HomeMy WebLinkAboutPacket - 09/24/2019 - Economic Development CommissionECONOMIC DEVELOPMENT COMMISSION
MEETING NOTICE
DATE: Tuesday, September 24, 2019
TIME: 4:00 p.m.
PLACE: McHenry Municipal Center, 333 S. Green St.
(City Council Chambers - Main Entrance)
333 South Green Street, McHenry, IL 60050
AGENDA
1. Call to Order
2. Pledge of Allegiance
3. Roll Call
4. Approval of Meeting Minutes dated June 25, 2019
5. Public Input - (five minutes total)
6. Business Recognition Award — Mr. Don's Cleaners SOth Anniversary
7. New Business Updates — Director of Economic Development
8. Small Business Grant Discussion/Recommendation
9. Committee Regorts:
a. Business Recognition Committee (Mrachek, Wolf)
b. Outreach and Engagement (Bremer, Tenuto, Martin)
c, Relationship Building (Schaefer, Pfeifer)
d. Development Committee (Jessup, Bionda)
10. Strategic Economic Development Plan
aI Open Discussion on Objectives /Deliverables
b. Dependencies
c. Dates and Communication
d. New Commission Member Needed
11. Partner Committee Reports
a. Riverwalk Foundation
b. Chamber of Commerce
c. Downtown Business Association
d. Special Events Committee
e. Landmark Commission
f. Planning & Zoning Commission
12, Next Regularly Scheduled Meeting Date is Tuesday, November26; 2019
13. Adjourn
Tl�e City of McHenry is dedicated to providing [he citizens, businesses and visitors of McHenry with the highest
quality of programs and services in a customer -oriented, efficient and fiscally responsible manner.
City of McHenry
Economic Development Commission
Special Meeting Minutes
June 25, 2019
Chairman Jessup called the June 25, 2019 special meeting of the City of McHenry Economic
Development Commission to order at 4:00 p.m. In attendance were the following: Bionda, Bremer,
Jessup, Mrachek, and Tenuto. Absent: Pfeifer, Sterwerf, Schaefer and Jett. Also in attendance were:
Director of Economic Development Martin and Economic Development Coordinator Wolf.
Commissioner Jessup welcomed new and prior members to the Commission and asked them to
introduce themselves.
Public Comment: Mr. Greg Denny, Business Development Director for Deigan &Associates,
Environmental Consultants located in Lake Bluff, Illinois, requested the Economic Development
Commission consider allowing his company to make a formal presentation to them regarding how
they can help coordinate and/or be a resource for future development projects in the City.
Approval of Minutes
Motion by Mrachek, seconded by Bionda, to approve the March 26, 2019 Regular Meeting minutes
of the Economic Development Commission, as presented:
Voting Aye: Jessup, Mrachek, Bionda.
Voting Nay: None.
Not Voting: Bremer, Tenuto.
Abstaining: None.
Absent: Pfeifer, Schaefer, Sterwerf, and Jett.
Motion carried 3-0.
Review of Draft Economic Development Plan
Commissioner Jessup explained the draft Economic Development Plan prepared by Director Martin
as a result of the SWOT Analysis initiatives and asked for comment.
Commissioner Tenuto liked the way the plan was broken down and noted that pride and passion of
the residents in McHenry is an asset and unique in the County.
Commissioner Bremer is looking forward to partnering with the Commission and liked the direction
noted in the draft plan.
Commissioner Jessup then identified the strategic initiatives noted in the SWOT Analysis as action
items to guide the Commission's actions in the future. Putting subcommittees together and including
other representatives from the community is a key goal of the Commission in order to be more
effective. The process of defining committee structure was discussed.
Building relationships with key influencers in the County is something all Commissioners and future
sub -committee members can do to help build the City's economy. EDC Business cards identifying the
ED department, Mayor Jett and the Commission members were distributed to all present.
Commissioner Jessup spoke on the marketing initiative and how we can get the marketing videos that
were made last year out to key influencers, developers, tourists, etc. as a way to introduce McHenry
Economic Development Commission
June 25, 2019
Page 2
and everything it has to offer! Director Martin suggested Commission members might look up an
initiative done by the St. Charles, Missouri EDC called the Monday Morning Minute. Discussion
ensued regarding social media and stories to be shared as a marketing tool and how the Commission
can help City staff get the word out!
The four committees identified in the SWOT Analysis and the proposed action steps identified were
discussed. Prior Commission meeting notes were asked to be distributed for discussion.
Implementing a Social Media Policy was discussed as well as the possibility of simply not responding
at all to anything Commission members might be tagged in negative ways on their personal social
media accounts. Commissioner Bremer shared the policy that is followed by the School Board in
regard to social media posts. When asked for input, Director Martin stated it is important to relay a
unified message and Commissioners responding separately to social media posts as representatives
of the Commission may not lead to a unified message. It was agreed by all present that discussion on
the social media process would fall under the direction of the Outreach and Engagement Committee.
In the interim, it was agreed and directed that while a policy decision is being formalized by the
Outreach and Engagement Committee, members of that Committee only, along with Staff, will
control any posts and marketing mechanisms that go out publicly from the EDC and the remainder of
the Commission members will not respond to any social media posts created and posted from the
EDC or to responses from the public to those posts.
CommissionerTenuto asked for clarification to be given ofthe role of Commission members in regard
to their representation of the Economic Development Commission, perhaps in the form of bylaws.
Commissioner Bremer made an effort to clarify how and when Commission Members might
represent the EDC as Commission members versus as a resident, parent, or business owner in the
community and suggested clarifying any discussions as being made in each person's own personal
opinion.
Formation of Committees: Business Recognition; Outreach and Engagement: Relationship Building;
and Development Committees:
The following members volunteered or were suggested to represent on committees:
Business Recognition Committee
(Length of Years in City and/or Significant Civic or Community Contributions to the City)
Mrachek, Wolf
Outreach and Engagement Committee
(Business Attraction, Retention, Branding, Marketing, Video Distribution)
Bremer, Tenuto, Martin
Relationship Building Committee
(Other City Committees/Associations, Businesses and Chamber Members, Tours)
Schaefer and Pfeifer
Economic Development Commission
June 25, 2019
Page 3
Development Committee
(Recruiting a Full, Engaged Commission Membership)
Jessup and Bionda
Chairman Jessup and Vice -Chairman Mrachek agreed to reach out to Commissioners Pfeifer and
Sterwerf, Alderman Schaefer, and Mayor Jett regarding the discussion on full committee
representation by the members. They will also contact previous Chair Baehne regarding a suggested
form that is used for recruiting committee members for the MCC board.
Business Recognition
The following businesses are known to have businesses anniversaries in 2019, Future follow-up will
be under the direction of the Business Recognition Committee.
Mr. Don's — 50 yrs
Chas Herdrich — 86 years
Rietesel Boat — 80 years
Joule Technologies — 20 years
Tony's Family Tailor— 30 years
Business Surveys
All members agreed future discussion and continuance of business surveys and questionnaires
should be included and under direction of the Outreach and Engagement Committee.
Assignment of Committees:
Agreement was met on including discussion and coverage of representation on other City Committees
and/or Associations under the direction of the Relationship Building Committee. For information
purposes, the following members were identified as currently being active participants on other City
Comm ittees/Associations:
Riverwalk Foundation -Mayor Jett
Chamber of Commerce -Commissioner Mrachek
Downtown Business Association — Commissioner Bremer
Special Events Committee - Economic Development Coordinator Wolf
Landmark Commission — Open (City Administrator Morefield?)
Planning & Zoning Commission — Economic Development Director Martin
Discussion and Approval of 2019-2020 Meeting Schedule
Chairman Jessup presented the previously approved meeting schedule for discussion. All members
present agreed to continue meeting with the schedule as presented noting tours or special meetings
could be scheduled on an as -needed basis preferably during the "off' months.
Staff Report
The next Economic Development Commission regularly scheduled meeting is Tuesday July 23, 2019.
Economic Development Commission
June 25, 2019
Page 4
Commissioner Mrachek asked if the summary of the City Council SWOT analysis meeting could be
shared with the Economic Development Commission when it is finished to ensure our initiatives are
united and aligned.
Motion
to Adiourn by
Bremer;
Seconded
by
Mrachek
All members in favor.
Meeting
adjourned
at
5:15 p.m.
Respectfully submitted,
Rob Jessup, Chairman
Economic Development Commission
CITY OF CRYSTAL LAKE
Retailer Facade and Commercial
Tenant Improvement Program
MATCHING GRANT APPLICATION FORM
2017-2018 Fiscal Year
ADMINI51-ERED BY:
CITY OF CRYSTAL LAKE
PLANNING &ECONOMIC DEVELOPMENT
100 W. WOODSTOGK STREET
CRYSTAL LAKE, IL 60014
CITY UP CRYSTAL LAKE
Retailer Facade and Commercial
Tenant Improvement Grant Program
In its continuing effort to support the development of the Uusiness community and our workforce,
the City of Crystal Lake has created a Retailer Fagade and Commercial Tenant Improvement Grant
Program for new and existing retail business owners. This Program is comprised of the New
Retailer Improvement Program and the Existing Retailer Improvement Program. The City
Council will review applications and award grant funds to eligible new and existing retail
businesses who complete fagade improvements or purchase furniture, fixtures and equipment.
This booklet is intended to provide general information regarding these programs. The actual
terms and conditions of each program, qualifications for participation and fitrther limitations may
be found in Chapter 228 of the City Code of the City of Crystal Lake, and are subject to change
by the City Council. For more information, please contact the Planning & Economic Development
Department at (815) 356-3615.
Program descriptions and eligibility requirements:
New Retailer Improvement Program
ELIGIBILITY'
MAX AWARD
AWARD CALCULATION'
Applicant must occupy vacant commercial
S10,000
50%match for exterior fagade
space within Crystal Lake, Illinois., or
improvements.
construct a new building in the City;
50% match for furniture, fixtures
Applicant's business must be new to the City
and equipment (FFE) installed in
limits of Crystal Lake;
the space.
Applicant's business must meet a minimum
animal taxable sales threshold of at least
$150,000/year;
Applicant must file an application prior to
commencing improvements.
� See detailed eligibility criteria below. See also Section 228-23 of the City Code for New Retailer Investment
Program
z $80,000 of available funding for these programs is shared with the City's other matching giant incentive programs.
All awards are subject to the financial limitations established by the City's appropriation ordinance fiom time to time.
CITY OF CRVSTALLAKE - PtANNtNG AND ECONOMIC DEVELOPMENT,
SOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PH 815.3563615 - FAx815.479.1647 - wYaw.caysrALLAKE.oR�
Program
Description
Page 2
NEW RETAILER INVESTMENT PROGRAM ELIGIBILITY CRITERIA
(i) The program is open to any new sales -tax revenue generating business that will occupy
vacant retail space or a building or that will construct a new building for its business.
(ii) Applicant must meet minimum annual taxable sales threshold of $150,000 and sustain or
exceed that amount for five years.
(iii) Applicant's business must provide a stocked retail showroom for retail products.
(iv) Applicant must provide written proof of fagade construction costs and/or FEE costs.
(v) Applicant applying for fiords for fagade improvements must pay prevailing wages.
(vi) Applicant must file and have City Council approval for grant funding prior to commencing
improvements.
(vii) Grant recipient may apply after 5 years from the date of recipient's previous award for the
Existing Retailer Improvement Program.
(viii) Applicant's business must be new to Crystal Lake city limits; in -town relocations are
ineligible.
(ix) Applicants are required to complete and submit an Illinois Department of Labor
Authorization to Release Sales Tax Information form to City Staff as part of the required
application documentation.
(x) Award calculations may include both fapade construction and HE costs, up to maximum
award amount.
(xi) Eligible FFE includes, but is not limited to, shelving, racks, tables, chairs, point -of -sale
systems, fixed computer equipment used in business operation, office furniture, and
appliances.
(xii) Fagade improvements must comply with all applicable codes and ordinances.
(xiii) Eligible fagade improvements include, but are not limited to; exterior brick cleaning;
exterior tuck pointing; exterior painting; wall fagade construction, repair, and treatment;
original exterior architectural features repair or replacement; interior/exterior demolition;
and historic renovation to interior/exterior.
(xiv) Approved applicants shall be required to maintain their improvements and the FEE for the
duration of the Grant Agreement with the City of Crystal Lake, which shall be five years
from the date the fiends are received by the applicant.
CITY OF CRYSTAL LAKE -PLANNING AND ECONOMIC DEVELOPMENT,
lOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PN 815.356.3615 - FAx 815.479.1647 - WVIW.cRvsTALLAKE.oR6
Description
Program
Page 3
Existing Retailer Expansion and Relocation Program
AWARD
ELIGIBILITY'
MAX AWARD
CALCULATION'
Annual Taxable
Maximum
50%match for exterior fagade
Applicant must expand its business into
Sales
Grant Award
improvements.
vacant commercial space by at least 20% in
gross floor area, or relocate its business to
50% match for furniture,
$15OK—$2.49M
S5,000
vacant space that is 20% larger than its
fixtures and equipment (FFE)
current location. (not requiredfor
installed in the space.
businesses generating over $7,500,000 it,
annual taxable sales);
$23M-$4.99M
SI05000
Applicants applying for fagade
improvement funds are not required to
expand or relocate.
SSM-S7.49M
S15,000
Applicant's business must meet a minimum
annual taxable sales threshold of at least
S I50,000/year;
$7.5M+
S2%000
Applicant must file an application prior to
commencing improvements.
' See detailed eligibility criteria below. See also Section 228-23 of the City Code for New Retailer Investment
Program
' S80,000 of available finding for these programs is shared with the City's other matching grant incentive programs.
All awards are subject to [he financial limitations established by the City's appropriation ordinance from time fo
time.
EXISTING RETAILER IMPROVEMENT PROGRAM ELIGIBILITY CRITERIA
(i) The program is open to any existing Crystal Lake sales -tax revenue generating business
that will:
a. Expand its current location into vacant space by at least 20% in gross floor area
(not regnired far basinesses generating over
$7,SOQ000 in
annual taxable
sales),
or
b. Relocate to vacant space that is 20% larger
than its current location, in
a new
building or into a different existing building
not within the
same shopping
center
(not required for businesses generating over
$7,500,000 in
mutual taxable
sales),
or
c. Complete farade improvements to the existing space.
CITY OF CRYSTAL LAKE - PLANNING AND ECONOMIC DEVELOPMENT,
SOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PN 815356.361$ - FAx815.479.1647 - wvw�.cavSTaLLaKE.oRe
Program
Description
Page 4
(ii)
Applicants must meet a minimum annual taxable sales threshold of at least $150,000 over
the previous 12-month period prior to the date of application.
(iii)
Applicant's business must provide a stocked retail showroom for retail products.
(iv)
Applicant must provide written proof of fagade construction costs and/ or FFE costs.
(v)
Applicants applying for fiords for fagade improvements must pay prevailing wages.
(vi)
The grant award amount cannot exceed 50% of the applicant's expenditures on eligible
furniture, fixtures, and equipment.
(vii)
Applicant must file an application for grant funding prior to commencing improvements.
(viii)
Grant recipient may re -apply after 10 years from the date of recipient's previous award.
(ix)
Award calculation may include both fagade construction and FFE costs, up to maximum
award amount.
(x)
Eligible FFE includes, but is not limited to; shelving, racks, tables, chairs, point -of -sale
systems, fixed computer equipment used in business operation, office furniture, and
appliances.
(xi)
Fagade improvements must comply with all applicable codes and ordinances.
(xii)
Eligible £made improvements include, but are not limited to; exterior brick cleaning;
exterior tuck pointing; exterior painting; wall f igade construction, repair, and treatment;
original exterior architectural features repair or replacement; interior/exterior demolition;
and historic renovation to interior/exterior.
(xiii)
Approved applicants shall be required to maintain their improvements and the FFE for
the duration of the Grant Agreement with the City of Crystal Lake, which shall be at least
four years after receiving the finding.
Elissible Properties and Applicants
All retail -operated, sales tax revenue -generating Uusinesses in the City of Crystal Lake are
eligible for the Retailer Fagade and Connnercial Tenant Improvement Programs. Applicants who
apply for funding after commencing the improvements are ineligible. Only improvements to
facades that directly front a public right-of-way are eligible. Retailers who apply for grant
finding must provide a retail slrow-room open to the public and cash-and-carry retail services to
their customers.
Businesses filing applications Horst meet a minimum annual taxable sales threshold of $150,000
to Ue eligible for grant finding. New business applicauts shall provide sales projections with their
applications. The City of Crystal Lake will verify minimum taxable sales thresholds are met using
Illinois Department of Revenue reports, The sales data can be verified approximately fifteen
months after the business opens.
Any building with a zoning, building code, or fire/safety code violation is not eligible for the
program. Any conmrercial building owner, or business owner (tenant) with building owner
CITY OF CRYSTAL LAKE -PLANNING AND ECONOMIC DEVELOPMENT,
ZOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
Pti 815.356.3615 - FAx 815.479.1647 - WWW.cRvsrALLAKE.oRG
Description
Program
Page 5
authorization (a lease or other agreement), may apply for the grant. Grant recipients can re -file a
subsequent grant application no sooner than 10 years from the original grant approval date.
Ineligible Projects
The Retailer Job Creation and Investment Grant Program will not provide funds for working
capital, debt refinancing, inventory acquisition, application fees, permit fees, legal fees, or signage.
Grant Agreement
As a condition of the award of grant funds, eligible and approved applicants will be required to
enter into an agreement with the City in a form to be approved by the City Council. The Agreement
will contain terns and conditions of any grant award which would be made, including a
requirement that the applicant repay some or all of the grant money in the event that the business
for which the grant was approved does not remain in continuous operation for at least five years.
The sample form of Grant Agreement attached to this application form contains sample provisions
of the Grant Agreement and is for reference only, please do not file this document with your
application, as it is only a sample. In the event that it is determined that you are eligible for a grant
award, an original form of Grant Agreement will be provided to you by the City.
Administration
Applicants are encouraged to submit complete applications to City Hall in person or via e-mail.
Applications for the City's grant programs will be accepted on a first -come, first -served basis.
Only completed applications that include all required submittal documents and information wilt
be accepted. The City's Community Development Department will review the application for
accuracy and will determine if it rneets the requirements for funding.
If the application is determined to meet the requirements of the program, the application will be
forwarded to City Council for review within 21 days. If the application receives City Council
approval, the applicant must enter into an agreement with the City. Matching grant funds will
only be disseminated to the applicant after the following items are completed:
A) Documented proof regarding the payment of the constriction costs for materials and
labor for fagade improvements and that prevailing wages were paid is submitted;
3) The furniture, fixtures, and equipment have been purchased and implemented within the
business;
C) Receipts and cancelled checks or credit card statements for the purchase of the approved
furniture, fixtures, and equipment are submitted;
D) The applicant has received a final certificate of occupancy and is open for business.
E) One-year of sales tax data has been collected and reported to the State of Illinois.
If grant funding
for a
current funding
cycle is completely distributed, applicants may be placed
on a waiting list
to be
considered for
a grant
when fiords become available.
CITY OF CRYSTAL LAKE -PLANNING AND ECONOMIC DEVELOPMENT,
SOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
Pa 815.356.3615 - FAx815.479.1647 - www.crtvsrALLAKE.oRe
Description
Program
Page 6
Questions
A grant application and submittal requirements are included with this packet. If you have further
questions regarding the Improvement Programs, please contact the City of Crystal Lake Planning
and Economic Development Department,
CTrY OF CRYSTAL LAKE - PLANNING AND ECONOMIC DEVELOPMENT,
SOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PH 815.356.3615 - FAx815.479.1647 - www.caysrALUKE.oRG
CITY OF CRYSTAL LAKE
Retailer FaVade and Commercial Tenant
Improvement Grant Application
Plense canplete!}� f!! ant this application and return it to t/�e City o(Cryslal Lake mith tJie items listed 6r the
Checklist orr page Z.
Applicant
Information
Name
WHO
Mailing Address
Fax
Email
Federal Tax IDlt
Property
Information
Address for building for which grant is sought:
Property Identification Number(s)
Phone
Check oae:
❑
New business
occupying vacant retail space
❑
Existing retail
business making improvements to
my building or tenant space
Descriptiae offrn•rriture, Enures, and eyuipnrent to he rrtiliZed:
Continued on the next page
CRY OF CRYSTAL LAKE -PLANNING AND ECONOMIC DEVELOPMENT,
100 W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PH 815.356.3615 - FAx815.479.1647 - WWW.CRYSTALLAKE,ORG
Grant
Application
Page Z
Application Checklist
The following items must be submitted with the Improvement Application form (Page I):
❑ Completed and signed Crystal Lake Improvement Grant Application;
❑ Written estimates for the furniture, fixtures, and equipment to be purchased;
❑ Written estimates for the fagade improvements;
❑ A floor planillustrating the locations for the fiuniture, fixtures, and equipment
, (drawings
do not have to be architectural renderings, but should be to scale so that the City can
understand the scope of the proposed project);
❑ Written description of the scope of the proposed project (letter to the Mayor and City
Council);
❑ Taxable sales records and/or projections.
I agree to comply with the guidelines and standards of the City of Crystal Lake JoU Creation and
Investment Program and I understand that this is a voluntary program, under which the City has
the right to approve or deny any project or proposal or portions thereof.
Applicaut(s) Signature
Its
CITY OF CRYSTAL LAKE -PLANNING AND ECONOMIC DEVELOPMENT,
ZOO W. WOODSTOCK STREET, CRYSTAL LAKE, IL 60014
PH 815.356.3615 - FAx 815.479.1647 - www.cRvsrALUKE.oRG