HomeMy WebLinkAbout2007.02.20 EDA Packet r
AGENDA
CITY OF HUGO
CITY COUNCIVEDA MEETING
TUESDAY, FEBRUARY 20, 2007 - 9:30 AM
HUGO CITY HALL
9:30 am 1. Call to Order
9:31 am 2. Roll Call
9:32 am 3. Approval of Minutes
EDA Meeting of January 16, 2007
9:35 am 4. Discussion on Kidz Place Rental Space
• Deanna Hudella—Kidz Place
• Diana & Chakib Benzakour
9:50 am 5. Review of TIF Policy and Plan
• Paul Steinman and Mikaela Huot (Springsted)
11:30 am 6. Adjournment
BACKGROUND MEMO FOR THE EDA MEETING OF
Tuesday, February 20, 2007
3. Approval of Minutes EDA meeting of January 16,2006
City staff recommends that the EDA approve the minutes for the January 16, 2007
EDA meeting as presented.
4. Discussion on Kidz Place Rental Space
On September 14, 2006 the City Council approved a site plan for Kidz Place Child
Care Center located at 5448 Forest Boulevard North. The building includes a daycare
and two spaces for office rentals. The owners of Kidz Place have been approached by
the owners of Tasty Asia in Wyoming, MN to possibly acquire both of the spaces for
their restaurant. Tasty Asia is a take-out and dine-in restaurant with a bakery. The
property is zoned Residential Service and restaurants are prohibited by the ordinance.
The owners of Kidz Place feel this use will be compatible with the daycare, the
surrounding residential services and the residential areas. Staff agrees with the owners
and has been researching this issue for the past week. The property owner and the
owners of the restaurant will be present to discuss bring this business to Hugo. The
Staff will present options for the Council and EDA to consider at the meeting.
5. Review of TIF Policy and Plan
Paul Steinman and Mikaela Huot will be at the meeting to present the TIF policy and
plan to the City Council and EDA. They are requesting input from the EDA and
Council on the policy and plan for finalization of the documents. Staff has attached
the TIF policy and plan for the City Council and EDA's review.
MINUTES FOR THE EDA MEETING OF JANUARY 16, 2007
EDA Vice President Phil Klein called the meeting to order at 9:30 am.
PRESENT: Jan Arcand, Jim Bever, Tom Denaway, Mike Granger, Phil Klein, and Fran
Miron
City Administrator Mike Ericson, CD Director Bryan Bear,Associate Planner Rachel
Simone
ABSENT: Brian Thistle
APPROVAL OF MINUTES EDA MEETING OF DECEMBER 18,2006
Granger made motion, Denaway seconded, to approve the minutes for the EDA meeting of
December 18, 2006 with the change of members absent.
All aye. Motion carried.
UPDATE AND DISCUSSION ON TIF DISTRICT
Staff has completed the necessary tests to determine if the proposed TIF District will
qualify. The proposed TIF District will qualify and has met the coverage and building
inspection tests as outlined in Minnesota State Statutes. Staff attached a map of the
proposed TIF District.
Staff has been working with the TIF Subcommittee and Springsted to develop details for
the policy and application for the entire TIF District. The policy includes requirements
for a development to meet before it can qualify for TIF. Attached to the packet was the
draft TIF policy that was revised by the subcommittee and Paul Steinman from
Springsted.
The TIF application is a process by which the City can evaluate a project to see if it will
qualify for TIF. The applications will be graded by completing the application review
worksheet. From the evaluations of the worksheet the city will determine if the project
qualifies to receive TIF and the term the project will receive.
Staff has been working with the TIF Subcommittee to develop a plan for the downtown
to include what the EDA would like to see in the area along Egg Lake. Staff attached a
map of the area across from City Hall and along Egg Lake to help demonstrate the area
we have potential to work with. The EDA discussed what kind of development they
would like to see in the downtown area. The next step in the process is to schedule a
public hearing at a City Council meeting within the next couple of months. This will
provide the public a chance to present feedback to the City Council about the TIF
District.
Associate Planner stated that the tests do meet the qualifications to establish a TIF
District and introduced the TIF policy to the EDA for review and comments. She stated
that the policy needs to be reviewed and input from the EDA will help staff revise the
policy to reflect what the EDA would like to see for the TIF district. Granger talked about
the qualifications and asked what the difference between a redevelopment district is
verses an economic development district. Denaway explained that an economic
development district is basically used for industrial parks.
The EDA evaluated the TIF application and the review worksheet for projects submitted
to the City. Miron stated that the job creation and wage expectation needs to be
reasonable for this area.
Miron talked about the review worksheets point system in regards to the use. He stated
that mixed-use should be as important as the office/commercial. Bever stated that
housing should be a bit lower also. Granger and Denaway agreed with both. They want
staff to look at this portion and change the point system.
Denaway talked about the terms for TIF monies from the first year to the fifth.
Miron talked about the properties that the City would like to redevelop and that we need
to make sure we are ready to go ahead with the TIF district establishment. Associate
Planner talked about the Egg Lake properties that the City owns and the redevelopment
possibilities of that area. CD Director talked about the Holmgren property being in the
middle of the area and that it may be an important piece to acquire if we can not work
around it. CD Director asked if staff should go ahead with the establishment for the TIF
district or should staff hold off for a little bit. Everyone agreed that staff should go ahead
with the next steps to establishing the TIF district. Miron stated that he would like to
know if there is an easement behind Carpenters Restaurant that abuts Egg Lake.
CD Director stated that the first properties that he imagines would redevelop first are the
Carpenters and the End Zone properties. Klein asked what steps the City needs go
through now that we know our proposed district will qualify. Denaway stated that it
would have to go to the City Council for a public hearing and then the City could certify
the district. Granger asked if there was a time limit from the public hearing to the
certification of the district. CD Director stated that the staff will check if there is a time
limit between the two.
Bever and Klein both asked if staff has been aggressive enough in acquiring the Egg
Lake properties. CD Director stated that we have been acquiring them as they came on
the market and staff has talked to all the property owners in that area. Granger stated that
the City should not actively go out and offer to buy property.
Granger stated that we need to get a marketing and promotional plan for the TIF district
so people can see what we have to offer. Arcand stated that we need to keep our push on
downtown redevelopment and make sure the City takes into consideration the expansion
that could happen on Highway 61. CD director stated that staff will work on a marketing
plan and that there is a working group for the expansion of Highway 61. Miron stated that
on one of the next agendas the expansion of Highway 61 should be a discussion item.
Bever asked if the rush line corridor would be a problem with the expansion. Granger
stated that the corridor will most likely be federally funded and could be a long time from
now.
Miron made a motion, seconded by Denaway, to recommend the City Council to hold a
public hearing for the TIF District around March 19, 2007.
All aye. Motion carried.
UPDATE ON DOWNTOWN MASTER PLAN FOR CONCEPT CHANGE AT
SOUTHWEST CORNER OF COUNTY ROAD 8 AND HIGHWAY 61
At its March 15, 2006 meeting the EDA made a recommendation to staff to look at
having more office on the downtown plan for the southwest corner of County Road 8 and
Highway 61. Bryan Bear has been working with Carolyn Krall from Landform to develop
a new plan for the area. Staff attached a revised plan that includes office buildings and
requested comments from the EDA. Staff attached the Hugo Downtown Plan and Design
Guidelines for the EDA to review.
Denaway asked how the new concept relates to the Maxfield study. CD Director stated
that this concept that includes more office and commercial would be consistent with the
study and that including some residential may still be appropriate.
Bever stated that he likes that idea of more office. All EDA members were favorable of
the new concept.
Miron made a motion, seconded by Arcand, for staff to prepare the final version of the
downtown plan to formally adopt the guidelines.
All ayes. Motion carried.
HUGO BUSINESS ASSOCIATION UPDATE
The Hugo Business Association(HBA) launched their website in December just before
the New Year. Visit the HBA website at www.hugobusinesses.com. City Administrator,
Mike Ericson, attended the HBA's January 9, 2007 meeting and updated the EDA on the
City's involvement with the HBA.
EDA 2007 GOALS
Staff attached the EDA Goals for 2007 for the EDA to review. The EDA talked about the
northern gateway being an important goal.
ADJOURNMENT
Klein made motion, Arcand seconded to adjourn the meeting at 11:30 am
All aye. Motion carried.
MINUTES FOR THE JOINT COUNCIL/EDA MEETING OF
r FEBRUARY 20, 2007
EDA President Fran Miron called the meeting to order at 9:40 am
COUNCIL:
PRESENT: Frank Puleo, Mike Granger, Fran Miron, Becky Petryk, and Chuck Haas
EDA:
PRESENT: Jan Arcand, Jim Bever,Tom Denaway, Mike Granger, Phil Klein, and Fran
Miron
City Administrator Mike Ericson, CD Director Bryan Bear,Associate Planner Rachel
Simone
ABSENT: Brian Thistle
APPROVAL OF MINUTES EDA MEETING OF JANUARY 16,2007
Granger made motion, Klein seconded, to approve the minutes for the EDA meeting of January 16,
2007.
All aye. Motion carried.
DISCUSSION ON KIDZ PLACE RENTAL SPACE
On September 14, 2006 the City Council approved a site plan for Kidz Place Child Care
Center located at 5448 Forest Boulevard North. The building includes a daycare and two
spaces for office rentals. The owners of Kidz Place have been approached by the owners
of Tasty Asia in Wyoming, MN to possibly acquire both of the spaces for their restaurant.
Tasty Asia is a take-out and dine-in restaurant with a bakery. The property is zoned
Residential Service and restaurants are prohibited by the ordinance. The owners of Kidz
Place feel this use will be compatible with the daycare, the surrounding residential
services and the residential areas. Staff agrees with the owners and has been researching
this issue for the past week. The property owners and the owners of the restaurant will be
present to discuss bringing this business to Hugo. The Staff presented options for the
Council and EDA to consider at the meeting.
The owners of Kidz Place, Deanna Hudella and Don Hruby, and the owners of Tasty
Asia, Diana and Chakib Benzakour, were present at the meeting to give a short
presentation and to answer any questions.
Bever asked about the size of the proposed restaurant compared to the current one in
Wyoming, Minnesota. Diana stated that the proposed restaurant is larger than their
current restaurant.
Klein asked about the parking and whether they could accommodate to what is required
by ordinance. Deanna stated that they have been researching the parking situation but it
will have to be worked out with City staff.
Miron asked if the impervious surface has been calculated for any new pavement that will
be on site for parking. Deanna stated that their architect has done some preliminary
calculations on the impervious surface and they feel they will be under the required
amount.
Bryan stated that the parking will have to be worked on at a later time and needs to be
figured out before we get too involved in the process. The issue today is the ordinance
change.
Denaway stated that a restaurant that does not serve alcohol would be a good fit and the
surrounding zoning is residential service.
Granger agreed that it would be a good fit but the parking is a big issue. He also asked
about the odor from the restaurant to the daycare center and the surrounding properties.
Deanna stated that the owners of Tasty Asia have talked about that and will make sure
that the ventilation equipment will reflect this issue.
Arcand stated she is hopeful for a restaurant in Hugo.
Klein agreed that it is a good fit,but parking is an issue that he thinks can be worked out
between the owners and the City.
Granger made a motion, seconded by Klein, to recommend that Council authorize staff to
draft an ordinance amendment to allow a restaurant use in the Residential Service Zoning
District.
Granger made a motion, seconded by Klein, to amend the first motion to include that the
City Council look at other options that were outline in the staff report as examples of
solutions.
Miron stated that the council has reviewed the other options at this meeting and that this
one does seem to be the best option.
All nays. Amendment failed.
Klein made a motion, seconded by Granger, to recommend that Council authorize staff to
draft an ordinance amendment to allow a restaurant use in the Residential Service Zoning
District.
All ayes. Motion Carried.
REVIEW OF TIF POLICY AND PLAN
Paul Steinman and Mikaela Huot were at the meeting and presented the TIF policy and
plan to the City Council and EDA. They requested input from the EDA and Council on
the policy and plan for finalization of the documents. Staff attached the TIF policy and
plan for the City Council and EDA's review.
Haas asked about the public improvements and whether districts revenues pay for them.
Paul Steinman stated that some would be paid with it and some would not. Each project
will be reviewed individually to see if it is needed. Petryk asked if improvements were to
happen on Highway 61 could TIF revenues be used. Paul Steinman stated that it could be
used.
Haas asked why the policy requires projects to increase the taxable value thrre-fold. Paul
Steinman stated that this is a way to make sure that projects are up to the City's
expectations. CD Director stated that the policy is a guiding document and changes can
be made if it does not seem to work as well as we would like.
Petryk asked about the terms. Paul Steinman stated that the City should plan for
maximum flexibility.
Mikaela Huot went over the TIF Plan with the Council and EDA.
Haas asked with other districts did we not budget enough money within five years. Paul
Steinman stated that we have researched how much revenue will be generated and then
looked at how much we would need for public improvements. In addition, there will be
annual monitoring. Mikaela Huot stated that they are still working through this issue.
Miron talked about the boundaries of the district. Haas asked if they were set in stone as
of now. Mikaela Huot stated that they are not set, but will be set at the public hearing on
April 2nd, 2007.
Arcand asked about the four year rule and if the property does not have a plan in can it be
removed. Paul Steinman stated that is true, but it can come back in at current market
value. Arcand talked about the importance of the timing of certification of the district.
Denaway made a motion, Arcand seconded, to recommend adoption of the TIF policy.
All ayes. Motion Carried.
ADJOURNMENT
COUNCIL:
Hass made a motion, Granger seconded to adjourn the City Council meeting at 11:30 am
Granger made motion, Bever seconded to adjourn the EDA meeting at 11:30 am
All aye. Motion carried.
Agenda Number
CITY OF HUGO COMMUNITY
DEVELOPMENT DEPARTMENT
MEMORANDUM
TO: City Council/EDA
FROM: Rachel Simone, Associate Planner
SUBJECT: Kidz Place Child Care Center Office Rental
DATE: February 15, 2007 for the EDA meeting of February 20, 2007
1. OVERVIEW:
On September 14, 2006 the City Council approved a site plan for Kidz Place Child Care Center
located at 5448 Forest Boulevard North. The building includes a daycare and two spaces for
office rentals. The owners of Kidz Place have been approached by the owners of Tasty Asia in
Wyoming, MN to possibly acquire both of the spaces for their restaurant. Tasty Asia is a take-out
and dine-in restaurant with bakery.
The property is zoned Residential Service and restaurants are prohibited by the ordinance. The
owners of Kidz Place feel this use will be compatible with the daycare, the surrounding
residential services and the residential areas. Staff agrees with the owners and has been
researching this issue for the past week.
2. ANALYSIS:
Staff has researched other cities that allow restaurants in residential service areas. Most of them
allow restaurants and some of them allow restaurants that serve alcohol. Staff does not think that
a restaurant that serves alcohol will be a good fit in the area because it may disturb the residential
neighborhoods. Also a drive thru restaurant may not fit in the area either because of the stacking
of cars and the noise from the speakers. The Tasty Asia restaurant is not a drive thru and will not
serve alcohol.
The other issue besides the zoning with the restaurant use occupying the space next to Kidz Place
is the parking. When the Kidz Place site plan was approved the rental space was proposed to be
office. The parking was calculated by the requirements for an office use. Restaurant parking is
calculated by the square footage of dining area and requires more parking than an office use.
With the daycare and the proposed restaurant in the building, the requirement for parking would
total 83 spaces including an area for outdoor dining. The site currently has 45 parking spaces.
The issue of parking needs to be addressed before the restaurant could be allowed. The property
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Page 2
does have some space on the eastern portion of the site to include additional parking,but needs to
be researched to make sure there will be adequate parking for both uses.
It is in staffs opinion that the City's parking code requires an unusually high number of spaces
for restaurants, and is another ordinance that could be changed to better encourage businesses of
this type.
3. EXAMPLES OF SOLUTIONS:
The City Staff has recognized the request and has come up with possible solutions to the issue.
1. The City could revise the zoning ordinance to allow a restaurant use in the
Residential Service district with the restriction that alcohol could not be served
and to prohibit drive thru restaurants.
2. The property could be rezoned to a commercial district to allow the restaurant use
with a conditional use permit for the daycare facility.
3. The owners of Tasty Asia are encouraged to expand their business in an alternate
location with appropriate zoning.
4. CONCLUSION:
Staff recommends that the City Council and EDA review this issue and provide direction to staff.
ATTACHMENTS:
1. Location Map
2. Kidz Place Site Plan
3. Business Profile for Tasty Asia
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BUSINESS OVERVIEW
TASTY ASIA RESTAURANTS
WYOMING, MN
HUGO, MN
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Prepared By: With Assistance From:
DIANA & CHAKIB BENZAKOUR MEDA Business Consulting
26685 Faxton Ave SCOTT OCHSNER
Wyoming, MN 55092 Commerce at the Crossings
(651)462-1200 2502 ND Avenue South, Suite 106
Minneapolis, MN 55401
(612) 259-6574
JANUARY 2007
BUSINESS PROPOSAL FOR TASTY ASIA RESTAURANTS
Table of Contents
1 - Executive Summary .............................................. 2
2 - The Market ............................................................. 2
3 - Service and Products ........................................... 3
4 Competitive Advantage ........................................ 4
5 - Management .......................................................... 5
6 — Proposed Site........................................................ 6
7 — Current Tasty Asia Take-Out (wyoming, MN)............ 7
Confidential Page - 1 - 2/16/200'
BUSINESS PROPOSAL FOR TASTY ASIA RESTAURANTS
1 — EXECUTIVE SUMMARY
Tasty Asia Restaurant is an expansion of our current restaurant Tasty Asia Take-Out in
Wyoming, MN. We've had a successful 2 '/ years in Wyoming and feel that we have
saturated the market in this area. The next logical step for us is to take Tasty Asia to a new
location. We feel we have the tools, the knowledge and the recipe for success to duplicate
Tasty Asia in Hugo, MN. We are confident with our abilities, work ethic and passion about
Tasty Asia that we have developed a 3 phase 5 year expansion plan. Phase I will be to
expand Tasty Asia in Hugo 2007. Phase II & III will be to open restaurants in affluent,
growing communities with a need for Tasty Asia's products and services in 2009 and 2011.
We research each city, before opening our restaurant to insure adequate demographic for
and business / residential mix to insure a long term growth. Fresh good tasting, high
quality Asian food along with superior customer service is what Tasty Asia is extensively
known for.
2 — THE MARKET
Tasty Asia Restaurant is perfectly located at the busy intersection of Highway 61 and
140th Street in Hugo, MN. This site is located in the building next to the Kidz Place
Daycare Center. The market will be divided into three categories: 1.13usinesses 2.Families
3.Highway Traffic. We foresee lunch to be busy due to the existing businesses within a
mile from the proposed site. There are many local businesses within the vicinity of the
restaurant and as far as White Bear Lake, Forest Lake and Centerville. The dinner crowd
will comprise of families-from all of the single-family houses and town-homes in the area.
We feel we will also benefit from the families whose children are attending the daycare
center and Highway traffic which will also bring in business due to the restaurant being
located on the corner with maximum exposure from location signage.
Confidential Page- 2 - 2/16/200'
BUSINESS PROPOSAL FOR TASTY ASIA RESTAURANTS
3 — SERVICE AND PRODUCTS
Tasty Asia will provide high quality, fast, fresh, healthy food- an alternative to other fast
food restaurants. We use only the finest, high quality ingredients and all the entrees are
prepared when ordered- not before hand. We offer gluten-free menu for customers with
gluten allergies. What separates Tasty Asia from other Asian restaurants is also our in-
house bakery. Our specialty is freshly-baked desserts. We make cakes, cheesecakes,
Tiramisu, specialty tortes, organic cookies and brownies-all from scratch with no
preservatives. We also offer specialty drinks such as Vietnamese coffee, Bubble teas and
organic beverages.
Tasty Asia is unique in that we have an online ordering system that was developed and is
maintained by one of the owners-Chakib Benzakour. The customer can place their order,
choose pick-up time, pay online using a very secure payment method, and just come in to
pick up their order. No waiting needed. All orders are confirmed by phone prior to being
processed. This method is extremely convenient for those customers who are very busy or
are in a hurry. We see this as an advantage for the parents picking up their children next
door at Kidz Place. Of course, customers can also order by phone for pick-up or order in
person and enjoy the meal in our cafe. The decor is unique to Tasty Asia and will be
replicated in all restaurants. Our colors were carefully chosen to give a warm, comfortable,
relaxing atmosphere to our customers. Asian influences will be tastefully reflected in the
overall decoration of the restaurant.
Another feature of Tasty Asia that was very well received and appreciated by customers in
our Wyoming location is our open kitchen. We believe that if the customer is able to see
how their food is prepared; and see the cleanliness of the kitchen, then that will give them
peace of mind and build a trusting relationship between customer and restaurant.
Cleanliness will by synonymous with Tasty Asia. The kitchen, cafe, restrooms and patio
will always be spotless. Anything less is unacceptable to Tasty Asia's high standards.
Tasty Asia is already known for our excellent customer service- both on the phone and in
person. We guarantee the customer a pleasant experience every time. Our employees are
trained to be courteous and helpful to every customer. Creating a good working
environment for our employees reflects in their positive attitude and service.
Tasty Asia also offers catering to both large and small groups. All catering menus are
customized to the customer's wants and needs. We feel every event is unique to the party,
therefore having customers choosing items from a generic, pre-set menu will not fully
serve the customers needs. Any event catered by Tasty Asia will be unforgettable.
Confidential Page - 3 2/16/200
BUSINESS PROPOSAL FOR TASTY ASIA RESTAURANTS
4 — COMPETIVE ADVANTAGE
Tasty Asia will gain advantage over our competitors by offering:
■ Great tasting, fresh, high quality Asian food
■ Superior customer service
■ Freshly baked desserts
■ Upscale clean, casual, relaxed atmosphere
■ Gluten-free menu
■ Online ordering
■ Located on the corner of a busy intersection-Highway 61 & 1401h St
■ Open 7 days a week
■ Experienced management
■ Tasty Asia name and logo is trademarked; and therefore easily recognizable
■ Consistency in food quality due to standardization of all recipes
Confidential Page-4- 2/16/200'
BUSINESS PROPOSAL FOR TASTY ASIA RESTAURANTS
5 - MANAGEMENT
Diana Benzakour brings her culinary skills to the kitchen;
having grown up and being exposed to the restaurant
business. Her grandparents opened their first Vietnamese
restaurant in St. Paul, MN in 1985. Her parents followed
AM, with their own restaurant in St. Paul, MN near the state
capital in 1991. Diana was constantly surrounded by good
cooks in her family-grandmother, mother, and aunts. She
went on to study Dental Hygiene at the University of
Minnesota and graduated in 1991. She practiced dental
hygiene for 13 years but felt the strong pull of the restaurant
business like the rest of her family. Her passion is cooking,
baking, and creating food items. She has many resources to turn to for guidance
and advice. Diana is fluent in English, French and Vietnamese.
Chakib Benzakour immigrated to Boston, MA in 1987. Not
speaking a word of English, he started to work in the kitchen
of Au Bon Pain as a dishwasher, where he quickly moved
up the ladder within 6 months, from cashier to lead baker
and finally assistant manager. While working at Au Bon
Pain, Chakib attended Wentworth Institute of Technology
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where he obtained a Bachelor of Science in Electronics and
Computer Technology. He then worked as a Sales
Engineer from 1995 to 2003 at Electro Sales, Inc. where he
headed the Management Information Systems department.
He has experience and knowledge in the operation and
management of a fast food service restaurant such as forecasting production,
crew management, hiring, inventory management and ordering, sanitation as
well as weekly profit and loss reporting and many other related tasks. His
expertise in computer engineer allowed him to design the restaurant website and
to update and maintain it, which is critical to the on-line ordering system. His
other skills also include fluency in not only English, but French and Spanish as
well.
Confidential Page- 5 - 2/16/200'
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Springsted Incorporated
380 Jackson Street, SuiteN
Saint Paul,MN 55101-289
Springsted
Tel: 651-223-3000
Fax: 651-223-3002
www.springsted.com
MEMORANDUM
TO: Bryan Bear,Community Development Director
Rachel Simone, Associate Planner
FROM: Paul T. Steinman, Vice President/Consultant
Mikaela Huot,Assistant Vice President/Consultant
DATE: February 15, 2007
SUBJECT: Draft TIF Policy and TIF Plan
For the joint City Council/Economic Development Authority meeting on February 20, 2007, Springsted will be
discussing two attached documents including the draft Tax Increment Financing (TIF)Policy and draft TIF Plan.
If the City Council/Economic Development Authority is comfortable with the last modifications to the TIF Policy,a
would be appropriate to take action to approve such policy at this meeting. Otherwise, such action can be takent
the same time as final action is taken on the TIF Plan. It is our intention to lead the City Council/Economic
Development Authority in a discussion of the following issues relative to the review of a TIF Plan:
• The purpose of a TIF Plan
• The primary policy points relative to the TIF Plan
o Fiscal Disparities
o Pooling
o Other
• The TIF Plan budget
o Estimated Public Costs
o Sources of Revenues
■ Tax Increment estimates, assumptions
• The remaining process of adopting a TIF Plan
We will be available at the meeting to present these issues for discussion and address any questions you have at
that time.
Public Sector Advisors
City of Hugo, Minnesota
Tax Increment Financing (Redevelopment) District No.
and
Tax Increment Financing Policy
Preliminary Time Schedule for Approval
November/December 2006 Complete building inspections of properties within proposed boundaries
of District
November/December 2006 Analyze blight findings, y e final determine ep of District boundaries
November/December 2006 TIF Subcommitibe�.!, 'eeting to review boundaries, disci 5,timeline and
process
tete
December 2006 Draft ,IF Plan and TI Pq)icy
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January 16, 2007 City Ct cil calls fc) pii f /tae nng"for the TIF Plan to be held on Mare
49 Ap 200 r� �
January 2007 Subco ee meeting—discuss what primary components should
ded IF Policy
On/Before Feb 7 County Commissioner receives notification letter
30 days prior to publication of notice of public hearing
(Sent by SPRINGSTED)
February 2 QQ7 Joint Council/Economic Development Authority meeting to review TIF
documents and TIF Policy
On/Before March 1, 2067 = County and School District receive impact letters &draft TIF plan
30 days prior to public hearing
(Sent by SPRINGSTED)
March 5, 2007 City Council reviews TIF documents and Policy(tentative)
March 8, 2007 City Planning Commission reviews TIF documents
(TIF documents provided by SPRINGSTED)
(Resolution provided by Briggs and Morgan)
2/16/2007
.March 2, 200 Publication of notice of public he+g
.
Deadline: Marh14, 2007 10 3 days pro to public hering
(Arrangementsmade by SPRINGS ED)
April % 200 Ci Council holsd public he&$ and adopts resolutions
establishing TIF District, passes resolution pprovng TIF Plic
(Resolution provided by Briggs and Morgan)
After Am $ 20 State filing and request for counylcrfifiA\for the TIF Dis d
(Completed by SPRINGS ED)
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2]&2007
City of Hugo, Minnesota
Tax Increment Financing Policy & Application
Adopted:
Revised
Minnesota Offices California Office Des Moines Office
Corporate Headquarters 28137 Espinoza 300 Walnut Street
380 Jackson Street,Suite 300 Mission Viejo,CA 92692 Suite 215
St.Paul,MN 55101-2887 949.600.5330 Des Moines,IA 50309-2258
651.223.3000 949.600.5325 Fax 515.244.1358
651223.3002 Fax 515.244.1508 Fax
Kansas City Office Richmond Virginia Beach
7211 West 98th Terrace 1206 Laskin Road,Suite 210
Suite 100 8790 Park Central Drive,Suite B Virginia Beach,VA 23451-5263
Kansas City,KS 66212-2257 Richmond,VA 23227 757.422.1711
913.345.8062 804.726.9750
913.341.8807 Fax 804.726.9752 Fax 757.422.6617 Fax
Wisconsin Office
1110 North Old World 3rd Street
Milwaukee,WI 53203-1100
414.220.4250
414.220.4251 Fax
aduisors@springsted.com s J p r A n g s t e d
Table of Contents
POLICYPURPOSE...........................................................................................1
II OBJECTIVES OF TAX INCREMENT FINANCING...........................................1
III POLICIES FOR THE USE OF TIF.....................................................................2
IV PROJECT QUALIFICATIONS...........................................................................3
V SUBSIDE AGREEMENT&REPORTING REQUIREMENTS............................4
VI APPLICATION PROCESS................................................................................5
VII APPLICATION FOR TAX INCREMENT FINANCING.......................................6
Applicant Information 6
Project Information 7
Public Purpose 8
Sources& Uses 8
Additional Documentation 9
1 APPLICATION REVIEW WORKSHEET..........................................................11
IIEXHIBITS.........................................................................................................13
Exhibit A 15
Exhibit B 16
Exhibit C 17
Exhibit D 18
Exhibit E 19
Page 2
Sprngsted
City of Hugo, Minnesota
I. POLICY PURPOSE
For the purposes of this document, the term"City"shall include the Hugo City Council and Economic
Development Authority.
The purpose of this policy is to establish the City of Hugo's position relating to the use of
Tax Increment Financing (TIF)for private development above and beyond the
requirements and limitations set forth by State Law. This policy shall be used as a guide in
the processing and review of applications requesting tax increment assistance.The
fundamental purpose of tax increment financing in Hugo is to encourage desirable
development or redevelopment that would not otherwise occur but for the assistance
provided through TIF.
The City of Hugo is granted the power to utilize TIF by the Minnesota Tax Increment
Financing Act, as amended. It is the intent of the City to provide the minimum amount of
TIF at the shortest term required for the project to proceed. The City reserves the right to
approve or reject projects on a case by case basis, taking into consideration established
policies, project criteria, and demand on city services in relation to the potential benefits
from the project. Meeting policy criteria does not guarantee the award of TIF to the project.
Approval or denial of one project is not intended to set precedent for approval or denial of
another project.
The City Council and Economic Development Authority can deviate from this policy for
projects that supersede the objectives identified herein.
II. OBJECTIVES OF TAX INCREMENT FINANCING
Tax Increment Financing (TIF) uses the increased As a matter of adopted policy, the City
will consider using TIF to assist private development projects to achieve one or more of the
following objectives:
• To retain local jobs and/or increase the number and diversity of jobs that offer
stable employment and/or attractive wages and benefits.
• To encourage additional unsubsidized private development in the area, either
directly or indirectly through "spin off" development.
• To facilitate the development process and to achieve development on sites which
would not otherwise be developed but/for the use of TIF.
• To remove blight and/or encourage redevelopment of commercial and industrial
areas in the city that result in high quality redevelopment and private
reinvestment.
• To offset increased costs of redevelopment(i.e. contaminated site clean up)over
and above the costs normally incurred in development.
• To create opportunities for affordable housing.
Springd Page
City of Hugo, Minnesota
• To contribute to the implementation of other public policies, as adopted by the city
from time to time, such as the promotion of quality urban or architectural design,
energy conservation, and decreasing capital and/or operating costs of local
government.
III. POLICIES FOR THE USE OF TIF
a. When possible, TIF shall be used to finance public improvements associated
with the project. The priority for the use of TIF funds is:
1. Public improvements, legal, administrative, and engineering costs.
2. Site preparation, site improvement, land purchase, demolition, and
environmental remediation.
3. Capitalized interest, bonding costs.
b. The following types of TIF districts may be established:
1. Economic Development Districts
2. Redevelopment Districts
3. Housing Districts
4. Renewal and Renovation Districts
Other types of TIF districts, along with specific criteria, may be considered on
a case by case basis.
c. TIF assistance will be provided to the developer upon receipt of the increment
by the City, otherwise referred to as the pay-as-you-go method. Requests for
up front financing will be considered on a case by case basis.
d. A maximum of ten percent(10%)of any tax increment received from the
district shall be retained by the City to reimburse administrative costs.
e. Only for projects which supersede the objectives identified herein, will the term
of the TIF assistance exceed 15 years.
f. Any developer receiving TIF assistance shall provide a minimum of twenty
percent(20%) cash equity investment in the project. TIF shall not be used to
supplant cash equity.
g. TIF will not be used in circumstances where land and/or property price is in
excess of fair market value. An appraisal by a third party, agreed upon by the
City and Developer, will determine the fair market value of the land.
h. Developer shall be able to demonstrate a market demand for a proposed
project. TIF shall not be used to support purely speculative projects.
i. TIF will not be utilized in cases where it would create an unfair and significant
competitive financial advantage over other projects in the area.
f i rig stet - --- ---- -- Page 2
City of Hugo,Minnesota
j. TIF shall not be used for projects that would place extraordinary demands on
city services or for projects that would generate significant environmental
impacts.
k. The developer must provide adequate financial guarantees to ensure
completion of the project, including, but not limited to: assessment
agreements, letters of credit, personal guaranties, etc.
I. The developer shall adequately demonstrate, to the City's sole satisfaction, an
ability to complete the proposed project based on past development
experience, general reputation, and credit history, among other factors,
including the size and scope of the proposed project.
m. For the purposes of underwriting the proposal,the developer shall provide any
requested market, financial, environmental,or other data requested by the
City or its consultants.
IV. PROJECT QUALIFICATIONS
All TIF projects considered by the City of Hugo must meet all of the following
requirements:
a. To be eligible for TIF, a project shall result in:
i. For Economic Development TIF Districts, new construction of a
minimum of 15,000 square feet;
ii. For Economic Development TIF Districts, the minimum creation of one
new or retained full time job per$100,000 of TIF provided;
iii. For Redevelopment TIF Districts, a minimum value increase of 3
times the current year assessed value; and,
b. The project shall meet at least one of the objectives set forth in Section II and
satisfy all the provisions set forth in Section III of this document.
c. The developer shall demonstrate that the project is not financially feasible but-
for the use of TIF.
d. The project must be consistent with the City's Comprehensive Plan, Land Use
Plan, and Zoning Ordinances.
e. The project shall serve at least two of the following public purposes:
• Creation of jobs with livable wages and benefits.
• Increase of tax base.
• Enhancement or diversification of the city's economic base.
• Industrial development that will spur additional private investment in
the area.
• The project contributes to the fulfillment of the City's development or
redevelopment objectives.
• Removal of blight or the rehabilitation of a high profile or priority
downtown site.
pringsted Page
City of Hugo, Minnesota
V. SUBSIDY AGREEMENT& REPORTING REQUIRMENTS
All developers/businesses receiving tax increment financing assistance from the City of
Hugo shall be subject to the provisions and requirements set forth by state statute
116J.993 and summarized below.
All developers/businesses receiving TIF assistance shall enter into a subsidy agreement
with the City of Hugo that identifies: the reason for the subsidy, the public purpose served
by the subsidy, and the goals for the subsidy, as well as other criteria set forth by statute
116J.993.
The developer/business shall file a report annually for two years after the date the benefit
is received or until all goals set forth in the application and performance agreement have
been meet, whichever is later. Reports shall be completed using the format drafted by the
State of Minnesota and shall be filed with the City of Hugo no later than March 1 of each
year for the previous calendar year. Businesses fulfilling job creation requirements must
file a report to that effect with the city within 30 days of meeting the requirements.
The developer/business owner shall maintain and operate its facility at the site where TIF
assistance is used for a period of five years after the benefit is received.
In addition to attaining or exceeding the jobs and wages goals set forth in the Subsidy
Agreement, the applicant shall meet the qualifications set forth in Section IV of this
document.
Developers/ Businesses failing to comply with the above provisions will be subject to
fines, repayment requirements, and be deemed ineligible by the State of Minnesota to
receive any loans or grants from public entities for a period of five years.
prine Page
City of Hugo, Minnesota
VI. APPLICATION PROCESS
1. Applicant submits the completed application along with all application fees.
2. City staff reviews the application and completes the Application Review
Worksheet.
3. Results of the Worksheet are submitted to the appropriate governing authorities
for preliminary approval of the proposal.
4. If preliminary approval is granted, the Tax Increment Financing Plan, along with
all necessary notices, resolutions and certificates are prepared by City staff
and/or consultants.
5. Notices are published and sent to the county and school board.
6. Public hearing(s) on the proposed project are held.
7. The EDA recommends approval or denial of the project to the City Council.
8. The City Council grants final approval or denial of the proposal.
' €'t - --- — — Page 5
, �
City of Hugo, Minnesota
VII. APPLICATION FOR TAX INCREMENT
A. APPLICANT INFORMATION
Name of Corporation/Partnership
Address
Primary Contact
Address
Phone Fax Email
On a separate sheet, please provide the following:
• Brief description of the corporation/partnership's business, including history,
principal product or service, etc. Attach as Exhibit A.
• Brief description of the proposed project. Attach as Exhibit B.
• List names of officers and shareholders/partners with more than five percent(5%)
interest in the corporation/partnership. Attach as Exhibit C.
• A but-for analysis. Attach as Exhibit D.
Attorney Name
Address
Phone— Fax Email
Accountant Name
Address
Phone Fax Email
Contractor Name
Address
Phone Fax Email
Engineer Name
Address
Phone Fax Email
Architect Name
Address
Phone Fax Email
fn,q s t E,d
Page
City of Hugo, Minnesota
B. PROJECT INFORMATION
The project will be:
Industrial Greenfield: New Construction _Expansion
Commercial Redevelopment: New Construction Rehabilitation
Industrial Redevelopment: New Construction Rehabilitation
Housing Redevelopment: New construction Rehabilitation
Mixed Use Redevelopment: New Construction Rehabilitation
Other
Please explain the basic components of the project proposed, i.e., amount of new
commercial square footage, numbers of housing units (rental or owner occupied), etc.
The project will be: Owner Occupied Leased Space
If leased space, please attach a list of names and addresses of future lessees and indicate
the status of commitments or lease agreements.Attach as Exhibit E.
Project Address
Legal Description
Site Plan Attached: Yes No
Amount of Tax Increment Requested for:
Building Demolition $
Environmental Remediation $
Public Improvements$
Site Improvements$
Land Acquisition $
(Land Acquisition shall not exceed 50%of total subsidy request)
Total Subsidy Requested $
Current Assessed Value on Project Site: $
Current Real Estate Taxes on Project Site:
City $
County $
School District $
Estimated Assessed Value upon Completion:
Phase 1 $
Phase 11 $
SpringSpringsted
Page
City of Hugo, Minnesota
Estimated Real Estate Taxes upon Completion:
Phase 1 $
Phase 11 $
Construction Start Date:
Construction Completion Date:
If Phased Project: Year %Construction Completed
Year %Construction Completed
C. PUBLIC PURPOSE
It is the policy of the City of Hugo that the use of Tax Increment Financing should result in
a benefit to the public. Please indicate how this project will serve a public purpose.
_Job Creation: Number of existing jobs
Number of jobs created by project
Average hourly wage of jobs created
_Increase in Tax Base
_Enhancement or diversification of the city's economic base.
New industrial development which will result in additional private investment in the
area.
The project contributes to the fulfillment of the City's development or redevelopment
objectives.
_Removal of blight or the rehabilitation of a high profile or priority downtown site.
Other:
D.SOURCES&USES
SOURCES NAME AMOUNT
Bank Loan $
Other Private Funds $
Equity $
Fed Grant/Loan $
State Grant/Loan $
Other Loans $
ID Bonds $
Tax Increment $ 0 *"
TOTAL $
"Note: Tax Increment is not an upfront funding source as it will be provided only
on a pay-as-you-go basis. Developer needs to identify funding sources to cover
ALL costs up front, absent Tax Increment.
Sprfngsted Page
City of Hugo, Minnesota
USES AMOUNT
Land Acquisition $
Site Development $
Construction $
Machinery & Equipment $
Architectural & Engineering Fees $
Legal Fees $
Interest During Construction $
Debt Service Reserve $
Contingencies $
TOTAL $
E.ADDITIONAL DOCUMENTATION
Applicants will also be required to provide the following documentation.
A) Written business plan, including a description of the business,
ownership/management, date established, products and services, and
future plans
B) Financial Statements for Past Two Years
Profit& Loss Statement
Balance Sheet
C) Current Financial Statements
Profit& Loss Statement to Date
Balance Sheet to Date
D) Two Year Financial Projections
F) Personal Financial Statements of all Major Shareholders
Profit& Loss
Current Tax Return
G) Letter of Commitment from Applicant Pledging to Complete
During the Proposed Project Duration
H) Letter of Commitment from the Other Sources of Financing,
Stating Terms and Conditions of their Participation in
Project
1) Non refundable application fee of$2,500
J) Check for$10,000 to be placed in escrow to be used by the City to
complete analysis of the subsidy requested, and to pay costs
associated with Attorney's fees for the TIF Agreement(unused portion
to be refunded)
Page 9
rings
City of Hugo, Minnesota
The undersigned certifies that all information provided in this application is true and correct to
the best of the undersigned's knowledge. The undersigned authorizes the City of Hugo to
check credit references and verity financial and other information. The undersigned also
agrees to provide any additional information as may be requested by the City after the filing of
this application.
Applicant Name Date
By
Its
Sigted Page 10
City of Hugo, Minnesota
TAX INCREMENT FINANCING PROPOSAL REVIEW WORKSHEET
Redevelopment Districts
1.The project meets the criteria set forth in Section III of the City's Tax Increment
Financing policy.
a) Meets minimum thresholds for size, value, and tax capacity.
b) Meets at least one of the objectives in Section III and satisfies
the provision set forth in Section IV.
c) Demonstrates need for TIF with the but-for analysis.
e) Consistent with all city plans and ordinances.
f) Serves at least two public purpose as defined in Section IV.
2. Ratio of Private to Public Investment in Project: Points:
$ Private investment 5:1 5
$ Public Investment 4:1 4
Ratio Private to Public Financing 3:1 3
2:1 2
Less than 2:1 1
3. Structure of Financing: Points:
< 10%of Subsidy Requested for Land Acq. 5
11%-20%of Subsidy Requested for Land Acq. 4
21%- 30%of Subsidy Requested for Land Acq. 3
31%-40%of Subsidy Requested for Land Acq. 2
41%-50%of Subsidy Requested for Land Acq. 1
4.Type of Project: Points:
100%Owner Occupied 5
Mix Owner Occupied & Investment 4
Investment Property 3
5. Use: Points:
Retail 5
Office/Commercial 5
Mixed-use 5
Housing 3
1 ndustrial 1
6.Type of Development: Points:
Redevelopment of Substandard Structures 5
Development of Vacant Land 3
7.Job CreationlWage Level Points:
15+Full Time Equivalent(FTE) Jobs, $15-$20 per hour 5
10-14 FTE's, $10-$14 per hour 4
1-9 FTE's, $749 per hour 3
pl~lgsed Page 11
City of Hugo, Minnesota
8. Assessed Value: Points:
7+times current 5
6 times current 4
5 times current 3
4 times current 2
3 times current 1
9. The project will pay annual Points:
property taxes in the first fully 50,000 +5
assessed year of$ 35,000 +4
20,000 +3
10,000+2
Under 10,000 1
10. Likelihood that the project will result in Points:
unsubsidized, spin-off development. High 5
Moderate 3
Low 1
Sub-Total Points: of a possible 45 points.
11. Bonus Points Points:
The project will be 100%Pay-as-you-go TIF 3 points
The project meets the goals of downtown
redevelopment 2 points
Total Points:
Overall Project Analysis: 40-48 Pants Max Remaining Term
35-39 Pants 65-75%of Remaining Term
25-34 Points 40-50%of Remaining Term
15-24 Points 25-30%of Remaining Term
0-14 Points Not Eligible
ringsted Page 12
City of Hugo, Minnesota
EXHIBIT A
Description of the corporation or partnership
EXHIBIT B
Description of the proposed project
EXHIBIT C
Names of officers and shareholders/partners with more than five percent(5%)interest in
the corporati onipartners hip.
EXHIBIT D
But-for analysis
EXHIBIT E
Prospective Lessees
pringste Page 13
City of Hugo, Minnesota
SAMPLE BUT-FOR ANALYSIS
WITH NO WITH
TAX INCREMENT TAX INCREMENT
SOURCES AND USES SOURCES AND USES
SOURCES SOURCES
Mortgage 9,600,000 8,667,000
Equity 2,400,000 2,400,00
Tax Increment Financing 0 933,000
TOTAL SOURCES 12,000,000 12,000,000
USES USES
Land 1,500,000 1,500,000
Site Work 300,000 300,000
Soil Correction 468,000 468,000
Demolition 100,000 100,000
Relocation 65,000 65,000
Subtotal Land Costs 2,433,000 2,433,000
Construction 6,750,000 6,750,000
Finish Manufacturing 250,000 250,000
Subtotal Construction Costs 7,000,000 7,000,000
Soft Costs 350,000 350,000
Taxes 35,000 35,000
Finance Fees 850,000 850,000
Project Manager 542,000 542,000
Developer Fee 540,000 540,000
Contingency 250,000 250,000
Subtotal Soft Costs 2,567,000 2,567,000
TOTAL USES 12,000,000 12,000,000
Income Statement Income Statement
Sq. Ft. Per Sq. Ft. Sq. Ft. Per Sq. Ft.
Rent-Space 1 100,000 $8.00 800,000 100,000 $8.00 800,000
Rent-Space 2 25,000 $8.50 212,500 25,000 $8.50 212,500
Rent-Space 3 25,000 $9.00 225,000 25,000 $9.00 225,000
Other 0 $0.00 0 0 $0.00 0
1,237,500 1,237,500
Mortgage 20 Term 1,051,646 20 Term 949,439
9.00% Interest 9.00% Interest
9,600,000 Principal 8,667,000 Principal
Net Income 185,854 _ 288,061
Total Return on Equity 7.74% 12.00%
Springsted
Page 14
City of Hugo, Minnesota
EXHIBIT A
Description of the corporation or partnership
Springte Page 15
City of Hugo, Minnesota
EXHIBIT B
Description of the proposed project
Springsted Page 16
City of Hugo, Minnesota
EXHIBIT C
Names of officers and shareholdersipartners with more than five percent
(5%) interest in the corporation/partnership.
Springst d Page 17
City of Hugo, Minnesota
EXHIBIT D
But-for analysis
5pringse Page 18
City of Hugo, Minnesota
EXHIBIT E
Prospective Lessees
Springsted Page 19
City of Hugo, Minnesota
Tax Increment Financing Plan
for
Tax Increment Financing (Redevelopment)
District No. 1-2
Within Development District No. 1
(Downtown Redevelopment TIF District)
Dated: February 20, 2007 (DRAFT)
Approved:
Prepared by:
SPRINGSTED INCORPORATED
380 Jackson Street, Suite 300
St. Paul, MN 55101-2887
(651)223-3000
WWW.SPRINGSTED.COM
TABLE OF CONTENTS
Section Page(s)
A. Definitions..............................................................................................................................................................1
B. Statutory Authorization..........................................................................................................................................1
C. Statement of Need and Public Purpose.................................................................................................................1
D. Statement of Objectives.......................................................................................................................................2
E. Designation of Tax Increment Financing District as a Redevelopment District ..................................................3
F. Duration of the TIF District............................................................................... ..................................................4
G. Property to be Included in the TIF District..........................................:....................,. ............................................4
H. Property to be Acquired in the TIF District............................... ..................... ......... ..............................4
I. Specific Development Expected to Occur Within the TIF District................................. ......................................4
J. Findings and Need for Tax Increment Financing........ ...... ....................................... ......... ..........................5
K. Estimated Public Costs.............................................................................—..........................,...............................7
L. Estimated Sources of Revenue............................................!............ :..................................................................7
M. Estimated Amount of Bonded Indebtedness.............................. . ......................................................................8
N. Original Net Tax Capacity................... ................................. ....... ..............................,..,.................................8
O. Original Local Tax Rate................................... ....... . .................... ................................................................8
P. Projected Retained Captured Net Tax Capacity and Projected Tax Increment.....................................................9
Q. Use of Tax Increment............ ..................... ........: ......... ...............................................................9
R. Excess Tax Increment ........: ..................... ......... ..................... .............................................................10
S. Tax Increment Pooling and the Five Year Rule ......... ......................................................................................11
T. Limitation on Administrative Expenses..........................!. ....................................................................................11
U. Limitation on Property Not Subject to Improvements-Four Year Rule...............................................................12
V. Estimated Impact on Other Taxing Jurisdictions....... . ......................................................................................12
W. Prior Planned Improvements: .................................. .......................................................................................12
X. Development Agreements..... ..... .....................................................................................................................13
Y. Assessment Agreements.................... ..............................................................................................................13
Z. Modifications of the Tax Increment Financing Plan.............................................................................................13
AA. Administration of the Tax Increment Financing Plan............................................................................................14
AB. Filing TIF Plan, Financial Reporting and Disclosure Requirements.................................................................. 15P
Map of the Tax Increment Financing District...........................................................................................EXHIBIT
Map of Development District...................................................................................................................EXHIBIT
Boundaries of Tax Increment Financing District.....................................................................................EXHIBIT II
AssumptionsReport..............................................................................................................................EXHIBIT III
Projected Tax Increment Report............................................................................................................EXHIBIT IV
Estimated Impact on Other Taxing Jurisdictions Report.........................................................................EXHIBIT V
Market Value Analysis Report...............................................................................................................EXHIBIT VI
Redevelopment District Findings..........................................................................................................EXHIBIT VII
City of Hugo, Minnesota
Section A Definitions
The terms defined in this section have the meanings given herein, unless the context in which they are used indicates
a different meaning:
"Authority"means the Hugo Economic Development Authority.
"C�t ""means the City of Hugo, Minnesota; also referred to as a"Municipality".
"City Council"means the City Council of the City.
"County"means Washington County, Minnesota.
"Development Distdct" means Development District No. 1 in the City, which is described in the corresponding
Development Program.
"Development Program"means the Development Program for the Development District.
"Project Area" means the geographic area of the Development District.
"School District"means Independent School District No.624, Minnesota.
"State"means the State of Minnesota.
"TIF Act"means Minnesota Statutes, Sections 469.174 through>469.1799, both inclusive.
"TIF District"means Tax Increment Financing(Redevelopment)District No. 1-2.
"TI F Plan"means the tax increment financN plan for the TIF District(this document).
Section B Statutory Authorization
Within the City, there exist areas where public involvement is necessary to cause development or redevelopment to
occur. To this end, the City has certain statutory powers pursuant to the TIF Act to assist in financing eligible
activities related to these development needs.
This Section contains the Tax Increment Financing Plan for District No. 1-2. Other relevant information is contained
in the Development Program for Development District No. 1.
Section C Statement of Need and Public Purpose
The City finds that there is a need for development within the City and the Project Area in order to provide
employment and housing opportunities, to improve the local tax base, and to improve the general economy of the City
and the State. The economic security of the people in the City depends upon proper development of property that
meets any one of a number of conditions, including properties whose values are too low to pay for the public services
required or rendered and properties whose lack of use or improper use has resulted in stagnant or unproductive land
that could otherwise contribute to the public health, safety, and welfare.
The City finds that in many cases such property cannot be developed without public participation and assistance in
various forms including property acquisition and/or write-down, proper planning, the financing of development costs
associated with clearance, grading and soils correction, and the making of various other public and private
improvements necessary for development. In cases where the development of property cannot be done by private
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City of Hugo, Minnesota
enterprise alone, the City believes it to be in the public interest to consider the exercise of its powers, to advance and
spend public money, and to provide the means and impetus for such development.
The City finds that in certain cases property within the Project Area would or may not be available for development
without the specific financial aid to be sought, that the Redevelopment Plan will afford maximum opportunity,
consistent with the needs of the City as a whole, for the development of the Project Area by private enterprise, and
that the Redevelopment Plan conforms to the general plan for the development of the City as a whole.
Section D Statement of Objectives
The City seeks to achieve one or more of the following objectives with respect to the Project Area, as the City may
deem appropriate and necessary.
(1) To promote and secure the prompt development and redevelopment of property within the Project
Area, such property which is not now in its most productive use, in a manner consistent with the
Comprehensive Plan of the City,thus realizing Comprehensive Plan, land use, and tax base goals.
(2) To assist development in the Project Area through the acquisition or write-down of certain interests
in property which is not now in productive use or in its highest and best use, to make or defray the
cost of soil corrections or site improvements on said property to clear the property of blighted
buildings, and to construct or reimburse for the construction of public improvements and other
facilities on or for the benefit of said property, thereby promoting and securing the development of
other land within the Project Area.
(3) To retain local jobs and/or increase the numberand diversity of jobs that offer stable employment
and/or attractive wages and benefits,;
(4) To provide funding for an ongoing development strategy and to prioritize the use of available
resources:
(5) To implement and revise from time to time, as may be deemed necessary or desirable, a
consolidated and unified Redevelopment Plan and to finance the associated development costs on
an area-wide basis.
(6) To employ any of the powers of the City for the benefit of the Project Area in such cases and upon
such terms as the City may deem appropriate.
(7) To construct or acquire facilities deemed desirable for the development of the Project Area.
(8) To encourage additional unsubsidized private development in the area, either directly or indirectly
through"spin of"development.
(9) To facilitate' the development process and to achieve development on sites which would not
otherwise be developed but/for the use of Tax Increment Financing.
District No. 1-2 is a redevelopment district with 1 contiguous site. The total district consists of 125 parcels of land and
adjacent and internal rights-of-way. District No. 1-2 is created to facilitate achieving the objectives set forth in the
Development Program for Development District No. 1. The objectives expected to be achieved through the use of tax
increment financing include, but are not limited to, removal of barriers to development, redevelopment, creation of
jobs,creation of life cycle housing, and expansion of the tax base.
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City of Hugo, Minnesota
The activities contemplated in the present Development Program and Tax Increment Financing Plan do not preclude
the undertaking of other qualified redevelopment activities. These activities are anticipated to occur over the life of
the District.
Section E Designation of Tax Increment Financing District as a
Redevelopment District
Redevelopment districts are a type of tax increment financing district in which one or more of the following conditions
exists and is reasonably distributed throughout the district:
(1) parcels comprising at least 70%of the area of the district are occupied by buildings, streets, utilities, paved
or gravel parking lots, or other similar structures and more than 501/o of the buildings, not including
outbuildings, are structurally substandard requiring substantial renovation or clearance. A parcel is deemed
"occupied" if at least 15% of the area of the parcel contains buildings, streets, utilities, paved or gravel
parking lots;or other similar structures.
(2) the property consists of vacant, unused, underused,inappropriately used, or infrequently used railyards, rail
storage facilities, or excessive or vacated railroad right-of-ways; or
(3) tank facilities, or property whose immediately previous use was for tank facilities, as defined in section
1150.02, subdivision 15, if the tank facilities:
(i) have or had a capacity,of more than 1,000,000 gallons;
(ii) are located adjacent to rail facilities; and
(iii) have been removed or are unused, underused, inappropriately used, or infrequently used.
For districts consisting of two more noncontiguous areas, each area must individually qualify under the provisions
listed above,as well as the entire area mustalso qualify as a whole.
The TIF District qualifies as a redevelopment district in that it meets all of the criteria listed in (1) above. The
supporting facts and documentation for this determination are summarized in Exhibit VII and will be retained by the
City for the life of the TIF District and are available-to the public'upon request.
"Structurally substandard" is defined as buildings containing defects or deficiencies in structural elements, essential
utilities andfacilities, light and ventilation, fire protection (including egress), layout and condition of interior partitions,
or similar factors. Generally, a building isnot structurally substandard if it is in compliance with the building code
applicable to a new building, or could be modified to satisfy the existing code at a cost of less than 15%of the cost of
constructing anew structure of the same size and type.
A city may not find that a building`;is structurally substandard without an interior inspection, unless it can not gain
access to the property and there exists evidence which supports the structurally substandard finding. Such evidence
includes recent fire or police inspections, on-site property tax appraisals or housing inspections, exterior evidence of
deterioration, or other similar.reliable evidence. Written documentation of the findings and reasons why an interior
inspection was not conducted must be made and retained. A parcel is deemed to be occupied by a structurally
substandard building if the following conditions are met:
(1) the parcel was occupied by a substandard building within three years of the filing of the request for
certification of the parcel as part of the district;
(2) the demolition or removal of the substandard building was performed or financed by the City, or was
performed by a developer under a development agreement with the City,
(3) the City found by resolution before such demolition or removal occurred that the building was structurally
substandard and that the City intended to include the parcel in the TIF district, and
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City of Hugo, Minnesota
(4) the City notifies the county auditor that the original tax capacity of the parcel must be adjusted upon filing
the request for certification of the tax capacity of the parcel as part of a district.
In the case of(4)above, the County Auditor shall certify the original net tax capacity of the parcel to be the greater of
(a)the current tax capacity of the parcel, or (b)a computed tax capacity of the parcel using the estimated market
value of the parcel for the year in which the demolition or removal occurred, and the appropriate classification rate(s)
for the current year.
At least 90 percent of the tax increment from a redevelopment district must be used to finance the cost of correcting
conditions that allow designation as a redevelopment district. 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 land, removal of hazardous substances or remediation
necessary to develop the land, and installation of utilities, roads, sidewalks, and parking facilities for the site. The
allocated administrative expenses of the City may be included in the quatifying costs.
Section F Duration of the TIF District
Redevelopment districts may remain in existence 25 years from the date of receipt by the City of the first tax
increment. Modifications of this plan(see Section Z)shall not extend these limitations.
The City reserves the right to allow the TIF District to remain in existence the maximum duration allowed by law
(projected to be through the year 2035 if no infta6onary increment is received in 2009 however, if that increment is
received in 2009 the last year of the district will be 2034), and anticipates that the TIF District may be active for the
maximum duration allowed (see Section P), however the City will decertify the TIF District as early as possible should
the projected increment be received in a shorter time period than originally projected. All tax increments from taxes
payable in the year the TIF District is decertified shall be paid to the City.
Section G Property to be Included in the TIF District
The TIF District is an approximate 93 acre area of land located within the Project Area. A map showing the location
of the TIF District is shown in Exhibit I. The boundaries and area encompassed by the TIF District are described in
Exhibit IL
Section H Property to be Acquired in the TIF District
The City may acquire and sell any or all of the property located within the TIF District. The City anticipates acquiring
available property,within the district at any time, and may also finance the direct acquisifion of land by the Developer.
Section I Specific Development Expected to Occur Within the TIF District
The anticipated development is defined within a study completed by Maxfield. Research Inc. in December 2005
entitled An Analysis of the Market Potential for Housing, Retail, and Office Uses in Downtown Hugo, Minnesota. The
Maxfield study includes the redevelopment of certain properties within the defined district including the construction of
approximately 156 to 538 residential housing units, 40,500 to 105,000 square feet of retail, and 13,900 to 20,775
square feet of office space.
The City has been acquiring properties that have previously been found to be substandard within the district and
demolishing them in preparation for such redevelopment. The existing buildings that been acquired have been
inspected and found to be substandard by resolution. Several of those buildings have since been removed and the
site cleared for construction of new development.
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City of Hugo, Minnesota
Additional inspections have occurred on the remaining buildings in the proposed TIF district in 2006. See Exhibit VII.
The City anticipates using tax increment to reimburse itself for a portion of the eligible public improvement costs
including acquisition, demolition, site improvements, and related administrative costs.
The size of the proposed District makes it difficult to estimate with any certainty the years that various types of
development will occur within such District. It is likely that multiple projects will occur through many years of the
district. The projects forecasted within the Maxfield study are expected to be fully constructed through 2015.
Although the City has been approached by several developers indicating some level of interest in redevelopment of
specific parcels within the District, at the time this document was prepared there were no signed construction
contracts with regard to the above described development.
Section J Findings and Need for Tax Increment Financing
In establishing the TIF District, the City makes the following findings
(1) The TIF District qualifies as a redevelopment district;
The City of Hugo retained the services of three,experienced City building officials to
inspect and evaluate property within the proposed Tax Increment Financing District No 1-2
to be established by the City. The purpose of the evaluations was to determine if the
proposed district met the statutory requirements for coverage and if the buildings met the
qualifications required for a Redevelopment District.
The final report has been prepared by the officials for the City to retain on file in City
offices for;public inspection, The report contains the details of the findings summarized
below;regarding the substandard qualifications:
• parcels consisting of 79.36 percent of the area of the proposed TIF District are
occupied,exceeding the 70 percent coverage test;
• 59.38,percent of the buildings in the proposed District contain code deficiencies
exceeding the 15 percent threshold;
•.. 59.38 percent of the buildings are structurally substandard to a degree requiring
substantial renovation or clearance, because of defects in structural elements or
a`combination of deficiencies in essential utilities and facilities, light and
ventilation, fire protection including adequate egress, layout and condition of
interior partitions, or similar factors which defects or deficiencies are of sufficient
total significance to justify substantial renovation or clearance, exceeding the
more than 50 percent substandard test; and
• percent of the buildings were found to contain general deficiencies.....
the substandard buildings are reasonably distributed throughout the geographic
area of the proposed TIF District.
These findings are described more completely in Exhibit VII.
(2) The proposed development, in the opinion of the City, would not reasonably be expected to occur
solely through private investment within the reasonably foreseeable future and 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.
Factual basis:
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City of Hugo, Minnesota
Proposed development not expected to occur:
The proposed redevelopment consists of the acquisition and demolition of substandard buildings within the
proposed TIF District boundaries in the City of Hugo for development of new residential life cycle housing, retail
commercial space, and office units. Such redevelopment requires assembly of multiple parcels which are under
multiple ownership in the TIF District, demolition and clearance of the assembled area,with significant site costs,
which together make the total cost of this effort significantly higher than costs reasonably incurred for similar
developments on a clean site. The City anticipates analyzing future developer's proformas in detail to determine
the minimal amount of assistance needed to compensate developer for these extraordinary costs.
No higher market value expected:
This finding is based on the fact that no other development of comparable scope to the proposed development is
practical without the same type of assistance described in this plan. While some of the substandard buildings
have been demolished as of the date of this plan, most of the extraordinary costs remain (or would need to be
reimbursed). Smaller, piecemeal developments in this area might be feasible, but any large-scale development
that would create the market value expected under the current proposal would require significant assistance, as
bome out by the City's analysis of the preliminary developer discussions. Moreover, this is a downtown
redevelopment project in the City with many buildings requiring significant assemblage, demolition and site
improvements prior to development opportunities. There is no basis for expectation that the area would redevelop
in any significant way purely by private action without public subsidy.
To summarize the basis for the City's findings regarding alternative market value, in accordance with Minnesota
Statutes, Section 469.175, Subd.3(d),the City makes the following determinations:
a. The City's estimate of the mount by which the market value of the site will increase without
the use of tax increment financing is anywhere from $0 to some modest amount based on small scale
development that could be possible without assistance; any estimated values would be too speculative
to ascertain.
b. If the proposed development to be assisted with tax increment occurs in the District, the total
increase in market value would be approximately$260,390,671, including the value of the building (See
Exhibit III).
C. The present value of tax increments from the District for the maximum duration of the district
permitted by the TIF Plan is estimated to be$15,785,471 (See Exhibit VI)
d. Even if some development other than the proposed development were to occur, the Council
finds that no alternative would occur that would produce a market value increase greater than
$244,605,200(the amount in clause b less the amount in clause c)without tax increment assistance.
(3) The TIF Plan will afford maximum opportunity, consistent with the sound needs of the City as a
whole, for development of the Project Area by private enterprise.
Factual basis: The anticipated redevelopment cited in the Maxfield study may include the construction of up to
592 units of residential development, 145,500 square feet of retail, and 37,700 square feet of office space in the
Project Area that is expected to create substantial new tax base for the City and the state, as well as expected
future private development. The development clearly meets the City's housing and redevelopment goals of
creating additional housing opportunities, and meeting the City's goal of the removal of blight.
(4) The TIF Plan conforms to general plans for development of the City as a whole.
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City of Hugo, Minnesota
Factual basis: The City Planning Commission has determined that the development proposed in the TIF Plan
conforms to the City comprehensive plan.
(5) The City does not elect the method of tax increment computation set forth in Minnesota Statutes,
Section 469.177, Subdivision 3(b); therefore subdivision 3(a)shall apply which indicates the original
net tax capacity and the current net tax capacity shall be determined before the application of the
fiscal disparity provisions(see method (a)in Section P).
Section K Estimated Public Costs
The estimated public costs of the TIF District are listed below. Such costs are eligible for reimbursement from tax
increments of the TIF District.
Land/Building acquisition
Site Improvements/Preparation costs
Installation of public utilities
Demolition/Relocation
Streets and sidewalks
Public park facilities
Total Estimated Public Improvements 15,000,000
Bond principal payments 15,000,000
Bond interest payments 20,000,000
Loan Principal payments 0
Loan Interest payments 0
Capitalized Interest payments 4,500,000
Administrative expenses 4,500,000
Other 1,000,0000
Total $60,000,000
The City reserves the right to administratively adjust the amount of any of the items listed above or to incorporate
additional eligible items, so long as the total estimated public cost is not increased. The estimated cost of capitalized
interest is included in the loan interest payment amount.
Section L Estimated Sources of Revenue
Tax Increment revenue $44,000,000
Interest on invested funds
Bond proceeds 15,000,000
Loan proceeds
Real estate sales 1,000,000
Special assessments
Rent/Lease revenue
Grants
Other
Total $60,000,000
The City anticipates using future tax increments for reimbursement of public costs incurred from Section K. As
increments are collected from the TIF District in future years, a portion of these taxes will be reserved by the City as
reimbursement for public costs incurred (primarily land acquisition), either through internal funding or general
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City of Hugo, Minnesota
obligation or revenue debt. The City also anticipates providing financial assistance to the proposed development
through the use of a pay-as-you-go technique. As tax increments are collected from the TIF District in future years, a
portion of these taxes will be distributed to the developer/owner as reimbursement for public costs incurred that relate
to redevelopment of the project site.
The City reserves the right to finance any or all public costs of the TIF District using pay-as-you-go assistance,
internal funding, general obligation or revenue debt, or any other financing mechanism authorized by law. The City
also reserves the right to use other sources of revenue legally applicable to the Project Area to pay for such costs
including, but not limited to, special assessments, utility revenues,federal or state funds, and investment income.
Section M Estimated Amount of Bonded Indebtedness
The City anticipates issuing tax increment bonds to finance the estimated public costs of the TIF District in an amount
not to exceed$15,000,000.
Section N Original Net Tax Capacity
The County Auditor shall certify the original net tax capacity of the TIF District. This value will be equal to the total net
tax capacity of all property in the TIF District as certified by the State Commissioner of Revenue. For districts certified
between January 1 and June 30, inclusive, this value is based on the°previous assessment year. For districts
certified between July 1 and December 31, inclusive,,this value is based on the current assessment year.
Some parcels within the boundaries of the district contained,buildings that were demolished (see Exhibit VII for
additional detail). The greater of the current net tax capacity or the estimated market value of the parcel for the year
in which the buildings were removed,applying class rates for the current year must be used to calculate the original
net tax capacity. Therefore, upon establishment of the TIF District, and subsequent reclassification of property, it is
estimated that the market value of all property within the'proposed TIF district boundaries as of January 2, 2006, for
taxes payable in 2007, or in the year the buildings were removed, will be $28,350,400 and the original net tax
capacity of the TIF District will be approximately$400,174.
Each year the County Auditor shall certify the amount that the original net tax capacity has increased or decreased as
a result of:
(1) changes in the tax-exempt status of property;
(2) reductions or enlargements of the geographic area of the TIF District;
(3) changes due to stipulation agreements or abatements;or
(4) changes in property classification rates.
Section 0 Original Local Tax Rate
The County Auditor shall also certify the original local tax rate of the TIF District. This rate shall be the sum of all local
tax rates that apply to property in the TIF District. This rate shall be for the same taxes payable year as the original
net tax capacity.
In future years, the amount of tax increment generated by the TIF District will be calculated using the lesser of(a)the
sum of the current local tax rates at that time or(b)the original local tax rate of the TIF District.
At the time this document was prepared, the sum of the final local tax rates that apply to property in the TIF District,
for taxes levied in 2006 and payable in 2007, was not yet available. When this total becomes available, the County
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City of Hugo, Minnesota
Auditor shall certify this amount as the original tax capacity rate of the TIF District. For purposes of estimating the tax
increment generated by the TIF District, the sum of the preliminary local tax rates for taxes levied in 2005 and payable
in 2006, is 82.985%as shown below.
2006/2007
Taxing Jurisdiction Local Tax Rate
City of Hugo 35.931%
Washington County 25.651%
ISD#624 17.731%
Other 3.672%
Total 82.985%
Section P Projected Retained Captured Net Tax Capacity and
Projected Tax Increment
The City anticipates that the redevelopment will be completed by December 31, 2015, creating a total tax capacity for
TIF District No. 1-2 of$2,440,599 as of January 2,2016. The captured tax capacity as of that date is estimated to be
$2,000,425 and the first full year of tax increment is estimated to be $1,660,053 payable in 2017. A complete
schedule of estimated tax increment from the TIF District is shown in Exhibit IV.
The estimates shown in this TIF Plan assume that residential class rates remain at 1.0% of the estimated market
value under$500,000 and 1.25%of the estimated marketvalue above $500,000, rental class rates remain at 1.25%,
commercial class rates remain at 1.5%for the first$150,000 of estimated market value and 2.0%of the market value
above$150,000. The projections also assume a 2%annual increase in market values.
Each year the County Auditor shall determine the current net tax capacity of all property in the TIF District. To the
extent that this total exceeds the original net tax capacity, the difference shall be known as the captured net tax
capacity of the TIF District.
For communities affected by the fiscal disparity provisions of Minnesota Statutes, Chapter 473F and Chapter 276A,
the original net tax capacity of the TIF District shaft be determined before the application of fiscal disparity. In
subsequent years,the current net tax capacity shall either (a)be determined before the application of fiscal disparity
or (b)exclude the product of any fiscal disparity increase in the TIF District (since the original net tax capacity was
certified) times the appropriate fiscal disparity ratio. The method the City elects shall remain the same for the life of
the TIF District, except that a single change may be made at any time from method (a) to method (b) above. »The
City elects method (a), or M.S. Section 469.177, Subdivision 3(a).
The County Auditor shall certify to the City the amount of captured net tax capacity each year. The City may choose
to retain any or all of this amount. -1t is the City's intention to retain 100%of the captured net tax capacity of the TIF
District. Such amount shall be known as the retained captured net tax capacity of the TIF District.
Exhibit III gives a listing of the various information and assumptions used in preparing a number of the exhibits
contained in this TIF Plan, including Exhibit IV which shows the projected tax increment generated over the
anticipated life of the TI F District.
Section Q Use of Tax Increment
Each year the County Treasurer shall deduct 0.36%of the annual tax increment generated by the TIF District and pay
such amount to the State's General Fund. Such amounts will be appropriated to the State Auditor for the cost of
financial reporting and auditing of tax increment financing information throughout the state. Exhibit IV shows the
projected deduction for this purpose over the anticipated life of the TIF District.
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City of Hugo, Minnesota
The City has determined that it will use 100%of the remaining tax increment generated by the TIF District for any of
the following purposes:
(1) pay for the estimated public costs of the TIF District (see Section K) and County administrative
costs associated with the TIF District(see Section T);
(2) pay principal and interest on tax increment bonds or other bonds issued to finance the estimated
public costs of the TIF District;
(3) accumulate a reserve securing the payment of tax increment bonds or other bonds issued to
finance the estimated public costs of the TIF District;
(4) pay all or a portion of the county road costs as may be required by the County Board under M.S.
Section 469.175, Subdivision 1 a;or
(5) return excess tax increments to the County Auditor for redistribution to the-City, County and School
District.
Tax increments from property located in one county must be expended for the direct and primary benefit of a project
located within that county, unless both county boards involved waive this requirement. Tax increments shall not be
used to circumvent levy limitations applicable to the City.
Tax increment shall not be used to finance 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 governn mt,or for a commons area used as a public park, or a
facility used for social, recreational, or conference purposes. This prohibition does not apply to the construction or
renovation of a parking structure or of a`privately owned facility for conference purposes.
If there exists any type of agreement or arrangement providing for the developer, or other beneficiary of assistance, to
repay all or a portion of the assistance that was paid or financed with tax increments, such payments shall be subject
to all of the restrictions imposed on the use of tax increments. Assistance includes sale of property at less than the
cost of acquisition or fair market value, grants, ground or other leases at less then fair market rent, interest rate
subsidies, utility service connections, roads, or other similar assistance that would otherwise be paid for by the
developer or beneficiary,
Section R Excess Tax Increment
In any year in which the tax increments from the TIF District exceed the amount necessary to pay the estimated
public costs authorized by the TIF Plan, the City shall use the excess tax increments to:
(1) prepay,any outstanding tax increment bonds;
(2) discharge the pledge of tax increments thereof;
(3) pay amounts into an escrow account dedicated to the payment of the tax increment bonds; or
(4) return excess tax increments to the County Auditor for redistribution to the City, County and School
District. The County Auditor must report to the Commissioner of Education the amount of any
excess tax increment redistributed to the School District within 30 days of such redistribution.
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City of Hugo, Minnesota
Section S Tax Increment Pooling and the Five Year Rule
At least 75%of the tax increments from the TIF District must be expended on activities within the district or to pay for
bonds used to finance the estimated public costs of the TIF District (see Section E for additional restrictions). No
more than 25%of the tax increments may be spent on costs outside of the TIF District but within the boundaries of
the Project Area, except to pay debt service on credit enhanced bonds. All administrative expenses are considered to
have been spent outside of the TIF District. Tax increments are considered to have been spent within the TIF District
if such amounts are:
(1) actually paid to a third party for activities performed within the TIF District within five years after
certification of the district;
(2) used to pay bonds that were issued and sold to a third party,the proceeds of which are reasonably
expected on the date of issuance to be spent within the later of a*five-year period or a reasonable
temporary period or are deposited in a reasonably required reserve or replacement fund.
(3) used to make payments or reimbursements to a third party under binding contracts for activities
performed within the TIF District, which were entered into within five years after certification of the
district; or
(4) used to reimburse a party for payment of eligible costs(including interest) incurred within five years
from certification of the district.
Beginning with the sixth year following certification of the TIF District, at least 75%of the tax increments must be used
to pay outstanding bonds or make contractual payments obligated within the first five years. When outstanding bonds
have been defeased and sufficient money has been set aside to pay for such contractual obligations, the TIF District
must be decertified.
The City anticipates that tax cements will be spent outside of the TIF District (including a portion for allowable
administrative expenses)for transportation,redevelopmentand affordable housing qualified pooling expenditures.
Section T Limitation on Administrative Expenses
Administrative expenses are defined as all costs of the City other than:
(1) amounts paid for the purchase of land;
(2) amounts paid for 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
project;
(4) amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued
pursuant to section 469.178; or
(5) amounts used to pay other financial obligations to the extent those obligations were used to finance
costs described in clause (1)to (3).
Administrative expenses include amounts paid for services provided by bond counsel, fiscal consultants, planning or
economic development consultants, and actual costs incurred by the County in administering the TIF District. Tax
increments may be used to pay administrative expenses of the TIF District up to the lesser of (a) 10% of the total
estimated public costs authorized by the TIF Plan or(b) 10%of the total tax increment expenditures for the project.
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City of Hugo, Minnesota
Section U Limitation on Property Not Subject to Improvements-Four Year Rule
If after four years from certification of the TIF District no demolition, rehabilitation, renovation, or qualified
improvement of an adjacent street has commenced on a parcel located within the TIF District, then that parcel shall
be excluded from the TIF District and the original net tax capacity shall be adjusted accordingly. Qualified
improvements of a street are limited to construction or opening of a new street, relocation of a street, or substantial
reconstruction or rebuilding of an existing street. The City must submit to the County Auditor, by February 1 of the
fifth year, evidence that the required activity has taken place for each parcel in the TIF District.
If a parcel is excluded from the TIF District and the City or owner of the parcel subsequently commences any of the
above activities, the City shall certify to the County Auditor that such activity has commenced and the parcel shall
once again be included in the TIF District. The County Auditor shall certify the net.tax capacity of the parcel, as most
recently certified by the Commissioner of Revenue, and add such amount to the original net tax capacity of the TIF
District.
Section V Estimated Impact on Other Taxing Jurisdictions
Exhibit V shows the estimated impact on other taxing jurisdictions if the maximum projected retained captured net tax
capacity of the TIF District was hypothetically available to the other taxing jurisdictions. The City believes that there
will be no adverse impact on other taxing jurisdictions during the life of the TIF District, since the proposed
development would not have occurred without the establishment of the TIF District and the provision of public
assistance. A positive impact on other taxing jurisdictions will occur when the TIF District is decertified and the
development therein becomes part of the general tax base.
The fiscal and economic implications of the proposed tax increment financing district, as pursuant to Minnesota
Statutes, Section 469.175, Subdivision 2,are listed below.
1. The total amount of tax increment that will be generated over the life of the district is estimated to be
$43,936,950.
2. To the extent the project in TIF District 1,-2 generates any public cost impacts on city-provided services such
as police and.fire protection, public infrastructure, and the impact of any general obligation tax increment
bonds attribute to the district upon the ability to issue other debt for general fund purposes, such costs will
be levied upon the taxable net tax capacity of the City, excluding that portion captured by the District.
3. The amount of tax increments over the life of the district that would be attributable to school district levies,
assuming the school district's share of the total local tax rate for all taxing jurisdictions remained the same, is
estimated to be$9,387,794.
4. The amount,of tax increments over the life of the district that would be attributable to county levies,
assuming the,county's share of the total local tax rate for all taxing jurisdictions remained the same is
estimated to be$13,581,090.
5. No additional information has been requested by the county or school district that would enable it to
determine additional costs that will accrue to it due to the development proposed for the district.
Section W Prior Planned Improvements
Various permits have been issued for a property within the TIF District within the last 18 months and are listed below:
PID Address Date Issued Valuation Permit#
2003121240065 5582146th St N 9111/2006 2,000.00 2006-01730
SPRINGSTED Page 12
City of Hugo, Minnesota
2003121310022 14235 Forest Blvd N 8/22/2006 52,000.00 2006-01665
2003121310007 14497 Forest Blvd N 9/28/2006 1,000.00 2006-01833
200312124002-6--5737 147th St N 8/22/2006 2,000.00 2006-01664
2003121240026 5737147th St N 9/12/2006 1,200.00 2006-01758
2003121240025 5697147"St N 9/12/2005 2,000.00 2005-02643
2003121240026 5737147"St N 11/18/2005 10,000.00 2005-03503
2003124240026 5737 147th St N 10/18/2005 2,000.00 2005-03140
2003121330071 5448 140th St
The Authority will accompany its request for certification to the County Auditor (or notice of district enlargement), with
a listing of such properties within the TIF District for which building permits have been issued during the 18 months
immediately preceding approval of the TIF Plan. The County Auditor shall increase the original net tax capacity of the
TIF District by the net tax capacity of each improvement for which a building permit was issued. However the
Authority does not believe the issuance of the permits will have a significant impact on the original net tax capacity of
the District.
Section X Development Agreements
If within a project containing a redevelopment district, more than 25%of the acreage of the property to be acquired by
the City is purchased with tax increment bonds proceeds (to which tax increment from the property is pledged), then
prior to such acquisition, the City must enter into an agreement for the development of the property. Such
agreement must provide recourse for the City should the development not completed.
The City anticipates entering into individual agreements for development as projects occur, and anticipates acquiring
property located within the TIF District.
Section Y Assessment Agreements
The City may, upon entering into a development agreement, also enter into an assessment agreement with the
developer, which establishes a minimum market value of the land and improvements for each year during the life of
the TIF District.
The assessment agreement shall be presented to the County or City Assessor who shall review the plans and
specifications for the improvements to be constructed, review the market value previously assigned to the land, and
so long as the minimum market value contained in the assessment agreement appears to be an accurate estimate,
shall certify the assessment agreement as reasonable. The assessment agreement shall be filed for record in the
office of the County Recorder of each county where the property is located. Any modification or premature
termination of this agreement must first be approved by the City, County and School District.
The City reserves the right to enter into an assessment agreement for individual projects.
Section Z Modifications of the Tax Increment Financing Plan
Any reduction or enlargement in the geographic area of the Project Area or the TIF District; a determination to
capitalize interest on the debt if that determination was not part of the original TIF Plan, increase in the portion of the
captured net tax capacity to be retained by the Authority; increase in the total estimated public costs; or designation of
property to be acquired by the Authority shalt be approved only after satisfying all the necessary requirements for
approval of the original TIF Plan. This paragraph does not apply if:
(1) the only modification is elimination of parcels from the TIF District; and
SPRINGSTED Page 13
City of Hugo, Minnesota
(2) the current net tax capacity of the parcels eliminated equals or exceeds the net tax capacity of
those parcels in the TIF District's original net tax capacity, or the City agrees that the TIF District's
original net tax capacity will be reduced by no more than the current net tax capacity of the parcels
eliminated.
The City must notify the County Auditor of any modification that reduces or enlarges the geographic area of the TIF
District. The geographic area of the TIF District maybe reduced but not enlarged after five years following the date of
certification.
Section AA Administration of the Tax Increment Financing Plan
Upon adoption of the TIF Plan, the City shall submit a copy of such plan to the Minnesota Department of Revenue
and the Office of the State Auditor. The City shall also request that the County Auditor certify the original net tax
capacity and net tax capacity rate of the TIF District. To assist the County Auditor in this process, the City shall
submit copies of the TIF Plan, the resolution establishing the TIF District and adopting"the TIF Plan, and a listing of
any prior planned improvements. The City shall also send the County Assessor any assessment agreement
establishing the minimum market value of land and improvements in the TIF District, and shall request that the
County Assessor review and certify this assessment agreementas reasonable.
The County shall distribute to the City the amount of tax increment as it becomes available. The amount of tax
increment in any year represents the applicable property taxes generated by the retained captured net tax capacity of
the TIF District. The amount of tax increment may change due to development anticipated by the TIF Plan, other
development, inflation of property values, or changes in property classification rates or formulas. In administering and
implementing the TIF Plan, the following actions should occur on an annual basis:
(1) prior to July 1, the City shall notify the County Assessor of any new development that has occurred
in the TIF District during the past year to insure that the new value will be recorded in a timely
manner.
(2) if the County Auditor receives the request for certification of a new TIF District, or for modification of
an existing TIF District, before July 1, the request shall be recognized in determining local tax rates
for the current and subsequent evy years. Requests received on or after July 1 shall be used to
determine local tax rates in subsequent years.
(3) each year the County;Auditor shall certify the amount of the original net tax capacity of the TIF
District. The amount certified shall reflect any changes that occur as a result of the following:
(a) the value of property that changes from tax-exempt to taxable shall be added to the
original net tax capacity of the TIF District. The reverse shall also apply;
(b) the original net tax capacity may be modified by any approved enlargement or reduction of
the TIF District;
(c) if laws governing the classification of real property cause changes to the percentage of
estimated market value to be applied for property tax purposes, then the resulting increase
or decrease in net tax capacity shall be applied proportionately to the original net tax
capacity and the retained captured net tax capacity of the TIF District.
The County Auditor shall notify the City of all changes made to the original net tax capacity of the TIF District.
SPRINGSTED Page 14
City of Hugo, Minnesota
section AB Filing TIF Plan, Financial Reporting and Disclosure Requirements
The City will file the TIF Plan, and any subsequent amendments thereto,with the Commissioner of Revenue and the
Office of the State Auditor pursuant to Minnesota Statutes, Section 469.175,subdivision 4A. The City will comply
with all reporting requirements for the TIF District under Minnesota Statutes, Section 469.175, subdivisions 5 and 6.
SPRINGSTED Page 15
Exhibit 1
MAP OF TAX INCREMENT FINANCING (REDEVELOPMENT)DISTRICT NO. 1-2
ARM
.� .r. ;m
___ Legend
�— TIF—District
SPRINGSTED Page 16
Exhibit 1
MAP OF DEVELOPMENT DISTRICT NO.
SPRINGSTED Page 17
Exhibit 11
Boundaries of Tax Increment Financing (Redevelopment)District No. 1-2
Parcel ID Number Legal Description
20.031.21.23.0025 HUGO Lot-001 Block-004 LOTS 1 TO 12 INC 004
20.031.21.23.0017 COUNTY AUDITOR'S PLAT#7 LOT-017 .46A LOT 17 COUNTY AUD PLAT 7
20.031.21.24.0064 HUGO Lot-004 Block-009 S60 FT OF W30 FT LOT 4 009 HUGO ADD
20.031.21.24.0062 HUGO Lot-002 Block-009 WLY 10 FT OF LOT 2 009 &ALL OF LOT 3 BLK 9 HUGO
ADD
20.031.21.24.0066 HUGO LOT-004 BLOCK-010 HUGO ADD
20.031.21.34.0077 TRAEGER'S ADD PLAT 2 LOT-008 BLOCK-001 TRAEGERS ADD PLAT 2
20.031.21.24.0063 HUGO Lot-004 Block-009 LOTS 4&5 009 EXC SOUTH 60 FT OF W 30 FT OF LOT 4
HUGO ADD
20.031.21.24.0065 HUGO Lot-001 Block-010 LOTS 1-3 010
20.031.21.24.0012 COUNTY AUDITOR'S PLAT#7 Lot-002.17A PT OF LOT 2 BEG AT A PT IN SD LOT 2
30 FT SOUTH & 150 FT NORTH 89DEG.33'EAST OF NW CORNER OF SD LOT 2
THENCE CONTINUING NORTH 89DEG. 33EAST & PAR TO NORTH LINE OF SD
LOT 2 FOR 50 FT THENCE SOUTH & PAR TO WEST LINE OF LOT 2 FOR 150 FT
THENCE SOUTH 89DEG.33'WEST & PAR TO NORTH LINE OF LOT 2 FOR 50 FT
THEN NORTH & PAR TO WEST LINE OF LOT 2 FOR 150 FT TO PT OF BEG.
COUNTY AUD PLAT 7
20.031.21.34.0078 VAIL ADD LOT-001 BLOCK-001
20.031.21.24.0011 COUNTY AUDITOR'S PLAT#7 Lot-002 PART OF LOT 2 DESC AS FOLL BEG AT NW
COR OF SD LOT 2 THN S 3OFT THN N89DEG33'E 20OFT TO PT OF BEG OF LAND
TO BE DESC (HEREIN REFERRED TO AS PT A THN CONT N89DEG33E &PAR TO
N LINE OF SD LOT 2 FOR DIST OF 100FT THN S &PAR TO W LINE TO LOT 2 FOR
DIST OF 15OFT THN S 89DEG33W & PAR TO N LINE OF LOT 2 FOR DIST OF
100FT THN N&PAR TO W UNE OF LOT 2 FOR DIST OF 15OFT TO PT A&THERE
TERM ACCORDING TO PLAT THEREOF ON FILE & OF REC IN OFC OF REG OF
DEEDS WITHIN&FOR SD CO AUDITOR'S PLAT#7
20.031.21.34.0079 VAIL ADD LOT-002 BLOCK-001
20.031.21.34.0020 COUNTY AUDITOR'S PLAT #7 Lot-038 ALL THAT PART OF LOT NUMBER 38
COUN- TY AUDITOR'S PLAT NUMBER 7-WASHINGTO COUNTY MINNESOTA
DESCRIBED AS FOLLOW COMMENCING AT THE INTERSECTION OF THE
EASTERLY RIGHT OF WAY LINE OF THE PRESENT U.S. HIGHWAY NUMBER 61
AND'THE NORTH LINE OF GOVERNMENT LOT NUMBER 5-SECTION 20
TOWNSHIP 31NORTH RANGE 21 WEST WASHINGTON COUNTY MINN ESOTA
THENCE SOUTH 11 DEGREES 57 MIN UTES WEST ALONG SAID PRESENT RIGHT
OF WAY LINE OF HIGHWAY 61 FOR 1515.2 FEET THENCE EAST AND PARALLEL
WITH THE SOUTH LINE OF SAID SECTION 20 FOR 275.4 FEET WHICH IS THE
POINT OF BEGINNING OF THIS DESCRIPTION THENCE NORTH AT RIGHT
ANGLES 89.6 FEET THEN EAST AT RIGHT ANGLES 105 FEET THENCE SOUTH AT
RIGHT ANGLES 107.2 FEET THENCE NORTH 69 DEGREES 14 MINUTES WEST
FOR 49.73 FEET THENCE AND WEST AND PARALLEL WITH THE SOUTH LINE OF
SECTION 20 FOR 58.46 FEET TO THE POINT OF BEGINNING COUNTY AUDITOR'S
PLAT NUMBER 7 HUGO CITY
20.031.21.21.0029 GRANGER'S ADD LOT-005 GRANGERS ADD
20.031.21.24.0018 COUNTY AUDITOR'S PLAT#7 Lot-002 PART OF LOT 2 BEG AT A PT IN SD LOT 2
30 FT SOUTH &300 FT NORTH 89DEG.33EAST OF THE NW CORNER THERE OF
THENCE CONTINUING NORTH 89DEG.33' EAST & PAR TO THE NORTH LINE OF
SD LOT 2 FOR 68.5 FT TO THE WLY EDGE OF THE N P RR R/W THENCE SLY
ALONG THE WILY EDGE OF SD R/W 153.4 FT THENCE S89DEG.33WEST FOR 37.5
FT THENCE NORTH 150 FT TO PT OF BEG. COUNTY AUD. PLAT 7
SPRINGSTED Page 18
Exhibit 11
20.031.21.24.0070 COUNTY AUDITOR'S PLAT #7 Lot-005 THAT PT LOT 5 COUNTY AUDITOR'S
PLAT#? DESC:BEG AT THE NW CORN OF SD LOT RUN THN ELY ALG NLY LINE
OF SD LOT 15OFT TO A PT THN SLY ON LINE PAR WITH THE WLY LINE OF SD
LOT 10OFT TO A PT THN WLY ON A LINE PAR WITH THE NLY LINE OF SD LOT
15OFT M/L TO THE WLY LINE OF SD LOT THN NLY ALG THE WLY LINE OF SD LOT
10OFT M/L TO PLACE OF BEG ALSO:BEG AT A PT IN WLY LINE SD LOT 5 10OFT
SLY FROM THE NW CORN THEREOF THN RUN E & PAR WITH THE NLY LINE OF
SD LOT 15OFT TO A PT THN SLY&PAR WITH THE WLY LINE OF SD LOT 50 FT TO
A PT THN W&PAR WITH THE N LINE OF SD LOT 15OFT M/L TO THE WLY LINE OF
SD LOT THN NLY ALG THE WLY LINE OF SD LOT 50FT M/L TO THE PLACE OF
BEG COUNTY AUDITOR'S PLAT#7 HUGO CITY
20.031.21.24.0025 COUNTY AUDITOR'S PLAT#7 LOT-006.48A LOT C COUNTY AUD PLAT 7
20.031.21.24.0027 COUNTY AUDITOR'S PLAT #7 Lot-007 PT OF LOT 7_BEING W 178 FT AS MEAS
ALONG N &S LINE OF N 209 FT EXC THE E 89 FT THEREOF CO AUDITORS PLAT
#7
20.031.21.21.0073 Sect-20 Twp-031 Range-021 PT NE1/4-NW1/4 203121 DESC AS FOLL COM NE COR
SD NE1/4-NW1/4 THN AZ N 179DEG43'38' WACO C SYS NORTH ZONE 1322.12FT
TO SE COR SD NE1/4-NW1/4 THN AZ 269DEG05'26" ALG S LN SD NE1/4NW1/4
391.2FT THN AZ 359DEG43'38" PARL WITH W LN SD NE1/4-NW1/4 33FT TO N LN
147TH ST FOR POB OF LAND TO BE DESC THN CONT AZ 359DEG43'38" ALG SD
PARL LN 133.5FT TO ELY EXT OF MOST SLY LN OF LAND DESC WD REC'D DEC
17 1970 BK 310 PG 525 THN AZ 269DEG0626" ALG SD EXT LN 137.83FT TO LN
PARL WITH ELY LN HWY 61 &208FT ELY OF SD ELY LN AS MEAS ALG SD N LN
OF 147TH ST N THN AZ 191DEG02'10" ALG SD PARL LN 136.45FT TO N LN SD
147TH ST N THN AZ 89DEG05"26"ALG SD N LN 164.59FT TO POB
20.031.21.21.0017 Sect-20 Twp-031 Range-021 PT NE1/4-NW114 S20T31R21 DESC AS FOLL:COM AT
NE CORN OF SD1/4 THN ON AZIMUTH FROM N OF 179DEG4338" ORIENTED TO
WASH CO COORDINATE SYS NORTH ZONE A DIST 1322.12FT TO SE CORN OF
SD1/4-1/4 THN ON AZIMUTH OF 269DEG05'26"ALG THE SO LINE OF SD 1/41/4 A
DIST 770.38FT TO THE ELY LINE OF US HWY #61 THN ON AZIMUTH OF
11DEG02'10"ALG SEI ELY LINEA DIST OF 33.73FT TON LINE OF 147TH STN THN
CONTINU ON AN AZIMUTH OF 11DEG02'10"ALG SD ELY LINE A DIST 208FT TO A
PT HEREINAFTER REFERRED TO AS"PT A " THN CONTINU ON AN AZIMUTH OF
11DEG 0710" ALG SD ELY LINE A DIST OF 83 FT THN ON AN AZIMUTH OF
101DEG02'10"A DIST 13OFT TO PT OF BEG OF LAND TO BE DESC THN CONTINU
ON AN AZIMUTH OF 101DEG02'10" A DIST OF 65.51FT THN ON AZIMUTH
179DEG43'38" A DIST 40.74 FT TO PT ON AZIMUTH OF 89DEG05'26" &A DIST OF
208FT FROM SD "POINT A"THN ON AZIMUTH OF 89DEG05'26" DIST OF 123.80FT
TO A LINE WHICH IS PAR WITH THE E LINE OF SD1/4 1/4 OF SEC20 & DIST
391,1.7FT (391FT 2 INCHES) W OF SD LINE AS MEASUR ALG THE SO LINE OF
SD114-1/4 THN ON AZIMUTH OF 359DEG43'38" ALG SD PAR LINE DIST 191.49FT
TO SO LINE OF 148TH ST N AS DESC IN A QUIT CLAIM DEED RECORDED 6-26-
1974 AS DOC#324300 THN ON AN AZIMUTH OF 269DEG05'26"ALG SD SO LINE A
DIST 160.54FT TO THE INTERSECT WITH LINE ON AN AZIMUTH OF 11DEG02'10"
FROM PT OF BEG THN ON AZIMUTH OF 191DEG02'10 " A DIST 140.22FT TO PT
OF BEG SUBJ TO EASE
20.031.21.24.0056 KENNETH N GRANGER ADD Lot-003 SUBJ TO 20FT WIDE DRAINAGE EASE
20.031.21.24.0026 COUNTY AUDITOR'S PLAT #7 Lot-007 W 178FT OF N 209FT OF LOT 7 CO
AUDITORS PLAT#7 EXC W 89FT THEREOF
20.031.21.24.0057 KENNETH N GRANGER ADD LOT-004 KENNETH N. GRANGER ADD
20.031.21.24.0028 COUNTY AUDITOR'S PLAT#7 Lot-007 .50A PT OF LOT 7 BEG AT A PT IN N LINE
OF LOT 7 208 FT 5 IN W FROM NE COR THENCE S PAR WITH E LINE OF LOT 7
SPRINGSTED Page 19
Exhibit 11
209 FT THENCE W 104 FT 2.5 IN THENCE N 209 FT THENCE E 104 FT 2.5 IN TO
BEG. COUNTY AUD PLAT 7
20.031.21.24.0058 KENNETH N GRANGER ADD LOT-005
20.031.21.24.0030 COUNTY AUDITOR'S PLAT #7 Lot-007 THAT CERTAIN PT OF LOT 7 IN COUNTY
AUDITOR'S PLAT #7 IN VILLAGE OF HUGO & BEING PT OF GOV LOT 4 IN
S20T3lR21 WASH CO MN DESC:BEG @ NE CORN SD LOT 7 THN W ALG THE N
LN THEREOF FOR 79.21FT THN S PAR TO E LN SD LOT 7 FOR 209FT THN E PAR
TO DESC 1ST COURSE FOR 79.21FT TO E LN LOT 7 THN N ALG SD E LN FOR
209FT TO POB -TRACT AS DES IS SUBJ TO 1/2 THE WIDTH OF ONEKA RD ALG
THE N LN OR 33FT
20.031.21.24.0059 KENNETH N GRANGER ADD LOT-006
29.031.21.23.0001 Sect-29 Twp-031 Range-021 PT OF SW1/4 OF NW1/4 293121 NORTH 2 RODS
LYING EAST OF ROAD EXC TO HWY
29.031.21.22.0004 Sect-29 Twp-031 Range-021 S 10A OF S 20A OF THAT PT N1/2-NW 114 S29 T31 R21
LYING E OF RR R/W & HWY 61 EXC: THAT PT SD S 20A DESC AS FOLL: COM AT
INTER ELY LN SD HWY 61 &LN 218FT S OF N LN SD S 20A;THN ELY&PARL W/N
LN SD S 20A 377.78FT; THN S AT RT ANG 30FT TO POB; THN CONT S 21OFT; THN
ELY AT RT ANG 21OFT; THN NLY AT RT ANG 21OFT; THN WLY AT RT ANG 21OFT
TO POB;TOG W/30FT RD EASE'.EXC: THAT PT SD S 20A DESC AS FOLL: BEG AT
INTER ELY RNV LN NEW HWY 61 &LN 248FTS OF N LN SD S 20A 384.08FT; THN
S AT RT ANG 140FT; THN WLY TO PT ON SD ELY R/W LN BEING 108. 81 FT SWLY
OF POB; THN NLY ALG SD R/W LN 108.81 FT TO POB. EXC THAT PT SD S 20A
DESC AS FOLL: COM AT INTER NEW ELY RNV LN SD HWY 61 &LN 218FT S OF N
LN SD S 20A MEAS AT RT'ANG THERETO; THN ELY & PARL W/ N LN SD S 20 A
587.78FT TO POB LAND TO BE DESA THN S AT RT ANG 240FT; THN W AT RT
ANG 21OFT; THN S AT RT ANG&TO S LN SD N1/2-NW 1/4; THN E ON SD S LN TO
SE COR SID N1/2-NW1/4; THN N ON E LN SD N1/2-NW1/4 TO LN DRAWN ELY
FROM POB&PARL W/N LN SD S 20A;THN WLY TO POB
29.031.21.21.0009 Sect-29 Twp-031 Range-021 PT OF N112 OF NW1/4 293121 BEING THAT PART OF
THE NORTH 10 ACRES OF SOUTH 20 AC RES LYING ELY OF S.T.H. 61 &DES AS
FOL, COM AT INTER OF ELY LINE OF HWY 61 &A LINE 218 FT S OF N LINE OF SD
S 20 ACRES THEN E & PAR WITH N LINE OF SD S 20 ACRES 377.78 FT THEN S
AT RT ANG 30 FT TO PT OF BEG THEN CON S 210 FT THEN ELY AT RT ANG 210
FT THEN NLY AT RT ANG 210 FT THEN WLY AT RT ANG 210 FT TO PT OF BEG.
SUBJ TO EASE
29.031.21.21.0008 Sect-29 Twp-031 Range-021 PT OF N1/2-NW1/4 293121 COM AT INTERS OF S LINE
OF N1/2-NW1/4 OF SD SEC 29 WITH E R/W LINE OF TRUNK HWY #61 AS NOW
WIDENED TO 111FT THN N11DEG51'E ALONG SD E R/W LINE DIST OF 501AFT
THN_E &PAR WITH S LINE OF SD N1/2 NW1/4 DIST OF 40OFT TO ACTUAL PT OF
BEG OF TRACT HEREIN DESC & CONVEYED THN CONT E ALONG SD PAR LINE
DIST OF 220FT THN S AT RT ANG DIST OF 218FT THN W &PAR WITH S LINE OF
SD N1/2 NW114 DIST OF 220FT THN N AT RT ANG DIST OF 218FT TO ACTUAL PT
OF BEG SUBJ TO RD EASE
29.031.21.22.0008 Sect-29 Twp-031 Range-021 PT OF NW1/4-NW1/4 S29 T31 R21 DESC AS FOLL:
COM AT INTER OF S LN SD TRACT&E RNV LN HWY 61-NOW WID TO 111 FT-THN
NLY ALG SD HWY R/W LN 399.23FT TO POB THN CONT NLY ALG SD R/W LN
102.17FT THN E PARL TO S LN SD NW1/4-NW1/4 136.56FT THN ELY ON STRT LN
& ITS EXT TO PT 173.35FT E MEAS ALG SD PARL LN FROM E R/W LN SD HWY 61
& 5.45 FT S FROM PARL LN 21.68FT THN S ON LN DRAWN AT RT ANG TO S LN
SD NW1/4 96.74FT THN W PARL TO S LN SD NW1/4178.93FT TO POB
29.031.21.22.0001 Sect-29 Twp-031 Range-021 PT OF N1/2-NW1/4 293121 BEG AT INTER S LN SD
TRACT&E LN NEW HWY 61; THN N11DEG51'E ALG SD HWY LN 501AFT TO POB;
SPRINGSTED Page 20
Exhibit 11
THN ELY & PARL W/ S LN SD N1/2 400FT; THN NLY AT RT ANG TO LAST CRSE
357.26FT; THN WLY&PARL W/S LN SD N1/2 325.23FT TO INTER W/E LN SD HWY
61; THN S11DEG 51'W ALG SD HWY 61 365FT TO POB SUBJ TO EASE 11DEG51'W
ALONG SD HWY A DIST OF 365FT TO ACTUAL PT OF BEG ALSO SUBJ TO
UTILITY EASE OF RECORD -SUBJ TO DRIVEWAY EASE- MT & MAINTENANCE
AGREEMT
29.031.21.22.0007 Sect-29 Twp-031 Range-021 N1/2-NW1/4 S29T31R21 DESC AS FOLL: COM AT
INTER OF N LN SD SEC 29 W/ ELY LN HWY 61-NOW WID TO 111FT- SD PT OF
INTER BEING 1103.76FT E FROM NW COR SD SEC 29 THN E ALG N LN SD SEC 29
285FT THN S AT RT ANG TO SD N LN 278.89FT THN W & PARL W/ SD N LN
343.71FT TO INTER W/ ELY LN HWY 61 THN N11DEG53'19"E ALG SD ELY LN
285FT TO POB SUBJ TO RD EASE EXC THE FOLL DESC TRACT: COM AT INTER
OF N LN SD SEC29 W/ELY LN OF HWY 61 -NOW WID TO 111FT-SD PT OF INTER
BEING 1103.76FT E OF NW COR SD SEC 29 THN S11DEG53'19"W ALG SD ELY LN
33.72FT TO APOB OF TRAC TO BE DESC THN CONT S11DEG53' 19"W ALG SD
ELY LN 10OFT THN N50DEG56'40"E'155.31FT TO ITS INTER W/ LN DRAWN PARL
W/&33FT S OF SD N LN THN W ALG SD PARL LN 100FT TO APOB ALSO SUBJ TO
EASE A DIST OF 10OFT THN 'N50DEG56'40"E A DIST OF 155.31FT TO ITS
INTERSECT WITH A LINE DRAWN PAR WITH & 33FT S OF THE N LINE OF SD
SEC29 THN DUE W ALG SD PAR LINE A DIST OF 10OFT TO THE ACTUAL PT OF
BEG-ALSO SUBJ TO SANITARY SWR EASEMN HUGO
20.031.21.33.0010 COUNTY AUDITOR'S PLAT #7 Lot-037 1A LOT 37 EXC TO HWY COUNTY AUD
PLAT 7
20.031.21.33.0009 COUNTY AUDITOR'S PLAT#7 LOT-036 EXC TO HWY
20.031.21.33.0004 COUNTY AUDITOR'S PLAT #7 Lot-035 PART OF LOT 35 CTY AUDITOR'S PLAT#7
DESC AS FOLL COM AT SW COR OF SWI/4 OF S20T31R21 THN E ALONG S LINE
OF SD SEC 20 DIST OF 512:21FT THN N AT RT ANG DIST OF 110FT TO PT OF BEG
OF PROPERTYHEREIN TOBEDESC THN E AT RT ANG DIST OF 75FT THN N AT
RT ANG DIST OF 90FT THN E AT RT ANG DIST OF 284AFT THN S AT RT ANG
DIST OF 37FT THN SWLY PAR TO RR R/W DIST OF 166.59FT THN E ALONG S
UNE OF SD SEC 20 DIST OF 51.10FT THN NELY ALONG SD RR R/W DIST OF
372.59FT THN W PAR TO S.LINE OF SEC 20 DIST OF 452.94FT THN S AT RT ANG
DIST OF 254.49FT TO PT OF BEG ACCORDING TO PLAT THEREOF ON FILE &OF
REC IN OFC OF CTY REC
20.031.21.34.0028 Sect-20 Twp-031 Range-021 COUNTY AUDITOR'S PLAT #7 Lot-038 THAT PT OF
LOT 38 AUDITOR'S PLAT#7&BEING A PT OF GOV LOT 6&OF THE SW/14-SW1/4
S20T3lR21W DESC AS FOLL: BEG AT JUDICIAL LANDMARK ON E LINE OF US
HWY#61 AS NOW ESTABLISHED & THE W LINE OF SD AUDITOR'S LOT 38 SD
JUDICIAL LANDMARK BEING 909.48FT NLY FROM THE SO LINE OF SEC 20 AS
MEASUR ALG SD W LINE OF AUDITOR'S LOT 38 & E LINE OF STATE HWY #61
FROM THE SO LINE OF SD SEC 20& 136FT ELY OF CIL OF BN INC RNV MEASUR
AT RT ANG THERETO THN E PAR WITH SO LINE OF SD SEC 20 FOR 80FT TO
JUDICIAL LANDMARK THN SO AT RT ANG FOR 147.48FT TO JUDICIAL LANDMAR
ON N LINE OF HUGO PLACE AS NOW ESTAB 66FT WIDE THN WLY ALG SD
STREET LINE DIST 111.03FT TO JUDICIAL LANDMARK AT INTERSECT THEREOF
WITH SD E LINE OF US HWY#61 THN NLY ALG SD HWY LINE FOR 150.71FT TO
PT OF BEG AUDITOR'S PLAT#7
20.031.21.34.0026 COUNTY AUDITOR'S PLAT#7 Lot-038 PART OF LOT 38 OF CO AUDITORS PLAT#7
WASH CO MN DESC AS FOLL BEG AT PT ON E LINE OF WHITE BR&HUGO RD 13
CHAINS & 78 LINKS NLY FROM S LINE OF SD SEC MEAS ON E LINE OF SD RD
THN NELY ALONG SD E LINE OF SD RD 1.58 CHAINS THN ELY PAR WITH S LINE
OF SD SEC 6.35 CHAINS THN S PAR WITH AFORESAID E LINE 1.58 CHAINS THN
SPRINGSTED Page 21
Exhibit 11
W 6,35 CHAINS TO PLACE OF BEG
20.031.21.34.0024 COUNTY AUDITOR'S PLAT #7 Lot-038 PART OF LOT 38 BEG AT A PT ON E LINE
OF R/W OF TRUNK HWY 61 WHICH IS 1013.76 FT NLY MEASURED ALONG E LINE
OF TRUNK HWY 61 FROM S LINE OF SEC 20 THEN E PAR WITH S LINE SD SEC
20 A DIS OF 170 FT TO A PT THEN NLY PAR WITH ELY R/W LINE OF HWY 6164
FT TO A PT THEN W PAR WITH S LINE OF SEC 20 170 FT M/L TO E R/W LINE OF
HWY 61 THEN SLY ON E R/W LINE OF HWY 61 A DIS 64 FT MIL TO PT OF BEG.
COUNTY AUD. PLAT 7
20.031.21.34.0025 COUNTY AUDITOR'S PLAT #7 Lot-038 PART OF LOT 38 BEG AT A PT ON E R/W
LINE OF HWY 61 WHICH IS 1077.76 FT NLY MEASURED ALONG E LINE OF HWY
61 FROM S LINE OF SEC 20 THEN E PAR WITH SLLINE OF SD SEC 20 A DIS OF
170 FT TO A PT THEN NLY PAR WITH ELY R/W LINE OF HWY 61 60 FT TO A PT
THEN W PAR WITH S LINE OF SD SEC 20 170 FT M/L TO E R/W LINE OF SD HWY
61 THEN SLY ON E R/W LINE SD HWY A DIS OF 60 FT M/L TO PT OF BEG
COUNTY AUDITOR PLAT 7
20.031.21.34.0023 COUNTY AUDITOR'S PLAT#7 Lot-038 PT OF LOT 38 BEG AT`A PT IN E LINE OF H
WY THAT IS 337.6 FT SLY FROM SW COR OF LOT 33 CO AUD PLAT 7 THEN SLY
ALONG E LIN E OF SD HWY FOR 91.6 FT TO APT THEN E PARA WITH S LINE OF
SEC 20 FOR A DIS OF 275.4 FT TO A PT THEN N90DEG. 89.6 FT TO A PT THEN
W90DEG.& PAR TO S LINE OF SEC 20 FOR A DIS OF 256.4 FT TO PT OF BEG.
COUNTY AUD. PLAT NO. 7
20.031.21.31.0024 Sect-20 Twp-031 Rage-021 PT S1/2 203121 DESC AS COM @ W1/4 COR OF SD
S20 THN N89DEG-07'38"E ASMBRG ALG E=W1/4 LN SD S20 DIST 1591.18FT TO
INTER OF ELY R/WLN OF US'HWY#t61 (AK A: STATE RD 5) S ELY R/W LN BEING
DIST 33FT ELY OF THE C/L OF SID HWY THN`S11DEG02'09"W ALG SD R/W LN
DIST 1423.6FT TO ACTUAL POB; OF TROT.TO BE DESC THN N11DEG02'09"E
BACK ALG SD ELY R/W LN DIST 51.10FT THN N89DEG0921"E 249.53FT THN N00
DEG52'22"W 280.39FT TO THE S LN OF LT 33-AUD PLAT#? ACCORDI TO REC
PLAT THERE OF THN N89- DEG07'38"E ALG SLY LN OF SD LT 33 & ITS ELY EXT
THEREOF TO SHRLN OF EGG LK THN SLY ALG SD SHRLN TO PT OF INTER WITH
LN DRWY ELY FROM THE ACTUAL POB SD LN BEING PAR/W S LN OF GV LT 6 SD
S20 THN S89DEG0821"W ALG SD PAR LN TO ACTUAL POB EXC PRCL 10 WACO
-R/W PLAT 147 LYING WITHIN S20T31R21 SUBJ TO EASE
20.031.21.31.0002 COUNTY AUDITOR'S PLAT #7 Lot-027 PART OF LOTS 27 & 28 BEG AT AN IRON
PIPE MONUMENT SET AT THE INTERSEC-TION OF THE NLY LINE OF GOV LOT 5
SEC 20 T31 R21 WITH THE ELY LINE OF HWY NO. 61 & RUNNING THENCE SLY
ALONG SAID ELY OF SAID HWY 55.70 FT THENCE SELY ON A STRAIGHT LINE TO
A POINT ON THE SOUTH LINE OF LOT 27 SAID POINT BEING 53 FT EAST OF THE
SW COR OF SAID LOT 27 THENCE ELY ALONG SAID SOUTH LINE OF LOT 27 TO
THE SE COR OF LOT 27 THENCE SOUTH ALONG WLY LINE OF SAID LOT 28 TO A
POINT WHICH IS 50 FT NORTH OF THE SW COR OF LOT 28 THENCE ELY ON A
STRAIGHT LINE WHICH IS PARA- LLEL TO &50 FT NORTH OF SLY LINE OF LOT
28 TO WLY SHORELINE OF EGG LAKE THENCE NLY ALONG THE WLY
SHORELINE OF EGG LAKE TO ITS IN-TERSECTION WITH THE NLY LINE OF SAID
LOT 28 THENCE WLY ALONG THE NLY LINE OF LOT 28&THE NLY LINE OF LOT 5
SEC 20 T31 R21 TO BEG. COUNTY AUD PLAT 7
20.031.21.31.0007 COUNTY AUDITOR'S PLAT#7 Lot-030 PART OF LOT 30 BEG AT THE SE COR OF
LOT 27 THENCE SOUTH A DISTANCE OF 74 FT TO A POINT THENCE NWLY ON A
LINE DRAWN FROM LAST DESCRIBED POINT TO A POINT IN THE EAST LINE OF
PUBLIC HWY NO. 61 AT A POINT 100.27 FT SWLY FROM THE NW COR OF SAID
LOT 27 MEASURING ALONG THE EAST LINE OF SAID PUBLIC HWY A DIS-TANCE
OF 71 FT TO A POINT THENCE NORTH TO A POINT 14 FT SOUTH OF THE SOUTH
SPRINGSTED Page 22
Exhibit 11
LINE OF SAID LOT 27 AFORE- SAID THENCE WEST ON A LINE PARALLEL WITH
THE SOUTH LINE OF SAID LOT 27 TO THE EAST LINE OF SAID PUBLIC HWY
THENCE NLY ALONG THE EAST LINE OF SAID PUBLIC HWY 14 FT MORE OR
LESS TO THE SW COR OF SAID LOT 27 THENCE EAST ALONG THE SOUTH LINE
OF SAID LOT 27 TO THE PLACE OF BEG. COUNTY AUD. PLAT
20.031.21.24.0052 COUNTY AUDITOR'S PLAT #7 Lot-016 PT LOT 16 BEG AT SW CORN SD LOT 16
THEN RUN NLY PAR WITH HWY 61 30 FT THEN E 62 FT PAR TO S LINE LOT 16
THEN S 30 FT PAR TO HWY 61 THEN W 62 ALONG S LINE LOT 16 TO PT OF BEG.
EXC-COM AT PT ON W LINE LOT 16 WHCH 30 FT N OF SW COR THEREOF &
ALSO E LINE HWY 61 THEN R IN ELY DIRECTION PAR WITH S LINE LOT 16 62 FT
TO PT THEN R IN SLY DIRECT&PAR WITH W LINE LOT 16 DIST 3 FT TO PT THEN
RUN NWLY ALONG A LINE TO PT ON W LINE WHICH IS 30 FT N OF SW COR &
ALSO PT OF BEG. COUNTY AUD. PLAT NO.7
20.031.21.24.0051 COUNTY AUDITOR'S PLAT #7 Lot-016 EXC THAT PT CONVEYED TO CLARA
ETHIER DESC AS FOLLOWS COM AT PT ON W LINE OF SD LOT 16 WHICH IS
ALSO E LINE OF TRUNK HWY 61 DIST OF 30FT N OF SW COR THEREOF MEAS
ALONG SD E LINE THN RUNNING,IN SLY DIRECTION ALONG W LINE OF SD LOT
16&PAR WITH E LINE OF TRUNK HWY 61 FOR 30FT TO SD SW COR OF SD LOT
16 THN RUNNING ELY ALONG S LINE OF SD LOT 16 DIST OF 62FT TO PT THN
RUNNING NLY ALONG LINE PAR TO SD W LINE OF SD LOT 16 WHICH IS ALSO
PAR WITH E LINE OF TRUNK HWY 61 DIST OF 27FT TO PT THN RUNNING IN
NWLY DIRECTION IN STRAIGHT LINE TO PT OF BEG ACCORDING TO PLAT
THEREOF ON FILE & OF REC IN OFFICE OF REG OF DEEDS WITHIN & FOR SD
CO & EXC THAT PT THEREOF- DESC AS FOLLOWS PT OF LOT 16 OF CO
AUDITORS PLAT#7 DESC AS FOLLOWS BEG AT NWLY COR OF LOT 16 OF CO
AUDITORS PLAT #7 IN VILLAGE OF HUGO MN THN SELY ON LINE DRAWN AT
RIGHT ANG TO WILY LINE OF SD LOT 16 FOR DIST OF 279FT M/L TO WLY SHORE
LINE OF EGG LK THN NLY ALONG SD WILY SHORELINE OF EGG LK FOR DIST OF
56FT M/L TO ITS INTERS WITH N LINE OF SD LOT 16 THN W ALONG SD N LINE
OF LOT 16 FOR 270FT M/L TO PT OF BEG TOGETHER WITH EASE OVER &
ACROSS 15FT WIDE TRACT EXT FROM WLY LINE OF LOT 16 TO SD WLY
SHORELINE OF EGG LK NLY LINE OF SD 15FT WIDE EASE BEING SLY LINE OF
ABOVE DESC TRACT OF LAND PURPOSE OF SD EASE SHALL BE FOR
FOLLOWING STATED PURPOSE TO BE USED AS JOINT DRIVEWAY FOR
INGRESS & EGRESS BETWEEN PROPERTY OF PARTY OF SECOND PT HIS
HEIRS OR ASSIGNS &ADJ PROPERTY OWNERS AS SET FORTH IN THAT DEED
BETWEEN DONALD F CARPENTER & JOY M CARPENTER HUSBAND & WIFE TO
VILLAGE OF HUGO MUNICIPAL CORPORATION CO AUDITORS PLAT#7 SUBJ TO
NW BELL TELEPHONE CO EASEMEN
20.031.21.24.0050 COUNTY AUDITOR'S PLAT#7 Lot-015 PT LOTS 15& 16 BEG AT NWLY CORN LOT
15 THEN SWLY ALONG WLY LINE SD LOT 15 FOR 46 FT TO SWLY CORN THERE
:OF THEN SELY AT RT ANG DIST 175 FT THEN NLY ALONG LINE PAR TO WLY
LINE DIST 46 FT THEN WLY 175 FT PAR TO SLY LINE THEREOF TO PT OF BEG.
SUBJ WEASEMENT.CO. AUDITORS PLAT 7
20.031.21.24.0047 COUNTY AUDITOR'S PLAT#7 Lot-013.63A S 80 FT LOT 13 COUNTY AUD PLAT 7
20.031.21.24.0045 COUNTY AUDITOR'S PLAT#7 LOT-012.32A LOT 12 COUNTY AUD PLAT 7
20.031.21.24.0008 COUNTY AUDITOR'S PLAT#7 Lot-002 .17A PART OF LOT 2 BEG AT A PT ON THE
WEST LINE OF SD LOT 2 - 30 FT SOUTH OF THE NW CORNER THEREOF
THENCE NORTH 89DEG.33E PAR WITH NORTH LINE OF LOT 2 FOR 150 FT
THENCE SOUTH 50 FT THENCE SOUTH 89DEG.33'WEST FOR 150 FT TO THE
WEST LINE OF LOT 2 THENCE NORTH ALONG SD WEST LINE FOR 50 FT TO
BEG. EXC E 10 FT. COUNTY AUD. PLAT 7
SPRINGSTED Page 23
Exhibit 11
20.031.21.24.0009 COUNTY AUDITOR'S PLAT#7 Lot-002 PT LOT 2 BEG AT A PT ON W LINE SD LOT 2
30 FT S OF NW COR THEREO THEN N89DEG.33'E PAR WITH N LINE OF LOT 2
FOR 150 FT TO PT OF BEG OF PROPERTY HEREIN TO BE CONVEY ED THEN S
100 FT THEN S89DEG.33W FOR 10 FT THEN N PAR TO 1ST COURSE FOR 100 FT
THEN E89DEG.33E FOR 10 F TO PT OF BEG. COUNTY AUD, PLAT
20.031.21.24.0015 COUNTY AUDITOR'S PLAT#7 Lot-002 PT LOT 2 COM AT NW CORN LOT 2 THEN S
ALONG W LINE LOT 2 FOR 180 FT THEN N89DEG.33E FOR 150 FT TO PT OF BEG
THIS DESC.THEN CONT N89DEG.33'E FOR 187.5 FT M/L TO WILY R/W LINE N P
RR CO THEN SLY ALONG SD WLY R/W LINE 61.4 FT'THEN 89DEG.33'W 177.6FT
THEN N & PAR WITH SD WLY LINE LOT 2 FOR 60 FT TO PT BEG. COUNTY AUD.
PLAT 7
20.031.21.24.0017 COUNTY AUDITOR'S PLAT#7 Lot-002 PT. LOT 2EOM AT NW CORN LOT 2 THEN S
ALONG W LINE SD LOT 2 FOR 240 FT TO PT BEG.,THIS DESC. THEN N89DEG
33E 327.6 FT M/L TO WLY R/W LINE N P RR CO THEN SLY ALONG SD WLY R/W
76.7 FT THEN S89DEG.33'W 312.6 FT MIL TO WLY LINE LOT 2 THEN N ALONG SD
W LINE LOT 2 FOR 75 FT TO PT BEG. COUNTY AUD. PLAT
20.031.21.24.0022 COUNTY AUDITOR'S PLAT#7 Lot-003 PT OF LOTS 3&4 COM AT NW COR OF LOT
3 CO. AUD. PLAT 7 THENCE RUN IN A SLY DIRECTION ALONG WLY LINE OF SD
LOT 3 A DIST OF 157 FT TO A PT THENCE RUN IN AN ELY DIRECTION & PAR
WITH NLY LINE OF LOTS 3 &4 OF CO. AUD. PLAT 7 A DIST OF 120 FT TO PT OF
BEG OF LAND TO BE DESCRIBED THENCE RUN IN A NLY DIRECTION & PAR
WITH WILY LINE OF SD LOT S A DIST OF 30 FT TO A PT THENCE RUN IN AN ELY
DIRECTION &PAR WITH NLY LINE OF SD LOTS 3 &4 TO A PT ON ELY LINE OF
SD LOT 4 THENCE RUN IN A SLY DIRECTION ALONG ELY LINE OF SD LOT 4 TO A
PT WHICH IS SE COR OF SD LOT 4& NE COR OF LOT 1 BLK 10 HUGO THENCE
RUN IN WILY`DIREC- TION & PAR WITH NLY LINE OF SD LO TS 3 &4 TO PT OF
BEG. COUNTY AUD PLAT 7
20.031.21.24.0023 COUNTY AUDITOR'S PLAT #7 Lot-005 THAT PART OF THE NORTH 150 FEET OF
LOT 5 COUNTY AUDITOR'S PLAT NUMBER 7 LYING EAST OF THE FOLLOWING
DESCRIBE LINE:COMMENCING AT THE NORTHWEST COR NER OF SAID LOT 5
THENCE EAST ALONG THE NORTH LINE OF SAID LOT 5 A DIST- ANCE OF 150
FEET TO THE POINT OF BE- GINNING OF THE LINE TO BE DESCRIBED THENCE
SOUTHWESTERLY ALONG A LINE PARALLEL WITH THE WESTERLY LINE OF
SAID LOT 5 TO ITS INTERSECTION WITH THE SOUTH LINE OF THE NORTH 150
FEET TO SAID LOT 5 AND THERE TERMINATING ACCORDING TO THE
RECORDED PLAT THER- EOF ON FILE AND ON RECORD IN THE OFFICE OF THE
REGISTER OF DEEDS IN AND FOR SAID COUNTY COUNTY AUDITOR'S PLAT
NUMBER 7 HUGO CITY
20.031.21.24.0038 COUNTY AUDITOR'S PLAT#7 Lot-008 PART OF LOT 8 OF CO AUDITOR'S PLAT#7
BEG AT PT ON WLY LINE OF SD LOT 8 (ALSO ELY LINE OF FOREST BLVD N)
DIST 50FT NELY OF SW COR OF SD LOT 8 THIN NELY ALONG SD ELY RD LINE
83.9FT M/L TO PT DIST 287.54FT SWLY OF NW COR OF LOT 7 OF SD CO
AUDITOR'S PLAT#7 THIN SELY DEFL 89DEG33'35" TO RT 117.6FT M/L TO INTERS
WITH LINE DRAWN NELY PAR WITH WILY LINE OF SD LOT 8 FROM PT ON SLY
LINE OF SD LOT 8 DIST 120FT E OF SW COR THEREOF THN SWLY ALONG SD
PAR LINE 60.8FT M/L TO ITS INTERS WITH LINE DRAWN ELY PAR WITH S LINE
OF SD LOT 8 FROM PT OF BEG THIN WLY ALONG SD PAR LINE 120FT TO PT OF
BEG
20.031.21.24.0041 COUNTY AUDITOR'S PLAT#7 Lot-010 PT LOT 10-COUNTY AUDITORS PLAT NO.7
&THAT PT GOV LOT 4 S20T3lR21 BEING THE N1/2 OF LOT#10&PT OF THE S1/2
OF LOT#10 OF CO AUD PLAT#7 DESC AS FOLL:COM AT NW CORN OF SD S1/2
SPRINGSTED Page 24
Exhibit 11
OF LOT 410 THN E ALG THE N LINE THEREOF FOR 58FT THN SO AT RT ANGLE
TO THE N LINE THEREOF FOR 7FT THNC NWLY TO PT OF BEG&ALSO DESC AS
FOL THAT PT OF GOV LOT 4 S20T3lR21W CITY OF HUGO & THAT PT OF CO
AUDITOR PLAT#7 ACCORDING TO THE PLAT THERE-OF ON FILE&OF RECORD
IN THE OFFICE OF COUNTY RECORDER WASH CO MN DESC AS FOLL:COM AT
NE CORN OF SD GOV LOT 4 THN S89DEG05'26"W BEAR ARE BASED ON WASH
CO PROJECT COORDINATE SYSTEM NORTH ZONE ALG THE N LINE OF SD GOV
LOT 4 A DIST 770.34FT THN S11DEG01'52"W A DIST 736.79FT TO A 1/2 INCH PIPE
MONUMENT MARKED WITH A PLASTIC CAP INSCRIBES ANEZ RLS 13775 &
WHICH IS ALSO THE PT OF BEG OF LAND TO BE DESC THN CONTINUING
S11DEG01' 52"W DIST OF 48FT TO A 1/2 INCH IRON PIPE MONUMENT MARKED
WITH A PLASTIC CAP INSCRIBED RLS 13590 THN S81DEG48 '34"E A DIST OF
50FT TO A 1/2 INCH IRON PIPE MONUMENT MARKED WITH A PLASTIC CAP
INSCRIBED RLS 13590 THN N81DEG07'37"EA DIST 51.83FT TO A 1/2 INCH IRON
PIPE MONUMENT MARKED WITH A PLASTIC CAP INSCRIBED RLS 13590 THN
N89DEG30'25"E TO THE WLY SHORELINE OF EGG LAKE THN NLY ALG SD WLY
SHORELINE TO THE INTERSECT WITH A LINE THAT BEARS N89DEG30'25"E
FROM THE PT OF BEG THN S89DEG30'25"W TO THE PT OF BEG
20.031.21.24.0043 COUNTY AUDITOR'S PLAT#7 Lot-011 .30A LOT 11 LYING N OF A LINE RUN FROM
A PT IN E LINE OF RD 8 FT N OF SW COR TO A PT ON LAKE SHORE 1 FT N OF SE
COR EXC 35135-4700 COUNTY AUDITORS:PLAT 7 COUNTY AUD. PLAT 7
20.031.21.24.0044 COUNTY AUDITOR'S PLAT#7 Lot-011 PART OF LOT 11 BEG AT SW COR OF SD
LOT 11 THENCE RUN ALONG SOUTH LINE OF SD LOT 11 TO SE COR THEREOF
THEN RUN NORTH ALONG EAST LINE THEREOF A DIST OF 3 FT THENCE RUN IN
A NWLY DIRECTION TO A PT ON WEST LINE OF SD LOT 10 FT NORTH OF SW
COR THEREOF THENCE SOUTH ALONG WEST LINE THEREOF A DIST OF 10 FT
TO PLACE OF BEG.COUNTY AUD PLAT 7
20.031.21.24.0046 COUNTY AUDITOR'S PLAT#7 Lot-013.45A N 70 FT OF LOT 13 COUNTY AUD PLAT
7
20.031.21.24.0048 COUNTY AUDITOR'S PLAT#7 LOT-014 COUNTY AUD PLAT 7
20.031.21.24.0049 COUNTY AUDITOR'S PLAT#7 Lot-015 COUNTY AUD PLAT 7 EXC 35135-4950
20.031.21.24.0053, COUNTY AUDITOR'S PLAT 97 Lot-016 PT LOT 16 BEG AT NWLY COR LOT 16 THN
SELY ON LINE DRAWN AT RIGHT ANG TO WILY LINE SD LOT 16 FOR 279FT M/L
TO WLY SHORE EGG LK THN NLY ALONG WLY SHORELINE EGG LK DIST 56FT
M/L TO INTERS WITH N LINE SD LOT 16 THN W ALONG SD N LINE LOT 16 FOR
270FT M/L TO PT OF BEG EASE CO ADD PLAT 7 EXC 35135 4950
20.031.21.24.0060 HUGO LOT-001 BLOCK-009 HUGO ADD
20.031.21.24.0061 HUGO Lot-002 Block-009 ELY 40 FT OF LOT 2 009 HUGO ADD
20.031.21.24.0069 COUNTY AUDITOR'S PLAT #7 Lot-008 THAT PART OF LOT 8 OF COUNTY
AUDITOR PLAT NUMBER 7 WASHINGTON COUNTY-MINN ESOTA DESCRIBED AS
FOLLOWS:BEGINNING AT THE SOUTHWEST CORNER OF LOT 2 OF THE
RECORDED PLAT OF KENNETH N GRAN- GER ADDITION AS MONUMENTED
THENCE EASTERLY ALONG THE SOUTHERLY LINE OF SAID KENNETH N
GRANGER ADDITION TO AN ANGLE POINT IN THE WESTERLY LINE OF LOT 3 OF
SAID KENNETH N GRANGER ADDITION (SAID POINT BEING 30 FEET MORE OR
LESS EASTERLY OF THE SOUTH- EAST CORNER OF OAK STREET AS DEDICA-
TED IN SAID PLAT) THENCE SOUTHERLY ALONG THE WESTERLY LINE OF SAID
LOT 3 A DISTANCE OF 113 FEET THENCE NORTHWESTERLY TO A POINT ON
THE SOUTHWESTERLY EXTENSION OF THE WES- TERLY LINE OF SAID
KENNETH N GRANGER ADDITION DISTANT 52.40 FEET SOUTH- WESTERLY OF
THE SOUTHWEST CORNER OF LOT 2 OF SAID KENNETH N GRANGER ADD-
TION THENCE NORTHEASTERLY ALONG SAID SOUTHWESTERLY EXTENSION A
SPRINGSTED Page 25
Exhibit 11
DISTANCE OF 52.40 FEET TO THE SOUTHWEST COR- NER OF LOT 2 AND THE
POINT OF BEGIN- NING -SUBJECT TO EASEMENT COUNTY AUDITOR'S PLAT
NUMBER 7 HUGO CITY
20.031.21.31.0004 COUNTY AUDITOR'S PLAT#7 Lot-028 PART OF LOT 28 BEG AT THE SW COR OF
SAID LOT & RUNNING THENCE NORTH ALONG THE WEST LINE OF SAID LOT A
DISTANCE OF 50 FT TO A POINT THENCE EAST ON A LINE PARALLEL WITH THE
SOUTH LINE OF SAID LOT TO THE SHORE OF EGG LAKE SO CALLED THENCE
SLY ALONG THE SHORE OF EGG LAKE TO THE SOUTH LINE OF SAID LOT AND
THENCE WEST ALONG THE SOUTH LINE OF SAID LOT TO THE PLACE OF BEG&
BEING THE SLY 50 FT OF SAID LOT COUNTY AUD. PLAT 7
20.031.21.31.0008 COUNTY AUDITOR'S PLAT#7 Lot-030 PART OF LOT 30 BEG AT A POINT IN THE
WEST LINE OF SAID TRACT 14 FT SWLY FROM THE SW COR OF LOT 27
MEASURING ALONG THE EAST LINE OF PUBLIC HWY NO. 61 THENCE
CONTINUING SWLY ALONG THE EAST LINE OF SAID PUBLIC HWY A DISTANCE
OF 46 FT TO A POINT THENCE IN A SELY DIRECTION ON A LINE TO A POINT
THAT IS 74 FT SOUTH OF THE SE COR OF SAID LOT 27 A D ISTANCE OF 94 FT
MEASURED ALONG LAST DESCRIBED LINE FROM SAID PUB- LIC HWY THENCE
NORTH TO A POINT 14 FT SOUTH OF THE SOUTH LINE OF SAID LOT 27 THENCE
WEST ON A LINE PAR- ALLEL WITH THE SOUTH LINE OF SAID LOT 27 TO THE
PLACE OF BEG. COUNTY AUD. PLAT 7
20.031.21.31.0009 COUNTY AUDITOR'S PLAT#7 Lot-030 PT OF LOT 30 BEG AT PT IN ELY LINE OF
HUGO & WHITE BEAR RD SD PT BEING 120.7 FT SWLY MEAS ALONG ELY LINE
OF SD RD FROM ITS INTERSECTION WITH N LINE OF LOT 5 THENCE SWLY
ALONG ELY LINE OF SD RD 20.12 FT THENCESELY 169.16 FT TO A PT 140 FT E
& 154 FT S OF INTERSECTION OF N LINE OF LOT 5 WITH ELY LINE OF HUGO &
WHITE BEAR RD THENCE N 20 FT THENCE NWLY 165 FT TO BEG. COUNTY AUD
PLAT 7
20.031.21.32.0005 COUNTY AUDITOR'S PLAT##7 Lot-022 E 50FT OF E1/2 OF LOT 22 COUNTY AUD.
PLAT 7
20.031.21.32.0009 COUNTY AUDITOR'S PLAT#7 Lot-024.50A W 52.14 FT LOT 24 COUNTY AUD PLAT
7
20.031.21.32.0016 COUNTY AUDITOR'S PLAT#7 Lot-024 PT LOT 24 COM AT A PT ON NLY LINE OF
SD GOV LOT 5-231 FT W OF CENTER LINE OF N P RY THENCE IN A WLY DIR PAR
TO SD RR &PAR TO & DISTANCE ELY 4 FT FROM ELY LINE OF LAND DEEDED
TO'F M PEITTE BY DEED HEREINTOFORE DES TO THE INTERSECTION OF A
LINE DRAWN PAR TO & DIS 136 FT SLY FROM N SIDE GOV LOT 5 THENCE W
ALONG SD PAR LINE 67 FT THENCE NLY TO A PT WHICH IS DIS 33 FT S FROM
SD N LINE OF SD GOV LOT 5 & 20 FT W ON A LINE PAR TO SD N LINE OF SD
GOV LOT 5 FROM W LINE 0 F THAT CERTAIN TRACT OF LAND CONVEYED BY
WARRANTY DEED FROM F KIICHLITO ONE F M PIETTE DATED JYLY 15-1896 &
RECORDED IN OFFICE OF REG OF DEEDS ON JULY 20-1896 IN BOOK 45 PAGE
143 THENCE NLY TO SD N LINE OF SD GOV LOT 5 ALONG SD W LINE 0 F
PREMISE HEREIN PRODUCED TO SD N LINE OF SD GOV LOT 5 THENCE E
ALONG SD GOV LOT 5 TO PLACE OF BEG. COUNTY AUD PLAT 7
20.031.21.32.0017 COUNTY AUDITOR'S PLAT #7 Lot-024 .06A PT LOT 24 BEG AT A PT IN S LINE
PUBLIC RD SD PT BEING DES AS FOLLOWS N89DEG.30'E 1240.42 FT S
11DEG.24'W 33.72 FT OF NW COR OF LOT 5 S11DEG.24'W 105.28 FT N89DEG.
30'E 26.61 FT N11DEG.24'E 105.28 FT TO S LINE OF PUBLIC RD S89DEG.30' W
ALONG S LINE RD 26.61 FT TO BEG. COUNTY AUD PLAT 7
20.031.21.32.0019 COUNTY AUDITOR'S PLAT#7 LOT-025.11A LOT 25 COUNTY AUD PLAT 7
20.031.21.32.0021 Sect-20 Twp-031 Range-021 COUNTY AUDITOR'S PLAT#7 Lot-034 PT LOT 34 COM
AT INTERSEC OF E & W1/4 SECTION LINE OF SEC 20 TWP 31 N RANGE 21 W
SPRINGSTED Page 26
Exhibit 11
WITH WLY BOUNDARY LINE OF LAND OWNED BY N P RY CO SD BOUNDARY
LINE BEING 200 FT WLY MEASURED AT RT ANG FROM THE CEN LINE OF MAIN
TRACK OF SD RAILWAY CO AS SAME EXISTED AUGUST 22-1919 THEN SWLY
ALONG SD BOUNDARY LINE PAR WITH CEN LINE OF SD TRACK 473.85 FT
WHICH IS THE PT OF BEG OF THIS DES THEN PRODEED ALONG SAME
BOUNDARY LINE IN SAME DIRECT 200 FT TO A PT THEN NWLY AT RT ANG 100
FT TO A PT THEN NELY AT RT ANG & PAR WITH SD RAILWAY CO. BOUNDARY
LINE 200 FT TO A PT THEN SELY AT RT ANG TO PT OF BEG. COUNTY AUD PLAT
7
20.031.21.32.0022 Sect-20 Twp-031 Range-021 COUNTY AUDITOR'S PLAT#7 Lot-034 1.004A PT LOT
34 CO AUD. PLAT 7 COM AT INTERSEC E/W1/4 LINE SEC 20 WITH WLY
BOUND.LINE OF LAND OWNED BY NP RR SD BOUND.BEING 200 FT WLY MEAS.
AT RT ANG FROM CEN LINE MAIN TRACK SD RR AS SAME EXISTE 8/22/19.THEN
SWLY ALONG BOUND LINE PAR WITH CENT LINE SD TRACK 473.85 FT TO PT
BEG. THEN NWLY AT RT ANG TO SD WLY BOUND LINE SD RR PROP ITS 100 FT
THEN SWLY AT RT ANG &PAR TO WLY LINE SD RR PROP QRST 200 FT THN W &
PAR TO N LINE S LOT 34 CO.PLAT 7 DIST 180 FT THEN N AT RT ANG DIST.219.45
FT M/L TO N LINE LOT 34 THEN A LONG N LINE LOT 34 DIST 150.5 FT M/L TO
ANG PT IN SD N LINE LOT 34 THEN SELY ALONG NLY LINE SD LOT 34 174.8 FT
M/L TO PT BEG. COUNTY AUD PLAT 7
20.031,21.32.0023 COUNTY AUDITOR'S PLAT#7 Lot-026 THAT PART OF LOT 26 COUNTY AUDITOR'S
PLAT NUMBER 7 BEING THAT PORTION OF THE WESTERLY 175 FEET OF
BURLINGTON NORTHERN RAILROAD COMPANY'S (FORMER- LY NORTHERN
PACIFIC RAILWAY COMPANY) 250 FEET WIDE STATION GROUND PROPER- TY
AT HUGO MINNESOTA.BEING 50 FEET WIDE ON THE EASTERLY SIDE AND 200
FEET. -WIDE ON THE 'WESTERLY SIDE OF SAID RAILROAD COMPANY'S
HEREINAFTER DESCRIBED MAIN TRACK,CENTERLINE AS NOW LOCATED AND
CONSTRUCTED UPON OVER AND ACROSS GOVERNMENT LOT 5 IN SECTION 20
TOWNSHIP 31 NORTH RANGE 21 WEST OF THE 4TH PRINCIPAL MERID- IAN
WASHINGTON COUNTY MINNESOTA LY ING BETWEEN TWO LINES DRAWN
PARALLEL WITH AND DISTANT RESPECTIVELY 25 FEET AND 200 FEET
NORTHWESTERLY MEA- SURED AT RIGHT ANGLES TO SAID HERE- INAFTER
DESCRIBED MAIN TRACK CENTER-LINE AND BOUNDED ON THE NORTH BY THE
NORTH LINE OF SAID GOVERNMENT LOT 5 AND BOUNDED ON THE SOUTH BY A
LINE DRAWN AT RIGHT ANGLES TO SAID HERE- INAFTER DESCRIBED MAIN
TRACK CENTER- LINE FROM A POINT DISTANT 700 FEET SOUTHWESTERLY
MEASURED ALONG SAID HEREINAFTER DESCRIBED MAIN TRACK CENTERLINE
FROM THE SAID NORTH LINE OF GOVERNMENT LOT 5 MAIN TRACK
CENTERLINE DESCRIPTION: BEGINNING AT A POINT ON THE SOUTH LINE OF
SAID SECTION 20 DISTANT 957. 5 FEET EAST OF THE SOUTHWEST CORNER
THEREOF THENCE NORTHEASTERLY ALONG A STRAIGHT LINE TO A POINT ON
THE SOUTH LINE OF THE SE1/4 OF SECTION 8 TOWNSHIP 31 NORTH RANGE 21
WEST -4TH PRINCIPAL MERIDIAN DISTANT 463 FEET OF THE SOUTHWEST
CORNER OF SAID SE1/4 AND THERE TERMINATING COUNTY AUDITOR'S PLAT
NUMBER 7 HUGO CITY
20.031.21.32.0024 COUNTY AUDITOR'S PLAT#7 Lot-026 THAT PART OF LOT 26-COUNTY AUDITOR'S
PLAT NUMBER 7 -BEING THAT PORTION OF THE WESTERLY 175 FEET OF
BURLINGTON NORTHERN RAILROAD COMPANY'S(FORMERLY NORTHERN
PACIFIC RAILWAY COMPANY) 250 FOOT WIDE STATION GROUND PROPER- TY
AT HUGO MINNESOTA BEING 50 FEET WIDE ON THE EASTERLY SIDE AND 200
FEET WIDE ON THE WESTERLY SIDE OF SAID RAILROAD COMPANY'S
HEREINAFTER DESCRIBED MAIN TRACK CENTERLINE AS NOW LOCATED AND
SPRINGSTED Page 27
Exhibit 11
CONSTRUCTED UPON OVER AND ACROSS GOVERNMENT LOT 5 IN SECTION 20
TOWNSHIP 31 NORTH RANGE 21 WEST OF THE 4TH PRINCIPAL MERIDAN
WASHINGTON COUNTY MINNESOTA LYING BETWEEN TWO LINES DRAWN
PARALLEL WITH AND DISTANT RESPECTIVELY 25 FEET AND 200 FEET
NORTHWESTERLY MEASURED AT RIGHT ANGLES TO SAID HERINAFTER
DESCRIBED MAIN TRACK CENTERLINE AND BOUNDED ON THE SOUTH BY THE
SOUTH LINE OF SAID GOVERNEMEN LOT 5 AND BOUNDED ON THE NORTH BY A
LINE DRAWN AT RIGHT ANGLES TO SAID HEREINAFTER DESCRIBED MAIN
TRACK CENTERLINE FROM A POINT DISTANT 700 FEET SOUTHWESTERLY OF
AS MEASURED A- LONG SAID HEREINAFTER DESCRIBED MAIN TRACK
CENTERLINE FROM THE SAID NORTH LINE OF GOVERNMENT LOT 5 MAIN
TRACT CENTERLINE DESCRIPTION:BE GINNING AT A POINT ON THE SOUTH
LINE OF SAID SECTION 20 DISTANT 957.5FEET EAST OF THE SOUTHWEST
CORNER THEREOF THENCE NORTHEASTERLY ALONG A STRAIGH LINE TO A
POINT ON THE SOUTH LINE OF THE SEI/4 OF SECTION 8 TOWNSHIP 31 NORTH
RANGE 21 WEST-4TH PRINCIPAL MERIDIAN DISTANT 463 FEET EAST OF THE
SOUTHWEST CORNER OF SAID 8E1/4 AND THERE TERMINATING COUNTY
AUDITOR'S PLAT NUMBER 7 HUGO CITY
20.031.21.33.0005 COUNTY AUDITOR'S PLAT #7 Lot-035 PART OF:LOT 35 COMM AT SW CORN OF
SW1/4 SEC20T31 R21 THN E ALONG SO LINE FOR 587.20 FT THN N AT RT ANG
FOR 163FT TO PT OF BEG THN CONTIN N 37FT THN E AT RT ANGLES 284.40FT
THN S AT RT ANGLE 37FT TO PT THAT IS 5OFT FROM WLY R/W OF NP RR
R/W(MEAS AT RT ANGLES TO SD RT OF: WAY LINE)THN W AT RT ANGLES
284.40FT TO PT OF BEG SD PARCEL SITU IN LOT 35 CO AUD PLAT#7
20.031.21.33.0006 COUNTY AUDITOR'SPLAT #7 Lot-035 PT OF LOT 35 203121 BEING THAT PT
DESC AS FOLLOWS PT SW1/4-SW1/4 DESC AS FOLLOWS BEG AT PT SD PT
BEING ON S LINE OF SEC20 AFOREMENTIONED & 587.20FT E OF SW COR OF
SD SEC20 THN N AT RIGHT ANG FOR 11OFT THN WLY & PAR TO AFORE
MENTIONED S LINE OF SEC20 DIST 75FT THN S AT RIGHT ANG 11OFT TO S LINE
OF SD SEC20 THN ELY ON SD S LINE OF SEC20 TO PT OF BEG SUBJ TO
EXISTING STREET R/W COUNTY AUDITORS PLAT#7
20.031.21.33.0011 TRAEGER'S ADD PLAT 2 OUTLOT A SUBJ TO PERPETUAL PONDING&FLOWAGE
EASEMENT
20.031.21.34.0076 TRAEGER'S ADD PLAT 2 LOT-007 BLOCK-001 TRAEGERS ADD PLAT 2
29.031.21`.21.0016 Sect-29 Twp-031 Range-021 PT N1/2-NW1/4 S29T31R21 DESC AS FOLL COM AT
INTER OF N LN SD SEC WITH ELY LN HWY 61 AS NOW WID TO 111 FT SD PT
BEING 1103.76FT E FROM SW COR SD SEC THN E ALG N LN SD SEC 285FT THN
S AT RT ANG TO SD N LN 278 .89FT THN W & PARL WITH SD N LN 58.14FT TO
POB THN CONT ON SD PARL LN 285.57FT TO INTER WITH ELY LN SD HWY THN
S11DEG 53'19"W ALG SD ELY LN 193.61FT TO PT ON SD ELY LN 866AFT NLY AS
MEAS ALG SD ELY FROM ITS INTER WITH S LN SD N1/2-NW1/4 THN ELY&PARL
WITH SD S LN 325.23FT THN NLY AT RT ANG TO LAST CRS 189.84FT TO POB
29.031.21.21.0099 PINEVIEW MEADOWS 2ND LOT-OOA OUTLOT A
29.031.21.22.0005 Sect-29 Twp-031 Range-021 PT N1/2-NW1/4 29 3121 BEING PT OF S 20 ACR LYING
E OF HWY 61 DESC AS FOLL: BEG AT INTER OF ELY RNV LN HWY 61 A LN 248FT
S OF N LN SD S 20 ACR THN ELY &PARL TO N LN SD 20 ACR 384.08FT THN S AT
RT ANG 140FT THN WLY TO PT ON SD ELY R/W LN BEING 108.81FT SWLY OF
POB THN NLY ALG SD R/W 108.81 FT TO POB
29.031.21.22.0006 Sect-29 Twp-031 Range-021 PT NW1/4-NW1/4 293121 COM AT INTER S LN SD
TRACT & E R/W HWY 61 THN N11DEG51'E ALG SD R/W 279.lFT TO POB THN
CONT N11DEG51'E ALG SD R/W 222.3FT THN E PARL TO S LN SD NWIA 40OFT
THN S AT RT ANG TO LAST DESC LN 218FT THN W PARL TO S LN SD NW1/4
SPRINGSTED Page 28
Exhibit 11
445.65FT TO POB EXC THAT PT SD NW1/4 DESC AS FOLL: COM AT INTER OF S
LN SD TRACT & E R/W HWY 61 THN NLY ALG SD R/W 399.23FT TO POB THN
CONT NLY ALG SD R/W 102.17FT THN E PARL TO S LN SD NW114 136.56FT THN
ELY ON STRT LN & ITS EXT TO PT 173.36FT E AS MEAS ALG SD PARL LN FROM
E R/W LN HWY 61 &5.45FT S FROM SD PARL LN 21.68FT THN S ON LN DRAWN
AT RT ANG TO S LN OF SD NW1/4 96.74FT THN W PARL TO SD S LN 178.93FT TO
POB
20.031.21.32.0003 COUNTY AUDITOR'S PLAT #7 Lot-021 PART OF LOT 21 COM AT A PT ON THE
NORTH LINE OF SD LOT 21-75 FT WLY OF THE NE COR OF SD LOT 21 THENCE
SLY ALONG THE WEST LINE OF CERTAIN PROPERTY NOW OWNED BY
CLARENCE VAIL FOR A DISTANCE OF 324 FT TO A PT THENCE WLY ALONG A
LIN E PARELLEL WITH THE NORTH LINE OF SD LOT 21 FOR A DISTANCE OF 50
FT TO A POINT THENCE NLY FOR A DISTANCE OF 324 FT MORE OR LESS TO A
PT ON TH E NORTH LINE OF SD LOT 21 125 FT WLY FROM THE NE COR OF LOT
THENCE ELY ALONG THE NORTH LINE OF SD LOT ADISTANCE OF 50 FT TO
THE PLACE OF BEG. COUNTY AUD,PLAT
20.031.21.32.0001 COUNTY AUDITOR'S PLAT #7 Lot-021 PART OF LOT 21 BEING THE E 75FT OF
THE N 419FT THEREOF COUNTY AUDITOR'S PLAT#7
20.031.21.32.0006 COUNTY AUDITOR'S PLAT#7 LOT-022 W1/2 LT 22 CO AUD PLAT#7
20.031.21.32.0004 COUNTY AUDITOR'S PLAT#7 Lot-022 1A EAST 112 OF LOT 22 EXCEPT THE EAST
50 FT COUNTY AUD PLAT
20.031.21.32.0007 COUNTY AUDITOR'S PLAT #7 Lot-023 .50A WEST 112 OF LOT 23 COUNTY AUD
PLAT T
20.031.21.32.0008 COUNTY AUDITOR'S PLAT#7 Lot-023 .50A EAST 1/2 OF LOT 23 COUNTY AUD
PLAT 7
20.031.21.33.0002 COUNTY AUDITOR'S PLAT #7 Lot-035 1A PT LOT 35 ENCOMPASSED BY LINE
DESC AS FOLLOWS COM AT SW COR OF SW1/4 OF SEC20 T31N R21W THN E
ALONG S LINE OF SD SW114 FOR 587.20FT TO PT OF BEG OF LINE TO BE DESC
THN N AT RIGHT ANG 163FT THN E AT RIGHT ANG FOR 284.40FT TO PT THAT IS
50FT FROM WLY R/W OF NORTHERN PACIFIC RR R/W MEAS AT RIGHT ANG TO
SID RNV LINE THN SWLY PAR TO SD R/W FOR 166.59FT TO S LINE OF SD SW1/4
THN W ALONG S LINE OF SD SW1/4 FOR 25OFT TO PT OF BEG SUBJ TO PUBLIC
RD OVER S 33FT THEREOF CO AUDITORS PLAT#7
20.031.21.32.0010 COUNTY AUDITOR'S PLAT#7 Lot-024 PT LOT 24 BEING THE E 52.14 FT OF THE W
104.28 FT
20.031.21.32.0012 COUNTY AUDITOR'S PLAT #7 Lot-024 .50A PT OF LOT 24 BEG IN THE N LINE
104.28 FT E FROM THE NW COR THENCE E ALONG N LINE 56 1/3 FT THENCE S
387 FT PAR WITH W LINE THENCE W 56-1/3 FT THENCE N 387 FT TO BEG.
COUNTY AUD PLAT 7
20.031.21.32.0014 COUNTY AUDITOR'S PLAT#7 Lot-024 PT LOT 24 BEING E 50 FT OF W 210.6 FT
20.031.21.32.0013 COUNTY AUDITOR'S PLAT#7 Lot-024 PT OF LOT 24 BEING W 50 FT OF E 100 FT
OF W 310.61 FT. CO AUDITORS PLAT 7
20.031.21.32.0015 COUNTY AUDITOR'S PLAT#7 Lot-024 .50A PT LOT 24 BEING E 50 FT OF W 310.61
FT BEG AT A PT IN THE N LINE OF SD LOT 5 DISTANT 995.85 FT E OF THE NW
COR OF SD LOT 5 THENCE S PAR WITH THE W LINE OF SD LOT 5 A DISTANCE
OF 419.51 FT THENCE SELY MAKING AN ANGLE TO THE LEFT OF
76DEG.30'FROM SD LAST DESCRIBED LINE A DISTANCE OF 51.42 FT TO A LINE
DRAWN PAR WITH & 50 FT E OF THE FIRST MEN COURSE OF THIS
DESCRIPTION THENCE N PAR WITH THE W LINE OF SD LOT 431.23 FT TO A PT
IN THE N LINE THEREOF 50 FT E OF THE PT OF BEG THENCE W 50 FT TO THE
PT OF BEG COUNTY AUD. PLAT 7
20.031.21.32.0018 COUNTY AUDITOR'S PLAT#7 Lot-024 .50A PT LOT 24 BEG AT A PT IN N LINE OF
SPRINGSTED Page 29
Exhibit /l
GOV LOT 5 DISTANT 1045.85 FT E OF NW COR OF SD LOT 5 THENCE S PAR
WITH W LINE OF SD LOT 5 A DISTANCE OF 431.23 FT THENCE SELY MAKING AN
ANGLE TO THE LEFT 75DEG.30 FROM SD LAST DESCRIBED LINE A DIS OF 51.42
FT TO A LINE DRAWN PAR WITH &50 FT E OF FIRST MENTIONED COURSE OF
THIS DES THENCE N PAR WITH W LINE OF SD LO T 443.67 FT TO A PT IN N LINE
THEREOF 50 FT E OF PT OF BEG THENCE W 50 FT TO PT OF BEG. COUNTY
AUD. PLAT 7
20.031.21.32.0011 COUNTY AUDITOR'S PLAT #7 Lot-024 1.30A LOT 24 EX THE W 360.61 FT EX TO
HECTOR PEPIN COUNTY AUD PLAT 7
20.031.21.24.0042 COUNTY AUDITOR'S PLAT #7 Lot-010 .37A S 50 FT OF LOT 10 EXC 35135-4550
CO. AUDITORS PLAT NO 7
20.031.21.24.0021 COUNTY AUDITOR'S PLAT #7 Lot-003 PT N 157FTOF LOTS 3 & 4 LYING S OF N
80FT EXC THAT PT DESC ON QUIT CLAIM DEED`REC IN 134 DEEDS 466 SD EXC
DESC AS FOLL COMM AT NW COR OF LOT 3 CO AUDITORS PLAT #7 THN RUN
SLY DIR ALONG WLY LINE OF SD LOT 3 DIST OF 157FT TO PT THN RUN ELY DIR
&PAR WITH NLY LINE OF LOTS 3&4 DIST OF 120FT TO PT OF BEG OF LAND TO
BE DESC THN RUN NLY DIR &PAR WITH WLY LINE OF SD LOT 3 DIST OF 30FT
TO PT THN RUN IN ELY DIR& PAR WITH NLY LINE OF SD LOTS 3& 4 TO PT ON
ELY LINE OF SD LOT 4 THN RUN SLY DIR ALONG ELY LINE OF SD LOT 4 TO PT
WHICH IS THE SE COR OF SD LOT 4& NE COR OF LOT 1 BLK 10 OF HUGO THN
RUN IN WLY DIR & PAR WITH NLY LINE OF SD LOTS 3 & 4 TO PT OF BEG OF
LAND HEREIN DESC CO AUD PLAT#1
20.031.21.24.0040 COUNTY AUDITOR'S PLAT NO.7 Lot-009 PT OF LTS 9& 10 CO AUDITOR'S PLAT 7
DESC AS FOLL COM AT NE COR OF GOV LOT 4 THN S89DEG05' 26"W BRG
BASED ON WASH CO.PROJ COORDINATE SYSTE NORTH ZONE, ALG N LN SD
GOV LT 4 DIST 770. 34FT THN S11DEG01'52"W DIST 63 6.61FT TO A 1/21NCH
IRON PIPE MON MARKED RLS6617 THN S11DEG01'52"W DIST 100.18FT TO A 1/21
NCH IRON PIPE MON MARKED ANEZ RLS13775 THN N89DEG30'25"E DIS T
221.34FT TO A 1/21NCH IRON PIPE MON MARKED ANEZ RLS13775 & POB THN
889DEG30'25"W'DIST 2 21.341FT TO SD MON THN N11DEG01 '52"E DIST 100.18FT
TO SD MON THN N89DEG30'25"E DIST 119.69F T TO A 1/21NCH IRON PIPE MON M
ARKED ANEZ RLS13775 THN CONT N 89DEG30'25"E TO SHRLN EGG LK T HN
SWLY AEG SHRLN SD LK TO INT ER LN BRG N89DEG30'25"E FROM P OB THN
S89DEG30'25"W TO POB
20.031.21.24.0035 COUNTY AUDITOR'S PLAT #7 Lot-008 .17A PT OF LOT 8 BEG AT SW COR
THENCE E 150 FT THENCE NLY PAR WITH RD 50 FT THENCE W 150 FT THENCE
SLY 50 FT TO BEG. COUNTY AUD. PLAT 7
20.031.21.24.0439 COUNTY AUDITOR'S PLAT#7 Lot-008 THAT PART OF LOTS 8 AND 9 OF COUNTY
AUDITORS PLAT NUMBER 7 WASHINGTON COUNTY MINNESOTA DESCRIBED AS
FOLLOW COMMENCING AT THE NORTHEAST CORNER OF GOVERNMENT LOT 4-
SECTION 20 TOWN- SHIP 31 NORTH RANGE 21 WEST-CITY OF HUGO-
WASHINGTON COUNTY MINNESOTA THENCE SOUTH 89 DEGREES 05 MINUTES
26 SECONDS WEST-BASED ON THE WASH INGTON COUNTY COORDINATE
SYSTEM NOR-TH ZONE ALONG THE NORTH LINE OF SAID GOVERNMENT LOT 4
A DISTANCE OF 770. 34 FEET THENCE SOUTH 11 DEGREES 01 MINUTE 52
SECONDS WEST A DISTANCE OF 636.61 FEET TO A 1/2 INCH IRON PIPE
MONUMENT MARKED WITH A PLASTIC CAP INSCRIBED RLS 6617 THENCE
NORTH 89 DEGREES 30 MINUTES 25 SECONDS EAST A DISTANCE OF 150 FEET
TO A 1/2 INCH IRON PIPE MONUMENT MARKED WITH A PLASTIC CAP
INSCRIBED RLS 6617 AND THE POINT OF BEGINNING THENCE NORTH 10
DEGREES 51 MINUTES 11 SECONDS EAST 50 FEET THENCE SOUTH 89
DEGREES 30 MINUTES 25 SECONDS WEST 30 FEET MORE OR LESS TO THE
SPRINGSTED Page 30
Exhibit 11
EASTERLY LINE OR THE SOUTHERLY EXTENSTION OF THE EASTERLY LINE OF
THE VAN BUSKIRK PARCEL AS DESCRIBED ON A WARRANTY DEED RECORDED
AS DOCUMENT NUMBER 622656 THENCE NORTHEASTERLY ALONG SAID
EASTERLY LINE AND/OR ITS EX- TENSION TO THE NORTHEAST CORNER OF
SAID VAN BUSKIRK PARCEL THENCE NORTH WESTERLY ALONG THE
NORTHERLY LINE OF SAID VAN BUSKIRK PARCEL TO THE NORTH WESTERLY
CORNER OF SAID PARCEL THENC NORTHEASTERLY ALONG THE WESTERLY
LIN OF LOT 8 OF SAID COUNTY AUDITORS PLAT NUMBER 7 TO A POINT
DISTANT 271 .54 FEET SOUTHWESTERLY OF THE NORTH- WEST CORNER OF
LOT 7 OF SAID COUNTY AUDITORS PLAT NUMBER 7 THENCE SOUTH-
EASTERLY TO A POINT ON THE SOUTHERLY EXTENSION OF THE WESTERLY
LINE OF THE RECORDED PLAT OF KENNETHN GRAN- GER ADDITION AS
MONUMENTED DISTANT 303.92 FEET SOUTHWESTERLY OF THE NORTHWEST
CORNER OF SAID PLAT THENCE NORTHEASTERLY ALONG SAID SOUTHWEST-
ERLY EXTENSION TO A POINT DISTANT 52 .40 FEET SOUTHWESTERLY OF
SOUTHWEST CORNER OF LOT 2 OF SAID KENNETH'N GRANGER ADDITION
THENCE SOUTHEASTER-LY TO A POINT ON THE WESTERLY LINE OF LOT 3 OF
SAID KENNETH N GRANGER ADDITION DISTANT 113 FEET SOUTHERLY OF AN
ANGLE POINT IN THE WESTERLY LINE OF SAID LOT 3 (SAID ANGLE POINT
BEING 30 FEET MORE OR LESS`EASTERLY OF THE SOUTHEAST CORNER OF
OAK STRE- ET AS DEDICATED IN SAID PLAT) THENCE SOUTHERLY ALONG THE
WESTERLY LINE OF SAID LOT 3 TO THE SHORELINE OF EGG LAKE THENCE
SOUTHWESTERLY ALONG G SAID SHORELINE TO THE POINT OF INTERSECT- ION
WITH A LINE WHICH BEARS NORTH 89 DEGREES 30 MINUTES 25 SECONDS
EAST FROM THE POINT OF BEGINNING THENCE SOUTH 89 DEGREES 30
MINUTES 25 SEC-ONDS WEST ALONG SAID LINE TO THE POINT OF BEGINNING
-SUBJECT TO A 64 FOOT WIDE PERMANENT EASEMENT FOR EX-CLUSIVE USE
AND POSSESSION FROM THE NORTHERLY LINE OF THE ABOVE DESCRIBE
PARCEL TO THE SHORELINE OF EGG LAKE -THE EAST LINE OF SAID
EASEMENT IS THE WEST LINE OF SAID LOT 3 COUNTY AUDITOR'S PLAT
NUMBER 3 CITY OF HUGO
20.031.21.24.0034 COUNTY AUDITOR'S PLAT#7 Lot-008 PART OF LOT 8 CO AUDITOR PLAT#7 BEG
AT PT ON WLY LINE OF SD CO AUDITOR'S PLAT#7 (ALSO ELY LINE OF FOREST
BLVD N) DIST 210.54FT SWLY OF NW COR OF LOT 7 OF SD CO AUDITOR'S PLAT
#7 THN SWLY ALONG SD ELY LINE DIST OF 61 FT THN SELY DIST OF 146.75FT
TO PT ON SWLY EXT OF WLY LINE OF REC PLAT OF KENNETH N GRANGER ADD
WASH CO MN DIST 303.92FT SWLY OF NW COR OF SD PLAT THN NELY ALONG
SD WLY LINE & ITS SWLY EXT DIST OF 63.46FT TO PT DIST 240.46FT SWLY OF
NW COR OF SD PLAT THN NWLY DIST OF 146.23FT TO PT OF BEG
20.031.21.24.0033 COUNTY AUDITOR'S PLAT#7 Lot-008 PART OF LOT 8 COUNTY AUDITOR'S PLAT
#7 BEG AT PT ON WLY LINE OF SD CO AUDITOR'S PLAT#7 (ALSO ELY LINE OF
FOREST BLVD N) DIST 140.54FT SWLY OF NW COR OF LOT 7 OF SD CO
AUDITOR'S PLAT #7 THN SWLY ALONG SD ELY LINE DIST OF 70FT THN SELY
DIST OF 146.23FT TO PT ON SWLY EXT OF WLY LINE OF REC PLAT OF
KENNETH N GRANGER ADD WASH CO MN DIST 240.46FT SWLY OF NW COR OF
SD PLAT THN NELY ALONG SD WLY LINE &ITS SWLY EXT DIST OF 71.5FT TO PT
DIST 168.96FT SWLY OF NW COR OF SD PLAT THN NWLY DIST OF 145.58FT TO
PT OF BEG
20.031.21.24.0006 COUNTY AUDITOR'S PLAT#7 Lot-002 PT LT 2 CTY AUD PLAT#7 COM AT NW COR
SD LT 2 THN ON ASSM BRG SODEG28'14"W ALG W LN SD LT 2 470FT TO PT
HEREINAFTER REF AS "PT A" THN NODEG28'14"E ALG W LN SD LT 2 60FT THN
N89DEG54'43"E AND PARL TO N LN SD LT 2 15OFT TO PT HEREINAFTER REF AS
SPRINGSTED Page 31
Exhibit 11
"PT B" THN CONT N89DEG54-43"E 147.6FT M/L TO WLY R/W LN N P RR THN
S11DEG47'28"W ALG SD WLY R/W LN 61AFT TO POB TRACT TO BE DESC THN
S89DEG54'43"W AND PARL TO N LN SD LT 2 TO AN INTER W/ LN WHICH BRS
SODEG 28'14"W FROM "PT B" THN NODEG 28'14"E .08FT TO INTER W/ LN WHICH
IS PARL TO N LN SD LT 2 AND WHICH BRS N 89DEG54'43"E FROM "PT A" THN
S89DEG54'43"W 15OFT TO "PT A" THN SODEG28' 14"W ALG W LN SD LT 2 149.72
FT TO SW COR SD LT 2 THN N89 DEG50'16"E ALG S LN SD LT 2 250.41FT TO SE
COR SD LT 2 THN N11DEG47'28"E ALG WLY R/W LN SD N P RR 152.66FT TO POB
20.031.21.24.0013 COUNTY AUDITOR'S PLAT #7 Lot-002 PART OF LOT 2 BEG AT A POINT ON THE
WEST LINE OF SD LOT 2 SAID PT BEING 410 FT SOUTH OF NW COR THENCE
N89DEG.33EAST & PARALLEL TO THE NORTH LINE OF SD LOT 2 FOR 150 FT
THENCE SOUTH FOR 60 FT THENCE SO. 89DEG.33WEST FOR 150 FT TO THE
WEST LINE FOR 60 FT TO POINT OF BEG.COUNTY AUD. PLAT
20.031.21.24.0016 COUNTY AUDITOR'S PLAT#7 Lot-002 PT LOT 2 COM AT NW COR LOT 2 THEN S
ALONG W LINE LOT 2 FOR 390 FT TO PT BEG THIS DESC. THEN N89DEG.33' E
150 FT THEN S 20 FT THEN S89DEG.33 W 150 FT TO SD WLY LINE LOT 2 THEN N
ALONG SD WLY LINE 20 FT TO PTOF BEG ALSO COM AT NW CORN LOT 2 THEN
S A- LONG W LINE LOT 2 FOR 390 FT THEN N 89DEG.33'E'15D FT TO PT OF
BEG.THIS DES THEN CONTINU N89DEG.33E 147.6 FT M/L TO WLY R/W LINE N P
RR CO THEN SLY ALONG WLY R/W LINE SD N.P. RR CO FOR 81.8 FT THEN
S89DEG.33W 131.6 FT M/L THEN N 80 FT TO PT BEG. COUNTY AUD PLAT 7
20.031.21.24.0014 COUNTY AUDITORS PLAT#7 Lot-002 PT LOT 2 BEG AT PT ON W LINE OF SD LOT
2 SD PT BEING 315 FTS OF NW COR THEREOF THEN CONTINU S ALONG W
LINE DIST OF 75 FT TO PT THEN N 89DEG.33E & PAR TO N LINE OF SD LOT 2
DIST OF 293.5 FT MIL TO WLY EDGE OF N P RR R/W THEN NLY ALONG SD R/W
TO PT 309.6 FT M/L E TO PT OF BEG HEREIN ON LINE PAR WITH N LINE F SD
LOT 2 THEN S89DEG.33'W &PAR TO N LINE OF SD LOT 2 DIST OF 309.6 FT M/L
TO PT OF BEG.COUNTY AUI?PLAT 7
20.031.21.24.0032 COUNTY AUDITOR'S PLAT#7 Lot-007 PART OF LOT 7 & 8 COUNTY AUDITOR'S
PLAT#7 BEG AT PT ON WLY LINE OF SD CO AUDITOR'S PLAT#7 (ALSO ELY LINE
OF FOREST BLVD'N)DIST 70.63FT SWLY OF NW COR OF SD LOT 7 THN SWLY
ALONG SID ELY LINE DIST OF 69.91FT THN SELY DIST OF 145.58FT TO PT ON
WLY LINE OF REC PLAT OF KENNETH N GRANGER ADD WASH CO MN DIST
1`68.96FT SWLY OF NW COR OF SD PLAT THN NELY ALONG SD WLY LINE OF SD
PLAT DIST OF 75.96FT TO PT DIST 93FT SWLY OF NW COR OF SD PLAT THN
NWLY DIST OF 144.93FT TO PT OF BEG
20.031.21.24.0054 KENNETH N GRANGER ADD LOT-001 S 13FT LOT 1 ALL LOT 2
20.031.21.24.0031 COUNTY AUDITOR'S PLAT#7 Lot-007 PART OF LOT 7 COUNTY AUDITOR'S PLAT
7 BEG AT NW COR OF LOT 7 THN SWLY ALONG WLY LINE OF SD LOT 7 (ALSO
THE ELY LINE OF FOREST BLVD N) DIST 70.63FT THN SELY DIST OF 144.93FT
TO PT ON WILY LINE OF REC PLAT OF KENNETH N GRANGER ADD WASH CO MN
DIST 93FT SWLY OF NW COR OF SD PLAT THN NELY ALONG SD WLY LINE OF
SD PLAT DIST OF 93FT TO NW COR OF SD PLAT THN ELY ALONG N LINE OF LOT
7 CO AUDITOR'S PLAT#7 TO PT OF BEG
20.031.21.24.0024 COUNTY AUDITOR'S PLAT#7 Lot-005 EXC N 150 FT COUNTY AUD. PLAT NO.7
20.031.21.24.0055 KENNETH N GRANGER ADD LOT-001 EXC S 13FT THEREOF
20.031.21.24.0010 COUNTY AUDITOR'S PLAT#7 Lot-002 PART OF LOT 2 BEG AT PT ON W LINE OF
SD LOT 2 DIST OF 13OFT S OF NW COR OF SD LOT 2 THN N89DEG33E & PAR
WITH N LINE OF SD LOT 2 DIST OF 15OFT THN S &PAR WITH W LINE OF SD LOT
2 DIST OF 11OFT THN S89DEG33W & PAR WITH N LINE OF SD LOT 2 DIST OF
15OFT TO W LINE OF SD LOT 2 THN N ALONG W LINE OF SD LOT 2 DIST OF
1 10F TO PT OF BEG COUNTY AUDITOR'S PLAT#7
SPRINGSTED Page 32
Exhibit 11
20.031.21.24.0068 COUNTY AUDITOR'S PLAT#7 Lot-007 THAT CERTAIN PART OF LOT 7 IN COUNTY
AUDITOR'S PLAT NUMBER 7 IN THE VILL-AGE OF HUGO AND BEING A PART OF
GOV- ERNMENT LOT 4 IN SECTION 20 TOWNSHIP 31 RANGE 21 DESCRIBED AS
FOLLOWS:BE- GINNING AT THE NORTHEAST CORNER OF SAID LOT 7 THENCE
WEST ALONG THE NORTH LINE THEREOF FOR 129.21 FEET TO THE POINT OF
BEGINNING OF THE TRACT HEREBY DESCRIBED THENCE CON- TINUING WEST
ON SAME COURSE FOR 79. 21 FEET THENCE SOUTH PARALLEL TO THE EAST
LINE OF LOT 7 FOR 209 FEET THEN EAST PARALLEL TO DESCRIBED FIRST
COURSE FOR 79.21 FEET THENCE NORTH PARALLEL TO DESCRIBED SECOND
COURSE FOR 209 FEET TO THE POINT OF BEGINN- ING-ACCORDING TO THE
RECORDED PLAT THEREOF SUBJECT TO ONEKA ROAD ALONG THE FRONT 33
FEET THEREOF COUNTY AUDITOR'S PLAT NUMBER 7 HUGO CITY
20.031.21.24.0007 COUNTY AUDITOR'S PLAT#7 Lot-002 .17A PART OF LOT 2 BEG AT A PT ON THE
WEST LINE OF SD LOT 2 - 80 FT SOUTH OF THE NW CORNER THEREOF
THENCE NORTH 89DEG.33'E 150 FT THENCE SOUTH 50 FT THENCE SOUTH
89DEG.33'WEST 150 FT TO THE W LINE OF LOT 2 THENCE NORTH ALONG SD
WEST LINE 50 FT TO PT OF BEG. EXC E 10 FT. COUNTY AUD.PLAT 7
20.031.21.21.0015 Sect-20 Twp-031 Range-021 PT OF NE1/4 OF NW1/4 203121 BEG A INTER-
SECTION OF ELY R/W LINE OF STATE TRUMK HWY 61 & NLY LINE OF ROAD
RUNNING EAST &WEST ALONG SOUTH LINE OF SD TRACT&RUN THENCE NLY
208 FT THENCE ELY ON A LINE PAR- ALLEL TO SOUTH LINE OF SD TRACT 208
FT THENCE SLY ON A LINE PAR-ALLEL TO & 208 FT EAST OF SD ELY LINE OF
SD HWY 61-208 FT THENCE WLY 208 FT TO PT OF BEG CONTAIN- ING ONE
ACRE MORE OR LESS EXCN 20 FT & EXC TO HWY &ALSO EXC THE S 50FT OF
THE N 70FT THEREOF HUGO
20.031.21.21.0016 Sect-20 Twp-031 Range-021 THAT PT NE1l4-NW1/4 S20T31 R21 DESC AS:COM@NE
COR SDI/4 THN ON AZ FROM N179DEG4338" ORIEN TO WASH CO COORD
1322.12FT TO SE COR SDI/4-1/4 THN ON AZ 269 DEG05'26" ALG S LN SD1/4-1/4
770.38FT TO ELY LN US HWY#61 THN ON AZ 11DEG02'10" ALG SD ELY LN DIST
33.73 TO N LN 147 TH ST N THN CONTIN ON AZ 11 DEG 02'10"ALG SD ELY LN US
HWY 61 208FT TO POB LAND TO BE DESC: THN ON AZ 191DEG02'10" ALG SD
ELY LN 71.55FT TO MOST SLY LN LAND DESC IN DEED REC IN BK310 DEEDS-PG
525-THN ON AZ 89DEG05 '26" ALG SD S LN DIS 208FT THN ON AZ 11DEG02'10"
DIS 71.55FT THN ON AZ 359DEG43'38" DIS 40. 74FT THN ON AZ 281DEG02'10" DIS
195.51 FT TO SD ELY LN US HWY#61 THN ON AZ 191 DEG02'10" ALG SD ELY LN
83FT TO POB-SUBJ TO EASE AND:THAT PT NEI/4-NW1/ 4 S20 DESC:COM@NE
CORNSDI/4- 1/4 THN ON AZ FROM N179DEG43 38" ORIENT TO WASH CO
COORDN SYS N ZONE DIS 1322.12FT TO SE CORN SD1/4-1/4 THN ON AZ 269DE
G05'26" ALG S LN SD1/4-1/4 DIS 391.2FT THN ON AZ 359DEG43'38" PAR WITH W
LN SD114-1/4 DIS 33 FT TO N LN 147TH ST THN CONTI N ON AZ 359DEG43'38"ALG
SID,PAR LN DIS 133.50FT TO ELY EXTENS OF MOST SLY LN OF LAND DESC IN
WID REC IN BK 310 DEEDS PG 525 FOR POB OF LAND TO BE DESC THN CONTIN
ON AZ 359DEG43'38"ALG SD PAR LN DIS 70FT TO LN ON AZ 89DEG05'26" FROM
HEREINAFTER DESC "PT A" THN ON AZ 269DEG05 '26" DIS 123.80FT TO INTERS
WITH LN WHICH IS PAR WITH ELY LN US HWY#61 &DIS 208FT ELY OF SD ELY LN
AS MEAS ALG SD N LN 147TH ST N THN ON AZ 191DEG02' 10" ALG SD PAR LN
DIST 71.55FT TO MOST SLY LN LAND DESC IN BK 310-DEEDS-PG 525 THN ON AZ
89 DEG05'26" ALG ELY EXTENS SD LN DIS 137.83FT TO POB-SD"PT A"IS
DESC:COM@NE CORN NE1/4-NW1/4 THN ON AZ FROM N 179DEG43'38" DIS
1322.12FT TO SE CORN SD1/4-1/4 THN ON AZ 269DEG05'26"ALG S LN SD1/4-1/4
DIS 770.38 FT TO ELY LN US HWY#61 THN ON AZ 11DEG02'10" ALG SD ELY LN
DIS 33.73FT TO N LN SD 147TH ST N THN CONTIN ON AZ 11DEG02' 10" ALG SD
SPRINGSTED Page 33
Exhibit 11
ELY LN US HWY#61 DIS 208FT TO"PTA" TOG WITH EASE
20.031.21.21.0013 Sect-20 Twp-031 Range-021 PT NE1/4-NW1/4 S20T31R21 DESC AS FOLL:COM AT
NE CORN OF SD1/4 THN ON AZIMUTH FROM N OF 179DEG43'38" ORIENTED TO
WASH CO COORDINATE SYSTEM N ZONE A DIST 1322.12FT TO SE CORN OF SD
NE1/4-NW1/4 THN ON AN AZIMUTH OF 269DEG05'26" ALG THE S LINE OF SD
NE1/4-NW1/4 DIST 770.38FT TO THE ELY LINE OF US HWY #61 THN ON AN
AZIMUTH 11DEG02'10"ALG SD ELY LINEA DIST 33.73FT TO N LINE OF 147TH ST
N THN CONTIN ON AN AZIMUTH OF 11DEG02'10" ALG SD ELY LINE A DIST OF
291FT TO PT OF BEG OF LAND TO BE DESC THN CONTIN ON AN AZIMUTH OF
11DEG02'10" ALG SD ELY LINE DIST OF 112.72FT TO,S LINE OF 148TH ST N AS
DESC IN A QUIT CLAIM DEED RECORDED 6-26-74 A5 DOC#324300 THN ON AN
AZIMUTH OF 89DEG05'26" ALG SD S LINE A DIST 132.88FT THN ON AZIMUTH
191DE 02'10" A DIST 140.22FT TO A PT ON AN AZIMUTH 101DEG02'10" &A DIST
OF 130 FT FROM PT OF BEG THN ON AZIMUTH OF 281DEG02'10" A DIST 13OFT
TO PT OF BEG HUGO SUBJ.TO EASE
The area encompassed by the TIF District shall also include all street or utility right-of-ways located upon or adjacent
to the property described above.
SPRINGSTED Page 34
Exhibit III
Assumptions Report
City of Hugo, Minnesota
Tax Increment Financing (Redevelopment) District No. 1-2
Downtown Redevelopment Project
Scenario A: Total EMV
Type of Tax Increment Financing District Redevelopment
Maximum Duration of TIF District 25 years from 1st increment
Projected Certification Request Date 07/15/07
Decertification Date 12/31/35 (26 Years of Increment)
2007/2008
Base Estimated Market Value $28.350.400
Estimated blended class rate 1.5526%
Original Net Tax Capacity* $440,174
Assessment/Collection Year
2007/2008 2008/2009 2009/2010 2010/2011
Base Estimated Market Value $28,350,400 $28,350,400 $28,350,400 $28,350,400
Increase in Estimated Market Value 0 11,750.227 21,323;549 31,136,204
Total Estimated Market Value 281350,400 40.100;627 49,673;949 59,486,604
Total Net Tax Capacity $440,174 $598,310 5711,755 S828,035
City of Hugo 35,931%
Washington County 25.651%
ISD#624 17.731%
Other 3.672%
Local Tax Capacity Rate 82.985% Proposed 2006/2007
Fiscal Disparities Contribution From TIF District
Administrative Retainage Percent(maximum= 10%) 10.00%
Pooling Percent 0.00%
Bonds Note (Pay-As-You-Go)
Bonds Dated Note Dated 07115107
Bond Issue @ 0.00%(NIC) Note Rate 6.00%
Eligible Project Costs Note Amount $12,500,000
Present Value Date& Rate 07/15/07 6.00%
Notes
*Original net tax capacity estimated assuming current classification of property as blend of residential
and commercial. Future base tax capacity may be adjusted as future developments occur.
Assumptions include no future changes to the property tax system, class rates and tax rate.
Includes preliminary 2007 tax rates provided by County and 2.5%annual market value inflator.
Proposed construction schedule commencing in 2008 for all types of development(residential and commercial)
and is staggered over an 8-10 year period
SPRINGSTED
Exhibit IV
Projected Tax Increment Report
CityofHugo, Minnesota
Tax Increment Financing (Redevelopment)District No. 1-2
Downtown Redevelopment Project ,
Scenario A:Total EMV
Less: Less: Retained Times: Less: Less:
Annual Total Original Fiscal Captured Tax Annual State Aud. Admin. Annual
Period Net Tax Net Tax Disp.@ Net Tax Capacity Gross Tax Deduction Retainage Net
Ending Capacity Capacity 0.0000% Capacity Rate Increment 0.360% 10.00% Revenue
1 2 3 4 5 6 7 8 9 10
12/31/07 440,174 440,174 0 0 82.985% 0 0 0 0
12/31/08 440,174 440,174 0 0 82.985% 0 0 0 0
12/31/09 440,174 440,174 0 0 82.985% 0 0 0 0
12/31/10 598,310 440,174 0 158,136 82.985% 131,229 472 13,076 117,681
12/31/11 711,755 440,174 0 271,581 82,985% 225,371 811 22,456 202,104
12/31/12 828,035 440,174 0 387,861 82,985% 321,867 1,159 32,071 288,637
12/31/13 947,223 440,174 0 607,049 82.985% 420,775 1,515 41,926 377,334
12/31/14 1,306,855 440,174 0 866 681 82.985% 719,215 2,589 71,663 644,963
12/31/15 1,675,477 440,174 0 1,235,303 82.985% 1,025,116 3,690 102,143 919,283
12/31/16 2,053,315 440,174 0 1,613,141 ,82.985% 1,338,665 4,819 133,385 1,200,461
12/31/17 2,440,599 440,174 0 2,000,425 82.985% 1,660,053 5,976 165,408 1,488,669
12/31/18 2,490,628 440,174 0 2,050,454 82.985% 1,701,570 6,126 169,544 1,525,900
12/31/19 2,541,909 440,174 0 2,101,735 82.985% 1,744,124 6,279 173,785 1,564,060
12/31/20 2,594,471 440,174 0 2,154,297` 82.985% 1,787,743 6,436 178,131 1,603,176
12/31/21 2,648,347 440,174 0 2,208,173 82.985% 1,832,452 6,597 182,586 1,643,269
12/31/22 2,703,570 440,174 0 2,263,396'' 82.985% 1,878,279 6,762 187,152 1,684,365
12/31/23 2,760,174 440,174 0 2,320,000 82.985% 1,925,252 6,931 191,832 1,726,489
12/31/24 2,818,192 440,174 0 2,378,018 82.985% 1,973,398 7,104 196,629 1,769,665
12/31/25 2,877,662 440,174 0 2,437,488 82.985% 2,022,749 7,282 201,547 1,813,920
12/31/26 2,938,617 440,174 0 2,498,443 82.985% 2,073,333 7,464 206,587 1,859,282
12/31/27 3,001,097 440,174 0 2,560,923 82.985% 2,125,182 7,651 211,753 1,905,778
12/31/28 3,065,139 440,174 0 2,624,965 82.985% 2,178,327 7,842 217,049 1,953,436
12/31/29 3,130,782 440,174 9 2,690,608 82.985% 2,232,801 8,038 222,476 2,002,287
12/31/30 3,198,066 ' 440,174 0 2,757,892 82.985% 2,288,637 8,239 228,040 2,052,358
12/31/31 3,267,032 440,174 0 2,826,858 82.985% 2,345,868 8,445 233,742 2,103,681
12/31/32 3,337,722 440,174 0 2,897,548 82.985% 2,404,530 8,656 239,587 2,156,287
12/31/33 3,410,180 440,174 0 2,970,006 82.985% 2,464,659 8,873 245,579 2,210,207
12/31/34 3,484,449 440,174 0 3,044,275 82.985% 2,526,291 9,095 251,720 2,265,476
12/31/35 3,560,574 440,174 0 3,120,400 82.985% 2,589,464 , 9 322 258,014 2,322,128
$43,936950 $158,173 $4,377,881 $39,400,896
SPRINGSTED Page 36
Exhibit V
Estimated Impact on Other Taxing Jurisdictions Report
City of Hugo, Minnesota
Tax Increment Financing (Redevelopment) District No.1.2
Downtown Redevelopment Project"
Scenario A: Total EMV
Without
Project or TIF District With Project and TIF District
Projected Hypothetical
2005/2006 2005/2006 Retained New Hypothetical Hypothetical Tax Generated
Taxable 2005/2006 Taxable Captured Taxable Adjusted Decrease In by Retained
Taxing Net Tax Local Net Tax Net Tax NetTax Local Local Captured
Jurisdiction Capacity(1) Tax Rate Capacity(1) + Capacity _ Capacity Tax Rate(*) Tax Rate(*) N.T.C. (*)
City of Hugo 35.931% 0 $3,120,400 3,120,400 0.000% 35.931% 0
Washington County 25.651% 0 3,120,400- 3,120,400 0.000% 25.651% 0
ISD#624 17.731% 0 3,120,400 3,120,400 0.000% 17.731% 0
Other(2) --- 3.672% --- 3,120,400 --- 3.672% --- ---
Totals 82.985% 3.672% 79.313%
* Statement 1: If the projected Retained Captured Net Tax Capacity of the TIF District was hypothetically available to each of
the taxing jurisdictionsabove,the result would be a lower local tax rate(see Hypothetical Adjusted Tax Rate above)
which would produce the same amount of taxes for each taxing jurisdiction. In such a case,the total local tax rate
would decrease by 79.313%(see Hypothetical Decrease in Local Tax Rate above). The hypothetical tax that the
Retained Captured Net Tax Capacity of the'TIF'District would generate is also shown above.
Statement 2: Since the projected Retained Captured Net Tax Capacity of the TIF District is not available to the taxing jurisdictions,
then there is no impact on taxes levied or local tax rates.
(1} Taxable net tax capacity=total net tax capacity-captured TIF.-fiscal disparity contribution, if applicable.
(2) The impact on these taxing jurisdictions is negligible since they represent only 4.42%of the total tax rate.
SPRINGSTED Page 37
Exhibit VI
Market Value Analysis Report
City of Hugo, Minnesota
Tax Increment Financing (Redevelopment) District No. 1-2
Downtown Redevelopment Project
Scenario A: Total EMV
Assumptions
Present Value Date 07/15/07
P.V. Rate - Gross T.I. 6.00%
Increase in EMV With TIF District $260,390,671
Less: P.V of Gross Tax Increment 15,785,471
Subtotal $244,605,200
Less: Increase in EMV Without TIF 0
Difference $244,605,200
Annual Present
Gross Tax Value @
Year Increment 6.00%
1 2€310 131,229 108,835
2 2011 225,371 176,332
3 2012 321,867 237,577
4 2013 420,775 293,003
5 2014 ' `' 719,215 472,471
6 2015 1,025,116 635,307
7 2016 1;338,665 782,667
8 2017 1;660,053 915,632
9 2018 1,701,570 885,407
10 2019 1,744,124 856,179
11 2020 1,787,743 827,916
12 2021 1;832,452 800,586
13 2022 1,878,279 774,158
14 2023 1;925,252 748,603
15 2024 1,973,398 723,890
16 2025 2.022,749 699,994
17 2026 2,073,333 676,886
18 2027 2.125,182 654,540
19 2028 2,178,327 632,933
20 2029 2;232,801 612,038
21 2030 2,288,637 591,834
22 2031 2,345,868 572,296
23 2032 2,404,530 553,403
24 2033 2.464,659 535,133
25 2034 2,526,291 517,467
26 2035 2,589,464 500,384
$43,936,950 $15,785,471
SPRINGSTED
Y
Exhibit VI
REDEVELOPMENT QUALIFICATIONS FOR THE DISTRICT
Following is a summary of the facts that support the finding that the District is a redevelopment district as defined in
Minnesota Statutes, Section 469.174, subd. 10(a)(1). The findings are based on reports, as prepared by City building
officials and dated . The Reports and all background materials related to the Reports are on file in City Hall.
The attached chart summarizes the findings made in the Reports. Additional comments are as follows:
1. The district contains 125 parcels, shown on the map in Exhibit► and described in Exhibit II.
2. As of the date the Reports were prepared, the District was occupied by 96 buildings. Of those, 57 were found to be
substandard buildings and 39 buildings were not found to be structurally substandard. Thus, 59.38%percent of the buildings
are substandard.
3. The 9 buildings that are deemed substandard, including one building with no resolution declaring it substandard, were
demolished within three years before the expected date of filing for certification of this District. The demolition of all buildings
was financed by the City of Hugo, as further explained below.
Demolition Date: Parcels and Coverage:
SPRINGSTED
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