HomeMy WebLinkAbout2.c. Minutes of June 22, 1993 Special MeetingROSEMOUNT PORT AUTHORITY PROCEEDINGS
SPECIAL MEETING DRAFT
JUNE 22, 1993
Pursuant to due call and notice thereof a special meeting of the
Rosemount Port Authority was duly held on Tuesday, June 22, 1993 at 5:30
p.m. in the Council Chambers at City Hall, 2875 145th Street West.
Chair Dunn called the meeting to order with Commissioners Anderson,
Carroll, Edwards, McMenomy, Sinnwell, and Wippermann present. Staff
present included Executive Director Jilk and Economic Development
Coordinator Miller.
The purpose of the meeting was to hear development proposals for a
theater project and for a motel or motel/restaurant project.
Mike Muller and Bob Muller from Muller Family Theaters were present to
discuss their proposal for a theater in Rosemount. Mike Muller
presented background information on their company and discussed the tour
of their East Bethel theater. Mr. Muller advised that the proposed
theater for Rosemount would start with ten screens and would have the
potential to go to 20 screens. Of those ten screens, some would be in
larger auditoriums and some in smaller and would provide a total of
approximately 2200 seats. All auditoriums would contain rocking seats
and cry rooms would also be available. Mr. Muller further advised that
they would run first -run movies and would not show X-rated or X117
movies. Admission and concession prices were also reviewed. Mr. Muller
went on to explain that the reason they chose Rosemount for their new
theater was because of demographics. Theaters showing first-run.movies
cannot be within ten miles of another theater playing first -run movies.
Burnsville and Hastings are the closest theaters showing first -run
movies but are over the ten mile limit. Mr. Muller also advised that a
theater in Eagan was being proposed, but was also over the ten mile
limit. He expressed some urgency in getting started with the Rosemount
theater before another proposal could get started within ten miles of
their project. Discussion followed regarding locating the theater in
the proposed business park because it appears to be the quickest site to
get in on and the least expensive. It was determined that the County
Road 42 and Highway 3 site was not large enough and too expensive for
the theater. Economic Development Coordinator Miller informed the
Board that the purchase agreement for the business park property was
being reviewed by Roy Abbott and his attorney and he expected a reply
from them shortly. At the request of Chair Dunn, Executive Director
Jilk commented on the Dakota County Physical Development Committee
meeting he had attended on Monday, June 21, regarding changing County
Road 42 to a principal arterial designation. Jilk advised that the
committee had voted 3-2 to recommend to the full county board to allow
Rosemount to review the two proposed developments east of T.H. 3 and
west of Biscayne under current standards. Commissioners felt that the
Mullers' proposal was good but felt a more complete proposal should be
submitted by July 6th and also felt that the Mullers should put more
personal money into the project. Chair Dunn directed staff to work with
the Mullers, focusing on the Commissioner's questions, and firming up
the details and numbers.
ROSEMOUNT PORT AUTHORITY PROCEEDINGS
SPECIAL MEETING DRAF1
JUNE 22, 1993
Chair Dunn called for a break at 6:30 p.m.
The meeting reconvened at 6:38 p.m.
Economic Development Coordinator Miller advised the board that two
developers had submitted proposals for a motel/restaurant and motel
project.
Miller introduced Mr. Ray Anderson, of Ray Anderson and Associates, who
is proposing to build a Comfort Inn with a Bridgemans Restaurant.
Ms. Mary McKee, an officer of Bridgemans, showed a slide presentation of
their restaurant development concept. Anderson advised that his company
would be made up of five directors, three of which have already been
chosen. Anderson explained that their proposed motel is slightly larger
than the market survey suggests. In response to questioning, Anderson
advised that they will purchase the property and have submitted a
purchase agreement to the owners of the site. Anderson reviewed the
particulars of that agreement. The property needs to be rezoned from
single residential to commercial and berms and fences would be placed as
a buffer for the adjoining neighborhoods. Anderson explained that he
chose Comfort Inn because of their booking ability and rates. In
response to more questioning, Anderson advised that there would be a 6
percent franchise fee for the motel and a 4 percent fee for the
restaurant. Commissioners inquired about the two accesses shown on the
plan and asked if they were both required to make the project feasible.
Anderson responded that it would be nice to have both, but was aware of
the County Road 42 principal designation issue and felt that something
else could be worked out. Traffic issues were also discussed.
Miller introduced Mr. Emmett Erpelding, general manager of New Ulm
Enterprises, who is proposing to build a Super 8 motel. Mr. Erpelding
explained that their proposed motel would be much the same as the
Holiday Express that they built in Hinckley, Minnesota and passed around
pictures of that motel. He advised that the motel would contain 60
units. Commissioners inquired whether a restaurant would be built with
this proposal. Mr. Erpelding responded that they hadn't actively sought
a restaurant chain, to date, but assured the Commissioners that a
restaurant proposal would be pursued because he felt that a restaurant
was needed to make the motel successful and vice versa. More discussion
followed regarding the financing of the project and Commissioners
questioned whether more personal equity could be put into the project.
Chair Dunn directed staff to analyze both proposals, address the
Commissioners questions and concerns and put back on the July 6th
agenda.
MOTION by Edwards to report back to a regularly scheduled Port Authority
meeting that the committee of the whole finds that the proposals are
insufficient and to re-initiate the request for proposal process to seek
additional proposals. SECOND by Sinnwell.
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ROSEMOUNT PORT AUTHORITY PROCEEDINGS DRAFT
SPECIAL MEETING
JUNE 22, 1993
Discussion followed. Commissioners questioned Economic Development
Coordinator Miller regarding the possibility of other motel developers
submitting a proposal. Miller responded that he knew of two other
potential developers that were interested in Rosemount, but could not
guarantee that either would submit a final proposal.
Roll: Ayes: Anderson, Sinnwell. Nays: Carroll, Dunn, McMenomy,
Edwards. Abstain: Wippermann. MOTION failed.
MOTION by Edwards to report to the regular Port Authority meeting of
July 6th the motel proposals and the Chase Brackett report for Port
Authority consideration. SECOND by Sinnwell. Ayes: Anderson,
Wippermann, Dunn, McMenomy, Edwards, Sinnwell, Carroll. Nays: 0.
MOTION by Dunn to adjourn. SECOND by McMenomy. Ayes: 7. Nays: 0.
Meeting adjourned at 8:05 p.m.
Respectfully submitted,
Deborah Widstrom
Recording Secretary
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