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HomeMy WebLinkAboutEDA - November 19, 20241685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV ECONOMIC DEVELOPMENT AUTHORITY MEETING November 19,2024,6:00 p.m. Conference Room A and B 1. Call to Order — 6:00 p.m. 2. Approval of Minutes (October 15, 2024, Regular) 3. Organization Item — Appoint Executive Director 4. Andover Home Improvement Program Discussion 5. Redevelopment Updates (Verbal) 6. Commercial Updates 7. Other Business 8. Adjournment 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Economic Development Authority CC: Dave Berkowitz, Interim City Administrator�A FROM: Michelle Hartner, City Clerk SUBJECT: Approval of Minutes DATE: November 19, 2024 INTRODUCTION The following minutes were provided by Staff reviewed by Administration and submitted for EDA approval: October 15, 2024 Regular The minutes are attached for your review. ACTION REQUIRED The EDA is requested to approve the above minutes. Respectfully submitted, Michelle Harmer City Clerk Attach: Minutes 10 11 12 13 14 15 16 ANDOVER ECONOMIC DEVELOPMENTA UTHORITYMEETING— OCTOBER 15, 2024 - MINUTES The Meeting of the Andover Economic Development Authority was called to order by President Sheri Bukkila, October 15, 2024, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Commissioners Present: Jamie Barthel, Ted Butler (arrived at 6:06 p.m.), Rick Engelhardt, Randy Nelson and Greg Mueller 17 Commissioners Absent: 18 19 20 21 22 23 24 25 Kari Kafer Also present: Community Development Director, Joe Janish Interim City Administrator/Director of Public Works/City Engineer, Dave Berkowitz Finance Manager, Lee Brezinka 26 APPROVAL OF 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 August 20, 2024, as Motion by Nelson, Seconded by Mueller, to approve the minutes as written. Motion carried unanimously. APPROVE LMCIT LIABILITY COVERAGE Mr. Brezinka stated it is his recommendation to continue with past practices, to approve the LMCIT Liability Coverage and to'not waive the monetary limits on tort liability established by Minnesota Statutes 466.04. Motion by Nelson, Seconded by Mueller, to approve the LMCIT Liability Coverage and to not waive the monetary limits on tort liability established by Minnesota Statutes 466.04. Motion carried unanimously. REVIEW EDA & LAHA SPECIAL REVENUE FUNDS AND TAX INCREMENT PROJECTS CAPITAL PROJECTS FUND Mr. Brezinka reviewed the EDA Fund. He created a separate fund for the LAHA funds. Mr. Brezinka indicated by the end of 2025 the EDA Fund will roughly be at $1,500. In 2026 they will need to come up with another revenue source to fund the EDA Fund. Andover Economic Development Authority Meeting Minutes — October 15, 2024 Page 2 1 Mr. Brezinka stated the LAHA Fund will generate approximately $100,000 per year to be used 2 for grants. 4 Mr. Brezinka reviewed the TIF Fund. 2025 will have $140,000 not enough to buy anymore 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 properties. To generate funds properties will either need to be sold or redeveloping some of the land. Commissioner Mueller asked what the projection is for year end with properties that the City manages will be. Mr. Brezinka answered at the end of September of this year it was roughly $98,000. Mr. Janish indicated $2,000 a month is spent on maintenance of the properties. Mr. Brezinka stated the City is paying $4,00045,000 a year in taxes for each building still standing. Mr. Brezinka reviewed the TIF Fund. TIF District 1-5 Arbor Oaks ends in 2028 and TIF District 1-6 TE Connectivity will decertify the end of this year. REDEVELOPMENT UPDATES Mr. Janish indicated staff is looking for direction from the EDA regarding consolidating tenants into buildings. The tenants are on a month-to-month lease. Mr. Janish stated the building at 2527 Bunker Lake Boulevard will be demolished by the end of the year. The City is paying taxes for each standing building. If the property is demolished by the end of the year taxes will be required to be paid for 2025 and not 2026. The area was reviewed. Mr. Janish explained the options for the EDA on giving notice to the current tenants. The EDA directed staff to proceed with notices to the current tenants with at least a six-month notice. COMMERCIAL PROJECT ACTIVITY Mr. Janish updated on the following: Clocktower Commons, 15190 Bluebird Street — Shell permits for Chipotle and Starbucks have been issued. Construction is taking place. Interest in Hughes Industrial Park — An application with Minnesota Irrigation to build a building was received. Staff will meet with them later in the week. ABC Mini-Storage/T-Squared (self -storage), 13624 Hanson Boulevard — They have received their certificate of occupancy, and the City has a $51,000 escrow to complete improvements on 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 Andover Economic Development Authority Meeting Minutes — October 15, 2024 Page 3 the property. A few items remain on the property. Restaurants/Fast Food — Currently staff is aware of companies continuing to look for land to locate to in Andover. TCF Site — A CUP was received for the site. Aurora Vista, 711 Avenue and Bunker Lake Boulevard — The property is 94% leased. Andover Crossings, 7h Avenue and Bunker Lake Boulevard — A convenience store is moving forward on the site. Holasek Property (near City Hall) — The applicant is working on their next submittal to the City. Fields of Winslow Cove — City Council approved the final plat for the Fields of Winslow Cove 3`d addition with 109 lots. Legacy at Petersen Farms — The final plat is recorded for the 1" and 2"d additions. Meadows East — A PUD application was received for property east of Country Oaks North for a rural development. They are proposing 15 rural lots on roughly 33 acres. Housing — 76 new home permits have been issued. Anoka County 911 and Radio Building - The County is waiting on some equipment prior to the building becoming active. Grace Lutheran Church, 13655 Round Lake Boulevard — Exterior is still being worked on. Bunker Hills Park — Anoka County Parks is replacing two pavilions. The steel is being erected. Walmart — Walmart is looking at an addition to their building to facilitate their online order pickups. Transform Church — Is currently working on a parking lot expansion. Overall Marketing — City staff continues to work with parties interested in investing in Andover and marketing all commercial sites. Staff continues to work with Anoka County Regional Economic Development (ACRED) on marketing of the community and Anoka County. OTHER BUSINESS There was none. ADJOURNMENT Andover Economic Development Authority Meeting Minutes — October 15, 2024 Page 4 Motion by Barthel, Seconded by Nelson to adjourn. Motion carried unanimously. The meeting was adjourned at 6:28 p.m. Respectfully submitted, Michelle Hartner, Recording Secretary A ITY O F NDOVER CO 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and Commissioners CC: Dave Berkowitz, Interim City Administrator aq FROM: Joe Janish, Community Development Director SUBJECT: Organization Item — Appoint Executive Director of the Andover Economic Development Authority (EDA) DATE: November 19, 2024 INTRODUCTION The Andover EDA has staff appointments. At the time of the departure of our former City Administrator the EDA did not appoint a new Executive Director. Sarah Cotton is our City Administrator and it would be appropriate to place her as the Executive Director. Executive Director Sarah Cotton ACTION REQUESTED Appoint Support Staff. s itted anly Community Development Director LCITY •170, ^'LLL cm 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: CC: FROM: SUBJECT: DATE: President and Commissioners Dave Berkowitz, Interim City Administrator Joe Janish, Community Development Director Andover Home Improvement Program Discussion November 19, 2024 0 INTRODUCTION The City of Andover has conducted the Andover Home Improvement Grant program for a few years now. The program is based on home value and not income. The budget for 2025 includes $25,000 for the program. Staff is looking for guidance on items for 2025 which may lead to some revisions to the application and advertising. DISCUSSION Staff is looking for direction related to the following items: • The Median Estimated Market Value of an Andover home had a decrease value of - 0.20%, would the EDA desire to adjust the qualifying home value of $299,000 for the Grant Program in 2025? • Is the EDA open to allowing past recipients to apply for additional funding for projects that qualify? • Is the EDA open to allow for home associations to apply for funding for items that the home association is responsible for (i.e decks, steps, stoops, etc)? REQUESTED ACTION Staff is requesting direction related to the above discussion items in order to prepare for 2025 application materials. Attachments 2024 Andover Home Improvement Program Application Re e fully b ed, �,shJoe anrsh Community Development Director 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV Andover Home Improvement Grant Program Applications are accepted until funds are no longer available. Grant recipients will be awarded on first come first serve basis. The Andover Economic Development Authority reserves the right to modify the program at any time. The intent of the Andover Home Improvement Grant Program is to pay aop rtion of project costs to Andover property owners who will make certain exterior improvements to the front (street side) of their home, increasing its curb appeal, which benefits the entire community. There are no income limits to participate in this program. However, there are eligibility requirements. Grant Grant amounts awarded will be between $500 - $5,000. Homeowners must pay at least $1,500 (75% of project costs) of their own funds to be eligible to receive the minimum grant amount of $500 from the City. Grant dollars do not need to be repaid. Grants will equal 25% of the applicant's individual project amounts depending upon the scope of work. If the scope of work includes qualifying projects from both categories, then the grant amount will be determined individually in each category. The combined project amount must be $2,000 or more to be eligible. Cost of tools will not be eligible for grant dollars. Eligibility Requirements • 1 to 4 unit buildings, owner -occupied, single family, townhome, twin home, condo. Homestead status with Anoka County Property Records. • Current on Anoka County property taxes. • Property value is less than $299,000 based on Anoka County Estimated Market Value (as shown on 2024 Tax statement under 2024 year.) Projects must include at least one item from the Beautification Project list. • Projects must be visible from the street in front of the house. • None of these exterior projects are covered, or will be covered, by an insurance claim. Work cannot begin until the required paperwork has been submitted to the City and a Grant Award Certificate has been provided to the homeowner. Beautification Projects (25% grant) Front door, storm door, and/or garage door • Sidelight windows by front door • Columns at front door • Covered front porch Brick, stone, or shakes • Alter roofline on front of house Permanent landscaping (includes tree trimming, removal and replacement of overgrown and/or dead items, planting new trees, shrubs, plants and/or flowers) $250 minimum. Driveway, sidewalk (repair or replace) Window boxes, shutters (add or replace) • Screening of utility boxes and/or garbage and recycling cans Fence (add, repair, or replace) Basic Projects (25% grant) Roof Siding Painting • Soffit Facia Trim • Gutters Windows • Chimney repair, tuck -pointing, repointing Deck - front or side yard - visible from front of house (repair or replace) Porch - front or side yard - visible from front of house (repair or replace) • Retaining wall (repair or replace) Application one application per address EXAMPLE OF PROJECT: Fence Project TOTAL $4,000. Homeowner Pays $3,000. City Grant Contributes $1,000. kArd C I T Y 0 F E N D 0 V E%,^ 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV ANDOVER HOME IMPROVEMENT PROGRAM GRANT APPLICATION The intent of the Andover Home Improvement Program is to pay a portion of project costs to Andover property owners who will make certain exterior improvements to the front (street side) of their home, increasing its curb appeal which benefits the entire community. There are no income limits to participate in this program. 1. Property Type*: Single Family Home. Townhome. Twin Home/Duplex. Condo. Multi -Unit Building (up to 4 units). 2. How many units in the building if Multi -Unit Building: 3. Is your property part of a Home Owner's Association: Please provide a copy of the Association Bylaws showing that you are responsible for the project costs* 4. I understand that I will need to spend at least $1,500 (75% of project costs) of my own funds to be eligible to receive the minimum grant amount of $500 from the City of Andover. 5. I understand the City's grant dollars will only pay a portion of the cost of the exterior improvements. 6. Eligibility Requirements (check each to confirm you meet these requirements. You must meet all requirements to be eligible for this program.) The home is in Andover, MN and I own and live in the home. The home has Homestead Status with Anoka County Property Records. I am current on my Anoka County property taxes. My property value is less than $299,000 based on Anoka County estimated property value. My projects will be visible from the street in front of my house. None of my projects are covered, or will be covered, by an insurance claim. BEAUTIFICATION PROJECTS: These projects are eligible for a 25% grant. All eligible applications must include at least one item from this beautification list. Please check at least on project that will be completed. Front door, storm door, garage door(s). Sidelight window by front door. Columns at front door. Covered front porch. Brick, stone, or shakes. Alter roofline of front of house. Permanent landscaping (tree trimming, removal and replacement of overgrown and/or dead shrubs, planting new trees, shrubs, or perennial flowers; $250 minimum). Driveway or sidewalk — concrete or asphalt (repair, replace). Window boxes, shutters (add or replace). Screening of utility boxes and/or garbage and recycling containers. Fence (add, repair, or replace). BASIC PROJECTS: These projects are eligible for a 25% grant. The projects on this list are optional. Please check the projects you are considering. If any of these items marked with *** are completed on the front of the house, then the cost of the project to be completed around all sides of the house would be eligible. Roof***. Siding***. Painting***. Soffit***. Fascia***. Gutters***. Windows***. Chimney repair, tuck -pointing, repointing. Deck — front or side yard— visible from the front of house (repair or replace). Porch — front or side yard— visible from the front of house (repair or replace). Retaining wall (repair or replace). 7. First and Last Name(s) of Property Owner(s)*: 8. Street Address*: 9. Phone Number: 10. Email Address: 11. Alternate Email Address: CITY, STATE, ZIP Alternate Phone Number: TO REMAIN ELIGIBLE FOR AN ANDOVER HOME IMPROVEMENT PROGRAM GRANT AWARD, you cannot start your project until you receive a Grant Award Certificate from the City of Andover. Collecting bids from contractors is encouraged, but actual work on the projects cannot start until receiving a Grant Award from the City. 12. GOVERNMENT DATA PRACTICES ACT — TENNESSEN WARNING* The data you supply on this form will be used to process this application for which you are applying. You are not legally required to provide this data, but the City will be unable to proceed without it. The data will constitute a public record. I acknowledgement the Government Data Practices Act - Tennessen Warning*: Signature Signature C I T Y O F @NDOVER 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and Commissioners 1 CC: Dave Berkowitz, Interim City Administrator FROM: Joe Janish, Community Development Director SUBJECT: Review Commercial Project Activity DATE: November 19, 2024 INTRODUCTION Staff will provide a progress report on ongoing commercial project activity at the meeting. ANDOVER COMMERCIAL PROJECTS Clock Tower Commons — City Council approved PUD Amendment to allow for two buildings with drive up windows. Shell permits have been issued for Starbucks and Chipotle and construction is taking place. • Interest in Hughes Industrial Park— Staff continues to have occasional discussions with business owners in the area on expansion. However, they tend not to carry through on the expansion due to costs associated with sprinklers, septic's, etc. ABC Mini-Storage/T-Squared (self -storage) — City Council approved a CUP for additional Mini - storage on a portion of this lot. The buildings will have brick over the steel and stucco. Staff has met with the project manager related to site improvements and continue to work with them to see progress on the buildings and site. They have received their certificate of occupancy and the City has a $51,000 escrow to complete improvements on the property. A few items remain on the property. • Restaurants/Fast Food — Currently staff is aware of companies continuing to look for land to locate in Andover. TCF Site —At this time, the city has approved two conditional use permit applications related to having a drive through at this location. These two restaurants would be Chipotle and Noodles and Company. City Council has approved the CUPs. The applicant is working with Coon Creek Watershed District on infiltration at the site. Applicant received an extension for the CUP of 1 year, therefore the CUP will expire early 2025. Currently staff has received a Commercial Site Plan for a different business to be located on the site. This would require a Conditional Use Permit for a drive thru at this location and is slated to be on the November 26, 2024 Planning and Zoning Commission Agenda. • Aurora Vista (Andover Crossings) — Last staff heard the property is 94% leased. Units include studios, 1 bedroom, 2 bedroom and 2 bedroom w/den. Clubroom, fitness room, business center and parcel lockers are included. Rents range from $1,325 to $2,255. Andover Crossings — Staff has met with a convenience store looking at a 2 -acre parcel. Their desire is to have a convenience store with fuel and a carwash. The convenience store and fuel with require a conditional use permit (CUP) and they have apparently dropped the idea of a carwash at this time. Staff also met with the developer and he is interested in constructing a building with a drive thm at the "toe" of the development. If both projects move forward, the development would be fully built out. This item is also under the "other" for additional conversation. At this time Holiday/Circle K is on the November 19, 2024 City Council Agenda for a PUD Amendment, Preliminary Plat and CUP. • Holasek Property (near City Hall) —A Comprehensive Plan Amendment, and rezoning have been acting on by the City Council. Preliminary Plat and PUD are approved by City Council. The applicants are continuing to work through the Preliminary Plat and Commercial Site Plan process. DNR conducted the rare plant inventory and found no rare plants. The applicant has provided their next submittal to the City of Andover for review. They are planning on obtaining their building permit in February 2025. • Fields of Winslow Cove — City Council has approved the Final Plat for Fields of Winslow Cove 2nd addition with 36 lots on the West side of Prairie Road. City Council also approved a Final Plat for Fields of Winslow Cover 3`d Addition with another 109 lots. • Lakeview at Sloth Farm — November 26, 2024 the Planning and Zoning Commission will review a sketch plan for a 7 lot subdivision located at the former "Sloth Nursery" site. 13624 Gladiola St NW. • Legacy at Petersen Farms — The final plat is recorded for IIt and 2' Addition. • Meadows East - A PUD application was received for property east of Country Oaks North for a rural development. They are proposing 15 rural lots on roughly 33 acres. The City Council will review this item at their November 19, 2024 meeting. • Housing — Developers are looking for additional land for future developments. Several developers are trying to keep an inventory of lots, but are having difficulty in finding locations. In 2021 we had 140 new housing starts. In 2022 we had 100 permits issued for new housing, 1 apartment (150 units), and an assisted living facility (32 units). hi 2023, we had 64 new home permits issued. So far, in 2024 we have issued 87 home permits. • Anoka County 911 and Radio Building — City Council approved a request for a fuel tank to be on the property on August 16, 2022. Interior finishes are taking place. County is waiting on some equipment prior to the building becoming active. • Grace Lutheran Church — A Conditional Use Permit was granted. They have started work on the new parking lot on the west addition. Final inspections are taking place on the two existing daycare rooms, they are finishing up the new entry. They are working on finishing the remodel. • Bunker Hills Park — Anoka County Parks is replacing two pavilions. • Walmart — Walmart has submitted their addition permit to their building to facilitate their online order pickups. Staff has completed the CSP review. • Transform Church —Is currently working on a parking lot expansion. • Overall marketing - City Staff continue to work with parties interested in investing in Andover and marketing all commercial sites. Staff continues to work with the Anoka County Regional Economic Development (ACRED) on marketing of the community and Anoka County.