Northfield Downtown Development Corporation

Almost two dozen downtown stakeholders attended a quickly assembled Special Block Head Gathering this morning at the Rueb-N-Stein. The topics could be categorized as relating to quality of life and included cleanliness, respect, safety, and friendliness.

The meeting was called by City Councilor Jim Pokorney and NDDC VP Joe Grundhoefer in response to recent experiences of graffiti and vandalism in downtown. Captain Mark Taylor of the Northfield Police Department was on hand as a resource and advisor. The examples brought up included rowdiness, noise, security, and mischief. Potential causes touched on inadequate lighting, insufficient patrols, poor visibility, and cheap beer. Current solutions shared mentioned calling the police dispatcher, calling the college deans, working with The Key, and the Police Department’s planned increase in foot and bike patrols.

We then moved on to possible additional steps to be taken. Joe Grundhoefer and Norman Butler are going to talk with other pub owners about tried and true ideas that they’ve developed over the years. Mark Taylor will be implementing the stepped-up patrols as early as this weekend. Jim Pokorney and Mark Taylor are going to work together on additional lighting and, potentially, surveillance cameras. Jim Pokorney is also going to check on extending the hours that key lights are kept on in priority areas. Josh Hinnenkamp and Judy Code are going to work together on intergenerational investments in infrastructure, believing that good activity drives out bad activity. Roger Kelm, Jim Pokorney and Mark Taylor are going to explore the “Citizens On Patrol” concept; Dean Kjerland, Norman Butler and Victor Summa offered to help. Mary Rossing urged everyone to share their stories about the costs of vandalism and advocated that all of us should work to form constructive relationships with the many different type of people that visit downtown. Finally, Jim Pokorney and I will develop and introduce a Code of Conduct for downtown…and the rest of the community.

It was great to have that many people show up on such short notice to discuss these issues. It will be even better to begin implementing some of the ideas raised.

…that persistence will lead to results.

The NDDC has been working on property tax relief for aging commercial buildings in older districts for some time. At times it has seemed like trying to wrestle an elephant…the issue is so big that it’s hard to know where to grab on.

We believe that it is a significant issue in many places in Greater Minnesota, presenting substantial economic challenges to these communities. The symptom of this issue is commercial property values rising year after year, with the corresponding double-digit annual increase in property tax bills, in a geographic area with rents that are already as high as the market will bear.

Members of the NDDC E R Team returned to St. Paul this morning to follow-up on plans to help address the adverse impacts of the issue. We finalized both our short-term and long-term plans.

In the short-term, we will urge local individual property owners to make contacts with leaders at both the County and State levels, detailing the financial realities that they have experienced over the past eight years. We will urge our regional partners to do the same. We are following up with with our advisors on details of the statutes that we believe will result in more realistic valuations. Our elected state officials will communicate this information to the county assessors in support of more economically feasible evaluations.

In the longer-term, Representative Bly is pulling together regional state representatives for a meeting with regional property owners. The goal is a legislative working group that will look at the larger issues over the summer, recommend meaningful changes, and then implement the necessary legislation. The bill will be introduced at the beginning of next session.

The NDDC believes that the State of Minnesota should develop a policy that preserves these older commercial districts throughout Greater Minnesota. These districts are the most visible indicators of community pride, along with economic and social health. They can be a key asset in the efforts to recruit and retain residents and businesses, as well as attract visitors and others to our communities. These older commercial districts can make essential contributions to the quality of life in our communities. Finally, these older commercial districts symbolize our communities’ heritage.

The NDDC’s E R Team traveled to St. Paul this morning to discuss the economic threat posed by ever-rising property taxes. The meeting was set up by State Representative David Bly. Seated around the table are NDDC Vice President Joe Grundhoefer, Legislation Consultant Laura Sayles, Property Tax Analyst Karen Baker, and NDDC Secretary Keith Covey.

The tax legislation professionals asked for details about Northfield’s experience, particularly the built environment and economic situation. NDDC representatives emphasized the challenge of addressing the high costs of maintaining older buildings while experiencing double-digit increases in property tax expenses. They also pointed out the troubling difference between the public sector’s focus on comparable sales and the private sector’s combination of sales comps and cash flow for property valuation.

The professionals sent us back to Northfield with a list of questions for which we are to provide written answers. Our answers will help clarify the policy needs and thereby shape the draft legislation for Representative Bly’s review.

We’ve got a follow-up meeting scheduled for two weeks from today.

It is true, I responded to Jaci Smith’s voice mail on the implementation of plans for downtown. Here is my complete e-mail to her on the topic:

Hello Jaci:

Good to hear from you. We greatly appreciate positive stories about the importance of downtown to overall economic vitality of Northfield.

Indeed, I had a lengthy conversation with Craig about this issue. I also sent him an extensive e-mail, following up on our conversation with further thoughts on the subject.

At the NDDC, we believe that although there may be a number of groups that speak up for our historic and authentic commercial and cultural center, there is only one organization that specifically advocates for downtown. In fact, that is precisely why the Founding Fathers, Bardwell Smith, Brett Reese, Jim Braucher and Keith Covey, created the organization.

Ironically, during work on one of those many studies, the DSU “Downtown Improvement Strategies” back in 2003, City Staff suggested creating a downtown organization. Then Chamber President Robert Bierman and then NDDC President Brett Reese responded by stating that this particular piece of the puzzle was already in place.

I cite this following story because I think it illustrates why implementation of ideas seems to move so slowly. For many months in early 2003, an ad hoc task force of the NDDC, the so-called “Action Squad”, walked the downtown, reviewed its strengths and weaknesses, conducted some analysis, did considerable research, and then presented their recommendations at a Council Work Session in July of 2003. The recommendations included way-finding signage, colorful new banners, trash can repair, and the addition of some bike racks in downtown.

The City responded with the hiring of DSU Research to do a study of issues affecting downtown Northfield. The NDDC’s Action Squad was told that their recommendations would have to wait until the DSU study was completed. The report was finished in December of 2003.

As a result of the consultant’s report, it appears that the City agreed that some aesthetic steps needed to be taken. They hired DSU for some additional consulting work and the Downtown Streetscape project was born. Fortunately, the Streetscape team agreed with the Action Squad and in the fall of 2006, we got six or eight bike racks installed in downtown. During this same period, the NDDC raised thousands of dollars in private money for colorful new banners and the City repaired the trash cans. The City also hired consultants to work on the design of the way-finding signage.

I think “the biggest issue” is that the private sector, the downtown stakeholders that are a part of the NDDC, and the public sector, city staff members who have part of their work portfolio relating to the downtown, need to find common ground on the prioritization of the use of scarce resources. The values and constraints of these two sectors are not completely the same and often it takes what can be a frustratingly, no doubt for both sectors, long time to find this common ground.

As I was recently advised on the property tax issue, if you think something is important, you can never give up. I think that the NDDC’s role will be to continue to advocate, working together with an ever-growing number of supporters, for policies that sustain and enhance our vibrant and vital downtown.

I would suggest that you might contact members of the NDDC Executive Committee, who I copied on this e-mail. In particular, you would benefit from connecting with Keith Covey. Keith was a founder of the NDDC, two-term Mayor of Northfield, and is the current Secretary of the NDDC Board.

Thanks again for your interest in and support of Downtown Northfield,

Ross

Indeed, I had a phone conversation with Craig Greene on stimulating investment in downtown. Here’s is my complete follow-up e-mail:

Hello Craig:

Just to be sure I’ve made myself clear on this topic, the NDDC has a proven approach and specific plans but with the turbulence in the economy, we need to stay somewhat flexible so we can be responsive. The rising costs of energy, the dropping values of homes, as well as the continuing changes in retail due to big boxes, the internet and foreign competition require the people at the NDDC, just like the downtown businesses, to constantly evaluate their efforts and make changes when advisable. When we go longer term, the unpredictability increases.

As you heard in Red Wing and Stillwater, it’s sometimes ten years before you see dramatic changes. You’ve got to keep plugging away year after year, believing that you’re going in the right direction, in the hope that your small accomplishments eventually add up, or multiply, into big changes.

As you know, the NDDC structures its work on a model that has been tested and proven for over three decades, the Main Street’s Four Points. It may seem simple but we have learned that it is so important not to think that any one thing will meet all challenges and take advantage of all opportunities. It takes more than Promotion, marketing and events, it takes more than Organization, increasing leverage and advocating, it takes more than Design, storefronts and streetscape, and it takes more than Economic Restructuring, tweaking the business mix and responding to critical issues, to achieve on-going downtown vitality.

In the area of Organizing, we are pleased that it appears that the City Council will create a Building Board of Appeals, We must continue to work to make sure that the entity meets the spirit of the intent. We will continue to advocate for keeping the Public Library and Liquor Store downtown. Of course, we will also continue to host our Monthly Forums, Quarterly Block Head Gatherings, and Annual Mixers.

As a result of a surge in interest from folks in supporting the NDDC, we’ve had many people join our Events and Marketing Committee. In our recent efforts to get more work done at the committee level, this group may lead the way in creating new initiatives. Getting greater leverage from the efforts in advertising, events, and promotions will be increasingly important.

For progress in the area of Design, we will continue our sometimes quixotic quest for additional bike racks. We will also continue to work closely with City Staff on the bigger picture streetscape planning and implementation. We have developed a particular interest in projects that offer better connections with the Cannon River. Finally, we will gather input, analyze information and make a recommendation on the matter of public toilets in downtown.

In the area of Restructuring, the issue of ever-rising property taxes continues to pose the greatest threat to downtown economic vitality. We are restarting our work with the City Council on an Outside Dining Ordinance and continue to explore the possibilities of a Downtown Management District. Finally, as part of the increased collaboration between the Four Economic Development Partners, the Chamber, the EDA, the NDDC and the NEC, we are going to pursuing coordinated Business Retention, Expansion and Recruitment efforts.

In our conversation, you and I focused largely on the area Design. As you so correctly pointed out, it is in this area that the most visibly dramatic changes occur. People notice projects like Village on the Cannon and The Crossing perhaps more than the complete restoration of the Bierman Building, the Scriver Building, or the Sitze Building. However, all of these projects, large and small, require private financing. There must be an environment that encourages private investment that makes it happen.

Perhaps it’s as simple as the public sector “priming the pump”. Using some combination of financial support or incentives, the city induced the Village on the Cannon and The Crossing project. However, the Bierman and Sitze projects were entirely privately financed. Were those projects induced by the NDDC’s banner program, Downtown Mixers or Taste of Northfield? Was the real reason that Mendota Homes decided to do The Crossing was seeing the private investment in the Bierman Building, the Scriver Building and the Sitze Building? Will the Old Bank Building at 5th and Water be redeveloped because of the inspiration and energy of the Arts Commission, the Skateboard Coalition, and the Kayak Association?

If we keep plugging away at the Four Points, maybe someday we’ll see some big projects like the St. James Hotel renovation and the next door Riverfront Center (and a handful of their many public parking structures) in Red Wing or the renovated Historic Carnegie Library (with adjacent parking structure) in Stillwater. I’ve been told by residents of Red Wing that they prefer our restaurant offerings and residents of Stillwater that they prefer our slower-paced shopping district. Hopefully, we will adopt their good ideas without forgetting our own wise choices.

We believe that Organizing for business-friendliness, Promoting for greater leverage, Designing for private investment and Restructuring for economic vitality will make a difference each month. As the months become years and the years become a decade, the changes will no doubt be visible. Hopefully, the end result will be recognizable as our current vision.

Thanks much,

Ross