HomeMy WebLinkAbout2002.10.08 MINUTES CITY OF COTTAGE GROVE
ECONOMIC
DEVELOPMENT
AUTHORITY
MINUTES
October 8, 2002
Pursuant to due call and notice thereof, a regular meeting of the Economic Development
Authority was held at City Hall, 7516 80th Street South, Cottage Grove, Minnesota on the 10th
day of September 2002.
CALL TO ORDER
The meeting was called to order at 7:30 a.m. by EDA President Wolcott.
ROLL CALL
Members Present: Jim Wolcott, EDA President
Sandy Shiely, EDA Vice-President
Glen Kleven, Authority Member
Mike Wennen, Authority Member
Dick Pederson, Authority Member
Gerry Weingartner, Authority Member
Members Absent: Fred Luden, Authority Member
Others Present: Rod Hale, Council Member
Ryan Schroeder, City Administrator
Michelle Wolfe, Assistant City Administrator
Mathias Baden, South Washington County Bulletin
Scott Johnson, Management Analyst
Dennis Neitz, River Oaks Golf Course
Sue O'Connell, River Oaks Golf Course
APPROVAL OF MINUTES
Authority Member Kleven moved to approve the September 10, 2002 EDA Minutes. EDA
Vice-President Shiely seconded. Motion carried unanimously.
RIVER OAKS UPDATE
Dennis Neitz and Sue O'Connell gave the EDA an update on the activities at River Oaks
Golf Course. Overall, this has been an up and down year for the golf course because of
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October 8, 2002
Page 2
bad weather and the economy. The food and beverage operation of the golf course has
begun to take off. They currently offer nightly specials Monday through Friday. They
would like to continue to run these specials throughout the winter months and put
together some holiday specials.
There are also plans to put a display with information on the golf course at City Hall to
keep citizens updated on events at River Oaks. The course was able to hold the St.
Jude's Charity Golf Tournament this year and received some good publicity from the
event. River Oaks staff is trying to be creative and lure new business to the course.
Overall, total revenues are up 3% at the golf course over the same period in 2001.
80-90% of the catering is now done in-house at River Oaks. This allows staff to provide
a quality product with less damage to the facility. Wedding receptions at the facility are
booked as far out as October 2003. Mayor Shiely commented on how pleased she has
been with the results of the catering operation and marketing efforts.
PROJECT UPDATES
Applebee's Restaurant is currently under construction. The restaurant sign was installed
last week. Staff is currently in active talks about locations within the city for two industrial
park projects and one restaurant project.
GATEWAY NORTH REDEVELOPMENT DISTRICT UPDATE
Acquisitions of the properties for this project seem to be moving forward. The owners of
the Coldwell Banker Burnet building need to sell 22,600 Square Feet of right of way and
construction easement space to the City. The City will repair any damage to the drive
access. The current owner of the building would like to maintain an entrance on East
Point Douglas. This would pose a safety problem because the grade would be 11% for
the proposed entrance and the current entrance is still dangerous at a 10% grade. A
new entrance is proposed off of Hardwood Court. Ryan Schroeder asked the EDA to
adopt an amended eminent domain resolution to include the CB/Burnet property and
change some legal property descriptions. Mr. Schroeder proposed that CB/Burnet have
their new entrance off of Hardwood Court and stressed to the EDA that the filing of the
eminent domain resolution does not mean the negotiations stop on any of the properties.
The office condo appraisal should be in sometime this week and the church has a
purchase offer for a new site.
Glen Kleven felt the EDA has invested too much in the project not to move forward. The
eminent domain resolution needs to be accepted by Council within 9 days. The
resolution will not inhibit current businesses. The City is only condemning out the pieces
of property necessary for the project.
Dick Pederson made a motion to accept the resolution. Mike Wennen seconded the
motion. The motion carried unanimously.
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October 8, 2002
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FACADE PLAN FOR GROVE PLAZA
Construction on the new small tenant space will begin yet this fall or in the spring. Mayor
Shiely would like to see a current color rendering of the project before a decision is made
by the EDA. A color rendering of the project will be presented at the next EDA meeting.
OAKWOOD PARK AND COMMERCIAL SITES
Mr. Schroeder informed the EDA that park uses and community space uses cannot be
funded through TIF. However, TIF may be used for the tree mitigation expenses and the
grading of the sites. New playground equipment could cost up to $80,000 - $100,000
and could come out of the gross sales of the property.
Glen Kleven wanted to know if this helped with the Council's concerns on the project.
Jim Wolcott explained that the Council was concerned about the amount of project costs
paid for out of the gross sales. Rod Hale mentioned that he is concerned because the
road for the project is primarily dedicated to one person. He explained that Oakwood
Park is a passive park and he is concerned that this person will be able to use their
property with minimum or no cost. Mr. Hale would like to see the money go towards
building up the park trust fund and the City needs to get more money from this individual
before this project moves forward. The City services and park dedication funds should
come from the property owners.
Mayor Shiely asked Ryan Schroeder how much it would increase the value to the buyer
by grading sites and preparing them for development. Mr. Schroeder responded that this
process takes out some of the guess work about the sites for the end user. Developers
know what they are getting with a developed site and this makes them much more
marketable. The grading bids for the sites came in lower than expected. The developers
will be able to scrape off the top soil and construct the building pad. It is important br the
City to control the land and design so we can get the best possible project. Mr.
Schroeder would like to see the City take bids on this project.
Dick Pederson agreed with Mr. Schroeder and said that it is important br the City to exert
some control on the project because of the spin-off development that usually
compliments a new Kohl's Store.
Mike Wennen made a motion to recommend to the City Council amendment of the
Gateway North budget. Gerry Weingartner seconded the motion and the motion carried
unanimously.
EDA SUBCOMMITTEES
Ryan Schroeder asked the EDA if they thought the City was going in the right direction
on these projects and if they wanted to continue with the subcommittee process?
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October 8, 2002
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President Wolcott said his original intent with the subcommittees was to determine if the
City is going in the right direction with its development. Glen Kleven thought this was the
original intent of the subcommittees and was disturbed by the letter submitted by the
attorney for the South Washington County Bulletin. Mayor Shiely thinks the press has
been working against the City during its recent development and redevelopment projects.
President Wolcott said the point of the subcommittees is to find out what projects
Cottage Grove wants and not to ban the press from the meetings. Mike Wennen also
commented that he could not believe the letter submitted by the South Washington
County Bulletin's Attorney. He thinks the subcommittee idea is to encourage
communication between the City and the Chamber of Commerce. The subcommittees'
process will be determined by the individual chairs and will be fine tuned during the
process. Mike Wennen made a motion to affirm the subcommittee process, improve
communication between the EDA and Council, and encourage the Chamber
subcommittee process. The motion was seconded by Dick Pederson and was
unanimously approved.
VISION FOR THE CITY
The EDA would like to have a joint meeting with the City Council before January 1, 2003
to discuss the direction and vision for the City on new development and redevelopment
projects.
EVENTS
The Chamber of Commerce will be holding a breakfast at 7:30 AM on October 21st
EDA BOARD VACANCIES
A motion was made by Glen Kleven to reappoint Gerry Weingartner and Dick Pederson
to the EDA. Mike Wennen seconded the motion and the motion carried unanimously.
Michelle Wolfe, Assistant City Administrator asked the EDA to think about a person to fill
the vacated position on the board. Mayor Shiely recommended Jeff Freeburg from
Renewal by Andersen for the EDA opening.
80th STREET BANNERS
The marketing committee for the City has made a recommendation for the new banners
on 80th Street. The Mayor really likes the look of the proposed banner. The dimensions
of the new banner have not been determined. Glen Kleven recommended that the
"Welcome" on the banner be written in a larger font and Jamaica Avenue should also
have banners. Mr. Kleven also recommended that the City not use the new banner logo
for their new logo because it is too busy. The EDA recommended that staff create a full-
size mock-up of the banner and put the banner on a street light to see howit looks.
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October 8, 2002
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MARKETING AND ADVERTISING
Mayor Shiely complimented the staff on the newest promotional post card. Michelle
Wolfe informed the EDA that they had 38 employees take a tour of the City's new
development and redevelopment projects during the recent all-employee meeting.
MISCELLANEOUS BUSINESS ITEMS
A plaque with a current picture of the Cottage Grove City Council welcoming people to
River Oaks Golf Course will be installed in the front entrance of the club house. A River
Oaks display will be installed at City Hall to promote the golf course. Also, the Ice Arena
has been trying to market itself at all of the City's venues. The EDA is happy with the
current marketing efforts and wants the City to definitely keep up the efforts. Latte Dah
recently built a display for Company Store merchandise. DeMori's Restaurant is also
selling Cottage Grove merchandise. Michelle Wolfe has asked Kinder Care to display
items in exchange for marketing them at City venues. The Company Store will also be
selling mugs with hot chocolate at the tree lighting at CityHall this December.
ADJOURN
The EDA adjourned at 9:25 a.m.
Respectfully submitted,
Scott Johnson
Management Analyst