09-28-199990 PLANNING COMMISSION
AGENDA --
September 28, 1999
7:00 p.m.
Roll Call
Approval of Minutes
Planning Commission meeting of August 24, 1999.
Public Hearing
ITEM #1 99 -CUP -5 1208 East 66th Street
Mark Ogren, Ogren Properties
Conditional Use Permit to allow addition of a convenience
store and gas station to the existing shopping center
New Business
ITEM #2 PC Letter #27
ITEM #3 PC Letter #28
ITEM #4 PC Letter #29
Old Business
Liaison Reports
Adi ournment
Finding of Consistency with the Comprehensive Plan and
Modified Gramercy and Urban Village Tax Increment
Financing District Plans and the Richfield Rediscovered
1999 TIF District Plan
Update on Community and Recreational Center
Rick Jabs, Task Force Chair
Review Recommendations from Richfield Town Home
Focus Group
School Board
Community Services Advisory Commission
HRA
City Council
Auxiliary aid for individuals with disabilities are available upon request. Requests must
be made at least 96 hours in advance to the Administrative Service's Director at 861-
9702".
Planning Commission Minutes
Regular Meeting
August 24, 1999
MEMBERS PRESENT: Commissioners: Terry Ahlstrom, David Gepner, Bill Kilian,
Daniel Linnihan, and Mark Tolvstad.
MEMBERS ABSENT: Roger Gordon and Brenda Bjorklund
COUNCIL LIAISON: Martin Kirsch, Mayor
STAFF PRESENT: John Stark, Community Development Manager
Julie Urban, Zoning Administrator
Mark Andrle, Community Development Technician
The Planning Commission meeting was called to order by Vice - Chairperson Linnihan at
7:05 p.m.
APPROVAL OF MINUTES
M /Gepner, S/Kilian to approve the minutes of the study session Planning Commission
meeting off July 13, 1999.
Motion carried: 5 -0
M /Kilian, S /Gepner, to approve the minutes of the regular Planning Commission meeting
of June 22, 1999.
Motion carried: 5 -0.
PUBLIC HEARINGS
99 -PUD -1
ITEM #1 Planned unit development plan and rezoning to allow
construction of a mixed land use development of
Retail, office, multi- family and townhomes.
August 24, 1999
Page 2
John Stark, Community Development Manager, reviewed the three phases of the
redevelopment project proposed by CSM Corporation for the Lyndale Gateway area.
Mr. Stark stated that Phase III will include 40 townhomes units instead of the 32 which
was previously proposed.
Mr. Stark stated that staff recommends approval of the request for a PUD plan for the
Lyndale Gateway project and rezone property between 76`h
and 77'
S
Streets and Aldrich Ave. to
165 feet east of the center line of Garfield Avenue from R, C -1 and C -2 to PC -2 with
stipulations.
Commissioner Gepner asked why three phases are needed. Mr. Stark stated that CSM is
only applying for the PUD and rezoning for the senior housing project right now. Another
reason is because TIF has only been approved for Phase I and III. Mr. Stark added that Phase I
and III should happen together while Phase II is independent.
Murray Kornberg, Vice - President of CSM stated that Phase I and III construction will
start before Phase II, but the they may be completed at the same time.
Gary Tushie, of Montgomery Tushie reviewed the changes they have made to the
proposed plan. They increased the density of the townhomes to 25 units per acre and the set
back from Garfield Avenue has been reduced. The senior building will have only one center
access off of Lyndale, the grade of the building has been raised to allow balconies for the first
floor units, an outdoor deck has been added and the sidewalks have been tied to the existing
sidewalks.
Mr. Tushie added that 30 units in the senior building will be changed to assisted living
and the exterior design of the townhomes, commercial building and senior building will be better
tied together.
Ruth Larson, 7638 Harriet Avenue, stated her concerns with increased traffic on Harriet
Avenue and the scale of the townhomes to the single family homes. She also suggested that the
homes be screened from the townhomes.
Mr. Tushie stated that there is no entrance for the townhomes off of Harriet so most of
the townhome traffic will come off of Garfield. Mr. Tushie added that there will be a five foot
hedge between the residents and the townhomes that will provide screening. The hedge can be
cut even higher.
Mr. Stark stated that there are open houses planned regarding the design of the
townhomes where residents can provide their input on the development.
Ken Pilder, 7544 Garfield, stated that he doesn't want to have increased traffic on 76`
h
Street due to the proposed development.
August 24, 1999
Page 3
Susan Rice, 7608 Grand, stated that she is concerned about the taking of more homes and
would like to see the end of additional projects.
Commissioner Linnihan explained the reasons behind projects like this one.
John Walswick, 7633 Garfield, stated that he would like the process to move along faster.
M /Kilian, S /Gepner, to close the public hearing.
Motion carried: 5 -0.
Commissioner Kilian asked if it is possible for Phase I to go through without Phase III.
Mr. Stark stated yes. Commissioner Kilian stated that if Phase I happens and Phase III does not,
then there will be no buffer between the senior complex and single family homes. Commissioner
Kilian suggested that Phase I and III be linked so they are guaranteed to happen together.
M/Kilian S /Ahlstrom, to follow staff's recommendation to approve the request for a PUD
and the rezoninfz of the property in the Lyndale Gateway area and linking Phase I and III so they
are guaranteed to happen together.
The Commission agreed that the motion would be better tied to Item #2 on the agenda.
Motion denied: 0 -5.
M/Kilian S /Gepner, to follow staff's recommendation as presented, to approve the
request for a PUD plan for the Lyndale Gateway Project and rezone property between 76`x' and
77 th Streets and Aldrich Avenue to 165 feet east of the center lone of Garfield Avenue from R.
C -1 and C -2 to PC -2 with the following stipulation:
The rezoning shall become effective on a sub -area basis. Sub -area one is between
Lyndale and Garfield Avenues, Sub -area two is west of Lyndale Avenue, Sub -area three is east
of Garfield Avenue. When the developer holds title to all properties in the sub -area, the rezoning
shall become effective except in area three, the rezoning shall become effective when the
developer holds title to all the property in the sub -area and the rezoning of sub -area one has
become effective.
Motion carried: 5 -0.
99 -FDP -1 99 -CUP -4
ITEM #2 Final development plan and conditional use permit
For the senior housing and office component (Phase I)
Of the Lyndale Gateway Development
August 24, 1999
Page 4
Mr. Stark reviewed the FDP and CUP for the senior housing and office component
Phase I) of the Lyndale Gateway development.
Mr. Stark stated that staff recommends approval of the request for a FDP and CUP for
Phase I of the Lyndale Gateway development with stipulations outlined in the staff report and
adding stipulations relating to the design of the air conditioning units and tying phase I and III
together.
Commissioner Kilian asked what will be under the first floor balconies. Gary Tushie
stated that there will be berming up to the bottom of the balconies.
Commissioner Kilian asked if the trees planted in the development will be of a larger
variety. Mr. Stark stated that staff will make sure the trees will be larger.
M/Kilian, S /Gepner to close the public hearing.
Motion carried: 5 -0
M /Gepner, S /Kilian to recommend that the City Council approve the request for 'a FDP
and CUP for Phase I of the Lyndale Gateway development with the following stipulations:
1. That a final landscape plan be submitted, including a tree protection plan, and
approved by the Community Development Director.
2. That a sediment and erosion control plan be approved by the Public Works Director.
3. That a stormwater management plan be approved by the Public Works Director.
4. That the property platted.
5. That a si ngageplanbesubmittedandapprovedbytheCommunityDevelopment
Director.
6. That details of the noise wall removal and planting replacement be approved by the
Public Works Director.
7. Design of air conditioning unit covers be approved by the Community Development
Director.
8. That a FDP and CUP be approved for Phase III of the development.
Motion carried: 5 -0.
PC Letter #25
ITEM #3 Rezone properties to a zoning classification that is
consistent with the Comprehensive Plan
Zoning Administrator, Julie Urban reviewed the fourteen properties that are being
considered for rezoning to be consistent with the Comprehensive Plan. Ms. Urban stated that
staff recommends rezoning the stated properties to a zoning district consistent with the
Comprehensive Plan.
August 24, 1999
Page 5
The Commission discussed the property at 500 E 66`h Street and decided that the new
zone should remain as MR -2. They didn't see this property as an appropriate location for a large
commercial development.
Dennis Dietzler 7005 Nicollet, stated he does not want his property rezoned to R because
he plans to redevelop the property into an office. Mr. Dietzler stated that if his property remains
as C -1 it would be consistent with the surrounding land uses.
Commissioner Linnihan stated that when Mr. Dietzler does redevelop his property there
may be other requirements for an office use that he may not be able to meet. Ms. Urban
recommended removing Mr. Dietzler's property from the list and she would review the
commercial development possibilities for the site and bring information back to the Commission.
M/Kilian S /Gepner, to close the public hearing.
Motion carried: 5 -0.
M/Kilian S /Tolvstad, to recommend that the City Council rezone the stated properties to
a zoning district consistent with the Comprehensive Plan, but holding over the property at 7005
Nicollet for further staff evaluation.
Motion carried: 5 -0.
NEW BUSINESS
None.
OLD BUSINESS
PC Letter #26
ITEM #4 Consideration of draft ordinance amendment relating
To restaurants that serve alcohol
Ms. Urban reviewed the staff report regarding the consideration of draft ordinance
amendment to regulate restaurants that serve alcohol. Ms. Urban stated that several other
communities regulate the distance restaurants that serve alcohol can be from schools and
churches.
August 24, 1999
Page 6
Commissioner Gepner stated that there are already too many regulations and having
additional regulations would not solve any problems related to restaurants serving alcohol. Ms.
Urban explained that the Council requested that the Planning Commission review the potential
land use impacts from these facilities before they consider increasing the number of licences.
Commissioner Ahlstrom stated that having a buffer from schools could be beneficial.
Commissioner Kilian stated that a physical barrier, such as the 77`h Street noise wall
could also act as a barrier.
The Commission decided not to consider a draft ordinance amendment relating to
restaurants that serve alcohol.
LIAISON REPORTS
School Board: Pam Dmytrenko stated that they approved a bus driver contract.
Community Services Advisory Commission: None.
HRA: Commissioner Kilian stated that they discussed Interchange West, CSM was
given an extension on the project and they discussed TIF funds for the Lyndale Gateway project.
City Council: Mayor Kirsch stated that the Community Center referendum will be on
the November 2nd ballot and they discussed the therapeutic massage ordinance, Holy Angles ball
fields and the employment agreement for the new City Manager.
ADJOURNMENT
The meeting was adjourned by unanimous consent at 9:35 p.m.
Terry Ahlstrom
Planning Commission Secretary
Agenda Section:
Item #:
Case #:
Planning Commission Letter
September 28, 1999
Public Hearing
1
99 -CUP -5
GENERAL INFORMATION
Type of Request: Conditional use permit to allow conversion of a portion of the
existing shopping center to a convenience store and add gas pumps.
Applicant /Owner: Mark Ogren, Ogren Properties, Inc.
Location: 1208 East 66th Street
Zoning: C -2 (general commercial)
Existing Land Use: Commercial
Proposed Land Use: Commercial
Comp. Plan: Community Commercial
References: (see attached Citations section for excerpts)
Zoning Code: 546.05, Subds. 4 and 6
City Code: 1150 (licensing)
Public Notice: Notice of the Planning Commission's consideration and public
hearing was mailed to all property owners and occupants within 350
feet of the subject property.
City Council: Planning Commission action would set a City Council public hearing
date of October 11, 1999.
ANALYSES
Proposal: The applicant is seeking a conditional use permit to allow use of the property
at 1208 East 66th Street as a gas station. He is proposing to convert the tenant
space at the west end to a convenience store /gas station. Three gas pumps and
canopy would be installed in the parking area located to the west of the center.
Issues: Parking: Fifty -five parking spaces would be provided on site along with six
spaces at the gas pumps. Fifty -two parking spaces are required for a building
of this size.
PI
Access: There is currently access to the shopping center from 12th and 13th
Avenues as well as 66th Street. The City and County's access management
guidelines propose to limit direct access onto 66th Street from individual
properties. With the gas station proposal, the access from the property to 66th
Street would be eliminated. All access to the center would be from 12th and
13th Avenues. There are currently three access points on 12th Avenue. The
far south access is 48 feet from the intersection, which is too close to a
signalized intersection where several cars may be lined up waiting for the light
to change. This access would be eliminated and the center access widened to
serve as the primary access. The far north access would be maintained
primarily to allow for truck circulation through the site.
Traffic: A typical gas station averages around 750 trips a day (a range of 600
to 1,000). The applicant has developed other gas stations and found this to be
consistent with his experience. Peak periods coincide with morning and
evening rush hours. In the applicant's experience, there will be a certain
amount of convenience store customers who walk. There are also a certain
amount of shared trips in the case of a convenience store /gas station, i.e.
someone going to a business in the mall will get also get gas.
Landscaping: The parking lot is constructed to the 66th Street property line.
City standards for new development require and eight foot setback to allow
room for landscaping on private property. In the case of this existing lot and
building location, a parking lot setback from 66th Street is not possible.
Sixty -sixth Street is a County road and the County generally doesn't allow
landscaping in the right -of -way. The applicant should be required to resubmit
a landscape plan based on feedback from the County regarding use of the
right -of -way. The proposed landscape plan proposes to eliminate the existing
boulevard trees along 12th Avenue. The revised landscape plan should make
every effort to preserve these existing trees. In the event they cannot be saved,
there would be a two to one replacement required. There are currently
evergreens along the north property line adjacent to the residential property.
The applicant proposes to maintain the evergreens and fill in the area with
additional plantings. The existing fence along the north property line will be
replaced with a solid board fence.
Lighting: The lighting plan submitted does not meet the City's standard of
liuliting being no more than 0.5 foot - candle at a residential property line. A
condition of approval should be that a lighting plan in compliance with City
Code be resubmitted. Gas station canopies are traditionally over -lit. While a
minimum level of light is necessary for safety purposes, a maximum level
should also be established in the case of gas station canopies. Glare from
canopy lighting is also an issue that will be addressed by requiring shields or
deflectors.
Hours of Operation: The business proposes to be open 24 -hours a day, which
is permitted for a gas station located on a County road. The Commission may
wish to limit the hours of operation given the proximity to a residential
neighborhood.
Adjacent Property Owners: The applicant contacted the adjacent property
owners on 12th and 13th Avenues. The applicant agreed to meet with the
owner- on 13th Avenue after an operator has been selected to go over any
operational concerns. The owner on 12th Avenue chose not to meet with the
applicant.
ACTION TO BE TAKEN
Recommendation: Recommend that the _City Council approve the request for a conditional
use permit at 1208 East 66th Street with the following stipulations:
1. That a revised lighting plan in compliance with City ordinance and
including devices to eliminate glare be submitted and approved by
the Community Development Director and that an escrow be
submitted to cover the costs of adjustments that might be needed in
the first year of operation.
2. That a revised fence design be submitted and approved by the
Community Development Director.
3. That a revised landscape plan be submitted based on feedback from
the County regarding plantings in the boulevard and approved by
the Community Development Director that a landscape escrow
submitted.
4. That the design of the trash enclosure match that of the existing
building and be approved by the Community Development
Director.
5. That a signage plan be submitted and approved by the Community
Development Director.
6. That the fuel tanks be relocated to the south side of the site or the
refueling hours be limited to between 7:00 a.m. and 10:00 p.m.
7. That the telephone booths currently in the parking lot be removed.
8. That a storm water management plan be approved by the Public
Works Director.
9. That a sediment and erosion control plan be approved by the Public
Works Director.
Basis: 1. The proposed use is consistent with the Community Commercial
designation for the property in the City's Comprehensive Plan.
2. With the stated stipulations, the proposed gas station/convenience
store will be in compliance with the performance standards
specified in Section 541 of this code.
3. With the stated stipulation, the proposed gas station/convenience
store will not have undue adverse impacts on governmental
facilities, utilities, services, or existing or proposed improvements
4. With the stated stipulations, the proposed gas station/convenience
store will not have undue adverse impacts on the public health,
safety, or welfare,
5. The proposed gas station/convenience store meets or will meet all
the specific conditions set by this code for the granting of such
conditional use permit.
Alternative: Recommend that the City Council deny the request for a conditional
use permit at 1208 East 66th Street with a finding of fact that the
proposed use would have an adverse impact on surrounding properties
or the City as a whole.
C CITATIONS
ZONING CODE:
526.27. Conditional uses. Subdivision 1. The uses listed in this subsection are conditional uses in the
C -2 District, and are subject to the conditional use permit provisions outlined in Section 546.05 of this
code.
Subd. 12. Service stations, service station /convenience stores, and conversion of a service station to
a service station /convenience store, provided the following conditions are met:
a) the business shall be subject to the provisions of Section 1150 of the City Code;
b) if the use site abuts a lot which is in the R or R -1, a buffer yard of not less than 25 feet in
width and 75% all- season opacity from the ground to a height of six feet shall be provided
to separate all aspects of such use from abutting residential parcels. The council may
reduce this requirement to not less than 15 feet if significant additional landscaping and
fencing, with 100% all- season opacity, is provided to screen the service station use; and
Amended, Bill No. 1996 -7, Sec. 1)
c) the use site shall not be located within 300 feet of the grounds of a school, church, or
hospital;
d) a buffer yard of not less than ten feet in width shall be provided to separate all aspects of
such use from abutting parcels;
e) vehicles which are waiting for repair shall be stored in appropriately designed and screened
areas as approved by the City;
t) parking of vehicles on public right--of-way shall be prohibited;
g) any repair, assembly, disassembly, or maintenance of vehicles shall occur within an
enclosed building, except minor maintenance such as tire inflation, adding oil, or adding
windshield wiper fluid;
h) the minimum frontage on any street shall be 120 feet and the minimum area of the site shall
be 12,000 square feet,
i) any exterior speaker shall comply with the noise control limits set by Section 930 of the
City Code;
J) queuing space of at least 20 feet shall be provided in front of the pump island in each
direction in which access can be gained to the pump -- this required space shall not interfere
with internal circulation patterns or with designated parking areas, and shall not be
permitted in any public right--of-way, private easement, or within the required parking lot
setback;
k) pump islands shall be located not less than 20 feet from any property line;
1) if the use is not located on a county road or state highway, it shall not be operated between
the hours of 11:00 p.m. and 6:00 a.m. of the following day; and
m) canopies shall comply with the following regulations:
i) the canopy may extend up to twelve feet beyond the center line of the pump island
toward the street, but in no instance shall a canopy be located closer than six feet
from any lot line;
ii) only one canopy shall be permitted per station, unless the station is located on a
corner lot, in which case two canopies may be permitted;
iii) the canopy shall be at least 14 feet in height, but not greater than 16 feet in height;
iv) no signage of a permanent or temporary nature may be placed on a canopy; and
v) all canopy lighting shall be recessed into the canopy ceiling.
SECTION 546 - ZONING: ADMINISTRATION
546.05. Conditional use permits. Subdivision 1. Permit required. It shall be unlawful to engage in any
use listed in this code as a conditional use without first obtaining a conditional use permit (CUP) from the
City pursuant to this subsection.
Subd. 4. Planning Commission review. After receipt of a completed application, a date shall be
set for consideration before the Planning Commission. The Planning Commission may offer
vhatcvcr public notice of its review it deems necessary. Following this consideration, the
Planning Commission shall make a recommendation to the City Council regarding the
application.
Subd. 6. Conditions for issuance. The Council may not grant a conditional use permit unless it
finds that all of the following conditions will be met:
a) the proposed use is consistent with the goals, policies, and objectives of the City's
Comprehensive Plan_
b) the proposed use is consistent with anv officially adopted redevelopment plans or
urban design guidelines_
c) the proposed use is or will be in compliance with the performance standards specified
in Section 541 of this code:
d) the proposed use will not have undue adverse impacts on governmental facilities,
utilities, services, or existing or proposed improvements;
e) the use will not have undue adverse impacts on the public health, safety, or welfare;
and
t) there is a public need for such use at the proposed location; and
g) the proposed use meets or will meet all the specific conditions set by this code for the
granting of such conditional use permit.
Richfield City Code
Section 1150 - Gasoline Service Stations
1150.01
1-y
1150.01. Gasoline and oil service stations: purpose of regulation. It is determined that gasoline
and oil service stations and station stores may pose particular problems in achieving
compatibility with abutting and adjacent land uses because of potentially detrimental aspects of
their operation. - The public health, safety and general- welfare requires that, because of traffic
hazards, noise, light glare, outdoor storage and display of merchandise, indiscriminate
advertising, inadequate incineration facilities, insufficient maintenance, unsightliness and
inadequate storage of debris and used materials, such service stations and station stores be
specifically regulated.
1150.03. Definitions. Subdivision 1. For the purposes of this section the terms defined in this
subsection have the meanings given them.
Subd. 2. "Service station" means a retail place of business engaged primarily in the sale
of motor fuels, but also may be engaged in supplying goods and services generally required in
the operation and maintenance of automotive vehicles and the fulfilling of motorists' needs.
These may include sale of petroleum products; sale and servicing of tires, batteries, automobile
accessories and replacement items, washing and lubrication services; the performance of minor
automotive maintenance and repair; and the supplying of other incidental customer services and
products.
Subd. 3. "Station store" means a store located on the same premises as a service station
and designed and operated for the additional purpose of the sale of merchandise unrelated to
automotive operation, maintenance or repairs.
Subd. 4. "Junked motor vehicle" means a motor vehicle as defined in Minnesota
Statutes, section 169.01, which is lacking in vital component parts, or is in an inoperable
condition such that it has no substantial further use consistent with its usual functions: "vital
component parts" means those parts of a motor vehicle essential to its mechanical functioning,
including but not limited to, the motor, drive train, and wheels.
Subd. 5. "Motor vehicle in need of repair" means a motor vehicle which is inoperable
and which has been received at a gasoline service station, in the normal course of its business,
for the performance of minor automotive maintenance and repair.
1 150.05. Fire prevention. A building used as a service station shall be constructed and
maintained as required by the rules and regulations of the state fire marshall. Every facility,
whether underground or above ground and whether indoors or out of doors, for the handling,
storage and movement of flammable liquids shall be constructed and maintained in accordance
with the rules and regulations of the state fire marshal. The provisions of the fire prevention
code shall also be applicable to service stations regulated in this section.
1 150.07. Other code provisions: zonin <,. Stations shall be operated in accordance with the other
provisions of this code, specifically including zoning provisions contained in the zoning code.
1150.09. Limitations on use of station premises. Subdivision 1. Sale of motor vehicles
prohibited. Service station premises may not be used as a place of sale or resale, or as a place for
display for sale or resale, of new or used motor vehicles.
Subd. 2. Storage of junked vehicles. Junked vehicles may not be stored or kept on
service station premises except pursuant to department of public safety or other law enforcement
directive. When so stored junked vehicles shall be suitably screened from public view.
Subd. 3. Vehicles being repaired. Motor vehicles in need of repair may be stored or kept r
on service station premises for a period not to exceed seven days. A vehicle stored or kept shall
be plainly marked by a placard or poster supplied by the city, 8 1/2 x 11 inches in size, placed in
a conspicuous location inside the vehicle, bearing the terms: "this vehicle received by this station
for repair on (date)." A motor vehicle in need of repair may be stored or kept in excess of seven
days pursuant to police directive. Failure to post a motor vehicle as required by this subdivision
is unlawful.
Subd. 4. Loading of trucks prohibited. Service station premises may not be used for
loading, unloading or transfer of loads by any truck or truck -type vehicles, except in the case of
emergency where the vehicle is mechanically inoperable and a load must be removed or
transferred from such an inoperable vehicle.
1 150.1 1. Additional limitations: parking of trucks. Subdivision 1. General rule. Service station
property may be permitted to use certain off - street parking areas for the parking of trucks and
trailers subject to compliance with the following conditions:
Subd. 2. Off - street parking. Trucks, truck- trailers, truck tractors and other vehicles
temporarily parked on the premises in compliance with this subsection must be parked entirely
within areas designated as off - street parking areas, except that such vehicles may be parked
elsewhere on the premises when being actually serviced.
Subd. 3. In <,ress and egress. No .vehicle may park in a manner as to obstruct vehicular
ingress and egress from the gasoline station.
Subd. 4. Vision. No vehicle may park in such a manner as to obstruct the vision of
persons using the public roadways or the areas of ingress and egress to the filling station so as to
create a traffic hazard.
Subd. 5. Advertisina. No vehicle whether new or used may park upon the premises for
the purpose of advertising or storing the truck for sale.
Subd. 6. Operable. Vehicles parked upon the premises shall be in working mechanical
condition so that they may be moved under their own power.
Subd. 7. Repairs. No vehicle may be dismantled or repaired while parked in the
off - street parking areas, but may be repaired in the areas normally used for such purposes upon
the premises;
Subd. S. Stora <,e. Vehicles may not be parked for permanent or semipermanent storage.
Trucks which have been parked upon the premises without having been removed for a trucking
use for a period in excess of 24 hours shall be presumed to be parked for storage contrary to this
subsection; this clause shall not apply to a utility trailer or truck lawfully stored on licensed
premises under the provisions of section 1175.
Subd. 9. Fire. All vehicles shall be parked upon the premises in such a manner as to not
create a lire hazard, and shall not be parked so as to obstruct the activities of any fireman called
upon the scene or the use of any firefighting equipment.
1 150.13. Incinerators. No materials may be burned on the premises of a service station, except
in an approved commercial incinerator complying with the code of the city. Barrels and similar
containers may not be used for incineration.
1 150.15. Debris. Used oil cans, discarded auto parts, discarded tires and similar items of debris
may not be stored on service station premises, unless the items of debris are located in an
enclosure and are completely outside of public view. Such debris shall be removed from the
premises at least once each week.
1150.17. Surfacing-, and maintenance. The entire area of service station premises shall be
improved with either (1) concrete or bituminous surfacing, (ii) landscaping with grass, flowers
and shrubs, or (iii) both. The premises shall also be well- maintained at all times and kept free
from refuse, weeds and debris.
1150.19. Display and sale of tires. Tires for sale may not be stored or displayed outside the
service station structure, except (1) in a display rack during business hours, or (ii) in a permanent
outside display container located in conformance with the setback requirements contained in the
zoning code and completely encloseable. The display container shall be closed when the station
is not open for business.
1150.21. Merchandising standards. Service stations and station stores are subject to the
provisions of section 1135 relating to outdoor merchandising and storage. In addition the
following standards apply to service stations and station stores. Merchandise not displayed in a
permanent or temporary outdoor display as provided in section 1135 shall be:
a) displayed on wooden or metal pallets or racks of a permanent or portable design;
b) stacked in an orderly compact arrangement;
c) located in areas not reserved for off - street parking or landscaping;
d) placed so as not to obstruct safe vision of driving public and cus --
tomers; and
e) prevented from encroaching on public right of ways or private proper-
ty.
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Planning Commission_ Letter
September 28, 1999
Agenda Section: New Business
Item #: 2
Letter #: 27
GENERAL INFORMATION
Type of Request: Consideration of two resolutions finding that the Modifications of the
Gramercy and Urban Village Tax Increment Financing District Plans
and the Richfield Rediscovered 1999 Tax Increment Financing District
Plan are consistent with the Comprehensive Plan.
References: Chapter 462 of the Minnesota State Statutes requires that whenever a
tax increment financing plan is created or modified, the Planning
Commission must review the plan for consistency with the City's
Comprehensive Plan.
HRA: On September 20, 1999, the HRA approved the Plan Modifications.
City Council: The City Council will hold a public hearing on the final approval of
the Plan Modifications on October 11, 1999.
ANALYSIS
Background: Since 1990, the Richfield Rediscovered (RR) New Construction Program has
provided the vehicle for the purchase and clearance of small, substandard
houses and availability of vacant lots for the construction of larger, single
family homes. The demand for this new housing continues. Over time,
however, the dynamics of the program have changed such that a new
approach to funding was required in order to sustain the program. To that
end, the Housing and Redevelopment Authority (HRA) and City Council have
recently completed actions to provide funding for the next several years.
Proposal: The Redevelopment and Tax Increment Plans are attached for review.
Specifically, they accomplish the following:
The Richfield Redevelopment Project Area boundary is expanded to
include Project Areas A and B (there will no longer be two separate
project areas).
33 scattered sites within the project area are identified as candidate
properties for acquisition and redevelopment.
The Gramercy TIF Plan budget is modified to allow expenditures of the 15
percent housing set -aside money on RR activities.
The Urban Village TIF Plan budget is modified to allow expenditures of
the 15 percent housing set -aside money on RR activities.
A new scattered -site TIF district of the 33 potential RR parcels is created.
The acquisition, demolition and construction of 28 new, single family
market rate homes is provided for.
New budgets are established.
Bonding capacity not to exceed $4,827,586 is provided for.
Issues: Comprehensive Plan: The Richfield Rediscovered Program supports many
of the Comprehensive Plan goals and policies. Specifically, the Plan
encourages the continuation of the program (Three -13):
D. Upgrade the existing housing stock by continuing the Richfield
Rediscovered program, scattered site clearance, new construction and
remodeling programs. These programs encourage and support the
rehabilitation and upgrading of the existing housing stock of all types and
values.
ACTION TO BE TAKEN
Recommendation: Adopt the following resolutions:
1. Resolution finding that the acquisition and disposition of properties
related to the Richfield Rediscovered 1999 New Construction Program
is in compliance with the Comprehensive Plan.
2. Resolution finding that the Plans for the Richfield Rediscovered 1999
New Construction Program conform to the general plans for the
development and redevelopment of the City.
Basis: 1. The adoption and modification of a tax increment financing plan
requires a finding of consistency by the Planning Commission.
2. The goals of the Richfield Rediscovered New Construction Program
are consistent with the Richfield Comprehensive Plan.
3. The Richfield Rediscovered New Construction Programs continues to
be a successful program which clears small, substandard houses and
provides vacant lots for the construction of larger, single family homes
in the community.
4. Richfield Rediscovered is a proven redevelopment program yet
requires the modification of its plans from time to time in order to
provide updated lists of qualifying properties, tax increment budgetary
considerations and funding opportunities.
5. The redevelopment and tax increment plans meet the requirements of
state law and established procedures within Richfield.
Alternative: Reject the attached resolutions, finding that the Plans do not conform to
the Comprehensive Plan.
RESOLUTION -NO.
RESOLUTION OF THE RICHFIELD PLANNING COMMISSION
FINDING THAT THE PLANS FOR THE
RICHFIELD REDISCOVERED 1999 NEW CONSTRUCTION PROGRAM
CONFORM TO THE GENERAL PLANS FOR THE
DEVELOPMENT AND REDEVELOPMENT OF THE CITY
WHEREAS, the Housing and Redevelopment Authority in and for the City of
Richifield (the "HRA') did on September 20, 1999 adopt a (1) Modification to the
Redevelopment Plan for The Richfield Redevelopment Project Area; (2) Modification to
the Tax Increment Financing Plan for the Gramercy Tax Increment Financing District;
3) Modification to the Tax Increment Financing Plan for the Urban Village Tax
Increment Financing District; and (4) new Tax Increment Financing Plan for the
Richfield Rediscovered 1999 Tax Increment Financing District, all relating to the
Richfield Rediscovered New Construction Program, (collectively, the "Plans ") and has
submitted the Plans to the Richfield Planning Commission; and
WHEREAS, the City Council for the City of Richfield, Minnesota (the "City ") has
proposed to adopt the Plans pursuant to Minnesota Statutes, Section 469.175,
Subdivision 3; and
WHEREAS, the Planning Commission has reviewed the Plans to determine their
consistency with the general plans for the development and redevelopment of the City
as described in the comprehensive plan for the City.
NOW, THEREFORE, BE IT RESOLVED, by the Planning Commission that the
Plans are consistent with the general plans for the development and redevelopment of
the City.
Passed this 28th day of September, 1999 by the Planning Commission of the
City of Richfield, Minnesota.
Terry Ahlstrom, Secretary
PLANNING COMMISSION
CITY OF RICHFIELD, MINNESOTA
Brenda Bjorklund, Chairperson
RESOLUTION-NO -- - - - -- - - - - - --
RESOLUTION OF THE RICHFIELD PLANNING COMMISSION
FINDING THAT THE ACQUISITION AND DISPOSITION
OF PROPERTIES RELATED TO THE
RICHFIELD REDISCOVERED 1999 NEW CONSTRUCTION PROGRAM
IS IN COMPLIANCE WITH THE COMPREHENSIVE PLAN
WHEREAS, the Planning Commission has reviewed the acquisition of properties
associated with the Richfield Rediscovered 1999 New Construction Program, which are
located within the Richfield Redevelopment Project Area, as modified, described in
Exhibit A, attached hereto and hereby made a part thereof; and
WHEREAS, the Planning Commission has found that the acquisition and
disposition of the properties would serve a public purpose; and
WHEREAS, the Planning Commission has found that the acquisition and
disposition of the properties for single family residential purposes would be consistent
with the City's Comprehensive Plan.
NOW, THEREFORE, BE IT RESOLVED, that the Planning Commission finds
the acquisition and disposition of the properties described in Exhibit A for single family
residential use to be in conformance with the City's Comprehensive Plan.
Passed this 28th day of September, 1999 by the Planning Commission of the
City of Richfield, Minnesota.
PLANNING COMMISSION
CITY OF RICHFIELD, MINNESOTA
Brenda Bjorklund, Chairperson
Terry Ahlstrom, Secretary
c,) -q
J-s
EXHIBIT A- - - - - --
RICHFIELD REDISCOVERED 1999 TAX INCREMENT FINANCING DISTRICT
PID Number
6220 Clinton Avenue
6608 Stevens Avenue
6625 3d Avenue
66375 1h Avenue
6800 Pillsbury Avenue
6744 Blaisdell Avenue
6833 Park Avenue
6833 Grand Avenue
7036 1St Avenue
7241 2nd Avenue
7316 Clinton Avenue
7301 Garfield Avenue
7544 2"d Avenue
7333 Emerson Avenue
692814 1h Avenue
691513 1h Avenue
7133 Lyndale Avenue
7025 Nicollet Avenue
6315 Newton Avenue
6310 Irving Avenue
6306 Irving Avenue
6320 Girard Avenue
6645 Knox Avenue
6800 Logan Avenue
6912 Penn Avenue
6933 Queen Avenue
6855 Penn Avenue
6833 Penn Avenue
6929 Queen Avenue
6901
12th Avenue
6945 Clinton Avenue
7615 Pillsbury, Avenue
Address
27- 028 -24 -11 -0001
27- 028 -24 -42 -0073
27- 028 -24 -41 -0084
27- 028 -24-41 -0015
27- 028 -24 -34 -0016
27- 028 -24 -31 -0007
26- 028 -24 -33 -0086
27- 028 -24 -33 -0070
34- 028 -24 -12 -0015
34- 028 -24 -13 -0150
34- 028 -24 -14 -0086
34- 028 -24 -23 -0129
34- 028 -24-42 -0104
33- 028 -24 -13 -0090
26- 028 -24 -43 -0069
26- 028 -24-43 -0064
34- 028 -24 -22 -0055
34- 028 -24 -12 -0022
28- 028 -24 -22 -0097
28- 028 -24 -21 -0075
28- 028 -24 -21 -0126
28- 028 -24 -12 -0033
28- 028 -24 -31 -0032
28- 028 -24 -33 -0001
29- 028 -24 -44 -0161
29- 028 -24 -44 -0170
28- 028 -24 -33 -0146
28- 028 -24 -33 -0045
29- 028 -24 -44 -0171
26- 028 -24 -43 -0082
27- 028 -24 -44 -0108
34- 028 -24 -34 -0045
c
Draft ar of September 13. 1999
MODIFICATION TO THE REDEVELOPMENT PLAN
FOR RICHFIELD REDEVELOPMENT PROJECT AREA;
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN
FOR THE GRAMERCY TAX INCREMENT FINANCING DISTRICT;
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN
FOR THE URBAN VILLAGE TAX INCREMENT FINANCING DISTRICT;
AND
THE TAX INCREMENT FINANCING PLAN
FOR THE ESTABLISHMENT OF
RICHFIELD REDISCOVERED 1999
TAX INCREMENT FINANCING DISTRICT
a redevelopment district)
RICHFIELD HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF RICHFIELD
HENNEPIN COUNTY
STATE OF MINNESOTA
Public Hearing: October 11, 1999
Adopted:
Prepared by:
EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Drive
Roseville, Minnesota 55113-1105
Phone: (651) 697 -8500
Fax: (65 1) 697 -8555
E -mail: info @ehlers- inc.com
Web Site: www.ehiers- inc.com
a-I
TABLE - OF-CON-TENTS-
for reference purposes only)
SECTION I - MODIFICATION TO THE REDEVELOPMENT PLAN
FOR THE RICHFIELD REDEVELOPMENT PROJECT AREA ...................... 1 -1
Foreword......... ........................................................... 1 -1
Subsection C. Description of Redevelopment Project Area ......................... 1 -1
Subsection G. Acquisition and Relocation Activities .............................. 1 -2
SECTION II - MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR THE
GRAMERCY TAX INCREMENT FINANCING DISTRICT .......................... 2 -1
Foreword......................................... ............................2 -1
SECTION III - MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR THE
URBAN VILLAGE TAX INCREMENT FINANCING DISTRICT ..................... 3 -1
Foreword......................................... ............................3 -1
SECTION IV - TAX INCREMENT FINANCING PLAN FOR RICHFIELD REDISCOVERED 1999
TAX INCREMENT FINANCING DISTRICT ...... ............................... 4 -1
Subsection 4 -1. Foreword ........................ ............................4 1
Subsection 4 -2. Statutory Authority ............. ............................... 4 -1
Subsection 4 -3. Statement of Objectives .......... ............................... 4 -1
Subsection 4 -4. Redevelopment Plan Overview .... ............................... 4 -1
Subsection 4 -5. Legal Description of Property in Richfield Rediscovered 1999 .......... 4 -2
Subsection 4 -6. Classification of Richfield Rediscovered 1999 TIF District ............. 4 -3
Subsection 4 -7. Original Tax Capacity and Tax Rate ............................... 4 -4
Subsection 4 -8. Estimated Captured Net Tax Capacity Value/Increment ................ 4 -5
Subsection 4 -9. Property To Be Acquired ......... ............................... 4 -5
Subsection 4 -10. Uses of Funds .................. ............................... 4 -5
Subsection 4 -11. Sources of Revenue/Bonded Indebtedness .......................... 4 -6
Subsection 4 -12. Definition of Tax Increment Revenues ............................. 4 -7
Subsection 4 -13. Duration of Tax Increment Financing Richfield Rediscovered 1999 ...... 4 -7
Subsection 4 -14. Estimated Impact on Other Taxing Jurisdictions ...................... 4 -7
Subsection 4 -15. Notification of Prior Planned Improvements ........................ 4 -8
Subsection 4 -16. Administration of Tax Increment Financing Richfield Rediscovered 1999 4-8
Subsection 4 -17. Municipal Approval and Public Purpose ............................ 4 -8
Subsection 4 -18. Fiscal Disparities Election ........ ............................... 4 -9
Subsection 4 -19. State Tax Increment Financing Aid . ............................... 4 -9
Subsection 4 -20. County Road Costs ............. ............................... 4 -10
Subsection 4 -21. Summary ........................ ...........................4 10
APPENDIX A - BOUNDARY MAPS OF THE RICHFIELD REDEVELOPMENT PROJECT AREA
AND THE RICHFIELD REDISCOVERED 1999 TIF DISTRICT ...................... A -1
APPENDIX B - LEGAL DESCRIPTION OF PROPERTY TO BE INCLUDED IN
THE RICHFIELD REDISCOVERED 1999 TAX INCREMENT FINANCING DISTRICT .. B -1
APPENDIX C - ESTIMATED CASH FLOW FOR THE RICHFIELD REDISCOVERED 1999 TAX
INCREMENT FINANCING DISTRICT ........... ............................... C -1
REDEVELOPMENT QUALIFICATIONS FOR THE RICHFIELDREDISCOVERED 1999 TAX
INCREMENT FINANCING DISTRICT ........... ............................... D -1
arr
SECTION I _
MODIFICATION TO THE REDEVELOPMENT PLAN
FOR THE RICHFIELD REDEVELOPMENT PROJECT AREA
Foreword
The following text represents a Modificationtothe RedevelopmentPlan for Richfield Redevelopment Project
Area. This modification represents a continuation of the goals and objectives set forth in the Redevelopment
Plan for Richfield Redevelopment Project Area. Generally, the substantive changes include modifying the
boundaries of Richfield Redevelopment Project Area as specified below.
For further information, a review of the Redevelopment Plan for Richfield Redevelopment Project Area,
adopted July 16, 1990, is recommended. It is available in the Community Development Department of the
City of Richfield. Other relevant information is contained in the Tax Increment Financing Plans for the Tax
Increment Financing Districts located within Richfield Redevelopment Project Area.
Subsection C. Description of Redevelopment Project Area
The modified boundary lines for Richfield Redevelopment Project Area are as follows:
Beginning at the intersection of the north city boundary line of Richfield and the center line of Trunk
Highway 77, thence southerly along said line to its intersection with the southern city boundary. Thence,
westerly, along said city boundary, to its intersection with the center line of Penn Avenue. Thence, northerly,
along said center line to its intersection with the center line of 78`h Street. Thence, westerly more or less
along said center line to its intersection with the center line of Thomas Avenue. Thence, northerly along said
center line to its intersection with the center line of 77`h Street. Thence, easterly along said center line to its
intersection with the center line of Sheridan Avenue. Thence, northerly along said center line to its
intersection with the center line of 76`h Street. Thence, easterly along said center line to its intersection with
the center line of Knox Avenue. Thence, southerly along said center line to its intersection with the north
lot line of Tract A, Registered Land Survey No. 1037. Thence, easterly along said lot line to its intersection
with the center line of Interstate 35W. Thence, northerly along said center line to its intersection with the
center line of 73rd Street. Thence, westerly along said center line to its intersection with the center line of
Penn Avenue. Thence, southerly along said center line to its intersection with the center line of 74" Street.
Thence, westerly along said center line to its intersection with the center line of Sheridan Avenue. Thence,
southerly along said center line to its intersection with the center line of 76`s Street. Thence, westerly along
said center line to its intersection with the center line of Xerxes Avenue. Thence, northerly along said center
line to its intersection with the center line of West 66`h Street. Thence, easterly along said center line to its
intersection with the center line of Queen Avenue. Thence, northerly, more or less, along said center line
to its intersection with the north line of 65" Street. Thence, westerly along said north line to its intersection
with the west lot line of Lot 2, Block 1, Harry Tickner's Subdivision. Thence, northerly along said lot line,
as extended, to the south right -of -way line of Trunk Highway 62. Thence, easterly along said south right -of-
way line to its intersection with the center line of the west roadway of Pleasant Avenue. Thence, southerly
along said center line to its intersection with the center line of 63' Street. Thence, westerly along said center
line to its intersection with the center line of Harriet Avenue. Thence, southerly along said center line to its
intersection with the center line of 64 -1/2 Street. Thence, easterly along said center line to its intersection
with the west lot line of Lot 2, Block 6, Lyndale Oaks Addition. Thence, southerly along said lot line to the
north line of Hauser's Second Addition. Thence, easterly along said north line to its intersection with the
Richfield HRA Modification to the Redevelopment Plan for Redevelopment Project Area A 1 -1
2,i6
east .line. of Pleasant. Avenue. Thence, .continuing.easterly along the.north boundary of PID No. .27- 028 -24-
24 -0005 and PID No. 27- 028 -24 -24 -0004 to its intersection with the east line of Pillsbury Avenue. Thence,
northerly along said east line to the south block line of Block 6, Rearrangement of Nicollet Homes Second
Addition. Thence, continuing east along said south block line of Lot 6, through the south lot line of Lot 7
and to the middle of Block 8, Rearrangement of Nicollet Homes Second Addition. Thence, northerly along
the east lot lines of Lots 6, 7, 8, 9, and 10, Block 8, Rearrangement of Nicollet Homes Second Addition to
its intersection with the center line of 64" Street. Thence, easterly along the said center line to its intersection
with the west line of Lot 15, Block 8, Town's Edge Addition. Thence, southerly along said west line past
Lots 14, 13, 12 and 11, Block 8, Town's Edge Addition to its intersection with the east line of First Federal
Richfield Addition. Thence, southerly more or less along said east line to the center line of 65" Street.
Thence, easterly along said center line to the center line of 1" Avenue. Thence, southerly along said center
line to the center line of 66'h Street. Thence, easterly along said center line to the center line of I I' Avenue.
Thence, northerly along said center line to its intersection with the south right -of -way line of Trunk Highway
62. Thence, easterly along said south right -of -way to its intersection with the north city boundary line of
Richfield. Thence, easterly to point of beginning.
Subsection G. Acquisition and Relocation Activities
Acquisition
In furtherance of the Richfield Rediscovered Housing Program, HRA staff maintained standards set forth in
previous years to identify property for acquisition. As in the past, residential property owners were contacted
and surveyed to determine (a.) whether or not they continued to express an interest in selling their property
on a voluntary basis and (b.) if interested, within which time frame. Additional means of obtaining candidate
properties were made by (a.) property owners contacting the HRA requesting that their property be
considered for the program and (b.) referrals by the City's health and inspections department. Candidate
properties were further evaluated for program eligibility and inspected. The properties identified for
acquisition are listed in Appendix A of the Tax Increment Financing Plan for Richfield Rediscovered 1999
Tax Increment Financing District.
Relocation
The HRA accepts as binding its obligations under provisions of federal and state law (M.S., Chapter 11 7)
for relocation.
Richfield HRA Modification to the Redevelopment Plan for Redevelopment Project Area A 1 -2
02-/(
SECTION 11 - - -- -
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR THE GRAMERCY
TAX INCREMENT FINANCING DISTRICT
Subsection 2- 1.Foreword
The City of Richfield ( "City"), the Richfield Housing and Redevelopment Authority (the "HRA "), staff and
consultants have prepared the following information to expedite a modification to the Tax Increment
FinancingPlan forthe Gramercy Redevelopment Tax Increment FinancingDistrict("the Gramercy District"),
a redevelopment tax increment financing district, located in the Richfield Redevelopment Project Area. The
following Modification represents a modification to the budget to allow for additional expenditures and the
issuance of debt for the purpose of supporting the Richfield Rediscovered activity. The primary activity will
take place.in the Richfield Rediscovered 1999 Tax Increment Financing District, to be created on October
11, 1999. This plan is being amended to incorporate modifications to the following sections.
Subsection 2 -10. Uses of Funds
The budget for Gramercy is amended as follows:
Richfield
Red is. Original
Uses of Funds Gramercy Proiect 2 Project 3 Total
Land Acquisition 1,425,000 2,903,520 4,277,537 8,606,057
Demo. /Relocation 85,000 755,000 800,000 1,640,000
Rehabilitation
Site Work 623,093 360,000 400,000 1,383,093
Utilities/Roads /Walks 98,850 750,000 800,000 1,648,850
Permits 872,000 500,000 600,000 1,972,000
Richfield
Red is.
1999 As Amended
1,820,000 10,426,057
280,000 1,920,000
1,120,000 1,120,000
Interest $14,000,000 $1,500,000
Admin.(up to 10 %) $3,250,000 $107,586
TOTAL $3,103,943 $5,268,520 $6,877,537 $32,500,000 $4,827,586
Subsection 2 -11. Sources of Revenue/Bonded Indebtedness
1,383,093
1,648,850
1,972,000
15,500,000
3,357,586
37,327,586
The City intends to issue bonds for this activity. The total principal amount of bonded indebtedness or other
indebtedness related to the use of tax increment financing will not exceed $37,400,00 without a modification
to the Plan pursuant to applicable statutory requirements.
The sources of funds for the Gramercy District are amended as follows:
Richfield HRA Modification to the Tax Increment Financing Plan for the Gramercy Tax Increment Financing District 2 -1
0
Sources of Funds
Tax Increment
Local Contribution
Land Sales
Other Tax Increment
TOTAL
Original Total Richfield Redisc. 1999 Amended Total
30,875.000 $1,075,860 $31,950,860
1,625.000 $53,793 $1,678,793
840,000 $840,000
2,857,927 $2,857,927
32,500,000 $4,827,580 $37,327,580
Richfield HRA Modification to the Tax Increment Financing Plan for the Gramercy Tax Increment Financing District 2 -2
13,
SECTION III -- - - - - -
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR THE URBAN VILLAGE
TAX INCREMENT FINANCING DISTRICT
Subsection 3- 1.Foreword.
The City of Richfield ( "City"), the Richfield Housing and Redevelopment Authority (the "HRA "), staff and
consultants have prepared the following information to expedite a modification to the Tax Increment
Financing Plan for the Urban Village Tax Increment Financing District, a redevelopment tax increment
financing district, located in the Richfield Redevelopment Project Area. The following Modification
represents a modification to the budget to allow for additional expenditures and the issuance of debt for the
purpose of supporting the Richfield Rediscovered activity. The primary activity will take place in the
Richfield Rediscovered 1999 Tax Increment Financing District, to be created on October 11, 1999. This plan
is being amended to incorporate modifications to the following sections.
Subsection 3 -10. Uses of Funds
The budget for Urban Village is amended as follows:
Uses of Funds Original Total Richfield Redis. 1999 As Amended
Land Acquisition 2,000,000 1,820,000 3,820,000
Site Improvements 2,000,000 2,000,000
Demo./Relocation 280,000 280,000
Public Improvements - 7,000,000
7,000,000
public road
Public Utilities - parkway 2,000,000 2,000,000
Trust Fund 2,000,000 2,000,000
Rehabilitation 1,120,000 1,120,000
Interest 8,750,000 1,500,000 10,250,000
Admin (up to 10 %) 2,500,000 107,586 2,607,586
TOTAL 26,250,000.0 4,827,586 31,077,586
Subsection 3 -11. Sources of Revenue/Bonded Indebtedness
The City intends to issue bonds for this activity. The total principal amount of bonded indebtedness or other
indebtedness related to the use of tax increment financing will not exceed $31,100,000 without a
modification to the Plan pursuant to applicable statutory requirements.
The sources of funds for Urban Village Tax Increment Financing District are amended as follows:.
Richfield HRA Modification to the Tax Increment Financing Plan for the Urban Village Tax Increment Financing District 3 -1
iy
Sources of Funds Original Total Richfield Redisc. 1999 Amended Total
Tax Increment 25,000,000 1,075,860 26,075,860
Local Contribution 1,250,000 53,793 1,303,793
Land Sales 840,000 840,000
Other Tax Increment 2,857,927 2,857,927
TOTAL 26,250,000 4,827,580 31,077,580
Richfield HRA Modification to the Tax Increment Financing Plan for the Urban Village Tax Increment Financing District 3 -2
SECTION I V _
TAX INCREMENT FINANCING PLAN FOR RICHFIELD REDISCOVERED 1999
TAX INCREMENT FINANCING DISTRICT
Subsection 4- 1.Foreword
The City of Richfield ( "City "), the Richfield Housing and Redevelopment Authority (the "HRA "), staff and
consultants have prepared the following information to expedite the establishment of the Richfield
Rediscovered 1999 Tax Increment Financing District (" Richfield Rediscovered 1999 "),a redevelopment tax
increment financing district, located in Richfield Redevelopment Project Area.
Subsection 4- 2.Statutory Authority
Within the City, there exist areas where public involvement is necessary to cause development or
redevelopment to occur. To this end, the City and HRA have certain statutory powers pursuant to Minnesota
Statutes ( "M.S.'), Sections 469.001 through 469.047, inclusive, as amended, and M.S., Sections 469.174
through 469.179, inclusive, as amended (the "Tax Increment Financing Act" or "TIF Act "), to assist in
financing public costs related to this project.
This Section contains the Tax Increment Financing Plan (the "Plan ") for Richfield Rediscovered 1999. Other
relevant information is contained in the Modification to the Redevelopment Plan for Richfield
Redevelopment Project Area.
Subsection 4- 3.Statement of Objectives
Richfield Rediscovered 1999 consists of 33 parcels of land and adjacent and internal rights -of -way. Richfield
Rediscovered 1999 is created to facilitate the demolition of substandard houses and enable home buyers to
construct new houses on the lots through a program known as Richfield Rediscovered, which is administered
by the HRA. The funding, as currently proposed, allows for the potential construction of up to 28 new
homes. This plan is expected to achieve many of the objectives outlined in the Modification to the
Redevelopment Plan for Richfield Redevelopment Project Area.
The activities contemplated in the present Modification to the Redevelopment Plan and the Tax Increment
Financing Plan do not preclude the undertaking of other qualified development or redevelopment activities.
These activities are anticipated to occur over the life of Richfield Rediscovered 1999 and Richfield
Redevelopment Project Area.
Subsection 4 -4. Redevelopment Plan Overview
Property to be Acquired - Selected property located within Richfield Rediscovered
1999 may be acquired by the City or HRA and is further described in this Plan.
Upon approval of a developer's plan relating to the project and completion of the
necessary legal requirements, the City or HRA may sell to a developer selected
properties that they may acquire within Richfield Rediscovered 1999.
The City or HRA may perform or provide for some or all necessary acquisition,
construction, relocation, demolition, and required utilities and public streetswork
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -1
IC
within_Richfield Rediscovered _1.999.____ â__
Subsection 4- S.Legal Description of Property in Richfield Rediscovered 1999
Richfield Rediscovered 1999 encompasses all property and adjacent rights -of -way identified by the parcels
listed below. Please see the map in Appendix A for further information on the location of Richfield
Rediscovered 1999.
PID Number Address
6220 Clinton Avenue 27-028-24-11-0001
6608 Stevens Avenue 27- 028 -24 -42 -0073
66253 d Avenue 27- 028 -2441 -0084
6637 5" Avenue 27- 028 -2441 -0015
6800 Pillsbury Avenue 27- 028 -24 -34 -0016
6744 Blaisdell Avenue 27- 028 -24 -31 -0007
6833 Park Avenue 26- 028 -24 -33 -0086
6833 Grand Avenue 27- 028 -24 -33 -0070
7036 1" Avenue 34- 028 -24 -12 -0015
7241 21 Avenue 34- 028 -24 -13 -0150
7316 Clinton Avenue 34- 028 -24 -14 -0086
7301 Garfield Avenue 34- 028 -24 -23 -0129
7544 2 "d Avenue 34- 028 -24 -42 -0104
7333 Emerson Avenue 33- 028 -24 -13 -0090
6224 Bloomington Avenue 26- 028 -24 -12 -0047
6928 14" Avenue 26- 028 -2443 -0069
6915 13d'Avenue 26- 028 -2443 -0064
7133 Lyndale Avenue 34- 028 -24 -22 -0055
7025 Nicollet Avenue 34- 028 -24 -12 -0022
6315 Newton Avenue 28- 028 -24 -22 -0097
6310 Irving Avenue 28- 028 -24 -21 -0075
6306 Irving Avenue 28- 028 -24 -21 -0126
6320 Girard Avenue 28- 028 -24 -12 -0033
6645 Know Avenue 28- 028 -24 -31 -0032
6800 Logan Avenue 28- 028 -24 -33 -0001
6912 Penn Avenue 29- 028 -2444 -0161
6933 Queen Avenue 29- 028 -24 -44 -0170
6855 Penn Avenue 28- 028 -24 -33 -0146
6833 Penn Avenue 28- 028 -24 -33 -0045
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -2
6929 Queen Avenue â - 29= 028 =24 -44 -0171
6901 12" Avenue 26- 028 -24 -43 -0082
6945 Clinton Avenue 27- 028 -24 -44 -0108
7615 Pillsbury Avenue 34- 028 -24 -34 -0045
Subsection 4 -6. Classification of Richfield Rediscovered 1999 Tax Increment Financing District
The City and HRA, in determining the need'to create a tax increment financing district in accordance with
M.S., Sections 469.174 to 469.179, as amended, inclusive, finds that Richfield Rediscovered 1999, to be
established, is a redevelopment district pursuant to M.S., Section 469.174, Subd. 10(a)(1) as defined below:
a) "Redevelopment district" means a type of tax increment financing district consisting of
a project, or portions of a project, within which the authorityfinds by resolution that one
of the following conditions, reasonably distributed throughout the district, exists:
parcels consisting of 70 percent of the area in the district are occupied by buildings,
streets, utilities, or other improvements and more than 50 percent of the buildings,
not including outbuildings, are structurally substandard to a degree requiring
substantial renovation or clearance; or
2) The property consists of vacant, unused, underused, inappropriately used, or
infrequently used railyards, rail storage facilities or excessive or vacated railroad
rights -of -way.
b) For purposes of this subdivision, "structurally substandard" shall mean containing defects in
structural elements or a combination ofdeficiencies in essential utilities andfacilities, light and
ventilation, fire protection including adequate egress, layout and condition of interior
partitions, or similar factors, which defects or deficiencies are of sufficient total significance
to justify substantial renovation or clearance.
c) A building is not structurally substandard if it is in compliance with the building code
applicable to new buildings or could be modified to satisfy the building code at a cost of less
than 15 percent of the cost of constructing a new structure of the same square footage and type
on the site. The municipality may find that a building is not disqualified as structurally
substandard under the preceding sentence on the basis ofreasonably available evidence, such
as the size, type, and age of the building, the average cost ofplumbing, electrical, or structural
repairs or other similar reliable evidence. The municipality may not make such a
determination without an interior inspection of the property, but need not have an independent,
expert appraisal prepared of the cost of repair and rehabilitation of the building. An interior
inspection of the property is not required, if the municipality finds that (1) the municipality or
authority is unable to gain access to the property after using its best efforts to obtain
permission from the party that owns or controls the property; and (2) the evidence otherwise
supports a reasonable conclusion that the building is structurally substandard...
e) For purposes ofthis subdivision, a parcel is not occupied by buildings, streets, utilities or other
improvements until 15 percent of the area of the parcel contains improvements.
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -3
C)4
9 _ For districts consisting of two or more noncontiguous areas. each area must qualify as a
redevelopment district under paragraph (a) to be included in the district, and the entire are of
the district must satisfy paragraph (a).
In meeting the statutory criteria described above, the City and HRA rely on the following facts and findings:
Richfield Rediscovered 1999 is a redevelopment district consisting of 33 parcels.
An inventory of the parcels shows that at least 70 percent of the area of Richfield Rediscovered 1999
consists of parcels in Richfield Rediscovered 1999 that are occupied as defined in the TIF Act. An
inspection of the buildings located within Richfield Rediscovered 1999 finds that more than 50 percent
of the buildings are structurally substandard as defined in the TIF Act. Because Richfield Rediscovered
1999 is a scattered site redevelopment district, each parcel qualifies individually. (See Appendix D)
Subsection 4- 7.0riginal Tax Capacity and Tax Rate
Pursuant to M.S., Section 469.174, Subd. 7 and M.S., Section 469.177, Subd. 1, the Original Net Tax
Capacity (ONTC) as certified for Richfield Rediscovered 2000 is based on the market values placed on the
property by the assessor in 1999 for taxes payable 2000.
Pursuant to M.S., Section 469.177, Subds. 1 and 2, the County Auditor shall certify in each year (beginning
in the payment year 1999) the amount by which the original value has increased or decreased as a result of:
change in tax exempt status of property;
reduction or enlargement of the geographic boundaries of the district;
change due to adjustments, negotiated or court- ordered abatements;
change in the use of the property and classification;
change in state law governing class rates; or
change in connection with previously issued building permits.
In any year in which the current Net Tax Capacity value of Richfield Rediscovered 1999 declines below the
ONTC, no value will be captured and no tax increment will be payable to the City or HRA.
It is expected that the original local tax rate for Richfield Rediscovered 1999 will be the local tax rate for
taxes payable 2000. The estimate below is payable 1999.
The Original Tax Capacity and the Original Local Tax Rate for Richfield Rediscovered 1999 appear in the
table below.
Original Tax Capacity Value $4,550
Percent Retained by City 100%
Original Local Tax Rate 1.50904
Subsection 4- 8.Estimated Captured Net Tax Capacity Value/Inerement
Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, Subd. 1, 2, and 4, the estimated
Captured Net Tax Capacity (CTC) of Richfield Rediscovered 1999, within Richfield Redevelopment Project
Area, upon completion ofthe project, will annually approximate tax increment revenues as shown in the table
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 44
below. The_Ci y_and HRA request I00_percent of the available_ increase in tax capacity for repayment of its
obligations and current expenditures, beginning in the tax year payable 2001. The project tax capacity listed
is an estimate of values when the project is completed.
Project Estimated Tax Capacitty
upon Completion of Project (PTC) $48.538
Original Estimated Net Tax Capacity (ONTO) 4,550
Estimated Captured Tax Capacity (CTC) 43,988
Estimated Annual Tax Increment
CTC x Local Tax Rate) $66,380
Subsection 4 -9. Property To Be Acquired
The City or HRA may acquire any parcel within Richfield Rediscovered 1999 including interiorand adjacent
street rights of way. The parcels are listed in Subsection 2 -5.
Any properties identified for acquisition will be acquired by the City or HRA only in order to
accomplish one or more of the following: carry out land acquisition, site improvements, clearance
and /or development to accomplish the uses and objectives set forth in this plan.
2. The following are conditions under which properties not designated to be acquired may be acquired:
The City or HRA may acquire property by gift, dedication, condemnation or direct purchase from
willing sellers in order to achieve the objectives of this tax increment financing plan. Such
acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and
related costs.
Subsection 4 -10. Uses of Funds
Currently under consideration for Richfield Rediscovered 1999 is a proposal to facilitate the acquisition and
demolition of substandard houses and enable home buyers to construct new houses on the lots. The City and
HRA have determined that it will be necessary to provide assistance to the project for certain costs. The City
has studied the feasibility of the development or redevelopment of property in and around Richfield
Rediscovered 1999. To facilitate the establishment and development or redevelopment of Richfield
Rediscovered 1999, this Plan authorizes the use of tax increment financing to pay for the cost of certain
eligible expenses. The estimate of public costs and uses of funds associated with Richfield Rediscovered
1999 over the life of the district is outlined in the following table.
Uses of Funds Total
Land Acquisition $1,820,000
Site Preparation/Demolition /Grading 280,000
Rehabilitation 1,120,000
Interest 500,000
Administrative Costs (up to 10 %) 107,586
TOTAL $4,827,580
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -5
7-)
v
Estimated costs associated with Richfield Rediscovered 1999 are subject to change. The cost of all activities
to be considered for tax increment financing will not exceed, without formal modification, the budget above
pursuant to the applicable statutory requirements. Pursuant to M.S., Section 469.1763, Subd. 2, no more than
25 percent of the tax increment paid by property within Richfield Rediscovered 1999 will be spent on
activities related to development or redevelopment outside of Richfield Rediscovered 1999 but within the
boundaries of Richfield Redevelopment Project Area, (including administrative costs, which are considered
to be spent outside of Richfield Rediscovered 1999) subject to the limitations as described in this Plan.
Subsection 4 -11. Sources of Revenue/Bonded Indebtedness
Acquisition and site preparation costs outlined in the Uses of Funds will be financed primarily through the
annual collection of tax increments. The City or HRA reserves the right to use other sources of revenue
legally applicable to the Modification to the Redevelopment Plan and the Plan, including, but not limited to,
special assessments, general property taxes, state aid for road maintenance and construction, proceeds from
the sale of land, other contributions from the developer and investment income, to pay for the estimated
public costs.
The City or HRA reserves the right to incur bonded indebtedness or other indebtedness as a result of the Plan.
As presently proposed, the project may be financed by a bond issue or loans. Additional indebtedness may
be required to finance other authorized activities. The total principal amount of bonded indebtedness or other
indebtedness related to the use of tax increment financing will not exceed $4,827,580 without a modification
to the Plan pursuant to applicable statutory requirements.
This provision does not obligate the City or HRA to incur debt. The City or HRA may issue bonds or incur
other debt only upon the determination that such action is in the best interest of the City. The City or HRA
may also finance the activities to be undertaken pursuant to the Plan through loans from funds of the City
or HRA.
The estimated sources of funds for Richfield Rediscovered 1999 over the life of the district are contained in
the table below.
Sources of Funds Total
Tax Increment $1,075,860
Land Sales 840,000
Other Tax Increment 2,857,927
Local Contribution 53,793
TOTAL $4,827,580
Subsection 4 -12. Definition of Tax Increment Revenues
Pursuant to M.S., Section 469.174, Subd. 25, tax increment revenues derived from a tax increment financing
district include all of the following potential revenue sources:
taxes paid by the captured net tax capacity, but excluding any excess taxes, as computed under
M.S., Section 469.177;
the proceeds from the sale or lease of property, tangible or intangible, purchased by the
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4-6
dl
authority with tax increments;
3 repayments of loans or other advances made by the authority with tax increments; and
4. interest or other investment earnings on or from tax increments.
Subsection 4 -13. Duration of Tax Increment Financing Richfield Rediscovered 1999
Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of Richfield
Rediscovered 1999 must be indicated within the Plan. Pursuant to M.S., Section 469.176, Subd. 1(b), the
duration of Richfield Rediscovered 1999 will be 25 years from the date of receipt of the first increment by
the City or HRA. The date of receipt by the City of Richfield of the first tax increment will be approximately
200 1. Thus, it is estimated that Richfield Rediscovered 1999, including any modifications of the Plan for
subsequent phases or other changes, would terminate after 2026, or when the Plan is satisfied. The City or
HRA does reserve the right to decertify Richfield Rediscovered 1999 prior to the legally required date.
Subsection 4 -14. Estimated Impact on Other Taxing Jurisdictions
The estimated impact on other taxing jurisdictions assumes construction which would have occurred without
the creation of Richfield Rediscovered 1999. If the construction is a result of tax increment financing, the
impact is $0 to other entities. Notwithstanding, the fact that the fiscal impact on the other taxing jurisdictions
is $0 due to the fact that the construction would not have occurred without the assistance of the City or HRA,
the following estimated impact of Richfield Rediscovered 1999 would be as follows if the "but for" test was
not met:
IMPACT ON TAX BASE
1998/1999 Estimated Captured
Total Net Tax Capacity (CTC) Percent of CTC
Tax Capacity Upon Proiect Completion to Entity Total
Hennepin County 925,993,876 43,988 0.0048%
I.S.D. No. 280 24,774,702 43,988 0.1776%
City of Richfield 17,777,731 43,988 0.2474%
IMPACT ON TAX RATES
0.285940
1998/1999 Percent Potential
Extension Rates of Total CTC Taxes
Hennepin County 0.409940 27.17% 43,988 18,032
I.S.D. No. 280 . 0.721270 47.80% 43,988 31,727
City of Richfield 0.285940 18.95% 43,988 12,578
Metro 0.060350 4.00% 43,988 2,655
Other 0.031540 2.09% 43,988 1,387
Total 1.509040 100.00% 66,380
The estimates listed above display the captured tax capacity when all construction is completed. The tax rate
used for calculations is the 1998 /Pay 1999 rate. The total net capacity for the entities listed above are based
on Pay 1999 figures. Richfield Rediscovered 1999 will be certified under the actual 1999/200 rates, which
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -7
were unavailable at the time this Plan was prepared____
Subsection 4 -15. Notification of Prior Planned Improvements
The City or HRA shall, after due and diligent search, accompany its request for certification to the County
Auditor or its notice of Richfield Rediscovered 1999 enlargement with a listing of all properties within
Richfield Rediscovered 1999 or area of enlargement for which building permits have been issued during the
eighteen (18) months immediately preceding approval of the Plan by the municipality pursuant to M.S.,
Section 469.175, Subd. 3. The County Auditor shall increase the original value of Richfield Rediscovered
1999 by the value of improvements for which a building permit was issued.
Pursuant to M.S., Section 469.177, Subd 4, the City is in the process of reviewing the area to be
included in Richfield Rediscovered 1999 to determine if any building permits have been issued during
the 18 months immediately preceding approval of the Plan by the City and HRA.
Subsection 4 -16. Administration of Tax Increment Financing Richfield Rediscovered 1999
Administration of Richfield Rediscovered 1999 will be handled by the Executive Director of the HRA of the
City of Richfield.
Subsection 4 -17. Municipal Approval and Public Purpose
The reasons and facts supporting the findings for the adoption of the Tax Increment Financing Plan for
Richfield Rediscovered 1999 as required pursuant to M.S., Section 469.175, Subd. 3 are as follows:
Finding that Richfield Rediscovered 1999 is a redevelopment district as defined in M.S., Section
469.174, Subd. 10(a)(1).
Richfield Rediscovered 1999 consists of 33 parcels, with plans to redevelop the area for residential
purposes. The Council generally believes that each of the parcels in the District are occupied by
buildings, streets, utilities, or other improvements and the buildings in Richfield Rediscovered 1999,
not including outbuildings, are structurally substandard to a degree requiring substantial renovation
or clearance. Because Richfield Rediscovered 1999 is a scattered site redevelopment district, each
parcel qualifies individually. These findings are based upon general information about buildings of
similar age and construction because building owners did not consent to interior inspections at this
time. Prior to a parcel being certified with Hennepin County, an interior inspection will be conducted
to confirm that the redevelopment district criteria have been met. (See also Appendix D)
2. Finding that the proposed development, in the opinion of the City Council, would not reasonably be
expected to occur solely through private investment within the reasonablyforeseeablefuture 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 Richfield Rediscovered 1999 permitted by the Plan.
Due to the high cost of redevelopment on the parcels currently occupied by substandard buildings and
the cost of financing the proposed improvements, this project is feasible only through assistance, in
part, from tax increment financing.
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -8
aa3
A comparative analysis of estimated market_values_both with and without establishment of Tax
Increment Financing Richfield Rediscovered 1999 and the use of tax increments has been performed
as described above. If all development which is proposed to be assisted with tax increment were to
occur in Richfield Rediscovered 1999, the total increase in market value would be up to $1,960,000
It is the Council's finding that no development with a market value of greater than $1,478,866 would
occur without tax increment assistance in this district within 25 years. This finding is based upon
evidence from general past experience with the high cost of acquisition and site improvements in the
general area of Richfield Rediscovered 1999 (see Cashflow in Appendix C).
3. Finding that the Tar Increment Financing Plan for Richfield Rediscovered 1999 conforms to the
general plan for the development or redevelopment of the municipality as a whole.
The Plan will be reviewed by the Planning Commission on September 28, 1999 in order to find that
the Plan is in conformance with the general development plan of the City.
4. Finding that the Tax Increment Financing Planfor Richfield Rediscovered 1999 will afford maximum
opportunity, consistent with the sound needs of the City as a whole, for the development or
redevelopment of Richfield Redevelopment Project Area by private enterprise.
The project to be assisted by Richfield Rediscovered 1999 will result in the renovation of substandard
properties, increased tax base of the State and add a high quality development to the City.
Additional findings are set forth in the Authorizing Resolution of the City.
Subsection 4 -18. Fiscal Disparities Election
No commercial /industrial property is expected to be constructed in Richfield Rediscovered 1999.
Subsection 4 -19. State Tax Increment Financing Aid
Pursuant to M.S., Section 273.1399, fortax increment financing districts for which certification was requested
after April 30, 1990, a municipality incurs a reduction instate tax increment financing aid (RISTIFA) applied
to the municipality's Local Government Aids (LGA) first and, Homestead and Agricultural Aid (HACA)
second, in an amount equal to a formula based upon the equalized qualifying captured tax capacity (QCTC)
of the tax increment financing district.
Pursuant to M.S., Section 273.1399, Subd. 6, the City or HRA may choose an option to the LGA -HACA
penalty. Richfield Rediscovered 1999 is exempt from the LGA -HACA reduction if the City or HRA elects
to make a qualifying local contribution at the time of approving the tax increment financing plan. To qualify
for the exemption in each year, the City or HRA must make a qualifying local contribution to the project of
a certain percentage. The local contribution for a redevelopment district is 5 percent. The maximum
local contribution for all districts in the City in any year is limited to two percent of the City's net tax
capacity, after which point the City or HRA must make an additional contribution equal to the lesser of (a)
0.25 percent of the City's net tax capacity or (b) 3 percent of tax increment revenues for that year.
The amount of the local contribution must be made out of unrestricted money of the City or HRA, such as
the general fund, a property tax levy, or a federal or state grant -in -aid which may be spent for general
government purposes. The local contribution may not be made, directly or indirectly, with tax increments
Richfield HRA Tax Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -9
a 0
or developer payments. The local contribution must be used to_ pay project costs and cannot be used for
general government purposes.
The City elects to make the annual local contribution to the project to exempt itself from the LGA-
HACA penalty. The City or HRA will pay for costs of the project described in this Plan, in an amount equal
to 5 percent of annual tax increment for Richfield Rediscovered 1999, subject to the limitations described
above, in any year in which such amount exceeds 2 percent of the City's net tax capacity. Such contribution
may be in form of either lump sum or annual payments (in addition to tax increment payments) towards costs
identified in this Plan or other costs related to that development or redevelopment. The contribution may
also be made in the form of public improvements financed by the City or HRA or other unit of government
with unrestricted funds.
Subsection 4 -20. County Road Costs
Pursuant to M.S., Section 469.175, Subd la, the county board may require the City or HRA to pay for all
or part of the cost of county road improvements if the proposed development to be assisted by tax increment
will, in the judgement of the county, substantially increase the use of county roads requiring construction of
road improvements or other road costs and if the road improvements are not scheduled within the next five
years under a capital improvement plan or other county plan.
In the opinion of the City and HRA and consultants, the proposed development outlined in this Plan will
have little or no impact upon county roads. If the county elects to use increments to improve county roads,
it must notify the City or HRA within thirty days of receipt of this Plan.
Subsection 4 -21. Summary
The City of Richfield is establishing Richfield Rediscovered 1999 to preserve and enhance the tax base,
redevelop substandard areas, and provide employment opportunities in the City. The Tax Increment
Financing Plan for Richfield Rediscovered 1999 was prepared by Ehlers & Associates, Inc., 3060 Centre
Pointe Drive, Roseville, Minnesota 55402 -4100, telephone (651) 697 -8500.
Richfield HRA Tar Increment Financing Plan for Richfield Rediscovered 1999 Tax Increment Financing District 4 -10
APPENDIX A - - - -- -- -
BOUNDARY MAPS OF THE RICHFIELD REDEVELOPMENT PROJECT AREA AND
THE RICHFIELD REDISCOVERED 1999 TAX INCREMENT FINANCING DISTRICT
APPENDIX A -1
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APPENDIX B
LEGAL DESCRIPTION OF PROPERTY TO BE INCLUDED IN
THE'RICHFIELD REDISCOVERED 1999 TAX INCREMENT FINANCING DISTRICT
APPENDIX
PID Number Address
6220 Clinton Avenue 27-028-24-11-0001
6608 Stevens Avenue 27- 028 -24 -42 -0073
6625 3rd Avenue 27- 028 -24 -41 -0084
6637 5" Avenue
6800 Pillsbury Avenue
6744 Blaisdell Avenue
6833 Park Avenue
6833 Grand Avenue
7036 1" Avenue
7241 2nd Avenue
7316 Clinton Avenue
7301 Garfield Avenue
7544 2nd Avenue
7333 Emerson Avenue
6224 Bloomington Avenue
6928 14' Avenue
6915 13' Avenue
7133 Lyndale Avenue
7025 Nicollet Avenue
6315 Newton Avenue
6310 Irving Avenue
6306 Irving Avenue
6320 Girard Avenue
6645 Know Avenue
6800 Logan Avenue
6912 Penn Avenue
6933 Queen Avenue
6855 Penn Avenue
6833 Penn Avenue
6929 Queen Avenue
6901 12" Avenue
6945 Clinton Avenue
7615 Pillsbury Avenue
27- 028 -24 -41 -0015
27- 028 -24 -34 -0016
27- 028 -24 -31 -0007
26- 028 -24 -33 -0086
27- 028 -24 -33 -0070
34- 028 -24 -12 -0015
34- 028 -24 -13 -0150
34- 028 -24 -14 -0086
34- 028 -24 -23 -0129
34- 028 -24 -42 -0104
33- 028 -24 -13 -0090
26- 028 -24 -12 -0047
26- 028 -24 -43 -0069
26- 028 -24 -43 -0064
34- 028 -24 -22 -0055
34- 028 -24 -12 -0022
28- 028 -24 -22 -0097
28- 028 -24 -21 -0075
28- 028 -24 -21 -0126
28- 028 -24 -12 -0033
28- 028 -24 -31 -0032
28- 028 -24 -33 -0001
29- 028 -24 -44 -0161
29- 028 -24 -44 -0170
28- 028 -24 -33 -0146
28- 028 -24 -33 -0045
29- 028 -24 -44 -0171
26- 028 -24 -43 -0082
27- 028 -24 -44 -0108
34- 028 -24 -34 -0045
B -I
F
APPENDIX C
ESTIMATED CASH FLOW FOR THE RICHFIELD REDISCOVERED 1999 TAX INCREMENT
FINANCING - DISTRICT . - - - - -- -
APPENDIX C_1
09/08/99 Page 2
q /0)
CITY OF RICHFIELD, MINNESOTA
TAX INCREMENT FINANCING DISTRICT - RICHFIELD REDISCOVERED
TAX INCREMENT CASH FLOW
Elvers and Associates, Inc. Planl.wk4
Base Project Captured Semi - Annual Admin. Semi - Annual I Local Match I Years
PERIOD BEGINNING Tax Tax Tax Gross Tax at Net Tax at OI PERIOD ENDING
Yrs. Mth. Yr. Capacity Capacity Capacity Increment 10.25% Increment 5.00% Increment Yrs. Mth. Yr.
0.0 08 -01 1999 4,550 4,550 0 0 0 0 0 0.0 0.5 02 -01 2000
0.5 02 -01 2000 4,550 4,550 0 0 0 0 0 0.0 1.0 08 -01 2000
1.0 08 -01 2000 4,550 4,550 0 0 0 0 0 0.0 1.5 02 -01 2001
1.5 02 -01 2001 4,550 12.135 7,585 5,723 587) 5,136 286 0.5 2.0 08 -01 2001
2.0 08 -01 2001 4,550 12,135 7,585 5,723 587) 5,136 286 1.0 2.5 02 -01 2002
2.5 02 -01 2002 9,100 24.269 15,169 11,445 1,173) 10,272 572 1.5 3.0 08 -01 2002
3.0 08 -01 2002 9,100 24,269 15,169 11,445 1,173) 10,272 572 2.0 3.5 02 -01 2003
3.5 02 -01 2003 13,650 36,404 22,754 17,168 1.760) 15,408 858 2.5 4.0 08 -01 2003
4.0 08 -01 2003 13,650 36,404 22,754 17,168 1,760) 15.408 858 3.0 4.5 02 -01 2004
4.5 02 -01 2004 18,200 48,538 30,338 22,891 2.346) 20,544 1,145 3.5 5.0 08 -01 2004
5.0 08 -01 2004 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 4.0 5.5 02 -01 2005
5.5 02 -01 2005 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 4.5 6.0 08 -01 2005
6.0 08 -01 2005 18,200 48,538 30,338 22.891 2,346) 20,544 1,145 5.0 6.5 02 -01 2006
6.5 02 -01 2006 18,200 48,538 30,338 22,891 2.346) 20,544 1,145 5.5 7.0 08 -01 2006
7.0 08 -01 2006 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 6.0 7.5 02 -01 2007
7.5 02 -01 2007 18,200 48,538 30,338 22,891 2,346) 20.544 1,145 6.5 8.0 08 -01 2007
8.0 08 -01 2007 18.200 48,538 30,338 22,891 2,346) 20.544 1,145 7.0 8.5 02 -01 2008
8.5 02 -01 2008 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 7.5 9.0 08 -01 2008
9.0 08 -01 2008 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 8.0 9.5 02 -01 2009
9.5 02 -01 2009 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 8.5 10.0 08 -01 2009
10.0 08 -01 2009 18,200 48,538 30,338 22.891 2,346) 20,544 1,145 9.0 10.5 02 -01 2010
10.5 02 -01 2010 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 9.5 11.0 08 -01 2010
11.0 08 -01 2010 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 10.0 11.5 02 -01 2011
11.5 02 -01 2011 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 10.5 12.0 08 -01 2011
12.0 08 -01 2011 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 11.0 12.5 02 -01 2012
12.5 02 -01 2012 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 11.5 13.0 08 -01 2012
13.0 08 -01 2012 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 12.0 13.5 02 -01 2013
13.5 02 -01 2013 18.200 48,538 30,338 22,891 2,346) 20,544 1,145 12.5 14.0 08 -01 2013
14.0 08 -01 2013 18.200 48,538 30,338 22,891 2,346) 20,544 1,145 13.0 14.5 02 -01 2014
14.5 02 -01 2014 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 13.5 15.0 08 -01 2014
15.0 08 -01 2014 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 14.0 15.5 02 -01 2015
15.5 02 -01 2015 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 14.5 16.0 08 -01 2015
16.0 08 -01 2015 18,200 48,538 30.338 22,891 2,346) 20,544 1,145 15.0 16.5 02 -01 2016
16.5 02 -01 2016 18.200 48.538 30,338 22.891 2,346) 20,544 1,145 15.5 17.0 08 -01 2016
17.0 08 -01 2016 18,200 48,538 30,338 22,891 2,346) 20.544 1,145 16.0 17.5 02 -01 2017
17.5 02 -01 2017 18,200 48.538 30,338 22,891 2,346) 20,544 1,145 16.5 18.0 08 -01 2017
18.0 08 -01 2017 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 17.0 18.5 02 -01 2018
18.5 02 -01 2018 18,200 48,538 30.338 22,891 2,346) 20,544 1,145 17.5 19.0 08 -01 2018
19.0 08 -01 2018 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 18.0 19.5 02 -01 2019
19.5 02 -01 2019 18.200 48,538 30,338 22,891 2,346) 20,544 1,145 18.5 20.0 08 -01 2019
20.0 08 -01 2019 18.200 48,538 30,338 22,891 2,346) 20.544 1,145 19.0 20.5 02 -01 2020
20.5 02 -01 2020 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 19.5 21.0 08 -01 2020
21.0 08 -01 2020 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 20.0 21.5 02 -01 2021
21.5 02 -01 2021 18,200 48,538 30.338 22,891 2,346) 20.544 1,145 20.5 22.0 08 -01 2021
22.0 08 -01 2021 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 21.0 22.5 02 -01 2022
22.5 02 -01 2022 18.200 48,538 30,338 22,891 2,346) 20.544 1,145 21.5 23.0 08 -01 2022
23.0 08 -01 2022 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 22.0 23.5 02 -01 2023
23.5 02 -01 2023 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 22.5 24.0 08 -01 2023
24.0 08 -01 2023 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 23.0 24.5 02 -01 2024
24.5 02 -01 2024 18,200 48,538 30,338 22,891 2,346) 20,544 1,145 23.5 25.0 08 -01 2024
25.0 08 -01 2024 18,200 48,538 30,338 22,891 2,346) 20,544 1.145 24.0 25.5 02 -01 2025
25.5 02 -01 2025 18.200 48,538 30,338 22,891 2,346) 20,544 1,145 24.5 26.0 08 -01 2025
26.0 08 -01 2025 18,200 48,538 30,338 22,891 2,346 20,5441 1,1451 25.0 26.5 02 -01 2026
Totals 1,075,860 110276 965,584 53,793
Present Values 481,134 49,316) 431,818
Elvers and Associates, Inc. Planl.wk4
09/08/99 Page i
7
CITY OF RICHFIELD, MINNESOTA
TAX INCREMENT FINANCING DISTRICT - RICHFIELD REDISCOVERED
T.I.F. CASH FLOW ASSUMPTIONS
Interest Rate: 6.000%
Tax Extension Rate: 1.50904 Estimate
Inflation Rate: 0.0000%
BASE VALUE INFORMATION
Tax
MV Per Unit k Units Market Value Capacity
Various Parcels 65,000 28 1,820,000 18.200
Total 18.200
PROJECT VALUE INFORMATION
Type of Tax Increment District: Housing
Number of Units: 28
Class Rates:
Single Family <$76k 1.0000%
Single Family >$76k 1.6500%
Estimated Market Value On all Projects:
Estimated Total Market Value per Unit
Estimated Tax Capacity Per Unit:
Estimated Tax Capacity Total:
Estimated Taxes:
Estimated Taxes Per Unit:
Estimated Tax Increment:
Estimated Tax Increment Per Unit:
3,780,000 Q a year for four years)
135,000
1,734
48,538 Q a year for four years)
73,246
2,616
11,445
409
BUT / FOR ANALYSIS
Current Market Value - Est. 1,820.000
New Market Value - Est. 3.780.000
Difference 1.960.000
Present Value of Tax Increment 481,134
Difference 1,478,866
Value Likely to Occur Without TIF is Less Than: 1,478,866
Ehlers and Associates. Inc. Planl.wk4
APPENDIX D
REDEVELOPMENT QUALIFICATIONS FOR THE RICHFIELD REDISCOVERED 1999 TAX
INCREMENT FINANCING DISTRICT
The HRA staff has provided the opportunity for property owners to allow access to the property in order to
undertake an interior inspection. Each property has been reviewed to determine property substandardness
in accordance with M.S., Section 469.174, Subd. 10. All findings are on file for review at the City of
Richfield, Community Development Department.
APPENDIX 1131
D -,3,;
Draft as of September 10, 1999
Draft for Fiscal Implication Correspondence
MODIFICATION TO THE REDEVELOPMENT PLAN
FOR RICHFIELD REDEVELOPMENT PROJECT AREA;
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN
FOR THE GRAMERCY TAX INCREMENT FINANCING DISTRICT;
MODIFICATION TO THE TAX INCREMENT FINANCING PLAN
FOR THE URBAN VILLAGE TAX INCREMENT FINANCING DISTRICT;
AND
THE TAX INCREMENT FINANCING PLAN
FOR THE ESTABLISHMENT OF
RICHFIELD REDISCOVERED 1999
TAX INCREMENT FINANCING DISTRICT
a redevelopment district)
RICHFIELD HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF RICHFIELD
HENNEPIN COUNTY
STATE OF MINNESOTA
Public Hearing: October 11, 1999
Adopted:
Prepared by:
EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Drive
Roseville, Minnesota 55113 -1105
Phone: (651) 697 -8500
Fax: (651) 697 -8555
E -mail: info @ehlers- inc.com
Web Site: www.ehlers - inc.com
RICHFIELD Planning Commission Letter
September 28, 1999
Agenda Section: New Business
Item #: 3
Letter #: 28
GENERAL INFORMATION
Type of Request: Update on Community and Recreational Center.
ANALYSIS
Proposal: In August, the City Council voted to hold a referendum on the financing of the
Community and Recreational Center. Rick Jabs, Task Force and Community
Services Commission Chair, would like to update the Commission on the
process.
ACTION TO BE TAKEN
Recommendation: No action is being requested at this time.
MOAN
Agenda Section:
Item #:
Letter #:
Planning Commission Letter
September 28, 1999
New Business
4
29
GENERAL INFORMATION
Type of Request: Review recommendations from Town Home Focus Group.
ANALYSIS
History: A town home focus group was convened to consider issues of townhome
design in Richfield. Residents and policymakers have expressed concern that
developers propose townhomes products that don't fit with the Richfield
character. The focus group was composed of community members, including
two Planning Commissioners, who met once to talk about these design issues.
A summary of the issues discussed is attached. The Commission is asked to
review the summary.
ACTION TO BE TAKEN
Recommendation: No action is being requested at this time. The item is for informational
purposes only.
1
MEMORANDUM
to: CITY OF RICHFIELD PLANNING COMMISSION
from: RICHFIELD TOWN HOME FOCUS GROUP
subject: RECOMMENDATIONS FROM SEPTEMBER 1, 1 999 MEETING
date: SEPTEMBER 13, 1999
Purpose of the Town Home Focus Group
When new housing is proposed in Richfield, City staff and elected officials often hear a
concern from community members that the new design will look like it could be located
anywhere. There is a desire that when you look at buildings and landscaping you
know you are in Richfield."
The focus group met to explore what could be done to town home design to create a
unique look that reflects the Richfield community. The group consisted of a cross -
section of Richfield community members and policy makers. Representatives from Ron
Clark construction attended to listen and to offer their perspectives. A land planning
and design professional attended to draw ideas from the design discussion. The group
also gave Ron Clark Construction feedback on proposed plans for town homes at 77th
and Garfield.
Recommendatiol from the meeting will be compiled by the facilitator, reviewed by
attendees and then sent to the Richfield Planning Commission. There are no plans for
the focus group to meet again, but those members in attendance were open to future
discussions if the Planning Commission desires.
Meeting Attendar:e
Focus Group Members: David Gepner, Joan Helmberger, Tom Junnila, Ann Marble,
Connie Murray, Mark Tolvstad
Also in Attendance: Aimee Gourlay, facilitator, Heidi Kurtze and Gary Tushie,
Ron Clark Construction, Michael Schroeder, Hoisington
Koegler Group, Inc.
Focus Group members were asked to share their ideas about "Town Home Fit with
the Community" and "Town Home Concepts." Their thoughts on those topics are
outlined on pages 2 and 3 of these recommendations. Focus Group members were
asked to vote for their top three ideas. The asterisk(s) after an item represents how
many votes the idea received.
a)
Town Home Fit with the Richfield Community
The focus group was in favor of Richfield's plan to diversify its housing types. They
noted that town homes should "fit with the new Richfield." Town homes are attractive to
many people because they accommodate a different life style than single family homes.
The focus group noted that town homes should blend into the style of the community,
but also offer an attractive alternative to single family living (e.g., less maintenance,
affordable price).
A theme that came out of these discussion is that town homes in Richfield should
focus on simplicity and quality building at an affordable cost, instead of "image."
Simplicity of design was preferred over anything fancy or trendy.
A variety of town home sizes, for families, first -time home buyers, single
professionals and older residents. * **
Town Homes that fit the average budget. ** One member pointed out that mosl
new town home buyers upgrade, and that the homes should be affordable with
average upgrades.
Maintain P-nd enhance the City's focus on green spaces and landscaping and
preserving mature trees whenever possible. * **
Continue to look for ways to incorporate walking and biking paths.
The scale ( "the town home areas should fit with the neighborhood.* Several
smaller site.. were preferred over one large area. However, the sites should not
be so small (one or two lots) that they are out of place with surrounding single
family homes.
Town Home Concepts
The City should have some single - level, accessible town homes.
The building materials that are used should be made to last (a member noted
problems with rotting wood on some Richfield Town homes). If siding is used for
cost effectiveness, creative design should be used to minimize long stretches of
siding that show seams. Other materials (stone, stucco, brick) should be
incorporated into the exterior to create interest.
2
q-3
Green space should be incorporated into sites .by including common areas and
emphasizing landscaping. * ** Use landscaping to make both the town homes
and the view from the street attractive.
Design should create privacy between units.*
Design should have "character: " * * ** (e.g., not all look alike, include interesting
detail to avoid looking "institutional. ")
Site should include some type of common meeting area for residents.
One member suggested that associations should allow pets.
From the street, you should see the front door before the garage.*
Soften the street scape *, use narrow streets and other traffic calming measures,
and don't have traffic driving through the town home site.
Town homes with gardens and front and back yards, and buildings that have a
front door on the street will blend with the communities' single family homes.
Many of the redevelopment areas are near freeways. Design should attempt to
minimize noise and maximize pleasant views.
Town home redevelopment project should consider the funding of the new town
home associations to ensure a strong organization that will maintain the homes.
Specific Design : Jeas
Exterior colors should be classic and neutral, such as earth tones.
Simple design over fancy embellishments.
Reduce setback from the street, less than currently zoned, to increase common
space and landscaping opportunities in inner courtyards. Except, do not
minimize setbacks if there are other single family homes on the block because it
would look disjointed.
Design buildings in a square with central courtyards.
Do not want to see the garage doors in front of homes. Prefer attached garages
that are tuck under and below grade to minimize building footprint.
3
Units_ should -have views to something other -than. other units.
Break up facade to accent features of the house (using stucco, block, brick).
Add chimneys at fireplace or plumbing vents.
The roof lines should vary in height, with a preference for the lowest roof line on
the street side.
Roof should be pitched, but not overly steep (viewed as trendy).
Like gables facing the street.
4
Homes should not be stacked on top of one another and should be noise proof.
Feedback on 77th and Garfield
Focus Group members had a generally favorable reaction to Ron Clark Construction's
proposed town homes at Garfield and 77th. They noted that many of the design
elements they had discussed were present in this proposal. Members liked that fact
that the exterior plans were unique to Richfield and had not been used anywhere else.
Specific feedback:
Like use of multi- paned windows.
Like mixed use of materials.
Noted that tiere was a lack of common green space, but thought that if the area
was landsc..ped well it could be quite attractive.
Liked the mass of the building.being perpendicular to the street.
Did not like the large expanses of pavement.
U: \CONSULT\PROJECT\RICHFI EL \TOWNSUMM.WPD
4