2. EDSR 08-15-2022
Request for Action
To Item Number
Economic Development Authority 2.0
Agenda Section Meeting Date Prepared by
Budget Discussion August 15, 2022 Brent O’Neil, Economic Development Director
Item Description Reviewed by
Discuss 2023 EDA Budget & Budget Goals Cal Portner, City Administrator
Reviewed by
Action Requested
Review the draft EDA budget for 2023 and provide direction for inclusion in the September 6, 2022,
Preliminary Levy.
Background/Discussion
EDA bylaws require budget adoption and a recommendation to the City Council at the September meeting
for inclusion into the preliminary levy. This workshop allows for open discussion on the budget and goals for
2023.
The draft 2023 budget prepared by staff is similar to 2022 with many line items remaining level or with slight
modifications over the 2022 baseline. The draft budget increases the proposed expenses from $371,650 in
2022 to $412,500 proposed for 2023. Including analytics software as a budget item, increasing the
contribution to the wetland bank, and public art fund account for much of the year-over-year change. In
consideration of EDA levy options, and in anticipation of interest income of $5,000 and $4,000 in transfers in
from HRA, a levy of $403,500 would balance expenditures and revenues for the core items. The maximum
levy allowed is capped by state statute based on Elk River’s Estimated Market Value (EMV). The EMV has
not yet been provided by Sherburne County; however, preliminary projections of EMV would provide a
maximum levy of approximately $600,000.
Financial Impact
N/A
Mission/Policy/Goal
EDA Bylaws require the Executive Director to prepare a budget and present it to the Commissioners of the
Authority for consideration in August of each year.
Attachments
Draft EDA 2023 Budget Worksheet
Draft EDA 2023 Goals
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community
engagement that encourages and inspires prosperity
2023 BUDGET DETAIL
Dept:920-6210 - Economic Development AuthorityDRAFT FOR WORKSHOP
Acct.20222023
201920202021
Explanation/Detail of Supplies or Services
No.BUDGETBUDGET
ActualActualActual
REVENUES:
3111Property Taxes 331,581 334,277 362,164 363,150 403,500
3322MV Credit 171 160 199 - -
3621Interest Income 16,511 4,579 1,396 5,000 5,000
3629Miscellaneous Revenue - 4,200 23,506 - -
3949Transfers In - HRA 3,500 3,500 3,500 3,500 4,000
TOTAL EDA REVENUES 351,763 346,716 390,765 371,650 412,500
EXPENDITURES:
PERSONAL SERVICES
4101Regular Pay 100,800 102,259 83,612 113,100 113,350
4103Part-time Pay 11,625 12,600 12,600 12,600 12,600
4104PERA 7,710 6,955 5,697 8,650 8,700
4105FICA 6,238 6,515 5,816 7,700 7,700
4107Medicare 1,502 1,576 1,412 1,800 1,850
4108Insurance 15,955 14,725 5,131 18,500 24,300
4109Workers Comp 453 438 483 500 500
TOTAL PERSONAL SERVICES 144,283 145,068 114,751 162,850 169,000
SUPPLIES
Office Supplies
4201 1,628 1,522 2,584 3,500 2,500
Office supplies 1,650 2,500
Computer Software/Licensing (Sketchup, etc.) 1,850 -
Fuels & Lubes
4212 211 - 80 50 50
Unleaded gas 50 50
TOTAL SUPPLIES 1,839 1,522 2,664 3,550 2,550
SERVICES & CHARGES
Legal Fees
4304 10,613 8,715 9,237 8,000 9,500
Misc. 8,000 9,500
Other Professional Services
4319 - 50,846 7,590 10,000 6,000
Consulting 5,000 5,000
Process mapping 5,000 1,000
Telephone
4321 1,693 742 430 1,000 1,000
Cell phone (2) 1,000 1,000
Postage
4322 417 93 26 500 500
Marketing mailings 500 500
Conferences/Schools
4331 11,278 4,461 10,769 14,800 10,000
EDAM 1,800 2,000
Annual IEDC Conference 2,400 -
Chamber Events 150 300
MREJ 300 350
MNCREW 50 100
CMMA 100 300
Baker Tilly Symposium 400 450
Site Selector Event (SSG/Economix/Etc) 3,150 3,500
Economix Spring and/or Fall -remove 2,250 -
Misc. training - IEDC Certification 1,200 -
MAEDC (BP and Competitive Conf.) 3,000 -
Other 3,000
Advertising/Marketing
4349 71,194 60,516 44,780 74,850 72,100
Community Profiles 1,000 1,000
Advertising (Production & Publication) 12,850 13,000
Direct Mailings - Mfg Week 200 200
Promo items 2,500 2,500
Special events 3,250 3,000
Sponsorships (City/EDA) 9,950 3,000
Catalyst 4,500 4,500
Trade Shows & Lead Generation (includes travel) 11,900 10,000
EDA Website (EDA share - 1/2 EDA & 1/2 HRA) 5,700 5,700
Lead Forensics (Shared by EDA/HRA) 1,200 2,400
Promotion & Awards 1,500 1,500
Holiday card marketing 300 300
Together Elk River Campaign 10,000 15,000
Energy City Program (rebates) 10,000 10,000
Publishing
4359 136 656 312 250 350
Public notices, etc 250 350
Insurance
4361 210 212 220 200 250
Auto insurance 200 250
Software Subscriptions
4404 - - - - 16,850
Computer Software/Licensing (Sketchup, etc.) 1,850
Analytics Software 15,000
Dues/Subscriptions
4433 4,779 4,244 3,694 4,650 5,100
EDAM 450 500
Chamber 550 600
CMMA 300 300
MNCAR 300 300
IEDC 650 700
Finance and Commerce 300 350
Rotary 300 300
MN Marketing Partnership 700 800
MAEDC 300 300
MPLS/ST Paul Business Journal 300 350
GROW MN/Salesforce License 500 600
Miscellaneous
4440 3,092 8,633 18,890 48,000 73,000
Initiative Foundation 3,000 3,000
Wetland credit bank 45,000 60,000
Public Art - 10,000
IT Equipment Charge
4462 1,300
TOTAL SERVICES & CHARGES 103,412 139,118 95,948 162,250 195,950
TRANSFERS OUT
43,000 45,000
General Fund
4721 38,000 39,500 41,000 43,000 45,000
TOTAL EDA EXPENDITURES 287,534 325,208 254,363 371,650 412,500
REVENUES OVER/(UNDER) EXPENDITURES 64,229 21,508 136,402 - -
^^^^^
Performance Measures & Goals for 2023
Division:Economic Development
Completed by:Brent O'NeilDRAFT FOR WORKSHOP
Date:August 10, 2022
Performance Measure2020 Actual2021 Actual2022 Estimated2022 YTD2023 Projected
GrowMN Partnership Visits
18
Business Engagements (BRE)
50
Prospect Engagements
36
Facilitate Site Visits to Elk River
31424
Commercial - Industrial permit
value
$20,000,000 $58,000,000 $35,000,000 $56,000,000 $50,000,000
Net impressions from placed ads
355,000310,000110,000
350,000250,000
EDA Website Traffic
5,0005,0001250 (thru Q1)
5,0005,200
Division Goal Goal Objective/Task
Continue to conduct BRE visits, and to receive feedback on city factors impacting
Support Elk River's existing businesses through
businesses. Provide technical assistance as necessary and through feedback ensure
relationship building, programmatic offerings, and high
economic development programs of the city are in line with business needs and utilization.
quality city services
Support businesses through stated needs such as workforce development and recruitment.
Continue to market and promote the community. Make contact with prospective businesses
and siting professionals and specifically highlighting the community's strengths. Market
existing properties (EDA and private) and capture opportunities for land development and
Attract new business development to Elk River to build
assembly. Direct targeted focus on specific sectors, including those identified in the EDA
the City's economic vibrancy, job offerings and tax base
strategic plan: precision manufacturing, renewable energy, regional distribution, biomedial
manufacturers, and health care services. Promote available properties on MNCAR and other
marketing vehicles.
Proactively support the community and businesses impacted by the 169 Redefine Project.
Set up a mechanism for communication among businesses in conjunction with Public Works,
Support impacted businesses and capitalize on
City Communications team, and MN/DOT. Provide resources to address challenges created
opportunities associated with the 169 Redefine Project
during the project and facilitate business relocation within the city if necessary. Foster and
promote new opportunities created from implementation of the project.
Support beautification efforts, public art, events, and investments that attract visitors to Elk
Consider new programs that promote the community
River. Direct investment in certain programs may lead to enhanced community perception
image and support local tourism.
and increase in visitors to Elk River.
Continue to work with Sherburne County, Elk River Area Chamber of Commerce,
Partner with peer organizations
GreaterMSP, DEED, MN Marketing Partnership, ERMU, and Elk River Schools.
Keep a detailed and regularly-updated inventory of properties which may be suitable for
Maintain an inventory of private and public properties
developent and likely available to promote to business prospects. In addition to utilizing the
available for future development
MNCAR system for actively available properties, also identify properties in coordination with
Maintain financial incentives to enhance economic Maximize and leverage city programs, MnDEED monies, Initiative Foundation, Sherburne
developmentCounty Revolving Loan Fund and other financial tools and incentives
Build off the momentum Together Elk River delivered throughout the Covid pandemic to
Position the Together Elk River campaign/brand to
support prevailing economic matters in the community such as workforce recruitment and
support ongoing community priorities and challenges.
the 169 Redefine project.
Increase the number of companies actively
manufacturing products or components of products
Work with ERMU and Environmental Departments
directly or indirectly used in renewable energy or energy
efficiency by 2024