HRSR STRATEGIC PLANNING WORKSESSION 03-31-2004 City of
Elk
River
MEMORANDUM
TO: Economic Development Authority
Housing & Redevelopment Authority
Mayor & City Council
EDA Finance Committee
EDA Marketing Committee
EDA Business Incubator Advisory Committee
CC: Pat Klaers, City Administrator
Catherine Mehelich, Director of Economic Development
Michele McPherson, Director of Planning
Steve Rohlf, Building & Environmental Administrator
Bryan Adams, Municipal Utilities Manager
FROM: Heidi Steinmetz, Assistant Director of Economic Development
• DATE: March 31, 2004
SUBJECT: Strategic Planning Worksession
The first of two Economic Development strategic planning worksessions is scheduled for:
Date: Wednesday, March 31, 2004
Time: 12:00pm — 5:00pm (Lunch will be served at 1 1:30am. Please RSVP for lunch by contacting
Debbie Huebner at(763)635-1032 no later than noon on Wednesday,March 24, 2004).
Place: Elk River Public Safety Facility, Emergency Operations Center (EOC) Enter through
fire hall doors and follow signs.
The purpose of this strategic planning worksession is to examine the goals that were
identified in the recent plan and to complete a SWOT analysis to identify potential new
goals/issues. The group will also review and discuss the strategic plan mission statement.
The agenda and previous plans are enclosed for your review prior to the worksession.
The last of the two worksessions is scheduled for Wednesday, May 5, 2004 from
3:00pm — 8:00pm at the EOC.
• If you have any questions or comments about this process,please feel free to contact me at
(763) 635-1042.
•
City of Elk River
Economic Development Strategic Plan Update
March 31, 2004 Schedule
11:30 Lunch (optional)
12:00 Expectations
12:15 Historical perspective
- Brimeyer et al
12:45 Mission Validity
1:00 Review Priorities
• 1:30 Status Report-Mehelich
2:15 Strategic Planning Model
2:45 Break
2:45 SWOT update
3:15 Identify Issues
4:15 Establish Priorities
Next Session-May 5th- 3:00 PM to 8:00 PM
-Review Priorities (new/modified)
- Implementation Model
-Next steps
•
• '» s t fir _
City E Rl Ve r
,„
2000-2003
Economic Development
Strategic Plan
•
Adopted May, 1997
Revised November 1999
mob;
Elk River
"A historic river community serving as a
regional center with a favorable location
near the Twin Cities metropolitan area
Our mission is to actively participate in economic
development by utilizing available resources to
leverage viable and healthy investments in our
community. Such investments will create diverse job
opportunities as a result of a stable and growing
business and industrial base. We will strive to provide
quality services, maintain a favorable tax rate, supply
full-cycle housing options for our residents, and foster
an environment that will result in substantial growth of
our local economy.
-. Mocuncation Committee
„,
� . .a r r
City Council
Economic Development Authority
Housing and Redevelopment Authority
Facilitator: Jim Brimeyer, The Brimeyer Group
4)
•
Major Issues oa s
• Industrial Base
• Attract new businesses to increase the city's
industrial base
• Business Retention and Growth
• Retain and grow the city's existing
business/industry
• Marketing Strategy
• Create an industrial marketing strategy to
develop the city's business parks.
Develop/Redevelop E. Hwy 10 & the
CBD
♦ Undertake activities that facilitate
development/redevelopment on East Highway
10 and in the Central Business District.
•
I. Grow Industrial Base
Goal: Develop West Business Park
• Maintain current joint development agreement with Tony
Emmerich.
• Consider a joint development agreement with Gagne and
Wilson.
• Develop well focused target marketing tactics:
• Market to brokers and others with connections to industry, such
as MN Technology.
• Target an industry cluster, such as the energy industry (Energy
City).
• Work with local industries to market Elk River to their suppliers
and customers.
• EDA to research construction of a spec building and locate a
tenant.
• Establish bank partnerships
• Establish developer partnership
• Identify funding sources (i.e. franchise fee revenue)
• Consider completing construction of Business Center Drive.
• Explore marketing methods employed by developers and
builders.
• Examine appeal of West Business Park to specific types of
industries. (Target marketing, Industry cluster)
• Develop specific marketing materials for West Business
Park.
it Maintain and build networks with banks, brokers, chamber,
existing businesses, media, and others.
II. Business Retention & Growth
Goal: Retain and • row existin • industries
�' '»" ., ,. _ .. '�„F.�”. .7 z:5.,.48''�'^M ,. •'sue w _ _
• Complete BRE Survey and distribute final results to council, EDA,
Industries and Chamber of Commerce.
• Consider publishing periodic (quarterly or bi-annual) newsletter
highlighting economic development activities, practices and issues.
• Create local industrial business publicity program - have quarterly
feature stories written on industrial firms.
• Utilize business round table approach to gauge business's attitude
toward developing policies and projects.
Distribute marketing materials to local industry and promote incentive
programs.
• Ads — Continue to feature local firms in City Business, Ventures, etc.. .
and explore local advertising opportunities.
• Utilize DTED's Manufacturer's Week to showcase existing firms.
• Create opportunities for interaction between business owners and
elected/appointed officials.
• Involve local industries in a major marketing event.
• Maintain database of industrial businesses.
• Consider continuing EDA Commitment to the Business Incubator
Project.
I
rte:
''
nr III. Marketing Strategy
Goal: Develop an industrial marketing strategy to
develop business parks.
, nry
fa �
• Establish a marketing plan committee comprised 5-7 of business
& civic leaders.
• Consider hiring a consultant to help facilitate the formation and
implementation of a marketing plan.
• Update and maintain marketing materials.
Complete construction of economic development website.
Utilize Energy City designation as a marketing tool.
410
IV. (Re)Development on 11)
Hwy E. 10 & in the CBD
Goal: Undertake activities that facilitate
(re)development on E. Hwy 10 & in the CBD.
Highway 10
• Develop criteria for designating redevelopment areas.
• Identify redevelopment/development areas.
• Develop database of east Highway 10 properties.
• Consider locating additional sites for Elk River monument/entry
signage.
• Examine use of Redevelopment Financing Program along east
Highway 10.
1
Central Business District (Downtown)
• Develop criteria for designating redevelopment areas.
• Identify redevelopment areas.
• Consider hiring a consultant to design a redevelopment plan for
downtown.
• Develop design guidelines for redevelopment in the CBD.
Issue Request For Proposals for redevelopment sites in CBD.
• Further explore the concept of facade grants in cooperation with
local banks.
• Continue work on CBD action plan.
• Construct database of downtown businesses
• Continue marketing King and Main site for redevelopment
S
svi
frve
•
Additional Action Steps
rH
• Modify TIF policy to comply with changes in State law.
• Continue professional development of staff through
conferences, formal training programs, etc. ...
• Utilize GIS to manage data of industrial and commercial real
estate.
• Explore the development of a rail spur
Inventory all available commercial/industrial land and buildings.
• X Utilize existing tools to encourage development : TIF, Micro
g g P
Loan,Tax Abatement, SCBDF, State, Initiative Foundation.
• Ensure Brown property remains available for industrial
development.
•
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i o River
L air 1r
•
Economic
Development
Strategic Plan
• Adopted by City Council action on May 19, 1997
•
ELK RIVER
"A historic river community serving as a
regional center with a favorable location
near the Twin Cities metropolitan area "
Our mission is to actively participate in economic
development by utilizing available resources to
leverage viable and healthy investments in our IP
g Y
community. Such investments will create diverse job
opportunities as a result of a stable and growing
business and industrial base. We will strive to provide
quality services, maintain a favorable tax rate, supply
full-cycle housing options for our residents, and foster
an environment that will result in substantial growth of
our local economy.
4110
•
Organizational
•
ECONOMIC DEVELOPMENT STRATEGIC PLAN
Elk River City Council
Strategic Planning Task Force
HRA Banks EDA Chamber Utilities Local Business
Major Issues and Goals
• Industrial Base
• Attract new businesses to increase the
city's industrial base
• Business Retention and Growth
♦ Retain and grow the city's existing •
business/industry
• East Hwy. 10
Development/Redevelopment
♦ Redevelop the East Hwy. 10 corridor
• Downtown Redevelopment
• Attract reinvestment in the Elk River Central
Business District
Priority # 1
Industrial Base
• Attract new businesses to increase the city's industrial
base
Phase I - West Elk River Business Park
• Modify zoning north of County Road 30 in the West Business Park
from R1 C to BP
111 Update/maintain an inventory of property owners in the West
Business Park
I Outline the parameters of a "Joint Development Agreement" for
• West Business. Park property owners which will address
assessment issues, land prices, and cooperative marketing of
properties to encourage development of those properties
Negotiate land prices in the West Business Park and research
funding options for potential city purchase
Ofi City Council and EDA to determine whether to proceed with a Joint
Development Agreement or city purchase of property -show
financial options
• Enter into a Joint Development Agreement or complete acquisition
of the subject properties
1 Complete conceptual platting of properties for use as a marketing
tool
• Modify current marketing and advertising program to include
additional properties
--!1 Market the properties to industrial users
•
•
Industrial Base - Continued
f,;,---77:7-777‘17-31,Z
-) Phase ll - Industrial areas east along the newly proposed
transportation corridor and County Roads 12113, east Highway
10, north Highway 169, and other parcels
O Accept a concept proposal for a new transportation corridor
between County Roads 12 and 13 proceeding south to connect with
Highway 10
0 Identify appropriate industrial sites along this new transportation
corridor
01 Identify appropriate industrial sites in other areas lying within the
Urban Service Boundary
O Identify appropriate industrial sites lying outside the Urban Service •
Boundary along east Highway 10
O Undertake rezoning of these industrial sites
O Establish a timetable for construction of the proposed transportation
corridor and other public improvements in this area
O Complete an inventory of property owners within the newly
identified industrial areas
X Outline the parameters of a "Joint Development Agreement" with
these property owners which will address assessment issues, land
prices, and cooperative marketing of properties to encourage
industrial development
2 Negotiate land prices and research funding options for potential city
Purchase
O City Council and EDA to determine whether to proceed with a Joint
Development Agreement or city purchase of properties
O Complete conceptual platting of properties for use as a marketing
tool
O Modify current marketing and advertising program to include these
newly identified industrial areas
O Market the properties to industrial users 4111/
•
Industrial Base - Continued
. . gam
Phase Ill - Other Industrial Areas - Gravel Mining Site
Identify appropriate industrial sites/areas currently being mined
MO Modify underlying land use if determined appropriate in anticipation
of future rezoning to Industrial or Business Park
1 Work with property owners to establish a timetable for availability of
these industrial sites
11 Work with property owners to encourage consistent and planned
availability of these industrial sites over the next 7-15 year period
•
•
•
Industrial Base Continued
.rte nlit
Programs and Incentives
Support the use of Tax Increment Financing (TIF) as a tool to retain
and attract industrial businesses
• Modify the TIF policy to allow maximum flexibility and to guide the
city's appropriate use of this tool
I Support Sherburne County's effort to establish a revolving loan
fund, and other resources, for economic development
El Encourage Elk River Municipal Utilities to establish a dedicated
revolving loan fund for economic development and to provide a
competitive incentive electric rate for qualified industrial businesses A
• Modify the Micro Loan policy to allow maximum flexibility for use as
an incentive to encourage industrial business growth
ij Research opportunities for using the Internet to identify industrial
prospects
01 Update the community profile and demographic information
annually
__- Maintain an inventory of available buildings for manufacturing and
other industrial users
• r Plan and coordinate a marketing event for industrial realtors and
brokers, developers, and prospects
MI Establish a policy to guide the use of the city's development fund in.
a manner which will support the growth of the city's industrial and
business base
EI Work with local banks to establish a cooperative public/private
economic development financing program
•
•
Priority #2
Business Retention and Growth
,,14T
• Retain and Grow the City's Existing Business and
Industry
MI Coordinate the efforts of"Joint Development Agreements" and/or
the city purchase of land in order to provide expansion opportunities
for EXISTING businesses
• Maintain consistent contact with existing businesses through the
use of letters and surveys
M Initiate a "Business Incubator" program to support the location of
• high tech and job intensive business growth within Elk River
--_[fJ Use available financing tools to leverage private investment in order
to retain existing businesses and encourage growth
---_CC Improve the perception and visibility of the Economic Development
department's business retention efforts through the use of the city
newsletter
--M-ii Work with the Department of Trade and Economic Development,
Small Business Administration, Central Minnesota Initiative Fund,
and other resources to increase awareness of existing programs
which provide support for business expansion and growth
• Expand the Micro Loan program to assure that existing businesses
qualify as a high priority consideration
ffl Examine and research the implementation of new programs which
focus on business retention
• Work with the Sherburne County economic development office to
address the issue of labor force availability
•
•
Business Retention and Growth -
Continued
tea.
!11I Upon completion, distribute the results of the central business
district Market Study so that it can be used to enhance the growth
of existing businesses
Use the Energy City program as a marketing tool to support the
growth of energy related industry
ffil Develop a cooperative marketing plan with Energy City and
incorporate with the current marketing efforts to target energy
related business growth
nil Coordinate the business retention survey efforts to establish a ip
baseline of current employment within Elk River's currently existing
energy related businesses
1 Coordinate an event through Energy City with Energy Alley
member companies to market Elk River's growth potential in the
energy industry
4110
Priority #3
•
East Hwy. 10
Development/Redevelopment
4-144:44 L
• Redevelop the East Highway 10 Corridor
11 Establish the criteria for identification of redevelopment areas within
and outside the Urban Service Boundary along east Highway 10
011 Identify and prioritize these east Highway 10 redevelopment areas
0 Establish a plan to redevelop and market each of these prioritized
areas coordinating efforts with the proposed transportation corridor
connecting County Roads 12/13 and Highway 10
--
-i Inventory property owners within these redevelopment areas and
discuss possible "Joint Development Agreements", and other
• cooperative efforts which could be undertaken to aid in
development of these areas
0 Establish a long term design and land use plan which might include
establishing a uniform design theme for the overall area utilizing
some of the elements of the central business district Focus Study
(when completed)
•
Priority #4
Downtown Redevelopment
;ZIP 4:15k trSF
• Attract Reinvestment in the Elk River Central Business
District (CBD)
4 Overall CBD Design
Identify the criteria and scope of a Focus Study of the physical
elements of the CBD, including elements of the riverwalk concept
Bring in an outside consultant, if determined necessary, to
complete the Focus Study within the scope identified
CI Examine criteria for additional HRA programs which may provide
incentives to property owners to implement the results of such a di
Focus Study i.e., signage improvement program, CBD marketing
program, partnerships with local banks, building rehabilitation
program
11 Review the zoning and land use plan for the CBD as part of a
Focus Study to determine if changes are appropriate
•
Downtown Redevelopment
Continued
A a l L
3 Redevelopment Sites
0 Outline the criteria which will be used to identify redevelopment
sites within the CBD
0 Undertake the identification and prioritization of these
redevelopment sites
0 Implement a redevelopment and marketing plan for each of the
prioritized sites
•
Downtown Redevelopment -
Continued
nf
•o:_..�.,� ,: ti Ida.., '> .. ..,,;::•;
-, Finance and Marketing
O Outline the criteria and scope of a Market Study which will, in part,
help to identify viable business opportunities for the CBD
• Bring in an outside consultant, if determined necessary, to
complete the Market Study within the scope identified
01 Distribute the results of the Market Study to potential developers to
attract specific businesses to the CBD
13 Support the use of available financing tools such as TIF to aid in
redevelopment of these identified sites
g Utilize the Internet to market and advertise the CBD to specific
retail and other business uses which are to be identified within the
Market Study
▪ Partner with financial institutions to establish programs, if
necessary and appropriate, to implement action steps based upon
results of the Focus Study and Market Study
E i Create a positive method for ongoing communication with the
Chamber of Commerce, Rivers Edge Downtown Development
Corporation, and all CBD property owners regarding relevant issues
within the CBD
▪ Support all groups efforts to coordinate retail promotions within the
CBD
• Complete the redevelopment project at the corner of King Avenue
and Main Street
a Work with CBD businesses to address parking needs and issues
•