7.0 EDSR 08-10-2009item # 7.
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ver
MEMORANDUM
TO: Economic Development Authority
FROM: Catherine Mehelich, Director of Economic Development
DATE: August 10, 2009
SUBJECT: Shovel-Ready Site Certification Program
Presentation & Discussion by Gene Goddard, MN DEED
Attachment
• Shovel-Ready Site Certification information from DEED website
Background
Within the recently adopted Economic Development 2009-2012 Strategic Plan, the EDA
has identified the following Industrial Development Strategies:
• Build on existing light industrial base
• Diversify economic base to include professional services, corporate campuses, and
energy-related technology businesses
• Ensure resources (compatible sites, financing tools, focused marketing, etc) are in
place to achieve goals
Staff has invited Gene Goddard, Senior Business Development Specialist for the MN Dept
of Employment & Economic Development (DEED) to provide an overview of the new
Minnesota Shovel Ready Certification Program. The Shovel-Ready program certifies that
the most time-consuming technical and regulatory aspects of development are already
complete for public and privately owned development sites. The certification gives these
sites a unique marketing advantage and is more attractive to companies and site selection
consultants looking for locations for business startups, expansions or relocations.
The EDA may wish to consider the Shovel-Ready Site Certification program as a marketing
tool on the 2 remaining Northstar Business Park lots, privately-owned Business Park/Light
Industrial lots, as well as any future Business Parks the EDA pursues. The application fee
for the MN Shovel-Ready Site program is $2,950 per site and covers the cost of initial
review, onsite inspection, final certification, marketing and annual maintenance of the
Shovel-Ready Site Certification Program
August 10, 2009 EDA Meeting
Page 2 of 2
program. Alternatively the EDA may wish to employ some facets of the program in its
marketing strategies; however it would not receive DEED's official certification for
marketing.
The overview should also serve as good background for the EDA's clarification and
identification of future business park property to market. In the coming months staff will be
outlining fox the EDA's consideration a process to undertake next steps to increase the
inventory of industrial land.
S:\EDA\AGENDA\Year2009\8.10.09 Shovel Ready Sites.doc
Shovel Ready What Is a Shovel Ready Site
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LFrequently Asked Questions
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What is a Shovel-Ready Site?
Shovel-ready sites are in growing demand among companies and site selection consultants, and they , ,: r '"' r.
are an increasingly popular tool for communities to attract new business and industry. "' ~ 1 ~;~'•t*1~~
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While definitions vary from state to state, the term'Shovel-Ready' generally refers to commercial and .~~ "
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industrial sites that:
• Have had all of the planning, zoning, surveys, title work, environmental studies, soils analysis and public infrastructure
engineering completed prior to putting the site up for sale.
• Are under the legal control of a community or other third party.
Criteria for Minnesota's Shovel-Ready Certification:
Ownership Status
It is important for prospective buyers to know that sites can be purchased without undue complications. Ownership status
documentation must include:
• A description of the current owner
• Documentation of title to the property
General Site Information
Site selectors need a wide variety of information to determine whether a location is suitable. General site information must
include:
• A description of all parcels that make up the site
• A site map and schedule for site plan approvals and permits
• A zoning description of the site plus current and future planned zoning of adjacent sites. Land use maps must be
provided.
• Information about whether the site or adjacent sites fall within the boundaries of special Economic Development Zones
• Aerial photos noting site boundaries
• The current price offering for land
• Current real estate taxes and special assessments on all parcels that make up the site
• Identification of current and former land use of the site and adjacent sites
Specific Tests and Assessments
Site selectors need to know whether the ground on a particular site is suitable for specific structures or uses. Certain tests and
site assessments must be completed and documented, including:
• Geotechnical soil tests
• Phase I Environmental Assessment and Phase II (if required)
Utility Services
The availability of utilities is an extremely important factor that site selectors consider. The types of services available at the site
and the names of the providers must be documented, including:
• Electric power
Sanitary sewer
• Natural gas
• Telecommunications
• Water and wastewater treatment
http://www.deed.state.mn.us/bizdev/ShovelReady/SR_whatisit.htm 8/4/2009
Shovel Ready What Is a Shovel Ready Site Page 2 of 2
• Municipal storm sewer
Transportation Access
The ability to receive raw materials and components and move finished products to market is crucial to manufacturers.
Transportation access documentation includes:
• Distances to major state highways and Interstates
• Access to navigable river, inland or sea ports
• Rail access to site
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Shovel Ready Benefits
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Certified shovel-ready sites are extremely attractive to companies looking to expand, relocate or start
Frequently Asked Questions up. The reasons are simple:
How Site Selectors Choose a
~ . Global economic forces are pushing companies to make market decisions faster than ever before. They no longer have
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Supporting Documents • Shovel-ready sites can be purchased quickly.
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i • Companies need sites that are ready for development and can match the construction completion date with customer
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• Shovel-ready sites simplify the development process and greatly reduce risk by eliminating most of the unknowns from the
site selection decision and increasing the predictability of getting the land developed, the building constructed and the
business up and running.
• Shovel-ready sites lower development costs.
Benefits for Site Owners and Minnesota Communities
Certification offers several benefits for site owners and communities, including:
• Minnesota's Certified Shovel Ready sites will be heavily marketed at national conferences and trade shows as well as on
the MNPRO web site.
• Improved marketability for both the site and the community.
Certified shovel ready status is fast becoming a standard for sites being marketed in the state. Having certified sites
demonstrates that communities are prepared for development.
• Distinct competitive advantages over communities that do not offer certified sites.
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Shovel Ready How to Become A Certified Site
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Shovel Ready Minnesota Shovel Ready Certification Program
What is a Shovel•Ready Site? How to Become a Minnesota Certified Shovel Ready Site
Benefits of a Shovel•Ready
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The site selection and economic development consulting firm Moran, Stahl & Boyer will process and 1
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How to Become a Certified analyze all applications for the Minnesota Department of Employment and Economic Development.
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The ation fee for the Minnes t ifi The fee covers the cost of initial review,
How Site Selectors Choose a onsite inspection, ina certi ication, marketing and annual maintenance of the Shovel Ready program.
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Supporting Documents ~
The application is a seven-step process:
Program ParUiers ~ Step 1: Download and save the Shovel Rc;ar)v Site Application to your computer. The application is in an Excel file format. Next,
view the Instruction Sheet that will guide you through the application.
Step 2: Gather the required support documentation requested in the application. If not all the information, site tests, and
assessments are immediately available but will be complete within four to six weeks, finish the application and note when the
supporting documentation is expected to be available.
Step 3: Submit electronic copies of the completed application and supporting documentation by a-mail to
aene.goddard@siate_mn.us and iolul.rhodissCamsbcons;iliin~a.com
It is also acceptable to provide the electronic documents on CD and send them by mail to the addresses below.
Step 4: Mail a paper copy of the completed application and supporting documentation along with a check for $2,950 payable to
the State of Minnesota to:
Minnesota Department of Employment and Economic Development
1st National Bank Building
332 Minnesota Street, Suite E200
St. Paul, MN 55101-1351
Attn: Gene Goddard
Mail a paper copy of the completed application and supporting documentation to:
Moran, Stahl & Boyer
8374 Market Street - 422
Lakewood Ranch, FL 34202
Attn: John Rhodes
Step 5: Moran, Stahl & Boyer will review the application and telephone the contact listed in the application to schedule an onsite
visit.
Step 6: A consulting team from Moran, Stahl & Boyer will conduct the onsite visit and discuss aspects of the site. This also is an
opportunity to bring together local economic development stakeholders and have aquestion-and-answer session with the
consulting team.
Step 7: Within six weeks of the onsite visit, Moran, Stahl & Boyer will issue a letter either certifying the site or providing a list of
what needs to be completed in order to get certification.
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Shovel Ready FAQs
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DEED Home ~ Site Map
August 04, 2009
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Business Services .Community Development Facts and Figures :Job Seekers I News and Events ~ Publications
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Shovel Ready
I What is a Shovel-Ready Site?
Benefit is of a Shovel-Ready
I site _
~ How to Become a Certified
~Shovei-Ready Site
Slte Certification Schedule for
2009
Frequently Asked Questions.,
How Site Selectors Choose a
Location
Supporting Documents
Program Partners
Minnesota Shovel Ready Certification Program
Frequently Asked Questions
1. Can communities or site owners submit more than one site at a time? , ., r ' ' ~
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• Yes. You may submit multiple sites. However, each is considered separately and requires its ~~>(11 ,,e..~a' '~~~
own application and processing fee. Note that a site consists of parcels that are contiguous. "'~ ~~~
2. Can I contact Moran, Stahl and Boyer during the review process?
• Absolutely. The MS&B project team expects to have regular contact with you throughout the review process.
3. Are there minimum or maximum limits on site size?
• No, there are no size limits
4. What happens if my application does not initially qualify for certification?
• Your application is valid for 18 months. If you meet the standards within that period, you will receive certification.
5. Once a site is certified, how do 1 maintain certification?
• You will be notified every 120 days to confirm that the site is still available and the information listed in the MNPRO
database is still accurate. If the site has been sold or has undergone any material changes, you must notify DEED.
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