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HomeMy WebLinkAbout02-22-18 -" •4 PRO AGENDA REGULAR ECONOMIC DEVELOPMENT AUTHORITY MEETING February 22, 2018 6:30 PM Room 170 Todd Larson, Chair; Geraldine Jolley, Vice-Chair Robyn Craig, Steve Wilson, Hannah Simmons Jake Cordes, Steve Corraro 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVE AGENDA 5. CITIZENS COMMENTS 6. CONSENT AGENDA (a) Meeting Minutes (November 30, 2017, Regular Meeting) (b) Monthly Financial Statements 7. PUBLIC HEARINGS 8. DISCUSSION ITEMS (a) 2018 EDA Organizational Items (b) 2040 Comp Plan Update - Economic Development Chapter (c) Open to Business Joint Powers Agreement (d) Downtown Facade Improvement Program Guidelines 9. DIRECTOR'S REPORT (a) February Director's Report 10. ADJOURN yoFAtt , City of Farmington . p 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 .,.,,p www.ci.farmington.mn.us TO: Economic Development Authority FROM: Cynthia Muller,Administrative Assistant SUBJECT: Meeting Minutes (November 30, 2017, Regular Meeting) DATE: February 22, 2018 INTRODUCTION/DISCUSSION Please find attached the draft meeting minutes from the November 30, 2017, EDA meeting. ACTION REQUESTED Approve the November 30, 2017, EDA minutes. ATTACHMENTS: Type Description D Backup Material Minutes MINUTES ECONOMIC DEVELOPMENT AUTHORITY Regular Meeting November 30, 2017 1. CALL TO ORDER The meeting was called to order by Chair Larson at 6:30 p.m. Members Present: Larson, Cordes, Corraro, Jolley, Simmons, Wilson Members Absent: Craig Also Present: Adam Kienberger, Community Development Director; Kara Hildreth 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVE AGENDA MOTION by Corraro, second by Cordes to approve the Agenda. APIF, MOTION CARRIED. 5. CITIZEN COMMENTS 6. CONSENT AGENDA MOTION by Simmons, second by Corraro to approve the Consent Agenda as follows: a) Approved Meeting Minutes (September 28, 2017, Regular Meeting) b) Monthly Financial Statements Member Jolley asked about the Other Financing Sources of(8,499)under December YTD Actual Budget Variance 2017. She asked if this means we came in under money that was to be allocated or did we use more than we thought we would. Staff explained we receive revenues on a monthly basis as part of an annual $40,000 basis. So it is not a true year end amount because we have not received the last two months transfer. c) Approved CDBG Subrecipient Agreement—Program Year 2017 d) Authorized Tax Increment Note—Legacy of Farmington APIF,MOTION CARRIED. 7. PUBLIC HEARINGS 8. DISCUSSION ITEMS a) 2017 Downtown Facade Improvement Program Summary In 2017 a total of$5,000 in grant funds was distributed to two businesses with projects totaling$17,948. There were three businesses that applied for a grant and were approved, but did not follow through with their project. Staff will market the program in early 2018. EDA Minutes(Regular) November 30,2017 Page 2 Member Simmons asked if staff could create a five-question survey as to why the business wouldn't participate in the program. Member Jolly noted many of them are renters and building owners live out of town. There is also the need for matching dollars. Member Simmons asked about presentations on the program to the FBA. This was done at the beginning of the program. The survey could be included in the initial mailing to the building owner. b) 2018 Community Development Block Grant Allocation The city will be receiving an estimated $31,775 in CDBG funds for program year 2018 (July 1, 2018—June 30, 2019). Staff is proposing the funds be allocated between four activities: $15,000 allocated to a Highway 3 corridor planning study for redevelopment opportunities. This would allow us to pursue a CDA Redevelopment Incentive Grant in the same amount and meet the match requirements. $10,000 for the Commercial Rehabilitation Grant Program. $5,000 to Senior Services—Financial Support Program. $1,775 for the Residential Rehabilitation/Home Improvement Loan Program. Member Jolley asked about the Highway 3 planning study and which part of Highway 3. Staff explained they will know more after the completion of the comprehensive plan. Based on the comments,they will tell us which area along Highway 3 has the most interest. Member Jolly noted half of our allocation is being directed toward a vague study. She would like the EDA to have some input in the study. Member Simmons noted Rosemount and Northfield have invested in their Highway 3 corridor and those along Highway 3 in Farmington would like to have pride in their area also. MOTION by Wilson, second by Corraro to approve the CDBG allocation of $31,775 for PY2018 as noted above. APIF,MOTION CARRIED. 9. DIRECTOR'S REPORT a) November Director's Report The Urban Land Institute spoke to the City Council,EDA and Planning Commission on upcoming challenges and strategies for economic development. EDA members were very impressed with the presentation. Member Wilson felt the EDA needs to be more focused on one or two things, such as on getting people to downtown. Chair Larson noted they mentioned the large amount of industrial space that will be needed. This coming year will be the final year for the current Economic Development Strategic Plan. Towards the end of 2018 we will look at creating a new strategic plan. This will be discussed during the summer. EDA Minutes(Regular) November 30,2017 Page 3 The next meeting is scheduled for December 28, 2017. Staff proposed canceling that meeting and have a meeting in mid-January. It was decided to cancel the December meeting and have the next meeting on January 25, 2018, as scheduled. 10. ADJOURN MOTION by Corraro, second by Cordes,to adjourn at 7:20 p.m. APIF, MOTION CARRIED. Respectfully submitted, Cynthia Muller Administrative Assistant o 1ARf r City of Farmington 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 www.ci.farmington.mn.us TO: Economic Development Authority FROM: Adam Kienberger, Community Development Director SUBJECT: Monthly Financial Statements DATE: February 22, 2018 INTRODUCTION/DISCUSSION Please find attached the monthly financial statements for the EDA. ACTION REQUESTED ATTACHMENTS: Type Description D Exhibit Financial Snapshot- February o Exhibit Actual vs. Budgeted Revenues and Expenses Department Actual vs Budget-Generic Time Period Business Object Account Cumulative 12 Cumulative 12 Cumulative 12 Unit Account Description Actual Budget Proposed 2018 2018 2018 2000-HRA/ECONOMIC DEVELOPMENT 1010 CASH 294,202.33 2000-HRA/ECONOMIC DEVELOPMENT 1010 CASH-LGA ASSMNT RELIEF 35,000.00 2000-HRA/ECONOMIC DEVELOPMENT 3510 UNRESERVED FUND BALANCE -309,223.37 2000-HRA/ECONOMIC DEVELOPMENT 4404 FEDERAL GRANT -21,808.50 2000-HRA/ECONOMIC DEVELOPMENT 4955 INTEREST ON INVESTMENTS 0.00 -3,100.00 -3,100.00 2000-HRA/ECONOMIC DEVELOPMENT 6401 PROFESSIONAL SERVICES 0.00 11,680.00 11,680.00 2000-HRA/ECONOMIC DEVELOPMENT 6403 LEGAL 0.00 4,000.00 4,000.00 2000-HRA/ECONOMIC DEVELOPMENT 6404 IT SERVICES 691.42 8,297.00 8,297.00 2000-HRA/ECONOMIC DEVELOPMENT 6422 ELECTRIC 20.53 300.00 300.00 2000-HRA/ECONOMIC DEVELOPMENT 6426 INSURANCE 10.09 130.00 130.00 2000-HRA/ECONOMIC DEVELOPMENT 6450 OUTSIDE PRINTING 0.00 500.00 500.00 2000-HRA/ECONOMIC DEVELOPMENT 6460 SUBSCRIPTIONS&DUES 595.00 2,500.00 2,500.00 2000-HRA/ECONOMIC DEVELOPMENT 6470 TRAINING&SUBSISTANCE 275.00 3,000.00 3,000.00 2000-HRA/ECONOMIC DEVELOPMENT 6485 MILEAGE REIMBURSEMENT 0.00 1,000.00 1,000.00 2000-HRA/ECONOMIC DEVELOPMENT 6492 ADVERTISING 0.00 3,000.00 3,000.00 2000-HRA/ECONOMIC DEVELOPMENT 6570 PROGRAMMING EXPENSE 0.00 17,000.00 17,000.00 2000-HRA/ECONOMIC DEVELOPMENT 7310 OPERATING TRANSFERS 237.50 2,850.00 2,850.00 Total 2000-HRA/ECONOMIC DEVELOPM 0.00 51,157.00 51,157.00 0.00 51,157.00 51,157.00 0.00 51,157.00 51,157.00 2/15/2018 1:34:00 PM Page 1 of 1 a- 4- 0 4) CO m 0- • C) 0 0 0 0 0 0 0 0 0 0 0 0 0 00 0 0 0 0) C GO l3 a- cci CO 7 cod 0p LL m R r Q CO d W 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CI •7 a- .15—0 0 CI)m N LL - C O O a) 0 0 0 0 0 0 CD 0 0 0 0 0 0 0 0 C) CO C)CO CO CO C0 OO 7 w 0ci)Q N N N N LL y-. ✓ 0 0 0 O O 0 0 O) O 0 0 LO 0 O O a- )- (0 N C o p .o 0 Co I� N 0 O N 0 O CD CO r (p Cp M CO o r v v CO„ f� O O 0 CO 00 i 171 03 !h V �. .N.. .M.. v CO N N CO V OS>CO C-4313) 8 O CO N Q • 'm To W > N a = o 0 0 CD CD N- 0 0 0 0 0 0 0 0 F- F- 0 0 F.:7- 4-, i'_'1 o O co o O) o co O O O O O 0 0 O O co of r CO O N M LO O O O O a 0, min I- Q W'a p M M r 'd' W N M M )eC1 N N h 7 N `- L. v i 0 0 0 O 0 O O CD LU h o O O N N W C- O) N O) N- O) C) 7 CO co LU N N 01 N .MN.. CO 7 C)Q -) CO W Z W V CO W' O W W Z g Z R < W17CO W CO W C9 U) CC X to m U) Z U) D W d c w m O C m 0 7 0 CI3 0 W ea will Z U) .- 0 V CS co) — Ua C al Q au3W QWa) cy > c7p Z ( C) • C E ° = VQ _ R c ... yLLQW = WO Q s ddWW mQ > a w> CC _ _ 2Jp � yx wnC> £ 0aJH — Ocot- MQdoW Nii, d re V CO M 7: N CO 0 0 0 10 N O . !O C N Z 5 5 2 F- co: CO CO CO o CO CO m Co Co CO U) I- I- 0 4��'A+ iCity of Farmington 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 ' •„mow' www.ci.farmington.mn.us TO: Economic Development Authority FROM: Adam Kienberger, Community Development Director SUBJECT: 2018 EDA Organizational Items DATE: February 22, 2018 INTRODUCTION/DISCUSSION Attached are the proposed 2018 Economic Development Authority(EDA)By-Laws. Section 1, subdivision 3 of the by-laws requires direction from the EDA regarding the following: a. Election of Officers The EDA By-Laws provides that each year,the EDA shall choose a Chairperson and Vice- Chairperson. A Secretary and Treasurer must also be appointed which typically is assigned to the Executive Director, as neither needs to be a commissioner. In 2017 Mayor Larson served as Chair and Commissioner Jolley served as Vice-Chair. b. Meeting Schedule The EDA shall establish a meeting schedule for the year.Attached is the City's Board and Commission meeting calendar which identifies the date of each EDA meeting. EDA meetings are held the fourth Thursday of each month at 6:30 p.m. If that Thursday is a holiday, the EDA meeting would be held the following Thursday(November). EDA members should confirm that this meeting schedule works for all members. c. Acknowledge Official Newspaper The EDA shall acknowledge City Council's designation of the official newspaper. For 2018 the official newspaper remains the Farmington Independent. Please provide action for the above listed items. A copy of the current by-laws is enclosed. ACTION REQUESTED Approve the 2018 Economic Development Authority By-laws, elect officers, approve the 2018 EDA meeting schedule, and acknowledge the City Council's designation of the official newspaper. ATTACHMENTS: Type Description D Exhibit EDA By-laws 2018 ECONOMIC DEVELOPMENT AUTHORITY BY-LAWS These By-Laws,when adopted,are intended to deal with matters not otherwise covered by State Law, City Ordinance or elsewhere. Section I—Meetings SUBD. 1 —Regular meetings of the Economic Development Authority shall be held on the fourth(4th) Thursday of each month at 6:30 p.m. Any regular meeting falling upon a holiday shall be held on the following Thursday at the same time and place. All meetings,including special and adjourned meetings, shall be held in the City Hall unless otherwise designated. SUBD.2—Special meetings of the Authority may be called by the Chairperson or in written form by any other two (2)members of the Authority, filed with the Executive Director. The Executive Director may also call a special meeting. At least three(3) days before the meeting,the Executive Director shall notify each member of the time,place and purpose of the meeting by causing written notice thereof to be delivered to him/her by e-mail. At least three(3)days prior to the meeting,the Executive Director shall also post notice of the meeting and if applicable,notify each person who has filed an applicable written request for notice,or may, if necessary,provide such other more restricted notice,including but not limited to (as allowed by Statute, such as)M.S. 471.705,subd. 1C,paragraph g,"if a person receives actual notice of a meeting of a public body at least 24 hours before the meeting, all notice requirements of this subdivision are satisfied with respect to that person,regardless of the method of receipt of notice." Emergency meetings may be held because of circumstances that, in the judgment of the Authority require immediate attention. The notice of special meeting shall state the item(s)to be discussed and acted upon. Items not stated in the notice may be discussed,but no action may be taken if any member objects. Any special meeting attended by a majority of the Authority members shall be a valid meeting for the transaction of business that may come before the meeting. SUBD. 3—At the regular Authority meeting in February of each year,the Authority shall(1) acknowledge City Council's designation of the official newspaper; (2) establish the meeting schedule for the year; (3)choose a Chairperson and a Vice-Chairperson,who shall perform the duties of the Chairperson during the Chairpersons disability or absence, and in case of a vacancy in the office of Chairperson,and until a successor has been appointed and qualifies to fulfill the duties of Chairperson, and; (4)appoint a Secretary and Treasurer,which need not be a commissioner. SUBD. 4—All Authority meetings,as defined by State Law, including special and adjourned meetings shall be open to the public. The Authority Attorney shall advise the Authority in writing as to their interpretation of the state"Open Meeting Law"and all new members shall be provided such written interpretation. Section II Presiding Officer; Rules of Order SUBD. I —The Chairperson shall preside at all meetings of the Authority. In the absence of the Chairperson,the Vice-Chairperson shall preside. In the absence of both,the Executive Director shall call the meeting to order and shall preside until the Authority members present at the meeting choose one of their members to act temporarily as presiding officer. SUBD. 2—The presiding officer shall preserve order, enforce the rule of procedure herein prescribed, and determine all questions of procedure and order. Except as otherwise provided by statute or by these rules,the proceedings of the Authority shall be conducted in accordance with the following rules of order: A. A motion must be seconded before being considered by the Authority and the presiding officer must recognize mover, as well as the seconder. B. Any motion may be withdrawn by its mover with the consent of his/her second. But a motion,once debated,cannot be withdrawn except by a majority vote of the Authority. C. A motion will not be subject to debate until it has been stated by the presiding officer and he/she has opened it to debate. D. Each member,while speaking, shall confine himself/herself to the question at hand and avoid all personal, indecorous or sarcastic language. E. Whenever any member of the Authority desires to speak on any question,which affects him/her personally, he/she shall first vacate his/her chair and shall not resume his/her seat until the matter under consideration has been acted upon. He/she shall be allowed to make comments on the question as a private citizen only and while a member of the audience. F. Whenever public hearings are held,the presiding officer shall allow any member of the public,the privilege of speaking. A reasonable time shall be allowed to anyone as long as they are not repeating points already made. The presiding officer shall maintain order and may rule anyone out of order. G. At any meeting,the presiding officer will allow the public to participate as long as there is reason to believe the input is beneficial. SUBD. 3—Any member may appeal to the Authority from a ruling of the presiding officer. If the appeal is seconded,the appealing member may speak first on the reason for his/her appeal. General discussion can then take place on the appeal before a vote. The appeal shall be sustained if it is approved by a majority of the members present. 2 Section III—Agendas SUBD. 1 —The agenda shall be prepared by the EDA Executive Director and shall be closed at noon on the Friday preceding the meeting for publication purposes. SUBD. 2—Any member may place an item on the agenda by so instructing the Executive Director. SUBD. 3 — No item shall be placed on the agenda unless the item is expressed in such a way as to clearly show the subject matter involved. SUBD. 4—The agenda add-ons are subject to approval by a majority vote of the members present and further such add-on items may be discussed,but no action may be taken if any member objects. Section IV—Order of Business SUBD. 1 —Each meeting of the Authority shall convene at the time and place appointed therefore. Authority business shall be conducted in the following order: 1) Call to Order 2) Pledge of Allegiance 3) Roll Call 4) Approve Agenda 5) Citizen Comments 6) Approve Consent Agenda a. Minutes b. Monthly Statements c. Additional Consent Agenda items 7) Public Hearings 8) Discussion Items 9) Director's Report 10)Adjourn SUBD.2—The order of business may be varied by the presiding officer, except that all public hearings shall be held at the time specified in the notice of hearing. Section V—Minutes SUBD. I —Minutes of each Authority meeting shall be kept by the Executive Director or, in his/her absence,his/her designee. In the absence of both,the presiding officer shall appoint a secretary pro tem. Resolutions need not be recorded in full in the minutes if they appear in other permanent records of the Executive Director and can be accurately identified from the description given in the minutes. SUBD.2—Minutes of each meeting shall be reduced to typewritten form. At the next regular Authority meeting,approval of the minutes shall be considered by the Authority. The minutes need not be read aloud,but the presiding officer shall call for any additions or corrections. If there is an objection,the Authority shall vote upon the addition or correction. If there are no additions or 3 corrections,the minutes shall stand approved by motion. If there is an objection,the Authority shall vote upon the addition or correction and approve the minutes by motion as amended. Section VI—Quorum and Voting SUBD. 1 —At all meetings a majority of all members shall constitute a quorum for the transaction of business. SUED. 2—The votes of members on any question pending before the EDA shall be by voice votes. Roll call vote can be requested by any member, except for the following agenda items; approval of the agenda; approval of the consent agenda;and the adjournment. The names of those voting for and against the question shall be recorded in the minutes. If any member present does not vote,the minutes shall state:"Abstain:Name". SUBD. 3—Except as otherwise provided by statute,a majority vote of the quorum shall prevail. Section VII—Executive Director The Authority may appoint and provide for annual performance reviews of an Executive Director. Section VIII—Suspension or Amendment of the By-Laws SUBD. 1 —These by-laws may be temporarily suspended by a unanimous vote of the members present. SUBD.2—These by-laws shall not be repealed or amended except by a majority vote of the whole Authority after notice has been given at some preceding meeting. Section IX—Effective Date SUBD. 1 —These by-laws have been adopted by the Economic Development Authority on the 22nd day of February,2018 and become effective immediately. Attest: EDA Executive Director EDA Chairperson Date: Date: 4 City of Farmington 2018 Meetings, Holidays, Pay Days, Election Days January 2018 July 2018 � �ARifI/ S M T W T F S S M T W T F S i 1 3 4 ® 6 1 3 4 5 7 7 8 10 11 12 13 8 9 l c 1:10 12 13 14 ,z...3.7 C,? S 14 15 17 18 i'! 20 15 17 18 19® 21 ',. + i 21 23 24 I, 26 27 22 24 25® 27 28 28 29 30 31 29 30 31 \' "'P,A PROD ' February 2018 August 2018 SMTWT F S S MTWT F S 1 ® 3 1 2 ® 4 4 ', 6 7 8 9 105 7 �: 9 10 11 City Holidays 11 1 12 11 :Rd 15 'i t,: 17 12 13 14 ' 16 I' 18 18 19 10 21 .' 23 24 19 21 22 24 25 .City Council 25 'i, 27 28 26 28 29 30 ll EDA March 2018 September 2018 SMTWT F S SMTWT F S Parks and Rec Commission 1 ® 3 1 4 6 7 8 9 10 2 3 i 5 6 7 8 lin Planning Commission 11 EDi, 4,t1 15 ._('- 17 9 10 I ;; 13 ® 15 18 20 21 ,': 23 24 16 ;i 18 19 20 21 22 1 ,RRC Advisory Board 25 'i 27 28 29 1); 31 23 25 26 29 30 .Water Board April 2018 October 2018 .Pay Days SMTWT F S SMTWT F S 1 2 3 4 5 6 7 1 2 3 4 5 6 Election Days 8 9 10 11 12 14 7 j 11® 13 15 diiii 17 18 19 20 21 14 I', 16 17 18 19 20 22® 24 25 (, 28 21 23 24 i_ 27 29 30 28 29 30 31 May 2018 November 2018 SMTWT F S S MTWT F S 1 2 3 4 5 1 2 3 6 ' 10® 12 4 ', 6 7 8 ® 10 13 [14 15 16 17 18 19 11 12 /' 15 16 17 20 'I 22 23 26 18 20 22 23 24 27 28 30 31 25 27 28 '' 30 June 2018 December 2018 SMTWT F S SMTWT F S 1 2 1 3 5 6 7 ® 9 2 4 5 6 ® 8 10 11 ;j ' 14 15 16 9 10 I I %` 13 1415 17 I 19 20 21 23 16 1% 18 19 22 24 26 27 29 30 23 24 25 2028 29 30 31 ott i, , City of Farmington p 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 -'""'•4 PROOfi .: www.ci.farmington.mn.us TO: Economic Development Authority FROM: Adam Kienberger, Community Development Director SUBJECT: 2040 Comp Plan Update-Economic Development Chapter DATE: February 22, 2018 INTRODUCTION/DISCUSSION Jeff Miller from HKGi will be at our February 22nd EDA meeting to discuss the update to the economic development chapter of the 2040 Comp Plan.Attached for reference is both our current Strategic Plan for Economic Development and the summary from the ULI panel workshop from November 13. These documents will serve as the basis for our discussion. The Economic Development chapter within the 2030 Comp Plan is available for reference on the city's website:http://www.ci.farnvngton.mn.us/government/departments/planning andzoning/2030_comp_plan/. This chapter is 96 pages consisting mostly of the outdated 2011-2015 Strategic Plan. Staff and the consultant are recommending a condensed chapter for the 2040 plan highlighting the duties and major priorities of the EDA. ACTION REQUESTED Provide input on the 2040 Comprehensive Plan update to the Economic Development Chapter. ATTACHMENTS: Type Description o Backup Material 2016-2018 Strategic Plan for Economic Development © Backup Material ULI Panel Summary Farmington Economic Development Authority o�c AR4f/ (1111( ;gyp J� G � OA .1C, TS`�� A PROMO 2016-2018 Strategic Plan for Economic Development January 2016 1 Introduction The key to successful communities is their heart and soul the unique cultures,landscapes, traditions and values that people cherish and with people themselves taking action to enhance and sustain the places they love.Many communities are ready to protect their unique character,deeply engage their citizens,and meet the challenges of the 21St Century. Economic Development is one of those challenges,and citizens can assist with it by shopping locally and creating awareness to other citizens about the businesses within the City. (Farmington 2030 Comprehensive Plan Chapter 10:Economic Development Element) Strategic planning is a key component of economic development.A three-year strategic plan is a valuable tool for both elected and appointed officials,as well as staff to provide work direction and prioritization of new initiatives. The following document outlines the EDA areas of focus for 2016-2018. Participation EDA Members: Todd Larson,Chair Jeri Jolley,Vice Chair Doug Bonar Steve Wilson Kirk Zeaman Adam Kienberger, Executive Director Dr.Craig Waldron, Facilitator 2 Mission The Economic Development Authority mission is to improve the economic vitality of the city of Farmington and to enhance the overall quality of life by creating partnerships,fostering employment opportunities,promoting workforce housing,and expanding the tax base through development and redevelopment. Role of the EDA The role of the Farmington EDA is to serve as an advisory board to the City Council on matters related to economic development.Through policy development and implementation of new and existing tools,the EDA serves as the voice of economic development. 3 Strategic Priorities The following five priorities were ranked by the EDA at their strategic planning session and are defined below.These priorities will serve as the focus and primary guidance of the EDA from 2016-2018. Because new opportunities and ideas will arise during this timeframe,these priorities are meant to serve as the focus areas of the EDA while allowing flexibility to thoughtfully explore other topics deemed important. 1. Develop tools for promoting growth and development in Farmington. 2. Develop strong incentive policies to ensure proper use of tools. 3. Explore plans for acquiring land for new industrial development. 4. Complete the development of Vermillion River Crossings. 5. Define and utilize the existing or future resources of the EDA. 4 Implementation Strategies 1. Develop tools for promoting growth and development in Farmington. • Identify traditional economic development tools • Identify tools that can be unique to Farmington • Identify existing resources • Identify potential resource partners • Recommend tools to City Council 2. Develop strong incentive policies to ensure proper use of tools. • Discuss criteria and thresholds desired for individual tools (i.e.job creation, wages,etc.) • Recommend policies to City Council • Allocate necessary resources • Promote available tools o Website etc. 3. Explore plans for acquiring land for new industrial development. • Provide input on the 2040 Comprehensive Plan and land use designations o Encourage additional collaboration between advisory bodies o Joint meeting(s)with Planning Commission • Maintain relationships with local landowners • Explore additional ways to facilitate land development 4. Complete the development of Vermillion River Crossings. • Maintain relationship with broker/landowners • Consider alternate land use options • Discuss existing assessments 5. Define and utilize the existing or future resources of the EDA. • Do current resources align with desired tools/initiatives? • Explore economic development revenue opportunities • Joint meeting(s) of the EDA and City Council 5 2016 Work Plan TBD Check in on strategic priorities at each EDA meeting to demonstrate progress or discussion needed. 6 ULI Minnesota Regional Council of Mayors MEMORANDUM Key Observations TO: David McKnight, City Administrator FROM: Gordon Hughes and Cathy Bennett, ULI Minnesota DATE: November 20, 2017 SUBJECT: ULI Minnesota Navigating Your Competitive Future Workshop On behalf of ULI Minnesota, thank you for the opportunity to meet with the City Council, EDA, Planning Commission and staff on November 13, 2017. Our ULI MN workshop team enjoyed our dialogue with you and appreciated your hospitality. We also appreciated the time that you spent with us preparing for this workshop. As a follow up to the workshop, we would like to take a moment to summarize some of the key observations expressed during our panel discussion and dialogue. • Data on demographics, employment and jobs in Farmington,presented at the workshop, offered a point of reference for trends that will affect the City in coming years. Please feel free to contact us if you have any follow up questions on the data presented at the workshop or any of the materials which we provided. • Farmington has a number of key strengths and assets to leverage. Farmington's assets include an authentic downtown and abundant land resources. These assets position the City as a competitive place for future development when the market is ready. • The City generally provides a welcoming image to the development community. The City has developed organizational assets such as the City's website which does a great job of providing needed information and resources for the development community. It is easily accessible,highlights important City information and connects potential developers with the right people in the organization. The 30-day review timeline for project consideration is a huge selling point for developers who are used to a much longer schedule. On the other hand, City impact fees appear to be higher in some areas compared to other places—especially park dedication and surface water management fees. There may be excellent reasons for these fees. It's important for the City to tell the story as to why these fees are higher than most. • Developers are attracted to cities where the staff can shepherd them through the process. Every city is unique in terms of approval processes and procedures. A competent and helpful staff can help to avoid surprises for developers that can be deal killers. Farmington's staff has an excellent reputation from a developer perspective. 1 • Farmington's downtown is an important asset and can be a key to the City's future success. A big advantage for Farmington is the intact, authentic downtown. Such downtowns are yearned for by many cities which attempt to replicate them with varying degrees of success. In contrast to some other nearby cities, downtown Farmington is positioned as a place to go to, not through. Cities with successful downtown strategies have developed a clear understanding of their downtown inventory, have identified "catalyst sites"that can leverage further(re)development opportunities and are strategic with their investments in order to maximize their return to the City. Some existing buildings, such as the Exchange Bank Building, may be particularly well-suited to be transformational properties that could spark reinvestment in downtown. • Downtown could be improved by creating better connections to the rest of the community. The county fair is one of the largest in Minnesota and provides an opportunity to connect fair goers with downtown. Better wayfinding signage, landscaping and improvements to the trail and sidewalk system, such as on Akin Road,would help enhance connections to the rest of Farmington. • Housing can provide an important component for downtown vitality. Gen Y and Boomers are attracted to authentic downtown environments, especially those that offer affordable housing opportunities and unique dining venues. Creating a greater residential density in close proximity to downtown benefits retailers and service providers and may be a counter punch to traditional single family neighborhoods in the northwest part of the City. As density grows in the downtown area ensuring that businesses cater to these residents will be important to the vitality of the area with more frequent evening hours of operation and programmed activities. • Retail follows rooftops. Farmington, like most cities in the metro area, is well-retailed, i.e. a broad range of goods and services are available to members of the residents even if those goods and services may not be located in the city. They may be just across community lines or on the dominant routes that take residents to and from work or around town. Retailers tend to pay less attention to community boundaries than to circulation patterns and shopping habits. • Some speculative industrial projects are under construction in the metro area with Eagan, Shakopee and Brooklyn Park leading the way as pockets of strength. Approximately 1.3 million square feet of spec industrial projects are scheduled to be delivered this year. Distribution centers are primarily interested in close-in locations in order to reduce travel times for deliveries. • Speculative office space is not being built anywhere except possibly in downtown Minneapolis. Downtown environments are particularly attractive to companies with a younger workforce who are drawn to housing and entertainment opportunities in an urban setting. 2 • Farmington's commercial numbers: 172 properties comprising 2.3 million square feet. Sixty percent is industrial, 30%retail and very little office. Vacancy rate is very low at 2%which could be a catalyst for new development. • Office and industrial development generally follows transportation corridors and the labor pool. Farmington does not enjoy the same perception of accessibility as other cities that are along major highway corridors. This will likely limit the amount and type of office and industrial development that requires better access and higher densities of nearby labor pools. A recent ULI MN housing forum revealed that the lack of close by affordable housing is affecting business growth and locational decisions of two of our region's major employers—Shutterfly and Fed-Ex. • The linkage between housing and jobs is more important than ever. Walkability and connectivity between housing, employment centers and natural amenities along safe and interesting routes are desired not only by the Next Generation but by older residents and workers. • The Next Generation is often hampered by unstable jobs,large student debt and less certainty about their futures. Therefore,rental housing opportunities may be more desirable than ownership for this group and many may delay investments in real estate compared with previous generations. Affordable rental options provide an opportunity to "try out"a community prior to making the transition to home ownership and with Farmington's first time buyer market the City is in a good position to retain these renters as owners in the future. • New workforce housing with modern amenities can provide a needed component of Farmington's Housing Stock. Today's mixed income housing products are far different from yesterday's "low-income"housing. Cities which have welcomed such developments are pleased with the results. Information provided in http://housingcounts.org/will be helpful to the City for finding resources and best practices associated with workforce housing. • Successful communities develop a clear vision,react appropriately to opportunities, create innovative financial tools and leverage their key assets.Leadership and "consistency of vision" are keys to successful communities, especially the alignment of policy direction between elected officials and staff. Developers' greatest enemies are uncertainty and risk. "Fast no's" are preferable to "slow maybes"from a developer's standpoint. • Developers look for cities that have a partnership approach rather than a regulatory approach. (Re)development is a relationship business. Developers prefer to work in cities where they are wanted and where the elected officials and staff are interested in 3 partnering to accomplish the city's vision. Everyone in the city must embrace this approach if it's to be successful—elected officials, appointed officials and staff. • Successful cities establish priorities and communicate them to the development community. Sometimes cities try to do too many things and accomplish none of them. Successful cities focus on the projects that can be transformational and provide the largest return on investment. They are clear and predictable about their goals and what they are willing to do to accomplish them. They understand reality but aren't afraid to dream big. Successful cities are flexible and find ways to accomplish the bigger picture rather than simply enforcing the letter of the law. • The City's involvement in (re)development can take many forms.It could be financial assistance, it could be marketing initiatives and it could be property assemblage. Whatever the approach, it is important for the City to align available resources and communicate them effectively to the (re)development community. The policies and practices outlined in the ULI MN (Re)Development-Ready Guide will assist the City in establishing(re)development policies and practices that use scarce public dollars to attract private investment, grow jobs, and build tax base for the well-being of your city. • Final thoughts of the panel. The panel concluded the workshop with these final thoughts. o Communicate to the development community that"Farmington's open for business". Jeremy Striffler, Cushman & Wakefield o Reinforce the City's commitment to downtown Farmington and work on connections to it from other parts of the City.Randy Schold,Metro Plains,LLC o Be authentic. Focus on what Farmington is and build on its strengths. Kendra Lindahl,Landform o Prioritize. Don't try to do everything.James Lehnhoff,Ehlers On behalf of ULI MN, thank you again for hosting this workshop. 4 4itR�Mi , City of Farmington v 5i. 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 „,o0a41°, www.ci.farmington.mn.us TO: Economic Development Authority FROM: Adam Kienberger, Community Development Director SUBJECT: Open to Business Joint Powers Agreement DATE: February 22, 2018 INTRODUCTION/DISCUSSION The Open to Business Program was started in Dakota County in 2013 as a county-wide effort to offer expert technical assistance and additional fmancial resources to small businesses and entrepreneurs. The program continues to gain recognition and have an impact on our small business economy. As a county-wide effort, cities in Dakota County wishing to participate in the program enter into a joint powers agreement(JPA)with the Dakota County Community Development Agency(CDA). The CDA is the agency that holds the contract for services with the Metropolitan Consortium of Community Developers (MCCD)to operate the Open to Business Program. The CDA and MCCD have approved a three-year agreement effective January 1, 2018, through December 31, 2020. Most of you have met Laurie Crow who serves as our Dakota County area staff person for this program. If there is interest in having her attend a future EDA meeting to discuss the program, she would be happy to accommodate us. The total program fee for services offered throughout Dakota County is $150,000. The CDA continues to cover over 50% of this fee with the remainder distributed amongst the participating cities in Dakota County according to population. Farmington's fee for 2018 -2020 is $5,513 per year,which is slightly more than the 2017 amount of$5,171. The master Contract for Services between the CDA and MCCD along with the Joint Powers Agreement are attached. Staff recommends continued participation in this program as it remains a strong resource for small business growth and entrepreneurs in Farmington. ACTION REQUESTED Authorize the execution of the Open to Business Joint Powers Agreement between the Farmington Economic Development Authority and the Dakota County Community Development Agency. ATTACHMENTS: Type Description D Contract Joint Powers Agreement JOINT POWERS AGREEMENT Open to Business Program THIS JOINT POWERS AGREEMENT (this "Agreement"), is made as of January 1, 2018, by and between the DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY (the "CDA"), a public body corporate and politic organized and existing under the laws of the State of Minnesota(the"State"),and each of the CITY OF BURNSVILLE, CITY OF LAKEVILLE,CITY OF MENDOTA HEIGHTS, INVER GROVE HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, APPLE VALLEY ECONOMIC DEVELOPMENT AUTHORITY, EAGAN ECONOMIC DEVELOPMENT AUTHORITY, HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT AUTHORITY, ROSEMOUNT PORT AUTHORITY, FARMINGTON ECONOMIC DEVELOPMENT AUTHORITY, SOUTH ST. PAUL ECONOMIC DEVELOPMENT AUTHORITY, AND WEST ST. PAUL ECONOMIC DEVELOPMENT AUTHORITY, MINNESOTA (each individually a "Local Government Entity" and together the"Local Government Entities"),each a political subdivision of the State. RECITALS: A. In order to pursue common goals of fostering economic development,the CDA and the Local Government Entity Cities desire to engage the Metropolitan Consortium of Community Developers, a Minnesota non-profit corporation ("MCCD") to undertake the "Open To Business Program"(the"Program")within Dakota County(the"County"). B. Pursuant to the Program, MCCD will provide technical assistance and access to capital to small business and potential entrepreneurs in the County. C. The CDA and the Local Government Entities propose to jointly exercise their common economic development powers to undertake the Program. NOW, THEREFORE, in consideration of the mutual covenants and obligations of the CDA and each of the Local Government Entities, each party does hereby represent, covenant and agree with the others as follows: Section 1. Representations. Each of the Local Government Entities and the CDA makes the following representations as to itself as the basis for the undertaking on its part herein contained: (a) It is a political subdivision of the State of Minnesota with the power to enter into this Agreement and carry out its obligations hereunder. Joint Powers Agreement (b) Neither the execution and delivery of this Agreement,the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which it is now a party or by which it is bound,or constitutes an event of default under any of the foregoing. Section 2. Powers to be Exercised. The powers to be jointly exercised pursuant to this Agreement are the powers of the CDA and the Local Government Entities under Minnesota Statutes, Chapter 469, to undertake activities to promote economic development within their respective jurisdictions. Section 3. Method for Exercising Common Powers; Funds. The CDA, on its own behalf and on behalf of the Local Government Entities, will initially enter into an agreement with MCCD in substantially the form attached hereto as Exhibit A (the "Agreement") to engage MCCD to operate the Program within Dakota County. The CDA and each of the Local Government Entities will make payments to MCCD as described in Exhibit A of the Agreement. The CDA may from time to time execute and deliver documents amending, modifying or extending the Agreement as it deems necessary or convenient, provided, that no such document will adversely affect services provided to, or amounts payable by, any Local Government Entity without the prior written consent of such Local Government Entity. Section 4. Limited Liability. Neither the CDA nor the any of the Local Government Entities shall be liable for the acts or omissions of the other in connection with the activities to be • undertaken pursuant to this Agreement. To the extent permitted by law, (a) the CDA hereby indemnifies the Local Government Entities for costs associated with claims made against the Local Government Entities directly relating to actions taken by the CDA, and (b) each Local Government Entity hereby indemnifies the CDA for costs associated with claims made against the CDA directly relating to actions taken by such Local Government Entity. Nothing herein shall be deemed a waiver by the indemnifying party of the limits on liability set forth in Minnesota Statutes, Chapter 466; and the indemnifying party shall not be required to pay, on behalf of the indemnified party, any amounts in excess of the limits on liability set forth in Minnesota Statutes, Section 466.04, less any amounts the indemnifying party is required to pay on behalf of itself, its officers, agents and employees for claims arising out of the same occurrence. Section S. Conflict of Interests; Representatives Not Individually Liable. The CDA and each of the Local Government Entities,to the best of its knowledge,represents and agrees that no member, official or employee of their respective bodies shall have any personal interest, direct or indirect, in this Agreement, nor shall any such member, official or employee participate in any decision relating to this Agreement which affects his or her personal interests or the interests of any corporation,partnership, or association in which he or she is directly or indirectly interested. No member, official or employee of the CDA or any Local Government Entity shall be personally liable with respect to any default or breach by any of them or for any amount which may become due to the other party or successor or on any obligations under the terms of this Agreement. 2 Joint Powers Agreement Section 6. Term; Distribution of Property. The term of this Agreement shall commence on January 1, 2018 and shall automatically renew January 1, 2019 and January 1, 2020, ending December 31, 2020. Local Government Entities may, at their sole discretion and without cause, cancel any remaining years covered under this agreement by providing written notice to the other Parties at least 30 days prior to renewal. Each Party to this agreement agrees that a Party that opts out of the contract under these terms shall be subject to no penalty,and held harmless for future liability or obligation related to the terms of this agreement. The remaining Parties will continue on with the agreement unless it is determined to no longer be viable for the remaining Parties. There is no property which will be acquired by the CDA or any Local Government Entity pursuant to the Program which would need to be distributed at the end of the term hereof. Section 7. Notices and Demands. A notice, demand or other communication under this Agreement by any party to another shall be sufficiently given or delivered if it is dispatched by registered or certified mail,postage prepaid, return receipt requested or delivered personally to the person and at the addresses identified on each signature page hereto, or at such other address with respect to either such party as that party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 8. Counterparts. This Agreement may be executed in any number of counterparts,each of which shall constitute one and the same instrument. • [Remainder of page intentionally left blank] • 3 Joint Powers Agreement IN WITNESS WHEREOF, the CDA and the Local Government Entities have caused this Agreement to be duly executed in their respective names and behalf as of the date first above written,with actual execution on the dates set forth below. DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY Dated: December 13.2017 By: Its Executive Director Notice Address: Dakota County Community Development Agency 1228 Town Centre Drive Eagan,MN 55123 Attn: Lisa Alfson,Director of Community and Economic Development S - 1 Joint Powers Agreement FARMINGTON ECONOMIC DEVELOPMENT AUTHORITY Dated: a/,,?A- By By Its •e newly. Notice Address: 430 Third Street Farmington, MN 55024 Attn: —44, S - 10 Joint Powers Agreement • Exhibit A Contract for Services for the Open To Business Program • • • • • • • A- 1 • Joint Powers Agreement Contract for Services for the Open to Business Program THIS AGREEMENT is dated December 13,2017,and is between the Dakgta County Community Development Agency ("CDA") and Metropolitan Consortium of Community Developers, a Minnesota nonprofit corporation("MCCD"). WHEREAS, the CDA,on behalf of itself and the eleven political subdivisions of the State of Minnesota listed on Exhibit A hereto(the "Local Government Entities"),which each have powers with respect to a city with a population over 10,000(collectively the"Municipalities"), wishes to engage MCCD to render services under a model known as"Open to Business,"an initiative providing small business technical assistance services to existing businesses and residents and other parties interested in opening a business within Dakota County(the "County") (the"Initiative"); and WHEREAS,MCCD has successfully provided the services required to administer and carry out the Initiative in Dakota County since 2013; and WHEREAS,pursuant to CDA Resolution No, 17-5945,adopted on December 12,2017 (the "Resolution"), the CDA is authorized to enter into this agreement with MCCD for the Initiative; and WHEREAS,pursuant to the Resolution and certain joint powers agreements!to be entered into between the CDA and the Local Government Entities(the"Joint Powers Agreements"),the CDA will act as fiscal agent for the Local Government Entities in connectionwith this Agreement; and • WHEREAS, the CDA will pay from its own funds 50%of the fee charged by MCCD for the Initiative in the Municipalities and 100%of the fee charged by MCCD for the Initiative in the small cities and townships within the County with populations of less than 10,000 people ("Small Cities and Townships"), as further described herein and in Exhibit A; and WHEREAS,pursuant to the Joint Powers Agreements, the Local Government Entities will be required to pay a Participation Fee to the CDA in accordance with the schedule in Exhibit A, representing the remaining 50%of the fee charged by MCCD for the Initiative in the Municipalities. • Now therefore, for good and valuable consideration,the receipt of which is hereby acknowledged,the parties agree as follows: I 1 Page TIME OF PERFORMANCE The service to be provided by MCCD shall commence on January 1, 2018 and unless canceled by either party, shall automatically renew January 1,2019 and January 1, 2020. Either party may,at their sole discretion and without cause,cancel any remaining years covered under this agreement by providing written notice to the other party at least 30 days prior to renewal, Each Party agrees that a Party that opts out of the contract under these terms shall be subject to no penalty, and held harmless for future liability or obligation related to the terms of this agreement. All services, documents, and information to be furnished or performed by MCCD in order to carry out the Initiative shall be furnished or performed as promptly as possible,and with the fullest due diligence. COMPENSATION Subject to reduction as provided below,the CDA will compensate MCCD for its services hereunder an amount equal to One Hundred Fifty Thousand Dollars ($150,000)annually ("Contract Amount")to operate the Initiative for the 2018,2019,and 2020 calendar years. The CDA will pay such amount in two equal installments, the first no earlier than January 30 and the second no earlier than June 30,upon receipt of invoices from MCCD. Subject to the limits above, payments will be due within 15 days of receipt of the respective invoices. The portion of the Contract Amount payable from Participation Fees will be payable by the CDA only from and to the extent such Participation Fees are paid by the respective Local Government Entities. Unless the agreement is cancel by either party,CDA agrees to compensate MCCD the above Contract Amount,and deliver payment on as detailed above in each subsequent calendar year the contract is renewed. In the event a Local Government Entity does not pay to the CDA its Participation Fee in amounts and by the deadline described in Exhibit A,the CDA will notify MCCD,and MCCD will immediately cease the Initiative in that Municipality. Upon such termination,the Contract Amount will be reduced by an amount equal to the Participation Fee which such Local Government Entity did not pay and the amount the CDA would have paid as a matching payment. SCOPE OF SERVICES MCCD will provide technical assistance to existing businesses,residents and those parties interested in starting a business in any of the Municipalities and Small Cities and Townships as further described on Exhibit B and Exhibit C attached hereto, which sets forth the Dakota Open to Business Program Scope of Services. 21Page REPORTING MCCD will submit quarterly reports to the CDA in form and substance acceptable to the CDA. Reports will provide information in the aggregate for the County and will include a subreport for each Municipality and each of the Small Cities and Townships. Reports will include the following information: D Number of inquiries > Hours of technical assistance provided > Type of assistance provided ➢ Type of business • D Annual sales revenue • Number of businesses opened ➢ Number of business expanded/stabilized A Number and amounts of financing packages > Demographic information on entrepreneurs • Business address or resident address > Number and wage of FTEs created • Number and wage of FTEs retained The required reporting schedule is as follows: 1°quarter January—March,report due April 30'h 2nd quarter April—June, report due July 31n 3rd quarter July—September,report due October 31St 4th quarter October—December,report due January 31S`of following year In addition to the foregoing,MCCD will provide additional reports as:reasonably requested by the CDA. PERSONNEL • MCCD represents that it has, or will employ or contract for, at its owrr expense,all personnel required to perform the services necessary to carry out the Initiative, Such personnel will not be employees of,or have any contractual relationship with,the County,the CDA or any of the Local Government Entities, No tenure or any other rights or benefits,including worker's compensation, unemployment insurance,medical care, 3 'Page sick leave,vacation pay, severance pay,or any other benefits available to the County's, the CDA's or any of the Local Government Entities' employees shall accrue to MCCD or employees of MCCD performing services under this agreement. The MCCD is an independent contractor. All of the services required to carry out the Initiative will be performed by MCCD and all personnel engaged in the work shall be fully qualified and shall be authorized or permitted under State and local law to perform such work. USE OF CDA OFFICE SPACE The CDA will make available a cubicle space for MCCD personnel at the CDA office building for use by MCCD in carrying out the Initiative. MCCD personnel will have access to the CDA's meeting rooms, wireless Internet service, copy machines and printers. MCCD personnel shall comply with all CDA office rules and policies regarding the use of CDA office space,equipment and Internet access. If the CDA,in its sole discretion, determines that MCCD Personnel have failed to comply with CDA office rules and policies,MCCD Personnel will be required to vacate the CDA office and the CDA will cease to provide MCCD office space to carry out the Initiative. INTEREST OF MEMBERS OF THE CDA AND OTHERS No officer,member,or employee of the CDA and no member of its governing body, and no other public official or governing body of any locality in which the Initiative is situated or being carried out, who exercises any functions or responsibilities in the review or approval of the undertaking or carrying out of the Initiative, will participate in the decision relating to this Agreement which affects his/her personal interest or the interest of any corporation,partnership, or association in which he/she is, directly or indirectly, interested or has any personal or pecuniary interest,direct or indirect,in this Agreement. ASSIGNABILTY MCCD will not assign any interest in this Agreement,and will not transfer any interest in the same without the prior written approval of the CDA. COMPLIANCE WITH LOCAL LAWS MCCD agrees to comply with all federal laws, statutes and applicable regulations of the State of Minnesota and the ordinances of the Local Government Entities. 41Page • INSURANCE MCCD agrees at all times during the term of this Agreement, and beyond such term when so required, to have and keep in force the following insurance coverages: Limits 1. Commercial General Liability on an occurrence basis with contractual liability coverage: General Aggregate • $2,000,000 Products—Completed Operations Aggregate 2,000,000 Personal and Advertising Injury 1,500,000 Each Occurrence—Combined Bodily Injury and Property Damage 1,500,000 2. Workers' Compensation and Employer's Liability: Workers' Compensation Statutory In the event that MCCD should hire employees or subcontract this work, MCCD shall obtain the required insurance. Employer's Liability. Bodily injury by: Accident—Each Accident 500,000 Disease—Policy Limit 500,000 Disease—Each Employee 500,000 INDEMNIFICATION MCCD agrees to defend, indemnify, and hold harmless the County, the CDA,the Local Government Entities, and each of their respective officials, officers, agents, volunteers and employees from any liability, claims,causes of action,judgments; damages, losses, costs, or expenses, including reasonable attorney's fees,resulting directly or indirectly from any act or omission of MCCD,its subcontractors, anyone directly or indirectly employed by MCCD or any of its subcontractors, and/or anyone for whose acts and/or omissions MCCD may be liable in the performance of the services required by this Agreement, and against all loss by reason of the failure of MCCD to perform any obligation under this Agreement. NOTICES A notice, demand,or other communication under the Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by mail,postage prepaid, return receipt requested, or delivered personally; and Wage (a) In the case of MCCD, is addressed or delivered personally to: Lee Hall,Associate Director Metropolitan Consortium of Community Developers 3137 Chicago Avenue South Minneapolis, MN 55407 (b) In the case of the CDA is addressed or delivered personally to: Lisa Alison,Director of Community and Economic Development Dakota County Community Development Agency 1228 Town Centre Dr. Eagan,MN 55123 or at such other address with respect to any party as that party may designate in writing and forward to the other as provide in the Section. MODIFICATION This Agreement may not be modified, changed, or amended in any manner whatsoever without the prior written approval of all the parties hereto. • • NON-DISCRIMINATION In connection with its activities under this Agreement,MCCD will not violate any Federal or State laws against discrimination. DEFAULT AND CANCELLATION Failure of the MCCD to perform any of its obligations under this Agreement to the satisfaction of the CDA will constitute a default hereunder, • Unless MCCD's default is cured within 15 days following notice by the CDA,the CDA may(i)cancel this Agreement in its entirety by 5 additional days' written notice to MCCD,or(ii) withhold payment from MCCD as long as such default continues, MINNESOTA LAWS GOVERN The Laws of the State of Minnesota shall govern all questions and interpretations concerning the validity and construction of this Agreement and the legal relations between the parties and their performance. The appropriate venue and jurisdiction for any litigation will be those courts located within the County. Litigation,however, in the federal courts involving the parties will be in the appropriate federal court within the State of Minnesota, If any provision of this Agreement is held invalid, illegal or unenforceable,the remaining provisions will not be affected, • 611'age DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY By: S ----� Executive Dlfector Date; December 13. 2017 MCCD 1))/ By: Printed Name: l—e-e-A4 Printed Title: A ss oc; ��� 2,4 f Date: \ J 7JPage Exhibit A Local Government Entity Participation 2018, 2019 & 2020 Fee Schedule Municipality Local Government Total CDA Local Entity Fee Share of Government Fee Entity Participation Eagan Economic Development Eagan Authority $16,559 $8,299 $8,300 City of Burnsville Burnsville $16,559 $8,299 $8,300 City of Lakeville Lakeville $16,559 $8,299 $8,300 Apple Valley Economic Apple Valley Development Authority $16,559 $8,299 $8,300 Inver Grove Heights Economic Inver Grove Development Authority $13,868 $6,934 $6,934 Heights Hastings Economic Hastings Development and $11,026 $5,513 $5,513 Redevelopment Authority Rosemount Port Authority Rosemount $11,026 $5,513 $5,513 Farmington Economic Farmington Development Authority $11,026 $5,513 $5,513 South St.Paul Housing and South St, Paul Redevelopment Authority $11,026 $5,513 $5,513 West St. Paul Economic West St, Paul Development Authority $11,026 $5,513 $5,513 Mendota City of Mendota Heights $5,510 $2,755 $2,755 Heights Small Cities n/a and Townships $9,096 $9,096 $0 Total $150,000 $79,546 $70,454 81PaIge Exhibit B Dakota Open to Business Program Scope of Services Open to Business ("OTB")Technical Assistance Services MCCD will provide intensive one-on-one technical assistance to Municipalities' and Small Cities' and Townships' businesses, residents and aspiring entrepreneurs intending to establish, purchase, or improve a business in Municipalities and Small Cities and Townships within Dakota County(the"County"), MCCD will dedicate one full time staff person based in the County to provide the Technical Assistance Services("Dakota OTB Staff"). In addition,MCCD will make available the expertise of all MCCD technical and support staff in the delivery of services to Dakota Open to Business Program. Technical assistance includes, but is not limited to,the following: > Business plan development ly Feasibility analysis • ➢ Marketing ➢ Cash flow and other financial projection development > Operational analysis • City and State licensing and regulatory assistance A Loan packaging, and other assistance in obtaining financing > Help in obtaining competent legal advice MCCD Dakota OTB Staff will be available to meet clients at the CDA office building,various Municipality city halls or at the client's place of business, MCCD Dakota OTB Staff will provide technical assistance on a walk-in basis monthly in each Municipality,if requested. MCCD will also hold two-hour"Test Drive Your Business Idea"sessions once a month in various Municipality locations, Open to Business Access to Capital Access to capital will be provided to qualifying businesses through MCCD's Emerging Small Business Loan Program(see Exhibit C Small Business Loan Program Guidelines below), MCCD also provides it's financing in partnership with other community lenders, banks or Local Government Entities interested in making capital available to residents and/or businesses in their community. 91Page EXHIBIT C Small Business Loan Program Guidelines Loan Amounts; • Up to $25,000 for start-up businesses • Larger financing packages for established businesses • Designed to leverage other financing programs as well as private financing provided by the commercial banking community. Eligible Projects: • Borrowers must be a "for-profit" business. • Business must be complimentary to existing business community. • Borrowers must have equity injection as determined by fund management. Allowable Use of Proceeds: • Loan proceeds can be used for working capital, inventory, building and equipment and general business operations. Interest Rates: • Loan interest rate is dependent on use, term and other factors,not to exceed 10%, Loan Term Length: • Loan repayment terms will generally range from three to five years, but may be substantially longer for major asset financing such as commercial property. Fees and Charges: • Borrowers are responsible for paying all customary legal and other loan closing costs. 10 ' Page City of Farmington styr 430 Third Street ;, DC7 Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 •,, moo' www.ci.farmington.mn.us TO: Economic Development Authority FROM: Cynthia Muller,Administrative Assistant SUBJECT: Downtown Facade Improvement Program Guidelines DATE: February 22, 2018 INTRODUCTION/DISCUSSION Attached are the current guidelines for the Downtown Façade Improvement Program. In 2017, two businesses received grants and completed their projects for a total of$5,000 in grant funds. Three businesses applied for a grant and received EDA approval, but did not follow through with their projects. The EDA budget includes $20,000 for this program in 2018. Grant amounts are$1,500 up to $2,500 each. A 1:1 match is required by the applicant. Please review the program guidelines and advise of any changes. Program information will be sent to the downtown commercial district in February or March 2018. ACTION REQUESTED Advise of any changes to the Downtown Façade Improvement Program guidelines and application. ATTACHMENTS: Type Description o Exhibit Facade Program Guidelines ir••.'%\411/111Q .0 ZIAW_-:-.,:l °,,:4010 g 0 44111r- sT• A PROMs City of Farmington Downtown Facade Improvement Program Guidelines and Application 2018 City of Farmington Downtown Façade Improvement Program In conjunction with the Downtown Redevelopment Plan,the Economic Development Authority(EDA)has made funding available to business owners to be used for building facade and exterior improvements. Eligible Properties Business/building owners in the Downtown Commercial District as defined on the attached map. Funding Source EDA fund balance of$20,000 annually. Grants will be made in the amount of$1,500 up to $2,500 each. Grant Terms&Requirements No more than one grant may be granted per property within one year from the initial application. A 1:1 match is required by the applicant. For every dollar contributed to funding eligible project costs,the applicant must contribute at least one dollar. The amount of grants to be awarded shall be$1,500 up to$2,500. Program Objectives The intent of this program is to leverage investment in the downtown business district by providing matching grants of$1,500 up to$2,500 for facade and exterior improvements. As part of the Downtown Redevelopment Plan,business owners are encouraged to improve their buildings'front and back curb appeal through facade improvements such as awnings, paint,tuck pointing,exterior lighting,decorative signage, windows,doors,gutters, accessibility improvements etc. Program Definitions Program Administrator The Program Administrator shall be the city of Farmington Economic Development Authority, 430 Third Street,Farmington,MN 55024,phone 651-280-6820. Applicant Any business/building owner within the downtown commercial district(see attached map) seeking to obtain assistance under the terms of this program. Building Official The Building Official for the program shall be a city of Farmington employee and shall provide plan review and technical expertise relating to inspections,construction quality,code compliance and scope of work to be accomplished if required. 1 Project Coordinator The Project Coordinator for the program shall be the Executive Director of the EDA. Target Area Locations that are in the downtown commercial district as shown on the attached map. Eligible Improvements: Funds may be used for facade and exterior improvements for the front and rear of buildings including,but not limited to awnings,paint,tuck pointing,exterior lighting,decorative signage,windows,doors,gutters,accessibility improvements,etc. 444,..e----,‘ 1 1 i, , ice.', ' F ' ri .--...':,14,r,,,, V L - ' , Ailcs ,.. Special Conditions Historic Properties The city of Farmington is a Certified Local Government under the Historic Preservation Act. Each project submitted for review that is for a property determined eligible for designation or is a heritage landmark property will be reviewed as outlined in city code to receive a Certificate of Appropriateness. Data Privacy All information provided by applicants under the Downtown Facade Improvement Program shall be maintained in accordance with the Minnesota Data Practices Act. Procedures Application Intake Applications are accepted on an ongoing basis and are reviewed based upon funds availability and in the order received. Applications will be reviewed for participation in the program based upon the following guidelines: 1. Whether the applicant has clear title to the property to be improved. Prior to project approval,the following will be ascertained: 2 a. Title verification; b. All real estate taxes and any city fees or charges are current; c. All individuals having an ownership interest,including contract holders, have agreed in writing to join in the application; 2. The extent to which the project meets the program objectives; 3. The degree of the project's overall impact on the surrounding area. If necessary,applications competing for limited funds may be selected based upon these criteria. Property Inspections Upon determination that a property owner applying for rehabilitation assistance is eligible based on the program guidelines,the Building Official may conduct an inspection of the property to determine if the proposed improvements conform to city of Farmington building code standards. Scope of Work Upon completion of the initial inspection,the property owner shall provide a report or elevation drawing indicating any planned improvements. This report will be reviewed by the city of Farmington. Project Approval The final application will be approved by the Farmington EDA,following review by city of Farmington staff and recommendation of the Project Coordinator. Approval by the Economic Development Authority(EDA) The contract for work to be completed will be between the applicant and the contractor. Once the applicant has accepted a bid,staff will prepare the information for presentation to the EDA. Upon EDA approval,a Grant Agreement will be signed by the applicant and a designated city official. This agreement will outline the terms and conditions of the project, including the city's role and the applicant's responsibilities,and any corrective actions to be taken in the event of a dispute. Notice to Proceed Upon approval of the work to be done,and obtaining the required permits,the contractor will normally have six(6)months in which to complete the awarded contract.If construction work does not begin within 90 days of the award of contract,the Grant Agreement is null and void;however,the applicant may apply for one extension if necessary. The length of the extension will be determined on a case-by-case basis. Acceptance of Work Interim inspections may be scheduled with the Building Official to monitor work in progress. Final inspection shall be required to ensure that the work has been completed in a satisfactory manner. In the event of a dispute between the owner and contractor concerning the completion of work,the Project Coordinator shall work with both parties to try to 3 negotiate a satisfactory solution. Disputes that cannot be resolved by negotiation,and that result in legal action by either party to the contract,shall be resolved in accordance with applicable state law. EDA funds shall not be released to either the owner or contractor until such dispute has been settled. Hold Harmless The owner and the contractor shall indemnify and hold harmless the city of Farmington,the Farmington EDA,employees,and officials from any damages or liability arising from,or occurring as a result of,the activities funded through this program. EDA Payment All EDA funds will be disbursed by the EDA upon authorization by the owner and the city of Farmington. Payments will be made only after all work has been completed according to the authorized scope of work.and has been accepted by the owner. Funds will be released once all improvements are completed to the satisfaction of the city Building Official and final project inspection by the Project Coordinator. Payment may be made directly to the contractor or in reimbursement to the owner,upon presentation of paid receipts for approved work to the Project Coordinator. Appeals Process Appeals concerning eligibility for the Downtown Facade Improvement Program or the proposed improvements shall be made in writing and addressed to the Project Coordinator. The coordinator will contact the applicant and attempt to rectify any concerns. A written response will be made within fifteen (15)days. 4 Downtown Façade Improvement Program �o�1AR��� Grant Application " APPLICANT INFORMATION NAME OF APPLICANT(S) BUILDING OWNER TENANT ADDRESS ADDRESS CITY,STATE,ZIP CITY,STATE,ZIP PHONE PHONE EMAIL EMAIL BUSINESS INFORMATION LEGAL NAME OF BUSINESS ADDRESS CITY,STATE,ZIP BUSINESS PHONE FEDERAL TAX ID# DATE ESTABLISHED OWNERSHIP INTEREST OF ALL PARTIES NAMED ON TITLE: NAME INTEREST NAME INTEREST NAME INTEREST 5 PROPERTY INFORMATION ESTIMATED DATE OF BUILDING CONSTRUCTION HAS THIS BUILDING BEEN HISTORICALLY REGISTERED? PROJECT INFORMATION BRIEF DESCRIPTION OF PROPOSED PROJECT: ESTIMATED PROJECT COSTS EXTERIOR/FACADE ESTIMATED COST ELECTRICAL ESTIMATED COST TOTAL ESTIMATED COST 6 FUNDING INFORMATION A 1:1 match is required by the applicant. For every dollar contributed to funding eligible project costs by the Downtown Façade Improvement Program,the applicant must contribute at least one dollar.The amount of grant to be awarded shall be$1,500 up to $2,500. TOTAL GRANT AMOUNT REQUESTED $ ($1,500 up to$2,500) APPLICANT FUNDS $ I/We declare that the information provided on this application and the accompanying attachments is true and complete to the best of my/our knowledge. I/We understand that any intentional misstatements will be grounds for disqualification and that the city of Farmington/EDA has the right to verify this information. 1/We agree to provide the project coordinator reasonable access to information and reasonable access to the construction project site so that they may monitor project implementation. APPLICANT(S) DATE DATE DATE 7 MINNESOTA DATA PRACTICES ACT—TENNESSEN WARNING In accordance with the State of Minnesota Government Data Practices Act,the city of Farmington is required to inform you of your rights as they pertain to the confidential information collected from you. Confidential data is that information which is not available to you or the public. The personal information we collect about you is private. The information collected from you and from other agencies or individuals is used to determine the disposition of your application with the city. The dissemination and use of the data collected is limited to that necessary for the administration and management of the Downtown Façade Improvement Program. Persons or agencies with whom this information may be shared,include: 1. City of Farmington personnel administering the grant program 2. City Council members,Economic Development Authority members 3. Contracted private auditors 4. Law enforcement personnel 5. Those individuals or agencies to whom you give your express written permission NOTICE PURSUANT TO MS.60A.955 o FARif/* City of Farmington C 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 PROW' www.ci.farmington.mn.us TO: Economic Development Authority FROM: Adam Kienberger, Community Development Director SUBJECT: February Director's Report DATE: February 22, 2018 INTRODUCTION/DISCUSSION 2040 Comp Plan Update The Farmington Community Expo served as a great opportunity to engage the public in the update of the 2040 Comprehensive Plan. While we will be focusing primarily on the economic development chapter at our February 22nd EDA meeting, staff and Jeff from HKGi can provide an update on the progress of the rest of the document. 2018 City Council Priorities City Council adopted their 2018 priorities at their February 5th meeting. Several of these priorities relate to economic development and the EDA. These priorities will be especially useful as we look to update our Strategic Plan for Economic Development to cover 2019-2021 later this fall. I would like to work with the City Administrator to plan a joint work session of the City Council and EDA sometime in the next several months so that both bodies can discuss ways to best execute these priorities. NEXT MEETING Our next regular meeting is scheduled for March 22nd at 6:30 p.m. I have designated time for a financial update presentation from the city's new Finance Director, Teah Malecha. ACTION REQUESTED None, this report is intended to be a monthly update on various development and industry related topics.