HomeMy WebLinkAbout02/28/1984 TENTATIVE AGENDA
ADJ .REG.SESSION SHAKOPEE , MINNESOTA FEBRUARY 28 , 1984
Mayor Reinke presiding
11 Roll Call at 5 : 30 P .M. at Capone ' s Restaurant, Shakopee, Minn.
21 Goals And Objectives Session with Department Heads
3] 8 :45 P.M. recess
4] 9 :00 P.M. reconvene in Council Chambers, 12.9 East First Avenue
51 Recess for H.R.A. Meeting
61 Reconvene
71 9 :00 P.M. PUBLIC HEARING - Modification of Redevelopment Plan of
Valley Industrial Park Redevelopment Project No. 1
8] Res. No. 22.26, Approving the Modification and Re-designation by the
Housing and Redevelopment Authority in and for the City of
Shakopee of Valley Industrial Park Redevelopment Project No. 1
to Minnesota River Valley Housing and Redevelopment Project No . 1
and the Redevelopment Plan Relating Thereto
91 Res. No. 2227, Approving and Authorizing the Execution of a Contract
for Private Development with Minnesota Racetrack Limited
Partnership (bring contract distributed Feb . 21st , 1984)
101 PUBLIC HEARING - Proposed Tax Increment Financing Plan for Tax
Increment District No. 4
111 Res. No. 2228, A Resolution Relating to the Establishment by the
Housing and Redevelopment Authority in and for the City of Shakopee
of Proposed Tax Increment District No. 4 and Giving Preliminary
Concept Approval Thereto
121 Other Business :
a] Res. No. 2229, Approving Design Dev lopment Drawing for Racetrack
cl
1.3] Adjourn to Wednesday, February 29 , 1984 at 12 :00 P.M. at Capone ' s
Restaurant , Shakopee, Minnesota, for continuation of Goals and
Objectives Session with Department Heads
John K. Anderson
City Administrator
1
A JOINT GOALS & OBJECTIVES WORKSHOP
FOR CITY COUNCIL MEMBERS AND THEIR ADMINISTRATIVE STAFF
SHAKOPEE, MN. - FEBRUARY, 1984
Introduction: Many appointed and elected policy-making bodies are recognizing
the importance and necessity of paying attention to the decision-
making and communication processes they use and the procedures
by which these entities carry out the business of governing.
There is also a growing awareness that there is a need for a
high degree of collaboration and joint problem-solving between
Council members and Staff in order to effectively address the
complex issues facing today' s decision-makers .
Workshop
Objectives : Recognizing this need, Shakopee has been taking steps over the
last three years to improve Council , Staff and citizen communi-
cation through clearly stated Council goals and objectives ,
established Council meeting procedures , and an evaluation of
the Council Staff relationship by Staff and Council . The objec-
tives of this workshop are to :
• Improve communications and information flow.
• Generate more effective methods for problem-solving,
resolving conflict , and setting priorities .
• Establish improved guidelines for handling the overlap
in policy-administration roles .
• Develop greater collaboration in the working relationships
among and between Council members and Administrative Staff.
Expected
Results : This workshop will offer the City Council members and Staff
an opportunity to deal more effectively with each other around
such issues as :
• Roles and responsibilities .
• Group decision making capabilities .
• Decision making for public policy.
• Responsiveness to citizens .
• Council Meeting procedures - making decisions in a public
forum.
• Commitment of both human and physical (equipment ) resources
to stated goals and objectives .
City Council members and Staff can anticipate the Workshop to
have the following results :
• Increased competence in problem-solving and decision-making.
• Improved communication.
• Increased ability to anticipate and adapt to change .
• Increased efficiency, economy and creativity.
JKA/bn
Tuesday' s Workshop Agenda :
5 : 30 p.m. - Tuesday, February 28, 1984, arrive at Copone ' s Restaurant
Note : No action will be taken. The meeting is- open to the - public
and press . who have "received the normal notification of the meeting. )
5 : 35 p.m. - Order dinner from the menu.
5 :45p.m. - Brief introduction by the Mayor. Brief review of the Workshop' s
goals ,
s , review of Agenda and response to questions by the City Administrator.
6 :00 p.m. - Dinner served.
66 :40 p.m. - Listing ' 83 successes and failures , organizational strengths
and weaknesses , and City problems and needs ( short and long term) .
1 . Only one item, whether listing a problem or a success , should be
listed on each sheet of paper provided .
2 . Items should be listed whether or not they are on the present 1983
Goals & Objectives list ( this Workshop is a joint Council/Staff
effort to create ' 84 Goals & Objectives . )
3. Items need not be limited to things that the City can deal with
itself, but can include schools , County Government , State Government,
etc .
4. Questions you may find helpful in examining Shakopee ' s needs are :
Do we have problems in the areas of
• Protection of life • Replacement of obsolete
• Provision of essential services facilities
• Expansion of services
• Maintenance of public health • Financing
• Protection of property • Political (citizenry)
• Cost reduction/increased performance acceptance of programs or
services
7 : 30 p.m. - Review of 183 Goals & Objectives .
1 . Using an overhead projector discuss items on the present list of
1983 Goals & Objectives .
2 . Development of a consensus of which item( s ) are completed and should
be dropped from the 1984 list of Goals & Objectives .
3 . This is only the initial discussion to determine what items will be
discussed in detail on Wednesday afternoon, February 29th so we can
arrive at the necessary action to be taken in ' 84.
8 :45 p.m. - Adjourn to City Hall .
Wednesday' s Workshop Agenda :
12 : 00 p.m. - Wednesday, February 29, 1984, arrive at Capone ' s Restaurant .
12 : 05 p.m. - Order lunch from the menu.
..gib
Workshop Agenda
Page 2
February 24, 1984
12 : 15 p.m. - Listing of new 1984 and old 1983 Goals & Objectives .
1 . Prioritizing Shakopee ' s 1984 Goals & Objectives .
2. Planning action to be taken for 1984 Goals & Objectives .
12 : 30 p.m. - Lunch served.
1 : 15 p.m. . - Reconvene - 12 : 15 p.m. discussions .
4: 00 p,m. - Workshop wrap-up by City Administrator.
1 . What went right , what went wrong?
4: 15 p.m. - Adjourn.
Note : This agenda is a guide and Council members and Staff should
.feel free to go back to earlier discussion, etc . We don' t
want structure to inhibit discussion.
JKAjbn.
TENTATIVE AGENDA
Housing Authority in and for the
City of Shakopee , Minnesota
City Hall Council Chambers
Special Session February 28 , 1984
Chairman Colligan presiding
1 . Roll Call at 9 : 00 p.m.
2 . Approval of the Minutes of February 14, 1984
3 . Tax-Increment Financing Proposal
a . Adopt Resolution No. 84-3 - A Resolution Approving
A Contract for Private Development with Minnesota
Racetrack , Inc . , and the Sale of Certain Land by
the Authority Pursuant Thereto.
b. Adopt Resolution No. 84-4 - A Resolution Extending
the Period During Which the City Council of the
City of Shakopee May Hold the Proposed Tax Increment
Financing Plan for Tax Increment District No. 4 for
Review.
4 . Other business
5 . Adjourn
Jeanne Andre
Executive Director
PROCEEDINGS OF THE HOUSING AND REDEVELOPMENT AUTHORITY
ADJ. REG. SESSION SHAKOPEE, MINNESOTA FEBRUARY 14, 1984
Chrm. Colligan called the meeting to order at 8;53 p.m. with Comm. Leroux,
Wampach and Vierling present. Comm. Lebens was absent. Also present were
Mayor Reinke; HRA Director Jeanne Andre; City Admr. John K. Anderson; City
Clerk Judith S. Cox; City Engineer H. R. Spurrier and Ass't City Attorney
Rod Krass.
The City Admr. explained the comment made by a Planning Commission member who
does not want any proceeds from the re-financed Kmart tax increment district
spent to help the racetrack, even off-site improvements. This member wants
all of the proceeds spent on the downtown redevelopment. The City Admr. pointed
out this was a comment made by one member, and not a consensus of the Commission.
Discussion followed regarding the advisability of using some of the proceeds for
off-site improvements to aid traffic flow in the entire area.
The City Admr. said that if HRA wants to make boundary changes as recommended
by the Planning Commission, that direction can be given now, but because of
time limits the changes would not be made now, but included in the next revi-
sion.
Vierling/Leroux moved to direct staff to bring back at a later date boundary
changes regarding Fourth Avenue and the intersection of CR16 and CR83, as sug-
gested by Planning Commission. Motion carried unanimously.
Leroux/Vierling moved to receive the Planning Commission comment regarding not
using increments from Kmart tax increment district to benefit the racetrack,
and to inform Planning Commission that HRA might consider off-site traffic
improvements with Kmart funds. Discussion followed about tying HRA down to one
policy now.
Leroux/Wampach moved to amend the motion to eliminate any comments, and merely
receive and place on file the Planning Commission comments. Motion to amend
carried unanimously.
Main motion as amended carried unanimously.
Arlen Weltee, of O'Connor & Hannon, explained the combined tax increment dis-
trict and housing and redevelopment plan. She said she put the two plans to-
gether to shorten the process a little. She said there has been a change in
State law which refers to project costs instead of tax increment costs, so they
can be put together. She said she added a clarification of the legal descrip-
tion and reviewed the background of the re-development plan and tax increment
district.
The Ass' t City Attorney pointed out that it must be kept in mind that the HRA
is using Kmart increment funds on the racetrack site, because part of the dis-
trict for the racetrack is within the expanded Kmart district. He said the
costs used for the racetrack will be broken out and identified.
Leroux/Wampach offered Resolution No. 84-2, A Resolution Modifying the Rede-
velopment Plan for Valley Industrial Park Redevelopment Project No. 1 and Re-
designating it as Modified Housing and Redevelopment Plan for Minnesota River
Valley Housing and Redevelopment Project No. 1 and Establishing Tax Increment
District No. 4 and Adopting a Tax Increment Financing Plan Relating Thereto,
and moved its adoption.
Shakopee HRA
February 14, 1984
' Page 2
Roll Call: Ayes; Unanimous Noes; None Motion carried.
Comm. Leroux pointed out an error in the Developer's Agreement, where it states
390 square feet instead of 390 acres.
Leroux/Vierling moved to adjourn to February 21, 1984. Motion carried unani-
mously. Meeting adjourned at 9:33 P.m.
Jeanne Andre
HRA Director
Diane S. Beuch
Recording Secretary
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ARTICLE VII
Undertakings of the City and Authority; Tax Increment Bonds
Section 7 . 1 . Issuance of Tax Increment Bonds . The City
and Authority agree that upon award of the Franchise to the
Company, the City and the Authority shall take all steps
necessary to issue and the City shall issue its Tax Incre-
ment Bonds in an amount sufficient to finance the City ' s and
Authority' s obligations to the Company hereunder , including
purchase of the Development Property pursuant to the terms
of Article III and construction and installation of the
Offsite Improvements as provided in Section 7 . 2 . Such steps
shall include, but shall not be limited to, final approval
of the Tax Increment District and submission to the Auditor
of the County for certification of the original assessed
value of the Tax Increment District . The City shall issue
the Tax Increment Bonds at such time as shall be necessary
and desirable to facilitate the Project and effect the pur-
chase of the Development Property by the Authority, as mutu-
ally agreed by the City, the Authority and the Company. The
City' s obligation to issue the Tax Increment Bonds shall be
subject to the limitations provided in Section 7 . 3 hereof,
but shall otherwise be unconditional .
Section 7. 2 . Provision of Offsite Improvements . As
consideration for the execution of this Agreement and con-
struction of the Minimum--- Improvements by the Company, the
City and the Authority agree to undertake and finance the
following public development costs of improvements located
within the Redevelopment Project but off the Development
Property ( the Offsite Improvements" ) , provided that the City
and Authority shall have no obigation to spend in excess of
$2,900 ,000 to construct the Offsite Improvements, and fur-
ther provided that the Company has caused all related par-
ties to it, including any shareholders in the Company or
general partners in any affiliated partnerships, to ( i )
dedicate such land as is owned by such related parties as is
necessary for the construction of the Offsite Improvements
to the City without cost and ( ii ) execute, to the extent
such related persons are the owners of benefitting proper-
ties, special assessment agreements providing for (A) reim-
bursement of 73% of the construction cost of the Offsite
Improvements listed in clause (d) below (estimated to be
approximately $420 , 000 ) , and (B) reimbursement of 38% of the
construction cost of the Offsite Improvements listed in
clause (g) below (estimated to be approximately $130 , 000 ) ,
such special assessment agreements to be subject to the
terms provided below:
7 - 1
Total Estimated
Improvement Type Construction Cost
(a) Signalization and intersection
upgrading at Valley Park Drive
and TH 101 $ 220 , 000
(b) Signalization and intersection
upgrading at TH 101 and CR 83 180 , 000
(c) Signalization and intersection
upgrading at north-south collector
street and TH 101 215, 000
(d) Construct previously planned four
lane, 9-ton, urban design (excluding
storm sewer ) Valley Industrial Park
east-west roadway between Valley Park
Drive and CR 83 575 , 000
(e) Construct previously planned four
lane, 9-ton, urban design north-
south collector street from TH 101
south to 4th Avenue 225 , 000
( f) Widen CR 83 to a four lane, urban
design roadway from TH 101 to north
entrance to racetrack 185, 000 --
(g) Widen and overlay Valley Park Drive
to a four lane, 9-ton, urban/rural
roadway from TH 101 to proposed east-
west roadway intersection ( including
1, 000-foot urban extension) 345 , 000
(h) Widen and overlay Fourth Avenue to a
two lane, 9-ton, rural design roadway
from CR 83 to the proposed north-
south collector street including
right-turn and gravel shoulders 274, 000
( i ) Intersection improvements and signal_
revisions at TH 101 and CR 18 90 , 000
Total Construction Cost : $2 , 309 , 000
( j ) Engineering, Legal and Contingency
Costs 390 , 000
( k ) Additional right-of-way cost for
property not owned by the Company
or any related parties thereto 150 , 000
GRAND TOTAL: $2 ,849 , 000
7 - 2
All costs of the Offsite Improvements in excess of
$2, 900, 000 shall be the obligation of the Company unless
otherwise agreed. Any special assessment agreements exe-
cuted pursuant to this Section 7 . 2 shall be subject to the
following terms : ( i ) payment of any assessment levied upon
unimproved property shall be deferred, subject to the
applicable provisions of law, until the construction of
improvements on the properties assessed, and ( ii ) no inter-
est shall accrue with respect to any deferred payments
during the deferral period, and shall thereafter accrue and
be payable in the manner provided in the resolution autho-
rizing such assessments . The City and the Authority shall
construct the Offsite Improvements as necessary to coincide
with construction of the Minimum Improvements by the Com-
pany; in this regard, the Company shall keep the City and
Authority notified as to construction progress on the Mini-
mum Improvements . The obligation of the City and the
Authority to construct and install the Offsite Improvements
shall additionally be subject to the provisions of Section
7 . 3 .
Section 7 . 3 . Limitations on Financial Undertakings of
the City. The provisions of Sections 7 . 1 and 7 . 2 notwith-
standing, neither the City nor the Authority shall have any
obligation to the Company under this Agreement to issue the
Tax Increment Bonds or to commence or continue construction
of the Offsite Improvements except upon the continuing exis-
tence of the following conditions:
( i) The Company has been awarded the Franchise and
the Franchise remains in good standing and no material
and meritorious litigation has been commenced and is
continuing with respect to the Franchise or the Company
which, if resolved unfavorably to the Company, would
result either in revocation of the Franchise or in the
inability of the Company to proceed with the Project;
( ii) The City and the Authority are not entitled
under Section 10 . 02 to exercise any of the remedies set
forth therein as a result of an Event of Default; and
( iii) There has not been, nor does there occur , a
substantial change for the worse in the financial re-
sources and ability of the Company, or a substantial
decrease in the financing commitments secured by the
Company for construction of the Minimum Improvements,
which change( s) makes it substantially more likely, in
the reasonable judgment of the City and the Authority,
that the Company will be unable to fulfill its covenants
and obligations under this Agreement .
7 - 3
Section 7 . 4 . Use of Tax Increments . The Authority
shall be free to use any tax increments received from the
Tax Increment District for any purpose, consistent with any
covenants made with respect to the Tax Increment Bonds , for
which such increments may lawfully be used pursuant to the
provisions of Minnesota Statutes , Chapter 462 and Section
273 . 75, subd. 4, and the Authority shall have no obligations
to the Company with respect to the use of such increment . _
7 - 4
February 28, 1984
Dean Brunkow
508 Minnesota St.
Shakopee, MN 55379
Jeanne A. Andre and
Housing and Redevelopment Authority
129 E. 1st Ave.
Shakopee, MN 55379
Re: Mortgage dated 9-29-81 in the original amount of $7,200
Dear Ms. Andre:
I am currently refinancing my home located at 508 Minnesota St.
Shakopee, MN. I need the current balance on the above mentioned
note so that I can qualify for financing Please confirm this
figure in writing. I would also like to -request of you to sub-
ordinate this note to a new mortgage.
Please act on this request tonight, as time is of the essence.
Thank you for your anticipated co-operation.
Sificerely, /
Dean K. Brunkow
srt
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74.2
PROMISSORY NOTE FOR PAYMENT
UPON RESALE BY HOMEOWNER
FOR VALUE RECEIVED, Dean K. & Ingeborg Brunkow (Homeowner)
promises . to pay to the Housing and
Redevelopment Authority in and for the City of Shakopee (Authority)
Seven Thousand Two
or order, the principal sum of Hundred and no/100------- Dollars
($ 7200 ) , on the date of resale by the Homeowner of the property
located at 508 Minnesota Street , and described as Lot 9 , -
Block 3 , Macey Second Addition, Shakopee , Scott County, Minnesota .
Such principal sum shall be reduced automatically by twenty
percent (20%) of the initial amount at the end of each year of such
residency, as a Homeowner, and this note shall terminate at the end
of five (5) years of such residency, as determined by the Authority;
provided , however , that the amount payable under this note shall in
no event be more than the net profit on the resale , that is , the
amount by which the resale price exceeds the sum of (1) the Home-
owner' s purchase price , (2) the costs incidental to his acquisition
of ownership, (3) the costs of the resale , including commissions
and mortgage prepayment penalties ," if any, and (4) the increase in
value of the Home , determined by appraisal , due to improvements
paid for by the Homeowner.
Any amount Homeowner is required to pay Authority under the
terms of this note shall bear interest at the rate of eight percent
(87e) per annum from the date hereof .
If the Homeowner shall pay this note at the time and in the
manner set forth above , or if , by its provisions , the amount of
this note shall be zero (0) , then the note shall terminate and the
Authority shall , within thirty (30) days after written demand
therefor by the Homeowner, execute a release and satisfaction of
this note . The Homeowner hereby waives the benefits of all statutes
or laws which require the earlier execution or delivery of such
release and satisfaction by the Authority.
Presentment , protest and notice are hereby waived .
r
Dated : V g 19 F) )
By:
7sing and Redevelopment Authority
in an 'for the City of Shakopee
c and S . ITullAfider, Chairman
rt�i'Z.e.e 7 • ,�
Dolores M . Lebens , Secretary
State of Minnesota )
ss .
County of A114 )
On this day of j!f ,o� 19 ,f1 before me , a
notary public within and for said County personally appeared
Richard S . Hullander and Delores M. Lebens to me personally known ,
who , being each by me duly sworn did say that they are respectively
the Chairman and the Secretary of the Housing and Redevelopment
Authority in and for the City of Shakopee , the corporation named
in the foregoing instrument , and that said instrument was signed
on behalf of said corporation by authority of its members and said
Richard S . Hullander and Delores M. Lebens acknowledged said
instrument to be the free act and deed of said Housing and Redevelop-
ment Authority.
-».. . ....r.
JEANNE A. ANDRE
Notary Public•Minnesota
By : Hennwpin County
My Comm.Exp.bI=.
ZX
H eowner
t el C
omeo er e r
Subscribed and sworn to before me this day of ,
19
MODIFIED HOUSING AND REDEVELOPMENT PLAN
FOR
MINNESOTA RIVER VALLEY
HOUSING AND REDEVELOPMENT PROJECT NO. 1
(FORMERLY VALLEY INDUSTRIAL PARK
REDEVELOPMENT PROJECT NO. 1)
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE
CITY OF SHAKOPEE, MINNESOTA
APPROVED BY THE CITY COUNCIL
February 28, 1984
This document was drafted by: O'CONNOR & HANNAN
3800 IDS Tower
80 South Eighth Street
Minneapolis , Minnesota 55402
612/341-3800
MUNICIPAL ACTION TAKEN
Based upon the statutory authority described in the
Modified Housing and Redevelopment Plan attached hereto and
the public purpose findings by the Commissioners and for the
purpose of fulfilling the Authority ' s housing and redevelop-
ment objectives as set forth in the Modified Housing and
Redevelopment Plan, the Commissioners have created, estab-
lished and designated the Minnesota River Valley Housing and
Redevelopment Project No. 1 pursuant to and in accordance
with the requirements of Minnesota Statutes, Sections
462 . 411 through 462 . 716, inclusive, as amended ( the "Housing
and Redevelopment Act" ) .
The following municipal action was taken in connection
therewith:
January 2 , 1979 : The Redevelopment Plan for the Valley
Industrial Park Redevelopment Project No. 1 was adopted
by the City Council .
July 17 , 1979 : The Redevelopment Plan for the Valley
Industrial Park Redevelopment Project No. 1 was modified
by the City Council by expansion of the geographic area.
February 28, 1984 : The Redevelopment Plan for the Val-
ley Industrial Park Redevelopment Project No. 1 was
further modified by the City Council by expansion of the
project area and redesignation as Minnesota River Valley
Housing and Redevelopment Project No. 1 .
TABLE OF CONTENTS
(This Table of Contents is not part of the Modified
Housing and Redevelopment Plan and is only for convenience
of reference . )
PAGE
SECTION I . MODIFIED HOUSING AND REDEVELOPMENT PLAN
FOR MINNESOTA RIVER VALLEY HOUSING AND
REDEVELOPMENT PROJECT NO. 1
Subsection 1 . 1 . Definitions. • . . . . . . . . . . . . . . . . . . . .1-1
Subsection 1. 2 . Statement and Finding of Public
Purpose. . . . . . . . . . . . . . . . . . . . . . . . . . . .1-2
Subsection 1 . 3 . Statutory Authority. . . . . . . . . . . . . . . .1-4
Subsection 1 . 4 . Statement of Objectives . . . . . . . . . . . .1-5
Subsection 1 . 5 . Boundaries of Housing and
Redevelopment Project No . 1 . . . . . . . . 1-7
Subsection 1 . 6 . Parcels to be Acquired in Whole
or in Part Within Housing and
Redevelopment Project No. 1 . . . . . . . 1-10
Subsection 1.7 . Estimated Public Improvement
Costs and Supportive Data . . . . . . . . . 1-12
Subsection 1.8. Public Improvements and
Facilities Within Housing and
Redevelopment Project No. 1 . . . . . . . 1-12
Subsection 1 .9 . Environmental Controls . . . . . . . . . . . . 1-13
Subsection 1.10 . Proposed Reuse of Property. . . . . . . .1-13
Subsection 1 . 11 . Administration and Maintenance
of Housing and Redevelopment
Project No. 1 . . . . . . . . . . . . . . . . . . . . . 1-14
Subsection 1.12 . Rehabilitation. . . . . . . . . . . . . . . . . . . .1-14
Subsection 1 .13 . Relocation. . . . . . . . . . . . . . . . . . . . . . .1-14
Subsection 1 . 14. Redevelopment Obligations . . . . . . . . .1-14
EXHIBIT I-A Boundary Map of former Valley
Industrial Park Redevelopment
Project No. 1 As Established
on January 2 , 1979 . . . . . . . . . . . . . . . . . . . . . . I-A-1
EXHIBIT I-B Boundary Map of Modified
Valley Industrial Park
Redevelopment Project No. 1,
as Modified on July 17 , 1979 . . . . . . . . . . . . I-B-1
EXHIBIT I-C Boundary Map of redesignated
Modified Minnesota River Valley
Housing and Redevelopment
Project No. 1 as Modified
on February 28, 1984 . . . . . . . . . . . . . . . . . . . . I-C-1
( i)
APPENDIX A ADMINISTRATIVE GUIDE FOR THE ADMINISTRA-
TION OF THE MODIFIED HOUSING AND REDEVEL-
OPMENT PLAN FOR HOUSING AND REDEVELOPMENT
PROJECT NO. 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .A-1
Exhibit 1 Model Information Form to be Submitted
to the School Boards , Scott County
Board and the Minnesota Energy and
Economic Development Authority. . . . . . . . . . ( 1 )
( ii )
SECTION I .
MODIFIED HOUSING AND REDEVELOPMENT PLAN FOR
MINNESOTA RIVER VALLEY HOUSING AND
REDEVELOPMENT PROJECT NO. 1
Subsection 1. 1 . Definitions. The terms defined below
shall, for purposes of this Modified Housing and Redevelop-
ment Plan, have the meanings herein specified, unless the
context otherwise specifically requires:
"Authority" means this housing and redevelopment author-
ity created or authorized to be created by the Housing and
Redevelopment Act defined below.
"City" means the City of Shakopee, a municipal corpora-
tion and political subdivision of the State of Minnesota,
subject to the legal requirements of Chapter 412 of Minne-
sota Statutes relating to statutory cities .
"Commissioners" means the five commissioners consti-
tuting the Authority who are appointed by the Mayor , with
the approval of the City Council, as provided in §462 . 425,
Subd. 6 of the Housing and Redevelopment Act.
"Comprehensive Plan" means the City ' s comprehensive plan
submitted to the Metropolitan Council pursuant to Minnesota
Statutes, §473 .173, which contains the objectives, policies,
standards and programs to guide public and private land use,
development, redevelopment and preservation for all lands
and water within the City through 1990 .
"Council" means the City Council of the City, also re-
ferred to as the governing body as defined in Minnesota
Statutes, 5462. 421 , Subd. 5 .
"County" means the County of Scott , Minnesota .
"Housing and Redevelopment Act" means the statutes lo-
cated at Minnesota Statutes , §§462 . 411 through 462 . 716, in-
clusive, as amended.
"Housing and Redevelopment Authority" means this housing
and redevelopment authority created or authorized to be
created by Minnesota Statutes , §§462 . 415 to 462 . 705 .
"Housing and Redevelopment Project No. 1" means the
Minnesota River Valley Housing and Redevelopment Project No.
1, a "project" as said term is defined in Minnesota Stat-
utes, 9462 . 421, Subd. 13 .
1 - 1
"Modified Housing and Redevelopment Plan" means the plan
as modified from time to time by the Authority and the City
for the Housing and Redevelopment Project .
"Project" means Housing and Redevelopment Project No. 1 ,
the public improvements and facilities to be constructed
within Housing and Redevelopment Project No. 1 , as more
fully described in Subsection 1.8. of the Modified Housing
and Redevelopment Plan.
"Project Area" means the real property located within
the geographic boundaries of Housing and Redevelopment Proj-
ect No. 1.
"Redevelopment Plan" means the original plan approved on
January 2, 1979 and modified from time to time by the
Authority and the City for Housing and Redevelopment Project
No. 1 as defined in 5462 . 421, Subd. 15, of the Housing and
Redevelopment Act .
"Special Assessment Bonds" means the special assessment
bonds issued by the City to finance certain public improve-
ments within Housing and Redevelopment Project No. 1 pursu-
ant to the Modified Housing and Redevelopment Plan. The
term "Special Assessment Bonds" shall also include any obli-
gations issued to refund the Special Assessment Bonds .
"State" means the State of Minnesota.
"Tax Increment Bonds" means the general obligation tax
increment bonds issued and to be issued by the City to fi-
nance the public costs associated with Housing and Rede-
velopment Project No. 1 as stated in the Modified Housing
and Redevelopment Plan and in the Tax Increment Financing
Plans for the Tax Increment Districts within Housing and
Redevelopment Project No. 1. The term "Tax Increment Bonds"
shall also include any obligations issued to refund the Tax
Increment Bonds.
"Tax Increment District" means any tax increment dis-
trict presently established or to be established in the
future in Housing and Redevelopment Project No. 1 .
"Tax Increment Financing Act" means the statutory provi-
sions of Minnesota Statutes, §§273 . 71 through 273 . 78, inclu-
sive, as amended.
"Tax Increment Financing Plan" means the respective Tax
Increment Financing Plan for each Tax Increment District
located within the Project Area.
1 - 2
(SUBSECTION 1. 1 WAS ADOPTED AS A MODIFICATION TO THE
MODIFIED HOUSING AND REDEVELOPMENT PLAN ON FEBRAURY 28,
1984 . )
Subsection 1. 2 . Statement and Finding of Public Pur-
pose. The Commissioners of the Authority in and for the
City of Shakopee, Minnesota, have determined that there is a
need for housing, development and redevelopment within the
corporate limits of the City to provide employment opportu-
nities, to improve the tax base and to improve the general
economy of the State of Minnesota.
The Commissioners have determined that there is a need
for safe, decent, sanitary housing for all residents of the
City, particularly for the elderly and handicapped. There
is a need to provide an adequate housing supply for all
residents at a cost they can afford, particularly to provide
standard housing choices to persons and families of low and
moderate income. Therefore, the Commissioners have deter-
mined that certain parcels of property qualify as a "housing
project" pursuant to Minnesota Statutes , Section 462 . 421,
Subdivision 12 and as a "housing district" pursuant to Min-
nesota Statutes, Section 273 . 73, Subdivision 11.
The Commissioners have found that there are certain
parcels of property within the City which are potentially
more useful , productive and valuable than is being realized
under existing conditions , and, therefore, are not contrib-
uting to the tax base of the City to their full potential .
The Commissioners have determined that certain parcels of
property, substantially occupied by buildings , streets ,
utilities or other improvements, are deemed to be blighted
because fifty percent of the improvements are structurally
substandard to a degree requiring substantial renovation or
clearance or that twenty percent of the improvements are
structurally substandard and that another thirty percent of
these improvements require renovation or clearance due to
inadequate street layout, incompatible uses or land use
relationships, excessive diversity or obsolete buildings not
suitable for improvements or conversion. The Commissioners
have determined that certain parcels of property are deemed
to be blighted by virtue of conditions of unusual and diffi-
cult physical characteristics of the ground, which condi-
tions have prevented normal development of the land by pri-
vate enterprise, resulting in a stagnant and unproductive
condition of land potentially useful and valuable for con-
tributing to the public health, safety and welfare. There-
fore, the Commissioners have determined that certain parcels
of property qualify as a "redevelopment project" pursuant to
Minnesota Statutes, Section 462 . 421 , Subdivision 13 and as a
"redevelopment district" pursuant to Minnesota Statutes,
Section 273 . 73, Subdivision 10 .
1 - 3
The Commissioners have found that other parcels of prop-
erty do not qualify as housing or redevelopment districts as
defined above but do qualify as an "economic development
district" pursuant to Minnesota Statutes, Section 273 . 73,
Subd. 12 because the project or a portion of the project
will discourage commerce, industry or manufacturing from
moving operations to another state, will result in increased
employment or will result in preservation and enhancement of
the City ' s tax base.
The Commissioners have further determined that the es-
tablishment of Housing and Redevelopment Project No. 1 will
provide the Authority and the City with the ability to
achieve certain public purpose goals not otherwise obtain-
able in the foreseeable future without the intervention of
the Authority and the City in the normal development pro-
cess . These goals include: the restoration and improvement
of the tax base and the tax revenue generating capacity of
the housing and redevelopment project , increased employment
opportunities, the availability of safe healthful housing
for all residents, the realization of comprehensive planning
goals, the removal of blighted conditions, and the revitali-
zation of the property within the housing and redevelopment
project to create an attractive, comfortable, convenient and
efficient area for industrial, commercial and related uses .
(SUBSECTION 1 . 2 WAS ADOPTED AS A MODIFICATION TO THE
MODIFIED HOUSING AND REDEVELOPMENT PLAN ON FEBRAURY 28,
1984) .
Subsection 1 . 3 . Statutory Authority. THE HOUSING AND
REDEVELOPMENT ACT. The Authority has determined that it is
desirable and in the public interest to designate a specific
area within the corporate limits of the City as Housing and
Redevelopment Project No. 1 and to establish, modify and
administer a housing and redevelopment plan ( the "Modified
Housing and Redevelopment Plan" ) for Redevelopment Project
No. 1.
Financing of the housing portions of Housing and Rede-
velopment Project No. 1 for the handicapped and the elderly
and for single family and multi-family housing, including
both low and moderate income housing, will be accomplished,
in part, through issuance of Chapter 462C and Section
462 . 445, Subdivisions 10 , 11 and 12 bonds or other obliga-
tions . Housing bonds or other housing obligations that were
approved by official action of the City or Authority before
April 25, 1979 , and exempted from the provisions of the
Mortgage Subsidy Bond Tax Act of 1980 , P.L. 96-499 , pursuant
to Section 1104(b) were issued without regard to the re-
strictions of Section 462C. 07, Subd. 2 as provided by
Section 462C. 10 .
1 - 4
The financing of certain public improvements to be made
within Housing and Redevelopment Project No. 1 shall be
accomplished, in part, through the use of funds which may be
available to the Authority from any source, including funds
furnished to the Authority by the City which may include the
proceeds of bonds issued by the City, pursuant to Section
462. 581( 9) of the Housing and Redevelopment Act, to pay all
or any part of the Authority of activities authorized by
Section 462 . 445 , Subdivision 1, Clause 7 of the Housing and
Redevelopment Act.
THE MINNESOTA TAX INCREMENT FINANCING ACT. The Tax
Increment Financing Act provides the procedure for the
establishment of tax increment districts for the use of tax
increment financing authorized by the Housing and Redevelop-
ment Act described above for the funding of qualified public
activities and improvements .
The Tax Increment Financing Act authorizes the estab-
lishment within any tax increment district within Housing
and Redevelopment Project No. 1 one or more of the following
types of tax increment districts : ( i) a redevelopment dis-
trict; ( ii) a housing district; and/or ( iii ) an economic
development district. The requirements for establishing
each of the above are set forth in Section 273 .73 , Subdivi-
sions 10, 11 and 12, respectively, of the Tax Increment
Financing Act . The Tax Increment Financing Act also desig-
nates, for each of the above types of tax increment dis-
tricts, the limitations and requirements that apply to ac-
tivities and public improvements which can be financed for
each type of tax increment district .
The modification of each tax increment financing plan
shall be governed by the requirements of Section 273 . 74,
Subd. 4, of the Tax Increment Financing Act, and the City
Council, by this Modified Housing and Redevelopment Plan,
hereby will establish the last subsection of each tax incre-
ment financing plan for each tax increment district as the
subsection in which any modifications to the tax increment
financing plan are stated. Appendix B of this Redevelopment
Plan is hereby designated as the place where copies of each
resolution passed by the Council modifying in any manner the
Modified Housing and Redevelopment Plan or any tax increment
financing plan shall be located and shall become a part of
this Modified Housing and Redevelopment Plan.
Subsection 1 . 4. Statement of Objectives . The Authority
and the City seek to achieve the following specific objec-
tives as to appropriate land uses and to serve as an outline
of general standards of development and redevelopment :
1 - 5
(AS ORIGINALLY ADOPTED ON JANUARY 2, 1979 ) .
The Housing and Redevelopment Authority and the City of
Shakopee through this Redevelopment Plan, seek to achieve
the following objectives :
a. To provide logical and organized land use
for the area consistent with the City comprehensive
plan and zoning ordinance.
b. To eliminate blighting influences which
to date have impeded potential development in the
area.
C. To provide safe and adequate drainage in
this area.
d. To provide adequate utilities and other
public improvements and facilities to enhance the
area for both new and existing development .
e. To stimulate commercial and industrial
development in the Project area and in the City.
f . To provide increased employment and to
supplement the financial and property tax base of
the City.
g. To provide maximum opportunity, consis-
tent with the sound needs of the City as a whole,
for redevelopment by private enterprise.
(OBJECTIVES WERE FURTHER EXPANDED ON FEBRUARY 28, 1984)
h. To encourage planning and development of
a desirable and unique character within Housing and
Redevelopment Project No. 1 through quality land
use alternatives and design quality in new and
remodeled buildings and residences , in a manner
consistent with the comprehensive plan of the City
and with a minimum adverse impact on the environ-
ment.
i . To acquire certain property within Hous-
ing and Redevelopment Project No. 1 which is not
now in productive use or in its highest and best
use, to make soil corrections on said property and
to construct public improvements on said property,
thereby promoting and securing the development of
other land in the City.
1 - 6
j . To subdivide and sell or lease the im-
proved property to private developers, including
new, small and/or local businesses, which will pro-
vide increased employment opportunities in the City
and the surrounding area and increase the tax base
of those taxing jurisdictions within which Housing
and Redevelopment Project No. 1 is located, in
order to better enable such entities to pay for
governmental services and programs required to be
provided by them.
k. To provide safe, decent, sanitary housing
for all residents of the City at a cost they can
afford.
1. To provide additional new housing units
so as to accomodate the needs of expanding commer-
cial and industrial employment base including high-
quality housing choices to persons and families of
low and moderate income.
M. To provide sound residential neighbor-
hoods that are ascetically developed, well located
and adequately serviced with municipal utilities
and amenities .
n. To provide the impetus for residential
development by private enterprise consistent with
the goals of the Authority and the City including
the policies, present and future housing needs, and
housing allocation plans and implementation pro-
grams of the Housing Element of the Metropolitan
Development Guide of the Metropolitan Council of
the Twin Cities Area.
Subsection 1 . 5 . Boundaries of Redevelopment Project No.
1.
Boundaries of Redevelopment Plan for the Valley
Industrial Park Redevelopment Project No. 1 as
established on January 2, 1979
(SEE EXHIBIT I-A FOR BOUNDARY MAP. ) The property
which comprised the original Valley Industrial Park
Redevelopment Project No. 1 is legally described as
follows :
Lot 1, Block 1, Valley Park, 3rd Addi-
tion, City of Shakopee, Minnesota; and
Boundaries of Redevelopment Project No. 1 were
modified on July 17 , 1979 to include the follow-
ing: (SEE EXHIBIT I-B FOR BOUNDARY MAP. )
1 - 7
The Right of way of County Road 83 South-
erly of Trunk Highway 101 and northerly
of County Raod 16 ; Lot 1, Block 1, Valley
Third Addition; and Lot 13, Block One,
Valley Park Fifth Addition; and the West
1/2 of Section 9, Township 115, Range 22,
except that part of the West 1/2 of Sec-
tion 9, Township 115, Range 22, Southerly
of the centerline of County Road 16; all
lying within the City of Shakopee, Scott
County, Minnesota.
Increased Geographic Area of Housing and Redevelop-
ment Project No. 1 as Modified on February 28,
1984. ( SEE EXHIBIT I-C FOR BOUNDARY MAP. )
(The boundaries of Redevelopment Project No. 1 as
modified on July 17, 1979 are included in the ex-
panded project area)
Section 31, 32, 33 , 34, 35 and 36, Town-
ship 116, Range 22 south of the Minnesota
River, Scott County, Minnesota.
That part of Section 1, 2, 3 , 4, 5 , 10
and 11, Township 115, Range 22 , Scott
County, Minnesota, lying northerly of the
southerly right of way of the Trunk High-
way 101 Bypass as recorded in Document
Number 179496 in the office of the Scott
County Recorder .
That part of Section 12, Township 115,
Range 22, Scott County, Minnesota lying
northerly of the following described
line:
Beginning at the Southwest Corner of the
Northwest Corner of said Section 12,
thence northerly to the southerly right
of way of the Trunk Highway 101 Bypass as
recorded in Document Number 179496 in the
office of the Scott County Recorder, to
the true point of beginning, thence east-
erly along said southerly right of way to
the intersection with the southerly right
of way of Trunk Highway 101, thence east-
erly along said Trunk Highway 101 right
of way to the East line of said Section
12 and there terminating.
1 - 8
That part of the East Half of Section 9,
Township 115, Range 22, Scott County,
Minnesota, lying northerly of the south-
erly right of way of the Trunk Highway
101 Bypass as recorded in Document Number
179496 in the office of the Scott County
Recorder .
That part of the West Half of Section 9 ,
Township 115 , Range 22 , Scott County,
Minnesota, lying northerly of the south-
erly right of way of County Road No. 16 .
That part of the West Half of Section 9 ,
Township 115, Range 22 , Scott County,
Minnesota, lying northerly of the south-
erly right of way of the Trunk Highway
101 Bypass as recorded in Document Number
179496 in the office of the Scott County
Recorder .
The South Half of the North Half of Sec-
tion 7 , Township 115, Range 22 , Scott
County, Minnesota.
That part of the South Half of Section 7,
Township 115 , Range 22, Scott County,
Minnesota, lying northerly of the south-
erly right of way of the Trunk Highway
101 Bypass as recorded in Document Number
179496 in the office of the Scott County
Recorder .
That part of Section 8, Township 115 ,
Range 22, Scott County, Minnesota, lying
northerly of the southerly right of way
of the Trunk Highway 101 Bypass as re-
corded in Document Number 179496 in the
office of the Scott County Recorder ex-
cepting therefrom:
The Northwest Quarter of the North-
west Quarter of Section 8 lying
southerly of the southerly right of
way of County Road No. 16 .
Section 6, Township 115 , Range 22, Scott
County, Minnesota, and Section 1 and
Section 2, Township 115 , Range 23, Scott _
County, Minnesota, excepting therefrom:
1 - 9
Hesse ' s First Addition to Shakopee,
Scott County, Minnesota; Hesse' s
Second Addition to Shakopee, Scott
County, Minnesota; Scenic Heights
4th Add ' n, Scott County, Minnesota;
and that part of Section 6 , Township
115, Range 22 , Scott County, Minne-
sota, and that part of Section 1 and
Section 2, Township 115 , Range 23 ,
Scott County, Minnesota, lying
southerly and westerly of the fol-
lowing described line:
Beginning at the Southeast Corner of
Section 6, Township 115 , Range 22 ,
Scott County, Minnesota, thence
westerly along the south line of
said Section 6 to the westerly right
of way of County Road No. 17 to the
true point of beginning, thence
northerly along said County Road No.
17 right of way to the northeast
corner of Lot 2, Block 2 , Furrie ' s
2nd Addition, Scott County, Minne-
sota, thence westerly along the
southerly right of way of Third Ave-
nue to the northwest corner of Lot
- 1 , Block 2 of said Furrie ' s 2nd
Addition, which point bears North 10
Degrees 24 Minutes 14 Seconds West
from the Southwest corner of said
Lot 1, a distance of 148. 69 feet,
thence westerly to the northeast
corner of Lot 6, Block 28, East
Shakopee, Scott County, Minnesota,
thence westerly along the south
right of way of Third Street to the
northwest corner of Lot 10 , Block 4,
of said East Shakopee, thence west-
erly to the northeast corner of Lot
6 , Block 166, Shakopee City, Scott
County, Minnesota thence westerly
along the southerly right of way of
Third Street to the northwest corner
of Lot 10 , Block 49 , of said
Shakopee City, thence southerly
along the easterly right of way of
Holmes Street to the northwest cor-
ner of Lot 10 , Block 56 of said
Shakopee City, thence westerly along
the southerly right of way of Fourth
Street to the northwest corner of
1 - 10
Court House Square thence southerly
along the easterly right of way of
Fuller Street to the northwest cor-
ner of Lot 10 , Block 73 of said
Shakopee City, thence westerly along
the southerly right of way of Fifth
Street to the northeast corner of
Lot 6, Block 71 , Shakopee City,
thence northerly along the westerly
right of way of Atwood Street to the
northeast corner of Lot 6 , Block 46
of said Shakopee City, thence west-
erly along the southerly right of
way of Third Street to the northwest
corner of Lot 10 , Block 174 of said
Shakopee City, thence westerly to
the northeast corner of Lot 2 , Block
One Wiggin ' s First Addition, Scott
County, Minnesota, thence westerly
along the southerly right of way of
Third Avenue to the northwest corner
of Lot 1, of said Block One, which
point is the northeast corner of Lot
11, Block 4 , Koeper ' s Addition,
Scott County, Minnesota, thence
westerly along the southerly right
of way of Third Street to the north-
west corner of Lot 12, Block 9 , of
said Koeper ' s Addition, thence west-
erly to the northeast corner of Out
Lot "A" , Husman Addition, Scott
County, Minnesota, thence westerly
along the southerly right of way of
3rd Street to the northwest corner
of Out Lot "D" thence southwesterly
along the southeast right of way of
the C. St . P. M. & 0. Railroad to
the west line of Government Lot 7 ,
Section 2 , Township 115 , Range 23,
Scott County, Minnesota and there
terminating.
Subsection 1 . 6 . Parcels to be Acquired in Whole or in
Part Within Housing and Redevelopment Project No. 1. The
following parcels of property will be acquired by the
Authority to be included within Housing and Redevelopment
Project No. 1 :
(AS ORIGINALLY ADOPTED ON JANUARY 2 , 1979 )
It is anticipated that it will be necessary to
acquire the property in the Redevelopment Project Area
1 - 11
immediately upon approval of these plans, and to enter
into contracts to provide moneys for this purpose using
the land as security for the repayment of such moneys .
All new development on land acquired by the Housing and
Redevelopment Authority in the Redevelopment Project
shall be industrial and/or commercial . It is estimated
that the cost of acquiring the property described below,
through negotiation or condemnation, will be approxi-
mately $1, 100 , 000 .
Lot 1, Block 1, Valley Park, 3rd Addition,
City of Shakopee, Minnesota; and
(AS MODIFIED ON FEBRUARY 28, 1984 )
The Northeast Quarter of the Southeast Quarter of
Section 5, Township 115 , Range 22 , Scott County,
Minnesota excepting therefrom:
The West 150 . 00 feet of the north 333 . 00 feet
of the Northeast Quarter of the Southeast
Quarter of Section 5, Township 115, Range 22 .
The South Half of the Southeast Quarter of Section
5, Township 115, Range 22, Scott County, Minnesota.
The Southwest Quarter of the Southwest Quarter of
Section 4, Township 115, Range 22, Scott County,
Minnesota.
That part of the East Half of the Northeast Quarter
of Section 8, Township 115, Range 22, Scott County,
Minnesota, lying northerly of the centerline of
County Road No. 16 .
The Northwest Quarter of Section 9 , Township 115 ,
Range 22 , Scott County, Minnesota excepting there-
from:
The south 400 feet of the west 100 feet of the
South Half of the Northwest Quarter .
The East Half of the Southwest Quarter of
Section 9 , Township 115 , Range 22, Scott
County, Minnesota, lying northerly of the
centerline of County Road No. 16 .
1 - 12
Subsection 1.7 . Estimated Public Improvement Costs and
Supportive Data.
(AS ORIGINALLY ADOPTED ON JANUARY 2 , 1979 )
The estimated costs of the public improvements to be
made within the original Valley Industrial Park Redevelop-
ment Project No. 1 and financed by tax increments derived
from the tax increment district within Valley Industrial
Park Redevelopment Project No. 1 are as follows :
Estimated costs of Housing and
Redevelopment Authority $ 3,650, 000*
* Includes capitalized interest
Estimated costs of Redevelopment
Project to be financed by the
private developer 15, 000 , 00
Estimated annual debt service 630 , 000
Estimated annual tax increment 700 , 000
Estimated Tax Increment Revenue Bond Issue
It is estimated that the City will have to issue
tax increment revenue bonds to finance the public rede-
velopment cost of the Project of $1 ,120 ,000 and the
costs to be incurred by the City in aid of the Redevel-
opment Project of $1, 205,000 . It is estimated that the
bond issue will be in the amount of $3,650 , 000 in order
to provide moneys needed to pay interest on the bonds
until tax increments to be derived from the Redevelop-
ment Project are available to pay debt service.
(THE FOLLOWING LANGUAGE WAS ADDED ON FEBRUARY 28, 1984 )
It is estimated that additional on-site and off-site
public improvements , including administrative costs ,
capitalized interest and bond issuance costs to be paid
through the Authority will not exceed eleven million
dollars. Specific costs relating directly to each type of
public improvement is given in the cost subsection of the
tax increment financing plan for each tax increment
district.
Subsection 1 .8. Public Improvements and Facilites
Within Housing and Redevelopment Project No. 1 .
(AS ORIGINALLY ADOPTED ON JANUARY 2 , 1979 )
The cost of the Redevelopment Project to be paid by
the City, and of public improvements to be constructed
1 - 13
by the City in aid of the Project, and the anticipated
proceeds to be received by the City from the disposition
of the property within the Redevelopment Project, are
estimated to be as follows:
Public Redevelopment Cost
Land Acquisition $1 , 100 , 000
Site Preparation 720 ,000
Site Improvements 400 , 000
2 , 220 , 000
Less: Anticipated Sale Proceeds 1, 100 , 000
$1, 120 , 000
Costs Incurred in Aid of Project
Utilities - water , sewer , etc. $ 700 , 000
Water Storage Tank 1, 100 , 000
Municipal Well 250 , 000
Administrative and Planning 25 , 000
Fiscal and Legal 30 , 000
$2 , 105 , 000
(AS MODIFIED ON FEBRUARY 28, 1984)
Included in the type of on-site and off-site public
improvements estimated as to cost in subsection 1 .7 above
may be the following: land acquisition, earthwork and grad-
ing, site lighting and fencing, open space amenities , side-
walk, curb and gutter , watermains, sanitary and storm
sewers, roads and parking, other eligible site preparation
work, land sale and Environmental Impact Statement . The
above is not intended to convey the order in which the above
improvements are to be completed or to convey which improve-
ments will ultimately be financed by the Authority or the
developer .
Subsection 1.9 . Environmental Controls . The proposed
development in Housing and Redevelopment Project No. 1 does
not present significant environmental concerns . All munici-
pal actions , public improvements and private development
shall be carried out in a manner consistent with existing
environmental standards .
Subsection 1. 10 . Proposed Reuse of Property. The Mod-
ified Housing and Redevelopment Plan does not contemplate
the acquisition of private property until such time as a
private developer presents an economically feasible program
for the reuse of that property. Proposals for the reuse of
private property must be within the framework of the above
cited goals and objectives of the Authority and the City.
Acquisition and sale of certain private property by the
Authority shall be subject to a binding contract with the
purchaser incorporating appropriate restrictions regarding
the reuse and redevelopment of the property. Before approv-
1 - 14
ing any such contract or sale, the Authority shall be satis-
fied that adequate funds will be available to repay the
public costs associated with the proposed acquisition.
Subsection 1 . 11 . Administration and Maintenance of
Housing and Redevelopment Project No. 1 . Maintenance and
operation of the public improvements in Housing and Redevel-
opment Project No. 1 will be the responsibility of the
Director of the Authority in and for the City ( the "Admin-
istrator" ) . The Administrator will administer Housing and
Redevelopment Project No. 1 pursuant to the provisions of
the Housing and Redevelopment Act; provided, however, that
such powers may only be exercised at the direction of the
Authority. These administrative responsibilities are
spelled out in Appendix A immediately following this Mod-
ified Housing and Redevelopment Plan. No action taken by
the Administrator pursuant to the above-mentioned powers
shall be effective without authorization by the Authority.
Subsection 1. 12 . Rehabilitation. Owners of properties
within Housing and Redevelopment Project No. 1 will be en-
couraged to rehabilitate their properties to conform with
the applicable state and local codes and ordinances, as well
as any design standards. Owners of properties who purchase
property within Housing and Redevelopment Project No. 1 from
the Authority may be required to rehabilitate their proper-
ties as a condition of the sale of the land. The Authority
will provide such rehabilitation assistance as may be avail-
able from federal, state or local sources .
Subsection 1. 13 . Relocation. The Authority accepts its
responsibility for providing assistance for relocation ac-
tivities pursuant to Section 462. 531 of the Housing and
Redevelopment Act.
Subsection 1.14. Redevelopment Obligations .
(AS ORIGINALLY ADOPTED ON JANUARY 2 , 1979) .
The general requirements to be imposed upon the redevel-
oper are:
a. To redevelop the land within the Project in
accordance with this Redevelopment Plan and the Redevel-
opment Agreement.
b. To submit all construction plans to the Hous-
ing and Redevelopment Authority for review and approval .
C. To commence and complete the construction of
improvements within such reasonable period of time as
determined by the Housing and Redevelopment Authority.
1 - 15
d. To provide guarantees for the performance of
its obligations under the Redevelopment Agreement .
e. Not to discriminate on the basis of race,
color, creed, sex or national origin in the construction
of the facility or in the employment of personnel .
f. To devote the land only to the uses permitted
by this Redevelopment Plan for a period of twenty ( 20 )
years from the date of the conveyance by the Housing and
Redevelopment Authority.
g. To pay promptly when due all real estate taxes
and special assessments .
h. To take no action which would cause the prop-
erty within the Project to become exempt from real es-
tate taxation for so long as tax increment revenue bonds
are outstanding.
i . To comply with all applicable provisions of
the Municipal Housing and Redevelopment Act , Minnesota
Statutes, Section 462 . 411, et seq.
(AS OF FEBRUARY 28, 1984, Subsection 1. 14 (F)
was deleted and the following language
substituted therefor )
( f) The Authority reserves the right to devote any
or all land described in the Housing and Redevelopment
Plan to the uses permitted by this Plan and by statute
for the period of years appropriate to the parcel ( s ) and
as authorized by statute.
1 - 16
The following tax increment districts will be incorpo-
rated into Minnesota River Valley Housing and Redevelopment
Project No. 1 and will be identified as follows :
Tax Increment District No. 1 :
K-Mart Tax Increment District
Adopted: January 2 , 1979
Modified: July 17 , 1979
Tax Increment District No. 2 :
Elderly Highrise Redevelopment Project
Adopted: August 21 , 1979
Modified: December 22, 1981
Tax Increment District No. 3 :
Downtown Tax Increment Financing District No. lA
Adopted: June 29 , 1982
Tax Increment District No. 4 :
Proposed only -- for Shakopee Racetrack project.
1 - 17
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APPENDIX A
ADMINISTRATIVE GUIDE
FOR THE ADMINISTRATION OF THE MODIFIED HOUSING
AND REDEVELOPMENT PLAN FOR HOUSING AND REDEVELOPMENT
PROJECT NO. 1
The Authority has, pursuant to Section I , Subsection
1.11 of the Modified Housing and Redevelopment Plan, desig-
nated the Director of the Authority in and for the City to
serve as Administrator of the Modified Housing and Redevel-
opment Plan for Housing and Redevelopment Project No. 1 as
authorized by §462. 445, Subd. 1( 2 ) of the Housing and Rede-
velopment Act to supervise the maintenance and operation of
public improvements and activities financed by the Tax In-
crement Districts within Housing and Redevelopment Project
No. 1 .
ADMINISTRATIVE POWERS
The Administrator will administer the Modified Housing
and Redevelopment Plan pursuant to the provisions of Sec-
tions 462 . 411 through 462 . 716 , inclusive, as amended, of the
Housing and Redevelopment Act. Subject to the authorization
and approval of the Board of Commissioners, the Administra-
tor shall administer , pursuant to §462 . 445, subd. 1, ( 1)
through (9 ) , the following powers of the Authority:
( 1) To sue and be sued; to have a seal, which
shall be judicially noticed, and to alter the same at
pleasure; to have perpetual succession; and to make, and
from time to time amend and repeal, rules and regula-
tions not inconsistent with these sections;
( 2) To employ an executive director, technical
experts , and such officers, agents and employees , perma-
nent and temporary, as it may require, and determine
their qualifications, duties, and compensation; for such
legal services as it may require, to call upon the chief
law officer of the municipality or to employ its own
counsel and legal staff; so far as practicable, to use
the services of local public bodies, in its area of
operation, such local public bodies, if requested, to
make such services available;
( 3) To delegate to one or more of its agents or
employees such powers or duties as it may deem proper ;
( 4) Within its area of operation to undertake,
prepare, carry out, and operate projects and to provide
A - 1
for the construction, reconstruction, improvement, ex-
tension, alteration, or repair of any project or part
thereof;
( 5) Subject to the provisions of section 462 . 511,
to give, sell , transfer , convey or otherwise dispose of
real or personal property or any interest therein and to
execute such leases, deeds, conveyances, negotiable
instruments, purchase agreements, and other contracts or
instruments, and take such action, as may be necessary
or convenient to carry out the purposes of these sec-
tions; 1
(6) Within its area of operation to acquire real
or personal property or any interest therein by gifts,
grant, purchase, exchange, lease, transfer , bequest ,
devise, or otherwise, and by the exercise of the power
of eminent domain in the manner or otherwise, and by the
exercise of the power of eminent domain, in the manner
provided by Minnesota Statutes 1945 , Chapter 117 , and
any amendments thereof or supplements thereto, to ac-
quire real property which it may deem necessary for its
purposes under these sections, after the adoption by it
of a resolution declaring that the acquisition of the
real property is necessary to eliminate one or more of
the conditions found to exist in the resolution adopted
pursuant to section 462 .425 or found to exist by section
462.425, subdivision 5 , or is necessary to carry out a
redevelopment project as defined in section 462 . 321,
subdivision 13;
(7) Within its area of operation, and without the
adoption of an urban renewal plan, to acquire, by all
means as set forth in clause ( 6 ) of this subdivision,
including by the exercise of the power of eminent do-
main, in the manner provided by chapter 117, and without
the adoption of a resolution provided for in subdivision
1, clause (6) , real property, and to demolish, remove,
rehabilitate or reconstruct the buildings and improve-
ments or construct new buildings and improvements
thereon, or to so provide through other means , as set
forth in Laws 1974, Chapter 228, or to grade, fill and
construct foundations or otherwise prepare the site for
improvements, and to dispose of said property pursuant
to section 462 . 525 , provided that the provisions of
section 462 . 525 requiring conformance to an urban re-
newal plan shall not apply, and to finance such activ-
ities by means of the redevelopment project fund or by
means of tax increments or tax increment bonds or by the
methods of financing provided for in section 462 . 525 or
by means of contributions from the municipality provided
for in section 462 . 581, clause (9 ) , or by any combina-
A - 2
tion of such means; provided that , real property with
buildings or improvements thereon shall only be acquired
when the buildings or improvements are substandard; and
provided further that the exercise of the power of emi-
nent domain under this clause shall be limited to real
property which contains buildings and improvements which
are vacated and substandard. For the purpose of this
subparagraph, substandard buildings or improvements mean
buildings or improvements that are dilapidated or ob-
solescent, faultily designed, lack adequate ventilation,
light, or sanitary facilities, or any combination of
these or other factors that are detrimental to the
safety or health of the community;
(8) Within its area of operation to determine the
level of income constituting low or moderate family
income. Such income level shall be that level below
which there is not available within the area of opera-
tion a substantial supply of decent , safe and sanitary
housing provided by private enterprise without subsidy
at prices or rents within the financial means of persons
and families of such incomes . The authority may estab-
lish various income levels for various family sizes . In
making its determination the authority may consider
income levels which may be established by the federal
housing administration or a similar or successor federal
agency for the purpose of federal loan guarantees or
subsidies for persons of low or moderate income. The
authority may use such determination as a basis for the
maximum amount of income for admissions to housing de-
velopment projects owned or operated by it;
(9 ) To provide in federally assisted projects such
relocation payments and assistance as may be necessary
to comply with the requirements of the Federal Uniform
Relocation Assistance and Real Property Acquisition
Policies Act of 1970 , and any amendments or supplements
thereto.
PROCEDURAL REQUIREMENTS
1. All actions taken by the Administrator pursuant to
the above-mentioned powers shall be carried out within the
statutory requirements for a Housing and Redevelopment
Authority as given in Minnesota Statutes, Sections 462 . 411
through 462 .716 .
2 . An amount not exceeding ten percent ( 10%) of the
total tax increment expenditures authorized by the tax in-
crement financing plan( s) or the total tax increment expen-
ditures for the project , whichever is less , can be used to
pay any administrative expenses for a project .
Minnesota Statutes, §273 . 75, Subd. 3 .
A - 3
3 . Administrative expenses include amounts paid for
services provided by bond counsel, fiscal consultants, and
planning or economic development consultants . Administra-
tive expenses do not include amounts paid for the purchase
of land or amounts paid to contractors or others providing
materials and services, including architectural and engi-
neering services, directly connected with the physical de-
velopment of the real property in the project, relocation
benefits paid to or services provided for persons residing
or businesses located in the project, or amounts used to pay
interest on, fund a reserve for, or sell at a discount bonds
issued pursuant to section 273.77 .
Minnesota Statutes, §273.73, Subd. 13 .
4 . Following Council approval of a tax increment
financing plan for a tax increment district, the Administra-
tor shall request the County Auditor to certify the original
assessed value of the tax increment district .
Minnesota Statutes §273 . 74, Subd. 3 .
5 . Upon adoption by the Council of the tax increment
financing plan for a tax increment district, the Administra-
tor shall file a copy of the tax increment financing plan
with the Minnesota Energy and Economic Development Author-
ity.
Minnesota Statutes, §273 .74, Subd. 2 .
The plans should be addressed as follows :
Minnesota Energy and Economic
Development Authority
Division of Community Development
9th Floor, American Center Building
150 East Kellogg Blvd.
St. Paul, Minnesota 55101
Attention: Michael Auger
6 . The Administrator shall seek modification of a tax
increment financing plan for a tax increment district by the
process required for approval of the original tax increment
financing plan if the Authority seeks to do any of the fol-
lowing:
(a) reduce or enlarge the geographic area of the
tax increment district ( the geographic area can be re-
duced but not enlarged after five ( 5) years following
certification to the original assessed value of the tax
increment district) ;
(b) increase the amount of bonded indebtedness to
be incurred;
A - 4
(c) increase the portion of captured assessed
value to be retained by the City;
(d) increase the total estimated tax increment
expenditures; or
(e) designate additional property to be acquired
by the Authority.
Minnesota Statutes §273. 74, Subd. 4.
7 . on or before July 1 of each year, the Administrator
shall submit to the Scott County Board, all affected school
boards, and to the Minnesota Energy and Economic Development
Authority a report of the status of each tax increment dis-
trict in Housing and Redevelopment Project No. 1 . The in-
formation to be included in the report is given in the model
form attached hereto as EXHIBIT 1 .
8 . An annual statement showing the tax increment re-
ceived and expended in that year , the original assessed
value, the captured assessed value, the amount of outstand-
ing bonded indebtedness and any additional information the
Authority deems necessary shall be published in the official
newspapers of the City.
Minnesota Statutes §273. 74 , Subd. 5 .
9 . All revenues derived from each tax increment dis-
trict shall be used in accordance with the tax increment
financing plan. The revenues shall be used for the follow-
ing purposes :
1. to pay the principal of and interest on bonds
issued to finance a project;
2 . to finance or otherwise pay the capital and
administration costs of Housing and Redevelopment Proj-
ect No. 1 pursuant to the Housing and Redevelopment Act;
3 . to accumulate and maintain a reserve in a
special development account for the payment of the prin-
cipal of and interest on bonds issued to finance a pro-
ject;
4. to pay for project costs as identified; and
5 . to finance or otherwise pay for other purposes
as provided in Section 273 . 75, Subd. 4, of the Tax In-
crement Financing Act.
These revenues shall not be used to circumvent any levy
limits .
Minnesota Statutes, §273 .75 , Subd. 4 .
A - 5
10 . In the year in which the tax increments exceed the
amount necessary to pay the costs authorized by the tax
increment financing plans, including the amount necessary to
cancel any tax levy as provided . in Minnesota Statutes , Sec-
tion 475 .61, Subd. 3 , the Authority shall use the excess
amount to:
1. prepay any outstanding bonds;
2 . discharge the pledge of tax increment there-
for;
3 . pay into an escrow account dedicated to the
payment of such bonds; or
4. return the excess amount to the County Auditor
for distribution as provided in Section 273 . 75 , Subd. 2 ,
of the Tax Increment Act .
Minnesota Statutes , §273 . 75 , Subd. 2 .
11 . Pursuant to Section 273 .75 , Subd. 1, of the Tax
Increment Financing Act :
1. No tax increments shall be paid to the City
for the tax increment districts after three ( 3) years
from the date of certification of the original assessed
value of the taxable property in the tax increment dis-
tricts by the County Auditor unless within the
three( 3)-year period: (a) bonds have been issued pursu-
ant to Section 273.77 or in aid of a project pursuant to
any other law, except revenue bonds issued pursuant to
Chapter 474 prior to August 1, 1979, or (b) the Author-
ity has acquired property within the tax increment dis-
tricts or (c) the City has constructed or caused to be
constructed public improvements within the tax increment
districts .
2 . The tax increments pledged to the payment of
bonds and interest thereon may be discharged and the tax
increment districts may be terminated if sufficient
funds have been irrevocably deposited in the debt ser-
vice fund or other escrow account held in trust for all
outstanding bonds to provide for the payment of the
bonds at maturity or redemption date.
3 . No tax increments shall in any event be paid
to the City from the tax increment districts after eight
( 8) years from the date of the receipt by the City of
the first tax increment or ten ( 10 ) years from approval
of each tax increment financing plan, whichever is
less. Modification of each tax increment financing plan
A - 6
pursuant to Section 273. 74 , Subd. 4, of the Tax Incre-
ment Financing Act shall not extend the durational
limits of that provision. (Once the Authority deter-
mines the term of the tax increment district , that term
shall govern. )
4 . If, after five ( 5 ) years from the date of
certification of the original assessed value of the tax
increment districts pursuant to Section 273 . 76 of the
Tax Increment Financing Act, no demolition, rehabil-
itation or renovation of property or other site prepara-
tion, including improvement of a street adjacent to a
parcel but not installation of an underground utility
service, has been commenced on a parcel located within
the tax increment districts by the City or by the owner
of the parcel in accordance with the tax increment
financing plans , no additional tax increments may be
taken from that parcel, and the original assessed value
of that parcel shall be excluded from the original
assessed value of the Tax Increment Districts . If the
City or the owner of the parcel subsequently commences
demolition, rehabilitation or renovation or other site
preparation on that parcel, including improvement of a
street adjacent to that parcel, in accordance with the
tax increment financing plans, the authority shall cer-
tify to the County Auditor that the activity has com-
menced, and the County Auditor shall certify the as-
sessed value thereof--as most recently certified by the
Commissioner of Revenue and add it to the original as-
sessed value of the tax increment districts . For pur-
poses of this subdivision, "parcel" means a tract or
plat of land established as a single unit for purposes
of assessment .
A list will be maintained by the Building Inspector of
the City to document all building permits issued within the
district for private redevelopment , including alterations,
additions, new construction and demolition.
12 . The tax increments received with respect to payment
of principal and interest for bonds issued for improvements
made within the tax increment districts shall be submitted
by the Authority to the City and segregated by the Authority
in a special account or accounts on its official books and
records or as otherwise established by resolution of the
City to be held by a trustee or trustees for the benefit of
holders of the bonds.
Minnesota Statutes, §273 .76, Subd. 4 .
A - 7
EXHIBIT 1
TO APPENDIX A
MODEL INFORMATION FORM
TO BE SUBMITTED TO THE SCHOOL BOARDS,
SCOTT COUNTY BOARD, AND THE
MINNESOTA ENERGY AND ECONOMIC DEVELOPMENT AUTHORITY
TAX INCREMENT FINANCING (TIF) ANNUAL DISCLOSURE REPORT
CALENDAR YEAR ENDING DECEMBER 31, 19
Authority: The City of Shakopee
City of Shakopee Housing and Redevelopment Project No. 1
Tax Increment District Identification:
A. Term of Tax Increment District
Starting Date
(date TIF Plan was adopted)
Ending Date
B. Captured Taxable Valuation
Current Assessed Value. . . . . . . . . . . . . . . .$
Current Base Value (original
assessed value) . . . . . . . . . . . . . . . . . . . . . $
Difference:
Captured Assessed Value (CAV) . . . . . . . . .$
Percentage of CAV Retained
by Authority. . . . . . . . . . . . . . . . . . .$
Percentage of CAV to be
Shared with Other Taxing
Jurisdictions. . . . . . . . . . . . . . . . . . $
C. Amount and Source of Revenue in Tax Increment Financing
Account
Tax Increment Financing
Tax Increments Received. . . . . . . . . . $
Other Revenue Sources
Land Sale Proceeds . . . . . . . . . . . . . . . $
Rental Income. . . . . . . . . . . . . . . . . . . . $
A - 1
Investment Earnings. . . . . . . . . . . . $
Transfer from Other Funds . . . . . . . . $
Loan Income and/or Repayment . . . . . $
Other Income. . . . . . . . . . . . . . . . . . . . . $
Subtotal . . . . . . . . . . . . . . . . $
Tax Increment and Other Revenue Source
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
D. Amount and Purpose of Expenditures from Tax Increment
Financing Account
Tax Increment Bonding Expenditures
Bond Capitalized Interest
Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
Debt Service Payments . . . . . . . . . . . . . . . . . $
Principal . . . . . . . . . . . . . . . . . . . . . . . . $
Interest . . . . . . . . . . . . . . . . . . . . . . . . . $
Other Project Expenditures. . . . . . . . . . . . $
Capital Costs . . . . . . . . . . . . . . . . . . . . . . . .$
Contract Expenditures . . . . . . . . . . . . . . . . .$
Administration. . . . . . . . . . . . . . . . . . . . . . . .$
Others. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$
E. Difference Between Revenues and
Expenditures for Current Year . . . . . . . . . . . . . . $
F. Tax Increment Account Balance
Account Balance January 1, 19 . . . . . . . $
Account Balance December 31, 19 . . . . $
G. Bond Issues Outstanding for Tax Increment District
Name of Bond Issue
( i .e. , Tax Increment Bonds of 198_)
Amount of Pledge of Tax Increment
Revenues for Payment of Bond. . . . . . . . $
No. of Years Remaining on Term. . . . . . . . $
Amount of Outstanding Bonded
Indebtedness. . . . . . . . . . . . . . . . . . . . . . . .$
Note: Pursuant to Minnesota Statutes §273 .74, subd. 5 , the
governing body of a municipality shall send a status
A - 2
report on each tax increment district to the county
board, the school board and the Commissioner of the
Minnesota Energy and Economic Development Authority
on or before July 1 of each year .
*Repeat for each Bond Issue
A - 3
Councilmember introduced the following
resolution and moved its adoption:
CITY OF SHAKOPEE
COUNTY OF SCOTT
STATE OF MINNESOTA
RESOLUTION NO.
A RESOLUTION APPROVING THE MODIFICATION AND RE-
DESIGNATION BY THE HOUSING AND REDEVELOPMENT AU-
THORITY IN AND FOR THE CITY OF SHAKOPEE OF VALLEY
INDUSTRIAL PARK REDEVELOPMENT PROJECT NO. 1 TO
MINNESOTA RIVER VALLEY HOUSING AND REDEVELOPMENT
PROJECT NO. 1 AND THE REDEVELOPMENT PLAN RELATING
THERETO.
BE IT RESOLVED by the City Council ( the "Council" ) of
the City of Shakopee, Minnesota ( the "City" ) , as follows :
Section 1 . Recitals .
1 . 01 . It has been proposed and adopted by the Housing
and Redevelopment Authority in and for the City ( the
"Authority" ) that the Authority modify by enlargement, by
increased project costs and by redesignation its Valley
Industrial Park Redevelopment Project No. 1 , which is hereby
redesignated as Minnesota River Valley Housing and Redevel-
opment Project No. 1 ( "Redevelopment Project No. 1" ) , pursu-
ant to and in accordance with Minnesota Statutes, Sections
462 . 411 to 462 .716, inclusive, as amended.
1 . 02 . The Authority has caused to be prepared, and this
Council has investigated the facts with respect to, a pro-
posed modification of the existing Redevelopment Plan for
Valley Industrial Park Redevelopment Project No. 11
captioned Modified Housing and Redevelopment Plan for Minne-
sota River Valley Housing and Redevelopment Project No. 1
( the "Modified Redevelopment Plan" ) , defining more precisely
the property and project costs to be added to Redevelopment
Project No. 1 and describing the action to be undertaken by
the Authority and the City to modify Redevelopment Project
No. 1.
1 . 03 . The Authority and the City have performed all
actions required by law to be performed prior to the modifi-
cation of Redevelopment Project No. 1 and the adoption of
the Modified Redevelopment Plan relating thereto, including,
but not limited to, a review of the proposed Modified Rede-
velopment Plan for Redevelopment Project No. 1 by the City
Planning Commission and the holding of a public hearing upon
published and mailed notice as required by law.
(CC-1)
S
Section 2 . Findings for the Modification of Redevelop-
ment Project No. 1 .
2 . 01 . The Council hereby finds that the modification by
enlargement of and increased project costs within Redevelop-
ment Project No. 1 is intended and, in the judgment of this
Council, its effect will be, to provide an impetus for com-
mercial and industrial development in the City, to increase
employment , to provide inducement for the provision of
greater housing opportunities in the City for the elderly
and persons of low and moderate income, and otherwise to
promote certain public purposes and accomplish certain
objectives as specified in the Modified Redevelopment Plan.
Section 3 . Approval of the Modified Redevelopment Plan.
3 . 01 . The Modified Redevelopment Plan and Redevelopment
Project No. 1 , as amended, is hereby approved and adopted
and shall be placed on file in the office of the City
Clerk . The Modified Redevelopment Plan shall be entitled
"Modified Housing and Redevelopment Plan for Minnesota River
Valley Housing and Redevelopment Project No. 1 ( formerly
Valley Industrial Park Redevelopment Project No. 1) .
The motion for the adoption of the foregoing resolution
was duly seconded by Councilmember , and upon
vote being taken thereon, the following voted in favor
thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and
adopted, and was signed by the Mayor and attested to by the
City Clerk .
Dated: February 28, 1984 .
Mayor
Attest :
City Clerk
2 -
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Councilmember introduced the following
resolution and moved its adoption:
CITY OF SHAKOPEE
COUNTY OF SCOTT
STATE OF MINNESOTA
RESOLUTION NO.
A RESOLUTION APPROVING AND AUTHORIZING THE
EXECUTION OF A CONTRACT FOR PRIVATE DEVELOP-
MENT WITH MINNESOTA RACETRACK LIMITED PARTNER-
SHIP.
BE IT RESOLVED by the City Council ( the "Council" ) of
the City of Shakopee, Minnesota ( the "City" ) , as follows :
Section 1 . Recitals .
1 . 01 . The Council has approved and adopted a redevelop-
ment project within the corporate limits of the City ( "Minn-
esota River Valley Housing and Redevelopment Project No. 1" )
pursuant to the provisions of Minnesota Statutes , Sections
462 . 411 to 416 . 716, inclusive, as amended, and has approved
and adopted a redevelopment plan therefore entitled "Modi-
fied Housing and Redevelopment Plan for Minnesota River
Valley Housing and Redevelopment ProjecNo. 1 ( the "Rede-
velopment Plan" ) .
1. 02 . The Council has received and reviewed a proposed
Contract for Private Development ( the "Development Agree-
ment" ) by and among the City, the Housing and Redevelopment
Authority in and for the City, and Minnesota Racetrack ,
Inc. , a Minnesota corporation ( the "Company" ) relating to
the construction of an approximately 390 acre thoroughbred
horse-racing facility. The Council finds that the Develop-
ment Agreement is in conformance with the Redevelopment Plan
and in the best interest of the City and the Authority.
Section 2 . Execution of Development Agreement by the
Council . _
2 .01 . The Council hereby approves and authorizes the
execution of the Development Agreement and any other docu-
ments deemed necessary.
The motion for the adoption of the foregoing resolution
was duly seconded by Councilmember , and
upon vote being taken thereon, the following voted in favor
thereof :
(CC-2)
G'
and the following voted against the same :
Whereupon said resolution was declared duly passed and
adopted, and was signed by the Mayor and attested to by the
City Clerk .
Dated: February 28 , 1984
Mayor
ATTEST:
Clerk
2 -
Councilmember introduced the following
resolution and moved its adoption:
CITY OF SHAKOPEE
COUNTY OF SCOTT
STATE OF MINNESOTA
RESOLUTION NO.
A RESOLUTION RELATING TO THE ESTABLISHMENT BY THE
HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE
CITY OF SHAKOPEE OF PROPOSED TAX INCREMENT DISTRICT
NO. 4 AND GIVING PRELIMINARY CONCEPT APPROVAL
THERETO.
BE IT RESOLVED by the City Council ( the "Council" ) of
the City of Shakopee , Minnesota ( the "City" ) , as follows:
Section 1 . Recitals .
1 . 01. It has been proposed and approved by the Housing
and Redevelopment Authority in and for the City ( the
"Authority" ) that the Authority establish a new tax incre-
ment district within Minnesota River Valley Housing and
Redevelopment Project No. 1 ( "Redevelopment Project No. 1" ) ,
pursuant to and in accordance with Minnesota Statutes ,
Sections 273 .71 to 273 .86, inclusive, as amended, and that
the proposed tax increment district be designated as Tax
Increment District No. 4 ( "Tax Increment District No. 4" ) .
1 . 02. The Authority has caused to be prepared, and this
Council has investigated the facts with respect to a pro-
posed Tax Increment Financing Plan for proposed Tax Incre-
ment District No. 4 ( the "Tax Increment Financing Plan" ) ,
defining more precisely the property included in Tax Incre-
ment District No. 4 and describing the action to be under-
taken by the Authority and the City to establish Tax Incre-
ment District No. 4 . The Tax Increment Financing Plan has
been adopted by the Authority.
1 . 03 . The Authority and the City_ have performed all
actions required by law to be performed prior to the estab-
lishment of proposed Tax Increment District No. 4 and the
adoption of the proposed Tax Increment Financing Plan re-
lating thereto, including, but not limited to, the holding
of a public hearing upon published notice as required by
law.
(CC-3)
Section 2 . Findings for the Establishment of Proposed
Tax Increment District No. 4 .
2 . 01 . The Council finds , determines and declares that
proposed Tax Increment District No. 4 constitutes a "tax
increment district" as defined in Minnesota Statutes , Sec-
tion 273 . 73 , Subdivision 9 , and further constitutes a type
of "economic development district" , as defined in Minnesota
Statutes, Section 273 . 73 , Subdivision 12 .
2 .02 . The Council finds , determines and declares that
the proposed development , in the opinion of the Council,
could 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.
2 . 03 . The Council finds , determines and declares that
the proposed Tax Increment Financing Plan for proposed Tax
Increment District No. 4 conforms to the general plan for
the development and redevelopment of the City as a whole .
2 . 04 . The Council finds , determines and declares that
the proposed Tax Increment Financing Plan for proposed Tax
Increment District No. 4 will afford maximum opportunity,
consistent with the sound needs of the City as a whole, for
the development and redevelopment of Redevelopment Project
No. 1 by private enterprise.
2 . 05 . The Council hereby elects the method of tax in- _
crement calculation set forth in Minnesota Statutes Section
273 .76 , Subdivision 3, Clause ( b) .
2 .06 . The Council has set forth the reasons and sup-
porting facts for each of the above determinations made in
this Section 2 in writing pursuant to Minnesota Statutes ,
Section 273 . 74 , Subd. 3 .
2 .07 . The City ' s and the Authority' s purpose in cre-
ating Tax Increment District No. 4 is to provide tax incre-
ment financing assistance to Minnesota Racetrack , Inc . , a
Minnesota corporation ( the "Company" )_, or an affiliated
entity, to construct and operate an approximately 390 acre
thoroughbred horseracing facility within the City ( the
"Project" ) . Based upon the representations of the Company,
the City believes that the Project would not be economically
viable and would not be undertaken without tax increment
financing assistance . The City, the Authority and the Com-
pany have approved execution of a Contract for Private De-
velopment ( the "Development Contract" ) with respect to the
mutual undertakings of the City, the Authority and the Com-
pany with respect to construction and operation of the Proj-
- 2 -
ect and the proposed tax increment assistance therefor . The
ability of the Company to undertake the Project is contin-
gent upon award of Class A and Class B licenses to operate a
horseracing facility to the Company or an affiliated entity
by the Minnesota Racing Commission .
2 . 08 . Due to the limitation of the period of time that
tax increment may be received by an authority subsequent to
approval of the applicable tax increment financing plan
pursuant to Minnesota Statutes, Section 273 . 75 , subd. 1 ,
approval of the Tax Increment Financing Plan prior to such
time as the Company shall be legally authorized to and shall
have undertaken the Project is not, in the opinion of the
City, in the best interests of either the City, the
Authority or the Company. Based upon the representations of
the Company, the City believes that the Project may not be
economically viable and may not be undertaken unless the
maximum available tax increment assistance is provided to
the Company .
2 . 09 . The Council further finds that , at such time as
the Company shall be legally authorized to and shall under-
take the Project , the establishment of proposed Tax Incre-
ment District No. 4 is intended and, in the judgment of this
Council, its effect will be, to promote the purposes and
objectives specified in this Section 2 and otherwise promote
certain public purposes and accomplish certain objectives
specified in the Modified Redevelopment Plan for Redevelop-
ment Project No. 1 and in the proposed Tax Increment
Financing Plan for Tax Increment District No. 4 .
Section 3 . Concept Approval of the Proposed Tax In-
crement Financing Plan.
3 . 01. The Council hereby gives preliminary concept
approval to the proposed Tax Increment Financing Plan for
Tax Increment District No. 4 substantially in the form pre-
sented to the Council on this date.
3 . 02 . For the reasons stated in Sections 2 . 07 and 2 . 08
hereof, the City believes that it is not in the best inter-
ests of the City, the Authority or the Company to give final
approval of the Tax Increment Financing Plan within the
meaning of Minnesota Statutes, Section 273 .74 , subd. 3 , at
this time . Pursuant to the provisions of the Development
Contract, upon award of Class A and Class B racing fran-
chises to the Company or affiliated entities, it is the
intention of the City to approve the Tax Increment Financing
Plan in substantially the form submitted to it as of this
date at such time as the City shall deem optimal to facili-
tate the goals of the Tax Increment Financing Plan and con-
struction of the Project .
- 3 -
l)
The motion for the adoption of the foregoing resolution
was duly seconded by Councilmember , and upon
vote being taken thereon, the following voted in favor
thereof :
and the following voted against the same:
Whereupon said resolution was declared duly passed and
adopted, and was signed by the Mayor and attested to by the
City Clerk .
Dated: February 28, 1984 .
Mayor
Attest :
City Clerk
4 -
/j
DRAFT
February 22 , 1984
TAX INCREMENT FINANCING PLAN
FOR TAX INCREMENT DISTRICT NO. 4
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE
CITY OF SHAKOPEE, MINNESOTA
ADOPTED BY THE AUTHORITY
FEBRUARY 14, 1984
APPROVED IN CONCEPT BY THE CITY COUNCIL
FEBRUARY 28, 1984
This document was drafted by: O' CONNOR & HANNAN
3800 IDS Tower
80 South Eighth Street
Minneapolis , Minnesota 55402
612/341-3800
TABLE OF CONTENTS
(This Table of Contents is not part of the Tax Increment
Financing Plan for Tax Increment District No. 4 and is only
for convenience of reference . )
TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT DISTRICT NO. 4
Page
Section 1 . 1 . Definitions . . . . . . . . . . . . . . . . . . . . . . . . 1-1
Section 1 . 2 . Statement of Objectives ( ref) . . . . . . . . . 1-2
Section 1 . 3 . Modified Housing and Redevel-
opment Plan ( ref ) . . . . . . . . . . . . . . . . . . . . 1-2
Section 1 . 4 . Parcels to be Included in Tax
Increment District No. 4 . . . . . . . . . . . . . . 1-3
Section 1 . 5 . Parcels in Acquisition. . . . . . . . . . . . . . . . 1-3
Section 1 . 6 . Development Activity in
Housing and Redevelopment
Project No. 1 for which
Contracts have been Signed. . . . . . . . . . . . 1-4
Section 1 .7 . Other Specific Development
Expected to Occur within
Housing and Redevelopment
Project No. 1 . . . . . . . . . . . . . . . . . . . . . . 1-4
Section 1.8. Estimated Cost of Project . . . . . . . . . . . . . 1-4
Section 1 .9 . Bonded Indebtedness to be
Incurred. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-4
Section 1 . 10 . Sources of Revenue. . . . . . . . . . . . . . . . . . 1-4
Section 1 . 11 . Estimated Captured Assessed•
Value and Estimate of Tax
Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-4
Section 1 . 12 . Type of Tax Increment District . . . . . . . . 1-4
Section 1 . 13 . Duration of Tax Increment
District No. 4 . . . . . . . . . . . . . . . . . . . . . . . . 1-5
Section 1 . 14 . Estimated Impact on Other
Taxing Jurisdictions . . . . . . . . . . . . . . . . . . 1-5
Section 1. 15 . Modification of Tax Increment
District No. 4 and/or Tax
Increment Financing Plan. . . . . . . . . . . . . . 1-6
Exhibit A Map of Property within Tax
Increment District No. 4 . . . . . . . . . . . . . .A-1
( i}
TAX INCREMENT FINANCING PLAN FOR
TAX INCREMENT DISTRICT NO. 4
Section 1 . 1 . Definitions . The terms defined below
shall , for purposes of this Tax Increment Financing Plan,
have the meanings herein specified, unless the context
otherwise specifically requires :
"Authority" means this housing and redevelopment author-
ity created or authorized to be created by the Housing and
Redevelopment Act defined below.
"City" means the City of Shakopee, a municipal corpora-
tion and political subdivision of the State of Minnesota,
subject to the legal requirements of Chapter 412 of Minne-
sota Statutes relating to statutory cities .
"Commissioners" means the five commissioners consti-
tuting the Authority who are appointed by the Mayor , with
the approval of the City Council , as provided in §462 . 425 ,
Subd. 6 of the Housing and Redevelopment Act .
"Comprehensive Plan" means the City ' s comprehensive plan
submitted to the Metropolitan Council pursuant to Minnesota
Statutes, §473 . 173 , which contains the objectives, policies ,
standards and programs to guide public and private land use,
development , redevelopment and preservation for all lands
and water within the City through 1990 .
"Council" means the City Council of the City, also re-
ferred to as the governing body as defined in Minnesota
Statutes, §462 . 421, Subd. 5.
"County" means the County of Scott , Minnesota .
"Housing and Redevelopment Act" means the statutes lo-
cated at Minnesota Statutes , §§462 . 411 through 462 . 716 , in-
clusive, as amended.
"Housing and Redevelopment Authority" means this housing
and redevelopment authority created or authorized to be
created by Minnesota Statutes, §§462 . 415 to 462 . 705 .
"Housing and Redevelopment Project No. 1" means the
Minnesota River Valley Housing and Redevelopment Project No.
1, a "project" as said term is defined in Minnesota Stat-
utes, §462 . 421 , Subd. 13 .
"Modified Housing and Redevelopment Plan" means the plan
as modified from time to time by the Authority and the City
for the Housing and Redevelopment Project .
1 - 1
"Project" means Housing and Redevelopment Project No. 1 ,
the public improvements and facilities to be constructed
within Housing and Redevelopment Project No. 1 .
"Project Area" means the real property located within
the geographic boundaries of Housing and Redevelopment Proj-
ect No. 1.
"Redevelopment Plan" means the original plan approved on
January 2 , 1979 and modified from time to time by the
Authority and the City for Housing and Redevelopment Project
No. 1 as defined in §462 . 421, Subd. 15, of the Housing and
Redevelopment Act .
"State" means the State of Minnesota.
"Tax Increment Bonds" means the general obligation tax
increment bonds issued and to be issued by the City to fi-
nance the public costs associated with Housing and Rede-
velopment Project No. 1 as stated in the Modified Housing
and Redevelopment Plan and in the Tax Increment Financing
Plan for Tax Increment District No. 4 within Housing and
Redevelopment Project No. 1 . The term "Tax Increment Bonds"
shall also include any obligations issued to refund the Tax
Increment Bonds .
"Tax Increment District No. 4" means this tax increment
district to be established in Housing and Redevelopment
Project No. 1 .
"Tax Increment Financing Act" means the statutory provi-
sions of Minnesota Statutes, §§273 .71 through 273 . 78, inclu-
sive, as amended.
"Tax Increment Financing Plan" means this Tax increment
Financing Plan for Tax Increment District No. 4 located
within the Project Area.
Tax increment District No. 4 is the fourth tax increment
district to be included in Minnesota River Valley Housing
and Redevelopment Project No. 1 . The first tax increment
district within the Project area was the K-Mart Tax Incre-
ment District adopted on January 2 , 1979 and modified on
July 17 , 1979 . This tax increment district is to be
redesignated as Tax Increment District No. 1 .
The Elderly Highrise Redevelopment Project adopted on
August 21, 1979 and modified on December 22 , 1981 is to be
redesignated as Tax Increment DistrictNo. 2 within Modified
Housing and Redevelopment Project No. 1 . The Downtown Tax
Increment Financing District No. lA was adopted on June 29 ,
1 - 2
1982 and is to be redesignated at Tax Increment District No.
3 within Modified Housing and Redevelopment Project No. 1 .
In anticipation of the above redesignations , the
Authority has requested that this tax increment district be
designated as Tax Increment District No. 4 .
Section 1 . 2 . Statement of Objectives .
See Section I , Modified Housing and Redevelopment
Plan for Minnesota River Valley Housing and Redevelopment
Project No. 1, "Modified Housing and Redevelopment Plan" ,
Subsection 1 . 4 , Statement of Objectives, of the Modified
Housing and Redevelopment Plan.
Section 1 . 3 . Modified Housing and Redevelopment Plan.
See Section I , Modified Housing and Redevelopment
Plan, Subsections 1 . 2 through 1 . 14 .
Section 1 . 4 . Parcels to be Included in Tax Increment
District No. 4 . The following parcel located in the City of
Shakopee, County of Scott , State of Minnesota:
The Northeast Quarter of the Southeast Quarter
of Section 5 , Township 115, Range 22, Scott
County, Minnesota, excepting therefrom:
The West 150 . 00 feet of the North
333 . 00 feet of the Northeast Quarter
of the Southeast Quarter of Section
5, Township 115 , Range 22 .
The South Half of the Southeast Quarter of
Section 5 , Township 115 , Range 22 , Scott
County, Minnesota.
The Southwest Quarter of the Southwest Quarter
of Section 4 , Township 115 , Range 22 , Scott
County, Minnesota.
That part of the East Half of the Northeast
Quarter of Section 8 , Township 115 , Range 22 ,
Scott County, Minnesota, lying northerly of
the centerline of County Road No. 16 .
FURTHER INFORMATION REGARDING THE IDENTIFICATION OF
THE PARCEL TO BE INCLUDED IN TAX INCREMENT DISTRICT
NO. 4 CAN BE OBTAINED FROM THE OFFICE OF THE CITY
ADMINISTRATOR.
1 - 3
Section 1 . 5 . Parcels to be acquired. The Authority
acquired and reconveyed the parcels identified in Section I ,
Subsection 1 . 6 of the Modified Housing and Redevelopment
Plan as originally adopted on January 2 , 1979 and will
acquire the parcels identified in Section I , Subsection 1 . 6
of the same Plan as approved in concept on February 28,
1984 . As the Authority acquires said parcels , the Tax In-
crement Financing Plan for Tax Increment District No. 4 will
be modified to reflect the acquisitions of said parcels .
The following are conditions under which properties not
designated to be acquired may be acquired at a future date:
( 1) The Authority may acquire property by gift , dedica-
tion, condemnation or direct purchase from willing
sellers in order to achieve the objectives of the
tax increment financing plan; and
( 2 ) Such acquisitions will be undertaken only when
there is assurance of funding to finance the acqui-
sition and related costs .
Section 1 . 6 . Development Activity in Housing and Rede-
velopment Project No. 1 for which Contracts have been
Signed. The following contracts have been entered into by
the City of Shakopee and the persons named below:
[Contracts entered into by the City of Shakopee or the
Authority will be inserted in this Subsection as they
are consummated. ]
Section 1 . 7 . Other Specific Development Expected to
Occur within Housing and Redevelopment Project No. 1 .
(As specific development is expected to occur , it will
be inserted in this Subsection. ]
Section 1 . 8 . Estimated Cost of Project .
Public improvements , which may include the following:
land acquisition, earthwork and grading, site lighting and
fencing, open space amenities, sidewalk , curb and gutter ,
watermains , sanitary and storm sewers, roads and parking,
other eligible site preparation work, land sale and Environ-
mental Impact Statement, will not exceed $7 , 000 , 000 .
Subsection 1. 9 . Bonded Indebtedness to be Incurred. It
is anticipated that $8, 250 , 000 of bond indebtedness will be
incurred with respect to this portion of Housing and Rede-
velopment Project No. 1 .
1 - 4
Section 1 . 10 . Sources of Revenue. It is anticipated
that the major source of revenue will be provided through
the issuance of general obligation tax increment bonds as
well as through special assessment bonds .
Section 1 . 11 . Estimated Captured Assessed Value and
Estimate of Tax Increment . The most recent assessed value
( the original assessed value) of Tax Increment District No.
4 is estimated to be $97 ,660 .
The estimated captured assessed value of Tax Increment
District No. 4 at completion is estimated to be $14,902 , 340 .
Section 1 . 12 . Type of Tax Increment District . Tax
Increment District No. 4 is , pursuant to Minnesota Statutes
Section 272 . 73 , Subd. 12 , an economic district as defined
below:
" . . .a type of tax increment financing district
which consists of any project , or portions of a
project , not meeting the requirements found in the
definition of redevelopment district or housing
district , but which the authority finds to be in
the public interest because:
(a) It will discourage commerce, industry or
manufacturing from moving their operations to an-
other state; or
(b) It will result in increased employment in
the municipality; or
(c) It will result in preservation and en-
hancement of the tax base of the municipality. "
Section 1 . 13 . Duration of Tax Increment District No.
4 . The duration of Tax Increment District No. 4 is expected
Eo be eight ( 8 ) years from the receipt of the first tax
increment . The City will forego any tax increments accruing
in 1986 and will receive its first full tax increment in
1987 .
Section 1. 14 . Estimated Impact on Other Taxing Juris-
dictions . The estimated impact of Tax Increment District
No. 4 on the other taxing jursidictions within which Tax
Increment District No . 4 is set forth in the following
table:
1 - 5
IMPACT ON TAX BASE
Original District Future District
Assessed % of Assessed , of
Entity Tax Base Value Entity Value Entity
Scott County $293,671,922 $97,660 .033% $15,000,000 5.108%
I.S.D. #720 101,425,043 97,660 .096 15,000,000 14.789
Shakopee 96,443,444 97,660 .101 15,000,000 15.553
IMPACT ON MILL RATES
Current Potential
Entity Mill Rate Taxes
Scott County 33 . 004 $495, 060
I .S .D. #720 55 .630 834, 450
Shakopee 10 . 471 157 , 065
Other ( 1 ) 4 . 493 67 , 395
( 1) Other taxing entities include the HRA, Metropolitan
Mosquito Control District , Lower Minnesota Watershed Dis-
trict, Metropolitan Council, Metropolitan Transit Commis-
sion.
Section 1.15. Modification of Tax Increment District
No. 4 and/or Tax Increment Financing Plan.
As of February 28, 1984 , no modifications to Tax Incre-
ment District No. 4 or the Tax Increment Financing Plan
therefor have been made.
1 - 6
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF SHAKOPEE
CITY OF SHAKOPEE
COUNTY OF SCOTT
STATE OF MINNESOTA
RESOLUTION NO. 84-3
A RESOLUTION APPROVING A CONTRACT FOR PRIVATE DEVELOP-
MENT WITH MINNESOTA RACETRACK, INC. , AND THE SALE OF
CERTAIN LAND BY THE AUTHORITY PURSUANT THERETO
BE IT RESOLVED by the Commissioners ( the "Commission-
ers" ) of the Housing and Redevelopment Authority ( the
"Authority" ) in and for the City of Shakopee, Minnesota ( the
"City" ) , as follows :
Section 1 . Recitals .
1. 01. The Authority has approved and adopted a redevel-
opment project within the corporate limits of the City
( "Minnesota River Valley Housing and Redevelopment Project
No. 1" ) pursuant to the provisions of Minnesota Statutes,
Sections 462 . 411 to 416 .716, inclusive, as amended, and has
prepared a redevelopment plan therefor entitled "Modified
Housing and Redevelopment Plan for Minnesota River Valley
Housing and Redevelopment Project No. 1" ( the "Redevelopment
Plan" ) , which Redevelopment Plan has been approved by the
Planning Commission and the City Council of the City.
1. 02 . The acquisition of a certain parcel of land ( the
"Development Property" ) , legally described in Exhibit A
attached hereto, and the subsequent sale or lease of the
Development Property to a private developer for commercial
development , are stated objectives of the Redevelopment
Plan.
1. 03 . The Authority has received and reviewed a pro-
posed Contract for Private Development ( the "Development
Agreement" ) by and among the City, the _Authority and Minne-
sota Racetrack , Inc . , a Minnesota corporation ( the "Com-
pany" ) relating to the acquisition of the Development Prop-
erty by the Authority and resale thereof to the Company for
the construction of an approximately 390 acre thoroughbred
horse-racing facility. The Authority finds that the Devel-
opment Agreement is in conformance with the Redevelopment
Plan and in the best interests of the City and the
Authority.
(HRA-1 )
EXHIBIT A
LEGAL DESCRIPTION
The Northeast Quarter of the Southeast Quarter
of Section 5 , Township 115 , Range 22 , Scott
County, Minnesota excepting therefrom:
The West 150 . 00 feet of the north 333 . 00
feet of the Northeast Quarter of the
Southeast Quarter of Section 5 , Township
115 , Range 22 .
The South Half of the Southeast Quarter of
Section 5, Township 115 , Range 22 , Scott
County, Minnesota .
The Southwest Quarter of the Southwest Quarter
of Section 4 , Township 115 , Range 22 , Scott
County, Minnesota .
That part of the East Half of the Northeast
Quarter of Section 8, Township 115 , Range 22 ,
Scott County, Minnesota, lying northerly of
the centerline of County Road No. 16 .
The Northwest Quarter of Section 9 , Township
115 , Range 22, Scott County, Minnesota ex-
cepting therefrom:
The south 400 feet of the west 100 feet
of the South Half of the Northwest Quar-
ter .
The East Half of the Southwest - Quarter of
Section 9 , Township 115, Range 22 , Scott
County, Minnesota, lying northerly of the
centerline of County Road No. 16 .
x
A - 1
1 . 04. The Authority hereby declares that due public
notice was given and that a public hearing was held on
February 21 , 1984 , in accordance with law, on the sale of
the Development Property to the Company.
Section 2 . Execution of Development Agreement; Acquisi-
tion and Reconveyance of Development Property by the
Authority. —
2 . 01 . The Authority hereby approves the execution of
the proposed Development Agreement , and directs the Chairman
and the Executive Director of the Authority to execute the
Development Agreement and any other documents deemed neces-
sary for the conveyance of the Development Property.
2 . 02 . The Authority shall proceed to acquire the De-
velopment Property and reconvey the Development Property to
the Company pursuant to the terms of the Development Agree-
ment and in conformance with the objectives and provisions
of the Redevelopment Plan.
ADOPTED BY THE COMMISSIONERS OF THE AUTHORITY ON FEBRU-
ARY 28, 1984 .
Chairman
ATTEST:
Executive Director
2 -
HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF SHAKOPEE
CITY OF SHAKOPEE
COUNTY OF SCOTT
STATE OF MINNESOTA
RESOLUTION NO. 84-4
A RESOLUTION EXTENDING THE PERIOD DURING WHICH
THE CITY COUNCIL OF THE CITY OF SHAKOPEE MAY
HOLD THE PROPOSED TAX INCREMENT FINANCING PLAN
FOR TAX INCREMENT DISTRICT NO. 4 FOR REVIEW
BE IS RESOLVED by the Commissioners ( the "Commis-
sioners" ) of the Housing and Redevelopment Authority in and
for the City of Shakopee , Minnesota ( the "Authority" ) , as
follows :
Section 1 . Recitals .
1 . 01 . The Authority, on February 14 , 1984 , approved a
tax increment financing plan captioned "Tax Increment
Financing Plan for Tax Increment District No. 4" ( the "Tax
Increment Financing Plan" ) providing for the creation of a
tax increment financing district within the Authority ' s
Minnesota River Valley Housing and Redevelopment Project No.
1 , and submitted the Tax Increment . Financing Plan to the
City Council ( the "City Council" ) of the City of Shakopee
( the "City" ) for review and approval .
1 . 02 . Minnesota Statutes , Section 273 . 74 , subd. 3,
provides that where a tax increment financing plan has been
submitted by an approving authority to a municipality for
approval, if the municipality shall not approve or dis-
approve the tax increment financing plan within sixty days
of submission by authority, the plan shall be deemed
approved.
1 . 03 . The Authority ' s purpose in adopting the Tax In-
crement Financing Plan is to provide tax increment financing
assistance to Minnesota Racetrack , Inc. , a Minnesota corpo-
ration ( the "Company" ) , or an affiliated entity, to con-
struct and operate an approximately 390 acre thoroughbred
horseracing facility within the City ( the "Project" ) . Based
upon the representations of the Company, the Authority be-
lieves the Project will not be economically viable and will
not be undertaken without tax increment financing
assistance . The City, the Authority and the Company have
(HRA-2 )
negotiated, and the Authority has approved the execution of,
a Contract for Private Development ( the "Development Con-
tract" ) with respect to the mutual undertakings of the City,
the Authority and the Company with respect to construction
and operation of the Project and the tax increment
assistance therefor . The ability of the Company to under-
take the Project is contingent upon award of Class A and
Class B licenses to operate a horseracing facility to the
Company or an affiliated entity by the Minnesota Racing
Commission.
1 . 04 . Due to the limitation placed on the period of
time that an authority' may receive tax increment from an
"economic development district" after the date of final
municipal approval of the applicable tax increment financing
plan pursuant to Minnesota Statutes, Section 273 . 75 , subd.
1 , final approval of the Tax Increment Financing Plan and
certification of Tax Increment Financing District No. 4 by
the Assessor for Scott County prior to such time as the
Company shall be legally authorized to and shall have under-
taken the Project is not , in the opinion of the Authority,
in the best interests of either the City, the Authority, or
the Company. Based upon the representations of the Company,
the Authority believes that the Project may not be economic-
ally viable and may not be undertaken unless the maximum
available tax increment assistance is provided to the Com-
pany.
Section 2 . Extension of Time for Action by the City.
2 . 01 . For the reasons given in Sections 1 . 03 and 1 . 04
above, the Authority does not believe that it is in the best
interests of the Authority, the City or the Company to re-
quire that the City take final action to approve or dis-
approve the Tax Increment Financing Plan within sixty days
of submission by this Authority. Therefore, the Authority
hereby waives the benefit of the provisions of Minnesota
Statutes , Section 273 . 74 , subd. 3 , to the extent that such
statute provides that a tax increment financing plan must be
approved or disapproved by a municipality within sixty days
of submission by an authority or such plan shall be deemed
approved, and hereby extends to November 13 , 1984 , the
period during which the City Council of the City may hold
the plan under review without taking action to give final
approval or disapproval to the Tax Increment Financing
Plan. The Authority does not by this resolution seek in any
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j!
way to limit or modify the undertakings of the City or the
Authority under the Development Contract .
Dated: 1984 .
Adopted by the Commissioners of the Authority on Febru-
ary 28, 1984 .
Chairman
ATTEST:
Executive Director
3 -
RESOLUTION NO. 2229
A RESOLUTION APPROVING THE SHAKOPEE RACETRACK
DESIGN DEVELOPMENT DRAWINGS DATED DECEMBER 1, 1983
WHEREAS , the Shakopee Racetrack Design Development Drawings
dated December 1 , 1983 , have been prepared by Ewing Cole Krause,
Ewing Cole Cherry Parsky and Hammel Green Abrahamson, Inc . , ;
and
WHEREAS , the City Planner, Judi Simac , has reviewed said
drawings and found them to be in compliance with the City of
Shakopee Zoning Code requirements ; and
WHEREAS , the City Engineer, Henry R. Spurrier, has reviewed
said drawings ; has found the final drainage plan to be complete ;
and has determined that the preliminary analysis , prepared for
that
i
Plan required by Condi
tional Use Permit No. 351 , conforms
to the City of Shakopee Design Criteria, so long as the Final
Drainage Report , incorporating final site details is submitted
and approved prior to issuance of a Certificate of Occupancy
for the Racetrack, and so long as any variance from the final
drainage plan is submitted for review and approval by the City
Engineer; and
WHEREAS , the City Building Official , LeRoy Houser, has
reviewed said drawings and found them to be in conformance to
the Building Code in the City of Shakopee subject to review and
approval of final construction drawings .
NOW, THEREFORE, BE IT RESOLVED BY THE SHAKOPEE CITY COUNCIL
THAT the Shakopee Racetrack Design Development drawings are here
by approved.
Adopted in session of the City Council of the
City of Shakopee , Minnesota, held this day of
, 1984.