HRA Agenda 06-26-1992 Speciall AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY SPECIAL MEETING
Friday, June 26, 1992 - 8:30 AM
City Hall
MEMBERS: Chairperson Al Larson, Ben Smith, Lowell Schrupp,
Everette Ellison, and Tom St. Hilaire.
STAFF: Rick Wolfsteller, Jeff O'Neill, and 011ie Koropchak.
1. CALL TO ORDER.
2. CONSIDERATION TO AUTHORIZE BUSINESS DEVELOPMENT SERVICES TO
PREPARE TIF PLAN FOR TIF DISTRICT NO. 1-14 - SUBURBAN MACHINE
AND MANUFACTURING, INC.
3. CONSIDERATION TO SCHEDULE A SPECIAL HRA MEETING TO ADOPT THE
TIB PLAN FOR TIF DISTRICT NO. 1-14.
4. ADJOURNMENT.
Suburban
Machin® & Manufacturing, Inc.
14005 Northdale Boulevard • Rogers, MN 55374 a (612) 428.2997
June 15, 1992
Ms. 011ie Koropchak
City of Monticello
250 East Broadway
PO Box 1147
Monticello, MN 55362-9245
Dear 011ie:
Brad and I would like to thank you for the information you have provided us over
the past few weeks. I am pleased to confirm our derision to relocate our company,
Suburban Machine & Manufacturing, Inc., to the City of Monticello.
It Is our Intention to move Into a new building between October 15 to 31,1992.
Of course, this will depend on the public hearings, planning & zoning meetings, the
permits needed, and the builders schedules. Also, this move is depend upon
securing the financing needed to build a new facility in Monticello. However, because
we have a buyer for our current building. I do not foresee this as an obstacle.
We thoroughly enjoyed meeting you and Lenny Kirscht, and look forward to
joining the business community of Monticello in the near future.
Sincerely yours,
Icn" Ck
Mary A. B�rger d
Secretary -Treasurer
CC: Brad Barger
Leonard Kirscht
UarwisChYN of rho Vadfur. MUKW aw the Lube mindv
r
SUBURBAN MACHINE & MANUFACTURING, INC.
ROGERS, MINNESOTA
JUNE 11, 1992
ESTIMATED TAX INCREMENT FINANCE
PROJECT:
11,000 SQ FT MANUFACTURING AND OFFICE SPACE (8,000 SQ AND
3,000 SQ FT RESPECTIVELY) WITH 3,000 SQ FT MEZZANINE.
THREE ACRES OF INDUSTRIAL ZONED LAND.
FIFTEEN EXISTING FULL TIME JOBS.
EIGHT ADDITIONAL WITHIN TWO YEARS.
WAGE RANGE BETWEEN $10.00 TO $13.00.
GENERAL MACHINING AND PRODUCT LINE.
OWNERS MONTICELLO RESIDENTS.
TIME FRAME IMMEDIATE (HAVE PURCHASE AGREEMENT ON EXISTING
BUILDING IN ROGERS.)
TAX INCREMENT FINANCE:
BUILDING:
$ 12,600 X .99852 - $12,581.35 TAXES
8,000 SQ FT ® $20.00 PER SQ FT
- $160,000
3,000 SQ FT ® $32.80 PER SQ FT
- Q 97,500
'92 TAX RATE
$257,500
LAND:
$ 11,081
2 ACRES OR 87,120 SQ FT ® $./0 PER SQ FT
- $ 3%,818
1 ACRE OR 13,560 SQ FT ® 6.25 PER SQ FT
- 1 10,890
USEABLE TAX INCREMENT
$ 65,738
TOTAL ESTIMATED MARKET VALUE (ENV)
BUILDING AND LAND
$303,238
ENV $300,000
$100,000 $200,000
.0310 .0175
8 3,100 $ 9,500
NEW CAPACITY VALUE (NCV)
$ 12,600 X .99852 - $12,581.35 TAXES
BASE CAPACITY VALUE (BCV),Q
1.500
CAPTURED CAPACITY VALUE
$ 11,100
'92 TAX RATE
.99852
ESTIMATED TAX INCREMENT
$ 11,081
ADJUSTED TAX INCREMENT
$ 10,000
HACA (23%)
0 2.309
USEABLE TAX INCREMENT
$ 7,700
$7,700 X 8 YEARS a 661,600
BASED ON THE ASSUMPTION THE MONTICELLO HOUSING AND
REDEVELOPMENT AUTHORITY (HRA) FINDS SUBURBAN MACHINE AND
MANUFACTURING, INC. AND ITS PROPOSED PROJECT TO BE IN
COMPLIANCE WITH TAX INCREMENT FINANCING REQUIREMENTS, AND
BASED ON ESTIMATED NUMBERS THE LEVEL OF TAX INCREMENT
ASSISTANCE WOULD BE 650,000.
®BRAD OR MARY BANGER 6174
B-626~39,0563 8-62&M44&tn
105 6tISSwSIPP1 D& PIL PSST33 1,22
MONTICEM0. %N 55503 FS-W1910
m� i��{ C� ImAnitcPll.. IS 15,woo
1 y.v
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FIRSTAR
BANK OF MINNESOTA, N.A.
000! � � N. wrranh. w mwi n
F«ht,.'q�151 14.1 AvL,0l'glcyt �r � ltia 1ry 1
1'0410152241: 30 2358 219 0604
PRELIMINARY TIF SCHEDULE FOR
SUBURBAN MACHINE & MANUFACTURING, INC.
Received Letter of Location Intent
June 16,
1992
HRA, Authorization for BDS, Inc. to
establish a TIF District
Friday,
June 26
HRA, Approve TIF Plan and District
Monday,
July 6 W
Call for PH on Land Sale
TIF PLAN, Distribute to school, county
and hospital
Tuesday,
July 7
EDA, Review and approve GMEF loan
Tuesday,
July 21
PH Notice, published twice, Monticello
Times, on HRA Land Sale
July 21
and 28
Council, Call for PH on TIF
Monday,
July 27
Approve GMEF Fund
Approve Govt Sponoring Resolution
PH Notice, published twice, Monticello
Times, TIF PLan 9 District
July 28
and August 4
Planning Commission, TIF Plan consistent
with Comprehensive Plan
Tuesday,
August 4
HRA, PH on Land Sale
Wednesday, August s
Review Development Contract
Execute Development Agreement prior to
Council approval, August 10
Council, PH and approval of TIF Plan and
District
r
Monday,
August 10
Finance Closing
7
Record at County
7
c.d., .M %%&1 9.%1
Copy of Bank Commitment
Copy of Purchase Agreement
Equipment Coat
Building, construction costs
Guarantees
Executed Development Agreement
Building Plane
Site Plane - Landscaping Parking/Driveways
Drainage Curb/Hard
Surface
Elevations Utilities
Plat Schedule
PH, notice published twice, Monticello
Times, Preliminary Plat, Planning Comm
Planning Commission, Table PH on
Preliminary Plat --
Planning Commission, Special meeting
PH and review preliminary plat
Council, approval Preliminary Plat.
Planning Commission, review Final Plat,
for information purpose only
Council, approval Final Plat
Record at County
June 23 and June 30
Tuesday,
July 7
T�,
July 8t?
Monday,
July 27
Tuesday,
August 4
Monday,
August 10
Plat: Survey, property description, topography, owners with 380 ft
radius.
A
I
MONTICE]1A May 29, 1992
250 East Broadway
P. O. Box 1147
Monticello, MN
55362-9245
Phone: (612) 295-2711
Metro: (612) 333-5739
Fax: (612) 295-4404
To: City Council
Housing and Redevelopment Authority
Industrial Development Committee
City Staff
80ecial Informational Ibrlehon
PRIVATE/PUBLIC PARTNERSHIPS, BENEFITS AND HOW CREATED.
EXAMPLES: HOW OTHER CITIES ASSIST IN DEVELOPMENT OF
INFRASTRUCTURES?
: 1.: BT
M. PAT PM-g2Ta S. BUB111313B ., i,:.,. o :. 830MCBS. IAC.
Wednesday, June 10, 1992 - 7:00 PH
City Hall
This workshop is designed to provide decision makers with
Information of various techniques being used by other communities
to encourage economic development. Information such as this is
important to the future of Monticello, and you, as decision makers,
are being given the opportunity to gain firsthand insights of the
latest economical trends, thereby, enhancing your knowledge and
abilities as decision makers.
Mr. Pelstring'e information will relate to the undeveloped
industrial areae of the Yarm Credit and the Hoglund properties.
Prior to his presentation, you will be provided with background
Information of these areae. In a nutshell, we will look at
Monticello today, Monticello options, and Monticello tomorrow.
If you have any questions regarding the meeting, please don't
hesitate to call me at 295-2711. Attend, get Involved, be
May 29, 1992
Page 2
informed, have fun, ask questions. Remember, this is an informal
workshop provided for your benefit, not a decision making meeting.
See you the 10th of June.
Sincerely,
011ie Roropchak
Economic Development Director
son: HRA members, no HRA meeting, Wednesday, June 9, 1992.
cc: Bile