4.4.
Economic Development Authority (EDA)
- Meeting Date:
- 06/14/2018
- By:
- Katie Schmidt, Administrative Services
Title:
Restaurant Subsidy Program
Purpose/Background:
PURPOSE/ BACKGROUND
The city has received feedback from residents, businesses, visitors, and elected/ appointed officials that attracting more restaurants is a priority for Ramsey. The purpose of this case is to review the proposed restaurant subsidy program documents that be the basis of this economic development program. This case was reviewed at the May EDA Meeting. Final policies are now offered for adoption.
The city has received feedback from residents, businesses, visitors, and elected/ appointed officials that attracting more restaurants is a priority for Ramsey. The purpose of this case is to review the proposed restaurant subsidy program documents that be the basis of this economic development program. This case was reviewed at the May EDA Meeting. Final policies are now offered for adoption.
Notification:
Observations/Alternatives:
STRATEGIES
(1) Full Service Restaurant Subsidy: Water Availability Charge Program
See attached draft policy. This policy is focused on forgiving 70% of the city's water access charges. The City has used this subsidy two times in the past (Acapulco and Falls Cafe). The Falls Cafe ended up not using the subsidy. WAC fees on a single new restaurant can run 10's of thousands of dollars. This program requires the city to fund the subsidy from designated EDA funds, and in turn, the restaurant user would receive a reduction in the fee that they pay.
(2) Establish a Sign & Awning Grant Program
Please see attached draft Sign and Awning Program policy and application. The program provides a one-time grant to help users with the cost to upgrade/ replace/ construct new signs and awnings. The City would use the EDA Fund as the funding source. many City's use this type of program as a relatively low cost way to enhance commercial exteriors for new businesses.
(3) Expand City's Business Welcome Services
Today, when a new business comes to the City of Ramsey, staff offers "business welcome" opportunities. This includes a free facebook post, twitter post, city newsletter article, website article, grand opening ceremony services from the chamber, and a newspaper article lead. For new restaurants, staff believes the city could expand these services to include free admission to various city events*. Please see attached draft Marketing Opportunites.
*EDA Business Expo, EDA Golf Tournament hole sponsor, Happy Days Business Expo, Happy Days parade, Draw Event Series signage, etc.
(1) Full Service Restaurant Subsidy: Water Availability Charge Program
See attached draft policy. This policy is focused on forgiving 70% of the city's water access charges. The City has used this subsidy two times in the past (Acapulco and Falls Cafe). The Falls Cafe ended up not using the subsidy. WAC fees on a single new restaurant can run 10's of thousands of dollars. This program requires the city to fund the subsidy from designated EDA funds, and in turn, the restaurant user would receive a reduction in the fee that they pay.
(2) Establish a Sign & Awning Grant Program
Please see attached draft Sign and Awning Program policy and application. The program provides a one-time grant to help users with the cost to upgrade/ replace/ construct new signs and awnings. The City would use the EDA Fund as the funding source. many City's use this type of program as a relatively low cost way to enhance commercial exteriors for new businesses.
(3) Expand City's Business Welcome Services
Today, when a new business comes to the City of Ramsey, staff offers "business welcome" opportunities. This includes a free facebook post, twitter post, city newsletter article, website article, grand opening ceremony services from the chamber, and a newspaper article lead. For new restaurants, staff believes the city could expand these services to include free admission to various city events*. Please see attached draft Marketing Opportunites.
*EDA Business Expo, EDA Golf Tournament hole sponsor, Happy Days Business Expo, Happy Days parade, Draw Event Series signage, etc.
Funding Source:
Funding for financial assistance would come from the City's EDA Account.
Recommendation:
Staff recommends approving the three draft documents as part of the Restaurant Subsidy Program.
Action:
Motion to recommend that the City Council approve the attached policies/programs related to recruiting new restaurants.
Attachments
- Water Availaiblity Charge Program
- Restaurant Sign and Awning Program
- Restaurant Subsidy Marketing Opportunity
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Brian Hagen | Tim Gladhill | 06/07/2018 11:25 AM |
| Kurt Ulrich | Kurt Ulrich | 06/07/2018 03:37 PM |
| Kurt Ulrich | Kurt Ulrich | 06/08/2018 03:02 PM |
- Form Started By:
- Katie Schmidt
- Started On:
- 06/06/2018 12:13 PM
- Final Approval Date:
- 06/08/2018