EDA Resolution 2014-022 (2)CITY OF MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY
WRIGHT COUNTY, MINNESOTA
RESOLUTION NO. 2014-022
RESOLUTION ADOPTING A MODIFICATION OF THE TAX INCREMENT
FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -39
WHEREAS, it has been proposed by the Board of Commissioners of the City of Monticello
Economic Development Authority (the "Authority ") that the City of Monticello (the "City ") adopt
a modification of the Tax Increment Financing Plan (the "TIF Plan") for Tax Increment Financing
District No. 1 -39 (the "District ");
WHEREAS, the City originally established the District and approved the TIF Plan therefor
on August 22, 2011 (Resolution No. 2011 -81), all pursuant to and in conformity with applicable
law, including Minnesota Statutes, Sections 469.001 to 469.047, Sections 469.090 to 469.1082
and Sections 469.174 to 469.1794, all inclusive, as amended, (the "Act ");
WHEREAS, the Authority proposes modification to the TIF Plan to amend the estimated
bonded indebtedness and the estimated source and use of tax increment;
WHEREAS, the Authority has investigated the facts and has caused to be prepared a
modification to the TIF Plan for the District; and
WHEREAS, the City has performed all actions required by law to be performed prior to
the modification of the TIF Plan, including, but not limited to, notification of Wright County and
Independent School District No. 882 having taxing jurisdiction over the property included in the
District and the holding of a public hearing upon published and mailed notice as required by law.
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the City of
Monticello Economic Development Authority as follows:
1. The Modifications as set forth in Attachment 1 to this resolution are hereby
approved and adopted.
2. Subject to approval of the Modifications by the City Council, the Executive
Director of the Authority is hereby authorized and directed to transmit a certified copy of this
resolution and a certified copy of the City Council resolution approving and adopting the
Modifications, together with Attachment 1, to the Office of the State Auditor, the Minnesota
Department of Revenue, and Wright County.
Approved by the Board of Commissioners of the City of Monticello Economic Development
Authority this 12'h day of March, 2014.
President
ATTEST:
Ex b irector /Secretary
ATTACHMENT 1
MODIFICATION OF THE TAX INCREMENT FINANCING PLAN FOR TAX
INCREMENT FINANCING DISTRICT NO. 1-39 WITHIN THE CENTRAL
MONTICELLO REDEVELOPMENT PROJECT NO.1
I. Background
The City of Monticello (the "City ") originally established Tax Increment Financing District No. 1 -39
(the "District ") within Central Monticello Redevelopment Project No. 1 (the "Redevelopment
Project ") and adopted the Tax Increment Financing Plan (the "TIF Plan") therefor on August 22,
2011 (Resolution No. 2011 -81);
The City and the Authority have now determined a need to modify the TIF Plan in order to amend
the estimated bonded indebtedness and the estimated source and use of tax increment;
Nothing in this modification is intended to modify or supersede or alter the activities described in the
original Redevelopment Program for Central Monticello Redevelopment Project No. 1. The TIF Plan
remains in fill force and effect and is not modified except as described in this modification document.
II. TIF Plan Modifications to TIF District No. 1-39
The following sections of the TIF Plan for TIF District No. 1 -39 are modified as shown:
Subsection 2 -9. Sources of Revenue/Bonds to be Issued. Language added to read as
follows:
The TIF Plan, as originally adopted, included an estimated bonded indebtedness
amount of $391,100. The bonded indebtedness amount is modified and increased to an
amount of $413,994, an increase of $22,894. An interfund loan or advance is defined in
the TIF Act as a bond or a qualifying obligation. The EDA adopted Resolution No.
2011 -74, on September 14, 2011, authorizing an interfund loan for advance of certain
costs in connection with TIF District 1 -39 in the amount of $413,994.
Subsection 2 -10. Uses of Funds. Replaced in its entirety to read as follows:
Subsection 2 -10. Source and Use of Funds. The estimated sources of revenue, along
with the estimated public costs of the District, are itemized in Figure 2 -10. These estimates
are based on the best available information in the sources and uses of funds. Such costs are
eligible for reimbursement from tax increment derived from property, and other listed sources
of tax increment revenue from the District. The EDA and City reserve the right to
administratively adjust the amount of any of the items listed in Figure 2 -10 or to incorporate
additional eligible items, so long as the total estimated project/financing costs to be paid from
tax increment is not increased.
3
FIGURE 2 -10
Tax Increment Financing District No. 1 -39
Projected Tax Increment
Modification
Original No.I
Estimated Tax Increment Revenues (from tax increment generated by the district)
Tax increment revenues distributed from the county
$467,600
$550,000
Interest and investment earnings
$7,400
$8,000
Sales /lease proceeds
$0
$0
Market value homestead credit
$0
$0
Total Estimated Tax Increment Revenues
$475,000
$558,000
Estimated Project/ Financing Costs (to be paid or financed with tax increment)
Project costs
Land /building acquisition
$329,340
$413,994
Site improvements /preparation costs
$5,000
$0
Utilities
$5,000
$0
Other qualifying improvements
$5,000
$0
Construction of affordable housing
$0
$0
Small city authorized costs, if not already included above
$0
$0
Administrative costs
$46,760
$46,760
Estimated Tax Increment Project Costs
$391,100
$460,754
Estimated financing costs
Interest expense
$83,900
$97,246
Total Estimated Project /Financing Costs to be Paid from Tax Increment
$475,000
$558,000
Estimated Financing
Total amount of bonds to be issued
in
$391,100 $413,994
EXTRACT OF MINUTES OF A MEETING OF THE
CITY OF MONTICELLO
ECONOMIC DEVELOPMENT AUTHORITY
WRIGHT COUNTY, MINNESOTA
HELD: March 12, 2014
Pursuant to due call and notice thereof, a regular meeting of the City of Monticello
Economic Development Authority, Wright County, Minnesota, was duly held at the Monticello
City Hall on Wednesday, the 12th day of March, 2014 at 6:00 p.m. for the purpose, in part, of
adopting a modification of the Tax Increment Financing Plan for Tax Increment Financing District
No. 1 -39.
The following Commissioners were present: Demeules, Hinz, Frie, Dragsten, Perrault, Stumpf
and the following were absent: Tapper
Commissioner Stumpf introduced the resolution and moved its adoption. The motion for
the adoption of the resolution was duly seconded by Commissioner Frie and upon vote being taken
thereon, the following voted in favor: Demeules, Hinz, Frie, Dragsten, Perrault, Stumpf and the
following voted against the same: None
Whereupon said resolution was declared duly passed and adopted.
5
CERTIFICATION
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
I, the undersigned, being the duly qualified and Executive Director /Secretary of the City
of Monticello Economic Development Authority, DO HEREBY CERTIFY that the attached
resolution is a true and correct copy of an extract of minutes of a meeting of the Board of
Commissioners of the City of Monticello Economic Development Authority, duly called and held,
as such minutes relate to the calling of a public hearing on the tax increment financing plan
modification for Tax Increment Financing District No. 1 -39.
WITNESS my hand as such Executive Director /Secretary of the City of Monticello
Economic Development Authority this 12th day of March, 2014.
®�Ze�
Execut' irector /Secretary
G