Action Team Meeting Minutes

IDC and JOBS 2020: Taking Action Meeting
April 15, 2003
Present:  Sholom Blake, Steve Arbour, Ed Zabinski, Steve Wilcox, John Rajala, Mike Johnson, Jim Hoolihan, Sandy Layman, Lucy Flessner, Steve Feltman, Mike Ives, Mary Ives, Peter McDermott, Doug Learmont, Bob Stone

Action Team Chairs met with the JOBS 2020 Steering Committee at Noon on Tuesday, April 15^th at Itasca Development Corporation to report on their Action Teams’ progress.

Steering Committee Chairman Jim Hoolihan opened the meeting.  Discussion was held regarding the integration of Itasca Development Corporation and JOBS 2020.  A proposed organizational chart was passed around for discussion purposes.

ACTION TEAM REPORTS/UPDATES

Action Team 1: 

Doug Learmont reporting

Goal: Reduce production costs of manufacturing

Discussion Points:

• Compared initiatives with other Action Teams to maximize coordination and minimize duplication of efforts with teams working on overlapping issues.
• Discussed ways to improve costs of purchasing supplies for local manufacturing firms. 
• Reviewed statement of name and mission statement. 
• Developed a draft definition of what constitutes a “quality job”.
• Set priorities for the twelve areas of concern outlined at previous meetings:

1. High cost and limited availability of transportation

• Minnesota legislators are working on legislation to allow each railway to run on the tracks of other railways.

2. Costs and rules pertaining to benefits provided to manufacturing employees.

• Contacts will be made and information brought to next meeting

3. Permitting and licensing for manufacturing operations.

• A representative of National Steel Pellet Company will report at the next meeting.

4. The cost of royalties and taxes as they pertain to the cost of manufacturing and rates of return on investment.

• The Iron Mining Association is working with state legislature on iron ore production tax rates.

5.  The cost and limited availability of options with respect to major energy sources such as coal, electricity, natural gas, and alternative fuels.

• No further discussion

6.  The availability and cost of pulpwood. 

• This activity will not be actively worked on by this committee

7.  Minimal sharing of expertise among companies with similar needs. 

• Team members have started the interaction with regard to identifying areas where mutual support is possible.

      8.  The expected high level of manufacturing workforce turnover in the next several years due to an aging workforce and the need to provide workforce skills training and education.

• Identified this as a critical long-term concern with a need to maintain coordination.

      9.  Identify “quality” jobs.

• Draft description has been worked on

     10.  Develop positive public perception and support for economic benefits provided by manufacturing industries.

• Agreed that it is important to establish the real, substantial value of the economic benefits to this area that can be provided by manufacturing industries.

     11.  Develop a market for substantial electrical demand within the local area so that locally generated electric power can be used in local area.

• No further discussion

      12. Cooperative efforts to lower purchasing costs.

• Efforts are needed to identify and create opportunities for outsourcing in the local area and establishing common purchasing practices to lower costs.

Added to the list was Number 13.

      13.  Cost of new construction in the area. 

• High construction costs make it more difficult to make companies financially attractive to investors.

Action Team 2: 

Mike Ives reporting

Goal:  Implement a county-wide lodging tax to promote the region’s tourism

The lodging tax bill has been heard and passed through the Senate tax committee.   In the House, the lodging tax bill was removed from the agenda the morning it was to be heard, but may be heard at another time.  No date has been set for the House hearing.

The Itasca County Board of Commissioners met on April 8^th and discussed board action to establish a committee to explore the impact and implementation of a county-wide lodging tax.  The meeting was not an announced public hearing;  however, members of the audience were allowed to speak both for and against the lodging tax.  The Itasca County Board did not take action to form a committee to discuss the lodging tax since the enabling legislation is not in place. 

Action Team 3: 

Mary Ives, Steve Feltman, Mike Johnson reporting

Goal:  Become a center of excellence to educate and sustain a professional healthcare workforce for our regional rural communities.

To the delight of Action Team 3 members, the conceptual framework for collaborative rural healthcare education had been set in motion by the Team in time to become an optimal applicant for the location of a Minnesota Area Health Education Center (AHEC).

Minnesota AHEC connects the schools and colleges of the Academic Health Center at the University of Minnesota with medically underserved communities in Greater Minnesota.  AHEC represents a federal acknowledgement and investment in Minnesota to address health professions workforce needs.  It provides federal dollars matched with University resources and community resources to leverage assets to develop a sustainable partnership that brings together educators, community practitioners, health institutions and agencies along with health professions students to address Minnesota health professions workforce and maldistribution issues in rural areas.

The ultimate outcome of the Minnesota AHEC is to increase the rural health professional workforce through educational strategies and linkages between rural communities and the U of M Academic Health Center.

The desired outcome and mission of AHEC closely matches the vision of Action Team 3.  Because the Action Team organization was in place, the Team was able to beat the deadline and put together an application within days of hearing about the proposed plan to locate a Center in the Northeast region of Minnesota.   

Action Team 4: 

Steve Arbour reporting

Goal:  Help improve Blandin Paper Company’s chances of becoming a preferred UPM-Kymmene expansion site.

The group discussed consolidating with Action Team 1 or the JOBZ Zone Action Team 6.  It was decided that Team 4 would continue as a separate team, but continue to stay informed of the other teams’ work.  Team 4 will remain available to Blandin Paper or any other company as needs arise. 

Sholom Blake of Team 6 reported on the criteria for developing JOBZ Zones.

Garrett Ous briefed the committee members on the status of the Right to Practice Forestry Act and asked for their support in getting the Act through the House and Senate.

Action Team 7: 

Steve Wilcox reporting

Goal:  Create efficiency, accountability and reduce costs in public services

The Action Team concluded that their area of study was too broad and decided to narrow their work to examine the economic development spending of governmental bodies in Itasca County.  The Team will develop a report that  outlines current economic development spending practices and provides  recommendations for improved performance.  Areas of inquiry will include:

• Which government entities make expenditures for economic development purposes?
• What types of activities are supported and in what amounts?
• What are the economic development strategies being employed by the various funding agencies?
• What is the level of coordination/cooperation between the agencies?
• What is the review process for rating the accomplishments of the agency?