HomeMy WebLinkAboutEDA AGN 10-25-04CITY OF COLUMBIA HEIGHTS
590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692
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EDA COMMISSIONERS
Don Murzyn Jr.
Patricia Jindra
Bruce Kelzenberg
Julienne Wyckoff
Bruce Nawrocki
Bobby Williams
Tammera Ericson
ECONOMIC DEVELOPMENT AUTHORITY SPECIAL MEETING
6:30 P.M., MONDAY, OCTOBER 25, 2004
CITY HALL, COUNCIL CHAMBERS
AGENDA
1. CALL TO ORDER/ROLL CALL
2. PLEDGE OF ALLEGIANCE.
3. ITEMS FOR CONSIDERATION
A. ADOPT RESOLUTION 2004-13~ ADOPTING A MODIFICATION TO THE
DOWNTOWN REVITALIZATION PLA N FOR THE CBD REDEVELOPMENT
PROJECT AND ESTABLISHMENT OF THE HUSET PARK AREA TIF PLAN.
MOTION: Move to Adopt Resolution 2004-13, a Resolution Adopting a Modification to the
Downtown Revitalization Plan for the CBD Redevelopment Project and Establishment of the
Huset Park Area TIF Plan.
B. ADOPT RESOLUTION 2004-12~ ELIMINATING PARCELS FROM K2 TIF DISTRICT
MOTION: Move to Adopt Resolution 2004-12, a Resolution Approving the Elimination of
parcels from the TIF 4 Multi Use Redevelopment Project (MURP) K2 Tax Increment Financing
District within the Central Business District Redevelopment Project in the City of Columbia
Heights.
4. ADMINISTRATIVE REPORTS
5. ADJOURNMENT
Walter R. Fehst, Executive Director
H:\edaAgenda2004\l 0-25-2004 Spec.
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
THE CITY Of COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS Of DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES
EQUAL OPPORTUNITY EMPLOYER
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: October 25, 2004
AGENDA SECTION: Items for Consideration ORIGINATING EXECUTWE
NO: 3-A DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Adopt Resolution 2004-13, Adopting a BY: Randy Schumacher BY:
Modification to the Downtown Revitalization DATE: October 20, 2004
Plan for the CBD Redevelopment Project and
Establishment of the Huset Park Area TIF Plan
BACKGROUND:
The purpose of this resolution is for the proposed modification to the Downtown Revitalization Plan
for the CBD Redevelopment project and establishment of the Huset Park Tax Increment Financing
Plan. The increment created would be used for the purpose of encouraging the development and
redevelopment of certain designated areas within the City.
The City's financial consultant will be present to review the Tax Increment Financing Plan being
proposed and answer any questions.
RECOMMENDATION: Staff recommends Adoption of Resolution 2004-13, Modifying the
Downtown Revitalization Plan for the CBD Redevelopment Project and establishing the Huset Park Tax
Increment Financing District.
RECOMMENDED MOTION: Move to waive the reading of Resolution 2004-13, there being an
ample amount of copies available to the public.
RECOMMENDED MOTION: Move to Adopt Resolution 2004-13, a Resolution Adopting a
Modification to the Downtown Revitalization Plan for the CBD Redevelopment Project and
establishment of the Huset Park Area Tax Increment Financing District.
Attachments
EDA ACTION:
h:\consent Form2004~EDA Res.2004-13, Huset Pk TIF
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
CITY OF COLUMBIA HEIGHTS
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOLUTION NO. 2004-13
RESOLUTION ADOPTING A MODIFICATION TO THE DOWNTOWN
CENTRAL BUSINESS DISTRICT (CBD) REVITALIZATION PLAN FOR THE
CBD REDEVELOPMENT PROJECT AND ESTABLISHING THE HUSET PARK
AREA TAX INCREMENT FINANCING DISTRICT THEREIN AND ADOPTING
A TAX INCREMENT FINANCING PLAN THEREFOR.
WHEREAS, it has been proposed by the Board of Commissioners (the "Board") of the Columbia
Heights Economic Development Authority (the "EDA") and the City of Columbia Heights (the "City")
that the EDA adopt a Modification (the "Project Plan Modification") to the Downtown CBD
Revitalization Plan for the CBD Redevelopment Project (the "Project Area") and establish the Huset Park
Area Tax Increment Financing District and adopt a Tax Increment Financing Plan (the "TIF Plan")
therefor (the Project Plan Modification and the TIF Plan are referred to collectively herein as the "Plans"),
all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.090 to
469.1082, and Sections 469.174 to 469.1799, inclusive, as amended (the "Act"), all as reflected in the
Plans and presented for the Board's consideration; and
WHEREAS, the EDA has investigated the facts relating to the Plans and has caused the Plans to
be prepared; and
WHEREAS, the EDA has performed all actions required by law to be performed prior to the
adoption of the Plans. The EDA has also requested the City Planning Commission to provide for review
of and written comment on Plans and that the City Council schedule a public hearing on the Plans upon
published notice as required by law.
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
1. The EDA hereby finds that the Huset Park Area Tax Increment Financing District is in
the public interest and is a "redevelopment district" under Minnesota Statutes, Section 469.174, Subd.
10(a)(1), and finds that the adoption of the proposed Plans conform in all respects to the requirements of
the Act and will help fulfill a need to develop an area of the State of Minnesota which is already built up
and that the adoption of the proposed Plans will help provide life-cycle housing for citizens of the City,
and to clean-up polluted soils, buildings, and groundwater, and thereby serves a public purpose.
2. The EDA further finds that the Plans 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. The EDA further finds that the T~ District portion of the Project Area is a "blighted
area" within the meaning of Minnesota Statues, Section 469.002, Subd. 11, and that acquisition, clearance
and related activities to redevelop the TIF District portion of the Project Area in accordance with the
SJB-253456vl
CL205-23
Project Plan and the TIF Plan constitute a "redevelopment project" within the meaning of Minnesota
Statutes, Section 469.002, Subd. 14.
4. The reasons and facts supporting the findings in this resolution are described in the Plan
and in the exhibits attached to the City resolution approving the Plans, on file in City Hall.
5. Conditioned upon the approval thereof by the City Council following its public hearing
thereon, the Plans, 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 Executive Director of the EDA.
6. Upon approval of the Plans by the City Council, the staff, the EDA's advisors and legal
counsel are authorized and directed to proceed with the implementation of the Plans 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 Plans does not constitute approval
of any project or a Development Agreement with any developer.
7. Upon approval of the Plans by the City Council, the Executive Director of the EDA is
authorized and directed to forward a copy of the Plans to the Minnesota Department of Revenue pursuant
to Minnesota Statutes 469.175, Subd. 4a.
8. The Executive Director is authorized and directed to forward a copy of the Plans to the
Anoka County Auditor and request that the Auditor certify the original tax capacity of the District as
described in the TIF Plan, all in accordance with Minnesota Statutes 469.177.
Approved by the Board of Commissioners of the Columbia Heights Economic Development
Authority this 25th day of October 2004.
ATTEST:
President- Don Murzyn Jr.
Executive Director- Walter R. Fehst
SJB-253456vl
CL205-23
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of: October 25, 2004
AGENDA SECTION: Items for Consideration ORIGINATING EXECUTWE
NO: 3-B DEPARTMENT: EDA DIRECTOR
APPROVAL
ITEM: Adopt Resolution 2004-12, Eliminating BY: Randy Schumacher BY:
Parcels from K2 TIF District DATE: October 20, 2004
BACKGROUND:
The purpose of this Resolution is to eliminate 12 parcels that are presently located in a previously
established Tax Increment Financing District (MURP) K2, thereby, qualifying them to be designated
in a new Tax Increment Financing District. The original net tax capacity of the Tax Increment
Financing District will be reduced by no more than the current net tax capacity of the parcels.
The City's financial consultant will be l~resent to review the Tax Increment Financing Plan being
proposed and answer any questions
RECOMMENDATION: Staff recommends adoption of Resolution 2004-12, eliminating parcels from
the K2 TIF District.
RECOMMENDED MOTION: Move to waive the reading of Resolution 2004-12, there being an
ample amount of copies available to the public.
RECOMMENDED MOTION: Move to Adopt Resolution 2004-12, a Resolution Approving the
Elimination of parcels from the TIF 4 Multi Use Redevelopment Project (MURP) K2 Tax Increment
Financing District within the Central Business District Redevelopment Project in the City of Columbia
Heights.
Attachments
EDA ACTION:
h:\consent Form2004\EDA Res.2004-12 Elim. Parcel from K2 TIF
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
CITY OF COLUMBIA HEIGHTS
COUNTY OF ANOKA
STATE OF MINNESOTA
RESOLUTION NO. 2004-12
RESOLUTION APPROVING THE ELIMINATION OF PARCELS FROM THE TIF
4 MULTI USE REDEVELOPMENT PROJECT (MURP) K2 TAX INCREMENT
FINANCING DISTRICT WITHIN THE CENTRAL BUSINESS DISTRICT
REDEVELOPMENT PROJECT IN THE CITY OF COLUMBIA HEIGHTS.
WHEREAS, on September 28, 1989, the City of Columbia Heights City Council (the "City)
established TIF 4 Multi Use Redevelopment Project (MURP) K2 Tax Increment Financing District (the
"TIF District") within its Central Business District Redevelopment Project; and
WHEREAS, the Columbia Heights Economic Development Authority (the "EDA") is the
administrative authority for the TIF District; and
WHEREAS, the TIF District, in part, included the following parcel numbers, which were
previously certified in the TIF District (the "Parcels"):
35-30-24-34-0013
35-30-24-34-0014
35-30-24-34-0040
35-30-24-43-0060
35-30-24-43-0047
35-30-24-34-0035
35-30-24-34-0039
35-30-24-34-0024
35-30-24-34-0041
35-30-24-34-0003
35-30-24-34-0004
35-30-24-34-0002
WHEREAS, the Parcels have been excluded from the original tax capacity of the TII~ District
pursuant to Minnesota Statues, Section 469.176, Subd. 6 (the so-called "knock-down rule"); and
WHEREAS, the EDA desires by this resolution to cause the elimination of the Parcels from the
TIF District thereby reducing the size of the TIF District; and
WHEREAS, the City and EDA are authorized to modify the TW District by eliminating one or
more parcels without the notice and hearing required for approval of an initial plan if they agree that,
notwithstanding Minnesota Statutes, Section 469.177, Subd. 1, the original net tax capacity of the TIF
District will be reduced by no more than the current net tax capacity of the parcels eliminated from the
TIF District; and
WHEREAS, while the Parcels have been "knocked down," their current net tax capacity is less
than the original net tax capacity of those Parcels when originally certified.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE
EDA as follows:
1. The tax increment financing plan ("TIF Plan") for the TIF District is hereby modified to
remove the Parcels from the TIF District, effective for taxes payable in 2005.
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2. In accordance with Minnesota Statutes, Section 469.175, Subd. 4(e)(2)(B), the EDA
elects that the original net tax capacity of the TIF District will be reduced by no more than the current net
capacity of the Parcels.
3. Upon approval of a similar resolution by the City, staff are authorized and directed to
attach a copy of this resolution to the TIF Plan for the TIF District in City files, file a copy of this
resolution with the County Auditor of Anoka County along with instructions to adjust the records for the
TIF District accordingly, and file a copy of the resolution with the Minnesota Commissioner of Revenue.
Approved by the Board of Commissioners of the Columbia Heights Economic Development
Authority this 25th day of October, 2004.
ATTEST:
President- Don Murzyn Jr.
Executive Director- Walter R. Fehst
SJB-253425vl
CL205-23
MODIFICATION TO THE DOWNTOWN CENTRAL BUSINESS DISTRICT
REVITALIZATION PLAN FOR THE CENTRAL BUSINESS DISTRICT
REDEVELOPMENT PROJECT
and the
TAX INCREMENT FINANCING PLAN
for the establishment of
THE HUSET PARK AREA TAX INCREMENT FINANCING DISTRICT
(a redevelopment district)
within
THE CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
CITY OF COLUMBIA HEIGHTS
COUNTY OF ANOKA
STATE OF MINNESOTA
Public Hearing:
Public Heating Continued:
Public Heating Continued:
Public Hearing Continued:
Adopted:
August 9, 2004
September 13, 2004
September 27, 2004
October 25, 2004
EHLERS
ASSOCIATES INC
Prepared by: EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Ddve, Roseville, Minnesota 55113-1105
651-697-8500 fax: 651-697-8555 www.ehlers-inc.com
TABLE OF CONTENTS
(for reference purposes only)
SECTION I
MODIFICATiON TO THE DOWNTOWN CENTRAL BUSINESS DISTRICT REVlTALIZA TION
PI_AN FOR THE CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT... 1-1
Foreword
''"''''''" ................ '.-.-...-........................ 1-1
Overview
....... '''" ......... '-"-'-. ......... ..-.. .... .............. 1-1
Findings ............................................................. 1-1
SECTION II
TAX INCREMENT FINANCING PLAN FOR THE
HUSET PARK AREA TAX INCREMENT FINANCING DISTRICT ................. 2-1
Subsection 2-1. Foreword .................................. 2-1
Subsection 2-2. StatutoryAuthodty.... ...................... i..iiiiiiiiiii 2-1
Subsection 2-3. Statement of Objectives ................................... 2-1
Subsection 2-4. Downtown CBD Revitalization Plan Overview .................. 2-1
Subsection 2-5. Description of Property in the District and Property To Be Acquired . 2-2
Subsection 2-6. Classification of the Distdct ................................ 2-2
Subsection 2-7. Duration of the Distdct
Subsection 2-8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity
Value/Increment and Notification of Prior Planned Improvements ............... 2-4
Subsection 2-9. Sources of Revenue/Bonded Indebtedness .................... 2-5
Subsection 2-10. Uses of Funds
Subsection 2-11.
Subsection 2-12.
Subsection 2-13.
Subsection 2-14.
Subsection 2-15.
Subsection 2-16.
Subsection 2-17.
Subsection 2-18.
Sub~ection 2-19.
Subsection 2-20.
Subsection 2-21.
Subsection 2-22.
Subsection 2-23.
Subsection 2-24.
Subsection 2-25.
Subsi~ction 2-26.
Subsection 2-27.
Subsection 2-28.
Fiscal Disparities Election ................................. 2-7
Business Subsidies
...................................... 2-7
County Road Costs ...................................... 2-8
Estimated Impact on Other Taxing Jurisdictions ................ 2-9
Supporting Documentation ................................. 2-9
Definition of Tax Increment Revenues ....................... 2-10
Modifications to the Distdct ............................... 2-10
Administrative Expenses ................................. 2-11
Limitation of Increment ................................... 2-11
Use of Tax Increment .................................... 2-12
Excess Increments
...................................... 2-13
Requirements for Agreements with the Developer .............. 2-13
Assessment Agreements ................................. 2-14
Administration of the Distdct ............................... 2-14
Annual Disclosure Requirements ........................... 2-14
Reasonable Expectations ........... . ..................... 2-14
Other Limitations on the Use of Tax Increment ................ 2-14
Summary ............................................. 2-15
APPENDIX A
PROJECT DESCRIPTION
APPENDIX B
MAPS OF THE CBD REDEVELOPMENT PROJECT
AND THE HUSET PARK AREA TIF DISTRICT ............................... B-1
APPENDIX C
DESCRIPTION Of PROPERTY TO BE INCLUDED IN THE DISTRICT ............. C-1
APPENDIX D
ESTIMATED CASH FLOW FOR THE DISTRICT .............................. D-1
APPENDI~ E
MINNESOTA BUSINESS ASSISTANCE FORM ............................... E-1
APPENDIX F
REDEVELOPMENT QUALIFICATIONS FOR THE DISTRICT .................... F-1
APPENDIX G
BUT/FOR QUALIFICATIONS ............................................. G-1
SECTION I
lVlODIFICA TiON TO THE DOWNTOWN CENTRAL BUSINESS DISTRICT REVITALIZATION
PLAN FOR THE GENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT
Foreword
The following text represents a Modification to the Downtown Central Business District (CBD)
Revitalization Plan for the CBD Redevelopment Project. This modification represents a continuation of the
goals and objectives set forth in the Downtown CBD Revitalization Plan for the CBD Redevelopment
Project. Generally, the substantive changes include the establishment of Huset Park Area Tax Increment
Financing District.
For further information, a review of the Downtown CBD Revitalization Plan for the CBD Redevelopment
Project is rec~,.,,~aded. It is available from the Community Development D/rector at the City of Columbia
Heights. Other relevant infu, mafion is contained in the Tax Increment Financing Plans for the Tax Increment
Financing Districts located within the Central Business District (CBD) Redevelopment Project.
Overview
The Central Business District ("CDB") Redevelopment Project is administered by the Columbia Heights
Economic Development Authority (the "EDA"). Previously, the CBD Redevelopment Project was
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 prex4ously 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 admh~ters the CDB Redevelopment Project.
On May 27, 1997, the CBD Redevelopment Project was modified to expand the project area to include the
entire City. Concurrently, Housing Redevelopment Tax Increment Financing District No. 1 ("District No.
1") within the CBD Redevelopment Project was established. As D/strict No. 1 is a scattered site
redevelopment tax increment financing district, the property to be included in District No. 1 is found
throughout the City, thus necessitating the expansion of the boundaries of the CBD Redevelopment Project.
The boundaries of the CBD Redevelopment Project are coterminous with the corporate limits of the City.
A map of the boundaries of the CBD Redevelopment Project can be found in Appendix B.
Findings,
Upon approval of this Modification, the EDA and City will find that the portion of the Redevelopment
Project to be designated as the Huset Park Area Tax Increment Financing District is characterized by blight,
as defined by Minnesota Statutes, Sections 469.001 to 469.047.
Columbla Heights Economic l~e vel°Pment Aathod ty Modification to the Downtown CBD Revitalization Plan for the CBD Redevelopment project 1-1
SECTION II
TAX INCREMENT FINANCING PLAN FOR THE
HUSET PARK AREA TAX INCREMENT FINANCING DISTRICT
Subsection 2-1. Foreword
The Columbia Heights Economic Development Authority (the '~EDA'~, the City of Columbia Heights (the
"City"), staff and consultants have prepared the following information to expedite the ~tablishment of the
Huset Park Area Tax Increment Financing District (the "District'S, a redevelopment tax increment finan~
district, located in the Central Business District Redevelopment Project.
Subsection 2-2. Statutory Authority
Within the City, there exists areas where public involvement is necessary to cause development or
redevelopment to occur. To th/s end, the EDA and City have certain statutory powers pursuant to Minnesota
Statutes ("M.$."), Sections 469.001 to 469.047, /nclusive, as anacnded, and M.S., Sections 469.174 to
469.1799, 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 ''TIF Plan") for the Huset Park Area Tax
Increment Financing District. Other relevant information is contained in the Modification to the Downtown
CBD Revitalization Plan for the CBD Redevelopment Project.
Subsection 2-3. Statement of ObJectives
The District currently consists of 12 parcels of land and adjacent and internal rights-of-way and abutting
roadways. The District is being created to facilitate the redevelopment of the Columbia Heights Industrial
Park into a mixed-use development consisting of up to 559 units of owner-occupied housing and a
neighborhood retail office development in the City of Columbia Heights. In order to establish the D/strict
for thi~ project, certain parcels of land must be eliminated from Columbia Heights MURP TIF D/strict
County Identifier K2. Contracts for th/s have not been entered into at the time of preparation of this TIF
Plan, but development is likely to occur in the spring of 2005. This TIF Plan is expected to achieve many
of the objectives outlined in the Downtown CBD Revitalization Plan for the CBD Redevelopment Project.
The activities contemplated in the Modification to the Downtown CBD Revitalization Plan and the TII: Plan
do not preclude the undertaking of other qualified development or redevelopment activities. These activities
are anticipated to occur over the life of the CBD Redevelopment Project and the D/strict.
Subsecti,o,n 2-4. Downtown CBD Revitalization Plan Overview
1. Property to be Acquired - Selected property located within the District may be acquired by
the EDA or City and is further descn'bed in this TIF Plan.
2. Relocation - Relocation services, to the extent required by law, 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 EDA or City may sell to a developer selected properties that it may
acquire within the District or may lease land or facilities to a developer.
Columbia Heights Economic Developmeat Authority Tax Increment Financing Plan for the Huset Park Area Tax Increment Financing D/st~ct 2-I
The EDA or City may perform or provide for sornc or all necessary acqu/sition,
construct/on, relocation, demolition, and required utilities and public street work within the
District.
Subsection 2-5. Description of Property in the District and Property To Be Acquired
The District encompasses all property and adjacent rights-of-way and abutting roadways identified by the
parcels* listed below. See the map in Appendix B for further information on the location of the District.
Parcel Numbers*
35-30-24-34-0013
35-30-24-34-0014
35-30-24-34-0040
35-30-24-43-0060
35-30-24-43-0047
35-30-24-34-0035
35-30-24-34-0039
35-30-24-34-0024
35-30-24-34-0041
35-30-24-34-0003
35-30-24-34-0004
35-30-24-34-0002
*All parcels are '~2nocked Down" parcels being removed
from Columbia Heights TIF 4 Multi Plan Cargill (MURP)
TIF District County Identifier K2.
The EDA or City may acquire any parcel within the District including interior and adjacent street rights of
way, or reimburse developers for the cost of such acqu/sition. Any properties identified for acquisition will
be acquired by the EDA or City only in order to accomplish the uses and objectives set forth in this plan.
The EDA or City may acquire property by gift, dedication, condemnation or direct purchase from willing
sellers in order to achieve the objectives of this TIF Plan. Such acquisitions will be undertaken only when
there is assurance of funding to finance the acquisition and related costs.
Subsection 2-6. Classification of the District
The EDA and City, in determiaing the need to create a tax increment financing district in accordance with
M.S., Sections 469.174 to 469.1799, as amended, inclusive, find that the District, to be established, is a
redevelopment district pursuant to M.S., Section 469.174, Subd. lO(a)(1) as defined below:
(a) "Redevelopment district"means a type of tax increment financing district consisting ofa project,
or portions of a project, within which the authority finds by resolution that one or more of the
following conditions, reasonably distributed throughout the district, exists:
(1), parcels consisting of 7O percent of the area in the district are occupied by buildings, streets,
utilities, paved or gravel parking lots or other similar structures and more than 50percent
of the buildings, not including outbuildings, are structurally substandard to a degree
requiring substantial renovation or clearance;
(2) The property consists of vacant, unused, underused, inappropriately used, or infrequently
used rail yarcls, rail storage facilities or excessive or vacated railroad rights-of-way;
(3) tank facilities, or property whose immediately previous use was for tank facilities, as
defined in Section I15C, Subd. 15, if the tank facility:
Columbia Heights Economic Development.authority Tax Increment Financing Plan for the Huset Park Area Tax Increment Financing District 2-2
(i) have or had a capacity of more than one million gallons;
(ii) are located adjacent to rail facilities; or
(iii) have been removed, or are unused, underused, inappropriately used or infrequently
used; or
(4) a qualifying disaster area, as defined in Subd. 1 Ob.
For purposes of this subdivision, "structurally substandard" shah 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 inten'orpartitions,
or similar factors, which defects or deficiencies are of sufficient total significance to justify
substantial renovation or clearance.
`4 building is not structurally substandard if it is in compliance with the building code applicable
to new buildings or could be modified to satisfy the building code at a cost of less than 15
percent of the cost of constructing a new siructure 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. The municipality may not make such a determination without
an interior inspection of the property, but need not have an independent, expert appraisal
prepared of the cost of repair and rehabilitation of the building. An interior inspection of the
property is not required, if the municipality finds that (1) the municipality or authority is unable
to gain access to the property after using its best efforts to obtain permission from the party that
owns or controls the property; and (2) the evidence otherwise supports a reasonable conclusion
that the building is structurally substandard.
(d) ,4 parcel is deemed to be occupied by a structurally substandard building for purposes of the
finding under paragraph (a) if aH of the following conditions are met:
(I) the parcel was occupied by a substandard building within three years of the filing of the
request for certification of the parcel as part of the district with the county auditor;
the substandard building was demolished or removed by the authority or the demolition or
removal was financed by the authority or was done by a developer under a development
agreement with the authority;
(3) the authority found by resolution before the demolition or removal that the parcel was
,. occupied by a structurally substandard building and that afier demolition and clearance the
authority intended to include the parcel within a district; and
upon filing the request for certification of the tax capacity of the parcel as part ora district,
the authority notifies the county auditor that the original tax capacity of the parcel must be
adjusted as provided by 3g 469.177, subdivision 1, paragraph 60.
(e) For purposes of this subdivision, a parcel is not occupied by buildings, streets, utilities, paved
or gravel parking lots or other similar structures unless 15 percent of the area of the parcel
contains buildings, streets, utilities, paved or gravel parking lots or other similar structures.
Columbia Heights Economic D~v~lopmmt Authorit~ Tax h¢~nncnt Financing Plan for thc Htts~t Park A~a Tax hcrcment Financing D/sa/ct 2-3
For districts consisting of two or more noncontiguous areas, each area must qualify as a
redevelopment district under paragraph (a) to be included in the district, and the entire area of
the district must satisfy paragraph (a).
In meeting the statutory criteria the EDA and City rely on the following facts and findings:
The District consists of 12 parcels.
[] An inventory shows that parcels consisting of more than 70 percent of the area/n the District are
occupied by builcFn~, streets, utilities, paved or gravel parking lots or other sirrn~ar structures.
[] An inspection of the buildings located with/n the D/strict finds that more than 50 percent of the buildings
are structuxally substandard as defined in the TIF Act. (See Appendix F).
Pursuant to M.S. 469.176 Subd. 7, the District does not contain any parcel or part of a parcel that qualified
under the provisions ofM. S 273.111 or 273.112 or Chapter 473H for taxes payable in any of the five
calendar years before thc filing of thc request for certification of thc District.
Subsection 2-7. Duration of the District
Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of the D/strict rrm_qt
be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Subd. lb, the duration of the District
will be 25 years after receipt of the first increment by the EDA or City (a total of 26 years of tax increment).
The date of receipt by the City of the first tax increment is expected to be 2007. Thus, it is est/mated that
the District, including any modifications of the TIF Plan for subsequent phases or other changes, would
tra.,h,ate after 2032, or when the TIF Plan is satisfied. If increment is rece/ved in 2006, the term of the
District will be 2031. The EDA or City reserves the right to decertify the District prior to the legally required
date.
Subsection 2-8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity
Value/Increment and Notification of Prior Planned Improvements
Pursuant to M.S., Section 469.175, Subd. 4(e) and M.S., Section 469.177, Subd. 1, the Original Net Tax
Capacity (ONTC) as certified for the D/strict will be based on the market values placed on the property by
the assessor for taxes payable in 2005.
Pursuant to M.S., Section 469.177, Subds. 1 and 2, the County Auditor shall certify in each year (be~nning
in the payment year 2005) the mount by which the original value has increased or decreased as a result of:
1. Change in tax exempt status of property;
2. Rg, duction or enlargemeat of the geographic boundaries of the district;
3. Change due to adjustments, negotiated or court-ordered abatements;
4. Change in the use of the property and classification;
5. Change in state hw governing class rates; or
6. Change in previously issued building p,~mlts.
In any year in which the current Net Tax Capacity (NTC) value of the D/strict declines below the ONTC,
no value will be captured and no tax increment will be payable to the EDA or City.
The original local tax rate for the District will be the local tax rate for taxes payable 2005, assuming the
request for certification is made before June 30, 2005. The estimated ONTC and the estimated Original
Columbia Heights Economic Development Authority Tax Increment Financing Plan for the Huset Park Area Tax Incxement F/nme/ag D/strict 2-4
Local Tax Rate for thc District appear in the table below. (Thc Original Local Tax Rate shown is for Pay
2004, as thc rate for Pay 2005 was unavailable at the time this T[F Plan was prepared.)
Pursuant to M.$., Section 469.174 Subd. 4 and M.$., Section 469.177, $ubd. 1, 2, and 4, the estimated
Captured Net Tax Capacity (CTC) of the District, within the CBD Redevelopment Project, upon completion
of the project, will annually approximate tax increment revenues as shown in the table below. The EDA and
City request 100 percent of the available increase in tax capacity for repayment of its obligations and current
expenditures, beghming in the tax year payable 2007. The Project Tax Capacity (PTC) listed is an estimate
of values when the project is completed.
Project Estimated Tax Capacity upon Completion (PTC)
Original Estimated Net Tax Capacity (ONTC)
Estimated Captured Tax Capacity (CTC)
Original Local Tax Rate
Estimated Annual Tax Increment(CTC x Local Tax Rate)
Percent Retained by the EDA
$1,$70,073
$42,345
$1,527,728
1.09926
$1,679,370
100%
Pay 2004
Pursuant to M.S., Section 469.177, $ubd. 4, the EDA shall, after a due and diligent search, accompany its
request for certification to the County Auditor or its notice of the District enlargement pursuant to M.S.,
Section 469.175, Subd. 4, with a lis~ng of all properties within the District or area of enlargement for which
build/nE peamlts have been issued during the eighteen (18) months i,;1,,ediately preceding approval of the
TIF Plan by the rrnmicipality pursuant to M.$., Section 469.175, Subd. 3. The County Auditor shall increase
the original net tax capacity of the District by the net tax capacity of improvements for which a building
permit was issued.
The City has reviewed the area to be included in the District and determined that no building permits
have been issued during the 18 months immediately preceding approval of the TIF Plan by the City.
Subsection 2-9. Sources of Revenue/Bonded Indebtedness
All costs outlined in Subsection 2-10, the Uses of Funds, will be financed primarily through the annual
collection of tax increments. The EDA or City reserves the right to use other sources of revenue legally ap-
plicable to the EDA or City and the TIF 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
contn'butions from the developer and investment income, to pay for the estimated public costs.
The EDA or City reserves the right to incur bonded indebtedness or other indebtedness as a result of the TIF
Plan. As presently proposed, the project will be financed by primarily by a pay-as-you-go note where the
developer will up-front the costs and be reimbursed over ti~. The City and EDA may issue general
obligation (GO) TIF Bonds or inter-fund loans for public ~rovements associated with the project.
Additional indebtedness may be required to finance other authorized activities. The total principal amount
of bonded indebtedness, including a GO TIF bond, pay-as-you-go note, or other indebtedness related to the
use of tax increment financing will not exceed $15,000,000 without a modification to the TIF Plan pursuant
to applicable statutory requirements. It/s estimated that $315,000 in interest income will be financed with
tax increment revenues.
Columbia Height~ Economic Development Authority Tax Inc~ement Fiaane/ag Plan for the Huset Park Area Tax Increment Financing District 2-5
Th/s provision does not obligate thc EDA or City to incur debt The EDA or City will issue bonds or incur
other debt only upon the detonation that such action is in the best interest of the City.
The estimated sources of fimds for the District are cantained in the table below.
' SOURCES OF FUNDS
TOTAL
Tax Increment
$36,185,000
Interest $315,000
PROJECT REVENUES
$367S007000
Subsection 2-10. Uses of Funds
Currently under consideration for thc District is a proposal to facilitate the redeveloprmmt of the Columbia
Heights Industrial P~k into a mixed-use development consisting of up to 559 units of owner-occupied
hous/ng and a neighborhood retail office development. The EDA and City have dctc~,-ined that it will be
necessary to provide assistance to the project for certain costs. The EDA has smd/ed the feasibility of the
development or redevelopment of propen'y in and around the District. To facilitate the estab~hment and
development or redevelopment of the District, th/s TIF Plan authorizes the use of tax hacrement financ/ng
to pay for thc cost of certain eligible expenses. The estimate of public costs and uses of funds associatdd
w/th the District, and expected to bc paid with tax increments, is outlined in the following table.
USES OF FUNDS
Land/Building Acquisition
Site lmprovementsfPrep aration/Enxr/ronmental
Public Utilities
Streets and Sidewalks
Interest
Administrative Costs (up to 10%)
TOTAL
$5,400,000
$6,000,000
$1,000,000
$1,000,000
$19,500,000
$3,600,000
PROJECT COSTS TOTAL
$36~500,000
The above budget is organized according to the Office of State Auditor (OSA) reporting forms.
It is estim,a, ted that the cost of ~rovements, including admini.~trative expenses which will be paid or
financed with tax increments, will equal $36,500,000 as is presented in the budget above.
Estimated costs associated with the District are subject to change anxrng categories without a modification
to this Tn: Plan. The cost of all activities to be cor~idered for tax increment financing will not exceed,
without formal modification, the budget above pursuant to the applicable statutory requirements. Pursuant
toM. S, Section 469.1763, Subd. 2, no more than 25 percent of the tax increment paid by property within the
District will be spent on activities related to development or redevelopment outside of the District but within
the boundaries of the CBD Redevelopment Project, (including adm/nistrative costs, wh/ch are considered
to be spent outside of the District) subject to the lim/tations as dc'sm'bed in this TIF Plan.
Columbia Heights Economic Development Authority Tax her~aent Financing Plan for the Huset Pank Area Tax ham~-ment Financ/ng District 2-6
Subsection 2-11. Fiscal Disparities Election
Pursuant to M.$., Section 469.177, Subd. 3, the EDA or City may elect one of two methods to calculate fiscal
disparities. If the calculations pursuant to M.$., Section 469.177, $ubd. 3, clause a, (outside the District) are
followed, the following method of comiJutation 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 276,8 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 which
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 shah 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 tax 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 (~1) 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.
The EDA will choose to calculate fiscal disparities by clause a.
According toM. S, Section 469.177, $ubd. 3:
The method of computation of tax increment applied to a district pursuant to paragraph (a) or
(3) 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 (3).
Subsection 2-12. Business Subsidies
Pursuant to M.S. Sections 116.1.993, Subd. 3, the following forms of financial assistance are not considered
a business subsidy:
(1) A business subsidy of less than $25,000;
(2) ,,Assistance that is generally available to all businesses or to a general class ofsim/lar businesses,
such as a line of business, size, location, or sinilar general criteria;
(3) Public improvenx~ts to buildings or lands owned by the state or local governatent that serve a
public purpose and do not principally benefit a single business or defined group of businesses at
the time the ir?rovements are made;
(4) Redevelopment property polluted by conta~h,ar~ts as defined in M.$. Section 116.I..552, Subd. 3;
(5) Assistance provided for the sole purpose of renovating old or decaying building stock or bringing
it up to code and assistance provided for designated historic preservation districts, provided that
the assistance is equal to or less than 50% of the total cost;
(6) Assistance to provide job readiness and training services if the sole pm'pose of the assistance/s
to provide those services;
Columbia H~ights Economi~ Dcv~lolnmat Anlhodty Tax Iact~meat Fiaanciag Plan for tl~ Huset Park Ar~a Tax lac~ment Fiaanclag District 2-7
(9)
(10)
01)
(12)
(13)
(14)
(20)
(21)
(22)
(7) Assistance for housing;
(8) Assistance for pollution control or abatement, including assistance for a tax increment financ/ng
hazardous substance subdistrict as defined under M.S. Section 469.174, Subd. 23;
Assistance for energy conservation;
Tax reductions resulting from confoimlty with federal tax law;,
Workers' compensation and unemployment compensation;
Benefits derived from regulation;
Ind/rect benefits derived from assistance to educational institutions;
Funds from bonds allocated under chapter 474,4, bonds issued to refund outstan,~g bonds, and
bonds issued for the benefit of an organ/zation descried in section $01 (c) (3) of the Internal
Revenue Code of 1986, as amended through December 3 l, 1999;
(1 $) Assistance for a coIlaboration between a M/nnesota higher education institut/on and a bus/ness;
(16) Assistance for a tax increment fmancing soils cond/tion district as defined under M.$. Section
469.174, Subd. 19;
(17) Redevelopment when the redpient's/nvestment in the purchase of the site and in site preparation
is 70 percent or more of the assessor's cun-ent year's est/mated rmrket value;
(18) General cha, ges/n tax increment f~a-eing hw and other general tax hw changes of a principally
technical nature.
(19) Federal assistance until the assistance has be~ repa/d to, and reinvested by, the state or local
government agency;
Funds from dock and wharf b0nds issued by a seaway port author/V;
Business loans and loan guarantees of $?$,000 or less; and
Federal loan funds provided through the United States Department ofCo,~,i~rce, Econom/c
Development Admin/stration.
The EDA will comply with M.S., Section 116J.993 to 116J. 994 to the extent the tax increment assistance
under this TIF Plan does not fall under any of the above exemptions.
Subsection 2-13. County Road Costs
Pursuant toM. S, Section 469.175, Subd. Ia, the county board may require the EDA or City topay for all or
part of the cost of county road improvements if the proposed development to be assisted by tax increment
will, in the judgement of the county, substantially increase the use of county roads requiring construction of
road [u~rovements or other road costs and if the road improvements are not scheduled within the next five
years under a capital i-~,rovement plan or within five years under another county plan~
If the county elects to use increments to hlndrove county roads, it rrn~t notify the EDA or City within forty-
five days of receipt of this TIF Plan. In the opinion of the EDA and City and consultants, the proposed
development, t outlined in this TIF Plan will have little or no impact upon county roads, therefore the TIF Plan
was not forwarded to the county 45 days prior to the public hearing. The EDA and City are aware that the
county could claim that tax increment should be used for county roads, even after the public hearing.
Colm~bia Heights Economic Dewl°Ptmmt Authority Tax tnc~-m~nt Fin~cing Plan for the Hu~t Park A~a Tax Incrc-m~t Financing District 2-8
Subsection 2-14. Estimated Impact on Other Taxing Jurisdictions
The est/mated h,i;act on other taxing jurisdictions assumes that the redevelopment contemplated by the TIF
Plan would occur without the creation of the District. However, the EDA or City has determined that such
development or redevelopment would not occur '"out for" tax increment financing and that, therefore, the
fiscal h?act on other taxh~g jurisdictions is $0. The estimated fiscal in..,act of the District would be as
follows if the "but for" test was not met:
LMPACT ON TAX BASE
Anoka County
City of Colmnbia Heights
Columbia Heights 1SD No. 13
2003/2004 Estimated Captured
. Total Net Tax Capacity (CTC) Percent of CTC
Tax Capacity UPon Completion to Entity Total
200,134,542 1,527,728 0.7634%
9,231,547 1,527,728 16.5490%
13,316,873 1,527,728 11.4721 %
IMPACT ON TAX RATES
Anoka County
City of Columbia Heights
Columbia Heights 1SD No. 13
Other (Met, HR& Rail, Radio)
Total
2003/2004 Percent Potential
Extension Rates of Total CTC Taxes
0.327220 29.77% 1,527,728 499,903
0.478880 43.56% 1,527,728 731,598
0,229160 20.85% 1,527,728 350,094
0.064000 5.82% 1,527,728 97~775
1.099260 100.00% 1,679,370
The estimates listed above display the captured tax capacity when all construction is completed. The tax rate
used for calculations is the actual 2003/Pay 2004 rate. The total net capacity for the entities listed above are
based on actual Pay 2004 figures. The District will be certified under the actual 2004/Pay 2005 rates, which
were unavailable at the t'hne this TIF Plan was prepared.
Subsection 2-15. Supporting Documentation
Pursuant t,9 M.S. Section 469.175 Subd 1, clause 7 the TIF Plan must contain identification and description
of studies and analyses used to make the det~ation set forth in M.S. Section 469.175 Subd 3, clause (2)
and the findings are required in the resolution approving the TIF disthct. Following is a list of reports and
studies on file at the City that support the Authority's finding:
1. City of Colm'nbia Heights Industr/al Area Redevelopment Plan, Hoisington Koegler Group, Nov.
2003
2. Phase II Investigation Report/Focus Feasfoility Study/Response Action Plan prepared by ProSource
and dated October 9, 2003
Columbia Heights Economic Dev~iopmant Aatl~ty Tax Increment Financing Plan for th~ Huzet Park Area Tax/no.merit Financing District 2-9
Subsection 2-16. Definition of Tax Increment Revenues
Pursuant to M.S., Section 469.174, Subd. 25, tax/ncrcmmt revenues derived from a tax increment financing
district include all of the following potential revenue sources:
1. Taxes paid by the captured net tax capacity, but excluding any excess taxes, as comtmted under M.S.,
Section 469.177;
2. The proceeds from the sale or lease of property, tanD~ole or intangible, purchased by the Authority
3. Principal and imerest received on loans or other advances made by the Authority with tax
4. Interest or other investment carn/ngs on or from tax increments.
Subsection 2-17. Modifications to the District
In accordance with M.S., Section 469.175, Subd. 4; any:
1. Reduction or enlargement of the geographic area of the CBD Redevelopm~t Project or the District,
ffthe reduction does not meet the requ~emcnts ofM. S., Section 469.175, Subd. 4(e);
2. Increase in amount of bonded indebtedness to be incurred;
3. A detcJ iiiillation to capitalize interest on debt if that detcnninat/on was not a part of the original T[F
Plan, or to increase or decrease the armunt of interest on the debt to be capitalized;
4. Increase in the portion of the captured net tax capacity to be retained by the EDA or City;
5. Increase in the estimate of the cost of the project, includ/ng administrative expenses, that will be paid
or financed with tax increment from the District; or
6. Designation of additional property to be acqu/red by the EDA or City,
shall be approved upon the notice and after the discussion, public hearing and findings required for approval
of the Ol~na! Tn~ Plan.
Pursuant to M.S. Section 469.175 Subd. 409, the geographic area of the District may be reduced, but shall
not be enlarged atlcr 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 dete~mhuation
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 in writing and retained. The requirements of this paragraph do not apply ff
(1) the only nxxtification is elirn/nation of parcel(s) from the CBD Redevelopment Project or the D/strict and
(2) (A) the current net tax capacity of the parcel(s) elirr~ated from the D/strict equals or exceeds the net tax
capacity of those parcel(s) in the D/str/ct's ohginal net tax capacity or (B) the EDA agrees that,
notwithst .ap. ding M.S., Section 469.177, Subd. 1, the ori~nal net tax capacity will be reducedby no more than
the current net tax capacity of the parcel(s) eliminated from the District.
The EDA or City rrmst notify the County Auditor of any modification that reduces or enlarges the geographic
area of the CBD Redevelopment Project or the D/strict. Modifications to the D/strict in the form ora budget
modification or an expansion of the boundaries will be recorded in the TIF Plan.
Columbia Heights Economic Development Authority Tax hctemcm Financing Plat for the Hu~t Park A~a Tax Increment Financ/ng District 2-10
Subsection 2-18. Administrative Expenses
In accordance with M.S., Section 469.174, Subd. 14, administrative expenses means all expenditures of the
EDA or City, other than:
1. Amgunts paid for the purchase of land;
2. Amounts paid to contxactors or others providing mater/als and services, including architectural and
eng/ncering services, directly connected with thc physical development of thc real property in thc
project;
3. Relocation benefits paid to or services provided for persons residing or businesses located in thc
project; or
4. Amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued
pursuant to M.S., Section 469. ! 78; or
5. Amounts used to pay other financial obligations to the extent those obligations were used to finance
costs descn'bed in clauses (1) to (3).
For districts for which the request for certification were made before August 1, 1979, or after June 30, 1982,
admin/strative expenses also include amounts paid for services provided by bond counsel, fiscal consultants,
and plmming or economic development consultants. Pursuant to M.S., Section 469.176, Subd. 3, tax
increment may be used to pay any authorized and documented a~trafivc expenses for thc District up
to but not to exceed 10 percent of the total est/mated tax increment expenditures authorized by thc TI/* Plan
or the total tax increments, as defined by M.S., Section 469.174, Subd. 25, clause (1), from the District,
whichever is less.
Pursuant to M.S., Section 469.176, Subd. 4h, tax increments may be used to pay for the County's actual
ad~trative expenses incurred in connection with the District. The county may require payment of those
expenses by February 15 of the year following the year the expenses were incurred.
Pursuant to M.S., Section 469. 177, Subd. 11, the County Treasurer shall deduct an amount (currently .36
percent) of any increment distffbuted to the EDA or City and the County Treasurer shall pay the amount
deducted to 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 exmxfining and
auditing authorities' use of tax increment financing. Th/s amount may be adjusted annually by the
Comm/_qsioner of Revenue.
Subsection 2-19. Limitation of Increment
Pursuant to M.S., Section 469.176, Subd. Ia, no tax increment shall be paid to the EDA or City for the
District after three (3) years from the date of certification of the Original Net Tax Capacity value of the
taxable pr~erty in the District by the County Auditor unless within the three (3) year period:
(1) Bonds have been issued in aid of the project containing the Distr/ct pursuant to M.S., Section
469.178, or any other law, except revenue bonds issued pursuant to M.S., Sections 469.152
to 469.165, or
(2) The EDA or City has acquired property within the District, or
(3) The EDA or City has constructed or caused to be constructed public/mprovements within
the District.
Columbia Heights Economic Development Authority Tax Increment Financing Plan for the fluset Park Paea Tax Increment Financing District 2-11
The bonds must be issued, or the EDA or City rrn~st acquire property or construct or cause pub/ic
improvements to be constructed by approximately August, 2007 and report such actions to the County
Auditor.
The tax increment pledged to the payment of bonds and interest thereon may be discharged and the District
may be terminated ff su~cient fimds 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.
Pt~uaat to M.$., 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 districtpursuant to M.S.,. Section 469.177, no demolition, rehabilitation or renovation of
property or other site preparation, including qualified improvement of a street adjacent to a parcel
but not installation of utility 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 that parcel 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 of a 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.
The authority must submit to the county auditor evidence that the required activity has taken place
for each parcel in the district. The evidence for a parcel must be submitted by February 1 of the fifth
year following the year in which the parcel was certified as included in the district. For purposes
of this subdivision, qualified improvements of a street are limited to (1) construction or opening of
a newstreet, (2) relocation ora street, and (3) substantial reconstruction or rebuilding of an existing
street.
The EDA or City or a property owner must improve parcels withh the District by approximately August,
2008 and report such actions to the County Auditor.
Subsection 2-20. Use of Tax Increment
The EDA or City hereby determines that it w/Il use 100 percent of the captured net tax capacity of taxable
property 1,o, cated in the District for the following purposes:
1. To pay the principal of and interest on bonds issued to finance a project;
2. To finance, or otherwise pay the cost of redevelopment of the CBD Redevelopment Project pursuant
to theM. S, Sections 469.090 to 469.1082;
3. To pay for project costs as identified in the budget set forth in the TIF Plan;
4. To finance, or otherwise pay for other purposes as provided in M. S., Section 469.176, Subd. 4;
5. To pay princ/pal and interest on any loans, advances or other payments made to or on behalf of the
EDA or City or for the benefit of the CBD Redevelopment Project by a developer;
6. To finance or otherwise pay premiums and other costs for insurance or other security guaranteeing
the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to
Columbia Heights Economic Development Authority Tax Incxemeat Financing Plan for the Huset Pa~k Area Tax Incmnent Financing District 2-12
M.S., Chapter 462C. M.S., Sections 469.152 through 469.165, and/or M.S., Sections 469.178; and
To accum,,late 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.$., Chapter 462C, M.S., Sections 469.152
through 469.165, and/or M.$., Sections 469.178.
These revenues shall not be used to circumvent any levy limitations applicable to the City nor for other
purposes proin'bited by M.S., Section 469.176, $ubd. 4.
Tax increments generated in the District will be paid by Anoka County to the EDA for the Tax Increment
Fund of said District. The EDA or City will pay to the developer(s) annually an amount not to exceed an
amount as specified in a developer's agreement to rei~urse the costs of land acquisition, public
hl~,rovements, demolition and relocation, site preparation, and a~t/stration. Remaining/ncrement funds
will be used for EDA or City administration (up to 10 percent), and the costs of public irr~, rovement activities
outside the District.
Subsection 2-21. Excess Increments
Excess increments, as defined in M.S., Section 469.176, $ubd. 2, shall be used only to do one or more of the
following:
1. Prepay any outstanding bonds;
2. Discharge the pledge of tax increment for any outstanding bonds;
3. Pay into an escrow account dedicated to the payment of any outstanding bonds; or
4. Return the excess to the County Auditor for redism'bution to the respective taxing jurisdictions in
proportion to their local tax rates.
In addition, the EDA or City may, subject to the limitations set forth herein, choose to modify the TI/* Plan
in order to finance additional public costs in the CBD Redevelopment Project or the District.
Subsection 2-22. Requirements for Agreements with the Developer
The EDA or City will review any proposal for private development to determine its conformance with the
Downtown CBD Revitalization Plan and with applicable municipal ordinances and codes. To facilitate th/s
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 EDA or City to demonstrate the
conformance of the development with City plans and ordinances. The EDA or City 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 the District as set forth ha the TIF Plan shall at any time be owned by the EDA or City as a result
of acquisition with the proceeds of bonds issued pursuant to M.S., Section 469.178 to which tax increments
from property acqu/red is pledged, unless prior to acquisition in excess of 25 percent of the acreage, the EDA
or City concluded an agreement for the development or redevelopment of the property acquired and which
provides recourse for the EDA or City should the development or redevelopment not be cort~leted.
Columbia Heights Economic Development Authority Tax Increment Financing Plan for the Hu~t Park Axea Tax Incvm~ent Financing D/~a4ct 2-13
Subsection 2-23. Assessment Agreements
Pursuant to M.$., Section 469.177, Subd. 8, the EDA or City may enter into a written assessment agreement
in recordable form with the developer of property within the District which establishes a .,h,h~ma market
value of the land and completed improvements for thc duration of the District. The assessment agreement
shall be presented to the County Assessor who shall review the plans and specifications for the improvements
to be constructed, review the market value Previously assigned to the land upon which the h:~,rovements are
to be consmtcted and, so long as the minirmrm market value contained in the assessment agreement appears,
in the judgment of the assessor, to be a reasonable esti,~te, the County Assessor shall also certify the
~ market value agreement.
Subsection 2-24. Administration of the District
A&ninistrafion of the District will be handled by the Executive Director of the EDA.
Subsection 2-25. Annual Disclosure Requirements
Pursuant to M.S., Section 469.175, Subd. 5, 6, and 6b the EDA or City must undertake financial reporting
for all tax increment financing districts to the Office of the State Auditor, County Board, County Auditor and
School Board on or before August 1 of each year. 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 on or before August 15.
If the City fails to make a disclosure or submit a report containing the information required by M.S. Section
469.175 Subd. 5 and Subd. 6, the OSA will direct the County Auditor to withhold the distn~oution of tax
increment from the District.
Subsection 2-26. Reasonable Expectations
As required by the TIF Act, in establishing the District, the determination has been made that the proposed
development 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 max/mrna duration of the Dis trict permitted by the T IF P lan. The factual basis for this
finding is sutmxarized in Appendix G, and indicates that the increase in est/mated market value of the
proposed development (less the indicated subtractions) exceeds the es6mated market value of the site absent
the establishment of the District and the use of tax increments.
Subsect!on 2-27. Other Limitations on the Use of Tax Increment
General Limitations. All revenue derived from tax increment shall be used in accordance with the TII~
Plan. The revenues shall be used to finance, or otherwise pay the cost of redevelopment of the CBD
Redevelopment Project pursuant to the M.S., Sections 469.001 to 469.047. Tax increments may not be
used to circumvent existing levy limit law. No tax increment may be used for the acquisition,
construction, renovation, operation, or maintenance of a bu/lding to be used primarily and regularly for
conducting the business of a manicipality, county, school district, or any other local unit of government
or the state or federal govcl,,,ent. This provision does not prohibit the use of revenues derived fromtax
increments for the construction or renovation of a parking structure.
Columbia Heights Economic Development Authority Tax Incxwment Financing Plan for the Httset Park Area Tax Increment Financing District 2-14
Pooling Lim/tations. At least 75 percent of tax increments from the District must be expended on
activities in the District 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 paymmat 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 the District except to pay, or secure payment of, debt service on credit enhanced
bonds. For purposes of applying th/s restriction, all a~trative expenses rrn~.qt be treated as if they
were solely for activities outside of the District.
Five Year Limitation on Commitment of Tax Increments. Tax increments derived fromthe D/strict shall
be deemed to have satisfied the 75 percent test set forth in paragraph (2) above only ff the five year nde
set forth in M.S., Section 469.1763, Subd. 3, has been satisfied; and beginning with the sixth year
following certification of the District, 75 percent of said tax increments that remain alter expenditures
permitted under said five year nde must be used only to pay previously con:mitted expenditures or credit
enhanced bonds as more fully set forth in M.$., Section 469.1763, Subd. 5.
Redevelopment District. At least 90 percent of the revenues derived from tax increment from a
redevelopment district must be used to finance the cost of correcting conditions that allow designation
ofredevelopment andrenewal andrenovation districts under M.$., Section 469.176 Subd. 4j. These costs
include, but are not limited to, acquiring properties containing smxcturally substandard buildings or
h~jrovements or hazardous substances, pollution, or contaminams, acqu/ring adjacent parcels necessary
to provide a site of sufficient size to p~tmlt development, demolition and rehabilitation of structures,
clearing of the land, the removal of hazardous substances or remecliation necessary for development of
the land, and installation of utilities, roads, sidewalks, and parldng facilities for the site. The allocated
a~dstrative expenses of the EDA or City, inclucting the cost of preparation of the development action
response plan, may be included in the qualifying costs.
Subsection 2-28. Summary
Thc Columbia Heights Economic Development Authority is establishing the District to preserve and enhance
the tax base, provide life-cycle housing, redevelop substandard areas, and provide employment opponun/fies
in the City. The Tn~ Plan for the District was prepared by Ehlers & Associates, Inc., 3060 Centre Pointe
Drive, Roseville, Minnesota 55113, telephone (651) 697-8500.
Columbia Hc'ighta Economic D~v~lOlmaCat Antl~ity Tax lncrcmmt Financing Plan for tl~ IEu~t Park ~'~a Tax lacmmcnt Financ/ntt District 2-15
APPENDIX A
PROJECT DESCRIPTION
The TIF District is being created to facilitate the redevelopment of the Cohm,ahLa Heights Industrial Park into
a mixed-use.development comisting of up to 559 units of owner-occupied housing and a neighborhood retail
office developmc-nt in the City of Columbia Heights. In order to establish the District for tiffs project, certain
parcels of land must be removed from Columbia Heights TIF District County Identifier 142.
The City did conduct a public participation planning process in 2003, lcd by the planning firm Ho/sington
Koegler. The study detca.,ined that there was more than adequate demand and public acceptance of higher
density owner-occupied housing as a replacement for thc former industrial park uses. The redevelopment
would only be feas~le with public assistance for both the significant environmental costs and high costs of
acquisition and demolition.
The City also co~sioncd Pro-Source, an cnvir0~mental engineering firm, to conduct an assessment of
the cost of rcn~diation of polluted soils, buildings, and groundwater. The esth,ate from Pro Source is
$4,652,000. The City applied and did receive a grant orS 1,300,000 in 2004 from the Metropolitan Council
and the State of Minnesota for the pollution clean-up associated with the first phase of development. The
esti~,~ated cost of cnv/ronmental remediation for the first phase is $1,900,000.
The developer of the project is expected to be Schafer-Richardson, which currently owns one of the large
cuuanercial buildings on site. Schafer-Richardson is experienced in the construction of condominium
buildings in the Minneapolis area. Portion of the project may be sold to a townhome developer and senior
housing developer. Thc project is expected to be financed with a pay-as-you-go note to be financed by the
developer. The City may cover a portion of adjacent public h,5,rovements with tax increments, depending
upon final cost estimates.
APPENDIX
A-I
APPENDIX B
MAPS OF TI-[E CBD REDEVELOPMENT PROJECT
AND THE HUSET PARK AREA TIF DISTRICT
APPENDIX
HUset Park Area
Tax Increment Financing D~.trict
Central Business D s~!~ Redev. e~pment:PrOject~
,City of COlUmbt~ H~ightS
~t~oka: County; .Minnes~a,
City of
neap°lis~ __
Legend
Central Business District Redevelopment Project
Huset Park Area
The boundaries of the Central Business
District Redevelopment Project are
coterminous with the corporate limits of
the City of Columbia Heights.
=IN '~S uos~ar
':IN 'Icl uos!pelAI
aN 'L~ ql~
=IN 'a^V Xl!s~a^!uFI
LL ~ E
o g
APPENDIX C
DESCRI~PTION OF PROPERTY TO BE INCLUDED IN THE DISTRICT
The District encompasses all property and adjacent rights-of-way and abutt~g roadways identified by thc
parcels* ~ted below.
Parcel Nttmbers*
35=30-24-34-0013
35=30-24-34-0014
35-30-24-34~0040
Address
519 38th Ave NE
515 38th Ave NE
· 550 39thAve NE
35-30-24-43-0060 600 39th Ave NE
35-30-2443-0047 620 39th Ave NE
35-30-24-34-0035 3901 5th St.
35-30-24-34-0039
35-30-24-34-0024
35-30-24-34-0041
35-30-24-34-0003
35-30-24-34-0004
35-30-24-34-0002
*All parcels are "Knocked Down"
Columbia Heights TIF 4 Multi
County Identifier K2.
510 39th Ave NE
3801 5th Street NE
3800 5th St. NE
3700 5th St. NE
317 37th Ave NE
450 38th Ave NE
parcels being removed from
Plan Cargill (MURP) TIF District
APPENDIX
c-1
APPENDIX D
ESTIMATED CASH FLOW FOR THE DISTRICT
APPENDIX D-1
0 EHLERS
Huset Park Area Redevelopment - Phase I + II + III
Columbia Heights EDA
Map ID
Totals
NMe: 0 $15~ 900 4 4TS 9O0 ~
1,742,000
216,900
100
I00
259,5O0
150.3O0
2 314 SOO
OUglflat valUe~ am net based upon payable 200a value~ but am based upon original ~alu~ as cerUfled in ale previous MURP district, pursuant to
To~I Manet Value Tax~ Per Total Mat~at Clas~ New
Sq. FtJUnlt~ Sq. ~n~
T~ ~ I~1 88 230,0~.~ 2,597.~ ~.~ 20,2~,~ 1.~ 202,4~
F~ ~7 III 85 245.~.~ ~791.24 237.255 ~.825.~ 1.~ 20~.250
TOTAL SS~
bui~o~ o~r fi~ ~m (2~5 lo
Total Local Fiscal
Tax Tax Dlsparltle~
Capacity ~r"~f Tax
202.400 Z'02~40~ 0
202,4O0 2~2,400 0
~6.O00 H,000 0
92,O00 $2.~O0 0
31,455 24,172 8.583
14.000 14,0~
2~,25~ 20~.SO
212,500 2t2,~ 0
215,000 .215,000 0
~ 274 oos ~,~?,4~
Cooperative 200,$
Flats
To~nh~ 2007
Flats 2~
TOTAL
Tu Dispau~u p~
Rate Tax Rate Tax Rat~
1393226 9~,~2 l~ 1~
1.0~26
1.0gg29
1.09929
1 .ogg26 1.37107 0.54109
1.09926
l.ogg2~
1.o0g~
1.0992~
COLUMBIA HEIGHTS EDA
P~e 2 of 2
PERJOO BEGINNING T~x
*tm.Mth~ Yr.
O.O ~ ~S
~0 ~1 ~
0.0 ~1 ~ 4~5
0.0 ~1 ~
0.0 ~1 ~
0.5 ~1 ~
3.0 ~1 ~0
3.5 ~1 ~0 4~
4.0 ~t ~11
S.S ~1 ~12
7.0 ~1 ~14
7.S ~1 ~14
8.0 ~1 ~15
8.5 ~ ~15
10.0 ~1 ~17
10.5 ~1 ~17
11.0 ~1 ~18
11.5 ~1 ~18 ~,~5
13.0~1 ~
13.S~1 ~
14.0~1 ~1 42,~S
14.5~1 ~1 42,~
15.0~I ~
15.5~1 ~ 4~
16.0~1 ~ 42~
t6.S~1 ~ 42,~S
17.0~1 ~4 42.~
17.S~1 ~4 42,~5
18.0~1 ~5 42.~
18~5~t ~5 4~5
19.0~1 ~ 42,~
~.0 ~ ~ 4~5
~.5 ~1 ~7
21,0 ~1 ~ 4~5
21.5 ~1 ~ ~5
~0 ~1 ~ 42,~5
~S ~1 ~
~,0 ~1 ~ 42,~5
24,0 ~1 ~1
846,505
1
1,059.005
1,274,005
1~'~4.995
1,2~,745
1.299.613
1,2~.613
1.312,999
1,312,009
1 ~225.7:35
1.325,735
1,338.992
1,338.902
1,352,3~2
1,379.565
1,379.905
1,393,361
1.303,361
1,407,294
1,421,367
1.435.561
1,435,581
1.449,937
1.464,436
1
1.479.O8O
1,493,571
1,508.510
1,998,810
1,523,908
1.523.890
1.539,137
1.539,137
1,554.526
1,554,528
0
0
o
379,510
379,510
901,510
581.910
804,160
564,160
t ,016,860
1,016.680
1,231.660
1,231.860
1,257,286
1 270.2~1
1,270,264
1,283,399
I .,283.390
1,296,647
1,296,647
1.310,037
1,323,581
1,323,561
1 .~37,220
1.337.220
1,364,949
1,364.949
1,379,022
1,393.236
1,393,238
1,407.592
1,407.592
1,422,091
1,422,091
1,436,735
1.436.735
1,466,465
1,451,553
1,490,792
0
0
0
20~.500
208.500
319,835
319,835
441.990
441.999
55&,767
55~,787
676.657
67~.957
583,900
861.032
691 .~
6M.175
890,175
705,339
705,9089
712,676
712,676
720.936
720,036
727.469
727.489
734.975
734.976
742,559
742,559
750,217
790,217
757.952
757,052
765,764
765,764
773.655
781.624
759.673
789.573
797,8O2.
797,862
,606,013
996.013
614,306
814.306
~22,862
631.141
Auditor ta
0.90% 2J;.90%
0 · 0
0 0 0
0 o
0 9
(751) (~l,m 155,870
(7S1) (51.~
(1,15~ ~,e?~ ~,of3
(1,151 ~.87~ ~,0~3
(1,591
Cov~lge ~e#l~4dlnu4l Smttl~ PAYMENT DATE
P ~,-,-~-~__ m_ _~'~_ B~I~
V~lue Yin.
0 0.0
O 0.0
0 0.0
0 0.0
t32..643 0.5
261,504 1.0
452,574 1.5
837.629 2.0
905,312 2.5
(1,591
(2.019
(2,012
(2,437
(2.437
(2,53S
(2.$35
(2.502
(2,619
(2,619
(2,67.
(2,701
(2,701
(2.729
(2.757
(2.765
(2.814
(2,61,
(2,87';
(2.99;
(2,932
(2,902
(2,9~2
(2,902
(110,1(X
(170,374
(170.374
(172,13(
(t'72,13(
(173.91.4
(173,91.4
(175,712
(175,713
(I'?'7,.525
(177.5:25
(179,361
(179,3~1
(151.212
(151,212
(163.o8:
(183,90:
(184.971
(184.971
(166.57;
(186,87~
(1 86.80~
(186.60~
(190,752
(190.752
(192,717
(192,71~
(194,709
(194,70:
{196,70~
(190,703
(198,732
(198.73~
(202,844
(2O4,930
(207,037
(2O7.03:
330,299 1,125.190
417,5~1 1,416,931
417.581 1,703,417
505,590 2.037,216
505.599 2.360,508
511,123 2,0'76,863
511,123 2.983,260
614,408 3,2~3,M1
516,404 3,573/465
521,746 3.857,615
521,746 4.132A21
527,138 4,402,119
527,138 4.662,940
532,583 4,818,161
532.583 5,155,~45
535.063 5.407.22~
53~,0~3 5.641,491
543,637 5,870,725
543.637 6.09,2,742
549,248 6,309,991
549.248 5,520,401
554,814
554.914 6,925.699
560,637 7~120,822
560,637 7.309.504
566,417 7,494,724
566.417 7,673.624
572,256 7,~49.074
572.256
576.152 8,1&4,892
576,152 8,345,749
5~4,107 8.503,147
584,107 5.555.591
599,122 5,504.757
599,122
596.195 9.099.691
598,190 0.227.505
602,334 9,361.474
602.334 9.491.226
99~.531 9,616,187
60~,531 9.741.151
614,790 9.861.470
614,790 0.978.002
021,112 10.092,026
621.112 10.202.461
3.0
3.5
4.0
4.5
5.0
S.5
6.0
0.5
7.0
7.5
5.0
5.5
9.0
9.5
10.0
10.5
12.0
12.5
13.5
14.5
15.0
15.5
16.0
16.5
17.0
17.5
18.0
18.5
19.0
19.5
20.5
21.0
21~5
22.0
22.5
23.0
23.5
24.0
24.5
25.0
90-01 2011
Q2-01 2~12
0~4)1 2012
02-01 2013
0e-01 2013
02-01 2014
06-01 2014
~2-01 2015
25.0 02,.O1 2032 42,345 1.570.073 1.527.728 0 839.MS (3.02~ (205,16( 627,407 10.310.519
~ 42~5 1570073 1527728 0 839585 023 9186' 627497 10415179
Totals
25.5
08-01 2O32
02-O1 2033
.----J
APPENDI~ E
MINNESOTA BUSINESS ASSISTANCE FORM
(MINNESOTA DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT)
APPENDIX
E-1
Please f'fll in date agreement signed (same as question 21)
Minnesota Business Assistance Form
· The Minnesota Business Assistance Form (MBAF) is used to report each business subsidy and financial assistance
agreement signed from,4ueust 1, 1999 through December 31, 2003 unless goals have been achieved and reported
in a MBAF per Minn. Stat. § 116J.993 to § 116J.995.
· The following govenunent agencies must Submit a MBAF: 1) any local government/agency that signed a business
subsidy agreement since January 1, 1999, or represents a population of more than 2,500; 2) all state government
agencies authorized to provide business subsidies.
· Ifa local or state government agency that is required to report has not done so by April 1, DEED will mail a
waraing. If it fails to report by June 1, it may not award any business subsidies until a report has been filed.
· Questions? Call (651) 2964)580. Information on where to mail or fax your completed MBAF(s) is on page 4.
Section 1 Grantor Information
1. Name of grantor (funding entity) 2. Name of person completing this form
3. Street address 4. City 5. ZIP code
6. County 7. Phone number 8. Fax number 9. E-mail address
10. Please indicate who in your organization should receive the MBAF if different from the person in Question 2.
Name/Title Phone number Street address City ZIP code
1 I. Classification of grantor (Mark one. If grantor is entity 12. Has your organization held a public hearing on and
created by gov 't agency, please indicate affiliation. For adopted criteria for awarding business subsidies in
example, a city EDA would check "City government. '9 compliance with Minn. Stat. § 116J.9947 (Mark one.)
El City government El Yes, in 2004 (attach criteria)
[3 Yes, in 2004 but have not yet adopted criteria
[3 County government ~ Yes, prior to 2004
[3 Regional government If Yes:
Hearing Date: Year Criteria Submitted:
El State government
[3 No
[3 Other (please specify.) [3 Other (Please attach explanation.)
13. Has your organization signed any agreements to award a business subsidy or financial assistance from August 1, 1999
through December 31, 2003 unless goals have been achieved and reported in a previous filed MBAF? (Mark one.)
[3 Yes (Complete the remainder of the form unless goals have been achieved and El No (Stop here, go to section 5 on page 4.)
reported in a previously filed MBAF per Minn. Stat. ~116~. 993 and 3~116J. 994.)
Section 2 Recipient Information
14. Name of business or organization
receiving subsidy or financial assistance
15. Address where business subsidy or financial assistance
will be used
Street address City State ZIP code
16. Does the recipient have a parent corporation? (Mark one.)
El Yes (Indicate name and address of parent corporation below. [f more than one, indicate ultimate owner.,)
D No
Name of parent corporation Street address City State
ZIP code
Minnesota.Business Assistance Form (I/14/04) Page I of 4 Dept. of Employment & Economic Development
17. Industry ofrecipient's facility (Mark one.):
0 M~ct~L~g 0 S~',dces
0 Retail Trade 0 Wholesale Tmdc
Finance, Insurance, Real Estate
Construction O Other (please specify)
18. Did the recipient relocate as a result of signing this agreement? (Mark one.)
0 Yes (Indicate city and state ofprevioas address and reason recipient did not complete this project at that address.)
0 No (Go to Question 19.)
City/State of previous address Reason project not completed at previous ackimss
19. Would the recipient have remained in previous location or relocated elsewhere if not awarded this business subsidy or
financial assistance? (Mark one.)
Remained at previous location O Relocated to different Minnesota location O Relocated outside Minnesota
Section 3 Agreement Information
20. Total dollar value of business subsidy or financial
assistance (Please separate value by type in Questions 24
and 250
21. Date ag~¢ment signed (In addition to the agreement
date, indicate any dates the agreement was amended.)
22. Benefit date (Indicate the date the recipient will benefit from the business subsidy or financial assistance. For example,
indicate the date improvements were finished, equipment was placed into service, or the recipient occupied the property
whichever is earlier.) '
23. Does the agreement provide a business subsidy or one of the four types of financial assistance (see Question 25) required to
be reposed? (Mark one.)
0 business subsidy 0 financial assistance
24. If the agreement provided a business subsidy, please
indicate thc type(s) and total dollar value for each type.
El not applicable, agreement provided financial assistance
0 loan (only principal) $
O grant (i.e., forgivable loan) $
0 tax abatement $
~ TI/: or other tax reduction or deferral $
0 guarantee of payment $
O contribution of property or infrastructure $
0 preferential use of governmental facilities $
0 land contribution $
~ other (Specify subsidy type.) $
25. If the assistance was one of the four types of financial
assistance, please indicate the type(s).
D not applicable, agreement provided a business subsidy
0 assistance for property polluted $
by contaminants
0 assistance for renovating building $
stock or bringing it up to code, and
assistance provided for designated
historic preservation districts, when
50% or less of total cost
0 assistance for pollution control or $
abatement
0 assistance for a TIF soils condition district $
26. If the assistance included tax increment financing, please
indicate the type of TIF district? (Mark one.)
not applicable, assistance was not in the form of TIF
redevelopment
renewal and renovation
soils condition
economic development
mined underground space
hazardous substance subdistrict
27. Are any other grantors providing a business subsidy or
financial assistance to the same project? (Mark one.)
Yes (Specify each grantor and the value of their
assistance below; attach an additional sheet if necessary.)
0 No
Grantor(s) and value of the agreement(s):
Grantor Value ($)
Grantor Value ($)
Minnesota. Business Assistance Form (1/14/04) Page 2 of 4 Dept. of Employment & Economic Development
Section 4 Goals and Public Purpose Identified in the Agreement
28. Minn= Stat. §116.1.994 requires that bus/ness subsidy and fimmcial assistance agl~men~ state a public purpose. Which
of the following public purposes wcr~ stated in the a~t? (Markall that apply.)
~ ~nhnncing economic diversity ~1 Increasing tax base (cannot be only purpose)
Gl Crea~ng high-quality job growth ~1 Other (please specify).
Cl Sob r~tention
~1 Stabilizing thc community
29. Indicate whether the agreement included the following typez of goals, and whether the recipient had attained those goals
at the rime of this report. (Fill in the boxes and attainment date(s) for each goal.)
A) Specific wage and job goals to be attained within 2 years
B) Other job-creation and/or retention goals
C) Other wage goals
D) Other goals other than wage and job goals
Goals Target attainment All goals
e~tablished? dates (month & year) attained?
OYes ONo OYes ONo
~! Yes ~ No {~ Yes {~ No
O Yes O No {~ Yes O No
121 Yes I~ No 121 Yes Il No
(Please attach descriptions of goals and progress toward
attainment if not documented in Question~ 30 and 31.)
30. For each of the following wage categories, indicate the job creation and/or retention goals stated in the
agreement and the average hourly value of any employer-provided health insurance goals for those jobs. (Only indicate job
creation goals in full-time equivalents if you are unable to separate goals by full- and part-time positions.) '
Full-time Part-time/ FTE (only ff goals not
Hourly Wage Job Seasonal/Temp. stated as FT/PT) Job Retention Hourly Value of
(excluding benefits) Creation Job Creation Job Creation Health Insurance
no hourly wage-level goal s
less than $7.00 S
S7.00 to S8.99
$9.00 to S10.99
$11.00 to $12.99
$t3.00 to $14.99
$15.00 and higher s
31.
For each of the following wage categories, indicate the number of actual jobs created and/or retained since thc benefit
date and the actual hourly value of any employer-provided health insurance for those jobs. (Only indicate job creation in
full-time equivalents if you are unable to separate job creation into full- and part-time positions.)
Full-thne Part-time/ FTE ~ if unable to
Hourly Wage Job Seasonal/Temp. separate FT/PT) Job Retention Hourly Value of
(excluding benefits) Creation Job Creation Job Creation Health Insurance
less than $7.00
$7.00 to $8.99
$9.00 to $10.99 $.~
Sl 1.00 to $12.99 ~.__
$13.00 to $14.99 $.__
$15.00 and higher s.~
32. Has thc recipient achieved all goals (see Questions 29, 30 and 3 I) and fulfilled all obligations stipulated in the agreement?
(Mark one.)
O Yes O No
Minnesota Business Assistance Form (I/14/04)
Page 3 of 4 Dept. of Employment & Economic Development
Section 5 Recipients Failing to Fulffil Obligations
Do not complete this section if )~ou completed it on another MBAF submitted to DFd~.D.~
33. During the period January 1, 2003 through December 31, 2003, did your organization have any recipients who failed to
repor~ as required by Minn. Stat. § 116J.993 and § 1165.9947 (Mark one.)
~l Yes (Indicate the name of each recipient failing to report and the value of subsidy or financial assistance awarded to that
recipienL, dttach additional pages if necessary.)
~ No
Name of recipient
Type of subsidy or assistance (See Questions 24 and 25.) Value of subsidy or assistance
34. Did your organ/zation have any recipients who failed m achi~v~ any goals or fulfill any other obligations under an
agr~.-ment signed on or afar August I, 1999, that we~ requ/red to b~ fulfLiled by the time of this report? (Markone.)
Yes (Complete the remainder of this section.) O No (Stop here and submit form to DEED .)
35. - 39. Provide the followiag information for each recipient failing to fulfill goals or any other terms of an agreement that
were to be attained by the time of reporting. (dttach additionalpages if necessary.)
35. Information on r~ipient and agreement:
Name of recipient in default
Type of subsidy or assistance
Initial value of
subsidy or assistance
Street address of recipient City/ZIP code of recipient Outstanding value of
subsidy or assistance
36. Reason(s) for default (Markall that apply.):
[~ recipient ceased operation ~1 recipient relocated to a different cornmuaity
~ recipient was unable to fill vacant positions ~1 other (Specify reason.)
37. To date, has the recipient fulfilled its repayment obligation? (Markone.)
C3 Yes ~l No, recipient has begun to repay the assistance. ..Fl No, recipient has not begun to repay the assistance.
38. Has the agreement been amended to extend the recipient's deadline for fulfilling its obligations? (3ffark one.)
Cl Yes C~ No
39. Describe the steps being taken to bring recipient into compliance or recoup the subsidy:
Return your completed MBAF(s) by April 1, 2004, to:
Minnesota Business Assistance Form
Minnesota Department of Employment and Economic Development - AEO
500 Metro Squ~re, 121 East 7"' Place
St. Paul, MN 55101-2146
Or fax to: (651) 215-3841
Minnesota Business Assistance Form (I/14/04)
Page 4 of 4 Dept. of Employment & Economic Development
APPENDIX F
REDEVELOPMENT QUALIFICATIONS FOR THE DISTRICT
APPENDIX
F-I
Redevelopment Eligibility Assessment
Proposed Columbia Heights Huset Park Area
TIF District
Columbia Heights, MN
September 9, 2004
Amended October 14, 2004
Prepared by:
Short Elliott Hendrickson, Inc. (SEH)
Butler Square Building, Suite 710C
100 North 6th Street
Minneapolis, MN 55403
SEH No. A-COLHT0402.00
City of Columbia Heights
Proposed TIF District
September 9, 2004
October 14, 2004
PURPOSE
Short Elliott Hendrickson, Inc. (SEH) was hired by the City of Columbia Heights,
Minnesota, to survey and evaluate the properties within the proposed Columbia Heights
Tax Increment Financing (TIF) District. The proposed district is generally located south
of 39th Avenue NE, north of 38th Avenue NE, east of University Avenue NE and west of
Jefferson Street. The purpose of our work was to independently ascertain whether the
qualification tests for tax increment eligibility, as required under Minnesota Statute,
could be met.
The findings and conclusions drawn herein are solely for the purpose of tax increment
eligibility and are not intended to be used outside the scope of this assessment.
SCOPE OF WORK
The proposed district as of September 9th consisted of 12 parcels comprised of the
following types of improvements: 9 commercial structures on 7 parcels, and 5 vacant
parcels with only parking improvements. Within the district are also several accessory
structures - for the purposes of this assessment, these are considered 'outbuildings' and
are not included in the Condition of Buildings Test.
On October 9, 2004 SEH was able to obtain access to additional buildings located on
parcels 12 and 28. During the survey of these buildings it was determined that 3
additional structures are classified as buildings included in the proposal district and not
classified as "outbuildings". Thus the proposed district consists of 12 parcels comprised
of the following types of improvements: 12 commercial structures on 7 parcels, and 5
vacant parcels with only parking improvements.
EVALUATIONS
Interior inspections were completed for all buildings except 2Exterior assessments were
completed for all buildings.
FINDINGS
Coverage Test- 12 of the 12 properties met the coverage test with a 100% area
coverage. This exceeds the 70% area coverage requirement.
Condition of Buildings Test - 83.33 percent of the buildings - 10 of the 12 buildings -
were found to be "structurally substandard" when considering code deficiencies and other
deficiencies of sufficient total significance to justify substantial renovation or clearance
(see definition of "structurally substandard" as follows). This exceeds the Condition of
Buildings Test whereby over 50% of buildings, not including outbuildings, must be found
"structurally substandard."
CONCLUSION
Our surveying and evaluating of the properties within this proposed Redevelopment
District render results that in our professional opinion qualify the district eligible under
the statutory criteria and formulas for a Redevelopment Tax Increment Financing District
(State Statute 469.174 Subd. 10).
SUPPORTING DOCUMENTS ATTACHED - Site Occupied/Building Substandard Determination table
- TIF Assessment maps: Buildings Under Study, Occupied Surfaces, Percent
Occupied
- Report on Building Condition (one per building)
- Individual Building Summary Report (one per building)
PROCEDURAL REQUIREMENTS
The properties were surveyed and evaluated in accordance with the following
requirements under Minnesota Statute Section 469.174, Subdivision 10, clause (c) which
states:
Interior Inspection - "The municipality may not make such determination [that the
building is structurally substandard] without an interior inspection of the property..."
Exterior Inspection and Other Means -"An interior inspection of the property is not
required, if the municipality finds that (1) the municipality or authority is unable to gain
access to the property; and after using its best efforts to obtain permission from the party
that owns or controls the property; and (2) the evidence otherwise supports a reasonable
conclusion that the building is structurally substandard."
Documentation -"Written documentation of the building findings and reasons why an
interior inspection was not conducted must be made and retained under section 469.175,
subdivision 3, clause (1)." Refer to attached Exhibit A - Documentation of
Contacts/Evaluations for documentation for these purposes.
PROCEDURES FOLLOWED TO MEET REQUIREMENTS
The City of Columbia Heights sent letters to all property owners located in the district
requesting that an inspection and evaluation be made of their property. SEH conducted
assessments between March and October 2004.
Requests for evaluation appointments were made with the building owner or building
tenants. An interior inspection and evaluation was completed if consented to by the
owner. An exterior inspection and evaluation was made where the owner refused interior
access to their property. In all cases, an exterior evaluation was completed.
For all subject buildings, SEH reviewed the information provided by the City of
Columbia Heights. This information provided a basic description of type of work
completed for each building (Building, Electrical, or Plumbing, scope of work) and, in
some cases, approximate value of work to be completed. Some buildings had no
available information. Additional building data was collected from public taxpayer
information available from Anoka County. Building data from these public records was
combined with and reviewed against information gathered in the field.
QUALIFICATION REQUIREMENTS
The properties were surveyed and evaluated to ascertain whether the qualification tests
for tax increment eligibility for a redevelopment district, required under the following
Minnesota Statutes, could be met.
Minnesota Statute Section 469.174, Subdivision 10, clause (a) (1) requires two tests for
occupied parcels:
I. Coverage Test- "parcels consisting of 70 percent of the area of the district are
occupied by buildings, streets, utilities, paved or gravel parking lots or similar
structures..."
Note: The coverage required by the parcel to be considered occupied is defined under
Minnesota Statute Section 469.174, Subdivision I0, clause (e) which states: "For
purposes of this subdivision, a parcel is not occupied by buildings, streets, utilities,
paved or gravel parking lots or other similar structures unless 15% of the area of the
parcel contains buildings, streets, utilities, paved or gravel parking lots or other
similar structures."
2. Condition of Buildings Test - "... and more than 50 percent of the buildings, not
including outbuildings, are structurally substandard to a degree requiring substantial
renovation or clearance;"
The term 'structurally substandard', as used in the preceding paragraph, is defined by
a two-step test:
Conditions Test: Under the tax increment law, specifically, Minnesota Statutes,
Section 469.174, Subdivision 10, clause (b), a building is structurally
substandard if it contains "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 to justify
substantial renovation or clearance."
Code Test: Notwithstanding the foregoing, the tax increment law, specifically,
Minnesota Statutes, Section 469.174, Subdivision 10, clause (c) also provides that
a building may not be considered structurally substandard if it: "... is in
compliance with building code applicable to new buildings or could be modified
to satisfy the building code at a cost of less than 15 percent of the cost of
constructing a new structure of the same square footage and type on the site."
Based on the above requirements, the substandard determination of a particular
building is a two-step process; therefore, the findings of each step are independent of
each other and both steps must be satisfied in order for a building to be found
structurally substandard. It is not sufficient to conclude that a building is structurally
substandard solely because the Code Test is satisfied. It is theoretically possible for a
building to require extensive renovation in order to meet current building codes but
still not meet the main test of the Conditions Test.
Furthermore, deficiencies included in the Conditions Test may or may not include
specific code deficiencies as listed in the Code Test. In many cases, specific building
code deficiencies may well contribute to the data which supports satisfying the
Conditions Test; converselY, it is certainly possible that identified hazards or other
deficiencies which could be included in the Conditions Test do not necessarily
constitute current building code deficiencies. By definition, the nature of the two
steps is slightly different. The Conditions Test is more subjective, whereas the Code
Test is an objective test. Conditions Test deficiencies are less technical and not
necessarily measurable to the same extent of the code deficiencies in the Code Test.
To the end that technical, measurable building code deficiencies support the
satisfaction of the less technical Conditions Test, the following code requirements are
defined in terms that go beyond the technical requirements of the code and
demonstrate their relevance in terms of".., deficiencies in essential utilities and
facilities, light and ventilation, etc..."
International Building Code (IBC): The purpose of the IBC is to provide
minimum standards to safeguard public health, safety and general welfare through
structural strength, means of egress facilities, stability, sanitation, adequate light
and ventilation, energy conservation, and safety to life and property from fire and
other hazards attributed to the built environment (IBC 101.3). A deficiency in the
building code (insufficient number of building exits, insufficient door landing
area, etc.) adversely affects one or more of the above standards to safeguard
'public health...and safety to life'; therefore, a deficiency in the building code is
considered a deficiency in one or more "essential utilities and facilities, light and
ventilation, etc.".
Minnesota Accessibility Code, Chapter 1341: This chapter sets the requirements
for accessibility all building occupancies. The Minnesota Accessibility Code
closely follows the Americans with Disabilities Act Accessibility Guidelines
(ADAAG), which sets the guidelines for accessibility to places of public
accommodations and commercial facilities as required by the Americans with
Disabilities Act (ADA) of 1990. The ADA is a federal anti-discrimination statute
designed to remove barriers that prevent qualified individuals with disabilities
from enjoying the same opportunities that are available to persons without
disabilities (ADA Handbook). Essentially, a deficiency in the accessibility code
(lack of handrail extension at stairs or ramp, lack of clearance at a toilet fixture,
etc.) results in a discrimination against disabled individuals; therefore, a
deficiency in the accessibility code is considered a deficiency in "essential
utilities and facilities".
Minnesota Food Code, Chapter 4626: This chapter is enforced by the Minnesota
Department of Health and is similar to the IBC in that it provides minimum
standards to safeguard public health in areas of public/commercial food
preparation. A deficiency in the food code (lack of non-absorbent wall or ceiling
finishes, lack of hand sink, etc.) causes a condition for potential contamination of
food; therefore, a deficiency in the food code is considered a deficiency in
"essential utilities and facilities".
National Electric Code (NEC): The purpose of the NEC is the practical
safeguarding of persons and property from hazards arising from the use of
electricity. The NEC contains provisions that are considered necessary for safety
(NEC 90-1 (a) and (b)).' A deficiency in the electric code (insufficient electrical
service capacity, improper wiring, etc.) causes a hazard from the use of
electricity; therefore, a deficiency in the electric code is considered a deficiency in
"essential utilities and facilities".
International Mechanical Code (IMC): The purpose of the IMC is to provide
minimum standards to safeguard life or limb, health, property and public welfare
by regulating and controlling the design, construction, installation, quality of
materials, location, operation, and maintenance or use of mechanical systems
(IMC 101.3). The IMC sets specific requirements for building ventilation,
exhaust, intake and relief. These requirements translate into a specified number
of complete clean air exchanges for a building based on its occupancy type and
occupant load. A deficiency in the mechanical code adversely affects the 'health.
·. and public welfare' of a building's occupants; therefore, a deficiency in the
mechanical code is considered a deficiency in "light and ventilation".
Note: The above list represents some of the more common potential code
deficiencies considered in the assessment of the buildings in the proposed district.
This list does not necessarily include every factor included in the data used to
satisfy the conditions test for a particular building. Refer to individual building
reports for specific findings.
Finally, the tax increment law provides that the municipality may find that a building
is not disqualified as structurally substandard under the Code Test 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. Items of evidence that support such a conclusion [that the building is
structurally substandard] include recent fire or police inspections, on-site property
appraisals or housing inspections, exterior evidence of deterioration, or other similar
reliable evidence."
MEASUREMENTS AGAINST TECHNICAL TEST REQUIREMENTS
Coverage Test
SEH utilized a GIS (Geographic Information Systems) system database, available
through Anoka County and the City of Columbia Heights, to obtain individual parcel
information. The GIS system contains graphic information (parcel shapes) and numerical
data based on county tax records. This information was used by SEH for the purposes of
this assessment.
The total square foot area of each property parcel was obtained from county records
(GIS) and general site verification.
The total extent of site improvements on each property parcel was digitized from recent
aerial photography (Spring, 2000). The total square footage of site improvements was
then digitally measured and confirmed by general site verification.
The total percentage of coverage of each property parcel was computed to determine if
the 15% requirement was met. Refer to attached maps: Occupied Surfaces map and
Percent Occupied map.
The total area of all qualifying property parcels was compared to the total area of all
parcels to determine if the 70% requirement was met. The area occupied by public
rights-of-way has not been considered in the coverage test calculations. All of the public
rights-of-way are improved. If all of the public rights-of-way were treated as a parcel for
the purpose of coverage test calculations, the 70% requirement of the coverage test would
still be met.
Condition of Building Test
Replacement Cost - the cost of constructing a new structUre of the same size and type on
site:
R. S. Means Square Foot Costs (2004) was used as the industry standard for base
cost calculations. R. S. Means is a nationally published reference tool for
construction cost data. The book is updated yearly and establishes a "national
average" for materials and labor prices for all types of building construction. The
base costs derived from R. S. Means were reviewed, and modified if applicable,
against our professional judgment and experience.
A base cost was calculated by first establishing building type, building
construction type, and construction quality level (residential construction) to
obtain the appropriate Means cost per square foot. This cost was multiplied times
the building square footage to obtain the total replacement cost for an individual
building. Additionally, to account for regional/local pricing, a cost factor was
added to the total cost according to R.S. Means tables. Using R. S. Means,
consideration is made for building occupancy, building size, and construction
type; therefore, the cost per square foot used to construct a new structure will vary
accordingly.
Building Deficiencies: Conditions Test (Condition Deficiencies) - determining the
combination of defects or deficiencies of sufficient total significance to justify substantial
renovation or clearance.
On-Site evaluations - Evaluation of each building was made by reviewing
available information from city records and making interior and/or exterior
evaluations, as noted, sometimes limited to public spaces. Deficiencies in
structural elements, essential utilities and facilities, light and ventilation, fire
protection including adequate egress, layout and condition of interior partitions, or
similar factors, were noted by the evaluator. Condition Deficiencies may or may
not include Code Deficiencies as defined below. Energy code compliance was
not considered for the purposbs of determining Condition Deficiencies.
Deficiencies were combined and summarized for each building in order to
determine their total significance.
Building Deficiencies: Code Test (Code Deficiencies) - determining technical conditions
that are not in compliance with current building code applicable to new buildings and the
cost to correct the deficiencies:
On-Site evaluations - Evaluation of each building was made by reviewing
available information from city records and making interior and/or exterior
evaluations, as noted, sometimes limited to public spaces. On-site evaluations
were completed using a standard checklist format. The standard checklist was
derived from several standard building code plan review checklists and was
intended to address the most common, easily identifiable code deficiencies.
Mechanical Engineers, Electrical Engineers, and Building Code Officials were
also consulted in the development of the checklist.
Deficiencies were generally grouped into the following categories (category
names are followed by its applicable building code):
· Building accessibility - Minnesota Accessibility Code
· Building egress, building construction - International Building Code
· Fire protection systems - International Building Code
· Food service - Minnesota Food Code
· HVAC (heating, ventilating, and air conditioning) - International
Mechanical Code
· Electrical systems - National Electric Code and Minnesota Energy
Code
· Energy code compliance - Minnesota Energy Code
For the purposes of determining the Code Test (Code Deficiencies), Energy code
compliance is relevant because its criteria affect the design of integral parts of a
majority of a building's systems. The intent of these criteria is to provide a means
for assuring building durability, and permitting energy efficient operation
(7676.0100). The energy code addresses general building construction (all forms
of energy transmission in an exterior building envelope - walls, roofs, doors and
windows, etc.) and energy usage by lighting and mechanical systems. A
deficiency in the energy code (inadequate insulation, non-insulated window
systems, improper air infiltration protection, etc.) reduces energy efficient
operation and adversely affects building system durability; therefore, a deficiency
in the energy code is considered to contribute to a condition requiting substantial
renovation or clearance.
Office evaluations - Following the on-site evaluation, each building was then
reviewed, based on on-site data, age of construction, building usage and
occupancy, square footage, and known improvements (from building permit data),
and an assessment was made regarding compliance with current mechanical,
electrical, and energy codes. A basic code review was also completed regarding
the potential need for additional egress (basement stairways, for example),
sprinkler systems, or elevators.
Deficiency Cost - Costs to correct identified deficiencies were determined by
using R. S. Means Cost Data and our professional judgment and experience. In
general, where several items of varying quality were available for selection to
correct a deficiency, an item of average cost was used, as appropriate for typical
commercial or residential applications. Actual construction costs are affected by
many factors (bidding climate, size of project, etc.). Due to the nature of this
assessment, we were only able to generalize the scope of work for each
correction; that is to say that detailed plans, quantities, and qualities of materials
were not possible to be known. Our approach to this matter was to determine a
preliminary cost projection suitable to the level of detail that is known. This
process was similar to our typical approach for a cost projection that may be given
to an owner during a schematic design stage of a project.
Costs to correct deficiencies were computed for each building and compared to
the building replacement cost to determine if the 15% requirement was met.
The total number of buildings determined to be "structurally substandard" by satisfying
both the Conditions Test and the Code Test in this manner was compared to the total
number of buildings in the proposed district to determine if the 50% requirement was
met.
Reports on Building Conditions and Individual Building Summary Reports are available
for review at the offices of SEH, the City of Columbia Heights.
Tedhnical Conditions Resources - the following list represents the current building codes
applicable to new buildings used in the Building Deficiency review:
2003 Minnesota State Building Code
2000 International Building Code
2000 International Housing Code
MN 1341 - Minnesota Accessibility Code, Chapter 1341 (1999)
2000 Minnesota Energy Code, Chapters 7672, 7674, or 7676
1999 National Electric Code
2000 International Mechanical Code
2000 NFPA 101 - Life Safety Code
PROJECT TEAM:
Leon A. Grothe, AIA, Project Architect
Jason P. Zemke, AIA, Project Architect
Nancy G. Schultz, AIA, Sr. Architect
Ron Seymour, Community Development Manager
Debbie Zimmerman, Project Design Leader, Architectural Lighting Services
Greg Batcher, Mechanical Designer
10
11-1
Report on Building Condition
Building ID/Business Name/Address: 3755 University Ave~ Greif Inc
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
11-1
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: cracks in exterior masonry wall, near grade and in various locations;
broken/missing sections of brick and mortar in exterior walls; damaged wood columns in various
locations; cracks in concrete floor slab
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors; lack of maneuvering clearance and accessible features in toilet rooms.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior stairway: rise/run dimensions, handrail height, terminations, extensions and
guardrails.
· Deficient exterior door: threshold
· Deficient interior stairway: rise/run dimensions, landing, handrail height, grip, terminations, extensions
and guardrails.
Layout/Condition of Interior Partitions
· Damaged, cracked and stained in several areas
Similar Factors
· Defects in exterior building shell: damaged panels on east side of building; broken and/or missing
peeling paint on chipped or spalling brick in various locations; deteriorating wood/metal doors, door
and window frames.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSoume
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: 1) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within buildings
across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65 million
dollars.
· Of the 4.65 million dollars to clean-up the entire proposed district, the portion attributed to the clean up
of Building ID 11-1 and Parcel 11 is $317,865.
I1-1
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered
structurally substandard if it is in compliance with the building code applicable to new buildings or could be
modified to satisfy the current building code at a cost of less than 15% of the cost of constructing a new building of
the same square footage and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $4,917,477.50
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $1,208,229.00
Percentage of Code Deficiency to Replacement Cost: 24.57%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel No. 11 ($317,865) is included in the cost of correction of code
deficiencies, the Total Deficiency Cost is $1,526,094.00. That adjusted Total Deficiency Cost represents 31% of the
Total Replacement Cost. The high environmental costs further support the conclusion that this building is
structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
12-I
Report on Building Condition
Building ID/Business Name/Address: Action Plastics~ Building 12-1
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
12-1
Y
Y
X
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: deteriorating steel structure; damaged steel columns at interior of
building; cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
· Insufficient interior lighting
Fire Protection/Egress
· Deficient exterior door: thresholds
Layout/Condition of Interior Partitions
· Damaged, cracked and stained
Similar Factors
· Defects in exterior building shell: damaged metal skin on southeast side of building; broken/chipped
concrete at base of building; deteriorating metal doors, overhead doors, and door frames; deteriorating
metal panels at various locations on building exterior.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: 1) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within buildings
across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65 million
dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of
Parcel 12 (which includes Building 12-1), is $904,585.
t2-I
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered structurally
substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the
current building code at a cost of less than 15% of the cost of constructing a new building of the same square footage
and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $778,886
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $169,313.20
Percentage of Code Deficiency to Replacement Cost: 21.74'/o
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of correction
of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency Cost for those
buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46.1% of the aggregate Total
Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to allocate clean-up
costs to particular buildings, the high environmental costs on this parcel support the conclusion that all buildings on this
parcel are structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
12-2
Report on Building Condition
Building ID/Business Name/Address:
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
Buildin~ 12-2
12-2
Y
Y
Conditions Test
Under the tax increment law, specifically,. Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies, that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: deteriorating steel structure; damaged steel columns at exterior wall;
cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior door: threshold and landing
LayoutYCondition of Interior Partitions
· Damaged, cracked and stained in a few locations
Similar Factors
· Defects in exterior building shell: damaged metal skin on east side of building; broken/chipped
concrete at base of building; deteriorating metal doors, door frames and window frames.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: 1) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within
buildings across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65
million dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of
Parcel 12 (which includes Building 12-2), is $904,585.
12-2
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered structurally
substandard if it is in compliance with the building code applicable to new buildings or could be mod.ified to satisfy the
current building code at a cost of less than 15% of the cost of constructing a new building of the same square footage
and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $415,840.00
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $77,889.80
Percentage of Code Deficiency to Replacement Cost: 18.73 %
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of correction
of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency Cost for those
buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46.1% of the aggregate Total
Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to allocate clean-up
costs to particular buildings, the high environmental costs on this parcel support the conclusion that all buildings on this
parcel are structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
Report on Building Condition
12-3
Building ID/Business Name/Address:
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
Building 12-3
12-3
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: deteriorating steel structure; damaged steel columns at exterior wall;
cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior door: threshold and landing
· Deficient interior stairway: rise/mn dimensions, handrail height, terminations, extensions and
guardrails.
Layout/Condition of Interior Partitions
· Damaged, cracked and stained in a few locations
Similar Factors
· Defects in exterior building shell: damaged metal skin on east side of building; broken/chipped
concrete at base of building; deteriorating metal doors, door frames and window frames.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: 1) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within buildings
across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65 million
dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of
Parcel 12 (which includes Building 12-3), is $904,585.
12-3
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered structurally
substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the
current building code at a cost of less than 15% of the cost of constructing a new building of the same square footage
and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $415,840.00
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $97,849.80
Percentage of Code Deficiency to Replacement Cost: 23.53 %
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of correction
of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency Cost for those
buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46.1% of the aggregate Total
Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to allocate clean-up
costs to particular buildings, the high environmental costs on this parcel support the conclusion that all buildings on this
parcel are structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
12-4
Report on Building Condition
Building ID/Business Name/Address:
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
Building 12-4
12-4
Y
Y
X
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records, exhibits
the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: deteriorating steel structure; damaged steel columns at exterior wall;
cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to building,
and accessible hardware on exterior and interior doors; lack of maneuvering clearance at interior doors.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do not
provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior door: threshold and landing
Layout/Condition of Interior Partitions
· Damaged, cracked and stained in a various locations
Similar Factors
· Defects in exterior building shell: damaged metal skin on east side of building; broken/chipped concrete at
base of building; deteriorating metal doors, door frames and window frames.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource Technologies,
Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the following areas:
1) soil and/or ground water impacted with petroleum, 2) the presence of foundry waste in soils or ground
water which has been impacted with metals leaching from the foundry waste, 3) soil, sediment and/or
ground water impacted with chlorinated solvents and 4) ACM within buildings across the entire district.
In 2003 the cost to clean up the district was estimated to be 4.65 million dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of Parcel
12 (which includes Building 12-4), is $904,585.
t2-4
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered structurally
substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the
current building code at a cost of less than 15% of the cost of constructing a new building of the same square footage
and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $415,840.00
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $84274.80
Percentage of Code Deficiency to Replacement Cost: 20.27%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of correction
of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency Cost for those
buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46. 1% of the aggregate Total
Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to allocate clean-up
costs to particular buildings, the high environmental costs on this parcel support the conclusion that all buildings on this
parcel are structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
Report on Building Condition
12-5
Building ID/Business Name/Address:
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
Building 12-5
12-5
Y
Y
_v
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records, exhibits
the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: deteriorating steel structure; damaged steel columns at interior of
building; cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to building,
and accessible hardware on exterior and interior doors; lack of maneuvering clearance at interior doors.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do not
provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior door: threshold
Layout/Condition of Interior Partitions
· Damaged, cracked and stained
Similar Factors
· Defects in exterior building shell: damaged metal skin on southeast side of building; broken/chipped
concrete at base of building; broken windows on southeast side of building; deteriorating metal doors,
door frames and window frames; deteriorating metal panels at various locations on building exterior.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource Technologies,
Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the following areas: 1)
soil and/or ground water impacted with petroleum, 2) the presence of foundry waste in soils or ground
water which has been impacted with metals leaching from the foundry waste, 3) soil, sediment and/or
ground water impacted with chlorinated solvents and 4) ACM within buildings across the entire district.
In 2003 the cost to clean up the district was estimated to be 4.65 million dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of Parcel
12 (which includes Building 12-5), is $904,585.
12-5
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered
structurally substandard if it is in compliance with the building code applicable to new buildings or could be
modified to satisfy the current building code at a cost of less than 15% of the cost of constructing a new building of
the same square footage and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $778,886.40
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $180,663.20
Percentage of Code Deficiency to Replacement Cost: 23.20%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of
correction of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency
Cost for those buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46.1% of the
aggregate Total Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to
allocate clean-up costs to particular buildings, the high environmental costs on this parcel support the conclusion
that all buildings on this parcel are structurally substandard within the meaning of Minnesota Statutes, Section
469.174, subd. I0.
Report on Building Condition
12-6
Building ID/Business Name/Address: 3800 5th Street~ 3800 Buiidin~
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
12-6
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records, exhibits
the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: cracks in exterior masonry wall, near grade and in various locations;
damaged steel columns in various locations; cracks in concrete floor slab, with sections of slab shifted
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to building,
and accessible hardware on exterior and interior doors; lack of maneuvering clearance at interior doors;
lack of maneuvering clearance and accessible features in toilet rooms.
· Installation of drinking fountain required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do not
provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior stairway: width, rise/run dimensions, handrail height, terminations, extensions and
guardrails.
· Deficient exterior door: threshold and landing
· Deficient interior stairway: rise/run dimensions, landing, handrail height, terminations, extensions and
guardrails.
Layout/Condition of Interior Partitions
· Damaged, cracked and stained in several areas
Similar Factors
· Defects in exterior building shell: damaged metal skin on rear of building; broken and/or missing sections
of panels at rear of building; deteriorating metal doors, door frames and window frames.
Environmental Factors
'o Environmental clean up is required: A detailed Technical Report completed by ProSource Technologies,
Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the following areas: 1)
soil and/or ground water impacted with petroleum, 2) the presence of foundry waste in soils or ground
water which has been impacted with metals leaching from the foundry waste, 3) soil, sediment and/or
ground water impacted with chlorinated solvents and 4) ACM within buildings across the entire district.
In 2003 the cost to clean up the district was estimated to be 4.65 million dollars.
· Of the $4.65 million to clean up the entire proposed district, the portion attributed to the clean up of Parcel
12 (which includes Building 12-6), is $904,585.
12-6
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered structurally
substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the
current building code at a cost of less than 15% of the cost of constructing a new building of the same square footage
and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $16,005,969.75
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $7,162,021.40
Percentage of Code Deficiency to Replacement Cost: 44.75%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel 12 as a whole ($904,585) is included in the aggregate cost of correction
of code deficiencies for all 6 buildings on Parcel No. 12 ($7,772,012.20), the aggregate Total Deficiency Cost for those
buildings is $8,676,597.20. That adjusted aggregate Total Deficiency Cost represents 46.1% of the aggregate Total
Replacement Cost ($18,811,261.75) for all six buildings. In other words, while it is not possible to allocate clean-up
costs to particular buildings, the high environmental costs on this parcel support the conclusion that all buildings on this
parcel are structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10..
13-1
Report on Building Condition
Building ID/Business Name/Address: 3801 5th Street~ Rayco Corporation
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
13-1
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: damaged and deteriorating metal exterior skin; cracks and missing
grout in brick wall; spalling of concrete block face in several areas; broken and/or missing bricks on
exterior wall at roof level.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors; lack of maneuvering clearance and accessible features in toilet room.
· Installation of drinking fountains required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior stairway: deficient rise/run dimensions, handrail heights, diameter, terminations,
extensions and guardrails.
· Deficient exterior door: threshold height.
· Deficient interior stairway: deficient rise/run dimensions, handrail heights, terminations, extensions
and gnardrails.
Layout/Condition of Interior Partitions
· Cracked and damaged drywall/plaster in several areas; deteriorating wood paneling on interior walls,
near floor level, in several locations.
· Installation of non-absorbent wall surface in toilet room required.
Similar Factors
,· Defects in exterior building shell: broken and/or missing bricks on interior bearing walls.
· Peeling paint on damaged and deteriorating bricks and concrete block walls.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: l) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within buildings
across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65 million
dollars.
· Of the 4.65 million dollars to clean-up the entire proposed district, the portion attributed to the clean up
of Building ID 13-1 and Parcel 13 is $143,117.
13-I
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered
structurally substandard if it is in compliance with the building code applicable to new buildings or could be
modified to satisfy the current building code at a cost of less than 15% of the cost of constructing a new building of
the same square footage and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $2,653,244.52
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $674,165.96
Percentage of Code Deficiency to Replacement Cost: 25.41%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel No. 13 ($143,117) is included in the cost of correction of code
deficiencies, the Total Deficiency Cost is $817,282.96. That adjusted Total Deficiency Cost represents 30.8% of the
Total Replacement Cost. The high environmental costs further support the conclusion that this building is
structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
Report on Building Condition
Building ID/Business Name/Address: 450 38t~ Avenue~ Steel Tech
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
21-1
N
N
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
We were unable to gain access to the above building/parcel. Based upon exterior evaluation only, there is
insufficient data to make a finding as to building condition.
Report on Building Condition
Building ID/Business Name/Address: 515-517 38th Ave NE~ JR Properties 24-1
Satisfies Conditions Test for Structurally Substandard Building: N
Satisfies Code Test for Structurally Substandard Building: N
Structurally Substandard Building (Y/N): N
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building
is structurally substandard if it contains "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 to justify substantial renovation or clearance."
We were unable to gain access to the above building/parcel. Based upon exterior evaluation only, there is
insufficient data to make a finding as to building condition.
28-1
Report on Building Condition
Building ID/Business Name/Address: 550-600 39tb Ave NE
BP Video- Schafer Richardson
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
28-1
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building is
structurally substandard if it contains "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 to justify substantial
renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit records,
exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: cracks in brick and concrete block walls, mainly along grout lines;
spalling of concrete block face at grade; settlement cracks on 50% of the wall height on south side of
building; cracks in concrete floor slab in several areas.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance to
building, and accessible hardware on exterior and interior doors; lack of maneuvering clearance at
interior doors; lack of maneuvering clearance and accessible features in toilet room.
· Installation of drinking fountains required.
· Installation of additional toilet fixtures required.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical systems do
not provide sufficient number of air exchanges
Fire Protection/Egress
· Deficient exterior stairway: rise/run dimensions, handrail height, diameter, terminations and
extensions.
· Deficient exterior door: threshold height
· Deficient interior stairway: deficient in width, rise/mn dimensions, landing dimension, handrail height,
diameter, terminations, extensions and guardrails.
Layout/Condition of Interior Partitions
· Broken and/or cracked drywall/plaster or concrete block in several areas.
Similar Factors
· Defects in exterior building shell: peeling paint and rust stains on concrete block walls; deteriorating
door frames and doors at grade.
· Defects in interior of building: broken and/or missing floor tile in several areas; mold and moisture
stains on interior concrete block walls in service areas; several damaged interior doors; chipped and
broken concrete floor slab in hallway, near rear entrance.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned up in the
following areas: 1) soil and/or ground water impacted with petroleum, 2) the presence of foundry
waste in soils or ground water which has been impacted with metals leaching from the foundry waste,
3) soil, sediment and/or ground water impacted with chlorinated solvents and 4) ACM within buildings
across the entire district. In 2003 the cost to clean up the district was estimated to be 4.65 million
dollars.
28-1
Of the 4.65 million dollars to clean-up the entire proposed district, the portion attributed to the clean up
of Building ID 28-1 and Parcel 28 is $196,953.
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered
structurally substandard if it is in compliance with the building code applicable to new buildings or could be
modified to satisfy the current building code at a cost of less than 15% of the cost of constructing a new building of
the same square footage and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cos0: $10,586,938.36
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $1,858,780.56
Percentage of Code Deficiency to Replacement Cost: 17.56%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel No. 28 ($196,953) is included in the cost of correction of code
deficiencies, the Total Deficiency Cost is $2,055,733.56. That adjusted Total Deficiency Cost represents 19.4% of
the Total Replacement Cost. The high environmental costs further support the conclusion that this building is
structurally substandard within the meaning of Minnesota Statutes, Section 469.174, subd. 10.
31-I
Report on Building Condition
Building ID/Business Name/Address: 620 39t~ Ave NET Region Truck Equipment
Satisfies Conditions Test for Structurally Substandard Building:
Satisfies Code Test for Structurally Substandard Building:
Structurally Substandard Building (Y/N):
31-1
Y
Y
Conditions Test
Under the tax increment law, specifically, Minnesota Statutes, Section 469.174, Subdivision 10, a building
is structurally substandard if it contains "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 to justify substantial renovation or clearance."
The above building, based upon actual interior and exterior inspection and review of building permit
records, exhibits the following deficiencies that contribute to justifying substantial renovation or clearance:
Structural Elements
· Defects in exterior building shell: cracks in brick and block walls, along grout lines and
through blocks in various locations; cracks in concrete floor slab.
Essential Utilities & Facilities
· Deficient in facilities for disabled: deficient in disability parking, signage, accessible entrance
to building, and accessible hardware on exterior and interior doors; lack of maneuvering
clearance at interior doors; lack of maneuvering clearance and accessible features in toilet
room.
· Addition of drinking fountain required to replace existing drinking fountain.
Light & Ventilation
· Deficient in meeting Mechanical code: for building construction prior to 1989, mechanical
systems do not provide sufficient number of air exchanges
Layout/Condition of Interior Partitions
· Cracks and dents in drywall/plaster; hole in wall above toilet tank in toilet room.
· Installation of non-absorbent wall surface in toilet room required.
Similar Factors
· Defects in exterior building shell: peeling paint and face of concrete block spalling on interior
face of exterior wall in changing room; damaged and deteriorating exterior and interior doors
and door frames.
Environmental Factors
· Environmental clean up is required: A detailed Technical Report completed by ProSource
Technologies, Inc. in October 2003, identifies the need for hazardous materials to be cleaned
up in the following areas: 1) soil and/or ground water impacted with petroleum, 2) the
presence of foundry waste in soils or ground water which has been impacted with metals
leaching from the foundry waste, 3) soil, sediment and/or ground water impacted with
chlorinated solvents and 4) ACM within buildings across the entire district. In 2003 the cost
to clean up the district was estimated to be 4.65 million dollars.
· Of the 4.65 million dollars to clean-up the entire proposed district, the portion attributed to the
clean up of Building ID 31-1 and Parcel 31 is $313,906.
31-1
Code Test
Notwithstanding the foregoing, the tax increment law also provides that a building may not be considered
structurally substandard if it is in compliance with the building code applicable to new buildings or could
be modified to satisfy the current building code at a cost of less than 15% of the cost of constructing a new
building of the same square footage and type on the same site.
Estimated cost of new building of same size and type (Total Replacement Cost): $530,226.51
Estimated cost of correction of code deficiencies (Total Deficiency Cost): $176,551.56
Percentage of Code Deficiency to Replacement Cost: 33.30%
Refer to Individual Building Summary Report for documentation of specific code deficiencies.
If the cost of environmental clean up for Parcel No. 31 ($313,906) is included in the cost of correction of
code deficiencies, the Total Deficiency Cost is $490,457.56. That adjusted Total Deficiency Cost
represents 92.5% of the Total Replacement Cost. The high environmental costs further support the
conclusion that this building is structurally substandard within the meaning of Minnesota Statutes, Section
469.174, subd. 10.
CITY OF
COLUMBIA HEIGHTS
INDUSTRIAL PARK
REDEVELOPMENT PROJECT
Redevelopment Erigibility
Assessment
OCCUPIED SURFACES
150
3O0
~ Feet
Legend
u'rM, NAD 83 (m)
Soume:City of Columbia Hgts,
Anoka County, USGS FSA,
and SEH. o Ae~iaia 2003
SEH
CITY OF
COLUMBIA HEIGHTS
INDUSTRIAL PARK
REDEVELOPMENT PROJECT
Redevelopment Eligibility
Assessment
BUILDINGS ASSESSMENT
150
30O
, Feet
Project Boundary
Buildings
Parcels
UTM, NAD 83 (m)
Souece:City of Columbia Hgts,
Anoka County. USGS FSA.
and SEH, - Ae~ds 2003
SEH[
CITY OF
COLUMBIA HEIGHTS
INDUSTRIAL PARK
REDEVELOPMENT PROJECT
Redevelopment Eligibility
Assessment
PERCENT OCCUPIED
150
300
~ Feet
Legend
r'"'"! project Bounda~/
Parcels
Percent Occupied
~ 0 % Occupied
~ 1- 15 % Occupied
~ > 15 % Occupied
Soume:City d Columbia Hgts.
AnoVa County, USGS FSA,
and SEH. - Amiats 2003
SEH
COVERAGE SITE COVERAGE TOTAL # #
% COVERAGE (e.f.) QUANTITY BUILDINGS SUBSTANDARFI
SITE OCCUPIED/BUILDING SUBSTANDARD DETERMINATION
CITY OF' COLUI','IBIA HEIGHTS
MAP TYPE OF SITE AREA
ID FULL NAME OCCUPATION (e.f.)
11 3755 UNIVERClTY AVE BUILDING/PAVED 75,396 98.51
12 3800 5TH STREET BUILDINGS/PAVED 353,818 90.90
13 3801 5TH STREET BUILDING/PAVED 43,218 99.93
14 Not given in data set PAVED 106,621 71.80
15 Not given in data set PAVED 169,111 71.17
21 450 38TH AVE BUILDING/PAVED 11,385 100.00
23 Not given in data set PAVED 6,480 99.94
24 515-517 38TH AVE BUILDI NG/PAVED 14,175 99.93
27 Not given in data set PAVED 33,029 99.93
28 550-600 39TH AVE BUILDING/PAVED 260,684 74.76
30 Not given in data set PAVED 104,162 84.88
74269 75,396 I 1
321636 353,818 6 6
43188 43,218 1 t
76551 106,621 0 0
120361 169,111 0 0
11385 11,383 1 1
6476 6,480 0 0
14165 14,175 1 1
33006 33,029 0 0
194877 260,684 1 1
88409 104,162 I 1
31 3900 JEFFERSON ST BUILDING/PAVED 27,203 99.93 27184 27,203
OTALS ~.? .... ~.~' :~;~ '~: : ~ ~ 205~283.70' i;~$0~!00~ 1,205~8'1!24 ~' '12 12
PERCENTAGES ~¢:~: ~ · 100~00% ~ 100,0~%
MAP ID #
PID #
Parcel Name
Inspector
Inspection Dote
.Survey Method
Bldg Occupancy
Bldg Type
Wall Construction
Roof Construction
# Stories
BaSement (Y/N)
Story-Height
Floor Area
Building Area
Year Built
5prinklered
Elevator
53024340003
37§§ UNIVERSIT'/AVE, GREIF INC.
INDIVIDUAL BUILDING SUMMARY REPORT
LAG
7/9/2004
INTERIOR
B/I
MASONRY
5'r~EL/WOOD
1
N
30
50000J
Exterior Wall And Frame
5tory Height Adjustment (Add or Deduct)
Basement~
Location Factor*'
Total Replacement Cost
Total Deficiency costI I I'
Percentage of Code Deficiency To Replacement Cost
Satisfies Step 2 Test (469.174 lO (c)) for Structurally Substandard Building
*Residential Basement - Calculate Percentage of Finished vs. Unfinished
**Location Factor varies by location and building ~ype (commercial or residential)
$4,351,750.00
$0.00
$56§,727.~0
$4,917,477.§0
$1,ZO8,ZZg.00
24.57%
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Sen/ice Areas
Heating, Ventilation, and CooPing Systems (HVAC)
Electrical Systems
Deficiency Cost
$124,085.00
$195,000.00
$499,144.00
$o.o0
S390,000.00
$0.00
Page I
Deficiency
Accaaaibility (Exterior) - 1999 Minnoosta Accessibllty Coda, Ch. 1341
NO disability parking available - MN 1341.0403; add striping for one stall plus eigflage
No van accessible parking available - MN 1341.0403; add stdping for one stall plus signage
Disbility parking space without required signage - MN 1341.0428; add signage each stall
NO e~torior accessible route (that does not require use of stairs) from site access to building entrance - MN
1341.0422; remove accessibility banters, provide new sidewalk
Non-compliant or no curb cut provided for extedor accsssible route - MN 1341.0430; remove existing walk and
curb, provide new pedestrian curb ramp
Exterior entrance door on an accessible route less than 32' width - MN 1341.0442; remove existing door,
enlarge opening, provide new door
Extedor entrance dom' on an accessible route without required maneuvering clearance at door approach or min.
48' between sets of doors. MN 1341.0442; remove existing barriers or wall framing, patch walls
Extedor entrance door on an accessible route without lever handle or loop-style hardware; MN 1341.0442;
replace exisUng door hardware
Accaaaiblllty (Interior) - 1999 Minnesota Accessibility Code, Ch. 1341
Building occupancy of floor (greater than 30 OCcupants} above or below level of access requires installation Of
an elevator - MN 1341.0405; provide new elevator
Door on an interior acceseible route without required maneuvering clearance at door approach or door opening
is less than 32' clear width - MN 1341.0442; remove existing barriers or wall framing, patch wails
Door on an intedor accessible route without lever handle or tcop-style hardware - MN 1341.0442; replace
existing door hardware
Toilet mom door opening less than 32' min. clear width - MN 1341.0442; remove existing door, enlarge opening
and provide new door
Toilet room door without required maneuvenng clearance at (interior} door approach - MN 1341.0442; remove
existing parders or wall framing, patch waifs
Toilet room without uno bstrocted 5'-0' turning radius within room - MN 134 t.0460; remove barriers or wall
framing, enlarge toilet room and patch wails
Toilet room without 30"x48' clear space for forward approach at lavatory - MN 1341.0454; remove barriers or
wall framing or modify base cabinet
Toilet room without lavatory at 34' max. height and 29" min. clear knee space below * MN 1341.0454;
relocate~adjust height of lavatory and plumbing
Toilet room without lever or similar faucet controls for lavatory - MN 1341.0454; replace existing lavato~ faucet
Toilet room without plumbing insulation/covering for lavatory - MN 1341.0454; provide plumbing
insulation/covering
Toilet room accessories (soap dispenser, towel dispenser, etc.) that ara mounted higher than 40' max. above
the floor- MN 1341.0470; relocate existing toilet accessories
Toilet mom without clear space for side ~ansfer water closet/toilet stall o MN 1341.0448; remove barriers or wall
framing, enlarge toilet room and patch walls
Toilet mom without toilet seat at 17'-19' above the floor - MN 1341.0448; replace existing toilet fixture
Toilet room without horizontal and vertical grab bars for water closet/toilet stall - MN 1341.0448; provide new
grab bars (18', 36', 42') Page 2
Ama/NumberUnit Cost
of Req'd,
Improvements
N $240.00
N $250.00
$80.00
N $700.00
N $500.00
N $1,350.00
N $500.00
N $200.00
$52,725.0O
3 $250.0O
8 $175.00
2 $0.00
2 $0.00
2 $0.00
I $0.00
2 $0.00
2 $0.00
2 $0.00
2 $0.00
2 $0.00
2 $0.00
2 $0.00
Deficiency Cost
1
$240.00
$250.00
$80.00
S700.00
$500.00
$1,350.00
S500.00
$200.00
1
$52..725.0O
$750.00
$1,400.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
Toilet room without udnal dm mounted at 17' max. above the floor - MN 1341 0452; relocate/adjust height of
udnal and plumbing
Toilet room without 30"x42' clear space for foi'ward approach at urinal - MN 1341.0452; remove existing
ban'iers or wall framing, patcfl walls
Toilet room accessibility imPmvments due to noncompliant clearances at fixtures or doors, and heights of
fixtures - MN 1341.0454; major remodeling: remove bemere or wall framing, enlarge toilet room by relocating
one or more walls (affect one or more adjacent spaces)
Less than 5% of pubiicJcommon uss sales~service counter/window at 36' max. above the floor or 36' min. width
- MN 1341.0720; relocate/adjust height of counter and base cabinet
Drinking fountain without 30'x48" cflear floor space for side or forward approach - MN 1341.0446; remove
existing berhers or wail framing, patch walls
Ddnking fountain without spout at 36' max. height and 27' min. knee clearance - MN 1341.0446;
reioceta/adjust height of fountain and plumbing
Building Egmal - 2000 International Building Code (IBC)
Exterior flight of stairs with noncompliant dss/run (7' max. dss/11' min. run) (residential exception: 7.75' max.
dss/10' min. run) - IBC 1003.3.3.3; remove existing stairs, provide new stairs (assume 3 treads total)
Exterior flight of stairs with less than two handrails (residential exception = 1 h.r. min.) - ISC 1003.3.3.11;
provide new handrail (assume 3 treads total)
Exterior stair handrails are not located at 34"-38" above the tread - IBC 1003.3.3.11; relocate/modify existing
handrail
Exterior stair handrail ends do not return to wails or terminate in newel posts - IBC 1003.3.3.11; modify existing
handrail e~d
Exterior stair handrail ends do not extend 12' beyond the top riser or 12' plus one bead beyond the boltom riser
- IBC 1003.3.3.11; modify existing handrail end
Exterior stair flight or landing with noncompilsnt gusrdrail (42' min. height, 4' or 21 · min. spacing between
intermediate rails) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrall (estimate 5
lin. feet)
Extedor door wil~ greater than ½" threshold (accessible) - IBC 1003.3.1.6; assume replacement of exterior
stoop required: remove existing stoop, provide new stoop
Exterior door landing less than 44' min. in direction of travel (residential exception = 36") or greater than 7" rise
for non-accessible extedor doors in groups F, H, R. S, and U - IBC 1003.3.1.5. IBC 1003.3.1.4; assume
replacement of exterior stoop required: remove existing stoop, provide new stoop
Interior stair less than 36" min. clear width - IBC 1003.3.3.1; widen stairs, modify railings and adjacent walls
Flight of stairs with noncompliant dss/run (7' max. riss/11" min. run) (residential exception: 7.75' max. dse/10'
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacenl walls
Stair handrails are not located at 34'-38' above the treed - IBC 1003.3.3.11; relocats/modify existing handrail
Stair handrails do not provide between 1-114'. 1-1/2' gripping surface (noo-accessible/rasidential exception =
2' max. grip) - IBC 1003.3.3.11; remove existing handrail, provide new handrail (assume 9' floor to floor)
Stair handrail ends do not return to walls or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail
end
Stair handrail ends do not extend 12" beyond the top riser or 12" plus one tread beyond Ihs bottom dser - IBC
1003.3.3.11; modify existing handrail end
Stair handrails are not continuous - IBC 1003,3.3.1 I; modify existing handrail
Stair flight or landing with noncomptiant guardrail (42' min. height, 4' Or 21' min. spacing between intermediate
rails) (residential exception = 34' - 38" height) - IBC 1003.2.12; provide new guardrail (estimate 3'-6" lin. Feet)
Stairway improvements required due to noncompliant rise/run, width, headroom, landings, and height - IBC
1003.3.3; major remodeling: replace stairs, modify railings, landings, and adjacent walls
Page 3
2 $0.00 $0.00
1 $0.00 $0.00
2 $15,000.00 $30,000.00
S400.00
$500.00
$250.00
$700.00
Calculated$250.00
1 $150.00
2 $150.00
2 $370.00
2 $300.00
3 $500.00
2 $500.00
$0.00
$0.00
2 $50.00
2 $400.00
2 S50.00
2 $50.00
2 S50.00
$30O.00
I $5,000.00
$400.00
$500.00
$250.00
1
$700.00
$0.00
$150.00
$300.00
$740.00
$600.00
$I.500.00
$1,000.00
$0.00
$0.00
$100.00
$800.00
$100.00
$100.00
$100.00
$300.00
$5,000.00
Building occupancy of basement or stories other than the first story requires installation of an additional egress
steirway- IBC 1005.2.1; major remodeling: modify floor structure and adjacent walls, provide new stairway and
handrails
Building Construction - 2000 International Building Code (IBC}
Occupancy of building requires installation Of additional toildt fixture(s) or additional bathroom * IBC Chap. 29;
major remodeling: enlarge toilet room by relocating one or more walls and fixtures, or construct new bathroom
wails, dour, fixtures, and remodel adjacent ames
Occupancy of building requires installation of additional ddnking fountain - IBC Chap· 29; provide new
accessible ddnkieg fountain and plumbing
Bathroom not provided with means of mechanical ventilation - IBC 1202.4..2.1; provide ceiling exhaust fan,
etectdc hook-up, and ductwork
Fire Protection Systems - 2000 International Building Code {IBC)
Occupancy, area, and construction lypa of building require installa6on of fire sprinkler system - IBC Chap. 5,
UBC 903; provide new spdnider system
Energy Code Compllan;e - 2000 Mlnn#ots Energy Code, Ch. 7672, 7674, or 7676
Window exceeds thermal tranamittance standards (window glazing is non-insulated) - MN 7672.0800, MN
7676.0700; remove existing window assembly, provide new window assembly, replace interior and exterior trim
For building construction pdor to 1976, founda~on wall with less than R-5 insulation - MN 7672.0800. MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' below finished
flour (l.f. perimeter x 4'0' x $328 (insulaBon + excavation))
For building constructiou prior to 1976. extedor wall area with less than R-11 insulation - MN 7672.0800, MN
7676.0700; residential improvement: assume pdce for new insulate 2x4 wall w/vinyl siding (s.f. wail surface x
$5.50), commercial improvement: assume pdoe for EIFS or interior wall furring and insulation (s.f. wall surface x
$7.00)
For building consttucbon pdor to 1976, attic/roof area with less than R-38 insulation (residential) or R-23
insulation (commercial) - MN 7672.0800, MN 7676.0700; residential improvement - assume add 6.5" blown-in
cellulose (s.f. x $0.68), commercial improvement - assume total reroof required, 'fiat' roof, built-up roufing and
roof edge (s.f. roof x $6.00)
Heating. Ventilation, and Cooling Systems (HVAC) - Commercial deflclencie.
For building consti'uctiou prior to 1989, mechanical systems do not provide sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil *- conl~ols) for increased air exchanges ((s.f. area x 1.25
cfmls.f. = additional cfm requ~'ed) x $2.00/cfm)
For building construction pdor to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unit for add~onal air exchanges ((additional cfm required/500 ton/cfm =
additional ton cooling required) x $600/ton)
For building construction prior to 1989, building electrical systems are not sufficienl lo handle additional
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2,001s.f.)
Caiculatad occupancy 650 Calculated loads
# Exst. Baths/i'lt. Rms. 2 3
#Exst. TIt.-M/Unisex 2 4
#Exst. Lav.-M/Unisex 1 4
#Exst. Tit. -F 1 4
#Exst. Lav.-F I 4
#Exst. Ddnking Fin. 0 1
1 $5,000.00 $5,000.00
1
1 $15,000.00 $15,000.00
1.00 $1,950.00 $1,950·00
2 $400.00 $800·00
1
65000 $3.00 $195,000.00
1
22 $700,00 $15,400.00
4800 $3.28 $15,744.00
24000 $7.00 $168,000.00
50000 $6.00 $300,000.00
1
81250 $2.00 $162,500.00
162·5 $600.00 $97,500.00
65000 $2·00 $130,000.00
Page 4
MAP ID #
PID #
Parce~ Name
Inspector
Inspection Date
Survey Method
gldg Occupancy
Bldg Type
Wall Construction
Roof Construction
# Stories
BaSement
Story-Height
Floor Area
Building Area
Year Built
Sprinklered
Elevator
12-1
Action Plastics
ZNDIV~DUAL BUILDING SUMMARY REPORT
RS
10/8/2004
Interior
BUSINESS
METAL
METAL
1
N
~4
8000
8000
1954
N
N
Exterior Wall And Frame
5tor~ Height Adjustment (Add or Deduct)
BaSemen,*i
Location Factor**
Total Replacement Cost
$ 6~4.000.0C
$65,280.0~
$0.00
$89,606.40
$778,886.40
Total Deficiency CostI I [ $~6,.3,.2o
Percentage of Code Deficiency To Replacement Cost 2L74%
Satisfies Step 2 Test (469374 10 (c)) for Structurally Substandard Building (Y/N)
*Residential Basemen, - Calculate Percentage of Finished vs, Unfinished
**Location Factor varies by location and building type (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Defidency Cost
$21,670.00
$24,000.00
$70,643.2O
$o. oo
$48,000.00
$5,000.00
Page 1
Deficiency
Accel$1billty (Exterior) - 1999 Mlnneosta Accesalbllty'Code, Ch. 1341
NO disability parking available - MN 1341.0403; add striping for one still plus signage
NO van accessible parking available - MN 1341.0403; add sthping for one stall plus eignage
Disbility parking space without required signage - MN 1341.0428; add signage each still
Extedor entrance door on an accessible route less than 32' width - MN 1341.0442; remove existing door,
enlarge opening, provide new door
Exterior entrance door on an accessible route without lever handle or loop-style hardware; MN 1341.0442;
replace existing door hei'dwara
Accesaiblgty (Interior) - 19~ Minnesota Accelalbillty Code, Ch. 1341
Door on an interior accessible route ~thout required maneuvering ctaarance at door approach or door opening
is less than 32' clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an intidor accessible mute without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Building Egrela - 2000 International Building Code (IBC)
Extedor door with greater than ½' threshold (accessible) - iBC 1003.3.1.6; assume replacement of extedor
stoop required: remove existing stoop, provide new stoop
Exterior door landing less than 44' min. in direction of travel (residential exceplion = 36') or greater than 7" dsa
fo~' non-accessibti extedor doors in groups F, H, R. S, and U - IBC 1003.3.1.5, IBC 1003.3.1.4; assume
replacement of exteddr sloop required: remove existing stoop, provide new stoop
Stair handrail ends do not return to wails or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail
end
Stair handrail ends do not extend 12" beyond the top riser or 12" plus one tread beyond t~e bottom dser -
1003.3.3.11; modify existing handrail end
Stiir flight or landing with noncompliant guardrail (42" min. height. 4" or 21' min. spacing behveen intermediate
rails) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 3'-6" lin. Feet)
Building Construction - 2000 International Building Code (IBC)
Occupancy of building requires installation of additional toilet fixture(s) or additional bathroom - iBC Chap. 29;
major remodeling: enlarge toilet room by relocating one or more walls and fixtures, or construct new bathroom
walls, door, fixtures, and remodel adjacent areas
Occupancy of building requires instillation of additional drinking fountain - iBC Chap. 29; provide new
accessible ddnking fountain and plumbing
Fire Protection Syiteml - 2000 International Building Code (IBC)
Occupancy, area, and construction t/pa of building require installation of fire sprinkler system - IBC Chap. 5,
UBC 903; provide new sprinkler system
Energy Code Compliance - 2000 Minnesota Energy Coda, Ch. 7672, 7674, or 7676
For building censtmction prior to 1976, foundation wall with less than R-5 insulation - MN 7672.0800, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' below finished
floor (l.f. perimeter x 4'-0' x $3.28 (insulation + excavation))
Area/Number Unit CostDeficiency Cost
of Req'd.
Improvements
1
N $240.00 $240.00
N $250.00 $250.00
I $80.00 $80.00
n $1,350.00 Sl ,350.00
n $200.00 $200.00
1
1 $250.00 $250.00
2 $175.00 $350.00
1
2 $500.00 $1,000.00
I $500.00 $500.00
2 $50.00 $100.00
2 $50.00 $100.00
I $300.00 $300.00
1
1 $15,000.00 $15,000.00
1.00 $1,950.00 $1,950.00
1
8000 $3.00 $24,000.00
1
1440 $3.28 $4,723.20
Page 2
FO~ building conslruction prior to 1976, extedor wall area with Iaaa than R-11 insulation - MN 7672.0800, MN
7675.0700; residential improvement: assume price for new insulate 2x4 wall w/vinyl siding (a.f. wall surface x
$5.50), commercial improvement: assume price for EIFS or intenor wall furring and insulation (s.f. wall surface x
$7.00)
For building cons~uction prior to 1976, affic/roof area with less than R-38 insulation (residential) or R-23
insula6on (commercial) - MN 7672.0900, MN 7676.070O; residential improvement - assume add 9.5" blown-in
cellulose (s.f. x $0.66), commercial improvement - assume total retool required, 'fiat' ~'oof, built-up roofing and
roof edge (s.f. roof x $6.00)
Heating, Ventilation, and Cooling Systems (HVAC) - Commercial daflcten¢lea
For building construction pdo~ to 1999, mechanical systems do not provide suff'~ant number of air exchanges;
upgrade air handling unite (cooling and heating coil + controte) for increased air exchanges ((s.f. area x 1.25
cfm/s.f. = additional cfm required) x $2.0o/cfm)
For building construction prior to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unil for additional air exchanges ((additional cfm required/500 ton/cfm =
additional ton cooling required) x $600/ton)
For b~ilding ccnstruction prior to 1989, building electrical systems are not sufficient to handle additional
mechanical unite associated with increased air exchanges; provide increased capacity lo existing electrical
system (s.f. x $2.0ols.f.)
Eleclrlcel Systems · Commercial deficiencies
Upgrade egress and emergency lighting for NFPA Life Safety Code
Miscellaneous
Secondary Egress exterior obstructed by vegetative growth
864O
8000
10000
2O
8OO0
Calculated occupancy 80 Calculated loads
# Exst. Baths/Tit. Rms.
#Exst. TIt.-MIUnissx 1
#Exst. Lav.--M/Unissx 1
#ExsL Tit. -F 0
#Exst. Lav.-F 0
#ExsL Ddnking Ftn. 1
S7.0O
$0.68
$2.00
$600.00
$2.00
2 $2,50O.0O
$60,480.00
$5,440.00
$20,000.00
$12,000.0O
$I$,000.00
1
$5,000.00
1
S0.00
$0.0O
$0.00
Page 3
MAP TD #
PZD #
Parcel Name
]~nspector
Inspection Date
Survey Method
Bldg Occupency
Bldg Type
Wall Construct/on
Roof Construction
# Stories
Basement (Y/N)
Stom/-Height
Floor Area
Building Area
Year Built
5prinklered
Elevator
12-2
BUILDTNG 12-2
RS
10/8/2004
INTERIOR
BUSINESS
METAL
METAL
I
N
16
3200
3200
1958
N
N
INDIVIDUAL BUILDING SUMMARY REPORT
Exterior Wall And Frame
5tory Height Adjustment (Add or Deduct)
Basement*
Location Factor**
Total Replacement Cost
Total Deficiency CostI
Percentage of Code Deficiency To Replacement Cost
Satisfies Step 2 Test (469.174 lO (c)) for Structurally Substandard Building (Y/N)
$34~,600.00
$22,400.00
SO. DO
$4ZS.e40.DO
$77,899.80
18.73%
**Location Factor varies by location and building type (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Intedor)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Defiaency Cost
$19,995.00
$o.oo
$32,204.80
$0.00
$23,2OO.OO
$2,500.00
Page 1
Deficiency
AcCeelibllity (Exterior) o 1999 Mlnneosta Acceeelbllty Code, Ch. 1341
NO disability parking available - MN 1341.04.03; add abiping for one stall plus signage
No van acceseibte parking available - MN 1341.0403; add stdplog for one stall plus signage
Disbitity parking space without required signage * MN 1341.0428; add signpge each stall
Exterior entrance door on an accessible route without required maneuvering clearance at door approach or min.
48' between sets of doors - MN 1341.0442; remove existing barders or wall framing, patch walls
Exterior entrance door on an acces~ble route without lever handle or loop-style hardware; MN 1341.0442;
replace existing door hardware
Aoceeelb61ty (Interior) - 1999 Mlnneeota Accessibility Code, Ch. 1341
Door on an intedor accessible route without required maneuvering clearance at door approach or door opening
is less than 32' clear width - MN 1341.0442; remove existing barriers or wall framing, patch wails
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Building Egreee o 2000 International Building Code (IBC)
Extedor door with greater than ~* throshoid (accessible) - IBC 1003.3.1.6; assume replacement of exterior
stoop required: remove existing stoop, provide new stoop
Building Con$1rucflon - 2000 International Building Code (IBC)
Occupancy of building requires installation of additional toilet fixture(s) or additional bathroom - IBC Chap. 29;
major remodeling: enlarge toilet room by relocating one or more walls and fixtures, or construct new bathroom
walls, door. fixtures, and remodel adjacenl areas
Occupancy of building requires installation of additional ddnking fountain - IBC Chap. 29; provide new
accessible drinking fountain and plumbing
Energy Code C~mpllance - 2000 Mlnneeota Energy Code, Ch. 7672, 7674, or 7676
Window exceeds thermal transmittance standards (window glazing is non-insulated) - MN 7672.0800, MN
767§.0700; remove existing window assembly, provide new window assembly, replace interior and exterior trim
For building construction prior to 1976, foundation walt with less than R-5 insulation - MN 7672.0~00, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' below finished
floor (l.f. perimeter x 4'-0" x $3.28 (insulation + excavation))
For building construction prior to 1976, exterior wail area with tess than R-11 insulation. MN 7672.0800, MN
7676.0700; residential improvement: assume pdce for new insulate 2x4 wall w/vinyl siding (s.f. wall surface x
$5.50), commercial improvement: assume price for EIFS or intedor wall furring and insulation (s.f. wall surface x
S7.00)
For building construction prior to 1976, atticJroof area with leas than R-38 insulation (residential) or R-23
insulation (commemial) - MN 7672.0800. MN 7676.0700; residential improvement - assume add 6.5" blown-in
cellulose (s.f. x $0.68), commercial improvement - assume total reroof required, 'tar roof, built-up roofing and
roof edge (s.f. roof x $6.00)
Heating, Ventilation, and Cooling Systems (HVAC) - Commerolal deficiencies
For building construction pdor to 1989, mechanical systems do nol provide sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil + controts) for inoreased air exchanges ((s.f. area x 1.25
cfmle. L = additional cfm required) x $2.00/cfm)
Page 2
Area/Number Unit CostDeficiency Cost
of Req'd.
improvements
1
N $240.00 $240.00
N $250.00 $250.00
I $80.00 $80.00
N $500.00 $500.00
N $2.00.00 $200.00
1
I $250.00 $250.00
3 $175.00 $525.00
1
2 $500.00 $1,000.00
1
I $ 15,000.00 $15,000.00
1.00 $1,950.00 $1,950.00
1
0 $700.00 $0.00
960 $3.28 $3,148.80
3840 $7.00 $26,880.00
3200 $0.68 $2,176.00
O 1
4000 $2.00 $8,000.00
Calculated occupancy
# Exst. Baths/Tit. Rms.
#Exst. TIt.-M/Unisex
#ExsL Lav.-M/Unisex
#ExsL Tit. -F
#ExsL Lav.-F
#ExsL Ddnking
For building construction prior to 1989, condensing unit does not provide suff'~ent cooling for inc~"eased air 8 $600.00 $4,800.00
exchanges above; upgrade condensing unit for additional air exchanges ((additional cfm requirad/500 ton/cfm =
additional ton cooling required) x $600/ton)
For building construction pdor to 1989, building electrical systems are not sufficient to handle additional 3200 $2.00 $6,400.00
mechanical units associated with ir,creased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.00/s.L)
For buildings where vehicJes are being repaired, stored or washed that are 1000 s.f. and larger must install a
flammable waste interceptor per MN Plumbing Code 4715.1120
For buildings where vehiciea are being repaired, stored or washed that ara 1000 s.f. and larger must install a
flammable waste interceptor per MN Plumbing Coda 4715.1120 1 $4,000.00 $4,000.00
Electrical -~yltlml - Commercial dl~lclenclll 1
Upgrade egress and emergency lighting for NFPA Life Safety Code (NFPA 101 ) I $2,500.00 $2,500.00
32 Calculated loads
0 1
0 1
0 1
0 0
0 0
0 1
Page 3
MAP ID #
PID #
Parcel Name
Inspector
Imspectian Date
Survey A~ethod
Bldg Occupancy
Bldg Type
Wall Construction
Roof Construction
# Stories
Bo~;ement (Y/N)
Story-Height
Floor Area
Year Built
Sprinklered
Elevator
12-3
BUILDING 12-3
INDIVIDUAL BUILDING SUMMARY REPORT
LAG
7/9/2004
INTERIOR
B
BUSINESS
METAL
METAL
1
N
16
3200
3200
1958
N
N
Exterior Wall And Frnme
Story Height Adjustment (Add or beduct)[
Ba~emel~,*
Location Factor**
Total Deficiency CostJ
P~rcent~ge of Code Deficiency To ~eplacemtnt Cost
5~tisfies Step 2 T~t (469.I74 t0 (c)) for Structurally Substandard Building (Y/N)
**Location Factor varies by location and building type (commercial or residential)
$ 345,600.00
$2L~.oo
$47,840.00
$97,849.80
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cost
$27,545.00
$0.00
$33,604.80
S0.00
$:M,200.00
$2,500.00
Page 1
Deficiency
Accessibility (Exterior). 1999 Mlnneos~a Acceeeiblity Cods, Ch. 1341
No disability parking available - MN 1341.0403; add striping for one stall plus signage
No van accessible parking available - MN 1341.0403; add stdping for one stell plus signage
Disbitity parking space without required signage - MN 1341.0428; add signage each stall
Extedor entrance door on an accessible mute without required maneuvering clearance st door approach or min.
48' between sets of doors - MN 1341.0442; reroove existing bardere or wall framing, patch walls
Extador entrance door on an accessible route without lever handle or loop-style hardware; MN 1341.0442;
replace existing door hardware
Accessibility (Interior) - 1999 Minnesota Accelelblllty Code, Ch. 1341
DOO~ on an interior accessible route without required maneuvering cleerance at door approach or door opening
is less than 32' clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Building Egrala - 2000 IntemaUonal Building Code (IBC)
Exta~'ior stair less than 36" min. ciear width - IBC 1003.3.3.1; remove existing stairs, provide new stairs (assume
3 treads total)
Extador flight of stairs with noncempllant dss/run (7' max. dss/11' min. run) (residential exception: 7.75" max.
dss/10' min. run) - IBC 1003.3.3.3; remove existing stairs, provide new stetro (assume 3 treads total)
Extedor flight of stairs with less than two handrails (residential exception = 1 h.r. min.) - IBC 1003.3.3.1 I;
provide new handrail (assume 3 treads total)
Extedor door with greater than ½" threshold (accessible) - iBC 1003.3.1.6; assume replacement of extedor
stoop required: remove existing stoop, provide new stoop
Flight of stairs with noncompltant dss/run (7" max. deal11" min. run) (residential exception: 7.75' max. resell 0'
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacent walls
Stair handrails are not located at 34"-38' above the tread - IBC 1003.3.3.11; relocate/modify existing handrail
Stair handrail ends do not return to walls or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail
end
Stair handrail ends do not extend 12' beyond the top riser or 12' plus one tread beyond the bottom deer - IBC
1003.3.3.11; modify existing handrail end
Stair flight or landing with noncompliant guardrail (42' min. height, 4' or 21' min. spacing between intermediate
rails) (residential exception = 34' - 38" height) - IBC 1003.2.12; provide new guardrall (estimate 3'-6' lin. Feel)
Stai~ay improvements required due to noncomptiant nse~run, width, headroom, landings, and height - iBC
1003.3.3; major remodeling: replace stairs, modify railings, landings, and adjacent walls
Building Conelruction - 2000 Interostional Building Code (IBC)
Occupancy of building requires installation of additional toilet texture(s) or additional bathroom - IBC Chap. 29;
major remodeling: enlarge toilet room by relocating o,'-,e o¢ more wails and fixtures, or construct new bathroom
walls, do~', fixtures, and remodel adjacent areas
Occupancy of building requires installation of additioneJ drinking fountain - IBC Chap. 29; provide new
accessible d,~nking fountain and plumbing
Energy Cods Compliance - 2000 Minnesota EnergyJ~, ~h. 7672, 7974, or 7976
Area/Number
of Req'd.
Improvements
Calculated
2
1
1
1
1
8
Unit CostDeficiency Cost
N $240.00 $240.00
N $250.00 $250.00
1 $80.00 $80.00
N $500.00 $500.00
N $200.00 $200.00
1
1 $250.00 $250.00
3 $175.00 $525.00
1
0 $700.00 $0.00
0 $700.00 $0.00
$250.00 S0.00
$500.00 $1,000.00
$0.00 $0.00
$50.00 $50.00
$50.00 $50.00
$50.00 $50.00
$300.00 $2,400.00
1 $5,000.00 $5,000.00
I $15,000.00 $15,000.00
1.00$1,950,00 $1,950.00
Calcutaled occupancy
# ExsL Baths/Tit. Rms.
#ExsL Tit.iel/Unissx
#ExsL Lav.-M/Unisex
#Exst. Tit. -F
#Exst. Lav.-F
#Exst. Drinking Fth.
32
0
0
0
0
0
0
Window exceeds thermal transmittance standards (window glazing is non-insulated) - MN 7672.0800, MN
7676.0700; remove existing window assembly, provide new window assembly, replace interior and exterior trim
For building cons~'uctlon prior to 1976, foundation wall with less than R-5 insulation - MN 7672.0600, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' be~ow finished
floor (l.f. perimeter x 4'-0' x 53.28 (insutstion + excavation))
For building construction pdor to 1976, exterior wall ama with less than R-11 insulation - MN 7672.0800, MN
7676.0700; residential improvement: assume pdco fo," now insutate 2x4 wall w/vinyl siding (s.f. wall suri'ace x
$5.50), commercial improvement: assume price for EIFS or intedor wall furring and insulation (s.f. wall surface x
57.00)
For building construction prior to 1976, attic/roof area with less than R-38 insulation (residential) or R-23
insulation (commercial) - MN 7672.0800. MN 7676.0700; residential improvement - assume add 6.5' blown-in
cellulose (s.f. x $0.68), commercial improvement - assume total roroof required, 'fiat' roof, built-up roofing and
roof edge (e.f. roof x 56.00)
Heating, Ventilation, and C~ollng Sy~tlml (HVAC) - Commercial deficieRdee
For building consttuction prior to 1989, mechanical systems do not prevlde sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil + controls) for increased air exchanges {(s.f. area x 1.25
cfm/s.f. = additional cfm required) x $2.00/cfm)
For building construction prior to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unit for additional air exchanges ((additional cfm mquired]500 ton/cfm =
additional ton cooling required) x $600/ton)
For building construction pr~or to 1989, building etecthcal systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.00/s.f.)
For building construction prior to 1989, repair garage occupancy, mechanical systems do not provide sufficient
number Of air exchanges for exhaust fumes; provide new engine/tailpipe exhaust system includi,'lg fans,
adapters, and tubing (54000,00) and new CO detector system including sensor and panel (53,000.00)
For buildings where vehicles are being repaired, stored or washed that are 1000 s.f. and larger must instati a
flammable waste interceptor per MN Plumbing Code 4715.1120
Electrical Syltaml - Commercial deficiencies
Upgrade egress and emergency lighting for NFPA Life Safety Code
Calculated loads
1
1
1
0
0
1
2 5700.00
960 53.28
3840 $7.00
3200 50.68
0
4000 $2.00
8 $600.00
3200 $2.00
I $7,000.00
2 $4,000.00
1 52,500.00
$1,400.00
$3,148.80
$26,880.00
$2,176.00
1
$8,000.00
$4,800.00
$6,400.00
$7,000.00
58,000.00
1
$2,500.00
Page 3
MAP ID #
PID #
Parcel Name
Znspector
];nspection Date
Survey Method
Bldg Occupancy
Bldg Type
Waft Construction
Roof Construction
# Stories
BaSement (Y/N)
Story-Height
Floor Area
Building Area
Year Built
Sprinklered
Elevator
12-4
BUILDING 12-4
ZNDZVIDUAL BUZLDING SUMMARY REPORT
R5
10.8.04
INTERIOR
B
BUSINE55
METAL
METAL
1
N
16
3200
3200
1958
N
N
Exterior Wall And FrameI ' $108100J 3,~'00.001 $34§,600.00
Story Height Adjustment (Add or beduct)l
Location Factor**I add (%) [ o.131 $47.840.0(
Total Replacement CostI I I $415,840.0c
Total beficie.cy CostI i I $84.274180
Percentage of Code Deficiency To Replacement Cost
Satisfies 5tap 2 Test (469.174 I0 (c)) for Structurally Substandard Building (Y/K))
20.27%
**Location Factor varies by location and building type (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cost
$22,370.00
$0.00
$32,204.80
$0.00
$27,200.00
$2,500.00
Page 1
Deficiency Area/Number Unit CostDeficiency Cost
of Req'd.
rmprovemonts
Accessibility (Exterior} - 1999 Mlnneolta Acceleibllty Code, Ch. 1341 1
No disability parking availabta - MN 1341.0403; add striping for One stall plus signageN $240.00 $240.00
No van accessible parking available - MN 1341.0403; add striping for one stall plus signage N $250.00 $250.00
Dispility parking space without required signage - MN 1341.0428; add signage each stall1 $80.00 $50.00
Extedor entrance door on an accessible route without required maneuvering clearance at door approach or min. N $500.00 $500.00
45' between sets of doors - MN 1341.0442; remove existing barriers or wall framing, patch walls
Extedor entrance door on an accessible route without lever handle or Ioop-s[yle hardware; MN 1341.0442; N $200.00 $200.00
replace existing door hardware
Accoulblllly (Interior} - 1999 Minnesota Accessibility Code, Ch. 1341 1
Door on an interior accessible route without required maneuvering clearance at door approach or door opening 1 $250.00 $250.00
is less than 32" clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an intedor accessible route without lever handle or loop-style hardware - MN 1341.0442; replace 2 $175.00 $350.00
existing door hardware
Building Egrela - 2000 International Building Code (IBC) 1
Exterior stab' less than 36" min. clear width - IBC 1003.3.3.1; remove existing stairs, provide new stairs (assume 0 $700.00 $0.00
3 treads total)
Exterior flight of stairs with no. compliant dsa#un (7' max. riss/11' min. run} (residential exception: 7.75" max. 0 $700.00 $0.00
dso/10" min. run) - iBC 1003.3.3.3; remove existing stairs, provide new stairs (assume 3 treads total)
Extedor flight of stairs with less than two handrails (residential exception = 1 h.r. min.) - IBC 1003.3.3.11; Calculated $250.00 $0.00
provide new handrail (assume 3 treads total)
Exterior doo~ with greater than ~' threshold (accessible) - IBC 1003.3.1 .ti; assume replacement of extedor 2 $500.00 $1,000.00
stoop required: remove existing stoop, provide new stoop
Ftight of stairs with noncompliant risa/run (7' max, flsa/11' min. run) (residential exception: 7.75' max. dso/10" 1 $0.00 $0.00
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacent walls
Stair handrails are not located at 34'-38' above the read - IBC 1003.3.3.11; relocate/modify existing handrail I .$50.00 $50.00
Stair handrail ends do not return to wails or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail I $50.00 $50.00
end
Stair handrail ends do not extend 12' beyond the top riser or 12" plus one tread beyond the bottom riser - IBC 1 $50.00 $50.00
1003.3.3.11; modify ax;sting handrail end
Stair flight or landing with noncompliant guardraii (42' min. height, 4" or 21' min. spacing between intermediate 8 $300.00 $2,400.00
rails) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 3'-6' lin. Feet)
Building Conltrucllon - 2000 Intamatlonal Building Code (IBC) 1
Occupancy of building requires installation of additional toilel fixture(s) or additional bathroom - IBC Chap. 29; 1 $15,000.00 $15,000.00
major remodeling: enlarge toilet room by relocating one or more walls and t'Lxturss, or construct new bathroom
walls, door, fixtoros, and remodel adjacent arass
Occupancy of building requires installation of additional ddnking fountain - IBC Chap. 29; provide new 1.00$1,950.00 $1,950.00
accessible drinking fountain and plumbing
Energy Code Compliance · 2000 Minneeota Energy Code, Ch. 7672, 7674, or 7676 I
Page 2
Calculated occupancy
#Exst. TIt.-M/Unisex
#Exst. Lav.-M/Unisex
#Exst_ Tit. -F
#ExsL Lav.-F
#ExsL Ddnking Fin.
32
0
0
0
0
0
For building constmcfion pdor to 1978, foundation wall with less than R-5 insulation - MN 7672.0800, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' beldw finished
fl~or (I.f. perimeter x 4'-0" x $3.28 (insulation + excavation))
For butiding construction pdor to 1976, exterior wall area with less than R-11 insulation - MN 7672.0800, MN
7676.0700; residential improvement: assume pdce for new insulate 2x4 wail wNinyl siding (s.f. wall sul~ace x
$5.50), commemial improvement: assume pdce for EiFS or interior wall furring and insulation (s.f. wall surface x
S7.00)
For building construction prior to 1976, attic/roof area with less than R-38 insulation (re~dential) or R-23
insulation (commercial) - MN 7672.0800, MN 7676.0700; residential improvement - assume add 6.5' blown-in
cellulose (s.f. x $0.68), commercial improvement - assume total reroof required, 'fiat' roof, built-up roofing and
roof edge (s.t~ roof x $6.00)
Heating, Ventilation, and Cooling Syetaml (HVAC) - Commercial deflclan¢iaa
For building construction pdor to 1989, repair garage occupancy, mechanical systems do not provue sufficient
number of air exchanges for exhaust fumes; provide new engineflailpipe exhaust system including fens,
adapters, and tubing ($4000,00) and new CO detector system including sensor and panel ($3,000.00)
For building construction prior to 1989, mechanical systems rio not provide sufficient number of air exchanges;
upgrade air handting units (cooling and heating coil + controls) for increased air exchanges ((s.f. area x 1.25
cfm/s.f. = additional cfm required) x $2.00/cfm)
For building construction prior to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade conder,.~ing unit for additional air exchanges ((additional cfm required/500 ton/cfm =
additional ton cooling required) x $600hton)
For building construction pdot to 1989, building electrical systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.00/s.f.)
For buildings where vehicles are being repaired, stored or washed that are 1000 s.f. and larger must install a
flammable waste interceptor per MN Plumbing Code 4715.1120
Electrical Systaml - Commercial deficiencies
Upgrade egress and emergency lighting for NFPA Life Safety Code
960
384O
3200
0
1
4000
8
3200
2
1
$3.28
$7.00
$0.68
$7,000.00
$2.00
$600.00
$2.00
$4,000.00
$2,500.00
$3,148.80
$26,880.00
$2,179.00
1
$7,000.00
$8,000.00
$4,800.00
$6,400.00
$8,000.00
1
$2,500.00
Page 3
MAP II) #
PI[) #
Parcel Name
Inspector
Inspection Date
Survey Method
81dg Occupancy
81dg Type
Wall Construction
Roof Construction
# Stories
EaSement (Y/N)
Story-Height
Floor Area
I~uilding Area
Year Built
5prinklered
Elevator
12-5
BUILDZNG 12-5
LAG
7/9/2004
INTERZOR
8
BU5INE55
METAL
METAL
1
N
24
8000
8OOO
1954
N
N
INDIVIDUAL BUILDING SUMMARY REPORT
Exterior Wall And Frame $78.001 8,000.001 $6Z4,000.00
5to~y Height Adjustment (Add or Deduct)[ $8.161 8,0o0.oo[ $65,18o.oo
8aSement*l I °'°°1 so.aa
Location Factor** add (%) I 0.131 $89,606.40
Total Replacement Cost $778,886.40
Total Deficiency Cost[ I I $zs0.663.z0
Percentage of Code Deficiency To Replacement Cost
Satisfies Step 2 Test (469,]74 tO (c)) for Structurally Substandard I~uilding
**Location Factor varies by location and building ~pe (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Intedor)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Defidency Cost
$18,320.00
$24,000.00
$85,343.20
S0.00
$48.000.00
$5,000,00
Page 1
Deficiency
Area/Number Unil Coot
of Req'd.
Improvements
Accelllbillty (Exterior). lm Minneolls Acceellbtity Code, Ch. 1341
No disability parking available - MN 1341.0403; add striping for one stet plus signage N $240.00
No van accessible parking available - MN 1341.0403; add sloping for one stall plus signage N $250.00
Disbitity parking space without required aignage - MN 1341.0428; add signage each slall1 $80.00
Exterior enhance door On an accessible route without laver handle or loop-style hardware; MN 1341.0442; N $200.00
replace existing door hardware
Aooasliblllly {Interior) - t999 Minnesota Accaasiblltty Code, Ch. 1341
Door on an interio~ accessible route without required maneuvering clearance at door approach or door opening 1 $250.00
is less than 32' clear width - MN 1341.0442; remove existing barriers or wail framing, patch walls
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace 2 $175.00
existing door hardware
Building Conetroction - 2000 International Building Code (IBC)
Occupancy of building requires installation of additional toilet fixture(s) or additional bathroom - IBC Chap. 29i I $15,000.00
major remodeling: enlarge toilet room by relocating one or more wails and fixtures, or construct new bathroom
walls, door. fixtures, and remodel adjacent areas
Occupancy of building requires installation of additional ddnking fountain - IBC Chap. 29; provide new 1.00 $1,950.00
accessible drinking fountain and plumblog
Fire Protection Systems -2000 Intemltlorlal Building Code {IBC)
Occupancy, area, and construction t/pa of building require instaltatioo of fire sprinkler system - IBC Chap. 5, 8000 $3.00
UBC 903; provide new sprinkler system
Energy Code Compliance - 2000 Minnesota Energy Code, Ch. 7672, 7674, or 7676
Window exceeds thermal transmittance standards (window glazing is non-insulateq) - MN 7672.0800, MN 21 $700.00
7676.0700; remove existing window assembly, provide new window assembly, replace interior and exterior trim
For building construction pdor to 1976, foundaEon wall with less than R-5 insulation - MN 7672.0800, MN 1440 $3.28
7676.0700; excavate foundation wall at perimeter of building, assume ado insulation depth to 4' below finished
floor (l.f. perirr'~ter x 4'-0' x $3.28 (insulation + excavation))
For building consti'uctioo prior to 1976, extedor wall area with less than R-11 insulation - MN 7672.0800, MN 8640 $7.00
7676.0700; residential improvement: assume price for new insulate 2x4 wall w/vinyl siding (s.f. wall sun'ace x
$5.50), commercial improvement: assume pdce for EIFS or interior wall furring and insulatioo (s.f. wall surface x
$7.00)
FOr building construcllon pdor to 1976, attic/roof area with less than R-38 insulation (residential) or R-23 8000 $0.68
insulation (commercial). MN 7672.0800, MN 7676.0700; residential improvement - assume add 6.5' blown.in
cellulose (s.f. x $0.68), commercial improvement - assume total reroof required, 'fla~' roof, built-up roofing and
roof edge (s.f. roof x $6.00)
Heating, VentlJaUon, and Cooling Systems (HVAC) - Commercial deflcienclae
For building construction prior to 1989, mechanical systems do not provide sufficient number of air exchanges; 10000 $2.00
upgrade air handling units (cociing and heating coil + cor~trols) for increased air exchanges ((s.f. area x 1.25
cfmls.f. = additional cfm required) x $2.00/cfm)
For building construction prior te 1989, condensing unit does not provide sufficient cooling for increased air 20 $600.00
exchanges above; upgrade condensing unit for ddditional air exchanges ((additional cfm required/500 too/cfm =
additional ton cooling required) x $600/ton)
Page 2
Deficiency Cost
$240.00
$80.00
$200.00
$250.00
$350.00
1
$15,000.00
$1,950.00
1
$24.000.00
1
$14,700.00
$4,723.20
$60,480.00
$5,440.00
1
$20,000.00
$12.000.00
Calculated occupancy
# Exst. Baths/Tit. Rms.
#Exst. TIt.-M/Unisex
#Exst. Lav.-M/Unisex
#Exst. Tit. -F
#Exst, Lav.-F
#ExsL Ddnk~ng Ftn.
For building construction prto¢ to 1989, building electrical systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased capacity to exJsUng electrical
system (s.f. x $2.00/s.f.)
Electrical Sylteml - Commercial deflclancie~
Upgrade egress and emergency lighting for NFPA Life Safety Code
8O
0
0
0
0
0
Calculated loads
1
1
1
0
0
8O00
2
$2.00
$2,500,00
$16,000.00
1
S5,000.00
Page 3
MAP ID #
PID #
Parcel Nome
Inspector
Inspection Date
Survey Method
81dg Occupancy
gldg Type
Waft Construction
Roof Construction
# Stories
Basement (Y/N)
S,or,/-Height
Floor Area
Building Area
Year Built
Sprink~ered
Elevator
12-6
353024340041
3800 BUILD]:NG. 3800 5TH STI~EET
ZNDIV1'DUAL BUILDZNG SUMMARY REPORT
7/1/2004
INTERIOR
BUS/INDUST!
MASONRY
STEEL
3C
21Z,00C
211,00C
Ex,erior Wall And Frame $66.951 211,000.00J $14,t26,4§0.0C
5tory Height Adjustment {Add or beduct)l
Location Factor** add (?o)I o.131$1,841,394.7~
Total Replacement Cost $16,005,969.7~
Total Deficiency costl i i $7.162,0Z1.4C
Percentage of Code Deficiency To Replacement Cost 44.75%
Satisfies Step 2 Test (469.174 10 (c)) for Structurally Substandard Building
**Location Factor varies by location and building l'ype (commerdal or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Intedor)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating. Ventilation. and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cost
$1.833.651.00
$1.719,300.00
$2.174,070.40
$0.00
Sl ,285.000.00
$150.000.00
Page 1
Deficiency
Accessibility (Exterior) - 1999 Mlnneoeta Acceeeibllty Code, Ch. 1341
NO disability parking available - MN 1341.0403; add striping for one stall plus signage
No van accessible parking available - MN 1341.0403; add stdping for one stall plus signage
Disbilify parking space without required signage - MN 1341.0428; add signage each stair
Exterior accessible route steeper than 1:20 slope or cross-slope steeper than 1:50 - MN 1341.0422; remove
existing walk, provide new sidewalk
Non-compliant or no curb cut provided for extedor accessible route - MN 1341.0430; remove existing walk and
curb, provide new pedestrian curb ramp
Accee/ibillty (Interior). 1999 Minnesota Accessibility Code, Ch. 1341
Door on an intedor accessible route without required maneuvering clearance at door approach or door opening
is less than 32" clear widl~ - MN 1341.0442: remove existing barriero or wall framing, patch wails
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Toilet room door opening less than 32' mira clear width - MN 1341.0442; remove existing door, enlarge opening
and provide new door
Toilet room door without required maneuvering clearance at (interior) door approach - MN 1341.0442; remove
existing barriers or wall flaming, patch walls
Toilet room without unobstructed 5'-0' turning radius within room - MN 1341.0460; remove bardera or wall
framing, enlarge toilet room and patch walls
Toilet room without 30'x48' clear space for forward approach at avatory - MN 1341.0454; remove barriers or
wall framing Or modify base cabinet
Toilet room without lavatory at 34' max. height and 29' min. clear knee space below - MN 1341.0454;
relocate/adjust height of lavatory and plumbing
Toilet room without lever or similar faucet controls for lavatory - MN 1341.0454; replace existing lavatory faucet
Toilet room without plumbing insulation/covering for lavatory - MN 1341.0454; provide plumbing
insulation/covering
Toilet room accessories (soap dispenser, towel dispenser, etc.) that are mounted higher than 40" max. above
the floor o MN 1341.0470; relocate existing toilet accessories
Toilet room without clear space for side transfer water closet/toilet stall - MN 1341.0448; remove baniers or wall
framing, enlarge toilet room and patch wails
Toilet ro~n without toilet seat at 17"-19' above the floor - MN 1341.0448; replace existing toilet fixture
Toilet room without horizontal and vertical grab bars for water closet/totter stall - MN 1341.0448; provide new
grob bars (18', 36', 42')
Toilet room without udnal rim mounted at 17' max. above the floor - MN 1341 0452; reiocate/edjust height of
udnal and plumbing
Toilal room without 30'x42' clear space for forward approach at udnal - MN 1341.0452; remove existing
barriers or waJI framing, patch wails
Bathroom without required maneuvering clearance for front or side approach at tub/shower - MN 1341.0456,
MN 1341.0458; remove barriers or wall framing, elarge toilet room and patch walls
Bathroom without tub/shower seat at 17'-19' above the floor - MN 1341.0456, MN 1341.0458; provide new
tub/shower seat or relocate existing
Page 2
Area/Number Unit Cost
of Req'd.
Improvements
N $240.00
N $250.0O
$80.00
N $700.00
N $500.00
5 5250.00
12 5175.00
2 $0.00
5 $0.00
5 $0.00
5 $0.00
5 $0.00
4 $0.00
5 $0.00
4 $0.00
5 $0.00
5 $0.00
5 $0.00
2 $0.00
3 $0.00
2 $0.00
2 $0.00
Deficiency Cost
$240.00
$250.0O
$80.00
$700.00
$500.00
51,250.00
$2,100.00
$0.00
S0.00
50.00
$0.00
S0.00
S0.00
S0.00
$0.00
S0.00
SO.O0
SO.0O
$0.00
50.00
$0.00
Bathroom without horizontal and vertical grab bars for tub/shower - MN 1341.0456, MN 1341.0458; provide new
grab bars (18', 36', 42')
Bathroom without lever or similar faucet control and/or without adjustible bar and 60' hose - MN 1341.0456, MN
1341.0458; replace existing tub/shower faucet and head
Toilet room accessibility improvments due to noncompilant clearances at fixtures or doors, and heights of
fixtures - MN 1341.0454; major remodeting: remove ban'iers or wall framing, entarge toilet room by relocating
one or more walls (affect one or more adjacent spaces)
Pubtic/common use rcom without 30'x48' clear space for fonvard approac!n at a sink - MN 1341.0464; remove
bamera or wall framing or mndif~ base cabinet
Public/common use room without sink at 34' max. height and 29" min. clear knee space below - MN
1341.0464; relocate/adjust height of sink and plumbing
Public/common use room without lever or similar faucet conlrols for a sink. MN 1341.0464; replace existing
si~k faucet
Public/common use rooms without plumbing insulation/covering for a sink - MN 1341.0454; provide piurobing
insulation/covering
Building Egreoo - 2000 International Building Codo (IBC)
£xtedor stair tass than 36' min. clear width - IBC 1003.3.3.1; remove existing stairs, provide new stairs (assume
3 treads total)
Exterior flight of stairs with noncompliant rise/run (T* max. rise/11' min. run) (residenUal exception: 7.75" max.
dss/10' min. run) - IBC 1003.3.3.3; remove existing stairs, provide new stairs (assume 3 treads total)
Exterior flight of stairs with less than two handrails (residenbel exception = I h.r. min.} - IBC 1003.3.3.11;
provide new handrail (assume 3 treads total)
Exterior stair handrails are not located at 34'-38' above the tread - IBC 1003.3.3.11; relocate/modify existing
handrail
Exterior stair handrail ends do not return to walls or terminate in newel posts - IBC 1003.3.3.11; modify existing
handrail end
Exterior stair handrail ends do not extend 12' beyond the top deer or 12" plus one tread beyond the bottom riser
- IBC 1003.3.3.11; modify existing handreil end
Exterior stair handrails are not continuous - IBC 1003.3.3.11; ,modify existing handrail
Extador stair flight or landing with noncompliant guardrail (42' min. height, 4" or 21' min. spacing between
intermediate rails) (residential exception = 34' - 38" height) - IBC 1003.2.12; provide new guardrail (estimate 5
lin. feet)
Extedor door with greater than '/~" threshold (accessible) - IBC 1003.3.1.6; assume replacement of exterior
stoop required: remove existing stoop, provide new stoop
Exterior door landing less than 44" min. in direction of travel (residential exception = 36'} or greater than 7' dss
for noc~-acosssibte extedor doom in groups F, H, R. S, and U - IBC 1003.3.1.5, IBC 1003.3.1.4; assume
replacement of exterior stoop required: remove existing stoop, provide new stoop
Flight of stairs with noncompliant rise/run (7" max. rise/11' min. run) (residential exception: 7.75" max. risb/10'
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacent walls
Stairway landing does not extend 36" in direction of travel at top or foot of stairs - iBC 1003.3.3.4;
reconfigure/remodel adjacent walls
Stair handrails are not located at 34"-38' above the tread - IBC 1003.3.3.11; relocate/modify existing handrail
Stair handrail ends do not return to wells or terminate in newel posts - IBC 1003.3.3.11; modity existing handrail
end
Stair handrail ends do not extend 12' beyond the top riser Or 12' plus one tread beyond ~he bottom riser - IBC
1003.3.3.11; modify existing handrail end
Stair flight or landing with noncompliant guardrail (42' min. height, 4' or 21' min. spacing between inten'nediato
rails) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 3'-6" lin. Feet)
2 $0.00 $0.00
2 $0.00 $0.00
5 $15,000.00 $75,000.00
I $500.00 $500.00
1 $500.00 $500.00
1 $100.00 $100.00
1 $50.00 $50.00
1
2 $700.00 $1,400.00
2 $700.00 $1,400.00
Calculated $250.00 $0.00
4 $150.00 $600.00
4 $150.00 $600.00
4 $370.00 $1,480.00
2 $150.00 $300.00
4 $300.00 $1,200.00
2 $500.00 $1,000.00
2 $500.00 $1,000.00
2 $0.00 $0.00
1 $0.00 $0.00
2 $50.00 $100.00
2 $50.00 $100.00
2 $50.00 $100.00
4 $300.00 $1,200.00
Page 3
Stainvay improvements requned due to noncompliant dsc/mn, headroom, and landings - IBC 1003.3.3: minor
remodeling: replace stairs, modify railings, lendings, and adjacent walls (considered minimum oommemial
remodel cost, maximum residential remodel cost)
Building Conatru¢lion. 2000 International Building Code (IBC)
Occupancy of building requires installation of additional toilet fixture(s) or additional bathroom - IBC Chap. 29;
major remodeling: enlarge toilet room by relocating one or more walls and fixtures, or construct new bathroom
walls, door, fixtures, and remodel adjacent areas
Occupancy of building requires installation of additional drinking fountain - lac Chap. 29; provide new
accessible ddnking fountain and plumbing
Bathroom not provided with means Of mechanical ventilation - IBC 1202.4.2.1; provide ceiling exhaust fan,
elect,c hook-up, add ductwork
Fire Protection Syetem~ - 2000 International Building Code (IBC}
Smoke detectarldetaction system not provided on each floor (including basement) - IBC 907.2.10; provide a
new hardwired smoke detector
Smoke deteclor/detacfion system not provided in each sleeping room - IBC 907.2.10; provide a new hardwirdd
smoke detector
Fire Separation required for occupanctas
Occupancy, area, and construction hype of building require instailafioo of fire sprinkler system - IBC Chap. 5,
UBC 903; provide new sprinkler system
Energy Code Compliance - 2000 Minnesota Energy Coda, Ch. 7672, 7674, or 7676
Window exceeds thermal transmittance standards (window glazing is non-insutatad) - MN 7672.0800, MN
7676.0700; remove existing window assembly, provide new window assembly, replace intedor and exterior tdm
Storefmnt window/door exceeds thermal transmittance standards (glazing is non-insulated) - MN 7676.6700;
remove existing window/door assembly, provide new thermally broken aluminum window/door assembly
{estimated s.f. of assembly to be replace¢l x $32.50)
For building construction prior to 1976, foundation wall with less than R-5 thsutation - MN 7672.0800, MN
7676.0700; excavate foundation wall al perimeter of building, assume add insulation depth to 4' below finished
floor (l.f. perimeter x 4'-0' x $3.28 (insulation + excavation))
For building construction prior to 1976, extedor wall area with less than R-11 insulation - MN 7672.0800, MN
7676.0700; resibentiat improvement: assume pdce for new insulate 2x4 wail w/vinyl siding (s.f. wall sun'ace x
$5.50), commercial improvement: assume price for EIFS or intedor walt fun'lng and insulation (s.f. wall surface x
$7.00)
For building construction pdor to 1976. atticJroof area with less than R-38 insulation (residential) or R-23
insulation (cemmeroial) - MN 7672.0000, MN 7676.0700; residential improvement - assume add 6.5" blown-in
cailulcee (s.f. x $0.68}, commercial improvement - assume total retool required, 'rial* roof, built-up roofing and
roof edge (s.f. roof x $6.00)
Heating, Ventilation, and Cooling Systems (HVAC) - Commercial defioienclee
For building construction pdor to 1989. mechanical systems do not provide sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil + controts) for increased air exchanges ((s.f. area x 1 2.5
cfrnls.f. = additional cfm required) x $2.00/cfm)
For building construction pr~r to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unit for additional air exchanges {(additional cfm required/500 ton/cfm =
additional ton cooling required) x $600/ton)
For building construction pdor to 1989. building electrical systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.00/s.f.)
For butiding construction prior to t989, repair garage occupancy, mechanical systems do not provide sufficient
number of air exchanges for exhaust fumes; provide now engine/tailpipe exhaust system including tans,
adapters, and tubing ($4000,00) and new CO detector system including sensor and panel ($3,000.00)
For buildings where vehicles are being repaired, stored or washed that are 1000 s.f. and larger must install a
flammable waste interceptor per MN Plumbing Code 4715.1120
Page 4
I $2,500.00 S2,500.00
1
1 $15,000.00 $15,000.00
2.00 $1,950.00 $3,900.00
3 $400.00 $1,200.00
1
$125.00 $0.00
$125.00 $0.00
95,400 $12.00 $ 1,144,800.00
191,500 $3.00 $574,500.00
1
6 $700.00 $5,600.00
280 $32.50 $9,100.00
17680 $3.28 $57,990.40
119340 $7.00 $835,380.00
211000 $6.00 $1,268,000.00
3
263,750 $2.00 $527,500.00
527.5 $600.00 $316,500.00
211000 S2.00 S422,000.00
1 $7,000.00 $7,000.00
3 $4,000.00
$12,000.00
Electrical Syltem$ - Commercial deficiencies
Upgrade egress and emergency lighting fo~ NFPA Life Safety Code (NFPA 101)
60 $2.500.00
1
$150,000.00
Calculated occupancy 2110 Calculated loads
# Exst. Baths/Tit. Rms. 5 6
#ExsL TIt.-M/Unisex 5 8
#Exst. Lav.-M/Unisex 4 8
#Exst. Tit. -F 1 8
#Exst. Lav.-F 1 8
#Exst. D~nking Fin. 0 2
Page 5
MAP ID #
PID #
Parcel Nome
Inspector
Inspection Date
Survey Method
Bldg Occupancy
81dg Type
Wall Construction
Roof Construction
# Stories
BaSement (Y/N)
Story-Height
Floor Area
Building Area
Year Built
Sprink~ered
Elevator
13-1
353024340024
RAYCO CORPORATT. ON, 3801 5TH STREET
INDIVIDUAL BUILDING SUMMARY REPORT
LAG
3/10/2004
TNTERIOI~
g
BUSINE55
MASRONRY
WOOD FRAMED
2
N
14
21094
24144
1952
N
N
E~tcrior w=~l And FrameI Se7.25J
Story Height Adjustment (Add or Oeduct)J J o.~I $o.~
B~ement J o.~J $0.~
Loc~tion F~ctor**J add (%) J o.z3J $305,z40.5~
Total Replacement CostJ j J
Total Deficiency costI J
Percentage of Code Deficiency To Replacement Cost
Satisfies 5tap ~ Test (469.~74 ~0 (c)) for 5teuc?urally Substandard Building
**Location Factor varies by location and buiiding type (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and InterioryBuilding Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cost
S234,125.00
$72,432.00
$222,744.96
$144,864.00
$0.oo
Page 1
Deficiency
Acceealblllty (Exterior). 1999 Mlnnaoata Acceeelblity Coda, Ch. 1341
No disabili~ parking available - iVlN 1341.0403; add sthping for one stall plus signage
NO van accessible parking available - MN 13410403; add sthplng for one stall plus signage
Disbility parking space without required signage - MN 1341.0428; add signage each stall
No extedor accessible route (that does not require use of stairs) from site access to building entrance - MN
1341.0422; remove accessibilily ba~ers, provide new sidewalk
Exterior accessible route steeper than 1:20 slope or cross-stops steeper than 1:50 * MN 1341.0422; remove
existing walk, provide new sidewalk
Exterior entrance door on an accessible route without required maneuvering clearance at door approach or min.
48' between sets of doors - MN 1341.0442; remove existing barriers or wall framing, patch walls
Exterior entrance door on an accessible route without lever handle or loop-style hardware; MN 1341.0442;
replace existing d~or hardware
Accessibility (Interior) - t999 Minnesota Acceaaibtilt~ Code, Ch. 134t
Building occupancy of floor (greater than 30 occupants) above or below level of access requires installation of
an elevator - MN 1341.0405; provide new elevator
Door on an interior accessible route without required maneuvering clearance at door approach or door opening
is less than 32' clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Intedor door with greater than 'A' threshold (accessible) - IBC 1003.3.1.6
Toilet room door opening less than 32' min. clear width - MN 1341.0442; remove existing door, entarge opening
and provide new door
Toilet room door without required maneuvering clearance at (interior) door approach - MN 1341.0442; remove
existing barhers or wall framing, patch walls
Toilet room without unobstructed 5'-0' turning radius within room - MN 1341.0460; remove barriers or wall
framing, enlarge toilet room and patch wa~ls
Toilet rooro without 30'x48' clear space for forward approach at lavatory - MN 1341.0454; remove barriers or
wall framing or roodify base cabinet
Totter room without lavatory at 34" max. height and 29' min. clear knee space below - MN 1341.0454;
relocate/adjust height of tavato~ and plumbing
Toilet room without lever or similar faucet controls for lavatory - MN 1341.04,54; replace existing lavatory faucet
Toilet room without plumbing insulation/covering for lavatory - MN 1341.0454; provide plumbing
insulation/covering .
Toilet room accessories (soap dispenser, towel dispenser, etc.) that are mounted higher than 40" max. above
the floor- MN 1341.0470; relocate existing toitet accessories
Toilet room without clear space for side transfe~ water closstJtoilet stall - MN 1341.0448; remove barriers Or wall
framing, enlarge toilet morn and patch walls
Toilet room without toilet seat at 17'-19" above the floor - MN 1341.0448; replace existing toilet fixture
Toilet room without horizontal and vertical grab bars for water c~osel/toilet stall * MN 1341.0448; provide new
grab bars (15", 36', 42')
Toilet moro without udnal rim mounted at 17' max. above the floor - MN 1341 0452; relocate/edjust height of
urinal and plumbing Page 2
Area/Number Unit Cost
of Req'd.
Improvements
N $240.00
N $250.00
$80.00
N $700.00
N $700.00
N $500.00
N $200.00
I $52,725.00
8 $250.00
12 $175.00
8 $500.00
2 $0.00
4 $0.00
4 $0.00
4 $0.00
4 S0.00
4 $0.00
4 $0.00
4 $0.00
4 S0.00
4 $0.00
4 $0.00
4 $0.00
Deficiency Cost
$240.00
$250.00
$80.00
$700.00
$700.00
$500.00
$200.00
1
$52,725.00
$2,000.00
$2,100.00
$4,000.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
Toilet room accoseibili[y improvments due fo noncomptiant clearances at fixtures or doors, and heights of
fixtures - MN 1341.0454; major remodeling: remove barriers or wall framing, enlarge toilet room by relocating
one or more walls (affect one ~ more adiacant spaces)
Publin/oommon use room without 30"x48' dear space for forward approach at a sink - MN 1341.0464; remove
barriers or wall framing or modify base cabinet
Public/common use mom without sink at 34' max. height and 29" min. clear knee space below - MN
1341.0464; rstocats/adjust height of sink and plumbing
Public/common use mom without lever or similar faucet controls for a sink - MN 1341.0464; replace existing
sink faucet
Pubtic/common use rooms without plumbing insuiabon/oovering for a sink - MN 1341.0454; provide plumbing
insuletten/oovedng
Building Egress - 2000 International Building Code (IBC)
Extedor stair less than 36' min. dear width - IBC 1003.3.3.1; remove existing stairs, provide new stairs (assume
3 treads total)
Extedor flight of stalin with noncompliant riss/run (7' max. dss/11 ' min. run) (residential exception: 7.75" max.
dss/lO' min. run) - IBC 1003.3.3.3; remove existing stairs, provide new stairs (assume 3 treads total)
Exteri~ stair handrails are nat located at 34'-38' above the iresd - IBC 1003.3.3.11; relocate/modify existing
handrail
Extador stair handrails do not provide belween 1-1/4' - 1-112' gdpping surface (non-accessible/residential
exception = 2' max. grip) - IBC 1003.3.3.11; remove existing handrail, provide new handrail (assume 3 treads
total)
Extedor stair handrail ends do not return to walls or terminate in newel posts - IBC 1003.3,3.11; modify existing
handrail end
Exterior stair handrail ends do not extend 12' beyond the top riser or 12' plus one tread beyond the bottom riser
- IBC 1003.3.3.11; modify existing handrail end
Extedor stair handrails are not cootinuous - IBC 1003.3.3.11; modify existing handrail
Extedor sb~r flight or landing with noncompliant guardreil (42' min. height, 4' or 21' min. sparing between
intermediate rails) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 5
lin. feet)
Exterior door with greater than ½' threshold (accessible) - IBC 1003.3.1.6; assume replacement of extedor
stoop required: remove existing stoop, provide new stoop
Extsdo~r door landing less than 44' min. in direction of travel (residential exception = 36') or greater than 7" dss
for non-accessible exterior doors in groups F, H, R. S, and U - IBC 1003.3.1.5. IBC 1003.3.1,4; assume
replacement of exterior stoop required: remove existing st~3p, provide new stoop
Interior stair less than 36' min. dear width - IBC 1003.3.3.1; widen stairs, modify railings and adjacent walls
Flight of stairs with noncompiiant dss/run (7' max. rise/11" min. run) (residential exception: 7.75' max. rise/lO'
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacent walls
Stain~ay landing does not extend 36' in direction of travel at top or foot of stairs - IBC 1003.3.3.4;
reconflgure/remodel adjacent walls
Stair flight excaads 12'-0' max. vedical dss between landings - IBC 1003.3.3.5; replace stairs, modify railings,
landings, and adjacent walls
Stair handrails are not located at 34'-38" above the tread - IBC 1003.3.3.11; raiocats/modify existing handrail
Stair handrails do not provide between 1-1/4' - 1-1/2' gdpping surface (non-accessible/residential exception =
2" max. gdp) - IBC 1003.3.3.11; remove existing handrail, provide new handrail (assume g' floor to floor)
Stair handrail ends do not return to walls or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail
end
Stair handrail ends do not extend 12' beyond the top riser or 12' plus one tread beyond the bottom riser - IBC
1003.3.3.11; modify existing handrail end
Stair handrails are not continuous - IBC 1003~3.3.11; modify existing handrail
Page 3
4 $151000.00
$500.00
$500.00
$100.00
$50.00
$700.00
3 $700.00
6 $150.00
6 $160.00
6 $150.00
6 $370.00
3 $150.00
32 $300.00
6 $500.00
2 $500.00
$0.00
2 $0.00
$0.00
$0.00
4 $50.00
6 $400.00
6 $50.00
6 $50.00
2 $50.00
$60,000.00
S500.O0
$500.00
S100.00
S50.00
$700.00
$2,100.00
$900.00
$960.00
$900.00
$2,220.00
$450.00
$9,600.00
$3,000.00
$1,000.00
$0.00
$0.00
$0.00
$0.00
$200.00
$2,400.00
$300.00
$300.00
$100.00
..... I~1 iil!li]lll 1' IF'IF I I 1 11 FIII I IIII [111111 II I
Stair flight or landing with noncompliant guardrall (42" min. height, 4" or 21 · min. spacing between intermediate 6 $300.00 $1,800.00
rails) {residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 3'-6' lin. Feet)
Stairw'ay improvements requded due to noncompliant dss/run, headroom, and landings - IBC 1003.3.3; minor 2 $2,500.00 $5,000.00
remodeling: replace stairs, modify railings, landings, and adjacent walls (considered minimum commercial
remodel coal maximum residential remodel cost)
Stairway improvements required due to noncompliant dss/run, width, headroom, landings, and height - IBC 2 $5,000.00 $10,000.00
1003.3.3; major remodeling: redlece stairs, modify railings, landings, and adjacent walls
Building Construction - 2000 International Building Code (IBC) 1
Occupamcy of building requires installation of additional toilet fixture(s) or additional bathroom - IBC Chap. 29; 4 $15,000.00 $60,000.00
ma~or remodeling: enlarge toilet room by relocating one or more walls and fixtures, or construct new bathroom
walls, door, fixtures, and remodel adjacent areas
Occupancy of building reduime installation of additional ddnking fountain - IRC Chap. 29; provide new 3.00 $1,950.00 $5,850.00
accessible drinking fountain and plumbing
Bathroom not provided with means of mechanical ventilabon - IBC 1202.4.2.1; provide ceiling exhaust fan, 2 $400.00 $800.00
electdc hook-up, am:l ductwork
Toilet room/shower rooms without non-absorbent floor surface (concrete, ceramic tile, sheet vinyl, etc.) and wall 1 $500.00 $500.00
base - IBC 1209.1; Assume 50 s.f. space, remove existing flooring, provide new flooring
Udnais or water closet without adjacent not,absorbent wall surface - IBC 1209.2; assume 20 s.f. wall surface, 4 $100.00 $400.00
provide new fiberglass reinfomed walt paneling adjacent to existing fixture
Fire Protection Systems - 2000 International Building Coda (IBC) 1
Occupancy, area, and construction type of building require installation of fire sprinkler system - IBC Chap. 5, 24144 $3.00 $72,432.00
UBC 903; prcvide new sprinkler system
Energy Code Compliance - 2000 Minnesota Energy Code, Ch, 7672, 7674, or 7678 1
Window exceeds thermal transmittance stanpa~'ds (window glazing is non.'thsulated) - MN 7672.0800, MN 29 $700.00 $20,300.00
7876.0700; remove existing window assembly, provide new window assembly, replace interior and exterior thm
For building construction pdor to 1976, foundation wail with less than R-5 insulation - MN 7672.0800, MN 2732 $3.28 $8,960.96
7676.0700; excavate foundation wall at perimeter' of building, assume add insulation depth to 4' below finished
f~or (Lf. pedmetar x 4'-0' x $3.28 (insulation + excavation))
For building construction prior to 1976. exterim' wall area with less than R-11 insulation - MN 7672.0800, MN 9560 $7.00 $66,920.00
7676.0700; residential improvement; assume pdca for new insulate ~x4 wall w/vinyl siding (s.f. well sudace x
$5.50), commercial improvement: assume price for EIFS or interior wall turfing and insulation (s.L wall surface x
$7.00)
For building construction pdor to 1976, attP'.../roof aras with less than R-38 insulation (residential) or R-23 21094 $6.00 $126,564.00
insulation (commercial) - MN 7672.0800, MN 7676.0700; residential improvement - assume add 6.5" blown-in
cellulose (s.f. x $0.68), commercial improvement - assume total reroof required, 'fiat' roof, butit*up roofing and
roof edge (s.f. roof x $6.00)
Heating, Ventilation, and Cooling Systems (HVAC) -Commercial deficiencies 1
For building construction pdor to 1989, mechanical systems do r~t provide sufficient number of air exchanges; 30180 $2.00 $60,360.00
upgrade air handling units (cooling and heating coil .F controls) for increased air exchanges ((s.f. area x 1.25
cfm/s.f. = addifional cfm required) x $2.00/cfm)
For building constmcbon prior to 1989, condensing unit does not provide sufficient cooling for increased air ' 60.36 $600.00 $36,216.00
exchanges above; upgrade condensing unit for additional air exchanges ((eddi§onal cfm required/500 to~/cfm =
additional ton cooling required) x $600/ton)
For building construction ~ to 1989, building electrical systems are not sufficien I to handle additional 24144 $2.00 $48 .288.00
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.001s.f.)
Electrical Systems - Commercial deficiencies 1
For building consti'uction prior to 1980, existing lighting systems do not conform to maximum allowable energy 0 $0.00
use (lights consume too much energy in terms of watts/s.f.) - MN 7676; Replace tight fixtures (cost vedas by
occupancy type)
Upgrade egress and emergency lighting for NFPA Life Safety Code 0 $5.00
Page 4
Calculated occupancy 241
# Exst. Baths/Tit. Rms. 4
#Exst. TIt.-M/Unisex 2
#ExsL Lav.-MIUnisex 2
#Exst. Tit. -F 2
#Exst. Lav.-F 2
#Exst. Ddnking Ftn. 0
Upgrade fire alarm system for UFC, NFPA and ADA requirements
Calculated loads
4
5
3
5
3
3
0 $0.00
Page 5
MAP ]:b #
PID At
Parcel Name
Inspector
Inspection Date
Survey Method
Bldg Occupancy
Bldg Type
Wall Construction
Roof Construct/on
# Stories
Basement
Stom/-Height
Floor Area
Building Area
Year Built
Sprinklered
Elevator
28-!
353024340040
550-600 39TH AVENUE NE, B.P. VIDEO LLC, 5CHAFER RICHARDSON
TNDIVIDUAL BUTLDING SUMMARY REPORT
LAG
3/8/2004
TNTER]:OR
g
BUSINESS
MA5ONR¥
STEEL
I
N
16
95020
95020
1960
Y
N
Means B~se ¢OSt Calculet!ons (Cost Pee SF EIOor ~eea) .
Star3, Height Adjustment (Add or Deduct)J I O'0°l $0.00J
B~sement o.oo $0.oo
Location Factor** add (%) I °"31 $1'z17'966'361
Total Replacement Cost t $10,586 938.36
Total Deficiency CostI J J $1,858,780.56
Percentage of Code Deficiency To Replacement Cost 17.56%
Satisfies S*ep 2 Test (469.174 10 (c)) for Structurally Substandard Building (Y/N)
**Location Factor varies by location and building ~pe (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Building Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cost
$424,090.00
$0.00
$862.320.56
$2.250.00
$570.120.00
$o.oo
Page I
Deficiency
Acceelibillty (Exterior) - 1999 Minneoete Acceselbllty Code, Ch. 1341
No dissbili~ perking available - MN 1341,0403; add striping for one stall plus signage
NO van accessible parking availeble - MN 1341.0403; add striping for one stall plus sign age
Dlebility parking space without required signage - MN 1341.0428; add signage each stall
Exterior entrance door on an accessible route without required maneuvering clearance at door approach or min.
48' between sets of doers - MN 1341.0442; remove existing perders or wail framing, patch walls
Acceleibillty (Interior) - 1999 Mlnneaotl Acce~llbility Code, Ch. 1341
Building occupancy of floor (greater than 30 occupants) above or below level of access requires installation of
an elevator - MN 1341.0405; provide now elevator
Door on an interior accessible route without required maneuvering clearance at door approach or door opening
is less than 32" clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Toilet room doo~' opening less than 32' roin. clear w~dth - MN 1341.0442; remove existing door, enlarge opening
and provide new do~r
Toilet room door without required maneuvering clearance at (interior) door approach - MN 1341.0442; reroove
existing barriers or walt framing, patch walls
Toilet rooro without unobstructed 5'-0' turning radius within rooro - MN 1341.0460; remove barriers or wall
framing, enlarge toilet room and patch walls
Toilet room without lavatory at 34' max. height and 29' roin. clear knee space below - MN 1341.0454;
relocate/adjust height of lavatory and plumbing
Toilet room without lever or similar faucet controls for lavatory - MN 1341.0454; replace existing lavatory faucet
Toilet room without plumbing insulation/covering for lavatory - MN 1341.0454; provide plurobing
inauletioWcovedng
Toilet room accessories (soap dispenser, towel dispenser, etc.) that are mounted higher than 40' max. above
the floor- MN 1341.0470; relocate existing toilet accessories
Tdilel room without clear space for s~de transfer water c~osetJtoilet stall - MN 1341.0448; remove barriers or wall
framing, enlarge toilet room and patch walls
Toilet room without toilet seat at 17'-I 9' above the floor - MN 1341.0448; replace existing toilet fixture
Toilet rooro without horizontal and vedical grab bars for water doss~toilet stall - MN 1341.0448; provide new
grab bars (18', 36', 42')
Toilet room without urinal tiro mounted at 17' max. above the floor - MN 1341 0452; relocate/adjust height of
urinal and plumbing
Bathroom without required maneuvering clearance for front or side approach at tub/shower - MN 1341.0456,
MN 1341.0458; remove barriers or wall framing, etarge toilet room and patch wails
Bathroom without tub/shower seat at 17'-19' above the floor - MN 1341.0456, MN 1341.0458; provide new
tub/shower seat or ratocate existing
Bathroom without horizontal and vertical grab bars for tub/showor - MN 1341.0456, MN 1341.0458: provide new
grab bars (18', 36", 42')
Bathroom without lever or similar faucet control and/or without adjustible bar and 60' hose - MN 1341.0456, MN
1341.0458; replace existing tub/shower faucet and head
Page 2
Area/Number
of Req'd.
Iroprovements
Unit Cost
N $240.00
N $250.00
$80.00
N $500.00
0 $52.725.00
10 $250.00
42 S175.00
2 $0.00
4 $0.00
5 $0.00
2 $0.00
2 $0.00
5
5 $0.00
5 $0.00
2 $0.00
5 $0.00
2 $0.00
2 $0.00
2 S0,00
2 $0.00
2 $0.00
Deficiency Cost
$240.00
$250.00
$80.00
$500.00
1
S0.00
$2,500.00
$7,350.00
SO.O0
$0.00
$0.00
S0.00
$0.00
SO. O0
$0.00
$0.00
$0.00
S0.00
$0.00
$0.00
S0.00
S0.00
Toilet room accessibility impro~ments due to noncomptiant clearances at fixtures or doors, and heights of
fixtures - MN 1341.0454; major remodeling: remove ba~ers Or wall framing, enlarge toilet room by relocating
one or more walls (affect one or more adjacent spaces)
Public/common uss mom without 30"x48' dear space for forward approach at a sink - MN 1341.0464; remove
barriers or well framing or modify base cabinet
Public/common use mom without sink at 34' max. height and 29' min. clear knee space below - MN
1341.0464; relocata/adjust height of sink and plumbing
Pubtic/common use rooms without plumbing insulation/covering for a sink - MN 1341.0454; provide plumbing
insulation/covering
Public/oommen use acceesohes (vending machine, condiments, etc.) that are mounted higher than 54" max.
above the floor- MN 1341.0470; relocate accessories
Lass than 5% of public/commoo use sales/service counter/window at 36' max. above the floor or 36' min. width
- MN 1341.0720; relocate/adjust height of counter and bass cabinet
Building Egmel - 2000 Intemllllonal Building Code (IBC)
Extsdor stair less than 36' min. clear width - IBC 1003.3.3.1; remove existing stairs, provide new stairs (assume
3 beads total)
Extedor flight of stairs with noncompllent dss/run (7" max. dss/11" min. mn) (residential exceptidn: 7.75" max.
dss/10' min. mn) - IBC 1003.3.3.3; remove existing stairs, provide new stairs (assume 3 treads total)
Extedor flight of stairs with less than two handrails (residential exception = 1 h.r. min.) - IBC 1003.3.3.11;
provide new handrail (assume 3 treads total)
Exterior stair handrails are not located at 34"-38' above the tread - IBC 1003.3.3.11; relocate/modify existing
handrail
Exterior stair handrails do not provide between 1-1/4' - 1-1/2' gdpping sue'face (non-accessible/residential
exception = 2' max. gdp) - IBC 1003.3.3.11; remove existing handrail, provide new handrail (assume 3 treads
total)
Extador stair handrail ends do not retum to walls or terminate in newel posts - IBC 1003.3.3.11; modify existing
hendreil end
Exterior stair handrail ends do not extend 12" beyond the top riser or 12' plus one ~'ead beyond the bottom dsor
- IBC 1003.3.3.11; modify existing handrail end
Extedor stair handrails are not continuous - IBC 1003.3.3.11; modify existing handrail
Exterior stair flight Or landing with noncompliant guardreil (42' min. height, 4" or 21' rain. spacing between
intermediate reels) (residential exception = 34' - 38' height) - IBC 1003.2.12; provide new guardrail (estimate 5
lin. feet)
Exterior door with greater than ~' threshold (accesstble) - iBC 1003.3.1.6; assume replacement of exterior
st~3p required: remove existing stoop, provide new stoop
Exterior doo~' landing less then 44" min. in directioo Of travel (residential exception = 36') or greater than 7- rise
for non-accessible exterior doors in group~ F, H, R. S, and U - IBC 1003.3.1.5, IBC 1003.3.1.4; assume
reptacament of exterior stoop required: remove existing stoop, provide new stoop
5 $151000.00
Calculated
6
4
2 $500.00
2 $500.00
2 $50.00
2 $20.00
$400.00
$700.00
$700.00
$250.00
$150.00
$160.00
6 $150.00
12 $370.00
2 $150~00
8 $300.00
6 $500.00
2 $500.00
$75,000.00
$1,000.00
$1,000.00
$100.00
$40.00
$400.00
1
$700.00
$1,400.00
$0.00
$900.00
$640.00
$9O0.00
$4,440.00
$300.00
$2,400.00
$3.000.00
$1,000.00
lntedor stair less than 36" min. dear width - IBC 1003.3.3.1; widen stairs, modify railings and adjacent wails 2 $0.00 $0.00
Flight of stairs with noncompltant rise/run (7' max. dse/11' min. run) (residenlial exception: 7.75' max. rise/10' 2 $0.00 $0.00
min. run) - IBC 1003.3.3.3; replace stairs, modify railings and adjacent wails
Stairway landing does not extend 36' in direction of travel at top Or foot of stairs - iBC 1003.3.3.4; 1 $0.00 $0.00
reconfigure/remodel adjacent walls
Stair flight exceeds 12'-0' max. vertical riss between landings - IBC 1003.3.3.6; replace stairs, modify railings, 1 $0.00 $0.00
landings, and adjacent walls
Stair handrails are not located at 34'-38' above the tread - IBC 1003.3.3.11; relocate/modify existing handrail 1 $50.00 $50.00
Stair handrails do not provide between 1-1/4' - 1-1/Z' gripping surface (non-accessible/residential exception = 2 $400.00 $800.00
2' max. grip) - IBC 1003.3.3.11; remove existing handrail, pi'OWde new handrail (assume 9' floor lo floor)
Page 3
Stair handrail ends rio not return to wails or terminate in newel posts - IBC 1003.3.3.11; modify existing handrail
end
Stair handrail ends do not extend 12' beyond the top riser or 12" plus one tread beyond the bottom riser, rBC
1003.3.3.11; modify existing hsndreil end
Stair flight or landing with n0ncompliant guardreil (42' min. height, 4" or 21' min. spacing between intermediate
rails) (residential exception = 34' - 38" height) - IBC 1003.2.12; provide now guardreil (estimate 3'-6' lin. Feet)
Stairway improvements required due to noncompliant dss#un, width, headroom, landings, and height - IBC
1003.3.3; major remodeling: replace stairs, modify railings, landings, and adjacent walls
Building Construction - 2000 Intamatlonal Building Code (IBC)
Occupancy of building requires installation of additional toilet fixture(s) or additional bathroom - IBC Chap. 29;
major remodeling: enlarge toilet room by relocating one of more wails and fixtures, or construct new bathroom
walls, door, fixtures, and remodel adjacent areas
Occupancy of building requires installation of additional drinking fountain - IBC Chap. 29; provide new
accessible ddnkiflg fountain and plumbing
Bathroom no{ provided with means of mechanical ventilation -IBC 1202.4.2.1; provide ceiling exhaust fan,
electric hook-up, and ductwork
Fire Protection Syatarna - 2000 Intenlstional Building Code (IBC)
Occupancy, area, and construction type of building require installation of fire sprinkler system - IBC Chap. 5,
UBC 903; provide new sprinkler system
Ena~ly Coda Compltance - 2000 Mlnnaaota Energy Code, Ch. 7872, 7674, or 7676
Window exceeds thermal transmittance standards (window glazing is non-insulated) - MN 7672.0800, MN
7676.0700; remove existing window assemtily, provide new window assembly, replace lotadof and exterior tdm
For building construction prior to 1976, foundation wall with less than R-5 insulation - MN 7672.0800, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulstion depth fo 4' betow finished
floor {Lf. perimeter x 4'-0' x $3.28 (insulation *- excavation))
For building construc~on prior to 1976, exteriOr wall area with less than R-11 insulation - MN 7672.0800, MN
7676.0700; residential improvement: assume price for new insulate 2x4 wall w/vinyl siding (s.f. wall surface x
$5.50), commercial improvement: assume pdce for EIFS or intedor wall tuning and insulation (s.f, wall surface x
$7.00)
For building construction pdor to 1976, atticJroof area with less than R-38 insutation (residential) or R-23
insulation (commercial) - MN 7672.0800, MN 7676.0700; residential improvement - assume add 6.5' blown-in
cellulose (s.f. x $0.68), commofcia; improvement - assume total mroof required, 'fiat' roof, built-up roofing and
roof edge (s.f. roof x $6.00)
Food Sendca Areaa- t998 Minnesota Food Code, Ch. 4626
Food prep area without non-absorbent wall surfaces - MN 4626; assume 60 Lf. wall x 8'-0' high, provide new
fiberglass reinforced wall paneling
Food prep area without non-absorbent ceiting surface. MN 4626; assume 400 s.f. space, provide new
suspeoddd Ceiling fof clean room
Heating, Ventilation, and Cooling Systems (HVAC) - Commercial deficiencies
For building construction prior to 1989, m~chanica/systems do not provide sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil + centrols) for increased air exchanges ((s.[ area x 1.25
cfmls.f. = additional cfm required) x $2.00/cfm)
For building construction prior to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unit for additional air exchanges ((additional cfm required/500 ton/cfm =
additional ton cooling roquirod) x $600/ton)
For building construction prior to 1989, building electrical systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased cepacify to existing electrical
system (s.f. x $2,001s.f.)
8 $50.00 $400.00
8 $50.00 $400.00
6 $300.00 $1,800.00
2 $5,000.00 $10,000.00
1
19 $15,000.00 $285,000.00
10.00 $1,950.00 $19,500.00
5 $400.00 S2,000.00
1
0 $3.00 S0.00
42 $700.00 $29,400.00
8402 $3.28 $27,558.56
33606 $7.00 $235,242.00
95020
1
1
118775
237.55
95020
$6.00
$1,250.00
$1,000.00
$2.00
$600.00
$2.00
$570,120.00
1
$1,250.00
$1,000.00
1
$237,550.00
$142,530.00
$190,040.00
Calculated occupancy 950 Calculated loads
# Exsl. Baths/Tit. Rms. 5 Page 4 6
#£xst. TIt.-M/Unisex
#Exst. Lav.-M/!Jnisex
#Exst. Tit. -F
#Exst. Lav.-F
#ExsL D~nking Fbi.
Page 5
MAP ID #
PID #
Parcel Name
Inspector
Inspection Dote
Survey Method
Bldg Occupancy
Bldg Type
Wall Construct/on
Roof Construction
# Stories
I~asement (Y/N)
Story-Height
Floor Area
Building Areo
Year 8uil,
Sprinklered
Elevator
31-!
353024430047
620 39TH AVENUE NE, REGION TRUCK EQUIPMENT INC.
INDIVIDUAL 8UILDIN~ SUMMARY REPORT
LA~;
3/8/2004
INTERIOI~
B
BUSINE55
MASONRY
STEEL
1
N
16
4820
4820
1962
N
N
Story Height Adjustment (Add or Deduct)I
Loc~tion Factor**J add (%)
Total Replacement CostI
Total beficiency CostI J I $176,§§L§6
Percentage of Code beficiency To Replacement Cost
Satisfies Step 2 Test (469.174 10 (c)) for Structurally Substandard Building (Y/N)
33.30%
**Location Factor varies by location and building type (commercial or residential)
Summary of Building Deficiencies (Code Deficiencies)
Accessibility (Exterior and Interior)/Buitding Egress/Building Construction
Fire Protection Systems
Energy Code Compliance
Food Service Areas
Heating, Ventilation, and Cooling Systems (HVAC)
Electrical Systems
Deficiency Cast
$35,321.00
$0.00
$110,804.96
$0.00
S30,425,60
S0.00
Page 1
Deficiency
Acceeelbility (Exterior). 1999 Mlnnaosta Acceellbllb/Code, Ch. t341
No disability parking available - MN 1341.0403; add sthping for one stall plus signage
No van acceesible perking available - bin 1341.0403: add striping for one stall plus signage
Disbility parking space without required signage - MN 1341.0428; add signage each stall
Extedor accessible mute tess than 46" wide - MN 1341.0422; remove existing walk. provide new sidewalk
Non-compliant or no curb cut provided for exterior accessible mute - MN 1341.0430; remove existing walk and
curb, provide new pedestrian curb ramp
Extedor entrance door on an accessible route without required maneuvering clearance at door approach or min.
48' between sets of doom - MN 1341.0442; remove existing barriers or wall framing, patch walls
Exterior entrance door on an accessible route without lever handle or loop.style hardware; MN 1341.0442;
replace existing door hardware
Aooallrblllty (IntaHor) - 1999 Minnesota Accalllblll~y Code, Ch. 1341
Door on an interior accessible route without required maneuvering clearanca at door approach or door opening
is less than 32" clear width - MN 1341.0442; remove existing barriers or wall framing, patch walls
Door on an interior accessible route without lever handle or loop-style hardware - MN 1341.0442; replace
existing door hardware
Toilet room door opening less than 32" min. clear width - MN 1341.0442; remove existing door, enlarge opening
and provide new door
Toilet room door without required maneuvering clearance at (interior) door approach - MN 1341.0442; remove
existing barriers or wall framing, patch walls
Toilet mom without unobstructed 5'-0" turning radius within room - MN 1341.0460; remove bardors or wall
framing, enlarge toilet room and patch walls
Toilet room without lavatcry at 34' max. height and 29' min. clear knee space below - MN 1341.0454;
relocate/adjust height of lavatory and plumbing
Toilet room without lever or similar faucet controls for lavatory. MN 1341.0454; replace existing lavatory faucet
Toilet room without plumbing insulation/covering for lavatory - MN 1341.0454; provide plumbing
ineulation/covering
Toilet room accessodee (soap dispenser, towel dispenser, etc.) thai are mounted higher than 40" max. above
the floor - MN 1341.0470; relocate existing toilet accessories
Toilet room without clear space for side transfer water closet/toilet stall - MN 1341.0448; remove barriers or wall
framing, enlarge toilet room and patch wails
Toilet room without toilet seat at 17'-19" above the floor - MN 1341.0448; replace existing toilet fixture
Toilet room without horizontal and vertical grab bars for water closet/toilet stall - MN 1341.0448; provide new
grab bars (18", 36', 42")
Toilel room without udnal rim mounted at 17' max. above the floor- MN 1341 0452; relocate/adjust height of
urinal and plumbing
Toilet room without 30'x42' clear space for forward approach at udnal - MN 1341.0452; remove existing
barriers or wall framing, patch wails
Toilet room accessibility improvmente due to noncompilant clearancas at fixtures or doors, and heights of
fixtures - MN 1341.0454; major remedellog: remove barriers or wall framing, entarge toilet room by relocating
one or more walls (affect one or moro adjacent spll~l~ 2
Area/Number
of Req'd.
Improvements
N
N
1
N
N
N
N
2
4
1
2
2
2
2
2
2
2
2
2
2
2
2
Unit Cost
$240.00
$250.00
$80.00
$500.00
$500.00
$500.00
5200.00
$250.00
5175.00
$0.00
$0.00
$0,00
$0.00
$0.00
50.00
$0.00
$0.00
$0.00
50.00
$0.00
$15,000.00
Deficiency Cost
1
$240.00
$250.00
$80.00
$500.00
$500.0O
S500.00
$200.00
1
$500.00
$700.00
$0.00
50.00
$0.00
$0.00
50.00
$0.00
50.00
$0.00
$0.00
50,00
$0,00
530,000.00
Drinking fountain wilhout 30'x48' clear floor space for side or forward approach - MN 1341.0446; remove
existing bardere or wall flaming, patch walls
Ddnking fountain without spout at 36' max. height and 27' min. knee cleeranco- MN 1341.0446;
relocate/adjust height of fountain and plumbing
Building Egress · 2000 International Building Code (IBC)
Exterior door with greater than %" threshold (accessible) - IBC 1003.3.1.6; assume replacement of extedor
stoop required: remove existing stoop, provide new stoop
Buildlngl Construction -2000 International Building Coda (IBC}
Udnals or water oloset without adjacent non-absorbent wall surface - IBC 1209.2; assume 20 s.f. wall surfaces
provide new liberglass reinforced wall paneling adjacent to existing fixture
Energy Code Compliance · 2000 Mlnneaola Energy Code, Ch. 7672, 7674, or 7676
Window exceeds thermal transmittance standards (window glazing is non-insuleled) - MN 7672.0800, MN
7676.0700; remove existing window assembly, provide new window assembly, replace interior and exterior trim
For building consb'uction prior to 1976, foundation wall with less than R-5 insulation - MN 7672.0800, MN
7676.0700; excavate foundation wall at perimeter of building, assume add insulation depth to 4' below finished
floor (1.I~ perimeter x 4'-.0' x $3.28 (insulation +excevation))
For building construction prior to 1976, extedor wall area with less than R-I 1 insulation - MN 7672.0800, MN
7676.0700; residential improvement: assume pdce for new insulate 2x4 wall w/vinyl siding (s.f. wall surface x
$5.50). commsmiel improvement: assume price for EIFS or interior wati furring and insulation (s.f. wall surface x
S7.00)
For building construction prior ~o 1975, attic/roof area with less than R-38 insulation (residential] or R-23
insulation (commercial) - MN 7672.0800, MN 7878.0700: residential improvement, assume add 6.5' blown-in
cellulose (s.f. x $0.58), commercial improvement * assume total retool required, ~at' roof, built-up roofing and
roof edge (s.f. roof x $6.00)
Heating, Ventilation, and ¢o~llng Syetems (HVAC) * Cemmerotal det1oiooolee
For building construction prior to 1989, mechsnicol systems do not provide sufficient number of air exchanges;
upgrade air handling units (cooling and heating coil · controls) for increased air exchanges ((s.f. area x 1.25
cfm/s.f. = additional cfm required) x $2.00/cfm)
FOr building construction prior to 1989, condensing unit does not provide sufficient cooling for increased air
exchanges above; upgrade condensing unit for additional air exchanges ((additional cfm required/500 ton/cfm =
additional ton cooling required) x $600/ton)
For building construction prior to 1989, building electrical systems are not sufficient to handle additional
mechanical units associated with increased air exchanges; provide increased capacity to existing electrical
system (s.f. x $2.001s.f.)
For building construction pdor to 1989, warehouse or repair garage occupancy, mechanical systems do not
provide sufficient number of air exchanges; upgrade air handling units (cooling and heating coil + controls,
condensing unit) for increased air exchanges (1 ton additional cooling required for every 8 people x
$2,000.00/too)
For buitding coostmction prior to 1989, repair garage occupancy, mechanical systems do not provide sufficient
number of air exchanges for exhaust fumes; provide new engine/tailpipa exhaust system including fans,
adapters, and tubing ($4000,00) and new CO detector system including sensor and panel ($3,000.00)
Hazardous exhaust system required for the paint booth per IMC section 510.
Calculated occupancy 48 Calculated loads
# Exst. Baths/Tit. Rms. 2 1
#Exst. Tit.-M/Unissx 2 1
#ExsL Lav.-MIUnisex 1 1
#ExsL Tit. -F 0 0
#ExsL Lav.-F 0 0
#ExsL Drinking Fin. 1 I
Page 3
1 $500.00 $500.00
1 $250.00 $250.00
2 $500.00 $1,000.00
1 $100.00 $100.00
14 $700.00 $9,800.00
11857 $3.28 $38,890.96
4742 $7.00 $33,194.00
4820 $6.00 $28,920.00
1808
3.616
4820
1
$2.00 $3,618.00
$600.00 $2,169.60
$2.00 $9,640.00
4 $2,000.00 $8,000.00
1 $7.000.00 $7.000.00
900 $2.00 Sl ,800.00
DOCUMENTATION OF CONTACTS/EVALUATIONS I EXHIBIT A
CITY OF COLUMBIA HEIGHTS
TAX INCREMENT FINANCING DISTRICT REDEVELOPMENT ELIGIBILITY ASSESSMENTS
MAP BUSINESS/PARCEL OWNERJCONTACT I SUBSTANDARD
ID NAME NAME/NUMBER DOCUMENTATION OF CONTACTS/A'I-I'EMPTS; COMMENTS JDETERMINATION
21-1 450 38TH AVE NE, ;Scott Smith, 763-788-7971 I City of Columbia Heights sent letter of request; 7/6 & 7/8 - called to j Y
STEEL TECH ~ schedule apppo ntment to walk through building - no answer; 7/8 -
'called Randi Schumacher about contacting owner - He said owner
will not allow access to building interior; 7/9 - extedor evaluation
completed
24-1 515-517 38TH AVE Dick Pearo, 763-571-9103 City of Columbia Heights sent letter of request; 3/8 - called to I Y
NE, JR schedule apppointment to walk through building - appt scheduled
PROPERTIES for 3/10; 3/10 - arrived at building to do assessment, but no answerI
- called owner and representative said owner will not allow access
~ to building interior; 3/10 - exterior evaluation completed
APPENDIX G
BUT/FOR QUALIFICATIONS
Current Market Value - Est. 4,475,800
New Market Value - Est.
Difference
Present Value of Tax Increment
Difference
Value Likely to Occur Without Tax Increment is Less Than:
125~827,750
121,351,9,50
13,937,075
107,414,875
107,414,875
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)Yom the proposed development after
subtracting the present value of the projected tax increments for the maximum duration of the l-[user Park
~4rea TIF District permitted by the TIF Plan:
The proposed development consists of a mixed-use development consisting of up to 559 units of owner-
occupied housing and a neighborhood retail office development in the City of Columbia Heights. This area
is occupied by 15 parcels, which requires acquisition, environmental remediation, and demolition and
relocation to p~.mlt the proposed development. Current estimates for enviroi~tal clean-up of the area are
over $4,650,000. It is not 1/kely that any new development on this site is feas~le without significant
env/ronmental remediation. A grant of $1,300,000 of State and Metropolitan funds has been secured for the
project, but it is not known if future grants will be awarded. The grant was awarded only because of a
comprehensive redevelopment plan, which is feas~le only with further assistance of tax increment. In
addition to the costs of remediation, the land acquisition costs and site preparation is expected to be over
$13,000,000. Without any public assistance, the cost of raw land (prior to internal streets, utilities,
SAC/WAC, landscaping, etc) per trait of housing is est/mated to be over $31,000. The proposed sales prices
of the units are expected to be $200,000 to $275,000, which is too Iow to support significant raw land prices.
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 market value estimated to result from the proposed
development after subtracting the present value of the projected tax increments for the maximum duration
of the TIF, District permitted by the T1F Plan:
It is not likely that any new development on this site is feasible without significant enviro~m,cntal
remediation. Only small portions of the site are not affected by soil contarah~ation and the new development
on the site would be sporadic and less than $10,000,000. For taxes payable in 2005, the Cotmty assessors
has decreased the estimated market value on the parcels in the District by approximately $2,300,000 due to
the environmental conditions. The site had previously been in a TIF district since 1989 and has seen only
one piece of property develop, even with public assistance.
APPENDIX
G-I
Therefore, ~e City concludes as follows:
The City's estimate of the amount by which the market value of the entire District will
increase without the usc of tax increment financing is less than $10,000,000.
If all development which is proposed to be assisted with tax increment were to occur in the
D/strict, the total increase in market value would be up to $121,351,950 (see table on
previous page).
The present value of tax increments fi:om the D/strict for the mmimma duration of the distr/ct
permitted by the TIF Plan is estimated to be $13,937,075. (see table on previous page).
Even if some develclxamt other than the proposed development were to occur, the Council finds that no
alternative would occur that would produce a market value increase greater than $107,414,875 (the amount ha
clause b less the amount in clause c) without tax incremmt assistance.
APPENDIX