5.0.-9.0. EDSR 08-09-1993 ELK RIVER ECONOMIC DEVELOPMENT AUTHORITUv
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TO: ECONOMIC DEVELOPMENT AUTHORITY
FROM: WILLIAM RUBIN, ED COORDINATOR
DATE: AUGUST 4, 1993
SUBJECT: AGENDA MEMO FOR THE AUGUST 9, 1993, EDA MEETING
5 . FINANCIAL UPDATE
The following is a summary from Finance Director, Lori
Johnson:
Revolving Loan Fund The Revolving Loan Fund had a
cash balance of $174,902 .78 on July 31, 1993; this
balance does not include interest income. As of
August 5, all August payments have been received
except for Roma Tool and PureSteam.
This is an informational item only and no action is
requested.
6 . EDA MAIN STREET SITE
Mr. Chris Bulow of the Bruce Company will again be in
attendance to provide EDA Commissioners and staff with an
update of the progress he has made on his redevelopment
project since the last EDA meeting.
7 . AGREEMENT FOR CITY VIDEO
Enclosed for execution by the EDA is a revised agreement
by and between Diversified Marketing Resource, Inc. , and
the Elk River Economic Development Authority. At its
meeting on July 26, EDA Commissioners suggested that the
proposed cost of this video be investigated to determine
its competitiveness. That has been done, and, by all
accounts, a six to eight minute video for less than $6,000
is indeed competitive.
EDA Commissioners should note the following revisions to
the agreement:
a. EDA will receive 15 copies, rather than one copy
of the completed video presentation.
P.O. Box 490 • 13065 Orono Parkway • Elk River, MN 55330-1743 • (612) 441-7420 • Fax: (612) 441-7425
Equal Opportunity Housing and Equal Opportunity Employment
• b. Payment due Diversified Marketing Resource is
spread out over three payments rather than two
payments .
ACTION REQUESTED The EDA is asked to authorize
execution of an agreement with Diversified Marketing
Resource, Inc. , for the creation of a six to eight minute
City video presentation. Further, the EDA is asked to
authorize payment in the amount of $1,963 . 33 to
Diversified Marketing.
7 . 1994 EDA BUDGET AND LEVY
Based on a maximum levy, staff estimates that the EDA will
have revenues of approximately $77,000 in 1994 . The
proposed 1994 EDA Budget is outlined as follows :
PERSONAL SERVICES
Regular Pay (ED Coordinator salary, portion) $19,750
Part-time Pay (EDA Commissioners) $ 8,400
Pensions $ 2 ,900
Insurance $ 1,600
$32,650
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OFFICE SUPPLIES AND CHARGES
Office Supplies $ 800
CONTRACTUAL SERVICES:
Legal $ 1,000
ED Consultant $ 1,800
Telephone $ 800
Advertising/Newsletter $12,000
Marketing $ 7,500
Postage $ 3,500
Development Activities
Business Park Expenses $ 5,000
Other Miscellaneous Projects
(Main Street, CBD, etc. ) $ 4,100
Insurance $ 650
Chamber of Commerce (Annual Donation) $ 6, 000
Transfer to General Fund $ 1,000
$43,350
TOTAL BUDGET $76,800
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ACTION REQUESTED
The EDA Commissioners are asked to approve the 1994 EDA
Budget in the amount of $76,800 .
The EDA is also asked to adopt a resolution requesting
that the City of Elk River levy a tax against the taxable
market value in the City in the amount necessary to
generate $76,800 to be used for economic development
purposed by the Economic Development Authority. A draft
of this resolution is included in the EDA agenda packet.
9 . PROSPECT STATUS REPORT
The Prospect Status Report has been sent under separate
cover.
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ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
TO: ECONOMIC DEVELOPMENT AUTHORITY
FROM: WILLIAM RUBIN, ED COORDINATOR
DATE: AUGUST 4, 1993
SUBJECT: PROSPECT STATUS REPORT
The following is a summary of new industrial and commercial
prospects that have expressed an interest in locating in the
City of Elk River since the last EDA meeting.
1 . Real Estate Prospect - A commercial real estate agent
from the northwestern suburbs contacted staff regarding
the availability of industrial sites for the potential
relocation of a Plymouth-based manufacturer of paints and
allied products . The company seeks a site sufficient to
accommodate a 15,000 square foot facility.
2 . ELO Engineering, Inc. - This is a Fridley-based metal
fabricator that inquired about the availability of
industrial space to lease (or to secure with an option to
buy) as well as financing programs here in Elk River.
Contact and follow up was made with this company.
3. The KIMM Company - This is a Minneapolis-based printing
company that occupies 60,000 square feet plus an
additional 10,000 square feet of lease space. The company
seeks to relocate a portion of its operations within
twelve to eighteen months . The company employs
approximately 75 persons .
4 . Sir Speedy Printing This is a Fridley-based instant
print company that is exploring the opening of a second
location.
5 . Plymouth Foam Products - This Plymouth, Wisconsin-based
company inquired about available industrial space to
lease. Staff is attempting to follow up regarding the
exact space needs of the company.
PREVIOUSLY LISTED PROSPECTS
1. Towle Real Estate Prospect (McLean Midwest) At its
meeting on July 26, EDA Commissioners were advised of a
presentation in early August to a Twin Cities
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manufacturer. The company is McLean Midwest, a
manufacturer of air conditioners, heat exchangers, or
filter fan packages for electronic control panels . The
P.O. Box 490 • 13065 Orono Parkway • Elk River, MN 55330-1743 • (612) 441-7420 • Fax: (612) 441-7425
Equal Opportunity Housing and Equal Opportunity Employment
• presentation is scheduled for August 10. The company
desires a 20 to 25 acre parcel sufficient in size for the
construction of a 100,000 to 120,000 square foot facility
that may be expanded to a total of 200,000 square feet.
2 . Sean' s Steak and Seafood - Staff was disappointed to
learn that this restaurateur has decided against opening
an Elk River facility.
3. R & D Sales This prospect was listed in previous
reports . It is an Elk River-based company located on
Dodge Avenue, that does computerized and custom embroidery
and silk screening. Because of company growth, R & D
Sales seeks a larger space, preferably to own. Principals
of the company are currently evaluating one or more
industrial sites .
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f Diversified Marketing Resource, Inc.
905 West Saint Germain • Saint Cloud MN 56301 •612.251.3935
July,30, 1993 '
City of Elk River
Bill` Rubin
P.O. Box 490 .
13065':Orono Parkway
Elk River, MN:. 55330
Dear Bill,
Thank you so: muchfor giving -us the opportunity to produce a
professional video for the City of Elk River. :" This is going to
be a very exciting project and I: know you: and your: committee
will :. be very excited and happy with the 'process. : •
Enclosed"is a formal contract for the production of a six (6)
411 to eight (8) 'minute video. I have included all . the items that.:.`
you and I 'discussed` on; .the, telephone including:
1 ) ' You will .receive. 15 copies upon completion
2') The price is the same as long as we stay
within the six toeight minute range
• • 3) AJ tri-payment, schedule•`as been agreed upon
as we discussed .
As soon as you and your committee have had a chance to
review the contract, I ;would like to come. bac'k to Elk River to
meet, with you again and do' a bit of pre-planning, timing,
objectives, and receive the down` payment sôwe may, begin work on
the project.
Bill, again thank you very much from : all of us at-
Diversified Marketing Resource. I' know you will bevery pleased
with our professionalism, creativity, and our commitment to
producing you a high quality video presentation.
Sincer ,
aniel: D. :Barth
Vice President Marketing .
DMR, Inc
Central Minnesota's Only Marketing&Public Relations Firm
with Complete In-House Video Production Services
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905 West Saint Germain • Saint Cloud MN 56301.•612.251.3935
AGREEMENT
PROFESSIONAL VIDEO PRESENATION
OFFERED': TO:
ELK RIVER
P.O. BOX 490
13065 ORONO`'PARKWAY
ELK RIVER MINNESOTA 55330
OFFERED BY:
DIVERSIFIED MARKETING RESOURCE, INC.
905 W ST:'"GERMAIN .: .
ST. CLOUD, MN 56301;.
JULY 29, 1993
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Central Minnesota's Only Marketing Si Public Relations Firm
with Complete In-House Video Production Services
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Diversified. Marketing Resource, Inc.
905 West Saint Germain • Saint Cloud MN 56301 •612.251.3935
EK River City Video Project
Program Objective: To create a concise, motivational video program
to assistin the marketing, promotion, and economic development of
the City of Elk River
Project Overviews The video
presentation will, be approximately ,6 8 .
minutes in length , and will feature the key elements that makethe
great. City of Elk ;River. The video will be" used to `inform' ,and ,,
• educate industries and , individuals on the, quality of,-llife offered,
and to. lure potential businesses; into Elk:', .River and promote` the,
existing services. available.
•
Projected Audience: Potential , businesses and industries , doctors ,
teachers,... private citizens and all people: inquiring about the City of '
Elk River. The video may be designed to be used as both aneconomic
development tool and a tourism program..:
Program Length: Approximately 6-8 minutes.
Project. Contacts: City of Elk River ;
• Bill Rubin, Economic Development
(612) 441-4905'
Pioneer Teleproductions, Inc.
Mark R. Barth, President
(612) ' 251-3940
• Diversified.Marketing Resource, Inc.
Daniel Barth, Vice President of Marketing
(612) 251-3935
Central,Minnesota's Only Marketing&Public Relations Firm
with Complete In-House Video Production Services
1 . THE FOLLOWING AGREEMENT is offered to the City of Elk River,
411 hereinafter referred to as CLIENT, by Diversified Marketing Resource,
Inc. , in association with Pioneer Teleproductions, Inc. , hereinafter
referred to as DMR.
2 . IT IS AGREED that CLIENT shall retain the services of DMR to
produce a professional video presentation approximately six (6 ) to
eight (8) minutes in length. The price AGREED on in paragraph five
( 5 ) will remain the same as long as the finished program is between
six (6) and eight (8) minutes.
3 . IT IS AGREED that DMR shall provide the following services:
A. Pre-planning and consultations.
B. Program design/script consultations.
C. Location video production (Professional broadcast quality
video camera, 3/4 inch or professional S Recorder, lighting
support, audio support, location director, and camera
operator . )
• D. Post-production (3/4 inch and Professional S A/B roll editing
which includes FA-740 video effects and DVE with time base
correction. )
E. Computerized graphic production (Chyron VP2 graphics
generator and "Video Toaster" with 3D lightwave animation. )
F. Professional narrator .
G. Audio production.
H. Music selected from Pioneer 's music library.
I . One (1 ) 3/4 inch edit master of each completed program.
J. Fifteen (15 ) VHS copy of completed program.
4. IT IS AGREED that CLIENT shall provide the following services:
A. Content information.
B. Project coordinator.
C. Script Approval .
D. Personnel to act as demonstrators.
E. Signed releases for the copying or duplication of any
copyrighted material to be incorporated into the program.
F. Music (If original music is desired) .
5 . In consideration of the services outlined in paragraph three (3) ,
DMR and CLIENT AGREE to the following budget .
SERVICE COST PER UNIT ESTIMATED TIME TOTAL
Pre-production/design --- --- $ 250.00
411 Completed Script --- --- 350.00
Location production $985 per day 3 days 2,955 .00
Off-line editing $50 per hour 8 hours 400.00
On-line editing $90 per hour 14 hours 1 , 260.00
Studio Production $110 per hour --- 0.00
Professional Narrator --- --- 300 .00
Graphic production $50 per hour 6 hours 300.00
Audio production $50 per hour --- 0.00
Music --- --- 0.00
Supplies --- --- 75 .00
$5 ,890 .00
* Above proposal does not include travel and lodging expenses for
location production. It is AGREED that DMR will provide CLIENT
with all receipts concerning meals and lodging, while it's
produciton crew is on location. In addition CLIENT will be billed
$ . 25 per mile for DMR's production crew to travel to and from Elk
River .
6 . DMR AGREES to the following compensation schedule:
*One thousand nine hundred sixty-three ($1 ,963. 33) and 33/100
dollars due upon the signing of a formal agreement.
*One thousand nine hundred sixty-three ($1 ,963. 33) and 33/100
dollars due upon approval of the final script .
*One thousand nine hundred sixty-three ($1 ,963. 34) and 34/100
dollars due upon approval of the final program, along with any
and all travel expenses.
7 . The preceding budget is an AGREEMENT between CLIENT and DMR.
This budget is a maximum that DMR will not exceed without CLIENT
approval .
CITY OF ELK RIVER DIVERSIFI. • ETI G KESS CE, INC.
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BY: BY: �/�:.i//Iir/✓.iI/
• ITS: ITS:VICE PRESIDENT OF MARKETING
DATED: DATED: 3//4/&
PIONEER TEELLE�PRO�DUCT INS11111, .�.
BY: l �'•� – " 0—
ITS: PRESIDENT
DATED: ' //31c3
• RESOLUTION 93 - 4
RESOLUTION OF ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
A RESOLUTION FOR THE ELK RIVER ECONOMIC DEVELOPMENT
AUTHORITY IN AND FOR THE CITY OF ELK RIVER, MINNESOTA
WHEREAS, Minnesota Statute Section 469 . 107, Subdivision 1,
authorizes the Economic Development Authority to levy
to fund the Authority's anticipated budget needs for
the next fiscal year; and,
WHEREAS, the Elk River Economic Development Authority has
adopted its budget and will forward such to the City
of Elk River pursuant to Minnesota Statutes, Section
469 . 100, Subdivision 2 .
NOW, THEREFORE, BE IT RESOLVED by the Economic Development
Authority in and for the City of Elk River, Minnesota,
that it hereby requests the City Council of the City
of Elk River to levy a tax in the amount of . 01813% of
the taxable market value in the City for the year 1993
for the benefit of the Authority to be used for
Economic Development Authority purposes as provided in
the Statute.
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Passed and adopted by the Elk River Economic Development
Authority this 9th day of August, 1993.
Jeffrey A. Gongoll, President
ATTEST:
Patrick D. Klaers, Executive Director