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Agenda and Packet
AGENDA CHANHASSEN ECONOMIC DEVELOPMENT COMMISSION TUESDAY, FEBRUARY 9, 2021, 7:00 PM CITY COUNCIL CHAMBERS, 7700 MARKET BOULEVARD ELECTRONIC MEETING A.CALL TO ORDER B.APPROVAL OF MINUTES 1.Approve Economic Development Commission Minutes dated November 10, 2020 2.Approve Economic Development Commission Minutes dated January 12, 2021 C.OLD BUSINESS D.NEW BUSINESS 1.Annual Report, Review and Prioritize Goals, Discuss Role of the Economic Development Commission E.ADMINISTRATIVE PRESENTATIONS 1.MetroNet Fiber Optic Network (verbal) F.CORRESPONDENCE DISCUSSION 1.Natural Gas Energy Analysis and MultiFamily Building Efficiency Program Fact Sheets 2.Solar for Vouchers Program Brochure from Metropolitan Council G.ADJOURNMENT ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject Approve Economic Development Commission Minutes dated November 10, 2020 Section APPROVAL OF MINUTES Item No: B.1. Prepared By Kim Meuwissen, Office Manager File No: ATTACHMENTS: November 10, 2020 Summary Minutes CHANHASSEN ECONOMIC DEVELOPMENT COMMISSION REGULAR MEETING NOVEMBER 10, 2020 Jim Sanford called the meeting to order at 7:00 p.m. MEMBERS PRESENT: James Ebeling, Jim Sanford, Adam Schafer and Kathleen Donovan. MEMBERS ABSENT: Stephen Stamy STAFF PRESENT: Bob Generous, Senior Planner; and Jake Foster, Assistant City Manager PUBLIC PRESENT: None APPROVAL OF MINUTES: Commissioner Schafer moved, Commissioner Ebeling seconded to approve the summary Minutes of the Economic Development Commission meeting dated October 13, 2020 as presented. All voted in favor and the motion carried unanimously with a vote of 4 to 0. APPROVAL OF AGENDA: Commissioner Schafer suggested adding discussion on the Economic Development Commission’s goals. Commissioner Schafer moved, Commissioner Donovan seconded to approve the agenda as amended. All voted in favor and the motioned carried 4-0. OLD BUSINESS: COMMUNICATION PLATFORM UPDATE Jake Foster provided an update. Website updates were determined to be a higher priority at this time, specifically cleaning up navigation and some old pages and then perform a website refresh targeting March of next year and that the communications email tool has been put on back burner. The communications email tool will be revisited sometime during the second quarter of 2021. Commissioner Sanford asked about the communications committee, who is on it, what they do. Jake stated it was the City’s Communication staff that do our social media, website updates, etc., as well as putting together and disseminating all the communications like some mailers and that sort of thing that come from specific departments. Jake explained that the website was a priority because the City Council wanted to reduce the number of Connections from four to two, combining spring/summer and fall/winter. In order to utilize the Connection space we will be referring people back to our website, which needs to up and ready to go by the time the first Connection goes out next year. Commissioner Sanford asked if any decisions have been made on moving the communications platform forward. Jake said they have been researching getting Economic Development Commission – November 10, 2020 2 quotes for a potential platform like Constant Contact, Mail Chimp, and CivicPlus, which is our website platform that has an email component. After the website update then the decision would be made on which of the platforms make the most sense for the City. The EDC’s needs will be factored into that decision. Commissioner Sanford asked if there was any consideration as to how we obtain business contact information. Jake said they have not gone that far into specifics but the mechanism for promoting this would be through sign up through our website. Commissioner Schafer asked if it was opt-in or opt-out? Jake said they haven’t had formal conversations with real intention behind them. We haven’t had those discussions but it is certainly something that could be discussed. Commissioner Donovan asked if we would be required to have an opt-in version because we can’t just put businesses on our list without permission. Jake said he would have to check with the City Attorney. Commissioner Sanford asked if a lot of it was public information. Jake said pretty much everything the City deals with is public aside from some personnel and personal data and within ongoing litigation. Again, we would need to get an interpretation from our attorneys on what we can and cannot do with that information. Commissioner Sanford asked what was the feeling we got if we did this in coordination with either the Chamber and/or Buy Chanhassen. Jake said both entities said they would not want to give out the contact information for their members but they would be happy to disseminate any information that we give to them. A Commissioner asked if the City was a Chamber member and about access to the business directory on the Chamber’s website. He also asked if the City was a member of Buy Chanhassen. Jake explained that Buy Chanhassen was more limited to the businesses in Chanhassen and a lot of those are Vernelle Clayton’s tenants as well of which she is both property manager and real estate owner. Commissioner Sanford asked if Buy Chanhassen was a non-profit organization but staff was unaware of their status. It was confirmed that they are a non-profit from looking at their website. Commissioner Sanford observed that Buy Chanhassen had a business directory on their website. He asked if the communications team was looking for a citywide communications system and the EDC would just be a small piece. Jake said yes the City was looking into to it as a larger communications mechanism that could be used throughout departments and commissions as well. Commissioner Sanford ask if they should wait for the communications system the City is going to put together or shall we be doing something before then and piggybacking on to this. Commissioner Schafer asked if the City needed any help with the communications platform and if there was anything the Commission could be doing to assist the City? Jake said he wanted to circle back with the communications team and Heather, the Interim City Manager, but from his perspective, he would be open to it. Commissioner Sanford said he was unclear as to what the Commission’s role was in this process. Jake stated clarity would be helpful on both sides and he would find out and get back to the Commission. Commissioner Donovan understood from the previous meeting that this would be investigated to get more clarification on how the Commission engages in this process as they move forward. Her only concern about if they do an opt-out that the businesses are aware of that process. Commissioner Schafer confirmed that most platforms clearly define the option to unsubscribe. Commissioner Donovan wanted to make sure they were taking care of the business owners and advocating for them properly. Economic Development Commission – November 10, 2020 3 NEW BUSINESS: COMMISSION GOALS Commissioner Sanford said the Commission should consider how the Commission’s goals should be approached given the communications they have with the City Council. When the Commission presented their goals they were met with some hesitation with regard to when any sort of a levy could be put in place. That was the major feedback the Commission received. There was support for some sort of a program like this but the question was when and would there be any sort of financing that would come along with it. The positive feedback received was about the lodging tax and there was some interest in having the EDC pick that up and monitor the status of it. That might be an opportunity for the Commission to talk about where that money should go. The EDC should check to see what other cities have done with their lodging tax and see how effective it has been. Communication was also discussed and those were the two goals that were set for 2020 and the others were more for next year, except the feedback survey. One of my questions about when we look at the communication platform and the business subsidy or grant program – what do we so with that? Commissioner Schafer said he didn’t think the Council was clear on what they wanted the EDC to do as far as setting it up. Commissioner Sanford asked how that would be done. Would it be with City staff or legal? How do we get something like this launched and moving? Bob Generous stated that as an advisory body to the City Council they could propose things to them as part of their goals and projects and establish the parameters to promote any of these programs. Commissioner Ebeling stated he thought they needed more clarity if it was something they were supposed to do or the City or someone in legal and what our role in that would be. Commissioner Donovan suggested they could put the parameters together and present them to the City Council to get their input, which would help verify the process for everybody. She stated that the Commission should take the in initiative to start the process and then ask the City Council for a response to it. Commissioner Ebeling asked if we had a template or framework to start to work off of. Bob stated there was a subsidy program in place right now. Commissioner Sanford stated that Finance Director Greg Sticha gave them a couple of different examples, one from Jordan and one from Chaska. Commissioner Schafer stated he didn’t think the City wanted to relinquish any authority when it comes to subsidy programs so putting a lot of work into it presenting what the Commission has come up doesn’t make a lot of sense from what he’s seen and what the Commission has been through. He thought more clarification and what the Commissioner’s boundaries are makes sense so that the Commission is working on things that meet what the City Council think they should be working on. Commission Ebeling liked Jim’s idea of the funding strategy if feedback on the lodging tax was received. Commissioner Sanford asked if in the last meeting Buy Chanhassen talked about their intent on how the lodging tax would be used. Jake stated that when Buy Chanhassen came to the City Council they were talking about using it to bolster marketing efforts and attract people from a visitor standpoint. Jake confirmed that the City Council was the taxing authority. Jake said it was Buy Chanhassen and Meet Minneapolis trying to encourage the City Council to create a lodging tax and then use it as they directed. Commissioner Sanford asked if they could find out how much money a lodging tax would raise. Jake said Vernelle Clayton and Meet Minneapolis had done that research and that they should be able to provide that information when they meet with the EDC in December. Economic Development Commission – November 10, 2020 4 NEW BUSINESS: LAND INVENTORY Bob Generous stated land inventory ties into the communication between the City and the businesses and in this specific instance, developers. Available land inventory data is available on the City’s website (www.ci.chanhassen.mn.us/landinventory), which consists of properties that are undeveloped or underdeveloped, so that someone that is looking to develop in the community knows where to go. The website provides information such as the contact information, property identification number, what the property is currently zoned, what it is guided, and if there are any approvals in place. The majority of the properties are for commercial or industrial development and there are some multi-family properties. The biggest development is Site 20, the Avienda development. It has preliminary approval for a lifestyle center and approximately 700 dwelling units can go in there. They also have commercial and office opportunities. The City has received a lot of positive response to the website. Bob gave a demonstration on how the website works. Commissioner Schafer asked Bob if the City has seen a pickup in industrial and distribution. Bob said the City has been contacted but no one has applied for development but they continually have these discussions with developers. Since there are a lot of vacant commercial buildings the City doesn’t really see an interest in new retail/commercial development. Commissioner Schafer stated the EDC needs to think of ways to provide incentives because costs to develop and build is much more than it used to be because the land is more expensive and so is the labor, along with material cost increases. Bob clarified that the land inventory includes vacant properties that are privately owned. Commissioner Sanford asked if the City had any information regarding commercial property vacancies in Chanhassen. Bob replied not specifically. The City doesn’t license businesses so we are unable to provide that information, but only has anecdotal information from when building permits are applied for. Commissioner Sanford asked as long is a property is zoned right, a developer can come in and do what they please. Bob said yes as long as the zoning permits it. They are required to go through a development review process. There are checklists available on our website so developers know what they have to submit and the process involved. The incentive the City provides is reducing the time it takes to locate available properties. Commissioner Sanford asked if there was any steering that the City does to get the kind of project that makes the most sense for the city and its overall development. Bob said that they try to direct developers to what the residents are telling the City, i.e. additional restaurant uses. Staff also works with business promotion groups in the community. Commissioner Sanford wanted to know if other communities do business licensing. Bob stated Minneapolis and Bloomington do and that a lot of other communities do; however, it creates another level of bureaucracy, which City Council does not want to do. You either pay for it through levies or pay for it through the fee process. The City used to have licensing requirements for rental housing and the City Council was getting kickback that the rental places did not want to pay their fees to get the license and have the inspection done every two or three years. The City repealed that ordinance. Commissioner Sanford asked if the City collected any lodging tax for Vacation Rental By Owners (VRBO). Bob explained that there is no lodging tax in this community and that is what the City is talking about implementing, which could include vacation rentals. Economic Development Commission – November 10, 2020 5 Bob Generous explained that the development process is tied into the land inventory. When developers apply for development they can review development checklists to find out what the application process requires, what their submittal requirements are and information to submittal deadlines and public hearing dates. Bob shared the site plan review checklist. This can help the developer because it reduces the time it takes to get the information they need without checking with the City. There are many checklists available: site plans, rezonings, subdivisions, etc. The City has received compliments on the information we have available and how easy it is to find on our website once they know it is there. Staff provides potential developers with links to the website to assist them. Commissioner Schafer commented that if we had a list of developers that information would be perfect to send in an E-blast, i.e. how to do business with Chanhassen versus other communities because we have a lot of this information available and ready to go. Bob stated it was one of the elements that make Chanhassen an attractive for businesses and development to come to. Because of our success, other planning professionals started to include this information on our website. Commissioner Ebeling commented on the Downtown Vision Plan asking if there are certain businesses that would make more sense for the City to have in our community to meet that plan and identify our target audience. Commissioner Schaefer asked who are target audience would be. Commissioner Ebeling suggested getting an update from Community Development Director Kate Aanenson to see who she has been talking to, what they are looking for and what they are interested in, etc. Commissioner Schafer asked what drives a developer’s decision to come to Chanhassen versus neighboring communities. Commissioner Sanford asked about the next EDC meeting when Buy Chanhassen will be in attendance and if they would be talking about the lodging tax. Bob confirmed that they would be talking about the lodging tax and the program that they had. Commissioner Sanford asked if they could bring up the communication aspect and see if they could get some brainstorming around that as well. Commissioner Ebeling asked if anything was happening with the Perkins’ property and Bob reported that the Chanhassen Brewing Company was going in the building. Commissioner Sanford asked if there was anyone other than Buy Chanhassen that the EDC could get in touch with regarding the lodging tax. Bob stated additional research would have to be done. Jake suggested looking to other cities to see what they have done as far as implementing a lodging tax. ADMINISTRATIVE PRESENTATIONS: DEVELOPMENT REPORT PROCESS AND BUILDING PERMIT DATA Bob Generous discussed the attached building permit activity and number of available lots documents. Commissioner Sanford asked about the commercial permits if they were remodels or for new building. Bob responded that they were primarily remodels and new commercial buildings were completed last year but there hasn’t been a lot of new development this year. Economic Development Commission – November 10, 2020 6 CORRESPONDENCE DISCUSSION Bob stated that Interim City Manager Heather Johnston has requested all Commissions to come up with characteristics that they would like to see in commission members for upcoming commission interviews with the City Council. Also, she would like a commission member to participate in the interview process. Commissioner Donovan brought up the fact that the EDC didn’t have any commission openings until 2022. Commissioner Sanford requested staff confirm. Commissioner Schafer moved, Commissioner seconded to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 4 to 0. The Economic Development Commission was adjourned at 8:15 p.m. Submitted by Bob Generous Senior Planner Prepared by Kim Meuwissen ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject Approve Economic Development Commission Minutes dated January 12, 2021 Section APPROVAL OF MINUTES Item No: B.2. Prepared By Kim Meuwissen, Office Manager File No: ATTACHMENTS: January 12, 2021 Summary Minutes CHANHASSEN ECONOMIC DEVELOPMENT COMMISSION REGULAR MEETING JANUARY 12, 2021 Jim Sanford called the meeting to order at 7:00 p.m. MEMBERS PRESENT: James Ebeling, Jim Sanford, and Kathleen Donovan. MEMBERS ABSENT: Stephen Stamy and Adam Schafer STAFF PRESENT: Kate Aanenson, Community Development Director; Bob Generous, Senior Planner; and Jake Foster, Assistant City Manager PUBLIC PRESENT: Vernelle Clayton, Buy Chanhassen. APPROVAL OF MINUTES: There was no meeting in December Minutes from the November 10, 2020 Economic Development Commission meeting are awaiting transcription and are not available for approval at this time. They will be presented for approval at the February 9, 2021 EDC Meeting. OLD BUSINESS: LODGING TAX DISCUSSION Vernelle Clayton of the Buy Chanhassen group stated her appreciation to the EDC as she had reviewed the EDC’s goals to the City Council from last year to create a lodging tax. She proceeded to tell the EDC what the Buy Chanhassen group was doing in that regard. Statute 469.190 states that the purpose of the lodging tax is to “fund a local convention or tourism bureau for the purpose of marketing and promoting the city or town as a tourist or convention center.” Vernelle explained what a Convention and Visitors Bureau (CVB) was but that in Chanhassen it would be a visitors bureau only, such as “Visit Chanhassen,” or similar to ‘Discover’ St. Louis Park or ‘Explore’ Edina since we don’t have convention facilities. A lodging tax is paid by visitors staying at the City’s hotels. It is collected from the hotels by the City and passed on to the visitors bureau to be used in accordance with its budget, less a 5% handling fee. The need for a visitors bureau in Chanhassen is necessary as other communities are trading on our popularity. St. Louis Park and Plymouth have CVBs, both promoting hotel stays in their cities for Paisley Park, the Dinner Theatre and the Arboretum. Our hotels, restaurants and businesses will gain benefits, including many more businesses than just the hotels, Paisley Park, the Dinner Theatre and the Arboretum, of which are essentially used as a carrot. Buy Chanhassen would be the sponsor of Visit Chanhassen, coordinating creating the Articles of Incorporation and Bylaws and appointing the initial Board of Directors, which would include key Economic Development Commission – January 12, 2021 2 stakeholders. It is understood that there won’t be sufficient funds collected from hotel occupancy in 2021 to support offices, equipment and staff so it may be necessary to find other funding sources initially and have a limited marketing budget Buy Chanhassen attended two work sessions with the City Council in 2020 before COVID-19 hit. They are looking forward to scheduling a follow-up work session with the new City Council in 2021. In their initial presentations to the City Council, Buy Chanhassen reported that they planned to retain Meet Minneapolis as a source of marketing materials and marketing opportunities to the huge number of visitors they have in the past brought to the Twin Cities Metro Area. Commissioner Sanford asked about the history of Buy Chanhassen. Clayton stated that Buy Chanhassen is a membership organization that was formed after the Chanhassen Chamber of commerce merged with other cities to become the Southwest Chamber of Commerce. Before COVID-19 they met regularly at the Chanhassen American Legion, sponsored Night on the Town every summer, held a senators forum in the Council Chambers, but mostly held meetings to discuss legislation, and what’s happening in the community. Once a year they receive a State of the City address from the Mayor. Vernelle stated that Buy Chanhassen was like the Chamber but with a lower cost to join and is run by volunteers only. Commissioner Ebeling asked if any neighboring cities had visitor bureaus. Vernelle noted that Waconia, Shakopee, and Edina do. There are about 30 bureaus throughout the metro with the largest being Meet Minneapolis, an independent convention and visitors bureau. Ebeling asked if visitors would choose to stay in a hotel that doesn’t have a lodging tax. Vernelle said most visitors just pay the tax as part of their bill without question. City Council will need to approve the lodging tax. OLD BUSINESS: COMMUNICATION PLATFORM UPDATE Assistant City Manager Jake Foster provided an update to previous communications conversations. The City’s communications team looked into some of the following platforms: Bang the Table, Mail Chimp, and Constant Contact to move forward with a larger resident engagement strategy. The Mayor and Council are interested in implementing technology for citizen engagement. IT Manager Rick Rice would like to evaluate some of our current in-house platforms first before adding another one. Bang the Table could be a password-protected closed community which would be good for business owners in Chanhassen. We are still continuing to evaluate those systems and considering email technology outside of the communications platform. Commissioner Sanford ask if they would be opt-in services so businesses can choose to be a part of it. Jake said yes, depending on the route they decide to go with and that it would be more enticing for Chanhassen businesses if it was a closed platform. Economic Development Commission – January 12, 2021 3 Commissioner Sanford reviewed the commission’s communication goal of looking for a more efficient way for the City to communicate with businesses and people and wanted to know if it would be more of an informational platform. Jake said it would depend on the platform, whether it be a one-way communication of the City pushing messages out to the business community, or we work to implement one of the community engagement tools which is a two-way communication. Jake explained that that tool is very preliminary in their explorations, still requiring department heads to buy into the technology as something that all departments could utilize to make it worthwhile. Commissioner Sanford asked if there was a timeline for implementing the tool. Jake stated the website is the priority in the first quarter of the year at this time but is estimating the early second quarter project would start addressing the communications platform. Commissioner Ebeling restated that it could be multi-purpose with community engagement of citizens and business. Jake stated that if we were to implement the platform, closed groups could be created within the tool to separate businesses communication from resident surveys, etc. Commissioner Donovan thought it sounded like the city was proceeding with evaluating different vendors to see how impactful and open they are as well as security issues. She said it sounds like the City i s off to a good start and is looking forward to next steps. ADMINISTRATIVE PRESENTATIONS: BUSINESS INQUIRIES Community Development Director Kate Aanenson provided an overview of business inquiries and how the City processes those, such as do they come to us or are we soliciting projects? A lot of inquiries come through our website which is a great point of beginning. Our website is very transparent providing various demographics such as household income, which is a big part of why business like to come here because they know there is disposable income. They also look at available land and they can be picky as to what side of the street they want to be on, whether they want to be downtown or along Highway 5. We have a lot of information on available land such as if there is sewer and water, etc. All of our fees are online. Bob Generous puts together a pro forma every year which is updated with the new fees attached to development to assist in anticipating development costs. Our application also includes a development timeline. After potential developers gather information from our website, they will contact staff to start a dialog. Sometimes development will come through the State of Minnesota Department of Employment and Economic Development (DEED). Typically those projects are looking at multiple communities to pit cities against each other to find out what can be done for them. If a small operator may be going into an industrial park and they can’t afford the assessments, the City can assess them over the time. The City can also apply for grants for assistance with new development from the Carver County Community Development Agency (CDA). The City has a downtown business plan and people like the fact that we have a downtown which is a big draw. Commissioner Ebeling clarified that generally developers are usually reaching out to the City more so than the City reaches out to developers. Kate responded that developers are going to call Economic Development Commission – January 12, 2021 4 Planning staff to start the process. People know where they want to locate and have already made their site selection prior to talking to staff. An example is Panera Bread was looking for several years and ended up buying the motel on Highway 5, and Chick-fil-A wanted to locate there as well. Businesses already know where they want to be. We applied for a CDA grant for Chick-fil- A because they had excessive stormwater costs of over $400,000. At that point we became an assistant and had to figure out what we could do to keep the project moving once they decided to develop here. It’s pretty rare that we find developers; they find us. Why are they looking for us? Because we’ve got a great community. We keep those standards with zoning requirements and that they are going to be a value added and that being here they will be successful. There’s energy and synergy. Daytime employment is really important to provide for some of the other businesses: grab something for lunch, make a Target run, go to the Post Office, pick up dry cleaning, etc. We know some people that are looking for a site but they ask us to keep it confidential. We usually don’t disclose the information until a development application is received and becomes public. Our contact information is readily available on our website and we are always responsive to inquiries. We get email inquiries as well such as a national companies or someone else that has someone looking for a specific use. An example was a demand for auto repair. There weren’t a lot of sites that could accommodate it. Christian Brothers Automotive was just approved to be located on the Kraus-Anderson site located on the northwest corner of Highway 101 and Lyman Boulevard. That’s where they wanted to be located and we found a way to accommodate them. They wanted to be near bus transit so a person could leave their car for the day and take the bus. They were very sophisticated in what they needed to make their project work. We have a zoning ordinance and a land use plan and we are willing to make changes to these if the project is a good fit in the desired location. We annually update city code. We know drive-thrus are very important. We pay attention to their needs and try to stay within our current zoning standards and also to have a value added. If you look at Holasek Business Park on Lyman and Galpin Boulevards, it was a tough site with poor soils, but developer Mark Undestad was able to put it together and now it’s full. They also needed some assistance on that site because of stormwater issues. Businesses in Chanhassen are always reinventing themselves, expanding, or being more efficient. One example is Emerson did a major interior development expansion. All of their rooftop equipment was also replaced. This increased their production and value to the community. We accommodate businesses schedules with unique inspections. We are on the list through Carver County CDA and through DEED, which shows users looking for a certain square footage, building, or land. If a business expansion is less than 10% we can process that administratively without having to go back before the Planning Commission. This reduces 90- 120 days of the process. We meet with existing businesses to see if they have any specific needs. Commissioner Sanford asked if the City has much contact with any businesses other than for zoning changes or construction. Economic Development Commission – January 12, 2021 5 Commissioner Ebeling asked if the overall amount of inquiries declined since COVID started last March. Kate answered no. People find different opportunities. Industrial is still pretty strong as far as inquiries and building permits are still up. Ebeling asked what are the reasons developers choose not to move forward with a project (we’re too slow, fees too high, etc.)? Kate referred to the City’s transparency and how we are always up front with our timing, fees, and grants, etc. The City does not want to get into a deal and have a developer pull out. Chick-fil-A was a good example with their stormwater expenses and the CDA grant we were able to secure for them. Ebeling asked if we ever get feedback of why a business chooses not to develop in Chanhassen? Kate referred to why Trader Joe’s didn’t develop in Chanhassen. The city suggested the Kwik Trip site but there wasn’t enough household income in that area to support it. Then they were ready to go at the Total Wine location but found out there was a non-compete clause with Lakewinds Food Co-op, of which the City was not aware of. They did not want to be located downtown. They were very specific about the location they wanted. Aldi’s ended up taking the downtown location. Commissioner Sanford asked if there was a listing of professional activity codes of businesses in the area. Kate said we have standard industrial classification codes. She gave an example of the Federal Packaging industrial facility on Powers Boulevard next to the railroad tracks. It was a DEED deal. It was a tough site with a lot of grading but that’s where the business wanted to be and they worked with the State of Minnesota to obtain some grants. They found the site and made the call to us. They did their own due diligence just by looking through all of our data. We have heard there is some strong interest in the office part of the Avienda project, a medical office is still a strong market. Sanford asked for an update on the Avienda project. Kate said the housing is ready to go but it will cost around $15 million to extend the road west to the housing development. The Cityt is looking at grants to help build that road (Bluff Creek Boulevard) which is the thread that they need to have. The Council revisited the project last year and increased the housing allowance to up to about 900 units. There will probably be a small grocery store with that as well along with some retail and some office, and a hotel. Commissioner Ebeling asked if they were still waiting to break ground and Kate said yes. The first thing they want to do is the housing portion of the project. Kate asked for any suggestions from the Commission. NEW BUSINESS Commissioner Sanford brought up the Commission’s goals for the year and wanted to know at what point should they be looking at making a proposal on the lodging tax of if it is already launched and we are just waiting for that to happen? Will the City provide some sort of a lending or a grant program such as micro lending? At what point do we get ready to implement something? Commissioner Ebeling agreed and suggested that the Commission set up the platform and the framework. Commissioner Sanford asked how to build an incentive system to bring businesses into the City. What kind of businesses do we want to attract and how do we want to bring them in? Sanford asked Kate if that would be an appropriate use of their time. Kate replied that the City Council was appointing a City Council liaison to each commission for Economic Development Commission – January 12, 2021 6 communication purposes, which would provide a great opportunity for the commissioners to have that contact. Sanford suggested they review their goals on the next EDC agenda and prioritize them. He confirmed with Kate that no program would be able to be set up until a levy was approved to fund it. It would be the same process as the County uses. Kate Aanenson mentioned that Carver County got another $4 million in COVID money and that the program information could be found on Carver County’s website. Chanhassen allowed outdoor dining and tents to create some flexibility. That is the kind of feedback that the City can provide to the Commission. The City has been lenient on directional signage trying to support the businesses that are here. Commissioner Donovan was interested to see how things progress on communications. She shared concerns as to directions as the Commission looks to accomplish their goals and that they needed to start planning for the future. She liked the idea of having a City Council liaison. The meeting was adjourned by acclamation at 8:35 p.m. Submitted by Bob Generous Senior Planner Prepared by Kim Meuwissen ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject Annual Report, Review and Prioritize Goals, Discuss Role of the Economic Development Commission Section NEW BUSINESS Item No: D.1. Prepared By Bob Generous, Senior Planner File No: SUMMARY The Economic Development Commission at their last meeting requested that the Commission review their 2020 Goals. In addition, the Commission must prepare an annual report for City Council. BACKGROUND City Code section 246.13 (e)Reports: The Commission will produce an annual report for the City Council detailing the community development activities of the past year. The report also provides a summary of residential and commercial construction activities and outlines the progress that has been made toward achieving the goals of all strategic plans. DISCUSSION The Economic Development Commission (EDC) is an advisory body to the City Council and the Economic Development Authority charged with the responsibility of researching, reviewing, and making recommendations on issues related to economic development. RECOMMENDATION Review the 2020 Goals and the 2020 yearinreview, and develop the 2021 work plan. ATTACHMENTS: 2020 Year in Review and 2021 Recommended Work Plan Ord. No. 643 MEMORANDUM FROM TO CITY OT CIIANIIASSTN Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow Economic Development Commission Kate Aanenson, Community Development Director Bob Generous, Senior Planner February 9,2020 2020 Year in Review and 2021 Recommended Work Plan DATE: SUBJ: As required by the City Code section 2-46.13 (e) Reports: The Commission will produce an annual report for the City Council detailing the community development activities ofthe past year. The report also provides a summary ofresidential and commercial construction activities and outlines the progress that has been made toward achieving the goals ofall strategic plans. The Economic Development Commission (EDC) is an advisory body to the City Council and the Economic Development Authority charged with the responsibility ofresearching, reviewing, and making recommendations on issues related to economic development. The EDC will review ways in which the city can expand existing businesses, attract desirable new business, and revitalize existing businesses and the community as a whole. Below is a summary of items the EDC reviewed in 2020 as well as possible work projects for 2021. Ifthere are additional items, projects, or research the EDC would like to undertake for 2021, please provide direction to staff. 2O2O REVIEW 2020 was a leaming year for the EDC. Members were appraised of the roles for economic development. The EDC was advised ofthe city's efforts in development review and economic development. The EDC was provided updates on CARES funding and community support for local businesses. The EDC had proposed another open house for area businesses. However due to COVID-I9, this outreach could not be done. The EDC evaluated the comments and concerns from the 2019 open house. PH 952.227.1100. www.ci.chanhassen.mn.us. Fx 952.227.1110 77OO MARKET BOULEVARD . PO BOX I47 .CHANHASSEN .I'IINNESOTA 55317 BACKGROUND The EDC adopted a list of2020 goals. Economic Development Commission Annual Repo( February 9,2021 Page 2 In 2020, the city issued building permits for 68 dwelling units, which was approximately 34 percent (34%) of our projected housing growth for 2020. We are projecting a two percent (2%) increase (approximately 200 units) in total housing stock for 2021 . As can be seen in the average residential building permit data (128 single-family and 67 attached units), there is currently sufficient approved single-family residential lots available for development with a lot inventory of 178 platted single-family lots, but a deficiency of attached single-family lots with 14 lots available. With the approval ofthe Lake Place at Powers Ridge project, 110 apartment units are proposed for development. Given this inventory and cunent housing demand, the city should be able to achieve its housing projection. Projects The EDC will review the 2020 goals and prioritize and create a list of goals for 2021. Staff encourages the EDC to concentrate their efforts in 2021 on the following projects: Develop a strategic plan for economic development for the city. Cooperate and coordinate with Buy Chanhassen and the Southwest Area Chamber of Commerce on promoting business retention, expansion and recruitment to Chanhassen. Create a feedback survey for developers and business owners to be used to understand and improve city interaction with the development and business community. Investigate a signage idea/plan for the promotion of businesses in the downtown Work with the school district and Chanhassen businesses to market job opportunities and support the creation of local jobs. a a a a City Code Staff shall submit City Code amendments to the EDC for comment relative to economic development. Educational Opportunities l. Comprehensive Plan The city adopted the 2040 Comprehensive Plan on February 10,2020. Staffwill bring some chapters of the 2040 Comprehensive Plan to the EDC for discussion and review in conjunction with economic development. 2021 WORK PROGRAMS Economic Development Commission Annual Report February 9,2021 Page 3 2. Miscellaneous Staff v/ill provide periodic items to the EDC as the schedule and time permit. Some items may include housing demands and trends, demographic statistics, mixed-use development, sustainable development, developmenl trends, redevelopment issues, transportation projects, senior-friendly cities, etc. ACTION The EDC may suggest additional items which they may reviedresearch it 202l. Any other suggestions that the Commission would like to see staff address will be added to the list. Subject to Economic Development Commission concurrence, staffwill forward this report to the City Council. ATTACHMENTS l.2020Goals 2. Permis 3. Development Review g:\plan\economic developmenr\edcuo2luo2o yeat in review 2021 worli plm.docx Economic Development Commission Annual Report February 9,2021 Page 4 o Understanding ofhow to attempt diversification oflocal businesses in terms of size and types of business. r Look to attain more entertainment retail (ex. Top Golf). o Define a vision of business community in the City of Chanhassen. Do we want our business community to look more like Minnetonka/Eden Prairie or Hopkins? e Be more proactive rather than reactive in attracting local businesses while still following the Comprehensive Plan. o Engage residents and various city groups to help them understand impact ofgoals and growth in the city. r Facilitate economic growth of existing businesses both with employment and improving the quality of life for our residents. o Use advertising/marketing to draw residents from other cities to Chanhassen businesses. o Recruit successful businesses from other communities to Chanhassen. e Create business cards for the members ofthe EDC in order for them to identifi themselves and share their contact information with local businesses. o Increase/Improve intemet corurectivity for the local business community. . Improve city competitiveness by making sure it is move-in ready for all forms of business. . Engage with Buy Chanhassen and SW Chamber of Commerce to bring more light to Chanhassen businesses. . Increase awareness oflocal public transportation (SW Metro). o Employmentopportunities. o Attempt to assist local businesses with the creation of a Health Insurance Consortium in order for local businesses to be more attractive for employment opportunities. Primarv 2020 Goals l. Create a Business Subsidy program using either a levy, abatement, TIF or other financing mechanism to help offset costs of barrier of entry. 2. Look for ways the EDC can encourage local businesses to communicate more frequently and effectively with other local businesses, city staff, elected officials, commissions, Buy Chanhassen and the SW Chamber. 3 . Have staff prepare a feedback survey for developers and potential business owners at the various points of contact with city staff. This would include the Planning Department after a developer has completed a development process and the Building Department after a business has gone through an improvement project. 4. Improve walkability/connectivity of the downtown, in particular over Highway 5. 5. Have the EDC along with Buy Chanhassen/SW Chamber support the creation ofa local job fair in the city. This could include part time, seasonal and other full+ime opportunities for employment in the City ofChanhassen. The event could be held at a city gathering place. Other Future Goals Economic Development Commrssion Annual Report February 9,2021 Page 5 Consideratio ns for Citv Council l. The EDC would be strongly supportive of the building of a public facility that encompasses large gathering spaces in a multi-use facility that brings increased traffic and visitors to the City of Chanhassen. The facility could host local business meetings, small conferences, and resident gathering events. 2. The EDC sfongly supports a local lodging tax for the creation and financial support of a Visitors/Convention Bureau. 3. The EDC believes there is a high need for affordable housing to assist our local businesses. The lack of affordable housing makes it difficult for small businesses to draw on local employees for its operations. The EDC strongly encourages the City Council to consider offering assistance for an affordable housing TIF district project. l. A subsidy progmm to incentivize new entertainment businesses within the City of Chanhassen. The subsidy could be a low interest micro loan program funded in part by an HRA,/EDA levy. 2. A current/existing business subsidy program for small local businesses that need assistance during diffrcult economic downturns in varying business sectors. The program could be in the form of a low interest micro loan or a small gmnt program for certain qualifuing expenses. 3. In order to encourage new small businesses to move to Chanhassen or to start a new business in Chanhassen, the creation of a business subsidy program. The program could be a low interest micro loan pro$am, a Waiver of Utility Connection fees for new SAC units, a small business incubator lease assistance program or a Jobs for Fees program similar to one created by the City of Jordan. Most of these would require a HRdEDA levy or a waiver of a small amount of Utility Connection revenues. Potential Business Subsidy Proqram Areas PERMITS BUILDING COMMUNITY DEVELOPMENT DEPARTMENT The Building Division contains two support stafl one building official and four inspectors. Eric Tessman is the building official for the city. The inspectors review building plans for compliance with building codes, inspect buildings under construction, and enforce property maintenance issues. Support staff issue the building permits, schedule inspections, receive all permit applications and distribute building plans for city review. I In 2019, the city issued four permits for projects with building permit valuation in excess ofone million dollars- Commercial and Institutional Construction There were no significant commercial or institutional projects in 2020. The total valuation for all new commercial and institutional projects in 2020 was $1,875,500. Tennant finish and remodeling activity had 65 permits with a valuation of $8,946,800. New Single-Family Home Construction Inspections 2020 Building Permit Activity Year Permits Average Valuation Total Valuation Average New Single-Family Home Values Excludes Land Cost 68 $41 1,529 s27,984,000 2019 40 $637,390 $25,49s,s91 201 8 49 $406,275 $19,865,000 2017 55 $420.195 $22,798,000 2016 46 $401,638 s18,834,000 80 $373,128 $30,397,000 Year Building Inspections Mechanical Inspections Plumbing Inspections Total Inspections 2020 3,413 1,171 1,323 5,907 2019 3,467 1,708 1,667 6,842 201 8 2,863 1,425 1,551 5,839 20t7 2,583 t,490 1,405 5,478 2016 1 11.1 1,459 1,770 5,951 2015 3,835 1,681 1,770 7,286 23 68278l0Residential Single-Family 0 0000Residential Townhomes 0000ApartmentVSenior Facilities z.)6827810Total Residential 2 2020 2015 Residential Building Permits lrt Ouarter 2d Ouarter 3.d 0uarter 4rh Ouarter Total 0 0 0000New 0 0000Redeveloped 709242413Remodeled 24 24 l3Total Commercial 9 A significant amount of the building permit activity, totaling 2,134 permits, which occurred in 2020, was due to household remodeling and addition construction, and building re-roofs which resulted from surrmer thunderstorms. I )1 140 178Single-Family Lots 156 24 24 24 14Residential Townhome Lots 164 192Total Available Lots 180 175 55 49 40 68Single-Family 48 28 0Townhomes0t256 0 0Apartments/Senior Facilities 76 0 268 72 76 70Commercial109 -1-) )140 445 144 138Total Number of All Permits J Commercial Building Permits 1". Ouarter 20d Ouarter 3.d Ouarter 4rh Ouarter Total 70 Available Lot Inventory (End of Ouarter)lst Quarter 2od Quarter 3'd Quarter 46 Quarter Total Permit History 2016 2017 2018 2019 2020 994041l81980 242221981 2t2198219 1043681983bU 24341984108 26520t8381985 881986246 )-L 32321987289 26 3419883s2 62 383l41989307 1971990197 1911991191 228Attached Single-Family*1992 228 267t61993251 3791101994269 65 478t971995216 2071996 274971997 425162263 277187881999 320162t242000 22910085442001 300542462002 39624359942003 9276l62004 84060242005 1794889422006 l865862007 6628382008 8571142009 10171302010 168106622011 185t07782012 175086201389 153960572014 0 10480201 5 76 1240201648 0 67122017 )l)26849562018 58l8402019 680202068 62 20167Average128 4 Residential Building Permits Issued Year Sinsle-Family Duplex Townhouses Apartments Dwellins 166 189 262 4t2 170 t77 1998 34 169 55 0 0 HOUSING PERMITS iirll aa oaz 6r0z 0l0z tloz 9toz 9!02 ttoa er0z ztoz ttoz 0toz @z t(x)z 16z 9002 smz roz E@Z z@z r00z 0mz 666r 868t L86t 9€8 r 9A6r t66t p 888888 Jaqurn\ 5 tT- I I rr- I I I- -I II IIIIITIIt-I - - - r IIIII I I II!I I I I I I I - l- -------l DEVELOPMENT REVIEW PLANNING COMMUNITY DEVELOPMENT DEPARTMENT The Planning Division consists of the Community Development Director, three planners and a natural resource specialist. The Planning staff enforces the zoning ordinance, reviews building plans, prepares current and long-range plans for the community, discusses development potential for individual properties, reviews development proposals and coordinates this review with other departments and agencies, prepares reports for the Planning Commission and City Council, provides information about the community to businesses, property owners and the general public, performs research projects and writes ordinances and resolutions. I Residential Subdivisions Site Plan Review CASE #PROJECT NAME GROSS ACRES NET ACRES TOTAL UNITS GROSS DENSITY NET DENSITY 2019- 13 Berrospid Addition 2.297 )2.18 2.33 2019-01 The Park 2nd Addition 38.42 13.07 57 1.48 4.36 2019-0 r The Park 3'd Addition 10.02 to 2.59 2019-01 The Bluffs @Lake Lucy (The Park 4th Addition) 32.41 13.76 3l 0.96 2.2s Boylan Shores 2.71 1.9 3 l.1l 1.58 TOTALS 85.86 38.95 t22 1.42 3.r3 Project Location Developer Building Square Feet Acres Type of Use Moments W. 78s St. and Audubon Rd. TMSC of Chanhassen LLC 65,000 3.5 Continuing care facility 48 units Christian Brothers 8941 Crossroads Blvd. Kraus Anderson, Inc.5,100 0.79 TOTAL 70,100 2 2.142 8.075 3.22 2019-17 Automotive repair shop 4.29 Site plan review with variances for the construction of a 48-unit, continuing care retirement facility. E:4'J I I I I!, Bq I t !I l, "Ji W'I -)- 1 I a I rl t' -_ d*,t.'-l 1E.-,, ll'l I ---J I 7r',/,(/- *o-/ ---,-- f::;AX*:="'"--.:ii=';;' - \{--*---tl -E6-5 ---c,-=fEl ---G--EGGGi--E!-.. - . I Ul rr r tllMtlrMt r. I l!!l i --E-:-r. rr lrrlrr l!!l!!.1 .r II la nI rlt -SOUT}I ELEVANO uar!+9H+ - --S:rlC -e-----(-q LELL-,--- !ti,.E++ LEVEL I ..a.:a- t J - I - 2- EAST ELEVAIION AVERAGEGRADE.\_-------------;-a-u \A!trBASEffi COMMERCIAL DEVELOPMENT Moments of Chanhassen (#2020-02) i i !.t- t{oRTx Et.Evarloll II .'llllr t! t- .ala.. WEST ELEVATION aaatat Itr- Christian Brothers (2020 -21) Site plan approval for a 5,100-square foot automotive facility in Crossroads of Chanhassen - t:::::- -*Q d-f & At+/ I ' ;5 .': . co 9;;;E!z a dcidi EI o ! !r o TI I I 4 I I 1 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA ORDINANCE NO. 643 AN ORDINANCE AMENDING CHAPTER 2, ADMINISTRATION, OF THE CHANHASSEN CITY CODE THE CITY COUNCIL OF THE CITY OF CHANHASSEN, MINNESOTA ORDAINS: Section 1. Section 2, Article IV of the Chanhassen City Code is amended to add the following subsection: Sec. 2-46.13. – Economic development commission. (a) Creation. There is established an economic development commission for the city. (b) Membership. The economic development commission consists of five members appointed by the city council. The members will be a combination of residents and representatives of the business community. Members of the commission are appointed by the city council for staggered terms of two three-year terms and three two-year terms expiring on March 31 of each year. (c) Officers; meetings. The chairperson of the economic development commission is appointed by the commission from among its membership for the term of one year. The city council will adopt its bylaws. All members of the commission may vote on all questions before the commission. No member of the commission may vote on any question in which the member has any conflict of interest, either directly or indirectly. The city council shall determine in its bylaws the date and time of its meetings and shall set such public hearings as are necessary and desirable or as required by law or this Code. (d) Powers and duties. The economic development commission shall have the following powers and duties: (1) The Economic Development Commission (EDC) is an advisory body to the City Council and the Economic Development Authority charged with the responsibility of researching, reviewing, and making recommendations on issues related to economic development. The EDC will review ways in which the city can expand existing businesses, attract desirable new business, and revitalize existing businesses and the community as a whole. (2) The goals shall consist of developing a strategic plan for economic development for the city, including long-range strategies for economic development. The commissioners will recommend economic development policies and programs to the 2 City Council and work with the City Council and staff to promote the city, work to retain businesses in the community, attract economic growth and development, and advocate as well as be liaisons for all challenges that face the businesses in the City of Chanhassen. The EDC will work to compliment the city’s long term planning and financial documents including the Comprehensive Plan and Downtown Vision Plan. (e) Reports. The commission will produce an annual report for the City Council detailing the community development activities of the past year. The report also provides a summary of residential and commercial construction activities and outlines the progress that has been made toward achieving the goals of all strategic plans. Section 2. This ordinance shall be effective immediately upon its passage and publication. PASSED AND ADOPTED this 10th day of June, 2019 by the City Council of the City of Chanhassen, Minnesota Todd Gerhardt, City Manager Elise Ryan, Mayor (Ordinance 643 published in the Chanhassen Villager on June 20, 2019) ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject MetroNet Fiber Optic Network (verbal) Section ADMINISTRATIVE PRESENTATIONS Item No: E.1. Prepared By File No: ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject Natural Gas Energy Analysis and MultiFamily Building Efficiency Program Fact Sheets Section CORRESPONDENCE DISCUSSION Item No: F.1. Prepared By File No: ATTACHMENTS: NGEA Fact Sheet MFBE Fact Sheet 612-321-4330 800-234-5800 ext. 4330 CenterPointEnergy.com/EnergyAnalysis Discover your energy savings Looking for ways to cut costs for your business? A Natural Gas Energy Analysis can help. Our certified energy auditor will visit your facility, inspect your building envelope and installed natural gas equipment, examine how it is operated, and identify opportunities to improve energy efficiency. You’ll receive a detailed report with specific recommendations to help you develop a plan for energy-saving improvements. We offer several levels of analysis to meet the unique needs of your business and offer ad hoc services for specific energy use analysis, such as steam trap surveys and infrared scans. Enjoy short-term and long-term savings Learn how simple operating adjustments or equipment upgrades can generate real energy savings for years to come. In addition, CenterPoint Energy’s rebate programs can help reduce your initial costs if you’re making equipment upgrades. Participating customers will also be eligible for free direct- install natural gas-saving measures, including programmable thermostats, low-flow aerators and showerheads, pre-rinse spray valves and weatherstripping for exterior doors. Your Natural Gas Energy Analysis CenterPoint Energy’s certified energy auditor will: 1. Analyze your facility’s recent natural gas use (excluding process load) 2. Work with you to identify specific issues and needs 3. Thoroughly inspect your building envelope, including doors, windows and insulation 4. Catalog and review installed natural gas equipment and how it’s currently operated 5. Provide a detailed, written report with specific energy-saving recommendations: • A complete list of your natural gas consumption and related energy consumption from equipment • An energy plan that identifies opportunities for natural gas energy savings including a high-efficiency equipment comparison and recommended upgrades • Projected energy savings for specific improvements • Estimated costs to implement the improvements • Estimated payback time for each suggested improvement • Detailed information about CenterPoint Energy’s rebate programs and other financial assistance designed to help offset initial costs associated with specific energy improvements CenterPoint Energy’s Natural Gas Energy Analysis Program Helping Find More Savings Continued on back…MN NATURAL GAS ENERGY ANALYSIS ©2017 CenterPoint Energy 163678 Ad hoc services are available for customers with specific needs, interests or considerations and are determined in consultation with the energy audit professional, CenterPoint Energy and the customer. There is an extra fee for services beyond the analysis cost described above, but depending on services requested, ad hoc services will provide the customer with other detailed or specific energy use analysis not possible within a typical visit. NOTE: The analysis does not include electric consumption, except as related to natural gas equipment, so it is not considered a comprehensive energy audit. * Facilities served by multiple natural gas accounts in different rate classes will default to the category corresponding to the largest-consumption account. ** Traditional analysis for mid-size customers, serving the majority of participants *** Custom analysis provides for more comprehensive review and/or specialty technical analysis of primarily larger facilities, but is not to be considered an industrial or process efficiency audit or a recommis- sioning project. CenterPointEnergy.com/EnergyAnalysis Start saving today For more information on the Natural Gas Energy Analysis, call your account manager or our Business Customer Hotline at 612-321-4939 (877-809-3803). Or visit us online at CenterPointEnergy.com/EnergyAnalysis. Program deadlines • Program dates are Jan. 1 - Dec. 31. • Rebate applications must be received by Dec. 31. Type of analysis Cost Value Basic (for small businesses)$50 $500 Comprehensive** (for mid-size businesses)$200 $1,600 Custom*** (for larger operations) Costs are determined on a project-by-project basis for this specialized, in-depth approach. Ad hoc services (For specific energy use analysis, such as steam trap surveys for heating system and infrared scans) Costs are determined on a project-by-project basis. Natural Gas Energy Analysis Natural gas – Did you know? Natural gas costs substantially less to use than electricity, propane or heating oil. According to America’s Natural Gas Alliance, there is more than a 100-year supply of natural gas reserves in the United States. Natural gas appliances have a great safety record and state-of-the-art equipment now has advanced capabilities, like auto-shut-off. As a primary fuel that can be used in its natural state rather than undergoing a pollution-producing, energy-wasting conversion process, natural gas leaves about half the carbon footprint of electricity. • Natural gas water heaters recover faster and have more hot water available than electric water heater models, so you can count on having the hot water you need, when you need it. • Heat delivered from a natural gas furnace feels warmer as the air delivered is 25 F warmer than air from an electric heat pump. CenterPointEnergy.com/ NaturalGasBenefits Affordable. Clean. Abundant. Domestic. Safe. Comfortable A whole-building energy solution The Multi-Family Building Efficiency program is a full-service offering, at no cost, for qualifying multi-family properties in Minnesota. We’ll help you uncover energy-efficiency opportunities throughout your building – including resident units and common areas – then give you rebates and bonus incentives for making improvements. The whole-building services you will receive: • A no-cost, on-site building energy analysis is conducted by experienced energy experts, and is followed by a thorough report of findings and recommendations for saving energy throughout your building. • Energy-saving equipment installed at no cost throughout common areas and resident units including screw-in LEDs, energy-efficient faucet aerators, showerheads, power strips and weather stripping. • Rebates and bonus incentives for making energy efficiency upgrades throughout your building. • Implementation support and guidance to simplify the implementation process. • Energy-saving tips brochures for your residents. Does your building qualify? If your building has five or more units and receives electric service from Xcel Energy, and gas service from either CenterPoint Energy or Xcel Energy, includes a common entrance, common areas and in-unit kitchens, our Multi-Family Building Efficiency program is an ideal approach for saving energy. Whole-building benefits 1. No-cost services. Qualifying multi- family buildings can receive a no-cost energy analysis and installation of energy-efficient equipment throughout your whole building. 2. Path to energy-efficient buildings and cost savings. A comprehensive energy analysis report will identify opportunities to reduce your energy usage which can save you money over the long term and improve the comfort of your residents. 3. Get help from the experts. Qualified energy experts will conduct the initial energy analysis and support you throughout the implementation process. 4. Saving you time, energy and money. Two energy companies working together to save you time, energy and money. To encourage you to maximize your energy savings, we offer a 30% bonus incentive on top of rebates for all eligible energy- efficiency upgrades. And, qualified affordable housing multi-family buildings can earn a 60% bonus incentive. Energy-Saving Services for Multi-Family Building Owners Xcel Energy and CenterPoint Energy have teamed up to offer energy-saving solutions for Multi-Family building owners. The Multi-Family Building Efficiency program is designed to help find energy solutions to fit your time, budget and goals. And, it’s easy to participate. 844-545-7455 MultiFamilyEnergySolutions.com Market rate multi-family housing: add a 30% BONUS incentive to rebates earned. Affordable multi-family housing: add a 60% BONUS incentive to rebates earned. Frequently asked questions Q: There are things in my building I think will save a lot of energy. Will they qualify for an incentive? A: All projects must be cost effective based upon tests performed for all utility rebate programs. As a result, there may be projects that could save some energy, but does not meet payback criteria and therefore cannot be considered for a rebate. You will receive a list of qualified energy upgrades with your energy analysis report. Q: If I have already started an energy efficiency project, can I get the Multi-Family Building Efficiency bonus incentive? A: Only projects that have started after the date of the energy analysis, and have not taken action to procure materials, are eligible to receive the Multi-Family Building Efficiency bonus incentive. Q: How long do we have to complete projects? When does the “clock” start? A: You will have up to two years from the date you receive the energy analysis report to complete the work, have it validated and submit the necessary documentation. Q: What are our costs to participate in this program? A: The energy analysis, direct installations and project implementation services are provided to you at no cost. If you choose to complete energy efficiency upgrades identified in your report, you will be responsible for paying the full upfront cost of the work and can earn rebates and bonus incentives upon completion of the project. Q: When do I get my project rebates? Will it be a lump sum at the end of project or paid out more frequently? A: After you complete an energy efficient upgrade identified in the energy analysis, program staff will work with you to gather required documentation, and then submit the rebate application to the utilities on your behalf. Complete as many energy projects as possible within two years to maximize your incentive. Q: Can I sign up more than one building to participate in this program? A: Yes. Q: If the resident has a special kitchen faucet/showerhead, will the faucet aerators or showerheads be replaced? A: The direct installation will only apply to building-owned, permanent fixtures such as aerators, showerheads or overhead lights. Resident-owned fixtures such as table or floor lamps and specialty showerheads will not be changed. Q: Do all my common area lights qualify for the free replacement? A: The direct installation will only apply to building owned fixtures. Only screw-in lighting is available; pin-based lighting, flood lamps and bulbs for canned fixtures do not qualify. Q: What if certain residents do not want to participate in the direct install? A: To maximize your energy savings, we encourage all residents to participate. However, we realize there are situations that may result in some owners allowing residents to opt out of the direct installations. This is a decision in which the owner has direct input. Ready to get started? Feel free to call the program representative at 844-545-7455 for answers to our specific questions or visit MultiFamilyEnergySolutions.com to learn more. © 2019 Xcel Energy Inc. | 19-11-106© 2019 CenterPoint Energy Two energy companies. One program. Save time and money. ECONOMIC DEVELOPMENT COMMISSION STAFF REPORT Tuesday, February 9, 2021 Subject Solar for Vouchers Program Brochure from Metropolitan Council Section CORRESPONDENCE DISCUSSION Item No: F.2. Prepared By File No: ATTACHMENTS: Solar for Vouchers Program Brochure REDUCE YOUR OPERATING COSTS Join the “Solar-For-Vouchers” technical assistance program and realize energy savings.WHAT?The Metropolitan Council is piloting a program to help property owners save money on energy costs through solar panel installation.HOW?WHY PARTICIPATE? •Save money through group purchasing and contracting. •Access expert knowledge on solar technologies, contract terms, and financing options. •Benefit from streamlined, government-facilitated group pro- curement process. The program will guide participants through the technical, contractual, and financial aspects of installing solar energy, and reduce the costs to do so. WHAT IS REQUIRED OF YOU? To participate, you must lease, at market rate, the following number of units to low-income households through the Housing Choice Voucher Program for 5 years: 5 - 20 2 41 - 100 8 151+15 Eligible properties must be: •Served by Xcel Energy. •Located in Metro HRA’s Service Area. •No taller than 5 stories. •Buildings with 5 or more units. •Structurally sound enough to support solar panels. STEPS IN THE PROCESS 1. Submit your application 2.Host a site visit 3.Contracts negotiated 4.Solar installed Contact us Cameran Bailey | Senior Planner (651) 602-1212 | SolarForVouchers@metc.state.mn.us metrocouncil.org/SolarForVouchers www.metrocouncil.org RANGE OF UNITS IN BUILDING NUMBER OF UNITS RESERVED FOR VOUCHER HOLDERS 21 - 40 101 - 150 10 4 Metropolitan Council 390 Robert Street North Saint Paul, MN 55101 Main: 651.602.1000 TTY: 651.291.0904 Public Information: 651.602.1500 public.info@metc.state.mn.us