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HomeMy WebLinkAboutDecember 14, 1992 Special MeetingDonald J. Murz~n. Jr. Councilmembers Senn T. Clcrkin Bruce G. Naa rocki Gar}: L. Peterson Robert W. Ruettimann Cil.~ Manager Sluari ~k'. Anderson  TY OF COLUMBIA HEIGHTS 590 40th Avenue N. E. ~X~.~oh'-)1 Columbia Hei'~hts, MN 5542~87~ ~ (~782~800 .,~ Y The following is the agenda for the Special City Council meeting and Public Hearing to be held at 6:30 PM on Monday, December 14, 1992, in the City Council Chambers, City Hall, located at 590 40th Avenue NE, Columbia Heights, Minnesota. 1. Roll Call Purpose of Meetin~ The purpose of this public hearing is to consider the elimination of the Housing and Redevelopment Authority and the creation of an Economic Development Authority 3. Presentation of Information Adoption of Resolutions a. Resolution 92-~; Creating an Economic Development Authority in Columbia Heights, Minnesota RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , creating an Economic Development Authority in Columbia Heights, Minnesota. b. Resolution 92-__; Declaring the Transfer of Control, Authority, and Operation of All Housing and Redevelopment Projects RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , declaring the transfer of control, authority, and operation of all Housing and Redevelopment projects. c. Resolution 92- , Transferring the Personnel of the Columbia Heights Housing and Redevelopment Authority to the Columbia Heights Economic Development Authority "SERVICE IS OUR BUSINESS" EQUAL OPFORTUNITY EMPLOYER SPECIAL MEETING Page 2 December 9, 1992 do RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , transferring the personnel of the Columbia Heights Housing and Redevelopment Authority to the Columbia Heights Economic Development Authority. Resolution 92-. ; Terminating the Housing and Redevelopment Authority in Columbia Heights, Minnesota RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92-.. , terminating the Housing and Redevelopment Authority in Columbia Heights, Minnesota. 5. Adjournment RECOMMENDED MOTION: Move to adjourn. Sincerely, Stuart Anderson City Manager SA/bi Attachment 92/... RESOLUTION NO. 92 - BEING AN ENABLING RESOLUTION CREATING AN ECONOMIC DEVELOPMENT AUTHORITY IN COLUMBIA HEIGHTS, MINNESOTA WHEREAS: A hearing has been held by the City Council of Columbia Heights on December 14, 1992, at Columbia Heights, Minnesota, to determine the need and existence of an Economic Development Authority to function in such city; and WHEREAS: Facts have been submitted to this body indicating that there is a need for an Economic Development Authority to function in the City of Columbia Heights, Minnesota; and NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA That the City Council of the City of Columbia Heights, Minnesota, pursuant to Chapter 469 of the Minnesota State Statutes, hereby finds, determines and declares: o It is hereby declared that an Economic Development Authority shall exist in said City, as of 12:00 a.m., January 1, 1993, and such Authority shall exercise the powers, subject to the limitations of this resolution, as provided in Minnesota State Statute 469.090 to 469.108, or other ]aw. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant to Minnesota State Statute 469.102, 469.103, 469.105 and 469.107. It is hereby declared that an Economic Development Authority shall exist in said city, as of 12:00 a.m. January 1, 1993, and such Authority, subject to the limitations of this resolution, as provided in Minnesota State Statute 469.001 to 469.047, or other law. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant.to Minnesota State Statute 469.029, 469.033, 469,034 and 469.042. It is hereby declared that an Economic Development Authority shall exist in said City, as of 12:00 a.m., January 1, 1993, and such Authority shall exercise the powers pursuant to city development, districts, subject to the limitations of this resolution, as provided in Minnesota State Statute 469.124 to 469.134, or other law. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant to Minnesota State Statute 469.129 and 469.130. Resoi'ctic, n t~o.92 - page 2 It Js hereby declared that said Economic Development Authority shall be governed by a board of commissioners ("Commissioners") consisting of five members and the City Council of Columbia Heights shall serve as the Commissioners. The terms of the Commissioners shall coincide with their terms of office as members of the City Council in that such term shall expire with the expiration of the Council term being served. It is hereby declared that all financial books, records, accounts, and reports of the Economic Development Authority shall be prepared, presented and retained by the Finance Department of the City, which department shal! have the responsibility for administering the finances of the Economic Development Authority as it does the finances of the City. it is hereby declared that the Economic Development Authority shall be subject to the following limitations: (a) That the authority shall not exercise any of the powers contained in Minnesota State Statutes 469.001 to 469.047, 469.090 to 469.]08, and 469.124 to 469.134 without prior consent to the City Council; (b) That, except when previously pledged by the authority, the City Council may by resolution require the authority to transfer any portion of the reserves generated by activities of the authority that the City Council determines is not necessary for the successful operation of the authority to the debt service fund of the City, to be used solely to reduce tax levies for bonded indebtedness of the City; (c) That the sate of all bonds or obligations issued by the authority be approved by the City Council before issuance; (d) That the authority follow the budget process for city departments as provided by the City and as implemented by the City Council and the Mayor; (e) That all official actions of the authority should be consistent with the adopted comprehensive plan of the City, and any official controls implementing the comprehensive plan; (f} That the authority submit all planned activities for influencing the action of any other governmental agency, subdivision, or body of the City Council for approval; Resolution No. 92 - page 3 (g) That the authority submit its administrative structure and management practices to the City Council for approval. Passed this 14th day of December, 1992. Offered by: Seconded by: Roll call: Mayor Dona]d J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOI,UTiON NO. 92 - BEING A RESOLUTION DECLARING THE TRANSFER OF CONTROL, AUTHORITY AND OPERATION OF ALL HOUSING AND REDEVELOPMENT AUTHORITY PROJECTS BE IT RESOLVED, by the City Council of Columbia Heights, Minnesota, 1. That the control, authority and operation of any property, project or program authorized by Minnesota State Statute 469.001 to 469.047 or any other project or program authorized or undertaken by the Columbia Heights Housing and Redevelopment Authority is hereby transferred, as of 12:00 a.m. January l, 1993, to the Columbia Heights Economic Development Authority, created pursuant to Minnesota State Statute 469.090 to 469.108, or other law, and Resolution No. 92 - of the Co]umbia Heights City Council. 2. That the Columbia Heights Economic Development Authority shall covenant and pledge to perform the terms, conditions, and covenants of the bond indenture or other agreements executed for the security of any bonds issued by the Columbia Heights Housin9 and Redevelopment Authority. 3. That all rights of the Columbia Heights Housing and ........ ~,~,~ ~t¥ against any persons, fi .... s, or P, edeve ] ~p .... ~ Au'~^~' corporat ions, as they pertain to the projects herein described ]n subsection ] of this resolution, shall accrue to and be enforced by the Col umbia Heights EconomJ c Development Aut hot i t y. 4. That all the debts, obligations, and liabilities of the Columbia Heights Housing and Redevelopment Authority, as they pertain to the projects herein described in subsection 1 of this resolution, shall be enforceable against the Columbia HeiQhts Economic Development Authority. Passed the t4th day of December, 1992. Offered by: Seconded by: Roll call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOLUTION NO. 92 - BEING A RESOLUTION TRANSFERRING THE PERSONNEL OF THE COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY TO THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY BE IT RESOLVED, by the City Council of Columbia Heights, Minnesota, 1. That all employees under the direction, supervision, or control of the Columbia Heights Housing and Redevelopment Authority shall be transferred, as of 12:00 a.m. January 1, 1993, to and placed under the direction, supervision, and control of the Columbia Heights Economic Development Authority. 2. That such placement of any employee under the direction, supervision, and control of the Columbia Heights Economic Development Authority does not affect the rights of any employees of the Columbia Heights Housing and Redevelopment authority, including any rights existing under a collective bargaining agreement or fringe benefit plan. The employees s?:a!l become employees of the Columbia Heights Economic Development Authority. 3. That the Columbia Heights Economic Development Authority may employ an executive director, a chief engineer, other tec?~nical experts and agents, and other employees as it may require, and determine their duties, qualifications and compensation. Passed this 14th day of December, 1922. Offered by: Seconded by: Roll call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOLUTION NO. 92 - BEING A RESOLUTION TERMINATING THE HOUSING AND REDEVELOPMENT AUTHORITY IN COLUMBIA HEIGHTS, MINNESOTA WHEREAS A hearing has been held by the City Council of Columbia Heights, on December 14, 1992, at Columbia Heights, Minnesota, to determine the need of an Economic Development Authority to function in said city and the termination of the Columbia Heights Housing and Redevelopment Authority; WHEREAS Facts have been submitted to this body showing that there is a need for an Economic Development Authority to function in the City of Columbia Heights and that said Authority is empowered to act as both an economic development authority and a housing and redevelopment authority; THEREFORE, BE IT RESOLVED BY THE CiTY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA, that there is no longer a need for Housing and Redevelopment Authority to function in Columbia Heights, Minnesota and that said Housing and Redevelopment Authority is hereby terminated, as of ]2:00 a.m. January ], ]993, and its power, authority, and control, transferred, as of 12:00 a.m. January ], 1993, to the Columbia H~ohts Economic Deve]opmen~ Aut .... ity lltil . Passed this 14th day of December, !992 offered by: Seconded by: Ro}l call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary CITY OF COLUMBIA HEIGHTS 590 40th Avenue N. E. Columbia Heights, MN 55421-3878 (612) 782-2800 Mayor Donald J. Murzyn. Jr. Councilmembers Scan T. Clerkin Bruce G. Nawrocki Gary L. Peterson Robert W. Rueltimann City Manager Stuart W. Anderson December 9, 1992 The following is the agenda for the Special City Council meeting and Public Hearing to be held at 6:30 PM on Monday, December 14, 1992, in the City Council Chambers, City Hall, located at 590 40th Avenue NE, Columbia Heights, Minnesota. 1. Roll Call Purposo of Meetine The purpose of this public hearing is to consider the elimination of the Housing and Redevelopment Authority and the creation of an Economic Development Authority 3. Presentation of Information Adoption of Resolutions a. Resolution 92-__.; Creating an Economic Development Authority in Columbia Heights, Minnesota RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , creating an Economic Development Authority in Columbia Heights, Minnesota. b. Resolution 92- ; Declaring the Transfer of Control, Authority, and Operation of All Housing and Redevelopment Projects RECOMMENDED MOTION: Move to waive the reading of Resolution 92- ~, there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , declaring the transfer of control, authority, and operation of all Housing and Redevelopment projects. c. Resolution 92-__., Transferring the Personnel of the Columbia Heights Housing and Redevelopment Authority to the Columbia Heights Economic Development Authority "SERVICE IS OUR BUSINESS" EQUAL OPPORTUNITY EMPLOYER SPECIAL MEETING Page 2 December 9, 1992 RECOMMENDED MOTION: Move to waive the reading of Resolution 92- , there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , transferring the personnel of the Columbia Heights Housing and Redevelopment Authority to the Columbia Heights Economic Development Authority. Resolution 92-__.; Terminating the Housing and Redevelopment Authority in Columbia Heights, Minnesota RECOMMENDED MOTION: Move to waive the reading of Resolution 92- __, there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Resolution 92- , terminating the Housing and Redevelopment Authority in Columbia Heights, Minnesota. 5. Adjournment RECOMMENDED MOTION: Move to adjourn. Sincerely, Stuart Anderson City Manager SA/bi Attachment 92/... Item 1: Item AGENDA -- Meeting December 8, 1992 to discuss the HRA/EDA creating an Background and the purpose in Economic Development Authority. Am Purpose 1. Increased Accountability 2. Increased Efficiency and Decreased Costs B. Establishment C. Transfer of Authority 1. Projects 2. Personnel D.. Powers of Authority E. Limitations on Power F. Bonds 1. General Obligation 2. Revenue Bonds G. Tax Levies H. Sale of Property I. Advantages of EDA Proposed Resolutions MEETING DECEMBER 8, 199l BACKGROUND INFORMATION REGARD~ING CREATION OF EDA PURPOSE The City of Columbia Heights was interested in finding a way to increase the accountability of the Housing and Redevelopment Authority. The Council was specifically interested in creating elected official accountability. They were concerned that the current organizational structure consisting of an appointed board of commissioners lacked accountability to the general public. The city council requested that the city attorney's office investigate' a method by which the city council could be made the commissioners of the Housing Authority and still continue the current Authority's functions. Such a move would thereby create accountability from the HRA, for its actions, to the general public. In addition, the city council may streamline the operation of the EDA by combining the functions of the authority with other city department operations wherever possible. CREATION OF AN ECONOMIC DEVELOPMENT AUTHORITY Under Minn. Stat. § 469.090 to 469.108 a city may consolidate the functions of a housing and redevelopment authority and an economic development authority. The city, may, by resolution transfer the control, authority, and operation of any project as defined in section 469.001 to 469.047 located within the city, from the agency that established the project to the economic development authority. The economic development authority may exercise all of the powers that the governmental unit establishing the project could exercise with respect to the project. Minn. Stat. § 469.04(2) · By establishing an economic development authority, the city council may dissolve the current housing and redevelopment authority, but yet, retain the ability to perform the functions and projects previously administered by the HRA. Establishment A city may by adopting an enabling resolution, create a economic development authority which has the powers contained in Minn. Statute § 469.090 to 469.108 and the powers of a housing and redevelopment authority under Minn. Statute § 469.001 to 469.047. The creation of an authority by a city must be by written resolution. Before adopting the resolution, the city must hold a public hearing with the required statutory notice given. Minn. Stat. § 469.093(1). Transfer of Authority The city may, by resolution transfer, the control, authority and operation of any project defined in section 469.174(8) or any other project authorized by sections 469.001 to 469.047 (housing and redevelopment authority), or 469.124 to 469.134 (city development districts), that are within the city, from the agency that established it to the economic development authority. Subsequent the transfer, the economic development authority may exercise all of the powers that the agency establishing the project could have exercised. Minn. Stat. § 469.094(2). Once a project has been transferred to the economic 2 development authority, the authority shall be held to perform the terms, conditions, and covenants of the bond indenture or other agreements executed for the security of any bonds issued by the governmental subdivision that originated the project. In addition, the economic development authority may exercise all the powers necessary to perform the terms and conditions of any indenture or other agreements executed for the security of the bonds. They shall also become obligated on the bonds when the project or program is transferred pursuant to Minn. Statute § 469.094(2). Transfer of Personnel and Appointment of Commissioners The city council may, by resolution, place any employees of the housing and redevelopment authority under the direction, supervision, or control of the economic development authority. Transfer of employees to the economic development authority does not affect the rights of the employee, including those that may exist under collective bargaining agreements or fringe benefit plans. Minn. Stat. § 469.094(3). The enabling resolution may provide that the members of the' city council shall serve as the commissioners of the authority. Minn. Stat. § 469.095(2)(d). The enabling resolution may further provide for the appointment of additional commissioners in excess of the number of city council members. Minn. Stat. § 469.095(2) (e). Normally, commissioners would be appointed for six- year terms, however, the council may set the term of the commissioners who are members of the city council to coincide with their term of office as members of the city council. Minn Stat. § 469.095(2) (f). Powers of the Authority Pursuant to Minn. Stat. § 469.101: 1. An authority may create and define the boundaries of economic development districts at any place or places within the city if the district satisfies the requirements of § 469.174(10) (tax increment financing), except that the district boundaries must be contiguous, and may use the powers granted in § 469.090 to 469.108 to carry out its purpose. First, however, the authority must hold a public hearing on the matter. 2. The authority may acquire by lease, purchase, gift, devise, or condemnation proceedings the needed rights and interest in properties to create economic development districts. 3. They may sign options to purchase, sell or lease property. 4. The authority has the right to acquire property through the use of eminent domain or if it is authorized under it's city's charter, by condemnation. 5. The economic development authority may enter into contracts for the purpose of economic development, within the powers given it in § 469.090 to 469.108. 6. An authority may be a partner or a limited partner in a partnership whose purpose is consistent with that of the authority. 7. An authority may acquire the rights of an easement for the development of an economic district. 8. The economic development authority may by the necessary supplies it needs to carry out its purposes. 9. The economic development authority may accept money, land, or any other assistance in any form from, the federal or state government or a subdivision thereof, in order to acquire and develop an economic development district. 10. The authority may sell or lease land held by it for development in economic development districts. 11. The economic development authority may apply to the board defined in 19 U.S.C. 8la, for the right to use the powers provided in 19 U.S.C. 8la - 81u (foreign trade zone). An authority may apply for the powers in conjunction with another authority. 12. The economic development authority may exercise the powers and duties of a redevelopment agency under § 469.152 to 469.165 (municipal industrial development), for the purposes of a housing and redevelopment authority(§ 469.001 to 469.047) or an economic development authority(§ 469.090 to 469.108). The authority may also use the powers and duties enumerated in § 469.001 to 469.047 or 469.090 to 469.108 for a purpose in § 469.152 to 469.165. 13. The authority may maintain and operate public facilities (i.e. parking ramps) to promote economic development in an economic development district. 14. An economic development authority may cooperate with or act as an agent for the federal or the state government, or a state public body, or an agency or instrumentality of a government or a public body to carry out the powers enumerated in § 469.090 to 469.108, or any other federal, state, or local law relating to 5 economic development district improvement. 15. An authority may study and analyze economic development needs in the city and ways to meet those needs within the city, including, patterns for land use,and community and industrial growth. Additionally, an may disseminate information on economic development within the city. 16. An authority may, to further an authorized purpose: (1) join an official, industrial, commercial, or trade association, or another organization concerned with economic development (2) have a reception of officials, who may contribute to advancing the city and its economic development, and (3) carry out other public relations activities to promote the city and its economic development. 17. The authority may accept conveyances of land from other public agencies or other units of government, if the land may be properly used by the authority to promote economic development in an economic development district. 18. An authority may carry out the laws relating to and enabling economic development to develop and improve the lands in an economic development district to make it suitable and available for economic development uses and purposes. 19. After authorizing bonds under the appropriate sections, an authority may borrow to provide money immediately required for the bond purpose. The amount borrowed, however, must not exceed the amount of the bonds (see § 469.101(19)). 20. the proceeds of obligations issued by an authority under § 469.103(revenue bonds) and temporary loans as described in § 469.101(19), may be used to make or purchase loans for economic 6 development facilities that the authority believes will require financing (see § 469.101(20). 21. Upon delegation by a municipality an authority may exercise the delegated powers in relation to mined underground space development (see § 469.135 to 469.141). 22. An authority may sell, at private or public sale, any note, mortgage, lease, sublease, lease purchase, or other instrument or obligation evidencing or securing a loan for economic development purposes to a business, for-profit or nonprofit organization, or an individual. 23. Not withstanding any contrary law, the authority may participate with public or private corporations or other entities, whose purpose is to provide seed or venture capital to small businesses that have facilities located or to be located in the economic development district (see 469.101(23)). Limits on Powers The enabling resolution approved by the city council may impose the following limits upon the powers and actions of the authority: 1. The authority must obtain prior approval from the city council before exercising the specified powers contained in sections 469.001 to 469.047, 469.090 to 469.108 and 469.124 to 469.134. 2. The city council may require the authority to transfer any portion of the reserves generated by the authority, not previously pledged, to the debt service fund of the city to be used solely to reduce tax levies for bonded indebtedness of the city. 3. The city may require that the sale of all bonds or obligations issued by the authority be approved by the city prior to issuance. 4. The resolution may require that the authority follow the budget process required for city departments. 5. The city may require that all official actions of the authority are consistent with the comprehensive plan of the city. 6. The city may require that the authority submit all planned activities for influencing the action of any other governmental agency, subdivision, or body to the council for approval. 7. They may require that the authority submit their administrative structure and management practices to the council for approval. 8. The council may include in the enabling resolution any other limitation or control deemed necessary. Minn. Stat. § 469.092(1) . The enabling resolution may be modified at any time provided that the limitations imposed are not applied in such a manner as to impair the security of any bonds issued or contracts executed before the modification is imposed. In addition, the council must not modify any limit in effect at the time any bonds or obligations are issued or contracts executed to the detriment of the holder of the bonds or obligations, or any contracting party. Modifications must be made in compliance with the procedural requirements set out 8 in section 469.093. Minn. Stat. 469.092(2), (3), and (5). Bonds General Obliqation Bonds § 469.102 An economic development authority may issue general obligation bonds in the principal amount authorized by a two-thirds majority vote of the city council. The bonds may be issued in anticipation of income from any source. They may be issued: (1) to secure funds needed to pay for acquired property, (2) for any other purpose authorized by sections 469.090 to 469.108. Minn Stat. § 469.102(1). The bonds must be secured by the pledge of the full faith, credit, and resources of the issuing authority's city. The authority may pledge the full faith, credit, and resources of the city only if the city specifically authorizes them to do so. An authority that issues a bond under § 469.102, shall, before issuing them levy a tax for each year on the taxable property in the authority's city. The tax must be for at least five percent more than the amount required to pay the principal and interest on the bonds as the principal and interest mature, the tax must be levied annually until the principal and interest are paid in full. Minn Stat. § 469.102(5). Revenue Bonds § 469.103 An economic development authority may, by resolution decide to issue revenue bonds. acquisition of land, purchase, construct, They may be issued to provide funding for the to purchase of construct facilities, to install, or furnish capital equipment to operate a facility for economic development of any kind, or to pay 9 to extend or enlarge any project under the authority's control. Minn. Stat. § 469.103(1). In issuing general obligation or revenue bonds, the authority may secure the payment of the principal and the interest on the bonds by a pledge or lien on authority revenue. The revenue must come from the facility to be acquired, constructed, or improved with the bond proceeds or from other facilities named in the bond- authorizing resolutions. The authority may also secure the payment with its promise to impose, maintain, and collect enough rentals, rates, and charges, for the use and occupancy of the facilities and for services furnished in connection with the use and occupancy of the facilities. Revenues pledged by the authority must not be used or pledged for any other authority purpose or to pay any other bonds issued under this section or under section 469.102, unless the other use or pledge is specifically authorized in the bond- authorizing resolutions. Revenue bonds issued under § 469.103 are not debt of the authority's city nor a pledge of that city's full faith and credit. The bonds are payable only from project revenue as described in § 469.103. Obligations secured or payable from tax increment revenues and issued pursuant to § 469.102 or § 469.103 are subject to the provisions of § 469.178, dealing with tax increment bonding Tax Levies A city may, at the request of the authority, levy a tax for the benefit of the authority. The tax must not be more than 10 0.01813 percent of taxable market value. The tax must be paid by the city treasurer to the treasurer of the authority and the money is to be spent only by the authority. A city may increase its levy in accordance with section 469.107(2). Minn. Stat. § 469.107. Secondly, an authority that issues bonds under § 469.102 must before issuing them levy a tax. "An authority that issues bonds under this section [469.102], shall before issuing them, levy a tax for each year on the taxable property in the authority's city. the tax must be for at least five percent more than the amount required to pay the principal and interest on the bonds as the principal and interest mature. The tax must be levied annually until the principal and interest are paid in full." Minn. Stat. 469.102(5) . Sale of Property An economic development authority may sell or convey any property under its control within a city or economic district if it determines that the sale or conveyance is in the best interest of the city or district, and that the sale furthers its purpose of economic development. Minn Stat. § 469.105(1). Prior to the sale of any property, the authority must hold a hearing on the sale. At the hearing a taxpayer may testify for or against the sale. The authority is required to give proper notice of the hearing, at least ten, but not more than twenty days before the proposed hearing. Minn. Stat. § 469.105(2). The authority shall make its findings, as to the proposed sale, known within thirty days of the hearing. A taxpayer may 11 appeal the authority's decision by filing a notice of appeal with the district court in the city or economic development district's county and serving notice on the authority's secretary within twenty days after the decision of the authority was entered. The only grounds for filing an appeal is that the actions of the authority were arbitrary, capricious, or contrary to law. Minn. Stat. § 469.105(3). There are specific terms and conditions for the sale of property which can be found in detail at Minn. Stat. § 469.105. ADV~NTAGES OF CREATING ECONOMIC DEVELOPMENT AUTHORITY There are many advantages that will accrue to the City of Columbia Heights as a result of establishing an economic development authority. First, the newly created EDA will have all of the powers of the existing HRA, however, it will also have the power to become a limited partner in economic development ventures, to participate in certain public relations activities, to exercise any of the delegated powers in connection with mined underground space development, it may supply small business capital, and it may apply for foreign trade zone powers with the federal government. Additionally, the EDA may be organized in a manner consistent with other city departments. This will streamline its structure and reduce costs. The EDA may take advantage of city services and facilities. The budgetary process and accounting procedures will be in accordance with other city departments. Another significant advantage is the fact that the EDA commissioners may be members of the city council. This will significantly increase the 12 RESOLUTION NO. 92 - BEING AN ENABLING RESOLUTION CREATING AN ECONOMIC DEVELOPMENT AUTHORITY IN COLUMBIA HEIGHTS, MINNESOTA WHEREAS: A hearing has been held by the City Council of Columbia Heights on December 14, 1992, at Columbia Heights, Minnesota, to determine the need and existence of an Economic Development Authority to function in such city; and WHEREAS: Facts have been submitted to this body indicating that there is a need for an Economic Development Authority to function in the City of Columbia Heights, Minnesota; and NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA That the City Council of the City of Columbia Heights, Minnesota, pursuant to Chapter 469 of the Minnesota State Statutes, hereby finds, determines and declares: o It is hereby declared that an Economic Development Authority shall exist in said City, as of 12:00 a.m., January 1, 1993, and such Authority shall exercise the powers, subject to the limitations of this resolution, as provided in Minnesota State Statute 469.090 to 469.108, or other ]aw. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant to Minnesota State Statute 469.102, 469.103, 469.105 and 469.107. It is hereby declared that an Economic Development Authority shall exist in said city, as of 12:00 a.m. January 1, 1993, and such Authority, subject to the limitations of this resolution, as provided in Minnesota State Statute 469.001 to 469.047, or other law. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant to Minnesota State Statute 469.029, 469.033, 469,034 and 469.042. It is hereby declared that an Economic Development Authority shall exist in said City, as of 12:00 a.m., January 1, 1993, and such Authority shall exercise the powers pursuant to city development, districts, subject to the ]imitations of this resolution, as provided in Minnesota State Statute 469.124 to 469.134, or other law. Further, the Authority shall specifically be granted the exercise of the powers granted pursuant to Minnesota State Statute 469.129 and 469.130. Resolution No.92 - page 2 o It is hereby declared that said Economic Development Authority shall be governed by a board of commissioners ("Commissioners") consisting of five members and the City Council of Columbia Heights shall serve as the Commissioners. The terms of the Commissioners shall coincide with their terms of office as members of the City Council in that such term shall expire with the expiration of the Council term being served. It is hereby declared that ali financial books, records, accounts, and reports of the Economic Development Authority shall be prepared, presented and retained by the Finance Department of the City, which department shall have the responsibility for administering the finances of the Economic Development Authority as it does the finances of the City. It is hereby declared that the Economic Development Authority shall be subject to the following limitations: (a) That the authority shall not exercise any of the powers contained in Minnesota State Statutes 469.001 to 469.047, 469.090 to 469.108, and 469.124 to 469.134 without prior consent to the City Council; (b) That, except when previously pledged by the authority, the City Council may by resolution require the authority to transfer any portion of the reserves generated by activities of the authority that the City Council determines is not necessary for the successful operation of the authority to the debt service fund of the City, to be used solely to reduce tax levies for bonded indebtedness of the City; (c) That the sale of a11 bonds or obligations issued by the authority be approved by the City Council before issuance; (d) That the authority follow the budget process for city departments as provided by the City.and as implemented by the City Council and the Mayor; (e) That all official actions of the authority should be consistent with the adopted comprehensive plan of the City, and any official controls implementing the comprehensive plan; (f) That the authority submit all planned activities for influencing the action of any other governmental agency, subdivision, or body of the City Council for approval; Reso]u%ic:n No. 92 - page 3 (g) That the authority submit its administrative structure and management practices to the City Council for approval. Passed this 14th day of December, 1992. Offered by: Seconded by: Roil call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOLUTION NO. 92 - BEING A RESOLUTION DECLARING THE TRANSFER OF CONTROL, AUTHORITY AND OPERATION OF ALL HOUSING AND REDEVELOPMENT AUTHORITY PROJECTS BE IT RESOLVED, by the City Council of Columbia Heights, Minnesota, 1. That the control, authority and operation of any property, project or program authorized by Minnesota State Statute 469.001 to 469.047 or any other project or program authorized or undertaken by the Columbia Heights Housing and Redevelopment Authority is hereby transferred, as of 12:00 a.m. January 1, 1993, to the Columbia Heights Economic Development Authority, created pursuant to Minnesota State Statute 469.090 to 469.108, or other law, and Resolution No. 92 - of the Columbia Heights City Council. 2. That the Columbia Heights Economic Development Authority shall covenant and pledge to perform the terms, conditions, and covenants of the bond indenture or other agreements executed for the security of any bonds issued by the Columbia Heights Housing and Redevelopment Authority. 3. That all rights of the Columbia Heights Housing and Redevelopment Authority against any persons, firms, or corporations, as they pertain to the projects herein described in subsection 1 of this resolution, shall accrue to and be enforced by the Columbia Heights Economic Development Authority. 4. That all the debts, obligations, and liabilities of the Columbia Heights Housing and Redevelopment Authority, as they pertain to the projects herein described in subsection 1 of this resolution, shall be enforceable against the Columbia Heights Economic Development Authority. Passed the 14th day of December, 1992. Offered by: Seconded by: Roll call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOLUTION NO. 92 - BEING A RESOLUTION TRANSFERRING THE PERSONNEL OF THE COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY TO THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY BE IT RESOLVED, by the City Council of Columbia Heights, Minnesota, 1. That all employees under the direction, supervision, or control of the Columbia Heights Housing and Redevelopment Authority shall be transferred, as of 12:00 a.m. January 1, 1993, to and placed under the direction, supervision, and control of the Columbia Heights Economic Development Authority. 2. That such placement of any employee under the direction, supervision, and control of the Columbia Heights Economic Development Authority does not affect the rights of any employees of the Columbia Heights Housing and Redevelopment authority, including any rights existing under a collective bargaining agreement or fringe benefit plan. The employees shall become employees of the Columbia Heights Economic Development Authority. 3. That the Columbia Heights Economic Development Authority may employ an executive director, a chief engineer, other technical experts and agents, and other employees as it may require, and determine their duties, qualifications and compensation. Passed this 14th day of December, 1922. Offered by: Seconded by: Roll call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary RESOLUTION NO. 92 - BEING A RESOLUTION TERMINATING THE MOUSING AND REDEVELOPMENT AUTHORITY IN COLUMBIA MEIGMTS, MINNESOTA WHEREAS A hearing has been held by the City Council of Columbia Heights, on December 14, 1992, at Columbia Heights, Minnesota, to determine the need of an Economic Development Authority to function in said city and the termination of the Columbia Heights Housing and Redevelopment Authority; WHEREAS Facts have been submitted to this body showing that there is a need for an Economic Development Authority to function in the City of Columbia Heights and that said Authority is empowered to act as both an economic development authority and a housing and redevelopment authority; THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA, that there is no longer a need for Housing and Redevelopment Authority to function in Columbia Heights, Minnesota and that said Housing and Redevelopment Authority is hereby terminated, as of 12:00 a.m. January l, 1993, and its power, authority, and control, transferred, as of 12:00 a.m. January ], 1993, to the Columbia Heights Economic Development Authority. Passed this 14th day of December, 1992 Offered by: Seconded by: Roll call: Mayor Donald J. Murzyn, Jr. Jo-Anne Student, Council Secretary 0 0 ' o ~ 0 ,.-1 COUNTY OF ANOKA Office of the Counb/ Board of Commissioners GOVERNMENT CENTER 2100 3rd Avenue · Anoka, Minnesota 55303-2489 · (612) 323-56B0 JIM A. KORDIAK County Commissioner December 8, 1992 Mark Winson Public Works Director City of Columbia Heights 590 - 40th Avenue N.E. Columbia Heights, MN 55421 Dear Mark: I recently met with Edith Wargo and she expressed her great pleasure and appreciation for all the fine work done at Wargo Court to make it so festive for the holidays. I am pleased to be associated with the park, as my father had worked so closely with Joe Wargo and the City to develop the site. Edith suggested that the Star Tdbune be contacted to see if they would be interested in a story and picture of a community effort such as yours to dress up the downtown business district, if this idea appeals to you or your staff, please contact the newspaper. Thanks for all your hard work--you have done a fine job. Sincerely, Anoka County Commissioner JK:lp cc: Mrs. Edith Wargo CITY OF COLUMBIA HEIGHTS TO: FROM: SUBJECT: DATE: ALL PUBLIC WORKS EMPLOYEES MARK A. WINSON ~ PUBLIC WORKS DIRECTOR/CITY ENGINEER WARGO COURT DECEMBER 9, 1992 I received a call today from Edith Wargo, widow of Judge Wargo, for whom the park is named. She asked me to pass along to all of you her thanks and appreciation for the Christmas lighting at Wargo Court. She stated "the display is more beautiful than it's ever been" and that she has heard many compliments from people. She also said that the overall upkeep and appearance of the park is better than ever and that she truly appreciates all the work that goes into maintaining this park. Although we all know how much hard work goes into this park and the frustration caused by the constant vandalism, it is nice to hear once in awhile that our efforts are appreciated. Happy Holidays! MAW: jb 92-710 c: Stuart W. Anderson, City Manager ;.-.,