3.1. EDSR 07-15-2020
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional
service, and community engagement that encourages and inspires prosperity
Request for Action
To
Economic Development Authority
Item Number
3.1
Agenda Section
General Business
Meeting Date
July 15, 2020
Prepared by
Amanda Othoudt, EDD
Item Description
2021 EDA Budget & Budget Goals
Reviewed by
Lori Ziemer, Finance Director
Reviewed by
Cal Portner, City Administrator
Action Requested
Information presented for discussion only. Action is to be taken at the August 17, 2020, EDA meeting.
Background/Discussion
As part of the budget process, a budget workshop is advisable to allow for informal discussions regarding the
goals and objectives, major projects, and other items influencing the EDA budget.
Staff prepared a draft budget to address several of the goals outlined through recent EDA discussion. To meet
EDA Bylaws, the EDA must approve the budget at their August 17, 2020, regular meeting, and make
recommendation to the City Council on September 21, 2020.
As drafted, the proposed expenditures are $364,650. Staff is proposing a slight decrease in expenditures for
office supplies. An increase telephone, postage, conferences and schools, advertising and marketing, publishing,
insurance, and dues and subscriptions.
An allocation of $10,000 is proposed for the Together Elk River Campaign. Based upon discussions at the May
18, 2020, special meeting, $10,000 is allocated for incentives and rebates promoting Energy City. A new
allocation in advertising and marketing is budgeted to showcase available industrial and commercial sites
utilizing drone footage.
Staff proposes $45,000 towards the wetland credit bank which is a shared initiative between the EDA and the
Environmental Divisions and allocating $3,000 to the Initiative Foundation.
The EDA levy options are as follows:
1) A Balanced Rate
2) 0.01813% Maximum Rate
All levy options are applied against the Estimated Market Value that will be obtained from Sherburne County.
In addition to the tax levy, we also calculate interest income of $3,000 and $3,500 transfer from the HRA for
supplies and shared costs.
Financial Impact
None
Attachments
EDA 2021 Budget Goals
EDA Budget Worksheet
Dept:Economic Development Authority
Acct.2017 2018 2019
No.Actual Actual Actual Detail Total Detail Total
REVENUES:
3111 Property Taxes 358,578 375,631 331,581 334,450 358,150
3322 MV Credit 202 196 171 -
3621 Interest Income 3,792 8,376 16,511 5,000 3,000
3629 Miscellaneous Revenue 27,992 - - -
3949 Transfers In - HRA 3,500 3,500 3,500 3,500 3,500
TOTAL EDA REVENUES 394,064 387,703 351,763 342,950 364,650
EXPENDITURES:
PERSONAL SERVICES
4101 Regular Pay 89,871 97,777 100,800 106,550 112,150
4103 Part-time Pay 12,600 12,150 11,625 12,600 12,600
4104 PERA 6,830 7,513 7,710 8,100 8,600
4105 FICA 5,747 6,151 6,238 7,300 7,650
4107 Medicare 1,390 1,490 1,502 1,750 1,800
4108 Insurance 11,691 15,439 15,955 16,750 17,600
4109 Workers Comp 406 473 453 500 500
TOTAL PERSONAL SERVICES 128,535 140,993 144,283 153,550 160,900
SUPPLIES
4201 Office Supplies 1,307 1,248 1,628 2,600 1,050
Office supplies 1,100 700
Computer Software/Licensing (MNCAR, Sketchup, etc.)200 350
Computer replacement (Colleen)1,300 -
4212 Fuels & Lubes 45 32 211 50 50
Unleaded gas 50 50
TOTAL SUPPLIES 1,352 1,280 1,839 2,650 1,100
OTHER SERVICES & CHARGES
4304 Legal Fees 6,525 2,450 10,613 6,000 6,000
Misc.6,000 6,000
4319 Other Professional Services - - - 10,000 10,000
ED Strategic Plan 10,000 10,000
4321 Telephone 1,211 963 1,693 900 1,000
Cell phone (Amanda/ Colleen)900 1,000
4322 Postage 302 642 417 650 1,000
Marketing mailings 650 1,000
4331 Conferences/Schools 10,319 13,647 11,278 12,300 14,950
EDAM 1,000 1,800
Annual IEDC Conference 2,400 2,400
Chamber Events 150 150
MREJ 400 400
MNCREW 100 100
CMMA 100 100
Baker Tilly 400 400
Site Selector Conference 2,500 3,150
Economix Spring or Fall 2,150 2,250
Misc. training - IEDC Certification?1,200 1,200
MAEDC (BP and Competitive Conf.)1,900 3,000
4349 Advertising/Marketing 69,286 71,525 71,194 59,500 75,550
Community Profiles 750 750
Advertising (Production & Publication)15,000 12,850
Direct Mailings - Mfg Week 150 150
2021 BUDGET
2021 BUDGET DETAIL SHEET
Explanation/Detail of Supplies or Services 2020 BUDGET
7/14/2020
Dept:Economic Development Authority
Acct.2017 2018 2019
No.Actual Actual Actual Detail Total Detail Total
2021 BUDGETExplanation/Detail of Supplies or Services 2020 BUDGET
Real Estate Signs 4,000
Promo items 2,500 2,500
Special events 3,150 3,250
Sponsorships (City/EDA)9,850 9,950
Catalyst 4,100 4,100
Trade Shows & Lead Generation (includes travel)11,900 11,900
EDA Website (EDA share - 1/2 EDA & 1/2 HRA)5,700 5,700
Lead Forensics (Shared by EDA/HRA)1,200 1,200
Promotion & Awards 900 900
Holiday card marketing 300 300
Together Elk River Campaign 10,000
Energy City Program (rebates)10,000
VR/Drone 2,000
4359 Publishing - 168 136 200 250
Public notices, etc 200 250
4361 Insurance 63 146 210 150 200
Auto insurance 150 200
4433 Dues/Subscriptions 4,083 4,986 4,779 4,550 4,700
EDAM 500 500
Chamber 500 550
CMMA 250 300
MNCAR 300 300
IEDC 650 650
Finance and Commerce 300 300
Rotary 300 300
MN Marketing Partnership 700 700
MAEDC 300 300
MPLS/ST Paul Business Journal 300 300
GROW MN/Salesforce License 450 500
4440 Miscellaneous 4,776 3,028 3,092 53,000 48,000
Initiative Foundation 3,000 3,000
Wetland credit bank 45,000 45,000
Public Art 5,000 -
TOTAL OTHER SERVICES & CHARGES 96,565 97,555 103,412 147,250 161,650
TRANSFERS OUT 39,500 41,000
4720 Jobs Incentive Fund 66,000 - - -
4721 General Fund 34,800 36,600 38,000 39,500 41,000
TOTAL EDA EXPENDITURES 327,252 276,428 287,534 342,950 364,650
REVENUES OVER/(UNDER) EXPENDITURES 66,812 111,275 64,229 - -
^^
7/14/2020
Division:
Completed by:
Date:
Performance Measure 2019 Actual 2020 Estimated 2021 Projected
Conduct BR&E Visits 26 24 24
Facilitate Site Visits 4 4 4
Division Performance Measures & Goals for 2021
Economic Development
Amanda Othoudt
June 3, 2020
Division Goal Goal Objective/Task
Market the City of Elk River and gain positive exposure for the
city
Strategic Recruiting: Attend targeted industry (data centers,
manufacturing, energy, medical device technology) trade
shows, leverage opportunities with local companies. Identify
key decision makers, provide FAM tours, coordinate
development meetings with city/county/state. Partner with MN
Marketing Partnership, Sherburne County and ERMU.
Promote available properties on MNCAR. Attend Annual Site
Selector Guild Conference.
Grow and maintain an inventory of private and public properties
available for future development
Continue to fund the wetland bank to facilitate new
development where wetlands impede growth.
Maintain financial incentives to enhance economic development
Maximize and leverage DEED monies, Initiative Foundation,
Sherburne County Revolving Loan Fund and other financial
tools and incentives
Begin implementation of Strategic Plan Identify implementation schedule, plan for needed financing,
procure resources needed for the Plan.
Celebrate and grow our existing businesses Conduct Business Retention and Expansion visits to local
businesses
Develop and expand a microloan program to encourage 50 new
green collar jobs by 2024 Work with ERMU and Environmental Departments
Increase the number of companies actively manufacturing
products or components of products directly or indirectly used in
renewable energy or energy efficiency by 2024
Work with ERMU and Environmental Departments
169 Redefine Project/Together Elk River
Work with Engineering and Communication staff to
proactively work with the business community impacted by
the 169 Redefine Project and assist them with relocation
within the city if necessary.