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90-1768 O ` 'f����� � Council File � � � �O� � ` Green Sheet # 11120 • ESOLUTION CITY �OF S NT�PAUL, MINNESOTA �d�� ll � Presented By ,t��'►' eferred To � �, � � Committee: Date �� -L -�> RESOLUTION APPROVING APPLICATION OF LEEANN CHIN, INC. FOR CLASSIFICATION OF PROPERTY LOCATED IN THE SAINT PAUL RIVERFRONT ENTERPRISE ZONE AS CLASS 4d EMPLOYN�NT PROPERTY WF�REAS, Lee nn Chin, Inc. (the "Company") filed with the City Clerk an Application for classification of its property located south of Sycamore Street i n the R i c Street I ndustr i a l Park as Emp I oyment Property p ursuant to Minnes ota Statut s Section 469.170 and the Saint Paul Riverfront Enterprise Zone Program (the "Program'�); and WHEREAS, the new investment, tax classification, and State tax credits as set forth i n deta i I i n the September 20, 1990 Staf f Report w i I I res u I t i n the creation of 12 new positions in Saint Paul with the construction of a new 20,000 square foo food manufacturing facility for Leeann Chin, Inc.; and WHEREAS, the e has been presented to and cons i dered at th i s meeti ng a Participation Agr ement between the City and the Company whereby the Company covenants respecting the completion of property improvements; and WHEREAS, th Port Author i ty of the C i ty of Sa i nt Paul h as expe nded $2,287,932 to pre are the land within the 6.63 acres known as the Rice Street URAP Industrial P rk as an alternative local contribution of infrastructure improvements in li u of local property tax reduction; and WHEREAS, th City Clerk duly publ ished on September 15, 1990, In the Saint Paul Legal edger, the officlal newspaper for the City a notice of public hearing before the City Council upon the Company�s Apiplication; and WHEREAS, th District 6 Planning Council has reviewed and recommended approval of the Appllcation; and WHEREAS, the ity Council conducted a public hearing on October 18, 1990, upon the App I i ca ion at wh i ch hear i ng opportu n i ty was prov i ded for the Applicant, the County Assessor, representatives of affected taxing authorities and any taxpayer f the City or member of the publ ic to present their views orally or in writing at or before the hearing, and having duly considered the testimony and wr itten v iews presented at the hearing and the Appl ication, staff report and d aft Participation Agreement; now therefore, be it . , , . �0 - �7�� oR4 �in�� � � ' RESOLVED by the Council of the City of Saint Paul that it hereby determ i nes tha the App I i cat ion of Leeann Ch i n, i nc., the property improvements, r tained and new Jobs and tax benef its proposed meet the obJectives of the Saint Paul Riverfront Enterprise Zone Program. RESOLVED FUR ER that the City Council additionally finds and determines that the oonstruc ion of the new facility tl ) is reasonably likely to create new employment in the City; (2) is not likely to have the effect of transferring ex sting employment fran one or more other cities withln Minnesota; (3) s not likely to cause the total market value of employment property wlthin e municipality to exceed five peroent of the total market value of all ta able property within the municipality; or, if it wiil , considering the a ount of additional municipal services likely to be required for the employm nt property, is not likely to substantlally impede the operation or the inancial integrity of the municipal ity or any other publ ic body levying taxe on property in the municipality; and (4) is not likely to result in the red ction of the assessed value of existing property within the City owned by App icant. RESOLVED F RTHER that the Application and employment property reclassification ereby proposed is hereby approved and the City Cierk is directed to tran it the Appl ication together with a certified copy of this resolution to t e Commissioner of Trade and Economic Development for consideration and final approval . RESOLVED FU THER that the Participation Agreement between the City and the Appl icant is ereby approved, and the proper City off ivers are author ized to sign the sam on behalf of the City, and upon its signature by the Applicant to tran lt Attachment C of said Agreement to the Canmissioner of Trade and Economi Development for signature by the Commissioner or designee upon final approv I of the Application. Yeas Navs Absent Requested by Department of: imon oswitz �/ � on `C� acca ee ----�--- ettman iuson �— By: � � � �— Adopted by Council: Da e OCT 1 � i990 Form Approved by City Attorney Adoption Certified by C uncil Secretary C/ r' � By: gY; �J � /J-G�/��'J / Approved by Mayor or mission to Approved by Mayor: Dat O CT � � �g�'O Council � + ' ��. / B , �� �.r/��!��� By: �'.,;.;�, �i/.,;:;f'�" y. �tt�,±^s;�� 0 C T `� '� 1990. , , . ., . �'a -�7� �'` DEPARTM NT/OFFICE/COUNCIL DATE INITIATEO St. Paul Port Authorit s/2o/so GREEN SHEE N°• -11120 CONTACT PER30N 8 PHONE INITIA INITIAUDATE �DEPARTMENT DIRECTOR � �CITY COUNCIL Ju�ie A. Kimble ASSION �CITY ATTORNEY � �CITY CLERK NUMBER FOR MUST BE ON COUNCIL AGENDA BY(DATE) ROUTINO �BUDGET DIRECTOR �FIN.&MGT.SERVICES DIR. October 2, 1990 ORDER MAYOR(OR ASSISTANT) � � Cnunc�il TOTAL#OF SIGNATURE PAQES 1 (CLIP ALL LOCATIONS FOR SIGNATURE) ACTION REQUESTED: Approval of City Council Resolution for classification of property 1 cated in the Riverfront Enterprise Zone as Class 4d Employment Property. Execution of the Particip tion Agreement with Leeann Chin, Inc. RECOMMENDATIONS:Approve(A)or ReJect(R) pERSONAL SERVICE CONTRACTS MUST ANSWE THE FOLLOWING�UESTIONS: _ PLANNINa COMMISSION _ CIVIL SE VICE COMMISSION �• Has this person/firm ever worked under a contrect r this department? _CIB COMMITTEE _ YES NO 2. Has this person/firm ever been a city empioyee? _STAFF — YES NO _DISTRICT COURT _ 3. Does this personlfirm possess a skill not normally ssessed by any current city employee? SUPPORTS WHICH COUNCIL OBJECTIVET YES NO Explaln all yes answers on separata sheet and ett ch to grsen aheet Economic Development INITIATINO PROBLEM,ISSUE,OPPORTUNITV(Wh ,What,When,Where,Why): Enterprise Zone credits ill be used to assist Leeann Chin, Inc. i the construction of a new facility in the ice Street "URAP Industrial Park." ADVANTAQEB IF APPROVED: The company presently h s 0 employees at this facility and will cr te 12 new positions within the first year afte completion of construction. This project will increase the tax revenues generated in the Scatte ed Site Tax Increment District, will result in a ew facility on land that is currently uni proved and will allow the company to continue o grow and expand in Saint Paul. , , DISADVANTAOES IFAPPROVED: None DISADVANTAGES IF NOT APPHOVED: The company may not pr ceed with the reno�ation and additions to the property and may have to look elsewhere o potentially outside of the City to address their needs. TOTAL AMOUNT OF TRANSACTION $ 1� 64,345 COST/REVENUE BUDGETED(CIR LE ONE) YES NO FUNDING SOURCE P�VB.t@ Financ ng 8� State Tax Credit�TIVITY NUMBER FINANCIAL INFORMATION:(EXPLAIN) NOTE: COMPLETE DIRECTIONS ARE INCLUDED IN THE GREEN SHEET INSTRUCTIONAL MANUAL AVAILABLE IN THE PURCHASING OFFICE(PHONE NO.298-4225). � � ROUTING ORDER: ' Below are correct routings for the five most frequent rypes of documents: CONTRACTS(assumes authorized budget exists) COUNCIL RESOLUTION (Amend Budgets/Accept. Grants) 1. Outside Agency 1. Department Director 2. Department Director 2. City Attorney 3. City Attorney 3. Budget Director 4. Mayor(for contracts over$15,000) 4. Mayor/Assistant 5. Human Rights(for contracts over$50,000) 5. City Council 6. Finance and Management Services Director 6. Chief Accountant, Finance and Management Services 7. Finance Accounting ADMINISTRATIVE ORDERS(Budget Revision) COUNCIL RESOLUTION(all others, and Ordinances) 1. Activity Manager 1. Department Director 2. Department Accountant 2. Ciry Attorney 3. Department Director 3. Mayor Assistant 4. Budget Director 4. City Council 5. City Clerk 6. Chief Accountant, Finance and Management Services ADMINISTRATIVE ORDERS(all others) 1. Department Director 2. City Attorney 3. Finance and Management Services Director 4. City Clerk TOTAL NUMBER OF SIGNATURE PAGES Indicate the#of pages on which signatures are required and paperclip or flag each of these pages. ACTION REQUESTED Describe what the projecVrequest seeks to accomplish in either chronologi- cal order or oMer of importance,whichever is most appropriate for the Issue. Do not wrke complete sentences. Begin each item in your list with a verb. RECOMMENDATIONS Complete if the issue in question has been presented before any body,public or private. SURPORTS WHICH COUNCIL OBJECTIVE? Indicate which Council objective(s)your project/request supports by listing the key word(s)(HOUSING, RECREATION, NEIGHBORHOODS, ECONOMIC DEVELOPMENT, BUDGET, SEWER SEPARATION). (SEE COMPLETE LIST IN INSTRUCTIONAL MANUAL.) PERSONAL SERVICE CONTRACTS: This information will be used to determine the citys liabiliry for workers compensation claims,taxes and proper civil service hiring rules. INITIATING PROBLEM, ISSUE, OPPORTUNITY Explain the situation or conditions that created a need for your project or request. . ADVANTAGES IF APPROVED Indicate whether this is simply an annual budget procedure required by law/ charter or whether there are specific ways in which the Ciry of Saint Paul and its citizens will benefit from this projecUaction. DISADVANTAGES IF APPROVED What negative effects or major changes to existing or past processes might this projecUrequest produce if it is passed(e.g.,traffic delays, noise, tax increases or assessments)?To Whom?When?For how long? DISADVANTAGES IF NOT APPROVED What wiil be the negative consequences if the promised action is not approvedT Inability to deliver service?Continued high traffic, noise, accident rate?Loss of revenue? FINANCIAL IMPACT Although you must tailor the information you provide here to the issue you are addressing, in general you must answer two questions: How much is it going to cost?Who is going to pay? . . �o -/7� �' C17Y OP R$$ 7 ° - � CITY OF SAINT PAUL �, iiii�i ii ii � � � OFFICE OF THE CITY COUNCIL �•6+ CITY HALL-7th FLOOR-SAINT PAUL, MINNESOTA 55102 612-298-5506 TOM DIMOND COUNCILMEMBER Members: Tan Dimond, Chair Paula Maccabee Dave Thune Date: October 10, 1990 COMMI7TEE REP RT HOUSING AND EC NOMIC DEVELOPMENT COMMITTEE l. Approval o the Minutes of the September 26, 1990, Housing and Economic Developmen Committee meeting. COMMITTEE PPROVED, 3-0 2. Lower Dayt n's Bluff - 40 Acre Study (Laid Over in Committee 9-26-90) . COMMITTEE ECOMMENDED APPROVAL OF A SUBSTITUTE RESOLWTION, 3-0 3. Resolution 90-1766 - Resolution approving application of Hako Minuteman, Multi-Clea Division, for Classification of property located in the Saint Paul River ront Enterprise Zone as Class 4D Employmer�t Property. COMMITTEE ECOMMENDED APPROVAL, 3-0 4. Resolution 0-1767 - Resolution approving application of Bay West, Inc. , for classification of property located in the Saint Paul Riverfront Enterprise Zone as Cla s 4D Employment Property. COMMITTEE R COMMENDED APPROVAL, 3-0 �_._ __. ..rm._...__�a_......._. ....._..w �,�. �._ ,.....�___...,_A.w.. �.__._.�.�_....�_ �__....._,.m.._... a. ... �, .«., .���au.wuclb....,..—�.... ._....... 5. Resolution 0-1768 - Resolution approving applicatio of Leeann Chin, Inc:;� for Classi 'cation of property located in the Saint �,aul Riverfront �r Enterprise one as Class 4D Employment Property. �-` �- COMMITTEE R COMMENDED APPROVAL, 3-0 "��� 6. Leeann Chin - Boundary Changes. ' COMMITTEE R COMMENDED APPROVAL, 3-0 CHAIR: Housing and Re evelopment Authority & Housing and Economic Development Committee COM ITTEES: Public Works & Intergovernmental Relations Printed on Recycled Paper 06i�5 HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE COMMITTEE REPORT - OCTOBER 10, 1990 PAGE TWO 7. Approval of funding to construct a parking lot on HRA parcel 141-E, the southwest corner of Selby and Dale, Summit-University Planning Council , District 8 (Referred from HRA 7-10-90) . COMMITTEE RECOMMENDED APPROVAL AS AMENDED, 3-0 (HRA) 8. Resolution authorizing preparation of second supplement indenture to 1987 Riverfront Bonds, naming underwriter, and setting public hearing for proposed bond sale, Districts 3, 9, 17 (Referred from HRA 9-25-90) . THIS ITEM WAS LAID OVER 9. Tax Deferment to Rehab Housing. THIS ITEM WAS LAID OVER 10. Authorization to exercise option and proceed with acquisition of property at 688 E. Third, Dayton's Bluff, District 4 URAP Area (Referred from HRA) . COMMITTEE RECOMMENDED APPROVAL, 3-0 (HRA) 11. Resolution 90-1821 - adopting criteria to determine degree of public support for proposals to locate MNDOT within Saint Paul . COMMITTEE RECOMMENDED APPROVAL AS AMENDED, 3-0 12. HUD Vacant Houses for the Homeless (Laid Over in Committee 9-26-90) . THIS ITEM WAS LAID OVER FOR FURTHER INFORMATION FROM STAFF 13. Approval of Financing Assistance for the Public Housing Agency's Acquisition and Rehabilitation Program (Referred from HRA 10-9-90) . COMMITTEE RECOMMENDED APPROVAL`, 3-0 (HRA) 14. Resolution 90-1742 - Resolution increasing the financing and spending plans for the Lower Bluff Urban Revitalization Action Program (URAP) . COMMITTEE RECOMMENDED APPROVAL, 3-0 chr . � , . , ��-� � . 90 -�� � � . �'`� . FAX(612)223-5198 PORT AUTHORITY OF T E CIN OF SAINT PAUL TOLL FREE(800) 328-8417 . - 1900 LANDMARK TO RS • 345 ST. PETER STREET • ST. PAUL, MN 55102-1661 • PHONE(612)224-5686 September 20, 1990 Mr. Daniel J. Corn Jo Director Planning 8 Economi Development Department City of Saint Paul 13th Floor City Hall Annex 25 West Fourth Str et Saint Paul , Minnes ta 55102 SUBJECT: ENTERPRI E ZONE CREDITS LEEANN IN, INC. Dear Mr. CorneJo: We submit herewith for your review and referral to the office of the Mayor, City Council and City Attorney�s Office a draft resolution pertaining to the issuance of Enterp ise Zone Credits to Leeann Chi�, Inc. The credits will be i n the fo�-m of �4 6,000 1 n State i ncome tax cred its made up of E400,000 1 n debt financing cre its and up to E36,000 in new employee credits. Local contr i but ion i n e amount of $2,287,932 has been uti I ized i n the form of infrastructure imp ovements in lieu of local property tax contribution at Rice Street Industrial ark. Enterprise Zone cr dits wi I I be used to assist in the construction of a new 20,000 square foot food manufacturing facility in the Rice Street Industrlal Park. The company presently has 0 employees at this site and ►vill create 34 new positions within the next two years at this site of which 12 are proJected to be "disadvantag d" persons. We are attaching draft copy of the proposed City Council resolution which author-izes the ex utton of the Participation Agreement and the submittal of the proposal to he Department of Trade and Econanic Development. A staff report and the Par icipation Agreement will be forwarded und�r separate cover. Your expeditious h ndling of this matter will be apprectated. Yours truly, ame J. us i den t JJB/JAK:aJc Attach. cc: Mayor Scheibel °� . . . �?l> �/'7� � DEPA , ENT/OFFICE/COUNCII DATE INITIATED G R E E N S H E ET NO _ 1112 0 � St. Paul Port Authorit 9/20/90 � CONTACT PERSON 8 PNONE INITIA INITIAUDATE �DEPARTMENT DIRECTOR �� Q CITY COUNCIL Julie A. Kimble �$$�aN �CITY ATTORNEY �CITY CLERK — NUMBER FOti MUST BE ON COUNCIL AOENDA BY(DATE) ROUTINO �BUDCaET DIRECTOR �FIN.&MGT.SERVICES DIR. October 2� 1990 ORDER MAYOR(OR AS3ISTANn � � ,n meil TOTAL#E OF SI(iNATURE PAQES 1 (CLIP ALL LOCATIONS FOR SIGNATURE) ACTION REOUE3TED: Approval of City Counc Resolution for classification of property located in the ftiverfront Enterprise Zone as Clas 4d Employment Property. Execution of the Partici ation Agreement with Leeann Chin, Inc. RECOMMENDATIONS:Approvs(A)or ReJect(R) PERSONAL SERVICE CONTRACTS MUST ANSWER THE FOLLOWING QUESTIONS: _PLANNINO COMMI3SION _CIVIL S ICE COMMISSION �• Has this person/firm ever worked under a contract for this departmeM? _CIB COMMITTEE _ YES NO 2. Has thfs personRi►m ever been a city employee? —gT'� — YES NO — ��STR�T�RT — 3. Doea this person/firm possesa a skill not normal y posaessed by any current city employee4 SuPPORT3 WHICH COUNCII OBJECTIVE? YES NO Expletn all y��enswen on s�par�t�she�t�nd attach to yn�n shsst Economic Development INITIATINO PROBLEM,IS8UE,OPPORTUNITY ,Wh�t,Wh�n,Whsro,Why): Enterprise Zone credits 'll be used to assist Leeann Chin, Inc. in #he construction of a new facility in the ice Street "UftAP Industrial Park." � ADVAN'f/K�EB IF APPROVED: The company presently s 0 employees at this facility and will create 12 new positions within the first year aft completion of construction. This project will increas the tax revenues generated in the Scattered Site Tax Increment District, will result in a ew facility on land that is currently unimproved and will allow the company to continue o grow and expand in Saint Paul. DI3ADVANTAOEB IF APPROVED: None :,�. ��:s�; ' k` �_:� r D18ADVANTAOE8 IF NOrf APPAOVEd'^.�,z= The company may not pr ceed with the renovation and additions to the property and may have to look elsewhere o potentially outside of the City to address their needs. TOTAL AMOUNT OF TRANSACTION = 1�764,345 COST/REVENUE BUDCiETEO(CIRCLE ONE) YES NO FUNDING SOURCE P�VSt@ �II8I1 �IIg & State Tax Credit�TIViTY NUMBER FINANCIAL INFORMATION:(EXPLAIN) NOTE: COMPLETE DIRECTIONS ARE INCLUDED IN THE GREEN SHEET INSTRUCTIONAL ' MANUAL AVAILABLE IN THE PURCHASING OFFICE(PHONE NO. 298-4225). ROUTING ORDER: Below are correct routings for the five most frequent rypes of documents: CONTRACTS(assumes authorized budget exists) COUNCIL RESOLUTION(Amend Budgets/Accept. Grants) 1. Outside Agency 1. Department Director 2. Department Director 2. City Attorney 3. Ciry Attorney 3. Budget Director 4. Mayor(for contracts over$15,000) 4. Mayor/Assistant 5. Human Rights(for contracts over$50,000) 5. City Council 6. Finance and Management Services Director 6. Chief Accountant, Fina�ce and Management Services 7. Finance Accounting ADMINISTRATIVE ORDERS(Budget Revision) COUNCIL RESOLUTION(ail others,and Ordinances) 1. Activity Manager 1. Department Director 2. Department Acxountant 2. Ciry Attorney 3. Department Director 3. Mayor Assistant 4. Budget Director 4. City Council 5. City Clerk 6. Chief Acxountant, Finance and Management Services ADMINISTRATIVE ORDERS(all others) 1. Department Director 2. City Atto�ney 3. Finance and Management Services Director 4. City Clerk TOTAL NUMBER OF SIGNATURE PAGES Indicate the�of peges on which signatures are required and papsrclip or flag �ach of thssa pages. ACTION RE�UESTED Describe whet the project/request seeks to accomplish in either chronologi- cal order or order of importance,whichever is most appropriate for the issue. Do not wrke complete sentences.Begin each item in your list with a verb. RECOMMENDATIONS Complete if the issue in question has been presented before any body,public or private. SUPPORTS WHICH COUNCIL OBJECTIVE? Indicate which Council objective(s)your project/request supports by listing the key word(s)(HOUSING, RECREATION, NEIGHBORHOODS, ECONOMIC DEVELOPMENT, BUDGET,SEWER SEPARATION). (SEE COMPLETE LIST IN INSTRUCTIONAL MANUAL.) PERSONAL SERVICE CONTRACTS: This information will be used to determine the city's liability for workers compensation claims,taxes and proper civil service hiring rules. INITIATINO PROBLEM, ISSUE,OPPORTUNITY Explain the situation or conditions that created a need for your project or request. ADVANTAGES IF APPROVED Indicate whether this is simpty an annual budget procedure required by law/ charter or whether there are speciBc ways in which the Ciry of Saint Paul and its citizens will benefit hom this projecVaction. DISADVANTAGES IF APPROVED What negative effects or mejor changes to existing or past processes might this projecUrequest produce if it is passed(e.g.,traffic delays, noise, tax increases or assessments)?To Whom?When?For how long? DISADVANTAOES IF NOT APPROVED What wili be the negative consequences if the promised action is not approved?Inability to deliver service?Continued high traffic, noise, accident rate?Loss of revenue? FINANCIAL IMPACT Although you must tailor the information you provide here to the issue you are addressing, in general you must answer two questions: How much is it going to cost?Who is going to pay? � PART . .. Gv���� � ' AUTHORITY OF THE CITY OF ST. PAUL Memorandum TO: Riverfront D velopment Task Force DATE September 20, 1990 FROM: �u i e A. SUBJECT: STAFF PORT LEEANN CHIN, INC. ENTERPRISE Z NE APPLICATION A. PROPOSED EM�LOYMENT PROPERTY Leeann Chin, Inc. proposes that approximately 65,340 sq.ft. ( 1 .5 acres ) of land be acq ired from the Port Authority of the City of Saint Paul in Rice Straet "URAP� industrial Park be determined eligible 'for reclassification as employment roper ty through the City�s Riverfront Enterprise Zone program. The propert wili not be formally reclassified for tax purposes as an alternative ntribution of infrastructure improvements is being pravided in lieu of locai property tax reduction. The property description is attached. This propert Is identified by the Ramsey County Tax Department through the following pr perty identification numbers: 30-29-22-33- 136-0, 30-29-22-33-0137-3, 30-29-22-33-0138-6, 30-29-22-33-0139-9, 30-29-22-33- 140-9, 30-29-22-33-0142-5, 30-29-22-33-0143-8, 30-29-22-33-0196-2, 30-29-22-33- 145-4, 30-29-22-33-0146-7, 30-29-22-33-0147-0, 30-29-22-33-0148-3, 30-29-22-33- 149-6, 30-29-22-33-0150-6, 30-29-22-33-0151-9, 30-29-22-33-0155-1, 30-29-22-33- 156-4, 30-29-22-33-0157-7, 30-29-22-33-0158-0, 30-29-22-33-0159-3, 30-29-22-33- 160-3, 30-29-22-33-0161-6, 30-29-22-33-0162-9, 30-29-22-33-0163-Z, 30-29-22-33- 164-5, 30-29-22-33-0165-8, 30-29-22-33-0166-1, 30-29-22-33-0167-4, 30-29-22-33- 168-7, 30-29-22-33-0169-0, 30-29-22-33-0170-0, 30-29-22-33-0171-3, 30-29-22-33 172-6, 30-29-22-33-0173-9, 30-29-22-33-0174-2, 30-29-22-33-0175-5, 30-29-22-33- 176-8, 30-29-22-33-0177-1, 30-29-22-33-0178-4, 30-29-22-33-0179-7, 30-29-22-33- 180-7, 30-29-22-33-0181-0, 30-29-22-33-0202-6, 30-29-22-33-0204-2, This propert is presently tax exempt and owned by the HRA. This property is proposed to deeded to the Port Authority of the City of Saint Paul 1n 1990. The property is within the City of Saint Paul 's Scattered Site Tax Increment District. B. IIrPROYE NTS AND PROPOSED USE Leeann Chin, Inc. is proposing the construction of a food production facility. Their firm i currentiy headquartered in downtown St. Paul . This production facility wou d be a new concept to the company�s operations. . . .. . � �/��� , Staff Report September 20, 1990 Page -2- Leeann Chin, Inc. ill construct a 20,000 square foot food production facility on the site. The investment in the proJect, including land, building, and equipment will tot I approximately $2.1 million. , C. PROJECTED IN ASED MARKET VALUE The market value will increase by the amount of the improvements plus the land value since the property has not generated any taxes while under HRA ownership. The d velopment will result in an estimated market value of $1 .3 m i l I ion wh i ch i s .00014 of the market va l ue of al I taxab l e property i n St. Paul . The roJect is within the City of Saint Paul Housing and Redevelopment Auth ity�s Scattered Site Tax Increment District. This project will have a positiv impact on the District's revenues. D. RETAINED AND N JOBS The company will h ve created 12 full-time Jobs in Saint Paul in the first year with the con truction of the new facility. In addition, the company estimates they witl retain 22 new employees which currently are employed by the company. The company has agreed to enter i nto a Ci ty of Sa i nt Pau I Employment and Trai ing Participation Agreement. E. ORAFT PARTICIPA ION AGREENENT A draft Participati n Agreement has been negotiated with the following tax benefits: 5-Year Tota,� State New Emplo ee Credits $ 36,000 State Debt Fina cing Credlts $400,000 This represents a over all private-to-public ratio of approximately $4.00 private per $I public tax reductlon or credit. The original City Council guidelines call f r a minimum 8:1 private-to-public investment ratio and a maximum of $10,000 er retained Job and $20,000 per new Job. This proJect represents a credit of 15:1 for private-to-public investment, plus $5,000 per retained Job and $t ,000 per new Job. F. OOUNCIL FINDING Leeann Chin, Inc. �s application proposes to create up to 12 new Jobs, none of which would be a t ansfer from another Minnesota municipality. The proposal will not result in the abandorment or demolition of other property owned by the applicant in Saint Paui , which could potentially cause a reductlon in the assessed value of e isting property within the City. . , . . . _ � '/ "! � � �S�-af f Report ' September 20, 1990 Page -3- G. REODM�ENDATION The staff of the P rt Authority of the City of Saint Paul recommends the City Council approve th attached Participation Agreement for Leeann Chin, Inc. as drafted. Staff fu ther recommends the City Council determine that the project is eligible for em loyment property reclassification and that Attachment C of the Participatlon Agreement be forwarded to the Commissioner of Trade and Econ anic Developme t. 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Q T �f� ADDITIONS � M Enterprise Z o ne R�ronc Initiac�;v�e EXHIBIT A . . �o-i��� ����p ��r� Nt)TIG�; OF FUBLIC 11EAIt1NG UN APPLICATION FOR RECLA55IF 1CAT10N OF PROYERTY FOft TAX PURPOSES UNDER THE ENTEItPRISE ZONE PROGR,AM Pursueint tu Minuesot:� Slatules 19tl8, Scction �6J.170 Subdivision 2 und to provision of the Program For City uf Saint Paul Riverfront Enterprise 2ona NOTICE 1S HEREBY GIVEN THAT A PUBLIC HEARING will be held before the Cowuil ot the Clty o[Suint Paul in the C��uncil Cliamben, lhird floor City H,�II. 15 Wrst Kellogg Boulevnrd, Suint Pnul, hf innesola on Thursduy,thc 18th day n[OMobrr,19'JU. ut y:UO a.m.,or:�a s ou �crea er as e ma er may e � heard,upon the Applicalion of Lee Ann Chln,Inc..214 Eust 3th Surel.Suite 120,Saint Paul,Minnexota,tor reclassiticatiu�i o[certain real pruperly lceated in the Saint Paul Riverfront Ente�prise Zone, Ramsey . County,Minnesota,as employment'property and tor assessment ot said properly as provided tor class 3b property in hlinnesota Stntutes 1988. Section 273.13 Subdivision 24,Paragraph(b)tor taxes levied in 1991 and tor four succeeding yet�rs thereafter. AT SAID YUSLIC HEARING the City Council will consider whether to approve the said Application upun findings ns requirnd by Minnesota Statutesl9ll8, Section 469.170 Subdivision 2. AL said hearing. the Appliccu�t, lhe Ramsey County Assessor, representatives of affected taxing aulhorities end any taxpayer o[the municipality or mpresentative utany rnmmunily organization will have opportunity to be heard or may present their views In writing at or before the Hearing. Copies o1 the Appllcatlon, the report of the Porl Authorlty o(the City oi Sntnt Peul und the proposed Periicipation Agreement between the Appllcapt and the City mey be inspected ut the oltices ot the Clty Gerk or the Port Authority of the City o(Salnt Peul d�ring nurmal business hours,end wrltten�rommantr may be dellvered or malled c/o Clty Clerk,Room 9g8, Cily Hall,l5 West Kellogg Hau�evard,Salnl Paul,D+IN 55102,or c/o Port Authorlly of th0 C�ty of Salnt Paul, �� 1900 Lundmark Towers. 315 St, Peter Streel, Salnt `�� _ Peul,MN 55102.Telephone Inquirles mey be made to �� Julie A.Kimble,224•�dtl8. ALBERT B.OLSON,City Clnrk (Sept.15) �����ST. i'AUI. [.EG1AL I.BDCiL+R►►r►►