HomeMy WebLinkAboutMarch 01, 2022 - EDA Packet Shakopee Economic Development Authority
"Dile*AI March 1, 2022
SHAKOPEE, 7:00 PM
City Hall, 485 Gorman St.
1. Roll Call
2. Approval of Agenda
3. Consent Business
3.A. EDA Minutes
3.B. Tax Increment Spending Plan
4. General Business
4.A. Amendment to Contract with Shakopee Chamber
5. Reports
5.A. EDA Bill List
6. Adjourn to Tuesday, April 5, 2022 at 7:00 pm
Note to EDA Members:
If you have any questions or need additional information on any of the above items,please call Michael Kerski,prior to
the meeting at(952)233-9346.
Page 1 of 41
3.A.
WILLA'
SHAKOPEE
Shakopee Economic Development Authority
March 1, 2022
FROM: Lori J. Hensen, City Clerk
TO: EDA Board
Subject:
EDA minutes of February 2, 2022.
Policy/Action Requested:
Approve the minutes from February 2, 2022.
Recommendation:
Approve the minutes from February 2, 2022.
Discussion:
Budget Impact:
ATTACHMENTS:
❑ February 2, 2022
Page 2 of 41
Shakopee Economic Development Authority
llliktilifrAl MINUTES
February 2, 2022
SHAKOPEE 7:00 PM
City Hall, 485 Gorman St.
1. Roll Call
Present: President Jody Brennan, Commissioners Bill Mars, Matt Lehman, Jay Whiting,
Angelica Contreras
Staff Present: City Administrator Bill Reynolds, Assistant City Administrator Chelsea
Petersen, City Attorney Jim Thomson, Finance Director Nate Reinhardt, City
Engineer/Public Works Director Steve Lillehaug, Planning/Development Director Michael
Kerski, Parks/Recreation Director Jay Tobin, Police Chief Jeff Tate, Recreation Facilities
Manager Troy Ciernia, Community Engagement Coordinator Carla Kress
2. Approval of Agenda
Commissioner Matt Lehman made a motion to approve the agenda as modified, seconded
by Commissioner William Mars and the motion passed.
5 - 0
3. Consent Business
Commissioner Angelica Contreras made a motion to approve the Consent Agenda,
seconded by Commissioner Jay Whiting and the motion passed.
5 - 0
3.A. Tax Increment Spending Plan
This item was removed from the agenda.
3.B. EDA Minutes
Motion to approve the meeting minutes of January 4, 2022 (motion carried under the
Consent Agenda)
4. General Business
4.A. Entrepreneurship Report to Date
Commissioner William Mars made a motion to accept report and continue contract
with Momentum through the end of 2022 for an amount of$65,000 and not to exceed
Page 3 of Ill
$12,000 in expenses to be paid out of Coronavirus Local Fiscal Recovery Funds,
seconded by Commissioner Angelica Contreras and the motion passed.
5 - 0
5. Reports
5.A. EDA Bill List
Informational item only.
6. Adjourn to Tuesday, March 1, 2022 at 7:00 pm
Commissioner William Mars made a motion to adjourn to Tuesday, March 1, 2022 at 7:00
p.m., seconded by Commissioner Angelica Contreras and the motion passed5 - 0
Page 2 of 31
3.B.
WILLA!
SHAKOPE E
Shakopee Economic Development Authority
March 1, 2022
FROM: Nate Reinhardt, Finance Director
TO: President and Commission Members
Subject:
Tax increment spending plan
Policy/Action Requested:
Adopt Resolution E2022-004 approving a spending plan for certain tax increment financing
districts located in the City of Shakopee.
Recommendation:
Approval
Discussion:
The State Legislature amended the TIF law in 2021 to provide flexibility to cities to utilize
unobligated TIF balances in existing districts in order to promote construction and job
creation in their communities. The law allows cities to provide assistance for private
development that creates or retains jobs, without counting against the pooling limitations of
the districts.
The EDA has until December 31, 2022 to transfer the funds to another designated City/EDA
fund and the dollars must be spent by December 31, 2025.
In order to preserve the ability to use this tool, the City and EDA are required to develop a
spending plan that identifies the TIF districts that will fund defined projects, hold a public
hearing, adopt the plan and submit it to the State Auditor.
Budget Impact:
If the spending plan is approved, the City/EDA does not commit assistance to a development
project, but rather reserves the right to do so in the future. Staff estimates the current
available unobligated increment is approximately $500,000. Preference for financing
assistance will be for private development that provides for high wage job creation or
development of housing, including but not limited to, market rate and affordable multi-family,
Page 5 of 41
town homes and single-family units.
ATTACHMENTS:
o E2022-004 - Tax Increment Spending Plan
o Proposed Tax Increment Spending Plan
o OSA Statement of Position (2021 TIF Law)
o TIF Spending Plan (Presentation)
Page 6 of 41
ECONOMIC DEVELOPMENT AUTHORITY FOR THE
CITY OF SHAKOPEE, MINNESOTA
RESOLUTION NO. E2022-004
RESOLUTION APPROVING A SPENDING PLAN FOR CERTAIN TAX
INCREMENT FINANCING DISTRICTS LOCATED IN THE CITY OF
SHAKOPEE
WHEREAS, the Economic Development Authority for the City of Shakopee, Minnesota
(the"Authority") and the City of Shakopee (the"City") have previously established the following
tax increment financing districts located in the City (collectively, the "TIF Districts"), and
adopted tax increment financing plans therefor, pursuant to Minnesota Statutes, Sections 469.001
through 469.047, as amended, and Minnesota Statutes, Sections 469.174 through 469.1794, as
amended (the "TIF Act"): Tax Increment Financing District No. 10 (River City Center), Tax
Increment Financing District No. 14 (SanMar), Tax Increment Financing District No. 15 (All
Saints), Tax Increment Financing District No. 16 (Rahr), Tax Increment Financing District No.
17 (Amazon), Tax Increment Financing District No. 18 (Canterbury), Tax Increment Financing
District No. 19 (Riverfront), Tax Increment Financing District No. 20 (Enclave), and Tax
Increment Financing District No. 21 (Southbridge Soils); and
WHEREAS, Section 469.176, subdivision 4n of the TIF Act (the "Temporary TIF
Authority Act") authorizes the Authority to spend available tax increment from any existing tax
increment financing district, notwithstanding any other law to the contrary, to provide
improvements, loans, interest rate subsidies, or assistance in any form to private development
consisting of construction or substantial rehabilitation of buildings and ancillary facilities, if the
following conditions exist:
(1) Such assistance will create or retain jobs in the State of Minnesota,
including construction jobs;
(2) Construction commences before December 31, 2025;
(3) The construction would not have commenced before the dates specified
above without the assistance;
(4) Tax increments under the spending plan are spent by December 31, 2025; and
(5) The City Council of the City (the "City Council") approves a written
spending plan (after a duly noticed public hearing) that specifically authorizes the
Authority to take such actions; and
WHEREAS, the Authority proposes to adopt a spending plan for the TIF Districts (the
"Spending Plan") in accordance with the Temporary TIF Authority Act in substantially the form
submitted to the Board of Commissioners of the Authority (the "Board") to utilize existing tax
Page 7 of 41
increment revenues from the TIF Districts in order to stimulate construction or rehabilitation of
private development in a way that will also create or retain jobs; and
WHEREAS, the assistance authorized under the Spending Plan expressly includes but is
not limited to assistance for private development that provides for high-wage job creation or
development of housing, including but not limited to market rate and affordable multifamily,
townhomes, and single-family units; and
WHEREAS, assistance authorized and provided under the Spending Plan may constitute
a business subsidy as described in Minnesota Statutes, Sections 116J.993 to 116J.995, as amended
(the "Business Subsidy Act"), which will require that the Board conduct a public hearing prior to
providing such financial assistance to a developer; and
WHEREAS, on the date hereof, the City Council of the City will conduct a public
hearing regarding the Spending Plan, for which notice was published in a newspaper of general
circulation in the City and on the City's public website at least ten (10) days but not more than
thirty (30) days prior to the date of the public hearing, and consider a resolution approving the
Spending Plan; and
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Economic
Development Authority for the City of Shakopee, Minnesota that:
1. The Spending Plan is hereby approved in substantially the form on file in City Hall.
2. The Authority makes all the findings set forth in the Spending Plan, which are
incorporated herein by reference.
3. Authority staff and consultants are hereby authorized to take actions necessary to
carry out the terms of the Spending Plan.
4. The Board shall conduct a public hearing prior to providing financial assistance to
a developer under the Spending Plan if in the opinion of counsel to the Authority such assistance
constitutes a business subsidy under the Business Subsidy Act.
Sworn and Executed Under My Hand this 1st day of March, 2022.
President
Executive Director
2
Error!Unknown document property name.
Page 8 of 41
EDA Adoption Date: , 2022
CITY Adoption Date: , 2022
l°11L1
SFIAIKOPEE
Shakopee Economic Development Authority
City of Shakopee,
Scott County, Minnesota
SPENDING PLAN
TIF District 10 (River City Center)
TIF District 14 (San Mar)
TIF District 15 (All Saints)
TIF District 16 (RAH R)
TIF District 17 (Amazon)
TIF District 18 (Canterbury)
TIF District 19 (Riverfront)
TIF District 20 (Enclave)
TIF District 21 (Southbridge Soils)
EHLERS
Prepared by:
Ehlers
3060 Centre Pointe Drive
Roseville, Minnesota 55113
BUILDING COMMUNITIES. IT'S WHAT WE DO.
Page 9 of 41
SPENDING PLAN
FOR TIF DISTRICTS 10 (RIVER CITY CENTER), 14 (SANMAR), 15 (ALL SAINTS), 16
(RAHR), 17 (AMAZON), 18 (CANTEBURY), 19 (RIVERFRONT), 20 (ENCLAVE), AND
21 (SOUTHBRIDGE SOILS)
I. PURPOSE
The Shakopee Economic Development Authority (the "Authority") administers the
Tax Increment Financing Districts listed above (the "TIF Districts") in the City of
Shakopee, Minnesota (the "City"), and proposes to adopt a Spending Plan for the TIF
Districts in accordance with Minnesota Statutes, Section 469.176 Subd. 4n (the "Act").
The purpose of the Spending Plan is to develop or redevelop sites, lands or
areas within the City in conformity with the City's Comprehensive Plan or other City
plans or objectives by using available tax increments from the TIF Districts to provide
improvements, loans, interest rate subsidies, or assistance in any form to private
development consisting of the construction or substantial rehabilitation of buildings and
ancillary facilities, which will create or retain jobs in this state, including construction
jobs.
II. PLAN
The Authority is authorized as follows:
(a) To use available tax increments from the TIF Districts to provide
improvements, loans, interest rate subsidies, or assistance in any form to private
development consisting of the construction or substantial rehabilitation of buildings and
ancillary facilities (the "Projects") in financing assistance to further the goals in the City's
Comprehensive Plan or other City plans or objectives, if doing so will create or retain
jobs in the state, including construction jobs. Preference for financing assistance will be
for private development that provides for high wage job creation or development of
housing, including but not limited to, market rate and affordable multi-family, town
homes and single-family units. The Projects shall commence before December 31,
2025 (unless a later commencement date is authorized by law) and shall constitute
Projects that would not commence by such date without the assistance provided
pursuant to this Spending Plan.
(b) To amend the budget set forth in the Tax Increment Financing
Plans for the TIF Districts if necessary, to provide for the assistance authorized by this
Spending Plan.
(c) To take any other action necessary and authorized under the Act in
connection with the construction or substantial rehabilitation of facilities of the type
described in clause (a) above.
The assistance provided pursuant to this Plan shall be subject to Minnesota
Statutes, Sections 116J.993 to 116J.995 (the "Business Subsidy Law"), if applicable,
and shall be subject to the City's Business Subsidy Policy.
Page 10 of 41
STATE OF MINNESOTA
tSA Julie Blaha Suite 500
525 Park Street
State Auditor Office of the State Auditor Saint Paul, MN 55103
Statement of Position
Temporary Transfer Authority(2021 Law)
Tax increment revenue may be spent only as permitted by the Tax Increment Financing Act (TIF Act). In
2021,the Legislature enacted expanded,temporary authority to transfer unobligated tax increments for
purposes of assisting private development consisting of the construction or substantial rehabilitation of
buildings and ancillary facilities, if doing so will create or retain jobs in the state.' Proposed amidst the
COVID-19 pandemic,the enacted law is narrower than initially proposed and is similar to 2010
legislation that temporarily expanded the use of TIF with the aim of stimulating economic recovery after
the Great Recession.'
Authority,Purposes
The new law temporarily permits a development authority to elect, by resolution,to transfer
unobligated increment for certain specified purposes.The new law does not, however, override
requirements to pay bonds to which increments are pledged.
Any transfer under this provision must be for the purpose of assisting private development that meets
all of the following criteria:
(1) it consists of the construction or substantial rehabilitation of buildings and ancillary
facilities;
(2) it creates or retains jobs in the state, including construction jobs;and
(3) construction commences before December 31, 2025, and would not have commenced
before that date without the assistance.'
Developments that would already commence construction prior to December 31, 2025,or those that do
not add or retain jobs in the state,would not be permitted beneficiaries of the transfer.
Transfers must provide the assistance in one or both of the following ways:
(1) by providing improvements, loans, interest rate subsidies, or assistance in any form to the
private development; or
1 The TIF Act is found at Minn.Stat.§§469.174 to 460.1794.
2 Minn.Stat.§469.176,subd.4n,as enacted by 2021 Minn.Laws,1St Spec.Sess.,ch.14,art.9 sec. 1.
3 The 2021 enacted provision does not include transfers to the general fund, nor more-generalized support for businesses
impacted by the pandemic,as was initially entertained.While similar to the 2010 Jobs Stimulus provision,additional details are
included. For information about the 2010 provision, see the separate TIF Jobs Stimulus Program statement of position on our
website.
4 Minn.Stat.§469.176,subd.4n(a).
New: August 2021
Main: (651) 296-2551 *Fax: (651) 296-4755 • TTY: (800) 627-3529• State.Auditor@osa.state.mn.us • www.osa.state.mn.us
An equal opportunity employer
Page 11 of 41
(2) by making an equity or similar investment in a corporation, partnership, or limited liability
company that the authority determines is necessary to make construction of a development
financially feasible.5
In order to demonstrate compliance with the new provision,an authority may wish to include
affirmation of the qualifications in the written resolution electing to make the transfer.The authority
also should keep documentation that demonstrates that the development created or retained jobs in
the state and that commencement of construction by December 31, 2025, depended on the transfer.
Approvals and Spending Plans
Prior to approving the use of this temporary transfer authority by resolution, a development authority
must also create a written spending plan that authorizes the development authority to provide the
assistance or make the investment that makes the development qualify.6 The plan must detail the use of
transferred increment.'The OSA recommends identifying planned expenditures using the same
categories identified in TIF plans and TIF reporting(e.g., acquisition, site preparation, financing costs,
etc.),except for a category for administrative expenses, because administrative expenses are not
included in the permissible uses of the transferred increment in the new law.
The municipality(which may or not be the same as the development authority) must also approve the
authority's spending plan after holding a public hearing.'The municipality must publish notice of the
hearing in a newspaper of general circulation in the municipality and on the municipality's public
website at least ten days, but not more than 30 days, prior to the date of the hearing.'
An authority making a transfer under this authority must provide a copy of the spending plan approved
and signed by the municipality to the Office of the State Auditor.10 Plans should be emailed to
TIF@osa.state.mn.us as soon as possible after their approval.
Parameters and Limitations
The authority to transfer increments under this provision expires on December 31, 2022.11 Amounts
being transferred under this provision must be transferred from the fund or account in which tax
increments are segregated and into a separate fund or account by December 31, 2022.Amounts must
not be expended directly from the transferring TIF fund or account, and may not be spent after
December 31, 2022, if they remain in the TIF district's fund or account at that time.12 All transfers must
be spent by December 31, 2025.13
S Id.
6 Minn.Stat.§469.176,subd.4n(c).
Id.
8 Id. A city's housing and redevelopment authority or economic development authority,for example, may be the development
authority while the city itself is the municipality.
9 Id.
10 Minn.Stat.§469.176,subd.4n(e).
11 Minn.Stat.§469.176,subd.4n(f).
12 Minn.Stat.§469.177,subd.5,requires an authority to segregate tax increment received with respect to any district in a special
account or accounts on its official books and records. This authority allows transfers out of such accounts as opposed to
expenditures from within these accounts.
13 Minn.Stat.§469.176,subd.4n(f).
New: August 2021 2
Page 12 of 41
Transfers from a TIF district in calendar years 2021 and 2022 are limited to a maximum transfer equal to
the excess of the district's unobligated increment.14 Under the provision, unobligated increment
includes any increment not required for payment of obligations due during the six months following the
transfer on outstanding bonds, binding contracts, and other outstanding financial obligations of the
district to which the district's increment is pledged."S Therefore,the transfer of increment for 2021 is
limited to the eligible balance of tax increment at the end of 2020, less amounts needed to pay bonds,
pay-as-you-go notes, and interfund loans due from January 1, 2021,to June 30, 2021. Similarly,the
transfer of increment for 2022 is limited to the eligible balance of tax increment at the end of 2021, less
amounts needed to pay bonds, pay-as-you-go notes, and interfund loans due from January 1, 2022, to
June 30, 2022.
Presumably, receipts of tax increment for the first half taxes in each year would be used to make
payments on outstanding obligations due in the second half of each year, but note that this authority
does not provide any exception to pay those obligations to which tax increment is pledged, and an
authority should not transfer amounts that might impair their ability to make payments on those
obligations.
Increment that is improperly retained, received, spent, or transferred is not eligible for transfer under
this authority.16 Therefore,the 2020 and 2021 balances of tax increment should be carefully evaluated
prior to making transfers in 2021 and 2022, respectively. For example, excess increment calculated for
2019 that might remain in the TIF fund after it should have been returned by September 30, 2020,
would not be eligible for transfer, nor would any subsequent excess increment be eligible for a transfer
after it should have been returned. Likewise, if a district receives tax increment after it should have
decertified under the Six-Year Rule, such amounts of increment would also not be eligible for transfer.
Unspent Transfers
Increment not spent by December 31, 2025, must be returned to the fund(s)of the contributing TIF
district(s).17 The distribution of returned amounts need not be proportional to the amount contributed,
but the amount returned to each TIF district must not exceed the amount transferred from the district.
14 Minn.Stat.§469.176,subd.4n(b).
151d. Interfund loans are included in the definition of"bonds"in the TIF Act(see Minn.Stat.§469.174,subd.3),so payments on
interfund loans should not be foregone to increase a transfer under this authority.
16 Minn.Stat.§469.176,subd.4n(d).
17 Minn.Stat.§469.176,subd.4n(f).
New: August 2021 3
Page 13 of 41
0
C
(13
C
a)
N
� J
I V
+J
(1)
w
z
Ohs
W
W
O
C1)
oc
T
'API "'
3 I1 \ '
r
gn
4_
f.....)
7.r:
O
V7
C O V
1 1 c ._
V '—
E w
' ' 2 O � a
O +° C coC
- to O >
'
CUO1 N •a
•0 O
.
O O w 5•— -o +, tii, O cu a)
m u_ ru c 4-,
a) — O) a)—1 1-- .— — a) +a-+
—
"13 ca -00 V a) O
O +J c m V O. i
= a) u a) 'O O O +-C o a) 4-j rt, 4-° 4-° c t
z
Q = —O w!.
w�!
L ._' >.W"aJ (1) E p.'
C -O -O a)-o-o � \f
O) , z„3 t",
'‘i
....- > aJ a) a, O a) a) a� f-#
w N 4-aV i +-o > ;
U z D ra C 2 C CC w
a, • • • •
c O
W
O) =
•- O
0
W a
W O
L
03 cu
'
(13 . . O1
Vl •N
.;..i > O
im
t/1
to O
dJ —. m .O CD VD O M N
•— — 00 r N N V- 1/40
_ O t N c' O
E
o N I- N
im. ,
(a E M
4) -
U2 0
N
o p
C
C LA >
V. (y a) ^ a) a)
U > ^ O1 `n
rp
•- 4 tilC ID C 2 '�):
i ,U U CV
4a.. ^ O � O
o L "Srp DC N a1 " �_ -o
N V) N C V1 = f3 C a1 V 5 T
V) OM •O cc t!1 < cc < V cc W Vl 0 o
(1.) I-I- (1) o d- Lf1 �O 00 O �0
U r-- r— r— r— (N N
ct
ra 4-+ 4-0 4-0 +-0 +-0 +a f-+ +a 4-+ Q
CQ.
Jr..) .V .V .V .V ,V .V .V .V .V
C V) 4--0 4.0 4-d a--+ 4-+ 4-0 4-0 +-0
N V1 N V1 V1 N N V1 VI To
Ez ' D 6 D 6 6 6 6 b p t
L.L. LL L.L. L.L. U L.L L.L. L.L. L.L H
H F- F— H H H F— H Nr E
CO �'
x,
Cl) w w r.L.1,
au c
a
oa f
S) o ' 1I
ro , 4-• i i
w
00 v) ,+- w
> • o
Q
r'
FT i
41If
rail
4131(r4
c
O
-
ro
MMINIIMMI
•- V
szu
-O 4_,
03 _Q
>(I) a
a)
D7:3 .4-J +a
4) a
C -0 8 o
e-N
.O O1 v) il vt v) C 15
is
73 a--+ • • CCC = C
O
L' : , > 5 a D c 2 4E'
u (1) ' Ll' EE _o c z ,
C c ._ w
L'2 E 0 -,- >
Ca wf�
00 03 a V •X , O O O I
U O O , au > 0_ `-- .
.0 a) a, 4 •" E o O I
� Z00- ._ OO i
u- w • • Z Z cn
Of- 73 w
•
1 i CD2
W
4J O
O 4)
*+7, o 7--- c .1...• •
U ._
z -.4t; § .O ft, 11
.�
+-•
L._ .— wall +-, c
.4..) u a) cu p
v) -
V L >N
co II= U CU .�,!' -8
E (DE
4E ( Q)v) � I
VI D a cn cu
cn -a —
_o E
z ._ o c L" a) 0)
VIC 4-0U •— .—
a) c -c E v)
o E 03 O O
u 4-1„ m a) o 4._ 4_, a)
D `-1 C v) E
i z
.— _o
N +, O „wows) r)
c cn -0 a-+ C •= 0)-C
CU 73 O (16 CI)
U •" 4)
" O '— E V) 5 p vi •- O
V
4� -� 0_ 03 p L' .C >.
•—N I � •—
(l) a) c a5,�;
ID •≥ a c -1-' o E
cr -O r C C ra z
O
ivVEco) a
-o� • V �
-O +vi -O V 171) O -C --#
i 5 - E
C o z � � o
= E Eo a)
a (j) 4 J _
Va) ,0 4V4-7, a) V � � � E -2 I
2 ,,
c -a-5%4T •
.O •O = -o Lu E i - :
1._ •- ,_ � 4- a) ( a o w 2t
fl.,- !
ro �� a Q u LA O o !
_Cto _Cv, _C — aaw ii
w � MO w � " OWC `n3.
my- - C w
O . w
= •
o
Q
z
W
11
cc
U_
(-N L-
N V)
O '—
N
M � i= N
v
CN1 ..--(3 •
O
r- C N
•—
C < _CI C31 C
Ms CU+a a) 0 cry
+-+ no ti)
Ln m0
CU In i� p O
a--+ la) >` (Ni 4_, V
(1:5 -O O
4-0
O +'' I
4J Cr) -O
C �O V 4) C
L) > W >
z 2 7 c _a 4 V
-o > O -0 -
o a o . 4J 4J
.,_>‘
u ra Q. U "la-). -O C ;
L) — D
CI) •-, a V) O
cn
..0 -O _a 2 Du -
.4-J a
t/l V) V) O E CU
n = D -O U c ) ..C
E E E cu cu 73 '
'L Q -) D -O CU L !
rt3 CT E 'a) '
C C cP D .O w
V'1 � 4J
V) u :E3- la 7., t : o
ci) C C cn au - vii
V s) au a) c •o >N1.6
ma a O L C4) (r)Ocrl cry u a_ Q
L • • • • • •
CL-
111
C
W W
.4= 1-C 5
W W
7 -o
CU -0 N
4._, c O
a +-0 N
-0 •— _C
ca O 4-j
4) a -' C
O
•_
-O> ti)
ra .— Q) cn
V =
E. a) u
a)
cn
'6 2 c v) Eti)
C Q V C
(1) +-r (1) O
Q ca
CU D
_c V
C .1 ,1a
C
p (1) o N
Ea
+3
(13 v) E +a
-O'C3 o a3
CC cu V2 _
- — O
a) E a. Z
M
E
O � N w
E4__O 4- N 3.�I
rti 03
V 4-J 4-0 C
Li) (/1 N
Qv . . ='
C LI
4.A.
PikAI
SHAKOPE E
Shakopee Economic Development Authority
March 1, 2022
FROM: Michael Kerski, Planning/Development Director
TO: President and Commissioners
Subject:
Amend contract with the Shakopee Chamber of Commerce to now include event
requirements and sponsorship.
Policy/Action Requested:
Approve amended contract with the Shakopee Chamber of Commerce to now include event
requirements and sponsorship and maintain financial support at $25,000 per city fiscal year..
Recommendation:
Approve amended contract.
Discussion:
In the past five years there has been five Main Street directors. Staff has met with the
Chamber management and we both agreed that most people downtown call the city with
issues, concerns or ideas. The Chamber has agreed that the City/E DA will take on the
communication responsibilities to the downtown building owners and business. This will
include various committees to ensure that issues are heard. The city has been working to fill
the vacant downtown storefronts and also works with outside agencies to help new
businesses that may open downtown. This has included the new brewery in the Deco and a
new store going into River City Center.
City staff will manage the business side of downtown while the Chamber staff will handle
events, their impacts and fund raising for events. Chamber staff will still attend meetings and
will be kept abreast of issues by the city.
The downtown flower baskets were something that Main Street has done in the past. Last
year, Shakopee Public Utilities and the city did the baskets and city staff maintains them
along with the various planters downtown. This collaboration will let the Chamber focus its
funding more strategically on events, marketing and funding possible improvements like
benches or public art.
Page 21 of 41
The main changes to the current contract is the city will take on more interaction with the
merchants and building owners and the city will become a sponsor while the Chamber will
ensure that the three main events are held downtown including Rhythm on the Rails, a Fall
event and the holiday event.
Budget Impact:
ATTACHMENTS:
❑ 2022 proposed contract
❑ 2021 proposed contract
Page 22 of 41
Service Contract
This Contract ("Contract"), made this 1St day of March 2022 by and between the City of
Shakopee and the Economic Development Authority ("CITY") and the Shakopee Area Chamber
of Commerce, a nonprofit corporation organized under the laws of the State of Minnesota
("CHAMBER").
WHEREAS, the CITY requires certain professional services to assist the CITY in completing its
economic development initiatives in the CITY's Downtown Business District (the "Project"); and
WHEREAS, the CHAMBER agrees to furnish the various professional services required by the
CITY.
NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein,
the Parties agree as follows:
SECTION I - CHAMBER SERVICES AND RESPONSIBILITIES
A. Scope of Services. CHAMBER agrees to perform various Project services as detailed in
Exhibit 1, Scope of Services, attached hereto and incorporated herein by reference.
1. The CHAMBER agrees to maintain, at its expense, statutory worker's compensation
coverage.
2. The CHAMBER agrees to maintain, at its expense, general liability insurance
coverage insuring CHAMBER against claims for bodily injury, death or property damage
arising out of its general business activities (including automobile use). The CITY shall
be an additional named insured on the Consultant's CGL insurance policy. The liability
insurance policy shall provide coverage for each occurrence in the minimum amount of
$1,000,000.00.
3. True, accurate and current certificates of insurance, showing evidence of the required
insurance coverage, are hereby provided to the CITY and are attached hereto as Exhibit
4. The Shakopee Area Chamber of Commerce will provide events as noted in exhibit
and will be the member of the Main Street program.
Page 23 of 41
SECTION II-THE CITY'S RESPONSIBILITIES
A. The CITY shall compensate the CHAMBER for services rendered to CITY as part of the
Project $25,000 in two payments of$12,500 each, one in January 2021 and one in August
2021.
B. The CITY understands that the CHAMBER will seek an extension of this Contract for 2022 at
the same amount as stated above, which will be subject to CITY approval. The CITY
understands that without approval of the program by the CITY, the program will cease to
operate.
C. The CITY requests that any future requests for extension of this Contract for 2022 or beyond
be made to CITY by June 15, 2021 to be reviewed for recommendation for inclusion into the
CITY annual EDA budget. Requests should be directed in writing to the Director, Planning and
Development Department; City Hall, 485 Gorman Street, Shakopee, Minnesota, 55379.
SECTION III - TERMS AND CONDITIONS
A. Term. This Contract shall commence January 1, 2021 and be in effect until December 31,
2021.
B. Default. If CHAMBER fails to perform any of the provisions of this Contract or so fails to
administer the services detailed in Exhibit 1, attached hereto, in such a manner as to endanger
the performance of the Contract, this shall constitute default. Unless CHAMBER's default is
excused by the CITY, the CITY may, upon written notice, immediately cancel this Contract or
exercise any other rights or remedies available to the CITY under this Contract or law.
C. Liability. The CITY shall have no duty or obligation hereunder other than to take such
specific actions as are required of it from time to time by the provisions of this Contract and it
shall incur no liability hereunder or in connection herewith for anything whatsoever other than
any liability resulting from its own gross negligence or willful misconduct or unlawful acts or
omissions. The only duties and responsibilities of the CITY shall be the duties and obligations
specifically set forth in this Contract.
D. Indemnification. CHAMBER shall indemnify, hold harmless and defend the CITY from and
against any and all losses, claims, liabilities, and reasonable expenses, including the
reasonable fees of its counsel, specifically including in-house counsel fees, which it may suffer
or incur in connection with the performance of any duties and obligations under this Contract,
except for those losses, claims, liabilities and expenses resulting solely and directly from the
CITY'S own gross negligence, willful misconduct, or unlawful act or omission. All
indemnification obligations shall survive termination, expiration or cancellation of this Contract.
CITY shall indemnify, hold harmless and defend the CHAMBER from and against any and all
losses, claims, liabilities, and reasonable expenses, including the reasonable fees of its counsel,
specifically including in-house counsel fees, which it may suffer or incur in connection with the
performance of any duties and obligations under this Contract, except for those losses, claims,
liabilities and expenses resulting solely and directly from the CHAMBER'S own gross
negligence, willful misconduct, or unlawful act or omission. All indemnification obligations shall
survive termination, expiration or cancellation of this Contract.
Page 24 of 41
E. Contingencies. This Contract is expressly contingent upon the CITY approving a budget
allocating the funds specified herein for the purpose stated herein. In the event, for any reason,
funds are not included in the approved CITY budget and available for expenditure for this
Contract, then this Contract shall be null and void without any obligation by the CITY or
CHAMBER.
F. Termination. Either party may terminate this agreement upon providing 90 days written notice
to the other party. Due to the fixed costs of starting and managing this program, regardless of
the timing of termination by either party, any payments made to the CHAMBER by the CITY will
not be refunded.
G. Voluntary and Knowing Action. The PARTIES, by executing this Contract, state that they
have carefully read this Contract and understand fully the contents thereof; that in executing this
Contract they voluntarily accept all terms described in this Contract without duress, coercion,
undue influence, or otherwise, and that they intend to be legally bound thereby.
H. Authorized Signatories. The PARTIES each represent and warrant to the other that (1) the
persons signing this Contract are authorized signatories for the entities represented, and (2) no
further approvals, actions or ratifications are needed for the full enforceability of this Contract
against it; each party indemnifies and holds the other harmless against any breach of the
foregoing representation and warranty.
I. Notices. The PARTIES' representatives for notification for all purposes are:
THE CITY:
Bill Reynolds, City Administrator
485 Gorman Street
Shakopee, MN 55379
(952) 233-9311
breynolds@shakopeemn.gov
Michael Kerski, Director, Planning & Development
mkerski@shakopeemn.gov
CHAMBER:
Tim Zunker, President
1801 East County Road 101
Shakopee, MN 55379
(952)445-1660
tzunker@shakopee.org
Any notice provided for or permitted under this Contract, unless otherwise provided herein, will
be treated as having been received (a) when delivered personally, (b) when sent by confirmed
facsimile or (c) three (3) days following when sent by certified mail, to the party to be notified, at
the address set forth below, or at such other place of which the other party has been notified in
accordance with the provisions of this paragraph. Such notice will be treated as having been
Page 25 of 41
received upon actual receipt if actual receipt occurs earlier than as provided in clauses (a)
through (c) hereof.
J. Independent Contractor Status. CHAMBER at all times and for all purposes hereunder, shall
be an independent contractor and is not an employee of the CITY or EDA for any purpose. The
CITY acknowledges that no withholding or deduction for State or Federal income taxes, FICA,
FUTA, or otherwise, will be made from the payments due CHAMBER, and that it is CHAMBER's
sole obligation to comply with the applicable provisions of all Federal and State tax laws.
CHAMBER shall at all times be free to exercise initiative, judgment and discretion as to how to
best perform or provide services identified herein. CHAMBER is responsible for hiring sufficient
workers to perform the services/duties required by this Contract, withholding their taxes and
paying all other employment tax obligations on their behalf.
H. Subcontracting. CHAMBER shall not enter into any subcontract for performance of any
services contemplated under this Contract without the prior written approval of the CITY.
CHAMBER shall be responsible for the performance of all subcontractors and/or sub-
consultants.
I. Assignment. This Contract may not be assigned by either Party without the written consent of
the other Party.
J. Modifications/Amendment. Any alterations, variations, modifications, amendments or waivers
of the provisions of this Contract shall only be valid when they have been reduced to writing,
and signed by authorized representative of the CITY and CHAMBER.
K. Records-Availability and Retention. Pursuant to Minn. Stat.§ 16C.05, subd. 5, CHAMBER
agrees that the CITY, the State Auditor, or any of their duly authorized representatives at any
time during normal business hours and as often as they may reasonably deem necessary, shall
have access to and the right to examine, audit, excerpt, and transcribe any books, documents,
papers, records, etc., which are pertinent to the accounting practices and procedures of
CHAMBER and involve transactions relating to this Contract. CHAMBER agrees to maintain
these records for a period of six years from the date of termination of this Contract.
L. Force Majeure. The PARTIES shall each be excused from performance under this Contract
while and to the extent that either of them are unable to perform, for any cause beyond its
reasonable control. Such causes shall include, but not be restricted to fire, storm, flood,
earthquake, explosion, war, total or partial failure of transportation or delivery facilities, raw
materials or supplies, interruption of utilities or power, and any act of government or military
authority. In the event either party is rendered unable wholly or in part by force majeure to carry
out its obligations under this Contract then the party affected by force majeure shall give written
notice with explanation to the other party immediately.
M. Compliance with Laws. CHAMBER shall abide by all Federal, State and local laws, statutes,
ordinances, rules and regulations now in effect or hereinafter adopted pertaining to this Contract
or to the facilities, programs and staff for which CHAMBER is responsible.
N. Covenant against Contingent Fee. CHAMBER warrants that it has not employed or retained
any company or person, other than a bona fide employee working solely for CHAMBER to solicit
or secure this Contract, and that it has not paid or agreed to pay any company or person, other
Page 26 of 41
than a bona fide employee, any fee, commission, percentage, brokerage fee, gift or any other
consideration, contingent upon or resulting from award or making of this Contract.
O. Covenant against Vendor Interest. CHAMBER warrants that it is not employed by any
vendor of equipment or service provider that could result in a commission, percentage,
brokerage, or contingent fee as a result of CHAMBER association with the CITY.
P. Non-Discrimination. The provisions of any applicable law or ordinance relating to civil rights
and discrimination shall be considered part of this Contract as if fully set forth herein.
Q. Interest by EDA or City Officials. No elected official, officer, or employee of the CITY or EDA
shall during his or her tenure or employment and for one year thereafter, have any interest,
direct or indirect, in this Contract or the proceeds thereof.
R. Governing Law. This Contract shall be deemed to have been made and accepted in Scott
County, Minnesota, and the laws of the State of Minnesota shall govern any interpretations or
constructions of the Contract without regard to its choice of law or conflict of laws principles.
S. No Partnership, Joint Venture, or Fiduciary Relationship. Nothing contained in this Contract
shall be interpreted as creating a partnership, joint venture, or relationship of principal and agent
between the CITY and CHAMBER.
T. Data Practices. The PARTIES acknowledge that this Contract is subject to the requirements
of Minnesota's Government Data Practices Act, Minnesota Statutes, Section 13.01 et seq.
U. No Waiver. Any Party's failure in any one or more instances to insist upon strict performance
of any of the terms and conditions of this Contract or to exercise any right herein conferred shall
not be construed as a waiver or relinquishment of that right or of that Party's right to assert or
rely upon the terms and conditions of this Contract. Any express waiver of a term of this
Contract shall not be binding and effective unless made in writing and properly executed by the
waiving Party.
V. Severability. The invalidity or unenforceability of any provision of this Contract shall not affect
the validity or enforceability of any other provision. Any invalid or unenforceable provision shall
be deemed severed from this Contract to the extent of its invalidity or unenforceability, and this
Contract shall be construed and enforced as if the Contract did not contain that particular
provision to the extent of its invalidity or unenforceability.
W. Entire Contract. These terms and conditions constitute the entire Contract between the
PARTIES regarding the subject matter hereof. All discussions and negotiations are deemed
merged in this Contract.
X. Headings and Captions. Headings and captions contained in this Contract are for
convenience only and are not intended to alter any of the provisions of this Contract and shall
not be used for the interpretation of the validity of the Contract or any provision hereof.
Y. Survivability. All covenants, indemnities, guarantees, releases, representations and
warranties by any Party or PARTIES, and any undischarged obligations of the CITY and
CHAMBER arising prior to the expiration of this Contract (whether by completion or earlier
termination), shall survive such expiration.
Page 27 of 41
SECTION VII - SIGNATURES
IN WITNESS WHEREOF, the PARTIES have hereunto executed this document the day and
year first above written.
Chamber of Commerce as provider of Services:
By: Date:
President, Chamber of Commerce
City of Shakopee
By: Date:
William Mars, Mayor
By: Date:
Bill Reynolds, City Administrator
By: Date:
Jody Brennan, EDA President
Page 28 of 41
EXHIBIT 1 SCOPE OF SERVICES
Subject to the terms of this Contract, CHAMBER shall perform the following services as its
contractual obligation to the CITY:
1. CHAMBER will put on the following events in downtown Shakopee under the Main
Street umbrella and list the City of Shakopee as a sponsor:
A. Rhythm on the Rails, a five-night concert series
B. Fall holiday event
C. Holiday Fest
EXHIBIT 2
Page 29 of 41
CERTIFICATES OF REQUIRED INSURANCE COVERAGES
[Certificates of Insurance attached hereto]
Page 30 of 41
Service Contract
This Contract ("Contract"), made this 6th day of April, 2021 by and between the City of
Shakopee and the Economic Development Authority ("CITY") and the Shakopee Area Chamber
of Commerce, a nonprofit corporation organized under the laws of the State of Minnesota
("CHAMBER").
WHEREAS, the CITY requires certain professional services to assist the CITY in completing its
economic development initiatives in the CITY's Downtown Business District (the "Project"); and
WHEREAS, the CHAMBER agrees to furnish the various professional services required by the
CITY.
NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein,
the Parties agree as follows:
SECTION I - CHAMBER SERVICES AND RESPONSIBILITIES
A. Scope of Services. CHAMBER agrees to perform various Project services as detailed in
Exhibit 1, Scope of Services, attached hereto and incorporated herein by reference.
1. The CHAMBER agrees to maintain, at its expense, statutory worker's compensation
coverage.
2. The CHAMBER agrees to maintain, at its expense, general liability insurance
coverage insuring CHAMBER against claims for bodily injury, death or property damage
arising out of its general business activities (including automobile use). The CITY shall
be an additional named insured on the Consultant's CGL insurance policy. The liability
insurance policy shall provide coverage for each occurrence in the minimum amount of
$1,000,000.00.
3. True, accurate and current certificates of insurance, showing evidence of the required
insurance coverage, are hereby provided to the CITY and are attached hereto as Exhibit
4. The Shakopee Area Chamber of Commerce will manage a Shakopee Main Street
Program for the benefit of Shakopee. The Chamber will hire a full time Main Street
Director whose activities will be overseen by the Shakopee Chamber President.
Page 31 of 41
SECTION II-THE CITY'S RESPONSIBILITIES
A. The CITY shall compensate the CHAMBER for services rendered to CITY as part of the
Project $25,000 in two payments of$12,500 each, one in January 2021 and one in August
2021.
B. The CITY understands that the CHAMBER will seek an extension of this Contract for 2022 at
the same amount as stated above, which will be subject to CITY approval. The CITY
understands that without approval of the program by the CITY, the program will cease to
operate.
C. The CITY requests that any future requests for extension of this Contract for 2022 or beyond
be made to CITY by June 15, 2021 to be reviewed for recommendation for inclusion into the
CITY annual EDA budget. Requests should be directed in writing to the Director, Planning and
Development Department; City Hall, 485 Gorman Street, Shakopee, Minnesota, 55379.
SECTION III - TERMS AND CONDITIONS
A. Term. This Contract shall commence January 1, 2021 and be in effect until December 31,
2021.
B. Default. If CHAMBER fails to perform any of the provisions of this Contract or so fails to
administer the services detailed in Exhibit 1, attached hereto, in such a manner as to endanger
the performance of the Contract, this shall constitute default. Unless CHAMBER's default is
excused by the CITY, the CITY may, upon written notice, immediately cancel this Contract or
exercise any other rights or remedies available to the CITY under this Contract or law.
C. Liability. The CITY shall have no duty or obligation hereunder other than to take such
specific actions as are required of it from time to time by the provisions of this Contract and it
shall incur no liability hereunder or in connection herewith for anything whatsoever other than
any liability resulting from its own gross negligence or willful misconduct or unlawful acts or
omissions. The only duties and responsibilities of the CITY shall be the duties and obligations
specifically set forth in this Contract.
D. Indemnification. CHAMBER shall indemnify, hold harmless and defend the CITY from and
against any and all losses, claims, liabilities, and reasonable expenses, including the
reasonable fees of its counsel, specifically including in-house counsel fees, which it may suffer
or incur in connection with the performance of any duties and obligations under this Contract,
except for those losses, claims, liabilities and expenses resulting solely and directly from the
CITY'S own gross negligence, willful misconduct, or unlawful act or omission. All
indemnification obligations shall survive termination, expiration or cancellation of this Contract.
CITY shall indemnify, hold harmless and defend the CHAMBER from and against any and all
losses, claims, liabilities, and reasonable expenses, including the reasonable fees of its counsel,
specifically including in-house counsel fees, which it may suffer or incur in connection with the
performance of any duties and obligations under this Contract, except for those losses, claims,
liabilities and expenses resulting solely and directly from the CHAMBER'S own gross
Page 32 of 41
negligence, willful misconduct, or unlawful act or omission. All indemnification obligations shall
survive termination, expiration or cancellation of this Contract.
E. Contingencies. This Contract is expressly contingent upon the CITY approving a budget
allocating the funds specified herein for the purpose stated herein. In the event, for any reason,
funds are not included in the approved CITY budget and available for expenditure for this
Contract, then this Contract shall be null and void without any obligation by the CITY or
CHAMBER.
F. Termination. Either party may terminate this agreement upon providing 90 days written notice
to the other party. Due to the fixed costs of starting and managing this program, regardless of
the timing of termination by either party, any payments made to the CHAMBER by the CITY will
not be refunded.
G. Voluntary and Knowing Action. The PARTIES, by executing this Contract, state that they
have carefully read this Contract and understand fully the contents thereof; that in executing this
Contract they voluntarily accept all terms described in this Contract without duress, coercion,
undue influence, or otherwise, and that they intend to be legally bound thereby.
H. Authorized Signatories. The PARTIES each represent and warrant to the other that (1) the
persons signing this Contract are authorized signatories for the entities represented, and (2) no
further approvals, actions or ratifications are needed for the full enforceability of this Contract
against it; each party indemnifies and holds the other harmless against any breach of the
foregoing representation and warranty.
I. Notices. The PARTIES' representatives for notification for all purposes are:
THE CITY:
Bill Reynolds, City Administrator
485 Gorman StreetShakopee, MN 55379
(952) 233-9311
breynolds@shakopeemn.gov
Michael Kerski, Director, Planning & Development
mkerski@shakopeemn.gov
CHAMBER:
Tim Zunker, Interim President
1801 East County Road 101
Shakopee, MN 55379
(952)445-1660
tzunker@shakopee.org
Any notice provided for or permitted under this Contract, unless otherwise provided herein, will
be treated as having been received (a) when delivered personally, (b) when sent by confirmed
facsimile or (c) three (3) days following when sent by certified mail, to the party to be notified, at
the address set forth below, or at such other place of which the other party has been notified in
Page 33 of 41
accordance with the provisions of this paragraph. Such notice will be treated as having been
received upon actual receipt if actual receipt occurs earlier than as provided in clauses (a)
through (c) hereof.
J. Independent Contractor Status. CHAMBER at all times and for all purposes hereunder, shall
be an independent contractor and is not an employee of the CITY or EDA for any purpose. The
CITY acknowledges that no withholding or deduction for State or Federal income taxes, FICA,
FUTA, or otherwise, will be made from the payments due CHAMBER, and that it is CHAMBER's
sole obligation to comply with the applicable provisions of all Federal and State tax laws.
CHAMBER shall at all times be free to exercise initiative, judgment and discretion as to how to
best perform or provide services identified herein. CHAMBER is responsible for hiring sufficient
workers to perform the services/duties required by this Contract, withholding their taxes and
paying all other employment tax obligations on their behalf.
H. Subcontracting. CHAMBER shall not enter into any subcontract for performance of any
services contemplated under this Contract without the prior written approval of the CITY.
CHAMBER shall be responsible for the performance of all subcontractors and/or sub-
consultants.
I. Assignment. This Contract may not be assigned by either Party without the written consent of
the other Party.
J. Modifications/Amendment. Any alterations, variations, modifications, amendments or waivers
of the provisions of this Contract shall only be valid when they have been reduced to writing,
and signed by authorized representative of the CITY and CHAMBER.
K. Records-Availability and Retention. Pursuant to Minn. Stat.§ 16C.05, subd. 5, CHAMBER
agrees that the CITY, the State Auditor, or any of their duly authorized representatives at any
time during normal business hours and as often as they may reasonably deem necessary, shall
have access to and the right to examine, audit, excerpt, and transcribe any books, documents,
papers, records, etc., which are pertinent to the accounting practices and procedures of
CHAMBER and involve transactions relating to this Contract. CHAMBER agrees to maintain
these records for a period of six years from the date of termination of this Contract.
L. Force Majeure. The PARTIES shall each be excused from performance under this Contract
while and to the extent that either of them are unable to perform, for any cause beyond its
reasonable control. Such causes shall include, but not be restricted to fire, storm, flood,
earthquake, explosion, war, total or partial failure of transportation or delivery facilities, raw
materials or supplies, interruption of utilities or power, and any act of government or military
authority. In the event either party is rendered unable wholly or in part by force majeure to carry
out its obligations under this Contract then the party affected by force majeure shall give written
notice with explanation to the other party immediately.
M. Compliance with Laws. CHAMBER shall abide by all Federal, State and local laws, statutes,
ordinances, rules and regulations now in effect or hereinafter adopted pertaining to this Contract
or to the facilities, programs and staff for which CHAMBER is responsible.
N. Covenant against Contingent Fee. CHAMBER warrants that it has not employed or retained
any company or person, other than a bona fide employee working solely for CHAMBER to solicit
or secure this Contract, and that it has not paid or agreed to pay any company or person, other
Page 34 of 41
than a bona fide employee, any fee, commission, percentage, brokerage fee, gift or any other
consideration, contingent upon or resulting from award or making of this Contract.
O. Covenant against Vendor Interest. CHAMBER warrants that it is not employed by any
vendor of equipment or service provider that could result in a commission, percentage,
brokerage, or contingent fee as a result of CHAMBER association with the CITY.
P. Non-Discrimination. The provisions of any applicable law or ordinance relating to civil rights
and discrimination shall be considered part of this Contract as if fully set forth herein.
Q. Interest by EDA or City Officials. No elected official, officer, or employee of the CITY or EDA
shall during his or her tenure or employment and for one year thereafter, have any interest,
direct or indirect, in this Contract or the proceeds thereof.
R. Governing Law. This Contract shall be deemed to have been made and accepted in Scott
County, Minnesota, and the laws of the State of Minnesota shall govern any interpretations or
constructions of the Contract without regard to its choice of law or conflict of laws principles.
S. No Partnership, Joint Venture, or Fiduciary Relationship. Nothing contained in this Contract
shall be interpreted as creating a partnership, joint venture, or relationship of principal and agent
between the CITY and CHAMBER.
T. Data Practices. The PARTIES acknowledge that this Contract is subject to the requirements
of Minnesota's Government Data Practices Act, Minnesota Statutes, Section 13.01 et seq.
U. No Waiver. Any Party's failure in any one or more instances to insist upon strict performance
of any of the terms and conditions of this Contract or to exercise any right herein conferred shall
not be construed as a waiver or relinquishment of that right or of that Party's right to assert or
rely upon the terms and conditions of this Contract. Any express waiver of a term of this
Contract shall not be binding and effective unless made in writing and properly executed by the
waiving Party.
V. Severability. The invalidity or unenforceability of any provision of this Contract shall not affect
the validity or enforceability of any other provision. Any invalid or unenforceable provision shall
be deemed severed from this Contract to the extent of its invalidity or unenforceability, and this
Contract shall be construed and enforced as if the Contract did not contain that particular
provision to the extent of its invalidity or unenforceability.
W. Entire Contract. These terms and conditions constitute the entire Contract between the
PARTIES regarding the subject matter hereof. All discussions and negotiations are deemed
merged in this Contract.
X. Headings and Captions. Headings and captions contained in this Contract are for
convenience only and are not intended to alter any of the provisions of this Contract and shall
not be used for the interpretation of the validity of the Contract or any provision hereof.
Y. Survivability. All covenants, indemnities, guarantees, releases, representations and
warranties by any Party or PARTIES, and any undischarged obligations of the CITY and
CHAMBER arising prior to the expiration of this Contract (whether by completion or earlier
termination), shall survive such expiration.
Page 35 of 41
SECTION VII - SIGNATURES
IN WITNESS WHEREOF, the PARTIES have hereunto executed this document the day and
year first above written.
Chamber of Commerce as provider of Services:
By: Date:
President, Chamber of Commerce
City of Shakopee
By: Date:
William Mars, Mayor
By: Date:
Bill Reynolds, City Administrator
By: Date:
Jody Brennan, EDA President
Page 36 of 41
EXHIBIT 1 SCOPE OF SERVICES
Subject to the terms of this Contract, CHAMBER shall perform the following services as its
contractual obligation to the CITY:
1. CHAMBER will utilize the National Main Street Center's Transformational Strategies to
focus on four Strategies for the betterment of the central business district that will include
a focus on economic development and community engagement.
a. Economic Vitality
i. Build a diverse economic base
ii. Catalyze smart new investment
iii. Cultivate a strong entrepreneurship ecosystem
b. Design
i. Create an inviting, inclusive atmosphere
ii. Celebrate historic character
iii. Foster Accessible people-centered public space
c. Promotion
i. Market district's defining assets
ii. Communicate unique features through storytelling
iii. Support buy-local experience
d. Organization
i. Build leadership and strong organizational capacity
ii. Ensure broad community engagement
iii. Forge partnerships across sectors
2. CHAMBER will create a Steering Committee and additional committees as
recommended by the National Main Street Center. The advisory Steering Committee will
include two members from the City, including a City Staff member from the Economic
Development Office and one City Council member.
3. CHAMBER will organizationally house and manage the Shakopee Main Street program.
It will manage all personnel and financial activity of the program.
4. CHAMBER will publish an Annual Report in January of each year that will be distributed
to the Shakopee Area Chamber of Commerce Board of Directors, the City of Shakopee,
and the Main Street Steering Committee.
5. Shakopee Main Street annual program budget and scope of work will be submitted by
the Main Street Director and Chamber President to the Chamber Board of Directors in
accordance with all Chamber policies and procedures that govern the entire Chamber
organization and also to the CITY.
6. The Main Street Director will present on an annual basis to the Shakopee City
Council/EDA with scope of work and updates on the program.
Page 37 of 41
EXHIBIT 2
CERTIFICATES OF REQUIRED INSURANCE COVERAGES
[Certificates of Insurance attached hereto]
Page 38 of 41
5.A.
SHAKOPEE
Shakopee Economic Development Authority
March 1, 2022
FROM: Nate Reinhardt, Finance Director
TO: EDA Commission Members
Subject:
EDA Bill List
Policy/Action Requested:
None
Recommendation:
Informational Only
Discussion:
Attached is a listing of bills for the EDA for the period 2/3/2022 to 3/1/2022. Payments are
for general office supplies, attorney & professional service fees.
Budget Impact:
N/A
ATTACHMENTS:
o EDA Monthly Financial
❑ EDA Check Register
Page 39 of 41
CO
N N 9-
vim, `p O
N
C Q
u
L CL
g
oc
oc
a>
V
O O
O O
Oci
F"
py �. 2 O
H
ao
u
cto
N cocN
u o
C N
CK N
CC1M
r..r
oc
4.0
c
W a� °°
0,0 co
Q it>
N 7
N ;D" Q
C/)
h�M 1I
M �
C _ IrSel
Cl L 7
u
— Nao Q
o g
N Q "
"" � v
rn
CO
CL
a
0
z
w
c a
c O
.7)
O �^
U 0_
o
O `O
z
U
W.4 Q
' Q O
C LW N
...
C O N
r.�
•
ca CV a % q
z 0 /CV CV & \
« Q @ _a _ 0
co
. n
\ & \ \
03
® CO N- 1.--
CO fl
CO CO 2
# # # #
CC CC
LU 0
U• Q
iUJ
i
® / \
J L
a.
« m
2 D
a CC
z z
E ?
00 0
0
u
0
5
cc
u
m
0 w u 0
I ICL
LU LU 0 u
w w 0 H
H R LL 0
H
• 3 H 3
w LU LU LU
CND 0 0 0 0
o z z z z
2 2 7 7 7
i� / LI UJ
ce O
AL 2 ( LU
u
fl
o <
0
2 a z i
. R g
§ -
0 2 2 u
0
0 -0 t < /
Q ; ■ c
ICI ILLJ 2 Fc o z k
a 2 LU uj
O \ E }
a CL
z Cr
0
- » LU LU 0
m (/) %
2 2 o
H H (
/ \
) m m
�• � LU H
# +
r.
cC a -J
\ \ H Q_ 0
} cc i i
c
/ / E E Z
CL CL
0 0 0 0 0
® CO CO CO 7
>C \ \ 0 0
\ en CO
7 k in C 03 q
o w 0 .- a #
J 3 - m
tv
I-
CV CV
a a a % q
CD CD
0 2 (N \ \
▪ CV > a a
C m e
a 7 CV
0 0 0 \ \
_I CV ® Cr) a
O 2 / = c
a CV CV