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Home My WebLink About07/26/2018 EDA Meeting••• •••• Apple II Valley Meeting Location: Municipal Center 7100 147th Street West Apple Valley, Minnesota 55124 July 26, 2018 ECONOMIC DEVELOPMENT AUTHORITY REGULAR MEETING TENTATIVE AGENDA 6:00 PM 1. Call to Order 2. Approve Agenda 3. Approve Consent Agenda Items Consent Agenda Items are considered routine and will be enacted with a single motion, without discussion, unless a commissioner or citizen requests to have any item separately considered. It will then be moved to the regular agenda for consideration. A. Approve Minutes of May 24, 2018, Regular Meeting 4. Regular Agenda Items A. Adopt Resolution Amending 2018 EDA Budget B. Adopt Resolution Approving Preliminary 2019 EDA Budget 5. Staff Updates 6. Adjourn Regular meetings are broadcast, live, on Charter Communications Cable Channel 180 and on the City's website at www.cityofapplevalley.org ... .... •••• ..• l App Valil ley ITEM: EDA MEETI NG DATE: SECTION: 3.A. July 26, 2018 Consent Agenda Description: Approve Minutes of May 24, 2018, Regular Meeting Staff Contact: Joan Murphy, Department Assistant Department / Division: Community Development Department ACTION REQUESTED: Approve minutes of regular meeting of May 24, 2018. SUMMARY: The minutes of the regular Economic Development Authority meeting are attached for your review and approval. BACKGROUND: State statute requires the creation and preservation of meeting minutes which document the official actions and proceedings of public governing bodies. BUDGET IMPACT: N/A ATTACHMENTS: Minutes ECONOMIC DEVELOPMENT AUTHORITY City of Apple Valley Dakota County, Minnesota May 24, 2018 Minutes of the regular meeting of the Economic Development Authority of Apple Valley, Dakota County, Minnesota, held May 24, 2018, at 6:00 p.m., at Apple Valley Municipal Center. PRESENT: Commissioners Bergman, Goodwin, Grendahl, Hamann -Roland, Hooppaw and Johnson ABSENT: Commissioner Melander City staff members present were: Executive Director Tom Lawell, Community Development Director Bruce Nordquist, Finance Director Ron Hedberg, City Planner Tom Lovelace, Planner/Economic Development Specialist Alex Sharpe and Department and Assistant Joan Murphy. Meeting was called to order at 6:00 p.m. by President Hooppaw. APPROVAL OF AGENDA MOTION: of Hamann -Roland, seconded by Grendahl, approving the agenda. Ayes - 6 - Nays - 0. CONSENT AGENDA MOTION: of Goodwin, seconded by Bergman, approving the minutes of the meeting of March 22, 2018, as written. Ayes - 6 - Nays — 0. REVIEW AND DISCUSS ECONOMIC DEVELOPMENT CHAPTER OF 2040 COMPREHENSIVE PLAN Community Development Director Bruce Nordquist introduced the Economic Development draft chapter for the 2040 Comprehensive Plan prepared by the City Consultant, SRF. It follows the Economic Development Chapter of the 2030 Comprehensive Plan and mentions new trends and directions with a strategic plan. Staff has restated strategic priorities and will adjust the narrative to coincide with the following: 1. Attract large employers to the Mixed Business Campus 2. Investment in the Downtown quadrants; a retail hub of attraction, retention and expansion. 3. By design, make the superblocks characteristic of the Downtown quadrants, more accessible and offer ease of movement for vehicles, bikes and pedestrians. 4. Develop connections regionally, nationally and globally given proximity to the airport and continue to encourage effective transit service expansion and fiber optic deployment. 5. Support and develop well educated and trained workers that match job availability and next generation job growth. 6. Develop economic resilience that adapts to trends in business climate and the unknown natural disasters that could affect City and business services and operations. Economic Development Authority City of Apple Valley Dakota County, Minnesota May 24, 2018 Page 2 Discussion followed. AUTHORIZE PARTICIPATION ECONOMIC DEVELOPMENT ROUNDTABLE Community Development Director Bruce Nordquist stated Bill Goins, worldwide Account Manager for FedEx Healthcare Solutions has reached out to the City of Apple Valley Mayor Mary Hamann - Roland and Bruce Nordquist, to consider Apple Valley participation in a med tech business development roundtable in Memphis, Tennessee. The event, scheduled for June 6, 7, 8 has 3 objectives: 1. Share information on economic development plans and strategies. 2. Discuss potential areas for cooperation by sharing FedEx distribution networks centered in Memphis and Medtronic medical device distribution that benefits from the network and leverages the 30,000 working in the industry in Greater MSP. 3. Explore these long term business relationships as a catalyst to attract and grow the med- tech, med-device market in Greater MSP, specifically Apple Valley on available land in Orchard Place. June 6 and 8 would be travel days and June 7 would be an intensive day of information, demonstrations and next step planning to grow business. The EDA, in the Operations Fund, has budgeted for economic development missions for the purpose of business development and seeks authorization for this specific trip. Discussion followed. MOTION: of Hamann -Roland, seconded by Goodwin, authorizing Community Development Director Bruce Nordquist to participate in an Economic Development Roundtable between Greater MSP and Greater Memphis. Ayes - 6 - Nays - 0. ADJOURNMENT MOTION: of Bergman, seconded by Hamann -Roland, to adjourn. Ayes - 6 - Nays - 0. The meeting was adjourned at 6:41 p.m. Respectfully Submitted, /s/ Joan Murphy Joan Murphy, Department Assistant Approved by the Apple Valley Economic Development Authority on Clint Hooppaw, President ... .... •••• ..• l App Valil ley ITEM: EDA MEETI NG DATE: SECTION: 4.A. July 26, 2018 Regular Agenda Description: Adopt Resolution Amending 2018 EDA Budget Staff Contact: Ron Hedberg, Finance Director and Bruce Nordquist, Community Development Director Department / Division: Finance Department ACTION REQUESTED: Adopt Resolution Amending 2018 EDA Budget SUMMARY: Staff is recommending that the 2018 budget be amended to provide for a transfer of $36,000 to the Education Building Fund to be used for the installation of statuary at that site. Attached is location map and details related to the project. BACKGROUND: The operating budget is approved each year by the City of Apple Valley Economic Development Authority (EDA) and by the City Council in their annual budget. Periodically it is necessary to amend the budget as plans change and new development initiaitives arise. BUDGET IMPACT: The EDA budget reserves would be impacted by $36,000, the cost for installation. ATTACHMENTS: Resolution Exhibit CITY OF APPLE VALLEY ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. EDA 18 - RESOLUTION AMENDING 2018 BUDGET WHEREAS, certain 2018 activities were not included in the original 2018 adopted budget; WHEREAS, funding exists to transfer to the Education Building Fund to be used to complete the installation of statuary on the Education Building Site, and and NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Apple Valley Economic Development Authority, Minnesota, that the expenditure budgets for 2019 shall be amended as included below in this resolution. Department Description 2018 2018 Additional Account (reduced) Code Amount City of Apple Valley EDA Fund Transfer to Education Building Fund 3212-7110 $ 36,000 ADOPTED this 26th day of July 2018. ADOPTED this 26th day of July, 2018, by the Apple Valley Economic Development Authority Board of Commissioners. Clint Hooppaw, President ATTEST: Pamela J. Gackstetter, Secretary <z GC In Install 4 individual Owner wppliod sculptures Vent, location of sculptures with Owner Verify ocation of platform with Own*, aj Sculpture Platform Plan Platform Foundation 13 1.4". 1'47 sfaterns Msun[an Rust mbar aCa L'CL and grouted sodic Ir CMU foundation wal wl a5 mbar at4'-Q CC vertical and grouted sold Hoexontal ladder type reelercIng every oth r Concrem fnanng wl2 s4 contnuoua 12 11 CNH NO.: 17041 F DATE: 05110P18 REVISIONS: 0 as O NW V/ 5 o • o t2 Q dz ® U • UW D N a l..Ll r 4 Platform Design (1) engineering design initiative PROPOSAL REQUEST PR -E-3 Project: Education Building Renovation Location: Apple Valley, MN Edi Project Number: 17-046 issued By: Pheng Chang, EE Date: June 19, 2018 Description: Please provide the amount to add or deduct from your contract to make the changes described in this Proposal Request. Please review attached documentation, as well as the bid document plans, specifications for additional information as required. Provide itemized breakdown of material and labor. Include all subcontractor costs. Note: that this is only a request for a proposed cost for the changes. Do not proceed with ordering materials or starting work until written approval has been provided. 1. Sculpture Lighting: a. Provide two (2) sculpture light fixtures (Hydrel #TPS1-18LED-WHT30K-MFL- YM-PMSA-IHL-FGS- Finish as selected by Architect" or prior approved alternate) with 10 -foot poles (Lithonia #RSA -10 -4C -T20 -VD -"Finish as selected by Architect" or prior approved alternate). Refer to attached drawing R1/E2.1 for light fixture locations in relation to sculpture. Coordinate exact locations with Architect. Adjust aim of fixtures in presence of Architect/Owner. b. Provide concrete foundation for each light fixture. Refer to Details 3 and 4 on Drawing E2.1 for exact requirements. c. Provide 120 volt, 20 Amp circuit via 1" conduit with 2#8 wires and #10 Ground from existing electrical panel in basement of building with spare capacity to feed light fixtures. Wire light fixtures to be controlled via existing time dock, matching existing site lighting control schedules. Provide a new 20 Amp, 1 - pole breaker, matching existing manufacturer and type, as required. Contractor to field verify existing electrical panel for spare capacity prior to installation. d. Provide trenching and/or boring as required to install feeder from building to exterior light fixture locations. Patch and repair grade to match existing conditions. Attachment: Drawing R1/E2.1, Cut Sheets 1112 north 5th street = minneapolis, mn 55411 o phone 612.343.5965 Q fax 612.343.5982 11 Site Pier Keynotes 29nr pcle -ser, Fleclncal Dra,nngs Sr!hnete pee np - xua .andscape Cravm,gs u=.And co 0,01 e'.o oases by Ovmer 230 par\mg xUII a. gn - ryes g see detail par'rinn anla sign- -yen 3: see detai1 Anphall pa» ng 'r,atcn n nit• er:stng r. enl pqn{ suo Landscape drahrngs Flanfing land. wn Landscape Cramngs; Aparna Pato -we _andvapu dra'n rg5 Alternate #A 'I] PR 45 -Base Irrigate 51:0rounding arse of b4 SPR 55-nItornato An • Irngats ',nth slavd 12 PR 45 - N1o!^a,e a2 - IrngatP #r5l porncn of Sita 13 Jurcdon box icrimg'a4on r:ntr.,Ipanel 14 _cver uxstn.g ela^tri^al n1t! aria tc .acmmnretlam fseat 5 • Light poles to int 2-3 4 from edge of parking lot tar snow pluwirg and lawn marring Enlarged Sculpture Site plan 1' = 211'0' rT 10 STREET SUETE 504 AP CNH NO. 17041 DATE: 05/10/18 REVISIONS: ma. kn ma Id Mp100 5901.10 e+. lower raru c011 011,2001, CO g c f az • Cm RI gm O 3W TS �g LI] .-a Platform lighting and location i 20' -Ori SEE ATTACHED CUT SHEETS FOR LIGHT FIXTURE AND POLE INFORMATION. 20'-0" SEE ATTACHED CUT SHEETS crfr....____.-- FOR LIGHT FIXTURE AND POLE INFORMATION. edi engineering design initiative 1112 norlh 5t1) street r meapots, mn 55411 (612) 3435965 ph (612)343-5982 iaM arxw,e7irttr ited.com NOTE: ALL DIMENSIONS ARE BASED OFF OF CENTER POINT OF CONCRETE SLAB Project: Apple Valley Arts Building Title: Sculpture Lighting GRAPHIC SCALE 0 4, Project Number: 17-046 Date: 06/19/2018 Drawing No. R1IE2.1 ... .... •••• ..• l App Valil ley ITEM: EDA MEETI NG DATE: SECTION: 4.B. July 26, 2018 Regular Agenda Description: Adopt Resolution Approving Preliminary 2019 EDA Budget Staff Contact: Ron Hedberg, Finance Director and Bruce Nordquist Community Development Director Department / Division: Finance Department ACTION REQUESTED: Adopt Resolution Approving 2019 EDA Budget SUM MARY: The proposed 2019 budget, approved by the City Council in their annual budget, includes the Economic Development Operations Fund. The proposed budget includes the anticipated activities in 2019. If the need arises to address development opportunities, such as Business Retention, Expansion and Attraction (BREA) activities, future action would be requested to address the need. Enclosed are the pages from the budget document that relate to this fund and its use by the EDA. BACKGROUND: Possible activity areas in 2019 and 2020 include: • Anticipate trade/business development mission of a national and global destination as they present themselves. • Continue as a member of GREATER MSP, the regional economic development organization with national and global contacts for local business development. • Continue the "Open to Business" small business development service with the Dakota County CDA and Metropolitan Consortium of Community Developers. • Begin the master planning of the Mixed Business Campus (MBC) with the identified developer, Rockport LLC. • Facilitate repositioning and improvement of properties within the quadrants of CR42 and Cedar Avenue. • Manage City/EDA owned property until development. • With a fully occupied and updated old City Hall in 2017 and 2018, apply a portion of lease revenues toward EDA business development initiatives. With a fully occupied and updated old City Hall in 2018, a portion of lease revenues will be applied as a management fee to benefit EDA business development initiatives. The projected 2019 year-end fund balance is $140,562, or $104,562 if the 2018 budget is amended as proposed. BUDGET IMPACT: ATTACHMENTS: Resolution Budget CITY OF APPLE VALLEY ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. EDA 18 - RESOLUTION APPROVING 2019 PROPOSED BUDGET WHEREAS, the Apple Valley Economic Development Authority has reviewed the proposed 2019 operating budget set forth in this resolution; and WHEREAS, the Economic Development Authority desires to adopt an operating budget for management purposes; and NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Apple Valley Economic Development Authority, Minnesota, that revenue and expenditure budgets for 2019 shall be as included below in this resolution and as supported by the detailed document, as revi sed. 2019 Revenues: Building Management Fee $ 50,000 Investment Earnings $150 $50,150 Expenditures: Wages & Benefits 560 Consultant Services $7,800 Schools/Conferences/Exp $16,500 Subsistence Allowance $2,100 Dues & Subscriptions $12,650 Total Expenditures $39,610 ADOPTED this 26th day of July, 2018, by the Apple Valley Economic Development Authority Board of Commissioners. Clint Hooppaw, President ATTEST: Pamela J. Gackstetter, Secretary COMPANY DEPARTMENT BUSINESS UNIT ACTIVITY 1000 93 3210 EDA Operations Fund DESCRIPTION OF ACTIVITY The EDA Operations fund was created many years ago and focused on the activities related to the Valley Business Park development, including a revolving loan program and the development and sale of commercial lots. That activity was completed and the EDA Operations fund assists the EDA in supporting business development opportunities as they arise. MAJOR OBJECTIVES FOR 2019 and 2020 • Anticipate trade/business development mission of a national and global destination as they present themselves. • Continue as a member of GREATER MSP, the regional economic development organization with national and global contacts for local business development. • Continue the "Open to Business" small business development service with the Dakota County CDA and Metropolitan Consortium of Community Developers. • Begin the master planning of the Mixed Business Campus (MBC) with the identified developer, Rockport LLC. • Facilitate repositioning and improvement of properties within the quadrants of CR42 and Cedar Avenue. • Manage City/EDA owned property until development. • With a fully occupied and updated old City Hall in 2017 and 2018, apply a portion of lease revenues toward EDA business development initiatives. IMPACT MEASURES / PERFORMANCE INDICATORS Item Jobs added (perm. and const.) Open to Bus./AV Clients Served Actual Actual Actual Projected Projected Projected 2015 2016 2017 2018 2019 2020 400 400 500 22 16 8 10 500 10 500 10 2018 CAPITAL OUTLAY: None Summary Budget Department 93 EDA Operations Fund 2015 2016 2017 2017 2018 2019 2020 Actual Actual Actual Budget Budget Proposed Proposed Revenue: Redistribution of TIF 11 - - -- - - Building Mgmt Fee -- - - 50,000 50,000 50,000 County Grants- Parking Lot - 83,396 - -- - - Investment Eamings 16,734 13,292 937 1,860 1,500 150 400 16,745 96,688 937 1,860 51,500 50,150 50,400 Expenditures: Salaries & Wages 520 582 520 -- 520 535 Emp. Benefits 40 49 40 -- 40 45 Supplies -- - - - - - Contractual Serv. 32,320 24,500 7,766 7,500 7,500 7,800 7,800 Training/Travel/Dues 10,592 10,175 10,175 30,450 31,250 31,250 12,650 Consultant Services/Other - 800,000 - -- - - Capital outlay - 352,415 - -- - - Total Expenditure 43,472 1,187,721 18,501 37,950 38,750 39,610 21,030 Fund Balance Beginning 1,252,596 1,225,869 134,836 134,836 117,272 130,022 140,562 Ending 1,225,869 134,836 117,272 98,746 130,022 140,562 169,932 2018 CAPITAL OUTLAY: None CITY OF APPLE VALLEY 2018 BUDGET ACCOUNT DETAIL DEPT 93: EDA OPERATIONS FUND -3212 COMPANY 3210: EDA OPERATIONS ACCT DESCRIPTION 2015 COUNCIL ADOPTED 2016 COUNCIL ADOPTED 2017 COUNCIL ADOPTED 2017 Actual 2018 DEPT PROP 2018 2018 2018 ADMIN COUNCIL YEAR END RECOMMEND ADOPTED PROJECTED 2019 DEPT PROP 2020 DEPT PROP 6113 Overtime - Reg 6123 Salaries - Other 6138 Medicare 6139 FICA 6141 Pension - PERA Total 520 10 30 520 10 30 535 10 35 - - - - - - - 560 560 580 6235 CONSULTANT SERVICES Miscellaneous - MCCD Ordinance/MB Campus Downtown Plan (CDA Match) Financial Advisor fees Total 7,500 40,000 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,800 7,800 47,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,800 7,800 6276 SCHOOL/CONF/EXP - OTHER Economic Development -Nordic Business Development Trade Mission (3 @ 5500) Total 16,500 16,500 16,500 - 16,500 16,500 16,500 16,500 16,500 - 16,500 16,500 16,500 - 16,500 16,500 16,500 16,500 16,500 - 6278 SUBSISTANCE ALLOWANCE Economic Development -Nordic Business Development Trade Mission (3 for 7 days @ $100) Total 2,100 2,100 2,100 - 100 2,100 2,100 2,100 2,100 - 2,100 2,100 2,100 - 100 2,100 2,100 2,100 2,100 - 6280 DUES & SUBSCRIPTIONS Membership in local chapters of nordic Chambers of Commerce Greater MSP Sister City Total 10,000 1,500 10,000 1,500 10,350 1,500 10,350 800 1,500 10,350 800 1,500 10,350 800 1,500 10,350 800 1,500 10,350 800 1,500 10,350 800 1,500 10,350 800 10,000 11,500 11,850 12,650 12,650 12,650 12,650 12,650 12,650 12,650 7110 Transfers Out Education Bldg Fund -Install Statuary Total 36,000 - - - - - - - 36,000 - - TotalNetofPersonnel TOTAL EXPENSES 76,100 $ 76,100 37,600 $ 37,600 37,950 $ 37,950 20,150 $ 20,150 36,750 $ 36,750 38,750 $ 38,750 38,750 $ 38,750 74,190 $ 39,310 38,490 $ 39,610 19,870 $ 21,030