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09-28-1995
ECONOMIC DEVELOPMENT COMMISSION AGENDA SEPTEMBER 28, 1995 6:00 P.M. MOUNDS VIEW CITY HALL COUNCIL CHAMBERS 1. CALL TO ORDER ( ,OD P.M. 2. ROLL CALL (Present = P, Absent = A) Goff Schmidt Malone ✓ Seipp Mountin ✓ Welsch Nelson ✓ Hankner (EDA Liaison) 4 Q A >7 v Bennett (Staff) 3. APPROVE EDC MINUTES • August 24, 1995 Action: Motion Second GM7 Vote c{—U 4. SPECIAL BUSINESS Presentation on the M r• •olitan Livable Communities Act r\1O4 Joanne K. Barron, Metr•p titan Council 5. EDC BUSINESS A. Consideration of TIF Funds for Housing Loans Action: Motion Second Vote Comments: B. 3) Discussion of Updating Mounds View's Economic Development Plan (Incorporate Star City Status) • amt,A, Comments: '�� j ‘,f) , .)(C‘)."); e,?34114)1,1)11) 1\INej Cp U date on Highway 10 Corridor Redevelopment ())' ,Itly j Comments: r k kr D. Consideration of Establishing a Loan Committee Action: Motion p Second Vote 1A-0 Comments: E. Consideration of Business Improvement Loan for Mister Donut Action: Motion Second Q-C (pekG'C'S aJ '1 Vote 170 /3 V/ ,b,le Comments: •k-0 • •1 6. REPORT OF EDC MEMBERS AND STAFF b vr'''' 7. ADJOURN 7 . ' P.M. NEXT EDC MEETING OCTOBER 26, 1995 4 W\PC\°) 1 )10) - III attti • BUSINESS PLAN FOR: FORCIA, INC. d.b.a. Mister Donut • AUGUST 15, 1995 Contacts: Mike or Donna Forcia 2394 Hwy. 10 Mounds View, MN 55112 Ph# 786-7912 • August 15, 1995 Michael and Donna Forcia MISTER DONUT 2394 Hwy 10 Mounds View, MN 55112 GOAL Forcia Inc. intends to convert their Mister Donut location into a Donut Connection . In order to adequately accomplish a successful conversion it is necessary for Forcia Inc. to acquire a loan for approximately $50,000.00 at the best available interest rate. EXHIBITS - Business Plan - Cost of Project(estimate) - 3 year financial statements - most recent financial statement - Personal financial statement CONCLUSION Given the past credit history and recent financial statements, the ability of Forcia Inc. to pay all debts appears to be excellent. • • The Mister Donut in Mounds View was built in 1983. The shop was owned and unsuccessfully operated by Mr. Glen Marsh and it closed in 1985. Having plenty of work experience though n business experience, we purchased the franchise from Mr. Marsh with a$45,000 home mortgage loan from Donna's parents, Richard and Effie Martin.) On September 20, 1995 we signed a sub-lease with Mr. Marsh. The terms being $1,650.00 per month or 10% of gross sales. In addition,the lease included payment of real estate taxes and assessments to Scottland Inc. each month. In October 1987 we were served with a 7 day eviction notice. Mr. Marsh had gone bankrupt. With the advise of a lawyer we chose to take the risk to make the store profitable even though the cost of operations would be much higher. We signed a lease with Scottland Inc. on April 29, 1987. The terms being $3,333.00 per month plus real estate taxes and assessments. Given the increase in rent, we fell rapidly behind in all areas. By 1989 we had become $26,370.00 behind in our lease obligation to Scottland • Inc. We received notice on September 1, 1989 that Scottland Inc. was willing to accept an immediate payment of$10,000.00 to satisfy the debt. Also, Scottland amended the lease to reduce the rent to $3,000.00 per month and deleted from the lease our obligation to pay real estate taxes and assessments. The restructured lease was signed on October 1, 1989. (The $10,000.00 came from a loan from Donna's Parents the Martins) In January 1990, J. Brooks Hauser(Scottland Inc.) also went bankrupt and the property was secured by Midwest Federal Savings and Loan. When Midwest went insolvent, the property was under a number of management companies for the Resolution Trust Corporation(RTC). The RTC put the property on the market for$210,000.00 Though we tried many institutions, we were unable to secure financing to purchase the property. We contacted Senator Paul Wellstone's office at the recommendation of a valued customer. With the help of his staff we were able to obtain financing through the First National Bank of Amarillo, TX. (Again we receive financial help from the Martins, $30,000) • During the period we purchased the property, Mister Donut of America • had sold its interest to Dunkin Donuts. Initially we opted to join Dunkin until Mister Donut franchisees formed the Mid-Alanta Bakery Co-op (Now called Donut Connection). In the part our actions were to stay afloat at the expense of building maintenance, equipment, new products, hiring of additional employee and community involvement. Now that we are current in all areas, it is time for us to focus on the future and beyond. Donut Connection, in our opinion, is the turning point for Forcia Inc. With Donut Connection we will have the advantages of a franchise without the high costs of franchising. In addition to the non-existing franchise fees, we will immediately see an approximate 5-6% savings in our food costs. We will have an unlimited and unrestricted product line with many new local suppliers formally unapproved by Mister Donut. We will expand our regular bakery items to include refrigerated items such as cream puffs, eclairs, filled horns, etc. We would also expand our cake decorating abilities adding cakes available for every day purchasing • as well as for special occasions and wedding cakes. Adding a fat-free product line as well as cappuccino and flavored coffees will add more choices making it easier to satisfy a larger variety of people. In addition, a new increased menu line consisting of products such as soups, subs, bagel sandwiches, croissant sandwiches and ice cream will increase sales during the afternoon, evening and late night hours. With an expanded menu, round the clock hours and the convenience of our drive thru, we will serve the community with a fresh, quality product anytime day or night. With Donut Connection, we look forward to seeing what advertising strategies lie ahead. Having.been voted as the most outstanding new advertising logo for 1995, we feel we are off to a great start. The corporate marketing manual contains all the advertising material needed 410 . to make the grand-opening a huge success in bringing us all together to be acknowledged as a new franchise. Over 100 previously operated Mister Donut stores have successfully converted. As well as advertising on our own, we plan on group advertising with the other Donut Connection locations in the metro area. Newspaper, phone book and maybe even television is being considered. Our road to this point has been long and hard. With hard work and long hours we have been able to survive. We feel converting to Donut Connection is the turning point for Forcia Inc. and also feel remodeling is the key component to our success. Summary Sign Building Awning Installed $11,328.00 (Attracta Sign) Neon Installed $1,125.00 Double Faced Poly Sign $2,590.00 2 x 10 Drive Thru $896.00 Installation $660.00 Total $16,599.00 Drive Thru System InterCom $1,328.00 (3M Sound System) Head Set $2,262.00 Door Alert $156.00 3M Music - $150.00 Total $3,896.00 Construction (Classic Woodwork) Total $3,800.00 Equipment Price List Total $19,320.00 Visual Improvements Price List Total $8,425.00 Total ($52,040.00) • Page No. of Pages PROPOSAL/SALES AGREEMENT ATTRTI, . ...• ., .:... :.,..._' Ian 7420 W.LAKE ST. • MINNEAPOLIS,MINNESOTA 55426 • (6121 933-7730 • FAX(612)933-7883 COMPANY PHONEDATE MR DONUT/MOUNDSVIEW 7846863 I 7117/95 STREET JOB NAME 2394 OLD HWY 10 DONUT CONNECTION CITY,STATE AND ZIP CODE JOB LOCATION MOUNDSVIEW MN SAME BUYER CONSULTANT JOB PHONE MIKE&DONNA AE HANSON We hereby submit specifications and estimates for: MANUFACTURE AND INSTALL ILLUMINATED AWNING PER ATTACHED SKETCHES. FABRIC:STARLITE BURGANDY OR TEAL ON TOP.WHITE WITH RASBERRY OR TEAL STRIPPING AND COPY ON BOTTOM , SECTION:TOTAL LENGTH 96 FT. 27'ON EAST SIDE,44'ON NORTH SIDE,25'ON WEST SIDE. TOTAL HEIGHT 5'TOTAL PROJECTION 24" WITH EGGCRATE BOTTOM. DOUBLE LAMP U.L.APPROVED FLUORESCENT FIXTURES WITH COLD WEATHER BALLASTS.MOUNTED TO THE FRAME AND �j . INSTALLED TH THE POINT OF ELECTRICAL HOOK-UP, • 5 y a,),1 c..—A, CONSTRUCTION:GAL.WELDED SQUARE METAL TUBING. L �_ f?�� " v TOTAL COST ON AWNING INSTALLED TO THE POINT OF ELECTRICAL HOOK-UP $11,328.00 f'/� d7c ACCENT TEAL NEON ON BOTH SIDES OF BLDG. 45FT.TOTAL $1125.00 INSTALLED. 5-26.c-1 PW CES,• BLE FACE 8'X10'MR.DONUT FACES ON PYLON SIGN. NEW FACE WITH GRAPHICS $2590.00 SH OLD FACES$2240.001 2'X10'DRIVE THRU PAN FACES NEW WITH GRAPHICS $896.00 5'X18"FLAT FACE SIGN IN BACK $105.00 INSTALLATION OF PYLON AND OTHER SIGNS-,..$880.00 PERMIT:COST OF SIGN PERMITS NOT INCLUDED IN THIS QUOTE...SIGN PERMITS WILL BE OBTAINED BY ATTRACTA, TERMS:1/3 DOWN 1/3 UPON INSTALLATION BALANCE NET 30 DAYS FROM INSTALLATION. / We Propose hereby to furnish material and labor-complete in accordance with above specifications,for the sum of: dollars($ ). Payment to be made as follows: All material is guaranteed toc beor as to spec.All work to be completed in a substan- tialworkmanlike manner according to specifications submitted per standard prat- Authorize tices.Any alteration or deviation from above specifications involving extra costs will Signatur be executed only upon written orders,and will become an extra charge over and • the estimate. All agreements contingent upon strikes, accidents or delays Note:This proposal may be d our control.Owner to carry fire,tornado and other necessary Insurance.Our withdrawn by us if not accepted within days. 4 rs are fully covered by Workman's Compensation Insurance. Acceptance of Proposal - The above prices, specifications and conditions(SEE REVERSE SIDE)are satisfactory and are hereby accepted. You are authorized to do the work as specified. Payment will be made as outlined above. Signature Date of Acceptance: Signature 0 n .... ...,, ...... t g = IfillE i,. w • 5a, t.)... I , og gg .. = .. e i..".!. IR . 4.,. .. : 1. 18. • :. 12• ,'0 -..r. - I.4 :2 - 1 •v,.... .."; k".;. c"-. "<' i : ig. ,., I : .gi.•; ! 1 : • 1 i , \, • ,8 I ,.; • ,.1 .. v • < - ,1 , • •.• 1i if i 1 @ft • i '-: i; ! I Itaai i. 1 i i;ill .11 F •.- . -1 --'724-=•,,,;;;;:zi:: 1 i I 1 , I 411.1. ' I I '. 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I--....kpareers i vkl • . , --......--. ) 0 I I Pr/AI a V 1 SOUND PRODUCTS, INC. •11485 VALLEY VIEW ROAD,EDEN PRAIRIE,MN 55344(612)944-2930 FAX(612)944-5077• AUTHORIZED DEALS/ July 26, 1995 Mr. Mike Forcia Mounds View Mister Donut 2394 Highway 10 Mounds View, MN 55432 Dear Mr. Forcia, • Enclosed you will find proposals for the following 3M systems: • 3M D-15 Drive Thru Intercom - Hard Wired • 3M Model 760 Wireless Headset Intercom • Door Alert Chime System • 3M Satellite Music System Literature is enclosed that will give specific details and system specifications. I will contact you shortly to follow up on this proposal. Please call our office at (612) 944-2930 we can be of assistance. We look forward to hearing from you! Sincerely, Gary Su n System onsultant • Sound Products, Inc. - 3M Dealer System Proposal io11485 Valley View Road,_Eden Prairie, MN 55344 phone: (612) 944-2930/fax: (612) 944-5077 Date: 7/26/95 Installation Address: Bill to Address: Mounds View Mister Donut 2394 Highway 10 (same) Mounds View, MN 55432 Mr. Mike Forcia (612) 786-7912/(612) 784-6863 We are pleased to submit the following cost estimate: Job Description: Sale and installation of 3M D-15 Drive Thru Intracom system. Replaces existing drive thru. MATERIALS QUANTITY I DESCRIPTION I PRICE I TOTAL 1 13M D-15 Intracom 1 I3M Deluxe Speaker/Mic(Menu Board) I 1 (Drive-thru Cable, Speaker/Mic/Loop Detector I I 1 (Pedestal Mount(optional)III I I I I I l I I I I I I I I I 1 Notal Materials Cost I $919.00 $919.00 1 Minnesota Sales Tax I $59.74 $59.74 Materials total $978.74 LABOR QUANTITY I DESCRIPTION I CHARGES I TOTAL 1 (Installation labor $350.00 I $350.00 I I Labor total $350.00 Order Acceptance Total estimate $1,328.74 Y Deposit(25%) $332.18 Balance Due $996.55 X Name 0 Title Date LA_ All L L. .w_,0 S stem Consultant 7/26/95 Smunar•%cts.Inc i. Date Sound Products, Inc. - 3M Dealer System Proposal 11485 Valley View Road, Eden Prairie, MN 55344 • phone: (612) 944-2930/fax: (612) 944-5077 Date: 7/26/95 Installation Address: Bill to Address: Mounds View Mister Donut 2394 Highway 10 (same) Mounds View, MN 55432 Mr. Mike Forcia (612) 786-7912/(612) 784-6863 We are pleased to submit the following cost estimate: Job Description: Sale and installation of 3M Model 760 wireless headset drive thru system. MATERIALS QUANTITY I DESCRIPTION I PRICE I TOTAL 1 (Model 760 Single Headset Intercom System -includes 1 headset, I $1,995.00 I S1,995.00 11 battery, base station, power supply, and charger. I I 1 (Battery I $60.00 $60.00 1 ''Interconnect Module I $116.00 $116.00 Optional: Additional headset supplied for$800.00 1111 I I I II 1 Minnesota Sales Tax $141.12 I $141.12 Materials total) $2,312.12 LABOR I QUANTITY I DESCRIPTION 1 CHARGES I TOTAL 1 1 Installation labor $350.00 $350.00 I I Labor total $350.00 / Order Acceptance Total estimate $2,662.12 V Deposit(25%) $665.53 Balance Due S1,996.59 X Name Ttk/ Date > ` i L , , _ / -Svstem Consultant 72695 Sddnd Products,I' . Date Sound Products, Inc. - 3M Dealer System Proposal . 11485 Valley View Road, Eden Prairie, MN 55344 phone: (612) 944-2930/fax: (612) 944-5077 Date: 7/26/95 Installation Address: Bill to Address: Mounds View Mister Donut 2394 Highway 10 (same) Mounds View, MN 55432 Mr. Mike Forcia (612) 786-7912/(612) 784-6863 We are pleased to submit the following cost estimate: Job Description: Sale and installation of Door Alert Chime System-replaces existing system. MATERIALS QUANTITY I DESCRIPTION I PRICE ! TOTAL 1 Power Supply 1 Electric Chime 1 'Shadow Switch 1 'Door Contact Switch 1 I\A/iremould Box I 1 13M Wall Plate All(Cable, as needed I I 1 I 1 [Total Equipment Cost I $65.00 I 365.00 1 1 Minnesota Sales Tax $4.23 $4.23 Materials total( $69.23 I LABOR QUANTITY I DESCRIPTION I CHARGES ! TOTAL 1 'Installation labor $87.00' $87.00 ! I � L I � Labor total $87.00 / Order Acceotance Total estimate $156.23 Deposit(25%) $39.06 Balance Due $117.17 X Name . Title Date -S stem Consultant 7/26/95 Spend Preaucts,inc. Date /1117/7" 31VIMUSIC SERVICE . AGREEMENT SOUND PRODUCTS,INC. AUTHORIZED DEALER 11485 Valley View Road, Eden Prairie, MN 55344• 612-944-2930 • FAX 612-944-5077 • Install at: Mounds View Mister Donut Bill to: (same) (PREMISES) (SUBSCRIBER) Address: 2394 Highway 10 Address: CitNNoundsview State MN Zip Code55432 City State Zip Code Contact: Mike Fort-i a Phone:7R6-7a1 ? Contact: Phone: 1. Sound Products, Inc. (COMPANY) agrees to provide the above Subscriber with its functional music service program, referred to hereinafter as the PROGRAM, as the same may be revised and supplemented from time to time, and the equipment, maintenance and other services as hereinafter specified. 2. COMPANY shall provide, at the PREMISES, equipment and maintenance for: 3M DBS X 3M DBS via Microwave Other Ambiance X FM Lite _ Class Act Top of the Charts Country _ Tape _ Other Includes amplifier and 3 speakers . All music licensing for this broadcast is included. All such equipment and any additions or replacements thereto, whether or not affixed to the PREMISES, shall remain the sole and absolute personal property of COMPANY, and shall not be removed from PREMISES without the prior written consent of COMPANY. 3. SUBSCRIBER shall pay COMPANY • ONE TIME charges: A Periodic RECURRING charge of: Opening Tape Library Fee 47. 93 per mo Installation 150.00 Equipment Tax TOTAL 150.00 4. This AGREEMENT is subject to the Terms and Conditions on the reverse side hereof and shall become binding on the parties when signed by SUBSCRIBER and accepted and approved by the COMPANY. COMMENCEMENT DATE: Upon Installation SOUND PROD ;TS, INC. / SUBS R BER: Accepted by:ike, . Name: BY: (please print or type) Sales i epartment Approved: ByAuthorizing Signature BY: Tit: e: General Manager Date: 1111 m Copyright f pA893 White-Original;Yellow-File; Pink-Customer MUSIC SERVICE AGREEMENT IIITERMS AND CONDITIONS This SERVICE AGREEMENT contains all terms agreed upon by the parties and supersedes all prior agreements or representations, oral or written. This SERVICE AGREEMENT shall be binding upon the parties when signed by Purchaser and accepted and approved by Sound Products, Inc. PAYMENT. The total amount due Sound Products, Inc., including charges for all service calls not within Sound Products, Inc. limited warranty, shall be paid by Purchaser within ten (10) days after date of invoice. Sound Products, Inc. reserves the right to require progress payments. Any changes from Equipment and Installation specified in the SERVICE AGREEMENT involving any extra costs will result in additional cost to Purchaser. The cost of any bonds required will be an additional charge to the Purchaser. Sound Products, Inc. shall have the sole right to adjust the monthly fee. Should any increase be more than 10%, then Subscriber shall have the right to approve of such increase. TITLE AND SECURITY. Title to and risk of loss of all Equipment shall pass to Purchaser on the date of delivery of Equipment to the Premises. Sound Products, Inc. reserves a purchase money security interest in all Equipment until payment in full of total charges. Purchaser agrees to execute all necessary documents and to provide proof of insurance if required by Sound Products, Inc. to perfect such security interest. INSTALLATION. If specified on the reverse side hereof, Sound Products, Inc. will install Equipment at the Premises. All required electrical conduit, adequate AC power, suitable space for installation of Equipment shall be provided by, and shall be the sole responsibility of Purchaser. Sound Products, Inc.'s Installation Charge is based upon work performed during regular business hours. If Purchaser requests installation during other than regular business hours, Purchaser shall pay Sound Products, Inc.'s prevailing overtime billing rate. Installation ilvarges do not include parts or labor for metal enclosures, conduit, teflon wiring, buried cables, or elevator eling cables. LIMITED WARRANTY. Sound Products, Inc. warrants this Equipment against any defects in material and workmanship, under normal use, for a period of six months from date of purchase. In the event this product is found to be defective within the warranty period, Sounds Products, Inc.'s only obligation and your exclusive remedy, shall be the replacement of any defective parts. It is expressly understood that Sound Products, inc. shall have no obligation to furnish labor nor bear the expense of shipping defective products for repair. This warranty shall not apply if Sound Products, Inc. determines that the defect was caused by improper use of installation. Sound Products, Inc. shall not, under any circumstances, be liable for direct, special or consequential damages, such as, but not limited to, damage or loss of other property or equipment, loss of profits or revenue, cost and capital, cost of purchased or replacement goods, or expense or inconvenience caused by service interruptions. The remedies set forth herein are exclusive. This AGREEMENT shall commence as of the date provided on the reverse side, or as of the billing date for the initial monthly PROGRAM charge, whichever date is later and shall remain in full force and effect for an initial term of sixty (60) months. This AGREEMENT shall be automatically renewed thereafter for successive sixty (60) month terms unless either party elects to terminate this AGREEMENT by providing written notice thereof to the other party by certified mail at least ninety (90) days prior to the expiration of the initial or any subsequent term. GENERAL. This AGREEMENT is not assignable without the prior written consent of Sound Products, Inc. and can be modified only by a written agreement duly signed on behalf of Sound Products, Inc. Any variance from the terms and conditions of this AGREEMENT, any order, form or other written notification from Purchaser will be of no effect. If Purchaser fails to pay any amounts due hereunder, Sound Products, Inc. without further notice to Purchaser, may pursue all remedies available under law including the repossession of Equipment. Purchaser rees to pay all costs and expenses of collection and/or repossession, including all attorney's fees incurred up he maximum permitted by applicable law. If any provision of the AGREEMENT shall be held to be invalid, al or unenfqrceable, the validity, legality and enforceability of the remaining provisions shall not in any way e affected or impaired thereby. C or SS i C &)OO b w0k)c_S , j S, soj.3 .223 13`�, Ave . 2IDO - c,OOrJ 1,t pi*63 ,fin ., S ia3 • r c. i z.— 7 --7- (-0-3a3 PROPOSAL ,�n - �[i C` 1s lJ U N `K) tti) D 6 N L)+S /'!rI r.�iS 1,'),:.---:-/A) ..J C.A. P')1kL- /-ORei� Dear Sir: The undersigned proposes to furnish all materials and perform all labor necessary to complete the following:l — • 7� . �y �•� J , C 1 j • . N1 I / !rAl a iI i.) 5 t_7 t_'.0 rR-I-S 1 N j-,a.I/er . I - 17;t. I gie w q I I a-;.-)z I 3/4" 71-1;ek.c_ SS 92 Yi ti;y, x /03 ''x,"'.J ,N J P LAS ri C L 4 P'//kvaf orofi.�'.a e�. Li/9h e Long k Lx i +la c.o� ,;. .t: s f0 r fJ ,: 4il PA!`h=I 1�Sue 130- , -D jj +5 eoR ;2 Cr TRzczACc1�c1.;C- - C,4-S 1t)ejvol�;:i 1SjC'p/,tee ,01.€,v14' C.) /.j/>cky 1 F, ,4/) : 1&.) e.k A-J 1 Q.,),I . e . i,_-,u+ c ce s A.)r,I voi -9),) 9 .Th°f Yn �a? 'i 1 1 My '` 4 / K t� .. 5/7e l-4 stak,- a A-,Q�•� �-•• .t3RAc k r=4-S. ',AI 2"),) s r,4//r--A 1 I { i p Lc cel &R- 1)At-��.G�Q � g y Lk; IN i\ <1 ' i.� . 9 ',4,(P, •.562'- ,,_\) �� 1, I 1 All of the above work to be completed in a substantial and workmanlike manner for the sum of Th/2zL I ?Qtt5.4.,.-, D 2. �f / ti - �i, D.eL=1� ($ 3, 'do -cro ) Dollars Payments to be mae each Xi be1-3eSi} as the work progresses to the value of (/(70%) per cent of all work completed. The entire amount of contract to be paid within_ /O days after completion. Any alteration or deviation from the above specifications involving extra cost of material or labor will only be executed upon written orders for same, and will become an extra charge over the sum mentioned in this contract. All agreements must be made in writing. The Contractor agrees to carry Workmen's Compensation and Public Liability Insurance, also to pay all Sales Taxes, Old Age Benefit and Unemployment Compensation Taxes upon the material and labor furnished under this contract, as required by the United States Government and the State in which this work is performed. Respectfully submitted, Cr/JZ GI) n / J0 Contractor ACCEPTANCE You are hereby authorized to furnish all materials and labor required to complete the work mentioned in the above proposal, for which the undersigned agrees to pay the amount mentioned in said proposal, and according to the terms thereof. • Date 19_ Form 147 MMD.IN V.5 w • Equipment List Wet Case $5,000.00 Dry Case $3,000.00 Sandwich Case $1,500.00 Dishwasher $2,700.00 Soup Warmer $300.00 Conveyor Toaster S700.00 Microwave $300.00 Bread Pans (12) $420.00 Ice Cream Machine $3,000.00 Airbrush(Cakes) $700.00 Commercial Vacuum $300.00 Carpet Sweeper $40.00 Trash Redeptacle $300.00 Coat Rack $100.00 News Paper Rack $50.00 • Air Pots (4) $240.00 Glass Mugs (6doz) $60.00 Serving Trays (4doz) $50.00 Condiment Rack $110.00 Napkin Holder(3) $150.00 Straw Holder(2) $100.00 Misc. ( Spoons, Ladles, ect. ) $200.00 Total $19,320.00 i VISUTAL IMPROVEMENTS Wall Bench $1,625.00 Chairs (4) $900.00 Tables(9) $700.00 New Ceiling S400.00 Ceiling Fans (3) $300.00 Curtains,Blinds $1,500.00 Wall Coverings $1,000.00 Carpet $2,000.00 Total $8,425.00 • • i 0 • •0 f. 0 0 • 18 0 10 • ECONOMIC DEVELOPMENT COMMISSION AGENDA SEPTEMBER 28, 1995 6:00 P.M. MOUNDS VIEW CITY HALL COUNCIL CHAMBERS ... , , ... ,.. ,.:,r ,st. �..-u, . _, .�:,rte �i r �, - „yr A."fz,,.>v . CALL TO ORDER P.M. 2. ROLL CALL (Present = P, Absent = A) Goff Schmidt Malone Seipp Mountin Welsch Nelson Hankner (EDA Liaison) Bennett (Staff) 3. APPROVE EDC MINUTES August 24, 1995 Action: Motion Second Vote 4. SPECIAL BUSINESS Presentation on the Metropolitan Livable Communities Act Joanne K. Barron, Metropolitan Council 5. EDC BUSINESS A. Consideration of TIF Funds for Housing Loans Action: Motion Second Vote Comments: B. Discussion of Updating Mounds View's Economic Development Plan (Incorporate Star City Status) Comments: C. Update on Highway 10 Corridor Redevelopment Comments: D. Consideration of Establishing a Loan Committee Action: Motion Second Vote Comments: E. Consideration of Business Improvement Loan for Mister Donut Action: Motion Second Vote Comments: 6. REPORT OF EDC MEMBERS AND STAFF 7. ADJOURN P.M. NEXT EDC MEETING OCTOBER 26, 1995 • • Minutes of the Economic Development Commission City of Mounds View • Ramsey County, Minnesota Regular Meeting August 24, 1995 City Hall 2401 Highway 10, Mounds View, MN 55112 1. Call to Order: The meeting was called to order at 6:03 p.m. by Chairperson, Phil Seipp. 2. Roll Call: Members present were as follows: Mark Malone, Peg Mountin, Dan Nelson, Ron Schmidt, and Phil Seipp. In addition, Economic Development Coordinator Cathy Bennett was present. EDC Members Rosemary Goff and Delane Welsch and EDA Liaison Sue Hankner were absent. 3. Approval Of Minutes: Motion/Second: Mountin/Nelson moved approval of Minutes of June 22, 1995 Meeting. 4 ayes 0 nays Motion Carried 4. Special Business Presentation of Mounds View Marketing Program by Marketing Task Force Marketing Task Force members Susan Fisher and Cathy Bennett gave a presentation on the Mounds View Marketing Program that was approved by Council in April 1995. The program includes recommendations for improved communications and marketing materials, marketing campaigns to increase purchasing in Mounds View and image enhancers such as new image statement, banners and monument sign. 5. EDC Business\Marketing Task Force: The remainder of the meeting was a discussion by the EDC and Marketing Task Force regarding particular aspects of the marketing program. A. Discussion of"Welcome to Mounds View Banners". Marketing Task Force Member Debbie Hammernick gave an overview of the proposal to install Banners along Highway 10 and County Road I in Mounds View. A sample of the banners and price quotes were presented. The suggestion is to order a stock design and add the City of Mounds View and the"Pride Progress and Partnerships" image statement. Members of the EDC suggested to start with 25 Banners and evaluate their effectiveness for a year. Prior to making a decision on a company and the type of banner, it was suggested to call other Cities to see if they have a problem with wear and tear and vandalism of the banners. 1 B. Discussion of Fundraising Activities for Marketing Programs Coordinator Bennett presented the"Pride Progress and Partnership"T-shirts and Sweatshirts which were designed by Garment Graphics. Proceeds from sales go toward funding the • marketing program. Coordinator Bennett reported that she started with an inventory of 25 T- shirts and sweatshirts and has sold 16 T-shirts and 4 Sweatshirts. Suggestions for encouraging sale of T-shirts included advertising in the City Newsletter and business newsletters, Selling at retail stores in Mounds View, Sell at New Market, Sell at retail center events and encourage local businesses to purchase in bulk to give out to employees for awards, casual day, etc. C. Discussion of"Buy Mounds View First" Campaign Coordinator Bennett explained the concept of a "Buy Mounds View First" Campaign to encourage residents and employees of businesses to do their shopping in Mounds View. Representatives from Mounds View Square and Silverview Plaza will assist in organizing the program to included frequent purchaser programs, discounts for purchases, cross merchandising, production of a map with a coupon book, etc. D. Discussion of New/Expanded Publications Coordinator Bennett reported that the City will be producing a Mounds View Business Directory. It was suggested to send a survey to all businesses to verify information and to sell advertising in the directory. If the directory is distributed to all residents and businesses in Mounds View, the total readership would be approximately 6,500. The survey is expected to be mailed in September. Reports From Chair, Commissioners and Staff: There were no reports 7. Adjournment There being no further business before the Commission, this meeting of the Economic Development Commission adjourned at 7:25 p.m. Respectfully Submitted, Economic a •lopment Coordinator 4111 2 • Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator Date: September 21 , 1995 Agenda Item: Presentation - Metropolitan Livable Communities Act (4) The Metropolitan Livable Communities Act (MN Stat. Ch. 473.25), which was a bipartisan bill passed in the last legislative session, is designed to accomplish three main goals: ♦ Change market incentives to enhance the ability of developed communities to attract and expand businesses that pay living wages; ♦ Stimulate development and redevelopment projects in the metropolitan area • that maintain or intensify land use and that link affordable housing with transit; and ♦ Create incentives for the development and maintenance of affordable housing in growing and developed suburban communities. All of these goals pertain to economic development and will have an impact on the way metropolitan Cities analyze economic development plans and policies. There are a variety of funds available with the passage of this legislation. These funds will be administered by the Metropolitan Council. Therefore, I have asked Joanne Barron to give an overview regarding the implications of the bill on cities and how we can tailor our plans and programs to most effectively meet the objectives of the Act. I have included supporting documentation regarding the funding accounts that have been established under the Act for your review. • �Z�GP • • • t�■ ::: ttt •••• itt[[ saw- 710./in/l21 Funding Accounts The Metropolitan Livable Communities Act(MN Stat. Ch. 473.25) created the Livable Communities Fund,consisting of three accounts: ■ The Tax Base Revitalization Account,which provides grants for polluted site cleanup; ■ The Livable Communities Demonstration Account,designed to fund a variety of community development projects through loans or grants; and ■ The Local Housing Incentives Account,which provides grants to help cities work toward affordable and life cycle housing goals through a voluntary program. Criteria,by law,for the fund(all three accounts) include: ■ Helping to change long-term market incentives that adversely impact creation and preservation of living-wage jobs in the region's fully developed area. ■ Creating incentives for developing communities to include a full range of housing opportunities. ■ Creating incentives to preserve and rehabilitate affordable housing in the fully developed area; and ■ Creating incentives for all communities to implement compact and efficient development. Each of the accounts is described on the following pages. S gideline.pm5 8-16-95 0 ...E1.-2-(7,7)4 4.1111191111 - r[t ... 1111111 ....••Ea ... IA 0 cat «.`: ** DRAFT ** TAX BASE REVITALIZATION PROGRAM GUIDELINES AND CRITERIA Program Summary and Purpose:The Metropolitan Livable Communities Act(MN Stat.Ch.473.25)created a Tax Base Revitalization Account to make grants to clean up contaminated land for subsequent commercial/ industrial re-development,to make it available for economic redevelopment,job retention and job growth. Amount of Funds Available: Approximately$6.5 million in funds will be available for grants annually; grants will be awarded on a competitive basis. Eligible Applicants: Statutory or home rule charter cities that are participating in the Metropolitan Livable Communities Housing Incentives Program are eligible to apply;as are metropolitan counties(Anoka, Carver, il Dakota,Hennepin,Ramsey,Scott Washington)for projects in eligible communities. • Eligible Uses of Funds: Eligible expenditures under this program include costs to implement an approved Re- sponse Action Plan(RAP)developed in conjunction with the MPCA for hazardous waste,or an abatement program meets requirements of the V-PIC program(for petroleum)or AHERA standards(for asbestos). Costs incurred in the preparation of the plan(e.g.,investigating the extent and/or nature of contamination)are not eligible expendi- tures under this program. These funds may be used to provide a portion of the local match required for a grant from DTED's Contamination Cleanup Grant Program. Project Selection Criteria: The Metropolitan Council is required to consider certain factors in order to ensure the highest return in public benefits for the public costs incurred. In order to evaluate and rank applications,the following criteria will be assigned point values in order to systematically and fairly compare the applications. Applications will be ranked according to the extent that the address the following: • preserve and/or increase living wage jobs in the fully developed area; • promote compact and efficient development; • increase the tax base of the recipient municipality; • represent innovative partnerships among government,private for-profit and non-profit sectors; • are not eligible for clean-up funding from other public sources; • will not require extensive new infrastructure(beyond that which is already planned); • make more efficient use of currently underutilized public service capacity(e.g.,roads and highways,transit, wastewater,utilities,telecommunications infrastructure,etc.); • result in a net gain in jobs/industry for the region; • increase the number of living wage jobs in/near areas of concentrated poverty and demonstrate sensitivity to IIIlinkages with local residents; • reflect demonstrated market demand for commercial/industrial land in the proposed site area;and • are consistent with the redevelopment component of the municipality's comprehensive plan(in re:Minn.Stat. section 473.859, subd. 5). Application Cycle:Beginning in 1996 there will be two grant cycles per year: a spring cycle(RFPs in February, applications deadlines in May,and awards announced in July)and a fall cycle(RFP in September,application deadline in November and awards announced in January).If applications for grants exceed the available funds for an application cycle,no more than one-half of the funds may be granted to projects in a single city,and no more than three-quarters of the funds may be granted to projects located in cities of the first class. This program is being coordinated with complementary programs at the MN Pollution Control Agency(MPCA)and MN Department of Trade and Economic Development(DTED). Next Steps: Information workshops for this program and DTED's grant program are scheduled for Thursday, Sept.7 (9:00 am- 12:00 noon),Maplewood City Hall, 1830 E.Co Road B in Maplewood; and Monday,Sept. 11 (1:00 pm-4:00 pm),Golden Valley City Hall,7800 Golden Valley Rd.in Golden Valley. For more information contact Hal Freshley,Metropolitan Council staff,at 291-6467. 82/95 LCATOM.005 • • S ...z-.).- e.k 4. II II :a ill IA I ; • riot Et! Ej. EXAMPLES SITE 1: City X is redeveloping a 6.9 acre parcel (formerly a trucking terminal)to create a new industrial park for light manufacturing. The PCA determined that there is extensive petroleum contamination on the site.Since petroleum does not qualify as a hazardous substance, the City applies to MC for$87,000 to pay for treatment of the removed soil. SUE 2:The former owner of this 17.E acre site went bankrupt,leaving the site in public hands through tax forfeiture. The parcel is in a prime location, with good highway and rail access. An approved clean-up plan will cost$370,000. City Y applies to DTED for 50% of the clean-up cost, pays for 12% out of 1.11h funds, and applies to MC for the remaining 38%--$140,600. SITE 3: Zymogen Laboratories in City Z has recently received a very large long-term contract,and will be increas- lIl ing their workforce by 50%,however the company will need additional space for shipping and receiving if they stay at their current location.A parcel adjacent to their current site has a building on it that they could use as a ware- house,but the building has deteriorating asbestos insulation. City Z applies to MC for$12,000 to match the company's investment in removing the asbestos. 8/2'/95 LCATOM.005 III --a/I-CZ2;4 [[■ rrr S rii.ill ■ [[ ::: _ [fE rrr :. Arrr . [`ra rrr 00.0 LIVABLE CONLYIUN LLES DEMONSTRATION PROGRAM GUIDELINES AND CRITERIA August 1995 Program Summary: The Metropolitan Livable Communities Act(Minn. Stat. Ch.473.25) authorizes the Metropolitan Council to establish the Livable Communities Demonstration Account,and make grants or loans for community development activities to municipalities participating in the Local Housing Incen- tives Program(Ch. 473.254) or to metropolitan area counties on behalf of participating cities. Purpose: The Act states that the Account may be used for projects that: 1) link development or redevelopment with transit, 2) link affordable housing with employment growth areas, III 3) intensify land use that leads to more compact development or redevelopment, 4) involve development or redevelopment that mixes incomes of residents in housing,including introducing higher value housing in lower income areas to achieve a mix of housing opportunities, or 5) encourage public infrastructure investments which connect urban neighborhoods and suburban communities, attract private sector redevelopment investment in commercial and residential properties adjacent to the public improvement, and provide project area residents with expanded opportunities for private sector employment. Amount of Funds Available: Approximately$4.6 million will be available in 1996,and$4.1 million in 1997 and subsequent years. Form of Award: Grants and loans. Grant and loan amounts and terms: To be determined. Eligible Applicants: Municipalities participating in the local housing incentives program. Location of Eligible Projects: Projects must be located in municipalities participating in the local housing incentives program. • Eligible Uses of Grant and Loan Funds: Community development projects that meet the purposes of the account(as described above), and support the housing goals,principles for livable communities, or related policies in the Regional Blueprint. Eligible uses are expected to be site plans or other site-specific • planning costs, design and consulting costs, and construction of demonstration projects. Uses not antici- pated to be eligible include comprehensive planning or other general planning costs. Projects could demonstrate new development,infill or redevelopment on large or small sites,in fully developed or developing communities. Components of proposed projects also could be eligible, and proposals that connect or integrate existing land uses. Mixed-use development proposals are encouraged. Innovation and creativity in project and site design are encouraged. It is expected that applicants could apply in different categories--e.g.new development,redevelopment, locating in proximity to each other or linking housing,jobs and transit. Number and type of categories to be determined. Project Selection Criteria: Priority will be given to proposals using innovative partnerships among government, private for-profit, and nonprofit sectors, and to projects that best meet the purposes in the law. Additional selection criteria will favor projects that result in livable communities.For example,projects that provide walkable, pedestrian-oriented areas;provide good access for transit use and safe, comfort- able places to wait for transit; broaden the mix of housing options (type and affordability level)in a community; foster a sense of place; provide a community or town center;incorporate design for safety in public or private spaces; and involve community residents and businesses in defining needs,desires,land eluse and design. Application Cycle: One or two cycles yearly,beginning in 1996. If two cycles occur per year, applica- tion deadlines would be in May and November,with awards announced in July and January.If one cycle, applications would be due in September, awards announced in December 1996. NEXT STEPS: TASKS: Finalize Project Criteria,building on criteria in the Livable Communities Act and in the Regional Blueprint. Consider whether priority should be given to certain proposals/locations. Determine Uses of Fund, which uses should receive grants,which should receive loans. In doing this, consider how best to leverage private investment with the available dollars. Discuss grant/loan amounts, terms. COMPLETED: October 1995 PROCESS: • Hold roundtable discussions in September to get input from local staff and officials, developers and design practitioners, and others with an interest in livable communities, as well as informal input. • Review local and national information sources,including successful models and projects. •iiwith administrators of loan/grant programs. • Participate in Department of Trade and Economic Development workshops (Sept. 7 and 11) on its contaminated site cleanup grant program, to explain the Demonstration Program, answer questions, get feedback. TASK: Develop Procedures,Application form(s),Timing of Loan/Grant Cycle,Selection Process. Decide whether to form a grant review committee, or conduct staff review based on predetermined criteria,with recommendations to the Livable Communities Advisory Committee.Discuss weighting system for selection criteria. Determine whether maximum loan/grant amounts should be set, and what those amounts should be. COMPLETED: December 1995 PROCESS: • Consult with staff administering other loan/grant programs,within and outside the Council. • Get input from local staff and officials,developers, others,through meetings described above and other discussions. If you have questions about the Livable Communities Demonstration Program,or to participate in roundtable discussions on the development of the program, contact Joanne Barron of the Metropolitan Council staff at 291-6385. 8/22/95 lcda.pm5 • • _.& 1,/, 7,7)4 0 + 4 !!■ •.. S III ••• !!-I ii a its ••• IF ""' Iasi •s• EXAMPLES Project A is on a portion of a redevelopment site in an older city that had been in industrial use. An adjacent area has been redeveloped as a small business park,providing space for small enterprises includ- ing a sign-making company. The city has been working to redevelop this site as a mixed-use housing and commercial area. The site has transit access along a major collector street that is adjacent to the site. It is close to an older employment concentration,providing jobs paying low to middle-income wages. The city applied for a loan and grant from the Demonstration Account to assist with the housing and commercial part of the project. The city plans to build townhouses and condominiums that will be afford- • able to a variety of income levels. Along the collector street,the proposal calls for locating small busi- nesses providing neighborhood services such as a drugstore,convenience store and coffee shop. One business has told the city it will commit to the project, encouraged to do so by the 15 percent tax reduc- tion (enacted by the 1995 Minnesota Legislature) for locating along a transit line. Other businesses have also expressed interest. A small public square is planned in an area near the businesses and transit stop that will connect to the townhouses via a pedestrian walkway. The proposal also calls for rerouting a street from its original configuration to connect directly to the collector street, to allow better pedestrian accessibility to the bus stop and neighborhood businesses. This proposal received a$500,000 loan, as a match for the local contribution, to complete a financing package for the construction of 50 townhouses and two 3-story condominium buildings. The proposal also was awarded a$75,000 grant to undertake a process with community residents and businesses to develop and refine the project's design. 8/22/95 lcda.pm5 -G2zGr(14 SIM ••• 410 IAU■ ... SIN ••• _ **DRAFT** LOCAL HOUSING INCENTIVES ACCOUNT GUIDELINES AND CRITERIA Program Summary: The Metropolitan Livable Communities Act(Minn. Statutes Chapter 473.25)created the Local Housing Incentives Account(LHIA) which authorizes the Metropolitan Council to make grants to eligible municipalities to meet negotiated affordable and life-cycle housing goals that are consistent with and promote the policies of the Metropolitan Council. Purpose: The LHIA provides incentives for municipalities to create and/or maintain affordable and life-cycle housing opportunities. Source and Amount of Available Funds: For 1996, $1,000,000 from the proceeds of solid waste bonds issued by the Council; for 1997 and each subsequent year,$500,000 from the Livable Communities Demon- stration Account; for 1998 and each subsequent year,$1,000,000 from the Council's general levy. Beginning in 1998, the LHIA may receive funds from cities that have not met their negotiated housing goals and/or hay not spent 85 percent of their Affordable and Life-cycle Housing Opportunities Amount(ALHOA). The Council is working cooperatively to link the LHIA funds to those of other housing funders,e.g.,the Minne- sota Housing Finance Agency,the Family Housing Fund and others;the potential pool for 1996 is$5.1 million. Grant Terms and Amounts: To be determined. Eligible Applicants: Any municipality in the seven-county region that(1) elects to participate in the LHIA program,i.e.,negotiates affordable and life-cycle goals with the Council; (2)has its negotiated housing goals adopted by the Council; (3) identifies to the Council the actions it plans to take to meet the established hous- ing goals. Location of Eligible Projects: LHIA funds may be used for affordable and life-cycle housing projects in eligible,participating communities. Eligible Uses of Grant Funds: For certain costs associated with projects that help municipalities meet their housing goals,including,but not limited to acquisition,rehabilitation and construction of permanent afford- able and life-cycle housing. Projects proposing homeownership opportunities for families with low and moderate incomes are strongly encouraged. The LHIA funds must be matched on a dollar-for-dollar basis by the municipality receiving the funds. Project Selection Criteria: The funds in the account must be distributed annually by the Council to munici- palities that have not met their affordable and life-cycle housing goals and are actively funding projects de- signed to help meet the goals. The legislation gives priority to those municipalities that: (1) have net fiscal disparities contributions of$200 or more per household; (2) demonstrate that the proposed project will link fill) mployment opportunities with affordable housing and life-cycle housing; (3)provide matching funds from a urce other than its ALHOA; and (4)utilize innovative partnerships between government,private for-profit, and nonprofit sectors. The Council may take other criteria into consideration when determining whether an application will be selected,including(a) the documented need for the proposed type of residential housing in the proposed geographic area; (b)projects that serve families and children; (c)the relationship of the proposed development to public facilities,sources of employment,and services,including public transportation,health, education and recreation facilities; (d)participation in the Hollman settlement. Application Cycle: Annually,beginning in 1996. Applications for LHIA funds will be accepted from July through August, with final selection and award by the Council in October. Action Steps Over the next few months, staff intends to contact a number of parties (advocacy and professional groups) believed to have an interest in the design of the LHIA guidelines and criteria and application materials. Staff may also hold special informational sessions and contact staff at certain cities for input. Recommended guide- lines and criteria will be available in October. Timelines July/August/September 1995 Staff discussions of draft guidelines and criteria III Discuss draft criteria and issues with the Metro BRA Advisory Committee Discuss mutual interests and possible linkages with the META Discuss draft guidelines and criteria with the Housing Implementation Group Present draft guidelines and criteria to the LCAC Present draft guidelines and criteria to the CDC Staff meetings and negotiations with municipalities Meet with interested parties (e.g., advocates,professional organisations, etc.) October 1995 Develop recommended guidelines,criteria and application materials November 15. 1995 Cities must elect to participate in the LHIA program December 15, 1995 Submit recommended guidelines,criteria and application materials for approval January 15, 1996 Council adopts goals negotiated goals June 30, 1996 Housing action plans from municipalities are due to the Council July 1, 1996 Grant application cycle begins August 30. 1996 Grant application cycle ends ctober 1996 Grant award selections announced Staff Resource: David Long, Office of Local Assistance; telephone: 229-5005. 8/22/95 lhia.prn5 Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator CO Date: September 21 , 1995 Agenda Item: Consideration of TIF Funds for Housing Program (5.a.) Similar to the Business Loan Program, the City is considering developing programs for the rehabilitation of both single family and multi-family dwellings in Mounds View using excess tax increment funds. Jennifer Bergman, City Housing Intern, is researching this information and will be at the EDC meeting to discuss her findings and options. I have attached a memo from her for your information. • 1111 I N T E • OFFICEMEMO To: Cathy Bennett, Economic Development Coordinator From: Jennifer Bergman, Housing Inspector Subject: Revolving Loan Fund for TIF Date: September 21, 1995 In order to establish a revolving loan fund that will be productive for our City and residents today and in the future, we have decided to meet with an attorney that works specifically with Tax Increment Financing (TIF). She has agreed to meet with us on September 26, 1995, to make recommendations on what type of housing programs we will be able to create with our TIF. At the Economic Development Commission meeting on September 28, 1995, it is my intention to discuss the options that have been recommended by the attorney and submit a preliminary plan to the EDA. • 0 Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator ef.P Date: September 21 , 1995 Agenda Item: Discussion of Updating Mounds View's Economic (5.b.) Development Plan and Striving for Star City Status through this Process. As part of the work plan for 1995, the EDC is responsible for updating the City's Economic Development Plan. The last version is dated April, 1986. I will bring each member a copy of the 1986 Plan to the meeting for your reference. As part of updating the economic development plan, it may be worthwhile to incorporate the requirements to be designated as a Minnesota Star City. Star City 0 designation is a planning process. I have included information on the Star City Process and would like to show a short video at the meeting. The City of Mounds View has already completed almost all of the requirements for application such as a survey of businesses, marketing program and information gathering. The last step is updating our Economic Development Plan and producing a marketing video of sites for development and/or redevelopment. I was informed that the City had designated funds for a cable technician to produce a video for economic development purposes and funds have already been allocated. If, after reviewing the enclosed information, the EDC decides to proceed with becoming a Star City, I will arrange for a representative from the Department of Trade and Economic Development to discuss the process at the October EDC meeting. S • Unit Two: Overview of the Star City Process Objectives After completing this unit,the reader will be able to: • Identify the eleven steps in the Star City application process; • Explain how the eleven steps are grouped into four phases; and • Discuss the importance of understanding the process. 1111/ Overview Although it is referred to as the Star City program, it would be more accurate to call it a Star City process. It is a process the community must complete in order to receive Star City designation. The process consists of eleven basic requirements that are designed to lead a community through the development of an organization, gathering of important information, development of a plan, and marketing of the community to its own and outside business prospects. This unit will give an overview of the process, and the following units will look at the individual steps of the process in detail. Becoming a Star City is a beginning, not an ending, to the economic development process. Four Phases of the Application Process The Star City application process can be divided into four phases: 1) organizing the effort, 2) gathering information, 3) planning, and 4) marketing. By breaking the process into phases, it is easier to understand where you are in the process, and it can make the process easier to manage. Further, these phases include steps that are 411) 2-1 • required for application for Star City status. Figure 5 shows how each step of the application process fits into the four primary phases of the Star City framework. This figure can be used as a quick reference as or a handout when explaining the program. Organizing Phase The organizing phase begins with the City Council designating a committee or organization as the Star City steering committee. The committee could be an existing organization or be newly created. This committee should include a broad representation from the community. The members of the committee may delegate steps of the process to other groups or individuals, but this body will provide the organizational framework for the completion of the application. The committee serves as the coordinating center. A Star City committee continues its work after the community receives designation. Its job then is to maintain the efforts initiated, meet recertification requirements annually, and remain a focal point for economic development efforts. Information Gathering Phase c:t141.. The information gathering phase is important because sound information is necessary to do effective planning and marketing. This phase includes obtaining information about the area labor force, existing businesses, and the community. There are many different sources of information and resources for gathering the information. This phase requires the committee to organize the effort of obtaining information so that it is efficient and thorough. Summarizing the information is the endpoint of this phase. Planning PhaseAz, The planning phase is the heart of the Star City program. The information gathered is analyzed and sorted by assets and constraints. Issues emerge and are judged on their importance to economic development. Goals are then established to address those issues, building on the community's strengths and mitigating weaknesses. This statement of goals is the five-year or long-range plan for the community. A one-year action plan is developed that outlines the strategies and tasks—the individual steps that will be implemented in order to achieve the goals.This process is the means by which local residents create change in their communities. S 2-2 • i Q A Gil 0 n, `.L' U Q c G W3x u g I-, b y p" >, C, cal w > w y Q e U O tu ,, >g aw >V/ U U Cc SwOV O 6 a ime . .— I _ 5 6 •mu L.I7 + .- a T C w a z t d = E `4cz x z o - a p" c F �>, c 4 v ¢ c0 w. o -- N z >, a1 o — O ami C� 0 > Y�1 Q .c E" C = O p U ca U U tui r- , , , , , 'y z Figure 5 0 2-3 00 • Marketing Phase ?/\16. The marketing phase has two parts: the creation of several marketing products and the development of a marketing presentation. Communities must develop a fact booklet that contains detailed information about the community that could be useful to an existing or a prospective business. Many communities also develop a brochure that is a companion piece to the much larger fact booklet. A community must also develop a video or slide show to be used as an image piece about the community and its economic development effort. Creation of these marketing materials is usually the most expensive component of the Star City process. Communities have been very resourceful in raising the funds and tapping local skills to produce excellent products. When this part of the marketing phase is completed along with the other phases, all supporting materials for the community's request to become a Star City are submitted to the Department. When the Department has determined that the materials are complete, it will schedule the final step of the process: the marketing exam. Following on-site training provided by the Department, the community will be asked to market itself to an industrial prospect. The "prospect" in this case is a person chosen by the Department to play the role of a company representative interested in locating a business Ln the community. The Department also participates in the marketing exam. When the community successfully completes the marketing exam, it will be designated a Minnesota Star City. Star County The Star County adaption incorporates the same phases as the Star City program. Special emphasis, and therefore additional time, will probably be spent in organizing and information gathering. It may be more difficult to organize on a county-wide basis. It is also more difficult to gather information when numerous school districts, townships, and cities are involved. i 2-4 . Which Phase Comes First? There is no set order for completion of the steps, but to be efficient and thorough there are some steps that should be completed before others. The Star City committee should be designated prior to beginning the other phases. It is important to do the information gathering phase early so that the information can be used in the planning and marketing phases. If a five-year plan is completed before the information is gathered, the plan may not adequately address the community's needs. The information gathering and planning phases are the core phases in this process (see figure 6). These two phases must be completed in as thorough and efficient a manner as possible. Marketing of the community needs to be based on the planning the community has done. A strong marketing campaign requires that the community knows the direction it wants to pursue and to have the resources and commitment necessary for implementation. Thus, the marketing phase usually comes late in the process. However, some of these activities can be done simultaneously. For example, while information is being gathered, research can be done on the cost of materials and labor for the fact booklet. Some steps are complex, and preliminary work can be 0 started early to stay on schedule. Also, some work on the steps within the phase may already be completed. An inventory of materials containing required information should be conducted early in the process to avoid unnecessary duplication of effort. 1111 , 1 2-5 0 a 0 w o 41 a d 8 ;moo a IS c °° c b oa c. > : 0 4 Q c ,o �. U Z °C i , Com. g }" d CIO X 4 4 4 ' °wc V1 IItIS) S w O C, O � a . U exii (1111 •.• + ._.w 141F = /—M y g 4 Co g ' C, o, 6 W o y a z C7 a� — g ¢ o oa o a G y a ?, mu c 8 'c 11 g A 74 cc 0 $ . o p U„q U U z P Figure 6 • 2-6 • Application Review Local government designation a. copy of resolution or ordinance making designation b. description of structure or type of organization designated c. organizational chart explaining relationship of this organization to city or county and other local economic development groups d. list of members,their affiliations,and position on committee e. description of subcommittees and others involved in Star City process f. minutes of last three committee meetings g. regular meeting time described and if it has been used;plans for continued meetings or delegation of responsibility 2. Community/county profile a. include a copy of current profile b. profile is up to date 3. Information gathering a. information collected is thorough and documented(description of how this was done,where information is kept) b. information has been reviewed and summarized(information in its raw form should not be submitted) 4. Community analysis a. constraints b. assets c. internal d. external e. description of process used f. summary of findings Figure 29 7-3 • Application Review 5. Capital Improvement Plan a. city has adopted plan b. plan addresses economic development needs c. plan has been reviewed by the committee and incorporated into community analysis 6. Labor Market Analysis a. wage and benefit data is collected b. census,job service,and other information has been collected and reviewed c. labor survey material if completed d. analysis of findings e. evidence that findings were considered in community analysis 7. Business Retention and Expansion Program a. survey was conducted b. red flag issues were addressed c. written summary of findings in addition to state report d. findings were included in community analysis and planning 8. Five-Year Plan a. five-year goals list b. description of process used and people involved in five-year plan c. relationship of five-year plan to community analysis including labor market information,capital improvements plan,and BRE survey Figure 29 continued • 7-4 Application Review 9. One-Year Action Plan a. objectives are clearly stated b. each objective is related to at least one goal c. each objective has tasks and strategies d. each task or strategy is assigned,has a time line e. items requiring financial support are identified;support described f. job retention and/or creation are included in the objectives g. labor market issues addressed if issue was identified h. capital improvement plan addressed if changes needed i. evidence of committee and city council/county board adoption 10. Fact Booklet a. material is presented clearly b. adequate information is included c. description of plan to use fact booklet 11. Video/slide tape show a. length is less than 10 minutes b. quality of images high c. quality or essence of community is captured d. adequate information and focus are used e. presentation is smooth,not choppy or redundant f. sound is clear and pleasing g. description of plan to use product Figure 29 continued • 7-5 r Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator 01,1e) Date: September 21 , 1995 Agenda Item: Update on Highway 10 Corridor Redevelopment (5.c.) Per the EDC's direction, Administrative Aide Lynnette Morgan has been working on preparing a report regarding the importance of investing money into the redevelopment of Highway 10 as one of her college internship projects. She has met with several Cities regarding redevelopment and has prepared a draft outline for your consideration. Once she completes the report and it has been reviewed by both the EDC and EDA, 0 Lynnette and myself would like to give a presentation to the public explaining the benefits of redevelopment giving specific examples and scenarios of "What Mounds View's Highway 10 Could Be!" I will go over each part of the outline and ask for your comments and suggestions prior to proceeding with the report. HIGHWAY 10 CORRIDOR OUTLINE Background Information of Mounds View a. History of Development in Mounds View b. TIF (when and why created) 1. What are the benefits 2. What it was like before development occurred 3. What it is like now. II. Highway 10 District a. Current Situation b. Potential Opportunities III. Need for Redevelopment a. Proposed plan b. FOCUS 2000 c. Traffic conditions d. Benefits of Redevelopment - Other cities Experiences 1. Increase in jobs 2. Increase in tax base (commercial and residential) An increase in commercial base would lessen the burden on residential taxes 3. Added programs due to development 4. Increase the image of the community • 1111 Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator C.,t)2) Date: September 21 , 1995 Agenda Item: Consideration of Establishing a Loan Committee (5.d.) At the recommendation of Mark Malone, it has been suggested that the EDC establish a loan committee to review incoming applications for the Mounds View's Business Improvement Partnership Program. By establishing a loan committee, requests can be reviewed and recommendations can be made without having to wait for the monthly EDC meeting. It is suggested to have the loan committee consist of four EDC members so that a 41) quorum vote can be made on the application. In addition, it is suggest that the committee be available to meet, either in person or through conference call, to discuss and vote on the application at a weeks notice of submission of the application. The applicant would still be required to get final approval from the EDA at their regularly scheduled meeting on the second Monday of each month. If needed, the EDA can also take action at work sessions and on the fourth Monday of each month. • S Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator COD Date: September 21 , 1995 Agenda Item: Consideration of Business Improvement Loan for (5.e.) Mister Donut Mark Malone and I have been working with Mike Forcia regarding improvements to Mister Donut Shop in Mounds View for the past several months. • Western Bank has reviewed their file and are ready to make a recommendation approving the maximum loan under the City's program. • I did not have a copy of the financials and terms prior to mailing the packet but will have copies provided at the EDC meeting next week. I did discuss the file with a Western Bank representative and am comfortable that approving this loan will be of great benefit to both the owners of Mister Donut and the City of Mounds View. I would like to have the owner, Mike Forcia, explain the improvements at Thursday evening's meeting but have not confirmed his attendance. In any case, I will have more information for your review and consideration at the meeting. 4110 ©1147 OF '.bk. 1/0) Phone: (612) 734-3055 UV Fax: (612) 784-3462 "Quite Simply the Best" October 23, 1995 Dear Economic Development Commission Members: Attached is your packet for the upcoming EDC meeting this Thursday evening at 6:00 p.m. The meeting will be held in Conference Room A rather than the Council Chambers since there is a conflict this month. Conference Room A is in Administration to the left of the Council Chambers. 411 Our special business this month is carried over from the September meeting since Joanne Barron was called out of town on personal business. Please refer to your materials from last month regarding the topic of the Livable Communities Act and how this relates to economic development. Please call me if you have any question or will be unable to make the meeting. See you Thursday in Conference Room A. Cathy :' 111 .s AI`soyiniK1 2401 Highway 10 • Mounds View, MN 55112-1499 Equal Opportunity Employer ooe-b recycled paper ECONOMIC DEVELOPMENT COMMISSION AGENDA III OCTOBER 26, 1995 6:00 P.M. MOUNDS VIEW CITY HALL COUNCIL CHAMBERS 1. CALL TO ORDER P.M. 2. ROLL CALL (Present = P, Absent = A) Goff Schmidt Malone Seipp Mountin Welsch Nelson Hankner (EDA Liaison) Bennett (Staff) 3. APPROVE EDC MINUTES IllSeptember 28, 1995 Action: Motion Second Vote 4. SPECIAL BUSINESS Presentation on the Metropolitan Livable Communities Act Joanne K. Barron, Metropolitan Council 5. EDC BUSINESS A. Consideration of Participation in Minnesota Star City Program (Bart Bevens, MN Dept. Of Trade & Economic Development) Action: Motion Second Vote Comments: 111 B. Discussion of Highway 10 Report and Presentation (Lynnette Morgan, Administration Intern Project) 1111 Comments: 6. REPORT OF EDC MEMBERS AND STAFF 7. ADJOURN P.M. NEXT EDC MEETING NOVEMBER 16, 1995 • • Minutes of the Economic Development Commission City of Mounds View Ramsey County, Minnesota Regular Meeting 9 September 28, 1995 City Hall 2401 Highway 10, Mounds View, MN 55112 1. Call to Order: The meeting was called to order at 6:00 p.m. by Chairperson, Phil Seipp. 2. Roll Call: Members present were as follows: Rosemary Goff, Mark Malone, Delane Welsch and Phil Seipp. In addition, Economic Development Coordinator Cathy Bennett and EDA liaison Sue Hankner were present. EDC Members Peg Mountin, Dan Nelson and Ron Schmidt were absent. 3. Approval Of Minutes: Motion/Second: Goff/Malone moved approval of Minutes of August 24, 1995 Meeting. Motion Carried 4 ayes 0 nays • 4. Special Business Presentation on the Metropolitan Livable Communities Act Coordinator Bennett reported that Joanne Barron from the Metropolitan Council called to cancel due to personal business that brought her out of town. The item will be moved to the October agenda. 5. A. Consideration of TIF Funds for Housing Loans Coordinator Bennett reported that the City met with attorney regarding the use of TIF for a housing loan program similar to the business loan program. Unfortunately Tax Increment Law does not allow the use of Tax Increment for interest reduction on single family owner occupied properties. Staff is evaluating other programs and will bring a program back to the EDC for consideration upon Council's direction regarding policy issues. B. Discussion of Updating Mounds View's Economic Development Plan Coordinator Bennett passed out the last version of the Mounds View Economic Development Plan approved in April of 1996. As part of the EDC's work plan the task of updating the Plan should be started in 1995. Coordinator Bennett also reported that the EDC should consider striving for Minnesota Star City Status as part of the updating process. The Star City Program is an economic development planning process which includes community data gathering, survey • 1 of businesses and developing an economic development plan and marketing program. Bennett noted that Mounds View has completed most of the process to become a star city with the exception of updating the Economic Development Plan and developing a promotional video. Bennett reported that the City has funds set aside for the promotional video. Chairman Seipp suggested that we work on a resolution to pursue the star city process and directed staff to gather more information on the process. Coordinator Bennett suggested we invite a representative from DIED to discuss the requirements for the program at the next meeting. Chairman Seipp asked to have a list of those cities that are already star cities. C. Update on Highway 10 Corridor Redevelopment Coordinator Bennett reported that Administrative Aide Lynnette Morgan was working on a report as part of her internship regarding the importance of redevelopment to a City. Coordinator Bennett presented an outline of the report for EDC's comment. Coordinator Bennett explained that a draft report will be presented to the EDC in October followed by a presentation to the EDA in November. If all goes as planned public forums to gain consensus for the program will begin in January. Commissioner Welsch asked what was the format of the public forums and suggested we review the format used by the entities that have been designed to discuss the future of the arsenal project. In addition, Commissioner Welsch offered to contact the U of M regarding assistance with the program. Chairman Seipp suggested we mail an invitation to the public in the next newsletter regarding public participation. Coordinator Bennett said that the City put a special attachment in the newsletter when they were looking for participants in the Focus 2000 Process which proved to be very effective. D. Consideration of Establishing a Loan Committee Coordinator Bennett reported that, at the recommendation of Mark Malone, that the EDC should consider establishing a loan committee made up of at least four commission members. The committee could be referred to within a weeks notice to discuss a loan application and make a recommendation to the EDA for approval/denial. This will allow requests to be 411) reviewed in an expedient manner. Motion/Second: Welsch/Goff moved approval of Resolution to Establish a Loan Committee Motion Carried 4 ayes 0 nays D. Consideration of Business Improvement Loan for Mister Donut Coordinator Bennett presented information for consideration of a loan for Forcia, Inc. owners of Mister Donut in Mounds View. Coordinator Bennett reported that the business will be completely improved both on the interior and exterior and the product line will be expanded to include bagels, soup, sandwiches, cakes and ice cream. Bennett noted that Western Bank has reviewed the financial statements and feels that the City's participation is the only way this loan would be approved. The financial reports show a turn toward positive growth and that Western still needs to finalize approvals that current loans are current and there were no defaulted payments. Coordinator Bennett reported that the project conforms with the goals of the program to the fullest. Alternate Liaison Quick reported that even if there was a default on the loan that the property would be improved and more marketable than it is now. Several members reviewed the information and after all questions were satisfactory answered Commissioner Goff made a motion for approval. 41110 2 Motion/Second: Goff/Welsch moved approval of Resolution 95-EDC-11 Recommending Approval of Small Business Loan to Forcia, Inc. • Motion Carried 4 ayes 0 nays Reports From Chair, Commissioners and Staff: p Commissioner Malone reported that he was no longer with Western Bank in Mounds View therefore suggested he resign from the EDC. Commissioner Malone thanked each member for an enjoyable year on the Commission and suggested that the members recommend a member from the bank to continue to participate on the Commission. 7. Adjournment There being no further business before the Commission, this meeting of the Economic Development Commission adjourned at 7:07 p.m. Respectfully Submitted, Economic Development Coordinator • 3 Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator Date: October 23, 1995 Agenda Item: Consideration of Participation in Minnesota Star (5a.) City Program This item was briefly discussed at the September meeting. I was directed to bring the EDC more information regarding Star City Status and the funds we have available for a Mounds View Promotional Video. I have invited Bart Bevens, our representative from DTED, to discuss the Star City Process and explain how we should proceed. Regarding the funds for a video production I have pulled the staff reports and preliminary script that was approved in April of 1993. The funds allocated were for supplies in the amount not to exceed $500. (NOT $5,000, Sorry for the confusion). The time to produce the video was volunteered by Jerry Skelly Sr., Chair of the Mounds View Cable Commission. I will verify with Jerry Skelly Sr. to see if his offer still stands from 1993 and if he anticipates that there will be any additional costs involved. Also attached is the first update for the Economic Development Plan that was given to you at the last meeting. I have started with an inventory of undeveloped commercial property in Mounds View (section 2.2 and attached map). Most of the undeveloped property is on Highway 10. For those that were not at the meeting last month I will bring your copies of the Economic Development Plan to the meeting. 4110 i y O CO r CO N V CO N L) N Lf) O O I,- O CD O M CO CO O ti V CO O CO O O N r` O CS) in Lo v O 6) r- KI'EA:' O N r' N M CO CO r M OO CO 0) CO M 'd' r- M M O a) � Ci) V' CO- M ,- c- V N N r V• CO co- V' O O c- co- r- CD CO r- r- c- d:. 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I "., ,"::\..ata x I d< a: 111:11) i 1 7-1N \.r' t''''.`" —1 1_ ..r.{I „1 Staff Memo To: Economic Development Commission Members From: Cathy Bennett, Economic Development Coordinator Date: October 23, 1995 Agenda Item: Discussion of Highway 10 Report and Presentation (5.b.) -...:..i..;l .........:ti:-.:/....1..::....�{:.�..�. 1 .... 1 .......�:•�:-:i:-::.:.: ,- ..:f '.4.... Y 'i i...i.:.:... ...I.. :J .1'J ..1':''... :tiil:.{: Lynnette Morgan, Administrative Aide and a student at St. Thomas, has prepared a report regarding Highway 10 Redevelopment. I have attached the draft report for your review and comment. We will be preparing more graphics and pictures for the presentation and would like your input regarding public forums. I have talked to Barbara Luckerman, thanks to Delane Welsch, regarding assistance from the U of M. Although there are no class workshops planned for this year Ms. Luckerman offered her and other planning professor's assistance with the report. I will be meeting with them during the first part of November. In addition, I will be talking with the Landscape Architecture Professor who is in charge of study projects. There may be an opportunity for 4-5 students to do a report and design different landscape plans for Highway 10. • DRAFT• DATE4autalz,,c • HIGHWAY 10 REDEVELOPMENT REPORT TABLE OF CONTENTS I. History of Development in Mounds View 1 II. TIF District 1 a. Mounds View Business Park 1 b. SYSCO Minnesota 2 c. Highway 10 Silver Lake Point Apartments 2 III. Benefits of Investing in Redevelopment 3 IV. Highway 10 Situation 4 V. Redevelopment of Highway 10 5 VI. Proposed Plan 6 VII. Traffic Conditions 8 VIII. Analysis of Existing Conditions 8 • a. Cooridor's Strengths 8 b. Cooridor's Weaknesses 9 c. Potential Conflicts 9 IX. Benefits of Redevelopment - Other Cities Experience a. Lake Phalen Corridor Initiative 9 b. Hopkins County Road 3 Corridor Study 10 c. New Brighton Highway Eight Corridor Plan 11 d. Burnsville's Highway 13 Visioning Study 12 e. City of Apple Valley Land Use Study 13 f. City of White Bear Lake Downtown West Redevelopment 14 g. City of Chanhassen Establishment of Highway Corridor Districts 14 h. Excelsior Boulevard 15 i. Conclusion 16 X. Public Participation 16 XI. How Should the City of Mounds View Proceed? 17 HIGHWAY 10 REDEVELOPM 1-N T REPORT • I. HISTORY OF DEVELOPMENT IN MOUNDS VIEW In the 1930's Mounds View consisted predominately of vacant land with scattered farms and few roads until the late 30's when the first homes were built. In the 1940's, some of the first businesses established on the Mounds View Corridor included The Mermaid, Donatelle's and the Bel-Rae Ballroom. In the early 1970's First State Bank was established and significant single- family home development occurred. The Mounds View Industrial Park began to develop with Century Motor Freight in 1973. Mounds View Square Shopping Center development was in 1974 and Silver View Plaza followed 10 years later. The most recent major developments occurred after 1988 with the establishment of the Mounds View Business Park and in 1995 with the construction of Silver Lake Point Senior Apartments. II. TIF DISTRICTS IN MOUNDS VIEW Mounds View has three Tax Increment Districts with a total of$1,573,000 of tax capacity 1994 estimated market value of$30 million. Current Projects are as follows: • increment and a � a. Mounds View Business Park was established September 22, 1986 (modified June 12, 1989.) The purpose of this district was to improve the tax base and improve the general economy of the State and provide employment opportunities. TIF enabled the building of 90 + acre high quality Business Park. As a result, Mounds View has attracted 25 new quality companies which has added an additional 1,300 new jobs for the community. Some of the larger companies that located in Mounds View as a result of the Business Park include: Multi-Tech Corporation, Garment Graphics, Liberty Check Printers, Vicom/Bakers Square, Sims Deltec, and Owens & Minor. Elimination of blighted areas promoted non TIF assisted expansion in the nearby industrial park and adjacent hospitality and recreation facilities which attracted an additional 200 new jobs. Some of the companies include Saturn of St. Paul, KFC, Taco Bell, McDonalds, and Perkins. It is estimated that the net tax capacity has increased by $ due to the developments spurred by investing in the Business Park. • b. SYSCO Minnesota: A district was established in February 22, 1988 (modified March 27, 1989) to enable the attraction of a corporate headquarters facility. Due to an unusual terrain or soil deficiencies requiring substantial filling, grading or other physical preparation, the district was established to assist in the new construction of a miscellaneous industrial development. Difficult soil condition made the property unattractive and costly for business development. The redevelopment district was established to restore and improve the tax base and tax generating capacity of the District, increase employment opportunities, realize comprehensive plan goals, remove blighted soil conditions and revitalise the property. With the use of TIF, Mounds View attracted one of the largest food service companies. It is estimated that the increase in the market value of the property as a result of the SYSCO development amounts to over $6,185,980. The corporate headquarters facility added over 450 new jobs to the region. Now SYSCO will be expanding over 100,000 sq. ft. This is expected to generate a significant amount of new and added quality jobs for Mounds View. • c. Highway 10 - Silver Lake Point Apartments. Limited redevelopment has occurred in the Highway 10 District due to the difficulty attracting appropriate uses for the shallow lots sandwiched between a high speed commute highway and dense residential development. Recently, in 1994, the City facilitated the attraction of a much needed Senior Housing complex called Silver Lake Pointe Apartments with the use of tax increment financing. The apartment building is an 83 unit senior housing facility with over 80% of the units for low to moderate income seniors. This project was constructed by a non-profit group which would not have happened unless TIF was provided. Non TIF assisted development of town homes, single family homes and expanding retail business has also occurred in the Highway 10 redevelopment district. It is estimated that increased market value generated from the Highway 10 district amounts to over $2,322,018. Silver Lake Point Apartments will add a significant amount of value to the district over the next year of which has not been realized. • 2 III. BENEFITS OF INVESTING IN REDEVELOPMENT111 The opportunity to utilize Tax Increment Financing for development and redevelopment has been a huge success in Mounds View. As provide by the following facts: • There were only 3 employers with over 50 employees until 1988, when most of the districts were created. Currently, in 1995, there are over 15 employers with over 50 employees. • The total number of employees has increased from 1,365 in 1993, to 1,524 in 1995, in the Mounds View Business Park (an increase of almost 12%). • There still is over 6 acres left to development in the business park which would generate new tax dollars and create additional jobs. • The City's second largest employer (300) would have left in 1994 "but for" the use of TIF assistance to expand their current location. Employment is expected to double in 5 years and additional land was purchased for a future expansion of the company. Results have shown, such as the development of the Mounds View Business Park, attracting new businesses in the community creates jobs through out the area's economy. A • properly thought out development project will draw people and generate income for the entire community. The economic spillover from one business flows to other businesses and the surrounding communities. The employment multipliers for a given industry are the number of jobs created in either a county, region, or state both directly or indirectly in order for an industry to deliver $1 million of output. The employment multipliers are estimates of the total direct and indirect jobs that occur in a geographic area for 100 jobs in a specific area. A job multiplier includes the jobs created both directly and indirectly to the households, including the jobs created by the primary industry and from the secondary demand created by consumers spending. 3 0 IDThe following chart shows that total number of jobs created by the creation of one new job in selected industries (source: U.S. Chamber of Commerce 1993) INDUSTRY COUNTY METRO AREA STATE, New Construction 2.86 3.27 3.21 _ Textiles 1.72 1.88 1.9 Primary Metals 1.93 2.24 2.32 Motor Vehicles & 2.36 2.35 2.47 Equipment Wholesale Trade 1.78 1.93 1.93 Retail Trade 1.40 1.46 1.47 Finance 1.90 2.19 2.19 Hotels & Amusement 1.76 1.89 1.88 Health Services 1.56 1.67 1.68 Eating & Drinking 1.34 1.41 1.42 Places Business Services 1.45 1.57 1.59 Therefore, if the City of Mounds View facilitate a new development such as a business service company, that generated 20 new jobs, the actual affect would be a total of 20 new jobs in • the metro directly plus 11.40 secondary jobs for a total of 31.40 jobs created due to the development. IV. HIGHWAY 10 SITUATION Highway 10 has evolved as one of the main vehicle routes linking northern suburbs to Minneapolis and St. Paul. Highway 10 serves the community as a major east-west arterial and also serves as the north-south arterial because of the Highway's diagonal arrangement. The Corridor itself is characterized by a mixture of land uses and has typically lacked organization and identity but with the development of Moundsview Square, Silver View Plaza, and North and South Business Parks this has been reduced. Significant vegetation exists along the corridor, intermixes with areas of vacant land and residential uses. Still Highway 10 has numerous incompatible land uses, vacant buildings and deteriorating storefronts. Close examination discloses the difficulty of visually determining where Mounds View begins and ends. III4 V. REDEVELOPMENT OF HIGHWAY 100 Redevelopment and improved aesthetics of Highway 10 has been discussed by political, community and business groups for several years. In 1991, at the Council/Staff Goal Setting Session, 10 goals were created to serve as a guide for the operation and organization of the direction of the City in the next five years. The goal to develop a Strategic Plan to Create a Total Community Multi-Model Transportation Network Incorporating Highway 10 into a "Community- Oriented Boulevard" was created. It was the goal of the City to provide for a community-wide multi-model transportation system which addresses the needs of residents who enjoy daily walks on safe community- connected pathways systems, bicyclists who need their space separate from the cars and the joggers, and the drivers of vehicles who need to safely reach their destination. The 1992 year-end Accomplishments with regards to Highway 10 include: • Consideration of their recommendation for edgeline marking on City Streets (Groveland Road, Hillview Road, Quincy Street, Edgewood Drive, County Road H-2) • • Enforced code regulations to maintain integrity of Highway 10 business/residential environment. • Participated with Ramsey County and Suburban cities in proposed roadway turnback discussions to provide input for the future of Highway 10. Then in 1993, the Council/Staff Strategic Planning Session devised the goal of creating a community-driven "Visioning Process" called FOCUS 2000. As part of the FOCUS 2000 visioning process, participants in the Public Forums were asked to visualize Mounds View in the year 2010. From this process many shared visions were identified. The shared vision of Highway 10 resulting from the Forum was a vision of"downtown." "There will be a downtown area with unique stores and services. This area will be user-friendly and easily accessible to all, and will serve as the City's center of community. (Moundsview square, Silver View Plaza)." Issue project teams were created to development a Vision Statement and Goals and Action Statements appropriate for their issue groupings. The developed goals for the redesign • 5 • and future development of Highway 10 are as follows: "Goal #1: Improve the aesthetic appearance of Highway 10 in order to maintain a fully developed and occupied highway business corridor." "Goal #2: Increase vehicle and pedestrian accessibility to business along Highway 10." The 1994 Action Steps under these goals include the creation of a Highway 10 Redevelopment Task Force or related task force under the Economic Development Authority, which developed a draft plan for the redevelopment of Highway 10. An inventory of properties on Highway 10, noting zoning, current use, and property conditions was completed to evaluate long and short term uses and recommend changes along the corridor. Evaluation of a professional redevelopment consultant for Highway 10 Corridor Study and Plan Development has been discussed. The City has also received a grant for construction of pedestrian bridge over Highway 10 which would need to be incorporated into the future vision of Highway 10 Corridor. VI. PROPOSED PLAN • The Highway 10 subcommittee reviewed and gathered data from eight other cities on highway corridors. There were several common elements that were revealed in each communities redevelopment plan. • Development Areas. Each communities plan contains designated areas of development. These areas of development address desired use, current land use, zoning, landscaping, environmental engineering and how the development meets the vision for the community. • Since redevelopment usually requires drastic land use changes and numerous technical decisions, most community redevelopment plans were put together with the assistance of an outside consultant who specializes in corridor and downtown redevelopment and community consensus building. • Redevelopment is a long range plan that can take several years, requires substantial public assistance up front and presents many risks and rewards. Undoubtfully a successful redevelopment pian, once initiates, takes strong local leadership from Councils, Boards and Civic Groups. • In most communities there is always an element of resistance to change. Not all residents will agree with plans, especially when there could be significant impacts to peoples lives and businesses. The most important element is to remain focused on the big picture and long • range vision for the community! The Highway 10 Subcommittee broke down each property along the corridor into a total of eleven development areas. 1. REGIONAL MANUFACTURING BUSINESS PARK Expand Mounds View's limited commercial base for manufacturing operations that are medium to light in nature allowing easy buffering from Mounds View residential neighborhoods. 2. RECREATIONAL FACILITIES- COUNTY PROPERTY, WETLANDS A Regional Parks and Recreation trail corridor to provide facilities for fishing, canoeing, hiking and wildlife observation activities. The trails connect Anoka and Ramsey County Open Spaces, Long Lake Regional Park in New Brighton and Locke Park in Fridley. 3. CITYEN7RANCE An area that caters to the visitor and frequent commuter to Mounds View and would act as the City Entrance with a Welcome to Mounds View monument sign. 4. REGIONAL BUSINESS CENTER Mounds View's Business Park which houses various limited manufacturing\warehouse and distribution facilities and is the major job center in the community providing employment for over 1,500 Twin Cities residents. 5. BUSINESS SUPPORT CENTER Service center for,the business park and surrounding commercial areas that includes an office complex development housing professional service companies, restaurants, convenience store and car wash. 6. MEDIUM-LOWDENSITYRESIDENTIAL Small residential exposure that does not have direct access to Highway 10 but could be more protected by adding a dense layer of landscaping along the houses that are visible from Highway 10 7._ CORPORATE HEADQUAR 1 LRS FACILITY/OFFICE COMPLEX It is recommended to attract a corporate headquarters facility or office complex to the site which would be developed in a campus setting keeping its natural, wooded atmosphere. 8.a. City Hall and Community Center 8.b. Local Commercial Services An area that provides the residents of Mounds View a wide variety of retail services via two existing shopping malls on the north and s south sides of Highway 10. 9. MIXED-USE DEVELOPMENT Community and Commuter services mixed with senior complex and multi-family units bring people close to the services available within walking distance. 7 • • 10. LOCAL COM I4ERCLAL BUSINESS gradual shift from commercial type land uses to that of medium and low density residential. Includes a number of properties which are legal non- conforming in relation to the established zoning districts. 11. MEDIUM/LOW DENSITY RESIDENTIAL Developments have taken a natural focus on residential projects with the recently developed 22-unit townhouse development and 17-lot single family home subdivision. VII. TRAFFIC CONDITIONS Anyone who has ever traveled Highway 10 has had the realization that the highway is not a community-oriented roadway, but rather a connecting thoroughfare for the northern suburban communities. Completion of the Highway 610 corridor will ultimately shift some of traffic moving both east and west away from Highway 10. The result of the decrease in traffic affords the City the opportunity to create a truly community-oriented boulevard -- one that portrays the collective character and image of the community, and one that addresses the needs of the pedestrians, pathways users and slower streetscape environment. It is imperative that a plan to redevelopment Highway 10 include ways to move pedestrians across the highway in a safe manner. A proposal for a pedestrian bridge would afford for this opportunity. In addition providing sidewalks and adequate street lights will hinder the dangers of rapidly traveling commuter traffic. One proposal also includes the use of a people mover (transit or bus) along Highway 10. Currently MTC does not make stops along Highway 10. This is both detrimental to the businesses and people in Mounds View. VIII. ANALYSIS OF EXISTING CONDITIONS a. The following items were identified as the corridor's strengths. • The corridor presents opportunities for commercial enterprises due to traffic and general good visibility. • The land use pattern has variety- residential, commercial, industrial, parks, etc. • Highway 10 provides access to Interstates 35W and 694. • Highway 10 links residential areas and is heavily used by Mounds View residents. 8 • A significant portion of Mounds Views' commercial and industrial base occurs along the corridor. b. The existing corridor was also perceived to have a number of weaknesses including: • Retail sector struggles with the major competitions from Big Box operations relocated less than 5 miles away from the expanding Northtown Mall Area. • Access to Businesses is not convenient due to the diagonal nature of cross streets. • Shallow lots between commercial potential and residential neighborhoods poses challenges on how to buffer the impacts. • State control of Highway makes it difficult to change aesthetics and traffic conditions. c. The following or potential conflicts likely to arise during discussions of Redevelopment include: • Zoning incompatibilities • Stakeholders having their own agenda, not the community vision. • Strictly cost conscience rather than embracing the benefits. 1111 • Difficulty with buffer zones IX. BENEFITS OF REDEVELOPMENT - OTHER CITIES EXPERIENCE One way to show how redevelopment benefits a community is to review what other communities have done and the ramifications of their actions. The following outlines eight metro communities experiences with redevelopment, their plans, and the outcomes. A. LAKE PHALEN CORRIDOR INITIATIVE (information taken from Minnesota Real Estate Journal, April 17, 1995). THE PROJECT The new boulevard would run along an old railroad corridor from interstate 35E through the East Side and connecting to Prosperity Avenue at Maryland Avenue. Although just one component of the overall initiative, the new road would open the area to industrial 9 0 redevelopment, bringing jobs and added revitalization to East Side neighborhoods. The project envisions more then 100 acres of redevelopment industrial land alongside Phalen Boulevard, a limited access roadway that would link Lake Phalen with Interstate 35E. THE BENEFITS • The project could eventually provide close to 1.5 million sq. ft. of new industrial space, and they hope, more than 2000 new jobs for an area that sorely needs it. • The project could also serve as a model for inner-city development. Urban centers across the country complain that they have land and a workforce primed for industrial jobs, but that new growth is almost exclusive to suburban areas, where development is cheaper and easier. • The project's supporters hope the boulevard would entice existing firms to stay and expand in the East Side, and even encourage others to locate in the area. B. HOPKINS COUNTY ROAD 3 CORRIDOR STUDY (information taken from County Road 3 Corridor Study, February 21, 1995). 111 THE PROJECT Roadways in each community form an essential element of a community pattern. In Hopkins, the pattern of roadways separates the community into definable areas. County Road 3 is a key traffic artery but also has the potential to link the community rather than form another major geographic divider. Because of the emphasis placed on County Road 3 resulting from the Strategic Plan, the Hopkins City Council identified the need to complete a more strategically focused corridor study. Past efforts have supplied the important and useful information regarding potential land use, transportation and aesthetic improvements. What was lacking, however, was a comprehensive, action oriented document that not only addressed these factors but also emphasized implementation, specially including financial tools. As a result the County Road 3 Corridor Study was prepared. 110 10 THE BENEFITSIll The Hopkins Comprehensive Plan recognized that the Boulevard is "very important" to the "fiscal health,job base, and image" of the City of Hopkins. The Strategic Plan for Economic Development identified three specific goals including: • Improve vehicular and pedestrian movement along County Road 3 and enhance the link between County Road 3 and Mainstreet • Foster the development/redevelopment_, of. property. along_ County. Road_ 3, including consideration for a business park and/or other major retail uses. • Improve/enhance the function and appearance of existing commercial, industrial, and public/semi public land uses, including visual improvements such as landscaping, screening, and tree planting. Ideas and input from the corridor's major stakeholders, the business community and the residential neighborhoods had an active role in the development of the County road 3 Corridor Study. ill C. NEW BRIGHTON HIGHWAY EIGHT CORRIDOR PLAN (information taken from New Brighton Highway Eight Corridor Plan) THE PROJECT The City prepared the study to assist in publicizing the development attributes and opportunities in anticipation of new development. The plan was development in an aggressive effort to gain favorable consideration from prospective development proponents. The Highway 8 Corridor Plan focuses on existing land uses, transportation components, undeveloped and under-developed land parcels, prospective future changes, the image and character of potential changes within the corridor study area. New Brighton's objective in this study has been to inventory, analyze and document various development potentials and opportunities and to encourage and aggressively proceed toward "full and productive" use of these properties. The plan involved the preparation of exhibits which will provide prospective developers and other concerned with urban development, 0 11 • redevelopment and revitalization with an opportunity to inspect and assess development prospects in the City of New Brighton. THE BENEFITS Since the approval of New Brighton's Old Highway 8 Corridor Plan several developments have occurred. One of the most significant projects is the redevelopment of the downtown area which includes the new Family Service Center, Business Center, Townhome development and Streetscapes. In addition, commercial development includes the Lakeview Business Park and Brighton Corporate Park. These developments have created a revived community with quality job growth and extensive increase in the tax base. In addition, the success of redevelopment projects has spurred future prospects for new, contemporary, commercial office and multi-family development in the vicinity of Long Lake and I-694 D. BURNSVILLE'S HIGHWAY 13 VISIONING STUDY (information taken from 1989 Highway 13 Visioning Study) • THE PROJECT The purpose of Burnsville's "Visioning Study" is to illustrate the Task Force's vision of how the image of the Highway 13 Corridor between Savage and I-35W could be improved over time without the current zoning and other land use restrictions. The future of Highway 13 Corridor envisioned by the Task Force would be an uncluttered mixture of compatible commercial, office and residential uses. These uses would be tied together by a cohesive use of building materials, landscaping, signs, and lighting. Individual development and public improvements would be sensitively designed to enhance the perception of the Corridor as experienced from an automobile and as a pedestrian. Private improvements would appear to be guided by a common vision and work together to make the Corridor a positive and unique entrance to Burnsville. THE BENEFIT (To be added) • 12 E. CITY OF APPLY VALLEY LAND USE STUDY UDY (information taken from Land Use Study Final Staff Report May 17, 1989) THE PROJECT The Staff Report consists of recommendations to the Planning Commission and City Council regarding the conflicts along the city's 415 acre corridor between Pennock Avenue on the west and Garrett Avenue on the east. The study of potential land uses within the corridor included a review of the soils, vegetation, utilities, street systems, topography, existing land use, zoning, and comprehensive plan designations. Within the 415 acres of the corridor, Apple Valley identified 10 separate areas where the zoning and the comprehensive plan were not consistent. As is the case for Mounds View, the residential districts in Apple Valley included some type of detailed landscaping and buffering along the corridor right-of-way to reduce sight and sound of the freeway and to create a more appealing entrance into the community. II) THE BENEFITS • If allowed to developed to the fullest extent of the zoning code, over 250,000 square feet of retail and/or limited business office space could be developed within the corridor. • It is anticipated that any of the three proposals (comprehensive plan, or zoning as per staff recommendations) would generate between $53 million and $58 million in new development. • Utilizing the largest development amount, it is estimated that approximately $1.5 million in new property taxes would be districted to the School District, whereas approximately $375,000 (25%) would be distributed to the County for its services. The remaining $300,000 (21%) would be distributed to the City to pay for the services it provides. • School district statistics illustrate that with higher income apartment and commercial development, the school district does not receive many new school children. It does, however, continue to receive 54% of the new taxes generated. • Future lands uses included 30% of the vacant land will be used for single family development, 32% of the area would be developed for townhouses or lower density townhouse projects, and 17% of the site would be developed as higher density apartment • 13 sites. The remaining 22% of the site would be development for neighborhood retail and 11/ office uses. • Based on this combination of uses, the estimates number of new dwelling units would exceed 600 units, the new residents could exceed 1400, and the number of children within the study area may exceed 350. • Park land needs for the 135 acres of development could exceed 10.7 acres. Land dedicated for ponding area could range from 6 to 7 acres, if needed. F. THE CITY OF WHITE BEAR LAKE DOWNTOWN WEST REDEVELOPMENT (information taken from RFP, April 1995) The City of White Bear Lake has experienced significant growth in development. Over the next five to 10 years, as vacant land is developed, redevelopment will become a key element of the city's strategy to maintain a viable and exciting community. As a result, the City of White Bear Lake created the Downtown West Concept Master Plan. When completed, the 10.3 acre redevelopment project will be a coordinated mixed-use development consisting or retail, office, dining, entertainment and housing. White Bear's tax increment finance plan enables the city to ensure site control of the entire project. Several properties are now on the market and may be acquired without city assistance. The city will, however, consider assisting in the acquisition of these properties as well as other properties not presently on the market, but within the redevelopment project area. To enhance this project, the city may use tax increment bonds to assist with the redevelopment if necessary. BENEFITS • Approval for Main Street Crossing. 100,000 sq. ft. Retail/Office space that will generate 1.7 million in taxes and create 100 jobs. G. CITY OF CHANHASSEN ESTABLISHMENT OF HIGHWAY CORRIDOR DISTRICTS to the Chanhassen City Code (information taken from Ordinance No. 212) THE PROJECT Highway 5 corridor represents the heart of Chanhassen as well as its dominating image of those passing through the community. The development of the corridor and within the corridor 4110 14 • will be major factors influencing the visual and environmental quality of the community as a 0 whole. The purpose of Chanhassen District's is to create a unified, harmonious, and high-quality visual environment throughout the corridor, thereby identifying it as a special place with a unique identity within both the City and the Twin City region as a whole. The districts also creates the purpose to foster a distinctive and positive community image, for the City as a whole and especially for the Highway 5 Corridor, which functions as the City's main entrance. THE BENEFITS • Universal landscape design and site furnishing standards to all new and renovated buildings within the district. • The landscaping shall emphasize massing of plant materials over isolated or scattered placement of individual specimens. • All building components shall have proportions that relate to the facade of the building and relate well with one another. • Colors shall be harmonious. Bright brilliant colors and sharply contrasting colors may be • used only for accent purposes. H. EXCELSIOR BOULEVARD (STREETSCAPE MASTER PLAN) CITY OF ST. LOUIS PARK (information taken from Streetscape Master Plan, April 1995). THE PROJECT The City of St. Louis Park has recognized the lack of focus to the community such as a "Main Street." Excelsior Boulevard has long been identified as a potential Main Street for the city. The Boulevard has evolved from one of the original vehicular links between Minneapolis and western suburbs, into a contemporary auto-oriented commercial artery. Excelsior Boulevard serves many purposes within both the region and City being a community link, major roadway, gateway, mixed-use commercial district and regional landmark, and a working main street. 15 • 11111 BENEFITS • Create a streetscape that improves the image and reinforces the unique qualities of Excelsior Boulevard; Integrate the functional needs to move the traffic with safety and aesthetic needs to creating a comfortable pedestrian environment; attract more and better businesses to the corridor; and make the corridor a special, positive feature of the community. I. CONCLUSION A part of each plan can be identified with the situation of Highway 10 in Mounds View. Reviewing the positive and negatives of each plan allows Mounds View to incorporate proven plan aspects as we move ahead on creating a cohesive "Highway 10 Plan." X. PUBLIC PARTICIPATION One of the key reasons for undertaking community outreach activities is simply to deter negative sentiments of local citizens. The critical goal is to prevent opposition and to create support; any supportive action that results is simply a desirable secondary effect. Three primary factors cause community opposition to development projects: lack of • adequate information, fear of being ignored, and conflict of goals. Mounds View residents have been informed on the redevelopment of Highway 10 through FOCUS 2000 reports. Lack of involvement can be resolved through public participation. This has been done with FOCUS 2000 but further public participation is recommended as the process moves forward. Traditional forms of public information include fact sheets, bulletins, newsletters, direct mail pieces videos, etc. In additions, presentations such as open-door workshops or broad community meetings are often set up to disseminate public information. Unfortunately, these events can create a forum for potential opponents to meet each other and to hear each other's complaints. There are several ways to communicate how a project will look or how a development will affect views. It has been proven that computer modeling, comparative architectural elevations, or mock-up "story poles" shown in the height of a proposed project can dispel fears about impacts more effectively than general promises or reassurances. Apple Valley and Roseville used these techniques to gain consensus on redevelopment plans. Visual aids such • 16 as slides, photos, renderings, videos or models can help residents understand that the property • currently holds relatively little environmental value, but with redevelopment the value is greatly enhanced. XI, CONCLUSION: HOW SHOULD THE CITY OF MOUNDS VIEW PROCEED? • Present and gain approval by the EDA of the proposed designated areas of redevelopment drafted by the Highway 10 Subcommittee and reviewed by the EDC. • Upon approval of the concept, develop visual aids, renderings, etc. to portray the possible benefits of redevelopment of Mounds View's Highway 10 proposed plan. • Hold public forums and develop interest groups to gain consensus of the proposed plans. • Work with the groups and incorporate reasonable and achievable consensus. • Once the consensus process in achieved, market the proposed areas of development to area developers for more concrete plans. 0 17 • Minutes of the Economic Development Commission City of Mounds View • Ramsey County, Minnesota Regular Meeting September 28, 1995 City Hall 2401 Highway 10, Mounds View, MN 55112 1. Call to Order: The meeting was called to order at 6:00 p.m. by Chairperson, Phil Seipp. 2. Roll Call: Members present were as follows: Rosemary Goff, Mark Malone, Delane Welsch and Phil Seipp. In addition, Economic Development Coordinator Cathy Bennett and EDA liaison Sue Hankner were present. EDC Members Peg Mountin, Dan Nelson and Ron Schmidt were absent. 3. Approval Of Minutes: Motion/Second: Goff/Malone moved approval of Minutes of August 24, 1995 Meeting. Motion Carried 4 ayes 0 nays 4. Special Business Presentation on the Metropolitan Livable Communities Act Coordinator Bennett reported that Joanne Barron from the Metropolitan Council called to cancel due to personal business that brought her out of town. The item will be moved to the October agenda. 5. A. Consideration of TIF Funds for Housing Loans Coordinator Bennett reported that the City met with attorney regarding the use of TIF for a housing loan program similar to the business loan program. Unfortunately Tax Increment Law does not allow the use of Tax Increment for interest reduction on single family owner occupied properties. Staff is evaluating other programs and will bring a program back to the EDC for consideration upon Council's direction regarding policy issues. B. Discussion of Updating Mounds View's Economic Development Plan Coordinator Bennett passed out the last version of the Mounds View Economic Development Plan approved in April of 1986. As part of the EDC's work plan the task of updating the Plan should be started in 1995. Coordinator Bennett also reported that the EDC should consider • striving for Minnesota Star City Status as part of the updating process. The Star City Program is an economic development planning process which includes community data gathering, survey 1 of businesses and developing an economic development plan and marketing program. Bennett noted that Mounds View has completed most of the process to become a star city with the • exception of updating the Economic Development Plan and developing a promotional video. Bennett reported that the City has funds set aside for the promotional video. Chairman Seipp suggested that we work on a resolution to pursue the star city process and directed staff to gather more information on the process. Coordinator Bennett suggested we invite a representative from DTED to discuss the requirements for the program at the next meeting. Chairman Seipp asked to have a list of those cities that are already star cities. C. Update on Highway 10 Corridor Redevelopment Coordinator Bennett reported that Administrative Aide Lynnette Morgan was working on a report as part of her internship regarding the importance of redevelopment to a City. Coordinator Bennett presented an outline of the report for EDC's comment. Coordinator Bennett explained that a draft report will be presented to the EDC in October followed by a presentation to the EDA in November. If all goes as planned public forums to gain consensus for the program will begin in January. Commissioner Welsch asked what was the format of the public forums and suggested we review the format used by the entities that have been designed to discuss the future of the arsenal project. In addition, Commissioner Welsch offered to contact the U of M regarding assistance with the program. Chairman Seipp suggested we mail an invitation to the public in the next newsletter regarding public participation. Coordinator Bennett said that the City put a special attachment in the newsletter when they were looking for participants in the Focus 2000 Process which proved to be very effective. D. Consideration of Establishina a Loan Committee Coordinator Bennett reported that, at the recommendation of Mark Malone, that the EDC • should consider establishing a loan committee made up of at least four commission members. The committee could be referred to within a weeks notice to discuss a loan application and make a recommendation to the EDA for approval/denial. This will allow requests to be reviewed in an expedient manner. Motion/Second: Welsch/Goff moved approval of Resolution to Establish a Loan Committee Motion Carried 4 ayes 0 nays D. Consideration of Business Improvement Loan for Mister Donut Coordinator Bennett presented information for consideration of a loan for Forcia, Inc. owners of Mister Donut in Mounds View. Coordinator Bennett reported that the business will be completely improved both on the interior and exterior and the product line will be expanded to include bagels, soup, sandwiches, cakes and ice cream. Bennett noted that Western Bank has reviewed the financial statements and feels that the City's participation is the only way this loan would be approved. The financial reports show a turn toward positive growth and that Western still needs to finalize approvals that current loans are current and there were no defaulted payments. Coordinator Bennett reported that the project conforms with the goals of the program to the fullest. Alternate Liaison Quick reported that even if there was a default on the loan that the property would be improved and more marketable than it is now. Several members reviewed the information and after all questions were satisfactory answered Commissioner Goff made a motion for approval. • 2 Motion/Second: Goff/Welsch moved approval of Resolution 95-EDC-11 Recommending Approval of Small Business Loan to Forcia, Inc. • Motion Carried 4 ayes 0 nays Reports From Chair, Commissioners and Staff: Commissioner Malone reported that he was no longer with Western Bank in Mounds View therefore suggested he resign from the EDC. Commissioner Malone thanked each member for an enjoyable year on the Commission and suggested that the members recommend a member from the bank to continue to participate on the Commission. 7. Adjournment There being no further business before the Commission, this meeting of the Economic Development Commission adjourned at 7:07 p.m. Respectfully Submitted, . / Economidfelopment Coordinator i. • 3