The URL can be used to link to this page

Home My WebLink AboutCC PACKET 03142006Regular Council Meeting immediately Following HRA meeting HOUSING AND REDEVELOPMENT AUTHORITY AGENDA CITY OF ST. ANTHONY March 14, 2006 7:OOp.m. Call to Order. Pledge of Allegiance. Roll Call. I. Approval of March 14, 2006, H.R.A. Agenda, II. Consent Agenda. These items are considered routine and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. A. Approve February 14, 2006, H.R.A. Minutes. (p.1-2) B. Claims. (p. 3) III. Public Hearings. IV. General Policy of Business of the H.R.A. Stacie Kvilvang, Ehlers & Associates presenting the following: A. Resolution 06-007; Modification for Redevelopment project area no. 3, the modification of the Chandler Place Tax Increment Financing District and the modification of Tax Increment Financing District no. 3-5. (p. 4-57) B. Resolution 06=008; Sale of TIF Revenue Bonds for Silver Lake Village. (p. 58-64) V. Staff Reports. VI. H.R.A. Commissioner Comments. VII. Information and Announcements. VIII. Adj ournment. R\Council Meetings\2006\03142006\4RA Agenda.doc I CITY OF ST. ANTHONY 2 HOUSING AND REDEVELOPMENT AUTHORITY MEETING 3 FEBRUARY 149 2006 4 5 CALL TO ORDER, 6 Chair Faust called the meeting to order at 8:42 p.m. 7 8 ROLL CALL, 9 Commissioners present: Chair Faust; Commissioners Gray, Horst, and Stille. .10 Commissioners absent: Commissioner Thuesen. 11 Also present: Executive Director Michael Mornson and City y Attorne Jerome 12 Gilligan. 13 14 15 I. APPROVAL OF FEBRUARY 14, 2006 H.R.A. AGENDA. 16 Motion by Commissioner Horst, seconded by Commissioner Stille, to approve the February 14, 17 2006 Housing and Redevelopment Authority Agenda as presented. 18 19 Motion carried una'nimouslY. 20 21 II. CONSENT AGENDA, 22 Motion by Commissioner Horst, seconded by Commissioner Gray, to approve the Consent 23 Agenda, which consisted of: 24 A. H.R.A. Meeting Minutes of January 10, 2006; and 25 B. Claims. 26 27 Motion carried unanimously. 28 29 III. PUBLIC HEARINGS. 30 None. 31 32 IV. GENE ' POLICY BUSINESS OF THE ..A. 33 A. H.R.A. Resolution 06-006; Authorize and increase in the principal amount of Interfund 34 loans for Tax Increment Financing district no. 3-5. Stacie Kvilvang, Ehlers & Associates 35 presenting 36 Ms. Kvlivang stated the City's Housing and Redevelopment Authority (HRA) -is overseeing the 37 administration and developmentwithin this TIF District. On. June 14, 2005, the HRA approved 38 an interfand loan in an amount up to $200,000 for various administrative and capital 39 expenditures in TIF District 3-5, in connection with the Northwest Quadrant Redevelopment 40 Project. To date, the HRA has not advanced any funds to the TIF District under the Prior Loan 41 Resolution. However, the HRA anticipates it will need to advance funds to the District topay for 42 various project costs in excess of the $200,000. 43 44 Councilmember Stille asked what the maturity date is on the loan. Mr. Gilligan explained that 45 this is an amendment to the existing resolution. The loan had to be repaid once there was 46 available tax increment on hand. It is when the cash flow is fluent. It is not a revolving loan. He 47 noted the terms are spell out in the resolution. 48 Housing and Redevelopment Authority Meeting Minutes February 14, 2006 Page 2 1 Motion by Commissioner Gray, seconded by Commissioner. Horst, to adopt H.R.A. Resolution 2 06-006 re: Authorizing an Increase in the Principal Amount of InterRmd Loans for Tax 3 Increment Financing District No. 3-5. 4 5 Motion carried unanimously. 6 7 IV. STAFF REPORTS, 8 None. 9 10 V. H.R.A. COMMISSIONER COMMENTS. 11 None. 12 13 VI. INFORMATION AND ANNOUNCEMENTS. 14 None. 15 16 VII. ADJOURNMENT, 17 Mayor Faust adjourned the meeting at 8:47 p.m. 18 19 Motion carried unanimously. 20 Respectfully submitted, 21 Chris Moksnes 22 TimeSaver Off Site Secretarial, Inc. 23 2 e ACS FINANCIAL -SYSTEM 02/23%2006 15: Check Register GL540R-V06.70 ST. ANTHONY VILLAGE PAGE AGI BANK VENDOR CHECK# 'DATE AMOUNT HRA1 HOUSING & REDEV CHECKING . 008698 009268 EHLERS & ASSOCIATES, INC GROMEK/CRAIG 59.9 02/28/06 91655-.00 r 009265 HIRSHFIELD1S INC 5920 5921 02/28/06• 02/28/06 41100.00 755.89 009232 009243 MN DEPT OF TRANSPORTATIO RCM MAINTENANCE 5922 02./28/06 '94,2. 009267 REHAK/TIMOTHY 5923 02/28/06 807.50 3.020.00 .00001 009264- SRF CONSULTING GROUP INC TAUTGES REDPATH, LTD. 5925 5926. 02/28/06 / 02%28/06 1,24$ 0,0 ' 1, 655•.50 , HOUSING & REDEV.CHECKING 21,336.10 *** .. � ..� .-.. r .. .. BANK � .• , r............. ... VENDOR r s .,J +..� ..� r. CHECK# • . DATE +. � .. r v r r r • •.. r .. r. v r r . AMOUNT HRA1 HOUSING & REDEV CHECKING 0091.40 FOREST LAKE CONTRACTING, 5927 02/28/06 31f944.81 4.81 HOUSING & REDEV CHECKING 31,944.81 *** ACS FINANCIAL SYSTEM 03%07/2006 16: Check Register ST. ANTHONY 'V'�ILLA,GE GL540R--VO6.70 PAGE 1 BANK VENDOR CHECK# DATE AMOUNT HRA1 HOUSING & REDEV CHECKING .00001 UKRAINIAN GIFT SHOP 5932 03/15/06 11,421.73 HOUSING & REDEV CHECKING 11,421.73 *** ACS FINANCIAL SYSTEM 03/07/2006 15: Check Register ST . ANTHONY VILLAGE GL540R-V06.70 PAGE l BANK VENDOR CHECK# DATE ,AMOUNT HRA1 HOUSING & REDEV CHECKING .00002 000820 COLUMBIA TELE*COMMUNICATN DORSEY & WHITNEY 5928 03/15/06 11066.36 .00001 SRF CONSULTING GROUP INC. 5929 5930 03/15/06 03/15/06 7,446.96 11,421.73 008273 WSB & ASSOCIATES, INC. 5931 03/15/Q6 31670.50 HOUSING & REDEV CHECKING 23,605.55 *** FREERS & ASSOCIATES INC To: Mike Mornson —Executive Director OC From: G Stacie Kvilvang —Ehlers and Associates (,V Date: March 6, 2006 Subject: Modification to Redevelopment Project No. 3, Chandler Place TIF District and TIF District 3-5 . The City and HRA have been working on a Master Financial Plan for future development and redevelopment activities within the City. Tax increment from the two above referenced districts have been identified . as potential funding sources to implement some of the City's and HRA's development/redevelopment objectives. In order to utilize tax increment from these two districts for various projects throughout the City, the HRA is required to approve and the City Council is required to hold a public hearing on the modification to the City's Project Area boundaries and modification to the existing TIF budgets for each district. The Project Area is the area of the City in which tax increment dollars can be expended, whether the area is located within a TIF district or not. Over the years the City has had five different Project Areas that were comprised of different parcels/boundaries within the City (Kenzie Terrace, Chandler, Highway Eight, Project Area No. 2 and Project Area No. 3). In an effort to simplify the defined boundaries of the Project Area, this modification will combine all former Project Areas into one, which will be called Project Area No. 3. The new boundaries will be expanded to include the corporate boundaries of the City, meaning that the City can expend tax increment dollars for development/redevelopment purposes anywhere in the City for a qualified project. It should be noted that no changes to either TIF District boundaries are being made with this modification (TIF Districts are not being enlarged). Again, the project does not need to be located within a TIF ' district, but must meet the qualified cost requirements of the type/age of district that is expending the funds. In addition, the TIF budgets for both TIF District 3-5 (Apache Plaza Redevelopment) and Chandler Tax Increment District are being modified to bring them into compliance with State Auditor budget requirements. Further, the budget for TIF 3-5 is being modified to reflect actual project activity/development to date. Since the City and HRA are modifying the project area boundaries. and the TIF budgets, the modifications are required to go through the entire public hearing process as if the City and HRA were creating new TIF districts. As part of this process, the Planning Commission found that the development plans for these two districts are in conformance with the City's general development/redevelopment plans of the City at it's February, 21, 2006 meeting. Please contact me at 651-697-8506 with any questions. cc: Jerry Gilligan -- Dorsey & Whitney File LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive Phone: 651-697-8506 Fax: 651-697-8555 Roseville, MN 55113-1105 skvilvang@ehlers-inc.com 4 HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY CITY OF ST. ANTHONY HENNEPIN AND RAMSEY COUNTIES STATE OF MINNESOTA RESOLUTION NO. 06-007 RESOLUTION ADOPTING A MODIFICATION TO THE REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3 AND ADOPTING A MODIFICATION TO THE TAX INCREMENT FINANCING PLANS FOR THE CHANDLER. PLACE - TAX INCREMENT FINANCING DISTRICT AND TAX INCREMENT FINANCING DISTRICT NO. 3-5* THEREIN. WHEREAS, it has been proposed by the Board of Commissioners (the "Board") of the Housing and Redevelopment Authority of St. Anthony(the "HRA") and the City of St. Anthony (the "City") that the HRA adopt a Modification to the Redevelopment Plan (the "Redevelopment Plan Modification") for Redevelopment Project Area No. 3 and adopt a Modification to the Tax Increment Financing Plans (the "Tax Increment Plans Modificationn't or together with the Redevelopment Plan Modification, the "Modifications") for the Chandler Place Tax Increment Financing District and Tax Increment Financing District No. 3-5 (the "Districts "), all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.001 to 469.047, and Sections 469.174 to 469.1799, inclusive, as amended (the "Act"), all as reflected in the Modifications and presented for the Board's consideration; and WHEREAS, the HRA has investigated the facts relating to the Modifications and has caused the Modifications to be prepared; and AREAS, the HRA has performed all actions required by law to be performed prior to the adoption of the Modifications. The HRA has also requested the City Planning Commission to provide for review of and written comment on Modifications and that the Council schedule a public hearing on the Modifications upon published notice as required by law. NOW, THEREFORE, BE IT RESOLVED by the Board as follows: 1. The PIRA hereby reaffirms that the Districts as modified herein are in the public interest and that when the Chandler Place Tax Increment Financing District was established, it was established as a "housing district" under Minnesota Statutes, Section 469.174, subd. 11 and when Tax Increment Financing District No. 3 -5 was established, it was established as a "redevelopment district under Minnesota Statutes Section 469.174, subd. 10 (a)(1). And finds that the Modifications conform. in all respects to the requirements of the Act and will help fulfill a need to develop an area of the Sate of Minnesota which is already built up and that the adoption of the proposed Modifications will help provide employment opportunities in the State diversify the housing stock for the community, improve the tax base and improve the general economy of the State and thereby serves a public purpose. 2. The HRA further finds that the Modifications will afford maximum opportunity, consistent with the sound needs for the City as a whole, for the development or redevelopment of the project area by private enterprise in that the intent is to provide only that public assistance necessary to make the private developments financially feasible. 3. Conditioned upon the approval thereof by the City Councif following its public hearing thereon; the Modifications, as presented to the HRA on this date, are hereby approved, established and adopted and shall be placed on file in the office of the City Clerk. -06 4. Upon approval of the Modifications by the City Council, the staff, the HRA's advisors and legal counsel are authorized and directed to proceed with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and present to this Board for its consideration all further plans, resolutions, documents and contracts necessary for this purpose. Approval of the Modifications does not constitute approval of any project or a Development Agreement with any developer. 5. Upon approval of the Modifications by the City Council, the City Clerk is authorized and directed -to forward a copy of the Modifications to the Minnesota Department of Revenue and Offzce of the State Auditor pursuant to Minnesota Statutes 469.-175, Subd. 4a. 6. The City Clerk is authorized and directed to forward a copy of the Modifications to the Ramsey County Auditor and request that the Auditor certify the original tax capacity of the District as described in the Modifications, all in accordance with Minnesota Statutes 469.177. Approved by the Board of Commissioners of the Housing and Redevelopment Authority of St. Anthony this day of , 2006. ATTEST: Secretary 6 Chair As of March 6, 2006 for City Review MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR THE CHANDLER PLACE TAX INCREMENT FINANCING DISTRICT (A HOUSING DISTRICT) WITHIN REDEVELOPMENT PROJECT AREA NO. 3 HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY CITY OF ST. ANTHONY RAMSEY COUNTY STATE OF MINNESOTA Public Hearing: October 8, '1985 Adopted: October 8, 1985 Modification: March 14, 2006 Prepared by: EHLERS & ASSOCIATES, INC. 3060 Centre Pointe Drive, Roseville, Minnesota 55 1 1 3-1 1 05 651-697-8500 fax: 651-697-8555 www.ehiers-inc.com TABLE OF CONTENTS Modification, to the Tax Increment Financing Plan for the Chandler Place Tax Increment Financing District Introduction Page I Duration of the District. Page 2 Fiscal Impacts . Page 3 Sources of Revenue/Bonded Indebtedness . Page 4 Use of Funds. Page S Appendix A -- Map of the Project Area and District 8 Introduction The purpose of this modification is to provide budgetary authority to utilize increased tax increment, to modify the budget to reflect actual project activity and to bring it into compliance with the State Auditor budget requirements and to complete a master modification to enlarge Redevelopment Project Area No. 3 to make the boundaries coterminous with the corporate boundaries of the City of St. Anthony. The boundaries of the Chandler Place Tax Increment District are not being changed. REDEVELOPMENT PROJECT NO.3 (AS MODIFIED ONMA.RCH14, 2006) The Commissioners of the Housing and Redevelopment Authority of St. Anthony, Minnesota (the "ERA") and the City of St. Anthony, Minnesota (the "City"), have previously approved five Redevelopment Plans designated as Kenzie Terrace Redevelopment Plan, Chandler Place Redevelopment Plan, Highway Eight Redevelopment Plan, Redevelopment Plan for Redevelopment Project No. 2 (Ramsey County) and Redevelopment Plan for Redevelopment Project No..3 (Ramsey County), together with certain amendments thereto (as so amended, the "Redevelopment Plans"), and have approved redevelopment projects (the "Redevelopment Projects") to be undertaken pursuant thereto, and in order to finance the public redevelopment costs to be incurred by the City and the HRA in connection with certain of the Redevelopment Plans and the Redevelopment Projects, the HRA and the City have approved tax increment financing plans (the "Financing Plans") which establish two tax increment financing districts designated by the HRA as follows: Chandler Place Tag Increment District (Ramsey County No. 058-0) and TIF District 3-5 (Ramsey county No. 246-0) (the "Districts"). In order to authorize the City and HRA to undertake certain activities designed to remove, prevent and reduce blight, blighting factors and the causes of blight in the City and provide facilities intended to serve all residents of the City, that the HRA on November 12, 1996 approved amendments to the. Redevelopment Plans, the Redevelopment Projects and the Financing Plans designated as the Master Modification to the Redevelopment Plans and Tax Increment Financing Plans (the "Master Modification") which combined the areas subject to the Redevelopment Plans and authorized tag increment revenue derived from any of the Districts to be utilized in any area subject to the Redevelopment Plans, The HRA has identified certain property in the City not presently included in any of the areas subject to the Redevelopment Plans which the HRA believes either presently contains blight or blighting factors or which because of age, obsolescence, market conditions and other factors is suspectable to blighting conditions. Such property is identified in Exhibit A. By this 2006 Amendment to the Master Modification the Commissioners of the HRA amend the Redevelopment Plans to include all properties located within the corporate boundaries of the City and amend the Financing Plans to authorize the additional expenditure of tag increment revenues derived from either of the Districts. The authorization on the expenditure of tax increment revenue from a District is subject to any limitations on such expenditures with respect to such District contained in the Minnesota Tax Increment Financing Act (Minnesota Statutes, Section 469.174 to 469.1799). This Amendment to the Master Modification is approved by the Commissioners -of the HRA and the City pursuant to Minnesota Statutes, Chapter 469.029, subdivision 6, and Minnesota Statues, Section 469.175, subdivision 4. Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 9 CHANDLER AREA TIF DISTRICT PLAN (AS MODIFIED ON MARCH 14, 2006) Duration of the District Pursuant to M.S., Section 469.175, Subr. 1, and Section 469.176, Subs. 1, the duration of the District roust be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Subs. 1h, the duration of the District will be 25 years after receipt of the first increment by the HRA or City (a total of 26 years). The date of receipt by the City of the first tax increment. WAS 1986. Thus, it. is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after 2011, or when the TIF Plan is satisfied. The HRA or City reserves the right to decertify the District prior to the legally required date. Estimated Iact On Other Jurisdictions The impact in tax dollars not collected by other jurisdictions is estimated based on assumptions of this plan. These impact are as follows: % Captured % Total Assessed .Assessed Assessed This Captured Jurisdiction Value Other Districts. This District District Total Ramsey County $3,221,454,106 $79,697,398 School District $87,4261588 $91494,401 City $7455793800 $9,494,401 $1,5793467 .05% 2.52% $1,579,467 1.77% 12.44% $1,579,467 2.0% 14.54% Percent of Tax Increment attributed to other jurisdictions and amount of captured tax not collected. Jurisdiction Mill Rate Percent Tax Increment Ramsey County 31.257 30.74% $49,412 School District 53.748 52.86 $84,967 City 11.359 11.17% $17,957 Other 5.318 .5.23% $8,407 Total .101.682100% $160,742 New taxes generated in the district will be approximately $161,000 annually. These taxes will be available to the taxing jurisdictions at the end of the tax increment financing duration. Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 10 2 (AS MODIFIED ONM-4RCH 14, 2006) 2005/2006 IMPACT ON TAX BASE $0 Estimated Estimated Captured Extension 2005/2006 Tax Capacity (CTC) Percent of CTC Tax Capacity Upon Completion ** , to Entice tax Ramsey County 4209951,592 1649383 0.03919% City of St. Anthony* 59414,108 164.383 3.0362% ISD No. 282* 594145108 164,383 3.0362% * Includes values for Hennepin County and Ramsey County Includes a 2% inflation factor for 2007-2011 IMPACT ON TAX RATES The estimates listed above display the captured tax capacity and tag rates based upon the estimates for the 2005/Pay 2006 rate. The total net capacity for the entities listed above are based on the highest estimated Captured Tax Capacity, Estimated Costs The following are estimated costs for acquisition, soil correction and administration. Actual costs may vary depending on negotiated costs, interest rates, actual relocation claims or sale price. Budget Acquisition 2005/2006 Percent $0 Potential $700,000 Extension of Total CTC Taxes 5.00% Contingency Rates Ramsey County 0.46686 40.04% 164,383 76,744 City of St. Anthony 0.45868 38.57% 164,383 75,399 ISD No. 282 0.21764 16.65% 164,383 355776 Other 0.08284 4.74% 164,383 13,617 Total 1.22602 100.00% 2015537 The estimates listed above display the captured tax capacity and tag rates based upon the estimates for the 2005/Pay 2006 rate. The total net capacity for the entities listed above are based on the highest estimated Captured Tax Capacity, Estimated Costs The following are estimated costs for acquisition, soil correction and administration. Actual costs may vary depending on negotiated costs, interest rates, actual relocation claims or sale price. Budget Acquisition $0 Renovation $0 Soil Correction/Site Improvements $700,000 5.000/oAdministration $36,500 Consultants/Legal $303000 5.00% Contingency $38,325 Subtotal: $804,825 Street Scape $0 Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 3 Public Improvements $0 Financing Costs Issuance Costs $25,000 Capitalized Interest $163,702 3.00% Discount J29,806 Subtotal $218,508 Total Costs 111023,333. Source Funds Tax Increment $1;023,333 Special Assessments/Other $0 Land $0 CDBG $0 Total Source of Funds $1,023,333 (AS MODIFIED ONM4RCHI4, 2006) Sources of Revenue/Bonded Indebtedness The HRA or City reserves the right to incur bonded indebtedness or other indebtedness as a result of the TIF Plan. - As presently proposed, the project will be financed by a bond issue or an interfund loan. Additional indebtedness may be required to finance other authorized activities. The total principal amount of bonded indebtedness, including a general obligation (GO) TIF bond, or other indebtedness related to the use of tag increment financing will not exceed $4,000,000 without a modification to the TIF Plan pursuant to applicable statutory requirements. SOURCES OF D.TOTAL Tax Increment $4,833,875 Sales/Lease Proceeds $319,250 Loans/Advance Repayments $600 000 Interest Income $5069875 PROJECT REVENUES $692605000 Interfund Loans $29000;400 Bond Proceeds $4,000,000 Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 12 4 Uses of Funds In order to facilitate the redevelopment of the District, this TIF Plan authorizes the use of tax increment financing to pay for the cost of certain eligible expenses. The estimate of public costs and uses of funds associated with the District is outlined in the following table. (AS MODIFIED ONMARCH 14, 2006) USES OF FUNDS TOTAL Land/Building Acquisition $9825500 Site Improvements/Preparation $8675500 Planning and Engineering $50,000 Environmental $700,000 Streets and Sidewalks $2,500,000 Interest $676,613 Administrative Costs (up to 10%) $483,387 PROJECT COSTS TOTAL $652609000 Interfund Loans $29000,000 Bond Principal $45000,000 The above budget is organized according to the Office of State Auditor (OSA) reporting forms. It is estimated that the cost of improvements, including administrative expenses which will be paid or financed with tax increments, will equal $12,260,000 as is presented in the budget above. Estimated costs associated with the District are subject to change among categories without a modification to this TIF Plan. The cost of all activities to be considered for tax increment financing will not exceed, without formal modification, the budget above pursuant to the applicable' statutory requirements. Project costs may be spent on activities related to development or redevelopment outside of the District but within the boundaries of the Project, (including administrative costs, which are considered to be spent outside of the .District) subject to the limitations as described in this TIF Plan. Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 13 R Appendix A Map of the Project Area and the District Housing and Redevelopment Authority of St. Anthony Modification to the TIF Plan for the Chandler Place TIF District 14 Legend L � �Corporate Boundary 11500 750 0 Feet TIF District 3-5 Silver Lake Village hV i Note: The Boundaries of Redevelopment Project No. 3 are coterminous with the corporate boundary of Saint Anthony V7Ilage Saint Anthony Village TIF Districts 15 WIR AMEM — — �.- :ff & Assodafa, Inc. As ofMarch 6, 2006 for City Review • • • ` a 1 ,, _, I FAAM TAX INCREMENT FINANCING DISTRICT NO, 3-5 (a redevelopment district) within HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY CITY OF ST. ANTHONY RAMSEY COUNTY STATE OF MINNESOTA Public Hearing: September 23, 2003 Adopted: September 23, 2003 Modification: March 14, 2006 Prepared by: EHLERS & ASSOCIATES, INC. EHLERS 3060 Centre Pointe Drive, Roseville, Minnesota 55113,1105 & ASSOCIATES INC 651.697-8500 fax: 651-697-8555 www.ehiers-inc.com 16 TABLE OF CONTENTS (for reference purposes only) SECTION I - MODIFICATION TO THE REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3 ............................. 1-1 Foreword SECTION 11 - TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-5 ........................ 2-1 Subsection 2-1. Foreword ..... .2-1 Subsection 2-2. Statutory Authority ....................... a a . . . . . . . . . . 2-1 Subsection 2-3. Statement of Objectives ................................... 2-1 Subsection 2-4. Redevelopment Plan Overview .............................. 2-1 Subsection 2-5. Description of Property in the District and Property To Be Acquired - 2-2 Subsection 2-6. Classification of the District ................................. 2-2 Subsection 2-7. Duration of the District .......... a ........................... 2-4 .Subsection 2-8, -Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value/increment and Notification of Prior Planned Improvements ................ 2-4 Subsection 2-9. Sources of Revenue/Bonded Indebtedness .................... 2-6 Subsection 2-10. Uses of Funds ........................................... 2-6 Subsection 2-11. State Tax Increment Financing Aid (Local Contribution) ........... 2-8 Subsection 2-12. Fiscal Disparities Election ................................... 2-8 Subsection 2-13. Business Subsidies ....................................... ................................ 2-9 Subsection 2-14. County Road Costs ................. * * I ' " * * ........ * * * * ' .... 2-10 Subsection 2-15. Estimated Impact on Other Taxing Jurisdictions ................ 2-10 Subsection 2-16. Supporting Documentation ................................ 2-11 Subsection 2-17. Definition of Tax Increment Revenues ........................ 2-11 Subsection 2-18. Modifications to the District ................................ 2-12 Subsection* 2-19. Administrative Expenses .................................. 2-12 Subsection 2-20. Limitation of Increment ................................... 2-13 Subsection 2-21. Use of Tax Increment .................................... 2-14 Subsection 2-22. Excess Tax Increments ..... K . . 0, , 0 , , * 0 ...... 2-15 Subsection 2-23. Requirements for Agreements with the Developer .............. 2-15' Subsection 2-24. Assessment Agreements ................................. 2-15 Subsection 2-25. Administration of the District .............................. * a 2-1-5 Subsection 2-26. Annual Disclosure Requirements ........................... 2-16 Subsection 2-27. Reasonable Expectations .......... 4 .. 0 .......... W .... a ... 9 2-16 Subsection 2-28. Other Limitations on the Use of Tax Increment ................. 2-16 Subsection 2-29. Summary .............................................. 2-17 APPENDIX A PROJECT DESCRIPTION ................................................ A-1 APPENDIX B MAPS OF REDEVELOPMENT PROJECT AREA NO. 3 AND THE DISTRICT ........ B-1 APPENDIX C DESCRIPTION OF.PROPERTY TO BE INCLUDED IN THE DISTRICT ............. C-1 APPENDIX D ESTIMATED CASHFLOW FOR THE DISTRICT .......................... 0 a D-1 17 APPENDIX E MINNESOTA BUSINESS ASSISTANCE FORM ................................ E-1 APPENDIX F REDEVELOPMENT QUALIFICATIONS FOR THE DISTRICT .................... F-1 APPENDIX G BUT/FOR QUALIFICATIONS .............................................. G-1 APPENDIX H PRIOR PLANNED IMPROVEMENTS ........................................ H-1 18 SECTION I - MODIFICATION TO THE REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO.3 Foreword The following text represents a Modification to the Redevelopment Plan for Redevelopment Project Area No. 3. This modification represents a continuation of the goals and objectives set forth in the Redevelopment Plan for Redevelopment Project Area No. 3. Generally, the substantive changes include the establishment of Tax Increment Financing District No. 3 -5. The City and HRA believe that there is a need for redevelopment of the property in Redevelopment Project Area No. 3 and surrounding area. The City has hired consultants and appointed the Northwest Quadrant Task Force to develop a planning framework for such redevelopment. The report of the Northwest Quadrant Task Force dated July 2001 (the "Northwest Quadrant Task Force Report"), which, among other things, describes the planning process, the existing conditions in the study area and potential redevelopment concepts has been presented to and reviewed by the City and HRA.. The HRA believes that redevelopment of the property in Redevelopment Project Area No. 3 and the surrounding area will result in increased housing units to meet the demands of the marketplace, the increase of employment opportunities for residents of the city, the increase of the value of property subject to taxation by the City and other local government units, and the increase of general economic activity in the City, all of which will reduce unemployment, improve living conditions, promote desirable redevelopment. of land, a portion of which is presently occupied by buildings which contain defects in structural elements or a combination of deficiencies in essential utilities and facilities, including, access to public sewer, light and ventilation and fire protection layout, which defects or deficiencies are of total significance to justify substantial renovation or clearance, and a portion of which is presently occupied by buildings which require substantial renovation or clearance because of conditions such as inadequate street layout, unusual grade condition, incompatible uses or land use relationships and obsolescence to the extent such buildings are not suitable for improvement or conversion at a cost reasonably related to the public purpose to be served without major residential clearance -and with full consideration of the preservation of beneficial aspects of the urban and natural environment, prevent the emergence of blighted property and areas, and encourage and enhance the general health and welfare of the residents of the City. The actions herein proposed bo be take by the HRA and the City with respect to the Redevelopment Project are necessary to secure the redevelopment of the property included in the Redevelopment Project Area No. 3, at this tie and in the manner which will meet those needs. For further information, a review of the Northwest Quadrant Task Force Report and the Redevelopment Plan for Redevelopment Project Area No. 3, adopted August 25, 1992, and amended March 23, 1993, is recommended. They are available from the City . Clerk at the City of St.' Anthony. Other relevant information is contained in the Tax Increment Financing Plans for the Tax Increment Financing Districts located within Redevelopment Project Area No. 3. Description of Boundaries of Redevelopment Project Area No. 3 (,4s Modified September 23, 2003) The boundaries of Redevelopment Project Area No. 3 are being modified to include the parcels in Tax Increment Financing District No. 3 -5 that are not already included in Redevelopment Proj ect Area No. 3. The map in Appendix B shows the Modified Redevelopment Project Area No. 3. Mousing and Redevelopment Authority of St. Anthony Modification to the Redevelopment Plan for Redevelopment Project Area No. 3 19 151 (AS MODIFIED MAR CH 14, 2006) The Commissioners of the Housing and Redevelopment Authority of St. Anthony, Minnesota (the "HRA") and the City of St. Anthony, Minnesota (the "City"), have previously approved five Redevelopment Plans designated as Kenzie Terrace Redevelopment Plan, Chandler . Place Redevelopment Plan, Highway Eight Redevelopment Plan, Redevelopment Plan for Redevelopment Project No. 2 (Ramsey County) and Redevelopment Plan for Redevelopment Project No. 3 (Ramsey County), together with certain amendments thereto (as so amended, the "Redevelopment Plans"), and have approved redevelopment projects (the "Redevelopment Projects") to be undertaken pursuant thereto, and in order to finance the public redevelopment costs to be incurred by the City and the HRA in connection with certain of the Redevelopment Plans and the Redevelopment Projects, the HR.A, and the City have approved tax increment financing plans (the "Financing Plans") which establish two tax increment financing districts designated by the HRA as follows: Chandler Place Tax Increment District (Ramsey County No. 058-0) and TIF District 3-5 (Ramsey county No. 246-0) (the "Districts"). In order to authorize the City and HRA to undertake certain activities designed to remove, prevent and reduce blight, blighting factors and the causes of blight in the City and provide facilities intended to serve all residents of the City, that the HRA on November 12,1996 approved amendments to the Redevelopment Plans, the Redevelopment Projects and the Financing Plans designated' as the Master Modification to the Redevelopment Plans and Tax Increment Financing Plans (the "Master Modification") which combined the areas subject to the Redevelopment Plans and authorized tax increment revenue derived from any of the Districts to be utilized in any area subject to the Redevelopment Plans, The HRA has identified certain property in the City not presently included in any of the areas subject to the Redevelopment Plans which the HRA believes either presently contains blight or blighting factors or which because of age, obsolescence, market conditions " and other factors is suspectable to blighting conditions. Such property is identified in Exhibit A. By this 2006 Amendment to the Master Modification the Commissioners of the HRA amend the Redevelopment Plans to include all properties located within the corporate boundaries of the City and amend the Financing Plans to authorize the additional expenditure of tax increment revenues derived from either of the Districts. The authorization on the expenditure of tax increment revenue from a District is subject to any limitations on such expenditures with respect to such District contained in the Minnesota Tag Increment Financing Act (Minnesota Statutes, Section 469.174 to 469.1799). This Amendment to the Master Modification is approved by the Commissioner of the HRA and the City pursuant to Minnesota Statutes, Chapter 469.029, subdivision 6, and Minnesota Statues, Section 469.175, subdivision 4. Housing and Redevelopment Authority of St. Anthony Modification to the Redevelopment Plan for Redevelopment Project Area No. 3 20 1-2 . SECTION/I - TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-5 Subsection 2-1. Foreword The Housing And Redevelopment Authority of St. Anthony : (the "HRA"), the City of St. Anthony (the "City"), staff and consultants have prepared the following information to expedite the establishment of Tax Increment Financing District No. 3-5 (the "District"), a redevelopment tax increment financing district, located in Redevelopment Project Area No. 3. Subsection' 2-2. Statutory Authority Within the City, there exists areas where public involvement is necessary to cause development or redevelopment to occur. To this end, the HRA and City have certain statutory powers pursuant to Minnesota Statutes CUS.'), Sections 469.001 to 469.047, inclusive, as amended, and M. S , Sections 469.174 to 469.1799, inclusive, as amended (the "Tax Increment Financing Act" or "TIF Act"), to assist in financing public costs related to this project. This section contains the Tax Increment Financing Plan (the "TIF Plan") for Tax Increment Financing District No. 3-5. Other relevant information is contained in the ' Modification to the Redevelopment Plan for Redevelopment Project Area No. 3. Subsection 2-3. Statement of Objectives The District currently consists of 24 parcels of land and adjacent and internal rights-of-way. The District is being created to facilitate a mixed-use redevelopment, which includes rental and owner occupied housing along with retail and office space in the City of St. Anthony. Contracts for this have not been entered into at the time of preparation of this TIF Plan, but development is likely to occur in Spring 2004. This TIF Plan is expected to achieve many of the objectives outlined in the Redevelopment Plan for Redevelopment Project Area No. 3. The activities contemplated in the Modification to the Redevelopment Plan and the TIF Plan do not preclude the undertaking of other qualified development or redevelopment activities. These activities are anticipated to occur over the life of Redevelopment Project Area No. 3 and the District. Subsections 2-4. Redevelopment Plan Overview 1. Property to be Acquired - Selected property located within the District may be acquired by the HRA or City and Is further described in this TIF Plan. 2. Relocation - Relocation services, to -the extent required by law, are available pursuant to M.S., Chapter 117 and other relevant state and federal laws. 3. Upon approval of a developer's plan relating to the project and completion of the necessary legal requirements, the HRA or City may sell to a developer selected properties that it may acquire within the District or may lease land or facilities to a developer. 4. The HRA or City may perform or provide for some or all necessary acquisition, construction, relocation, demolition, and required utilities and public streets work within the District. Housing and Redevelopment Authority of St. Anthony Tax increment Financing Plan for Tax Increment Financing District No. 3-5 21 W Subsection 2-5. Description of Property in the District and Property To Be Acquired The District encompasses all property and adjacent rights-of-way identified by the parcels listed below. See the map in Appendix B for further information on the location of the District. 313023340016 313023330002 313023340019 313023340018 313023310028 313023330001 313023330005 313023330012 313023330011 313023330014 313023340017 313023310033 313023330013 313023340014 Parcel Numbers 313023340015 313023330003 313023330004 313023330018 313023330006 313023330010 313023320014 313023320012 313023310022 313023310023 The HRA or City may acquire any parcel within the Development District including interior and adjacent street rights of way. Any properties identified for acquisition will be acquired by the HRA. or City only in order to accomplish one or more of the following: storm sewer improvements; provide land for needed public streets, utilities and facilities; carry out land acquisition, site improvements, restrictive covenants and/or easements for the use of the property; clearanceand/or development to accomplish the uses and objectives set forth in this TIF Plan. The HRA or City may acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of this TIF Plan. Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. Subsection 2-6. Classification of the District The HRA and City, in determining the need to create a tax increment financing district in accordance with M.S., Sections 469.174 to 469.179, as amended, inclusive, find that the District, to be established, is a redevelopment district pursuant to M.S.; Section 469.174, Subd. 10(a) (1) as defined below: (a) "Redevelopment district" means a type of tax increment financing district consisting of a project, or portions of a project, within which the authority finds by resolution that one or more of the following conditions, reasonably distributed throughout the district, exists: (1) parcels consisting of 70 percent of the area in the district are occupied by buildings, streets, utilities, paved or gravel parking lots or other similar structures and more than 50 percent of the buildings, not including outbuildings, are structurally substandard to a degree requiring substantial renovation or clearance; or (2) The property consists of vacant, unused, underused, inappropriately used, or in, frequently used rail yards, rail storage facilities or excessive or vacated railroad rights-of-way; or (3) tank -facilities, orproperty whose immediatelyprevious use wasfor tank -facilities, as defined in Section 115C, Subd. 15, zf the tank -facility: (i) have or had a capacity of more than one million gallons; (ii) are located adjacent to rail facilities; or (iii) have been removed, or are unused, underused, inappropriately used or infrequently used. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 2-2 (b) For purposes of this subdivision, "structurally substandard" shall mean containing defects in structural elements or a combination ofdeficiencies in essential utilities andfacalities, light and ventilation, fireprotection including adequate egress, layout andcondition ofinteriorpartitions, or similar factors, which defects or deficiencies are of sufficient total significance to justify substantial renovation or clearance. (c) A building is not structurally substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the building code at a cost of less than 15 percent of the cost of constructing a new structure of the same square footage and type on the site.. The municipality may find that a building is not disqualified as structurally substandard under the preceding sentence on the basis of reasonably available evidence, such as the size, type, and age of the building, the average cost of plumbing, electrical, or structural repairs or other similar reliable evidence. The municipality may not make such a determination without an interior inspection of the property, but need not have an independent, expert appraisal prepared of the cost of repair and rehabilitation of the building. An interior inspection of the property is not required, if the municipality finds that (1) the municipality or authority is unable to gain access to theproperty after using its best efforts to obtain permission from the party that owns or controls the property; and (2) the evidence otherwise supports a reasonable conclusion that the building is structurally substandard. (d) A parcel is deemed to be occupied by a structurally substandard building for purposes of the finding under paragraph (a) if all of the following conditions are met: (1) the parcel was occupied by a substandard building within three years of the filing of the request fog certification ofthe parcel as past of the district with the county auditor; (2) the substandard building was demolished or removed by the authority or the demolition or removal was financed by the authority or was done by a developer under a development agreement with the authority; (3) the authority found by resolution before the demolition or removal that the parcel was occupied by a structurally substandard building and that after demolition and clearance the authority intended to include the parcel within a district; and (4) upon filing the request for certification of the tax capacity of the parcel as part of a district, the authority notifies the county auditor that the original tax capacity of the parcel must be adjusted as provided by § 469.177, subdivision 1, paragraph (h). (e) For purposes of this subdivision, a parcel is not occupied by buildings, streets, utilities, paved or gravel parking lots or other similar structures unless 15 percent of the area of the parcel contains buildings, streets, utilities, paved or gravel parking lots or other similar structures. (fl For districts consisting of two or more noncontiguous meas, each area must qualify as a redevelopment district underparagraph aph (a) to be included in the district, and the entire area of the district must satisfy paragraph (a). In meeting the statutory criteria the HRA and City rely on the following facts and findings: • The District is a redevelopment district consisting of 24 parcels. • An inventory shows that parcels consisting of 70 percent of the area in the District are occupied by Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 23 2-3 buildings, streets, utilities, paved or gravel parking lots or other similar structures. • An inspection ofthe buildings located within the District finds that more than 50 percent ofthe buildings are structurally substandard as defined in the TIF Act. (See Appendix F). Pursuant to MS. 469.176 Subd. 7, the District does not contain any parcel or part of a parcel that qualified under the provisions of M: S 2 73.111 or 2 73.112 or Chapter 473Hfor taxes payable in any ofthe five calendar years before the filing of the request for certification of the District. Subsection 2-7. Duration of the District Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of the District must be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Subd. I b, the duration of the District will be 25 years after receipt of the first increment by the HRA or City (a total of 26 years). The date of receipt by the City of the first tax increment is expected to be 2006. Thus, it is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after 2031, or when the TIF Plan is satisfied. If increment is received in 2005, the term of the District will be 2.03 0. The HRA or City reserves the right to decertify the District prior to the legally required date. Subsection 2-8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value/increment and Notification of Prior Planned Improvements Pursuant to M.S., Section 469.174, Subd. 7 andM. S , Section 469.177, Subd. 1, the Original Net Tax Capacity (ONTC) as certified for the District will be based on the market values placed on the property by the assessor in 2003 for taxes payable 2004. Pursuant to M.S., Section 469.177, Subds. 1 and 2, the County Auditor shall certify in each year (beginning in the payment year 2004) the amount by which the original value has increased or decreased as a result of: 1. Change in tax exempt status of property; 2. Reduction or enlargement of the geographic boundaries of the district; 3. Change due to adjustments, negotiated or court-ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. In any year in which the current Net Tax Capacity (NTC) value of the District declines below the ONTC, no value will be captured and no tax increment will be payable to the HRA or City. . The Original local tax rate for the District will be the local tax rate for taxes payable 2004, assuming the request for certification is made before June 30, 2004. The ONTC and the Original Local Tax Rate for the District appear in the table on the next page. Pursuant to M.S., Section 469.174 Subd. 4 and MSS., Section 469.177, Subd. 1, 2, and 4, the estimated Captured Net Tax Capacity (CTC) of -the District, within Redevelopment Project Area No. 3, upon completion of the proj ect, will annually approximate tax increment revenues as shown in the table on the next page. The HRA and City request 100 percent of the available increase in tax capacity for repayment of its obligations and current expenditures, beginning in the tax year payable 2006. The Project Tax Capacity (PTC) listed is an estimate of values when the project is completed. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 24 2-4 ��■ also Project Estimated Tax Capacity upon Completion (PTC) 2,0014076 Original Estimated Net Tax Capacity(ONTC) 368,499 Fiscal Disparities Reduction 76,600 Estimated Captured Tax Capacity (CTC) 1,555,977 Original Local Tax Rate 1.23141 Pay 2003 Estimated Annual Tax Increment(CTC x Local Tax Rate) 1,916,046 Percent Retained by the HRA 100% *The cashflow estimates a 2% inflation factor over the term of the District. Tax capacities are based on estimates for Payable 2009, when the total project is estimated to be completed (AS MODIFIED ONMAR CH 14, 2006) Project Estimated Tax Capacity upon Completion (PTC) $3,2919016 Original Estimated Net Tax Capacity (ONTO) $3459751 Fiscal Disparities Reduction $2699813 Estimated Captured Tax Capacity (CTC) $298899231 Original Local Tax Rate 1.32690 Pay 2004 Frozen Rate Estimated Annual Tax Increment(CTC x Local Tax Rate) $3,8339720 Percent Retained by the EDA 100% RIIIO111PIO ■ *The cashflow estimates a 2% inflation factor over the term of the District. Tax capacities are based on estimates for Payable 2031, when the district is completed Pursuant to M.S., Section 4.69.177, Subd. 4, the HRA shall, after a due and diligent search, accompany its request for certification to the County Auditor or its notice of the District enlargement pursuant to M.S., Section 469.175, Subd. 4, with a listing of all properties within the District or area of enlargement for which building permits. have been issued during the eighteen (18)' months immediately preceding approval of the TIF Plan by the municipality pursuant to M.S., Section 469.175, Subd. 3. The County Auditor shall increase the original net tax capacity of the District by the net tax capacity of improvements for which a building permit was issued. The City has reviewed the area to be included in the District and found 7 building permits have been issued during the 18 months immediately preceding approval of the TIF Plan. However, the City believes the permit values have been included in the base value of the tax increment calculation and will not have a significant affect on the tax increment. Please see Appendix H for information on the building permits that have been issued. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 eT 2-5 Subsection 2-9. Sources of Revenue/Bonded Indebtedness Public improvement costs, acquisition, relocation, utilities, parking facilities, streets and sidewalks, and site preparation costs and other costs outlined in the Uses of Funds will be financed primarily through the annual collection of tax increments. The HRA or City reserves the right to use other sources of revenue legally applicable to the HRA or City and the TIF Plan, including, but, not limited to, special assessments,g eneral property taxes, state aid for road maintenance and construction, proceeds from the sale of land, other contributions from the developer and investment income, to pay for the estimated public costs. The HRA or City reserves the right to incur bonded indebtedness or other indebtedness as a result of the TIF Plan. As presently proposed, the project will be financed by a bond issue or pay-as-you-go note and interfund loan. Additional indebtedness may be required to finance other authorized activities. The total principal amount of bonded indebtedness, including a general obligation (GO) TIF bond, or other indebtedness related to the use of tax increment financing will not exceed $45,000,000 without a modification to the TIF Plan pursuant to applicable statutory requirements. This provision does not obligate the IRA or City to incur debt. The HRA or City will issue bonds or incur other debt only upon the determination that such action is in the best interest of the City. The HRA or City may also finance the activities to be undertaken pursuant to the TIF Plan through loans from funds of the HRA or City or- to reimburse the developer on a "pay-as-you-go" basis for eligible costs paid for by a developer. The estimated sources of funds for the District are contained in the table on the next page. .I®iIII�A. SOURCES OF FUNDS TOTAL .AAAAAAl111U - IIAA.AI�IA� Tax Increment $53,094,1.69 PROJECT REVENUES $53,094,169 (AS MODIFIED ONMARCH 14, 2006) SOURCES OF FUNDS 1®AIAAA TOTAL Tax Increment $7397719749 Interest Income $509000 PROJECT REVENUES $73821,749 IA.IIA®AIRI®IIA..AII ' Pay -As -You -Go Notes $7397719749 Interfund Loans $20,0009000 Bond Proceeds $73,7719749 Subsection 2-10. Uses of Funds Currently under consideration for the District is a proposal to facilitate redevelopment for a mixed-use project, which includes rental and owner occupied housing and retail. The HRA and City have determined that it will be necessary to provide assistance to the project for certain costs. The HRA has studied the feasibility of the development or redevelopment of property in and around the District. To facilitate the establishment and development or redevelopment of the District, this TIF Plan authorizes the use of tax increment financing to pay for the cost of certain eligible expenses. The estimate of public costs and uses of Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 26 2-6 funds associated with the District is outlined in the following table. USES OF FUNDS TOTAL Land/Building Acquisition and Relocation $17,5001000 Site Improvements/Preparation $6,0003000 Other Public Improvements $8,500,000 Planning and Engineering $2,500,000 Environmental $2,000,000 Interest $11,284,752 .Administrative Costs (up to 10%) $59309,417 PROJECT COSTS TOTAL $53,094,169 Estimated costs associated with the District are subject to change among categories without a modification to this TIF Plan. The cost of all activities to be considered for tax increment financing will not exceed, without formal modification, the budget above pursuant to the applicable statutory requirements. Pursuant to M.S., Section 469.1763, Subd. 2, no more than 25 percent of the tax increment paid by property within the District will be spent on activities related to development or redevelopment outside of the District but within the boundaries of Redevelopment Project Area No. 3, (including administrative costs, which are considered to be spent outside of the District) subject to the limitations as described in this TIF Plan. (AS MODIFIED ONMAR CH 14, 2006) m1m mmlommA nim USES OF FUNDS TOTAL mram. Land/Building Acquisition $18,5009000 Site Improvements/Preparation $1590009000 Other Public Improvements $1095009000 Planning and Engineering $295009000 Environmental $2,300,000 Streets and Sidewalks $3,350,000 Interest $14,29.49575 Administrative Costs (up to 10%) $79-3779174 PROJECT COSTS TOTAL m' �np �11 $73�821,749 Pay -As -You -Go $735821,749 Interfund Loans $20,0001000 Bond Principal $73,8219749 The above budget is organized according to the Office of State Auditor (OSA) reporting forms. It is estimated that the cost of improvements, including administrative expenses which will be paid or Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 27 2-7 financed with tax increments, will equal $241,465,247 as is presented in the budget above. Estimated costs associated with the District are subject to change among categories without a modification to this TIF Plan. The cost of all activities to be considered for tag increment financing will not exceed, without formal modification, the budget above pursuant to the applicable statutory requirements. Pursuant to M.S., Section 469.1763, Subd. 2, no more than 20 percent of the tag increment paid by property within the District will be spent on activities related to development or redevelopment outside of - the District but within the boundaries of the Project, (including administrative costs, which are considered to be spent outside of the District) subject to the limitations as described in this TIF Plan, Subsection 2-11. State Tax Increment Financing Aid (Local Contribution) M.S., Section 273.1399 (LGA/HACA penalty) was repealed by the 2001 Legislature and does not apply to the District. Subsection 2-12. Fiscal Disparities Election Pursuant to M.S., Section 469.177, Subd. 3, the HRA or City may elect one of two methods to calculate fiscal disparities. If the calculations pursuant to M.S., Section 469.177, Subd. 3, clause b, (within the District) are followed, the following method of computation shall apply: (1) The original net tax capacity shall be determined before the application of the fiscal disparity provisions of Chapter 276A or 473F. The current net tax capacity shall exclude any fiscal disparity commercial --industrial net tax capacity increase between the original year and the current year multiplied -by the fiscal disparity ratio determined pursuant to M.S., Section 276A.06, subdivision 7 or M.S., Section 473F.08, subdivision 6. "ere the original net tax capacity is equal to or greater than the current net tax capacity, there is no captured tax capacity and no tax increment determination. Where the original tax capacity is less than the current tax capacity, the difference between the original net tax capacity and the current net tax capacity is the captured net tax capacity. This amount less any portion thereof which the authority has designated, in its tax increment financing plan, to share with the local taxing districts is the retained captured net tax capacity of the authority. (2) The county auditor shall exclude the retained captured net tax capacity of the authority from the net tax capacity of the local taxing districts in determining local taxing district tax rates. The local tax rates so determined are to be extended against the retained captured net tax capacity of the authority as well as the net tax capacity of the local taxing districts. The tax generated by the extension of the less of (A) the local taxing district tax rates or (B) the original local tax rate to the retained captured net tax capacity of the authority is the tax increment of the authority. The HRA or City shall submit to the County Auditor at the time of the request for certification which method of computation of fiscal disparities the HRA or City elected. The HRA will choose to calculate fiscal disparities by clause b. According to MS., Section 469.177, Subd. 3: (c) The method of computation of tax increment applied to a district pursuant to paragraph (a) or (b) shall remain the same for the duration of the district, except that the governing body may Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 28 2-8 elect to change its election from the method of computation in paragraph (a) to the method in paragraph (b). Subsection 2-13. Business Subsidies Pursuant to M.S. Sections 116J, 993, Subd. 3, the following forms of financial assistance are not considered a business subsidy: (1) A business .subsidy of less than $25,000; (2) Assistance that is generally available to all businesses or to a general class of similar businesses, such as a line of business, size, location, or similar general criteria; (3) Public improvements to buildings or lands owned by the state or local government that serve a public purpose and do not principally benefit a single business or defined group of businesses at the time the improvements are made; (4) Redevelopment property polluted by contaminants as defined in M.S. Section 116J. 552, Subd. 3; (5) Assistance provided for the sole purpose of renovating old or decaying building stock or bringing it up to code and assistance provided for designated historic preservation districts, provided that .the assistance is equal to or less than 50% of the total cost; (6) Assistance to provide job readiness and training services if the sole purpose of the assistance is to provide those services; (7) Assistance for housing; ' (8) Assistance for pollution control or abatement, including assistance for a tax increment financing hazardous substance subdistrict As defined under M.S. Section 469.174, Subd. 23; (9) Assistance for energy conservation; (10) Tax reductions resulting from conformity with federal tax law; (11) Workers' compensation and unemployment compensation; (12) Benefits derived from regulation; (13) Ibdirect benefits derived from assistance to educational institutions; (14) Funds from bonds allocated under chapter 474A, bonds issued to refund outstanding bonds, and bonds issued for the benefit of an organization described in section 501 (c) (3) of the Internal Revenue Code of 1986, as amended through December 31., 1999; (15) Assistance for a collaboration between a Minnesota higher education institution and a business; (16) Assistance for a tax increment financing soils condition district as defined under M.S. Section 469.174, Subd. 19; (17) Redevelopment when the recipient's investment in the purchase ofthe site and in site preparation is 70 percent or more of the assessor's current year's estimated market value; (18) General changes in tax increment financing law and other general tax law changes of a principally technical nature. (19) Federal assistance until the assistance has been repaid to, and reinvested by, the state or local government agency; (20) Funds from dock and wharf bonds issued by a seaway port authority; (21) Business loans and loan guarantees of $75,000 or less; and (22) Federal loan funds provided through the United States Department of Commerce, Economic Development Administration. The PIRA or City is not providing tax increment financing for the purpose of economic development or j ob growth and therefore the provisions of M.S., Section 116J. 993 to 116J. 994, which states that a local unit of government granting financial assistance to a business for economic development or job growth purposes, including tax increment financing, must establish business subsidy criteria and approve a business subsidy Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for -Tax Increment Financing District No. 3-5 29 2-9 agreement with the business receiving the assistance, do not apply. Subsection 2-14. County Road Costs Pursuant to M.S., Section 469.175, Subd. 1 a, the county board may require the HRA or City to pay for all or part of the cost of county road improvements if the proposed development to be assisted by tax increment will, in the judgement of the county, substantially increase the use of county roads requiring construction of road improvements or other road costs and if the road improvements are not scheduled within the next five years under a capital improvement plan or within five years under another county plan. If the county elects to use increments to improve county roads, it must notify the HRA or City within forty- five days of receipt of this TIF Plan. In the opinion of the HRA and City and consultants, the proposed development outlined in this TIF Plan will have little or no impact upon county roads. Subsection 2-15. Estimated Impact on other Taxing .Jurisdictions The estimated impact on other taxing jurisdictions assumes that the. redevelopment contemplated by the TIF Plan would occur without the creation of the District. However, the HRA or City has determined that such development or redevelopment would not occur "but for" tax increment financing and that, therefore, the fiscal impact on other taxing jurisdictions is $0. The estimated fiscal impact of the District would be as follows if the "but for" test was not met: 11 NMI IMPACT ON TAX BASE i eam�enmmn eimr�mas�n�� 2002/2003 Estimated Captured Percent Total Net Tax Capacity *(CTC) Percent of CTC Tax Capacity Upon Completion to Entity Total Ramsey County 300,841,337 1,5551977 0.5172% City of St. Anthony* 5,067,038 1,5551977 30.7078% ISD No. 282* 6,143,989 19555,977 25.3252% *Includes values for Hennepin County and Ramsey County IMPACT ON TAX RATES The estimates listed above display the captured tax capacity when all construction is completed. The tax rate used for calculations is the actual 2002/Pay 2003 rate. The total net capacity for the entities listed above are based on actual Pay 2003 figures. The District will be certified under the actual 2003/Pay 2004 rates. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 30 2-10 2002/2003 Percent Potential Extension Rates of Total CTC Taxes Ramsey County 0.546030 44.34% 1,5551977 849,610 City of St. Anthony 0.461060 37.44% 1,555,977 7175399 ISD No. 282 0.149340 12.13% 1,555,977 232,370 Other (Misc.) 0.074980 6:09% 1,555,977 116,667 Total 1.231410 '100.00% 1,916,046 The estimates listed above display the captured tax capacity when all construction is completed. The tax rate used for calculations is the actual 2002/Pay 2003 rate. The total net capacity for the entities listed above are based on actual Pay 2003 figures. The District will be certified under the actual 2003/Pay 2004 rates. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 30 2-10 (ASMODIFIED ONMARCll 14, 2006) 2003/2004 IMPACT ON TAX BASE Estimated Estimated Captured Extension Rates 2005/2006 Tag Capacity (CTC) Percent of CTC Tag Capacity. Upon Completion to Entity Total Ramsey County 42099519592 298899231 0.6864% City of St. Anthony* 5,4149108 298899231 53.3649% ISD No. 282* 5,414,108 2,8899231 53.3649% *Includes values for Hennepin County and Ramsey County IMPACT ON TAX RATES The estimates listed above display the. captured tax capacity when all construction is completed. The tax rate used for calculations is based upon the 2003/Pay 2004 rate, the Frozen Tag Rate as certified by the Ramsey County Auditor. The total net capacity for the entities listed above are based on the highest estimated Captured Tax Capacity, Subsection 2-16. Supporting Documentation Pursuant to M.S. Section 469.175 Subd 1 a, clause 7 the TIF Plan must contain identification and description of studies and analyses used to make the determination set forth in M.S. Section 469.175 Subd 3, clause (2) and the findings are required in the resolution approving the TIF district.. Following is a list of reports and studies on file at the City that support the Authority's findings: • Tax Increment Financing Application • Summary of Environmental -Related Redevelopment Issues; Apache Plaza Mall; St. Anthony, Minnesota. Braun Intertec. July 9, 2003. • Asbestos -Related Costs for the Re -Occupancy of the Apache Plaza, St. Anthony, MN. Braun Intertec July 9, 2003. Subsection 2-17. Definition of Tax Increment Revenues Pursuant to MS., Section 469.174, Subd. 25, tax increment revenues derived from a tax increment financing district include all of the following potential revenue sources.- 1. ources: 1. Taxes paid by the captured net tax capacity, but excluding any excess taxes, as computed under M.S., Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 31 2003/2004 Percent . Potential Extension Rates of Total CTC Taxes Ramsey County 0.531350 40.04% 298899231 195359193 City of St. Anthony 0.511740 38.57% 29889,231 194789535 ISD No. 282 0.220960 16.65% 298899231 638,404 Other 0.062850 4.74% 2,889,231 181,588 Total 1.326900 100.00% 318339721 The estimates listed above display the. captured tax capacity when all construction is completed. The tax rate used for calculations is based upon the 2003/Pay 2004 rate, the Frozen Tag Rate as certified by the Ramsey County Auditor. The total net capacity for the entities listed above are based on the highest estimated Captured Tax Capacity, Subsection 2-16. Supporting Documentation Pursuant to M.S. Section 469.175 Subd 1 a, clause 7 the TIF Plan must contain identification and description of studies and analyses used to make the determination set forth in M.S. Section 469.175 Subd 3, clause (2) and the findings are required in the resolution approving the TIF district.. Following is a list of reports and studies on file at the City that support the Authority's findings: • Tax Increment Financing Application • Summary of Environmental -Related Redevelopment Issues; Apache Plaza Mall; St. Anthony, Minnesota. Braun Intertec. July 9, 2003. • Asbestos -Related Costs for the Re -Occupancy of the Apache Plaza, St. Anthony, MN. Braun Intertec July 9, 2003. Subsection 2-17. Definition of Tax Increment Revenues Pursuant to MS., Section 469.174, Subd. 25, tax increment revenues derived from a tax increment financing district include all of the following potential revenue sources.- 1. ources: 1. Taxes paid by the captured net tax capacity, but excluding any excess taxes, as computed under M.S., Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 31 Section 469.177; 2. The proceeds from the sale or lease of property, tangible or intangible, purchased by the Authority with tax increments; 3. Repayments of loans or other advances made by the Authority with tax increments; and 4. Interest or other investment earnings on or from tax increments. Subsection 2-18. Modifications to the District In accordance with M.S., Section 469.175, Subd. 4, any: 1. Reduction or enlargement of the geographic area of Redevelopment Project Area No. 3 or the District; 2. Increase in amount of bonded indebtedness to be incurred, including a determination to capitalize interest on debt if that determination was not apart of the original plan, or to increase or decrease the amount of interest on the debt to be capitalized; 3. Increase in the portion of the captured net tax capacity to be retained by the HRA or City, 4. Increase in total estimated tax increment expenditures; or 5. Designation of additional property to be acquired by the HRA or City, shall be approved upon the notice and after the discussion, public hearing and findings required for approval of the original TIF Plan. Pursuant to M.S. Section 469.175 Subd. 4(b), the geographic area of the District may be reduced, but shall not be enlarged after five years following the date of certification of the original net tax capacity by the county auditor. If a redevelopment district is enlarged, the reasons and supporting facts for the determination that the addition to the district meets the criteria of M.S., Section 469.174, Subd. 10, paragraph (a), clauses (1) to (5), must be documented in writing and retained. The requirements of this paragraph do not apply if (1) the only modification is elimination' of parcel(s) from Redevelopment Project Area No. 3 or the District and (2) (A) the current net tax capacity of the parcel(s) eliminated from the District equals or exceeds the net tax capacity of those parcels) in the District's original net tax capacity or (B) the HRA agrees that, notwithstanding M.S., Section 469.177, Subd. 1, the original net tax capacity will be reduced by no more than the current net tax capacity of the parcel(s) eliminated from the District. The HRA or City must notify the County Auditor of any modification that reduces or enlarges the geographic area of Redevelopment Project Area No. 3 or the District. Modifications to the District in the form of a budget modification or an expansion of the boundaries will be recorded in the TIF Plan. Subsection 2-19. Administrative Expenses In accordance with M.S,. Section 469.174, Subd. 14, and MS., Section 469.176, Subd. 3, administrative expenses means all expenditures of the HRA or City, other than: 1. Amounts paid for the purchase of land; 2. Amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the real property in the project; 3. Relocation benefits paid to or services provided for persons residing. or businesses located in the proj ect; or 4. Amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued pursuant to M.S., Section 469.178; or Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 32 2-12 5. Amounts used to pay other financial obligations to the extent those obligations were used to finance costs described in sections 1 to 3. For districts for which the request for certification were made before August 1, 1979, or after June 30, 1982, administrative expenses also include amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. Tax increment may be used to pay any authorized and documented administrative expenses for the District up to but not to exceed 10 percent of the total tax increment expenditures authorized by the TIF Plan or the total tax increment expenditures for Redevelopment Project Area No. 3,. whichever is less. Pursuant to M.S., Section 469.176, Subd. 4h, tax increments may be used to pay for the county's actual administrative expenses incurred in connection with the District. The county may require payment of those expenses by February 15 of the year following the year the expenses were incurred. Pursuant to MS., Section 469. 177, Subd. 11, the County Treasurer shall deduct an amount (currently .36 percent) of any increment distributed to the HRA or City and the County Treasurer shall pay the amount deducted to the State Treasurer for deposit in the state general fund to be appropriated to the State Auditor for the cost of financial reporting of tax increment fmancing information and the cost of examining and auditing authorities' use of tax increment financing. This amount may be adjusted annually by the Commissioner of Revenue. Subsection 2-20. Limitation of increment Pursuant to M.S., Section 469.176, Subd. ]a, no tax increment shall be paid to the HRA or City for the District after three (3) years from the date of certification of the Original Net Tax Capacity value of the taxable property in the District by the County Auditor unless within the three (3) year period: (1) Bonds have been issued in aid of the project containing the District pursuant to M.S., Section 469.178, or any other law, except revenue bonds issued pursuant to M.S., Sections 469.152 to 469.165, or (2) The HRA or City has acquired property within the District, or (3) The HRA. or City has constructed or caused to be constructed public improvements within the District. The bonds must be issued, or the HRA or City must' acquire property or construct or cause public improvements to be constructed by approximately June, 2006 and report such actions to the County Auditor. The tax increment pledged to the payment of bonds and interest thereon may be discharged and the .District may be terminated if sufficient funds have been irrevocably deposited in the debt service fund or other escrow account held in trust for all outstanding bonds to provide for the payment of the bonds at maturity or redemption date. Pursuant to M.S., Section 469.176, Subd. 6: if, after four years from the date of certification, of the original net tax capacity of the tax increment financing district pursuant to M.S., Section 469.177, no demolition, rehabilitation or renovation of property or other site preparation, including qualified improvement of a street adjacent to a parcel but not installation of utility service including sewer or water systems, has been commenced on a Rousing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3=5 33 2-13 parcel located within a tax incrementfinancing district by the authority or by the owner of the pcarcel in accordance with the tax increment financing plan, no additional tax increment may be taken from that parcel and the original net tax capacity of that parcel shall be excluded from the original net tax capacity of the tax increment financing district. If the authority or the owner of the parcel subsequently commences demolition, rehabilitation or renovation or other site preparation on that parcel including qualified improvement of a street adjacent to that parcel, in accordance with the tax increment financing plan, the authority shall certify to the county auditor that the activity has commenced and the county auditor shall certify the net tax capacity thereof as most recently certified by the commissioner of revenue and add it to the original net tax capacity of the tax increment financing district. The county auditor must enforce the provisions of this subdivision. The authority must submit to the county auditor evidence that the required activity has takenplace for eachpaNcel in the district. The evidence for a parcel must be submitted by February 1 of the fifth year following the year in which the parcel was certifiedas included in the district. For purposes of this subdivision, qualified improvements of a street are limited to (1) construction or opening of a new street, (2) relocation of a street, and (3) substantial reconstruction or rebuilding of an existing street. The HRA or City or a property owner must improve_ parcels within the District- by approximately June, 2007 and report such actions to the County Auditor. Subsection 2-21. Use of Tax Increment The HRA,. or City hereby determines that it will use 100 percent of the captured net tax capacity of taxable property located in the District for the following purposes: 1. To pay the principal of and interest on bonds issued to finance a project; 2. To finance, or otherwise pay public redevelopment costs of Redevelopment Project Area No. 3 pursuant to the MS., Sections 469.001 to 469.047; 3. To pay for project costs as identified in the budget set forth in the TIF Plan; 4. To finance, or otherwise pay for other purposes as provided in M.S., Section, 469.176, Subd. 4; 5. To pay principal and interest on any loans, advances or other payments made to or on behalf of the HRA or City or for the benefit of Redevelopment Project Area No. 3 by a developer; 6. To finance or otherwise pay premiums and other costs for insurance or other security guaranteeing the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to MS., Chapter 4620 M.S., Sections 469.152 through 469.165,. and/or MS., Sections 469.178; and 7. To accumulate or maintain a reserve securing the payment when due of the principal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C, M.S., Sections 469.152 through 469.165, and/or M.S, Sections 469.178. These revenues shall not be used to circumvent any levy limitations applicable to the City nor for other purposes prohibited by M.S., Section 469.176, Subd. 4. Tax increments generated in the District will be paid by Ramsey County to the HRA. for the Tax Increment Fund of said District. The HRA or City will pay to the developer(s) annually an amount not to exceed an amount as specified in a developer's agreement to reimburse the costs of land: acquisition, public improvements, demolition and relocation, site preparation, and administration. Remaining increment funds will be used for F[RA. or City administration (up to 10 percent) and the costs ofpublic improvement activities outside the District. p p Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 34 2-14 Subsection 2-22. Excess Tax Increments Pursuant to M.S., Section 4.69.176, Subd. 2, in any year .in which the tax increment exceeds the amount necessary to pay the costs authorized by the TIF Plan, including the amount necessary to cancel any tax levy as provided in M.S., Section 475.61, Subd. 3, the HRA or City shall use the excess amount to do any of the following: I . Prepay any outstanding bonds; 2. Discharge the pledge of tax increment therefor; 3. Pay into an escrow account dedicated to the payment of such bonds; or 4. Return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in proportion to their local tax rates. In addition, the HRA or City may, subject to the limitations set forth herein, choose to modify the TIF Plan in order to finance additional public costs in Redevelopment Project Area No. 3 or the District. Subsection 2-23. Requirements for Agreements with the Developer The HRA or City will review any proposal for private development to determine its conformance with the Redevelopment Plan and with applicable municipal ordinances and codes. To facilitate this effort, the following documents may be requested for review and approval: site plan, construction, mechanical, and electrical system drawings, landscaping plan, grading and storm drainage plan, signage system plan, and any other drawings or narrative deemed necessary by the HRA or City to demonstrate the conformance of the development with City plans and ordinances. The HRA or City may also use the Agreements to address other issues related to the development. Pursuant to MS., , Section 469.176, Subd. 5, no more than 25 percent, by acreage, of the property to be acquired in the District as set forth in the TIF Plan shall at any time be owned by the HRA or City as a result of acquisition with the proceeds of bonds issued pursuant to MS., Section 469.178 to which tax increments from property -acquired is pledged, unless prior to acquisition in excess of 25 percent of the acreage, the HRA or City concluded an agreement for the development or redevelopment of the property acquired and which provides recourse for the HRA or City should the development or redevelopment not be completed. Subsection 2-24. Assessment Agreements Pursuant to M.S., Section 469.177, Subd. 8, the HRA or City may enter into a written assessment agreement in recordable form with the developer of property within the District which establishes a minimum market value of the land and completed improvements for the duration of the District. The assessment agreement shall be presented to the County Assessor who shall review the plans and specifications for the improvements to be constructed, review the market value previously assigned to the land upon which the improvements are to be constructed and, so long as the minimum market value contained in the assessment agreement appears, in the judgment of the assessor, to be a reasonable estimate, the County Assessor shall also certify the minimum market value agreement. Subsection 2-25. Administration of the District Administration of the District will be handled by the City Clerk. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 35 2-15 Subsection 2-26. Annual Disclosure Requirements Pursuant to M.S., Section 469.175, Subd. 5, 6 and 6a the HRA or City must undertake financial reporting for all tax increment financing districts to the Office of the State Auditor, County Board, County Auditor and School Board on or before August I of each year. MS., Section 469.175, Subd. 5 also provides that an annual statement shall be published in a newspaper of general circulation in the City on or before August 15. If the City fails to make a disclosure or submit a report containing the information required by M.S. Section 469.175 Subd. 5 and Subd. 6, the OSA will direct the County Auditor to withhold the distribution of tax increment from the District. Subsection 2-27. Reasonable Expectations As required by the TIF Act, in establishing the District, the determination has been made that the anticipated development would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future and that the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the District permitted , by the TIF Plan. In making' said determination, reliance has been placed upon written representation made by the developer to such effects and upon HRA and City staff awareness of the feasibility of developing the project site. A comparative analysis of estimated market values both with and without establishment of the District and the use of tax increments has been performed as described above. Such analysis is included with the cashflow in Appendix D, and indicates that the increase in estimated market value of the proposed development (less the indicated subtractions) exceeds the estimated market value of the site absent the establishment of the District and the use of tax increments. Subsection 2-28. Other Limitations on the Use of Tax Increment ] . General Limitations. All revenue derived from tax increment shall be used in accordance with the TIF Plan. The revenues shall be used to finance, or otherwise pay public redevelopment costs of the Redevelopment Project Area No. 3 pursuant to the M.S., Sections 469.001 to 469.047. Tax increments may not be used to circumvent existing levy limit law. No tax increment may be used for the acquisition, construction, renovation, operation, or maintenance of a building to be used primarily and regularly for conducting the business of a municipality, county, school district, or any other local unit of government or the state or federal government. This provision does not prohibit the use of revenues derived from tax increments for the construction or renovation of a parking structure. 2. Pooling Limitations. At least 75 percent of tax increments from the District must be expended on activities in the District or to pay bonds, to the extent that thep roceeds of the bonds were used to finance activities within said district or to pay, or secure payment of, debt service on credit enhanced bonds. Not more than 25 percent of said tax increments may be expended, through a development fund or otherwise, on activities outside of the District except to pay, or secure payment of, debt service on credit enhanced bonds. For purposes of applying this restriction, all administrative expenses must be treated as if they were solely for activities outside of the District. 3. Five Year Limitation on Commitment of Tax Increments. Tax increments derived from the District shall be deemed to have satisfied the 75 percent test set forth in paragraph (2) above only if the five year .rule set forth in MS, Section 469.1763, Subd. 3, has been satisfied; and beginning with the sixth year following certification of the District, 75 percent of said tax increments that remain after expenditures Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 WIN 2-16 permitted under said five year rule must be used only to pay previously committed expenditures or credit enhanced bonds as more fully set forth inMS., Section 469..1763, Subd. 5. 4. Redevelopment District. At least 90 percent of the revenues derived from tax increment from a redevelopment district must be used to finance the cost of correcting conditions that allow designation ofredevelopment and renewal and renovation districts underM.S., Section 469.176Subd. 4j. These costs include, but are not limited to, acquiring properties containing structurally substandard buildings or improvements or hazardous substances, pollution, or contaminants, acquiring adjacent parcels necessary to provide a site of sufficient size to permit development, demolition and rehabilitation of structures, clearing of the land, the removal of hazardous substances or remediation necessary for development of the land, and installation of utilities, roads, sidewalks, and parking facilities for the site. The allocated administrative expenses of the HRA or City, including the cost of preparation of the development action response plan, may be included in the qualifying costs. Subsection 2-29. Summary The HRA is establishing the District to preserve and enhance the tax base,, redevelop substandard areas, and provide employment opportunities in the City. The TIF Plan for the District was prepared by Ehlers & Associates, Inc., 3060 Centre Pointe Drive, Roseville, Minnesota 55113, telephone (651.) 697-8500. Housing and Redevelopment Authority of St. Anthony Tax Increment Financing Plan for Tax Increment Financing District No. 3-5 37 2-17 APPENDIX A PROJECT DESCRIPTION TIF District No. 3-5 currently consists of 24 parcels of land and adjacent and internal rights-of-way and is approximately 65 acres in size. TIF District No. 3-5 is being created to facilitate the redevelopment of the Apache Plaza Shopping Center and surrounding area (commonly referred to as the Northwest Quadrant), in accordance with the Redevelopment Plan. Currently the Northwest Quadrant is underutilized, with obsolete structures and physical arrangements, substantial vacant areas and high building vacancies, inconsistent legal restrictions on redevelopment and outdated and inadequate public infrastructure and circulation. Redevelopment has been impeded by fragmentation downership and the difficulty of redevelopment without a consistent overall plan ensuring compatible adjacent uses. Due to these issues, the redevelopment of the Northwest Quadrant has been a priority redevelopment goal for the City for the past ten (10) years. The largest property within the Northwest Quadrant and the main impetus for the redevelopment is the Apache Plaza Shopping Center that is approximately 95% vacant. This 432,000+ sq/ft mall was constructed back in the mid 1950's and was the second covered mall developed in the United States. After opening it was a thriving, regional mall that served the majority of the surrounding urbanized areas. At the time Apache Plaza was constructed, Silver Lake Road and County Road D were major thoroughfares through the community, which are adjacent to the Mall. when Interstate 3 5 W and 694 were constructed they became the major thoroughfares, thus deviating traffic away from Apache Plaza, which was -the beginning of its decline. Also contributing to its decline were changes in retail trends and competition from modern shopping centers like Rosedale (located 3-5 miles away). This further caused Apache Plaza to become economically and functionally obsolete to the community and the region. As Apache continued its decline in valuation, the development was unable to attract new anchor tenants. As vacancies continually increased, the development could no longer support the outstanding debt on the property and US Bank had to foreclose upon the property in 1996 (they currently retain ownership of it). Today, Apache Plaza is over 95% vacant and has declined in value by 54 percent since 1991. Due to the decline of Apache Plaza, several of the surrounding businesses were starting to feel. the effects and decline as well. In addition to being economically and functionally obsolete, the existing Apache Plaza site is the second largest contributor of pollutants to Silver Lake (according to the Ramsay County & Rice Creek Watershed District Diagnostic Feasibility Study for Silver Lake). The Apache Plaza Site requires extensive storm water treatment as part of any redevelopment. Storm water treatment requirements have been a hindrance to redevelopment of this site in the past because of the large land commitment necessary to meet today's storm water treatment standards and the fiscal implications thereof. To date, there has been no. funding available to retroactively address the water quality issues generated from the Apache Plaza site. The only opportunity to address these issues financially is through this comprehensive redevelopment opportunity and the establishment of a Redevelopment TIF District.. In 2000, the City was approached by a Developer to redevelop Apache Plaza. The Developer proposed to rehabilitate the existing Mall and convert it into office/warehouse space. The City Council rejected the proposal because they didn't view that turning the Mall into an industrial park was the long-term solution for the community and that the proposal did not address the existing water quality issues. In light of this decision the City Council undertook a community based planning effort in 2000 to address redevelopment of the Northwest Quadrant. In 2001 a community consensus was reached that the goal of the redevelopment should be to return the Apache Plaza Mall area to the kind of exciting focal point for the community it once was; provide new housing options to meet community needs; increase the City's tax base and ensure the vitality ofthe neighborhood. In 2001, the City formally approved the Northwest Quadrant Redevelopment Plan and in 2002 selected a Development Team to undertake the redevelopment of the site in accordance with the APPENDIX 38 A-1 community plan. Several of the buildings currently located within the Northwest Quadrant are going to be acquired, business and tenants will be relocated and the structures demolished to prepare the area/site for an overall, unified redevelopment. The overall redevelopment will consist of the development of a mixed-use urban village. This new mixed-use area will become a compact, walkable neighborhood that mixes a wide variety of housing types with big -box and smaller scale retail and commercial uses. The development will connect to the adjacent established neighborhood, a new Regional Park, and will provide a transit friendly environment. Development plans consist of construction of a 142,000 sq/ft big box retailer, 56,000 sq/ft of smaller retail, 25,000 sq/ft of office, 220 market rate apartments, 336 urban flats, 26 three-story town homes, 80 senior Co- op units and 44 condominiums (# and type of units are sub j ect to change based upon final development plans). The development will also incorporate open spaces and water features.- The proposed improvements in the Northwest Quadrant will provide an opportunity to address the poor water quality issues in Silver Lake through storm water ponding and other mechanisms to address run-off, gross pollutants and other pollutants. In addition, the new development will address additional demand for the sanitary sewer system, reconstruction of a lift station located at Foss Road, the creation of a new east/west collector street (39' Avenue -- new 4 -lane divided roadway), the reconfiguration of the existing trunk water main on the site and significant upgrades in the telecommunications infrastructure associated with transit, telecommuting, and e- business opportunities at the site. It is anticipated that these improvements will cost approximately $6.5 million to construct. APPENDIX 39 A-2 APPENDIX APPENDIX B MAPS OF REDEVELOPMENT PROJECT AREA NO.3 AND THE DISTRICT 40 B-1 Legend r — — .� ! Corporate Boundary 1,500 750 Feet TIF District 3-5 Silver Lake Village Note: The Boundaries of Redevelopment Project No. 3 are coterminous with the corporate boundary of Saint Anthony tallage M9 Ia thr Saint Anthony Village TIF Districts A APPENDIX C DESCRIPTION OF PROPERTY TO BE INCLUDED IN THE DISTRICT The District encompasses all property and adjacent rights-of-way identified by the parcels listed below. APPENDIX Parcel Number Owner 313023340016 Ste. Mare Co. 313023330002 Ste. Mare Co. 313023340019 Welsh as receiver ' 313023340018 Welsh as receiver _313023310028 City of St. Anthon 313023310033 City of St. Anthon 313023330001 A ache S uares 313023330005 Don's Car Wash of MN 313023330012 JA Cadwallader RE 313 023 3 3 0011 Village Properties 313023330014 Vicar n Restaurants Inc. 313023340017 Ronald Rassmusson 313023330013 Vic= Restaurants Inc. 313023340014 St. AnthonyHRA 313023340015 Welsh as receiver 313023330003 Fuel Mart 3130233300.04 Car Wash 313023330018 Wirth Com anies 313023330006 Firestone 313323330010 Ed's Car Wash 3130 23 320014 A ache Medical Office 313023320012 Sentenial M t 313 023 31.0022 S entenial M mt 313023310023 Good year 42 C-1 APPENDIX APPENDIX D ESTIMATED CASHFLOW FOR THE DISTRICT 43 D-1 3/6/2006 �Wt.Ef� ' t assaeiYeet J0a Option 6A Summary Fiscal Disparities Inside The District CITY OF ST. ANTHONY VILLAGE - APACHE PLAZA/NORTHWEST QUADRANT REDEVELOPMENT 220 Mk Rate Units -198,000 Sq/Ft Retail - 25,000 Sq/Ft Office - 336 Urban Fiats - 80 Sr Co -Op Flats - 26 Three -Story TH District New Redevelopment Dirstrict County District # 246-0 inflation Rate - Every _ Years 2.00% Pay -As -You -Go Interest Rate: 6.75%' Note Issued Date (Present Value Date): 01 -Feb -04 Local Tax Rate - Frozen 132.6900% Pay 2004 Fiscal Disparities Election (B - inside or A outside) B ' Year District was certified Pay 2004 Assumes First Tax Increment For District 2006 Year District was Modified N/A - Development located in modified area N/A Assumes First Tax Increment For Dev 2006 Years of Tax Increment 26 Assumes Last Year of Tax Increment 2031 Fiscal Disparities Ratio 27.2629% Pay 2006 Est Fiscal Disparities Metro Wide Tax Rate 121.8020% Pay 2006 Est Local Tax Rate - Current 122.6020% Pay 2006 Est State Wide Property Tax Rate (Used for total taxes) 51.0000% Pay 2006 Est Market Value Tax Rate (used for total taxes) 0.184690% Pay 2006 Est Commercial Industrial Class Rate 1.5%-2.0% First 150;000 1.50% - Over 150,000 2.00% Rental Class Rate 1.25% Residental Class Rat( - Under $500,000 1.00% Over $500, 000 1.25% t''if'$.•.�I��}iii':. �•Ee'�Fr„s��P. •�^.r 'f. �`1Ci'..•'-rv:"Si:>i%'i.�j7�!'R%iJ`)..l�:k�yY �<,•' Use Tax Capacity Tax Capacity Before After 161 139 131 972 Note: 1. Base values are pay 2004 2. Tax capacity after does not include 213.779 in tax capacity for area that Is not being developed at this time :. ,:i:�i•:� ^`•�''i., ry.1r ':i'>>h.;,' i,ff ;ct?.. ^.•y,. �.lx e.•t ._.xi.>ic.;a� '' '-3F0 ti� .: '•'.r'F' ..LLLL •�+i aa ;7tSd''i" . _ � .t+v. .'L<t 14 'r1 i.iw G., r... l• y... �J ..jel"' .\ ,C' "M x?S.p•io�_ �'. . h,... ��.a..�:....,_.,:.�•... �.�..-.�, �-�r...�u -3 �.:� i . ^:�:::�'�.��_ �� : x,'" .i�l�c�r� � _ ..,F ' `LC -•,SIS - • :i' ^`:w:. uS"tx•......., •:r. �' "'.�':•i:;-iSyY•'. iKan.0 t�.t' '�"i.Kw f. .� _..i z�'.. � �::�� :,�:., ��g`'L:�_<`°" �••: .� uy �.-; :::''�•v-c �'"' g'" , S,.�Y'r Y`/7�' '�( j , Q`, .`ii �Yu \7-,1 �}C� 1 �1 �7�( Y f �..� .2 � �•..vi.. ��-Q�:S.. .d. s+�r Total Market Value Taxes Per Total Market Class New Year Date Phase Use Sq. Ft./Units -Sq. Ft./Units Sq. Ft./Units Taxes Value Rate Tax Capacity Constructed Payable 1 Big Box 127,800 100.75 $4.27 545,737 14,400,500 1.5%-2.0% 287,260 2004 2006 1A Big Box 15,133 100.75 $3.62 54,709 1,440,050 2.00% 28,801 2005 2007 1A Sr Apt 0 0.00 $0.00 0 0 1.25% 0 2005 2007 1 B Sr Apt 0 0.00 $0.00 0 0 1.25% 0 2006 2008 1 Office 8,750 175.00 $6.49 56,819 1,531,250 1.5%-2.0% 29,875 2004 2006 1A Office 16,250 175.00 $6.65 108,038 2,843,750 2.00% 56,875 2004 2006 1 Small Retail 19,600 178.06 $6.70 131,234 3,490,000 1.5%-2.0% 69,050 2004 2006 1A Small Retail 36,400 178.06 $6.76 246,237 6,481,429 2.00% 129,629 2005 2007 1 Wendy's 3,200 227.50 $8.22 26,302 728,000 1.50/6-2.0% 13,810 2005 2007 1A Mk Rate Apts 39 95,000.00 $1,751.15 68,295 3,705,000 1.25% 46,313 2005 2007 1B Mk Rate Apts 221 95,000.00 $1,751.15 387,004 20,995,000 1.25% 262,438 2006 2008 1 Urban Flats 77 240,000.00 $3,627.82 279,342 18,480,000 1.00% 184,800 2005 2007 1A Urban Flats 137 240,000:00 $3,627.82 497,011 32,880,000 1.00% 328,800 2006 2008 1B Urban Flats 42 240,000.00 $3,627.82 152,368 10,080,000 1.00% 100,800 2007 2009 1B Sr. Co -Op Flats 63 260,000.00 $3,930.13 247,598 16,380,000 1.0006 163,800 2006 2008 1C Sr. Co -Op Flats 117 260,000.00 $3,930.13 459,826 30,420,000 1.00% 304,200 2007 2009 1D Sr. Co -Op Flats 0 0.00 $0.00 0 0 1.00% 0 N/A N/A 1B 3 -Story TH 11 350,000.00 $5,290.57 58,196 31850,000 1.00% 38,500 2006 2008 1C 3 -Story TH 15 350,000.00 $5,290.57 79,358 5,250,000 1.00% 52,500 2007 2009 1D 3 -Story TH 0 0.00 $0.00 0 0 1.00% 0 N/A WA TOTAL 3,398,075 172,954 978 2,097,450 Noce: 1. Tax estimates are based upon market value, construction costs and taxes per sq/ft.. t'.4tr31'%i •"z '<..vi ''rcn1y+'ji,, 4:'" A`r ns1' r.¢�v.-) 5-F;.`M.�' .�tii :::''�•v-c �'"' g'" , S,.�Y'r Y`/7�' '�( j , Q`, .`ii �Yu \7-,1 �}C� 1 �1 �7�( Y f �..� .2 � �•..vi.. ��-Q�:S.. .d. s+�r -,L�' ",' 'l - . :s. •yb1 ��.. n .}j�v �[:\ le�.d;. j„�'�'u .all• ..r y� .75�T�{#',;� _ L^i. 'Y.S •.TF. 'Market Total Local Fiscal Local Fiscal State-wide Local Fiscal State-wide Use Tax Tax Disparities Tax Disparities Property Taxes Disparities Property Value Total Capacity Capacity Tax Capacity Rate Tax Rate Tax Rate Taxes Taxes Taxes Taxes - Big Box 316,061 229,894 86,167 1.32690 1.21802 0.51000 305,046 104,954 161,191 29,256 600,446 Sr Apts 0 0 0 1.32690 0.00000 0.00000 0 0 0 0 0 Office 86,750 63,099 23,651 1.32690 1.21802 0.51000 83,727 28,807 44,243 8,080 164,856 Sm Retail 198,679 144,513 54,166 1.32690 1.21802 0.51000 191,754 65,975 101,326 18,416 377,471 Mk Apts 308,750 308,750 0 1.32690 0.00000 0.00000 348,228 0 0 45,818 393,847 Flats 614,400 614,400 0 1.32690 0.00000 0.00000 815,247 0 0 113,474 928,721 Sr Co -Op 468,000 468,000 0 1.32690 0.00000 0.00000 620,989 0 0 88,435 707,424 3 -Story TH 91,000 91,000 0 1.32690 0.00000 0.00000 120,748 0 0 16,807 137,555 TOTAL 1 2,083,640 1,915,891 167 749 1.32690 1.21802 0.51000 1 2,542,196 199,735 306,760 318,086 3,366 777 Note: t 1. St. Anthony does pay Fiscal Disparities 2. Apartments/residential do not pay State-wide property tax or Fiscal Disparities Not captured by TIF 3. Assumes Fiscal Disparities Is paid inside the district Prepared by Ehlers 44 Page 1 of 2 TIF Run 3-61-24-06 for 71F Plan - FINAL 3/6/2006 i � HLERS S 1l3"44sts t%C CITY OF ST. ANTHONY VILLAGE - APACHE PLAZA/NORTHWEST QUADRANT REDEVELOPMENT ��cs'�r�s' ' '�' r�kzr �" `��. %'�,_ - Base PERIOD BEGINNING Tax Yrs. Mth. Yr. Capacity 0.0 02-01 2001 161,139 0.0 08-01 2001 161,139 � . "'. ". •� � . �:-' Project Fiscal Tax Disparities Ca aci Reduction 161,139 0 161,139 0 ' ' " Captured - Tax Capacity (sf�E�F , • Cs -A$ :�. 'd . '" �� Semi -Annual State Admin. Gross Tax Auditor at Increment 0.36°% 5,00% - ' :�,:.' _ Semi -Annual Semi -Annual Net Tax Present Increment Value t, .. : _ PAYMENT DATE PERIOD ENDING Yrs. Mth. .,. Yr. 0.0 08-01 2001 0.0 02-01 2002 161,139 161,139 0 0.0 02-01 2002 0.0 08-01 2002 161,139 161,139 0 0.0 08-012Q02 0.0 02-01 2003 161,139 161,139 0 0.0 02-01. 2003 0.0 08-01 2003 161,139 161,139 0 Present Value Date -2-01-04 0.0 0.0 08-01 02-01 2003 2004 0.0 0.0 02-01 08-01 2004 _ 2004 131,972 131,972 131,972 131,972 0 0 0 0 0 0 0 0 0.0 08-01 2004 0.0 02-01 2005 131,972 131,972 0 0 0 0 0 0 0 0 0 0 0 0 0.0 0.0 02-01 2005 0.0 IM 08-01 �Z 2005 1' 1319lj�72 2 131972 0� 0 105,285 0 0 0 0 0 0 0 0.0 08-01 02-01 2Q05 2006 0.5 08-01 2006 131,972 499,207 .105,285 261,950 261,950 173,791 173,791- (626) (626) (9,773) 163,392 163,392 141,581 �: 75 7(7 � v : 1.0 02-01 2007 131,972 1,139,939 167,749 840,218 557,443 (2,007) (9,773) (37,561) 517,875 279,050 704,571 1.0 1.5 02-01 08-01 2007 2007 1.5 2.0 08-01 02-01 2007 2008 131,972 131,972 1,139,939 1,658,431 167,749 171,103 878,218 557,443 (2,007) (37,561) 517,875 1,117,304 2.0 02-01 2008 2.5 08-01 2008 131,972 1,658,431 171,103 1,355,355 1,355,355 899,210 899,210 (3,237) (3,237) (54,792) (54,792) 841,182 841,182 1,781,157 2,425,299 2.5 3.0 .08-01 02-01 2008 2009 3.0 3.5 02-01 08-01 2009 2009 131,972 131,972 2,134,781 2,134,781 174,526 174,526 1,828,283 1,828,283 1,212,975 (4,367) (70,632) 1,137,976 3,289,289 3.5 08-01 2009 4.0 02-01 2010 131,972 2,171,333 178,016 1,861,345 1,212,975 1,234,909 (4,367) (4,446) (70,632) (71,937) 1,137,976 1,158,527 4,127,758 4,956,197 4.0 4.5 02-01 08-01 2010 2010 4.5 5.0 08-01 -02-01 2010 2011 131,972 131,972 2,171,333 2,214,759 178,016 181,576 1,861,345 1,901,211 1,234,909 (4,446) (71,937) 1,158,527 5,760,167 5.0 02-01 2011 5.5 08-01 2011 131,972 2,214,759 181,576 1,901,211 1,261,358 1,261,358 (4,541) (4,541) (73,471) (73,471) 1,183,347 1,183,347 6,557,097 7,330,492 5.5 6.0 08-01 02-01 2011 2012 6.0 6.5 02-01 08-01 2012 2012 131,972 131,972 2,259,055 2,259,055 185,208 185,208 1,941,875 1,288,337 (4,638) (75,036) 1,208,663 8,097,098 6.5 08-01 2012 7.0 02-01 2013 131,972 2,304,236 188,912 1,941,875 1,983,352 1,288,337 1,315,855 (4,638) (4,737) (75,036) (76,632) 1,208,663 1,234,485 8,841,068 9,578,489 7.0 7.5 02-01 08-01 2013 2013 7.5 8.0 08-01 02-01 2013 2014 131,972 131,972 2,304,236 2,350,320 188,912 192,690 1,983,352 2,025,658 1,315,855 (4,737) (76,632) 1,234,485 10,294,140 8.0 02-01 2014 8.5 08-01 2014 131,972 2,350,320 192,690 2,025,658 1,343,923 1,343,923 (4,838) (4,838) (78,260) (78,260) 1,260,824 1,260,824 11,003,475 11,691,871 8.5 9.0 08-01 02-01 2014 2015 9.0 9.5 02-01 08-01 2015 2015 131,972 131,972 2,397,327 2,397,327 196,544 196,544 2,068,811 2,068,811 1,372,552 (4,941) (79,921) 1,287,690 12,374,178 9.5 08-01 2015 10.0 02-01 2016 131,972 2,445,273 200,475 2,112,826 1,372,552 1,401,755 (4,941) (5,046) (79,921) (81,615) 1,287,690 1,315,093 13,036,346 13,692,643 10.0 10.5 02-01 08-01 •2016 2016 10.5 11.0 08-01 02-01 2016 2017 131,972 131,972 2,445,273 2,494,179 200,475 204,484 2,112,826 2,157,722 1,401,755 (5,046) (81,615) 1,315,093 14,329,572 11.0 02-01 2017 11.5 08-01 2017 131,972 2,494,179 204,484 2,157,722 1,431,541 1,431,541 (5,154) (5,154) (83,343) (83,343) 1,343,044 1,343,044 14,960,841 15,573,462 11.5 12.0 08-01 02-01 2017 2018 12.0 12.5 02-01 08-01 2018 2018 131,972 131,972 2,544,062 2,544,062 208,574 208,574 2,203,516 2,203,516 1,461,923 (5,263) (85,105) 1,371,554 16,180,666 12.5 08-01 2018 13.0 02-01 2019 131,972 2,594,944 212,746 2,250,226 1,461,923 1,492,912 (5,263) (5,374) (85,105) (86,903) 1,371,554 1,400,635 16,769,936 17,353,946 13.0 13.5 02-01 08-01 2019 •2019 13.5 14.0 08-01 02-01 2019 2020 131,972 131,972 2,594,944 2,646,843 212,746 217,001 2,250,226 2,297,870 1,492,912. (5,374) (86,903) 1,400,635 17,920,728 14.0 02-01 2020 14.5 08-01 2020 131,972 2,646,843 217,001 2,297,870 1,524,522 1,524,522 (5,488) (5,488) (88,737) (88,737) 1,430,297 1,430,297 18,482,439 19,027,582 14.5 15.0 08-01 02-01 2020 2021 15.0 15,5 02-01 .08-01 - 2021 2021 131,972 131,972 2,699,779 2,699,779 221,341 221,341 2,346,467 2,346,467 1,556,763 (5,604) (90,607) 1,460,552 19,567,838 15,5 08-01 2021 16.0 02-01 2022 131,972 21753,775 225,767 2,396,035 1,556,763 1,589,650 (5,604) (5,723) (90,607) (92,515) 1,460,552 1,491,412 20,092,161 20,611,774 16.0 16.5 02-01 08-01 2022 2022 16.5 17.0 08-01 02-01 2022 2023 131,972 131,972 2,753,775 2,808,850 225,767 230,283 2,396,035 2,446,596 1,589,650 (5,723) (92,515) 1,491,412 21,116,065 17.0 02-01 2023 17.5 08-01 2023 131,972 2,808,850 230,283 2,446,596 1,623,194 1,623,194 (5,843) (5,843) (94,461) (94,461) 1,522,890 1,522,890 21,615,816 22,100,833 17.5 18.0 08-01 02-01 2023 2024 18.0 18.5 02-01 08-01 2024 2024 131,972 131,972 2,865,028 2,865,028 234,888 234,888 2,498,167 2,498,167 1,657,409 (5,967) (96,445) 1,554,997 22,581,476 18.5 08-01 2024 19,0 02-01 2025 131,972 2,922,328 239,586 2,550,770 1,657,409 1,692,308 (5,967) (6,092) (96,445) (98,470) 1,554,997 1,587,746 23,047,949 23,510,207 19.0 19.5 02-01 08-01 2025 2025 19.5 20.0 08-01 02-01 2025 2026. 131,972 131,972 2,922,328 2,980,775 239,586 244,378 2,550,770 2,604,425 1,692,308 (6,092) (98,470) 1,587,746 23,958,840 20.0 02-01 2026 20.5 08-01 2026 131,972 2,980,775 244,378 2,604,425 1,727,905 1,727,905 (6,220) (6,220) (100,535) (100,535) 1,621,150 1,621,150 24,403,412 24,834,881 20.5 21.0 08-01 02-01 2026 2027 21.0 21.5 02-01 08-01 2027 2027 131,972 131,972 3,040,390 3,040,390 249,265 249,265 2,659,153 2,659,153 1,764,215 1,764,215 (6,351) (102,641) 1,655,222 25,262,437 21.5 08-01 2027 22.0 02-01 2028 131,972 3,101,198 254,251 2,714,975 1,801,250 (6,351) (6,485) (102,641) (104,790) 1,655,222 1,689,976 25,677,394 26,088,581 220 225 02-01 08-01 2028 2028 22.5 23.0 08-01 02-01 2028 2029 131,972 131,972 3,101,198 3,163,222 254,251 259,336 2,714,975 2,771,914 1,801,250 (6,485) (104,790) 1,689,976 26,487,653 23.0 02-01 2029 23.5 08-01 2029 131,972 3,163,222 259,336 2,771,914 1,839,026 1,839,026 (6,620) (6,620) (106,981) (108,981) 1,725,425 1,725,425 26,883,093 27,266,882 23.5 24.0 08-01 02-01 2029 2030 24.0 24.5 02-01 08-01 2030 2030 131,972 131,972 3,226,486 3,226,486 264,522 264,522 2,829,992 2,829,992 1,877,558 (6,759) (109,216) 1,761,583 27,647,174 24.5 08-01 2030 25.0 02-01 2031 131,972 3,291,016 269,813 2,889,231 1,877,558 1,916,860 (6,759) (6,901) (109,216) (111,496) 1,761,583 1,798,464 28,016,263 28,381,983 25.0 25,5 02-01 08-01 2031 2031 25.5 08-01 2031 131,972 3,291,016 269 813 2,889,231 1 916 860 (6,901) 111 496 1,798,464 28 736 91 26.0 02-01 2032 Totals 16,956,640 741038,287 (266,538) 4 323 747 69,448,002 Present Value Date - 2-01-04 4,616,464 30 614 476 fl10 212) (1,767,333) 28,736,931 NOTES: 1. State Auditor payment is based upon 1st half, pay 2005 actual and may Increase over term of district. 2. TIF run does not reflect potential reduction In Market Value Homestead Credit 3, Amount of increment will vary depending upon market value, tax rates, class rates, construction schedule and inflation on Market Value, 4. Inflation on tax rates cannot be captured. 5. TIF does not capture state wide property taxes or market value property taxes �y F� �T" '��.i t'�r /�C {�� f��j• r -, s ,.1.3•x; r Ty.E2wp' Current Market Value - Est. 28,151,700 New Market Value - Est. 172,954,978 Difference 144,803,278 Present Value of Tax Increment 30,614,476 Difference 114,188,803 Value Likelyto Occur Without TIF is Less Than: 114,188,803 Prepared by Ehlers 45 Page 2 of 2 TIF Run 3-5 1 24-06 for TIF Plan - FINAL APPENDIX E MINNESOTA BUSINESS ASSISTANCE FORM (MINNESOTA DEPARTMENT OF TRADE AND ECONOMIC DEVELOPMENT) APPENDIX 46 E-1 Please fill in date agreement signed (same as question 21) Minnesota Business Assistance Form ■ The Minnesota Business Assistance Form (MBAF) is used to report each business subsidy (including Job Opportunity Zone (JOBZ) tax exemptions/credit) and financial assistance agreement signed from.August.1,1999 throughDecember 31_ 2004 unless goals have been achieved and reported on a MBAF per Minn. Stat. § 116J.993 to § 1161995. ■ Businesses receiving JOBZone Benefits must report through 2015 even if goals have been achieved. ■ The following government agencies must submit a MBAF: 1) any local government/agency that signed a business subsidy agreement since January 1, 1999, or represents a population of more than 2,500; 2) all state government agencies authorized to provide business subsidies. DEED will contact any local or state government agency that is required to report but has not done so by April 1. Business assistance may not be awarded after June 1 of each year until a report has been submitted. Questions? Call (651) 296-0580. Information on where to mail or fax your completed MBAF(s) is on page 5. An online version of this form is available at www.deed-state.mn-us/Community/subsidies/MBAFForm.htm ,ectinn 1' (irnnfar Tnfnrmat;n"1 L Name of grantor (funding entity) 2. Name of person completing this form 3. Street address 4. City .5. Zip Code 6. County 7. Phone number 8. Fax number 9. E-mail address 10. Please indicate who in your organization should receive the MBAF if different from the person in Question 2. Name/Title Phone number Street address City Zip Code 11. Classification of grantor (Mark one. If grantor is entity created 12. Has your organization held a public hearing on and adopted by govt agency, please indicate affiliation. For example, a city criteria for awarding business subsidies in compliance with EDA would check "City government. ') Minn. Stat. § 116J.994? (Mark one) ❑ City government ❑ Yes, in 2005 (attach criteria) ❑ Yes, in 2005 but have not yet adopted criteria ❑ County government ❑ Yes, prior to 2005 ❑ Regional government If Yes: Hearing Date: Year Criteria Submitted: ❑ State government ❑ No ❑ Other (Please specify) ❑ Other Please attach ex lavation. 13. Has your organization signed any agreements to award a business subsidy or financial assistance from August 1, 1999 through December 31, 2004 unless goals have been achieved and reported in a previously filed MBAF? (Mark one,) ❑ Yes (Complete the remainder of the form unless goals have been achieved and ❑ No(Stop here go to section 5 on page 4.) reported in a previously filed MBAFper Minn. Stat. §116J.993 and §116J.994) Section 2: Recipient Information 14. Name of business or organization receiving subsidy or financial assistance f 16. Does the recipient have a parent corporation? (Mark one) 15. Address where business subsidy or financial assistance will be used Street address Ci ❑ Yes (Indicate name and address of parent corporation below. If more than one, indicate ultimate owner.) ❑ No Name of parent corporation Street address i State ZIP Code State ZIP Code Minnesota Business Assistance Form (02/01/05) Page 1 of 5 Dept. of Employment and Economic Development 47 17. Industry of recipient's facility (Mark one.): ❑ Manufacturing ❑ Services ❑ Finance, Insurance, Real Estate ❑ Retail Trade ❑ Wholesale Trade ❑ Construction ❑ Other lease specify) 18. Did the recipient relocate as a result of signing this agreement? (Mark one.) ❑ Yes (Indicate city and state ofprevious address and reason recipient did not complete this project at that address.) City/State of previous address Reason project not completed at previous address ❑ No Go to Question 19.) 19. What would recipient have done without business subsidy or financial assistance? (Mark one): ❑ Remain at previous location, but not expand ❑ Remain -at previous location but expand ❑ Relocate to different Minnesota location ❑ Relocated outside Minnesota ❑ Other Section 3: Agreement Information 20. Total dollar value of business subsidy or financial assistance 21. Date agreement signed (In addition to the agreement date, (Please separate value by type in Questions 24 and 25.) indicate any dates the agreement was amended.) (Enter zero for JOBZ, Biozone and Agzone projects.) 22. Benefit date (Indicate the date the recipient receives the business subsidy or improvements were finished, equipment was placed into service, or the recipient occupied the property, whichever is earlier.) 23. Does the agreement provide a business subsidy or one of the four types of financial assistance (see Question 25) required to be reported? (Mark one.) ❑ business subsid ❑ financial assistance 24. If the agreement provided a business subsidy, please indicate the 25. If the assistance was one of the four types of financial assistance, type(s) and total dollar value for each type. please indicate the type(s). ❑ not applicable, agreement provided financial assistance ❑ not applicable, agreement provided a business subsidy ❑ loan (only principal) $ ❑ assistance for property ❑ grant (i.e., forgivable loan) $ by contaminants $ ❑ tax abatement $ ❑ assistance for renovating building ❑ TIF or other tax reduction or deferral $ stock or bringing it up to code, and ❑ guarantee or payment $ assistance provided for designated ❑ contribution of property or infrastructure $ historic preservation districts, when ❑ preferential use of governmental facilities $ 50 percent or less of total cost $ ❑ land contribution $ ❑ assistance for pollution control or ❑ Biozone $ 0 abatement $ ❑ JOBZ (state tax exemptions/credits and sales tax) $ 0 ❑ assistance for a TIF soils ❑ JOBZ - A.gzone- $ 0 condition district $ ❑ other (Specify subsidy type.) $ (Note: no dollar value for zone ro'ects 26. If the assistance included tax increment financing, please indicate 27. Are any other grantors providing a business subsidy or financial the type of TIF district? (Mark one.) assistance to the same project? (Mark one.) ❑ not applicable, assistance was not in the form of TIF ❑ Yes (Sped each grantor and the value of their assistance below; attach an additional sheet if necessary. ❑ redevelopment ❑ renewal and renovation ❑ soils condition Grantor Value ($) ❑ economic development ❑ mined underground space ❑ hazardous substance subdistrict Grantor Value ($) ❑ No Minnesota Business Assistance Form (02/01/05) Page 2 of 5 Dept. of Employment and Economic Development 48 Section JZ: JOZ Information Complete Questions 28-31 if the financial assistance was awarded to a JOBZ qualified business recipient receiving JOBZ benefits. (If not, go directly to Question 32.) JZ 1. What was the amount of private capital investment of the business in the JOBZ zone prior to December 31, 2004? Real (land and buildings) $ Personal (equipment) $ JZ2. What was the property tax assessment which was not collected for the property where the JOBZ qualified business was operating during the period of January 1, 2004 and December 31, 2004? (Please sped each additional parcel identification number and the value of the property tax assessment that was not collected during the period of January 1, 2004 and December 31, 2004; attach an additional sheet if necessary — obtain information from county tax assessor's office.) $ for Parcel Identification Number: JZ3. What was the value of Wind Energy Production Tax, if any, for the JOBZ qualified business that was operating during the period of January 1, 2004 and December 31, 2004? Section 4: Goals and Public Pur ose Identified in the Agreement 28. Minn.. Stat. §116J.994 requires that business subsidy. and financial assistance agreements state a public purpose. Which of the following public purposes were stated in the agreement? (Mark all that apply.) ❑ Enhancing economic diversity ❑ Increasing tax base (cannot be only purpose) ❑ Creating high-quality job growth ❑ Job retention ❑ Other (please sped) ❑ Stabilizing the community 29. Indicate whether the agreement included the following types of goals, and whether the recipient had attained those goals at the time of this report. (Fill in the boxes and attainment date (s) for each goal.) Goals Target attainment All goals established? dates (month & year) attained? A) Specific wage and job goals to be attained within 2 years ❑ Yes ❑ No ❑ Yes ❑ No B) Other job -creation and/or retention goals ❑ Yes ❑ No ❑ Yes ❑ No C)- Other wage goals ❑ Yes C❑ No ❑ Yes ❑ No D) Goals other than wage and job goals ❑ Yes ❑ No ❑ Yes ❑ No Please attach description, ofgoals and ro ress toward attainment (i not documented in Questions 30 and 31. 30. For each of the following wage categories, indicate the job creation and/or retention goals stated in the agreement and the average hourly value of any employer-provided health insurance goals for those jobs. (O indicate job creation goals in full-time equivalents if you are unable to separate goals by full- and part-time positions.) Full-time Part-time/ FTE onl if unable to Hourly Wage Job Seasonal/Temp. stated as FT/PT) Hourly Value of (excluding benefits) Creation Job Creation Job Creation Job Retention Health Insurance no hourly wage -level goal $ less than $7.00 $ $7.00 to $8.99 $9.00 to $10.99 $11.00 to $12.99 $ $13.00 to $14.99 $ $15.00 and higher $ Minnesota Business Assistance Foran (02/01/05) Page 3 of 5 Dept. of Employment and Economic Development 49 31. For each of the following wage categories, indicate the number of actual jobs created and/or retained since the benefit date and the actual hourly value of any employer-provided health insurance for those jobs. Onl indicate job creation in full-time equivalents if you are unable to separate job creation into full- and part-time positions.) Full-time Part-time/ FTE onl if unable to Hourly Wage Job Seasonal/Temp. stated as FT/PT) Hourly ''value of (excluding benefits) Creation Job Creation Job Creation Job Retention Health Insurance less than $7.00 $ $7.00 to $8.99 $ $9.00 to $10.99 $ $11.00 to $12.99 $ $13.00 to $14.99 $ $15.00 and higher $ 32. Has the recipient achieved all goals (see Question 33, 34 and 35) and fulfilled all. obligations stipulated in the agreement (Mark one.) ❑ Yes ❑ No Section 5: Recipients Failing to Fulfill Obligations (Do not complete this section if you completed it on another MBAF submitted to DEED.) 33. During the period January 1, 2004 through December 31, 2004, did your organization have any recipients who failed to report as required by Minn. Stat. § 116J.993 and § 116J.994? (Mark one.) ❑ Yes (Indicate the name of each recipient failing to report and the value of subsidy or financial assistance awarded to that recipient. Attach additional pages if necessary.) Name of recipient ❑ No Type of subsidy or assistance (See Questions 24 & 25.) Value of subsidy or assistance 34. Did your organization have any recipients who failed to achieve any goals or fulfill any other obligations under an agreement signed on or after January 1, 2004, that were required to be fulfilled by the time of this report? (Mark one.) ❑ Yes (Complete the remainder of this section.) ❑ No (Stop here and submit form to DEED.) For questions 35-39: Provide the following information for each recipient failing to fulfill goals or any other terms of an agreement that were to be attained Py the time of re orcin . (Attach additional 35. Information on recipient and agreement: I Name of recipient in default Street address of recipient Type of subsidy or assistance Initial value of subsidy or assistance City/Zip code of recipient Outstanding value of subsidy or assistance 36. Reason(s) for default (Mark all that apply.): ❑ recipient ceased operation ❑ recipient was unable to fill vacant positions Minnesota Business Assistance Form (02/01/05) Page 4 of 5 50 ❑ recipient relocated to a different community ❑ other (Specify reason.) Dept. of Employment and Economic Development 37. To date, has the recipient fulfilled its repayment obligation? (Mark one.) ❑ Yes ❑ No, recipient has be to repay the assistance. L1 No, recipient has not be ugun to repay the assistance. 38. Has the agreement been amended to extend the recipient's deadline for fulfilling its obligations? (Mark one.) L] Yes ❑No 39. Describe the steps being taken to bring recipient into compliance or recoup the subsidy: Return your completed MBAF(s) by April 1 2005 EITHER Mail To: Minnesota Business Assistance Report Minnesota Department of Employment and Economic Development -- Analysis and Evaluation 1 St National Bank Building 332 Minnesota Street, Suite E200 St. Paul, Minnesota S5101-1351 NN Fax To: (651) 215-3841 (Next year, please use the online version of this form. It can be found at www.deed.state.mn.us/Community/subsidies/MBAFForm.htm.) Minnesota Business Assistance Form (02/01 /05) Page 5 of 5 Dept. of Employment and Economic Development 51 APPENDIX APPENDIX F REDEVELOPMENT QUALIFICATIONS FOR TBE DISTRICT See Report from LBB Architects dated August 29, 2003 52 F-1 APPENDIX G BUT/FOR QUALIFICATIONS Additional information and a But -For Analysis will be completed prior to completion of the Development Agreement and will be included in the Development Agreement for each project within the TIF District. But -For Analysis Current Market Value $28,223,500 New Market Value - Estimate $154,5502000 Difference $1261326,500 Present Value of Tax Increment $18,971,728 Difference $107,354,772 Value Likely to Occur Without TIF is Less Than: $107,3549772 Currently the Northwest Quadrant Project Area is underutilized, with obsolete structures and physical arrangements, substantial vacant areas and high building vacancies, inconsistent legal restrictions on redevelopment and outdated and inadequate public infrastructure and circulation. Redevelopment has been impeded by fragmentation of ownership, high cost of acquisition for vacant and marginalized properties and the difficulty of redevelopment without a consistent overall plan ensuring compatible adjacent uses. To add to the inability to redevelop the site without a comprehensive plan is that the existing Apache Plaza Shopping Center, which is located within the Northwest Quadrant Project Area, is the second largest contributor of pollutants to Silver Lake according to the Ramsey County & Rice Creek Watershed District Diagnostic Feasibility Study for Silver Lake. The Apache Plaza Site requires extensive storm water treatment as part of any redevelopment to address the poor water quality issues in Silver Lake and past efforts to redevelop the site have not succeeded since they did not and could not address these issues. Storm water treatment requirements have been a hindrance to redevelopment of this site in the past because of the large land commitment necessary to meet today's storm water treatment standards and the fiscal implications thereof. To date, there has been no funding available to retroactively address the water quality issues generated from the Apache Plaza site. The only opportunity to address these issues financially is through this comprehensive redevelopment opportunity and the establishment of a Redevelopment TIF District. APPENDIX 53 G-1 (AS MODIFIED ONMARCH 14, 2006) But -For Analysis Current Market Value $28,1519700 New Market Value - Estimate $172,954,978 Difference $14498039278 Present Value of Tag Increment $30,614,476 Difference $1149188,803 Value Likely to Occur Without TIF is Less Than: $114,188,803 APPENDIX 54 H-1 APPENDIX H PRIOR PLANNED IMPROVEMENTS Business Name Address Building Permits Issued? PID Type Apache Medical Office 4001 Stinson Boulevard 31-30-23-32-0014 Building C/O LG Anderson LLC 7/14/03 Remodel office area - 10700 county Road 15 $10,000 Plymouth MN 55421-5441 Fuel Mart 3813 Stinson Boulevard 31-30-23-33-0003 Building C/O Byblos 2000 LLC None 3 813 Stinson Boulevard St. AnthonyVillage MN 55421 Firestone 3901 Stinson Boulevard 31-30-23-33-0006 Building g Firestone one Real Estate Leasing None 5 0 Century Boulevard Nashville TN 3 7214-3 672 Firestone 3 901 Stinson Boulevard St. AnthonyVillage MI`s 55421 JA Cadwallader Real Estate 3800 Apache Lane 31-30-23-33-0012 Building 3 800 Apache Lane 5/02 -new garage $47,000 St. Antho2j Villa e MN 55421-4209 Equinox Apartments 2504 Silver Lane NE 31-30-2332-0012 4 Buildings g C/O Sentinel Management 2808 Silver Lane NE 31-30-23-31-0022 5 Buildings 5215 Edina Industrial Boulevard 9/4/02 -remodel office area Edina MN 55439-3023 $7,000 Equinox Apartments 2808 Silver Lane NE St. Anthon Village MN 55421 Don's Car Wash 3725 Stinson Boulevard 31-30-23-33-0005 Building Don's Car Wash of MN None PO Box 9977 Fargo ND 58106-9977 Don's Car Wash 3725 Stinson Boulevard St. AnthonyVilla e MN 55.421 Taco Bell 3704 Silver. Lake Road 31-30-23-34-0018 Building 3704 Silver Lake Road None St. Anthony Village MN 55421 Ed's Car Wash 2415 39thAvenue NE 31-30-23-33-0010 Building C/O Jon Vandervelden None 5008 Turtle Lane East Shoreview MN 55126-5958 APPENDIX 55 H-2 Business Name Address PID Type Buildina Permits Issued? Goodyear 4020 Silver Lake Road 31-30-23-31-0023 Building 4020 Silver Lake Road None St. Anthon Village MN 55421 Apache Squares 2524 39thAvenue NE 31-3073-33-0001 Building 7450 France Avenue South, #120 None Edina MN 55435-4787 Apache Office Park 2500 3 0 Avenue NE 31-30-23-33-0011' Building C/O Village Properties None 2500 39"' Avenue NE . Minnea E olis MN 55421-4213 SAV Liquor/Tires Plus 3 800-02 Silver Lake Road 31-30-23-34-0017 Building 3802 Silver Lake Road Tires Plus -sign permit 1/02 & St. Anthony Village NCN 55421 4/02 $1,300; SAV- None Baker's Square 3701 Stinson Boulevard 31-30-23-33-0014 Building C/O Vicorp Restaurants Inc. Stinson Boulevard 31-30-23-33-0013 Vacant 400 West 4P Avenue 6/23/03 Fire protection for Denver CO 80216-1806 cooking hood - $3,000 Baker's Square 3701 Stinson Boulevard St. Anthon Villa e MN 55421 Car Wash 3801 Stinson Boulevard 31-30-23-33-0004 Building C/O Byblos 2000 LLC 4/1/03 -sign permit $4,800 3 813 Stinson Boulevard St. Anthony Village MN 55421-4212 Car Wash 3801 Stinson Boulevard St. Antho2j Village MN 55421 Apache Plaza None 31-30-23-34-0016 Building C/O US Bank -- Larry McCabe 31-30-23-34-0019 Vacant WFP2516) .31-30-23-33-0002 Vacant 6012 nd Avenue South Minneapolis MN 55402 Pond by Cub Address Unassigned 31-30-23-31-0028 Pond City of St. Anthon Ponds Behind Mini Mall Address unassi ned 31-30-23-31-0033 Ponds Land Stinson Boulevard NE 31-30-23-3370018 Vacant C/O Wirth Companies 615 2nd Avenue south Minnea olis MN 55402 Land Silver Lake Road .31-30-23-34-0015 Vacant Welsh As Receiver 7817 Creekridge Circle Minneapolis MN 55439-2609 APPENDIX 56 H-3 Business Name Address FID Type Building Permits Issued? Land Silver Lake Road 31-30-23-34-0014 vacant St. AnthonyHRA City passed resolution to include this parcel in district since it was torn down prior to creation of the district. This was the former Arby's and Exhaust Pros sites. 4 ' APPENDIX 57 H-3 FREERS & ASSOCIATES INC To: Mike Mornson —Executive Director 0 From: Stacie Kvilvang —Ehlers and Associates W Date: March 6, 2006 c Subject: Sale of Commercial TIF .Revenue Bonds for Silver Lake Village Overview Pursuant to Section 12.7 of the Redevelopment Agreement with Apache Redevelopment LLC, upon successful completion of any element of the redevelopment, the City/TRA agreed to issue tax exempt debt to refund and pay existing Taxable TIF Notes. The commercial development is now complete and the commercial developer has requested that the City/HRA issue tax .exempt TIF revenue bonds to "take out" their TIF Note. The TIF Note was originally issued in the principal amount of $2,554,583 and was assigned to the commercial developer's lender. Ehlers will be completing the required "look back" on the* commercial development to determine whether the principal amount should remain the same or be lowered to reflect actual qualified TIF costs incurred. Once the look back is completed and the tax exempt TIF bonds are issued, the City/HRA will be required to pay off the commercial developer's lender the newly determined principal amount of the note plus accrued interest to date. If we were to assume that the principal was not reduced from the original TIF Note, the amount that would be repaid would be approximately $2,984,000 ($2,554,583 at 6.75%). Issues to be considered • What is the par amount of TIF revenue bonds that are going to be issued? • When will the bonds be issued? • Is there any risk to the City/HRA in issuing these bonds? • What will the net proceeds be after paying off obligations? • What will the net proceeds be utilized for? Ana sis of Issues • What is the par amount of TIF revenue bonds that are going to be issued? The resolution approves a par amount of bonds to be issued that will not exceed $5.8 million or that any coupon can exceed 6.5%. Currently; we anticipate that the par amount will be approximately $5.4 million and may be adjusted per final bond runs provided by the Underwriter, Dougherty and Company LLC. LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive Phone: 651-697-8506 Fax: 651-697-8555 Roseville, MN 55113-1.105 skvilvang@ehlers-inc.com 58 Mike Mornson Sale of Commercial TIF Revenue Bonds for Silver Lake Village g March 6, 2006 Page 2 When will the bonds be issued? It is anticipated that the bonds will be issued by April 15" and that the funds will be available by April 30th. In addition, since the authorizingresolution includes a not to exceed amount , the Executive Director of the HRA is given the authority to approve or reject the sale results within these parameters.' Either way, Ehlers will provide a memorandum to the City/HRA Y outlining the results of the sale. • Is there any risk to the City/HRA in issuing these bonds? Issuance of tax exempt TIF revenue bonds is a low risk proposition for the City/HRA since the development is constructed and paying taxes and the bonds are backed soler by TIF revenue generated from the project. If revenues are not sufficient to pay principal and interest on the bonds, the City is not required to levy taxes to make up the shortfall. It should be noted that these tax exempt bonds are "counted" against the City's Bank Qualification (B Q - annual cap of $10 million for tax exempt debt). However, it is antic* ated p that with the $2 million in GO Bonds issued by the City for the 2006 Road Reconstruction Program combined with this $5.4 million issue, the City still has the capacity to issue an additional $2.6 million in BQ bonds, if it deems it is necessary for other City'projects. What will the net proceeds be after paying off obligations? If we assume that we issue $5.4 million in TIF revenue bonds, the City/Authority could net approximately $5.1 million to the TIF fund (after deducting costs of issuance). If we subtract the $2.9 million obligation to repay the commercial lender, then the City/HRA would net approximately $2.1 million to the TIF District fund. What will the net proceeds be utilized for? These proceeds can be utilized for qualified TIF expenditures within TIF District 3-5 or to be utilized/pooled to projects outside of the TIF district, but located in the City's Project Area. Currently, . tYJ it is anticipated that the majority of the funds, approximately $1.8 million, will be utilized to pay for the 3 9th Avenue lift station that is needed before -phase II of the redevelopment can be undertaken. The remaining funds will be available for other projects. . p J determined by the City/HRA. Please contact me at 651-697-8506 with any questions. cc: Jerry Gilligan -- Dorsey & VIhitney File 59 CERTIFICATION OF MINUTES RELATING TO TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT) SERIES 2006 Issuer: Housing and Redevelopment Authority of the City of St. Anthony Governing Body: Board of Commissioners Kind, date, time and place of meeting: A regular meeting held on March 14, 2006, at 7:00 o' clock p.m., at the City Hall, St. Anthony, Minnesota. Members present: Members absent: Documents Attached: Minutes of said meeting (including): Pages 1 through 4 RESOLUTION NO. 06-008 RESOLUTION RELATING TO TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT); SERIES 2006 ; AUTHORIZING THE ISSUANCE AND SALE THEREOF I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the Bonds referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been�carefully compared with the original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the. governing body of said corporation, andcorrect and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at said meeting, so fax as the relate g y to said Bonds; and that said meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as such recording officer on March 14, 2006. Executive Director 60 Commissioner introduced the following resolution and moved its adoption, which motion was seconded by Commissioner • RESOLUTION NO. 06-008 .RESOLUTION RELATING TO TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT), SERIES 2006; AUTHORIZING THE ISSUANCE AND SALE THEREOF BE IT RESOLVED by the Board of Commissioners of the Housing ' and Redevelopment Authority of the City of St. Anthony (the "Authority"), as follows: Section 1. Recitals. 1.01. Authorization. The City of St. Anthony, Minnesota, a municipal corporation organized and existing under the laws of the State of Minnesota (the "City") and the Authority have established Tax Increment Financing District No. 3 -5 (the "TIF District") pursuant to authority granted by Minnesota Statutes, Sections 469.174 to 469.179; as amended (the "Tax Increment Act"), within the Redevelopment Project Area No. 3 of the Authority (the "Redevelopment Project"), and have approved a tax increment financing plan for the purpose of financing certain improvements within the TIF District. In order to provide for the redevelopment of the Redevelopment Project and the TIF District, including, but not limited -to, the redevelopment of the portion of the Redevelopment Project and TIF District located west of Silver Lake Road in the vicinity of the intersection of Silver Lake Road and 39th Avenue N.E. (the "Commercial Development Property"), the Authority and the City entered into a Redevelopment Agreement, dated December 19, 2003, as amended (the "Contract"), between the City, the Authority and Apache Development, LLC, the portion of which with respect to the redevelopment of the Commercial Development Property has been assigned to St. Anthony Retail Development, LLC (the "Redeveloper"). Pursuant to Section 469.178 'of the Tax Increment Act, the Authority is authorized to issue and sell its bonds or notes for the purpose of financing public development costs in a redevelopment projects and to pledge tax increment revenues derived from a tax increment financing district established within the Redevelopment Project to the payment of the principal of and interest on such obligations. Pursuant to the terms of the Contract, the Authority issued to the Redeveloper. its Limited Revenue Taxable Tax Increment Revenue Note, dated December 19, 2003 (the "Series 2003 Note"), in the principal amount of $2,554,583, payable solely from tax increment revenues generated from Commercial Development Property. Pursuant to the terms of the Contract, the Agency agreed to refund the Series 2003 Note with tax-exempt tax increment revenue bonds when the conditions set forth in the Contract for the issuance of such revenue bonds have been satisfied. Such conditions have been satisfied for the Series 2003 Note. To refund the Series 2003 Note and to financep ublic improvements to be undertaken by the City in the Redevelopment Project, it has been proposed that the Authority issue its Tax Increment Revenue bonds (Silver Lake Village Project), -Series 2006 (the "Bonds"), pursuant to an Indenture of Trust (the "Indenture") between the Authority and U.S. Bank National Association as trustee (the "Trustee"). The Authority is authorized by the Tax Increment Act and Minnesota Statutes, Chapter 475 to- issue tax increment revenue 61 bonds to redeem and prepay the outstanding amount of the Series 2003 Note and to finance public improvements to be undertaken by the City in the Redevelopment Project. 1.02. Drafts of the following documents relating to the Bonds have been prepared and submitted to this Board and are hereby directed to be filed with the Executive Director: (a) the Indenture; (b) a Preliminary Official Statement (the ."Preliminary, Official. Statement"), to be used in connection with the offer and sale of the Bonds by the Underwriter, as hereinafter defined; and (c) a Continuing Disclosure Certificate (the "Continuing Disclosure Certificate") to be executed by the Authority. Section 2. Approval of Bonds. 2.01. The Authority hereby determines that the issuance of Bonds is in the best interests of the Authority and authorizes its staff, together with Ehlers & Associates, Inc., the financial advisor to the Authority, and Dorsey & -Whitney LLP, as bond counsel to the Authority, to prepare documents necessary to issue the Bonds for the purposes provided in the Indenture. The Authority approves the issuance of its Bonds in the maximum principal amount of $5,800,000 for the purposes of refunding the Series 2003 Note, financing public improvements to be undertaken by the City in the Redevelopment 'Proj ect, funding a debt service reserve fund for the Bonds, if determined to be necessary to market the Bonds, and paying costs of issuance of the Bonds. The Bonds shall be sold to Dougherty. & Company LLC (the "Underwriter"), pursuant to a Bond Purchase Agreement between the Authority and the Underwriter (the "Bond Purchase Agreement"), in the form approved by the Executive Director within the limitations provided in this Section 2. The Bonds shall be payable solely from tax increment revenues from the Commercial Development Property pledged to the payment thereof pursuant to the Indenture and from certain funds held by the Trustee under the Indenture and pledged to the payment of the Bonds. 2.02. The Executive Director is hereby authorized to approve (i) the purchase price to be paid by the Underwriter for the Bonds; (ii) the aggregate principal amount of the Bonds, provided that such principal amount -.is not in excess.of $5,800,000; (iii) the maturity schedule of the Bonds, provided that the Bonds mature at any time or times in such amount or amounts not exceeding 30 years from the date of issuance thereof; (iv) the provisions for prepayment and redemption of the Bonds prior to their stated maturity; and (v) the interest rates for the Bonds, provided that no interest rate on any of the Bonds exceeds 6.50% per annum. Such approval b pp y the Executive Director shall be conclusively evidenced by the execution .of the Bond Purchase Agreement as provided herein by the Executive Director. Section 3. Approval of Documents. ..2- 62 3.0 1. The forms of the Indenture and Continuing Disclosure Certificate are hereby approved, subject to such modifications as are approved by the Executive Director, within the limitations provided in Section 2 hereof which approval shall be conclusively presumed by the execution therof by the Executive Director. The Chair and Executive Director are hereby authorized to execute and deliver the Bond Purchase Agreement, the Indenture and the Continuing Disclosure Certificate on behalf of the Authority. The Chair and Executive Director and other officers of the Authority are hereby authorized to execute such other instruments as may be required by the Indenture or Bond Purchase Agreement or to give effect to the transactions herein contemplated. 3.02. The form of the Preliminary Official Statement is hereby approved subject to such modifications as may be approved by the Executive Director. The Executive Director is authorized on behalf of the Authority to deem the Preliminary Official Statement near final as of its date, in accordance with Rule 15c2 -12(b)(1) promulgated by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Upon sale of the Bonds the Executive Director is hereby authorized to approve the form of an Official Statement in substantially the form of the Preliminary Official Statement with such revisions as are approved by the Executive Director. 3.03.. The Chair and the Executive Director are authorized and directed to prepare and execute the Bonds as prescribed herein and in the Indenture and to deliver them to the Trustee, together with a certified copy of this resolution, the other documents required in the Indenture, and such other certificates, documents and instruments as may be appropriate to effect the transactions herein contemplated. The Trustee is hereby appointed authenticating agent for the Bonds pursuant to Minnesota Statutes, Section 475.55, Subdivision 1. 3.04. In the absence or disability of the Chair, any of the documents authorized by this resolution to be approved and executed by the Chair .may be so approved and executed by the Vice Chair. In the absence or disability of the Executive Director, any of the documents authorized by this resolution to be approved and executed by the Executive Director may be so approved and executed by the Secretary or Treasurer of the Authority or by such other officer of the Authority who, in the opinion of the attorney for the Authority may execute such documents. Section 4. Commitment Conditional. The Authority retains the right in its sole and absolute discretion to withdraw from participation and accordingly not issue the Bonds should the Authority at any time prior to the execution and delivery of the Bond Purchase Agreement by the Authority determine that it is in the best interests of the Authority not to issue the Bonds or should the parties to the transaction be unable to reach agreement as to the terms and conditions of any of the documents required for the financing. Section 5. Authentication of Transcript. The officers of the Authority are hereby authorized and directed to prepare and furnish to the Underwriter, and to Dorsey & Whitney LLP, the attorneys rendering an opinion as to the legality thereof, certified copies of all proceedings and records relating to the Bonds and such other affidavits, certificates and information as may be required to show the facts relating to the legality and marketability of the -3- 63 Bonds, as the same appear from the books and records in their custody and control or as otherwise known to them, and all such certified copies, affidavits and certificates, including any heretofore furnished, shall be deemed representations of the Authority as to the correctness of'all statements contained therein.. Section 6. Tax Matters. 6.01. Certification. The Chair and Executive Director being the officers of the Authority charged with the responsibility for issuing the Bonds pursuant to this Resolution, are authorized and directed to execute and deliver to the Purchaser a certificate in accordance with Section 148 of the Code, and applicable Regulations, stating the facts, estimates and circumstances in existence on the date of issue and delivery of the Bonds which make it reasonable to expect that the proceeds of the Bonds will not be used in a manner that would cause the Bonds to be "arbitrage bonds" within the meaning .of the Code and Regulations. 6.02. Qualified Tax -Exempt Obligations. In order to enhance the marketability. of the . Bonds, and since the Authorityand all subordinate entities do not reasonably expect to issue in y p excess of $10,000,000 of governmental and qualified 501(c)(3) bonds during calendar year 2006, the Bonds are hereby designated by the Authority as "qualified tax-exempt obligations" for the purposes of Section 265(b) of the Code. Adopted March 14, 2006. Attest: Executive Director In 64 Chair Lai 16;11111111 Our Mission is to be progressive and livable community, a walkable village, which is safe and secure. CITY COUNCIL MEETING AGENDA. March 14, 2006 Call to Order, Roll Call, Consideration, Discussion, and Possible Action on All of the following items: I* Approval of the March 14, 2006, City Council Meeting Agenda. (action requested.) Iie Proclamations a nd Recognitions. III. Consent Agenda These items are considered routine and will be enacted by one motion. There'will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. A. Approval of February 14, 2006, Council Meeting Minutes. (p. 65-74) B. Licenses and Permits. (p. 75-77) C. Claims. (p. 78-82) IV. Public Hearings-, A. Resolution 06-027; Modification for Redevelopment project area no. 3, the modification of the Chandler Place Tax Increment Financing District and the modification of Tax Increment Financing District no. 3-5. (p. 83-86) V. Reports from Commission and Staff. VI. General Business of Council. (action requested on all items) Stacie Kvilvang, Ehlers & Associates, presenting the following: A. Resolution 06-028; The Sale of G.O. Improvement Bonds Series 2006A; Stacie Kvilvang, Ehlers & Associates, presenting. (p. 87-114) B. Resolution 06-029; Approve the Sale of TIF Revenue Bonds for Silver Lake Village. (p. 115-119) C. Resolution 06-030; Police Contract with City of Lauderdale, presented by City Manager. (p. 120-126) VI. Reports From City Manager and Councilmembes. VII. Community Forum. Individuals may address the City Council about any item not included on the regular agenda. Speakers are requested to come to the podium, sign their name and address on the form at the podium, state their name and address for the Clerk's record, and limit their remarks tofive minutes. Generally, the City Council will not take official action on items discussed at this time, but may typically refer the matter to staff for afuture report of direct the matter to be scheduled on an upcoming agenda. VIII. Information and Announcements. IX Miscellaneous Informational Documents X. Adjournment. 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 31 32 33 34 35 36 37 38 39 40- 41 42 43 44 45 46 47 48 49 CITY OF ST. ANTHONY CITY COUNCIL REGULAR MEETING MINUTES FEBRUARY 14, 2006 CALL TO ORDER. Mayor Faust called the meeting to order at 7:00 p.m. PLEDGE OF ALLEGIANCE. Mayor Faust invited the Council and audience to join him in the Pledge of Allegiance. ROLL CALL. Present: Mayor Faust; Councilmembers Horst, Gray, and 'Stifle. Absent: Councilmember Thuesen. Also Present: City Manager Mike Mornson and City Attorney Jerome Gilligan. CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING ITEMS. I. APPROVAL OF FEBRUARY 14, 2006 CITY COUNCIL MEETING AGENDA. Motion by Councilmember Horst, seconded by Councilmember Stille, to approve the City Council Meeting Agenda of February 14, 2006. Motion carried unanimous II. PROCLAMATIONS AND RECOGNITIONS. None. III. CONSENT AGENDA, A. Consider January 24, 2006 Council meeting minutes. B. Consider licenses and permits. C._ Consider parent of claims. Motion by Councilmember Gray, seconded by Councilmember Stille, to approve, the Consent Agenda items. Councilmember Stille stated the minutes should be changed on page 5, line 21, from Jeff Reynolds to Jeff Farenholtz. Motion carried unanimously. IV. PUBLIC HEARINGS, Mayor Faust opened the public hearing at 7:05 p.m. for Items IV. A., B. and C. A. Resolution 06-017; Ordering 2006 Street Improvements, Todd Hubmer, WSB, Dresentina Mr. Hubmer explained the project managers, city engineers, he and others have recommended awarding the contract for the 2006 street reconstruction project to the low bidder of Northdale Construction Inc. with a bid amount of $1,473,035.77. The information and contact numbers for residents to call if there are issues with the reconstruction will appear in the next newsletter. The 65 City Council Regular Meeting Minutes February 14, 2006 Page 2 1 project is proposed for the east area. It will consist of street reconstruction and replacement of 2 water main, sanitary sewer, and storm sewer on the following streets: 3 4 1. 30th Avenue NE from Stinson Boulevard to Wilson Street 5 2. Murray Avenue 6 3. Roosevelt Street from St. Anthony Boulevard to 30th Avenue NE 7 4. Coolidge Street from St. Anthony Boulevard to 29th Avenue NE 8 5. Alley south of Murray from Wilson Street to Roosevelt. 9 10 Mr. Hubmer noted that driveway placement issues are consistent in each of the projects. They 11 are reviewing the process and will send out information on the process that is chosen. They try 12 to improve the process each year. There are always issues with contractors on private driveways. 13 He stated they will do their best to keep construction issues to a minimum. If there are any 14 special needs or events, he asked that the residents call Jay Hartmann at the City Hall. In 15 addition, he asked that if residents have sprinkler systems, they make the engineers aware so that 16 any potential repair needs are lessened. 17 18 Mr. Hubmer explained that Centerpoint and Minnegasco will be on site annually, and they have 19 asked them to come before construction begins. Proj ect completion-is anticipated to .be the end 20 of October. Street assessments for the street portion are assessed at 35% to residents along 21 project, and 65% to the city. Assessments are calculated on lineal street footage. There are no 22 assessments for 29th Avenue. Lots with curbs are similar to corner lot calculations. Please call 23 city hall if there are issues. There are a number off odd-shaped lots in this improvement series. 24 He further explained that if two formulas are possible for an odd-shaped lot, they will run both 25 analyses, and choose the one that assesses the least to the resident. 26 27 Mr. Hubmer listed the payment due dates. Deferred payments are possible according to income 28 qualifications. He advised the residents talk to Roger Larson at City Hall if they would like more 29 information. He noted the average payment in the first year 2007 is $508. The last payment will 30 be in 2021. 31 32 Mayor Faust asked if any residents wished to speak. 33 34 Mayor Faust closed the public hearing at 7:14 p.m. 35 36 Motion by Councilmember Gray, seconded by Councilmember Stille, to adopt Resolution 06- 37 6-37 017 re: A Resolution Ordering Improvements. 38 39 Motion carriedunauimo s �y. 40 41 B. Resolution 06-018; Adopt and Confirm Assessments for 2006 Street Improvements. 42 Motion by Councilmember Stille, seconded by Councilmember Gray, to adopt Resolution 06- 43 018 re: A Resolution Adopting and Confirming Assessments for 2006 Street and Utility 44 Improvements. 45 46 Motion carried unanimouusl�. 47 66 City Council Regular Meeting Minutes February 14, 2006 Page 3 1 C. Resolution 06-019; Award bid for 2006 Street Improvements to Contractor 2 Motion by Councihnember Horst, seconded by Councilmember Gray, to adoptt Resolution 06- 3 019 re: to Award Bid for 2006 Street Improvements to Contractor. 4 5 Motion carried unanimously. 6 7 V. REPORTS FROM COMMISSION AND STAFF, 8 A. Resolution 06-020; State Aid Street. 9 Mr. Hubmer explained that the resolution redesi ates Municipal State Aid streets in the Cit of � p y 10 St. Anthony village. He said the proposal is to remove 27th Avenue NE from the system and add 11 Rankin Road from 33d Avenue to Old Highway 8 as well as Old Highway 8 from Rankin Road 12 to the access road 188 feet west of CSAH 88. 13 14. Councilmember Stille clarified that we are adding .52 miles. Mr. Hubmer answered this is 15 correct. 16 17 Councilmember Stille asked if this would be easy to change in the future. Mr. Hubmer said it 18 would be. 19 20 Councilmember Stille inquired whether there are advantages or disadvantages to living on a state 21 aid street. Mr. Hubmer said in St. Anthony, there are no assessments for living on a state aid 22 street. 23 24 Motion by Councilmember Gray, seconded by Councilmember Horst to adopt Resolution 06-020 25 re: A Resolution Updating the Municipal State Aid Street System. 26 27 Aye's 3, Abstain ; 1(Stille.), Motion carried. 28 29 B. Resolution 06-021; Adopting Wellhead Protection Plan. 30 Mr. Hubmer explained as reported, St. Anthony has completed all phases and requirements for 31 this plan as required by the Minnesota Department of Health. He requested the Council adopt 32 this plan which requires implementation in the near future. St. Anthony will need to work with 33 the surrounding communities in some aspects of the plan. 34 35 Motion by Councilmember Stille, seconded by Councilmember Horst to adopt Resolution 06- 3.6 021 re: Adopting St. Anthony village Wellhead Protection Plan. 37 38 Motion .carried ,unan moss. 39 40 C. Resolution 06-022; Authorizing a Task Force for Comprehensive Plan. 41 Mr. Mornson stated the Comp Plan was last updated in 1998 and under state statute. All cities in 42 the metro area are required to complete an update to their Comp Plan every 10 years. He noted 43 we will be advertising for task force members with appointments of members to take place 44 approximately April 11. This task force will be asked to look at sidewalks and street lights. 45 46 Councilmember Horst asked if this is premature. It seems we are two years ahead of schedule. 47 Mr. Mornson answered the plan must be submitted to the Met Council by January 1, 2008. The 67 City Council Regular Meeting Minutes February 14, 2006 Page 4 1 earlier a plan is submitted, the better chance there is of getting the Plan approved. He pointed 2 out that this is not only the Comp Plan, but there are several more components that make u the p p 3 Comp Plan. 4 5 Councilmember Horst asked if he is envisioning the task force to be over the summer months. 6 Mr. Mornson replied the task force will meet every other month between May and fall. 7 8 Mayor Faust encouraged two Councilmembers to attend this task force. 9 10 Motion by Councilmember Gray, seconded by Councilmember Stille to adopt Resolution 06-022 11 re: A Resolution Authorizing the Establishment of a Task Force to Prepare an Update to the City 12 of St. Anthony's Comprehensive Land Use Plan as Required by the State of Minnesota. 13 14 Discussion: 15 Councilmember Stille commented that he read Lake Elmo is just getting their 1998 Comp Plan 16 approved now. He said there is a lot of important work to be done, and he encouraged the 17 residents to volunteer for the Comp Plan Task Force. He added that many of the goals in the 18 1998 Comp Plan have been accomplished. 19 20 Motion carried unanimously. 21 22 D. Resolution 06-023; Authorization for Request for Proposals from Planning Firms for the 23 Comprehensive Plan. 24 Mr. Mornson _explained this is the second component for the Comp Plan. This resolution will 25 give Staff the authority to develop an RFP for planning consultants and to distribute the RFP to 26 qualified firms. He said they will compile a list of Planning Consultants who have responded to 27 the City's RFP for Council review and approval at the April 11 meeting. 28 29 Councilmember Horst asked if this will follow the low bid process. Mr. Mornson explained that 30 this will not. Because it is a service, no low bid is required. We can recommend who we believe 31 will do the best job for the community. 32 33 Motion by Councilmember Horst, seconded by Councilmember Stille to adopt Resolution. 06- 34 023; re Authorization for Request for Proposals from. Planning Firms for the Comprehensive 35 Plan. 36 37 Motion carried unanimously. 38 39 VI, GENERAL POLICY LICY BUSINESS OF THE COUNCIL, 40 A. Resolution 06-024; Calling for Bond Sale. 41 Ms. R.vilvang stated the bond issues consist of several purposes which are: an improvement 42 portion to finance the 2006 road reconstructionJ ro' ects, and a current refunding of the 2004B p g 43 GO Temporary Improvement Bonds, and the 1998A GO Improvement Bonds. This bond will be 44 for a 15 year term. She pointed out there is a copy of a spreadsheet in- the packet that explains 45 the cashflow schedule. 46 68 City Council Regular Meeting Minutes February 14, 2006 Page 5 1 Ms. Kvilvang explained the second.portion of the bond is the 2004 issuance. She noted they 2 were three-year temporaries. This will be a 15 -year bond as well. 3 4 Ms. Kvilvang said the 1998 GO Improvement Bond is something that is looked at annually. 5 They were originally issued in the amount of $725,000 and are callable in the amount of 6 $460,000 which matures on February 1 in the years 2007 through 2014. Current coupon rates 7 are 4.50% to 5.00%. 8 9 Councilmember Stille asked whether the interest rates are built in. He said the refinancing of the 10 $475,000 saves $14,000. Ms. Kvilvang stated it is in our best interest to sell these. She said they 11 do try to have cost savings on the closing costs. She added that there will not be re -amortizing 12 and the length is kept the same. 13 14 Motion by Councilmember Gray, seconded by Councilmember Stille to adopt Resolution 06-024 15 re: Resolution Providing for the Sale of $3,190,000 General Obligation hnprovement Bonds 16 Series 2006A. 17 18 Motion carried unanimously. 19 20 B. Resolution 06-025 • Authorize an increase in the princi-pal amount of interfund loans for 21 Tax Increment Financing District No. 3-5. 22 Ms. Kvilvang explained that on June 14, 2005, the HRA approved an interfund loan in an 23 amount up to $200,000 for various administrative and capital expenditures in TIF District 3-5, in 24 connection with the 1Vorthwest Quadrant Redevelopment Project. The reason for the 25 advancement to this District is that the first increments generated in the District will not occur 26 until 2006 and may not be sufficient to pay for advancements to the District by the HRA and 27 other third party obligations. 28 29 She noted that to date, the HRA has not advanced any funds to the TIF District under the Prior 30 Loan Resolution. However, the HRA anticipates it will now need to advance funds to the 31 District to pay for various project costs in excess of the $200,000. In order to accommodate this 32 expenditure and future unforeseen expenditures, the interfund loan cap g is being raised to 33 $500,000. 34 35 Ms. Kvilvang indicated that the "blanket" resolution is so the HRA will not have to complete an 36 interfund loan every time it is going to expend administrative costs in this district. 37 38 Motion by Councilmember Stille, seconded by Councilmember Horst to adopt- Resolution 06- 39 025 re: Authorizing an Increase in the Principal Amount of Interfund Loans for Tax Increment 40 Financing District No. 3-5. 41 42. Motion carried' unanimously® 43 44 C. Resolution 06-026, Approve preliminary lay out for Silver Lake Road. Hennepin County 45 Representatives resenting_ -46 Craig Twinem, Hennepin County Transportation Department, along with Commissioner 47 Stenglein presented. 69 City Council Regular Meeting Minutes February 14, 2006 Page 6 1 2 Commissioner Stenglein thanked the Council and the task force for their personal time into this 3 project. He said the County is doing large things on Lowry Avenue as well. He said potentially 4 there will be a new bridge over the river. 5 6 Mr. Twinem stated this Resolution seeks prelinlinary layout approval from St. Anthony 7 Boulevard to 37th Avenue NE.- He noted he met about five times with the task force. The 8 preliminary design evolved through the meetings. The task force was comprised of 25 residents. 9 The plan we will present is a plan that takes into consideration all of the stakeholder ideas and as 10 well as a road that will swerve the community for 50 years. 11 12 Mr. Hubmer said a set of values was developed with the task force. There were a number of p . 13 categories that were important to the task force. The biggest priority was sidewalks on both 14 sides. Followed by utilities, then lighting along the corridor, and then preserving the Village 15 identity and character. The value that received the largest point total by far was sidewalks on 16 both sides. This lines up with the Village statement to create a walkable environment. He said 17 in one of the first meetings with task force they tried to identify the existing concerns today and 18 what will they be in the future. 19 20 Mr. Twinem. said they gave the task force the assignment to look at other roads with similar 21 characteristics to Silver Lake Road. Out of this came design alternatives. Knowing this would 22 be a two-lane road, we recognized there would be a need to have shoulders. Shoulders need to 23 be 8 feet so it is safe. As the discussion evolved, more. of the people living on the roadway, 24 chose to go for parking versus an 8 foot shoulder. There are areas at key intersections where we 25 have developed bump outs. They have been placed at intersections to shorten the path for people 26 to cross the street. This will also prevent passing on the right. He said.they have heard 27 comments from the open house and on comment cards that some people do not like the impact 28 the sidewalk will have. There will be no green space between the curb and sidewalk. There will 29 be a space for utility equipment, snow storage, etc. The sidewalks do not create an additional 30 footprint in terms of the project. 31 32 Mr. Twinem explained as we move down the road from Hilldale to the north fire .station 33 entrance, we have developed a lot of right turn lanes. The two lane approach at intersections is 34 safer. 35 36 He went over the project schedule. They will begin the final design in March. A cost sharing 37 agreement will be developed in the fall of 2006. Construction will begin in 2007. Some 38 easement permissions are needed for this project. There will be retaining as part art of the 39 project to minimize property impact. He noted an initial assessment has been done. He stated 40 they will work closely with power companies to try to bur the lines. There may be a small cost Y Y 41 associated with this. r, 43 Mr. Twinem invited questions from the audience. 44 45 Elise woodhall, 3500 Silver Lake Road, said she does not see the need for an extra turn. lane 46 there. As this proj ect- is proposed, she will lose all the trees in her front yard. 47 70 City Council Regular Meeting Minutes February 14, 2006 Page 7 1 Mr. Twin.em responded this is a request for an approval of the footprint only. There are number 2 of private driveways in that location. We did get positive feedback from the Fire Department 3 that applauded the left turn lane. This will help the fire department get their vehicles in the 4 station safely. 5 6 Commissioner Stenglein asked if the apparatus are on the road often. Mayor Faust responded Y p 7 there is a two -minute response time throughout the city. He added that they also go out and to 8 conduct inspections, likely with smaller vehicles, and there are trainings. 9 10 Coun'cilmember Horst said this area in front of City Hall is active as far as turning traffic. The 11 turn lane was developed for that part of the road only. The initial thought was to have this kind 12 of turn lane up and down the entire corridor, but that was re 0 ected. He added that by 13 consolidating some of the accesses, there will be an increase in the number of parking stalls off 14 the roadway. 15 16 Chris Swanson, 3027 Silver Lake Road, asked if bus stops will be moved. He has trouble getting 17 out of his driveway in the morning since the busses hold up traffic. He said bumpouts may make 18 traffic back up. He also mentioned that at the public hearing, it looked as though the sidewalks 19 would be 6 feet. 20. 21 Mr. Twinem said the comments reflect some of the give and take by the people at the meeting. 22 He stated the bumpouts could impede traffic. They felt the bumpouts were a way to make a safe 23 road and prevent from passing on the right. In respect to the 6 foot sidewalk, we are going to 24 grade and flatten out the area anyway. We feel is the appropriate width according to a street like 25 this. 26 27 Mayor Faust mentioned that we found children walk three abreast, not two, when walking down 28 the sidewalk. The wider the sidewalk, the safer for the children. 29 30 Councilmember Horst said there was a lot of discussion on the width of sidewalks at the 31 meetings. Five-foot sidewalks were discussed, but found to be too intrusive. They felt the best 32 prospect was to have 6 foot sidewalks. This provides safety and a place for snow to stack. 33 34 Mr. Hubmer pointed out that by widening the sidewalk area, there is a greater chance of getting 35 onto Silver Lake Road. 36 37 Mayor Faust said he has issues with 37th coming south. He said he didn't like two lanes, but 38 thought the right turn lane would be appropriate. He said he is overall very pleased with what 39 the task force has done. We get one chance to do this every 50 years and would like us to put 40 100% into it. He said he would be open to considering whether this is needed in front of the fire 41 station. He said we should take a look at it as a courtesy.. He added that this was a good design, 42 created in a short amount of time. 43 44 Councilmember Stille mentioned this is a short time line. 45- 71 City Council Regular Meeting Minutes February 14, 2006 Page 8 1 Mr. Twinem said we are behind the 8 -ball. In order to determine the construction limits, we 2 have to get going on a detailed design. A 3-D model must be generated. We are looking at trying 3 to get this under construction in April of next year. 4 5 Commissioner Sten lein explained the last block of road between 36th and St. Anthonyg p 6 Boulevard can be left to look at later. This layout can be approved now in order to get a detailed 7 design going. He stated we must talk with Ramsey County regarding that portion anyway. 8 9 Mr. Twinem added that they can come back to the Council after further discussion with Ramsey 10 County with the final proposal. 11 12 Mayor Faust said he is not concerned to approve the resolution with caveats. We want to see this 13 go forward. We may put caveats on this. We want to do it right the first time. 14 15 Councilmember Horst commented that he feels the engineers will look at this and the Mayor 16 may not speak for the entire Council in regards to the turn lane. He said he is interested in 17 moving traffic along this road. We expect more traffic in the future. He has seen the backups 18 and is bad many times during the day. 19 20 Councilmember Gray clarified he was on the task force and this was a concern brought up by 21 people on the task force. He has the concern as well. We will encroach further on the houses on 22 the west side in order to keep the two lanes. The other thing is when we saw the model, traffic 23 was being backed up to 39th. Silver Lane is quite a bit further. Initially it was 1,000 feet and it 24 brought it to 39th, 25 26 Motion by' Councilmember Stille, seconded by Councilmember Horst to adopt Resolution 06- 27 026 re: Approve Preliminary Layout No. 3 for the Improvement of Silver Lake Road (CSAH 28 13 6) frond. St. Anthony Blvd. to 37th Avenue NE. 29 30 Councilmember Gray thanked Commissioner Stenglein and County and City Staff, as well as the 31 task force for their work. He said this is a great plan. He noted his concern is with 37th Avenue 32 and that is a small part of the project. He offered an amendment to the motion to include the 33 reduction of lanes south bound to one. 34 35 Motion by Councilmember Gray, seconded by Mayor Faust, to amend the motion to add: to 36 include the reduction of lanes southbound 37th Avenue to one, thereby necessitating a right turn 37 only lane on Silver Lake Road. 38 39 Councilmember Horst stated if this Council is indicating that without a right turn only lane, this 40 is a deal buster and we .don't want Silver Lake Road finished, he would vote against the 41 amendment. He said this question has been looked at. To put this in the Resolution forces them 42 to create a turn lane, and they are saying that cannot be done. 43 44 Councilmember Stille commented there are a lot of rewards that we can acquire by going 45 forward such as sidewalks, street lights, corridor connecting the north to the south, bump outs 46 allowing safer commuting or walkers, burying underground power lines. He said he agrees with 47 Councilmember Horst in that he is willing to ask engineers to look at that again, but not at the 72 City Council Regular Meeting Minutes February 14, 2006 Page 9 1 risk of j eopardizing the project. If it is a deal breaker, he stated he will not vote for it. If it is a 2 message that says look at this again, he will vote for it. 3 4 Mayor Faust said this is a way for us to get them to look at this. 5 6 Mr. Twinem explained that if the amendmentasses, it is a one -lane southbound approach and p pp 7 he cannot speak on behalf of Ramsey County. He proposed to look at the layout as shown today. 8 Then it can be determined what. the impacts are and it can be brought back to the Council. 9 10 Commissioner Stenglein commented that this issue will come back to the Council, so the 11 amendment is not necessary at this time. 12 13 Mayor Faust stated he does not want this issue to be lost. He said if he can be assured that this 14 will be looked at, he would withdraw his second. 15 16 Mr. Twinem assured Mayor Faust that they will look at it. 17 18 Commissioner Stenglein said he would give the commitment that it will be looked at. 19 20 Motion by Councilmember Gray to withdraw his amendment to the motion regarding Resolution 21. 06-026 re: Approve Preliminary Layout No. 3 for the Improvement of Silver Lake Road (CSAH 22 13 6) from St. Anthony Blvd. to 37th Avenue NE. 23 24 Motion carried Wianimousl�. 25 26 VII, REPORTS FROM CITY MANAGER AND COUNCILMEMBERS. 27 City Manager Mornson reported the following: 28 e A wireless workshop was held with the Consultant. The School staff and business from 29 the Chamber of Commerce were invited. A- feasibility report will be presented at a 30 Council meeting in April. 31 9 .Reports on I and I will be presented in April. 32 ® Updates on the new water meter reading will be presented in April. 33 There will be two public hearings at the March Planning Commission meeting including 34 one for a variance for parking, and another for a Conditional Use Permit for a hair salon. 35 9 Ehlers will present an update on the Silver Lake Village project in March. 36 9 As there are no items on the agenda for the February 28 Council Meeting, consideration 37 should be given to cancel the meeting. 38 9 An appointment to the North Suburban Cable Commission needs to be made along with 39 an alternate appointment. The next meeting is March 2. 40 41 Motion by Mayor Faust, seconded by Councilmember Horst to appoint Councilmember Hal 42 Gray as the North Suburban Cable Commissioner, and Kim Moore -Sykes as alternate Cable 43 Commissioner. 44 45 Motion carried unanimous 46 . 47 Councilmember Stille had no report. 73 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. 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 City Council Regular Meeting Minutes February 14, 2006 Page 10 Councilmember Gray reported that the final summary report from Northwest Youth and Family Services is received. He is on the board. The total amount of services was $9,024. We paid $2,600. At the last meeting, the By -Laws were changed to meet every other month from now on. The first meeting this year will be this coming Thursday. Councilmember Horst reported that at the end of January, the final meeting with the Silver Lake Task Force was held. He thanked the members for their work. Mayor Faust indicated that on 28th of January, the City welcomed a new business in the place of the former Hitching Post. On the 30 of January, he was invited by the Mayor of the City of Columbia Heights to meet with the senator on the subject of Eminent Domain. The Mayors of Fridley, Arden Hills, Columbia Heights and a representative from New Brighton were there. This will be an issue on the fast track at the legislature. In -6 years, only 15 cities have used Eminent Domain. Our position is that we have to go after those abusing the system.. He also reported that there was a meeting on January 31 with the School Board. He attended a public finance seminar on the 2nd and 3rd of February. He an encouraged one to attend this seminar Y next year. VIII. COMMUNITY FORUM. Mayor Faust invited residents to come forward at this time and address the Council on items that are not on the regular agenda. Hearing none, Mayor Faust moved forward with the agenda. IX. INFORMATION AND ANNOUNCEMENTS, Mayor Faust noted there. is nothing on the agenda for the February 28 Council meeting and he recommended this meeting be canceled. The Councilmember unanimously agreed to cancel the February 28 Council meeting. X. MISCELLANEOUS INFORMATIONAL , A .- XI. ADJOURNMENT. Mayor Faust adjourned the meeting at 8:42 p.m. Respectfully submitted, Chris Moksnes TimeSaver Off Site Secretarial, Inc. ATTEST: City Clerk 74 Mayor Saint Anthony Village DATE: March 14, 2006 . Approved: TO: Mayor and Councilmembers FROM: License Clerk ITEM: License and Permits for Approval: Heating Contractor License: Northern Heating & A/C, Ramsey, MN Team Mechanical, Mpls, MN General Contractors License: Asphalt Driveway, Maplewood, MN Benson -Orth Associates, Minnetonka, MN D J Kranz, Plymouth, MN G A Construction, St. Paul, MN Rainbow Tree, St. Louis Park, MN Bench License: U.S. Bench, Mpl s, MN Garbage Haulers License: Allied Waste Services of North America, Circle Pines, MN Aspen Waste Systems, Mpls, MN Walters Recycling & Refuse, Circle Pines, MN Waste Management of MN, Blaine, MN Amusement Machines/Devices License: Applicant: American Coin Merchandising, 397 Taylor Ave, Louisville, CO 80027 Location: 3800 Silver Lake Rd, St. Anthony, MN 55421 Cigarette/Tobacco Products License: Applicant: Cub Foods #31274, P.O. Box 990, Mpls, NLN 55440 Location: 3930 Silver Lake Rd, St. Anthony, MN 55421 Applicant: Freedom Valu Center, 1231 Industrial St, Hudson, WI 54016 Location: 3 810 Silver Lake Rd, St. Anthony, MN 5 5421 Applicant: Fuel Mart III, 3 917 Fordham Dr, St. Anthony, MN 55421 Location: 240037 th Ave, St. Anthony, MN 55421 Applicant: Fuel Mart, 3 917 Fordham Dr, St. Anthony, MN 55421 Location: 3 813 Stinson Blvd, Mpls NtN 55421 Applicant: Mini Mart, 11051 Nassau Cir, Blaine, MN 55449 Location: 3259 Stinson Blvd, St. Anthony, NIN 55418 Applicant: Mourado's Tobacco, 3 917 Fordham Dr, St. Anthony, MN 55421 75 Location: 3809 Stinson Blvd, St. Anthony, MN 55421 Applicant: Murphy'sService Center, 1501 Timber Ridge, Fridley, MN 55432 .� g Y Location: 350129 Ave, St. Anthony, MN 55418 Applicant: St. Anthony Village Wine & Spirit, St. Anthony, MN Location: 2601 39th Ave, St. Anthony, MN 55421 Applicant: St. Anthony Village Wine & Spirit, St. Anthony, MN Location: 2700 Highway 88, St. Anthony, MN 55418 Applicant: Wal-Mart #3404, 702 8thSt, Bentonville, .AR 72716 Location: 3800 Silver Lake Rd, St. Anthony, MN 55421 Applicant: Walgreens #6735, F.O. Box 901, Deerfield, IL 60015 Location: 3 700 ' Silver Lake Rd, St. Anthony, MN 55421 Service Station License: Applicant: Freedom Valu Center, 1231 Industrial St, Hudson, WI 54016 Location: 3 810 Silver Lake Rd, St. Anthony, MN 55421 Applicant: Fuel Mart, 3917 Fordham Dr, St. Anthony, MN 55421 Location: 2400 37t` Ave, St. Anthony, MN 55421 Applicant: Fuel Mart, 3917 Fordham Dr, St. Anthony, MN 55421 Location: 3 813 Stinson Blvd, St. Anthony, MN 55421 Applicant: Mini Mart, 11051 Nassau Cir, Blaine, MN 55449 Location: 3259 Stinson Blvd, St. Anthony, MN 55418 Applicant: Murphy's Service Center, 1501 Timber Ridge, Fridley, MN 55432 Location: 350129 th Ave, St. Anthony, MN 55418 Applicant: St. Anthony Mobil, 2801 Kenzie Ter, St. Anthony, MN 55418 Location: 2801 Kenzie Ter, St. Anthony, MIST 55418 Applicant: St. Anthony Service, 2700 Kenzie Ter, St. Anthony, MN 55418 Location: 2700 Kenzie Ter, St. Anthony, MN 55418 Vending License: Applicant: American Coin Merchandising, 397 Taylor Ave, Louisville, CO 80027 Location: 3 800 Silver Lake Rd, St. Anthony, 55418 Applicant: C J Enterprises, 3001 Hilldale Ave, St. Anthony, MN' 55418 Location: 3001 Hilldale Ave, St. Anthony, NIN 55418 Applicant: C J Enterprises, 3001 Hilldale Ave, St. Anthony, IVT 55418 Location: 27013 9 h Ave # 1141 St. Anthony, MN 5 5421 76 Applicant: C J Enterprises, 3001 Hilldale Ave, St. Anthony, MN 55418 Location: 2602 30' Ave, St. Anthony, MN 55421 Applicant: Compton's Commercial Cleaning, P.O. Box 48041, Coon Rapids, MN Location: 3801 Chandler Dr. St. Anthony, N INN 55421 Applicant: Cub Foods, P.O. Box 990, Mpls, MN 55440 Location: 3930 Silver Lake Rd, St. Anthony; MN 55418 Applicant: Hollywood Video #300009, 1901 Butterfield Rd #700, Downers Grove, Il Location: 3930 Silver Lake Rd, St. Anthony, MN 55418 Applicant: Wal-Mart #3404, 702 8th St, Bentonville, AR. 72716 Location: 3800 Silver Lake Rd, St. Anthony, MN 55421 Retail 3.2 Beer "Off Sale": Applicant: Cub Foods, 11840 Valley View Rd, Eden Prairie, MN 55344 Location: Cub Foods, 3930 Silver Labe Rd, St. Anthony, MN 55421 Intoxicating Liquor License Applicant: Apple American Limited Partnership , of MNdba Apple bee's Neighborhood Grill & Bar Location: 2800 3.9th Avenue Applicant: Chipotle Mexican Grill/Colorado LLC, dba Chipotle Mexican Grill Location: 2701-- 39th Avenue Combination On=Sale Wine and 3.2 Malt Liquor Combination Applicant: Twin Cities Pasta Company LLC, dba Cabina Italian Kitchen Location: 2700 — 3 9th Avenue NE Suite 102 Wine NopmcP Applicant: Egret Enterprises, Inc,. dba Village Blend Location: 2900 Pentagon Drive 77 ACS FINANCIAL SYSTEM • 02/23/2006 14: Check ST. ANTHONY VILLAGE Register GL540R-VO6,70 PAGE 1 BANK VENDOR. . CHECK# DATE AMOUNT .FIRS BREMER BANK NA 008964 009250 ACCLAIM BENEFITS AMERICAN MESSAGING 26632 02/28/06 26633 02/28/06 1.1162.72 182.71 008512 007835• AMERICAN TEST CENTER, IN ;ARCH WIRELESS-METROCALL 26634 02/28/06. 26635 02./28/06 440.00 48.62 • 008540 009060 ASPEN EQUIPMENT CO BLAINE LOCK & SAFE INC. 26636 02/28/06 .26637 02/28/06 607.36 210.00 . 003714 BUILDING FASTENERS 26638 02/28/06 29.25 00061.0 002380 CATCO CENTERPOIW- -ENERGY MINNE 26639 02/28/06 26640 02/28/06 15'9.92 71713.59 009056 008577• CITY OF ROSEVILLE CITY OF ST. PAUL 26641 02/28/06 26642 02/28/06 1,743.00 6.8.50 009209 CLOSE LANDSCAPE ARCHITEC 26643 02/28/06 1,654.21 008602 008130 CROWN TROPHY DARE AMERICA 26644 02/28/06 26645 02/28/.06 142.16 991.08 008831 DENNY HECKER'S ROSEDALE 26646 02/28/06 79.23 x07371 008698 DISCOUNT STEEL, INC. EHLER.S & ASSOCIATES, INC 26647 02/28/06 26648 02/28/06 182.31 5,000.00 008604- 008647 EMERGENCY, APPARATUS FR.ATTALLONE'S HARDWARE 26649 02/28/06 26650 02/28/06 530.00 22.29 009236 FSH COMMUNICATIONS 26651 02/28106 58.58 •001030 001180 G & K SERVICES INC GOODIN COMPANY 26652 02/28/06 26653 02/28/06 33.0.76 18.61 009152• GRAPHIC SPECIALTIES, INC 26654 02/28%06 310.98 001.300 009263 HACH COMPANY •HANTA.YS, .INC.- 26655 02/28/06 26656 02/28106 233.26 • . 3,165 008944 •001505 HENN CNTY INFO TECH DEPT 'HENNEPIN COUNTY SHERIFF 26657 02%28/06 26658 02/28/06 .07 11120..90 11176.32 008987 009204 HENNEPIN COUNTY TREASURE HENRY SCHEIN, INC. 26659 02/28/06 26660 02%28/06 266.25 48.93 009260 HEWLITT PACKARD COMPANY 26661 02/28/06 330.15 001523 008252 HIGGINS INSURANCE AGENCY HOME DEPOT -CREDIT SERVIC 26662 02/28/06 26663 02/28/06 1,273.93 192.'99 009225 HSBC BUSINESS SOLUTIONS 26664 02/28/06 37.26 009262 .00001 HSBC BUSINESS SOLUTIONS J SPANJER.S Co 26665 02/28/06 26666 02/28/064,-254.00 42.95 007392 LARSON COMPANIES 26667 02128106 124.94. 001980 LEAGUE OF MN CITIES 26668 02/28/06 230.00 004233 .008254 LMCIT % BERKLEY RISK SE � LMCIT � BERKLEY ADMINIST 26669 02/28/06 26670.02/28/06 17,922.00 .; 970.00 008229 LOFFLER BUSINESS SYSTEMS 26671 02/28/06 21367.50 002125 MALENICK/J•OHN 26672 02/28/06 61.00 002230 008419 MENARD LUMBER. MFAPC 26673.02/28106. 27.65 •007340 MINNEAPOLIS FINANCE DEPT 26674 02/28/06 26675 02/28/06 35.Q4 2,61.2.54 007131 MINNESOTA DEPT OF HEALTH 26676 02/28/06 21943.00 009195 MISTER CAR WASH MPCA 26677 02/28/06 215.00 ' .00002 002395 MTI DISTRIBUTING, INC 26678 02/28/06 26679 02/28/06 270.00 96.27 008884 007159 MURLOWSKI PROPERTIES NAPA. AUTO PARTS 26680 02/28/06 7.5 0 002505 008959 N•A RDINI FIRE EQUIP Co NORTH SUBURBAN ACCESS 26681.02%28/06 26682 02/28%06 5,09 103.39 009266 000045 CO NORTHERN WATER WORKS SUP OFFICE 26683 02/28/06 26684 02/28/06 245.54 1.57.47 001230 008805 DEPOT ONE CALL CONCEPTS, INC. -26685 02/28/06 26686 02/28/06 345.87 1.44,95 009139 PETTY CASH --BREMER BANK PROPERTYKEY', INC, 26687 02/28/06 26688 02/28/06 x77.69 004492 003350 QWEST SEH 26689 02/28/06 50.00 391.54 009127 002420 SIMPLEXGRINNELL 26690 02/28/06. 26691. 02/28/06 333.30 722.9 0003490 STAR TRIBUNE STREICHER'S 26692 02/28/06 215.80 .0.0003 ' SUTKOWSKI/SUSAN 26693 02/28/06 26694 02/28/06 31624.85 003260 009264 T A SCHIFSKY & SONS T•A•UTGES REDPATH, LTD. 26695 02/28/06 32,66 54.85 007`337 008907 TIMESAVER OFF SITE SECRE TOUSLEY FORD 26696 26697 02/28/06 06 4'966.75 303 11 - 003560 008449 TRACY PRINTING TWIN CITY - GARAGE DOOR, 26698 02 28/06 26699.02 28106 1.33 56 • 318 50 009171 008336 UNIQUE PAVING MATERIAL UNITED ELECTRIC 26700 02/28/06 26701, 02728/06 147 40 • 21? 26 008227 COMPANY VERIZON WIRELESS .26702 02 28/06 26?•03 02 28/06 24 50 • 60 009047 009042 WHITE BEAR ELECTRIC WORKFLOW 26704 02 28/06 50 528 36 002680 009145 XCEL ENERGY XPRESS GRA.PHI•X SIGN 26705 02 28106 26700 02 28/06 • 175 98 x.5,779.16 SUPP . 2670? 02/28106 / 76.68 BREMER BANK NA 91,007.97 *** ' ?8 ACS FINANCIAL SYSTEM 03/07/2006 14: Check Register ST. ANTHONY VILLAGE GL540R-V06.70 PAGE I BANK VENDOR CHECK# 'DATE AMOUNT FIRS BREMER BANK NA 000020 AA BATTERY CO- 26710 03/15/06 319.23 008242 AFFILIATED COMPUTER SERV 26711 03/15/06 94.48 008450 ANIMAL CONTROL SERVICES, 26712 03/15/06 79.50 007835 ARCH WIRELESS-METROCALL 26713 03/15/06 52.40 008540. ASPEN EQUIPMENT CO 26714 03/15/06 210.40 008237 ASPEN MILLS 26715 03/15/06 15.98 009168 AVENET, LLC 267.6 03/15/06 540..00' 009018 BCA - BTS 26717 03/15/06 90:00 000320 BEISSWENGER APPLIANCE .26718 03/15/06 447.30 007168 BOYER FORD TRUCKS, INC. 26719 03/1.5106 78.40 .00001 BRIGHTON SANDBLASTNG INC 26720 03/15/06 009028 CAPITOL CITY REGIONAL FI 26721 03/15/06- .950'.00 50.00 000610 CATCO 26722 03/15/06 193.47 009056 CITY OF ROSEVILLE 26723 03/15/06 11948.81 009258 CODE -PARTNERS, LLC 26724 03/15/06 91825:76 004107 COMPTON'S COMMERCIAL CLN 26725 03/1.5/06 41169.48. 008831 -DENNY HECKER'S ROSEDALE 26726 03/15/06 242.82 007371 DISCOUNT STEEL, INC. 26727.03•/15%06 104.33 000820 DORSEY & WHITNEY. 26728 03/15/06 2,165.96 009274 ELK RIVER FORD 26729 03/15/06 23,059.35 008153 FILTERFRSH 26730 03/15/06 95.81 009229 FIRSTLAB 26731 03/15/06 139.50 008647 FRATT.A.LLONE'S HARDWARE 26732 03/15/06 21.35 001030 G & K*SERVICES INC - 26733 03/15/06 545.38 001180 GOODIN COMPANY 26734 03/15/06 328.82 001410 HAARMON AUTOGLASS 26735 03/15/06 45.00 008221 HEDBACK,ARENDT, & CARLSO 26736 03/15/06 51000.00 009270 HELENA CHEMICAL CO 26737 03/15/06 443.57 008944 HENN CNTY INFO TECH DEPT 26738 03/15/06 1,406.86 008365 HENNEPIN COUNTY TREASURE 26739 03/.15/06 459.00 009204 HENRY SCHEIN, INC. 26740 03/x5/06 40.0.0 009265 HIR.SHFIELD'S INC 26741 03/15/06 357.06 008252 HOME DEPOT CREDIT SERVIC 26742 03/15/06 35.22 .00001 JADE CATERING 26743 03/1.5/06 55.00 007392 LARSON COMPANIES 26744 03/15/06 2.3.05 008323 LEAGUE OF MINNESOTA CITI 26745 03/15/06 40.00 008434 LEAGUE OF MINNESOTA CITI 26746 03/15/06 140.00 002040 LILLIE SUBURBAN NEWSPAPE 26747 03/15/06 781.55 009271 LITTLE FALLS MACHINE INC 26748 03/15/06 705.63. 002130 MAMA 26749 03/'15/06 18.00 009073 MARCO 26750 03/15/06 255.86 008263 MCLEOD USA, INC. 26751 03/15/06 228.18 002240 METROPOLITAN COUNCIL 26752 03/15/06 341834.07 00901.9 MINNESOTA DEPT OF REVENU 26753 03/1.5/06 376.20 00826.9 MINNESOTA'SHREDDING LLC 26754 03/15/06 56.00 008884 MURLOWSKI PROPERTIES 26755 03/15/06 376.53 007159 NAPA AUTO PARTS 26756 03/15/06 17.02 008959 NORTH SUBURBAN ACCESS CO 26757 03/15/06 17,802.92 009272 NORTHERN FACTORY SALES 1 26758.03/15/06 168.76 000045 008528 OFFICE DEPOT PACE ANALYTICAL SERVICES 26759 26760 03/15/06 03/1.5/06 808.30 311.00 .00003 PALMER/JULIE 26761 03/15/06 14.68 007217 008893 PARTS PLUS PLEAA ATTN: J. F 26762 26763 03/15/06. 03/15/06 9.60 30.00 009203 008369 POSITIVE ID, INC. POSTMASTER - TC METRO HU 26764 26765 03/15/06 03/15/06 310'.93 21000.00 007057 009273 PRAKA.IR RAMSEY COUNTY 26766 26767 03/15/06 03/15/06 37.76 64.55 .00004 SCHELEN-GRAY AUTO ELEC 26768 03/15/06 333.00 008199 009259 SIGNATURE CONCEPTS, INC. SPRINT 26769 03/15/06 207.00 003.155 ST ANTHONY FIRE RELIEF A 26770 26771 03/15/06 03/15/06 250.37 6,000.00 003490 STREICHER'S 26772 03/15106 659.30 .00002 003260 SUBURBAN TENT & AWNING T A SCHIFSKY & SON'S 26773 26774 03/15/06 03/15/06 217.50 217.26 007337 TIMESAVER OFF SITE SECRE. 26775 03/15/06 115.50 008222 TKDA ENGINEERS 2.6776 03/15/06 750.63 008907 008859 TOUSLEY FORD. U.S. BANK 26777 03/15/06 44.74 009171 UNIQUE PAVING MATERIAL 26778 26779 03/15/06 03/15/06 1,068.13 121.84 008227 VERIZON WIRELESS 26780 03/15/06. 324.78 003698 VIKING ELECTRIC SUPPLY 26781 03/1,5/06 67.73 00370.0 VIKING INDUSTRIAL CENTER 26782 03/15/06 11357.50 004494 008273 WASTE MANAGEMENT •- BLAIN WSB & ASSOCIATES, INC. 26783 26784.03115/06 03/15/06 446.73 21,835.76 002680 XCEL ENERGY 26785 03/15/06 7.98. BREMER BANK NA 79 1.47, 046.58 *** s ' ACS FINANCIAL SYSTEM 02/24/2046 10: ST.Check Register GL540R-VANTHONY T70 AGELLAGE 1 BANK VENDOR CHECK#' DATE AMOUNT FIRS BREMER BANK NA 00.9266 NORTHERN WATER WORKS -SUP .26708 02/28/06 157.47 BREMER BANK NA 157-47 80 ACS FINANCIAL SYSTEM 02/27/2006 16: BANK VENDOR LIQR LIQUOR CHECKING ACCOUNT Check Register 008964 ACCLAIM BENEFITS 009058 AMERICAN BOTTLING COMPAN 008794 ARCTIC GLACIER INC. 009122 AROMA WINE INC 008906 ASSURANT EMP BENEFITS 004293 BELLBOY CORP. 009173 BERLSON IMPORTS 009148 BRW ENTERPRISES 002380 CENTERPOINT ENERGY MINNE 004080 CHISAGO LAKES DIST. CO., 008216 CINGULAR WIRELESS 009056 'CITY OF ROSEVILLE 004085 CITY OF ST ANTHONY 00408'6 CITY OF St. ANTHONY 008814 CITY WIDE -WINDOW SERVICE 004095 COCA COLA ENTERPRISES IN 008602 CROWN TROPHY 008557 DAILEY DATA. & ASSOCIATES 008921 DYNAMEX 004120 EAGLE WINE CO 004125 EAST SIDE BEVERAGE CO 008697 EXTREME BEVERAGE 009261, FORESTEDGE WINERY 008647 FRATTALLONE ' S HARDWARE 001030 G & K SERVICES INC 009102 GRAND PERE WINES, -INC 004172 GRAPE BEGINNINGS, INC. 004175 GRIGGS COOPER & CO INC 004207 HOHENSTEIN'S, INC 008252 DOME DEPOT CREDIT SERVIC 009269 HUDAK DISTRIBUTING 004220 JOHNSON BROTHERS LIQUOR 004230 KUETHER DISTRIBUTING CO 002040 LILLIE SUBURBAN NEWSPAPE 008254 LMCIT % BERKLEY ADMINIST 009114 M . AMUNDSON LLP 004265 MARK VII SALES INC 004263 'MARKET AMERICA CORP. 002850 MEDICA CHOICE 009113 MINNESOTA CROWN DISTRIBU 004299 MPLS. OXYGEN CO. 009106 MT GLOBAL 009084 MUZAK - NORTH CENTRAL 008883 NEW FRANCE WINE COMPANY 004334 NORTHEASTER 004354 PAUSTIS & SONS 004360 PHILLIPS WINE & SPIRITS 004372 PLUNKETT'S 004376 PRIOR WINE CO 000710 PRUDENTIAL LIFE INSURANC 004385 QUALITY WINE CO 004492 QWEST 009101 SANDSTONE DISTRIBUTING C 008983 SOULO DESIGN, INC 009183 SPANISH WINES IMPORTERS 009072 SPECIALTY WINES & BEV. L 009083 ST. ANTHONY RETAIL REVEL 008969 STAN MORGAN & ASSOCIATES 009264 TAUTGES REDPATH, LTD. .00001 TEE JAY -NORTH, INC 008824 TRS -COUNTY BEVERAGE, INC 008895 VERIZON DIRECTORIES CORP 008316 WINE COMPANY/THE 008310 WINE MERCHANTS INC 009126 WINE SOURCE INTERNAIONAL 004499 WORLD CLASS WINES, INC. 002680 XCEL ENERGY LIQUOR CHECKING ACCOUNT CHECK# 'DATE ST,-. ANTHONY VILLAGE GL540R-V06.70 PAGE 1 AMOUNT 25426 02/28/06 25427 02/28/06 25428 02/28/06 25429 02/28/06 25430 02/28/06 25431 02/28/06 25432 02/28/06 25433 02/28/06 25434 02/28/06 25435 02/28/06 25436 02/28/06 25437 02/28/06 25438 02/28/06 25439 02/28/06 25440 02/28/06 25441 02/28/06 25442 02/28/06 25443 02/28/06 25444 02/28/06 25445 02/28/06 25446 02/28/06 25447 02/28/06 25448 02/28/06 25449 02/28/06 25450 02/28/06 25451 02/28%06 25452 02/28/06 25453 02/28/06 25454 02/28/06 25455 02/28/06 2545.6 02/28/06 25457 02/28/06 25458 02/28 f 06 25459 02/28/06 25460 02/28/06 25461 02/28/06 25462 02/28/06 25463 02/28/06 25464 02/28/06 25465 02/28/06 25466 02/28/06 25467 02/28/06 25468 02/28/06 25469 02/28/06 25470 02/28/06 25471 02/28/06 25472 02/28/06 25473 02/28/06 25474 02/28/06 25475' 02/28/06 25476 02/28/06 25477 02/28/06 25478 02/28/06 25479 0'2/28/06 25480 02/28/06 25481. 02/28/06 25482 02/28/06 25483 02/28/06 25484 02/28/06 25485 02/28/06 25486 02/28/06 25487 02/28/06 25488 02/28/06 25489 02/28/06 25490 02/28/06 25491 02/28/06 25492 02/28/06 81 161.10 151.20 279.70 91.50 35.96 6,166.45 353.21 96.00 1,438.13 992.60 49.17' 343.91 14,583.34 49,910.83 170'..56 704.80 21.19 590.70 12.96 5,813.87 24,511.80 319.00 368.40 5.10 252.50 2,147.00 1,200.00 17,971.02, 2,324.00 31.01 119.40 31, 834.84 21,000.05 454.00 966.50 11913.25 17,034.39 350.00 5,606.67 112.00 22.45 21.05 49.58 1,236.00- 405.00 4,403.27 34,580.35 65.00 7,609.72 15:36 24,610.66 302.54 124.00 130.00 11,7.88 .1,722.67 1,474.06 4,041.68 11655.50 97.80 242.60 13.75 2,980.42 11,591.82. 571.50 3,558.28 21795.84 314,920.89 .ACS FINANCIAL SYSTEM 03/07/2006 14: Check Register "ST. ANTHONY VILLAGE GL540R-V06.70 PAGE 1 BANK VENDOR' CHECK# DATE AMOUNT LIQR LIQUOR CHECKING ACCOUNT 008794 009122 ARCTIC GLACIER INC. AROMA, WINE INC 25493 03/15/06 91.70 004293 BELLBOY CORP. 25494 25495 03/15/06' 03/15/06 133.50 91321,06 004080 009056 CHISAGO LAKES DIST. CO., CITY OF R.OSEViLLE 25496 25497 03/15/06 03/15106 21911.36 384.53 004085 004086 CITY OF ST ANTHONY CITY OF ST. ANTHONY 25498 25499 03/15/06 03/15/06 141583.34 15,660.02 004095 COCA COLA ENTERPRISES IN 25500 03/15/06 782.00 008557 008219 DAILEY DATA & ASSOCIATES DEX MEDIA EAST 255.01 03/15/06 168.71 004120 '004125 EAGLE WINE CO 25502 25503 03/15/06 03/15/06 201.20• 1,852.77 004135 EAST SIDE•BEVERAGE CO ELECTRO WATCHMAN INC 25504 25$05 03/15/06 -03/15/06 81098.85 1.46.97 008697 009261 EXTREME BEVERAGE FORESTEDGE WINERY 25506 25507 03/15/06 03%15/06 856.00 90.00 001030 009102 G &*K SERVICES INC GRAND PERE WINES, INC 25508 25509 03/15/06 03/15/06 190.42 471.50 004172 004175 GRAPE BEGINNINGS, INC. GRIGGS COOPER & CO INC 25510 25511 03415/06 03%15/06 1,460.50 11,545.00 004207 004220 HOHENSTEIN'S, INC LTOHNSON BROTHERS LIQUOR 25512 25513 G3/15/06 03415/06 21142.70 91858.94 004230 004265 KUETHER DISTRIBUTING CO MIRK VII SALES INC 25514 25515 03/15/06 03/15/06 12,725.23 8,067,93 004263 MARKET AMERICA CORP. 25516 03/15/06 300.00 .'008881 009172 MINNESOTA WINEGROWERS 25517 03/15/06 426.70 004299 -MORE DISTRIBUTING INC MPLS. OXYGEN CO. 25518 25519 03/15/06 03/15/06 135-.00 20.28 008996 008883 NEEDHAM DISTRIBUTING CO NEW FRANCE WINE COMPANY 25520 25521 03/15406 03/15%06 275.50 11952.00 000045 009275 OFFICE . DEPOT PAT KERNS WINE MERCHANTS 25522 25523 03-/15/06 03/15/06 131.39 11875."00 004354 004360 PAUSTIS & SONS PHILLIPS WINE & S-PIRITS 25524 25525 03/15/06 03/15ZOG 11518.05 31763.96 004376 004385 PRIOR WINE CO QUALITY WINE CO 25526 25527 03/15/06 03/15/06 21144.58 10,125.99 009119 008983 RECHECK SOULO DESIGN, INC 25528 25529 03%1.5/06 03/15/06 30.00 292.50 009183 009072 SPANISH WINES IMPORTERS SPECIALTY WINES & BEV. L 25530 25531. 03/15/06 03/15/06 1,052.20 442.00 008824 TRI --COUNTY BEVERAGE, INC 25532 03/15/06 276.20 009156 TWIN CITY LABEL 25533 03/15/06 88.58 008888 008316 VALPAK OF MINNEAPOLIS -ST WINE COMPANY/THE 25534 25535 03/15/06 03/15/06 11450.00 11580.80 008310 WINE MERCHANTS INC .25536 03/15/06 21104.60 •009126 WINE SOURCE INTERNAIQNAL 255.37 034.15/06 122.00 004499 0.09076 WORLD CLASS WINES, INC. XCELERATED COMPUTER SOLU 25538 25539 03/15406 03/15/06 582.00 365.00 LIQUOR CHECKING ACCOUNT 132,798.56** It 82 FREERS & ASSOCIATES INC To: Mike Mornson —City Manager Oc From: G Stacie Kvilvang —Ehlers and Associates Date: March 6, 2006 Subject: Modification to Redevelopment Project No. 3, Chandler Place TIF District and TIF District 3-5 The City and HRA have been working on a Master Financial Plan for future development and redevelopment activities within. the City. Tax increment from the two above referenced districts have been identified as potential funding sources to implement some of the City's and' HRA's development/redevelopment objectives. In order to utilize tax increment from these two districts for various projects throughout the City, the City Council is required to hold a public hearing on the modification to the City's Project Area boundaries and modification to the existing TIF budgets for each district. The Project Area is the area of the City in which tax increment dollars can be expended, whether the area is located within a TIF district or not. Over the years the City has had five different Project Areas. that were comprised of different parcels/boundaries within the City (Kenzie Terrace, Chandler, Highway Eight, Project Area No. 2 and Project Area No. 3).. In an effort to simplify the defined boundaries of the Project Area, this modification will combine all former Project Areas into one, which will be called Project Area No. 3. The new boundaries will be expanded to include the corporate boundaries of the City, meaning that the City can expend tax increment dollars for development/redevelopment purposes anywhere in the City for a qualified project. It should be noted that no changes to either TIF District boundaries are being made with this modification (TIF Districts are not being enlarged). Again, the project does not need to be located within a TIF district, but. must meet the qualified cost requirements of the type/age of district that is expending the funds. In addition, the TIF budgets for both TIF District 3-5 (Apache Plaza Redevelopment) and Chandler Tax Increment District are being modified to bring them into compliance with State Auditor budget requirements. Further, the budget for TIF 3-5 is being modified to reflect actual project activity/development to date. Since the City and HRA are modifying the project area boundaries and the TIF budgets, the modifications are required to go through the entire public hearing process as if the City and HR.A, were creating new TIF districts. As part of this process, the Planning Commission found that the development plans for these two districts are in conformance with the City's general development/redevelopment plans of the City at it's February 21, 2006 meeting. Please contact me at 651-697-8506 with any questions. cc: Jerry Gilligan -- Dorsey & Whitney File LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive Phone: 651-697-8506 Fax: 651-697-8555 Roseville, MN 55113-1105 skvilvang@ehlers-inc.com 83 • - • •, sRedevelopment Legend Project Alb. 3 are co'tenninous with. the corporate • • •. of . 1 • I L CorPorAte Boundary' .! 1,50or 7.50 Feet ■iii t� ■■■�� i� TIF �! �n ■■i iii ! � !�■ 1■■t ■■dl�/ �� r �� i�� :■ii -=��ii �� iii1f111111IiI11 �� ~'�"*� District Chandler Silver Lake Village TI-- -FT- TIF District ��,.�■� Ltd �� iia■ �,t �� -•� ■!! ■�■ i1Ef■■1■!■I■■iiN s■■■■■■■■i■ �o �� ■■ ■i■ �■� it ■illi■■■!■!■■ ;:s �� err. �� .i ii � iiiii!�i �I■■ i1i'1f111!!1� ; 1► : �� '�� iiflill►i�' a lifl■ �� r c�■ ■■�11 �..IlillilA�1�1� . I■ilfilif ��i 111 Iil�lt�lll �IIIf1111l1; ��IIIIIfi11A1111�! �_ �� ilii/= �-- - �� lililllill� ail■Iiiil1i111 � ��■ :� ..,_ ., � �r ��■ 1i111! 111111ii�IllAillilllltl� .�.i w� �'� L" 1illliiliiill■i ■IL1i1111WAi/111 ■t �� : i �1A1111!'i�lllilr: C1111111111A1i1�■ iIiIII1/� � ,� ri, ii ii :1111�1Ilildllr� F-4IAlliflll1ilAt� �+ :+ :C :111111!/lily i� 1� �iM11111111d�lllt s� a,'!,, :."i :::: ;:Ai11l1111111115 �llllilllilllilll l� �� ,�► ;r : ��■� :��/Ilii■ �� Iliill � ,� J � � r 5� � �1Mi "'■ 1 Vii, Jw i'� !ilii■ 11AIIfiliiii11l1i -- esti: sa ■�.�', C iIlA1A1 Ullii■11ii1till� :►'� ��bw'i� '+/i ��' �� J� i�lll■1 ililil� �iiil ��i+,1s��ii rr � � �� iilAlAl ii11i�1f�11il1IA ■I11Ir ili1i11■ � �� !iil111111111 �IIU�t�� ! i 11111 �ilrl��nl■ �ErE'�,j� �' � ,�� IA116111111 li�� 111� ;'� �� Illlllli!!� lllrtyj, � Illl�lllill SIEII� �� • �'r 1111111��t1 14111w�.s �'+ ai Saint Anthon illlliiliilllllflll l��P�'"� r.. V711a s<e TIF Districts WS. 84 Council member CITY OF ST. ANTHONY HENNEPIN AND RAMSEY COUNTIES STATE OF SOTA introduced the following resolution and moved its adoption: RESOLUTION NO. 06-027 RESOLUTION ADOPTING A MODIFICATION TO THE REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO.3 AND ADOPTING A MODIFICATION TO THE TAX INCREMENT FINANCING PLANS FOR THE CHANDLER PLACE TAX INCREMENT FINANCING DISTRICT AND TAX INCREMENT FINANCING DISTRICT NO. 3-5 THEREIN. BE IT RESOLVED by the City Council (the "Council") of the City of St. Anthony, Minnesota (the "City"), as follows: . Section 1. Recitals. 1.01. The Board of Commissioners (the "Board") of the Housing and Redevelopment Authority of St. Anthony (the "HRA") has heretofore established Redevelopment Project Area No. 3 and adopted the Redevelopment Plan therefor and established the Chandler Place Tax Increment Financing District and Tax Increment Financing District No. 3 -5 and adopted the Tax Increment Financing Plans therefor. It has been proposed that the City adopt a Modification to the Redevelopment Plan (the "Redevelopment Plan Modification") for Redevelopment Project Area No. 3 and adopt a Modification to the Tax Increment Financing Plans (the "Tax Increment Plans Modification" or together with the Redevelopment Plan Modification, the "Modifications") for the Chandler Place Tax Increment Financing District and Tax Increment Financing District No. 3 -5 (the "Districts "), all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.001 to 469.047, and Sections 469.174 to 469.1799, inclusive as amended (the "Act"), all as reflected in the Modifications, and presented for the Council's consideration. 1.02. The Council has investigated the facts related to the Modifications and has caused the Modifications to be prepared. 1.03. The City has performed all actions required by law to be performed prior to the adoption and approval of the proposed Modifications, including, but not limited to, notification of Ramsey County and Independent School District No. 282 having taxing jurisdiction over the property included in the District, and the holding of a public hearing upon published notice as required by law. 1.04. ' The City is modifying the boundaries of Redevelopment Project Area No. 3. The boundaries of Redevelopment Project Area No. 3 shall be coterminous with the corporate boundaries of the City of St. Anthony. 1.05. The City is not modifying the boundaries nor term of the Districts. Section 2. Findinjzs for the Tax Increment Plans Modification 2.01. The Council hereby reaffirms the original findings for the Districts, namely that when the Chandler Place Tax Increment Financing District was established, it was established as a "housing district" under Minnesota Statutes, Section 469.174, subd.- 11 and when Tax Increment Financing District No. 3-5 was established, it was established as a "redevelopment district" under Minnesota Statutes, Section 469.174, subd. 10 (a)(1). 85 In addition, the City makes the following findings: (a) The Tax Increment Plan Modifications conform to the general plan for development or redevelopment of the City as a whole. The reason for supporting this finding is that the Tax Increment Plans Modification will generally complement and serve to. implement policies adopted in the City's comprehensive plan. (b) The Tax Increment Plans Modification will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the development or redevelopment of Redevelopment Project Area No. 3. The reason for supporting this finding is that the development activities are necessary so that development and redevelopment by private enterprise can occur within Redevelopment Project Area No. 3. (c) The Tax Increment Plan Modifications organize and update the budgets according to the Office of State Auditor (OSA) reporting forms. Section 3. Public Purpose 3.01. The adoption of the Modifications conform in all respects to the requirements of the Act and will help fulfill a need to develop an area of the State which is already built up, to provide employment opportunities, to diversify the housing stock for the community, to improve the tax base and to improve the general economy of the State and thereby serves a public purpose. Section 4. Approval and Adoption of the Modifications; Film r 4.01. The Modifications are hereby approved, and shall be placed on file in the office of the City Clerk. Approval of the Modifications does not constitute approval of any project or a development agreement with any developer. 4.02. The staff of the City are authorized to file the Modifications with the Minnesota Department of Revenue and Office of the State Auditor pursuant to Minnesota Statutes 469.175, Subd. 4a. 4.03. The staff of the City, the City's advisors and legal counsel are authorized and directed to proceed with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and present to this Council for its consideration all further modifications, resolutions, documents and contracts necessary for this purpose. The motion for the adoption of the foregoing resolution was duly seconded by Council member , and upon a vote being taken thereon, the following voted in favor thereof: and the following voted against the same: Dated: March 14, 2006 Mayor Pro Tem (Seal) ATTEST: 86 City Clerk Report Date: March 8, 2006 Agenda Section.: V1, A Meeting Date: March 14, 2006 ITEM DESCRIPTION: Resolution 06-028; The Sale of G.O. Im'provement Bonds Series 2006A fA 'I Al ARI JL F L Stacie Kvilvang from Ehlers will be present to review bids for the General Obligation Bonds that were received today. This bond sale is part of the City's annual street reconstruction project. Payment of the bonds come from 65% levy and 35% assessment. RECOMMENDATION: 1 Approval of Resolution 06-028; Relating to $3,190,000 General Obligation Bonds, Series 2006A; Authorizing the issuance, awarding the sale, fixing the form and details providing for the execution and delivery thereof and the security therefore and levying ad valorem taxes for the payment thereof. "I Michael Mof7son City Man'ager CERTIFICATION OF MINUTES RELATING TO $3,190,000 GENERAL OBLIGATION BONDS, SERIES 2006A Issuer: City of St. Anthony, Minnesota Governing Body:. City Council Kind, date, time and place of meeting: A regular meeting, held on March 14, 2006, at 7:00 o'clock p.m., at the City Hall. Members present: Members absent: Documents Attached: Minutes of said meeting (pages): 1 through 22 RESOLUTION NO. 06-028 RESOLUTION RELATING TO $3,190,000 GENERAL OBLIGATION BONDS, SERIES 2006A; AUTHORIZING THE ISSUANCE, AWARDING THE SALE, FIXING THE FORM AND DETAILS, PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND THE SECURITY THEREFOR AND LEVYING AD VALOREM TAXES FOR THE PAYMENT THEREOF I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the Original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing body of said corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at said meeting, so far as they relate to said obligations; and that said meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such. meeting given as required by law. WITNESS my hand officially as such recording officer this 14t` day of March, 2006. Barb Suciu, City Clerk 88 It was reported that ).proposals had been received by the City prior to 10:00 o'clock A.M., Central Daylight Time today e for the purchase of the $3,190,000 General Obligation Bonds, Series 2006A of the City in accordance with the Official Statement distributed by the City to potential purchasers of the Bonds. The proposals have been read and tabulated, and the terms of each have been determined to be as follows: Bidder Purchase Price Interest Rates (SEE ATTACHED) 89 Net Interest Cost Councilmember introduced the following resolution and moved its adoption: RESOLUTION NO. 06-028 RESOLUTION RELATING TO $3,190,000 GENERAL OBLIGATION BONDS, SERIES 2006A; AUTHORIZING THE ISSUANCE, AWARDING THE SALE, FIXING THE FORM AND DETAILS, PROVIDING -FOR THE EXECUTION AND DELIVERY THEREOF AND THE SECURITY THEREFOR AND LEVYING AD VALOREM TAXES FOR THE PAYMENT THEREOF BE IT RESOLVED by the City Council of the City of St. Anthony, Minnesota (the City), as follows: Section 1. Recitals. 1.01. Authorization. This Council hereby determines that it is in the best interests of the City to issue its $3,190,000 General Obligation Bonds, J Series 2006A, subject to adjustment in accordance with the Official Statement (the Bonds), of the City (a)'to finance various street and storm sewer improvements (the Improvements); (b) to refund in advance of maturity the 2007 through 2014 maturities of the outstanding General Obligation Bonds, Series 1998A, dated April 1,1998 (the 1998A Bonds); and (c) to refund in advance of maturity, together with other available funds, the outstanding General on Obli atiTemporary Improvement Obligation p Y p Bonds, Series 2004A, dated June 1, 2004 (the 2004A Bonds). The 1998A Bonds and the 2004A Bonds. are together referred to as the Refunded Bonds. 1.02. Sale of Bonds. The City has retained Ehlers & Associates, Inc., an independent financial advisor, to assist the City in connection with the sale of the Bonds. The Bonds are being sold pursuant to Minnesota Statutes, Section 475.60, Subdivision 2, paragraph P (9), without meeting the requirements for public sale under Minnesota Statutes, Section 475.60, Subdivision 1. The City has received proposals for the purchase of the Bonds. The most favorable proposal received is that of , of , and associates (the Purchaser), to purchase the Bonds at a price of $ , the Bonds to bear interest at the rates set forth "in Section 3.01.- The proposal is hereby accepted, and the Mayor and the City Manager are hereby authorized and directed to execute a contract on the part of the City for the sale of the Bonds with the Purchaser. The good faith checks of the unsuccessful bidders shall be returned forthwith. 1.03. Issuance of Bonds. 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 prior to the issuance of the Bonds have been done, do exist, have happened, and have been performed, wherefore it is now necessary for this Council to establish the form and terms of the Bonds, to provide for the security thereof, and to issue the Bonds forthwith. 90 1.04. Maturities. This Council finds and determines that the maturities of the Bonds, as set forth in Section 3.01 hereof, are warranted by the anticipated collection of the assessments and ad valorem taxes to be levied for the cost of the Improvements and the anticipated collection of the assessments and ad valorem taxes levied for the cost of the improvements financed by' the Refunded Bonds. 1.05. combination of Improvements. Pursuant to Minnesota Statutes, Section 43 5.56, the Improvements are. hereby combined for purposes of financing. Section 2. Form of Bonds. The Bonds shall be prepared in substantially the following form: UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTIES OF HENNEPIN AND RAMSEY CITY OF ST. ANTHONY GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 2006A No. R - Date of Rate 1V1� Original Issue CUSIP February 1, April 1, 2006 REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS THE CITY OF ST. ANTHONY, Hennepin and Ramsey Counties, Minnesota (the "City"), acknowledges itself to be indebted and, for value received, hereby promises to pay to the registered owner named above, or registered assigns, the principal amount specified above, on the maturity date specified above, with interest thereon from the date of original issue specified above, or from the most recent interest payment date to which interest has been paid or duly provided for, at the annual rate specified above. Interest hereon is payable on February .1 and August 1 in each year, commencing February 1, 2007, to the person in whose name this Bond is registered at the close of business on the 15th day (whether or not a business day) of the immediately preceding month, all subject to the provisions referred to herein with respect to the redemption of the principal of this Bond before maturity. The interest hereon and, upon -2-. 91 presentation and surrender hereof, the principal hereof, are payable in lawful money of the United States of America by check or draft of wells Fargo Bank, National Association, in Minneapolis, Minnesota, as Bond Registrar, Transfer Agent and Paying Agent (the "Bond Registrar"), or its successor designated under the Resolution described herein. This Bond is one of an issue in the aggregate principal amount of $3,190,000 (the "Bonds"), all of like date and tenor except as to serial number, interest rate, redemption privilege and maturity date, issued pursuant to a resolution adopted by the City Council on March 14, 2006 (the "Resolution") to pay the cost of construction of local improvements and to provide funds to refund certain general obligation bonds of the City to pay issued a the cost of construction of local improvements, and is issued pursuant to and in full conformity with.the provisions of the Constitution and laws of the State of Minnesota thereunto enabling, including Minnesota Statutes,' Chapters 429 and 475. This Bond is payable primarily from the 2006A General Obligation Bonds Bond Fund (the "Fund") of the City, but the City is required by law to pay maturing principal hereof and interest thereon out of any funds in the treasury if moneys on hand in the- Fund are insufficient therefor. The Bonds are issuable only as fully registered bonds, in denominations of $5,,00.0 or any integral multiple thereof, of single maturities. Bonds maturing in the years 2007 through 2013 are payable on their respective stated maturity dates without option of prior payment, but Bonds having stated maturity dates in the years 2014 through 2022 are each subject to p redemption andprepayment, at the o tion of the p City and in whole or in part and if in part, in the maturities selected by the City and by lot, assigned in proportion to their principal amount, within any maturity, on February 1, 2013 and on any date thereafter, at. -a price equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. [INSERT REDEMPTION PROVISIONS FOR ANY TERM BONDS] At least thirty days prior to the date set for redemption of any Bond, notice of the call for redemption will be mailed to the Bond Registrar and to the registered owner of each Bond to be redeemed at his address appearing in the Bond Register, but no defect in or failure to give such mailed notice of redemption shall affect the validity of proceedings for the redemption of any Bond, not affected by such defect or failure. Official notice of redemption having been given as aforesaid, the Bonds or portions of Bonds so to be redeemed shall, on the redemption date, become due and payable at the redemption price herein specified and from and after such date (unless the City shall default in the payment of the redemption rice) such Bond or.. portions of Bonds shall cease to bear- interest.. Upon the partial redemption of any Bond, a new Bond or Bonds will be delivered to the registered owner without charge, representing the remaining principal amount outstanding. As provided in the Resolution and subject to certain limitations set forth therein, this Bond is transferable upon the books of the City at the principal office of the Bond Registrar, by the registered owner hereof in-person or by his attorney duly authorized in writing upon surrender hereof together with a written instrument of transfer satisfactory to the Bond Registrar, duly executed by the registered owner or his attorney; and may also be surrendered in exchange g -3- 92 for Bonds of other authorized denominations. Upon such transfer or exchange, the Ci will g � City cause a new Bond or Bonds to be issued in the name of the transferee or registered owner, of the same aggregate principal amount, bearing interest at the same rate and maturingon the same date, a , subject to reimbursement for any tax, fee or governmental charge req be p required to aid with g respect to such .transfer or exchange. The Bonds have been designated by the Issuer -as "qualified tax-exempt obligations"p pursuant to Section 265(b)(3) of the Internal Revenue Code of 1986. The City and the Bond Registrar may deem and treat the person in whose name this Bond is registered as the absolute owner hereof, whether this Bond is overdue or not for the purpose of receiving payment and for all other purposes, and neither the Ci nor the Bond City Registrar shall be affected by any notice to the contrary. IT IS- HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions and things required b the Constitution and laws of the State � y of Minnesota to be done, to exist, to happen and to be performed precedent to and in the issuance of this Bond in order to make it avalid and binding general obligation of the Ci according to its terms have City g been done, do exist, have happened and have been performed as so required; that prior to the q � issuance hereof the City has levied or agreed to levy special assessments onro ert specially p p Y ec p y benefited by the local improvements finance or refinanced by the Bonds and ad valorem taxes on all taxable property -within the City, collectible in the years and amounts required to produce o q p . sums not less than 5% in excess of the principal of and interest on the Bonds as such principal p p and interest respectively become due, and has appropriated the same to the Fund in the manner specified in Minnesota Statutes, Section 429.091, Subdivision 4; that, to take care of any accumulated or anticipated deficiency in the Fund, additional ad valorem taxes are required b law to be levied upon all taxable property in the City without limitation as to rate or amount; and -that the issuance of this Bond does not cause the indebtedness of the Ci to exceed an charter • City Y , constitutional or statutory limitation. - This Bond shall not be valid or become obligatory for any purpose or be entitled to any security or benefit under the Resolution, until the Certificate of Authentication hereon shall have been executed by the Bond Registrar by manual signature of a person authorized to sign o . � p g n its behalf. IN WITNESS WHEREOF, the City of St. Anthony, Hennepin and Ramsey Counties - State of Minnesota, by its City Council, has caused this Bond to be executed b the signatures y gn of the Mayor and the City Manager and has caused this Bond to be dated as of the date set forth below. City Manager 0 93 Mayor Pro Tem CERTIFICATE OF AUTHENTICATION This is one of the Bonds delivered pursuant to the Resolution mentioned within. Date of Authentication: WELLS FARGO BANK, NATIONAL ASSOCIATION, Minneapolis, Minnesota, as Bond Registrar By Authorized Representative The following abbreviations, when used in the inscription on the face of this Bond, shall be construed as though they were written out in full according to the applicable laves or regulations: TEN COM — as tenants iJrtIF TRANS MIN ACTCustodian ............. in common (Gust) (Minor) TEN ENT as tenants under Uniform Transfers to Minors by the entireties Act ................................................... (State) JT TEN as j oint tenants . with right of survivorship and not as tenants in common Additional abbreviations may also be used. ASSIGNMENT FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto , the . within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints attorney to transfer the within Bond on the books kept for registration thereof, with full power of substitution in the premises. Dated: -5- 94 PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE: Signature(s) must be guaranteed by an "eligible guarantor institution" meeting the requirements of the Bond Registrar, which requirements include membership or participation m the Securities Transfer Association Medalion Program (STAMP) or such other "signature guaranty program" as may be determined by the Bond Registrar in addition to or in substitution for STAMP, all in accordance with the Securities Exchange Act of 1934, as amended. NOTICE: The signature(s) to' this assignment must correspond with the name as it appears upon the face of the within Bond in every particular, without alteration,' enlargement or any change whatsoever. [End of Bond Form] Section 3. Bond Terms, Execution and Delivery. 3.01. Maturities, Interest Rates, Denominations, PU11jent. The Bonds shall be originally dated as of April 1, 2006, shall be issuable in the denomination of $5,000 each or any integral multiple thereof, shall mature on February 1 in the years and amounts set forth below, and Bonds maturing in such years and amounts shall bear interest from date of original issue until paid or duly called for redemption at the rates per annum shown opposite such years and amounts as follows: Year Amount Rate Year Amount Rate 2007 $ 6000 % 2015 $175,000 2008 1901000 2016 185,000 2009 1951000 2017 19500 2010 2001000 2018 205,000 2011 210,000 2019 21000 2012 215,000 2020 2153000 2013 230,000 2021 23000 2014 23 5,000 2022 240,000 In 95 Bio The Bonds shall be issuable only in fully registered form. The interest thereon and, upon surrender of each Bond, the principal amount thereof, shall be payable by check or draft issued by the Registrar described herein. Each Bond shall be dated by g the Registrar as of the date of its authentication. 3.02. Dates; Interest Payment Dates. Interest on the Bonds shall be payable on February 1 and August 1 in each year, commencing February 1, 2007, to the owner of record thereof as of the close of business on the fifteenth day of the mediately preceding month, whether or not such day is a business day. 3.03. Registration. The City shall appoint, and shall maintain, a bond registrar, transfer agent and paying agent (the Registrar). The effect of registration and the rights and duties of the City and the Registrar with respect thereto shall be as follows: (a) Register. The Registrar shall keep at its principal corporate trust office a bond register in which the Registrar shall provide for the registration of ownership of Bonds and the registration of transfers and exchanges of Bonds entitled to be registered, transferred or exchanged. (b) Transfer of Bonds. Upon surrender for transfer of any Bond duly endorsed by the registered owner thereof or accompanied by a written instrument of transfer, in form satisfactory to the Registrar, duly executed by e registered istered owner thereof or g Y an attorney duly authorized by the registered owner in writing, the Registrar shall authenticate and deliver, in the name of the designated transferee or transferees, one or more new Bonds of -a like aggregate principal amount and maturity, as requested by the transferor. The Registrar may, however, close the books for registration of any transfer after the fifteenth day of the month preceding each interest payment date and until such interest payment date. (c) Exchange of Bonds. whenever any Bond is surrendered by the registered owner for exchange, the Registrar shall authenticate and deliver one or more new Bonds of a like aggregate principal amount and maturity, as requested by the registered owner or the owner's attorney duly authorized in writing. g (d) Cancellation. All'Bonds surrendered upon any transfer or exchange shall be promptly cancelled by the Registrar and thereafter disposed of as. directed by the City. (e) Improper or Unauthorized Transfer. when any Bond is presented to the Registrar for transfer, the Registrar may refuse to transfer the same until it is satisfied that the endorsement on such Bond or separate instrument of transfer is legally authorized. The Registrar shall incur. no liability for its refusal, in good faith, to make transfers which it, in its judgment, deems improper or unauthorized. (f) Persons Deemed Owners. The City and the Registrar may treat the person in whose name any. Bond is at any time registered in the bond register as the absolute owner of such Bond, whether such Bond shall be overdue or not, for the purpose of receiving -7- 96 payment of, or on account of, the principal of and interest on such Bond and for all other purposes, and all such payments so made to any such registered owner or upon the owner's order shall be valid and effectual to satisfy and discharge the liability. of the City upon such Bond to the extent of the sum or sums _so paid. (g) Taxes, Fees and Charges. For every transfer or exchange of Bonds (except for an exchange upon a partial redemption of a Bond), the Registrar may impose a charge upon the owner thereof sufficient to reimburse the Registrar for any tax, fee or other governmental charge required to be paid with respect to such transfer or exchange. (h) Mutilated, Lost, Stolen or Destroyed Bonds. In case any Bond shall become mutilated or be lost, stolen or destroyed, the Registrar shall deliver a new Bond of like amount, number, maturity date and tenor in exchange and substitution for and upon cancellation of any such mutilated Bond or in lieu of and in substitution for any such Bond lost, stolen or destroyed, upon the payment of the reasonable expenses and charges of the Registrar in connection therewith; and, in the case of a Bond lost, stolen or destroyed, upon filing with the Registrar of evidence satisfactory to it that such Bond was lost, stolen or destroyed, and of the Ownership thereof, and upon furnishing to the Registrar of an appropriate bond or indemnity in form, substance and amount satisfactory to it, in which both the City and the Registrar shall be named as obligees. All Bonds so surrendered to the Registrar shall be cancelled by it and evidence of such cancellation shall be given to the City. If the mutilated, lost, stolen or destroyed Bond has already matured or been called for redemption in accordance with its terms, it shall not be necessary to issue a new Bond prior to payment. 3.04. Appointment of Initial Registrar. The City hereby appoints wells Fargo Bank, National Association in Minneapolis, Minnesota, as the initial Registrar. The Mayor and City Manager are authorized to execute and deliver, on behalf of the City, a contract with Wells Fargo Bim, National Association, as Registrar. Upon merger or consolidation of the Registrar with another corporation, if the resulting corporation is a bank or trust company authorized by law to conduct such business, such corporation shall be authorized to act as successor Registrar. The City agrees to pay the reasonable and customary charges of the Registrar for the services performed. The City reserves the right to remove any Registrar upon thirty (30) days' notice and upon the appointment of a successor Registrar, in which event the predecessor Registrar shall deliver all cash and Bonds in its, possession to the successor Registrar. On or before each principal or interest due date, without further order of this Council, the Finance Director shall transmit to the Registrar from the 2006A General Obligation Bonds Bond Fund described in Section 4 hereof, moneys sufficient for thepaymprincipal ent of all rinci al and interest then due. 3.05. Redemption. (a) Bonds maturing in the years 2007 through 2013 shall not be subject to redemption prior to maturity, but Bonds maturing in the years 2014 through 2022 shall each be subject to redemption and prepayment, at the option of the City, in whole or in part, and if in part, in the maturities selected by the City and, within any maturity, in $5,000 principal amounts selected by the Registrar by lot, on February 1, 2013 and on any date thereafter at a 192 97 price equallo the principal amount thereof to be redeemed plus interest accrued to the date of redemption. [(b) Bonds maturing in the year shall be subject to mandatory sinking fund redemption by lot at a redemption price equal to the principal amount of the Bonds to be so redeemed plus interest accrued thereon to the date fixed for redemption, on February 1, in the years and principal amounts set forth below: Year Amount *Final Maturity In the event that any Bonds maturing in the year are redeemed pursuant to (a) above by the City and canceled by the Registrar and not reissued, the Bonds maturing in the year so redeemed and canceled maybe applied by the City as a credit against the Bonds to be redeemed pursuant to this subsection (b), such credit to be equal to the principal amount of the Bonds maturing in the year so redeemed or canceled provided that the City has notified the Register not less than thirty-five (35) days prior to the redemption. date of its election to apply such Bonds as a credit. (c) Bonds maturing in the year shall be subject to mandatory sinking fund redemption by lot at a redemption price equal to the principal amount of the Bonds to be so redeemed plus interest accrued thereon to the date fixed for redemption, on February 1, in the years and principal amounts set forth below: Year Amount E *Final Maturity In the event that any Bonds maturing in the year are redeemed pursuant to (a) above by the City and canceled by the Registrar and not reissued, the Bonds maturing in the year so redeemed and canceled maybe applied by the City as a credit against the Bonds to be redeemed pursuant to this subsection (c), such credit to be equal to the principal amount of the Bonds maturing in the year so redeemed or canceled provided that the City has notified &2 98 the Register not less than thirty-five (3 5) days prior to the redemption date of its election to apply such Bonds as a credit.] (d) At least thirty days prior to the date set for redemption of any Bond, the City shall cause notice of the call for redemption to be mailed to the Registrar and to the registered owner of each Bond to be redeemed, but no p p Y defect in or failure to give such mailed notice of g for the redemption of an redemption shall affect the validity of proceedings Bond not affected by such defect or failure. The notice of redemption shall specify the redemption date, redemption price, the bond numbers, interest rates and CUSIP numbers of the Bonds to be redeemed and the place at which the Bonds are to be surrendered forpaY ment which is the principal office of the Registrar. Official notice of redemption having been given as aforesaid, the Bonds or portions thereof so to be redeemed shall, on the redemption date, become due and payable at the redemption price therein specified and from and after such date (unless* the City shall default in the payment of the redemption price) such Bonds or portions thereof shall cease to bear interest. Bonds in a denomination larger than $5,000 may be redeemed in part in any integral multiple of $5,000. The owner of any Bond redeemed in part shall receive, upon surrender of such Bond to the Registrar, one or more new Bonds of such same series in authorized denominations equal in principal amount to the unredeemed portion of the Bond so surrendered. 3.06. Preparation and Delivery. The Bonds shall be prepared under the direction of the City Manager and shall be executed on behalf of the City by the signatures of the Mayor and the City Manager; provided that said signatures may be printed, engraved, or lithographed facsimiles thereof. In case any officer whose signature shall appear on the Bonds shall cease to be such officer before the delivery of any Bond, such signature shall nevertheless be valid and sufficient for all purposes, the same as if such officer had remained in office until delivery. Notwithstanding such execution, no Bond shall be valid or obligatory for any purpose or entitled to any security or benefit under this resolution unless and until a certificate of authentication on such Bond has been duly executed by the manual signature of an authorized representative of the Registrar. Certificates of authentication on different Bonds need not be signed by the same representative. The executed certificate of authentication on each Bond shall be conclusive evidence that it has been authenticated and delivered under this resolution. when the Bonds have been so executed and authenticated, they shall be delivered by the City Manager to the purchaser thereof upon payment of the purchase price in accordance with the contract of sale heretofore made and executed, and the purchaser shall not be obligated to see to the application of the purchase price. 3.07. Securities Depository. (a) For purposes of this Section the following terms shall have the following meanings: "Beneficial Owner" shall mean, whenever used with respect to a Bond, the person in whose name such Bond is recorded as the beneficial owner of such Bond by a Participant on p the records of such Participant, or such person's subrogee. -10- 99 "Cede & Co." shall mean Cede & Co., the nominee of DTC, and any successor nominee of DTC with respect to the Bonds. "DTC" shall mean The Depository Trust Company of New York, New York. "Participant" shall mean any broker-dealer, bank or other financial institution for which DTC holds Bonds as securities depository. "Representation Letter" shall mean the Representation Letter from the City to DTC. (b) The Bonds shall be initially issued as separately authenticated fully registered bonds, and one Bond shall be issued in the principal amount of each stated maturity of the Bonds. Upon initial issuance, the ownership of such Bonds shall be registered in the bond register in the name of Cede & Co., as nominee of DTC. The Registrar and the City may treat DTC (or its nominee) as the sole and exclusive owner of the Bonds registered in its name for the. purposes of payment of the principal of or interest on the Bonds, selecting the Bonds or portions thereof to be redeemed, if any, giving any notice permitted or required to be given to registered owners of Bonds under this resolution, registering the transfer of Bonds, and for all other purposes whatsoever; and neither the Registrar nor the City shall be affected by any notice to the contrary. Neither the Registrar nor the City shall have any responsibility or obligation to any Participant, any person claiming a beneficial ownership interest in the Bonds under or through DTC or any Participant, or any other person which is not shown on the bond register as being a registered owner of any Bonds, with respect to the accuracy of any records maintained by DTC or any Participant, with respect to the payment by DTC or any Participant of any amount with respect to the principal of or interest on the Bonds, with respect to any notice which is permitted or required to be given to owners of Bonds under this resolution, with respect to the selection by DTC or any Participant of any person to receive. payment in the event of. a partial redemption of the Bonds, or with respect to any consent given or other action taken by as registered istered owner g of the Bonds. So long as any Bond is registered in the name of Cede & Co., as nominee of DTC, the Registrar shall pay all principal of and interest on such Bond, and shall give all notices with respect to such Bond, only. to Cede & Co. in accordance with the Representation Letter,. and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to the principal of and interest on the Bonds to the extent of the sum or sums so paid. No person other than DTC shall receive an authenticated Bond for each separate stated maturity evidencing the obligation of the City to make payments of principal and interest. Upon delivery by DTC to the Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., the Bonds will be transferable to such new nominee in accordance with paragraph (d) hereof. (c) In the event the City determines that itis in the best interest of the Beneficial Owners that they be able to obtain Bonds in the form of bond certificates, the City may notify DTC and the Registrar, whereupon DTC shall notify the Participants of the availability through DTC of Bonds in the form of certificates. In such event, the Bonds will be transferable in accordance with paragraph (d) hereof. DTC may determine to discontinue providing its services 100 with respect to the Bonds at any time by giving notice to the City and the Registrar and discharging its responsibilities with respect thereto under applicable law. In such event the Bonds will be transferable in accordance with paragraph (d) hereof. (d) In the event that any transfer or exchange of Bonds is permitted under paragraph (b) or (c) hereof, such transfer or exchange shall .be accomplished upon receipt by the Registrar of the Bonds to be transferred or exchanged and appropriate instruments of transfer to the permitted transferee in accordance with the provisions of this resolution. In the event Bonds in the form of certificates are issued to owners other than Cede & Co., its successor as nominee for DTC as owner of all the Bonds, or another securities depository as owner of all the Bonds, the provisions of this resolution shall also apply to all matters relating thereto, including, without limitation, the printing of such Bonds in the form of bond certificates and the method of payment of principal of and interest on such Bonds in the form of bond certificates. Section. 4. Use of Proceeds. Upon payment for the Bonds by the Purchaser, the Finance Director shall deposit and apply the proceeds of the Bonds as follows: (a) $ shall be deposited in the Construction Fund created pursuant Section 5.01 hereof; (b) $ are irrevocably appropriated for the payment in full of the 1998A Bonds on May 1, 2006 (the Redemption Date); (c) $ are irrevocably appropriated for the payment in full of the 2004A Bonds on the Redemption Date; and (d) $ (constituting capitalized interest), plus accrued interest, shall be deposited in the Bond Fund created pursuant Section 5.02 hereof. Section 5. Security Provisions. 5.01. 2006A General Obligation Bonds Construction Fund. There is hereby created a special bookkeeping fund to be designated as the "2006A General Obligation Bonds Construction Fund" (hereinafter referred to as the Construction Fund), to be held and administered by the Finance. Director separate and apart from all other funds of the City. The City appropriates to the Construction Fund (a) the proceeds of the sale of the Bonds .to be deposited therein as specified in Section 4, and (b) all collections of special assessments- levied for the Improvements until completion and payment of all costs of the Improvements. The Construction Fund shall be used solely to defray expenses of the Improvements, including but not limited to the transfer to the Bond Fund, created in Section 5.02 hereof, of amounts sufficient for the payment of interest and principal, if any, due upon the Bonds prior to the. completion and payment of all costs of the Improvements and the payment of the expenses incurred by the City in connection with the issuance of the Bonds set forth in Section 9 hereof. Upon completion and payment of all costs of the Improvements, any balance of the proceeds of Bonds remaining in the Construction Fund may be used to pay the cost, in whole or in part, of any other improvements -12- 101 instituted pursuant to the Act, as directed by the City Council, but any balance of such proceeds not so used shall be credited and paid to the Bond Fund. 5.02. 2006A General Obligation Bonds Bond Fund. So long as any of the Bonds are outstanding and any principal of or interest thereon unpaid, the Finance Director shall maintain a separate and special bookkeeping designated 2006A General Obligation p g fund desi " Bonds g Bond Fund" (hereinafter referred to as the Bond Fund) .to be used for no purpose other than the payment of the principal of and interest on the Bonds and on such other improvement bonds of the City as have been or may be directed to be paid therefrom. The City irrevocably appropriates to the Bond Fund (a) the amount specified in Section 4,(b)all amounts on de osit in the debt p service fund maintained for the payment of the Refunded Bonds upon the retirement of the .Refunded Bonds and all future collections of special assessments received with respect to the improvements financed by the Refunded Bonds; (c) the collections of special assessments and other funds to be credited and paid thereto in accordance with the provisions of Section 5.01, (d) any taxes levied in accordance with this resolution, (e) all income derived from the investment of amounts on hand in the Bond Fund, and (f) all such other moneys as shall be received and appropriated to the Bond Fund from time to time. If the balance in the Bond Fund is at any time insufficient to pay all interest and principal then due on all bonds payable therefrom, the payment shall be made from any fund of the City which is available for that purpose, subject to reimbursement from the Bond Fund when the balance therein is sufficient, and the Council covenants and agrees that it will each year levy a sufficient amount to take care of any accumulated or anticipated deficiency, which levy is not subject to any constitutional or statutory tax limitation. There are hereby established two accounts in the Bond Fund, designated as the "Debt Service Account" and the "Surplus Account." All money appropriated or to be deposited in the Bond Fund shall be deposited as received into the Debt Service Account:- On each February 1, the Finance Director shall determine the amount on hand in the Debt Service Account. If such amount is in excess of one -twelfth of the debt service payable from the Bond Fund in the immediately preceding 12 months, the Finance Director shallrom tl transfer the p p Y amount in excess to the Surplus Account. The City appropriates to the Surplus Account any amounts to be transferred thereto from the Debt Service Account as herein provided and all income derived from the investment of amounts on hand in the Surplus Account. If at any time the amount on hand in the Debt Service Account is insufficient to meet the requirements of the Bond Fund, the Finance Director shall transfer to the Debt Service Account amounts on hand in the Surplus Account to the extent necessary to cure such deficiency. 5.03. Additional Bonds. The City reserves the right to issue additional bonds payable from the Bond Fund as may be required to finance costs of the Improvements not financed hereby; provided that the City Council shall, prior to the delivery of such additional bonds, levy or agree to levy by resolution sufficient additional special assessments and ad valorem taxes, if any, which, together with other moneys or revenues pledged for the payment of said additional obligations, will produce revenues at least five percent (5%) in excess of the amount needed to pay when due the principal and interest on all bonds payable from the Bond Fund. The additional special assessments, ad valorem taxes and moneys or revenues so pledged, -13- 102 levied or agreed to be levied shall be irrevocably appropriated to the Bond Fund in the manner provided by Minnesota Statutes, Section 475.61. 5.04. Levy of Special Assessments. The City hereby covenants and agrees that for payment of the cost of each of the Improvements it will do and perform all acts and things necessary for the full and valid levy of special assessments against all assessable lots, tracts and parcels of land benefited thereby and located within the area proposed to be assessed therefor, based upon the benefits received by each such lot, tract or parcel, in an aggregate principal amount not less than percent (%) of the cost of such Improvement. In the event that any such assessment shall be at any time held invalid with respect to any lot, piece or parcel of land, due to any error, defect or irregularity in any action or proceeding taken or to be taken by the City or this Council or any of the City's officers or employees, either in the making of such assessment or in the performance of any condition precedent thereto, the City and this Council hereby covenant and agree that they will forthwith do all such further acts and take all such further proceedings as may be required by law to make such assessments a valid and binding lien upon such property. The Council presently estimates that the special assessments shall be in the principal amount of $ payable in not more than installments, the first installment to be collectible with taxes during the year following the levy of such assessment, and that deferred installments shall bear interest at the rate of percent (� %) per annum from the date of the resolution levying said assessment until December 31 of the year in which the installment is payable. 5.05. Ad valorem Taxes. The full faith and credit and taxing powers of the City are irrevocably pledged for the prompt and full payment of the principal of and interest in the Bonds as the same become. respectively due. For the purpose there is hereby levied upon all of the taxable property of the City a direct, annual ad valorem. tax, which shall be spread upon the tax rolls prepared in each of the following years and collected with other taxes in the following years and amounts as follows: Levy 103 Collection Year Year Amount 2006 2007 $ 2007 .2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 2017 2017 2018 2018 2019 2019 2020 2020 2021 w 14- 4r 103 The foregoing tax levies are such that if collected in full they will produce, together with the collections of special assessments to be levied for the Improvements and the special assessments levied for the improvements financed by the Refunded Bonds, at least five percent (5%) in excess of the amount needed to pay when due the principal of and interest on the Bonds. This tax shall be irrevocably appropriated to the Bond Fund as long as any of the Bonds are outstanding and unpaid; provided that the City reserves the right and power to reduce the levies in the manner and to the extent permitted by Minnesota Statutes, Section 475.61. 5.06. Full Faith and Credit Pledged. The full faith and credit of the City are irrevocably pledged for the prompt and full payment of the principal of and the interest on the Bonds, and the Bonds shall be payable from the Bond Fund in accordance with the provisions and covenants contained in this resolution. It is estimated that the taxes and special assessments levied and to be levied for the payment of the Improvements will be collected in amounts not less than five percent (5%0) in excess of the annual principal and interest requirements of the Bonds. If the money on hand in the Bond Fund should at any time be insufficient for the payment of principal and interest then due, this City shall pay the principal and interest out of any fund of the City, and such other fund or funds shall be reimbursed therefor when sufficient money is available to the Bond Fund. If on February 1 in any year the sum of the balance in the Bond Fund plus the amount of taxes and special assessments theretofore levied for the Improvements and collectible through the end of the following calendar year is not sufficient to pay when due all principal and interest become due on all Bonds payable therefrom. in said following calendar year, or the Bond Fund has incurred a deficiency in the manner provided in this Section 5.06, a direct, irrepealable, ad valorem tax shall be levied on all taxable property within the corporate limits of the City for the purpose of restoring such accumulated or anticipated deficiency in accordance with the provisions of this resolution. Section 6. Defeasance. When all of the Bonds have been discharged as provided in this section, all pledges, covenants and other rights granted by this resolution to the holders of the Bonds shall cease. The City may discharge its obligations with respect to any Bonds which are due on any date by depositing with the paying agent on or before that date a sum sufficient for the payment thereof in full; or, if any Bond should not be paid when due, it may nevertheless be discharged by depositing with the paying agent a sum sufficient for the payment thereof in full with interest accrued to the date of such deposit._ The City may also at any time discharge its obligations with respect to any Bonds, subject to the provisions of law now or hereafter authorizing and regulating such action, by depositing irrevocably in escrow, with a bank qualified by law as an escrow agent fox this purpose, cash or securities which are general obligations of the United States or securities of United States agencies which are authorized by law to be so deposited, bearing interest payable at such time and at such rates and maturing on such dates as shall be required, without reinvestment, to pay all principal and interest to become due thereon to maturity. -15- 104 Section 7. Registration, Certification of Proceedings, Investment of 1Vlone, s, Arbitrage, Official Statement. 7.01. Registration. The City Clerk is hereby authorized and directed to file a certified copy of this resolution with the County Auditors of Hennepin and Ramsey Counties, together with such other information as the County Auditors shall require, and to obtain- from. each County Auditor a certificate that the Bonds have been entered on his bond register and that the tax required for. the payment thereof has been levied and filed as required by law. 7.02. Certification of Proceedings. The officers of the City and the County Auditors of Hennepin and Ramsey Counties .are hereby authorized and directed to prepare and furnish to the Purchaser,. and to Dorsey & Whitney LLP, Bond Counsel, certified copies of all proceedings and records of the City, and such other affidavits, certificates and information as may be required to show the facts relating to the legality and marketability of the Bonds as the same appear from the books and records under their custody and control or as otherwise known to them, and all such certified copies, certificates and affidavits, including any heretofore furnished, shall be deemed representations of the City as to the facts recited therein. 7.03. Covenant. The City covenants and agrees with the holders from time to time of the Bonds that it will not take or permit to be taken by any of its officers, employees or agents any action which would cause the interest on the Bonds to become subject to taxation under the Internal Revenue Code of 1986, as amended (the Code), and Regulations promulgated thereunder (the Regulations), as such are enacted or promulgated and in effect on the date of issue of the Bonds, and covenants to take any and all actions within its powers to ensure that the interest on the Bonds will not become subject to taxation under such Code and Regulations. The Improvements and any other improvements financed pursuant to Section 5.01 will be owned and maintained by the City and available for use -by members of the general public on -a. substantially equal basis. The City shall not enter into any lease, use or other agreement with any non- governmental person relating to the use of such improvements or security for the payment of the Bonds which might cause the Bonds to be considered "private activity bonds" or "private loan bonds" within the meaning of Section 141 of the Code. 7.04. Arbitrage Rebate.. For purposes of complying with the requirements of Section 148(f)(4)(C) of the Code relating to the exemption of certain small governmental units from the rebate requirements of the Code, the City represents that: (i) the City is a governmental unit with general taxing powers; the Bonds are not and the Refunded Bonds were not "private activity bonds" as defined in Section 141 of the Code (Private- Activity Bonds); ninety-five percent of the net proceeds of the Bonds and the Refunded Bonds are to be or were used for the local governmental purposes of the City; and -16- 105 16- 105 (iv) the aggregate face amount of all tax-exempt bonds (other than Private Activity Bonds) issued by the City in calendar year in which the Bonds are to be issued is not reasonably expected to exceed $5,000,000. Therefore, pursuant to the provisions of Section 148(f)(4)(c) of the Code, the City shall not be required to comply with the arbitrage rebate requirements of paragraphs (2)'and (3) of Section 148(f) of the Code. 7.05. Investment of Money on Deposit in the Bond Fund. The Finance Director shall ascertain monthly the amount on deposit in the Bond Fund. If the amount on deposit therein ever exceeds the aggregate amount of principal and interest due and payable from the Bond Fund through the next following February 1 plus a reasonable carryover as permitted by the Regulations, such excess shall be used to prepay and redeem Bonds or be invested at a yield less than or equal to the yield on the Bonds, based upon their amounts, maturities and interest rates on their date of issue, computed by the actuarial method. The City reserves the right to amend the provisions of this Section at any time, whether prior to or after the delivery of the Bonds,- if and to the extent that this Council determines that the provisions of this Section are not necessary in order to ensure that the Bonds are not "arbitrage bonds" within the meaning of Section 148 of the Code and Regulations. 7.06. Arbitrage Certification. The Mayor and City Manager, being the officers of the City charged with the responsibility for issuing the Bonds pursuant to this resolution, are authorized and directed to execute and deliver to the Purchaser a certificate in accordance with the provisions of Section 148 of the Code, and Section 1.148-2(b)(2) of the Regulations, statin the facts and estimates in existence on the date of issue and delivery of the Bonds which make it reasonable to expect that the proceeds of the Bonds will not be used in a manner that would cause the Bonds to be arbitrage bonds within the meaning of said Code and Regulations. 7.07. Interest Disallowance. The City hereby designates the Bonds as "qualified tax --exempt obligations" for purpose of Section 265(b) of the Code relating to the disallowance of interest expenses for financial institutions. The City represents that in calendar year 2006 it does not reasonably expect to issue tax --exempt obligations which are not private activity bonds (not treating qualified 501(c)(3) bonds under Section 145 of the Code as private activity bonds for purposes of this representation) in an amount in excess of $10,000,00o. 7.08. Official Statement. The Official Statement relating to the Bonds, dated March 2, 2006, prepared and distributed on behalf of the City by Ehlers & Associates, Inc., is hereby approved. Ehlers & Associates, Inc., is hereby authorized of behalf of the City tore are p p and distribute to the Purchaser a supplement to the Official Statement listing the offering price, the interest rates, other information relating to the Bonds required to be included in the Official Statement by Rule 15c2-12 adopted by the Securities and Exchange Commission under the Securities Exchange Act of 1934. Within seven business days from the date hereof, the City shall deliver to the Purchaser 30 copies of the Official Statement and such supplement. The officers of the City are hereby authorized and directed to execute such -certificates as may be appropriate concerning the accuracy, completeness and sufficiency of the Official Statement. -17- 106 The officers of the City are lereby authorized and directed to execute such certificates as may be appropriate concerning the accuracy, completeness and sufficiency of the Official Statement. 7.09. Redemption of Refunded Bonds. All of the Refunded Bonds shall be called for redemption on the Redemption Date, and .the Finance Director is hereby authorized and directed to take all actions necessary to redeem the Refunded Bonds on the Redemption Date. Section 8. Continuing Disclosure. (a) Purpose and Beneficiaries. To provide for the public availability of certain information relating to the Bonds and the security therefor and to permit the original purchaser and other participating underwriters in the primary offering of the Bonds to comply with amendments to Rule 15c2-12 promulgated by the Securities and Exchange Commission (the "SEC") under the Securities Exchange Act of 1934 (17 C.F.R. § 240.15c2-12), relating to continuing disclosure (as in effect and interpreted from time to time, the "Rule"), which will enhance the marketability of the Bonds, the City hereby makes the following covenants and agreements for the benefit of the Owners (as hereinafter defined) from time to time of the Outstanding Bonds (as hereinafter defined). The City is the only "obligated person" in respect of the Bonds within the meaning of the Rule for purposes, of identifying the entities in respect of which continuing disclosure must be made. If the City fails to comply with any provisions of this Section 8, any person aggrieved thereby, including the Owners of any Outstanding Bonds, may take whatever action at law or in equity may appear necessary or appropriate to enforce. performance and observance of any agreement or covenant contained in this Section 8, including an action for a writ of mandamus or specific performance. Direct,- indirect, consequential and punitive damages shall not be recoverable for any default hereunder to the extent perrmitted by law. Notwithstanding anything to the contrary contained herein, in no event shall a default under this Section 8 constitute a default under the Bonds or under any other provision of this resolution. As used in this Section 8, "Owner" or "Bondowner" means, in respect of a Bond, the registered owner or owners thereof appearing in the bond register maintained by the Registrar or any "Beneficial Owner" (as hereinafter defined) thereof, if such Beneficial Owner provides to the Registrar evidence of such beneficial ownership in form and substance reasonably satisfactory to the Registrar. As used herein, "Beneficial Owner" means, in respect of a Bond, any person or entity which (i) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, such Bond (including persons or entities holding Bonds through nominees, depositories or other intermediaries), or (b) is treated as the owner of the Bond for federal income tax purposes. As used herein,. "Outstanding " means when used with reference to Bonds means all Bonds which have been issued and authenticated by the Registrar except (i) Bonds which have been paid in full (ii) Bonds which have been cancelled by the Registrar or surrendered to the Registrar for cancellation and (iii) Bonds which have been discharged as provided in Section 6 hereof. -18- 107 (b) Information To Be Disclosed. The City will provide, in the manner set forth in subsection (c) hereof, either directly or indirectly through an agent designated by the City, the following information at the following times: (1) on or before 365 days after the end of each fiscal year of the City, commencing with the fiscal year ending December 31, 2006 the following financial information and operating data in respect of the City (the "Disclosure Information"): (A) the audited financial statements of the City for such fiscal year, prepared in accordance with generally accepted accounting principles promulgated by the Financial Accounting Standards Board as modified in accordance with the governmental accounting standards promulgated by the Governmental Accounting Standards Board or as otherwise provided under Minnesota law, as in effect from time to time, or, if and to the extent such financial statements have not been prepared in accordance with such generally accepted accounting principles for reasons beyond the .reasonable control of the -City, noting the discrepancies therefrom and the effect thereof, and certified as to accuracy and completeness in all material respects by the fiscal officer of -the City; and (B) To the extent not included in the financial statements referred to in paragraph (A) hereof, the information for such fiscal year or for the period most recently available of the type set forth below, which information may be unaudited, but is to be certified as to accuracy and completeness in all material respects by the fiscal officer of the City, to the best of his or her knowledge, which certification may be based on the reliability of information obtained from governmental or other third party sources: City Property Valuations; Direct Debt; Tax Levies and Tax Collections; Population Trend; and Employment/Unemployment. Notwithstanding the foregoing paragraph, if the audited financial statements are not available by the date specified, the City shallp rovide on or before such date -unaudited financial statements in the format required for the audited financial statements as part of the Disclosure Information and, within 10 days after the receipt thereof, the City shall provide the audited financial statements. Any or all of the Disclosure Information may be incorporated by reference, if it is updated as required hereby, from other documents, including official statements, which have been submitted to each of the repositories hereinafter referred to under subsection (b) or the SEC. If the document incorporated by reference is a final official statement, it must be available from the Municipal Securities Rulemaking Board. The City shall clearly .identify in the Disclosure Information each document so incorporated by reference. -19- 108 If any part of the Disclosure Information can no longer be generated because the operations of the City have materially changed or been discontinued, such Disclosure Information need no longer be provided if the City includes in the Disclosure Information a statement to such effect; provided, however, if such operations have been replaced by other City operations in respect of which data is not included in the Disclosure Information and the ,City determines that certain specified data regarding such replacement operations would be a Material Fact (as defined in paragraph (2) of this subsection (b)), then, from and after such. determination, the Disclosure Information shall include such. additional specified data regarding the replacement operations. If the Disclosure Information is changed or this Section 8 is amended as permitted by this paragraph (1) or subsection (d), then the City shall include in the next Disclosure Information to be delivered hereunder, to the extent necessary, an explanation of the reasons for the amendment and the effect of any change in the type of financial information or operating data provided. (2) In a timely manner, notice of the occurrence of any of the following events which is a Material Fact (as hereinafter defined): (A) Principal and interest payment delinquencies; (B) Non-payment related defaults; (C) Unscheduled draws on debt service reserves reflecting financial difficulties; (D) Unscheduled draws on credit enhancements reflecting financial difficulties; (E) Substitution of credit or liquidity providers, or their failure toperform; (F) Adverse tax opinions or events affecting the tax-exempt status of the security; (G) Modifications to rights of security holders; (H) Bond calls; (I) Defeasances; (J) Release, substitution, or sale. of property securing repayment of the securities; and (K) Rating changes. As used herein, a "Material Fact" is a fact as to which a substantial likelihood exists that a reasonably prudent investor would attach importance thereto in deciding to buy, hold -or sell a Bond or, if not disclosed, would significantly alter the total information otherwise available to an investor from. the Official Statement, information disclosed hereunder or information generally available to the public. Notwithstanding the foregoing sentence, a "Material Fact" is also an event that would be deemed "material" for purposes of the purchase, holding or sale of a Bond within the meaning of applicable federal securities laws, as interpreted at the time of discovery of the occurrence of the event. (3) In a timely manner, notice of the occurrence of any of the following events or conditions: -20- 109 (A) the failure of the City to provide the Disclosure Information required under paragraph (1) of this subsection (b) at the time specified thereunder; (B) the amendment or supplementing of this Section 8 pursuant to subsection (d), together with a copy of such amendment or supplement and any explanation provided by the City under paragraph (2) of subsection (d); (C) the termination of the obligations of the City under this Section 8 pursuant to subsection (d); (D) any change in the accounting principles pursuant to which the financial statements constituting a portion of the Disclosure Information are prepared; and (E) any change in the fiscal year of the City. (c) Manner of Disclosure. The City agrees to make available the information described in subsection (b) to the following entities by telecopy, overnight delivery, mail or other means, as appropriate: (1) the information described in paragraph (1) of subsection (b), to each then nationally recognized municipal securities information repository under the Rule and to any state information depository then designated or operated by the State of Minnesota as contemplated by the Rule (the "State Depository"), if any; (2) the information described in paragraphs (2) and (3) of subsection (b), to the Municipal Securities Rulemaking Board and to the State Depository, if any; and (3) the information described in subsection (b), to any rating agency then maintaining a rating of the Bonds and, at the expense of such Bondowner, to any Bondowner who requests in writing such information, at the time of transmission under paragraphs (1) or (2) of this subsection (c), as the case maybe, or, if such information is transmitted with a subsequent time of release, at the time such information is to be released. (d) Term; Amendments; Interpretation. (1) The covenants of the City in this Section 8 shall remain in effect so long as any Bonds are Outstanding. Notwithstanding the preceding sentence, however, the obligations of the City under this Section 8 shall terminate and be without further effect as of any date on which the City delivers to the Registrar an opinion of Bond Counsel to the effect that, because of legislative action or final judicial or administrative actions or proceedings, the failure of the City to comply with the requirements of this Section 8 will not cause participating underwriters in the primary offering of the Bonds to be in violation of the Rule or other applicable req u%rements of the Securities Exchange Act of 1934, as amended, or any statutes or laws successory thereto or amendatory thereof. -21- 110 (2) This Section 8 (and the form and requirements of the Disclosure Information) maybe amended or supplemented by the City from time to time, without notice to (except as provided in paragraph (3) of subsection (b)) or the consent of the Owners of any Bonds, by a resolution of this Council filed in the office of the recording officer of the City accompanied by an opinion of Bond Counsel, who may rely on certificates of the City and others and the opinion may be subject to customary qualifications, to the effect that: (i) such amendment or supplement (a) is made in connection with a change in circumstances that arises from a change in law or regulation or.a change in the identity, nature or status of the City or the type of operations conducted by the City; or (b) is required by, or better complies with, the provisions of paragraph (b)(5) of the Rule; (ii) this Section 8 as so amended or supplemented would have complied with the requirements of paragraph (b)(5) of the Rule at the time of the primary offering of the Bonds, giving effect to any change in circumstances applicable under clause (i)(a) and assuming that the Rule as iri effect and interpreted at the time of the amendment or supplement was in effect at the time of the primary offering; and (iii) such amendment or supplement does not materially impair the interests of the Bondowners under the Rule. If the Disclosure Information is so amended, the City agrees to provide, contemporaneously with the effectiveness of such amendment, an explanation of the reasons for the amendment and the effect, if any, of the change in the type of financial information or operating data being provided hereunder. (3) This Section 8 is entered into to comply- the continuing disclosure provisi yons of the Rule and should be construed so as to satisfy the requirements of paragraph (b)(5) of the Rule. Section 9. Authorization of Payment of Certain Costs of Issuance of the Bonds_. The City authorizes the Purchaser to forward the amount of Bond proceeds allocable to the payment of issuance expenses to Resource Bank & Trust Company,Minneapolis, Minnesota on p the closing date for further distribution as directed by the City's financial advisor, Ehlers & Associates, Inc. Attest: City Clerk 111 Mayor Pro Tem The motion for the adoption of the foregoing resolution was duly seconded by Councilmember , and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor which signature was attested by the City Clerk. _23- 112 COUNTY AUDITOR'S CERTIFICATE AS TO BOND REGISTRATION AND TAX LEVY I, the undersigned, being the duly qualified and acting County Auditor of Hennepin County, Minnesota, hereby certify that there has been filed in my office a certified copy of Resolution No. 06-028 adopted March 14, 2006, by the City Council of the City of St. Anthony, Minnesota, setting forth the form and details of an issue of $3,190,000 General Obligation Bonds, Series 2006A, dated as of April 1, 2006 and levying taxes for the payment thereof. I further certify that the bond issue has been entered on my bond register and the tax required by law for payment of the Bonds has been levied and filed, as required by Minnesota Statutes, Sections 475.61 to 475.63. (SEAL) WITNESS my hand and official seal this day of , 2006. 113 Hennepin County Auditor COUNTY AUDITOR'S CERTIFICATE AS TO BOND REGISTRATION AND TAX LEVY I, the undersigned, being the duly qualified and acting County Auditor of Ramsey County, Minnesota, hereby certify that there has been filed in my office a certified copy of Resolution No. 06-028 adopted March 14, 2006, by the City Council of the City of St. Anthony, Minnesota, setting forth the form and details of an issue of $3,190,000 General Obligation Bonds, Series 2006A, dated as of April 1, 2006, and levying taxes for thepay ment thereof. I further certify that the bond issue has been entered on my bond register and the tax required by law for payment of the Bonds has been levied and filed, as required 'by Minnesota Statutes, Sections 475.61 to 475.63. (SEAL) WITNESS -my hand and official seal this day of , 2006. 114 Ramsey County Auditor FREERS & ASSOCIATES INC To: Mike Mornson —City Manager 0 C From: Stacie Kvilvang —Ehlers and Associates G =� Date: March 6, 2006 c Subject: Sale of Commercial TIF Revenue Bonds for Silver Lake Village Overview Pursuant to Section 12.7 of the Redevelopment Agreement with Apache Redevelopment LLC, upon successful completion of any element of the redevelopment, the City/HRA agreed to issue tax exempt debt to refund and pay existing Taxable TIF Notes. The commercial development is now complete and the commercial developer has requested that the City/HRA issue tax exempt TIF revenue bonds to "take out" their TIF Note. The TIF Note was originally issued in the principal amount of $2,554,583 and - was assigned to the commercial developer's lender. Ehlers will be completing the required "look back" on the commercial development to determine whether the principal amount should remain the same or be lowered to reflect actual qualified TIF costs incurred. Once the look back is completed and the tax exempt TIF bonds are issued, the City/HRA will be required to pay off the commercial developer's lender the newly determined principal amount of the note plus accrued interest to date. If we were to assume that the principal was not reduced from the original TIF Note, the amount that would be repaid would be approximately $2,984,000 ($2,554,583 at 6.75%). Issues to be considered What is the par amount of TIF revenue bonds that are going to be issued? When will the bonds be issued? Is there any risk to the City/HRA in issuing these bonds? What will the net proceeds be after paying off obligations? What will the net proceeds be utilized for? Analysis of Issues What is the par amount of TIF revenue bonds that are going to be issued? The resolution approves a par amount of bonds to be issued that will not exceed $5.8 million or that any coupon can exceed 6.5%. Currently, we anticipate that the par amount will be approximately $5.4 million and may be adjusted per final bond runs provided by the Underwriter, Dougherty and Company LLC. LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive Phone: 651-697-8506 Fax: 651-697-85_--f 55 Roseville, MN 55113-1105 skvilvang@ehiers-inc.com 115 Mike Mornson Sale of Commercial TIF Revenue Bonds for Silver Lake Village March 6, 2006 Page 2 • when will the bonds be issued? It is anticipated that the bonds will be issued by April 15th and that the funds will be available by April 3 0th. In addition, since the authorizing resolution includes -a not to exceed amount the Executive Director of the HRA is given the authority to approve or reject the sale results within these parameters. Either way, Ehlers will provide a memorandum to the City/HRA outlining the results of the sale. * Is there any risk to the City/HRA in issuing these bonds? Issuance of tax exempt TIF revenue bonds is a low risk proposition for the City/HRA since the development is constructed and. paying -taxes and the bonds are backed solely by TIF revenue generated from the project. If revenues are not sufficient to pay principal and interest on the bonds, the City is not required to levy taxes to make up the shortfall. It should be noted that these tax exempt bonds are "counted" against the City's Bank Qualification (B Q -- annual cap of $10 million for tax exempt debt). However, it is anticipated that with the $2 million in G4 Bonds issued by the City for the 2006 Road Reconstruction Program combined with this $5.4 million issue, the City still has the capacity to issue an additional $2.6 million in B bonds, if it deems it is necessary for other City projeets. What will the net proceeds be after paying off obligations? If we assume that we issue $5.4 million in TIF revenue bonds, the City/Authority could net approximately $5.1 million to the TIF fund (after deducting costs of issuance). 7f we subtract the $2.9 million obligation to repay the commercial lender, then the City/HRA would net approximately $2.1 million to the TIF District fund. • What will the net proceeds be utilized for? These proceeds can be utilized for qualified TIF expenditures within TIF District 3-5 or to be utilized/pooled to projects outside of the TIF district, but located in the City's Project Area. Currently, it is anticipated that the majority of the funds, approximately $1.8 million, will be utilized to pay for the 3 9t` Avenue lift station that is needed before phase II of the redevelopment can be undertaken. The remaining funds will be available for other projects determined by the City/HRA. Please contact me at 651-697-8506 with any questions. cc: Jerry Gilligan -- Dorsey & Whitney File 116 CERTIFICATION OF MINUTES RELATING TO TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT) SERIES 2006 HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ST. ANTHONY Municipality: City of St. Anthony Governing Body: City Council . Kind, date, time and place of meeting: A regular meeting, held on March 14, 2006, at 7:00 o'clock p.m., at the City Hall, St. Anthony, Minnesota. Members present: Members absent: Documents Attached: Minutes of said meeting, including: Pages 1 through 2 RESOLUTION NO. 06-029 RESOLUTION APPROVING ISSUANCE OF TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT), SERIES 2006 BY THE HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ST. ANTHONY . I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the bonds referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of the corporation in my legal custody, from which they have been transcribed; that the documents are a correct and complete transcript of the minutes of a meeting of the governing body of the corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at the meeting, insofar as they relate to the bonds; and that the meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and .notice of such meeting given as required by law. WITNESS my hand officially as such recording on March 14, 2006. City Clerk 117 Councilmember introduced the following resolution and moved its adoption, which motion was seconded by Councilmember RESOLUTION NO. 06-029 RESOLUTION APPROVING ISSUANCE OF TAX INCREMENT REVENUE BONDS (SILVER LAKE VILLAGE PROJECT), SERIES 2006 BY THE HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ST. ANTHONY BE IT RESOLVED by the City Council of -the City of St. Anthony (the "City"), as follows: Section 1. Recitals. 1.01. Authorization. The City and the Housing and Redevelopment Authority of the City of St. Anthony (the "Authority") have established Tax Increment Financing District No. 3- 5 (the "TIF District") pursuant to authority granted by Minnesota Statutes, Sections 469.174 to 469.179, as amended (the "Tax Increment Act"), within.the Redevelopment Project Area No. 3 of the Authority (the "Redevelopment Project"), , and have approved a tax increment financing ) pp g plan for the purpose of financing certain improvements within the TIF District. In order to provide for the redevelopment of the Redevelopment Project and the TIF District, including, but not limited to, the redevelopment of the portion of the Redevelopment Project and TIF District located west of Silver Lake .Road in the vicinity of the intersection of Silver Lake Road and 3 9th Avenue N.E. (the "Commercial Development Property"), the Authority and the City entered into a Redevelopment Agreement, dated December 19, 2003, as amended (the "Contract"), between the City, the Authority and Apache Development, LLC, the portion of which with respect to the redevelopment of the Commercial Development Property has been assigned to St. Anthony Retail Development, LLC (the "Redeveloper"). Pursuant to Section 469.178 of the Tax Increment Act, the Authority is authorized to issue and sell its bonds or notes for the purpose of financing public development costs in a redevelopment proj ects and to pledge tax increment revenues derived from a tax increment financing district established within the Redevelopment Project to the payment of the principal of and interest on such obligations. Pursuant to the terms of the Contract, the Authority issued to the Redeveloper its Limited Revenue Taxable Tax Increment Revenue Note, dated December 19, 2003 (the "Series 2003 Note"), in the principal amount of $2,554,583, payable solely from tax increment revenues generated from Commercial Development Property. Pursuant to the terms of the Contract, the Agency agreed to refund the Series 2003 Note with tax-exempt tax increment revenue bonds when the conditions set forth in the Contract for the issuance- of such revenue bonds have been satisfied. Such conditions have been satisfied for the Series 2003 Note. To refund the Series 2003 Note and to finance public improvements to be undertaken by the City in the Redevelopment Project, it has been proposed that the Authority issue its Tax Increment Revenue bonds (Silver Lake Village Project), Series 2006 (the "Bonds"), pursuant to an Indenture of Trust (the "Indenture") between the Authority and U.S. Bank National Association as trustee (the "Trustee"). The Authority is authorized by the Tax Increment Act and Minnesota Statutes, Chapter 475 to issue tax increment revenue 118 bonds to redeem and prepay the outstanding amount of the Series 2003 Note and to finance public improvements to be undertaken by the City in the Redevelopment Project. The Bonds shall be payable solely from tax increment revenues from the Commercial Development Property pledged to the payment thereof pursuant to the Indenture and from certain funds held by the Trustee under the Indenture and pledged to the payment of the Bonds. Section 2. Approval of Bonds. 2.01. The City Council hereby determines that the issuance of Bonds is in the best interests of the City and the Authorityd a the issuance of the Bonds b h anroves pp y the Authority in the maximum principal amount of $5,800 ,000 for the purposes of refundingthe Series 2003 Note, financing public improvements to be undertaken by the City in the Redevelopment Project, J P funding a debt service reserve fund for the Bonds, if determined to be necessary to market the Bonds, and paying costs of issuance of the Bonds. Adopted by the City Council of the City of St. Anthony on this 14th day of March, 2006. Attest: City Clerk Reviewed for Administration: City Manager �2- 119 Mayor Pro Tem .Report Date:' March 8, 2001 Meeting Date: March 14, 2004w,' Agenda Section: VI, C ITEM DESCRIPTION: Resolution 06-030: Joint Powers Agreement for Police Services with the City of Lauderdale. Imr."111, INCRA19a, This is a joint powers agreement with the City of Lauderdale for a three-year term. Typically in the past it has been a two-year term. Following is a summary of the increases for services: .Curre'nt 2007 2008 . /1• $255)254 $2697300 $2847100 $299, 1 725 Approval of Resolution 06-030; Approval of the Joint Powers Agreement for Polices Services with the City of Lauderdale for the year 2007 though .2009 /Y A Michael M6(n n City Manager Contract Agreement for Police Services Page 1 CONTRACT AGREEMENT FOR POLICE SERVICES This Agreement is made and entered into as of , 2006 between the CITY OF ST. ANTHONY, a municipal corporation under the laws of the State of Minnesota ("St. Anthony") and the CITY OF LAUDERDALE, a municipal corporation under the laws of the State of Minnesota ("Lauderdale"). The services to be performed under this Agreement will commence January 1, 2007. I. PURPOSE St. Anthony and Lauderdale have the power within their respective cities to provide for the prevention of crime and -for police protection. Under Minnesota Statutes, Section 471.59, the cities may, by agreement, provide for the exercise of the police power by one city on behalf of the other city. This Agreement sets forth the terms and conditions under which St. Anthony will provide police services for Lauderdale. St. Anthony will have full authority and responsibility to provide services in accordance with all enabling legislation under the laws of the State of Minnesota and the ordinances of Lauderdale. St. Anthony will provide feedback to the Lauderdale City Administrator and City Council on a regular and timely basis, and will actively support -the creation of, a joint advisory committee pursuant to Section IX of this Agreement, whose members come from both cities, and whose purpose is to review, monitor, and ensure a successful relationship .between the two cities under this Agreement. II. INTERPRETATION This Agreement is entered following the preparation by Lauderdale of a Request for Proposal for Police Services and the submission of a responsive Proposal by St. Anthony (the "Proposal"). To the extent that any of the provisions of this Agreement are inconsistent with the ' provisions of the Proposal, the provisions of this Agreement will control. If any provision of this Agreement is ambiguous, the parties agree that the Proposal may be looked to as evidence of the parties' intent. Ill. SERVICES St. Anthony will provide Lauderdale with 24 hour police service, and will physically place a certified officer within the boundaries of Lauderdale 16 hours each day, except in those instances when the officer makes an arrest and transports a prisoner, during- mutual aid situations, when providing a backup for- another officer, or when called away for a court appearance, booking or similar police matter. Subject to these exceptions and in normal circumstances, St. Anthony will provide 16 hours of police protection and police presence. each day within the City of Lauderdale. In those instances stated above when an officer is not physically present in Lauderdale, St. Anthony will respond to emergency police calls with other officers. IV. LEVEL OF SERVICES During the term of this Agreement, St. Anthony will provide to Lauderdale the same police service extended to persons and property within St. Anthony, which will include, but be limited to, the following: A. Patrol services, with random patrolling of all residential, business and public property areas during all shifts; B. Police presence within the boundaries of Lauderdale 16 hours each day, subject only to the exceptions noted above; C. Animal control services as provided within the City of St. Anthony by the animal control service employed by St. Anthony; 121 Contract Agreement for Police Services Page 2 D. Enforcement of all ordinances of Lauderdale which are intended to be enforced by police officers, with special attention being given to parking, winter*and nuisance ordinances; E. Ticketing for traffic violations will be done routinely during normal shifts; F. Crime prevention programs that encourage community involvement and investment in the City of Lauderdale, including participation in the Mayor's Commission, Family Violence Network, Neighborhood Watch Programs, "McGruff Houses," and "Combat Auto Theft" programs; in appropriate cases, referrals will be made to the Northwest Youth and Family Services Youth Diversion .Program; G. Criminal investigations, crime lab service and supervisory service; H. Reports on police services and activities, including weekly, monthly and annual police reports; I. Responses to medical emergencies, fires and other emergencies; responses shall include, where appropriate, securing the scene for fire/rescue personnel, accompanying fire/rescue personnel to the hospital. upon request of such personnel, and providing follow-up inform.ation to fire/rescue personnel upon request of such .personnel; J. Officers will be available at Lauderdale City Hall to answer questions from, and provide information regarding police activities to, Lauderdale residents, business owners and staff on an as -needed basis; K. License inspections, background investigations and license enforcement services as called for under applicable state law or city ordinances; L. Review and comment, upon request, of proposed Lauderdale ordinances affectingP olice services or enforcement; M. Follow-up on reported crimes with the person(s) who reported the crime, including routine notification by telephone or mail as to the status of the investigation; and N. Special event traffic patrol services, including ten days per year during the State Fair; and other events such as periodic parades and the National Street Rods Association Convention. V. PAYMENT FOR SERVICES This Agreement will be effective January 1, 2007, and will continue until December 31, 2009. In consideration of the services to be provided under this Agreement, Lauderdale will pay St.. Anthony an annual fee of $269,300 for the year 2007, $2841100 for the 2008, and an annual fee of $299,725 for 2009 for the police service under this Agreement. This Agreement will be effective January 1, 2007, and will continue indefinitely unless canceled in accordance with the procedure outlined in Section XX of this Agreement. In consideration of services provided for under this Agreement, St. Anthony and Lauderdale shall establish the fee for these services by May 15, 2009. VI. . METHOD OF PAYMENT St. Anthony will bill Lauderdale monthly for 1/12 of the annual fee, and Lauderdale will promptly remit payments to St. Anthony within 30 days after receiving each billing from St. Anthony. 122 Contract Agreement for Police Services Page 3 VII. LIABILITY St. Anthony will be responsible for all liability incurred as a result of the actions of St. Anthony police officers under this Agreement, and will hold Lauderdale, its officers and employees harmless for any liability resulting from actions of a St. Anthony employee and shall defend Lauderdale, its officers and employees, against any claim for damages arising out of St. Anthony's performance of this Agreement; provided, however, that if the claim, action or liability is one which is insured by St. Anthony's liability insurer, Lauderdale will bear the first $5,000.00 of expense for any such claim, action or liability, or expenses relation thereto, including attorneys' fees, to the* extent not covered by the insurer because of a deductible amount under the policy (which deductible amount is currently $10,000.00). VI 11. ADMINISTRATIVE RESPONSIBILITY The law enforcement and police services. rendered to Lauderdale will be under the sole direction of St. Anthony. The standards of performance, the hiring and discipline of officers assigned, and other matters relating to regulations and policies related to police employment, services and activities, will be within the exclusive control of St. Anthony. The parties hereto expressly affirm the. importance of work force diversity and St. Anthony agrees to use reasonable efforts, within applicable departmental budgetary limits, to recruit qualified female and minority police officers. IX. JOINT ADVISORY COMMITTEE Both cities will appoint members to a ' joint advisory committee. The committee will meet at least four times each year to ensure that this Agreement and the services performed pursuant to this Agreement are meeting the expectations of both cities. Any recommendations of the committee will be strictly advisory. X. COMMUN-(CATIONS, EQUIPMENT AND SUPPLIES St. Anthony will furnish all communication equipment and any necessary supplies required to perform the services, which are to be rendered under this Agreement. X1. COOPERATION AND ASSISTANCE AGREEMENTS Lauderdale will be*inciuded in all cooperative agreements entered into by the St. Anthony Police Department with other police services units. XII. HEADQUARTERS Headquarters for services rendered to Lauderdale under this Agreement will be located at offices owned or leased by St. Anthony. The citizens of Lauderdale may notify headquarters or Ramsey County radio dispatch for police services requested either in person or by some other means of communication. St. Anthony officers may take routine telephone calls and complete routine reports for Lauderdale at the Lauderdale City Hall, and Lauderdale will have facilities available to the officers at Lauderdale City Hall for this purpose.. The facilities will include a desk, telephone, fax and copier. XIiI. EMPLOYEES OF ST. ANTHONY Officers assigned to duty in Lauderdale will at all times be employees of St. Anthony. All obligations with regard to workers compensation, PERA, withholding tax, insurance, and similar personnel and employment matters will be the obligation of St. Anthony. Lauderdale will not be required to furnish any fringe benefits or assume any other liability of employment to any officer assigned to duty within Lauderdale. 123 Contract Agreement for Police Services Page 4 XIV. ENFORCEMENT POLICIES Enforcement policies of St. Anthony will prevail as the enforcement policies within Lauderdale. A written statement of the current enforcement policies of St. Anthony will be provided in writing to Lauderdale. XV. ENFORCEMENT OF ORDINANCES OF THE CiTY OF LAUDERDALE St. Anthony officers assigned to duty within Lauderdale will enforce Lauderdale ordinances to the extent appropriate for enforcement by police officers. XVI. OFFICERS OF LAUDERDALE The officers assigned duty within Lauderdale will be provided with authority to enforce the laws of the City of Lauderdale by proper action to be taken by the Lauderdale City Council, and while performing services under this Agreement will be considered police officers of Lauderdale. The Chief of Police of St. Anthony will furnish to the Lauderdale City Administrator the names of all St. Anthony -police officers assigned to Lauderdale and all such officers will be appointed officers of the City of Lauderdale. XVII. OFFENSES All offenses within Lauderdale charged by police officers under this Agreement will be charged in accordance with Lauderdale ordinances when possible; otherwise, the charge will be made -in accordance with the laws of the State of Minnesota or the laws of the United States of America. XVIII. COMMUNICATIONS St. Anthony agrees to provide the Lauderdale Administrator with weekly, monthly and annual police reports, in a format as is mutually agreed to by the St. Anthony Police Chief and the Lauderdale City Administrator. The St. Anthony Police.Chief will regularly communicate with the Lauderdale City Administrator in order to ensure that Lauderdale is knowledgeable about any police activity in the City, and at the request of the Administrator the.Police Chief will make presentations to the Lauderdale City Council.. XIX. PROSECUTION AND REVENUES Lauderdale will pay all costs of prosecution for all offenses charged within its boundaries or under its ordinances. LEAA funds and confiscated drug funds will be retained by St. Anthony. Fine revenues will be paid to Lauderdale. P.O.S.T. training funds, will be used for officer training. XX. CONTINUATION OF AGREEMENT This Agreement will be effective January 1, 2007 and will continue until terminated as described in Paragraph XXI below. In consideration for services provided under this Agreement, St. Anthony. and Lauderdale shall establish the. fee for police services by May 15, 2009. XXI. TERMINATION OF AGREEMENT Either St. Anthony or Lauderdale may terminate the Agreement by submitting a written notification to terminate to the City Administrator of Lauderdale and the City Manager of St. Anthony by April 15th of even numbered years that St. Anthony or Lauderdale intends to terminate the Agreement. Termination of 124 Contract Agreement for Police Services Page 5 this Agreement shall be effective on December 31 st at* 11:59 of the year that either St. Anthony or Lauderdale terminate the Agreement, XXII. REVIEW OF AGREEMENT From time to time the terms and conditions of this Agreement shall be reviewed and revised, as St.. Anthony and Lauderdale deem necessary. XXIII. ASSIGNMENT The rights and obligations of the parties under this Agreement will not be assigned, and St. Anthony will not subcontract for any services to be furnished to Lauderdale (except as otherwise provided in this Agreement), without the prior written consent of the other party. The parties hereto 'have executed this Agreement as of the date first above stated. CITY 0 AUDER ALE CITY OF ST. ANTHONY By• By: --- Mayor By: City Administrator By• City Manager Date: Date: 125 CITY OF ST. ANTHONY VILLAGE RESOLUTION 06-030 A RESOLUTION APPROVING THE JOINT POWERS AGREEMENT FOR POLICE SERVICES WITH THE CITY OF LAUDERDALE AND AUTHORIZING THE MAYOR PRO TEM AND CITY MANAGER TO EXECUTE SAID AGREEMENT WHEREAS, the City of St. Anthony and the City of Lauderdale desire to enter into a joint powers agreement whereby the City of St. Anthony agrees to provide police services for the City of Lauderdale for the period 2007 through 2009. Adopted this 14th. day of March, 2006. ATTEST: City Clerk Review for Administration: 126 Mayor Pro Tem City Manager 2006 To Do List From Goal Setting Item Responsible Person Date Smoking Ban KMS Completed 1/31/06 Expenditure Policy RL Completed 1/31/06 10 PM Closing for Liquor Stores ML On -Going Emergency Phone System JO April 11 Grant for Ladder Truck JM On -Going Falcon Heights/Lauderdale Contracts MM Lauderdale -March 14 Falcon Heights - April 25 Communication to Community Like Value of Services, Former Elected Officials, Newsletters All On -Going Sister City Sculpture Dedication CC June 6 - 9 Security Improvements to Community Center JO/JH Completed 1/31/06 Emergency Operations Exercise JM April 18 Speed Cart JO On -Going Review Planning &Zoning Ordinances Clean -Up KMS/PC On -Going Improvement to AV Room RL/JH/BS On -Going Council Chambers Kiosk JH/BS On -Going 2006 GOALS Solution for Inflow and Infiltration Automatic Water Meters Silver Lake Road Project Comprehensive Plan Amendments Emerald Park Plan FUTURE COUNCIL AGENDA ITEMS adated March 8, 2006 Meeting Meeting Staff Items/Issues Date Type Planning Commission Issues of March 21 March 28 1) Conditional Use Permit for Beauty Salon in apartment community -The Landings Department Heads Reports Department Liquor Public Works Heads Fire Police ,4prfi 1 Special at Firestation Former Elected Officials Meeting April 11 6:15 PM Worksession Foss Road Lift Station Feasibility Report City Engineer Automatic Water Meters & I Program Plan presented to City Council Ehlers Update in Financial Strategies Appointing Task Force for Comprehensive Land Use Plan Appointing Planning Firm for Comprehensive Land Use Plan April 25 Planning Commission Issues of April 18 Falcon Heights Police Contract Feasibility Report on Wireless Internet Finance Director Public Hearing on the 2007 Budget May 9 May 23 Planning Commission Report from May 16 Finance Director/ Audit Presentation Tautges Redpath May 30 Joint Meeting with School Board June 13 June 27 Planning Commission Issues of June 20