HomeMy WebLinkAbout05 24 2018 BEC Agenda Packet FULL Business Engagement Committee
Meeting Agenda
Thursday, May 24, 2018
7:30 a.m.
City Hall, Wagon Bridge Conference Room
Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com
1. Call to Order
2. Approval of Meeting Minutes
a. April 26, 2018
3. Old Business
a. Marketing/Communication Material Update (verbal report)
4. New Business
a. BEC Liaison Visits
i. Street Construction Handouts
5. Other Business
a. EDA Meeting Update
i. EDA Business Plan
b. Residential and Commercial Activity Update
c. Staff Update
i. Joint EDA/BEC Meeting Reminder - Monday, June 11, 2018
d. Member Ideas/Recommendations
6. Next Regular Meeting Date
a. Thursday, June 28, 2018
7. Adjourn
1
4646 Dakota Street SE
Prior Lake, MN 55372
CITY OF PRIOR LAKE, MINNESOTA BUSINESS ENGAGEMENT COMMITTEE
MEETING MINUTES – April 26, 2018
1. Call to Order
The meeting was called to order at 7:31 a.m. in the Wagon Bridge Conference Room at Prior Lake City Hall.
Members present: Kim Prchal, Stephanie Carroll, Wade Larson, Tim Marco, Ron Martin and Sandi Fleck. Staff
present: Casey McCabe and Amanda Schwabe. Guest present: Tommy Hesch.
2. Approval of Meeting Minutes a. March 22, 2018
MOTION BY CARROLL and SECOND BY MARTIN to approve the March 22, 2018 meeting minutes.
Motion adopted unanimously.
3. Old Business a. Marketing/Communication Material Update
Schwabe reviewed the proposed enhancements to the existing City of Prior Lake website including the
creation of a new page and supporting information related to economic development
MOTION BY MARTIN and SECOND BY CARROLL to recommend expanding the existing economic
development information on the City of Prior Lake website as proposed. Motion adopted unanimously.
4. New Business a. BEC Liaison Visits - Timing & Topics
Prchal provided a brief overview of the commercial liaison area visit program.
McCabe explained that one of the benefits of the liaison area visit program is to provide information to
businesses in the areas on area projects.
Discussion followed regarding topics for 2018 commercial liaison topics including, but not limited to,
transportation improvements.
Prchal suggested development of a one to two-page construction project handout/flyer for use during
commercial liaison visits.
Carrol suggested incorporating information on a flyer on how a business owner can keep updated on what’s
happening in Prior lake.
Fleck shared that the Chamber of Commerce is hosting an event on May 16, 2018 to share ideas and
discuss how to thrive during road construction projects.
McCabe stated that the City Council has requested an RFP be assembled for a communication facilitator
to assist with keeping the public informed with weekly construction update.
Fleck offered to provide a link from the Chamber of Commerce to a flyer once developed.
Staff will work with communication facilitator once identified to get more information regarding the
communication materials that will be available for liaison visits.
b. BEC Bylaws
McCabe provided an update regarding the BEC Bylaws. He explained that the City Attorney reviewed the
bylaws and simplified them. The City Council has already approved the bylaws; however, changes can still
be made if needed.
McCabe provided clarifications on Section 203 and Section 210 regarding composition of the membership.
5. Other Business a. EDA Meeting Update
MCCABE provided an overview of the agenda topics from the April 9th EDA meeting.
b. Residential and Commercial Activity Update
BEC members received a copy of the residential and commercial activity update as of March 31, 2018.
c. Staff Update
MCCABE requested available dates for the next joint EDA/BEC meeting. It was determined that Jun 11th
is the preferred date and topic will be focused on what the City of Prior Lake can do during road construction
projects to promote business activity.
McCabe informed the committee that Mayor Briggs suggested inviting the owners of Boathouse Brewery to
an upcoming meeting to discuss their experience with opening a new business in Prior Lake. BEC
members agreed that inviting Boathouse Brewery to a future meeting was a good idea.
d. Member Ideas/Recommendations
None
6. Next Meeting Date.
The next regular meeting of the BEC will be on Thursday, May 24, 2018 at 7:30 a.m.
7. Adjourn.
MOTION BY LARSON and SECOND BY PRCHAL to adjourn the meeting. Motion adopted unanimously. The
meeting adjourned at 8:57 a.m.
Submitted by: Amanda Schwabe
4646 Dakota Street SE
Prior Lake, MN 55372
BUSINESS ENGAGEMENT COMMITTEE REPORT MEETING DATE: May 24, 2018 AGENDA #: 4.a. PREPARED BY: Casey McCabe, Community Development Director
AGENDA ITEM: BEC LIAISON VISITS – STREET CONSTRUCTION HANDOUTS
DISCUSSION: Introduction
The purpose of this agenda item is to provide BEC liaisons with additional information related to
street construction projects as they begin 2018 commercial liaison area visits.
History
One of the committee’s duties outlined in the BEC Bylaws is, “To serve as a liaison between city
government and the community through interaction with business leaders and community residents.”
To help accomplish this, the BEC has previously assigned some of its members to act as a liaison
to five specific commercial and industrial areas of the community. The role of the BEC liaison is to
help communicate City and BEC activities with business owners and provide an additional point of
contact for their questions and concerns.
Current Circumstances
One of the BEC’s goals for 2018 is to, “Continue to establish and define the commercial liaison
program.” The BEC commercial area liaison assignments for the commercial areas of the commu-
nity are below.
Downtown Area – Prchal / Petschl
Deerfield Business Park / Welcome Avenue Industrial Area – Carroll
Commerce Avenue / Fountain Hills Area – Larson / Tande
Village Commerce / South Lake Village Area – Martin / Briggs
Gateway Area – Marco
On May 16th the Prior Lake Chamber hosted their Monthly Membership Meeting and the topic was
‘How to Thrive Through Construction’. The attached handouts were provided to the Chamber Mem-
bers in attendance. The informational handouts would be valuable to share with all businesses in
our commercial areas.
Conclusion
The attached handouts have been added to the BEC Commercial Area Liaison folder on Dropbox.
City staff will print copies of the attachments for your liaison visits upon request.
FINANCIAL IMPACT: None.
ALTERNATIVES: ATTACHMENTS:
1. Discussion Only
1. Street Construction Handouts
ROAD CONSTRUCTION ALERTS
All road construction information
can be found on the City website
www.cityofpriorlake.com/streetprojects
All Scott County projects: www.ScottCountyMN.gov/roads
CH 42/TH 13 Project: http://scottcountymn.gov/1766/CH-
Notify Me (Alerts): http://scottcountymn.gov/list.aspx
42-and-TH-13-Intersection-Improvement
All state projects: http://www.dot.state.mn.us/roadwork/current.html
TH 13/CH 21 Prior Lake Downtown Improvement
www.movingforward13-21.com
2
Contents
A workbook filled with tools to help Minnesota
businesses thrive during road construction
Introduction.................................................................................................... 3
Planning ahead.............................................................................................. 4
Staying informed............................................................................................ 5
Handling traffic ............................................................................................... 6
Reducing traffic.............................................................................................. 8
Keeping customers informed.......................................................................... 9
Tips for businesses: how to survive road construction................................... 10
Worksheet: CHECKLIST & TIMELINE for business owners ........................... 11
Key contacts................................................................................................ 12
Conclusion................................................................................................... 12
Minnesota Department of Transportation
3
Introduction
A cartoonist once portrayed a lost tourist
asking a local resident for directions, to
which the laid back homeowner replied,
“Mister, you can’t get there from here.”
Little did the cartoonist realize that “You
can’t get there from here” would become
an idiom that’s repeated every time a driver
is lost, confused, or detoured by highway
construction.
The cartoonist did no favor for businesses
that rely on customers having an unimpeded
path to their doors. “You can’t get there
from here” became the convenient excuse
for shoppers to take their business
elsewhere.
You can get there from here
“You can’t get there from here” should be
stripped from our lexicon. It should be
replaced by a can-do attitude epitomized
by the children’s story “The Little Train
That Could.” It would be helpful to recall
the courageous attitude of the Pilgrims and
other immigrants who crossed treacherous
oceans to get here or pioneers who pushed
westward across mountains and plains to
find new homes in the West or Midwest.
They were not people easily intimidated by
challenge; they wouldn’t be intimidated
by today’s orange barrels at road
construction sites. The barrels would be
welcome beacons to safely guide them to
their destinations.
Deal with perceptions
Now, the reality check: Without a strong
motivation, it is human nature to avoid
orange barrels, barricades, Road Closed
signs, big trucks, earthmovers and other
indications of dusty, dirty construction
zones. The perception that “you can’t get
there from here” may be wrong. But this is
a case when perception is reality, and our
challenge is to deal with the perception and
to keep customers coming.
The Minnesota Department of
Transportation (Mn/DOT) recognizes that
businesses located in a work zone have
special needs. It’s critical that their
customers have access to business and that
they continue to patronize the businesses, in
spite of any road work inconvenience.
Mn/DOT helps these businesses in a variety
of ways and tries to help businesses to
help themselves.
This workbook is a compilation of
techniques that have been used successfully
in several Minnesota communities and in the
state of Wisconsin. It includes samples of
what others have done, and descriptions of
their efforts. It is offered to business and
community leaders as an idea source as they
plan for road construction closer to home.
This workbook includes an array of ideas
communities might implement, worksheets
to follow progress, and a timeline to check
off accomplishments as they are completed.
4
Planning ahead
Many highway construction projects have a
design phase of five or more years. This is
the time when Mn/DOT engineers, in
cooperation with local government officials,
plan the project, define the scope of what
will be accomplished, study the alternatives
available, evaluate the impacts on the
community or neighborhood, and design the
plans that a contractor will need to finish the
improvement. Occasionally, Mn/DOT hires
consulting engineering firms to design the
improvement, and sometimes to manage
its construction.
Throughout this design phase, Mn/DOT
holds periodic meetings with local officials
and citizens to hear their suggestions and
concerns. By the time the construction crew
rolls on-site, all of the design decisions have
been made. It's important, therefore, for the
business community to get involved early in
the design phase and stay involved
during construction.
Getting organized
The key to survival is bringing businesses
and the affected stakeholders together
early and working together to survive
economically while the infrastructure is
improved. A local chamber of commerce or
business association often becomes the
focal point as business people get organized.
A leader can be identified to represent the
business community to keep business
concerns in mind, to channel questions
or suggestions to Mn/DOT and to carry
information back to the businesses.
Sometimes, a smaller group or committee
is formed to specifically represent those
who are most affected by the construction.
Working cooperatively as a group has
advantages. Together, the business
community has the synergy to accomplish
more than its individual members could
accomplish on their own. Resources and
ideas can be pooled for the maximum
benefit. Working together saves time
and money in the long run.
5
Staying informed
Keeping the public informed about highway
projects and their impacts on citizens’ lives
is a key to public understanding, and
Mn/DOT uses a variety of techniques to
spread the message. It’s important for
businesses, as well as citizens, to understand
why a highway or bridge needs to be rebuilt,
the alternative solutions that were evaluated,
the efforts to ensure that negative impacts
are kept to a minimum, and why there may
be some inconvenience during repairs.
Businesses play a dual role in road
construction: first as citizens impacted by
road work; second working with Mn/DOT
to keep their customers coming and
minimizing inconvenience for customers
and drivers. Businesses and Mn/DOT
are truly “in this together,” united in
recognizing the need for road improvements
and the long-term benefits they will share
when the project is completed, and working
together to minimize any negative
consequences.
Businesses, not unlike the general public,
are more likely to endorse highway repairs
when they have all the facts early enough so
they can participate in the decisions, offer
suggestions and plan ahead. When they are
involved early, businesses tend to assume
some ownership for the improvement and
more optimistically face the challenges
during construction.
How to do it
As a business person, you can stay
informed by:
Attending public meetings during the
design phase and other meetings just
prior to construction.
Inviting Mn/DOT representatives to
discuss the project at your business
association or group meetings.
Sharing what you’ve learned with
other business people, using letters,
newsletters, ads and other techniques
to make the community more aware
of what’s ahead.
Staying in touch with the Mn/DOT
project manager, once construction
begins. Learn the project manager’s
name and phone number and where
the project field office is located.
Establishing a line of communications.
Call if you have questions. You may
identify one of your members as the
point person to collect questions and
concerns, to take them to the project
manager, and to bring back responses
and other information. When warranted,
the point person may wish to attend
periodic meetings between the project
manager and the contractors.
Identifying key business people to
whom Mn/DOT can mail or fax news
releases and project updates.
6
Handling traffic
Ideally, a contractor can repair or rebuild a
road more quickly and less expensively if all
traffic is removed during the work. But that
is not feasible many times if Mn/DOT is to
maintain access to businesses and minimize
the impacts on them or if an adequate detour
is not available.
When front access is critical, we
accommodate traffic in two ways:
Under construction but open to traffic
This alternative is used on high-volume
highways like the Interstate or on multilane
roads where one lane can be rebuilt while
traffic is restricted on the other, or for
resurfacing on low-volume roads where
suitable detours are not available and the
project can be done one lane at a time with
signs or flag persons to direct traffic.
Road closed to through traffic,
open to local traffic
“Through traffic” means those vehicles that
don’t have an origin or destination inside the
work zone.
Detour signs direct them to an alternate
route around the work zone. We usually
keep the detour length to a minimum,
making certain the road is in good condition
and capable of safely handling heavy traffic,
including trucks. An important consideration
is whether travelers can follow the
detour easily.
When a road is closed to through traffic, the
“through traffic” driver who does not have
an origin or a destination within the work
zone is subject to a traffic ticket.
“Local traffic” means those drivers who
do have an origin or destination within the
work zone. This includes people who need
access to their homes, their visitors,
businesses making deliveries or pickups,
school buses, emergency vehicles, business
owners, their customers and employees.
When someone needs access in the work
zone, we ask them to minimize their use of
the road. This can be done by using side
roads that intersect close to the destination.
The reason we restrict local traffic is
because the work zone may be filled with
dozens of trucks, earthmovers and other
equipment, all moving in different
directions. When local traffic is heavy, the
contractor needs to hire flag persons to
direct traffic and prevent collisions between
drivers’ vehicles and construction
equipment. The heavier the traffic, the
greater the danger of collisions, delays for
everyone, and cost.
7
Handling traffic
While the contractor is required to maintain
a safe and adequate path on which local
traffic can drive, the roadway may be
bumpy, dusty, or muddy. Occasionally, the
contractor may provide a temporary path
on gravel adjacent to the construction.
Sometimes, the road may be temporarily
closed to all traffic and only maintained for
emergency vehicles. It may be a few hours
or a few days, and Mn/DOT works hard to
keep that time as short as possible.
Important deliveries can be scheduled with
the contractor and the project manager.
Concrete pavement requires a “cure” time
of three to seven days, depending on the
amount of cement in the concrete. If access
is given to businesses during this time
period, it is necessary to provide a “gap” in
the pavement. Such gaps require the paving
contractor to stop operations, move the
paver ahead and restart the entire operation.
The contractor must then fill the gaps at a
later date.
Pavement gaps delay project completion,
compromise ride quality and increase costs.
Businesses may be approached by the
paving contractor to work with them to
eliminate the need for paving gaps. Without
paving gaps, contractors can pave nearly a
mile a day. With gaps, the production can be
cut in half or worse. That means overall
construction will take longer. The goal of
everyone is to get the project completed as
quickly as possible, at a reasonable cost.
Businesses may consider closing shop for
a few days to enable earlier project
completion. Or they may share gaps with
other businesses to reduce the number
of gaps.
8
Reducing traffic
Businesses and Mn/DOT walk a fine line
together, seeking to reduce traffic on the
highway under construction so that
contractors can complete their work
efficiently, quickly and safely, while
maintaining the traffic stream so that
customers and employees can reach the
businesses as easily as possible.
When four lanes are reduced to two lanes, or
when two lanes are narrowed to one, it
becomes essential to reduce traffic by a
significant amount. Even when the highway
capacity has been cut in half, diverting 10-
20 percent of the traffic to other routes can
keep the traffic stream workable for both
drivers and the contractor. That permits the
remaining 80-90 percent of the traffic to
flow through the work zone at a reasonable
speed and for drivers to reach businesses,
industries, and residences along the route.
Traffic is like an overflowing river: it takes
the path of least resistance. It may follow a
marked detour route. But most local traffic
spills onto nearby streets and roads with
which drivers are familiar, each driver
finding his or her own special way to
circumvent construction.
When the highway is being reconstructed
“under traffic,” Mn/DOT suggests drivers
use alternate routes.
How businesses can help reduce traffic
Here is a checklist of ways in which
business can help reduce traffic jams
during construction:
Tell your customers and employees
about traffic restrictions. Distribute
brochures, flyers and paycheck stuffers.
Inserts with regular customer billings
can be very effective.
Help your suppliers and their truck
drivers identify alternate routes to your
business or industry. Do this before
construction starts.
Consider routes for your outgoing
vehicles to avoid the work zone or
schedule shipments at nonpeak times.
Establish a company-sponsored carpool
or vanpool program, or encourage
employees to use existing programs.
Look into starting a company shuttle to
take employees to and from park-and-
ride lots at locations outside the
construction area.
Investigate flextime or four-day work
weeks that reduce employee travel
during rush hours from 7 to 9 a.m. and
3 to 6 p.m. weekdays.
Consider telecommuting or other
strategies that allow employees to work
at home.
9
Keeping customers informed
Drivers who are well informed about road
construction tend to be “happy campers,
inconvenience notwithstanding. They under-
stand why the improvement is desirable.
They know about construction before they
leave home, rather than being surprised by
the sudden appearance of barricades, orange
barrels, and Road Closed signs. They’ve
been told about roads that are closed or
restricted; they follow and sense the
construction progress being made; and
they've given some thought to other ways
around construction either by studying the
map or checking out possible alternate
routes on their own rather than fuming in
frustration as their vehicles sit in a long line
of stop-and-go traffic.
Mn/DOT has stepped up the flow of road
work information to the public. We use
changeable electronic message signs to
advise drivers when delays are expected and
to safely steer them through or around
construction zones. Communications
professionals use a variety of techniques to
inform drivers about projects, their value to
the public, and traffic detours or restrictions
that might affect the public. News releases
provide valuable background information to
news media. News stories and interviews
with TV, radio and newspaper reporters can
be set up. Major projects with significant
traffic impacts warrant brochures, generally
with maps, that clarify the work ahead,
detours, and alternate routes. Telephone
recordings are used to bring inquiring
drivers up to date. And the Public Affairs
Coordinator in each of Mn/DOT’s eight
districts statewide is a convenient, available
information source for drivers needing help.
How businesses can keep the
customers coming:
Mn/DOT may permit businesses to have
directional signs in construction zone.
Contact the project manager to make
certain that the sign you contemplate
complies with Mn/DOT guidelines.
Use simple maps to tell your customers
about the best alternate routes to reach
your business. Post them on your doors
and bulletin boards, insert them into
billings and other mailings and
distribute them to your customers. Be
especially mindful of customers who
come a long distance and may be
unfamiliar with local streets and roads.
Let the public know that you’re open for
business. Develop ads for newspaper,
radio or television. Pool your resources
for group advertising. Advertising
cooperatively can be very cost-effective.
Brainstorm for innovative ideas to
promote your businesses.
10
Tips for businesses:
how to survive
road construction
Here are some basic actions business
owners can take to help survive roadway
construction:
Plan ahead as much as possible; get
involved early. A year is not too far
ahead to begin organizing and planning.
Form an alliance with other businesses
in your locale.
Attend public meetings to stay
informed. Have knowledge of the
project. Contact Minnesota Department
of Transportation to voice your
concerns.
Hold frequent and regular meetings
with other businesses for support and
strategies. Write down your fears
and questions for discussion.
Pool resources to purchase
group advertising.
Hold a pre-construction meeting with
the Mn/DOT project manager and
contractor to find out how long the
project will take, what to expect, i.e.
dirt, mud, ground shaking, etc.
Meet the on-site project manager.
Keep his/her telephone number in
a handy place.
Establish a line of communication with
the project manager. Project managers
coordinate with the contractor.
Brainstorm for innovative ideas
to promote your business and to
communicate with customers:
Hold events prior to construction
start-up to draw attention to the area.
Work with the Mn/DOT Public
Affairs Coordinator to plan
groundbreaking activities.
Design a logo for use by all
affected merchants during the
construction period.
Hold special promotions such as free hot
dogs and pop, or a one-day sign-up in
parking lot for a free vacation.
Print placemat advertisements.
Place advertisements in outlying
newspapers.
Plan hard-hat promotions—some for
sale, some as giveaways.
Sell hard-hat lunches to go.
Schedule a grand finale—work with the
Mn/DOT Public Affairs Coordinator to
plan ribbon cutting ceremonies; plan
street dance, t-shirts, prizes.
_______________________________
_______________________________
_______________________________
_______________________________
11
¥¥Worksheet CHECKLIST & TIMELINE for business owners
Form an association of businesses that will be affected by the construction project. Let the
Mn/DOT district office know the name and address of your organization’s primary contacts.
Attend first meeting with Mn/DOT project development staff responsible for project design.
Discuss project schedule, question and answer session.
Form committees for advertising, promotions, signing, special events, etc.
Committees: Members:
Develop and implement promotional campaign.
Adopt theme.
Delegated to:_________________________________ Due by:__/__/__
Design and produce newspaper, television and radio advertisements.
Delegated to:_________________________________ Due by:__/__/__
Brainstorm and produce additional promotional materials.
Delegated to:_________________________________ Due by:__/__/__
Plan special events.
Delegated to:_________________________________ Due by:__/__/__
TASK - 3 to 6 months ahead
Attend second meeting with Mn/DOT staff.
Discuss project schedule, question and answer session.
Meet Mn/DOT project manager, who is responsible for construction, and with the
prime contractor.
TASK - 1 month ahead
Meet Mn/DOT project manager and contractor.
Discuss project schedule.
Construct roadside signs needed to guide drivers to parking and business accesses.
Arrange for erection of signs to coincide with the start of any detour.
Distribute final promotional materials.
Delegated to:_________________________________ Due by:__/__/__
TASK
Attend construction business meetings held throughout the duration of the project.
Continue committee work.
12
Contact Us
Central Minnesota – MnDOT District 3
Contact JP Gallach at 218-828-5706, or you may peruse key contacts on our website at
www.mndot.gov/d3.
Stay Informed and Involved
Statewide roadwork: mndot.gov/roadwork/current
Central Mn roadwork, projects: mndot.gov/d3/construct.html
Central Mn twitter news feed: Twitter.com/MnDOTcentral
Subscribe to project email updates: www.mndot.gov
Conclusion
We hope this workbook helps you to keep your business, and the other businesses in the construction
zone, healthy and thriving throughout the construction period. Your customers will appreciate your
special attention to them and will keep coming back for years to come. When the project is done, both
you and your customers will look at the new road or bridge as a definite improvement. The temporary
inconvenience will be just that —temporary. But the new road or bridge will last.
4646 Dakota Street SE
Prior Lake, MN 55372
BUSINESS ENGAGEMENT COMMITTEE REPORT MEETING DATE: May 24, 2018 AGENDA #: 5.a. PREPARED BY: Casey McCabe, Community Development Director AGENDA ITEM: EDA MEETING UPDATE
DISCUSSION: Introduction
The EDA held a special meeting on April 30, 2018 to discuss the EDA 2018 Business Plan and a
funding proposal for the City Council.
Conclusion
Updates of EDA activity related to the above listed topic, including the EDA Business Plan, will be
presented to the BEC during their May 24th meeting.
ISSUES: Update Only.
FINANCIAL
IMPACT:
None.
ALTERNATIVES:
ATTACHMENT:
Update Only.
1. EDA Business Plan
Page 1 of 7
PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY (EDA)
2018 BUSINESS PLAN
April 30, 2018
EDA Commissioners: EDA Staff:
David Chromy (President) Frank Boyles, Executive Director
Annie Sheehan-Kerber (Vice-President) Casey McCabe
Zach Braid Amanda Schwabe
Marie Boucher-Hoese Cathy Erickson, Treasurer
Kirt Briggs
Purpose
The City of Prior Lake is fortunate to have an active and entrepreneurial entity, known as the
Economic Development Authority (EDA), focused on creating a desirable environment to
attract and grow businesses which will expand and diversify the city’s tax base and employment
opportunities. This business plan describes the framework for the EDA to accomplish the city’s
economic development initiatives.
The mission of the City of Prior Lake, as stated in 2040 Vision and Strategic Plan, “is to enhance
the quality of life for citizens by providing quality services which result in a safe and healthy
community; recreation and leisure opportunities; preservation and effective use of lakes, parks
and other natural resources; economic vitality; and the promotion of partnerships, volunteerism
and civic pride.”
This business plan establishes guidelines and criteria regarding the use of EDA Special
Revenue Fund to achieve economic development initiatives of the City of Prior Lake and
objectives of the EDA. These guidelines and criteria are in addition to the requirements and
limitations set forth by provisions of Minnesota Statute 116J.993 – 116J.995 (“MN Business
Subsidy Law”) and City of Prior Lake policies and guidelines with respect to any form of
subsidy.
Prior Lake encourages thoughtful and orderly economic and community development to
provide retail and services for our residents, create employment opportunities through retention
and expansion of existing businesses and attraction of new businesses , ensure high quality
residential and business development, and build a strong and diverse tax base. The
fundamental purpose of this plan is to guide the EDA as it develops and implements strategic
initiatives in 2018 and beyond to 2020, 2030 and 2040, and to encourage desirable
development or redevelopment within our community that may not otherwise occur.
Page 2 of 7
EDA Purpose (Bylaws)
The business of the Economic Development Authority shall include but not be limited to
promoting growth, development and redevelopment of retail, commercial and industrial
properties in Prior Lake; diversifying the City’s tax base; providing tools and incentives to
achieve the Economic and Community Development Vision Element in the City‘s 2040 Vision
and Strategic Plan; and providing an incubator to generate ideas and initiatives to support
economic growth and vitality.
EDA 2017 Accomplishments & 2018 Goals
2017 EDA Accomplishments
• Commercial/Industrial Development
o The EDA enjoyed an extremely successful year of commercial/industrial
development, in which Prior Lake saw the opening of the Grainwood Senior Living
facility and issuance of building permits for the construction of the Prior Lake Revival
project, Select Space Storage, Blahnik Law Office, Universal Motors, SDDI Signs,
Boathouse Brothers Brewery, Port City Bakery, as well as recommending a
redevelopment assistance agreement for PLate on Main.
• Communication and Collaboration
o The EDA emphasized communication and collaboration between committees by
holding joint meetings with the BEC, Planning Commission, and City Council related
to land use, 2040 Comprehensive Plan updates and the appropriate use of business
incentives.
• Land Use Related Activities
o Assisted the Planning Commission and City staff in the review and update of the
Land Use and Housing chapters of the 2040 Comprehensive Plan update which
resulted in the removal of the 50% building addition restriction in the Transit ional
Town Center Use District and identification of key areas for future commercial
growth.
2018 EDA Goals
• Work with downtown stakeholders (residents, current and potential business owners,
etc.) toward an integrated construction and financing plan for streetscaping and building
construction/remodeling to maintain and encourage the economic vitality of downtown
businesses through the TH13/CR21 corridor improvement project and facilitate future
downtown development.
• Establish a process and plan to target resources for economic opportunities that provide
significant benefits to Prior Lake, including those that may include property acquisition
and direct support to commercial and industrial development.
• Continue to guide the Business Engagement Committee and support the Technology
Village Board of Directors as they implement the recommendations of the Phase II.5
Technology Village Business Accelerator Plan, including expansion opportunities within
Scott County.
• Explore opportunities to identify, assist and encourage commercial and industrial
development along the CH21 and CH42 commercial corridors.
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• Conduct an annual meeting each with the Scott County CDA First Stop Shop, the Prior
Lake City Council, the Prior Lake Planning Commission and Technology Village Board
of Directors as well as quarterly meetings with the Business Engagement Committee to
promote partnerships and collaboration.
2040 Vision & Strategic Plan Goals
Short and Mid Term goals identified under the Economic and Community Development
Strategic Element of the 2040 Vision and Strategic Plan include:
1. SHORT: Complete update of Orderly Annexation Agreement or implement agreement “as
is.”
2. SHORT: Complete graphic of Downtown based upon the Downtown Development Guide
to communicate anticipated evolution of the downtown area.
3. SHORT: Take actions to encourage tourism in accordance with River South objectives.
4. MID: Complete studies to update all development fees contemporaneously with 2040
Comprehensive Plan Update.
5. MID: Facilitate concentrated commercial growth at County Road 13 / County Road 42,
County Road 21 / County Road 42, (Jeffers Waterfront), County Road 21/Highway 13
(South Lake Village), Adelmann /County Road 21 (Deerfield Business Park) and County
Road 42/ Pike Lake (Vierling Property).
6. MID: Complete update of comprehensive plan utilizing staff resources for land use and
SCALE resources for transportation.
7. MID: Repave Colorado Street parking lot in conjunction with TH13/CR21/Main/Arcadia
improvement project.
8. MID: Address on-street parking issues in Charlie’s on Prior area.
9. MID: Incorporate enhanced parking facilities where they are demonstrated to be
necessary to facilitate commercial development in the community.
10. MID: Extend Arcadia Street as primary downtown southern access and improve wetland
trails together with the watershed and/or UMN upon development of Gross Property
2018 EDA Initiatives and Implementation Plan
The following actions have been identified by the EDA as 2018 key initiatives . All initiatives
work together to support a business community that is focused on technology, job creation,
diversification of tax base and Prior Lake’s strengths in entertainment and recreation.
1. Special Revenue Fund Economic Development Initiatives.
Periodically the EDA will request that the City Council allocate funds from the Prior Lake
General Fund (Fund 101) to the EDA Special Revenue Fund (Fund 240). The EDA will
utilize funds from the EDA Special Revenue Fund to accomplish the following economic
development initiatives in 2018 and beyond. Initiatives include but are not limited to: i)
property acquisition; ii) storefront rehabilitation; iii) direction and promotional signage such
as banner poles, visitor kiosks, or wayfinding signage; iv) economic development and
redevelopment loans and incentives; v) new business attraction through website
enhancements and marketing; vi) efforts to facilitate commercial development and
redevelopment; and vii) enhancing the character of commercial areas.
Page 4 of 7
2. Technology Village Business Accelerator. Technology Village opened in January 2013 on
the main floor of Prior Lake City Hall within a previously underutilized office space of
approximately 2,000 square feet. Initiating the program in the existing city hall building
helped minimize start-up costs and allowed for the shared use of services already in place
serving City of Prior Lake staff, including; internet, phone, meeting space, cafeteria/break
room, etc. The office space within city hall also provided the added locational benefit of
allowing the program participants to be near city staff who administer the day-to-day
program operations.
The Technology Village Board of Directors developed a ‘virtual’ participant program in 2016.
The virtual program is designed to provide support to emerging technology and professional
service businesses located in Prior Lake, or throughout Scott County, which are not
physically located in the designated Technology Village space. The virtual program
provides an opportunity for businesses, which may be home -based or are already
established in an office space, to participate and benefit from the Technology Vi llage
Business Accelerator program.
In 2018, the EDA will focus on shifting the Technology Village program from a City of Prior
Lake program into a county-wide model, which will be managed by First Stop Shop staff
within the Scott County CDA.
3. Targeted Areas for Development. The EDA will help facilitate commercial development in
three targeted areas around highway intersections, including: (i) CH 21 / TH 13; (ii) CH 21
/ CH 42; and (iii) CH 42 / TH 13. It will also help facilitate full development of the remaining
lots within the 50-acre Deerfield Business Park and maximize development potential within
the 40-acre Welcome Industrial Park. Redevelopment opportunities also exist in certain
locations, such as Welcome Avenue and downtown Prior Lake.
4. Downtown Parking. In 2015, SRF Consulting Group completed a Downtown Parking
Analysis. The purpose of the study was to build upon previous parking studies by identifying
downtown sites that will best accommodate future public parking demand, including
structured parking facilities.
Prior Lake is fortunate to not only have very little downtown vacancy, but the downtow n is
also seeing some significant commercial development and redevelopment activity. With
the increased activity and occupied storefronts, convenient municipal parking stalls will
become more difficult to locate. The EDA will review the Downtown Parking Analysis and
determine which short, mid and long-term implementation steps should be pursued.
5. Commercial Activity During Construction. Prior Lake will see some significant road
improvement projects in 2018 and 2019 along key transportation networks. The EDA will
work with commercial businesses and stakeholders in these areas, as well as the Chamber
of Commerce, Business Engagement Committee and other groups to maintain and
encourage the economic vitality of our businesses before, during and after these
construction projects.
Page 5 of 7
Unique Challenges for Prior Lake
1. Historical Investments in Commercial/Industrial Development. The city has invested much
of its public resources in supporting a healthy and vibrant residential lake community, which
has been very successful. Residential property values are well above average as a result,
but the total market value of commercial/industrial (C/I) property is below average. For
example, Prior Lake’s payable 2019 estimated market value for commercial/industrial
property is 3.55% of total. This amount is low when compared to commercial/industrial
values in Savage at 12.72% or Shakopee at 24.72% of total.
2. Direct Access to Major Principal Arterial Transportation Systems . Prior Lake’s location
outside of the metro’s major highway system results in limited access to Interstate, US and
State Highways. Although Prior Lake has convenient access to the major transportation
corridors, businesses look elsewhere when highway access a top priority for them. In
addition, rail service is absent in Prior Lake. Important improvements have occurred
recently on County Highway 21 north and east, resulting in much better access to and from
Prior Lake and additional transportation improvements are planned along Hwy 13 and CH21
which will improve access. Prior Lake does have access to a high -speed fiber network
which the city has taken advantage of through a cooperative project with Integra. Through
this effort, fiber was made available to the city’s various commercial/industrial areas to help
compensate for the lack of highway and rail infrastructure.
3. Pad-Ready Commercial/Industrial Sites. Prior Lake has a healthy overall supply of property
guided for commercial, business park, and industrial development. However, not all of this
land is ‘pad-ready’ for development. Prior Lake has approximately 56 acres of vacant
commercial property with 36 acres being pad-ready or near pad-ready (64%). The city has
approximately 50 acres of vacant business park/industrial property with 25 acres being pad-
ready or near pad-ready (50%). This land supply is insufficient to accommodate the
increased commercial and industrial development anticipated in the Commercial and
Industrial Demand Analysis, completed by Maxfield Research. The Comprehensive Land
Use Plan, which is currently being drafted by city staff, will dedicate additional commercial
and industrial land for future development.
4. Direct Business Connection or Link to the Lakes. Prior Lake is known for its fourteen lakes,
parks and many recreational opportunities, which are extremely important assets for city
residents. However, there is very little connection between these assets and the business
community. With one restaurant and few commercial marinas located here, Prior Lake
could benefit from additional commercial opportunities related to its lakes and recreation.
Summary of Funding Needs and Resources
Budget Premise: The following key premises are accepted by the EDA for future budgeting:
➢ Support one-half of the Community Development Director position.
➢ Support one-half of a City Planner position.
Page 6 of 7
➢ Provide other necessary operational expense support (e.g., legal, communications,
training).
➢ Utilize professional services to move certain initiatives forward to implementation.
➢ Maintain a reserve balance allowing the EDA to be entrepreneurial in assisting C/I
growth.
2017 EDA Budget
Budgeted Expenditures Budgeted Revenues
$125,041 Personnel Services $140,000 EDA Levy
$26,284 Operational Expenses $2,500 Interest Earnings
$9,500 Technology Village $8,500 Technology Village Leases
$160,825 Budgeted Expenditures $9,825 EDA Reserves
$160,825 Budgeted Revenue
Actual Expenditures Actual Revenues
$94,231.41 Personnel Services $139,357.85 EDA Levy
$2,930.06 Operational Expenses $1,523.12 Interest Earnings
$1,335.61 Technology Village $8,292.53 Technology Village Leases
$98,497.08 Actual Expenditures $0.00 EDA Reserves
$149,173.50 Actual Revenue
Unrestricted EDA Special Revenue (Reserve) Fund Balance as of 12/31/17 = $200,962.
2018 EDA Budget
Budgeted Expenditures Budgeted Revenues
$117,453 Personnel Services $140,000 EDA Levy
$28,324 Operational Expenses $2,700 Interest Earnings
$7,820 Technology Village $7,820 Technology Village Leases
$153,597 Budgeted Expenditures $3,077 EDA Reserves
$153,597 Budgeted Revenues
Measuring Success (Metrics)
The EDA will track performance measurements that allow reporting on important aspects of its
services, programs and processes. To measure progress toward achieving the objectives
identified in this plan, the following metrics will be used:
• Track building permits issued for commercial/industrial projects.
• Track residential permits and remaining lot inventory.
• Track lease inventory of available commercial/industrial building space.
• Track change in commercial/industrial market value using County data.
• Track the number and acreage of pad-ready commercial/industrial sites.
Page 7 of 7
INTENT TO RETAIN FLEXIBILITY
The EDA will work to prioritize those projects that, in the EDA’s judgment, will address the most
pressing public purpose. Because it is not possible to anticipate every type of project that may
provide benefit to the City of Prior Lake, the EDA shall retain the option to amend or waive
sections of this plan when it is determined to be necessary and/or appropriate.
This business plan will provide guidance regarding the criteria the EDA will use in evaluating
certain initiatives; however, whether a project meets the criteria and serves the City’s present
needs shall be the EDA’s decision. The guidelines are instructive only and do not have the
force of law. If the EDA finds that its present needs require one project to be given priority over
another, then the EDA’s judgment will ultimately prevail.
It is the intent of the EDA to provide funding to achieve these econom ic development initiatives
in the most limited fashion possible to assure the initiatives are achieved. This process is
inherently subjective, and whether an initiative is funded or achieved may be as much a function
of the EDA’s budget as the merit of the project or initiative.
FUNDING SOURCES
Funding to achieve the economic development initiatives identified within this plan is available
within the EDA annual budget and the EDA Special Revenue Fund. The EDA Special Revenue
Fund has an unrestricted fund balance of $200,962 as of 12/31/2017. In addition, the Prior
Lake City Council has provided $300,000 of General Fund Reserves to the EDA Special
Revenue Fund to pursue these initiatives.
The EDA will attempt to identify sustainable sources of revenue for future consideration by the
City Council. Potential sources of revenue that the EDA will explore, in addition to general fund
reserves, include, but are not limited to a redirection of fiscal disparity funds to the EDA, the
transfer of revenue generating properties form the City of Prior Lake to the EDA, or an increase
in the EDA levy.
Comprehensive Financial Management Policy
In conformance with the Comprehensive Financial Management Policy, the EDA will strive to
maintain a fund balance within the EDA Fund to meet both anticipated and unanticipated future
economic development needs. The EDA will maintain a reserve balance at a level which takes
into consideration, i) professional services; ii) significant funding which may be required for
acquisition of land for development opportunities; iii) potential relocation costs or legal costs
attributable to economic development actions; iv) anticipated or unanticipated environmental
concerns or impacts; and v) cash flow for a minimum of six (6) months of projected operating
expenditures.
ANNUAL REPORTING
The EDA will submit an updated Business Plan to the City Council annually which details the
previous year’s activities and provides an accounting of how EDA f unds were spent to achieve
the identified initiatives during the prior year.
4646 Dakota Street SE
Prior Lake, MN 55372
BUSINESS ENGAGEMENT COMMITTEE REPORT MEETING DATE: May 24, 2018 AGENDA #: 5.b. PREPARED BY: Casey McCabe, Community Development Director AGENDA ITEM: RESIDENTIAL AND COMMERCIAL ACTIVITY UPDATE
DISCUSSION: Introduction
Staff has prepared a development update as of April 30, 2018, for BEC review. The attached mem-
orandum provides a summary of commercial and industrial development and residential construc-
tion in the City of Prior Lake.
ALTERNATIVES:
RECOMMENDED
ALTERNATIVE:
ATTACHMENT:
Information Only.
Information Only.
1. Development Update
Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com
Memo
Date: May 21, 2018
To: City of Prior Lake Business Engagement Committee
From: Casey McCabe, Community Development Director
Subject: Residential & Commercial Activity Update
Below is an update of residential and commercial development in the City of Prior Lake as of April 30, 2018.
Number of
Permits
Declared
Value
Number of
Permits
Declared
Value
Number of Permits
% Increase / (% Decrease)
Declared Value
% Increase / (% Decrease)
Single Family Dwellings 30 $12,111,000.00 20 $6,802,000.00 50.00 78.05
Townhouses (# units)12 $2,048,000.00 0 $0.00 1200.00 ###
Multiple Units 0 $0.00 0 $0.00 n/a n/a
New
Commercial Industrial & Commercial 0 $0.00 0 $0.00 n/a n/a
Residential 169 $2,173,300.00 210 $1,092,157.00 (19.52)98.99
Industrial & Commercial 8 $1,124,900.00 1 $500.00 700.00 ###
Mechanical 183 $0.00 179 $0.00 2.23 n/a
Mechanical (SF & TH)120 $0.00 72 $0.00 66.67 n/a
TOTALS 522 $17,457,200.00 482 $7,894,657.00 8.30 121.13
t Mechanical permits include but are not limited to furnaces, water heaters, softeners, and fireplaces. They are flat-rate permit fees.
Increase / (Decrease)2018 Year to Date 2017 Year to Date
New
Residential
Additions
and
Alterations
tt Mechanical (SF & TH) permits include required plumbing, heating, sewer and water and fireplace permits for new single family residences They are flat-rate permit fees