13-10772r CITY OF RICHFIELD,MINNESOTA
RESOLUTION NO. 10772
RESOLUTION APPROVING A COOPERATIVE AGREEMENT
WITH THE HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF RICHFIELD,MINNESOTA
WHEREAS, pursuant to a resolution adopted February 12, 2013, the City of Richfield (the
"City") has ordered the construction of the Richfield Parkway Phase II Project (Improvement Project
No. CP-41007 (North Richfield Parkway)), which includes reconstruction and widening of the Richfield
Parkway from 66th Street to Bloomington Avenue (the"Richfield Parkway Project"); and
WHEREAS, due to the significant amount of right-of-way that is needed for the Richfield
Parkway Project, the City has determined it necessary to acquire all or portions of 14 parcels of property
located on 17th Avenue (the "Assembled Properties"), because once the right-of-way is provided to the
City,the remainder of the lots will not be usable for residential purposes;and
WHEREAS, the Housing and Redevelopment Authority in and for the City of Richfield (the
"Authority") has purchased two of the 14 parcels of property that constitute the Assembled Properties and
proposes to convey to the City the easements necessary for the construction of the Richfield Parkway
Project over those parcels; and
WHEREAS, following the completion of the Richfield Parkway Project, the City proposes to
levy special assessments against all properties benefitted by the Richfield Parkway Project and convey to
the Authority the remaining 12 parcels (the "City Parcels"), reserving to the City an easement for the
Richfield Parkway Project; and
WHEREAS, upon conveyance to the Authority of the City Parcels, it is proposed that the
Authority be responsible for the payment of special assessments levied against the Assembled Properties
and all maintenance of the Assembled Properties; and
WHEREAS, the City has proposed to loan funds from its Permanent Improvement Revolving
Fund(the"Interfund Loan")to the Authority in order for the City to prepay the special assessments levied
against the Assembled Properties; and
WHEREAS, it is proposed that the Authority will pledge the following revenues to the repayment
of the principal of and interest on the Interfund Loan in the following order of priority: (i) all proceeds of
the sale of all or any portion of the City Parcels; (ii) tax increment revenues derived from the Cedar
Avenue Tax Increment Financing District and legally available to pay the principal of and interest on the
Interfund Loan; and (iii) any other funds of the Authority that are legally available to pay the principal of
and interest on the Interfund Loan; and
WHEREAS,to memorialize the agreement between the Authority and the City with respect to the
Assembled Properties, a Cooperative Agreement has been drafted and is on file with the City; and
WHEREAS, on February 19, 2013, the Board of Commissioners of the Authority approved the
execution and delivery of the Cooperative Agreement; and
WHEREAS,the City Council has reviewed the Cooperative Agreement and finds that the execution
thereof by the City and performance of the City's obligations thereunder are in the best interest of the City
and its residents; and
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Richfield,
Minnesota as follows:
1. The Cooperative Agreement presented to the City and on file with the City Clerk is hereby
in all respects approved, subject to modifications that do not alter the substance of the transaction and that are
approved by the Mayor and City Manager; provided that execution of such document by such officials shall
be conclusive evidence of approval.
2. The Mayor and City Manager are hereby authorized to execute the Cooperative Agreement
on behalf of the City and to carry out on behalf of the City the City's obligations thereunder.
Adopted by the City Council of the City of Richfield,Minnesota this 26th day of February,2013.
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Debbie Goettel,Mayor
ATTEST:
Nancy Gibb , C ty Clerk
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