HRA Minutes 03-11-1985CMINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Monday, March 11, 1985 - 4:30 P.M.
Members Present: Chairman Gary Wieber, Vic Vokaty, and Ken
Haug.
Chairman Gary Wieber opened the meeting asking for approval
of the February 7, 1985, minutes. Vic Vokaty moved to approve
said minutes, was seconded by Ken Maus, and passed 3-0. Chairman
Wieber announced the resicnatlon of Jack Reeve and passed his
letter around. Wieber asked how this position was to be filled,
and Allen stated that a selection process would take place as
in the past with the Authority making a recommendation to the
Mayor for appointment.
Tom Eidem explained the assessment role and how it was arrived
at. He stated that there were three alternatives which included;
1) Assessing the project 1001 to the property owners. This
was not a good option because it amounted to more than 5200.00/foot.
2) This option was to assess at 201 under MS 429. Using this
figure, $78,000.00 would be assessable, and the tax increment
would not be enough to cover the costs. 3) Tom suggested assessing
approximately $150,000.00 and to even out the annual assessments.
He also stated that as Construction 5 completes their buildings
and the tax increment is large enough to cover the debt, then
the City could abate portions of the future assessments. It
was important to note that if no more construction is completed
by Construction 5, the assessments could be higher. Likewise,
if more construction is undertaken, then the assessments would
be lower. This is the risk they must undertake when they enter
into an agreement.
Tom stressed that the Lauring Lane extension of street, curb,
sewer, and water, etc., would be constructed to match the mixed
use. Part of the improvement would match the existing rural
road construction of Lauring Lane, and the remainder on Washington
and remainder of the northeast section will have curbing. He
also stated that the City will assess itself for the portion
of the park.
Ken Maus questioned the construction to be completed. Allen
indicated that the 18 -unit apartment building would be built
on Lot 1, Block 2, and the office/warehouse complex would be
located somewhere on Lots 1-5, Block 1. Outlot A will be considered
for future development and may or may not be subdivided. An
example might be if the demand was present for additional office/
warehouse apace, then they could build another office/warehouse
complex or sell to another developer.
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BRA Minutes - 3/11/85
Ken Maus asked about Ed Doran's thoughts on this project. Tom
explained that if Ed made hie own improvements, it would cost
approximately $50,000.00. But if the City made the improvements
to his property lines, he might be assessed approximately $20,000.00.
Mr. Doran realized it was high, and Tom did not know how to
reduce it any further.
All curbing will surround Block 2 and on Fallon Avenue, essentially
the northeast section of this project area. Again, Tom stressed
that Lauring Lane would match the existing rural street construction,
while the remainder will have curbing.
Ken Maus inquired as to the Malone's involvement in this, and
Tom indicated that just a portion of their property would have
to be purchased for location of the street extension. As a
result of this project, Mrs. Malone would have immediate access
from the improvement.
It was also explained that Construction 5 presently owns a triangular
piece of property located just north of the City's water reservoir
1n Oakwood Industrial Park and south of I-94. Plane are to
have Construction 5 transfer said property to the City and the
City will attach to its reservoir property (Lot 5, Block 1,
Oakwood Industrial Park).
C, Ken Maus moved to approve and adopt the Tax Increment Finance
Plan for the Construction 5 project and request the City Council
to set a public hearing for the purpose of establishing a Tax
Increment Financing District. Vic Vokaty seconded the motion
and was passed 3-0.
There not being any further business, the meeting was adjourned
by Chairman Wieber.
Allen L. Pelvit
Executive Secretary of BRA
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