05-9623r
223
RESOLUTION NO. 9623
RESOLUTION APPROVING
PROPERTY TAX ABATEMENT FOR CERTAIN PROPERTY
IN THE CITY OF RICHFIELD
BE IT RESOLVED By the City Council ("Council") of the City of Richfield,
Minnesota ("City") as follows:
Section 1. Recitals.
1.01. The City has determined a need to grant a property tax abatement to
certain property in the City, legally described in Exhibit A (the "Property"), all pursuant
to Minnesota Statutes, Sections 469.1812 to 469.1815 (the "Act").
1.02. The purpose of the abatement is to provide funds to make payments to a
redeveloper on a note to be issued by the HRA to be used in the acquisition, site preparation
and related redevelopment activities within the area described in Exhibit A (the "Project.").
1.03. Hennepin County (the "County") has agreed to contribute to the financing of
the Project, but has declined to grant a tax abatement after receipt of a request from the City.
The City's request to the County was made in accordance with Section 469.1813,
subdivision 6 ofthe Act.
1.04. This Council has fully reviewed the proposed Abatement (as hereinafter
defined) and on May 24, 2005 conducted a public hearing thereon, at which the views of all
interested persons were heard.
Section 2. Findings.
2.01. It is hereby found and determined as follows:
(a) the benefits to the City from the Abatement will be at least equal to the costs to
the City of the Abatement;
(b) the Abatement will help to increase or preserve the tax base by the resulting
location of new retail businesses on land purchased with assistance of the Abatement;
(c) the Abatement will provide access to services for residents of the City by the
resulting establishment of new retail businesses on land purchased with assistance of the
Abatement;
(d) the Abatement will provide employment opportunities in the City by the
resulting establishment of new retail businesses on land purchased with assistance of the
Abatements;
(e) the Abatement will assist in the redevelopment of areas that are subject to
blighting influences; and
(f) the new retail businesses established on land purchased with assistance of the
Abatements will be paying for part of the cost of new public infrastructure.
Section 3. Actions Ratified; Abatement Approved.
3.01. The Council hereby ratifies all actions of the City's staff and consultants in
arranging for approval of this resolution in accordance with the Act.
3.02. Subject to the provisions of the Act, the Abatement is hereby approved and
adopted subject to the following terms and conditions:
(a) The term "Abatement" means the real property taxes payable in the years
2008 through 2023: (i) generated in any tax-payable year by extending the
City's local tax rate against the tax capacity of the land and improvements,
excluding any portion of the tax capacity attributable to the areawide tax
under Minnesota Statutes, Chapter 473F) as of January 2 in the prior year;
and (ii) paid to the City by the county. The term also includes, to the extent
permitted by law, any delinquent real property taxes which are due and
payable during the period of the Abatement, and which are subsequently
paid, either during the period of the abatement or afterwards. In no event will
the Abatement in any year exceed the greater of (1) ten percent of the City's
current levy, or (2) $200,000 (the "Abatement Cap."). Property tax
abatements will be allocated to the Abatement Cap in the order of the date of
approval of each abatement resolution.
(b) The Abatement will be paid for a period of 15 years, commencing with taxes
payable in 2008. In order to grant abatements longer than 10 years, the City
acknowledges receipt of written notice from Hennepin County formally
declining to participate in abatement for the Project.
(c) The Abatement is hereby pledged to make annual payments on a Tax
Abatement Limited Revenue Note in the maximum amount (principal) of
$2,068,700 and interest due thereon (the "Note") which will be issued to
redeveloper of the Project and used to reimburse site acquisition and related
expenditures incurred by the redeveloper. The Note will bear interest at the
rate of 7.0% per annum, payable only from the Abatement. It is anticipated
that if the Note were issued in the maximum amount, interest would total
approximately $1,750,000.
In accordance with Section 469.1813, subdivision 7 of the Act, the duration
and the total amount of the Abatement authorized under this resolution may
not be modified during its term.
Approved by the City Council of the City of Richfield, Minnesota this 24th dqy of May,
2005. (I ( ()
7nMf0";J ~
Martin J. Kirscth-.M'ayor
Attest:
Exhibit A
Description ofProperlv
Address Legal Description
6301 Cedar Avenue South Lot 003, Block 015, New Ford Town, Hennepin County, Minnesota
6311 Cedar A venue South Lot 004, Block 015, New Ford Town, Hennepin County, Minnesota
6315 Cedar A venue South Lot 005, Block 015, New Ford Town, Hennepin County, Minnesota
6325 Cedar Avenue South Lots 6, 7, and 8, Block 015, New Ford Town, Hennepin County,
Minnesota
6333 Cedar Avenue South Lots 9 and 10, Block 015, New Ford Town, Hennepin County,
Minnesota,
6341 Cedar A venue South Lot 011, Block 015, New Ford Town, Hennepin County, Minnesota
6345 Cedar A venue South Lot 012, Block 015, New Ford Town, Hennepin County, Minnesota
6405 Cedar Avenue South Lots 1 and 2, Block 008, New Ford Town, Hennepin County,
Minnesota
6409 Cedar A venue South Lots 3 and 4, Block 008, New Ford Town, Hennepin County,
Minnesota
6417 Cedar A venue South Lot 005, Block 008, New Ford Town, Hennepin County, Minnesota
6421 Cedar Avenue South Lot 006, Block 008, New Ford Town, Hennepin County, Minnesota
6425 Cedar Avenue South Lots 7 and 8, Block 008, New Ford Town, Hennepin County,
Minnesota
6429 Cedar Avenue South Lot 009, Block 008, New Ford Town, Hennepin County, Minnesota
6437 Cedar Avenue South Lot 010, Block 08, New Ford Town, Hennepin County, Minnesota
6441 Cedar A venue South Lot 011, Block 008, New Ford Town, Hennepin County, Minnesota
6445 Cedar Avenue South Lot 012, Block 008, New Ford Town, Hennepin County, Minnesota
6501 Cedar Avenue South Lots 1 and 2, Block 001, New Ford Town, Hennepin County,
Minnesota
6509 Cedar Avenue South Lot 003, Block 001, New Ford Town, Hennepin County, Minnesota
6511 Cedar A venue South Block 001, Lot 4 and N 20 ft of Lot 5, New Ford Town, Hennepin
County, Minnesota
6521 Cedar Avenue South Lot 6 and S 30 ft of Lot 5, Lots 5 and 5, Block 001, New Ford Town,
Hennepin County, Minnesota
6525 Cedar Avenue South Lot 007, Block 001, New Ford Town, Hennepin County, Minnesota
6529 Cedar Avenue South Lot 008, Block 001, Ex Hwy, New Ford Town, Hennepin County,
Minnesota
6533 Cedar Avenue South Lot 009, Block 001, Ex Hwy, New Ford Town, Hennepin County,
Minnesota
6537 Cedar Avenue South Lot 010, Block 001, Ex Hwy, New Ford Town, Hennepin County,
Minnesota
Exhibit A
Description of Property
Address Lel!al Descriotion
6300 Cedar Avenue South Lot 5 and N 33 ft of Lot 4 and S 17 ft of Lot 6, Block 003, Iversons
3rd Addn
6320 Cedar Avenue South Lot 004, Block 003, S 67 Ft, Ivrsons 3rd Addn
6328 Cedar Avenue South Lot 3 and N 40 Ft of Lot 2, Block 003, Iversons 3rd Addn
6344 Cedar A venue South Lot 1 and S 60 ft of Lot 2, Block 003, Iversons 3rd Addn
6400 Cedar A venue South Lot 006, Block 002, Iversons 3rd Addn
6412 Cedar Avenue South Lots 4 5 and N 'is of Lot 3, Block 002, Iversons 3rd Addn
6444 Cedar A venue South Lots 1 2 and S 'is of Lot 3, Block 002, Iversons 3rd Addn
6500 Cedar A venue South Lot 6 and N 25 ft of Lot 5, Block 001. Iversons 3rd Addn
6520 Cedar A venue South Lot 4 and S 71 ft of Lot 5, Block 001, Iversons 3rd Addn
6528 Cedar A venue South Lot 3 and N 46 ft of Lot 2, Block 001, Iversons 3rd Addn
6315 18th A venue South Lot 006, Block 003, Iversons 3rd Addn
6321 18th Avenue South Lot 010, Block 003, Iversons 3rd Addn
6327 18th Avenue South Lot 011, Block 003, Iversons 3rd Addn
6333 18th Avenue South Lot 012, Block 003, Iversons 3rd Addn
6339 18th Avenue South Lot 013, Block 003, Iversons 3rd Addn
6345 18th A venue South Lot 014, Block 003, Iversons 3rd Addn
6401 18th A venue South Lot 007, Block 002, Iversons 3rd Addn
6409 18th A venue South Lot 008, Block 002, Iversons 3rd Addn
6415 18th A venue South Lot 009, Block 002, Iversons 3rd Addn
6421 18th Avenue South Lot 010, Block 002, Iversons 3rd Addn
6427 18th A venue South Lot 011, Block 002, Iversons 3rd Addn
6433 18th Avenue South Lot 012, Block 002, Iversons 3rd Addn
6439 18TH Avenue South Lot 013, Block 002, Iversons 3rd Addn
6445 18th A venue South Lot 014, Block 002, Iversons 3rd Addn
6501 18th Avenue South Lot 007, Block 001, Iversons 3rd Addn
6509 18th Avenue South Lot 008, Block 001, Iversons 3rd Addn
6515 18th A venue South Lot 009, Block 001, Iversons 3rd Addn
6521 18th Avenue South Lot 010, Block 001, Iversons 3rd Addn
6527 18th Avenue South Lot Oil, Block 001, Iversons 3rd Addn
6533 18th A venue South Lot 012, Block 001, Iversons 3rd Addn
6314 18th A venue South Lot 014, Block 006, Iversons 2nd Addn
6320 18th Avenue South Lot 013, Block 006, Iversons 2nd Addn
6326 18th Avenue South Lot 012, Block 006, Iversons 2nd Addn
6332 18th Avenue South Lot 011, Block 006, Iversons 2nd Addn
6338 18th Avenue South Lot 010, Block 006, Iversons 2nd Addn
6344 18th Avenue South Lot 009, Block 006, Iversons 2nd Addn
6400 18th A venue South Lot 016, Block 005, Iversons 2nd Addn
6408 18th A venue South Lot 015, Block 005, Iversons 2nd Addn
6414 18th A venue South Lot 014, Block 005, Iversons 2nd Addn
6420 18th A venue South Lot 013, Block 005, Iversons 2nd Addn
6426 18th Avenue South Lot 012, Block 005, Iversons 2nd Addn
6432 18th Avenue South Lot Oil, Block 005, Iversons 2nd Addn
Exhibit A
Description of Property
Address Le2al Descriotion
6438 18th Avenue South Lot 010, Block, 005, Iversons 2nd Addn
6444 18th A venue South Lot 009, Block 005, Iversons 2nd Addn
6500 18th Avenue South Lot 012, Block 004, Iversons 2nd Addn
6508 18th Avenue South Lot 011, Block 004, Iversons 2nd Addn
6514 18th A venue South Lot 010, Block 004, Iversons 2nd Addn
6520 18th Avenue South Lot 009, Blook 004, Iversons 2nd Addn
6526 18th Avenue South Lot 008, Block 004, Iversons 2nd Addn
6532 18th Avenue South Lot 007, Block 004, Iversons 2nd Addn
6315 17th A venue South Lot 003, Block 006, Iversons 2nd Addn
6321 17th Avenue South Lot 004, Block 006, Iversons 2nd Addn
6327 17th Avenue South Lot 005, Block 006, Iversons 2nd Addn
6333 17th Avenue South Lot 006, Block 006, Iversons 2nd Addn
6339 17th Avenue South Lot 007, Block 006, Iversons 2nd Addn
6345 17th A venue South Lot 008, Block 006, Iversons 2nd Addn
6401 17th A venue South Lot 001, Block 005, Iversons 2nd Addn
6409 17th A venue South Lot 002, Block 005, Iversons 2nd Addn
6415 17th A venue South Lot 003, Block 005, Iversons 2nd Addn
6421 17th A venue South Lot 004, Block 005, Iversons 2nd Addn
6427 17th Avenue South Lot 005, Block 005, Iversons 2nd Addn
6433 17th Avenue South Lot 006, Block 005, Iversons 2nd Addn
6439 17th Avenue South Lot 007, Block 005, Iversons 2nd Addn
6445 17th Avenue South Lot 008, Block 005, Iversons 2nd Addn
6501 17th Avenue South Lot 001, Block 004, Iversons 2nd Addn
6509 17th A venue South Lot 002, Block 004, Iversons 2nd Addn
6515 17th A venue South Lot 003, Block 004, Iversons 2nd Addn
6521 17th A venue South Lot 004, Block 004, Iversons 2nd Addn
6527 17th Avenue South Lot 005, Block 004, Iversons 2nd Addn
6533 17th A venue South Lot 006, Block 004, Iversons 2nd Addn
1700 E 66th Street Lot 004, Block 004, Iversons 3rd Addn
1708 E 66th Street Lot 003, Block 004, Iversons 3rd Addn
1714 E 66th Street Lot 002, Block 004, Iversons 3rd Addn
1720 E 66th Street Lot 001, Block 004, Iversons 3rd Addn
1800 E 66th Street Lot 014, Block 001, Iversons 3rd Addn
1820 E 66th Street Lots 1 13 and S 50 ft of Lot 2, Block 001, Iversons 3rd Addn