By Tom Crawford
News Editor

The Staples Economic Development Authority (EDA) on March 24 took the first step in the process of selling an additional 50 feet (16,000 square feet) of land to the Staples Food Corporation for the proposed new grocery store on the east end of the city.

The city had already sold one of its three large commercial lots located south of new Highway 10 to the food corporation. A new Ernie's Food Mart is being planned for that site, with the city learning the store needed the extra square footage to accommodate four gasoline fuel pumps for its convenience store corner. Initial plans had used three pumps.

Jerel Nelsen, the city's EDA director, said that the council's property task force had met and okayed the sale of added land. It was felt it might preclude a major 'box store' from locating on the adjacent lot, but that an ALCO or Pamida size store could fit on the lot just to the west.

At least one EDA member made a comment about having a bird in hand being better than not having anything.

Nelsen, after some other discussion and some questions raised by members, noted the EDA's decision was to recommend to the city council whether or not to sell the added 50 feet to the west of the lot already purchased by Staples Food Mart.

"If at the council table, they may want to attach some strings to the agreement, that would be up to them," Nelsen said. Three members of the city council serve on the EDA board, with four people from the community.

Nelsen and Nat e Mathews city administrator, noted they had just seen their first views of interior plans for the Ernie's building.

It included a convenience store on the northeast corner of the building; a liquor store, a smoke shop and space for a possible bank office, Nelsen told the EDA. Construction, which will possibly be by Hammers Construction of Perham, is expected early this summer.

While the EDA normally makes final decisions on EDA matters, all land sales by the city must be approved by council action through ordinances.

The EDA members, in relation to the Small Cities Development Program (SCDP) discussed the city establishing an 'Awning and Facade' incentive program.

In 2010, old Highway 10 (Second Ave.) as well as two blocks of Fourth Street from the depot to Sacred Heart Church, will be torn up, meaning the demise of awnings on Fourth Street that date back to the early 1970's. Continuing the common awning is one possibility, with some type of loan program offered through the city and SCDP that would entice building owners to go along with a common awning. Nelsen was directed to meet with the Small Cities staff people to discuss this.

In other matters, the EDA members:

o HEARD updates on political progress of the city's overpass project and broadband initiative. There was progress reported in the state Legislature on the $300,000 included in the bonding bill for the Staples overpass project. State Sen. Dan Skogen was complimented for his work on behalf of the city.

Meanwhile, officials are following broadband issues in relation to the federal stimulus package, hoping to get word on funding for the local project involving a collaborative of four local agencies working with two area telephone co-ops to enlarge the local broadband service area.

o HEARD other reports from Nelsen, including employment data through 2008 that showed fairly stable employment levels in Staples. However, he added, we all know what's been happening in the last few months, when presenting that data.

o APPROVED a resolution declaring the city's intent to have the EDA issue EDA revenue bonds and then allow the EDA to reimburse the city from the sale of those bonds. This is a funding mechanism that might be used to build the city hall/library building.