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Home My WebLink About2015-11-18 PACKET 04.F. REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA MEETING ITEM # �� DATE 11/18/15 . . PREPARED BY: Finance Robin Roland ORIGINATING DEPARTMENT DEPARTMENT HEAD * * * * * * * * * * * * * * * * * * * * * * � * * * * � * * * � * � � * * * * * * * * � * * * * COUNCIL ACTION REQUEST: Consider calling a public hearing on the proposed creation of TIF District 1-16 (Garden World). STAFF RECOMMENDATION: Adopt resolution calling a public hearing for January 6, 2016 on the proposed creation of TIF District 1-16 (Garden World) BUDGET IMPLICATION: BUDGETED AMOUNT ACTUAL AMOUNT ADVISORY COMMISSION ACTION: DATE REVIEWED APPROVED DENIED ❑ PLANNING ❑ ❑ ❑ ❑ PUBLIC SAFETY ❑ ❑ ❑ ❑ PUBLIC WORKS ❑ ❑ ❑ ❑ PARKS AND RECREATION ❑ ❑ ❑ ❑ HUMAN SERVICES/RIGHTS ❑ ❑ ❑ ❑ ECONOMIC DEV. AUTHORITY ❑ ❑ ❑ ❑ ❑ ❑ ❑ SUPPORTING DOCUMENTS: � MEMO/LETTER: Roland 11/10/15 � RESOLUTION: ❑ ORDINANCE: ❑ ENGINEERING RECOMMENDATION: ❑ LEGAL RECOMMENDATION: ❑ OTHER: ADMINISTRATORS COMMENTS: f , , .__ f ,, r= , ,�'" r �;� �� l f �- /� tt Administrator ate * * * * * * * * * * * * * * * * * * * * * * * * * * * * � :� * :� * * * * * * * * * * * * * * � * H:\Council items\council-action template.docx Cottage �rove �here Pride and PrOSperity Meet To: Mayor and City Council Members Charlene Stevens, City Administrator From: Robin Roland, Finance Director � Date: November 10, 2015 Subject: Consider calling a Public Hearing on the proposed creation of TIF District 1-16 (Gardenworld) Introduction The EDA adopted a resolution at their November 10, 2015 meeting requesting that the City Council call a public hearing to consider establishment of a TIF district for the construction of a facility in the Business Park Discussion City staff has been working with Gardenworld, Inc. for the development of a 9 acre site in the Business Park. The development would include a warehouse, greenhouse and office facilities for Gardenworld. Tax Increment Financing for the site would support the infrastructure and land development costs. Creation of a TIF district requires a public hearing by the City Council and the EDA is asking the Council to call for a public hearing on January 6, 2016 to establish TIF district 1-16 (Gardenworld) for this economic development project. A copy of a potential time line is included with this memo. Action Requested Adopt the attached resolution calling the Public Hearing for January 6, 2016. SCHEDULE OF EVENTS COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY AND THE CITY OF COTTAGE GROVE WASHINGTON COUNTY,MINNESOTA FOR THE MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 AND THE ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 1-16 (Gardenworld) (an economic development district) Noveinber 10,2015 EDA requests that the City Council call for a public hearing on the proposed Modification to the Developinent Program for Developinent District No. 1 and the proposed Establishment of Tax I�icrement Financing District No. 1-16 (Gardenworld). EDA calls for a public hearing on the sale of land and on a business subsidy. November 16,2015 Project information (property identification numbers/parcel list, maps and list of sources and uses of funds)for drafting necessary documentation sent to Ehlers. Noveinber 18,2015 City Council calls for public hearing on the proposed Modification to the Development Program for Development District No. 1 and the proposed Establishment of Tax Increment Financing District No. 1-16(Gardenworld). N/A* Project information submitted to the County Board for review of county road impacts if necessary* (at least 45 days prior to public hearing). *The County Board,by law,has 45 days to review the TIF Plan to determine if any county roads will be impacted by the development. Because the City staff believes that the proposed tax increment financing district will not require unplanned county road improvements, the TIF Plan will not be forwarded to the County Board 45 days prior to the public hearing. Please be aware that the County Board could claim that tax increment should be used for county roads, even after the public hearing. December 7,2015 Fiscal/economic iinplications received by School Board Clerlc and County Auditor (at least 30 days prior to public hearing). [EhleNs will fax & nzail on or befoNe Decenzber 7, 2015.J � EHLERS ASSOCIATE6 INC SCHEDULE OF EVENTS - PAGE 2 COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY AND THE CITY OF COTTAGE GROVE WASHINGTON COUNTY,IVIINNESOTA FOR THE MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 AND THE ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 1-16 (Gardenworld) (an economic development district) December 8, 2015 EDA considers the Program Modification and TIF Plan and approves a resolution. EDA holds a public hearing on the sale of land and on a business subsidy agreement. December 14,2015 Ehlers & Associates conducts internal review of the Program Modification and TIF Plan. December 16,2015 Date of publication of TIF hearing notice and map (at least 10 days but not more than 30 days prior to hearing). [South Washington County Bulletin publication deadline, 4.•00 P.M., December 9, 2015. — Ehlers will submit notice, map, and instructions to newspaper via email on o�before DecembeN 9, 2015.J December 21,2015 Planning Commission reviews Program Modification and TIF Plan. January 6,2016 City Council holds a public hearing at 7:00 P.M.on a Modification to the Development Program for Development District No. 1 and the Establishment of Tax Increment Financing District No. 1-16. [Ehlers will send Council packet infoNmation to City via email on or before DecembeN 30, 2015.J City approves the business subsidy agreement and TIF agreement. January 7,2016 City can issue building permits and development can commence. , 2016 Ehlers & Associates files the Program Modification and TIF Plan with the MN Department of Revenue and the Office of the State Auditor and with Washington County. An action under subdivision 1, paragraph�a), contesting the validity of a determination by an authority under section 469.175, subdivision 3,must be commenced wrthm t e later o£ (1) 180 days after the municipality's approval under section 469.175,subdivision 3;or (2)90 days after the request for certificahon of the district is filed with the county auditor under section 469.177,subdivision 1. � EpHL,EERS CITY OF COTTAGE GROVE WASHINGTON COUNTY STATE OF MINNESOTA RESOLUTION NO. RESOLUTION CALLING FOR A PUBLIC HEARING BY THE CITY COUNCIL ON THE PROPOSED ADOPTION OF A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO.1 AND THE PROPOSED ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 1-16 (GARDENWORLD) THEREIN AND THE ADOPTION OF THE TAX INCREMENT FINANCING PLAN THEREFOR. BE IT RESOLVED by the City Council (the "Council") for the City of Cottage Grove, Minnesota (the "City"), as follows: Section 1. Public Hearin�. This Council shall meet on January 6, 2016, at approximately 7:00 P.Iv1.,to hold a public hearing on the proposed adoption of a Modification to the Development Program for Development District No. 1, the proposed establishment of Tax Increment Financing District No. 1-16 (Gardenworld), (an econoinic development district), and the proposed adoption of a Tax Increment Financing Plan therefor all pursuant to and in accordance with Minnesota Statutes, Sections 469.090 to 469.1082 , and Sections 469.174 to 469.1794, inclusive, as amended, in an effort to encourage the development and redevelopment of certain designated areas within the City; and Section 2. Notice of Public Hearin_,�„ o� f Program and Plan. City staff is authorized and directed to work with Ehlers to prepas•e a Modification to the Developinent Program for Developinent District No. 1 and a Tax Increment Financing Plan for Tax Increment Financing District No. 1-16 (Gardenworld) and to farward documents to the appropriate taxing jurisdictions including Washington County and Independent School District No. 833. The City Administrator is authorized and directed to cause notice of the hearing, together with an appropriate map as required by law, to be published at least once in the official newspaper of the City not later than 10,nor more than 3 0,days prior to Januaiy 6,2016, and to place a copy of the Program and Plan on file in the City Administrator's office at City Hall and to malce such copy available for iiispection by the public. Dated:November 18, 2015 Adopted: Mayor ATTEST: City Clerlc