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Home My WebLink AboutEDA - November 21, 20171685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV ECONOMIC DEVELOPMENT AUTHORITY MEETING November 21, 2017 6:00 p.m. Conference Rooms A & B I. Call to Order — 6:00 p.m. 2. Approval of Minutes (9/19/17 Regular; 11/6/17 Regular; 11/6/17 Closed) 3. Ratify Purchase Agreements Bunker Lake Boulevard Redevelopment Area - Planning 4. Review/Discuss Proposed 2018 EDA Budget —Administration 5. Approve LMCIT Liability Coverage/EDA - Administration 6. Review Development Activity - Planning Close Session 7. Redevelopment Updates/Property Negotiation Updates - Verbal 8. Other Business 9. Adjournment C I T bly a NLD61 ^ 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Economic Development Authority CC: Jim Dickinson, City Administrator FROM: Michelle Harmer, Deputy City Cler SUBJECT: Approval of Minutes DATE: November 21, 2017 INTRODUCTION The following minutes were provided by Staff reviewed by Administration and submitted for EDA approval: September 19, 2017 Regular November 6, 2017 Regular November 6, 2017 Closed DISCUSSION The minutes are attached for your review. ACTION REQUIRED The EDA is requested to approve the above minutes. IReesppectf�ulllysubmitted, �-j"' I Q nu "v u ---v Michelle Harmer Deputy City Clerk Attach: Minutes 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 ANDOVER ECONOMIC DEVELOPMENTAUTHORITYMEETING— SEPTEMBER 19,2017- MINUTES The Meeting of the Andover Economic Development Authority was called to order by President Julie Trude, September 19, 2017, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Present: Absent: Also present: APPROVAL OF MINI August 2, 2017, Regular Motion by Bukkila, So ayes, 0 nays and 1 absei REVIEW COMMER6 Mr. Janish reviewed the Commissioners Sheri Mike Knight and Joy Commissioner Timothy Cleven Executive Director, Jim Dickie: Holthus, James Goodrich, Joe Janish ;er. Dave Berkowitz g• Correct as written. by Knight to approve the minutes as written. ,n). Motion carried 6 The Shops @ Andover, 13650 Hanson Boulevard- Twins Cities Dental has received their Certificate of Occupancy. The last space in the building has been rented out to SportClips. SportClips permit application has been reviewed and staff is waiting on the SAC determination by Met Council. Estates at Arbor Oaks/Trident Development, 1753 156" Lane — In the process of renting out units. Daycare Interest — A daycare facility has expressed interest in locating in Andover and has been given an extension for one particular location. Restaurants/Fast Food — Currently staff is aware of two companies continuing to look for land to locate in Andover. Andover Economic Development Authority Meeting Minutes —September 19, 2017 Page 2 1 Upper Midwest Athletic Construction — A CUP was granted. Staff is waiting for the 2 Commercial Site Plan to be submitted. 3 4 Andover Cinema, 1836 Bunker Lake Boulevard — A CUP was granted for liquor sales and an 5 On -Sale Liquor License was issued. 6 7 Pack Leader Behavior & Training — Received a CUP for Commercial Animal Training at 8 158257 1h Avenue. Final inspection and parking lot improvements are complete. 9 10 Overall Marketing — Staff continues to work with parties interested in investing in Andover. 11 The City will have a booth at the upcoming UpRiver Commercial Broker Event. There will be 12 over 100 brokers attending and an update given on the County as a whole. 13 14 Northern Natural Gas/Centerpoint Energy — Tank installation is in progress. 15 16 Interest in Hughes Industrial Park — Businesses continue to show some interest in the area. 17 18 Clocktower Commons — The clock will be a physical part of the last building. Staff is in the 19 process of working with the owner on the placement of an electronic message board. 20 21 Open to Business — The 2017 first half year report was reviewed. 137 clients have been served 22 as part of the program with 28 businesses or residents interested in starting a business or location 23 in Andover. 24 25 Commissioner Bukkila requested the financing part of the report show in what city the clients 26 that received funding are in. 27 28 Commissioner Twistol suggested the City send a letter or proclamation to the businesses in 29 Andover expressing appreciation for them. 30 31 3121 1611 Avenue — An individual is interested in the location for a doggie daycare/boarding 32 facility. The EDA saw this as a positive and directed staff to continue working with the 33 individual. 34 35 DISCUSS PRESBYTERIANHOMES REQUEST FOR LOW-INCOME RENTAL 36 CLASSIFICATION FOR THE FARMSTEAD FACILITY 37 38 Mr. Dickinson stated Presbyterian Homes is requesting the City's consideration of a Low - 39 Income Rental Classification (LIRC) for their Farmstead facility. Mr. Dickinson reviewed the 40 request with the EDA. The contract would expire in 2029. The State standard would require 28 41 units to be low income. There is also an annual compliance review. 42 43 Motion by Holthus, Seconded by Goodrich recommending to City Council approval of the 44 agreement allowing for a Low -Income Classification for the Farmstead facility. Motion carried 45 6 ayes, 0 nays and 1 absent (Cleven). 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Andover Economic Development Authority Meeting Minutes —September 19, 2017 Page 3 REDEVELOPMENT UPDATES/PROPERTYNEGOTL4TION UPDATES Mr. Dickinson stated there have been no new negotiations in the Bunker redevelopment area. Mr. Dickinson indicated there is another target area staff would like the EDA to consider pursuing properties in. The area was discussed. The EDA directed staff to pursue the properties in the other target area. Mr. Dickinson stated staff will continue to monitor both target areas. OTHER BUSINESS There was none. ADJOURNMENT Motion by Bukkila, Seconded by Twistol, to adjourn. Motion carried 6 ayes, 0 nays and 1 absent (Cleven). The meeting adjourned at 6:56 p.m. Respectfully submitted, Michelle Hartner, Recording Secretary 1 2 3 4 5 6 ANDOVER ECONOMIC DEVELOPMENTAUTHORITYMEETING- 7 NOVEMBER 6, 2017 - MINUTES 8 9 10 The Meeting of the Andover Economic Development Authority was called to order by President 11 Julie Trude, November 6, 2017, 6:03 p.m., at the Andover City Hall, 1685 Crosstown Boulevard 12 NW, Andover, Minnesota. 13 14 Present: Commissioners James Goodrich, Valerie Holthus, Mike Knight, 15 and Joyce Twistol 16 17 Absent: Commissioners Sheri Bukkila and Timothy Cleven 18 19 Also present: Executive Director, Jim Dickinson 20 Community Development Director, Joe Janish 21 22 23 24 25 RECESS 26 27 President Trude recessed the regular EDA meeting _at 6:04 p.m. to a closed session of the EDA to 28 discuss Property Acquisition Negotiations-Bunker/Crosstown Redevelopment Area. 29 30 RECONVENE 31 32 The EDA reconvened at 6:51 pm. 33 34 OTHER BUSINESS 35 36 There was none. 37 38 ADJOURNMENT 39 40 Motion by Knight, Seconded by Holthus to adjourn. Motion carried 5 ayes, 0 nays and 2 absent 41 (Bukkila and Cleven). The meeting adjourned at 6:51 p.m. 42 43 Respectfully submitted, 44 45 Michelle Harmer, Recording Secretary 46 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and Commissioners CC: Jim Dickinson, Executive Director FROM: Joe Janish, Community Development uector SUBJECT: Ratify Purchase Agreements Bunker Lake Boulevard Redevelopment Area DATE: November 21, 2017 INTRODUCTION At our closed session on November 6, 2017 Andover EDA and staff discussed acquisition strategy for properties listed for sale within the Bunker Lake Boulevard Redevelopment Area. Staff followed the direction provided at the closed meeting, and will provide updated information at our regular meeting up to seeking the ratification of Purchase Agreement(s). s Oct 1 s bmitted, Jo Janis 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.CI.ANDOVER.MN.US TO: President and Commissioners FROM: Jim Dickinson, Executive Director SUBJECT: Discuss/Recommend Proposed 2018 EDA Budget DATE: November 21, 2017 INTRODUCTION The EDA is requested to receive a brief presentation on the proposed 2018 Special Revenue Fund budget. DISCUSSION The Executive Director will use the attached documents as the basis for the 2018 EDA Budget presentation and to facilitate discussion: 1. EDA Special Revenue Fund Statement of Revenues, Expenditures and Changes in Fund Balance 2. EDA Special Revenue Fund Budget Worksheet for 2018 3. EDA Budget Detail Worksheets ACTION REQUESTED Receive a presentation, discuss and recommend a proposed 2018 EDA Special Revenue Fund budget. fully submitted, City of Andover Special Revenue Funds Economic Development Authority Fund Statement of Revenues, Expenditures and Changes in Fund Balance 4 vp ^lre ti t i,. 4 hP 6 i _IOn �,.t.mdl �, i U P 6 A �f Mira, Actual °'i rE' a 206 e� }'i' W!� '� Atlo ted E ., d .&. ti 1 nA' 1 'Sk Estirnate�} 20�7 t ..I}ti3 i ° C S "4C "Y ttl Y' L Adopetl .r4�r�-.2��a8� Fund Balance, January 1 Revenues Charges for Services Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 Change in Fund Balance $ 334,451 $ 312,000 $ 312,000 $ 263,922 9,181 10,000 8,000 8,000 3,860 3,000 3,000 3,000 1,478 - - 14,519 13,000 11,000 11,000 14,519 348,970 17,739 3,419 7,718 8,094 36,970 13,000 325,000 14,578 18,900 79,000 13,850 126,328 11,000 323,000 14,578 13,900 19,000 11,600 59,078 11,000 274,922 14,346 18,900 63,200 13,850 110,296 36,970 126,328 59,078 110,296 $ 312,000 $ (22,451) -7% $ 198,672 $ (113,328) -36% $ 263,922 $ (48,078) -15% $ 164,626 $ (99,296) -38% 11/1312017 CrrV OF ANDOVER Budget Worksheet -2018 EDA 2110-46500 Account Actual Actual Armal Actual Actual Budget Estimate Requested Number Description 2012 2013 2014 2015 2016 2017 2017 2018 Charges for Services 54370 Tax Increment Adminialm onF 190,538 37,306 36,622 20,895 9,181 10,000 8,000 8,000 Charges for Services 190,538 37,306 36,622 20,895 9,181 10,000 8,000 8,000 Investment Income 56910 Interest Earned 9,063 7,468 8,765 3,946 4,077 3,000 3,000 3,000 56920 Valuation Adjustment (1,841) (10,464) 1,912 (114) (217) Investment Income 7,222 (2,996) 10,677 3,832 3,860 3,000 3,000 3,000 Miscellaneous Revenue 58100 Refunds & Reimbursements 509 6,620 5,868 930 1,478 Miscellaneous Revenue 509 6,620 5,868 930 1,478 Total Revenues 198,269 40,930 53,167 25,657 14,519 13,000 11,000 11,000 Salaries & Benefits 60110 Salaries -Regular 77,026 80,686 35,027 35,737 11,583 - - - 60140 Salaries-Council/Conanissio 494 3,560 2,440 2,840 2,040 5,600 5,600 5,600 60210 FICA 4,386 4,690 2,235 2,162 851 347 347 347 60220 Medicare 1,051 1,139 534 523 214 81 81 81 60310 Health Insurance 9,124 9,232 5,065 5,032 1,569 - - - 60320 Dental hernance 317 329 174 183 59 - - - 60330 Life Insurance 13 11 6 4 1 - - - 60340 Long -Term Disability 190 190 91 78 26 - - - 60410 PERU 5,561 5,807 2,699 2,679 949 - - - 60420 Nationwide Retirement 514 513 231 220 125 - - - 60520 Workers Comp - - - - 322 - - - 60990 Inter -City Labor Allocation 8,550 8,550 8,318 Salaries &Benefits 98,676 106,157 48,502 49,458 17,739 14,578 14,578 14,346 Departmental 61005 Supplies - General 1,245 3,409 7,326 814 300 2,000 2,000 2,000 61105 R & M Supplies-Geneml - - - 735 16 - - - 61130 R & M Supplies - Landscape - - 307 - - 10,000 5,000 10,000 61310 Meals/Lodging 16 175 99 100 90 700 700 700 61315 Continuing Education - - 25 - - 1,500 1,500 1,500 61320 Annual Dues/Licenses 938 2,348 1,493 1,475 1,069 1,500 1,500 1,500 61405 Postage 594 615 185 140 144 1,000 1,000 1,000 61410 Transportation/Mileage 1,800 1,804 1,800 1,800 1,800 2,200 2,200 2,200 Departrnental 4,593 8,351 11,235 5,064 3,419 18,900 13,900 18,900 Operating 62005 Electric 5,063 5,920 4,364 3,678 3,083 7,000 6,000 7,000 62010 Water 536 1,062 365 667 814 - - - 62100 Insurance 2,491 3,081 3,670 3,301 2,597 5,250 4,000 5,250 62200 Rentals - - - - - 62210 Computer Services 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 Operating 9,690 11,663 9,999 9,246 8,094 13,850 11,600 13,850 Professional Services 63005 Professional Services 9,255 1,965 3,669 1,918 3,349 5,500 5,500 5,700 63010 Contactual Services 20,696 4,903 4,045 4,561 3,257 69,000 9,000 53,000 63015 Attorney - - - 615 234 2,000 2,000 2,000 63025 Publishing 628 1,037 763 1,136 878 2,500 2,500 2,500 63100 R & M Labor - General - - - - _ _ - - 63200 Inspections 84 Professional Services 30,579 7,989 8,477 8,230 7,718 79,000 19,000 63,200 Capital Outlay 65200 Buildings - 65300 Improvements 38,950 14,185 Capital Outlay 38,950 14,185 Total Expenditures 182,488 148,345 78,213 71,998 36,970 126,328 59,078 110,296 Net Increase (Decrease) in FB 15,781 (107,415) (25,046) (46,341) (22,451)(113,328) (48,078) (99,296) Fund Balance Beginning 497,472 513,253 405,838 380,792 334,451 312,000 312,000 263,922 Ending 513,253 405,838 380,792 334,451 312,000 198,672 263,922 164,626 11/1312017 City of Andover Budget Detail for all Object Codes (List each expense account individually with specific cost detail) Department I Cost Center: Economic Development - 2110 Page 1 of2 City of Andover Budget Detail for all Object Codes (List each expense account individually with specific cast detail) Department / Cost Center: Economic Development - 2110 Object Code Explanation`. Amount Requested 2017 2018 Budget Adjustment - Total 2018 Request Priority 1 through 5 1 -high :5 -low Total 1,660 0 1,600:. 63005 PROFESSIONAL SERVICES 3,500 3,500 Audit and Financial Services 2,000 200 2,200 0 0 Total 5,500 200 5,700' 63010 CONTRACTUAL SERVICES 1,000 1,000 Landscaping @ Andover Station - assoc membership 2,000 2,000 Maintenance -Andover Station Area 20,000 (10,000) 10,000 Partnership opportunities - EDA Discretionary 16,000 (6,000) 10,000 Community Monument Entrance Signs 30,000 30,000 Total 69,000 (16,000) 53,000 63015 ATTORNEY 2,000 2,000 0 0 0 0 Total 2,000 0 2,000 63025 PUBLISHING 2,500 2,500 Tax Increment Reporting 0 0 0 0 Total 2,500 0 2,500 Grand Total for all Expenditures $111,750 ($15,800) $95,950 Page 2 of 2 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 • WWW.CI.ANDOVER.MN.US TO: FROM: SUBJECT: DATE: President and EDA Commission Members Jim Dickinson, Executive Director Approve LMCIT Liability Coverage - EDA November 21, 2017 INTRODUCTION The League of Minnesota Cities Insurance Trust (LMCIT) requests that participating EDA's annually decide whether or not to waive the statutory tort liability limits established by Minnesota Statutes 466.04. DISCUSSION Attached is the "LMCIT Liability Coverage — Waiver Form" provided by the LMCIT, which provides a description of the options available to the City of Andover EDA. Currently the City of Andover EDA DOES NOT WAIVE the monetary limits on municipal tort liability established by Minnesota Statutes 466.04. I am recommending continuing with the past practice. BUDGETIMPACT No budget impact if the EDA does not waive limits. ACTION REQUESTED The City of Andover EDA is requested to not waive the monetary limits on tort liability established by Minnesota Statutes 466.04. ,IpWly submitted, \\ Jim CONNECTING & INNOVATING SINCE 1913 LIABILITY COVERAGE - WAIVER FORM LMCIT members purchasing coverage must complete and return this form to LMCIT before the effective date of the coverage. Please return the completed form to your underwriter or email to pstech@lmc.org This decision must be made by the member's governing body every year. You may also wish to discuss these issues with your attorney. League of Minnesota Cities Insurance Trust (LMCIT) members that obtain liability coverage from LMCIT must decide whether to waive the statutory tort liability limits to the extent of the coverage purchased. The decision has the following effects: If the member does not waive the statutory tort limits, an individual claimant would be able to recover no more than $500,000 on any claim to which the statutory tort limits apply. The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would be limited to $1,500,000. These statutory tort limits apply regardless of whether the city purchases the optional excess liability coverage. If the member waives the statutory tort limits and does not purchase excess liability coverage, a single claimant could potentially recover up to $2,000,000 for a single occurrence. (Under this option, the tort cap liability limits are waived to the extent of the member's liability coverage limits, and the LMCIT per occurrence limit is $2 million.) The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would also be limited to $2,000,000, regardless of the number of claimants. a If the member waives the statutory tort limits and purchases excess liability coverage, a single claimant could potentially recover an amount up to the limit of the coverage purchased. The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would also be limited to the amount of coverage purchased, regardless of the number of claimants. Claims to which the statutory municipal tort limits do not apply are not affected by this decision. LMCIT Member Name Check one: ❑ The member DOES NOT WAIVE the monetary limits on municipal tort liability established by Minnesota Statutes, Section 466.04. ❑ The member WAIVES the monetary limits on municipal tort liability established by Minnesota Statutes, Section 466.04 to the extent of the limits of the liability coverage obtained from LMCIT. Date of city council/governing body meeting Signature Position 145 UNIVERSITY AVE. WEST PHONE: (651) 281-1200 FAx: (651) 281-1299 ST. PAUL, MN 55103-2044 TOLL FREE: (800) 92S-1122 WEB: WWW. LMC.ORG AC I T Y • . N Db 06 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and Commissioners CC: Jim Dickinson, Executive Director FROM: Joe Janish, Community Developmen D rector SUBJECT: Review Commercial Project Activity DATE: November 21, 2017 INTRODUCTION Staff will provide a progress report on ongoing commercial project activity at the meeting. ANDOVER COMMERCIAL PROJECTS • The Shops @ Andover, 13650 Hanson Boulevard NW —Natural Nails, Dunkin Donuts, Joy Kitchen is open. Twin Cities Dental is open. SportClips construction is underway. • Estates at Arbor Oaks / Trident Development, 1753 15e Lane NW — In process of renting out units. • Daycare Interest —A daycare facility has expressed interest in locating in Andover and has been given a third extension for one particular location. • Restaurants/Fast Food— Currently staff is aware of two companies continuing to look for land to locate in Andover. • Upper Midwest Athletic Construction — A CUP was granted for outside storage, staff is waiting for the Commercial Site Plan to be submitted. • Andover Cinema — A CUP and liquor license were granted to sell alcohol, as of last week sales have not yet begun. • Pack Leader Behavior & Training —Received a CUP for Commercial Animal Training at 15825 7' Ave NW. The company would like to relocate from their current Andover location at Round Lake Blvd. and 16151 Ave. NW. Final inspection has been completed. • Northern Natural Gas/Centerpoint Energy —Project is wrapping up. • Interest in Hughes Industrial Park —Businesses continue to show interest in spaces available in the park area. • Clock Tower Commons —Has their permit for the Electronic Messaging sign • Overall marketing - City Staff continue to work with parties interested in investing in Andover and marketing all commercial sites. �itteRR ec d, e Joe Janish