HomeMy WebLinkAbout07.15.24 EDA PacketMeeting Location:
Farmington City Hall, Conf Room 170
430 Third Street
Farmington, MN 55024
ECONOMIC DEVELOPMENT AUTHORITY REGULAR MEETING AGENDA
Monday, July 15, 2024
5:30 PM
Page
1.CALL TO ORDER
2.PLEDGE OF ALLEGIANCE
3.ROLL CALL
4.APPROVE AGENDA
5.CITIZEN COMMENTS
6.CONSENT AGENDA
6.1 Minutes of the Regular Economic Development Authority Meeting dated
May 20, 2024
Approve the minutes of the May 20, 2024 Regular Economic
Development Authority meeting.
Agenda Item: Minutes of the Regular Economic Development Authority
Meeting dated May 20, 2024 - Pdf
3 - 7
6.2 Monthly Financial Report
Accept monthly Financial Report for July 2024.
Agenda Item: Monthly Financial Report - Pdf
8 - 9
7.PUBLIC HEARINGS
8.DIRECTOR'S REPORT
8.1 Director's Report
No action requested. This item is informational and is provided to
communicate how the EDA time and money resources are allocated,
and to track and measure the impact of initiatives.
Agenda Item: Director's Report - Pdf
10 - 14
Page 1 of 32
9. DISCUSSION ITEMS
9.1 Small Business Resource Fair Update
No action needed. Please feel free to attend the Small Resource Fair if
you are available.
Agenda Item: Small Business Resource Fair Update - Pdf
15 - 19
9.2 2025 Preliminary Budget, Work Plan, and EDA Levy Discussion
No formal action is requested. The EDA is asked to discuss the
proposed budget and provide direction on the preliminary 2025 EDA
levy request.
Agenda Item: 2025 Preliminary Budget, Work Plan, and EDA Levy
Discussion - Pdf
20 - 31
9.3 Closed Session to Consider Whether to Develop or Consider Offers or
Counteroffers for the Sale or Purchase of the Real Property in the City
of Farmington, Dakota County, Minnesota (PID: 14-03100-22-012),
Pursuant to Minnesota Statutes Section 13D.05, Subdivision 3(c)(3)
Motion to close the Economic Development Authority meeting pursuant
to Minnesota Statutes section 13D.05, subdivision 3(c)(3), to consider
whether to develop or consider offers or counteroffers for the sale or
purchase of the real property in the city of Farmington, Dakota County,
Minnesota (PID: 14-03100-22-012).
Agenda Item: Closed Session to Consider Whether to Develop or
Consider Offers or Counteroffers for the Sale or Purchase of the Real
Property in the Ci - Pdf
32
10. ADJOURN
Page 2 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Shirley Buecksler, City Clerk
Department: Administration
Subject: Minutes of the Regular Economic Development Authority Meeting dated May 20,
2024
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
For the Commission's approval are the minutes of the May 20, 2024 Regular Economic
Development Authority meeting.
ACTION REQUESTED:
Approve the minutes of the May 20, 2024 Regular Economic Development Authority meeting.
ATTACHMENTS:
05.20.24 EDA Minutes
Page 3 of 32
Economic Development Authority Meeting Minutes of May 20, 2024 Page 1 of 4
City of Farmington
Economic Development Authority
Regular Meeting Minutes
Monday, May 20, 2024
The Farmington Economic Development Authority met in regular session on Monday,
May 20, 2024, at Farmington City Hall, 430 3rd Street, Farmington, Minnesota.
1. CALL TO ORDER
Chair Wilson called the meeting to order at 5:30 p.m.
2. PLEDGE OF ALLEGIANCE
Chair Wilson lead everyone in the Pledge of Allegiance.
3. ROLL CALL
Members Present: Chair Steve Wilson
Commissioners Holly Bernatz, Joshua Hoyt, and Nick Lien
Members Absent: None
Also Present: Lynn Gorski, City Administrator
Julie Flaten, Asst City Administrator/HR Director
Deanna Kuennen, EDA Executive Director
Stephanie Aman, Economic Development Coordinator
Kim Sommerland, Finance Director
John Powell, Public Works Director
Shirley Buecksler, City Clerk
4. APPROVE AGENDA
Motion was made by Commissioner Lien and seconded by Commissioner Bernatz to
approve the agenda, as presented.
Motion carried: 4 ayes / 0 nays
5. CITIZEN COMMENTS
No one addressed the Commission to speak.
6. CONSENT AGENDA
6.1 Minutes of the March 18, 2024 Economic Development Authority Meeting
6.2 Monthly Financial Report
6.3 Quarterly Report – Open to Business (Q1 2024)
Motion was made by Commissioner Hoyt and seconded by Commissioner Bernatz to
approve the Consent Agenda, as amended.
Motion carried: 4 ayes / 0 nays
Page 4 of 32
Economic Development Authority Meeting Minutes of May 20, 2024 Page 2 of 4
7. PUBLIC HEARINGS
There were no public hearings.
8. DISCUSSION ITEMS
8.1 Choose Vice-Chairperson for the EDA for Remainder of 2024
Motion was made by Commissioner Hoyt and seconded by Commissioner
Bernatz to appoint Nick Lien as Vice-Chairperson for the remainder of 2024.
Motion carried: 4 ayes / 0 nays
8.2 Small Business Resource Fair
The Small Business Resource Fair is scheduled for July 16th from 8 to 10:30 am.
The target audience for this event is businesses with less than 20 employees. As
of today, 17 businesses have confirmed their attendance.
Discussion included:
• A suggestion for businesses to be able to sign up for future notices and
invitations, similar to notifications on the City’s website.
• QR code to register for events.
8.3 2023 MicroGrant Awards and Updates
Coordinator Aman provided an update on the 2023 MicroGrant Awards. A total
of $10,000 funded by the EDA MicroGrant program was awarded to the following
four businesses in 2023.
Fissan Training Kennels
$2500 grant approved at the June 26, 2023 EDA meeting.
This matching grant funding allowed Fissan Training Kennels to complete a sign
upgrade that they had been wanting to do. The new signage is clean and bright
and adds a great deal to the facade of their building. Fissan Training Kennels
has met all obligations to provide pictures and invoices with payment information
and has fulfilled the terms of the grant agreement.
Heikkila Studios
$2500 grant approved at the July 17, 2023 EDA meeting
This matching grant funding was used to install a new concrete patio to the west
of the building at 349 3rd Street. With this improvement, Heikkila Studios is better
able to utilize this space as it provides a better aesthetic for photography. Heikkila
Studios has provided pictures and closed out invoices and has fulfilled the terms
of the grant agreement.
Page 5 of 32
Economic Development Authority Meeting Minutes of May 20, 2024 Page 3 of 4
The Pam McCarthy Agency, Inc.
$2500 grant approved at the August 21, 2023 EDA meeting
This matching grant funding is being utilized for mass marketing campaigns to
help the Pam McCarthy Agency reach more people and grow business. The
agency has plans to complete phased mailing campaigns and has until August
21, 2024 to utilize the funds.
Grant Heating and Air
$2500 grant approved at the September 18, 2023 EDA meeting
This matching grant funding was used to complete a needed painting project on
the exterior of the business, as well as spruce up the outside which makes for a
more welcoming environment for customers to come to, along with being a good
neighbor. Grant Heating and Air had recently purchased the building and were
grateful for matching funding to help ease the burden of this cost on a small
business. Grant Heating and Air has provided pictures and invoices with payment
information and has fulfilled the terms of the grant agreement.
8.4 2025 Budget – Preliminary Discussion
Director Kuennen thanked the EDA for making this the first year in which the
EDA has a dedicated levy.
Direction: discontinue the $50K transfer from the General Fund and include it in
the EDA budget, and come back with a reasonable budget amount, as we look
at the budget as a whole.
9. DIRECTOR’S REPORT
9.1 Director’s Report
Director Kuennen said this was a great night for all of us and, again,
congratulated the City for being a finalist for the 2024 MREJ Awards, City/County
of the Year and thanked everyone for coming out to be part of this celebration
and award.
Kuennen pointed out two items from the report in the EDA’s packet:
• BRE Plan – this is a departure from the BRE program in the past and was
intentional. We recognize the time and effort put into the previous
program, but these will be conversations, and this is where we have found
we get the most input back from the businesses and how we have the
most authentic interaction. This is how we anticipate focusing on the BRE
for the rest of the year.
• There is an opportunity to support the idea of property and site readiness.
We have been made aware of a property that may be listed this summer
Page 6 of 32
Economic Development Authority Meeting Minutes of May 20, 2024 Page 4 of 4
that could be of interest and benefit for the City to acquire. However, if
something like that were to happen, it is our recommendation that we
understand what we are getting into. We are asking the EDA to consider
allowing us to use $6,000 to hire a consultant from the consultant pool
who would do a structural analysis on this particular property, including all
the buildings on the property. The consultant will provide us with a detailed
construction report of repairs and recommendations, as well as priorities
for those repairs, removals, etc. This would be important information to
have before we bring any property negotiations forward in a closed
session. Chair Wilson and the Commissioners agreed to move forward.
10. ADJOURNMENT
Motion was made by Commissioner Lien and seconded by Commissioner Bernatz to
adjourn the meeting at 6:43 p.m.
Motion carried: 3 ayes / 1 nay – Chair Wilson would have preferred to continue this
good conversation.
Respectfully submitted,
Shirley R Buecksler
City Clerk
Page 7 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Deanna Kuennen, Community & Economic Development Director
Department: EDA
Subject: Monthly Financial Report
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
Attached is a monthly Financial Report through July 2024.
DISCUSSION:
Attached is the monthly Financial Report for July 2024, including a summary of the year-to-date
expenditures. The expenditures are consistent with the approved EDA work plan and 2024 budget.
Items to note: The 2024 budget included $51,000 of "remaining proposed revenue" that was
unprogrammed and was intended to be used for items such as "site readiness, implementation of
the community vision, etc." Of these funds:
$39,9000 has been designated to fund the Alternative Urban Areawide Review (EDA
Resolution 2024-01)
$6,000 was approved at the May meeting to fund a structural analysis of buildings located on
PID 140310022012
BUDGET IMPACT:
Not applicable
ACTION REQUESTED:
Accept monthly Financial Report for July 2024.
ATTACHMENTS:
JULY 2024 Financial Report
Page 8 of 32
Business
Unit
Object
Account
Account
Description YTD Spent (thru 7-1-24)Approved 2024 Budget Adjusted Budget
numbers per Finance Actual Remaining SUMMARY OF EXPENDITURES
2000 - HRA/ECONOMIC DEVELOP6280 BOOKS & SUBSCRIPTIONS 0.00 150.00 150.00 150.00
2000 - HRA/ECONOMIC DEVELOP6401 PROFESSIONAL SERVICES 37,500.00 5,000.00 42,500.00 5,000.00 *Includes: My Town (25,000) and SLP (12,500) - both
were originally included in "other"
2000 - HRA/ECONOMIC DEVELOP6403 LEGAL 830.50 3,000.00 3,000.00 2,169.50 Primarily RIG and AUAR related
2000 - HRA/ECONOMIC DEVELOP6426 INSURANCE 156.95 600.00 600.00 443.05
2000 - HRA/ECONOMIC DEVELOP6445 POSTAGE/SHIPPING FEES 0.00 1,000.00 1,000.00 1,000.00
2000 - HRA/ECONOMIC DEVELOP6450 OUTSIDE PRINTING 421.51 2,500.00 2,500.00 2,078.49 Materials for SLP and Conferences, Business Cards
2000 - HRA/ECONOMIC DEVELOP6455 LEGAL NOTICES 0.00 500.00 500.00 500.00
2000 - HRA/ECONOMIC DEVELOP6460 MEMBER DUES & LICENSURE 8,260.05 3,500.00 8,000.00 -260.05 Includes: Chamber (2,500), CVN (4,500 originally
included in "other"), EDAM (545), MMP (700)
2000 - HRA/ECONOMIC DEVELOP6470 TRAINING & SUBSISTANCE 1,320.05 5,000.00 5,000.00 3,679.95 Includes: EDAM Winter (2), DRC (2), MMP Qrt 1,
EDAM Summer
2000 - HRA/ECONOMIC DEVELOP6480 MEETING EXPENSE 109.11 -109.11 Coffee - Chamber Coffee Event
2000 - HRA/ECONOMIC DEVELOP6485 MILEAGE REIMBURSEMENT 1,392.44 3,000.00 3,000.00 1,607.56
2000 - HRA/ECONOMIC DEVELOP6505 EQUIPMENT REPAIR/MAINTENANCE 0.00 1,000.00 1,000.00 1,000.00
2000 - HRA/ECONOMIC DEVELOP6550 DEVELOPER PAYMENTS 0.00 50,000.00 50,000.00 50,000.00
2000 - HRA/ECONOMIC DEVELOP6570 PROGRAMMING EXPENSE 5,500.00 10,000.00 10,000.00 4,500.00 2024 Open to Business
2000 - HRA/ECONOMIC DEVELOP7420 OTHER 12,950.00 64,750.00 22,750.00 9,800.00 **Includes: MREJ Marketing (10,000), MREJ
Total 2000 - HRA/ECONOMIC DEVELOPMENT 0.00 -51,000.00 150,000.00
81,559.39
0.00 -51,000.00 51,000.00 11,100.00 Unallocated - for TBD initiatives around land, rev loans,
comp plan. $39,900 reallocated to Gen Fund for AUAR
consultant ($6000 Not Reflected - for Structural
Analysis)
0.00 -51,000.00 201,000.00 92,659.39 Remaining Budget
JULY 2024 and YTD BUDGET
Pa
g
e
9
o
f
3
2
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Deanna Kuennen, Community & Economic Development Director
Department: EDA
Subject: Director's Report
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
Attached please find a summary of recent economic development activities.
DISCUSSION:
Attached please find a summary of recent economic development activities. Staff will be available
to answer questions.
BUDGET IMPACT:
Not applicable
ACTION REQUESTED:
No action requested. This item is informational and is provided to communicate how the EDA time
and money resources are allocated, and to track and measure the impact of initiatives.
ATTACHMENTS:
07-2024 Director's Report
Page 10 of 32
Reporting
Period:
July 2024
DIRECTOR’S REPORT – providing project highlights and a summary of
economic development activity.
Projects &
Initiatives
• Ebert Apartments Construction is progressing nicely. The project is still on-track for a final
Certificate of Occupancy being issued in mid- to late-September, with a Fall 2024 opening.
The Dakota County RIG has been completed and closed out. The project was
awarded $250,000 to assist with the demolition, clean-up, and site preparation.
An Open House Celebration is being planned for the third week in October. More information to come.
• Community Vision/Comprehensive Plan Update - HKGi
A joint Planning Commission/City County work session was held in June to
discuss the revised future land use plan. Both the Planning Commission and City Council voiced that the changes accurately reflected their requests to
provide more opportunity for business growth. Staff is now working with the
consultants to make final revisions, build out the staging maps, and prepare materials for public input meetings. Once dates have been set for the public
input meetings, those will be heavily advertised.
Page 11 of 32
• Small Business Resource Event – July 17, 2024, from 8:00-10:30 am.
• MREJ
Staff moderated a panel at the 2nd Annual Southeast Metro Development
Summit held on May 23rd and tabled at the event. Two specific meetings and
one site visi t have been generated specifically from this event.
Farmington also sponsored the Mid-Year Forecast Summit and will be at the summer networking event.
• My Town – filming was completed in early May. The docuseries will air later
this year, with a late November slot for the Farmington episode.
o Filming in all 7 communities is finished and they are moving into the Post-Production stage.
o “My Town” has been greenlit for Season 2, which will help bring more
eyes to Season 1 and the Farmington episode.
o There are plans for a special theatrical premiere in October, but the details are not available just yet.
• BRE – Staff has actively started to schedule and conduct business visits based
on the BRE Plan discussed at the May meeting.
Prospects • Staff worked on more than 40 different proposed/potential projects in 2023.
These have varied in size, scale, industry, use, and location. The prospects are
all at different stages, and while some have included only providing written responses to information requests, others have included site visits and
numerous meetings. Staff continues to engage with many different business
prospects, developers, and project teams – with the goal of converting the prospecting into actual projects.
• R&L Carriers – this local business has secured additional property in the
industrial park to accommodate a nearly 100,000 SF expansion. The project
has submitted Planning & Zoning applications and are anticipating construction starting in late 2024. This logistics company has been in Farmington for 20
years and is growing nationwide. The project will include job creation of approximately 25 new positions in year one, adding by 11-12% to their workforce each year thereafter.
• Yellowtree Apartments – This $40 million + project proposes 168 units of
market rate apartments, underground parking, site amenities, and a connection to downtown. The project has received all Planning & Zoning Approvals and a Tax Abatement Agreement has been approved (following a
required public hearing). There are still some final details that are in process, but the developer is working towards closing on the property in late July and
starting construction this summer.
Page 12 of 32
• Staff continues to work on various potential projects and have conducted
numerous meetings with developers and site selectors already in 2024 – on average meeting with 8 different groups each month. Staff uses the developer/site selector meetings to share the Farmington story, discuss
opportunities, and identify partners who are in alignment with the City’s vision and can assist the City in bringing projects forward.
• Tract presented at a special work session on June 4th to introduce their
company and their proposed project plans. Tract is working through the
entitlement process associated with the goal of developing a master planned
technology park for data centers. There are multiple steps involved with this proposed development including rezoning and a Planned Unit Development.
It is anticipated that planning applications will be submitted in July, a project website launched in July, a community meeting conducted in late August,
with the Planning Commission reopening the rezoning public hearing in
September. There is some confusion around the process and timeline, but once applications are received and the Tract project website is launched, additional information will be available to the public.
• Two RFI from DEED were received. Neither project was a fit for Farmington and
responses were not submitted. They both had large land mass requirements and massive infrastructure needs/demands. Staff continue to vet RFIs as they
are received and will respond appropriately.
• The two Alternative Urban Areawide Reviews (Farmington West Industrial and
Farmington Technology Park) continue to progress. Alternative Urban Areawide Reviews (AUAR) are planning documents that identify impacts of
different development scenarios and the required mitigation measures.
Other
• Staff have been made aware of different potential land sales in the
community. There may be a role for the EDA to evaluate site readiness and
community benefit for different properties.
• Staff have been invited to attend a Minnesota Marketing Partnership Market
visit to Chicago in August. No additional details are available currently.
• Staff continue to stay connected and engaged with the Minnesota Trade Office, DEED, Greater MSP, and other organizations.
• The Unexpectedly Bold marketing campaign was nominated for a Northern
Lights Award. The award ceremony will be held on July 17th.
• Two ribbon cuttings are planned for July.
o State Farm, 431 3rd Street – July 16th at 10:30 am
o The Community Room, 305 3rd Street – July 19th at 9 am - tentative
Page 13 of 32
• Farmington is featured in an upcoming edition of Business View Magazine. The
article/edition will be launched soon and a link will be shared with the EDA.
The article will focus on our bold initiatives to proactively drive our future while preserving the elements that make Farmington a community.
Page 14 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Stephanie Aman, Economic Development Coordinator
Department: EDA
Subject: Small Business Resource Fair Update
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
The 2024 EDA Work Plan included hosting/holding a 'lunch and learn' for businesses in July. At the
time the work plan was prepared, the details of the event were not determined. Based on feedback
from some small businesses, there seemed to be interest and value in attempting a small business
resource fair in July. This concept and accompanying plan were presented to the EDA at the May
meeting with a positive response.
DISCUSSION:
The Small Business Resource Fair is scheduled for Tuesday, July 16, from 8-10:30 am.
Staff contacted many different organizations whose business model focuses on small businesses,
seeking their participation in the event. Through these efforts, a good mix of local and non-local
exhibitors have confirmed participation. The goal is to provide exposure to business resources that
might not be as known to our Farmington small businesses. There will be 14 exhibitors (as of this
packet posting) with a short list of other possible exhibitors.
The 14 committed exhibitors are:
State of Minnesota
Dakota County Chamber
Open to Business/MCCD
Hiawatha Broadband
Dakota County CDA
First Farmers and Merchants
Castle Rock Bank
Dakota Electric
Tech River
Pink Collar Accountants
Dakota County Library (Small business seminars are hosted frequently with them)
SOL-IS
State Farm Insurance
City of Farmington – Planning and Building Divisions
To market the resource fair, the following means were utilized - in addition to word-of-mouth by our
business community:
Page 15 of 32
Marketing efforts:
A direct mail piece was sent to nearly 150 businesses on June 20 with only nine returned
back as undeliverable.
Social media posts went out on the City's official sites on June 24.
A news bulletin/alert was placed on the City's website on June 25.
City Staff have added it to their LinkedIn profile.
An email was sent on July 10 as a reminder to small businesses.
One more reminder will go out on social media channels prior to the fair.
RSVPs were not required from the attendees, but Staff is received positive responses from the
businesses we have heard from. A full recap of the event will be provided at the August EDA
Meeting.
BUDGET IMPACT:
Approximately $300 for materials and breakfast
ACTION REQUESTED:
No action needed. Please feel free to attend the Small Resource Fair if you are available.
ATTACHMENTS:
Small Business resource Fair Postcard Invitation - FULL PAGE
SocialsSmallBusinessFairAd2
Page 16 of 32
430 Third Street
Farmington, MN 55024
Special invita
t
i
o
n
f
o
r
Farmington s
m
a
l
l
b
u
s
i
n
e
s
s
e
s
!
www.FarmingtonMN.gov
Deanna Kuennen
Community & Economic
Development Director
DKuennen@FarmingtonMN.gov
651-280-6820
Let’s
Connect!
Stephanie Aman
Economic Development
Coordinator
SAman@FarmingtonMN.gov
651-280-6823
Page 17 of 32
8:00am - 8:30am - Check-in, donuts, coffee & networking
8:30am - 9:30am - Presentations from the exhibitors
9:30am - 10:30am - Network with exhibitors &
other business owners
Rooms for private conversations
will be available in City Hall.
RSVP to Stephanie Aman
SAman@FarmingtonMN.gov or
P: 651-280-6823
Tuesday, July 16
from
8:00 am to 10:30 am
City Hall Commons
Small Business Resource Fair
Starting and growing a business takes work. We recognize that time is a
valuable resource in short supply for small business owners - but there
are resources available to help!
Farmington small businesses are invited to attend the 1st Small Business
Resource Fair hosted by the City. This free, no-pressure event is designed
to provide a “one stop shop” to discuss how the exhibitors can help YOU
acheive your business goals. All exhibitors are ‘small business friendly’
and are eager to meet with you!
Come - discover and connect at this small business resource fair!
All Farmington small businesses are welcome to attend. Please spread
the word!
RSVP Please!
Agenda
Details
Resource Fair exhibitors include:
•DEED
•Dakota County Library Staff
•IT Support
•Accounting Assistance
•Open to Business
•Commercial Insurance Providers and
more!
Page 18 of 32
Page 19 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Deanna Kuennen, Community & Economic Development Director
Department: EDA
Subject: 2025 Preliminary Budget, Work Plan, and EDA Levy Discussion
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
At the May EDA meeting, the EDA reviewed the 2024 EDA Work Plan and budget, and began
discussions related to the 2025 EDA Work Plan and budget (please see attached May staff report).
This discussion centered around accomplishments to date, the momentum associated with the
marketing efforts and outcomes, the impact of a dedicated funding source (EDA levy), and ideas on
how to best support the small business community. Based on that discussion and the direction
provided, Staff has refined the proposed 2025 budget and proposed EDA levy.
DISCUSSION:
At the May EDA meeting, the EDA supported both a continuation and an increase in an EDA levy.
The EDA expressed satisfaction with the accomplishments to date, how the EDA funds are being
dedicated to leverage business attraction and investments in the community, and the quality of
projects and initiatives. Specifically, the EDA requested that the preliminary levy incorporate the
General Fund annual transfer ($50,000) - and include a responsible increase that provided funding
to continue and grow the existing economic development initiatives and contribute to a growing
fund balance. The idea behind growing the fund balance incrementally is to provide flexibility
if/when opportunities arise and to allow the pursuit of larger programs and initiatives (yet to be
determined but could include the establishment of a revolving loan program, funding for land
acquisition, etc.). The following reflects the revised proposed 2025 budget:
Page 20 of 32
To note:
The EDA Levy amount increased from $150,000 to $250,000 - which represents a $50,000
increase since the $50,000 operating transfer is eliminated.
o State Statutes limit the levy amount of 0.01813% of the city taxable market value,
which is in excess of $500,000
The "Other" category has been removed and those funds are moved to the "Programming"
line. Specific projects will be identified and working with Finance, sub-categories within this
Page 21 of 32
line item will be created to allow tracking of specific program budgets.
Approximately $64,000 is unprogrammed. These dollars will help build the EDA fund balance
but can also be available if needed based on a specific opportunity or initiative requested by
the EDA.
The EDA is asked to review the levy request and preliminary budget. Based on input, Staff will start
building out the specifics to the proposed 2025 Work Plan and prepare a Preliminary Levy Request
resolution for consideration at the August EDA meeting. Now that the EDA levy is established,
annually the EDA is required to request a preliminary and final levy as part of the City's budget.
BUDGET IMPACT:
Not applicable
ACTION REQUESTED:
No formal action is requested. The EDA is asked to discuss the proposed budget and provide
direction on the preliminary 2025 EDA levy request.
ATTACHMENTS:
05-2024 EDA Meeting -2025 Budget - Preliminary Discussion - Pdf
Page 22 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Deanna Kuennen, Community Dev Director
Department: EDA
Subject: 2025 Budget - Preliminary Discussion
Meeting: Economic Development Authority - May 20 2024
INTRODUCTION:
The 2025 budget process is underway. To start the discussions at the EDA level, Staff will provide
an overview of 2024 YTD accomplishments, an update on the 2024 approved EDA Work Plan, and
a summary of approved 2024 budget. This will guide future discussions regarding a proposed 2025
EDA levy amount and budget modifications - to ensure that the EDA activities are impactful, bold,
and continue to advance the community vision and City Council priorities.
DISCUSSION:
2024
This year the EDA funding included dedicated levy dollars to support economic development
initiatives in the amount of $150,000. Attached is the 2024 EDA Budget and Work Plan - illustrating
how the additional funding was allocated and applied towards economic development initiatives, as
well as a calendar that showed the cadence associated with the various activities.
Work Plan - Accomplishments to date include:
The Site Location Partnership (SLP), Minnesota Real Estate Journal (MREJ), My Town, and
Community Venture Network contracts have all been executed and identified efforts are
underway.
o Staff is actively participating at MREJ events serving as speakers, moderating panels,
and visibly marketing the "Unexpectedly Bold" brand.
o Staff attended both the January and May Community Venture Network sessions - and
is conducting follow up visits and conversations with business prospects.
o Two SLP trade shows have occurred. Farmington specific information has been
provided for the shows, Staff is receiving reports from each trade show - including
business contact lists, and business interviews are being targeted for October in
Chicago.
On average, Staff is meeting with 8 different builders/developers per month to discuss
Farmington's vision and story and explore development opportunities and ideas. Many of
these leads come from the MREJ events. There is also specific follow-up associated with
each meeting.
Staff is attending Dakota County Regional Chamber coffees, policy forums, and events -
including hosting a Farmington Coffee Break on Thursday, May 9th.
Page 23 of 32
2024 Budget Status - Overall the budget has been supporting the work plan.
$51,000 of the expected revenues were "unprogrammed" with the note that the uses were
TBD - for site readiness, potential seed money for a future revolving loan program, land
activity, etc. Of those dollars:
o The EDA dedicated transferring $39,900 to the General Fund to offset consultant
costs associated with administering multiple Alternative Urban Areawide Reviews
(AUAR).
o The EDA may consider using a portion of the remaining funds for additional "site
readiness" activities
$50,000 was identified in the budget for Developer Payments (aka incentive programs).
Specific programs to utilize these funds are yet to be identified.
2025
While it is very early in the calendar/budget year, there are some budget predictions that can start
to inform the budgetary needs for 2025 and potential changes to the EDA levy request. For
discussion purposes:
Ongoing Operational Expenses - these will remain fairly consistent with the need for some
increase in Professional Services and Legal based on the complexity of programs and
development opportunities.
Economic Development Programming - Additional funds should be considered for activities
associated with site readiness, implementation of the community vision, and land activity.
Levy Increase - the initial EDA levy of $150,000 provided much needed dedicated funds to
deploy an economic development work plan and build upon the momentum and groundwork
laid in 2023. At a minimum a continuation of the EDA levy at the same amount should
continue, but consideration should also be given to increasing the levy. State statutes limit
the levy amount to 0.01813% of the city taxable market value - which would generate an
amount greater than $500,000. Staff would suggest discussing an increase to the levy of 25-
percent, to a total of $187,500.
BUDGET IMPACT:
Not applicable.
ACTION REQUESTED:
No formal action is requested. The EDA is asked to discuss the existing budget, existing work plan,
and provide direction on future funding levels.
ATTACHMENTS:
2024 EDA Budget
2024 EDA Work Plan and Calendar
Page 24 of 32
HRA/Economic Development 4011 - Current Property Tax 150,000 EDA Levy - first year of dedicated levy
HRA/Economic Development 4955 - Interest on
Investments 1,600 1,000
HRA/Economic Development 5205 - Operating Transfers 50,000 50,000
Total Revenue 201,000
ONGOING OPERATIONAL EXPENSES
HRA/Economic Development 6280 - Books & Subscriptions 150
Various businss publications that help Staff keep
a pulse on business activities throughout the
metro area (Bus. Journal, TC Business, etc.)
HRA/Economic Development 6401 - Professional Services 1,000 5,000
Financial consultant (non-TIF), etc. - to work with
Staff as needed on program development,
proposal review, incentive packages
HRA/Economic Development 6403 - Legal 1,000 3,000
City Attorney - specific EDA legal review
(program guidelines, loan doc, etc.)
HRA/Economic Development 6426 - Insurance 560 600
HRA/Economic Development 6445 - Postage/Shipping
Fees 1,000 Program mailings, direct marketing, etc.
HRA/Economic Development 6450 - Outside Printing 250 2,500 SWAG for events, program postcards, etc.
HRA/Economic Development 6455 - Legal Notices 100 500
HRA/Economic Development 6460 - Member Dues &
Licensure 2,500 3,500
Specific economic development organization
memberships - (2) EDAM, CORENet, MMP,
other
HRA/Economic Development 6470 - Training &
Subsistance 3,500 5,000
Attendance at specific economic development
trainings - (2) EDAM summer/winter, CORENet,
etc.
HRA/Economic Development 6485 - Mileage
Reimbursement 1,000 3,000 Trends + 2 people doing ED
HRA/Economic Development 6505 - Equipment
Repair/Maintenance 1,600 1,000
Annual software maintenance costs - InDesign,
calendarly, other
HRA/Economic Development 6570 - Programming
Expense 10,000 10,000
Payments to outside organizations for
programming - Open to Business, etc.
PROPOSED ECONOMIC DEVELOPMENT PROGRAMMING
HRA/Economic Development 6550 - Development
Payments 60,000 50,000
TO BE DETERMINED - 2 rounds of MicroGrant
or implementation of new/different incentive
program
HRA/Economic Development 7420 - Other 0 64,750
ENHANCED ECONOMIC DEVELOPMENT
MARKETING & PROGRAMMING - CVN
Membership ($4,500), MREJ ($10,000),
Bloomberg matching grant/placemaking
($25,000), Vikings ad or similar strategic print
marketing ($8,000), Site Location Partnership
SLP ($12,500 + travel), MyTown docuseries
project ($25,000)
Total Proposed Expenses 150,000
51,000
Remaining Proposed Revenue - TBD - site
readiness, revolving loan program,
implementation of community vision, land
activity, other
REVENUE TO ECONOMIC DEVELOPMENT ACTIVITIES
EXPENSES/ECONOMIC DEVELOPMENT ACTIVITIES & WORK PLAN ITEMS
Page 25 of 32
City of Farmington
Community and Economic Development
Living Workplan Document
Boldly
Defining
Our Future
Page 26 of 32
2024 Ini�a�ves &
Calendar of Planned and Tenta�ve Events
Ongoing Opera�ons:
Ongoing operations describe the day-to-day activities and functions conducted by Staff under the
“economic development” umbrella. These activities ensure that Staff are engaged with the local business
community, are growing and maintaining relationships with economic development champions and
partners, are representing Farmington outside of the community to a broader audience and are building
tools and resources necessary to support the economic development vision and goals.
• Prepare responses to Request for Informa�on (RFIs) related to proposed projects and site
searches.
• Organize visits as part of the site selec�on process.
• Conduct business visits to current businesses to beter understand industry composi�on,
business needs, and growth plans.
• Atend Farmington Business networking events.
• Atend relevant Chamber of Commerce events.
• Meet with landowners to beter understand future growth opportuni�es.
• Maintain database of available property (land and buildings.)
• Coordinate and par�cipate in ribbon cu�ngs/ground breakings to celebrate new business
openings and/or business expansions.
• Serve on statewide commitees and hold leadership posi�ons in organiza�ons dedicated to
economic development.
• Stay abreast of regional, state, and federal programs (grants, loans, etc.) to support businesses
and economic development ini�a�ves and efforts.
Page 27 of 32
Enhanced Marke�ng, Business Recruitment, and Promo�ons:
Staff has worked to identify partnerships that leverage access and connection to site consultants,
businesses/industries, and the brokerage community. These are the audiences that need to know,
understand, and believe in what Farmington has to offer – so they can share Farmington opportunities
with their clients or leadership when making location and business decisions.
SLP: Site Loca�on Partnership
SLP is a site consul�ng firm. Their core business is loca�on advisory work for corporate clients,
and they leverage those rela�onships and capabili�es as a site selec�on firm to help economic
development organiza�ons with targeted industry recruitment and lead genera�on. The
Farmington EDA partnership with SLP gains the City of Farmington access to:
• Targeted Industry Prospect Development (4 industries)
• Site Consultant Appointment Se�ng (6 mee�ngs)
• Trade Show Representa�on (6 shows)
• Site Selector Networking Forum Access (6 shows in conjunc�on with trade shows)
• Web Promo�on
MREJ: Minnesota Real Estate Journal
MREJ is an industry leader in the commercial real estate market for news, informa�on, and
networking. For this sponsorship, the City of Farmington has access to many of the real estate
journal events held throughout the year, including a minimum of 4 guaranteed speaking roles.
These events are atended by brokers, developers, real estate agents, and more. Serving as
experts in the field on the panels giv es posi�ve exposure to the City.
Through this partnership, Staff has secured mee�ngs with brokers, developers, business
representa�ves, financial ins�tu�ons. From these interac�ons, one developer has executed a
purchase agreement on property in Farmington and is preparing to begin the en�tlement
process associated with delivering a project.
CVN: Community Venture Network
CVN is part of The Brookshire Company – and exists “to connect communi�es with businesses
searching for opportuni�es to expand and grow their opera�ons.” They have a track record for
bringing economic development professionals viable opportuni�es and a reputa�on for helping
companies discover communi�es. For many years, staff have worked with CVN and found value
in the services it provides. Included in the membership is:
• Invita�on to atend CVN sessions hosted three �mes per year
• Introduc�on to a minimum of 24 business prospects seeking to grow or expand.
This long-standing rela�onship also provided a connec�on and introduc�on to the “My Town”
project, that will be hosted and produced by Emmy-award winning journalist, Cory Hepola, who
is now an employee of The Brookshire Company.
Page 28 of 32
Unexpectedly Bold
In addi�on to the partnerships that staff have iden�fied and con�nue to nurture, the marke�ng
campaign, “Unexpectedly Bold” has gained quite a bit of aten�on. Staff con�nue to build out the suite
of materials that are u�lized at events and personalize the materials to each event we atend.
Page 29 of 32
Program Development
The EDA has traditionally provided programs (grants) to support small businesses. Ideally these programs
should meet businesses where they are at to encourage growth and enhancements to the city’s diverse
and valued small business foundation. In addition to providing local programs, it is important to leverage
regional, state, and federal programs as well. As Farmington continues to be a desirable location for
business growth and attraction, growing its exposure to new business development opportunities – it is
also necessary to evaluate how the EDA can use its funding in an effective way. The following activities
will be undertaken to ensure that Farmington has an effective and useful tool kit to support and attract
businesses:
• Review past year(s) grant ac�vity and poten�ally propose program modifica�ons.
• Meet with business community to understand their needs in order to develop tools that can
support local business community.
• Research programs offered by other communi�es to understand applicability in Farmington.
Page 30 of 32
WORKING CALENDAR OF EVENTS, ENHANCED MARKETING OPPORTUNITIES, & ECONOMIC
DEVELOPMENT ACTIVITIES
January July
• MREJ Apartment Summit (over 750 par�cipants in
2023)
• CVN Networking/Discovery event
• EDAM Winter Conference
• MN Marke�ng Partnership Mee�ng
• My Town Farmington-centric promo�ons begin
• Business visits
• Lunch and Learn
February August
• SLP – IME West Trade Show – Anaheim • MREJ Summer Bags Tournament
• Chamber – State of the County
March September
• MREJ – Land Development Summit – speaker
• Chamber – Meet the Chamber event
• CVN Discovery/Networking Event
• SLP – IMTS Trade Show Chicago
• MN Marke�ng Partnership – Chicago
Market Visit
April October
• Chamber – Advocacy and Issues Forum - speaker
• MREJ – Women in Real Estate Summit - speaker
• MREJ – Data Center Real Estate Summit
• MREJ – Commercial Real Estate Awards
• My Town - Fall release party
• SLP – Fabtech Trade Show – Orlando
May November
• City of Farmington hosted Chamber Coffee Break
• MREJ – Retail and Restaurant Summit
• CVN Networking/Discovery Event – May 17
• MREJ Southeast Metro Development Summit –
May 22
• MREJ – Industrial Real Estate Summit –
speaker
• Chamber Business Excellence Awards
June December
• MREJ – Mid Year Apartment Summit
• MREJ – Mid Year Commercial Real Estate Forecast
• My Town filming
• MN Marke�ng Partnership Mee�ng
• EDAM Summer Conference
• Chamber – Legisla�ve Wrap-up Session
• Business Holiday Gathering
• Chamber – Elec�ons Wrap and Implica�ons
for Business
Addi�onally, staff schedule and conduct monthly business (BRE) mee�ngs and par�cipate in Farmington
Business monthly morning coffees.
Page 31 of 32
ECONOMIC DEVELOPMENT AUTHORITY AGENDA MEMO
To: Economic Development Authority
From: Deanna Kuennen, Community & Economic Development Director
Department: EDA
Subject: Closed Session to Consider Whether to Develop or Consider Offers or
Counteroffers for the Sale or Purchase of the Real Property in the City of
Farmington, Dakota County, Minnesota (PID: 14-03100-22-012), Pursuant to
Minnesota Statutes Section 13D.05, Subdivision 3(c)(3)
Meeting: Economic Development Authority - Jul 15 2024
INTRODUCTION:
During the regular Economic Development Authority meeting on July 15, 2024, the EDA will go into
closed session to consider whether to develop or consider offers or counteroffers for the sale or
purchase of the real property in the city of Farmington, Dakota County, Minnesota (PID: 14-03100-
22-012) pursuant to Minnesota Statutes section 13D.05, subdivision 3(c)(3).
BUDGET IMPACT:
Not applicable
ACTION REQUESTED:
Motion to close the Economic Development Authority meeting pursuant to Minnesota Statutes
section offers consider or develop to to consider or 3(c)(3), subdivision 13D.05, whether
counteroffers for the sale or purchase of the real property in the city of Farmington, Dakota County,
Minnesota (PID: 14-03100-22-012).
Page 32 of 32