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HomeMy WebLinkAbout09-24-20 MINUTES ECONOMIC DEVELOPMENT AUTHORITY Regular Meeting September 24, 2020 1. CALL TO ORDER The meeting was called to order by Chair Simmons at 6:00 p.m. Members Present: Simmons, Bernhjelm, Butterfield, Cordes, Hudlemeyer, Wilson Members Absent: Craig Also Present: Adam Kienberger, Community Development Director 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVE AGENDA Community Development Director Kienberger added item 8b2)Update on Redevelopment and Property Reinvestment Program MOTION by Wilson, second by Hudlemeyer to approve the Agenda. APIF,MOTION CARRIED. 5. CITIZEN COMMENTS/PRESENTATIONS 6. CONSENT AGENDA MOTION by Bernhjelm, second by Hudlemeyer to approve the Consent Agenda as follows: a) Approved Meeting Minutes (August 13, 2020, Regular Meeting) b) Received Monthly Financial Statements APIF, MOTION CARRIED. 7. PUBLIC HEARINGS 8. DISCUSSION ITEMS a) 2019-2021.Strategic Plan for Economic Development Update The EDA revisited the three-year strategic plan. Members Wilson, Bernhjelm and Butterfield met since the last meeting as the Business Retention and Expansion subcommittee. The original plan for BR&E was to do business visits. They decided to pivot and a survey will be sent to the business community to determine the impact of Covid in early October. Staff explained the city maintains a list of businesses and this was used to contact them directly rather than put the survey out to the general public. This is looking at a narrow snapshot in time of the pulse of the community. The survey results will be brought back to the EDA. Member Bernhjelm would like to see the results brought back in November. Chair Simmons asked what if there is a low response, has an incentive been discussed? That has not been discussed, but staff will look into it. The survey will be available for two weeks. Member Bernhjelm stated one thing we lost in the BR&E group was the plan to promote the businesses we were going to meet with. She would like to see a strategy put together as to how we highlight EDA Minutes(Regular) September 24,2020 Page 2 some of the businesses through the city platform. Staff noted the city has a challenge with promoting businesses because it implies the endorsement of the city. We have to be careful how we frame the message. We tend to focus on groups, or an action that was taken. The idea is how to prop up the businesses and things they are doing. Member Bernhjelm suggested putting it out there as a weekly highlight series, and word it so there isn't the perception of an endorsement. Member Wilson agreed, but there has to be a way to highlight businesses; some cities have a business of the year. Member Hudlemeyer stated Northfield would promote all the auto dealers and restaurants to the colleges. Member Bernhjelm felt it would be helpful to pull in partners like the Chamber and have them come to an EDA meeting to help with this. Member Hudlemeyer stated we need to talk about what we do have, rather than what we don't have in Farmington. Member Cordes noted there are people on the north end, that still don't know about businesses to the south. Chair Simmons was also pleased with the ideas from the BR&E group. She felt the businesses would like the EDA's support. Member Butterfield asked if there was a way to promote Farmington to other communities. Such as what businesses are opening, struggles a business is having, etc. Staff stated an EDA to an EDA or a city to a city is done through professional groups. Member Butterfield noted Edina did a social media spotlight and suggested we could mention what is similar in Farmington and pull both groups together. Staff will talk with the city communication staff. Member Bernhjelm noted when we highlight a business, staff can boost that post and it would go to other communities. Chair Simmons asked the group if it was important to them to do what other cities are doing. She wants to tap into anything we can do. Staff summarized the priorities as, the BR&E survey results, a more refined communications strategy as it relates to business promotion and development in Farmington. Staff will put these ideas under a communications strategy. Members discussed changing the narrative on social media from bashing businesses to showing how we promote and support businesses. Member Wilson noted the Chamber is the voice of the businesses. We have to engage the FBA and the Chamber to align the message. He suggested having a monthly economic business report; something light, and having a directory of local businesses. Member Hudlemeyer stated we should find out what businesses need. Chair Simmons suggested putting on the agenda before the end of the year a joint meeting with the City Council and Planning Commission and Parks and Rec Commission to determine what projects we can work on together. Member Wilson suggested working with the school district also. Staff summarized again under a communications goal, to focus internally with communication staff about ways we can get the word out both internally to our partners and externally to other groups, i.e. the business community outside of Farmington. The other one is to work with our partners that do event planning, such as the FBA and Chamber to see what is on their agenda and what they are planning to do and make sure they are actively engaging with our businesses so they can program some of these ideas into their activities. The last one is the joint meetings. Member Hudlemeyer added to the second item non-profits or volunteer EDA Minutes(Regular) September 24,2020 Page 3 type groups for community planning. If those types of events are ways that can drive people to the area, we might think about putting a small fund together so they can get reimbursed for their expenses. How do we use our funding to push the behavior we want in our community and to pull more people into our community? Member Bernhj elm noted Dakota County just did a big transit study and Farmington was left off of that. If we want to advocate for transportation here, we need to advocate more for that. Staff noted the city does waive fees for community activities such as Dew Days. Member Hudlemeyer felt 2021 is the year to be proactive in the community and to draw business into Farmington. We need to look at what businesses are looking at developing and coming here and what are we doing to get them here besides answering their email. Member Bernhjelm suggested bringing the Urban Land Development group back. They were here in 2017 and recommended focusing on the downtown. She would like to have DEED do a presentation to the EDA. Chair Simmons has heard consensus from the EDA throughout the year about the Dakota Motors building. b) Business Development Update Staff provided an update on business projects. We have Hy-Vee, Aldi, Taco Bell and Just for Kix all own land in the Vermillion River Crossing development and have city approval. The timeline is up to them as to when to move forward. Chair Simmons asked if we talk to them every six months, or wait for them to call. Staff stated it will depend on the project and what has been permitted, granted, or still to come. Some are regular updates if they have an expiring approval. They have what they need and they will make their investment when they are ready. EZ Auto has plans for an expansion of 2500 sq. ft. We anticipate a demo permit for a single-family home to the north shortly. Impact Auto has a planned expansion of 1300 sq. ft. We have plans from them and they will move forward shortly. Kemps is wrapping up a boiler building expansion on their site. Holiday Station Store is under construction on Hwy 3. There will be turn lane improvements on Hwy 3 and they are working with MnDOT on that. They would like to open in December. A recent project is Vermillion Topside apartments behind Roundbank. This will be a four-story building and was approved last night by the Planning Commission. Plan review will be the next step. EDA Minutes(Regular) September 24,2020 Page 4 Member Butterfield understood keeping inquiries confidential, but asked if an inquiry could at least be tied to an industry. Member Simmons asked when the last contact was with Aldi. Staff noted if they have everything they need from us, we don't actively reach out to them. She asked because it goes back to being proactive rather than reactive. It helps to know what to say to residents who ask. Staff noted our standard answer is they still own the land. Staff will bring something back to the group that these contacts are happening, but it will have to be vague. Regarding large business expansions, developments within Farmington, items EDA can do to help recruit top work places, there is nothing the EDA can do to actively recruit major employers to the community. An update on inquiries, we have seen an uptick in certain types of inquiries. We are working with a large prospect now. They are working on site selection. We get one to two very large projects a year that are looking. It comes down to the site preparedness with the land owner. That is where we are out of the running. Staff has a meeting planned with the new Open to Business representative in October. Staff will look into a DEED presentation and reach out to the Chamber to meet with the EDA. Staff will also look into the Urban Land group. Staff asked if any of the members actively engage with the Dakota County Chamber through their jobs. Member Bernhjelm encouraged them to join. Staff meets with them monthly. Staff will inquire about membership with commission members. Chair Simmons asked for the October agenda, to add an item to help the group understand codes that apply to businesses and their outwardly appearance. She understood there was to be proactive enforcement of city code, but she doesn't know what that means and what we are doing to enforce what we can, especially along the main roads. Member Bernhjelm also asked for an update from Planning Commission activities. Chair Simmons asked for updates regarding the Family Fresh and Dakota Motors building. It was decided staff should provide an email regarding code enforcement and if there are questions, add it to the agenda. b2) Update on Redevelopment and Property Reinvestment Program Staff recalled in January, staff proposed a public improvement program and a property reinvestment program. We left the reinvestment program as a draft. This morning staff spoke with someone interested in purchasing the Dakota Motors building and they asked about incentives. The draft of the reinvestment program talks about encouraging people to invest in blighted properties. Staff asked the EDA if there was willingness to move funds into this program based on this recent inquiry. We have the opportunity to finalize a program and roll it out to someone who can use it. Member Wilson asked if the building would be demolished and rebuilt or remodel the current building. Staff stated it would be a remodel. With the draft program it would remove hurdles and provide an incentive for investment. The EDA had discussed a couple amounts,up to $50,000 or a $10,000 grant with the potential to EDA Minutes(Regular) September 24,2020 Page 5 do five. Staff recommended allocating $20,000 for two $10,000 grants. Chair Simmons noted we would have their application and would need to approve the grant. Member Butterfield noted that is a $1 million property and we would be offering a$10,000 grant. Is that enough? Chair Simmons asked what staff's recommendation of$10,000 is based on. Member Wilson cautioned the EDA should not have a different amount than what has been offered to others with other grant programs. Member Bernhjelm stated we have to think about the program we want to offer and not the business that will use it. Staff stated the programs the EDA runs are a function of our budget restraints. We are not financially equipped to offer loans. Member Hudlemeyer stated we don't want to tailor a program to one opportunity, but to all opportunities. MOTION by Wilson, second by Bernhjelm to formalize the program and allocate $20,000. Voting for: Simmons, Wilson, Bernhjelm, Hudlemeyer. Voting against: Butterfield. MOTION CARRIED. 9. DIRECTOR'S REPORT a) September Director's Report Staff provided an update on small business relief grants. More than 80 businesses have applied for the grants at$10,000 each. The new Open to Business advisor is Natalie Mouilso and she has been invited to attend the October EDA meeting. According to the state, there are no planned Covid changes for the next two weeks. The next meeting will be October 22, 2020, at 6:00 p.m. It will be in- person. 10. ADJOURN MOTION by Bernhjelm, second by Hudlemeyer to adjourn at 8:08 p.m. APIF, MOTION CARRIED. Respectfully submitted, C!U vutKn Mu.Uer Cynthia Muller Administrative Assistant