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HomeMy WebLinkAboutResolution - 2015-89 - Third Amendment to TIF District 15 Project Management Agreement - 09/15/2015 CITY OF EDEN PRAIRIE HENNEPIN COUNTY, MINNESOTA RESOLUTION NO. 2015-89 RESOLUTION APPROVING THE THIRD AMENDMENT TO PROJECT MANAGEMENT AGREEMENT AND AUTHORIZING ITS EXECUTION 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. The Board of Commissioners (the "Board") of the Eden Prairie Housing and Redevelopment Authority (the "HRA") has heretofore established Redevelopment Project No. 5 (the "Project Area") and adopted the Redevelopment Plan therefor. In 2011 HRA and the City adopted a Modification to the Redevelopment Plan (the "Redevelopment Plan Modification") for the Project Area and a Modification to the Tax Increment Financing Plan (the "TIF Plan Modification") for Tax Increment Financing District No. 15 (the "TIF District") therein (the Redevelopment Plan Modification and the TIF Plan Modification are referred to collectively herein as the "Modifications"), all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.001 to 469.047, and Sections 469.174 to 469.1799, all inclusive, as amended all as reflected in the Modifications, and presented for the Council's consideration. 1.02. Tax Increment from the TIF District has been used to pay for certain development costs. The City has required the developer of Summit Place to enter into a Project Management Agreement whereby the developer agrees to provide affordable senior housing units at Summit Place senior campus. The Modifications, among other matters, allowed the City and HRA to extend the term of the affordability of 43 units from 15 to 25 years. 1.03 The property in the TIF District is currently subject to that certain Amended Project Management Agreement dated December 18, 2001 by and between the City and SC Properties Minnesota Properties, LLC, as amended by that certain Second Amended Project Management Agreement dated June 1, 2004 by and between the City and EP Senior Housing, LLC and EP Assisted Living, LLC, through which the City required certain covenants and conditions with regard to the development and operation of Summit Place Senior Campus. 1.04 The City and the developer of Summit Place have negotiated the terms of a Third Amendment to Project Management Agreement which sets forth covenants and conditions regarding the operation of Summit Place Senior Campus and which increases the amount of tax increment support available, which is anticipated to be provided over the extended additional term. Section 2. Approval and Adoption of Third Amendment to Project Management Agreement and Additional Approvals 2.01 The Third Amendment to Project Management Agreement is hereby approved. The Mayor and City Manager are authorized to execute the Third Amendment to Project Management Agreement and such other documents and certificates as may be necessary to give effect to the transaction herein contemplated. ADOPTED by the Eden Prairie City Council on this 15th day of September 2015. ancy a- en , or ATTEST: Kath een Porta, City Clerk