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HomeMy WebLinkAboutSeptember 25, 1979 TENTATIVE AGENDA ADJ .REG. SESSION SHAKOPEE, MINNESOTA SEPTEMBER 25 , 1979 Mayor Harbeck presiding 11 Roll Call at 7 : 30 P .M. 21 7 : 30 P.M. PUBLIC HEARING CONTINUED - On The Financing Plan for the Proposed Elderly Highrise Redevelopment Project - Res . No . 1492 , approving Financing Plan for Elderly Highrise Redevelopment Project No - 1 and Making Election Relative to Minnesota Statutes 473 F.08, Subd. 6 3] Recess for H.R.A. Meeting 41 Reconvene 51 Review of proposed zoning ordinance 61 Ordinance No . 30, Amending City Code on Curfews 71 Authorize the hiring of an Engineering Aid II 81 Awarding bids on Jefferson & 11th Street Reconstruction 91 Other business : 101 Adjourn. Douglas S. Reeder City Administrator UPDATE ON ENERGY PLAN: HEATING MINNESOTA HOUSEHOLDS 1979 - 1980 Issued by the Office of the Governor September 5, 1979 MINNESOTA'S HEATING ENERGY PROFILE • Emergency assistance program to be temporary • 1,351,500 households in State (MN Energy Agency- • Include monitoring of supply and demand MEA) • Program must apply to all types of fuel users — 430,400 heat with fuel oil (MEA) — 763,600 heat with natural gas (MEA) • Increase public awareness of energy problems • 129,200 households heating with fuel oil fall below • Coordinate assistance and weatherization programs 125% of poverty level • Average household will consume approximately 1,000 gallons GOVERNOR'S ENERGY ACTION PLAN • 1978-79 average price of fuel oil was 524 per gallon • 'Plan includes: -- $520 average annual bill — Existing and proposed programs • 1979-80 estimated average price will be 954 per gallon — County, State and Federal Funds — $950 average annual bill — Initiatives by several State agencies — 83% increase — Encouragement of the private sector • 50% of low income households heat with oil (House • Plan falls into four separate categories: Research) A. Supply and Demand B. Conservation and Outreach LONG RANGE SOLUTIONS C. Weatherization • Federal government needs to establish national D. Emergency Assistance energy policy which decontrols the American oil (Major points in each category follow) industry and, consequently, breaks the OPEC monopoly • State and Federal government need to provide A. SUPPLY AND DEMAND economic incentives for research, development and promotion of alternative energy sources such as • Minnesota Energy Agency (MEA) will track supply solar, gasohol, hydro, wind, etc. of petroleum coming into the State • Federal and State government need to review the • MEA will monitor distribution of supplies within total transportation system, considering its energy State to identify areas with shortages impact • MEA will assist in location of new supplies • State government needs to promote two new crude • MEA will also monitor supply and demand of gas oil pipelines into Minnesota and diesel fuel, giving priority in the State Set-aside • Conservation is crucial for the short term but also Program to support of the harvest and transporta- essential for long range national goals tion of agricultural products o State will encourage business users who can switch from gas to fuel oil to limit oil usage this winter CRITERIA APPLIED TO ENERGY • MEA and Pollution Control Agency will consider PROGRAM DEVELOPMENT emergency waivers of air standards this winter when it would result in substantial savings of home heat- • No one need suffer undue hardship this winter as a ing fuel oil result of lack of assistance • Department of Public Service will expedite per- • Target aid to those most in need manent rules for "Cold Weather Shut-off" applied to • No tax increase to fund program regulated gas and electric utilities (42% of house- . holds) • Maximize use of existing programs • MEA and the Department of Public Service will • Maximize/coordinate all sources of existing Federal, promote voluntary compliance with "Cold Weather State and County funds Shut-off Rule" by non-regulated gas and electric • Deliver aid through existing agencies utilities and fuel oil jobbers • Minimize need for naw rules/regulations • Promote two new pipelines into Minnesota • Encourage private organizations and individuals to • Governor to study/support tax incentives for im- help identify families in dire need proving energy conservation in buildings G. S"1PA� �1�� OF X11INNES )"fA ()FI,IC:E Ole THE GOVERNOR ALBERT 11. QUtE UOVERNO R ST. 1'AiIL ���i15�i September 19, 1979 T0: Minnesota Mayors Dear Mayor: As you know, the energy situation is an increasing concern to the citizens of Minnesota, both in terms of supply and escalating fuel costs. While the most recent figures indicate that fuel supplies will be adequate if we have normal weather this winter, the cost of home heating oil is projected to increase 83 percent over last year's price. This rapid rise in fuel oil prices could have a severe impact on low and moderate income homeowners in your community who are unable to pay cash for fuel oil deliveries. It could mean that some people in your community may not have heat for their homes. My administration has drafted a plan to provide financial assistance to help the needy pay their fuel bills in the hope that the need for local shelters can be avoided. A copy of that plan is enclosed for your review. However, with winter rapidly approaching we should be prepared to respond quickly to local emergencies. In an effort to provide life-saving assistance to temporarily displaced residents, I am asking you to do the following: -Designate an emergency housing center in your community, open 24 hours a day, where individuals can go to stay warm until the appropriate social service agencies can be contacted for assistance. -Designate a 24-hour emergency referral phone number in your community (local police, fire department, etc. ). -Notify the (1 ) county sheriff, (2) city police, and (3) local news media of the shelter's location and the emergency referral telephone number. Because it will take time to coordinate dissemination of this crucial infor- mation to low income and elderly citizens throughout the State, we will AN EQUAL OPPORTUNITY EMPLOYER TO: Minnesota Mayors Page 2 September 19, 1979 need to have emergency shelters designated and the county sheriff informed of their location and the emergency phone number by October 15, 1979. You may wish to check the following locations for appropriate shelter that can be heated 24 hours a day: -churches -city buildings (police station, fire hall , etc. ) -designated emergency shelters (Civil Defense) -school buildings -service organizations whose membership could provide temporary housing or other types of assistance. Thank you for your assistance. S' er ly, ert H. Quie Governor AHQ/kvs Enc. B. CONSERVATION AND OUTREACH D. EMERGENCY ASSISTANCE • Governor's Office and Agencies to solicit media • Crisis Intervention Program support of Statewide campaign toward total energy — Assists low income and elderly persons with awareness emergency fuel needs — $16 million Federal • MEA to coordinate distribution of energy informs- — Delivered through 26 local Community Action tion Programs • MEA to help organize local community energy com- — Program managed by Department of Economic mittees in 48 municipalities Security • Consumer Services to provide toll free phone service • Temporary Fuel Crisis Plan to help protect consumers from fraudulent energy — Meet crises of aged, blind, disabled, families devices with children and any other individual having • no income or liquid assets to pay for heating Work with U.S. Department of Energy to use fuel $123,000 grant for education/outreach/building — Use of existing welfare programs and existing audits to reduce fuel consumption in commercial Federal, State and County financial matching buildings — Assumes a 7 month heating season • Departments of Administration and Transportation — Delivered through the County Social Service to promote car and yan pooling and ride sharing Centers and Welfare Department • MEA to initiate work with private sector to promote — Plan managed by Department of Welfare in co- energy awareness, crisis identification, assistance to operation with County governments — Estimated costs: those in need $1.97 million Federal • Promote goal of 680 home temperature settings or 2.27 million State "best possible" effort 2.33 million County • Improve on recent 13% reduction of travel by State $6.57 million TOTAL employees • Grand total for emergency assistance: $22.57 million • Encourage business sector to set maximum goals for energy conservation C. WEATHERIZATION LEGISLATIVE ACTION • Home improvement loans of $10 million • Program outlined above can be implemented and p funded using existing legal authorities to expand — Variable interest of 1% to 8% based on family eligiblity income — Eligibility to $16,000 family income • Need estimated $700,000 from General Fund Con- -- Program managed by Minnesota Housing Finance tingency Account, following Legislative Advisory Agency Commission recommendation this month • Department of Economic Security Federal/State • Need for Special Session will be assessed as: Weatherization Program — Federal decisions are made — Roof insulation which can result in 75% cut in — Temporary emergency program progresses heat loss • Executive Branch will work with Legislative Com- - $9 Million Federal/$3 Million State; Additional mittees to review options for future funding of pro- $9 Million Federal funds due October 1, 1979 gram — Goal of 14,000 homes insulated by June 30, 1980 • Will support a bill in the 1980 Legislature to reim- - Grant program delivered through 26 local com- burse the County's actual cost incurred due to tem- munity action programs and Indian Affairs porary crisis fuel plan expenditures Intertribal Board • State Building Retrofit Program Directed by Department of Administration — $2 Million for Biennium • Institutional Buildings Grant Program — 3-year, $25 Million Program; 50-50 State/ Federal Match -- Energy Agency Finalizing State Plan $10 Million appropriation — Covers schools, hospitals, government buildings and public care institutions Governor's Office 09-05-79 V ? r City of Shakopee . POLICE DEPARTMENT -` t 476 south Gorman streets SHAKOPEE, MINNESOTA 55379 Tel. 445-6666 '.; September 20 , 1979 Mr. Doug Reeder City Administrator 129 East 1st Avenue Shakopee, Minnesota 55379 Dear Doug: I strongly recommend the existing curfew ordinance, Section 10 . 28, Subd. 1 , be amended to read "Minors under the age of eighteen. " As we have discussed, the current problem involves between 75 and 100 juveniles frequenting the Bluff Street area between the hours of 9: 00 PM and 3:00 AM. Thank you for your time and consideration. 745;VOOV.V ice► Thomas G. Brownell CHIEF OF POLICE TGB :dmh of Ste hL� 1�'�'� l� i s. re-y-a c d 7r' rticj � uS Prillo--e, f9qf-q � y r YI CITY OF SHAKOPEE 4iMinnesota 55379 s:* rr+ t 129 East First Avenue, Shakopee MEMO TO: Douglas S . Reeder , C it y Administrator H.R. Spurrier , City Engineer FROM:— susJ>~:CT: Jefferson Street Reconstruction DATE: September 25 , 1979 or the Pursuant to the direction of City Council , werfromcValleyfPaving, above referenced work. The low bid was $17 , 754. 56 Inc . , Savage , Minnesota. Bids were also received from McNamara-Vivant dlshouldnnotlbeeconsideredy Surfacing. Those bids are too high As indicated earlier , the original estimate was were because this was a small job around existing development. There did come in high. The engineer ' s estimate is intended to be a maximum amount. The bid is reasonable and the work should be awarded to Valley Paving, Inc . HRS :nae BID TABULATION JEFFERSON STREET RECONSTRUCTION BID OPENING: SEPTEMBER 25 , 1979 10: 30 A .M. LANHOLDER BID AMOUNT BID BOND Valley Paving Inc . $17 , 754 . 56 x McNamara-Vivant $32 , 002 . 50 x � x Minnesota Valley $3` ,235 . 00 Surfacing Engineer' s Estimate $22 ,998 . 50 d CITY OF SHAKJPEE *ypF E�A : 129 East First Avenue, Shakopee, Minnesota 55379 MEMO TO: —H.R . Spurrier , City Engineer FROM: Ray Ruuska , Engitleering Coordinator 11th & Jefferson St . SUBJECT: DATE: June 15 , 1979 I have prepared an estimate on repair costs for Jefferson Street at 11th Avenue . I have determined that extensive removal of existing curb and gutter is involved. This will make necessary an overlay with leveling course to match the new curb. An overlay would be necessary to correct the problem with poor street crown as well . Driveway and boulevard restoration costs are included in this estimate . See the attachment . ESTIMATE 11th and Jefferson ITEM QUANTITY UNIT PRICE TOTAL PRICE Curb and Gutter 645 L.F . $ 1 5 . 00 $ 9 ,675 . 00 2341 Mod. Wear Overlay (2") 260 Ton 25 . 00 6 , 500. 00 C & G Removal 645 L.F . 3 . 50 2 , 257 . 50 Gran. Borrow 15 C .Y. 4. 00 60. 00 Sod 215 S .Y. 3 . 00 645 . 00 Cast . Adjustments 2 100. 00 200. 00 Tack Coat 182 gal. 1 . 00 182 . 00 Leveling Course 202 Ton 18. 00 3 , 636 . 00 $23-;15-5 .50 Plus Possible Mobilizations Costs W. R. GLAESER ATTORNEY AT LAW 133 WEST FIRST STREET WACONIA, MINNESOTA 55387 AREA CODE 612 September 18 , 1979 442-2045 448-5535 RECEIVED SEP 19 1979 City of Shakopee 129 East First Avenue Shakopee, Minnesota 55379 CITY Of IS;I'AKOPEE Attention: Mayor & City Council Gentlemen: Re: Shakopee Comprehensive Plan Potential Rezoning of Shakopee Sand & Gravel Company Land and Sewer Service I have had further opportunity to discuss the proposed re- zoning of the Shakopee Sand and Gravel Company land with Harold Roberts. After due consideration, Mr. Roberts is convinced that the reasonable zoning classification for the land in question would be residential . Therefore, on behalf of the owner of the Shakopee Sand and Gravel Company land, I am herewith formally requesting that the Comprehensive Plan and the associated zoning regulations now under consideration by the City Council be amended to provide a residential classification for said premises and remove it from the proposed agricultural zone. I am also advised that the City is currently proceeding with a sewer development that will make it possible to provide gravity sewage facilities to the land in question. While the Shakopee Sand and Gravel Company land does not appear to be within the area proposed to be served by that sewer, it does appear that it could very realistically be a part of the project. The owners , therefore, request that the City include the Shakopee Sand and Gravel Company land in the proposed sewerage extension and that gravity flow sewerage be made available to the land. Yours ve truly, v 0' X? A--- W. R. Glaeser WRG:jsl cc : Mr. Harold Roberts CITY OF SHAKOPEE •3` *� ¢ 129 East First Avenue, Shakopee, Minnesota 55379 MEMO TO: Mayor and City Council Douglas S . Reeder, City Administrator FROM: SUBJECT: Zoning Ordinance Comments from Ron Ward DATE: September 24, 1979 Councilman Ward may be unable to attend this Council meeting because of the death of his father-in-law. He requested that I convey to you two comments on the Zoning Ordinance. 1) He is concerned about the effect of the $1000 deposit required on plats . He is particularly concerned about the effect on small plats -- two lots . 2) He is concerned about the zoning ordinance when it tends to make is more difficult to have a person do his own work. DSR/jiw TENTATIVE AGENDA SHAKOPEE HOUSING AND REDEVELOPMENT AUTHORITY SPECIAL SESSION SEPTEMBER 25 , 1979 Chrm.Hullander presiding. 1 ] Roll Call at 7 : 25 P.M. 21 Resolution No. 79-28, A Resolution Approving the Financing Plan for the Elderly Highrise Redevelopment Project No . 1 31 Resolution No . 79-25, A Resolution Amending the Redevelopment Plan for the Elderly Highrise Redevelopment Project , Project No. 1 41 Recess for City Council meeting 5] Reconvene 61 Resolution No . 79-26, A Resolution Approving the Redevelopment Contract for Elderly Highrise Redevelopment Project ' No. 1 71 Resolution No . 79-27 , A Resolution Approving the Acquisition and Sale of Certain Property 81 Other Business : 9] Adjourn. James A. Dittrich H.R.A. Deputy Director 9/10/79 TAX INCREMENT FINANCING PLAN FOR ELDERLY HIGHRISE REDEVELOPMENT PROJECT Project No. 1 The Housing and Redevelopment Authority in and for the City of Shakopee I. Statement of Objectives The Housing and Redevelopment Authority seeks to achieve the following objectives: a. to provide logical and organized land use for the area consistent with the city comprehensive plan and the zoning ordinance. b. to eliminate blighting influences which to date have impeded potential development of the area. c. to provide adequate utilities and other public improvements and facilities to enhance the area for both new and existing development. d. to stimulate the construction of low and moderate income housing in the project area in the city. e. to provide increased employment and to supplement the financial and property tax base of the city. f. to provide maximum opportunity, consistent with the sound needs of the city as a whole, for redevelopment by private enterprise. II . Statement as to the Development Program for the District The Housing and Redevelopment Authority intends to acquire Lots 6 through 10, and the westerly 10 feet of Lot 4, all in Block 6, in the original plat of the City of Shakopee located in the County of Scott, State of Minnesota. The Authority intends to serve the above-described property with water by the construction of a water main along present right of way in Holmes Street from 5th Avenue to 2nd Avenue, along the right of way on 2nd Avenue from Holmes Street to Fuller Street, and along the right of way in Fuller Street from 2nd Avenue to the property to be redeveloped. The construction of said water main will provide the necessary water service to the elderly highrise to be constructed on the property to be redeveloped. The Authority also intends to construct a stop light to provide for safe access to the property to be rede- veloped by the tenants of the elderly highrise so that they may safely cross ist Avenue. The Authority will construct a walkway to connect the elderly highrise to 1st Avenue. III. The Housing and Redevelopment Authority estimates that the cost to the District, including administrative expenses, will be Three Hundred Forty Thousand Dollars (389,000.00) broken down as follows: a. Land Acquisition $100,000.00 b. Water Main Extension 100,000.00 C. Pedestrian Overpass 110 ,000.00 d. Capitalized Interest 50 ,000.00 e. Relocation Costs 5 ,000.00 f. Paving Costs 1 ,000.00 _l_ L Administrative and Planning Costs 7,000.00 g. 9 h. Fiscal and Legal Costs 10,000.00 i . Discounts for Bonds 6,000.00 TOTAL $389,000.00 Less anticipated sale proceeds 20000.00 NET TOTAL $369 000.00 IV. The Housing and Redevelopment Authority also gives the following estimates: a. Amount of Bonded Indebtedness, through General Obligation Bonds-------------------------------$369,000.00 b. Source of Revenue to Finance Public Costs, the sale of General Obligation Bonds, paid for by the increment estimated to be-----------------------$ 33,873.00 c. The most recent assessed valuation of taxable real property within the District---------------------------$ 34,800.15 d. The estimated captured assessed value of the District upon completion------------ -$355,066.00 e. The duration of the District's existence--25 years. V. Impact on all Taxing Jurisdictions The Housing and Redevelopment Authority estimates that the impact of tax increment financing on the assessed values of all taxing jurisdictions in which the District is located in whole or in part will be negligible. -2- 9/10/79 AMENDED REDEVELOPMENT PLAN FOR ELDERLY HIGHRISE REDEVELOPMENT PROJECT Project No. 1 The Housing and Redevelopment Authority in and for the City of Shakopee I. Description of Redevelopment Project 1. The right-of-way of Holmes Street, south of the north right-of-way of Second Avenue and north of the south right-of-way of Fifth Avenue; the right-of-way of First Avenue, west of the east right-of-way of Fuller Street and east of the west right-of-way of Atwood Street; together with an area bounded as follows, the right-of-way Levee Drive west of the centerline of Holmes Street and east of the west right-of-way of Atwood Street; right-of-way of Atwood Street north of the south right-of-way of First Avenue and south of the north right-of-way of Levee Drive; the right-of-way of Fuller Street north of the south right-of-way of Second Avenue and south of the north right-of-way of Levee Drive; the right-of-way of Second Avenue west of the centerline of Holmes Street and east of the the east right-of-way of Fuller Street; together with the westerly 10 feet of Lot 4, Block 6 , and Lots 6 through 10 inclusive of Block 6 , and the 16 foot alley right-of-way in Block 6 , all in the original plat of the City of Shakopee, located in the County of Scott, State of Minnesota. II. Statement of need 2. The Redevelopment project consists of approximately 1/2 of Block 6 in the original plat of the city of Shakopee, south of Levee Drive, east of Atwood Street, west of Fuller Street and north of the alley way located in said Block 6 , together with various right-of-ways for utility purposes located along the present city streets , and one 10-foot pedestrian access through Lot 4 of Block 6 . The land within the Redevelopment project contains only one dwelling and is not predominantly occupied by buildings, streets, utilities , or other improvements, but at least 80% of the total acreage of said land has a fair market value upon inclusion in the Project which when added to the estimated cost of preparing the land for use, including ptilities, exceeds its anticipated fair market value after completion of said preparation and thus qualifies as a Redevelopment project within. Minnesota Statutes 273.73 Subd. 10 (a) (3) . Because of the location of said property it has not been developed by private enterprise and therefor is stagnate and unproductive. Through acquisition, sight improvements and installation of necessary utilities and improvements by the housing and redevelopment authority , this property at btheehealthfosafetyatwelfareredevelopment and thus contribute economic well being of the city. -1- fir 1 l � 3. Redevelopment Plan Objectives 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 the zoning ordinance. b. to eliminate blighting influences which to date have impeded potential development of the area. c. to provide adequate utilities and other public improvements and facilities to enhance the area for both new and existing development. d. to stimulate the construction of low and moderate income housing in the project area in the city. e. to provide increased employment and to suppliment the financial and property tax base of the city. f. to provide maximum opportunity, consistent with the sound needs of the city as a whole, for redevelopment by private enterprise. 4 . Proposed Redevelopment Activities Redevelopment activity in the elderly highrise redevelopment Project no. 1 will consist of the following: a. acquisition of real property within the redevelopment project and the preparation of property for development by unsight improvements. b. the construction of a water-main extension to serve said project. C. the construction of a stop light to enhance safe access to the property by the elderly. d. the sale of tax increment revenue bonds to finance items (a) through (c) pursuant to Minnesota Statutes, Section 462. 551 and 462. 585. e. The sale of the improved sight to a private developer for the purpose of constructing a six-story highrise residence for the elderly. -2- III . Property Acquisition 1. Property to be acquired Subject to execution of a redevelopment contract with a private developer which (1) provides assurances of construction satisfactory to the housing and redevelop- ment authority and (2) enables the sale of tax increment revenue bonds in an amount sufficient to pay for the redevelopment activities described in the Section II, 4 , the housing and redevelopment authority will require all property within the redevelopment project as described in Section II, 1. 2. Cost It is estimated that the cost of acquiring the property described in Section II, 1, through negotiation or condemnation, will be approximately $100,000.00. 3. Early Acquisition of Land It is anticipated that it will be necessary to acquire the property in the redevelopment project area 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 said moneys . IV. Land Use 1. Permitted Use All new development on land acquired by the housing and redevelopment authority in this redevelopment project shall be for residential purpose and in particular an elderly highrise. 2. Additional Regulation All new development on land acquired by the housing and redevelopment authority in this redevelopment project shall be used in a manner consistent with this redevelop- ment plan and as well as all applicable state and local codes and ordinances, including provisions of the Shakopee Zoning Ordinance. V. Sight Preparation 1. Preparation Activities Activities of the Housing and Redevelopment Authority to prepare the site for development may, but need not, include the following: -3- a. pedestrian overpass b. excavation of unstable soil, replacement and compaction of fill to accommodate development construction, and graving. c. the landscaping and fencing. d. the placement of a water-main extension to serve said property. e. administration, planning and engineering required to pay bids for improvements, issued bonds, and implement resale of land. 2. Estimate of Cost The cost of the redevelopment project to be paid by the city, and of public improvements to be constructed by the city in aid of the project, and the anticipated proceeds to be received by the city from the disposi- tion of the property within the redevelopment project, are estimated as follows: a. Land Acquisition $100,000.00 b. Water Main Extension 100, 000 .00 c. Pedestrian Overpass 110,000.00 d. Capitalized Interest 50,000.00 e. Relocation Costs 5, 000.00 f. Paving Costs 11000.00 g. Administrative & Planning Costs 7,000.00 h. Fiscal and Legal Costs 10,000.00 i. Discount for Bonds 6,000.00 TOTAL $389,000 -00 Less Anticipated Sale Proceeds 20,000 .00 NET TOTAL $3 69,000.00 VI . Land Disposition 1. Sale Subject to all required public notices and hearings, the Housing and Redevelopment Authority may enter into a redevelopment contract with John Bergstead, his assigns , or another qualified developer. The contract will contain such assurances and guarantees as to the development of the property within the redevelopment project as are required by Minnesota Statutes , Section 462. 525 and as will enable the sale of tax increment to revenue bonds. 2. Disposition Value Prior to disposition of property within the redevelop- ment project the Housing and Redevelopment Authority shall, as an aid to it in determining the price thereof, determine the estimated fair market value of the land, such value to be based on planning use and taking into consideration the restriction and limitations imposed by this plan. VII. Financing 1. Tax Increment Certification Upon approval of this redevelopment plan, and upon approval of the financing plan for this project, both by the City Council after the opportunity provided to members of the Scott County Board of Commissioners and members of Independent School District 720 meet with the Authorities , the Housing and Redevelopment Authority shall request the County Auditor to certify the project's original assessed value pursuant to Minnesota Statutes, Section 462.585 , assessed value in excess of the certified amount, attributable primarily to the value added by the redevelopment, will result in the production of real estate taxes in excess of those now produced by the property, with additional taxes. 2. Estimated costs of Housing and Redevelopment Authority including capitalized interest: $389,000 .00 3. Estimated costs of Redevelopment Project to be financed by private developer: $1,800,000.00 4. Estimated Tax Increment Revenue Bonds It is estimated that the city will have to issue tax increment revenue bonds to finance ofh pub000 .00. It redevelopment cost of the project is estimated that the bond issue will include the amount of $45,900 .00 in order to provide monies needed to pay interest on the bonds under tax increments to be derived -5- c • from the redevelopment project are available to pay debt service. VIII. Relocation , within the redevelopment project has The property 1„�, and Mrs . Aliois J. Menden one home occupied by pursuant and there will be relocation obligations p to Minnesota Statutes , Section 117 .52 in the estimated amount urisdictionDlstrict's Existence, IX, present Assessed Valuation, D and Impact on other Tax and J The most recent estimate of assessed valuation of 815.00 . taxable real property within the district is $34, t district It is estimated that this tax increoentwenty years. will be in existence for a period It is estimated tha impact valuesooftallitaxeand financing on the assessed jurisdictions withinwhich eligablestr�.ct is locate in whole or in part X. Redeveloper obligations The general requirements to be imposed upon the redeveloper are as follows : 1. to redevelop the land within the project in accordance with this rede elopment plan and the redevelopment ag r 2 . to submit all constu�horitypforsrevieweand approval. and redevelopment a 3, to commence and complete reasonableuper od of improvements with such housing and redevelopment time as determined by authority. 4. to provide guarantes redevelopment t- 5. its obligation under the 5, not to discriminate on the basis of race, color, sex, or national origin in the construction creed, to ent of personnel, or rental of facility, the emp ym of any units within the completed highrise. 6. to devote the land only to the uses permitted by ment plan for a period of twenty years this redevelop conveyance by the housing from the date of the convey and redevelopment authority. 7. that they Promptly pay all' due real estate taxes and special assessments. -6- / II 8. to take no action which would cause the property within the project to become exempt from real estate taxation for so long as the tax increment revenue bonds are outstanding. 9. to comply with all applicable provisions of the Municipal Housing and Redevelopment act of the State of Minnesota. XI. Modification of Plan The redevelopment plan may be modified at any time before or after the sale of the project area provided the modifica- tion shall be adopted by the Authority and the city council upon such notice and after such public hearing as is required for the original adoption of the redevelopment plan; provided however, that where the Authority determines the necessity of changes in the approved redevelopment plan, or prove modification thereof, which changes do not alter or effect exterior boundaries, or do not substancially alter or affect the general land uses established in such plan, such changes shall not constitute a modification of the redevelop- went plan nor require approval by the city council. XII . Minnesota Housing Finance Agency In the event that the redeveloper obtains financing from the Minnesota Housing Finance Agency (MHFA) , the following shall apply: 1. Notwithstanding the provisions of Paragraphs II (4) (e) , IV (1) , and X (6) , MHFA may at its sole option and discretion authorize occupancy by other than elderly tenants if necessary for the financial success of the development financed by MHFA on the property. 2. If MHFA shall become the owner of the property through foreclosure or deed in lieu of foreclosure, said Para- graphs II (4) (e) , IV (1) , and X (6) restricting the use of the property shall be null and void and of no further force and effect. -7-