Loading...
HomeMy WebLinkAbout10-23-01-01 Economic Development Commission Meeting Minutes October 23, 2001 City of Lakeville Economic Development Commission Meeting Minutes October 23, 2001; 6:00 p.m. Lake Marion Conference Room, City Hall Members Present: Vogel, Pogatchnik, Tushie, Jerry Erickson, Miller, Bornhauser, Brantly, Emond, Ex-Officio Member Robert Erickson, Ex-Officio Member Bornhauser. Members Absent: Schubert, Matasosky. Others °resent: Staff prasci Dan~nis Feller, Fnunce Director Ann Flad, Eccna~~ic Development Coordinator; Paul Steinman, Springsted; Mikaela Huot, Springsted. 1. Call Meeting to Order. Chair Vogel called the meeting to order at 6:03 p.m. in the Lake Marion Conference Room of City Hall, 20195 Holyoke Avenue, Lakeville. 2. Approve August 28, 2001 meeting minutes. Motion 01.23 Comms. Pogatchnik/Emond moved to approve the minutes of the September 25, 2001 meeting. Motion carried unanimously. 4. A.) 2002-2004 Strategic Plan -Discuss Draft Work Plans. Chair Vogel indicated that item 4.A. would be moved to the beginning of the agenda. Chair Vogel indicated that he worked with staff to develop draft Work Plans which outline proposed steps to be taken in the implementation of the Strategic Plan Goals. The proposed work plans were developed based on the input from Commissioners at the last meeting. Ms. Fled reviewed the proposed work plans as follows: To Inform and educate residents on benefits of C/I base to gain conununity support and appreciation for business growth. • So residents can learn to accept some things they don'[ wan[ for the good of the "whole." • 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 hqw the City Budget is provided for -use tangible examples (income flows) G:WFIad\Econdev projects\EDC12001 mtg51910ctobe~1102301 minutes.doc 1 Economic Development Commission Meeting Minutes Octobei 23, 2001 ''.ap~'''Ji~li~l';fW"'' t AMion Ste Res onsibilit Bud et Outcome Timeline 1. Define tangible benefits and/or value of EDC commerciaUindustrial development for Lakeville's residential, business, and overnmental sectors • Identify target audience (Who we are trying to communicate to, what is their understanding what are their needs?) • Identif messa a (Research information. 2. °romote,~"SeIP' the benefits ~f c:,. L,.cre~al/industrial - development to target markets • Identify communications channels for each target audience • Develop and capitalize on partnerships to communicate messa e Commissioners reacted favorably to the proposed work plan for goal #1. Chair Vogel indicated that the target audience for this goal is the residential population of Lakeville. Comm. Tushie suggested that the EDC's message that is developed include a discussion on the commerciaUindustrial growth referenced in the Comprehensive Plan. Comm. Brantly suggested that the message includes financial and other benefits that commercial/industrial development brings to residents. Comm. Brantly also indicated a desire to work with staff on implementing this goal. City Administrator Robert Erickson also indicated that the balance of commercial/industrial development influences the City's bond rating and this should be incorporated into the message shared with residents. Financial planning for community -encourage community paztners -schools, city, county, state, etc. to provide input to create basic financial models that can be used [o visualize and measure potential threats, outcomes, and overall impacts of our efforts to improve financial position of the city in the future. • 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. Page 2 of 6 G:\P,Flad\Econdev projects\EDC\2001 mtgs\91 Octo6er\102301 minufes.doc Economic Development Commission Meeting Minutes October 23, 2001 • C}early communicate tax impact of business. h'„ ~ , Action Ste s Res onsibilit Bud et Outcome Timeline 1. Define Goals of Cit ,School and Count Subcommittee a. Determine Priorities of Cit ,School District, Count b. Determine Common Goals of City, School District, and Count 2. Conduct acost-benefit anal sis for the oals defined 3. Develo a lao to achieve the oal(s) identified 4. h;i lenient lari Commissioners discussed methods of determining the priorities and common goals of the City, School District and County. It was concluded that several EDC members would meet with Superintendent Amoroso of the School District and with the appropriate people within Dakota County (not the Dakota County Economic Development Partnership, as this is a separate entity) to discuss each organization's goals and needs and to determine grounds for further discussion. These meetings will take place at the School District and County offices respectively.. The representatives of those organizations may then be asked to attend an EDC meeting to promote further discussion. Encourage investigation of all potential upgrade opportunities in critical "business infrastructure" elemends - phone, data, and other infrastructure, to proneode positive outcomes for long term. • 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 [o 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 to community's advantage. Action Ste s Res onsibilit Bud et Outcome Timeline 1. Identify target audience(s) - (Who do we want to Subcommittee provide infrastructure for -national commercial retailers, regionallcorporate headquarters, certain types of indusu ,etc?) Page 3 of 6 G:\APlad\ECOndev projects\EDC\2001 mtgs\91 October\102301 minutes.doc Economic Development Commission Meeting Minutes October 23, 2001 2. Determine what type(s) of infrastructure our targeted audiences need, 3. Develop a plan for encouraging those types of infrastructure developments in Lakeville once identified. Commissioners expressed support for the proposed work plan for goal #3. It was suggested that a task force look at surrounding jurisdictions' infrastructure plans in addition to looking at the City's needs. City Administrator Erickson suggested looking at other communities for models. 4. 2000-2001 Strategic Plan Update -Labor Force Committee Ex-Officio member Bornhauser gave an update on the progress of the HR/Labor Force Committee. The HR Committee of the Chamber has received additional information from NationJobs, the organization they have chosen to partner with for a JobslnLakeville web site. NationJobs has a long partnership with the national Chamber of Commerce, and this partnership is launching a new pricing strategy, called "Chamber Responds" in light of the country's September 11th tragedy and subsequent economic situation. The "Chamber Responds" initiative suspends the traditional pricing for local Chambers of Commerce ($19,000) to create a local page on NationJobs. Instead, the new initiative offers Chambers the opportunity to launch local pages on the NationJobs site and allows the Chamber to offer every company in Lakeville the opportunity to list job openings on the site for the total community cost of two individual company memberships. The reduced cost may make it financially feasible for the JobslnLakeville program to be launched in spite of the hesitancy of companies to spend money on recruitment tools at this time. Ryt-Way and Menasha have indicated that they will subscribe to NationJobs. This may meet the requirement of the new "Chamber Responds" initiative and allow the JobslnLakeville program to proceed. Mr._ Bornhauser of the_Lakeville_Area Chamber of Commerce and Gary Tholkes, Chair of the HR Committee of the Chamber, will be exploring the "Chamber Responds" option further. 6. Manufacturing & Technology Month 2001 Ms. Flad reported that the City Council proclaimed October 22-November 23 as Manufacturing & Technology Month in Lakeville at their October 15, 2001 Council meeting. This marks the eighth annual recognition of the contributions manufacturers bring to the Lakeville community. Page d of 6 G:\AFlad\Econdev projects\EDC\2001 mtgs\91 October\102301 minutes.doc Economic Development Commission Meeting Minutes October 23, 2001 A copy of the Proclamation will be printed on the Messages page of the Lakeville This Week Life and Times Newspaper. Each week during manufacturing month, a fact or figure about Lakeville's manufacturers will be included on the Messages page. A Recognition Luncheon is also planned for November 8, 2001 at 11:30 at Brackett's Crossing Country Club. Mr. Ken 5tirtz of Minnesota Waste Wise will speak about how manufacturers can capitalize on their by-products, and City staff will present "In Pursuit of a High-Tech Future: The City of Lakeville" as was presented to the EDC in September. Mayor Johnson will present each manufacturer in attendance with a-copy of the Proclamation along with a certificate of appreciation from Governor Ventura. 1. Incentives Study Paul Steinman and Mikaela Huot of Springsted presented the EDC with the final Incentive Tools document. Eighteen tools are presented in the study as possible means of funding 33 different economic development objectives that the EDC previously listed. I he incentives Subcommittee has reviewed the document and recommends acceptance of it The Incentive Subcommittee requested additional information on five tools: • Tax Increment Financing: In spite of legislative changes that will reduce the amount of revenue generated in existing districts, TIF will remain the tool of .choice for redevelopment, soils contamination and housing. • Tax Abatement: Mr. Steinman suggested creating a Tax Abatement Pool whereby the City creates a tax abatement program and holds the funds for future project(s) and thereby provide upfront assistance for future projects. • Industrial Development Revenue Bonds: IDRB's have not been the tool of choice thus far because of TIF, but the changes in TIF will make it more popular. • DTED's MN Investment Fund: MIF is what was used for the New Morning Windows project in Lakeville. It is a competitive application process and continues to be a very good source of funding business development and seeding Revolving Loan Funds. • DTED's_Redevelopment Fund: The Redevelopment Fund was not funded by the legislature this year, but there is strong support for funding it in future years. It provides gap financing. Mr. Steinman also suggested that the Economic Development Fund, Revolving Loan Fund, and GDBG be further examined. Mr. Steinman indicated that the EDC could further explore the uses and limitations of these tools through workshops developed by Springsted. Springsted could also work with the EDC to develop policies and application processes to assist in evaluating the appropriateness of projects relative to these incentives. City Administrator Erickson indicated that the-most difficult obstacle for the City to overcome relative to future development is funding the upgrade of the interchanges on I-35. The interchanges need to be upgraded in order to allow for access to property Page 5 of 6 G:\4FIad\Econdev projects\EDC\2001 mtgs\910ctober\102301 minutes.doc - Economic Development Commission Meeting Minutes October 23, 2001 and the subsequent development of land adjacent to I-35. Comm. Tushie questioned whether a special service district could be created along the I-35 corridor to fund improvements. Mr. Steinman indicated that a special service district may be possible if all land owners agree. City Administrator Erickson noted that the special service district idea is a creative way of exploring options for financing the interchange upgrades. Motion 01.24 Comms. Emond/Miller moved to recommend the City Council accept Springsted's October 15, 2001 Financial Tools Document as presented. Motion carried unanimously, Motion 01.25 Comms. Tushie/Brantly moved to recommend the City Council engage Springsted to explore creative options available for financing the upgrade of Lakeville's interchanges. Motion carried unanimously. City Administrator Erickson also indicated that the City of Lakeville has nine existing TIF districts. They are not running a deficit. The legislative changes to TIF require Cities to pool their districts and use those funds prior to applying for special assistance through the state. The City of Lakeville anticipates pooling the districts' revenues. 5. Adjourn. The meeting was adjourned at 7:58 p.m. Respectfully submitted by: Attested to: Ann Flad, Recording Secretary R.T. B~rantly, Secretary Page 6 of 6 G:U1FIad\Econdev projectslEDC\2001 mtgs\91 October\102301 minutes.doc