EDSR MEMORANDUM 01-10-2000 .-Q
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MEMORANDUM
TO: Economic Development Authority
FROM: Paul Steinman, Director of Economic Development
DATE: January 5, 2000
SUBJECT: Agenda Memo for the January 10, 2000, EDA Meeting
5. Annual Meeting Issues
a. Election of Officers —The EDA bylaws indicate the following
offices are to be filled through the election process at the annual
• meeting of the Authority. The 1999 officers were as follows:
• President— Pat Dwyer
• Vice President —Jeff Gongoll
• Treasurer— Larry Farber
• Secretary— Daryl Thompson
• Assistant Treasurer— Paul Motin
b. Appoint Executive Director— The EDA bylaws indicate that the
appointment of an executive director is required at the annual meeting
of the Authority.
c. Designate Official Newspaper— The EDA's current official
newspaper is the Elk River Star News. Staff recommends
redesignation of the Elk River Star News as the official EDA
newspaper for 2000.
d. Designate Official Depositories —Past practice has been for the
EDA to designate depositories identical to those designated by the City
Council. For 2000, the EDA is asked to designate the following banks
and institutions as depositories for its funds:
• First National Bank of Elk River
• ■ 4M Fund
• Norwest Bank
• The Bank of Elk River
• USBanks
13065 Orono Parkway • P.O. Box 490 • Elk River,MN 55330 • TDD &Phone: (612) 441-7420 • Fax: (612)441-7425
EDA Agenda Memo
January 10,2000 Meeting
Page 2
•
Staff recommends designating the above-referenced banks and
institutions as official depositories for the EDA for 2000.
e. Consider Commission Appointments and Assignments — The
EDA currently maintains the following committees:
Finance Committee
Jim Simpson
Tom McNair
Tom Bender
Jeff Gongoll
Dan Tveite
Cliff Lundberg
Vacancy - (Lloyd Brutlag's former position)
Business Incubator Advisory Committee
Stephanie Klinzing
Jeff Gongoll
Daryl Thompson
• Larry Hickman
Jim Barthel
Jack Mowry
Marketing Committee
Jim Barthel
Gary Santwire
Chris Carlson
Renee Sande
Dr. David Flannery
Jim Simpson
Daryl Thompson
There currently is only one vacancy—that is on the finance
committee. It is appropriate to select a replacement for this
position at this time. Staff welcomes suggestions from the
commission.
Staff recommends reappointment of the other current
membership of the finance committee, business incubator
advisory committee, and the marketing committee.
• f. Review Enabling Resolution/Bylaws for Suggested Changes The
EDA annual meeting provides the opportunity to review the bylaws
EDA Agenda Memo
January 10, 2000 Meeting
Page 3
111 and enabling resolution, which are attached, for suggested changes by
the commissioners.
6. Community Venture Network Membership
Staff had agreed to bring this issue back before the EDA prior to the
next regular meeting of the Community Venture Network (CVN). The
next meeting of this group is on February 4, 2000.
As you are aware, CVN is a program whereby approximately eighteen
communities pay to have a minimum of 24 prospects presented to them
over the course of a one-year period. Our current membership runs
through July 1, 2000. This includes two more meetings of the CVN
and presentation of at least twelve additional prospects. Staff has been
noticeably unimpressed to date with prospects presented through
CVN. The initial prospects included numerous ".com" companies
asking for a significant amount of cash and being able to provide little
or no collateral in return. The second meeting included fewer "virtual"
companies, but companies that were still unbankable or had other
related challenges to completing a project.
• Staff had initially felt as the EDA joined CVN last year that the
prospect quality would increase due to the hiring of an individual to
focus efforts on CVN program. Unfortunately this has not turned out
to be the case.
Recommendation
Staff recommends the EDA authorize a letter to be sent to Pelstring
Capital Corporation canceling membership in the CVN program and
requesting a pro-rated refund in the amount of approximately $2,000.
7. Rotary Club Committee Presentation
Attached is a copy of a memo to the Elk River EDA from a committee
of the Elk River Rotary Club. The memo provides a description of a
project to complete a barge replica to be used as a performance stage
on the river side of the EDA site at Jackson and Main Street.
•
EDA Agenda Memo
January 10,2000 Meeting
Page 4
•
Staff Analysis
Staff poses the following questions regarding the proposed project:
• What is the overall future plan for the central business district?
• How does the proposed project fit into this overall plan?
These are probably the two most important questions to ask regarding
the proposed project. As the EDA is aware, the HRA has attempted,
over the past year and one half, to complete a process of developing a
vision for the central business district (CBD). The second part of
developing such vision for the downtown area includes the hiring of a
designer to work with the city and downtown business people to put
together a physical plan for the central business district that can be
implemented over time. The visioning process has had limited success
due to somewhat lackluster participation on behalf of the CBD
stakeholders. It was the intention of staff to ask the HRA this spring
to consider hiring a designer to complete a CBD plan. Such plan would
be a modification of the past riverwalk/CBD plan, but would include a
process to gain input into various aesthetic improvements and special
projects such as an amphitheater on the EDA site. Such public process
and information gathering is critical to gain public buy-in to special
projects.
The most comprehensive design plan we currently have regarding the
CBD is the riverwalk plan. Attached is a variety of information
including artist renderings and costs regarding various sections of this
riverwalk plan. One portion of this plan includes the construction of
an amphitheater in conjunction with a Mississippi River overlook at
the foot of the EDA site. Staff has always believed that this is one
portion of the plan that would be most desirable to accomplish and
would provide a focal point for potentially completing other sections of
the riverwalk plan.
Staff suggests with regard to the Rotary Club proposal, that the HRA
continue its plan to discuss the merits of hiring a designer to modify
the riverwalk plan and to expand it into the CBD, eventually providing
an end product of a CBD design plan that has received an appropriate
amount of public input. It is anticipated that such a plan would include
recommendations for design improvements to the EDA site including a
potential amphitheater/outdoor stage. This portion of a completed plan
could potentially then be undertaken as a Rotary Club project if
• desired. The purpose of this process would be to assure the council,
EDA, HRA, and the general public, including downtown stakeholders,
that they understand the process and agree upon the design plan.