68 !(5!(81 §¨¦ 94 Æÿ25 !(75 !(18 !(117 !(3 9 !(106 !(37!(1 3 1 0 0.5 10.25 Miles- June 9, 2014Data Source: MnDNR, Sherburne County, Wright County, and WSB & Associates. Land Use Plan Amended by City Council Resolution 2014-062, June 9, 2014 Legend Places to Live Places to Shop Places to Work Places to Recreate Places for Community Downtown Mixed Use Interchange Planning Area Urban Reserve Infrastructure Rivers and Streams Public Waters Inventory Wetlands (National & Public Waters Inventories) Potential Greenway Potential Interchange Future Bridge Existing Arterial or Collector Road Proposed Arterial or Collector Road Powerline Monticello City Boundary Orderly Annexation Area Destination for Innovation 1. 5. 9. 3. 7. 11. 2. 6. 10. 12. 4. 8. PID Updated: 8/2015 Owner Size (Acres)2013 TaxesZoning John Uphoff juphoff@wsbeng.com (763) 267-2942 Properties for Sale Guided Industrial Source: Esri, DigitalGlobe, GeoEye, i-cubed, USDA, USGS, AEX, Getmapping, Aerogrid, IGN, IGP, swisstopo, and the GIS User Community Legend Privately Owned Properties - Guided Industrial City Owned Properties - Guided Industrial 1.2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 155-194-000-010City of Monticello 10.87 $0.00I-1 155-191-000020City of Monticello 1.83 $0.00I-1 155-223-000010City of Monticello 5.28 $0.00I-1 155-194-000010City of Monticello 4.99 $0.00I-1 155-194-000020City of Monticello 6.67 $0.00I-1 155-171-000050City of Monticello 16.1 Dev$0.00I-1 155-194-000040City of Monticello 5.01 $0.00I-1 155-185-000010 155-171-000060 City of Monticello City of Monticello 2.32 13.67 $0.00 $0.00 I-1 A-0 155-018-003020Kenneth & Teresa Spaeth 4.39 $4,452.00I-2 John Uphoff juphoff@wsbeng.com (763) 267-2942 Properties for Sale Guided Industrial 155-143-001020 Monticello Industrial Park Inc Schultz & Schupp LLC 7.25 1.18 $4,164.00 $3,302.00 IBC I-1155-038-001060 Northwest I-94 Interchange Study March, 2016 Land Use Options City of Monticello N o r t h w e s t A s s o c i a t e d C o n s u l t a n t s , I n c . Introduction This report is written in support of the land use plan component of the Northwest Monticello Interchange Study, an effort to document and analyze the potential for interchange locations with Interstate 94 serving the northwest portion of the community. The study includes two such potential locations (County 39 and Orchard Road), and examines whether one or the other of these locations, or both, or neither are justified, and how their addition to the area would impact the regional transportation system. The area is currently included in the Monticello Comprehensive Plan, but is designated for future study. The Plan does not direct any specific land use. Project Location Map The land use component addresses how alternative locations for an interchange would affect land use projections and assumptions, as well as how those growth expectations would be expected to impact interchange viability. As noted above, with two potential locations, there are four possible scenarios: Orchard Road or County 39 interchanges alone, both interchange locations, or neither location. Process The project commenced with a round of interviews and discussion with staff, and members of various city official groups, including the City Council, Planning Commission, Economic Development Agency, and the Industrial and Economic Development Committee. Meetings were held during mid-December of 2015. These groups raised a number of potential issues and goals for the interchange study, including a wide ranging assortment of options and land- use related impacts. In addition to the interviews and focus group discussions, staff undertook an inventory of existing land uses and land use regulations in the study area. The study area includes land within the Monticello Orderly Annexation Area, as well as portions of the west side of the City of Monticello. Existing Land Use. Within the Orderly Annexation Area, the predominant land use pattern is agricultural, although limited areas have been developed with rural-residential neighborhoods. Such neighborhoods lie near both proposed interchange locations, and will be affected by either interchange construction, traffic, and/or connections to the local transportation network. Near the Orchard Road location is a scattered collection of rural commercial uses, including a landscape nursery. Monticello Comprehensive Plan – Future Land Use Map The Bertram Chain of Lakes regional park, currently under planning and development, lies at the southwest edge of the study area. It is connected directly to the potential CSAH 39 overpass location along that County Highway. It is also expected to be connected to the Orchard Road overpass, pending long- term development of the area and needed collector road additions. Within the City limits, the Xcel nuclear generating plant lies at the northwest edge of the study area, near Orchard Road. The Orchard Road location also connects to a ballfield complex and other urban land uses on the west side of the community. The County 39 location includes the west terminus of Chelsea Road, which serves as a collector road south of the I-94 through much of the community. Land uses in this immediate area include business and industrial uses south of the freeway, and low to mid-density residential uses east of the freeway. At the northeast corner of County 39 and freeway lies the Monticello Country Club golf course, specifically its driving range and parking lot area. Project Area Aerial Photo - Google Land Cover. Within the study area, the land cover is comprised of the developed area mentioned above, including a large area of agricultural production area in the MOAA. The area also includes a number of wetland complexes, and a few larger areas of extensive tree cover. Otter Creek drains the Bertram Chain of Lakes park area near the County 39 overpass. Natural Resources Inventory – Minnesota Land Cover Classification System Source: WSB Most significantly, the City has identified (in its Natural Resources Inventory) a natural resource corridor that transects the study area from southeast to northwest. The City’s Parks and Open Space Plan utilizes this resource as a major preservation and pathway corridor as a future development route for recreational purposes. Parks and Pathways System Plan Source: NAC Issue Identification. The purpose of identifying issues of the various alternatives is to ensure that the City’s long-range planning for transportation and land use make adequate consideration for as many issues as possible. This phase of the study found the following issues to be considered in developing land use scenarios: Infrastructure Issues  Utility infrastructure investments currently in place  Utility infrastructure capacity, and limits of service area  Regional transportation network for connection to new roadways – what is in place, and what new needs would be  Potential river crossing options  Park and Pathway planning and corridors – preservation and enhancements  Options and impacts for farther or longer-range interchange locations and connections Land Use Issues  Existing rural residential areas north of CSAH 39 near 94  Existing rural residential area south of Orchard Road along Cameron  Existing urban residential area east of 94 along Golf Course Rd  Proximity of Monti Golf Club to interchange at 39  Proximity of Xcel plant to Orchard Road interchange  Proximity of Xcel ballfields to Orchard Road interchange  Land ownership patterns – Xcel, banks, bankrupts, few large owners with new development interests v. many small owners with existing development  Proximity and/or gateway to BCOL  Development/redevelopment of Osowski/nursery area  Transitions to rural areas at perimeter  Balancing and/or impacts of added C/I on other existing C/I in other areas of City – pros and cons  Impacts of potential solar farm development  Possible impacts from Sherburne County RR development Environmental Issues  Otter Creek route and floodway impacts  BCOL buffering and impacts  Natural Resource corridor through former Silver Springs site  Protection of prime natural wetland area(s)  Drainage ways through Silver Springs area  Significant tree cover near Orchard Road interchange area  Potential impacts on Mississippi River? Public Policy Issues  Potential economic development aspects – new development v. traffic distribution impacts  Timing and impacts on development of other locations with future payments for other infrastructure (CSAH 18 interchange; Fallon Avenue; etc.)  Growth management policy impacts – pace and quality of development, etc. Policies and Principles Upon completion of the Issues Identification, NAC has worked with city officials and staff to establish plan priorities and goals for City growth, land use, and transportation in the Interchange Study Area. A Policy Plan that identifies these stated goals along with policy statements aimed at achieving these goals will be produced. The goals and policies will be formatted to complement the structure of the current Comprehensive Plan, however, formal Comprehensive Plan amendments would occur once final agency decision are made related to the development of new interchange locations as a separate project. The published policies will give the community a solid, defensible basis for approving or rejecting proposed development requests. Similarly, prioritizing the City’s resources can best be accomplished when the goals are clear. The policies and principles guiding the land use analysis are as follows:  Maintain Comprehensive Plan preferences for high-quality development in all categories  Address transitions between land uses  Address traffic generation impacts on existing development  Address long-term impacts of no-interchange option  Plan for more extensive Comp Plan amendment process pending outcome of Interchange Study recommendations  Account for land use intensity impacts of Natural Resource conditions  Prep future plan for financial impacts, including collateral infrastructure demands Concept Planning With the establishment of the relevant land use policies, the study process undertakes an analysis to develop land use plans for the various alternative interchange locations. It should be noted that all configurations are for illustration purposes only, and do not represent final locations, actual interchange design options or other design aspects. The intention is merely to identify the impacts of an interchange in the general area shown on the concept plan. The land use quantities exempt rights of way, significant environmental features (including the natural resources corridor) and wetlands from the land supply calculations. There may be other factors that would affect the actual developable land supply. Concept Plan 1 This concept shows a proposed configuration of the Orchard Road interchange location. The land use pattern identifies a concentration of commercial land uses near the interchange on both sides of the interstate. An interchange in this location supports the potential for connection to a Mississippi River crossing providing access to and from Sherburne County. The river crossing option is purely conceptual at this point, and significant additional study would be necessary to determine the feasibility of such a plan. Medium density residential adjoins the commercial area to the west, and the bulk of the area is shown as low density residential. An area of industrial would lie adjacent to the freeway along a new collector road that parallels the interstate. It is anticipated that land use patterns south of County 39 would remain largely as they are currently planned. Net land use quantities total as follows: Low Density (Single Family) Residential: 1,040 acres Medium Density (Attached) Residential: 146 acres Commercial: 193 acres Industrial: 103 acres Concept 1 supports a gross development area of approximately 1,985 gross acres, with about 1,482 net developable acres. Areas excluded from the gross acreage include major existing or planned rights of way, wetlands and floodplains, areas of significant environmental value, and the natural resources corridor identified in the City’s Natural Resources Inventory. The land use plan anticipates strong pressure for commercial development near the Orchard Road interchange, including an absorption of land for commercial purposes to the east/north of the interchange. With the opening of this area for commercial, industrial uses currently planned for the south Highway 25 area of the City would become the primary industrial growth location. Option 1 shows an area of industrial – likely “business park” types of uses, along the Interstate 94 frontage. Mid-density residential is shown in transition surrounding the commercial area at the interchange. Some of this may be comprised of higher-density development capitalizing on freeway access. Lower density residential development would occupy the remainder of the growth area. This plan anticipates a growth potential of approximately 2,300 single family homes and 1,150 attached residential units in the Concept 1 subject area. Concept Plan 2 This concept shows a proposed configuration at the County 39 interchange location. The land use pattern identifies a concentration of commercial land uses near the interchange on both sides of the interstate. The greatest change in current pattern would be an expectation that the rural residential area near the interchange location would see pressure to redevelop in a commercial pattern. Medium density residential adjoins the commercial area to the west along County 39, and the bulk of the area is shown as low density residential. An area of industrial would lie adjacent to the freeway along a new collector road that parallels the interstate. It is anticipated that land use patterns south of County 39 may see additional pressure to extend the current industrial pattern as well. Net land use quantities total as follows: Low Density (Single Family) Residential: 769 acres Medium Density (Attached) Residential: 115 acres Commercial: 44 acres Industrial: 155 acres Concept 2 supports a gross development area of approximately 1,370 gross acres, with about 1,083 net developable acres. Areas excluded from the gross acreage include major existing or planned rights of way, wetlands and floodplains, areas of significant environmental value, and the natural resources corridor identified in the City’s Natural Resources Inventory. Commercial development would again be clustered around the interchange area. However, due to existing development patterns and environmental conditions, along with proximity to the Highway 25 commercial corridor, this plan assumes that a much lower level of pressure for commercial acreage would occur. A slightly expanded industrial corridor is foreseen between the County 39 interchange and the Orchard Road overpass, relying on the parallel collector pattern, but without pressure for commercial at Orchard Road, as in the pattern shown in Concept 1. The distances to the interchange location constrict the likely development area, at least in the foreseeable future, thus, residential growth areas are less, and primarily driven by proximity to the Bertram Chain of Lakes park area, less so by interchange access. The land use patterns anticipate approximately 1,690 single family homes, and 900 attached units, a total of 2,590 units. Concept Plan 3 This concept shows a proposed configuration of both the Orchard Road and the County 39 location. The land use pattern identifies a concentration of commercial land uses near both interchange locations on both sides of the interstate. It is likely, with this scenario, that the Orchard Road location would also support a significant increase in industrial land uses, which in turn would support additional commercial not anticipated with either of the first two concepts. As with Concept 1, the Orchard Road interchange accommodates the potential for a connection to a river crossing location, in the event such a project were to occur. Medium density residential adjoins the commercial area to the west along County 39, and the remainder of the area is shown as low density residential. An area of industrial would lie adjacent to the freeway along a new collector road that parallels the interstate. Net land use quantities total as follows: Low Density (Single Family) Residential: 940 acres Medium Density (Attached) Residential: 126 acres Commercial: 247 acres Industrial: 303 acres Concept 3 supports a gross development area of approximately 2,246 gross acres, with about 1,616 net developable acres. Areas excluded from the gross acreage include major existing or planned rights of way, wetlands and floodplains, areas of significant environmental value, and the natural resources corridor identified in the City’s Natural Resources Inventory. With both interchange locations in place, a greatly expanded service area is foreseen, extending farther west and northwest. The plan anticipates occupying much of the Orchard Road area with commercial, and an expanded industrial pattern to the north. Commercial uses are anticipated in the County 39 area, due to the nature of interchange land use pressure. This pattern would likely have a significant impact on other areas in the city currently set aside for these land uses. It is possible that some of the areas proposed for commercial might be suitable for industrial as well. These decisions would need to be examined at the time the City considers more formal Comprehensive Plan amendments and zoning patterns. This Concept anticipates a residential growth area accommodating approximately 2,070 single family units, and 980 attached units. Concept Plan 4 Concept 4 is a “no interchange” option, and examines the likely development scenario if access to the interstate remains as is, with the only interchanges at TH 25 and CSAH 18. This land use pattern would consist primarily of residential land uses. Due to restricted major access to the east, requiring the use of County 39 to any point in the City’s commercial areas, commercial and/or industrial uses in the area would be highly limited. The primary draw to the area would be residential proximity to the Bertram Chain of Lakes park area. This land use feature would be attractive primarily to a residential development pattern. The land use pattern anticipates single family residential to be the dominant land use, with medium density along County 39, north of the park. Net land use quantities total as follows: Low Density (Single Family) Residential: 919 acres Medium Density (Attached) Residential: 73 acres The gross development area in this concept is similar to Concept 2, nearly 1,300 acres, but slightly less net developable acreage, at 992 net acres. Areas excluded from the gross acreage include major existing or planned rights of way, wetlands and floodplains, areas of significant environmental value, and the natural resources corridor identified in the City’s Natural Resources Inventory. As noted, the land use pattern is exclusively residential. Total unit count would be approximately 2,020 single family units and 570 attached units. This pattern is dominated by single family residential due to the lack of support for either retail or job-related land uses in close proximity. The higher density development is, as with both commercial and industrial land uses, less attractive without convenient access to the interstate. Summary Four land use scenarios are included in this analysis of potential patterns of development in the northwest Monticello area. The analysis focuses on how the construction of freeway interchanges in either, or both, or two locations would impact the growth and development potential in the area. As noted in the text, there are likely to be impacts of any of these land use patterns on other planned development in the City. The eventual adoption of land use plans and controls will need to anticipate those impacts and make adjustments appropriate to each impacted area. The purpose of this study is to provide a basis for the development of transportation modeling as the City works toward federal and state consideration of new interchange development in Monticello. While a case can be made for alternative patterns to those shown in this study, it is believed that the Concept Plans provide a reasonable expectation on which transportation planning can occur. As the interchange decisions become clearer, more detailed land use planning will be necessary. The four scenarios studies result in the following aggregate land use projections: Concept 1 (Orchard Road) Concept 2 (CSAH 39) Concept 3 (both Orchard and CSAH 39) Concept 4 (no interchange) Gross Acres in interchange reach 1,985 1,370 2,246 1,295 Net Developable Acres in reach 1,482 1,083 1,616 992 Single Family Net Acres (Units) 1,040 (2,300) 769 (1,690) 940 (2,070) 919 (2020) Medium Density Net Acres (Units) 146 (1,150) 115 (900) 126 (980) 73 (570) Commercial Retail/Service 193 44 247 0 Industrial/ Business Park 103 155 303 0 Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake ¬«25 Interchange Map Option #1 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels Source: NAC, Inc., WSB & Assc., Wright County Proposed Land Uses Commercial Industrial Medium Density Residential Single Family Residential City Boundary Existing Land Uses Commercial Industrial Parks and Open Space Single Family Residential 1,499 Ac.Medium Density Residential 223 Ac.Commercial 248 Ac.Industrial 116 Ac. Gross Land Use Acres: Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): February 8, 2016 0 0.5 10.25 Miles Ü Mississippi Riv er §¨¦94 Single Family Residential 1040 Ac.Medium Density Residential 146 Ac.Commercial 193 Ac.Industrial 103 Ac. Interchange Area 94 39 AETNA 75 25 9 0 T H BROADWAY 120TH 127TH RIVER 4TH 3RD CHELSEA ELM 6TH PINE C A M E R O N BRIARWOOD 7TH CEDAR 10 0 TH SCHOOL LINN DUNDAS M A R V I N MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE EDMONSON 110TH 119TH 5TH SAVANNAH 1 1 6 T H A F T ON DALTON 97TH PRESCOTT MI N N E S OTA DEEGAN H E D M A N 102ND R E D F O R D PALM SANDBERG I N N S B R O O K ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE FA R M S T E A D 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD HILLTOP HILLCREST MATTHEW CRAIG OTTERCREEK HAYWARD M A R V I N E L W O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake Interchange Map Option #2 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels 0 0.5 10.25 Miles Ü Source: NAC, Inc., WSB & Assc., Wright County City Boundary Existing Land Uses Commercial Industrial Parks and Open Space Single Family Residential 940 Ac.Medium Density Residential 123 Ac.Commercial 123 Ac.Industrial 184 Ac. Gross Land Use Acres: Single Family Residential 769 Ac.Medium Density Residential 115 Ac.Commercial 44 Ac.Industrial 155 Ac. Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): Proposed Land Uses Medium Density Residential Single Family Residential Commercial Industrial §¨¦94 Mississippi Riv er ¬«25 Interchange Area 94 39 75 A E T N A BROADWAY 25 9 0 T H 120TH 127TH 4TH RIVER 3RD CHELSEA ELM 6TH PINE C A M E R O N 7TH BRIARWOOD 10 0 TH CEDAR LINN M A R V I N DUNDAS MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE 110TH 119TH 5TH SAVANNAH EDMONSON 1 1 6 T H A F T ON DALTON PRESCOTT MI N N E S OTA H E D M A N PALM SANDBERG I N N S B R O O K R E D F O R D ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD HILLTOP HILLCREST MATTHEW 102ND CRAIG OTTERCREEK HAYWARD M A R V I N E L W O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST CHESTNUT KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake Interchange Map Option #3 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels §¨¦94 ¬«25 Mississippi Riv er Source: NAC, Inc., WSB & Assc., Wright County Proposed Land Uses Commercial Industrial Medium Density Residential Single Family Residential City Boundary Existing Land Uses Commercial Industrial Parks and Open Space February 8, 2016 0 0.5 10.25 Miles Ü Single Family Residential 941 Ac.Medium Density Residential 127 Ac.Commercial 249 Ac.Industrial 303 Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): Interchange Area Single Family Residential 1,235 Ac.Medium Density Residential 140 Ac.Commercial 405 Ac.Industrial 466 Gross Land Use Acres: 94 39 75 A E T N A BROADWAY 25 9 0 T H 120TH 127TH 4TH RIVER 3RD CHEL SEA ELM 6TH PINE C A M E R O N 7TH BRIARWOOD 10 0 T H CEDAR LINN M A R V I N DUNDAS MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE 110TH 119TH 5TH EDMONSON SAVANN AH 1 1 6 T H A FT ON DALTO N PRESCOTT MI N N ES O TA H E D M A N PALM SANDBERG I N N S B R O O K R E D F O R D ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD 102ND HILLTOP HILLCREST MATTHEW CRAIG OTTERCREEK HAYWARD M A R V I N E LW O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER Be rtram Lake Birch Long Lake Mud Lake Unnamed First Lake ¬«25 Interchange Map Option #4 Legend Proposed Roads Existing Roads Concept Greenway (1000 F t. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels Source: N AC, Inc., WSB & Assc., Wright County City Boundary Existing Land Uses Comm ercial Industrial Parks and Open Space March 1, 2 016 Mississippi Riv er §¨¦94 0 0.5 10.25 Miles Ü Proposed Land Uses Medium Density R esidential Single Fam ily Residential Single Family Reside ntial 1,172 Ac.Med ium Density R esiden tia l 1 23 Ac. Gross Land Use Acres : Net Land Use Ac res (excludes w et areas, gre enw ay & R OW, but incorporate s land where existing roads may be re move d): Single Family Reside ntial 919 Ac.Med ium Density R esiden tia l 7 3 Ac. No Build Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake ¬«25 Interchange Map Option #1 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels Source: NAC, Inc., WSB & Assc., Wright County Proposed Land Uses Commercial Industrial Medium Density Residential Single Family Residential City Boundary Existing Land Uses Commercial Industrial Parks and Open Space Single Family Residential 1,499 Ac.Medium Density Residential 223 Ac.Commercial 248 Ac.Industrial 116 Ac. Gross Land Use Acres: Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): February 8, 2016 0 0.5 10.25 Miles Ü Mississippi Riv er §¨¦94 Single Family Residential 1040 Ac.Medium Density Residential 146 Ac.Commercial 193 Ac.Industrial 103 Ac. Interchange Area 94 39 AETNA 75 25 9 0 T H BROADWAY 120TH 127TH RIVER 4TH 3RD CHELSEA ELM 6TH PINE C A M E R O N BRIARWOOD 7TH CEDAR 10 0 TH SCHOOL LINN DUNDAS M A R V I N MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE EDMONSON 110TH 119TH 5TH SAVANNAH 1 1 6 T H A F T ON DALTON 97TH PRESCOTT MI N N E S OTA DEEGAN H E D M A N 102ND R E D F O R D PALM SANDBERG I N N S B R O O K ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE FA R M S T E A D 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD HILLTOP HILLCREST MATTHEW CRAIG OTTERCREEK HAYWARD M A R V I N E L W O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake Source: Esri, DigitalGlobe, GeoEye, Earthstar Geographics, CNES/Airbus DS, USDA, USGS, AEX, Getmapping,Aerogrid, IGN, IGP, swisstopo, and the GIS User Community Interchange Map Option #2 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels 0 0.5 10.25 Miles Ü Source: NAC, Inc., WSB & Assc., Wright County City Boundary Existing Land Uses Commercial Industrial Parks and Open Space Single Family Residential 940 Ac.Medium Density Residential 123 Ac.Commercial 123 Ac.Industrial 184 Ac. Gross Land Use Acres: Single Family Residential 769 Ac.Medium Density Residential 115 Ac.Commercial 44 Ac.Industrial 155 Ac. Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): Proposed Land Uses Medium Density Residential Single Family Residential Commercial Industrial §¨¦94 Mississippi Riv er ¬«25 Interchange Area 94 39 75 A E T N A BROADWAY 25 9 0 T H 120TH 127TH 4TH RIVER 3RD CHELSEA ELM 6TH PINE C A M E R O N 7TH BRIARWOOD 10 0 TH CEDAR LINN M A R V I N DUNDAS MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE 110TH 119TH 5TH SAVANNAH EDMONSON 1 1 6 T H A F T ON DALTON PRESCOTT MI N N E S OTA H E D M A N PALM SANDBERG I N N S B R O O K R E D F O R D ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD HILLTOP HILLCREST MATTHEW 102ND CRAIG OTTERCREEK HAYWARD M A R V I N E L W O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST CHESTNUT KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER Bertram Lake Birch Long Lake Mud Lake Unnamed First Lake Interchange Map Option #3 Legend Proposed Roads Existing Roads Concept Greenway (1000 Ft. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels §¨¦94 ¬«25 Mississippi Riv er Source: NAC, Inc., WSB & Assc., Wright County Proposed Land Uses Commercial Industrial Medium Density Residential Single Family Residential City Boundary Existing Land Uses Commercial Industrial Parks and Open Space February 8, 2016 0 0.5 10.25 Miles Ü Single Family Residential 941 Ac.Medium Density Residential 127 Ac.Commercial 249 Ac.Industrial 303 Net Land Use Acres (excludes wet areas, greenway & ROW, but incorporates land where existing roads may be removed): Interchange Area Single Family Residential 1,235 Ac.Medium Density Residential 140 Ac.Commercial 405 Ac.Industrial 466 Gross Land Use Acres: 94 39 75 A E T N A BROADWAY 25 9 0 T H 120TH 127TH 4TH RIVER 3RD CHEL SEA ELM 6TH PINE C A M E R O N 7TH BRIARWOOD 10 0 T H CEDAR LINN M A R V I N DUNDAS MAPLE WALNUT PARK PLACE PRAIRIE SANDY GOLF COURSE 110TH 119TH 5TH EDMONSON SAVANN AH 1 1 6 T H A FT ON DALTO N PRESCOTT MI N N ES O TA H E D M A N PALM SANDBERG I N N S B R O O K R E D F O R D ALPINE C H A M B E R L A I N FRONT W E S T O N FAIRWAY PINE ST TO WB I94 W O O D S I D E VINE 99 T H KEVIN LONGLEY PINE ST TO EB I94 SPRUCE BRENTWOOD 102ND HILLTOP HILLCREST MATTHEW CRAIG OTTERCREEK HAYWARD M A R V I N E LW O O D OAK 1 2 4 T H OAKWOOD KAMPA CROCUS LOCUST KENNETH DARROW SU M MIT OAKVIEW LOCUST CEDAR VINE RIVER 94 5TH 7TH DALTON MINNESOTA 25 RIVER 94 39 75 A E T N A BROADWAY 2590TH 120TH 127TH 4TH RIVER 3RD C HELSE A ELM 6THPINE C A M E R O N 7TH BRIARWOOD 10 0 T H CEDAR LINN M A R V I N DUNDAS MAPLE WALNUT P A R K P L A C E PRAIRIE SANDY 1 1 0 T H 116TH AFTON D A L T O N MINNESOTA RIVER CEDAR 94 7 T H Be rtram Lake Birch Long Lake Mud Lake Unnamed First Lake ¬«25 Interchange Map Option #4 Legend Proposed Roads Existing Roads Concept Greenway (1000 F t. Corridor) Wet Areas (Lakes, Rivers, Wetlands) Parcels Source: N AC, Inc., WSB & Assc., Wright County City Boundary Existing Land Uses Comm ercial Industrial Parks and Open Space March 1, 2 016 Mississippi Riv er §¨¦94 0 0.5 10.25 Miles Ü Proposed Land Uses Medium Density R esidential Single Fam ily Residential Single Family Reside ntial 1,172 Ac.Med ium Density R esiden tia l 1 23 Ac. Gross Land Use Acres : Net Land Use Ac res (excludes w et areas, gre enw ay & R OW, but incorporate s land where existing roads may be re move d): Single Family Reside ntial 919 Ac.Med ium Density R esiden tia l 7 3 Ac. No Build IEDCAgenda:03/02/16 1 7.ConsiderationtoAdopt2016IEDCActionStatement.(AS) A.REFERENCEANDBACKGROUND: TheIEDCOrganizational&MembershipGuidelinesrequiresthattheIEDCadoptanAction Statementeachyear. AdraftActionStatementhasbeenpreparedusingthefeedbackreceivedfromworksheets providedtotheIEDCmembers. Theactionstatementhasbeendividedintotwoprimaryobjectiveareas:AttractingJobsand CreatingJobsandTaxBase.Actionstatementswithineachobjectiveareaareprioritized basedontherankingssuppliedbyIEDCmembers.Individualactionitemsundereachaction statementarenotprioritized. B.ALTERNATIVEACTIONS: 1.Motiontoadopt2016IEDCActionStatement. 2.Motiontotableforfurtherdiscussion. C.STAFFRECOMMENDATION: StaffrecommendsadoptionsubjecttoanymodificationsapprovedbytheIEDC.Theplan developedisreflectiveofthedirectionprovidedbyIEDCmembers. D.SUPPORTINGDATA: 2016ActionStatement,Draft MonticelloComprehensivePlan–Chapter4-EconomicDevelopment INDUSTRIAL&ECONOMICDEVELOPMENTCOMMITTEE 2016ACTIONSTATEMENTWORKSHEET MissionStatement:TheMonticelloIEDCwilladvocateindustrialandeconomicgrowthwithin theCityofMonticellobypromotingawarenessandcommunicationeffortsonbehalfofthe businesscommunity. Objective Goal: TheIEDCisdedicatedtobeingpro-activeinfollowingtheguidelines objectivesandpolicies establishedintheMonticelloComprehensivePlan.ItistheintentionoftheIEDCtoworkwithin theareasidentifiedbelowassupportingobjectivesandactions. Objective:RetainingJobs 1.EncouragebusinessretentionwithinMonticello. a.BusinessretentionvisitsbyIEDCmemberstolongstandingbusinessinthe communitytohelpgrowstrongerrelationshipsbetweenourbusinessesandCity Hall. b.DiscusstheneedsofbusinessesfordevelopmentofaRetentionActionPlan. c.MarketandpresentvariousprogramsavailableviathecityandEDA. 2.RecognizethecontributionsofMonticellomanufacturersthroughorganizationof andparticipationinindustry-relatedevents. a.ContinueIndustryoftheYearBreakfast. b.AssistindevelopmentandpromotionofatourofMonticelloIndustrial Businesses. c.FocusonManufacturingweek2016andtour. 3.EnhanceWorkforceDevelopmentthroughpartnershipswithlocaleducators, businesses,organizationsandagencies. a.StrongerparticipationwiththeMonticelloSchoolDistrictingrowingtheir initiativetobringbusinessesintotheclassrooms b.Basedontheneedofthebusinesses,partnerwithkeyleadersofourlocalbusinesses, educatorsandotherstodevelopandexecuteaWorkforceDevelopmentPlan. c.Explorewaysbusinesscanbringrelevancetoeducationalclasses&programs. 4.Promotecommunications&engagementwithMonticellobusinessesandprospects a.CreateandhostaMonticellobusinessroundtableeventwhichwillofferbusinesses aplatformfordiscussion. b.Facilitate“IndustrialRoundTables”. Objective:CreatingJobs&ExpandingtheTaxBase 1.Supporttherecruitmentofbusinesswhichfurtherthegoalsandobjectivesforthe communityasguidedbytheComprehensivePlan. a.Assessthecurrentmarketingmaterialsandplan. b.AssistinexecutionordevelopmentofanewMarketingPlan. c.Respondinatimelymannertoinboundcommunications. 2.ContinuetoleadtheCityinmovingforwardkeytransportationprojectswhich supporteconomicdevelopment. a.ParticipateintheTransportationDaythroughtheMinnesotaChamberandlobby onbehalfoftheMonticellocommunitytohelpcitystaffbringattentiontoour localtransportationneeds. b.Developaneedsbasedtransportationprioritystatementforlobbying/support purposes. c.Encouragekeytransportationprojectswhichimproveproductdeliveryfor businesses,suchasinterchange,freeway,andbridgecrossingprojects. d.Identifyspecificbenefitsofa3rdinterchangetobusinessesand/orcommunity. 3.EvaluateandproviderecommendationstotheCityregardingindustriallandsupply andavailability. a.Morefrequentlyevaluatecurrentpropertyinventoryandusesfortheseproperties asagroupwiththeobjectivetobettermarkettheseproperties. b.Assess Industrial Land availability for jobs with income levels to support families; 1.Totalacreagewithdevelopedinfrastructure,zoned,andavailabletopurchase andthemaximumacreageofacontiguous,buildablelot. 2.Totalacreagewithundevelopedinfrastructure,zoned,andavailabletopurchase. Ownercontactinformation. 3.TotalacreagepreservedinLandUsePlanforfuturedevelopment. c.AssessaccessibilitytoInterstate94andStateHighway25andutilitycapabilities 4.SupportcommunityqualityoflifeinitiativeswhichenhanceMonticello’sobjectives forhighqualitydevelopmentacrossthelandusespectrum,includingresidential, commercial,industrialandcivicuses. a.SupportandencouragethedevelopmentoftheBertramChainofLakesRegional ParkandrecommendthedevelopmentofapathwayconnectiontoMonticello Businesses. b.PromoteCentraCareHealthMonticellotoindustrialbusinesses. c.DevelopavisioningworksheettogetIEDCmembersviewsonresidential, commercialandindustrialneedsandchallengestobringtolightneededfuture planningandordinancechanges. d.Identifyneededprioritiessuchashotelsandrestaurants. e.Reviewandcoordinatepublicandprivateactionswithparksandtrails. 5.Continuetoproviderecommendationsinanadvisorycapacityonlandusematters relatingtoindustrialandeconomicdevelopment. a.ProvidecommentsontheNWMonticelloInterchangeLandUseStudy. b.KeepinformedonthestatusoftheMonticelloNuclearPlantasitrelatestotheNW InterchangeLandUseStudy. c.Thinkoutsidetheboxoncurrentplan. d.Sponsornetworkingindividuallyandinsmallgroupsforinput. 6.Facilitateregionaldevelopmentinitiatives. Economic Development | 4-12008 Comprehensive Plan ~ Updated 2013 Ideally, the Comprehensive Plan does not have an Economic Development chapter. The Land Use Plan would be sufficient to channel market forces to meet the development objectives of the community. In reality, certain development needs cannot be met without public intervention. The Economic Development chapter of the Plan focuses on the aspects of Monticello’s future that require particular attention and action by the City. These actions include: f Attracting and retaining jobs f Expanding the tax base f Enhancing the economic vitality of Downtown f Facilitating redevelopment Attracting and Retaining Jobs The creation and retention of jobs is one of the most important objectives for Monticello. Jobs, particularly jobs with income levels capable of supporting a family, are key to achieving many elements of Monticello’s vision for the future. f Jobs attract residents to the community. Jobs will pay a critical role in creating the type of “move up” housing sought by the City. f Jobs provide the income needed to support local business and government services. f Retention of businesses promote community stability by keeping jobs and residents in Monticello. The Community Context chapter of the Comprehensive Plan contains a section on Employment. This section contains data about employment in Monticello and of its residents. Among the key findings in this section are: f While the community added nearly 5,000 people between 2000 and 2010 according to the U.S. Census, it only added 1,430 jobs according to the Quarterly Census of Employment and Wages (QCEW). In 2010, the community had 6,992 jobs according to the QCEW but 7,093 people in the labor force according to the Census. 4Economic Development Chapter Contents Attracting Jobs ............................4-1 Expanding the Tax Base ............4-3 Enhancing Downtown ...............4-5 Facilitating Redevelopment .....4-7 Development Strategies ...........4-7 4-2 | Economic Development City of Monticello f The U.S. Census Bureau, Center for Economic Studies’ OntheMap website shows that in 2010 4,597 people leave the community each day to work, while 3,849 people come into the community to work. Only 835 both live and work in the community. f Approximately 15% of residents in 2010 are employed within the community. This has dropped from 18% in 2002. f As shown in Figure 4.1, 2012 data from the Minnesota Department of Employment and Economic Development (DEED) on their mnprospector.com website shows that Monticello is made up of a wide range of small to medium sized employers. Only 10 employers have more than 100 employees. Over half have fewer than four (4) employees. f Workers for Monticello businesses come primarily from Monticello and the surrounding region. Nearly 75% of people working in Monticello live in Monticello, adjacent townships, or other places in Wright and Sherburne counties (2010 OntheMap). f Nearly 40% of Monticello residents work in Hennepin County, with the largest percentage in Minneapolis, Plymouth, and Maple Grove. Another 15% work elsewhere in Wright County, including Buffalo and St. Michael. f The 2007-2011 American Community Survey (ACS) Census reported a mean travel time to work of 28.5 minutes. This is up from the 2000 Census travel time of 24 minutes. The mean travel time in the 2007-2011 ACS was 29.7 minutes for Wright County and 24.5 minutes for the region overall. Background Reports The City of Monticello conducts studies and assessments as needed to help guide its economic development efforts. The findings and recommendations of these studies are summarized below with the most recent provided first. 2010 Business Retention and Expansion Research (BR&E) Report Monticello’s Business Retention and Expansion (BR&E) program was initiated by the City of Monticello, the Monticello Chamber of Commerce and Industry, DEED, and the University of Minnesota Extension. It was also sponsored by over a dozen local businesses. Through the BR&E program, 60 businesses were visited. Findings from the visits and data analysis found: f 78% of the visited businesses were locally owned and operated. f 20% of businesses were in manufacturing, 18% in retail trade, and 13% in other services. f The businesses employed over 1,600 full-time and 975 part-time employees, with a trimmed average (an average where the low and high were discarded to prevent skewing) of 15.38 full-time employees, slightly down from 15.52 three years ago. The firms also had a trimmed average of 7.76 part-time employees, up from 6.96 three years ago. f Most full-time employees are in manufacturing, food and beverage, retail trade, and medical, while part-time employees are in medical, retail trade, and tourism/recreational services. f Survey results indicated that the medical industry is the highest employer in Monticello, followed by retail trade and manufacturing. f Businesses in the community are fairly stable with about half expecting some type of change. The BR&E identified four strategies aimed at helping businesses become more profitable. Each strategy was accompanied by a list of potential projects intended to be ideas for the community to explore. The implementation of the projects is intended to be a collaborative effort among the various sectors of the community. The four strategies identified included: Number of Establishments by SizeNumberPercent 1-4 Employees 25452.05 5-9 Employees 9719.88 10-19 Employees 6413.11 20-49 Employees 428.61 50-99 Employees 214.30 100-249 Employees 71.43 250-499 Employees 20.41 500-999 Employees 10.20 Figure 4-1: 2012 Total Establishments by Size Economic Development | 4-32008 Comprehensive Plan ~ Updated 2013 f Improve Business Retention and Expansion Through Technical and Development Assistance. f Improve Labor Force Availability and Productivity. f Improve Infrastructure to Help Move Goods, Customers, and the Labor Force More Efficiently. f Improve and Promote the Quality of Life in Monticello. During the 2013 comprehensive plan economic development update process, it was noted that the 2010 Business Retention and Expansion Research strategies were similar to the 2008 Development Strategies. The review process identified the need to continue similar strategies into the future. Preceding the development of the 2008 Comprehensive Plan an assessment was conducted by St. Cloud State University to determine whether a bioscience park should be established in Monticello. At that time the bioscience industry was an economic development focus statewide. While the attraction of a bioscience business is not a particular focus of Monticello today, there are findings of that study that can be useful to consider in the overall development of economic development strategies for the community. Some of the Monticello’s strengths for attracting businesses included: f Land availability (compared to Metro Area). f Access to major highways (I-94, U.S. 10 and STH 25). f Regional growth of employment base. f Development of local fiber optic system. f Proximity to universities. f Overall location. f Expansive park system. f Monticello Community Center. Recommended business development activities that apply to the attraction and retention of all businesses include ensuring that there are sites suitable and attractive to potential businesses available and ready for development. The community should continue to explore and establish partnerships with a variety of stakeholders that can work together to support business attraction and retention. This includes the identification of funding sources which may be an incentive for businesses locating in Monticello. When available the City should participate in special tax zones that have been made available at the state and federal level to support business development and retention. Expanding the Tax Base A traditional objective of local economic development planning is the expansion of the property tax base. Under the current system of local government finance, property taxes are the largest source of city revenue. For this reason, it is an important aspect of economic development planning in Monticello. Understanding the Property Tax System Effective strategies to promote the growth of the tax base require a clear understanding of the property tax system. Property Valuation There are three forms of property valuation. The foundation of the property tax system is Estimated Market Value. This amount is the value of a parcel of property as set by the County Assessor. In some circumstances, the State Legislature limits the amount of Estimated Market Value that can be used for taxation. These adjustments result in the Taxable Market Value. The value used to calculate property taxes is Tax Capacity. Tax Capacity Value is a percentage of Taxable Market Value. The percentage factors are set by the State Legislature and vary by class of property. Changes in the Tax System Traditional economic development theory seeks commercial and industrial development as a means of building tax base. Historically, the system supported this approach. A dollar of estimated market value of commercial-industrial property carried a higher tax capacity value than residential property. Over the past twelve years, tax “reforms” by the State Legislature have changed this situation. 4-4 | Economic Development City of Monticello Industrial Retail Office Single Townhome Apt Acres 10 10 10 10 10 10 Coverage 30%30%30%3 6 12 Development (SF or Units)130,680 130,680 130,680 30 60 120 EMV per SF or Unit 65 80 100 400,000 250,000 150,000 EMV 8,494,200 10,454,400 13,068,000 12,000,000 15,000,000 18,000,000 Tax Capacity 169,134 208,338 260,610 120,000 150,000 225,000 0 50,000 100,000 150,000 200,000 250,000 300,000 IndustrialRetailOfficeSingleTownhomeApt Ta x C a p a c i t y V a l u e Figure 4-3: Tax Capacity Comparison 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,00 1997 19981999200020012002 to 2012 Ta x C a p a c i t y V a l u e Figure 4-2: Changes in Tax Capacity Value - Commercial/Industrial Economic Development | 4-52008 Comprehensive Plan ~ Updated 2013 The chart in Figure 4-2 shows how legislative changes have reduced the tax base created by commercial- industrial development. This chart is based on the tax capacity value for $3,000,000 of Taxable Market Value. The legislative changes in the rates used to set tax capacity mean that this property produced 56% less tax base in 2012 than in 1997. This trend takes on additional meaning when compared to other classifications of property. Figure 4-3 compares the tax capacity value for the primary forms of development in Monticello. The valuations in this chart are based on assumptions about the density of development and estimated market value of new development. Changes in these assumptions will alter the results. This chart clearly illustrates the current reality for economic development strategies. All forms of development contribute tax base to the community. It is risky placing too much weight on one type of development for tax base growth. In addition, cities do not control the critical elements of the tax system. Changes in the system lead to unanticipated results at the local level. Tax base growth has implications that are unique to Monticello. The chart in Figure 4-4 shows the distribution of taxes payable in 2011. Utilities, likely largely Xcel Energy, contributes about one-third of the City’s taxes, while both commercial/industrial and residential uses contribute 28% each. Enhancing Downtown Maintaining a successful Downtown is an important element of the economic development plan for Monticello. Downtown is a key business district providing goods, services, and jobs for the community. Downtown is unlike any other business district because of its unique role in Monticello’s identity and heritage. The Land Use chapter describes plans, policies, and strategies related to Downtown Monticello. Downtown is part of the Economic Development chapter because of the likelihood that city actions and investments will be needed to achieve community objectives for Downtown. This intervention may include: f Public improvements to provide services or to enhance the Downtown environment. f Provision of adequate parking supply. f Acquisition of land. f Preparation of sites for development. f Removal of other physical and economic barriers to achieve community objectives. These actions may require the use of tax increment financing, tax abatement, or other finance tools available to the City. In 2011, the City of Monticello conducted a retail market study for Downtown Monticello. The report, Embracing Downtown Monticello, has been incorporated in the Comprehensive Plan as an appendix and serves as a resource for the implementation of the Comprehensive Plan. The study included many components including an identification and analysis of existing businesses, evaluation of shopping areas that are competition for Downtown, a survey of customers, delineation of the trade area, and the establishment of market demand for various businesses. Figure 4-4: Distribution of 2011 Taxes Payable Public Utility 9,707,817  50% Residential Homestead 3,470,090  18% Commercial/Industrial 4,787,530  24% All Other 1,614,256  8% 4-6 | Economic Development City of Monticello Some findings of the study included: f Downtown Monticello enjoys a strategic location between the Mississippi River and I-94. This focuses traffic on TH-25 resulting in traffic counts higher in Downtown than south of I-94 f Due to physical barriers created by the Mississippi River and I-94, about one-third of Downtown and secondary trade area shoppers must pass through Downtown Monticello to reach the shopping areas south of I-94. f Downtown has the largest concentration of shopping goods stores and restaurants. f Downtown’s trade area population was estimated at 93,500 in 2010 and is projected to have an annual growth rate of 2.2%. f Monticello’s large anchor stores (Cub Foods, SuperTarget, Walmart, and Home Depot) create a secondary trade area. The population of the combined Downtown and secondary trade areas was 127,190 in 2010. f CentraCare Health System, with 25 beds and 600 employees has established Monticello as a regional medical center. f Increased residential development stimulates increased commercial development. The recent economic conditions have slowed residential development, thus resulting in reduced tenant demand for retail space. f Additional retail space in Downtown Monticello can be supported by the trade area population. A range of store types can be considered including shopping goods, convenience goods, and food establishments. Downtown’s existing wide variety of services limits potential future opportunities. However, market research indicates that Monticello could support additional medical practices. Figure 4-5: Embracing Downtown Monticello Primary and Secondary Trade Areas Economic Development | 4-72008 Comprehensive Plan ~ Updated 2013 Facilitating Redevelopment The Comprehensive Plan seeks to create a place where land use plans, policies, and controls work together with private investment to properly maintain all properties in Monticello. It is recognized that this approach may not succeed in all locations. Despite the best plans and intentions, properties may become physically deteriorated and/or economically inviable. In such places, city intervention may be need to facilitate redevelopment and prevent the spread of blight. This intervention may include: f Acquisition of land. f Preparation of sites for development. f Construction or reconstruction of public improvements. f Provision of adequate parking supply. f Remediation of polluted land as needed. f Removal of other physical and economic barriers to achieve community objectives. These actions may require the use of tax increment financing, tax abatement, or other finance tools available to the City. Development Strategies The following strategies will be used to implement the Comprehensive Plan in the area of Economic Development: 1. The City must use the Comprehensive Plan to provide adequate locations for future job- producing development (Places to Work). 2. The City should adhere to the Comprehensive Plan to encourage stable business setting and promote investment and expansion of facilities. 3. The City should coordinate utility planning and manage other development to ensure that expansion areas are capable of supporting new development in a timely manner. 4. The City will continue to work with existing businesses to maintain an excellent business environment, retain jobs, and facilitate expansions. 5. In addition to assisting business seeking to locate in Monticello, the City should actively target and market to businesses which will be a supplier, customer or collaborative partner to existing businesses within the community. 6. The City should target and market to businesses which would benefit from Monticello’s utility and communications infrastructure. 7. The City will work with the CentraCare Health System to ensure the retention and to promote the expansion of health care services in Monticello. 8. The City will use the Comprehensive Plan to maintain and enhance the quality of life in Monticello as a tool for attracting businesses and jobs.