HRA Minutes 04-06-1990
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MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Friday. April 6. 1990 - 11:00 AM
City Hall
MEMBERS PRESENT: Chairperson Al Larson. Ben Smith. and Everette
Ellison.
MEMBERS ABSENT: Lowell Schrupp and Tom St. Hilaire.
STAFF: Ollie Koropchak.
1. CALL TO ORDER.
Chairperson Al Larson called the HRA Special meeting
to order at 11:20 AM.
2.
CONSIDERATION TO ADOPT A RESOLUTION MODIFYING TAX INCREMENT
FINANCE PLAN RELATING TO TAX INCREMENT FINANCE DISTRICT
NO. 1-10 FROM A REDEVELOPMENT DISTRICT TO AN ECONOMIC
DISTRICT.
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Koropchak informed the HRA members that originally. this
TIF district was to be established an a redevelopment
district and now will be established as an economic district
as recommended by Bob Deike of Holmes & Graven. the City's
bond counsel. In Mr. Deike's opinion. the district did
not meet current statutory qualifications for establishment
of a redevelopment district. Current statutory qualifications
to establish a redevelopment district state that 70% of the
parcels in the district are occupied by buildings. streets.
utilities. or other improvements. and 20% of the buildings
are structurally substandard (there are no buildings on
this parcel). Nor can he justifiably determine the streets.
utilities. or other improvements to be structurally
substandard to a degree of requiring removal. Thirdly
is his concern with legislators' intent to further tighten
the qualifications for establishment of redevelopment
districts.
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Koropchak explained the impact of the change. An economic
district has a lesser impact on a community than a redevelopment
district; therefore. there is no need to republicize the notice.
and the taxing jurisdictions will be notified of the change upon
adoption of the TIF District and Plan by the City Council.
Secondly. the duration of the district is reduced from 25
years to 10 years. The upfront assistance to Remmele Engineering
was based on increment generated over eight years. however.
staff had anticipated the additional increment collected over
the remaining 15 years would assist in costs to reconstruct
the realigned Fallon Avenue. purchase the small triangle piece
to the south of Chelsea Road. and to replenish the HRA general
fund for future projects. The actual reconstruction of
Fallon Avenue and/or the construction of a bridge across 1-94
is highly unlikely to occur for another several years.
Financing of these public improvements may be through another
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HRA Minutes - 4/6/90
Page 2
2. CONTINUED.
TIF project. through assessment. or through the increased
increment generated by porject expansion within this
district.
Recognizing the need to meet statutory requirements of
establishing a district. Everette Ellison made a motion
to adopt the resolution modifying Tax Increment Finance
Plan and District relating to Tax Increment District No.
1-10 from a Redevelpment District to an Economic
District. as per Mr. Bob Deike's recommendations. Ben
Smith seconded the motion and without further discussion the motion
carried unanimously. Lowell Schrupp verbally agreed
to the modification. however, was unable to be present
at the meeting.
3. ADJOURNMENT.
The HRA meeting adjourned at ll:45 AM.
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Ollie Koropchak
HRA Executive Secretary
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