City Council Resolution 1994-36Councilmember cent Herbst introduced the following resolution, the
reading of which was dispensed with by unanimous consent, and moved its adoption:
CITY OF MONTICELLO
WRIGHT COUNTY
STATE OF MINNESOTA
RESOLUTION NO. 94-36
A RESOLUTION RELATING TO THE
MODIFICATION, BY THE HOUSING AND
REDEVELOPMENT AUTHORITY IN AND FOR THE
CITY OF MONTICELLO, OF THE REDEVELOPMENT
PLAN RELATING TO REDEVELOPMENT PROJECT
NO. 1, THE MODIFICATION OF THE TAX
INCREMENT FINANCING PLANS RELATING TO
TAX INCREMENT FINANCING DISTRICTS NO. 1-1
THROUGH 1-17, SPECIFICALLY TAX INCREMENT
FINANCING DISTRICT NO. 9, ALL LOCATED
WITHIN REDEVELOPMENT PROJECT NO. 1, AND
THE APPROVAL AND ADOPTION OF THE TAX
INCREMENT FINANCING PLANS RELATING
THERETO.
BE IT RESOLVED, by the City Council (the "Council") of the City of
Monticello, Minnesota (the "City"), as follows:
Section 1. Recitals.
1.01. It has been proposed and adopted by the Housing and
Redevelopment Authority (the "Authority") in and for the City that the
Authority modify, by increased Project costs, Redevelopment Project No. 1,
pursuant to and in accordance with Minnesota Statutes, Sections 469.001 to
469.047, inclusive, as amended. It has been further proposed and adopted
by the Authority that the Authority modify the Tax Increment Financing Plans
for Tax Increment Financing Districts No. 1-1 through 1-17, specifically Tax
Increment Financing District No. 9, located within Redevelopment Project
No. 1, and approve the Tax Increment Financing Plans relating thereto,
pursuant to and in accordance with Minnesota Statutes, Sections 469.174 to
469.179, inclusive, as amended.
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Resolution 94-36
1.02. The Authority has caused to be prepared and this Council
has investigated the facts with respect thereto, a proposed Modified
Redevelopment Plan (The "Modified Redevelopment Plan") for
Redevelopment Project No. 1, defining more precisely the increased Project
costs to be made to Redevelopment Project No. 1, and the proposed Modified
Tax Increment Financing Plans for Tax Increment Financing Districts No. 1-
1 through 1-17, specifically Tax Increment Financing District No. 9
(collectively referred to as the "Plans").
1.03. The Authority and the City have performed all actions
required by law to be performed prior to the modification of Redevelopment
Project No. 1, and the modification of Tax Increment Financing Districts
No. 1-1 through 1-17, specifically Tax Increment Financing District No. 1-9
and the adoption of the Plans relating thereto, including, but not limited to,
notification to Wright County, Independent School District No. 882 and the
Monticello -Big Lake Community Hospital, having jurisdiction over the
property to be included in Tax Increment Financing District No. 1-9 and the
holding of a public hearing upon published and mailed notice as required by
law.
1.04. The Authority hereby determines that it is necessary and in
the best interest of the City at this time to modify Redevelopment Project
No. 1, and to modify Tax Increment Financing Districts No. 1-1 through 1-
17, specifically Tax Increment Financing District No. 9 and approve the
Plans relating thereto, contingent upon execution of the Redevelopment and
Assessment Agreements by and between the Housing and Redevelopment
Authority of the City of Monticello and William R. Tapper and Barbara R.
Tapper.
Section 2. Findings for the Modification of Redevelopment Proioect
No. 1, and Modification of Tax Increment Financing Districts No. 1-1
through 1-17, specifically Tax Increment Financing District No. 1-9.
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Resolution 94-36
2.01. The Council hereby finds, determines and declares that the
modification of Tax Increment Financing Districts No. 1-1 through 1-17,
specifically Tax Increment Financing District No. 1-9, all located within
Redevelopment Project No. 1, is intended and, in the judgement of the
Council, its effect will be, to further provide an impetus for commercial and
industrial development, increase employment and otherwise promote certain
public purposes and accomplish certain objectives as specified in the Modified
Tax Increment Financing Plans for Tax Increment Financing Districts Nos.
1-1 through 1-17.
2.02. The Council hereby finds that Tax Increment Financing
District No. 1-9 does meet the requirements of an Economic Development
District pursuant to section 469.174, subdivision 12, in that it consists of any
project, or any portions of a project which the Authority and City finds to be
in the public interest because:
(a) It will discourage commerce, industry or manufacturing from moving
their operations to another state; or
(b) It will result in increased employment in the municipality; or
(c) it will result in the preservation and enhancement of the tax base of the
municipality.
2.03. The Council finds, determines and declares that the
proposed development, in the opinion of the Council, would not occur solely
through private investment within the reasonably foreseeable future and,
therefore, the use of Tax Increment Financing is deemed necessary.
2.04. The Council finds, determines, and declares that the
proposed Tax Increment Financing Plan for Tax Increment Financing District
No. 1-9 will afford maximum opportunity and be consistent with the sound
needs of the City as a whole for the development or redevelopment of
Redevelopment Project No. 1 by private enterprise.
2.05. The Council further finds, determines and declares that the
City made the above findings stated in Section 2 and has set forth the reasons
and supporting facts for each determination in writing, attached hereto as
Exhibit A.
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Resolution 94-36
2.06. The Council determines and declares that Redevelopment
Project No. 1 is hereby modified, and that Tax Increment Financing Districts
No. 1-1 through 1-17, specifically Tax Increment Financing District No. 9
are hereby modified, contingent upon the execution of the Redevelopment and
Assessment Agreements by and between the Housing and Redevelopment
Authority of the City of Monticello and William R. Tapper and Barbara R.
Tapper.
Section 3. Adoption of Respective Plans.
3.01. The respective Plans presented to the Council on this date
are hereby approved, contingent upon execution of the Redevelopment and
Assessment Agreements by and between the Housing and Redevelopment
Authority of the City of Monticello and William R. Tapper and Barbara R.
Tapper shall be placed on file in the office of the City Administrator.
Section 4. Implementation of the Modified Redevelopment Plan and
Modified Tax Increment Financing Plans.
4.01. The officers of the City, the City's financial advisor,
underwriter and the City's legal counsel and bond counsel are authorized and
directed to proceed with the implementation of the respective Plans and for
this purpose to negotiate, draft, prepare and present to this Council for its
consideration all further plans, resolutions, documents and contracts necessary
to accomplish this purpose.
The motion for the adoption of the foregoing resolution was duly
seconded by Councilmember Warren Smith , and upon vote being taken
thereon, the following voted in favor thereof:
Clint Herbst, Warren Smith, Shirley Anderson, Dan Blonigen
And the following voted against the same: Brad Fyle
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Aesolution 94-36
Whereupon said resolution was declared duly passed and adopted, and
was signed by the Mayor and attested to by the
Dated: November 28, 1994
Attest:
City Admi 'strator
(SEAL)
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EXHIBIT A TO RESOLUTION NO. 94-36
The reasons and facts supporting the findings for the modification of the
Tax Increment Financing Plan for Tax Increment Financing District No. 1-9
as required, pursuant to Minnesota Statutes, Section 469.175, Subd. 3, are
as follows:
1) Finding that Tax Increment Financing District No. 1-9 is an "Economic
Development District" as defined in Minnesota Statutes, Section
469.174, Subd. 12.
Tax Increment Financing District No. 1-9 consists of one parcel which
does not meet the requirements of a redevelopment district, mined
underground space development district, housing district or soils
condition district. The Authority and the City find Tax Increment
Financing District No. 1-9 to be in the public interest because:
(a) It will discourage commerce, industry or manufacturing from
moving their operations to another state; or
(b) It will result in increased employment in the municipality; or
(c) it will result in the preservation and enhancement of the tax base
of the municipality.
2) Finding that the proposed development, in the opinion of the Council,
would not occur solely through private investment within the reasonable
foreseeable future, and therefore, the use of Tax Increment Financing
is deemed necessary.
City staff has reviewed the costs for this development. Due to the cost
of site preparation and lender requirements for subordinations, the
project would not be financially feasible without the City's assistance.
Wm
Exhibit to Resolution 94-36
3) Finding that the Tax Increment Financing Plan for Tax Increment
Financing District No. 1-9 will afford maximum opportunity, consistent
with the sound needs of the City as a whole, for the development of
Redevelopment Project No. 1 by private enterprise.
The project to be developed, which will be located within Tax
Increment Financing District No. 1-9, consists of an 18,000 square foot
expansion of the company's 26,650 square foot office/manufacturing
facility. This project is expected to begin in 1995 and be substantially
completed by January 2, 1996.
4) Finding regarding the method of tax increment computation set forth in
Minnesota Statutes, Section 469.177, Subd. 3, Clause (b), if applicable.
The Council does not elect the method of tax increment computation set
forth in Minnesota Statutes, Section 469.177, Subd. 3, Clause (b).
5) Finding regarding duration of Tax Increment Financing District No.
1-9.
Tax Increment Financing District No. 1-9 was originally established on
February 26, 1990 with a ten year duration. Therefore, the Tax
Increment Financing District will expire on February 26, 2000.
Pursuant to Minnesota Statutes, Section 469.177, Subd. 3, the City
requests 100 percent of the available increase in assessed value for
current expenditures.
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