HomeMy WebLinkAbout09-25-01-01 Economic Development Commission
Meeting Minutes
September 25, 2001
City of Lakeville
Economic Development Commission
Meeting Minutes
September 25, 2001; 6:00 p.m.
Lake Marion Conference Room, City Hall
Members Present: Vogel, Matasosky, Pogatchnik, Tushie, Erickson, Miller,
Bornhauser, Schubert, Brantly.
Members Absent: Emond.
Others Present: City Staff: Robert Erickson, City Administrator; Ann Flad, Economic
Development Coordinator; Jeff Leuders, Cable Coordinator.
1. Call Meeting to Order. Chair Vogel called the meeting to order at 6:04 p.m. in the
Lake Marion Conference Room of City Hall, 20195 Holyoke Avenue, Lakeville.
4.A.) High Tech Subcommittee
Chair Vogel indicated that item 4.A. would be moved to the beginning of the agenda.
. Ms. Flad indicated that the High Tech subcommittee is preparing to meet with
telecommunications service providers to determine their interest in enhancing a
presence in Lakeville. The presentation included the following information:
In Pursuit of a High-Tech Future
The City of Lakeville
Why High Tech in Lakeville?
• Lakeville residents are computer literate - 64% reported having access to a computer
• 13% of all residents operate a home based business and 2/3 of those telecommute
• More professional job opportunities are needed in Lakeville: 90% of residents commute to
other cities for work
• Businesses in Lakeville desire more technology options
The High Tech Subcommittee
• Authorized by the City Council, this subcommittee is comprised of Economic Development
and Telecommunications Commissioners
• The purpose of the subcommittee is to identify and implement strategies that strengthen
businesses ability to use technology in Lakeville, thereby providing additional
opportunities for residents.
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Goals of High Tech Project
• • Develop a High Tech Business Park
• Encourage additional service to Lakeville's existing businesses
• Educate the community on telecommunications options
Lakeville Is The Place To Be'
• Quality public neighborhood schools and private schools
• Three Technical Colleges, the University of MN and eight private universities within 45
minutes
• Highest perception of neighborhood safety in Metro Area
• Within a thirty-minute drive of 25 major Minnesota attractions, including 10 minutes m the
Minnesota Zoo, 1 S minutes to the Mall of America and Camp Snoopy, I S minutes to Valley
Fair, and 25 minutes to Cabela's.
• 1,100 acres of recreational land in 53 parks
• 60+ miles of
pedestrian bike Grails
• Public boat launches, swimming beaches and fishing piers
• Dakota County Heritage Library, Ames Ice Arena, Lakeville Area Arts Center
• Two golf courses within Lakeville and ten additional courses within twenty minutes
• Wide range of life cycle housing options with purchase prices from approximately
$130,000 to over $1,000,000
Lakeville Is The Natural Place For Telecommunications Growth
• Southern Gateway to the Metro (convenient access for to customers and workforce an both
southern MN and the Metro area)
. I-35 runs through Lakeville and Cedar Avenue provides an alternate north-south route.
County roads 46, 23, 50,60, 70 provide additional access
• Strong and growing business environment with over 800 businesses
• Airlake Park is home to over 90 businesses, including international businesses and
company headquarters
• Land available for additional development
• Second lowest tax-capacity rate in Dakota County
• Population growth provides more opportunities:
43,128 residents in 2000,
59,000 residents by 2010
74,000 by 2020 (surpassing Eagan, Burnsville & Apple Valley)
• 20 minutes to International Airport via two routes '
• Home of Airlake (MAC) Reliever Airport
• Fairfield Business Campus is home to sophisticated regional and corporate headquarters
Existing Telecommunications Use By Lakeville Businesses
• Mail and phone surveys were conducted with businesses, with 52 respondents
• Over two-thirds of the respondents (69%) are interested in telecommunications in
Lakeville
• 42% of businesses have other locations to communicate with
• 69% of responses indicated company headquarters in Lakeville; 26% indicated
headquarters in other locations
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Voice Technologies Being Used
• • 44% use a PBX or Centrex system
• 426 POTS lines are operated by the respondents (not including the school district's lines}
• 21 companies use T-I's or Fractionalized T-1 's
• Respondents indicated it takes an average of 9 days to get new service installed
• Businesses indicate they would like to have a choice in services and providers
• 3747 LAN work stations reported from 33 businesses
• 12 businesses currently use a WAN
• Mosr frequent WAN connections:
1. T-1
2. Frame-relay
3. 56kbps
4. ISDN
• 91% of respondents have Internet access
• Most frequentinternetconnections:
1. Dial-up Modem
2. xDSL
3. T-1
4. ISDN
Future External Data Needs
• Sharing data (9 companies)
• Accessing other corporate locations (6)
• Accessing information managed by an ASP (7)
• Creation of Virtual Private Networks (7)
• IP Telephony (I )
• E-Commerce (9)
• EDI (7}
• Desktop video confereneing (7)
• Research via Internet (8)
• Other (I)
• 8 companies report their needs are net being met at this time
Questions for Service Providers
• Do you provide service in Lakeville? What service? Where?
• Do you have plans to increase service and/or infrastructure in Lakeville?
• How would you suggest Lakeville pursue getting your company involved in the
development of a High Tech Business Park?
• How would you suggest Lakeville assist in encouraging and/or introducing additional
telecommunications services to businesses?
Discussion erisued about the nature of the meetings that will be held with the
telecommunications service providers. Mr. Lueders indicated that the subcommittee
will use the knowledge gained by the companies that do not have a presence in
Lakeville to encourage those with an existing presence to increase their service and/or
• infrastructure. Ms. Fled indicated that the High Tech Subcommittee is reviewing the
draft of the presentation and their comments will be incorporated into the final
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September 25, 2001
presentation format. City Administrator Erickson suggested that the presentation be
• made available to executives of local companies in order to share with them the efforts
the City is undertaking to enhance the business environment in the community.
2. Approve August 28, 2001 meeting minutes.
Motion 01.22 Comms. Pogatchnik/Matasosky moved to approve the minutes of
the August 28, 2001 meeting. Motion carried unanimously.
3. 2002-2004 Strategic Planning
Each Commissioner ranked the Critical Issues of the Strategic Work Plan via fax. Ms.
Flad compiled the responses and provided Commissioners with each issues' composite
ranking as listed below:
1. Inform and educate residents on benefits of C/I base to gain community support and appreciation
for business growth.
2. Financial planning for community -encourage community partners -schools, city, county, state,
etc. to provide input to create basic financial models that can be used to visualize and measure
potential threats, outcomes, and overall impacts of our efforts to improve financial position of city
in future.
3. Encourage investigation of all potential upgrade opportunities in critical "business infrastructure"
elements -phone, data, and other infrastructure, to promote positive outcomes for long term.
3. Identify solutions for affordable and lifecycle housing.
4. Assess impact of interchange priorities for 60-70-50.
5. Need for major transportation arteries in the city including the need to provide adequate access to
commercial/retail/industrial areas.
6. Encourage the use of development tools, e.g.: PUD's to integrate city design standards with new
developments to achieve overall consistencies.
7. Develop specific marketing for commercial growth.
8. Anticipate emerginy/future city economic development issues and develop a proactive solution.
9. Need to have a proactive budgeting process for EDC.
9. Current lack of retail.
10. Work to retain the historical flavor of downtown area, developing it into a vibrant business
community & ensuring its long-term viability.
11. Affordability of land
12. Investigate/encourage expansion of airport and rail opportunities and their impact on the C/l
community.
• 12. Make use of Southern Gateway opportunities and proximity to both metro areas.
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13. Continue to partner with Lakeville Chamber and DLBA for promoting Lakeville's identification -
• "Where we are located."
14. Implementation of Gateway and Corridor Plan -need defined plan for implementation
15. I-35 Corridor enhancements
16. Explore issues related to East-West Corridor
Chair Vogel suggested that the EDC develop Work Plans for the top three issues.
Work Plans for subcommittees may complete additional issues in the future. The
highest ranking critical Issues are listed below, along with Commissioners' suggestions
each respective Work Plan. Chair and staff will present draft work plans to the
Commissioners at the next EDC meeting.
1. Inform and educate residents on benefits of C/I base to gain community support and
appreciation for business growth.
Whv educate and inform?
• So residents can learn to accept some things they don't want for the good of the
'Sruhole:'
• Show residents the benefits )(fiscal) that business provides to them.
• Building "partnership" mentality between residents & businesses.
• Show residents why business growth is good for them.
• As residents see tax impact between business & resident levels, have them continue
• to appreciate the benefits of business base.
• Show wide range of benefits (beyond fiscal) that businesses provide a community.
• Have residents that are informed about how the City Budget is provided for -use
tangible examples (income flows.)
2. Financial planning for community -encourage community partners -schools, city,
county, state, etc. to provide input to create basic financial models that can be used
to visualize and measure potential threats, outcomes, and overall impacts of our
efforts to improve financial position of city in future.
Financial Partnering
• Communication system (method) to have all related entities working toward common
goals.
• Define common goals.
• Build understanding between business & education system on each other's needs
and goals.
• Share information so all entities understand each other's fiscal needs.
• Bridge culture differences between business-city-school-county.
• Build understanding on how tax incentives can benefit everyone -even those who
think they "loose."
• Find ways to involve public (residents, businesses) in providing community
(education, etc) needs.
• Define Common benefits of school, city business, county (synergy & what they
provide each other).
. Find ways to have all entities utilize common benefits to help enhance each other.
• Clearly communicate tax impact of business.
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• 3. Encourage investigation of all potential upgrade opportunities in critical "business
infrastructure" elements -phone, data, and other infrastructure, to promote positive
outcomes for long term.
Potential Infrastructure Upgrades
• Anticipate future needs so when business needs them they are ready.
• Be proactive on technology rather than reactive.
• Capture the wealth of existing resources (fiber, etc.) as quickly as possible.
• Properly market our needs to encourage providers to make their investments here.
• Method to anticipate any infrastructure that does not yet exist but will be part of our
community.
• Airlake Airport used fo community's advantage.
4. 2000-2001 Strategic Plan Items:
A.) Incentives Subcommittee
The Incentives Subcommittee met on Tuesday, September 18, 2001 to review the final
draft of Springsted's Incentive Tools document.
The subcommittee discussed exploring the following incentives in more detail:
• Tax Abatement
• Industrial Development Revenue Bonds
• DTED's MN Investment Fund and Redevelopment Fund
• Additionally, Springsted indicated that an HRA Special Levy and an EDA Special Levy
could potentially be used to generate funds to address economic development activities
in the City. Burnsville is currently considering an EDA levy that would generate a
maximum of $568,000 for 2002. Implementation of all or a portion of this levy will be
considered by Burnsville when the final budget decisions are made.
Springsted will be presenting additional information on tax abatement, IDRB's DTED's
MIF, MN Redevelopment Funds, and Special Levies at the October 23, 2001 EDC
meeting.
Ms. Flad indicated that the EDC may also wish to review the document annually after
legislative changes, and may also wish to encourage incorporation of the Incentive
Tools Document into each Strategic Work Plan that is under development.
B.) Labor Force Committee
Staff met with Todd Bornhauser of the Chamber and Gary Tholkes, Chair of the HR
Committee, to provide Airlake businesses greater involvement in the implementation of
the JobslnLakeville project. Staff provided the Chamber with a template for the
subscription brochure and has processed a $1,000 grant from UtiliCorp United that will
• be used for implementation of this project. The EDC and staff will continue to support
the effort but will take a less active role in the project implementation.
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• Mr. Bornhauser of the Lakeville Area Chamber of Commerce indicated that He and Mr.
Tholkes will be sending out letters to approximately 20 businesses to determine the
level of interest in using the JobslnLakeville product at this time. After businesses
respond, the HR Committee will determine when to launch the project to maximize
success.
5. Manufacturer's Month 2001 -update
Staff, along with Todd Bornhauser of the Chamber, have been exploring potential
speakers for a manufacturer's luncheon to be held during Manufacturing & Technology
Month October 22-November 23, 2001. Suggestions for speakers are being solicited
from the following organizations:
Minnesota Chamber of Commerce
Minnesota Waste Wise
Dakota Electric
UtiliCorp United
American Society for Quality - MN
Minnesota Council for Quality
Minnesota High Tech Association
Minnesota Technology
Make It In Manufacturing Technology
DHY
U.S. Small Business Administration
• University of Minnesota -Carlson School of Management
Discussion ensued about the type of presentation that would be of interest to
manufacturers. It was suggested that a topic with universal applicability to businesses
would be of more interest to manufacturers and others who would be invited to a
luncheon. City Administrator Erickson suggested that businesses would be interested
in the High Tech Subcommittee's efforts and the presentation that has been prepared
for telecommunications service providers. Ms. Flad and Mr. Bornhauser will explore
more universal topics.
Staff also met with John Sucansky of Lakeville This Week Life & Times newspaper and
Todd Bornhauser of the Chamber to encourage the newspaper's participation in
promoting manufacturing businesses. A copy of the Mayor's Proclamation will be
included on the Messages page of Lakeville This Week Life & Times as it has been in
previous years. Mr. Sucansky indicated he would explore doing a special assignment
on manufacturing, along with several other options. Staff will be meeting with Mr.
Sucansky during the week of September 24-28 to further discuss options.
Staff has also been researching statistics and other information which can be
incorporated into articles for Airlake News, Lakeville This Week Life & Times, and the
Sun Current,
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6. MN 6`" Annual Development Conference, October 25-26, 2001
City Administrator Erickson indicated that the City Council continues to be interested in
educating Commissioners on relevant Economic Development topics, and therefore is
providing an opportunity for Commissioners to attend the 6`" Annual Development
Conference to be held October 25-26, 2001. Concurrent sessions on Workforce
Development, Technology, Housing and Finance will be held which attendees can
choose to participate in. These topics are particularly relevant to the recent efforts of
the Lakeville EDC. Comm. Matatsosky and Comm. Brantly indicated they would attend
one day. Ms. Fled will arrange for registration and payment.
7. Adjourn.
The meeting was adjourned at 8:46 p.m.
Respectfully submitted by: Attested to:
P~,-~ e!~
Ann Flad, Recording Secreta`ry~ R.T. Brantly, Secretary
•
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