HomeMy WebLinkAboutEDA Agenda Packet 122121
M eeting L ocation: M unicipal Center
7100 147th Street West
Apple Valley, M innesota 55124
December 21, 2021
EC O N O MIC D EVELO P MEN T A UT HO RIT Y REG ULA R
MEET IN G T EN TAT IVE A G EN D A
6:15 P M
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 27, 2021, Regular Meeting
4.Regular Agenda Items
A.Recommend Approval of J oint Powers Agreement with the Dakota
C ounty Community Development Agency and Participating Dakota
C ounty Cities for "Open to Business" Program
B.Adopt Resolution Approving 2022 ED A Budget
5.Staff Updates
6.Adjourn
Regular meetings are broadcast, live, on C harter C ommunications C able C hannel
180 and on the C ity's website at www.cityof applevalley.org
I T E M: 3.A.
E D A ME E T I NG D AT E :December 21, 2021
S E C T I O N:Consent A genda
Description:
A pprove Minutes of May 27, 2021, Regular Meeting
S taff Contact:
B reanna Vincent, Department Assistant
Department / Division:
Community Development Department
AC T I O N RE Q UE S T E D:
Approve minutes of regular meeting on May 27, 2021.
S UM M ARY:
T he minutes of the Economic Development Authority regular meeting is attached for your
review and approval.
B AC K G RO UND:
State statute requires the creation and preservation of meeting minutes which document the
official actions and proceedings of public governing bodies.
B UD G E T I M PAC T:
N/A
AT TAC HM E NT S :
Minutes
ECONOMIC DEVELOPMENT AUTHORITY
City of Apple Valley
Dakota County, Minnesota
May 27, 2021
Minutes of the Regular Meeting of the Economic Development Authority of Apple Valley, Dakota
County, Minnesota, held May 27, 2021, at 6:15 p.m., at Apple Valley Municipal Center.
PRESENT: President Tom Melander, Commissioners Clint Hooppaw, John Bergman, Tom
Goodwin, Ruth Grendahl, and Ken Johnson
ABSENT: None
City staff members present: City Administrator Tom Lawell, Community Development Director
Bruce Nordquist, City Planner Kathy Bodmer
Meeting was called to order at 6:15 p.m. by President Tom Melander.
APPROVAL OF AGENDA
President Melander asked staff if there were any changes to the agenda. – None.
MOTION: of Grendahl, seconded by Goodwin, approving the agenda. Ayes - 6 - Nays - 0.
CONSENT AGENDA
MOTION: of Hooppaw, seconded by Grendahl, approving the minutes of the meeting on
February 25, 2021 and the release of security interest provided by Village Pointe
Plaza, LLC. Ayes – 6 – Nays – 0.
REGULAR AGENDA
A.“Open to Business” Joint Powers Agreement
Planner Alex Sharpe provided a brief presentation.
President Melander asked if there were any questions – None.
MOTION: of Goodwin, seconded by Grendahl, to approve the Joint Powers Agreement with
Dakota County CDA and various participating communities to participate in the
“Open to Business” program. Ayes – 6 - Nays – 0.
Economic Development Authority
City of Apple Valley
Dakota County, Minnesota
May 27, 2021
Page 2
STAFF UPDATES
Community Development Director Nordquist presented an aerial map showing the parcels that are
currently under construction or will be under construction soon. Updates were provided regarding
Menards, Abdallah, My Salon Suites, IMH Commercial, Lincoln Dealership, AMC Theater, and
Time Square.
Commissioner Bergman asked what the possibility is that before Time Square is sold that the
City would negotiate with Mr. Levine to purchase the corner piece of building where municipal
liquor store 1 is located?
CD Development Director Nordquist advised that the parcel is complicated as it is not individual
parcels. He stated that City Administrator Lawell is in discussion with the buyer to purchase the
entire parcel and not separate it out.
President Melander asked about the sketch plan on the Apple Valley Golf Course site.
CD Director Nordquist advised that it is a co-op and they are needing to do a presale. With the
pandemic, there have been some delays with people being able to select finishes.
ADJOURNMENT
MOTION: by Hooppaw, seconded by Goodwin, to adjourn.
Respectfully Submitted,
Breanna Vincent, Department Assistant
Approved by the Apple Valley Economic
Development Authority on December 21, 2021 Thomas O. Melander, President
I T E M: 4.A.
E D A ME E T I NG D AT E :December 21, 2021
S E C T I O N:Regular A genda
Description:
Recommend Approval of J oint P owers Agreement with the Dakota County Community
Development A gency and P articipating Dakota County Cities for "Open to B usiness" Program
S taff Contact:
A lex Sharpe, Planning and Economic Dev. S pec.
Department / Division:
Community Development Department
AC T I O N RE Q UE S T E D:
Recommend approval of the J oint Powers Agreement between the Apple Valley ED A,
Dakota C ounty C D A and participating communities to participate in the “Open to Business”
program upon review and acceptance by the City C ouncil.
S UM M ARY:
Attached for your consideration is a J oint Powers Agreement with the Dakota County
Community Development Agency (C D A) for the “Open to Business” program in Dakota
County. Multiple cities and economic development authorities seek this collaborative
program together. T he program consulting service is offered by the Metropolitan Consortium
of C ommunity Developers (MC C D). T heir scope of service helps small businesses and
entrepreneurs that need individual advice and counseling, and access to capital in support of
partnerships with local commercial banking resources. Small businesses and entrepreneurs
generate a significant number of jobs and income, but are often unable to obtain local routine
business advice or traditional funding because they are considered too much time or a greater
risk by lending institutions. T he technical assistance and financing network offered by
MC C D can make a difference in creating a successful early or experienced business.
As reported to the ED A in J anuary 2021, the “Open to Business” program hired Natalie
Mouilso as D akota C ounty's Business Advisor. Ms. Mouilso is available for one-on-one
consultations, online appointments, and has been hosting business webinars since she was
hired in late 2020. Ms. Mouilso provides expertise in start-up financing and business plan
development, as well as meeting with businesses at other locations at their convenience. In
addition to Apple Valley, the participating communities include Burnsville, Eagan,
Farmington, Hastings, Inver Grove Heights, Lakeville, Mendota Heights, Rosemount, South
St. Paul, West St. Paul, and small cities and townships in the C ounty.
T his item will be considered by the Apple Valley Economic Development Authority for 2022
services and will be subsequently brought to the Apple Valley C ity Council to be affirmed
unless there is an ED A concern on December 21.
B AC K G RO UND:
T he details of the program are summarized in the attached J oint Powers Agreement and the
service contract between MC C D and the Dakota County C D A.
B UD G E T I M PAC T:
T he C D A administers the program and funds half of MC C D’s $150,000 fee; with
participating cities funding the other half of the fee. Apple Valley’s cost to participate in this
program for 2022 is $8,100. T he other 50% of the total cost for the City’s participation of
$16,200 is provided by the Dakota C ounty C D A. T his fee is consistent with the annual fee
charged from 2018-2020. T he funds have been allocated in the ED A’s 2022 budget.
AT TAC HM E NT S :
Agreement
Agreement
Report
Report
Report
Joint Powers Agreement
JOINT POWERS AGREEMENT
Open to Business Program
THIS JOINT POWERS AGREEMENT (this “Agreement”), is made as of December 21,
2021, by and between the DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY (the
“CDA”), a public body corporate and politic organized and existing under the laws of the State of
Minnesota (the “State”), and each of the BURNSVILLE ECONOMIC DEVELOPMENT
AUTHORITY, CITY OF LAKEVILLE, CITY OF MENDOTA HEIGHTS, INVER GROVE
HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, APPLE VALLEY ECONOMIC
DEVELOPMENT AUTHORITY, EAGAN ECONOMIC DEVELOPMENT AUTHORITY,
HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT AUTHORITY,
ROSEMOUNT PORT AUTHORITY, FARMINGTON ECONOMIC DEVELOPMENT
AUTHORITY, SOUTH ST. PAUL ECONOMIC DEVELOPMENT AUTHORITY, AND WEST
ST. PAUL ECONOMIC DEVELOPMENT AUTHORITY, MINNESOTA (each individually a
“Local Government Entity” and together the “Local Government Entities”), each a political
subdivision of the State.
RECITALS:
A. In order to pursue common goals of fostering economic development, the CDA and
the Local Government Entity Cities desire to engage the Metropolitan Consortium of Community
Developers, a Minnesota non-profit corporation (“MCCD”) to undertake the “Open To Business
Program” (the “Program”) within Dakota County (the “County”).
B. Pursuant to the Program, MCCD will provide technical assistance and access to
capital to small business and potential entrepreneurs in the County.
C. The CDA and the Local Government Entities propose to jointly exercise their
common economic development powers to undertake the Program.
NOW, THEREFORE, in consideration of the mutual covenants and obligations of the
CDA and each of the Local Government Entities, each party does hereby represent, covenant and
agree with the others as follows:
Section 1. Representations. Each of the Local Government Entities and the CDA
makes the following representations as to itself as the basis for the undertaking on its part herein
contained:
(a) It is a political subdivision of the State of Minnesota with the power to enter
into this Agreement and carry out its obligations hereunder.
Joint Powers Agreement 2
(b) Neither the execution and delivery of this Agreement, the consummation of
the transactions contemplated hereby, nor the fulfillment of or compliance with the terms
and conditions of this Agreement is prevented, limited by or conflicts with or results in a
breach of, the terms, conditions or provisions of any restriction or any evidences of
indebtedness, agreement or instrument of whatever nature to which it is now a party or by
which it is bound, or constitutes an event of default under any of the foregoing.
Section 2. Powers to be Exercised. The powers to be jointly exercised pursuant to
this Agreement are the powers of the CDA and the Local Government Entities under Minnesota
Statutes, Chapter 469, to undertake activities to promote economic development within their
respective jurisdictions.
Section 3. Method for Exercising Common Powers; Funds. The CDA, on its own
behalf and on behalf of the Local Government Entities, will initially enter into an agreement with
MCCD in substantially the form attached hereto as Exhibit A (the “Agreement”) to engage
MCCD to operate the Program within Dakota County. The CDA and each of the Local
Government Entities will make payments to MCCD as described in Exhibit A of the Agreement.
The CDA may from time to time execute and deliver documents amending, modifying or
extending the Agreement as it deems necessary or convenient, provided, that no such document
will adversely affect services provided to, or amounts payable by, any Local Government Entity
without the prior written consent of such Local Government Entity.
Section 4. Limited Liability. Neither the CDA nor the any of the Local Government
Entities shall be liable for the acts or omissions of the other in connection with the activities to be
undertaken pursuant to this Agreement. To the extent permitted by law, (a) the CDA hereby
indemnifies the Local Government Entities for costs associated with claims made against the
Local Government Entities directly relating to actions taken by the CDA, and (b) each Local
Government Entity hereby indemnifies the CDA for costs associated with claims made against
the CDA directly relating to actions taken by such Local Government Entity. Nothing herein
shall be deemed a waiver by the indemnifying party of the limits on liability set forth in
Minnesota Statutes, Chapter 466; and the indemnifying party shall not be required to pay, on
behalf of the indemnified party, any amounts in excess of the limits on liability set forth in
Minnesota Statutes, Section 466.04, less any amounts the indemnifying party is required to pay
on behalf of itself, its officers, agents and employees for claims arising out of the same
occurrence.
Section 5. Conflict of Interests; Representatives Not Individually Liable. The CDA
and each of the Local Government Entities, to the best of its knowledge, represents and agrees that
no member, official or employee of their respective bodies shall have any personal interest, direct
or indirect, in this Agreement, nor shall any such member, official or employee participate in any
decision relating to this Agreement which affects his or her personal interests or the interests of any
corporation, partnership, or association in which he or she is directly or indirectly interested. No
member, official or employee of the CDA or any Local Government Entity shall be personally
liable with respect to any default or breach by any of them or for any amount which may become
due to the other party or successor or on any obligations under the terms of this Agreement.
Joint Powers Agreement 3
Section 6. Term; Distribution of Property. The term of this Agreement shall expire
on December 31, 2021. There is no property which will be acquired by the CDA or an y Local
Government Entity pursuant to the Program which would need to be distributed at the end of the
term hereof.
Section 7. Notices and Demands. A notice, demand or other communication under
this Agreement by any party to another shall be sufficiently given or delivered if it is dispatched by
registered or certified mail, postage prepaid, return receipt requested or delivered personally to the
person and at the addresses identified on each signature page hereto, or at such other address with
respect to either such party as that party may, from time to time, designate in writing and forward
to the other as provided in this Section.
Section 8. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall constitute one and the same instrument.
[Remainder of page intentionally left blank]
Joint Powers Agreement
S - 1
IN WITNESS WHEREOF, the CDA and the Local Government Entities have caused this
Agreement to be duly executed in their respective names and behalf as of the date first above
written, with actual execution on the dates set forth below.
DAKOTA COUNTY COMMUNITY
DEVELOPMENT AGENCY
Dated:_____________________ By _______________________________
Its Executive Director
Notice Address:
Dakota County Community Development Agency
1228 Town Centre Drive
Eagan, MN 55123
Attn: Lisa Alfson, Director of Community and Economic Development
Joint Powers Agreement
S - 6
APPLE VALLEY ECONOMIC DEVELOPMENT
AUTHORITY
Dated: __________________ By _________________________________
Its ________________________________
By _________________________________
Its ________________________________
Notice Address:
7100 147th Street W.
Apple Valley, MN 55124
Attn: ______________________________
Joint Powers Agreement
A - 1
Exhibit A
Contract for Services for the Open To Business Program
1
Contract for Services
for the
Open To Business Program
THIS AGREEMENT is dated March 2, 2021, and is between the Dakota County Community
Development Agency (“CDA”) and Metropolitan Consortium of Community Developers, a
Minnesota nonprofit corporation (“MCCD”).
WHEREAS, the CDA, on behalf of itself and the 11 political subdivisions of the State of
Minnesota listed on Exhibit A here to (the “Local Government Entities”), which each have
powers with respect to a city with a population over 10,000 (collectively the “Municipalities”),
wishes to engage MCCD to render services under the model known as “Open To Business,” an
initiative providing small business technical assistance and capital to existing businesses and
residents and other parties interested in opening a business within Dakota County (the “County”)
(the “Initiative”); and
WHEREAS, MCCD has successfully provided the services required to administer and carry out
the Initiative in Dakota County from 2013 – 2021; and
WHEREAS, pursuant to CDA Resolution No., adopted on (the “Resolution”), the CDA is
authorized to enter into this agreement with MCCD for the Initiative; and
WHEREAS, pursuant to the Resolution and certain joint powers agreements to be entered into
between the CDA and the Local Government Entities “the “Joint Powers Agreements”), the
CDA will act as fiscal agent for the Local Government Entities in connection with this
Agreement; and
WHEREAS, the CDA will pay from its own funds 50% of the fee charged by MCCD for the
Initiative in the Municipalities and 100% of the fee charged by MCCD for the Initiative in the
small cities and townships within the County with populations less than 10,000 residents (“Small
Cities and Townships”), as further described herein and in Exhibit A; and
WHEREAS, pursuant to the Joint Powers Agreements, the Local Government Entities will be
required to pay a Participation Fee to the CDA in accordance with the schedule in Exhibit A,
representing the remaining 50% of the fee charged by MCCD for the Initiative in the
Municipalities.
Now therefore, for good and valuable consideration, the receipt of which is hereby
acknowledged, the parties agree as follows”
TIME OF PERFORMANCE
The term of this Agreement and the period during which MCCD will provide services
hereunder will commence upon the first day of January 2022, and automatically renew
January 1, 2023. This agreement will terminate on December 31, 2023, subject to earlier
2
termination as provided herein. MCCD will perform services necessary to carry out the
Initiative as promptly as possible, and with the fullest due diligence.
COMPENSATION
The CDA will compensate MCCD for its services hereunder an amount equal to One
Hundred Fifty Thousand Dollars ($150,000) (“Contract Amount”). The CDA will pay
such amount in two equal installments, the first no earlier than March 1st and the second
no earlier than September 30th, upon receipt of invoices from MCCD. Subject to the
limits above, payments will be due within 15 days of receipt of the respective invoices.
The portion of the Contract Amount payable from Participation Fees will be payable by
the CDA only from and to the extent such Participation Fees are paid by the respective
Local Government Entities.
In the event a Local Government Entity does not pay the CDA its Participation Fee in
amounts and by deadline described in Exhibit A, the CDA will notify MCCD, and
MCCD will immediately cease the Initiative in that Municipality. Upon such termination,
the Contract Amount will be reduced by an amount equal to the Participation Fee which
such Local Government Entity did not pay and the amount the CDA would have paid as a
matching payment.
SCOPE OF SEVICES
MCCD will provide technical assistance and access to capital to existing businesses,
residents and those parties interested in starting a business in any of the Municipalities,
Small Cities, and Townships within Dakota County as further described on Exhibit B and
Exhibit C hereto, which sets forth the Dakota Open To Business Program Scope of
Services.
REPORTING
MCCD will submit quarterly reports to the CDA in form and substance acceptable to the
CDA. Reports will provide information in the agreement for County and will include a
sub-report for each Municipality and each of the Small Cities and Townships Reports
will include the following information:
Number of inquiries, entrepreneurs, and businesses served
Hours of technical assistance provided
Hours of dedicated program (including but not limited to – city initiatives, program
outreach, public events, city meetings, research, client follow-up, general inquiries)
Type of business/industry
Annual sales revenue
Number of businesses opened
3
Number of businesses expanded/stabilized
Number and amount of financing packages
Demographic information on entrepreneurs
Business city and/or resident city
The required reporting schedule is as follows:
1st quarter January – March, report due April 30th
2nd quarter April – June, report due July 31st
3rd quarter July – September, report due October 31st
4th quarter October – December, report due January 31st
In addition to the foregoing, MCCD will provide additional reports as reasonably
requested by the CDA or Local Government Entities.
Client confidentiality being a core component of the service model, MCCD will not
typically report specific client/business information in its regular reporting, However,
where permission from the client, MCCD will produce profiles of successful clients for
publication dissemination and media release.
PERSONNEL
MCCD represents that it has, or will employ or contract for, at its own expense, all
personnel required to perform the services necessary to carry out the Initiative. Such
personnel will not be employees of, or have any contractual relationship with, the
County, the CDA, or any of the Local Government Entities. No tenure or any other rights
or benefits, including worker’s compensation, unemployment insurance, medical care,
sick leave, vacation pay, severance pay, or any other benefits available to County, CDA,
or any of the Local Government Entities’ employees shall accrue to MCCD or employees
of MCCD performing services under this Agreement. MCCD is an independent
contractor.
All of the services required to carry out the Initiative will be performed by MCCD and all
personnel engaged in the work shall be fully qualified and shall be authorized or
permitted under State and local law to perform such work.
Natalie Mouislo shall be the dedicated MCCD Initiative advisor for the County, CDA,
and Local Government Entities for the duration of this Agreement. If there are material1
changes to Ms. Mouilso’s position with MCCD during the time of this Agreement, the
CDA will be informed by MCCD immediately.
1 Material is defined as any event or events that would prohibit Ms. Mouislo from being the full -time Initiative
Advisor for Dakota County.
4
USE OF CDA OFFICE SPACE
The CDA will make available a cubicle space for MCCD personnel at the CDA office
building for use by MCCD in carrying out the Initiative. MCCD personnel will have
access to the CDA meeting rooms, wireless internet services, copy machines, and
printers. MCCD personnel shall comply with all CDA office rules and policies regarding
the use of CDA office space, equipment, and internet access. If the CDA, in its sole
direction, determines that MCCD personnel has failed to comply with CDA office rules
and policies, MCCD personnel will be required to vacate the CDA office and the CDA
will cease to provide MCCD office space to carry out the Initiative.
INTEREST OF MEMBERS OF THE CDA AND OTHERS
No officer, member, or employee of the CDA and no member of its governing body, and
no other public official or governing body of any locality in which the Initiative is
situated or being carried out, who exercises any functions or responsibilities in the review
or approval of the undertaking or carrying out of the Initiative, will participate in the
decision relating to this Agreement which affects he/she is, directly or indirectly,
interested or has any personal or pecuniary interest, direct or indirect, in this Agreement.
ASSIGNABILITY
MCCD will not assign any interest in this Agreement and will not transfer any interest in
the same without the prior written approval of the CDA.
COMPLIANCE WITH LOCAL LAWS
MCCD agrees to comply with all federal laws, statutes, and applicable regulations of the
State of Minnesota and the ordinances of the Local Government Entities.
INSURANCE
General Terms. In order to protect itself and to protect the CDA under the indemnity
provisions set forth above Contractor shall, at Contractor's expense, procure and maintain
a policy of Professional Liability (PL) insurance covering the term of this Contract. Such
policy of PL insurance shall apply to the extent of, but not as a limitation upon or in
satisfaction of, the indemnity provisions herein. All retentions and deductibles under such
policies of insurance shall be paid by Contractor. Each such policy of insurance shall
contain a clause providing that such policy shall not be cancelled by the issuing insurance
company without at least 30 days’ written notice to the CDA of intent to cancel.
Certificates. Prior to or concurrent with execution of this Contract, Contractor shall file
certificates of such policies of insurance with the CDA.
Failure to Provide Proof of Insurance. The CDA may withhold payments or immediately
terminate this Contract for failure of Contractor to furnish proof of insurance coverage or
to comply with the insurance requirements as stated above.
INDEMINFICATION
MCCD agrees to defend, indemnify, and hold harmless the County, the CDA, the Local
Government Entities, and each of their respective officials, agents, volunteers and
5
employees from any liability, claims, causes of action, judgements, damages, losses,
costs, or expenses, including reasonable attorney’s fees, resulting directly or indirectly
from any act or omission of MCCD, its subcontractors, anyone directly or indirectly
employed by MCCD or any if its subcontractors, and/or anyone for whose acts and/or
omissions MCCD may be liable in the performance of the services required by this
Agreement, and against all loss by reason of failure of MCCD to perform any obligation
under this Agreement.
NOTICES
A notice, demand, or other communication under the Agreement by either party to the
other shall be sufficiently given or delivered if it is dispatched by mail, portage prepaid,
return receipt requested, or delivered personally; and
(a) In the case of MCCD is addressed or delivered personally to:
Tyler Hilsabeck
Metropolitan Consortium of Community Developers
3137 Chicago Avenue South
Minneapolis, MN 55407
(b) In the case of the CDA is addressed or delivered personally to:
Lisa Alfson, Director of Community and Economic Development
Dakota County Community Development Agency
1228 Town Centre Drive
Eagan, MN 55123
Or at such other address with respect to any party as that party may designate in writing
and forward to the other as provided in this Section.
MODIFICATION
This Agreement may not be modified, changed, or amended in any manner whatsoever
without the prior written approval of all the parties hereto.
NON-DISCRIMATION
In connection with its activities under this Agreement, MCCD will not violate any
Federal or State laws against discrimination.
DEFAULT AND CANCELLATION
Failure of the MCCD to perform any of its obligations under this Agreement to the
satisfaction of the CDA will constitute in a default hereunder.
If a default occurs, MCCD will have 60 days to cure any and all defaults and come into
compliance with this Agreement. MCCD will immediately notify the CDA of any
default. MCCD and the CDA will develop agreed upon milestones that must be met
within the 60-day period to avoid cancellation of this Agreement.
6
The primary default would be the loss of Ms. Mouilso as the dedicated MCCD Initiative
advisor. If Ms. Mouilso is no longer the dedicated MCCD Initiative advisor, MCCD will
be expected to meet the following milestones within the 60-day period –
1. MCCD will inform the CDA within 48 hours of Ms. Mouliso’s employment
departure notice.
2. The name and contact information of the interim MCCD Initiative advisor for
Dakota County will be shared with CDA and Local Government Entities within
three business days of Ms. Mouliso’s departure notice.
3. MCCD will continue to actively work with Dakota County clients on a full-time
basis in the event of a default and respond to client communication in a timely
manner as defined elsewhere in this Agreement.
4. MCCD will continue to track and input client data to ensure the quarterly report is
accurate when generated (see REPORTING section, page 2, for details).
5. MCCD staff, including the interim MCCD Initiative advisor, will meet with CDA
staff weekly (at a minimum) to provide updates on clients, Initiative work in
Dakota County, etc. Local Government Entities will be invited to these meetings.
6. MCCD will continue to actively market the MCCD Initiative in the same capacity
as prior to the default.
7. Hiring a new dedicated MCCD Initiative advisor for Dakota County is not
expected within 60 days of the default; however, steps to securing a new,
qualified, full-time MCCD Initiative advisor will occur within the 60 days. Steps
taken to secure a new advisor will be regularly communicated to CDA.
If a default is not remedied in 60 days, and/or the agreed upon milestones are not met
within the 60 days, the CDA may cancel this Agreement in its entirety by five additional
days’ written notice to MCCD.
MINNESOTA LAWS GOVERN
The Laws of the State of Minnesota shall govern all questions and interpretations
concerning the validity and construction of this Agreement and the legal relations
between the parties and their performance. The appropriate venue and jurisdiction for any
litigation will be those courts located within the County. Litigation, however, in the
federal courts involving the parties will be in the appropriate federal court within the
State of Minnesota. If any provision of this Agreement is held invalid, illegal or
unenforceable, the remaining provisions will not be affected.
7
DAKOTA COUNTY COMMUNITY
DEVELOPMENT AGENCY
By:_______________________________
Tony Schertler, Executive Director
Date: _____________________________
MCCD
By:
Printed Name: Elena Gaarder
Printed Title: Chief Executive Officer
Date:
8
Exhibit A
2022 & 2023 Local Government Entity Participation Fee
Schedule
Municipality Local Government
Entity
Total
Fee
CDA
Share of
Fee
Local Government
Entity Participation
Fee
Lakeville
City of Lakeville $18,900 $9,450 $9,450
Eagan
Eagan Economic Development
Authority $18,900 $9,450
$9,450
Burnsville
Burnsville Economic
Development Authority $18,650 $9,325 $9,325
Apple Valley
Apple Valley Economic
Development Authority $16,200 $8,100
$8,100
Inver Grove
Heights
Inver Grove Heights Economic
Development Authority $13,000 $6,500 $6,500
Rosemount
Rosemount Port Authority $10,400 $5,200 $5,200
Farmington
Farmington Economic
Development Authority $10,300 $5,150 $5,150
Hastings
Hastings Economic
Development and
Redevelopment Authority
$10,300 $5,150 $5,150
South St. Paul
South St. Paul Economic
Development Authority $10,100 $5,050 $5,050
West St. Paul
West St. Paul Economic
Development Authority $10,100 $5,050 $5,050
Mendota
Heights City of Mendota Heights $5,600 $2,800 $2,800
Small Cities
and Townships
n/a $7,550 $7,550 $0
Total $150,000 $78,775 $71,225
9
Exhibit B
Dakota Open To Business Program Scope of Services
Open To Business (“OTB”) Technical Assistance Services
MCCD will provide intensive one-on-one technical assistance to Municipalities’ and Small
Cities’ and Townships’ businesses, residents and aspiring entrepreneurs intending to establish,
purchase, or improve a business in Municipalities and Small Cities and Townships within Dakota
County. MCCD will dedicate one full time staff person based in Dakota County to provide the
Technical Assistance Services (“Dakota OTB Staff”). In addition, MCCD will make available
the expertise of all MCCD technical and support staff in the delivery of services to Dakota Open
to Business Program. Technical assistance includes, but is not limited to, the following:
Business plan development
Feasibility analysis
Marketing
Cash flow and other financial projection development
Operational analysis
City and State licensing and regulatory assistance
Loan packaging, and other assistance in obtaining financing
Help in obtaining competent legal advice
MCCD Dakota OTB Staff will be available to meet clients at the CDA office building, various
Municipality city halls or at the client’s place of business. During the COVID-19 pandemic,
MCCD Dakota OTB staff will only meeting clients in-person if the MCCD Dakota OTB staff are
comfortable; otherwise, client meetings will be held virtually and/or on the phone.
Open To Business Access to Capital
Access to capital will be provided to qualifying businesses through MCCD’s Emerging Small
Business Loan Program (see Exhibit C Small Business Loan Program Guidelines below).
MCCD also provides it’s financing in partnership with other community lenders, banks or Local
Government Entities interested in making capital available to residents and/or businesses in their
community.
10
EXHIBIT C
Small Business Loan Program Guidelines
Loan Amounts:
Up to $25,000 for start-up businesses
Larger financing packages for established businesses
Designed to leverage other financing programs as well as private financing provided by
the commercial banking community.
Eligible Projects:
Borrowers must be a “for-profit” business.
Business must be complimentary to existing business community.
Borrowers must have equity injection as determined by fund management.
Allowable Use of Proceeds:
Loan proceeds can be used for working capital, inventory, building and equipment and
general business operations.
Interest Rates:
Loan interest rate is dependent on use, term and other factors, not to exceed 7%.
Loan Term Length:
Loan repayment terms will generally range from three to five years, but may be
substantially longer for major asset financing such as commercial property.
Fees and Charges:
Borrowers are responsible for paying all customary legal and other loan closing costs.
Clients Served
Client Inquiry 12
Existing - Challenged 24
Existing -Opportunity 42
Pre-start planning 47
Start-up 27
Total 152
Business Owner Demographics
Low-Income Owned 37
BIPOC or Immigrant
Owned 55
Woman Owned 81
Financing & Access to Capital
Approved (YRLY Total) $ 5,000.00
Equity (YRLY Total) $ 6,000.00
Facilitated (YRLY Total) $ 25,000.00
Program Hours
TA Program HRS
1st QTR 284.75 318
2nd QTR 264.27 235
3rd QTR 242.75 241
Total 791.77 794
TA: Client Meetings, Providing Resources, Client Calls,
Client Deliverables, Loan Packaging
Program HRS: City Initiatives, Program Outreach, Public
Events, City Meetings, Research, Client Follow Up,
Data/Admin, General Inquiries
Dakota County Quarterly Report – 9.30.2021
Open to Business
3137 Chicago Ave
Minneapolis, MN 55407
612-789-7337
Industry Segment
Construction / Real Estate 11
Food 25
Health/Fitness 10
Manufacturing 7
Consulting 18
Retail 34
Service 35
Technology 4
Wholesale / Distribution 3
Other 2
Total 152
Referral Source
Bank Referral
8
Entrepreneur 6
Friends and Family 5
Municipality 76
MCCD Partner 17
Other 12
Web 28
Total 152
City Business Resident
Apple Valley 14 12
Burnsville 19 17
Eagan 20 11
Farmington 17 14
Hastings 18 13
Inver Grove Heights 6 7
Lakeville 17 16
Rosemount 9 9
Mendota Heights 4 4
South St. Paul 10 8
West St. Paul 11 8
Other Dakota Co. 4 2
Other/ No Data 7 24
Dakota County Quarterly Report
2
Direct Financing & Access to Capital*
In 2021, there has been unprecedented opportunities for small business relief capital in the form of grants as well as
low-cost and forgivable loans which has contributed to reduced demand for traditional small business lending. MCCD
staff has focused our efforts on directing clients to the available relief grants and loans. We have seen traditional
lending inquiries from clients and financial partners pick up again as businesses are stabilizing and shifting back into
growth mode. There are several loans in our pipeline currently and we look forward to more activity in Q4.
Loan Closed - (Q2 - 2021):
Business Type: Dessert Vendor with Food Trailer
Location: Inver Grove Heights
Referred by: Partner Organization
OTB Financing: $5,000.00
Owner Equity: $6,000.00
Other Financing: $25,000.00
Overview: This 100% BIPOC-woman-owned dessert business sells sweets at festivals and pop-up events on a seasonal
basis. The business owner is growing her business by investing in a fully equipped food trailer. This investment will
result in new efficiencies for the business as she has been operating as a food stand and spends valuable time and
resources setting up, loading equipment, traveling back and forth to events, and packing up when weather is bad. The
new trailer will allow her to focus more time on her customers and give her increased flexibility.
The financing secured comes after working closely with Open to Business for approximately 24 months. In that time, the
business owner has built her branding, social media presence, budgeting skills, and financial projections in preparation
for the loan request with her credit union. The total funding is $36,000. OTB is directly financing the purchase of baking
equipment for the build-out of the trailer, as well as working capital for the overall project.
*Does not capture relief loans/grants/funding facilitated by MCCD staff.
Q3 Highlights, Networking, & Outreach
CDFI Award
• As I mentioned in the Q2 report, MCCD received a $1.826M grant from the CDFI program in June 2021. As a direct
result of this new funding, MCCD was able to offer an interest rate reduction on approximately 75 loans in our loan
portfolio. Additionally, we’ve capped our interest rate at 7% for new loans to startup businesses. This interest rate
cap and rate reduction is in sync with steps other CDFIs have taken recently. We are excited to make these changes
to our loan policies as part of our commitment to provide affordable and flexible capital to the communities we
serve. We are determined in the promotion of small business growth, building community wealth, and creating new
economic opportunities as a CDFI. We will continue our conversations with other CDFIs locally and nationally on
putting these funds to use and will be in touch with updates as additional information is available.
DEED Main Street COVID Relief Grants
• In September the Open to Business team worked diligently to get the word out about the new DEED grant
opportunity, assist with applications, and troubleshoot application questions. MCCD is one of the nonprofit
agencies reviewing grants as well.
Dakota County Quarterly Report
3
Staffing Updates
• Our newest Business Advisor Vicky Gonzalez joins MCCD with a strong background in business banking and
lending. Prior to joining MCCD, Vicky worked at the Latino Economic Development Center (LEDC) as a Business
Advisor. Vicky is bilingual in English and Spanish and will assist OTB advisors throughout all counties (she will not be
assigned a specific county and will “float”) to provide technical assistance in Spanish with a focus on small business
lending and outreach.
• Tina Stennes joins MCCD as the Communications & Special Projects Manager. With nearly a decade of
communications experience, Tina has helped numerous organizations effectively define their vision and tell their
story. Dedication to the community has led Tina to focus on working with mission-based organizations and she’s
held leadership roles both locally and nationally working in digital inclusion and workforce development.
Programming, Partnerships, & Trainings
• Aug. 13: MCCD staff completed the first session in a training series on shared and cooperative ownership structures
with consultant Margaret Lund. The training is aimed to increase our understanding of shared ownership models
and when/how to implement for small business clients.
• Aug. 18: Partnership with the Dakota County Library system the Small Business Lending / Networking event was
held outdoors at the Eagan Library. I hosted the event with my colleague Tyler Hilsabeck with special guest Dan
Burns from Minnwest Bank. Ron Seipp from Mouth Metro SCORE was also in attendance.
• Oct. 4 – 8: MCCD co-hosted the annual conference of the National Alliance of Community Economic Development
Associations (NACEDA) which was held virtually. MCCD organized sessions spotlighting economic development in
Minnesota on October 6th including a keynote address by Lt. Governor Peggy Flanagan and a session on Building a
Business Advisor Pipeline.
• November 17: We are hosting another virtual Q&A with the University of MN Law School on November 17th. This is
a free virtual event for business at any stage.
▪ Additionally, the summer cohort of law students completed a research project for us to create an educational
tool to walk clients through key aspects of organizing a business and hiring employees.
Advertising & Outreach
• Thanks to all who shared out the Q3 OTB ads emphasizing our language capabilities in Spanish, Hmong, Somali.
• Meetings, presentations, and events that occurred in Q3 and early October focused on bank outreach to build and
strengthen those relationships and increase awareness around MCCD’s lending program. Meetings and outreach
occurred with 21st Century Bank, Frandsen Bank, Home Federal Savings Bank, Choice Bank, Think Bank, Prime
Security Bank, Bremer Bank, Minnwest Bank, and Genisys Credit Union. As a direct result of this effort four new loan
referrals were received!
• In addition to banker outreach, I attended the Mendota Heights Community Coffee Connection event at MH City
Hall Aug 14, the recurring Business Services/Economic Development Committee meetings, and had partnership /
update meetings with the Dakota County Library, the University of MN Law School, the River Heights Chamber of
Commerce, Neighborhood Development Center, African Development Center, Northside Economic Opportunity
Network, the City of Eagan, and the City of Farmington.
Dakota County Quarterly Report
4
• Concerns around COVID variants prompted MCCD to change our meeting / office protocols through the end of 2021;
we are back to virtual meetings and have canceled in-person events. My office hours will continue virtually. I am
available to meet in person with clients and partners on a case-by-case basis.
MCCD Client Profile
Meet Claudia Gutierrez Mendez, owner of Hamburguesas El Gordo and MCCD client since 2018. Her business started in
her home and has since expanded to four locations in the Twin Cites Metro area with an enthusiastic and dedicated local
following. Find Hamburguesas El Gordo on Cedar Avenue in Minneapolis, Robert Street in West Saint Paul, and at the
two locations which opened in 2020: Selby Avenue in Saint Paul and Payne Avenue in East Saint Paul. This business
employs approximately 60 people across four locations. There is so much more to Claudia’s story of perseverance, hard
work, and growth. Hear her story in her own words via the video profile on MCCD’s website.
• Short version (~2 minutes) is on the MCCD Homepage – www.mccdmn.org
• Full version (~5 minutes) is on the OTB Homepage – www.opentobusinessmn.org
Dakota County Quarterly Report
5
Selected Program Feedback
“Natalie and Metropolitan Consortium of Community Developers have been so helpful with our startup that one
adjective couldn't describe their impact. Every step of the way Natalie provided sound advice with logical explanations. In
addition, providing contacts to individuals that specialize in such areas (recommendations to participate in the law clinic
provided by the University of Minnesota to help us with legal documents). Natalie's help went beyond just concrete
advice. She encouraged us to do our research because ultimately it is our company and decisions were left up to us.
Essentially, it helped strengthen our critical thinking skills and boosted our confidence. “
– Apple Valley Business Owner
“We had a great experience working with your organization.”
– Eagan Business Owner
“I’m not kidding when I say that I could NOT have done moving my businesses to
where they are now without Natalie’s guidance and grace.”
– Hastings Business Owner
“HANDS DOWN Open to Business is the first place to start digging in.”
– Burnsville Business Owner
Clients Served
Client Inquiry 8
Existing - Challenged 18
Existing -Opportunity 35
Pre-start planning 32
Start-up 20
Total 113
Business Owner Demographics
Low-Income Owned 34
BIPOC or Immigrant
Owned 41
Woman Owned 67
Financing & Access to Capital
Approved (YRLY Total) $ 5,000.00
Equity (YRLY Total) $ 6,000.00
Facilitated (YRLY Total) $ 25,000.00
Program Hours
TA Program HRS
1st QTR 284.75 318
2nd QTR 258.27 235
Total 549.52 553
TA: Client Meetings, Providing Resources, Client Calls,
Client Deliverables, Loan Packaging
Program HRS: City Initiatives, Program Outreach, Public
Events, City Meetings, Research, Client Follow Up,
Data/Admin, General Inquiries
Dakota County Quarterly Report – 6.30.2021
Open to Business
3137 Chicago Ave
Minneapolis, MN 55407
612-789-7337
Industry Segment
Construction / Real Estate 9
Food 18
Health/Fitness 7
Manufacturing 6
Consulting 12
Retail 28
Service 24
Technology 4
Wholesale / Distribution 3
Other 2
Total 113
Referral Source
Bank Referral
4
Entrepreneur 4
Friends and Family 4
Municipality 55
MCCD Partner 12
Other 12
Web 22
Total 113
City Business Resident
Apple Valley 10 7
Burnsville 15 16
Eagan 14 11
Farmington 10 12
Hastings 14 9
Inver Grove Heights 5 6
Lakeville 12 13
Rosemount 7 7
Mendota Heights 4 4
South St. Paul 4 4
West St. Paul 10 8
Other Dakota Co. 3 3
Other/ No Data 4 13
Dakota County Quarterly Report
2
Direct Financing & Access to Capital*
In recent months there has been unprecedented opportunities for small business relief capital in the form of grants as
well as low-cost and forgivable loans which has contributed to reduced demand for traditional small business lending.
MCCD staff has focused our efforts on directing clients to the available relief grants and loans. Recently we have seen
traditional lending inquiries from clients and financial partners pick up again as businesses are stabilizing and shifting
back into growth mode.
Loan Closed - (Q2 - 2021):
Business Type: Dessert Vendor with Food Trailer
Location: Inver Grove Heights
Referred by: Partner Organization
OTB Financing: $5,000.00
Owner Equity: $6,000.00
Other Financing: $25,000.00
Overview: This 100% BIPOC-woman-owned dessert business sells sweets at festivals and pop-up events on a seasonal
basis. The business owner is growing her business by investing in a fully equipped food trailer. This investment will
result in new efficiencies for the business as she has been operating as a food stand and spends valuable time and
resources setting up, loading equipment, traveling back and forth to events, and packing up when weather is bad. The
new trailer will allow her to focus more time on her customers and give her increased flexibility.
The financing secured comes after working closely with Open to Business for approximately 24 months. In that time, the
business owner has built her branding, social media presence, budgeting skills, and financial projections in preparation
for the loan request with her credit union. The total funding is $36,000. OTB is directly financing the purchase of baking
equipment for the build-out of the trailer, as well as working capital for the overall project.
*Does not capture relief loans/grants/funding facilitated by MCCD staff.
Q2 Highlights, Networking, & Outreach
• CDFI Award: Big news from MCCD! This June MCCD was awarded a $1.826M grant, the maximum, from the US
Dept. of the Treasury CDFI Rapid Response Program (CDFI RRP). MCCD and 26 other CDFIs in Minnesota
received this unprecedented funding which can be used for financial services and products, technical assistance,
and loan loss reserves among other eligible uses.
• Dakota County business owner and Open to Business client Annie Qaiser was recently named an MSP Business
Journal Women in Business 2021 Honoree! Annie built her business out of a desire to bring HALAL certified
skincare products to her family and community. All products are handmade by Annie with high quality and
100% natural ingredients (information is shared with Annie’s permission).
o https://www.bizjournals.com/twincities/news/2021/07/19/2021-women-in-business-honorees-first-
round.html
o Check out Annie’s recent profile in the Star Tribune https://www.startribune.com/exposure-at-moa-
helps-entrepreneur-grow-halal-certified-wellness-brand/600066744/
• OTB’s May 18th PPP Loan Forgiveness Q&A with Northeast Bank and Bottom Line Business Solutions was a great
success. The webinar was recorded and is available for download via the link in my signature under News,
Trainings, Events.
• In partnership with the Dakota County Library System we are hosting an in-person networking and learning
series at various library locations throughout Dakota County. The first event is a Small Business Lending Q&A on
Dakota County Quarterly Report
3
August 18th from 9:30 – 10:30 AM at the Wescott Library in Eagan. I will be joined by Minnwest Bank. The event
will be conversational, and we plan to discuss financing options and strategies for small business.
• Thanks to all who shared out the Q2 OTB ads. We are focusing on lending outreach and strengthening our bank
partnerships. I will continue targeted outreach to banks in Q3 & Q4 and always welcome direct referrals to your
contacts. Warm introductions tend to work much better than cold outreach.
• Office Hours: As of mid-June, in person client meetings have resumed on a case by case basis. I am available to
meet in person with clients upon request. Virtual office hours will continue for the time being until there is a
demonstrated need for a regular in person schedule. Virtual hours are Mondays and Wednesdays from 1 – 3 PM
and Friday mornings from 9:30 – noon. The signup link is in my email signature.
• Meetings, presentations, and events that occurred in Q2 and early July include South Saint Paul presentation
Apr 5, Mendota Heights presentation Apr 6, Northeast Bank meeting Apr 8, recurring Business
Services/Economic Development Committee meetings, City of Rosemount presentation Apr 20, virtual
attendance at Farmington State of the City April 29, virtual attendance at Employers of Excellence event May 13,
virtual attendance at Eagan State of the City May 27, City of Eagan check in June 22. June and July bank
outreach conversations include Bremer Bank, Choice Bank, Frandsen Bank, Genisys Credit Union, Home Federal,
Minnwest Bank, Think Bank, and Wells Fargo.
• Meetings, presentations, and events slated for Q3 include Prime Security Bank meeting Aug 4, MCCD Summer
Social for Loan Committee Volunteers & Consortium Lending Partners Aug 12, Mendota Heights Community
Coffee Connection at City Hall Aug 14, Small Business Lending Q&A Aug 18, recurring Business
Services/Economic Development Committee meetings, Choice Bank group presentation Sept 20.
• MCCD staff recently completed a 3-part diversity, equity, and inclusion training with one-on-one and group
sessions focused on building our intercultural competencies. The training and assessments aimed to increase
our effectiveness and understanding as we work across cultures within our organization and with clients.
Client Profile: Greg Bolton, The Gym in Mendota Heights
Greg Bolton, owner and operator of The Gym in Mendota Heights, prides himself on responding to the needs of the
community as he meets new challenges with optimism and creativity. Greg’s gym offers a broad range of martial arts
classes for a variety of age groups and skill levels. What sets this business apart is Greg’s solution-oriented mindset and
his ability to recognize when there’s an opportunity to help his students and their families.
Dakota County Quarterly Report
4
This commitment to finding solutions was particularly helpful in 2020 when, early in the pandemic, Greg recognized that
some of the families in his community were experiencing challenges related to virtual learning at home. Greg swiftly
launched Virtual Learning Camp by converting one of his practice rooms into a socially distanced classroom and hiring a
part-time teacher to facilitate the virtual learning from The Gym. When students finished their schoolwork, they could
play outside or join a martial arts class. Virtual Learning Camp continued through 2020 and proved to be a helpful
alternative for the families and kids who participated.
MCCD’s Open to Business team began working with Greg in 2016 when he secured financing for an expansion and
remodel of The Gym. In 2020, the OTB team provided business advising and resources including partially forgivable
capital via Minnesota’s Small Business Emergency Loan program. Greg plans to continue building community and
growing his business in the years to come and MCCD will continue to be a resource for him along the way.
The Gym Martial Arts / Group Fitness / Youth Programs
780 S Plaza Drive, Mendota Heights, MN 55120
651-683-0355
Hello@TheGymMH.com
https://thegymmh.com/
Selected Program Feedback
“You are a great resource for us as well as our clients.” - SBA Division Manager of Financial Institution, Lakeville
“I really appreciate all that you do for Small Business.” - Rosemount Business Owner
“I would encourage any small business owner to work with [Open to Business]. They are totally ‘there’ for you. I truly felt
that I had people coaching me who were dedicated to helping my business succeed.” - Hastings Business Owner
Clients Served
Client Inquiry 3
Existing - Challenged 14
Existing -Opportunity 26
Pre-start planning 21
Start-up 9
Total 73
Business Owner Demographics
Low-Income Owned 22
BIPOC or Immigrant
Owned 25
Woman Owned 41
Financing & Access to Capital
Approved (YRLY Total) $ 5,000.00
Equity (YRLY Total) $ 6,000.00
Facilitated (YRLY Total) $ 25,000.00
Program Hours
TA Program HRS
1st QTR 281.25 318
Total 281.25 318
TA: Client Meetings, Providing Resources, Client Calls,
Client Deliverables, Loan Packaging
Program HRS: City Initiatives, Program Outreach, Public
Events, City Meetings, Research, Client Follow Up,
Data/Admin, General Inquiries
Dakota County Quarterly Report – 3.31.2021
Open to Business
3137 Chicago Ave
Minneapolis, MN 55407
612-789-7337
Industry Segment
Construction / Real Estate 7
Food 11
Health/Fitness 5
Manufacturing 2
Consulting 6
Retail 16
Service 16
Technology 3
Wholesale / Distribution 1
Other 6
Total 73
Referral Source
Bank Referral
3
Entrepreneur 2
Friends and Family 3
Municipality 41
MCCD Partner 8
Other 6
Web 10
Total 73
City Business Resident
Apple Valley 6 4
Burnsville 11 13
Eagan 8 6
Farmington 8 9
Hastings 9 7
Inver Grove 5 5
Lakeville 5 6
Rosemount 4 5
Mendota Heights 2 2
South St. Paul 3 3
West St. Paul 7 5
Other / No Data 5 8
Dakota County Quarterly Report
2
Direct Financing & Access to Capital*
In recent months there has been unprecedented opportunities for small business relief capital in the
form of grants as well as low-cost and forgivable loans which has contributed to reduced demand for
traditional small business lending. MCCD staff has focused our efforts on directing clients to the
available relief grants and loans. Recently we have seen traditional lending inquiries from clients and
financial partners pick up again as businesses are stabilizing and shifting back into growth mode.
Loan Closed - (Q2 - 2021):
Business Type: Dessert Vendor with Food Trailer
Location: Inver Grove Heights
Referred by: Partner Organization
OTB Financing: $5,000.00
Owner Equity: $6,000.00
Other Financing: $25,000.00
Overview: This 100% BIPOC-woman-owned dessert business sells sweets at festivals and pop-up events
on a seasonal basis. The business owner is growing her business by investing in a fully equipped food
trailer. This investment will result in new efficiencies for the business as she has been operating as a
food stand and spends valuable time and resources setting up, loading equipment, traveling back and
forth to events, and packing up when weather is bad. The new trailer will allow her to focus more time
on her customers and give her increased flexibility.
The financing secured comes after working closely with Open to Business for approximately 24 months.
In that time, the business owner has built her branding, social media presence, budgeting skills, and
financial projections in preparation for the loan request with her credit union. The total funding is
$36,000. OTB is directly financing the purchase of baking equipment for the build-out of the trailer, as
well as working capital for the overall project.
*Does not capture relief loans/grants/funding facilitated by MCCD staff.
Q1 Highlights, Networking, & Outreach
• MCCD is building on our existing relationships with local partners and institutions to bring group
learning opportunities to small business owners and entrepreneurs in the form of webinars and
Q&A sessions.
o The first group learning session kicked off in March. MCCD facilitated and hosted a
virtual Q&A session where attendees heard from a panel of legal experts from the
University of Minnesota Law School on a range of business law topics. The session was
recorded and will remain a reference tool in MCCD’s resource library for staff and clients
going forward.
o Dates for future events will be announced in the coming weeks. Business owners and
entrepreneurs who wish to stay informed about future events and learning
opportunities can email events@mccdmn.org to subscribe.
• Meetings, presentations, webinars, and events that occurred in Q1 and early April include the
City of Burnsville presentation on Jan 27, City of Apple Valley presentation Jan 28, Wings
Financial meeting on Feb 11, Dakota Co. Library webinar Feb 16, Dakota County CDA
presentation on Feb 16, Inver Hills Community College webinar Feb 23, City of Eagan check in
Mar 1, Dakota Co. Library webinars Mar 2 & Mar 9, virtual attendance at South Saint Paul State
Dakota County Quarterly Report
3
of the City Mar 11, virtual attendance at the City of Burnsville State of the City Mar 17, virtual
attendance at Lakeville Chamber Event Mar 18, hosted the U of M Law Clinic Q&A webinar on
Mar 25, South Saint Paul presentation Apr 5, Mendota Heights presentation Apr 6, Northeast
Bank meeting Apr 8.
• Meetings, presentations, and events slated for Q2 include the City of Rosemount presentation
on April 20, virtual attendance at Farmington State of the City on April 29, virtual attendance at
Eagan State of the City May 27, City of Eagan check in June 14.
• Virtual office hours continue to be available Mondays and Wednesdays from 1 – 3 PM and
Friday mornings from 9:30 – noon. The signup link is in my email signature. Please share with
clients and contacts as you see fit.
• MCCD recently joined EDAM with an Organizational Membership. We look forward to seeing
those that are members at future events.
• OTB’s Business Boot Camp is accepting applications. The program is designed to provide
support and in-depth assistance specifically for existing businesses. Over the course of four
weeks, participants engage in a multi-session curriculum tailored to their business needs and
goals. Working with a team of advisors, participants will dedicate focused time to set strategic
objectives, think critically, and develop strategies relevant to their unique situation. Boot Camp
graduates finish the program with a custom work plan and actionable steps to take to reach
their goals. Visit www.mccdmn.org/bootcamp for more information. The first “graduate” is a
Hasting business owner who found the program to be rewarding and valuable.
• A refreshed Client Intake Form now includes intersectional and diverse identity options for
gender and race. The form also now offers an opt-in where clients may elect to receive updates
from MCCD/OTB regarding new programs and business resources via email.
• In keeping with MCCD’s core values of stewardship and accountability, quarterly Open to
Business reports now include data on the number of business served that are owned by
individuals who are low income, BIPOC or immigrant, and women.
• MCCD in pleased to announce that Chipo Monga joined the Loan Operations team as a full time
Loan Specialist Associate. Chipo’s role on the front-end of loan servicing sees that both internal
and external loan queries are handled in a timely and professional manner. Originally from
Zambia, which has more than 70 dialects and languages, Chipo speaks Tonga/Nyanja and Bemba
fluently.
• Staff photos and bios are now live on the website. Get to know the whole MCCD team at
www.mccdmn.org/about/5-staff-directory
Selected Client Feedback
• “It feels great to finally get my books in order, thank you so much!” Eagan Business Owner,
Landscaping Industry
• “Thank you for sending the grant opportunity to me earlier last month. We got the grant. :)) It
will help a lot.” Farmington Business Owner, Construction Industry
• “Today is our grand opening and I’d love for you to stop in!!! Thank you so much for all the help
you have been giving me!!!” Burnsville Business Owner, Retail Industry
• “Thank you for meeting with me last week and for all of the great ideas and pointers you shared!
Our meeting was so helpful!” Lakeville Business Owner, Service Industry
• “Thank YOU for being such a great resource for our community!” Chamber Contact in Dakota Co.
I T E M: 4.B.
E D A ME E T I NG D AT E :December 21, 2021
S E C T I O N:Regular A genda
Description:
A dopt Resolution A pproving 2022 E D A B udget
S taff Contact:
Ron Hedberg, Finance Director and B ruce Nordquist
Community Development Director
Department / Division:
Community Development Department
AC T I O N RE Q UE S T E D:
Adopt Resolution Approving 2022 ED A Budget.
S UM M ARY:
T he proposed 2022 budget, approved by the C ity Council in their annual budget, includes the
Economic Development Operations Fund. T he proposed budget includes the anticipated
activities in 2022. 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 ED A.
B AC K G RO UND:
T here are two primary uses for the Economic Development Operations Fund:
1. To support the partnership with Dakota C ounty and participating cities in the business
support program called “Open to Business”. T he program counsels small business in
business plan development, marketing strategies, and business concept to realization
best practices that result in a physical location or business expansion. Most often, small
amounts of micro-grant start-up financing is used in combination with local lender
resources to facilitate business development and growth. T he program contribution from
the Apple Valley ED A is approximately $8,500 for 2022.
2. To support the partnership with Dakota C ounty and other participating cities in
responding to regional, national and global market opportunities that attract businesses
and workers to the greater Twin C ity area, including Apple Valley. Greater MS P is that
regional organization that has been the visible regional economic development authority
to retain, expand and attract business. T he program contribution from the Apple Valley
ED A is approximately $10,600 for 2022.
Possible activity areas in 2021 and 2022 include:
Continue as a member of G REAT ER MSP, the regional economic development
organization with national and global networks for local business.
Continue the “Open to Business” small business development service with the Dakota
County C D A and Metropolitan C onsortium of Community Developers.
Continue 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 C R42
and C edar Avenue.
Manage City/ED A owned property until development.
B UD G E T I M PAC T:
T he resolution approves the total budgeted expenditures of $21,200.
AT TAC HM E NT S :
Resolution
Budget
CITY OF APPLE VALLEY
ECONOMIC DEVELOPMENT AUTHORITY
RESOLUTION NO. EDA 21-___
RESOLUTION APPROVING 2022 PROPOSED BUDGET
WHEREAS, the Apple Valley Economic Development Authority has reviewed the
proposed 2022 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
2022 shall be as included below in this resolution and as supported by the detailed document, as
revised.
2022
Revenues:
Investment Earnings $10,000
Total Revenues $10,000
Expenditures:
Wages & Benefits 600
Consultant Services $8,500
Dues & Subscriptions $12,100
Total Expenditures $21,200
ADOPTED this 21st day of December, 2021, by the Apple Valley Economic Development
Authority Board of Commissioners.
Tom Melander, President
ATTEST:
Pamela J. Gackstetter, Secretary
COMPANY DEPARTMENT BUSINESS UNIT ACTIVITY
3210 93 3212 EDA Operations Fund
DESCRIPTION OF ACTIVITY
The EDA Operations fund was created initially to focus 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 2022 and 2023
•Continue the master planning of the Mixed Business Campus (MBC) with the identified
owner/developer, Rockport LLC.
•Anticipate business attraction and development in the mixed business campus – Orchard
Place – given the available land and the prominence of MSP airport to national and global
just-in-time commerce.
•Continue as a member of GREATER MSP, the regional economic development
organization with national and global contacts for local business development.
•Continue Open to Business assistance services with the Dakota County CDA
•Facilitate repositioning and improvement of properties within the quadrants of CR42 and
Cedar Avenue.
IMPACT MEASURES / PERFORMANCE INDICATORS
Actual Actual Actual Projected Projected Projected
Item 2018 2019 2020 2021 2022 2023
Jobs added (perm. and const.) 500 500 300 500 500 500
Bus. Dev./AV Clients Served 10 5 9 10 15 20
Summary Budget
Department 93 EDA Operations Fund
2018 2019 2020 2020 2021 2022 2023
Actual Actual Actual Adopted Adopted Proposed Proposed
Revenue:
Building Mgmt Fee 50,000 50,000 - 50,000 50,000 - -
County Grants- Parking Lot - - - -- - -
Grants - MC & Other 1,148,639 500,000 - -- - -
Admin Fees-Other Funds - - 50,000 - - - -
Refunds/Reimbursements - - 574,320 - - - -
Other Transfers In - - 399,850 - - - -
Investment Earnings 14,849 24,868 27,110 400 400 10,000 10,000
1,213,488 574,868 1,051,280 50,400 50,400 10,000 10,000
Expenditures:
Salaries & Wages 416 - 108 535 550 550 550
Emp. Benefits 33 - 8 45 50 50 50
Supplies - - - - - - -
Contractual Serv.- 2,985 - 8,000 8,000 8,500 9,000
Training/Travel/Dues 19,730 10,175 18,800 12,650 11,850 12,100 12,500
Developer Asstistance 574,320 500,000 399,850 - - - -
Capital outlay - - - - - - -
Total Expenditure 594,498 513,160 418,766 21,230 20,450 21,200 22,100
Fund Balance
Beginning 124,531 743,521 805,229 805,229 1,437,743 1,467,693 1,456,493
Ending 743,521 805,229 1,437,743 834,399 1,467,693 1,456,493 1,444,393
2022 & 2023 CAPITAL OUTLAY:
None
City of Apple Valley
Department Expense Summary
Budget Years (2022-2023)
EDA OPERATIONS
Object
Account
2018
Actual
2019
Actual
2020
Actual
2021
Council
Adopted
Original
06/30/21
YTD Actual
2022
Dept
Proposed
2022
Admin
Recommend
2023
Dept
Proposed
2023
Admin
Recommend
6110 - SALARY-REGULAR EMPLOYEES 550 550 550 0 550
6112 - SALARY-SEASONAL TEMP 416 0 108 0
6105 - SALARIES AND WAGES 416 0 108 550 0 550 550 0 550
6138 - MEDICARE 6 0 2 50 0 50 50 0 50
6139 - FICA 26 0 7 0 0 0 0
6142 - WORKERS COMPENSATION 1 0 0 0
6125 - EMPLOYEE BENEFITS 33 0 8 50 0 50 50 0 50
6100 - TOTAL PERSONNEL SERVICES 449 0 116 600 0 600 600 0 600
6235 - CONSULTANT SERVICES 0 2,985 0 8,000 6,500 8,500 8,500 9,000 9,000
6230 - CONTRACTUAL SERVICES 0 2,985 0 8,000 6,500 8,500 8,500 9,000 9,000
6276 - SCHOOLS/CONFERENCES/EXP OTHER 1,330 0 0 0 0
6278 - SUBSISTENCE ALLOWANCE 100 0 0 0 0
6280 - DUES & SUBSCRIPTIONS 18,300 10,175 18,800 11,850 11,000 12,100 12,100 12,500 12,500
6270 - TRNG/TRAVL/DUES/UNIF 19,730 10,175 18,800 11,850 11,000 12,100 12,100 12,500 12,500
6200 - TOTAL OPERATING COSTS 19,730 13,160 18,800 19,850 17,500 20,600 20,600 21,500 21,500
6397 - DEVELOPER ASSISTANCE 574,320 500,000 0 0
6301 - OTHER EXPENDITURES 574,320 500,000 0 0
6300 - TOTAL OTHER EXPENDITURES 574,320 500,000 0 0
6801 - TOTAL CONSTRUCTION COSTS 0 0 0 0
6800 - TOTAL CONSTRUCTION COSTS 0 0 0 0
594,498 513,160 18,916 20,450 17,500 21,200 21,200 21,500 22,100
CITY OF APPLE VALLEY
2022 BUDGET
ACCOUNT DETAIL
DEPT 93: EDA OPERATIONS FUND -3212
COMPANY 3210: EDA OPERATIONS
2020 2021 2021 2022 2022 2023 2023
ACC'T DESCRIPTION COUNCIL COUNCIL YEAR END DEPT ADMIN DEPT ADMIN
ADOPTED ADOPTED PROJECTED PROP RECOMMEND PROP RECOMMEND
SALARIES
6110 Regular Employees 535 550 550 550 550 - 550
6138 Medicare 45 50 50 50 50 - 50
Total 580 600 600 600 600 - 600
6235 CONSULTANT SERVICES
Open to Business 8,000 8,000 6,500 8,500 8,500 9,000 9,000
Total 8,000 8,000 6,500 8,500 8,500 9,000 9,000
6280 DUES & SUBSCRIPTIONS
Membership in local chapters of nordic
Chambers of Commerce 1,500 1,500 1,500 1,500 1,500 1,500 1,500
Greater MSP 10,350 10,350 10,350 10,600 10,600 11,000 11,000
Sister City 800 - - - - - -
Total 12,650 11,850 11,850 12,100 12,100 12,500 12,500
Total Net of Personnel 20,650 19,850 18,350 20,600 20,600 21,500 21,500
TOTAL EXPENSES 21,230$ 20,450$ 18,950$ 21,200$ 21,200$ 21,500$ 22,100$