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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. 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Z Q li Mil jllill tF Q i i1j Illlj Q .I Fi LLJ u Ii IIi Ii 'I W W z w Ii, Li r\j jiiK - I n (n c1 W Ii Ij I,I is lil 0 (n Gi Lil IA 3 x I! !i III I' v V) i Fi °^ a 0 4 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.____ —__ 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 — - 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 HSK3W.LS CHU 13LZ H1SL II mm W-To Mm f Y. Z W S 3nvMcm HIBL HILL RM a NOIDWOO -M N HLSL HLOL HILL LPL O HLLL N HIDL lon's ca m ODVDM 7S S s rnoo N Wd N 3 v C pHIS CHL> OINM. s s CL ti SN3/A3S 1St 3nv13rnoN CC vm calD c HILKYAiNW 791NVSV3-Ld 78 c a 0 5J3ANHa1ai UaLOVID 3nv anv ui c HAM 1NVAks xvz 1140 drK3 NDS29N3 114 alu CUMID 1a-LOemiH SNVIMI SaNw LL XONX NV`WIJOl NbED" NOIWN 3w NN3d NMW l Q NVWRI}LS N SVAKXU NOldrl IN333NV% NdrWYM O r a 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