HomeMy WebLinkAboutMINUTES EDA 06.20.17MINUTES FOR THE EDA MEETING OF JUNE 20, 2017
Weidt called the meeting to order at 5:02 pm.
PRESENT: Denaway, Gallivan, Houle, Klein, Petty, Weidt.
ABSENT: Puleo
STAFF: Bryan Bear, City Administrator
Rachel Juba, Planner
Sarah Rumppe, Community Development Intern
APPROVAL OF MINUTES FOR THE EDA MEETING OF March 21, 2017
Klein made a motion, Gallivan seconded, to approve minutes for the EDA meeting of March 21, 2017.
All Ayes. Motion carried.
APPROVAL OF MINUTES FOR THE EDA MEETING OF MAY 16, 2017
Klein made a motion, Houle seconded, to approve minutes for the EDA meeting of May 16, 2017.
All Ayes. Motion carried.
DISCUSSION ON URBAN LAND INSTITUTE (ULI) WORKSHOP
Juba gave a recap of the ULI workshop. Juba discussed how the feedback from the workshop relates to the
comprehensive plan. Before opening the discussion to the EDA, Juba stated a focus on communication will be
important when working with developers.
Klein noted feeling surprised by companies in which are may not provide wages high enough to support living
in Hugo.
Denaway discussed the difficultly of attracting development in Hugo. "There is a story here that is not being
told", he stated. Denaway expressed the belief that development is not seeing the potential in Hugo because
quick drive-by tours or demographic studies fail to tell the City's story. He urged the importance of finding
ways to tell Hugo's story to the development community.
Houle noted there is a difference between understanding the community's demand for commercial services,
versus the considerations of developers. Houle stated development may be more successful if the city puts
itself in the mindset of the developers, and markets from that position.
Petty stated the ULI's suggestion not to force development is conflicting, because it seems the city needs to
actively market to developers, rather than wait for them to come on their own.
Juba noted the market is evolving, and modes of buying and selling are transitioning away from traditional
retail models.
Bear questioned how the city should position itself for economic development if the market is changing. He
stated Hugo is not overcrowded with retail, which may be an advantage if the market is changing. Bear noted
commercial spaces built from now on will likely be different from what was built before. Bear eluded to Hugo's
opportunity to develop towards a new retail model, instead of building something the market may be
abandoning.
Bear noted the large number of medical businesses in Hugo, which have a number of well paid employees who
create a daytime population. He also noted the daytime population provided by construction workers, although
temporary, creates a notable customer base developers should consider.
Denaway stated Bear's comment is an example Hugo's story that is not being told.
The EDA discussed frustration about the lakeside property across the street, which is failing to attract
development.
Petty stated the food trucks may have the biggest advantage, because they can serve the flexible daytime
consumer base, without having to build on the land.
Houle opened discussion about what the future of retail may be.
Bear stated the retail model of a big store with a lot of stuff to buy may be dying out, and retail may become
experience based.
Klein stated even if traditional model dies out, people will still be buying things, thus manufacturing will
remain. Klein suggested a move towards manufacturing may be a good route for development.
UPDATE ON RAIL LINE
Bear summarized the Twin Cities Business article about the short line rails. Bear discussed the high level of
involvement and support from the White Bear Chamber and many rural legislatures. Bear stated the support
came from the chamber's recognition of interdependencies between businesses connected to short line rails.
Bear stated the approved bond will be allocated through MNDOT and go straight to the railroad, despite
Hugo being listed as the recipient.
Weidt and Houle agreed this case sets a strong and positive precedent for the importance of short line rails in
preserving jobs across the state and region.
UPDATE ON WASHINGTON COUNTY ECONOMIC DEVELOPMENT
Bear updated Washington County's move towards branding themselves as "East Metro" rather than
"Washington County". He stated this is a part of a finalizing marking strategy in Washington County,
because "East Metro" is more relatable.
Bear updated Washington County will be featured in the Twin Cities Business Magazine, and told the EDA
there is an opportunity to advertise in the article.
Bear also gave an update on The Open to Business program, which will begin in July.
Weidt asked the EDA they are interested in advertising in the magazine.
Bear stated the decision is open.
Petty noted this may be a unique publication for the city to participate in.
Bear stated he expects the audience will be generally the same to previous marketing efforts.
Houle stated the chances of a positive return seem slim
Weidt stated this is an expensive opportunity, but an interesting one.
Klein stated participation in the ad could show Washington County Hugo is on board with its efforts, and
could portray the city in a positive light.
The board voted
Klein motioned for a full page ad for a total of $5,000 in the Twin Cities Business Magazine. Weidt
seconded. Roll call vote:
Aye: Gallivan, Klein, Petty and Weidt
Nay: Denaway and Houle
Motion carried.
UPDATE ON DOWNTOWN REDEVELOPMENT
Bear opened the discussion with feedback from the ULI workshop, which highlighted the lack of a drug store
in Hugo despite the city's abundance of medical services. Bear updated interest has been expressed by drug
store developers, who seem to prefer to locations along HWY 61.
Bear also stated restaurant developers have been showing more interest in Hugo. Finally, Bear updated the
EDA on Xcel Energy's plan to expand its training facility. Bear stated the timeline of the project is dependent
on energy sales over the coming years.
Weidt asked for an update on the O'Reily development.
Bear stated the property owners seem to have put things on hold, which may be due to cost and development
conditions.
Bear updated the city will be working this summer to connect with property owners and develop an inventory
of the status and desires for their land.
Houle opened discussion about what types of projects have shown interest in the downtown property.
Bear stated many excited developers have toured the property, but it has been difficult to find developers with
enough experience to execute their ideas.
ADJOURNMENT
Klein made a motion, seconded by Houle, to adjourn at 6:23 pm.
All ayes. Motion carried.