Wadena County Economic Development Committee Recommendations Report
Wadena County Economic Development Committee Recommendations Report Overview Wadena County is exploring options of retaining a Wadena County Economic Development Coordinator, based upon a feasibility study created in September of 2008 entitled, Wadena County Economic Development Coordinator Feasibility Study. (See addendum 1) The purpose of the report was to provide engaged citizens, business leaders and local elected officials a tool for objectively evaluating the feasibility and sustainability of creating a professional economic development position to serve Wadena County. In an effort to implement the goal of retaining a countywide Economic Development Coordinator, Wadena County created a 13 member committee to analyze scenarios put forth by the feasibility study and to develop a report on their findings including specific recommendations for the consideration of the county board. The committee was created thru and followed the processes identified in Minnesota Statute 469.1082, County EDA or HRA with EDA powers in a non-metro county. Committee Members The committee was strategically structured to include community participants that encompassed the overall population of Wadena County. There were 13 committee members, listed below: Lee Westrum, Chairperson Craig Folkestad, Vice Chairperson Gary Sellman Wayne Wolden Matthew Van Bruggen Wendy Cannon Bruce Kinnunen David Anderson Del Moen Richard Sorgert Jef Cichos Wayne Isaacson Liz Olson 1
Committee Representation The Wadena County Economic Development Committee was created utilizing MN Statute 469.1082, County EDA or HRA with EDA powers in nonmetro county, (see addendum 2) which requires no fewer than 11 and no more than 15 members to be appointed by the county board, must include at least one city official, at least one housing and redevelopment official, and at least one township official. Additional members may include school districts, political subdivisions, nonprofit or for-profit housing and economic development organizations, business and labor organizations. The County may appoint no more than two county commissioners, as identified in Subd. 2. Local Committees. The Wadena County Board elected not to appoint any county commissioners. The committee consisted of 13 members, the member names and represented organizations are listed below: Gary Sellman, President of Mid- Central Federal Savings & Loan and member of Wadena Housing and Redevelopment Authority Wayne Wolden, Mayor-City of Wadena Lee Westrum, Superintendent, Wadena-Deer Creek Public Schools Matthew Van Bruggen, Attorney at Law and Tri-County Hospital Board of Directors Wendy Cannon, Wadena County Townships Association Bruce Kinnunen, Kinnunen Insurance David Anderson, Wadena County Veteran s Service Officer and Mayor Del Moen, Pastor Craig Folkestad, The Gores Company Richard Sorgert, Thomastown Township Jef Cichos, First International Bank Wayne Isaacson, A Clean Plate Liz Olson, Business Manager, Menahga School District; Menahga Civic & Commerce President and Business Owner in Menahga - Greener Tomorrows Committee Report Requirements The Wadena County ED Committee is required per MN Statute 469.1082, Subd.3, to submit the report to the county board within 90 days of the initial committee meeting and dictates the committee to be informed of and report on: 1) The current level of economic development, housing and community development programs and services provided by existing agencies; identify any existing gaps in programs and services; and the capacity and ability of existing agencies to expand their services. 2) The recommended organizational option for providing needed economic development, housing and community development services in the most efficient, effective manner. 3) The distance from the boundary of the city that may be controlled by each affected city in Subd. 5 2
The committee may ONLY recommend one of the following options, Subd. 4, organizational options. 1) Establishment of a county housing and redevelopment to economic development operate under sections authority to operate under 469.090 to 469.1081. sections 469.090 to 469.1081. 3) That the county pursue special (See addendum 3) legislation 2) Requiring an existing county 4) No change to the existing housing and redevelopment structure authority or multicounty Current Level of Economic Development, Community Development and Housing The committee learned the current level of economic development, housing and community development programs and services being provided by existing agencies through panel discussions and presentations by each agency that covers Wadena County. These agencies include, Wadena Development Authority, West Central EDA, DEED, SBDC and on a regional scale, Initiative Foundation and Region Five Development Commission. The agencies invited but were unable to attend are the Wadena HRA and Staples EDA. The committee had the opportunity to ask questions to each of the agency representatives. Each of the agencies were asked to present on their area they focus their services, the services they offer and anything else they felt would be pertinent for the committee to know when making a decision regarding a county wide ED coordinator. After the presentations, the committee established the current level of services, programs and areas covered as listed by agency below. communities include Aldrich, Menahga, Nimrod, Sebeka, Staples, Verndale and Wadena. Programs and Services - regional resources, networking, education and advocacy for economic and business development, SBDC Services Wadena Development Authority (WDA) Service Area - City of Wadena and occasionally surrounding townships Programs and Services - Lending, business technical assistance for new and current businesses looking to relocate to the area or expand present business West Central Economic Development Alliance (WCEDA) Service Area Ottertail, Wadena, Douglas, Todd and Hubbard Counties; Partner Department of Employment and Economic Development (DEED) Service Area Statewide Programs and Services LUG services; financial assistance lending and grant programs, shovel-ready site certification. 3
Business Services; financial assistance and technical assistance Staples Economic Development Authority (SEDA) Service Area - City of Staples and occasionally surrounding townships Programs and Services - Lending, business technical assistance for new and current businesses looking to relocate to the area or expand present business Wadena Housing and Redevelopment Authority (WHRA) Service Area City of Wadena Programs and Services Affordable housing, section 8 housing Small Business Development Center (SBDC) Service Area - Statewide Programs and Services Small business development technical assistance including creating a business plan and financial planning, etc. Unmet Needs of Wadena County After the presentations the committee reflected upon existing gaps in the current programs and services. Below is a listing of what was observed: There is not a dedicated ED working at the county level Service being coordinated between, city, county and township Assessing services to the township of development services, grant writing, deal coordination There may be a gap in serving the townships Funding is unknown to rural areas Not served Communication I feel, is the greatest gap in all programs and services throughout the county Need coordination of services. County and township development New Ag Pros/Cons of obtaining/creating a County ED Coordinator positions After the presentations the committee reflected upon benefits and hindrances for the county on creating or obtaining a County ED Coordinator. Below is a listing of what was observed: (condensed version See addendum 4 for complete list) Pros: County-wide collaboration and assistance Additional tax base Jobs Service coordination Boots on the ground Consistent development program Cons: Cost More County staff Potential bias to specific areas Lack of confidentiality 4
Capacity and Ability to Expand Services It is the consensus of the group that some of the agencies would have the capacity to expand their services to cover the needs of the county. Committee recommendation Organizational Option After identifying the current level of service and programs being offered, as well as identifying the unmet needs of Wadena County, the committee all agreed that the recommendation is to establish a county economic development authority to operate under sections 469.090 to 469.1081, Option 1 of Subd. 4 from MN Statute 469. To do this the committee specifically recommends the county contract part-time with an existing agency, as identified as a viable option in the 2008 Wadena County Economic Development Coordinator Feasibility Study, Scenario D (see addendum 1, for study) The committee identified additional specific recommendations around potential funding options, marketing/info sharing and structure. These items are not part of the report, however the committee felt strongly about sharing these thoughts and ideas with the Wadena County Board. The recommendations may be taken into consideration when identifying specific responsibilities and/or determining funding possibilities. (See addendum 5, for additional committee recommendations) Distance (see MN Statute 469, Subd. 5 for full detail of Area of Operation requirements) As part of the reporting requirements, the committee considered the distance from the boundary of a city that may be controlled by each affected city. (See Subd. 5 of statute 469, Area of Operation, which states, the area of operation of a county ED service provider shall include all cities within a county that have adopted resolutions electing to participate, additionally a city may elect to withdraw participation by adoption of a resolution) The group recommends the distance be two miles from of the city boundary. Overview of Meetings (See addendum 6 for all meeting materials) Each meeting was strategically organized to learn and share ideas as group. The committee members were given time to discuss ideas or thoughts as well as ask many questions of the presenters. Meeting one: 4/8/14 The first meeting was held on April 8, 2014 at the Wadena County Courthouse from 6:00-8:00pm. This meeting was the kick off and very informational. Discussion of the committees role took place as well as electing the committee Chairperson, Lee Westrum and the Vice Chair Person, Craig Folkestad. There were presentations by Region Five Development Commission and Initiative Foundation. Elections Chair Person and Vice Chair Person 5
Review of MN State Statute 469 (See addendum 2) Review of 2008 Feasibility Study (See addendum 1) Presentation by Cheryal Lee Hills, Region Five Development Commission o Other County-wide Economic Development models Presentation by Dan Frank, Initiative Foundation o Initiative Foundation s Economic Development role in Wadena County Presentation by Cheryal Lee Hills, Region Five Development Commission o Region Five s Economic Development role in Wadena County Meeting two: 4/16/14 The second meeting was held on April 16, 2014 at the Wadena County Courthouse from 6:00-8:00pm. This meeting was also informational. Two new committee members joined the group and there were presentations from West Central EDA, Wadena Development Authority, DEED and SBDC. Panel discussion Q&A Brainstorm on what a county wide ED coordinator would do o Unmet county needs o Benefit of county ED for residents o Expenses o Any other questions or comments Sent home worksheet to get each members opinion Meeting three: 5/6/14 This meeting was held on May 6, 2014 at HUB 71 in Sebeka from 11:30-1:30pm. This was a working meeting. The committee reviewed worksheet responses and made revisions. Review/discussion and make additions to worksheet o Unmet needs o Pros/Cons o Initial preference o Other questions/concerns Discuss committee report requirements Determine the committee s recommendation for preferred organizational type o Establishment of a county economic development authority o Use of existing housing and redevelopment authority o That the county pursue special legislation o No change in the existing structure Determine recommended distance from city borders Questions and concerns 6
Meeting four: 6/3/14 This meeting was held on June 3, 2014 at Blueberry Pines in Menahga from 11:30-1:30pm. This was a working meeting, the draft recommendation committee report as a group and took time to revise as we went. Review draft committee report and addendums Make changes to report 6/24/14 at 9am. Chairman Lee Westrum will present report to Wadena County Board 7