HRA Agenda 05-12-1999D~
AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, May 12, 1999 - 7:00 p.m.
City Hall
MEMBERS: Chair Bob Murray, Vice Chair Darrin Lahr, Brad Barger, Steve Andrews, and Dan
Frie.
COUNCIL LIAISON: Brian Stumpf.
STAFF: Treasurer Rick Wolfsteller, Executive Director Ollie Koropchak, and Recording
Secretary Nancy Whalen.
1. Call to Order.
2. Consideration to approve the April 14, 1999 HRA minutes. 'C3 ~ ~' ~
3 . Consideration of adding agenda items. b ~~ ~~ ,R ~ `,~~ ~ o ~,,,.~c.~.~~~ ~ "'~`~
4. Consent Agenda.
5. Consideration of items removed from the consent agenda for discussion.
6. Consideration to review HRA letter of 30-da notice to terminate House Lease for 3
Y
Walnut Street for authorization to terminate Lease.
7. Consideration to adopt resolution approving decertification of TIF District No. 1-8.
8. Consideration to discuss HRA als and Objectives for 1999.
9. Consideration of an update on the tax increment reimbursement for TIF District No. 1-18.
10. Consideration to authorize payment of monthly HRA bills.
11. Consideration of Executive Director's Report.
12. Consideration of Committee Reports:
a) City Council -Brian Stumpf
b) Community Center -Bob Murray
c) MCP -Steve Andrews
d) Marketing -Brad Barger and Damn Lahr
e) North Anchor -Bob Murray and Dan Frie
13. Other Business.
14. Adjournment. ~ " b a ~ Y~r~--~
MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, April 14, 1999 - 7:00 p.m.
City Hall
MEMBERS PRESENT: Chair Steve Andrews, Vice Chair Bob Murray, Brad Barger, Darrin
Lahr, and Dan Frie.
COUNCIL MEMBER ABSENT: Brian Stumpf.
STAFF PRESENT: Treasurer Rick Wolfsteller and Executive Director Ollie Koropchak.
Call to Order.
Chair Andrews called the HRA annual meeting to order at 7:00 p.m.
2. Consideration to approve the February 10 1999 HRA minutes.
Bob Murray made a motion to approve the February 10, 1999 HRA minutes. Seconded
by Brad Barger and with no corrections or additions, the minutes were approved as
written.
3. Consideration of adding agenda items.
Two items were added to the agenda. A request from Kitty Baltos, Chamber of
Commerce, was added under Item 11 a.
Secondly, Ben Smith, a previous HRA Commissioner, informed commissioners that the
Monticello Senior Alliance has disbanded. The Alliance whose members were local
individuals was formed with the intent to own and manage Mississippi Shores. The HRA
paid for a senior housing market study which sat the stage for the construction of
Mississippi Shores. The study indicated the need for independent market rate and
low/moderate income-level senior housing. In order to complete the financial package
(need for additional equity), Presbyterian Homes was brought into the project and became
the owner and manager. In addition, the Hospital donated the land, the City issued
housing bonds, and the HRA provided TIF assistance. Ben said he was appointed as the
HRA representative to the Alliance upon his resignation from the HRA and due to a
"conflict of interest" issue for Commissioners Larson and Barger. The facility has been
100% occupied from date of opening and has an outstanding debt of $3,800,000. The
•
HRA Minutes - 4/14/99
completed project was well received by the community. They anticipate some impact
from the St. Benedict's project; however, minor. Upon retirement of the bonds, the City
has the option to purchase.
4. Consent A ends.
a) Consideration to approve the Certificate of Completion for Blue Clu_p
Recognizing the site improvements of landscaping and hard-surfacing are difficult to
complete during Minnesota winters and to avoid tabling the item, Bob Murray made a
motion to approve the Certificate of Completion for Blue Chip subject to issuance of the
certificate of occupancy permit by the Building Department. Dan Frie seconded the
motion and with no further discussion, the motion passed. Yeas: Murray, Frie, Andrews,
and Lahr. Nays: None. Abstention: Barger.
Consideration of items removed from the consent agenda for discussion
Not applicable.
6. Consideration to elect 1999 HRA officers and appoint committee representatives
Following the agreed upon progression of the vice chair moving up to chair, Darrin Lahr
made a motion to elect Bob Murray as chair of the HRA for 1999. With no other
nominations, Dan Frie seconded the motion. Yeas: Lahr, Barger, Andrews, and Frie.
Nays: None. Abstention: Murray. Motion passed.
Steve Andrews made a motion to nominate, cease nominations, and elect Damn Lahr for
vice chair of the HRA for 1999. Brad Barger seconded the motion. Yeas: Andrews,
Barger, Murray, and Frie. Nays: None. Abstention: Lahr. Motion passed.
Damn Lahr made a motion to appoint Rick Wolfsteller as Secretary-Treasurer of the
HRA for 1999. Steve Andrews seconded the motion and with no further discussion, the
motion passed unanimously.
Bob Murray made a motion to appoint the following commissioners: Steve Andrews to
MCP, Bob Murray to Community Center Small Group, Darrin Lahr and Brad Barger to
Marketing Committee, and Bob Murray and Dan Frie to the North Anchor. Damn Lahr
seconded the motion and with no further discussion, the motion passed unanimously.
7. Consideration to review and accept the Year-End Financial Reports for the HRA General
Fund and TIF Fund.
HRA Treasurer Wolfsteller informed commissioners that the TIF Debt Service is a
2
HRA Minutes - 4/14/99
summary of the history of bonds sold: It notes the original bond debt, outstanding bond
debt, the payments due in 1999, and the estimated revenue remaining to collect based on
1998 increments. Each year revenue is transferred from the HRA Fund into the TIF Fund
to cover debt service.
The HRA Fund is a summary of the 25 TIF Districts. Wolfsteller noted a few year ago
Mark Ruff suggested to transfer dollars from District No. 1-3 to No. 1-4 in order to cover
the $140,000 HRA deficit. Payback of internal loans are recycled into the non-restrictive
fund and today has a balance of $41,000. Wolfsteller estimated the overall total amount
of internal payback to be about $337,000.
Amortization schedules for the $80,000 Polycast and Fay-Mar notes will be ran and the
districts decertified early to eliminate the HACA aid reduction. The 10%-20% pooling
dollars can be used for likewise expenditures (industrial) outside the districts, excess tax
increment must be returned to the county. TIF District Nos. 2, 5, and 6 produce the
greatest amount of cash for the HRA and the increment is the least restrictive.
Treasurer Wolfsteller reported a current balance of $41,000 in non-restrictive funds and
anticipates with the payback of the Polycast and Fay-Mar notes a balance of $210,000.
The restrictive fund balance is $270,000.
Brad Barger made a motion to accept the 1998 year-end financial reports of the HRA
General Fund (non-restrictive) and the TIF Fund (restrictive). Bob Murray seconded the
motion and with no further discussion, the motion passed unanimously.
Consideration to authorize payment of monthly HRA bills
Bob Murray made a motion to authorize payment of the monthly HRA bills. Steve
Andrews seconded the motion and with no further discussion, the motion passed
unanimously.
9. Consideration of Executive Director's Report
a) Bus Tour and Golf Outing -The commissioners authorized the Executive Director
to plan the second annual bus tour.
h) The HRA gave the O.K. to proceed with negotiations on the proposed 175,000 sq
ft print industrial building. Projected tax increment and job and wage goals were
within range; however, the HRA requested more information about the company
and project prior to preliminary approval.
HRA commissioners accepted the report.
3
HRA Minutes - 4/14/99
10. Consideration of reports:
a) City Council - No report.
b) Community Center -Murray reported the small group is working on policies and
an operational manual for the community center to be used as a guide for the
hiring of the community center director. Defining of fee structure is last on the
agenda. DAT is in the process of reviewing the design of the plaza along Walnut
Street and the landscaping. Murray reported the Council will be requested to add
back the terrazzo floor. The HRA commissioners unanimously agreed and
endorsed "adding back the terrazzo floor to the community center." The
commissioners requested their endorsement be submitted to the City Council.
c) MCP -Andrews reported he has missed the last two meetings. If any other
commissioner was interested in serving, he would step down. No volunteers.
d) Marketing -Barger reported Koropchak will be attending a manufacturing
engineer trade show. Brochures are being mailed as scheduled. Lahr was
reminded to check on availability of using NSP trade show booth.
e) North Anchor -Murray and Lahr found the bus tour to Chaska, Shakopee, and
Northfield most productive. Murray noted Chaska had established standards and
Lahr noted it appeared difficult to incorporate the river into downtown. Andrews
stated the Big Lake side on the river will have a large impact on Monticello's
redevelopment. The group will reconvene shortly.
11. Other Business.
Per the request of the Chamber of Commerce President, the HRA was asked to have a
representative give a 5-6 minutes presentation about the HRA's mission at the regular
meeting of the Chamber on June 17, 11:50 a.m., Silver Fox Inn. The commissioners
appointed Bob Murray, HRA Chair, to make the presentation.
12. Adjournment.
Darrin Lahr made a motion to adjourn the HRA annual meeting. Steve Andrews second
the motion and with no further business, the meeting adjourned at 8:50 p.m.
Ollie Koropchak, Recording Secretary
Bob Murray, HRA Chair
4
.
.
.
HRA Agenda - 5/12/99
4.
Consideration of adding: agenda items.
a) Consideration to swap HRA lot and Grassl lot on West Broadwav.
Bill Grassl, owner of Domino's Pizza and the vacant lot along West Broadway, is
requesting the HRA consider a swap of lots. Grassl acquired the vacant lot after a fire of
few years ago. The parcel is 43 feet wide by 165 ft or 7,095 sq ft and is described as the
West 17 feet of Lot 10 and East 26 feet of Lot 11, Block 35.
The HRA acquired the property known as 111 West Broadway from Barry Fluth
followin~ the roof cave-in and demolition of the building. The HRA purchased the
property in 1996 for $50,000. The appraised value was $37,000. The description is Lots
7 and 8, Block 52, except the southeasterly 16.5 feet of the southwesterly 90 feet of Lot
8. The parcel consist of 10,065 sq ft. The HRA purchased the property prior to the
Downtown Revitalization Plan and prior to the organization of the MCP. Previous
commissioners had thoughts of preserving the lot for a redevelopment project which
would cover all the parcels to the east or to Highway 25 but nothing carved in stone.
At the Council meeting of May 10, Grassl inquired of the City's interest to purchase a 6
foot strip of his parcel on the south side of West Broadway, giving the City the
opportunity to create a walkway between business storefronts and the rear private/public
parking lots. This is consistent with the Downtown and Riverfront Revitalization Plan.
The Council tabled any action to acquire a 6 foot strip upon hearing of Grassl interest to
swap parcels with the HRA. The Council wanted the HRA to consider the swap before
moving forward to purchase a 6 foot strip; however, they were interested in the
opportunity to carry out the objectives of the Revitalization Plan.
A walkway on the north side of West Broadway is also encouraged within the Downtown
and Riverfront Revitalization Plan. The HRA's improved lot allows for such walkway on
a temporary basis.
Bill will be present at the HRA. The HRA must hold a public hearing for disposition of
public lands.
.
.
.
.. .
..,
~. ',' ,.
.>~:S
CITY OF MONTICELLO
,;;,\:.:s' House Numbering Plan
WeST 1<:1 {)f:t :'-1 i/.tt r
"
~
~
~ 6
~ R/<ll-O
~
~.
'O-~
----::,.
I
I
I
I
I
r-~-i
~ ~
I I
I I
I I
':~l .-8' I ()- '1
I " --9
:-1
13
I I
,
--- --- I
I
I I
j' I
I \ I
\ }-
I I
I
I
I I
I C 5 I j I'll
i
i
1
l
J\,3
I I') I
l/U {.5f tJ,l!lj ,41/1L/4Y
If 6"
'? f 0
\
~
\
i
I
\
I
\
I
I
1
j
fol
/
o
3
t--.,
>L\
,~
"~
~'"
\'j
~
;~'::.
~
~
BLOCK NO. 5d-
I
, .
10
,z
I
I
I
I
I
I
,
I
,
I
'.. i
1IIIiIIIiIIII~~t--'..........-! :
. I
b .
,
. I I
. _ _ _ _ . ~O:~ _ _ _ _ L _ _ _ j
6 ! I-
Turn Lane 67' I i
~x' i I
.
I
- ..... -:-- --- -
.
o I
. ,
(J) I
, .
1:1:
, .
II--
'(f)
~.
o
u
c
()
, . . .
-
V)
Q)
3
L:.
t
o
z
I
I~
I~
IV) 2:-
I~ %
I CI)
V)
C
o
V)
c;
L:.
o
...,
...i~
(QH) TEL. 'r.E:\.;. ~
I
II E..-i~
II (0\-\) '\ E.V .
I
~;
5 2
(4
OJ
e:
.-
L:
V)
c:
...
::)
u.
Q)
V) E
01 0
::) I
....
0 V)
...
Q.I
in
.~
G::
.
w
I Q)
I ~
I"e
I~
1>-
I!
Ie:
Q.I
1:2
o
C)
"
1:
o
~
25'
onstruction Limits
-(-
u
co
L:.
CI) II) CI)
-
>- .g G:l 0 ::E
... ... e:
Q) Q)
E co - ~ Q)
0 a: (/) - >
01 as as
- L: ...
e: c: ~
t"I
"
U
N Q.I
:t: ~
Q.I
(/)
,......-.
I
I
,
I
,
I
,
I
,
I
,
I
.
I
I
. I
0 ,
. 1--1
(J)
W.
WI
0:,
t-I
(I),
I -
LO
.
....
C".
I
I
I
.1
I
I-
Kennedy
..
470 Pillsbury Center
200 South Sinh Street
Minneapolis MN 55402
(612) 337-9300 telephone
(612) 337-9310 fax
http://www.kennedy-graven.com
.
C H ART ERE D
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362
DANIEL J. GREENSWEIG
Attorney at Law
Direct Dial (612) 337-9231
: dgreensweig@kennedy-graven,com
May 10, 1999
Dear Ollie:
I am writing to explain the potential effect on Monticello's community center financing plan of
legislation currently proposed at the state legislature. I have enclosed a copy of the pending bill
for your information.
.
As you know, assuming compliance with the remainder of the TIF statutes, state law currently
allows tax increment to be spent on governmental facilities "used for social, recreational, or
conference purposes and not primarily for conducting the business of the municipality." It was
under this provision that the Monticello HRA had considered providing approximately $11,000
per year ofTIF funds to the city's new community center.
If the proposed legislation is passed and signed by the governor, however, TIF could no longer
be used for these purposes. To the contrary, authorities would be prohibited from making these
expenditures unless the expenditure was made or a binding contract was entered into before July
I, 1999.
From the HRA's perspective, then, it must give thought to whether it wishes to commit itself to
paying TIF for the purpose of helping finance the community center. If so, and assuming that the
legislation is adopted, the HRA must, before July I of this year, enter into a definitive contract to
make these payments. I would recommend that any contract be entered into with the city, not the
state, in part for practical reasons, but more important, because the city is far more involved than
the national guard in the water park and other parts of the community center that can legally be
funded with TIF.
If the HRA is interested in pursuing this avenue, please let me know. If so, I will talk with Mark
or Rusty to confirm the source and amounts of the proposed TIF payments and prepare a draft
.
DJG-162682
MN190-78
.
Ollie Koropchak
May 10, 1999
Page 2 of2
agreement between the city and the HRA that satisfies both existing and the proposed law. If
you have any questions before then, feel free to call.
Daniel 1. Greensweig
DJG/par
End
.
.
]PD-152601
KG400-1
"
'.
\,
04/19/99 DRAFT
[REVISOR) JMR/MR TAXBILL
'I:
1 used to meet the requirements for qualifying local contributions
4It 2 for later years. No interest or investment earnings may be
3
credi ted or 'imputed to the account, except those (A) actually
paid by the municipality out of its unrestricted funds or by
another person or entity, other than a developer as used in
section 469.1766, and (B) used as required for a qualifying
local contribution.
(6) If the state contributes to the project costs through a
direct grant or similar incentive, the required local
contribution is reduced by one-half of the dollar amount of the
4
5
6
7
8
9
10
11
state grant or other similar incentive.
12
13
I'
Minnesota Statutes 1998, section 469.176,
Sec. 2.
subdivision 49, is amended to read:
14 Subd. 49. [GENERAL GOVERNMENT USE PROHIBITED.] (a) These
'~ 15 revenues shall not be used to circumvent existing levy limit
16 law. No revenues derived from tax increment from any district,
17 whether certified before or after August 1, 1979, shall be used
18 for the acquisition, construction, renovation, operation, or
19 maintenance of a building to be used primarily and regularly for
20 conducting the business of a municipality, county, school
21 district, or any other local unit of government or the state or
22 federal government or for a commons area used as a public park,
23 ora facility used for social, recreational, or conference
24 purposes. This provision shall not prohibit the use Qf revenues
25 derived, from tax increments,for the construction or renovation
26 of a,parking structureT-a-eemmefts-area-~sed-as-a-~~b:~e-~ar~T-er
27 a-fae~:~ty-~sed-fer-see~a:T-reerea~~ena:T-er-eenfereftee-~~r~eses
28 8nd-ne~-~r~m8r~:y-fer-eend~e~*ng-ehe-b~s*ness-ef-ehe
29 m~nie*~8:~ey.
30 (b) If any publicly owned facility used for social,
31 recreational, or conference purposes and financed in whole or in
4It
4It
'" . . _... , "t- .. ....... "
........, III'" I
_lII....II......._J
1. public improvements, equipment, or other items, if:
2 (1) the improvements, equipment, or other items are located
4Itoutside of the area of the tax increment financing district from
4 which the increments were collected; and
5 (2) the improvements, equipment, or items primarily serve
6 (i) a decorative or aesthetic purpose, or (ii) serve a
7 functional. purpose, but their cost is increased by more than 100
8 percent as a result of the selection of materials, design, or
9 type as compared with more commonly used materials, designs, or
La types for similar improvements, equipment, or items.
Ll Sec. 3. Minnesota Statutes 1998, section 469.1763, is
L2 amended by adding a subdivision to read:
L3 Subd. 6. [POOLING PERMITTED FOR DEFICITS.] (a) This
L4 subdivision applies only to districts for which the request for
LS certification was made before June 2, 1997.
.
I~ (b) The municipality for the district may transfer
.7 available increments from another tax increment financing
.8 district located in the municipality, if the transfer is
.9 necessary to eliminate a deficit in the district to which the
!O increments are transferred. A deficit in the district for
!l
purposes of this subdivision means the lesser of. the following
two amounts:
!2
:3
(ll(i) the amount due during the calendar year to pay
preexisting obligations of the district; minus
(ii) the total increments to be collected from properties
located within the district that are available for the calendar
.1
year, plus
~4
~5
:6
'7
8 (iii) total increments from properties located in other
~districts in the municipality that are available to be used tc
~meet the district's obligations under this section, excluding
1 this subdivision, or other provisions of law (but excluding a
2 special tax under section 469.1791 and the grant program under
~
1
. 2
3
'4
5
6
7
8
9
J.O
1.......---'11
12
13
14
. 15
16
17
18
19
20
21
22
23
24
25
26
27
. 28
29
. 30
31
.,'"
04/19/99 DRAFT
'.
(REVISOR] JMR/MR .TAXBILL
"'y
Subdivision 1. [DISTRICT EXTENSION.] (a) Notwithstanding
the provisions of Minnesota Statutes, section 469.176,
subdivision lc, full tax increments from the city of
Chanhassen's Downtown Redevelopment Tax Increment Financing
District Number 1 must be paid to and may be retained by the
city of Chanhassen for property taxes payable in 2001, 2002, and
2003.
"
(b) Increments permitted to be paid to and retained by the
city under paragraph (a) may only be used to payor defease
8lt1l Ph '5"5 0 y'"
bonds issued or other,:~ligations incurred prior to June 2,
f o~ l.A rtl
1997 the roceeds which were used to fund
redevelopment costs within the redevelopment project or bonds
issued to refund the bonds.
(c) The maximum amount of increments allowed to be retained
under this section is limited to the amount that would qualify
for a grant under Laws 1997, chapter 231, article 1, section 19,
as amended.
Subd. 2~ [EFFECTIVE DATE.] This section is effective the
day after compliance with Minnesota Statutes, sections 469.1782,
subdivision 2, and 645.021, subdivision 3.
Sec. 24. [APPROPRIATION; TIF GRANTS.]
$1,000,000 is appropriated to the commissioner of revenue
for purposes of grants under Laws 1997, chapter 231, article 1,
section 19, to municipalities to offset deficits in tax
increment financing districts.
Sec. 25. [REPEALER.]
Laws 1997, chapter 231, article 1, section 19, subdivision
2, is repealed.
Sec~ 26. [EFFECTIVE DATE.]
Section 1 is effective for requests for certification of a
new district or for the addition of geographic area to a
A~~~_l_~ __~_ ~~L'___ _
.
-
.
HRA Agenda - 5/12/99
6.
Consideration to review HRA letter of30-day notice to terminate House Lease for 3
Walnut Street for authorization to terminate Lease.
A. Reference and Background:
At the HRA meeting of April 14, I reported that Jarmy and Tammy Hacker (the "tenant")
were delinquent of the March rent by $75 plus the $50 late fee and as of April 15 would
be delinquent of the April rent of$550 plus the $50 late fee. Also, you received a copy of
the letter mailed the tenant relating to the complaints of debris, etc.
Attached is a copy of the April 26 letter stating the 30-day notice to move out, effective
May 31 unless the past due amount of $725 was received by May 1. J army Hacker came
into the office of the HRA after receiving the letter and stated Tammy was responsible for
paying the rent. She moved out three weeks prior and he was unaware ofthe delinquency.
He indicated he would be caught-up by May 31 and asked to have the May 31 date to
vacate relinquished. I stood firm and informed him only the commission has the authority
to amendment the lease. The City's utility bill for the fourth quarter 1998 is past due,
$21.38 plus $50 penalty and will begin to accrue interest as of May 27. The first quarter
bill of 1999 is also past due, $81.62. Jarmy informed me the telephone was turned off and
noted a delinquency in the electric bill.
Upon reviewing the upcoming HRA agenda with the HRA Chair, he suggested inviting the
tenant to the May meeting requesting submission of a progressive payment schedule for
the delinquent rent and allowing the commissioners a voice in the decision to terminate.
Attached is the May 4 letter of invitation and an invoice. You will note the May rent of
$550 was due May 1 and the May late fee of$50 becomes effective May 15.
In the afternoon of May 4, I had a second call from apartment owner, Paul Wurm,
complaining about the activity at 3 Walnut. His complaint was of 8 cars on the lot with
hoods up and people working and lawn chairs. Mr. Wurm said this was not acceptable to
the neighbors and wants this immediately cleaned-up. He feels it is strictly a management
problem. It is my understanding, the Building Department cited two vehicles without
licenses on the property and a notice will be mailed. I asked Mr. Wurm to appear before
the HRA or if disturbance occurs to call the sheriff's department. Mr. Wurm felt this was
a management problem and did not want it to become a neighbor controversy.
The HRA purchased this property on a four-year Contract for Deed, paid $20,000 of
earnest money and as of August 18, 1998, remaining principal balance was $63,000.
Prior to moving in, the tenant deposited $550 for the last month's rent and Sherburne
County paid the damage deposit of $500 per the lease. This is still on deposit.
It
HRA Agenda - 5/12/99
B.
Alternative Action:
1.
A motion to accept the tenant's progressive payment schedule for the past due
amount of$l,275.00 or negotiate a schedule and relinquish the effective move-out
date of May 31, 1999.
2.
A motion to ratifY the 30-day notice to terminate the House Lease for 3 Walnut
Street with the effective move-out day as May 31, 1999.
3.
A motion to table any action.
4.
A motion of other alternative.
c.
Recommendation:
.'
Unless the past due amount is paid in-full, the recommendation is Alternative No.2. The
HRA may wish to consider paying off the contract for deed, put the house up for sale to
move or demolish with the garage going to the Maintenance Department. Rick reported
non-restrictive cash balance of$41,OOO and expects about $80,000 from Fay-Mar and
$80,000 from polycast Districts for transfer into non-restrictive funds. This retiring the
HRA internal notes.
D. Supporting Data:
Copy of April 26 and May 4 letters. Copy of Lease.
.
2
.
.
April 26, 1999
--
MONTICELLO
Jarmy and Tammy Hacker
3 Walnut Street
Monticello, MN 55362
Re: Thirty-day Notice to Terminate House Lease for 3 Walnut Street.
Dear Jarmy and Tammy:
The Housing and Redevelopment Authority in and for the City of Monticello (the "landlord")
hereby gives Jarmy and Tammy Hacker (the "tenant"), a thirty-day (30-day) notice of its intent to
terminate the lease.
Unless the lIRA receives payment-in-full for the remaining balance due in the amount of$75.00
for the March rent plus the $50.00 March late fee and the balance due in the amount of$550.00
for the April rent plus the $50.00 April late fee by May 1, 1999; the tenant is hereby given notice
to vacate the property by no later than May 31, 1999.
The total amount past due as of April 15, 1999, is $725.00. Please remit the total amount past
due by May 1, 1999, in order to avoid termination of the House Lease for 3 Walnut Street.
Should you have any questions, please do not hesitate to call me at 271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
a~\<~~~
Ollie Koropchak
Executive Director
c: File
Rick Wolfsteller, City Administrator
~ /{
{Yvo~' ~~ ~ \(r\.~, "'Seo \fh~ \So (9.C\(W-~~u ~o~
Monllcello City Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245. (612) 295-2711 · Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (612) 295-3170 . Fax: (612) 271-3272
.
.
May 4, 1999
MONTICELLO
Jarmy and Tammy Hacker
3 Walnut Street
Monticello, MN 55362
Re: Thirty-day Notice to Terminate House Lease at 3 Walnut Street
Dear Jarmy and Tammy:
Upon your request to delay the thirty-day notice to terminate the House Lease at 3 Walnut Street,
the lIRA Chair will bring the matter to the board of commissioners at the lIRA meeting in May.
You are invited to appear before the commissioners and make your request. Please prepare and
submit a progressive payment schedule to retire the past due amount of $725 including a partial
payment of$500. Until the commissioners consider your request, the thirty-day notice to vacate
not later than May 31 remains in effect. See attached invoice and note the May rent of $550 is
due.
The lIRA meeting is Wednesday, May 12 at 7:00 p.m. in the Monticello City Hall.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
O.~ ~(}At)~.5)~
Ollie Koropchak
Executive Director
c: File
Rick Wolfsteller, City Administrator
la/V
Monticello City Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245' (612) 295-2711' Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 . (612) 295-3170 . Fax: (612) 271-3272
.
.
March rent past due
March late fee
April rent past due
April late fee
TOTAL AMOUNT PAST DUE
May rent due
TOT AL AMOUNT DUE
.
INVOICE
Rent for 3 Walnut Street
May 1, 1999
$ 75.00
$ 50.00
$ 550.00
$ 50.00
$ 725.00
$ 550.00
$1,275.00
~/:?
-'
.
HOUSE LEASE
This is a Lease. It is a legal agreement between the Tenant and the Landlord to rent the House
described below. The word Landlord as used in this Lease means the Housing and Redevelopment
Authority in and for the City of Monticello, and the Landlord's address is 250 East Broadway, P.O. Box
1147, Monticello, Minnesota, 55362. The word Tenant as used in this Lease means
JARMY AND TAMMY HACKER
This Lease is a legal contract that can be enforced in court against the Landlord or the Tenant if
either one of them does not comply with this Lease.
1. Description of House. The address of the House is 3 Walnut Street, Monticello, Minnesota,
55362.
2. Term of Lease. This Lease is for the said premises without repairs or improvements on the part
of the Lessor from the ~ day of DECEMBER . , 1998, at 12:01 o'clock, a.m.
and until this Lease shall be terminated by either party hereto, as herein provided.
.
3. Rent.
a. Amount. The rent for the house is Five Hundred Fifty and no lOOths Dollars ($550.00)
per month in advance.
b. Payment. The rent payment for each month other than the first and last month must be
paid before the fifteenth day of each month beginning on JANUARY
1998, at the Landlord's address. The rent for the first and last month of this Lease has
been paid in advance to the Landlord by Tenant. The Landlord does not have to give
notice to Tenant to pay the rent. Tenant understands that Landlord will not accept a
partial payment of rent. In the event rent is not paid by the fIrst of each manu", L'1ere .vill
be a fee of $50.00 assessed and payable without demand.
c. Responsibility for Rent. Every Tenant listed above is individually responsible for
paying the full amount of rent owed to Landlord.
4. Security Deposit. The Tenant has given the Landlord Five Hundred and no lOOths Dollars
($500.00) as a security deposit. If Tenant fails to perform any term in this Lease, Landlord
may use the security deposit for payment of money that Landlord may spend or damages that
Landlord suffers because of Tenant's failure. The Landlord may use the security deposit to
pay for any damage to the House caused by the Tenant or the Tenant's guests. The security
deposit may also be used by the Landlord to pay charges for late payment of rent, and to pay
charges for rent including payments that the Tenant owes to the Landlord at the end of the
Lease.
The Landlord will pay the Tenant interest on the security deposit at the rate of 2.5% per year,
as required by Minnesota Statutes Section 504.20, subd. 2. Landlord shall, three weeks after
(1) the end of the Lease term, and (2) receipt of Tenant's mailing address or delivery
instructions, return the deposit to the Tenant, together with the interest due on the deposit. If
the Landlord does not return the deposit within the three weeks, Landlord must give Tenant a
written statement showing the specific reason for withholding of part or all of the deposit.
The Landlord may keep all or part of the security deposit (1) for rent or other money owed to
the Landlord, and (2) for damage to the House beyond ordinary wear and tear.
.
SJB148913
MN195-5
5. Quiet Enjoyment. If Tenant pays the rent and complies with all other terms of this Lease,
Tenant may use the House for the term of this Lease.
N~(> - ~ "?- \
~ ~ Q...{) - 'OA-<:..""";;) \
~/+
.
6. Use of House. The House must be used only as a private house to live in and for no other
purpose. The Tenant may not use the House for any unlawful activity. In particular, Tenant
agrees that (a) Tenant will not unlawfully allow controlled substances in the House; and
(b) the property will not be used by the Tenant or others acting under his or her control to
manufacture, sell, give away, barter, deliver, exchange, distribute, or possess a controlled
substance in violation of any local, state, or federal law, including Minn. Stat. Chapter 152.
This agreement by Tenant is not violated if a person other than Tenant possesses or allows
controlled substances in the House or on the property unless the Tenant knows or has reason
to know of the activity. The Tenant may not use the House for the purpose of carrying on
any business, profession or trade.
.
7. Maintenance and Repair.
a. By Landlord. Landlord promises (1) that the House is fit for use as a residence; and
(2) to keep the House in reasonable repair during the term of the Lease, except when the
damage was caused by the intentional or negligent action of the Tenant or Tenant's
guests; and (3) to maintain the House in compliance with the applicable health and safety
laws except where the violation is caused by the Tenant or Tenant's guests.
b. By Tenant. Tenant promises, at Tenant's expense, to make all repairs and eliminate any
violation of health and safety laws that result from the negligent, willful, malicious or
irresponsible conduct of the Tenant or the Tenant's family, agent or guest. Tenant shall
comply with all the sanitary laws affecting the cleanliness, occupancy and preservation of
the House. except where the Landlord is required by law to comply with the sanitary laws
(see Minnesota Statute, Section 504.18). Tenant must obtain authorization from
Landlord prior to employing any mechanic to make repairs on the property or House.
Tenant agrees to perform the following repairs and maintenance at Tenant's expense:
Lawn maintenance on the entire yard area;
Snow removal; and
Water softener service to include the provision of salt necessary for its proper
operation.
8. Alterations. Tenant must obtain Landlord's prior written consent to install any paneling,
flooring, partitions or make alterations or to paint or wallpaper the House. Tenant must not
change the heating, electrical, plumbing, ventilation or air conditioning without the prior
written consent of the Landlord.
9. Damage to the House. If the House is destroyed or damaged not due to the fault of Tenant or
Tenant's guests, and the House is unfit for use as a residence, Tenant is not required to pay
rent for the time the House cannot be used. If part of the House cannot be used, Tenant must
only pay rent for the usable part. If the House is damaged or destroyed, Landlord may
terminate this Lease immediately and may decide not to rebuild or repair the House. If the
damage was not caused by the Tenant or the Tenant's guest and the Landlord cancels the
Lease, the rent shall be pro rated up to the time of the damage.
10. Utilities. Tenant shall pay for all utilities provided to the House during the term of this Lease.
.
11. Right of Entry. Landlord and Landlord's agents may enter the House at reasonable hours to
repair or inspect the House and perform any work that Landlord decides is necessary. In
SJB148913
MN195-5
~/{
.
addition, the Landlord may show the House to possible or new Tenants at reasonable hours
during the last thirty (30) days of the Lease tenns.
12. Assignment and Subletting. Tenant may not assign this Lease, lease the House to anyone else
(sublet), sell this Lease or permit any other person to use the House without the prior written
consent of the Landlord. If Tenant does, Landlord may terminate this Lease as described in
Paragraph 16 of this Lease. Any assignment or sublease made without Landlord's written
consent will not be effective. Tenant must get Landlord's permission each time Tenant wants
to assign or sublet. Landlord's permission is good only for that specific assignment or
sublease.
13. Termination. This Lease may be terminated at any time by either party hereto after thirty (30)
days from the date hereof by giving the other party thirty (30) days' notice of its intention to
do so. Such notice must be given on or before the last day of the month prior to the month
with which it is desired that the Lease shall terminate.
14. Surrender of Premises. Tenant shall move out of the House upon termination of this Lease in
accordance with Section 13 hereof. When Tenant moves out, Tenant shall leave the House in
as good condition as it was when the Lease started, with the exception of reasonable wear and
tear.
.
15. Abandonment. If Tenant moves out of the House before termination of this Lease in accordance
with its terms, Landlord may bring a legal action to recover possession of the House. The
Landlord may rent the House to someone else. Any rent received by Landlord for the re~
renting shall be used first to pay Landlord's expenses for re-renting the House and second to
pay any amounts Tenant owes under this Lease. Tenant shall be responsible for paying the
difference between the amount of rent owed by Tenant under this Lease and the amount of
rent received by Landlord from the new tenant together with any court costs and attorney's
fees. If Landlord recovers possession of the House after Tenant moves out, then Landlord
may consider Tenant's personal property in the House to also have been abandoned.
Landlord may then dispose of the personal property in any manner that the Landlord thinks is
proper. Landlord shall not be Ii able to Tenant for disposing of the personal property.
16. Default. If Tenant does not pay the rent or other amounts when due or if Tenant violates any
tenn of this Lease, Landlord may terminate this Lease. If Tenant does not move out,
Landlord may bring an eviction notice. If Tenant violates a term of this Lease and Landlord
does not terminate this Lease or evict Tenant, Landlord may still terminate this Lease and
evict Tenant for any other violation of this Lease. If contraband or a controlled substance
manufactured, distributed, or acquired in violation of Minnesota law is seized in the House or
on the property on which the House is located incident to a lawful search or arrest, and if
Tenant has not defense under Minnesota Statutes 609.5317, Tenant shall have no further right
to possession of the House, and Landlord may bring an eviction action against Tenant.
17. Heirs and Assigns. The tenns of this Lease apply to the Tenant and Landlord. The tenns of this
lease also apply to any heirs, legal representatives and assigns of Tenant or Landlord.
18. AnimalslPets. No dogs, cats or other pets may be kept on the premises or in the House without
written consent of the Landlord.
.
SJB148913
MN195-5
~/tR
.
.
.
DATED:
V{)f ~ ~
, 1998
LANDLORD:
HOUSING AND REDEVELOPMENT
AUTHORITY IN A~ FOR THE CITY OF
MO~LO U
By: Ql.;.P ~
Its: Chair. C'\-
BY:~~ \<'0\~~
Its: Executive Director ~
SJB148913
MN195~5
TENANT:
~O~kl.A-
~/1
.
.
.
HRA PROPERTY
3 WALNUT STREET, MONTICELLO, MN 55362
TENANT: Jarmy and Tammy Hacker
AMOUNT DUE AND PAYABLE ON OR BEFORE DECEMBER 15, 1998:
First month's rent = $ 238.33 $18.333 per day times 13 days.
Last month's rent = $ 550.00
Damage deposit = $ 500.00
TOTAL DUE = $1,288.33
OCCUPANCY DATE - SATURDAY, DECEMBER 19,1998.
~/9t
.
--
lIRA Agenda - 5/12/99
7.
Consideration to adopt a resolution approving the decertification ofTIF District No. 1-8.
A. Reference and Background:
TIF District No. 1-8 was approved January 23, 1989 and certified as an Economic District
on October 18, 1989. NSP received assistance in the amount of $21,000. The life
duration of an Economic District established in 1989 is 10 years from date of approval or
8 years from date of first received tax increment. The HRA received its first tax increment
in 1991. The resolution states the County no longer would remit tax increment payable
1999 to the HRA. The Redevelopment Contract included a Tax Increment Guarantee of
not less than $6,913 annually. The deficiency of the Tax Increment Guarantee totaled
$10,480.09. This was paid by NSP on January 15, 1999.
On April 29, I met with Rod Bunting, Tax Specialist, at the Wright County Auditor's
Office relating to TIF District No. 1-18. I also reviewed TI F management procedures
between a City and County and we agreed to have the lIRA adopt a resolution approving
decertification of a TIF ~istrict in all cases. A copy of the resolution will be submitted to
the Auditor's Office. In all cases means decertification at end oflife duration of a district
or decertification prior to end oflife duration of a district. Upon retirement of debt and to
eliminate aid reduction or penalty, the lIRA will consider early decertification of post
1993 districts. Also, the 10-20% pooling dollars are now so restrictive.
Additionally, we agreed the County will not or has not removed parcels from a district due
to lack of activity as outlined in the three, four, and five-year knock down rules. I'll be
accountable for that. Rod pointed out the County is not collecting a fee from the lIRA for
TIF as does the State.
B. Alternative Action:
1. A motion to adopt a resolution approving decertification ofTIF District No. 1-8.
2. A motion to deny adoption of the resolution approving decertification ofTIF
District No. 1-8.
3. A motion to table any action.
C. Recommendation.
Recommendation is Alternative No.1.
1
.
.
.
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO
STATE OF MINNESOTA
Resolution No.
BEING A RESOLUTION APPROVING THE DECERTIFICATION OF TAX
INCREMENT FINANCING DISTRICT NO. OF THE CITY OF MONTICELLO.
WHEREAS, on _ , 19 ~, the Housing and Redevelopment Authority
(the "Authority") in and for the City of Monticello (the "City") created Tax Increment Finance
District No. (the "District") within the Central Monticello Redevelopment Project No.1
(the "Project"); and
WHEREAS, as of the date hereof all bonds and obligations to which tax increment from the
District have been pledged have been paid in full or defeased and all other costs of the Project
have been paid; and
WHEREAS, the Authority by this resolution to cause the decertification of the District after
which all property taxes generated by property within the District will be distributed in the same
manner as all other property taxes.
NOW THEREFORE, BE IS RESOLVED by the Commissioners of the Housing and
Redevelopment Authority in and for the City of Monticello, Minnesota, that staff shall take such
action as is necessary to cause the County Auditor of Wright County to decertify the District as a
tax increment district and to no longer remit tax increment payable from the District to
the City.
DATED:
,19~
(Seal)
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO
It's Chair
ATTEST:
Executive Director
1/(
.
.
.
HRA Agenda - 5/12/99
8.
Consideration to discuss HRA Goals and Obiectives for 1999.
A Reference and Background:
Although the HRA is waiting for direction from the Council, I would like the HRA to start
discussion about goal and objectives. Most HRA projects are driven by developers who
are interested in redevelopment or industrial development. Development of a scattered
housing program had some interest in the past. Commitment to industrial development
perhaps purchase of land for industrial development.
Payable 1999, the HRA wiIl receive its first tax increment from the Downtown
R.edevelopment District. The increment in 1999 is largely due to increased market value
and some new construction. Initial increment estimates is $46.000. Rick estimated a
district deficit of about $90,000 in the year-end report mostly due to acquisition of
property within the North Anchor.
Remember, each project within the District will be treated independently and at least 90%
of the increment must be used to finance the costs of correcting conditions (substandard)
that allow designation of a redevelopment district. Increment from the mall will begin in
2000 and a certain amount of the annual increment is to retire the debt service of the
$500,000 note and $22,500 of the HRA's $45,000 was earmarked toward the community
center.
We see in the future other stand-alone redevelopment projects such as the Amoco station,
Ferrell Gas, and the North Anchor sites. Redevelopment projects receiving TIP
assistance should incur costs for acquisition of substandard parcels, demolition, relocation,
or site improvements.
When the district was created, it was the intent to use part of the increment for
reconstruction of Walnut Street or the elements of benches, trees, decorative lightning,
etc. As the City prepares for reconstruction of Walnut Street along with the construction
and completion of the Community Center, the HRA may wish to discuss it intent to
earmark dollars for Walnut Street or its added elements. Again, the 90% rule must be
reviewed.
Attorney Bubul imorms me a bill is before the House and Senate Committees stating tax
increment could not be used for recreational, cultural, and social publicly owned facilities.
The HRA' s $22,500 dollars were earmarked for the community center, not pledged.
Existing established districts with pledged expenditures would not be affected. TIF dollars
for the community center plaza is not recommended.
1
.
HRA Agenda - 5/12/99
If meets the 90% rule, is the HRA willing to earmark dollars for Walnut Street or its
elements? This would give staff direction.
.
.
2
~
--
BRA Agenda - 5/12/99
9.
Consideration of an update on the tax increment reimbursement for TIF District No. 1-18.
A. Reference and Background:
TIF District No. 1-18 was approved on November 28, 1994, and the request for
certification to the County was dated March 21,1995. Upon receiving no tax increment
from the County for payable 1998, research indicated the district was never certified as
requested. Although the County dated the Certification Notice as of March 23, 1995, the
actual date of certification was March 13, 1999.
The life duration of a Soils District is 12 years from date of approval. The HRA agreed to
TIF assistance in the amount of $102,000 (interest-free) for soils corrections to
Residential Development, Inc. (RDI). This a pay-as-you-go financial method.
The BRA will receive tax increment for payable 1999. According to preliminary
information from the County, it is estimated the lIRA will receive $95,322.12 oftax
increment less the State fee and assuming all tax statements within the district are paid.
Per the Private Redevelopment Contract, for payable 1999 the developer would not
receive an amount greater than the aggregate sum payable in 1998 and 1999 ( aggregate
sum either $81,600 or $51,000.) Payment of either $81,600 or $51,000 is subject to
meeting certain requirements as of July 1, 1999, per the Contract. Based on this
preliminary information, it appears 1999 tax increment is sufficient to pay RDI the amount
due them to date according to the Contract.
Upon receiving a print-out from the County for taxes payable 1998 as to the estimated
market value for the parcels identified as Phase I of River Mill and using payable 1998
classification rates, 1995 tax rate, and per the Redevelopment Contract, it is estimated
RDI was entitled to approximately $40,791.96 (assuming all property tax statements paid)
for payable 1998.
Based on the above estimates, it is up to the developer (RDI) to approach the County
regarding loss of interest on the approximate $40,791.96. I have advised both RDI and
the County about the amount of entitled tax increment.
Unless the BRA disagrees with the proposed payment of$81,600 or $51,000 for payable
1999, no action is necessary.
1
.
D. Supporting Data:
Copy of the resolution for adoption.
.
.
HRA Agenda - 5/12/99
2
.
.
.
10.
HRA Agenda - 5/12/99
Consideration to authorize payment of monthly HRA bills.
A. Reference and Background:
The enclosed bill is for costs associated with post closing issues relating to the Community
Center; therefore, the City costs should be authorized by the City Council and not the
HRA.
.
KENNEDY & GRAVEN
Chartered
200 South Sixth Street, Suite 470
Minneapolis, MN 55402
(612) 337-9300
CLIENT SUMMARY April 7, 1999
~
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
$ 495.85
$ 468.05
Disbursements:
$
27.80
Balance Due:
$
495.85
.
(0.-' I
.
.
.
KENNEDY & GRAVEN
Chartered
200 South Sixth Street, Suite 470
Minneapolis, MN 55402
(612) 337.9300
April 7, 1999
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
MNI90-00078: Community Center-Post Closing Issues
Invoice # 29411
Through March 31, 1999
For All Legal Services As Follows:
03/01/99 DJG
03/03/99 SJB
03/04/99 SJB
03/08/99 SJB
03/1 0/99 DJG
03/17/99 BMB
03/18/99 DJG
Draft letter to D Dalen re EDA loans
Phone call with R Wolfsteller re task force issue
Phone call with R Wolfsteller re tank farm issue
Review OSA letter
Review auditor's report and draft letters re same
Fax from DJG; review draft resolution; phone call
with D Greensweig
Review and revise disbursement resolution
Total Services:
For All Disbursements As Follows:
03/08/99
03/08/99
03/09/99
Photocopies
Postage
Fax
Total Disbursements:
Total Services And Disbursements:
1.10
0.50
0.20
0.25
0.80
0.50
0.30
$
$
$
13 2.00
69.50
27.80
34.75
96.00
72.00
36.00
468.05
7.20
1.10
19.50
27.80
495.85
IO/V
.
11.
.
.
lIRA Agenda - 5/12/99
Consideration of Executive Director's Report.
a) State Auditor's request - Attached is a letter from the State Auditor asking for the
TIF Plan, modified TIF Plan and appropriate resolution for TIF District Nos. 1-7
(NAWCO) and 1-8 (NSP). The request is due to district decertification and we
foresee no problems. The requested information was submitted.
b) Project Updates:
200,000 sq ft building/20 acres - Developer working on financing, still very much
interested in Monticello. City Council o.k. with jobs and wages. Perhaps on June
BRA agenda. Landowners prefer to sell the property south of Chelsea first, the
d'eveloper first choice is property north of Chelsea (freeway exposure). Rick and 1
met with Charlie Pheffer to bring him into the proposed project.
75/100 acre industrial request - The city prospect team has not visited this
company. The business contact person indicated new company data showed
development may be premature.
100+ acre request _ Working with a creditable real estate broker. Monticello made
the short list in the site selection process for this manufacturing company. Council
committed to physically having the infrastructure in place to the SW corridor site
by Fall 2000. Broker is coming to view site this week.
35,000-40,000 sq ft office and manufacturing building (Phase 1)/7 acres - Met with
this company. 75 jobs within two years. $10 to $16 per hour without benefits.
Phase II a second 35,000 sq ft and total of 200 jobs. Prospect team scheduled to
visit the Minneapolis facility on May 12. Looking at Big Lake, Becker, Maple
Grove, and Wisconsin. Request TIF. This is an expansion project.
Brad Larson's Planning Commission items passed. Has not heard on tax credit
approval.
Developer looking at redevelopment along 6 Street West.
c) Allied Companies, Inc - Received check from Allied Companies for administrative
costs in excess of $5,000 for establishment ofTIF District No. 1-23~
d) Barry Fluth _ See attached letter of apology and check reimbursing duplicated legal
fees associated with the K-Mart condemnation.
e) Public Law Update Conference - June 4, 1999. "-
t)
Copy ofletter from DAT.
.
.
.
HRA Agenda - 5/12/99
g)
Manufacturing Engineers Trade Show - I attended the Trade Show in the
Minneapolis Convention Center on May 4. I was impressed by its size and the
high technically of the industry. The only booth of marketing efforts that I saw
was from the State of Wisconsin Economic Development. There was a table with
some marketing information from two Minnesota communities. I left some of our
marketing brochures. I collected some business cards with the intent to mail
brochures. My mission from the marketing group was to attend for purpose of
observation
,/\)P.~~R~ 0":
'~"i ~~,,,'..'bV"~"'~
.. ..... ...~
' +"~ . ..:',
~~(;"'~::';'>r "~\Z."
;\~,.::., ~::: ..~'---~!.f!
~.s>' .-. ..;:,."Y.
.";':">:.:.,0~e.:',>~,>.,
STATE OF MINNESOTA
OFFICE OF THE STATE AUDITOR
JUDITH H. DUTCHER
STATE AUDITOR
SUITE 400
525 PARK STREET
SAINT PAUL, MN 55103~2139
Please reply to:
Tax Increment Financing Division
505 Spruce Tree Centre
1600 University Ave. W.
St. Paul, MN 55104
(651) 296-2551 (Voice)
(651) 296-4755 (Fax)
stateauditor@osa.state.mn.us (E-Mail)
1-800-627-3529 (Relay Service)
TIF Division Phone: (651) 642-0767
TIF Division Fax: (651) 642-0769
Direct Dial: (651) 642-0824
April 21, 1999
"
Rick Wolfsteller, Administrator
City of Monticello
PO Box 1147
Monticello, MN 55362
Re: TIF District 1-7 NA WCO
TIF District 1-8 NSP
.
Dear Mr. Wolfsteller:
The Office of the State Auditor is reviewing the 1997 tax increment financing (TIF) reports for the
above TIF districts in the City of Monticello. I am in the process of verifying the decertification dates
for these economic development districts. To complete my verification, I need you to send copies of
the.!!F plans for these districts, the most recent modifiS!tions of these TIF plans, if any, and copies
of the resolutions that 3,'proved these TIF p~ans. Please send these documents to my attention.
If you have any questions regarding this matter, please don't hesitate to call me at (651) 642-0824.
Your prompt attention to this matter would be greatly appreciated.
Sincerely,
9~ ( wM
David C. Wilwert
Tax Increment Financing Division
.
/1,,(
i~
Recycled paper with a minimum of
15% post-consumer waste
re
An Equal Opportunity Employer
April 30, 1999
MONTICELLO
David C. Wilwert
Tax Increment Financing Division
505 Spruce Tree Centre
1600 University Avenue West
S1. Paul, MN 55104
Dear Mr. Wilwert:
.
Per your request of April 21, 1999, enclosed are copies of the TIP Plan for TIP District No. 1-7
and 1-8, the most recent modification of the TIP Plan for TIP District No. 1-7, and copies of the
resolutions that approved these plans.
Should you have any questions, please feel free to call Mr. Wolf steller at 612-295-2711 or myself
at 612-271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
CJ~ V~O\~~
Ollie Koropchak
Executive Director
Enclosures
c: Rick W olfsteller, City Administrator
File
.
fI~~
Monticello City Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245. (612) 295-2711. Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362. (612) 295-3170. Fax: (612) 271-3272
.
'i::! H
<;2 ~li
'l""" ~ co :~~
N N tEl
'l""" 0
'l""" aJ "'" '"
N ;a
0 .......
'0
.- 0
fh I
I
I
I
1
1
I ~
I U'1
0"1 I .J
0"1 I en
- I
N I n.J
C'l 0 ....
- 0 ~
<' .- Ul
....
....
. ....
Ql ~
1ii C U1 ~
0 H .., .
...:1 U1 =
~ 0....
U U n.J
H ....
~ Cll....
z :> ..
0 ..-1 _
::c .., ....
r:... tOea
~Ul
.- 0 ~L.f1
(D
001- >< '.-10
~e.c....
I- I- ~ t::n.J
Ire..., H ..-1
UJIr\t') U e ....
"->-Il>
~I-z 'tl 0
"-5~ ~..... to .... I
uJgul ..so ... ..
st 0 -
UJ Ir
:X:OUJ >-::E ....
zo~
<:go ~o
:>NIr
.
(/-3
.
.
Apri122,1999
--
MONTICELLO
Jean ZelImann
First American Title Insurance Company
1900 Midwest Plaza West
801 Nicollet Mall
Minneapolis, MN 55402-2504
Re: Reimbursement for K-Mart Condemnation fees
Dear Jean:
First, thank you for the payment of$4,716.69, the amount due according to the Housing and
Redevelopment Authority (HRA) letter of January 13, 1999.
Secondly, enclosed is a check in the amount of$I,327.35. Upon preparation of the 1998 year-
end financial reports for the HRA, a deposit in escrow in the amount of $3,000 from BBF
Properties, Inc. for legal fees associated with the K-Mart Condemnation or Declaration of
Reciprocal Easements was noted. In May 1998, BBF Properties, Inc. received a check from the
HRA in the amount of$I,672.65, the balance between the incurred legal fees and the $3,000
deposit. The invoice of January 13, 1999, included a duplication of the $1,327.35 legal fees.
Please accept my apology for the oversight.
Should you have any questions, please do not hesitate to call me at 271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO
()~ ~q ~ ~i)~
Ollie Koropchak
Executive Director
Enclosure
c:
TIF District No. 1-22 File
{/-1
Monticello City Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245 . (612) 295-2711 . Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd.. Monticello, MN 55362 . (6 J 2) 295-3170 . Fax: (612) 271-3272
C H A
R T E R
E 0
470 Pillsbury Cenrer
200 Sourh Sixth Street
Minneapolis MN 55402
(612) 337-9300 telephone
(612) 337-9310 fax
http://www.kennedy-graven.com
Kennedy
..
.
.
A service to the clients and friends of
Kennedy & Graven. This flyer is your
personal invitation to attend.
June 4, 1999
Edinburgh Golf Club
Brooklyn Park, MN
Agenda - Public Law Update
Moderator: Dave Kennedy
8:00 - 8:30 Registration
8:30 - 9:45 Legislative Update: 1999 Session in Review.
Presenters: Bob Long and John Choi
9:45 - 10:00 Break
10:00 - 11 :45 llF Topics: When the State Auditor Calls.
Presenters: Ron Batty - Kennedy & Graven and Sid Innuzn - Ehlers & A~sociates
Case law: Who Are These Judges - Why Are They Saying These Awful Things About Us?
Presenters: Jim Thomson and Dani Deering
Staying Out of Court and Winning: What Cities Need to Know About Certiorari.
Presenter: Karen Cole
429 Improvement Projects: We Finally Met a Special Assessment We Don't Uke.
Presenters: Charlie LeF evere
FMLA: Turning Over A New Leave.
Presenters: Bob Alsop and Karen Carlson
12:00 - 1:00 Lunch - Some tee times are available after lunch, but it costs a little more.
DEADLINE MAY 14, 1999
Directions to Edinburgh:
A $30 fee per person is required to cover
expenses. Green fees are additional.
For reservations and golf times call
(612) 337-9300 or (800) 788-8201.
2.75 Continuing Legal Education Credits
applied for.
.
Monticello
Community Partners
po. Box 984 · Monticello. MN 55362
612-295-0999
April 22, 1999
City Council
City of Monticello
PO Box 1147
Monticello MN 55362
Dear Mayor and Council Members:
Re: Recommendation for appointment to the Monticello Desion Advisory Team
.
In keeping with the CCD Ordinance, the Downtown Revitalization Plan, and the Bylaws of the
Monticello Design Advisory Team (as approved by DA T).. members of DA T have identified a
person who can bring a fresh perspective and new skills to the Design Advisory Team. The
DA T currently has six members. DA T bylaws allow for up to seven members.
At its March 17th meeting, the Design Advisory Team nominated for your consideration Dennis
Sullivan for appointment to the Design Advisory Team. The Monticello Community Partners
Board of Directors endorsed the nomination at its March 24th-meeting-. Mr. Sullivan is a
manufacturing engineer with who can bring over 20 years of business experience to the Team.
His skills include strategic planning, research and development, problem solving, project
coordination and information technology. DA T believes that Mr. Sullivan's business
background will add to the Team's ability to work effectively with developers and property
owners, and contribute to its understanding of the economic aspects of design considerations.
Please feel free to call me or any Design Advisory Team member if you have any questions.
Thank you for your consideration.
~\^vl~
Rita Ulrich
MCP Director and DA T Secretary
cc:
Dennis Sullivan
DA T members
MCP Board members
EDA, HRA, Parks and Planning Commission Chairs
Rick Wolfsteller
Jeff O'Neill
Ollie Koropchak
Fred Patch
.
{I-/P
.
1.
2.
3.
4.
5.
. 6.
AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, May 12, 1999 - 7:00 p.m.
City Hall
MEMBERS: Chair Bob Murray, Vice Chair Damn Lahr, Brad Barger, Steve Andrews, and Dan
Frie.
COUNCIL LIAISON:
Brian Stumpf
STAFF:
Treasurer Rick Wolfsteller, Executive Director Ollie Koropchak, and Recording
Secretary Nancy Whalen.
Call to Order.
Consideration to approve the April 14, 1999 HRA minutes.
Consideration of adding agenda items.
Consent Agenda.
Consideration of items removed from the consent agenda for discussion.
Consideration to review HRA letter of 30-day notice to terminate House Lease for 3
Walnut Street for authorization to terminate Lease.
7. Consideration to adopt resolution approving decertification ofTIF District No. 1-8.
8. Consideration to discuss HRA Goals and Objectives for 1999.
.9. Consideration of an update on the tax increment reimbursement for TIF District No. 1-18.
.
10. Consideration to authorize payment of monthly HRA bills.
11. Consideration of Executive Director's Report.
12. Consideration of Committee Reports:
a) City Council - Brian Stumpf
b) Community Center - Bob Murray
c) MCP - Steve Andrews
d) Marketing - Brad Barger and Darrin Lahr
e) North Anchor - Bob Murray and Dan Frie
13.
Other Business.
14. Adjournment.
.
.
.
MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, April 14, 1999 - 7:00 p.m.
City Hall
MEMBERS PRESENT:
Chair Steve Andrews, Vice Chair Bob Murray, Brad Barger, Damn
Lahr, and Dan Frie.
COUNCIL MEMBER ABSENT:
Brian Stumpf
STAFF PRESENT: Treasurer Rick Wolfsteller and Executive Director Ollie Koropchak.
1. Call to Order.
Chair Andrews called the HRA annual meeting to order at 7:00 p.m.
2.
Consideration to approve the February 10. 1999 HRA minutes.
Bob Murray made a motion to approve the February 10, 1999 HRA minutes. Seconded
by Brad Barger and with no corrections or additions, the minutes were approved as
written.
3.
Consideration of adding agenda items.
Two items were added to the agenda. A request from Kitty Baltos, Chamber of
Commerce, was added under Item 11 a.
Secondly, Ben Smith, a previous HRA Commissioner, informed commissioners that the
Monticello Senior Alliance has disbanded. The Alliance whose members were local
individuals was formed with the intent to own and manage Mississippi Shores. The HRA
paid for a senior housing market study which sat the stage for the construction of
Mississippi Shores. The study indicated the need for independent market rate and
low/moderate income-level senior housing. In order to complete the financial package
(need for additional equity), Presbyterian Homes was brought into the project and became
the owner and manager. In addition, the Hospital donated the land, the City issued
housing bonds, and the lIRA provided TIF assistance. Ben said he was appointed as the
HRA representative to the Alliance upon his resignation from the HRA and due to a
"conflict of interest" issue for Commissioners Larson and Barger. The facility has been
100% occupied from date of opening and has an outstanding debt of $3,800,000. The
1
.
.
.
lIRA Minutes - 4/14/99
completed project was well received by the community. They anticipate some impact
from the St. Benedict's project~ however, minor. Upon retirement of the bonds, the City
has the option to purchase.
4. Consent Agenda.
a) Consideration to approve the Certificate of Completion for Blue Chip.
Recognizing the site improvements of landscaping and hard-surfacing are difficult to
complete during Minnesota winters and to avoid tabling the item, Bob Murray made a
motion to approve the Certificate of Completion for Blue Chip subject to issuance of the
certificate of occupancy permit by the Building Department. Dan Frie seconded the
motion and with no further discussion, the motion passed. Yeas: Murray, Frie, Andrews,
and Lahr. Nays: None. Abstention: Barger.
5. Consideration of items removed from the consent agenda for discussion.
Not applicable.
6.
Consideration to elect 1999 lIRA officers and appoint committee representatives.
Following the agreed upon progression of the vice chair moving up to chair, Damn Lahr
made a motion to elect Bob Murray as chair of the lIRA for 1999. With no other
nominations, Dan Frie seconded the motion. Yeas: Lahr, Barger, Andrews, and Frie.
Nays: None. Abstention: Murray. Motion passed.
Steve Andrews made a motion to nominate, cease nominations, and elect Damn Lahr for
vice chair of the lIRA for 1999. Brad Barger seconded the motion. Yeas: Andrews,
Barger, Murray, and Frie. Nays: None. Abstention: Lahr. Motion passed.
Damn Lahr made a motion to appoint Rick Wolfsteller as Secretary-Treasurer of the
lIRA for 1999. Steve Andrews seconded the motion and with no further discussion, the
motion passed unanimously.
Bob Murray made a motion to appoint the following commissioners: Steve Andrews to
MCP, Bob Murray to Community Center Small Group, Damn Lahr and Brad Barger to
Marketing Committee, and Bob Murray and Dan Frie to the North Anchor. Damn Lahr
seconded the motion and with no further discussion, the motion passed unanimously.
7.
Consideration to review and accept the Year-End Financial Reports for the lIRA General
Fund and TIF Fund.
lIRA Treasurer W olfsteller informed commissioners that the TIP Debt Service is a
2
.
.
.
HRA Minutes - 4/14/99
summary of the history of bonds sold: It notes the original bond debt, outstanding bond
debt, the payments due in 1999, and the estimated revenue remaining to collect based on
1998 increments. Each year revenue is transferred from the HRA Fund into the TIF Fund
to cover debt service.
The HRA Fund is a summary of the 25 TIF Districts. Wolfsteller noted a few year ago
Mark Ruff suggested to transfer dollars from District No. 1-3 to No. 1-4 in order to cover
the $140,000 HRA deficit. Payback of internal loans are recycled into the non-restrictive
fund and today has a balance of $41,000. W olfsteller estimated the overall total amount
of internal payback to be about $337,000.
Amortization schedules for the $80,000 Polycast and Fay-Mar notes will be ran and the
districts decertified early to eliminate the HAeA aid reduction. The 10%-20% pooling
dollars can be used for likewise expenditures (industrial) outside the districts, excess tax
increment must be returned to the county. TIF District Nos. 2, 5, and 6 produce the
greatest amount of cash for the HRA and the increment is the least restrictive.
Treasurer Wolfsteller reported a current balance of $41,000 in non-restrictive funds and
anticipates with the payback ofthe Polycast and Fay-Mar notes a balance of$210,000.
The restrictive fund balance is $270,000.
Brad Barger made a motion to accept the 1998 year-end financial reports of the HRA
General Fund (non-restrictive) and the TIF Fund (restrictive). Bob Murray seconded the
motion and with no further discussion, the motion passed unanimously.
8.
Consideration to authorize oavment of monthly HRA bills.
Bob Murray made a motion to authorize payment of the monthly HRA bills. Steve
Andrews seconded the motion and with no further discussion, the motion passed
unanimously.
9. Consideration of Executive Director's Report.
a) Bus Tour and Golf Outing - The commissioners authorized the Executive Director
to plan the second annual bus tour.
h) The HRA gave the O.K. to proceed with negotiations on the proposed 175,000 sq
ft print industrial building. Projected tax increment and job and wage goals were
within range; however, the HRA requested more information about the company
and project prior to preliminary approval.
HRA commissioners accepted the report.
3
~~~1TOg O'er,
Z~r~y~D4Np~ ~ ..
~~ ~ ~ ~,
;o
~.
o,.
~:;~~ '
4~...
NDITH H. DUTCHER
STATE AUDITOR
STATE OF MINNESOTA
OFFICE OF THE STATE AUDITOR
SUITE 400
525 PARK STREET
SAINT PAUL, MN 55103-2139
Please reply to:
Tax Increment Financing Division
505 Spruce Tree Centre
1600 University Ave. W.
St. Paul, MN 55104
(651) 296-2551 (Voice)
(651) 296-4755 (Fax)
stateauditor@osa.state.mn.us (E-Mail)
1-800-627-3529 (Relay Service)
TIF Division Phone: (651) 642-0767
TIF Division Fax: (651)642-0769
Direct Dial: (651) 642-0824
Apri121, 1999
Rick Wolfsteller, Administrator
City of Monticello
PO Box 1147
Monticello, MN 55362
Re: TIF District 1-7 NAWCO
TIF District 1-8 NSP
Dear Mr. Wolfsteller:
~ The Office of the State Auditor is reviewing the 1997 tax increment financing (TIF) reports for the
above TIF districts in the City of Monticello. 1 am in the process of verifying the decertification dates
for these economic development districts. To complete my verification, I need you to send copies of
the TIF Qlans for these districts, the most recent modifications of these TIF plans, if any, and copies
of the resolutions that approved these TIF plans. Please send these documents to my attention.
If you have any questions regarding this matter, please don't hesitate to call me at (651) 642-0824.
Your prompt attention to this matter would be greatly appreciated.
Sincerely,
David C. Wilwert
Tax Increment Financing Division
11-I
Recycled paper with a minimum of
15% post-consumer waste An Equal Opportunity Employer
Apri130, 1999
MONTICELLO
David C. Wilwert
Tax Increment Financing Division
505 Spruce Tree Centre
1600 University Avenue West
St. Paul, MN 55104
Dear Mr. Wilwert:
k
Per your request of Apri121, 1999, enclosed are copies of the TIF Plan for TIF District No. 1-7
and 1-8, the most recent modification of the TIF Plan for TIF District No. 1-7, and copies of the
resolutions that approved these plans.
Should you have any questions, please feel free to call Mr. Wolfsteller at 612-295-2711 or myself
at 612-271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO, MINNESOTA
Ollie Koropchak
Executive Director
Enclosures
c: Rick Wolfsteller, City Administrator
File
~i-v •
Ntonncetto Lity Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245 • (612) 295-271 I • Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 • (612) 295-3170 • Fax: (612) 271-3272
N
r
r
N_
O
°m
rn
rn
N
f`i
q
N
d'
N
O
r
r
D
C
a
r=;
v
H
H
z
0
w
m o
~Q
~ ~
so ; H
WaY~ H
~ U
aj~
W~ ~
.y0
UQ
= O W 0 y
O
Q O ~
~ f V ~ c.O
•
l
(L
.-~
1"f1
c0
.a
.-~
[`-
N
~~
~~
1 ru
.a
> -~
~ •:
~ r.
~~
~~
N
N t!1
~ ~
~ ti
''~ a
~ ~
V _
O
is
w
11-3
MONTICELLO
Jean Zellmann
First American Title Insurance Company
1900 Midwest Plaza West
801 Nicollet Mall
Minneapolis, MN 55402-2504
Re: Reimbursement for K-Mart Condemnation fees
Dear Jean:
First, thank you for the payment of $4,716.69, the amount due according to the Housing and
Redevelopment Authority (HRA) letter of January 13, 1999.
Secondly, enclosed is a check in the amount of $1,327.35. Upon preparation of the 1998 year-
end financial reports for the HRA, a deposit in escrow in the amount of $3,000 from BBF
Properties, Inc. for legal fees associated with the K-Mart Condemnation or Declaration of
Reciprocal Easements was noted. In May 1998, BBF Properties, Inc. received a check from the
HRA in the amount of $1,672.65, the balance between the incurred legal fees and the $3,000
deposit. The invoice of January 13, 1999, included a duplication of the $1,327.35 legal fees.
Please accept my apology for the oversight.
Should you have any questions, please do not hesitate to call me at 271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO
Ollie Koropchak
Executive Director
April 22, 1999
~-~
L~
Enclosure
c: TIF District No. 1-22 File
•
II-~
Monticello City Hall, 250 E. Broadway, PO Box 1147, Monticello, MN 55362-9245 • (612) 295-271 l • Fax: (612) 295-4404
Office of Public Works, 909 Golf Course Rd., Monticello, MN 55362 • (612) 295-3170 • Fax: (612) 271-3272
Ke nn ed y
G rav en
470 Pillsbury Center
200 South Sixth Street
Minneapolis MN 55402
(612) 337-9300 telephone
(612) 337-9310 Eax
http: //www. kennedy-graven. co m
A service to the clients and friends of June 4, 1999
Kennedy & Graven. This flyer is your Edinburgh Golf Club
personal invitation to attend. Brooklyn Park, MN
Agenda -Public Law`Update
Moderator: Dave Kennedy
8:00 - 8:30 Registration
8:30 - 9:45 Legislative Update: 1999 Session in Review.
Presenters: Bob Long and John Choi
9:45 -10:00 Break
10:00 -11:45 T1F Topics: When the State Auditor Calls.
M Presenters: Ron Batty -Kennedy & Graven and Sid Inn~ran -Ehlers & Associates
Case Law: Who Are These Judges -Why Are They Saying These Awful Things About Us?
Presenters: Jim Thomson and Dani Deering
Staying Out of Court and Winning: What Cities Need to Know About Certiorari.
Presenter: Karen Cole
429 Improvement Projects: We Finally Met a Special Assessment We Don't Like.
Presenters: Charlie LeFevere
FMLA: Turning Over A New Leave.
Presenters: Bob Alsop and Karen Carlson
12:00 - 1:00 Lunch - Some tee times are available after lunch, but it costs a I'~ttle more.
A $30 fee per person is required to cover
expenses. Green fees are additional.
For reservations and golf times call
(612) 337-9300 or (800) 788-8201.
DEADLINE MAY 14,1999
2.75 Continuing Legal Education Credits
applied for.
Monticello
Communi Partners
FO. Box 984 • Monticello MN
55362
612-295-0999
April 22, 1999
City Council
City of Monticello
PO Box 1147
Monticello MN 55362
Dear Mayor and Council Members:
Re: Recommendation fora ointment to the Monticello Desi n Adviso Team
In keeping with the CCD Ordinance, the Downtown Revitalization Plan, and the Bylaws of the
Monticello Design Advisory Team (as approved by DATA members of DAT have identified a
person who can bring a fresh perspective and new skills to the Design Advisory Team. The
DAT currently has six members. DAT bylaws allow for up to seven members.
At its March 17`h meeting, the Design Advisory Team nominated for your consideration Dennis
Sullivan for appointment to the Design Advisory Team. The Monticello Community Partners
Board of Directors endorsed the nomination at its March 24t" meeting. Mr. Sullivan is a
manufacturing engineer with who can bring over 20 years of business experience to the Team.
His skills include strategic planning, research and development, problem solving, project
coordination and information technology. DAT believes that Mr. Sullivan's business
background will add to the Team's ability to work effectively with developers and property
owners, and contribute to its understanding of the economic aspects of design considerations.
Please feel free to call me or any Design Advisory Team member if you have any questions.
Thank you for your consideration.
~ ~~~~
Rita Ulrich
MCP Director and DAT Secretary
cc: Dennis Sullivan
DAT members
MCP Board members
EDA, HRA, Parks and Planning Commission Chairs
Rick Wolfsteller
Jeff O'Neill
Ollie Koropchak
Fred Patch
//-~
w ~'_:
d2 ''JE1 11 ~ ~CHI'I L} ILLI~~ ~i I IJJU ~ 000 OLOOJvalue -5400.000 Note PV at 7.5`Y.
CITY OF MONTICELLO, MINNESOTA
. v rr~if r. AIL I-TT f~• CII L`T AW
6aae Project Captured Semi-Annual Admin. Sem~Annual 50°~ Local Year9
PERIO D 6EGINNING Tax Tax lax Gross Tax at Net Tex o1 Match at 01 PERI OD ENDING
Yrs. Mlh. Y-. Capacity Cepaclry CaQecitY Increment 10.009: Increment Increment 5.009'° Increment Yrs, Mth. Yr.
_
0
0 ~02-01 1998 146
30 30,148 -_
0 0 0 0 0 0 0.0 0.5 08-01 1998
.
5
0 08-01 1988 , 0 0 0 0 0 0.0 1.0 02.01 1999
.
0
1 02.01 1999 146
30 30,146 0 0 0 0 0 0 0.0 1.S 08-01 1988
,
1
5 08.01 1999 , 0 0 0 0 0 0.0 2,0 02-01 2000
.
2.0 02.01 2000 30,146 116,050 87,904 49.226 (4,923) 4a,30x 22,152 2,461 0.5 2,5 08.01 2000
25 08.01 2000 49.226 (4,923) 44,304 22,162 2,481 1.0 3.0 02.01 2001
3
0 02-01 2001 30,146 116,050 67,904 49,22fi (4,923) 44,304 22,162 2,481 1.5 3.5 08.01 2001
.
3
5 08.01 2001 49,226 (4,923) 44,304 22,152 2,461 2.0 4.0 02-01 2002
.
d
0 02-01 2002 30,1x6 118,050 87,904 49,228 (4.923) 44,304 22,152 2,x61 2.5 4.5 08.01 2002
.
4
5 08.01 2002 49,228 (4,923) 4x,304 22,152 2,461 3.0 5.0 02-01 2003
.
5.0 02.01 2003 30,146 118,050 87,904 49,228 (4,923) da,30a 22,152 2,461 3.6 5.b 08-01 2003
5
5 08-07 2003 49,226 (4,923) 44,304 22,152 2,481 4.0 6.0 02.01 2004
.
6
0 02-Ot 2004 30,146 118,050 87,90x 49,226 (4,923) 44,304 22.152 2,481 4.5 6.5 08-01 2004
.
6
5 08-01 2004 49,226 (4,923) 44,304 22.152 2.461 5.0 7.0 02-01 2005
.
7
0 02-01 2005 148
30 118,050 67,904 49,226 (4,923) 44.304 22,152 2,x61 5.5 7.5 08-01 2005
,
7.5 08-01 2005 , 49.226 (4,923) 44,304 22,152 2,461 6.0 8.0 02-Ot 2006
8
0 02.01 Zoos 1x6
30 118,050 67,904 x9,228 (x,923) aa,30a 22,152 2,461 6.6 8.5 08.01 2008
.
5
8 08-01 2006 , 49.228 (4,923) 44,304 22,152 2,461 7,0 9.0 02-01 2007
.
0
9 02-01 2007 30,146 118,050 87,904 49,226 (4,923) 44,304 22,162 2,x61 7,5 9.6 08.01 2007
.
9
5 0&01 2007 49,226 (4,923) 44,304 22,152 2,481 8,0 10.0 02-01 2008
.
0
10 02-Ot 2008 30,148 118,050 87,904 49,226 (4,923) 44,304 22,152 2.481 6.5 10.5 08.01 2008
.
10
5 08-01 2008 49,226 (4,923) 44,304 22.152 2,461 9.0 11.0 02-01 2009
.
11
0 02-01 2008 146
30 118,050 87,904 49,226 (4,923) 44.304 22,152 2,461 9.5 11.5 08-01 200D
.
11
6 08.01 2009 , 49,228 (4.923) 44,304 22,152 2,461 10.0 12.0 02-01 2010
.
12,0 02.01 2010 116
30 118,050 87,904 49,228 (4.923) 44,304 22,152 2,461 10.5 12.5 08-01 2010
5
12 08-01 2010 , 49,228 (4,923) da,30a 22,152 2,461 11,0 13.0 02-01 2011
.
13
0 02-01 2011 146
30 118,050 87,904 49,228 (x,923} 44,304 22,152 2,481 11.5 13.5 08.01 2011
.
13.5 08-01 2011 , x9,228 (x,923) x4,304 22,152 2,461 12.0 14.0 02.01 2012
14
0 02-01 2012 30,148 118,050 87,904 x9,228 (4,923) 44,304 22,162 2,461 12.5 14.5 08-01 2012
.
14
5 08-01 2012 x9,226 (4,823) 44,304 22,152 2,481 13.0 15.0 02.01 2013
.
15
0 02-01 2013 30,146 118,050 87,804 49,226 (4,923) 44,304 22,152 2461 13.5 15.5 OB•01 2013
.
15.5 OB-01 2013 x9,226 (x,923) 44,304 22,152 2.x81 14.0 18.0 02-01 Zola
16.0 02-01 2014 30,148 118,050 87,804 49,226 (4,923) 44,304 22,152 2,461 14.5 16.5 08-01 2014
16
5 08-01 2014 49,226 (4,923) 44.304 22,152 2,481 15.0 17.0 02.01 2015
.
17.0 02-01 2015 30,148 118,050 87,804 49,228 (4,923) 44,304 22,152 2,481 15.5 17.5 OB-Oi 2015
5
17 08.01 2015 49,228 (4,923) 44,304 22,152 2,461 16.0 18.0 02-01 2016
.
0
18 02.01 2016 30,146 118,050 87.904 49,228 (4,923) 44,304 22,152 2,461 16.5 18.5 08.01 2016
.
18
5 OB-01 2016 x9,228 (x,923) 44,304 22,152 2,461 17.0 19.0 02.01 2017
.
19.0 02-01 2017 30,146 118,050 87,904 49,226 (4,923) 44,304 22,152 2,461 17.5 19.5 08-01 2017
19
5 08-01 2017 x9,226 (x,923) 44,304 22,152 2,481 18.0 20.0 02.01 2018
.
0
20 02-01 2018 30,146 118,050 87,90a 49,226 (x,923) x4,304 22,162 2,401 18,5 20.5 08.01 2018
.
5
20 08-01 2018 49,226 (4,923) 44,304 22,152 2,481 19.0 21.0 02.01 2019
.
21
0 02-01 2019 30,148 116,050 87,904 49,226 (4,923) 44,304 22,152 2,461 19.5 21.5 08-01 2019
.
21.5 08-01 2019 49,226 4,923 44,304 22,152 2,461 20.0 220 02-01 2020
Tolals 1,989.050 196,905 1,771~1a5
~ Y 886,0'T2
~
Present Values 873.126 87,313) 785,814 992,907
Hers end Aseoda~w, inc. o1nE199 Pege 2
'1
~ 1.
04/19/99 DRAFT [REVISOR ) JMR/MR TAXBILL ~:
1 used to meet the requirements for qualifying local contributions
2 for later ears. No i
Y nterest or investment earnings may be
3 credited or-imputed to the account, except those (A) actually
4 paid by the municipality out of its unrestricted funds or by
5 another person or entity, other than a developer as used in
6 section 469.1766, and (B) used as required for a qualifying
7 local contribution.
8 (6) If the state contributes to the project costs through a
9 direct grant or similar incentive, the required local
10 contribution is reduced by one-half of the dollar amount of the
11 state grant or other similar incentive.
~t
12 Sec. 2. Minnesota Statutes 1998, section 469.176,
13 subdivision 4g, is amended to read:
14 Subd. 4g. [GENERAL GOVERNMENT USE, PROHIBITED.) (a) These
15 revenues shall not be used to circumvent existing levy limit
16 law. No revenues derived from tax increment from any district,
17 whether certified before or after August 1, 1979, shall be used
18 for the acquisition, construction, renovation, operation, or
19 maintenance of a building to be used primarily and regularly for
20 conducting the business of a municipality, county, school
21 district, or any other local unit of government or the state or
22 federal government or for a commons area used as a public park,
23 or a facility used for social, recreational, or conference
24 pur_. This provision shall not prohibit the use Qf revenues
25 derived from tax increments for the construction or renovation
26 of a.parking structure=-a-eommona-area-t:aed-aa-a-pab~re-perk=-or
• 27 a-faei~sty-aced-for-aoeia~T-reereationa~T-or-conference-ps~rpoaea
28 and-not-pr~mari~y-for-eondnetsng-the-beaineaa-of-the
29 mun=espa~tty.
30 (b) If any publicly owned facility used for social,
31 recreational, or conference purposes and financed in whole or in
32 part from revenues derived from a district is operated or
33 managed by an entity other than the authority,~the operating and
34 management policies of the facility must be approved by the
35 governing body of the authority.
• 36 c Tax increments ma no
y t Le uses to ay for the cost of
Article 10 Section 2 lgg
public improvements, equipment, or other items, ifs
(1) the improvements, equipment, or other items are located
outside of the area of the tax increment financing district from
which the increments were collected; and
(2) the improvements, equipment, or items primarily serve
(i) a decorative or aesthetic purpose, or (ii) serve a
functional~pur ose, but their cost is increased by more than 100
percent as a result of the selection of materials, design, or
type as compared with more commonly used materials, designs, or
types for similar improvements, equipment, or items.
Sec. 3. Minnesota Statutes 1998, section 469.1763, is
amended by adding a subdivision to read:
Subd. 6. [POOLING PERMITTED FOR DEFICITS. a This
subdivision applies only to districts for which the request for
;ertification was made before June 2, 1997.
(b) The municipality for the district may transfer
available increments from another tax increment financing
district located in the municipality, if the transfer is
necessary to eliminate a deficit in the district to which the
increments are transferred. A deficit in the district for
purposes of this subdivision means the lesser of the following
two amounts:
(1)(i) the amount due during the calendar year to pay
preexisting obligations of the district; minus
(ii) the total increments to be collected from properties
located within the distrii
r, plu
that are available for the calendar
• (iii) total increments from properties located in other
districts in the municipality that are available to be used to
meet the district's obligations under this section, excluding
this subdivision, or other provisions of law (but excluding a
s ecial tax under section 469.1791 and the rant program under
Laws 1997, chapter 231, article 1, section 19); or
(2) the reduction in increments collected from properties
located in the district for the calendar year as a result of the
~6 changes in class rates in Laws 1997, chapter 231, article 1, and
Article 10
Section 3
{,
189
..,7y _.,~..--• .
;.
y
04/19/99 DRAFT [REVISOR ~ JMR/MR ~TAXBILL
1 Subdivision 1. [DISTRICT EXTENSION. Via) Notwithstanding
2 the provisions of Minnesota Statutes, section 469.176,
3 subdivision lc, full tax increments from the city of
4 Chanhassen's Downtown Redevelopment Tax Increment Financing
5 District Number 1 must be paid to and may be retained by the
6 city of Chanhassen for property taxes payable in 2001, 2002, and
7 2003.
8 (b) Increments permitted to be maid to and retained by the
9 city under paragraph (a) may only be used to pay or defease
~rt~ pnspS a Y
~ bonds issued or other'`c~bli ations incurred rior to June 2,
yr u ft$
X11 1997, the proceeds which were used to fund publiR
12 redevelopment costs within the redevelopment project or bonds
13 issued to refund the bonds.
14 (c) The maximum amount of increments. allowed to be retained
15 under this section is limited to the amount that would qualify
16 for a grant under Laws 1997, chapter 231, article 1, section 19,
17 as amended.
18 Subd. 2. [EFFECTIVE DATE. This section is effective the
19 day after compliance with Minnesota Statutes, sections 469.1782,
20 subdivision 2, and 645.021, subdivision 3.
21 Sec. 24. [APPROPRIATION; TIF GRANTS.]
22 $1,000,000 is appropriated to the commissioner of .revenue
23 for purposes of grants under Laws 1997, chapter 231, article 1,
24 section 19. to municipalities to offset deficits in tax
25 increment financing districts.
26 Sec. 25. (REPEALER.)
27 Laws 1997, chapter 231, article 1, section 19, subdivision
28 2, is repealed.
29 Sec. 26. [EFFECTIVE DATE.)
30 Section 1 is effective for requests for certification of a
31 new district or for the addition of geographic area to a
--9~ °-dta~~r ~.~ 30. 3999 . - __ --- _ __
33 Section 2 is effective for all tax increment financing
34 districts,' regardless of when the request for certification was
35 made, but does not apply_.to__expenditures made or binding
® 36 contracts entered into before July 1, 1999.
Article 10 Section 26 204
ti