HomeMy WebLinkAboutResolution - 2022-135 - Modification of Tax Increment Financing District No. 14 within Project Area No. 5 - 12/06/2022CITY OF EDEN PRAIRIE
HENNEPIN COUNTY, MINNESOTA
RESOLUTION NO. 2022-135
A RESOLUTION ADOPTING A MODIFICATION TO THE TAX INCREMENT
FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 14 WITHIN
REDEVELOPMENT PROJECT NO. 5
BE IT RESOLVED by the City Council (the "Council") of the City of Eden Prairie, Minnesota (the
"City"), as follows:
1. Recitals.
1.01. The Board of Commissioners (the "Board") of the Housing and Redevelopment
Authority in and for the City of Eden Prairie (the "HRA") has established Redevelopment Project No.
5 (the "Project Area") and adopted the Redevelopment Plan therefor.
1.02. The HRA and the City of Eden Prairie ("City") established Tax Increment Financing
District No. 14: Edenvale Townhomes ("TIF District No. 14") within the Project Area and adopted
the Tax Increment Financing Plan therefor on August 5, 1997, modifications to which were adopted
on April 17, 2007 and July 19, 2016 (the "TIF Plan").
1.03. It has been proposed by the Board and the City that the City adopt a modification to
the TIF Plan (the "TIF Plan Modification") for Tax Increment Financing District No. 14 within
Redevelopment Project No. 5, all pursuant to and in conformity with applicable law, including
Minnesota Statutes, Sections 469.001 to 469.047, and Sections 469.174 to 469.1794, inclusive, as
amended (the "Act"), all as reflected in the TIF Plan Modification and presented for the Board's
consideration.
1.04. The reason for the TIF Plan Modification is to reflect actual increment collected to
date and expected to be collected through the term ofTIF District No. 14 and to align the budget with
actual expenditures.
1.05. The City and the HRA have investigated the facts relating to the TIF Plan Modification
and has caused the TIF Plan Modification to be prepared.
1.06. The City and the HRA have performed all actions required by law to be performed
prior to the adoption of the TIF Plan Modification, including, but not limited to, notification of
Hennepin County and Independent School District No. 272, having taxing jurisdiction over the
property included in the TIF District, and the holding of a public hearing upon published notice as
required by law.
1.07. The City and the HRA are not modifying the boundaries of the Project Area or the TIF
District.
2. Findings for the Modification. The Council hereby reaffirms the original findings for the
TIF District, namely that when the TIF District was established, Tax Increment Financing
District No. 14 was established as a housing district.In addition, the City makes the
following findings:
(i) The proposed redevelopment described in the TIF Plan Modification would not
reasonably be expected to occur solely through private investment within the reasonably
foreseeable future. The major purpose of the TIF Plan Modification is to to reflect actual
increment collected to date and expected to be collected through the term of TIF District
No. 14 and to align the budget with actual expenditures.
(ii) The Tax Increment Plan Modification conforms to the general plan for the
redevelopment of the City as a ·whole. The City reaffirms the original findings by the
City's Planning Commission for the TIF District.
(iii) The Tax Increment Plan Modification will afford maximum opportunity, consistent
with the sound needs of the City as a whole, for the redevelopment of the Project by
private enterprise. The City has promoted affordable rental and owner-occupied
housing for several years. The tax increment from the TIF District will be used to
encourage the private market to offer affordable housing choices and ensure that
affordability is maintained over an extended period of time, and promote increased
housing development in the City. As required by Section 469.176, Subdivision 4d, it is
expected that all of the tax increment to be derived from the TIF District will be used to
finance costs of the low and moderate income housing project, including the cost of public
improvements directly related thereto and allowable administration expenses of the
Redevelopment Project.The City elects to calculate fiscal disparities for the District in
accordance with Minnesota Statutes, Section 469 .1 77, Subd. 3, clause b, which means the
fiscal disparities contribution, if any, will be taken from inside the District. The reasons
and facts supporting the findings in this resolution are further described in the TIF Plan
Modification.
3. Public Purpose.
3.01. The adoption of the TIF Plan Modification conforms in all respects to the requirements
of the Act and will further the original long-term development goals for the Project Area, and
stimulate the creation of additional tax base, employment, and housing opportunities. These public
purposes and benefits exceed any benefits expected to be received by private developers, who will
receive assistance only in the amount needed to make each proposed development financially feasible.
4. Approval and Adoption of TIF Plan Modification.
4.01. The TIF Plan Modification is hereby approved, and shall be placed on file in the office
of the City Clerk.
4.02. City staff is authorized to file the TIF Plan Modification with the Department of
Revenue, the Office of the State Auditor and Hennepin County.
4.03. City staff, the City's advisors and legal counsel are authorized and directed to proceed
with the implementation of the TIF Plan Modification and for this purpose to negotiate, draft, prepare
and present to this Council for its consideration all further modifications, resolutions, documents and
contracts necessary for this purpose.
ADOPTED by the City Council of the City of Eden Prairie this 6111 day of December 2022.
Ronald A. Case, Mayor