City Council Agenda Packet 06-12-2006
AGE DA
REGULAR MEETING - MO TICELLO CITY COUNCIL
Monday June 1 ,2006 -7 p.m.
Mayor: Clint Herbst
Council Members: Wayne Mayer, Tom Perrault, len Posusta and Brian Stumpf
A. Consideration of approving hires and epartures for Streets, Building, Parks and MCC.
1. Call to Order and Pledge of Allegiance.
2. Approve minutes of May 22, 2006 regular C
3. Consideration of adding items to the agenda.
4. Citizen comments, petitions, requests and co
5. Consent Agenda: (To be read by City Admini trator)
B. Consideration of authorizing feasibilit study for extending sidewalk along 6th Street
between Locust Street and Elm Street, long Elm Street between 6th Street and CR 39,
an adding this segment to the sidewalk grid system.
C. Consideration of approving an extensi n of an Interim Use Permit for the Alternative
Learning Program located in an 1-1 (Li ht Industrial) District. Applicant: Monticello
School District.
D. Consideration of approving developm t agreement outlining financial obligations,
easements and park dedication require ents relating to the Niagara Falls subdivision.
E. Consideration of approving final plat d development agreement for Hidden Forest
Phase I.
F. Consideration of approving preliminary plat for Hidden Forest 2nd Addition.
G. Review of 2005 Liquor Store Financial eport and I st quarter 2006 report.
H. Consideration of authorizing a feasibilit report and final grading plan to extend Dalton
Avenue (formerly School Boulevard) an the westerly road adjacent to the proposed
A VR site as part of the Otter Creek Indu trial Campus.
1. Consideration of approving change orde #3 for the CSAH 18/1-94 Interchange Project,
City Project No. 2004-01C.
J. Consideration of authorizing feasibility s udy for drainage ditch improvements between
Kampa Circle and Monticello Country C ub Golf Course.
Agenda
Monticello City Council
June 12, 2006
Page Two
6. Consideration of items removed from the con ent agenda for discussion.
7. Public Hearing - Consideration to approve a esolution adopting the modification to the TIF
Plans for TIF District No. 1-2 (MetcalfLarso ) and TIP District No. 1-24 (St. Benedicts).
8. Consideration of award of bid for the 2006 8t eet Reconstruction Project, City Project No.
2006-01 C.
9. Consideration of awarding bid for Hidden Fo st/Niagara Falls Forcemain and Watermain
Improvements, City Project No. 2005-03C, c ntingent upon finalization of development
contracts and securities.
10. Consideration of settlement /land exchange a eement with A VR.
11. Consideration of purchasing balance of Otter reek Industrial Park land - paying off contract
for deed.
12. Consideration of authorizing City Engineer to . nvestigate options for improving traffic flow at
the intersection ofTH 25 and River Street.
13.
Consideration of adding street lights to the C8
18 Interchange bridge.
14. Department Activity Report - Economic Deve opment - Ollie Koropchak
15. Consideration of approving payment of bills Dr June.
16. Adjourn.
Council Agenda: 5/22/06
MINUT S
REGULAR MEETING. MONT CELLO CITY COUNCIL
Monday May 22, 006 - 7 p.m.
Members Present:
Clint Herbst, Wayne Mayer, om Perrault, Glen Posusta and Brian
Stumpf.
Members Absent:
None
1. Call to Order and Pled~e of Alleeiance
Mayor Herbst called the meeting to order at p.m. and declared a quorum present The
Pledge of Allegiance was said.
2A.
BRIAN STUMPF MOVED TO APPROVE THE MINUTES OF THE MAY 8, 2006
REGULAR COUNCIL MEETING AS PR SENTED. TOM PERRAULT SECONDED
THE MOTION. MOTION CARRIED UN NIMOUSL Y.
2B. A rove minutes of Ma 9 2006 reconve ed Board of Review
BRIAN STUMPF MOVED TO APPROVE THE MINUTES OF THE MAY 9, 2006
RECONVENED BOARD OF REVIEW. T M PERRAULT SECONDED THE
MOTION. MOTION CARRIED WITH G EN POSUSTA ABSTAINING.
Clint Herbst added an update on a commun'ty meeting to discuss sex offenders.
3. Consideration of addin items to the a e da.
4.
Tom Parker and Jacque Gordon from the M nticello Library Board came before the
Council to discuss a fund raising project by e Friends of the Library. The Council
indicated they would discuss the fund raisin project when the change order for the
library was discussed later in the meeting.
5.
A. Consideration of approving hires an departures for MCC. Recommendation:
Approve the hiring and departments for the MCC. It was noted that Sara Cahill
who was hired to fill the position of Operations/Programs Coordinator for the
MCC was present at the meeeting.
Council Agenda: 5/22/06
B. Consideration of approving a reque t by Crostini Grille for an on-sale and Sunday
liquor license. Recommendation: pprove the on-sale and Sunday liquor license
contingent on submittal of certificat of insurance and license fee.
C. Consideration of approving an addi ional change order for the library expansion
project relating to the service desk ounter top installation. Recommendation:
Approve the change order for $2,50 -$3,000 to Greystone Construction for work
on the counter top for the Monticell Public Library, City Project No. 2004-36C.
D. Consideration of adopting an ordin ce amendment rezoning Sunset Ponds 2nd
Addition from R-l to R-2 and R-2 . Recommendation: Approve ordinance
amendment #445 rezoning Sunset onds Second Addition from R-l to R-2 and
R-2A.
E. Consideration of approving a reque t for amendment to the Monticello Zoning
Ordinance regulating directional si age or identification signs for institutional
uses in the PS (Public Semi-Public istrict) Applicant: Resurrection Lutheran
Church. Recommendation: Arne d the Zoning Ordinance to allow an increase
in the number and size of institutio al identification signage to allow 2 additional
signs at a maximum of75 square fi et total in addition to existing institutional
identification signage.
F. Consideration of adopting a resolut on accepting a donation from the Land of
Lakes Choirboys for Riverfest and ire Department and a donation from the
Monticello Lions Club towards the War Memorial Lighting. Recommendation:
Approve the contributions and aut orize use of funds as specified by donors.
G. Consideration of a request for final plat approval for four single family lots in an
R-l (Single Family Residential) Di trict. Applicant: West Side Market.
Recommendation: Approve the fi al plat for Pine View subject to the
recommendations of the City Engi eer based on a finding that the proposed plat is
consistent with the approved preli inary plat.
H. Consideration of approval of preli inary plat and rezoning for Niagara Falls
residential development. Applicant: GP Land Corporation. Recommendation:
1) Rezoning: Moved to approve t e rezoning from A-O to R-1A as proposed in
the preliminary plat based on a fin ing that the proposed zoning would reflect the
intent ofthe City's Comprehensiv Plan. 2) Approve the preliminary plat based on
a finding that the plat meets the re uirements of the Zoning Ordinance subject to
the following: a) The final street plans shall be subject to the review and comment
of the City Engineer; b) The lands ape plan shall be revised to provide an
alternate species oftree near the p rimeter of the wetland in lieu of the sugar
maples and to show additional gro nd covers and/or grasses surrounding the
Council Agenda: 5/22/06
stormwater ponds and wetland; c) I sues related to the wetland area are subject to
the review and comment of the Cit Engineer; d) The grading, drainage, erosion
control and utility plans are subject 0 the review and approval of the City
Engineer; and e) The applicant com lies with the park dedication requirement as
set by the City Council.
I. Consideration of approving vacant and purchase agreement - Muller Theater.
Recommendation: Approve the p chase agreement selling 15,245 sq. ft. of
former Outlot C Jefferson Commo s to Mike Muller at a total price of$9l,470
plus area trunk charges.
Items #5B, #5C, #5D, #5E and #5G were lIed from the consent agenda.
TOM PERRAULT MOVED TO APPRO E THE CONSENT AGENDA WITH ITEMS
#5B, #5C, #5D, #5E AND #5G REMOVE . WAYNE MAYER SECONDED THE
MOTION. MOTION CARRIED UNANI OUSL Y.
6. Consideration of items removed from the
#5B - Liquor License Crostini Grille: Wa e Mayer asked how issuing another full liquor
license impacted the number oflicenses ava'lable in the City. City Administrator, Rick
W olfsteller stated that there has been a chan e in state statute wherein liquor licenses
issued to full service restaurants do not co t against the licenses available to the City.
Wayne Mayer stated at the previous meetin , the Council approved an encroachment into
the street right-of-way to allow an enclosure for outdoor seating. He noted that in
Minneapolis only wine and beer were serve in the outdoor seating area. He questioned
what Crostini's was proposing to do. Are resentative for Crostini Grille's indicated they
were not intending to restrict what beverage were served in the outdoor seating area.
WAYNE MAYER MOVED TO APPROV THE CHANGE IN THE LIQUOR LICENSE
FOR CROSTINI GRILLE FROM A WINE STRONG BEER LICENSE TO A FULL ON-
SALE AND SUNDAY LIQUOR LICENSE CONTINGENT UPON SUBMITTAL OF
THE CERTIFICATE OF INSURANCE A D PAYMENT OF FEE. TOM PERRAULT
SECONDED THE MOTION. MOTION C RRIED UNANIMOUSLY.
#5C Change Order for the Library Service Counter: The change order for the library
expansion project related to the service co ter. The counter top material was defective
and there were also some changes made to e design of the service counter. None of the
parties involved felt they should be respons ble for the cost of installing the counter top
again. The Council felt if the material was defective or was installed improperly the City
should not have to bear the cost to have it i stalled again. Rick W olfsteller indicated that
in discussions with the architect, the archit ct had indicated that there were changes to the
design of the counter so the supplier while illing to replace the defective material was not
Council Agenda: 5/22/06
willing to install it on a redesigned counter. om Parker stated that the counter top was in
good shape when it was installed and the inst llation was done properly. It was just that the
counter top material did not hold up. He ad ed that the service counter had some changes
in design because of errors in the original des' gn. Neither the counter top supplier, the
general contractor nor the architect were will ng to take responsibility for the cost of
installing a new counter top.
Wayne Mayer felt since the general contract r had hired the supplier of the counter top, the
general contractor should be responsible for etting the replacement counter top installed.
The Council indicated that there needed to b further discussions with the various parties
involved relating to the cost for the service c unter but that should not hold up getting the
work completed. Glen posusta reminded the Council when the architectural firm was
selected for the library expansion project, th firm was selected even though they were not
the lowest price but because they had claime with their experience in building libraries
there would not be significant project chang s or cost overruns. He felt the architect should
share in the cost of this change order. Clint erbst stated that he would still expect the City
to continue to discussions with the various pies about sharing the cost of this item.
WAYNE MAYER MOVED TO AUTHOR E A CHANGE ORDER IN THE AMOUNT
OF APPROXIMATELY $2,500-$3,000 FO THE CUTTING, MODIFICA nON AND
INSTALLA nON OF A NEW A VONITE C UNTER TOP AT THE LIBRARY AND
RECOMMENDED THAT THE CITY SER OUSL Y CONSIDER WHETHER THIS
GENERAL CONTRACTOR BE USED IN HE FUTURE.
City Attorney Tom Scott indicated that ifit as a project that the City was required to
advertise for bids on, the City must go with he lowest responsible bidder. Tom Parker
clarified that the counter top material was d fective and the cabinet work was good but
design changes were made to make the se . ce counter more efficient.
TOM PERRAULT SECONDED THE MO ION. MOTION CARRIED
UNANIMOUSLY.
Tom Parker and Jacque Gordon presented a proposal to the Council for a fund raising
project to be conducted by the Friends ofth Library for a sculpture by Parker McDonald.
The City was not being asked to fund any 0 the cost ofthe sculpture but since it would be
on city-owned land, the Library Board was equesting approval. The sculpture would make
use of some limestone panels that were fro the original Braisie Worth library located in
Monticello.
BRIAN STUMPF MOVED TO ALLOW T E FRIENDS OF THE LIBRARY TO GO
FORWARD WITH THEIR FUND RAIS G EFFORTS FOR THE SCULPTURE
PROJECT. WAYNE MAYER SECOND D THE MOTION. MOTION CARRIED
UNANIMOUSLY.
Council Agenda: 5/22/06
#5D Rezoning Sunset Ponds Second Additi n: Wayne Mayer requested an update on this
item. It was noted when the preliminary pIa was approved the entire parcel was rezoned
to R -1. When the final plat for the first phas was approved portions of the property
covered in the first phase were rezoned speci lcally for the R-2 lots in the first phase.
When the final plat of Sunset Ponds Second ddition was approved some rezoning should
have been done to cover those lots designed 0 R-2 and R-2A standards. Unfortunately,
however, the rezoning was overlooked at the time of the final plat approval and was now
being brought before the Council.
BRIAN STUMPF MOVED TO ADOPT 0 INANCE NO. 445 REZONING THE LOTS
IN SUNSET PONDS SECOND ADDITION FROM R-I TO R-2 AND R-2A. TOM
PERRAULT SECONDED THE MOTION. OTION CARRIED WITH GLEN
POSUSTA VOTING IN OPPOSITION.
#5E - Zoning Ordinance Amendment relatl g to identification signs for institutional
uses. Tom Perrault pulled this item becaus he felt a little more discussion was needed on
the impact of this ordinance change. The Panning Commission had discussed the
proposed amendment at length and felt the s gnage should be the same for all institutional
uses. Glen Posusta noted his concern about the stability ofthe materials that are being
used for these signs. Clint Herbst suggeste some conditions be placed on the type of sign
material allowed. Steve Grittman, City PI er noted material requirements and
maintenance requirements for signs are curr ntly in place in the existing ordinance.
TOM PERRAULT MOVED TO ADOPT A ORDINANCE AMENDMENT
ALLOWING AN INCREASE IN THE NU BER AND SIZE OF INSTITUTIONAL
IDENTIFICATION SIGNAGE TO ALLO TWO ADDITIONAL SIGNS AT A
MAXIMUM OF 75 SQUARE FEET TOTA IN ADDITION TO EXISTING
INSTITUTIONAL IDENTIFICATION SIG AGE. WAYNE MAYER SECONDED THE
MOTION. MOTION CARRIED UNANIM USL Y.
#5G - Final Plat Pine View: Tom Perrault xpressed his concern about the plat having too
many lots for the amount ofland being deve oped. Clint Herbst noted that while the lot
width was narrower than standards, the lot ea exceeded standards.
BRIAN STUMPF MOVED TO APPROVE THE FINAL PLAT FOR PINE VIEW
SUBJECT TO THE RECOMMENDA TIO S OF THE CITY ENGINEER AND BASED
ON A FINDING THAT THE PROPOSED LA T IS CONSISTENT WITH THE
APPROVED PRELIMINARY PLAT. GL N POSUSTA SECONDED THE MOTION.
MOTION CARRIED WITH TOM PERRA LT VOTING IN OPPOSITION.
Wayne Mayer asked when Outlot A would e developed. Tom Holthaus indicated that as
soon as the road alignment is complete Outl t A would be developed. Clint Herbst
indicated that some ofthe residents to the e st experienced some drainage problems and he
Council Agenda: 5/22/06
directed the City Engineer and the developer t look at the problem to see what could be
done.
rovements School
7.
City Administrator Rick Wolfsteller explaine that the street lights were installed on
School Boulevard from Edmonson Avenue to TH 25 and also on the west side ofTH 25
through the Jefferson Commons and Prairie P nds development. He noted that some of
the street lighting assessment had been prepai as part of development agreements.
Mayor Herbst opened the public hearing on t e proposed street lighting assessment. There
was no one present who spoke for or against he proposed assessment. Mayor Herbst then
closed the public hearing.
GLEN POSUST A MOVED TO ADOPT TH ASSESSMENT ROLL FOR PROJECT
NO. 2005-22C FOR STREET LIGHTING I PROVEMENTS IN THE AMOUNT OF
$364,227. TOM PERRAULT SECONDED HE MOTION. MOTION CARRIED
UNANIMOUSLY.
undas Road
8.
Bret Weiss from WSB & Associates, Inc. pr vided background information on the project
which covers the reconstruction of Cedar Str et from Chelsea Road to Dundas Road and
the construction of Dundas Road from Cedar Street to Edmonson Avenue. At the public
hearing that was held previously two assess ent options for Cedar Street were presented
but the Council did not select which option ould be applied. Option #1 would be to
assess a portion of the cost for the reconstruc ion of Cedar Street. This cost was estimated
at $102/front foot. New improvements suc as sidewalk, street lighting, storm sewer,
utility stubs, etc. would be assessed at 100% f the cost. Option #2 would be to assess
100% of the project costs to the benefitting p operty. If Option #1 is selected the City
would be picking up $116,000 of the street r construction costs. The improvements to
Dundas Road would be assessed at 100% of e cost since it is not a
reconstruction project.
Clint Herbst asked about the 5 acre parcel th City owns in this area. He felt if the City still
had the property it could be used to back the road out some distance which would create a
more palatable basis for future redevelopme t. Bret Weiss indicated staffhad not looked
at the option of using the five acre parcel for that purpose. He indicated that at the present
time the project plans are in the state aid rev'ew process. John Simola added that the gas
line in the area has already been relocated. ret Weiss indicated staff could look at this
Council Agenda: 5/22/06
option and bring it back to the Council to de ide if they feel it is feasible to make that
change.
Brian Stumpf asked if the proposed assessm t would meet the 20% requirement for
bonding and Bret Weiss indicated it would. len Posusta asked what was done on
assessing Cedar Street south of Dundas Roa. Bret Weiss stated it was assessed 100%
because it was a new road.
BRIAN STUMPF MOVED TO APPROVE HE PLANS AND SPECIFICATIONS AND
AUTHORIZE THE ADVERTISEMENT OF BIDS FOR THE RECONSTRUCTION OF
CEDAR STREET FROM CHELSEA ROA TO DUNDAS ROAD AND THE
CONSTRUCTION OF DUNDAS ROAD F OM CEDAR STREET TO EDMONSON
AVENUE USING OPTION #1 ASSESSM NT PROCEDURE WHICH WOULD
ASSESS THE CEDAR STREET IMPROV MENTS TO ADJACENT BENEFITTING
PROPERTIES AT A RATE OF APPROXI ATELY $102/FRONT FOOT AND ASSESS
THE DUNDAS ROAD IMPROVEMENTS 0 ADJACENT BENEFITTING
PROPERTIES AT 100% OF THE IMPROV MENT COST AND TO LOOK AT THE
OPTION OF USING CITY OWNED LAN WHICH WOULD CHANGE THE
ALIGNMENT OF THE STREET. GLEN P SUSTA SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY.
Deputy City Administer, Jeff O'Neill provid d background information on the proposal to
exchange land sites owned by Butch Linden elser and Mark Parnell for land in the city-
owned Jefferson Commons. In exchange:6 r a 12.9 acre site in Jefferson Commons, the
City would receive the site that presently co tains River City Lanes and they would also
acquire the Monte Club site.
9. Consideration of a rovin land exchan
Ci Lanes site in exchan e for land in th
It is proposed to construct a banquet facility, lounge and bowling alley containing 40 lanes
on the Jefferson Commons site. It is also pr posed that SAC/W AC charges for the new
facility would be reduced by 40% and the C ty would vacate any easements not needed.
The City would be responsible for the demo ition of the existing restaurant/bowling alley
but at this time there has been no determina . on on what would be done with the former
Monte Club structure.
Jeff O'Neill reviewed some of the anticipat d benefits the new facility would generate and
reviewed land value information on the site involved. He noted that neighborhood
informational meetings would be held on th proposed development.
Brian Stumpf felt that conceptually this pro osal would be a win-win situation and he felt it
was important to conduct the neighborhood meetings. Wayne Mayer questioned the basis
Council Agenda: 5/22/06
for reducing the SACIW AC charges by 40%. There was concern expressed that other
developments would expect similar discount. Staff and Council who negotiated the
proposal felt the reduction in SACIW AC ch ges was an incentive to the developer and was
a negotiating tool that could be used to entic business and development to take place.
They stated that since the banquet facility wo ld not be used to its full capacity at all times,
there could be some adjustment to the amou of the charges. City Administrator Rick
Wolfsteller stated that the City calculates the SACIW AC units based on the guidelines that
the Metropolitan Council developed. Glen P susta stated that because the City's
SACIW AC charges are so high it is driving b siness away. Rick W olfsteller pointed out
that how the unit charges are calculated and t e City's rate per unit are two different things.
Glen Posusta felt the unit rate the City charg s for SACIW AC charges should be on the
next agenda. Wayne Mayer questioned why e Council would discuss at length a $2,500
change order for the library but forgives a $1 0,000 in SAC charges in addition to reducing
the selling price of the City's land price
Ollie Koropchak, Economic Development D rector, questioned the land prices that were
used on this proposal. The land price for th Jefferson Commons property was shown as
$5.33/sq. ft. which is less than what the City as previously sold land for in the Jefferson
Commons development. The bowling aIle site was shown as $5.00/sq. ft. Ollie
Koropchak stated that this land is zoned ind strial and industrial land prices on the City
owned industrial park run $2.65/sq. ft. She sked if the property had been appraised. Jeff
O'Neill indicated that the land price used w based on a commercial use of industrial
zoned land. Clint Herbst stated that it may b at some point in the future that this land
could be rezoned for commercial use.
Brian Stumpf felt the City should keep in mi d what they are getting for what they are
giving up and felt since this is still in the ear y stages, things are bound to change.
BRIAN STUMPF MOVED TO GIVE CON EPT APPROVAL OF THE PROPOSED
EXCHANGE OF 12.9 ACRES IN JEFFER ON COMMONS FOR THE MONTE HILL
SITE AND THE RIVER CITY LANES SIT AND AUTHORIZE THE CITY
ATTORNEY TO DRAFT DOCUMENTS CCORDINGL Y. LAND TRANSFER IS
CONTINGENT ON AGREEMENTS ASS RING ACTUAL CONSTRUCTION OF THE
FACILITY AS PROPOSED. GLEN POSU TA SECONDED THE MOTION.
Wayne Mayer stated it is not whether the Co cil agrees with the concept but that the
Council has a responsibility to the people of Monticello not to give things away. Wayne
Mayer wanted clarification on who offered e 40% discount on the SACIW AC fees and
stated he didn't know if Glen Posusta and C int Herbst were in position to do that kind of
negotiating. Tom Perrault felt that he woul like to see the new facility in the Jefferson
Commons development but felt the property owner should sell his own land. He didn't
think the City should act as a land broker.
Council Agenda: 5/22/06
UPON VOTE BEING TAKEN, MOTION C RRIED WITH WAYNE MAYER AND
TOM PERRAULT VOTING IN OPPOSITIO
Added Items:
City Administrator updated the Council informing th that the Police Commission had discussed
the notification procedures used when a sex offender e10cates to a community. The Sheriff's
Department will be working with the Jacob Wetterlin Foundation and the Minnesota Department
of Corrections to set a public meeting on this issue. ince he has not heard back from the
Sheriffs Department on a specific date yet, Rick Wo fsteller will follow up on this.
Clint Herbst also brought up a request by the Americ Legion regarding directional signs. John
Simola will check into this further.
City Administrator, Rick Wolfsteller informed the Co ncil that he had submitted the Council's
suggested offer on a parcel of land in the area of the CC. The property owner has not yet
responded to the offer.
10. Consideration of approvin2 bills for Mav.
TOM PERRAULT MOVED TO APPROVE A YMENT OF THE BILLS. CLINT
HERBST SECONDED THE MOTION. MO ION CARRIED UNANIMOUSLY.
11. Adjourn.
The meeting was adjourned at 9:15 p.m.
Recording Secretary
Council Agenda - 6/12/06
SA. Consideration of a
and MCC. (RW)
new hires an de artures for Streets Buildin Parks
A. REFERENCE AND BACKGROUND:
The Council is asked to ratifY the hiring and departures of employees that have occurred
recently in the Streets, Parks and Building Departments and at the MCC, As you recall, it
is recommended that the Council officially r tifY the hiring of all new employees
including part-time and seasonal workers.
B. AL TERNATIVE ACTIONS:
1. RatifY the hiring/departures ofthe e ployees as identified on the attached list.
C. SUPPORTING DATA:
Lists of new employees.
NEW EMPLOYE S
Name Title Depa' ment Hire Date Class
Hoglund, Ben Summer Temp Streets 5/15/06 Temp
Decourcy, Andrew Summer Temp Streets 5/16/06 Temp
Hackenmueller, Ron Building Inspector Building 5/18/2006 FT
Geyen, Craig Summer Temp Parks 5/15/2006 Temp
Hanson, Andrea Slide Attendant MCC 5/17/2006 PT
Vetsch, Mamie Lifeguard MCC 5/10/2006 PT
LeGare, Brittany Lifeguard MCC 5/23/2006 PT
Hirschey, Jon Summer Temp Streets 5/22/2006 Temp
TERMINATING EMPL )YEES
Name Reason Depar1 ment Last Day Class
employee councillist.xls: 5/30/2006
--...... u.._ ..". --.. -----..-
Council Agenda: 6/12/06
A. REFERENCE AND BACKGROUN
During the discussion of agenda item # at the City Council meeting on May 8,
2006, it was mentioned that any pedest an facility improvements planned along
6th Street should connect existing UTICO ected sidewalk segments. City staff
has therefore identified potential pedest . an facility improvements along 6th
Street between Locust Street and Elm S reet, and along Elm Street between 6th
Street and CR 39 (see Figure la, 1b, Ie and 1d) that would connect the existing
unconnected sidewalk segments.
SB.
Construction of the improvements iden ified in Figure 1 would result in a
sidewalk system connecting the Comm nity Center and Library to the City's
grid sidewalk system. It would also pr vide a greater level of safety for
pedestrians utilizing 6th Street. In addi . on, the identified improvements would
provide a sidewalk connection for the roposed Villas on Elm residential
development to the City's grid sidewal system.
The improvements identified in Figure 1 include construction of eight striped
crosswalks, twelve pedestrian curb r ps and approximately 1,440 linear feet of
sidewalk along 6th Street and Elm Stre t. In addition, minor grading work
would be required, as would the remo al or relocation of several small-sized
trees.
If these improvements are included on the City's sidewalk grid system the
adjoining property owners would be a sessed 25% of the construction cost, with
the City paying the remaining 75%. H wever, if the improvements are not
placed on the grid system they would e paid for solely by the property owner.
The purpose ofthe City's grid sidewal system is to provide a safe, connected
route for pedestrians to walk from one destination to another.
B. AL TERNATIVE ACTIONS:
1. Authorize preparation of a feasibil ty study for construction of pedestrian
facility improvements along 6th St eet between Locust and Elm Streets, and
along Elm Street between 6th Stre t and CR 39, and add the improvements to
the City's grid sidewalk system.
2. Deny preparation of a feasibility s udy for construction of pedestrian facility
improvements along 6th Street bet een Locust and Elm Streets, and along
Elm Street between 6th Street and R 39.
Council Agenda: 6/12/06
C. STAFF RECOMMENDATION:
It is the recommendation of the City Ad inistrator, the Public Works Director
and the City Engineer that the City Coun il approve alternative action #1.
D. SUPPORTING DATA:
Figure la, lb, 1c and ld.
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Council Agenda: 6/12/06
sc.
A. REFERENCE AND BACKGROUND
The Planning Commission reviewed thi item at its June 6th meeting, recommending
approval of extension of the Interim se Permit for a period of three years. The
Commission heard testimony from the School District Superintendent Jim Johnson
and an ALP teacher, who both indi ated that one of the reasons for the ALP
program's continued success is the loca ion. ALP's location out of traditional school
setting is seen as a positive motivating fa tor for the program's students.
The Alternative Learning Program of the onticello School District is seeking approval for
an extension of their existing Interim Use ermit to operate an alternative learning center at
1248 Oakwood Drive East. The site is zon d I-I, Light Industrial.
The Monticello Public School District ori inally applied for an Interim Use Permit for the
1997-1998 school year. The permit was pproved at that time, concurrent with a Zoning
Ordinance amendment to allow for publi education institutions in the I-I District as an
interim use, provided that:
1. A short term termination date is established in order to ensure that the City's
industrial development objectiv s are not affected by the interim use.
2. The proposed parcel has adequ te improved parking to accommodate the student
capacity.
3. The proposed building is co structed, or altered, only to the extent that
convenient re-use by office or i dustrial users would still be possible.
The City has reconsidered the permit twi e since the original application. At that time,
discussion included the potential for a more permanent approval. However, it was
determined that a temporary use was more appropriate, given the nature of the area and the
likelihood that future industrial developme t would raise concerns for the current location.
B. AL TERNATIVE ACTIONS
The Planning Commission recommende alternative 1 below.
In regards to renewing the Interim Use Pe it for the Monticello School District to operate
an alternative school program at 1248 Oak ood Drive E, the City has the following options:
1. Motion to approve the renewal of the existing Interim Use Permit for a period of
three years, subject to all condition of the original Interim Use Permit, based on the
finding that the proposed use will ot interfere with the City's long range objectives
of encouraging industrial developrn nt in the area, due to the temporary nature of the
permit, and the minimal alterations 0 the property.
Council Agenda: 6/12/06
2. Motion to deny the renewal of the e isting Interim Use Permit, based on a finding
that the use would interfere with the ity's long range industrial development goals.
C. STAFF RECOMMENDATION
Staff recommends approval of the illP. Con itions of the original permit should continue to
apply. No significant changes to the bui ding or operation have been made since the
previous permit renewal. The applicant as not requested a specific termination date.
However, in the past the City has approve interim use permits in three-year increments.
The requested extension would therefore b valid until June 30, 2009. At that time, the
applicant may explore alternate locations 0 request an additional extension, provided the
City has an adequate supply of industrial Ian available at that time.
D. SUPPORTING DATA
A. Aerial Site Image
B. Application Request
C. Site Images
Page 1 of2
.
http:// 156.99 .28.84/serv1et/com.esri.esrimap.Esrimap?ServiceNa ne=CustomParcel&ClientV ersion=3.1 &F.,. 6/1/2006
PLANNING AND PUBLIC REA NG APPLICATION
DEVELOPMENT SERVICES ,
505 WALNUT STREET, SUITE 1 PLANNING CASE NO.
MONTICELLO, MN 55362
City Hall: (763) 295-2711 Fax: (763) 295-44 4
E-Mail: CommdevIGI)ci.monticello.mn.us
~'~>~m~~~~~U~~
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o
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~
V ARIANCE REQUEST
CONDITIONAL USE
~ Conditional Use Permit
o Planned Unit Development - Concept Stage
o Planned Unit Development - Develop. Stage
o Planned Unit Development - Final Stage
$5 0 for single family/$200 + $500 deposit for all others
Fi al stage PUD requires no application fee/deposit.
o
SUBDIVISION PLA T
o Sketch Plans
o Preliminary Plat
o Final Plat
o Construction Plans
S etch Plan: $50 + review dep osit
P eliminary Plat: $300 + review deposit
Final Plat: $50
C nstruction Plans: 4.5 % deposit based on construction cost.
SIMPLE SUBDIVISION
REZONING /MAP / TEXT AMENDMENT
COMPREHENSIVE PLAN AMENDMENT
SPECIAL MEETING
$ 00 + de osit (Based on number of resultin' lots)
$ 00 + deposit
$ 00 + deposit
$ 50
V ACA nONS/OTHER
$ 25
DEPOSIT FROM BELOW $
TOTAL FEE TO BE PAID
Deposits are based on expenses involved in reviewing application materia by City Staff and consultants and subject to modification. Consultant
services are necessary as determined by City Staff for Planner, Engin er, Attorney and other consultants. Deposits required as follows.
>..>bg~~g=)t,iB'~~g~:~i:;w~r~~t'[.'Jil~i
.
1 unit
$500
0-3 acres
$2,000
$6,000
$10,000
11 + units
4-10 acres
2-10 units
$150 per unit
$100 per unit
11 + acres
PROPERTY ADDRESS/ LOCA TION:
PROPERTY LEGAL DESCRIPTION:
CURRENT ZONING:
o Agricultural/Open Space
o Residential
o Business
jp Industrial
Ind. Park
TE BOX & CIRCLE APPROPRIATE DISTRICT)
(CHECK APPROPR
AO
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I -lA
R2A
B3
R3
B4
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1-2
DESCRIBE REQUEST: Mnntic:plln Pllh .
_.m.ndjtioni'l.' ~..1U.tprnntij/
_.lln.-.--Oa..k..wo..o.d....lli:. i \I P
FOR ZONING MAP AMENDMENT - Proposed Zoning:
.
FOR SIMPLE SUBDIVISION - Size of Parcel to Be Divided
FOR SUBD IVISION PLAT ONLY - Proposed Name of Plat:
Total Plat Acres:
Name afFirm Preparing Subdivision Plat:
Address:
Primary Contact Name: E-Mail Address:
Day Phone No.: FAX No.:
FOR VARIANCE ONLY - Please identify the unique properly conditions or hardships thatjustify granting of a variance.
...'~.._,-~., ~._._,. "-".~ ,~.. _._.'.._""__~""".~.._..M.. ._'_...."-,,.,,~ ,. ....^,~-~~---_. .~.'_^~.,_. _.._~. "m,.,_,.,. ..~ .~,.~,. __....__.,._,.,._,..,.,"~ ",..,"...' ". ........".
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____._. ............__
FEE TITLE PROPERTY OWNER NAME:
Wayne H(glund
Monticello Public Schools
APPLICANT / BUSINESS NAME:
.
Address: 302 Washi ngton Street
CiN: Monticello
Pr;m~r"rn"t~~tN~mp. James Johnson
n~"Phn"pNn. 763-271-0300
State' MN
~AY In'
7;,., Code: 55362
d_i~~johns~n@monticello.k12.mn.us
763 -271-0309
FEE PROPERTY OW,NiR SIGNATURE
l } ~ )/ _ D
t./(/ aJr- ,r 7 ",-,
Date AP LICANT SIGNtTU:E ~~te
4(z;,k. (f.,.y; :m~ ..:d.re~ thot .n inf",~." Pro"d~::':d
cor ect, that the applicant has provided all required checklist
Information provided by the applicant on this form is true info matkln, and that the applicant has read and understands an
and correct. app icable Monticello City Codes.
APPLICATIONS WILL ONLY BEACCEPTEDWITH ALL REQUIRED SUPPORTING DOCUMENTS.
FOR OFFICE USE ONLY
DEADLINE FORAGENCY ACTION
DATE APPLICA TIO N RECEIVED:
o 60 Days:
o
120 Days:
FEERECEIPT NUM BER:
o
APPLICA TJONDEEMED COMPLETE
Waiver Received:
BY:
DATE:
.0
NOTICE SENT:
CASE ASSIGNMENT:
.
.
.
Turning Point was developed in 1998 to help s dents become healed and healthy with
sound academic skills. Since it's inception, T 'ng Point has graduated 135 students
and has 15 more set to graduate this spring. Th success of this program has come with
hard work and commitment from a variety of s urces. Strong teachers, community
involvement, and collaboration with county age cies has helped numerous students
succeed when they otherwise may have failed.
Turning Point is in its ninth year as an educatio al alternative for students who may be,
for a variety of reasons, less successful in a mo e traditional setting. The goals of our
program are as follows:
. To help students complete the journ y to graduation.
. To teach students how to be respons ble for themselves and their actions.
Making excuses is not an option.
. To help students learn how to make ersonal connections and build
meaningful relationships.
In order to be successful at Turning Point a stud nts must:
. Maintain sobriety. Turning Point is ot a sober school but we do recognize
that if chemical use is part of a stude 1's lifestyle, the chances of educational
success are greatly reduced. Studen s must agree to random drug testing.
. Show determination. Turning Point LP is not for everyone. Because all
work is done on an individual basis, ALP students must be very self-
motivated and self-directed.
. Have respect. At Turning Point, stu ents are taught not only to respect others
but themselves as well.
. Make continuous academic progress. Students are required to complete at
least one academic credit per month. This is two more credits per year than
are usually required in a more traditi nal setting.
. Attend a weekly support group. Eac student at Turning Point attends at least
one support group each week. There are sobriety, parenting, recovery and
personal growth groups.
Our present location continues to work well for s. Our students often have negative
experiences associated with a traditional school etting and our building provides the
perfect alternative site. We also are removed fr m much of the elements of negative peer
pressure, and our students take on the leadershi and pride of "our school". This helps
rebuild positive attitudes towards school and op ns the door to developing pictures of
post secondary school as well.
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SD.
ara
A. REFERENCE AND BACKGROUND:
The City Council is asked to approve the de elopment contract for the above-referenced
project. Niagara Falls has an approved prel minary plat, but will not be final platting any
part of their property until late 2006 or earl 2007. The development contract is related
to offsite improvements for sanitary sewer, atermain, and storm sewer trunk system.
Security is also being provided for future w termain looping between Niagara Falls and
Hidden Forest, park land improvements, an access to park land to make sure the
requested improvements are completed.
The development contract is written with d tails as outlined in the update item provided
at the last meeting (see attached).
No work will occur until the contracts have been executed and all cash and Letter of
Credit securities provided.
B. AL TERNATIVE ACTIONS:
1. Approve the development contract or Niagara Falls subject to execution by all
parties and provision of all securiti s and cash deposits.
2. Do not approve the development c ntract.
C. STAFF RECOMMENDATION:
It is recommended to select Alternative 1. No work will occur until all securities are in
place and the contract executed. The deve opers will also have a joint agreement for cost
sharing of the improvements. This is a co plicated project that requires coordination
between many parties. Completion of the torm sewer will provide a designated positive
outlet for County Ditch 33, which is the st rt of a positive solution for this long-time
issue.
D. SUPPORTING DATA:
Update item from May 22, 2006 Council eeting
c: \Docume1lt.Y and Sellin ldawn,grossmlleriwcci! SettillgslTemptlro.ry [,,/ertlet FiJesIOLKJ\AON ITM_NFA"pmV(~Dvlpm1!tAgml-()61206.d()C
Council Agenda: 6/12/06
U date on the Hidden Forest and Nia ara Falls Develo ments (WSB)
A. REFERENCE AND BACKGROUND:
The Hidden Forest development proposed y Brad Paumen and the Niagara Falls
development proposed by Mark Woolston e located on the east side of the City of
Monticello. The two developments have a plied for annexation to the City of
Monticello, which was just recently appro ed by the State of Minnesota. This project is
significant to the City of Monticello with r gard to creating a new outlet to the
Mississippi River for Wright County Ditch 33. The developments also have proposed a
unique park-like setting on the south side 0 the project's existing wetland area that
would be restored and enhanced. Followin is a summary of the status of the
development projects and associated impro ements.
Plannin2: The preliminary plat pr cess for both projects has been underway and
the north two-thirds of Hidden Fore t has already been approved as a preliminary
plat. The remainder of the Hidden orest development will be brought before the
City Council at the June 12th meeti g for ratification. The Niagara Falls
development will be processed at th May 22nd meeting. It is likely that a final
plat for the first phase of Hidden Fo est will also be processed at the June lih
meeting. At this time, it appears th t the Niagara Falls development will not
proceed until spring of 2007.
.
Ditch 33: The City has received all approvals from Wright County to modify the
ditch system and create a new outle. The final step in the process is to abandon
the ditch in the area of the existing etland while leaving the ditch south of 90th
Street and north of the proposed de elopment. The abandonment process for the
ditch involves county board action d a public hearing. Based on the approvals
received to date, this is anticipated t be an administrative process. The existing
system through the existing develop ent will remain in place as an overflow and
will also have a baseline flow of wa er continued to be directed to that system.
The higher volume runoff and over ow will be directed to the new storm sewer
system to better maintain outlet con ro1. This improvement was discussed with
the County as a part of the Carlisle illage development and is the first start of
improvements to the Ditch 33 syste that has been discussed for the past 20
years.
.
Public/Private Improvements: T is project involves the construction oftwo
large lift stations, force main, and w ter main connections along CSAH 39
between the Hidden Forest develop ent and Gillard Avenue and a storm sewer
connection between CSAH 39 and t e Mississippi River. These portions of the
project were designed by the City a d bid as a public bid project with the
anticipation that costs would be full assessed back to Hidden Forest and Niagara
Falls. Recent significant increases i construction materials and fuel have driven
costs higher than originally propose . Following discussion with the developers,
it was agreed that they could utilize he City plan sets to bid the proposed public
.
C:\DocumenlJ llnd tti"gs\dawn.gros.dtf~r\Lcx.:I:,1 SettingslTemp()mry fmeme:f File.sIOLK3lA(,N ITM.ffFNFUpdate-052206.t/f)(:
Council Agenda: 6/12/06
improvements as a part of their private improvement bid project in hope that there
may be some economies of scale. The process did result in some savings in all
areas with the exception ofthe water ain and force main installation. Therefore,
at the last Council meeting, the City 0 Monticello rejected the bids for the
majority of the project and is re-biddi g the water main and force main portions
of the project to determine if a lower . ce could be received for that revised
project. Those bids are due on June 2 d. Ifit is determined that the private
contractor's bid prices are still lower t an the revised bid, the developers have
requested the ability to construct that ortion of the project privately as well.
. Developer's A2reement: The Devel per's Agreement and finance plan have
been drafted and reviewed by the dev lorers and will be brought back to the
Council for consideration at the June i meeting. Currently, the developers are
jointly receiving trunk fee credits oft e following:
Sanitary Sewer ....................... ......100%.........................$
Water Main... .......... ......... ...... ....... 390/0...... ....................$
Storm Sewer ........................... ...... 1000/0.. ....... ........ ........$
Southeast Area Utility Fee..... ........ 0% .............. ......... ....$
Carlisle Village Lift Station.......... 100%.........................$
273,944
82,000
513,000
0.00
167,000
The developers are constructing two ift stations that will also be used by
approximately 100 additional acres. he water main looping and storm sewer
outlet will also serve other properties They are paying additional costs over the
credits and will not be receiving any ore credits.
Summary
The developers will be working toward fina izing all of the agreements prior to June 1 ih.
Hidden Forest may start grading in early Ju e, subject to an approved grading plan and
posting of an erosion control bond. This ite is provided for informational purposes only
to make sure the Council is aware of the sta us of the projects. Staff is working to assist
the developers on this complex project to tr to move it forward.
B. ALTERNATIVE ACTIONS:
No action is required but staff will be avail Ie for questions. We will be meeting with
the Township on the easement issues now t at we know the projects appear to be
advancing.
C:\lJocU"U!Ilt.f an Setlingsldawn.gn>>sl',gerlwc:(;I Sett;"g~\Temp{Jmry Interner Flle.~\OLK3\AGN ITM-HFNFUpdate-OJ]]O(i, doc
SE.
A. REFERENCE AND BACKGROUND:
The City Council is asked to approve the fin 1 plat and development contract for Phase 1
of the Hidden Forest project. The first phase plat consists of 56 units within
approximately 27 acres and is designated as n R-l single-family residential
development. The total Hidden Forest plat c nsists of approximately 103 acres. The
remaining acreage is proposed to be platted s outlots until future phases are developed.
The development contract includes provisio s for paying for trunk sanitary sewer,
watermain, and storm sewer improvements. portion of the improvements, watermain,
and forcemain along CSAH 39 may be const cted as a public improvement. This will
be addressed under a separate agenda item.
The developer, Brad Paumen, and the Niag a Falls developer, Mark Woolston, have an
agreement to jointly pay for the trunk impro ements and the park development.
The attached update item from the last meeti g outlines the details of the development
contract.
No work will occur until the contracts are ex cuted and all cash and Letter of Credits are
provided.
A copy of the development contract is availa Ie with Jeff if the Council would like to
review the contract.
B. ALTERNATIVE ACTIONS:
1. Approve the final plat and developm nt contract for Hidden Forest subject to
execution by all parties and provisio of all securities and cash deposits.
2. Do not approve the final plat and dev lopment contract.
C. STAFF RECOMMENDATION:
It is recommended to select Alternative 1. N work will occur until all securities are in
place and the contract executed. The develo ers will also have a joint agreement for cost
sharing of the improvements. This is a com licated project that requires coordination
between many parties. Completion of the st rm sewer will provide a designated positive
outlet for County Ditch 33, which is the start of a positive solution for this long-time
Issue.
D. SUPPORTING DATA:
Update item from May 22, 2006 Council me ting
C:\DDcume"'~ and SeUi/lgs\dll'lm. ssinJ.FSrlLoca/ Settillgs\l'empomry Internet l'iJesIOLK.3\AGN 11'M-llFAppmveHvlpmlltAgmt-06/206.doc
Council Agenda: 6/12/06
U date on the Hidden Forest and Nia ara Falls Develo ments (WSB)
A. REFERENCE AND BACKGROUND:
The Hidden Forest development proposed y Brad Paumen and the Niagara Falls
development proposed by Mark Woolston re located on the east side of the City of
Monticello. The two developments have a plied for annexation to the City of
Monticello, which was just recently approv d by the State of Minnesota. This project is
significant to the City of Monticello with r gard to creating a new outletto the
Mississippi River for Wright County Ditch 33. The developments also have proposed a
unique park-like setting on the south side 0 the project's existing wetland area that
would be restored and enhanced. Followin is a summary of the status of the
development projects and associated impro ements.
Plannin2: The preliminary plat pr cess for both projects has been underway and
the north two-thirds of Hidden Fore t has already been approved as a preliminary
plat. The remainder of the Hidden orest development will be brought before the
City Council at the June lih meeti g for ratification. The Niagara Falls
development will be processed at th May 22nd meeting. It is likely that a final
plat for the first phase of Hidden Fo est will also be processed at the June 12th
meeting. At this time, it appears th t the Niagara Falls development will not
proceed until spring of 2007.
.
Ditch 33: The City has received all approvals from Wright County to modify the
ditch system and create a new outle. The final step in the process is to abandon
the ditch in the area of the existing etland while leaving the ditch south of 90th
Street and north of the proposed de elopment. The abandonment process for the
ditch involves county board action d a public hearing. Based on the approvals
received to date, this is anticipated t be an administrative process. The existing
system through the existing develo ment will remain in place as an overflow and
will also have a baseline flow ofwa er continued to be directed to that system.
The higher volume runoff and over ow will be directed to the new storm sewer
system to better maintain outlet con 01. This improvement was discussed with
the County as a part of the Carlisle illage development and is the first start of
improvements to the Ditch 33 syste that has been discussed for the past 20
years.
.
Public/Private Improvements: T is project involves the construction of two
large lift stations, force main, and ater main connections along CSAH 39
between the Hidden Forest develop ent and Gillard A venue and a storm sewer
connection between CSAH 39 and e Mississippi River. These portions of the
project were designed by the City d bid as a public bid project with the
anticipation that costs would be full assessed back to Hidden Forest and Niagara
Falls. Recent significant increases i construction materials and fuel have driven
costs higher than originally propose . Following discussion with the developers,
it was agreed that they could utilize the City plan sets to bid the proposed public
.
C:\J)oCl,imellt,f all Srl!tti1!gsldawlI.g"().I1..~i1!g~r\I.O('.a1 Setti"g,~\Temp(lra,,' Imemet File.vI0l.K3\A(!'N l7'UHFNFUpatile.(}5}JOti.doc
Council Agenda: 6/12/06
improvements as a part of their pri ate improvement bid project in hope that there
may be some economies of scale. he process did result in some savings in all
areas with the exception of the wat r main and force main installation. Therefore,
at the last Council meeting, the Cit of Monticello rejected the bids for the
majority of the project and is re-bid ing the water main and force main portions
of the proj ect to determine if a low r price could be received for that revised
project. Those bids are due on Jun 2nd. Ifit is determined that the private
contractor's bid prices are still low r than the revised bid, the developers have
requested the ability to construct th t portion of the project privately as well.
.
Developer's A2reement: The De eloper's Agreement and finance plan have
been drafted and reviewed by the d velorers and will be brought back to the
Council for consideration at the Ju e It meeting. Currently, the developers are
jointly receiving trunk fee credits 0 the following:
Sanitary Sewer...... ........ ................ 100%...................... ...$
Water Main.................................... 39%........... ...............$
Storm Sewer.................................. 100% .........................$
Southeast Area Utility Fee .............. 0% ...........................$
Carlisle Village Lift Station ..........100% .........................$
273,944
82,000
513,000
0.00
167,000
The developers are constructing tw lift stations that will also be used by
approximately 100 additional acres The water main looping and storm sewer
outlet will also serve other properti s. They are paying additional costs over the
credits and will not be receiving an more credits.
Summary
The developers will be working toward fin lizing all ofthe agreements prior to June lth.
Hidden Forest may start grading in early J ne, subject to an approved grading plan and
posting of an erosion control bond. This it m is provided for informational purposes only
to make sure the Council is aware of the st tus of the projects. Staff is working to assist
the developers on this complex project to t to move it forward.
B. ALTERNATIVE ACTIONS:
No action is required but staff will be avail ble for questions. We will be meeting with
the Township on the easement issues now hat we know the projects appear to be
advancing.
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City Council Agenda - 06/12/06
SF. Consideration of a re nest for Prelimina Plat and re nest for rezonin from A-O to
R-IA for the Second Phase of Hidden For st a 54-nnit sin le-fami! develo ment.
Applicant: Monticello 39. Inc. (NAC)
REFERENCE AND BACKGROUND
The Planning Commission reviewed the see nd phase of Hidden Forest at its February
meeting. The plat includes a total of 54 lots some of which will be constructed as a
third phase (those in the southeast corner 0 the plat). As such, the applicant may be
ultimately shifting the roadway to the east, epending on the ability to work with the
adjoining landowner at that time. Three of he conditions recommended by the
Planning Commission relate to this area, and may be redesigned in the future.
Therefore, the applicants have agreed to the conditions, with the understanding that
future changes may alter the effect, or need or, the requirements.
With those issues identified, the Planning C mmission recommended approval of the
Preliminary Plat and Rezoning to R-1A. Th re are some conditions attached to the
approval, providing for guidance to the dev opment of the final plat as construction
drawings are produced, and to memorialize omments relating to any changes that may
arise from the ability to work with or acquir more land in the future. The applicant
has previously indicated agreement with the conditions as stated, and has provided
drawings indicating compliance with the re ommendations.
Mississippi 39 is requesting preliminary plat pproval for the second phase of a single
family development, known as Hidden Fores. The subject site is 49.45 acres in area and
is located south of County Road 39 and north of 95th Street, west ofHaug Avenue. The
project includes a request for rezoning from is current A-O designation to R-IA,
residential single family.
Rezonings
The proposed zoning district for this phase 0 Hidden Forest is R-IA. Rezonings are
regulated by the zoning ordinance process, re uiring consistency with the
Comprehensive Plan, compatibility with surr unding existing and future land uses, and
the ability to serve the proposed development with adequate public services. In this case,
adjoining land uses include two residential su divisions to the west, rural agricultural
uses to the east, County Highway 39 to the n rth, and agricultural and rural residential
land to the south. The proposed application pears to meet each of the requirements for
rezonmg.
Land Use
The proposed land use for the Hidden Forest evelopment is consistent with the City's
Comprehensive Land Use Plan. The develop r is proposing 54 single family lots on
49.45 acres for a density of 1.09 units/acre. he applicant is requesting that the site be
rezoned to R-IA, residential single family.
1
City Council Agenda - 06/12/06
The purpose of the R-IA district is to provid for low density, single family, detached
residential dwelling units and directly relate complementary uses. The R-IA District is
distinguished from the R-l District in that it. as more extensive development standards
and is to be located in areas of higher natural residential amenities, including such
conditions as woodlands, wetlands, and signi lcant views. The site is contains extensive
woodland and wetland cover, making the R- A designation appropriate. The southwest
portion ofthe development site is covered b a 22.64 acre delineated wetland which will
be preserved by the proposed development, ith all residential development to the north
and east.
Two preliminary plat options have been pres nted for review. The first plat, submitted
by the applicant in August of2005, shows H ding Avenue on the west side of Block 1
(labeled Block 3 in the revised plat but refe d to as Block 1 for the purposes of this
report), on the eastern perimeter of the wetl d. After review, staff directed the applicant
to submit an illustration platting Harding A v nue to the west of Block 1.
Lot Standards:
The lot sizes and setbacks are consistent for oth options, regardless of the location of
Harding Avenue. The following are standar s for the R-IA District:
Lot Area
Lots larger than 15,000
s . ft.
Lots wider than 90 feet
Rear Yard Setback
Front Yard Setback
Side Yard Setback:
Interior dwelling 10 feet
Interior garage 6 feet
Corner lot to roadside 20 feet
*denotes average taken from arithmetic mea
Com liant
Yes
Yes
40%
30 feet
35 feet
81%
30 feet
30.55 feet*
Yes
Yes
No
I 0 feet
N/A
20 feet
Yes
N/A
Yes
Section 3-3 (C) (4) refers to setback require ents for the R-IA District. This section
states that the minimum front yard setback i 35 feet, or may be identified by plat to
average 35 feet. The preliminary plat illustr tes an average front yard setback of just
over 30 feet, deviating from the minimum re uirement.
Tree Inventorv
The subject site currently contains dense tre cover, particularly on the southern portion
bordering the wetland. According to a tree i ventory submitted by the applicant, the site
includes 684 trees, primarily Ash, Oak, Bass ood, and Black Cherry. Regardless of
which alignment is chosen for Harding Ave ue, a significant amount of trees will need to
be removed. The applicant has submitted tr e inventories, reflecting the impact of tree
2
City Council Agenda - 06/12/06
removal for the original plat and the second p at revised per staff recommendation. The
total caliper inches for each option are as foIl ws:
Total Tree Inventor
Pro" ect Construction 1m act
Potential Block 3 & 4 Impact
Total
er
Staff
3,196cal. 'n.
With regard to tree preservation, it appears a though the original plat is more
conservative. According to the tree inventor , the revised plat would require the
developer to remove an additional 340 calip r inches of tree cover than what was
originally proposed. The majority of the ad itional tree removal would be in Blocks 3
and 4.
Staff is concerned with the significant amou t of trees that will need to be removed to
complete this development. Staff recomme ds that the City consider requiring the
applicant to replace several of the trees that ill be removed in the development process.
In part, this tree loss is due to the mass grad"ng through the woodland area, rather than an
attempt to custom grade the building pads i this area. While tree preservation requires
much attention to detail, many projects thro ghout the Twin Cities area have been
constructed in wooded areas while preservi g front and side yard trees.
The alternative to preservation is replaceme t. For this project, staff has suggested that
where trees are being lost in large numbers, significant levels of replacement can be
required. In the southeast corner of this sit , staff is recommending that the roadway be
shifted away from the wetland to permit tre planting along this edge. Additional front
yard tree planting may also be appropriate begin reforestation of the neighborhood.
This issue can be addressed in a landscapin plan.
Circulation/Access:
The subdivision will connect to Hidden Fo est Phase I via Hamline Avenue. During the
concept stage, staff expressed concern wit the location of Hawthorne Avenue, which
was platted to the west of the southern po ion of Block 1. At that time, staff directed the
applicant to provide a second illustration i which Hawthorne Avenue would removed,
and Harding Avenue would be extended t the east side of Block 1 (labeled as Block 3 in
the revised plat). Benefits of either option are as follows:
The adjoining landowners to the east are n t supportive of the relocation of the roadway
next to, or on to, their property. Moreove , it would appear the by designing the road to
abut the wetland area, there would be mor public value to the layout (due to views from
the street), and fewer trees would need to e removed to accommodate the design.
Planning staff recommends that the road e moved a small distance (l0 feet or so) farther
from the wetland edge to provide adequat space for the trail, and additional tree planting
along the wetland area to mitigate the sub tantial tree loss in this area.
3
City Council Agenda - 06/12/06
Park! Trail:
As a part of the preliminary discussions on t is project, the City has agreed that the park
and trail (including boardwalk construction) 'mprovements shown on the project plans
shall serve as the entire park dedication requi ement for this project. The proposed
improvements include a trail that circles the etland area, a portion of which is
constructed as a boardwalk over the wetland tself. The plans also show a park area
along the northeast edge of the wetland that ill serve as a more active park space for the
neighborhood.
Landscaping:
The preliminary plat submitted by the applic t did not include a landscape plan. The
City requires every subdivision to submit a I dscape plan that identifies areas of public
value, including significant views, natural ve etation, and watercourses. The applicant
should submit a landscape plan that provides for the addition of trees, shrubs, and
groundcovers or grasses that achieve naturali ed areas around the stormwater ponds and
wetland and naturalized woodland areas at th edges of the subdivision, particularly in
areas abutting other land uses and utility line. The landscaping plan should also include
measures to address the vast amount of trees eing removed during the development
process, particularly the area along the east/s utheast edge of the wetland area.
Gradinf!. Drain af!e. and Utilities:
The applicant has submitted grading, drainag , erosion control, and utility plans, which
are subject to the review and comment of the City Engineer.
Storm Water Manaf!ement Plan:
A storm water management plan has been su mitted and is also subject to review and
comment by the City Engineer.
ALTERNATIVE ACTIONS
Decision 1: Rezoning from A-O to R-1A
1. Motion to approve the rezoning from -0 to R-1A as proposed in the preliminary
plat, based on a finding that the propo ed zoning would reflect the intent ofthe
City's Comprehensive Plan.
2. Motion to deny the rezoning from A- to R-1A as proposed in the preliminary
plat, based on a finding that the propo ed zoning is not consistent with the intent
of the City's Comprehensive Plan.
Decision 2: Preliminary Plat
1. Motion to approve the preliminary pI based on a finding that the plat meets the
requirements of the Zoning Ordinance, subject to the applicable conditions listed
below.
4
City Council Agenda - 06/12/06
2. Motion to deny the Preliminary Plat, ased on a finding that the plat does not
meet the requirements of the Zoning rdinance or the Comprehensive Plan.
STAFF RECOMMENDATIONS
Staff recommends approval of the rezoning a plication and original preliminary plat
application, consistent with the recommenda .ons of the Planning Commission. The
original plat preserves more tree cover, provi es visual access to the wetland for
motorists and residents, and creates more ap ealing building sites for lots in Block 3 and
Block 4. Approval of the preliminary plat sh uld be made subject to the conditions found
in Exhibit Z to provide guidance for develop ent of the Final Plat. The applicant has
previously agreed to the conditions as presen ed.
5
City Council Agenda - 06/12/06
Exhibit Z - Conditio s of Approval
Preliminary Plat for Hidde Forest 2nd Addition
1. The final street plans shall be subject to the r view and comment of the City Engineer,
including consideration of road width within he portion of the plat where tree cover may
be retained by reducing road width, and inclu ing road connection to the property to the
east.
2. The single family homes shall meet all perfo ance standards ofthe R-1A District as
defined in the zoning ordinance and outlined n the planner's report.
3. The road in the southeast portion of the plat s ould be shifted 10 feet to the east to permit
tree replacement planting along the wetland e ge.
4. The applicant shall submit a detailed landsca ing plan, addressing preservation of tree
clusters and/or replacement of the trees that ill be removed during the development
process, as well as pond landscaping and oth r areas being disturbed by development.
5. Issues related to the wetland area are subject 0 the review and comment of the City
Engineer.
6. The grading, drainage, erosion control and ut lity plans are subject to the review and
approval of the City Engineer.
7. The development of the plat is consistent wit the recommendations of the
Environmental Assessment Worksheet, inclu ing comments related to removal of trees.
8. A development contract is executed detailing improvements, including park construction,
required as a part of the project.
6
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Council Agenda: 6/12/06
5G. Review of 2005 Li nor Store Financial Re ort and 1st uarter 2006 re ort. (R W)
A. REFERENCE AND BACKGROUND:
Enclosed you will find the first quarter financ'al report for the liquor store operation comparing
the first three months of 2005 to the first thre months of 2006. In addition, I have also enclosed
a copy of the year-end 2005 financial report :D r the liquor store operation.
Overall, the staff is pleased with the operatio s at the liquor store in that operating income for the
year 2005 was $37,000 higher than the year b fore or a 11.2% increase. For 2005, total sales
were up $128,000 (3.75%) and gross profit w s likewise up $50,000 (5.7%) over the previous
year.
For the first quarter of2006, sales have incre sed slightly to $721,000 for the first three months
but total operating income increased from $7 ,000 last year to $96,000 for the first quarter.
Again, sales and operating income appear in rne with expectations and year end results are
expected to be showing a net income of $350 000-$400,000.
B. ALTERNATIVE ACTIONS:
1. Accept the financial reports for the ye r 2005 and the first three months of 2006 as
presented.
C. STAFF RECOMMENDATION:
It is recommended that the financial reports :D r the liquor store operation be accepted as
presented.
D. SUPPORTING DATA:
Financial information for 2005
Financial information for first quarter 2006
..
MONTICELLO MUNI IPAL LIQUOR
BALANCE S EET
MARCH 31, 006
Current Assets:
Cash
Change Fund
Investments
Accounts Receivable
AIR " NSF Checks
AIR " Gift Certificates
Inventory
Prepaid Insurance
TOTAL CURRENT ASSETS
Fixed Assets
Land
Parking Lot
Buildings
Improvements (not bldgs)
Machinery & Equip
Furniture & Equip
Motor Vehicles
Construction in Progress
less: Accumulated Depreciation
TOTAL FIXED ASSETS
TOTAL ASSETS
Liabilities
Accounts Payable
Due to EDA Fund
Sales Tax Payable
Salaries Payable
Accrued Vacation/Sick Leave
Other Accrued Expenses
Deferred Revenues
TOTAL LIABILITIES
RETAINED EARNINGS
INV IN CAPITAL ASSETS
TOTAL LIABILITIES AND FUND BALANCE
$ 438,763.45
$ 4,400.00
$ 829,047.89
$
$ 5,131.39
$
$ 567,402.26
$ 2,781.81
$ 1,847,526.80
$ 5,600.00
$ 37,055.57
$ 737,906.54
$ 43,984.02
$ 64,250.65
$ 36,948.75
$
$
$ (325,584.49)
$ 600,161.04
$ 2,447,687.84
$ 90,012.42
$
$ 24,273.87
$ 27,102.86
$ 51,694.00
$ 5,185.45
$ 2,811.03
$ 201,079.63
$ 1,639,113.84
$ 607,494.37
$ 2,447,687.84
.. Ac.. ;
MONTICELLO MUNIC PAL LIQUOR
REVENUES AND E PENSES
COMPARISON FOR THE YEAR ENDIN MARCH 31, 2005 AND 2006
2005 2006
YEAR-TO-D TE YEAR- TO-DATE
AMOUNT AMOUNT
SALES
Liquor $ 225,571.00 $ 217,441.00
Beer $ 376,99 .00 $ 374,119.00
Wine $ 89,26 .00 $ 106,271.00
Other Merchandise $ 13,73 .00 $ 12,304.00
Misc Non-Taxable Sales $ 4,29 .00 $ 9,161.00
Gift Cert Sales
Special Event Revenue $ 3,28 .00 $ 2,545.00
Discounts
TOTAL SALES $ 713,13 .00 $ 721,842.00
COST OF GOODS SOLD $ (523,70 .00) $ (485,961.00)
GROSS PROFIT $ 189,433.00 26.56% $ 235,880.00 32.68%
GENERAL AND ADMINISTRATIVE EXP
Personal Services
Salaries $ 56,690 00 $ 77,509.00
PERA $ 2,96000 $ 4,491.00
FICA/Medicare $ 4,299 00 $ 5,704.00
Health Insurance $ 8,120.00 $ 12,005.00
Unemployment Benefits $ $
Severance Pay $ $
TOTAL PERSONAL SERVICES $ 72,068. 0 10.11% $ 99,710.00 13.81%
Supplies & Equipment
Office Supplies $ 74. 0 $ 170.00
General Operating Supplie $ 3,098. 0 $ 1,527.00
Other Supplies $ 1,263. 0 $ 1,574.00
Small Tools & Equipment $ $
TOTAL SUPPLIES & EQUIP $ 0.62% $ 3,271.00 0.45%
Services & Charges
Professional Services $ $ 1,069.00
Maintenance Agreements $ $ 1,514.00
Communication $ $ 1,068.00
T ravel-Con ference-Schools $ $ 256.00
Advertising $ $ 139.00
Insurance & Tax $ $ 2,959.00
Utilities $ $ 5,886.00
Maintenance, Equipment $ $ 822.00
Maintenance, Building $ $ 719.00
Maintenance, Other $ $ 595.00
Depreciation Exp $ 14,001.0 $ 14,001.00
Misc Svc & Chgs $ 14,927.0 $ 7,442.00
TOTAL SERVICES & CHARGES $ 40,997.0 5.75% $ 36,469.00 5.05%
2006 Q 1 Iiq reports .xls
" .
MONTICELLO MUNI I PAL LIQUOR
REVENUES AND XPENSES
COMPARISON FOR THE YEAR ENOl G MARCH 31, 2005 AND 2006
2005 2006
YEAR-TO-D TE YEAR-TO-DATE
AMOUN AMOUNT
TOTAL GENERAL & ADMIN EXPENS $ 117,5 1.00 16.48% $ 139,449.00 19.32%
TOTAL OPERATING INCOME $ 10.09% $ 96,431.00 13.36%
Other Income (Expense)
Interest Income $ 0.00 $ (106.00)
Cash Long/Short $ 0.00 $ 60.00
NSF Fees Collected $ $
Sale of Property $ $
Mise Income $ 5.00 $
TOTAL OTHER INCOME (EXPENSE) $ 5.00 0.01% $ (46.00) -0.01 %
NET INCOME (EXPENSE) $ 72,1 8.00 10.11 % $ 96,386.00 13.35%
Transfers In/Out $ $
ADJUSTED NET INCOME (EXPENSE) $ 72,12 8.00 10.11% $ 96,386.00 13.35%
2006 Q1 IIq reports,xls
MONTICELLO MUNICIPA L LIQUOR
GROSS PROFIT BY PR ODUCT
COMPARISON FOR THE YEAR ENDIN MARCH 31, 2005 AND 2006
2005 2006
YEAR~TO~DATE YEAR~ TO~DA TE
AMOUNT AMOUNT
Liquor Sales 225,571 217.441
Discounts 0 0
Cost of Sales 130,325 119,167
GROSS PROFIT - LIQUOR 95,246 98,274 45.20%
Beer Sales 376,996 374,119
Cost of Sales 288,246 275.476
GROSS PROFIT - BEER 88,750 98,643 26.37%
Wine Sales 89,262 106,271
Cost of Sales 88,881 76,131
GROSS PROFIT - WINE 381 30,140 28.36%
Mise Sales 13,730 12,304
Cost of Sales 11 ,496 10,496
GROSS PROFIT - MISC TAXABLE 2,233 1,808 14.69%
Mise Non-taxable Sales 4,292 9,161
Cost of Sales 2,321 1,691
GROSS PROFIT - MISC NON-TAX 1,971 45 92% 7,470 81.54%
Special Event Sales 3,285 2,545
TOTAL SALES 713,136 721,841
TOTAL COST OF SALES 521,270 482,961
TOTAL FREIGHT COST 2.432 2,999
TOTAL GROSS PROFIT 189,433 26 .6% 235,880 32.68%
2006 Q1 liq reports.xls: 5/16/2006
i
~;....
..
MONTICELLO MU ICIPAL LIQUOR
REVENUES AN EXPENSES
COMPARISON FOR THE YEAR ENOl G DECEMBER 31, 2004 AND 2005
200 2005
YEAR-TO DATE YEAR-TO-DATE
AMOUNT AMOUNT
SALES
Liquor $ 99 ,420.00 $ 1,014,355.00
Beer $ 1,934,899.00 $ 1,958,671.00
Wine $ 367,624.00 $ 446,471.00
Other Merchandise $ 72214.00 $ 66,554.00
Misc Non~ Taxable Sales $ 32 928.00 $ 46,476.00
Gift Cert Sales
Special Event Revenue $ 4 409.00 $ 6,267.00
Discounts
TOTAL SALES $ $ 3,538,795.00
COST OF GOODS SOLD $ (2,535, 79.00) $ (2,614,197.00)
GROSS PROFIT $ 875, 14.00 25.66% $ 924,597.00 26.13%
GENERAL AND ADMINISTRATIVE EXP
Personal Services
Salaries $ $ 276,507.00
PERA $ $ 14,777.00
FICA/Medicare $ $ 21,004.00
Health Insurance $ $ 38,984.00
Unemployment Benefits $ $ 681.00
Severance Pay $ $ 4,921.00
TOTAL PERSONAL SERVICES $ 10.19% $ 356,874.00 10.08%
Supplies & Equipment
Office Supplies $ 7 1.00 $ 360.00
General Operating Supplie $ 13,2 0.00 $ 9,670.00
Other Supplies $ 3,5 6.00 $ 3,612.00
Small Tools & Equipment $ 5,1 3.00 $
TOTAL SUPPLIES & EQUIP $ 22,6 9.00 0.66% $ 13,642.00 0.39%
Services & Charges
Professional Services $ $ 9,270.00
Maintenance Agreements $ $ 8,183.00
Communication $ $ 4,405.00
Travel~Conference-Schools $ $ 753.00
Advertising $ $ 2,272.00
Insurance & Tax $ $ 14,050.00
Utilities $ $ 20,931.00
Maintenance, Equipment $ $ 1,508.00
Maintenance, Building $ $ 2,161.00
Maintenance, Other $ $
Depreciation Exp $ $ 56,003.00
Misc Svc & Chgs $ $ 67,331.00
TOTAL SERVICES & CHARGES $ 5.13% $ 186,868.00 5.28%
2005 Q4 liq reports.xls
., .
..
.
MONTICELLO MU ICIPAL LIQUOR
REVENUES AND EXPENSES
COMPARISON FOR THE YEAR ENOl G DECEMBER 31, 2004 AND 2005
2005
YEAR-TO-DATE
AMOUNT
TOTAL GENERAL & ADMIN EXPENS $ 15.98% $ 557,384.00 15.75%
TOTAL OPERATING INCOME $ 9.68% $ 367,213.00 10.38%
Other Income (Expense)
Interest Income $ 3 ,470.00 $ 26,948.00
Cash Long/Short $ (610.00) $ (102.00)
NSF Fees Collected $ 260.00 $ 310.00
Safe of Property $ $
Misc Income $ 766.00 $ 265.00
TOTAL OTHER INCOME (EXPENSE) $ 3 ,886.00 0.00% $ 27,421.00 0.77%
NET INCOME (EXPENSE) $ 36 ,065.00 10.76% $ 394,635.00 11.15%
Transfers In/Out $ (25 ,000.00) $ (250,000.00)
ADJUSTED NET INCOME (EXPENSE) $ 11 ,065.00 3.43% $ 144,635.00 4.09%
2005 Q4 liq reports.xls
Council Agenda: 6/12106
SR.
A. REFERENCE AND BACKGROUND:
With the recent negotiations and site plan d velopment of the proposed A VR site, there is
a need to study the infrastructure improvem nts to serve the site, in addition to grading a
portion of the Otter Creek industrial campus adjacent to and including the site for
development.
The proposed infrastructure improvements i clude extending Dalton Avenue (fonnerly
School Boulevard) from where it was const cted last year an additional 800 feet to the
south to the edge of the industrial park. A w sterly road from the current tenninus of
Dalton A venue extending approximately 83 feet west is also proposed. Improvements
would include grading the roadways, pond c nstruction, and extending sanitary sewer,
watennain, and stonn sewer to the site. A fi al grading plan is proposed to be developed
adjacent to the current 35-acre parcel the Cit Owns as well as the proposed A VR site.
The City has an agreement to purchase additi nal property for the industrial park from
John Chadwick and Jim Bowers. Discussion fthis land purchase is included as a
separate agenda item.
The feasibility report will outline the project i provements, estimated costs, proposed
funding sources, and schedule. A VR would Ii e to have the infrastructure improvements
constructed yet this fall, so it is imperative tha the Council consider authorizing
proceeding with the project at this time.
B. ALTERNATIVE ACTIONS:
l. Authorize the feasibility report for exte sion of Dalton Avenue (fonnerly School
Boulevard) and the westerly road adjac nt to the proposed A VR site and final
grading plan preparation for a portion 0 the Otter Creek industrial park.
2. Do not authorize the feasibility report d final grading plan.
c. STAFF RECOMMENDATION:
The City Administrator recommends that the C uncil authorize Alternative No.1.
D. SUPPORTING DATA:
Project Map
FlclawrtglwordpmCI]OO6 COUilcil AgendasI6-/2_()(j cc a~"da\J!l-Olfer(,,",,'f!kFea.fRpt_()612()6d()('
CSAH 39
OTTER CREEK
I
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PROPOSED
AVR SITE
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EXISTING OVERHEAD J' .
POWER EASEMENT
\
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FUTURE RESIDENTIAL
"
"
"
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-._- -_._----._---_.~
"
"
"
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...
WSB
_."
701 Xenia Avenue South. Suite 300
Minneapolis, MN 55416
WWW.wsbang.com
EXTENSION OF DAL ON AVE
AND WESTERLY OAD
CITY OF MONTIC LLO
& As5ociotdS, Inc.
- 763-541-4800 . Fax /63.541-1700
INFRASrnUC11JRE I ENGINEERING t PLANNING I CONSTRUCTION
K;\01488-92ICadIWOrklngIFlgura.prop Dalton and Noname for AVR.dwg
GaaPIIIc ICQ
~~
WETLAND AREA
WSB Project No. 01488-92
CITY Project No.
June 7, 2006
FIGURE 1
Council Agenda: 6/12106
51. ADDrove ChanQe Order No.3 for the CSAE 18/1-94 InterchanQe Proiect (Citv
Proiect No. 2004-1C) (WSB)
A.
REFERENCE AND BACKGROUND:
~
The attached change order is required to inclue e a pay item for the disposal of the
garbage found at the A VR site. The pay item ~ hall be "Haul & Dispose of Contaminated
Material" paid for by the Ton. This item was ~reviously referenced in the agenda item
for Change Order #2.
While excavating material at the A VR site, the contractor discovered several pockets of
garbage buried on the site. The garbage was stockpiled onsite to await proper testing and
development of a disposal plan. There was COt cern that the material could not be
disposed of in a residential landfill. The test re ults showed no hazardous metals to be
present in the garbage and it was deemed suitalle to be hauled to the ONYX landfill.
The total amount of garbage discovered was 2, 23 tons based on the scale tickets
provided from ONYX Landfill.
The contractor provided a price of$18.00/ton t dispose of the material which includes
all taxes, fuel surcharges, manifests, loading, h uling and disposal of the material. The
breakdown ofthe costs is as follows:
Item
Unit
Unit Price Quantity
ONYX Landfill Tipping
Fee
Loading, Hauling and
Administrative Fees
Ton
Ton
Total
B. ALTERNATIVE ACTIONS:
$10.46 2223
$7.54 2223
$18.00
2223
1. Approve Change Order No.3 in the amount of$40,014.00.
2. Do not approve Change Order No.3 at 1 his time.
C. STAFF RECOMMENDATION:
The City Administrator recommends selecting 1 lternative No.1.
D. SUPPORTING DATA:
Change Order No.3
Estimated
Total Cost
$23,252.58
$16,761.42
$40,014.00
F;\dm1'I'J lwurdproc\2006 Council A1.renda.fl6-ll.06 CC Clgcnda\JJC"lAH/flC03-053J06-challgc ()t'(.k~t #Jd{}c
A
WSB
l:"{. .:, ';',', "'1.": ';': ~ r" J' ..' /1'
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June 7.21)06
?C' f XI:;f'i:':J A,Vf~f'~U,.~ Sc&;;'~::':
S,.}!tj,:- Jon
\l;r;ld<JPOI.;>, ",1 N ~i5:1: [,
1,.-, >, 7f:,J- 5,(1../800
;',1:, 763.5-11. pel)
Mr, Rick Wolfsteller. City Adlninistraror
City of \!onticello
505 \Valnllt Street, Suite J
;vfonticello, MN 55362
Attn: Daw n Grossinger, Deputy City Clerk
Re: Change Order 1'<0. 3
CSAH l8.ir-9411ltcrchangc~ IrnproVenll:.~!HS
S,P. No. 868U-138
COllnty Proj t;.'C!\;\). 86-18-0612
Cil} of Monticello Project No. 2004-01 C
WSB Project No. 1546~12
Dt:ar Mr. \Volfste1kr
Please fi nd enel osed Change Order No" J (ill trip I ic. e) for the abo'"e-referenced projec, for you,
rev'iew and approval. The increase to thc Contract aI ount is $40,014. resulting in a re"ised
contract total of$8,832, I 72.66. This change order a 10unl will be included with thc next
construction pay voucher processed. \Vc hereby reco mend that the Cily of Monticello ::lpprovC'
Ch,ll1ge Order '\io. J ti)r R. L. Larson Excavating, lnc
If you have any questions regarding the above, please do not hesitate to eontact mc al 763-28 7~
8308,
Sincerely,
H:~'B & ,'t'lsOcifltes, Jill',
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Derek R. Schmidt. fl,E.
Project ivlanager
Enclosures
cc: R L. Larson EXCil\:llmg, Inc.
sm
!\11r:n21lGiJIIS I St. CIOll .
EIF'OJI Gp()OI"t;,"li"/ Er"1oio 9'
g .)',:':j"~",, ,....' "'''<'''"'~I''' ""'I~i~'I",. ~!""r ,I~I'~~I,,,'L:,'I"
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JUN-0'7-2006 14:1217
JUN-07-06 WED 01:54 PM
WSB & ASSOCIATES
RL LARSON EXC INO
76354117121121 P.12I1/1212
FAX NO. 320 654 1021 P,01
s.P. t4Q: 8SiIG-13a
COUNTY MoJeCT NO. .....a.oe12
CITY PROJECT NO. 2C,!04.01C
.CR)' OF 1IONllCeU.O, WI
WSB'PRO..lECl NO. 1541-'12
<MWER:
CITY()f:~
'a WALNUT S1'RIET. sum: 1
'AiioNncaLo. ,. 55182
CON'IRAC'roR:' ,
R. L l.ARSQt.I EXCAVATlN~ 1"Ie.
22SI.121H $lR!ET SE
ST, CLOUD. MN 18304
YOU ARE ClRECTEQ rOMAKE TH! FOu.cwNG CHANGes IN THfi
llOCUMeNT ~IPTION;
8III3DOS, "
~QUANTmES~MODIFI!OAsSHOWNONTHEATTACHEt)Der. L'
, IT IS UNDERSTOOOT'HAT,lli!S CHANGe 'ORDER INCLUDES AU.ADOITIONAt. AND,llMe' EXl'ENs/ONS WHICH ARE IN ANYWAy, SHAPE.. oR
,.fO~M ASSOCtATEO INrrH TH! \\Qt1< ELeMEN"'i8 DESCRIBED N'JCNE. ,
, ,
,CHAN<EIN'COH1ftACTI'RICE: CHAIIQl!IN~l1ME:
oR/(;Jrw.'~CT PRIC!:
PAEVl~ ~Gl;; OROfRS:
CONTRAcT PRICE ~lOR TO THIS CHANGe ORDHIIt:
,',NET IffCREAsE OF THIS CHANGE ORDER;
camv.cr 'PRICE wrrH AU. A~O CHANGE ORDERS:
$&275.'!8/i;w'; ,~NAL~Tl,ME;
S516.171).50 'Nei CHANGE FIlOU 1'ReVtOUsCHANGi: ORDERS:
~,792,1Sl!l,ee; 'CONTRACfl1ME PRICft'TO THIS CtfANo! ORrl!Ft:.
l4P,D14,OO NETrNeREASewmt~ORDER:
$i,832,1'72..ea. ~TlMEwni-l APPROVEOCHANCe ORDeRS
,: RECOMaENOeD BY:
~'.,)04c, ~ . ,<- _
. ........ ~REKSCHMICT, P.!!., PROJECT MANAGER
WS8&1\SSOCIA'tES.I~
, iNGlNE!R
R. 'L. LARSON fXCAVATING.l~,
APPROVED BY:
CITY E~IN!ER
ACMINI8'mATOR
DA~.
DATE
lC.~f~~_2c:r...cw.IJ/Me04
5131J'JDJ7
'0
5'31flOo7' ,
o
51311'2001,
.--~. .
CHANGEORDER.N .~.;3.[u:fNL:
CSAH 18/1-94 INTERCHANGE IMPROVEMENTS
S.P. NO. 8680-138
COUNTY PROJECT NO. 86-18.0612
CITY PROJECT NO. 2004-01C
CITY OF MONTICELLO. MN
WSB PROJECT NO. 1546-12
6/8/2006
WSB PROJECT NO. 1546-12
ADDED ITEMS
Item No. Description
ty
Unit
Price
Extended Amount
277 HAUL AND DISPOSE OF WASTE MATERIAL
223
TON
$18.00
$40,01400
TOTAL ADDED ITEMS CHANGE ORDER NO.3
$40,014.00
DELETED ITEMS
Item No. Description
ty
Unit
Price
Extended Amount
TOTAL DELETED ITEMS CHANGE ORDER NO.3
$0.00
TOTAL ADJUSTMENT TO CONTRACT AMOUNT
$40,014.00
K:\01 4/J..12\Adm/n\Consrrucllon Adm/n\154/J..12 Chenge Order 3.x/sC0-3 De/ell
Council Agenda: 6/12/06
5J.
A. REFERENCE AND BACKGROUND:
As the Council is aware, two residents of ampa Circle previously contacted
City staff regarding stormwater drainage oncerns in their back yards. The
residents noted that stormwater runoff is ot being contained within an existing
drainage ditch between their back yards d the Monticello Country Club Golf
Course (see Figure 1). As a result, they a e experiencing standing water and the
depositing of debris in their back yards d ring periods of heavy rain.
The City Engineer visited the site on Apri 4, 2006 to review the situation. At
that time it was noted that the existing dra'nage ditch running between the back
yards of the residents and the golf course s choked with vegetation and trees of
all sizes. Much of the vegetation, along ith a few trees, must be removed in
order to allow stormwater to adequately fl w through the ditch. In addition, the
ditch will need to be regraded in order to roperly convey the stormwater and
contain it within the easement area in the uture.
1. Authorize preparation of a feasibility udy for constructing drainage ditch
improvements between Kampa Circle d the Monticello Country Club Golf
Course.
The City Engineer contacted the two resid nts to inform them that City staff is
in the process of developing a plan to co plete the necessary improvements.
B. ALTERNATIVE ACTIONS:
2. Deny preparation of a feasibility study for constructing drainage ditch
improvements between Kampa Circle d the Monticello Country Club Golf
Course.
C. STAFF RECOMMENDATION:
It is the recommendation of the City Admi istrator, the Public Works Director
and the City Engineer that the City Council approve alternative action #1.
D. SUPPORTING DATA:
Figure 1
@
~agG 1 uf2
FIGuRe 1
~
-+
6r-Q.i~~ ~~L..
,ltp:/1156. 99 .28. 84/servleV com. esri. esrimap.Esrimap?ServiceName CustomParcel&Client V ersion~ 3.1 &F... 6181200"
City Council Agenda - 06/12/06
7.
TIF Plans for TIF District Nos. 1-2
Housine District). (O.K.)
A. Reference and backe:round:
PUBLIC HEARING - The City Council is as ed to hold a public hearing prior to considering
the resolution adopting the modifications of IF Plans for TIF District Nos. 1-2 and 1-24. The
public hearing notice appeared in the local ne spaper on June 1, 2006, satisfying the statutory
notice requirement.
TIF District No. 1-2, Metcalf/Larson, a Rede elopment District, was certified in 1983 and the
TIF Plan was modified five times previously t either enlarge the district boundaries and
increase the budget. TIF assistance was used or building and land acquisition, demolition,
relocation, site preparation and public improv ments associated with the construction of an
office building, Broadway Square Apartments and post office egress.
The proposed No. 1-2 modification is to incre se the budget only and does not include
enlarging the district boundaries. The budget evenues and expenditures will be increased from
$1,323,421 to $1,705,134. Based on the proje ted cashflow using the current obligation and
projecting tax increment to the district's statut ry limits which is year 2010, the projected
amount of uncommitted revenues available for use is approximately $175,000. Because this is
a pre-1990 district, the tax increment is availab e for budgeted expenditures in the district or
within the project area.
TIF District No. 1-24, 8t. Ben's, a Qualified ousing District, was certified in 1998. TIF
assistance was used for site improvements and and acquisition associated with the construction
of the independent senior rental housing facilit called 8t. Benedicts. A certain percentage of
the rental units are subject to rental rate and inc me requirements established through the
National Housing Act. 8t. Benedict's annually ubmits a rental and income report to the HRA
Director.
The proposed No. 1-24 modification is to increa e the budget only and does not include
enlarging the district boundaries. The budget re enues and expenditures will be increased from
$1,340,000 to $1,940,000. Based on the project cashflow using the current obligation and
projecting tax increment to the district's statuto limits which is year 2026, the project amount
of uncommitted revenues available for use is ap roximately $600,000. The tax increment is
available for use within the project area, but mus be used for affordable housing.
1
City Council Agenda - 06/12/06
The Monticello HRA requests the Coun il modify the Plans for TIF District Nos. 1-2
and 1-24 because: Due to a recent chang in the Minnesota Statutes, the HRA must
annually determine the amount of exces increment for a district based on its Plan in
effect December 30 of the year and the' crement and revenues received of that year.
The HRA must spend or return the exce s increment under the Statute within nine
months after the end of the year. In ad tion, the HRA may, subject to the limitations
set forth herein, choose to modify the PI n in order to finance additional public costs in
the Development District (project area) r TIF District.
The modification to the Plans (budgets) for District Nos. 1-2 and 1-24 will maximize the use of
tax increment for future redevelopment and housing projects within the Central Monticello
Redevelopment Project No.1 boundaries.
Any formal modification to a TIF Plan foIl ws the same process as establishment of a new
district. The modification reserves the H ' s right to incur bonded indebtedness, the
modification does not obligate the HRA to ncur debt, future action is necessary to incur debt
(such as approval of a Contract for Private evelopment.)
The Planning Commission adopted their res lution on June 6, 2006, and the HRA adopted
their resolution on June 7, 2006. The count and school district received a copy of the
proposed modifications on May 10, 2006, s tisfying the 30-day notification period for
comments.
PLEASE OPEN AND CLOSE THE PUBLI HEARING FOR COMMENTS OR
QUESTIONS.
B. Alternative Action:
1. Motion to approve a resolution adop ing modifications to the TIF Plans for TIF District
Nos. 1-2 (Redevelopment District) d 1-24 (Qualified Housing District).
2. A motion to deny approval of a resol tion adopting ..............................................
3. A motion to table any action.
2
C. Recommendation:
City Council Agenda - 06/12/06
The City Administrator and HRA Executive irector recommend Alternative No.1. The
modification of the TIF Plans preserve the tax increment for future redevelopment and
affordable housing projects within the Central Monticello Redevelopment Project No. 1
boundaries.
D. Supportiul! Data:
Resolution for adoption, map, and TIF Plan.
3
CITY OF MONT CELLO
COUNTY OF GHT
STATE OF MIN SOTA
Council member
introduced e following resolution and moved its adoption:
RESOLUTION N
RESOLUTION ADOPTING MODIFICATI NS TO THE TAX INCREMENT
FINANCING PLANS FOR TAX INCREMEN FINANCING DISTRICT NOS. 1-2
(REDEVELOPMENT DISTRICT) AND 1-24 ( UALIFIED HOUSING DISTRICT)
BE IT RESOLVED by the City Council (the "Co cil") of the City of Monticello, Minnesota (the
"City"), as follows:
Section 1.
Recitals
1.01. The Board of Commissioners (the "Board") of the Monticello Housing and Redevelopment
Authority (the "HRA") in and for the City of Monticello (the 'City") has heretofore established Tax Increment
Financing District Nos. 1-2 and 1-24 and adopted the Tax crement Financing Plans therefor. There is a
proposal to modify the Tax Increment Financing Plans (the 'Modifications"), for Tax Increment Financing
District Nos. 1-2 and 1-24 (the "Districts"), all pursuant to d in conformity with applicable law, including
Minnesota Statutes, Sections 469.001 to 469.047, and Secti ns 469.174 to 469.1799, inclusive as amended
(the "Act"), all as reflected in the Modifications, and present d for the Council's consideration.
1.02. The HRA and City have investigated the fact related to the Modifications and have caused the
Modifications to be prepared.
1.03. The HRA has requested approval by the Cit of the proposed Modifications.
1.04. The City has performed all actions required b law to be performed prior to the adoption and
approval of the proposed Modifications, including, but not imited to, notification of Wright County and
Independent School District No. 882, the holding of a public h aring upon published notice as required by law
and the receipt of a recommendation from the Planning Comm. ssion that the Modifications are consistent with
the general development plans for the City.
1.05. The City is not modifying the boundaries nor erms of the Districts but is, however modifying
the budgets in the Tax Increment Financing Plans.
Section 2.
Findinl!s for the Modifications
2.01. The Council hereby reaffmns the original fi dings for the Districts. In addition, the City
makes the following fmdings:
(a) The Modifications conform to the general pI for development or redevelopment of the City
as a whole. The reason for supporting this fi ding is that the Modifications will generally
complement and serve to implement policies dopted in the City's comprehensive plan.
Section 3.
Public Purpose
3.01. The adoption of the Modifications confo in all respects to the requirements of the Act and
will help fulfill a need to develop an area of the State w ich is already built up, to provide employment
opportunities, to improve the tax base and to improve the eneral economy of the State and thereby serves a
public purpose and will afford maximum opportunity, cons stent with the sound needs for the City as a whole,
for the development or redevelopment of the project area b private enterprise in that the intent is to provide
only that public assistance necessary to make the private d velopment fmancially feasible.
Section 4.
4.01. The Modifications are hereby approved, d shall be placed on file in the office of the City
Administrator. Approval of the Modifications does not co stitute approval of any project or a development
agreement with any developer.
4.02. The staff of the City are authorized to file the Modifications with the Commissioner of the
Mirmesota Department of Revenue, the Office of the State uditor and the Wright County Auditor.
4.03. The staff of the City, the City's advisors d legal counsel are authorized and directed to
proceed with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and
present to this Council for its consideration all further mo ifications, resolutions, documents and contracts
necessary for this purpose.
The motion for the adoption of the foregoing res lution was duly seconded by Council member
, and upon a vote being taken thereon the following voted in favor thereof:
and the following voted against the same:
Dated: June 12, 2006
A TEST:
Mayor
C ty Administrator
(Seal)
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As of JuneS, 2006
I
TAX INCREMENT INANCING PLAN
for the mod'fication of
TAX INCREMENT FINA CING DISTRICT NO. 1-2
(a redevelop ent district)
wit in
CENTRAL MONTICELLO RED VELOPMENT PROJECT NO.1
MONTICELLO HOUSING AND DEVELOPMENT AUTHORITY
CITY OF MO TICELLO
WRIGHT OUNTY
STATE OF M NNESOTA
Adopted: Sep ember 13, 1983
Modification #1 Adopte : December 9, 1985
Modification #2 Adopt d: August 24, 1987
Modification #3 Adopted September 26, 1988
Modification #4 Adopte : January 22, 1996
Modification #5 Adop ed: June 24, 1996
Modification #6 Public Haring: June 12, 2006
Modification # Adopted:
Prepared by:
EHLERS & ASSO IATES, INC.
3060 Centre Po'nte Drive
Roseville, Minneso 55113-1105
Phone: (651) 97-8500
Fax: (651) 6 7-8555
E-mail: info@eers-inc.com
Web Site: www.eers-inc.com
TABLE OF CO TENTS
MODIFICATION TO THE REDEVELOPMENT P AN FOR CENTRAL MONTICELLO
REDEVELOPMENT PROJECT NO.1................. ...........................................................1
Foreword.......................................................... ...........................................................1
TAX INCREMENT REDEVELOPMENT FINANC PLAN................................................2
A. STATUTORY AUTHORITy......................... ............... ................ ............. ..... ..........2
B. STATEMENT OF OBJECTIVES .................. ..................................... ................. .....2
C. DEVELOPMENT PROGRAM.. ............. ....... ...........................................................3
D. PROPERTY ACQUISITION ........... .............. ....... ................................ ....................5
E. DEVELOPMENT ACTIVITIES COVERED B AGREEMENT .................................6
F. DESCRIPTION OF PROPERTY IN THE TA INCREMENT FINANCING
DiSTRiCT......................................................... ...........................................................6
G. CLASSIFICATION OF THE TAX INCREME T FINANCING DISTRICT.................7
H. ESTI MATE OF COSTS ............................... ........................................................... 7
I. ESTIMATE OF INDEBTEDNESS.................. ....................................................... ..11
J. SOURCE OF REVENUE.............................. ...................................................... ...11
K. ORIGINAL ASSESSED VALUE................... ........................................................ .12
L. ESTIMATED CAPTURED ASSESSED VAL E ...... .................................. .............14
M. DURATION OF THE DiSTRiCT.................. .........................................................14
N. IMPACT ON OTHER TAXING JURISDICTI NS...................................................14
O. MODIFICATION TO TAX INCREMENT PL N ......................................................17
P. LIMITATION ON ADMINISTRATIVE EXPE SES .................................................18
Q. LIMITATION ON DURATION OF TAX INC EMENT FINANCING DISTRICTS....18
R. LIMITATION ON QUALIFICATION OF PRO ERTY IN TAX INCREMENT
DISTRICT NOT SUBJECT TO IMPROVEMEN .......................................................18
S. LIMITATION ON THE USE OF TAX INCRE ENT................................................19
T. NOTIFICATION OF PRIOR PLANNED IMP OVEMENTS....................................19
U. EXCESS TAX INCREMENTS...............................................................................1 9
V. REQUIREMENT FOR AGREEMENTS WIT THE DEVELOPER.........................20
W. ASSESSMENT AGREEMENTS..............................."..." "................................. ..20
X. ADMIINISTRATION AND MAINTENANCE F THE TAX INCREMENT ACCOUNT
...................................................................................................................................20
Y. ANNUAL DISCLOSURE REQUIREMENTS ........ ..................................................20
Z. ASSUMPTIONS.................................................................................................... .21
MODIFICATION TO THE RED VELOPMENT PLAN
FOR CENTRAL MONTICELLO REDE ELOPMENT PROJECT NO.1
Foreword
The following text represents a Modification to the edevelopment Plan for Central Monticello
Redevelopment Project No.1. This modification represent a continuation of the goals and objectives set
forth in the Redevelopment Plan for Central Monticello edevelopment Project No.1. Generally, the
substantive changes include the modification of Tax Incre nt Financing District No. 1-2.
For further information, a review of the Redevelopment Plan for Central Monticello Redevelopment
Project No. I is recommended. It is available from the ity Administrator at the City of Monticello.
Other relevant information is contained in the Tax Incre ent Financing Plans for the Tax Increment
Financing Districts located within Central Monticello Rede elopment Project No.1.
I
TAX INCREMENT REDEVE OPMENT FINANCE PLAN
A. STA TUTORY AUTHORITY
The City of Monticello is authorized to establish a t increment district pursuant to Minnesota Statutes
273.71 - 273.78.
The Monticello Housing and Redevelopment Authorit (the "Authority") and the City of Monticello are
authorized to modify the tax increment finance plan fo Redevelopment District #2 pursuant to Minnesota
Statutes, Section 469.175, Subdivision 4
e 13,2006)
Within the City, there exists areas where public im rovement is necessary to cause development or
redevelopment to occur. To this end, the City and have certain statutory powers pursuant to
Minnesota Statutes Sections 469.001 through 46 .047, inclusive as amended, and Minnesota
Statutes Sections 469.174 through 469.1792, inclusiv as amended, to assist in financing public costs
related to this project.
B. STA TEMENT OF OBJECTIVES
(As Originally dopted)
1) Provide incentive for the expansion ofMetca f/Larson Law Offices in the City of Monticello.
2) Provide expanded tax base.
3) Create a use for currently under-utilized land.
4) Eliminate a blighted, non-conforming struc e.
(As Modified- ugust 24, 1987)
1) Provide opportunities for development and e ansion of new business
2) Provide opportunities for growth of the tax b se
3) Eliminate blight or deterioration within an ar
4) Create a use for currently under-utilized land.
(As Modified Se tember 26, 1988)
1) Provide opportunities for development and ex ansion of new business
2) Provide opportunities for growth of the tax ba e
3) Eliminate blight or deterioration with an area
4) Create a use for currently under-utilized land
5) Provide needed subsidized elderly housing
2
c. DEVELOPMENT PROGRAM
(As Originally Ad pted)
In accordance with Minnesota Statutes 273.74, a descripti n of the redevelopment program for the tax
increment financing district is provided.
1) The City of Monticello will acquire the north rly 50 feet of Lots 8, 9, & 10 in Block 50,
original plat and raze the existing blighted, non conforming structure.
2) The City will convey to Metcalf and Larson, t e developers, the above described parcel in a
condition suitable for construction.
3) Metcalf and Larson will construct a 2800 sq. ft. per floor split foyer office building (with
parking facilities) on the above parcel and on 1 d adjoining said parcel.
(As Modified Dece ber 9, 1985)
1) Pursuant to Resolution 1985 #31, the District was enlarged to include a residence directly
north of Metcalf & Larson building in Block 5 and three vacant lots owned by the HRA in
Block 51, along with Stelton's Laundromat pro erty and the Marie Gustafson property all in
Block 51.
2) The district was modified to capture incremen
apartment house proj ect proposed for portion
District is expected to be a benefit to the
Auto property.
generated by the construction of the elderly
of Block 51. The enlarged Tax Increment
once development occurs on the HasslK&H
1) Modification #1 included the addition of Hollen ack, Stelton, Gustafson, and the City of
Monticello parcels to the original Redevelopme t District #2
2) Metcalf & Larson, developers, constructed a 31 unit elderly home on the City of Monticello
parcel (155-101~051130)
3) Modification #2, the Housing and Redevelopme t Authority will acquire the Monticello Ford
property, parcels 155-010-051010 and 155-010- 51020, and will raze the existing blighted
structure.
(As Modified Septe ber 26, 1988)
1) Modification #3, the Housing and Redev lopment Authority will acquire the Jones
Manufacturing Company property, parcel 1 5-010-051011, and will raze the existing
blighted structure and;
2) Modification #3, the Housing and Redevelop ent Authority will acquire the Monti Truck
Repair property (raw land), parcel 155-010-051 40 and;
3) Modification #3, the Housing and Redevel pment Authority will acquire the Stelton
Laundromat property, parcel 155-010-051050, nd will raze the existing blighted structure
and;
3
4) Modification #3, the Housing and Redevelop ent Authority will convey the three above said
parcels plus parcels 155-010-051010 andl55- 10-051020 (Modification #2) to the developer,
Broadway Square Limited Partnership, for construction of a 28-unitsubsidized elderly
housing proj ect.
(As Modified Au st 24, 1987)
DEVELOPMENT ACTIVITIES
(As Originall Adopted)
The HRA and Monticello Ford, Inc., Lawrence Flake, Pre ident, have executed a purchase agreement for
$75,000.00 for the acquisition of said property located at 249 West Broadway, Monticello, Minnesota.
The HRA paid $500.00 earnest money and will pay $2 ,500.00 on the closing date. The remaining
balance of $50,000.00 will be on a Contract for Deed at 1 % interest rate for 4.5 years. The HRA has the
right of prepayment privileges, without penalty, on the con act for deed payment schedule.
(As Modified Septemb r 26, 1988)
DEVELOPMENT ACTIVITIES
A purchase agreement has been executed between Al 'n and Shirley Jones, Jones Manufacturing
Company, (the "Seller") and the Housing and Redevelo ment Authority (the "Buyer") for $57,000,
inclusive of moving and relocation expenses ($5,000) or the property located 110 North Locust,
Monticello, Minnesota. The HRA released earnest mone of $10,000 with the remaining balance of
$47,000 due at closing date, on or before March 1, 1989. Ernest money was a debit to the HRA General
Fund.
A purchase agreement has been executed between Josep and Clarice O'Connor, Monti Truck Repair,
(the "Seller") and the Housing and Redevelopment Auth rity (the "Buyer") for $55,000, inclusive of
moving and relocation expenses ($5,000) for raw land located at 247 East Broadway, Monticello,
Minnesota. The HRA released earnest money of $10,000 ith $40,000 due at closing date, on or before
March 1, 1989 and the remaining balance of $5,000 due pon completion of demolition no later than
April I, 1989. Earnest money was a debit to the HRA Gene al Fund.
A purchase agreement has been executed between Ervin nd Donna SteIton, Stelton Laundromat, (the
"Seller") and the Housing and Redevelopment Authority (t e "Buyer") for $65,000, inclusive of moving
and relocation expenses ($5,000) for the property located at 237 West Broadway, Monticello, Minnesota.
The HRA released earnest money of $10,000 with the rem ining balance of $55,000 due at closing date,
on or before March I, 1989. Earnest money was a debit to t e HRA General Fund.
The HRA proposes to demolish and remove the blighted tructures at 110 North Locust and 237 West
Broadway, Monticello, Minnesota, in the spring of 1989, thereafter, the HRA will convey the above
properties plus the Old Ford Garage property to develope, Broadway Square Limited Partnership, for
construction of a 28-unit subsidized elderly housing
4
AMOUNT
50,000
44,444
38,888
33,332
27,776
22,220
16,664
11,108
5,552
(As Modified August 4, 1987)
PAYMENT SCRE] )ULE
P A {MENT
8,0 6
7,7 8
7,5 0
7,2 3
6,9 5
6,6 7
6,3 9
6,1 1
5,8 0
PRINCIPAL
5,556
5,556
5,556
5,556
5,556
5,556
5,556
5,556
5,552
INTEREST
2,500
2,222
1,994
1,667
1,389
1,111
833
555
278
(As Originally Adc pted)
DATE
June 30, 1988
December 31, 2988
June 30, 1989
December 31, 1989
June 30, 1990
December 31, 1990
June 30, 1991
December 31, 1991
June 30, 1992
The lIRA proposes to demolition and remove the blighted s ructure prior to the end of year 1987; thereby,
provide opportunity for development of a new business.
D. PROPERTY ACQUISITION
(As Originally Ado pted)
The City shall acquire all of the northerly 50 feet of Lots 8, , & 10 in Block 50, O.P.
Property identified for acquisition will be acquired by the Monticello Authority in order to accomplish
one of the following: (a) remove, prevent or reduce blight, t lighting factors, causes of blight or the spread
of blight and deterioration; (b) eliminate unhealthful, unsaf~, and unsanitary structures and conditions; (c)
provide impetus for commercial development and rehabili ation; (d) remove incompatible land use and
eliminate obsolete or detrimental uses; (e) assemble land fi r redevelopment; and (f) carry out clearance
and/or redevelopment to accomplish the uses and objectives set forth in this plan.
(As Modified June 1 ,2006)
The City or HRA may acquire any parcel within the Dil trict, including interior and adjacent street
rights of way. Properties will be acquired by the City 0 HRA in order to accomplish one or more
of the following: storm sewer improvements, provide I nd for needed public streets, utilities and
facilities, transfer to private developers in order to aCCI mplish the uses and objectives set forth in
this TIF Plan. The City or HRA may acquire property by gift, dedication, condemnation or direct
purchase from willing sellers in order to achieve the ob' ectives in this TIF Plan. Such acquisitions
will be undertaken only when there is assurance of funding to finance the acquisition and related
costs. The City or HRA may also reimburse the developers for costs of land acquisition in lieu of
direction by the HRA or City.
5
E. DEVELOPMENT ACTIVITIES COVERED B AGREEMENT
All activities planned are delineated in the development a eement which is attached as Appendix A. To
date, a purchase agreement has been executed between M tcalf and Larson and Capps, the present owner,
and said agreement has been assigned to the HRA.
F. DESCRIPTION OF PROPERTY IN THE TAX NCREMENT FINANCING DISTRICT
Lots 1,2,3, the northerly. 50 feet and the easterly 3 feet 0 the southerly 115 feet of Lot 8, Lot 9, and Lot
10, all in Block 50; Lots 1,2,3,4, the westerly 5.5 feet of at 5 and the southerly 15 feet of Lot 15, all in
Block 51, City of Monticello.
155-010-050010
155-010-050011
155-010-050081
155~0 10-050082
155-010-050100
155-01O~051010
155-010-051011
(As Modified August 4, 1987)
N 12Lots 1,2, & 3, lock 50
S 12 Lots 1,2, & 3, lock 50
Th P r t of Lots 8 9 Iyg Sly of fol desc Ine, Beg at SEly cor of
Lot 1O,the NEly I 2.84 ft to a Ine par/w &dist 62 ft SWly as
meas at RJang to N Iy Ine of Lots 8, 9 & 10, thc NWly39.21 ft
to POB oflne to d sc,thc cant sd Ine as ext to apt 3 ft Wly of
Ely Ine of Lot 8 & h term. Block 50.
N 50 ft of Lots 8,9 & 10, Block 50
Th prt ofLts 9 & 1 des: Beg SEly cor ofLt 10; thc NEly alg
SEly In 102.84 ft t In par/w & 62 ft SWlyofNEly In; thc NWly
alg sd par In 39.21 t to In par/w & 6 f t NWlyof SEly In of Lot
9; thc SWly 102.86 to SWly In of Lot 9. Block 50.
Lot I exc Nly 30 f Block 51
Nly 30 ft ofLts 1 & 2 & Nly 30ft ofW 24 ft ofLt 3. Also S 15 f
t ofLt 15. Block 51
155-01O~051020 Lt 2 exc Nly 30 ft Lt 3 exc Nly 30 ft ofW 24 ft & W 712ft
ofLt 4. Block 51
155-010-051040 E 2512 ft ofLt 4& 512ft Lt 5, Block 51
155-010-050111 S12 of Lots 11 & 12 Block 50, Original Plat
155-010-051050 Lot 5, Block 51, ex W 512 ft (50Mis-92) Original Plat
155-010-051111 Lots 11 & 12, Bloc 51, exc S 65 f t and exc tr
sesc in Bk 266-795 Original Plat
155-010-051130 Lots 13, 14, & Nly 150 ft of Lot 15, Block 51, Original Plat
155-010-050101
(As Modified September 6, 1988)
NEly 12 ft ofBlk 50 Lot 10 & E 6 ft oiLot 9 ex N 50 ft of Lots
10 & 9 also the porti n of Lots 8 & 9 lying Nly afro I des In Beg
6
at SEly cor fLot 10 th NEly 102.84 ft to In parfw & dist 62 ft
SWly of as eas at rfang to NEly In of Lots 8, 9 & lOth
G. CLASSIFICA TlON OF THE TAX INCRE ENT FINANCING DISTRICT
(As Origina ly Adopted)
The tax increment financing district to be established within the area designated as the Central Monticello
Redevelopment Areas is classified as Redevelopment District.
The property to be included in the district is as follow ; (by PIN)
a. 155-01O~05001O (Hass)
b. 155-010-050011 (Teslow)
c. 155-010~050081 (Metcalf & arson)
d. 155-010-050082 (Capps, CD from indberg)
e. 155-010-050100 (Metcalf & arson)
f. 155-010-051010 (Monticello Ford)
g. 155-010-051011 (Jones)
h. 155~0 1 0-051 020 (Monticello Ford)
i. 155-010-051040 (O'Conner)
j 155~O1O-050101 (City of Monticell )
Of the ten parcels, all but parcel e. are occupied by st ctures. Five of the eight structures (parcels a, d, f,
hand i) are considered to be structurally substandard, while parcels band g have structures that are both
non-conforming uses and on lots that are too small for heir use.
(As Modified Sept ber 26, 1988)
k. 155-010-050111 (Hollenbeck)
1. 155-010-051050 (SteIton)
m. 155-01O~051111 (Gustafson)
n. 155-01O~051130 (River Park View)
(As Originally dopted)
This proposal has been found to be in the public i erest because it will eliminate blight and non-
conforming use, create use for a vacant lot, provide t mporary construction employment, and generate
other improvements within the district. Because this district meets the requirements of MS 273.73,
Subdivision 10, it shall be classified as a Redevelopmen District.
H. ESTlMA TE OF COSTS
The estimate of public costs associated with this project and to be recovered by tax increment financing
are as follows;
7
(As Origina 1y Adopted)
Land Acquisition
Assessments '84 & beyond
Site Preparation
Legal, Contingency,
Administration (8%)
Subtotal
Less up fro n t payment
Total HRA Cost
*Rounded offto $32,000.00
$33,000.00
535.00
5.000.00
$38,535.00
3.082.80
$41,617.80
(I 0,000.00)
*$31.617.80
BUDGET
(As Mo ified August 24, 1987)
Property Acquisition
Demolition Cost
Administration Cost
TOTAL PROJECT COST
Less payment on purchase agreement
Less Demolition cost
Less Administration cost
HRA General Fund
Contract for deed
$75,000
13,000
2,000
$90,000
25,000
13,000
2,000
40,000
$50,000
(As Modifi d September 26, 1988)
BUDGET
Jones Acquisition
Property
Moving and relocation expo
demolition
O'Connor Acquisition
Property (raw land)
Moving and relocation expo
Ste1ton Acquisition
Property
Moving and relocation exp
demolition
Old Ford Garage (recover costs)
Contract for deed (payoff)
Interest paid (6/88, 12/88,6/89)
Demolition
Administrative
Assessments
Down payment
$52,000
5,000
5,000
$50,000
5,000
$60,000
5,000
5,000
$50,000
6,716
6,500
2,000
980
25,000
8
Modification #3 Administrative
Bond Discount
Plan modification
Bond issuance
Capitalized interest (24 mos)
TOTAL PROJECT COST
Less FmHA
Less Bond issuance
REMAINING BALANCE
10,954
11,250
2,500
12,000
48 100
$363,000
58,000
260.000
45,000
(As Modified January 2, 1996)
The budgets for the estimated public costs for Tax Increme t Financing Districts 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, -18 and 1.19 are hereby modified as follows:
For various land acquisition activities and redevelopment
Project the current expected costs include:
Land Acquisition
DemolitionlRelocation
Contingency
Subtotal
Administration
Total
d revitalization studies in the Redevelopment
$500,000.00
200,000.00
200.000.00
900,000.00
90.000.00
$990,000.00
Subject to restrictions as applicable to each individual ax 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 ncrement may be spent), tax increment from
any existing and future tax increment financing district ma be used to pay public costs. This budget is in
addition to existing public cost budgets for each tax increm nt financing district. Interest on any bonds or
other obligations incurred are also to be paid from incre ent in addition to the line items listed in the
budget above.
(As Modified June 2 , 1996)
The budgets for the estimated public costs for Tax Increme Financing Districts 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 land acquisition activities and redevelopment
Project the current expected costs include:
Land Acquisition
Site Preparation
DemolitionlRelocation
Public Improvements
Subtotal
Administration
Total
revitalization studies in the Redevelopment
$ 900,000.00
400,000.00
300,000.00
900.000.00
2,500,000.00
250.000.00
$2,750,000.00
Subject to restrictions as applicable to each individual ax 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 i crement may be spent), tax increment from
9
any existing
addition to e
other obliga
budget abov
and future tax increment financing district may be used to pay public costs. T
xi sting public cost budgets for each tax increm nt fmancing district. Interest 0
tions incurred are also to be paid from incrern ent in addition to the line item
e.
(As Modified June 1 , 2006)
d BRA has determined that it will be neces~ ary to provide assistance to t
ts. To facilitate the development or redevelo pment or property in and ar
s Plan authorizes the use of tax increment fin Ilncing to pay for the cost of c
he estimate of public costs and uses of funds associated with District No.1
ing table.
USES OF FUNDS
Land/Buildine:s 346.515
Site Improvements 120,000
Administrative 50,000
Bond Interest 350,531
Loan Interest 201.088
Other Pro.iect Area Improvements 175,000
TOTAL PROJECT COSTS 1.243,134
Bond Principal 260,000
Loan Principal 72,000
Transfers Out 130.000
above is organized according the Office of tl e State Auditor reporting for
tute 469.175 Sub 1 (5), it is estimated t 1at the cost of improvemen
ive expenses which will be paid or financed with tax increments, will equ
ted that the cost of improvements, includin~ financing which will be pai
ill equal $1,705,134 as is presented in the bu get above.
osts associated with the District are subject t [) change among categories by
through City Council and BRA resolution. 1 he cost of all activities to be c
nt financing will not exceed, without formal lDodification, the budget abov
tatutory requirements.
HRA reserves the right to use other sources of revenue legally applicable
o the Plan, including, but not limited to, Sl ecial assessments, general pr
for road maintenance and construction, proceeds from the sale of
ns from developer and investment income, to pay for the estimated public c
HRA reserves the right to incur bonded ind pbtedness or other indebtedn
. As presently proposed, the projects will be financed through bonded de
ss may be required to finance other authoriz d activities. The total princi
ebtedness or other indebtedness related to t b.e use of tax increment fina
,000 without a modification to the Plan purSl ant to applicable statutes.
ion does not obligate the City or HRA to inc L1r debt. The City or HRA wi
er debt only upon the determination that suc 11 action is in the best interest
City or HRA may also finance the activiti s to be undertaken pursuan
...-.---------..
his budget is in
n any bonds or
s listed in the
The City an
certain cos
No. 1-2, thi
expenses. T
in the follow
he project for
ound District
ertain eligible
-2 is outlined
The budget
to MN Sta
administrat
It is estima
increment w
ms. Pursuant
ts, including
al $1,243,134.
d for with tax
Estimated c
to the Plan
tax increme
applicable s
modification
onsidered for
e pursuant to
The City or
HRA and t
state aid
contributio
to the City or
operty taxes,
land, other
osts.
The City or
of the Plan
indebtedne
bonded ind
exceed $260
ess as a result
bt. Additional
pal amount of
ncing will not
This provis
or incur oth
HRA. The
II issue bonds
of the City or
t to the Plan
10
through loans from funds of the City or HRA or to eimburse the developer on a "pay-as-you-go"
basis for eligible costs paid for by a developer.
I. ESTlMA TE OF INDEBTEDNESS
(As Originally
The HRA, by action taken at a special meeting held on September 13, 1983, authorized a private
placement of tax exempt securities in the amount of$32, 00.00. The HRA intends to retire this debt over
a period of 12 years. The interest rate on this issue is esti ated to be 9.5%.
An estimate of the maximum amount of bonded indebte ess is expected to be $90,000.00. The estimated
annual tax increment generated from the elderly home $17,300.00) will be applied to the contract for
deed payments (estimated average annual debt service is $14,000.00). Upon full payment of the contract
for deed, the tax increment from the elderly home will replenish the HRA General Fund for expenses
incurred. Debt retirement to be completed before the dation of Redevelopment District #2. Bonded
indebtedness of $90,000 is an addition to the original bud et
(As Modified Septem er 26, 1988
An estimate of the maximum amount of bonded indeb edness is expected to be $260,000, estimated
annual debt service of $30,193.80. The maximum term f the issue is 18 years, and the interest rate is
expected to be 9.25 percent The capitalized interest amo t for approximately 24 months is estimated to
be $48,100. The difference between the project cost ($3 3,000), the bond indebtedness ($260,000), and
the Farmers Home Administration Funding ($58,000) is $ 5,000. Bond sale Spring of 1989.
J. SOURCE OF REVENUE
(As Originally A opted)
The primary source of revenue to be used to retire the b nd issue will be tax increments generated as a
result of the development The other source of income wil be the proceeds for the conveyance of the land
from the HRA t 0 the developers. In any given year that the tax increment is not sufficient to retire the
debt, the developers will issue directly to the HRA an amo t equal to the shortfall.
The primary source of revenue to be used to retire the b d indebtedness (contract for deed) will be tax
increments generated from the River Park View Elderly P oject, a development completed in 1986 within
Tax Increment District #2. The other initial source of reve ue will be from HRA General Funds.
(As Modified Septemb r 26, 1988)
The three sources of revenue used to finance public costs ssociated with the public development projects
in the redevelopment project are $58,000 Farmers Hom Administration Funding, $45,000 Monticello
Housing and Redevelopment Authority 1989 Tax Levy, d the tax increment generated as a result of the
taxation of the land and building expansion in the tax in rement financing redevelopment district Tax
11
increment fin
property taxes
costs.
The improvem
improvements
$36,084.81 pa
bond debt serv
Duration of th
K. ORIGIN A
Pursuant to M
Value (OA V)
Values, provi
values are as Ii
155-0
155-0
155-0
155-0
155-0
155-0
155-0
155.0
155-0
155-0
ancing refers to a funding technique that uti izes increases in assessed valua
attributed to new development to finance, or assist in the fmancing of public
ents to the land acquired by the Broadway Square Limited Partnership and
of Redevelopment District #2 are expected t generate an average annual tax
yable in year 1991. The estimated annual t~ x increment is sufficient to retir
ice of $30,193.80 plus Metcalf and Larson Securities annual debt service 0
e District Life is 2010.
(As Modified June 1 ,. 2006
SOURCES OF FUNDS
Tax Increment 990,000
Interest 132,134
Market Value Credit 10,000
Sales/lease proceeds 130.000
Developer payment 11,000
PROJECT REVENUES 1.273.134
Bond Proceeds 260,000
Loan Proceeds 72.000
Transfers In 100,000
L ASSESSED VALUE
(As Originally Ado pted)
innesota Statutes 273.74, Subdivision 1, and 273.76, Subdivision 1, the Origi
for the Monticello District #2 is based on t l1e sum of all ten parcels, Origin
ded by the County Assessor in 1983. This v~ 1ue is $80,863.00. Individual par
ollows:
(As Originally Ado pted)
10-050010 3,077
10-050011 9,860
10-050081 13,574
10-050082 7,616
10-050100 2,920
10-051010 3,760
10.051011 12,070
10-051020 17,974
10-051040 6,630
10-050101 -----.!!
77,481
..----
tion and the
development
the previous
mcrement of
e the annual
f $4,285.00.
na1 Assessed
al Assessed
ce1 assessed
12
(As Modified August 4, 1987)
155-010-050010
155-010-050011
155-010-050081
155-010-050082
155-010-050100
155-010-051010
155-010-051011
155-010-051020
155-010-051040
155-010-050111
155-010-051050
155-010-051111
155-010-051130
o
9,860
13,574
7,616
2,920
3,760
12,070
17,974
6,630
8,960
10,276
6,277
exempt
(As Modified Septembe 26, 1988)
Pursuant to Minnesota Statutes 469.175, Subdivision I, and 69.177, Subdivision 1, the Original Assessed
Value as modified for the Redevelopment District #2 an certified by the County Auditor of Wright
County on the 2nd day of January, 1988. This value is a t tal of $87,783.00. Individual parcel assessed
values are as follows:
PARCEL
155-010-050010
155-010-050011
155-010-050081
155-010-050100
155-010-050101
155-010-050111
155.010-051010
155-010-051011
155-010-051020
155-010-051040
155-010-051050
155-010-051111
155.010-051130
ASSESSED VAL
EXEMPT
$9,680
$13,574
$10,536
EXEMPT
$8,960
EXEMPT
$12,070
EXEMPT
$6,630
$10,276
$6,277
$9,600
(As Originally Ad ted)
Each year the Office of the County Auditor will measure t e amount of increase or decrease in the total
assessed value of the tax increment Redevelopment Distric to calculate the tax increment payable to the
Monticello HRA. Each year the County Auditor shall al 0 add to the original assessed value of the
Redevelopment District an amount equal t 0 the original as essed value for the preceding year multiplied
by the average increase in the assessed valuation of all pr perty included in the redevelopment District
during the five years prior to district certification . In an year in which there is an increase in total
assessed valuation in the tax increment Redevelopment Di trict above the annual percentage increase, a
tax increment will be payable. In any year in which the otal assessed valuation in the tax increment
Redevelopment District is less than the original assessed va e, no assessed valuation will be captured and
no tax increment will be payable. The County Auditor shall certify in each year after the date the original
assessed value was certified, the amount the OA V has in eased or decreased as a result of any of the
following:
13
1) Change in tax exempt status of propert ;
2) Alteration of the geographic boundarie of the district;
3) Change due to stipulations, adjustment, negotiated or court ordered abatements.
L. ESTIMA TED CAPTURED ASSESSED VAL E
(As Originally A opted)
Pursuant to Minnesota Statutes 273.74, Subdivision 1 an 273.76, Subdivision 2, the estimated Captured
Assessed Value (CA V) of the tax increment Redeve10 ment District will be $50,480.00. Changes in
assessed values are shown in Exhibit A. The City of Mont cello requests 100% of the available increase in
assessed value commencing in 1984 for taxes payable i 1985 be captured for repayment of debt and
current expenditures.
(As Modified Septem er 26, 1988)
Pursuant to Minnesota Statutes 469.175, Subdivision , and 469.177, Subdivision 2, the estimated
Captured Assessed Value (CA V) of the tax increment Redevelopment District will be $369,138.00.
Changes in assessed values are shown in Exhibit A. he City of Monticello requests 100% of the
available increase in assessed value commencing in 19 0 for taxes payable in 1991 be captured for
repayment of debt and current expenditures.
M. DURA TION OF THE DISTRICT
(As Originally A opted)
The City of Monticello expects to terminate the Monticell Tax Increment Redevelopment District #2 on
January 2, 2010. The 25 year duration of the district is ased on the ability of the City to collect tax
increments for 25 years commencing in 1985 and ending i 2010.
(As Modified June 3,2006)
Pursuant to Minnesota Statutes, Section 469.175, Subd vision 1, and Section 469.176 Subdivision 1,
the duration of Tax Increment Financing District 1-2 ust be indicated within the Plan. Pursuant
to Minnesota Statutes, section 469.176 Subdivision 1 ( ), the duration of Tax Increment Financing
District #1-2 will be 25 years from the date of receipt 0 the first increment by the city. The date of
receipt by the City of Monticello of the first tax incre ent was July, 1985. Thus it is estimated that
the Tax Increment Financing District, including an modifications of the Plan for subsequent
phases or other changes, would terminate after 201 , or when the Plan is satisfied. The City
reserves the right to decertify the District prior to the I gaily required date.
N. IMPACT ON OTHER TAXING JURISDICTIO S
It is anticipated that $4,269 in tax increment will be c ptured annually as a result of the proposed
improvement during the first 12 years of the District's 25 y ars.
14
For taxes payable in 1983, the City of Monticello comprised 24.8% of the mill rate (21.0), School District
#882 comprised 42.8% of the mill rate (36.2), and Wri ~ht County comprised 28.3% of the mill levy
(23.9). The Monticello-Big Lake Hospital District made u J the [mal 4.1 % with a mill rate of (3.4). A mill
rate of 84.5 mills has been used throughout the debt r tirement schedule used in this tax increment
financing plan. Applying the appropriate percentage (f the total mill rate levied by each taxing
jurisdiction to the projected mill rate and the annual tax ir crement of $4,269 reveals the annual forfeit of
tax dollars by each taxing jurisdiction.
The amount of tax dollars foregone by each taxingjurisdic ion is listed on the table below:
TABLE I
Percent of tax increment attributable to taxing jurisdictions
Tax Jurisdiction
City of Monticello
School District #882
Wright County
Hospital District
Estimated Mills
21.0
36.2
23.9
3.4
84.5
Percent
24.8
42.8
28.3
4.1
100.0
Annual Tax Inc.
1,059
1,827
1,208
175
4,269
The following table represents the additional mills tha would have to be levied by each taxing
jurisdiction to compensate for the tax dollars captured as ta increments. The tax increments derived from
the project alluded to in the tax increment economic develoDment district would not be available to any of
the taxing jurisdictions were it not for the public interven ion by the City of Monticello. Although the
increases in assessed value due to the economic development plan will not be available to the other
jurisdictions for the application of their mill levy for the dllfation of the tax increment financing district
this new assessed value will eventually be applied to a 1 jurisdictions assessed valuation and could
conceivably permit a mill levy decrease. If it is assume( that the captured assessed value would be
available for each taxing jurisdiction the amount of tax (ollars, represented as tax increments, which
would not be received by the other jurisdictions can be com uted. This computation is facilitated
by estimating how much the mill levy for property outside of the tax increment financing district would
have to be increased to raise the same amount of tax dollars in each jurisdiction had the project occurred
without the assistance of the City of Monticello.
TABLE II
Impact on taxing jurisdictions if development occurred with ut public assistance
Tax Jurisdiction
City of Monticello
School District #882
Wright County
Hospital District
Payable 83 Assessed Value
58,492,537
79,049,159
340,696,792
92,564,703
Required Mills
0177
0226
0347
00185
Annual
Increment
1,059
1,827
1,208
175
4,269
Tax
All assessed values exclude the amount of assessed valuati n already found in tax increment financing
districts in other municipalities in Wright County.
15
(As Modified Septembe 26, 1988)
The impact of the loss of tax dollars represented as tax i crements is estimated below for each taxing
jurisdiction. This estimate is based on the existing redev lopment proposals and does not include the
possible tax increments derived from other future developm nts, mill changes, or inflation factors.
Tax Increment Finance District 1/2/88 Total
To al Assessed Value
$8 ,022
LATEST ASSESSED VALUE OF EAC GOVERNMENT BODY:
Wright County
School District #882
City of Monticello
Other
$407,743,709
$140,784,433
$114,339,670
$190,334,664
% of District
to Total
.021
.061
.076
.045
Considering all the districts, it can be seen from the above hat the school, city, and county districts will
have over 99% of each respective district available for no al growth of tax base or valuation. Applying
the percentage of the total mill rate in 1988 levied by eac taxing jurisdiction to the proj ected mill rate
and the estimated tax increment received reveals the annual loss of tax dollars by each taxing jurisdiction
as listed in the table below assuming development would oc ur without public assistance.
The modified finance plan indicates we anticipate a tax incr ment at build out as follows:
Estimated Tax Increment
Received
$36,084
Captured Assess d Valuation
Tax Increment Finance District
$369,1 8
Based on the current mill rate, the estimated taxes received ould be as follows for the taxing bodies:
City
Wright County
School District #882
Hospital District
Total
Mills
15.932
22.728
55.069
4.147
97.876
Percent
16.28
23.22
56.26
4.24
100.00
Tax Increment
5,874
8,379
20,301
1,530
36,084
The following table represents the additional mills that wou d have to be levied to compensate for the loss
of tax dollars in estimated tax increments for each taxing jurisdiction. The tax increments derived from
the total Redevelopment District #2 improvements alluded to in the tax increment district would not be
available to any of the taxing jurisdictions were it not for ublic intervention by the City. Although the
increases in assessed value due to development will not be available for the application of the mill levy
for the duration of the tax increment fmancing district, this ew assessed value could eventually permit a
mill levy decrease. If it could be assumed that the captured assessed value was available for each taxing
jurisdiction, the non~receipt of tax dollars represented s tax increments may be determined. This
determination is facilitated by estimating how much th mill levy for property outside of the tax
increment financing district would have to be increased to raise the same amount of tax dollars in each
taxing jurisdiction that would be available ifthe projects oc urred without the assistance of the City.
16
Wright County
School District #882
City of Monticello
Hospital District
Ad'usted* Assesse Value
$407,656,68
$140,687,41
$114,252,64
$190,247,64
Required Mills
.02
.14
.05
.00
Tax Increment
8,379
20,301
5,874
1,530
* Tax Increment District assessed valuation subtracted
The City or BRA does not propose to add any and to District No. 1-2 nor does it anticipate
additional development at this time which will r ult in additional tax capacity being captured
within District No. 1-2. Since no new land is be. g added to District No. 1-2 and there is no
additional development expected at this time which will result in additional captured tax capacity,
the City and HRA do not believe this modification ill have any fiscal impact on any other taxing
jurisdictions The following table shows the compa son of captured tax capacity from the original
plan estimate as stated above to the captured tax ca acity for taxes payable 2006.
1m act on T x Base
2005/2006 Total Net Captured Tax
Tax Ca aci Ca aci CTC
106178099 39415
20 630 250 39 415
13 228,292 39 415
Percent of CTC to
Enti Total
.0372%
.1911 %
.2980%
1m act on Ta
2005/2006
Extension Rates
0.325670
0.243720
0.510280
0.023300
1.102970
Rates
Pe cent of Total
29.53%
22.10%
46.26%
2.11%
100.00%
(CTC
39415
39,415
39 415
39,415
Potential
Taxes
12 836
9,606
20 113
918
43 473
O. MODIFICA nON TO TAX INCREMENT PLA
(As Originally A opted)
In accordance with Section 273.74, Subdivision 4 of th Tax Increment Financing Act, the geographic
area of the project or tax increment financing district, incr ase in the amount of bonded indebtedness to be
incurred, induding a determination to capitalize interest n debt if that determination was not part of the
original plan, or to increase or decrease the amount of i terest on the debt to be capitalized , increase in
the portion of the captured assessed value to be retain d by the City, increase in total estimated tax
increment expenditures or designation of additional pro erty to be acquired by the authority shall be
approved upon the notice and after the discussion, public eating and findings required for approval upon
the notice and after the discussion, public hearing and fin ings required for approval of the original plan.
The geographic area of the Monticello Tax Increment Fin ncing District #2 may be reduced, but shall not
be enlarged after five years following the date of certific tion of original assessed value by the office of
the County Auditor. The Monticello Tax Increment Finane 'ng District #2 may therefore be expanded until
1988.
17
P. L/MITA TION ON ADMINISTRA TIVE E. PENSES
(As Origi lly Adopted)
In accordance with M.S. 273.73, Subd. 13 and 27 .75, Subd. 3, the administrative expenses means all
expenditures of an authority other than amounts paid for the purchase of land or amounts paid to
contractors or others providing materials and servi es, including architectural and engineering services,
directly connected with the physical development f the real property in the district, relocation benefits
paid to or services provided for persons residing 0 businesses located in the district or amounts used to
pay interest on, fund a reserve for, or sell at discount bonds issued pursuant to M.S. 237.77.
Administrative expenses include amounts paid for ervices provided by bond council, fiscal consultants
and planning, economic, or legal consultants. No t x increment shall be used to pay any administrative
expenses for a project which exceeds 10% of the t tal tax increment expenditures authorized by the tax
increment financing plan or the total tax increment e penditures for the project, whichever is less.
Q. L/MITA TION ON DURA TION OF TAX I CREMENT FINANCING DISTRICTS
(As Origina ly Adopted)
Pursuant to M.S. 273.75, Subd. 1, "No tax increme t shall be paid to an authority three years from the
date of certification by the County Auditor unless w thin the three year period (l)bonds have been issued
pursuant to Section 273.77 or in aid of a project p uant to any other law, except revenue bonds issued
pursuant to Chapter 474, prior to the effective date f the act: or (2) the authority has acquired property
within the district: (3) the authority has constructe or caused to be constructed public improvements
within the district ..." The City of Monticello must th refore acquire the property so stipulated in this plan
by October 1, 1986, or the office of the County Audit r may dissolve the tax increment district.
R. L/MITA TlON ON QUAL/FICA TlON OF P OPERTY IN TAX INCREMENT DISTRICT
NOT SUBJECT TO IMPROVEMENT
Subd. 6. Limitation on increment.
(As Original y Adopted)
If, after four years from the date of certification 0 the original assessed value of the tax increment
financing district pursuant to Section 273.76, no de olition, rehabilitation or renovation of property or
other site preparation, including improvement of a str et adjacent to a parcel but not installation of utility
service including sewer or water systems, has been co enced on a parcel located within a tax increment
financing district by the authority or by the owner f the parcel in accordance with the tax increment
financing plan, no additional tax increment may be t en from that parcel, and the original assessed value
of that parcel shall be excluded from the original asse sed value of the tax increment financing district. If
the authority of the owner of the parcel subsequently ommences demolition, rehabilitation or renovation
or other site preparation on that parcel including i provement of a street adjacent to that parcel, in
accordance with the tax increment financing plan, the authority shall certify to the county auditor that the
activity has commenced, and the county auditor shall certifY the assessed value thereof as most recently
certified by the commissioner of revenue and add it 0 the original assessed value of the tax increment
financing district. For purposes of this subdivision "p eel" means a tract or plat of land established prior
to the certification of the district as a single unit for poses of assessment.
18
S. L1MITA TION ON THE USE OF TAX INCREM NT
All revenue derived from tax increment shall be used in acc rdance with the tax increment financing plan.
The revenue shall be used to finance or otherwise pa the capital and administrative cost of a
development district pursuant to t1.S. 472A. These revenue shall not be used to circumvent existing levy
limit law. No revenue derived from tax increment shall b used for the construction or renovation of a
municipally owned building used primarily and regularly fo conducting. the business of the municipality;
this provision shall not prohibit the use of revenue derive from tax increments for the construction or
renovation of a parking structure, a commons area used s a public park or a facility used for social,
recreational, or conference purposes and not primarily for c nducting the business of the municipality.
T. NOTIFICA TION OF PRIOR PLANNED IMPROVEMENTS
(As Originally Ado ted)
Pursuant to M.S. 273.76, Subd. 4, the City has reviewed a d searched the property to be included in the
tax increment economic development district and found th t no building permit has been issued during
the 18 months immediately preceding approval of the tax i crement financing plan by the County. If the
building permit had been issued within the 18 month pe od preceding approval of the tax increment
financing plan by the City, the County Auditor shall increa e the original assessed value of the district by
the assessed valuation of the improvements for which th building permit was issued, excluding the
assessed valuation of improvements for which a building ermit was issued during the 3 month period
immediately preceding said approval ofthe tax increment fi ancing plan, as certified by the assessor.
U. EXCESS TAX INCREMENTS
Pursuant to M.S. 273.75, Subd. 2 of the Tax Increment inancing Act, in any year in which the tax
increment exceeds the amount necessary to pay the costs a thorized by the tax increment plan, including
the amount necessary to cancel any tax levy as provided i M.S. 475.61, Subd. 3, the City shall use the
excess amount in order selected by the Authority to:
1. Prepay outstanding Bonds;
2. Discharge the pledge oftax increment, D
3. Pay into an escrow account dedicated to e payment of such Bond;
4. Repay any loans including interest on th se loans; or
5. Return the excess amount to the County for pro rata distribution to the affected taxing
jurisdictions.
(As Modified June 1 , 2006)
Excess increments, as defined in MS., Section 469.176, S bd. 2, shall be used only to do one or more
of the following:
1. Prepay any outstanding bonds;
2. Discharge the pledge of tax increment for any ou standing bonds;
3. Pay into an escrow account dedicated to the pay ent of any outstanding bonds; or
19
4. Return the excess to the County Auditor or redistribution to the respective taxing
jurisdictions in proportion to their local tax ates.
The City or HRA must spend or return the ex ess increments under paragraph (c) within nine
months after the end of the year. In addition, the City may, subject to the limitations set forth
herein, choose to modify the Plan in order to fina ce additional public costs in the District
\I. REQUIREMENT FOR AGREEMENTS 7TH THE DEVELOPER
(As Origina ly Adopted)
Pursuant to Minnesota Statutes, Section 273.75, Su division 5, no more than twenty-five percent (25%)
by acreage of the property (25%) to be acquired b the authority in the redevelopment district shall be
owned by the Authority as a result of acquisition w th the proceeds of bonds issued pursuant to Section
273.77 without the Authority having prior to acqui ition in excess of twenty-five percent (25%) of the
acreage, concluded an agreement for the develop ent of the property acquired and which provides
recourse for the Authority.
W. ASSESSMENT AGREEMENTS
(As Original y Adopted)
Pursuant to M.S. 273.76, Subd. 8, the City may, upo entering into a development agreement, enter into
an agreement in recordable fonn with the developer 0 property within the tax increment financing district
which establishes a minimum market value of the la d and completed improvements for the duration of
the tax increment Redevelopment District. The asse sment agreement shall be presented to the County
Assessor who shall review the plans and specificat ons for the improvements constructed, review the
market value previously assigned to the land upon w . ch the improvements are to be constructed, and so
long as the minimum market value contained in the a sessment agreement appears in the judgment of the
assessor to be a reasonable estimate, the assessor may certify the minimum market value agreement.
X. ADMI/NISTRA TlON AND MAINTENANC OF THE TAX INCREMENT ACCOUNT
Administration of the tax increment financing econo . c development district will be handled by the City
of Monticello Housing and Redevelopment Authorit and the office of the City Administrator. The tax
increment received as a result of increases in the assessed value of the tax increment economic
development district will be maintained in a special Ccount separate from all other municipal accounts
and expended only upon sanctioned municipal activiti identified in the finance plan as amended.
y. ANNUAL DISCLOSURE REQUIREMENT.
(As Originally Adopted)
Pursuant to M.S. 273.74, Subd. 5, an authority must fi e an annual disclosure report for all tax increment
financing districts. The report shall be filed with the school board, county board, and the Minnesota
Department of Energy, Planning and Development. Th report shall include the following infonnation:
20
1. The amount and source of revenue in he account;
2. The amount and purposes of expendi es from the account;
3. The amount of any pledge of rev nues, including principal and interest on any
outstanding indebtedness;
4. The original assessed value of the dist 'cts;
5. The captured assessed value retained y the authority;
6. The captured assessed value shared w th other taxing districts;
7. The tax increment received.
The annual disclosure report is designed to be a two-wa medium of information dissemination for both
the office of the County Auditor and the City Council. hould the auditor request additional information
from the City regarding the tax increment financing acti ities, such information should be requested prior
to submission of the annual disclosure report by the C"ty. Similarly, the City Council may utilize the
annual disclosure report as a means for requesting info ation from the office of the County Auditor.
Additionally, the authority must annually publish a state ent in a newspaper of general circulation in the
municipality showing the tax increment received and ex ended in that year, the original assessed value,
the captured assessed value, amount of outstanding in ebtedness, and any additional information the
authority may deem necessary.
(As Modified Jun
Pursuant to M.S., Section 469.175, Suhd. 5, 6, and 6b he HRA must undertake financial reporting
for all tax increment financing districts to the Office of the State Auditor, County Board, County
Auditor and School Board on or before August 1 of e ch year. M.S., Section 469.175, Subd. 5 also
provides that an annual statement shall be published in a newspaper of general circulation in the
City on or before August 15.
If the City fails to make a disclosure or submit a re ort containing the information required by
M.S., Section 469.175 Subd. 5 and Suhd. 6, the OSA w II direct the County Auditor to withhold the
distribution of tax increment from the District.
Z. ASSUMPTIONS
(As Originally A opted)
It was necessary in the preparation of this plan to make cain assumptions regarding income, costs, and
timing ofthe economic development district. These assum tions are listed below:
1. INCOME
a. Original Market and Assessed Valuation of Ta Increment District #2 (provided by office of
County Assessor).
Market Value 230,300
Assessed Value 77,481
b. New Market and Assessed Valuation of Tax In rement District #2 (provided by office of City
Assessor).
Market Value
Assessed Value
Less OA V
Total CA V
Mill Rate
333,364
127,961
77,481
50,480
x.084566
21
Annual Tax Increment 4,269
(As Modified S tember 26, 1988)
It was necessary in the preparation of this plan to m e certain assumptions regarding income, costs, and
timing of the redevelopment district. These assumpti ns are listed below:
1. Income
a. Original Market and Assessed Valuation of Tax Increment District #2 (provided by office of
County Assessor).
Market Value (1988) $1,464 600
Assessed Value (1988) $346474
b. New Market and Assessed Valuation of ax Increment District #2 (provided by office of the
City and County Assessor).
Market Value
Assessed Value
Less OA V
Total CA V
Less Credits
1988 Mill Rate
Annual Tax Increment $
$1,9 7,247.00*
$ 4 6,160.00
$ 87,022.00**
$ 369,138.00
$ 456.13
097876
3 ,084.81
Redevelopment District #22 Annual Debt Service
Metcalf and Larson Securities
1989 Bond Issuance
Total Annual Debt Service
$ 4,285.00
$30.193.80
$34,478.80
* Market Value decrease for subsidized apartment units from $27,500 to $24,500.
.. 28,215 sq ft considered vacant land at time of] nd conveyance from HRA to developer. (after
demolition)
(As Modified Ju e 13, 2006)
The City of Monticello is modifying Distriet No. 1-2 t provide for development and redevelopment
to OCcur in the City. The modification to Tax Incre ent Financing Plan for District No. 1-2 was
prepared by Ehlers & Associates, Inc., 3060 Centre ointe Drive, RosevilIe, Minnesota 55113-1105,
telephone (651) 697-8500.
22
.
As of June 5, 2006
TAX INCREMENT FIN NCING PLAN
for the modifica ion of
TAX INCREMENT FINANCIN DISTRICT NO. 1-24
(a qualified housin district)
within
CENTRAL MONTICELLO REDEVE OPMENT PROJECT NO.1
MONTICELLO HOUSING AND REDE ELOPMENT AUTHORITY
CITY OF MONTI ELLO
WRIGHT CO TY
STATEOFMINN SOTA
Public Hearing: August 4, 1998
Adopted: August 4, 1998
Modification #1 Public Hearin : June 12,2006
Modification #1 Ad pted:
Prepared by:
EHLERS & ASSOCIA ES, INe.
3060 Centre Pointe rive
Roseville, Minnesota 55113-1105
Phone: (651) 697. 500
Fax: (651) 697-8 55
E-mail: info@eh1ers-ic.com
Web Site: www.eh1ersinc.com
TABLE 0 CONTENTS
(for referenc purposes only)
SECTION I - MODIFICATION TO THE REDEV LOPMENT PLAN
FOR CENTRAL MONTICELLO REDEVELOPM NT PROJECT NO. I ,..................... I _ I
Foreword .................................,..,.................,..............,... I-I
SECTION II . TAX INCREMENT FINANCING P AN FOR
TAX INCREMENT FINANCING DISTRICT NO. -24..........,......,.......,.......... 2.1
Subsection 2. 1. Foreword . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1
Subsection 2.2.Statutory Authority . . . . . . . . . . , , . . . , . . . . . . . . . , . . . , . . . . . . . , . . . . . . . . , . . . , . . 2-1
Subsection 2-3.Statement of Objectives ..............................................,..2.1
Subsection 2A.Redevelopment Plan Overview, . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . 2-1
Subsection 2-5.Legal Description of Property in Tax Increment Financing District No. 1-24 .... . . . . 2.2
Subsection 2-6.Classification of Tax Increment Fin cing District No, 1-24 . , . . . . . . . . . , , , . . . . . . , 2.2
Subsection 2-7.0riginal Tax Capacity and Tax Rate ..........'............................2.3
Subsection 2.8.Estimated Captured Net Tax Capaci Value/Increment ....,...,..........,..,. 2-3
Subsection 2-9.Property To Be Acquired .,...... ........'...................,..........2.4
Subsection 2-1O.Uses of Funds .............................,............ ... . . . . . . . . . . . . 2-4
Subsection 2-11.Sources of Revenue/Bonded Indebt dness .............,..............,..... 2-5
Subsection 2-12.Definition of Tax Increment Revenu s . . . . , . . . . . . , . . . . . . . . . . , . . . . . . . . . . . . . . 2-6
Subsection 2.B.Duration of Tax Increment Financin District No. 1-24 . . . . , . , . . . . . . . . , . . . . . . . . 2-6
Subsection 2-14.Estimated Impact on Other Taxing J risdictions ............................. 2.7
Subsection 2-15.Modifications to Tax Increment Fin cing District No. 1-24 . . . . , . . . . . . . . . . , . . . , 2-8
Subsection 2-16.Administrative Expenses. . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . 2-9
Subsection2-17.Limitationoflncrement ..............................................,.2-9
Subsection 2-18.Use of Tax Increment .............................,.,.,............,..2-10
Subsection 2-19.Notification of Prior Planned Impro ments .............................,. 2-11
Subsection 2-20.Excess Tax Increments ,......... ....................,................ 2-11
Subsection 2-21.Requirements for Agreements with t e Developer . . . . . . . . . . . . . . . . . , . . . . . . . . . 2-11
Subsection 2-22.Assessment Agreements ......... .........,...........................2-12
Subsection 2.23.Administration of Tax Increment Fin ncing District No, 1-24 . . . . . . , . . . . . . . . . . . 2-12
Subsection 2-24.Financia1 Reporting Requirements . ..................................... 2.12
Subsection 2-25.Municipal Approval and Public Purp se ..............,...................2-14
Subsection 2-26.0ther Limitations on the Use of Tax ncrement .................,........... 2-15
Subsection 2-27.Income Requirements .,...,........................................... 2-15
Subsection 2-28.County Road Costs. . . . . . . . , . . . . . . . . . . . , . . . . . . . . . . . , . . . . . . . , . . . . . . . . . . 2-15
Subsection 2.29.Economic Development and Job Cre ion ..........,...................... 2-15
Subsection 2-30.Summary . . . . . . . . . . . . . . . . . , . , . . . . . . , . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . 2-16
APPENDIX A
BOUNDARY MAPS OF CENTRAL MONTICELLO DEVELOPMENT PROJECT NO. I AND
TAX INCREMENT FINANCING DISTRICT NO. 1. 4 .........,......................... A-I
APPENDIX B
LEGAL DESCRIPTION OF PROPERTY TO BE INC UDED IN
TAX INCREMENT FINANCING DISTRICT NO. 1.2 .....,.......,.,......,............ B-1
APPENDIX C
ESTIMATED CASH FLOW FOR TAX INCREMENT FINANCING DISTRICT NO. 1-24 . . . . . '. C-l
SECTION I- MODIFICA TION TO THE EDEVELOPMENT PLAN
FOR CENTRAL MONTICELLO REDEVE OPMENT PROJECT NO.1
Foreword
The following text represents a Modification to the R development Plan for Central Monticello
Redevelopment Project No.1. This modification represents a continuation of the goals and objectives set
forth in the Redevelopment Plan for Central Monticello R development Project No.1. Generally, the
substantive changes include the modification of Tax Increm nt Financing District 1-24.
For further information, a review ofthe Redevelopment Plan or Central Monticello Redevelopment Project
No. 1 is recommended. It is available from the City Adminis ator at the City of Monticello. Other relevant
information is contained in the Tax Increment Financing PI ns for the Tax Increment Financing Districts
located within Central Monticello Redevelopment Project N . 1.
Monticello HRA
Modification to the Redevelopment Plan for Central Monti ello Redevelopment Project No. I
20-1
SECTION 11- TAX INCREMENT lNANCING PLAN FOR
TAX INCREMENT FINANCIN DISTRICT NO. 1-24
d Redevelopment Authority (the "HRA"), staff
o expedite the establishment of Tax Increment
housing tax increment financing district, located
Subsection 2-1. Foreword
The City of Monticello ("City"), the Monticello Housing
and consultants have prepared the following information
Financing District No. 1-24 ("District No. 1-24"), a qualifie
in Central Monticello Redevelopment Project No.1.
Subsection 2-2. Statutorv Authority
Within the City, there exist areas where public involv ment is necessary to cause development or
redevelopment to occur. To this end, the City and HRA hav certain statutory powers pursuant to Minnesota
Statutes ("MS. '~. Sections 469.001 through 469.047, incl sive, as amended, and MS" Sections 469.174
through 469.179, inclusive, as amended (the "Tax Increm nt Financing Act" or "TIF Act"), to assist in
financing public costs related to this project.
This Section contains the Tax Increment Financing Plan (th "Plan") for District No. 1-24. Other relevant
information is contained in the Modified Redevelopment PI for Central Monticello Redevelopment Project
No. 1.
Subsection 2-3. Statement of Obiectives
District No. 1-24 currently consists of a portion of one parcel fland and adjacent and internal rights-of-way.
District No. 1-24 is created to facilitate construction of 60 u it independent living senior housing building
in the City of Monticello. Concurrent with the constructi n of the independent living units will be the
construction of 60 units of assisted living units, which wil not be included in District No. 1-24. Both
facilities are to be owned by St. Benedict's Center. This pI is expected to achieve many of the objectives
outlined in the Modified Redevelopment Plan for Central M nticello Redevelopment Project No.1.
The activities contemplated in the present Modified Redevel pment Plan and the Tax Increment Financing
Plan do not preclude the undertaking of other qualified dev 10pment or redevelopment activities. These
activities are anticipated to occur over the life of District No. 1-24 and Central Monticello Redevelopment
Project No.1.
Subsection 2-4. RedeveloDment Plan Overview
1. Property to be Acquired - Selected property 10 ated within District No. 1-24
may be acquired by the City or HRA and is rther described in this Plan.
2. Relocation - Complete relocation services ar available pursuant to MS.,
Chapter 117 and other relevant state and fed allaws.
3. Upon approval ofa developer's plan relating t the project and completion
of the necessary legal requirements, the C ty or HRA may sell to a
developer selected properties that they may ac uire within District No. 1-24
or may lease land or facilities to a developer.
4. The City or HRA may perform or provide for some or all necessary
Monticello HRA
Modification to the Redevelopment Plan for Central Montice 0 Redevelopment Project No. I
21-1
acquisition, construction, relocation, demo ition, and required utilities and
public streets work within District No. 1-2 .
in Tax In rement Financin District No. 1-24
District No. 1-24 encompasses all property and adjacent ri hts-of-way identified by the legal description
found in appendix B. Please see the map in Appendix A f, further information on the location of District
No. 1-24.
Subsection 2-6. Classification of Tax Increment Financi District No. 1-24
The City and HRA, in determining the need to create a tax ncrement financing district in accordance with
MS., Sections 469.174 to 469.179, as amended, inclusive, nd that District No. 1-24, to be established, is a
qualified housing district pursuant to MS., Section 469.174. ubd. 11 and MS., Section 273.1399, Subd. 1 (c)
as defined below:
Minnesota Statutes, Section 469.174, Subdivision 11:
"Housing district" means a type of tax increment fin ncing district which consists of a project, or a
portion of a project, intended for occupancy, in pa t, by persons or families of low and moderate
income, as defined in chapter 462A, Title IIofth National Housing Act of 1934, the National
Housing Act of 1959, the United States Housing Act if 1937, as amended, Title V of the Housing Act
of 1949, as amended, any other similar present or turefederal, state, or municipal legislation, or
the regulations promulgated under any of those cts. A project does not qualifY under this
subdivision if the fair market value of the improvem ts which are constructed for commercial uses
or for uses other than low and moderate income hous 'ng consists of more than 20 percent of the total
fair market value of the planned improvements in e development plan or agreement. The fair
market value of the improvements may be determi ed using the cost of construction, capitalized
income, or other appropriate method of estimating arket value.
Minnesota Statutes, Section 273.1399, subd. l(c):
"Qualified Housing District" means a housing distri tfor a residential rental project or projects in
which the only properties receiving assistancefrom evenues derivedform tax incrementsfrom the
district meet all of the requirements for a low-income housing credit under section 42 of the Internal
Revenue Code of 1986, as amended through Decemb r 31, 1992, regardless of whether the project
actually receives a low-income housing credit.
In meeting the statutory criteria described above, the City and HRA rely on the following facts and findings:
District No. 1-24 consists of a portion of one parcel.
The development will consist of 60 units of senior h using.
The market value of non-assisted housing or commer ial property will be less than 20% of the total
fair market value of the planned improvements.
The development in District No. 1-24 will consist ent' e1y of housing facilities which meet aU of the
requirements for a low-income housing credit under se tion 42 of the Internal Revenue Code of 1986.
Generally, the requirements of Section 42 include ren restrictions and income restrictions, adjusted
for family size for at least 20% or 40% of the tenants For 1998, the restrictions are as foUows
Maximum Rent by Number of Bedrooms
Monticello HRA
Modification to the Redevelopment Plan for Central Montic llo Redevelopment Project No. I
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Percentalze of Units
20%
40%
2 Bedrooms
$683
$820
Maximum Income by Family Size
PercentalZe of Units
1 Person
2 People
3 Peoole
20%
$21,300
$25,560
$24,300
$29,160
$27,350
$32,820
40%
and Tax Rat
Pursuant to MS., Section 469.174, Subd. 7 and MS, See ion 469.177, Subd. 1, the Original Net Tax Capacity
(ONTC) as certified for District No. I -24 is based on the arket values placed on the property by the assessor
in 1998 for taxes payable 1999.
Pursuant toMS, Section 469.177, Subds. 1 and 2, the C unty Auditor shaH certify in each year (beginning
in the payment year 1999) the amount by which the orig nal value has increased or decreased as a result of:
1. change in tax exempt status of property
2. reduction or enlargement of the geogra hic boundaries of the district;
3. change due to adjustments, negotiated 0 court.ordered abatements;
4. change in the use of the property and cl ssification;
5. change in state law governing class rate; or
6. change in connection with previously is ued building permits.
In any year in which the current Net Tax Capacity value fDistrict No. 1-24 declines below the ONTC, no
value will be captured and no tax increment will be paya Ie to the City or HRA.
The original local tax rate for District No. 1-24 will be the ocal tax rate for taxes payable 1999. The Original
Tax Capacity and the Original Local Tax Rate for Distric No. 1-24 appear in the follOwing table.
$2,500 (Estimate only)
Original Tax Capacity Value
1.18645 (Estimate Only)
Percent etained by HRA
100%
Original Local Tax Rate
Subsection 2.S.Estimated Ca tured Net Tax Ca
alue/Increment
Pursuant to MS., Section 469.174 Subd. 4 and MS, Se tion 469.177, Subd. 1, 2, and 4, the estimated
Captured Net Tax Capacity (CTC) of District No. 1-24, thin Central Monticello Redevelopment Project
No.1, upon completion of the project, will annually appr ximate tax increment revenues as shown in the
table below. The City and HRA request 100 percent of the available increase in tax capacity for repayment
Monticello HRA
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of its obligations and current expenditures, beginning in the t x year payable 2001. The project tax capacity
listed is an estimate of values when the project is completed.
Project Estimated Tax Capacuy'-
upon Completion of Project (PTC
Original Estimated Net Tax Capac ity (ONTC)
Estimated Captured Tax Capacity (CTC)
Estimated Annual Tax Increment
(CTC x Local Tax Rate)
47,500
2.500
45,000
$53,390
Subsection 2-9. Property To Be Acauired
The City or HRA may acquire any parcel within District No. I 24 including interior and adjacent street rights
of way.
As Modified June 1 2006
The City or HRA may acquire any parcel within the Dis rict, including interior and adjacent street
rights of way. Properties will be acquired by the City or IRA in order to accomplish one or more of
the following: storm sewer improvements, provide land fOJ needed public streets, utilities and facilities,
transfer to private developers in order to accomplish the uses and objectives set forth in this TIF Plan.
The City or HRA may acquire property by gift, dedicat on, condemnation or direct purchase from
willing sellers in order to achieve the objectives in this TIl Plan. Such acquisitions will be undertaken
only when there is assurance of funding to finance the acq uisition and related costs. The City or HRA
may also reimburse the developers for costs ofland acquis tion in lieu of direct acquisition by the HRA
or City.
Subsection 2-10. Uses of Funds
Currently under consideration for District No. 1.24 is a prop )sal to facilitate construction of 60 unit senior
housing building. The City and HRA has determined that it will be necessary to provide assistance to the
project for certain costs. The HRA has studied the feasibi ity of the development or redevelopment of
property in and around District No. 1-24. To facilitate the est blishment and development or redevelopment
of District No. 1-24, this Plan authorizes the use of tax incr ment financing to pay for the cost of certain
eligible expenses. The estimate of public costs and uses offunds associated with District No. 1-24 is outlined
in the following table.
Uses of Funds
Total
Land Acquisition
Site Improvements
Utilities
Interest
Administrative Costs (up to 10%)
$140,000
220,000
170,000
676,500
133,500
TOTAL
$1,340,000
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Modification to the Redevelopment Plan for Central Monti ello Redevelopment Project No. I
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Estimated costs associated with District No. 1-.4 are subject to change among categories without
modification of this plan. The cost of all activities to be considered for tax increment financing will not
exceed, without formal modification, the budget abo,- e pursuant to the applicable statutory requirements. The
HRA may expend funds outside of District No. 1 ~24 oundaries for housing developments that receive or are
eligible to receive low income tax credits under Sec ion 42 of the Internal Revenue Code.
As Modified June 13. 2006
USES OF FUNDS
LandlBuilding
Site Improvements
Loan Interest
Administration
Other Housing Improvements
PROJECT COST TOTAL
$ 140,000
220,000
615,000
75,000
890,000
$1,940,000
The above budget is organized according to the Of Ice of the State Auditor reporting forms. Pursuant
to MN Statute 469.175 Sub 1 (5), it is estimated that he cost ofimprovements, including administrative
expenses which will be paid or financed with tax iJ crements, will equal $1,940,000.
Subsection 2-11.
Sources of RevenuelBondec Indebtedness
Land acquisition, site improvement costs, public utilities costs and other costs outlined in the Uses of Funds
will be financed primarily through the annual collecti 10 of tax increments. The City or HRA reserves the
right to use other sources of revenue legally applicabl to the Modified Redevelopment Plan and the Plan,
including, but not limited to, special assessments, gent: al property taxes, state aid for road maintenance and
construction, proceeds from the sale ofland, other cont ributions from the developer and investment income,
to pay for the estimated public costs.
The City or HRA reserves the right to incur bonded indt: btedness or other indebtedness as a result of the Plan.
As presently proposed, the project will be financed by pay-as-you-go note. Additional indebtedness may
be required to finance other authorized activities. The t( tal principal amount of bonded indebtedness or other
indebtedness related to the use of tax increment financing will not exceed $880,000 without a modification
to the Plan pursuant to applicable statutory requiremen s.
This provision does not obligate the City or HRA to ill( ur debt. The City or HRA will issue bonds or incur
other debt only upon the determination that such action is in the best interest of the City. The City or HRA
may also finance the activities to be undertaken pursuant to the Plan through loans from funds of the City or
HRA.
The estimated sources of funds for District No. 1-24 ar contained in the following table
Monticello HRA
Modification to the Redevelopment Plan for Central Monticello Redevelopment Project No. I
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Sources of Funds
Total
Tax Increment
Interest
$1,335,000
5,000
TOTAL
$1.340.000
As Modified June 1 2006
SOURCES OF FUNDS
Tax Increment
$1,900,000
20,000
20,000
$1,940,000
Interest
Down payment/reimbursements/other
TOTAL
Subsection 2-12.
Definition of Tax Increment Revellues
Pursuant to MS., Section 469.174, Subd. 25, tax increment revenues derived from a tax increment financing
district include all of the following potential revenue source :
1. taxes paid by the captured net tax capacity, but excluding any excess taxes, as computed
under MS., Section 469.177;
2. the proceeds from the sale or lease of property, tangible or intangible, purchased by the
authority with tax increments;
3. repayments ofloans or other advances mad( by the authority with tax increments; and
4. interest or other investment earnings on or f om tax increments.
Subsection 2-13.
Duration of Tax Increment Finan inll District No. 1-24
Pursuant to MS., Section 469.175, Subd. 1, and Section 469. 76, Subd. 1, the duration of District No. 1-24
must be indicated within the Plan. Pursuant to MS., Section 469.176, Subd. 1 (b), the duration of District No.
1-24 will be 25 years from the date of receipt of the first incr ment by the HRA. The date of receipt by the
HRA of the first tax increment will be approximately 2001 Thus, it is estimated that District No. 1-24,
including any modifications of the Plan for subsequent phase or other changes, would terminate after 2025,
or when the Plan is satisfied. The City or HRA does reserve the right to decertify District No. 1-24 prior to
the legally required date.
As Modified June 1 2006
The date of the first tax increment received by the Cit of Monticello was July 2001. Thus it is
estimated that the Tax Increment Financing District, iI eluding any modifications of the Plan for
subsequent phases or other changes, would terminate af er 2026, or when the Plan is satisfied. The
City or HRA reserves the right to decertify the District prior to the legally required date.
Monticello HRA
Modification to the Redevelopment Plan for Central Monti ello Redevelopment Project No. I
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Subsection 2-14.
Estimated Imnact on Oth r Taxinl! Jurisdictions
The estimated impact on other taxing jurisdictions as urnes construction which would have occurred without
the creation of District No. 1-24. If the constructior: is a result of tax increment financing, the impact is $0
to other entities. Notwithstanding, the fact that the Iscal impact on the other taxing jurisdictions is $0 due
to the fact that the construction would not have oc urred without the assistance of the City or HRA, the
following estimated impact of District No. 1-24 wo Id be as follows if the "but for" test was not met:
IMPACT 0 \l" TAX BASE
Wright County
I.S.D. No. 882
City of Monticello
1997/1998
Total Net
Tax Capacitv
57,211,935
18,427,306
14,381,226
Estimated Captured
Tax Capacity (CTC)
Upon Proiect Completion
45,000
45,000
45,000
Percent of CTC
to Entitv Total
0.0787%
0.2442%
0.3129%
IMPACT 01' TAX RATES
1997/1998 Percent Potential
Extension Rates of Total CTC Taxes
Wright County 0.308320 25.99% 45,000 13,874
I.S.D. No. 882 0.584600 49.27% 45,000 26,307
City of Monticello 0.270010 22.76% 45,000 12,150
Other 0.023520 1.98% 45.000 1.058
Total 1.186450 100.00% 53,390
The estimates listed above display the captured tax capacity when all construction is completed. The tax rate
used for calculations is the 1997/Pay 1998 rate. The total net capacity for the entities listed above are based
on Pay 1998 figures. District No. 1-24 will be certified under the actual 1998/1999 rates, which were
unavailable at the time this Plan was prepared.
As Modified June 13 2006
The City or HRA does not propose to add any land to District No. 1-24 nor does it anticipate additional
development at this time which will result in additj onal tax capacity being captured within District No.
1-24. Since no new land is being added to Distri t No. 1-24 and there is no additional development
expected at this time which will result in additiol1 al captured tax capacity, the City and HRA do not
believe this modification will have any fiscal imp ct on any other taxing jurisdictions. The following
table shows the comparison of captured tax capa ity from the original plan estimate as stated above
to the captured tax capacity for taxes payable 20 6.
Monticello HRA
Modification to the Redevelopment Plan for Ce tral Monticello Redevelopment Project No. I
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Impact on Tax Ease
Wright County
I. S.D. No. 882
City of Monticello
2005/2006 Total Ne
Tax Capacity
106,178,0.9
20,630,2 0
13,228,2l 2
Captured Tax
Capacity (CTC)
43,652
43,652
43,652
Percent of CTC to
Entity Total
.0412%
.2116%
.3300%
Impact on Tax Rates
Total
2005/2006
Extension Rates Perc€ nt of Potential
To al (CTC) Taxes
0.325670 29.53% 43,652 $14,216
0.243720 22.10% 43,652 $10,639
0.510280 .:: 6.26% 43,652 $22,275
0.023300 2.11% 43,652 $1,017
1.102970 $48,147
Wright County
I.S.D. No. 882
City of Monticello
Other
Subsection 2-15.
Modifications to Tax Increment 1 inancim! District No. 1-24
In accordance with MS, Section 469.175, Subd. 4, any:
1. reduction or enlargement of the geographic area of Central Monticello Redevelopment
Project No.1 or District No. 1-24;
2. increase in amount of bonded indebtednes to be incurred, including a determination to
capitalize interest on debt if that determim tion was not a part of the original plan, or to
increase or decrease the amount of interest n the debt to be capitalized;
3. increase in the portion of the captured net ti x capacity to be retained by the City or HRA;
4. increase in total estimated tax increment ex enditures; or
5. designation of additional property to be ace ~ired by the City or HRA,
shall be approved upon the notice and after the discussion, p\ blic hearing and findings required for approval
of the original plan.
The geographic area of District No. 1-24 may be reduced, bu shall not be enlarged after five years following
the date of certification of the original net tax capacity by th county auditor. If a qualified housing district
is enlarged, the reasons and supporting facts for the determi ation that the addition to the district meets the
criteria of M.S, Section 469.179, Subd. 11 andM.S., Section" 73.1399, Subd. 1 (c) must be documented. The
requirements of this paragraph do not apply if (1) the onl) modification is elimination of parcel(s) from
Central Monticello Redevelopment Project No. I or District ~o. 1.24 and (2) (A) the current net tax capacity
of the parcel(s) eliminated from District No. 1-24 equals or ell.ceeds the net tax capacity of those parcel(s) in
District No. I-24's original net tax capacity or (B) the HItA agrees that, notwithstanding MS., Section
469.177, Subd. 1, the original net tax capacity will be reduc d by no more than the current net tax capacity
of the parcel(s) eliminated from District No. 1.24.
Monticello HRA
Modification to the Redevelopment Plan for Central Mon 'cello Redevelopment Project No, 1
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The City or HRA must notify the County Auditor of any modi lcation that reduces or enlarges the geographic
area of District No. 1-24 or Central Monticello Redevelo ment Project No. 1. Modifications to Tax
Increment Financing District No. 1-24 in the form of a budget odification or an expansion of the boundaries
will be recorded in the Plan.
Subsection 2-16.
Administrative Expenses
In accordance with MS, Section 469.174, Subd. 14, and
expenses means all expenditures of the City or HRA, other
.S., Section 469.176, Subd. 3, administrative
an:
1. amounts paid for the purchase of land or ounts paid to contractors or others providing
materials and services, including architectu 1 and engineering services, directly connected
with the physical development of the real p operty in the district;
2. relocation benefits paid to or services provid d for persons residing or businesses located in
the district; or
3. amounts used to pay interest on, fund a r serve for, or sell at a discount bonds issued
pursuant to MS., Section 469.178.
Administrative expenses also include amounts paid for servic s provided by bond counsel, fiscal consultants,
and planning or economic development consultants. Tax in ement may be used to pay any authorized and
documented administrative expenses for District No. 1-24 u to but not to exceed 10 percent of the total tax
increment expenditures authorized by the tax increment finan ing plan or the total tax increment expenditures
for Central Monticello Redevelopment Project No.1, which ver is less.
Pursuant to MS. Section 469.176, Subd. 4h, tax incremen s may be used to pay for the county's actual
administrative expenses incurred in connection with District o. 1-24. The county may require payment of
those expenses by February 15 of the year following the ye the expenses were incurred.
Pursuant to MS., Section 469. 177, Subd. 11, the county t easurer shall deduct an amount equal to 0.25
percent of any increment distributed to the City or HRA d the county treasurer shall pay the amount
deducted to the state treasurer for deposit in the state general nd to be appropriated to the State Auditor for
the cost of financial reporting of tax increment financing info ation and the cost of examining and auditing
authorities' use oftax increment financing.
Subsection 2-17.
Limitation of Increment
Pursuant toMS, Section 469.176, Subd. l(a), no tax increm nt shall be paid to the City or HRA for District
No. 1-24 after three (3) years from the date of certification of the Original Net Tax Capacity value of the
taxable property in District No. 1-24 by the County Auditor unless within the three (3) year period:
(a) bonds have been issued pursuant to MS, ection 469.178, or in aid of a
project pursuant to any other law, except re enue bonds issued pursuant to
MS., Sections 469.152 to 469.165, or
(b) the City or HRA has acquired property wit in District No. 1-24, or
(c) the City or HRA has constructed or cau ed to be constructed public
improvements within District No. 1-24.
The bonds must be issued, or the City or HRA must a quire property or construct or cause public
improvements to be constructed by approximately August, 001.
Monticello HRA
Modification to the Redevelopment Plan for Central Mon cello Redevelopment Project No. I
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The tax increment pledged to the payment of bonds and int rest thereon may be discharged and may be
terminated if sufficient funds have been irrevocably depos ted in the debt service fund or other escrow
account held in trust for all outstanding bonds to provide for the payment of the bonds at maturity or
redemption date.
Pursuant to MS., Section 469.176. Subd. 6:
if, after four years from the date of certification of t e original net tax capacity of the tax
increment financing district pursuant to M.S., Section 469.177, no demolition, rehabilitation
or renovation of property or other site preparation, including qualified improvement of a
street adjacent to a parcel but not installation of u 'lity service including sewer or water
systems, has been commenced on a parcel located w thin a tax increment financing district
by the authority or by the owner of the parcel in acco,., ance with the tax incrementfinancing
plan, no additional tax increment may be taken fro that parcel and the original net tax
capacity of that parcel shall be excluded from th original net tax capacity of the tax
increment financing district. If the authority or t e owner of the parcel subsequently
commences demolition, rehabilitation or renovation r other site preparation on that parcel
including qualified improvement of a street adjacen to that parcel, in accordance with the
tax incrementfinancing plan, the authority shall certi to the county auditor that the activity
has commenced and the county auditor shall certi the net tax capacity thereof as most
recently certified by the commissioner of revenue an add it to the original net tax capacity
of the tax incrementfinancing district. The county au itor must enforce the provisions of this
subdivision... For purposes of this subdivision, quali ed improvements of a street are limited
to (1) construction or opening of a new street, (2) re ocation of a street, and (3) substantial
reconstruction or rebuilding of an existing street.
The City or HRA or a property owner must improve pare Is within District No. 1-24 by approximately
August, 2002.
Subsection 2-18.
Use of Tax Increment
The City or HRA hereby determines that it will use 100 per ent of the captured net tax capacity of taxable
property located in District No. 1-24 for the following purp ses:
1. to pay the principal of and interest on bond used to finance a project;
2. to finance, or otherwise pay the capital and dministration costs of the Central Monticello
Redevelopment Project No.1 pursuant to t e M.S., Sections 469.124 to 469.134;
3. to pay for project costs as identified in the udget;
4. to finance, or otherwise pay for other purpo es as provided in MS., Section 469.176, Subd.
4;
5. to pay principal and interest on any loans, a vances or other payments made to the City or
HRA or for the benefit of Central Monticello edevelopment Project No. I by the developer;
6. to finance or otherwise pay premiums and 0 her costs for insurance, credit enhancement, or
other security guaranteeing the payment wh n due of principal and interest on tax increment
bonds or bonds issued pursuant to the Plan or pursuant to MS., Chapter 462C and M.S.,
Sections 469.152 through 469.165, or both; and
7. to accumulate or maintain a reserve securi g the payment when due of the principal and
interest on the tax increment bonds or bon s issued pursuant to M.S., Chapter 462C and
M.S., Sections 469.152 through 469.165, or both.
These revenues shall not be used to circumvent any levy 1 mitations applicable to the City nor for other
Monticello HRA
Modification to the Redevelopment Plan for Central Mon' cello Redevelopment Project No. 1
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purposes prohibited by M.S., Section 469.176, subd. . Revenues derived from tax increment from a housing
district must be used solely to finance the cost ofhou ing projects as defined in MS, Section 469.174. subd.
11, that also receives or meet the requirements for low income housing credits under Section 42 of the
Internal Revenue Code of 1986. The cost of public i provements directly related to the housing projects and
the allocated administrative expenses of the City or RA may be included in the cost of a housing project.
Subsection 2-19. Notification of Prior Planned m rovements
The City or HRA shall, after due and diligent search accompany its request for certification to the County
Auditor or its notice of District No. 1-24 enlargemen with a listing of all properties within District No. 1-24
or area of enlargement for which building permit have been issued during the eighteen (18) months
immediately preceding approval ofthe Plan by the m nicipality pursuant to MS, Section 469.175, Subd. 3.
The County Auditor shall increase the original value of District No. 1-24 by the value of improvements for
which a building permit was issued.
Pursuant to MS., Section 469.177, Subd. 4, the HRA as reviewed the area to be included in District No. 1-24
and found no parcels for which building permits ave been issued during the 18 months immediately
preceding approval of the Plan by the City and H
Subsection 2-20. Excess Tax Increments
Pursuant to M.S, Section 469.176, Subd. 2, in any year in which the tax increment exceeds the amount
necessary to pay the costs authorized by the Plan, in 1uding the amount necessary to cancel any tax levy as
provided in MS., Section 475.61, Subd. 3, the City or HRA shall use the excess amount to do any of the
following:
1. prepay any outstanding bonds;
2. discharge the pledge of tax increme t therefor;
3. pay into an escrow account dedicat d to the payment of such bonds; or
4. return the excess to the County Auditor for redistribution to the respective taxing
jurisdictions in proportion to their 1 ca1 tax rates.
As Modified June 13 2006
The City or HRA must spend or return exces increments under M.S. Section 469.176 Subd 2,
paragraph (c) within nine months after the end 0 the year.
In addition, the City or HRA may, subject to the r itations set forth herein, choose to modify the Plan in
order to finance additional public costs in District No. 1-24 or Central Monticello Redevelopment Project No.
1.
Subsection 2-21. Re uirements for A reement with the Develo er
The City or HRA will review any proposal for priv te development to determine its conformance with the
Redevelopment Plan and with applicable municip 1 ordinances and codes. To facilitate this effort, the
following documents may be requested for review nd approval: site plan, construction, mechanical, and
electrical system drawings, landscaping plan, gradin and storm drainage plan, signage system plan, and any
other drawings or narrative deemed necessary by t City or HRA to demonstrate the conformance of the
development with city plans and ordinances. The Ci or HRA may also use the Agreements to address other
issues related to the development.
Monticello HRA
Modification to the Redevelopment Plan for C ntral Monticello Redevelopment Project No. I
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Pursuant to MS., Section 469.176, Subd. 5, no more than 10 percent, by acreage, of the property to be
acquired in District No. 1-24 as set forth in the Plan shall at a y time be owned by the City or HRA as a result
of acquisition with the proceeds of bonds issued pursuant to .S., Section 469.178, to which tax increments
from property acquired is pledged, without the City or H having, prior to acquisition in excess of 10
percent of the acreage, concluded an agreement for the d velopment or redevelopment of the property
acquired and which provides recourse for the City or HRA s ould the development or redevelopment not be
completed.
Subsection 2-22. Assessment Al!reements
Pursuant to MS., Section 469.177, Subd. 8, the City or HRA ay enter into an agreement in recordable form
with the developer of property within District No. 1-24 which establishes a minimum market value ofthe land
and completed improvements for the duration of District o. 1-24. The assessment agreement shall be
presented to the assessor who shall review the plans and sp cifications for the improvements constructed,
review the market value previously assigned to the land upo which the improvements are to be constructed
and, so long as the minimum market value contained in the ssessment agreement appears, in the judgment
of the assessor, to be a reasonable estimate, the assessor ma certify the minimum market value agreement.
Subsection 2-23. Administration of Tax Increment Fi
Administration of District No. 1-24 will be handled by the Executive Director of the HRA of the City of
Monticello.
Subsection 2-24. Financial Reportinl! Reauirements
A. Filing with State Auditor, County Auditor, County Bo and School Board: Pursuant to M.S., Section
469.175, Subd. 5, the City or HRA must file an annual di closure report for all tax increment financing
districts, including District No. 1-24. The report shall be filed with the County Board, County Auditor,
School Board, and the State Auditor on or before July 1 (A gust 1 beginning for reports to be filed in 1999)
of each year. The report to be filed by the City or HRA sh 11 include the following information:
1. the amount and source of revenue in the t increment account;
2. the amount and purpose of expenditures fr m the account;
3. the amount of any pledge of revenues, incl ding principal and interest, on any outstanding
bond indebtedness;
4. the original net tax capacity of District No. 1-24;
5. the captured net tax capacity retained by e City or HRA;
6. the captured net tax capacity shared with 0 her taxing districts;
7. the tax increment received; and
8. any additional information necessary to d onstrate compliance with the tax increment
financing plan.
B. Newspaper Statement: MS., Section 469.175, Subd. 5 also provides that an annual statement shall be
published in a newspaper of general circulation in the City showing:
1. the tax increment received and expended i that year,
2. the original net tax capacity,
3. captured net tax capacity,
4. amount of outstanding bonded indebtedne s,
5. the amount of District No. I-24's increme t paid to other governmental bodies,
Monticello HRA
Modification to the Redevelopment Plan for Central Mo ticello Redevelopment Project No. I
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6. the amount paid for administrative osts,
7. the sum of increments paid, directly or indirectly, for activities and improvements located
outside of District No. 1-24, and
8. any additional information the City r HRA deems necessary.
1. provide for full disclosure of the so rces and uses of the public funds in District No. 1-24;
2. permit comparison and reconci1iati n with the City and HRA's accounts and financial
reports;
3. permit auditing of the funds expend on behalf of District No. 1-24 or that is funded in part
or whole through the use of a devel pment account funded with tax increments from other
tax increment districts or with pub1i money; and
4. be consistent with generally accept accounting principles.
C. State Auditor filing for District No. 1-24: Pursu t to MS., Section 469.175, Subd. 6, the City or HRA
must annually submit to the State Auditor, on or beti re July 1 (August 1 beginning for reports to be filed in
1999), a financial report which shall:
The financial report must also include the following:
1. the original net tax capacity ofDis ct No. 1-24;
2. the captured net tax capacity ofDist 'ct No. 1-24, including the amount of any captured net
tax capacity shared with other taxin districts;
3. the amount budgeted under the PI ,and the actual amount expended for, at least, the
following categories (for the reporti g period and for the duration of District No. 1-24):
a. acquisition of land and bui dings through condemnation or purchase;
b. site improvements or prep ation costs;
c. installation of public uti1iti s, parking facilities, streets, roads, sidewalks, or other
similar public improvemen s;
d. administrative costs, inclu ing the allocated cost of the city;
e. public park facilities, facili ies for social, recreational, or conference purposes, or
other similar public impro ements; and
4. the total costs of the property to th City or HRA and the price paid the developers (for
properties sold to developers);
5. the amount of increments rebated 0 paid to developers or property owners for privately
financed improvements or other qual' fying costs, other than those reported under clause (3),
that were issued on behalf ofprivat entities for facilities located in District No. 1-24.
D. State Auditor filing for all Tax Increment Financi g Districts: Pursuant to MS., Section 469.175, Subd.
6a, the City or HRA must also annually report to the tate Auditor before or on July 1 (August 1 beginning
for reports to be filed in 1999) of each year the folIo ing amounts for the entire City:
I. the total principal amount of nond feased bonds that are outstanding at the end of the
previous calendar year; and
2. the total annual amount of princip 1 and interest payments that are due for the current
calendar year on:
(i) general obligation tax increment mancing bonds and
(ii) other tax increment financing bo ds; and
for each tax increment financing district within the ity:
Monticello HRA
Modification to the Redevelopment Plan for C tral Monticello Redevelopment Project No. I
21-13
1. the type of tax increment financing distri t;
2. the date on which the district is required 0 be decertified;
3. the amount of any payments and th value of in-kind benefits, such as physical
improvements and the uses of building sp ce, that are financed with revenues derived from
increments and are provided to another overnmental unit (other than the municipality)
during the preceding calendar year;
4. the tax increment revenues for taxes pay ble in the current calendar year;
5. whether the tax increment financing pIa or other governing document permits increment
revenues to be expended outside of each istrict; and
6. any additional information that the State uditor may require.
Copies of this report must also be provided to the county d school district boards. If the City fails to make
a disclosure or submit a report containing the information equired by Section 469.175 sudb. 5, 6 and 6a, the
State Auditor will direct the County Auditor to hold the di tribution of tax increment from District No. 1-24.
Subsection 2-25.
royal and Public Prose
The reasons and facts supporting the findings for the ad ption of the Tax Increment Financing Plan for
District No. 1-24 as required pursuant to M.s., Section 46 .175, Subd. 3 are as follows:
1. Finding that District No. 1-24 is a qualified hou ing district as defined in M.s., Section 469.174,
Subd. II and M.S., Section 273.1399, Subd. 1 (c).
District No. 1-24 consists of a portion of one p el. The development will consist of 60 units of
senior rental housing. No portion of the prope y will be used for purposes other than low and
moderate income housing. The development in istrict No. 1-24 will consist entirely of housing
facilities which meet all of the rent and income Ii itations for a low-income housing credit under
section 42 of the Internal Revenue Code of 1986.
2. Finding that the proposed development, in the opi ion of the City Council, would not reasonably be
expected to occur solely through private investm nt within the reasonably foreseeable future and,
therefore, the use of tax increment financing is d emed necessary.
The City has determined that, in view of reduce revenues from a housing facility intended for
occupancy by low and moderate income persons, the development proposed in the Plan would not
be financially feasible without substantial public ssistance including tax increment financing. In
making this finding, the City has relied upon the developer's pro forma submitted to the City and
Authority, requirements of other state and local a sistance to the development, and analysis of the
need for tax increment assistance prepared by Eh ers and Associates and on file in City Hall.
3. Finding that the Tax Increment Financing Planfi r District No. 1-24 conforms to the general plan
for the development or redevelopment of the mun cipality as a whole.
The Plan was reviewed by the Planning Commissi n on August 4, 1998. The Planning Commission
found that the Plan conforms to the general devel pment plan of the City.
4. Finding that the Tax Increment Financing PI n for District No. 1-24 will afford maximum
opportunity, consistent with the sound needs 0 the City as a whole, for the development or
redevelopment of Central Monticello Redevelop ent Project No.1 by private enterprise.
Through the implementation ofthe Plan, the City r HRA will increase the tax base of the City, and
Monticello HRA
Modification to the Redevelopment Plan fOf Central M nticello Redevelopment Project No. 1
21-14
will increase the availability of safe and decent Ii -cycle housing in the City.
Additional findings are set forth in the Authorizing Resol tion of the City.
Subsection 2-26. Other Limitations on the Use of Ta Increment
I. General Limitations. All revenue derived from t increment shall be used in accordance with the
Plan. The revenues shall be used to finance, or 0 herwise pay the capital and administration costs
of the Central Monticello Redevelopment Project No. I pursuant to the MS., Sections 469.124 to
469.134;
These revenues shall not be used to circumvent e isting levy limit law. No revenues derived from
tax increment shall be used for the acquisition, co struction, renovation, operation or maintenance
of a building to be used primarily and regularly for onducting the business of a municipality, county,
school district, or any other local unit of govemm nt or the state or federal government.
2. Five Year Limitation on Commitment of Tax Incr ents. Tax increments derived from District No.
1-24 shall be deemed to have been expended withi the TIF District only if the five year rule set forth
in MS., Section 469.1763, Subd. 3, has been satis led; and beginning with the sixth year following
certification of District No. 1-24,80 percent of s 'd tax increments that remain after expenditures
permitted under said five year rule must be used 0 ly to pay previously committed expenditures or
credit enhanced bonds as more fully set forth in .S., Section 469.1763, Subd. 5.
Subsection 2-27. Income Requirements
The housing project must satisfy the applicable income limit tions and rent restrictions required in connection
with low income housing tax credits under Section 42 oft e Internal Revenue Code.
Subsection 2-28. County Road Costs
Pursuant to MS., Section 469.175, Subd. la, the county bo rd may require the City or HRA to pay for all or
part of the cost of county road improvements if the propo ed development to be assisted by tax increment
will, in the judgement of the county, substantially increase he use of county roads requiring construction of
road improvements or other road costs and if the road imp ovements are not scheduled within the next five
years under a capital improvement plan or other county pI n.
In the opinion of the City and HRA and consultants, the pro osed development outlined in this Plan will have
little or no impact upon county roads. If the county elects t use increments to improve county roads, it must
notify the City or HRA within thirty days of receipt ofthi Plan.
Subsection 2-29. Economic Develo ment and Job Cr ation
The City or HRA is not providing tax increment financing or the purpose of economic development or job
growth and therefore, the provisions of M.S., Section 116J. 91 , (which states that a business receiving state
or local government assistance for economic development r job growth purposes, including tax increment
financing, must create a net increase in jobs and meet wa e level goals in Minnesota within two years of
receiving assistance) are not applicable and the City and RA are not establishing wage and job goals in
connection with District No. 1-24.
Monticello HRA
Modification to the Redevelopment Plan for Central Mo ticello Redevelopment Project No.1
21-15
Subsection 2-30. Summary
The City of Monticello is establishing District No. 1-24 provide an impetus for safe and decent life-cycle
housing development in the City. The Tax Increment Fi ancing Plan for District No. 1-24 was prepared by
Ehlers & Associates, Inc., 3060 Centre Pointe Drive, Rose ille, Minnesota 55113-1105, telephone (651) 697-
8500.
Monticello HRA
Modification to the Redevelopment Plan for Centra Monticello Redevelopment Project No. I
21,16
BOUNDARY MAPS OF CENTRAL MONTICELLO DEVELOPMENT PROJECT NO.1 AND
TAX INCREMENT FINANCING ISTRlCT NO. 1-24
APPENDIX
A-I
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APPENDIX
LEGAL DESCRIPTION OF PR PERTY TO BE INCLUDED IN
TAX INCREMENT FIN CING DISTRICT NO. 1.24
Lot 4, Block 1, Ch ch of St. Henry.
B-1
THE 4.5 ACRE PARCEL IS A PORTION OF
PARCEL A:
That part of th. South.ast Quarter 0 the southwest Quarter of
Section 12, TownShip 121, Range 25, right County, Minnesota
descrIbed .a follows: Comnen~ing at the northweet corner of the
Nortbw8et Quarter of the Northeast arter of SectIon 13 of said
fownshlp 121, Range 25; thence on a88umed bearing of south 89
degree. 39 einutes 28 aeconds Eaet a ORg the north line of a.ld
Ho~thw.8t Quarter of the Northeaat arter, A distance of 172.24 feet
to a line parallel with and distant 0.00 feet southwest frea the
center llne of the Burlington North. n aa aeasured at a right anqle
from 8aid center line; thence South 52 degrees 37 minutes SO .econds
East along aald parallel l1ne, . die anee of 915.31 feet; thence
South 28 degreeS 45 .tnute. 01 .eeon 8 W.at, 8 distance of 868.39
feet to the northea8terly right of w y line of Interstate Hi9hway Ho.
g.; ~.nc. Harth 63 degree. 30 .1nu 88 18 seconds West along a.id
northeeBterly right of way lln., a 4 etance ot 1606.58 feet to a
point hereinafter referred to 88 Pol t A; thence con~lnue North 63
degrees 30 minutes 16 aeconds West a ong 8a14 northoa8terly right of
~ay line, a di8tance ot 1569.36 feet to a point of curve in 8ai4
northeasterly right of way line; t nee nor~westerly aloD9 ..14
northeasterly right of way line bein a tangential curve concave to
the southweat having a cadiua of 582 .58 ~.et and a central angle of
3 degrees 31 mlnutes 12 secon4', a d stance at 358.14 ~eet to the
west line of the Southwest Quarter 0 the southwest Quarter of sai4
Section 12; thence North 1 degr.. 2 .tnute. SO .econds Sest along
said vest line, a diatance of 136.83 feet to the north line of the
South 10.00 acres ot 8ald louthweat rter of the Southw.tt
Quarter; thence South 89 degree. 52 ~nutes 01 seconds Eaet along
sald north I1ne, a distance of 1300. 9 te.t to the east lin. of said ~
Southweat Quarter of the southwest arter; thence North 1 degree 24
minutes .0 ..conde East along .8id . at line, a distance of 109.87
feet to the south line of old Territ rial Road being the point of
b891nnlng of the land to be d.scribe; thence contil\ue North 1
degree 24 .tnut.. 40 secon4e Bast, . distance of 300.77 fe.t to ·
line parallel with .D~ distant SO.OO feet southwest of .. aeasured at
a right 8119'1. from ..1d canter line f the Burlington Northem
Railroad; thence Sou.th 13 degr.es 1 ..lnut.es 23 ..eond8 Eut along
..1d parall.l lin., a di.tance of 24 .36 feet; thence southe.sterly
along ..1d parallel 11ne being a tan ential curve concave to the
80uthweat havin9 a radius of 2215.00 feet and a central aDgle of 20
degrees 35 .lout.. 25 .econdl, a d18 &nce of 817.56 feet; thence
South 52 degree. 37 .IAutes 59 seco B East along ..id parallel l1ne,
a distance of 12.70 feet to the lnte ..ction of a line bearino North
28 devrees 45 .inutaa 01 .aeoneS. Bas fro. ..id point A; thuce
South 28 degr.e. .5 _laut.. 01 ..con a West., a distance of 29..43
feet to the inter.act1on of a 11ne b arlng South 67 de9r..s 59
.inut.. 51 second. last from the pol t of beginning; tl~nce Marth 67
deqreea 59 .inute. 51 second. W..t, distance of 903.28 reet to the
point of beginn1ug-
97351
TO BE PLATTED IN SEPTEMBER 1998 AND DES RIBED AS LOT 3. BLOCK 1. CHURCH OF ST. HENRY'S
APPENDI C
ESTIMATED CASH FLOW FOR TAX INCRE ENT FINANCING DISTRICT NO. 1-24
APPENDIX
C~1
07/21/98
Chy 01 Monticello: 60 Un" Senior Hous gin Olstricl No. 1.24
T.I.F. CASH FLOW ,SSUMPTIONS
Inflation Rate:
Pay-As-You-Go Interest Rate:
Tax Extension Rate - District 270-3:
BASE VALUE INFORMATION
Land
Value
See Legal Decsription in Exhibit B 100,000
o
o
Total Original Market Value 100 nnn
Class Rate: Multi-family Market Rate
Mufti-Family 4(d)
Original Tax Capacity (when certified):
Original Tax Capacity (when use Is changed):
PROJECT VALUE Ir FORMATION
Type of Tax Increment District:
0.0000%
6.500%
1.186450 Pay98
Building Total Pay 99 Tax
Value Value Cooaatv
0 100,000 2,500
0 0 0
0 0 0
0 100 000 2 -;;nn
2.5000% Pay 99
1.0000% Pay 99
2,500 Pay 99
2,500 Pay 98
Qualified Housing
Type Of Units MV Per otal Market Total Tax Year Year
Proiect Unit Value Caoaatv Started Payable
Rental 60 30,000 1,900,000 47,500 1999 2001
Total 60 1.900 000 47 500
Ass....,. no 4(d) Iris
SUMMAR LI'
Total Annual Taxes'
Total Annual Tax Increment After Admin.
Net Taxes Paid:
Total Annual Taxes Per Unit:
Total Annual Tax Increment Per Unit:
MC1~1
P~by
icoIp klc.
56,356
48,051
8,305
939
801
Page 1
Senl0r2.wk4
~
07/21/98 CIIy 01 Monucello: eo Un" Senior In Distr1ct No. 1.24 page 2
TAX INCREMENT C
Original Project semi-Annual Admin ml-Annual Years 01 PAYMENT DATEI
'00 BEGINNING Tu Tu Gross Tax at Net Tax Tax PERIOD ENDING
Mth. Yr. Ca aci CIl aci Increment 10.00% Increment Increment Yrs. Mth. Yr.
0.0 02.01 1999 2,500 2,500 0 0 0 0 0.0 0.5 0&-01 1999
0.5 08-01 1999 2,500 2,500 0 0 0 0 0.0 1.0 02-01 2000
1.0 02-01 2000 2,500 2,500 0 0 0 0 0.0 1.5 08-01 2000
1.5 08-01 2000 2,500 2,500 0 0 0 0 0.0 2.0 02-01 2001
2.0 02-01 2001 2,500 47,500 45,000 26,695 2,670 24,026 0.5 2.5 08.01 2001
2.5 08-01 2001 2,500 47,500 45,000 26,695 2,670 24,026 1.0 3.0 02.01 2002
3.0 02-01 2002 2,500 47,500 45,000 26,695 2,670 24,026 1.5 3.5 08-01 2002
3.5 08-01 2002 2,500 47,500 45,000 26,695 2,670 24,026 2.0 4.0 02-01 2003
4.0 02-01 2003 2,500 47,500 45,000 26,695 2,670 24,026 2.5 4.5 08.Q1 2003
4.5 08-Cl1 2003 2,500 47,500 45,000 26,695 2,670 24,026 3.0 5.0 02-01 20041
5.0 02-01 2004 2,500 47,500 45,000 26,695 2,670 24,026 3.5 5.5 08-01 =1
5.5 08.Q1 2004 2,500 47,500 45,000 26,695 2,670 24,026 4.0 6.0 02-01
6.0 02-01 2005 2,500 47,500 45,000 26,695 2,670 24,026 4.5 6.5 08-01 2005\
6.5 0a-01 2005 2,500 47,500 45,000 26,695 2,670 24,026 5.0 7.0 02.01 20061
7.0 02-01 2006 2,500 47,500 45,000 26,695 2,670 24,026 5.5 7.5 08.Q1 2006!
7.5 08-01 2006 2,500 47,500 45,000 26,695 2,670 24,026 6.0 8.0 02.01 2oo7!
8.0 02.01 2007 2,500 47,500 45,000 26,695 2,670 24,026 6.5 8.5 08.01 20071
8.5 08.Q1 2007 2,500 47,500 45,000 26,695 2,670 24,026 7.0 9.0 02.01 2008\
9.0 02.01 2008 2,500 47,500 45,000 26,695 2,670 24,026 7.5 9.5 08-01 2008
9.5 08-01 2008 2,500 47,500 45,000 26,695 2,670 24,026 8.0 10.0 02-01 2oo9!
10.0 02'()1 2009 2,500 47,500 45,000 26,695 2,670 24,026 8.5 10.5 08'()1 20091
10,5 08-Cl1 2009 2,500 47,500 45,000 26,695 2,670 24,026 9.0 11.0 02.01 20101
11.0 02'()1 2010 2,500 47,500 45,000 26,695 2,670 24,026 9.5 11.5 08.()1 2010
11.5 08-Cl1 2010 2,500 47,500 45,000 26,695 2,670 24,026 10.0 12.0 02.()1 2011
12.0 02.()1 2011 2,500 47,500 45,000 26,695 2,670 24,026 10.5 12.5 08-01 2011
12.5 08.Q1 2011 2,500 47,500 45,000 26,695 2,670 24,026 11.0 13.0 02.()1 2012
13.0 02-01 2012 2,500 47,500 45,000 26,695 2,670 24,026 11.5 13.5 08-01 2012
13.5 0B-Cl1 2012 2,500 47,500 45,000 26,695 2,670 24,026 12.0 14.0 02-01 2013
14.0 02-01 2013 2,500 47,500 45,000 26,695 2,670 24,026 12.5 14.5 08.()1 2013
- 'i 08.()1 2013 2,500 47,500 45,000 26,695 2,670 24,026 13.0 15.0 02.()1 2014
, 02-01 2014 2,500 47,500 45,000 26,695 2,670 24,026 13.5 15.5 08-01 2014
....5 0B-Cl1 2014 2,500 47,500 45,000 26,695 2,670 24,026 14.0 16.0 02.()1 2015
16.0 02-01 2015 2,500 47,500 45,000 26,695 2,67 24,026 14.5 16.5 08.01 2015
16.5 08-Cl1 2015 2,500 47,500 45,000 26,695 2,67 24,026 15.0 17.0 02.()1 2016
17.0 02-01 2016 2,500 47,500 45,000 26,695 2,67 24,026 15.5 17.5 08-01 2016
17.5 08-Cl1 2016 2,500 47,500 45,000 26,695 2,67 24,026 16.0 18.0 02-01 2017
18.0 02-01 2017 2,500 47,500 45,000 26,695 2,67 24,026 16.5 18.5 08-01 2017
18.5 0B-Cl1 2017 2,500 47,500 45,000 26,695 2,67 24,026 17.0 19.0 02-01 2018
19.0 02-01 2018 2,500 47,500 45,000 26,695 2,67 24,026 17.5 19.5 08-01 2018
19.5 0B-Cl1 2018 2,500 47,500 45,000 26,695 2,67 24,026 18.0 20.0 02.()1 2019
20.0 02-01 2019 2,500 47,500 45,000 26,695 2,67 24,026 18.5 20.5 08-01 2019
20.5 0B-Cl1 2019 2,500 47,500 45,000 26,695 2,67 24,026 19.0 21.0 02.01 2020
21.0 02-01 2020 2,500 47,500 45,000 26,695 2,67 24,026 19.5 21.5 08-01 2020
21.5 08-01 2020 2,500 47,500 45,000 26,695 2,67 24,026 20.0 22.0 02.()1 2021
22.0 02-01 2021 2,500 47,500 45,000 26,695 2,6 24,026 20.5 22.5 08.Q1 2021
22.5 08-01 2021 2,500 47,500 45,000 26,695 2,67 24,026 21.0 23.0 02-01 2022
23.0 02-01 2022 2,500 47,500 45,000 26,695 2,61 24,026 21.5 23.5 08-01 2022
23.5 08.Q1 2022 2,500 47,500 45,000 26,695 2,87 24,026 22.0 24.0 02-01 2023
24.0 02.Q1 2023 2,500 47,500 45,000 28,695 2,8 24,028 22.5 24.5 08-01 2023
24.5 08-01 2023 2,500 47,500 45,000 28,695 2,6 24,028 23.0 25.0 02.()1 2024
25.0 Q2-Cl1 2024 2,500 47,500 45,000 26,695 2,67 24,028 23.5 25.5 08-01 2024
25.5 08.Q1 2024 2,500 47,500 45,000 26,895 2,8 24,026 24.0 28.0 02-01 2025
26.0 02-01 2025 2,500 47,500 45,000 26,895 2, 24,028 24.5 28.5 08-01 2025
26.5 08-01 2025 2500 47 500 45 000 28 895 260 24 028 25.0 27.0 02-01 2026
Totals 1 334 756 133 4 6 1 201 281
Present Values 576 706 578 1 519035
$8nklI2.wk4
MC1CJO.01
PnlpaIed by
Inc.
Council Agenda: 6/12/06
8.
of Monticello Pro"ect No. 2006-
A. REFERENCE AND BACKGROUND:
Bids for the referenced project are being recei ed and opened on Thursday, June 8, 2006.
Results of the bid opening were not available t the time of preparation of this agenda
item, but the results will be emailed and mail d to you on Friday so that you have them
before the meeting.
The 2006 Street Reconstruction project inclu es the reconstruction of River Street
including improvements to the existing crossi g at Otter Creek, from Otter Creek Road to
the west property line of the Ritze property, t e realignment and reconstruction of Otter
Creek Road from CSAH 75 to River Street an Sandy Lane from Otter Creek Road to
CSAH 75. River Street and Otter Creek Roa will be reconstructed with concrete curb
and gutter to a width of30 feet while Sandy ane will be widened to 28 feet. A 6-foot-
wide concrete sidewalk is proposed for const ction from CSAH 75 northerly along the
east side of Otter Creek Road and the north si e of River Street pursuant to Council
direction.
The project also includes the reconstruction 0 Craig Lane, Kenneth Lane, Riverside
Circle and Oakview Lane. Each of these cul- e-sacs will receive spot curb repairs as
needed and pavement reconstruction to the ex sting street widths. The existing streets in
the area range in width from 22 to 24 feet wit ditches on the pavement edges for
drainage. Storm sewer will also be construct d to allow for the removal of the ditches
and collection of surface water within the stre t. Treatment of storm water runoff will be
provided by underground structures placed in two locations within the project area. The
use of these underground structures will fulfil the requirements for storm water treatment
without the construction of conventional sto water ponds.
The bid documents include five alternates for he project award. The first is a bid
alternate for the type of storm sewer pipe to b used in construction. These alternates
include reinforced concrete pipe versus corm ated polyethylene pipe. These alternates
are being bid to evaluate any cost savings ass ciated with different pipe material.
Each of the other alternates proposes a means of awarding the improvements for on-street
parking and drainage improvements for the p rk along Mississippi Drive and mill and
overlay work to patch underground work reCe tly completed by CenterPoint Energy.
Proposed costs for the mill and overlay work ould be completed under the contract and
the City would be reimbursed by CenterPoint nergy if awarded by the Council. The
improvements on Mississippi Drive were bid nee previously last fall. Bids were
rejected at the time and the project was not a arded due to the high bids received.
C:\Dal.'umerJt.~ Qnd Setti"gs\dQwn.gr{Js.~ lKf'!r\/..{){'.f1.{ Sett;ng.~\Tf.'tlfJ()ra", /lItf.f'I(-!f Iljlc.~\(JI-K3\A(}N rrM,1006St1'(!iJIRecQi/Pi'ojc:CIAIH./' 061 206clfx;
Council Agenda: 6/12/06
The reconstruction of Craig Lane and Kennet Lane was added to the project based on
surface conditions of the roadway witnessed earlier this spring. These streets were not
proposed for reconstruction and subsequent a sessment during the public hearing. The
reconstruction of these streets will allow for a sessment to those property owners on
those respective streets. As a result, a letter e plaining the change in the project and the
resulting assessments has been sent to residen s on Craig Lane and Kenneth Lane. A
copy of one of the letters and a list of resident contacted is included with this memo for
the Council's review. It is anticipated that se eral residents will be in attendance at the
meeting to address the Council.
B. ALTERNATIVE ACTIONS:
1. Award the project based on the Total ase Bid (Schedules A+B+C+D+E).
4. Award the project based on the Total id Alternate #3 (Bid Alternate #1 +
Schedules G+H).
2. Award the project based on the Total id Alternate #1 (Schedules A+B+C+D+F).
3. Award the project based on the Total id Alternate #2 (Base Bid +
Schedules G+H).
5. Award the project based on the Total Bid Alternate #4 (Bid Alternate #2 +
Schedule I).
6. Award the project based on the Total Bid Alternate #5 (Bid Alternate #3 +
Schedule I).
7. Do not award the project at this time.
C. ST AFF RECOMMENDATION:
To be provided at the meeting.
D. SUPPORTING DATA:
1. Letter to residents on Kenneth Lane d Craig Lane along with mailing list.
2. The Letter of Recornrnendation and id Tabulation will be available at the City
Council meeting.
C\/){)clJ.menfs IIfld Sel1;/Igsldall-,," ,.~.~;/Iger\LO('.a1 Settiflgs\Temporary Internet Fi/es\O~K3\A(7N ITM.]006StreeIRe.co"PmjectAwd.0t51 J06.duc
A
WSB
& Associates, Inc.
Infrastructure I Engineering I Planning I Construct on
701 Xenia Avenue South
Suite 300
Minneapolis, MN 55416
Tel: 763-54H800
Fax: 763-541-1700
June 7, 2006
Mr. Richard Kotzenmacher
10 1 Craig Lane
Monticello, MN 55362
Re: 2006 Street Reconstruction Program
City of Monticello Project No. 2006-01C
WSB Project No. 1494-16
Dear Mr. Kotzenmacher:
The City of Monticello will be receiving bids for the above~referenced project on June 8, 2006,
for the construction of the project. The bids will be resented to the City Council at the June 12,
2006 meeting at 7:00 p.m. for the potential award of the construction contract. The overall scope
of the project has changed since the public hearing f r the project held on January 9,2006. The
proposed changes to the project do affect the work p oposed to be completed on Craig Lane and
Kenneth Lane.
During the public hearing for the project, Craig Lan and Kenneth Lane were proposed to
receive a sealcoat application based on street rating ata from the Overall Street Reconstruction
Program Report dated February 9,2004. The pave ent condition included in that report
indicated that the existing surface was at a level that reconstruction was not required. The
proposed sealcoat improvements were included in t e 2006 Reconstruction Program as a result
of Council action and costs associated with sealcoat'ng were not to be assessed as they are not
eligible for assessment under the City's current asse sment policy.
A review of the street conditions on these two street earlier this spring has revealed significant
levels of pavement distress including severe edge cr eking, alligator cracking, and settlements in
the pavement surface that cannot be rectified throug the application of a sealcoat. Based on the
current conditions of Craig Lane and Kenneth Lane staff recommended to the City Council that
the design be changed to reconstruction of the existing bituminous surface, which is an
assessable cost to adjacent properties. It was decid d to bid the project with the recommended
reconstruction and address any concerns once the bids are received. The rate of assessment for
street reconstruction as presented at the January 9, 006 public hearing is $3,000 per lot to be
assessed over eight (8) years to be paid with annual property taxes.
Minneapolis IS. Cloud
Equal Opportunity Employer
JC;IJJI"9f'I(/I()MN.-rR.kC'"rI~,h-c:"';, fr,Jid.f11.J.{J6(J706-U",Ldot
Mr. Richard Kotzenmacher
June 7, 2006
Page 2
Since the revised plan will involve an assessment to y ur property, residents affected by this
change are welcome to attend the City Council meeti g on June 12, 2006 at 7:00 p.m. to address
the Council on this issue. We apologize for any inca venience this causes you. We want to
make sure that the proper pavement management app oach is used for the existing conditions. If
you have any questions regarding this action prior to he meeting, please feel free to contact Bret
Weiss or me at 763-541-4800.
Sincerely,
WSB & Associates, Inc.
Il ~. ~~
Kevin B. Kawlewski, P.E.
Senior Project Manager
cc: John Simola, City of Monticello
Rick Wolfs teller, City of Monticello
Bruce Westby, City of Monticello
Bret Weiss, WSB & Associates, Inc.
Jason Abell, WSB & Associates, Inc.
srb
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9. Consideration of Awardin the Extensio
CSAH 39 to the Hidden Forest and Nia
Proiect No. 200S-03C) (WSB)
A. REFERENCE AND BACKGROUND:
At the May 8, 2006 Council meeting, the C uncil authorized re-bidding the forcemain
and watermain extension along CSAH 39 t serve the Hidden Forest and Niagara Falls
developments. The original project, which as bid previously, consisted of two lift
stations and the storm sewer outlet pipe to s rve the developments in addition to
forcemain and watermain extension. Becau e the original bids were higher than
anticipated due to recent economic conditio s, the developer requested the ability to bid
the lift stations and the storm sewer outlet ith their private project for the development.
The developer has since bid these portions of the project and has chosen to assume those
project elements with their private project s ould they decide to move forward. The
developer has also obtained bids for the forc main and watermain extension along CSAH
39; however, the developer requested that th City re-bid this portion ofthe project to
determine ifmore competitive bids will resu t.
Bids were taken on June 2, 2006 and resulte in a slightly higher cost than what the
developer had bid privately with the develop ent. The cost difference between the bids
was approximately $4,000. The developer h s not made a final decision on whether they
would request the City to award the project 0 reject the bids and allow the developer to
include it as part ofthe development project. We plan to have a recommendation at the
City Council meeting on how to proceed. If he project is awarded, it would be
contingent upon finalization of development ontracts and securities for both the Hidden
Forest and Niagara Falls developments.
Weare in the process of scheduling a meetin with the township residents on the
forcemain placement prior to construction co mencmg.
B. ALTERNATIVE ACTIONS:
1. Reject bids and do not award the proje t.
2. Award the project to Yolk Sewer & W ter, Inc. for the amount of$584,746.14,
contingent upon finalization of develo ment contracts and securities for both the
Hidden Forest and Niagara Falls devel pments.
C. STAFF RECOMMENDATION:
A recommendation will be made at the Counci meeting.
D. SUPPORTING DATA:
Bid Tabulation
C:\IJ(lc.:u~ms anti Setting;sldaW-tf, .i.\'ltrgerlf.ocal.'it!/linlls\Temporary Iftt(~me1 File,v10lK31AGN JTAf-lIFNFAWrJt'dl~kc.:'_061 ;].f)6.di)("
PROJECT:
Hidden Forest/Niagara Falls Force Main
and Water Main Extension and Appurtenant Work
City of Monticello Project No. 2005-03C
LOCATION: City of Monticello, MN
WSB PROJECT NO.: 1627-00
BIDS OPENED: Friday, June 2,2006 at 10:00 a.m.
Bid Addendum Total
Contractor Bond (50 ) No.1 Rec'd. Base Bid
1 Volk Sewer & Water, Inc. X X $584,746.14
2 Barbarossa and Sons, Inc. X X $634,593.50
3 Dave Perkins Contracting, Inc. X X $646,104.85
4 Burschville Construction, Inc. X X $655,972.50
5 S. R. Weidema, Inc. X X $710,346.60
6 G. L. Contracting, Inc. X X $735,578.79
7 J. R. Ferche, Inc. X X $790,264.00
8 Three Rivers Construction X X $1,087,956.00
Engineer's Opinion of Cost $651,045.00
I hereby certify that this is a true and correct tabu I tion of the bids as received on June 2, 2006.
~.~ k.J~
Shibani K. Bisson, P.E , Project Manager
DENOTES CORRECTED FIGURE
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Council Agenda: 6/12/06
11. fter Creek Industrial Park land. (RW)
A. REFERENCE AND BACKGROUND:
With the potential relocation of the A VR co crete plant to the city-owned Otter Creek
fudustrial Park property, the City will need t acquire additional acreage from John Chadwick
and Jim Bowers, from which the City has a c ntract for deed. The purchase agreement and
contract terms allow the City to acquire addit onal acres above the 35 acres we originally
obtained by warranty deed by paying the equ valent of $25,265 per acre.
Although the site needed for the potential A V relocation is approximately 12 acres, the
location of this site in conjunction with other roperty we already own makes it more feasible
for the City to acquire at least 34 additional a res. With the extension of Dalton Avenue
(formerly known as School Boulevard) and w th the installation of a short segment of street and
cul-de-sac which is the westerly road segment adjacent to the A VR site, acquiring all of the
property that abuts these road improvements a pears to make sense in that it would allow the
City to have these additional acreages availabl for potential industrial users. In addition to
available industrial sites, there is a need to use material on a lot of the Otter Creek Industrial
Park property for grading that would also com from the additional land that we acquire.
While it may not be necessary to pay off the c ntract for deed to do grading on the entire Otter
Creek Industrial Park property, by outright ow ership, the City would eliminate the need to
obtain permission from the contract for deed hIders on these grading issues.
Enclosed with the agenda is a sketch plan of th Otter Creek Industrial Park that is labeled
identifying three areas of property that remain. It is recommended that the Council consider
acquiring by paying off the contract for deed 0 34 acres at a minimum, of which
approximately 12 acres would be needed for th A VR proposal and the balance would be
available for future development. As a second ption, the area identified as #2 contains about
13 acres that would make sense to also acquire s it would abut the newly improved road and is
located directly south of Dahlheimer's facility. With the road improvements, this area would
also be immediately available for potential indu trial users.
The cost of acquiring the 34 acres would be arou d $860,000 and the additional 13 acres
another $330,000 for a total of $1 ,200,000. In a dition to the land acquisition costs for
outright ownership, the City would also be respo sible for grading of this site which could add
up to another $500,000 in cost and the estimated ost of street improvements for Dalton
Avenue and the cul-de-sac are estimated at close 0 $900,000. Although some of these costs
will be recaptured iu the future by additional ind strial sales, the portion that is affected by the
A VR site is absorbed by the City as part of the I d exchange proposal.
In reviewing the City fund balances, the capital 0 tlay revolving fund has an approximate fund
balance in eXcess of committed projects equal to 1,500,000. These funds could be used for
the acquisition of the approximate 47 acres recom ended. An additional source of revenue
could be the liquor fund which currently has a su Ius balance of around $1,300,000 in
basically uncommitted funds. By not paying offt e entire contract for deed balance at this
time, the City could use the liquor funds for financing the grading cost and possibly all of the
street construction necessary for development of t ese parcels. This would eliminate the need
to borrow money for these improvements.
Council Agenda: 6/12106
Although staff has not gotten too far into p eparation of the 2007 city budget, if the excess
funds from the capital outlay revolving fun and/or liquor fund are used for the industrial park
and improvement acquisition, they would ot be available for other projects or budget
purposes. The general fund would still hav additional fund balance surplus over what is
needed for normal cash flow purposes so s me additional funds would be available for these
types of projects if needed.
B. ALTERNATIVE ACTIONS:
1. Council could proceed with the acq isition of parcel #1 containing 34 acres at an
estimated cost of $860,000.
2. Council could proceed with acquisiti n of parcel s #1 and #2 containing approximately
47 acres for $1,190,000.
3. Council could authorize the acquisiti n ofthe minimum amount necessary for the
proposed A VR site (approximately 1 acres)
C. STAFF RECOMMENDATION:
With the anticipated extension of street impr vements within the industrial park to service the
A VR site, it appears to make the most sense or the City to also acquire the property adjacent to
the street improvements which would inc1ud parcels #1 and #2 for a total of$l, 1 90,000. It is
not recommended that we outright purchase t e balance of the property at this time in order to
retain some surplus funds that could be used 0 finance the cost of needed improvements in the
industrial park and also the grading costs. T just purchase the amount necessary for the
proposed A VR site would save some cash, bu would stiIlleave the City without available sites
ready for immediate development for marketi g industrial land.
D. SUPPORTING DATA:
Sketch plan of industrial park showing three 0 tions.
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Council Agenda: 6/12/06
12.
A. REFERENCE AND BACKGROU D:
The removal of the existing signal sys em at TH 25 and River Street (see Figure
1) was discussed at the Police Commi sion meeting on May 17,2006. At this
meeting it was mentioned that traffic ows in the area of this signal system are
negatively impacted by the presence 0 the signal system at TH 25 and River
Street. More specifically, it was discu sed that this signal system is too close to
the signal system at TH 25 and CSAH 75 and that the removal of this signal
system would be an improvement to tr ffic flow along TH 25.
At the Police Commission meeting it as also discussed that modifications will
likely be necessary at the intersection fTH 25 and River Street if the signal
system is removed. It was noted that t -movements and left-turns should not
be allowed from either direction ofRiv r Street onto TH 25, and that right-turns
from WB River Street onto NB TH 25 hould be restricted as well.
It was also noted at the meeting that M DOT would likely be supportive of
removing this signal system, therefore i was the consensus of the Commission
members to recommend to the City Co ncil that the signal system at TH 25 and
River Street be removed, and that an en ineering review be performed as to
whether limited access is warranted fro River Street onto TH 25.
The City Engineer has since conferred ith the Wright County Highway
Department and has learned that the Co ty is in favor of removing the signal
system. Staff also believes that MnlDO would support removing the signal
system. However, before removing the existing signal system the City should
carefully evaluate existing traffic volum s and turning movements to fully
understand the effects this will have on raffic congestion and safety on TH 25,
CSAH 75 and our local roads. Along th se lines it should be noted that
removing this signal will leave only two signalized intersections for crossing TH
25 during rush-hour. Furthermore, it m y be necessary to make modifications
outside of the intersection of TH 25 and River Street in the event the signal
system is removed to increase capacity d safety in other areas.
B. AL TERNATIVE ACTIONS:
1. Approve removal of existing signal s stem at TH 25 and River Street and
maintain intersection as a full-access at-grade intersection.
2. Authorize City Engineer to investiga e removal of existing signal system at
TH 25 and River Street and modifyi g intersection geometrics.
3. Take no further action at this time.
C. STAFF RECOMMENDATION:
Council Agenda: 6/12/06
It is the recommendation ofthe City dministrator and the City Engineer that
the City Council approve alternative ction #2.
D. SUPPORTING DATA:
Figure 1
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Fr~URE: (
httv:/I156. 99.28 . 84/servletl com.esri .esrimaD. Esrimao?ServiceN e~CustomParcel&Client V ersion~ 3.1 &F... 6/8/2006
Council Agenda: 6/12/06
13. Consideration of addin
(WSB)
A. REFERENCE AND BACKGROUND:
During the design process for the CSAH 8 bridge, it was decided that some amount of
aesthetic improvements to the bridge wo ld be considered. One of the improvements
involved to adding the pads for three dec rative street lights to be added to the bridge
project. These street lights would be the arne as the pedestrian bridge street lights and
would be placed on the east side of the b dge. The decision was made to just install the
pad with the bridge construction and then the street lights could be added at a later date.
This agenda item is to determine if the co ncil would like to add those street lights at this
time or wait for a later date. We will try 0 have an idea of the potential cost at the
meeting and can discuss it more at that ti e.
B. ACTIONS ITEMS:
1. Authorize receipt of quotes for ad ing three street lights to the CSAH 18 bridge.
2. Delay addition of street lights to t e bridge to a later date.
C. RECOMMENDATION:
The street lights are purely an aesthetic i sue and it is up to the council how they would
like to proceed with the addition of the Ii hts.
K:\OI546-12\Admin\Docs\council agenda\AGN ITM-CSAHI8 - Update Item 060806.doc
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COUNCIL PDATE
B
Rick W 0 fsteller
June 5, 2006
Walt's Pawn Shop Lie nse Renewal Status
As you will recall, Walt's Pawn Shop has been on a onth to month basis as far as their license
renewal was concerned in hopes that Randel Thomp on, the owner, would continue his efforts to
ensure compliance with City ordinances regulating p wn shops.
About a month ago when Walt's Pawn Shop was see ing a conditional use permit for outdoor sales,
the Council requested an update on a monthly basis r garding their efforts to be in compliance with our
ordinance. One of the main concerns noted by the 'ght County Sheriffs Department detectives
related to the pawn shop's failure to promptly notify he Sheriffs Department of any items that were
confiscated by any other law enforcement agencies t at had been pawned. In addition, the pawn shop
is required to report every transaction that occurs at t eir establishment and there had been incidents
where items had not been properly recorded or were elayed by days or weeks before they were
actually entered into the computer system.
With the Council's decision to review the license ren wal on a monthly basis rather than on an annual
basis, Sheriff Department Detective Dave Clemons h s noted a dramatic improvement in the recording
of transactions, including items that have been confis ated over the past number of months. While this
is not to say that there still aren't some problems wit Mr. Thompson complying entirely with our
ordinance, the Sheriffs Department does feel that the e has been an improvement and that the owner is
making serious attempts to comply to keep his licens to operate.
I discussed with Mr. Clemons this past week how Mr Thompson is doing at the pawn shop and he felt
there would not be a problem with recommending co tinuation of his license but to continue to
monitor it on a monthly basis for a little while longer efore considering a longer license extension.
Mr. Clemons did indicate that the Sheriffs Departme t did conduct a test of the pawn shop's operation
by having an item pawned and then having another a ency confiscate the item as being stolen to see if
Mr. Thompson would report the transaction. Walt's awn Shop reported this confiscation the very
next day which seems to confirm that the owner is im roving his reporting techniques.
I will continue to monitor with the Sheriffs Departm nt representatives the operational activities at the
pawn shop and would recommend we continue to ren w the license on a monthly basis until the
Sheriffs Department feels a longer license period is arranted. Unless the Council wants to
specifically have this item placed on the agenda, I wil monitor and report to the Council as an update
on a monthly basis in the future.
PROGRES REPORT
CSAH 18/1-94 Interchange
City Project 004-01 C
May 22, 2006 thro gh June 9, 2006
& As-,odat.. Inc.
Prepared By: Derek Schmidt, P.E.
Phone (763)-287-8308
c
chedule
Currently the project is on schedule. The followin table lists the major milestones and the actu
completion dates of each milestone.
Actual
Descriptions Date Liquidated Damages Completion
Date
Complete Pond 5 construction to adequately allow for storm wat r 11/30/2005 Provisions of 11/29/2005
management from the abutting parcel west of the project site; Mn/DOT 1807.1
Drainage System Structure No. 5603 to Structure No. 5600; using original total
Drainage System Structure No. 5508 to Structure No. 5500; contact value
Drainage System Structure No. 5509 to Structure No. 5506
Complete installation and testing of water main north of Chelsea Rd 12/01/2005 $500/ Dav 11/29/2005
Complete installation and testing of water main 05/30/2006 $500/ Day 05/19/2006
Complete Existing Bridge Demolition 12/1512005 $500/ Day 11/04/2005
Complete Bridge Substructures 05/01/2006 $500/ Day 04/25/2006
Set Bridge Beams 05/1512006 $500/ Day 04/2512006
Bridge Deck Comolete 07/01/2006 $500/ Day OS/26/2006
Bridge Overlay Comolete 08/01/2006 $500/ Day
Interchange Open to Traffic 08/31/2006 Provisions of
Mn/DOT 1807.1
using original total
contract value
Landscaping North ofI.94 09/30/2006 $500/ Day
Contract Completion Date 05/31/2007 $500/ Day
ud~
The original contract value is $8,275,988.16. ThE re have been two change orders approved to
date for a total value of $516,170.50. This brings contract price to a total of $8,792,158.66.
Currently $4,350,505.06 has been paid to the cor tractor as of pay voucher #6. Pay Voucher #7
for May 2006 will be presented to Council on Jun ~ 26 with an approximate total price of
$1,400,000.
onstruction Activities
Construction Activities Performed Duri ng The Current Period
Pouring of the bridge deck, approach panelS l nd slope paving.
Grading of the entire site including topsoil dre 5sing in areas where grading is complete.
Completed all the pipe work.
Hauled the remaining granular borrow materh I onto the site.
Paved the median along 1-94 and switched trc ffic to the inside of 1-94 (Stage 2 Phase 2)
Construction Activities Anticipated to t e Completed During the Next Period
Forming and pouring of the bridge railing
Hauling of aggregate base material onto the ~ rade.
Complete the final portions of the mass gradi g and topsoil dressing
Begin signal construction.
Begin placement of Curb and Gutter.
- -- -. -. -. --
al
s
B
Traffic Control
Currently we are in Stage 2 Phase 2 of the tra IC control. The traffic on 1-94 is shifted to the
inside shoulder allowing the contractor to com lete the connection of the new ramps to 1-94.
Stage 2 Phase 2 will remain in place until the eginning of August.
Currently CSAH 18 is closed from Meadow Oa Ave to CASH 75. This closure will remain in
place until the interchange is open to traffic.
This Weeks Interestinq Fact
The bridge deck for CSAH 18 was poured on May 24th. The pour began at 6:45am and ended at
1 :30pm. The contractor placed 740 cu yds of con rete in approximately 7 hours. They used three
concrete pump trucks and had no less than 6 ready-mix concrete trucks onsite during the entire
pour.
Photos
Cedar Street Dundas Road to Chelsea Road
At the May 22, 2006 City Council meeting, the ouncil requested Staff to review shifting
Cedar Street, north of Dundas Road to the east, i to the City-owned property to lessen the
impact and provide more property width to the e isting properties on the west. We have
since reviewed a few alignment options to shift t e road, while meeting the design
criteria for the roadway. By shifting the roadwa , approximately 2,350 square feet of
right of way could be vacated adjacent to the D er property, approximately 6,400 sf
adjacent to Royal Tire and approximately 1,200 f adjacent to the Monticello Pet
Hospital. City staff recommends meeting with t e property owners to discuss purchasing
the right of way from the City. If the property 0 ners are not interested, then the City
could retain the right of way until the property p tential1y redevelops or would be
interested at a later date which would still prese e the option.
There is a gasmain along the eastside of Cedar S reet that will need to be relocated with
the new street alignment. Centerpoint Energy ha indicated that they will relocate the
gasmain at no cost to the City, as they had plann d to relocate the entire main from
Chelsea Road to Dundas Road anyway with the econstruction of Cedar Street.
There is also overhead power lines that wil1 need to be relocated in the area where the
street will be realigned. Xcel Energy has indicat d that they are a few months out from
designing this work and estimate the cost to mov their poles at between $5,000 and
$9,000. It is anticipated that only one pole will eed to be removed. Xcel Energy had
relocated their line a few years ago within the cu ent right of way, at the time Home
Depot was going to develop adjacent to the site.
The plans are currently out for bid and will be re ised and re-submitted to State Aid to
accommodate the change in the street alignment.
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1) Swan River Montessori Charter School P destrian Facilit 1m rovement Re uests
-
On 5/18/06 John Simola and Bruce West y met with Cathy Augustson from the
Swan River Montessori Charter School to discuss their requested improvements
per City Council direction on 5/8/06. The school does not have the money to fund
their requested improvements themselves. On 5/19/06 Bruce Westby received
some information on a federal grant progr m called the Safe Routes to School
program that may be able to help the scho 1 with their requested improvements.
Bruce Westby is attending a half-day wor shop on the program on 6/9/06 and will
share all information with the school. Cat y Augustson might attend one of the
workshops as well since the school can b the applicant for the loan, however the
City must then sponsor the school.
2) 401 Front Street. Cit Draina e & Private Slo e Stabilization Pro.ects-
Staff is finalizing design for a temporary ainage system to be constructed on the
City's property at Linn and Front Streets t alleviate stormwater ponding within
the intersection. Several local contractors will be contacted to bid the project
once the design is complete. It is anticipa ed that this project will be awarded to
the lowest responsible bidder around the nd of June. The cost for this work is
expected to be less than $15,000. The Cit attorney has developed a contract
which the property owner and the City wi 1 enter into whereby the City will be
held harmless from any future compensat ry claims in regards to the design,
construction or maintenance of the privat slope stabilization project.
.
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