90-148 �QRI � � I��L � � � � � � � � -,��
' Council File # �
Green Sheet #` 3�J���
RESOLUTION ;����
SAINT PAUL, MINNESOTA �;
,
Presented By
Referred To Committee: Date
RESOLUTION MAI�ING CERTAIN DETERMINATIONS AND FINDINGS NECESSARY TO ACQUIRE THE
PROPERTY AT 153 GRAND AVENUE, WEST SEVENTH DISTRICT 9 AREA
WHEREAS, On October 11, 1989 Health One Corporation received preliminary
approval on their application to the HRA to issue a maximum of $180 million in
tax exempt revenue bonds to finance and refinance certain hospital and related
health care facilities; and
WHEREAS, Children's Hospital, Incorporated also received final approval on
October 25, 1989 for tax exempt revenue bonds from the HRA in the approximate
amount of $14 million to finance, among other things, its pro rata share of
the costs of construction and equipping of an Ambulatory Surgical Center, to
be constructed on the United Hospi'tal/ Children's Hospital campus; and
WHEREAS, the Ambulatory Surgical Center pro�ect includes facilities and
equipment for adult and pediatric outpatient surgery, facilities and equipment
for conducting radiation therapy for the treatment of cancer, and an
approximate S00-stall parking ramp for the use of the patients, employees, and
visitors of United and Children's Hospitals; and
WHEREAS, to undertake this Center, United and Children's Hospitals had to
acquire properties within the Smith, Grand and Sherman triangular block area
and have been successful on all properties except for the one located at 153
Grand (Wind Property) , this property is towards the center of the development
area and is essential to this development for access; and
WHEREAS, United and Children's Hospitals are seeking to develop a major
expansion of health care services provided by them near and adjacent to their
existing facilities off Grand Avenue and West Seventh Street in Saint Paul, an
expansion that will enhance and improve the health care services provided to
the citizens of the City of Saint Paul; and
WHEREAS, the properties sought to be developed are marginal, and underutilized
in their present uses and tend to be blighted or blighting influences as
presently used; and
WHEREAS, the development will result in increased jobs, increased employment
in the demolition, clearing and construction of the new facilities, and in -
increased provision of health services to city residents; and
WHEREAS, in order to proceed with this acquisition, a Public Hearing was held
before City Council which identifies this property and allows testimony for or
against such undertaking, this notice was published in the St. Paul Pioneer
Press and Dispatch on Saturday, January 6, 1990 with a Public Hearing before
City Council on January 18, 1990, with all property owners being notified of
the hearing; and
. � � �_ � � _ . � qo - ����
�R I�I NAL
WHEREAS, negotiations have failed to this point and eminent domain will be
necessary to obtain a very essential part of the development, it will also be
necessary to undertake a ninety (90) day quick take in order to secure
possession of the property and minimize the delay of construction of this
needed expansi.on of health care services to the citizens of the City of Saint
Paul.
NOW, THEREFORE, BE IT RESOLVED by the Housing and Redeveloprnent Authority of
the City of Saint Paul, in view of the foregoing hereby adopted findings that
the public acquisition of 153-157 Grand Avenue legally described as:
Lot 13, Block 50, Dayton and Irvine's Addition to Saint Paul
in the West Seventh Street Redevelopment Area is hereby approved in accordance
with these findings.
1. That the City Wide Redevelopment Plan which includes the West Seventh
Street Redevelopment Plan which boundaries include the property at
153-157 Grand Avenue together with Minnesota Statutes 469.002 (12) and
469.028 and which includes acquisition and clearance and will afford
maximum opportunity, consistent with the sound needs of the community as
a whole and will contribute to the elimination of blight or
deterioration within the area.
2. That the property sought to be included in the development is marginal
and under-utilized in its present use and tends to be blighted or
blightin;g influence as presently used.
3. That in accordance with the Housing and Community Development Act of
1974 and Minnesota Statute 117.52 all acquisitions undertaken by an
acquirin;g Authority, which Authority shall provide all relocation
assistan�ce, services, payments and benefits in accordance with the
Uniform Relocation Assistance and Real Property Acquisition Act of 1970
(24 CFR 42 and 570.1 CDBG regulations contained in HUD Handbook 1377,
effective April 1, 1989) .
4. That, acquisition of the property herein may be acquired by direct
purchase or exercise the power of eminent domain together with a
quick-take action.
- . . , �� lo - i��
ORI� INAL
5. That, pursuant to Chapter 548, Laws of Minnesota 1984, it is hereby
certified that said property is exempt from property taxes under
Sections 272.02, Subdivision 1, clause (7) and 469.040, Subdivision 1,
until sold for private redevelopment.
6. That acquisition of the property herein identified is necessary in order
to remove conditions of blight which exist in the West Seventh Street
District 9 area and to carry out the necessary redevelopment which could
not be undertaken without public assistance.
Yeas Navs Absent Requested by Department of:
zmon �.
osws + —
�o�n � Planning and Economic Development
�lacca� ee �-:
e m n ��
u e �"�' �✓6� �
i son -� B
o '
�,;,
.,��� J �a '��� Form Appr d by Cit At ey
Adopted by Council: Date
Adoption tified by Council Secretary By:
By' Approved by Mayor for Submission to
Approved by Mayor: Date JAN 3 � 19�0 Council
By:
��������<- f By; ������f�
f YY�fsilLL r r� � iJ� I J 90
-: - � �90-���
.
, . .
DEPARTMENT/OFFlCE/COUNpL DATE INITIATED
PEn � ,, o GREEN SHEET No. 3 8�
CONTACT PERSON 8 PH�IE �� ��bl„I �� � ❑�PAR71iAENT DIRECiOR � �pTY COUNqL
�R NUMlER FOIi ❑ql'Y AITORNEY � �CITY CLERK
MUBT BE ON OOUNGL A(iENDA BY(DA ROUTINO �BUDOET DIRECTOR �flN.6 MOT.SERVI(�8 DIR.
� � �AAAYOR(OR ASSISTANTI - ❑
TOTAL�OF SIGNATURE PA S � (CLIP ALL LOCATIONS FOR SIGNATUR�
ACTION REGUEBTED:
Hold Public Hearin (January 18, 1990) to make determinations and findings necessary
for the Housing an Redevelopment Authority to acquire the property � 153 Grand Avenue.
REOOMMENDATIONS:Approw(ly a (F� COUNCIL COMMITTEE/RESEARCH REPORT OPTIONAL
_PLANNINO COMMISSION CE OO�AMISSION ��Y� ��JA 1V 1 2 �g
_CIB COMIMITTEE _
A_�� �A COMMENT8:
_o����� _ cirY �rro���Y
SUPPORTS WHKYi OOUNqL FFIC�
INI'MTINO PROBLEM�188UE.OPPOR7U (Who�Whet�When�Whero.Why):
On October 11, and ctober 25, 19$9, the HRA Board approved bond issues for both Health One
Corporation and Chi ren's Hospital for certain refinancing of a new Ambulatory Surgical
Center. The projec included acquisition of several properties in the Smith, Grand and
Sherman triangular lock area. They have been successful on all properties except one .that
is essential to the access to the new development.
ADVANTAOES IF APPROVED:
The properties soug t to be developed are marginal, and underutilized in their
present uses and te to be blighted or blighting influences as presently used.
The development wil result in increased �obs, increased employment in the demolition,
clearing and constr tion of the new facilities, and in increased provision of health
services to city re idents. The development lies within the [aest Seventh Street
Redevelopment Plan, hich Plan was adopted by HRA. Approved by City Council sitting as the
Housing and Redevel ment Authority Board by Resolution 89-12/13-5.
DISADVANTAOES IF APPROVED:
R�CFiv��
l;ouncil h�esearch t�enter
J�N221990 JAN 181990
Ci�',` C�ER�{ �
ois�ov�wr�oes�FNOrna�ROVeo: ited and Children's Hospitals are seeking to develop a ma�or exuansion
of health care serv' es provided by them near and ad�acent to their existing facilities
off Grand Avenue an West Seventh Street in St. Paul, an expansion that will enhance and
improve the health re services provided to the citizens of the City of St. Paul. If the
property is not acq ired, it will delay the development and affect the proposed expansion
of services to area esidents.
TOTAL AMOUNT OF TRANSACT a 300�OOO.00 (�gT/REVENUE SUDOETED(qRG.E ON� YE8 NO
�Na��� All cost to be covered by hospitalsACT1VITY NUMBER Not needed
FINANpAL INFORMA710N:(IXPWI� executed agreement as such
Housing and Redevel pment Authority of the City of St. Paul, Minnesota ��
(Resolution 89-12/1 -5)
_.'. � . � �o- ����
� � �_ �-
CITY OF SP►INT PAUL ! �
3 ;
INTERQEPARTMENTAL MEMORANDUM .
DATE: January 4, 1990
T0: Albert Olson
FROM: Sheri Pemberton�
RE: City Council Public Hearing
Attached are two copies of the Public Hearings which were published in the St.
Paul Pioneer Press/Dispatch and St. Paul Legal Ledger on Saturday, January 6,
1990.
Please place these Public Hearings on the City Council Agenda for January 18,
1990. A City Council Resolution is being routed for signatures and will be
forwarded to you by the City Attorney's Office, prior to the City Council
meeting.
Thank you.
SAP:lk
Attachment
cc: Phil Byrne RE���v��
Jim Hart
Gloria Bostrom AN�5�gq0
Katy Lindblad �
���,�c�
li�� �
.. .. � � �� -���
NOTICE OF PUBLIC HEARING UPON PROPOSED PROPERTY
ACQUISITION OF A PARCEL OR TRACT OF LAND IN THE
WEST-SEVENTH DISTRICT 9 REDEVELOPMENT AREA
NOTICE IS HEREBY GIVEN of a Public Hearing before the COUNCIL OF THE CITY OF
SAINT PAUL, in the Council Chambers, City Hall, 15 West Kellogg Boulevard,
Saint Paul, Minnesota, on Thursday, January 18, 1990, at 9:00 a.m. Central
Standard Time, upon the proposal of the Housing and Redevelopment Authority of
the City of Saint Paul, Minnesota, to acquire by purchase or exercise the
power of eminent domain, on a parcel or tract of land located at 153 Grand
Avenue was Ramsey Street, as more specifically addressed below, under the
provisions of the approved West-Seventh District 9 Redevelopment Plan.
Upon said Public Hearing, the Council shall consider whether the acquisition
of the property identified by street address and legal description as follows:
Address: 153 Grand Avenue
Legal D�scription: Lot 13, Block S0, Dayton and Irvine's addition to
' Saint Paul, according to the recorded plat thereof.
is necessary or desirable in order to carry out the objectives of the
West-Seventh Redevelopment Plan, District 9, and whether there is a feasible
method for relocation of individuals, families and businesses as a result of
this acquisition, if any. At said Public Hearing all interested persons may
appear before and will be heard by the Council upon the proposed acquisition
of this identified property,
Dated this 4th day of January, 1990.
ALBERT B. OLSON
CITY CLERK
i / �� /% `"
-.... ._... . .�...-.�..... ..,.,. �
_ _ . .. _ ... .. . ... , - �- . � .._ , "`"'.A__„_..,�
i
; •, . .NOTICE OF PUBLIC AEARING.,UPON_,�R,OPO$ED PROPEftTY
� ` ACQUISITION OF A PARCE�OR TRACT OF:LAND IN TA�
� WEST-SEVENTH DISTRICT 8 REDEVELOPMENT AftEA :
. : _:;
, ;,� - _
! NOTICE IS HEREBY GIVEN of a Public Hearing before.,the COUNCIL�OF THE`�
; CITY OF SAINT PAUL, in the Council Chambers,,Crty_Ha11,�15 West%Kellogg.'
i Boulevard, Saint Paul, Minnesota,"on,Thursday;�January 18�1990, at 9:00 a m., �
� Central Standard Time,`upon.the;proposal�f the ousm� an e eve opment �
Authority of the City of Saint Pau1,Minnesofa,to'acquxre bypunchase`orexercise _.
the'power of eminent domain, on a'parcel or fract of land located at:153 Grand,I
Avenue was Ramsey Street; as iriore'specifically addressed•below uiider the'j
provisions of the approved West-Seventh:Distnct,9 Redevelopment�lan. '
Upon said Public Hearing,the Couiicil sliall consider wh'ether ttie;'acquisition of ,j
the property identified by street address and legal descrjption�as follows
;Address:153 Grand Averiue � �`•'`� Y"="°'� " ' ' "
. - . . . . ..... �� ��4� ) .'i�'j'{� ':j� . ..` �,.:
-Lega1 Descriptiori:Lot 13,B1ock 50 Dayton and Irvine's addrtion to Sain� '�� �
`Paul, according to the:recorded'plat thereof ': ' _"; `.�} ::= 3- �.-r.;:;
is nec�ssary or desirable in order to carry out the ob�ecti`ves of the West-Seventh�>�
Redevelopment Plan; District 9,�and whether,there is<a feasible;method,for .-{
reloca4ion of individuals;families and businesses as a result of this acquisition,if :
• any..4L said Public Hearing all int.erested persons.may appear before and will be=�
heard by the Council upon the proposed acquisition of this identified:property ;`
Dated this 4th daq of January 1990. ;,�,,,� �� -� j� � ,� �`��
ALBERT B. OLSON,City Clerk -:. ; ":��� h .��,�� ,,,� :.'�+ �.� `;
:r ,,�1
(January 6 1990)�,d:i,��rG � �"Si�..
���y � �'�� n.� �>1�� :s$-y�'`�'' r <�,
_.' "' '. " • _.' .. . , ._s-..r,i�,�?.�i.a+X.�s-Y•��+c."'�'�Stiy�iiM" ...}�:v :S-�X`�` 4.`!�'.f
. - � . • ' �-V , �
HOUSIN6 AND REDEYELOPM�NT AUTHORITY OF TNE CITY dF SAINT PAUL, MINNESOTA
� 90 -���'
REPORT TO THE COMMtSSIONERS DATE December �, 1989
RE6ARDIN6 AUTHORIZATION TO EXECUTE AN ACQUISITION AND INDEMNITY AGREEMENT,
SCHEDULE A PUBLIC HEARING, AND SUBSEQUENTLY PROCEED WITH
ACQUISITION OF PROPERTY AT 153 GRAND AVENUE (PARCEL 12-12) ,
WEST SEVENTH DISTRICT 9 AREA
BACKGROUND
On October 11, 1989 Health One Corporation received preliminary approval on
their application to the HRA to issue a maximum of $180 million in tax exempt � -
revenue bonds to finance and refinance certain hospital and related health
care facilities. In addition, Children's Hospital, �Incorporated received
final approval on October 25, 1989 for tax exempt revenue bonds from the HR.A
in the approximate amount of $14 million to finance, among other things, its
pro rata share of the costs of c.onstruction and equipping of an Ambulatory
Surgical Center, to be constructed on the United Hospital/ Children's Hospital
campus (map attached) . �
AMBULATORY SURGICAL CENTER
The Ambulatory Surgical Center project includes facilities and equipment for
adult and pediatric outpatient surgery, facilities and equipment for
conducting radiation therapy for the treatment of cancer, ar_d an approximate
S00-stall parking ramp for the use of the patients, employees , and visitors of
United and Children's Hospitals. To undertake this Center, United and
Children's Hospitals had to acquire properties within the Smith, Grand and
Sherman triangular block area. They have been successful on all properties
eacept for the one located at 153 Grand (Wind Property) . This property is
to�aards the center of the development area and is essential to this
development for access.
1
. , . ��a - ��r�
United and Children's Hospitals are seeking to develop a major expansion of
health care services provided by them near and adjacent to their existing
facilities o£f Grand Avenue and West Seventh Street in Saint Paul, an
expansion that will enhance and improve the health care services provided to
the citizens of the City of Saint Paul. , .
The properties sought to be developed are marginal, and underutilized in their
present uses and tend to be blighted or blighting influences as presently
used.
The development will result in increased jobs, increased employment in the
demolition, clearing and construction of the new facilities, and in increased
provision of health services to city residents. The development lies within
the West Seventh Street Redevelopment Plan, which Plan was adopted by HRA.
Health One Corporation has agreed to execute an Acquisition and Indemnity
Agreement that outlines the HRA's assistance in the assemblage of the final
parcel needed to construct the development by its use of the power of eminent
domain, and the conveyance of this property to the Developer. The Developer
intends and undertakes to hold the HRA and City of Saint Paul harmless and
indemnify and pay all costs and expenses associated with acquisition so that
neither the HRA nor the City shall be out of pocket at the conclusion of the
proceedings contemplated.
Health One Corporation is fully aware that the undertaking by the HRA requires
relocation payments to the displaced business under the Uniform Relocation Act
and will be responsible to undertake all relocation costs.
RECOMMENDATION
Staff recommends approval of the attached Resolution approving the following:
1. That staff is hereby authorized to schedule a Public Hearing before City
Council.
2
�cq0-l��
2. That subsequent to. a Pub°lic Hearing before City Council and approval,
acquisition by eminent domain proceedings and securing title and
possession under Quick Take on 153-157 Grand Avenue is hereby approved
and is necessary for the development to proceed.
3. That staff will diligently continue to negotiate with the property owner
in hopes of arriving at a mutually satisfactory purchase agreement,
prior to completion of the Quick Take action and Commissioners findings.
4. That the Executive Director is hereby authorized to execute the
Acquisition and Indemnity Agreement with Health One Corporation.
Sheri Pemberton
Katy Lindblad
3
. . . . 90 ���
�
R E S 0 L U T I 0 N N 0. 89-12/13- �
RESOLUTION AUTHORIZING EXECUTION OF AN
ACQUISITION AND INDEMNITY AGREEMENT, SCHEDULE
A PUBLIC HEARING,AND SUBSEQUENTLY PROCEED WITH
ACQUISITION OF PROPERTY AT 153 GRAND AVENUE
. �
(PARCEL 12-12) . WEST SEVENTH DISTRICT 9 AREA
WHEREAS, On October 11, 1989 Health One Corporation received preliminary
approval on their application to the HRA to issue a maximum of $180 million in
tax exempt revenue bonds to finance and refinance certain hospital and related
health care facilities; and
WHEREAS, Children's Hospital, Incorporated also received final approval on
October 25, 1989 for tax exempt revenue bonds from the HRA in the approximate
amount of $14 million to finance, among other things, its pro rata share of
the costs of construction and equipping of an Ambulatory Surgical Center, to
be constructed on the United Hospital/ Children's Hospital campus; and
WHEREAS, the Ambulatory Surgical Center project includes facilities and '
equipment for adult and pediatric outpatient surgery, facilities and equipment
for conducting radiation therapy for the treatment of cancer, and an
approximate 500-stall parking ramp for the use of the patients, employees, and
visitors of United and Children's Hospitals; and
WHEREAS, to undertake this Center, United and Children's Hospitals had to
acquire properties within the Smith, Grand and Sherman triangular block area
and have been successful on all properties except for the one located at 153
Grand (Wind Property) , this property is towards the center of the development
area and is essential to this development for access; and
WHEREAS, United and Children's Hospitals are seeking to develop a major
expansion of health care services provided by them near and adjacent to their
existing facilities off Grand Avenue and West Seventh Street in Saint Paul, an
expansion that will enhance and improve the health care services provided to
the citizens of the City of Saint Paul; and
WHEREAS, the properties sought to be developed are marginal, and underutilized
in their present uses and tend to be blighted or blighting influences as
presently used; and
WHEREAS, the development will result in increased jobs, increased employment
in the demolition, clearing and construction of the new facilities, and in
increased provision of health services to city residents; and
WHEREAS, Health One Corporation has agreed to execute an Acquisition and
Indemnity Agreement that outlines the HRA's assistance in the assemblage of
the final parcel needed to construct the development by its use of the power
of eminent domain, and the conveyance of this pr.operty to the Developer; and
WHEREAS, Health One Corporation is fully aware that `the undertaking by the HRA
requires relocation payments to the displaced business under the Uniform
Relocation Act and will be responsible to undertake all relocation costs.
� � � � ; � - . �_ � � 90-���
NOW, THEREFORE, BE IT RESOLVED by the Housing and Redevelopment Authority of
the City of Saint Paul, in view of the foregoing hereby adopted findings that
the public acquisition of 153-157 Grand Avenue legally described as:
Lot 13, Block 50, Dayton and Irvine's Addition to Saint Paul
in the West Seventh Street Redevelopment Area is hereby approved in accordance �
with these findings.
1. That a public hearing is hereby requested to be held before City Council
on January 4, 1990, concerning the acquisition of this property.
2. That the City Wide Redevelopment Plan which includes the West Seventh
Street Redevelopment Plan which boundaries include the property at
153-157 Grand Avenue and which acquisition is hereby approved will
afford maximum opportunity, consistent with the sound needs of the
community as a whole and will contribute to the elimination of blight or
deterioration within the area.
3. That the properties sought to be included in the development are
marginal and under-utilized in their present uses and tend to be �
blighted or blighting influence as presently used.
4. That in accordance with the Housing and Community Development Act of
1974 and Minnesota Statute 117.52 all acquisitions undertaken by an
acquiring Authority, which Authority shall provide all relocation
assistance, services, payments and benefits in accordance with the
Uniform Relocation Assistance and Real Property Acquisition Act of 1970
(24 CFR 42 and 570.1 CDBG regulations contained in HUD Handbook 1377,
effective April 1, 1989) .
5. That, acquisition of the property herein may be acquired by direct
purchase or exercise the power of eminent domain together with a
quick-take action.
6. That, pursuant to Chapter 548, Laws of Minnesota 1984, it is hereby
certified that said property is exempt from property taxes under
Sections 272.02, Subdivision l, clause (7) and 469.040, Subdivision l,
until sold for private redevelopment.
7. That acquisition of the property herein identified is necessary in order
to remove conditions of blight which exist in the West Seventh Street
District 9 area and to carry out the necessary redevelopment which could
not be undertaken without public assistance.
8. That the Executive Director and Assistant Secretary are hereby
authorized to execute the Acquisition and Indemnity Agreement with
Health One Corporation which agreement holds the HRA and City of Saint
Paul harmless and indemnify and pay all costs and expenses associated
with acquisition so that neither HRA nor the City shall have any
out-of-pocket expenses at the conclusion of these. proceedings.
� � ` = � • ' � qo-i��
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