HomeMy WebLinkAbout2009-042 CITY OF ARDEN HILLS
RAMSEY COUNTY
STATE OF MINNESOTA
Council member Dave McClung introduced the following resolution and moved its adoption.
RESOLUTION NO.2009-042 -
RESOLUTION ADOPTING A MODIFICATION TO THE DEVELOPMENT
.PROGRAM FOR DEVELOPMENT DISTRICT NO. 1; AND A MODIFICATION
TO THE TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT
FINANCING DISTRICT NO.3.
BE IT RESOLVED by the City Council of the City of Arden Hills, Minnesota, as follows:
Section 1. Recitals
1.01. The City Council ("Council") of the City of Arden Hills, Minnesota ("City") has
heretofore established -Development District No. 1 (the "Project Area") and adopted a Development
Program therefor. It has been proposed that the City adopt a Modification to the Development ProgTarn
(the "Development Program Modification") for the Project Area and a Modification to the Tax Increment
Financing Plan (the "TIF Plan Modification") for Tax Increment Financing District No. 3 (the "TIF
District") therein (the Development Program Modification and the TIF Plan Modification are referred to
collectively herein as the "Modifications"), all pursuant to and in conformity with applicable law,
including Minnesota Statutes, Sections 469.124 to 469.134 and Sections 469.174 to 469.1799, all
inclusive, as amended, (the "Act") all as reflected in the Modifications, and presented for the Council's
consideration.
1.02. The City has investigated the facts relating to the Modifications and has caused the
Modifications to be prepared.
1.03. The City has performed all actions required by law to be performed prior to the adoption
and approval of the proposed Modifications, including, but not limited to, notification of Ramsey County
and Independent School District No. 621, having taxing jurisdiction over the property in the TIF District,
a review of and written comment on the Modifications by the City Planning Commission, and the holding
of a public hearing upon published notice as required by law.
1.04. The City is not modifying the boundaries of the Project Area or the TIF Districts.
Section 2. Findings for the Development Program Modification
2.01. The Council hereby finds that: (a) the land within the Project Area would not be available
for development or redevelopment without the financial aid to be sought under the Development Program
Modification; (b)the Development Program Modification will afford maximum opportunity, consistent with
the needs of the City as a whole, for the development of the Project Area by private enterprise, and (c) the
Development Program Modification conforms to the general plan for the development of the City as a whole.
2.02. These findings are based on the facts and conditions described in the Development Program
Modification,which is incorporated herein by reference.
Section 3. Findings for the TIF Plan Modification
3.01 The Council hereby reaffirms the original findings for the TIF District, namely that the
when the TIF District was established, TIF District No. 3 was established as a housing tax increment
financing district. In addition, the City makes the following findings:
(i) The proposed redevelopment described in the TIF Plan Modification would not reasonably be
expected to occur solely through private investment within the reasonably foreseeable future. The major
purpose of the TIF Plan Modification is to encourage the development of additional housing that is
affordable to persons who meet the income limits for such housing under the Act. Historically,affordable
housing has not occurred in the City without significant public assistance because of high construction
costs and lower revenues produced by affordable rents or sale prices. The use of tax increment resources
from the TIF District will offer opportunities for private developers to incorporate more affordable
housing in new developments at various locations throughout Development District No. 1, all of which
will be deemed to occur within the TIF District by virtue of Minnesota Statutes, Section 469.1763, subd.
2(b).
(11) The Tax Increment Plan Modification conforms to the general plan for the redevelopment of the
City as a whole. The Tax Increment Plan Modification was reviewed and commented upon by the City's
Planning Commission on December 91 2009, and was approved by the Commission on that same date.
(111) The Tax Increment Plan Modification will afford maximum opportunity, consistent with the sound
needs of the City as a whole,for the redevelopment of the Project by private enterprise. The City has a
need for more affordable rental and owner-occupied housing. The tax increment from the TIF District
will be used to encourage the private market to offer a range of affordable housing choices and ensure that
affordability is maintained over an extended period of time.
3.02 The TIF Plan Modification is being completed to extend the term of the TIF District to its
statutory maximum duration to enable the City to continue in its efforts to support low and moderate
income housing opportunities, to increase the budget to reflect the extended term,actual development and
associated obligations and bring the TIF Plan into conformance with current Office of State Auditor
requirements and legislative changes. The City is not modifying the boundaries of the TIF District. The
Council hereby finds that the Modifications are intended to provide an impetus to accomplish certain
objectives as specified in the Modifications.
3.03 The TIF Plan Modification conforms to the general plan for development or
redevelopment of the City as a whole. The fact supporting this finding is that the TIF Plan Modification
will generally complement and serve to implement policies adopted in the City's comprehensive plan.
3.04 The TIF Plan Modification will afford maximum opportunity, consistent with the sound
needs of the City as a whole, for the development or redevelopment of the Project Area by private
enterprise. The facts supporting this finding are that the TIF Plan Modification will help continue the
redevelopment by private enterprise that has been stimulated under the original plan for the TIF District.
3.05 The Council further finds the proposed development and redevelopment, in the opinion
of the City, would not reasonably be expected to occur solely through private investment within the
reasonably foreseeable future and therefore the use of tax increment financing is deemed necessary.
Section 4. Public Purpose
4.01. The adoption of the Modifications conforms in all respects to the requirements of the Act
and will help fulfill a need to develop an area of the City which is already built up, to provide housing
opportunities, to improve the tax base and to improve the general economy of the State and thereby serves
a public purpose.
Section 5. Approval and Adoption of the Modifications
5.01. The Modifications,as presented to the Council on this date,are hereby approved,ratified,
established and adopted and shall be placed on file in the office of City Administrator.
5.02. The staff, the City's advisors and legal counsel are authorized and directed to proceed
with the implementation of the Modifications and for this purpose to negotiate, draft, prepare and present
to this Council for its consideration all further Modifications, resolutions, documents and contracts
necessary for this purpose. Approval of the Modifications does not constitute approval of any project or a
Development Agreement with any developer.
5.03. The City Administrator is authorized and directed to forward a copy of the Modifications
to the Commissioner of the Minnesota Department of Revenue and the Office of the State .Auditor
pursuant to M.S., Section 469.175,Subd. 4a.
5.04. The City Administrator is further authorized and directed to file a copy of the
Modifications with Ramsey County Auditor.
The motion for the adoption of the foregoing resolution was duly seconded by Council member
Stan Harpstead, and upon a vote being taken thereon,the following voted in favor thereof:
Mayor Harpstead
Councilmembers McClung,Grant, Holmes
and the following voted against the same:
Councilmember Holden
Dated: December 141 2009
ATTEST.
/X 9
9tan Harpstead, k4ay .z. Ron Moorse, City Administrator
(Seal) -