HomeMy WebLinkAboutCity Council - 09/22/1981SPECIAL EDEN PRAIRIE CITY COUNCIL MEErING
TUESDAY, SEPTEMBER 22, 1981 7:30 PM, CITY HALL
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Mayor Wolfgang Penzel, George Bentley, Dean
Edstrom, Paul Redpath and George Tangen
City Manager Carl Jullie; City Attorney Roger
Pauly; Finance Director John Frane; Planning
Director Chris Enger; Director of Community
Services Bob Lambert; City Engineer Eugene A.
Dietz, and Recording Secretary Karen Michael
INVOCATIuN: Mayor Wolfgang H. Penzel
PLEDGE OF ALLEGIANCE
ROLL CALL
COUNCIL MEMBERS:
COUNCIL STAFF:
I. APPROVAL OF AGENDA AND OTHER ITEMS OF BUSINESS
II. CONSENT CALENDAR
A. Final plat approval for Willow Creek 2nd Addition (Resolution No.
81-199)
B. Set Public Hearing for October 20, 1981 to consider request
for Municipal Industrial Development Bonds in the amount of
$378,000 for Dean Spencer, Sr. Project
III. PUBLIC HEARINGS
A. Public Hearing for 1981 Assessment Projects (Resooution No. 81-
200)
IV. ORDINANCES & RESOLUTIONS
A. Resolution No. 81-190, establishing and designating Development
District No. 1 pursuant to the provisions of Minnesota Statutes,
Sections 472A.01 to 472A.13, inclusive, as amended, and Minnesota
Statutes, Sections 273.71 to 273.78, inclusive, as amended, and
establishing Tax Increment District No. 1 pursuant to the provisions
of Minnesota Statutes Sections 273.71 to 273.78, inclusive, as
amended and adopting and approving a Development Program and
Finance Plan for said Development District and Tax Increment
District
V. REPORTS OF OFFICERS, BOARDS & COMMISSIONS
A. Report of City Manager
I. Consideration of 1941 City Budget
VI. NEW BUSINESS
VII. ADJOURNMENT.
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CITY OF EDEN PRAIRIE
HENNEPIN.COUNTY, MINNESOTA
RESOLUTION NO. R81- Igg
A RESOLUTION APPROVING FINAL PLAT '
OF WILLOW CREEK 2ND ADDITION
WHEREAS, the plat of Willow Creek 2nd Addition has been sub-
mitted in the manner required for platting land gilder the Eden Prairie Ordinance
Code and under Chapter 462 of the Minnesota Statutes and all proceedings have been
duly had thereunder, and
WHEREAS, said plat is in all respects consistent with the City plan and
the regulations and requirement i of the laws of the State of Minnesota and ordin -
ances of the City of Eden Prairie.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
.EDEN PRAIRIE:
A. Plat Approval Request for Willow Creek 2nd Addition is approved
upon compliance with the recommendation
1 0 the
1
City Engineer's S eptember 16 ' Report on this plat dated 98 ,
That the City Clerk is hereby directed to file a certified copy of
this resolution in the office of the Register of Deed and/or Regis-
trar of Titles for their use as required by MSA 462.358, Subd. 3.
That the City Clerk is hereby directed to supply a certified copy
of this Resolution to the owners and subdividers of the above named
plat.
That the Mayor and City Manager are hereby authorized to Execute
the certificate of approval on behalf of the City Council upon com-
pliance with the foregoing provisions.
ADOPTED by the City Council on .
B.
C.
•
ATTEST:
SEAL
John D. Frane, TiFk
CITY OF EDEN PRAIRIE
ENGINEERING REPORT ON FINAL PLAT
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Penzel and Members of the City Council
Carl Jullie, City Manager
Eugene A. Dietz, Director of Public Works
September 16, 1981
Willow Creek 2nd Addition
PROPOSAL: The Developer is requesting City Council approval of the final
plat of Willow Creek 2nd Addition. This plat consists of five single
family residential lots, each in excess of 40,000 sq. ft. and three
outlots. Outlots A and B will be commonly owned by Lots 1, 2, 4
and 5, with development restrictions to be filed concurrent with
recording of the final plat. Outlot C will be owned by the owner
of Lot 3.
HISTORY: Zoning to R1-22 was finally i'ead and approved by the City Council
on December 18, 1979, per Ordinance #79-42.
The Developer's Agreement for Willow Creek Farm was executed on Decem-
ber 18, 1979, and shall apply to this plat.
The preliminary plat was approved by the City Council on May 19, 1981,
per Resolution R81-96.
VARIANCES: All variance requests must be processed through the Board of
Appeals.
UTILITIES AND STREETS: Municipal sanitary sewer and watermain will not be
Installed at this time. Future installation of these utilities will
be at the expense of the benefitted property owners.
A 24' bituminous roadway will be installed by the Developer. Struc-
turally, the roadway shall conform to Eden Prairie requirements for
residential streets. Storm sewer construction incidental to the road-
way construction may be necessary at the intersection with Flying
Cloud Drive. All roadway and storm sewer construction will be paid for
by the Developer.
An easement for roadway and utility construction will be needed from
the owner of property located south of this plat. This easement must
be filed concurrently with the recorded plat.
Walkways to be installed will be privately owned and maintained and
were not required by the City.
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PARK DEDICATION: The requirements for park dedication are covered in the
Developer's Agreement.
BONDING: The requirements for bonding are covered in the Developer's
Agreement. Bonding will be required for the installation of the road-
way and storm sewer.
RECOMMENDATION: Recommend approval of the final plat of Willow Creek 2nd
Addition, subject to the requirements of this report, the Developer's
Agreement and the following:
1. Receipt of fee for City Engineering services
In the amount of $150.00.
2. Receipt of cash deposit for street lighting in
the amount of $332.55.
3. Receipt of roadway and utility easement noted under
"UTILITIES AND STREETS".
EAD:kh
liolfgang H. Penzel, Mayor
SEAL
.Sept. 22, 1981
CITY OF EDEN PRAIRIE
HENNEPIN COUNTY, MINNESOTA
RESOLUTION NO. R81-200
RESOLUTION APPROVING 1981 SPECIAL ASSESSMENTS
WHEREAS, pursuant to proper notice duly given as required by
law, the City Council has met and heard and passed upon all objections
in the proposed assessments for the following improvements, to wit:
(See Exhibit A attached)
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY,
OF EDEN PRAIRIE:
1. Such proposed assessments are hereby accepted and shall con-
stitute the special assessment against the lands in the
final assessment rolls, and each tract of land therein
included is hereby found to be'benefited by the improve-
ment in the amount of the assessment levied against it.
2. Such assessment shall be payable in-equal annual install-
ments extending over a period of years as shown on Exhibit
A, the first of the installments to be payable on or before
the first Monday in January, 1981. Subsequent installments
shall bear interest at the rates shown on Exhibit A. No
Interest shall be charged if the entire assessment is paid
on or before November 15, 1981.
3. The Clerk shall forthwith transmit a certified duplicate of
this assessment to the County Auditor to be extended on the
property tax lists of the County, and such assessments shall
be collected and paid over in the same manner as other
municipal taxes.
4. It is hereby declared to be the intention of the council to
reimburse itself in the future for the portion of the cost of
this improvement paid for from municipal funds by levying
additional assessments, on notice and hearing as provided
for the assessments herein made, upon any properties abutting
on the improvements but not herein assessed for the improvement
when changed conditions relating to such properties make such
assessment feasible.
6. The assessment data of Resolution No. R81-185 is herein
revised in accordance with Exhibit A attached hereto.
ADOPTED BY THE Eden Prairie City Council on
ATTEST:
John D. Frane, Clerk
MEMORANDUM
TO; Mayor and City Council
THROUGH: Carl Jullie City Manager
FROM: Richard F. Rosow, City Attorney's Office
DATE: September 18, 1981
RE: Special Assessment I.C. 51-325
The City has received a written objection from Rosalla
Pavelka regarding special assessments proposed to be levied against
property owned by the Pavelkae on account of Improvement Project
51-325. The assessment is in the total amount of $240,992.61.
The objection comes as no surprise as an attorney for the Pavelkas'
noted his client's objection to the proposed assessment almost
two years ago.
The Minnesota legislature, in response to several supreme
court cases striking down municipal assessments, changed the pro-
cedural format involved in special assessment hearings. The
statute now specifically provides for an opportunity for the
council to take written or oral testimony from appropriate city
officials and other witnesses as to the amount of the assessment.
The statute also authorizes the taking of written or oral testimony
on behalf of the objecting property owner. In addition the statute
requires that a record of the proceedings and written findings as
to the amount of the assessment be prepared.
In anticipation of an objection by the Pavelkas' we have had
prepared an appraisal of their property by Russell Smith Associates,
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a copy of which is being delivered to you with this memorandum. The
purpose of the appraisal is to determine whether the property to be
assessed is benefited (i.e. increased in value) by an amount equal
to or greater than the amount of the special assessment. Specifically,
the supreme court has ruled that a special assessment which exceeds
the special benefits to the property, measured by the difference
in market value before and after the improvements, is a taking of
property without fair compensation in violation of the Fourteenth
Amendment.
It is the council's statutory obligation to set the amount of
the special assessment after hearing testimony from city officials
and other witnesses.
Prior to the legislature's amendment of the assessment procedures,
the supreme court ruled that upon a constitutional challenge to a
special assessment, the court has an obligation to make an indepen-
dent determination of the benefit conferred and the amount of the
assessment. However, the court suggested that the challenged
municipal determination may be due judicial deference if the
underlying decision making process is designed to effectively
produce a correct or just result or if the decision is informed by
considerable expertise. The statutory amendments were designed to
allow municipalities to take advantage of this suggestion by the
State Supreme Court.
In consultation with Carl Jullie and Gene Dietz, I have made
the following arrangements in regard to the special assessment on
the Pavelka property:
1. A court reporter will be present to take down the entire
proceeding relating to the Pavelka assessment so that
we will have complied with the mandate of the statute
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that the council prepare a record of the proceeding.
2. As with all other special assessments, an appropriate
city official will explain in some detail to the council
the nature of the improvements and the special assessment.
3. Russell Smith, as appraiser on behalf of the city, will
be present at the hearing. I will use Mr. Smith as an
expert witness and will question him regarding his
appraisal in some considerable detail.
4. An opportunity should be made available to the Pavelkas'
or their attorney to present their own written or oral
testimony objecting to the assessment and in addition
to question the witnesses who have testified previously.
After I have concluded my examination of Mr. Smith it is entirely
appropriate and desireableforyou to ask whatever questions you have
of Mr. Smith regarding this matter.
I also wish to remind you that we are currently in litigation
with the Pavelkas'over the condemnation of certain portions of
their property for this particular improvement project. It would
not be appropriate to discuss that matter at the special assessment
hearing. Russell Smith is also the city's appraiser in the condemna-
tion matter and I will instruct him not to respond to any questions
by the Pavelkas' or their attorney that relate to the condemnation
as opposed to the special assessment.
FIRST DRAFT - O'CONNOR & HANNAN
September 2, 1981
CITY OF EDEN PRAIRIE
COUNTY OF HENNEPIN
STATE OF MINNESOTA
RESOLUTION NO.01-190
A RESOLUTION ESTABLISHING AND DESIGNATING DEVELOP-
MENT DISTRICT NO. 1 PURSUANT TO THE PROVISIONS OF
MINNESOTA STATUTES, SECTIONS 472A.01 TO 472A.13,
INCLUSIVE, AS AMENDED, AND MINNESOTA STATUTES,
SECTIONS 273.71 TO 273.78, INCLUSIVE, AS AMENDED,
AND ESTABLISHING TAX INCREMENT DISTRICT NO. 1 PUR-
SUANT TO THE PROVISIONS OF MINNESOTA STATUTES,
SECTIONS 273.71 TO 273.78, INCLUSIVE, AS AMENDED
AND ADOPTING AND APPROVING A DEVELOPMENT PROGRAM
AND FINANCE PLAN FOR SAID DEVELOPMENT DISTRICT AND
TAX INCREMENT DISTRICT.
BE IT RESOLVED by the City Council (the "Council") of
the City of Eden Prairie, Minnesota (the "City"), as fol-
lows:
Section 1. Recitals.
1.01. It has been proposed that the City establish a
development district within the corporate limits of the City
and approve a tax increment financing district and a tax in-
crement financing plan with respect thereto, all pursuant to
and in accordance with Minnesota Statutes, Chapter 472A, as
amended, and Minnesota Statutes, Sections 273.71 to 273.78,
inclusive, as amended. The proposed development district
has been designated as Development District No. 1 (the "De-
velopment District").
1.02. This Council has caused to be prepared, and has
• investigated the facts with respect thereto, a proposed
Development Plan and Program for the Development District
• (the "Development Plan"), defining more precisely the prop-
erty to be included in the Development District and de-
scribing the action to be undertaken by the City to aid the
development of the Development District, and has caused to
be prepared, and has investigated the facts with respect
thereto, a proposed Tax Increment Financing Plan (the
"Financing Plan"), defining more precisely the property to
be included in the tax increment financing district (the
"Tax Increment District") and other matters relating
thereto.
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2111
1.03. The City has performed all actions required by
law to be performed prior to the establishment of the De-
velopment District, the Tax Increment District and the adop-
tion of the Development Plan and the Financing Plan relating
thereto, including, but not limited to, consultations with
Hennepin County and the School Districts having taxing
jurisdiction over the property proposed to be included in
the Tax Increment District, a review of the proposed De-
velopment District and Tax Increment District and the De-
velopment Plan and Financing Plan by the City Planning Com-
mission and the holding of a public hearing upon published
and mailed notice as required by law.
1.04. The Council hereby determines that it is neces-
sary and in the best interests of the City at this time to
establish the Development District and the Tax Increment
District and to adopt and approve the Development Plan and
the Financing Plan relating thereto.
Section 2. Findings and Establishment of Development
District
2.01. The Council hereby finds, determines and declares
that the Development District constitutes a "development
district" as defined in Minnesota Statutes, Section 472A.02,
Subdivision 11, and, therefore, constitutes a "project," as
defined in Minnesota Statutes, Section 273.73, Subdivision
8 .
2.02. The Council further finds, determines and de-
clares that the establishment of the Development District
and the financing of the Development Plan by the City pur-
suant to the Financing Plan is intended and, in the judgment
of this Council, its effect will be, to provide an impetus
for commercial development, increase employment and other-
wise promote certain public purposes and accomplish certain
objectives specified in the Development Plan, Minnesota
Statutes, Section 472A.01, and Minnesota Statutes, Sections
273.71 to 273.78, inclusive, as amended.
2.03. Under and pursuant to Minnesota Statutes, Chapter
472A, as amended, and Minnesota Statutes, Sections 273.71 to
273.78, inclusive, as amended, Development District No. 1 is
hereby established, designated and numbered in and for the
City. The property included in the Development District
shall be the property described in the Development Plan for
the Development District approved in Section 4 hereof.
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Section 3. Findinns'and Establishment of Tax Increment
District.
3.01. The Council hereby finds, determines and declares
that the Tax /ncrement District constitutes a "tax increment
financing district", as defined in Minnesota Statutes, Sec-
tion 273.73, Subdivision 9, and further constitutes an
'economic development district", as defined in Minnesota
Statutes, Section 273.73, Subdivision 12.
3.02. The Council further finds, declares and deter-
mines that the Tax Increment District does not meet the
requirements found in the definition of redevelopment dis-
trict or housing district, as defined in Minnesota Statutes,
Section 273.73, Subdivisions 10 and 11, respectively, but is
in the public interest because:
(a) It will discourage commerce, industry or manu-
facturing from moving their operations to another state;
(b) It will result in increased employment in the
City;
(c) It will result in the preservation and en-
hancement of the tax base of the City.
3.03. The Council further finds, determines and de-
clares that the proposed development, in the opinion of the
Council, would not occur solely through private investment
within the reasonably foreseeable future and, therefore, the
use of tax increment financing is deemed necessary; that the
Financing Plan conforms to the general plan for the develop-
ment of the City as a whole; and that the Financing Plan
will afford maximum opportunity, consistent with the sound
needs of the City as a whole, for the development of the Tax
Increment District by private enterprise.
3.04. The Council further finds, determines and de-
clares that the establishment of the Tax Increment District
and the adoption and approval of the Development Plan and
the Financing Plan by the City is intended and, in the judg-
ment of this Council, its effect will be, to promote the
purposes and objectives specified in this Section 3 and
otherwise promote certain public purposes and accomplish
certain objectives specified in the Development Plan, the
Financing Plan, Minnesota Statutes, Section 472A.01, and
Minnesota Statutes, Sections 273.71 to 273.78, inclusive, as
amended.
3.05. Under and pursuant to Minnesota Statutes, Sec-
tions 273.71 to 273.78, inclusive, as amended, Tax Increment
District No. 1 is hereby established and approved in and for
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the City. The property included in the Tax Increment Dis-
trict No. 1 shall be the property described in the Financing
Plan for the Tax Increment District approved in Section 4
hereof.
Section 4. Adoption of Development Plan and Financing
Plan.
4.01. The Development Plan for the Development District..
and the Financing Plan related thereto, presented to the_
Council on this date, is hereby approved and adopted and
shall be placed on file in the office of the City Clerk...,
The Development Plan and the Financing Plan are in the form
attached as Exhibit A hereto, and hereby made a part hereof,—
entitled "Development District No. 1 and Tax Increment Fin-
ancing Plan for Economic Development District, City of Eden
Prairie, Minnesota, September 15, 1981."
Section 5. Implementation of Development Plan and Fin-
ancing Plan.
5.01. The officers of the City, the City's financial
advisor and underwriter therefor, and the City's legal coun-
sel and bond counsel are authorized and directed to proceed , .
with the implementation of the Development Plan and Financ-
ing Plan and for this purpose to negotiate, draft, prepare '
and present to this Council for its consideration all fur-
ther plans, resolutions, documents and contracts necessary
for this purpose.
Section 6. Certification of Assessed Value.
6.01. The Board of Commissioners of Hennepin County,
acting as County Auditor of Hennepin County, are hereby
requested to certify the original assessed value of all real
property within the applicable parcels 'of the Tax Increment
District, as described in the Financing Plan as of January
2, 1980, and each year hereafter to certify the amount by .
which the assessed value has increased or decreased from the
assessed value of January 2, 1980, and also to certify the
proportion which any such increase or decrease bears to the
total assessed value for the real property in the Tax Incre-
ment Districts for that year and also to remit to the City
of Eden Prairie each year, commencing on the date indicated
in the Financing Plan for the Tax Increment District, that
proportion of all taxes paid that year on real property live
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the Tax Increment District which the captured assessed value
bears to the total current assessed value, all pursuant to
Minnesota Statutes, Section 273.76.
May or
Attest:
aty Clerk
etril.,,,ft? Eden Roble Chamber of Commerce
.„25kc.1
8455 Hg Cloud Drove
Eden Rome Health Center
Hying
Eden Rome, MN 55344
Phone 612•044•2830
DonoId L. Hess. Presdent
Duane I. Adcock, V'Ke President
George C. Bentley, Vice President
James M. 5hults, Treasurer
Gene A. Hobermon. Post President
Marjone Fnedenchs, Executrve Director
September 18, 1981
City Council Members
City of Eden Prairie
8950 Eden Prairie Road
Eden Prairie, Mn. 55344
Dear Council Members:
The Board of Directors of the Eden Prairie Chamber of Commerce
wishes to again go on record in support of the Tax Increment
Financing project designed to complete the ring road system of
the Major Center Area.
Over the years the Eden Prairie Chamber of Commerce has been
involved in and informed of the progress of this project. The
basic philosophy of the Chamber is to support projects that will
benefit the community as a whole, as well as the business com-
munity. We view this project as necessary to the growth and
development of Eden Prairie in general and the Major Center Area
in particular.
Therefore, we wish to reaffirm our support on the project and the
proposed method of financing. In light of this new proposal the
Chamber encourages its affected members to drop the lawsuit some
of them filed against the city in 1974 and work toward a congenial
solution to the situation that will allow the community to move
forward in its planned development.
Sincerely,
1,14:41r,/4&•/.
Donald L. 'Bele
President
cc: affected members
Chamber board
opt In
fftWCO
SEP 18 198 1