HomeMy WebLinkAbout08-22-19 MINUTES
ECONOMIC DEVELOPMENT AUTHORITY
Regular Meeting
August 22, 2019
1. CALL TO ORDER
The meeting was called to order by Chair Simmons at 6:30 p.m.
Members Present: Simmons, Bernhjelm, Butterfield, Jolley, Wilson
Members Absent: Cordes, Craig
Also Present: Adam Kienberger, Community Development Director; Jeff Kerr,
Homestead Community Church; Kara Hildreth, Dakota County
Tribune
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. APPROVE AGENDA
MOTION by Wilson, second by Bernhjelm to approve the Agenda. APIF,MOTION
CARRIED.
5. CITIZEN COMMENTS/PRESENTATIONS
6. CONSENT AGENDA
MOTION by Jolley, second by Bernhjelm to approve the Consent Agenda as follows:
a) Approved Meeting Minutes (June 27, 2019, Regular Meeting)
b) Received Monthly Financial Statements
APIF, MOTION CARRIED.
7. PUBLIC HEARINGS
8. DISCUSSION ITEMS
a) Approve Downtown Facade Improvement Grant Program Application—
Homestead Community Church
Pastor Jeff Kerr has applied for a façade grant for the Exchange Bank/Larson
Building, 344 Third Street. Improvements include:
- Repair and resurfacing of the Larson building exterior
- Repair existing window frames
- Spot tuckpointing
The grant amount requested is $10,000. There are funds to cover this amount.
The goal is to have the work completed by late November. EDA members were
very pleased to see this investment in this building. MOTION by Butterfield,
second by Bernhjelm,to approve the downtown Façade Improvement Grant
application and contract for 344 Third Street. APIF,MOTION CARRIED.
EDA Minutes(Regular)
August 22,2019
Page 2
Member Jolley asked about the procedure of the grant process and if staff verifies
the applicant's matching funds. Staff stated they do not need to provide proof
because it is a one-to-one match. When they provide the invoice it shows the
applicant has paid the full cost upfront and then we cut the check. So we are
reimbursing them. Member Jolley was concerned about what we have agreed to
and the community is expecting to see, could not be done if it turns out the
applicant's funds are not available. She feels staff should verify the applicant has
funds available before the grant is approved. Staff explained we are not obligated
to pay any funds. The contract states the applicant needs to provide a bid that
shows the amount and an invoice showing they have expended those funds. Chair
Simmons noted from a business perspective an applicant wouldn't sign a contract
with a contractor if you don't have the funds. That would not be good business.
Staff noted we can never give out dollars that haven't been proven they have
expended an equal amount. Member Jolley stated as a process,we should know
their part is there before we commit our part; that they have the matching funds.
Staff should know the funds are in place. Member Wilson appreciated that
perspective, but this commission has been burned one time with a business that
received grant money and then left town. If we were to adopt that approach,that
would really change the positive direction of the city that we are easy to work
with. He would feel very uncomfortable reviewing bank statements that a certain
amount of dollars are available. If we know someone has paid something then we
can expend the money. If they haven't,then they lost out on an opportunity.
Member Jolley stated it doesn't have to be a review of financial statements. We
tell them here is the grant money, show us proof of your funding. Chair Simmons
stated our program design is showing proof of payment at the end right now. We
are getting solid proof with a copy of an invoice showing payment made to a
contractor before we pay money. We are covering that with our current program
design to ensure our dollars are not paid before we receive written proof the
project is paid.
Staff noted our allotment of funds has been used up with this grant. The grant
funding was $20,000 for this year. Last year it was increased to $25,000 because
of the number of applications received. Members asked for an outline of funds
for this program and for the EDA budget for the next meeting. Member
Bernhjelm suggested having a submission timeline for grant applications. Staff
will bring to the next meeting the EDA budget, including grant funding and ways
to change the process.
The last grant project was with Peerless Plastics and staff provided some before
and after pictures.
b) Business Retention and Expansion Strategy Update
Staff reviewed business and expansion strategies. The city website contains a list
of top 10 employers. Staff provided handouts with methods to determine the
needs of local businesses. Chair Simmons noted the EDA had talked about
categorizing Farmington businesses into small, medium and large as a way to
EDA Minutes(Regular)
August 22,2019
Page 3
identify their needs. Member Bernhjelm noted on the list of businesses provided
by staff, she asked to eliminate those in the townships and expand it beyond the
top 10. She would like the EDA to reach out individually to the businesses and
make connections. A lot of them do not know who the EDA is or what we do and
we need to build a relationship with them. Chair Simmons suggested doing
targeted outreach to those that have opened in the last ten months. How do we
learn about those poised for growth? Member Bernhj elm noted we see them at
the ribbon cuttings and there is no connection after that. Member Jolley noted we
used to do business visits and they were very successful. It allowed us to spread
the news of the good things going on in Farmington. Business owners are proud
that someone wanted to see what they are doing. They would take less than an
hour. Member Wilson recalled the visits stopped because we ran into businesses
not having time. Staff noted the business visits were part of our last strategic plan
from five years ago. They are not prioritized in the latest version of the strategic
plan. Chair Simmons recalled there was a concern about time commitment. No
one has to commit any more time than they already have. You are a member of
this committee and you signed on for one meeting a month. There is no pressure
to do business visits. If you are interested, it can be up to what you are able to
commit. Chair Simmons asked if there are members on other commissions that
would be interested in partnering with us to do the visits, such as the Planning
Commission. Member Bernhjelm suggested starting small and pick one business
a month and whoever can come can come. There should always be a
representative of the city there in addition to an EDA member. Prior to the visit,
she would want some history or knowledge of their business; what have they
partnered with us on in the past; what have they sponsored with us; does staff
already know about their engagement with the city. From there you can tailor the
conversation more about how can we work better together, strategize on what
they are trying to offer the city; what does the business want out of that; are there
programs the city can bring to you. The visit has to be customized. Chair
Simmons agreed with starting small, evaluate, see how it goes. Member
Bernhjelm suggested doing a couple visits this fall. Staff suggested
recommending the businesses to reach out to as we have engagements with many
of the businesses currently. We should determine what we want to get out of it; is
it relationship, data, metrics. He is hearing more relationship rather than data. As
far as logistics, we have to work around the business, then select members that are
available for that time slot. Members suggested staff pick out a business for
September and October and start with just the EDA. Member Bernhj elm
suggested having a sheet to tell them what the EDA is working on and what the
City Council is working on. Member Jolley suggested after doing a visit, maybe
we can put a little article about it on our website with the owner's permission.
Chair Simmons suggested developing a process for this. She would be interested
in doing two visits a month; one from a current partnership and one that has
opened in the last 12 months. Staff cautioned on the logistics and the amount of
time it takes to set meetings and the coordination. Member Wilson suggested
staff take back our comments and discuss this at the next meeting. Staff heard a
desire to establish a business case and set up a timeframe for what the
EDA Minutes(Regular)
August 22,2019
Page 4
deliverables, outcomes and mutual benefits are expected to be of this process.
From there look at one or two of what we can get and tailor the targets for who we
are trying to hit in a given month. He will bring this back to the meeting next
month and will reach out to a business or we can identify businesses at our next
meeting. Staff could select a business from the list without discussing it at a
meeting. Chair Simmons trusted staff to choose a business, but she feels less
confident talking to a business versus someone from the city that does that every
week. She doesn't want to do this just to check a box; she wants it to be
meaningful. Staff will bring a structure to the next meeting and at the same time
select a few businesses for the end of September or October. Talking points can
be determined at the next meeting and who can go. Member Butterfield
suggested the business not be consumer facing because you know what they do.
He suggested industrial or more unknown where we can try to get feedback as to
how they are doing.
c) TH3 Corridor Plan Implementation Update
The TH3 Corridor Plan was adopted by the City Council on June 3, 2019. Staff is
working on implementation steps. This fall, with the adoption of the 2040 comp
plan, we are looking at rezoning ordinance amendments and technical
components.
d) Economic Development Activities/Events in Farmington
Chair Simmons wanted members to start thinking about unique events for
Farmington. Member Wilson had brought up the Eagan food truck festival. She
asked if there are things other members have attended that might be a good idea.
Member Bernhj elm stated the City Council has talked about not reinventing the
wheel, but capitalizing on things that are already going on. She suggested
between now and the end of the year,put together a calendar of what does drive
traffic down here; such as the fair, Dew Days, small business day, Ramble Jam.
Look at that calendar next year and see how as a group we can enhance that and
help drive traffic further. Member Bernhjelm asked if staff could pull that
calendar together. Member Jolley suggested the EDA have their own table at the
Expo. Maybe hand out a calendar as to when things are going on. Chair
Simmons has heard of a ladies night in downtown in other cities. We will have the
Main Street Day Spa,they had chiropractors doing massages, etc. You had a
passport and would get it stamped and at the end of the night there was a drawing.
It was sponsored by a business association. Member Bernhjelm suggested taking
ideas to the FBA and perhaps the EDA can support it. Staff suggested having the
city's communication staff come to an EDA meeting to talk about the different
ways to do this and events and how they are being promoted.
e) City Council Update
Member Bernhjelm distributed a handout. She started with a high level of the
City Council's 2020 priorities. This is what the council uses to determine if a
project meets their priorities. There are many projects going on. One priority was
better communication. Last month was the first Coffee with the Council and only
EDA Minutes(Regular)
August 22,2019
Page 5
a couple people showed up. The council met with the liquor store committee and
decided for September two councilmembers will be stationed at the Pilot Knob
liquor store for a couple hours on September 26 and take the opportunity to tell
people how the money goes back into the community. The council is working on
the 2020 budget. Right now there is not a plan to increase the tax levy. Debt is
going down drastically which helps prevent that increase. A new position
proposed for 2020 is the Deputy Police Chief Council and staff have been
working on a major projects list and how much they will cost. The next step is
how to check these off and assign a year to do them. Member Bernhjelm
reviewed the list. Member Butterfield suggested the EDA review the list and
determine what the EDA can participate in to support the project. Member
Bernhjelm explained how a large business needs to fit with a project in order for
them to contribute. Chair Simmons suggested that discussion could be part of the
business visits.
9. DIRECTOR'S REPORT
a) August Director's Report
The joint City Council / School Board meeting was July 15. Community
Development Director Kienberger presented his department's annual report and
development update at that meeting.
Staff asked about rescheduling the September 26 meeting as there are a couple
other events going on that evening. It was determined to move the meeting to
September 19, 2019.
10. ADJOURN
MOTION by Jolley, second by Bernhjelm to adjourn at 8:20 p.m. APIF, MOTION
CARRIED.
Respectfully submitted,
C�wth�a MvLLer
Cynthia Muller
Administrative Assistant