HomeMy WebLinkAbout2012-09-05 PACKET 06.A.REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA
MEETING ITEM #
DATE 09/05/12 m
PREPARED BY Finance Robin Roland
ORIGINATING DEPARTMENT DEPARTMENT HEAD
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COUNCIL ACTION REQUEST
Public Hearing: Consider the proposed modification to the Development program for
Development District number 1 and the proposed Modification to the Tax Increment Financing
plan for TIF district 1 -3
STAFF RECOMMENDATION
Adopt the resolution approving the proposed Modification to the Development Program for
Development District number 1 and the proposed Modification to the Tax Increment Financing
Plan for the TIF District 1 -3
BUDGET IMPLICATION N/A
BUDGETED AMOUNT
ADVISORY COMMISSION ACTION
DATE
REVIEWED
® PLANNING 08/27/12
❑
❑ PUBLIC SAFETY
❑
❑ PUBLIC WORKS
❑
❑ PARKS AND RECREATION
❑
❑ HUMAN SERVICES /RIGHTS
❑
DEV. AUTHORITY 08/14/12
Z ECONOMIC
SUPPORTING DOCUMENTS
® MEMO /LETTER:
® RESOLUTION:
❑ ORDINANCE:
❑ ENGINEERING RECOMMENDATION:
N/A
ACTUAL AMOUNT
APPROVED
DENIED
®
❑
❑
❑
El
El
El
❑ LEGAL RECOMMENDATION:
® OTHER: Modification to the Development Program document
7
ADMINISTRATORS COMMENTS
�°
City Administrator Date
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H: \Council items \City Council Action Form.doc
City of Cottage Grove
Finance Department em
TO: Honorable Mayor and City Council
Ryan Schroeder, City Administrator
FROM: Robin Roland, Finance & Community Development Director
DATE: August 31, 2012
SUBJECT: Public Hearing: Consider the proposed Modification to the Development
Program for Development District No. 1 and the proposed Modification to the
Tax Increment Financing plan for the Tax Increment Financing District 1 -3
Introduction/Discussion
Tax Increment Financing district 1 -3 will expire at December 31, 2013. In order to maximize
the City's ability to use the tax increment which exists from the district, we need to modify the
district's budget. This modification will allow the remaining increment to be collected for the
remaining life of the district. A budget modification however, requires a public hearing.
The TIF plan, with proposed modifications, is included with this item.
The EDA reviewed the proposed modification/TIF plan at their August 14, 2012 meeting and
approved it by resolution.
The Planning Commission reviewed the proposed modification/TIF plan at their August 27,
2012 meeting and approved it by resolution.
Requested Action
Adopt the resolution approving the proposed Modification to the Development Program
Development District No. 1 and the proposed Modification of the Tax Increment Financing Plan
for Tax increment Financing District No. 1 -3.
As pf August 29 2012
Draft for Public Hcaring
Modification to the Development Program
for
Development District No. 1
Modification to the Tax Increment Financing Plan
for
Tax Increment Financing District No. 1 -3
(redevelopment district)
City of Cottage Grove
Washington County
State of Minnesota
Adopted:
Modification No. 1:
Modification No. 2:
December 4, 1985
April 18, 2001
September 5, 2012
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Prepared by: EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Drive, Roseville, Minnesota 55113 -1105
651- 697 -8500 fax 651 - 697 -8555 www.ehlers- inc.com
TABLE OF CONTENTS
(for reference purposes only)
Section I- Modification to the Development Program for Development District No. 1
Foreword................. ................................ ..................... 1 -1
Findings.............. ......................................................... 1 -1
Description of the Development District ............... ............................... 1 -I
Section 2 - Modification to the TIE Plan for Tax Increment Financing District No. 1 -3
Introduction.............................................. ...................... 2 -1
Findings................. ...................................................... 2 -1
Use of Tax Increment ................... ......................................... 2 -2
Estimate of Costs ......... ....................................................... 2 -2
Sources of Revenue ............... ...................... ......................... 2 -4
Duration of the District ............................ ............................... 2 -6
Estimated Impact on Other Taxing Districts ............ ............................... 2 -6
Assessed Value of Parcel in Tax Increment Financing District No. 1 -3 ...................... 2 -7
EXHIBIT A
BOUNDARY MAP OF DEVELOPMENT DISTRICT NO. I AND
TAX INCREMENT FINANCING DISTRICT NO. 1 -3 ............................... Exhibit A
EXHIBIT B
SUMMARY OF BUDGET PRIOR BUDGET MODIFICATION FOR
TAX INCREMENT FINANCING DISTRICT NO. I -3 . ............................... Exhibit B
Section I- Modification to the Development Program for
Development District No. 1
Foreword
The following text represents a modification to the Development Program for Development District No. 1 and
a modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3. The
modification to the Tax Increment Financing Plan represent a continuation of the goals and objectives set
forth in the Development Plan for Development District No. I and the Tax Increment Financing Plan for Tax
Increment Financing District No. 1 -3.
(AS MODIFIED SEPTEMBER 5,20-12)
The following modification is intended to clarify the term of TIF District 1 -3 to reflect the actual first
receipt of increment, to modify the budget to reflect actual increment received to date and expected
through the term of the District and bring the plan into conformance with current OSA standards.
The original and modified Development Program for Development District No.l set forth the applicable
findings for the establishment and modification of Development District No. 1. The current modification
does not require that the City Council adopt new findings, however, the City Council confirms all previous
findings establishing and modifying Development District No. I.
Description of the Development District
The boundaries of the Development District No. 1 are not changing from the description in the modification
of August 18, 2001 for Development District No. 1.
1 -1
Section 2 - Modification to theTax Increment Financing Plan for
Tax Increment Financing District No. 1 -3
Introduction
The following text represents a modification to the Tax Increment Financing Plan for Tax Increment
Financing Districts No. 1 -3. The modification to the Tax Increment Financing Plan represents a continuation
of the goals and objectives set forth in the Redevelopment Plan for Redevelopment Project and Development
District No. l and the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3.
The purchase of land was financed through tax increments to facilitate the redevelopment of an 87 acres site
that was previously owned by Whirlpool. The City purchased the site to ensure that the vacant building was
reused for private enterprise. Up North Plastics purchased the site and constructed a manufacturing plant.
The development began in 1986 and was completed in 1987. The first tax increment was received in 1986.
In 1991 the increment was reduced due to a court proceeding. The original plan for Tax Increment District
No. 1 -3 is being modified to clarify the budget and to comply with the current requirements of the Office of
the State Auditor. The amount of estimated tax increment for the modification is not changing, therefore,
there are no additional fiscal implications to the taxing jurisdictions. The budget is being modified to
explicitly authorize transfer amounts for the project area expenses, and may be interpreted as increasing,
requiring a public hearing.
Generally, the substantive changes in Tax Increment Financing District No. 1 -3 include:
1. To expand the budget for Tax Increment Financing DistrictNo. 1-3 to include interest earnings,
inter-fund loans and inter -fund transfers as tax increment funds;
2. To clarify budgets for previous expenditures;
C. To increase the authorization of bonded indebtedness;
d. To explicitly authorize refunding of bonds;
5. To clarify duration; and
6. To clarify the amount of transfers of tax increments.
The following modifications are intended to serve as additions to the original tax increment financing plan
for Tax Increment Financing District No. 1 -3 according to the content below and are not contemplated to
replace any sections unless specified. A copy of the full tax increment financing plan for Tax Increment
Financing District No. 1 -3 is on file with the City Administrator of the City of Cottage Grove.
(AS MODIFIED SEPTEMBER 5, 2012)
The TIF Plan For TIF District No. 1-3 is being modified to clarify the term of the TIF District to reflect
the actual first receipt of increment, to modify the budget to reflect actual increment received to date
and expected through the term of the District, approve expenditures for construction of 97' Street, and
bring the plan into conformance with current OSA standards.
Findings
The original and modified Development Plan Development District No. 1 set forth the applicable findings
for the establishment and modification of Tax lnerement Financing District No. 1 -3. The current modification
does not require that the City Council adopt new findings, however, the City Council confirms all previous
findings establishing and modifying Tax hlcrement Financing District No. 1 -3.
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 Zi
Use of Tax Increment
Pursuant to Section 273.75, sub. 4, of the Tax Increment Act, all revenues derived from the Tax Increment
District shall be used in accordance with the tax increment financing plan. The revenues shall be used for
the following purposes:
A. to pay the principal of and interest on bonds used to finance a project;
B. to finance or otherwise pay the capital and administration costs of the Development District
pursuant to the Development District Act;
C. to accumulate and maintain a reserve in a special development account for the payment of the
principal of and interest on bonds used to finance a project as allowed in Minnesota Statutes
Chapters 462C and 474;
D. to pay for project costs as identified in the budget; and
E. to finance or otherwise pay for other purposes as provided in Section 276.75, Subd. 4, of the Tax
Increment Act.
(As Modified April 18, 2001)
This section authorizes the use of increments from Tax Increment District No. 1 -3 to be used for costs
authorized and incurred in Development District No. 1 or any costs authorized and incurred in other Tax
hrcrement District located within Development District No. 1. These revenues shall not be used to
circumvent any levy limits.
(AS MODIFIED SEPTEMBER S, 2012)
This section authorizes the use of increments from Tax Increment District No. 1 -3 to be used for costs
authorized and incurred in Development District No. 1 or any costs authorized and incurred in other
Tax Increment Districts located within Development District No. 1. At this time it is anticipated that
the funds not needed to satisfy existing obligations of TIT District No. 1 -3 will be utilized to complete
construction of 97" Street.
Estimate of Costs
(As ModifaedApril18, 2001)
The following is an estimate of public costs including all modifications to the Tax Increment Financing Plan
for Tax Increment Financing District No. 1 -3. A modified estimated cost breakdown of costs associated with
financing Tax Increment Financing District No. 1 -3 is as follows:
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 2 -2
Uses December 4,
Total of April 18,
Totals
of 1985
Modifications 2001
including
Funds Original
(See Exhibit Modification
the April 18,
Budget
III -A for
2001
$364,000
detail)
Modification
Land Acquisition
$300,000
$300,000
$5,000
$305,000
Site Improvements
$0
$0
$195,900
$195,900
Bond interest payments
$364,900
$364,000
$0
$364,000
Loan interest payments
$286,000
$286,000
Bond Discount
$7,600
$7,600
$0
$7,600
Development district
public improvements
$0
$651,000
($563,000)
$88,000
Administration costs
$22,000
21000
$9U00
$120.000
Total Cost
$694,500
$1,344,600
$21,900
$1,366,500
Bond principal payments
$400,000
$400,000
$950,000
$1,350,000
Loan principal payments
$1,350,000
$1,350,000
Refunding bond principal
payments
$1,350,000
$1,350,000
Transfers
$1,350,000
$1,350,000
It is the intention of the City to use increments in excess of what is needed for debt service herein and to pay
towards any other project expenses within Development District No. 1, including shortfalls of other Tax
Increment Districts.
(AS MODIFIED SEPTEMBER 5, 2012)
The total uses of funds has been revised to reflect the actual increment received to date and expected
to be received through the term of the District. In addition, the City and EDA have determined that
it will be necessary to provide assistance to the project(s) for certain District and Development District
No. 1 costs. Currently under consideration for use of funds outside of the District but within
Development District No. 1 is the construction of 97" Street. The revised cumulative uses of tax
increment funds is summarized in the table below:
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 2 -3
USES OF TAX INCREMENT FUNDS TOTAL
Land /Building Acquisition $700,000
Site Improvements /Preparation $390,000
Other Qualifying Improvements $600,000
Administrative Costs (up to 10 %) $210,000
PROJECT COST TOTAL $1,900,000
Interest $900,000
PROJECT AND INTEREST COSTS TOTAL $2,800,000
The total project cost, including financing costs (interest) listed in the table above does not exceed the
total projected tax increments for the District as shown in the chart above.
Estimated capital and administrative costs listed above are subject to change among categories by
modification of the TIT Plan without hearings and notices as required for approval of the initial TIE
Plan, so long as the total capital and administrative costs combined do not exceed the total listed above.
Further, the EDA may spend up to 25 percent of the tax increments from the District for activities
(described in the table above) located outside the boundaries of the District but within the boundaries
of the Project (including administrative costs, which are considered to be spent outside the District),
subject to all other terms and conditions of this TIF Plan.
Sources of Revenue
Costs outlined in the Estimate of Costs (Subsection G) will be financed through the annual collection tax
increments. See Cash Flow Analysis in Subsection W for more detail on tax increment assumptions, as well
as Subsection N - Estimated Captured Assessed Values.
(As Modified April 18, 2001)
Costs outlined in the Estimate of Costs (Subsection G) have been and will continue to be financed primarily
through the annual collection of tax increments, general obligation bonds, interest on invested funds, inter -
fund loans and transfers, and other City revenues. The City reserves the right to use other sources of revenue
legally applicable to the Modification to the Redevelopment Plan and the Plan, including, but not limited to,
special assessments, general property taxes, state aid for road maintenance and construction, proceeds from
the sale of land, loans from City funds, other contributions from the developer and investment income, to pay
for the estimated public costs.
The City reserves the right to incur bonded indebtedness or other indebtedness as a result of the Plan.
Additional indebtedness may be required to finance other authorized activities. The total principal amount
of bonded indebtedness or other indebtedness related to the use of tax increment financing will not exceed
$1,345,500 without a modification to the Plan pursuant to applicable statutory requirements. The City
reserves the right to refund any bonds of the $1,345,500 to the extent allowed by law without additional
modifications to this Plan.
This provision does not obligate the City to incur debt. The City will issue bonds or incur other debt only
upon the determination that such action is in the best interest of the City. The City may also finance the ac-
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. I -3 2 -4
tivities to be undertaken pursuant to the Plan through loans from funds of the City to reimburse the developer
on a "pay -as- you -go" basis for eligible activities paid for by the developer. will be financed through the
annual collection tax increments, general obligation bonds, interest on invested funds, inter -fund loans and
transfers, and other City revenues. See Cash Flow Analysis in Subsection W, of previous plans, for more
detail on tax increment assumptions, as well as Subsection N - Estimated Captured Assessed Values. The
estimated sources of funds for District No. 1 -3 are contained in the table below.
Sources December 4,
Total of April 18,
Totals
of 1985
Modifications 2001
including
Funds Original
(See Exhibit Modification
the April 18,
Budget
III -A for
2001
detail)
Modification
Tax Increments $1,345,500 $1,345,500 $0 $1,345,500
Interest on invested funds $0 $0 $21.000 $21.000
Total Revenues $1,345,500 $1,345,500 $21,000 $1,366,500
Bond proceeds $400,000 $400,000 $950,000 $1,350,000
Loans $1,350,000 $1,350,000
Refunding bond proceeds $1,350,000 $1,350,000
Transfers $0 $0 $1,350,000 $1,350,000
(AS MODIFIED SEPTEMBER 5, 2012)
The costs outlined in the Uses of Funds will be financed primarily through the annual collection of tax
increments. The EDA or City reserves the right to incur bonds or other indebtedness as a result of the
TIE Plan. This provision does not obligate the EDA or City to incur debt. The EDA or City will issue
bonds or incur other debt only upon the determination that such action is in the best interest of the
City.
The total estimated tax increment revenues for the District are shown in the table below:
SOURCES OF FUNDS
TOTAL
Tax Increment
$2,500,000
Interest
$300.000
TOTAL
$2,800,000
The EDA or City may issue bonds (as defined in the TIF Act) secured in whole or in part with tax
increments from the District in a maximum principal amount of $1,900,000. Such bonds may be in the
from of pay -as -you go notes, revenue bonds or notes, general obligation bonds, or interfund loans. This
estimate of total bonded indebtedness is a cumulative statement of authority under this TIF Plan as of
the date of this modification.
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 2 -5
Duration of the District
Pursuant to Section 273.75, subd. 1, of the Tax Increment Financing Act, the duration of the Taxi Increment
District within Development District No. 1 of the city will be twenty -five (25) years from the date of the
receipt by the City of tax increments. The date of receipt by the City of the first tax increment was 1986.
Thus it is estimated that the Tax Increment District, including any modifications for subsequent phases or
other changes, will terminate on December 31, 2011.
(AS MODIFIED SEPTEMBER 5, 2012)
Pursuant to M.S., Section 469.175, Solid. 1, and Section 469.176, Subd. 1, the duration of the District
must be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Solid. lb, the duration of
the District will be 25 years after receipt of the first increment by the City (a total of 26 years of tax
increment). The date of receipt by the City of the first tax increment was July, 1988. Thus, it is
estimated that the District, including any modifications of the TIF Plan for subsequent phases or other
changes, would terminate after December 31, 2013, or when the TIF Plan is satisfied. The City or EDA
reserves the right to decertify the District prior to the legally required date.
Estimated Impact on Other Taxing Districts
(AS MODIFIED SEPTEMBER 5, 2012)
IMPACT ON TAX BASE
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 2 -6
2011 /Pay 2012
Estimated Captured
Total Net
Tax Capacity (CTC) Percent of CTC
Tax Capacity
Upon Completion
to Entitv Total
Washington County
243,887,750
108,334
0.0444%
City of Cottage Grove
24,496,075
108,334
0.4423%
ISD 833
79,317,956
108,334
0.1366%
IMPACT ON TAX RATES
Pay 2012
Percent
Potential
Extension Rates
of Total
CTC
Taxes
Washington County
0.319390
27.43%
108,334
34,601
City of Cottage Grove
0.414459
35.60%
108,334
44,900
ISD 833
0.378943
32.55%
108,334
41,052
Other
0.051387
4.41%
1.08,334
5
Total
1.164178
100.00%
126,120
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 2 -6
Assessed Value of Parcel in Tax Increment Financing District No. 1 -3
The boundaries of the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -3 are not
changing from the description in the original plan of December A. 1985 for Tax Increment Financing District
No. 1 -3. A copy of the map showing the boundaries of Tax Increment District No. 1 -3 within Development
District No. 1 can be found in Exhibit B.
City of Cottage Grove Modification to the Tax Increment financing Plan for Tax Increment Financing District No. 1 -3 2 -7
EXHIBIT B
SUMMARY OF BUDGET PRIOR BUDGET MODIFICATION
FOR
TAX INCREMENT FINANCING DISTRICT NO. 1 -3
1 -3 Up North Plastics
Original Budget
Modification of
Total
1985 Redevelopment
12104/85
03116189
Modifications
Sources of Funds
Tax Increment
1,345,500
1,345,500
Interest
0
Bond Proceeds
400,000
400,000
Loan Proceeds (City)
0
Real Estate Sales
0
Other Revenues - Inc! TIF
0
Other Revenues
0
Interest on Contract for Deed
0
0
Total Revenues
1,745,500
0
1,745,500
Transfers
Grand Total Sources
1,745,500
0
1,745,500
Uses of Funds
Land /building acquisition
300,000
300,000
Site improvements /prep costs
0
Public Utilties
0
Parking
0
Street & Sidewalks
0
Bond Principal
400,000
400,000
Bond Interest
364,900
364,900
Loan Principal
0
Loan Interest
0
Admin
22,000
22,000
Bond Issuance Costs (discount)
7,600
7,600
Development District Costs
651,000
651,000
Refund TI
0
Refund Bond Escrow
0
Total Project Costs
1,094,500
651,000
1,745,500
Transfes
0
Grand Total Uses
1,094,500
651,000
1,745,500
District Balance /(Deficit)
651,000
(651,0001
0
City of Cottage Grove Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. I -3 Exhibit B
CITY OF COTTAGE GROVE
WASHINGTON COUNTY
STATE OF MINNESOTA
Council member
introduced the following resolution and moved its adoption:
RESOLUTION NO.
RESOLUTION ADOPTING A MODIFICATION TO THE DEVELOPMENT
PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 AND A MODIFICATION
TO THE TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT
FINANCING DISTRICT NO. 1 -3.
BE IT RESOLVED by the City Council ( "Council ") of the City of Cottage Grove, Minnesota
( "City "), as follows:
Section 1. Recitals
1.01. The Board of Commissioners ( "Board ") of the Cottage Grove Economic Development
Authority ( "EDA ") has heretofore established Development District No. 1 (the "Project Area ") and
adopted a Development Program therefor. It has been proposed by the EDA and the City that the City
adopt a Modification to the Development Program (the "Development Program Modification ") for the
Project Area and Modifications to the Tax Increment Financing Plan (the "TIF Plan ") for Tax Increment
Financing District No. 1 -3 (the "TIF District ") which are referred to collectively herein as the
"Modifications ", all pursuant to and in conformity with applicable law, including Minnesota Statutes,
Sections 469.090 to 469.1082 and Sections 469.174 to 469.1799, all inclusive, as amended, (the "Act ") all
as reflected in the Modifications, and presented for the Council's consideration.
1.02. The EDA and City have investigated the facts relating to the Modifications and have
caused the Modifications to be prepared.
1.03. The EDA and City have performed all actions required by law to be performed prior to
the adoption and approval of the proposed Modifications, including, but not limited to, notification of
Washington County and Independent School District No. 833, having taxing jurisdiction over the
property in the TIF Districts, approval of the Modifications by the EDA on August 14, 2012, and the
holding of a public hearing upon published notice as required by law.
1.04. The City and EDA are not modifying the boundaries of the Project Area or the TIF
District.
1.05. The City and EDA are not extending the duration of the TIF District.
Section 2. Findings for the Development Program Modification
2.01. The Council hereby finds that: (a) the land within the Project Area would not be available
for development or redevelopment without the financial aid to be sought under the Development Program
Modification; (b) the Development Program Modification 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 (c) the
Development Program Modification conforms to the general plan for the development of the City as a whole.
2.02. These findings are based on the facts and conditions described in the Development Program
Modification, which is incorporated herein by reference.
Section 3. Findings for the Modifications to the TIF Plan
3.01 The Council hereby reaffirms the original findings for the TIF District, namely that when
it was established, it was established as a "redevelopment district ".
3.02 The modifications to the TIF Plan are being completed to clarify the budgets of the TIF
District and to give budgetary and legal authority to the City and EDA to modify the budget and to clarify
the duration of the TIF district. The City and EDA are not modifying the boundaries or extending the term
of the TIF District.
3.03 The modifications to the TIF Plan conform to the general plan for development or
redevelopment of the City as a whole. The fact supporting this finding is that the modifications to the TIF
Plan will generally complement and serve to implement policies adopted in the City's comprehensive
plan. The TIF Modification was reviewed and commented upon by the City's Planning Commission on
August 27, 2012, and was approved by the Commission on that same date.
3.04 The modifications to the TIF Plan will afford maximum opportunity, consistent with the
sound needs of the City as a whole, for the development or redevelopment of the Project Area by private
enterprise. The facts supporting this finding are that the modifications to the TIF Plan will continue the
redevelopment by private enterprise that has been stimulated under the original plan for the TIF District.
3.05 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 after
subtracting the present value of the projected tax increments for the maximum duration of the district
permitted by the TIT Plan Modification.
3.06 The Council further finds the future redevelopment, in the opinion of the City, would not
reasonably be expected to occur solely through private investment within the reasonably foreseeable
future and therefore the use of tax increment financing is deemed necessary.
Section 4. Public Purpose
4.01. The adoption of the Modifications conform in all respects to the requirements of the Act
and will help fulfill a need to redevelop an area of the State which is already built up, to provide
employment opportunities, to provide housing opportunities, to improve the tax base and to improve the
general economy of the State and thereby serves a public purpose.
Section 5. Approval and Adoption of the Modifications
5.01. The Modifications, as presented to the Council on this date, are hereby approved, ratified,
adopted and shall be placed on file in the office of City Administrator.
5.02. The staff, the City's advisors and legal counsel are authorized and directed to proceed
with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and present
to this Council for its consideration all further Modifications, resolutions, documents and contracts
necessary for this purpose. Approval of the Modifications does not constitute approval of any project or a
Development Agreement with any developer.
5.03. The City Administrator is authorized and directed to forward a copy of the Modifications
to the Commissioner of the Minnesota Department of Revenue and the Office of the State Auditor
pursuant to M.S., Section 469.175, Subd. 4a.
5.04. The City Administrator is further authorized and directed to file a copy of the
Modifications with Washington County Auditor.
The motion for the adoption of the foregoing resolution was duly seconded by Council member
and upon a vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
Dated: September 5, 2012
Myron Bailey, Mayor
ATTEST:
Ryan Schroeder, City Administrator
(Seal)