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7.6.
CC Regular Session
Meeting Date:
08/25/2015
Submitted For:
Patrick Brama
By:
Patrick Brama, Administrative Services

Information

Title:

Dedicated Networks: Consider Resolution in Support of Minnesota Job Creation Fund Application For a Proposed Facility Expansion at 14000 Unity St NW

Purpose/Background:

PURPOSE:
Consider Resolution in support of Dedicated Networks to apply for Job Creation Fund dollars through the State of Minnesota.

BACKGROUND

Dedicated Networks, Company
Dedicated Networks, Inc. is a quickly growing family owned corporation that sells new and used networking and computer products, with a specialization in Cisco and Juniper equipment.  Please see attached Job Creation Fund (JCF) application, or the following link, for additional background information: http://www.dedicatednetworksinc.com/about-us/.

Dedicated Networks, Facility
Dedicated Networks is currently located on a 3.51 acre parcel at 14000 Unity Street NW in Ramsey.  They would like to expand their existing 25,000 square foot building by 20,000 square feet (total 45,000 square feet).  Please see attached JCF application additional background information.

Minnesota Job Creation Fund (JCF)
The State of Minnesota, Department of Employment and Economic Development, has indicated this proposed project would qualify for JCF dollars.  JCF awards are provided based on two performance measurements: (1) job creation and (2) capital investment.  The first step in this process is to apply--attached is an application (purpose of this case). It should be noted, private businesses cannot directly apply for DEED incentives.  DEED requires a local municipality to apply on behalf of the benefiting business.  For more information on the State JCF program, please visit this link: http://mn.gov/deed/business/financing-business/deed-programs/job-creation-fund.jsp.

Notification:

Notification is not required at this time.

Observations/Alternatives:

The proposed Dedicated Networks expansion has the following benefits for the City of Ramsey to consider:
--business retention
--nearly double size of facility that currently pays about $20,000 in total property taxes
--retain 62 full time equivalent jobs
--create 30 new jobs by December 2017
 
Preliminary Development Review

Prior to the current financial request, Dedicated Networks, through its contractor, has been working with City Staff on development review. The site is located within the E-1 Employment District which is intended to accommodate general industrial activities. Based on the information submitted thus far, it appears that the proposed expansion shall comply with the bulk standards (setbacks, minimum parking, building height, etc.) and design standards. The proposed expansion appears to qualify for the City's new Administrative Site Plan Review process recently adopted by the City Council.

Dedicated Networks has submitted an application for Building Permit. Based on initial review, it appears that the proposed expansion can meet the minimum standards of the zoning code. Staff is also confident that the proposed expansion will be able to meet the required provisions of the Minnesota State Building Code; however Staff's final review has not yet been completed. As it relates to civil engineering design (grading, stormwater, utilities), revised plans and detailed stormwater analysis and calculations have been requested. The concept plan identifies multiple infiltration areas, but Staff does not have sufficient data at this time to make a final determination. There will likely need to be some changes to the grading plan to comply with applicable stormwater provisions. Based on the area of disturbance, the request will also need to be reviewed by the Lower Rum River Watershed Management Organization. This information has been relayed to the Applicant.

Funding Source:

State of Minnesota

Recommendation:

EDA RECOMMENDATION:
Recommend City Council adopt Resolution #15-08-195 declaring the City of Ramsey's support of applying to the State of Minnesota Department of Employment and Economic Development Job Creation Fund program.

NOTE: staff expects a Ramsey Revolving Loan Fund application for this project to come before the EDA in September.  Dedicated Networks is currently completing their application.  Mike Mulrooney, with ACG, will be underwriting said application; and his recommendation will be included.  Attached to this case are EDA minutes.

Action:

MOTION TO:
Adopt Resolution #15-08-195 declaring the City of Ramsey's support of applying to the State of Minnesota Department of Employment and Economic Development Job Creation Fund program.

Attachments

Form Review

Inbox Reviewed By Date
Brian Hagen Tim Gladhill 08/20/2015 08:54 AM
Kurt Ulrich Kurt Ulrich 08/20/2015 11:36 AM
Form Started By:
Patrick Brama
Started On:
08/18/2015 04:11 PM
Final Approval Date:
08/20/2015