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HomeMy WebLinkAboutAgenda Packets - 2018/03/05CITY OF MOUNDS VIEW CITY COUNCIL WORK SESSION AGENDA MOUNDS VIEW CITY HALL Monday March 5, 2018 6:30 p.m. ROLL CALL: Mueller, Gunn, Hull, Meehlhause, Bergeron PUBLIC COMMENT Citizens may speak to issues not on tonight's agenda. Before speaking, please give your full name and address for the minutes. Also, please limit your comments to three minutes. Agenda Items Discussed by Consensus 1. Discussion of Housing TIF for MWF Properties — Business Development Director Brian. Beeman 2. Police Department Annual Review — Chief Harder 3. Discussion of Off -Sale Liquor Licensing — City Planner Sevald 4. Discussion of Comprehensive Plan Community Engagement — City Planner Sevald 5. Discussion of Front Porches (verbal report) — City Planner Sevald 6. Long Lake Road — Parking One Side — Public Works Director Peterson 7. Replace water line under Long Lake and Hillview — Public Works Director Peterson Next Work Session: Monday, April 2, 2018 at 6:30 pm Next City Council Meeting: Monday, March 12, 2018 at 6:30 pm Item No: 01 MOUNDS VIEW Meeting Date: March 5, 2018 Type of Business: Work Session Administrator review: City of Mounds View Staff Report To: Honorable Mayor and City Council From: Brian Beeman, Business Development Coordinator Item Title/Subject: Discuss Tax Increment Financing (TIF) for MWF Properties Introduction: MWF Properties is proposing to construct an approximately 60 unit workforce housing development. The developer has formally submitted their application for TIF to the City. Background: In order to make the project financial feasible the developer believes that TIF is necessary. Ehler's, the City's financial consultant, has conducted a financial analysis of the project and has determined that TIF is qualified for the project and that a financial gap exists. The Ehler's memo from the January 22, 2018 EDA meeting is attached. (Attachment 1) Kennedy & Graven has crafted a Contract for Private Development as part of the TIF. (Attachment 2) Discussion: A public hearing on this matter is scheduled for March 12, 2018 followed by Council consideration for the approval of TIF for the Boulevard Apartments development. Staff believes that the Council should discuss this matter before the March 12, 2018 public hearing. Ehler's, MWF Properties, and Kennedy & Graven will be available to explain the TIF process, reasoning for the request, requirements, findings, TIF Plan, Contract for Private Development, recommendations and answer any questions of the Council. The LHIT grant that the Council discussed at the February 5, 2018 Council work session will be considered for approval after the TIF agenda item at the March 12, 2018 Council meeting. Recommendation: Hear comments from MWF Properties who is requesting the TIF, Ehler's who has completed the financial analysis and steps required to create the TIF district, and Kennedy & Graven who will explain and answer questions on the Private Development Contract. Ask questions as needed in order to feel comfortable with the information and TIF process leading up to the March 12, 2018 public hearing. Respectfully submitted, Brian Beeman, Business Development Coordinator Attachment(s): 1) EDA Packet Setting a Public Hearing from January 22, 2018 meeting 2) Contract for Private Development (DRAFT) City of Mounds View Staff Report Item No: 7.C. Meeting Date: January 22, 2018 Type of Business: EDA Administrator Review: To: Economic Development Authority From: Brian Beeman, Business Development Coordinator Item Title/Subject: Resolution 18 -EDA -305 Calling for a Public Hearing by the City Council on the Proposed Adoption of a Modification to the Development Program for the Mounds View Economic Development Project and the Proposed Establishment of Tax Increment Financing District NO. 1-6 and the Adoption of a Tax Increment Financing Plan Introduction: MWF Properties is proposing to build a 60 unit workforce housing development and has formally requested that the City participate in Tax Increment Financing for the project. The EDA passed a resolution of support to supplement MWF's application to the Minnesota Housing Finance Agency in May 2017 for up to $546,000 of TIF assistance, subject to all standard statutory and local review requirements, including a detailed analysis of the project's costs, funding sources, income, and expenses—commonly referred to as a pro forma. The purpose of a pro forma analysis is to determine if a project demonstrates a funding gap. Based on Ehler's analysis the project does demonstrate a funding gap of at least $546,000. The requested TIF assistance helps address a funding gap to make the project financially feasible. If approved, the project is projected to generate the requested $546,000 of TIF assistance over an estimated 15 -year term. The attached resolution calls for a Public Hearing on March 12, 2018 on the proposed adoption of a Modification to the Development Program for the EDA project, the proposed establishment of Tax Increment Financing District No. 1-6, a housing tax increment financing district, and the adoption of a Tax Increment Financing Plan in accordance with Minnesota Statutes, Sections 469.090 to 469.1082, and Sections 469.174 to 469.1794. Discussion: The City's financial consultant Ehlers & Associates, Inc. is preparing the required documents in order to be in compliance with Minnesota State Statues. Part of the requirement in the TIF process is to set a Public Hearing date to provide anyone from the public an opportunity to hear and speak to the creation of the Housing TIF District. Ehlers has conducted an analysis for the project and will be in attendance to answer any questions of the EDA before the Public Hearing is formally set for March 12, 2018. Recommendation: Attached for your consideration is Resolution NO. 18 -EDA -305, a resolution that sets the required Public Hearing for March 12, 2018. Respectfully submitted, Brian Beeman Business Development Coordinator MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION NO. 18 -EDA -305 RESOLUTION REQUESTING THE CITY COUNCIL OF THE CITY OF MOUNDS VIEW CALL FOR A PUBLIC HEARING ON THE PROPOSED ADOPTION OF A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR THE MOUNDS VIEW ECONOMIC DEVELOPMENT PROJECT AND THE PROPOSED ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 1-6 (A HOUSING DISTRICT) THEREIN AND THE ADOPTION OF A TAX INCRMENT FINANCING PLAN THEREFOR. BE IT RESOLVED, by the Board of Commissioners ("Board") of the Mounds View Economic Development Authority ("EDA") as follows: WHEREAS, the City Council ("Council") of the City of Mounds View, Minnesota ("City") established the Mounds View Economic Development Project pursuant to Minnesota Statutes, Sections 469.174 to 469.1794, inclusive, as amended, in an effort to encourage the development and redevelopment of certain designated areas within the City; and WHEREAS, the EDA is proposing a Modification to the Development Program for the Mounds View Economic Development Project and the establishment of Tax Increment Financing District No. 1-6 therein and the adoption of a Tax Increment Financing Plan therefor, all pursuant to, and in accordance with, Minnesota Statutes, Sections 469.174 to 469.1794 and Sections 469.090 to 469.1082, inclusive, as amended; NOW, THEREFORE BE IT RESOLVED by the Board as follows: 1. The EDA hereby requests that the Council call for a public hearing on March 12, 2018 to consider the proposed adoption of a Modification to the Development Program for the Mounds View Economic Development Project (the "Development Program Modification") and the proposed adoption of a Tax Increment Financing Plan (the "TIF Plan") for Tax Increment Financing District No. 1-6 (the "TIF District"), a housing tax increment financing district, (the Development Program Modification and the TIF Plan are referred to collectively herein as the "Program Modification and TIF Plan") and cause notice of said public hearing to be given as required by law. 2. The EDA directs the Executive Director to transmit copies of the Program Modification and TIF Plan to the Planning Commission of the City and requests the Planning Commission's written opinion indicating whether the proposed Program Modification and TIF Plan are in accordance with the Comprehensive Plan of the City, prior to the date of the public hearing. 3. The Executive Director of the EDA is hereby directed to submit a copy of the Program Modification and TIF Plan to the Council for its approval. 4. The EDA directs the Executive Director to transmit the Program Modification and TIF Plan to Ramsey County and Mounds View School District No. 621, in which the TIF District is located, not later than February 9, 2018. 5. Staff and consultants are authorized and directed to take all steps necessary to prepare the Program Modification and TIF Plan and related documents and to undertake other actions necessary to bring the Program Modification and TIF Plan before the Council. Approved by the Board on January 22, 2018. Carol Mueller, President ATTEST: Nyle Zikmund, Executive Director M (��- In]c To: Brian Beeman, Business Development Coordinator City of Mounds View From: James Lehnhoff and Jason Aarsvold, Ehlers Date: January 16th, 2018 Subject: MWF Properties Housing TIF Review 2685 Highway 10 NE In March 2017, MWF Properties LLC, (the "Developer") submitted a request to the City of Mounds View Economic Development Authority (the "EDA") for Tax Increment Financing assistance to construct 60 new affordable apartments at 2685 Highway 10 NE. The $14.65 million project includes a mix of 1, 2, and 3 bedroom units. The Developer requested a resolution of support from the EDA to supplement their application to the Minnesota Housing Finance Agency requesting the majority of the project funding needs. The EDA approved a resolution of support in May 2017 for the project for up to $546,000 of Tax Increment Financing ("TIF") assistance, subject to all standard statutory and local review requirements, including a detailed analysis of the project's costs, funding sources, income, and expenses—commonly referred to as a pro forma. The Developer submitted their funding application to Minnesota Housing in June 2017 and was subsequently selected for funding in October 2017. The Developer has since submitted their updated pro forma to the EDA for analysis. The purpose of a pro forma analysis is to determine if a project demonstrates a funding gap. Ehlers conducted a thorough review of the Developer's current pro forma based on industry standards for construction, land, and project costs; affordable rental rates and operating expenses; developer fees; available funding sources; underwriting criteria; and, project cash flow. Based on the results of the pro forma analysis, the project does demonstrate a funding gap of at least $546,000. The requested TIF assistance helps address a funding gap to make the project financially feasible. If approved, the development is projected to generate the requested $546,000 of TIF assistance over an estimated 15 -year term. Pro Forma Analysis The development pro forma information generally meets the expectations of a rental housing project utilizing 4% low-income housing tax credits ("LIHTC") and other sources of public funding. The proposed summary sources and uses include: EHLERS LEADERS IN PUBLIC FINANCE www,ehlers-inc.com Minnesota phone 651-697-8500 3060 Centre Pointe Drive Offices also in Wisconsin and Illinois fax 651-697-8555 Roseville, MN 55113-1122 toll free 800-552-1171 MWF Apartment Proposal January 16, 2018 Page 2 1. Acquisition Costs - Acquisition costs of approximately $11,000 per unit are within the typical market range of $5,000 to $15,000 per unit. 2. Total Development Costs (TDC) -The TDC is approximately $14.65 million or $244,000 per unit. Multi -family projects in this market generally range between $225,000 and $275,000 per unit. Developer Fee - The proposed developer fee is approximately 9% of TDC, which is within the typical industry range of 8-10% for LIHTC projects. The Developer is also deferring approximately 81 % of their developer fee. The deferred portion of the fee is then paid to the Developer through future cash flow, which is projected to take approximately 13 years and is longer than the typical 8-10 years. The reasonable developer fee and higher deferred fee helps minimize the project's funding gap. 4. Rents - The proposed rents are within 5% of the regulatory maximum allowed to be charged in projects using LIHTC proceeds. 5. Operating Expenses - The operating expenses of approximately $3,900 per unit per year are within the typical range of $3,500 to $4,500 per unit per year. 6. Management Fee - The proposed management fee of 5.8% of revenue is higher than the typical 3% to 5% of revenue; however, reducing the fee has a nominal impact because this relatively small project produces less revenue. 7. Reserves - The annual deposit to replacement reserves is set at $450 per unit per year, .which is typical for projects that include financing from Minnesota Housing. Amount Pct. Per Unit Acquisition Costs Amount Pct. Per Unit First Mortgage 6,074,700 41% 101,245 TIF Note 546,000 4% 9,100 MWF GP Loan 516,192 4% 8,603 Low Income Housing Tax Credits 3,814,404 26% 63,573 Energy Rebate 1,800 0% 30 Minnesota Housing Deferred Loan 1,736,000 12% 28,933 Ramsey County HRA HOME Loan 400,000 3% 6,667 Met Council LHIA Deferred Loan 500,000 3% 8,333 Deferred Developer Fee (81% of Total Fee) 1,059,223 7% 17,654 TOTAL SOURCES 14,648,319 100% 244,139 1. Acquisition Costs - Acquisition costs of approximately $11,000 per unit are within the typical market range of $5,000 to $15,000 per unit. 2. Total Development Costs (TDC) -The TDC is approximately $14.65 million or $244,000 per unit. Multi -family projects in this market generally range between $225,000 and $275,000 per unit. Developer Fee - The proposed developer fee is approximately 9% of TDC, which is within the typical industry range of 8-10% for LIHTC projects. The Developer is also deferring approximately 81 % of their developer fee. The deferred portion of the fee is then paid to the Developer through future cash flow, which is projected to take approximately 13 years and is longer than the typical 8-10 years. The reasonable developer fee and higher deferred fee helps minimize the project's funding gap. 4. Rents - The proposed rents are within 5% of the regulatory maximum allowed to be charged in projects using LIHTC proceeds. 5. Operating Expenses - The operating expenses of approximately $3,900 per unit per year are within the typical range of $3,500 to $4,500 per unit per year. 6. Management Fee - The proposed management fee of 5.8% of revenue is higher than the typical 3% to 5% of revenue; however, reducing the fee has a nominal impact because this relatively small project produces less revenue. 7. Reserves - The annual deposit to replacement reserves is set at $450 per unit per year, .which is typical for projects that include financing from Minnesota Housing. Amount Pct. Per Unit Acquisition Costs 655,461 4% 10,924 Construction Costs 11,036,876 75% 183,948 Professional Services 523,000 4% 8,717 Financing Costs 765,729 5% 12,762 Developer Fee 1,300,000 9% 21,667 Cash Accounts/Escrows/Reserves 367,253 3% 6,121 TOTAL USES 14,648,319 100% 244,139 1. Acquisition Costs - Acquisition costs of approximately $11,000 per unit are within the typical market range of $5,000 to $15,000 per unit. 2. Total Development Costs (TDC) -The TDC is approximately $14.65 million or $244,000 per unit. Multi -family projects in this market generally range between $225,000 and $275,000 per unit. Developer Fee - The proposed developer fee is approximately 9% of TDC, which is within the typical industry range of 8-10% for LIHTC projects. The Developer is also deferring approximately 81 % of their developer fee. The deferred portion of the fee is then paid to the Developer through future cash flow, which is projected to take approximately 13 years and is longer than the typical 8-10 years. The reasonable developer fee and higher deferred fee helps minimize the project's funding gap. 4. Rents - The proposed rents are within 5% of the regulatory maximum allowed to be charged in projects using LIHTC proceeds. 5. Operating Expenses - The operating expenses of approximately $3,900 per unit per year are within the typical range of $3,500 to $4,500 per unit per year. 6. Management Fee - The proposed management fee of 5.8% of revenue is higher than the typical 3% to 5% of revenue; however, reducing the fee has a nominal impact because this relatively small project produces less revenue. 7. Reserves - The annual deposit to replacement reserves is set at $450 per unit per year, .which is typical for projects that include financing from Minnesota Housing. MWF Apartment Proposal January 16, 2018 Page 3 8. First Mortgage — The analysis confirms that the Developer has maximized the potential first mortgage. The proposed 4.6% interest rate and 40 -year term are competitive in the market and help minimize a funding gap. Low-income Housing Tax Credits ("LIHTC") — The project anticipates tax credit pricing of $0.93 for every $1.00 of available tax credits, which generates approximately $3.8 million of proceeds. Tax credit pricing declined at the end of 2016 and has remained lower than realized in the prior several years. Tax credit pricing on many current projects is between $0.85 and $0.95. Smaller projects like this one also tend to draw less attention from tax credit investors resulting in lower pricing. Based on current conditions, the assumed tax credit equity is reasonable. 10. TIF Note — The proposed $546,000 of TIF assistance represents approximately 4% of total project costs. Depending on the project type, TIF assistance is commonly in the range of 4-10% of total project costs. 11. MWF GP Loan — The Developer currently anticipates including a $517,000 loan from itself to resolve a remaining funding gap that is not covered by the TIF, mortgage, or other public proceeds. This type of loan is referred to as a General Partner Loan or GP Loan. This GP loan would be repaid through future cash flow or through refinancing after the initial 15 -year affordability compliance period. For projects using LIHTC, it is somewhat uncommon for developers to provide GP Loan; however, this suggests that MWF is working to minimize the funding request. MWF may seek additional funding sources to reduce or eliminate the GP Loan; however, that would not change the conclusion of this analysis unless MWF secures more additional funding than the current GP Loan amount. Based on the submitted project information, the Developer has maximized the potential private mortgage and low-income housing tax credit proceeds. However, a demonstrated financial gap remains. The proposed development will not reasonably be expected to occur solely through private investment within the reasonably near future. Due to the costs associated with developing the property and constructing housing with affordable rents, this project is feasible only through assistance. If approved, the development is projected to generate the requested $546,000 of TIF assistance over an estimated 15 -year term. The TIF would be structured as a "pay as you go" note. Please reach out with any questions at 651-697-8552. First Draft February 27, 2018 CONTRACT FOR PRIVATE DEVELOPMENT between MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY and BOULEVARD APARTMENTS, LIMITED PARTNERSHIP Dated: 2018 This document was drafted by: KENNEDY & GRAVEN, CHARTERED (JAE) 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, Minnesota 55402 Telephone: 612-337-9300 516911 v 1 JAE MU205-47 PREAMBLE Section 1.1. Definitions TABLE OF CONTENTS ARTICLE I Definitions ARTICLE II Representations and Warranties Page ...................1 ..............2 Section 2.1. Representations by the Authority........................................................................................5 Section 2.2. Representations and Warranties by the Developer.............................................................. 5 ARTICLE III Property Acquisition; Public Development Costs Section 3.1. Status of the Development Property .................................................................................... 7 Section3.2. Contingencies......................................................................................................................7 Section 3.3. Environmental Conditions...................................................................................................7 Section 3.4. Acquisition of Tax -Forfeited Property................................................................................7 Section 3.5. Public Development Costs; Developer Reimbursement..................................................... 7 Section 3.6. Issuance of Pay -As -You -Go TIF Note................................................................................7 Section 3.7. Payment of Administrative Costs........................................................................................ 8 Section3.8. Records................................................................................................................................8 Section 3.9. Purpose of Assistance......................................................................................................... 9 Section3.10. Grant....................................................................................................................................9 ARTICLE IV Construction and Maintenance of Minimum Improvements Section 4.1. Construction of Improvements..........................................................................................10 Section 4.2. Construction Plans............................................................................................................10 Section 4.3. Commencement and Completion of Construction............................................................11 Section 4.4. Certificate of Completion.................................................................................................. l 1 Section 4.5. Rental Housing Affordablity Covenants...........................................................................11 Section 4.6. Disqualification of TIF District.........................................................................................12 Section 4.7. Affordable Housing Reporting..........................................................................................12 ARTICLE V Insurance Section5.1. Insurance...........................................................................................................................13 Section5.2. Subordination....................................................................................................................14 i 51691 MJAE MU205-47 ARTICLE VI Tax Increment; Taxes Section 6.1. Right to Collect Delinquent Taxes....................................................................................15 Section 6.2. Reduction of Taxes...........................................................................................................15 Section6.3. Qualifications....................................................................................................................16 Section 6.4. Minimum Assessment Agreement....................................................................................16 ARTICLE VII Financing Section 7.1. Mortgage Financing..........................................................................................................17 Section 7.2. Authority's Option to Cure Default on Mortgage.............................................................17 Section 7.3. Modification; Subordination.............................................................................................17 ARTICLE VIII Prohibitions Against Assignment and Transfer; Indemnification Section 8.1. Representation as to Development....................................................................................18 Section 8.2. Prohibition Against Developer's Transfer of Property and Assignment of Agreement.........................................................................................................................18 Section 8.3. Release and Indemnification Covenants...........................................................................19 ARTICLE IX Events of Default Section 9.1. Events of Default Defined.................................................................................................20 Section 9.2. Remedies on Default.........................................................................................................20 Section 9.3. Termination or Suspension of TIF Note...........................................................................21 Section9.4. No Remedy Exclusive.......................................................................................................21 Section 9.5. No Additional Waiver Implied by One Waiver...............................................................21 Section9.6 Attorney Fees....................................................................................................................21 ARTICLE X Additional Provisions Section 10.1. Conflict of Interests; Authority Representatives Not Individually Liable ........................22 Section 10.2. Equal Employment Opportunity.......................................................................................22 Section 10.3. Restrictions on Use...........................................................................................................22 Section 10.4. Provisions Not Merged With Deed...................................................................................22 Section 10.5. Titles of Articles and Sections..........................................................................................22 Section 10.6. Notices and Demands........................................................................................................22 Section10.7. Counterparts......................................................................................................................22 Section10.8. Recording..........................................................................................................................23 Section10.9. Amendment.......................................................................................................................23 Section 10.10. Authority Approvals..........................................................................................................23 Section10.11. Termination.......................................................................................................................23 TESTIMONIi_ M...................................................................................................................................... S-1 SIGNATURES......................................................................................................................................... S-1 ii 516911v1 JAE MU205-47 EXHIBIT A DESCRIPTION OF DEVELOPMENT PROPERTY........................................A-1 EXHIBITB FORM OF NOTE...............................................................................................B-1 EXHIBIT C CERTIFICATE OF COMPLETION.................................................................0-1 EXHIBIT D DECLARATION OF RESTRICTIVE COVENANTS......................................D-1 EXHIBIT E FORM OF MINIMUM ASSESSMENT AGREEMENT .................................. E-1 iii 516911v1 JAE MU205-47 CONTRACT FOR PRIVATE DEVELOPMENT THIS CONTRACT FOR PRIVATE DEVELOPMENT, made as of the day of , 2018 (the "Agreement"), is between the MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"), and BOULEVARD APARTMENTS, LIMITED PARTNERSHIP, a Minnesota limited partnership (the "Developer"). WITNESSETH: WHEREAS, the Authority was created pursuant to Minnesota Statutes, Sections 469.090 through 469.1082, as amended, and was authorized to transact business and exercise its powers by a resolution adopted by the City Council of the City of Mounds View, Minnesota (the "City"); and WHEREAS, the Authority and the City have undertaken a program to promote economic development and job opportunities, promote the development and redevelopment of land which is underutilized within the City, and facilitate the development of affordable housing, and in this connection created a redevelopment district known as the Mounds View Economic Development Project (the "Project") in the City, pursuant to Minnesota Statutes, Sections 469.001 through 469.047, as amended; and WHEREAS, within the Project, the City and the Authority have established Tax Increment Financing District No. 1-6 (a housing district) (the "TIF District") and have adopted a financing plan (the "TIF Plan") for the TIF District in order to facilitate redevelopment of certain property in the Project and promote the development of affordable housing within the City, all pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended; and WHEREAS, the Developer proposes to acquire certain tax -forfeited property from the City and certain other additional properties within the TIF District and construct and develop a three-story, 60 -unit workforce rental building, including underground parking (the "Minimum Improvements"); and WHEREAS, in order to make the Minimum Improvements economically feasible for the Developer to construct, the Authority is prepared to reimburse the Developer for certain land acquisition costs, site improvement costs, and costs of constructing housing related to the Minimum Improvements; and WHEREAS, the Authority believes that the development of the TIF District pursuant to this Agreement, and fulfillment generally of this Agreement, are in the vital and best interests of the City and the health, safety, morals, and welfare of its residents, and in accord with the public purposes and provisions of the applicable State and local laws and requirements under which the Project has been undertaken and is being assisted. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 516911v1 JAE MU205-47 ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from the context: "Additional Property" means the property legally described under the heading "Additional Property" in EXHIBIT A. "Administrative Costs" means the costs described in Section 3.6 hereof "Agreement" means this Contract for Private Development, as the same may be from time to time modified, amended, or supplemented. "Assessment Agreement" means the Minimum Assessment Agreement between the Authority, the Developer, and the County assessor in substantially the form attached hereto as EXHIBIT E. "Authority" means the Mounds View Economic Development Authority, a public body corporate and politic under the laws of the State. "Authority Representative" means the Executive Director of the Authority. "Authorizing Resolution" means the resolution of the Authority adopted on March 12, 2018 authorizing the issuance of the TIF Note. "Available Tax Increment" means, on each Payment Date, ninety percent (90%) of the Tax Increment attributable to the Development Property and paid to the Authority by the County in the six (6) months preceding the Payment Date. Available Tax Increment will not include any Tax Increment if, as of any Payment Date, there is an uncured Event of Default under this Agreement. "Board" means the Board of Commissioners of the Authority. "Certificate of Completion" means the certification provided to the Developer pursuant to Section 4.4 hereof. "City" means the City of Mounds View, Minnesota. "Construction Plans" means the plans, specifications, drawings and related documents on the construction work to be performed by the Developer on the Development Property, including the Minimum Improvements, which (a) must be as detailed as the plans, specifications, drawings and related documents which are submitted to the appropriate building officials of the City, and (b) must include at least the following: (1) site plan; (2) foundation plan; (3) floor plan for each floor; (4) cross sections of each floor plan (length and width); (5) elevations (all sides, including a building materials schedule); (6) landscape and grading plan; and (7) other plans or supplements to the foregoing plans as the City may reasonably request to allow it to ascertain the nature and quality of the proposed construction work. "County" means Ramsey County, Minnesota. 2 516911v1 JAE MU205-47 "Declaration of Restrictive Covenants" means the Declaration of Restrictive Covenants between the Authority and the Developer in substantially the form set forth in EXHIBIT D attached hereto. "Developer" means Boulevard Apartments, Limited Partnership, a Minnesota limited partnership, or its permitted successors and assigns. "Development Property" means the real property described in EXHIBIT A attached hereto, including the Tax -Forfeited Property and the Additional Property. "EDA Act" means Minnesota Statutes, Sections 469.090 to 469.1082, as amended. "Event of Default" means an action by the Authority or the Developer listed in Article IX hereof. "Holder" means the owner of a Mortgage. "Housing Unit" means the housing units constructed as part of the Minimum Improvements. "HRA Act" means Minnesota Statutes, Sections 469.001 through 469.047, as amended. "Material Change" means a change in construction plans that adversely affects generation of tax increment or changes the number of Housing Units. "Maturity Date" means the date that the TIF Note has been paid in full or terminated, whichever is earlier. "Minimum Improvements" means the construction by the Developer on the Development Property of a three-story, 60 -unit workforce rental building, including underground parking. "Minimum Market Value" means $7,800,000. "Mortgage" means any mortgage made by the Developer which is secured, in whole or in part, with the Development Property and which is a permitted encumbrance pursuant to the provisions of Article VII hereof. "Payment Date" means each February 1 and August 1, commencing 1, 20_, on which principal of the TIF Note is paid. "Project" means the Mounds View Economic Development Project. "Project Area" means the real property located within the boundaries of the Project. "Public Redevelopment Costs" has the meaning given such term in Section 3.5 hereof. "Real Estate Option Agreement" means the Real Estate Option Agreement, dated , 2018, between the City, the Authority, and the Developer regarding the Developer's option to purchase the Tax -Forfeited Property. "Redevelopment Plan" means the Redevelopment Plan for the Project approved and adopted by the Authority and the City Council of the City. "State" means the State of Minnesota. 516911v1 JAE MU205-47 "Tax -Forfeited Property" means the tax -forfeited parcels to be conveyed from the State to the County and further conveyed from the County to Authority and legally described under the heading "Tax - Forfeited Property" in EXHIBIT A. "Tax Increment" means that portion of the real property taxes which is paid with respect to the TIF District and which is remitted to the Authority as tax increment pursuant to the Tax Increment Act. "Tax Increment Act" or "TIF Act" means the Tax Increment Financing Act, Minnesota Statutes, Sections 469.174 through 469.1794, as amended. "Tax Increment District" or "TIF District" means Tax Increment Financing District No. 1-6 (a housing district). "Tax Increment Plan" or "TIF Plan" means the Tax Increment Financing Plan for Tax Increment Financing District, as approved March 12, 2018, and as it may be amended from time to time. "Tax Official" means any County assessor; County auditor; County or State board of equalization, the commissioner of revenue of the State, or any State or federal district court, the tax court of the State, or the State Supreme Court. "TIF Note" means a Tax Increment Revenue Note, substantially in the form attached hereto as EXHIBIT B, to be delivered by the Authority to the Developer pursuant to Section 3.6 hereof. "Transfer" has the meaning set forth in Section 8.2(a) hereof. "Unavoidable Delays" means delays beyond the reasonable control of the party seeking to be excused as a result thereof which are the direct result of strikes, lockouts or other labor troubles, prolonged adverse weather or acts of God, fire or other casualty to the Minimum Improvements, litigation commenced by third parties which, by injunction or other similar judicial action, directly results in delays, or acts of any federal, state or local governmental unit (other than the Authority in exercising its rights under this Agreement) which directly result in delays. Unavoidable Delays shall not include delays experienced by the Developer in obtaining permits or governmental approvals necessary to enable construction of the Public Improvements by the dates such construction is required under Section 4.3 hereof, so long as the Construction Plans have been approved in accordance with Section 4.2 hereof. (The remainder of this page is intentionally left blank.) 516911v1 JAE MU205-47 ARTICLE H Representations and Warranties Section 2.1. Representations by the Authority. The Authority makes the following representations: (a) The Authority is an economic development authority organized and existing under the laws of the State. Under the provisions of the EDA Act and HRA Act, the Authority has the power to enter into this Agreement and carry out its obligations hereunder, and execution of this Agreement has been duly, properly and validly authorized by the Authority. (b) The Authority proposes to assist in financing certain land acquisition costs, site improvement costs, and costs of constructing housing necessary to facilitate the construction of the Minimum Improvements in accordance with the terms of this Agreement to further the objectives of the Redevelopment Plan. (c) The Authority finds that the Minimum Improvements are necessary to alleviate a shortage of, and maintain existing supplies of, decent, safe, and sanitary workforce housing. (d) The activities of the Authority are undertaken to foster the redevelopment of certain real property which for a variety of reasons is presently underutilized, to eliminate current blighting factors and prevent the emergence of further blight at a critical location in the City, to create increased tax base in the City, to increase workforce housing opportunities in the City, and to stimulate further development of the TIF District and Project as a whole. (e) The execution, delivery and performance of this Agreement and of any other documents or instruments required pursuant to this Agreement by the Authority, and consummation of the transactions contemplated therein and the fulfillment of the terms thereof, do not and will not conflict with or constitute a breach of or default under any existing (i) indenture, mortgage, deed of trust or other agreement or instrument to which the Authority is a party or by which the Authority or any of its property is or may be bound; or (ii) legislative act, constitution or other proceedings establishing or relating to the establishment of the Authority or its officers or its resolutions. (f) There is not pending, nor to the best of the Authority's knowledge is there threatened, any suit, action or proceeding against the Authority before any court, arbitrator, administrative agency or other governmental authority that materially and adversely affects the validity of any of the transactions contemplated hereby, the ability of the Authority to perform its obligations hereunder, or the validity or enforcement of this Agreement. Section 2.2. Representations and Warranties by the Developer. The Developer represents and warrants that: (a) The Developer is a limited partnership duly organized and in good standing under the laws of the State, is not in violation of any provisions of its organizational documents or the laws of the State, is duly authorized to transact business within the State, has power to enter into this Agreement and has duly authorized the execution, delivery and performance of this Agreement by proper action of its governing body. 516911vl JAE MU205-47 (b) The Developer will construct the Minimum Improvements in accordance with the terms of this Agreement, the Redevelopment Plan and all local, state and federal laws and regulations (including, but not limited to, environmental, zoning, building code and public health laws and regulations). (c) The Developer will obtain, in a timely manner, all required permits, licenses and approvals, and will meet, in a timely manner, all requirements of all applicable local, state and federal laws and regulations which must be obtained or met before the Minimum Improvements may be lawfully constructed. The Developer did not obtain a building permit for any portion of the Minimum Improvements before March 12, 2018, the date of approval of the TIF Plan for the TIF District. (d) The Developer will operate and maintain the Minimum Improvements in accordance with the terms of this Agreement, the Redevelopment Plan and all local, state and federal laws and regulations (including, but not limited to, environmental, zoning, building code and public health laws and regulations). (e) The Developer has received no notice or communication from any local, state or federal official that the activities of the Developer, the City or the Authority in the Project Area may be or will be in violation of any environmental law or regulation. The Developer is aware of no facts the existence of which would cause it to be in violation of or give any person a valid claim under any local, state or federal environmental law, regulation or review procedure. (f) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any corporate restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which the Developer is now a party or by which it is bound, or constitutes a default under any of the foregoing. (g) The proposed development by the Developer hereunder would not occur but for the tax increment financing assistance being provided by the Authority hereunder. (h) The Developer shall promptly advise the Authority in writing of all litigation or claims affecting any part of the Minimum Improvements and all written complaints and charges made by any governmental authority materially affecting the Minimum Improvements or materially affecting Developer or its business which may delay or require changes in construction of the Minimum Improvements. (The remainder of this page is intentionally left blank.) 6 5169110 JAE MU205-47 ARTICLE III Property Acquisition; Public Redevelopment Costs Section 3.1. Status of the Development Property. The Developer has entered into the Real Estate Option Agreement with the City and the Authority to acquire the Tax -Forfeited Property. The Developer has entered into a purchase agreement to purchase the Additional Property. Section 3.2. Contingencies. The fulfillment of the obligations of each party hereunder is strictly contingent upon the conveyance by the Authority of the Tax -Forfeited Property to the Developer. In the event that the Tax -Forfeited Property is not acquired by the City and then conveyed to the Developer, this Agreement shall terminate. Section 3.3. Environmental Conditions. (a) The Developer acknowledges that the Authority makes no representations or warranties as to the condition of the soils on the Development Property or the fitness of the Development Property for construction of the Minimum Improvements or any other purpose for which the Developer may make use of such property, and that the assistance provided to the Developer under this Agreement neither implies any responsibility by the Authority for any contamination of the Development Property or poor soil conditions nor imposes any obligation on such parties to participate in any cleanup of the Development Property or correction of any soil problems (other than the financing described in this Agreement). (b) Without limiting its obligations under Section 8.3 hereof, the Developer further agrees that it will indemnify, defend, and hold harmless the Authority and its governing body members, officers, and employees, from any claims or actions arising out of the presence, if any, of hazardous wastes or pollutants existing on or in the Development Property, unless and to the extent that such hazardous wastes or pollutants are present as a result of the actions or omissions of the indemnitees. Nothing in this section will be construed to limit or affect any limitations on liability of the Authority under State or federal law, including without limitation Minnesota Statutes, Sections 466.04 and 604.02. Section 3.4. Acquisition of Tax -Forfeited Property. Pursuant to the terms of the Real Estate Option Agreement, the Authority will acquire the Tax -Forfeited Property with funds received from the Developer. If the Authority is not reimbursed by the Developer for all costs related to the acquisition of the Tax -Forfeited Property, the Authority will reimburse itself for any reimbursed costs from Available Tax Increment. Such unreimbursed costs will be paid prior to any payments made on the TIF Note. Section 3.5. Public Development Costs; Developer Reimbursement. In order to make construction of the Minimum Improvements financially feasible, the Authority will reimburse the Developer for a portion of the Public Development Costs incurred by the Developer in the maximum amount of $546,000. The term "Public Development Costs" means land acquisition costs, site preparation costs, including demolition, costs of soil correction, and infrastructure improvements on the Development Property, costs of constructing housing, or any other costs eligible to be reimbursed with tax increment. Section 3.6. Issuance of Pay -As -You -Go TIF Note. (a) To reimburse the Public Development Costs incurred by the Developer, the Authority will issue and the Developer will purchase the TIF Note in the principal amount of $546,000 in 516911v1 JAE MU205-47 substantially the form set forth in EXHIBIT B attached hereto. The Authority and the Developer agree that the consideration from the Developer for the purchase of the TIF Note will consist of the Developer's payment of Public Development Costs incurred by the Developer in at least the principal amount of the TIF Note. Before delivery of the TIF Note, the Developer shall have: (i) delivered to the Authority written evidence in a form satisfactory to the Authority that the Developer has paid Public Development Costs in at least the principal amount of $546,000; (ii) submitted the Construction Plans to the Authority and obtained approval for the Construction Plans from the Authority; (iii) submitted and obtained Authority approval of financing in accordance with Section 7.1 hereof; and (iv) delivered to the Authority an investment letter in a form reasonably satisfactory to the Authority. (b) The Developer understands and acknowledges that the Authority makes no representations or warranties regarding the amount of Available Tax Increment, or that revenues pledged to the TIF Note will be sufficient to pay the principal of and interest on the TIF Note. Any estimates of Tax Increment prepared by the Authority or its municipal advisors in connection with the TIF District or this Agreement are for the benefit of the Authority, and are not intended as representations on which the Developer may rely. (c) The Authority acknowledges that the Developer may assign or sell the TIF Note to a lender or other party. The Authority consents to this type of assignment or sale, conditioned upon receipt of an investment letter from the lender or other party in a form reasonably acceptable to the Authority. (d) If the TIF District is disqualified as described in Section 4.6 hereof, the Authority is required by the TIF Act to stop payments of Available Tax Increment to pay principal of and interest on the TIF Note. Section 3.7. Payment of Administrative Costs. The Developer has deposited with the Authority $ to pay Administrative Costs of the City and the Authority. The City and the Authority will use such deposit to pay "Administrative Costs," which term means out-of-pocket costs incurred by the City and the Authority, together with staff and consultant costs of the City and the Authority, all attributable to or incurred in connection with the negotiation and preparation of this Agreement, the TIF Plan, and other documents and agreements in connection with the establishment of the TIF District and redevelopment of the Redevelopment Property, and not previously paid by the Developer. At the Developer's request, but no more often than monthly, the Authority will provide the Developer with a written report including invoices, time sheets or other comparable evidence of expenditures for Administrative Costs and the outstanding balance of funds deposited. At any time the deposit drops below $1,000, the Developer shall replenish the deposit to the full $ within thirty (30) days after receipt of written notice thereof from the Authority. If at any time the Authority or the City determines that the deposit is insufficient to pay Administrative Costs, the Developer is obligated to pay such shortfall within fifteen (15) days after receipt of a written notice from the Authority containing evidence of the unpaid costs. If Administrative Costs incurred, and reasonably anticipated to be incurred are less than the deposit by the Developer, the Authority shall return to the Developer any funds not anticipated to be needed. Section 3.8. Records. The Authority and its representatives will have the right at all reasonable times after reasonable notice to inspect, examine and copy all books and records of Developer relating to 51691 M JAE MU205-47 the Minimum Improvements and the costs for which the Developer has been reimbursed with Tax Increment. Section 3.9. Purpose of Assistance. The parties agree and understand that the purpose of the Authority's financial assistance to the Developer is to facilitate development of housing and is not a "business subsidy" within the meaning of Minnesota Statutes, Sections 116J.993 to I I6J.995. Section 3.10. Grant. The Authority will apply for one or more grants from in the cumulative amount of $ (collectively, the "Grant") in 20 The proposed uses of the proceeds of the Grant, if received, include reimbursement for . [Provide Developer with requirements of grant documents that Developer will be required to satisfy/comply with.] (The remainder of this page is intentionally left blank.) 516911v1 JAE MU205-47 ARTICLE IV Construction and Maintenance of Minimum Improvements Section 4.1. Construction of Improvements. The Developer agrees that on or prior to the dates provided in Section 4.3 hereof, it will construct the Minimum Improvements on the Development Property substantially in accordance with the approved Construction Plans. The Developer agrees that at all times prior to the Maturity Date, it will operate and maintain, preserve and keep the Minimum Improvements or cause the improvements to be maintained, preserved and kept with the appurtenances and every part and parcel thereof, in good repair and condition. The Authority will have no obligation to operate or maintain the Minimum Improvements. Section 4.2. Construction Plans. (a) Before commencement of construction of the Minimum Improvements, the Developer will submit to the Authority the Construction Plans. The Construction Plans must provide for the construction of the Minimum Improvements and must be in substantial conformity with the Redevelopment Plan, this Agreement, and all applicable State and local laws and regulations. The Authority Representative will approve the Construction Plans in writing if. (i) the Construction Plans conform to the terms and conditions of this Agreement; (ii) the Construction Plans conform to the goals and objectives of the Redevelopment Plan; (iii) the Construction Plans conform to all applicable federal, state and local laws, ordinances, rules and regulations; (iv) the Construction Plans are adequate to provide for construction of the Minimum Improvements; (v) the Construction Plans do not provide for expenditures in excess of the funds available to the Developer from all sources (including Developer's equity) for construction of the Minimum Improvements; and (vi) no Event of Default has occurred. Approval may be based upon a review by the City's Building Official of the Construction Plans. No approval by the Authority Representative will relieve the Developer of the obligation to comply with the terms of this Agreement or of the Redevelopment Plan, applicable federal, state and local laws, ordinances, rules and regulations, or to construct the Minimum Improvements in accordance therewith. No approval by the Authority Representative will constitute a waiver of an Event of Default. If approval of the Construction Plans is requested by the Developer in writing at the time of submission, the Construction Plans will be deemed approved unless rejected in writing by the Authority Representative, in whole or in part. The rejections must set forth in detail the reasons therefore, and must be made within twenty (20) days after the date of their receipt by the Authority. If the Authority Representative rejects any Construction Plans in whole or in part, the Developer must submit new or corrected Construction Plans within twenty (20) days after written notification to the Developer of the rejection. The provisions of this Section relating to approval, rejection and resubmission of corrected Construction Plans will continue to apply until the Construction Plans have been approved by the Authority. The Authority Representative's approval will not be unreasonably withheld, delayed or conditioned. Said approval will constitute a conclusive determination that the Construction Plans (and the Minimum Improvements constructed in accordance with said plans) comply to the Authority's satisfaction with the provisions of this Agreement relating thereto. (b) If the Developer desires to make any Material Change in the Construction Plans after their approval by the Authority, the Developer must submit the proposed change to the Authority for its approval. If the Construction Plans, as modified by the proposed change, conform to the requirements of this Section 4.2 with respect to the previously approved Construction Plans, the Authority will approve the proposed change and notify the Developer in writing of its approval. Any change in the Construction Plans will, in any event, be deemed approved by the Authority unless rejected, in whole or in part, by written notice by the Authority to the Developer, setting forth in detail the reasons therefor. Any rejection 10 516911v1 JAE MU205-47 must be made within twenty (20) days after receipt of the notice of such change. The Authority's approval of any change in the Construction Plans will not be unreasonably withheld. Section 4.3. Commencement and Completion of Construction. (a) Subject to Unavoidable Delays and subject to any rules, regulations or varying timeframes imposed by the United States Department of Housing and Urban Development, the Developer must commence construction of the Project by December 31, 2018 and will substantially complete construction of the Minimum Improvements by December 31, 2019. Construction is considered to be commenced upon the beginning of physical improvements to the Development Property beyond grading. (b) All work with respect to the Minimum Improvements to be constructed or provided by the Developer on the Development Property must be in substantial conformity with the Construction Plans as submitted by the Developer and approved by the Authority. The Developer agrees for itself, its successors and assigns, and every successor in interest to the Development Property, or any part thereof, that the Developer, and its successors and assigns, will promptly begin and diligently prosecute to completion the development of the Development Property through the construction of the Minimum Improvements thereon, and that the construction will in any event be commenced and completed within the period specified in Section 4.3(a) hereof. Until construction of the Minimum Improvements has been completed, the Developer will make reports, in the detail and at the times as may reasonably be requested by the Authority, as to the actual progress of the Developer with respect to the construction. Section 4.4. Certificate of Completion. (a) Promptly after substantial completion of the Minimum Improvements in accordance with those provisions of the Agreement, the Authority will furnish the Developer with a Certificate of Completion in substantially the form attached hereto as EXHIBIT C. The certification by the Authority will be a conclusive determination of satisfaction and termination of the agreements and covenants in the Agreement and in any deed with respect to the obligations of the Developer, and its successors and assigns, to construct the Minimum Improvements and the dates for the completion thereof. The certification and the determination will not constitute evidence of compliance with or satisfaction of any obligation of the Developer to any Holder of a Mortgage, or any insurer of a Mortgage, securing money loaned to finance the Minimum Improvements, or any part thereof. (b) The Certificate of Completion provided for in this Section 4.4 will be in the form as will enable it to be recorded in the proper office for the recordation of deeds and other instruments pertaining to the Development Property. If the Authority refuses or fails to provide any certification in accordance with the provisions of this Section 4.4, the Authority will, within thirty (30) days after written request by the Developer, provide the Developer with a written statement, indicating in adequate detail in what respects the Developer has failed to complete the Minimum Improvements in accordance with the provisions of the Agreement, or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the Authority, for the Developer to take or perform in order to obtain the certification. (c) The construction of the Minimum Improvements will be considered substantially complete when the Developer has received a certificate of occupancy from the City for all Housing Units. Section 4.5. Rental Housing Affordability Covenants. The Developer agrees that at all times from initial occupancy of the Minimum Improvements constructed within the TIF District through the date that the TIF District is decertified, one hundred percent (100%) of the units within the Minimum Improvements shall be reserved for occupancy by individuals whose income is sixty percent (60%) or less of the area's median gross income constructed and satisfy the income requirements for a qualified 11 5169110 JAE MU205-47 residential rental project as defined in Section 142(d) of the Internal Revenue Code. The Developer and the Authority shall execute the Declaration of Restrictive Covenants in substantially the form set forth in EXHIBIT D and record such agreement against the Development Property. Section 4.6. Disqualification of TIF District. If the Authority or the City receives notice from the State Department of Revenue, the State Auditor, any Tax Official or any court of competent jurisdiction that the TIF District does not qualify as a "housing district" due to the failure to satisfy the income restrictions described in Section 4.5, such event shall be deemed an Event of Default under this Agreement; provided, however, that the Authority may not exercise any remedy under this Agreement so long as such determination is being contested and has not been finally adjudicated. If the TIF District is disqualified, the Authority is required by the TIF Act to stop payments of Available Tax Increment to pay principal of and interest on the TIF Note. In addition to any remedies available to the Authority under Article IX hereof, the Developer shall indemnify, defend and hold harmless the Authority for any damages or costs resulting therefrom. Section 4.7. Affordable Housing Reporting. At least annually, no later than April 1 of each year commencing on the April 1 first following the issuance of the Certificate of Completion, the Developer shall provide a report to the Authority evidencing that the Developer complied with the income affordability covenants set forth in Section 4.5 hereof during the previous calendar year. The income affordability reporting shall be on the form entitled "Tenant Income Certification" from the Minnesota Housing Finance Agency (MHFA HTC Form 14), or if unavailable, any similar form. The Authority may require the Developer to provide additional information reasonably necessary to assess the accuracy of such certification. Unless earlier excused by the Authority, the Developer shall send affordable housing reports to the Authority until TIF District is decertified. If the Developer fails to provide the annual reporting required under this Section, the Authority may withhold payments of Available Tax Increment under the TIF Note. (The remainder of this page is intentionally left blank.) 12 516911v1 JAE MU205-47 ARTICLE V Insurance Section 5.1. Insurance. (a) The Developer will provide and maintain or cause to be provided and maintained at all times during the process of constructing the Minimum Improvements an All Risk Broad Form Basis Insurance Policy and, from time to time during that period, at the request of the Authority, furnish the Authority with proof of payment of premiums on policies covering the following: (i) Builder's risk insurance, written on the so-called `Builder's Risk — Completed Value Basis," in an amount equal to one hundred percent (100%) of the insurable value of the Minimum Improvements at the date of completion, and with coverage available in nonreporting form on the so-called "all risk" form of policy. The interest of the Authority must be protected in accordance with a clause in form and content satisfactory to the Authority; (ii) Commercial general liability insurance (including operations, contingent liability, operations of subcontractors, completed operations and contractual liability insurance) together with a Protective Liability Policy with limits against bodily injury and property damage of not less than $2,000,000 for each occurrence (to accomplish the above -required limits, an umbrella excess liability policy may be used). The Authority must be listed as an additional insured on the policy; and (iii) Workers' compensation insurance, with statutory coverage. (b) Upon completion of construction of the Minimum Improvements and prior to the Maturity Date, the Developer must maintain, or cause to be maintained, at its cost and expense, and from time to time at the request of the Authority will furnish proof of the payment of premiums on, insurance as follows: (i) Insurance against loss and/or damage to the Minimum Improvements under policy or policies covering the risks as are ordinarily insured against by similar businesses. (ii) Comprehensive general public liability insurance, including personal injury liability (with employee exclusion deleted), against liability for injuries to persons and/or property, in the minimum amount for each occurrence and for each year of $2,000,000, and must be endorsed to show the Authority as an additional insured. (iii) Other insurance, including workers' compensation insurance respecting all employees, if any, of the Developer, in an amount as is customarily carried by like organizations engaged in like activities of comparable size and liability exposure; provided that the Developer may be self-insured with respect to all or any part of its liability for workers' compensation. (c) All insurance required in this Article V must be taken out and maintained in responsible insurance companies selected by the Developer which are authorized under the laws of the State to assume the risks covered thereby. Upon request, the Developer will deposit annually with the Authority policies evidencing all the insurance, or a certificate or certificates or binders of the respective insurers stating that the insurance is in force and effect. Unless otherwise provided in this Article V each policy must contain a provision that the insurer will not cancel nor modify it in such a way as to reduce the 13 516911v1 JAE MU205-47 coverage provided below the amounts required herein without giving written notice to the Developer and the Authority at least thirty (30) days before the cancellation or modification becomes effective. In lieu of separate policies, the Developer may maintain a single policy, blanket or umbrella policies, or a combination thereof, having the coverage required herein, in which event the Developer will deposit with the Authority a certificate or certificates of the respective insurers as to the amount of coverage in force upon the Minimum Improvements. (d) The Developer agrees to notify the Authority immediately in the case of damage exceeding $100,000 in amount to, or destruction of, the Minimum Improvements or any portion thereof resulting from fire or other casualty. In the event this type of damage or destruction occurs, the Developer will forthwith repair, reconstruct and restore the Minimum Improvements to substantially the same or an improved condition or value as it existed prior to the event causing the damage and, to the extent necessary to accomplish the repair, reconstruction and restoration, the Developer will apply the Net Proceeds of any insurance relating to the damage received by the Developer to the payment or reimbursement of the costs thereof. The Developer will complete the repair, reconstruction and restoration of the Minimum Improvements, whether or not the Net Proceeds of insurance received by the Developer is sufficient to pay for the same. Any Net Proceeds remaining after completion of the repairs, construction and restoration will be the property of the Developer. (e) Notwithstanding anything to the contrary contained in this Agreement, in the event of damage to the Minimum Improvements in excess of $100,000 and the Developer fails to complete any repair, reconstruction or restoration of the Minimum Improvements within eighteen (18) months from the date of damage, the Authority may, at its option, terminate the TIF Note as provided in Section 9.3(b) hereof. If the Authority terminates the TIF Note, the termination will constitute the Authority's sole remedy under this Agreement as a result of the Developer's failure to repair, reconstruct or restore the Minimum Improvements. Thereafter, the Authority will have no further obligations to make any payments under the TIF Note. (f) The Developer and the Authority agree that all of the insurance provisions set forth in this Article V will terminate upon the termination of this Agreement. Section 5.2. Subordination. Notwithstanding anything to the contrary contained in this Article V, the rights of the Authority with respect to the receipt and application of any proceeds of insurance will, in all respects, be subject and subordinate to the rights of the United States Department of Housing and Urban Development and any lender under a Mortgage approved pursuant to Article VII hereof. (The remainder of this page is intentionally left blank.) 14 5169110 JAE MU205-47 ARTICLE VI Tax Increment; Taxes Section 6.1. Right to Collect Delinquent Taxes. The Developer acknowledges that the Authority is providing substantial aid and assistance in furtherance of the redevelopment through issuance of the TIF Note. The Developer understands that the Tax Increments pledged to payment of the TIF Note are derived from real estate taxes on the Development Property, which taxes must be promptly and timely paid. To that end, the Developer agrees for itself, its successors and assigns, in addition to the obligation pursuant to statute to pay real estate taxes, that it is also obligated by reason of this Agreement to pay before delinquency all real estate taxes assessed against the Development Property and the Minimum Improvements. The Developer acknowledges that this obligation creates a contractual right on behalf of the Authority to sue the Developer or its successors and assigns to collect delinquent real estate taxes and any penalty or interest thereon and to pay over the same as a tax payment to the county auditor. In any such suit, the Authority shall also be entitled to recover its costs, expenses and reasonable attorney fees. Section 6.2. Reduction of Taxes. The Developer agrees that after the date of certification of the Tax Increment District and prior to completion of the Minimum Improvements, it will not cause a reduction in the real property taxes paid in respect of the Development Property through: (A) willful destruction of the Development Property or any part thereof (except for the demolition of structures required for construction of the Minimum Improvements); or (B) willful refusal to reconstruct damaged or destroyed property pursuant to Section 5.1 hereof. The Developer also agrees that it will not, prior to the Maturity Date: (i) seek exemption from property tax for the Development Property; (ii) convey or transfer or allow conveyance or transfer of the Development Property to any entity that is exempt from payment of real property taxes under State law; or (iii) seek or agree to any reduction of the assessor's estimated market value to below the Minimum Market Value. The Developer may, at any time following the issuance of the Certificate of Completion, seek through petition or other means to have the Assessors Estimated Market Value for the Development Property reduced to not less than the Minimum Market Value. Such activity must be preceded by written notice from the Developer to the Authority indicating its intention to do so. Upon receiving such notice, or otherwise learning of the Developer's intentions, the Authority may suspend or reduce payments due under the TIF Note except for the portion of such payments from Available Tax Increment, as defined in the TIF Note, based on the Minimum Market Value as described in the Minimum Assessment Agreement, until the actual amount of the reduction in market value is determined, whereupon the Authority will make the suspended payments less any amount that the Authority is required to repay the County as a result any retroactive reduction in market value of the Development Property. If the Developer fails to notify the Authority of the tax petition, the Authority shall have the right to withhold all payments of principal and interest on the TIF Note until the Developer's challenge is resolved. Upon resolution of the Developer's tax petition, any Available Tax Increment deferred and withheld under this Section shall be paid, without interest thereon, to the extent payable under the assessor's final determination of market value. During the period that the payments are subject to suspension, the Authority may make partial payments on the TIF Note, from the amounts subject to suspension, if it determines, in its sole and absolute discretion, that the amount retained will be sufficient to cover any repayment which the County may require. 15 516911v1 JAE MU205-47 The Authority's suspension of payments on the TIF Note pursuant to this Section shall not be considered a default under Section 9.1 hereof. Section 6.3. Qualifications. Notwithstanding anything herein to the contrary, the parties acknowledge and agree that upon Transfer of the Development Property to another person or entity, the Developer will remain obligated under Sections 6.1 and 6.2 hereof, unless the Developer is released fiom such obligations in accordance with the terms and conditions of Section 8.2(b) or 8.3 hereof. Section 6.4. Minimum Assessment Agreement. (a) On or before the date the Developer purchases the Development Property, the Developer shall execute the Minimum Assessment Agreement pursuant to Section 469.177, subdivision 8 of the TIF Act, specifying an assessor's minimum market value for the Development Property with the Minimum Improvements constructed thereon. (b) The Minimum Assessment Agreement shall be substantially in the form attached hereto as EXHIBIT E. Nothing in the Assessment Agreement shall limit the discretion of the assessor to assign a market value to the property in excess of such assessor's minimum market value nor prohibit the Developer from seeking through the exercise of legal or administrative remedies a reduction in such market value for property tax purposes, provided however, that the Developer shall not seek a reduction of such market value below the assessor's minimum market value in any year so long as such Minimum Assessment Agreement shall remain in effect. The Assessment Agreement shall remain in effect for the period described in EXHIBIT E. (The remainder of this page is intentionally left blank.) 16 516911v1 JAE MU205-47 ARTICLE VII Financing Section 7.1. Mortgage Financing. (a) Before commencement of construction of the Minimum Improvements, the Developer must submit to the Authority or provide access thereto for review by Authority staff, consultants and agents, evidence reasonably satisfactory to the Authority that Developer has available funds, or commitments to obtain fiends, whether in the nature of mortgage financing, equity, grants, loans or other sources sufficient for payment of the Minimum Improvements, provided that any lender or grantor commitments shall be subject only to such conditions as are normal and customary in the commercial lending industry. The commitments may be submitted as short term financing, long term mortgage financing, a bridge loan with a long term take-out financing commitment, or any combination of the foregoing. (b) If the Authority finds that the financing is sufficiently committed and adequate in amount to pay the costs specified in paragraph (a) then the Authority will notify the Developer in writing of its approval. Such approval will not be unreasonably withheld and either approval or rejection will be given within twenty (20) days from the date when the Authority is provided the evidence of financing. A failure by the Authority to respond to the evidence of financing will be deemed to constitute an approval hereunder. If the Authority rejects the evidence of financing as inadequate, it will do so in writing specifying the basis for the rejection. In any event the Developer will submit adequate evidence of financing within ten (10) days after any rejection. Section 7.2. Authority's Option to Cure Default on Mortgage. In the event that there occurs a default under any Mortgage authorized pursuant to Section 7.1 of this Agreement, to the extent the Developer is aware of such default, the Developer shall cause the Authority to receive copies of any notice of default received by the Developer from the holder of such Mortgage. Thereafter, the Authority shall have the right, but not the obligation, to cure any such default on behalf of the Developer within such cure periods as are available to the Developer under the Mortgage documents. In the event there is an event of default under this Agreement, the Authority will transmit to the Holder of any Mortgage a copy of any notice of default given by the Authority pursuant to Article IX hereof. Section 7.3. Modification; Subordination. In order to facilitate the securing of other financing, the Authority agrees to subordinate its rights under this Agreement provided that such subordination shall be subject to such reasonable terms and conditions as the Authority and Holder mutually agree in writing. Notwithstanding anything to the contrary herein, any subordination agreement must include the provision described in Section 7.2 hereof. (The remainder of this page is intentionally left blank.) 17 516911v1 JAE MU205-47 ARTICLE VIII Prohibitions Against Assignment and Transfer; Indemnification Section 8.1. Representation as to Development. The Developer represents and agrees that its purchase of the Development Property, and its other undertakings pursuant to the Agreement, are, and will be used, for the purpose of development of the Development Property and not for speculation in land holding. Section 8.2. Prohibition Against Developer's Transfer of Property and Assignment of Agreement. The Developer represents and agrees that until either the issuance of the Certificate of Completion for the Minimum Improvements or the Termination Date, as applicable: (a) Except as specifically described in this Agreement, the Developer has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to this Agreement or the Development Property or any part thereof or any interest therein, or any contract or agreement to do any of the same, to any person or entity (collectively, a "Transfer"), without the prior written approval of the Authority's board of commissioners. The term "Transfer" does not include (i) made or granted by way of security for, and only for, the purpose of obtaining construction, interim or permanent financing necessary to enable the Developer or any successor in interest to the Development Property or to construct the Minimum Improvements or component thereof, (ii) any lease, license, easement or similar arrangement entered into in the ordinary course of business related to operation of the Minimum Improvements; (iii) acquisition of a controlling interest in Developer by another entity or merger of Developer with another entity; (iv) any sale, conveyance, or transfer in any form to any Affiliate; or (v) a transfer to a third party if Developer is unable to commence construction by the date provided in Section 4.3 hereof, the Authority terminates this Agreement pursuant to Section 9.2(b) hereof. (b) If the Developer seeks to effect a Transfer requiring the approval of the Authority after the issuance of the Certificate of Completion, the Authority shall be entitled to require as conditions to such Transfer that: (1) any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the Authority, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Developer as to the portion of the Development Property to be transferred; and (2) Any proposed transferee, by instrument in writing satisfactory to the Authority and in form recordable in the public land records of the County, shall, for itself and its successors and assigns, and expressly for the benefit of the Authority, have expressly assumed all of the obligations of the Developer under this Agreement as to the portion of the Development Property to be transferred and agreed to be subject to all the conditions and restrictions to which the Developer is subject as to such portion; provided, however, that the fact that any transferee of, or any other successor in interest whatsoever to, the Development Property, or any part thereof, shall not, for whatever reason, have assumed such obligations or so agreed, and shall not (unless and only to the extent otherwise specifically provided in this Agreement or agreed to in writing by the Authority) deprive the Authority of any rights or remedies or controls with respect to the Development Property, the Minimum Improvements or any part thereof or the construction of the Minimum Improvements; it being the intent of the parties as expressed in this Agreement that (to the fullest extent permitted at law and in equity and excepting only in the manner and to the 18 516911v1 JAE MU205-47 extent specifically provided otherwise in this Agreement) no transfer of, or change with respect to, ownership in the Development Property or any part thereof, or any interest therein, however consummated or occurring, and whether voluntary or involuntary, shall operate, legally, or practically, to deprive or limit the Authority of or with respect to any rights or remedies on controls provided in or resulting from this Agreement with respect to the Development Property that the Authority would have had, had there been no such transfer or change. In the absence of specific written agreement by the Authority to the contrary, no such transfer or approval by the Authority thereof shall be deemed to relieve the Developer, or any other party bound in any way by this Agreement or otherwise with respect to the Development Property, from any of its obligations with respect thereto. (3) Any and all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or the Development Property governed by this Article VIII, shall be in a form reasonably satisfactory to the Authority. (c) If the conditions described in paragraph (b) are satisfied then the Transfer will be approved and the Developer shall be released from its obligation under this Agreement, as to the portion of the Development Property that is transferred, assigned, or otherwise conveyed. The provisions of this paragraph (c) apply to all subsequent transferors, assuming compliance with the terms of this Article VIII. Section 8.3. Release and Indemnification Covenants. (a) The Developer releases from and covenants and agrees that the Authority and its respective governing body members, officers, agents, servants and employees thereof will not be liable for and agrees to indemnify and hold harmless the Authority and its respective governing body members, officers, agents, servants and employees thereof against any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect in the Minimum Improvements. (b) Except for any willful misrepresentation or any willful or wanton misconduct of the following named parties, the Developer agrees to protect and defend the Authority and its respective governing body members, officers, agents, servants and employees (the "Indemnified Parties") thereof, now or forever, and further agrees to hold the aforesaid harmless from any claim, demand, suit, action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly arising from this Agreement, or the transactions contemplated hereby or the acquisition, construction, installation, ownership, maintenance and operation of the Minimum Improvements. (c) Except for any negligence of the Indemnified Parties (as defined in clause (b) above), and except for any breach by the Indemnified Parties of their obligations under this Agreement, the Indemnified Parties shall not be liable for any damage or injury to the persons or property of the Developer or its officers, agents, servants or employees or any other person who may be about the Development Property or Minimum Improvements due to any act of negligence of any person. (d) All covenants, stipulations, promises, agreements and obligations of the Authority contained herein will be deemed to be the covenants, stipulations, promises, agreements and obligations of the Authority and not of any governing body member, officer, agent, servant or employee of the Authority in the individual capacity thereof. (The remainder of this page is intentionally left blank.) 19 516911v1 JAE MU205-47 ARTICLE IX Events of Default Section 9.1. Events of Default Defined. "Event of Default" means any one or more of the following events, after the non -defaulting party provides sixty (60) days' written notice to the defaulting party of the event, but only if the event has not been cured within said sixty (60) days after written notice of default has been tendered or, if the event is incurable within sixty (60) days, the defaulting party does not, within the sixty (60) day period, provide assurances reasonably satisfactory to the non -defaulting party that the event will be cured as soon as reasonably possible: (a) The Developer or the Authority fails to observe or perform any covenant, condition, obligation, or agreement on its part to be observed or performed under this Agreement; (b) The Developer: (i) files any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under the United States Bankruptcy Act or under any similar federal or State law; (ii) except as allowed by Section 3.5(c) hereof, makes an assignment for the benefit of its creditors; (iii) admits in writing its inability to pay its debts generally as they become due; or (iv) is adjudicated as bankrupt or insolvent. Section 9.2. Remedies on Default. Whenever any Event of Default referred to in Section 9.1 hereof occurs, the non -defaulting party may exercise its rights under this Section 9.2 only if the Event of Default has not been cured within sixty (60) days of the non -defaulting party's tender of a notice of default or, if the Event of Default is incurable within sixty (60) days, the defaulting party does not provide assurances reasonably satisfactory to the non -defaulting party that the Event of Default will be cured as soon as reasonably possible: (a) Suspend its performance under the Agreement until it receives assurances that the defaulting party will cure its default and continue its performance under the Agreement. (b) Cancel and rescind or terminate the Agreement. (c) Upon a default by the Developer, the Authority may suspend payments under the TIF Note or terminate the TIF Note and the TIF District, subject to the provisions of Section 9.3 hereof. (d) Upon failure by Developer to timely commence or complete construction of the Minimum Improvements in accordance with Section 4.3 hereof, the Authority may terminate this Agreement; provided, however, that notwithstanding anything herein to the contrary, the Authority acknowledges and agrees that it shall have no remedy of specific performance with regard to the Redeveloper's obligation to commence the construction of the Minimum Improvements. 20 51691 rv1 JAE MU205-47 (e) Take whatever action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant under this Agreement. Section 9.3. Termination or Suspension of TIF Note. After the Authority has issued its Certificate of Completion for the Minimum Improvements, the Authority may exercise its rights under Section 9.2(c) hereof only for the following Events of Default: (a) the Developer fails to pay real estate taxes or assessments on the Development Property or any part thereof when due, and the taxes or assessments have not been paid, or provision satisfactory to the Authority made for their payment, within sixty (60) days after written demand by the Authority to do so; or (b) the Developer fails to comply with their obligations to operate and maintain, preserve and keep the Minimum Improvements or cause the improvements to be maintained, preserved and kept with the appurtenances and every part and parcel thereof, in good repair and condition, pursuant to Sections 4.1 and 5.1(e) hereof, provided that, upon failure to comply with the obligations under Section 4.1 or 5.1(e) hereof, if uncured after sixty (60) days' written notice to the Developer of the failure, the Authority may only suspend payments under the TIF Note until the Developer complies with said obligations. If the Developer fails to comply with said obligations for a period of eighteen months, the Authority may terminate the TIF Note and the TIF District; or (c) the Developer fails to comply with affordability covenants as provided in Section 4.5 hereof. Section 9.4. No Remedy Exclusive. No remedy herein conferred upon or reserved to the Authority, the Developer is intended to be exclusive of any other available remedy or remedies, but each and every remedy will be cumulative and will be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default will impair any right or power or will be construed to be a waiver thereof, but any right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the Authority to exercise any remedy reserved to it, it will not be necessary to give notice, other than the notices already required in Sections 9.2 and 9.3 hereof. Section 9.5. No Additional Waiver Implied by One Waiver. In the event any agreement contained in this Agreement should be breached by either party and thereafter waived by the other party, the waiver will be limited to the particular breach so waived and will not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 9.6. Attorney Fees. Whenever any Event of Default occurs (as determined by a final court or administrative order or Developer admissions) and if the Authority shall employ attorneys or incur other expenses for the collection of payments due or to become due or for the enforcement of performance or observance of any obligation or agreement on the part of the Developer under this Agreement, the Developer agrees that it shall, within ten (10) days of written demand by the Authority, pay to the Authority the reasonable fees of such attorneys and such other expenses so incurred by the Authority. 21 516911v1 JAE MU205-47 ARTICLE X Additional Provisions Section 10.1. Conflict of Interests• Authority Representatives Not Individually Liable. The Authority and the Developer, to the best of their respective knowledge, represent and agree that no member, official, or employee of the Authority has any personal interest, direct or indirect, in the Agreement, nor has any member, official, or employee participated in any decision relating to the Agreement which affects his or her personal interests or the interests of any corporation, partnership, or association in which he or she is, directly or indirectly, interested. No member, official, or employee of the Authority will be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the Authority or for any amount which may become due to the Developer or any successor or on any obligations under the terms of the Agreement. Section 10.2. Equal Employment Opportunity. The Developer, for itself and its successors and assigns, agrees that during the construction of the Minimum Improvements provided for in the Agreement it will comply with all applicable federal, state and local equal employment and non-discrimination laws and regulations. Section 10.3. Restrictions on Use. The Developer agrees that, prior to the Maturity Date, the Developer, and such successors and assigns, shall use the Development Property solely for the development of multifamily housing in accordance with the terms of this Agreement, and shall not discriminate upon the basis of race, color, creed, sex or national origin in the sale, lease, or rental or in the use or occupancy of the Development Property or any improvements erected or to be erected thereon, or any part thereof. Section 10.4. Provisions Not Merged With Deed. None of the provisions of this Agreement are intended to or will be merged by reason of any deed transferring any interest in the Development Property and any deed will not be deemed to affect or impair the provisions and covenants of this Agreement. Section 10.5. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections of the Agreement are inserted for convenience of reference only and will be disregarded in construing or interpreting any of its provisions. Section 10.6. Notices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand, or other communication under the Agreement by either party to the other will be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally; and (a) in the case of the Developer, is addressed to or delivered personally to the Developer at Attn: ; and (b) in the case of the Authority, is addressed to or delivered personally to the Authority at Mounds View Economic Development Authority, 2401 Mounds View Boulevard, Mounds View, Minnesota 55112, Attn: Business Development Coordinator. or at any other address with respect to any party as that party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 10.7. Counterparts. This Agreement may be executed in any number of counterparts, each of which will constitute one and the same instrument. 22 516911v1 JAE MU205-47 Section 10.8. Recording. The Authority may record this Agreement and any amendments thereto with the County Recorder or the Registrar of Titles of the County, as the case may be. The Developer must pay all costs for recording. Section 10.9. Amendment. This Agreement may be amended only by written agreement approved by the Authority and the Developer. Section 10.10. Authority Approvals. Unless otherwise specified, any approval required by the Authority under this Agreement may be given by the Authority Representative. Section 10.11. Termination. This Agreement terminates on the Termination Date, except that termination of the Agreement does not terminate, limit or affect the rights of any party that arise before the Termination Date. (The remainder of this page is intentionally left blank.) 23 516911v1 JAE MU205-47 IN WITNESS WHEREOF, the Authority has caused this Contract for Private Development to be duly executed in its name and behalf, and the Developer has caused this Contract for Private Development to be duly executed in its name and behalf, all as of the date and year first above written. MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this , 2018, by , the President of the Mounds View Economic Development Authority, a public body corporate and politic organized under the laws of the State of Minnesota, on behalf of the Authority. Notary Public STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this , 2018, by Nyle Zikmund, the Executive Director of the Mounds View Economic Development Authority, a public body corporate and politic organized under the laws of the State of Minnesota, on behalf of the Authority. Notary Public S-1 516911 v 1 JAE MU205-47 BOULEVARD APARTMENTS, LIMITED PARTNERSHIP By: [INSERT GENERAL PARTNER NAME] Its: General Partner I= Its: STATE OF MINNESOTA ) SS. COUNTY OF ) Chris Stokka The foregoing instrument was acknowledged before me this , 2018, by , the of , the general partner of Boulevard Apartments, Limited Partnership, a Minnesota limited partnership, on behalf of the Developer. Notary Public S-2 516911v1 JAE MU205-47 EXHIBIT A DESCRIPTION OF DEVELOPMENT PROPERTY Tax -Forfeited Prone PID: 06-30-23-31-0031 Parcel 1. Lot 50, except that part which lies Southwesterly of a line run parallel with and distant 100 feet Northeasterly of the Southwesterly boundary of said Lot 50, also except that part described as follows: Commencing at the Northwest corner of said Lot 50; thence East 7 feet along the North line of said Lot 50; thence Southerly 100 feet to a point of intersection on the West line of said Lot 50; thence North along said West line of said Lot 50 to the point of commencement; Auditor's Subdivision No. 89, Ramsey Co., Minn. The said excepted part of the above described property, the Southwesterly 100 feet has been taken by the State of Minnesota for public Highway purposes. Parcel 2. All that part of Lot 32, Auditor's Subdivision No. 89, Ramsey Co., Minn., described as follows, to -wit: Commencing at a point on the West line of Lot 50, Auditor's Subdivision No. 89, which point is 100 feet South of the Northwest corner of said Lot 50; thence South to a line 100 feet Northeasterly from and parallel with the Southerly line of Lot 32; thence Northwesterly on said parallel line 32 feet; thence Northeasterly to the point of beginning. PID: 06-30-23-31-0241 The South 135.00 feet, front and rear, of Lot 47, Auditor's Subdivision No. 89, lying westerly of the East 187.00 feet. Additional Property [Insert legal descriptions of Additional Property] A-1 51691 r v 1 JAE MU205-47 EXHIBIT B FORM OF NOTE UNITED STATE OF AMERICA STATE OF MINNESOTA COUNTY OF RAMSEY MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY No. R-1 TAX INCREMENT REVENUE NOTE SERIES 20 Rate $546,000 Date of Original Issue 4.6% [or the Developer's rate of financing, whichever is less] 520 The Mounds View Economic Development Authority (the "Authority"), for value received, certifies that it is indebted and hereby promises to pay to Boulevard Apartments, Limited Partnership, a Minnesota limited partnership, or registered assigns (the "Note Holder"), the principal sum of $546,000 and to pay interest thereon at the rate set forth above, as and to the extent set forth herein. 1. Pam. Principal and interest (the "Payments") will be paid on August 1, 20_, and each February 1 and August 1 thereafter to and including February 1, 20_ (the "Payment Dates"), in the amounts and from the sources set forth in Section 3 herein. Payments will be applied first to accrued interest, and then to unpaid principal. Payments are payable by mail to the address of the Note Holder or any other address as the Note Holder may designate upon thirty (30) days' written notice to the Authority. Payments on this Note are payable in any coin or currency of the United States of America which, on the Payment Date, is legal tender for the payment of public and private debts. 2. Interest. Interest at the rate stated herein will accrue on the unpaid principal, commencing on the date of original issue. Interest will be computed on the basis of a year of 360 days and charged for actual days principal is unpaid. Interest on this Note shall not be compounded. 3. Available Tax Increment. Payments on this Note are payable on each Payment Date in the amount of and solely payable from "Available Tax Increment," which will mean, on each Payment Date, ninety percent (90%) of the Tax Increment attributable to the Development Property (defined in the Agreement) and paid to the Authority by Ramsey County, Minnesota in the six (6) months preceding the Payment Date, all as the terms are defined in the Contract for Private Development, dated , 2018 (the "Agreement") between the Authority and the Note Holder, as the developer. Available Tax Increment will not include any Tax Increment if, as of any Payment Date, there is an uncured Event of Default under the Agreement. The Authority will have no obligation to pay principal of and interest on this Note on each Payment Date from any source other than Available Tax Increment, and the failure of the Authority to pay the entire amount of principal or interest on this Note on any Payment Date will not constitute a 516911v1 JAE MU205-47 B_1 default hereunder as long as the Authority pays principal and interest hereon to the extent of Available Tax Increment. The Authority will have no obligation to pay unpaid balance of principal or accrued interest that may remain after the final Payment on February 1, 20_. 4. Optional Prepayment. The principal sum and all accrued interest payable under this Note is prepayable in whole or in part at any time by the Authority without premium or penalty. No partial prepayment will affect the amount or timing of any other regular payment otherwise required to be made under this Note. 5. Termination. At the Authority's option, this Note will terminate and the Authority's obligation to make any payments under this Note will be discharged upon the occurrence of an Event of Default on the part of the Developer as defined in Section 9.1 of the Agreement, but only if the Event of Default has not been cured in accordance with Section 9.2 of the Agreement. 6. Nature of Obligation. This Note is one of an issue in the total principal amount of $546,000 all issued to aid in financing certain public development costs and administrative costs of a Project undertaken by the Authority pursuant to Minnesota Statutes, Sections 469.001 through 469.047, as amended, and is issued pursuant to an authorizing resolution (the "Resolution") duly adopted by the Board of Commissioners of the Authority on March 12, 2018, and pursuant to and in full conformity with the Constitution and laws of the State of Minnesota, including Minnesota Statutes, Sections 469.174 through 469.1794, as amended. This Note is a limited obligation of the Authority which is payable solely from Available Tax Increment pledged to the payment hereof under the Resolution. This Note and the interest hereon will not be deemed to constitute a general obligation of the State of Minnesota or any political subdivision thereof, including, without limitation, the Authority. Neither the State of Minnesota, nor any political subdivision thereof will be obligated to pay the principal of or interest on this Note or other costs incident hereto except out of Available Tax Increment, and neither the full faith and credit nor the taxing power of the State of Minnesota or any political subdivision thereof is pledged to the payment of the principal of or interest on this Note or other costs incident hereto. 7. Estimated Tax Increment Pam. Any estimates of Tax Increment prepared by the Authority or its financial advisors in connection with the TIF District or the Agreement are for the benefit of the Authority, and are not intended as representations on which the Note Holder may rely. THE AUTHORITY MAKES NO REPRESENTATION OR WARRANTY THAT THE AVAILABLE TAX INCREMENT WILL BE SUFFICIENT TO PAY THE PRINCIPAL OF AND INTEREST ON THIS NOTE. 8. Registration and Transfer. This Note is issuable only as a fully registered note without coupons. As provided in the Resolution, and subject to certain limitations set forth therein, this Note is transferable upon the books of the Authority kept for that purpose at the principal office of the Community Development Director of the City, by the Note Holder in person or by the Note Holder's attorney duly authorized in writing, upon surrender of this Note together with a written instrument of transfer satisfactory to the Authority, duly executed by the Note Holder. Upon the transfer or exchange and the payment by the Note Holder of any tax, fee, or governmental charge required to be paid by the Authority with respect to the transfer or exchange, there will be issued in the name of the transferee a new Note of the same aggregate principal amount, bearing interest at the same rate and maturing on the same dates. This Note will not be transferred to any person other than an affiliate, or other related entity, of the Note Holder unless the Authority has been provided with an investment letter in a form substantially similar to the investment letter submitted by the Note Holder or a certificate of the transferor, in a form 516911v1 JAE MU205-47 B-2 satisfactory to the Authority, that the transfer is exempt from registration and prospectus delivery requirements of federal and applicable state securities laws. IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen, and to be performed in order to make this Note a valid and binding limited obligation of the Authority according to its terms, have been done, do exist, have happened, and have been performed in due form, time and manner as so required. IN WITNESS WHEREOF, the Board of Commissioners of the Mounds View Economic Development Authority has caused this Note to be executed with the manual signatures of its President and Executive Director, all as of the Date of Original Issue specified above. President MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY Executive Director REGISTRATION PROVISIONS The ownership of the unpaid balance of the Note is registered in the bond register of the Authority's Executive Director, in the name of the person last listed below. Date of Registration Registered Note Holder Signature of Executive Director Boulevard Apartments, Limited Partnership Federal ID # 516911v1 JAE MU205-47 B_3 EXHIBIT C CERTIFICATE OF COMPLETION The undersigned hereby certifies that Boulevard Apartments, Limited Partnership (the "Developer"), has frilly complied with its obligations under Articles III and IV of that document titled "Contract for Private Development," dated , 2018 (the "Agreement"), between the Mounds View Economic Development Authority and the Developer, with respect to construction of the Minimum Improvements in accordance with Article IV of the Agreement, and that the Developer is released and forever discharged from its obligations with respect to construction of the Minimum Improvements under Articles III and IV of the Agreement. Dated: , 20 MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY By Its STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) Executive Director The foregoing instrument was acknowledged before me this 20 , by the Executive Director of the Mounds View Economic Development Authority, a public body corporate and politic organized under the laws of the State of Minnesota, on behalf of the Authority. Notary Public 516911v1 JAE MU205-47 C_1 EXHIBIT D DECLARATION OF RESTRICTIVE COVENANTS THIS DECLARATION OF RESTRICTIVE COVENANTS, dated , 2018 (the "Declaration"), by BOULEVARD APARTMENTS, LIMITED PARTNERSHIP, a Minnesota limited partnership (the "Developer"), is given to the MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"). RECITALS WHEREAS, the Authority entered into that certain Contract for Private Development, dated , 2018, filed , 20 in the Office of the [County Recorder] [Registrar of Titles] for Ramsey County as Document No. (the "Contract"), between the Authority and the Developer; and WHEREAS, pursuant to the Contract, the Developer is obligated to cause construction of 60 housing units of workforce rental housing (the "Project") on the property described in EXHIBIT A hereto (the "Property"), and to cause compliance with certain affordability covenants described in Section 4.5 of the Contract; and WHEREAS, Section 4.5 of the Contract requires that the Developer cause to be executed an instrument in recordable form substantially reflecting the covenants set forth in Section 4.5 of the Contact; and WHEREAS, the Developer intends, declares, and covenants that the restrictive covenants set forth herein will be and are covenants running with the Property for the term described herein and binding upon all subsequent owners of the Property for the term described herein, and are not merely personal covenants of the Developer; and WHEREAS, capitalized terms in this Declaration have the meaning provided in the Contact unless otherwise defined herein. NOW, THEREFORE, in consideration of the promises and covenants hereinafter set forth, and of other valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Developer agrees as follows: Term of Restrictions. (a) Occupancy and Rental Restrictions. The term of the Occupancy Restrictions set forth in Section 3 of this Declaration will commence on the date a certificate of occupancy is received from the City of Mounds View, Minnesota (the "City") for all rental units on the Property. The period from commencement to termination is the "Qualified Project Period." (b) Termination of Declaration. This Declaration will terminate upon the date that is the earlier of (i) 26 years after the commencement of the Qualified Project Period; or (ii) the date the Tax Increment Financing District No. 1-6 established by the Authority and the City of Mounds View is decertified. D-1 516911vl JAE MU205-47 (c) Removal fi•om Real Estate Records. Upon termination of this Declaration, the Authority will, upon request by the Developer or its assigns, file any document appropriate to remove this Declaration from the real estate records of Ramsey County, Minnesota. 2. Project Restrictions. (a) the Developer represents, warrants, and covenants that: (i) All leases of units to Qualifying Tenants (as defined in Section 3(a)(i) hereof) will contain clauses, among others, wherein each individual lessee: (1) Certifies the accuracy of the statements made in its application and Eligibility Certification (as defined in Section 3(a)(ii) hereof); and (2) Agrees that the family income at the time the lease is executed will be deemed substantial and material obligation of the lessee's tenancy; that the lessee will comply promptly with all requests for income and other information relevant to determining low or moderate income status from the Developer or the Authority, and that the lessee's failure or refusal to comply with a request for information with respect thereto will be deemed a violation of a substantial obligation of the lessee's tenancy. (ii) the Developer will permit any duly authorized representative of the Authority to inspect the books and records of the Developer pertaining to the income of Qualifying Tenants residing in the Project. 3. Occupancy Restrictions. The Developer represents, warrants, and covenants that: (a) Qualifying Tenants. From the commencement of the Qualified Project Period, all of the Rental Housing Units will be occupied (or treated as occupied as provided herein) or held vacant and available for occupancy by Qualifying Tenants. Qualifying Tenants means those persons and families who are determined from time to time by the Developer to have combined adjusted income that does not exceed sixty percent (60%) of the Minneapolis -St. Paul metropolitan statistical area (the "Metro Area") median income for the applicable calendar year. For purposes of this definition, the occupants of a residential unit will not be deemed to be Qualifying Tenants if all the occupants of such residential unit at any time are "students," as defined in Section 151(c)(4) of the Internal Revenue Code of 1986, as amended (the "Code"), not entitled to an exemption under the Code. The determination of whether an individual or family is of low or moderate income will be made at the time the tenancy commences and on an ongoing basis thereafter, determined at least annually. If during their tenancy a Qualifying Tenant's income exceeds one hundred forty percent (140%) of the maximum income qualifying as low or moderate income for a family of its size, the next available unit (determined in accordance with the Code and applicable regulations) (the "Next Available Unit Rule") must be leased to a Qualifying Tenant or held vacant and available for occupancy by a Qualifying Tenant. If the Next Available Unit Rule is violated, the Unit will not continue to be treated as a Qualifying Unit. (b) Certification of Tenant Eli ibg illty. As a condition to initial and continuing occupancy, each person who is intended to be a Qualifying Tenant will be required annually to sign and deliver to the Developer a Certification of Tenant Eligibility substantially in the form attached as EXHIBIT B hereto, or in any other form as may be approved by the Authority (the `Eligibility Certification"), in which the prospective Qualifying Tenant certifies as to qualifying as low or moderate income. In addition, the person will be required to provide whatever other information, documents, or certifications are deemed necessary by the Authority to substantiate the Eligibility Certification, on an ongoing annual basis, and to verify that the tenant D-2 516911v1 JAE MU205-47 continues to be a Qualifying Tenant within the meaning of Section 3(a) hereof. Eligibility Certifications will be maintained on file by the Developer with respect to each Qualifying Tenant who resides in a Project unit or resided therein during the immediately preceding calendar year. (c) Lease. The form of lease to be utilized by the Developer in renting any units in the Project to any person who is intended to be a Qualifying Tenant will provide for termination of the lease and consent by the person to immediate eviction for failure to qualify as a Qualifying Tenant as a result of any material misrepresentation made by the person with respect to the Eligibility Certification. (d) Annual Report. The Developer covenants and agrees that during the term of this Declaration, it will prepare and submit to the Authority on or before January 31 of each year, a certificate substantially in the form of EXHIBIT C hereto, executed by the Developer, (a) identifying the tenancies and the dates of occupancy (or vacancy) for all Qualifying Tenants in the Project, including the percentage of the dwelling units of the Project which were occupied by Qualifying Tenants (or held vacant and available for occupancy by Qualifying Tenants) at all times during the year preceding the date of the certificate; (b) describing all transfers or other changes in ownership of the Project or any interest therein; and (c) stating, that to the best knowledge of the person executing the certificate after due inquiry, all the units were rented or available for rental on a continuous basis during the year to members of the general public and that the Developer was not otherwise in default under this Declaration during the year. (e) Notice of Non -Compliance. The Developer will immediately notify the Authority if at any time during the term of this Declaration the dwelling units in the Project are not occupied or available for occupancy as required by the terms of this Declaration. 4. Transfer Restrictions. The Developer covenants and agrees that the Developer will cause or require as a condition precedent to any conveyance, transfer, assignment, or any other disposition of the Project prior to the termination of the Rental Restrictions and Occupancy Restrictions provided herein (the "Transfer") that the transferee of the Project pursuant to the Transfer assume in writing, in a form acceptable to the Authority, all duties and obligations of the Developer under this Declaration, including this Section 4, in the event of a subsequent Transfer by the transferee prior to expiration of the Rental Restrictions and Occupancy Restrictions provided herein (the "Assumption Agreement"). The Developer will deliver the Assumption Agreement to the Authority prior to the Transfer. Enforcement. (a) The Developer will permit, during normal business hours and upon reasonable notice, any duly authorized representative of the Authority to inspect any books and records of the Developer regarding the Project with respect to the incomes of Qualifying Tenants. (b) The Developer will submit any other information, documents or certifications requested by the Authority which the Authority deems reasonably necessary to substantial the Developer's continuing compliance with the provisions specified in this Declaration. (c) The Developer acknowledges that the primary purpose for requiring compliance by the Developer with the restrictions provided in this Declaration is to ensure compliance of the property with the housing affordability covenants set forth in Section 4.5 of the Contract, and by reason thereof, the Developer, in consideration for assistance provided by the Authority under the Contract that makes possible the construction of the Minimum Improvements (as defined in the Contract) on the Property, hereby agrees and consents that the Authority will be entitled, for any breach of the provisions of this Declaration, and in addition to all other remedies provided by law or in equity, to enforce specific performance by the Developer of its obligations under this Declaration in a state court of competent jurisdiction. The Developer hereby D-3 516911v1 JAE MU205-47 further specifically acknowledges that the Authority cannot be adequately compensated by monetary damages in the event of any default hereunder. (d) The Developer understands and acknowledges that, in addition to any remedy set forth herein for failure to comply with the restrictions set forth in this Declaration, the Authority may exercise any remedy available to it under Article IX of the Contract. 6. Indemnification. The Developer hereby indemnifies, and agrees to defend and hold harmless, the Authority from and against all liabilities, losses, damages, costs, expenses (including attorneys' fees and expenses), causes of action, suits, allegations, claims, demands, and judgments of any nature arising from the consequences of a legal or administrative proceeding or action brought against them, or any of them, on account of any failure by the Developer to comply with the terms of this Declaration, or on account of any representation or warranty of the Developer contained herein being untrue. 7. Agent of the Authority. The Authority will have the right to appoint an agent to carry out any of its duties and obligations hereunder, and will inform the Developer of any agency appointment by written notice. 8. Severability. The invalidity of any clause, part or provision of this Declaration will not affect the validity of the remaining portions thereof 9. Notices. All notices to be given pursuant to this Declaration must be in writing and will be deemed given when mailed by certified or registered mail, return receipt requested, to the parties hereto at the addresses set forth below, or to any other place as a party may from time to time designate in writing. The Developer and the Authority may, by notice given hereunder, designate any further or different addresses to which subsequent notices, certificates, or other communications are sent. The initial addresses for notices and other communications are as follows: To the Authority: Mounds View Economic Development Authority 2401 Mounds View Boulevard Mounds View, MN 55112 Attn: Business Development Coordinator To the Developer: Boulevard Apartments, Limited Partnership [ADDRESS] Attn: 10. Governing Law. This Declaration is governed by the laws of the State of Minnesota and, where applicable, the laws of the United States of America. 11. Attorneys' Fees. In case any action at law or in equity, including an action for declaratory relief, is brought against the Developer to enforce the provisions of this Declaration, the Developer agrees to pay the reasonable attorneys' fees and other reasonable expenses paid or incurred by the Authority in connection with the action. 12. Declaration Binding. This Declaration and the covenants contained herein will run with the real property comprising the Project and will bind the Developer and its successors and assigns and all subsequent owners of the Project or any interest therein, and the benefits will inure to the Authority and its successors and assigns for the term of this Declaration as provided in Section 1(b) hereof. D-4 516911v1 JAE MU205-47 IN WITNESS WHEREOF, the Developer has caused this Declaration of Restrictive Covenants to be signed by its respective duly authorized representatives, as of the day and year first written above. BOULEVARD APARTMENTS, LIMITED PARTNERSHIP By: [INSERT GENERAL PARTNER NAME] Its: General Partner Its: STATE OF MINNESOTA ) SS. COUNTY OF ) Chris Stokka The foregoing instrument was acknowledged before me this , 2018, by , the of , the general partner of Boulevard Apartments, Limited Partnership, a Minnesota limited partnership, on behalf of the Developer. Notary Public THIS INSTRUMENT WAS DRAFTED BY: Kennedy & Graven, Chartered (JAE) 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 (612) 337-9300 D-5 516911v1 JAE MU205-47 This Declaration is acknowledged and consented to by: MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director STATE OF M]NNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this '2018, by , the President of the Mounds View Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota, on behalf of the Authority. Notary Public STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this , 2018, by Nyle Zikmund, the Executive Director of the Mounds View Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota, on behalf of the Authority. Notary Public D-6 516911v1 JAE MU205-47 EXHIBIT A TO DECLARATION OF RESTRICTIVE COVENANTS Legal Description [Inset legal descriptions] D-7 516911v1 JAE MU205-47 EXHIBIT B TO DECLARATION OF RESTRICTIVE COVENANTS Certification of Tenant Eligibility (INCOME COMPUTATION AND CERTIFICATION) Project: [Address] Owner: Unit Type: 1 BR 1 BR + Den 2 BR 1. I/We, the undersigned, being first duly sworn, state that Uwe have read and answered fully, frankly and personally each of the following questions for all persons (including minors) who are to occupy the unit in the above apartment development for which application is made, all of whom are listed below: Name of Relationship Members of the To Head of Place of Household Household Age Employment date, Income Computation 2. The anticipated income of all the above persons during the 12 -month period beginning this (a) including all wages and salaries, overtime pay, commissions, fees, tips and bonuses before payroll deductions; net income from the operation of a business or profession or from the rental of real or personal property (without deducting expenditures for business expansion or amortization of capital indebtedness); interest and dividends; the full amount of periodic payments received from social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits and other similar types of periodic receipts; payments in lieu of earnings, such as unemployment and disability compensation, worker's compensation and severance pay; the maximum amount of public assistance available to the above persons; periodic and determinable allowances, such as alimony and child support payments and regular contributions and gifts received from persons not residing in the dwelling; and all regular pay, special pay and allowances of a member of the Armed Forces (whether or not living in the dwelling) who is the head of the household or spouse; but (b) excluding casual, sporadic or irregular gifts; amounts which are specifically for or in reimbursement of medical expenses; lump sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and workmen's compensation), capital gains and settlement for personal or property losses; amounts of educational scholarships paid directly to the student or the educational institution, and amounts paid by the government to a veteran for use in meeting the costs of tuition, fees, books and equipment, but in either case only to the extent used for these types of purposes; special pay to a serviceman head of a D-8 516911v1 JAE MU205-47 family who is away fiom home and exposed to hostile fire; relocation payments under Title 11 of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970; foster child care payments; the value of coupon allotments for the purchase of food pursuant to the Food Stamp Act of 1964 which is in excess of the amount actually charged for the allotments; and payments received pursuant to participation in ACTION volunteer programs, is as follows: $ 3. If any of the persons described above (or whose income or contributions was included in item 2) has any savings, bonds, equity in real property or other form of capital investment, provide: (a) the total value of all such assets owned by all such persons: $ ; (b) the amount of income expected to be derived from such assets in the 12 month period commencing this date: $ ; and (c) the amount of such income which is included in income listed in item 2: 4. (a) Will all of the persons listed in item 1 above be or have they been full-time students during five calendar months of this calendar year at an educational institution (other than a correspondence school) with regular faculty and students? Yes No (b) Is any such person (other than nonresident aliens) married and eligible to file a joint federal income tax return? Yes No THE UNDERSIGNED HEREBY CERTIFY THAT THE INFORMATION SET FORTH ABOVE IS TRUE AND CORRECT. THE UNDERSIGNED ACKNOWLEDGE THAT THE LEASE FOR THE UNIT TO BE OCCUPIED BY THE UNDERSIGNED WILL BE CANCELLED UPON 10 DAYS WRITTEN NOTICE IF ANY OF THE INFORMATION ABOVE IS NOT TRUE AND CORRECT. Head of Household Spouse D-9 516911v1 JAE MU205-47 FOR COMPLETION BY OWNER (OR ITS MANAGER) ONLY Calculation of Eligible Tenant Income: (a) Enter amount entered for entire household in 2 above: $ (b) If the amount entered in 3(a) above is greater than $5,000, enter the greater of (i) the amount entered in 3(b) less the amount entered in 3(c) or (ii) 10% of the amount entered in 3(a): (c) TOTAL ELIGIBLE INCOME (Line 1(a) plus Line 1(b)): $ 2. The amount entered in 1(c) is less than or equal to 60% of median income for the area in which the Project is located, as defined in the Declaration. 60% is necessary for status as a "Qualifying Tenant" under Section 3(a) of the Declaration. Number of apartment unit assigned: 4. This apartment unit was was not last occupied for a period of at least 31 consecutive days by persons whose aggregate anticipated annual income as certified in the above manner upon their initial occupancy of the apartment unit was less than or equal to 60% of Median Income in the area. 5. Check as applicable: Applicant qualifies as a Qualifying Tenant (tenants of at least _ units must meet), or Applicant otherwise qualifies to rent a unit. THE UNDERSIGNED HEREBY CERTIFIES THAT HE/SHE HAS NO KNOWLEDGE OF ANY FACTS WHICH WOULD CAUSE HIM/HER TO BELIEVE THAT ANY OF THE INFORMATION PROVIDED BY THE TENANT MAY BE UNTRUE OR INCORRECT. BOULEVARD APARTMENTS, LIMITED PARTNERSHIP By: [INSERT GENERAL PARTNER NAME] Its: General Partner Chris Stokka Its: D-10 516911v1 JAE NM205-47 EXHIBIT C TO DECLARATION OF RESTRICTIVE COVENANTS Certificate of Continuing Program Compliance Date: The following information with respect to the Project located at , Mounds View, Minnesota (the "Project"), is being provided by Boulevard Apartments, Limited Partnership (the "Owner") to the Mounds View Economic Development Authority (the "Authority"), pursuant to that certain Declaration of Restrictive Covenants, dated , 2018 (the "Declaration"), with respect to the Project: (A) The total number of residential units which are available for occupancy is 60. The total number of these units occupied is (B) The following residential units (identified by unit number) are currently occupied by "Qualifying Tenants," as the term is defined in the Declaration (for a total of units): 1 BR Units: 1 BR + Den Units: 2 BR Units: (C) The following residential units which are included in (B) above, have been re -designated as units for Qualifying Tenants since , 20 , the date on which the last "Certificate of Continuing Program Compliance" was filed with the Authority by the Owner: Unit Previous Designation Replacing Number of Unit (if any) Unit Number D-11 516911v1 JAE MU205-47 (D) The following residential units are considered to be occupied by Qualifying Tenants based on the information set forth below: (E) The Owner has obtained a "Certification of Tenant Eligibility," in the form provided as EXHIBIT B to the Declaration, from each Tenant named in (D) above, and each such Certificate is being maintained by the Owner in its records with respect to the Project. Attached hereto is the most recent "Certification of Tenant Eligibility" for each Tenant named in (D) above who signed such a Certification since , 20_, the date on which the last "Certificate of Continuing Program Compliance" was filed with the Authority by the Owner. (F) In renting the residential units in the Project, the Owner has not given preference to any particular group or class of persons (except for persons who qualify as Qualifying Tenants); and D-12 516911v1 JAE MU205-47 Unit Number Name of Tenant Number of Persons Residing in the Unit Number of Bedrooms Total Adjusted Gross Income Date of Initial Occupancy Rent 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 (E) The Owner has obtained a "Certification of Tenant Eligibility," in the form provided as EXHIBIT B to the Declaration, from each Tenant named in (D) above, and each such Certificate is being maintained by the Owner in its records with respect to the Project. Attached hereto is the most recent "Certification of Tenant Eligibility" for each Tenant named in (D) above who signed such a Certification since , 20_, the date on which the last "Certificate of Continuing Program Compliance" was filed with the Authority by the Owner. (F) In renting the residential units in the Project, the Owner has not given preference to any particular group or class of persons (except for persons who qualify as Qualifying Tenants); and D-12 516911v1 JAE MU205-47 none of the units listed in (D) above have been rented for occupancy entirely by students, no one of which is entitled to file a joint return for federal income tax purposes. All of the residential units in the Project have been rented pursuant to a written lease, and the term of each lease is at least twelve (12) months. (G) The information provided in this "Certificate of Continuing Program Compliance" is accurate and complete, and no matters have come to the attention of the Owner which would indicate that any of the information provided herein, or in any "Certification of Tenant Eligibility" obtained fi•om the Tenants named herein, is inaccurate or incomplete in any respect. (IT) The Project is in continuing compliance with the Declaration. (I) The Owner certifies that as of the date hereof 100% of the residential dwelling units in the Project are occupied or held open for occupancy by Qualifying Tenants, as defined and provided in the Declaration. (.1) The rental levels for each Qualifying Tenant comply with the maximum permitted under the Declaration. D-13 516911v1 JAE MU205-47 IN WITNESS WIIEREOF, I have hereunto affixed my signature, on behalf of the Owner, on 2018. BOULEVARD APARTMENTS, LIMITED PARTNERSHIP By: [INSERT GENERAL PARTNER NAME] Its: General Partner Chris Stokka Its: D-14 516911v1 JAE MU205-47 FORM OF MINIMUM ASSESSMENT AGREEMENT THIS MINIMUM ASSESSMENT AGREEMENT, made on or as of the day of 12018 (the "Minimum Assessment Agreement"), is between the MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"), and BOULEVARD APARTMENTS, LIMITED PARTNERSHIP, a Minnesota limited partnership (the "Developer"). WITNESSETH WHEREAS, the Authority and the Developer have entered into that certain Contract for Private Development, dated , 2018 (the "Contract"), regarding the acquisition of property, the construction of a three-story, 60 -unit workforce rental building, including underground parking (the "Minimum Improvements") to be constructed on property legally described in Exhibit A (the "Development Property"); and WHEREAS, the Authority and the Developer desire to establish a minimum market value for the Development Property and the Minimum Improvements to be constructed thereon, pursuant to Minnesota Statutes, Section 469.177, subdivision 8; and WHEREAS, the Authority and the County Assessor (the "Assessor") have reviewed the preliminary plans and specifications for the Minimum Improvements and have inspected such improvements; NOW, THEREFORE, the parties to this Minimum Assessment Agreement, in consideration of the promises, covenants and agreements made by each to the other, do hereby agree as follows: 1. All capitalized terms used herein and not otherwise defined have the definition given such terms in the Contract. 2. The minimum market value which shall be assessed for ad valorem tax purposes for the Development Property, together with the Minimum Improvements constructed thereon, shall be $7,800,000 as of January 2, 2020, notwithstanding the progress of construction by such date, and as of each January 2 thereafter until termination of this Minimum Assessment Agreement under Section 4 hereof 3. The minimum market value herein established shall be of no further force and effect and this Minimum Assessment Agreement shall terminate on the earlier of (i) date the principal of and interest on the Tax Increment Revenue Note delivered to the Developer by the Authority pursuant to the terms of Contract is paid in full; or (ii) the date the Tax Increment Financing District No. 1-6 established by the Authority and the City of Mounds View is decertified. The Authority shall execute a certificate or affidavit upon the occurrence of a termination event referred to in this Section 4 indicating that this Minimum Assessment Agreement has terminated and shall supply such certificate to the Developer for recording. 4. This Minimum Assessment Agreement shall be promptly recorded by the Authority. The Developer shall pay all costs of recording. 5. Neither the preambles nor provisions of this Minimum Assessment Agreement are intended to, nor shall they be construed as, modifying the terms of the Contract. E-1 516911v1 JAE MU205-47 6. This Minimum Assessment Agreement shall inure to the benefit of and be binding upon the successors and assigns of the parties. 7. Each of the parties has authority to enter into this Minimum Assessment Agreement and to take all actions required of it, and has taken all actions necessary to authorize the execution and delivery of this Minimum Assessment Agreement. 8. In the event any provision of this Minimum Assessment Agreement shall be held invalid and unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render unenforceable any other provision hereof. 9. The parties hereto agree that they will, from time to time, execute, acknowledge and deliver, or cause to be executed, acknowledged and delivered, such supplements, amendments and modifications hereto, and such further instruments as may reasonably be required for correcting any inadequate, or incorrect, or amended description of the Development Property or the Minimum Improvements or for carrying out the expressed intention of this Minimum Assessment Agreement. 10. This Minimum Assessment Agreement may not be amended nor any of its terms modified except by a writing authorized and executed by all parties hereto. 11. This Minimum Assessment Agreement may be simultaneously executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. 12. This Minimum Assessment Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota. (The remainder of this page is intentionally left blank.) E-2 516911 v i JAE MU205-47 IN WITNESS WHEREOF, the Authority and the Developer have caused this Minimum Assessment Agreement to be executed in their respective corporate names by their duly authorized officers, all as of the date and year first written above. MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this 2018, by , the President of the Mounds View Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota, on behalf of the Authority. Notary Public STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this , 2018, by Nyle Zikmund, the Executive Director of the Mounds View Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota, on behalf of the Authority. Notary Public This document was drafted by: KENNEDY & GRAVEN, CHARTERED (JAE) 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, Minnesota 55402 Telephone: 612-337-9300 E-3 516911v1 JAE MU205-47 BOULEVARD APARTMENTS, LIMITED PARTNERSHIP By: [INSERT GENERAL PARTNER NAME] Its: General Partner Its: STATE OF MINNESOTA ) SS. COUNTY OF ) Chris Stokka The foregoing instrument was acknowledged before me this , 2018, by , the of , the general partner of Boulevard Apartments, Limited Partnership, a Minnesota limited partnership, on behalf of the Developer. Notary Public E-4 516911v1 JAE MU205-47 CERTIFICATION BY COUNTY ASSESSOR The undersigned, having reviewed the plans and specifications for the improvements to be constructed and the market value assigned to the land upon which the improvements are to be constructed, hereby certifies as follows: the undersigned Assessor, being legally responsible for the assessment of the above described property, hereby certifies that the market values assigned to the land and improvements are reasonable. ASSESSOR FOR RAMSEY COUNTY 13 STATE OF MINNESOTA ) ) SS. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this day of , 2018, by , the County Assessor of Ramsey County, Minnesota. Notary Public E-5 516911v1JAE W205-47 EXHIBIT A TO MINIMUM ASSESSMENT AGREEMENT LEGAL DESCRIPTION [Inset legal descriptions] E-6 516911v1 JAE MU205-47 pOLICF��� z 0 • �E The Mounds View Police Department responded to 12,215 calls for service during 2017, up from 10,000 in 2016. Officers have increased their pro -active activity increasing arrests as well as citations from last year, which is the driving force behind the increase in calls for service. While our patrol activity has certainly increased, it has not resulted in a drop in community outreach events. The agency launched numerous first time outreach projects to include: National Night Out pre - party (1St annual), as well as making our first appearance at Ghanafest 2017 in Silverview Park. The agency also conducted numerous mobile rock wall outreach events with Community Partners with Youth, area schools, Festival in The Park, PD/FD bike helmet and outreach event at the Mounds View Library, and several others. The National Night Out was also a success with many school supplies and food donated by the generous residents of Mounds View. In February of 2017 we launched the first ever Father Daughter Ball, with an estimated 350 in attendance. Officers continued the successful programs of Shop with a Cop and Bowling with a Cop. Officers conducted several hunter safety classes throughout the year teaching kids safe handling of firearms and hunting and safety education. The Mounds View Police Department welcomed new Officer Sydney Dison to the ranks in 2017, and she has quickly proven herself as a competent and active officer. it A'a A. — r �iI � • � °-� r � - Sn�SDY ��, , i •1 "�•- �!` if _inMaONo - ,. L a i. rA ,VIEW ERWC The Mounds View Police Department implemented Body Worn Cameras in the summer of 2017. These tools allow officers to document interaction with the public growing transparency, accountability, and strengthening criminal cases with video evidence. Several new key relationships were established in 2017. Shield 616 and Bethlehem Baptist partnered to bring all officers of the Mounds View Police Department rifle plate armor and helmets for response to active shooter and other high threat police events, that have become common place in the United States. The relationship did not stop with the purchase of the equipment as each officer is assigned a "support group" that sends encouragement throughout the year. Many times officers have found cards, food, surprise visits, from our support groups and we greatly appreciate the effort and work these wonderful people have demonstrated towards us. The Mounds View Police Foundation was founded as a 501C3 to help support the Mounds View Police Department efforts to reach out to the community. This group is comprised of volunteers who help fund and provide volunteers to help us with our increasing outreach efforts. Without these volunteers and fundraising, many of our police outreach efforts would not have been possible. These volunteers have acted as force multipliers serving as volunteers at the Father Daughter Ball, National Night Out Pre -Party, Bowling with a Cop, Shop with a Cop, and are the driving force behind our recently acquired second K9 "Grizz" who will be making his debut in Spring of 2018. The Foundation made this possible by raising $6,000 for this K9. Anyone who is interested in serving in this Foundation is encouraged to contact the Foundation at: Moundsviewpolicefoundation@gmail.com The Mounds View Police Department continues to try and reach as many citizens as possible with crime prevention information, upcoming events, and department information through social media. We recently launched a twitter account, and will be reestablishing our Facebook page in early 2018. Ak rl 611� : �@ 0 .ft v r Now IT N Sk 4h, In 2017, the Police Department trained the Adult Education Center students, Bridges School 7th Grade class, and Medtronic -Mounds View Campus. We held booths at the National Night Out Pre -Party, Ghanafest, Festival In the Park, and Edgewood Middle School book fair. A total of 581 people learned CPR through this program this year. The program remains available for any organization or citizen in the city. We have brought goals to the Mounds View Police Foundation requesting AED's be placed at the local parks and for more training equipment in the future. NEW AMERICANS ACADEMY The Police Department organized the first New Americans Academy. We worked closely with the Mounds View School District who kindly hosted the event at their Adult Education Center. The program consisted of four presentations over two weeks. Speakers included Officer Kirsten Heineman who presented on the Police Department and Crime Prevention, Attorney Katrina Joseph who presented on US and MN law, Rebecca Booker of SBM Fire Dept who presented on Fire Safety, and Bukola Oriola who presented on her story of surviving human trafficking. Participants received a Certificate of Completion after attending all four days of the academy. Our goal was to build a relationship with members of the immigrant community by providing insight on different agencies. We had a great response and the feedback from the students was exceptional. Students really enjoyed meeting representatives of each agency and learning about all of the topics. MOUNDS VIEW POLICE CANINE (K9) UNIT From October 1st1t to December 311t the K9 team responded to 84 calls for service. In October the K9 team was deployed 4 times: 1 time for building searches 2 Times for public demonstrations and relations. 1 time for suspect apprehension On 10-3-2017, the K9 team responded to the area of Silver Lake Road and Mounds View Blvd for a vehicle showing that the registered owner had a felony warrant for aggravated Robbery. Officers attempted to stop the vehicle but the vehicle fled from officers resulting in a pursuit. The vehicle fled northbound on Hwy 65 where the vehicle eventually lost control and crashed in the ditch. I<9 Niko was deployed and assisted with apprehending the suspect. The suspect was the registered owner with the felony warrant and was placed in custody. On 10-6-2017, the K-9 team showed off their skills for the kids at Edgewood Middle School. The kids are taking a class in "Careers with Animals". Niko showed off his skills in obedience, article searches, apprehensions, and narcotics searches, and handler protection. This was well received by the kids and staff. On 10-14-2017 Officers were called to the 2000 block of Terrace Drive for a door that had been kicked open to a vacant house. K9 Niko was deployed to search and clear the house for officers. In November the K9 team was deployed 5 times: 1 building search 1 K9 track 3 times as a K9 deterrence On 11-1-2017, K9 Niko was requested to assist New Brighton Police with a business alarm and an open exterior door. K9 Niko was deployed to search and clear the business for officers. On 11-14-2017, Officers were called to Pleasant View Court for a juvenile that ran from a group home. K9 Niko was deployed and began a track to locate the juvenile. The juvenile was located at County Road J and Spring Lake Park Drive and was returned to the group home. On 11-19-2017, Officers were called to the 2000 block of Hillview Road for a male threatening the caller that he had a gun and would shoot her. Officers arrived K9 Niko was deployed to assist with officer protection and locating the suspect. Officers made contact with the caller and found that the male left the area in a vehicle. In December the 1<9 team was deployed 4 time: 1 time for vehicle narcotic sniffs 2 building searches 1 K9 deterrence On 12-1-2017, K9 Niko was called to County Road I and 35W to assist Mounds View Officers with a vehicle narcotic sniff. K9 Niko was deployed for a vehicle sniff and indicated he was in odor in the vehicle. 56 grams of marijuana and paraphernalia was located in the vehicle. On 12-9-2017, Officers were called to the 5100 block of Red Oak for a possible suspect in the caller's house. Caller stated that she came back and the screen door was open, the lights were off, and she heard a thump from upstairs. She said the house was not how she left it. K9 Niko was deployed and began the search of the house. Niko cleared the first floor and did not alert on locating a suspect. Officers moved to the second floor where K9 Niko continued to search the house. Niko alerted on a closed bedroom door indicating that he had located a person. Officers called out to the suspect and the suspect responded saying that he was surrendering. The suspect came out of the room and was placed in custody. On 12-23-2017, Officers were called to the 2100 block of Hillview Road for people trespassing in a vulnerable adult's apartment. The tenant was gone for the weekend and three people were in the apartment but not allowed to be. Management tried to key into the apartment but the deadbolt was locked. Officers arrived with K9 Niko and gave announcements. Two of the occupants came out. Another male was still unaccounted for and known to have warrants for his arrest. K9 Niko was deployed to search the apartment. Niko went into the bedroom and alerted at the underside of the bed indicating that the suspect was inside the bed. The bed had been flush against the floor. Officers removed the box mattress where the suspect was hiding between the mattress and box springs. The suspect was placed under arrest. School Resource Officer Kirk Leitch (SRO) The school year is in full swing at Edgewood Middle School. The students and staff at Edgewood continue to work hard to meet all of their educational goals. The school continues to take proactive measures to keep incidents requiring law enforcement intervention to a minimum. The school continues to educate on bullying and harassment, but it is the students who have been more vocal about not allowing this to happen and reporting incidents as they occur. This last quarter no significant incidents were reported, other than lost cell phones, some theft incidents, and social media issues. The cell phones were immediately recovered, the property in the theft incidents were located and returned, and the social media issues were resolved with the help of staff and parental intervention. The students at Edgewood have been reminded of their personal safety and security, along with the safety and security of their personal property. The school also continues to work on school safety procedures and practices. The school this last quarter has conducted multiple fire drills and lock down drills. The school has been reviewing procedures for better safety practices and security, including access to the building, visitors in the building, and the possibility of more security cameras. The school has also been working with the MVPD to improve safety procedures, along with MVPD Officers assisting in upcoming training with the schools Crisis Team. Since the districts bond referendum for improving schools has passed, Edgewood is one of the first schools where construction will begin. Not only will the facilities be updated, but this will also allow for updated safety and security inside and outside the building, with the hopes of a completely separate bus zone and parent pick-up and drop-off zone. This last quarter, Edgewood Middle School has also hosted a number of events, including the school play, band and choir concerts, parent communication nights, as well as the MV Lions Breakfast with Santa. The school also continues to host several after school activities including sports, student clubs, and extra educational assistance for students. Edgewood Middle School staff also provided extra support to families in the community over the holiday season. The school is looking forward to the next quarter, as 5th grade students will be enrolling to attend Edgewood Middle School for next school year. 8th grade students will also be enrolling for high school as well, as they complete their final year at Edgewood. The school advises that should anyone have any questions about the school, programs, or enrollment, to please contact them. TOWARD ZERO �111= DEATHS 2017 Towards Zero Deaths Annual Report 01/01/2017 -12/31/2017 Once again this year, the Mounds View Police Department participated with other law enforcement agencies in Ramsey County to conduct hi -visibility traffic enforcement. This joint venture is known as the "Ramsey County Traffic Safety Initiative (RCTSI)". The RCTSI program is funded by the Federal Department of Transportation and overseen by the Minnesota Office of Traffic Safety. The "RCTSI" targets impaired driving, distracted driving, non -seatbelt use and speeding, (all of which coincide with media campaigns promoted by the Office of Traffic Safety). Multiple squads from participating police agencies in Ramsey County work together on specific roadways to create a high visibility event. Motorists are warned with illuminated MN DOT signs that increased enforcement is in the area. All officers working the saturations wear high visibility traffic vests. During 2017, the RCTSI hosted 43 traffic enforcement events. Over the course of those traffic enforcement events 6,602 hours were worked by Officers from all the participating departments. There were 10,332 traffic stops conducted. 360 DWI arrests were made. Officers also issued 2,863 speeding and 988 seatbelts citations. On October 12th, the RCSTI held the year end appreciation banquet for all the officers who worked so hard to make this year's efforts such a success. Several Mounds View officers were recognized at the banquet with "certificates of appreciation". This year's banquet was hosted by the Ramsey County Sheriff's Office at the Shoreview Community Center. The meal was catered by Acapulco Restaurant. A good time was had by all. Ramsey County TZD stats: 12000 10000 4000 2000 0 Traffic Stops DWI arrests Speed citations Seatbelt citations Ramsey County Sheriff's Office dispatch began tracking traffic stop data in late 2016 and throughout 2017. The Mounds View Police Department has received our traffic stop data and will be posting the information to the agencies website, as well as this report. 800 700 600 500 400 300 200 100 0 White, 62% 2017 Traffic Stops by Race Black, 20% Traffic Stops by Race & Gender 749 White Native American, 0% Latino, 5% Asian, 6% ther, 6% ❑ Female 268 u Male 97 94 . 63 0-� Black Other Asian Latino Native American 1400 1200 800 - -- -- ------ - --- --- - �_- 600 -- - - - ------ ----- --- - - 400 200_-- 0 - — -- ---- - — - 9-1-1 / Citizen Investigative Vehicle Violation Moving Violation Reason for Stop Reason for Stop by Race 800- 700_,- 600 - 500 — 400 300 200 --___-- 100 O - - f f - C_ a) C > C O C O N C O C O C of of C C I o1 C C O O Ql C O C OO O O O O O O U O O_ o O O_ O_ > >v > > > �, v > > > > v > > ho > N > 4J bo > UJ to > N bA > UJ Co > N bA >-C L > t > Ql t > t > L > 22 > > > 2 > 2 > 2 > Native American Latino Asian Other Black White Vehicle Search by Race & Gender ` _I Male Female Male Y U CO Female i I I A,_ Male Female O Female Male u Male c m Female Female 0 5 10 15 20 25 30 Person Search by Race & Gender Male A,_ Female Male u m Female a� Male o Male c N Q Female Male i 0 5 10 15 20 25 30 35 Mounds View Police Training: October 01St--- December 31St, 2017 Occupant Protection and Usage Enforcement BCA Annual Leaders Conference BCA Data Master Operator Recertification Minnesota Resuscitation Academy annual consortium BCA Terminal Agency Coordinator Training BCA Single Certification Hearing Conservation Threat Liaison Officer Training Respiratory Protection for Law Enforcement Field Training Officer Basic Training Minnesota Sex Crime Investigators Annual Conference Officer Safety Searches Use of Force Refresher phase 1 and 2 Bloodborne Pathogens Hazardous Materials Level -1 part 1 & 2 AWAIR Employee Right -to -Know BCA Integrating Communications, Assessment and Tactics Advanced Roadside Impaired Driving Enforcement Standardized Field Sobriety Testing Critical Incidents Portable Fire Extinguishers Personal Protective Equipment First Aid and CPR Criminal Sexual Assault Investigations Steering Clear of Sexual Harassment Persuasion and De-escalation Emergency Management IS -100 Introduction to the Incident Command System for Law Enforcement Inclimate Weather Handgun Qualification Use of Force Legal Issues Use of Deadly Force Readiness Aspects Use of Force BCA Datamaster Operator Recertification Implicit Bias Statistical Report: Activity Jan thru Mar 2017 TOTAL Jan thru Mar 2016 TOTAL Year to Date TOTAL Adult Arrests 37 46 37 Juvenile Arrests 0 3 0 Calls For Service 2526 2359 2526 Court Citations 208 165 208 Administrative Offenses N/A 16 N/A January thru March 2017 Investigative Reports Cases assigned for investigation TOTAL 71 YEAR TO DATE 71 Arson 0 Assault 5 Burglary 3 Forgery 1 Child Abuse 2 Computer Crimes 0 CSC 2 Damage to Property 3 Fraud 7 Harassment/Stalking/Violate OFP/NCO 1 Misc. Other Offenses 5 Missing Persons 3 Narcotics 1 Robbery 1 Terroristic Threats 1 Theft/Stolen Property 12 Traffic Offenses 17 Vulnerable Adults 6 Weapons 1 Homicide 0 January thru March 2017 Crime Reports TOTAL 204 YEAR TO DATE 207 Assault 11 Misc-Other Offenses 1 Burglary 7 Disturbing Peace 8 Forgery 3 Obscenity 0 Narcotics 10 Property Damage/Trespass 24 Arson 0 Robbery 1 Crimes Against Family 5 Theft/Fraud 89 Traffic (DUI, Accidents, other 23 Vehicle Theft/Tampering 7 Criminal Sexual Conduct 2 Weapons 1 Misc. Liquor Offenses 2 Crimes Against Admin of Justice 4 Juvenile-Runaway/Curfew 6 Homicide 0 January thru March 2017 Misc. Incidents, Calls and Complaints TOTAL 2427 TOTAL YEAR TO DATE 2427 Lost & Found (person s/ ro er 32 Suspicion Narcotics 21 Vehicles (towed, recovered, abandoned) 9 Public Disturbance/Loud rty 96 Accidents 52 Disorderly Juvenile 15 Animal Complaints/Impounds 34 Traffic Stops — Warnings 448 Fires 0 Traffic Stops — Citations 182 Medical/Suicide/Mental/DOA 256 City Ordinance Complaints 18 Domestic -Verbal 37 Warrants 17 Alarms 65 Assist other Agencies 141 Lockouts 48 Misc. Public Calls 407 Suspicious Misc 136 Proactive Police Visit 413 100 90 80 70 60 Amount of Crimes 50 40 30 20 10 0 2017 Top 5 Crimes - January to March Theft/Fraud Property Traffic Assault Narcotics Damage/Trespass Crime Type UTheft/Fraud t7 Property Damage/Trespass l3 Traffic _i Assault U Narcotics 2016 vs. 2017 Top 5 Crimes - January to March 120 101 100 89 80 Amount of Crimes 60 40 24 28 23 23 20 20 15 J- - - - - - --- — - - -- Theft/Fraud Property Traffic Assault Narcotics Damage/Trespass Crime Type R Q12017 Id Q12016 Citation Offense Comparison January thru March 2017 o Speed o Overnight Parking Violation n 010i 0.41% o No Proof of Insurance/No Insurance o Driving After Revocation o Expired Registration Gi Stop Sign/Light Violation NTraffic Lane Violations o Violate Limited Driver's License uJunk and Debris - Ordinance 1W Juvenile - Curfew Violation W Possess Marijuana uValid DL W Theft o Underage Comsumption of Alcohol W Other Parking Violations o Possession of Stolen Property ® Violate Order for Protection/DANCO IJ Assault © Obstruct Legal Process * Careless Driving LI Dog at Large - Ordinance ® Driving After Suspension L3 DUI / DWI Offenses LI Possess Drug Paraphernalia Ll Noise Violations • Driving After Cancellation • Domestic Assault • False Information to Police Li Harassing Communications c7 0 cu m u O lD � UD j I l"I O 0 � N � V GC Q ,� � O � I f' � = z O � N W I (A Z �o I O N L cn O O z O C Q ( V d d > U au O v A ti v �' Q v 1 o vu ° �, .� W U] ° � ,� W 9 ° v Q bA lull c *a U ° P" v ,a) U) wo � O O z Statistical Report: Activity Apr thru June 2017 TOTAL Apr thru June 2016 TOTAL Year to Date TOTAL Adult Arrests 46 63 83 Juvenile Arrests 3 2 3 Calls For Service 3416 2656 5942 Court Citations 233 200 441 Administrative Offenses 0 3 0 April thru June 2017 Investigative Reports Cases assigned for investigation TOTAL 73 YEAR TO DATE 144 Arson 1 Assault 7 Burglary 6 Forgery 0 Child Abuse 1 Computer Crimes 0 CSC 4 Damage to Property 1 Fraud 6 Harassment/Stalking/Violate OFP/NCO 0 Misc. Other Offenses 5 Missing Persons 11 Narcotics 0 Robbery 0 Terroristic Threats 3 Theft/Stolen Property 15 Traffic Offenses 12 Vulnerable Adults 0 Weapons 1 Homicide 0 April thru June 2017 Crime Reports TOTAL 3,295 YEAR TO DATE 5,722 Assault 26 Misc-Other Offenses 1 Burglary 13 Disturbing Peace 9 Forgery 2 Obscenity 1 Narcotics 9 Property Damage/Trespass 39 Arson 0 Robbery 2 Crimes Against Family 2 Theft/Fraud 118 Traffic (DUI, Accidents, other 30 Vehicle Theft/Tampering 8 Criminal Sexual Conduct 1 Weapons 1 Misc. Liquor Offenses 1 Crimes Against Admin of Justice 10 Juvenile-Runaway/Curfew 6 Homicide 0 April thru June 2017 Misc. Incidents, Calls and Complaints TOTAL 3,295 YEAR TO DATE 5,722 Lost & Found (persons/property) 55 Suspicion Narcotics 24 Vehicles (towed, recovered, abandoned) 12 Public Disturbance/Loud Party 154 Accidents 50 Disorderly Juvenile 19 Animal Complaints/Impounds 66 Traffic Stops — Warnings 374 Fires 3 Traffic Stops — Citations 199 Medical/Suicide/Mental/DOA 240 City Ordinance Com laints 14 Domestic -Verbal 48 Warrants 16 Alarms 80 Assist other Agencies 153 Lockouts 47 Misc. Public Calls 725 Suspicious Misc 152 Proactive Police Visit 864 I Amount of Crimes 140 120 100 80 60 40 20 0 2017 Top 5 Urnes - QpM to Juno Theft/Fraud Property Traffic Assault Burglary Damage/Trespass Crime Type LI Theft/Fraud U Property Damage/Trespass C3 Traffic FJ Assault 0 Burglary 140 120 100 80 Amount of Crimes 60 40 20 0 2016 vs. 2017 Top 5 Crimes - April to June Theft/Fraud Traffic Assault Crime Type 0 Q2 2017 WQ22016 Property Burglary Damage/Trespass 11. Citation Offense Comparison April thru June 2017 0.46 •Overnight Parking Violation • Speed • No Proof of Insurance/No Insurance • Driving After Revocation •Stop Sign/Light Violation V Driving After Suspension • Driving After Cancellation •Valid DL • Expired Registration Li Careless Driving Li Possess Drug Paraphernalia U Seatbelt Violation • Th eft o Trespass U Assault Id Criminal Damage to Property • Disorderly Conduct U Dog at Large - Ordinance CJ Obstruct Legal Process U Dog Bite - Ordinance Li Driving without Headlights LJ DUI / DWI Offenses LI Possess Marijuana LJ Unlicensed Dog - Ordinance Ll Traffic Lane Violations EI Domestic Assault LJ False Information to Police Ll Traffic Regulation - Permit Offense by Another N C O .F cu u :# 0 O Ln 00 n O N W o z M M o Ln J o `t+ Ln M a � o m W LA z p N N W t O N LJ. LL N O Z CDi �+ O en [t 4 O � CJ w A 00 .,- 0 a, o 0 a y `-4 0 O 0 2 P-( 0 z Statistical Report: Activity July thru Sept. 2017 TOTAL July thru Sept. 2016 TOTAL Year to Date TOTAL Adult Arrests 62 35 145 Juvenile Arrests 7 1 10 Calls For Service 3238 2399 9180 Court Citations 231 194 672 Administrative Offenses N/A 2 N/A July thru September 2017 Investigative Reports Cases assigned for investigation TOTAL 86 YEAR TO DATE 230 Arson 0 Assault 4 Burglary 7 Forgery 0 Child Abuse 1 Computer Crimes 0 CSC 4 Damage to Property 2 Fraud 13 Harassment/Stalking/Violate OFP/NCO 2 Misc. Other Offenses 4 Missing Persons 6 Narcotics 1 Robbery 0 Terroristic Threats 1 Theft/Stolen Property 12 Traffic Offenses 24 Vulnerable Adults 0 Weapons 2 Homicide 0 July thru September 2017 Crime Reports TOTAL 470 YEAR TO DATE 953 Assault 18 Misc-Other Offenses 0 Burglary 8 Disturbing Peace 12 Forgery 1 Obscenity 1 Narcotics 30 Property Damage/Trespass 23 Arson 0 Robbery 1 Crimes A ainst Family 5 Theft/Fraud 291 Traffic (DUI, Accidents, other 37 Vehicle Theft/Tampering 8 Criminal Sexual Conduct 3 Weapons 3 Misc. Liquor Offenses 8 Crimes Against Admin of Justice 10 Juvenile-Runaway/Curfew 11 Homicide 0 July thru September 2017 Misc. Incidents, Calls and Complaints TOTAL 2,828 YEAR TO DATE 8,550 Lost & Found (persons/property) 43 Suspicion Narcotics 16 Vehicles (towed, recovered, abandoned) 17 Public Disturbance/Loud Pa rty 167 Accidents 52 Disorderly Juvenile 24 Animal Complaints/Impounds 41 Traffic Stops — Warnings 392 Fires 0 Traffic Stops — Citations 142 Medical/Suicide/Mental/DOA 278 City Ordinance Com laints 26 Domestic -Verbal 47 Warrants 19 Alarms 54 Assist other Agencies 102 Lockouts 44 Misc. Public Calls 633 Suspicious Misc 122 Proactive Police Visit 609 2017 Top 5 Crimes - July to Sept. 350 300 250 200 150 291 100 Amount of Crimes 50 0 X30 �oQe Q Crime Type LiTheft/Fraud LITraffic U Narcotics Li Property Damage/trespass EJAssault 2016 vs. 2017 Top 5 Crimes - July to Sept. 350 291 300 250 200 150 100 Amount of Crimes 50 37 30 37 8 23 0 a�\ a� Q Crime Type o Q3 2017 o Q3 2016 � 37 � 2016 vs. 2017 Top 5 Crimes - July to Sept. 350 291 300 250 200 150 100 Amount of Crimes 50 37 30 37 8 23 0 a�\ a� Q Crime Type o Q3 2017 o Q3 2016 Citation Offense Comparison July thru Sept 2017 0.33% aOvernight Parking Violation o Speeding W Driving After Withdrawal W No Insurance/No Proof o Disorderly Conduct w DWI Offenses W STOP Sign Violations 0 Possess Marijuana/Paraphernalia N No MN DL o Careless Driving o Fail to Drive in Single Lane ®Assault o Expired Registration oTrespassing w Domestic Assault w Fail to Obey Traffic Control Device rd Obstruct Legal Process Ll Seat Belt Violation o Theft/Shoplifting o Damage to Property W Dog at Large Olnstructional Permit Violation © Underage Consumption L3 Fail to Stop for Accident L3 Provisional License Violation Li Drive w/out Headlights u False Information to Police Li Flee Police on Foot L] No Motorcyle Endorsement Ll Indencet Exposure L7 Right of Way Violation Li Inattentive Driving LI Receive Stolen Property M Cf C O ..P (O. L O N t -i Ln O l" o N a W N o 00 o J W N N o z LA FA M W LL LL Q N 0 N 0 QLn W N °° cD 00 Q 0 5 a w0 0 0 Q (U 4 r, ° y- o u 0 z '� 0 cn p ., cu u P., ° �¢ a Q v > o Qj 0 Statistical Report: Activity Oct thru Dec 2017 TOTAL Oct thru Dec 2016 TOTAL Year to Date TOTAL Adult Arrests 106 35 251 Juvenile Arrests 5 1 15 Calls For Service 3035 2399 12,215 Court Citations 136 194 808 Administrative Offenses N/A 2 N/A October thru December 2017 Investigative Reports Cases assigned for investigation TOTAL 80 YEAR TO DATE 310 Arson 0 Assault 6 Burglary 7 Forgery 3 Child Abuse 2 Computer Crimes 0 CSC 5 Damage to Property 2 Fraud 6 Harassment/Stalking/Violate OFP/NCO 4 Misc. Other Offenses 6 Missing Persons 4 Narcotics 3 Robbery 0 Terroristic Threats 1 Theft/Stolen Property 13 Traffic Offenses 16 Vulnerable Adults 0 Weapons 2 Homicide 0 October thru December 2017 Crime Reports TOTAL 299 YEAR TO DATE 1,252 Assault 22 Misc-Other Offenses 0 Burglary 11 Disturbing Peace 8 Forgery 21 Obscenity 0 Narcotics 10 Property Damage/Trespass 47 Arson 0 Robbery 1 Crimes Against Family 2 Theft/Fraud 110 Traffic (DUI, Accidents, other 25 Vehicle Theft/Tampering 14 Criminal Sexual Conduct 5 Weapons 4 Misc. Liquor Offenses 0 Crimes Against Admin of Justice 9 Juvenile-Runaway/Curfew 9 Homicide 0 October thru December 2017 Misc. Incidents, Calls and Complaints TOTAL 2,529 YEAT TO DATE 11,079 Lost & Found 35 Suspicion Narcotics 16 (persons/property) Vehicles (towed, recovered, 18 Public 103 abandoned) Disturbance/Loud Party Accidents 60 Disorderly Juvenile 16 Animal Complaints/Impounds 46 Traffic Stops — 570 Warnings Fires 0 Traffic Stops — 136 Citations Medical/Suicide/Mental/DOA 259 City Ordinance 10 Complaints Domestic -Verbal 58 Warrants 12 Alarms 50 Assist other 98 Agencies Lockouts 56 Misc. Public Calls 548 Suspicious Misc 134 Proactive Police 364 Visit 2017 Top 5 Crimes - Oct. to Dec. 120 100 80 60 I 110 40 i 2047 —1 25 22 0 - _ 14 Theft/Fraud Property DWI Assault Vehicle Damage/Trespass Theft/Tampering Crime Type uTheft/Fraud u Property Damage/Trespass UDWI L9 Assault tj Vehicle Theft/Tampering 2016 vs. 2017 M Q4 2017 Id Q4 2016 Top 5 Crimes - Oct. to Dec. 140 127 120 110 100 I 80 60 47 40 30 22 25 20 16 09 0 Theft/Fraud Property Assault Vehicle DWI Damage/Trespass Theft/Tampering Crime Type Citation Offense Comparison Oct thru Dec 2017 0.67 1 n :zqoi o Driving After Withdrawal o No Proof of Insurance/No Insurance o Overnight Parking Violation W Speeding o Expired Registration O Possess Marijuana/Paraphernalia o Trespassing o Disorderly Conduct M Instructional Permit Violation W Domestic Assault w Expired Registration uJuvenile Curfew Violation o No MN DL o STOP Sign Violation w DWI W Obstruct Legal Process ® Theft/Shoplifting Li Fail to Obey Traffic Control Device o Careless Driving • Damage to Property U Furnish Alcohol to Minor o Passing Parked Emergency Vehicle *Seat Belt Violation * Fail to Stop for Accident Li Assault by Dog Ll Dog at Large u Flee Police on Foot L]Juvenile Possession of Tobacco CI Loud Party LI Unlawful Passing L] Sale of Tobacco to Minor u School Zone Speed liTheft of Services G Fail to Drive in Single Lane It Cf 0 co O O n O n N o0 o _ LA W CD W Ei O I Z N i U. I ► O LL f N O i Z dl f i O Ln l0 t0 V� O °° o w H o -� c u ° z m w A Ln o P'' f=-1 o z MOt1nmS Vi�V City of Mounds View Staff R Item No: 3 Meeting Date: March 5, 2018 Type of Business: WS Administrator Review: _4, To: Honorable Mayor and City Council From: Jon Sevald, City Planner/Supervisor Item Title/Subject: Discussion of Off -Sale Liquor Licensing Introduction: The City Council adopted a moratorium on the issuance of new Off -Sale Intoxicating Liquor licenses on April 11, 2016 (Resolution 8551), expiring October 11, 2017. The moratorium was a reaction to a proposed liquor store at Snap Market (currently vacant). The intent of the moratorium was to investigate five questions relating to the negative effects of liquor stores. During the January 2nd Council Work Session, the Council reviewed Staff's analysis of the five questions. Staff's conclusion was that there is no direct correlation between liquor stores and crime or decreased property values, but there are indirect correlations. Staff continued this conversation with the Planning Commission at its January 31d and February 7th Commission meetings. These discussions have not had a conclusion. Staff is requesting that the Council provide direction whether to amend an ordinance, or leave as -is. Discussion: During the February 7th Planning Commission meeting, individual commission members made the following recommendations: 1. Require a minimum 500' setback from parks, schools, churches, libraries, senior housing, and commercial daycares. 2. Allow a maximum of four or five off -sale intoxicating liquor licenses, or limit the number based on population. 3. The Council should consider what it is trying to accomplish, and if the proposed changes does this. Currently, liquor stores (Off -Sale Intoxicating Liquor License) are a permitted use in the B-2, B-3, and B-4 districts. Liquor stores must be set back a minimum of 500' from a school or church (property line to property line).' Super America (B-3 district) currently holds a license for 3.2% Malt Liquor, and intends to remodel its store to include Off -Sale Intoxicating Liquor (no ETA when they will apply for a license). The store is located about 400' from Silver View Park (front door to park property), and about 230' from Silver Lake Pointe (senior housing). In Staff's opinion, the intent of the setbacks is; (1) establish a buffer between liquor stores and non -compatible uses (schools and churches); and (2) deter persons from purchasing intoxicating liquor and consuming it within a neighboring public place (e.g. park or parking lot). The ordinance currently prohibits consumption on the property of a liquor store, such as its parking ' Mounds View Municipal Code, Section 502.04, Subd 2(b) (Places Ineligible for License) lot, unless an Outdoor Consumption Endorsement is approved by the Council. Similar to Staff's analysis of the five questions, it is Staff's opinion that there is not a direct correlation between liquor stores and crime, based on distance alone. In other words, requiring a minimum setback between a liquor store and a non -compatible use (e.g. park) will not deter crime. Other factors should be considered, and every location has different circumstances. Recommendation: Staff requests that the Council discuss its concerns related to liquor stores, and provide direction if an ordinance amendment is necessary, or if the ordinance is adequate as -is. . It is Staff's recommendation that if a liquor store (off -sale intoxicating liquor) is to be located within a business with different operating hours (i.e. liquor store inside Super America), the liquor store should be physically separated such that it can be closed during non -sale hours. This can be accomplished through a wall, glass, gate, etc. To do this, an ordinance amendment is necessary to Chapter 502 (Intoxicating Liquor)2. Off -sale operating hours (intoxicating liguor)3 Sun 11AM- 6PM Mon 8AM — 10PM Tue 8AM — 10PM Wed 8AM — 10PM Thr 8AM 10PM Fri 8AM — 10PM Sat 8AM — 10PM Respectfully, Jon Sevald, AICP City Planner / Supervisor 2 Mounds View Municipal Code, Section 502.11 (Conduct of Business; Conditions of License) 3 MN Statute Subd 4(a) (Intoxicating liquor; off -sale) City of Mounds View Staff Report MENEENEENEENEr— Item No: 4 Meeting Date: Mar 5, 2018 Type of Business: WS Administrator Review: .4 To: Honorable Mayor and City Council From: Jon Sevald, City Planner/Supervisor Item Title/Subject: Discussion of Comprehensive Plan Community Engagement Discussion: As part of the Comprehensive Plan update, there is typically a public engagement component. To this point, public engagement has been limited to those occurring during Comprehensive Plan Taskforce meetings. The nine member Taskforce is charged with representing the 13,000 residents of Mounds View. As imaginable, this is a daunting task, and would be aided if more input was given by the public. It is anticipated that much of the Comprehensive Plan will focus on the Mounds View Boulevard corridor. Stantec will be preparing alternative maps for the Taskforce (and the public) to decide on. One goal is for the Comprehensive Plan to guide land use such that a common theme or identity (aka "vision") is established along the corridor. Options for Community Engagement (and cots estimates): OPEN HOUSE ($400 - $500) Staff would like to incorporate an Open House into the Town Hall meeting (April 30th), in which a presentation would be given by Staff and Stantec of different options along the corridor. Attendees would be provided with "clickers" in which they can vote on their preferences of options. Voting would be unanimous, and results instantaneous. Results are skewed based on those who attend the meeting, and may not statistically represent the community. Estimated costs are based on Stantec's hourly rate for preparing and attending meetings. CANVASING ($?) Canvasing would involve Taskforce members (and volunteers) attending gatherings and places of assembly and facilitating qualitative one-on-one discussions (vs. quantitative surveys). Examples include, Rotary meetings, churches, the library, apartment lobbies, people's living rooms, etc. This is one option to obtaining opinions from residents who are traditionally underrepresented (residents of mobile homes, apartments, etc.). Results would not be statistically representative of the community, but may provide the most useful qualitative results. Facilitators would need training. Estimated costs include using a consultant to train facilitators. SURVEY MONKEY ($400 - $1,200) Alternative maps can be posted on the City's website with descriptions, and linked to surveymonkey.com. This was last used by the City during the consideration for Organized Collection. Results are skewed based on those who access the website, and may not statistically represent the community. Estimated costs are based on purchasing an annual license from surveymonkey.com. GIS WEB BASED INTERACTIVE MAP ($4,000) The City's website can be linked to a website with an interactive map, in which users can turn on/off layers of information, and view alternative plans, e.g. this is what a specific neighborhood would look like if there were 2-3 units per acre (single-family), vs. 17 units per acre ("Boulevard") vs. 62 units per acre ("Crossroad Pointe"). The website would survey users as to their preferences. Estimated costs are based on Stantec setting up the website and maps. PHONE SURVEY ($10,000 - $20,000) This involves a vendor calling residents (400) and asking a series of questions. Recipients include both land lines and cell phones. Questions can be both quantitative (do you agree or disagree) and qualitative (open ended). Estimated costs are based on the number of questions asked. Example; 60 questions = 15 minute survey (average), costs $14,000. Mounds View conducted Quality of Life surveys in 1988, 1993, 2005, and in 2015 specific to Organized Collection. Budget Impacts: The Comprehensive Plan is not budgeted for community engagement. The Council has directed Staff to reduce the approved budget for the Plan (about $45,000 for planning), which would occur by Staff (Jon & Nyle) writing much of the text, as time permits. Any savings could be applied toward the costs of community engagement. Recommendation: Staff recommends conducting an Open House at the Town Hall meeting, and conducting a phone survey addressing "quality of life" questions, with a concentration of questions that would benefit preparation of the Comprehensive Plan. If the Council directs Staff to proceed, a proposal would be provided by the Morris Leatherman Company at a future Council meeting. A phone survey would be statistically representative of the community, versus relying on unsolicited participation with website surveys and in-person discussions. No -cost alternatives include assuming the 2005 Mounds View survey reflects today, and referring to more recent surveys conducted by other suburbs; Roseville (2016), Chanhassen (2016), Vadnais Heights (2016), Champlin (2012), assuming those residents would reflect similar values and priorities as Mounds View residents. If the Council wishes to proceed with a phone survey, consideration should be given as to other topics to cover. Examples; • Increasing levy limits • Affordable housing • Specific park amenities & programs • Shooting range • Use of city communications Attached: Mounds View Quality of Life Survey (2005) Respectfully, 449�, clix Jon Sevald, AICP City Planner / Supervisor 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 02 DECISION RESOURCES, LTD. 3128 Dean Court Minneapolis, Minnesota 55416 City of Mounds View Residential Survey FINAL March 2005 Hello, I'm of DiF!cision Resources, Ltd., a polling firm located in Minneapolis. We have been retained by the City of Mounds View to speak with a random sample of residents about issues facing the community. This survey is being conducted because 'tete City -Council and City Staff are interested in 'your opinions and suggestions about current and future city, needs. I want to assure you that all Lndividual responses will be held strictly confidential; only summaries of the entire sample will be reported. 1. Approximately how many years have you Lived in Mounds View? LESS THAN TWO YEARS .... 7% TWO TO FIVE Y,EARS.--..19$ SIX TO TEN YEARS ...... 1 7 ELEVEN TO 7..0 YEARS .... 2 6 21 ATO 30 YEARS ........ 12% OVER 30 YEARS......... 19% DON'T KNOW/REFUSED.....0% 2. .How would you rate the quality of EXCELLENT ......... .... 24.%- life in Mounds View -- excellent, GOOD ........... ......64QS good, only fair, or poor? ONLY FAIR.............11% POOR ....... ...........1% DON'T KNOW/REFUSED..... 0% 3. What do you .like most, if anything, about living in Mounds View? UNSURE, 5%; LOCATTON, 31%; FAMILY/FRIENDS, 10%; NEIGHBOR- HOOD/HOUSE, 17g; SMALL COMMUNITY, 8,1t; CLOSE TO SHOPPING OPPORTUNITIES, 5%; QUIET, 7%; OPEN SPACES, .5%; SCHOOLS, 6%; CITY SERVICES, 2%; PARKS, 2%; SAFE, 2%; SCATTERED, 1-%. 4. What do you like least, if anything, about living in Mounds View? UNSURE, 8%; NOTHING, 30%; CITY GOVERNMENT DOESN'T LISTEN, 6%; TAXES, 11%; NO CITY CENTER, AREA, 2%; NOTHING TO DC7, 4%; NEED MORE BUSINESSES, 415; CRIME, 4%; POOR ROADS, 4'%; TRAFFIC, 6%; RUNDOWN PROPERTIES, 4$; TOO MUCH GROWTH 4%; TOO MUCH LOW INCOME HOUSING, 6°; SCATTERED, 7%. Moving on,.... 1 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 03 5. Are there any types of retail or service businesses you would, like to see available in Mounds View? (IF "YES," ASK:) What types? UNSURE, 1%; NO, 423; RETAIL, 3%; "BIC BOX" STORES, 4%; GROCERY STORE, 16`i; DISCOUNT "BIG BOX" STORE, 3%; RESTAU- RANTS, 183; SPECIALTY STORES, 4%; SPECIALTY SERVICE BUSI- NESSES, 23; LARGE �MRDWARE STORE, 2%; SCATTERED, 4%,. 6. Does Mounds view currently possess YES ............ an adequate mix of housing to meet NO .............. the needs of all residents, such DON'T NNOW/REFUSED....11% as young families, maturing fami- lies, singles, empty nesters, and retirees? IF "NO, " ASX.- (NW43) 7. What types of housing would you like to see more of in the community? UNSURE, 3%; HIGH INCOME HOUSTNG, 93; AFFORDABLE HOUSING, 79.; SENIOR HOUSING, 183T SINGLE FAMILY HOMES, 233; STARTER HOMES FOR YOUNG FAMILIES, 263; LOW INCOME HOUSING, 6%; UPSCALE TOWNIHOMES/CONDIMINI- UMS, 7-$T SCATTERED, 23. 8. Have you or members of your house- YES ...................20b hold used the Mounds View :6ridgos NO, ....... ........ _805% - Golf Cou.rse in the past two years? DON'T KNOW/REPUSED.....1% There have been a number of discussions about redev(31oping the Golf Course property for other uses- One of the major purposes for the redevelopment would. be to reduce property taxes, if the Mayor. and City Council determine this could be achieved. 9. Would you favor or oppose the re- STRONGLY FAVOR ..... _36% development of the Mounds View FAVOR..........._ ....27% Bridges Golf Course? (WAIT FOR OPPOSE ...... ....... _10-% RESPONSE) Do you feel strongly STRONGLY OPPOSE ... —.10% that way? DON'T XNOW/REFUSED....171 10. If the Mounds View Bridges Golf Course had to be subsidized annu- ally from the City's General Fund to keep it operating, would you favor or oppose selling the pro- perty for redevelopment? (WAIT FOR RESPONSE) Do you feel strongly that way? 2 STRONGLY FAVOR....._.. 38% FAVOR .................25% OPPOSE-- ...........11% STRONGLY OPPOSE...._.. 10.% - DON'T KNOW/DEFUSED...-163 2 NOW/REFUSED...-163%- 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 04 11 What if the Golf Course were self- supporting and did not require a. subsidy from the City's General Fund, would you favor or oppose selling the property for redevel- opment? (WAIT FOR RESPONSE) Do you feel strongly that way? STRONGLY FAVOR ........ 20% FAVOR .................19% OPPOSE................20% STRONGLY OPPOSE ....... 17t DON'T KNOW/REFUSED.-24% 12. How would you rate the general. EXCELLENT .............17% condition and appearance of pro- GOOD ..................59t perties in your neighborhood -- ONLY FAIR .............19% excellent, good, only fair or POOR ................... 4% poor'? DON'T NNOW/RtFUSED.....2% 13, Which ONE of the fQL.1.Qwing improvements to County Highway 10 do you consider to be of the greatest benefit? MOST SECN Pedestrian crosswalks ...................31-%.....13!s Trailways ............... ...... ........ Lighting ......... __ .................. _7%,. Landscaping .............................. 9-% monument sign at the city's borders ---- _1% ...... 3� ,Lmproved appearance of businesses....... _'7%.....1 2% Realigning intersections to 90 degrees ... 6.% ..... 10% Renaming Highway 10 .....................11%... .. 4% ALL EQUAL..............................4%.....,3% NONE OF THE ABOVE........................7%.....10$ DON'T KNOW/REFUSED ........ ...............7%.....1394 14. Which ONE do you consider to be of the second, greatest benefit? (RE -READ LIST IF NECESSARY; DELETE FIRST CHOICE; ROTATE LIST) 15. Do you favor or oppose the City's STRONGLY FAVOR ......... 6 -'1 - use of eminent domain to take FAVOR ................. 18 -%- property at fair market value for OPPQSE................20% redevelopment purposes? (WAIT FOR STRONGLY OPPOSE ....... 42% RESPONSE) Do you feel strongly DON'T KNQW/REFUSRD.__14-%- that way? The City of Mounds View is considering future residential road reconstruction projects. There would be an assessment cost for impacted property owners, spread over a ten, -year period, of approximately $2,500 to $3,000 per household, in addition to a general city-wide ta,x increase. 16- Would you favor or Oppose a road STR0NGJ,Y FAVOR.— .....11% ,reconstruction, project in your PAVOR.................19-% area? (WAIT FOR RESPONSE) Do you OPPOSE ................21% feel strongly that way? STRONGLY OPPOSE....... 40% DON'T KNOW/REFUSED .... .9% 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 05 17. For road reconstruction, would you CONCRETE.. ............601 prefer CONCRETE curb and gutter OR BITUMINOUS ............ 11% BITUMINOUS -- ASPHALT -- curb and NO PREFERENCE ......... 12% gutter, if the cost to residents NEITHER................9% were about same' DON'T KNOW/REFUSED.....7�; 18. Do you feel the City is too tough, TOO TOUGH..............3% about right or not tough enough. in ABOUT RIGHT ........... 58%, enforcing the City Code on such NOT TOUGH ENOUGH...... 33% nuisances as junk cars, messy DON'T KNOW/REFUSED.....7& yards, weeds or tall grass, and outside storage? IF "TOO TOUGH" OR "NOT TOUGH ENOUGH," ASK: (N=143) 19. Why do you feel that way? UNSURE, 1 ; MESSY YARDS, 20, JUNK CARS, 28-W; RUN- DOWN HOUSES, 9�; TOO STRICT/LEAVE OWNERS ATONE, 80; HOMES WITH MULTIPLE CODE VIOLA`PIONS, 13b; NEED TOUGH CONSEQUENCES, 9°s; TALL GRASS .AND WEEDS, 3%-; SCAT- TERED, 1� 20. Would you favor Or oppose the City STRONGLY FAVOR ........ 25%- passing an ordinance that would FAVOR.................25% limit the number of vehicles OPPOSE..... .......18% parked on a residential lot? (WAIT STRONGLY OPPOSE ....... 23!� FOR RESPONSE) Do you feel strongly DON'T MOW/REFUSED ..... 9%- that why? Moving on.... 21. Would you favor or appose an, in- FAVOR..................421; crease in the city portion of your OPPOSE .......... .....46%, property taxes if cost -of -living DON'T KNOW/REFUSED....13%- tax increases were needed to main- tain services at their current: level? 22. Would you favor or oppose a reduc- FAVOR.................28%r tion in city services if the city- OPPOSE.. ..........55� portion of your property taxes can DON'T KNOW/REFUSRD _ .17W be reduced? IF "FAVOR," ASK: (N=113) 23. What services would you be willing to see cut to keep your property taxes from increasing or to reduce your property taxes? UNSURE, 48%-; NONE, 11$; ACROSS THE BOARD, 3�; PARKS AND RECREATION, 7%,; ADMINISTRATION, 9�; STREETS, 3$; POLICE, 7W; SNOW REMOVAL, 9%; GOLF COURSE, 3W; SCATTERED, 1-t. 4 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 06 A proposal was recently mads to require a referendum whenever Mounds view intended to raise their portion of 'Lhe yearly proper- ty, tax by Five percent. A special election referendum, if neces- sary in non -election years, costs the CJ.ty of Mounds view about $6,000.00 to conduct - 24. If you could choose the city, pro- perty tax percentage increase that would trigger a referendum elec- ti.C_n, would it be at ? (CHOOSE RANDOM STZaRTING POINT; MOVE UP OR DOWN DEPENDING ON RESPONSE) Trow about (REPEAT PROCESS) LESS THAN 5%. ........30% FIVE PERCENT....— ....35% TEN PERCENT ........... 17% FIFTEEN PERCENT ...... ..1% MORE THAN 15% .......... 3% DON'T KNOW- .......... 11% REFUSED...............4.% 25- when you consider the property EXCELLENT--- ----------- 10-% taxes you pay,' and the duality of GOOD..................56% city services you receive, uTould ONLY FAIR ............. 26% 3g you rate the general value of city POOR ................... services as excel-l.cn.t, good, only DON'T KNOW/RFFUSED.....55% fair, or poor' 26. 14ow would you rate the amount of EXCELLENT.............23% pol.i.ce pa.trol.l.i,ng in your neigh- GOOD ................ _45% borhood -- excellent, good, only ONT,X FAIR.............24% fair or poor? POOR...................7% DON'T KNOW/REFUSED..... 2% 27- Please tell gyne which one of 't?a,e :rol-l.owi.n•g you consider to be the greatest public safe•t;y, problem in Mounds view- If you feel that none of the issues are serious in Mounds View, just say so. GREAT SECOND juvenile crime, such as vandalism...30%....... 17% Violent crime ............... --—.1% ........ Traffic safety, such as drunk driving or speedy,ng------...... 20% ....... 17% Drugs--------------------------...... 7% ........ 9-% G&ngs........ . ... .................2%........3% Busizess crimes, such as shop- lifting and cheep fraud.. ....... 6% ........ 3% Residential crimes, such as burglary and theft.._ .... __16% ....... 221s ALL EQUAL...........................4%........4% NONE OF THE ABOVE....................9 .......12% DON'T KNOW/REFUSED................... 5-% ....... 12% 28. Which do you consider to be the second major concern. Again, if you feel none apply, please say so. Turning to parks anal recreation.... 5 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 07 29. Overall, how would you rate the EXCELLENT.............21,% City's park and recreation. op- GOOD..................491% portunties -- excellent, good, ONLY FAIR........ ....15,Qs only, fair, or poor? POOR—_ ...... ....... 3;- DON'T KNOW/REFUSED....13% IF A RESPONSE IS GIVEN, ASK: (N=347) 30. Why do you feel that way? UNSURE, 4%; WELL MAINTAINED, 20'%; NEED BETTER MAIN- TENANCE, 6%; MORE RECREATION PROGRAMS AND EVENTS, 8-%; GOOD LOCATIONS, 22%; NICE PLAYGROUND AREAS, 4%; GOOD PROGRAMS FOR ALL AGES, 10%; GOOD PROGRAMS FOR CRILD- REN, 8%; NEED MORE RECREATION FACILITIES, 3%; MORE PARKS AND NATURAL AREAS, 7%; NICE PARKS, 7%; GOOD COMMUNITY CENTER, 2g; SCATTERED, 4%. 31. Are there any changes or improvements, you would make to the Mounds View park and recreation. system? (IF "YES," ASK:) What are they? UNSURE, 9%; NO, 63%; MORE BALLFIELDS, 2$; MORE PLAYGROUND EQUIPMENT, 3$;. MORE PARKS, 2%-; MORE TRAILS, 2%,; NEED BET'T'ER MAINTENANCE, 5%s MORE PROGRAMS FOR CHILDREN, 5%; IMPROVE PICNIC AREAS AND RESTROOMS, 2%; SCATTERED, 7v, 32. Of the following :five options, which ONE a.s the MOST important aspect of the Mounds View pa,r.J< and recreation system, to you? (ROTATE) A) Buildings, such as park ,shelters? S) Playgrounds? C) Trails? D) Recreation programs? F) Athletic fields? CHOICE A ............ ..,7 CHOICE B ........... ..21,Qs CHOICE C ..............26° CHOICE D ..............16% CI40TCE E... .......... 11% COMBINATTON............ 6% NONE........ ....,....8% DON'T KNOW/REFUSED.....6-$ 33- Jho you think Mounds View should MAINTA.I.NING.... _ .. , ... 66t focus on maintaining existing park ADDING NEW ... ......... 17% and recreation :facilities and ser --130TH EQUALLY ........... 6% vices or, adding new facilities and NEITHER ..... ..........3% programs to meet the city's DON'T KNOW/REFUSED ..... 7% changing population? 34. Would you favor or oppose a smoke- STRONGLY FAVOR ........ 36% free designation of the parks in FAVOR ............. . .16% the City of Mounds view? (WAIT FOR OPPOSE...,.... .... .19% RESPONSE) Do you feel strongly ,STRONGLY OPPOSE ....... 21% that way? DON'T KNOW/REFUSED.....$�; I 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 08 35. Have you or members of your household used the Mounds View Community Center? (IF "YES," ASK:) What type of activity did you use it for? NO, 503; BANQUET AND MEETING, 123; SNORTS AND GYM SPACE, 8%; VOTING, 15%; FITNRSS AREA., 3'%; EVENTS AND SHOWS, 33; CHILDREN'S PROGRAMS AND CLASSES, 6%; SENIOR PROGRAMS, 2%; SCATTERED, 7%. Moving on...... 36. What is your pri.ncipal Source of information about Mounds View City Goverr.imen,t and its activities? NONE, 5%j LOCAL NEWSPAPER, 34%; CITY NEWSLETTER, 253; WORD OF MOUTH, 9.06; MAILINGS, 5%; WEBSITE, 2%; CABLE TELE- VISION, 13`%; STAR TRTBUNE/PIONEER PRESS, 2%; SCATTERED, 43. 37. How would you prefer to receive information about Mounds View City Government and its activities? UNSURE, 3%; LOCAL NEWSPAPER, 30%; CITY NEWSLETTER, 28°; WORD OF MOUTH, 4'�; MAILINGS, 10!i;; WEBSITE, 23; E-MAIL, 5%; CABLE TELEVISION, 133; STAR TRIBUNE/PIONEER PRESS, 23; SCATTERED, 3,. 38. Do you, have access to the Internet HOME ONLY_—_ .....32% at home? (WAIT FOR RESPONSE) leo WORK ONLY..............4% you have access -too the zn.ternet at BOTE.. ...............343 work? NEITHER...............293 DON'T KNOW/REFUSED..... 0% IF "YES," ASK: (N=2,81) 39. Have you accessed the Ci,ty's YES...................35% web site? NO. .......65% DON'T KNOW/REFUSED.....05% IF "YES," ASK: (N=99) 40. How would you rate the EXCELLENT .............. 6% web site -- excellent, GOOD ...... ...........63!5 good, only fair, or ONLY FAIR.............23% poor.? POOR...... ......,.33 TION'T KNOW/REFUSED—...5% We have discussed, many ;issues Facing the City of Mounds View an,d. many of the services provided to ,residents, but there may also be issues that we have not touched on.. Whether we discussed it or not.... 01 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 09 41. What do you think is the MOST SERIOUS issue facing Mounds Vier today? UNSURE, 21%; NONE, 6%; HIGH TAXES, 15%; BUDGET CUTS, 31%; CRIME, 10%; NEED MORE :BUSINESSES, 3%; RUNDOWN PROPERTIES, 5%; TOO MUCH GROWTH, 6%; TOO MUCH LOW .INCOME HOUSING, 41%; STREET MAINTENANCE, 4%; TRAFFIC CONGESTIONt 6-%; GOLF COURSE ISSUE, 3%; NOTHING TO DO, 2%; SCHOOL. FUNDING, 4%; CITY GOVERNMENT DOESN'T LISTEN, 3%; SCATTERED, 5°s. The survey in which you are participating is a -telephone survey of a random sample of 400 residents. Many, suburban communities conduct random telephone Surveys in order to insure they hear from an unbiased and representative cross-section of residents. The cost is more expensive than other types of surveys, such as mail -outs or inserts in newspapers and city publications. This survey of 400 ,residents costs $10,200.00. 42. Given the trade-off between bias STRONGLY YES.......... 29% and cost, do you think the City of YES.....— ...........34.E Mounds View should conduct surveys NO... ...............14% of this type in the future? (WAIT STRONGLY NO ....... — _ 15� FOR RESPONSE) Do you feel. Strongly DON'T XNOW/REFUSED.....7v that way's Now, I'd like to ask you some questions about yard waste.... 43. Tho you or members of this house- YES ............ ......73-46 hold have responsibility ,for a NO— ......27% yard? DON'T KNOW/REFUSED..... 01% IF "YES," ASK: (N=291) When, if ever, do you use the yard waste site in Mounds View? Tho ,you use -the site in.... YE$ NO DKR 44. The Spring's 54% 45% 1% 45. The Summer? 30% 69-% 1%; 46. The Fall? 60% 38% 13% If the yard waste site in Mounds View were closed, which of the Following alternatives, i.f any, would you likely use? YES NO DKR 47. I would go to the .Ramsey County sites in Arden Hills or Shoreview. 55% 38% 7% 48. I would start composting in my back yard. 35. 59% 5% 49, I would pay my trash hauler to take it away. 35% 59% 6% E 04/07/2005 10:37 6129201069 DECISION RESOURCES PAGE 10 50. Should the yard waste site in BE CLOSED ..............2% Mounds View be closed, be BE MOVED— ...........1% moved, or stay where it is? STAY WHERE IT IS ...... 73-% DON'T KNOW/REFUSED.-25% Now, just a few more questions for demographic purposes.... Could you please tell me how many, people in each of the following a,ge groups live in your household. 51. Persons 65 or over? 52. Adults under 65? 53. $Qhool-aged children? 54. Pre-schoolers? 55. Do you own or rent your present residence? NONE ..................74-06 ONE -------------------15% TWO OR MORE .......... .11% NONE ............. --18% ONE...— .............20% TWO ...................52% THREE OR MORE......... 11% NONE ------------------71% ONE ...................14%, TWO.—I+.............13% THREE OR MORE ...... ... 3% NONE ..................88% ONE.. ......... I ....... 105% TWO OR'MORE ............ 2% OWN ...................71% RENT ..................291s REFUSED ................Q-% 56. Which of the following best STNGtE FAMILY HOME ... .64% describes your current residence? APARTMENT .............201% (READ LIST 1-5) TOWNHOUSE/CONDOMINIUM.10% MANUFACTURED HOME ... —.7% SOMETHING ELSE......... 0% DON'T NNOW/REFUSED.....0% 57. Do you or any member of your YES .............. —..11% household currently operate a NO .................... 88% home-based business from your DON'T KNOW/REFUSED ..... 1% Mounds View residence? 58. Which of these categories contains 18-24 ..................3% your current age? 25-34 ............... —1416 35-44 .... ............ 27% 45-54 .................23$ 55-64 .......... ...... 17 -et 65 AND OVER ........... 2196 REFUSED ............. —1-%- 59. Gender MAT., E ..................48% 18% FEMALE ................52% 04/07/2005 10:37 6129201869 DECISION RESOURCES PAGE 11 60. PRECINCT 10 ONI�.''''.'''''''.''''.J9% TWO- ................. 2O% THRtE................. 3Z% F0DB,'................ 2O%