0:05Good morning, everyone.
0:07It is Tuesday, June 2nd at 1005 a.m.
0:11The Transportation and Commerce Committee will now come to order.
0:14Madam Clerk, please call the roll.
0:23Alderwoman Schweitzer.
0:26Alder Woman Coxantui.
0:34Alder Woman Cox Antoine.
0:39Thank you, Madam Clerk.
0:40And the first item on our agenda is the approval of the meeting minutes from Tuesday, May 26th, 2026.
0:47Is there a motion to approve our meeting minutes?
0:51I move that we approve the May 26 minutes.
0:56It's been moved by the Alderman from the fourth, seconded by the Alderwoman from the first that we approve our meeting minutes from Tuesday, May 26, 2026.
1:03Madam Clerk, please call the roll.
1:08Iderwoman Schweitzer.
1:12Alder Woman Cox Antwerp Chair Cole.
1:19Alder Woman Cox and Twee.
1:23By your vote, you have sustained the motion of the Alderman from the fourth to approve our meeting minutes from Tuesday, May 26th.
1:29The uh only item that we have on our agenda for this morning is a resolution uh that is sponsored by the Alderwoman from the first, resolution number 33.
1:40So I will turn it over to Alderwoman Schweitzer.
1:46Uh thank you so much, Mr.
1:47Chairman, and uh thank you to the members of the committee for hearing this resolution.
1:51Uh resolution 33 is on behalf of a project happening with Winland Foods, which is in my ward.
1:58They are doing a very exciting expansion to uh their plant uh and making um even more products available uh from the first ward made right here in St.
2:10Uh so they are here to talk a little bit about the project and SLDC is here to talk about um the abatement that is on the um purchase of different equipment that they need to do this expansion of the sales tax.
2:25Uh so SLEC can talk a little bit about that and uh this moves through the port authority mostly.
2:31Uh the part that we have an involvement with with the Board of Aldermen is doing a resolution uh which we're doing here, which is why it's a little different than the traditional board bill you might see for an abatement.
2:41Um, you know, with that all said, um, I do want to to pass it over to our speakers, but because I have one uh small amendment to the resolution, I'd like to do that up front so that we're talking about the resolution in its entirety before they speak.
2:59Um, if that's all right, Chairman.
3:02Please proceed, Alder Woman.
3:05So um this amendment is uh aware as clause, um, amendment number one, uh, that uh basically just states that the project does need to meet the requirements of ordinances 71094 and 71962, which regard to prevailing wage on projects.
3:25So it is something just to clarify that uh the uh you know everyone agrees that that's that's the case that um that this is that is that this is um something that that is um has to happen in order for this uh abatement to occur.
3:39Um, but just for the community and anyone watching, making sure that you know everyone acknowledges that, put it in the resolution uh just so it's clear as it moves through the process of the board.
3:47Um so with that, I would like to adopt amendment number one to resolution 33.
3:54I will second that motion.
3:57Uh it's been moved by the alder woman for the from the first, seconded by the alderman from the fourth.
4:02Then we adopt amendment number one to resolution number 33.
4:08There's been a request for previous roll.
4:10Is there any objection to previous role?
4:13Hearing none, amendment number one to resolution number three passes.
4:19Uh thank you, Chairman.
4:20Um, and with that, I would pass it over uh to Zach Wilson um to talk a little bit about how the project um scored uh and then pass it to um the windland foods team who's here.
4:33And I know everybody's name says Ann Schweitzer, uh, so Madam Clerk will be changing your names as you speak.
4:39Uh if you want to put the spellings in the chat, that might help Madam Clerk to do this even better.
4:44So uh thank you all again for being here.
4:46I really appreciate it.
4:47Uh pass it over to Mr.
4:50Thank you, Alderwoman.
4:51Uh this this project is a little bit different.
4:53This just did not go through one of the boards.
4:55Uh I sit on the current control L C A PIE or EZ or TIFF Commission.
5:01Uh since this went to the port authority, uh, we were asked to score the project for the community scorecard and the financial scorecard.
5:08So I'll uh hand it over to Paul Weatherford to go over the two scorecards for the this committee.
5:18Let me just share my screen here.
5:20I got uh a couple slides um that we can look at.
5:29All right, is that good for everybody?
5:31Can you please just reiterate your name for the benefit of the clerk so that she can update your title underneath it?
5:38All of you all should be able to rename yourselves uh by clicking on the little dots in the upper left-hand corner view profile and rename.
5:48Um so if you all who are all signed in underneath Alder Woman Schweitzer can do so, that would be very much appreciated.
5:55Save some time energy on the clerk's part.
5:59But uh thank you, Zach.
6:03Um I I will my name's Paul Weatherford uh with SLDC.
6:08Um I will do that after I share these uh slides with you all.
6:15Um, so we did uh a community benefits analysis of the Windland Foods project, um, scored a 32 um overall, which uh makes the project eligible for 10 years of tax payment at 80%, uh, which is what we um modeled as well um for personal property tax.
6:35Um so the project received seven points for uh the expectation that it will create 25 new jobs um with its expansion.
6:44Um all the jobs meet the requirements uh to be considered quality um jobs.
6:50Uh so they received another five points for that.
6:53Um another five points were awarded for the total capital investment um uh of just over 46 million dollars.
7:00Um it is located in economic justice index area four.
7:05Um so that is worth five points.
7:07Um it's also the project's located in the Crondolette Patch employment district for an additional five points.
7:13Um and then it's within a quarter mile of a bus stop, uh, which awards three points, and then it is receiving uh some Missouri Department of Economic Development Funds as well.
7:25So there's outside funding um for this project, uh, which is another two points, uh, which brings us to a total of of 32.
7:34Um and then in terms of the analysis, so for personal property tax, uh it is not our typical uh fiscal model.
7:43Um so we don't have uh what you would typically see at say HUDS committee, um, but we did um do an analysis on the the personal property investments that are being made, um, accounting for depreciation of those assets over uh the lifetime of the abatement, um, which came out to a total abatement value of of just under three million dollars, uh, which is has a net present value with uh you know six percent discount rate at 2.4 million, uh which is about 5% of total project costs.
8:16So if you have any questions, uh Zach and I would be happy to answer those at this time.
8:23Uh and I'd love to hear uh if possible, Chairman Cohn from the um folks at Winland.
8:29Uh I know I saw Todd on.
8:38Thank you for being here.
8:39Um I'll put your name in the chat for you so the clerk can rename you.
8:43Uh and if you can just give a information about what Winland Food does and what this um what this resolution does, I really appreciate it.
8:54We really appreciate the committee taking this under consideration in terms of this resolution.
8:59And I think I have Bob Chapin on the phone that I'll turn over to him.
9:02He works at the plant.
9:04Um but since we're all named you today, I'm not sure I think he's on them.
9:07So, anyways, as far as Winland Foods, just to give you a little background, um, Winland Foods was formed in 2022 when they spun out of the company that was formerly known as Treehouse Foods.
9:19So you may have been familiar with that name as well.
9:22But basically Winland Food is a manufacturer of private label foods.
9:26Um a lot of brand names you'd see in the store, but they make anything from uh syrups and jellies to pasta, which they make here at the St.
9:35And they'll sell these products at a number of uh locations, Walmart, Aldi, uh a lot of other brands that you'll see in other grocery stores as well.
9:43So that's essentially what they do.
9:45Um currently the plant there in St.
9:47Louis employs uh just over 100 folks, probably 105, I think was the number I saw.
9:52And they do make all sorts of pasta, and I think better suited would be Bob to tell you about that because Bob's at the plant um day to day.
10:08Well I hope Bob's with us but maybe not um I can certainly talk for Bob if he's not there.
10:21Does anyone see Bob Shapen at all?
10:23I see my name again uh so I assumed that was Bob but um they sent him that secondary link um yes I did oh you did thank you I just sent him a little note to see if he was there.
10:44I don't want to steal Bob's thunder but uh oh I totally understand he actually made the news the uh the local news came and and interviewed Bob so you can always go back and check that link if he's he's not on there but um I guess I was thinking in terms of for Bob's sake uh well actually he's just calling me real quick Bob are you in the meeting?
11:08Okay Bob can see us but he can't you can't see him I guess Adam Clerk is there a another Ann Schweitzer sitting in the lobby that needs to be moved over as a panelist.
11:26No Bob sitting in the lobby that needs to be moved over as a panelist.
11:32Maybe we can see us but to get off uh Todd and and click on the link that you sent him just try to you know this is one of those uh unplug and plug back end situations I think yeah they're saying Bob you want to unplug and plug back in well okay gonna do that real quick is that what you were saying I apologize yeah basically just that you know take the just uh get off get back on the link that I I sent um the old fashioned reboot you know right exactly um well and I could just tell you a little bit about you know the facility so when Winland um food spun out from Treehouse you know they were looking at their businesses and different footprint and so yeah Bob can tell it a little better but I think oh there's Bob he popped in as Zach Wilson do you see him now?
12:27Yes hi Bob Hi Bob you're muted you're on mute Bob I how about Mel Bob just introduce yourself for the record and um Todd was doing a great job explaining about windland foods and what you all do and um you know what what's been in the news recently and all of all of that uh but I think we'd all love to hear from you.
12:51Uh so just introduce yourself for the record and then uh we will go forward.
12:56Absolutely my name is Bob Chapin I uh lead the uh operations of the plant over here in uh in St.
13:03Louis can everyone still hear me and see me all right Todd just needs to mute thank you Todd are you good now?
13:11All right again Bob Chapin uh lead the operations over here at the plant in St.
13:16Louis I also want to thank the committee for your time this morning and I do apologize for the technical difficulties that uh we that I was having as Todd mentioned you know we currently make dried pasta products here at the plant including spaghetti rotini rigatoni and noodles right I do want to show a couple of our brands here we live in cremat country so we make uh spaghetti shortcuts long goods you can see you know a couple of our things here so I like to uh show and tell a lot of people don't realize right that cremat is made right here in St.
13:45Louis um you know we are nationwide with that brand but it is a big Midwestern brand as well so just to give you a quick historical um a little bit of perspective going back about 18 months ago 24 months ago uh this plant was actually facing closure uh fortunate for us for the region for the community that decision was reversed not only was it reversed but also as you all are aware right there is now significant um uh capital plans uh expansion that is planned that we are right on the doorstep of uh currently we make uh several brands cremat muellers skinner american beauty prints and sangiorgio out of this facility uh this project is expected to be right around 38 uh to 39 million dollars of equipment will be added and as a result we will employ two 25 new jobs here at the plant uh the majority of which are semi-skilled or skilled positions so these will be people that are not only operating the lines but those who are taking care of the lines right from a maintenance perspective uh currently our plan is to have the processing line which will be making manicotti and jumbo shells uh we call those specialty products we are not currently making those products at this facility so it's going to be new products um or will be made here at the plant so your jumbo shells your manicotti uh will now be made at the facility uh pending the conclusion of this project our current plan is to be operational september with processing probably november with the packaging line so late in uh 2026 and uh not only are we excited about the plant remaining open but to have the support of uh
15:00We are not currently making those products at this facility, so it's going to be new products or will be made here at the plant.
15:05So your jumbo shells, your manicotti uh will now be made at the facility uh pending the conclusion of this project.
15:14Our current plan is to be operational September with processing, probably November with the packaging line.
15:25And uh not only are we excited about the plant remaining open, but to have the support of uh the local community, the state, um, the the committee, right?
15:34It's just been phenomenal.
15:35The support that we've received uh as we um you know work down this path of adding a tremendous amount of capital to the plant and a new processing line and a couple of new packaging lines.
15:50Uh I'm really excited about about this project and this expansion.
15:54I was um worried about this plant for a while.
15:57I think we all were.
15:58There were some uh you know, needs to to kind of um rally the troops a bit there.
16:04And this expansion is definitely a huge thing for our neighborhood and for uh the city of St.
16:09Louis and for your company, and and I'm just really excited about it.
16:12And uh thank you for all the participation you do in the community.
16:16Um, I think the community supports you all because you support the community, so appreciate it a lot.
16:22Um, so uh that's it for me, Chairman Cohn.
16:25Uh, I appreciate the time to hear this resolution today.
16:28Uh, and I appreciate everyone dealing with the tech difficulties.
16:31I'm glad everyone was able to get on uh today.
16:33We were able to have this conversation.
16:35Um so thank you so much, and I'll I'll pass it back over to you, Chairman.
16:40Are there any questions from the committee?
16:50Uh I just want to echo the sentiments of my colleague from the first ward.
16:55Um, it's really been uh a pleasure and a privilege uh, you know, seeing the company continue to invest more into this facility and and to the employees and you know, making products that uh, you know, most of the Midwest, if not a lot of people around the country, are able to easily identify and recognize and um to know that it's made right here in South City is uh pretty cool.
17:18So uh you know, thank you for all of the investments that you continue to make in the city of St.
17:25And um with that, I'll entertain a motion on resolution number 33 as amended.
17:36I move that we pass resolution 33 out with a do pass recommendation.
17:43It's been moved by the Alderman.
17:45He didn't say it has a mandate.
17:48Oh, and uh I guess chairman.
17:52Before we do that, did you want to recognize any public comment?
17:57Oh, thank you, Alderman.
17:59Do you all want to remove your second?
18:00Yeah, I withdraw my motion.
18:02I would draw a second.
18:05Uh we'll take any public testimony on resolution number 33.
18:10Connolly, I see your hand is raised.
18:21Can you hear me okay?
18:26I can't see myself, so I apologize if my uh yes were able to see and hear you.
18:33Um, well, before my time starts here, um, I just wanted to kind of comment on some transparency issues and also silence my phone.
18:43Um, I was unable to start Jerry.
18:50Yeah, I was able to, I was unable to join through the Zoom link uh on the public meeting notice on the website, and uh Miss Rogers was good enough to forward me the STL TV link.
19:03So that's that's why I was able to get on the meeting.
19:06And basically because the you know, unless people had the the time and wherewithal to do that, you know, this wasn't adequate public notice uh for participating in the meeting.
19:19So um I'd like to request that you hold the bill uh just for for that reason.
19:26And now you can start the time clock because I I was gonna ask you to hold it anyway, because back on April 9th, when this went before the Port Authority Board, um, and my understanding it's a two-part resolution.
19:42Pikman's here who could speak to that.
19:44Uh, and the the board, the Port Authority Board approved it.
19:48Um, Alderman Cohn, I know you are a member of that board and voted for this.
19:53Um, and that will be a second resolution by the Port Authority, but there was no financial analysis presented by SLDC at the Port Authority meeting.
20:04So I I really feel the due diligence is not being done by SLDC on this.
20:10And another thing that wasn't disclosed at the Port Authority meeting, and unless I missed it this morning, I was scrambling a little bit here.
20:19Uh, there was no reference to the state of Missouri, a Missouri works program that offers tax credits and other benefits in terms of with I think some kind of uh earnings or state tax withholdings for the uh employees.
20:37And no mention was made of that or the value of that.
20:40So we have again we have a situation of you know, the company is is benefiting from the tax breaks both at the state and local level.
20:49And at the local level, um, you know, we're we're in a situation here where the city's budget is under assault from multiple entities, uh, notably uh the police board.
21:04And with the uncertainty that we have with our future finances, I I feel it's irresponsible to be doubling out a 80% 10-year tax abatement that's valued at um, I think 2.4 million was Mr.
21:19Weatherford's uh present value of this abatement.
21:24And on the equipment, you know, there's a depreciation schedule.
21:28So it's not like a real estate tax abatement where one would hope at the end of 10 years, you know, the value would be you know increasing at that point and a lot more revenue flowing into the city, whereas on these uh personal property tax abatements, you know, that's not the case.
21:46You know, after 10 years, the equipment will be worth substantially less than it is now.
21:52Um so if if the city approves the uh if the water rate approval schedule uh between now and 2032 goes into effect, you know, residential and business customers are going to be seeing you know an 80% plus increase in water rates over where they are now.
22:14Louisons are going to be experiencing that uh increase.
22:18And on the other hand, we've got a company, and I'm sure they do very good work.
22:23This looks like a good good products, good jobs to have in the area, but they'll be getting you know an 80% discount on their taxes.
22:30So I I don't feel that's equitable.
22:33I believe uh Steve or Stephen Davis, who's the going to be the new economic development officer uh for the mayor's office.
22:42I I believe his role at SLDC was business retention and expansion, and that this application from Winland probably processed through his office, and I don't know if Greater St.
22:57Louis Partnership were involved in the process, but I I really feel that the complete story isn't being told as to the thoroughness of the financial evaluation.
23:11So as it stands, I I oppose the resolution.
23:15I I think if if it were to be amended, uh if there was a 10-year 20% tax abatement, that would generate four times as much revenue to the city at least than the current scenario.
23:27So I urge you to take this into consideration and um you know to table the resolution today, take it up at a future meeting where the the public have the general public have adequate notice and can participate in the meeting.
23:44Thank you for your time and I'd be happy to answer any questions.
23:52Uh Madam Clerk, are there any other uh comments or remarks or rather does anyone have any questions for Mr.
24:03Connolly on the committee?
24:10Thank you, uh Jerry, for your time this morning.
24:19Uh, may I just please proceed?
24:22Thank you, everybody.
24:23I really appreciate uh the comments today.
24:27Um, you know, I think the SLDC presentation really shows the uh qualifications that this abatement has for the proposed um abatement here, and I think it's really important that they they get it as um as per what is recommended and what we are talking about in the resolution today.
24:44Uh, you know, to be quite frank with you, you know, this plant almost closed.
24:48Um, and this expansion is not only bringing new jobs, but is preserving a lot of jobs in my ward.
24:55Um I am fighting large vacancy in buildings uh in the first ward, and I know we're fighting that citywide.
25:03Uh it's something that we have to be really aggressive about, and it is so much easier to keep a good company and make sure that they're supported than it is to bring in an all a whole new one.
25:13So um I am in you know full support of the resolution as it reads today with the amendment we've made.
25:18Um, and I just wanted that for the record uh as we continue conversations today, uh, Chairman Cohn.
25:26Thank you, Alderwan.
25:27Uh Alderman Narayan.
25:30Uh thank you, Chairman Cohn.
25:35Connolly's testimony, I do have just a a bit of concern regarding the uh the notice for this meeting if the link wasn't valid.
25:46Um so uh would it be possible to schedule another meeting?
25:53I mean, as soon as 24 hours out, just something that we can get public notice on and uh and make sure that we're we've heard from everyone that wants to talk before we we uh finally vote on this.
26:12Alderoman, do you want to respond?
26:16Um I understand uh my colleagues' concern and I'm always uh you know hopeful that the um links are always checked and and everything happens before the meeting, and when it doesn't happen, it does end up causing delays.
26:28And uh I understand that and I for think for transparency's sake that makes sense.
26:33Um I am fine with that.
26:35Uh I don't think we would need um the company to come back um or SLDC to come back unless you want them to come back too.
26:43Um, but maybe people will have questions.
26:45So um I am um understanding that that ends up taking a few more minutes of people's time uh as well.
26:52So um it's fine with me.
26:54Um hopefully we can get it scheduled just this week um because it is important to get it out this week um because next week there's another port authority meeting and just to keep the project moving on schedule, that's when it would need to happen.
27:07So um if the chairman has time, um I I would be happy scheduling it now so that we can uh make sure that that everybody's good and we can notice it as quickly as possible with the correct link.
27:25Uh yeah, I at this point I would uh in terms of just my calendar alone, um, I would say you know, Friday before the full Board of Alderman meeting, you know, we can you know we're about half an hour into this meeting at this juncture, so I'd say let's schedule another half hour for Friday before the board.
27:44Um, you know, I've not yet confirmed with the president's office as to whether or not I'll be presiding over the board this Friday or not.
27:52Um so if that's the case, I do have a pre-BOA meeting uh that usually happens around 9 30.
28:02So I would say 9 a.m.
28:05Thank you, Chairman.
28:06Works for me as well.
28:09Uh I will go ahead and uh well, we have one of the clerks here.
28:13So Madam Clerk, if you could please share with the chief clerk that we'll have a TNC meeting Friday at 9 a.m.
28:20to um continue uh discussion on resolution number 33 is amended.
28:28Thank you all so much for your time today, and I look forward uh to that and and hope to uh continue to have the support to move this out of committee uh so that we can keep it going on schedule for Windland Foods.
28:41And thank you everyone for uh your time this morning since we are going to continue um conversation on this.
28:48Um I might not even ask for an adjournment.
28:55We can just do a resumption of our meeting on Friday at point of order.
29:00Excuse point of order.
29:03Uh I think we do need to adjourn because I think Friday needs to be a separate and distinct meeting to ensure proper notice.
29:11Thank you, Alderman.
29:13Uh we still have more than enough time to provide proper notice on, but sure.
29:20Uh and we wouldn't need to excuse since it would be a continuation of the meeting.
29:26But I am happy to go ahead and adjourn and go to uh a completely separate schedule for night uh this coming Friday.
29:34So um with that, if there's no further conversation on resolution 33 as amended, Madam Clerk, were there any further public comments on resolution number 33?
29:51Uh so we will go to excused members, both the alder woman from the eighth and the alderman from the second asked to be excused for necessary absence this morning.
30:03If you could please make note of that.
30:06And I will accept a motion to adjourn.
30:12Second, previous roll.
30:14It's been moved by the alderman from the fourth, seconded by the alder woman from the first that we adjourn.
30:19There's been a request for previous role.
30:21Is there any objection to previous role?
30:24Hearing and seeing none, we stand adjourned.
30:27Thank you, everyone.