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Home My WebLink AboutEDA AGN 11-20-01CITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Visit Our Website at: www. ci. columbia-heights, mn. us EDA COMMISSIONMERS Robert W. Ruettimann Patricia Jindra Marlaine Szurek Julienne Wyckoff Gary L. Peterson Bruce Nawrocki Bobby Williams ECONOMIC DEVELOPMENT AUTHORITY November 20, 2001 The following is the Agenda for the regular meeting of the Columbia Heights Economic Development Authority (EDA) to be held IMMEDIATELY FOLLOWING THE HRA MEETING on Tuesday, November 20, 2001, in the Parkview Villa Community Room B, 965 40th Avenue N.E., Columbia Heights, Minnesota. The EDA does not discriminate on the basis of disability in the admission or access to, or treatment or employment in, its accommodation will be provided to allow individuals with disabilities to participate in all EDA services, programs, and activities. Auxiliary aids for handicapped persons are available upon request when the request is made at least 96 hours in advance. Please call the EDA Secretary at 706-3669 to make arrangements (TDD 706-2806) for deaf or hearing impaired only. 2. 3. 4. CALL TO ORDER/ROLL CALL. PLEDGE OF ALLEGIANCE. ADDITIONS/DELETIONS TO MEETING AGENDA. CONSENT AGENDA. (These items are considered to be routine by the EDA Board of Commissioners and will be enacted as part of the Consent Agenda by one motion.) A. Move to adopt the consent agenda items as listed below: 1) Approval of Minutes. a. Regular Meeting of October, 2001. 2) Financial Report and Payment of Bills. a. Financial Statement for October, 2001. b. Payment of Bills for October, 2001. MOTION: Move to approve Resolution 2001-17, Resolution of the Columbia Heights Economic Development Authority (EDA) approving the financial statement for October, 2001 and approving payment of bills for the month of October, 2001. REPORT OF MANAGEMENT COMPANY. A. Anita Kottsick, Parkview Villa Public Housing Administrator. B. Contract for Snow Removal MOTION: Move to approve contract for snow removal services to cover year 2001-2002, to Professional Building Maintenance Services; and furthermore, to authorize the President and Executive Director to enter into an agreement for the same. CITIZEN FORUM TO ADDRESS EDA ON MATTERS NOT ON AGENDA. (At this time, citizens have an opportunity to discuss with the EDA items not on the regular agenda. The citizen is requested to limit their comments to five minutes. Please note, the public may address the EDA regarding specific agenda items at the time the item is being discussed.) THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS Of DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES EQUAL OPPORTUNITY EMPLOYER RECOGNITION, PROCLAMATIONS, PRESENTATIONS, GUESTS - NONE. PUBLIC HEARINGS- NONE. ITEMS FOR CONSIDERATION. A. Other Resolutions. 1) Approve Resolution 2001-18, Transferring Authority from EDA to HRA- Randy Schumacher. MOTION: Move to approve Resolution 2001-18, a resolution relating to the transfer of certain projects to the Housing and Redevelopment Authority from the Columbia Heights Economic Development Authority; Modifying the Purchases of Services Agreement. 2) Approve Resolution 2001-19, Decertification of Parcels from the Central Downtown Business TIF District - Randy Schumacher. MOTION: Move to approve Resolution 2001-19, a resolution Decertifying Parcels 35-30-24-14-0092 and 35-30-24-14-0091 from the Central Downtown Business TIF District. 3) Approve Resolution 2001-20, Modifying the Downtown Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and the Modification of Housing Redevelopment TIF District #1 (P3)- Shelly Eldridge, Ehler & Associates. MOTION: Move to adopt Resolution 2001-20, a Resolution Modifying the Downtown Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and the Modification of Housing Redevelopment Tax Increment Financing District No. 1 (P3). Bo Bid Consideration- NONE. Other Business. 1) One Year Extension for Agreement with Center for Energy and Environment- Randy Schumacher. MOTION: Move to authorize staffto negotiate an agreement for administrative services with ACCAP for the Community Development Block Grant Program and bring it back to the EDA for consideration. MOTION: Move to recommend City Council approve the agreement for administrative services between CEE and the City for the MHFA Home Improvement Loans based upon their proposal. 2) Commercial and Housing Redevelopment- Gordon Awsumb. 3) Establish a Business Revolving Loan Fund Review Committee- Randy Schumacher. 10. 11. 12. MOTION: Move to establish a three-member committee to review the BRLF Loan Review Committee Bylaws and Plan and submit recommended revisions to the EDA Board. ADMINISTRATIVE REPORTS. Report of the Acting Deputy Executive Director - Randy Schumacher. 1) Scheduling of December Meetings 2) Review of Parking Ramp Condition Studies. 3) Parkview Villa Security System Update B. Report of the Executive Director - Walt Fehst. Co Committee/Other Reports. 1) Residents Council Meeting Minutes- Pat Jindra Do Attachments (Information Only) 1) Habitat Letter on 3913 Polk Street NE 2) Senior Outreach Report 3) Housing Update MEETINGS: Ao The next Regular EDA meeting is scheduled for 5:30 p.m., Tuesday, December 18, 2001, at Jax's Restaurant. ADJOURNMENT. Walter R. Fehst, Executive Director H:\edaAgenda2001\11-20-2001 The mission of the Columbia 7-1eights Bconomic ~gevelopment Authority is to provide financial and technical assistance and resources to residentia6 commercia6 and industrial interests to promote health, safety, welfare, economic development and redevelopment. COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) REGULAR MEETING MINUTES OF OCTOBER 16, 2001 CALL TO ORDER - The Regular Meeting of the Columbia Heights Economic Development Authority (EDA) was called to order by Vice President, Patricia Jindra, at 6:34 p.m., Tuesday, October 16, 2001, in the Parkview Villa Community Room B, 965 40t~ Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Commission Members Absent: Staff Present: Patricia Jindra, Marlaine Szurek, Gary Peterson, Julienne Wyckoff, Bruce Nawrocki, and Bobby Williams Robert Ruettimann Walt Fehst, Executive Director Anita Kottsick, Parkview Villa Housing Administrator Mark Nagel, Housing Assistant Cheryl Bakken, Secretary CONSENT AGENDA (These items are considered to be routine by the EDA Board of Commissioners and will be enacted as part of the Consent Agenda by one motion). A. Adopt the consent agenda items as listed below. 1) Approval of Minutes - regular meeting of September, 2001 Move to adopt the minutes of the September, 2001 regular meeting as presented in writing. Nawrocki asked for an amendment to the minutes on page 3, Other Business, Acquisition of 3718 Central Avenue NE, as the last sentence shouM read as follows: dindra stated this was similar to the Logacz property on Van Buren Street. Nawrocki indicated that it wasn't the same because with the Logacz property was a residential rezoning with another house to be built on it. The concern then was about the possibility of combining the Logacz lot with the one next to it on the southwest corner, which was to be torn down due to deterioration and used for some kind of development project. 2) Financial Report and Payment of Bills a. Financial Statement -September, 2001 b. Payment of Bills -September, 2001 Move to approve Resolution 2001-15, Resolution of the Columbia Heights Economic Development Authority (EDA) approving the financial statements for September, 2001 and approving payment of bills for September, 2001. MOTION by Szurek, second by Williams, to adopt the consent agenda items as listed with the amendment to the minutes as listed above. All ayes. MOTION CARRIED. REPORT OF THE MANAGEMENT COMPANY Kottsick reported that the boiler repairs are near completion. The number one elevator was down on 10-8-2001. A resident was stuck in the elevator for approximately 5 minutes while it was reset. The elevator technician was out approximately two hours later and repaired a loose part on the back door leading to the shop. Administrative Report- The IS Department installed the software update on October l lth for the Economic Development Authority Meeting Minutes October 16, 2001 Page 2 of 6 50058form transmittals. After she transmitted a partial, HUD called to inform her that they were experiencing some trouble with the new system and suggested the forms be sent in small batches. A survey was sent to residents checking for interest in starting a floor monitoring system, which received a good response. Kottsick will work with three (3) resident volunteers to develop the procedure and provide it to the Resident Council next month for discussion. Kottsick indicated she 7l be on vacation, October 22~, 26th and November 5 thru the 9~. ITEMS FOR CONSIDERATION OTHER RESOLUTIONS Resolution 2001-16, a Resolution Rescinding. the Redevelopment Project Housing TIF District No. 2 and it's Related Tax Increment Financin~ Plan. Nagel indicated staff met with Shelly Eldridge, Ehler and Associates to discuss the progress of Housing Redevelopment TIF District #2, involving the construction ora 70 unit, affordable senior housing project located at the intersection of 51~t Avenue and Jackson Street near St. Timothy's Lutheran Church. Staff learned that even though all approvals for setting up the District were obtained in October of 1997, the District was never certified with Anoka County as the project was put on hold. Staff has worked with Ms. Eldridge and Dan Greensweig, Kennedy and Graven to decerti, fy the District as there was no activity in the district prior to the October, 2001 deadline. Resolution 2001-16 rescinds the TIF district and the plan, which will be sufficient to clarify the EDA and City's internal records and enable authorizing another district. After EDA Board approval, a resolution will go before the City Council for approval. Nawrocki asked who initiated the development of the District. Fehst stated it was the EDA and Mary Tjosvold. Mary T. owns various senior and handicap buildings. MOTION by Peterson, Second by Williams, to waive the reading of Resolution 2001-16, there being an ample amount of copies available to the public. All Ayes. MOTION CARRIED. MOTION by Peterson, second by Williams, to approve Resolution 2001-16, a Resolution Rescinding the Redevelopment Project Housing TIF District No. 2 and it's Related Tax Increment Financing Plan; and furthermore, to authorize the President and Executive Director to enter into an agreement for the same. All Ayes. MOTION CARRIED. Other Business. Millar Elevator, Davis-Bacon Issue The City's 2000 audit report completed by HLB Tautges Redpath, indicated the EDA failed to comply with the Davis-Bacon Act on the elevator modernization, which requires all laborers who work on a project with the contracted total in excess of $2, 000 to be paid the prevailing wage rate. The EDA has been reimbursed all of its $271,488 in CIAP funds for the project. The agreement with the Elevator Advisory Group did not include monitoring for Davis-Bacon compliance, nor did the contract with Miilar Elevator Service. In a letter received from Don Armborst, Millar Elevator, and confirmed by other bidders at the Pre-Bid Conference, City staff said that Davis-Bacon requirements were not in effect for this project. Five different Millar employees were underpaid a total of $6, 709.90 and must be paid back wages with funds going directly to the employees, less the normal deductions, and both the employee and company must sign off as having received these payments. Since the EDA discovered the problem and notified Economic Development Authority Meeting Minutes October 16, 2001 Page 3 of 6 HUD in a timely fashion of the violation, there will be no penalties. The EDA is responsible to pay the $6,709.90 to meet all Federal laws, including Davis-Bacon, according to the CIAP Agreement filed with HUD. Nagel then, presented two options; 1) go to arbitration; or 2) use CIAP funds. MOTION by Peterson, second by Williams, to authorize the payment of $6,709.90 to eligible employees of Millar Elevator Service Company to comply with Davis-Bacon requirements for the Parkview Villa Elevator Modernization Project to be paid with CIAP Funds. Upon Vote: Peterson- Aye, Nawrocki- Nay, Szurek-Aye, Williams-Aye, Wyckoff- Aye. MOTION CARRIED. NawrocM felt this wouM be an improper expenditure of the CIAP funds. Fehst stated that if that was true, the auditor's report would be in violation. Nawrocki requested a copy of the auditors report stating the findings on the elevator modernization. Recommendation to City_ Council forApproval of the Modification of TIF District No. 1 Nagel reported that on May 27, 1997, City Council approved a scattered site TIF District to facilitate redevelopment of substandard single-family homes to improve the City's housing stock, increase property values, and prevent the spread of blight. Tax increments from the properties in the district were to be used to finance land acquisition, demolition, relocation, and related development costs. Shelly Eldridge, Ehlers and Associates, determined that the City needs to show activity and any modifications need to be completed on each of the 56parcels in the District by September 8, 2002, or they will be dropped and wouM reduce the potential TIF revenue generated. Based on discussions with the consultant the following steps can be taken: 1) add 15parcels to the District with work expected to begin prior to September 8, 2002 to increase the revenue stream; 2) Ehlers will complete a projection of funds that couM be expended, then recovered over the remaining 21 years of the district based on the new TIF laws; 3) expend the projected funds within the district prior to the September 8, 2002 deadline; and 4) any City funds that have been spent in the past 4years on the 56parcels such as 4401 Quincy Street NE can be reimbursed by the district and spent on other housing activities within the district. Staff recommended the Board make a motion to recommend City Council authorize the Modification of TIF District No. ]. MOTION by Wyckoff, second by Williams, to recommend City Council adopt the Modification to the Downtown Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and the Proposed Modification of Housing Redevelopment Tax Increment Financing District No. 1 and the Modified Plans. All Ayes. MOTION CARRIED. 4607 Tyler Street Nagel indicated the four plex at 4607 Tyler Street NE was purchased by the HRA/City on February 24, 1995for $79,000. The building was rehabbed for $86,395, using $40, O00 from HOME funds, $36,395 of CDBG funds, and $10,000 of HRA Reserve Funds. The HRA has rented the units to persons 55 or over. The financial proforma has not been reviewed since 1995. It shows an annual rent increase of 3% to cover rising expenses, but the rent has never been increased. The main concern with the proforma is that the Total Development Cost (TDC) is $165,395, instead of $124, 000. Staff requested the Board authorize an update of the proforma and research whether continued ownership of the four plex is feasible. Economic Development Authority Meeting Minutes October 16, 2001 Page 4 of 6 Fehst indicated this would be money the Board could use somewhere else. Peterson stated he would like to see staff update the proforma, check into the possibility of selling the unit, and look for a good landlord. He also felt that the EDA should not become long-term landlords. Wyckoff asked if we could sell the unit on the open market. Nagel indicated he would have to check that out as HIM, HOME, TIF, and CDBG funds were used for the acquisition and rehab of the property. Nawrocki asked staff to provide meeting minutes and any other documents pertaining to the purchase and rehabilitation of the unit. MOTION by Szurek, second by Williams, to authorize an update of the financial proforma, review options based on the analysis of the financial proforma for 4607 Tyler Street NE, and report to the Board at a future meeting. All Ayes. MOTION CARRIED. BeauW Salon Charges for Services to Residents Nawrocki indicated that at the September EDA meeting he requested copies of other salons charges in the area from staff and he would compare them with what residents are paying at Parkview Villa to see if they are being charged reasonable rates. He then gave the example of a shampoo/set being $7 at the Boulevard and $10 at Parkview. Therefore, the Parkview Villa Salon charges are higher. Nawrocki asked Kottsick to talk to Thesbo Hams about lowering her prices to match those in the area. Kottsick agreed to talk to Hams about her prices, but felt that this issue should be taken to the Resident Council for all residents of Parkview Villa's input on the matter. Pat Baker, Unit 206, indicated that Hams many times provides coffee and cookies or comes in to provide her services for funerals or other special occasions as a courtesy to her customers and that should be taken into account for the fees she charges. Renie SuJka, Unit 104, indicated that the residents of Parkview Villa are low income and Hams makes a clear profit from providing services at Parkview, as she has no overhead costs other than her general supplies. Peterson asked for clarification of what the Board approved last month for the salon. Bakken stated that the Board approved the Beauticians Agreement between the EDA and Thesbo Hams, and the three (3) year Salon Licensing application required by the Department of Commerce to satisfy the auditor report requirements. ADMINISTRATIVE REPORTS. EDA Holiday Gathering/Dinner Fehst indicated that Tuesday, December 18, 2001 is a tentative date to hold the Holiday Dinner for EDA members and spouses. Staff is asking for clarification if this date will work for ali Board members and do they want to go back to Jax Restaurant. Bakken indicated that December 10a has been set aside as a possible date for a short meeting to be held at 5:30p. m., before the City Council lVorksession. Box lunches could be provided to accommodate the Board members for the earlier time schedule. Economic Development Authority Meeting Minutes October 16, 2001 Page 5 of 6 Nawrocki indicated that the holiday dinner in years past, was set up to show appreciation for volunteers and suggested the Board have a dinner at Parkview Villa for the volunteers and invite the EDA Board members instead of going to Jax. Kottsick stated that the Resident Council holds a Holiday Dinner for resident volunteers each year, which helps expend their funds to meet HUD requirements for the year. Peterson stated the dinner was more of a year end social event for Boardmembers and their spouses, and if there is a budget concern, he would be willing to pay for his two dinners. Board members Williams, Jindra, and Szurek also agreed to this. Fehst stated that in the past we have conducted a short meeting before the dinner. It was determined to go back to Jax Restaurant on December 18, 2001 at 5:30p. m. for the Holiday Dinner and meeting using the funds that have been built into the 2001 budget for the dinner. Report of the Executive Director Fehst indicated that the bids for 4656 Monroe Street NE will be opened on Monday, October 22, 2001 and asked Councilmembers if they could meet a half hour ahead of the City Council meeting to review the bids. Then at the City Council meeting they could possibly award the sale, to insure the construction starting this year. It was decided to hold the meeting on Monday night at 6:30p. m. Committee/Other Reports. Resident Council Meeting Minutes Jindra asked staff to amend the minutes to read as follows: Under the entertainment committee- This Halloween there will be cider and cookies downstairs in the party room. Residents that wish to, can bring donations of school supplies to the party room for the Putnam and North Star Schools. Housing Update Nagel stated that the closings were held for both 3913 Polk Street and 4401 Quincy Street in the last month. Habitat has some asbestos testing to do before they start, but that should be done in the next week. The First Time Homebuyer program will end on October 22nd. To date, the City has done almost three quarters ora million dollars and asked for approval to request the City get their own allocation next year. Wyckoff asked what the interest rate is this year. Nawrocki asked what the applicants closing fees and points are. Nagel will provide this information to the Board before the next meeting. The Housing Performance Score rating was revised from 60 to 81 points. This allows the Board to use the many Metropolitan Council programs available, such as the Liveable Communities Program where funds are used for the Transition Block Redevelopment project. Nagel indicated the breakdown of grants from CEE, were provided as requested. The report lists the grants that are being processed, the amount of the loan, and why they have not completed. Economic Development Authority Meeting Minutes October 16, 2001 Page 6 of 6 MEETINGS The next EDA meeting is scheduled for 6:30 p.m., Tuesday, November 20, 2001 in Community Room B at Parkview Villa. ADJOURNMENT The meeting was adjourned at 8:02 p.m. by Vice President, Jindra. Respectfully submitted, Cheryl Bakken Recording Secretary H:\EDAminutes2001\ 10-16-2001 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Consent Agenda ORIGINATING EXECUTIVE NO: DEPARTMENT: EDA DIRECTOR APPROVAL ITEM: Financial Report and Payment of Bills BY: Randy Schumacher BY: DATE: November 13, 2001 BACKGROUND: The bound Financial Report for October 1, 2001 Check Listing (green sheets), and draft Resolution 2001-17 are attached for review. The enclosed Financial Report lists the Revenue Guideline (pink sheets), the Expenditure Guideline (yellow sheets), Expenditure Guideline with Detail (white sheets), and Balance Sheet (blue sheets), for each fund and department. The report covers the activity in the calendar (fiscal) year from January 1 through October 31, 2001. The Check History shows each fund with an expenditure history during the month of October, 2001. The total disbursements by fund are shown at the top of the listing. RECOMMENDATION: Staffwill be available to answer specific questions. If the report is satisfactorily complete, we recommend the Board take affirmative action to receive the Financial Report and approve the payment of bills. RECOMMENDED MOTION: Move to approve Resolution 2001-17, Resolution of the Columbia Heights Economic Development Authority (EDA) approving the Financial Statement for October, 2001 and Payment of Bills for the month of October, 2001. EDA ACTION: H: \Consent2001\Oct. FinRep2001 EDA RESOLUTION 2001-17 RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) APPROVING THE FINANCIAL STATEMENT FOR OCTOBER, 2001 AND PAYMENT OF BILLS FOR THE MONTH OF OCTOBER, 2001. WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and WHEREAS, the financial statement for the month of October, 2001 and the list of bills for the month of October, 2001 are attached hereto and made a part of this resolution; and WHEREAS, the EDA has examined the financial statement and the list of bills and finds them to be acceptable as to both form and accuracy. NOW,THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Economic Development Authority that it has examined the attached financial statements and list of bills, which are attached hereto and made a part hereof, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the list of bills as presented in writing are approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution and attachments are to be made a part of the permanent records of the Columbia Heights Economic Development Authority. Passed this __ day of __, 2001. MOTION BY: SECONDED BY: AYES: NAYS: Attest by: Robert Ruettimann, President Cheryl Bakken, Secretary H;LResolutions2001 ~2001 - 17 Parkview Villa Housing Comi~lex '965 N.E. 40"~ Avenue, Columbia Heights, MN 55421 DATE: NOVEMBER 14, 2001 TO: 763-788-3978 fax RANDY SCHUMACHER, ACTING COMMUNITY DEV. DIRECTOR SHIRLEY BARNES, CHIEF EXECUTIVE OFFICER; CREST VIEW COMMISSIONERS; COLUMBIA HEIGHTS EDA BOARD OF DIRECTORS; CREST VIEW FROM: ANITA KOTTSICK, HOUSING ADMINISTRATOR RE: OCTOBEPJNOVEMBER MANAGEMENT REPORT FOR PARKVIEW VILLA & 4607 TYLER PHYSICAL PLANT: ~ An inspector from the insurance c(~mpany was out to inspect the new boilers and they did not meet code so they are shut down at this time until the contractor adds individual relief valves and shut off valves to each new boiler. We are working with the contractor to complete these items. The hot water was out of service on November 8 back on line November 9 a.m. It was found to be clogged and had over heated. All repairs were completed. The gate and fence at 4607 was damaged the week of November 5 and has been repaired. ADMINISTRATIVE: It seems HUD's new system for submitting 50058 has some problems. I have not submitted any more 50058 on the recommendation of out software vendor. Our vendor is working with HUD representatives to resolve these problems. Once I am advised to resume submissions I will. A voluntary floor checking program will begin the 1st of next year. All guidelines and procedures are being discussed at resident council meetings. At the November resident council meeting residents attending were asked how many currently use the beauty shop and how many were satisfied with the prices and quality: 28 currently use PVV beauty shop. When the question was asked it was very clear that the majority of residents were satisfied with the current service they were receiving. Owned by the EDA of the City ol~ Columbia Heights Equal Housing Opportunity Agency Managed by Crest View Management Services OCCUPANCY: NORTH BUILDING: APT # vacaNcY DATE NAME MOVE-IN DATE 204 11/2/01 301 10/31/01 3O9 10/31/01 Betty Finn working off waitlist working off waitlist internal move SOUTH BUILDING: APT# VACANCY DATE NAME MOVE-IN DATE '1 resident internal move, 1 resident in need of increased services, 1 resident relocation Waiting list totals are as follows: Parkview Villa North 26 CH Residents 37 Non-residents 4607 Tyler 3 CH Residents 6 Non-residents Parkview Villa South 36 CH Residents 7Non-residents MISC: For informational purposes the Parkview Villa calendar is attached. COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Management Report ORIGINATING EXECUTIVE NO: 5-B DEPARTMENT: EDA DIRECTOR APPROVAL ITEM: Contract for Snow Removal BY: Anita Kottsick BY: DATE: November 14, 2001 BACKGROUND: The snow plowing for Parkview Villa and 4607 Tyler has been done by two different contractors in the last two years. Once again this year staff requested bids via telephone to several outside contractors and three separate contractors responded. Parkview Villa staff maintains sidewalks at both projects and does a fair mount of cleating of snow around parked vehicles. The contract would be for removal of snow fi.om the main thoroughfare, empty parking areas, and emergency parking stall. ANALYSIS: Clean Sweep, Inc. bid $84.70 per hour with plowing beginning at 1.5 to 3 inches. Fridley Snow Plowing and Removal was unable to determine how long it would take to plow the lots so they included a letter stating this and the hourly rates which would be $58.00 an hour. Professional Building Maintenance Services, Inc. bid $50.00 per occurrence, not per hour for 1 to 4 inches and $60 per occurrence for 4-8 inches. RECOMMENDATION: Staff recommends approval of a contract for snow removal from Professional Building Maintenance Services, Inc. based on their qualified low bid. RECOMMENDED MOTION: Move to approve contract for snow removal services to cover year 2001-2002, to Professional Building Maintenance Services; and furthermore, to authorize the President and Executive Director to enter into an agreement for the same. Attachments EDA ACTION: h: \consent Form2001\PPV Snow Removal Bids r"r':i.r~ -I.'.ed 07/.25/.'2001 11 :: 49AM J'~'~l-.~--~ 8600 HANSEN AVE. ~ PHONE: (952) 403-1~~ '' ', ' ~~ FAX: (952)4~~~~ PROPEL TO: . ~,~ OF TH~ TWIN CITIES ~~j~ side and a~me~, ~ any. ~is 'Pm~sal' is v~id for a ~od ~ ~ da~ ~om t ~j~~ pmp~ da~ sh~a ~1~, unless anmhe~ ~ is indicat~ ~d ~is Pmpos~ h 96 4OTI-I b~n sign~ ~ ~ a~o~z~ reprieve for lean Sw~p, inc. ?Clan COI...UIqBIg HE~¢HTS, MI,I '= ~" ~C~L O~S~ ORDER NUMBER, . . :: . :; ';~MPCODi~>, PROPOSAL? JOB ;~,. , DATE NUMBER 07589 1.5JENNIFER STOOF'E 788-6055 08/16/01 .501 07589-.501 15 51-4B 1880 4 F'ARKVIEW VILLA APARTMENTS 965 40TH AVE'.'; I,I.E.. COI_UMBIA HEZ[GHTS., MN 554£1 JEIqI,III:'ER STOOF'ES 788--6055 · ~ F'ROPOSAL FOR SNOW PLOWING ~(~( ~ SNOWPI_OW SEASON BEGINS NOV 1., ENDS APRIL 15 ~ F'ROF'O,C.;AL. ON AIq H[)URI_Y RATE SNOW ]DEPTH TS MEASURED AT ~0,~ f~ :l) '[HIS IS A S~Xki-r(~SII-IG BUILDING SO THERE ARE ALWAYS C~{ I~N'~I-I~'~- THEY'LL CLEAN WHERE THE Robert Ruett~'mann, President'" t~a]ter R.' Fehst, 'Execut~ ve D~ ~ec~o~ le Sure To Read "Terms & Conditions of This Proposal' on reverse side. ~CCEPTANCE: This Proposal, including the terms and conditions primed the reverse side and attachments, if any, is hereby accepted. (I) ONe} Jthorize the performance of the work indicated above and agree that the terms ~d conditions of the Proposal now constitute a binding con~'act. The terms ,d conditions of any purchase order or other confirming documentation which may issue, shall not modify the terms of this contract (the ~ontract')." ~NED/TITUE DATE THE PROFESSIONALS CHOICE SINCE 1959 · SWEEPING · · SALT/SAND · · STRIPING · · SAFETY SAND BARRELS · · SNOW REMOVAL · · ICE MELT MATERIALS · · ROLL-OFFSERVICES · ORIGINAL PROPOSAL F' r ± n ted OLEAN SWEEP, INO. 8600 HANSEN AVE. SHAKOPEE, MN 55379 PHONE: (952) 403-1440 ~ii~~ FAX: (952) 403-1441 PROPOSAL TO: 07/2o/z.001 ll:49AM SlMA NARI' F'ARKVIEW VILLA APARTMENTS 965 40TH AVF_ N.,E, ...... <~. COI...UMBIA I-IEI[~H 1',.~, MN 5"' "OFFER: This Proposal is subject to the terms and conditions printed on the rever side and attachments, if any. This "Proposal" is valid for a period of 30 days from ti proposal date shown below, unless another period is indicated and this Proposal h been signed by an authorized representative for lean Sweep, Inc. ('Clean Sweep')." 07589 13 ~3ENNIFER STOOF'E 788-6055 0B/16/01~ 302 07589-302 13 51-4B O FOUR-PLEX ~F'ARTMENT 4&O7 'T'YI...EF~ ST Iq.E, COL. LJMBI~ I'~E.I. GH JIM BETTENDORI ~$ F'ROPOS~L FOR SNO~ F'LO~ZNG ~ SNO~PLO~ .SEASON F'ROF'OS~L, Otq ~N HOURI_Y R~TE 1.10 4X4 5/4 TON WITH 8' PLOW ~ .~----~--~V 5-410F' 77.00 84.70 SNOW 1) F'LOW THE OFF-ALLEY P~~~CK OF BI_DG Robert Ruettimann, President ~ Walter 'R. Fehst' Executive Ei~ector ~e Sure To Read *Terms & Conditions of This ProposaP on reverse side. ~.CCEPTANCE: This Proposal, including the terms and conditions pdnted the reverse side and attachments, if any, is hereby accepted. (I) (We) Jthorize the performance of the work indicated above and agree that the terms ~d conditions ot the Proposal now constitute a binding contract The terms ~d conditions of any purchase order or other confirming documentation which may issue, shall not modify the terms of this contract (the 'ContraS)." GNED/'I1TI.E DATE THE PROFESSIONALS CHOICE SINCE ~959 · SWEEPING · · SALT/SAND · · STRIPING · · SAFETY SAND BARRELS · · SNOW REMOVAL · · ICE MELT MATERIALS · · ROLL-OFF SERVICES · ORIGINAL PROPOSAL CLEAN SWEEP, INC. 8600 HANSEN AVE. SHAKOPEE, MN 55379 PHONE: (952) 403-1440 ~[~~ FAX: (952) 403-1441 PROPOSAL TO: 07/25/200:1. 11:49AM SIMA NARI' F'ARKVIEW VILLA AF'ARTMENTS "OFFER: This Proposal is subject to the terms and conditions printed on the rever side and attachments, if any. This "Proposal' is valid for a pedod of 30 days from t (?65 40'll"H AVL"".' N. E. proposal data shown below, unless another pedod is indicated and this Proposal h bee. s,gned by an a®o.z, fo . Swee., I.c. O,ssn COLLJMI~:D.A HIE:r. GH'T'S:, I,I1,,I 5,5'421 ~~ ~__~~'~[~'--' '~ ~-- MI¢~LOLMSl'E~ ~ ORDER NUMBER ......... ' ~ , r ' j' ' ..COMPCODE DATE NUMBER 07589 13 3ENNIFER STOOPE 788-6055 08/16/01 301S 07589-501S 1.5 51-4B 1880 F'ARKVIEW VILLA APARTMENTS ')65 40TH AVE C, OL. UMBY-A HF.~IGI-ITS, MN 5542.1. JI[.'.'NN]~I.--ER STOOF'ES 788---.6055 ** PROPOSAL FOR SALT/SANI)IHG BASED' ON SQ YDS ,SANDED ["I~F_::GUI_AR ROU'¥E SAI,IDII,I(3" ~, .00 SANDING AS F'ER BID~ ~~ 3-1003 105.07 105.07 I SEE ENCLOSURE LETTER _ Robert Ruettimann, President Walter R. Feh.~t, Executiw Director te Sure To Read 'Term;& CondR/ons of T~I~ Propose/' on reverse ;ide. ~,CCEPTANCE: This Proposal, including the terms and conditions pdnted the reverse side and attachments, if any, is hereby acceptad. (I) (We) ~thorize the performance of the work indicated above and agree that the terms ~d conditions of the Proposal now constitute a binding contTact. The terms id conditions of any purchase order or other confirming documentation which may issue, shall not modify the terms of this contraCt (the ~ontracO." ~NED./TITLE DATE THE PROFESSIONALS CHOICE SINCE 1959 · SWEEPING · · SALT/SAND · · STRIPING · · SAFETY SAND BARRELS · · SNOW REMOVAL · · ICE MELT MATERIALS · · ROLL-OFF SERVICES · ORIGINAL PROPOSAL FRIDLEY SNOW PLOWING AND REMOVAL (Q_uahty-- Work Since ~988) 7300 OLD CENTRAL AVENUE FRIDLEY, MN 55432 FAX 612-784-7819 612--784-8890 September 10, 2001 Dear Bill, While looking over your parking lot to give you a per time bid, we have determined that it is impossible to give you a fair bid on a per time basis. No matter what price we determine, one of us is either going to be over charged or underpaid. We would much rather plow your lot for one year at our hourly rates, and after which we could more accurately determine a per time price. We have done this with a few of our other lots, with about half electing to stay with the hourly rates after one year, and the other half going to a per time bid. I have enclosed a list of references that you could check with. I'm sure you will fred that we always provide accurate and detailed billings with a break down of each piece of equipment and times spent plowing. I think you will also find our rates to be very competitive. Our office is located only blocks away from your lot, so you can expect excellent availability. For example if you fred something small that you'd like us to touch up, we can be there within minutes. We offer plowing, sanding, salting, shoveling, and stacking. Please find our rates and specifications enclosed. If you have any questions or need a service not listed, please feel free to give me a call. Thank You, Christopher Clos Account Representative FRIDLEY SNOW PLOWING AND REMOVAL (Quality Work Since 1988) 7300 OLD CENTRAL AVENUE FRIDLEY, MN 55432 FAX 763-784-7819 763-784-8890 SNOW PLOWING PROPOSAL The following services are to be provided: *Plow, Stack, and Remove snow as directed for any snowfall 2" or more. *Sanding to be done by request only. *Payment shall be made within 30 days of snowfall or 1.5% per month interest charges shall be applied. EQUIPMENT RATES(will include travel time to the property): $58/Hr Snow plows 7 ½' $78/Hr Snow plows 8, 9 or 10' $135/I-Ir Front end loaders 3, 4 & 5 Cubic yard buckets (3 hour Minimum) $78/Hr Skid loaders with snow buckets $78/Hr Sander tracks (1 H. gur Minimum) $68/Ton Sand/Salt mixture (2 Ton Minimum) $135/Ton 100% Salt (2 Ton Minimum) $78/Hr Tandem 15 yard dump tracks to haul or plow(3 hour Minimum) $65/Car to move vehicle on site $58/Hr per manual shoveler or snowblower Contract length- from October 25,2001 to April 1,2002 Please sign and remm (Confirmation will be sent to you) I have read this rate information, and the following two work specification pages. I agree to these terms listed on these 3 pages. Site Name Site Address Site Phone # Authorized names(to sign for work to be done) Signature and date Billing Name,address,phone# October 2, 2001 PROFESSIONAL BUILDING MAINTENANCE SERVICES INC. P.O. Box 21393 Minneapoli% Minnesota 55421 Telephone (612) 789-3726 Fax (612) 788°2843 Mr. Bill Jault PARKVIEWVILLA 965 40?H Avenue NE ~Columbia Heights, Mn 55421 'Dear Bill: Per your request, MGS is pleased to submit this proposal of Snow Removal Services expressly for PARKVI~WVILL~ - 965 40~ AVENUE-NORTH EAST - COLUMBIA HEIGHTS, MINNESOTA. MGS' Pr0P0s._es: pLOWiNG'OF PARKING LOT~~ MGS will thoroUghly plow ~ center isle-way" and ~ turn - around" areas of the parking lot. All snow will be pushed to the Southeast corner of the lot, and accumulated on grass areas. Additionally, MGS will plow out one (1) parking stall labeled as" Emergency Parking" RATES FOa S~RVICES MEAS~R~HENT OF sNOW RATE i - 4 Inches $50.00 Per Occurrence. 4 - 8 Inches $60.00 Per Occurrence. 8 - 12 Inches $70.00 Per Occurrence. 12 + Inches $80.00 Per Occurrence. ALL WORK WILL BE COMPLETED BY 7:00 AM DEPENDING UPON ACTUAL START/STOP TIMES OF SNOW FALL. "I~ we can't do i~, it can't be done" Mr. Bill Jault PARKVIEW VILLA October 2, 2001 Pa~e 2 PLOWING OF PAR~IN~ LOT ~ let St. NE'~ Thoroughly plow entire parking lot. Special care will be utilized as not to damage fencing. RATE8 FOR SERVICE8 i - ~ Inches 4 - 8 Inches 8 - 12 Inches 12 + Inches RATE ~4Q. 00 Per 0~currence. $50.00 Per Occurrence. $55.00 Per Occurrence. $60.00 Per Occurrence. ALL WORK WILL BE COMPLETED BY 7:00 AM DEPENDING UPON ACTUAL START/STOP TIMES OF SNOW FALL. aDDITXO~AL SERVICES AVaZLaBLE EQUIPMENT RATE 4 X 4 Plow Truck w/7.5' blade Tandem Dump Truck Bob Cat 80/20 salt/sand mixture (bulk) 55 gal. Drum- salt/and sand mixture 80/20 55 gal. Drum - refills only $ 45.00 Per Hour. $ 50.00 Per Hour. $ 60.00 Per Hour. $ 50.00 Per Ton. $120.00 Per Drum, $ 45.00 Per Refill. Mr. Bill Sault PARKVIEW VILLA October 2, 2001 Pa~e 3 1. 612-909-6724 2. 612-980-8312 3. 763-789-3726 ~4 ~OUR DIGITi%L PAGER NUMBERS Mike Hiller 24 Hour Switch Board MGS Office (Monday - Friday 8:00 A.M. - 4:30 P.M.) Bill, MGS realizes the importance of maintainingSidewalks/lots throughout the Minnesota winter, we are fully prepared to take total responsibility for the maintaining/monitoring of this project. REST ASSURED, WHILE YOU SLEEP, WE WORK. MGS will furnish all tools, equipment and supplies necessary to perform all services stated above. MGS will take full responsibility for the supervision of all services performed. MGS will maintain in effect adequate Workmen's Compensation Insurance, Public Liability Insurance and Property Damage Insurance. [Certificate of Insurance upon Request] Bill, thank you for your reviewal and consideration of this proposal. We would be honored to service your building and can guarantee a professional job by skilled laborers, completed in a timely fashion. Sincerely, ~ ~ ..' MICHAEL G. SWEAT PRESIDENT Si gnatures: Robert Ruettimann, President 3 Walter t~'. Fehst, Executive Director COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Items for Consideration, ORIGINATING EXECUTIVE Other Resolutions DEPARTMENT: EDA DIRECTOR NO: 9-A-1 APPROVAL ITEM: Approve Resolution 2001-18, BY: Randy Schumacher BY: Transferring Authority from EDA to HRA and DATE: November 15, 2001 Modifying the Purchases of Services Agreement BACKGROUND: At the EDA Board meeting held in February of 2001, the Board discussed specific direction and priorities of the HRA and the EDA. It was suggested that the Board consider transferring all City housing responsibilities, ownership, and operations to the Columbia Heights Housing and Redevelopment Authority thus allowing the EDA to focus on community development and redevelopment issues. This would allow greater focus to be conducted in each respective area. On October 22, 2001 the City Council approved the second reading of Ordinance number 1442, determining that the City's overall housing and redevelopment objectives will be best served if certain housing powers are allocated to the HRA, and redevelopment and economic development powers are allocated to the EDA. Specifically, Resolution 2001-18 transferred the control, authority and operation of all housing programs and projects from the Columbia Heights EDA to the HRA, as well as all real property and contracts. RECOMMENDATION: Staff recommends Board approval of Resolution 2001-18 relating to the transfer of certain projects to the HRA from the Columbia Heights EDA and Modify the Purchases of Services Agreement. RECOMMENDED MOTION: Move to Approve Resolution 2001-18, a Resolution relating to the transfer of certain projects to the Housing and Redevelopment Authority from the Columbia Heights Economic Development Authority; Modifying the Purchases of Services Agreement. Attachments EDA ACTION: h:\consent Form2001\Transfer Res. from EDA to I~RA COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 2001-18 RESOLUTION RELATING TO THE TRANSFER OF CERTAIN PROJECTS TO THE HOUSING AND REDEVELOPMENT AUTHORITY FROM THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY; MODIFYING PURCHASES OF SERVICES AGREEMENT. BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (CHEDA) AS FOLLOWS: Section 1. Background 1.01. The City Council previously adopted Resolution No. 96-01 (Enabling Resolution) providing for the creation of the CHEDA pursuant to Minnesota Statutes, Sections 469.090 to 469.1081 (EDA Act). 1.02. By resolution, dated January 8, 1996, the City transferred the control, authority, and operation of all projects operated by the Housing and Redevelopment Authority in and for the City of Columbia Heights (HRA) from the HRA to the CHEDA, and approved a Purchase of Services Agreement between the City and the CHEDA. 1.03. By resolution approved January 29, 1996, the HRA approved the transfer of HRA contracts, programs, and property fi.om the HRA to the CHEDA and CHEDA officials were directed to execute and deliver quit claim deeds for all real property owned by the I-IRA to the CHEDA. 1.04. Quit claim deeds for all real property owned by the I-IRA were never executed and delivered to the CHEDA, and therefore, title to those properties remains in the HRA. 1.05. By Ordinance No. 1442 (Allocation Ordinance) adopted by the City Council on October 22, 2001, the City allocated powers under Minnesota Statutes, Sections 469.001 to 469.047 (HRA Act) related to housing for low and moderate income person fi.om the CHEDA to the HRA, as authorized by Section 469.094 of the EDA Act. 1.06. To implement the Allocation Ordinance and clarify the powers of the EDA under the Enabling Resolution, the City further adopted Resolution No, 2001-62 on October 22, 2001, which is an amended and restated Enabling Resolution. 1.07. The board of CHEDA finds that it is in the best interests of the City, CHEDA and the HRA that appropriate steps be taken to effect the transfer from CHEDA to the HRA of programs and projects relating to low and moderate income housing over which the HRA has authority under the Allocation Ordinance. Section 2. Transfer of Authority 2.01. The control, authority and operation of all housing programs and projects over which the HRA has jurisdiction under the Allocation ordinance (referred to herein as the "HRA Projects") are hereby transferred from CHEDA to the HRA. 2.02. Attached as Exhibit A is a list of all real property that is currently owned by the HRA, and which is occupied by HRA Projects or held for future HRA Projects. Notwithstanding anything to the contrary in Resolution No. 96-02, title to those properties shall remain in the I-IRA. The President and Executive Director are authorized to execute and deliver any quit claim deeds or other instruments necessary to effect clear title in such properties in the name of the HRA. 2.03. Attached as Exhibit B is a list of all outstanding contracts related to HRA Projects to which either the CHEDA or the HRA is a party. The rights, duties and obligations of each of the contracts listed in Exhibit B are transferred, assigned and released, without qualification, to the HRA. Any contractual obligation of the CHEDA with respect to HRA Projects not listed in Exhibit B is similarly transferred, assigned and released to the HRA. The President and Executive Director of CHEDA are authorized to execute any instrument necessary to effectuate the assignment of CHEDA's rights in any such contract to HRA, or to clarify the HRA's rights and interest in any such contract. 2.04 The CHEDA assigns and transfers to the HRA, all funds in its possession regarding I-IRA Project as defined in this resolution. The Executive Director of the CHEDA is authorized to retain moneys fi.om such funds to reimburse CHEDA commissioners for necessary expenses incurred as a result of this transfer of authority. 2.05. The President and Executive Director are authorized and directed to execute any instrument or certificate deemed necessary by legal counsel or the United States Department of Housing and Urban Development to effectuate the intent of this resolution. Section 3. Purchases of Services Agreement 3.01. The CHEDA hereby ratifies the Purchases of Services Agreement between the CHEDA and the City dated January 29, 1996; provided that it is understood the services provided by the City to the CHEDA relate solely to the projects, programs and activities under the jurisdiction of CHEDA as described in the Allocation Ordinance and the amended and restated Enabling Resolution. Approved by the Board of Commissioners of the Columbia Heights Economic Development Authority this __day of November, 2001. ATTEST: Robert Ruettimann, President Cheryl Bakken, Secretary EXHIBIT A List of Real Property 965 40th Avenue (Parkview Villa) Properties Currently Owned by the HRA: 3982 Van Buren Street 4607 Tyler Street NE 3 EXHIBIT B List of Outstanding Contracts American Portable Telecom Bamick, Robert and Priscilla Center for Energy and Environment Columbia Heights Housing Limited Partnership 1 Columbia Park Mexlical Group Crest View ONDC 1 Project Crestview Corporation Ehler and Associates Minnesota Department of Commerce (Salon License) Nedegaard Purchase and Redevelopment Agreement Real Estate Equities Springsted 4 CITY OF COLUMBIA HEIGHTS R~SOLUTION NO. 96-0 RESOLUTION ENABLING THE CRF~TION OF AN ECONOMIC DE'v'ELOPM]~T AUTHORITY IN THE CITY OF COLUMBIA HEIGHTS BE IT RESOLVED By the City Council of the City of Columbia Heights, ~-,~sota (City") u follows: 1,01. The City is &uthorlzed by M~-,_m~ota Statutes, Chapter 469 (Act) to establiah an Economic Deveiopumnt Author~t7 (El}A) to coo~-mts and aduzln~ter economic development and redevelopment pian~ and pr~ of the City. 1.02. It is found and detszmtned by the City Council that the encoure~mm~nt and financial support of economic development and z~development in the City i~ vital to the orderly d®velopmant and f~-m,,~{-E of the City and in the best interests of the health,safety, prosperity and genersl welfare of the aitizen~ of the City. 1.05. It/~ further found and determined that the economic d~velopment and redevelopment of the CItT can best be accompMshed by the establishment of an EDA a~ ~uthorized by the Act. 1.04. The City Council has in accordance with the Act pr~reided publt.e notice and conducted & public hearing on January 8, ll~J6, conoerniug the e~tabMshment of an EDA &~ which all persons wishing to be heard expressed the~ vlews. Section 2. Enabline Authority. 2.01. The Columbia Heights Economic Development Au~hot, ity (CHEDA) is l~reby ~mblisb.~d. 2.02. The bom~ of commissioners of the CHEDA shall consist of seven member~, at least two but no mere than five of whom must be members of the City Council. The members ih~!! be appointed by the MaTer with appreval of the City Council. ~.03. Couunissioner~ shall be appointed for initial tsrms of one, two, thru, four and five years r~speetlvely, and two member~ for six years. The~er all oo?-{-~onet-m shall be appointed for aixoyea~ terms. Notwithstanding the above provisions, the term of any commissioner who is a member of the City Council shall 2.04. A ~acanc7 b cr~ted in the membez~hip of tho C~A w~ a ~ for ~ o~ ~y o~er Men ~8~ ~ ~ for a new ~ or ~o ~~ of ~e 2.05. The following Hm~t, II'PI7 tO the CHEDA and its opm, a~on: (a) The sale ~ bonds o~ other oblt~ttons of the CHEDA must be approved b7 the City Council. (b) The CHEDA mu~t follow the budget pre-sss for City department. in &ccordanc~ with City policies, ordinances, and r~solution~ and the Clt~- (c) Development and r~development ~cldons cd' the CHEDA mu~t h~ in eonfo _r,~,~ce wt~ the City oomprehen~i~ p~,~ and official tmplemenlimg the oomp~ve plan. (d) The CHEDA must submit i~s plans for development and t, edevelopment to the City Council for approval in accordance with City planntn~ prooedur~ a=d l~ws. (e) The CHXDA ~ aot hire pem~ane~t or te~pom~ e~rplo~es without prior appz~ml by the City Council. (f) The adminis~tive struetur~ and management prtcticss and policies of the CHEDA must be approved by the City Council. .2.04. As pt, ovtded in the A~ it is the intention of the City Council that norJltn~ in this resolulion nor any activities of the CHEDA ale to be oonst~ued to impair the oblt~altons of the City or the Houain~ and Redevelopmen! Authority in and fo~ the City of Columbia Heights (HRA) unde~ any el' thei~ oontr~ats o~ to .~t'ec-t ~m any d~tal manner the ~ights and privileges of a holder afa bond or other obligation he~tofot~ issued by the City or the liRA. Section 3. Implementation. 3.01. Th~ ci~ Council will from time to time and at the appt~rprtate ~ adopt such ordinances and resolutions as are required and pem-,ltted by the Act to ~ive full effect to this resolution. 3.0:2. The Mayor, the Manager,and other appropriate City ct'flcials are authorized and directed ~o t_~_k_e the &el:lolls and execute and deliver the documents necessir7 to ~tve full affec~ to his x, esolulion. 3.03. Nothln~ in tb~_~ ~esOlution is intended ~o p~vent the City from modifying *b~- enablin~ resolution to impose new or different limitations on the CHEDA as authorized by the ACT. Approved by the City Count2 of the City of Columbia Heights this 8th day of January 1996. · Offered by; Seconded by: Roll call: Ruettimann Peterson Rll ayes - [e Student, Counci]~'~ecretar~y layor ~'oseph Sturdevant PURCHASE OF SERVICES AGR~ THIS AGREENFENT, made this 29th day of Janual7 , 1996 by and be%"ween the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body CO~lOOr~te and politic (the "Authority"), and CITY OF COLUMBIA HEIGHTS, a mun/cipal corporation under the laws of the State of Minnesota (the -City"), WITNESSETH: WHEREAS, the Authority desires to en~age the City to render certain tech,,~cal advice and assistance in connection w~th the activities and pro~ects of the Authority. NOW, THEREFORE, in consideration of the mutual covenanl:s and agreements herein set forth, the Authority and City agree as follows: 1. Sc6pe of services to be supplied by City. City shall furnish to the Authority all necessary services reasonably requested by the Authority. Such services include, but are not limited to, the services of an Executive Director, Deputy Executive Director and services of a financial, planning, engineering and inspection, legal and secretarial nature (the "Services"). City shah also furnish Authority with equipment which includes, but is not limited to, office space, normal daily business postage and office supplies, use of telephone and telegraph and reproduction equipment, travel expense and such other items as from time to time are reasonably and properly requested by the Authority in order to conduct its activities (the "Equipment" ). a. The Executive Director is the City Manager of the City. The Executive Director shall have responsibility for the supervision of the personnel of City who are to furnish services to the Authority pursuant to this Agreement. The Executive Director shall act as assistant treasurer of che CL162- ~3 Authortt~r and shall be responsible for the care and custod7 of all funds of the Author~t~ and flor the deposit ~her~of in its name in such bank or bA~ as the Author~t~y fr~m lf~ne go l~me shall desi~a~e; for the keepin~ of ~e~tlar boobs of acco~s sho~ ~c~p~ ~d e~en~m~s; for ~nde~ ac~ of ~e ~come ~d e~enses off the Au~o~ fo~ ~e ~hen p~o~ mon~; fo~ ~nde~ off such ad~fio~ f~~ ~d o~er ~por~s ~ ~he Au~o~ f~m ~e ~o ~e my ~quesl. The Di~c~o~ of Co~u~ly Development fo~ the Ct~ s~ serve ~ Depu~ Di~c~o~ of ~e EDA ~der ~e supe~ion lhe Execu~ve Diction. b. Assi~ent of du~es: aHo~on of cosls. The Exe~ve ~ ~spo~ible for ob~~ ~d suppl~ ~ Se~ces ~d Eq~pment p~ded ~ ~ A~ement. The Exe~flve D~c~or s~ p~p~ the qua~er~y smlemen~ foe Ser~ces ~d Eq~pmenl ~q~d by pam~ph 3. In dete~~ ~he c~r~es ~o be ~cluded ~ such smlements, ~e ~ecu~ve Di~clo~ s~ u~ze ~e sched~es of se~ce ~d Eq~pment costs w~ch are, or s~ be f~m ~e ~o ~e, appended ~o ~ A~emenl as e~its; p~ded however, l~t no s~lemenl for Se~ces fo~ Eq~pmenl ~y be p~d by ~e Aulho~ ~ess i~ ~s ~ceived ~d app~ved the schedule of Se~ces ~d Eq~pment cos~ upon w~ch ~he sm~emenl ~ b~ed. 2. T~e of pe~ormance} dum~on of a~emen~. T~s A~emen1 shall commence on J~ua~ ~ ,1996 ~d s~ con~ue unffi Janua~ ~ ., 1997 and s~ continue ~e~er on a year-to-year b~is uEess ~er~aled by either par~ by ~tlen no~ce ~ven ~o the other on or befo~ December 1 of ~y year, ~ w~ch ~se l~s A~eement shall ler~te al lhe end of lhe calendar year ~ w~ch no~ce is ~ven. 3. Compensation of the City. a. ,~a:Fment. Authority shall pay City for all Services and Equipment furnished to the Authority. Such payments shall be made quarterly for all Services and Equipment furnished by City during the p~evious month, with.in 30 days after ~eceipt by the Authority of a statement from City for the quarter -for wb.ich payment is to be made. b. Fo~- Service. The amount to be paid by the Authorit1 for Services shall be the total hours of Services act~ually rendered each month to the Authority by each employee of City times the hourly rate for each at'ch employee, said hourly rate to be determined as follows: (t) The hourly .rate is the total annual compensation of that employee divided by the base hours for that employee; (ii) The base hours shall be the m~B~,um number of hours to be worked by each City employee as established from time to l~me by City, less the hours included for paid vacations and holidays; (iii) Total annual compensation shall be the annual compensation for such employees as established by City from time to time, plus City's insurance and City's contribution for retirement and other benefits; (iv) No charges, over and above the hourly rate, shall be made to or payable by the Authority for over*~ime work of City employees except such overtime as is approved in advance by the Director. Such overtime as is so approved shall be charged to and paid bM the Authority at 1-1/2 times the hourly rate for that employee; (v) In no instance shall the total amount paid by the Authority to the City during any month for any employee exceed the actual cost to City of that employee for that month, it being agreed that for purposes of this subparagraph, the term "cost" shall include ~otal ¢L162-1~ 3 annual compensation and the cost to City of vacaLions and holidays for that employee. c. For Equipment. (i) $ T. 00 per yea r for office space, including use of t'ypewritere, telegraph and telephones, reproduc~ion equipment, lavatories and lunch room, and supplying of normal dail7 business postage a~nd office supplies. (ii) A sum per month equal to rate charged by the Central Garage for City motor vehicles driven in connection with Authority acl:lviLies. (iii) For items other ~han those set out in this paragraph., the amount per month ~o be paid shall be mutually agreed upon in wril/ng and specifically made a part of ~ Agreement. 4. Notice. All notice or demands required or permitted..to be given under ~ Agreement shall be in wri~ing and shall be deemed' to be given when delivered personally to any officer of the party to which no~tce is being given, or when deposited in the United States mail in a sealed envelope with registered or certified mail postage prepared thereon addressed to the par~ies at the following addresses: To Authority: To City: Columbia Heights Economic Developmen~ Authority City of Columbia Heights -- - 590 40th Avenue N.E. Columbia Heights, ~ 55421-38?$ City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, ~ 55421-3878 Such addresses may be changed by either par~y upon no~ice ~o the other part}, given as herein provided. 4 5. Affirmative AcC/on Clause. a. ~u~hori~/hereby states ~/mt it a~rees to, fully intends to and will comply with the standards of equal employment and anti-discrimination as provided in the Civil Rights Act of 2964, as amended, and go conduct its ocr/vii[es in accordance with the City's effirma~/ve acc/on po[icy. IN WITNESS WHEREOF, the Columbia Heights Economic Develoloment Authority and the City of Columb&a Heights have caused %h/s A&Teement to be executed on their l~ehalf$ b]f their respec'dve duly aul:hor~zed officers as of the date ftl~ above written. Secretary (SEAL) eputy City Clerk (SEAL) COLUMBIA HEIGHTS E.C.Q~OMIC DEVELOPMENT AUTHDRITY Its P~esident Its Execut%ve D~rector CITY 'OF COLUMBIA HEIGHTS Its City Manager COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Items for Consideration, ORIGINATING EXECUTIVE Other Resolutions DEPARTMENT: EDA DIRECTOR NO: 9-A-2 APPROVAL ITEM: Approve Resolution 2001-19, BY: Randy Schumacher BY: Decertification of Parcels 35-30-24-14-0091 DATE: November 14, 2001 and 35-30-24-24-0092 fi:om the Central Downtown Business TIF District BACKGROUND: The Anoka County Auditors Office contacted EDA staff and advised us that when the Transition Block Redevelopment TIF District No. 9 was certified in 1999, it included two parcels of land, (the Lockshop and the Professional Bldg) that had previously been included in the Central Downtown Business TIF District. Including these parcels in Transition Block Redevelopment TIF District No. 9 was necessary for the purpose of constructing the 50 Unit Senior Assisted Living facility by Crest View ONDC 1. Based on a discussion with legal counsel Steve Bubul, a resolution removing these two parcels from the Central Downtown Business TIF District would be required. The decertification Resolution 2001- 19 authorizes that action. Once action is taken on this Resolution by the EDA, the City Council will be requested to consider same. RECOMMENDATION: Staff recommends Board approval of Resolution 2001-19, a resolution Decertifying two parcels fi.om the Central Downtown Business TIF District. RECOMMENDED MOTION: Move to approve Resolution 2001-19, a resolution Decertifying Parcels 35-30-24-14-0091 and 35-30-24-14-0092 fi.om the Central Downtown Business TIF District. Attachments EDA ACTION: h: \consent Form2001\Res. 2001-19, Decertifying Parcels COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 2001-19 RESOLUTION APPROVING THE DECERTIFICATION OF PARCELS NO. 35-30-24-14-0091 AND NO. 35-30-24-14-0092 FROM THE CENTRAL DOWNTOWN BUSINESS TIF DISTRICT BE IT RESOLVED by the Board of Commissioners of the City of Columbia Heights, (the "City"), Economic Development Authority (the "Authority") as follows: 1. Background; Findings. (a) The Authority is authorized, by Minnesota Statutes, Section 469.177 subdivision 12, to request the removal of certain parcels from a Tax Increment Financing District. (b) The City previously established the Central Downtown Business TIF District (the "TIF District"). (c) Parcels No. 35-30-24-14-0091 and No. 35-30-24-14-0092 (the "Parcels") are located within the TIF District. (d) The Parcels are also located within an additional TIF district, namely Transition Block Redevelopment District No. 9. (e) The Authority determines that it is in the public interest to decertify the Parcels from the TIF District so that the Parcels are no longer located within two separate TIF districts. 2. Parcels Decertified (a) The Authority hereby decertifies the Parcels from the TIF District. (b) The Authority recommends that the City approve the decertification of the Parcels from the TIF District. (c) The President and Executive Director are authorized and directed to take whatever steps are necessary to give effect to this Resolution. The President and Executive Director are also authorized and directed to execute and deliver any and all documents necessary to give effect to this Resolution. Adopted by the Board of Commissioners for the Columbia Heights Economic Development Authority on this ~ day of November, 2001. Attest: President - Robert Ruettimann Secretary - Cheryl Bakken JKP-204702vl CL205-3 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting off November 20, 2001 AGENDA SECTION: Items for ORIGINATING EXECUTIVE Consideration, Other Business DEPARTMENT: EDA DIRECTOR NO: 9-A-3 APPROVAL ITEM: Approve Resolution 2001-20, BY: Mark Nagel BY: Modification to the Downtown Central DATE: November 14, 2001 Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and the Modification of Housing Redevelopment TIF District #1 (P3) BACKGROUND: On May 27, 1997, the Columbia Heights City Council approved a scattered site redevelopment TIF District to facilitate redevelopment of substandard single-family homes throughout the City in order to improve the City's housing stock, increase property values, and prevent the spread of blight. Tax increments from the 56 properties listed in the District were to be used to finance land acquisition, demolition, relocation, and related development costs. During a meeting August 7t~ with Shelly Eldridge, Ehlers and Associates, reviewing progress in TIF District 1 and 2, it was determined that the City needs to show activity and any modifications need to be completed on each of the 56 parcels in the District by September 8, 2002, or they will be dropped from the District. This would reduce the potential TIF revenue generated for the above purposes. All projected fimds generated-by the District need to be obligated by that date. At the EDA meeting of October 16t~, Commissioners approved making modifications to TIF District #1 that would add 12 parcels to the District, which City Council also subsequently approved. The modified plans are now complete and along with an updated schedule and a copy of the letter to Anoka County Commissioner Jim Kordiak on the proposed modification, is attached. Fiscal Consultant, Shelly Eldridge will be at the meeting to review the plan and answer questions. RECOMMENDATION: Staff recommends the EDA approve Resolution 2001-20, Modification of TIF District Number 1. RECOMMENDED MOTION: Move to adopt Resolution 2001-20, a Resolution Modifying the Downtown Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and the Modification of Housing Redevelopment Tax Increment Financing District No. 1 (P3). Attachments EDA ACTION: h:\consent Form2001\Approve Modif.of TIF #1(P3) COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY CITY OF COLUMBIA HEIGHTS ANOKA COUNTY STATE OF MINNESOTA RESOLUTION NO. 2001-20 RESOLUTION ADOPTING A MODIFICATION TO THE DOWNTOWN CENTRAL BUSINESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE CBD REDEVELOPMENT PROJECT AND ADOPTING A MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 THEREIN. WHEREAS, it has been proposed by the Board of Commissioners (the "Board") of the Economic Development Authority (the "EDA") and the City of Columbia Heights (the "City") that the EDA adopt a Modification to the Downtown Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project and adopt a Modification to the Tax Increment Financing Plan (the "Modifications") for Housing Redevelopment Tax Increment Financing District No. 1 therein (the "District"), all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.090 through 469.1081, and Sections 469.174 to 469.179, inclusive, as amended (the "Act"), all as reflected in the Modifications and presented for the Board's consideration; and WHEREAS, the EDA has investigated the facts relating to the Modifications and has caused the Modifications to be prepared; and WHEREAS, the EDA has performed all actions required by law to be performed prior to the adoption of the Modifications. The EDA has also requested the City Planning Commission to provide for review of and written comment on the Modifications and that the Council schedule a public hearing on the Modifications upon published notice as required by law. NOW, THEREFORE, BE IT RESOLVED by the Board as follows: 1. The EDA hereby reaffirms that the District as modified herein is in the public interest and is a "redevelopment district" under Minnesota Statutes, Section 469.174, Subd. 10 (afrO and finds that the Modifications conform in all respects to the requirements of the Act and will help fulfill a need to develop an area of the Sate of Minnesota which is already built up and that the adoption of the propose Modifications will help provide redevelopment to the housing stock and thereby serves a public proposed. 2. The EDA further finds that the Modifications will afford maximum opportunity, consistent with the sound needs for the City as a whole, for the development or redevelopment of the project area by private enterprise in that the intent is to provide only that public assistance necessary to make the private developments financially feasible. 3. Conditioned upon the approval thereof by the City Council following its public hearing thereon, the Modifications, as presented to the EDA on this date, are hereby approved, established and adopted and shall be placed on file in the office of the Deputy Clerk. 4. Upon approval of the Modifications by the City Council, the staff, the EDA advisors and legal counsel are authorized and directed to proceed with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and present to this Board for its consideration all further plans, resolutions, documents and contracts necessary for this purpose. Approval of the Modifications does not constitute approval of any project or a Development Agreement with any developer. 5. Upon approval of the Modifications by the City Council, the Deputy Clerk is authorized and directed to forward a copy of the Modifications to the Minnesota Department of Revenue. 6. The Deputy Clerk is authorized and directed to forward a copy of the Modifications to the Anoka County Auditor and request that the Auditor certify the original tax capacity of the District as described in the Modifications, all in accordance with Minnesota Statutes 469.177. Approved by the Board of Commissioners of the Economic Development Authority this 20th day of November, 2001. ATTEST: Robert Ruettimann, President Cheryl Bakken, Secretary SCHEDULE OF EVENTS COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY AND THE CITY OF COLUMBIA HEIGHTS FOR THE MODIFICATION OF THE DOWNTOWN CENTRAL BUSINESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE CBD REDEVELOPMENT PROJECT AND THE MODIFICATION OF THE TAX INCREMENT FINANCING PLAN FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 (a redevelopment district) As of October 31, 2001 October 8, 2001 City Council calls for public hearing on the modification to the Downtown CBD Revitalization Plan for the CBD Redevelopment Project and the modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1. October 30,2001 Project information, property identification numbers, and maps sent to Ehlers and Associates for drafting documentation. November 2, 2001 Project information submitted to the County Board for review of county road impacts (at least 45 days prior to public hearing). November 6, 2001 Letter received by County Commissioner giving notice of potential redevelopment tax increment financing district (at least 30 days prior to publication of public hearing notice). November 16, 2001 Fiscal/economic implications received by School District and County Board (at least 30 days prior to public hearing). November 20, 2001 EDA approves the Modified Plans. November 20, 2001 Ehlers confirms with the City whether building permits have been issued on the property to be included in the TIF District. December 4, 2001 Planning Commission finds Modified Plans to be in compliance with City's comprehensive plan. December 6, 2001 Date of publication of hearing notice and map (at least 10 days but not more than 30 days prior to hearing). [Focus News publication deadline Friday, November 30, 2oou December 17, 2001 City Council holds public hearing on the modification to the Downtown CBD Revitalization Plan for the CBD Redevelopment Project and the modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1, and passes resolution approving the Modified Plans. [Council packet information sent by December 3, 2001J January 31, 2002 Ehlers certifies Modified Plans with county and state. *The TIF Plan was forwarded to the County 45 days prior to the public hearing. The County Board, by law, has 45 days to review the plan to determine if any county roads will be impacted by the development. Please be aware that the County Board could claim that tax increment should be used for county roads, even after the public hearing. EHLERS & ASSOCIRT[$ INC DISTRIBUTION LIST COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY AND THE CITY OF COLUMBIA HEIGHTS FOR THE MODIFICATION OF THE DOWNTOWN CENTRAL BUSINESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE CBD REDEVELOPMENT PROJECT AND THE MODIFICATION OF THE TAX INCREMENT FINANCING PLAN FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 (a redevelopment district) CITY: Mark Nagel mark.nagel~ci.columbis-heights.mn.us 612-280-9659 Cell Phone Patty Muscovitz, Deputy City Clerk 763-706-3611 Phone patW.muscovitz~ci.columbis-heights.mn.us Randy Schumacher, Acting Economic Development Director Walter Fehst, City Manager/TIF Administrator City of Columbia Heights 590 40th Avenue NE Columbia Heights, MN 55421-3835 763-706-3600 Phone 763-706-3601 Fax (Word format) DEVELOPMENT COUNSEL: Dan Greensweig Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, MN 55402 612-337-9231Phon~ 612-337-9310 Fax dgreensweig~kennedy-graven.com (Word format) DEVELOPMENT ADVISOR: Shelly Eldridge shelly~ehlers-inc.com Susan Landrum susan.landrum@ehlers-inc.com Ehlers & Associates, Inc. 3060 Centre Pointe Drive Roseville, MN 55113-1105 651-697-8555 Fax 651-697-8504 Phone 651-697-8531 Phone EHLERS & ASSOCIATES INC November 7, 2001 BY FAX AND BY REGULAR MAIL Commissioner Jim Kordiak, Board Vice-Chair Anoka County Board of Commissioners 2100 3~ Avenue Anoka, MN 55303-2265 Re: City of Columbia Heights/Columbia Heights EDA and the Proposed Modification of Housing Redevelopment Tax Increment Financing District No. 1 Dear Commissioner Kordiak: The City of Columbia Heights and the Columbia Heights Economic Development Authority ("EDA") are considering a proposal to modify Housing Redevelopment Tax Increment Financing District No. 1 (the "District")· The District is a scattered-site redevelopment tax increment financing district. Tax increments collected from the District are proposed to be used to facilitate demolition of blighted property and the construction of single family homes. The location of the District is within the Downtown Central Business District and is indicated on the attached maps. The City Council has scheduled a public heating on this matter, pursuant to the Minnesota Tax Increment Financing Act, on December 17, 2001, at approximately 7:00 ?.M. The Act requires the City notify the County Board member representing the affected area at least 30 days prior to publishing the notice of public hearing on the establishment or modification of a housing or a redevelopment tax increment district. To meet this requirement, the notice was due in your office on November 6, 2001. The notification was inadvertently not transmitted to your office. Subsequently, we are transmitting the notice to your office today, which is 29 days prior to the publication date of public hearing notice. MS. 469.175, Subdivision 2a, provides for the waiving of the 30-day requirement if the county commissioner of the affected district submits written comments on the proposal and any modification of the proposal to the authority after receipt of the information. The City of Columbia Heights is requesting that Anoka County Commissioner Kordiak waive the 30-day notification requirement for holding a public hearing on the modification of the tax increment financing district. LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive. Rose,~ille, i'~N 55113-1105 651.697.8500 Equal Opportunity Employer Charter Member of the National ASsociation of Independent Public Finance Advisors fax 651.697.8555 www.ehlers.inc.com Commissioner Jim Kordiak, Anoka County Board of Commissioners Page 2 November 7, 2001 We have attached a statement which would suffice for this purpose or, if you would prefer, a letter indicating your willingness to waive the 30-day notification would also be sufficient. We apologize for any inconvenience this may have caused. Please address your written comment to the Columbia Heights Economic Development Authority and the City of Columbia Heights. We have enclosed a self-addressed, postage-paid envelope for your convenience. A complete draft of the tax increment financing plan will be sent to the County no later than November 16, 2001. We would like to solicit your comments and offer to meet with you at your convenience, if you so desire. In addition, we invite you to attend the public hearing on the modification of Housing Redevelopment Tax Increment Financing District No. 1. Again, we re~et any inconvenience the request for the 30-day notification wavier may have caused. Please direct any comments or questions that you may have to Mark Nagel (City of Columbia Heights) at 763.-706- 3600 or to me at 651-697-8504. Sincerely, EHLERS & ASSOCIATES, INC. Shelly Eldridge Financial Advisor Acting for and on behalf of the City of Columbia Heights, Minnesota Enclosure cc: Mark Nagel, City of Columbia Heights Dan Greensweig, Kennedy & Graven, Chartered STATEMENT I, Jim Kordiak, County Commissioner of Anoka County, received the letter notifying me of the proposed Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. l, a redevelopment district that will facilitate demolition of blighted property and the construction of single family homes. The Plan is to be considered by the City Council of the City of Columbia Heights on December 17, 2001. As County Commissioner of District 4, please consider this statement my personal waiver of the required 3 0-day notification prior to the publication of the public hearing notice. Dated: November ,2001 Jim Kordiak, Anoka County Commissioner Attest: IJ[I IJlJll illtll[ Illllllllltll ____lllllllll II 1111 [ IIIIIIIllll III !~.__J IIIIlllllll tIIH!II t I I 11111 I IIIIIIlll lll-t i1111111 IIIIIII Illllllllllll ~1~ ]llllllllllll [llllllllll __ T Illllllllt I It1111111t1111 t Il III IIIIIIIllllltll Il I II t111111111tt111 I I1111 IIIIIIIIIitll __ I llllllllIHJl itlllllllllllllllllillll Ill ~' 0 := MODIFICATION TO THE DOWNTOWN CENTRAL BUSINESS DEVELOPMENT (CBD) REVITALIZATION PLAN for the CBD REDEVELOPMENT PROJECT and the MODIFICATION TO THE TAX INCREMENT FINANCING PLAN for HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 (a redevelopment district) COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY CITY OF COLUMBIA HEIGHTS ANOKA COUNTY STATE OF MINNESOTA Established: May 27, 1997 Public Hearing Expansion Modification: December 17, 2001 Expansion Modification Adopted: This document is in draft form for distribution to the County and the School District. The Plan contains the estimated fiscal and economic implications of the proposed TIF District. The City and the EDA may make minor changes to this draft document prior to the public hearing. Prepared by: EHLERS & ASSOCIATES, INC. 3060 Centre Pointe Drive, Roseville, Minnesota 55113-1105 651-697-8500 fax: 651-697-8555 www.ehlers-inc.com TABLE OF CONTENTS (for reference purposes only) ~IIODIFICATION TO THE DOWNTOWN CENTRAL BUSINESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE CBD REDEVELOPMENT PROJECT ................. I- 1 Subsection C Description o£the Project ....................................... 1-1 MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. I .......... 2-1 Subsection 2-1. Subsection 2-2. Subsection 2-3. Subsection 2-4. Subsection 2-5. Subsection 2-6. Subsection 2-7. Subsection 2-8. Subsection 2-9. Subsection 2-10. Subsection 2-1 I. Subsection 2-12. Subsection 2-13. Subsection 2-14. Subsection 2-15. Subsection 2-16. Subsection 2-17. Subsection 2-18. Subsection 2-19. Subsection 2-20. Subsection 2-21. Subsection 2-22. Subsection 2-23. Subsection 2-24. Subsection 2-25. Subsection 2-26. 'Subsection 2-27. Subsection 2-28. Subsection 2-29. Subsection 2-30. Forward ....................................................... 2-1 Statutory Authority ............................................... 2-1 Statement of Objectives ........................................... 2-1 Central Business District Revitalization Plan Overview .................. 2-I Legal Description of Property in Housing Redevelopment Tax Increment Financing District No. 1 ........................................... 2-2 Classification of Housing Redevelopment Tax Increment Financing District No. 1 ........................................... 2-2 Original Tax Capacity and Tax Rate ............................... '-.. 2-3 Estimated Captured Net Tax Capacity Value/Increment .................. 2-4 Property To Be Acquired .......................................... 2-4 Uses of Funds ................................................... 2-4 Sources &Revenue/Bonded Indebtedness ............................. 2-7 Duration of Housing Redevelopment Tax Increment Financing District No. I ........................................... 2-8 Estimated Impact on Other Taxing Jurisdictions ........................ 2-8 Modifications to Housing Redevelopment Tax Increment Financing District No. 1 ........................................... 2-9 Administrative Expenses ......................................... 2-10 Limitation of Increment .......................................... 2-11 Use of Tax Increment ............................................ 2-12 Notification of Prior Planned Improvements ......................... 2-12 Excess Tax Increments ........................................... 2-13 Requirements for Agreements with the Developer ..................... 2-13 Assessment Agreements .......................................... 2-13 Administration of Housing Redevelopment Tax Increment Financing District No. 1 .......................................... 2-13 Financial Reporting Requirements .................................. 2-14 Municipal Approval and Public Purpose ............................. 2-15 Fiscal Disparities Election ........................................ 2-18 Other Limitations on the Use of Tax Increment ........................ 2-19 State Tax Increment Financing Aid ................................. 2-20 County Road Costs .............................................. 2-20 Supporting Documentation ........................................ 2-21 Summary ...................................................... 2-21 APPENDIX A BOUNDARY MAPS OF CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AND HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 . . APPENDIX B LEGAL DESCRIPTION OF PROPERTY TO BE INCLUDED IN CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AND HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. I APPENDIX C ESTIMATED CASH FLOW FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. I ....... APPENDIX D REDEVELOPMENT QUALIFICATIONS FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. I ....... A-I B-I C-I D-I MODIFICATION TO THE DO WNTO WN CENTRAL BUSlNESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE CBD REDEVELOPMENT PROJECT Introduction The Central Business District ("CDB") Redevelopment Project is administered by the Columbia HeiSts Economic Development Authority (the "EDA"). Previously, the CBD Redevelopment Project ~vas established and administered by the City of Columbia Heights (the "City") and the Columbia Heights Housing and Redevelopment Authority (the "HRA"). The CBD Redevelopment Project previously included property in the downtown area. On July 18, 1994, the Sheffield Neighborhood Redevelopment and Housing Development Project was consolidated with the CBD Redevelopment Project by the HRA. On January 8, 1996, the HRA transferred its authority to the EDA, which currently administers the CDB Redevelopment Project. The CBD Redevelopment Project is being modified to expand the project area to include the entire City. Concurrently, there is a proposal to establish Housing Redevelopment Tax Increment Financing District No. 1 ("District No. 1") within the CBD Redevelopment Project. As District No. 1 is a scattered site redevelopment tax increment financing district, the property to be included in District No. I is found throughout the City, thus necessitating the expansion of the boundaries of the CBD Redevelopment P'roject. (As Modified May 27, 1997) Subsection C Description of the Project The City of Columbia Heights and the Columbia Heights Economic Development Authority are hereby modifying the boundaries of the Central Business District Redevelopment Project to be coterminous with the corporate limits of the City. A map of the new boundaries of the Central Business District Redevelopment Project can be found in Appendix A. Columbia Heights EDA Modification to the Downtox~ Central Business District (CBD) Revitalization Plan for the CBD Redevelopment Project I-I MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 Subsection 2-1. Forward The City of Columbia Heights ("City"), the Columbia Heights Economic Development Authority (the "EDA"), staff and consultants have prepared the following information for the expedition and establishment of Housing Redevelopment Tax Increment Financing District No. 1 ("District No. 1 "), a redevelopment tax increment financing district, located in Central Business District Redevelopment Project. Subsection 2-2. 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 EDA have certain statutory powers pursuant to Minnesota Statutes ("MS. "), Sections 469. 001 through 469. 047and469. 090 through 469.1081, 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 District No. 1. Other relevant information is contained in the Modified Revitalization Plan for Central Business District Redevelopment Project. Subsection 2-3. Statement of Objectives District No. 1 currently consists of 55 parcels of land and adjacent and internal rights-of-way. District No. 1 is created to facilitate construction of a scattered site housing project in the City of Columbia Heights. For plan purposes, the values of new homes are assumed to be $147,000. It is expected that the value &many homes will be less. This plan is expected to achieve many of the objectives outlined in the Modified Revitalization Plan for Central Business District Redevelopment Project. The activities contemplated in the present Modified Revitalization 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 District No. 1 and Central Business District Redevelopment Project. (As Modified December 17, 2001) The modification to District No. 1 proposes to add 12 parcel to the district. However, a number of the original parcel will be "knocked down", according to M.S., Section 469.176, Subd. 6, due to lack of qualifying activity for taxes payable in 2003. It is proposed that a number of the parcels will be purchased by the E.D.A. and/or City, the existing structures demolished, the land cleared for resale and reconstruction of a single family, owner occupied homes. It is anticipated that the new market value of the newly constructed units will range from $130,000 to $135,00 each. Other renovation and rehabilitation of some the properties within the district is also anticipated. Subsection 2-4. Central Business District Revitalization Plan Overview Property to be Acquired - All property located within District No. 1 may be acquired by the City or EDA and is further described in this Plan. Columbia Heights EDA Modification to the Tax Increment Financing Plan rot Housing Redevelopment Tax Increment Financing District No. I 2-1 Relocation - Complete relocation services are available pursuant to M.S., Chapter 117 and other relevant state and federal laws. Upon approval of a developer's plan relating to the project and completion of the necessary legal requirements, the City or EDA may sell to a developer selected properties that they may acquire ~vithin District No. 1 or may lease land or facilities to a developer. The City or EDA may perform or provide for some or all necessary acquisition, construction, relocation, demolition, and required utilities and public streets work within District No. 1. Subsection 2-5. L_._egal Description of Property in Housing Redevelopment Tax Increment Financing District No. 1 District No. 1 encompasses all property and adjacent rights-of-way identified by the parcels listed in Appendix B. Please see the map in Appendix A for further information on the location of District No. I. (As Modified December 17, 2001) 12 properties and adjacent rights-of-ways are being added through this modification to Districi No.1 and are listed in Appendix B. Please see the map in Appendix A for further information on the location of District No. 1. Subsection 2-6. Classification of Housing Redevelopment Tax Increment Financing District No. 1 The City and EDA, 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, find that Housing Redevelopment Tax Increment Financing District No. 1, to be established, is a redevelopment district pursuant to M.S., Section 469.174, Subd. lO(a)('l) as defined below: "Redevelopment district" means a type of tax increment financing district consisting of aproject, orportions of aproject, 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 andmore than 50percent of the buildings, not including outbuildings, are structurally substandard to a degree requiring substantial renovation or clearance; or The property.consists of vacant, unused, underused, inappropriately used, or infrequently used railyards, rail storage facilities or excessive or vacatedrailroad rights-of-way. For purposes of this subdivision, "structurally substandard" shall mean containing defects in structural elements or a combination of deficiencies in essential utilities and facilities, 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 Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-2 to justify substantial renovation or clearance. ,,1 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 15percent 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 of reasonably available evidence, such as the size, type, and age of the building, the average cost of plumbing, electrical, or structural repairs or other similar reliable evidence. If the evidence supports a reasonable conclusion that the building is not disqualified as structurally substandard, the municipality may make such a determination without an interior inspection or an independent, expert appraisal of the cost of repair and rehabilitation of the building... Forpurposes of this subdivision, aparcel is not occupied by buildings, streets, utilities or other improvements until 15 percent of the area of the parcel contains improvements. In meeting the statutory criteria described above, the City and EDA rely on the following facts and findings: District No. 1 is a redevelopment district consisting of 55 parcels. The parcels are noncontiguous scattered sites as shown in Appendix A and listed in Appendix B. All parcels in District No. 1 are occupied as defined in the TIF Act. An inspection of the buildings located within District No. 1 finds that each noncontiguous parcel is occupied by a single-family home or two-family home that is structurally substandard as defined in the TIF Act. (See Appendix D) Subsection 2-7. Original 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 District No. 1 is based on the market values placed on the property by the assessor in 1998 for taxes payable 1999. Pursuant to M.S., Section 469.177, Sub&. 1 and2, 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 off 2. 3. 4. 5. 6. 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 District No. 1 declines below the ONTC, no value will be captured and no tax increment will be payable to the City or EDA. The original local tax rate for District No. I will be the local tax rate for taxes payable 1997. The Original Tax Capacity and the Original Local Tax Rate for District No. I appear in the table on the next page. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-3 Original Tax Capacity Value Percent Retained by EDA Original Local Tax Rate $13,750 100% 1.47752 (As Modified December 17, 2001) The original local tax rate for the proposed expansion parcels in District No. I will be the local tax rate for taxes payable 2002, assuming the request for certification is made before June 30, 2002. The Original Tax Capacity and the Original Local Tax Rate for the parcels in proposed expansion of District No. 1 appear in the table below. 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 of the proposed expansion parcels in District No. 1. The City requests I00 percent of the available increase in tax capacity for repayment of its obligations and current expenditures, beginning in the tax year payable 2003. The tax rate and values are based on the most current information available at the time the plan was prepared, which were for taxes payable in. 2001. Original Tax Capacity Value Percent Retained by EDA Original Local Tax Rate $6,628 100% 111.935% Subsection 2-8. Estimated Captured Net Tax Capaci _ty Value/Increment 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 DistrictNo. 1, within Central Business District Redevelopment Project, upon completion of the project, ~vili annually approximate tax increment revenues as shown in the table below. The City and EDA request 100 percent of the available increase in tax capacity for repayment of its obligations and current expenditures, beginning in the tax year payable 1999. The project tax capacity listed is an estimate of values when the project is completed. Project Estimated Tax Capacity upon Completion of Project (PTC) Original Estimated Net Tax.Capacity (ONTC) Estimated Captured Tax Capacity (CTC) Estimated Annual Tax Increment (CTC x Local Tax Rate) 108,150 13,750 94,400 $139,478 (/is Modified December 17, 2001) The project tax capacity listed is an estimate of values of the proposed expansion parcels if and when Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-4 all of the projects are completed. The tax rate and values are based on the most current information available at the time the plan was prepared, which were for taxes payable in 2001. Upon completion of the project, the proposed expansion parcels will annually generate approximate tax increment revenues as shown in the table below. Project Estimated Tax Capacity upon Completion of Project (PTC) 20,808 Original Estimated Net Tax Capacity (ONTC) 6,628 Estimated Captured Tax Capacity (CTC) 15,872 Estimated Annual Tax Increment (CTC x Local Tax Rate) $23,291 Subsection 2-9. Property_ To Be Acquired The City or EDA may acquire any parcel within District No. I including interior and adjacent street rights ofxvay. Any properties identified for acquisition will be acquired by the City or EDA only in or'der to accomplish one or more of the following: provide land for needed public streets, utilities and facilities; carry out land acquisition, site improvements, clearance and/or development to accomplish development of new or renovate housing and other objectives set forth in this plan. (As Modified December 17, 2001) The District encompasses all property and adjacent rights-of-way identified in Appendix B as amended See the map in Appendix A for further information on the location of District No. 1 and the Central Business District Redevelopment Project. The City may acquire any parcel within District No. 1, or any property located within the Central Business District Redevelopment Project area, including interior and adjacent street rights of way. Any properties identified for acquisition will be acquired by the E.D.A. and/or City only in order to accomplish one or more of the following: carry out land acquisition, site improvements, clearance and/or redevelopment to accomplish the uses and objectives set forth in this plan. The City may acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of this Plan. Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. Subsection 2-10. Uses of Funds Currently Under consideration for District No. 1 is a proposal to facilitate construction of a scattered site housing project. The City and EDA have determined that it will be necessary to provide assistance to the project for certain costs. The EDA has conducted a feasibility study for the development or redevelopment of property in and around District No. 1. To facilitate the establishment and development or redevelopment of District No. 1, 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 District No. I is outlined in the table on the following page. These figures have been prepared based on high estimates, for purposes of this Columbia Heights EDA Modification to the Tax Increment Financing Plan tbr Housing Redevelopment Tax Increment Financing District No. I 2-5 Plan only. Uses of Funds Per Unit Total Acquisition $72,000 $3,960,000 Demolition 10,000 550,000 Soil Correction 2,000 110,000 Relocation 2,000 110,000 Interest 6,215 341,825 Administrative Costs (up to 10%) 10,240 563,200 TOTAL $102,455 5,635,025 The costs above are estimates only, and may be increased or decreased within the listed categories, so long as the total amount does not exceed the total amount listed above. Estimated costs associated ~vith Housing Redevelopment Tax Increment Financing District No. 1 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 District No. 1 will be spent on activities related to development or redevelopment outside of District No. 1 but within the boundaries of Central Business District Redevelopment Project, (including administrative costs, which are considered to be spent outside of District No. 1) subject to the limitations as described in this Plan. (As Modified December 17, 2001) The costs associated with the addition of the proposed expansion parcels does not anticipate an increase in costs beyond the already authorized budget. Due to the lack of activity in the original district, the existing budget is substantially higher than the expected costs. The estimated sources of funds for the District are contained in the table below. The costs have NOT increased but have been restated according the current reporting requirements of the Office of the State Auditor. USES OF FUNDS Land/Building Acquisition Demolition Soil Correction Relocation Site Improvements (renovation & renewal) Interest Administrative Costs (up to 10%) PRO.YF, CT COSTS TOTAl, Interfund Loans Transfers Bond Principal TOTAL $3,000,000 $550,000 $110,000 $110,000 $960,000 $341,825 $563,200 $4,80O,0OO $4,800,0OO $4,800,000 Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-6 Subsection 2-11. Sources of Revenue/Bonded Indebtedness Publi~ improvements costs, acquisition, relocation, and site preparation costs and other costs outlined in the Uses of Funds will be financed primarily through the annual collection of tax increments. The City or EDA reserves the right to use other sources of revenue legally applicable to the Modified Revitalization 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 EDA reserves the right to incur bonded indebtedness as a result of the Plan. Additional indebtedness may be required to finance other authorized activities. The total amount of bonded indebtedness and other obligations related to the use of tax increment financing will not exceed $4,800,000 without an amendment to the Plan pursuant to applicable statutory requirements. This provision does not obligate the City or EDA to incur debt. The City or EDA xvill issue bonds or incur obligations only upon the determination that such action is in the best interest of the City. The City or EDA reserve the right to finance the activities to be undertaken pursuant to the Plan through loans from funds of the City or EDA, through an interfund loan, with general obligation tax increment financing notes, or to reimburse the developer on a "pay-as-you-go" basis for eligible activities paid for by the developer. The estimated sources of funds for District No. 1 are contained in the table below. These figures hav~ been prepared based on high estimates, for purposes of this Plan only. Sources of Funds Per Unit Total Tax Increment $63,750 3,506,250 Land Sales 35,500 1,952,500 Local Contribution 3,205 176,275 TOTAL $102,455 $5,635,025 (As Modified December 17, 2001) The estimated sources of funds for the District are contained in the table below. They have NOT increased but have been restated according the current reporting requirements of the Office of the State Auditor. SOURCES OF FUNDS Tax Increment Interest Revenue (replaces Local Contribution) Land Sale Proceeds PROJECT REVENUES Interfund Loans Transfers Bond Proceeds TOTAL $3,506,250 $176,275 $1,952,500 $57635~025 $4,800,000 $4,800,000 $4,800,000 Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-7 Subsection 2-12. Duration of Housing Redevelopment Tax Increment Financing District No. 1 Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of District No. 1 must be indicated within the Plan. Pursuant to M.S., Section 469.176, Subd. 1~), the duration of District No. 1 will be 25 years from the date of receipt of the first increment by the City or EDA. The date of receipt by the City of Columbia Heights of the first tax increment will be approximately 1999. Thus, it is estimated that District No. 1, including any modifications of the Plan for subsequent phases or other changes, would terminate after 2023, or when the Plan is satisfied. The City or EDA does reserve the right to decertify District No. 1 prior to the legally required date. (As Modified December 17, 2001) Pursuant to 3/I.S., Section 469.176, Subd. l(b), the duration of District No. 1 will be 25 years from the date of receipt of the first increment by the City or E.D.A. The date of receipt by the City of the first tax increment was 1998. Thus, it is estimated that District No. 1, including any modifications of the Plan for subsequent phases or other changes, would terminate after December 31, 2023 or when the Plan is satisfied. The City or E.D.A. reserves the right to decertify District No. 1 prior to the legal expiration date. Subsection 2-13. Estimated Impact on Other Taxing Jurisdictions The estimated impact on other taxing jurisdictions assumes construction which would have occurred ~vithout the creation of District No. 1. 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 EDA, the following estimated impact of District No. I would be as follows if the "but for" test was not met: IMPACT ON TAX BASE Anoka County I.S.D. No. 13 City of Columbia Heights 1996/1997 Estimated Captured Total Net Tax Capacity (CTC) Percent of CTC Tax Capacity Upon Project Completion to Enti _ty Total 147,999,763 94,400 0.0638% 12,947,050 94,400 0.7291% 7,960,658 94,400 1.1858% IMPACT ON TAX RATES 1996/1997 Percent Potential Extension Rates of Total CTC Taxes Anoka County 0.28000 18.95% 94,400 26,432 I.S.D. No. 13 0.84748 57.36% 94,400 80,002 City of Columbia Heights 0.29018 19.64% 94,400 27,393 Other 0.05986 4.05% 94,400 5,651 Total 1.477520 100.00% 139,478 Columbia Heights EDA Modification to the Tax Increment Financing Plan lbr Housing Redevelopment Tax Increment Financing District No. 1 2-8 The tax rate used for the calculations on the previous page is the 1996/Pay 1997 rate. The total net capacity for the entities listed above are based on Pay 1997 figures. The tax rate at which District No. 1 will be certified will be the same Pay 1997 tax rates. (As Modified December 17, 2001) The estimated impact for the proposed expansion parcels in District No. 1 on other taxing jurisdictions assumes that the redevelopment contemplated by the proposed Plan would occur without the expansion of District No. 1. However, the City and E.D.A. has determined that such development or redevelopment would not occur "but for" tax increment financing and that, therefore, the fiscal impact on other taxing jurisdictions is $0. The estimated fiscal impact of propsed expansion parcels ,vithin District no. 1 would be as follows if the "but for" test was not met: IMPACT ON TAX BASE Anoka County City of Columbia Heights Columbia Heights ISD No. 13 2000/2001 Estimated Captured Total Net Tax Capacity (CTC) Percent of CTC Tax Capaci _ty Upon Completion to Entity_ Total 189,341,459 14,180 0.0075% 8,818,621 14,180 0.1608'% 13,857,623 14,180 0.1023% IMPACT ON TAX RATES 2000/2001 Percent Potential Extension Rates of Total CTC Taxes Anoka County 26.432% 23.61% 14,180 3,748 City of Columbia Heights 30.564% 27.31% 14,180 4,334 Columbia Heights ISD No. 13 47.452% 42.39% 14,180 6,729 Other 7.487% 6.69% 14,180 1,062 Total l 11.935% 100.00% 15,872 The above impacts are based on the most current data available at the time the Plan was prepared, which is for taxes payable in 2001. Subsection 2-14. Modifications to Housing Redevelopment Tax Increment Financing District No. In accordance with MS., Section 469.175, Subd 4, any: 1. reduction or enlargement of the geographic area of Central Business District Redevelopment Project or District No. 1; 2. increase in amount of bonded indebtedness to be incurred, including a determination to capitalize interest on debt if that determination was not a part of the original plan, or to increase or decrease the amount of interest on the debt to be capitalized; Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-9 increase in the portion of the captured net tax capacity to be retained by the City or EDA; increase in total estimated tax increment expenditures; or designation of additional property to be acquired by the City or EDA, shall be approved upon the notice and after the discussion, public hearing and findings required for approval of the original plan. The geographic area of District No. 1 may be reduced, but shall not be enlarged after five years following the date of certification of the original net tax capacity by the county auditor. If a redevelopment district is enlarged, the reasons and supporting facts for the determination that the addition to the district meets the criteria ofM. S., Section 469.174, Subd. 10, paragraph (a), clauses (1) to (5), must be documented. The requirements of this paragraph do not apply if (I) the only modification is elimination of parcel(s) from Central Business District Redevelopment Project or District No. I and (2) (A) the current net tax capacity of the parcel(s) eliminated from District No. I equals or exceeds the net tax capacity of those parcel(s) in District No. l's original net tax capacity or (B) the EDA agrees that, notwithstanding M.S., Section 469.177, Subd. 1, the original net tax capacity xvill be reduced by no more than the current net tax capacity of the parcel(s) eliminated from District No. 1. The City or EDA must notify the County Auditor of any modification that reduces or enlarges the geographic area of District No. I or Central Business District Redevelopment Project. Modifications to Hgusing Redevelopment Tax Increment Financing District No. 1 in the form ora budget modification or an expansion of the boundaries will be recorded in the Plan. Subsection 2-15. Administrative Expenses In accordance with M.S., Section 469.174, Subd. 14, and M.S., Section 469.176, Subd. 3, administrative expenses means all expenditures of the City or EDA, other than: amounts paid for the purchase of land or amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the real property in the district; relocation benefits paid to or services provided for persons residing or businesses located in the district; or amounts used to pay interest on, fund a reserve for, or sell at a discount bonds issued pursuant to M.S., Section 469.178. Administrative expenses also include amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. Tax increment may be used to pay any authorized and documented administrative expenses for District No. 1 up to but not to exceed 10 percent of the total tax increment expenditures authorized by the tax increment financing plan or the total tax increment expenditures for Central Business District Redevelopment Project, whichever is less. Pursuant to M.S., Section 469.176, Subd. 4h, tax increments may be used to pay for the county's actual administrative expenses incurred in connection with District No. 1. The county may require payment of those expenses by February 15 of the year following the year the expenses were incurred. Pursuant to MS., Section 469. 177, Subd. 11, the county treasurer shall deduct an amount equal to 0.1 percent of any increment distributed to the City or EDA and the county treasurer shall pay the amount deducted to Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-10 the state treasurer for deposit in the state general fund to be appropriated to the State Auditor for the cost of financial reporting of tax increment financing information and the cost of examining and auditing authorities' use of tax increment financing. Subsection 2-16. Limitation of Increment Pursuant to MS., Section 469.176, Subd. l(a), no tax increment shall be paid to the City or EDA for District No. I after three (3) years from the date of certification of the Original Net Tax Capacity value of the taxable property in District No. 1 by the County Auditor unless within the three (3) year period: (a) bonds have been issued pursuant to M.S., Section 469.178, or in aid of a project pursuant to any other law, except revenue bonds issued pursuant to M.S., Sections 469.152 to 469.165, or (b) the City or EDA has acquired property within District No. 1, or (c) the City or EDA has constructed or caused to be constructed public improvements within District No. 1. The bonds must be issued, or the City or EDA must acquire property or construct or cause .public improvements to be constructed by approximately May, 2000. The tax increment pledged to the payment of bonds and interest thereon may be discharged and may be terminated if sufficient funds have been irrevocably deposited in the debt service fund or other escrow account held in trust for all outstanding bonds to provide for the payment of the bonds .at maturity or redemption date. Pursuant to M.S., Section 469.176, Subd. 6: if, after four years from the date of certification of the original net tax capacity of the tax increment financing district pursuant to M.S., Section 469.177, no demolition, rehabilitation or renovation of property or other site preparation, including qualified improvement ora street adjacent to a parcel but not installation o futility service including sewer or water systems, has been commenced on a parcel located within a tax increment financing district by the authority or by the owner of the parcel in accordance with the tax increment financing plan, no additional tax increment may be taken from thatparcel and the original net tax capacity of that parcel shall be excluded from the original net tax capacity of the tax increment financing district. If the authority or the owner of the parcel subsequently commences demolition, rehabilitation or renovation or other site preparation on that parcel including qualified improvement o fa street adjacent to that parcel, in accordance with the tax increment financing plan, the authority shall certify to the county auditor that the activity has commenced and the county auditor shall certify the net tax capacity thereof as most recently certified by the commissioner of revenue and add it to the original net tax capacity of the tax increment financing district. The county auditor must enforce the provisions of this subdivision... For purposes of this subdivision, qualified improvements o fa street are limited to (1) construction or opening of a new street, (2) relocation of a street, and (3) substantial reconstruction or rebuiMing of an existing street. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-11 The City or EDA or a property owner must improve parcels within District No. 1 by approximately May, 2001. Subsection 2-17. Use of Tax Increment The City or EDA hereby determines that it will use 100 percent of the captured net tax capacity of taxable property located in District No. I for the following purposes: 3. 4. 5. to pay the principal of and interest on bonds used to finance a project; to finance, or otherwise pay public redevelopment costs of the Central Business District Redevelopment Project pursuant to the M.S., Sections 469. 001 to 469. 047; to pay for project costs as identified in the budget; to finance, or otherwise pay for other purposes as provided in M..S., Section 469.176, Subd. 4; to pay principal and interest on any loans, advances or other payments made to the City or EDA or for the benefit of Central Business District Redevelopment Project by the developer; to finance or otherwise pay premiums and other costs for insurance, credit enhancement, or other security guaranteeing the payment when due of principal and interest on tax increment bonds or bonds issued pursuant to the Plan or pursuant to M.S., Chapter 462C and M.S., Sections 469.152 to 469.165, or both; and to accumulate or maintain a reserve securing the payment when due of the principal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C and M.S., Sections 469.152 to 469.165, or both. These revenues shall not be used to circumvent any levy limitations applicable to the City nor for other purposes prohibited by M.S., Section 469.176, subd. 4. Subsection 2-18. Notification of Prior Planned Improvements The City or EDA shall, after due and diligent search, accompany its request for certification to the County Auditor or its notice of District No. 1 enlargement with a listing of ali properties within District No. 1 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 MS., Section 469.175, Subd. 3. The County Auditor shall increase the original value of District No. 1 by the value of improvements for which a building permit was issued. Pursuant to MS., Section 469.177, Subd. 4, the EDA has reviewed the area to be included in Housing Redevelopment Tax Increment Financing District No. 1 and found four parcels for which building permits have been issued during the 18 months immediately preceding approval of the Plan by the City and EDA, as follows: 4038 Madison Street- $13,000 garage 4542 Heights Drive - $3,000 egress window and siding 2201 45th Ave. - $9,000 siding 4825 5th St.- $5~700 TOTAL - $3 0.700 Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-12 Subsection 2-19. Excess Tax Increments Pursuant to M.S., Section 469.176, Subd. 2, in any year in which the tax increment exceeds the amount necessary to pay the costs authorized by the Plan, including the amount necessary to cancel any tax levy as provided in M.S., Section 475.61, Subd. 3, the City or EDA shall use the excess amount to do any of the following: 2. 3. 4. prepay any outstanding bonds; discharge the pledge of tax increment therefor; pay into an escrow account dedicated to the payment of such bond; or return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in proportion to their local tax rates. In addition, the City or EDA may, subject to the limitations set forth herein, choose to modify the Plan in order to finance additional public costs in District No. 1 or Central Business District Redevelopment Project. Subsection 2-20. Requirements for Agreements with the Developer The City or EDA will review any proposal for private development to determine its conformance with the Modified Revitalization Plan and with applicable municipal ordinances and codes. To facilitate this effort, the following documents may be requested for review and approval: site plan, construction, mechanical, and electrical system drawings, landscaping plan, grading and storm drainage plan, signage system plan, and any other drawings or narrative deemed necessary by the City or EDA to demonstrate the conformance of the development with city plans and ordinances. The City or EDA may also use the Agreements to address other issues related to the development. Pursuant to M.S., Section 469.176, Subd. 5, no more than 25 percent, by acreage, of the property to be acquired in District No. 1 as set forth in the Plan shall at any time be owned by the City or EDA as a result of acquisition with the proceeds of bonds issued pursuant to M.S., Section 469.178, without the City, or EDA having, prior to acquisition in excess of 25 percent of the acreage, concluded an agreement for the development or redevelopment of the property acquired and which provides recourse for the City or EDA should the development or redevelopment not be completed. Subsection 2-21. Assessment Agreements Pursuant to M.S., Section 469.177, Subd. 8, the City or EDA may enter into anagreement in recordable form with the developer &property within District No. 1 which establishes a minimum market value &the land and completed improvements for the duration of District No. 1. The assessment agreement shall be presented to the assessor who shall review the plans and specifications for the improvements constructed, review the market value previously assigned to the land upon which the improvements are to be constructed and, so long as the minimum market value contained in the assessment agreement appear, in the judgment of the assessor, to be a reasonable estimate, the assessor may certify the minimum market value agreement. Subsection 2-22. Administration of Housing, Redevelopment Tax Increment Financing Dist. No. 1 Administration of District No. I will be handled by the Executive Director of the EDA of the City of Columbia Heights. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-13 Subsection 2-23. Financial Reporting Requirements A. Filing with State Auditor, County Auditor, County Board and School Board: Pursuant to M.S., Section 469.175, Subd. 5, the City or EDA must file an annual disclosure report for all tax increment financing districts, including District No. 1. The report shall be filed with the County Board, County Auditor, School Board, and the State Auditor on or before July 1 of each year. The report to be filed by the City or EDA shall include the following information: 5. 6. 7. 8. the amount and source of revenue in the tax increment account; the amount and purpose of expenditures from the account; the amount of any pledge of revenues, including principal and interest, on any outstanding bond indebtedness; the original net tax capacity of District No. 1; the captured net tax capacity retained by the City or EDA; the captured net tax capacity shared with other taxing districts; the tax increment received; and any additional information necessary to demonstrate compliance with the tax increment financing plan. B. Newspaper statement: M.S., Section 469.175, Subd. 5 also provides that an annual statement shall be published in a newspaper of general circulation in the City showing: 2. 3. 4. 5. 6. 7. the tax increment received and expended in that year, the original net tax capacity, captured net tax capacity, amount of outstanding bonded indebtedness, the amount of District No. l's increment paid to other governmental bodies, the amount paid for administrative costs, the sum of increments paid, directly or indirectly, for activities and improvements located outside of District No. 1, and any additional information the City or EDA deems necessary. C. State Auditor filing for District No. 1: Pursuant to M.S., Section 469.175, Subd. 6, the City or EDA must annually submit to the State Auditor, on or before July 1, a financial report which shall: provide for full disclosure of the sources and uses of the public funds in District No. 1; permit comparison and reconciliation with the City and EDA's accounts and financial reports; permit auditing of the funds expended on behalf of District No. I or that is funded in part or whole through the use ora development account funded with tax increments from other tax increment districts or with public money; and be consistent with generally accepted accounting principles. The financial report must also include the following: the original net tax capacity of District No. 1; the captured net tax capacity of District No. 1, including the amount of any captured net tax capacity shared with other taxing districts; Columbia Heights EDA Modification to the Tax Increment Financing Plan t'or Housing Redevelopment Tax Increment Financing District No. I 2-14 the amount budgeted under the Plan, and the actual amount expended for, at least, the following categories (for the reporting period and for the duration of District No. !): a. acquisition of land and buildings through condemnation or purchase; b. site improvements or preparation costs; c. installation of public utilities, parking facilities, streets, roads, sidewalks, or other similar public improvements; d. administrative costs, including the allocated cost of the city; e. public park facilities, facilities for social, recreational, or conference purposes, or other similar public improvements; and the total costs of the property to the City or EDA and the price paid the developers (for properties sold to developers); the amount of increments rebated or paid to developers or property owners for privately financed improvements or other qualifying costs, other than those reported under clause (3), that were issued on behalf of private entities for facilities located in District No. 1. D. State Auditor filing for all Tax Increment Financing Districts: Pursuant to M.S., Section 469.175, Subd. 6a, the City or EDA must also annually report to the State Auditor before or on July I of each year the following amounts for the entire City: the total principal amount of nondefeased bonds that are outstanding at the end of the previous calendar year; and the total annual amount of principal and interest payments that are due for the current calendar year on: (i) general obligation tax increment financing bonds and (ii) other tax increment financing bonds; and for each tax increment financing district within the City: 4 the type of tax increment financing district; the date on which the district is required to be decertified; the amount of any payments and the value of in-kind benefits, such as physical improvements and the uses of building space, that are financed with revenues derived from increments and are provided to another governmental unit (other than the municipality) during the preceding calendar year; the tax increment revenues for taxes payable in the current calendar year; whether the tax increment financing plan or other governing document permits increment revenues to be expended outside of each district; and any additional information that the State Auditor may require. Copies of this report must also be provided to the county and school district boards. Subsection 2-24. Municipal Approval and Public Purpose The reasons and facts supporting the findings for the adoption of the Tax Increment Financing Plan for District No. I as required pursuant to M.S., Section 469.175, Subd 3 are as follows: Finding that the District No. 1 is a redevelopment district as defined in M.S., Section 469.174, Subd. lO(a)(O. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1 2-15 District No. 1 is a redevelopment district consisting of 55 parcels, and qualifies because each noncontiguous parcel is occupied by improvements, and contains on substandard single-family or two-family home. Therefore each separate parcel independently meets all the tests for a redevelopment district under M.S., Section 469.174, Subd. 10 (a) (1). 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 reasonably foreseeable future 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 District No. I permitted by the Plan. Each parcel is occupied by a single family home in poor condition. Due to the high cost of renovation or clearance, such housing will continue to deteriorate. Due to the high cost of development or redevelopment on the parcels and the cost of financing, the redevelopment for new housing will occur only through assistance, in part, from tax increment financing. In most cases, significant other public and private assistance will be required as well. A comparative analysis of estimated market values both with and ~vithout establishment of Housing Redevelopment Tax Increment Financing District No. 1 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 District No. 1, the total increased market value would be up to $6,686,250. It is the Council's finding that no development with a market value of greater than $5,530,560 would occur without tax increment assistance in this district within 25 years. In fact, the Council is confident that no development of any kind would occur and market values would likely deteriorate. This finding is based upon evidence from general past experience with housing in the City (see Cashflow in Appendix C). Finding that the Tax Increment FinancbTg Plan for District No. 1 conforms to the general plan for the development or redevelopment of the municipality as a whole. The Plan ~vas reviewed by the Planning and Zoning Commission on May 6, 1997. The Planning and Zoning Commission found that the Plan conforms to the general development plan of the City. Finding that the Tax Increment Financing Plan for District No. 1 will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the development or redevelopment of Central Business District Redevelopment Project by private enterprise. The project to be assisted by Housing Redevelopment Tax Increment Financing District No. 1 will result in improved private housing stock in the City and the State of Minnesota, the renovation of substandard properties, increased tax base of the State and add a high quality development to the City. (As Modified December 17, 2001) The reasons and facts supporting the findings for the proposed expansion parcels of the Tax Increment Financing Plan for District No. I as required pursuant to M.S., Section 469.175, Subd. 3 are as follows: Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-16 Finding that the District No. I is a redevelopment district as defined in M.S., Section 469.174, Subd. ~ O(a)(O. The proposed expansion of District No. 1 consisting of 12 parcels, qualifies to be included in a redevelopment district because each noncontiguous parcel is occupied by improvements, and contains on substandard single-family or two-family home. Therefore each separate parcel independently meets all the tests for a redevelopment district under M.S., Section 469.174, Subd 10 (a)(1). Finding that the proposed development, in the opinion of the City Council, wouM not reasonably be expected to occur solely through private investment within the reasonably foreseeable future and that the increased market value of the site that couM 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 District No. 1 permitted by the Plan. Each parcel is occupied by a single family home in poor condition. Due to the high cost of renovation or clearance, such housing will continue to deteriorate. Due to the high cost of development or redevelopment on the parcels and the cost of financing, the redevelopment for new housing will occur only through assistance, in part, from tax increment financing. In most cases, significant other public and private assistance will be required as well. A comparative analysis of estimated market values both ~vith and without the proposed expansion of Housing Redevelopment Tax Increment Financing District No. 1 and the use of tax increments has been performed as described above. If ail development which is proposed to be assisted with tax increment for the proposed expansion were to occur in District No. 1, the total increased market value would be up to $1,620,000. It is the Council's finding that no development with a market value of greater than $819,126 would occur without tax increment assistance in this district within 20 years. In fact, the Council is confident that no development of any kind would occur and market values would likely deteriorate. This finding is based upon evidence from general past experience with housing in the City (see Cashflow in Appendix C). Finding that the Tax Increment Financing Plan for District No. 1 conforms to the general plan for the development or redevelopment of the municipality as a whole. The Plan was reviewed by the Planning and Zoning Commission on May 6, 1997. The Planning and Zoning Commission found that the Plan conforms to the general development plan of the City. Finding that the Tax Increment Financing Plan for District No. 1 will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the development or redevelopment of Central Business District Redevelopment Project by private enterprise. The project to be assisted by Housing Redevelopment Tax Increment Financing District No. I will result in improved private housing stock in the City and the State of Minnesota, the renovation of substandard properties, increased tax base of the State and add a high quality development to the c~ty. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-17 Subsection 2-25. Fiscal Disparities Election Pursuant to M.S., Section 469.177, Subd. 3, the City or EDA may elect one of two methods to calculate fiscal disparities. If the calculations pursuant to M.S., Section 469.177, Subd 3, clause a, (outside District No. 1) are followed, the following method of computation shall apply: The original net tax capacity and the current net tax capacity shah be determined before the application of the.fiscal disparity provisions of Chapter 276,4 or 473F. Where the original net tax capacity is equal to or greater than the current net tax capacity, there is no captured net tax capacity and no tax increment determination. Where the original net tax capacity is less than the current net tax capacity, the difference between the original net tax capacity and the current net tax capacity is the captured net tax capacity. This amount less any portion thereof ~vhich the authority has designated, in its tax increment financing plan, to share with the local taxing districts is the retained captured net tax capacity of the authority. The county auditor shall exclude the retained captured net tax capacity of the authority from the net tax capacity of the local taxing districts in determining local taxing district tax rates. The local tax rates so determined are to be extended against the retained captured net tar capacity of the authority as well as the net tax capacity of the local taxing districts. The tax generated by the extension of the lesser of(A) the local taxing district tax rates or (B} the original local tax rate to the retained captured net tax capacity of the authority is the tax increment of the authority. If the calculations pursuant to ~S., Section 469.177, Subd. 3, clause b, (within District No. 1 ) are followed, the following method of computation shall apply: The original net tar capacity shah be determined before the application of the .fiscal disparity provisions of Chapter 276A or 473F. The current net tax capacity shall e:cclude any fiscal disparity commercial-industrial net tax capacity increase between the original year and the current year multiplied by the fiscal disparity ratio determined pursuant to M.S., Section 276A.06, subdivision 7 or M.S., Section 473F. 08, subdivision 6. Where the original net tax capacity is equal to or greater than the current net tax capacity, there is no captured tax capacity and no tax increment determination. Where the original tax capacity is less than the current tax capacity, the difference between the original net tax capacity and the current net tax capacity is the captured net tax capacity. This amount less any portion thereof which the authority has designated, in its tax increment financingplan, to share with the local taxing districts is the retained captured net tax capacity of the authority. The county auditor shall exclude the retained captured net tax capacity of the authority from the net tax capacity of the local taxing districts in determining local taxing district tax rates. The local tax rates so determined are to be extended against the retained captured net tar capacity of the authority as well as the net tax capacity of the local taxing districts. The tax generated by the extension of the less of(A) the local taxing district tax rates or (By the original local tax rate to'the retained captured net tax capacity of the authority is the tax increment of the authority. The Ci~ or EDA shall submit to the County Auditor at the time of the request for certification xvhich method Columbia Heights EDA Modification to the Tax lnctement Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-18 of computation of fiscal disparities the City or EDA elected. As the project to be assisted is not anticipated to include commercial/industrial development, the City of Columbia Heights will not incur any fiscal disparities because of this Tax Increment Financing District. According to M.S., Section 469.177, Subd. 3: The method of computation of tax increment applied to a district pursuant to paragraph (a) or (b) shah remain the same for the duration of the district, except that the governing body may elect to change its election from the method of computation in paragraph (a) to the method in paragraph (b). Subsection 2-26. Other Limitations on the Use of Tax Increment General Limitations. All revenue derived from tax increment shall be used in accordance with the Plan. The revenues shall be used to finance, or otherwise pay public redevelopment costs of the Central Business District Redevelopment Project pursuant to the M.S., Sections 469. 001 to 469. 047; These revenues shall not be used to circumvent existing levy limit law. No revenues derived from tax increment shall be used for the acquisition, construction, renovation, operation or maint~'nance of a building to be used primarily and regularly for conducting the business of a municipality, county, school district, or any other local unit of government or the state or federal government. This provision shall not prohibit the use of revenues derived from tax increments for the construction or renovation of a parking structure, a commons area used as a public park or a facility used for social, recreational or conference purposes and not primarily for conducting the business of the municipality. Pooling Limitations. At least 75 percent of tax increments from DistrictNo. 1 must be expended on activities in District No. 1 or to pay bonds, to the extent that the proceeds of the bonds were used to finance activities within said district or to pay, or secure payment of, debt service on credit enhanced bonds. Not more than 25 percent of said tax increments may be expended, through a development fund or otherwise, on activities outside of District No. 1 except to pay, or secure payment of, debt service on credit enhanced bonds. For purposes of applying this restriction, all administrative expenses must be treated as if they were solely for activities outside of District No. 1. Five Year Limitation on Commitment of Tax Increments. Tax increments derived from District No. 1 shall be deemed to have satisfied the 75 percent test set forth in paragraph (2) above only if the five year rule set forth in M.S., Section 469.1763, Subd. 3, has been satisfied; and beginning with the sixth year following certification of District No. 1, 75 percent of said tax increments that remain after.expenditures permitted under said five year rule must be used only to pay previously committed expenditures or credit enhanced bonds as more fully set forth in M.S., Section 469.1763, Subd. 5. Redevelopment District. At least 90 percent of the revenues derived from tax increment from a redevelopment district must be used to finance the cost of correcting conditions that allow designation of redevelopment and renewal and renovation districts under M.S., Section 469.174. These costs include acquiring properties containing structurally substandard buildings or improvements, acquiring adjacent parcels necessary to provide a site of sufficient size to permit Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2o19 development, demolition of structures, clearing of the land, and installation of utilities, roads, sidewalks, and parking facilities for the site. The allocated administrative expenses of the City or EDA may be included in the qualifying costs. Subsection 2-27. State Tax Increment Financing Aid Pursuant to M..S., Section 273.1399, for tax increment financing districts for which certification was requested after April 30, 1990, a municipality incurs a reduction in state 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 EDA may choose an option to the LGA-HACA penalty. District No. 1 is exempt from the LGA-HACA reduction if the City or EDA 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 EDA 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 EDA 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 EDA, 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 or developer payments. The local contribution must be used to pay project costs and cannot be used for general government purposes. The EDA elects to make the annual local contribution to the project to exempt itself from the LGA- HACA penalty. The City, or EDA will pay for costs of the project described in this Plan, in an amount equal to 5 percent of annual tax increment for District No. I, 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 EDA or other unit of government with unrestricted funds. (As Modified December 17, 2001) The 2001 Legislature eliminated the provisions for a reduction in state tax increment financing aid (RISTIFA) or the alternative qualifying local contribution. Subsection 2-28. Count. Road Costs Pursuant to 3d.S., Section 469.175, Subd. Ia, the county board may require the City or EDA to pay for all or part of the cost of counW 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. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing Dislrict No. I 2-20 In the opinion of the City and EDA 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 EDA within thirty days of receipt of this Plan. (As Modified December 17, 2001) Subsection 2-29. Supporting Documentation Pursuant to M.S. Section 469.175 Subd 1, clause 7 the Plan must contain identification and description of studies and analyses used to make the determination set forth in M.S. Section 469.175 Subd3, clause (2). A list of reports and studies that support the authority's findings are on file at the E.D.A. Subsection 2-30. Summary The Columbia Heights EDA is establishing Housing Redevelopment Tax Increment Financing District No. 1 to preserve and enhance the tax base, redevelop substandard areas, and provide employment opportunities in the City. The Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1 was prepared by Ehlers and Associates, Inc., 2950 Norwest Center, 90 South Seventh Street, Minneapolis, Minnesota 55402-4100; telephone (612) 339-8291. (As ~glodified December 17, 2001) The Columbia Heights EDA is expanding Housing Redevelopment Tax Increment Financing District No. 1 to continue to preserve and enhance the tax base, redevelop substandard areas, and provide employment opportunities in the City.. The modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. 1 was prepared by Ehlers & Associates, Inc., 3060 Centre Pointe Drive, Roseville, Minnesota 55113-1105, telephone (651) 697-8500. Columbia Heights EDA Modification to the Tax Increment Financing Plan for Housing Redevelopment Tax Increment Financing District No. I 2-21 APPENDIX A BOUNDARY MAPS OF CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AND HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 APPENDIX A-I Illlllllllllll IIII Jill llllll illillllllllllllllllll J]lllllll II IIIlitlJllilllllll I ltllll[ll IIIlllllll-~ II I 111111111t111__ -- I J I I I I III I111111111111 ~[]] l~1 tll I1 II1111111111111111111111__ II'lllflllllllt III I .LIII IJlll III IIIIIH I i IIIJlll]l IIHI IIIIit1111111tllt IllIIIIIIIIIII __ Itll It111111 IIII1111ttll -- t,.) 0 APPENDIX B LEGAL DESCRIPTION OF PROPERTY TO BE INCLUDED IN CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AND HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 The legal description of the Central Business District Redevelopment Project is being modified to include all property located ~vithin the corporate limits of the City of Columbia Heights. The legal description of property to be included in Housing Redevelopment Tax Increment Financing District No. I includes the following properties: APPENDIX Address Land Value Bldg Value Total Value 3831 Main St. 23,900 33,600 57,500 4045 Main St. '22,500 3'0,400 52,900 4309 Main St. 19,100 33,800 52,900 4341 Main St. 19,100 3'2,700' 51,800 3855 Main St. 19,100 2'6,100" 45,2'00 3802 2nd St. 19,100 33,400 '" 52,500 4021 2nd St. 23,900 36,000 59,900 4404 2 ~ St. 23,9~0 49,200 73,100 4323 3rd St. 26,700 29,700 56,400 3700 2 ½ St. 19,100 26,800 45,900 395~J' Lookout PI. 23,900 30,300' 54,200 546 Summit St. 18,100 18,800 36,900 544 Summit St. 13,800 11,400 25,200 3818 Quincy St. 20,800 42,900 63,700 3913 Polk St. 20,900 37,500 58,400 3823 Polk St. '20,900 22,500 43,400 1513 37th St. 27,500 31,400 58,900 5057 University Ave. '58,500 ~,400 ' 62,900 4417 University Ave. 321~0'0 5,300 ' 3'),800 3i 5 44th Ave. 22106'0 '5,700 27,700 4516 4th St. 23,100 38,600 61,700 4538 4th St. 23,100 28,700 51,800 4421 5th St. 19,100 36,500 55,600 4533 7th St. 21,000 32,900 53,900 B-1 4401 Quincy St. 22,000 46,000 68,000 4321 5th St. 32,500 37,200 69,700 4033 6th St. '] 8,100 35,700 53,800 4038 7th St. 19,100 29,700 48,800 4131 7th St. 21,000 29,400 50,400 4153 7th St. 19,100 38, I00 57,2(J0 4240 Jefferson St. 22,000 37,000 59,000 4038 Madison St. 19,100 37,600 56,700 4032 Madison St. 23,900 36,400 60,30'0 4048 Quincy St. 22,000 16,900 38,900 4145 Quincy St. 19,100 33,000 52,100 965 43rd Ave. 231100 37,800 60,900 1032 44th Ave. 22,000 30,100 52,100 1124 44th Ave. 22,000 32,500 54,500 4044 Tyler St. 25,300 37,200 62,500 4246 Polk St'. 25,300 53,400 78,700 1827 41 st Ave. 20,900 40,200 61, 100 4'400 Stinson St. 3,1,800 · 8,800 ' 50,'600 4542 Height~ Dr. 24,900 29,500 54,400 220'1 45th Ave. 27,30'0 ' 53,000 8'0,300 1331 45th Ave. ~6,000 61,100 87,100 1124-26 45th A~,e. 22,000 50,500 72,500 1 I18-1'6 45th Ave. 22,000 50,300 72,300 4525-27 Taylor St. 22,000 53,100 75,100 4529 -31 Taylor St. 22,000 47,006' 69,'000 4539 Filmore St. 22,000 43,900 65,900 4825 5th St. 23,100 30,300 53,400 4806 6th St. 21,000 '42,600' " 63,600 4916 6th st. 21,000 47,200 68,200 4929 6th St. 21,000 35,000 56,000 5101 7th St. 21,000 20,300 41,300 APPENDIX B-2 (As Modified December 17, 2001) The property to be included in Housing Redevelopment Tax Increment Financing District No. 1 is being modified to add the following properties: Parcel Number Key Address Land Bldg Total Limited Number Value Value Value Mkt Val E26-30-24-43-0097 00293738 4656 NE 31,300 0 31,300 31,300 Monroe St R35-30-24-33-0025 00264065 3805 NE 2"d St 48,800 31,400 80,200 63,300 R35-30-24-21-0122 00280939 4356 NE 5th St 39,000 41,300 80,300 67,600 R35-30-24-21-0155 00281251 4328NE 6th St 39,000 20,600 59,600 45,300 R35 30 24 21 0104 00268007 320 NE 44th Ave 44,900 8,600 53,500 37,900 R35-30-24-21-0099 00267954 330 NE 44~h Ave 39,000 35,600 74,600 61,500 R36-30-24-34-0030 00247487 3701 NE 43,800 52,800 96,600 86,100 Buchanan St R36-30-24-22-0043 00283446 4435 NE 48,400 17,000 65,400 65,400 Central Ave R36-30-24-22-0042 00283437 4441 NE 48,400 27,500 75,900 75,900 Central NE R35-30-24-32-0060 00264387 3919 NE Main 46,300 39,400 85,700 71,800 St R35-30-24-22-0094 00254192 4447 Main St 46.300 0 46,300 31,900 NE R35-30-24-22-0126 00281974 4358 NE 3rd St 46,800 18,800 65,600 51,600 APPENDIX B-3 APPENDIX C ESTIMATED CASH FLOW FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. APPENDIX C-I CITY OF COLUMBIA HEIGHTS, MINNESOTA HOUSING TAX INCREMENT FINANCING DISTRICT #1 T.I.F. CASH FLOW ASSUMPTIONS - LOCAL MATCH Pay-As-You-Go Interest Rate: Tax Extension Rate: Inflation Rate: BASE VALUE INFORMATION 9.000% 111.935% 0.0000% Pay 2001 Total MV* Classification 2 Parcels 656,200 Res Hst Total All but 2 parcels are calculated using the P2002 limited market value. ** Tax capacity has been calculated using P2001 classification percentages. PROJECT VALUE INFORMATION Tax Capacity** 6,628 Type of Tax Increment District: Number of Units: Class Rates: Single Family Single Family Estimated Market Value On all Projects: Estimated Total Market Value per Unit Estimated Tax Capacity per Unit Estimated Total Tax Capacity: Estimated Taxes: Estimated Taxes Per Unit: $76,000 $76,000 Redevelopment 12 3.40% 1.00% 1.65% 1,620,000 135,000 1,734 20,808 23,291 1,941 Pay 2002 Pay 2001 Pay 2001 BUT / FOR ANALYSIS Current Market Value - Est. New Market Value - Est. Difference Present Value of Tax Increment Difference Value Likely to Occur Without TIF is Less Than: 656,200 1,620,000 963,800 144,674 819,126 Ehlers and Associates, Inc. Appendix C Estimated Casldlow for Expansion Parcel List .4s 31odified December 17, 2001 11/12/Ol CITY OF COLUMBIA HEIGHTS, MINNESOTA HOUSING TAX INCREMENT FINANCING DISTRICT #1 Base Project Captured Semi-Annual *Estimated Admin Semi-Annual Years PERIOD BEGINNING Tax Tax Tax Gross Tax OSA Fee @ Al Net Tax Of PERIOD ENDING Yrs. Mth. Yr. Capacity Capacity .Capacity Increment 0.50% 10.00% Increment Increment Yrs. Mth. Yr. 0.0 08-01 1996 0 0.0 0.0 02-01 1997 0.0 02-01 1997 0 0.0 0.0 08-01 1997 0.0 08-01 1997 6,628 6,628 0 0 0 0 0 0.0 0.0 02-01 1998 0.5 02-01 1998 6,628 6,628 0 0 0 0 0. 0.0 0.5 08-01 1998 1.0 08-01 1998 6,628 6,628 0 0 0 0 0 0.0 1.0 02-01 1999 1.5 02-01 1999 6,628 6,628 0 0 0 0 0 0.0 1.5 08-01 1999 2.0 08-01 1999 6,628 6,628 0 0 0 0 0 0.0 2.0 02-01 2000 2.5 02-01 2000 6,628 6,628 0 0 0 0 0 0.0 2.5 08-01 2000 3.0 08-01 2000 6,628 6,628 0 0 0 0 0 0.0 3.0 02-01 2001 3.5 02-01 2001 6,628 6,628 0 0 0 0 0 0.0 3.5 08-01 2001 4.0 08-01 2001 6,628 6,628 0 0 0 0 0 0.0 4.0 02-01 2002 4.5 02-01 2002 6,628 6,628 0 0 0 0 0 0.0 4.5 08-01 2002 5.0 08-01 2002 6,628 6,628 0 0 0 0' 0 0.0 5.0 02-01 2003 5.5 02-01 2003 6,628 6,628 0 0 0 0~ 0 0.0 6.0 08-01 2003 6.0 08-01 2003 6,628 6,628 0 0 0 0' 0 0.0 6.5 02-01 2004 6.5 02-01 2004 6,628 20,808 14,180 7,936 (40) (790 7,107 0.5 7.0 08-01 2004 7.0 08-01 2004 6,628 20,808 14,180 7,936 (40) (790t 7,107 1.0 7.5 02-01 2005 7.5 02-01 2005 6,628 20,808 14,180 7,936 (40) (790 7,107 1.5 8.0 08-01 2005 8.0 08-01 2005 6,628 20,808 14,180 7,936 (40) (790 7,107 2.0 8.5 02-01 2006 8.5 02-01 2006 6,628 20,808 14,180 7,936 (40) (790' 7,107 2.5 9.0 08-01 2006 9.0 08-01 2006 6,628 20,808 14,180 7,936 (40) (7901 7,107 3.0 9.5 02-01 2007 9.5 02-01 2007 6,628 20,808 14,180 7,936 (40) (7901 7,107 3.5 10.0 08-01 2007 10.0 08-01 2007 6,628 20,808 14,180 7,936 (40) (790'. 7,107 4.0 10.5 02-01 2008 10.5 02-01 2008 6,628 20,808 14,180 7,936 (40) (790' 7,107 4.5 11.0 08-01 2008 11.0 08-01 2008 6,628 20,808 14,180 7,936 (40) (7901 7,107 5.0 11.5 02-01 2009 11.5 02-01 2009 6,628 20,808 14,180 7,936 (40) (7901 7,107 5.5 12.0 08-01 2009 12.0 08-01 2009 6,628 20,808 14,180 7,936 (40) (790', 7,107 6.0 12.5 02-01 2010 12.5 02-01 2010 6,628 20,808 14,180 7,936 (40) (7901 7,107 6.5 13.0 08-01 2010 13.0 08-01 201.0 6,628 20,808 14,180 7,936 (40) (7901 7,107 7.0 13.5 02-01 2011 13.5 02-01 2011 6,628 . 20,808 14,180 7,936 (40) (790'~ 7,107 7.5 14.0 08-01 2011 14.0 08-01 2011 6,628 20,808 14,180 7,936 (40) (790; 7,107 8.0 14.5 02-01 2012 14.5 02-01 2012 6,628 20,808 14,180 7,936 (40) (790', 7,107 8.5 15.0 08-01 2012 15.0 08-01 2012 6,628 20,808 14,180 7,936 (40) (790'~ 7,107 9.0 15.5 02-01 2013 15.5 02-01 2013 6,628 20,808 14,180 7,936 (40) (790', 7,107 9.5 16.0 08-01 2013 16.0 08-01 2013 6,628 20,808 14,180 7,936 (40) (790) 7,107 10.0 16.5 02-01 2014 16.5 02-01 2014 6,628 20,808 14,180 7,936 (40) (7901 7,107 10.5 17.0 08-01 2014 17.0 08-01 2014 6,628 20,808 14,180 7,936 (40) (790) 7,107 11.0 17.5 02-01 2015 17.5 02-01 2015 6,628 20,808 14,180 7,936 (40) (790) 7,107! 11.5 18.0 08-01 2015 18.0 08-01 2015 6,628 20,808 14,180 7,936 (40) (790) 7,1071 12.0 18.5 02-01 2016 18.5 02-01 2016 6,628 20,808 14,180 7,936 (40) (790) 7,107 12.5 19.0 08-01 2016 19.0 08-O1 2016 6,628 20,808 14,180 7,936 (40) (790) 7,107 13.0 19.5 02-01 2017 19.5 02-01 2017 6,628 20,808 14,180 7,936 (40) (790) 7,107 13.5 20.0 08-01 2017 20.0 08-01 2017 6,628 20,808 14,180 7,936 (40) (790) 7,107 14.0 20.5 02-01 2018 20.5 02-01 2018 6,628 20,808 14,180 7,936 (40) (790) 7,107 14.5 21.0 08-01 2018 21.0 08-01 2018 6,628 20,808 14,180 7,936 (40) (790 7,107 15.0 21.5 02-01 2019 21.5 02-01 2019 6,628 20,808 14,180 7,936 (40) (790 7,107 15.5 22.0 08-01 2019 22.0 08-01 2019 6,628 20,808 14,180 7,936 (40) (790 7,107 16.0 22.5 02-01 2020 22.5 02-01 2020 6,628 20,808 14,180 7,936 (40) (790' 7,107 16.5 23.0 08-01 2020 23.0 08-01 2020 6,628 20,808 14,180 7,936 (40) (7901 7,107 17.0 23.5 02-01 2021 23.5 02-01 2021 6,628 20,808 14,180 7,936 (40) (7901 7,107 17.5 24.0 08-01 2021 24.0 08-01 2021 6,628 20,808 14,180 7,936 (40) (790', 7,107 18.0 24.5 02-01 2022 24.5 02-01 2022 6,628 20,808 14,180 7,936 (40) (790', 7,107 18.5 25.0 08-01 2022 25.0 08-01 2022 6,628 20,808 14,180 7,936 (40) (7901 7,107 19.0 25.5 02-01 2023 25.5 02-01 2023 6,628 20,808 14,180 7,936 (40) . (790', 7,?07 19.5 26.0 08-01 2023_ Totals 309,511 {1,548) (30,810'~ 277,154 . Present Values 144,674 {723) {14,401'~ 129,549 ~ · OSA Fee is subject to change annua~y Ehlers and Associates, thC, Appendix C Estimated Cashflow for Expansion Parcel List Modified December 17, 2001 t 1/12/01 CITY OF COLUMBIA HEIGHTS, MINNESOTA HOUSING TAX INCREMENT FINANCING DISTRICT T.I.F. CASH FLOW ASSUMPTIONS - LOCAL MATCH Pay-As-You-Go Interest Rate: 9.000% Tax Extension Rate: 1.47752 Inflation Rate: 0,0000% BASE VALUE INFORMATION Pay1996 Tax MV Per Unit # Units Market Value Capacit7 Vadous 25,000 55 1,375,000 13.750 Total 13,750 PROJECT VALUE INFORMATION Type of Tax Increment District: Number of Units: Class Rates: Apt. >4 units Market Single Family <$72k Single Family >$72k 3.4000% 1.0000% 2.0000% Housing 55 Estimated Market Value On all Projects: *assumes each new house worth at least $72.000 Estimated Total Market Value per Unit Estimated Additonal Market Value Per Unil: Estimated Tax Capacity: Estimated Taxes: Estimated Taxes Per Unit: 6,700,000 Pay 99 147,000 122,000 94,400 Pay 99 139,478 2,536 Ii BUT / FOR ANALYSIS ~rent Market Value ~ -- - -- ew Market Value - Est. Difference resent Value ol Tax Increment Difference alue Likely lo Occur Wilhoul TIF is Less Than: 13.750t 6,686,250~ 1,155,690~ 5,530,560[ s,s3o,$~o/ IMPACT ANALYSIS TAX CAPACITIES A. noka County 147.999,763 94,400 0.064% LS.O. No. ~13 12.947.050 94,40(3 0.729% ~ity of Columbia HeiSts 7,960,658 94.400 1.186% ~.,3oka County 0.280000 94,400 26,432 I.S.D. No. 13 0.847480 94,400 80,002 :ity of Columbia Heights 0.290180 94,400 27.393 :~ther 0.059860 94.400 5.651 1.477520 139,47~ Appendix C Estimated Cashflow for Original Parcels Ehlers and Associates, Inc. 05~7/97 Page 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA HOUSING TAX INCREMENT FINANCING DISTRICT #1 TAX INCREMENT CASH FLOW Base Project Captured Semi-Annual Admin. Semi-Annual "Local Match Years PERIOD BEGINNING Tax Tax Tax Gross Tax at Net Tax ' at Of PERIOD ENDING Yrs. Mth. Yr. Capacity Capacib/ Capacil¥ Increment 10.10% Increment 5.00% increment Yrs. MIh. Yr. 0.0 08-01 1996 0 0.0 0.5 02.-01 '1997 0.0 02-01 1997 0 0.0 0.5 08-01 1997 0.0 08-01 1997 13,750 13,750 0 0 0 0 O 0.0 0.5 02-01 1998 0.5 02-01 1998 13,750 13,750 0 O 0 0 0 0.0 1.0 08-O1 1998 1.O 08-01 1998 13,750 13,750 0 0 0 0 0 0.0 1.5 02-01 1999 1.5 02-01 1999 13.750 13,750 0 0 0 0 0 0.0 2.0 08-01 1999 2.0 08-01 1999 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 0.5 2.5 O2-01 2000 2.5 02-01 2000 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 1.0 3.0 08-01 2000 3.0 08-01 2000 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 1.5 3.5 02-01 2001 3.5 02-01 2001 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 2.0 4.0 08-01 2001 4.0 08-01 2001 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 2.5 4.5 02-01 2002 4.5 02-01 2002 13,750 108,150 94,400 69,739 (7,004) 62,695 3,487 3.0 5.0 08-01 2002 5.0 08-01 2002 13.750 108,150 94,400 69,739 (7,044) 62,695 3,487 3.5 5.5 02-01 2003 5.5 02-01 2003 13.750 108,150 94,400 69.739 (7,044) 62.695 3,487 4.0 6.0 08-01 2003 6.0 08-O1 2003 13,750 108,150 94,400 69,739 (7,004) 62,695 3,487 4.5 6.5 02-01 2004 6.5 02-01 2004 13,750 108,150 94.400 69,739 (7,044) 62.695 3,487 5.0 7.0 08-01 2004 7.0 08-O1 2004 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 5.5 7.5 02-01 2005 7.5 02-01 2005 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 6.0 8.0 0801 2005 8.0 08-01 2005 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 6.5 8.5 02-01 2006 8.5 02-01 2006 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 7.0 9.0 08-01 2006 9.0 08-01 2006 13,750 108.150 94,400 69,739 (7,044) 62,695 3,487 7.5 9.5 02-01 2007 9,5 02-O1 2007 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 8.0 10.0 O8-O1 2007 10.0 08-01 2007 13,750 108.150 94,400 69.739 (7,044) 62,695 3,487 8.5 10.5 02-01 2008 10.5 02-01 2008 13,750 108,150 94,400 69,739 (7,004) 62,695 3,487 9.0 11.0 08-01 2008 11.0 08-01 2008 13,750 108.150 94,400 69,739 (7,044) 62,695 3,487 9.5 11.5 02-01 2009 11.5 02-01 2009 13,750 108,150 94,400 69,739 (7,044) 62.695 3,487 10.O 1'2.0 O8-01 2009 12.0 08-O1 2009 13.750 108,150 94,400 69,739 (7,044) 62,695 3,487 10.5 12.5 02-01 2010 12.5 02-01 2010 13,750 108,150 94,400 69,739 {7,044) 62.695 3.487 11.O 13.0 08-01 2010 13.0 08-01 2010 13.750 108,150 94,400 69,739 (7,044) 62,695 3,487 11.5 13.5 02-01 2011 13.5 02-01 2011 13.750 108,150 94,400 69.739 (7,044) 62,695 3,487' 12.O 14.0 08-01 2011 14.0 08-01 2Oll 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 12.5 14.5 02-01 2012 14.5 02-01 2012 13.750 108,150 94,400 69,739 (7,044) 62.695 3,487' 13.O 15.0 .08-01 2012 15.0 08-01 2012 13,750 108,150 94,400 69,739 (7,044) 62.695 3,487 13.5 15.5 02-01 2013 15.5 02-01 2013 13,750 108.150 94,400 69,739 (7,044) 62,695 3,487 14.0 16.0 08-01 2013 16.0 08-01 2013 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 14.5 16.5 02-01 2014 16.5 02-01 2014 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 15,0 17.0 08-01 2014 17.0 08-01 2014 13,750 108,150 94,400 69.739 (7,044) 62.695 3,487 15.5 17.5 02-01 2015 17.5 02-O1 2015 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487~ 16,0 18.0 08-01 2015 18.0 08-01 2015 13,750 108,150 94,400 69.739 (7,044) 62,695 3,487 16.5 18.5 02-01 2016 18.5 02-01 2016 13,750 108,150 94.400 69,739 (7,044) 62,695 3,487 17.0 19.0 08-01 2016 19.0 08-01 2016 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 17.5 19.5 02-01 2017 19.5 02-01 2017 13,750 108,150 94,400 69,739 (7,044) 62.695 3,487 18.O 20.0 08-01 2017 20.0 08-01 2017 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 18.5 20.5 02-01 2018 20.5 02-01 2018 13,750 108,150 94,400 69.739 (7,044) 62,695 3,487 19.0 21.0 08-01 2018 21.0 08-01 2018 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 19.5 21.5 02-01 2019 21.5 02-01 2019 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 20.0 22.0 08-01 2019 22.0 08-01 2019 13,750 108,150 94,400 69.739 (7,044) 62,695 3,487 20.5 22.5 02-01 2020 22.5 02-01 2020 13,750 108,150 94,400 69,739 (7,044) 62.695 3,487 21.0 23.0 08-01 2020 23.0 08-01 2020 13,750 108,150 94,400 69.739 (7,044) 62,695~ 3,487 21.5'23.5 02-01 2021 23.5 02-01 2021 13,750 108,150 94,400 69,739 (7,044) 62,695 3,487 22.0 24.0 08-01 2021 24.0 08-01 2021 13,750 108,150 94,400 69.739 (7,044) 62.695 3,487 22.5 24.5 02-01 2022 24.5 02-01 2022 13,750 108,150 94,400 69,739 (7.044) 62.695 3,487 23.0 25.0 08-01 2022 25.0 08-01 2022 13,750 108,150 94,400 69.739 (7,044) 62.695 3,487, 23.5 25.5 02-01 2023 25.5 02-01 2023 13.750 108,150 94.400 69,739 (7,044) 62,695 3,4871 24.0 26.0 08-01 2023 26.0 08-01 2023 13,750 108,150 94,400 69,739 (7.004) 62.695 3.487~ 24.5 26.5 02-01 2024 26.5 02-01 2024 13,750 108,150 94,400 69,739 {7,044) 62,695 3,487 25.0 27.0 08-01 2024 Totals 3,486,~i47 (352,182) 3,134,766 174,347 Present Values 1,155.690 I116,725) , . 1,038,96.~ 57,784 Appendix C Estimated Cashflow for Original Parcels Ehiers and Associates, Inc. 05/27/97 Page 2 APPENDIX D REDEVELOPMENT QUALIFICATIONS FOR HOUSING REDEVELOPMENT TAX INCREMENT FINANCING DISTRICT NO. 1 The redevelopment qualifications for the expansion parcels are on file at office of the Columbia Heights Economic Development Authority. APPENDIX D-I 5-28-1997 12:27PM FROH COHMUN~TY DEV.- CH 6127S22857 P. 2 CITY OF COLUMBIA HEIGHTS (I-) 30 40TH AVENUE N,E,, COLUMBIA HEIGHTS, MN 55421-3BTB (612) 782-2B00 TDD 782-2806 BUILDING INSPECTION May 9, 1997 Kenneth R. Anderson Community Development Director City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, MN 55421 HOUSING REDEVELOPMENT TAX INCREMENT ~'i-~'ANCING DISTRICT NO. · (R£DEVELO~MENT DISTRICT) Dear Mr. Anderson: In April of 1997 I conducted a visual windshield survey of residential properties in the City of Columbia Heights, Minnesota. I have identified fifty-five (55) properties in the City with residential structures which are deemed to be structurally substandard in accordance with requirements of Minnesota Statutes, Section 469.174, Subdivision 10. I hereby certify that each of the fifty-five parcels are occupied by buildings which are substandard based upon their size, age, building-type, and/or condition. Furthermore, based upon my general knowledge of the area and similar types of housin~ in order to bring the building(s) into compliance with current codes the average cost of plumbing, electrical, or structural repairs for each structure will exceed fifteen (15) percent of the cost of ..constructing a new structure of the same square footage and type on the site. This certification applies to each property listed in Appendix B and included in the Housing Redevelopment Tax Increment Financing District No. 1 Plan. If you have other questions, please do not hesitate to contact me. Mel Collova Building Official #1727 Enclosures c: File Appendix D Redevelopment Qualifications for Original Parcels COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Items for ORIGINATING EXECUTIVE Consideration, Other Business DEPARTMENT: EDA DIRECTOR NO: 9-C- ~- APPROVAL ITEM: One Year Extension for Agreement BY: Mark Nagel BY: with Center for Energy and Environment DATE: November 9, 2001 BACKGROUND: In 1999, the Columbia Heights EDA entered into an agreement with the Center for Energy and Environment (CEE), an independent, non-profit 501 (C) 3 organization that works to promote responsible and efficient use of natural and economic resources, to provide comprehensive housing rehabilitation services for the Community Development Block Grant program. The City entered into a similar agreement for the MHFA loan programs at the same time. Both contracts were extend for an addition year in December of 2000. Both agreements will expire on December 31, 2001. As you know CEE provides program development, marketing, loan and grant origination, inspection and/or remodeling advice to a number of private and public housing agencies, including Fridley HRA, Anoka HRA, Richfield HRA, Blaine EDA, and Anoka County HRA. While their performance with MHFA Programs has been excellent with 76 loans closed totaling almost $892,000 - almost double last year's 39 loans closed and about $426,000, there have been continuing staff and client concerns regarding the CDBG grant/loan program. Processing by CEE has been slow causing the EDA/City to be put on notice that we were in danger of losing these funds. Staff has determined that Anoka County Community Action Program (ACCAP) would do a better job of servicing the CDBG loan/grant program as they are set up to handle federal program regulations, have the experience to administer the program, have offices close to Columbia Heights, and administers the program for a number of other Anoka County cities. Staff believes the best option for the EDA and the residents of Columbia Heights is to split the administration of the housing rehabilitation program with MHFA loans processed by CEE and the Community Development Block Grants by ACCAP. RECOMMENDATION: Staff recommends renewal of a one-year agreement with CEE for the administration of MHFA housing rehabilitation programs and the administration of the Community Development Block Grants be transferred to ACCAP for the year 2002. RECOMMENDED MOTION: Move to authorize staff to negotiate an agreement for administrative services with ACCAP for the Community Development Block Grant Program and bring it back to the EDA for consideration. RECOMMENDED MOTION: Move to recommend City Council approve the agreement for administrative services between CEE and the City for the MHFA Home Improvement Loans based upon their proposal. A~achments EDA ACTION: ~:\consent Form2001\One year Extension CEE AGREEMENT FOR ADMINISTRATIVE SERVICES Between CENTER FOR ENERGY AND ENVIRONMENT And COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (2000 CDBG and Home Improvement Program) The Agreement, made the 21~ day of December' 1999, by and between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of the State of Minnesota, (the "EDA"), and the CENTER FOR ENERGY AND ENVIROn, a 501 (c)(3) non-profit corporation, with its offices at, 211 North 1~t Street, Suite 455, Minneapolis, Minnesota 55401 (the "Contractor') is hereby amended. Section 1 of the agreemem shall read: The project to be accomplished by the Comractor hereunder shall mn from January 1, 2000 to December 31, 2002 unless earlier terminated as provided herein, or until all obligations set forth in this Agreement have been satisfactorily fulfilled, whichever occurs first. All other sections of the contract shall remain as written.in the original agreement.' IN WITNESS WHEREOF, the parties hereunder set their hands as of the date written below: COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Date President By Date Executive Dkector CENTER FOR ENERGY AND ENVIRO~ Sheldon Strom, Executive Director Date ti- t- \ 000328 TAX ID 41-1647799 T:~Adrnin\CONTPJLT~C R R\640 Columrda Hts Amend 1.doc December 7, 2000 AGREEMENT FOR ADMINISTRATIVE SERVICES Between CENTER FOR ENERGY AND ENVIRONMENT And COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (2000 CDBG and Home Improvement Program) The Agreement, made the 21~t day of December, 1999, by and between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of the State of Minnesota, (the "EDA"), and the CENTER FOR ENERGY AND ENVIRONMENT, a 501 (c)(3) non-profit corporation, with its offices at, 211 North 1~t Street, Suite 455, Minneapolis, Minnesota 55401 (the "Contractor") is hereby amended. Section 1 of the agreement shall read: The project to be accomplished by the Contractor hereunder shall run from January 1, 2000 to December 31, 2001 unless earlier terminated as provided herein, or until all obligations set forth in this Agreement have been satisfactorily fulfilled, whichever occurs first. All other sections of the contract shall remain as written in the original agreement. IN WITNESS WHEREOF, the parties hereunder set their hands as of the date written below: COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By .... r~-resident Date CENTER FOR ENERGY AND ENVIRONMENT By Sheldon Strom, Executive Director Date By Date E~e~ive Bilrc/ctor TAX ID 41-1647799 T:~Admin[CONTRACT~C R R\640 Cotumb~a Hts Amend l.doc December 7, 2000 Agreement for Administrative Services Columbia Heights EDA 7-6-99 AGREEMENT FOR ADMINISTRATIVE SERVICES between CENTER FOR ENERGY AND ENVIRONMENT, INC. and COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (2000 CDBG and Home Improvement Programs) THIS AGREEMENT, made this 'L(~2Z:day of December, 1999, the date of the signatures of the parties herein notwithstanding, by and between the Columbia Heights Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota (the "EDA"), and the Center for Energy and Environment, a 501 (c)(3) non-profit corporation, with its offices at 211 1st Street North, Suite 455, Minneapolis, Minnesota 55401 (the "Contractor"). WITNESSETH THAT: WHEREAS, Title I of the Homing and Community Development Act of 1974, as amended, provides for a program of Community Development Block Grants; and WHEREAS, the City of Columbia Heights has submitted an application for the Urban Anoka County Community Development Block Grant Program and the EDA implements such program in the City of Columbia Heights; and WHEREAS, said application has received approval by Anoka County and the United States Department of Housing and Urban Development for the expenditure of funds, in part, to deliver the Columbia Heights Housing Rehabilitation Program (the '"Program"; and WHEREAS, the Contractor has agreed to administer said Program for the EDA, which proposal has been accepted by the EDA; and WHEREAS, the Contractor shall provide all services related to the home improvement loan programs available through the MHFA and other agencies in order to fulfill the housing policies aforementioned. NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows: 1. TERM The project to be accomplished by the Contractor hereunder shall nm from January 1, 2000 to December 31, 2000 unless earlier terminated as provided herein, or until all obligations set forth in this Agreement have been satisfactorily fulfilled, whichever occurs first. 0 SERVICES TO BE PROVIDED A. The Contractor shall provide the following services to administer the Program: Agreement for Administrative Services Columbia Heights EDA 7-6-99 (1) (2) (3) (4) (5) (6) (7) (8) Coordinate marketing efforts with the EDA and answer questions fi.om interested parties concerning the Program. In addition, the Contractor shall maintain up-to-date application materials including, but not limited to, application forms, program brochures and related literature. Receive applications from interested parties and determine eligibility status with regard to household income, amount of assets, ownership status, type of property and other criteria as specified by the EDA. Notify applicants in writing within 10 business days of receipt of application as to their eligibility status. If an application is incomplete, the Contractor shall notify the applicant within the 10 day period to request additional information. (Applicants which qualify for the Program are defined as "Program Recipients".) Verify properly title records to determine whether applicant has good title to the property; confirm in writing that the applicant is current on property taxes and mortgage payments and that there are no unsatisfied judgements or liens. In addition, Contractor shall prepare the necessary Repayment Agreement to be signed and recorded prior to the start of the rehabilitation work. Within 30 business days of receipt of application, the Contractor shall schedule and conduct an inspection of the applicant's property. Said inspection shall be conducted by qualified personnel of the Contractor who are trained and experienced in housing rehabilitation. Said inspection shall be used as the basis of preparing a scope of work and related project specifications. The Contractor and EDA will meet to review minimum rehabilitation standards, eligible improvements, minimum product quality, work write-up format, and bidding procedures. Said scope of work shall be completed and returned to the Program Recipient within 60 days of receipt of application. Contractor shall provide guidance to the Program Recipient on obtaining estimates and assist the Program Recipient in evaluating the estimates. Program Recipients shall have 30 days to obtain estimates. Meet with Program Recipients to review estimates and assist them in selecting a remodeling contractor per the Program requirements. Contractor shall submit complete file with all original documents to the EDA tbr review and approval. Upon EDA approval, the Contractor shall schedule and conduct a pre-construction conference with the Program Recipients and the remodeling contractor prior to commencement of the Agreement for Administrative Services Columbia Heights EDA 7-6-99 work. Contractor shall review the responsibilities of each party, procedures for payment and any other pertinent details. Finally, both parties shall execute a contract to secure performance of the project and Contractor shall issue a Proceed to Work Order. (9) Contractor shall insure that the successful remodeling contractor complies with the applicable HUD and County regulations. In addition, Contractor shall monitor performance of the rehabilitation work and assist Program Recipient in resolving disputes with the remodeling contractor/s, as necessary. (10) Conduct interim and final inspections and prepare the necessary documents to process payment to the contractor. (B) In addition to the processing steps outlined above, the Contractor shall provide the following services: (1) Comply with the Housing Rehabilitation Procedures Guide, as amended from time to time. (2) Provide the Columbia Heights EDA with monthly reports on the status of program applications. (3) Make payments to contractors on a timely basis, in compliance with the Federal "three-day rule". (4) Acquire mechanic's liens from all contractors, subcontractors, and material suppliers, prior to release of any payments. Co The Contractor shall proceed with the administration of the Program as contained in the Program Budget, attached as Exhibit A and made a part of this Agreement by reference, representing Contractors minimum responsibilities to the extent that said proposals have not been accomplished prior to the date of this Agreement as entered into and to the extent said proposals do not contradict the standards and requirements referred to above. D4 It shall be the responsibility of the Contractor to meet all standards and satisfy all requirements expressed in Title I of the Housing and Community Development Act of 1974 as amended and the HUD Implementary Regulations at 24 CFR. Part 570, and any other applicable federal statutes, rules, or regulations established now or hereafter, and any applicable statutes, rules, regulations, or guidelines established now or hereafter by the State of Minnesota or any of its agencies. Should it appear to the Contractor at any time during the course of implementing said project, that the work to be done has not been explained or described in sufficient detail, or with sufficient clarity, or should it appear that any plan, proposal, or other material conflict with any standards or requirements imposed by statute, regulation, or HUD, the Contractor shall promptly contact the EDA's Agreement for Administrative Services Columbia Heights EDA 7-6-99 Deputy Executive Director or other designated representative. In no event shall the Contractor proceed with administration of said project in uncertainty. The Contractor shall comply with the following requirements and standards of OMB Circular No. A-122, "Cost Principles for Non Profit Organizations" or OMB Circular No. A-21, "Cost Principles for Educational Institutions", as applicable, and with the following Attachments to OMB Circular No. A-110: Attachment A, "Cash Depositories", except for paragraph 4 concerning deposit insurance; (2) Attachment B, "Bonding and insurance"; (3) Attachment C, "Retention and Custodial Requirements for Records", except that in lieu of the provisions of paragraph 4, the retention period for records pertaining to individual CDBG activities starts from the date of submission of the annual performance and evaluation report, as prescribed in 570.507, in which the specific activity is reported on for the final time; (4) Attachment F, "Standards for Financial Management Systems"; (5) Attachment H, "Monitoring and Reporting Program Performance'.', paragraph 2; (6) Attachment N, "Property Management Standards", except for paragraph 3 concerning the standards for real property, and except that paragraphs 6 and 7 are so modified so that; (i) In all cases in which personal property is sold, the proceeds shall be program income, and (ii) Personal property not needed by the subrecipient for CDBG activities shall be transferred to the recipient for the CDBG program or shall be retained after compensating the recipient; and (7) Attachment O, "Procurement Standards". 3. PROJECT METHODOLOGY AND PROCEDURE The Contractor, in providing the services described in Section 2 of this Agreement, shall employ methods and procedures that are deemed to be appropriate, reliable, and professional by individuals, firms, and associations regularly engaged in work of a similar nature. The methods and procedures employed shall include those required by the sources of authority specified in Section 2, herein, but shall not necessarily be limited to such methods and procedures. 4. PROJECT EVALUATION AND ACCEPTANCE 4 Agreement for Administrative Services Columbia Heights EDA 7-6-99 In order that the EDA may be kept informed of the Contractors progress and properly evaluate the success of the Contractor in achieving the Agreement goals, the EDA may make suggestions, criticisms, and recommendations to the Contractor and the Contractor shall on a monthly basis and at other times upon request by the EDA, send a written progress report to the EDA's Deputy Executive Director. Said report shall a) summarize the activities and progress of the Contractor to date, b) detail special problems or difficulties that have arisen during the course of the project which need to be brought to the attention of the EDA and c) stunmarize any other information, problems, or proposals which the EDA needs to know in order to properly evaluate the actions of the Contractor in working towards the Agreement goal. The Contractor shall thoroughly and conscientiously implement the proposals, recommendations, and criticisms of the EDA or as designated representative, in writing, before proceeding further with the implementation of the program so that the goals of this Agreement may be met to the satisfaction of the EDA. Any deviations from the goals, standards, and requirements of the project as determined by said designated representatives of the EDA shall be corrected by the Contractor before proceeding further with the implementation of said project. 5. PROJECT ADMINISTRATION, PERSONNEL, AND RECORDS Ao The Contractor shall engage in the implementation of the Program, such individuals as are necessary for its proper completion. The Contractor warrants and represents that all of its employees shall be properly trained, competent and qualified to perform the tasks assigned to them. The Contractor shall provide the EDA with such information regarding the qualifications of said individuals as required by the EDA to verify that present and subsequent services are being rendered by competent and trained people. All individuals engaged by the Contractor to perform services under this Agreement must receive express approval of the EDA before commencing any services under the Agreement. Any or all of said individuals may be regular employees of the Contractor or may be specifically employed by the Contractor as independent contractors to work on the implementation of said project. However, the Contractor shall not subcontract with any other firms, associations, consulting agencies, or other organizations for the implementation of the Program, without the expressed written approval of the EDA. Bo The Contractor shall maintain records on all individuals employed by it in the implementation of the Program. Said records shall show the name and qualifications of each such individual, the hourly rate of pay for each such individual, and the number of hours worked by each such individual, and the days on which such hours were worked. The Contractor shall also maintain, and complete in correct form, all other records required by the rules, regulations, or guidelines of HUD or by Title I of the Housing and Community Development Act of 1974 as amended and the HUD Implementary Regulations at 24 CFR Part 570. The Contractor further agrees to maintain all such required records for three years after receipt of final payment or until all other pending matters are closed. 6. DATA PRIVACY Agreement for Administrative Services Columbia Heights EDA 7-6-99 All data collected, created, received, maintained, or disseminated, or used for any purposes in the course of the Contractor performance of this Agreement is governed by the Minnesota Government Data Practices Act, Minnesota Statutes 1984, Section 13.01 et. seq. or any other applicable State statutes and any State rules adopted to implement the Act, as well as State statutes and Federal regulations on data privacy. The Contractor agrees to abide by these statutes, rules, and regulations and as they may be amended. 7. NONDISCRIMINATION A. General The Contractor shall comply with all federal, state, and local laws prohibiting discrimination on the basis of age, sex, marital status, race, creed, color, national origin, sexual orientation, or the presence of any sensory, mental, or physical handicap or any other basis now or hereafter prohibited by Law. These requirements are specified in Section 109 of the Housing and Community Development Act of 1974; Civil Rights Act of 1964, Title VI; Civil Rights Act of 1968, Title VIII; Executive Order 11063; Executive Order 11246; Section 3 of the Housing and Urban Development Act of 1968; and Minnesota Statutes Chapter 363. Specifically, the Contractor is prohibited from taking any discriminatory actions defined in the HUD Regulations at 24 CFR 570.602(b) (1-3) and shall take such affirmative and corrective actions as are required by the Regulations at CFR 570.602(b)(4). B. Program Benefit The Contractor shall not discriminate against any resident or Program recipient by denying benefit from or participation in any block grant funded activity on the basis of race, color, sex, or national origin. (Civil Rights Act of 1961, Title VI: Civil Rights Act of 1968, Title V11; Section 109, Housing and Community Development Act of 1974). C. Fair Housing The Contractor shall take necessary and appropriate actions to prevent discrimination on the basis of Minnesota State law or federal law in federally assisted housing and lending practices related to loans insured or guaranteed by the federal govemment. (Civil Rights Act of 1968, Title VII; Executive Order 11063; Minnesota Statutes Chapter 363). D. Employment In all solicitations under this Agreement, the Contractor shall state that all qualified applicants will be considered for employment. The words "equal opportunity employer" in advertisements shall constitute compliance with this section. 6 Agreement for Administrative Services Columbia Heights EDA 7-6-99 The Contractor shall not discriminate against an employee or applicant for employment in connection with this Agreement because of age, marital status, race, creed, color, national origin, sexual orientation, or the presence of any sensory, mental, or physical handicap, except when there is a bona fide occupational limitation. Such action shall include, but not be limited to the following: Employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training (Executive Order 11246 as amended and Minnesota Statutes Chapter 363.) To the greatest extent feasible, the Contractor shall provide training and employment opportunities for lower income residents within the area served by block grant assisted projects (Section 3, Housing and Community Development Act of 1968, as amended). E. Contractors and Suppliers No contractor, subcontractor, union, or vendor engaged in any activity. under this Agreement shall discriminate in the sale of materials, equipment, or labor on the basis of age, sex, marital status, race, creed, color, national origin, sexual orientation, or the presence of any sensory, mental, or physical handicap. Such practices include upgrading, demotion, recruiting, transfer, layoff, termination, pay rate, and advertisement for employment. (Executive Order 11246 as amended and Minnesota Statutes Chapter 363). o All firms and organizations described above shall be required to submit to the Agency certificates of compliance demonstrating that they have, in fact, complied with the foregoing provisions: provided, that certificates of compliance shall not be required from firms and organizations on contracts and/or yearly sales of less than $10,000. To the greatest extent feasible, the Contractor shall purchase supplies and services for activities under this Agreement from vendors and contractors whose businesses are located in the area served by block grant funded activities or owned in substantial part by project area residents (Section 3, Housing and Community Development Act of 1968, as amended.) F. Notice The Contractor shall include the provisions of the appropriate subsections A, B, C, D, and E of this section in every contract or purchase order for goods and services under this Agreement and shall send to each labor union or representative of workers with which it has a collective bargaining Agreement or other contract or understanding a notice advising Agreement for Administrative Services Columbia Heights EDA 7-6-99 the said labor union or workers representative of the commitments made in these subsections. In advertising for employees, goods, or services for activities under this Agreement, the Contractor shall utilize minority publications in addition to publications of general circulation. 8. EARLY TERMINATION This Agreement may be terminated by either party at any time, with or without cause, upon 30 days written notice, delivered by mail or in person, to the other party. This Agreement may be terminated by the EDA immediately upon the receipt by the EDA of notice of the loss of federal funding for the Community Development Block Grant Program (CDBG). Upon termination, the Contractor shall be entitled to receive as compensation, payment for work actually performed to the date of termination as determined by the schedule of payment referred to in Section 10 (Compensation). 9. DEFAULT AND REMEDY A. Any of the following constitutes a default on the part of the Contractor: Failure to proceed with the implementation of the Program at a pace reasonably calculated to implement such program within the time limits stated herein; (2) Failure to conscientiously abide by the directions of the EDA. (3) Failure to abide by any other term or condition of this Agreement. In the event of default, the EDA shall have the option of terminating this Agreement upon written notice of termination sent to the Contractor at its address written above. Termination shall be effective immediately upon receipt of notice of termination by the Contractor, or at such later date as the written notice shall state. Upon termination, the EDA may recover from the Contractor any and all damages directly or consequently arising out of the breach of this Agreement or failure to pelf on the same by the Contractor. 10. COMPENSATION A. Administrative Services As compensation for the services to be performed hereunder by the Contractor, the Contractor shall be paid a fixed fee of $875.00 per grant made. The Contractor shall invoice the EDA for services rendered after the entire grant process has been completed. The Contractor may submit invoices as grants are completed and final disbursement is processed. The EDA shall provide the Agreement for Administrative Services Columbia Heights EDA 7-6-99 Contractor with the appropriate forms and documents to submit for reimbursement. B. Rehabilitation Assistance The Contractor shall submit a separate invoice for each grant made. The invoice shall state, at a minimum, the name of the Program Recipient, their address, and the full amount of grant. Within 30 days of receipt of the invoice, the EDA shall remit to the Contractor a check for the amount of the grant plus the grant origination fee. The Contractor shall issue payment to the remodeling contractors as work is completed. Before issuing payment to a remodeling contractor, the Contractor must do the following: (1) Inspect the work to ensure that it has been completed satisfactorily. (2) Obtain a signed lien waiver from the contractor, subcontractor and/or material suppliers for the mount of the work. (3) Obtain the signatures of the homeowner and the remodeling contractor:. (4) Verify with the EDA that a permit has been obtained for the work performed and that the remodeling contractor is properly licensed. 11. INDEPENDENT CONTRACTOR The relationship of the Contractor to the EDA is that of an independent contractor. Nothing in this Agreement shall be construed so as to deem any employee or agent of the Contractor an employee of the EDA for any purpose. 12. GOODS AND SERVICES NOT PROVIDED FOR No claim for goods or services furnished by the Contractor not provided for by the terms of this Agreement, or by duly authorized alterations or modifications of this Agreement, will be honored by the City. 13. CHANGES IN THIS AGREEMENT The EDA shall notify the Contractor in writing at least five days before any change in this Agreement is to take effect. 14. ASSIGNMENTS AND SUBCONTRACTING The Contractor shall not assign any portion of this Agreement without the written consent of the EDA, and it is further agreed that said consent must be sought by the Contractor not less than thirty (30) days prior to the date of any proposed assignment. Agreement for Administrative Services Columbia Heights EDA 7-6-99 Any work or services assigned or subcontracted hereunder shall be subject to each provision of this Agreement and proper bidding procedures contained therein. The Contractor agrees that it is as fully responsible to the EDA for the acts and omissions of its subcontractors and of their employees and agents, as it is for the acts and omissions of its own employees and agents. 15. INDEMNIFICATION The Contractor agrees to indemnify, defend, and hold harmless the EDA (including its Commission members, officers, and employees) from all claims, losses, or damages which they, or any of them shall be legally obligated to pay as a consequence of any negligent act or omission, any intentional act, or any violation of the terms of this Agreement, by the Contractor (including its officers, employees, and agents) in the performance of its services that are the subject of this Agreement. The EDA agrees to indemnify, defend, and hold harmless the Contractor (including its Board members, officers, and employees) from all claims, losses, or damages which they, or any of them shall be legally obligated to pay as a consequence of any negligent act or omission, any intentional act, or any violation of the terms of this Agreement, by the EDA (including its officers, employees, and agents) in the performance of its services that are the subject of this Agreement. 16. REVERSION OF ASSETS Upon the expiration or termination of this Agreement, the Contractor shall transfer to the EDA any CDBG funds on hand or in the accounts receivable attributable to the use of CDBG funds. In addition, at the expiration or termination of this Agreement, any real property under the Contractor's control that was acquired or improved in whole or in part with CDBG funds in excess of $25,000.00 shall be disposed of in a manner which results in the agency being reimbursed in the amount of the current fair market value of the property less any portion thereof attributable to the expenditures ofnen-CDBG funds for acquisition of, or improvement to, the real property. Such reimbursement shall not be made if the conditions of 24 CFR State Statute 570.503(b)(8)(i) are met and satisfied. 17. DISPOSITION OF PROGRAM INCOME Upon the expiration or termination of this Agreement, program income shall be returned by the Contractor to the EDA. 18. INSURANCE The Contractor shall comply with the following insurance requirements: A. Public Liability Insurance The Contractor shall obtain and maintain continuously during the term of this Agreement general liability insurance of an amount not less than One Million and 10 Agreement for Administrative Services Columbia Heights EDA 7-6-99 no/lO0 ($1,000,000.00) Dollars which covers bodily injury and property damage and an umbrella excess liability policy of One Million and no/1 O0 ($1,000,000.00) Dollars and provide proof of Workers Compensation insurance pursuant to the Statutes of the State of Minnesota. The general liability insurance policy and umbrella excess liability policy shall name the EDA as an additional insured. B. Proof of Insurance The Contractor shall provide certificates of insurance required under this section, or, upon request of the EDA, duplicates of the policies as evidence of the insurance protection afforded. Such insurance policies shall not be reduced or cancelled without sixty (60) days prior written notice to the EDA. 19. ENTIRE AGREEMENTfREQUIREMENT OF A WRITING It is understood and agreed that the entire Agreement of the parties is contained herein and that this Agreement supersedes all oral agreements and negotiations between the patties relating to the subject matter hereof as well as any previous Contract presently in effect between the EDA and the Contractor relating to the subject matter hereof. Any alterations, variations, modifications, or waivers of the provisions of this Agreement shall be valid only when they have been reduced to writing and duly signed by the parties. 20. EXHIBITS Exhibit B - Exhibit C - The following attachments listed below are hereby incorporated in this Agreement and made a part hereof: ~ Certification 24 CFR 85; Contracting with small and minority firms, women's business enterprise, and labor surplus area firms. IN WITNESS WHEKEOF, the parties here hereunder set their hands as of the date written below: CITY OF COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY' By <~ Date CENTER FOR ENERGY AND ENVIRONblENT Sheldon Strom, Executive Director Agreement for Administrative Services Columbia Heights EDA 7-6-99 EXHIBIT B CERTIFICATION The Undersigned, on behalf of the Agency, certifies, to the best of his or her knowledge and belief, that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence air officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. (2) It any funds other than appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form -LLL "Disclosure Form to Report Lobbying," in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all times (including subcontracts, subgrants, and contracts under grants, loans and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1332, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. Center for Energy and Environment Date ./~ - c:~ ~- 12 EXHIBIT C (24 CFR 85) Administrative Requirements for Grants and Cooperative Agreements to State, Local & Federally Recognized Indian Tribal Governments min..,ricy /irms. women's business ente.-pr;se and labor s:~t-plus o~o fi .r=.s. [1] TF.e grentee ~nd subgrante: will t=ke all ~-ece.<- 's.-y affi,m':.adve =lep~ to asst:J-e that mino.~ry i~rms, women's business enterprises, and l. abor surp!us erea ere used when possible. {2] Affir;aative steps shall include: (i! Piecing qualified small and minority businesses end women's business er, te.-'pHses on solicitation lists: [ii} Ass'.:ring thai small and mi,-~ori~y businessesi end women's business enterprises are solicited w',~enever they ere po,'ential soexces: (iii] Diriding to:al requirements. econom;.cell¥ feasible, into .smaller ¢.- quantities to permit meximum per:-icipet£gn bT sm~l[.,and minority ousi=es--, enct womc~.'s besiness en:erp,~ses: m:nori:y business, a.':~ wo=en's bus,ness e.'.:=~ses: · [t-.~ LJsi~g'the se:vices ind ~ssistar.:-. ~ :~,e S.-...i-'i ~usiacss .~.dmi.".istr~de:.. e.".:' the M:.~o.-ity .~=s:.~ess Ag-'=cy =5 :.=.e De;~r:.-:'..e.-..:_q.5 (vij_Reo'_'i~ine :b.e r.-i..--.e con:re.c:_e;, i." -.."~..-n. a,ve s,eps lis~ed in 17 AGREEMENT FOR ADMINISTRATIVE SERVICES Between CENTER FOR ENERGY AND ENVIRONMENT And THE CITY OF COLUMBIA HEIGHTS (MHFA Discount Loan Program) The Agreemem, made the 15ta day of August, 2000, by and between the CITY OF COLUMBIA HEIGHTS, a public body corporate and politic under the laws of the State of Minnesota, (the "EDA"), and the CENTER FOR ENERGY AND ENVIRONMENT, a 501 (c)(3) non-profit corporation, with its offices at, 211 North 1~ Street, Suite 455, Minneapolis, Minnesota 55401 (the "Contractor") is hereby amended. Section 6.1 of the agreemem shall read: 6.1 Term and Termination Unless earlier terminated as provided in the following paragraphs, this Agreement shall become effective on August 18, 2000, and continue through December 31, 2002. All other sections of the contract shall remain as written in the original agreement. IN WITNESS WHEREOF, the parties hereunder set their hands as of the date written below: CITY OF COLUMBIA HEIGHTS By City Mayor Date CENTER FOR ENERGY AND ENVIRONMENT ~*~eldon Strom, Executive Director 000327 By TAX ID 41-1647799 City Manager Date T:V~clmin\~C R R~o04 Columbia Hts Disc Amend 1.doc December 7, 2000 LOAN ORIGINATION AGREEMENT This LOAN ORIGINATION AGREEMENT ("Agreement") is made this / ~--~oay of _August, 2000, by and between THE CITY OF COLUMBIA HEIGHTS, With offices at 590 40'n Avenue NE, Columbia Heights, MN 55421 ("CITY"), and CENTER FOR ENERGY AND ENVIRONMENT, with offices at 211 North 1st Street North, Suite 455, Minneapolis, Minnesota 55401 ("CEE"), '"' RECITALS CITY has a need for certain professional services and desires to retain CEE to provide said services, all subject to the terms and conditions contained in this Agreement. CEE is qualified to provide the desired professional services and desires to provide said services for CITY, all subject to the terms and conditions contained in this Agreement. CEE has applied for and received funds from the Minnesota Housing Finance Agency. (MHFA) under the MHFA Community Revitalization Program (CRV). Funds provided under the CRV shall be used to write down the interest rate on MI-IFA loans originated by CEE for borrowers in the City of Columbia Heights. Do Funds for the interest write down shall be provided by MHFA, the Metropolitan Council and the City of Columbia Heights. NOW, THEREFORE, in consideration of the foregoing and the mutual promises contained in this Agreement, the parties agree as follows: 1. Services/Scope of Work CEE shall originate MHFA discount loans as described in the program description in EXHIBIT A. Compensation CITY shall compensate CEE for the Services as follows: 2.1 CITY shall pay an Administrative Fee of $125.00 for each loan originated under this agreement. The Administrative Fee shall compensate CEE for the administrative costs of processing the MHFA discount loan. Mortgage filing costs shall be paid by the borrower. 2.2 CEE shall submit to CITY, on a monthly basis, invoices for services performed under this Agreement. CEE shall provide a copy of the loan note and MHFA Columbia Heights Discount Loan Program Agreement Page ,, Lender's Certificate as documentation of the discount loan origination and sale with each invoice. CEE shall also provide on a monthly basis, a program activity report showing the amount of funds used through the reporting period and the remaining balance of funds available. 2.3 CITY shall pay each properly submitted invoice within thirty (30) days after submission of the invoice by CEE. CITY's Obligations 3.1 CITY shall provide up to $50,000 to write down the interest rate on MI-IFA loans originated by CEE. CITY shall advance $25,000.00 to CEE upon execution of this agreement. 3.2 CITY shall make reasonable efforts to respond promptly to requests from CEE for information and approvals regarding the services to be provided under this Agreement. CEE's Obligations 4.1 CEE shall use its best efforts to provide services under this Agreement in a professional manner consistent with the care and skill used by reputable members of CEE's profession. 4.2 CEE, and all of its employees or agents, shall comply with all statutes, ordinances, roles, regulations and other laws applicable to the provision of services under this Agreement. 4.3 CEE shall not engage in discriminatory employment practices against any employee or applicant for employment and shall in all respects comply with all federal, state and local laws, regulations and orders, including without limitation, Chapter 363 of the Minnesota Statutes, as amended from time to time. Failure to comply with the provisions hereof shall be deemed a material default under this Agreement. Right to Audit 5.1 CEE shall maintain accurate and detailed records, in accordance with generally accepted accounting principles consistently applied, for all loans originated under this Agreement. CITY has the right to inspect, examine and makes copies of any or all books, accounts, records and other writings of CEE relating to the loans originated under this Agreement. These audit rights shall be extended to CITY or to any representative designated by CITY. Audits shall take place at times and locations mutually agreed upon by both parties, although CEE must make the materials to be audited available within one (1) week of the request for them. Costs incurred in undertaking the audit will be borne by CITY but costs Columbia Heights Discount Loan Program Agreement Page 2 incurred by CEE as a result of CITY exercising its right to audit will be borne by CEE. 6. Term and Termination 6.1 Unless earlier terminated as provided in the following paragraphs, this Agreement shall become effective on _August ,2000, and continue thrpugh December 31,2001. 6.2 This Agreement may be terminated by either party, for any reason or no reason, immediately upon written notice to the other party. In the event this Agreement is terminated by CEE prior to the expiration of the term set forth in paragraph 6.1, CITY shall compensate CEE for all services delivered up to the date of termination and CEE shall provide CITY with such information as CITY may request regarding the status of any ongoing project. 6.3 Upon term or termination of this agreement, CEE shall return all remaining unspent program funds to CITY. 6.4 Any termination of this Agreement shall not release either party from their respective obligations under sections 8 and 9 of this Agreement. 7. Insurance 7.1 During the term of this Agreement, CEE shall obtain and maintain workers' compensation, comprehensive general liability, and automobile liability insurance. Comprehensive general liability insurance shall have and aggregate limit of $2,000,000. 7.2 Upon request by the CITY, CEE shall provide CITY with a certificate or certificates of insurance relating to the insurance required pursuant to paiagraph 7.1. 8. Liability and Indemnification 8.1 CEE represents that the services to be provided under this Agreement are reasonable in scope and that CEE has the experience and ability to provide the services. 8.2 CEE shall indemnify, defend and hold harmless CITY and its officers, directors, employees and agents from and against any and all claims, damages, losses, injuries and expenses (including attorneys' fees and damages for death, personal injury and property damage) which CITY may incur as a result of any act or omission by CEE in providing services under this Agreement. Columbia Heights Discount Loan Program Agreement Page 3 8.3 CITY shall indemnify, defend and hold harmless CEE and its officers, directors, employees and agents from and against any and all claims, damages, losses, injuries and expenses (including attorneys' fees and damages for death, personal injury and property damage) which CEE may incur as a result of any act or omission by CITY in discharging its duties under this Agreement. Confidentiality Unless otherwise agreed by CITY in writing, CEE shall maintain in confidence and not disclose to any third party any information obtained regarding CITY and/or any borrowers for which CEE is providing services; provided, however, that this obligation to maintain confidentiality shall not apply to: a) Information in the public domain at the time of disclosure; b) Information which becomes part of the public domain after disclosure through no fault of CEE; or c) Information which CEE can demonstrate was known by it prior to the date of this Agreement. 10. Relationship of Parties 11. CEE will provide services as an independent contractor under this Agreement. Neither CEE, nor any of its employees or agents, shall be considered employees of CITY for any purpose, and neither shall CEE be eligible for any compensation or benefits which CITY may provide to its employees from time to time. CEE shall be solely responsible for all employment and other taxes applicable to providing services hereunder, and CITY will not withhold any taxes or contributions from the compensation payable to CEE under this Agreement. If any governmental authority (federal, state or other) claims that CITY owes taxes or contributions which allegedly should have been withheld or made, then, to the extent permitted by law, CEE shall pay CITY the amounts claimed to be due, plus reasonable attorneys' fees and any other costs which CITY may incur in defending such claim, whether or not a lawsuit is commenced. Notices All notices, requests, demands and other communications required to be given in writing under this Agreement shall be given to the other party in person or by mail as provided in this section. If delivered personally, notice shall be deemed to have been duly given on the date of delivery. If delivered by mail, such notice shall be sent via first class U.S. mail, postage prepaid, to the address set forth at the beginning of this Agreement or such other address as a party may otherwise request by written notice, and notice shall be deemed duly given three (3) business days after mailing. Columbia Heights Discount Loan Program Agreement Page 4 12. Assignment This Agreement shall be binding upon and inure to the benefit of the parties and their respective heirs, successors and assigns; provided, however, that neither party shall assign or transfer in any manner, this Agreement or any portion hereof without the prior written consent of the other party, and any attempt to assign or transfer without prior written consent shall be void and of no effect. 13. Governing Law This Agreement shall be govemed by and construed in accordance with the laws of the State of Minnesota. 14. Miscellaneous 14.1 Headings and captions used in this Agreement are for convenience only and shall not affect the meaning of this Agreement. 14.2 This Agreement contains the entire agreement of the parties and supersedes all prior agreements, discussions and representations, written or oral, concerning the subject matter hereof. 14.3 No waiver by CITY of any term or condition of this Agreement or any document referred to herein shall, whether by conduct or otherwise, be construed as a waiver or release of any other term or condition of this Agreement. 14.4 This Agreement may only be amended in a written agreement signed by both parties. 14.5 Except as expressly set forth in Section 8, the rights and benefits under this Agreement shall inure solely to the benefit of CITY and CEE, and this Agreement shall not be construed to give any fights, benefits or causes of action to any third party. 14.6 The invalidity or partial invalidity of any provision of this Agreement shall not invalidate the remaining provisions, and the remainder shall be construed as of the invalidated portion shall have never been a part of this Agreement. 14.7 This Agreement may be signed in any number of counterparts, each of which shall be deemed an original and one and the same instrument. Columbia Heights Discount Loan Program Agreement Page S IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. City of Columbia Heights By: ~'~ ti Its: City Mayor By: y,~,/ . . j,, .~ CENTER FOR ENERGY AND ENVIRONMENT gi ty Ma'det0er gh~don Strom - Executive Director Federal Tax Identification Number: 41-1647799 600\Reports\Col Hts Disc Loan (3fig Agree.doc August 11, 2000 Columbia Heights Discount Loan Program Agreement Page 6 EXI-HBIT A Terms of the Columbia Heights Discount Loan Program CEE will utilize City of Columbia Heights, Minnesota Housing Finance Agency, and Metropolitan Council funds to write down the interest rate on the Minnesota Housing Finance Agency's (MHFA) Community Fix-up Fund and Fix-up Fund Loan Programs. The intent of the program is to offer an attractive interest rate to encourage homeowners to make home improvements to their properties and leverage additional dollars for the .- community. 1t% MHFA loans will be written down to an effective rate of 6%. Program Allocation: $100,000. ($50,000 City of Columbia Heights, $25,000 MHFA, and $25,000 Metropolitan Council). Underwritin§ Decision: Underwriting of these loans will follow the lvlHFA procedural manuals and normal and prudent underwriting criteria. 3. Loan Amount: The maximum loan amount is $35,000. Income Limit: Per MHFA guidelines, eligible borrowers must have an annual household income of less than $78,890. Debt - to Income Ratio: Per MHFA guidelines, applicants must prove the ability to repay the loan and have a debt to income ratio less than 45%. Eligible Improvements: Per MHFA guidelines, eligible improvements are determined by the MHFA for the individual financing programs and are stated in the Procedural Manuals for each program. Eligible Properties: Eligible properties are restricted to Cape Cod and Rambler style homes constructed prior to 1970 located in the geographical boundaries of the City of Columbia Heights. 8. Loan Servicing: MHFA will be responsible for servicing the loans. Work Completion: As required by MHFA, all work must be completed within 9 months of the loan closing. 10. Disbursement of Funds: Per MHFA guidelines, loan funds will be disbursed to borrower upon loan closing. 11. Loan Security: As required by the MHFA, in most cases, only loans over $5,000 will be secured with a mortgage. 12. Calculation of Loan Discount: The Loan Discount shall be calculated utilizing the ratios outlined in Exhibit B of this contract. Columbia Heights Discount Loan Program Center for Energy and Environment Page 1 August 11, 2000 EXHIBIT B ATTACHMENT TO ADDENDUM I. Programs and Interest Rates PrOgram ' PROGRAM NAME ' INTEREST - ID RATE 508 Fix-up Fund Discount 3% 3% 509 Fix-up Fund Discount 4% 4% 510 Fix-up Fund Discount 5% 5% 511 Fix-up Fund Discount 6% 6% 512 Community Fix-up Fund Discount 3% 3% 513. Community Fix-up Fund Discount 4% '4% 514.'" Community Fix-up Fund Discount 5% ., 5% 5,04 Community Fix-up Fund Discount. 6% ,, , 6%, II. Purchase Price Discount Percentages Yield to Yield to Yield tO MHFA: MHFA: MHFA: 8% 6% 4% Loan Term Interest Rate interest Rate Interest BPaid by . _paid by Rate paid orrower uorrower by Borrower s'/. 5o/. 4./. 3% 5% 4% 3-/. 3-/. 6-60' Months '~s:'s 93.3 91.1 as 97.7 95.4 93.2 87.7 61-120 months 91.7 87.84 83'.9 ' I~b 95.7 91:5 87.4 95.5 121-1 80 months 88.6' 83.1" 77.9 72.8 93.9 88 82.3 93.6 181-240 months 88.9 79.3 '73 67 92.3 ' 84.9 77.9 91.8 AJdcndum ~o I~rch,~sc A&~-c.-ncn~ Home [mpm,~cmcrt~ L.3:m COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) Meeting of: November 20, 2001 AGENDA SECTION: Items for ORIGINATING EXECUTIVE Consideration, Other Business DEPARTMENT: EDA DIRECTOR NO: C~_ O~- 3 APPROVAL ITEM: Establish a Business Revolving Loan BY: Mark Nagel BY: Fund Review Committee DATE: November 13, 2001 BACKGROUND: With the sale of the Neilsen and Chartraw loans to Community Reinvestment Fund, Inc. for $33,343.67 and the early repayment of the Warrick loan of$1,811.89, there is approximately $35,155.56 in the Business Revolving Loan Fund (BRLF), plus an undetermined amount from the repayments of the outstanding business loans over the past 5 years. In researching into the BRLF files, staff has learned that the committee has not met since February 29, 1996, so it has been at least that long since any review of the attached regulations has been conducted. Before the EDA "reactivates" the Loan Review Committee, staff would like to work with a Committee of 3 Commissioners to review and update the bylaws. Legal Counsel, Steve Bubul has suggested that the EDA handle this issue, even though, the HRA originally initiated the Bylaws, since it will be one of the programs transferred to the EDA by the HRA. RECOMMENDATION: Staff recommends the establishment of a 3 member Committee to work with staff to review the Bylaws and Plans of the BRLF Loan Review Committee and report back to the Board any recommended revisions. RECOMMENDED MOTION: Move to establish a 3 member Committee to review the BRLF Loan Review Committee Bylaws and Plans and submit recommended revisions to the EDA Board. Attachments EDA ACTION: h:\consent Form 2001\EDA BRLF Review Committee Offered by: Seconded by: Roll call: Nawrocki Ruettimann Ail ayes Jo-Anne Student, Council Secretary Mayor Edward M. Carlson Renewal of Class B Gambling License by Church of the Immaculate Conception for Mad¥'~ Lounge'and Bowl The Council directed the City Manager to forward a letter to the State Charitable Gambling Control Board indicating that the City of Columbia' Heights has no objection to the renewal of a Class B charitaute gambling license for the Church of the In~naculate Conception in conjunction with activities at Mady's Bowling Lounge, 3919 Central Avenue, Columbia Heights and the City Council waived the remainder of the sixty day notice to the local governing body. Renewal of Class B Gambling License for the Church of the Immaculate Con- ception for the Church of the Immaculate Conceptwon The Council directed the City Manager' to forward a letter to the State of Charitable Gambling Control Board indicating that the City of Columbia Heighs hasno objection to the renewal of a Class B charitable gamb ing license for the Church of the Immaculate Conception, 4030 Jackson Street N.E., Columbia Heights and the City Council waived the remainder of the sixty day notice to the local governing body. Business Revolving Loan Fund- Loan Review Committee Bylaws The Council approved the "Housing and Redevelopment Authority Business Revolving Loan Fund Review Committee Bylaws/Functions" as approved by the HRA Board of Commissioners on April 29, )991. Purchase of Lumber The Council authorized the purchase of various pieces of lumber from Shaw Lumber Company in the amount of $3,9)4.10 based on their low written quotation submitted and authorized the Mayor and City Manager to enter into an agreement for the same. Purchase of Motor Vehicle The Council ratified the action of the City Manager authorizing the purchase of a 1989 Chevrolet Corsica for $6,499 from National Car Rental; the monies to come from the Undesignated FUnd Balance of the Capitol Equipment Re- placement Fund. Approval of License Applications The Council approved the license applications as listed upon payment of proper fees. Approval of Payment of Bills The Council approved the payment of bills as listed ~rom proper funds. APPROVAL OF CONSENT AGENDA Motion by Nawrocki, second by Ruettimann to approve the consent agenda as presented. Roll call: All ayes Section 1. Section 2. Section 3. Section 4. Section 5. Section 6. Section 7. HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS. MINNESOTA BUSINESS REVOLVING LOAN FUND LOAN REVIEW COMMITTEE BYLAWS/FUNCTIONS April 18. 1991 Name of Committee: The name of the Committee shall be the "Business Revolving Loan Fund Loan Review Committee (BRLF Loan Review Committee)." Hereinafter referred to as the "Committee" Office of the Committee: The Committee shall have its office at the Housing and Redevelopment Authority (HRA) Office at 590-40th Avenue N.E.. Columbia Heights, MN 55421. Powers of the Committee: The Committee shall be considered as being the Revolving Loan Program Review Group (Loan Review Group) as reouired bv the Plan for Business Revolving Loan Fund (BRLF) (hereinafter referred to as the BRLF Policv) as adopted by the HRA and City Council. The Committee shall perform the functions as listed for the Loan Review Group in the BRLF Policy. The Dowers of the Committee shall be 'limited to review of applications for BRLF program loans and the making of recommendations to the HRA Board of Commissioners on which loan applicants should be granted loans under the BRLF program and in what priority. Also, see Committee Functions below. Members of the Committee: In accordance with the BRLF Policy, there shall be five members of the Committee. Members shall be appointed by the HRA Board of Commissioners with three at large members to be appointed who have financial expertise and are either residents or business persons in the City of Columbia Heights. One member shall be appointed from the HRA Board of Commissioners and one memPer from the City Council. Initially all Committee members shall be appointed for a one year term. By May 1, 1992, the HRA Board of Commissioners will appoint Committee members to staggered terms of 1 to 3 years (2 members to be reappointed (or appointed)) to 3 year terms, 2 to to 2 year terms and 1 to a 1 year term). After the initial appointment process in 1992, then all future appointments/reappointments will be for 3 year terms. The HRA Commissioner and City Council member terms would automatically terminate as representatives from those entities if they are not reappointed or reelected to those offices. Vacancies on Committee: Vacancies due to resignations, non-reaDDoint- ment to HRA Board, non-re-election to City Council position, or due to end of term as committee member shall be filed by appointments by the HRA Board of Commissioners. Removal: Board of meetings). Committee members may be removed from the Committee by the HRA Commissioners for just cause (e.g. nonattendance at Committee Officers: A Chair and Vice Chair shall be elected initially at the first meeting of the Committee. Then annually in May of each year (or the first meeting thereafter if no meeting is held in May) a Chair and Vice Chair shall be elected. The HRA shall provide a staff oerson to record the minutes of the meetinq and maintain records for the Committee. HRA BUSINESS REVOLVING LOAN FUND LOAN REVIEW COMMITTEE BYLAWS/FUNCTIONS Page 2 Section 8. Meeting Dates/P'laces/Coordination: The Committee wi1~ meet as often as necessary to perform the functions of the Committee. To the extent possible noon luncheon meetings wil] be held. The meetings will be held at locations in Columbia Heights as agreed uPOn by Committee members. The HRA Executive Director or his/her designee shall coordinate the dates, times and places for the meetings with the Chair of the Committee. Committee meeting notices are to De mailed by the HRA office to the home or office address of the Committee member at least four days prior to the meeting time. Section 9. Quorum for Meetinas: Three Committee members shall constitute a quorum for conducting business of the Committee. When a Quorum is in attendance, action may be taken by the Committee upon a vote of the majority of the Committee members present. Section 10. Committee Functions: BRLF loan applications received from the participating banks wi]l be received by the HRA staff which will review and on a preliminary basis prioritize applications based on the priorities as listed in the BRLF Policy. These applications will be furnished to the Committee for review and development of a recommendation to the HRA Board of Commissioners as to which applications shall be funded based on the criteria in the BRLF Policy, Section 11. Amendments: These Bylaws may be amended by motion at a meeting of the Committee with the approval of at least a majority of the Committee members in office at any time. These Bylaws, and any subsequent changes, must be aoOroved bv the HRA Board of Commissioners before they become effective. These Bylaws were adopted as the Bylaws of the Business Revolving Loan Fund Loan Review Committee on April 18, 1991. The HRA Board of Commissioners approved these Bylaws on April 29, 1991. The City Council approved these Bylaws on May 13, 1991. brlfaOP/4/1B/91 PL.~N FOR BUSINESS REVOLVING LO.~N FUND (BRLF) OF THE HOUSING AND REDEVELOPMENT AUTHORITY (}IRA) FOR THE CITY OF COLUMBIA HEIGHTS, MINNESOTA I. PURPOSE The Plan provides initially for use of $45,000 of Community Development Block Grant (CDBG) funds (through Anoka CDBG Entitlement Program) and $45,000 of BRA reserve funds, plus any other funds that the City of Columbia Heights (City) or Housing and Redevelopment Authority of Columbia Heights (HI{A) contribute (or secure from grants) for a Business Revolving Loan Fund (BRLF). These loan funds are to be used to make loans for fixtures, machinery, equipment, real estate acquisition, building front renovations, and working capital. The BRLF shall have two categories - Anoka County CDBG funded and non-Anoka County CDBG funded with more restrictions uses of Anoka County CDBG funded loans. The purpose of the Business Revolving Loan Fund (BRLF) is to provide'a low interest loan program that will provide the capability and incentive for commercial and industrial businesses to meet the BRLF program goals. The BRLF goals are to assist in the economic development of the community by creating employment opportunities for low and moderate income family persons, to encourage utilization of vacant or underutilized commercial/industrial sites/buildings and to encourage businesses to improve the appearance of their buildings. These loans would be made pursuant to the powers granted in Minnesota Statutes, Sec. 469.012, Subd. (2), (12) and (24). The BRLF is contingent upon participation by one or more FDIC insured lenders which agree to the terms of the Plan and provide at least fifty percent 50% of the loan needs to borrowers. II. PROGRAM DURATION Loans may be made under this Plan to the extent that funds are available, as allocated to the fund by the City and/or HRA, so long as there are lenders participating and eligible loan recipients, unless the BRLF is terminated, upon written notice to all participating lenders of the BRA's intention to terminate the BRLF. If the BRLF is so terminated, such termination shall not affect the rights and obligations of the participating lenders nor those of the HRA with respect to loans outstanding on the effective date of such termination. To become a participating lender, an FDIC insured financial institution need only provide a letter to the HRA of its agreement to the terms of this Plan. A participating lender may withdraw from the p~ogram at any time, with respect to future loans, by giving written notice to the HRA of its intent to withdraw. FOR BUSINESS REVOLVING LOAN FUND (BRLF) PAGE 2. III. CRITERIA A. Eligibility Businesses receiving loans through this program must: - Be a for-profit corporation, partnership, or sole proprietorship. - Be a "small business" as defined in the regulations of the United States Small Business Administration ($5 million in sales or less). - Have ability to repay the loan and be an acceptable credit risk as determined by a b-n~. Create a sufficient number and type of jobs that benefit low and moderate family income persons to justify participation in this program (on Anoka County CDBG funded loans only). Benefit a business located on property in Columbia Heights on which the business is a conforming use or a legal non-conforming use under the City Zoning Ordinance. B. Leveraging Private Investment In order to receive consideration for a BRLF Loan, the applicant must maximize the use of private lender financing. BRLF loans must be matched on a 50% or more private lender to 50% (or less) BRLF loan ratio. Creation of Permanent, Private Sector Jobs (Only Required on ACCDBG Funded Loans) Businesses receiving Anoka County CDBG funded BRLF loans will be required to provide new employment for Low and Moderate Income (L~I) household members (household income limits of $25,000 for t person, $28,550 for 2, $32,150 for 3, $35,700 for 4 at time of employment). On ACCDBG funded loans at least 51% of all new jobs created as a direct result of the loan must be filled by members of L~I households. At least one new job for a L~I household member must be created .for each $15,000 of ACCDBG funds received in the form of a BRLF loan. Only those jobs resulting from the infusion of BRLF funds that are created within one (1) year following the grant award will be considered. The jobs must be certain and achievable and not speculative.' Persons employed to meet the above criteria may be hired through the Anoka County Job Training Center'. On loans funded with Anoka County CDBG funds, the loan agreement must stipulate that in the in the event the borrower (applicant) does not meet the requirement of this paragraph within one year, the full amount of the BRLF portion of the loan (plus interest on the loan term utilized at New York Prime rate at time of loan origination) shall become due and payable in full. PLAN FOR BUSINESS REVOLVING LOAN FUND (BRLF) PAGE 3. D. Maximum BRLF Loan No BRLF loan made by the HRA shall exceed $25,000. E. Concurrent Loans A company shall not economic development time. The company calendar year. have more than $150,000 of BRLF or other City loan funds outstanding (unpaid) at any one may not obtain more than one BRLF loan in a F. T~e of Machinery, Fixtures and Equipment The machinery, fixtures and equipment purchased with private lender and BRLF funds must be fixed assets with an expected life not less than the term of the loan. Loans for inventory will not be considered. The machinery, fixtures and equipment purchased must be placed in business facilities in Columbia Heights. Types of Property Any real property purchased with private lender and BRLF funding must be located in the City of Columbia Heights. Types of Buildin~ Front Improvements Remodeling or replacing of existing building fronts with new modern efficient fronts. Types of Workinz Capital Loans Working capital loans may be approved for new businesses locating in existing vacant commercial/industrial space in Columbia Heights. J. Ineligible Costs The following costs are ineligible: - Refinancing of existing debts. - Non-fixed improvements. - Working capital on Anoka County CDBG funded loans only. - Inventory. - Sweat Equity (payment for the applicant's own labor and performance for construction or improvements). PLAN FOR BUSINESS REVOLVING LOAN FUND (BRLF) PAGE 4. K. Imurovem~nts Comuleted Prior to Loan Closing Such improvements are eligible if the following steps have been taken: - Applicant must have already filled out a loan application prior to the work proceeding. - Applicant must have a commitment letter from his/ her Bank and the HRA confirming their.financing and approval of the project. - Final bids will be required to assess the total HRA portion of the loan. Closing will not be set up until final bids have been received. If the above conditions have been met, the applicant may proceed using their own funds or interim financing from a bank. However, this is done at the applicant's and/or bank's own risk until the total scope of work has been approved by the HRA and the loan has been closed. L. Priority of Projects In the event requests for BRLF funds exceed the amount that is available, first priority shall be given to industrial or manufacturin~ uses. Second priority shall be ~iven to research, technology, or clinical uses. Third priority shall be given to all other types of uses. In all of the priority categories, start up or expanding businesses locating in existing vacant commercial/industrial space in the City of Columbia Heights shall be funded prior to those not new or expanding. IV. NATURE OF LOANS The Business Revolving Loan Fund may provide up to $25,000.00 per loan, provided that the loan recipient meets eligibility requirements and the fund amount is matched or exceeded by a participating lender. Interest on the portion of the loan borrowed from the fund shall be at an annual rate of five percent (5%) and on the fixed rate loan portion borrowed from the participating lender (to be at least 50% of total loaned to applicant) shall not exceed the participating bank's index or prime rate plus two percent per annum. Other loan terms shall be determined by the participating lender~ except tha{ no repayment period shall exceed ten years and loans by the participating lender and the BRLF must be co-terminus. If the loan recipient's business is sold or liquidated, the balance of the loan would become due and payable. V. ORIGINATION FEE The applicant is required to pay an Origination Fee at the time of closing in the amount of $100 for the use of the 5% loan funds. Ir'shall be the responsibility of the local bank to collect this fee at closin~ and remit it to the HRA. PLAN FOR BUSINESS REVOLVING LOAN FUND (BRLF) PAGE 5. VI. PARTICIPATING LENDERS Participating lenders shall prescribe loan applications under this Plan to determine whether applications meet the Plan's eligibility requirements~ and shall additionally apply their ordinar~ standards for commercial/industrial improvement/ development loans to such applications. Participating lenders then shall provisionally approve or reject the application, provided that no application can be rejected for any unlawful reason. If an application is provisionally approved, it shall be forwarded to .the HI~A for further consideration of the BRLF portion of the loan. Participating lenders shall close the loans, obtaining properly executed security agreements, mortgages, promissory notes, corporate borrowing authorization, as appropriate from loan recipients. At the closing, each loan recipient shall certify that such applicant has read, understands, and will comply with the requirements of this Plan. The participating lender shall provide to the loan recipient such disclosures as may be required by law. Monthly, the participating lender shall remit to the HRA Financial Coordinator at 590-40th Avenue N.E., Columbia Heights~ MN 55421 that portion of any loan recipient's monthly payment which represents repayment of the BRLF portion of the principal and interest on the loan. The HRA shall not be a party to any of the loan documents but participating lenders, in a~reeing to the terms of the Plan~ agree to act as the }IRA's agent in receiving the }IRA's portion of the principal and interest payments on any loan given and further agree to transmit that portion to the }IRA, within at least 15 days of receipt. Participating lenders shall provide copies of all loan documents to the HRA along with a participation agreement showing the extent of BRLF participation in the loan. Loan documents shall reflect the entire amount of debt incurred, including the portion owed to the HI{A, and in any foreclosure or other collection remedy employed by any participating lender, such lender shall use its best efforts to collect that portion of the debt owed to the }IRA as well as that portion owed to the lender; however, any amount so collected shall be allocated first to interest due to the participating lender, then to principal due to the participating lender, then to reasonable allowable collection costs, and the remainder to the HRA. Participating lenders shall have the sole responsibility of determining applicants' credit risk and filing any liens on collateral. VII. REVOLVING LOAN PROGRAM REVIEW GROUP {Review Group} The HRA. will appoint the Review Group, which shall be composed of one representative from the }IRA, three representatives with financial expertise from the Columbia Heights residents or business community, and one member of the Columbia Heights City Council. Loan applications which have obtained preliminary approval from participating lenders shall be forwarded to the. Review Group for its comments on eligibility for BRLF participation. In considering whether to recommend approval of an application or which application to give priority, in addition to all other'criteria of this Plan, the Review Group may consider: (1) the date of the application; (2) the nature and extent of improvements leveraged by the loan fund; (3) the extent of rehabilitation; (4) the proposed use of existing vacant structure; and/or (5) the extent of new or expanded business and required job opportunities resulting from the proposed improvements. Within 30 days of receiving such application, the Review Group shall forward its comments along with the application to the }IRA Board of Commissioners for final approval. PLAN FOR BUSINESS REVOLVING LOAN FUND (BRLF) PAGE 6. VIII. APPROVAL BY ~RA The HRA Board of Commissioners shall consider each application at its regularly scheduled (or special) meeting immediately following receipt of the application from the Review Group. The HRA Board of Commissioners shall approve the application for BRLF participation or reject such participation, stating the reasons why. Such rejection shall not preclude resubmission of the application with appropriate modifications. At the time of any application's approval by the HRA Board of Commissioners, an appropriate amount of money in the BRLF shall be reserved to cover the BRLP's anticipated participation in the loan or the HRA shall indicate that insufficient funds for such participation then exist, in which case the application shall be placed on a waiting list until such time as funds become available or the application is withdrawn. The BRA shall communicate its actions promptly to the participating lender. At any time prior to closing on a loan, the participating lender may disapprove an application which had obtained preliminary approval, based upon changed circumstances or for any other reasonable cause. Initial applications for loans under this program will be received between May 1 and July 1, 1991. These applications will then be processed in accordance with the above procedures. Future application periods will be set by HRA staff in coordination with participating lenders. IX. pAYMENT OF LOAN PROCEEDS Loan proceeds shall be paid to the participating lender and loan recipient. All invoices and other necessary documentation as related to the project costs shall be provided to the Housing and Redevelopment Authority or its agent prior to the disbursement of funds. BRLF loan recipients must close on the loan within 30 days of final approval by the HRA Board of Commissioners. If not closed within the 30 day period the HRA reserves the right to cancel its commitment of funds and use those funds for another BRLF loan. Only those funds lent for the loan recipients project, activity or use stated in the applicant's loan application may be collected by the lender prior to collection of the HRA's share of the total loan. X. FORM OF APPLICATION The application shall be made on forms approved by the HRA and participating lenders, shall include information detailing the applicant's loan request and granting permission for preinspection any real property involved in the loan request. The application shall contain proposals from suppliers on any machinery and equipment to be purchased and formal accepted contingent offers on any real property proposed for purchase with BRLF funds. 4123/91/loan Approved by: HRA City Council Basic Policy: 2-26-91 3-11-91 1st Amendment: 4-18-92 4-22-91 BRLF Loan Committee Not Applicable 4-18-91 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. SO 1368 October 23,2001 I hereby certify that this report was prepared by me or under my direct supervision, and that I am a duly Licensed Professional Engineer under the laws of the state of Minnesota. Kurt A. Berglund, P.E. Clark Engineering Corporation Reg. No. 20441 PARKING RAMP CONDITION STUDY COLUMBIA HEIGHTS PARK CLINIC PARKING RAMP COLUMBIA HEIGHTS, MINNESOTA Clark Project No. S01368 TABLE OF CONTENTS INTRODUCTION ........................................................................................................................... 1 EXECUTIVE SUMMARY ............................................................................................................. 2 CONDITION STUDY PROCEDURE ............................................................................................ 3 BACKGROUND INFORMATION ................................................................................................ 4 TEST RESULTS ........................................................................................................................... 5 CONCERNS AND RECOMMENDATIONS ........................................................................... 6-7 PHOTOGRAPHS (Numbers 1 through 5) ............................................................................... 8 - 10 CONDITION STUDY PROCEDURE Our work consisted of the following: 1. Observations: Obse.rvations were performed on September 6, 2001. Visible structural elements of the parking structure were observed. This included interior and exterior columns, beams, slabs, interior foundation walls, curbs, joints and joint sealant etc. The intent of our observations was to identify structural concerns. 2. Photographic Documentation: Photographs were taken to record the observed condition of the parking ramp and to illustrate any items of concern that were noted. 3. Concrete Sounding: Chain dragging was performed in 100% of the drive lanes and in as many parking stalls as possible to identify delaminated concrete along the topside of the slabs. 4. Chloride Ion Testing Concrete dust samples were collected at three different locations within the ramp. Two dust samples were taken at each sampling location for a total of six samples. The sampling was performed in one inch increments starting at the top of the slabs, therefore the top two inches of the concrete were tested. The samples were tested in an independent laboratory to determine the water soluable chloride ion content. Page 3 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. SO 1368 BACKGROUND INFORMATION The ramp consists of three structural parking levels with a slab on grade parking level below. The structural parking levels are post tensioned concrete slabs. The slabs are supported by conventionally reinforced columns and post-tensioned beams. The main entrance to the ramp is located along the south side of the structure. There is also another entrance/exit on the north side from the adjacent alley. Page 4 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. SO 1368 CONCERNS AND RECOMMENDATIONS CONCERN # 1: Localized Concrete Delaminations Topside concrete delaminations were identified in some areas by visual observation and chain dragging. The most severe condition exists on level 1 at the main entrance (see photo # 1). The delaminations occur primarily over beam lines which is an indication that the negative moment reinforcing has begun to corrode. Delaminations were also identified in the concrete curbs (see photo #2). RECOMMENDATION #1: Partial Depth Concrete Repairs Restoration of distressed concrete areas should include: - Remove the distressed concrete to sound material and sandblast the exposed reinforcing steel to remove all mst and metal scaling. - Review condition of reinforcing steel to determine extent of potential deterioration. - Install additional reinforcing steel if significant deterioration has occurred. - Following the inspection and/or repair of the concrete reinforcement, the restoration area should be reconstructed with new concrete to the original condition. CONCERN #2: Distressed Joint Sealant Distressed joint sealant was identified in several areas by visual observation (see photos #3-#4). A crack occurs at every level in the area where the slab "crosses over" from one bay to the other. This crack has been routed and sealed in the past, however, the sealant in these cracks has failed. Another example of failed sealant is the cove joint sealant at the exterior sidewalk. The construction joint sealant is also showing signs of distress. RECOMMENDATION #2: Replace Joint Sealant The joint sealant in the slab cross over area and the cove joint sealant at the sidewalks should be replaced as soon as possible. The construction joint sealant should be replaced in the next 5-10 years. Spot repairs may be an option in the short term. CONCERN #3: High Chloride Ion Levels At all three test locations the chloride ion content is relatively high. The levels are lower as the test locations get deeper, but are still relatively high. Specific test results are given in the "Test Results" section of this report. Page 6 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. S01368 RECOMMENDATION #3: Installation of Waterproofing Membrane In our opinion a traffic bearing, waterproofing membrane should be applied to the supported levels. In our opinion, the membrane would help prevent further migration and accumulation of chloride ions in the concrete slabs. The service life of the post tensioned system can be greatly increased if the post tensioned cables are protected from the harmful effects of chloride ion and moisture. An alternative would be to apply a penetrating concrete sealer product, and route and seal all topside concrete cracks. · CONCERN #4 Photograph # 5 illustrates a crack in the comer of the post-tensioned slab.' RECOMMENDATION #4: The crack should be injected with epoxy to prevent water from entering the crack. CONCERN #5: One of the drains on the roof level is missing a cover. This a potential tripping hazard. RECOMMENDATION #5: We recommend replacing the drain cover. CONCERN #6: A portion of the flashing is missing around the stair core at the roof level. RECOMMENDATION #6: We recommend replacing the flashing to prevent water leakage to the levels below. CONCERN #7: The expansion joint material between the stair core and the rest of the structure is showing signs of distress. This occurs primarily at the roof level. RECOMMENDATION #7: Continue to monitor the condition of the expansion joint material and replace if condition worsens. Page 7 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. SO 1368 PHOTOGRAPHS Photograph #1: Delaminated concrete at the first level near the main entrance. Photograph #2: Example of typical crack at slab cross-over with failed joint sealant. Page 8 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. S01368 PHOTOGRAPHS Photograph #3: Close up view of crack that has been routed and sealed in the Past. The joint sealant has failed in this example. Photograph g4: Example of PT slab with a cracked corner. Page 9 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. S01368 PHOTOGRAPHS Photograph #5: Example of missing drain cover at the roof level. Photograph 06: Example of missing flashing around stair core at the roof level. Page 10 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia HeiSts, Minnesota Clark Project No. SO 1368 PHOTOGRAPHS Photograph//7: Example of a typical distressed expansion joint at the stair core on the roof level. Page 11 Parking Ramp Condition Study Columbia Heights Park Clinic Columbia Heights, Minnesota Clark Project No. S01368 Parking Ramp Condition Study Columbia Heights Business Center Columbia Heights, Minnesota Clark Project No. SO 1368 October 23,2001 I hereby certify that this report was prepared by me or under my direct supervision, and that I am a duly Licensed Professiona)tEngineer under the laws of the state of Minnesota. KurtA~. Berglund, P.'E. ' Reg. No. 20441 Clark Engineering Corporation CONDITION STUDY PROCEDURE Our work consisted of the following: 1. Observations: o o Observations were performed on September 6, 2001. Visible structural elements of the parking structure were observed. This included interior and exterior columns, beams, slabs, interior foundation walls, curbs, joints and joint sealant etc. The intent of our observations was to identify structural concerns. Photographic Documentation: Photographs were taken to record the observed condition of the parking ramp and to illustrate any items of concern that were noted. Concrete Sounding: Chain dragging was performed in 100% of the drive lanes and in as many parking stall~ as possible to identify delaminated concrete along the topside of the slabs. Chloride Ion Testing Concrete dust samples were collected at three different locations within the ramp. Two dust samples were taken at each sampling location for a total of six samples. The sampling was performed in 1-inch increments starting at the top of the slabs, therefore the top 2 inches of the concrete was tested. The samples were tested in an independent laboratory to determine the water soluable chloride ion content. Page 3 Parking Ramp Condition Study Columbia Heights Business Center Columbia Heights, Minnesota Clark Project No. S01368 BACKGROUND INFORMATION The ramp consists of three structural parking levels with a slab on grade parking level below. The structural parking levels are post tensioned concrete slabs. The slabs are supported by conventionally reinforced concrete columns and post-tensioned concrete beams. The main entrance and exit of the ramp is located along the north side of the structure. Oo Page 4 Parking Ramp Condition Study Columbia Heights Business Center Columbia Heights, Minnesota Clark Project No. S01368 PHOTOGRAPHS #1: Exam' Dosed tendons of a PT slab. Photograph #2: Example of exposed tendons along the underside of a PT slab. Page 7 Parking Ramp Condition Study Columbia Heights Business Center Columbia Heights, Minnesota Clark Project No. S01368 PHOTOGRAPHS Photograph #3: Example of exposed mild reinforcing bars in the topside of the PT slab. Photograph #4: Example of distressed joint sealant at the stair towers. Page 8 Parking Ramp Condition Study Columbia Heights Business Center Columbia Heights, Minnesota Clark Project No. S01368 RESIDENT COUNCIL MEETING MINUTES OF NOVEMBER 12, 2001 The meeting was called to order at 7:00 p.m. by President Bill Cross. The Pledge of Allegiance was said. Management Report by Anita Kottsick. · Security Systems-Anita is in the process of giving out the new entry cards. All but two of the cameras are working and will let everyone know when the system will be in place. · Reminded everyone that they must wait before driving away to insure garage doors are shut. · A poll of residents regarding how many use the Beauty Salon was done and 21 residents stated they use the facility and are satisfied with the costs. · Anita broughtthuP that Cher Bakken, Community Development Secretary ~s' planmng' on December 14 as the day the City workers would come to Parkview to sing Christmas Carols this year. Residents preferred the event at 1 p.m. in the party room. Reports were given by the Treasurer, Secretary, Entertainment, Sunshine and Welcoming Committees. There are three new tenants. Bill Cross asked for volunteers to decorate the day before the Christmas dinner on the 8th of December. Meeting Adjourned at 8:25 p.m. Respectfully Submitted, Pat Jindra EDA Representative Twin Cil~ies HAiSITAT FOR. HUMANITY Building Community 3001 Fourth Street SE Minneapolis MN 55414 612 331-4090 Fax 612 331-1540 vc~v. tchabitat .org October 19, 2001 Mayor Gary Peterson City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, MN 55421 Dear Mayor Peterson; Thank you so much for the City of Columbia Heights's recent gift to Twin Cities Habitat for Humanity. Your generous gift means so much to us because we simply could not do what we do with you! Fall is here and we are grateful for the tremendous support you have provided during our busiest construction season ever. Donation: Property at 3913 Polk Street NE. Presently, thousands of volunteers are freely donating their time, talent and labor working alongside homebuying families to build affordable homes across the Twin Cities at over 53 sites. Gifts like yours, allow each of us, in our own unique and valuable ways to be on the front lines, building homes that make a difference in the lives of families in our community every single day. We at Twin Cities Habitat for Humanity feel that the 69 homes being built year, express the best of our community's values of hard work, service, citizenship, and love for our neighbors and the places where we live. Thank you for the City of Columbia Heights's generous contribution. Together we are building more than houses. Together we are building hope, dignity and community all across the metro area. Steve Clen]kns In-Kind D, bnations Manager Ext. 611 cc: Randy Schumacher, Community Development Department Please consider this letter a receipt. In compliance with Internal Revenue Service regulations, Twin Cities Habitat for Humanity did not provide any goods or services in consideration, whole or part, for this contribution. Twin Cities Habitat for Humanity remains exempt under 501(c)(3) of the IRS Code. Equal Housing Opportunity Agency / Equal Opportunity Employer ANOKA COUNTY COMMUNITY ACT!ON PROGRAM, INC. 1201 89th Avenue NE · Suite 345 · Blaine, MN 55434 · Phone 763-783-4747 FAX 763-783-4700 · 'I-FY 763-783-4724 E-mail: accap@accap.org ....... A UAr igteendc~aY TO: KEN ANDERSON i ...... ; ..... FROM: CATHEY WEIDMANN Director of Senior Progr~tf~ SENIOR OUTREACH REPORT DATE: November 2, 2 001 Enclosed please find your community's SENIOR OUTREACH PROGRAM ANNUAL REPORT. These reports provide client data as well as statistics reflecting referrals made to different program/services. These referrals indicate the type of problems encountered by these members of your community. The Senior Outreach Worker, Jan La Pitz continues to serve your community and she welcomes referrals whenever a concern exists regarding one of your senior or disabled adult residents. Please feel to call with referrals or if you have any questions or comments regarding this report at 783- 4741. As always, thank you for your support of our program! An Equal Opportunity Employer ANOKA C UNTY COMM NITY ACT ON PROGRAM, INC. 12ol E-mail: accap @accap.org REPORT: SENIOR OUTREACH PROGRAM .7. ' ' A United Way AREA: Co umbza Hezghts PERIOD: Total for Program Year 2000-2001 FROM: Cathey Weidmann, Director - Senior Programs 1. NEW CLIENTS (not duplicated) HOUSEHOLDS: 342 INDIVIDUALS: 419 * Income Level (# of Mouseholds) * A~e (# of Individuals) 150% Poverty Below: 271 Above: 8 HUD Section 8 Below: 278 Above: 1 Income Unknown: 63 Under 59: 78 70-74: 60-64: 16 75-70: 65-69: 39 80- +: 63 77 146 * Sex (# of Individuals) * Size of Household Female: 311 Male: 108 One: 285 Three: 3 Two: 47 Four+: 7 * Female Head of Household: 624 * Type of Dwelling Private Home: 127 Mobile Home: 0 Senior Housing: 154 Apartment: 61 Other: 0 2. ON-GOING CLIENT VISITS: 290 * Race (# of Individuals) Asian: 4 Black/Afr. American: 10 Caucasian/White: 395 Hispanic: 4 Native American: 2 Other: 4 * Disability (# of Individuals) Hearing: 2 Mental: 1 Speech: 1 Visual: 15 Emotional: 0 Other: 88 Orthopedic: 38 3. REFERRALS MADE/AGENCY CONTACTS: (See Attached List) 1822 to over 100 different programs GROUP CONTACTS: 639 (Duplicated) (Senior or civic groups, city leaders, service providers, etc.) 5. REQUESTS FOR OUTREACH VISITS FROM OUTSIDE SOURCE: 134 (See Attached List) An Equal Opportunity Employer COLUMBIA HEIGHTS SENIOR OUTREACH PROGRAM REFERRALS AND PROGRAM CONTACTS ON CLIENT'S BEHALF ACCAP Crisis ............................................. 45 Energy Assistance Program (EAP) ................... 224 Energy Related Repair Program (ERR) ................. 0 Furniture Warehouse ................................. 5 Housing Rehab Program ............................... 2 Weatherization Program .............................. 2 Adult Day Care .......................................... 1 Alzheimer' s Association .................................. 12 Anoka County Emergency ................................... 18 Food Stamps ................................. 23 Income Maintenance .......................... 18 Human Services .............................. 44 Medical Assistance .......................... 34 Public Health Nursing ....................... 88 Vulnerable Adult Unit ....................... 22 "Are You Okay?" Program ................................ 2 Books by Mail ............................................. 2 Building Property Management ............................. 30 Christmas Basket Distribution ........................... 59 Churches .......................................... 2 City/Township/County ...... Offices ............................. Clinic/Physician ......................................... 45 Clothing Distribution/Closet ............................. 39 Community Emergency Assistance Program (CEAP) ............ 26 Congregate Dining ........................................ 21 Courage Center ............................................ 8 DAV Crisis assistance ..................................... 7 Department of Rehab Services (DRS) ........................ 3 Equipment Distribution Program ............................ 3 Equipment Loan Programs ................................... 9 Fare for All Food Program (formerly Fare Share) ........... 4 First Call for Help crisis assistance ..................... 5 Food Shelves ............................................. 47 Grocery Delivery Services ................................. 5 HandyWorks/Chore Service ................................. 56 Health Plan Information ................................ 13 Hospice ................................................... 3 Hospital .................................................. 5 Housing Assistance ...................................... 203 HRA ....................................................... 7 Jobs and Training/Older Workers Program ................... 5 Legal Services/Mediation Services ........................ 15 Library ................................................... 1 Lifeline Program .......................................... 6 Link Up America .......................................... 18 Low Cost Clinics .......................................... 3 Meals on Wheels/Home Delivered Meals ..................... 11 Metropolitan Center for Independent Living (MCIL) ......... 1 ANOKA COUN'I'Y COMMUNITY ACTION PROGRAM, INC. Minnesota Care ........................................... 1 Minnesota Supplemental Assistance (MSA) .................. 1 Movers ................................................. 7 Nutrition Assistance Program for Seniors (NAPS) ......... 109 Paintathon Program ........................................ 1 Parish Nurse ............................................. 1 Police Department ........................................ 3 Prescription Drug Program ................................ 22 QMB/SLMB ................................................. 57 Respite Program ........................................... 1 Reverse Mortgage Program .................................. 2 Rise, Inc ............................................... 6 Salvation Army crisis assistance ......................... 30 Senior Centers/Clubs .................................... 5 Senior Companion Program ................................. 35 Service Groups ........................................... 12 Share A Home Program ...................................... 1 Silver Angel ............................................. 8 Social Security Administration ........................... 8 State Service for the Blind .............................. 2 Support Groups ........................................... 2 Telephone Assistance Plan (TAP) .......................... 40 Transportation ........................................... 30 TRIAD Emergency card ..................................... 19 Utility Discount Programs ............................... 14 Veterans Administration ................................... 3 Vision Loss Resources .................................... 26 Voter's Registration ...................................... 3 Other ................................................... 117 TOTAL REFERRALS = 1822 MADE TO OVER 150 DIFFERENT PROGRAMS/AGENCIES ANOKA COUNTY COMMUNITY ACTION PROGRAM, INC. COLUMBIA HEIGHTS REQUESTS FOR OUTREACH VISITS FROM OUTSIDE SOURCE Anoka County Commissioner ...................................... 2 Anoka County Human Services ................................. 15 Anoka County Income Maintenance .............................. 11 Building Manager (Property Management) ......................... 33 CEAP .......................................................... 2 Church/Pastor .................................................. 1 City Offices ................................................... 2 Congregate Dining Coordinator .................................. 3 Family Member/Relative ......................................... 23 Friend of client ................................................ 3 HandyWorks Coordinator .......................................... 4 Hennepin County Social Worker ................................. 1 Home Health Care Agency Social Worker .......................... 1 Hospital Social Worker ......................................... 1 Nutrition Assistance Program for Seniors (NAPS) Coordinator .... 4 Neighbor of client ............................................. 1 Parish Nurse ................................................... 1 Police ......................................................... 1 Public Health Nurse ............................................. 9 Rise, Inc ...................................................... 1 SACA Coordinator ............................................... 2 Salvation Army ................................................. 1 Senior Center Director ......................................... 1 Senior Companion .................. ............................. 4 Service Organization ........................................... 1 State Services for the Blind .................................... 1 Vision Loss Resources .......................................... 2 Volunteers of America (VOA) ................................. 2 VFW .......................................................... 1 TOTAL = 13 4 ANOKA COUNTY COMMUNITY ACTION PROGRAM, INC. HOUSING UPDATE NOVEMBER, 2001 1. On Wednesday, October 17t~, staffmet with Kim Smart, MHFA First-Time Homebuyer Program Manager, to get the latest results for Columbia Heights. She stated that a total of 9 loan "reservations" were made in the City with 7 of them closing; 4449 7th Street ($98,135), 4320 7t~ Street ($142,400), 3705 Van Buren Avenue ($133,422), 4643 6th Street ($138,329), 4038 7th Street ($119,515), 4700 6~h Street ($147,155), and 1613 39th Avenue ($127,988). The total of the 7 closed loans is $906,944(report attached). Miss Stuart said there was one more loan being processed for a Columbia Heights home, so the total could potentially go over $1,000,000. Final results will be available by the December Housing Update. This is the highest number of mortgages for first-time homebuyers under this program ever in Columbia Heights! 2. At the same meeting, staff also discussed with Ms. Stuart the potential for a separate allocation of First-time Homebuyer's Program dollars for the Columbia Heights EDA in 2002. Stuart informed staff that the amount of dollars available under this program in 2002 will be only one- half of the $59 million that were available in 2001. As a new participant, the Columbia Heights EDA may get only the minimum of $100,000 in 2002. As a result, it appears that the EDA would be better off sticking with Anoka County in 2002, as their allocation will in the range of $3 to $4 million. However, she did indicate that brochures can be printed with the Columbia Heights EDA name on it, which would raise EDA's visibility in the community, so I gave her the "go ahead" to do that for the EDA. Anoka County plans on submitting an application for the 2002 program in mid-January. 3. Crestview signed a lease to replace the Little Voyageurs Montessori School with "Free To Be" Daycare Center at their Columbia Park facility. The new "Free To Be" Daycare Center will take infants through preschool at the facility. They will be providing before and after school care to low-income residents of Columbia Heights. The daycare center opened the week of October 8~. The Little Voyageurs Montessori School has temporarily relocated to St. Timothy's Lutheran Church. "Free To Be", non-profit organization serving low income Anoka County residents, also operates a car care clinic once a month for low income car owners that cannot afford repairs, as well as a car donation program that benefits people that could not otherwise afford one to get to work. On Wednesday, November 7th, I attended a fundraising meeting of "Free To Be", as they will be "kicking off" an attempt to raise about $108,000 to expand their car care program, most likely in Columbia Heights. 4. Housing TIF District #2 (P4), which was established to construct senior housing adjacent to St. Tim's Lutheran Church, is now officially decertified with the approval by the EDA Board on October 16t~ and the City Council on October 22nd. 5. A Public Hearing for the modifications to Housing TIF District #1 has been set for Monday, December 17th at 7:00 PM. A total of 12 parcels will be added to the 56 parcels currently in the Dislrict, which will use funds generated from the District for housing rehab. Funds expected to be generated from this District must be used by September, 2002. 6. As the HRA begins the process for the 2002 Annual PHA Plan with a Public Hearing early next year, we are still working on the final approval for the 2001 Annual PHA Plan. At present, we have received a certification from Anoka County that the 2001 Annual PHA Plan is consistent with Anoka County Housing Plans (copy attached). Staff will also be incorporating any changes that HUD will be requiring resulting from their review of the Plan. 7. The forms for reimbursement of the $6,709.90 for underpayments to Millar Elevator Service employees for the elevator modernization project at Parkview Villa were submitted to HUD the week of October 22nd. Staff did receive the funds from HUD for payment and we are trying to confirm in writing that the HRA can move forward to complete the process of paying the workers. 8. The City has received clearance from Anoka County and the Department of Housing and Urban Development to purchase the home owned by Ms. Heidi Von Heidemann at 3718 Central Avenue with Community Development Block Grant funds (see attachment). The final purchase price is $70,000 and no relocation benefits will be paid. Land Title, Inc. will handle the closing on Monday, November 19, 2001. Reimbursement of the $70,000 from the CDBG Program will take place shortly. 9. The closing for the sale of the HRA's 2 remaining Home Mortgage Loans to Community Reinvestment Fund, Inc. took place on Thursday, November 1st. Because of lower interest rates, the HRA netted about 2% more than originally anticipated. The total amount received was $33,343.67, which is about 88% of value (see attached check copy). The funds will eventually be placed in the EDA's Business Revolving Loan Fund. Letters explaining the sale of the loans have been sent to the Neilsens and Chartraw. 10. The City has received its reimbursement check from Anoka County for $70,000 from the CDBG- HOME fund program (copy of check attached). As you may recall, the funds were a key piece of the financing for the purchase of 4401 Quincy Street, which is being redeveloped as a twinhome by Habitat for Humanity. Demolition of the existing home at 4401 Quincy Street NE is now complete, excavation work is done, and the foundation is getting ready for pouring. As for 3913 Polk Street, framing is nearly complete, if the weather holds, both properties could be ready for inside work by winter. 11. Attached is a copy of the latest update for CDBG Rehab Program from CEE for your information. It shows that the entire Year 2000 allocation of $119,189.04 has either been spent or is in process, as of October 29th. 12. Staffplans to begin working on reviewing the financial proforma for the HRA-owned 4-plex at 4607 Tyler Street this month. 13. Staffreceives a few phone calls from people interested in Home Improvement Loans, because of the City website. On my "list of things to do" is to talk to a focus group of residents about how we can upgrade the way housing information is presented on the website. If any Commissioner is interested in participating in the process, let me know. NEWS ALERT!!; Minnesota Homes Divisior~' MINNESO rA HOUSING FINANCE AGENCY MCPP October 22, 2001 On October 25, 2001 the individual city/county allocations collapse into the general pool. Lenders access the general pool for consumers in 2001 MCPP communities on a first come, first served basis. 5.95% As of October 18, 2001 $5,953,955 remained of the original $59,402,076 released April 25th to fund the Minnesota City Participation Program (see attached report for details). As of the date of this mailing, the following cities have funds remaining: Anoka County Blue Earth County Clearwater County Cromwell Darwin Fillmore County Hennepin County Houston County Hubbard County Pipestone County Ramsey County Rice County Washington County Winona Note: cancellation of current reservations may provide resources to replenish exhausted allocations. To check the overall MCPP balance call: 651~297-3-135- (Metro) - -- 800-657-3896 (Greater MN) MHFA staff anticipates placing the 2002 MCPP RFP (application) on the website in November. You will receive a postcard reminding you to print out and send in the RFP by January 15th. Last legislative session, the application dates for the program changed from February 1 15"' to January 1't-15"`. Questions? Call Kimberly Stuart 651-296-9959 800-710-8871 400 Sibley Street, Suite 300, St. Paul, Minnesota 55101 (651) 296-8215 Fax- (651) 296-8292 TTY (651) 297-2361 Equal Opportunity Housing and Equal Opportunity Employment Allocation Name Albert Lea Alexandria Anoka County Bamesville Becker County Beltrami County Blue Earth County Breckenridge Chippewa County Chisago County Clearwater County Cromwell Crow Wing County Darwin Dilworth Dodge County Duluth Fillmore County Glyndon Grant County Heunepin County Houston County Hubbard County Kandiyohi County Lake City Mahnomen County McLeod County Moorhead Morrison County Mower County North Mankato Olmstead County ~1 County Owatonna Pipestone County Ramsey County Rice County ~ Sank Centre Sank Rapids Sherburne County St. James St. Peter Stevens County Swift County Washington County Wells Winona Wright County Allocation Amount $413,508.00 $248,575.00 $6,870,095.00 $100,000.00 $687,002.00 $891,569.00 $1,000,000.00 $100.000.00 $303 434.00 $969 943.00 $193 615.00 $100 000.00 $1,215 814.00 $100 0000.00 $100 O00.00 $403 841.00 $1,953,936.00 $250,000.00 $ I00,000.00 $142,235.00 $16,801,638.00 $4OO O00.00 $396 297.00 $967 659.00 $100OO00.00 $119 187.00 $815 895.00 $785 626.OO $732 654.00 $867,091.00 $273,257.00 $2,802,062.00 $1,273,354.00 $498,318.OO $238,627.00 $5,329,296.00 $1,266,340.00 $100,000.00 $229,721.00 $1,317,928.00 $100,000.00 $231,590.00 $243,057.00 $261,583.00 $4,582,109.00 $100,000.00 $2,025,180.00 MCPP Usage Report 10/18/01 Commited Amount $453,209.00 $313,300.00 $5,771,060.00 $138,870.00 $739,331.00 $901,630.00 $907,424.00 $124,250.00 $329,184.00 $1,038,502.00 $59,900.00 . $1,266,458.00 $144,081.00 $440,461.00 $2,066,497.00 $231,858.00 $120,020.00 $201,9O0.00 $15,138,271.00 $299,581.00 $214,550.00 $1,024,274.00 $142,840.00 $123,540.00 $872,971.00 $904,886.00 $769,394.00 $871,785.00 $290,121.00 $2,853,717.00 $1,334,112.00 $500,631.00 $107,135.00 $3,803,129.00 $1,163,231.00 $146,875.00 $258,986.00 $1,359,604.00 $153,500.00 $294,800.00 $274,6O0.00 $277,420.00 $2,375,928.00 $112,280.00 $399,629.00 $2,132,396.00 Funds Available -$39,701.00 -$64,725.00 $1,099,035.00 -$38,870.00 -$52,289.00 -$10,061.00 $92,576.00 -$24,250.00 -$25,750.00 -$68,559.00 $133,715.00 $100,000.00 -$50,644.00 $100,000.00 -$44,081.00 -$36,620.00 -$112,561.00 $18,142.00 -$20,020.00 -$59,665.00 $1,663,367.00 $100,419.00 $181,747.00 -$56,615.00 -$42,840.00 -$4,353.00 -$57,076.00 -$119,260.00 -$36,740.00 -$4,694.00 -$16,864.00 -$51,655.00 -$60,758.00 -$2,313.00 $131,492.00 $1,526,167.00 $103,109.00 -$46 875.00 -$29 265.00 -$41 676.00 -$53 500.00 -$63 210.00 -$31 543.00 -$15 837.00 $2,206,181.00 -$12,280.00 $371.00 -$107,216.00 # of Loans 8 4 3 I1 14 12 3 6 10 1 16 2 6 27 3 1 4 121 4 4 15 2 3 10 13 11 14 3 28 24 5 2 32 12 2 3 13 2 3 5 6 18 2 5 18 Percentage of Usage 109.60% 126.04% 138.87% 107.61% 101.13% 90,74% 124.25% 108.49% 107.07% 30.94% 0.00% 100.17% ... 0.00% 144.08% 109.07% 105.76% 92.74% 120.02% 141.95% 90.10% 74.90% 54.14% 105.85% 142.84% 103.65% 107.00% 115.18% 105.01% 100.54% 10C17% 101.84% 100.77% 100.46% 44.90% 71.36% 91.86% 146.88% 112.74% 103.16% 153.50% 127.29% 112.98% 106.05% 51.85% 112.28% 99.91% 105.29% $59,402,076.00 $53,448,121.00 $5,953,955.00 555 89.98% Karen Skepper Community Development Manager Direct #763-323-5709 COUNTY OF ANOKA Office of Governmental Services Division GOVERNMENT CENTER 2100 3rd Avenue · Anoka, Minnesota (763) 323-5700 October 24, 2001 Mark Nagel City of Columbia Heights 590 40th Avenue NE Columbia Heights, MN 55421 Dear Mr. Nagel, I have received your PHA Plan, reviewed the documents and sent the certification form to the Dakota County CDA. The County of Anoka participates in the Dakota County Consortium, with final certification required from their agency. Your PHA Plan is consistent with the Anoka County portion of the Consolidated Plan and I have recommended the certification be signed and returned to your offices. If you have any questions please feel free to call me. Sincerely, Karen Skepper Community Development Manager Governmental Services FAX: 763-323-5682 Affirmative Actiorl~. al Opportunity Employer TDD/TTY: 763-323-5289 Certification by State or Local Official of PHA Plans Consistency with the Consolidated Plan I, Mark Ulfers, Executive Director of the Dakota County Community Development Aqency, authorized to act on behalf of the Dakota County Consortium, certify that the Five Year and Annual PHA Plan of Columbia Heiqhts is consistent with the Consolidated Plan of the Dakota County Consortium prepared pursuant to 24 CFR Part 9t. Signature of Authoriz( Date Mark UIfers, Executive Director Dakota County Community Development Agency COUNTY OF ANOKA Office of Governmental Services Division GOVERNMENT CENTER · _.' .................. 2100 3rd Avenue · Anoka, Minnesota 55303-2265 .... , . ... (763) 323-5700 Sue Speakman HOME Coordinator Direct #763-323-5708 ,~, .-- .- October 29, 2001 Mr. Mark Nagel Community Development Department City of Columbia Heights 590 - 40th Avenue N.E. Columbia Heights, MN 55421-3878 Dear Mr. Nagel: I have enclosed a copy of the Authority to Use Grant Funds from the U.S. Department of Housing and Urban Development. You may now expend the funds and submit to us for reimbursement. Please feel free to call me at the above number with any questions. Sue Speakman HOME Coordinator Authority to Use Grant Funds ~,~ FAX: 763-323-5682 Affirmative Actio,n,~.ual Opportunity Employer TDD/TTY: 763-323-5289 Authority to Use Grant Funds U.S. Department of Housing and Urban Development Office of Community Planning and Development To: (name & address of Grant Recipient & name & title of Chiet Executive Officer) JOHN JAY MCLIN~EN COUNTY ADMINISTRATOR ANOKA COUNTY GOVERNMENT CENTER 2100 THI RD AVENUE, 7TH FLOOR ANOKA, ~ 55303 Copy To: (name & address of SubRecipient) SUE SPEAK~N NIOKA COMITY COMMUNITY r)EVELOPMENT l'lEPT. 2].00 THIRD .AVENUE, 7TH ~LOOR ANOKA, .PI'.) 55303 We received your Request for Release of Funds and Certification, form HUD-7015.15 on 10/10/01 Your Request was for HLrD/State Identification Number R .-(1(1-11C-274)0(T2 All objections, if received, have been considered. And the minimum waiting period has transpired. - You are hereby authorized to use funds provided to you under the above HUD/State Identification Number. File this form for proper record keeping, audit, and inspection purposes. COLUMBIA HEIGHTS COMMERCIAL REVITALIZATION EFFECTIVE DATE: 10/26/01 Typed Name ot Authorizing Officer ALAN L, JO[ES Title of Authorizing Officer CPD DIRECTOR Signature of Authorizing Officer Date (mm/ddlyyyy) x HUD-7015.16 (2/94) form ref. Handbook 6513,01 Previous editions are obsolete. C~O~M_,M.~ITY RE!.H~V~E.S~T~.E~NT FUND, INC. ]t_q?~ 13 9 2 5 / I O~*O6~./~I~I"~R NUMBE~ ~'O~1~ ~(~0~'~'I--E~'N'I~I~'~I~-~ DATE ........ ,~bb'13N'~ ..... ~bUNT PAID DISCOUNT WRITE-OFF N~ 00000000000006914 110201 11/2/01 $33,343.6 $33,343.6~ $0.0( $0.0( $33,343.67 COMMENT1oan purchase PAY TO THE ORDER OF COMMUNITY REINVESTMENT FUND, INC. 801 NICOLLET MALL MIDWEST PLAZA 1800 W MINNEAPOLIS, MINNESOTA 55402-2.925 (612) 338-3050 WESTERN BANK & INSURANCE AGENCY P.O. BOX 64689 ST. PAUL, MN 55~64 22-66/960 DATE ii/2/oi Thirty Three Thousand Three Hundred Forty Three Dollars And 67 Cents City of Columbia Heights ,'Ol, 3qE)5,' m:OqROOOEEI, m: qO;~,,,O&O-, 13925 AMOUNT $33,343,67 I~%/ATURE ?COUNTY ::~ :2.100 ~:~A~: ::: .... 'lT~'~:.:i~ ';~.'~:DA~: i:02-~0¥-01: il, ~0~!~~'s~O~.~i' ~:~:~.~:i!~ ~. ' · :'-' 'i i2'"::i'i:! . :910 Seventy Thousand Dollars And O0 ********************************* ,'ct i,&P, ~ ?,' ,:OCt ~0000 ;I, C1¢ O0 i, O00Ci i, O0,' ANOKA COUNTY REMITTANCE ADVICE DATE 02-NOV-01 CHECK NO. 916817 Il-OCT-01 31-OCT-01 COL HTS AQUISITON HOME# 807 0,00 70,000.00 10/29/01 15:01 FAX 612 335 2650 CENTER FOR ENERGY & ENV] ~001 CENTER FOR ENERGY AND ENVIRONMENT 211 North 1't S~t, Suite 455, Minneapolis, MN 55401 FACSIMILE COVER SIIEET TO: Tim Johnson City of Columbi~ Heights (763) 706-.3671 2 (763) 706-3673 Tim- Attached is an updated report reflecting thc status of the CDBG pwgram. Give me a call if you would like additional information. Dave October 29, 2001 ~ , 3:;T 2 9 FROM: Fa~rd copy WILL/WILL NOT follow via: Mail (Circle One) ffyou do not receive this FAX in its eatirety, please call 335-5858. Federal Exprcss (Cirde One) AirBorne Express Othex L:~dat~Xl OWorrr~Waxsht.doc