3.1 EDSR 07-17-2017Request for Action
ToItem Number
Economic Development Authority3.1
Agenda Section Meeting DatePrepared by
N/AJuly 17, 2017Amanda Othoudt, EDD
Item Description
Reviewed by
2018EDA Budget & Budget GoalsCal Portner, City Administrator
Reviewed by
Action Requested
Information presented for discussion only. Action is to be taken21, 2017,EDAmeeting.
Background/Discussion
As part of the budget process, a budget workshop is advisable to
the goals and objectives, major projects, and other items influeEDA budget.
Staff prepared a draft budget to address several of the goals outlined in the strategic plan, downtown plan,
the citys vision worksheet, and through recent EDAdiscussion. In order to meet the requirements of
the EDA Bylaws, the EDA must approve the budget at their August 21, 2017, regular meeting and make
recommendation to theCity Council at the September 4, 2017, regular meeting.
As drafted, the proposed expenditures are $328,300. Major initiatives include a small increase in
expenditures to attend the 2018 IEDC conference, slight decrease in advertising and marketing due to the
partnership with Sherburne County and the Positively Minnesota Marketing Partnership, increase in
wetland bank credits which will be a shared initiative between t
The EDAlevy options are as follows:
1)0.0151% - Estimated balanced rate generates $319,300 in revenue and wouldnt add or draw
against reserves.
2)0.01813% - Previous/Maximum rate will generate approximately $384,000 in revenue and would
add additional revenue into reserves.
All levy options are applied against the Estimate Market Value that will be obtained from Sherburne
County. In addition to the tax levy, we also calculate interest income of $5,500 and $3,500 transfer from
the HRA for supplies and shared costs.
Financial Impact
None
Attachments
EDA 2018 Budget Goals
2017-2020 EDA/HRA Strategic Plan
EDA Budget Worksheet
Division Performance Measures & Goals for 2018
Division:Economic Development
Completed by:Amanda Othoudt, EDD
Date:July 13, 2017
Performance Measure
2016 Actual2017 Estimated2018 Projected
Conduct BR&E Visits132424
Personally connect with developers to
tour available properties to entise
development of available properties456
Promote new applications for the
Revolving Loan Fund Programs and
track the the percentage of applications
processed to the total numbers of leads
received.
3 Applications Processed3 Applications Processed3 Applications Projected
Related Vision Statement
Division Goal
Goal/ObjectiveComments
Gain Positive Exposure for the cityAttending networking events, trade shows, Strategic Recruiting: Attend targeted industry (Data Centers, Manufacturing,
conferences, and site selector eventsEnergy, Medical Device Technology) trade shows, leverage opportunities
with local companies as often as possible by participating in the trade
shows that they attend. Identify key decision makers, provide FAM tours of
city, coordinate development meetings with City/County/State. Partner with
Positively MN, Sherburne County and ERMU. Promote Available properties
on MNCAR and MN Prospector. Attend Annual Site Selector Guild
Conference.
Grow and maintain an inventory of Establish a wetland bank to facilitate new share responsibility with EDA and Environmental Departments
private and public properties available development where wetlands impede growth
for future development
Maintain financial incentives to enhance Maximize and Leverage DEED monies, Support DEED Programing with local state representatives
economic developmentInitiative Foundation, Sherburne County
Revolving Loan Fund and other financial
tools and incentives.
Celebrate and grow our existing Conduct Business, Retention and Expansion Conduct BR&E Visits and gauge the interest of starting a manufacturing
businessesvisits to local businessescohort group on a quarterly basis.
Market the city of Elk River as a Contact & Network with Key Stakeholders in Strategic Recruiting: Attend targeted industry (Data Centers, Manufacturing,
destinationthe Targeted Industries including Real Energy, Medical Device Technology) trade shows, leverage opportunities
Estate Brokers/Agents. with local companies as often as possible by participating in the trade
2016-2020 EDA/HRA Strategic Plan
BUSINESS DEVELOPMENT
Attract new businesses and support existing businesses to increatax base,
commercial tax base and employment base.
INDUSTRIAL STRATEGIES
Promote available sites, encourage business retention and expansexisting
light industrial base with business recruitment/attraction techniques
Diversify economic base to include professional services, corporate campuses, energy-
related companies, and technology businesses
Review existing programs, resources, and services and recommend
increase competitive advantage and support goals
Explore creative economic development collaborations
Utilize Energy City and its tools to recruit new and assist exis
COMMERCIAL STRATEGIES
Promote available sites, encourage business retention and expansexisting
commercial base with business recruitment/attraction techniques
Diversify economic base to include a wide variety of retail and service industries, as well
as additional fine dining opportunities
Review existing programs, resources, and services and recommend
increase competitive advantage and support goals
Explore creative economic development collaborations
Enhance commercial district through business recruitment and act
ACTION STEPS
Complete minimum of one BRE visit a month with participation from EDA/HRA and Council
members (manufacturers and top employers) and distribute Business Finance Toolkit, Available
Sites, Community Profile, Energy City Brochure, Business Recycli
information.
Promote available sites through exhibits at various expos (minim.)
st
Utilize 171 FAST implementation plan to create a marketing piece for Natures Edge Business
Center and an annual redevelopment action plan to monitor progress of implemen
Partner with ERMU to identify applicable rebates for available c-owned property
1
Promote applicable incentives through direct mailings (minimum 3x/yr.)
Promote Elk River to the restaurant industry through website
(www.elkrivermn.gov/restaurants), direct mailings, Constant Contact email blasts and other
marketing venues
Partner with Elk River Area Chamber of Commerce to coordinate Chamber goals with economic
development goals through various implementation tasks
Utilizing economic development publications make contact with businesses looking to expand,
relocate, etc.
Review Micro Loan Program and recommend improvements to increase
and support goals
Partner with ECC and ERMU to explore a joint incentive to attract energy-related technology
businesses
Partner with local schools and manufacturers to hold quarterly meetings to encour
to explore a career in manufacturing through plant tours, youth ,
energy city tours and programs, and job shadowing
Update a powerful website for the Elk River Economic Development Department and the
Housing and Redevelopment Authority. Provide analytic reports on
Demonstrate support for existing manufacturers and raise awareness regarding their impact on
the community through various promotional activities and tours during Minnesota
Manufacturers Week
Identify target industries (e.g. craft brewery, manufacturing and medical device, etc.) and create
specific marketing pieces to identify advantages and programs toassist in business recruitment
Host quarterly Manufacturers Connection events with local manufacturers to promote financial
incentives, resources and relevant topics to promote business re
Produce an energy conservation best-practices brochure to provide to businesses
Coordinate with Energy City to plan and market energy city event
the Year
Partner with Energy City and the Streets Department and continue to promote proper disposal
of Fats, Oils and Grease through videos, flyers, emails, social media, and other media
Host and Promote a quarterly business rountable event with localers and
community stakeholders.
Partner with the Elk River Area Chamber of Commerce to hold annu
economic development resources and incentives (Juice Up Your Morning, Chamber lun
Money Breakfast, etc.)
Continued contact and relationship development with Twin City co
brokers/developers
2
REHABILITATION AND REDEVELOPMENT
Undertake strategies that facilitate rehabilitation and redeveloaging commercial, industrial
and residential areas to ensure private reinvestment and sustainabil
COMMERICAL/INDUSTRIAL STRATEGIES
Maintain a listing of available commercial /industrial sites
Promote available sites through various marketing initiatives
Identify and examine potential areas for revitalization
Review existing programs, resources, and services and recommend
increase our competitive advantage and support goals
Enhance downtown commercial district through business recruitmen-
generating activities
Develop and implement a blighted properties program for both com
residential properties
ACTION STEPS
Identify target areas for the blighted properties program
Partner with downtown business association and civic groups to p
new downtown activities (i.e. BNI, Chamber Connections, etc.).
Partner with Elk River Area Arts Alliance to explore funding conarts center within
the downtown study area
Create and distribute a survey to businesses to identify recommended improvements to existing
programs, resources and services, in addition to identifying pre
communication to improve Elk River business climate
Identify current property owners and businesses interest in redevelopment efforts both north
st
and south of HWY 10 and in 171
Focused Area Study area
Create a redevelopment policy regarding capitalizing the HRA dev
parameters for purchasing parcels
Create and distribute comprehensive business directory to promot
Update short videos promoting available sites and applicable initiatives to distribute through
social media outlets, constant contact and website
3
RESIDENTIAL STRATEGIES
Maintain listing of vacant/foreclosed properties
Address housing gaps with Comprehensive Housing Market Study recommendations
Proactively review neighborhoods annually to ensure all home are
through the code enforcement process
Seek and promote available programs to improve existing housing and incentivize
homeownership through CMHP
Provide educational opportunities regarding foreclosure prevention and housing
assistance programs by developing brochures/pamphlets
ACTION STEPS
Distribute MN Home Ownership Center foreclosure prevention, Energy City conservation
brochure, and Elk River Housing Toolkit information to local lenders, realtors, churches, non-
profits, builders, etc. (minimum 4x/yr.)
Partner with applicable non-profits (MNHOC, Tri-CAP, etc.) to hold educational events to
promote foreclosure prevention and housing programs (minimum 2x/.)
Continue to partner with the CMHP housing organization to fund and support a selective
housing removal and rebuilding program
Host an annual Realtors Day to educate realtors about the programs, processes and amenities
offered by the city
4
COMMUNITY BRAND
Utilize community brand strategies to effect necessary changes to strengthen and enhance community
image
STRATEGIES
Continue to implement and enhance marketing plan that reflects the Powered by
Nature brand, identifies desired target market(s), and complements other local efforts
to promote the community internally and externally
Maintain existing and build new community support for the Powere
Establish benchmarks for performance measurement
ACTION STEPS
Distribute window clings and larger windows signs of the logo
Promote the brand, engage residents, and distribute materials at expos (3x per year) and at
events such as Realtors Day, Leadership Elk River, and Manufact
Create profiles on first-tier business owners in Salesforce a tracking software used to record
information on local businesses and visits
Benchmark the impact of the Powered by Nature brand with data fr
search engine optimization analysis.
Promote Public Art Installation and research opportunities to expand public art within the city.
5
TRANSPORTATION
Advocate and support proactive planning for improvements to the
in a way that will support existing businesses and complement new economic growth.
STRATEGIES
Advocate regional and local transportation improvements
Encourage transportation improvements as part of redevelopment/d
opportunities
Support efforts to leverage local funds with state/federal resou
ACTION STEPS (submitted by City Engineer)
Increase contact with legislators for state highway transportation improvements
Complete low cost/high benefit enhancements to improve traffic f
street intersections
Advocate for the continued use and expansion of Northstar commuter rail service.
st
Continue implementation of transportation improvements as detail Focused Area
Study
Assure all proposed development improvements are consistent with
transportation plans.
Leverage State and Federal investment for mobility improvements to TH 169 and TH 10
already spent local dollars for the planning of improvements to
Evaluate all available grant opportunities to determine if the l
effective and feasible solution to support our objectives and st
Promote the Quiet Zone, Northstar Commuter Train and Bike paths.
6
2018 BUDGET DETAIL SHEET
Dept:Economic Development Authority
2017 BUDGET2018 BUDGET
Acct.
201420152016
Explanation/Detail of Supplies or Services
No.DetailTotalDetailTotal
ActualActualActual
PERSONAL SERVICES
4101Regular Pay58,53469,31984,57189,75094,850
4103Part-time Pay17,41313,57912,60012,60012,600
4104PERA4,1295,4066,5357,2507,450
4105FICA4,7974,6345,4486,3506,650
4107Medicare1,1221,1361,3181,5001,550
4108Insurance7,4638,62010,73511,60012,550
4109Workers Comp287278398450500
4110Re-employment Comp377
TOTAL PERSONAL SERVICES94,122102,972121,605129,500136,150
SUPPLIES
4201Office Supplies4,7563,6904,3104,6003,400
Office supplies 2,7001,500
Computer Software/Licensing (MNCAR, Sketchup, etc.)1,9001,900
4212Fuels & Lubes111841202,100400
Unleaded gas2,100400
TOTAL SUPPLIES4,7673,8744,4306,7003,800
OTHER SERVICES & CHARGES
4304Legal Fees9,1873888,95111,00011,000
Misc.11,00011,000
4319Other Professional Services28,99917,0002,000
ED Strategic Plan
4321Telephone3579119221,3501,000
iPad data plan (Colleen - $30/mo)375
Cell phone reimb. (Colleen - $30/mo)375400
Cell phone w/hotspot (Amanda - $50/mo)600600
4322Postage3262502781,100300
Marketing mailings1,100300
4331Conferences/Schools8,42414,72918,63211,15012,850
EDAM3,500500
Annual IEDC Conference2,700
Chamber Events500250
MREJ600400
MNCAR150150
CMMA500250
SLUC300-
Springsted400400
Ehlers200200
Site Selector Conference2,5002,500
Site Selector Conference Travel1,5001,500
Misc. training1,0001,000
MADCE - (Data Center Conference)3,000
4349Advertising/Marketing62,25578,10972,94580,60073,400
Community Profiles1,5001,500
Advertising (Production & Publication)20,00017,500
Direct Mailings 1,5001,500
Business Retention & Expansion Visits800-
Promo items10,00010,000
Special events5,0002,500
7/13/2017
Dept:Economic Development Authority
2017 BUDGET2018 BUDGET
Acct.
201420152016
Explanation/Detail of Supplies or Services
No.DetailTotalDetailTotal
ActualActualActual
Sponsorships (City/EDA)10,00011,000
Zoom Prospector Application for Website1,9002,400
Trade Shows & Lead Generation (includes travel)19,95016,000
EDA Website (EDA share - 1/2 EDA & 1/2 HRA)5,7005,700
Lead Forensics (Shared by EDA/HRA)1,200
Promotion & Awards2501,100
Powered by Nature sponsorships3,0002,000
Holiday card marketing1,0001,000
4359Publishing357149258350350
Public notices, etc350350
4361Insurance4587200100
Insurance200100
4433Dues/Subscriptions1,6062,5754,0624,7504,750
EDAM 450450
Chamber480480
Constant Contact300300
CMMA250250
MNCAR300300
IEDC 820820
Misc.300300
Finance and Commerce300300
Rotary250250
MN Marketing Partnership700700
MAEDC300300
MPLS/ST Paul Business Journal300300
4440Miscellaneous216,81411,88288,90013,00048,000
Initiative Foundation3,0003,000
Wetland credit bank10,00045,000
TOTAL OTHER SERVICES & CHARGES328,325126,038197,035123,500151,750
TRANSFERS OUT
34,80036,600
4720Transfers 568,000--
4721General Fund31,90032,00034,80034,80036,600
TOTAL ECONOMIC DEVELOPMENT AUTHORITY1,027,114264,884357,870294,500328,300
7/13/2017