CITY OF ANOKA
ECONOMIC DEVELOPMENT COMMISSION
MEETING MINUTES
DECEMBER 8, 2016
Call to Order: Chairperson Kelly called the EDC meeting to order at 7:30 a.m. at Anoka City Hall, 2015 First Avenue North in the City of Anoka.
Roll Call: EDC Members present were: Jerry Cotten, Dr. Gene Dvoracek, Tracy Kelly, Gary Fahnhorst, Tom Redmann, Kelsey Swokowski (arrived at 7:40 a.m.), and Jessica Thunder (arrived at 7:45 a.m.). EDC members absent were: Andy Peterson. Staff present: Deputy Community Development Director Doug Borglund.
Approval of Minutes: MOTION BY COMMISSIONER REDMANN, SECONDED BY COMMISSIONER DVORACEK, TO APPROVE THE MINUTES OF THE OCTOBER 13, 2016 EDC MEETING, AS PRESENTED. MOTION CARRIED.
Mr. Borglund noted that there was a malfunction with the audio recorder and therefore there are not formal minutes. He stated that the agenda for the meeting will be used as the minutes as there were just items of discussion and no formal action was taken at the meeting.
MOTION BY COMMISSIONER DVORACEK, SECONDED BY COMMISSIONER COTTEN, TO APPROVE USE OF THE NOVEMBER 10, 2016 AGENDA AS THE MINUTES OF THE NOVEMBER 10, 2016 EDC MEETING, AS PRESENTED. MOTION CARRIED.
OLD BUSINESS: None.
NEW BUSINESS:
City Owned Liquor Store: Ms. Yager stated that the Council has just begun discussion of the City owned liquor stores, as Highway 10 will be updated by 2021 and access to the liquor store in that location will be lost. She stated that there will be an ongoing discussion of whether to relocate that liquor store and whether the City should stay in the liquor store business. She stated that the contribution to the parks department has been at least $70,000 per year but was reduced to $30,000 this past year in anticipation of possibly having to construct a new building if relocated. She noted that on the high end the liquor stores have contributed $300,000 to the parks department. She stated that in regard to the east liquor store that location is very small but has still been successful and therefore hopefully the new parking lot will allow additional parking. She noted that there is competition and therefore a lot of analysis will be done to determine the benefit. She stated that part of the analysis will include what would be gained through the sale of the buildings and putting those properties back on the tax rolls. She stated that if on the tax rolls the properties would generate anywhere from $11,000 to $30,000 which does not compare to the amount that is generated by the liquor stores. She stated that this year with the decrease in contribution from the liquor store there was an increased contribution from the water fund of $30,000 to the parks department and moving forward the water fund will contribute $40,000 per year. She stated that the contributions from the liquor store or water fund contribute to the park capital improvements, noting that the parks operation budget is funded through the general fund.
Commissioner Fahnhorst asked if the costs and revenues are all included or whether the City subsidizes the liquor stores.
Ms. Yager stated that the liquor store is completely profitable and does not receive subsidies.
Commissioner Cotten stated that he is close to the east liquor store and the property tax on his commercial property is about $38,000 and was curious the amount of taxes the liquor store property would receive.
Ms. Yager replied that the City only receives one third of the property taxes paid from a property.
Commissioner Cotten asked and received confirmation that the employees of the liquor store do receive City benefits. He stated that the prices are higher than other stores and therefore people may choose to shop elsewhere but noted that the liquor store may still get the walking traffic.
Ms. Yager stated that the positive spin is that the funds generated from the City liquor stores do go to the park improvements, which helps to keep the taxes down for the City residents.
Commissioner Thunder asked and received confirmation that the east liquor store is more profitable than the west liquor store.
Commissioner Fahnhorst noted that if the City closed the liquor stores there would be no guarantee that another liquor store would come into Anoka.
Commissioner Redmann suspected that when the City got into the liquor store business there were not big box stores and there was not competition. He stated that now people are traveling all over may buy a larger quantity at a big box store in order to save more money. He stated that he was not aware of the contributions that the liquor store makes to the parks and stated it may help to advertise to the public.
Ms. Yager noted that it is a large cost to build a new liquor store and therefore a lot of analysis needs to be done in order to determine if the business can remain profitable even with the cost for a new building. She stated that the market analysis identified Pleasant and 4th as a potential location for relocation of the liquor store. She noted that the site on Ferry Street near Highway 10 has already been sold and the old Vineyard site would not be ideal.
Ferry Street/Highway 169 Signage Update: Mr. Borglund stated that did look into this item as it had been mentioned previously. He stated that there are no projects planned in the corridor but noted that there was a study done by MnDOT regarding a potential overpass at the train tracks near the recycling plant.
Commissioner Dvoracek stated that he attended the neighborhood meeting and there was a lot of concern because of the height the overpass would need to be and the short distance they would have for the overpass. He stated that it seemed that perhaps that activity was stalled.
Mr. Borglund agreed that the City Manager had not received any recent updates.
Potential East Main Monument Sign: Mr. Borglund stated that the EDC worked on a monument sign plan for the community, looking into key entrance points, and noted that there will be an opportunity this next year when the County does a project on East Main Street. He noted that discussion has begun for that opportunity and the advised that the City will work with Federal on that as an easement would be needed.
2016-2017 EDC Goals and Accomplishments: Mr. Borglund stated that he has only been with the City for a portion of the year but did put together a list of accomplishments that he felt were things to be noted as well as some potential goals for 2017. He noted that the list is up for discussion and opened the floor to the Commission.
Chairperson Kelly briefly began to review the list of accomplishments for 2016 and asked for input on the Celebrate Anoka golf tournament.
It was noted that the event will need more participation from the City if it is going to continue and there are other methods that the golf course could use to generate funds for the Stout Foundation. It was the consensus of the Commission that rather than keeping that item as a goal for 2017, the Commission should aim to finish that discussion to determine if the event should continue or whether another avenue should be reviewed in order to contribute to the Stout Foundation. It was noted that while the golf tournament was a means to make the contribution, the two items are separate.
Commissioner Redmann noted that in the past the City had a bus tour that was part of business appreciation day that culminated in lunch and a golf event, but advised that did not occur this past year.
Mr. Borglund noted that the bus tour will take place in 2017.
Commissioner Redmann stated that it would be nice to have the Boards and Commissions on the same bus for the tour and then return to City Hall to have a roundtable discussion to discuss opportunities and challenges.
It was the consensus of the Commission that the golf tournament and the Gary Stout scholarship should remain on the January agenda for further discussion. It was noted that if the event is going to continue there should be additional background information gathered on Gary Stout to provide to local business owners that may not know who he is.
Chairperson Kelly continued to review the proposed list of achievements and goals.
Mr. Borglund provided updates on proposed development projects and recent sales of City owned land.
Chairperson Kelly continued to review the list of achievements for 2016 while Mr. Borglund provided follow up details to the items.
Chairperson Kelly reviewed the proposed goals for 2017 noting that the Commission did not do many business calls this year with the transition in staffing.
Mr. Borglund stated that in early 2017 he would need assistance from the Commission as to which businesses the group would like to hold business calls with during the year.
Chairperson Kelly stated that in January the subcommittee should be reestablished for the business call program. He stated that perhaps businesses that will have changes from the roadway and other developmental issues that have occurred should be focused on during 2017. He noted that throughout 2017 the goal of the Commission should be to review more thoroughly the items on the goal list to refocus. He continued to review the list of goals for 2017.
It was the consensus of the Commission to delete number four and replace with item seven.
Development Site Update: No comments made.
January Meeting: Chairperson Kelly noted that the goals will be reviewed at the meeting as well as a review of the by-laws; a discussion of Celebrate Anoka Day and the Gary Stout scholarship; and the appointment of Chair and Vice-Chair.
Mr. Borglund stated that some Commissioners are up for reappointment. He noted that there is a vacant position on the Commission and believed that there was an application and perhaps a new person would be joining the group. He reviewed some of the other actions that are completed or reviewed on an annual basis.
COMMUNICATIONS AND REPORTS:
Marketing and Communications Updates:
· Discover Anoka: No comments.
· ABLA – December 2016 Meeting: Mr. Borglund stated that the Grey Ghost run was very successful. He stated that the tree lighting occurred the past weekend and was also very successful.
MISCELLANEOUS:
Adjournment: The meeting was adjourned upon a motion by Commissioner Fahnhorst, a second by Commissioner Redmann, and a unanimous vote of those present at 9:05 a.m.
Amanda Staple, TimeSaver Off Site Secretarial, Inc.
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