HomeMy WebLinkAboutResolution - 83-61 - Establishing Tax Increment District No. 4 - 03/15/1983 CITY OF EDEN PRAIRIE
COUNTY OF HENNEPIN
STATE OF MINNESOTA
RESOLU`1'ION NO. 8 3- 61
RESOLUTION PROVIDING FOR ESTABLISHMENT OF
PROPOSED TAX INCREMENT DISTRICT NO. 4 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. 4 .
1 . 03 . The City has performed all actions required by
law to be performed prior- to the establishment of Tax Increment
District No. 4 and the adoption of the Tax Increment Financing
Plan for Tax Increment District No . 4 , including , but not limited
to, consultations or the opportunity for consultations with Hennepin
County and the School Districts having taxing jurisdiction over -the
property proposed to be included in Tax Increment District No. 4 ,
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 necessary
and in the best interests of the City at this time to establish
Tax Increment District No . 4 and to adopt the Tax Increment
Financing Plan relating thereto .
Section 2 . Findings Concerning Establishment of Tax Increment
District No . 4
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2 . 01. The Council hereby finds , determines and declares
that Tax Increment District No. 4 constitutes a "tax increment
financing district" as defined in Minnesota_Statutes , Section
273 . 73 , Subd. 9 , and further constitutes an "economic development
district, " as defined in Minnesota Statutes , Section 273 . 73 ,
Subd . 12 . --- - --
2 . 02 . The Council further finds , declares and determines
that Tax Increment District No. 4 does not meet the requirements
found in the definition of redevelopment district or housing
district, as defined in Minnesota Statutes , Section 273 . 73 ,
Subd . 1-0 and 11 , respectively , but is in the public interest,
thereby qualifying it as an economic development district .
2 . 03 . The Council further finds , determines and declares
that the development presently occurring for which tax increments
from Tax Increment District No. 4 will be used, in the opinion of
the Council would not have occurred solely through private invest-
ment within the reasonably foreseeable future and, therefore , the
use of tax increment financing is deemed necessary; that the Tax
Increment Financing Plan for Tax Increment District No. 4 conforms
to the general plan for the development of the City as a whole ;
and will afford maximum opportunity , consistent with the sound
needs of the City as a whole , for the development of the Develop-
ment District 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 determina-
tion in writing , attached hereto as Exh.i_bit "A" .
2 . 05 . Under and pursuant to Minnesota Statutes , Sections
273 . 71 to 273 . 78 , inclusive , as amended, Tax Increment District
No . 4 is hereby established in and for the City . The property
included in Tax Increment District No . 4 shall be the property
described :in the Tax Increment Financing Plan for Tax Increment
District No . 4 , adopted in Section 3 hereof .
Section 3 . Adoption of Tax Increment Financing Plan for Tax
Increment District No . 4 .
3 . 01 . The Tax Increment Financing Plan for Tax Increment
District No . 4 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 . Implementation of Tax Increment Financing Plan for
Tax Increment District No . 4 .
s
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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 . 4 and for this purpose
to negotiate, draft , prepare 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 property as described in the Tax Increment Financing Plan for
Tax Increment District No . 4 , 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 . 4 an amount equal to the 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 . 4 during the five years
prior to certification of Tax Increment District No . 4 , and also
to certify total assessed value for the real_ property in Tax
( Increment District No. 4 for that year and to remit -to the Citv
of Eden Prairie each year , commencing in 1986 and ending in 1993 ,
that proportion of all taxes paid that year on real property in
Tax Increment District No . 4 which the captured assessed value
bears to the total current assessed value , all pursuant to
Minnesota Statutes , Section 273 . 76 , Subd . 1 , as amended .
DATED : March 15 , 1983
fMayor
ATTEST:
-Clerk
ance Dir. octor
EXHIBIT A TO RESOLUTION 83-61
Reasons and Facts Supporting Findings for
Establishment of Proposed Tax Increment
District No. 4 and the Adoption of a Tax
Increment Financing Plan Relating Thereto
As Set Forth in Section 2 of Resolution 83-61
BACKGROUND AND SUMMARY OF EVIDENCE
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 . On November 16 , 1982 the City
Council adopted Tax Increment Financing Plan For Tax Increment
District No. 3 . Adoption of the Development District No . 1 and
Tax Increment Financing Plan for an Economic Development District
on September. 22 , 1981. , was preceded by a hearing thereon held on
September 1.5 , 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 , 1981 ,
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March 30 , 1982 , and November 16 , 1982 ; letter from Eden Prairie
Chamber of Commerce dated September 1.8 , 1981 , 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 March 15 , 1983 ,
addressed to the Mayor and City Council ; a letter dated February 10 ,
1983 , addressed to Mr . John Lobben , Chairman of the Board , Eden
Prairie School District No . 272 ; a letter dated February 10 , .1.983 ,
addressed to Mr . Norm Frieder.ichs , Chairman of the Board , Joint
Independent School District No . 287 ; a letter dated February 10 ,
1983 , addressed to Mr . John Derus , Chairman of the Hennepin County
Board of Commissioners ; and a memorandum by Carl J. Jullie, City
Manager , dated March 15 , 1983 .
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 . 4 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 the Project is described in the
Development Program. Tax .increment District No . 4 consists of
Lot 1 , Block 1 , Minnesota Tree . Eugene A. Dietz , Director of
Public Works for the City has provided a memorandum demonstrating
that Lot 1 , Block 1 , Minnesota Tree :is situated within the geo-
graphical. area or 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
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in the major center area was adopted in the City ' s first Compre-
hensive 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 office and commercial development has
been stifled by the lack of 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 esta-
blished 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 is necessary to the growth and develop-
t ment of. the City in general and of the major center area in parti.-
cular . 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 movements
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
Council on September 1.5 , 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 bottlenecking of access to the major center
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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 appreciate of the value of the ]_and which will
increase taxes . He stated that the Project will result in the
preservation and enhancement of the tax 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 manufactur-
ing from moving their operations to another state . He stated the
plan is an economic good for the City . Eugene A. Dietz, Director
of Public Works , in a memorandum dated March 15 , 1983 , stated that
the parcel constituting Lot 1 , Block 1 , Minnesota Tree 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 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 riot 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
riot consist of air rights over a public street or highway or of
rail yards, rail storage facilities or railroad right-of-ways .
Carl Jullie , City Manager , in a memorandum dated March 15, 1983 ,
stated that while improvements in the Project have been contemplated
at least since the early 1970s and efforts have been made to conduct
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the improvements through the local improvement special assessment
to benefitted lands procedure or through other private investment
alternatives , 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 ot;-ier major highway improvements
has not historically been within the capability of private invest-
ment and there is no indication in the light of present economic
conditions that private investment could in the reasonably foresee-
able future cause the improvements in the Project to be made .
At its meeting on August 24 , 1981 , the Planning 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
Tncrement Financing Plans dated March 30 , 1982 , found that the
Plan conforms to the general plan for the development of the muni-
cipality as a whole .
A memorandum by City Assessor , Bob ,'Martz , dated July 7 , 1981 ,
reflects the valuation for cgeneralad valorem 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 . 00
Nomart Shopping Center
1978-1980
$7 , 979 , 400 . 00
Powers Department Store
1977 and 1978
$4 , 720 , 000 . 00
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1
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 .
The Tax Increment Financing District No. 4 ( the "District" )
contained in the Tax Increment Financing Plan for Tax Increment
District No . 4 ( the "Plan" ) consists of Lot 1 , Block 1 , Minnesota
Tree (the "Parcel" ) , as set forth in paragraph C of the Plan .
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II .
The project described in the Plan is that stet forth in the
Development Program (Amended Development District No . 1 Program
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. 1'he Parcel is wholly contained within the
geographic area of the Project.
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Page -7 -
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 .
VI .
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
construction of buildings thereon, the increase of business and
coinmerce 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 . 9 .
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
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or improvement now under. construction . The partially constructed
building is not structurally substandard and does not require
renovation or clearance .
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VIII .
The Parcel is not in a condition having unusual terrain or
soil deficiencies roquiri.ng 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 dove lopmient 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 .
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The Parcel does not consist of used rail yards , rail storage
facilities or excessive or vacated railroad right-of-ways .
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 .
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XIII .
a
The District is an economic development district within the
meaning of Minnesota Statutes Section 273 . 73 , Subd . 12 .
X_Cv.
The improvements in the Project have been contemplated since
the early 1970s . While efforts were made to construct the improve-
ments through the local improvements special assessment to 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 , under-
passes and other major 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 is deemed
necessary .
Xv .
The Project and the improvements within its geographic area
have been reviewed by the City ' s Planning 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 .
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SECTION VI . TAX INCREMENT FINANCING PLAN
FOR TAX INCREMENT DISTRICT NO. 4
The City Council of the City of Eden Prairie, Minnesota has heretofore
established Development District No. 1 pursuant to the provisions of
Minnesota Statutes, Chapter 472A, as amended, and did adopt, on March 30,
1982, an Amended Development District No. 1 Program ( hereinafter referred
to as the "Development Program") , a copy of which is attached hereto as
Exhibit A and incorporated herein by reference.
A. Statement of Objectives.
See Section I , Subsection B of the Development Program.
B. Development Program.
See Section I of the Development Program
C. Parcels to be Included in Tax Increment District No. 4.
The following parcel located in the City of Eden Prairie, County of
Hennepin , State of Minnesota:
PIN Property Description
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10-116-22-44-0003 Lot 1 Block 1 Minnesota Tree
D. Parcels in Acquisition .
It is anticipated that the City will acquire parcels located within
Development District No. 1, but not contained within Tax Increment
District No. 4. These parcels will be acquired through tax increment
financing, in part from tax increments accruing form Tax Increment District
No. 4. As the City acquires said parcels, the T .: Increment Financing Plan
for Tax Increment District No. 4 will be modified to reflect the acquisitions
of said parcels.
The following are conditions under which properties not designated to be
acquired may be acquired at a future date:
( 1) The City may acquire property by gift, dedication , condemnation or
direct purchase from willing sellers in order to achieve the
objectives of the tax increment financing plan ; and
( 2) Such acquisitions will be undertaken only when there is assurance of
funding to finance the acquisition and related costs .
E. Development Activity in Development District No. 1 for which contracts
have been signed .
The following contracts have been entered into by the City of Eden
Prairie and the persons named below:
( 1) Buesing Bros. Trucking, Inc . : $968,835 .22 ; starting August 1982,
estimated completion February, 1983. Partial work on the Prairie Center
Drive/I-494 underpass and connection from W. 78th Street to Valley View Rd.
Grading , curb and gutter, storm drainage, sidewalks, bituminous surfacing,
bridge, ramps and traffic signals, 0. 64 miles. ( I .C. 51-308A)
(2) Shafer Contracting Co. : $3, 782,476.18; starting November , 1982,
estimated completion October, 1984. Partial work on the Prairie Center
Drive/I-494 underpass and connection from W. 78th Street to Valley View Rd.
Grading, curb and gutter, storm drainage, sidewalks, bituminous surfacing,
bridge, ramps and traffic signals, 0. 64 miles. (I . C. 51-308A)
(3) Minnesota Department of Transportation : $165, 757 .18; starting
December, 1982, estimated completion July, 1984. TH 169 from W. 78th Street
to Valley View Rd. Bridge widening and widening TH 169 to four lanes. 0.06
miles. ( I . C. 51-308B)
(4) Richard Knutson, Inc. : $1 ,998,716.88; starting August , 1982,
estimated completion October, 1983. Valley View Rd . -Mitchell Road to Menards
& Prairie Center Drive to TH 5. Grading, curb and gutter, storm drainage.
Sidewalks and bituminous surfacing. 1 . 37 miles. ( I .C. 51-340A)
(5) Hennepin County: $143,239.99; starting July, 1982, estimated
completion July, 1983. Baker/Mitchell Rd. connection. Grading, curb and
gutter , storm drainage, sidewalks and bituminous surfacing along new
alignment of Mitchell Rd. from Valley View Rd. to Baker Rd. 0.85 miles .
( I .C. 51-340B)
(6) Northdale Construction Co. Inc. : $2,413 ,090.60; starting August ,
1982, estimated Completion October, 1984. Prairie Center Drive TH 169 to
TH 5. Grading, curb and gutter, storm drainage, sidewalks and bitiminous
surfacing. 0.85 miles. ( I .C. 51-398)
(7) Hennepin County: $449,781.40; starting April 1983, estimated
completion June 1983. Valley View Road from Washington Ave. to 0.5
miles west. Grading and widening existing road and traffic signal at
Washington Ave. ( I .C. 51-335)
F. Other Specific Develooment Expected to Occur within Development
District No. 1.
The City has given approval for the construction of two banks, a 152-unit
hotel , a condominium office project, an office building and two town of lice
projects . It is anticipated that additional private development of
commercial , industrial and residential projects will occur. Of the above
development anticipated in Development District No. 1, only one of the two
banks as described in Subsection C above is in Tax Increment District No. 4.
G. Budget for Tax Increment District No . 4.
See Section II , Subsection P, page 2-9 of the Development Program.
H. Bonded Indebtedness to be Incurred.
It is anticipated that $22,875,000 of bond indebtedness will be incurred
with respect of Development District No. 1 of which $18,000,000 in general
obligation tax increment bonds were issued in 1982.
I . Sources of Revenue.
1� It is anticipated that the major source fo revenue will be provided
through the issuance of general obligation tax increment bonds with a total
of $22,875,000 anticipated to amortize costs in Development District No. 1.
Bond sales will be staged in this project and based on availability of tax
increment . A first stage issue was sold on March 2, 1982, in the amount of
$18,000,000.
J. Estimate of Tax Increment from Tax Increment District No. 4.
The most recent assessed value of Tax Increment District No. 4 is
estimated to be $5,400.
The estimated captured assessed value of Tax Increment District No. 4 at
completion is estimated to be $390, 200.
K. Duration of the District.
The duration of Tax Increment District No. 4 is expected to be ten years .
L. Estimated Impact on Taxing Jurisdictions.
The estimated impact of Tax Increment District No. 4 on the taxing
jurisdictions within which Tax Increment District No. 4 is located is as
4ollows :
DEVELOPMENT DISTRICT IMPACT ON TAX BASE
Original District District
Assessed % of Future % of
Entity Tax Base Value Entity Assessed Entity
Hennepin County $7,114, 542,800 $5400 .0001% $395,600 .0056%
I .S. D. #272 204,176,469 5400 .0026 395,600 .1938
City of Eden Prairie 211 ,846 , 135 5400 .0025 395,600 .1867
I .S. D. #287 4,452,866, 219 5400 .0001 395,600 .0089
DEVELOPMENT DISTRICT IMPACT ON MILL RATES
Current Potential Mill Rate
Mill Rate Taxes Increase ( 2)
Hennepin County 28.451 (27) $11, 102 .002
I .S. D. #272 49.981 (48) 19, 503 .096
City of Eden Prairie 20.018 ( 19) 7,811 .037
I .S. D. n287 1 .119 ( 1) 437 .000
Other (1 ) 5.569 ( 5) 2, 173 .000
104.537 $41, 026
( 1) Other taxing entities include the Metropolitan Mosquito Control
District, Watershed District, Metropolistan Council , Metropolitan Transit
Commission , Park Museum, County Park Suburban, Hennepin Regional Railroad.
( 2) Assumes construction would have occurred without the creation of a Tax
Increment Financing District. If the construction is a result of tax
increment financing, the impact is $0 to other entities.
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MEMORANDUM
TO : Mayor and City Council
THROUGH : Carl Jullie, City Manager
FROM: Eugene A. Dietz , Director of Public Works
DATE : March 15 , 1.983
RE : Tax Increment District No . 4 .
Lot 1 , Block 1 , Minnesota Tree (the "Parcel" ) , which is the
sole parcel constituting and incorporated within Tax Increment
Financing Plan for Tax Increment District No. 4 ( "Tax Increment
District No . 4 " ) is by definition a contiguous geographic. area .
The Parcel is situated within the project described in Tax Increment
1
District No . 4 which is by reference the Development Program described
in Amended. Development District No . 1 Program, a copy of which is
attached as Exhibit "A" to Tax Increment District No . 4 . Attached
hereto as Exhibit " l" is a copy of the boundary map of Amended
Development District No. 1 Program on which is shown the location
within the boundaries thereof of the parcel .
of
Y
7 Eugene A. Dietz
Directors of Public. Works
MEMORANDUM
TO: Mayor and City Council
THROUGH : Carl Jul-lie , City Manager
FROM : Eugene A . Dietz , Director of Public Works
DATE : March 15 , 1983
RE: Tax Increment District No . 4 .
I , or persons on my staff , have inspected Lot 1 , Block 1,
Minnesota Tree, constituting all of the property and the only
parcel included in Tax Increment District No . 4 , hereinafter
" the parcel . " The inspecticns disclose the following :
1
1 . The parcel is partly occupied by a newly partially
constructed building or improvement now under construction. The
partially constructed building is not structurally substandard
and does not require renovation or clearance .
2 . 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 .
3 . The parcel does not consist of air rights over a public
street. , highway or right-of-way.
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4 . The parcel does not consist of used rail yards , rail
storage facilities or excessive or vacated railroad right-of-ways .
Eugene A . ietz
Director of Public Works
MEMORANDUM
TO : .Mayor. and City COL1nCil
FROM : Carl Jul.lie, City Manager
DATE : March 15 , 1983
RE : Tax Increment District No . 4 .
Improvements were in the Project area have been contemplated
at least since the early 1970s and efforts have been made to
construct the improvements through local improvement special assess-
ments to benefitted lands procedure or through other private invest-
ment alternatives . 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 forseeable future , cause the improvements in the Project
to be made .
Carl J. Tlie�
City M ager
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CITY OFFICES / 8950 EDEN PRAIRIE ROAD / EDEN PRAIRIE. h'N 55344 2499 / TELEPHONE 1612j 937 2262i1L
February 10, 1983
The Honorable John Derus, Chairman
Hennepin County Board of Commissioners
A-2300 Government Center
Minneapolis, Minnesota 55487
Dear Chm Derus and Board Members
Enclosed please find one copy of the proposed Tax Increment Financing
Plan for Tax Increment District No. 4 to be considered for approval by the
City Council of the City o EEden Prairie at a hearing of the City Council on
Tuesday March 15, 198 3.
Please note that the estimated project costs have not changed from those
stated in the original Development Program adopted on September 22, 1981.
The increments accruing to Tax Increment District No. 4 may be used for debt
service on bonds already issued or to be issued, or for project costs.
You are invited to attend the public hearing on March 15; the Council
meets starting at 7 : 30. Any questions or comments may be directed to my
office or to John Frane , Finance Director, at 937-2262
Thank you for your consideration in reviewing this proposal .
Sincerely
Carl J. Jullie
City Manager
cc : Jerry Pahl
_ . J �{
CITY OFFICES / 8950 EDEN PRAIRIE ROAD / EDEN PRAIRIE. MN 55344.2499 / TELEPHO14E (6121 937-2262
February 10, 1983
Mr. John Lobben, Chm of the Board
I .S. D. 2 7 2
8100 School Road
Eden Prairie, Minnesota 55344
Dear Chairman Lobben and Board Members
Enclosed please find one copy of the proposed Tax Increment Financing
Plan for Tax Increment District No. 4 to be considered for approval by the
City Council of the City of Eden Prairie at a hearing of the City Council on
Tuesday March 15,1983.
Please note that the estimated project costs have not changed from those
stated in the original Development Program adopted on September 22, 1981.
The increirents accruing to Tax Increment District No. 4 may be used for debt
service on bonds already issued or to be issued, or for project costs.
You are invited to attend the public hearing on March 15 ; the Council
meets starting at 7 : 30. Any questions or comments may be directed to my
office or to John Frane, Finance Director, at 937-2262
Thank you for your consideration in reviewing this proposal .
Sincerely
Carl J. Jullie
City Manager
CITY OFFICES / 8950 EDEN PRAIRIE ROAD / EDEN PRAIRIE, MN 55344-2499 / TELEPHONE 161,21937-2262 --.
February 10, 1983
Mr. Norm Friederichs, Chairman of the Board
Joint Independent School District #287
Suburban Hennepin Technical Center
1820 Xenium Lane
Minneapolis, Minnesota 55441
Dear Chm Friederichs and Board Members
Enclosed please find one copy of the proposed Tax Increment Financing
Plan for Tax Increment District No. 4 to be considered for approval by the
City Council of the City of Eden Prairie at a hearing of the City Council on
Tuesday March ? 5,1983.
Please note that the estimated project costs have not changed from those
stated in the original Development Program adopted on September 22, 1981.
The increments accruing to Tax Increment District No. 4 may be used for debt
service on bonds already issued or to be issued, or for project costs.
You are invited to attend the public hearing on March 15; the Council
meets starting at 7: 30. Any questions or comments may be directed to my
office or to John Frane, Finance Director, at 937-2262
Thank you for your consideration in reviewing this proposal .
Sincerely
Carl J. Jullie
City Manager
Page 18 — Eden Prairie News -- Thursday, February 24, 1983
t .
f Lets
(Offictal Publlcatlon 2914)
NOTICE OF PUBLIC HEARTNt3
CM OF EDEN PRAIRIE
COUNTY OF HENNEPIN
STATE OF NUNNFSOTA
NUME 15 HEREBY GIVEN that the Ctty C.oun-
cll (the •'Coundl") of the City of Eden F'rairit,
County of Hennepin,State of Minnesota,will hold a
)! public hearing on March 15.140,at 7:30prn st the
City Councll Chambers,at C'"Eden Prairie Read,
Eden Prairie, Minnesota, re'.at.ng to the rr-dirrca-
I tiun by the Counc!l of the Developnrent PTogr am for
Development District No. I (the "Development
District")pursuknt to Niuinesnta Statutes,Chapter
t 472.A, as arnerded, .and Minnrsots Statutes, Sec-
tions M.71 to M.7E,includ-sive,as amended.The
hearing is relative to the establishment of Tax In-
crement District No. d and it proposed Tax Incre-
ment Financing Plan for Tax Increment District
No.4, coples of wWch sr111 be on Me and avaLable
for publ)c inspection in the Finance Director-Clerics
l office at City Hall not later than February 24,39M.
The property Included in Tax Increment District
No.4 is the property legally described follows-
Lot 1 Block I Minnesota'I rice
and(s more"cificatly described In the propor.ed
Tax Increment Financing Plan for Tax IncTemernt
? District :4o.S on file In the Clerks office.
All interested persons may aprxar at the behring
and present their views urally or In writing.
Jolui Franc
City Clerk
(Published in the Eden Prairie Trews FebnraQ-24
ai;d March 3,1IC3)
t
e
DOCUMENT'S REFERRED TO III EXHIBIT "A"
Copies of documents referred to and incorporated in Exhibit "A"
have previously been distributed to members of the Council except
the memoranda from Carl Jullie and Gene Dietz which are included in
this packet . A caniplete transcript of documents is available in
the office of the City Clerk .
Councilman Anderson was sent a copy of these documents .
- /
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