Loading...
4. Resource material from Comp Plan and 2014 BRE survey for discussion on work planV. ECONOMIC COMPETIVENESS Minnesota Statutes §473.859 Subd. 1 states local comprehensive plans "shall contain objectives, policies, standards, and programs to guide... redevelopment and preservation for all lands and waters within the jurisdiction of the local governmental unit." This comprehensive plan will address this requirement through the implementation chapter at the end of the plan. The following sections detail basic background information on employment and income to provide current conditions for the community and to summarize public comments from the community survey, focus groups, and open houses relating to economic development. A. Economic Competiveness Goals and Objectives Goal: Concentrate on retaining and expanding local businesses in and around the Village Center and existing Rural Commercial districts. Obiectives• • Strengthen public services to attract and retain businesses and workforce. • Identify and allow in -fill development opportunities for business expansion. • Promote appropriately -sized new businesses that create synergy with existing businesses and overarching goals. • Use outreach/branding initiatives to retain businesses and employment in Scandia. • Cooperate with businesses, educational institutions, community organizations, and government to provide information to local businesses. • Create development and land use standards to guide development into the Village Center and away from a linear pattern along the highways or undeveloped rural intersections. Encourage businesses providing local services, as well as tourism and recreation businesses in the Village Center. Work with building owners to maintain and upgrade building facades and properties consistent with the Village Center's small town image and historic character. Encourage public and private investment in community -oriented institutions including the community center and city hall, church, cemeteries, and Gammelgarden. Goal: Actively support the retention and expansion of Scandia community -scale agricultural operations. Obiectives• • Work cooperatively with other governmental agencies and community groups to develop programs to help keep agricultural land affordable in Scandia. • Update ordinances and regulations to facilitate growth of small-scale agricultural uses. Goal: Encourage home-based entrepreneurs and businesses. Obiectives• • Identify opportunities to encourage home-based businesses to transition to a storefront when its market is adequately developed. • Review standards to support home occupations while ensuring compatibility with surrounding land uses. Goal: Expand access to internet services throughout the entire City. Objectives: • Encourage internet providers to expand service areas and bandwidth throughout the DRAFT Scandia 2040 Comprehensive Plan Economic Competiveness Prepared by: Bolton & Menk, Inc. Page 39 City. • Explore potential opportunities for public investment or grants to expand internet capabilities. • As development or redevelopment occurs, support the addition of infrastructure that will enable expansion of internet technology. B, Employment in Scandia Figure V-A shows the historical employment in Scandia from 1970 through 2016 and projected employment to 2040. Employment in Scandia peaked in 2011 with 620 employees. Projections show employment increasing in Scandia considerably in the next 20 years, projecting to add 190 jobs by 2040. However, this is contingent on the ability of businesses and industries in the city to support employment growth as well as the ability of the city to support new and growing businesses. 800 700 600 500 400 300 200 100 0 Figure V-A - Historical and Projected Employment in Scandia Employment in Scandia (Historical and Projected) 519 272 40 50 W 1970 1980 1990 2000 2010 2011 2012 2013 2014 2015 2020 2030 2040 620 607 531 526 540 620 730 r.on Source: Metropolitan Council Tabulation of US Census and American Community Survey Data Figure V -B shows employment in Scandia by industry in 2015. Of Scandia's total 540 jobs, 46% fall into "All Other Industries," suggesting a diversity of jobs within the city. The largest single industry is Educational Services, which provides 21% of jobs located in Scandia. Health care and social assistance and construction make up the second and third largest single industries in the city, respectively. DRAFT Scandia 2040 Comprehensive Plan Economic Competiveness Prepared by: Bolton & Menk, Inc. Page 40 Figure V -B - Employment by Industry Employment by Industry in Scandia, 2015 Transportation and Warehousing 1% Public Administration 6% Professional and Technical Services 29f, Construction 10% I Health Care and Social Assistance 11% I I I Educational Services 2100E I I I All Other Industries 46% i Administrative and Waste Services 4% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Source: Metropolitan Council C. Income Figure V -C shows median household income in Scandia over the last 25 years. Median household income has increased in Scandia, with the largest increase between 1990 and 2000. These medians are nearly identical to Washington County median household incomes. Figure V -C - Median Household Income $90,000 $84,130 $80,556 $80,000 $70,000 $68,036 $60,000 $50,000 $45,915 $40,000 $30,000 $20,000 $10,000 $0 Census 1990 Census 2000 ACS 2006-2010 ACS 2011-2015 Source: US Census and American Community Survey (Not Adjusted for Inflation) 1. Public Comments Appendices D and E provide detailed responses regarding community and economic development. In brief, Community Survey respondents identified businesses struggling in the low-density city as one of the top three challenges facing the city and commercial growth as the number one priority for the city for the next 20 years. Residents of Scandia DRAFT Scandia 2040 Comprehensive Plan Economic Competiveness Prepared by: Bolton & Menk, Inc. Page 41 want growth to match existing community character, supporting existing small businesses and the history of the community. There is interest in a range of community businesses and attractions, many of which can cater to both local and tourist markets, such as coffee shops, restaurants, and recreation. There is also interest in exploring alternative agricultural opportunities, like co-ops, and tourism as key elements of the city's economy, as traditional agriculture will become increasingly difficult to maintain. Focus groups also noted slow and sporadic internet speed as a limiting factor in business operations. DRAFT Scandia 2040 Comprehensive Plan Economic Competiveness Prepared by: Bolton & Menk, Inc. Page 42 (A E E O u O Y a O U 0 O Y C� C aJ U r— O Q N a C ca a > x 6 > O C Y 0 m O u t Y t u F w C Q/ O a) a C n O aJ E E Y v a u E o 0 on v w L o d E - \ a U U o Q Q C N N O pn O by c -I N C C O (14 -4 IN Im u N a) v Y Z O_ E O U C 0 u LU O C C C C O O O •v�� O v� 0� D D D E a E E E E a E E E U U O U U bn 11 bn bn aA .E Eo C 0 C E C E C f6 N f6 N f6 a a a a C 0 a m O O O O N ba N N N O C O O O L 0�1 cn 1J 3 0 C O —4 O —1 O l"' O u L u � O Q a) � o c � m co a c y a L E- a E o M v E v E c v U by f0 f6 .0 'ZI O C L O 'Y C ,C C CU O U ,u O L U a) LJ — = f6 O Q 7 O O O C al Y 0 Y � u � ,n v a a o N 0 o c a c O N a O f6 Q C 0 7 C +' ca a C 7 C m 0 b0 O m w m X O Y O �o v E E v v N :'' y v> 2 .0Q aJ N a a O a a a) L a a 0 L C al 0=3 C t Y v m bD c N u+ O , m C O 0 0 Q E m N .E L N p E N E N y Q)- E 0 T a Q w 0 O M N '^ M C O O c6 a! (Ca Q1 a) L n3 i1 i � a1 aJ N 'Ua1 � aJ 7 M N 0 0 c T O 3 3 3 0 3 u O Y E LO a1 O '5 Ou al '� cu '5 O i u N a M f6 - o v ajo N Q o�c u o�c T d `+ u Q O Y a O U 0 O Y C� C aJ U r— O Q N a C ca a > x 6 > O C Y 0 m O u t Y t u F w C Q/ O a) a C n O aJ E E Y v a u E o 0 on v w L o d E - \ a U U o Q Q C N N O pn O by c -I N C C O (14 -4 IN Im u N a) v Y Z O_ E O U C 0 u LU N 3 m U5 ICr) l0 I0) uo O O O Lel i 4J U1 L U1 Y O > > > O O O Y LL LL LL P YYw a) Y L Y E C C O Y Y Y \ o p. LU Y+T+ +T+ LL 0 u u u ? Y cu pL u ICr) l0 I0) uo O O O Lel cu N > Z Q E O u 0 U LL Y Y E (a Y is T c = c O — O p. cu.� p LU cu pL 72 N o C p_ i v o a t Y u 0i O 0 N O O 6 U O Y t J+ -0yl E Y a) L v •u > OJ > u � 0 a j 2Y O y C p YO L vZ C N �+ U1 C O C 7 O O Uo C Y Y C O 0 O 3 0 Y Y ) p O co co Ne[ a v, y ra > LL > ,� LL in : u m cu N > Z Q E O u 0 U LL Economic Development Authority (EDA) Business Retention and Expansion Study City of Scandia Date: Company Name: _ Address: Survey Participant: Phone: E-mail: Website: Name of Corporate Headquarters (if different than above): Address: Phone: E-mail: Website: Title: Thank you for participating in the EDA's Business Retention and Expansion Study. The program is sponsored by the Scandia Economic Development Authority. Objective of the BRES program: 1. To gain an understanding of the business community's views of the local government and economy. 2. To determine company plans for expansion or relocation. 3. To strengthen the communications bridge between the business community and local government. 4. To establish concrete data to aid strategic planning efforts. 1. How is your firm structured? Corporation (public) Corporation (closely held) Partnership Sole Proprietorship Other (specify) 2. Do you own or lease this location? Own Lease 3. If you currently lease, when does the lease expire? 4. What year was this business established at this location? 5. Do you believe your product/services have unique qualities that give your business a competitive advantage? Yes No Don't Know 6. If yes, please describe these unique qualities. 7. What are the major products/services offered by this establishment? First Major product/service: Second Major product/service: Third Major product/service: Fourth Major product/service: 8. What percentage of your sales come from each of the major products/services identified above? 9. How many employees currently work at this establishment? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 10. How many employees worked at this establishment three years ago? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 11. How many employees (estimated) will work at this establishment three years from now? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 12. If you reported part time employees, how many are: Seasonal: 1to5 _6to10 11 to 15 _16 to 20 21 or more 1% to 24% 25% to 49% 50% to 74% 75% to 100% Percent of sales: first major product/service Percent of sales: second major product/service Percent of sales: third major product/service Percent of sales: fourth major product/service 9. How many employees currently work at this establishment? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 10. How many employees worked at this establishment three years ago? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 11. How many employees (estimated) will work at this establishment three years from now? 1 to 5 6 to 10 11 to 15 16 to 20 21 to 25 26 to 50 50 or more Full Time Part Time Temporary 12. If you reported part time employees, how many are: Seasonal: 1to5 _6to10 11 to 15 _16 to 20 21 or more Year Round: 1to5 _6to10 11 to 15 _16 to 20 21 or more If seasonal, when are your busy seasons (select all that apply): Spring Summer Fall Winter 13. Did your firm's employment change over the last five years? Yes No 14. If yes, please check three (3) main reasons for the employment change over the past five years: _Technological changes Changes in management Growth in demand, or lack of demand Number of contracts Business did not exist five years ago Improved or decreased efficiency Government regulation Increased competition Renovation/expansion New products/services _Entered new markets Change in subcontracting Corporate decisions/policies Other: 15. What is your current employment hiring state? Increasing workforce Downsizing Stable 16. What resources are you currently using to locate new employees? Ad in metro -wide papers Ad in local community papers Placement office of four-year or two-year colleges Private search firms Referrals from existing employees Job service _Temporary agency Hire our own apprentices Promote from within _Local job fair Internet List Other: 17. If more than 50% of your employees live outside of Scandia, please indicate why you think that is the case? 18. If your workforce was to expand by 10%, would there be affordable housing for these workers within 30 minutes of your place of business? Yes No Uncertain 19. From your perspective as a business person, please rate housing opportunities in this community for OWNED homes. Excellent Above Average Average Below Average Very Poor Quality Below Average Availability Quality Affordability Location 20. From your perspective as a businessperson, please rate housing opportunities in this community for RENTAL housing. Excellent Above Average Average Below Average Very Poor Quality Availability Affordability Location 21. How would you rate the local labor force? Excellent Above Average Below Average Very Poor Average Quality Availability Quantity Stability 22. Please indicate where most of your employees live. Within 5 miles of business location Within 5 to 20 miles of business location More than 20 miles from business location 23. Please select the category that best describes your company's gross sales in 2013? Under $25,000 $25,000 to $99,999 $100,000 to $199,999 $200,000 to $499,999 $500,000 to $999,999 $1 million to $2.49 million $2.5 million to $4.9 million $5 million to $9.9 million _$10 million or more 24. Which of the following strategies do you currently use to increase your sales during less busy days and hours? Nothing Advertise Offer product promotion Extend days and/or hours of operation Change product/service offerings and/or mix Other: 25. Does your company have a website? Yes No 26. If no, what is your main reason for not marketing over the internet? No Internet Access Slow Internet connection No IT support Cost Time commitment Need more information Other: 27. What are the three (3) types of advertising you use the most? Yellow Pages Daily Newspaper Weekly newspaper Weekly shopper paper Radio TV Billboards Direct mail advertising Visitor's guide _Magazines Brochures/flyers/shopping bags Other: 28. Do you share advertising expenses with other businesses to promote your business area? Yes No 29. From the list below, please check the top five (5) factors likely to have a major impact on your business in the next three (3) years. New products Changing customer tastes Demographics Higher consumer spending Foreign competition Domestic competition Raw material shortages Energy Costs Transportation Wage rates Raw material costs Financing availability _Taxes/government policies Other: 30. Please check which of the following best describes your company's business activity. We have too much business, capacity is strained Business activity is just right We have too little business activity; excess capacity Wide seasonal or cyclical variations in demand 31. Over the last 3 years, have any of these business factors increased, stayed the same or decreased? 32. Over the next 3 years, do you think the following factors for your business will increase, stay the same, or decrease? Increased Stayed the Same Decreased Number of customers Sales -Total Revenue Profits Employees -Full Time Employees -Part Time Employees -Year Round Employees -Seasonal 32. Over the next 3 years, do you think the following factors for your business will increase, stay the same, or decrease? 33. In general, how do you meet or become acquainted with service providers? Someone you know referred/recommended the service provider You knew the service provider before they started working for you Referral by a trade association or professional organization Competitor used them Advertising or direct mail or yellow pages Unsolicited cold call Article in business publication or newspaper Service provider newsletter/web page Other: 34. Check the three most important factors in evaluating and selecting a service provider. Experience of service provider Service provider's knowledge of your industry Increase Stay the Same Decrease Number of customers Sales -Total Revenue Profits Employees -Full Time Employees -Part Time Employees -Year Round Employees -Seasonal 33. In general, how do you meet or become acquainted with service providers? Someone you know referred/recommended the service provider You knew the service provider before they started working for you Referral by a trade association or professional organization Competitor used them Advertising or direct mail or yellow pages Unsolicited cold call Article in business publication or newspaper Service provider newsletter/web page Other: 34. Check the three most important factors in evaluating and selecting a service provider. Experience of service provider Service provider's knowledge of your industry Proximity to your location Price Service provider's approach or methodology Service provider's reputation Recommendation from a trusted source Personality or "likeability" of service provider Credentials of service provider Referrals from other clients Other: 35. Check the areas that you have used external service providers for in the past three years (select all that apply: Business management Design or engineering Manufacturing operations Quality related issues Environmental and safety Information technology Organizational development Marketing/sales Financial/accounting Human resources development Other: 36. To meet your current or recent financial need, what type of capital are you considering or did you consider? Equity Capital Debt Capital 37. If you plan to use debt capital, which of the following financial institutions do you plan to use or did you use? Commercial bank Savings and loan Federal loan program (USDA, SBA) State Economic Development Loan (DEED, Regional Commission, or Foundation) Other: 38. When you sought your most recent loan, what types of activities or facilities did (do) you hope to finance. Purchase of land without buildings Purchase of land with buildings New building construction Building expansion Building renovation Operating capital Inventory Machinery or equipment Other: 39. Please provide information on your firm's credit experience for the past three (3) years in each of the following categories. 40. Have you made any of the following changes in the last 3 years? Yes No Changed mix of goods/services Added or subtracted product lines Entered new markets Modernized product technology Adopted labor-saving technologies Made other capital improvements 41. Will you be expanding/improving your current building or equipment? Yes No 42. If yes, do you face any constraints? No constraints Need financial assistance Need planning/design assistance Able to obtain Able to obtain Unable to Don't Not desired credit some credit obtain know applicable Short term loans (<1year) secured Short term (<1year) unsecured Long term loans (1-5yea rs) Long term loans (>5 years) Commercial mortgage Home equity loan for business purposes Line of credit Equipment financing or lease. 40. Have you made any of the following changes in the last 3 years? Yes No Changed mix of goods/services Added or subtracted product lines Entered new markets Modernized product technology Adopted labor-saving technologies Made other capital improvements 41. Will you be expanding/improving your current building or equipment? Yes No 42. If yes, do you face any constraints? No constraints Need financial assistance Need planning/design assistance Need to acquire land Other: 43. Are you considering another (additional) branch or store? Yes No 44. If yes, what location are you considering? Elsewhere in Scandia Elsewhere in Washington County Outside the county, but in Minnesota Outside the state Undecided 45. If yes, when will you open the new branch or store? Within 6 months 6 months to a year 1-3 years 46. Are you considering moving, selling or closing this business? No Considering moving Considering selling Considering closing 47. What conditions influence your decision regarding moving, closing, or staying put? (select all that apply) Market conditions Overcrowded building or space Land locked or expansion limited Transportation problems Crime or vandalism Low worker productivity or unavailability of workers Environmental concerns Building code problems High local taxes High state taxes Lease expiration 48. If moving, selling, or closing, when? Within 6 months 6 to 12 months _1 to3years 3 years or more Don't know 49. If moving, where will you move? Elsewhere in Scandia Elsewhere in Washington County Elsewhere in Minnesota Outside of Minnesota Undecided 50. Any other plans for business changes over the next three years? (check all that apply) No change Change in mix of goods or services Add new product or service lines Add new technology 51. Do you have enough room to expand? Yes No 52. Does your store/storefront need updating or "cosmetic" improvement? Yes No 53. Where do you see additional expansion or growth in your business? New building or addition Additional employees Additional equipment or new technology New training program for employees Additional financing Other: 54. What, if any, conservation or "green" actions have you taken or do you plan to take with your business? 55. If you face constraints on renovation or expansion, what are they? Would have an inadequate financial return on investment Inability to get a loan Insufficient space available for expansion Environmental or pollution control limitations Planning and zoning restrictions Governmental regulation prohibits expansion Shortage of adequate labor Shortage of adequate housing for labor Other: 56. What overall grade would you give the community as a place to do business? A (excellent) B (above average) _C (average) D (below average) _F (poor) 57. In the last 3 years, did the community's business climate get stronger, weaker, or stay the same? Got stronger Got weaker Stayed the same 58. What overall grade would you give the retail shopping in the community? A(excellent) _B(above average) C (average) D (below average) F (poor) 59. Is your firm having any problems with local community services? No Yes. If so please specify: 60. What is the most significant thing Scandia could do to help improve your business activity? 61. What specific concerns would you like to see addressed? 62. Do you live in Scandia? Yes No 63. Why or why not? 64. Rate the improvement needs in Scandia 65. If your firm (or one just like it) was trying to select a new location, how important would each of the following community factors be in this decision? Needs significant improvements Needs improvement Does not need improvement Not applicable Appearance of buildings Transportation costs Appearance of business signs Energy costs Cleanliness of sidewalks Localtaxes Cleanliness of streets Interest rates Congested streets near your business Workers' compensation rates Parking near your business Unemployment insurance Pedestrian access to your business Employee health care costs Street lighting Availability of raw materials Variety of stores Availability of credit 65. If your firm (or one just like it) was trying to select a new location, how important would each of the following community factors be in this decision? Critically important Above average importance Average Below Not at all importance average important importance Wage rates Transportation costs Energy costs Localtaxes State taxes Interest rates Workers' compensation rates Unemployment insurance Employee health care costs Availability of labor Availability of raw materials Availability of credit Proximity of four -lane highway Airport facilities Availability of industrial site Availability of housing Availability of quality water Availability of public transportation Telecommunications quality Broadband Access 66. Please indicate whether you believe the cost of doing business in your community is high, acceptable, or low. High Acceptable Low Does not apply Building costs Corporate taxes Environmental regulations Health care Inventory taxes OSHA requirements Payroll taxes Property taxes Public utilities Transportation of product to market Workers compensation 67. From your perspective as a businessperson, please rate the following amenities and services in Scandia. Excellent Above average Average Below average Poor Does not apply Roads, highways and freeways Snow and ice removal Street/sidewalk cleaning Street repairs Water supply Solid waste disposal Sewers/septic Natural gas service Internet access Electrical service Cable television service Telecom infrastructure Public transportation Rail service Air service Fire protection Excellent Above average Average Below average Poor Don't know Police protection Emergency medical services Hospitals Medical care, doctors Schools (k-12) Technical/vocational schools Quality of music/arts programs Excellent Above average Average Below Average Poor Does not apply Access to higher education Quality higher education Hotel facilities Conference facilities Recreational facilities Recreation services Housing opportunities Labor force quantity Labor force quality Proximity to major suppliers Proximity to major market Overall quality of life 68. With which local school district are you most familiar? Forest Lake Chisago Lakes Stillwater Home school 69. Please rate the following characteristics for K-12 for the school system you checked in the previous questions. Excellent Above average Average Below average Poor Don't know Quality of instruction Quality of facilities Quality of teaching resources (computers, books) Quality of curriculum Number of curriculum choices Quality of sports programs Quality of music/arts programs 70. From the following list of features, please indicate those that enhance or detract from a positive business environment in Scandia. 71. Rate your level of success with the marketing strategies listed below. Excellent Very Good good Strongly enhance Directory listings (yellow pages, etc) Neither enhance nor detract Daily newspaper Strongly detract Safe environment Weekly shopper paper TV Shopping/professional services Billboards and other signage Window displays Recreation/entertainment/cultural activities Web page Email/internet marketing School systems Magazines Brochures/flyers Library systems Frequent buyer/shopper program Highway infrastructure Housing opportunities Local business environment Location Wage rates Cost of living 71. Rate your level of success with the marketing strategies listed below. Excellent Very Good good Fair Poor NA Directory listings (yellow pages, etc) Daily newspaper Weekly newspaper Weekly shopper paper TV Radio Billboards and other signage Window displays Direct mail advertising Web page Email/internet marketing Visitor's guide Magazines Brochures/flyers Referral program Frequent buyer/shopper program Give-aways Donations/sponsorships Word of mouth Other 72. Which of the following market research methods do you use (select all that apply)? Personal interactions/interviews with customers _Track customer purchases Response cards by mail Focus groups Census/other data Information from Industry Association Hire market research consultants Other: I don't do market research 73. What are your thoughts on store hours? I am open all the hours I need to be I can't be open more hours for personal reasons I would like to be open more hours, but I can't afford the staff I would like to be open more hours, but I can't find good staff I would be open more hours if I were sure of sales I would be open more hours is everyone else were I have been open evening hours in the past and it was not worthwhile Other: 74. Have you had evening hours in the past? Yes No 75. If yes, how many evenings (past 6pm) per week were you open? 1 2 3 4 5 6 7 76. Why did you discontinue evening hours (select all that apply)? Personal reasons Difficulty hiring staff for evenings Not cost effective Other stores in Scandia were not open evenings Other: 77. Please rate the degree you are experiencing the following challenges in your business. Major Minor No Don't challenge challenge challenge know Poor building condition Conflict with building owner or tenant Expensive rent Product delivery or loading challenges Insufficient financing Internet competition Language barriers Shoplifting or employee theft Vandalism Perception of safety Public using your bathroom Traffic flow/signage Congested streets near your business Road construction Street closure for events Streets not clean Sidewalks not clean Lack of pedestrian traffic Insufficient parking Signage Restrictive business regulations Smoking ban Competition from Forest Lake Other: 78. If financial assistance were available, would you consider building improvements such as fagade work or new signage? Yes No Don't know 79. Considering all factors, how would you rate the overall atmosphere in your local shopping area? Excellent Very good Good Fair Poor