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HRA Agenda 06-05-1996AGENDA MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY Wednesday, June 5, 1996 - 7:00 p.m. City Hall MEMBERS: Chairperson Al Larson, Vice Chairperson Brad Barger, Tom St. Hilaire, and Roger Carlson. STAFF: Rick Wolfsteller, Jeff O'Neill, and 011ie Koropchak. GUEST: John Komerak, Redeveloper Merrlyn Seefeldt Steve Andrews CONSIDERATION TO INTERVIEW THE TWO CANDIDATES FOR THE VACATED HRA SEAT. 1. CALL TO ORDER. 2. CONSIDERATION TO APPROVE THE MAY I AND MAY 29, 1996 HRA MINUTES. 3. CONSIDERATION TO DISCUSS, ELECT, AND RECOMMEND TO CITY COUNCIL A CANDIDATE TO FILL THE VACATED HRA SEAT. 4. CONSIDERATION TO ADOPT A RESOLUTION MODIFYING THE REDEVELOPMENT PLAN FOR CENTRAL MONTICELLO REDEVELOPMENT PROJECT NO. I; MODIFYING THE BUDGETS OF TAX INCREMENT DISTRICT NOS. 1-1 THROUGH 1-19; ESTABLISHING TIF DISTRICT NO. 1-20 AND APPROVING THE CMRP PLAN AND TIF PLANS RELATING THERETO. 5. CONSIDERATION TO ENTER INTO AN ASSIGNMENT AND ASSUMPTION AGREEMENT BETWEEN THE HRA, KATZMAREK. AND CEDRUS CREEK. 6. CONSIDERATION TO AUT14ORIZE EXECUTION OF THE LOAN AGREEMENT BETWEEN THE HRA AND MCP. 7. CONSIDERATION TO ENTER INTO TWO WALL MAINTENANCE AGREEMENTS BETWEEN THE HRA AND EACH ADJACENT OWNER. K. CONSIDERATION TO AMEND THE PLEDGE AGREEMENT FOR TIF DISTRICT NO 1-5. 9. CONSIDERATION TO REVIEW THE CERTIFICATE OF COMPLETION FOR PRESBYTERIAN HOMES. 9 t _ 10. OTHER BUSINESS. a) HRA monthly bills. b) b.s`.r. u �� v•9 0..� \o'11or 11. ADJOURNMENT. MINUTES MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY SPECIAL MEETING Wednesday, May 29, 1996 - 7:00 p.m. MEMBERS PRESENT: Chairperson Al Larson, Vice Chairperson Brad Barger, Tom St. Hilaire, and Roger Carlson. STAFF PRESENT: 011ie Koropchak. GUEST: Attorney Steve Bubul Redeveloper John Komarek Chairperson Larson called the special HRA meeting to order at 7:00 p.m. •. rr. t• ;• r. ..� Al Larson made a motion to approve the May 6, 1996, HRA minutes. Roger Carlson seconded the motion and with no corrections or additions. the minutes were approved as written. AI Larson made a motion to approve the May 13. 1996, HRA minutes. Roger Carlson seconded the motion and with no corrections or additions, the minutes were approved as written. CONSIDERATION TO ADOPT A RESOLLI'1'lON APPROVING THE CONTRACT FOR PRIVATE REDEVELOPMENT AMONG THE HRA. THE CITY_ AND CEDRUS CREEK CRAFTSMAN_ INC. Attorney Bubul summarized the Private Contract among the HRA, the City, and Cedrus Creek. The previous evening, the City Council approved the contract as written on a 3-2 vote with one modification: The entire $40.000 for the City parcel (Gille) to be paid upfront. Within the three TIF parcels, ten units will be constructed on a three-year buildout. Ouuide the TIF parcels, nineteen units will be constructed over a five-year buildout. TIF assistance is $130,000. 532.500 TIF payout upon closing of HanawalVBanyai parcels and Sl0.000upon issuance of a Certificate of Completion for each townhome completed not -to -exceed $32,500. The remaining $65,000 with a noncompound interest rate of 8.5% per annum commencing August 1. 1999 and ending Page I The $40,000 paid to the City for its parcel upon closing and transferred to the redeveloper for SI.00. $25,000 of the $40,000 from non-restrictive funds therebye the HRA gifting the 5`,i, local contribution eliminating the City's HACA Loss. The local contribution is not payment from the redeveloper or TIF dollars. The TIF dollars are subject to a reverter: If the City parcel is not developed, TIF payments stop. TIF District No. 1-20 may have an early pay-off which would offset the costs incurred by the HRA for acquisition of the City parcel. Attorney Bubul informed member the Contract does allow the HRA options relating to acquisition or development of the Kannarek parcel. Brad Barger informed HRA members of an interested buyer for the Katzmarek parcel. Chairperson Larson informed members of Administrator Wolfsteller's response: is the Kaaanarek parcel developable? "The City would have a tough time denying a permit." Developed as prairie grass, the parcel would be of non-clensity. Komarek expressed his interest to develop the parcel and requested the HRA explore (survey) the parcel for development. Barger and St. Hilaire felt the parcel was worth exploration because as a developed parcel a win/win situation occurs. As the redeveloper and as buyer on the purchase agreement, HRA suggested Komarek explore (survey) the parcel. Knowing this project was not about money, Tom St. Hilaire made a motion adopting the resolution approving the Contract for Private Redevelopment among the HRA, the City, and Cedrus Creek Craftman, Inc. as approved by the Council. Al Larson seconded the motion and with no further discussion, the motion passed unanimously. 4. A• • • Y • . • • I' • : Y Yt. it WE CUF&TeG• Y. WEST •.• Koropchak reported the title work is underway by Preferred Title whom most recently received the abstract. Targeted closing date, May 31, 1996. Tom St. Hilaire requested the following entered into the HRA minutes: St. Hilaire is totally against the HRA's purchase of the I I I West Broadway parcel for four reasons. One. Conflict of Interest. HRA Chairperson Al Larson also a member of the MCP Board of Directors, seconded the motion to acquire the parcel. Secondly, the purchase price is over the suggested 120% guideline (537,000 X 1.20 — $44,400). Third, the acquisition is against the Attorney's suggestion and does not meet the "but for" test. Lastly, the acquisition stops normal rehabilitation by private redevelopment. Roger Carlson noted the HRA purchase price was not greater than 120% of the seller's appraisal and the private developer was not expected to build for two to three years. Hilaire noted he had received more phone calls of opposition relating to the approved acquisition. Carlson noted he had also; however, in favor of acquisition. Barger said he only voted in favor of acquisition because he saw the HRA ownership as short term. Chairperson Larson noted the "but for" test only applied upon establishment of a TIF District. Page 2 HRA N DHIM MAY 29, 1996 With receiving only one application for the vacated HRA seat, HRA members agreed to extend the deadline for application until May 31, 1996. Names suggested were Paul Tbeilen, Marlyn Seefeldt, %m Maus, Charles Walters, and Dave Kranz. Tom St. Hilaire noted he would be out-of-town the month of lune except for 8 days. The special HRA meeting adjourned at 8:05 p.m. Q 9.� K��� 011ie Koropchak, Executive Director Page 3 MINUTES MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY Wednesday, May 1, 1996 - 7:00 p.m. City Hall MEMBERS PRESENT: Chairperson Al Larson, Tom St. Hilaire, and Roger Carlson. MEMBERS ABSENT: Vice Chairperson Brad Barger and Everette Ellison. STAFF PRESENT: Rick Wolfsteller and 011ie Koropchak. GUEST: John Komerak, Developer Attorney Steve Bubul Financial Consultant Mark Ruff Bill Endres 1. CALL TO ORDER. Chairperson Larson called the HRA meeting to order at 7:00 p.m. 2. CONSIDERATION TO APPROVE THE AP t . ND P n. 11. 1996 Ra MINLMFS. Larson requested an amendment to the April 3 minutes, page 3, item tt5, paragraph 2: To read "his initial conversation with Katzmarek began somewhat -hostel and ended cordial and business -like". St. Hilism requested an amendment to the April 3 minutes, page S, item t18, lest paragraph: To read "ifthe HRA elects to increase the levy, we may as well close-up shop." Roger Carlson made a motion to approve the April 3, 1996. HRA minutes as so amended. Tom St. Hiliare seconded the motion and with no further corrections or additions, the minutes were approved as amended. Roger Carlson made a motion to approve the April 11, 1996. HRA minutes. Tom St. Hilaire seconded the motion and with no corrections or additions, the minutes were approved as written. 3. CONSIDERATION TO REVIEW THE REVISED TIF SURPLUS PROJECTIONS AND RECOMMENDATIONS FOR APPROVAL, Mark Ruff reported on the revised TIF surplus proforma paling atter some fine- tuning the HRA has more dollars. The initial projections only included the cash balance of the tax increment accounts while the revised projections include three HRA accounts: TIF (restrictive funds). HRA General Fund (non-restrictive funds), and debt service funds. At the end of tax increment year 1995, the HRA combined Page I HRA NUNUTES MAY 1, 1996 cash balance is approximately $485,000. It is projected, the HRA will net an annual tax increment revenue of approximately $130,000 over the next few years. This does not include interest income nor expenditures. Mark reviewed his six -written recommendations with HRA members and suggested the HRA consider an obligation to issue bonds for perhaps park proceeds or land purchase (landbank). This an alternative to safeguard against any further restrictions enacted by Legislators starting January 1997. Restrictions could eliminate the HRA availability to utilize their funds. The best and most aggressive alternative would be include the obligations into the tax increment plan prior to selling the taxable bonds. The obligations might be considered in the fall with the focus of downtown/riverfront and after November elections. St. Hilaire felt no harm done if the surplus was returned to the taxpayers of the city, county, and state. It was pointed out that no money is returned to the school district as the school district initially received no loss. Relating to recommendation No. 4: The expected annual HACA loss to the City is 520,000 to $30,000 over the next 8 years. HRA members directed Mark Ruff to prepare a list of options: "How can the HRA assist in recovery of the City's loss"" The direction given to prevent or eliminate any barriers between the HRA and City Council or Administration. Mark informed members that with the direction given the projected annual tax increment revenue would be reduced from $130,000 to approximately $1OO.000. AI Larson made a motion accepting the TIF Surplus Proforma and Projections as prepared, authorizing Publicorp to update the TIF Proforma annually, and approving the six -outlined recommendations for implementation. Tom St. Hilaire seconded the motion and with no further discussion, the motion passed unanimously. • y a 201XA III. • t I[$),,= t• air I.rl• • „ Iwo a �Acmqml:vl Mark Ruff reported with the reduction of 12 townhome units to 10 units within the proposed TIF District, the projected tax increment assistance is reduced from the original amount of 5160,0OOto 5130,000-135,000. In order for the redeveloper to have a reasonable sales return of 6.5WS130,00011F assistance plus the value of the Gille parcel is necessary. Without assistance, the sales return is 2.1 %. A typical metro sales return is 9.5%. Mr. Ruff suggested a split payment of the $1 30,000 Page 2 0. HRA MINUTES MAY 1, 1996 ($65,000 up -front and $65,000 pay-as-you-go), City to gift $20,000 of the land value therebye satisfying the 5`$ local contribution which waives the HACA Penalty plus the City receiving a payment of 515,000 from the HRA. It was suggested Administrator Wolfsteller check with the County relating to the County's interest to share in the gains of the tax -forfeited parcel. Developer Komerak said he could live with the suggested proposal. Bill Endres reported Marquette Bank has a conditional commitment and awaits the Redevelopment Contract relating to assistance by the HRA and the City. Additionally, the status of the Katrmarek parcel is of vital interest to the Bank as without cleanup the marketability of the Prairie West Project is greatly hampered. It was recommended, the HRA meet with the City Council to discuss both the overall concept of the project and the City's willingness to gift the 520,000 prior to incurring unnecessary preparation costs. Tom St. Hilaire made a motion authorizing the HRA to enter into the Pre - Development Agreement with an effective term ending in 90 days and upon receipt of a $5,000cashier check from the redeveloper and requesting a special meeting with the City Council on May 13, 6:30 p.m. Additionally, the motion included TIF assistance in the amount of $130,000 NPV (S65.000 upfront and $65.000 pay-as-you- go), City gift $20,000 of the value of the Gille property as the 546 local contribution waiving the HACA Penalty and the HRA payment to the City in the amount of $15,000. Disbursement of upfront 71F assistance in three phases and 60/40 split (HRA/ redeveloper) for the City and pay-as-you-go assistance. Al Larson seconded the motion and with no further discussion, the motion passed unanimously. In order to keep the Prairie West project on the scheduled time -line and with the City a party to the Private Redevelopment Contract, consideration to approve the Private Redevelopment Contract was scheduled for Council. May 28. 7:00 P.M. and for HRA. May 29,7:00 P.M. Additionally, Mark Ruff of Publicorp. Inc., inquired of the HRA's interest to refinance TIF bonds which may result in a savings of $10,000 to $25,000. HRA members agreed to refinance and instructed Mark to explore and proceed with refinancing. CONS D RATION TO REVIEW THE 1400 WEST BROADWAY APPRAISAL AND PURCHASE AGREEMENT FOR CONSIDERATION TO ACQUIRE. HRA members reviewed the Purchase Agreement of $145,000 and the Appraisal completed by John Farrell. Appraised value, $70,000. Members evaluated potential costs associated with the eminent domain: Relocation cogs, $20,000435AOO;costs Page 3 HRA MINUTES MAY 1. 1996 associated with the eminent domain process. and attorney and relocation consultant fees. They discussed the non -tangible benefits associated with a direct buyout as compared to the eminent domain process: Negative comments, protection and safety issues, and good -will. Additionally, the HRA discussed the likelihood of the parcel being developed as a portion lies within the flood plain. Tom St. Hilaire made a motion accepting the 1400 West Broadway property at a purchase price of 5145,000. Al Larson seconded the motion and with no further discussion, the motion passed unanimously. The request for City Council approval of the overall concept of the Praire West project on May 13 should include the City accepting the 1400 West Broadway parcel as green space. HRA members questioned if the estimated $10,000 demolition costs could serve as an offset of the local contribution to waive HACA Penalties. •_ • .'r C11M M;h, IwI MQ r. I MN to) . „ .r.. . . • r. :1. miltomizi •:,, •M Without the presence of Assistant Administrator Jeff O'Neill, this item was tabled. HRA members inquired to whom requested Council's consideration of this item. Administrator Wolfsteller responded. "Charles Ehlen of Cinco Corporation asked if the City was interested in selling its property and at what price." HRA members unanimously agreed to tum -down the Cotmcil's request that the HRA first attempt to enforce the provisions of their own development agreement and re-establish the original 2041 easement from Locust Street. Attorney Bubul said the HRA or City has no obligation to enforce the development agreement. •. 1 r1. 11 �Ir • .: r•. :•., • ., „ • . Ar :.air .• . ,:. 1 r•. • : r • . l• •M2#KWIW4A J File] M 1:44 HRA members directed Koropchak to address of letter of thanks to Everette Ellison and to order a plaque for presentation at a reception. Al Larson made a motion accepting the letter of resignation from Commissioner Everette Ellison and authorized advertising in the Monticello Times. Roger Carlson seconded the motion Page 4 HRA MINUTES MAY 1, 1996 and with no further discussion, the motion passed unanimously. Resumes would be accepted through May 24 with the intent to interview prior to or on June 5, 1996, for submittal of a recommendation to City Council on June 10, 1996. •ri . • �; : r •7;<iT t 17i 10'.14 WIN COWCONk:fa:l7:�i7 d si7:1 r. ti •Ll • , • r Koropcbak reported on Mr. Fluth's reaction to the HRA's offer of April 3: First right of refusal for a period not -to -exceed three years. $100 annual renewal. Mr. Fluth felt the $100 annual renewal was an insult and understood the HRA previous intent as a purchase offer. Mart Ruff informed HRA members that there arc advantages to purchasing parcels in or close to a redevelopment area (land -banking) if potential exists to get out. The real question is one of policy. Wolfsteller informed members that a local business - owner had made inquiries relating to city parking requirements for development of the 111 West Broadway parcel. Roger Carlson expressed HRA ownership of the parcel allowed for some control. Additionally, Carlson was aware that Mr. Fluth has received inquiries of interest to acquire. Roger Carlson made a motion approving an offer of 537,000 (HRA appraised value), 52,500 earnest money, not -to -exceed nine months for acquisition of the 111 West Broadway parcel. Al Larson seconded the motion and with no further discussion the motion passed 2-I. Yeas: Roger Carlson and Al Larson. Neys: Tom St. Hilaire. Reason for opposition to motion: Removal of taxable property and discouraging private development/investment. t •. •�;: r•. (631WA INr.EGM rr•. Me0: •:. 1:4 "1 :1 luj 4 4. r. : a0 Tabled as modification are being made to the agreement. a) HRA members ok'd the monthly HRA bills. pp The HRAmeeting nadjourned at 8:30 p.m. O.XY.w.r� \!!\ en- �.Y 011ie Koropchak, HRA Executive Director Page 5 QUESTIONS FOR HRA CANDIDATE INTERVIEW JUNE 5, 1996 NAME OF HRA CANDIDATE 1. WHAT IS YOUR PHILOSOPHY WITH REGARDS TO GOVERNMENTAL ASSISTANCE OF PRIVATE BUSINESS EXPANSION AND RELOCATION EFFORTS? WHAT IS THE PROPER LEVEL? 2. WHAT IS YOUR PHILOSCOPY WITH REGARDS TO GOVERNMENTAL ASSISTANCE OF PUBLIC IMPROVEMENTS? WHAT IS THE PROPER LEVEL? 3. EXPLAIN WHAT PREVIOUS EXPERIENCE YOU MIGHT HAVE WITH AN HRA OR WITH THE USE OF TAX INCREMENT FINANCING (TIF)? WHAT DO YOU FEEL YOU CAN CONTRIBUTE TO THE HRA AND CITY OF MONTICELLO? 4. WHAT ARE SOME SPECIFIC IDEAS ON HOW MONTICELLO SHOULD DEVELOP AS IT RELATRS TO AN HRA OR TIF: a) Housing b) Redevelopment c) Industrial 5.VIVIOUSLY YOU RECEIVED A COPY OF THE LOCAL TIF POLICIES RHD$ *RAMH PROJR(-r PLAN OBJRL-r L FOR IMPROVIN 6. HOW READILY AVAILABLE ARE YOU FOR SERVING ON THE HRA? 7. OTHER QUESTIONS? QUESTIONS THE CANDIDATE MAY HAVE OF THE HRA COMMISSION, COUNCIL OR STAFF. SWilliam J. and MeMY n L. Seefeldt • 167 Jerry Liefert Drive • Monticello, MN 55362-9003 L (612) 295-5698 I May 30, 1996 City of Monticello MoraiceDo, MN 55362 1 would tike to volunteer my services as a manber of the Housing and Redevd. opment Authority. Enclosed is my resume. TL you for your .,,....! L. Sincerely, Menlyo L. Seefeldt Remnse of Mer*n L SWdW 167 Jerry I.iefert Drive Monticello, MN 55362 (612) 295-5698 EDUCATION: Bachelor of Arta flan Valparaiso University, Valparaiso, Indiana Major: Theology Minor. Education OCCUPATION: Part owner ofElectro-Industries, assisting in an phases of phnniog, critique new product .1. .:. ,r ,— -i, edit all sales and mares liter- atwe and najar direct accounting and In resouwes responsi- bility. RESIDENCY: lived in Morficello Township since 1974, in the city of Monticello shoe February 1992. COMMUNITY A member of the Industrial Development Committee for the past SERVICE: three years. Christian Education Director of the Buffalo Assembly of Clod church PERSONAL: Wife, mother of far grown children and grandmother of two, M May 24, 1995 1005 East River St. Monticello, MN 55362 Jeff O'Neil 250 East Broadway Monticello, MN 55362 Dear Jeff: I would like to be considered for the open position on the HRA. 1 feel that the HRA will continue to play a strong role in shaping the Monticello community through key acquisitions and aggressive partnerships with the Council, MCP, city Staff and the residents of Monticello at large. This is a great time in Monticello's history. The continuation of careful planning will allow for further growth while still preserving the essence of our town. I would like to be a part of this process by serving on the HRA. I look forward to continuing my involvement with my community either through the HRA position or in my present capacity as a Parks Commission member. Thanks for your consideration. If you have any questions of me please feel free to call at 295-6512. c�qg Sin Steve Andrews Steven R. Andrews resumi Projects/Activities Monticello Parks Commission. Crew member, Monticello - Big Lake Ambulance Service. Participant in quality improvement process at Monticello - Big Lake Community Hospital's Ambulance Department. Custom-designed and implemented a computer-aided dispatch system for North Medical Transponation Services. Employment North Memorial Medical Center, Robbincdale, 1979 - present: Present capacity: Supervisor, North Medical Transportation Communications Center. Oversee day -today operations of the ambulance dispatch center. Supervise 19 employees. Responsible for department budget and Financial planning. Education St. John's University, graduated cum laude 1989. Majors: Govemmem/Public Affairs, and Social Science. Other involvements: Dehate Team; Coordinator, Medical Response Unit. Interests Family: My wife Mary, and our first child due in September. Community and neighborhood involvement. Home improvement projects. Computer / Internet applications. HRA AGENDA JUNE 5,1995 i�11 1 hr�11 IJI 1:11 IT � 11 IJI 1.1 IIi ! 1 y t:l :�1 +I la:. U 1:11 1 :11Y IJI 11 it �l11 II 111 I 1 !1 .I r1 1.1 - a 1 n a1 :1 1� � rely •1 1 :uJ. 11 11 1 u: l'... 1 1 Ily ly 1 A. Reference and Badcommd: 'Ile HRA is requested to adopt the enclosed resolution modifying the following. "Ile Redevelomnent PL of Central Monticello Redevelgoment Emiect No. 1: 'Ile HRA intends to acquire the following parcels as described by address and parcel number: 155-0104)52071 Fluth I I I West Broadway 155-500-034305 Hanawalt 1300 West Broadway 155-500-033401 Banyai 1304 West Broadway 155-500.033402 City 155-500-033400 City 155-5004133403 Katunarek 1400 West Broadway Each parcel is currently inside the boundaries of the Central Monticello Redevelopment Project No. I but outside the boundaries of an existing TIF District. However. at a future time one or mora of the parcels may be included in a district. blodifyjpa the Budgets of TIF District Not 1-1 through 1-18_ For various activities in the Redevelopment Project the current expected costs include: SEE SUPPORTING DATA PAGE 1.32 SEE SUPPORTING DATA PAGES 1-32 AND 1-3g. THE PLAN AND BOUNDARY MAP FOR TIF DISTRICT NO. 1.20. The modification are consistent with the proposed Prairie West Analysis and approved Publicorp recommendations and approved Contract for Private Redevelopment between the HRA. City. and Cedrus Creek. A public hearing date Page 1 ( has been set by the City Council for Monday, June 24, 7:00 p.m. to consider the above modifications. B. Alternative Actions: I. A motion to adopt the resolution modifying ............ 2. A motion to deny adoption of the resolution modifying ....... 3. A motion to table any action. 4. A motion to adopt the resolution with certain added modifications. C. Recommendation - Recommendation is Alternative Action No. 1. D. $1gpailing Data. Excerpts from the CMRP and Plan for TIF District No. 1-20. Copy of the resolution for adoption. Page 2 AN 03 '96 01:42PM EH -ERS S ASSOCIATES HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE COY OF MONTICELLO RESOLUTION NO. _ RESOLUTION MODIFYING THE REDEVELOPMENT PLAN FOR CENTRAL MONTICELLO REDEVELOPMENT PROJECT NM 1; MODIFYING THE BUDGETS OF TAX INCRLNtE NT FINANCING DISTRICTS NO& 1-1. I -X 1J, IA I.S.1.6,1.7,1.8,1-9,1-1Q 1.11.1-12,1• 13,1-14,1.13,1.16,1-17, AND 1-18; ESTABLISHING TAX INCREMENT FINANCING DISTRICT NO. 1-20 AND APPROVING THE CENTRAL MONTICELLO REDEVELOPMENT PLAN AND TAX INCREMENT FINANCING PLANS RELATING THERETO, LOCATED W17'111IIN CENTRAL MONTICELLO REDEVELOPMENT PROJECT NO. 1. P. 4/i WHEREAS, die City Council (the"Caunc(P7 of the City of Monticello (the "Oty') has proposed to modify the Redevelopment Pico (the "Redevelopment PLn'j for Central Monticello Redevelopment Project No. l (the "Redevelopment Projecr No. 1"). modify the Tax Increment Financing Plans for the Tax IneninewFinane(ngDisnieuNos. 1-1. 1-2. 1-3, 1-4. 1-5, l-6. 1-7, 1-8, 1-9, 1-10. 1.11, I.12. 1-13.1.14. 1-15,1-16.1.17, and 1.18 (the "the Tax Increment Finaocing Districts'), and establish Tax Increment Fining District No. 1-20 ("District No. 1.20"), all pursuant to and in accordance with Minnesota Statins. Seedoos 469.001 to 469.047 and Miwusoea Statutes, Sections 469.174 to 469.179, inclusive, as annended. and WHEREAS, the Housing and Redevelopment Authority in and for the City of Monticello (the "Au6orirj0 has investigated the facts and have caused to be prepiued a mot i&d Redevelopment Plan for Re:devrlopment Project No. 1, modified Tax increment Financing Plans for Tax Increment Financing Disuicts Nos. 1-1, 1-2, 1.3. 11, I.S, lam, 1.7, 1-8, l-9, 1-10, 1-I 1, 1-12 1-13, 1-14, I-13, 1-16, 1-17, and I -18 ad the Tax Increment Financing Plan for Tax Increment Financing District No. 1-20 (the "Plans"): and WHEREAS, proposed developments as described in the Plans in the opinion of the Authority, would not reasonably be cape aW to occur solely through private investment within the reasonable foreseeable fitturc and therefor, the use of tax increment ftnamml is necessary; curd WHEREAS, the Authority and City have performed all actions required by law to be performed print to the modification of Redevelopment Project No. 1. the modification of the Tax Increment Financing Districts. and the establishment of DisWct No. 1-20 including, but of limited to. notification of Wright Conray and School District No. 882 having taxing jurisdiction over the pttsperry Included in the Tru Increment Financing Districts and Duttict No. 1-20, a review by We City Planning Commission of the proposed Plans. and the scheduled holding of a public hearing upon published notice Y required by law. BE R RESOLVED by the Board of Commissioners of the Housing and Radevelopmtat Audwrity in and for the City of Monticello, as follows: 1. The Plans aro hereby approved and adopted and shall be placed an file in the office of the Etccutive Director. JUN 03 '96 01:42PM EHMM 8 ASSOCIATES P.5/7 2. Subject to the appoovW of the Plant by the City Council, nil, the AmhorWs advisors and legal �l counsel am authorized and directed to ptocroo I with the i . s, .., ,.,- 4— of the Plain and for Chit purpose to negodw, drdt. prepare and present to dds Hoard for its comudderadon all Rutter plans. teschrtion. doommus and contraw necessary for this purpose. 3. Upon approval of the Plans by the City Council, due Executive Director is a uthosimd to fonvard a copy of the Plans to the Wd& County Audita and the Mmnmu Department of Remme pmsom to Minoaota Statues 469.175. subdivision I Approved by the Bond of Comtdtsionen of the MondmHo dousing end Redevelopment Autbodty dds 56 day of Inc. 1996. ATTEST: cN.%WPDATA1MONtf3af41. PAPPROVLI= (AS MODUMD JANUARY 22, 1996) The HRA intends to acquire the following parcels as described by address and parcel number. 1400 West Broadway 155-500-033403 225 Front Street 155-010-064010 525 East Broadway 155-015-003060 109 West Broadway 155-010-052131 108 Walnut 155-010-052130 Each of these parcels is currently inside the boundaries of the Central Monticello Redevelopment Project No. I but outside of the boundaries of an existing tax increment financing district. However, at a future time one or more of the parcels may be included in a tax increment financing district. The HRA or City may acquire property listed in this subsection of the Redevelopment Plan pursuant to the Housing and Redevelopmern Act, including acquisition of real or personal property or any interest therein by gilts, grant, purchase. exchange. lease. transfer, bequest, devise or otherwise, and by the exercise of the power of eminent domain, in the manner provided by Minnesota Statutes, Chapter 117. (AS MODIFEED JUNE 24,19%) The HRA Intends to acquire the following parcels as described by address and pared number. earcel Number 155410452071 155-500-030305 155.500-033401 155.500-033402 155.500-033400 155.500433403 Each of these parols Is currently Inside the bound- rks of the Central Moatledlo Redevelopment Project Na 1 but outside of the boundaries of an edstiag tax Itteraneat f1madng district. However, at a future time one or more of the parcels may be Indnded In a tax Increment financing distrM. The HRA or City may acquire property listed In this subsecWn of the Redevelopment Plan pursuant to the Housing and Redevelopment Act, ladudlrtg acquid, n of real or pemnal property or any Interest therein by ftft brant, purchase, exchange, lease, transfer, bequest, devise or otherwise. and by the exercise of the power of eminent domain. in the manner provided by Minnesota Statutes, Chapter 117. Subsection 1.9. Public Immovemcnts and Facilities Within Redevetg=tPrniect No. 1. publicly Maned improvements within Redevelopment Project No. I to be financed include: awirmrm~ d rwwa Ne 1 1.16 Total $990.O0o.00 Subject to restrictions as applicable to each individual tax increment financing district pursuant to Minnesota Statutes, Section 469.174 to 469.176 (including limitations as to the type of development that may be assisted and geographic boundaries within which irrtatent may be spent), tax increment from any existing and future tax increment financing district may be used to pay for public costs. This budget is in addition to existing public cost budgets for each tax increment financing district Interest on any bonds or other obligations incurred are also to be paid from increment in addition to the lire items listed in the budget above. (AS MODIFIED JUNE 24,19%) The budgets for the esthnated public costs for Tats Increment Financing Db&kts Nos. 1.1,1.2,1-3,1-4, 1.5,1.6.1.7,1-8,1.9,1.10,1-11, 1.12, 1.13, 1-14,1.15,1.16,1.17,1-18, and 1.19 are hereby modified as follows: For various activities in the Redevelopment Project the current expected costs include: Land Acquisition $900,000.00 Site Preparation 400,000.00 DemoUtlon/Relocstlon 300,000.00 Public Improvements X000.00 Subtotal S2.W.000.00 Admin tion 250.000.00 Total QUMn M Subject to restrictions as applicable to each individual tax Increment financing district pursuant to Mhumsoto statutes. Section 469.174 to 469.176 (Including limitations as to the type of development that may be assisted and geographic boundaries within which Increment may be spent)l, tax increment from any exlsllna and future tax Iocrement financing district may be used to pay for public costs. Thh budget is In addition to existing public cost budgets for each tax hxrement financing district. interest on any bonds or other ohiigatlom bwarred are also to be paid from increment in addition to the line Items listed to the budget above. (As adopted lune 24,1996) Public Improvements, Site Improvements Demolition and Land Acquisition 5200,000 10% City or HRA Admialstratioo 20"0 TOTAL MUM Subsection 1.11. {wd Use. All new and/or existing development on land identified on Exhibits Ir through 1•F as 'property to be acquired' or 'potsible acquisition' will be tubject to the following uses and requirements: a cmd r,,,na,"o r t"M Aa„ w 1 1.32 is. Pursuant to the adoption of the Modified Redevelopment Plan for Redevelopment Project No. 1, the Redevelopment Plan is hereby modified to reflect increased Project costs, as given in Subsection 1.10 of the Modified Redevelopment Plan for Redevelopment Project No. 1. (At modifted January 22. 1996) 16. Pursuant to the adoption of the Modified Redevelopment Plan for Redevelopment Project No. 1, the Redevelopmei Plan is hereby modified to reflect increased Project costs, as given in Subsection 1.10 of the Modified Redevelopment Plan for Redevelopment Project No. 1. (As modified Jttne 24,1996) 17. Pursuant to the adoption of the Modified Redevelopment Plan for Redevelopment Project No. 1. the Redevelopment Plan Is hereby modified to reflect increased Project costs, as given in Subsection 1.10 of the Modified Redevelopment Plan for Redevelopment Project No. 1. awr..��i.r 4e+r�•r 1-38 HRA AGENDA JUNE 5, 1996 5 As a result of the May 29 HRA meeting, John Komerak, redeveloper, was to complete a survey on the Katzmarek parcel to determine the developable portion of the parcel and the costs associated with developing the parcel. John will give a presentation of his findings. Additionally at the May 29 HRA meeting, Commissioner Barger informed members of an interested buyer for the Katzmarek parcel for development of a single residence. Demolition and restoration costs include the capping of the well, removal of the septic drainage, and exploration of the parcel. The title commitment was received from Wright Title Guarantee Company via Corrine Thomson. Kennedy & Graven. The approved Contract for Private Redevelopment states the City accepts the Katzmarek parcel as satisfaction of the park dedication for Phase II of the Prairie West redevelopment if the HRA, as intended, deeds the parcel to the City for green space. If the HRA sold the parcel for development. Komerak would then need to satisfy the park dedication elsewhere and still provide storm sewer ponding. The Public Works Director discourages direct storm sewer runoff into Otter Creek and felt the development of a pond on the Katzmarek parcel, at a cost to the redeveloper, would prohibit room for development. This in no way is to assume the Kaumarek pond would fully satisfy the ponding requirements for the Prairie West development. If a home or townhomes were developed, a sanitary gravity system would perhaps be necessary or required. Currently. Mr. Komerak has a purchase agreement on the parcel with a closing date on or before June 30. 1996. Two conditions: Property is sold in an "AS IS" condition and upon approval of the Monticello HRA of buyer's use of adjoining properties. The $145,IX10 purchase price includes acquisition and relocation costs. It previously has been the intent of the HRA to deed the property to the city as green space; however. Council inquired to what portion of the parcel was developable. The recommendation of Attorney Hubul is to assign the purchase agreement between Katzmarek and Komerak to the HRA. The assignment and assumption agreement acknowledges that the parties agree the $145.000 price includes acquisition and relocation costs. 7 Page I to order to acquire the parcel by hme 30, the HRA is requested to consider the following actions. B. Alternative Actions. A motion to enter into an Assignment and Assumption Agreement between the HRA, Katzinarek, and Cedrus Creek. 2. A motion to deny entering into the Agreement. 3. A motion to table any action. 4. A motion with certain modifications. C. Recommendation. None. D. Suppw3jue Data, Copy of the Assignment and Assumption Agreement. C Page 2 JUN -04-96 17.62 FROM -KENNEDY a GRAVEN ID.a 149376910 pAOg 21g ASSIGNMENT AND ASSUMPTION AGREEMENT THIS AGREEMENT made on or as of the day of June, 1896 by and ^ In and John Komarek (the "Developer"), ). the HousfnE�Redevelopmeat Authority in and for the City of Monticello (the "Authority") and Robert J. Katmarek (the -Seller-). WHEREAS, the Seller and the Developer entered into a Standard Purchase Agreement dated march 29, 1996 (the "Purchase Agreement") providing for acquisition by the Developer from the Seller of certain property described as follows: A tract of land in Lot B of the South Half of Section 3. Township 121, Range 25 described as follows: Begin at the Intersection of the southerly Itne of Trunk Highway No. 152 and the north line of said Lot B; thenoe southeasterly along the said southerly line of Trunk Highway 152 a distance of 315 feet; thence deflect right 900 for a distance of 205.7 feet to the north line Great Northam railway right of way; thence Northwestely &lona said railway right of way, a distance of 534.9 feet; thence Easterly to the point of beginning, containing 2.08 acres score or less. PID 155-500-033403 Property Address: 1400 West Broadway (hereafter referred to as the *Property"); and WHEREAS. the Developer wishes to assign his rights and obligations under the Purchase Agreement to the Authority, subject to consent of the Seiler. NOW. THEREFORE. In consideration of the premises, the parties hereto mutually agree as follows: I. 'Phe Developer assiane all his right, title and interest in tho Purchase Agreement to the Authority. 2. The Authority assumes all rights and obligations of the Developer under the Purchase Agreement. 3. The Seller consents to assignment by the Developer of his rights under the Purchase Agreement as described harem, and further agrees and represents to the Authority that the purchase price to be paid to the Seiler by the Authority under the Purchase Agreement equals or exceeds the fair market value of the Property together will aH costa of rellaation and related services payable by the Authority under Minnesota Statutes, Sections 469.001 to 469.047 and Chapter 117 (the 'Acts"). The Seiler agrees and understands that, by payment of the purchase price, the Authority has fully satisfied its obliptlons with respect to relocation under the Acts. aouol m ,a1M-4 JUN -04-86 17.61 FROM.RENNEDY a CRAVEN ID.6117379316 PACE 3/6 IN WITNESS WHEREOF. the parties hereto have caused this Agreement to be executed by their duly authorized representatives. H O U S I N G A N D REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELL0 By Its Chair By Its Executive Director ! ROBERT J. RATEMAREH JUN -04-88 17.63 PROM.KBNIIEDY 6 GRAVEN ID.8123378310 PACS 4/6 RESOLUTION NO. HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOE THE CITY OF M®ONTICELLO APPROVING AN AMGMIIEIT AND ASSUMMON AGREXIMCNT ANKH JOHN H(IMiABEK, THE AUTHORITY AMID ROBERT J_ KATZKAREK WHEREAS, the Housing and Redevelopment Authority in and for the City of Monticello (the "Autllority") Is a housing and redevelopment development authority duly constituted and organized under lave, with all of the powers enumerated In Minnesota Statutes, Sections 489.001 to 469.047 (the "Act"); and WHEREAS, the Authority is authorized to develop and carry out redevelopment plans end redevelopment projects, as those terms are respectively defined In Minnesota Statutes, Section 469.004, subdivisions 18 and 14; and WHEREAS. the Authority adopted a redevelopment plan (the "Redevelopment Plan") in an area In the City of Monticello identified as Central Monticello Redevelop- ment Project No. I (the "Project Area") in November. 1984; and WHEREAS. changes In the public and private improvements proposed to be constructed within the Project Area occurred and necessitated adopting subsequent modifications to the )tedevelopment Plan which were approved by the Authority and adopted by the City Council of the City of Monticello In the respective years of 1983, 1964, 1985, 1987, 1958, 1989, 1990, 1991, 1994, 1993. 1994, 1995 and 1999; and WH UMS, thll plan, as modified, contemplates the acquisition of cartain real property (the "Property") which is located in the Project Area and which is more particularly described below in this resolution; and WHEREAS, by resolution approved , 1998, the Authority authorized acquisition of the Property by eminent down or negotiation; and WMERUB, subsequently the owner of such property entered into a purchase agreement with John► Komarek dated March 29, 1998 (the "Purchase Agreement"); and WHEREAS, John Komarek desires to assign his rights as buyer under the Purchase Agreement to the Authority; and WHEREAS, the Authority One reviewed s certain Assl —nt and Assumption Agreement among Jahn Komarek, the Authority and the Ro rt J. Katrmerok (the "AsslSnment") providing for assignment of the Purchase Agreement by John Komarek to the Authority. NOW. THEBBPORE, BE IT RESOLVED by the dousing and Redevelopment Authority in and for the City of Monticello as follows: . it is neoeassry to acquire the Property as described the Assignment In order for the Authority to carry out the purposes of the Plan, as modified, and the Act. aruouol MRM -6 JUM-e4-96 17.69 PROM.aEMMEDY & GRAVEM ID.43122378310 PAGE 6/6 2. The Assignment in hereby approved, and the proper Authority offictale are authorized and directed to execute the Assignment on babalf of the Authority and to take all actions necessary to acquire the Property In accordance with the Assignment and the Purchase Agreement. Adopted by the Housing and Redevelopment Authority in and for the City of Monticello this 5th day of June, 1896. ATTEST: Executive Director aauerw IR/rV HRA AGENDA L JUNE 5, 1996 A This is a housekeeping item since sometime ago the HRA approved a $10,000 interest free, unsecured loan to the Monticello Community Partners. Full payback due December 6, 1996. Attached to the enclosed loan agreement is the promissory note. The MPC will submit evidence of expenditures prior to disbursal by the HRA. B. Altemative Actions: 1. A motion authorizing execution of the Loan Agreement between the HRA and MCP. 2. A motion denying authorization. 3. A motion to table any action. P 4. A motion with certain modifications. C. RecornmodAliML Recommendation is Alternative Action No. 1. D. Surfing Data: Copy of the loan agreement and promissory note. Page 1 LOAN AGREEMENT THIS AGREEMENT dated as of , 1998 is between the Housing and Redevelopment Authority in and for the City of Monticello (the "Authority") , and Monticello Community Partners, a Minnesota nonprofit corporation (the "Borrower"). This Agreement Is made as a result of Borrower's desire to borrow from Authority a sum not to exceed of Ten Thousand and no/100ths Dollars (=10,000) (the "Loan Proceeds") for the purpose of activities related to the promotion of downtown redevelopment within the Authority's Redevelopment Project No. 1, including without limitation conducting studies and analysis, holding public meetings, raising additional funds for such purposes, and retaitttng consultants to carry out such tasks. Borrower has agreed to repay this loan pursuant to the terms of the promissory note entered into this same date and incorporated herein by reference (the "Note"). Authority has by proper action on December 8, 1998 approved the substance of this Agreement and the Note. In consideration of the mutual covenants and agreements contained herein, the parties agree as follows: I. Amount. Disbursement. and Terms of Loan A. Loan: Subject to and upon the terms and conditions herein set forth. Authority shall Tend to Borrower the lesser of $10,000 or the amount for which Borrower has submitted proper Disbursement Requests, as defined in Section I. E. herein. B. Note: The loan of Authority to Borrower shall be evidenced by a Promissory Noe of even date herewith to be executed by Borrower. C. Interest: The Note shall not bear interest and shall be due and payable as more sped calrsot forth in said Note. D. Proneynnent Permitted. Borrower shall have the right to prepay the Note at any time without penalty as more specifically set forth in the Note. E. Conditions Precedent to Disbursement. The obligation of Authority to make a disbursement to or on behalf of Borrower of any Loan Proceeds (a "Dlsbursoment") shall be subject to the condition precedent that it shall have received on or before the date of making the Disbursement in a written request for Disbursement (a "Disbursement Request"), signed by Borrower, and accompanied by: (1) roasonablo documentation (receipts, canceled chocks, and the like) evidencing expenditures by Borrower for the purpose not forth in the owio»a mnOo-u recitals hereof, which were or are to be paid in connection with the Disbursement Request; (2) other supporting evidence that Authority may request in writing in connection with the Disbursement Request, substantiating the payments that are to be made out of that Disbursement or substantiating payments by Borrower that have been made for the purpose set forth in the recitals hereof. In no event shall Authority be obligated to make a Disbursement for any Disbursement Request submitted to it after December 1, 1998. The parties agree and understand that, as of the date hereof, the Authority has made Disbursements to or on behalf of Borrower in the aggregate amount of $5,130.86. Such Disbursements were made after December 8, 1995 with the understanding that such amounts would be treated as Loan Proceeds and be repaid in accordance with the Note. II. Securl A. No Securityy Required. The Authority shall receive no mortgage or other security interest in any property owned or controlled by Borrower. B. Release. Upon payment in full by Borrower to Authority of all amounts due and payab� Authority under this Agreement, Authority shall release all interests acquired or to be acquired by it hereunder. III. Affirmative Covenants Borrower covenants and agrees that until the Note is paid in full, Borrower shall comply with the following provisions in this Section III unless specifically waived by Authority in writing: A. Financial Statements and Other Information. Borrower shall furnish or cause to be furnished to Authority, upon Authority's request, periodic financial statements including balance sheets, income statements, budgets, all tax records (state, local and federal), all payroll records, all sales records, and all purchase records or copies thereof. All of such information shall be in full, complete, and accurate and certified by an officer of Borrower as being full, complete, and accurate. B. Taxes and Claims. Borrower shall duly pay and discharge all taxes, assessments, and governmental charges upon or against Borrower or any of Borrower's property and shall pay the same prior to the date on which penalties attach thereto. Borrower shall also cause to be paid all lawful claims which might or could if unpaid become a Hen or charge upon the properties or assets of Borrower, unless and to the extent only that the same are being diligently contested in good faith and by appropriate proceedings. C. MaintainlnR Corpo rate Existence. Borrower shall at all times maintain its corporation In good standing with respect to compliance with Minnesota Statutes and the rules and regulations of the office of the Minnesota Secretary of State. D. Books and Records. Borrower shall maintain at all times true and complete books, records, and accounts in which true and correct entries shall be oaoioua a1oo-a v made of its transactions in accordance with generally accepted accounting principles consistently applied. E. Use of Loan Proceeds. Borrower shall use the entire proceeds of the loan evidenced hereby for the purpose stated In the recitals hereof. F. Comnliance with Laws. Borrower shall fully and completely comply with all laws, rules, regulations, ordinances, and the like affecting the operations of Borrower. G. Further Assurances. Borrower shall, at its coat and expense, upon request of Authority, duly execute and deliver to Authority such further instruments and cause to be done such further acts as may be necessary or proper in the opinion of Authority to carry out more effectively the provisions and purposes of this Agreement. H. Notice of Litigation. Promptly after the commencement thereof, Borrower shall provide Authority with notice of all actions, suits, and proceedings before any court or governmental department, commission, board, bureau, agency, or instrumentality, domestic or foreign, affecting Borrower which, if determined adversely to Borrower, could have a material adverse affect on the financial condition of properties or the operation of Borrower. IV. Neatative Covenants Borrower covenants and agrees that, until the Note, together with Interest and all other indebtedness to Authority under this Agreement or otherwise are paid in full, Borrower shall not, without the prior written consent of Authority, which consent shall not be unreasonably withheld: A. Enter into any transaction or merger or consolidations, or transfer, sell, assign or otherwise dispose of all or a substantial pert of Borrower's property or assets or any of Its accounts receivable or any assets or properties necessary for the proper conducts of Its business, or change the nature of its business or wind up, liquidate or dissolve or agree to do any of the foregoing. B. Prepay or allow the prepayment of any obligations of Borrower in favor of any parties other than Authority. C. Sell, lease, assign, transfer, or otherwise dispose of any of Borrower's now owned or hereafter acquired assets except for the sale or other disposition of assets no longer used or useful in the conduct of the business of Borrower. D. Assume, guarantee, endorse, or otherwise be or become directly or contingently responsible or liable (including, but not limited to, an agreement to purchase any obligations, stock, assets, goods, or services, or to supply or advance any funds, assets, goods, or services) for the obligations of any person, partnership, corporation or any other entity, except guaranties by endorsement of negotiable Instruments for deposit or collection or aimllar transactions in the ordinary course of business. onion" 0100.11 V. Default and Remedies A. Events of Default. If any one or more of the following events, herein called "events of default", shall occur for any reason whatsoever, whether voluntarily or involuntarily: (1) If default shall be made in the due and punctual payment of the amounts due under the Note. (2) If default shall be made in the performance or observance of any covenant or agreement or other provision of this Agreement or in any instrument or documents delivered to Authority in connection with this Agreement or otherwise. (3) If any representation or warranty or any other statement of fact herein or in any writings, certificate, report or statement at any time furnished to Authority In this Agreement pursuant to or in connection with this Agreement or otherwise shall be false or misleading in any material respect. (4) If Borrower shall admit in writing its inability to pay its debts generally as they become due, file a petition in bankruptcy or petition to take advantage of any Insolvency act, make an assignment for the benefit of its creditors or commence a proceeding for the appointment of a receiver, liquidator or conservator. (S) If Borrower shall be adjudged bankrupt or a court of competent jurisdiction shall enter any order, judgement or decree appointment a receiver, trustee, liquidator or conservator of Borrower. (8) If any judgment against Borrower or any attachment or execution against any of their respective properties, in such amount which in the opinion of Authority substantially Impairs Borrower's performance of this Agreement, remains unpaid for a period of more than ten (10) days, or if at any time Authority shall consider the indebtedness of Borrower to Authority insecure or any part as the collateral thereof unsafe. (7) If Borrower shall (a) fall to pay any indebtedness for borrowed money (other than the Note) of Borrower or any Interest or premium thereon, when due (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise), or (b) fail to perform or observe any term, covenant, or condition on its part to be performed or observed under any agreement or instrument relating to any such Indebtedness when required to be performed or observed, if the effect of such failure to perform or observe Is to accelerate, or to permit the acceleration after the giving of notice or passage of time, or both, of the maturity of such indebtedness, or U any such Indebtedness shall be declared to be due and payable, or required to be prepaid (other than by a regularly scheduled required prepayment), prior to the stated maturity thereof. (8) If any litigation, actions, suits or proceedings are brought against Borrower before any court or governmental department, commission board, bureau, agency, or instrumentality which. If doterminod adversely to 0:0103609 WIN -5a 4 Borrower could, in the opinion of Authority, have a material adverse effect on the financial condition of properties or operation of Borrower. (9) If any or all of the assets of Borrower are condemned by any governmental authority or agency. Then, and in any such event, at any time thereafter if any or such other event of default shall then be continuing Authority may, by thirty (30) days notice to Borrower, declare all obligations under this Agreement forthwith due and payable in full, whereupon all such obligations shall become and be forthwith due and payable without presentment, demand, protest, or further notice of any kind, all of which are hereby expressly waived by Borrower, anything contained herein or in the Note to the contrary notwithstanding. B. Right and Remedies Cumulative. In case of any one or more of the events of default Authority may proceed to protect and enforce its rights and remedies either by suit in equity or by action at law or both, whether for the specific performance of any covenant or agreement or other provisions contained herein, In the Note or In any document or instrument delivered in connection with or pursuant to this Agreement, or to enforce the payment of the Note by any other legal or equitable right or remedy. No right or remedy herein conferred upon Authority is Intended to be exclusive or any other right or remedy contained herein and every such right or remedy shall be cumulative herein. No course of dealing between Borrower and Authority, or failure or delay on the part of Authority in exercising any rights or remedies of Authority, or any single or partial exercise of any rights or remedies hereunder shall operate as a waiver or preclude the exercise of any other rights or remedies hereunder. VI. Representations and Warranties In order to induce Authority to enter into this Agreement and to make the loan herein provided for, Borrower makes the following representations and warranties which shall survive the execution and delivery of this Agreement and the Note and other loan documents and any Inspection or examination at any time made by or an behalf of Authority: A. Incorporation Good Standine and Due Qualifications. Borrower warrants and represents tKat the corporation Is duly Incorporated, validly existing and in good standing under the laws of the State of Minnesota, and has the corporate power and authority to own its respective assets and to transact the business in which it is now engaged or is proposing to be engaged in. B. Corporate Power and Authority. The execution, delivery, and performance by the corporate Borrower of the documents to be executed in accordance with this Agreement to which it is a party hes been duly authorised by all necessary corporate action and does not and will not (1) contravene Borrower's charters or bylaws; (Z) violate any provision of any law, rule, regulation, order, write, judgment, injunction, decree, determination, or award presently in effect having applicability to Borrower; (S) result in a broach of or constitute a default under any indenture or loan or credit agreement or any other agreement, lease, or Instrument to which Borrower is a party or by which it or its properties may be bound or affected; (4) result in or require the creation or imposition of any law, uror,o>fa iaroo•u rule, regulation, order, writ, judgment, injunction, decree, determination, or award of any indenture, agreement, lease, or instrument. C. Le¢ally Enforceable Agreement. This Agreement, and each of the other documents executed in accordance herewith are legal, valid, and binding obligations of Borrower, enforceable against Borrower in accordance with their respective terms, except to the extent that such enforcement may be limited by applicable bankruptcy, insolvency, and other similar laws affecting creditors' rights generally. D. Financial Statements. No information, exhibit, or report furnished by Borrower to Authority with regard to projected financial statements and in connection with the negotiation of this Agreement contain any material misstatement of fact or omitted to state a material fact or any fact necessary to make the statement contained therein not materially misleading. E. Other Agreements. Borrower is not a party to any indenture, loan or credit agreement, or to any other lease or other agreement or instrument, or subject to any charter or corporate restriction which could have a material adverse effect on the ability of Borrower to carry out is obligations under this Agreement and the documents to be executed pursuant hereto. Borrower is not in default in any respect in the performance, observance or fulfillment of any of the obligations, covenants or conditions contained in any agreement or instrument material to its business to which it may be a party. F. Litigation. There is no pending or threatened action or proceeding against or of act ng oorrwer before any court, governmental agency or arbitrator which may, in any one case or in the aggregate, materially adversely affect the financial condition, operations, properties or business of Borrower or the ability of Borrower to perform its obligations under this Agreement or under the documents pursuant hereto to which they are a party. G. No Defaults on Outstandine Judements or Orders. Borrower has satisfied all judgments, and Borrower Is not in default with respect to any judgments, and Borrower Is not in default with respect to any judgment, writ, injunction, decree, rule or regulation of any court, arbitrator or federal, state, municipal or other governmental authority, commission, board, bureau, agency or instrumentality, domestic or foreign. H. Ownership and Liens. Borrower has title to, or valid leasehold interest In, all of its respective properties and assets, real and personal, as represented in the financial statements previously referred to herein, other than any properties and assets disposed of in the ordinary course of business. 1. Operation of Business. Borrower possesses all licenses, permits, franchises, patents, copyrights, trademarks, and trade names, or rights thereto, to conduct its respective businesses substantially as now conducted and as presently proposed to be conducted, and Borrower is not in violation of any valid rights of others with respect to any of the foregoing. J. Taxes. Borrower has filed any and all required tax returns (federal, state, and 1 ocarroquirod to be filed and have paid all taxes, assessments and governmental charges and levies thereon to be due, including interest and penalties. =toff" =ISO -e3 vll. Miscellaneous A. Costs of Collection. In the event Authority shall retain or engage an attorney or attorneys to collect or enforce or protect its interests with respect to this Agreement, the Note or any other instrument or document delivered pursuant to this Agreement, Borrower shall be responsible for and shall pay all of the costs and expenses of such collection, enforcement, or protection, including reasonable attorneys' fees and may take judgment for all such amounts in addition to the unpaid principal balance of the Note and the accrued interest thereon. Any such coats, expenses, or attorneys' fees so incurred shall bear interest at the Note rate from the date that such expenses, costs or fees are paid by Authority. B. Modification or Waiver. No modification or waiver of any provision of the Note or of this Agreement and no consent by any of the parties to this Agreement or any departure therefrom by Borrower shall be effective unless such modification or waiver shall be in writing and signed by duly authorized officers of the parties hereto. C. Governing Law. This Agreement, the Note and any instrument or document delivered pursuant to this Agreement shall be construed in accordance with and governed by the laws of the State of Minnesota. D. Notices. All notices, requests, demands or other communicatlons provided for ere shall be in writing and shall be deemed to have been given when sent by certified mail, return receipt requested, addressed as the case may be to: Authority: Housing and Redevelopment Authority In and for the City of Monticello P.O. Box 1147 450 East Broadway Monticello, Minnesota 55392 Borrower: Monticello Community Partners P.O. Box 984 Monticello, MN 55384 E. Binding Aareement. This Agreement shall be binding upon and Inure to the benefit of the parties hereto and their respective heirs, roprosentatives, successors, assigns, and all subsequent holders of the Note and other instrLiments to be delivered as referred to herein. onoioua arao-e3 IN WITNESS WHEREOF. Authority and Borrower have executed this Agreement as of the date first above-mentioned. HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO By Its Vice -Chair By Its Executive Director MONTICELLO COMMUNITY PARTNERS By Its By Its um 3W WIN -S3 v PROMISSORY NOTE AT: Monticello, Minnesota AMOUNT: $10,000 DATE: FOR VALUE RECEIVED, the undersigned, Monticello Community Partners, a Minnesota nonprofit corporation, the address of which is P.O. Box 984, Monticello, Minnesota 55387, promises to pay to the order of the Housing and Redevelopment Authority in and for the City of Monticello at City Hall, 750 E. Broadway, Monticello, Minnesota 55367, or at such other place as the holder may from time to time designate in writing, the sum of Ten Thousand and no/100ths Dollars ($10,000), or so much as may have been disbursed in accordance with the Loan Agreement between the parties of even date herewith (the "Loan Agreement"), with no interest on the unpaid principal balance. The entire outstanding balance, if not sooner paid, shall be paid in full on or the 8th day of December, 1996. This Promissory Note may be prepaid, in whole or in part, on any date without prepayment penalties. This Note is not secured by an interest in teal or person property owned or controlled by Monticello Community Partners or by any personal guaranty of the officers or directors of Monticello Community Partners. AU the agreements, conditions, covenants, provisions, and stipulations contained in the Loan Agreement are hereby made a part of the Note to the same extent and with the same force and effect as if they were fully set forth herein. If a default occurs under this Note and Is not cured with ten (10) days after written notice to the undersigned, or if default occurs under the Loan Agreement and Is not cured within any applicable grace period, then the holder may, as Its right and option, declare immediotoly due and payable the unpaid balance of this Note. The undersigned agrees to pay all costs of collection, including reasonable attorneys' fees and legal expenses, incurred by the holder in the event this Note Is not duly paid. The holder may at any time renew this Note or extend its maturity data for any period and release any security for, or any party to, this Note, all without notice to or consent of and without releasing any party, taker, endorser or guarantor from any liability on this Note. Presentment or other demand for payment, notice of dishonor and protest are hereby waived by the undersigned. onion&& "too -is IN WITNESS WHEREOF, the undersigned has caused this Note to be executed by its authorized officers) as of the day and year first above written. MONTICELLO COMMUNITY PARTNERS By Its By Its DA1036N =20-82 HRA AGENDA JUNE 5, 1996 A. Reference and Backg[gund. A Wall Maintenance Agreement is prepared for each of the adjacent property owners: Steven C. Johnson to the east and Carroll and Virginia Bloomdahl to the west. Prior to closing of the I I 1 West Broadway parcel and upon completion of the title work some issues arose: Three easements Imown as staircase, electrical, and ingress and egress. These have been resolved. Two Party Wall Agreements, lune 29,1935, and October 1 I , 1988, exist. Of interest is that the agreements were of surprise to Attorney Brad Larson and Steve Johnson. The filed record reference the westerly lot -line between Lot 6 and 7 (Bloomdahl). The enclosed agreements release the existing party wall agreements, provide access for adjacent owners for maintenance at no cost to the HRA, termination effective until date of commencement of construction with five feet between, and/or the right to a common wall agreement in the future. Public Works Director John Simola suggests that the parcel be covered with a crushed base to prevent sand/dust blowing. The seller must provide a Certificate of Real Estate Value, Well Disclosure Certificate, and Seller's/Mortgagor's affidavit. The closing is anticipated this week. B. Alternative Actions: A motion to enter into two Wall Maintenance Agreements between the HRA and each adjacent owner. 2. A motion denying entering into the agreements. 3. A motion to table any action. 4. A motion to ewer into the agreements with certain modifications. C. Recommendetio= Recommendation is Alternative No. I. C Page I b• Slaggiling Data, Copy of the Well Maintenance Agreement. Page 2 v NI 04 '% 0B:13 VDMEDY 8 GRAVEN P.2 WALL MAINTENANCE AGREEMENT THIS AGREEMT is made as of this day of . 1898, by and between the Housing and Redevelopment Authority n for the City of Monticello ("Authority") RECITALS The Authority is the owner in fee simple of certain pro erty described as Lots 7 and 8, Block 52. Monticello, except the Southeasterl 18.5 fust of the Southwesterly 80.00 feet of said Lot 8 as measured at a 4W angle to and parallel with the Southeasterly and Southwesterly lines theteor, according to the plat on Hie and of record in the Office of the County Rkorder in and for the County of Wright, State of Minnesota (the "Property"). The Adjacent owner in the owner in fee simple of certain property described as (the "Adjacent Property"). A building currently exists on the Adjacent Proper -y. one wall (the "Boundary Wall) of which is located at or near the boundary between the Property and the Adjacent Property. The Property Is vatan as of the date of this Agreement. Until a new building or other improvements are tracted on the Property, and for purposes of declaring their intentions and protecting the undersigned and all subsequent parties in Interest, the rolowing maintenance and access casement on the Property is created: 1. The Adjacent Owner shall have the right durin g the term of this Agreement to enter the Property for the purpose of maintai dug and repairing the Boundary Wall. 9. All costs of maintenance and repair of the BWall shall be born by the Adjacent Owner, and the Authority shall ha f no obligation or liability to the Asnt Owner with respect to such costs. S. Promptly after oomplation of any maintenance o repair activity on the Boundary Wall. the Adjacent Owner shall promptly and restore the Property to the condition it was in before the oommenoemsnt such amintonance or repair activity. 4. Except for any intentional or negligent act of following named pasties. tho Adjacent Owner releases from and covemats d agrees that the Authority, the City of Monticello and the governing body members, ofQcers, q�ea agents. servants and ayethereof shall not be liab for and agrees to IndemnW. defend and holdbarmlcse the Authority, the Cit' and the governing body members, officers, agents, servants and employees -heroof against any loss or damage to property osyinjury to or death of any Terson occurring on the Property or the Adjacent Property In conneotlon wn_h *=roue by the Adjacent Owner of its rights under this Agreement. S. This Agreement &hall be In effect from rho d -to hereof until the data .d memaaosmont of construction by the Authority. its ucaeaeor or assigns stsrestrr Ar10-U AN e4 '% 08114 KEWBY 8 GRgVEN P.3 of any building, facility or structure on the property any portion of which �- WM be located feet or leas from the boundary between tb i Property and the Adjacent Property. For the purposes of this Agreement, the term "commencement of construction" means visible Improvements to the Property, iacludlag without limitation excavation . Commencement of construction shall be evidenced by a written notice executed by the Authority and recorded against the Prope),ty, , upon recording of which notice this Agreement shall be deemed terminated. S. The easement hereby created Is and abell be coneUved as a covenant running with the land binding on the successors and assigns ofiesch party hereto. IN WITNUS WHERDOF, the parties have caused this Apreemant to be duly executed by their respective authorised representatives on or as of the date first above written. eaeuam wnwu r` . C .9_✓ 2 HOUSING AND REDEVELOPURn AUTHORITY IN AND FOR THE CITY OF MONTICELLO By Its Chair By Its ExeculDirector ADJACENT OtVN HRA AGENDA i. JUNE 5. 1996 Ijmrm z , A. Previously the HRA authorized Publicorp to explore the economics of refinancing any HRA TIF Bonds. Upon exploration, Publicorp determined the bonds sold for TIF District No. 1-6 (Raindance Properties) were utilized for land acquisition. This requires amending the Assessment Agreement. Amending the Assessment Agreement would not be advantages to the HRA. The HRA would risk collecting tax increment revenues from one of their greatest revenue generating disticts. Therefore, only the bonds sold for TIF District No. 1.5 (Construction Five) are being refinanced. These bonds were issued for public and site improvements; therefore, no need to amend the Assessment Agreement. The initial bonds amount was $365,000, the principal outstanding is $130,000. B. Alternative Action_ 1. A motion to amend the Tax Increment Pledge Agreement by and between the City of Monticello and the HRA. 2. A motion to deny amending the agreement. 3. A motion to table any action. C. Recommendation. Recommendation is Alternative Action No. 1. D. SuMitina Data. Copy of the original agreement and the proposed amended agreement. Page I TAX 1L1dR2228<hff Vtm= AGRLQm7T by and between THE CIT1: Of MWTICELLO, M7MMS0TA and TeX RODBIMG AND REDEVELOPMWr AOSRORI2Y IF An FOR THE CITY OF MONTICCLh.O, h1TMMMA THIS AGRZEKM is made and entered into on or Y of the 77th day of April , 1987, by and between the City of Monticello, Minnesota (the "City"). and The Raualng and Redevelopment Authority in and for the City of Monticello, Minnesota (the "RRA"). WHZRZAS. the BRA established Radevelopmebt District No. S (the 'District'), prepared the Tax Increment Financing Play Ifo. S (the -Plan-) for the District. and approved the Plan on January 7, 1987; and wMMEAS. the City Council of the City approved the Plan or February 9, 1987; and WHEREAS, pursuant to authority Confeurted by Mimesota Statutes, Section 277.77, and Minnesota Statutes. Chapter 475, the City has agreed to finance Certain public redeveLopaeat costa to be incurred by the RRA in the District through the issuance of general obligation bonds of the City, designated the !765,000 General Obligation Tac Increment Bonds, Series 1987A, and hezeinafter referred to as the "Honda", and WHEREAS. the BRA has &greed to pledge Certain tau increment revenues to the City for the Payment of the principal of and interest on the Bonds; and WH>M&M. pursuant to Minnesota Statutes. Section 277.77(a), any agreement to pledge tea ine>remunt reveaaea mase be mads by written agreement by and between the BAA and the City and mat be flied with the County Auditor of Wright County; NOW. T1 R, the City and the BRA mutually agree to the following: (1) The City will sell the Bonds. (2) The proceeds from the Salo of the bonds and the earnings from the investment of such proceeds will be made available to the BRA to Pay or reimburse the RRA for public redevelopment Costa paid. Incurred, or to be paid or incurred. by the BRA in the District. (7) All tax increment generated by the District from and after the date of this Agseameat shall be deposited in a special fund (the "Project fund") held by the RRA. The HRA hereby Pledges to the psymm at the principal and interest an the BOB". tax L=emnt from the Project Pond in an amount equal to 105% of the &mal priacIp" and interest due on the Bonds. 8/8 Bowd ett6LCC619-01 MBAY6b 1 AQBMMDW-moad at -at 88-e9-Mnr Tax Inoremant Fledge Agreement Page 2 (4) Before the date of certification of City taxes in each year roe collection by might county (such date being hereinafter referred to as the -Certification Date-), there shall be transferred from the project Pond to the Debt Service Account maintained by the City for the payment of the Bonds, an amount which when taken together with amounts already on deposit in the Debt Service Account, is equal to 1051 of all principal and interest then due or to become due on the Boards On the following thres debt service payment dates. If. prior to any Certification Date the Project Fund Contains an amount in excess Of the amount to be transferred to the Debt service Account maintained by the City for the payment of the Bonds before such Cartifieasioa Date, then Such access amounts shall be avauable to the BRA to pay or reimburse the BRA for public redevelopment Costs paid. incurred, or to be paid or incurred Ly the BRA in the District. (5) Without regard to anything In this agreement to the contrary. tax increment generated by the Oletriat shall be available to pay principal of and interest on both the Bonds and any other obligations issued by the City. BRA, or any other Public body to finance public redevelopment costs paid or incurred by the BRM in the District. (6) When the entire public redevelopment costs of the District have been paid and all principal and interest on the Bands and other Obligations issued to finance the public redevelopment Cotte of the District have been paid. and the City has beta retubwsed from collections of tax ids fres the Project for collections of general ad valorem taxes need to pay principal of and interest an the Bonds, then the BRA 0e11 report such faun to the City Council of the City and the BRA shall submit a final statement of such payments. Upon audit of this statement and approval thereof by the City Council, the payment of the expenditures of the BRA in the Project shall be reported to the County Auditor of Wright County. (7) An 6r.auted Copy of this Agreement shall be flied viten the County Anditor of Wright Canty pursuant to the requirement contained in Minnesota statutes. section 277.77(!). BDvd 81COACCe19-01 wanveD S AGEMMBW-61001A an -an N-w-Mnr I Ta: Inclement Pledge Agreement Papa I I9 WInMSS. 1Immr. the City and the ARRA have caused thia Agreement to be duly exeeated on their behalf and tMir seals to be hereunto affized and such signatures a -d seals to be attested. as of the day and year first &Dove written. ATZZSS: CITr OF M=T CUT Clerk—AA-inlsuatcc Mayor (SEAL) AATTE92: �/ n 9eoretaay Tog R3OMM AND REpSVELOPMNT ADTSORITT IN AAD FOR ME Com! 01 NMnCELIA. ZaGiE80SA -{J�lan e/e NOW 01Ce6CC8/e-01 MRAV80 \ AC=IW1U-NONA st-el ea-00-Mnr TO TAIL INCREMENT PLEDGE AGREEMENT BY AND BETWEEN THE CITY OF MONTICELLO AND THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO THIS AGREEMENT, Is made on or as of the 24th day of June, 1888, by end between the City of Monticello, Minnesota ("City") and the Housing and Rad t Authority in and for the City of MonticeIIo (the "HRA"). WHEREAS, the City has previously issued Its $365,000 General Obligation Tag Increment Bonds, Series 1987A (the "Series 1987A Bonds") in order to finance certain public redevelopment costs incurred by the HBA; and WHEREAS, in connection with the Series 1987A Bonds the City and the HRA entered into that certain Tax Increment Pledge Agreement date April 27, 1987 (the "Pledge Agreement"), under which the HRA pledged certain tag increment to payment of the Series 1987A Bonds); and WHEREAS, the HRA and City have determined to refund the Series 1987A Bonds through issuance by the City of ita $455,000 General Obligation Tax Increment Bonds, Series 1889E (the "Refunding Donets"); and WHEREAS, the HRA and City have determined a need to modify the Pledge Agreement In ...._..:.- W.,., with issuance of the Refunding Bonds. NOW, THEREFORE, the City and the HRA hereby agree as follows: 1. The Pledge Agreement is hereby modified to add the following now section (8): (8) For the purpose of this Agreement, the tom "Banda" includes any bonds issued to refund the Bonds, provided that to the extent any refunding bonds include refunding of bonds other than the Sarin 1987A Bonds, the term "Bonds" refere only to the pro rata abaft of the refunding bonds attributable to the Series 1987A Bonds - 2. Section (4) of the Pledge Agreement is modified to read as follows: (4) At least five busiaesa days before the date any payment of principal or Interest Is due with respect to the Bonds. there shall be tranaferred bozo the Project Fund to the Debt Service Aeoount maintained by the City for the payment of the Bonds, an amount which when to -an together with umounta already on deposit In the Debt Service Account, IS equal to 3056 of all principal and Interest due an the debt service payment date. If at least five business days before any debt service payment date on the Bonds the Project Fund contalas an amount in exons of the amount to be transferred to the Debt Service Account an such date, then such excess amounts shall be available to the HRA to pay or reimburse the HRA for public redovekMment oasts paid, incurred. or to be paid or Incurred by the HRA In Redevelopment Project No. I in accordance with the redevelopment plan therefor and the tax increment financing pian for the District. S. The Pledge Agreement ramslas In full force and effect and Is not modified except as specified heroin. e/e Bova elcaLecela'al UNAV80 9 AasMNSVINose el -e! 86-le-Nnr 4. The City shall file an executed copy a2 this Agreement with the County Auditor Of Wright County in accordance with Minnesota Statutes, Section 488.178. subdivision 2. IN WITNESS WHEREOF, the City and the HRA have mused this Agreement to be duly executed on their behalf as of the date first above written. CITY OF MONTICELLO By Its Mayor By Its City Administrator H O U S I N G A N D REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO By Its Chair By Its Executive Director 2 a" NOW •ieaseeate-at MNAVNa • AGIMUNNVMaaA 06-99 as-le-Knr HRA AGENDA JUNE S, 1996 111 11 :ir R Ili 111 9 Mar,—, 11111 1 , WIT.1 171 1 „�•> A. Reference and Background: Per the Private Redevelopment Contract between the HRA and Presbyterian Homes, the parties agree the redeveloper shall complete the construction of the minimum improvements by lune 1, 1996. The minimum improvements shall be deemed substantially completed when the Redeveloper has received a Certificate of Occupancy from the inspecting authority. Minimum improvements means the construction of a 49 -unit senior housing facility. The Certificate of Completion is issued by the HRA upon the redeveloper receiving the Certificate of Occupancy. Enclosed is a copy of a letter received by Administrator Wolfsteller with a check in the amount of $7,350. This in satisfaction of the City Council action of April 22, 1996, denying the April 5 proposal. Also, enclosed is a copy of a memo dated May 24, 1996, outlining items not completed. Previous practice by the HRA has been to address a letter reminding the redeveloper of the completion date for construction of the minimum improvements and identifying the non -completed improvements. The HRA does have the right to waive the need for a Certificate of Occupancy and approve the issuance of the Certificate of Completion. Does the HRA desire one or the other? B. Alternative Actions, 1. A motion authorizing the Executive Director to write a letter of reminder. 2. A motion waiving the need for a Certificate of Occupany and approving the Certificate of Completion. 3. A motion to table any action. C. Recommendation. For consistency with past HRA action and as a united support of City Staff, the recommendation is Alternative Action No. I. D. SuMning Data. Excerpts from the Private Redevelopment Contract and copies of a letter from Mr. Dan Lindh and memo from Joe Merchek. proposed change and notify the Redeveloper in writing of its approval. Such change in the Construction Plans shall, in any event, be deemed approved by the City Building Official unless rejected, in whole or in part, by written notice by the City Building Official to the Redeveloper, setting forth in detail the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice of such change. The City Building Official's approval of any such change In the Construction Plane will not be unreasonably withheld. Section 4.3. Commencement and Completion of Construction. Subject to Unavoidable Delays, the Redeveloper shall commence construction of the Minimum Improvements by September 1, 1995. Subject to Unavoidable Delays, the Redeveloper shall complete the construction of the Minimum Improvements by June 1 1998. All work with respect to the Minimum Improvements to be constructed or prow ed by the Redeveloper on the Redevelopment Property shall be in conformity with the Construction Plans as submitted by the Redeveloper and approved by the Authority. The Redeveloper agrees for Itself, its successors and assigns, and every successor in interest to the Redevelopment Property, or any part thereof, that the Redeveloper, and such successors and assigns, shall promptly begin and diligently prosecute to completion the development of the Redevelopment Property through the construction of the Minimum Improvements thereon, and that such construction shall in any event be commenced and completed within the period specified in this Section 4.3 of this Agreement. Subsequent to conveyance of the Redevelopment Property, or any part thereof, to the Redeveloper, and until construction of the Minimum Improvements has been completed, the Redeveloper shall make reports, in such detail and at such times as may reasonably be requested by the Authority, as to the actual progress of the Redeveloper with respect to such construction. Section 4.4. Certificate of Comppletion. (a) Promptly after substantial completion of the Minimum Improvements in accordance with those provisions of the Agreement relating solely to the obligations of the Redeveloper to construct the Minimum Improvements (including the dates for beginning and completion thereof) , the Authority will furnish the Rodevelopor with an appropriate instrument so certifying. Such certification by the Authority shall be a conclusive determination of satisfaction and termination of the agreements and covenants in the Agreement and In the Deed with respect to the obligations of the Redeveloper, and Its successors and assigns, to construct the Minimum Improvements and the dates for the beginning and completion thereof. Such certification and such determination shall not constitute evidence of compliance with or satisfaction of any obligation of the Redeveloper to any Holder of a Mortgage, or any insurer of a Mortgage, securing money loaned to finance the Minimum Improvements, or any part thereof. (b) The certificate provided for to this Section 4.4 of this Agreement shall be in such form as will enable It to be recorded In the proper office for the recordation of deeds and other instruments pertaining to the Redevelopment Property. if the Authority shall refuse or fail to provide any certification In accordance with the provisions of this Section 4.4 of this Agreement, the Authority shall, within thirty (30) days after written request by the Rodevoloper, provide the Redeveloper with a written statement, Indicating In adequate detail In what respects the Redeveloper has failed to complete the Minimum Improvements In accordance with the provisions of the Agreement, or is otherwise In default, and what measures or acts it will be necessary, In the opinion of the Authority, for the Redeveloper to take or perform in order to obtain such certification. uw2w M190-47 10 caatreat tar FC1.4ts cw.tap�t (c) The construction of the Minimum Improvements shall be deemed to be substantially completed when the Redeveloper hes received a certificate of occumncv from the reseoaible inspecttnp: autho 1W l &n43 636 Mloo-47 11 COMM for 071gts t "Maturity Date" means the date that the Public Redevelopment Costs have been paid in full in accordance with the terms of Section 3.3 hereof, or the Authority's obligations thereunder have been terminated, whichever is earlier. "Minimum Improvements" means the construction on the Redevelopment Property of a 49 -unit senior housing facility. "Mortgage" means any loan received made by the Redeveloper which is secured, in whole or In part, with the Redevelopment Property and which is a permitted encumbrance pursuant to the provisions of Article VIII of this Agreement, and includes the loan of any Housing Bonds proceeds and documents relating to such loan and any security therefor. "Parcel" means any parcel of the Redevelopment Property. "Project" means the Authority's Redevelopment Project No. 1. "Project Area" means the real property located within the boundaries of the Project. "Public Redevelopment Costs" means those costs to be paid or reimbursed by the Authority in connection with the Redeveloper's development hereunder, as set forth in Schedule B. "Redeveloper" means Presbyterian Homes Housing and Assisted Living, Inc.. a Minnesota nonprofit corporation, or Its permitted successors and assigns. "Redevelopment Property" means the real property described in Schedule A of this Agreement. "Redevelopment Plan" means the Authority's Project Plan for Redevelopment Project No. 1, as amended March 13, 1999 and as it may be further amended. "State" means the State of Minnesota. "Tax Increment" means that portion of the real property taxes which is paid with respect to the Redevelopment Property and which is remitted to the Authority as tax increment pursuant to the Tex Increment Act. "Tex Increment Act" or "TIF Act" means the Tax Increment Financing Act, Minnesota Statutes, Sections 469.174 to 469.179, as amended. "Tax Increment District" or "TIF District" means the Authority's Housing District No. 1-19, a housing tax Increment financing district created by the City and the Authority. "Tax Increment Plan" or "TIF Plan" means the Tax Increment Financing Plan for District No. 1-19. "Tax Official" means any County assessor; County auditor; County or State board of equalisation, the commissioner of revenue of the State, or any State or federal district court, the tax court of the State, or the State Supremo Court. uwau74 M190-tt 3 cwtrwt fm r1J•au owwap�t o�p yry F7T ** Presbyterian April 30, 1996 Honfes 0/ MINNI SOIA Mr. Rick Wolfsteller, City Administrator City of Monticello Arden H16 250 East Broadway +=911.,Ir• 6.Iwm 111,J Monticello, MN 55362 1*111',11 11 7-117 lil: i r,,I .I»wi I^,,r,111 ^,I r».,r• Subject: Occupancy Permit for Mississippi Shores Bbomlrµton P,•1n17'1"" •un Dear Rick: n c. +,. a n.. ul . nmn•o aw ••••., n : •, a, ...1: •.•,» 1.». Thanks in large part to help and assistance from the City of Monticello, we IA•. Ih111 '•dX 11.17 are now in a position to open our jointly developed facility -Mississippi Cawmunlry Servicer, Shores - as soon as Wednesday, May 1. One of the final issues is satisfactorily addressing odor control. At aur fl " April 5, 1996 meeting, we talked about several issues. The proposal, at that time, was to add a second charcoal filter system at a cost of $11,000 tittle Gaud+ u.. t,,.,.1....I and to purchase two portable units to be available for rooms at an '^' • ✓•I: estimated cost of $150.00 each. i IN: 1::'r At a recent council meeting, there apparently was discussion and requirement that these portable units be available in every room. This Mlnnelen►w poses a temporary problem for us because that quantity is not immediately available and we are being advised that an alternative model -» �» may be more effective in meeting the needs. Our proposed solution is to deposit $150.00 x 49 units or $7,350.00 with the City of Monticello to III, insure that all portable units are in place well in adva nee of the timing of ° ^, I" ' ' the odor issues. This would allow us additional time to explore with the I—� iia %111: V.—S:IV.— ...I •, .,,1,.:,», city and city staff the most appropriate type of unit to meet the issues as defined. Sprintt Park u.l.ke Mianelnnka This would also allow residents of Monticello to move into their new homes •.,•. as planned without additional disruption to their or their families schedules. ,ni, I.nl ,. :nl •11!1 u .r.I: d,l <•.' . In that regard, please find a check for $7,350.00. Please contact me at 6316133 if additional information or discussion would be helpful in • working together to resolve this issue. Carpwde 011ke ""'1 ,+• 1 •I"""' ' I ' ,I rol nv, •sl I: ," enu Thank you for your consideration in this matter. le•.uI1 r,u..u., ' Sincerely, 1 rnnwdAlbw (��rY��•���M"\ 'd I'nil 111: 551 I: .'r,7 Daniel A. Lindh Chief Operating Officer r A•Irh Ife'l 1" Ifie "I'111ll U/hr Illdepwl"m..'r 1 ••.4 ri Irl r•bi ., 250 East Broadway P. O. Box 1147 Monticello, MN 55362-9245 MEMO Phone: (612) 295-27.11 Metro: (612) 333-5739 Fax: (612) 2954404 TO: Mr. Dan Lindh, Presbyterian Homes; Mr. Dean Sand, Construction Analysis and Management, Inc. FROM: Joe Merchak, Chief Building Official DATE: May 24, 1996 RE: Mississippi Shores An inspection by our department of the above -referenced project on May 23, 1996, found the following items not completed: 1. Address numbers visible from the street must be installed on the building. 2. A trap primer serving the standpipe that receives the elevator pit sump discharge must be installed. 3. The spring hinge closers on the stairwell barrier gate must be properly adjusted. (Also, a stop must be installed such that the gats will normally close access to the flight of stairs serving the basement.) 4. The portable air filters must be available for each dwelling unit. b. Disabled parking stalls and access aisles must be "striped" and a sign designating the van accessible parking apace and access aisle installed. 6. Astragal and smoke gasketing must be installed on the double door between the dining room and corridor. 7. Curb cut/ramps and paving of fire lane and trail must be completed. OJ19a oJPubbe works, 809 GW C"M 1U. Moft9kdlo, lb V 66362 • PAoee:18121293.3170 • Far (811)?93.3170. rrr. 1 Memo Mr. Dan Lindh and Mr. Dean Sand May 24, 1996 Page 2 Corridor ventilation air filter system (3rd floor, 2 locations) must be reconfigured to allow maintenance replacement of the charcoal filters without removing the furnaces' flues or vent connectors. These eight items must be completed before a final certificate of occupancy can be issued. Also for your information: The kitchen service must receive approval from the Health Department prior to being placed in service. Because additional lot area drainage was directed toward city facilities beyond what was originally proposed, an additional fee for trunk storm water is required. The City Engineer will be calculating the amount of the fee. Landscaping is not completed. cc: 011ie Koropchak, Economic Development Director Gary Anderson, Building Official Building File HRA AGENDA �. JUNE 5, 1996 t 1," IIT. HRA monthly bills - Enclosed are the monthly bills for approval by the HRA. C Page I HRA CASHFLOW FUNDS CASHFLOW BALANCE, May 1, 1996 HOISINGTON KOEGLER I I I WEST BROADWAY 1400 WEST BROADWAY CITY PARCEL TOTAL CASHFLOW BALANCE, June 5, 1996 l $485,000.00 S 80,650.00 S 50,000.00(HRA GENERAL) $145,000.00(TIF SURPLUS) $ 25,000.00(HRA GENERAL) $ 15,000.00(TIF SURPLUS) $315,650.00 5169,350.00 aUNITEDSMTES 141POSTAL SERVICE Nay 29. 1996 Honorable Bradley Fyle Mayor of Monticello PO Box 1 147 Monticello WI 55362-1147 Dear Mayor Fyle; The Postal Service has determined that the present postal facility located on W. Broadway is inadequate to continue to serve Monticello's future needs. We wish to establish an additional facility in Monticello for the carrier routes serving customers in the 55362 Zip Code. We feel this project will enhance both the qualities of postal services we provide to your community and our employees' working conditions. The present Main Post Office will remain in the present location and will continue to provide all the smites as it has in the past. After consulting with Postmaster Hutchinson, we have determined that the new building should contain, ideally, approximately 6500 square feet of net interior space on the USPS owned site in Monticello. The Postal Service wants to work closely with your community to achieve a mutually beneficial postal facility. Therefore we would like your input into our plans, prior to the public advertising for construction. We welcome your timely suggestions and comments. Please address any questions, suggestions. or concerns to: Karen Delomom. Real Estate Specialist Kansas City Facilities Service Office. 6800 West 64th Street - Suite 100. Overland Park KS 66202.4171. Telephone no. (913) 931- 1855 ext. 470. Thank you for your valuable participation in this process. Sinc4rely, Robert Risser District r. Customer Servlee and Sales Northland District KENNEDY a GRAVEN cwvere 200 Saadi Sbrth SnK, Sala 470 KW**dh MN 55402 (612)337-9300 CLIENT SUMMARY May 14, 1996 Monticello HRA City Hell 250 East Broadway PO Box 83A Monticello, MN 55362 Through April 30, 1996 MN195-00004: Katzmarek Acquistion S 30.00 Services Rendered: $ 30.00 Disbursements: $ 0.00 Balance Due: S 30.00 tn*Wwr d11w wee+s delve Mei' eMQIdeO �d Monticello HRA City Hall 250 East Broadway PO Box 83A Monticello, MN 55362 KENNEDY at GRAVEN Lammed 200 SaM Stili SUM stdu 470 mhw^wk MH SW2 (612)337-9300 May 14, 1996 MN195-00004: Kwzmwek Acquistion Invoice tt 9431 Through April 30, 1996 For All Legal Services As Follows: 04/08/96 CHT lntreoffice conference with S Bubul re status of settlement Total Services: 0.20 30.00 30.00 Total Services And Disbursements: S 30.00 KENNEDY a GRAVEN tLaeeed 200 South Sboh Soon, Sulo 470 M� ra S5402 (612) 337-9300 May 14, 1996 City of Monticello PO Box 1147 Monticello, MN 55362-9245 MN 190-00041: Redevelopment -General Invoice # 9425 Through April 30, 1996 For All Legal Services As Follows: 04/02/96 SJB Phone call with O. Koropchak re next HRA agenda 0.40 51.60 matters 04/03/96 SJB Attend HRA meeting 3.50 451.50 0429/96 SJB Phone call with O. Koropckeck re various HRA 010 25.80 agenda matters Total Services: S 529.90 Total Services And Disbursements: $ 528.90 KENNEDY a GRAVEN chaeeed 200 SuM S uh Saes, Sulu 470 Khmpok KN 55402 (612) 337-9300 May 14, 1996 City of Monticello PO Box 1147 Monticello, MN 55362-9245 MN 190-00052: Monticello Community Part= Invoice 9 9427 Through April 30, 1996 For All Legal Services As Follows: 04/24#96 SJB Review and revise MCP Loan 04/2496 DJG Draft loan documents for Monticello Community Partners Total Services: Total Services And Disbursements: 0.75 96.75 2.60 260.00 356.75 356.75 City of Monticello PO Box 1147 Monticello, MN 55362-9245 KENNEDY a GRAVEN Chwoed 200 South SIM SUM Sub 470 10nmapotb, Mi 55402 (612) 337-9300 May 14, 1996 MN190-W53: Master's Home Furnishings Demolition Invoice # 9428 Through April 30, 1996 For Ali Legal Services As Follows: 03/11/96 DJG Phone call with 011ie Koropchak m masters 0.30 30.00 negotiation aunt 04/04/96 SJB Phone call with O. Koropchak re right of fun 0.20 25.80 refusal Total Services: E 55.80 Total Services And Disbursements: S 55.80 City of Monticello PO Box 1147 Monticello, MN 55362-9245 KENNEDY at GRAVEN Ourmed 200 South Sbah Saeet, Sults 470 M MN S502 (612) 337-9300 May 14, 1996 MN190-=54: Prairie West Project (Komarek) Invoice # 9429 Through April 30, 1996 For All Legal Services As Follows: 04/04/96 SJB Review Purchase Ant 0422196 SJB Phone call with M. re project andpro forma 0424/96 SJB Phone call with O. Koropheck and M. Ruff re 04/26/96 SJB pprroo ea Ort with city m project 0429/96 SJB Phone call with O. Koropchak re Ruff memo and HRA meeting; review Ruff memo Total Services: Total Services And Disbursements: I 0.25 32.25 0.25 32.25 0.50 64.50 3.00 387.00 0.30 38.70 S 554.70 S 554.70 v n KENNEDY at GRAVEN cb+ne+ed 200 South Shah Sum Sub 470 Mim¢poO6 FM SS4o2 (612)337.9300 7 May 14,19% City of Monticello PO Box 1147 Monticello, MN 55362-9245° MN190.00055: Downtown Revitalization Project Invoice # 9430 Through April 30, 1996 For All Legal Follows: 04/17/96 SJB Review Hoisington contract; research ADR clause iSSIes 0.75 %.75 04/1" SJB Phone call wtih M. Schroeder and O. Koropchak re 0.40 51.60 Hoisington contract 04/20/96 SJB Review Hoisington contras revised act 0.20 25.90 Total Services: $ 174.15 Services As Total Services And Disbursements: E 174.13 KENNEDY at GRAVEN Owtuo 200 Sam Strtlh Ste, Sdm 470 ra oati, MW 55402 (612) 3379300 CLIENT SUMMARY May l4, 1996 City of Monticello PO Box 1147 Monticello, MN 55362-9245 Through April 30.19% MN 190-00041: Redevelopment - General MN 190.00052: Monticello Community Partners MN 190-00053: Master's Home Furnishings Demolition MN 190-00054: Prairie West Project (Komarek) MN190-ON55: Downtown Revitalization Project Services Rendered.- Disbursements: endered:Disbursements: Balance Due: fdN"&U M MWdtW d wa+s •10 �� � M1 woman $ 528.90 S 356.75 S 55.80 S 554.70 $ 174.15 S 1,670.30 $ 0.00 S 1,670.30