HomeMy WebLinkAboutResolution - 82-262 - Establishing Tax Increment District No. 3 - 11/16/1982 CITY OF EDEN PRAIRIE
COUNTY OF HENNEPIN
STATE OF MINNESOTA
RESOLUTION NO. 82-262
RESOLUTION PROVIDING FOR ESTABLISHMENT OF PROPOSED TAX
INCREMENT DISTRICT NO. 3 AND THE ADOPTION OF A TAX
INCREMENT FINANCING PLAN RELATING THERETO
BE IT RESOLVED by the City Council (the "Council " ) of the City
of Eden Prairie, Minnesota (the "City" ) , as follows :
Section 1. Recitals .
1 . 01 It has been proposed that the City establish an additional
tax increment district within Development District No. 1 and adopt a tax
increment financing plan relating thereto, all Pursuant to Minnesota_
Statutes , Sections 273. 71 to 273. 78, inclusive, as amended.
1. 02 . This Council has caused to be prepared, and has investigated
the facts with respect thereto, a proposed Tax Increment Financing Plan
for a proposed Tax Increment District No. 3.
1. 03. The City has performed all actions required by law to be
performed prior to the establishemnt of Tax Increment Distirct No. 3
and the adoption of the Tax Increment Financing Plan for Tax Increment
District No . 3, including, but not limited to, consultations or the
opportunity for consultations with Hennepin County and the School Dis-
tricts having taxing ,jurisdiction over the property proposed to be in-
cluded in Tax Increment District No. 3,
and the holding of a public hearing upon published and i;iai 1 ed
notice as required by law.
1. 04. The Council hereby determines that it is necessary and in
the best interests of the City at this time to establish Tax Increment
District No. 3 and to adopt the Tax Increment Financing Plan relating
thereto .
Section 2. Findings Concerning Establishment of Tax Increment
District No. 3.
2 .01 . The Council hereby finds , determines and declares that
Tax Increment District No. 3 constitutues a "tax increment financing
district, " as defined in Minnesota Statutes , Section 273. 73 , Subdi -
vision 9, and further constitutes an "economic development district, "
as defined in Minnesota Statutes , Section 273. 73, Subdivision 12 .
i
2 -
2. 02 . The Council further finds , declares and determines that Tax
Increment District No. 3 does not meet the requirements found in the
definition of redevelopment district or housing district, as defined in
Minnesota Statutes , Section 273. 73, Subdivisions 10 and 11 , respectively,
but is in the public interest, thereby qualifying it as an economic de-
velopment district.
2.03. The Council further finds , determines and declares that the
development presently occurring for which tax increments from Tax Incre-
ment District No. 3 will be used, in the opinion of the Council would not
have occurred solely through private investment within the reasonably fore-
seeable future and, therefore, the use of tax increment financing is
deemed necessary; that the Tax Increment Financing Plan for Tax Increment
District No 3 conforms to the general plan for the development of the City
as a whole; and wi 1 1 afford maximum opportunity, consistent with the sound
needs of the City as a whole, for the development of the Development Dis-
trict by private enterprise.
2. 04. The Council further finds , determines and declares that the
City made the above findings stated in Section 2 and has set forth the
reasons and supporting facts for each determination in writing, attached
hereto as Exhibit A.
2. 05 . Under and pursuant to Minnesota Statutes , Sections 273 . 71 to
273. 78, inclusive, as amended, Tax Increment District No . 3 is hereby
established in and for the City . The property included in Tax Increment
District No. 3 shall be the property described in the Tax Increment Fi-
nancing Plan for Tax Increment District No. 3, adopted in Section 3 hereof.
Section 3. Adoption of Tax Increment Financing Plan for Tax Incre_=
District No. 3.
3. 01 . The Tax Increment Financing Plan for Tax Increment Distict
No. 3 is hereby approved and adopted in the form attached as Exhibit B
hereto, and shall be placed on file in the Office of the Finance Director-
Clerk.
Section 4. Im lementa_tion of Tax Inc_r_ement Financing Plan for Tax
Increment District No. 3.
4. 01. The officers of the City , the City ' s financial advisor and
the City ' s legal counsel and bond counsel are authorized and directed to
proceed with the implementation of Tax Increment Financing Plan for Tax
Increment District No . 3 and for this purpose to negotiate, draft, pre-
pare and present to this Council for its consideration all further plans ,
resolutions , documents and contracts necessary for this purpose.
Section 5. Certificate of Assessed Value.
5. 01. The County Auditor of Hennepin County (the "Auditor") is
hereby requested to certify the original assessed value of all real prop-
erty as described in the Tax Increment Financing Plan for Tax Increment.
- 3 -
a
District No . 3, as of January 2, 1982, and each year hereafter to certify
the amount by which the assessed value has increased or decreased from the
assessed value of January 2, 1982. Each year the Auditor shall also add
to the original assessed value of Tax Increment District No. 3 an amount
equal to she original assessed value for the preceding year multiplied by
the average percentage increase in the assessed valuation of all property
included in Tax Increment District No. 3 during the five years prior to
certification of Tax Increment District No. 3, and also to certify the
proportion which any such increase or decrease bears to the total assessed
value for the real property in Tax Increment District No. 3 for that year
and to remit to the City of Eden Prairie each year, commencing in 198-5
and ending in 1992 that porportion of all taxes paid that year on real
property in Tax Increment District No. 3 which the captured assessed value
bears to the total current assessed value, all pursuant to Minnesota
Statutes, Section 273. 76, Subd. 1 , as amended.
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ATTEST:
'F na Director-Clerk
f
177(iUfl • r 4, 2
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P
r:
Cvn,iw.ivd fui,ni front
`45) o,,the !. A bA,I!cis f- a
Slip to :;.c
re.�!ricti(.iis 15,101 to EDEN Fli,.AD�H: iN!.1�:Il�:,;.1',.NT SL')jri0L
D 1�I'l�I No. 2,7 2' set ft Ll�e of Nu !i;Ll :C
ported 1,.,-Itting 5,180 to of 1"':r!" (1::'s 1.1,31 t:x
date 1171'2 t t'SC, for tl e ir l7�v! bids.
2,602; n.nd voted yes On Zi bon-
P,,VV; k TO !'.Ill dino alitharity 5,457 to 2,531. Ul rr�*-.nril,
L'N i A M
T-don Prairie had 2 5 ee 'rnv -.I
tr.and f U r"I'ar r'—!'I, 1� AL
,voters; P32 cithers rk,;Tistertld at the No.Z,`Z,F1_11 V C.,:1.,-a
f-d tald,I- all IL: to A,:rd In the Lestu.*.e r of t�-,e Ci-
polls Tuefc):jy in 2 (.tt'r tl11r'l1(lUt close
IK- ty•
to what lead been ]-,;a" V.cw 1, MI.-)- be to: 0;
,cr_c,ta A.H t-e :--n fit I:i* P M. an CI!} C.! and 5)_au ZZ!VC
tn-
el Uxrton:
No%
Diro^fnr S_ 01 P_ud, bile, FOR 0.)1.z,1-F.LVFJ0.N
("I !1 -2
I:)d r�.d LHS CIA:SE.: 10:00 A M.,
a,lud.
1l,4fl5 On X
P: 'L:."DUM 110'S
ith the -i 1 E CITY C� C II.
6 Y 0 fw OF
("A-t hc��ortlnncc
.,,-;n Ar-CL.m.p"nYing the CITY OF L!"EN P.-L1.1il1f,
t,"t. c:c F!�_,flj be in Pu',l L%h,d in fie l FJ t-n Prairie News 0-ot--r 21,'M
nle first iner-lting of 101-ic ne,,�-ly for-in No oral, to.-- or it:. d N r:I L,-r 4,
ed Su1jux-M.n National F.-ink V(ilture
id2cr%4!1:
Out Club was held on, WeJj),_�sday last
week. The rneeting was held in the fold ire orl file at the office of
Eden Prairie CoirLmunity Center's I-es ft V'ie dlstrx-t Of- (official 1"uhlication 1-14-6)
fice looted in E,Ln Eden Prairie School District No.172
rn L:e t ing room. The of District School Fc,:,rd Mevtmg
Robert Provost, president of the No. 772, F,Ien Pr;3irie, Mir,,, ,%ta. reserves the Cictc-ber 7,M2
r!Fl.t to acce;)t a,�) Did or to-E jt-C'k1l)07 ailor A meeting of the I:,de;l:),'enl S
Minnesota Insurance lrifoi-rna,Lion parts of such bids, and wzJile or it-- rIlcn Prai,w S, dE ard, Aas lie!e!L):,the 7'.h
Center, spoke to club In h1,!-1.rIg. of at 7-M P.M.I,,,,U;v So:rd R(.,fll lJ
No bidder niay its Lid AiI.Ln'Lhirly t30) tic Adin!iji,tr:!*,;%e Ser;ic" Bu;I-.';ng,. All 11rt!
Provost felt that the retired person, days after the lime of t;x!ning bids rnci%t<-,s except Mr. 1abbcn and Mr. FrivdtrlLtl.;
or the person prei)ari.ng for retire- without IL,e coI,_svjiL of lnd,ircnd_nt S,,hlol District Here present.
ment, should always h-ve the word No 2,2, Eden pri-tirle the
1 INT)EPWNDFNT SI-11001- DISTRIL71- NO. M, Cl1RnSLf;e-d and ail.-nini!-t ati-e,'!z qwrvisory
,i
enjoy" uy.purirjost iji the;, Lhi,iking. Kl11_:N TE no-1 rt-porLs.
Ile suggested that an invcritury shu,,ad K'_1'NEl1i.N COUNTY Dr. l.)ric,!al, Ctntral Middle S,,:h-,ol prin,.-:pal,
Jo W',,en. Clerk and Mr. Jvh:,,c�on, Huth School princi;�al revie-ti
be. taker. of one's Collection of ilem s iii the Kden Prairie News November 4 vlh,�s siies Pt txath s(h:xils.
through the years. A n t that tile, a deci- and 11, 19a2) A inotion passed to aci.ept a gift of snow slS
from life Cahill Citizt�ns' Coriiiiuni,2zinr.
sion shcoild be made those tee for uc ♦
by !ht, sludents at Chill
items will be used, or if their children School.
%voidd want thein, zind if neither of the A inotv,n to authorize Joseph H'i-on,ii
above mentioned is true, then he sug- i(iffficial 1 ubiciition VM) grader res)djrjp in F.den llra!rie sc!jt-oi district
TO attend the RIOWTmrton school dtsLrict No, 171 fur
gests;one should get rid of those iterns- PUBIJC W0FKS IMI-; the 1.i.3'_,-F.3 year.
.t0vF-1,lij_-1,'T tX)N'TRAUT A r.r-lion to zqq,rove the:case agreenicn,
-use the inoney paid from disp-Dsing of 51-NheA-2 Aith the Y.MCA. Sout!r!aie :',ranch, for,
thein-and "enjoy." Pf�_URIE('FNTER fl-UVF-104INTF_R(1T_ALNGE I-AtCh KC) SC.-VIL'es in the ivest portion of
Bids C*Icj-,,,c: 10:00 Nv%en,,'-er 11, ininis1r;ition huilding.
Provost spoke at-lout cliclosirir a sup- 11,82 144 A niotiun to authorize ;idministraGorl to
pleinerital licalth insurZince and the Eden Pritirie, Mu.i;vsola 5,�_Telephone: 9-17-='62 seek quo%itinn-s for updating the school district's
necessity of not having more in- A.DVEji*rU-.i-:M;_-:NT FUR BIDS energy audit.
surance than the person need-s.lie rug'- City of Eden Fraine,Mir-nesota A motion pa-"t-d to ailthUriZiEl the 0,cl-ber
1',,t ved, levy, for the )!;-11-84 _schfx)I year in the arnct,rit of
Bested that a further program for the , -Ce jS J,e.�VLy given bli'S%A',',I Ile reCIC 89.
ol;,-It-d ai-A rri.�W-l-,at W 1-0 A V,,on Ncvi in 1,er A In,-lion to auh,,ri;A- the e•.;,.:rvl.iture of
club could consist of a Complete ex- 11, 15 2 in tj,e I,rc cn,to of 1-1,e city C'l.-rk and City �jpprcxjm;jh"y $lh,01KI from th, fund.
planation of Nledicare arld Med"waid. Frl�,,.-,ver in Llie Ci.� ijidl, EdenPrairie Fxad,
F&n P-.,irie, for CL'�l'tMICUL)n Of hJ;4r!wd at 9:42 p m.
The irnpurtzincc c:f c;iLilogirig one's Dt-ded in:n.utv�are
street ii.ld ill'�Wmy btl.49vs,Slorm rice,-8,11W S(N-1 Ruzid
personal po!lsessions was stressed. In sewer 1;)d L1,111tics• i flubh,lied in the Eden Prairie News Nove:iltwr 4,
the event of loss of these possessions, Plans, prop-,-a fonns and con-
truct docui;,ents as pritparud by bjjW, Inc.. Con-
one could have a complete record to suiting En,::ncers, '_1219 UroversiLy Avenue
use as a referral for insLLrance pur- Southeii_-d, Miiawsnts 5&414, may be
sk-vn at Vie Eni,;u,c-r*s uIficv and at the City HAU-
po%es. 11,c major IteriLs of work and approximate quart (Official publication 2A421
Provost had many thotlgh'.s for the ti'.;t%will I INU110E UF PUM-1C 10:�%jilNG
• retired person. Many rewarding hours 1.Concrete b.id�r,3 ZZIO�j5q.ft surface area CITY OF FI)KNI PRAIRIE
qjt..jjni;,,.u%lliN ement 23,402 tori MUNTY OF HE',NEPIN
Can be achieved by porticipation in an Concrete Pavement 22.CKYj sq.yd. %-TAIK OF MINNV.�-;OTA
illvest�llcllt Club, co!lc�-iion, and trips. Fickivataxi Vr_4,30 cu.yd. NOTI CT IS 11 V KF:H Y G I V K';'_1-,�the C,,:)C-1ii
r.i,3 3&t, 19,179 cu,yd. ei] (the cf 01'. Of\ M i.-ri i
If it per,�,jil is a co!lcclor, Prl:)vost �4,!�ttar, Se�A er 13,375!1-1 ft.
10L:it the vz,luel of
d for W r lei, 172, h t
that collecliun I Kjiown. RL Ole Cl(,, un,11(.'1-I:'lS.;iI Cz., I,
at 'Lol)of tlw 01 the
L
All cu-stoiners of Suburb.-tri National bid, ma(le 1,,,)�,Wc to the 4.'114 Of I'l-len PrPiric, Road, Y&-fi Pf.. je, MI:llwsoth,
_-`.,i1Jl Of Fidel: sTi-Jific:i1tion by Cie C,.L:r.cil of 0w
Bank who are age 55 -and older iire 1,141-1r, Main,." (or
."ItIL, ifs J.,4o..,i,tcd if Vie
qualified for inci-.i1>e.-ship in the Ven- bi,!,wr,u;-lnt!,c Ir-ing Ll'thcrAlk-1
fail to cn:tr into Vw cont,atcl sz,let.
tLjrC 011t 01.11). 71le Club Will 1>12 11,11d;11 P, 'SLI 1:19, u.C. I'lLt';�^&I S.,tivm 2--0 71 to �7;3 73, ii—ItLm,e,
inectinj,,s on a is. The club C Jlt. d' 1A (lily of tfIl"r"ird. 'Mc ki,ri!1A Ls iii!-
P'.IoLi lu'd S l—�jli C:,: :raywill abet Ile UAJ11)" trips "llid (lave the thrill".wil 01V _n.-er eS*_41l',1,!%I1l,.l1t if—1 hx Irl,-r .1ne'll r 1
opportunity to 1,!,) 01 Il liars h ;1!`Llj.Wd T.,x 1;,.:C::,,fit Vlxrw ::,; I`..c,I'll
cfl�, 1.11 %01l I.-I li,11 re:t;f r,of It.crirn,rist lsiilri-1 N,, .1.- -P,,,M -Y
15) file ;,rid 'ic i
EXHIBIT A TO RESOLUTION 82-262
Reasons and Facts Supporting Findings for
Establishment of Proposed Tax Increment
District No. 3 and the Adoption of a Tax
Increment Financing Plan Relating Thereto
As Set Forth in Section 2 of Resolution 82-262
BACKGROUND AND SUMMARY OF EVIDENCE
y
The City Council. adopted Development District No . 1
and Tax Increment Financing Plan for an Economic Development District
on September 22 , 1981 . Thereafter, on March 30 , 1982 , the City
Council adopted Amended Development District No. 1 Program and Tax
Increment Financing Plans for the City of Eden Prairie , Minnesota.
The latter included Tax Increment District No. 1 and Tax Increment
District No. 2 . Adoption of the Developmert District No. 1 and
lax Increment Financing Plan for an Economic Development District
on September 22 , 1981. , was preceded by a hearing thereon held on
September 15 , 1981 . At the hearing extensive evidence in the form
-of documents , memoranda, reports and oral testimony was introduced ,
all of which is set forth in minutes of the meeting of the City
Council held on September 15 , 1981 . The evidence introduced and as
described in the minutes of September 15 , 1981 , is made a part of
the record in these proceedings . Also made a part of the record in
these proceedings are the notice of the public hearing; minutes of
meetings of the City Council held on September 22, 1982 , and March 30,
1982 ; minutes of a meeting of the City ' s Planning Commission on
March 29 , 1982 ; two memoranda by Eugene A. Dietz , Director of Public
Works , dated November 16 , 1982 , addressed to the mayor. and City
_ouncil ; a letter dated October 15 , 1982 , addressed to Mr. John
Lobbon , Chairman of the Board, Eden Prairie School District No .
272 ; a letter dated October 15 , 1982 , addressed to Mr. Norm
Friederichs , Chairman of the Board, Joint Independent School
District No. 287 ; a letter dated October 15 , 1982 , addressed to
Mr. John Derus , Chairman of the Hennepin County Board of Commissioners ,
and a letter dated November 2 , 1982 , from K. Mitchell , Clerk of the
Board of the Hennepin Country Commissioners , addressed to Carl
Y
Jullie , City of Eden Prairie.
Summary of portions of the evidence contained in the record
relevant to the findings contained in Section 2 follows . The project
for Tax Increment Financing Plan for Tax Increment District No. 3 is
described as the " Development Program" in the Amended Development District
No. 1 Program and Tax Increment Financing Plans for the City of Eden
Prairie , Minnesota , dated March 30 , 1982 . The geographic area of *he Projei-
is described in the Development Program. Tax Increment Distract No . 3
consists of Lot 1 , Block 1 , Edenvale 4th Addition. Eugene A. Dietz ,
Director of Public Works for the City has provided a memorandum
demonstrating that Lot 1 , Block 1 , Edenvale 4th Addition is situated
within the geographical area of the Project. The Development Program
describes the use of tax increments as including payment of principal
and interest on the bonds issued to finance a project.
In his memorandum dated July 7 , 1981 , Chris Enger , Director of
Planning of the City , stated that the concept of a Ring Road in the
major center area was adopted in the City ' s first Comprehensive Guide
Plan in 1968 which was further refined in 1973 as part of the major
center area planned unit development. Mr . Enger noted that regional
y; office and coiruilercial development- has been stifled by the lack of
a
good regional access . He also stated that if congestion can be
reduced and access improved .in the major center area, rapid growth
will result in the traditionally established pattern of development
following roads . If access cannot be improved , growth will stagnate
as more accessible commercial areas retain a competitive advantage over
the City. In a letter dated September 18 , 1981 , Eden Prairie
Chamber of Commerce stated that it views the project as necessary
to the growth and development of the City in general .and of the
major center area in particular. In a letter dated September 14 , 1981 ,
Ron Wesley . Center manager for Homart Development Co. , stated that
since the opening of highway improvements in November , 1979 , consisting
of Highway 169/212 south exit ramp from I-494 westward , traffic move-
ments have steadily increased. Also during this period of time the
Eden Prairie Center ' s occupancy levels , that is the number of merchants,
have also increased. At the public hearing conducted by the City
1
Council on September 15 , 1981 , on the matter of Development District
No. 1 and Economic Development District and Tax Increment Financing
Plan, Robert Boblett , a real estate expert , testified that he does not
believe Eden Prairie is experiencing the degree of development which
should be expected and that can be ascribed to troublesome egress and
ingress . He believes the Project ought to be of relief to the bottle-
necking of access to the major center area and that it will open up
the area to development. He believes it will. result in substantial
construction velocity , all of which will amount to appreciation of
the value of the land which will increase taxes . He stated
that the Project will result in the preservation and enhancement
of the tat base in Eden Prairie that in connection with jobs the Plan
{ would be to the City ' s benefit and that the Plan would discourage
commerce , industry or manufacturing from moving their operations to
another state . lie stated the plan is an cconoinic good for the Ci tv .
Eugene A. Dietz , Director of Public Works , in a memorandum dated
November 16 , 1982 , stated that the parcel constituting Lot 1 , Block 1 ,
Edenvale 4th Addition is partly occupied by a partially completed
building now under construction. The partially constructed building
is not structurally substandard and does not require renovation or
r
clearance. The parcel is not in a condition having unusual terrain
or soil deficiencies requiring substantial filling , grading or other
physical preparation for use and at least 80 percent of the parcel
does not have a fair market value which when added to the estimated
cost of preparing the parcel for development , excluding costs
relating to roads and local improvements , exceeds its anticipated
fair market value after completion of the preparation. He also states
the parcel does not consist of air rights over a public street or
i
highway or of rail yards, rail storage facilities or railroad rights-
of-way. Carl Jullie , City Manager, formerly Director of Public Works ,
.stated that while improvements in the Project have been contemplated
at least since the early 1970s and efforts have been made to construct
the improvements through the local improvement special assessment to
benefitted lands procedure or through other private investment alter-
natives, accomplishing this objective has met with only limited
success with respect to a small part of the project. The building of
roads , bridges , underpasses and other major highway improvements has
not historically been within the capability of private investment and
there is no indication in the light of present economic conditions that
private investment could in the reasonably foreseeable future cause
_he improvements i*n the Project to be made.
At its meeting on August 24 , 1981 , the Planting Commission
found that the Tax Increment Financing Plan conforms to the general
plan for the development of the municipality as a whole and at its
meeting- on March 29 , 1982 , the Planning Commission in reviewing the
proposed Amended Development District No. 1 Program and Tax Increment
Financing Plans dated March 30 , 1982 , found that the Plan conforms
Y
to the general plan for the development of the municipality as a
whole.
A memorandum by City Assessor, Bob Martz , dated July 7 ,
1981 , reflects the valuation for general advalorem taxes of real
property within the major center_ area has been reduced in the following
amounts for the following owners during the following periods :
Sears Roebuck & Co.
1977-1980
$4 , 471 , 000
Homart Shopping Center_
.1978- 1980
$7 , 979 , 400
Powers Department Store
1977 and 1978
$4 , 720 , 000
A report from Jack Hacking dated September 8 , 1981 , to Carl Jullie
setting forth accident information in the major center area indicates that
during the period 1975-1981 a total of 680 accidents occurred in the
area resulting in 274 injuries and 7 fatalities .
Based upon the evidence and the record the Council sets forth
its further specific reasons and facts supporting its findings as
follows ;
I.
Y
The Tax Increment Financing District No. 3 (the " District" )
contained in the Tax Increment Financing Plan for Tax Increment
District No. 3 ( "the Plan" ) consists of Lot 1 , Block 1 , Edenva.le 4th
Addition (the "Parcel" ) , as set forth in paragraph C of the Plan .
lI .
The project described in the Plan is that set forth in the
Development Program (Amended Development District No. 1 Prograut dated
March 30 , 1982 ) referred to in the Plan. . The project consists of
public improvements including roads , grading , curb and gutter , storm
drainage , utilities , sidewalks, bituminous surfacing , traffic signals ,
underpass and ramps , all as more fully described in the Development
Program ( the "Project" ) . The geographic area of the Project is
described in the Development Program at pages 2-11C through 2-11F,
the boundaries of which are further delineated on a map at page
2-11G. The Parcel is wholly contained within the geographic area
of the Project .
III .
Tax increments from the District will be used among other
purposes to pay the principal and interest on the bonds issued or
to be issued to finance the Project.
Construction of the Project will reduce traffic congestion
and provide better access to lands within the Project geographic
area which will result in the development of such lands ? the con-
struction of buildings thereon , the increase of business and
commerce and the increase in jobs as a result thereof_ , all of which
will contribute to economic growth and development in the City.
V.
The District is , therefore , a tax increment
financing district as defined by Minnesota Statutes, Section 273 . 73 ,
Subd. 4.
VI.
The Project, being one for the improvement of roads within
its geographic area, is not intended for occupancy by persons or
families of low and moderate income as defined in those acts and laws
referred to in Minnesota Statutes Section 273. 73 , Subd. 11 , and is
not a housing district as defined therein.
VII .
The Parcel is partly occupied by a partially erected
building or improvement now under construction. The partially
constructed building is not structurally substandard and does not
require renovation or clearance.
VIII .
J The Parcel is not in a condition having unusual terrain or
soil deficiencies requiring substantial filling , grading or other
physical preparation for use . At least 80 percent of the Parcel does
not have a fair market value which, when added to the estimated
cost of preparing the Parcel for development excluding costs related
to roads and local_ improvements , if any , exceeds its anticipated
fair market value after completion of such preparation.
IX. "
The parcel does not consist of air rights over a public
street , highway or right-of-way.
X.
The parcel does not consist of used rail yards , rail
storage facilities or excessive or vacated railroad rights-of-way.
XI .
The District is not a redevelopment district
as defined in Minnesota Statutes Section 273. 73 , Subd. 10.
XII .
The Project which will be financed in part from the tax
increments from the District will (a) discourage commerce , industry
or manufacturing from moving their operations to another state; (b)
result in increased employment in the City ; and (c) result in
preservation and enhancement of the tax base of the City and is
therefore in the public interest.
XIII .
The District is an economic development
district within the meaning of Minnesota Statutes Section 273. 73 ,
Subd. 12 .
XIV.
The improvements in the Project have been contemplated
since the early 1970s . While efforts were made to construct the
improvements through the local improvement special assessment -moo
benefitted lands procedure or through other private ' investment
alternatives , doing so has met with only limited success as to
a small part of the project. Furthermore , the building of roads ,
bridges , underpasses and other rnajor highway improvements has not
historically been within the capability of private investment .
There is no indication in the light of present economic conditions
that private investment could in the reasonably foreseeable future
cause the improvements in the Project to be made. For these reasons
' the use of tax increment financing for construction of the Project
t
is deemed necessary.
XV.
The Project and the improvements within its geographic
area have been reviewed by the City ' s Planninq Commission prior
to the adoption of the Development Program and were found to
conform to the City ' s general plan for its development as a whole.
XVI .
The construction of the Project will reduce congestion
and enhance access to private lands within the Project ' s geographic
area and will thereby encourage and afford development of the lands
within the Project ' s geographic area by private enterprise .