With the creation of the newest industrial park in Becker in 1994 the city has been actively providing land for industrial development. From the land purchased from Fred and Vivian Doering in 1993 the city acquired 121 acres. Of that amount all but 30 acres were developed into lots with roads and utilities. When we look at whats left we have only four platted sites. One site will not be sold as it is the future site for the North Star Corridor Station. One lot of 2.38 acres is adjacent to Advanced Extrusion. This lot is potentially available but there is some interest in it. There are two other 1 acre lots which are under an option until January 1, 2008. It is anticipated this option will be undertaken so these properties will soon be occupied.
This brings us back to the undeveloped 30 acres the city has for future industrial development. The city has been looking at options concerning development of this property for some time. The development of this property is somewhat expensive as it requires higher development costs in needing a lift station for sanitary sewer. Addressing these costs is one issue but another is defining the best approach in development.
The city has recently authorized a study to determine costs, layout and construction time lines for the potential development of this site. The study will determine a layout for proposed sanitary sewer, water main and storm drainage for two different alternatives. The study would also analyze storm water run off from each alternative along with a statement of probable costs. Finally it would identify and calculate the preliminary assessments that would be placed on the property.
Taking these steps moves us in the direction of providing additional land for industrial development and thereby generating tax base and employment. Once the time lines are know for the construction of the project the city will be able to better plan and discuss the development with the city council and potential developers.
Wednesday, August 22, 2007
I have been speaking quite a bit about the need for water and the problems associated with providing it that we've experienced. Well #5 has failed and needed to checked out to see if it could continue to be used by the city. This is one of our bigger wells. Bringing this well back on line has been interesting and frustrating as there area number of steps to go through to see if the well can be rehabilitated and reused. The city started the process only to determine the well is no longer viable and a new well is needed to be constructed.
Several options have been considered for replacement. The city had been going down the path of constructing a new well on the east side of the river to address future needs. This path of construction had a number of issues which were felt to be workable but required a good deal of coordination with Sherburne County, as we were going to use their right of way, and the Department of Health. When establishing a new public well there are numerous steps that must be undertaken to meet their standards. One of these requirements is a Well Head Protection Plan and subsequent zone. Presently the city has a plan and zone but it doesn't include the proposed well on the east side of the Elk River. Expanding the plan and designating a new zone takes considerable time and effort. Given the need for a replacement well before next summer it was felt it may not be in our best interests to pursue this option at this time. That being said it is important that we move in this direction with a new well field in a different area in the immediate future but we need to focus our energies on what will meet our needs in the shortest time frame.
Looking at our existing wells and present wellhead protection plan it is easier to locate a new well within our existing boundaries of the established zone. Two options were discussed which involve new wells near existing ones which can take advantage of the present well houses and also avoid some of the more lengthly requirements from the Department of Health in establishing a new well. The first option was to build a new well near the existing failed well. This well is located in the golf course. We hope we can find a location where water can be pumped without influence on the other existing wells in this location. The second option would be to replace the small well located in Carl E. Johnson Park off of Riley with a larger well. This too would take advantage of an existing well house. The replacement well could be reused for irrigation of the park as an added benefit.
Both of these options have merit and only upon doing the preliminary pilot wells and hydrology studies will we know if one or both sites will work out. We're optimistic that at least one site will work but until the preliminary work is completed it is difficult to be certain. Establishing a new municipal well is not an inexpensive endeavor. It has been estimated that costs will range from $70,000 to $80,000. This figure could increase if additional piping is needed. The goal is to get a well on line prior to next summer. This is achievable but also means we need to act as quickly as we can.
I want to recognize the efforts of Karla Eggink, the city's Public Works Director and City Engineer, for considering all options and thinking outside of the box. Given the existing use and need for additional water resources, sooner is better. With any luck we'll have some answers for the council to consider at their next meeting.
Several options have been considered for replacement. The city had been going down the path of constructing a new well on the east side of the river to address future needs. This path of construction had a number of issues which were felt to be workable but required a good deal of coordination with Sherburne County, as we were going to use their right of way, and the Department of Health. When establishing a new public well there are numerous steps that must be undertaken to meet their standards. One of these requirements is a Well Head Protection Plan and subsequent zone. Presently the city has a plan and zone but it doesn't include the proposed well on the east side of the Elk River. Expanding the plan and designating a new zone takes considerable time and effort. Given the need for a replacement well before next summer it was felt it may not be in our best interests to pursue this option at this time. That being said it is important that we move in this direction with a new well field in a different area in the immediate future but we need to focus our energies on what will meet our needs in the shortest time frame.
Looking at our existing wells and present wellhead protection plan it is easier to locate a new well within our existing boundaries of the established zone. Two options were discussed which involve new wells near existing ones which can take advantage of the present well houses and also avoid some of the more lengthly requirements from the Department of Health in establishing a new well. The first option was to build a new well near the existing failed well. This well is located in the golf course. We hope we can find a location where water can be pumped without influence on the other existing wells in this location. The second option would be to replace the small well located in Carl E. Johnson Park off of Riley with a larger well. This too would take advantage of an existing well house. The replacement well could be reused for irrigation of the park as an added benefit.
Both of these options have merit and only upon doing the preliminary pilot wells and hydrology studies will we know if one or both sites will work out. We're optimistic that at least one site will work but until the preliminary work is completed it is difficult to be certain. Establishing a new municipal well is not an inexpensive endeavor. It has been estimated that costs will range from $70,000 to $80,000. This figure could increase if additional piping is needed. The goal is to get a well on line prior to next summer. This is achievable but also means we need to act as quickly as we can.
I want to recognize the efforts of Karla Eggink, the city's Public Works Director and City Engineer, for considering all options and thinking outside of the box. Given the existing use and need for additional water resources, sooner is better. With any luck we'll have some answers for the council to consider at their next meeting.
Thursday, August 9, 2007
Milestones
At the city council meeting on August 7, 2007 the council discussed and approved the sale of property along Highway 10 for a proposed bowling alley. The property is between Starcor Credit Union and County Lumber along Bank Street. This is another milestone event for the city when it gets built. The city in the past had done a public opinion survey to ask what businesses the residents wished to see in the city. A bowling alley ranked 7th as a need within the community behind some of the things already accomplished. These included fast food, grocery store, pharmacy and clinic. Having a bowling alley accomplishes another goal and provides an outlet for recreation and entertainment that was lacking in our community.
The proposed facility is contemplated as a 15,000 square foot building that would start with 8 bowling lanes and a 4,000 square foot banquet area. The building would also include a bar/dining area and potential game room. The plans include an expansion for an additional 8 bowling lanes as demand dictates. Mr. Gary Cox, a resident of the Becker community, is the developer on the project. He hopes to start construction next spring.
A lot needs to happen over the next several months to pull all the pieces together. We wish Mr. Cox the best in this pursuit. Having this facility within the community is not only a change in the landscape but another way to bring the community together. Hats off to Mr. Cox for recognizing the need and taking action.
The proposed facility is contemplated as a 15,000 square foot building that would start with 8 bowling lanes and a 4,000 square foot banquet area. The building would also include a bar/dining area and potential game room. The plans include an expansion for an additional 8 bowling lanes as demand dictates. Mr. Gary Cox, a resident of the Becker community, is the developer on the project. He hopes to start construction next spring.
A lot needs to happen over the next several months to pull all the pieces together. We wish Mr. Cox the best in this pursuit. Having this facility within the community is not only a change in the landscape but another way to bring the community together. Hats off to Mr. Cox for recognizing the need and taking action.
Thursday, August 2, 2007
Preliminary Levy
The Minnesota Department of Revenue (DOR) made a large change this year with the way utility and pipeline property is valued. The result of the change involves a devaluation of Investor Owned Utilities in Electric an average of 27%. In Becker the overall reduction in net tax capacity will be 15% by 2010. Given the large decrease in values the rule change made by DOR will be phased in over a 3 year period. In 2008 we’ll see a reduction of 20% of the difference between the old value and new reduced value. For 2009 that difference will increase to 50% and with taxes payable in 2010 the reduction will be complete with the total devaluation, due to the change in rules, taking place.
The city council has been working on a budget that anticipates cutting of some expenditures ($173,900) and a small increase in taxes. The preliminary levy shows an increase of $35,944. This increase is 0.69%. Keeping the increase low is good news but the resulting estimated tax rate, given the reduction in taxable property values, has been estimated to increase from 31.33 to 32.9075. This is an increase in rate of about 1.6.
The council, by law, must set the preliminary levy by September 15, 2007. This means the preliminary levy will be set on September 4th. With the preliminary levy set the amount can not increase but can decrease. The city will continue to look for ways of trimming the budget until the final levy is set at the end of the year. Any feedback the public may have concerning the budget would be appreciated prior to the September 4th meeting and subsequently thereafter.
As many of you know legislation this year was pursued to address the loss of value. A bill was passed in both the House and Senate and included in the final omnibus tax bill. After the session closed the governor vetoed this bill for other reasons. By doing this the rule change became effective and created the loss in value we’re addressing within this budget. As indicated above we have two more years of phasing to address. We also have a strong desire to again seek legislation to resolve the problem of lost value with the legislature next year.
The city council has been working on a budget that anticipates cutting of some expenditures ($173,900) and a small increase in taxes. The preliminary levy shows an increase of $35,944. This increase is 0.69%. Keeping the increase low is good news but the resulting estimated tax rate, given the reduction in taxable property values, has been estimated to increase from 31.33 to 32.9075. This is an increase in rate of about 1.6.
The council, by law, must set the preliminary levy by September 15, 2007. This means the preliminary levy will be set on September 4th. With the preliminary levy set the amount can not increase but can decrease. The city will continue to look for ways of trimming the budget until the final levy is set at the end of the year. Any feedback the public may have concerning the budget would be appreciated prior to the September 4th meeting and subsequently thereafter.
As many of you know legislation this year was pursued to address the loss of value. A bill was passed in both the House and Senate and included in the final omnibus tax bill. After the session closed the governor vetoed this bill for other reasons. By doing this the rule change became effective and created the loss in value we’re addressing within this budget. As indicated above we have two more years of phasing to address. We also have a strong desire to again seek legislation to resolve the problem of lost value with the legislature next year.
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