Agenda - Economic Development Authority - 12/08/2011

Home

EDA BUSINESS Case #1 Update Buxton Study Retail Analysis Economic Development/Marketing Manager Backman presented the Staff Report that discussed the Buxton Study Retail Site Analysis (RSA) Update, the Retail Match List and related Operation Status of Potential Retailers. The report assumes a primary drive -time trade area of 12 minutes, delineates the household profile of the customers for both retail sites (167th Ave/Hwy 47 and The COR), and the surplus/leakage levels for 11 major and 49 minor store types. Member McGlone stated that he thinks the Board needs to be cautious on how to use this report. He thinks a three minute drive time in a local neighborhood area seems more reasonable. Economic Development/Marketing Manager Backman stated that the RSA study used a 12 minute drive -time for both sites. However while 12 minutes may work for site number two (The COR), three to six minutes for site number one (167th & Hwy 47) may be better. Also, The COR could draw people from farther out than the 12 minutes (ex. medical clinic services). Deputy City Administrator/Community Development Director Nelson stated that the Buxton Study was not intended to be a market study, but a psycho demographic study, looking at who lives here, who spends money here. It was to help narrow our sights as to who would fit and survive here. She would like the EDA board to look back as to why we did the Buxton Study before it be considered inadequate and useless. It helps us to focus our efforts and target who we are, the study has helped in the COR. Economic Development/Marketing Manager Backman stated no action is required by the Board, however, if there are specific retailers on the list they would like pursued, members should let Mr. Backman know. Member Wise stated he didn't see any convenience stores on the retail list. They are traffic generators and might be places to start or add to the list. Mr. Backman stated he will make that suggestion to Buxton. Case #1A Discuss Potential of a Franchise Fee City Administrator Ulrich presented the staff report that updated the members on the potential enactment of a City franchise fee on natural gas and electricity bills for businesses and residents in order to cover the cost of road maintenance and replacement. He explained that the City Charter states that residents can petition out of road improvement projects with 51% opposing any proposed assessments. The City pays hundreds of thousands of dollars on feasibility studies; the project is opposed, and then not done. The City needs to look at a better way to get projects completed because the road funding problem does not go away. Public Works Director Olson stated there is approximately 140 miles of local roadways, most of which were built from 1975 — 1980. Roadways have a 40 year life span, so the City will have some funding hurdles coming in 2015. He discussed a public communication plan for road funding. Economic Development Authority/October 13, 2011 Page 2 of 5