Economic Development Authority Meeting Date: March 9, 2026
To: Members of the Economic Development Authority
From: Emery John, Program Associate
Scott Wopata, Community Development Director
Title
Consider Resolution Approving Consultant Service Contract with the Northfield Arts Guild Related to Feasibility of Arts Facilities.
Body
Action Requested:
Staff recommends a motion to approve Resolution Approving Consultant Service Contract with the Northfield Arts Guild Related to Feasibility of Arts Facilities.
Summary Report:
The Northfield Arts Guild approached the EDA about the opportunity to partner on their scoping and feasibility work for their upcoming community engagement (“Northfield 360”).
Arts facilities and public art both have demonstrated large economic impact on downtown areas, including driving foot traffic, housing theaters and studio space, providing education, and drawing people from surrounding areas.
Creative MN, a nonprofit organization committed to researching and publicizing the impact of arts on quality of life and economy, published a study in 2025 regarding the impact of the arts across the state in 2024. It finds that the total economic impact of nonprofit arts and culture organizations on the Minnesota economy in 2024 was $1.6 Billion, and total sector impact (nonprofit and for profit) was $13.8 Billion (larger than agriculture and forestry, just smaller than transportation.) The average attendee at an arts & culture event is $33.04 per person, per event, above and beyond the cost of the ticket.
The EDA’s loan committee met to process the request, review applicable financial documentation, and recommended funding the Art’s Guild scoping work.
While the initial intention of the mechanism of financing was a forgivable loan, after consultation with legal counsel, staff recommends a contract for professional services. This clarifies the intention of the EDA’s committee request to receive all documents related to this scoping work. Additionally, this frames the work as an outcome-oriented service regarding the arts facility capacity in the downtown area of Northfield beyond the intentions of just one partner (the Guild,) but rather, something to be used by other partners as well.
The Arts Guild is a partner in the 411 Water St. space, which they occupy for no cost (beyond utilities.) The EDA is the lease holder.
City Plans & Policies Relevance:
Northfield 2045 Comprehensive Plan Chapter 4: Sustainable Economic Future; Strategy 1, Action 1:
“Identify opportunities and provide support for improved business mix, marketing, events, and physical improvements”
Northfield 2045 Comprehensive Plan Chapter 4: Sustainable Economic Future; Strategy 1, Outcomes 1&2:
“1) Downtown Northfield grows as a river-focused anchor of the city and key component of its sense of place. 2) Downtown is the hub of Northfield’s small business community, locus of valuable tax base, a residential neighborhood, a welcoming and accessible public space, and location of city services on the banks of the Cannon River.”
Northfield 2045 Comprehensive Plan Chapter 3: Access: Connecting people to places and opportunities; Strategy 2 Outcomes:
“The city increases overall density, has fewer underutilized properties and a wider range of housing types, connected by multiple transportation options reducing vehicle miles traveled, improving transit, and meeting climate goals.”
Alternative Options:
The EDA can vote to not support the resolution.
Financial Impacts:
Staff proposes to allocate this expense to EDA Fund 292 as this specific item was not budgeted in the operating fund for this year and use of reserves would be appropriate from Fund 292 versus the operating fund of 290. The total cost is $25,000.
Tentative Timelines:
March 2026 - Approve Contract
Ongoing - Completion of feasibility and market study in keeping with Northfield 360
December 2027 - Contract expires