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HRA Agenda 10-05-1994`1 AGENDA MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY Wednesday, October 5, 1994 - 7:00 p.m. City Hall MEMBERS: Chairperson Al Larson, Vice Chairperson Ben Smith, Everette Ellison, Tom St. Hiliare, and Brad Barger. STAFF: Rick Wolfeteller, Jeff O'Neill, and 011ie Koropchak. 1. CALL TO ORDER. 2. CONSIDERATION TO APPROVE THE SEPTEMBER 7, 1994 HRA MINUTES. 3. CONSIDERATION TO ADOPT A RESOLUTION AUTHORIZING PUBLIC RESOURCE GROUP, INC. TO BEGIN PREPARATION FOR THE MODIFICATION OF REDEVELOPMENT PROJECT NO. 1 BOUNDARIES AND PLAN, AND FOR THE ESTABLISHMENT OF A TIF PLAN FOR TIF DISTRICT NO. 1-18. 4. CONSIDERATION TO DISCUSS THE LETTER ADDRESSED TO HRA CHAIRPERSON LARSON FROM STEVE BIRKELAND, JR PRIOR TO RESPONDING. 5. CONSIDERATION TO REVIEW THE LETTER WRITTEN TO THE H -WINDOW COMPANY AS IT RELATES TO THE CERTIFICATE OF COMPLETION. 6. CONSIDERATION TO REVIEW THE LETTER RECEIVED FROM RONALD MUSICH AS IT RELATES TO THE EXECUTED PRIVATE REDEVELOPMENT CONTRACT. 7. CONSIDERATION OF PROJECT UPDATES: a) Genereux Fine Woods Products, Inc. b) Quality Welding C) Micro -Tech d) RSght-Choice Services, Inc. e) Monticello Senior Housing Alliance 8. OTHER BUSINESS. o) Consideration of PRO and Holmes 8 Graven billings. b) Other. 9. ADJOURNMENT. 7 MINUTES MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY Wednesday, September 7, 1994 - 7:00 p.m. City Hall MEMBERS PRESENT: Chairperson Al Larson, Vice Chairperson Ben Smith, Tom St. Hilaire, and Brad Barger. MEMBERS ABSENT: Everette Ellison. STAFF PRESENT: Rick Wolfsteller, Jeff O'Neill, and 011ie Koropchak. GUESTS PRESENT: Rick Murray and Bob Murray, Residential Development, Inc. James Casserly, Developer's Attorney. Richard Sathre, Developer's Engineer. Steve Bubul, HRA Attorney. Lenny Kirscht, Public Resource Group, Inc. 1. CALL TO ORDER. Chairperson Larson called the HRA meeting to order at 7:00 p.m. 2. CONSIDERATION TO APPROVE THE AUGUST 3. 1994 HRA MINUTES. Ben Smith made a motion to approve the August 3, 1994 HRA minutes. Brad Barger seconded the motion and with no corrections or additions, the minutes were approved as written. 3. CONSIDERATION OF CONTINUY.D PIS_PUSSION OF TliE PREIIt4INARY CONCEQT AND USE OF TIF (SOILS CONDITION DISTRICTI TD ASSIST WITH THE SOIL CORRECTION EXPENDITURES ASSOCIATED WITH THE DEVELOPMENT OF A PROPOSED RESIDENTIAL PROJECT. At the August meeting, the HRA requested the developers compile grading costa to demonstrate and quantity the need for TIF asslstance. Mr. Rick Murray updated the HRA members regarding new developments within the project area. Upon further purvey of the mined -gravel pit and as indicated per the meeting handouts, it became apparent of the need for an additional 200,000 c.y. of grading. Option I, the cadillac, had an estimated grading coot of $391,000 which appeared out-cf-the- question for the developers. Option II, had an estimated grading cost of $132,780 which includod a 2 -acre soccer field and 4.6 -acre trail/slide hill park at a 3:1 olope (acceptable to MDOT for lawn mowers). Page 1 Option II reduced the impact onto County Road 75 with the elimination of a through street from County Road 39. However, Option II decreased the value of some lots and reduced the Immediate development of 25 homes due to the lots landlocked by the Norrell property. Estimated project size now is 118 single and twin homes. Jeff O'Neill reported the Planning Commission approved the Option II preliminary plat subject to OSM approval. An Edina Market Study projected estimated market values for single-homes at $95,000 and twin-homes at $85,000 with a three-level market of step-entry, entry, and beyond. Additionally, Mr. Murray informed HRA members that the developers have negotiated a reclamation fee of $30,000 with the existing property owners. This negotiated amount to address the County's Conditional Use Permit and Reclamation Plan for restoration of the mined-gravel pit to a 3:1 elope. Therefore, with the estimated mined-gravel pit damage of $132,000 less the $30,000, the total grading cost for Option II is $102,000. Mr. Murray expressed the developers would be very happy to develop only the city portion; however, with the disappearance of the city soils suitable for restoration of the township mined-gravel pit a future project on its own merit may be more costly due to necessary dirt trucked-in. Attorney Caseerly c.dded that an alternative for the City was to press charges against the party for non-compliance of the plan and expired permit. The developers request is for pay-as-you-go TIP assistance. According to Lenny Rirscht, Public Resource Group, the risk to the HRA and City is the quality issue of the proposed homes and the HACA Penalty loss. In a Soils Condition District the HACA Penalty is based on 100%, while 1n a Economic District the penalty Is phased-in. Of the projected cumulative HACA Penalty of 6141,000 through Year 2000, the city would not recover the total loss. Attorney Casserly highlighted the projected HACA Penalty booed on tax increment (TI) generated from the completion of 83 single-homes, 48 twin-homes, and 2 commerical developments at a maximum of three years. Potential cumulative HACA loss is $141,000 of which Mr. Caseerly indicates the city can recover 25% of TI (Program and Administration Allowance) or $100,000. The HACA loss of $41,000 is a lose to the City not the HRA. HRA Attorney Bubul states the State penalizes a City in order to recover its lose duo to its increased school aid exponditure. Due to Legislative changes, a City is allowed to expand 25% of the TI outside the district for public expenses Page 2 HRA MINUTES SEPTEMBER 7, 1994 on an Economic District. This is not true for a Soils Condition District which states 100% of the TI ($400,000) must be used for soil deficiencies within the district. However, the City can recover 10% for administrative cost. Based on Mr. Casserly's projections, the city can recover $40,000 of the $141,000 HACA Penalty. The HACA loss to the city is $101,000. The TIF reimbursement could be based on value of housing, phased development, certification of completion of soil corrections and payment, etc. The maximum life of a Soila Condition District is twelve years; however, it is anticipated this district will be decertified prior to the twelve years. With consideration of the land values and the market system, Jeff O'Neill viewed the project as an opportunity for the City, dollar amount of request is not excessive, and grading costs per lot is a small percentage higher than other developments. Rick Wolfsteller noted the grading costs per lot within Oak Ridge is $3,125 (wetlands) and Cardinal Hill Phase TV is $2,400. Wetlands do not qualify for a Soils Condition District. In order to delete the public safety hazard associated with the mined -gravel pit, Tom St. Hilaire made a motion to approve the preliminary concept for use of TIP as a Soils Condition District. Pay-as-you-go assistance not -to -exceed $102,000 as outlined in Option II. Brad Barger seconded the motion and with no further discussion, the motion passed 3-1. Yeas; Tom St. Hilaire, Brad Barger, and Ben Smith. Nay: Al Larson. Mr. Larson was supportive of the development; however, he voted against the uoo of TIP as he felt the reclamation costs asoociated with the mined -gravel pit were the responsibility of the party who riped the benefits from the mined -gravel pit. Mr. Cosserly mentioned the $132,000 grading costa were only preliminary projections. Chairperson Larson thankod all persons for their attendance. 4. CONSIDERATION OF PROJECT UPDATES; a) Senior -Congregate Housing Committee - Chairperson Larson reported the Monticello Senior Housing Alliance selected the team of BRW Elness Architects, Inc. and Presbyterian Homos of Minnesota by an unanimous vote. The alliance tourod two projects completed by the each of the three developers under consideration prior to their selection. b) Custom Canopy, Inc. - No comment on the enclosed letter. Page 3 I HRA MINUTES SEPTEMBER T, 1996 OTHER BUSINESS. a) The HRA accepted the monthly billings from PRO and Holmes & Graven as presented. b) Chairperson Larson requested Koropchak take Kevin Boynton to lunch to express the City's willingness to work with First National Bank, as well, as Marquette Bank on any industrial financial proposals. 6. ADJOURNMENT. The HRA meeting adjourned at 8:30 p.m. (N� \<C&a�� 011ie Koropchak, HRA E utive Director Page 4 HRA AGENDA OCTOBER 5, 1994 Consideration to adopt a resolution authorizinq Public Resource Group, Inc. to begin preparation for the modification of Redevelopment Protect No. 1 boundaries and olan, and for the establishment of a TIF Plan for TIF District No. 1-18. A. Reference and Backoround: The HRA is asked to consider adopting the enclosed resolution authorizing Public Resourse Group, Inc. (PRG) to begin preparation for the modification of Redevelopment Project No. 1 boundaries and plan, and for the establishment of a TIF Plan for TIF District No. 1-18. After much debate and consideration, the City Council on September 26, 1994, approved the preliminary concept for use of TIF for assistance of soil correction costs associated with the reclamation of the mined -gravel pit. A summary of the proposed 118 residential development is the construction of TO single -homes, 48 twin -homes (96 -units), and 2 commercial. The HRA collects 100 percent of the tax increment until such time the district is decertified (anticipated loss than three years). The City's lose is equal to approximately 35 percent of the tax increment collected by the HRA; however, the City can recover 10 percent of the tax increment collected by the HRA through the Administrative Allowance. Thio means any City staff or professional fees associated with the sells correction deficioncioo can be recovered; however, any costo to the HRA as HRA staff, Holmes & Graven or PRG fees must he paid and accounted from the NRA General Fund not as an expenditure of District No. 1-18. Remember, 100% of the tax Increment generated with a Soils Condition District must be used for cats associated with the soils correction deficiencieo within the district. Based on the Geotochnical Evolution Report by Braun Intertec Corporation, HRA Attorney Bubul finds the ooils corrections necessary for reclamation of the mined -gravel pit to meet Statutory requirements for establishment of the TIP Soils Condition District. The maximum life of a Soils Condition District Is 12 years and the HACA/LGA Penalty io based on 100% V not phaoed-in over time. Wetlando dq not qualify under a Soilo Condition District. 7 u Attorney Bubul Is reoearching ao to when annexation beromoo legally effective. The proceco to modify the Redevelopment Page 1 cN HRA AGENDA OCTOBER 5, 1994 Project No. 1 boundaries to include this area and the proces— to establish a new TIP District can proceed; however, if annexation is not effective the City Council would hold its public hearing and table approval of the Plan. The developer may start grading if the TIP Preliminary Agreement is executed; however, a building permit can not be issued to the developer until after the TIP Plan is approved by City Council. I'm anticipating the delivery of the executed Preliminary Agreement, copy of the purchase agreement, and $5,000 cashier check from the developer, prior the HRA meeting. However, Attorney Casserly has added two conditions to the Preliminary Agreement as noted: The cash or letter of credit referred to in paragraph 8 shall be refunded to the Developer under the fnllowing conditions: a) A Contract for Development Is approved and site work is initiated; or b) The City Council or the HRA refuses to establish the necessary tax increment financing district. It is my recommendation, the HRA not accept this as the $5,000 is to protect the HRA's risk not the developers. Attorney Bubul was faxed a copy for review. Also, Attorney Bubul states to decertify the district the termination must occur prior to July 1 of a given year. The timing Is critical and must be handled with care in order for the County to recognize the July 1 date, as the County reports the HACA/LGA Penalty to the State. However, the State gives no guarantees. As a reminder, on September 7, 1994, the HRA approved the preliminary concept for use or TIP as a Soilo Condition District in order to delete the public safety hazard associated with the minod-gravel pit. Pay-as-you-go assistance not -to -exceed $102,000. The HRA is now to conoider the following alternatives. B. Alternative Actions. 1. A motion to adopt the resolution authorizing PRO to begin \6 preparation for the modification of Redevolopmont Project No. boundaries and plan, and for the establishment of a Page 2 I V HRA AGENDA OCTOBER 5, 1994 TIP Plan for TIP District No. 1-18. 2. A motion to deny adoption of the resolution. 3. A motion to table any action. C. Staff Recommendation. With the assumption of an executed Preliminary Agreement by both the developer and the HRA, having received a $5,000 cashier check and a copy of the land purchase agreement, and based of prior HRA and City Council preliminary concept approvals for use of TIP for soils correction deficiencies, staff recommends adoption of the resolution. D. Su000rtinc Data. 4-1 Copy of the resolution for adoption and a copy of the Preliminary Plat/Plan. IM 7 r Page 3 A RESOLUTION BY THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO, WRIGHT COUNTY RESOLUTION NO. RESOLUTION AUTHORIZING PREPARATION FOR THE MODIFICATION OF REDEVELOPMENT PROJECT NO. 1 BOUNDARIES AND PLAN, AND THE ESTABLISHMENT OF TAX INCREMENT FINANCE PLAN FOR TAR INCREMENT FINANCE DISTRICT NO. 1-18 WHEREAS, the Housing and Redevelopment Authority (the "HRA"), in and for the City of Monticello, Minnesota, has received an executed Preliminary Agreement dated 1990, from Rick D. Murray, President, of Residential Development Inc. (the "Redeveloper"); and WHEREAS, the HRA has executed the received Preliminary Agreement dated , 1994; and WHEREAS, the Redeveloper has delivered a cashier's check dated 1994, in the amount of $5,000 to the HRA; and m WHEREAS, the Redeveloper and the Landowner have negotiated and executed a Sale -Purchase Agreement for approximate 72 -acres identified as the following PID numbers: City 155-500-182200 27.31 acres Township 213- -182304 Township 213- -182301 Hawk's Township 213- -182305 Hawk's; and WHEREAS, the orderly annexation process for annexation of the township parcels into the city is in progress; and WHEREAS, the Preliminary Plat/Plan for River Mill hep received approval from the Planning Commission and City Council for development of 70 Bingle -homes, 48 twin -homes (96 -unite) and 2 commercial lots; and WHEREAS, the Redevelopers has begun negotiations with Century Bank - Eden Prairie for project financing; and WHEREAS, the NRA has given preliminary concept approval for use of TIP pay-as-you-go assistance in an amount mot- to -exceed 8102,000, to assist with soils correction coats associated with the reclamation of the mined -gravel pit; and u Page 1 r HRA RESOLUTION NO. PAGE 2 WHEREAS, the City Council has given preliminary concept approval for use of TIF pay-as-you-go assistance, to assist with soils correction costs associated with the reclamation of the mined -gravel pit; and NOW, THEREFORE, BE IT RESOLVED by the Monticello Housing and Redevelopment Authority, in and for the City of Monticello, Minnesota: 1. Authorizes Public Resource Group, Inc. to modify the Redevelopment Project No. i boundaries and plan, and to establish Tax Increment Finance District No. 1-18, a Soils Condition District, and the Plan relating to District No. 1-18. 2. Requests the Monticello City Council on Monday, November 14, 1994, call for a public hearing date of Monday, November 28, 1990, for modification of Redevelopment Project No. 1 boundaries and plan, and to establish Tax Increment Finance District No. 1-18 and adopt the Tax Increment Finance Plan relating thereof. Adopted this th day of October, 1994. ATTEST: HRA Executive Director NRA Chairperson Page 2 HRA AGENDA OCTOBER 5, 1996 6. Consideration to discuss the letter addressed to HRA Chairoeson Larson from Steve Birkeland. Jr. prior to resaondina. Reference and Background: After review of the September 13 letter from Mr. Birkeland and a review of the HRA letters dated November 9 and December 20, 1993, and March 8 and August 15, 1996, Chairperson Larson request discussion and direction prior to an HRA response. Also enclosed Is a response to Mr. Birkeland's letter from Jeff O'Neill. You might reconsider the pay-as-you-go TIF assistance which was scheduled to begin in 1995, if indeed, Mr. Birkeland has completed by mid-October the non -screened area as per the NRA letter dated March 8, 1996. As of today, I see no such evidence for a mid-October completion. Mr. Birkeland has Improved maintaining the grounds. This item is open for discussion. �.b 7 V CUSTOM CANOPY 2180ntls Rd Mwfbew. UN 66]92 TdWhom 14KO64M138 Fa 1 4100608138 September 13, 1994 City of Monticello Housing and Redevelopment Authority 250 East Broadway PO Box 1147 Monticello, MN 55362 Dear Mr. Larson 1 was extremely disappointed with the HRA decision to deny Custom Canopy the TIF payments to which we are entitled. The purpose of this letter is to review what has transpired with our project to date and to try to prevail upon you to reconsider your decision. It seems the main problem is the 60 fl of fencing that is not completed and never was to be completed due to the fact that we will be putting up another building. We were not issued a building permit until June 15, 1994, so in reality there was no possibility to be completed by July 1, 1994. Butler Buildings has a 10-15 week lead time and the building is scheduled to be completed by mid-October. 1 ask you to reconsider your decision to deny our TIF payments. I am loathe to write to write lengthy letters but when such a large amount of money and future good will is involved, 1 feel 1 must. Please bear with me as 1 review my point of view, a position neither you nor many of the other members maybe aware of. I have waited almost a month to write to you, after talking to my bankers and attorneys, in order to "cool down". I do feel, however, that 1 have been treated unfairly, and prevail upon you to be just Our project was designed to have a U-shaped driveway. This would have enabled us to utilize our anire building by being able to drive trucks through both sides, to unload with a forklift. As we started the project we were informed that city code required that driveways had to have 125 fl of separation, therefore we would only be allowed (1) 20 fl. driveway. The architect firm redesigned the parking area with a radius that would supposedly still allow us to drive through both sides of the building. This was the first of many added expenses 1 incurred. Immediately after occupancy of the building it became clear we would not be able to get a truck through the east side of the building. This resulted in our being forced to store vehicles and steel outside. I remember Gary Anderson came over and we talked about the driveways. He has a CDL license and has driven trucks, he knew right away that it was impossible for trucks to get into the east side of the budding. He suggested 1 go before the city council for a variance to put in the driveway that was on the original plans. The variance was denied upon review. He then put us on the agenda for November of 1993. Before the meeting Jeff O'Neill came out and said that with the steel being stored outside we would need a fence down Fallon Ave. 1 wasn't crazy about the idea but agreed in order to get the second driveway. As our conversation went on Jeff asked if maybe we would go part way down the northside of the property, so that people turning onto Fallon would not be able to see into our yard. 1 agreed and thought we were set for the planning meeting. By this time 1 was resigned to putting up some fencing and excavating and filling with crushed concrete the area behind our budding, this was another cost increase. When the planning meeting started, one of the members asked the question why the city would ward 125 ft of spacing between driveways and why there was a 24 ft. maximum. One of the other members said that they were changing that because of the H -Windows and Standard Iron projects and that many of the other driveways were wider than 24 fi. and closer than 125 fi. Gary Anderson then said that actually he had researched the ordinance and that an owner was allowed (1) driveway for every 125 R of road frontage. In other words my original plans where in compliance, l could put another driveway anywhere 1 wanted. Actually 1 was within 10 ft of being able to put in (3) driveways. Needless to say 1 was stunned. Here I was trying to get a variance to put in the original site plan, which had been denied rendering herr of my building useless, when I didn't need a variance nor should my original plan been denied. As 1 stated I was stunned, as a direct result of that decision I had already spent over S30,000 extra. Now I was looking at another $5,000 to cut in another driveway, or $5,000 for fencing. Nast Jeff O Neill comes up with his fencing plan. It was not at all what we had discussed previously. He now had a 6 ft high fence going around the entire property, over twice as much fencing and over a foot higher. This was approved by the committee. We're now into November of 1993, fall being my busiest pan of the year and 1 have to shop for fencing while most fencers had closed down for the season. None of them could imagine a 6 fi fence with screening, the wind loads would be too great, none would even guarantee such a fence. 1 then called Gary Andersen to explain my problem, he told me that he had done more research and that actually by ordinance 1 was not allowed to build a 6 ft high fence. Anything over 6 fi required a variance and engineered drawing. 1 would have to go to another meeting for a variance or get the city council to change the planning comrnissions recommendation to conform to the ordinance and allow for a 5 R high fence. 1 went to the council meeting and they approved exactly what 1 had put up, a 5 ft fence around my property, to the point the additional building would be, with no gates installed. However, with the additional fencing 1 would be required to add additional trees and shrubs, another expense. Around Thanksgiving, in 0 degree temperance and partially frozen ground, our few! is !wt in and the trees are planted. This was done at considerable expense due to the cold conditions. In the spring the HRA comes out and tells me 1 now need to put a gate in the fencing. The city council had specifically told me that a gate was not a requirement. By now I am quite weary of all the constant changes in requirements. My business has almost tripled since I first planned to move to Monticello. 1 just wanted to do my work, make everyone happy and be left alone. When the ground thawed out, the fencing company came back and removed the poles and concrete they had installed that past fall. They repoured the concrete and installed larger poles to support the installation of a gate, that was now required. Everything was completed except the last 60 R of fmcing, which would never be done bemuse we were putting a building there. I waited for my building permit, about June 10, 1994,1 went to see Gary Anderson wondering where my permit was. He said he had been crazy busy and would get to it. On June 15th 1 got the permit and i umediately poured the slab for the new building. I then called the contractor and was informed that with all the problems with the variance/non- variance issues, he had not ordered the hui ft and that it would be 10-15 weeks. This would put us in late September or early October, which is where I am at today. 1 fel that in lieu of all that has gone on, you should reconsider your decision. 1 feel that since the building permit was not issued until mid-June, it is not reasonable to expect a July I st completion. 1 also fed that since the slab for the building is poured and the building ordered, it was not reasonable to expect 60 R of fencing to be erected. 1 believe that the time for completion should be extended until November or December. Even if we are not entitled to this years TIF payment, l believe that once in compliance we should receive all our TIF payments starting in 1995. Thank you for taking the time to listen. I would like to meet soon to discuss this matter with you but thought it would be more productive to let you know my thoughts and give you time to consider the matter first, before we mat. Sittcaely, Stephen P Birkeland, Jr SPBfJJlb `+ cc: Otlie Koropchak, HRA Executive Director Gary Anderson, Building Official 250 Etat Broadway P. O. Box 1147 Monticello, MN 55362.9245 MEMO Phone: (612) 295.2711 Metro: (612) 333.5739 Fax: (612) 295.4404 / TO: 011ie Koropchak✓Economic Development Director, HRA members FROM: Jeff O'Neill, Assistant Administratorc�.(,) DATE: September 16, 1994 U /W - RE: Letter from Steve Birkeland 1 I have reviewed the letter from Steve Birkeland to Al Larson regarding development issues associated with Custom Canopy. In his letter, Birkeland points to the City as the cause of delays in completion of required site improvements. This is to let you know that at your request, I would be very happy to make a complete response to each item Birkeland has noted. I can't help but make a partial response to his letter, so here it is. 1. During the initial site planning process, Custom Canopy officials were asked if there would be any outside storage on site. Custom Canopy said no, all materials would be stored inside. Surprise, once the facility was occupied, the required parking area in the rear along with the yard area became a storage and work yard arca which, without a conditional use permit, is in violation of the ordinance. It was after this practice of storing material outside began that the City required that Custom Canopy obtain a conditional use permit. The Planning Commission and City Council required screening of stored materials in compliance with the ordinance. If Custom Canopy had informed City staff about the outside storage during the site planning process, they would have found out about the CUP/screening fence requirement and avoided the "surprise." 2. The initial landscaping plan and associated tree planting requirement was based 46� on the initial site plan presented to City staff, which did not include an area for outside storage. Once the true developed area was defined, including the outside Memo 011ie Koropchek and HRA September 16, 1994 Page 2 storage area, the tree requirement was adjusted accordingly. Again, custom canopy would have avoided the tree planting surprise if staff had been provided accurate site plan data in the first place. With regard to the gate, it is the view of staff that it is correct to require installation of a screened gate. The ordinance requires that outside storage be screened from the public right-of-way. Without installation of a screened gate, the material inside the storage area can easily be seen from Fallon Avenue. If you would like me to provide a more detailed response and associated paper trail, please let me know. cc: Gary Anderson, Building Official Rick Wolfsteller, City Administrator PFA August 15, 1994 250 Eau Broadway P. O. Box 1147 Monricdlo, MN 55362.9245 Phone: (612) 295-2711 Metro: (612) 333.5739 Fax: (612) 295.4404 Stephen P. Birkeland, Jr. and Joan M. Birkeland Custom Canopy, Inc. 219 Dundas Road Monticello, MN 55362 Dear Mr. and Mrs. Birkeland, Jr.: The Monticello Housing and Redevelopment Authority (HRA) thanks you for your investment into the City of Monticello. It is our hope that Custom Canopy and your industrial neighbors take pride in their investment by helping to maintain an aesthetical and Quality industrial park; therebye, protecting one's investment. As per the HRA letter dated March 8. 1994, the HRA extended the time for completion of the non screen -fenced area and gate to July 1, 1994. with the non -completion of the non screen -fenced area and gate, the HRA did not approve the Certificate of Completion. It is with regret, we must inform you that the HFA has determined the Birkeland's in default of the Private Redevelopment Contract. Therefore, the Birkelands shall receive no annual TIP payment from the HRA. Page 1 Stephen and Joan Birkeland, Jr. August 15, 1994 If you have any questions, we'd be happy to sit down and discuss the matter with you. Sincerely, HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO, MINNESOTA Al Wson HRA Chairperson COQ 011ie Roropchak HRA Executive Director cc: Pat Dwyer, Bank of Elk River Jeff O'Neill, Zoning Administrator Gary Anderson, Building Official TIF District No. 1-15 File IPage 2 March 8, 1994 MONI1Cp1.O 250 East Broadway P. O. Boz 1147 Monticello, MN 55362.9245 Phone: (612) 295.2711 Mecro: (612) 333.5739 Fax. (612) 295-4404 Stephen P. Birkeland, Jr. Custom Canopy, Inc. 219 Dundas Road Monticello, MN 68362 Dear Mr. Birkeland, Jr.: On February 14, 1994, HRA Chairperson Al Larson, Building Official Gary Anderson, and myself met with you, the Redeveloper, to assess and determine completion of the minimum improvements constructed on Lot 6, Block 2, Oakwood industrial Park. Upon conclusive determination of satisfaction, the Housing and Redevelopment Authority (HRA) is to furnish you, the Redeveloper, with a Certificate of Completion per the Private Redevelopment Contract dated April 12, 1993, between the HRA in and for the City of Monticello and Stephen P. Birkeland, Jr. and Joan M. Birkeland. During the February tour of Custom Canopy, Inc., the following Items were discussed and determined as unsatisfactory: 1. The semi -truck parked outside and to the rear of the 6 -foot screen -fence is a violation of the City Ordinance and must be moved and parked within the screen-fencod area. (No outdoor storage or parking is allowed outside an approved screen- fencod area). 2. The supplied van -accessibility sign must be erected to the outside handicap signage pole to comply with the American Disability Act. 3. The lack of exposed address numbers to the outside front of a building is a violation of the City Ordinance and must be erected. Page 1 V Mr. Birkeland, Jr. March S. 1994 4. The non screen -fenced area leading west from the northwesterly corner of the facility then north to the point of the existing screen -fence is a violation of the screening requirement set by the Planning Commission and City Council. A free-standing paint building may be constructed and the screen -fence extended or trees planted to meet the screening requirement, or the existing screen -fence extended or trees planted to meet the screening requirement. The lack of a southerly screen -fenced gate along Ballon Avenue is a violation of the screening requirement set by the Planning Commission and City Council and must be installed. 6. With the snow cover, assessing the completion and germination of the lawn seed was difficult to determine; however, the City has monies in escrow for landscaping. Additionally, the group informed you, the Redeveloper, that City Zoning and Ordinances are written to protect both you and your neighbor's property and property values. At the March 2 meeting, the above -listed violations were reviewed and discussed by HRA members. The annually -appointed members determine the use of TIF and must be accountable to taxpayers for Its use. HRA members were disappointed that the Redeveloper has made no attempt to complete Items 1 through 3 since the February 14 meeting and requested the Redeveloper take immediate action to comply with the City Ordinance. Since the Redeveloper received inconsistent interpretations of the City Ordinance as to the number of curb cuts allowed per 120 feet of street frontage, the HRA members approved a completion date of July 1, 1994, for Items 4 and S. If the Redeveloper has not completed Items 4 and 8 or Is in violation of the City Ordinances on July 1, 1994, the HRA will not issue the Certificate of Completion. If the Certificate of Completion is not issued, the Redeveloper defaults on the obligations and conditions of the Privato Redevelopment Contract, Article III, Page 7, Tax Increment Assistance.; therefore, the Redeveloper will not receive the annual TIF assistance payment of 87,428.59 which equates to a total of 889,412.72 over eight years. 7 Page 2 v Mr. Birkeland, Jr. March 8, 1994 If you have any questions, please do not hesitate to call me at (612) 295-2711. Sincerely, HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO Z �lY� \-�' Q1 --C' D 011ie Roropchak Executive Director cc: Pat Dwyer, Bank of Elk River Al Larson, HRA Chairperson Jeff O'Neill, Zoning Administrator Gary Anderson, Building Official TIF District No. 1-25 File ✓ j Page 250 East Broadway P. O. Box 1147 Monticello, MN 55362.9245 Phone: (612) 295.2711 Metro: (612) 333.5739 Fax: (612) 295.4404 Mr. Stephen P. Birkeland, Jr. Custom Canopy, Inc. 219 Dundee Road Monticello, MH 55362 Dear Mr. Birkeland, Jr.: December 20, 1993 In reference to the Private Redevelopment Contract between Stephen P. Birkeland, Jr. and Joan M. Birkeland and the Monticello Housing and Redevelopment Authority (HRA), the Redeveloper agreed to complete •onstruction of the minimum improvements by December 31, 1993. Thereafter, I -A -.he HRA agreed to furnish the Redeveloper with a Certificate of Completion (Page 10, Section 4.4 of the Contract). In order for the NRA to make a conclusive determination of satisfaction and termination of the contract with respect to construction of the minimum Improvements and the dates for beginning and completion, HRA Chairperson Al Lareon; Building Official Gary Anderson; and myself will make a site visit. The site visit has been scheduled for Wednesday, January 19, 1994, at 10:00 a.m. Stephen, if this date Is not convenient, please call my office at 296-2711 to reschedule. We look forward to visiting your new facility at 219 Dundee Road. Sincerely, CITY OF MUHTICBLLO c� - `�dAu.-.69 5- 1-011ie Koropchak HRA Bxecutive Director cot Rick Wolfeteller, City Administrator Jeff O'Neill, Assistant City Administrator 7 HRA pile November 9, 1993 bONCV!IW 250 East Broadway P. O. Box 1147 Monticello, MN 55362.9145 Phonr (612) 295.2711 Metro: (612) 333-5739 Fax: (612) 295-4404 Mr. Stephen P. Birkeland, Jr. Custom Canopy, Inc. 219 Dundas Road Monticello, MN 55382 Dear Mr. Birkeland, Jr.: The Monticello Housing and Redevelopment Authority (HRA) reviewed the terms and conditions of the April 12, 1993, Private Redevelopment Contract between Stephen P. Birkeland, Jr. and Joan M. Birkeland and the HRA at their regular November meeting. As per the contract, the HRA noted the Redeveloper agreed to complete construction of the minimum improvements by December 31, 1993; secondly, agreed to construct, operate, and maintain the minimum improvements and the construction and redevelopment plane in accordance with all local, state, and federal laws and regulations; and thirdly, until maturity date, agreed to operate, maintain, preserve, and keep the minimum improvements in good repair and condition. Stephen, the HRA's intent of this letter is two -fold. Hirst, is to remind the Redeveloper of the terms and conditions of the Private Redevelopment Contract. Secondly. Is to advise the Redeveloper if the terms and conditions of the contract are not satisfied, the Redeveloper stands to lose an annual payment of approximately 57.428.59 or 58,428.59 over eight years or through the maturity date. The HRA aims for a 'win/win" situation for the community and its new developments. If you have any questions Mr. Birkeland, Jr. November 9, 1993 Page 2 regarding the contract, please call 011ie Koropchak, HRA Executive Director, at 298-2711. Sincerely, HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF MONTICELLO Al Larson Chairperson AL/ok cc: HRA Members Rick Wollsteller, City Administrator d HRA AGENDA OCTOBER 5, 1994 5. Consideration to review the letter written to the H -Window Company as it relates to the Certificate of Completion. A. Reference and Backaround: To comply with the Private Redevelopment Contract dated September 23, 1993, the minimum improvements, defined as a 25,600 sq ft manufacturing expansion and 4,000 eq ft second - floor office expansion, must to completed for HRA issuance of the Certificate of Completion prior to the end of 1994. At this time, the Building Official has not issued an occupancy permit for the second -floor. The enclosed letter from the Building Official suggests extending the dates for completion of the parking lot, landscaping, and screening of exterior storage to the spring of 1995. The TIF Reimbursement to the H -Window for public redevelopment costs is scheduled to begin August, 1995. The semi-annual installments at an interest rate of lit per annum continues through February, 2003. The TIP Reimbursement payment is subject to issuance of the Certificate of Completion and upon certification of a project engineer or r° other project supervisor showing in adequate detail that the public redevelopment costs have been incurred and paid by the H -Window. This is an informational item which can be discussed by the HRA if so desired. "7 4 250 East Broadway P. O. Box 1147 September 20, 1994 Monticello, MN 55362.9245 Phone: (612) 295-2711 Metro: (612) 333-5739 Fax: (612) 295.4404 Mr. Steve Lemme H -Window Company 1324 East Oakwood Drive Monticello, MN 88362 Re: Completion of parking lot expansion, landscaping, and exterior storage screening Dear Mr. Lemme: his letter is a follow-up of our conversation on September 19, 1994, at approximately 2:20 p.m. The `Following items were discussed and are listed below: 1. Parking Lot Completion - The parking lot expansion completion is to be completed in the spring of 1998. 2. Landscaping - The landscaping will be completed along with the parking lot expansion in the spring of 1998. 3. Screening of Exterior Storn¢e - On the north side of the building, the existing aluminum stored outside will be removed and placed back inside the building or will be picked up by an aluminum recycler. If any exterior storage would occur here other than the dust collection unit, the area would be screened -in. The area on the south side of the building, which would be racks for window glass and the garbage dumpster, will have a screening fence around it. The screening fence will be installed sometime this fall. Please send us a letter with starting dates and completion dates for the above -referenced three items. If you have any questions, please feel free to contact me. Sincerely, CITY OF MONTICELLO u Ary Anderson Building Official GAhd V HRA AGENDA OCTOBER 5, 1994 6. Consideration to review the letter received from Ronald Musich as it relates to the executed Private Redevelopment Contract. A. Reference and Background: The executed Private Redevelopment Contract of August 8, 1994, between Ronald S. Musich and the HRA, states the redeveloper shall commence construction of the minimum improvements prior to or on October 20, 1994 and shall complete construction of the minimum improvements by December 31, 1994. The agreed upon minimum estimated market value (EMV) is $400,000 as of January 2, 1995. Within the Sales -Purchase Agreement between Monticello Industrial Park, Inc. and Ronald S. Musich, it states the closing shall take place at a time and place as Seller and Purchaser may together reasonably determine, on or before Ocotober 20, 1994. In a conversation with Bill Endres of Marquette Bank - Monticello, project lender, he foresees a closing date prior to or of October 20, 1994 as unreasonable. Additionally, he ' foresees 50% of the construction completed by December 31, 1994. Bank and MBF (Certified Development Corporation) approval are complete, they're awaiting SBA authorization. A normal construction period for SBA is six months, states Mr. Endres. Lenny Kirscht, PRO, informs me that the projected tax Increment ($174,000) generated over the life of the district iu more than sufficient to cover the HRA's direct TIF assistance of $50,000. In other words, if the minimum Improvements are not fully assessable as of January 2. 1995; the HRA will still have sufficient funds to cover the debt ocrvico. As per the enclosed letter from Mr. Musich, he states via his proposed builder that it is virtually impossible to have the proposed building completed until February -March. Based upon consideration of the parties to extend the closing date of the Solna -Purchase Agreement and upon Mr. Munich's request, the HhA may wish to consider the following. Page 1 HRA AGENDA OCTOBER 5, 1994 B. Alternative Actions: Extend the construction commencement and completion dates of the Private Redevelopment Contract and maintain the original EMV of $400,000 as of January 2, 1995. 2. Extend the construction commencement and completion dates of the Private Redevelopment Contract, reduce the EMV to $200,000 as of January 2, 1995 with an EMV of $400,000 as of January 2, 1996. 3. Extend the construction commencement and completion dates of the Private Redevelopment Contract, reduce the EMV to $200,000 as of January 2, 1995 with an EMV of $400,000 as of January 2, 1996, and reduce the level of direct TIP assistance. 4. Take the position, the Private Redevelopment Contract stands as agreed upon and executed. C. Staff Recommendation: �o Staff recommends Alternative No. 1 or 2, subject to extension of the closing date within the Sales -Purchase Agreement. Also, staff's recommendation recognizes the delay to some degree ie caused by unavailable and ndelivered building materials not the redeveloper. M". 17 V D. Supoortina Data: Mr. Muolch's letter of request to be presented at the meeting. Pago 2 L 4S Ll 1 W Fay - Mar Metal Fabricators, Inc. City of Monticello 250 E. Broadway P.O. Box 1147 Monticello, Minnesota 55362 Attn: 011ie Koropchak 011ie; Pursuant to the enclosed letter from my attorney. I would like to inform you and whom ever else need be. That I have received word from my proposed builder that it is virtually impossible to have my building complete until the February -March time frame. Please inform all that need to be. Ro sich l� Preside t Fay -Mar Tube & Metal Fabricators cc: Lang Johnson Barna, Guzy & Steffen Ltd. 10501 Hwy. 65 N6 • Blainc. Minnesota 55434 • Office 612.786-7246 0 Fax 612.784.2345 FROM Y 7 V (TUE) 10. 4.193 2842 N0.286e%402 PAGE I Facsimile Cover Sheet To: 0II19 Koropchak company. Phone: Faw 812-2854040 From: Ron Musi4h Company: Fay - Mar MdW Fab.. br- Phone: 812-787248 Fax: 812-78444 Onto: 10/05194 Pages Including this cover page: 1 Comments: Pbm isdew wW nye RRA bead en w i n "I of our IMMIMa to Feb • March Ume n e w. Tft bj" w10 rA be oompetad wd that *N. Tha * Vw Ron b 1-7 r PUBLIC RESOURCE t September 6,19% GROUP, INC. t Marketing, Detelopment & Finance Slxcialius Ms. 011ie Koropchak City of Monticello 250 East Broadway . P.O. Box 1147 Monticello, MN 55362 STATFAIENT Consulting Services -Jul 16, 1994 through August 15, 1994 C -C. u+ '_. p 7-27-94fc¢�cz c rQZT"-II_ LPK--Follow-up with 011ie regarding res. develop and follow-up_ scheduling 81.25 7-29-94 ' LPK-Mceting with the city and Bob Murray regarding soil correction TIF, preparatiom and follow-up 1.75 8.1-94 Koropchak, Steve Bubul, regarding Residential Development .75 LB-3-94LPK--011ie LPK--Follow-up with 011ie regarding Residentall Development, Inc. HOURS/NON-BILLABLE .50 MARKETINO 7.19 LPK--H-Window environmental review 1.25 TOTAL CHARGARLB HOURS 4.25 Net Chargeable Hours ® 390/Hour 5392.5 TOTAL AMOUNT DUE c= S t.S3RFK► OVER 3 OVER 60 OVER $382.50 TERMS: NET DUE UPON RECEIPT, 1.33% PER MONTH SERVICE CHARGE ON PAST DUE ACCOUNTS 42051Ancacter Lone Nanh4 Suite 1100 4 Minnenpalis, Mintmrota 55441 $ (612) 550.7979 4 (612)SSO.9221 Fox W PUBLIC RESOURCE GROUP, INC. Marketing, Development & Finance Specialists September 27, 1994 Ms. 011ie Koropchak City of Monticello 250 Fast Broadway P.O. Box 1147 Monticello, MN 55362 STATENMkff Consulting Servioes—August 16, 1994 through September 15, 1994 9-7-94 LPK—HRA regarding soil co -=U TIF preparation information 2.50 9-13-94 LPK—Tappers with 011ie and Bill Tapper 1.50 9-14-94 LPK—Tapper structure 1"00 TOTAL CHARGABLE HOURS 5.00 Net Chargeable Hours ® S90/Hour S450.QQ TOTAL AMOUNT DUB Ew CURRENT OVER 3Q OVER 60 OVER 90 5450.00 TERMS: NET DUE UPON RECEIPT, 1.33% PER MONTH SERVICE CHARGE ON PAST DUE ACgOUNTS 4205 Lancaster Lane North* Suite 1100 ♦ Minneapolis, Minnesota 55441 • (612) 5507979 • (612) 5549211 Fax r HOLMES & GRAVEN CnARTIMED al Ni►.r Cr .Mh w"Mia nAa1 T.wpb-911 f4=0 yep 1.,,mher 19. IP 14 INVOICE p 47111 HN 190: 41 C,ir'V OF MONUCELLU Redevelopment - General 110 BOX 1147 MONT ICELLO 11N 99;)62-92'4 5 For All Legal Services from August 1, 1994 Thru August 31, 1994 As Follows: 08/01/94 SJD Review soils 1'IF questions intraoffire 1.90 180 GO conference with J. Dean: phone call with 0. Koropr.ha4; phone call with J. CA%serli and L Kirscht 08/03/"?4 SJD Review soils information; phone call 0.60 70 GU with J Casserly and 0. KoropchaN re some 00/09/74 SJD Rhone r.All with 0. KoropchaN re solls 0.29 30 00 rIF Total Services. +s282 00 Name Hours Rate Amount Stnphen J 11ub4il 2.39 120.00 282.00 Total Services And Disbursements: $282 00 I dMime. urdn pmmlq Of 1.7W ` n, +a o0caun. Balm m dwwd l„ L and cqW aid that no db tin 13 rw 1 dadan, ardor pw" at lar Qat thb aeoamt. Ctdm or demand ti aid t W no pan sic^ HOLME4 & GRAVEN CHARMED Ae NW -7 Curr. MI.gr4.am T bVb-419=4 M INVOICE # 47112 MN190:45 CIT`: OF MONTICELL,: Fay — Mar TIF Project P 0 3OX 1147 MN 553os-9:.45 WONTiCELLO For All Lsgal Services Fro.n August 1, 1994 Thru August 31, 1994 A, Follows: 06/01i94 SJ3 Phone cal: with 0. KoropcnaY, revise 0.-0 ,; 1__ Contract Oe/03/94 SJ3 Phone ca:l with 0. Karopchak re J,dO Contract sna TIF information Oe/05/124 SJ3 Review Pinel TIF Plan 0 °J 3-, Tota: Sarvicss: Name Hours Pats Amount Stephen J 3ubu1 1. 20 :20, J0 14.:. ?J Total Servt.cei Ana Disoursoments: SI—1-L CJ 1 dadan, ardor pw" at lar Qat thb aeoamt. Ctdm or demand ti aid t W no pan sic^ HOLMES & GRAVEN CHAWMKD A mm"cr .LSO September 14. 19?4 iNVGICE A 47113 nN190:46 CITY ]F mQNTICELL•3 Soi13 TIF P 0 80 114 nGNTICELLO ;1h953b8-Sa7s3 1 1 For All Legal Services From August 22. 1994 Tnru AuguSt 31, 1904 As Follows. OS/22i94 SJD Review Casserly letter 0.10 ) 08/31:94 SJB Phone tail with 0 Koropchak. review 0 S0 3c. CC CUP for 9 -ant pit To -.a1 Services. f4c• `V Name Hours Rate Amount Stepan J Bubul 0.40 120.00 46 00 Total Services And Dlobursements: 44 CG 1 docmro. ung penalty m lar II VW "a aomLo, dalm a dammd 13 zff4 ammo aro 010 no Pon01 ) 5t#pnon : 1-:bu1 MINNESOTA Department of Revenue Property Ta: Division August 26, 1994 To: City Finance Officers Re: Revised 1995 HACA Notice Mail Station 3340 St. Paul, MN 55146-3340 Phone (612) 296-0256 Fax (612) 297-2166 TDD (612) 282-2095 Certain tax increment financing districts and district expansions with a certification request date after April 30, 1990 generate an aid reduction for the city in which they are located. This aid reduction provision is contained in M.S. 273.1399. A review of the tax increment financing district(s) located in your city indicates that the aid for your city is subject to a reduction under this provision. Because your city is not eligible to receive local government aid in 1995, the entire aid reduction will apply to your city's 1995 homestead and agricultural credit aid (HACA). Enclosed is a revised 1995 HACA notice for your city. It replaces the notice you received earlier which was dated August 10, 1994. In addition to the revised aid notice, you will find enclosed information identilying the tax increment financing district(s) that generated the HACA reduction for your city. If you have any questions regarding this information and the aid reduction, please contact me. My telephone number is (612) 296-0256. Very truly yours, Jerome F. Silkey, Assistant Director Property Tax Division JFS Jdw Enclosures An equal (17wrlunily rnydnyrr TDD: (612)297.2196 ' o -v tp.a.cV. MINNESOTA DEPARTMENT OFREVENUE PROFER7Y TAX DIVISION IIAIL STATION 3340 SA114T PAUL. MINNESOTA 55146-3340 PHONE: (612) 296-1963 CERTIFICATION OF HACA FOR TAXES PAYABLE 111 1995 AUGUST 10, 1994 CITY ADMINISTRATOR CITY HALL - BOX 1147 MONTICELLO CITY OF 250 E BROADWAY MONTICELLO I`IN 55362 30% /a9 THE 1995 HACA FOR YOUR TAXING DISTRICT IS . . . . . . . 9 31r3i1911 THIS AMOU14T IS TO BE DEDUCTED FROM YOUR LEVY BEFORE CERTIFICATION TO YOUR COU14TY AUDITOR (SEE ENCLOSED LETTER). THE FOLLOHINO 1S A LISTING OF THE FACTORS USED IN THE CALCULATION OF YOUR TAXI140 DISTRICT'S 1995 HOMESTEAD AND AGRICULTURAL CREDIT AID. 1. 1994 CERTIFIED HACA, 8 313,998 2. ADJUSTMEIIT TO 1994 HACA, (A) 9 0 3. 1995 HACA BASE (1 + 2), 9 313,998 4. GROWTH ADJUSTMENT FACTOR, (B) 8 0 5. FISCAL DISPARITIES ADJUSTMENT FACTOR, (C) 11 0 6. NET TAX CAPACITY ADJUSTMENT FACTORt (D) 9 0 -'. COUNTY COURT COST OFFSET- (E) 9 9 C TIFI HA J3-4+5+FF S13,998 9� IF.(A*-TIF, e00 � 98991 �IF oci <Aa AN AMOU14T15 SHOWN, NMB BE ON EXPLAINS ADJUSTMENT-$ Jl (1) ADJUSTMENT FOR PREVIOUS YEAR'S TIF MUNICIPALITY AID REDUCTION. (2) FINAL ADJUSTMENT FOR PAYABLE 1993 ANNEXATION. (3) PAYABLE 1994 AIIIIEXATION ADJUSTMENT. (B) APPLIES TO COUNTIES ONLY. ITEM 4 • 17EM 3 X (1993 HOUSEHOLD COUNT i 1992 HOUSEHOLD COUNT). (C) SEVEII-COUNTY METRO TAX1140 DISTRICTS ONLY. ITE14 5 • (1994 DISTRIBUTION TAX - (1994 DISTRIBUTION TAX X 0.97872)). 0.97872 • (PAYABLE 1994 COMMERCIAL/INDUST CLASS RATE OF 4.6X i PAYABLE 1993 COMMERCIALiIHDUSTRIAL CLASS RATE OF 4.7X). (D) ITEM 6 e 0 FOR ALL TAXINO DISTRICTS 51110E THERE WAS 110 CHANGE 111 CLASS RATES FROM PAYABLE 1994 TO 1995. (E) APPLIES TO COUNTIES ONLY. PUBLIC DEFENSE COST REDUCTION, (LAMS 1994, CH.636, ART.11, SIC.1). (F) REFLECTS ANY ADJUSTMEIIT FOR PAYABLE 1995 ANNEXATIONS. MIuuEf•01A PEP-'SI;!Ei11 OF REVENUE PROPERIY 1.X DIVISIOB MAIL STA11011 3340 SAINT PARI. MINNESOTA 55146-3340 PHOIIE: (612) 296-5141 v 1995 LOCAL GOVERNMEIIT AID NOTICE JULY 28, 1994 CITY ADMINISTRATOR CITY HALL - BOX 1147 MONTICELLO CITY OF 250 E BROADNAY MONTICELLO MII 55362 THE 1995 LOCAL GOVERNMENT AID FOR YOUR CITY IS 11 0 . FOLLOI-11110 IS A LISTINO OF THE FACTORS USED III THE CALCULATION OF YOUR CITY'S 1995 LOCAL GOVERNIIEIIT AID. SEE THE EIICLOSED LETTER FOR RII EXPLAIIATIO14 OF THESE FACTORS AILD FOR ADDITIONAL INFORMATION CONCERNING THE DETERM114ATIOIJ OF YOUR CITY'S AID. 1. PRE -1940 HOUSI110 UIIITS- 257 2. TOTAL HOUSINO UIIITS' 1.944 3. PRE -1940 HOUSING PERCEIITAGE, 13.22 x 4. 1983 POPULATION, 2,996 5. 1993 POPULAT1011' 5,293 6. POPULATION DECLINE PERCENTAGE' .00 x 7. 1993 TOTAL CLASS 3 REAL FROPERTY MARKET VALUE, • 43.099,983 S. 1993 TOTAL REAL AILD PERSOIIAL MARKET VALUE, 8 415,118,852 9. COMMERCIAL/IIIDUSTRIAL PErCENTAGE, 10.38 x 10. TRANSFORMED POPULATIOUt 520.94 11. CITY REVENUE HEED' 0 225.98 12. PAYABLE 1994 CITY WET LEVY- 0 2,653,016 13. PAYABLE 1994 CITY NET TAX CAPACITY, • 15,506,295 14. TAX EFFORT RATE' .254410 15. 14EED 114CREASE PERCENTAGE, .032221 x 16. CITY AID BASE' 0 0 17. CITY AID FORMULA (15XQIX5)-(13X14))) • 0 18. PRELIMINARY AID (16+17), 0 0 19. 1994 LOCAL GOVERIIME14T AID, 0 0 20. MAXIMUM AID' 9 265,302 21. 1995 LOA BEFORE REDUCTIONS (LESSER OF 18 OR 20), • 0 22. REDUCTION FOR STATE COSTS, • 0 23. REDUCTIO14 RESULTING FROM ESTABLISHME14T OF TIP DISTRICT, 0 0 24. FINAL 1993 LOCAL GOVER14MEIIT AID AFTER REDUCTIONS (21-22-23)1 • 0 MONTICELLO Distda Name SMM Tax Increment Aid Reduction 1994 Typo of Certification Retained Co. District Request Date Cavwred Value 86 E 04.gep..92 12,149