HomeMy WebLinkAbout01-25-16-EDAAPPROVAL OF AGENDA
APPROVAL OF MINUTES
Draft Minutes
October 26, 2015
10 -26 -15.PDF
NEW BUSINESS
Arden Hills Business Retention And Expansion Program
Matthew Bachler, Senior Planner
Jonathan Weinhagen, Vice President of St. Paul Area Chamber of Commerce
MEMO.PDF, ATTACHMENT.PDF
2015 EDC Annual Report And 2016 Work Plan
Jill Hutmacher, Community Development Director
MEMO.PDF, ATTACHMENT.PDF
EDA MEMBER COMMENTS
ADJOURN
Chair:
David Grant
Commissioners:
Brenda Holden
Fran Holmes
Dave McClung
Vacant
Economic Development
Authority Jt Mtg with
Economic Development
Commission
January 25, 2016
6:00 p.m.
City Hall
Address:
1245 W Highway 96
Arden Hills MN 55112
Phone:
651 -792 -7800
Website :
www.cityofardenhills.org
City Vision
Arden Hills is a strong community that values its unique environmental setting,
strong residential neighborhoods, vital business community, well -maintained
infrastructure, fiscal soundness, and our long -standing tradition as a desirable
City in which to live, work, and play.
Agenda
CALL TO ORDER
1.
2.
2.A.
Documents:
3.
3.A.
Documents:
3.B.
Documents:
4.
1/25/2016
Bench Handout
It,
---AEN HILLS
Arden Hills Business Retention and
Expansion Program Report
January 25, 2016
.A DEN
LLS Project Timeline
2015 2016
v v v
_ 1 > E E E
v Q QO Z o
Engage City Council and Commissions -
Recruit BR&E Participants
Identify Businesses WE ARE HERE!
Engage and Train Participants
Business Visits _16- dT6.
Analyze Survey Results
Present Findings ZO
1
1/25/2016
Program Objectives
• Demonstrate to businesses that the community
appreciates their presence
• Help existing businesses solve immediate
problems
• Increase businesses' ability to compete in
regional, national, and global markets
• Establish a strategic plan for economic
development
• Build community capacity to sustain growth and
development over the long term
Business Community Profile
• High concentrations in Manufacturing,
Administrative and Support, and Management
of Companies and Enterprises
Ramsey County Arden Hills
i Manufacturing
�iq>h ■Retail Trade
w Publ c Admin
+ ■Management of Companies and
Enterprises
•Admin and Support&Waste
Management and Remediation Svcs
.*, ■Finance and Insurance
e Professional,Scientific,and
Technical Services
as Other Services(exc.Public Admin)
Information
2
1/25/2016
Employee Inflow-Outflow
• Large non-resident employee population
Inflow/Outflow Job Counts in 2013
M 12.392-Employed In Selection Area,Live Outside
3,409-Live in Selection Area,Employed Outside
252-Employed and Live In Selection Area
w t
Employee Migration
Job Counts by DistunceJDirection m 2010 lob Counts by Distance/Direction in 2013
All Workers All Workers
N N
NW NE NW NE
ty _.f .' _:._ E W 50 F
2 0 ', 2 00
5 SE 5 SE
S S
6109 42.1% 5722 45.3% 3.rA
6008 41.4% 5216 41.3% -0.1%
1331 9.2% 1014 8.0% -1.2%
1075 7.4% 692 5.5% -1.9%
3
1/25/2016
Key Findings
• Companies overwhelmingly identify as being
located in "Arden Hills"
• The overall quality of life for a company in the
City of Arden Hills is excellent
• Your companies are growing!
• There is opportunity for improved access to
public transit
• Access to skilled labor is important
Visit and Survey Recommendation #1
• Continued engagement in efforts to extend
the A Line BRT route and explore regional and
national transit trends
4
1/25/2016
Visit and Survey Recommendation #2
• Build relationships with community and
technical colleges
CENTURY
ANOKA-RAMSEY
,COMMUNITY COLLEGE t 11i►
kk
\../Minneapolis
Community ` SAINT PAUL COLLEGE
&Technicaloff-II, ,
College
Visit and Survey Recommendation #3
• Internally track companies that are flagged for
expansion and check in with them on a regular
basis
PPY'P3PinDilClb '�
R , y 10 11
5 B 7 15` i6 118
12 13 22 23 2 25
19 20 31
2827 28 29 30
5
1/25/2016
BR&E Recommendation #1
• Economic Development Commission should
oversee ongoing business retention and
expansion effort
• Identify targeted list of businesses to visit each
year
BR&E Recommendation #2
• Leverage existing partnerships and resources
for BR&E Visits
sQa �c
Twin Cities North
CHAMBER OF COMMERCE SAINT PAUL AREA
CHAMBER OF COMMERCE
MINNESOTAPOSITIVELY
GREATER MSP /��`Z �G
nnneaoo..aim rau.xenon...... Dry�Nnmld EmpbymcM bW Ewnomk OwnbgsMM
6
1/25/2016
BR&E Recommendation #3
• Host a commercial real estate broker
roundtable for the City of Arden Hills
BR&E Recommendation #4
• Share BR&E data with regional or state
partners
GROW
MINNESOTA! MSP
1/25/2016
Contact Information
Saint Paul Area Chamber of Commerce
401 North Robert Street, Suite 150
Saint Paul, MN 55101
(651) 223-5000
www.saintpaulchamber.com
Jonathan Weinhagen
Vice President
(651) 265-2770
jonathan@saintpaulchamber.com
8
Approved: January 25, 2016
CITY OF ARDEN HILLS, MINNESOTA
ECONOMIC DEVELOPMENT AUTHORITY MEETING
OCTOBER 26, 2015
6:00 PM – CITY HALL
CALL TO ORDER/ROLL CALL
Pursuant to due call and notice thereof, EDA President Grant called to order the
Economic Development Authority meeting at 6:28 p.m.
Present: EDA President David Grant; EDA Commissioners Brenda Holden, Fran
Holmes, and Dave McClung
Absent: None
Also present: Treasurer Sue Iverson
1. APPROVAL OF AGENDA
MOTION: EDA Commissioner Holden moved and EDA Commissioner Holmes
seconded a motion to approve the meeting agenda as presented. The motion
carried unanimously (4-0).
2. APPROVAL OF MINUTES
A. July 27, 2015
MOTION: EDA Commissioner McClung moved and EDA Commissioner Holden
seconded a motion to approve the July 27, 2015, Economic Development
Authority meeting minutes as presented. The motion carried unanimously
(4-0).
4. EDA COMMISSIONER COMMENTS
None.
ARDEN HILLS EDA MEETING – OCTOBER 26, 2015 2
5. ADJOURN
MOTION: EDA Commissioner McClung moved and EDA President Grant seconded a
motion to adjourn the Economic Development Authority meeting. The
motion carried unanimously (4-0).
EDA President Grant adjourned the Economic Development Authority meeting at 6:30 p.m.
__________________________ __________________________
Sue Iverson David Grant
Treasurer EDA President
______________________________________________________________________________
City of Arden Hills
Economic Development Authority Meeting January 25, 2016
Page 1 of 2
NEW BUSINESS – 3A
MEMORANDUM
DATE: January 25, 2016
TO: Economic Development Authority President and Commissioners
FROM: Matthew Bachler, Senior Planner
SUBJECT: Arden Hills Business Retention and Expansion Program
Requested Action
Review the Arden Hills Business Retention and Expansion Program Report from the Saint Paul
Area Chamber of Commerce (SPACC) and provide comments. Jonathan Weinhagen, Vice
President of SPACC, will be in attendance at the meeting to give a presentation of the findings
included in the report.
Discussion
The Economic Development Authority (EDA) approved a Business Retention and Expansion
Service Proposal from SPACC on January 26, 2015. Over the past year the Economic
Development Commission (EDC), community volunteers, and City staff have been working with
SPACC on designing and implementing a Business Retention and Expansion (BRE) program. A
total of 24 local businesses were interviewed as part of the program, and SPACC has completed
an analysis of the business survey results. These results along with a program overview, profile
of the business community, and priority areas are included in the attached BRE Program Report.
With the completion of the report and the presentation of the findings, SPACC will have
completed the work plan outlined in the approved BRE Service Proposal.
The next step in this process would be for the EDA and City Council to review the priority areas
identified by SPACC and to consider what actions the City may want to take on these issues.
One of the City’s goals in undertaking the BRE program was to help establish a strategic plan for
economic development and these priority areas provide a good starting point for this effort.
Specific action items recommended by SPACC in the report include:
• Continued engagement by elected representatives, commissions, and staff in transit
conversations, and specifically the proposed extension of the A-Line Bus Rapid Transit
Line.
______________________________________________________________________________
City of Arden Hills
Economic Development Authority Meeting January 25, 2016
Page 2 of 2
• Fostering relationships with community and technical colleges to help establish
workforce connections in the City.
• Creating a system to track companies that are planning or positioned for growth and
checking in with them regularly.
• Establishing a plan for on-going business retention and expansion visits.
Requested Action
Review the Arden Hills Business Retention and Expansion Program Report from the Saint Paul
Area Chamber of Commerce and provide comments.
Attachments
• Arden Hills Business Retention and Expansion Program Report
January 21, 2016
Jill Hutmacher, Community Development Director VIA EMAIL
City of Arden Hills
1245 West Highway 96
Arden Hills, MN 55112
RE: Business Retention and Expansion Program Report
Dear Ms. Hutmacher:
I am pleased to present our findings from the 2015 Business Retention and Expansion Program
for the City of Arden Hills. The program successfully identified nearly 50 companies in the community
that met the established criteria for a visit and successfully conducted visits with 24 of them. In addition
to gathering a set of data that will prove useful in future policy and planning conversations, we had the
opportunity to thank businesses for investing in the City of Arden Hills and provided, and continue to
provide, technical and information resources to many of them.
We know that retaining and facilitating the expansion of existing businesses is an important part
of any city’s economic development plan. We commend the Economic Development Authority and
Economic Development Commission in the City of Arden Hills for having the foresight to proactively
work to retain your existing base of businesses. I believe we have been successful in achieving the
multitude of goals set out by the City of Arden Hills in advance of this effort:
Demonstrate to businesses that the community appreciates their presence
Help existing businesses solve immediate problems
Increase businesses’ ability to compete in regional, national, and global markets
Establish a strategic plan for economic development
Build community capacity to sustain growth and development over the long term
The City of Arden Hills is home to some of the most recognizable businesses in the region, including
Boston Scientific and Land O’Lakes. The city is also host to a diverse collection of companies at all stages
of growth. We had the opportunity to build relationships and learn from many of these companies.
Some of our key findings include:
An interest in increased transit access to serve the business community
A lack of skilled workers to fill the increasing job opportunities
A general theme that companies in the community are positioned and planning for growth in
both revenues and employees in the coming years
In the following report you will find a detailed overview of the Business Retention and Expansion
Program, a comprehensive profile of the business communities in the City of Arden Hills and Ramsey
County, as well as a complete set of data and information that was collected as a result of the
business visits and follow-up surveys. Additionally, we have prepared two sets of recommendation
for the consideration of the EDC and EDA. Our recommendations include:
2
Continued engagement in transit conversations, notably the proposed extension of the A-Line
Bus Rapid Transit Corridor
Fostering relationships with community and technical colleges to help broker workforce
connections in the City of Arden Hills
Creating a system for tracking companies that are planning or positioned for growth and
checking in on them with regular frequency
Establishing a plan for ongoing business retention and expansion visits
It has been a great pleasure to work with participants of the BR&E program and members of the city
staff in executing on this important work. I look forward to presenting our finding to the Economic
Development Authority and Economic Development Commission at their joint work session on Monday,
January 25th. Please feel free to contact me with any questions at jonathan@saintpaulchamber.com or
by phone at 651-238-6043.
Best Regards,
Jonathan Weinhagen
Vice President
3
Business Retention & Expansion Program Report
4
Contents
BUSINESS RETENTION AND EXPANSION PROGRAM BACKGROUND ............................................................ 6
Importance of Business Retention and Expansion (BR&E) ....................................................................... 6
Program Objectives ................................................................................................................................... 6
Program Sponsors ..................................................................................................................................... 6
Program Organization and Leadership ..................................................................................................... 6
Program Participants ................................................................................................................................ 7
Business Selection ..................................................................................................................................... 7
Businesses Visited ..................................................................................................................................... 8
Survey Analysis .......................................................................................................................................... 8
BUSINESS COMMUNITY PROFILE IN RAMSEY COUNTY AND ARDEN HILLS .................................................. 9
Employment by Industry Comparison ...................................................................................................... 9
Ramsey County Employment by Industry ............................................................................................... 10
Arden Hills Employment by Industry ...................................................................................................... 11
Major Employers in Arden Hills .............................................................................................................. 12
Employee Inflow-Outflow, Arden Hills.................................................................................................... 12
Employee Migration, Arden Hills ............................................................................................................ 13
BR&E SURVEY RESULTS ............................................................................................................................... 14
Key Findings ............................................................................................................................................ 14
Visit Survey .......................................................................................................................................... 14
Follow-up Survey ................................................................................................................................. 14
Visit Survey Results ................................................................................................................................. 15
What We Heard ...................................................................................................................................... 22
Results, Follow-up Survey ....................................................................................................................... 23
Recommendations ...................................................................................................................................... 26
Visit and Survey Generated Recommendations ..................................................................................... 26
Recommendation 1 ............................................................................................................................. 26
Recommendation 2 ............................................................................................................................. 26
Recommendation 3 ............................................................................................................................. 26
BR&E Recommendations ........................................................................................................................ 27
Recommendation 1 ............................................................................................................................. 27
Recommendation 2 ............................................................................................................................. 27
Recommendation 3 ............................................................................................................................. 27
5
CONTACT INFORMATION ............................................................................................................................ 28
APPENDIX A – BR&E SURVEY REPORTING FORM........................................................................................ 29
APPENDIX B – FOLLOW-UP SURVEY REPORTING FORM ............................................................................. 36
APPENDIX C – TARGETED BUSINESS LIST .................................................................................................... 38
6
BUSINESS RETENTION AND EXPANSION PROGRAM BACKGROUND
The Arden Hills Economic Development Commission (EDC) researched Business Retention and Expansion
(BR&E) programs as part of their 2014 Work Plan. City staff and the EDC discussed the role of a BR&E
program in the context of the City’s economic development goals and how this type of program should
be structured to ensure successful outcomes. The EDC evaluated program options and recommended to
the EDA that the City enter into an agreement with the Saint Paul Area of Chamber of Commerce
(SPACC). The EDA approved the SPACC BR&E program on January 26, 2015.
Importance of Business Retention and Expansion (BR&E)
Retaining and facilitating the expansion of existing businesses is an important component of any city’s
strategic plan for economic development. Studies have shown that as much as 80 percent of new jobs
created are by existing businesses rather than by new businesses attracted to a community. With the
increasing scarcity of resources at the local level, focusing on the growth of existing businesses can be
more efficient than enticing a new business to move into a community with public financing
commitments or other public subsidies.
Program Objectives
Business Retention and Expansion programs set out to achieve a multitude of goals. Some of the goals
identified by the City of Arden Hills include:
Demonstrate to businesses that the community appreciates their presence
Help existing businesses solve immediate problems
Increase businesses’ ability to compete in regional, national, and global markets
Establish a strategic plan for economic development
Build community capacity to sustain growth and development over the long term
Program Sponsors
The City of Arden Hills Business Retention and Expansion program was sponsored by the Economic
Development Authority at the recommendation of the Economic Development Commission.
Program Organization and Leadership
Launching a Business Retention and Expansion program in a community takes a great deal of
organization and leadership. City staff played a key role in identifying businesses to be visited,
coordinating with the EDC, and executing BR&E visits.
Matthew Bachler, Associate Planner, was the overall leader of the Arden Hills BR&E program.
7
Program Participants
Dan Erickson (EDC member)
Michael Hands (EDC member)
Steve Heikkila (EDC member)
Jim Huninghake (former EDC member)
Kyle Lassen (EDC member)
Jim Ostlund (former Financial Planning and Analysis Committee member)
David Radziej (EDC member)
Roberta Thompson (Planning Commissioner member)
Ed von Holtum (EDC Member)
Clayton Zimmerman (Planning Commission member)
SPACC Staff
City Staff
Business Selection
Participants in the BR&E Program visited 24 businesses.
Recognizing that there is not the capacity to visit every business in the community, a strategy was
developed to prioritize visits with the intent of gathering data and building relationships with companies
that are poised for growth. Using the Minnesota Department of Employment and Economic
Development (DEED) Quarterly Census on Employment and Wages we identified the 289 companies in
the City of Arden Hills by industry type (NAICS Code). We then compiled quarterly job growth data to
identify the industry types that are experiencing the highest growth and flagged businesses within those
industries as priority visits.
In addition to leveraging localized industry sector growth, we layered the “Key Industries,” as defined by
Greater MSP and flagged businesses that are in that sector, regardless of growth, as priority visits.
Key Industries as defined by Greater MSP:
Headquarters & Business Services
Agriculture & Water Technology
Health & Life Sciences
Innovation & Technology
Financial Services
Lastly, we recognized the importance of “Legacy” businesses that may not be flagged as a candidate for
a BR&E visit based on industry growth or sector strength. Working with city staff and the EDC we
incorporated some of these businesses into the program to round out our targeted list of companies to
visit.
8
Businesses Visited
The BR&E Program identified 48 businesses that met the selection criteria for a visit. Of those
businesses, 36 were contacted and 24 visits were completed. A 67 percent response rate is well above
the industry average of 50 percent. The City of Arden Hills greatly appreciates the involvement of
participating businesses in this effort.
Acela IT Solutions
Aerotek
Anderson Niebuhr & Associates
Boston Scientific
Catholic United Foundation
Flaherty’s Arden Bowl
Frandsen Financial Corporation
Grotto Foundation
HealthPartners
Indigo Education
International Paper
Kelly Services
Laird Plastics
Land O’Lakes
Leggette Brashears & Graham
Lorton Data
Powder Technology
Spedco
Split Rock Studio
Therarising
Ulteig Engineers
UTC Fire and Security
Venture Solutions
Wilkerson Guthmann
Survey Analysis
Survey data, both from visits and follow-up reporting forms, was aggregated and is presented by data
set to maintain anonymity of the companies that were visited. Narrative data and key findings are
presented in this report as well and are the product of visits and analysis of the data by a team of
economic development experts. A supplemental assessment of the data has been commissioned by the
national consulting firm Smart Growth America and their report is pending.
9
BUSINESS COMMUNITY PROFILE IN RAMSEY COUNTY AND ARDEN HILLS
The City of Arden Hills has a strong existing base of businesses and is home to many large employers
including Boston Scientific, Land O’ Lakes and Bethel University. The City has the unique distinction of
being a net importer of jobs that are spread across many industry sectors. Major industry sectors
include Manufacturing, Information and Educational Services.
Employment by Industry Comparison
Ramsey County Manufacturing
Retail Trade
Public Admin
Management of Companies and
Enterprises
Admin and Support & Waste
Management and Remediation Svcs
Finance and Insurance
Professional, Scientific, and
Technical Services
Other Services (exc. Public Admin)
Information
Arden Hills
Manufacturing
Retail Trade
Public Admin
Management of Companies and
Enterprises
Admin and Support & Waste
Management and Remediation Svcs
Finance and Insurance
Professional, Scientific, and
Technical Services
Other Services (exc. Public Admin)
Information
10
Ramsey County Employment by Industry
NAICS Industry
Title
Q2, 2015 Data 2013-2015 2010-2015
Number
of Firms
Number
of Jobs
Avg.
Weekly
Wages
Numeric
Change
in Jobs
Percent
Change
in Jobs
Numeric
Change
in Jobs
Percent
Change
in Jobs
Total, All
Industries 13,037 327,621 $1,079 6722 2.05% 10279 3.14%
Health Care and
Social Assistance 1,677 60,959 $899 3347 5.49% 5468 8.97%
Educational
Services 436 31,841 $1,043 -132 -0.41% 1534 4.82%
Manufacturing 663 28,158 $1,399 931 3.31% 560 1.99%
Retail Trade 1,549 26,982 $565 360 1.33% 715 2.65%
Public Admin 428 26,126 $1,254 994 3.80% -501 -1.92%
Accommodation
and Food Services 1,059 22,954 $357 717 3.12% 1634 7.12%
Management of
Companies and
Enterprises
119 18,133 $2,308 1086 5.99% 1424 7.85%
Admin and
Support & Waste
Management and
Remediation Svcs
550 17,855 $613 -1991 -11.15% -1101 -6.17%
Finance and
Insurance 642 15,956 $1,524 -229 -1.44% -2668 -16.72%
Professional,
Scientific, and
Technical Services
1,486 14,239 $1,512 742 5.21% 1265 8.88%
Wholesale Trade 670 12,710 $1,392 394 3.10% 184 1.45%
Construction 786 12,349 $1,315 1301 10.54% 2423 19.62%
Other Services
(exc. Public Admin) 1,624 11,122 $674 148 1.33% 160 1.44%
Information 212 8,760 $1,406 -446 -5.09% 8760 100.00%
Transportation
and Warehousing 250 7,805 $925 -63 -0.81% -233 -2.99%
Arts,
Entertainment,
and Recreation
233 5,802 $706 209 3.60% -52 -0.90%
Real Estate and
Rental and Leasing 627 4,437 $835 52 1.17% 13 0.29%
Utilities 12 1,344 $1,716 1 0.07% 156 11.61%
Agriculture,
Forestry, Fishing
and Hunting
10 48 $530 48 N/A 48 N/A
Mining 4 35 $2,175 35 N/A 35 N/A
11
Arden Hills Employment by Industry
The community experienced significant volatility leading up to 2010. Employment has relatively stable in
the two most recent reporting years, a positive trend. Additionally, the highest growth areas have been
in industries that have higher average weekly wages.
NAICS Industry
Title
Q2, 2015 Data 2013-2015 2010-2015
Number
of Firms
Number
of Jobs
Avg.
Weekly
Wages
Numeric
Change
in Jobs
Percent
Change
in Jobs
Numeric
Change
in Jobs
Percent
Change in
Jobs
Total, All
Industries 293 11,835 $1,234 -14 -0.12% -585 -4.94%
Manufacturing 26 3,646 $1,575 8 0.22% -409 -11.22%
Administrative and
Support & Waste
Management and
Remediation
Services
19 2,136 $649 -488 -22.85% 266 12.45%
Management of
Companies and
Enterprises
6 1,266 $1,844 299 23.62% 1266 100.00%
Finance and
Insurance 29 568 $1,431 -39 -6.87% -212 -37.32%
Professional,
Scientific, and
Technical Services
52 543 $1,342 164 30.20% 543 100.00%
Retail Trade 20 407 $743 37 9.09% 407 100.00%
Information 7 250 $3,261 -63 -25.20% -139 -55.60%
Public
Administration 7 191 $1,023 -7 -3.66% 59 30.89%
Other Services
(except Public
Administration)
29 121 $602 8 6.61% 34 28.10%
Construction 12 40 $1,021 -7 -17.50% -46 -115.00%
Real Estate and
Rental and Leasing 14 24 $581 0 0.00% -3 -12.50%
Arts,
Entertainment,
and Recreation
N/A N/A N/A 0 N/A -11 N/A
Accommodation
and Food Services N/A N/A N/A 0 N/A -383 N/A
Wholesale Trade N/A N/A N/A 0 N/A -701 N/A
12
Major Employers in Arden Hills
Employee Inflow-Outflow, Arden Hills
The City of Arden Hills is unique in that it has a larger employment population than residential
population. City leadership might place greater weight on this daytime population than cities that have a
more traditional ratio of residents to those employed in the community.
Inflow/Outflow
Employed in Arden Hills 12644
Employed in Arden Hills but Living Outside 12392
Employed and Living in Arden Hills 252
13
Employee Migration, Arden Hills
The distance and direction in which your employment population commute from, and the trends over
time, play a significant role in the ability of your businesses to stay and grow in your community.
National trends suggest a reverse migration of people and companies to center cities (i.e. Minneapolis
and Saint Paul). These trends also suggest that individuals desire to be closer to work. Trends in the City
of Arden Hills from 2010 to 2013 are consistent with the national trends.
Understanding where your community’s employees commute from is also helpful when considering
where to invest city resources on issues of regional advocacy. These migration trends would encourage
increased investments in transportation including 35W, 694, and 35E.
Distance/Direction 2010 2013 Change
Less than 10 miles 6109 42.1% 5722 45.3% 3.2%
10 to 24 miles 6008 41.4% 5216 41.3% -0.1%
25 to 50 miles 1331 9.2% 1014 8.0% -1.2%
Greater than 50
miles 1075 7.4% 692 5.5% -1.9%
14
BR&E SURVEY RESULTS
Key Findings
Visit Survey
Companies in Arden Hills are generally seeing an increase in sales in the past year
This is consistent with regional and national trends and the general improvement of the
economy overall
The majority of companies targeted and visited during the BR&E program are Headquarters
Most companies perceive room for expansion at their current site
There is a healthy balance of sites that are leased vs. owned
Employment has largely remained stable in recent years
This is consistent with MN DEED Quarterly Employment Data for the City as a whole
Company’s generally anticipate adding jobs in the next year
There is opportunity for improved transportation to serve the business community
This data could be skewed due to the recent investments in transportation
infrastructure in the city
Transit is generally not used by employees in Arden Hills, however, there is an interest in
expanding transit opportunities
Companies that plan to make investments anticipate doing so within the next year
There is limited interest by companies in the City’s revolving loan fund
Companies overwhelmingly identify themselves as being located in Arden Hills vs. Saint Paul or
the Twin Cities
Follow-up Survey
The K-12 and Higher Education providers are perceived positively by the business community
There is opportunity for improved access to public transit
The overall quality of life in the City of Arden Hills is excellent
There is opportunity for improvement related to electricity and telecommunications services
These two areas are often critical to site selectors
15
Visit Survey Results
What has been the trend for company sales in the past year?
What type of facility?
Increased
Decreased
Been relatively stable
Flucuated widely
No Response
Branch
Distribution
Franchise
Headquarters
Home-based business
Manufacturing
Office-operation (non HQ)
R&D
Sales Office
16
Is there room for expansion at the site?
Is the site owned or leased?
Yes
No
Owned
Leased
17
What has happened to company employment in the past year?
What do you anticipate to happen to company employment in the next year?
Increased
Decreased
Stayed the same
Increase
Decrease
Stay the same
18
How well does transportation infrastructure serve your business?
Do your employees used transit (i.e. bus, light rail, etc.)?
Exceeds needs
Meets needs
Needs improvement
Yes
No
19
Would your employees use transit if there were increased service?
Does your company plan to make investments?
Yes
No
Unsure
Invest in new facilities
Make major equipment
purchases
Renovate/Expand current
facilities
None
No response
20
If your company plans to make investment, when do you plan to do so?
Would your company be interested in accessing the city’s revolving loan fund?
Within one year
Within two years
Within three years
Unsure
Yes
No
21
Has a representative of your company attended the State of the City event?
How do you identify the location of your business?
Yes
No
Arden Hills
Saint Paul
Twin Cities
22
What We Heard
Amenities
“The city could use more sit down restaurants for employees to use over the lunch hour and after
hours.”
Transportation
“The new development on Red Fox Road is great, however, it is causing too much traffic.”
“Traffic and congestion on Red Fox Road is a problem and seems to be getting worse.”
“It sometimes takes 20 minutes to get through the lights on Red Fox Road at the end of the day.”
Transit
“We’re interested in learning more about the possible extension of the bus rapid transit line that could
connect to Downtown Saint Paul and Minneapolis.”
“Would like to see improved bus service.”
“We are interested in the BRT line.”
Workforce
“It is difficult to find reliable part time help.”
“The employee pool lacks technical skills.”
23
Results, Follow-up Survey
Of the 24 businesses that were visited as part of the BR&E program, 18 completed the follow-up survey.
Training and Education
Transportation/Location
0 5 10 15 20
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Overall Workforce
Quality, AVG = 4.28
Customized Training
Programs, AVG = 4.17
Higher Education, AVG =
4.56
K-12, AVG = 4.83
0 5 10 15
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Proximity to Suppliers,
AVG = 4.56
Air Service, AVG = 4.61
Highway Infrastructure,
AVG = 4.33
Public Transportation,
AVG = 2.83
24
Quality of Life
Local Access to Capital
0 5 10 15
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Housing Supply for
Workforce, AVG = 4.56
Social Organizations and
Networks, AVG = 4.65
Crime Rate, AVG = 4.50
Cultural Opportunities,
AVG = 4.72
Recreational
Opportunities, AVG = 4.78
0 2 4 6 8 10
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Assistance from local
governments and/or non-
profits, AVG = 4.25
Lending by local financial
institutions, AVG = 4.06
25
Local Government
Utilities
0 2 4 6 8 10
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Local Fees, AVG = 4.28
Local Taxes, AVG = 4.11
Permitting/Zoning, AVG =
3.94
Attitude towards
business, AVG = 4.17
0 2 4 6 8 10
Poor = 1
Below Average = 2
Fair = 3
Above Average = 4
Excellent = 5
Electric Reliability, AVG =
4.39
Electric Rates, AVG = 3.83
Telecommunications/Broa
dband Rates, AVG = 3.56
Telecommunications/Broa
dband Service, AVG = 3.94
26
Recommendations
Visit and Survey Generated Recommendations
The visits and follow-up surveys yielded many actionable findings. It is recommended that the city
concentrate on a select few items that proved to be the most prominent themes identified through the
BR&E Program.
Recommendation 1
The City of Arden Hills and neighboring communities have been actively engaged in conversations
related to a proposed extension of the A-Line Bus Rapid Transit corridor that is currently planned to
terminate at Rosedale Mall.
Based on the information gathered, it is recommended that city staff and elected officials and/or
committees and commissions continue engaging in efforts to advance the proposed extension of the A-
Line. It is also recommended that the Economic Development Commission and Economic Development
Authority invite representatives from Metro Transit to a work session to provide an overview of planned
regional transit investments as well as an overview of regional and national transit trends, particularly as
they relate to employment.
Recommendation 2
Challenges related to accessing skilled workers was a theme during visits and is consistent with regional
trends. While the quality of education in the community at the K-12 and Post-Secondary level is
generally perceived as being favorable, there appears to be a disconnect between the types of
opportunities that exist in the community and the academic resources in the immediate area.
It is recommended that the city explore a relationship with one or several community and technical
colleges (i.e. Anoka-Ramsey Community and Technical College, Saint Paul College, etc.) in an effort to
bridge the gap of skilled workers. This could be accomplished by meeting with a business liaison at one
of these institutions and equipping city staff with information to pass along to businesses.
Recommendation 3
Companies in the City of Arden Hills are growing or plan to grow, both in sales and number of
employees. While most companies that received a visit perceive room for expansion at their current
site, it is important to engage in ongoing dialogue to ensure that their growth needs are being met.
It is recommended that city staff leverage a database to keep track of businesses that are expanding or
plan to expand, with a regular schedule for checking in on their progress.
27
BR&E Recommendations
Intensive BR&E Programs, like this one, are an important part of a business retention and expansion
strategy for a community. It is important to recognize that the data collected during this program
represents a snapshot in time, and that ongoing BR&E efforts are critical to maintain up to date
information and relationship building with the business community.
Recommendation 1
It is recommended that the Economic Development Commission oversee any ongoing business
retention and expansion efforts. As part of their annual work plan, the EDC should identify a targeted list
of businesses to be visited throughout the year.
Recommendation 2
As part of the city’s ongoing business retention and expansion efforts, it is recommended that the
chambers of commerce in the area be leveraged to supplement business retention and expansion visits.
The City of Arden Hills is served by the Saint Paul Area and Twin Cities North Chambers of Commerce.
Both entities conduct BR&E visits on a regular basis. The city should work with these organizations to
coordinate visits and ensure the appropriate people are involved in conducting the visits and that
information is shared.
Recommendation 3
The City of Arden Hills is largely served by a finite number of commercial real estate brokerage firms. It
is recommended that a roundtable including participants from these firms be conducted to gather
feedback on commercial real estate trends and in an effort to collect information to help inform future
land use policy discussions.
The Saint Paul Area Chamber of Commerce is willing to convene this roundtable as part of the initial
scope of work for the BR&E Program.
Recommendation 4
Information collected during BR&E visits is not only beneficial to the community that collects the data,
but also to the region and state as a whole. It is recommended that the City of Arden Hills consider
allowing BR&E data collected by the city to be uploaded into the regional or state Sales Force database
through the GreaterMSP or Grow Minnesota! portals.
28
CONTACT INFORMATION
Saint Paul Area Chamber of Commerce
401 North Robert Street, Suite 150
Saint Paul, MN 55101
651.223.5000
www.saintpaulchamber.com
Jonathan Weinhagen Matt Kramer
Vice President President/CEO
651.265.2770 651.265.2771
jonathan@saintpaulchamber.com matt@saintpaulchamber.com
29
APPENDIX A – BR&E SURVEY REPORTING FORM
THIS PAGE INTENTIONALLY LEFT BLANK
30
Business Retention & Expansion Survey
31
City of Arden Hills Survey Reporting Form (rev 2.23.15)
COMPANY NAME/CONTACT INFORMATION
Company Contact:
Company:
Parent Company:
County:
City:
OVERVIEW INFORMATION
Visit Date:
Interview Name:
Interviewer Email Address:
Organization Type (select one):
City
County
Chamber
MNSCU
Port Authority
BSR
Non Profit
Other
BUSINESS DETAILS
Primary Business Sector (select one):
Accommodation/Food Services
Administration/Support/Waste Management/Remediation Services
Agriculture/Forestry/Fishing/Hunting
Arts/Entertainment/Recreation
Construction
Educational Services
Finance/Insurance
Health Care/Social Assistance
Information
Management of Companies & Enterprises
Manufacturing
Manufacturing - Food/Candy
Mining
Professional/Scientific/Technical Services
Real Estate/Rental and Leasing
Retail Trade
Transportation/Warehousing
Utilities
Wholesale Trade
Non Profit
Other
Primary Sector Other:
32
Does Company have a succession plan? YES NO
Has the company ownership changed? YES NO
Or is change imminent? YES NO
Explanation:
Over the past year, have company sales (select one):
Increased
Decreased
Been relatively stable
Fluctuated widely
Not identified
FACILITIES
Type of facility (select all that apply):
Branch
Distribution
Franchise
Headquarters
Home-based business
Manufacturing
Office-operation (non HQ)
R&D
Sales Office
Is there room for expansion at site? YES NO
Is this facility owned or leased? Owned Leased
PRODUCTS/SERVICES
Company’s major products/services:
Has this company introduced new products? YES NO
Briefly describe new products:
LOCAL EMPLOYMENT AND WORKFORCE
Number of Full Time Employees at facility:
Number of jobs at this facility changed (select one):
Increased
Decreased
Stayed the same
If increased, was it hard to fill jobs? YES NO
33
Why are openings hard to fill? (select all that apply):
Poor work ethic
Lack of basic education
Lack of technical skills
Lack of candidates
Challenging location
Competition
Other
Expect the number of jobs at facility (select one):
Increase
Decrease
Be relatively stable
Unsure
Types of jobs do you expect to hire:
Anticipate need to train employees: YES NO
What kind of training will be needed?
TRANSIT/TRANSPORTATION
How well does existing transportation infrastructure serve your business (select one)?
Exceeds needs
Meets needs
Needs improvement
Please explain:
Do your employees use transit (i.e. bus/rail) ? YES NO
Do you think more employees would use transit if it were more readily available? YES NO
MARKET INFORMATION
Company’s primary market (select one):
International
United States
Midwest (including MN)
Minnesota
Local
Not identified
Company’s fastest growing geographic market (select one):
International
United States
Midwest (including MN)
Minnesota
34
Local
Not identified
Does this company export? YES NO
If so, where (select all that apply):
Africa & Middle East
Canada
Europe & Russia
Greater China
India, Pakistan, Central/South Asia
Japan & Korea
Southeast Asia
Australia & Pacific Oceania
Latin America & Caribbean
Mexico
Not Identified
Interested in learning about exporting? YES NO
Percent of sales outside US?
INVESTMENT PLAN
Does this company plan to (check all that apply)
Invest in new facilities
Make major equipment purchases
Renovate/Expand current facilities
None
Not identified
Please explain:
Approximate date of investment (select one):
Within one year
Within two years
Within three years
Unsure
If investing in new location, why (select all that apply)?
Access to labor
Access to markets
Environmental permit obstacles
High state taxes
High local taxes
Labor costs
Lease expiration
No room at this location
Quality of workforce
Transportation/infrastructure
Other
Explanation:_____________________________
35
COMMUNITY
The City has a revolving loan fund of approximately $150,000.
Would your business be interested in using this fund? YES NO
If yes, for what purpose?
The City holds a State of the City event every year.
Have you attended this in the past? YES NO
If no, why not?
If yes, how could the event be more useful?
Do you identify your business as being located in: ARDEN HILLS SAINT PAUL
Why?
The Economic Development Commission advises the City Council/Economic Development Authority
on issues concerning the business community.
Would you be willing to serve as a Commissioner? YES NO
POST DISCUSSION VISIT
Does this company require follow up? YES NO
If yes, what organization(s) should assist (select all that apply):
City
Chamber
College
State
Workforce
Other
36
APPENDIX B – FOLLOW-UP SURVEY REPORTING FORM
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37
City of Arden Hills Follow-up Survey Reporting Form (rev 7.31.15)
Rank the local business climate: Community Rankings
Education and Training
K-12 1 2 3 4 5 n/a
Higher education 1 2 3 4 5 n/a
Customized Training Programs 1 2 3 4 5 n/a
Overall W orkforce Quality 1 2 3 4 5 n/a
Transportation/Location
Public Transportation 1 2 3 4 5 n/a
Highwa y Infrastructure 1 2 3 4 5 n/a
Air Service 1 2 3 4 5 n/a
Proximity to Suppliers 1 2 3 4 5 n/a
Quality of Life
Recreational Opportunities 1 2 3 4 5 n/a
Cultural Opportunities 1 2 3 4 5 n/a
Crime Rate 1 2 3 4 5 n/a
Social Organizations and Networks 1 2 3 4 5 n/a
Housing Supply for W orkforce 1 2 3 4 5 n/a
Local Access to Capital
Lending b y local financial institutions 1 2 3 4 5 n/a
Assistance from local governments and/or non-profits 1 2 3 4 5 n/a
Local Government
Attitude towards business 1 2 3 4 5 n/a
Permitting/Zoning 1 2 3 4 5 n/a
Local Taxes 1 2 3 4 5 n/a
Local fees 1 2 3 4 5 n/a
Utilities
Telecommunications/Broadband Service 1 2 3 4 5 n/a
Telecommunications/Broadband Rates 1 2 3 4 5 n/a
Electric Rates 1 2 3 4 5 n/a
Electric Reliabilit y 1 2 3 4 5 n/a
38
APPENDIX C – TARGETED BUSINESS LIST
THIS PAGE INTENTIONALLY LEFT BLANK
Business Name Sector Category
39
Acela IT Solutions Inc Professional & Business Services IT Consulting
Adherent Laboratories Professional & Business Services Adhesive Laboratory and Consulting
Adobe Systems Manufacturing Publishers - Computer Software
Aerotek Staffing Agency Professional & Business Services Temporary Staffing Agency
Anderson Niebuhr & Associates Professional & Business Services Market Research Consulting
Apache Group Distribution Paper and Consumer Plastics
Asdco Construction Construction Materials Supply
Boston Scientific Manufacturing Medical Equipment & Supplies
Brausen Automotive Services Services & Retail Automotive Repair & Gas Station
Cardno ATC Professional & Business Services Environmental Consultant Services
Catholic United Financial Professional & Business Services Financial Services
Delkor Manufacturing Food Processing Equipment
Flaherty's Arden Bowl Entertainment Bowling Center/Restaurant
Frandsen Financial Corporation Professional & Business Services Banking and Financial Services
Galil Medical Inc Manufacturing Cryotherapy and Cryosurgery Equipment
Gradient Financial Professional & Business Services Financial Services
Grainger Distribution Tools and Equipment
Grotto Foundation Educational & Health Services Nonprofit - ECE and Native Languages
Health Partners Educational & Health Services Health Clinic
Hood Packaging Manufacturing Packaging Products
Innovative Special Education
Services Educational & Health Services Services to Charter Schools
International Paper Manufacturing Paper Products
IntriCon Manufacturing Body-worn Devices
Kelly Services Professional & Business Services Temporary Staffing Agency
Laird Plastics Manufacturing Plastics Fabricating & Finishing
Land O'Lakes Manufacturing Farm Products - Raw Materials
Leggette Brashears & Graham Professional & Business Services Environmental Engineering Consultants
Lindey's Steak House Entertainment Restaurant
Lorton Data Inc Professional & Business Services Marketing
Nott Company Manufacturing Industrial Products & Rubber Fabrication
Now Bike & Fitness Retail Bicycles
Oziama Company Inc Distribution Cargill Products
Pace Industries Manufacturing Alumimum Die Casting
Powder Technology Inc Manufacturing Particle Processing
Resolution Graphics Professional & Business Services Printing
Siemens Industry Inc Professional & Business Services Water Treatment Equipment & Supplies
Spedco Professional & Business Services SBA 504 Lendor
Split Rock Studio Professional & Business Services Exhibit Design & Fabrication
Staples Distribution Office Supplies
Streamworks/New Era
Incentives Professional & Business Services Marketing
Team Informatics Inc Professional & Business Services IT Consulting
Therarising Inc Professional & Business Services Workplace Conflict Resolution
40
Top Case Manufacturing Custom Cases
Ulteig Engineers Inc Professional & Business Services Civil Engineering & Survey Consulting
UTC Fire and Security Manufacturing Security Equipment & Systems
Venture Solutions Inc Professional & Business Services Compliance Communications
Walgreens Retail Health Care Goods & Services
Wilkerson Guthman Professional & Business Services Accounting & Financial Services
City of Arden Hills
Page 1 of 2
MEMORANDUM
DATE: January 25, 2016 New Business – 3B
TO: Economic Development Authority President and Commissioners
FROM: Jill Hutmacher, Community Development Director
SUBJECT: 2015 EDC Annual Report and 2016 Work Plan
Requested Action
Review the 2015 EDC Annual Report and approve the 2016 Work Plan.
Discussion
The Economic Development Authority approved the 2015 EDC Work Plan at the January 26,
2015 joint meeting with the Economic Development Commission. The EDC made significant
progress on its 2015 goals as summarized below.
New Member Recruitment
Three new members have been appointed to the EDC in 2015.
Business Retention and Expansion Program
Recommended to the EDA that the City obtain consulting services from the St. Paul
Chamber of Commerce (SPACC)
Worked with SPACC to compile a list of all businesses in the City of Arden Hills
Created an interview questionnaire
Selected businesses to interview based on industry and job growth
Participated in BRE interviews
Monitored process of BRE program
Received the Leaders in Local Government Award from the St. Paul Area Chamber of
Commerce in the category of Business Retention and Expansion
Marketing and Outreach
Worked with the Communications Committee to assign business-related newsletter topics
Edited, finalized, and posted the City Video Tour on the City’s website and YouTube
channel
City of Arden Hills
Page 2 of 2
Provided feedback on installed Gateway Signs and possible locations for additional signs
Planned and promoted State of the City events on September 29 and October 1
The EDC approved a 2016 Work Plan on January 6, 2016. EDA review and approval of the
work plan is requested.
Attachment
2016 EDC Work Plan
City of Arden Hills
1245 West Highway 96 ▪ Arden Hills Minnesota 55112
Phone 651-792-7800 ▪ Fax 651-634-5137
www.cityofardenhills.org
Economic Development Commission
Draft 2016 Work Plan
2016 EDC Goals Work Tasks Timeline
New Member
Recruitment
Promote membership at business visits Q1 – Q4
Contact Arden Hills business associates Q1 – Q4
Business Retention and
Expansion (BRE) Program
Analyze findings of the BRE Program Q1
Communicate program findings to the EDA and
community Q1 – Q2
Work with EDA to identify and execute action items Q2 – Q4
Revolving Loan Fund
Reevaluate program goals Q2 – Q3
Consider costs of underwriting and administration in
comparison to program fund and goals Q2 – Q3
Consider findings of the BRE Program Q2 – Q3
Make recommendations to the EDA Q3 – Q4
Marketing and Outreach
Work with the Communications Committee on
business-focused articles Q1 – Q4
Plan and promote State of the City events Q2 – Q3
Work with staff to plan additional small business
outreach events Q1 – Q4
Expand and update business contact list Q1 – Q4
Visit new and existing businesses Q1 – Q4