96-8392r
67
RESOLUTION NO. 8392
RESOLUTION APPROVING MODIFICATION NO.3 TO THE CEDAR AVENUE
BUSINESS AREA TAX INCREMENT FINANCING DISTRICT AND APPROVING AND
ADOPTING TAX INCREMENT FINANCING PLAN RELATED THERETO
BE IT RESOLVED by the City Council (the "Council") of the City of Richfield,
Minnesota (the "City"), as follows:
Section 1. Recitals.
1.01. The City Council of the City of Richfield previously adopted a Redevelopment
Plan ("Redevelopment Plan"), and a Tax Increment Financing Plan ("TIF Plan") for the
area of the City generally known as the Cedar Avenue Business Area (CABA Project
Area) on February 22,1988 and modified the TIF Plan on October 15, 1990;
1.02. Due to changes in the distribution of tax increment revenues generated by
and property to potentially be acquired in the Richfield Redevelopment Project Area and
the CABA Project Area, it has been proposed that the City modify the TIF Plan for the
CABA Tax Increment Financing District ("CABA TIF District") and approve and adopt the
Tax Increment Financing Plan relating thereto, all pursuant to and in accordance with
Minnesota Statutes, Sections 469.001 to 469.047, inclusive, as amended, and Minnesota
Statutes, Sections 469.174 to 469.179, inclusive, as amended.
1.03. The Council has investigated the facts and has caused to be prepared the
Modification NO.3 to the Tax Increment Financing Plan for the CABA Tax Increment
Financing District (the "Plan").
1.04. The City has performed all aCtions required by law to be performed prior to
the modification of the CABA Tax Increment Financing District and the adoption of the
Plan relating thereto, including, but not limited to, notification of Hennepin County and
School Districts Nos. 280 and 287 having taxing jurisdiction over the property included in
the CABA Tax Increment Financing District, a review by the City Planning Commission of
the modified Plan and the holding of a public hearing upon published notice as required by
law.
Section 2. Findings for the Establishment of the CABA Tax Increment Financing
District
2.01. The Council hereby finds that the CABA Tax Increment Financing District and
the modified Plan are intended and, in the judgment of this Council, the effect of such
actions will be, to provide an impetus for redevelopment in the public purpose and
accomplish certain objectives as specified in the Plan, which are hereby incorporated
herein.
2.02. The Council hereby reaffirms its finding of February 22, 1988 that the CABA
Tax Increment Financing District is an economic development district under Minnesota
Statues, Section 469.174, Subd. 12.
Resolution No. 8392
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2.03. The Council hereby finds that the redevelopment proposed in the modified
TIF Plan and Redevelopment Plan, in the opinion of the Council, would not occur solely
through private investment within the reasonably foreseeable future, that the modified Plan
conforms to the general plan for the development or redevelopment of the City as a whole;
and that the modified Plan will afford maximum opportunity consistent with the sound
needs of the City as a whole, for the development of the CABA Tax Increment Financing
District by private enterprise.
2.04. The Council further finds, declares and determines that the City made the
above findings stated in this Section and has set forth the reason and supporting facts for
each determination in writing, attached hereto as Exhibit A.
2.05. The Council hereby reaffirms its election for February 22, 1988 calculate
fiscal disparities for this District in accordance with Minnesota Statutes, Section 469.177,
subdivision 3, clause b, which means the fiscal disparities contribution would be taken
from within the District.
Section 3. Approval of the Plans: Certification: Filing.
3.01. The Modification No.3 of the TIF Plan for the CABA Tax Increment Financing
District is hereby approved and adopted, and shall be placed on file in the office of the
Community Development Director. Approval of the modification to the Tax Increment
Financing Plan does not constitute approval of any project or a Redevelopment
Agreement with any developer.
3.02. The City staff of the City are authorized to file the modified Plan with the
State Department of Revenue.
3.03. The City staff of the City, the City's advisors and legal counsel are authorized
and directed to proceed with the implementation the modified Plan 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.
Adopted by the City Council of the City of Richfield, Minnesota this 23rd day of
September, 1996.
ATTEST:
~r~
Thomas P. Ferber, City Clerk
EXHIBIT A
Attachment to
Approving Mod 3
CABA Area
The reasons and facts supporting the findings for the adoption of the Tax Increment
Financing Plan for the CABA Tax Increment Financing District as required pursuant to
Minnesota Statutes, Section 469.175, Subdivision 3 are as follows:
Resolution No. 8392
1. Reaffirming the finding that the CABA Tax Increment Financing District is an
economic development district as defined in Minnesota Statutes, Section 469. 174,
Subdivision 12.
The development consists of a redevelopment project which the HRA finds to be in
the public interest because it will result in increased employment in the municipality
and it will result in preservation and enhancement of the tax base of the
municipality. This will be achieved through the construction of a commercial,
corporate office building and related parking structure on underutilized land. Thus,
the tax increment district meets the statutory requirement of an economic
development district and will henceforth be referred to as a tax increment economic
development district.
2. The finding that the proposed development, in the opinion of the Council, would not
occur solely through private investment within the reasonably foreseeable future
and that the increased market value of the site that could reasonably be expected
to occur without the use of tax increment financing would be less than the increase
in the market value estimated to result from the proposed development after
subtracting the present value of the projected tax increments for the maximum
duration of the district permitted by the plan.
The proposed development in the modified Plan requires certain necessary land
acquisitions and assembly and other improvements without which the developer
could not construct the commercial development project; and without the use of
tax increments as a source of revenue to assist with the financing of the land
acquisition, assembly and other improvements, the developer would not construct
this development in the City.
3. The finding that the Tax Increment Financing Plan for the CABA Tax Increment
Financing District conforms to the general plan for the development or
redevelopment of the municipality as a whole.
The Plan conforms to the general plan for the development of the City as a
whole as it will result in the new construction of a commercial structure.
4. Finding that the Tax Increment Financing Plan for the CABA Tax Increment
Financing District will afford maximum opportunity, consistent with the sound
needs of the City as a whole, for the development of the CABA Redevelopment
Project Area by private enterprise.
The commercial/industrial development to be assisted by the CABA Tax Increment
Financing District will afford maximum opportunity, consistent with the sound needs
of the City as a whole, for the development of the redevelopment project by private
enterprise as it will enable the HRA to provige the necessary commercial
development for the City and a suitable site for development.