HRA Agenda 12-01-1999
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AGENDA
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, December 1, 1999 - 7:00 p.m.
City Hall
MEMBERS: Chair Bob Murray, Vice Chair Darrin Lahr, Brad Barger, Steve Andrews, and Dan
Frie.
OFFICERS: Treasurer Rick Wolfsteller, Executive Director Ollie Koropchak, and Recorder
Lori Kreamer.
OUEST: Mark Ruff, Ehlers and Associates.
1.
2.
3.
4.
. 5.
6.
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Call to Order.
Consideration to approve the October 6, 1999 lIRA minutes.
Consideration of adding agenda items.
Consent Agenda.
Consideration of items removed from the consent agenda for discussion.
Consideration to terminate House Lease, to authorize advertising for lease, and to increase
monthly rent for the house located at 3 Walnut Street.
7. Consideration to authorize waiving the date for completion of the minimum improvements
relative to the Contract for Private Redevelopment between the St. Cloud Hospital and the
lIRA.
8. Consideration to authorize payment of the monthly lIRA bills.
9. Consideration of the Executive Director's Report.
10. Consideration of Committee Reports:
a) City Council- Brian Stumpf
b) Community Center - Bob Murray
c) MCP - Steve Andrews
d) Marketing - Damn LahrlBrad Barger
11. Other Business.
12.
Adjournment.
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HRA Minutes - 10/6/99
MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, October 6, 1999 -7:00 p.m.
City Hall
Members Present:
Chair Bob Murray, Dan Frie, Brad Barger, Steve Andrews, Darrin Lahr
and Council Liaison Brian Stumpf
Staff Present:
Executive Director Ollie Koropchak, Rick Wolfsteller and Lori Kraemer
Guest:
Jay Eller, Twin City Die Castings and Brad Johnson, Lotus Realty Service
1. Call to Order.
2.
Chair Murray called the HRA meeting to order at 7:00 p.m.
Consideration to approve the September 8. 1999 HRA minutes.
A MOTION WAS MADE BY DARRIN LAHR AND SECONDED BY BRAD
BARGER TO APPROVE THE MINUTES, AS WRITTEN, OF THE HRA
MEETING ON SEPTEMBER 8, 1999. STEVE ANDREWS AND BOB MURRAY
ABST AINED. Motion carried.
3.
Consideration of adding agenda items.
None
4.
Consent Agenda:
None
5.
Consideration of items removed from the consent agenda for discussion.
None
6.
Public Hearin and consideration to a rove the ro osed Business Subsid A reement
Contract for Private Redevelo ment between the HRA Cit and Twin Cit Die
Castings Company.
Ollie Koropchak advised that per Minnesota Statute, the HRA must hold a public hearing
when subsidy awarded exceeds $100,000 and stated the members needs to review the
agreement. The developer has received a copy of the second draft of the Contract mailed
to them on October 1, 1999. The City Council will be considering approval of the
1
Contract on Monday, October 25, 1999.
HRA Minutes ~ J 0/6/99
Chair Murray opened the public hearing. Hearing no response from the audience, the
public hearing was closed. Jay Eller, TCnC, provided the members with a brief
summary of what their company will be doing, as well as explaining the error regarding
minimum wages. Mr. Eller provided a revised list of wages and positions. Since the
receipt of the report from Twin City Die Castings there have been changes in the
minimum wage, as well as the possibility that machining will not be done on site at the
beginning. Therefore, they would not be purchasing the machines at time of start up
which changes the uses and sources information. He noted that they would be
approaching Remmele Engineering to discuss the possibility of their company handling
the machining. He stated that this will all depend on the market at the time of start up.
This may result in employing half the number of people by the year 2002 than initially
stated.
The members clarified with Mr. Eller that the EOA and State applications would be
revised due to this new information. Koropchak was not sure if this would change
anything on the State level in regard to the dollar amount allowed. It was noted,
however, that the Federal dollars allowed for up to $7,500 for eachjob at or above $12
per hour.
A MOTION WAS MADE BY STEVE ANDREWS AND SECONDED BY DARRIN
LAHR TO APPROVE THE BUSINESS SUBSIDY AGREEMENT (CONTRACT
FOR PRIVATE REDEVELOPMENT) BETWEEN THE HRA, THE CITY, AND
TWIN CITY DIE CASTINGS COMPANY AS PROPOSED AND SUBJECT TO
THE RECOMMENDED CHANGES BY ATTORNEY STEVE BUBUL WITH
THE REVISED WAGE SCHEDULE. Motion carried.
7. Consideration to a rove a resolution ado tin the Modified Redevelo ment Plan for
Central Monticello Redevelopment Proiect No.1: establishing TIF District No.1 -26
therein: and adOPting the related TIF Plan therefor.
Ollie Koropchak asked the HRA members to approve the resolution for establishment of
TIF District No. 1-26 for Twin City Die Castings Company, which reads in the opinion
of the HRA, the proposed development as described in the plans would not reasonably be
expected to OCCur solely through private investment within the reasonably foreseeable
future and therefore, the use of TIF is deemed necessary and the HRA has performed all
actions required by law. Koropchak also stated that the resolution for adoption states the
HRA finds TIF District No. 1 -26 is in the public interest and meets the requirements of an
"economic development district", and it authorizes staff to proceed with implementation
of the plan.
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HRA Minutes - 10/6/99
Koropchak also noted that the plan did go to the County and the School which meets the
30 day requirement. BRA will place a public hearing notice prior to the next City
Council meeting. Brian Stumpf asked for the changes to be made prior to the Council
meeting and Koropchak stated she would address this. Koropchak did note that it is still
the goal ofTCDC to create 89 new jobs by the year 2002.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY STEVE
ANDREWS TO APPROVE A RESOLUTION ADOPTING THE MODIFIED
REDEVELOPMENT PLAN FOR CENTRAL MONTICELLO
REDEVELOPMENT PROJECT NO.1; ESTABLISHING TIF DISTRICT NO. 1-
26 THEREIN; AND ADOPTING THE RELATED TIF PLAN THEREFOR.
Motion carried.
8. Consideration to hear a presentation bv Brad Johnson relative to the economics for
redevelopment of the commercial site located at West 7 Street and Locust Street.
Ollie Koropchak advised the members that Brad Johnson, Lotus Realty Services,
requested to approach the HRA to discuss the economics for redevelopment of the
commercial site located at West 7th Street and Locust Street. This parcel is vacant and is
located in the CCO and within Redevelopment TIF District No. 1-22.
Brad Johnson was present and addressed the members with a presentation providing an
economic sample for review. They are looking at market rate rent in the area. Possibly
tying in blight housing into the same district. It was suggested that it would be a good
idea to buy up the blight houses first and continue from there. There was a question as to
whether or not the parcels needed to be adjoining and Koropchak stated she would look
into this. The members thanked Mr. Johnson for his presentation. No action was taken.
9.
Consideration to review and ratifv the Notice to Terminate the House Lease at 3 Walnut
Street.
Ollie Koropchak reported that since the time this agenda went out, the rent for August
and September have been paid along with the late charges. No payment has been
received yet on the October rent nor have the first or second quarters of the City utility
bills. The members were provided with a copy of the letter mailed to Tammy Hacker,
September 17, giving 3D-day notice to terminate the house lease located at 3 Walnut
Street.
A MOTION WAS MADE BY DARRIN LAHR AND SECONDED BY STEVE
ANDREWS OF NO ACTION NECESSARY AS RENT PAYMENT IN FULL HAS
BEEN RECEIVED. Motion carried.
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HRA Minutes - 10/6/99
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10.
Consideration to review the appraisal for I Locust Street and to determine a
recommended urchase rice/o tion offer for the Cit Council to consider fund in
Ollie Koropchak advised the members that she had contracted with Rod Dragsten,
Heartland Appraisal, for completion of the appraisal for 1 Locust Street by October I. A
copy of the completed appraisal was provided and Koropchak advised the members that.
an appraisal of the HRA by law is not public information for all intent purposes unless a)
there is an agreed exchange of appraisals, b) a purchase agreement has been executed, or
c) submitted as part of a court hearing process.
The parcel is located within Redevelopment District No. 1-22 and within the North
Anchor boundaries; however, the parcel was in the long-term designation area of the
North Anchor. This property is one identified by some neighbors as a concern.
Commissioner Frie and the Executive Director met the property owner on September 24
to view the exterior and interior of the property. The OWner was advised of the planned
process and agreed not to lease the property or place on the open market until after the
Council meeting of October I 1. Commissioner Frie reported that the property is very
run down and there should be consideration taken in whether the HRA/City would rent in
future, and if so, how far would the HRA/City be willing to go in regard to repair of this
property. It was stated that it probably would not be worth selling the house and moving .
it. A possibility would be to come up with price for the land and have the owner
demolish it which would give them a tax write-off. The intent is to go back to Council to
see if they would be interested in funding this purchase.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY DARRIN LAHR
TO RECOMMEND AN OFFER AT THE APPRAISED VALUE FOR THE
PROPERTY LOCA TED AT 1 LOCUST STREET AND TO REQUEST THE CITY
COUNCIL CONSIDER FUNDING THE HRA TO PURCHASE WITH THE
INTENT TO DEMOLISH. Motion carried.
11. Consideration to authorize emploving an attorney relative to TIF District No. 1-15 and
TIF District No. 1-21.
Ollie Koropchak advised the members she had spoken to Carl Bondhus who stated they
would be paying the taxes today, 10/6/99, and did provide proof of payment. They did
state, however, that they possibly would not be paying the second half of the taxes due on
October 15, due to financial difficulties. Steve Bubul advised to wait and see what
happens at that time.
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HRA Minutes - 10/6/99
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A MOTION WAS MADE BY DARRIN LAHR AND SECONDED BY DAN FRIE
OF NO ACTION NECESSARY AS TAXES ARE PAID IN FULL FOR TIF
DISTRICT 1-15 AND 1-21 AND THE STATUS OF THE TAX DEFAULT BE
REVIEWED AT THE END OF THE YEAR. Motion carried.
12.
Consideration to authorize payment of monthly HRA bills.
A MOTION WAS MADE BY STEVE ANDREWS AND SECONDED BY DAN
FRIE TO APPROVE THE MONTHLY BRA BILLS. Motion carried.
13. Consideration of the Executive Director's Report.
e)
EDA Meeting _ Approved the $100,000 GMEF Loan for Twin City Die Castings
Company. Koropchak will provide an informational item regarding the changes.
Prospect _ A Prospect Team of Darrin Lahr, Shelley Johnson, Mayor Belsaas,
Kevin Doty, and Koropchak visited Systematic Refrigeration in Dayton on
September 28. The company is looking to construction a 60,000 sq ft building
and acquire 8.5 acres of land. Looking at Albertville, Ramsey, and Monticello.
Will visit Monticello on Thursday, October 7. Looking at funding package,
prefers up-front TIF financing. Koropchak provided a copy of the company's
job and wage-goal levels and estimated project costs. Darrin Lahr gave a brief
overview of what the company does. No environmental issues, no outdoor
storage. Decent wages/benefits. Should consider up-front TIF at this time.
Industrial land acquisition _ Rick and Koropchak met with Chadwick on October
6th relative to continued discussion on potential to swap parcels out to the
southwest of the City. They did set up another meeting. Talked more about
trading land south of Hwy 25 that City already owns. They are looking at
whether it would help them to do this and discussed other options. City to get
proposals. The Remmele property is ready for development and has good
commercial potential, frontage on the Highway. Therefore, City property may
have higher value compared to theirs. Trying to get a firm dollar amount from the
Goeman people as well, possibly within a weeks time.
Twin City Die Castings building and site plans perhaps submitted to City the
second week of October. State application perhaps submitted the second week of
October requesting $500,000. Strong likelihood the State will award and EDA
will retain all of the principal and interest payback for the GMEF. It appears
groundbreaking likely the middle of November. Copy of contract with Lenny
Kirchst who's preparing the State Grant application. City Council did adopt the
resolution for the Grant.
TIF District No.1-IS _ The delinquent taxes and penalty for Custom Canopy
(Birkelands) or TIF District No.1-IS was paid in-full on September 28, 1999, per
a)
b)
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c)
d)
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f)
the Treasurer's Office of Wright County. Amounts paid $8,051 and penalty
$885.61 for first half of 1999.
Midwest Graphics - At this point still working on issues. Allied Co had concerns
with liability. Have created 26 of the 37 initial jobs. Steve Bubul changing the
date to 1/1/2000. Only Midwest Graphics will be liable for the jobs. Also give
the right to giving the money to Midwest Graphics.
Copy of 1999 taxes for Hawkins house. Will be tax exempt starting 2000.
HRA Minutes - 10/6/99
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g)
14. Consideration of Committee Reports
a) City Council - Brian Stumpf _ No update.
b) Community Center - Bob Murray - Still question on National Guard parking.
Have reservations for 5 weddings, 1 seminar & Weight Watchers would like to
schedule regular meetings. Contacted pre-schools & Lite Fitness will schedule
classes. They will have a Craft Sale in March.
c) MCP - Steve Andrews - Steve was not present at that meeting but did state the
new Director has started.
d) Marketing - Darrin Lahr - Met last week. Looking at some type of industry show
(booth) promoting the City. Meeting again on the 15th.
15.
Other Business.
None
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16. Adiournment.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY STEVE
ANDREWS TO ADJOURN THE MEETING AT 9:20 PM. Motion carried.
Chair Bob Murray
Recording Secretary, Lori Kraemer
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lIRA Agenda - 12/1/99
6.
Consideration to approve termination of House Lease. authorize advertising for lease and
consideration to increase monthly rent for the house located at 3 Walnut Street.
A. Reference and Background:
TERMINATE HOUSE LEASE
First, the lIRA should consider terminating the House Lease with Tammy Hacker.
Effective termination date, December 9, 1999, thirty days from the date of Hacker's
letter. Thereafter, the lIRA and Building Official should inspect the house. The HRA
does have a $500 damage security deposit from Sherburne County.
AUTHORIZE ADVERTISING FOR LEASE
Per the November 22, 1999 letter to Tammy Hacker, an application form was submitted
for the interested party to complete and return. However, without knowing if the
interested party will apply or if qualifies, the BRA should consider advertising or consider
exercising its contract for deed for possible future demolition or to sell house for
relocation. For payable 1999, the BRA will collect approximately $46,000 of tax
increment from TIF District No. 1-22 due to the increase of market values within the
district. The pay-as-you-go note for the BBF Properties project commences August,
2000. More details on this at the January HRA meeting.
INCREASE OF MONTHLY RENT
In checking with the City, the City monthly rental rate for the Kreamer House at
Minnesota Street and West 7 Street is $650. Per the Building Official, if the house is
clean and in good shape it is reasonable to request $650 per month.
B. Alternative Action:
TERMINATE HOUSE LEASE
1. Motion to Terminate 3 Walnut Street House Lease with Tammy Hacker effective
December 9, 1999.
2. Motion to Terminate 3 Walnut Street House Lease with Tammy Hacker effective
December 31, 1999.
AUTHORIZE ADVERTISING FOR LEASE
1. Motion to table action until January BRA meeting to hear report on TIF District
No. 1-22 cashflow.
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HRA Agenda - 12/1/99
2.
Motion authorizing to advertise for lease the house located at 3 Walnut Street
effective February 1, 1999.
INCREASE OF MONTHLY RENT
1. Motion to table action until January HRA meeting to hear report on TIP District
No. 1-22 cashflow.
2. Motion to increase the monthly rent for the 3 Walnut Street property to $650.
3. Motion to retain the monthly rent for the 3 Walnut Street property at $550.
C. Recommendation:
Recommendation is Alternative 1 for all three items.
D. Supporting Data:
Letter from and to Tammy Hacker.
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November 22, 1999
MONTICELLO
Tammy Hacker
3 Walnut Street
Monticello, MN 55362
Re: Receipt of Notice to Terminate the House Lease at 3 Walnut Street.
Dear Tammy:
.
The Office of the Housing and Redevelopment Authority received your notice of November 9,
1999, to vacate the house at 3 Walnut Street. Per the House Lease, either the Tenant or the
Landlord may terminate at any time 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.
Therefore, per the House Lease your effective termination date is December 31, 1999.
Please see Attachment A: An invoice for the rental property located at 3 Walnut Street.
Lastly, the Commissioners of the Housing and Redevelopment Authority will consider your
termination notice for 3 Walnut Street at their December meeting. Also, the Authority will
consider authorizing to seek applications for the rental property and to consider raising the per
month rent payment. Any new Tenant will need to submit a Security Deposit of $500 plus the
first month's rent. Tammy, in other words, the Authority will terminate your House Lease and
will seek applications for a new tenant. I have enclosed an application form for the party you
mentioned who had expressed interest in renting the 3 Walnut Street house. Please have the party
complete and return the form to me at City Hall for consideration and review.
Again, the Authority will meet Wednesday, December 1, 1999, at 7:00 p.m. at the City Hall.
Please plan to attend as the Authority will consider your termination notice and matters relating to
.
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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
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Ms. Hacker
November 22, 1999
Page 2
the rental property at 3 Walnut Street. Also, please notice your rental payment is due and
payable immediately. Should you have any questions, please call me at 271-3208.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR 11IE CITY OF MONTICELLO, MINNESOTA
CJ~ 'KO\C~
Ollie Koropchak
Executive Director
Attachment
c: Rick WolfsteHer, City Administrator
File
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Attachment A.
Housing and Redevelopment Authority in and for the City of Monticello
Invoice for Rental Property
located at
3 Walnut Street
November 22, 1999
Tenant: Tammy Hacker
October 1999 monthly rent
Credit Debit
$ 550.00
$ 45.00
$150.00
$ 50.00
$ 550.00
$ 50.00
$195.00 $1,200.00
Received October 13, 1999
October 1999 Late Fee
November 1999 monthly rent
November 1999 Late Fee
TOTAL
BALANCE PAST DUE AS OF NOVEMBER 22, 1999, AND PAYABLE IMMEDIA TEL Y
IS $1,005.00.
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BRA Agenda - 12/1/99
7.
Consideration to authorize waiving the date for completion ofthe minimum improvements
relative to the Contract for Private Redevelopment between the St. Cloud Hospital and the
BRA.
A. Reference and Backg:round:
Per the Contract, the Redeveloper shall complete the construction of the minimum
improvements by December 31, 1999. Due to a delay in the delivery of construction
materials and the lack of construction workers, the independent 60-unit senior housing
project fell behind the construction schedule. In order to avoid a default of the Contract,
the HRA should waive the completion date.
Waiving the completion date should have no impact to the BRA as the finance method is
the pay-as-you-go method. The Redeveloper shall be reimbursed in an amount not-to-
exceed $440,000 for public improvements in semi-annual payments commencing August
1,2001 and concluding February 1,2026. Interest of7.5% to accrue from date of
certificate of completion and semi-annual payment from "Available Tax Increment"
meaning 90%.
Although it is expected the project will be completed by March, perhaps its best to waive
the completion date to June 30, 2000, to allow ample time.
B. Alternative Action:
1. A motion to authorize waiving the date for completion ofthe minimum
improvements from December 31, 1999, to June 30, 2000, with the Contract for
Private Redevelopment between the St. Cloud Hospital and the BRA.
2. A motion to deny waiving the date for completion of the minimum improvements.
3. A motion to table any action.
C. Recommendation:
Alternative No.1. A letter acknowledging the BRA action will follow to the
Redeveloper.
D. Supporting: Data:
None.
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HRA Agenda - 12/1/99
8.
Consideration to authorize oavment of the montWv HRA bills.
Recommendation is to authorize payment of bills.
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File Number: 117199
HEARTLAND APPRAISAL
P.O. BOX 312 MONTICELLO MN. 55362
Faa No. 117199
****"**** INVOICE UUAU1r1r
\Q'\
Q\i 7
<\ ;..C-: . '?- ~
\-
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HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF MONTICELLO
Borrower: N/A
Invoice # :
Order Date :
Reference/Case # :
PO Number:
1 lOCUST STREET
MONTICEllO, MN 55362
Terms:
Please Make Check Payable To:
HEARTLAND APPRAISAL
Fed. 1.0. #:
FOR APPRAISAL SERVICES
$
$
315.00
Invoice Total
State Sales Tax @
Deposit
Deposit
$
$
($
($
315.00
0.00
)
)
Amount Due
$
315.00
.~ A
MN190-00041 Redevelopment - General
MN 190-00058 Economic Development TIF Lake Tool (T J Martin) -'\ l:- Cc \ - ~ \
MN190-00078 Community Center-Post Closing Issues ~~ ~
MN190-00079 ~ (Twin-;ty Die ~,
'.
Kennedy & Graven, Chartered
200 South Sixth Street
suite 470
Minneapolis, MN 55402
(612) 337-9300
October 11, 1999
Statement No. 4625
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
Through September 30, 1999
106.75
34.75
156.00
1,014.70
398.00
MN190-00080 Midwest Graphics Amendment
~ 1; ~ \ - J::L3 .....
~15"'-- N \'-.t-.--~'\
69.83
.
Expenses
I declare, under penalty of law, that this
account, claim or demand is just and rrect
and that no part of it has been paid.
,
Total Current Billing:
1,780.03
~f?
I.
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
41-1225694
October 11, 1999
Invoice # 4625
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
MN190-00041 Redevelopment ~n~l~
Through September 30, 1999 .
For All Legal Services As Follows:
9/15/1999 DJG Review and revise business subsidy m::a.l-r'" 'j
"'7
__ _, ,L.....II~ 0.60
Hours
9/17/1999
SJB Review letter re Birkeland agreement; phone call with 0
Koropchak re same
Total Services:
.
MN190-00058 Economic Development TIF Lake Tool (TJ Martin) 1- rQ- \ -"':1. I
Through September 30, 1999
For All Legal Services As Follows:
9/17/1999 SJB Review demand letter re T.J. Martin claim; phone all with
O. Koropchak re same.
Total Services:
0.25
$
Hours
0.25
$
~~~
MN190-00078 Community Center-Post Closing Issues
Through September 30, 1999
For All Legal Services As Follows:
9/24/1999 DJG Review and revise lease amendment _ ' n n
\\) ~ \ ~ v..ev.. Go ........~ l 0' Vt...ll,)..)'.Jl.
Total Services:
MN190-00079 TIF 1-26 (Twin City Die Casting)
Through September 3D, 1999
For All Legal Services As Follows:
9/20/1999 SJB Phone call with 0 Koropchak; begin contract draft.
.
9/21/1999
9/27/1999
9/28/1999
SJB Draft Contract; letter to Koropchak.
SJB phone call with 0 Koropchak re deal terms.
SJB Review TIF notice, resolution.
Hours
1.30
$
Amount
72.00
34.75
106.75
Amount
34.75
34.75
Amount
156.00
156.00
Hours Amount
0.75 104.25
2.00 278.00
0.60 83.40
0.20 27.80
C-bv
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Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
MN190-00079TIF 1-26 (Twin City Die Casting)
September 30, 1999
9/30/1999 SJB Revise Contract; letter to 0 Koropchak. 3.75 521.25
Total Services: $ 1,014.70
For All Disbursements As Follows:
Fax 2.00
Photocopies 38.80
Postage 1.43
9/22/1999 Federal Express; delivery charge 10.71
Total Disbursements: $ 52.94
.
MN190-00080 Midwest Graphics Amendment '~~ ~t-
Through September 30. 1999 '\ ~ ~ - "). :::.
For All Legal Services As Follows: \.
9/2/1999 DJG Draft assignment agreement
9/3/1999
9/27/1999
DJG Phone call with 0 Koropchak re contract assignment
SJB Phone call with 0 Koropchak; draft/revise Assignment,
Contract amendment.
SJB Phone call with R Wolfsteller re tax forfeit questions.
SJB Letter to 0 Koropchak; finalize assignment. Contract
amendment.
9/28/1999
9/29/1999
Total Services:
For All Disbursements As Follows:
Fax
Postage
Photocopies
,
Hours Amount
0.40 48.00
0.60 72.00
1.00 139.00
0.25 34.75
0.75 104.25
$ 398.00
8.50
0.99
7.40
16.89
Total Disbursements: $
.
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Page: 3
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
MN 190.00080Midwest Graphics Amendment
September 30, 1999
Total Services and Disbursements $
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1,780.03
C6 t>
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MC100-28
Monticello HRA
PO Box 1147
Monticello MN 55362-9245
October 10, 1999
TIF District No. 26
~ \.lJ ..; \'\. ~ ~\ "'l 0.: '-'L>
Invoice # 16592
Professional Services
Begin numbers and discussion with Ollie
Market values from county
Numbers and tax increment plan
Tax numbers, edit plan
Discussions and plan
Drafting - TIF Plan, modifications to the redevelopment plan, map
Edit plan, mail fiscal implication letters
Drafting -HRA and planning commission resolutions
Drafting ~ TfF District Summary
Finalize summary and planning commission and HRA resolutions
Draft public hearing notices
Hours Amount
0.75 78.75
0.50 52.50
5.00 525.00
0.75 78.75
0.75 78.75
1.50 157.50
1.00 105.00
0.75 78.75
0.75 78.75
1.50 157.50
0.50 52.50
13.75 $1,443.75
$420.00
($420.00)
($420.00)
$1,443.75
9/13/99 MTR
9/14/99 RC
9/17/99 MTR
9/20/99 RC
MTR
9/21/99 RC
9/22/99 RC
9/27/99 RC
9/28/99 RC
9/29/99 RC
9/30/99 RC
Total Due This Month:
Previous Balance:
10/4/99 Payment - thank you
Total payments and adjustments
Total Balance Due:
.
PLEASE KEEP WHITE COpy FOR YOUR FILE AND REMIT PINK COpy WITH PA YMENT TO: ,.,
~ ~ lE n '0-!/ ::',.,
.
---~_.~
EHLERS
& ASSOCIATES INC
OCT 1 4
,
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3060 Centre Pointe Drive
Roseville, MN 55113-1105
651.697.8500
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Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
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NOV 1 0 1999 I
November 9, 1999
Statement No. 5191
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
Through October 31, 1999 ~
MN190-00041 Redevelopment - General ".~ ~
MN190-00058 Economic Development TIF Lake Tool (TJ Martin) \~ \ - ':l \
~ o~':l.-
111.20
41.70
MN190-00070 1998 Community Center Bonds
MN190-0007~(TWin City Die Casting)
MN190-00080 Midwest Graphics Amendment ""'\ t.'r \ - ?- '"?:>
MN190-00081 Housing Revenue Bonds (St. Ben's Project) ('''.-t-:-. ~,; ~
--0 ~ '" \AjO ~
192.00
500.40
625.50
.
132.05
Expenses
134.96
Total Current Billing:
1,737.81
I declare. under penalty of law, that this
account, claim or demand is just and correct
and that no part of it has been paid.
.
-
~-F
.
.
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Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
(612) 337-9300
41-1225694
November 9, 1999
Invoice # 5191
City of Monticello
Ollie Koropchak
City Hall
P.O. Box 1147
Monticello, MN 55362-9245
~
M N 190-00041
~~~
Redevelopment - General
Through October 31,1999
For All Legal Services As Follows:
10/7/1999 SJ8 Phone call with 0 Koropchak re various redevelopment
issues; review knock down question
10/26/1999
SJB Phone call with 0 Koropchak re city hall information and
TI F assistance questions
Total Services:
For All Disbursements As Follows:
Fax
Total Disbursements:
Hours
0.50
0.30
$
Total Services and Disbursements: $
Amount
69.50
41.70
111.20
$
1.50
1.50
112.70
iJ&
.;
.
.
'-
Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31, 1999
MN190-00058 Economic Development TIF lake Tool (TJ Martin)
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Through October 31,1999
For All legal Services As Follows:
10/1/1999 SJB Phone call with O. Koropchak re enforcement questions.
Total Services:
Hours
0.30
$
Amount
41.70
41.70
Total Services and Disbursements: $ 41.70
..
City of Monticello
Ollie Koropchak
October 31, 1999
MN 190-00070
Page: 3
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
1998 Community Center Bonds ~ '1 to ':;:).
Through October 31,1999
For All Legal Services As Follows:
10/4/1999 DJG Revise agreement with armory commission.
Total Services:
.
.
......
Hours
1.60
$
Total Services and Disbursements: $
Amount
192.00
192.00
192.00
<6 y\
-
Page: 4
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31. 1999
MN190-00079 TIF 1-26 (Twin City Die Casting)
(' \--?-~
\~~
Through October 31.1999
For All Legal Services As Follows: Hours Amount
10/1/1999 SJB Phone call with Ollie Koropchak re Contract; letter to J 0.50 69.50
Eller.
10/4/1999 SJB Phone call with Ollie Koropchak re Contract 0.30 41.70
10/6/1999 SJB Phone call with R. Keenan re Contract; phone call with O. 0.60 83.40
Koropchak re same.
10/7/1999 SJB Phone call with O. Koropchak re HRA action. 0.30 41.70
10/11/1999 SJB Review TIF resolutions; phone call with R Keenan re jobs. 0.60 83.40
. 10/19/1999 SJB Review job proposal. 0.30 41.70
10/20/1999 SJB Phone call with 0 Koropchak, R Keenan re jobs; revise 1.00 139.00
contract; draft City resolution; letter to Koropchak.
Total Services: $ 500.40
For All Disbursements As Follows:
9/30/1999
10/1/1999
10/1/1999
10/20/1999
Photocopies
Postage
Federal Express; delivery charge
Lightning Legal Courier
Lightning Legal Courier
Federal Express; delivery charge
Total Disbursements:
38.00
1.98
10.71
18.15
16.50
10.71
96.05
$
.
.
Page: 5
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31, 1999
Total Services and Disbursements: $
.
.
596.45
C6 -:c
.
Page: 6
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31, 1999
MN 190-00080
Midwest Graphics Amendment
~~-
t-'J.~ -
Through October 31,1999
For All Legal Services As Follows: Hours Amount
10/4/1999 SJB Phone call with Ollie Koropchak re Midwest & JAC 0.50 69.50
issues.
10/6/1999 SJB Phone call with Ollie Koropchak; draft revisions to 1.50 208.50
Assignment, Amendment.
10/7/1999 SJB Letter to Koropchak; review all documents. 0.30 41.70
10/13/1999 SJB Phone call with B Lukes re assignment. 0.30 41.70
10/15/1999 SJB Phone call with Ollie Koropchak. 0.30 41.70
. 10/19/1999 SJB Phone call with 0 Koropchak re closing; fax documents. 0.50 69.50
10/20/1999 SJB Phone call with M Hurley; revise Bank consent; phone call 0.60 83.40
with 0 Koropchak.
10/21/1999 SJB Finalize Bank consent; phone call with Hurley, 0.50 69.50
Koropchak.
Total Services: $ 625.50
For All Disbursements As Follows:
Fax 18.50
Photocopies 7.20
10/7/1999 Federal Express; delivery charge 10.71
Total Disbursements: $ 36.41
.
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Page: 7
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31, 1999
Total Services and Disbursements: $
.
.
661.91
<6:S
.
Page: 8
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31, 1999
MN190-00081
Housing Revenue Bonds (St. Ben's Project)
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Through October 31,1999
For All Legal Services As Follows:
10/19/1999 SJB Review Gonella letter, Housing Bond documents; phone
call with Gonella; review St. Ben Contract.
Hours
0.75
Amount
104.25
10/28/1999
SJB Review letter from 51. Cloud Hospital, fax to Wolfsteller.
Total Services:
0.20
$
27.80
132.05
For All Disbursements As Follows:
.
Fax
Total Disbursements:
$
1.00
1.00
Total Services and Disbursements: $
133.05
.
.
.
.
HRA Agenda - 12/1/99
9.
Consideration of the Executive Director's Report.
a) Midwest Graphics - Attached is a copy of the letter, summary of invoices, and
copies of the invoices for amending the Private Redevelopment Contract per the
request of Steve Krenz.
b) Systematic Refrigeration, Inc. - Letter from Ted Mateski. Thanks to HRA
Commissioners who helped in the recruitment process.
c) TIP District No. 1-21 - As of November 22, 1999, the second-half of 1999
property taxes due on October 15 were not paid by T. 1. Martin, Inc. T. 1. Martin
will be notified by mail and will be advised that the HRA will consider at their
January meeting to employ an attorney to declare default of the Contract. Default
both on delinquent taxes and deficiency of tax increment.
d) TIF District No. 1-20 - A letter will be address to Cedrus Creek Craftsman, Inc.
relating to the completion of four twinhouse townhouse units and four twinhouse
fourplex townhome units scheduled for completion by December 31, 1999. Only
two of the four twinhouse fourplex townhome units are completed. A second part
of the Contract is the Assessment Agreement which states the minimum estimated
market value as of January 2, 1999, shall be $600,000; January 2, 2000, shall be
$1,120,000; and January 2,2001, shall be $1,380,000. As of November 23 per
the County Assessor's Office, the market value of the district for payable 1999 was
$1,050,500. Therefore even without completion of the two twinhouse fourplex
townhome units, the market value exceeds the requirements of the Contract. The
letter will be a reminder of the need to construct the four twin house fourplex
townhome units by December 31,2000, as the market value is in compliance with
the Assessment Agreement. Ifthe Commissioners feel otherwise, please advise the
Executive Director.
e) TIF District No. 1-17 - A letter will be written relating to the need to submit
evidence of payment for site improvements completed. The lIRA approved the
Certificate of Completion for the 20,000 sq ft addition on February 11, 1998. The
lIRA agreed to TIP assistance in the amount of $50,000 pay-as-you-go. This will
be the second letter from the lIRA.
t) TIP District No. 1-25 - Blue Chip did submit evidence of completion and payment
of the site improvements in the amount of $32,000. Therefore, the interest will
start to accrue and Blue Chip will be reimbursed $1,784.16, the difference between
the $5,000 deposit and the actual amount incurred for administration expenses.
.
.
November 22, 1999
--
MONTICELLO
Mr. Steve Krenz
Midwest Graphics and Response Systems, Inc.
9600 Fallon Avenue NE
Monticello, MN 55362
Re: Reimbursement ofHRA Expenditures.
Dear Mr. Krenz:
At the Housing and Redevelopment Authority special meeting of July 28, 1999, the Commissioners
approved changing the $181,000 TIF assistance from the pay-as-you-go finance method to the up-front
finance method and authorized amending the Contract for Private Redevelopment between J.A.C. and the
HRA subject to a list of defined conditions. One such condition was the developer agreed to reimburse the
HRA for costs associated with the first amendment to the Contract.
All invoices from Kennedy & Graven and Ehlers & Associates, Inc. have been submitted and paid by the
HRA. Attached is a summary of the invoices and a copy of each invoice. Please remit the total amount
due to the HRA at P.O. Box 1147, Monticello, MN 55362, Attention: Ollie Koropchak.
Thank you for your immediate attention of this matter.
Sincerely,
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF MONTICELLO
C)~. \(61 0 0l~
Ollie Koropchak
Executive Director
Attachment
~"J
c:
Rick Wolfsteller, City Administrator
TIF District 1-23 File
cu
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
.
Attachment A.
Summary of expenses incurred by the Housing and Redevelopment Authority
in and for the City of Monticello, Minnesota,
associated with amending the
Contract for Private Redevelopment between the J.A.C. and the HRA
per the request of Steve Krenz, Midwest Graphics and Response Systems, Inc.
November 22,1999
Kennedy & Graven
September 30, 1999
$ 83.40
$1,042.50
$ 6.74
$ 398.00
$ 16.89
$ 625.50
$ 36.41
July 31, 1999
August 31, 1999
October 31, 1999
Subtotal
$2,209.44
. Ehlers & Associates. Inc.
September 10, 1999
$ 105.00
Subtotal
$ 105.00
TOT AL DUE
$2,314.44
Please remit the amount due to the Monticello Housing and Redevelopment Authority, P.O. Box
1147, Monticello, MN 55362, Attention: Ollie Koropchak.
.
--
Due and payable with thirty days.
q. D
,
Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis. MN 55402
City of Monticello
Ollie Koropchak
MN190..Q0058Economic Development TIF Lake Tool (T J Martin)
July 31,1999
Total Services :
MN190..Q0072 Economic Development T1F 1"998 ~ 1; ~ N 0 \_ ~ ?J
Through July 31, 1999 \
For All Legal Services As Follows: Hours
7/19/1999 SJB Phone call with 0 Koropchak re Midwest Graphics 0.30
request fer additional assistance.
7/23/1999 SJB Phone call with 0 Koropchak re option fer HRA to assist 0.30
with new jobs
Total Services:
.
Total Services and Disbursements :
.
41.70
Amount
41.70
41.70
~
462.45
gv
/D-E
.
Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
MN190-00079TIF 1-26 (Twin City Die Casting)
August 31, 1999
Total Disbursements:
\-:s.:~
\-~~
MN 190-00080 Midwest Graphics Amendment
Through August 31,1999
For All Legal Services As Follows:
8/4/1999 SJB Phone call with 0 Koropchak re contract amendment and
city loan; begin draft
SJB Phone call with 0 Koropchak; draft contract amendment
8/6/1999
8/9/1999
8/31/1999
SJB Finalize contract agreement; draft city loan documents
SJB Review Krantz letter re assignment.
.
Total Services:
For All Disbursements As Follows:
Fax
Postage
Total Disbursements:
Total Services and Disbursements :
.
-'
7.00
Hours Amount
1.30 180.70
4.00 556.00
2.00 278.00
0.20 27.80
~042.50 ~
3.00
3.74
C!V
1,306.29
01)
"
Page: 2
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
MN190-00079TfF 1-26 (Twin City Die Casting)
September 30, 1999
9/30/1999 SJB Revise Contract; letter to 0 Koropchak. 3.75 521.25
Total Services: $ 1,014.70
For All Disbursements As Follows:
Fax 2.00
Photocopies 38.80
Postage 1.43
9/22/1999 Federal Express; delivery charge 10.71
Total Disbursements: $ 52.94
.
MN190-00080 Midwest Graphics Amendment \lJ _ o. . l. I..
~ . "~~,,"~..."',J\A.O ~"
Through September 30, 1999 'T:; ~?- '?:>
For All Legal Services As Follows: ,.
9/2/1999 DJG Draft assignment agreement
9/3/1999 DJG Phone call with 0 Koropchak re contract assignment
9/27/1999 SJB Phone call with 0 Koropchak; drafUrevise Assignment,
Contract amendment.
9/28/1999
9/29/1999
SJB Phone call with R Wolfsteller re tax forfeit questions.
SJB Letter to 0 Koropchak; finalize assignment, Contract
amendment.
Total Services:
For All Disbursements As Follows:
.
Fax
Postage
Photocopies
Hours Amount
0.40 48.00
0.60 72.00
1.00 139.00
0.25 34.75
0.75 104.25
$ ~
8.50
0.99
7.40
~
Total Disbursements: $
C)e.
.
Page: 6
Kennedy & Graven, Chartered
200 South Sixth Street
Suite 470
Minneapolis, MN 55402
City of Monticello
Ollie Koropchak
October 31. 1999
MN190-00080
~~-
t-'J.~
Midwest Graphics Amendment
Through October 31,1999
For All Legal Services As Follows:
10/4/1999 SJB Phone call with Ollie Koropchak re Midwest & JAC
issues.
10/6/1999 SJB
10/7/1999 SJB
10/13/1999 SJB
. 10/15/1999 SJB
10/19/1999 SJB
10/20/1999 SJB
Phone call with Ollie Koropchak; draft revisions to
Assignment. Amendment.
Letter to Koropchak; review all documents.
Phone call with B Lukes re assignment.
Phone call with Ollie Koropchak.
Phone call with 0 Koropchak re closing; fax documents.
Phone call with M Hurley; revise Bank consent; phone call
with 0 Koropchak.
10/21/1999 SJB Finalize Bank consent; phone call with Hurley,
Koropchak.
Total Services:
For All Disbursements As Follows:
10/7/1999
Fax
Photocopies
Federal Express; delivery charge
Total Disbursements:
,
Hours Amount
0.50 69.50
1.50 208.50
0.30 41.70
0.30 41.70
0.30 41.70
0.50 69.50
0.60 83.40
0.50 69.50
$ ~
18.50
7.20
$
~
~
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.
.
Monticello HRA
PO Box 1147
Monticello MN 55362-9245
September 10, 1999
MC100-28
TIF District No. 26
Invoice # 16467
Amount
~
26.25
78.75
$236.25
$183.75
$420.00
.
Professional Services
814/99 MTR TaxincrementrunfO~ ~\\.~ ~ ~
8/9/99 MTR Review business subsl y L \."'- -Q..-tf). ~-1
8/11/99 MTR Review policy for subsidy " .
8/20/99 RC Revise schedule - '\ ~ G-- \.. - ?- '4
Hours
o 1.00
~.25
0.25
0.75
Total Due This Month:
Previous Balance:
2.25
Total Balance Due:
PLEASE KEEP WHITE COpy FOR YOUR FILE AND REMIT PINK
81 ~!i'c,~~~
3060 Centre Pointe Drive
Roseville, MN 55113-1105
651.697.8500
0&
.
SVSTEMATIC
Inc:.
REFRIGERA liON
11660 Troy Lane North . Maple Grove, MN 55369
(612) 428-7776 Fax: (612) 428-7778
November 3, 1999
Ms. Ollie Korocphak
Monticello City Hall
250 East Broadway
P.O. Box 1147
Monticello, MN 55362-9245
Dear Ollie:
Thank: you very much for your generous offer and for the work you and others in the City of
Monticello did to attract our business.
. Regrettably, I must inform you that another location has been selected.
.
=
The community we have selected offered enough land to further expand our business to meet our
needs well into the future.
This was a very difficult decision for me since your presentation was so good and the
friendliness of all those present made such a favorable impression upon me.
Again, thank: you very much for all that you have done. I would not hesitate to recommend the
City of Monticello to any company wanting to relocate.
Sincerely yours,
~~~~
Ted Mateski
cc: Ed Sorgatz, Olson Construction
'0)
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~~~
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Central Minnesota Housing Partnership, Inc.
P.O. Box 2222 • St. Cloud • Minnesota • 56302-2222
TO: Central Minnesota Communities
FROM: Sheri Harris
Central Minnesota Housing Partnership
DATE: November 9, 1999
RE: Technical Assistance for Housing
Affordable housing is complex, yet necessary in a community for continued economic
growth. The Central Region continues to experience great success in industrial
expansion. However, in most c s th nough t
su o us' A family of four in Greater Minnesota, with two working
adults must earn a combined hourly rate of $16.94 to meet basic needs.
There are many programs available for addressing affordable housing, but how does a
community sift through the maze of programs. Central Minnesota Housing Partnership
(CMHP) has been providing technical assistance for financial packaging and planning for
the past two years. We have created numerous programs for single-family development
and have access to funding programs for rental housing.
Other areas of the region that have accessed the technical assistance include the
community of Isle where a newly developed housing subdivision is underway, and
Sebeka who will be completing 24 single family lots in the Spring. In addition, CMHP
just received an additional $200,000 to provide scattered site gap financing for new
construction in the region. If your community is struggling with affordable housing
issues and you want to know more about how you can address the need, contact our
office at 888-~03-9301.
PH 320.259.0393 -A MINNESOTA NQNPRG~IT CORPORATION-
MN TDD 1.800.627.3529 E°U^~"°US'"~
OPPOFiU NITY
FAX 320.259.9590
Reasonable accommodations are available