05-19-2020 EDC Meeting Minutes - Laserfiche WebLink

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EDC Minutes May 19, 2020 Page 4 of 8 ----------------------------- per acre therefore that is how the estimate was put together. He stated that they have wonderFul flexibility and if they do have to extend sanitary sewer, water main, and put in some storm sewer in street the state has a Business Development Public Infrastructure Program, BDPI, that could help with the costs but not necessarily offset it. Commissioner Becklin asked what it would cost to extend the sewer and water all the way to the potential ball fields. Mr. Houle said looking back at that 2018 study and if you look at all the sewer, water, streets, storm sewer it would be somewhere around $2.2 million. He did also say that they took that big study number and then broke it back into a per acre cost just to give people a sense of the potential investment. Commissioner Lelwica asked if he could break the cost down per foot and he stated he did not. He stated one of the variables to the cost is getting down Derksen Road from Morehouse Drive to the proposed southerly road going into the Heart of the Good Life and whether you should count that footage. He said he could come up with a per foot cost and present several possible options if they would like. Discussion ensued about the phases and the costs. Mr. Houle stated phase one has an estimated project cost of$257,000 and that is what they would propose to the EDC to recommend to the Council should Xcel Energy acquire that area roughly encompassed by lots two and three. He stated that he would like the EDC to continue to think of the big picture long-term and know that in each phasing of the Heart of the Good Life there will be situations where the infrastructure might cost more and there will be situations where the infrastructure might cost less on a per foot or per acre basis. He said he can break phase one down for them if they would like. Gail Leverson stated that she is a funding specialist with WSN and the BDPI program is a grant program just for greater Minnesota. She said they use it quite a bit and it is made to keep jobs, enhanced jobs in the area and expand the tax base. She stated that is a way to fund about 50% of the cost of sewer, water supplies, utility extensions, wastewater treatment, and storm water. She said that the City has a project here that is going to create 14 jobs and possible more. She stated she looked at the statute yesterday and they are trying to grow businesses that fit in the manufacturing technology, warehousing, distribution and, and the like. She said she feels very confident after listening to Xcel Energy's presentation that the project fits right into the mission of the BDPI program. Ms. Leverson stated it is a program that gets funded every finro years by the state but they are without funding until probably July 1 st of this year. She said they take rolling applications throughout the year but when they run out of money everybody has to wait for the next time. She stated that the program has been around since 2002. Chair Lindholm asked her to clarify that it costs $5,000 to apply in the hopes of getting the cost of the quarterly dollars. She stated that she believed that$5,000