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1993-47242 _.. HRA RESOLUTION N0. 472 THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF RICHFIELD, MINNESOTA RESOLUTION APPROVING THE ESTABLISHMENT OF A DEVELOPMENT ACCOUNTAND SETTING FORTH THE PROCESS FOR FUNDING A DEVELOPMENT ACCOUNT BE IT RESOLVED by the Housing and Redevelopment Authority in and for the City of Richfield, Minnesota as follows: Section 1. Recitals. 1.01 The Housing and Redevelopment Authority in and for- the City of Richfield, Minnesota (the "HRA") has identified that there is an ongoing need within the City for redevelopment of property both within and outside of the boundaries of existing tax increment districts. 1.02 The HRA has determined that duration limits on its existing tax increment financing districts and the impediments to establishing new tax increment financing districts have encouraged the HRA to seek new financial tools to achieve its redevelopment objectives. 1.03 The HRA has conducted a study and determined that the establishment of a Development Account (the "Account") will offer an additional redevelopment mechanism to achieve its goals and objectives. 1.04 The HRA maintains a concern for other taxing jurisdictions' ability to maximize the existing and future property tax base. The HRA has determined that the use of the Account will provide an alternative method of redevelopment funding without the necessity to establish new tax increment financing districts while catalyzing increases in the property tax base within the City. 1.05 The HRA has completed a study and has identified 5600,000 in interest income and land proceeds in its tax increment accounts that are not currently budgeted and are available for use in the Account for the fiscal year 1993. Section 2. HRA Aporoval. 2.01 The HRA finds that the objective of encouraging redevelopment within the . existing redevelopment project areas will be advanced by establishment of the Account. 2.02 Staff is directed to formulate budget procedures for annual deposits to the Account. 2.03 The HRA approves the transfer of 5600,000 to the Account far fiscal year 1993. HRA Resolution No. 472 Page 2 2.04 Staff is directed to submit a list of potential projects for use of the initial 5600,000- of Account funds in fiscal year 1993. 2.05 Staff is directed as part of the annual budget process to identify the amount of interest and other funds that can be transferred to the Account. The annual • recommendation will include an analysis to determine the sufficiency. of tax increment account balances to meet current and future HRA obligations. Adopted by the Housing and Redevelopment Authority in and for the City of RICHFIELD this 19th day of April, 1993. Thomas E. Harms, Chairperson .~ Larry Woznic a, S retary i1 1