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HomeMy WebLinkAboutCity Council - 09/04/2007 - HRA APPROVED MINUTES HOUSING AND REDEVELOPMENT AUTHORITY TUESDAY, SEPTEMBER 4, 2007 7:00 PM, CITY CENTER Council Chamber 8080 Mitchell Road HOUSING AND REDEVELOPMENT AUTHORITY MEMBERS: Chair Phil Young, Council Members Brad Aho, Sherry Butcher, Jon Duckstad and Kathy Nelson CITY STAFF: City Manager Scott Neal, Public Works Director Eugene Dietz, City Planner Michael Franzen, Community Development Director Janet Jeremiah, City Attorney Ric Rosow, Finance Director Sue Kotchevar and Recorder Jan Curielli I. ROLL CALL/CALL THE MEETING TO ORDER Young called the meeting to order at 7:07 p.m. in shared session with the Council meeting. II. APPROVE MINUTES OF HRA MEETING HELD ON MAY 15, 2007 MOTION: Duckstad moved, seconded by Aho, to approve the minutes of the HRA meeting held on May 15, 2007 as published. Motion carried 5-0. III. ADOPT RESOLUTION HRA NO. 2007-03 APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE HRA AND WINDSOR PLAZA, LLC RELATING TO TOWN CENTER PHASE ONE TAX INCREMENT FINANCING DISTRICT LOCATED WITHIN REDEVELOPMENT PROJECT AREA NO. 6 AND AUTHORIZE THE CHAIRPERSON AND EXECUTIVE DIRECTOR TO EXECUTE THE DEVELOPMENT AGREEMENT ON BEHALF OF THE HRA Neal said this is a resolution approving a development agreement between the HRA and Windsor Plaza, LLC relating to Town Center Phase One Tax Increment Financing District #21 located within redevelopment project area No. 6 and authorizing the Chairperson and Executive Director to execute the development agreement on behalf of the HRA. The TIF Redevelopment District for Town Center Phase I—Windsor Plaza was approved by the City Council on December 19, 2006. The agreement outlines all the terms and conditions of the TIF plan, including the following key points: ■ Provided the project continues to qualify - $4.5 million in TIF will be provided to the project over the next 25 years. ■ TIF funds will help defray costs associated with the redevelopment including structured parking, building demolition, and land write down. ■ There are significant look-back provisions that require the developer/owner (Solomon Group) to reimbursement TIF funds to the City if the project performs better than expected and/or if it is sold for a considerable profit. ■ The developer also agrees to participate in a"Special Services District" that the City may establish in order to pay costs related to the development of a Town Square. HRA MINUTES September 4, 2007 Page 2 Community Development Director Jeremiah said this has been a long time coming getting it negotiated and they are very pleased with the terms and the project that includes all the amenities we have seen and discussed in the past. MOTION: Nelson moved, seconded by Butcher, to adopt Resolution HRA No. 2007-03 approving a development agreement between the HRA and Windsor Plaza, LLC relating to Town Center Phase One Tax Increment Financing District#21 located within redevelopment project area No. 6 and authorizing the Chairperson and Executive director to execute the development agreement on behalf of the HRA. Motion carried 5-0. IV. ADOPT RESOLUTION HRA NO. 2007-04 APPROVING THE PROPOSED 2008 HRA PROPERTY TAX LEVY AND ACCEPTING A PROPOSED HRA BUDGET FOR GENERAL OPERATIONS Neal said this is a resolution approving the proposed 2008 HRA property tax levy and accepting the proposed 2008 budget. Minnesota Law authorizes the HRA to levy a tax with the consent of the City Council. Per Minnesota Statute, Housing and Redevelopment Authorities can levy a tax of up to .0144 percent of taxable market value. The proceeds may be spent on planning and implementation of redevelopment and/or low-rent housing assistance programs with the City. The limit for the City of Eden Prairie is approximately $1.3 million. The proposal is to approve a preliminary tax levy of$200,000 for the 2008 budget. Duckstad said he noticed Mr. Neal indicated the resolution being sought was preliminary only. Neal said this is a preliminary resolution and does require a final Council approval later this year,probably in December. Duckstad asked if that means agreeing to this resolution now does not bind the Council to the $200,000 levy. Neal said that was true. MOTION: Aho moved, seconded by Butcher, to adopt Resolution HRA No. 2007-04 to approve the proposed 2008 property tax levy to be $200,000 and to accept the proposed 2008 budget of$200,000. Motion carried 5-0. V. ADJOURNMENT MOTION: Nelson moved, seconded by Duckstad, to adjourn the HRA. Motion carried 5-0. Chair Young adjourned the meeting at 7:11 PM.