Loading...
2021 02 08CHANHASSEN ECONOMIC DEVELOPMENT COMMISSION REGULAR MEETING FEBRUARY 9, 2021 Chairman Sanford called the meeting to order at 7:00 p.m. MEMBERS PRESENT: Jim Sanford, Kathleen Donovan, James Ebeling, and Adam Schafer MEMBERS ABSENT: Steve Stamy STAFF PRESENT: Bob Generous, Senior Planner; and Jake Foster, Assistant City Manager PUBLIC PRESENT: None. APPROVAL OF MINUTES. APPROVE ECONOMIC DEVELOPMENT COMMISSION MINUTES DATED NOVEMBER 10, 2020 Member Donovan moved, Member Ebeling seconded to approve the Minutes of the Economic Development Commission meeting dated November 10, 2021 as presented. All voted in favor and the motion carried unanimously with a vote of 4 to 0. APPROVE ECONOMIC DEVELOPMENT COMMISSION MINUTES DATED JANUARY 12, 2021 Member Schafer moved, Member Donovan seconded to approve the Minutes of the Economic Development Commission meeting dated January 12, 2021 as presented. All voted in favor and the motion carried unanimously with a vote of 4 to 0. OLD BUSINESS. None. NEW BUSINESS. ANNUAL REPORT Senior Planner Bob Generous outlined the statutory requirement to create the Annual Report. Mr. Generous reviewed what the commission had worked on in 2020, including setting goals. In 2020 the commission had guest presentations on what economic development was about and discussions on CARES funding. The scheduled open house had to be postponed due to COVID- 19 so that is something the commission could revisit in the future. Economic Development Commission – February 9, 2021 2 Mr. Generous prepared a list of building permit approvals for the year. There were 68 single family homes for new construction. In 2021, there are several multi-family projects which will help to meet projections. There was very little commercial activity in 2020 but there are site plans approved for Moments of Chanhassen and an auto repair business. Mr. Generous reviewed the list of 2020 goals and discussed developing a 2021 work plan for the commission. He also discussed prioritizing 2020 goals, developing a strategic plan, doing a SWOT analysis, improving communication by working with Buy Chanhassen and the SouthWest Metro Chamber of Commerce, developing a feedback survey for developers who are looking for building permits, improved signage for the downtown plan, working with the school district to market job opportunities, and collaborating in Carver County’s work fair. Mr. Generous also mentioned that the commission could assist in reviewing city code as they are an advisory group to the City Council and would provide another perspective. It would be beneficial to bring portions of the city’s comprehensive plan to the Economic Development Commission for their perspective. In 2021, the Planning Commission is organizing a joint commissions tour and hopes to include the Economic Development Commission. If there were additional items the commission would like added to the work plan, Mr. Generous can add them before the report goes to the Council. Chairman Sanford asked when the report is due. Mr. Generous responded that there is no set deadline, but it would likely be presented to the Council in April when the new commissioners begin. Chairman Sanford asked about the strategic plan. Has the commission not done a strategic plan in the past? Mr. Generous responded that he could not find a plan. He asked if the commissioners remember creating a plan in 2020. Chairman Sanford noted the commission had completed a list of goals, but a strategic plan was not completed in 2020. Mr. Generous stated the Council has an annual retreat where they develop strategic plans for the community, but he does not know if any of them concentrate on things the city and community can do to promote and enhance development in Chanhassen. Chairman Sanford asked if the strategic plan would be gauged more toward the downtown area or would include the entire community. Economic Development Commission – February 9, 2021 3 Mr. Generous stated it would include the entire community. Economic development would include the downtown vision plan as well as expanding industrial development and vacant residential properties. Member Ebeling asked about the commission’s role with potential business subsidy programs and felt the commission could develop a framework if a levy would be raised in the future. He felt that the commission could work to incentivize new business to come in as well as retain current businesses. Mr. Generous responded this could be part of the strategic planning process. Member Ebeling felt the commission could use help from the Council and staff on the strategic plan as well as the developer feedback survey as staff have face to face communication with these developers. Mr. Generous confirmed that staff would be implementing the survey but would like some assistance on what kind of questions could be asked from a customer service standpoint. Chairman Sanford spoke about a micro lending scenario. He was also curious about what could be done about lodging tax and its relationship to Buy Chanhassen. Could it be used to fund a lending program or spent on promotion of the city, directed by the city, rather than toward a small group of merchants. Member Donovan spoke about businesses in Chanhassen that are struggling with attracting and retaining employees and keeping their doors open during the COVID-19 pandemic. She would like to discuss attracting new businesses, but also wants to support efforts to grow existing businesses. As pandemic restrictions are lifted, how can the commission bring attention to companies. Chairman Sanford agreed that the commission is in a position to adapt and look at tools that can provide the “best bang for our buck” to help current businesses. Chairman Sanford talked about internet access and speeds as part of the strategic plan. Mr. Generous agreed that the commission should consider all of the tools that they have to improve economic development. He was involved in business retention discussion in the mid- 1990s which included surrounding cities such as Victoria, Chaska, and Carver working on providing resources and access to information. Member Donovan felt that the commission could take some of these lessons and expand on them to adapt a support system to help companies who have hung in and stayed committed to Chanhassen. Economic Development Commission – February 9, 2021 4 Chairman Sanford asked if the strategic plan was a long-term view or within the next 6-9 months. Member Donovan felt it depends on COVID-19 and it may have to be a phased approach. Businesses have passed through the initial hit. As they now start to open, how does the commission support them? The commission should think of a long-term view of what the challenges could be. Chairman Sanford asked, if there is more money allocated to local governments out of the federal packages, will the city pass it on to Carver County for them to take care of distribution, as was done with the last funding? Could the commission use that money more directly in the community? Mr. Generous stated it depends on the City Council. Chanhassen does not have the administrative capabilities that Carver County has. Community Development Director Kate Aanenson wanted Mr. Generous to mention that there were 241 applicants for use of CARES funding and assistance was provided to 120 of those businesses. The list would be provided in the March 2021 packet. Assistant City Manager Foster added the money that Chanhassen passed to Carver County was distributed to any Chanhassen business that applied. Chairman Sanford asked if the funding could help with supporting businesses as Member Donovan had discussed. Mr. Foster explained that Carver County provided administration to allocate the money. The use of future funding would depend on guidelines imposed by the federal government. Member Donovan asked if the city would consider a one-time tax break for small businesses? Mr. Foster stated it was easier to direct money back to businesses as a grant process than dealing with a credit. Since the city is not the federal government, they cannot operate at a deficit and all money received must be used. The city could explore different options, but a tax credit is trickier from an administrative standpoint. Chairman Sanford felt that the strategic plan was huge and could cover a lot of different things. Mr. Generous added that the commission still had time to expand, contract, or refine items as well as reprioritize 2020 goals and bring them forward. He asked Mr. Foster when the Council liaisons would be joining the commissions. Economic Development Commission – February 9, 2021 5 Mr. Foster remembered that the timeline may be the end of March with new liaisons joining the Economic Development Commission for the first meeting in April. Chairman Sanford asked the commission if they had comments on the 2020 goals. Member Ebeling had mentioned a business subsidy program. Member Ebeling clarified the program would not be intended just for new businesses but other businesses could qualify. He would like to hear from the Council liaison on what the city wants from the commission. He felt the commission needed more direction on what things are in bounds and out of bounds so that the commission could focus their time during their once-a- month meetings. Chairman Sanford recommended looking at the item further. ADMINISTRATIVE PRESENTATION. METRONET FIBER OPTIC NETWORK Mr. Foster reviewed that the city, as part of their 2020 goals, looked for alternatives to high speed and broadband access. MetroNet bought out Jaguar Communication, a company that has fiber lines throughout Carver County. MetroNet has an interest in providing broadband and the city began working on a franchise agreement with them. Since MetroNet already has an agreement for video services, it gives them easier access to rights-of-way and will make it easier to lay for broadband and telephones. The city is hoping to hear more concerning the contract by the end of this week with a proposed start date of March 2021. MetroNet is a competitor to Mediacom and their plan is to have the city 94-96% built within the first year, including business and residential. Chairman Sanford asked who the franchise agreement was between. Mr. Foster responded that the agreement was between the city and the service provider and will aid in large batch permitting. Chairman Sanford confirmed that the proposal was to service 95% of the community in the first year. Mr. Foster stated the attorney presented an aggressive plan to provide that level of service regardless of density requirements. If some neighborhoods do not have a high level of population density, they will still be provided with the same level of coverage. Chairman Sanford felt this was very encouraging news and asked if there was any competitive advantage over neighboring cities by having this service available. Economic Development Commission – February 9, 2021 6 Mr. Foster stated the installation would occur on a regional basis and would include Chaska, Excelsior, Victoria, and Chanhassen. Member Ebeling asked about the cost to residents. Mr. Foster stated the pricing was comparable to other local providers. Member Schafer asked if MediaNet would begin marketing the service to residents immediately. Mr. Foster stated MediaNet would be marketing on the front end and give bi-weekly updates as the projects are progressing. Chairman Sanford asked if the project only included internet. Mr. Foster stated the focus would be on broadband and video but should include telephone as well. CORRESPONDENCE DISCUSSION. NATURAL GAS ENERGY ANALYSIS AND MULTI-FAMILY BUILDING EFFICIENCY PROGRAM FACT SHEET SOLAR FOR VOUCHERS PROGRAM BROCHURE FROM METROPOLITAN COUNCIL Mr. Generous stated the attachments to the packet were provided as information for the commission. He reviewed that Center Point Energy has a program to assist multi-family and commercial developments to make businesses more energy efficient. The Metropolitan Council also has a program for multi-family facilities to assist in converting to solar. Information concerning the program will be sent to the Southwest Area Chamber of Commerce and Buy Chanhassen as well as added to the city Facebook and webpage. Chairman Sanford stated this would be helpful information to communicate to businesses. Mr. Generous agreed that it was a way businesses could increase energy efficiency and save money. This may relate to Member Donovan’s discussion as a resource to assist existing businesses. Chairman Sanford asked if there was a way to encourage investment of solar farms in Chanhassen and promote more environmentally impactful improvements in the city. Chairman Sanford asked if the commission should wait for the April meeting when the liaison joined to start working on the strategic plan or start working on it right away. Economic Development Commission – February 9, 2021 7 Member Donovan recommended generating thoughts around the strategic plan in preparation for the next meeting. She felt the commission has been waiting a while and she would rather be told “no” by the Council than sit and wait for the Council to determine what the commission should be doing. She added that the commission served as consultants so they should throw ideas on the table and let the Council decide what to keep and what to toss as the Council has many other things on their plate. Chairman Sanford recommended looking at the primary 2020 goals and future goals and putting them through the lens of a strategic plan. Member Donovan added that it could be 1 to 3 ideas questioning what the potential positive, negative, and financial impact may be. Chairman Sanford agreed that the commission needs direction, but they have a lot of things they could start consulting on. Chairman Sanford asked the commission to come back with a handful of ideas on how to make a large impact. Mr. Foster agreed that the commissions serve as recommending bodies to the Council. Rather than thinking of what the Council might agree with, recommend things to the Council that the commission is confident are the right decision. Mr. Generous added that he could send the commission some frameworks for developing ideas. Member Donovan stated she felt the commission has been in a rut, partly due to COVID-19. She loved the idea of being proactive. Even if the Council hated the ideas, it would help the commission know what the Council does not want instead of just guessing. Then the commission could move on to a different idea. Chairman Sanford asked if the material presented in the annual report was the homework. Mr. Generous stated that could be a basis, but he would provide additional guidelines including a SWOT analysis framework, to help determine the community’s strengths and weaknesses. Member Donovan agreed that the commissioners had different perspectives on the strengths and weaknesses of Chanhassen and seeing other points of view would help adjust perspective. Chairman Sanford asked the commission to come to the next meeting with a few ideas and to complete a SWOT analysis. Economic Development Commission – February 9, 2021 8 ADJOURNMENT Member Donovan moved, Member Ebeling 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 meeting was adjourned at 8:00 p.m. Submitted by Greg Sticha Finance Director