HRA Agenda 11-03-2004
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AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, November 3,2004 - 6:00 p.m.
505 Walnut Street - Bridge Room
Commissioners:
Chair Bill Fair, Vice Chair Darrin Lahr, Dan Frie, Brad Barger, and Steve
Andrews.
Council Liaison:
Roger Carlson.
Staff: Rick Wolfsteller, Ollie Koropchak, and Angela Schumann.
Call to Order.
Consideration to approve the October 6, 2004 HRA minutes.
Consideration of adding or removing items from the agenda.
Consent Agenda.
Consideration to review revisions to the Monticello Transllmnation J lome Loan Application
Package and authorize commencement of program January I. 2005.
6.
Consideration to review revisions and accept the Perfl)fmanCe Measure for the Otter
Creek Business Campus.
Consideration and approval of zoning for Otter Creek Business Campus for
recommendation to Planning and Council.
Consideration and approval of covenants for Otter Creek Rusiness Campus fe}[
recommendation to Planning and Council.
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7. Consideration to authorize payment of liRA hills.
8. Consideration of Executive Director's Report.
9. Committee Reports.
10. Other Business.
II. Adjournment.
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MINUTES
MONTICELLO HOUSING AN D REDEVELOPMENT AUTHORITY
Wednesday, Oetober 6, 2004 - 6:00 p.m.
505 Walnut Street - Bridge Room
Commissioners Present:
Chair Bill Fair, Vice Chair Daffin LaIn, Dan frie, Brad Barger,
and Steve Andrews.
Council Liaison:
Roger Carlson.
Staff:
Rick Wolfsteller, Ollic Koropchak, and Angela Schumann.
1. Call to Order.
Chairman Fair called the meeting to order at 6:00 PM and declared a quorum.
2. Consideration to approve the Septcmber 1, 2004 HRA minutes.
MOTION BY COMMISSIONER FRIE TO APPROVE THE MINUTES.
MUflON SECONDED BY ANDREWS. MOTION CARRIED.
A NOTATION WAS MADE TO AMEND SEPTEMBER'S MINUTI-;:S TO SHOW
COMMISSIONER LAHR AS PRESENT.
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Consideration of adding or removing items from the agenda.
None.
4. Consent Agenda.
None.
5. Consideration to review a draft copy of the Monticello Transformation Home Loan
Program Criteria. Application Form, and Remodelcr form for adjustment.
Koropchak reviewcd the draft materials prepared for the loan program, indicating that
they followed the Richfield program as a model, although Koropchak had targeted a
speeitic area and value in developing the draft matcrials. Koropehak had included the
recommendation that the program loan up to 20% of the remodeling costs if the model
costs are $50,000 or greater, but not to exceed $20,000, with the criteria that the loan
would be t()rgiven after 5 years.
Koropchak spoke with Attorney Bubul about the pre-remodeling condition report as
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HRA Minutes 10-06-04
required in Richfield. Bubul had related that it was a requirement lor such funding
programs. Since 1997, r IRA's are required to hire inspectors for projects within the
redevelopment district. Koropchak noted that as pooling dollars would be used t()r this
project, an inspector will need to be hired.
Koropchak explained that she would be speaking with the Building Department about the
program, noting that as the department is already busy, it would need to he reviewed
whether the Building Department can fully complete the advisor scrvices as outlined.
Fair noted that with only $150,000 being potentially allotted for the pilot project, they
could do approximately 8 houses per year. This would rcquire only 8 pre-remodeling
inspections. Fair inquired whether a specific checklist could be developed to make the
process more consistent. Koropchak stated that the Richfield advisory service did have
checklist that could be used as a model.
Fair asked if the HRA could contract out pre-remodeling inspcctions. Koropchak
indicated that they could be.
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Lahr clarified that the inspection is required to determine that the home is sub-standard.
That inspection would be separatc from thc remodeling advisor inspection. The
redevclopment district would necessitate that certain criteria need arc met. Lahr inquired
whethcr a qualified inspector could train a Monticello building inspector to do
inspections subscquent to the first few. Koropchak stated that shc thought that would be
acceptable, in which case the two inspections could occur together.
Barger asked if monics could be used from other districts. Koropchak indicatcd that
funds for this program had to be from a redevclopment district.
Thc consensus of the Commissioncrs was that the I IRA would like to continuc looking at
the project. Koropchak notcd her rcservation that it may be difficult to get pcople to fully
utilize the program.
Andrcws notcd that there is little risk to the I-IRA to launch the program as a pilot project.
Fair commented that it will be important to target the program appropriately and possible
to develop a workshop to potentia' resident candidates.
Koropchak also recommendcd that a timc-lramc for completion be includcd in the projcct
criteria. Frie stated that banks have timc frame rcquirements and the HRA 's critcria
could shadow those requirements. Duc to issues surrounding potcntial planning review,
Fair recommended a time cap of 6 months hom the issuance of building permit.
The Commission discussed the funding level for the pilot project as a whole, as well as
minimum remodeling expenscs and maximum I IRA loan funds per project.
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liRA Minutes 10-06-04
Lahr sought clarification on percentage calculation for determining the amount of HRA
funding. It was clarified that the loan amount would be a straight 20% of the total
remodeling costs.
Barger asked if the bank providing the potential user with financing could use the HRA
money as equity. Koropehak stated that Richfield's project requires that a loan is already
closed or committed. Barger indicated that the $20,000 as equity would help secure a
larger qualification. In the Richfield model, the monies go directly to the lender.
Fair recommended meeting with bankers to identify the steps of the actual loan process.
The Commission determined that homeowners should not receive cash back for labor,
however, they should be allowed to provide sweat equity.
The Commissioners also determined that the loan funding would be 20% of what the
borrowed amount is, not the determined value of the improvements.
HRA directed staff to continue researching the project in terms of the discussion items. It
was noted that at the time the details of the project were outlined, staff would prepare a
report for City Council.
6.
Consideration to adopt a rcsolution decertifying Economic TIF District No. 1-17 and No.
1-21, to authorize c1ose~out of five Economic TlF Districts, and to request the reimbursed
tax be allocated to the HRA General Fund.
MOTION BY COMMISSIONER BARGER TO ADOPT A RESOLUTION
DECERTIfYING ECONOMIC TlF DISTRICT NO. 1-17 AND No. 1-21, AND TO
AUTHORIZE CLOSE-OUT OF fIVE ECONOMIC TIF DISTRICTS: 1-17, 1-21, 1-15,
1-13, and 1-14, AND TO REQlJES"f THE REIMBURSED TAX BE ALLOCATED TO
THE liRA GENERAL FUND.
MOTION SECONDED BY COMMISSIONER LAHR. MOTION CARRIED.
7. Consideration to rcview and approve Performance Measure for the Otter Creek Crossing
Industrial Business Park.
Koropchak reviewed her recommendations as outl ined in the staff report, noting that the
pcrformanee measure will act as a guide in selling the property. The measure determines
what property will be sold f()r and what the manuf~tcturer needs to meet in terms of
building, storage, landscaping and other criteria.
Koropchak provided an explanation of potential land costs based on the performance
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lIRA Minutes 10-06-04
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measure and compared to other industrial areas. Koropehak noted that the criteria
prohibits one large buyer from purchasing all the land and acting as the developer. She
also explained that TIF will go towards paying off the bonds for infrastructure.
Koropchak indicated that the small group will be meeting with City Engineer Bret Weiss
and City Planner Steve Grittman about thc pcrformance measures and discussing
improvcments and zoning issues.
Koropchak stated that she would recommend asking Council fCH the HRA to act as
manager of the site and sell/market the property. This would be consistent with the lIRA
being involved in creating thc TIF district. Under the terms of the district, potential
buyers will have to sign the development agreement. This arrangcment gives the HRA
the authority to ncgotiate but leaves Council with the final approval.
Barger asked if sales would need to meet the but-for test. Koropchak indicated that was
correct.
Koropchak noted the non-refundable fcc for development agreement, which is due to
expenses involved in the platting process. It also helps to cover the cost of drafting that
development agrcement and TIF process.
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Barger asked how the land sale price would be determined for two story buildings. For
example, would prices be based on footprint or usable square footage. Koropchak
indicated that she would clarify that rcquircmcnt with other communities with similar
measures.
Lahr recommcnded aiming high in terms of land pricing, as the land will continue to
increase in valuc. Barger also recommended increasing the measure for both jobs and
cost per acre.
Fair requested that staff provide performance measures from other communitics with
similar projects so the BRA could make a comparison. Koropchak noted that thc draft
performance measure presented rcprcscnted the averages of what she had seen for other
areas. Barger recommended that pcrhaps thc staff could also prepare a land price per
square foot versus acre.
Koropchak indicated that remedies for those not meeting criteria will need to be outlined.
Koropchak also stated that the small group would be discussing buildings materials and
the establishment of covenants and other amenity requirements, citing the Pfeffer
companies as an industrial site developer that establishes site covenants.
Frie recommcndcd going with a more liberal zoning designation and then setting stricter
covenants, which would give the City greater flexibility.
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HRA Minutes 10-06-04
Koropchak will do more research and provide the liRA with feedback from IDC small
group at the next meeting
8.
Consideration to authorize payment of I IRA bills.
None.
9. Consideration of Executive Director's Report.
Koropchak reviewed her staff rcport, clarifying that the Landmark Square II project will
need to hirc an inspector, per previous discussion on redevelopment projects. Fluth did
sign a preliminary agrccment and provided the deposit funds. If the project doesn't movc
forward, the City will reimhurse him.
10.
Koropchak noted that Tom Holthaus had requested that she run TIF funding numbers on
a four-house development. Koropchak estimated that it would take 25 years to collect
money if I lolthaus met the but-fc)r test and the HRA authorized a redevelopment district.
Committee Reports.
None.
11.
Other Business.
None.
12. Adiournment.
MOTION BY BARGER TO ADJOURN AT 7:30 PM.
MOTION SECONDED BY COMMISSIONER ANDREWS. MOTION CARRIED.
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HRA Agenda - 11/03/04
5.
Consideration to review revisions to the Monticello Transformation Home Loan
Application Package and authorize commencement of program .Januarv 1.2005.
A. Reference and backeround:
At thc Octobcr HRA meetings, the commissioners agreed to proceed with the Transformation
Ilome Loan program as a onc-year pilot program and somc criteria was deJined. It was
suggested to meet with the lendcrs to clarify the mechanics and role of the Icnder and the liRA
On October 25, Rick Wolfsteller and myself met with Attorney Bubul and Mark Ruff. Both
had receivcd copics of the draft Transformation Home Loan Package. Some vcrbiage was
changed upon their recommcndation: Thc purpose of thc loan must be for structurally
substandard homes and thcy suggested a forgiveness timc of 10 years rather than 5 years.
After meeting with thc lenders (Wells Fargo and First Minnesota) on October 28, a definition of
structurally substandard will be insertcd in the Loan Package. It was recommendcd to clarity if
the recommended 5-years is for legal purpose or if a pro-rate basis can work. The lenders
suggestcd the lIRA have a mortgage with an addendum stating when HRA funds are disbursed
and stating the terms of forgiveness/payable and have a note. The lIRA dollars would be put in
an escrow account and disbursed by the title company (Tcrry to draft languagc.) Suggested
changing language feJr disbursement of HRA funds from no later than six months after issuance
of building pcrmit to no later than six months from date of loan closing (This for consistency with
lender language.) Lastly, draft an easy step process (bullet points) feJr home-owncrs.
On Novcmber 2, the Executive Director, Jeff O'Neill, and Fred Patch will discuss the roles of
the remodeling advisor, design advisor, and structurally substandard inspector.
Lastly, based on the GIS information ran, 35 single-family detached homes wcre identified at
$100,000 or less value in the corc area and 197 single-family detached homcs were identificd
bctween $100,000 and $150,000 value in the core area. Givcn those numbers, a direct
mailing to home-owners is feasible. Additionally, a brcakfast for locallendcrs and rcal estate
agents to market program.
B. Alternative Action:
1. Motion to authorize commencement of the program January 1,2005, and to request
final draft of documents at the HRA meeting of December 1,2004.
2. Motion to not move forward with Transformation Home 1,0an.
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HRA Agenda - 11/03/04
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Motion of other.
C. Recommendation:
Recommendation is alternative no. I. This schedule would allow t()r Council blessing of the
program on December 13, 2004.
D. Suoportine: Data.
Documents as printed.
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Ollie Koropchak
. From: Bubul, Stephen J [sbubul@Kennedy-Graven.com]
Sent: Friday, October 29, 2004 9:26 AM
To: Ollie Koropchak
Subject: RE: Home Redevelopment Program
Responses to your questions:
1. There's no legal reason, but 5 years would be very unusual in my experience. This is fair amount of money,
and the goal is long-term stability in the neighborhood, I assume Just an observation. It could be prorated as an
alternative; I think that would be preferable if the HRA is committed to the 5 year concept.
2 Right now, the only building expert I can recommend is LHB. The contact is:
Mike Fischer
LHB Engineers & Architects
250 Third Avenue North, Suite 450
Minneapolis, MN 55401
612-338-3029
3. The substandard language in your fax is accurate
I have to run to a meeting right now; call me later today if you have more questions on this.
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--mOriginal Message--m
From: Ollie Koropchak [mailto:Ollie.Koropchak@ci.monticello.mn.us]
Sent: Thursday, October 28, 2004 10:52 AM
To: Bubul, Stephen J.
Subject: Home Redevelopment Program
Steve - A couple of questions. The lenders and Fair see the 5-year forgiven or payable upon sale as an
incentive. Is there a legal reason the HRA can't use 5 years rather than the 10 years suggested by you
and Mark Ruff? Or could it be a pro-rated basis?
Second, can you email the names and Phone # of the substandard experts? Do you have a list
for requirements for structurally substandard? HRA meeting November 3. Thanks Ollie
......
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10/29/2004
DEVELOPMENT SERVICES
Economic Development Director
Phone: (763) 271-3208
Fax: (763) 295-4404
E-mail: ollie.kororchak:il:ci.monticello.mn.us
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Housing and Redevelopment Authority
in and fOf the City of Monticello, Minnesota
MONTICELLO
TRANSFORMA nON HOME LOAN
2005 APPLICATION PACKAGE
PURPOSE
A "home transformation" means a major home remodel, increasing its livable space and its
value. Residents who enjoy living in the core city and know the benetits of living within
walking distance of the Mississippi River, the community center, and the schools are choosing
to adapt and redevelop their existing homes to meet their currcnt needs. The Transformation
Home Loan was devcloped to provide incentives for homeowners or home buyers in
Monticello to begin major redevelopment/rcmodeling activities.
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The Transfi.1nnation Home Loan seeks to promote and foster a vibrant core city by:
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Encouraging redevelopment of structurally substandard homes.
Encouraging home owner-occupancy.
Encouraging investment into the core city.
Increasing housing market value.
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TARGET ARF:A
The Transformation Ilome Loan program is available for existing single-family detached
homes located within the core city described as:
· North of 1-94.
· East of Otter Creek
· South of Mississippi River.
· West of Hospital and Middle School.
TARGET VALUE
The Transformation Home Loan program is available t()[ existing single-family detached
homes with a 2004 assessed market value of $150,000 or less.
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Monticello City Hall, 505 Walnut Street, Suite I, Monticello, MN 55362-8831 . (763) 295-2711 · Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170. Fax: (763) 271-3272
TARGET CRITERIA
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The Transfi)fmation Home Loan program is available for existing single-family detached
homes that meet the redevelopment qualification requirement of structurally substandard as
defined by Tax Increment Financing Law, 469.174.
"Structurally substandard" shall mean containinx defects in structural element
or a comhination of deficiencies in essential utilities andfacilities, liXht and
ventilation, .fire protection includinx adequate exress, layout and condition ol
interior partitions, or similarfactors, which defects or deficiencies are (?l
s14ficienttotal sixnfficance tojust?fy substantial renovation or clearance.
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A building is not structuralzy suhstandard flit is in compliance with the huilding
code applicable to new buildings or could he modified to sati,~fy the building
code at a cost of less than 15 percent of the cost olconstructing a new structure
olthe same square.fhotage and type on the site. The municipality may find that
a huilding is not disqual?fied as structurally substandard under the preceding
sentence on the hasis (~lreasonably available evidence, such as the size, type.
and axe olthe buildinx, the average costs of plumbing , electrical, or structural
repairs, or other similar reliahle evidence. The municipality may not make such
a determination without an interior inspection (~lthe property, but need not
have an independent, expert appraisal prepared (~lthe cost qfrepair and
rehabilitation qlthe building
FUNDING SOURCE
The Transformation Home I,oan program is a one-year pilot program commencing January 1,
2005, with a limited amount of funds, $150,000.
Program Features:
... Remodeling Advisor Services.
will provide initial remodeling
advice as wcll as on-going assistance as you plan your project. An
attached letter explains potcntial services provided. I,eave a
message with _ on the Remodeling Connection: 763
...
Design Advice Services. is a
design advisor who can meet you in your home to discuss design
options. Such advice may be particularly useful when you're
changing tloor layouts or blending in an addition. Call
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answering service at
remodeling program.
and reference the Monticello
... The Tnmsformation Loan. The Montieello Housing and
Redevelopment Authority (BRA) characterized the Transformation
Loan as an "ineentive loan". The incentive is just a little more
financing with terrific terms, so that a homeowner may feel equipped
to move forward on their remodeling project. To apply for the loan,
the cost of your remodeling project must be $50,000 or more. The
loan may be 20% of your remodeling project, when the cost of
remodeling is $50,000 or more. The maximum loan amount is
$20,000. The loan is interest-free, and is payable upon salc of your
property or forgiven after five (5) years. If you have questions, call
763-271-3208. Funds are limited.
Application Procedure:
1. Prior to starting your proiect, obtain this application package which includes the
builder requirements and summary of design consideration, loan application form,
remodeling advisor letter, and a remodeler form for remodelers who have not worked
under the program previously.
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2.
Submit a complete application. A commitment of funds can only be made when all
requircd itcms have been rcccived. Please notc: The City (?lMonticello 's Building
Department must approve all huilding plans, and may have requirements
independent olloan requirements. All set hack and zoning requirements must
also be met.
3. Applications wi 11 bc reviewed on a fi rst -come, first -scrved basis, with priori t y being
givcn to projects that arc most ready to move forward. Project readincss will be
determined by those that havc completed drawings, have total project funding in place
(c.g. have a loan commitment or have closed on mortgage financing), and lor have a
rcmodcler under contract. Funding will not be held for projects that arc not rcady.
4. Oncc an application and other required documents have bccn received and reviewed,
a loan commitment will be made.
Conditions of the Transformation Incentive Loan:
1.
Submitted applications will be revicwcd for appropriateness and completeness.
Projects gcncrally must be value-added improvements such as renovation or
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expanding space. Plans will be reviewed 1()r design considerations.
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The loan will be calculatcd at up to 20% of the initial contract price if the contract
price for remodeling is $50,000 or more, but not to exceed $20,000. The
commitment of funds is made at the beginning of the project.
3. Funds are limited. You may want to call ahead of time to find out if funds are still
available.
4. A Pre-Remodeling Condition Report is required by the HRA to meet city financing
and auditing requirements. A property evaluator (not an appraiser) contracted by the
HRA will spend approximately an hour at your homc to assess the age of mechanical
systems, measure square footage, and otherwise note the condition of the home prior
to remodeling. This is a (me-time report for HRA records and incurs no cost to the
homeowner.
5. Loans will not be considered for work in progress or work completed. The
Transformation Loan can only be considered for projects not yet begun.
6. You will be sent a commitment letter verifying the reservation of funds to be provided
at closing. A copy of the letter will be provided to your lender.
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7.
A copy of a letter of commitment from your lender verifying approval of the primary
loan is required.
8. The Transformation Home Loan funds will be deposited in an escrow account and
dishursed by a title company. Upon satisfactory verification of work in progress or
upon completion, the escrow account will be drawn upon in pro~ratcd increments
simultaneously as funds arc drawn upon from the primary loan to make payments to
the remodeler.
9. The 'franslDrmation Home Loan shall be secured by a Mortgage Deed and Note.
10. Final payment of the committed TranstDrmation Loan must he disbursed by the title
company by no latcr than six months aftcr the datc of closing.
Please be informed that financial data shall he submitted to the Lender for purposes of this
loan application. However, the fact that you apply for a Transformation Home Loan, the final
loan amounts arc considered public data according to Minnesota Statute Chapter 13.
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Gcneral Remodelcr and Design Critcria:
The HRA docs not recommend any particular remodeler. Selected remodelers must
complete a Remodcler Form, and comply with the general criteria established by the
Monticello HR.A "Sweat equity" cannot be includcd under the Transformation program.
Summary of Remodeler Reauirements
It is thc homcowncr's rcsponsibility to check on contractors thoroughly before selecting them.
Your buildcr should:
1. Demonstratc financial capability by providing a statement from a financial institution of
sufficient construction capital.
Possess adequate Builder's Risk, Comprehensive General Liability and Worker's
Compcnsation insurance coveragc.
Have a writtcn warranty policy to be shared with the homeowner or written evidence
of commitment to perform warranted repairs required by thc Minnesota State Statute.
2.
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If the remodelcr has not participated in the Transformation Home Program previously, the
HRA will require a Remodeler Forum to be completcd. A form is attached.
Summary of Housing Desij!n
The liRA will require the following:
1. Each home shall remain a detached single-family dwelling.
2.
Each homc shall be owner-occupied.
3.
Garage space may be maintained or expanded, but not reduced.
4.
The housc building lines, roof lines, doors and window placcment should minimizc
blank wall mass. J louse and garage oricntation to the street must present a balanccd
and pleasing vicw from all sidcs.
5.
Extcrior materials should be low maintcnancc. Masonite type siding matcrials are not
acceptable.
6.
Thc site must be fully landscaped, including attractively placed foundation plantings
and complete sod installation, lot line to lot line.
7.
Adjoining properties must not bc disturbed by the construction process. Construction
planning is important since five foot sidc yard setbacks limit construction space.
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8.
The construction process, site grading, and the finished structure must improve or not
have a detrimental impact on storm water drainage patterns in the neighborhood. Re-
working an existing site grade to improve neighborhood drainage may be requested.
If a roof is pitched towards neighboring homes, gutters may need to be installed to
divert storm water, in addition to improved grading.
If you would like to consult with someone regarding any remodeling issues, call the
Remodeling Advisor at
'I 'rans !,xll1alion l.oan, do~ 2005
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DEVELOPMENT SERVICES
Phone: (763) 271-3208
Fax: (763) 295-4404
E-mail: ollic.koropchak:ciki.rnonliccllo.mn.us
Economic Development Director
Housing and Redevelopment Authority
in and for the City of Monticello, Minnesota
MONTICELLO
TRANSFORMATION HOME APPLICA nON FORM
General Information:
Name(s) ofOwner(s) (as they appear on title)
--'._~
--~_.,~,~~~-----------._,
Present Addrcss
.-._."-',~.,-,.
~._."--'.._'-----------"-".'_..
Phone Number(s)
Future Address (i f buying to remodel)
Remodeling Information:
Description of improvements to be done _~_'____
.
---------
-',-~.'.~-"--
When do you plan on remodeling?_ '~__.___.__.__
Name of ^rchitect or Designer -~"-------'_h__
Name of Remodelcr
'_."--'--,. .~,~~-
Attach a list of contractors if a general contractor is not being used.
Financing Information:
Estimated amount of contract $___,__
Appraised value of property upon completion (if lender financed) $
Name of Lender
.._"._'-'''~..',--". ,
Type of financing (second mortgage/refinance/home equity line, etc.)
Anticipated closing date _
Source of financing if not lender financed _
Requirements for a complete application
Check ofT all that apply; provide explanation for those not completed.
__ A copy of the cost cstimatc(s) and description of improvements is attached.
_,_ Building plans are attached (both floor plans and exterior elevations).
--_ Site plan is attached (for additions that require crawl space or foundation).
-"- Ready to schedule a pre-remodeling condition evaluation (arranged by the Monticello I IRA).
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Please explain i I' an item is not checked:
Monticello City Hall, 505 Walnut Slrect, Suile I, Monticello, MN 55362-8831 . (763) 295-2711 . Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170. Fax: (763) 271-3272
-rransformation Home Application Form
. Page 2
5,'end completed application and allachments to:
Monticello HRA
505 Walnut Street, Suite 1
Monticello, MN 55362
Attention: Ollie Koropchak
To the fullest extent permitted by law, the Homeowner agrees to defend, indemnify and hold harmless the
/-IRA and the City of Monticello, their officers, agents and employees from and against all claims, loss,
damage, costs and expense arising from bodily or personal injury or sickness, illness, or death of persons or
damage to property resulting rrom or alleged to have resulted from the Remodeler's work and operations.
Owner
Owner
Date
Date
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I 'rt.H1S ttlnn:H ion;)ppl iLiltioll. t"orln
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DEVELOPMENT SERVICES
Phone: (763) 271~3208
Fax: (763) 295-4404
E-mail: ollie.koropchakrirci.monticello.mn.us
Economic Development Director
MONTICELW
Housing and Redevelopment Authority
in and for the City of Monticello, Minnesota
TRANSFORMATION HOME - REMODELING ADVISOR
Interested in a free "I-Iome Visit",?
The role of the Monticello Remodeling Advisor is to assist Monticello homeowners (or potential
homeowners) with planning for their remodeling pr(~ject. This entails a variety of serviees depending on thc
specific interests of each homeowner and the unique nature of their property. It may bc helpful to talk to
an unbiased expert, someone with some technical knowledge, before or after receiving bids from
contractors. This is a free scrvice!
Start with an initial telephone conversation to discuss the ideas or the potential project. Often this results in
a home visit, which includes the rollowing:
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Detailed discussion or homeowner's plans, ideas, and needs.
A walk-through survey to identify improvement needs and expand on the homeowncr's idcas.
Preparation of general cost estimates relating to the various improvements. (Costs can vary
dramatically, depending on the contractor and the type or materials used. The estimatc rangc
provided by the Remodeling Advisor is simply for initial planning purposes.)
Discussion regarding thc role of design on the proposed project, and a determination of whether
detailed design assistance will be userul.
Provision of a Remodeling Manual and hand-outs that cover how to select a contractor and
financing options. (Option: Referral of Contractors or Design Advisors)
Review of value-added improvements as it relates to ruture market value.
Summarization of the home visit with preparation of an Action Plan.
A tallow-up phone call to see if you need any further assistance.
.
.
.
.
.
.
.
.
Following the home visit, a follow-up call is made by the advisor to monitor progress and provide additional
assistance where needed. This may include:
· A review of potential improvements and direction is setting priorities.
· Hclp in analyzing estimates or bids secured.
. Additional home visits with the homeowncr and contractor to revicw proposed improvements and
contracts, if needed.
· Referral to a Design Advisor.
, Monticello Remodeling Advisor at .u
Call
.
Trans fllrlnati on n:lllode ling. ad v i SOl'
Monticello City Hall, 505 Walnut Street, Suite I, Monticello, MN 55362-8831 . (763) 295-2711 · Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170. Fax: (763) 271-3272
.
.
DEVELOPMENT SF:RVICES
Economic Development Director
Phone: (763) 271-3208
Fax: (763) 295-4404
E-mail: o\lie.koropchak(iyci.monticello-mn.us
--"- ,.- ,..--. .-- .-
MONTICELLO
Housing and Redevelopment Authority
in and for the City of Monticello, Minnesota
TRANSFORMA nON HOME - REMODELER FORM
Business Name:
-"_._.'~~'--
Phone No.:
Fax No.:
-"--_.._~.~"-,."~"--
E-Mail:
-"--,.~,~.,~..~_...--------'-.-~"_.-~~..,_._.-...,._"..,-
Business Address:
~,--_....------------~'
Contact Person:
_..,~,._"---"._-",,,~.
..~"_.,,._,,~~.
1.
How many years has your company been in business?
2. In the past three years, what has been the average number of homes your company has
remodeled per year? __._________._'__--'--
3. In the past three years, what has been the average remodeling contract price by your company?
.,'-,~~"~,_..---'-,.~'
4. Attach copy of your company warranty policy.
Yes
No
--"..----------.,.,-'~-
5. You agree that you have the ability, at all times during the term of the Remodeling Contract, to
have and keep in force the following minimum insurance coverages:
COVERAGE:
Workers Compensation
Employer's Liability
Comprehensive General
Independent Contractors
Prod ucts/Com pleted
Contractual Liability
LIMITS:
Statutory
$300,000 BI & PD
Included
Included
Included
Included
Monticello City Hall, 505 Walnut Strcet, Suitc I, Monticcllo, MN 55362-8831 . (763) 295-2711 . Fax: (763) 295-4404
Office of Puhlic Works, 909 Golf Course Rd., Monticello, MN 55362. (763) 295-3170. Fax: (763) 271-3272
Trans/'(mnation Loan - Remodeler Form
. Page 2
Personal Injury Liability
"XCU" Liability (if applicable)
Broad Form Propcrty
Comprehcnsive Automobile
for owncd, hired, and
automobiles
I nd uded
Included
Included
$300,000 BI & PD
6.
You meet Minnesota state licensing requirements. Yes
No
7. Please list municipalities in which you have secured remodeling permits within the past 3-5 years
and indicate the name of the City staff person (building official or other) with whom you had the
most contact.
1.
2.
3.
8.
Provide names, addresses and telephone numbers of five customer references that we may
contact as references.
.
1.
2.
~
-, .
4.
5.
9. Provide names, addresses and telephone number of three major suppliers or sub-contractors that
we may contact as references.
1.
2.
~
-, .
The information contained on this form may be provided to lenders, homeowners, and others interested
in participating in Monticello Remodeling Programs.
By:
Its:
.
Date:
K.cll1oddcr. fonn
DEVELOPMENT SERVICES
Phone: (763)~271-3208
Fax: (763)-295-4404
E-mail: ollie.koropchak(l/1ci.monticello.mn.L1s
Economic Development Director
MONTICELLO
Housing and Redevelopment Authority
In and for the City of Monticello, Minnesota
TRANSFORMA nON HOME LOAN COMMITMENT/DISBURSEMENT
Complete Application:
Remodeling Advisor Letter _...._
Builder Requirements and Summary of Design _..
Loan Application Form__
Remodeler Form
Pre-Remodeling Condition Report required by HRA.
Commitment Letter from Lender.
Remodeling and Site Plans reviewed.
Building Permit issued.
.
HOUSING AND REDEVELOPMENT AUTHORITY COMMITMENT OR NON COMMITMENT:
LOAN NUMBER: COMMITMENT: YES NO
BORROWER:
ADDRESS OF SITE:
MAILING ADDRESS:
TOTAL PROJECT COST:
LOAN AMOUNT:
LOAN RATE: Interest Free LOAN PAYABLE UPON SALE OF PROPERTY OR FORGIVEN
AFTER FIVE (5) YEARS fROM DISBURSEMENT DATE Of_..
FEE NO COST TO IIOME OWNER OR HOME BUYER.
A motion was made by HRA Commissioner __".,. "_ to approve a
(commitment - no commitment) of Monticello Transformation Home Loan Funds in the amount of
to home owner/buyer
~-'"
__ this ~__ day of__
..'. ".,
Seconded by HRA Commissioner
YEAS:
NAYS:
ABSENT:
.
Transformation Home Loan disbursed
to
'_ , _..._' by Check No. _
liRA Treasurer
Monticello City Hall, 505 Walnut Slreet, Suite I, Monticello, MN 55362-R831 . (763) 295-2711 . Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170. Fax: (763) 271-3272
.
.
.
HRA Agenda - 11/03/04
6.
a. Consideration to review revisions and accept the Performance Measure for the
Otter Creek Business Campus.
A. Reference and backl!round:
Rick Wolfsteller and myself met with Steve Rubul and Mark Ruff on October 25, to make sure
the proposed method of financing Otter Creek Business Campus both works and meets
Statutory requirements. Bubul and Ruff suggested if the Purchase Agreement is assignable that
the Council assign the Purchase Agreement to the HRA. The plan was to provide a one-stop
shop deal, convenient to the end-user. This would mean the marketing, packaging, land
transaction, plat preparation, TIF District creation, Assessment Agreement/Contract for Private
Development, Purchase Agreement, closing and recording would be assigned to the HRA.
City Council would still have final approval. Since that meeting, Mark re-ran projections
based on the City Engineers updated numbers and holding costs. Rick and I need to meet
with Mark a second time.
The preliminary and final plat for Otter Creek Crossing is on the Planning Commission agenda
of November 1 and Council Agenda of November 8. Closing on the Otter Creek property
may take place the end of November or after platting. The Planning Commission is also calling
for a public hearing date of December 7, 2004, to re-zone the 120-acres of Otter Creek
owned by the City. Additionally, Planning will considcr adopting covenants for the Busincss
Campus. The Planning Commission's zoning/covenant rccommendations would appear on the
December 13 Council meeting. A workshop with Council prior to the December 13 meeti ng is
recommended.
The Marketing Committee will not begin to market until Performance Measures, land prices,
zoning, and covcnants are in-place. The longer we wait to get the word out, the greatcr our
holding costs.
Since the lIRA contributed dollars to and supported the purchase of Otter Creek Crossing, the
HRA is asked to review and accept the Performance Measure. Thc dollar amounts may
change pending our next meeting with Mark.
B. Reference and backeround:
1. A motion to accept the Performance Measure for Otter Creek Business Campus as
wri tten.
.
HRA Agenda - 11/03/04
2.
A motion to accept the performance Measure for Otter Creek Business Campus with
the following changes ____~.
3. A motion to table any action until December 1, 2004, HRA meeting.
C. Recommendation:
Recommendation is to further discuss the "minimum size lot" for sale. The 2.5 acre lot by the
performance measure would mean a developer must construct at least a 27,225 sq ft building.
A onc-acre lot would need a 10,890 sq ft building. To provide small lots might require
additional infrastructure. Although the "Excess Land Price" may changc, the measurement
standards should remain consistent.
D. Supportinl! Data:
Performance Measure, Ruffs last runs, and WSB infrastructure costs.
.
.
2
.
.
.
2004
CITY OF MONTICELLO
OTTER CREEK BUSINESS CAMPUS
PERFORMANCE MEASURE
PERFORMANCE PRICE - $1.00 PER SQUARE FOOT
NO 2005 IMPROVEMENT ASSESSMENTS, NO TRUNK FEES, AND NO PARK FEES
Jobs per acre:
8 full-time equivalent jobs/acre
Average hourly wage:
$16.00 ph excluding benefits
Land to building ratio:
1 acres: 25110 building (43,560 sq ft: 10,890 sq ft)
Developed new market value:
$435,600 per acre*
Years to payback incentives:
Return on investment:
Minimum size lot
2.5 acres (Revicw, this would requirc a minimum 27,225 sq
ft building)
FORMULA FOR MAXIMUM ACREAGE TO SELL ONE USER
(Property not intcnded for speculation)
I) Building size X 2 = max area for building 2) max area for building X 2 = area of parking. 3) 1 + 2 X
15% =? 4) I I 2 + 3 = Total maximum acreage to sell one user.
EXCESS LAND PRICE - $2.15 PER SQUARE FOOT
"Excess Land" means the difTerence between maximum acrcage less performance acreage. The "Excess
Land" is sold at market value. Developer pays for trunk fees on "Exccss Land" at the current rate at
time of expansion. No assessmcnt for 2005 improvements and no park fees. "Exccss Land" subject to
five-year re-verter clause.
******************************************************************************
.
.
.
EXAMPLE
PERFORMANCE MEASURE: 50,000 sq tl building qualifies for 4.59 acres at perfcmnance price
(50,000 divided by 10,890.) New market value must be $1,999,404 (4.59 X $435,600.) Create at
least 36.7 full-time jobs (8 X 4.59) at wage levels of $16.00 or greater excluding benefits.
PERFORMANCE PRICE: 4.59 acres or 199,940 sq ft Ci!} $1.00 = $199,940
MAXIMUM ACREAGE: 1) 50,000 x 2 = 100,000 sq ft. 2) 100,000 x 2 = 200,000. 3) 100,000 +
200,000 = 300,000 x .1 YXl = 45,000. 4) 100,000 + 200,000 + 45,000 .'cc 345,000 sq ft or 7.92 acres
EXCESS LAND: 7.92 LESS 4.59 = 3.33 acres or 145,055 sq ft..
EXCESS LAND PRICE: 3.33 acres or 145,055 sq ft @ $2.15 = $311,868.
* $435,600 lacre market value x 4.59 acres = $1,999,404. Annual taxes $51,009 less (5%)Adm
$2,550 = TI $48,459 X 8 years = $387,672. $193,836 NPV. (Adm = $20,400)
City Costs: $27,162 la infrastructure
$11,331 la trunk fees
$31,913 la land ***
$ 8,590 la grading
TOTAL, $78,996/a($1.R1 persqft)
Return:
$43,560 pia land ($1.00 sq. ft.)
$42,230 pia TlF
TOTAL
$85,790 pia ($1.96 per sq ft)
* * * Based on 95 net aeres
Purchase price $25,265 pia or $.58 per sq ft for120 acres
Infrastructure
Chelsea Road
Miscellaneous
School Blvd
Haul Road
TOTAL
$ 389,168
$ 258,168
$1,074,290
$ 858,750
$2,580,376
TIF
Trunk Fees
Water (120 (it? $1,685)
Sanitary (120 @? $2,142)
Storm Sewer (95 @ $6,497)
TOTAL
$ 202,200
$ 257,040
$ 617,215
$1,076,455
TIF
2
.
.
Land
120 acrcs (~! $.58 pcr sq ft
$3,031,776
UPFRONT
Grading
$ 816,000
UPFRONT
TOTAL COSTS
$7,504,607
Divide by 95 acres
$ 78,996 per acre or $1.81349 pcr sq ft
.,
.)
OCT-20-2004 10:37
,A
,WSB
.dU{e~, Inc,
; ': I, ':'
, "
. . : ~ : .~
.
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'::r['
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, ,
4150 Ols~,
Memcirlal: H11ghwa.y
Suite 300 ' :
i>'.' "r:'
'(I, JX!IF "
:~inhesota
5542~
763,541'~OO
. : t :.:~t'l,:' ':I:~I..
763._5(l1'4'}~~~AX
'.,1. '.~;. :..:~: :r~j~;.~';:~i;"l' ,. .
WSB & ASSOCIATES INC.
7632877170 P.02/03
Memorandum
To:
OUie Koropchak, City of MonticeUo
IDe Small Group
From:
Bret A. Weiss, P.E., City Engineer
Jason 1.. AbeU, P.E.
Date:
October 19,2004
Re:
Estimated Infrastructure Costs
Otter Creek IndustrUU Campus
City of MonticeUo Plllnning Project No. 2004-069
WSB Project No. 1488..92
At the last meeting we were requested to evaluate the infrastructure costs for the 120-acre site
to be acquired by the City. This site includes several wetland sites. proposed street rights-of-
way, and pond sites. The net acres of property excluding the wetlands, right-of-way, and pond
sites is estimated at 92.34 acres. The net acres will include the remaining acreage including
the sloped areas adjacent to the property lines. The following is a summary of the estimated
project costs for the anticipated infrastructure projects:
. Chelsea Road
$1,855,000 @ 21 % ::: $389,550
The City is required to pay 21 % of the street and utility improvements. This cost
was identified in the purchase agreement with Chadwick and Bowers.
. Miscellaneous Costs (Develooment Agreement)
$258,168
Several other costs were also identified in the developer's agreement that will be
split between Chadwick and Bowers and the City including the following City
share at 21 %:
Rask Property Acquisition of $1,148.468.00 (net)
90rb SrreetlIntersection
Removal of Temporary Access
Expenses for Prior Extensions:
Outlot A assessment (one-half)
Extra Depth Sewer and Stub
Acquisition on Sandberg Road
Feasibility Report
$170,123
$49,770
$5,250
$4,468
$11,022
$4,935
$12,600
. School Boulevard $762,200 (school) and $312,090 (cul-de-sac) = $1,074,290
This cost includes the proposed street and utility construction for School Boulevard
and the proposed west cul-de-sac.
{';\WPWI1N.caa.9N/EJJO.....JIJJ9/U.t/D<
Minneapolis' St. Cloud, Equal Opportunity Employer
.
.
.
OCT-20-2004 10:37
7632877170 P.03/03
WSB & ASSOCIATES INC.
Ollie Koropchak, City of Monticello
IDe Small Group
October 19, 2004
Page 2
. Haul Road
$858,750
Even though a decision has not been made to extend the haul road between
proposed School Boulevard and 90th Street, it was decided that an estimate of
project cost would be included to provide a worst case scenario.
. Future Chelsea Road
$704,200
Once traffic and development increases in the area, it is projected that Chelsea
Road will be realigned to cross Otter Creek. The cost of this realignment includes
the cost to cross Otter Creek and connect to CSAH 39 and includes proposed street
and utility construction costs.
. Grading
$1,016,000
A preliminary grading plan has been completed to estimate potential grading costs.
This grading plan will need to be reevaluated to look at possible savings; however,
the plan is adequate to determine costs at this time. Th~ cost estimate assumes
grading at one time and would be more costly to complete in partial segments.
. Trunk Fees
The trunk. fee calculation should use the net acres for rhe stann water trunk fee and
total acres for the water main and sanitary sewer trunk: fee.
Please don't hesitate to give Jason a call at 763-287-8318 if you have any questions regarding
this information. The information provided is still preliminary due to the short time frame for
completion. The information should be adequate until a more thorough grading plan and
feasibility report can be completed.
tsh/srb
F;\WPWlMJ48Jj..Q1tN/!MO.oi../OJg~
TOTAL P.03
Ollie Koropchak
From;
Sent:
&To:
.Subject:
Mark Ruff [mark@ehlers-inc.com]
Wednesday, October 27, 2004 3:55 PM
Ollie Koropchak
Revised runs
~
industrial park industrial park
model updated... model updated ...
Ollie,
I ran one with all TIF eligible buildings, which shows a good coverage but not as much as
I would like, assuming the $1 per s.f. I did not factor in the TIF paying for the trunk
fees or park fees, which I was not clear how much they were.
The second run is the no TIF. This sets a baseline price necessary to pay for land and
infrastructure, again not including trunk fees. The minimum price is $2.15 for non-TIF
land, which does not leave any room if the land sales are longer than expected. I think
we need to discuss the assumptions more, such as if the City does not charge interest on
the land. M
This email has been scanned for all viruses by the MessageLabs Em~l-il Security System.
.
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HRA Agenda - 11/03/04
6.
b.
Consideration and approval of zoniD!! for Otter Creek Business Campus for
recommendation to Plannilll! and Council.
A. Reference and back!!round:
Attached is a copy of the preliminary/final plat f()f Otter Creek Crossing to appear on the
November 1 Planning agenda and November 8 Council agenda. The colored yellow and green
areas represent the City's 120 acres for acquisition. The yellow area represents the 35 acres
acquired at closing (cash) and the green represents the remaining acres on Contract for Deed.
Closing is expected to take place after completion of platting.
The Planning Commission called for a public hearing date of December 7, 2004, to re-zone the
120 acres trom A-O to _____ Therefore, the HRA is asked to approve a
recommendation for zoning the 120 acres. The Small Industrial Group of Mary Barger, Dick
Van Allen, and Dan Frie recommended II-A (Light Industrial/l3usiness Campus.) The uses
are the same as those in a II Zone. The only difference, the II-A zone has a higher standard
ratio of exterior building material than in II zone. Under current I-I A and I-I zoning, outdoor
storage is allowed by conditional use. In an 1-2 zoning, outdoor storage is allowed.
The Small Group also discussed the potential of creating a new zone, [J-B to include some
higher standards for landscaping, irrigation, exterior building materials, outdoor/open storage.
The other option is to create covenants. The Small Group felt creating a new zoning might give
a puhlic perception that the City creates a new zone when they own land. Therefore, the Small
Group recommended the l1-A zone with covenants (next agenda item.)
Steve Grttman, Northwest Planning Consultants, attended the IDC meeting of October 28, and
presented the options: I) I I-A zoning with covenants - More difficult to enforce. 2) 11-8 -
cleaner hut future Council can change. 3) II-A or II with no covenants. The IDC tabled any
action until their December 7 meeting and requested the Small Group make a recommendation
including covenants. The most discussion centered around the addition of higher standards:
The strength/weakness of higher standards and what method to use (ordinance or covenants.)
The reason the City purchased land for industrial development is to create johs and tax base.
Is the goal to create higher paying jobs and density? Are the targeted businesses, those willing
to invest in higher standards and know their investment is protected? Will higher standards
turn businesses away? Is not the perf()[mance price worth expecting something in return? The
performance measure, zoning, and covenants will set the tone of the new husiness park and the
future of Monticello.
HRA Agenda - 11/03/04
.
B.
Alternative Action:
I. A motion to approve the recommendation of an 11-A zoning for Otter Creek I3usiness
Campus.
2. A motion to approve the recommendation of an II- B zoning for Otter Creek Business
Campus.
3. A motion to approve the recommendation of an I-lor other zoning for Otter Creek
Rusiness Campus.
4. A motion to table any action until December 7, 2004, HRA meeting.
C. Recommendation:
The Administrator and Executive Director recommend Alternative NO.1. This supports the
Small Group recommendation. The recommendation also includes the addition of covenants
(see next item.)
.
D.
Supporting Data:
Plat map and copy ofI I-A Zoning Ordinance.
.
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SECTION:
15A-l :
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15A-3:
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15A~5:
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CHAPTER 15A
"I-I A" LIGI IT INDUSTRIAL DIS'rRICT
Purpose
Permitted Uscs
Permitted Accessory Uses
Conditional {Jses
"[-IA" Design and Site Plan Standards
PURPOSE: The purpose of the I-lA, Light Industrial District is to provide for the
establishment
of limited light industrial business offices. limited light manufacturing, wholesale showrooms
and related uses in an environment which provides a high level of amenities, including
landscaping, preservation of natural features. architectural controls. and other features.
(#298, 10/13/97)
PERMITTED lJSI.::S: The following are permittcd uses in a I~IA District:
(#29R, 10/13/97)
[AI Radio and television
IHI Research laboratories
I q Trade school
ID] Machine shops
I EI Paint mixing
IFI Bus terminals and maintenance garage
10 J Warehouses
II-II Lahoratories
III Esscntial Sen.'iccs
I -'I Governmental and public utility buildings
I KJ Manufacturing, compounding. assembly, or treatment of articles or merchandise
[L I Manufacture of musical instruments, novelties. and molded rubber products
IMJ Manufacture or assembly of electrical appliances, instruments, and devices
[N] Manufacture of pottery or other similar ceramic products using only previously
pulverizcd clay and kilns fired only by electricity or natural gas
[OJ Manufacture and repair of electrical signs, advertising structure, light sheet metal
products. including heating and ventilation equipment
IPl Blacksmith, welding. or other metal shop
[Q J Laundries, carpel, and rug cleaning
[Rl Bottling establishments
1 S] Building material sales and storage
ITl Broadcasting antennae, television. and radio
[UJ Camera and photographic supplies manufacturing
[VI Cartage and express t~lcilities
MONTICELLO ZONING ORDINANCE
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Stationery, bookbinding. and other types of manufacturing of paper and related
products but not processing of raw materials for paper production
Dry cleaning establishments and laundries
Electric I ight or power generating stations, electrical and electronic products
manufacture, electrical service shops
Engraving. printing. and publishing
Jewelry manufacturing
Medical, dental, and optical laboratories
Storage or \varehousing
Wholesale business and office establishments
Commercial/professional offices
Wholesale showrooms
Conference centers
Commercial printing establishments
PERMlrrED ACCESSORY USES: The following are permitted accessory uses in a
"I-IA" District: (#298,10/13/97)
[A] Commercial or business buildings and structures for a use accessory to the
principal use but such use shall not exceed thirty (30) percent of the gross tloor
space of the principal use:
1. The parking requirements of Chapter 3, Section 5. are complied \\ith in
full.
2.
The oJT-stnx:t loading requirements or Chapter 3. Section 6. are complied
with in full.
CONDITIONAL USES: The following are conditional uses in a "I-I A" District:
(Requires a conditional use permit based upon procedures set t()rth in and regulated by
Chapter 22 of this ordinance.) (#298.10/13/97)
[A] Open and outdoor storage as an accessory use provided that:
I. The area is fenced and screened from view of neighboring residential uses
or, if abutting a residential district. in compliancc \vith Chapter 3. Section
2 [G], of this ordinance.
2. Storage is screened from view from the public right-of-\vay in compliance
\vith Chapter 3, Section 2 [G]. of this ordinance.
3. Storage area is grassed or surfaccd to control dust.
4.
All lighting shall be hooded and so directed that the light source shall not
be visible from the public right-of-way or from ncighboring residences and
shall be in compliance with Chapter 3. Section :2 [l-Ij, of this ordinance.
IVIONTICELLO ZONING ORDINANCE
15A/2
,
.
,
15A-5:
5. lhe provisions orChapter 22 of this ordinance are considercd and
satisfactorily met.
[81
Industrial planned unit development as regulated by Chapter 20 of this ordinance.
leI
Indoor limitcd retail sales accessory to office/manufacturing uses provided that:
1. Location:
(a) All sales are conducted in a clearly defined area of the principal
building reserved exclusively for retail sales. Said sales area must
be physically segregated from other principal activities in the
building.
(b) The retai I sales area must be located on the ground floor of the
principal building.
2. Sales Arca. The rctail salcs activity shall not occupy more than fifteen (15)
percent of the gross floor area of the building.
3. Access. The huilding vvh~re such use is located is one ha\'ing direct access
to a collector or artcriallevel street without the nccessity of using
residential streets.
4.
Hours. Hours or opcration me limitcd to 8:00 a.m. to 9:00 p.m. The
provisions of this section arc considered and satisfactorily met.
"1-1 A" DES[CiN AND SITE PLAN STANDARDS: Thc follo\ving minimum
requirements shall be observed in the "1-1 A" District subject to additional requirements,
exceptions, und modi lications sd forth in this chapter: (#298, 10113/97)
[A]
>f:: [B]
Lot Coverage. There shall be no minimum or maximum lot covcragc requirements
in this district. (#298, 10/13/97)
Building Type and Construction and Roof Slopc
1. Any cxposed metal or tiberglass finish on all buildings shall be limited to no
more than tiny (50) percent of anyone wall if it is coordinated into the
architcctural design. Any mctal finish utilized in the building shall be
aluminum of twenty-six (26) gauge steel, the roof slope shall be limited to a
maximum of one (1) in twelve (12) slope.
r\IONTICELLO ZONING ORDINANCF
15A/3
,
.
'-
2. In the "I-I A" District. all buildings constructed of curtain wall panels of
finished stecL aluminum. or fiberglass shall be required to be bced with
brick, wood, stone. architectural concrete case in place or pn:-case panels
on all wall surfaces. (#298. 10/] 3/97)
rCl
Parking. Detailed parking plans in compliance with Chapter 3. Scction 5. shall be
submitted for City review and approved before a building permit may be obtained.
rn-] Loading. /\ detailed off-street 10~lding plan. including berths. area. and access shall
be submitted to the City in conformance with the provisions of Chapter 3, Section
6, for review and approval prior to issuance of a building permit.
[E] Landscaping. A detailed landscaping plan in conformance with Chapter 3, Section
2 rG]. shall be submitted to the Council and approved before a building permit
may be obtained.
In addition to thc requirements of Chapter 3. Section 2 [G]. all pareels developed
along the boundary between the 1-] A zone and a residential zone shall include
planting of evergreens as a screen between I-I A and R-I uses. The evergreens
planted shall be planted every 15 feet along the property boundary.
(#298, 10/] 3/(7)
I FI
Usable ()pen Space. Every effort shall be made to preserve natural ponding areas
and t"eatures of the land to create passive open space.
leil
Signage. A comprehensive sign plan must be submitted in conformance \vith
Chapter J. Seetion 9.
Lot Requirements:
Lot Area -
Lot Width -
30.000 sq ft
I 00 feet
Scthaeks:
Front Yard -
Side Yard -
Rear Yard -
50 feet
30 feet
40 feet
(#22 L 2/24/92)
r\IONTIC'ELLO ZONING ORDIN.--\NCE
15 A/4
.
.
.
HRA Agenda - 11/03/04
6.
Consideration and approval of covenants for Otter Creek Business Campus for
recommendation to Planning and Council.
c.
A. Reference and back2:round:
THE FIRST QUESTIONS ARE: Will higher standards, make or brcak a deal? Will higher
standards, support our goals anc! help to attract our targcted businesses? (Please note the
permitted uses under the Il-A zoning.) Can we expect higher standarc!s in return for the
performance price?
Higher stanc!ards diseussed by Small Group anc!IDC:
1. Landscaping - It was the fceIing of the Small Group that thc current landscaping
requirements were sufficient: Minimum size of planting, species, and sodc!ing & ground cover.
2. Outdoor/Open storage - Grittman clarified the C!cfinition of outc!oorlopen storage to mean
any permanent stored material sueh as finished products, raw materials, trailers un-hitched anc!
parkec! vehicles not used for everyc!ay operation. Trash containers are not considered outdoor
storage and may be outsic!e but enclosed and screened. Current ordinance allows
outdoor/open storage by a eonditional use in a I-I and I-IA zone anc! is allowed in an [-2 zone.
All zones require outdoor/open storage to be screeneC!/bermec!. According to Grittman,
outc!oorlopen storage is the most difficult ordinance to enforce. Most of the communities in the
metro and surrounding areas: Becker, Big Lake, Buffalo state no outdoorlopen storage. Roger
is the same; however, they do have areas which allows outdoor/open storage, I'm told. If the
targeted businesses are like UMC, TCDC, WSI, (i-enereux, etc., no outc!oorlstorage would not
be an issue. If the desire is to attract a medical business campus or offiee complex, allowing
outdoorlopen storage does not work or mix. Where it might be a gray area is with
warehousing and distribution. (The Planning Commission is consic!cring an amenc!ment to the
Orc!inance allowing Outdoor/Open Storage at their November 1 meeting.)
3. Irrigation - Consideration was given by the Small Group to require irrigation to thc front anc!
street entry perimeters.
4. Exterior building material type - Unc!er the current I I-A zonc, the exterior material is
rcstrictec! to 50% something other than mctal on all four sic!es. Some members of the Small
Group felt this was satisfactory and to not allow partial metal or steel buildings may be too
restrictive. Big Lake and Beckcr's Phase II C!O not allow metal or steel buildings.
HRA Agenda - 11/03/04
.
Attached is a copy of the covenants for the Becker Industrial Park. In Phase II, they do not
allow metal or stccl buildings, irrigation is required, and no outdoor/open storage is allowed.
A copy was given to Grittman.
B. Alternative Actions:
[. A motion to approve the recommendation to draft covenants for Otter Creek Business
Campus (Il-A Zone) accordingly:
a) Landscaping -
b) Outdoor/Open Storage
c) Irrigation -
d) Exterior building material type -
e) Other
2. A motion to approve the recommcndation for no covenants or additional requirements
to the current [l-A Zone.
3. A motion to table any action until December I, 2004, HRA meeting.
.
c.
Recommendation:
The Administrator and Executive Director recommends Alternative No. I: Current landscaping
requirements sufficient, no outdoor/open storage, irrigation to front and street entry perimeter,
and no metal or stecl buildings. The City Planner and Community Development Dircctor
supports this recommcndation. This provides the best return of investment for the future of
Monticello, is consistent with neighboring communities, protects the investment of the business,
and supports an increase in value and tax base.
D. Supporting Data:
Copy of covenants from Becker. This can be used as a model.
.
2
OCT-27-200415:58
P.02
.
Phase I
Declaration of Protective Covenants, Conditions, and
Protections for Becker Energy Park Second Addition
This declaration is made as of September 3, 1998, and amended as of January 14.2002,
by the City of Becker, a Minnesota Municipal Corporation (the "Declaranf').
WHEREAS, Declarant is the Owner of rea! Property in the City of Becker, Sherburne
County, Minnesota, legally described as:
Lots 2,3,4.5.6 & 7, Block 1; Lots 1,3,4 & 5, Block 2; Lots 2, 3.4. 5 & 6, Block 3,
Energy Park Second Addition. City of Becker, Sherbwne County.
WHEREAS, Phase I the city has auth.orized by resolution the granting of the Becker
Economic Development Authority (hereinafter referred to "EOA") the authority to
administer these protective covenants; and
.
WHEREAS, Declaring desires to and establish covenants. conditions, and protections
which will benefit the Property tor the purpose of facilitating development of the
Property and for the purpose of protecting and preserving the value and desirability of the
Property.
WHEREAS, All Property owners are advised that they will be expected to abide by the
protective covenants herby established by the Declarant. These standards are intended to
assure the integrity of Energy Park Second Addition and protect the Property values and
adjoining Property uses. Property owners may expect the: fullest cooperation from the
City and the EDA in establishing, expanding, prospering, and enjoying their part in
Energy Park Second Addition; and
THERFORE BE IT RESOL VED THAT, The declarant declares that the Property, shall
be used, occupied, and conveyed subject tc> the covenants, conditions, and protections set
forth in this declaration., all of which. shall be binding on all Persons owning or acquiring
any right, title or interest in the Property and their heirs, personal representatives.
successors and assigns.
SECTION 1
1. DEFINITIONS
.
1.1 "Architectural Review Board" shall mean the board established pursuant to
Section 3 ofthis declaration (the "Board").
1.2 "Dedarant" shall mean the City of Becker.
1.3 "Improvements" shall mean all structures and other construction on a Lot or
Parcel for use permitted by the zoning ordinances of the City of Becker, including.
D~laration of Covenants, Conditions, and Restrictions for Becker Energy park Second Addition
OCT-27-2004 15:59
P.03
.
but not limited to. buildings. outbuildings, parking areas, loading areas. outside
platforms and docks, driveways, walkways, fences, lawns, landscaping., signs,
retaining walls, decks, railroad tracks. poles, benns and swales, and exterior
lighting.
1.4 "LQt" shall mean a portion of the propeny identified as a Lot on a subdivision plat
prepared in accordance with Minnesota Statues, Chapter 50S, and filed for
recording in the Sherburne County Recorders Office.
1.5 "Occupant" shall mean any person, other than an Owner. in possession of a Lot or
Parcel.
1.6 "Owner" shall mean the record OWller of a Lot, whether one or more Persons, but
excluding contract for deed vendors, and other secured parties. The term "Owner"
includes, without limitation, contract for deed vendors and holders of a life estate.
"Owner shall mean the record Owner of a Lot, whether one or more persons, but
excluding contract for deed vendors, mortgagees. and other secured parties. The
tenn '"'Owner" includes, without limitation, contract for deed vendees and holders
of a life estate.
1.7 "''"Person'' shall mean a natural individual. corporations. Limited Liability
Company, partnership. trustee, or other legal entity capable of holding title to real
Property.
1.8 "Property" Property shall mean all of the Real Property submitted to the
provisions of this Declaration, including all improvements located on the real
property now or in the future. The Property as of date of this Amendment which is
subject to the Phase I declarations is legally described as: Lots Two (2), Three (3),
Four (4), Five (5), Six (6), and Seven (7), Block One (1), Energy Park Second
Addition; Lots One (1). Three (3). Four (4), and Five (5), Block Two (2) Energy
Park Second Addition; Lot Four (4). Block One (1), Becker Furniture World First
Addition., City of Becker, Sherburne County. Minnesota.
1.9 "Street" shall mean a portion of the Property dedicated to the public and shown
as a Street on a subdivision plat prepared in accordance with Minnesota Statues
Chapter 505 and filed for recording in the Sherburne County Recorder's Office.
.
SECTION 2
2. STANDARDS FOR CONSTRUCTION AND MAINTENANCE
.
2.1 Minimum Standards
The minimum standards for the construction. alteration, and maintenance of
Improvements on the Property shall be those set forth by the City of Becker and
any other governmental agency which may have jurisdiction over the Property.
All Improvements on the Property shall conform to the then existing building
codes in effect for the City of Becker and shall be in compliance with all laws,
rules and regulations of any governmental body that may be applicable,
including, without limitation. environrnentallaws and regulations. Where the
following restrictive covenants afe more stringent than the zoning ordinances, .
other laws and regulations of the City of Becker or any other applicable
Dee laration of Covenants, Conditions, and RestriCtions for Becker Energy park Second Addition
OCT-27-2004 15:59
P.04
.
government agency. the restrictive covenants contained in this Declaration shall
govern and become minimum standards by which the Improvements and
maintenance of them shall be controlled.
2.2 Use
Use shall be industrial in nature. No lot may be used for the following
putposes: auto salvage yard; used material yard; exposed open sales or storage;
any use that would create an excessive amount of sewage or runoff, or quality
of sewage or runoff that would cause a disposal problem; unscreened outdoor
storage of material; or the manufacture, storage, or sale of explosives or similar
dangerous products.
2.3 Building Quality and Materials
Each building located on a Lot shall be built with high quality and tirst-class
building materials. The design and location of buildings constrUcted on a Lot
shall be attractive and shall compliment existing structures and the surrounding
natural features and topography with respect to height, design. finish, color,
size. and location.
.
2.4 Maintenance
Each Owner and Occupant of a Lot shall fully and properly maintain and repair
the exterior of any structure located on such Lot in such a manner as to enhance
the overall appearance of the Property. The exteriors of aU buildings and the
parking, driving, and loading areas shall be kept and maintained in a good state
of repair at all times and be adequately maintained or otherwise finished in
accordance with the guidelines established by the Board. All Lots shall be kept
tree of debris of any kind and all landscaping must be kept in good repair. All
landscaped areas shall be graded to provide proper site drainage. Landscaped
areas shall be maintained in neat condition, lawns mowed, and adequately
watered in swnrner, hedges trimmed. and leaves raked.
2.5 Construction
Construction or alteration of any Improvement on a Lot shall be diligently
pursued and shall not remain in a partly finished condition any longer than is
reasonably necessary for completion of the construction or alteration. The
owner and Occupant of any Lot upon which Improvements are constructed
shall, at all times. keep the Lot and Streets being utilized by such owner in
connection with such construction. free from dirt, mud. garbage, trash, or other
debris which might he occasioned by such construction or alteration. No
parking is allowed on Streets during construction.
.
2.6 Noxious Activities
No trades, services, activities, operations. or usage shall be permitted or
maintained, nor shall anything else be done which may be or may become a
nuisance to Owners or Occupants, or offensive or detrimental to the Property
by reasons of:
Declaration of Covenants, Conditions. and Restrictions for Becker Energy Park Second Addition
OCT-27-2004 16:00
1-'.1::1::'
e
A. Unsightliness, or
B. The emission of fumes, odors, glare, vibration, gases, radiation, dust, liquid
wastes, smoke or noise of a nature and quantity prohibited by laws of the
State of Minnesota and the Unitcd States.
2. 7 Temporary Structure
Trailers, temporary construction buildings, and the like, shall be permitted only
for construction purposes during the period of construction or alteration of a
permanent building. Such structures shall be placed as inconspicuosly as
practical and shall be removed not later than 30 days after the date of the
substantial completion of the building.
.
2.8 All Mechanical Equipment! Structures
All mechanical equipment shall be located to screened so as nOl to be visible
from the Streets. Penthouses and mechanical equipment screening shall be
aesthetically incorporated into the architectural design of each building and.
shall be constructed with materials compatible with those of the building.
Mechanical equipment located on a rooftop may be painted to be compatible
with the building, rather than screened, if expressly allowed by the Board. No
private water towers. water tanks, elevator housing, equipment, roof signs,
towers, or gravity flow storage shall be permitted without the written approval
of the Board.
2.9 Building Density
Buildings, enclosures, park.ing areas, driveways, and other surfaced, non-
vegetated areas shall not cover, in the aggregate, more than 75% of the area of
the Lot.
2.10 Screening of Service Facilities and Storage
Garbage and Refuse containers and compactors shall be contained within
buildings, or shall be concealed by means of shrubbery or screening walls of
materials similar to and compatible with that of the buildings_ Fuel and other
storage tanks shall be integrated with the concept of the building plan, to be
designed so as to not attract attention, and be inconspicuously located. Unless
specifically approved by the Board, no materials, supplies. or equipment shall
be stored in any area in a Lot except inside a closed building or behind a visual
barrier which screens such areas so they are not visible from the Streets if from
the front yard of adjoining Lots.
e-
2.11 Underground Electric
All electrical lines on any Lot (excluding lines in excess of 12 lev) and all
telephone lines on any Lot shall be placed underground. Transformer or
tenninal equipment shall be visually screened from view of the streets and
adjacent lots.
Declaration of Covenants, Conditions. and Restrictions for Beck.er Energy Park Second Addition
OCT-27-2004 16:00
1-'. lOb
.
2.12 Parking. Loading, and Uploading Areas
No parking shall be permitted on any Street or any place other than parking
areas located on a Lot. All parking provided on a Lot must meet the
requirements of city codes and ordinances, or the requirements of variances
granted by the City. All parking provided on Lot shall be adequate for the use
of the Lot. Each Owner or Occupant shall enforce compliance of the foregoing
parking restrictions by its employees and visitors. Loading areas should be
made as aesthetically pleao;ing as possible.
2.13 Exterior Lighting and Signage
All exterior lighting and signage shall be approved by the Board and shall be
constructed or maintained in accordance with the following standards:
A. Lighting lixtures shall not be more than 35 ft. in height.
B. Flood lighting of buildings shall be limited to conccaled light sources.
C. Lighting shall be installed and maintained in such a manner as to minimize
glare onto Lots and Streets.
.
2.14 Landscaping
All pervious surfaces of a Lot shall be landscaped by means of lawn and/or
other groWld cover, combined with shrubbery, trees, and the like, which may be
complimented with earth berm, masonry, or similar materials. all harmoniously
combined with themselves and with other Improvements on the Lot.
Landscaped areas shall be service by an underground irrigation system as
required and approved of by the Board.
SECTION 3
3. ARCHITECTURAL CONTROL
.
3.1 Arthitectural Review Board
The Board shall be comprised of the six members to be determined as follows:
One (1) member shall be from Becker EDA. One (1) member of the original
Industrial Park business/Property Owners, One (I) member from the new
Industrial Park business/Propeny Owners, One (1) member shall be from Xcel
Energy, One (1) member shall be an expert in the field of architecture
appointed by the City Council (non-voting). One (1) shall be a member of the
Becker Planning Commission. The term of the Owner members shall be one
year, beginning on April I following their election. If a vacancy of an owner
occurs on the Board, the remaining members shall elect a replacement who will
serve the remainder of the term. The term of all other members shall be one
year, beginning on April 1 following their appointment. A regular meeting of
the Board may be called as needed by the Board Chair, EDA. Staff, or any
member of the Board. Notice of such meeting shall be given two (2) working
days prior to such meeting.
Declaration of Covenants. Conditions, and Restrictions for Becker Energy Park Second Addition
OCT-27-2004 16:01
r.IO:Jr
.
The Board Chair Person of the Architectural Review Board shall annually call
a meeting of all Owners to be held in the month of March at which meeting the
Owner member of the Board shall be elected. The Board Chair Person shall
give at least thirty days, but no more than 909 days, written notice of each such
meeting. At each meeting, each Owner shall have one vote per Lot owned.
The presence in person. or by proxy, of the holders of a maj ority of the votes
shall constitute a quorum at a meeting of the Owners. Cumulative voting shall
not be allowed.
3.2 Restrictions on Construction and Alteration
No building, addition, site improvement, or exterior Property improvement of
any kind shall be considered until Preliminary Plans have been approved by the
Board.
3.3 Review Procedures
The following procedures shall govern requests for construction of
Improvements or alteration under this Section:
A. Preliminary Plan shall consist of:
.
I) A site plan indicating the location of the building or improvement
on the Lot and clearly designating the size and location of Parking,
Loading Areas, and Access Drives.
2) A schematic floor plan showing the general usage inside the
building.
3) Exterior elevations of the building screening indicating exterior
materials and configuration of the materials and colors on all sides
of the building. Elevations of the loading area. screening or large
mechanical and electrical components and waste screening shall
also be provided.
B. Final Plan shall consist of:
1) A site plan indicating the location of the building or improvements
on the Lot and clearly designating the size and location of Utility
Services, Yards, Waste Stoliage, Exterior Lighting, Easements,
General Storm Drainage and Grading, Paving Materials, Storage
Areas, Waste and Storage Screening, and Landscaping. All signagc
on site other than traffic control shall be defined.
2) Building Sections showing the proposed structural system,
mechanical, and other screening and typical construction heights.
.
The Board shall give the Owner written notice of approval or disapproval.
Approval shall consist of a simple majority. Written notice of disapproval
shall indicate reasons for disapproval and shalL if practicfe, specify the
Ot::cl.aration ofCovenaots, Conditions. and Restrictions for Becker Energy Park Second Addition
OCT-27-2004 15:01
t-'.~l::l
.
aspects of the request for construction or Improvements or alterations
which are not acceptable. [fthe Board fails to approve or disapprove after
thirty days after the receipl of said plans and specifications and all other
information requested by the Board, then approval will not be required,
and this Section shall be deemed to have been fully complied with so long
as Improvements or alterations are done in accordance with the plans.
specifications, and related information which were submitted.
3.4 Remedies for Violations
The Board may undertake any measures, legal, or administrative, to enforce
compliance with this Seclion and shall be entitled to recover, from the Owner
causing or permitting the violation, all attorneys fees and costs of enforcement,
whether or not Q legal action is started. Such attorney's fees and costs shall be
a lien against the Owner's Lot and a personal obligation of the Owner.
Declarant does not have an obligation to enforce the protective covenants, but
may do so Wider Section 6.1
3.5 Development Guidelines
The Board may from time to time adopt guidelines for approval and
disapproval of proposed Improvements or alterations and the maintenance of
them; and, in the event such guidelines are adopted, shall make them available
to all Owners.
.
SECTION 4
4. GENERAL TERMS
4.1 Nature and Term
The protective covenants hereinafter set forth shall be considered as covenants
running with the land, to be binding on all Persons claiming under them and
run fOf a period of twenty (20) years from the date of filing with the Sherburne
County Registrar of Titles Office at which time the protective covenants shall
he automatically fenewed for successive periods often (10) years unless, prior
to the renewal elate, the Owners of seventy-five percent (75%) or more of the
Lots agree in writing that the covenants shall tenninate at the end of that
period. There shall be no requirement for consent or vote of any contract or
vote of any contract far deed vendors, mortgages or other secured parties.
.
4.2 Amendments
This Declaration may be amended, modified, or terminated by an instrument in
writing, executed by the holders of 80% of the Lots. Each Lot shall be
considered to have one vote. An amendment shall not require the consent or
vote ofa Contract for Deed vendor. mortagee, or Olher secured panies. An
instrument executed in accordance with this Section shall be effective when
filing for re~ording with the Sherbwne County Registrar afTitles Office.
Declaration of Covenants, Conditions, and Restrictions for Becker Energy Park Second Addition
.
.
.
OCT-27-2004 16:02
r,lU.:J
4.3 Severability
If any term, covenant or provision of this instrument, or an exhibit attached to it
is held to be invalid or unenforceable for any reason whatsoever. such
determination shall not be deemed to alter, affect. or impair, in any roarmer
whatsoever, any other portion of this document or exhibits.
4.4 Construction
Where applicable, the masculine gender of any word used in this Declaration
shall mean the feminine or neutral gender, or vice versus. and any singular
word used in this Declaration shall mean the plural, or vice versus.
4.5 Mortgages
The provisions of this declaration shall be subordinate to the lien ofa first
mortgage on any Lot and none of the provisions of this Declaration shall
supersede or in any way reduce the security or affect the validity of any such
mortgage; provided, however, that if any Lot is sold under foreclosure of any
such mortgage, the purchaser and the purchaser's heirs, successors and assigns,
shall own such Lot, subject to all of the covenants. conditions, and restrictions
of this document.
4.6 Dues/Assessments
The Owners of Lots shall not be required to pay any dues in connection with
the covenants, conditions and restrictions imposed by this Declaration. Special
assessments may be levied on any Lot. by the City of Becker. for Public Works
projects.
SECTION 5
5. ECONOMIC DEVELOPMENT AUTHORITY
5.1 Duties
The EDA will continue to have authority to act upon proposals from time to
time that are submitted to it
5.2 LiabiUty
Neither the City, the EDA, nor any officer or members of the Board hereof
shall be liable to any Owner or Owners Association for any damages. loss, or
prejudice: suffered or claimed on account of:
A. The approval or rejection of any plans, drawings, and specification,
whether or not defective.
B. The construction or performance of any work, whether or not pursuant to
approved plans, drawings. and specifications.
C. The development or manner of development of any Property within the
City.
Declaration of Covenants, Conditions. and Restrictions Cor Becker Energy Park Second Addition
.
.
.
OCT-27-2004 16:02
SECTION 6
6. COVENANT ADMINISTRATION
6.1 Enforcement
The Declarant, EDA, owners of Lots and the Board shall each, either acting
separately or in common., have the authority to bring action for specific
performance or injunctive relief to enforce any protective or servitude
contained herein.
6.2 Adoption
These Protective Covenants become effective upon their passage. Adopted
this _ day of , _ by the Becker City Council.
6.3 Non-Applicability to Governmental Owned Lots
Section 2 Standards for Construction and Maintenance, Section 3.2
Restrictions on Construction and Alterations, and Section 3.3 Review
Procedures of Declaration shall not apply to Lots owned by the City of
Becker and any governmental or quasi-governmental entity.
Declaration of Covenants, Conditions. and Restrictions for Becker Energy Park Second Addition
r.J.~
TOTAL P.10
.
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
TaxIDNo.41~1225694
October 22, 2004
Statement No. 63524
City of Monticello
Accounts Payable
505 Walnut Street, Suite 1
Monticello, MN 55362
Through September 30, 2004
MN190-00101 General HRA Matters ~ ~lf'..--~
MN190-00114 Twin City Die Casting Business Subsidy Compliance Issues. ~
MN190-00115 LandmarkSqUare(~VeIOP~ ~ - _
~~~-~~
.
Total Current Billing:
I declare, under penalty of law, that this
account, claim or demand is just and co rect
and that no p of it has been paid.
~p)l~~ 2;04~ ~ii'm
." "- ,) "'W~ I
I: '
f
45.00
123.00
90.00
258.00
.
.
.
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
41-1225694
October 22,2004
Invoice # 63524
3d ~ 0
~o \.
~tL J
City of Monticello
f?- \ "3 .
Accounts Payable
505 Walnut Street, Suite 1
Monticello, MN 55362
MN190-00101
General HRA Matters
Through September 30, 2004
For All Legal Services As Follows:
9/29/2004 SJB Phone call with 0 Koropchak re: home loan program
Total Services:
Hours
0.25
$
Amount
45,00
45.00
Total Services and Disbursements: $
45.00
.
Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402 ~
~
City of Monticello
September 30, 2004
~
MN190-00114 Twin City Die Casting Business Subsidy Compliance
Issues,
Through September 30,2004
For All Legal Services As Follows:
9/3/2004 EMT Review contract for development iwth City, small cities
loan agreement, amendments thereto, fax from City,
9/29/2004
SJB Phone call with 0 Koropchak re: job cov questions
Total Services:
.
Total Services and Disbursements: $
.
.,--
Hours
0.60
0,20
$
Amount
87,00
36.00
123.00
123.00
.
Page: 3
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
September 30, 2004
N'~
(" \ _'d- r::L--
\,~T
~~.~ II:
MN 190-00115
Landmark Squar (Commercial Development
Through September 30, 2004
For All Legal Services As Follows:
9/1/2004 SJB Phone call with O. Koropchak re: land acquisition, new
TI F District.
Hours
0.20
9/14/2004
SJB Phone call with 0 Koropchak re: qualifications for
redevelopment district; email statutes
Total Services:
0.30
$
.
Amount
36.00
54.00
90.00
Total Services and Disbursements: $ 90.00
.
.
City of Monticello
Accounts Payable
505 Walnut Street, Suite 1
Monticello, MN 55362
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470.
Minneapolis, MN 55402
(612) 337-9300
Tax 10 No. 41-1225694
September 29,2004
Statement No. 63081
Through August 31,20.04
MN 190-0.0.114 Twin City Die Casting Business Subsidy Compliance Issues.
.
260..0.0
Total Current Billing:
2QO.OO
I declare, under penalty of law, that this
account, claim or demand is just d correct
and that no part of it has been p Id
, ,
-: j
!, ~
, ,
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,
OK TO PA Y?~.!_!I,.~-
Code: ~~? ~\~,.,~~?-\o .?e~'C
\nitial~_,.\.Q.:-\,,~
Monticello HRA
505 Walnut Avenue, Suite 1
Monticello, MN 55362
.
October 10, 2004
MC100-01
General
Invoice # 23076
Professional Services
,-, \ \^--' + .
,J2.t.l-lo....Q,..v.... l.V ~C:t.....~ c....~ 'l ~
Hours Amount
9/24/20.0.4 MTR Discussions on T1F
0..50.
62.50.
Total Due This Month:
0..50.
$62.50.
Status of Account:
Current
$62.50.
30. Days
$0..0.0.
60. Davs
$0.,0.0.
90. Days
$0..0.0.
120.+ Days
$0..0.0.
Total
$62.50.
.
~\~. '--\~Oa \..
l\ 0 ~ <1.
~
\0- \'-\ -OL..l
PLEASE KEEP WHITE COpy FOR YOUR FILE AND REMIT PINK COpy WITH PA YMENT TO:
.
o
EHLERS
& ASSOCIATES INC
30.60. Centre Pointe Drive
Roseville, MN 55113-110.5
651.697.850.0.
.
.
.
HRA Agenda - 11/03/04
8.
Economic Development Report:
a) Industrial Leads -
- Dahlheimer Distributing - A proposal was prepared and presented to the Dahlheimer's on
September 28. The proposal included a price ftJr land located within the Otter Creek Business
Campus. The performance price is based on the preliminary draft of the Perf()rmanee
Measure. Dahlheimer is interested in the Monticello proposal (offer). Hard core decisions will
be made upon final go-ahead for development of interchange and existing property.
- 28,000 sq 11: manufacturing facility - Only four request for proposals were submitted.
Company owners out looking at sites, no selections at this time. Monticello furthest out of four
locations. Currently this rubber products and rubber coated rollers manufacturer is located in
Plymouth. The Monticello Prospect Team will visit their existing facility prior to any final offers.
- 2,000-5,000 sq ft for purchase or lease - This ND business was looking for space to
purchase or lease. Distribution of coffee and kitchen supplies. Gave Tapper and Barger phone
numbers. Follow-up: f()Und 5,000 sq 11: existing building in Big Lake to purchase.
- No additional follow-up from Chicago firm or party looking to invest in 51,000 sq ft industrial
condominium facility.
- 50,000-60,000 sq ft for lease or build - warehouse plus office. About 50 jobs.
- Precision manufacturer, a client of a lender, looking for sites. Will give my name and number.
- Eden Prairie call/collection company looking at vacated Fingerhut office building to purchase
from Winkelman Builders. Looking at EDA loan.
- Standard Iron and Walbord, Inc. elosing scheduled for November 4. Standard Iron has a 4-
year lease back on otlice. Retains lot to east.
- Suburban and Sunny Fresh expansions continue.
- Tire Service Equipment Mfg Company expanding by 12,000 sq ft.
- Met with Erik Fjerdingstad of Norway. Erik was plant manager of the II-Window and he
and his family lived in Monticello for some years.
- Industrial space available for lease: 20,000 sq ft H- Window building - call Bill Tapper, 7,000
sq ft in Genereux building, call Rill Tapper. 5,000 sq ft in B&B Metal Stamping building, call
Brad Barger.
b) Remember the City of Monticello has not been marketing for industrial development as
existing ready-to-go land is limited to a few acres. Upon closing, establ ishment of zoning,
covenants, performance measure, and asking price, the Marketing Committee will develop
marketing materials and actively market Monticello and the Otter Creek Business Campus.
For the last year or so, the city has been in a re-acting mode rather than a pro-active mode.
c) October 25 - Rick and myselfwill meet with BRA Attorney Steve Bubul and Ehlers
Consultant Mark Ruff to review performance measure and process for infrastructure
development and bonding to assure infrastructure costs qualify for TIF. Also will discuss,
one-stop shop process for site location, purchase, platting and closing.
d) Draft copy of Site Location and Development Guide completed.
e) Front Porch - In conversation with Mike Cyr, after a dry spell they now have an additional
five town homes sold. The Finance Department billed Front Porch for the HRA admin over-
run costs with an interest rate bctor.
BRA Agenda -11/03/04
.
f) Copy of letter relative to close-out decertified districts. Copy of check to County.
g) The voice-mail of Barry Fluth states: Will return to the office on November 6. No update.
.
.
2
October 7,2004
MONTICELLO
Rick Wolfsteller, City Administrator
City of Monticello
505 Walnut Street, Suite 1
Monticello, MN 55362
Re: Closc-out of decertified TIF Districts.
Dear Rick:
.
Per the recommendation of Mark Ruff, Ehlcrs & Associates, the BRA approved closing the following
dccertified IIF Districts in 2004. Thc Administration Expenses have been verified or adjusted to meet
10% ofthc actual increment expenditures. Listed below are each TIF District, deccrtillcation date,
and tax increment balancc to be paid to the County of Wright prior to December 1, 2004. When the
County reimburses the City for its share, the HRA requested the funds be deposited in the Industrial
Development Reserve Fund.
TIF DISTRICT NO. (CountY)
DECERTIFICA TION
DATE
TAX INCREMENT
BALANCE
1-13 Standard Iron (76)
08/04/2004
$141,724
1-14 Suburban (70)
08/07/2002
$ 12,904
1-15 Custom Canopy (73)
02/05/2003
$ 39,000
1-17 Fay Mar (78)
10/06/2004
$ I 0 1,852
1-21 Lake Tool (621)
10/06/2004
$ 14,651
TOTAL
$310,131
.
Monticello City Hall, 505 Walnut Street, Suite 1, Monticello, MN 55362-8831 . (763) 295-2711 · Fax: (763) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (763) 295-3170 . Fax: (763) 271-3272
.
.
.
Mr. Wolfsteller
October 7, 2004
Page 2
Should you have any questions, please see me. Thank you for your immediate attention to this matter.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FORTHE CITY OF MONTICELLO
C:J~ ~< cJ",L~~
Ollie Koropchak
Executive Director
c: Auditor's Office, Wright County
File
CITY OF MONTICELLO
ACCOUNTS PAYABLE
505 WALNUT STREET. SUITE 1
MONTICELLO, MN 55362
763-295.2711
DATE
17-1
9'iO
NO. 80091
WELLS FARGO BANK
MONTICEllO. MINNESOTA 55362 '(763) 295-2290
CHECK NO. AMOUNT
10/14/2004 80091 $310,131.00
THREE HUNDRED TEN THOUSAND ONE HUNDRED THIRTY ONE AND 00/100 DOLLARS
PAY TO
THE
ORDER
OF
WRIGHT CO AUDITOR-TREAS
WRIGHT COUNTY COURTHOUSE
10 N.W. 2ND STREET ROOM 230
BUFFALO MN 55313
111080011.11- 1:011 1.0000 .111:
? bOO 0 I. ? II-
,-
VENDOR 000219 WRIGHT CO AUDITOR-TREAS
10/14/2004
CHECK
80091
"'\
FUND & ACCOUNT
P.O.# INVOICE
DESCRIPTION
AMOUNT
213.46513.3730
213.46514.3730
213.46515.3730
213.46517.3730
213.46521.3730
DECERTIFY
DECERTIFY
DECERTIFY
DECERTIFY
DECERTIFY
TIF 13 STD IRON 141,724.00
TIF 14 SUBURBAN 12,904.00
TIF15 CUSTOM CANOP 39,000.00
TIF 17 FAY MAR 101,852.00
TIF 21 LAKE TOOL 14,651.00
.
TOTAL
310,131.00
.
'-
CITY OF MONTICEllO. MONTICEllO, MN 55362
.
.
~
CONFmMATION OF DECERTIFIED TIF DISTRICT
c'Il,I",,,,
\;.J' .iJ k
\ D~' fi\rtJ L\
(To be completed by the TIF Authorized Representative)
County AuditorlTreasurer's Name: \2..0 ~ e x-:, \\ ~ " \ \ <.\ ,\ Q...
'd- c.;'~
~x<:J S~~\~
Date:
County Name and Address:
\0 ~W
"\?; u ~~c..-\ 0 '\
The auditors from the TIP, Investment & Finance Division of the Office of the State Auditor (OSA) are
reviewing our compliance with requirements of the TIP Act relating to decertification of the following
TIF district. Please confirm directly to them the actual decertification date,the amount of excess tax
increment returned to the county, if any.
TIF Authority Name: ~"r\ 1'\ ~,;-t \~ ~ J e...- \ \ 0
TIF District # and Name: \- '\ \\J 'If\: \0 C:.. CJ
v\~\\
C ').. ~ ')
TIF District Type:
e C b \J'y\"" 1:';.",' C--
c- .,' ().
, ') - .~ - \. -, ,~ ~
Certification Date:
Required Decertification Date:
~-d-'\- \C\.C\'\
Information to be confirmed:
1, Actual decertification date:
?-,~."") '\ - \qq "l
2, Final tax increment distribution date " }.. - /~ - \ C\.. 0.. lc and amount $ it- ~ 5) ~ C\ \..t ,'\ g
3. Amount of excess tax increment returned to the county, if any $ ~O i "?J \0 ':L. and date \ - q. - "&- <00 "'i
Please indicate in the space provided below whether the above information is in agreement with your
records. If it is not, please furnish the TIF auditors any information you have that will help them verify
our compliance. After signing and dating your reply, please mail it directly to the following address:
Office ofthe State Auditor - TIF, Investment & Finance Division
525 Park Street, Suite 500 St. Paul, MN 55103
If you have any questions, please call the TIF Office at (651) 296-4716.
Signature: C00cl~ \~ if) 0 \: '- ~
Name and title of the TIF authority representative: D ~ \ ~ ~, \~ b ISO ~ G~ CL \(.
Date: '\ t),~ 1\ ~,\) L..{
\\ \L It\ t::'( Q G..it I \i--Q.., 'V v\ Qi tJ \'
(To be completed by county representative)
On behalf of the county auditor/treasurer, I certify that the above information regarding decertification
of this district is correct with the following exceptions (if any):
Signature: ~ Cf.~
Name and title of the county representative: '-P~ ~Cl1?
Phone: 1 (P3 - (p f ~.~ 751 D Exceptions? ~ No
Date:
/o-~ 8 -0 'f
DYes
If yes, please describe below: