HomeMy WebLinkAbout01.19.16 EDA PacketAGENDA
CITY OF HUGO
ECONOMIC DEVELOPMENT AUTHORITY
Tuesday, January 19, 2016
5:00 PM
5:00 pm 1. Cali to Order
5:01 pm 2. Roll Call (Denaway, Gallivan, Houle, Klein, Petty, Puleo, Weidt)
5:02 pm 3. Approval of Minutes
• EDA Meeting of December 15, 2015
5:03 pm 4. Discussion on 2016 Goals
5:30 pm 5. Update on Washington County Economic Development Efforts
5:45 pm 6. Update on Downtown Redevelopment
6:00 pm 7. Adjournment
BACKGROUND MEMO FOR THE EDA MEETING OF
TUESDAY, JANUARY 19, 2016
3. APPROVAL OF MINUTES
Staff recommends approval of the minutes from the December 15, 2015, EDA meeting as presented.
4. DISCUSSION ON 2016 GOALS
At its December meeting the EDA discussed the goals for 2016. Staff has prepared the goals for the
EDA's review. Staff recommends the EDA review the goals, make recommendations for any revisions,
and approve the goals. The goals will be considered by the City Council at its February 8, 2016, goal
setting workshop.
5. UPDATE ON WASHINGTON COUNTY ECONOMIC DEVELOPMENT EFFORTS
Staff will update the EDA on the progress Washington County has made in implementing its Economic
Development Strategic Plan.
6. UPDATE ON DOWNTOWN REDEVELOPMENT
Staff will update the EDA on downtown redevelopment.
MINUTES FOR THE EDA MEETING OF DECEMBER 15, 2015
Chair Weidt called the meeting to order at 5:04 pm.
PRESENT: Denaway, Gallivan, Houle, Klein, Petty, Weidt.
ABSENT: Puleo.
STAFF: Rachel Juba, Planner
Bryan Bear, City Administrator
Rachel Leitz, Community Development Assistant
APPROVAL OF MINUTES FOR THE EDA MEETING OF NOVEMBER 17 2015
Klein made motion, Gallivan seconded, to approve minutes for the EDA meeting of November 17, 2015.
All Ayes. Motion carried
DISCUSSION ON MARKETING OF CITY -OWNED PROPERTY
Juba provided the EDA with the background summary of the parcels the City owns and the process the
City has went through in marketing the properties for redevelopment. This summary included the
approved development criteria, the meeting with the St. Paul Port Authority, creating a summary of
financing options, putting together a marketing brochure and flyers, reaching out to brokers, and
meeting with interested parties. Juba stated that staff would like to have a conversation with the EDA
regarding future marketing of the City -owned property. She listed three potential options that the EDA
could consider: Staff to continue to market the property while attending more commercial broker events,
to contract with the St. Paul Port Authority for brokerage or consulting services, or to pursue another
path.
Commissioner Petty asked if staff knew how long of a contract is required if a brokerage firm was
brought in for support.
Juba stated had received a sample agreement that she can look over, but believes the contract length
could be negotiated.
Commissioner Petty stated that she liked the idea of a concept plan being put together for the property,
but isn't sure how long such a thing would take and how much money that would cost.
Juba reminded the EDA that the City does have a few concept plans for this site already prepared.
Commissioner Denaway stated that he would like to see a brokerage service utilized in marketing the
property. He stated that the City could potentially change the cost of the property to something similar
to $1.00 plus the commission fee, which would cover the 5-7% commission fee the St. Paul Port
Authority would charge. Denaway described that the broker the City previously hired didn't give the
City the results that were wanted so then staff gave it a try and now it may be time to go back to finding
a broker. Denaway stated that he didn't believe the City was losing anything, especially if the property
didn't sell.
Chair Weidt asked staff if people are looking for properties in the winter or if this is a discussion that
should occur in the spring.
Juba stated that it is hard to say. She said that developers do look to plan properties in the winter for
spring start-ups, but that it's difficult to guess what could happen with this property.
Commissioner Klein believed that the EDA and City need to remain patient and keep marketing the
property in the way that staff has been since last May.
Commissioner Gallivan agreed with Commissioner Klein that everyone needs to be patient through this
process and that staff should continue to market the property.
Juba stated that the City could try a combination of options, which could include staff time and
consulting time with the St. Paul Port Authority.
Klein made a motion to have City staff continue with the marketing of the City -owned property with an
emphasis on attending more commercial broker events, seconded by Petty.
Chair Weidt asked the EDA if there was any further discussion on the topic and stated that he would like
staff to update the EDA on the marketing of the property in April or May.
Commissioner Houle stated that his opinion is to list it with a broker. He said that the broker doesn't
have to be the St. Paul Port Authority, but he believes the property should be actively marketed and
promoted. He agreed with Commissioner Denaway that the City would not lose anything if the property
didn't sell.
4 ayes, 2 nays. Motion carried.
UPDATE ON DOWNTOWN REDEVELOPMENT
Juba described the projects that the EDA has been involved in for 2015. These projects included Hugo
Good Neighbor Food Shelf, Keystone Place at LaValle Fields, O'Reilly Auto Parts, the New Life
Church building addition, the Hugo Equipment building addition, Park Dental, and DigniCare Senior
Living and Memory Care.
2016 GOAL SETTING
Juba stated that each year the City Commissions and City Council adopt goals. The adopted goals are
very important to the staff as they help prioritize work over the year. Juba directed the EDA to look at the
goals that were set for 2015 and asked if they had any suggestions for new goals or wanted to take some
goals off the list.
Commissioner Petty stated that encouraging the extension of high speed internet throughout the City
should be added as a goal.
Bear believed that was a good goal, as staff has continued to update the EDA on broadband internet. He
said that this issue has been talked about as an economic development issue, especially related to home
businesses or those whom are employed and work from home or would like to in the future.
Chair Weidt stated that the EDA and City staff have already developed a strategic plan to market the City -
owned property, so therefore the goal should be changed to read "Continue strategic plan to market the
City -owned properties in downtown."
Chair Weidt stated that the goal of continuing to not charge park dedication fees for commercial and
industrial developments may be taken off the goal list since that was talked about last year and established.
He also stated that Staff has become members of EDAM, so that could be taken off the list.
Bear asked if it would help if the City brought in other groups or people to talk to the EDA about marketing
of properties, bringing businesses into a City, and any other topics they would be interested in.
The EDA agreed that they would like to hear from some groups since the City is continuing to grow.
Bear stated that it may be good to keep a goal to continue to develop relationships with economic
development associations and participate in some of their programs.
The EDA agreed that it would be a good goal and would also relate to some of the commercial broker
events and groups that may come up in marketing the City -owned property.
Chair Weidt stated that he would like to add that the EDA encourage moving forward with installing City
entrance monument signs. He believes that this will help greatly with the goal of creating or enhancing
the City identity.
ADJOURNMENT
Weidt made a motion, seconded by Klein, to adjourn at 6:26 P.M.
All ayes. Motion carried.
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Rachel Juba
From: Bryan Bear
Sent: Thursday, January 14, 2016 4:13 PM
To: Rachel Juba
Subject: FW: Proposed Legislation to Add EDA Powers to Washington County HRA
Attachments: 2014 5-6 Final Washington County ED Strategic Plan.pdf
From: Melissa Taphorn [mailto:MTaphorn@wchra.com]
Sent: Thursday, January 14, 2016 1:53 PM
To: Aaron Parrish <Aaron.Parrish@ci.forest-lake.mn.us>; Bart Fischer <bart.fischer@ci.oakdale.mn.us>;
townclerk@denmarktownship.org; Bryan Bear <BBear@ci.hugo.mn.us>; Mike Anderson
<mike.anderson@cityofbirchwood.com>; clerksmp@comcast.net; lakelandshores@gmail.com;
cgridley@ci.woodbury.mn.us; clerk@baytowmmn.org; dhill@newportmn.com; eshukle@cityoflandfall.com;
townclerk@greycloudislandtwp-mn.us; cstevens@cottage-grove.org; eajohnson@cityofoakparkheights.com;
dellwoodcityhall@comcast.net; 'Karen Pirozzoli' <cityofpinesprings@juno.com>; 'Kathy Schmoeckel'
<Kathy.Schmoeckel@stillwatertownship.com>; 'Kevin Walsh' <kwalsh@stpaulpark.org>; 'Kim Points'
<clerk@cityofgrant.us>; 'Linda Klein' <Ilklein65@hotmail.com>; 'Logan Martin' <Imartin@ci.bayport.mn.us>; 'Lynette
Peterson' <mosc@midconetwork.com>;'Sandie Thone' <cityoflakeland@comcast.net>; Scott Neilson
<SNeilson@ci.mahtomedi.mn.us>;'Stephen Ebner' <srebner58@gmail.com>;'Sue Schuler' <sschulerlscb@comcast.net>;
'Susan Agrimson' <townclerk@westlakeland.govoffice2.com>;'Tom McCarty'<tmccarty@ci.stillwater.mn.us>;'Vicki
Keating'<vkeati ngl @comcast. net>; 'Melanie Mesko Lee' <MMesko_Lee@hastingsmn.gov>; Clark Schroeder
<CSchroeder@lakeel mo.org>; n.soltis@ci.scandia.mn.us
Cc: Barbara Dacy <BDacy@wchra.com>; Kevin Corbid <Kevin.Corbid@co.washington.mn.us>
Subject: Proposed Legislation to Add EDA Powers to Washington County HRA
In 2014, Washington County developed an Economic Development Strategic Plan (attached) with the help of a work
group consisting of city economic development practitioners and community representatives. The Plan defines the
County's role in economic development, establishes guiding policy principles, and identifies specific strategies and
goals. In 2015, the County Board determined the Washington County Housing and Redevelopment Authority (NRA) to
be the best organizational structure responsible for county -wide economic development activities.
We would like the opportunity to inform you as administrators, managers and clerks about the next steps in the
county's economic development effort, including information about hiring an Economic Development Director and draft
legislation to amend the HRA existing enabling law to add economic development powers. It is the HRA's intention to
bring the proposed bill to the 2016 legislative session. The informational meeting will be at 2:00 pm, Thursday, January
21st at the HRA's office building (7645 Currell Boulevard in Woodbury). I will follow up with a meeting invite.
We would also appreciate your feedback and discussion to ensure, through this change, that the HRA continues to help
your communities thrive.
Thank you,
Melissa
a
Melissa Taphorn I Deputy Executive Director
7645 Currell Boulevard, Woodbury, MN 55125 1 (651) 202-2821 1 www.wchra.com
This message is intended only for the recipient named above, and may contain information that is confidential or protected by law. If you receive this message in error,
please notify the sender immediately at 651-458-0936, and delete the message. The Washington County Housing and Redevelopment Authority is governed by the
Minnesota Government Data Practices Act. Email will be treated in the same way as written communications under the Act, and, except as protected by law, mai be
available to the public upon request.
Wa�b�gton
ii
Washington County Board of Commissioners
Economic Development Strategic Plan
May 6, 2014
Economic Development: A Washington County Strategic Initiative
I. l ntrod ucH6
What is Economic Development?
Economic development has different meanings to different people. The County Board believes
the International Economic Development Council (IEDC) definition is appropriate for
Washington County's unique mix of social, geographic, political and economic qualities:
No single definition incorporates all of the different strands of economic development.
Typically economic development can be described in terms of objectives. These are most
commonly described as the creation of jobs and wealth, and the improvement of the quality
of life. Economic development can also be described as a process that influences growth and
restructuring of an economy to enhance the economic well-being of a community.
The main goal of economic development is to improve the economic well-being of a community
through efforts that entail job creation, job retention, tax base enhancements and quality of life.
As there is no single definition for economic development, there is no single strategy, policy or
program for achieving successful economic development in Washington County. Thus the plan
laid out in this document is developed from a comprehensive and broad-based perspective.
Through implementation of this strategic plan the County anticipates achieving the following
short-term goals over the next 1-2 years:
1. Establish a single point of contact for economic development within the County
government.
2. Update County tax -increment financing and tax abatement policies.
3. Incorporate economic deNelopment impacts and considerations into county decision
making.
4. Expand County role in marketing the County.
5. Establish working relationships with state, regional, and local entities working on
business retention and growth within the County.
6. Convene practitioners and other stakeholders to address barriers and opportunities and to
encourage free flowing communication.
7. Assert a stronger voice at the legislature in advocating for sound economic policies and
authorities.
This document presents the draft of an Economic Development Strategic Plan for Washington
County, Minnesota. The Strategic Plan consists of the following nine sections.
Section I
Introduction
Section II
Planning Process
Section III
Washington County's Economy
Section IV
County Mission., Vision and Goals
Section V
Policy and Principles
Section VI
Strategies, Outcomes, and Structure
Section VII
Implementation
Section VIII
Appendices
The Washington County Board engaged Springsted, Incorporated to prepare a Washington
County Economic Development Strategic Plan. The plan focused on the following two elements:
1) Recommend an appropriate expanded role for Washington County including recommending a
viable structure for carrying out that role; and 2) Develop high-level strategies for encouraging
economic development within Washington County. The County spent considerable time this past
year engaged in discussing its role in economic development. The County Board conducted three
formal work sessions to discuss ideas, options and opportunities. Feedback was provided to the
staff and consulting team to move forward with developing a plan based on the direction from the
County Board.
Economic Development Work Group
An Economic Development Work Group supported the planning process by bringing a wealth of
knowledge and experience to the process and providing important local perspectives to the
discussion. The Work Group is comprised of economic development practitioners in Washington
County from municipal governments and public agency partners such as the Housing and
Redevelopment Authority. Members of the Work Group represented a cross section of roles and
responsibilities including a mayor, city administrators, assistant city administrators, planners, and
community development directors.
The economic development study pursued two simultaneous tracks: a community engagement
process and data analysis initiative. A brief summary of each follows:
Data Collection
Springsted retained the services of the University of Minnesota Extension Office to collect,
organize and analyze Washington County economic data to develop an understanding of the
current status of the economy in Washington County. Two formal presentations were held on the
2
data: Washington County -- Economic Overview (September 2013) and Washington County's
Economy and Selecting Industries for Further Analysis (November 2013). Copies of both
presentations are on file in the County's Office of Administration. Five of the most essential
findings that might have an immediate policy implication are identified in Section III.
Community Engagement
The County Board directed that a broad reaching community engagement process be undertaken,
including: 1) Interviews and listening sessions with elected officials and other key stakeholders
uxithin the community of interest; 2) Gather input from every city; 3) Presentations/discussions to
organized groups such as Economic Development Authorities, Chambers, Business Development
Commission's; and 4) Facilitated sessions with key stakeholders within a community of interest
to identify issues and create the strategic plan. A summary of the stakeholder input is included in
the Appendix.
Cll. Washington Cnnnty's Economy
The data presented by the Minnesota Extension Office offered a clear picture of the Washington
County economic conditions. A summary review of economic data for Washington County finds
that the County's economy is healthy.
• Washington County is a competitive, job creating economy. The county has experienced
steady and strong growth in the number of jobs and weathered the recession well.
Washington County had 80% employment growth from 1990-2012 adding 32,000 new
jobs. The number of jobs in 2012 nearly rebounded to pre -recession levels of 74,000
total jobs.
• Washington County competes very well within the region and the Twin Cities economy.
Businesses in Washington County added 24,000 more jobs than would have been
expected given national and industry trends.
• Washington County is especially competitive and has significantly more jobs in
comparison to neighboring counties in Wisconsin. Washington County's employment
growth rate exceeded or was on par with neighboring counties in Wisconsin. Washington
County maintains a competitive share of employment growth compared to St. Croix
County except for manufacturing where St. Croix County has a modest growth
advantage.
• Washington County is a service -based economy. Washington County's top five largest
sectors of employment are Trade (16%): Professional and Business Services (16%);
Education and Health Services (14%); Leisure and Hospitality (12%); and Government
(13%).
• Wages at jobs in Washington County are low, incomes primarily from jobs outside the
County are high, and housing is expensive; these trends make affordable work force
housing an issue for county leaders.
3
TV. Cotiax y Mission, Vision and Goys
The economic development philosophy, policies and plan are derived from the County's overall
Mission, Vision and Goals.
Mission
Providing quality services through responsible leadership, innovation, and the cooperation of
dedicated people.
Vision
A great place to live, work and play ... today and tomorrow. .
Goals
Washington County has four principle goals:
To promote the health, safety, and quality of life of citizens
• To provide accessible, high-quality services in a timely and respectful manner
• To address today's needs while proactively planning for the future
To maintain public trust through responsible use of public resources, accountability, and
openness of government
The economic development strategic plan is but one supporting activity which allows the County
Board and staff, cities and public agencies, and the business community to pursue the mission,
achieve the vision and accomplish the goals.
Economic Development Role
The following statement from Washington County's 2030 Comprehensive Plan defines the
county's current role in economic development:
Washington County's core functions foster an environment where commerce can
develop and thrive. The County contributes to a robust business climate by
providing well-planned, essential infrastructure; maintaining a low tax rate; and
assisting in creating an ample pool of skilled employees. The county strives to
maintain the right blend of county services to support a vibrant business sector,
be it transportation and transit services, public safety, health and human services,
corrections services, workforce housing, or other public services. The county is
committed to stewardship of cultural and natural amenities such as land and
water resources, parks and open spaces, and libraries which contribute to a high
quality of life for business owners and their employees and families. The
county's efforts in workforce development provide skilled employees that enable
companies to be competitive and successful in the local, regional and global
economies.
4
The foundation of this Strategic Plan is the policy and guiding principles that drive the strategies
and goals of the County. The following policy statement and six guiding principles define the
County's economic development planning efforts. These guiding principles are relevant for the
present economic environment and are subject to review and change on a periodic basis.
Economic Development Policy Statement
It is the policy of the Washington County Board of Commissioners to strengthen the County's
role and increase its support of economic development in the County. The County will invest staff
time and financial resources in a planned, coordinated and strategic manner and will engage in a
collaborative and holistic approach to economic development. The County's policies and actions
will be guided by six principles.
Economic Development Guiding Principles
The following principles are not in rank order of importance.
• The private sector is the lead that drives the economy
o The County will work in partnership with the private sector
• The County will not duplicate or replace the work of cities and other public agencies
o The County will work in collaboration with cities and public agencies and will
provide leadership where the County can make the most difference
The County supports a strong collaborative approach to economic development
o No matter the location, economic development is a benefit to the entire county
o Support efforts to ensure a highly skilled workforce and adequate workforce
housing
Business attraction and business retention are essential policy objectives
o A balanced approach to pursue each of the two policy areas is required
• The diversity of the County requires an adaptable and open-minded approach
o The distinctive qualities of the County require flexibility
• A deliberate, purposeful and strategic plan is required
o The County will take careful and prudent risks to pursue its objectives guided by
clear outcomes, and consensus -based policies
Economic Development Outcomes
The County Board has seven outcomes for this Strategic Plan:
1. Retain a premier quality of life for all of residents
2. Create and sustain living wage jobs across all employment sectors
3. Expand the County's property tax base
4. Be a value-added partner to other public and private agencies
S. Allocate appropriate staff time and resources
6. Affect public policy issues that impact the County's economy
7. Expand the County's knowledge and experience in economic development
5
The Strategic Plan provides a realistic and practical road map for the County. It guides the
county leaders and allows them to focus on the most important economic development priorities.
Furthermore it directs staff time and financial commitments to those activities that support the
County's mission, vision, and goals. Ultimately when the plan is underway and the County has a
solid foundation, it will improve accountability and the capacity to measure performance and
outcomes.
Economic Development Strategies
Strategies are essential public policy priorities that precede goals and action steps. Typically they
are long-term in nature and are fairly constant in their intent and pursuit. The optimal way to
introduce strategies is through the eight functional economic development categories that
emerged from the stakeholder input process. The eight categories reflect the marketplace of
opportunity for the County and general consensus is to use these designations as the foundation
for the strategies. The strategies are not ranked in order of importance. 1
Each strategy is followed by one to four goals. Goals are a measurable and desired activity,
project or purpose that requires resources (time and/or money). Action steps are individual steps
and activities necessary to implement a goal, accomplish a strategy, operationalize the mission
and fulfill the vision. Specific action steps are continuously evolving and changing as they are
completed. The role of local government in economic development must be viewed in both a
short and long term perspective. In this, Washington County's first economic development
strategic plan, the focus is on short-term actions that support and sustain a long-term investment.
As the County's role becomes more secure and established the goals and actions steps will evolve
and change. The goals are focused on a one -three year timeframe. This does not prohibit or
discourage the County from snaking changes and adjustments throughout the year.
1. Washington County is responsible for many core functions that contribute to a premier
quality of life that is important to business growth; economic development resources and
investments will advance and support the high standard of living in the County.
2. Washington County recognizes that economic development requires a strong
infrastructure foundation built on multi -modal transportation networks and access to
high-speed broad band networks.
3. Washington County uses economic development financial incentives in a fiscally prudent
manner.
4. Washington County realizes that success in economic development is only achieved
through a collaborative and inclusive process.
5. Washington County understands that other county -based services impact economic
development goals and economic growth, including but not limited to, transportation and
housing policies and programs.
6. Washington County provides leadership and initiative to shape regional and state-wide
policies to support county -wide economic development goals.
1 For additional information and details on each strategy please read the December 12, 2013 and January 28, 2014 County
Board documents.
6
7. Washington County supports the value and importance of economic development
marketing and branding for existing business retention and growth and new business
development.
8. Washington County partners with other public and private agencies to pursue economic
development goals.
There are 21 identifiable goals. The Goals are not listed in any priority order or ranking.
Priorities are established by the letter assigned to each. The ranking is as follows:
Letter A One to Six Months
Letter B Six to Eighteen Months
Letter C Eighteen Months and Longer
1. Washington County is responsible for many core functions that contribute to a premier quality of life
that is important to business growth; economic development resources and investments will advance
and support the high standard of living in the County.
Work plan...
2. Washington County recognizes that economic development requires a strong infrastructure foundation
built on multi -modal transportation networks and access to high-speed broad band networks.
Work plan...
1. Explore public-private partnerships to ensure access to high-speed broad
1. Designate a county staff member to be the point of contact for economic
C
2. Consider creating a pool of financial resources for unanticipated land
development and implementation of the strategic plan.
A
2. Evaluate how economic development factors into the County's 2040
C
3. Continue to pursue multi -modal transportation and transit opportunities
Comprehensive Plan update.
C
3. Establish and monitor key economic indicators and benchmarks for the
A
county and the quality -of -life indicators that are most important from a
A
business perspective. Include in the county's annual performance
measurement report.
2. Washington County recognizes that economic development requires a strong infrastructure foundation
built on multi -modal transportation networks and access to high-speed broad band networks.
Work plan...
7
1. Explore public-private partnerships to ensure access to high-speed broad
band fiber networks throughout the county.
C
2. Consider creating a pool of financial resources for unanticipated land
acquisition (e.g. right-of-way) needs for economic development projects.
C
3. Continue to pursue multi -modal transportation and transit opportunities
that will stimulate economic growth in the county.
A
7
3. Washington County uses economic development financial incentives in a fisca.., �.,.,.,,.......,........
Work plan...
4. Washington County realizes that success in economic development is only achieved through a
collaborative and inclusive environment.
Work plan...
1. Explore the -,alue and purpose of a public/private partnership such as an
Economic Development Corporation and how it may complement and C
A
2. Identify present economic development activities of the Housing and
1. Review and update the existing financial incentive policies: tax
increment financing and tax abatement.
2. Explore the creation of a revolving loan program to support business
development.
Redevelopment Authority (HRA) and determine what other activities
A
3. Explore using federal Community Development Block Grant monies for
economic development activities,
could be directed to the HILA consistent with their mission.
B
4. Washington County realizes that success in economic development is only achieved through a
collaborative and inclusive environment.
Work plan...
1. Explore the -,alue and purpose of a public/private partnership such as an
Economic Development Corporation and how it may complement and C
support the County's economic development philosophy and principles.
2. Identify present economic development activities of the Housing and
A
2. Review recent outcomes of housing market research completed for the
Redevelopment Authority (HRA) and determine what other activities
B
could be directed to the HILA consistent with their mission.
A
strategies that support economic development goals.
3. Continue to convene the Economic Development Work Group to address
3. Where applicable, consider economic development impacts in other
issues of mutual concern and to foster a unified county -wide economic
A
development approach.
B
4. Develop a concept paper on the formation of a Community Development
Agency (CDA) and present to the County Board.
B
5. Washington County understands that other county -based services impact economic development goals
and economic growth, including but not limited to, transportation and housing policies and programs.
Work plan...
1. Review transportation related policies and standards for compatibility and
flexibility with economic development goals.
A
2. Review recent outcomes of housing market research completed for the
Washington County HRA to determine appropriate workforce housing
A
strategies that support economic development goals.
3. Where applicable, consider economic development impacts in other
county -based plans, programs, and services.
B
8
6. Washington County provides leadership and initiative to shape regional and state-wide policies to
support countywide economic development goals.
Work plan...
1. Include economic development positions in the County's legislative
platform. I I B
7. Washington County supports the value and importance of economic development marketing and
branding for existing business retention and growth and new business development.
Work plan...
1. Assess how the County can participate in marketing and branding to
support the existing efforts underway in other public and private C
agencies.
2. Build relationships with existing organizations that focus on job retention
and identify how the County can support those efforts. C
8. Washington County partners with other publiciprivate agencies to pursue economic development goals.
Work plan...
1 Partner with the Workforce Development Board and staff to identify and
Assigned
address workforce training and workforce housing needs.
C
2. Identify specific economic development training and assistance needs of
Washington County communities and determine how best to meet those
C
needs.
3. Continue the county's policy and funding role in regional economic
development activities such as Greater MSP and East Metro Strong.
A
4. Work with area chambers of commerce to determine how the county can
B
help to grow tourism as an economic driver.
Economic Development Structure
One of the primary goals of this Strategic Plan is to answer the question of what structure best
suits the role Washington County should to take. The Work Group and county staff conclude that
this will be a process that takes time to mature. Throughout the process two concepts were
identified that are important components of the planning process: less formal structure and
formal structure. Information on each follows.
Less Formal Structure (Public Private Partnership)
These models are essentially Economic Development Commissions (EDC) supported by
membership dues from private companies and local units of government. They are typically
convened and staffed by the interested municipal entity and play primarily an advisory role and
advocate for development in the community. Some communities, such as Wright County, assign
9
the entity to evaluate and underwrite their loan programs, but the County Board retains the
ultimate authority to approve the allocation of those financial resources.
In addition to the private sector business representation, these boards can be comprised of
representatives of smaller communities. This allows for these public private entities to pool
resources and provide economic development technical assistance to those communities that
don't otherwise have the individual capacity. Large communities with more staff and financial
capacity use these types of structures more as an advisory board representing private sector
business interests. In the case of Washington County, Woodbury and Oakdale use this structure
to help develop Economic Development Strategic Plans.
Since the primary benefit of this structure is to encourage private sector involvement through
board participation and possibly financial support, the question is how could this type of structure
benefit Washington County and what are the downsides. Research shows that often counties in
Minnesota start to play a role in economic development with this type of EDC structure as a first
step. Counties can provide financial resources based on tasks assigned to that entity while
retaining final approval authority for specific projects and programs. These structures work well
as marketing champions for county wide growth and should not be considered mutually exclusive
of a more formal structured approach. The possible downside risk of this approach in
Washington County is the current private business community participants, particularly the
Oakdale and Woodbury EDC's, could perceive that this is duplicative. In addition, the more this
public private model is tasked with direct economic development activities, such as loan
programs and technical assistance, the more there would need to be careful consideration given to
avoiding duplicating those same efforts currently undertaken by the larger communities and
potentially the County HRA,
Formal Structure (County Community Development Authority)
If the County Board chooses a more formal and active role in economic development, one logical
path is to seek any necessary special legislation to enhance the capabilities of the Washington
County HRA by essentially adding economic development authority powers. Other jurisdictions
have successfully completed similar legislative action and established themselves as "community
development agencies" (Dakota, Scott, and Carver), that were originally constituted as housing
authorities. Any programming would require careful consideration to avoid duplicating efforts
currently undertaken by cities, but obtaining legal authority provides the county access to
significant authority and financial resources to encourage economic development. Many of the
technical skill sets required for implementing economic development strategies exist within the
County HRA. (They also exist in many of the larger communities, but are currently limited to
those municipal boundaries.) To be responsive to city needs and county board direction, the
HRA could certainly undertake and implement programs (i.e. partner with MCCD for example)
as soon as possible as long as those efforts are consistent with current authority, while pursuing
the necessary legislative amendment process.
A possible downside of the CDA model is the risk of diluting private business sector interests on
the board. However, the CDA model can have a board comprised entirely of county elected
officials or a blended combination of elected and appointed members. As resource commitments
increase with a more active and formal participation in economic development activities, county
elected officials may choose to have a more direct involvement on the board. They establish
adi isory committees organized according to the issues they intend to address. If the Washington
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County Board chooses to pursue a more formal CDA model and wishes to have more direct
involvement with county wide housing and economic development initiatives, the structure could
accommodate that desire. One of the principles promoted during this process is for the County to
be purposeful and deliberate. If the formal CDA model becomes the objective, it will take time
and careful collaboration to complete.
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12
CO i 1
OrganUation
DescrIptloak
Type
Private
A corporation formed to develop and sell industrial land
Low County control
Partnership or
and/or provide financing for business development in the
mostly all private
Non -Profit
community. Shares are sold or funds may be raised in other
ways. Or could be a 501(c) (4) or (6) organization whose
purpose is to promote community economic development.
The membership is usually made up of business. Can have
paid or volunteer staff.
Economic
An advisory board, appointed by the Washington County
County appoints
Development
Board. It has limited or no decision-making authority and
Commissioners
Commission
usually serves as a sounding board or as a first point -of -
(EDC)
contact for the County for development projects. It is often
responsible for drafting strategies and policies for
ratification and implementation by the County. The
commission may be active in implementation of local plans
on a volunteer basis. Work can be coordinated by county
staff.
Economic
EDAs were created to facilitate a well-rounded development
County appoints
Development
program by taking advantage of some of the Port Authority
Commissioners — if a
Authority
powers and all of the HRA powers. By combining and
5 member board, at
(EDA)
utilizing HRA, EDA and County powers, community
least 2 County
leaders are able to create flexible business assistance and
Commissioners must
development programs. EDAs for example, are allowed, to
serve
buy and sell property; make loans and grants to businesses;
provide guarantees or other credit enhancements; and to sell
bonds.
Although Economic Development Authorities were
originally designed to meet the needs of cities, special
legislation has been granted to several counties to establish
economic development organizations, in addition to housing
authority powers, or Community Development Authority's.
The EDA may employ an executive director and other staff.
Housing
An HRA is a legal entity created by a City Council, County
County appoints
Redevelopment
or Area to provide a sufficient supply of adequate housing
Commissioners; HUD
Authority
for low -to -moderate income families and individuals. They
requires a
(HRA) /
are also charged with clearing and redeveloping blighted
Commissioner to be a
Community
areas throughout the community. The board may be a
participant in the
Development
citizen's panel, the County Board or a combination thereof.
Housing Choice
Agency
HRAs also have limited powers that may be used for
Voucher Program or
business development. Special legislation has been used to
Public Housing
add economic development powers to become a community
Program where the
development agency (CDA). May require additional staff at
HRA acts as Public
the HRA.
Housing Authority.
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Vlt. Implementation'
Strategic plans are only as effective as the commitment made by all parties to follow-through.
Washington County has invested a large amount of time and effort in the assessment,
development and adoption of the Economic Development Strategic Plan. The Plan is
comprehensive yet realistic. The plan provides the County with four distinct benefits:
• A decision-making tool to assist in making policy decisions
• A leadership tool to assist in identifying and establishing goals
• A management tool to assist in operationalizing plans and determining accountabilities
• A communication tool to inform partners and stakeholders about the plans
To move the plan into action the County Board will:
• Be the champion
• Identify expectations
• Allocate resources and time
• Commit to implementation
• Determine levels of accountability
• Periodically review the Plan
In applying the guiding principle of working in partnership with others the County will seek the
input and perspectives of a broad group of stakeholders. The diverse group of stakeholders that
contribute to economic development within the County includes large and small businesses,
economic development organizations, educational institutions, chambers of commerce, state and
regional agencies, and local communities.
The County will engage these stakeholders in two primary ways.
The County will continue to convene the Economic Development Work Group, a group of
public sector stakeholders. The Work Group has successfully established an identity and
good working relationships through the strategic planning process. Continuing to engage the
Work Group during plan implementation will be critical to the County achieving its economic
development goals, avoid duplication of effort, and to understanding how the County can add
value to the work of others.
2. The County will periodically convene a group of private sector stakeholders to inform the
work of the County and its public sector partners. This group will help County staff and the
Work Group to understand the interests and needs of the business community and to identify
critical issues affecting businesses and the economy of the County.
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The following information is designed to summarize for the County Board the five most
important themes and information learned from the community engagement process. This
information is meant to inform, update and educate the Board on the insights of key stakeholders
in Washington County. This summary does not attempt nor is it designed to provide every
particular insight or opinion shared during the community engagement process.
The information is organized into five overall themes.
Expand the County's Involvement in Economic Development
Washington County's expanded involvement in economic development is encouraged and highly
anticipated. The stakeholders believe that Washington County should expand its role in
supporting the economic development efforts of the cities. There are some lingering doubts about
the County's historical role and past actions, but this perception can be overcome.
The County's Diverse Qualities Requires Thoughtful Planning
Washington County's stakeholders recognize that the county is very diverse geographically,
politically and organizationally. It is well noted that the County Board is challenged to find an
equitable and/or a simple economic development plan that can address everyone's interests.
Although optimistic and certainly excited about an expanded role for Washington County, the
stakeholders are realistic and do not anticipate or expect miracles. This is best stated by Craig
Waldron, City Administrator in Oakdale who is on the record noting that, he advises the County
to be deliberate and methodical in its approach, or as he states, "walk before you run".
Stakeholders Have Distinctive Opinions
Washington County's specific role in economic development — and ultimately its strategic plan -
requires more deliberate discussion. Testimony at the community engagement meetings was
generally more philosophical and strategic. Although opinions exist on matters of policy, priority
and structure, we do not offer any trend, indicator or community reflection that leads or points the
County Board to any easy answers. Even at the municipal level the testimony of cities differs
largely along the lines of cities with experienced personnel and cities that do not have a strong
economic development support base within the staff. Business interests also varied in their
testimony and input.
No Consensus Exists on a Clear Organizational Model
Washington County has already identified five different organizational models to deliver
economic development programs and services. Throughout our testimony we heard various
opinions about what is the best way for the County to organize. We offer to you that no clear
consensus -based organizational model came forward from our community engagement process.
We discuss structure and roles in greater depth in Section V.
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ppend iyII Summary of City Feed hack: F conamic Development Survey
A survey was sent to each City and the HRA at the beginning of the study. The questions were
designed to obtain preliminary input into the economic development study. This information was
summarized and shared with the County Board in September of 2013.
I. Specific Priorities
Please identify the three most significant economic development priorities of your City or
organization over the next five years.
• Programs administered by HRA at an economy of scale that helps cities and townships
Housing construction
• Promotion — marketing for new and existing businesses
• Redevelopment -- reinvestment in existing properties
• Investment in infrastructure
• Development (new)
• Jobs and diversity of employment
• Linkage between living and working within the county
• Coordination of efforts
• Business attraction — financial incentives
II. County -wide Factors
Please identify the top three factors that are impacting in any way (driving or impeding)
economic growth and development within Washington County.
Driving
• Available land
■ Schools
• New bridge in Stillwater
• Natural amenities
■ Strength of existing economy
• County changing to a "pro ED" place
Impeding
• Lack of affordable housing
• Lack of transit alternatives
• Lack of coordinated strategy
• Lack of coordinated infrastructure strategy
• County's historical TIF policy (differing perspectives)
• Infrastructure flexibility (regulatory restraint)
• Shortage of niche financing programs (grants)
• Still a slow recovery
• DigitaI divide in parts of county
• No policy on tax abatement
• No economic development staff
• The County is diverse — how can we effectively promote the county as a whole when
areas are distinct and different (rural — low taxes)
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III. Stakeholder Input
Please identify who you want included in the stakeholder input steps of the planning process.
Your list could be a specific name(s) or a reference to a group or association.
• Commercial real estate community
■ Greater MSP
• All levels of local government (schools and watershed districts too)
• Variety of market rate and affordable housing developers
■ Sample of individuals that work in the county but do not live in the county
• Communities of color, disabled, and low income population
• Two members of city staff and the Mayor
• Sample of elected officials
• County Board and staff
• City staff
Economic Development Authorities
Local business associations
Chamber of Commerce
IV. Tools
Please identify up to three current tools you are using to support or augment your economic
development efforts?
• Greater MSP (leads and promotion)
• HRA levy
• Local income housing tax credit program and Minnesota Housing programs
• Met Council LCDA program for land acquisition and pollution clean-up resources
• TIF (redevelopment and housing)
• Tax abatement
• Woodbury Growth fund (revolving low interest loan)
• SEED fund
• Fast track process and one stop shop
• Shovel ready business park
• Acquisition of property
V. Distinctiveness
Please identify one or two considerations that you believe are unique or distinct to Washington
County that can be a positive asset to economic development within the county.
• Accessibility and location with easy access to MSP, airport and Wisconsin
• Land costs (may be higher), but tax environment is competitive
■ Human capital and workforce
• Positive relationship with the county — trust level is in place to accomplish projects
• Significant natural areas for recreation and tourism
■ Significant land supply within distinct communities
• Rural and urban character
o Fast growing cities
VI. Best Practices
Please identify one or two economic development best practices that our process should identify
and possibly explore.
• Level of investment and involvement with Greater MSP
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a Open for business and gardening programs
Evaluate need for a countywide EDA (role, relationship with cities?)
• Incentives, funding, gap financing program
County infrastructure assistance (or policy modification)
Tax abatement policy and strategy
■ Explore programs and practices that make the County a better option than Wisconsin
+ County wide marketing campaign
VI1. Outcomes
Please identify two outcomes you want to achieve as a result of this economic development
initiative.
Clarity on roles and responsibilities
Consensus on the best program/place to start
Supportive of local economic development — or not disruptive or work against
Recognize and capitalize on the diversity of the cities
Develop one or two useful tools
• Greater county role in bringing resources and attention to broadband gaps
■ Sustained or expanded commitment to infrastructure
• Actual project goals (roadways, countywide fiber optics, incentives)
• Marketing plan for business attraction
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