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87-262 P N1� - f+qN A C E R K G I T Y O F s A I N T �A IT L Council �f /� CANqRY - DE�PARTMENT File NO• v �-'^�� BLUE - MAVOR City Attny/JTH Council Resolution / � SU.;- Presented By �-- = Referred o Committee: Date Out of Committee By Date WHEREAS , on February 22 , 1977 , by Resolution Council File No . 268597 , the City Council approved a Redevelo�ment Plan for Shepard Park i�Jest and de ermined necessity to grant a partial tax exemption to Shevard Park laza under the redevelopment com»any �rovisions of the Housing and edevelopment Act Minn. Stat . Section 462 . 651 Subd. 1 for a ge iod of twenty-five years to undertake construction and operation of a 101 unit rental housing nroject as the first nhase of develon ent in the Shenard Park area (Project) ; and WHEREAS , on �Tovember l , 1977 , by Resolution Council File No . 270009, the City Council approved and consented to a �tedevelopment Contract between Shenard Park Plaza as redevelouer and the Housing and Redevelonmen Authorit;T of the City of Saint Paul Minnesota (HRA) cover the erms and conditions of the development and o*�er- ation of the Par Plaza Project during the continuation of the partial tax exem tion and ratified the ;rant of the partial tax exemption; and WHEREAS , th Redeveloner has requested termination of the nartial tax exem tion and restriction u�on return on equity invesc- ment to the memb rs of the Shepard Park Plaza nartnership , and it avnearing that t e P.edeveloper has performed its obligations ���.�.�x the Redevelonmen Contract, and that there are no funds in tl�� �aartnership afte payment of onerating expenses , authorized returnv on equity and de t service and�maintenance reserves to remit to the City under the t rms of the Redevelorament Contract ; and ?�JHEREAS , it further apnears that tne City has accom�lished its objectives in re eveloving� the Shepard Park T�•7est area and that the z�artial tax exem. tion is no longer required for the successful oneration of the Project ; and COUNCILMEIV Requested by Department of: Yeas Drew Nays ����\ Nicosia �\ �J-�--� Rettman Itl FBVOf Scheibel Sonnen __ AgBi[iSt BY Tedesco Wilson Form Approv y City Attor e Adopted by Council: Date � Certified Yassed by Council Secretary BY gy. Approved by Vlavor: Date _ Approved May r Subm ion to Council � BY - - — WMITE - CITV CLERK P�M1'� - �INANCE G I TY O F SA I NT PA U L Council CANARV - DEPARTMENT C�� /� BLUE - MAVOR O (P File N . Council Resolution Presented By Referred Committee: Date Out of Committee By Date -2- W�iEREAS , th Redeveloper and HRA have presented to this meeting an Amend tory A�reement amending the Redevelopment Contract termina ing the partial tax exemption effective for taxes assessed J nuary 2 , 1987 and payable in 1Q88 (Amendatory Aoreement) ; now herefore, be it RESOLVED by the Council of the City of Saint Paul that the Amendatory Agree ent is hereby approved and the proner City officers are aut orized to execute a joinder and consent to said Amendatory greement on behalf of the City. COUNCILMEN Requested by Department of: Yeas Drew Nays �� Nicosia � Rettman �R F8V0[ Scheibel Sonnen __ Ageinst BY Tedesco Wilson Adopted by Council: Date MAf� 5 ' �g87 Form Approved by City Attorne Certified Ya s ounc.il Se r r B ��`�����%'" by C c eta y Y By� A►pprove y ;Navor: Oat � �9a7 Approved b Mayor f Sub is to Council v � ° sy _ _ _ , PUBIIS�iED ,��r=;� 2 i 987 P.�.D. � DEPAR°TMENT �� �� NQ O62Qg Glor.ia Bostrom CONTACT 3� PHONE 2 26 87 DA�E e�,;r►� ,, �r , SI NUhBER FOR ROUTING OR R Cli Al�l Locations fpr Si natu e : Department Director � Dir�ctor of Martagement/Mayor Fin�ance and Management Se vices Director � � Cit,� Clerk :Budget Director � Co�ncilman Orew �City Attorney F WHAT WILL BE ACHIEYED BY TAKI G ACTION THE ATTACHED MATERIAL ? (Purpose/ Rationale) : Council Resolution that wi 1 approve tsrminating the partial tax exemption for the Shepard Park Plaza apartme ts. The projeet has been paying bnly $43,000 annually in real estate taxes since 1 8 due to an approved Redevelopmer�t Contract. . The develo.per has agreed to pay full rea estate taxes beginning in 1988 (�estimated at over $100,000) provided no back payment i required, The HRA Board previou�sly approved this action. . , N . ; OST BENEFIT BUDGETARY AND P RSONNEL I{�ACTS ANTICIPATED: � .Increase in real estate ta payments of over $60,000 annuall . RE E1VED . � FE8 � 6 +,7;;� MaroR�s r�F���,� . FINANCING SOURCE AND BUDGET A IVITY NU ER CHARGED OR CREDITED: (Mayor's signa- ture not re- Total Amount of 'Transactio : N/A quired if under � �10,OOQ) Funding Source: N/�i' Activity Number: N/A • ATTACHMENTS List and Number 1 Attac nts : , 1 . Council Resolution - DEPARTMENT REVIEW CITY ATTIORNEY REVIEW Yes No Council Resoluti n Require�? � Resolution Required? Yes No Yes No Insurance Requi d? insur�ncie Sufficfent7 Yes No Yes No Insurance Attach d: � (SEE • EyERSE SII�E FOR INSTRUCTIONS) . : : Revised 12/84