By Jan Gilmer
The Jordan Economic Development Authority (EDA) met on October 6, 2025, to review a proposed Tax Increment Financing (TIF) district for the IDP Cold Storage warehouse project. The meeting focused on evaluating the project’s qualifications under Minnesota’s economic development guidelines and considering its potential benefits to the community, including job creation and tax base growth.
New Business
Proposed Tax Increment Financing District No. 1-13 (IDP Cold Storage Project)
Mikeala Huot, Director at BakerTilly, presented the Tax Increment Financing (TIF) proposal to the EDA.
The proposed TIF District meets the definition of an economic development district, as the development is found to be in the public interest because it:
Will discourage commerce, industry, or manufacturing from relocating to another state or municipality.
Will result in increased employment in the state.
Will contribute to the preservation and enhancement of the state’s tax base.
The City will receive taxes on the land value, listed at $550,000, during the term of the TIF. Since the land was formerly part of the township, 100% of the taxable value—estimated at $10,250—will be new to the City. Additionally, with the development located within city limits, the full tax amount will contribute to any school district debt referendum. The proposal projects the creation of 40 new jobs within the City.
The development also meets the usage requirements of an economic development district. Approximately 85% of the site will be used for “warehousing, storage, and distribution of tangible personal property, excluding retail sales,” which qualifies the project for financial assistance through tax increments.
The application requested total assistance of $6,244,581, with a recommended maximum assistance of $3,036,791. The term of the TIF District will be eight years from the City’s first receipt of tax increment under a pay-as-you-go financing arrangement. The City anticipates receiving the first increment in 2028, with the projected final payment in 2036.
Construction is expected to begin in late 2025 or early 2026, with completion anticipated in late 2026 or early 2027. The site will be assessed in early 2027 for taxes payable in 2028. Upon annexation, the property will be zoned I-1 (General Industrial).
Upon completion of the TIF District, the City can expect a decrease in local taxes of 2.217%, a decrease in ISD 717 tax of 0.541%, and a decrease in County tax of 0.034%.
Commissioner Mack inquired about the area’s capacity to handle the expected daily truck volume, particularly with future development in mind. The tenant’s truck traffic will be appointment-based between 7:00 a.m. and 10:00 p.m., and only trailer parking—not running trucks—will be allowed overnight.
Next steps include finalizing the business subsidy agreement, final plat, and TIF agreement. A public hearing is scheduled for the City Council meeting on Monday, October 13, 2025.
MANAGEMENT REPORT
General Management Updates:
Delia’s is predicting an opening by the end of October or beginning of November. They have to define a specific date for the transfer of their liquor license with the state.
Stilleven continues to work on their Federal and State liquor licenses with hopes of opening next spring.
Brothers Pest Management has removed the orange cones from their driveway as requested.
There have been 40 – 45 new homes in the City this year. The City has approved an extension to the Beaumont Bluff development due to a conflict between the gas company and the County, which is needed to move a pole to create a required turn lane. They need to get the turn lane in by 6/1/2026.
The message boards and Triangle Lane banners have been received and will be put up by Public Works.
Tree replacement will begin, which may include some brick and/or concrete repairs, for trees previously removed by the City.
Lindsay’s is closing 11/15/2025. They are moving to Montgomery.
The City would like to purchase the County land that was proposed for the candy store relocation. The County needs to sell it to Scott County CDA. The City would have to buy it from Scott County CDA. The City needs to install a water pipe through the land at a considerable investment. Purchasing the land will ensure the City has control of the project and future use.
The intersection near By The Yard is expected to be completed by year-end, 2025.
The 169-interchange project is slightly behind due to the required retaining wall by the police station. As a result, the signal light will not be moved until spring 2026.
Councilmember Schuh asked for a status on the Xcel building. Staff is expecting a bid in the next week or so. The design was provided for the bid; however, the engineer still needs to review the moving of a pole for the façade modification. Additionally, a bid for the interior demolition was requested.
Commissioner Mack asked who controls the sign placement at the new Cty 59/Delaware intersection. He indicated the current signage is too far from the intersection making drivers miss it or misinterpret it. Several drivers end up in the candy store parking lot to do a turn-around. The candy store has a truck parked on the frontage road to direct drivers to the current street. He recommends a directional sign for 169-South and to place it closer to the intersection.
City Council Member Update
Councilmember Schuh asked when the final levy will be presented for approval. Administrator Nikunen indicated it would be on the December agenda. She also noted Council is considering the hire of a lobbyist service for funding assistance of the WWTF improvements and that the WWTF was on the Senate tour.
The next EDA meeting will be held Monday, November 3, 2025.