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90-1038 O��G�NAL Council File # Q�—/�.3� Green Sheet # RESOLUTION ' CITY OF SAINT PAUL, MINNESOTA �3� ' �.. -,__ - �....__. - ___,.�_- r..- Presented By Referred To Committee: Date WHEREAS, the Schmidt Brewery has been a landmark in Saint Paul on West Seventh Street since 1901; and WHEREAS, the Schmidt plant directly employs 215 workers and impacts on other employees in the distribution business; and WHEREAS, in February, the G. Heileman Brewing Company offered for sale the Saint Paul brewery facility, together with the Schmidt brand and other brands; and WHEREAS, Heileman has, to date, rejected all bids for its Schmidt plant, and apparently refuses to consider new bids, and has set plans to close the Schmidt plant on July 3, 1990; and WHEREAS, several bidders have shown strong interest in acquiring the plant, its equipment, and the Schmidt brand; and WHEREAS, Heileman's apparent refusal to negotiate in good faith any future offers has shown their desire to close the plant and produce the Schmidt brand from their La Cross, Wisconsin plant; regardless of � the negative economic impact to the City of Saint Paul and the West Seventh Street community; and � WHEREAS, plans are already in place to begin removing essential equipment from the Schmidt plant, equipment that, if removed, may diminish the facility's marketability; and �3 � `��� � ���t--I-- , or� -� 3 >� J / OR � � �-°A!��r � �'9o- ia��' WHEREAS, the closing of the Schmidt plant and potential selling or removing of the equipment would negatively impact the City and would create a blighted vacant building, a building that would be extremely difficult to find a reuse for, as witnessed by the vacated Grain Belt plant in Minneapolis; and WHEREAS, Schmidt's 135 years of brewing history in the City of Saint Paul have permanently linked that label to the City and to the West Seventh Street Neighborhood; and THEREFORE, BE IT RESOLVED, that the Department of Planning and Economic Development and City Attorney shall begin immediately to investigate condemnation procedures to acquire the Schmidt plant, the land, its equipment and labels, through Eminent Domain, and that the appropriate resolutions be drafted by appropriate staff at the earliest possible date; and THEREFORE, BE IT FINALLY RESOLVED, that the Department of Planning and Economic Development or appropriate staff pursue the identification of a viable buyer for the brewery equipment and labels, and that this identification be a condition of the Eminent Domain action. Yeas Navs Absent Requested by Department of: imon osw.ztz on FJacca ee ettman T vne .z son BY= Adopted by Council: Date Form Approved by City Attorney Adoption Certified by Council Secretary By: By' Approved by Mayor for Submission to Approved by Mayor: Date Council By: By: ' . ' , C� �iU`�0�� GITY OF SAINT PAUL �i"i i10 OFFICE OF THE CITY COUNCIL DAVE THUNE Counc�7member MEMO 6/18/90 TO: COUNCILMEMBERS FROM: DAVE THUNE At the request of the Schmidt Brewery workers and two of the bidders who have made a good faith effort to purchase the Schmidt plant, I have asked Councilmember Dimond to offer the attached resolution under suspension during tomorrow's council meeting. The purpose of the resolution is to request PED and the City Attorney's office to look into the possibility of taking the Schmidt Brewery by eminent domain and create the needed documentation for council action. This does not officially start eminent domain action. In asking for your support of this resolution I am asking you to support keeping all of the City's options open. I have been informed that the machinists at Schmidt have been instructed to dismantle and remove the still from the St Paul plant on June 28th. The still is to be shipped to La Crosse. The still is used to produce non-alcoholic beer and is a key feature of this plant. Eventhough, I am still hopeful that Heileman might return to the negotiating table, I believe it is in the City's best interest to be prepared for the worse. I feel that it would be foolish to wait until Heileman has stripped the building before we determine what action we can take. CTTY HALL SEVENTH FLOOR SAINT PAUL,MINNESOTA 55102 612/298-5679 3�46 Printed on Recycled Paper ' ' Council File � .�f0—/Q�O � 11� �.je� Green Sheet # �Y ��� RESOLUTION CITY OF SAINT PAUL, MINNESOTA ��.�_� . .,..".s - Presented By Referred To Committee: Date WHEREAS, the Schmidt Brewery has been a landmark in Saint Paul on West Seventh Street since 1901; and WHEREAS, the Schmidt plant directly employs 215 workers and impacts on other employees in the distribution business; and WHEREAS, in February, the G. Heileman Brewing Company offered for sale the Saint Paul brewery facility, together with the Schmidt brand and other brands; and WHEREAS, Heileman has, to date, rejected all bids for its Schmidt plant, and apparently refuses to consider new bids, and has set plans to close the Schmidt plant on July 3, 1990; and WHEREAS, several bidders have shown strong interest in acquiring the plant, its equipment, and the Schmidt brand; and WHEREAS, Heileman's apparent refusal to negotiate in good fa�th any future offers has shown their desire to close the plant and produce the Schmidt brand from their La Cross, Wisconsin plant; regardless of the negative economic impact to the City of Saint Paul and the West Seventh Street community; and WHEREAS, plans are already in place to begin removing essential equipment from the Schmidt plant, equipment that, if removed, may diminish the facility's marketability; and , . / n � � � /�� � � WHEREAS, the closing of the Schmidt plant and potential selling or removing of the equipment would negatively impact the City and would create a blighted vacant building, a building that would be extremely difficult to find a reuse for, as witnessed by the vacated Grain Belt plant in Minneapolis; and WHEREAS, Schmidt's 135 years of brewing history in the City of Saint Paul have permanently linked that label to the City and to the West Seventh Street Neighbdrhood; and � THEREFORE, BE IT RESOLVED, that the Department of Planning and Economic Development and City Attorney shall begin immediately to investigate condemnation procedures to acquire the Schmidt plant, the land, its equipment and labels, through Eminent Domain, and that the appropriate resolutions be drafted by appropriate staff at the earliest possible date; and THEREFORE, BE IT FINALLY RESOLVED, that the Department of Planning and Economic Development or appropriate staff pursue the identification of a viable buyer for the brewery equipment and labels, and that this identification be a condition of the Eminent Domain action. Yeas Navs Absent Requested by Department of: imon Goswitz on Macca ee Rettman T une i son BY= Form Approved by City Attorney Adopted by Council: Date Adoption Certified by Council Secretary ey: ey' Approved by Mayor for Submission to Council Approved by Mayor: Date BY: BY: ' �. '� `. . ��/o-/o.�I� / �`• ' ` CITY OF SAINT PAUL ;,-,. •:�s, . °��i�°�� : OFFICE OF THE CITY COUNCIL DAVE THUNE MEMO Councilmember 6/18/90 TO: COUNCILMEMBERS FROM: DAVE THUNE At the request of the Schmidt Brewery workers and two of the bidders who have made a good faith effort to purchase the Schmidt plant, I have asked Councilmember Dimond to offer the attached resolution under suspension during tomorrow's council meeting. The purpose of the resolution is to request PED and the City Attorney's office to look into the possibility of taking the Schmidt Brewery by eminent domain and create the needed documentation for council action. T'his does not officially start eminent domain action. In asking for your support of this resolution I am asking you to support keeping all of the City's options open. I have been informed that the machinists at Schmidt have been instructed to dismantle and remove the still from the St Paul plant on June 28th. The still is to be shipped to La Crosse. The still is used to produce non-alcoholic beer and is a key feature of this plant. Eventhough, I am still hopeful that Heileman might return to the negotiating table, I believe it is in the City's best interest to be prepared for the worse. I feel that it would be foolish to wait until Heileman has stripped the building before we determine what action we can take. CTTY HALL SEVENTH FLOOR SAINT PAUI,,MINNESOTA 55102 612/298-5679 5�46 Printed on Recycled Paper