05/10/18 - Laserfiche WebLink

Home

Economic Development Mgr./Assistant City Administrator Brama presented the staff report. Chairperson Steffen referenced option three and received confirmation that program does not currently exist in Ramsey at this time. Member Riley stated that it seems that there are two different categories of incentives, one which would apply to a small local restaurant and one which would apply to a national chain type restaurant. He stated that perhaps there would be two different programs for two different targets. He noted that while one category would not assist in bringing in a national chain restaurant, it could help a smaller local user to open a restaurant in Ramsey. Chairperson Steffen asked if the first option would only apply to new construction and not an existing location. Economic Development Mgr./Assistant City Administrator Brama confirmed that in most cases, that first tool would only apply to new construction. He stated that if the EDA is interested in multiple options, staff could tie those together into a restaurant incentive policy. Chairperson Steffen noted that the first tool worked well in the past, although it has sunset, and agreed that would be a helpful tool to bring back. He asked if Member Riley felt that these tools would not be helpful for a national user. Member Riley stated that he believes that a national user would take advantage of some of these tools but did not believe that the tools would be enough to bring those national users to Ramsey. Economic Development Mgr./Assistant City Administrator Brama agreed that national users rely heavily on demographics. He explained that national users will make their decision based on demographics and then dig deeper to take advantage of tools available and agreed that the tools will not sway the decision of a national user. He agreed that the tools could however sway a local or regional user. Chairperson Steffen stated that the revolving loan fund should include restaurant users. He stated that the revolving loan fund does not get the use that it could. Economic Development Mgr./Assistant City Administrator Brama confirmed that one local business recently paid off their loan. He stated that there is an outstanding obligation to Stone Brook Academy for $100,000 but noted that there still is an available balance of about $200,000. He stated that it is difficult for a restaurant user to qualify for financing for a start-up. Member Burandt suggested adding options one, two and three as tools. He stated that he would be in favor of adding those options, with the clause that the request still comes back to the EDA for review. Chairperson Steffen asked if anyone would be opposed to using the revolving loan fund for restaurant users. Economic Development Authority/May 10,2018 Page 2 of 5