City of Moorhead Economic Development Authority
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- Annice Arnold
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1 City of Moorhead Economic Development Authority Meeting Agenda December 03, 2018 at 11:45 AM 1st Floor, Council Chambers, Moorhead City Hall ITEM REMARKS 1. Call meeting to Order / Roll Call 2. Agenda Amendments 3. Approve Minutes A B October 12, Planning Session October 22, Regular Meeting 4. Citizens Addressing the Board 5. Commissioners' Reports 6. Economic Development Report 7. EPIC Management - 4th Street Proposal Legislative Program - Lisa Bode, Governmental Affairs Director Professional Service Agreement - GFMEDC 10. Discuss Change in 2019 Regular Monthly Meeting Schedule and Next Meeting Date 11. Information / Update A Building & Permit Valuation Report - October 12. Adjourn Upon request, accommodations for individuals with disabilities, language barriers, or other needs to allow participation in Economic Development Authority meetings will be provided. To arrange assistance, call the City Clerk s office at (voice) or 711 (TDD/TTY). Visit our website at
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3 Moorhead Economic Development Authority STRATEGIC PLANNING SESSION October 12, 2018 at 11:00 AM Oak Room, Hjemkomst Center, st Ave N Roll Call: Nate Anderson, Michael Burns, Violet Deilke, Heidi Durand (11:20 am), Charley Johnson, Wyatt Johnson, Pat Kovash, Marsha Weber, and Del Rae Williams (alternate) Others Present: Derrick LaPoint, Dan Mahli, Amy Thorpe, Christina Volkers WORKING AGENDA 1. Introductions and Purpose Chris Volkers, City Manager - 11:07 am 2. History and Role Clarification John Shockley, City Attorney a. Enabling Act Attachment b. Enabling Resolution- Attachment c. Bylaws- Attachment d. EDA Mission The Authority s mission and role shall be business development, communications and outreach. 1 e. Other Minnesota EDA Missions & Visions Attachment Minutes: John Shockley, City Attorney, provided background and history of EDAs. Three core functions: 1. Business retention; 2. Business development; and 3. Voice for business. EDAs have a lot of flexibility for developing programs. Be creative. The first answer to business should never be no. 3. Strategic Planning a EDA Strategic Planning Attachment Minutes: Reviewed materials from 2017 planning session. b City Council Strategic Planning Economy Strategic Initiative Attachment Minutes: Reviewed the City Council s Strategic Initiatives (draft) as found in the packet materials. 1 Section VIII. Mission Statement: Enabling Resolution Granting Certain Powers to and Renaming the Moorhead Housing and Redevelopment Authority
4 Moorhead Economic Development Authority 4. How does the Board Support the Mission and Vision of the EDA? a. Be Community Advocates and Supporters of Economic Development Policies and Opportunities Minutes: Discussed opportunity to attend ribbon cuttings. EDA members should understand the tools and programs the City has to offer so they can be community advocates. b. Outreach & public input such as website, Facebook, Twitter, LinkedIn, and Constant Contact Increasing community engagement with the EDA Increasing board member engagement Minutes: Consolidate social media accounts. EDA could establish a Facebook marketing budget to boost Economic Development related posts. Need to address the websites. One website or both? c. Review, Discuss, and Adjust Economic Development Policies and Programs Façade Loan Program, Start-Up Moorhead (business plan competition), and other events/initiatives Provide Recommendation to City Council Minutes: Review Façade Loan Program and Start-up programs and make recommendations. Consider new program to retain business of 11 th street business who may be displaced by the underpass project. Business owners said that property values have been lowered and they are concerned about that in regards to lower buy-out values. d. Review, Discuss, and Adjust Tax Incentive Projects Specifically TIF, Renaissance Zone, and others Minutes: The EDA will be noticed of applications for incentive programs including Commercial-Industrial, Multi-Family Residential, and Restaurant Tax Incentives. EDA does not need to provide a recommendation or take action on these projects because there is no criteria to review. The EDA will be noticed and will provide a recommendation to the City Council for Renaissance Zone and Tax Increment Financing projects. e. Use the EDA Tax Levy, Reserves, and Load Fund as Economic Development Leverage Land Acquisition, Infrastructure, and Accelerate Development f. Other?
5 Moorhead Economic Development Authority 5. What does the EDA want to focus on over the next months? a. Recap 2018 Priorities from 2017 EDA Strategic Planning b. Priorities for 2019 c. EDA vacancy and membership Attachment Meeting adjourned at 1:17 pm.
6 City of Moorhead Economic Development Authority Meeting Minutes October 22, 2018 at 11:45 AM 1st Floor, Council Chambers, Moorhead City Hall Pursuant to due call and notice thereof, a regular meeting of the Economic Development Authority was held in the 1st Floor, Council Chambers, Moorhead City Hall, on October 22, 2018, at 11:45 AM. Roll call of the members was made as follows: Board Member: Nate Anderson Present Board Member: Michael Burns Present Board Member: Vacant Position Absent Board Member: Violet Deilke Present Council Member: Heidi Durand Present Council Member: Chuck Hendrickson Present Board Member: Charley Johnson Present Board Member: Wyatt Johnson Present Board Member: Pat Kovash Present Board Member: John Rogalla Present Board Member: Marsha Weber Present Joined at 11:56 am Others Present: Derrick LaPoint, Downtown Moorhead Inc. Dan Mahli, Assistant City Manager Amy Thorpe, Economic Development Program Administrator 1. Call meeting to Order / Roll Call 2. Agenda Amendments Minutes: None 3. Approve Minutes A September 24, 2018 Motion to Approve made by Pat Kovash and seconded by Nate Anderson Motion Passed: For: 9; Against: 0; Abstain: 0; Absent: 2 4. Citizens Addressing the Board Minutes: None 5. Commissioners' Reports Minutes: Kovash reported on upcoming MBA 560 Connect at Legends Sports Bar & Grill on 10/23/2018, Let's Talk Business - Trollwood Performing Arts on 10/24/2018 at 7:00 a.m., and Diversity Job Fair on 10/24/2018 at 10:00 a.m. the Moorhead Center Mall.
7 Moorhead Economic Development Authority Minutes from October 22, 2018 Page 2 of 3 6. Executive Committee Appointment - Charley Johnson Minutes: Chair Johnson appointed Wyatt Johnson to the EDA Executive Committee. 7. Commercial-Industrial Tax Incentive Policy - Dan Mahli Minutes: Mahli summarized two options for providing a property tax exemption for commercialindustrial properties in areas outside the Moorhead Renaissance Zone as found in packet materials. Commissioners had detailed discussion. Motion to Approve Recommendation made by Chuck Hendrickson and seconded by Violet Deilke Recommend City Council approve Option 2 Two-tier Incentive for the Commercial-Industrial Property Tax Exemption as found in packet materials and allowing the current policy to remain in place until March 31, Motion Passed: For: 10; Against: 0; Abstain: 0; Absent: 1 8. Downtown Plan - Derrick LaPoint Minutes: LaPoint provided background information regarding downtown master plans completed in other communities such as Grand Forks and Fargo stating that to obtain a quality plan, it may cost more than the $60,000 previously committed by the EDA. He made a request to expand the budget to $100,000 to be paid to Downtown Moorhead Inc. to engage a third party consultant to study and prepare a comprehensive Downtown Master Plan. Mahli added community buy-in is important and adds to the quality of the plan but that public engagement also adds significant cost. Commissioners had detailed discussion. Motion to Approve made by Wyatt Johnson and seconded by Heidi Durand Motion to Release $60,000 from reserves to Downtown Moorhead Inc. to engage a third-party consultant to complete a Downtown Master Plan. Motion Passed: For: 10; Against: 0; Abstain: 0; Absent: 1 9. Economic Development Update - Derrick LaPoint Minutes: LaPoint provided an update of economic development activities as provided in packet materials. 10. Information / Update Minutes: Rogalla reported that the gas station across from the former Sam's Club will be removed very soon. He stated that city officials attempted to purchase the station for a refueling station on the south side of town but that Walmart representatives were not receptive stating that, in the last 18 years, no party has ever agreed to sign the Hold Harmless Agreement. A B GFMEDC Activity Report - September Building & Permit Valuation Report - September 11. Adjourn Minutes: Meeting adjourned at 12:52 p.m.
8 Moorhead Economic Development Authority Minutes from October 22, 2018 Page 3 of 3 APPROVED BY: ATTEST: Charley Johnson Chair Marsha Weber Secretary The proceedings of this meeting are digitally recorded and are available for public review. Respectfully submitted by: Amy Thorpe, Economic Development Program Administrator
9 December 3, 2018 Economic Development Report Derrick LaPoint General There have been many meetings with the community, developers and the business community. It has become clear that there is an opportunity to provide clear and concise property tax exemption information. Amy and I have been working closely to determine what the best steps are moving forward. Points of discussion have included marketing, website clarity and social media consolidation. This topic was discussed at length at the EDA Planning Session and I believe clarity is needed. Having an updated website is so important because it is the shopping cart for the development community. If this is outdated and confusing, we all lose. I think updating only one website and consolidating the social media platform is the easiest way to boost our marketing tools!!! This will be discussed further at the December 3 rd, 2018 EDA Board meeting. Meetings of Importance DMI/City Agreement o City Management & Downtown Moorhead Inc. (DMI) continue to work out the details of the DMI/City agreement. We are trying to sort out some clarification to roles and responsibility. This will help our process tremendously. Amy and I are meeting on a weekly basis to go over work items and we are addressing priorities and future work plan items at our bi-weekly meetings with City Management. The goal is to make the process easy and efficient! If we are a well-oiled machine, the community will respond positively! Minnesota Department of Employment & Economic Development (DEED) Visit o Thank you to everyone that participated in the October 23 rd Greater Fargo Moorhead Economic Development Corporation (GFMEDC) breakfast with Jeff Rossate with DEED and our regional DEED representative, David Heyer. It was a great opportunity to work with our State partners to determine what is new, what we can do better and ask questions specific to addressing Moorhead. This partnership meeting lead to an opportunity to have a one-on-one conversation with our regional DEED representative, David Heyer. Both Amy Thorpe and I met with David on November 19 th. It was a great conversation and was well needed. We met for over 2-hours and David made a special trip to Moorhead just for us! I felt it was important to meet individually with David to explain the staff changes and to develop a strong partnership. Amy and I learned a lot about State opportunities, asked about what other communities are doing well, education opportunities and much more. November 2018 Economic Development Report, Derrick LaPoint 1
10 Greater Fargo Moorhead Economic Development Corporation (GFMEDC) o As I mentioned before, it is important to build upon our relationships with our community partners. I have been attending the GFMEDC board and executive committee meetings. It is important to have a Moorhead presence at these meetings because the topics discussed truly impact Moorhead and our region. The City Manager and a Council Member will attend their next Board meeting on December 13 th so to have a presence for the City of Moorhead. City Management, Joe Raso and I have been meeting on a monthly basis. We have an opportunity to rebuild our relationship with Joe and the GFMEDC. City Management has been working closely with Joe to revise their 2019 agreement and I have provided suggested edits. Economic Development Policy Changes o As the EDA and City Council make changes to our economic development policies, it is important to communicate and market the new policies. City staff and I will work closely with the development community and financial institutions so they understand our changes. Community outreach and communication will continue. Business Retention and Expansion (BRE) Program o I have been working to establish a BRE program in Moorhead. BRE programs, in short, are business visits and outreach. BRE programs are crucial to economic development work as they establish relationships with the business community. These meetings provide an opportunity for the business community to address their concern that can tailor our work plan for the future. In addition, the outreach provides an opportunity for the City to gather important data to make sound decisions in the future. I learned of an opportunity with the State to help establish a BRE program. I have reached out to that group and we are hoping to provide additional detail for the DMI Board and EDA Board in January. More to come! International Downtown Association (IDA) Conference o I had the opportunity to attend the annual IDA conference in San Antonio, TX October 23 rd -26 th. There was close to 1,000 individuals that attended the conference. Attendees included representatives from downtown organizations, business improvement districts (BID), consultants and City leaders from cities of all sizes. The sessions were very educational and informative. It is very clear that most cities are facing similar challenges just on a varying scale. My biggest takeaway is that we must engage our community. It is impossible for individuals or a single organization to do it on their own. Minnesota State Chancellor Devinder Malhotra o On November 16 th, community leaders were invited to have a conversation with Minnesota State Chancellor Devinder Malhotra. The conversation was centered on ways we can increase November 2018 Economic Development Report, Derrick LaPoint 2
11 existing partnerships or forge new partnerships with our region s K-12 schools, businesses and industries. FM Community Advisory Board o On November 27 th, M State held their first Fargo-Moorhead Community Advisory Board. M State recognizes the value and importance of bringing to together external stakeholders from a variety of areas who bring diverse perspectives and experiences to exchange information, support M State programming, provide guidance & feedback and encourage community collaborations. M State and President Carrie Brimhall is seeking community input, ideas, advice to build on M State s success and continue to meet the needs of business/industry, workforce, students and the community, region and the state. Other Meetings o US 10 & US 75 Highway Corridor Study November 1 st o Moorhead/Fargo 2019 Road Construction Impacts November 7 th o Wells Fargo Gives Event November 14 th o Moorhead Business Association (MBA) Events November 21 st & November 28 th Tax Exemption Public Hearings o City Council Approved Projects On October 22 nd the City Council approved a commercial/industrial property tax exemption for Luxsun Investments, LLC for the construction of four multi-tenant commercial buildings located at 1501 & th Avenue South. Additional information can be provided upon request. On November 13 th the City Council approved a commercial/industrial property tax exemption for Four Seasons Carwash of Moorhead, LLC for the construction of an automatic carwash located at th Avenue South. Additional information can be provided upon request. On November 26 th the City Council approved an urban progress zone property tax exemption for K&M Investments LLC for the construction of a six-unit commercial building located at st Avenue North. Additional information can be provided upon request. o Upcoming Projects At this point, there are no upcoming or scheduled tax exemption projects but there are several in the works, so more soon! November 2018 Economic Development Report, Derrick LaPoint 3
12 Upcoming Meetings Media o On December 12 th, the City of Moorhead is holding a workshop for the City Council and EDA regarding City Owned Land/Facilities/Utilities. City staff through their GIS will review land owned and potential development opportunities. We expect the City Council and EDA will discuss priorities for land development and possible RFP s, etc. The city has been planning this workshop for some time and I will participate with my comments and suggestions for future development. o On November 1 st, I had the opportunity to be a part of a MSUM/NDSU Honors Program Panel Discussion titled What the River Divides. This community conversation included Babs Coler (Churches United), Mark Nesbit (Xcel Energy/Fargo Moorhead West Fargo Chamber of Commerce), Tony Grinberg (City of Fargo Commissioner) and myself. It was an interesting conversation and I appreciated the students taking the lead on spurring that conversation. o On November 20 th, we had the third To The Point KFGO radio segment. My special guest was DMI board chair, Dave Anderson. Here is the podcast link for your convenience: November 2018 Economic Development Report, Derrick LaPoint 4
13 Memorandum To: Chair Johnson and Moorhead Economic Development Authority From: Lisa Bode, Governmental Affairs Director Date: December 3, LEGISLATIVE PROGRAM On August 27, 2018, the EDA Board approved their proposed 2019 Tax Levy and Budget which included funds for contracts with Flaherty & Hood and Fredrikson & Byron, Moorhead s legislative lobbying consultants. The 2018 contracts included language which allowed the contracts to be renewed in 2019 at the same rate ($32,500 for each firm). Both contract extension letters will be presented to City Council on December 10, 2018, are included for your convenience. Although the EDA approved the expenditure within its 2019 budget, John Shockley, City Attorney, has advised that the EDA make a motion to authorize the expenditure of funds for the lobbyist contracts. Requested Action Motion to authorize the expenditure of $65,000 from the 2019 EDA Tax Levy Fund (239) for the 2019 lobbying contracts and recommend that the City Council approve the 2019 lobbying contracts. Attachments - 12/10/2018 Draft Council Communication and Draft Resolution Flaherty & Hood and Fredrikson & Byron Contracts Flaherty & Hood and Fredrikson & Byron Extension Letters
14 Mayor and Council Communication December 10, 2018 Page 1 of 2 SUBJECT: Actions Related to the 2019 State Legislative Service Agreement RECOMMENDATION: The Mayor and City Council are asked to consider (A) approving 2019 State Legislative Program and service agreements with Flaherty & Hood PA and Fredrikson & Byron PA, and (B) to adopt the City s 2019 state legislative priorities. BACKGROUND / KEY POINTS: The City of Moorhead has contracted with the firms of Flaherty & Hood PA and Fredrikson & Byron PA for legislative services for several years. The City entered into contracts for 2018 that included the right to extend the contracts for the 2019 calendar year at the same cost as 2018 ($32,500 for each firm, paid from the Economic Development Authority Levy). City staff Lisa Bode is now a registered lobbyist, and will be working with Scott Hutchins to advance Moorhead s legislative agenda. The contracted services of the two lobbying firms complement the City s periodic presence in St Paul with the professional services of lobbyists that are monitoring and assisting in the development of legislative initiatives that benefit Moorhead throughout the calendar year Minnesota Legislative Session: The 2019 legislative session will convene January 7 with a divided legislature (House now DFL/Senate remains Republican). This is significant from a policy perspective as well as committee leadership. Many are speculating that Representative Paul Marquart may become the House Tax Committee Chair. While 2019 is a budget year and would not typically be a bonding year, there is pent up demand for bonding especially with respect to asset preservation. It has been speculated that the state may experience a revenue surplus, which will become clearer upon the December 2018 and February 2019 budget forecasts. This may impact the potential for some level of bonding. Moorhead s 2019 Legislative Agenda: With the possibility of a bonding bill during this session, it is proposed that Moorhead's program would include both bonding and policy elements. Bonding requests are proposed to consist of the following: 1. Support of the Clay County Transfer Station and Resource Recovery Project. 2. Support of DNR's efforts to secure additional funding to continue flood mitigation and acquisition of flood prone properties to address the North Moorhead Flood Control Project and gaps in citywide protection. Note that the City will, at a future time, request funding for the 11 Street railroad grade separation/underpass project, when our legislative delegation and advisors determine that the timing is appropriate to do so. Policy initiatives are proposed to consist of the following: Preserve and protect the Border City Enterprise Zone Program and Disparity Reduction Credit Program Monitor opportunities to enhance Moorhead's competiveness through sustainable funding for the Border City Program
15 Mayor and Council Communication - December 03, 2018 Page 2 of 2 Border City technical amendment to clarify ineligible business definition and possible change in development zone language to allow greater flexibility Continue efforts to secure local discretion and flexibility for border cities concerning the statewide building code and related construction regulations FINANCIAL CONSIDERATIONS: The proposed Legislative Services Agreements with both firms cover the 2019 legislative session at the same annual fee as The 2019 EDA Tax Levy contains $65,000 which fully funds these two agreements (Flaherty & Hood $32,500; Fredrikson & Byron $32,500). The rates remain the same as the 2016/2017 and the 2018 agreements. VOTING REQUIREMENTS: Three-Fourths of Council (6) Disclaimer: Voting requirements may be subject to changes in the law, parliamentary procedural matters, or other unforeseen issues. The City Attorney provides opinion on questions of voting requirements in accordance with the Moorhead City Code, Minnesota State Statues, and parliamentary procedure. Respectfully Submitted: Christina Volkers City Manager Department: Prepared by: Attachments: Administration Lisa J. Bode, Governmental Affairs Director Draft Resolutions Flaherty & Hood PA Legislative Services Agreement Fredrikson & Byron PA Legislative Services Agreement Agenda Item No. 8.
16 Request for Council Action AGENDA SECTION: Administration ORIGINATING DEPARTMENT: Administration MEETING DATE: December 03, 2018 ITEM NO. 8. ITEM DESCRIPTION: Resolution to Adopt the City s 2019 Legislative Program PREPARED BY: Bode DRAFT RESOLUTION WHEREAS, the Moorhead City Council find the City has successfully advocated for targeted legislative initiatives to respond to competitive disparities as a Minnesota Border City and to advance capital projects that benefit the City; and WHEREAS, the City has been effective in utilizing the skills of the City s elected officials and staff together with contracted services of the City s legislative delegation (Flaherty & Hood; Fredrikson & Byron) to advance the City s legislative goals; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Moorhead, Minnesota, adopts the City s 2019 State Legislative Program goals are as follows: Capital Bonding Initiatives 1. Support of the Clay County Transfer Station and Resource Recovery Project. 2. Support of DNR's efforts to secure additional funding to continue flood mitigation and acquisition of flood prone properties to address the North Moorhead Flood Control Project and gaps in citywide protection. Other Moorhead Initiatives Preserve and protect the Border City Enterprise Zone Program and Disparity Reduction Credit Program Monitor opportunities to enhance Moorhead's competiveness through sustainable funding for the Border City Program Border City technical amendment to clarify ineligible business definition and possible change in development zone language to allow greater flexibility Continue efforts to secure local discretion and flexibility for border cities concerning the statewide building code and related construction regulations PASSED: December 03, 2018 by the City Council of the City of Moorhead.
17 Request for Council Action AGENDA SECTION: Administration ORIGINATING DEPARTMENT: Administration MEETING DATE: December 03, 2018 ITEM NO. 8. ITEM DESCRIPTION: Resolution to Approve 2019 Legislative Service Agreements PREPARED BY: Bode DRAFT RESOLUTION WHEREAS, the Moorhead City Council finds the City has successfully advocated for targeted legislative initiatives to respond to competitive disparities as a Minnesota Border City; and WHEREAS, the City has been extremely effective in utilizing the skills of the City s elected officials and staff together with contracted services to work with the City s legislative delegation and others to achieve the City s legislative goals; and WHEREAS, the proposed 2019 EDA Tax Levy budget contains $65,000 for legislative services; and WHEREAS, on November 27, 2017, the City Council of the City of Moorhead authorized Moorhead legislative service agreements with Flaherty & Hood ($32,500) and Fredrikson & Byron ($32,500), not to exceed $65,000 for legislative services for the term beginning January 2, 2018 and ending on December 31, 2018, as found in packet materials. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Moorhead that City of Moorhead shall extend the term of these agreements for one additional year under the same terms and conditions set forth and that the term of the extension shall begin on January 1, 2019 and end on December 31, BE IT FURTHER RESOLVED by the City Council of the City of Moorhead that the Mayor and City Manager are hereby authorized and directed to execute on behalf of the City of Moorhead one-year extensions of the legislative service agreements with Flaherty & Hood ($32,500) and Fredrikson & Byron ($32,500), not to exceed $65,000 for legislative services for the term beginning January 1, 2019 and ending on December 31, BE IT FURTHER RESOLVED by the City Council of the City of Moorhead that funds for said agreements will be appropriated from the proposed 2019 EDA Tax Levy budget. PASSED: December 03, 2018 by the City Council of the City of Moorhead.
18 Fredrikson & BYRON, P.A. September 25, 2018 Mayor Del Rae Williams City of Moorhead 500 Center A venue Box 779 Moorhead,MN Re: Extension of Engagement Letter for Government Relations Services January 1, 2018 to December 31, 2018 to include the time period from January 1, 2019 to December 31, Dear Mayor Williams: Thank you for engaging Fredrikson & Byron, P.A. to represent the City of Moorhead (Moorhead"). We appreciate our ongoing relationship and the opportunity to be of continued service. Under the terms of the Engagement Letter between the City of Moorhead and Fredrikson & Byron, P.A. for government relations services for the 2018 calendar year, the City of Moorhead has the right to extend our engagement through 2019 under the same and conditions as included in the 2018 Engagement Letter. The actual language of the extension provision is as follows: Moorhead shall have the right to extend the term of this agreement for one additional year under the same terms and conditions as the original term. The term of such extension shall begin on January 1, 2019 and end on December 31, If you wish to extend the term of the "Engagement Letter for Government Relations Services January 1, 2018 to December 31, 2018" for one additional year under the same terms and conditions as the original term, please acknowledge your agreement to the extension by signing and returning the enclosed copy of this letter to me. Attorneys & Advisors Fredrikson & Byron, P.A. main South Sixth Street, Suite 4000 fax Minneapolis, Minnesota MEMBER OF THE WORLD SERVICES GROUP A Worldwide Network of Professional Service Providers OFFICES: Minneapolis/ Bismarck/ Des Moines/ Fargo/ Monterrey, Mexico/ Shanghai
19 Page 2 Again, thank you for the opportunity to assist you. Please do not hesitate to contact me if you have any questions or I can be of further assistance kgoodno@fredlaw.com [AgCCQ' Del Rae Williams, Mayor City of Moorhead ])[C' [AQCCQ' Christina M. Volkers City Manager [)a[c.
20 October 1, 2018 Mayor Del Rae Williams City of Moorhead 500 Center Avenue P.O. Box 779 Moorhead, MN Dear Mayor Williams: Thank you for selecting Flaherty & Hood, P.A. to provide government relations services to the City of Moorhead ( Moorhead ). We appreciate the opportunity to continue the strong relationship we have forged with the City of Moorhead over the years. This letter serves as an agreement to exercise the extension of services clause outlined in the letter of agreement between Flaherty & Hood, P.A. and the City of Moorhead for legislative services for The letter of agreement for 2018 states: Moorhead shall have the right to extend the term of this agreement for one additional year under the same terms and conditions as the original term. The term of such extension shall begin January 1, 2019 and end on December 31, If this letter adequately outlines Moorhead s understanding of our Agreement and is reflective of the city s desire to extend the terms of the 2018 agreement for legislative services for one more year beginning January 1, 2019 and ending December 31, 2019, please acknowledge by signing the enclosed copy of this letter and return to our office. As in the past, we look forward to working with you and other representatives from Moorhead in the upcoming year. Very truly yours, FLAHERTY & HOOD, P.A. By: Bradley Peterson
21 Accepted by: Mayor Del Rae Williams Accepted by: Christina M Volkers, City Manager Cc: Scott Hutchins Lisa Bode
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34 Professional Services Agreement THIS PROFESSIONAL SERVICES AGREEMENT is entered into this 1 st day of January, 2019, by and between the Moorhead Economic Development Authority, a political subdivision of the State of Minnesota, hereinafter referred to as the MEDA and the Greater Fargo Moorhead Economic Development Corporation, a non-profit corporation, qualified to do business in the State of North Dakota, hereinafter referred to as the EDC. RECITALS WHEREAS, the goal of the EDC is to support primary sector business and in doing so build a stronger economy throughout Greater Fargo Moorhead by developing the workforce, retaining and expanding existing businesses and industries, attracting new businesses and industries; and WHEREAS, EDC advocates, promotes, and facilitates efforts and activities which support the growth and expansion of existing business as well as attraction of new primary sector business, by: providing targeted lead generation and support to business prospects; maintaining a repository of data on the regions economic health and stability; undertaking regional marketing by attendance at business development symposiums/conferences and through targeted communications; and WHEREAS, the MEDA is engaged in a variety of economic development activities, which are not limited to primary sector business, to build a stronger Moorhead economy and provide jobs, property tax base, and economic choices for its citizens; and WHEREAS, the MEDA support for economic development is evidenced through its appropriation and resources including staff, marketing, land, public utility, infrastructure, legislative advocacy, and partnerships; and WHEREAS, the MEDA and EDC, as partners in economic development, wish to support one another in building the economy of Moorhead and as such the Greater Fargo Moorhead region. NOW THEREFORE BE IT RESOLVED by the MEDA and the EDC that in consideration of the mutual promises set forth herein, it is agreed as follows: 1. The Parties Agree that the following terms are defined as follows: a. Primary Sector. A primary sector business is defined as a company that adds value to a product, process, or service that results in the flow of wealth into the region and derives more than 50% of its sales or income from outside the region and immediate marketing area. Targeted primary sector industries include Back Office, Corporate Headquarters, Information Technology, Life Sciences, Manufacturing, Physical Sciences, Warehouse/Distribution, and other such targeted sectors as appropriate. b. Prospect Inquiry. A prospect inquiry will be defined as any Primary Sector prospect, as an individual, corporation or represented by a utility and/or state partner or site
35 selector, showing an interest in or identified by the EDC as a potential lead for creating a new or expanded presence in Moorhead or the Greater Fargo Moorhead area. c. Workforce Development Services. A Workforce Development Service will be defined as any program or initiative focused on maintaining existing workforce, attracting new workforce and the growth of the workforce pipeline to match employees with tomorrow s primary sector business demands. d. Entrepreneurial Development Services. An entrepreneurial service will be defined as any program or initiative established for the Start Up of a primary sector business or commercialization of any nascent technology. These services can also include programming that supports sustaining and growing a regional eco-system that supports entrepreneurial activity. e. Moorhead Identity. Moorhead identity will be defined as using the Moorhead name when representing the EDC organization to investors, partners, and clients. f. GIS Listings. GIS listings will be defined as all Geographic Information Systems (GIS) programs and applications administered by the EDC. MEDA will provide, in a format acceptable to EDC, property and property information for selected sites available in Moorhead for use by the EDC in its marketing and outreach activities 2. Role and Responsibilities of the MEDA. a. Support, through all necessary means, EDC s commitment to actively sell Moorhead as a location option in all marketing and outreach activities and to all primary sector site selector, expansion, and relocation inquiries received by the EDC. b. Commit to providing staff and necessary support in order to actively partner with the EDC in all site selector, expansion, and relocation inquiries to the EDC which identify Moorhead as a possible choice to provide services, including but not limited to the following: site identification, cost estimates, infrastructure requirements, financing programs, regulatory matters, preparation of materials, direct or indirect (through GFMEDC) communication with the prospect, including during public hearings where existing or prospective companies are requesting support from public entities. c. Provide staff knowledgeable in development and business finance, including but not limited to: site location/availability, infrastructure requirements and special assessment costs (sewer, water, gas, electricity, drainage, storm-water retention, streets), property tax calculations and market value estimates, environmental regulations, and zoning. d. Provide Minnesota legislative advocacy assistance. e. Make available for development municipally owned industrial park including both serviced and un-serviced property. f. Provide, administer, and manage Moorhead s financing incentives, state and federal grants and loans, as required. g. Coordinate with the City of Moorhead s departments, Moorhead Public Service, and Minnesota regulators/agencies. 2 Professional Services Agreement GFMEDC Moorhead Economic Development Authority
36 3. Role and Responsibilities of the EDC. a. Commit to actively sell Moorhead as a location option in all marketing and outreach activities and to all primary sector site selector, expansion and relocation inquiries received by the EDC. On a case-by-case basis, this commitment must align with the requirements of the project and needs of the primary sector business but always seeking opportunities for Moorhead. b. Consult with MEDA, at the time of initial inquiry, with authorization by a prospect or representative thereof, in order to assess the potential opportunity and respond to requests for information or preparation of proposals. c. EDC will commit to provide organizational resources equal to or greater than the MEDA s contribution to the EDC, to facilitate economic development in Moorhead and to undertake proactive marketing and outreach activities as part of its overall marketing of the Greater Fargo Moorhead Region. d. Assist the MEDA in planning and strategic positioning efforts with respect to potential primary sector-focused developments, such as the MCCARA Industrial Park. e. Coordinate with the MEDA to partner on business development calls to all primary sector employers in the City of Moorhead. f. Utilize the Moorhead identity in all appropriate marketing, promotional, and advertising materials. g. Provide workforce development services to all Primary Sector Businesses in the City of Moorhead. h. Provide Entrepreneurial Development Services to any Primary Sector Start-ups in the City of Moorhead. i. Provide for the available digital technologies to assist Moorhead in marketing its assets (land, workforce, etc.) j. Keep EDC s website up to date with Moorhead specific information, incentives, and contacts. k. Advertise and market Moorhead incentives and keep information up-to-date. 4. Meetings/Reports. The EDC Director will meet on at least a bi-monthly basis with City of Moorhead staff leadership to discuss program implementation, status of expectations as noted under Role and Responsibilities above, and plan for future opportunities to grow the Moorhead economy. The EDC Director, or other EDC leadership if necessary, will also provide no less than two oral and written reports per year to both the MEDA and Moorhead City Council including prospect/site selector inquires, outreach/marketing activities including a summary of Moorhead specific activities. 5. Compensation. MEDA shall pay to the EDC for its services hereunder compensation of $25,000 payable in a single payment no later than September 30 each year of this Agreement. The EDC shall be responsible for its expenses, including out of pocket expenses, in providing services to 3 Professional Services Agreement GFMEDC Moorhead Economic Development Authority
37 MEDA, except when agreed upon that a specific service provides unique, or one-time, benefits to MEDA. 6. Term. The term of this Agreement shall be for the period commencing January 1, 2019, and terminating on December 31, MEDA shall have the option to renew this agreement for two additional one-year terms, by giving written notice of its intent to renew this agreement to EDC prior to the expiration date of the original term or any additional term of this Agreement. This Agreement may be terminated by either party for any reason upon a thirty 30) day notice given to the other party. 7. Independent Contractor Status. Nothing in this Contract shall constitute either party hereto, the agent for the other party for any purpose. The EDC shall be deemed to be an independent contractor with full control over the manner and method of its performance hereunder. The EDC shall carry general liability insurance in the minimum amount of $350, Indemnity. The EDC and MEDA shall comply with all federal, state, and local laws and ordinances applicable to the work to be conducted pursuant to this Contract. The EDC and MEDA agree to mutually indemnify, save and hold harmless the MEDA or the EDC, its officers, agents and employees, from all claims, suits or actions of whatever nature resulting from or arising out of the activities of the MEDA or EDC, or its officers, agents or employees under this Contract. Nothing herein shall be deemed a waiver by the MEDA of the limitations on liability set forth in Minnesota Statutes, Section , and the MEDA s obligation to indemnify, hold harmless and defend the EDC shall be limited by the limitations on liability set forth in Minnesota Statutes Section , less any amounts which the MEDA is required to pay on its own account, or on account of the MEDA s officers, agents or employees. 9. Merger Clause. This Agreement constitutes the entire agreement by and between the parties, and any other prior representations or agreements are deemed merged herein, and those not specified herein do not represent any agreements or promises or covenants or representations on the part of either party hereto. 10. Written Amendment Required. No amendment, modification, or waiver of any condition, provision or term shall be valid or of any effect unless made in writing signed by the party or parties to be bound, or a duly authorized representative, and specifying with particularity the extent and nature of such amendment, modification or waiver. Any waiver by any party of any default of another party shall not affect or impair any right arising from any subsequent default. Except as expressly and specifically stated otherwise, nothing herein shall limit the remedies and rights of the parties thereto under and pursuant to this Agreement. 11. Grammatical Construction. Whenever the singular number is used herein, the same shall include the plural where appropriate, and the words of any gender shall include any other genders where appropriate. 12. Severability Clause. Each provision, section, sentence, clause, phrase, and word of this Agreement is intended to be severable. If any provision, section, sentence, clause, phrase, and word hereof is held by a court with jurisdiction to be illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of this Agreement. 4 Professional Services Agreement GFMEDC Moorhead Economic Development Authority
38 13. Agreement Binding on Successors. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective personal representatives, successors and assigns. 14. Minnesota Law Applies. This Agreement shall be controlled by the laws of the State of Minnesota, and any action brought as a result of any claim, demand or cause of action arising under the terms of this Agreement shall be brought in an appropriate venue in the State of Minnesota. IN WITNESS WHEREOF, the parties have executed this Contract as of the day and year first above written. MOORHEAD ECONOMIC DEVELOPMENT AUTHORITY GREATER FARGO MOORHEAD ECONOMIC DEVELOPMENT CORPORATION By Charley Johnson, Its Chair By: Joe Raso, Its President By Marsha Weber, Its Secretary CITY OF MOORHEAD By Christina M. Volkers, Its City Manager By Del Rae Williams, Its Mayor 5 Professional Services Agreement GFMEDC Moorhead Economic Development Authority
39 6 Professional Services Agreement GFMEDC Moorhead Economic Development Authority
40 CITY OF MOORHEAD BUILDING CODES 2018 BUILDING AND PERMIT VALUATION SUMMARY SHEET Includes Totals from Pages 2 & 3 PAGE Residential Remodel Commercial Remodel Garages Residential (page 2) Commercial (page 3) DEMO # VALUATION # VALUATION # VALUATION # VALUATION # VALUATION # JAN , ,526, ,247, ,085, FEB , , ,685, ,889, MAR , , , ,419, APR , ,902, ,507, , ,062, MAY , ,663, , ,694, ,689, ,690, JUN , ,077, , ,125, ,815, JUL , , , ,808, , ,291, AUG , ,887, , ,886, , ,421, SEP , , , ,915, , ,066, OCT , , , ,729, , ,381, NOV DEC MOVE/ TOTAL PERMITS TOTAL VALUATION ,233, ,331, , ,630, ,548, ,124, ,191, ,034, , ,180, ,142, ,914, ,083, ,146, , ,622, ,542, ,879, MAR/DEMO: 1 Single family home, 1 interior commercial; APR/DEMO: 2 interior commercial; 1 interior residential; 1 detached garage; MAY/DEMO: 2 interior commercial; 2 detached accessory structures; MAY/MOVE: 1 single family home out of Moorhead; JUN/DEMO: 1 interior commercial, 1 detached garage; JUN/MOVE: 1 temporary structure into Moorhead; JUL/DEMO: 3 single family homes, 1 commercial building; AUG/DEMO: 1 commercial building; 1 interior commercial SEPT/MOVE: 5 mobile homes into moorhead; SEPT/DEMO: 1 gas station canopy; OCT/MOVE: 1 mobile home into moorhead; OCT/DEMO: 1 detached garage/part of single family home, 1 commercial building, 1 gas station kiosk/canopy
41 CITY OF MOORHEAD BUILDING CODES 2018 BUILDING PERMIT VALUATION REPORT - RESIDENTIAL Single Family Detached Single Family (Attached) Two Family (Duplex) Three and Four Family Buildings /214 Five or More Family Buildings Hotels/Dorms, Frat, Board Rm TOTAL PERMIT PAGE 2 TOTAL VALUATION # VALUATION # VALUATION # (U) VALUATION # (U) VALUATION # (U) VALUATION # VALUATION JAN (see notes) FEB MAR 4 966, ,000 APR 23 4,907, , ,507,000 MAY 22 4,909, , ,500, ,669,087 JUN 14 2,315, , ,250, ,125,000 JUL 19 3,883, , , ,400, ,600, ,808,400 AUG 7 1,386, ,500, ,886,000 SEP 15 2,915, ,915,000 OCT 14 2,729, ,729,000 NOV 0 0 DEC ,010, ,020, , ,400, ,850, ,605, ,660, ,120, ,400, ,180, ,405, , ,600, ,866, ,622,030 JAN/105: These 12 units are part of a new mixed use building (commercial and residential). The value of the entire building is noted on Page 3a under 327. SINGLE FAMILY ATTACHED/ UNITS CONSTRUCTED MOORHEAD TWO, THREE, & FIVE OR MOORHEAD OAKPORT OAKPORT TOTAL UNITS DETACHED FOUR UNITS MORE UNITS TOTAL UNITS 2018 YTD * 2017 CY * 2016 CY * 2015 CY * 2014 CY CY CY CY CY CY CY CY * Oakport Tract 2 was annexed to the City of Moorhead January 1, Oakport permit data for 2015 forward is reported in the appropriate citywide data categories.
42 CITY OF MOORHEAD BUILDING CODES 2018 BUILDING PERMIT VALUATION REPORT - NEW COMMERCIAL PAGE 3A JANUARY FEBRUARY MARCH APRIL MAY JUNE # VALUATION # VALUATION # VALUATION # VALUATION # VALUATION # VALUATION ,522, ,400, , ,247, , , , MONTHLY TOTAL 1 3,247, ,685, , ,689, YEAR TO DATE TOTALS: ,247, ,932, ,932, ,204, ,893, ,893, , , , ,025, ,002, ,403, ,546, ,546, ,399, ,476, ,687, ,112, NOTES: Jan/327: This is a mixed use building that also contains 12 living units. 318 = Amusement, Social, Recreational 324 = Office, Banks and Professional 319 = Churches and other religious 325 = Public Works and Utilities 320 = Industrial 326 = Schools and Other Educational 321 = Parking Garages 327 = Stores and Customer Services 322 = Service Stations and Repair Garages 328 = Other Nonresidential Buildings 323 = Hospitals and Institutional 329 = Structures other than buildings
43 CITY OF MOORHEAD BUILDING CODES 2018 BUILDING PERMIT VALUATION REPORT - NEW COMMERCIAL PAGE 3B JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER # VALUATION # VALUATION # VALUATION # VALUATION # VALUATION # VALUATION , , , , MONTHLY TOTAL 1 100, , , , YEAR TO DATE TOTALS: ,993, ,008, ,438, ,548, ,564, ,678, ,422, ,122, ,112, ,176, ,995, ,542, = Amusement, Social, Recreational 324 = Office, Banks and Professional 319 = Churches and other religious 325 = Public Works and Utilities 320 = Industrial 326 = Schools and Other Educational 321 = Parking Garages 327 = Stores and Customer Services 322 = Service Stations and Repair Garages 328 = Other Nonresidential Buildings 323 = Hospitals and Institutional 329 = Structures other than buildings
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