85-1333 �-„-,� .,� � _, : ....,
WHITE - CITV CLERK � �
PINK - FINANCE
CANARV - OEPARTMENT ' G I TY OF SA I NT PAU L COIlI1C1I �� 2
. BII�E �- M�VOR File �O. ^ J�✓,�
• City' Attny/PBB , ,
ouncil Resolution
Presented By __ S�'.e� �7/'
Referred To FinanCe Committee: Date
Out of Committee By Date
RESOLUTION RELA.TING TO THE WEST MIDWAY-SOUTH
ST. ANTHONY PARK REDEVELOPMENZ' AREA, APPROVING
AMENDMENT OF THE REDEVELOPMENT PLAN, AND
APPROVING ADOPTION OF A TAX INCREMENT PLAN
CREATED WITHIN AND FOR SAID AREA
WHEREAS , the City Council (the "Council") of the City of Saint
Paul , Minnesota (the "City") , has the statutory responsibility under
Minnesota Statutes , Section 462. 521, to approve redevelopment plans
of the Housing and Redevelopment Authority of the City of Saint
Paul, Minnesota (the "HRA") , and under Minnesota Statutes , Section
273 . 74, to approve tax increment financing plans of authorities
within the City, in each case after a hearing thereon; and
WHEREAS, the HRA proposes to undertake its "West Midway Develo�-
ment Project" (the "Project") , and in order to do so has adonted on
September 25 , 1985 , an amendment to the Redevelopment Plan relating
to the West Midway-South St. Anthony Park Area (the "P.edevelopment
Plan") in connection with tax increment financing to be provided
pursuant to its "Tax Increment Financing Plan for Tax Increment
Financing District in and for the West Midway-South St . Anthony
Park Area also adopted on September 25 , 1985 (the "Tax Increment
Financing Plan") ; and
WHEREAS, the HRA has submitted to the Council its Resolution No .
35-9/25-6 , entitled "Resolution Annroving Amendment of the Redevelop-
ment Plan for, and Approving Adoption of the Tax Increment Plan
within and for, the West Midway-South St . Anthony Park Redevelopment
Area, and Creating a Tax Increment District" , together with the
folloG�ing related documents:
COUNCILMEN Requested by Department of:
Yeas p�� Nays
Masanz In Favor
Nicosia
Scheibel ' i� r/ L �
Sonnen . _ A gainst BY
Tedesco
Wilson
Form Ap roved by City Attorney
. Adopted by Council: Date ' .
Gertified Passed by Council Secretary BY ��u�5
By�
Approved by Mavor: Date Approved by Mayor for Submission to Council
BY BY
� � �.
v-�__ �✓.� v
. .
�
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l. The Redevelopment Plan;
2. The Tax Increment Financing Plan;
3 . An Application to the City;
4. As part of the Redevelopment Plan, a statement of
the method proposed for financing the Project ;
5 . The written opinion of the Saint Paul Planning
Commission as to the Redevelopment Plan;
6 . As part of the Tax Increment Financing Plan, a
list of reasons and supporting facts for deter-
minations by this Council in connection Caith
findings necessary with respect to the approval
of the Tax Increment Financing Plan; and
WHEREAS , said Redevelopment Plan and Tax Increment Financing
Plan submitted contain an identification of need and statement of
objectives and pro�ram of the HRA for carrying out af a redevelop-
ment project and an economic development district undertaking in
the West Midway-South St. Anthony Park Redevelopment Area and
pronosed Tax Increment Financing District (the "District") , in-
cluding property to be acquired, public improvements to be pro-
vided, property disposition to occur and other redevelopment
project activities ; and the Tax Increment Financing Plan contains
estimates of the public redevelonment cost of the project and
District , including administrative expenses , amount of bonded
indebtedness to be incurred, sources of revenue to pay said bonds
and other public redevelopment costs , the most recent assessed
value of taxable property within the District, the estimated
captured assessed value of the District at completion, and the
duration of the District' s existence; and
WHEREAS , the HRA has provided an opportunity to members of
the Ramsey County Board and Indenendent School District No . 625
to meet with the HRA and has presented the Board members of said
County and School District its estimate of the fiscal and economic
implications of the proposed tax increment financing district ; and
WHEREAS , the Saint Paul Planning Commission has reviewed the
said Redevelopment Plan and approved the same as being in conformity
with the Saint Paul Comprehensive Plan, the general plan for the
development of the municipality as a whole; and
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WHEREAS � on October 3 , 1985 , the City Council conducted a
public hearing upon the Tax Increment Financing Plan, in con-
junction with a public hearing upon the Redevelopment Plan, all
after published notice of a hearing on both such plans in the
Saint Paul Pioneer Press and Dispatch on September 21 , 1985 ;
an d
WHEREAS , at said public hearing the City Council heard
testimony from all interested parties appearing on the approval
of the amended Redevelopment Plan and Project proposed, on the
creation of the District and on the Tax Increment Financing
Plan; and
WHEREAS, the Council has considered the finding and deter-
minations of the Saint Paul Planning Commission and the HRA ,
respecting said Project , District, Redevelopment Plan and Tax
Increment Financing Plan, and additional reasons and supporting
facts recited herein and in Section N of the Tax Increment
Financing Plan;
NOW, THEREFORE, BE IT RESOLVED by the Council of the City
of Saint Paul , Minnesota, having reviewed and considered the
documents submitted and the recitals , representations and pro-
visions contained therein, as follows :
l . It is hereby found, determined and declared:
A. That the undertakings and site of the Project ,
as described in the Redevelopment Plan as
amended, constitute a "redevelopment project"
within the meaning of Minnesota Statutes ,
Section 462 .421 , Subdivision 13 ;
B. That the land in the project area would not
be made available for redevelopment without
the financial aid to be sought;
C. That the Redevelopment Plan for the redevelop-
ment area in the locality will afford maximum
opportunity, consistent with the sound needs
pBF3 9.t.�
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of the locality as a whole, for the redevel-
opment of such area by private entervrise;
and
D. That the Redevelopment Plan conforms to the
Saint Paul Comprehensive Plan, the general
plan �or the development of the locality as
a whole.
2. It is hereby found, determined and declared for the reasons
and upon the supporting facts set more fully in Section N
of the Tax Increment Financing Plan, which Section N is
hereby incorporated and made a part hereof:
A. Th�.t the District constitutes an "economic
development district" within the meaning of
Minnesota Statutes , Section 273 . 73 Subdivision
12; and that the District will result in in-
creased employment and economic activity;
B. That the development or redevelopment proposed
in the Tax Increment Financing Plan, including
particularly, but without limitation the Project ,
would not in the opinion of the City reasonably
be ex�ected to occur solely through private in-
vestment within the reasonably foreseeable future
without the public financial and other public
assistance proposed, that the usual sources of
public revenue are not adequate to provide the
required level of such public assistance and
that, therefore, the use of tax increment finan-
cing as proposed in the Tax Increment Financin�
Plan is necessary; and that private investment
alone will not put the properties in the District
acquired by the HRA to more productive use in the
reasonably foreseeable future;
C. That the Tax Increment Financing Plan conforms to
the Saint Paul Comprehensive Plan which is the
general plan for the development of the municipal-
ity as a whole; and that the provision of jobs ,
�� Q�w
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economic stimulation and increase in tax base
are of the type planned for this area of the
City;
D. That the Tax Increment Financing Plan will afford
maximum opportunity, consistent with the sound
needs of the municipality as a whole, for the
development or redevelopment of the Redevelopment
Area and District by private enterprise; and
that the assistance provided pursuant to the
Tax Increment Financing Plan is a necessary
and desirable encouragement of private develop-
ment; and
E. That the City elects the method of tax increment
computation set forth in Minnesota Statutes
Section 273 . 76 , Subdivision 3 , Clause (a) ; and
that this election is consistent with the needs
of the financing for the initial District and
past practices of the City.
3 . The Redevelopment and Tax Increment Financing Plans are
each hereby approved.
4. The HRA is authorized to file two copies of the Tax
Increment Financing Plan with the Commissioner of the
Department of Energy and Economic Development of the
State of Minnesota.
The creation of the District is hereby approved and the HRA
is hereby authorized to file copies of the Tax Increment Financing
Plan and this Resolution with the Ramsey County Department of
t�� q-Z�
N�MITE - C�TV CLERK
PINK -.FINANCE GITY OF SAINT PAUL Council ��,F 3
CANARV - DEPARTMENT Flle NO. /� �
BL4L'E • �- A{AVOR
i
� Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
-6-
Taxation and Records Administration and Ramsey County Auditor
with its request for certification of the original assessed
valuation of the District.
COUNCILMEIV Requested by Department of:
Yeas p�� Nays /
/��.
Masanz f(/` In Favor
Nicosia �/'�/.CiC.�iG�OCsy� �
Scheibel 8 �
Sonnen _ Against BY
Tedesco
MFi4�1�-
�CT 3 '�� Form Approved by Cit Attorney
Adopted by Council: Date -
Certified P s e Cou cil re y BY ` �� ��5
By
A►pproved by �Vlav : b^y��T � Approved by Mayor for Submission to Council
g �1.�.e`�i� By
P1181lS��� OCT i � 1�85
: , , . ' ��- �
6'� ��3
WHEREAS , the HRA has submitted to the Council its Resolution
No. 85-9/25- , entitled "Resolution Approving Amendment of
the Redevelopment Plan for, and Approving Adoption of the Tax
Increment Plan within and for, the West Midway-South St. Anthony
Park Redevelopment Area, and Creating a Tax Increment District" ,
together with the following related documents :
l . The Redevelopment Plan;
2. The Tax Increment Financing Plan;
3 . An Application to the City;
4. As part of the Redevelopment Plan, a st tement of
the method proposed for financing the roject;
5 . The written opinion of the Saint Paul Planning
Commission as to the Redevelopment P an;
6 . A list of reasons and supporting fa ts for determina-
tions by this Council in connectio with findings
necessary with respect to the app oval of the Tax
Increment Financing Plan; and
WHEREAS , said Redevelopment Plan a d Tax Increment Financing
Plan submitted contain an identificati n of need and statement of
objectives and program of the HRA for the carrying out of a
redevelopment project and an economi development district under-
taking in the West Midway-South St. Anthony Park Redevelopment
Area and proposed Tax Increment Fi ancing District (the "District" ) ,
including property to be acquired, public improvements to be
provided, property disposition to occur and other redevelopment
project activities ; and the Tax ncrement Financing Plan contains
estimates of the public redevel ment cost of the project and
District, including administrat ve expenses , amount of bonded
indebtedness to be incurred, s urces of revenue to pay said
bonds and other public redeve pment costs , the most recent
assessed value of taxable pro erty within the District , the
estimated captured assessed alue of the District at completion,
and the duration of the Dis ict ' s existence ; and
WHEREAS , the HRA has rovided an opportunity to members of
the Ramsey County Board and Independent School District No. 625
to meet with the HRR and has presented the Board members of said
County and School District its estimate of the fiscal and economic
implications of the proposed tax increment financing district ;
and
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; .� � , . �'�� � _ ��
�� ,��
WHEREAS, the Saint Paul Planning Commission has reviewed
the said Redevelopment Plan and approved the same as being in
conformity with the Saint Paul Comprehensive Plan, the general
plan for the development of the municipality as a whole; and
WHEREAS, on October 3 , 1985 , the City Council conducted a
public hearing upon the Tax Increment Financing Plan, in con-
junction with a public hearing upon the Redevelopment Plan, all
after published notice of a hearing on both such plans in the
5aint Paul Pioneer Press and Dispatch on September , 1985 ;
and —
WHEREAS , at said public hearing the City ouncil heard
testimony from all interested parties appeari on the approval
of the amended Redevelopment Plan and Project proposed, on the
creation of the District and on the Tax Incr ment Financing
Plan; and �
i
WHEREAS , the Council has considered t�e finding and �deter-
minations of the Saint Paul Planning Commr�ssion and the HRA,
respecting said Project, District, Redev�lopment Plan and Tax
Increment Financing Plan, and additiona�t reasons and supporting
facts attached to this Resolution as E��ibit A;
;�
NOW, THEREFORE, BE IT RESOLVED b� the Council of the City
of Saint Paul , Minnesota, having rev `ewed and considered the docu-
ments submitted and the recitals , r�resentations and provisions
contained therein, as follows : /
r
1 . It is hereby found, det�rmined and declared:
,
A. That the undertak'�ngs and site of the Project, as
described in the edevelopment Plan as amended,
constitute a "r evelopment project" within the
meaning of Min sota Statutes , Section 462.421 ,
Subdivision 13 ,
B. That the lan in the project area would not be made
available f r redevelopment without the financial
aid to be sought;
C. That the Redevelopment Plan for the redevelopment
area in the locality will afford maximum opportunity,
consistent with the sound needs of the locality as
a whole, for the redevelopment of such area by
private enterprise ; and
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. ' , . ��� C�
��f3��
D. That the Redevelopment Plan conforms to the Saint
Paul Comprehensive Plan, the general plan for the
development of the locality as a whole.
2. It is hereby found, determined and declared:
A. That the District constitutes an "economic develop-
ment district" within the meaning of Minnesota
Statutes , 5ection 273 . 73 , Subdivision 12 ;
B. That the development or redevelopment proposed in
the Tax Increment Financing Plan, including par-
ticularly, but without limitation the Project,
would not in the opinion of the C ' y reasonably
be expected to occur solely thro gh private invest-
ment within the reasonably fore eeable future without
the public financial and other ublic assistance
proposed, that the usual sour es of public revenue
are not adequate to provide t�ie required level of
such public assistance and t�iat, therefore , the use
of tax increment financing �s proposed in the Tax
Increment Financing Plan isf` necessary.
/
C . That the Tax Increment Fir�fancing Plan conforms to
the Saint Paul Comprehens,�ve Plan which is the general
plan for the development.%`of the municipality as a
whole; ,%
i
D. That the Tax Increment %Financing Plan will afford
maximum opportunity, r�'onsistent with the sound needs
of the municipality a,� a whole, for the development
or redevelopment of he Redevelopment Area and
District by private enterprise ; and
E. That the City elec s the method of tax increment
computation set f rth in Minnesota Statutes Section
273. 76, Subdivis ' n 3 , Clause (a) .
3. The Redevelopment a d Tax Increment Financing Plans are
each hereby approve .
4. The HRA is authori ed to file two copies of the Tax
Increment Financing Plan with the Commissioner of the
Department of Energy and Economic Development of the
State o� Minnesota.
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__ _ _ - - - -- __ _ _ _ _ - - - L - -
- _ - - - - �
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WHITE - CITY CLERK ��"'{3✓�
PINK - FINANCE b
CANARV - DEPARTMENT �� GITY OF SAINT PAUL COUIICI
BLUE - MAVOR �, FIIe NO•
Council Resolution
Presented By .��.t�_
Referred To Committee: Date
Out of Committee By Date
The creation of the District is hereby approv and the
HRA is hereby authorized to file copies of the Ta Increment
Financing Plan and this Resolution with the Rams County
Department of Taxation and Records Administratio and Ramsey
County Auditor with its request for certificati n of the original
assessed valuation of the District.
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COUIVCILMEN Requested by De rtment of:
Yeas p�� Nays �
Masanz [n Favor
Nicosia
Scheibel
Sonnen Against BY
Tedesco
Wilson
Form Approved by City Attorney
Adopted by Council: Date
Ce�tified Passed by Council Secretary BY
By
A►pproved by Mavor: Date Approved by Mayor for Submission to Council
By BY
. . � �.�-./� 3��
EXHIBIT A
Reasons and Supporting Facts for Determinations
1 . Tax Increment Financing District No. within and for
the West Midway-South St. Anthony Park Redevelopment Area
(the "District" ) consists of a portion of said Redevelopment
Area that does not meet the requirements for a redevelopment
district or housing district in the Minnesota Tax Increment
Financing Act, Minnesota Statutes , Sections 273.71 through
273 . 78 . The Housing and Redevelopment Authority of the City
of Saint Paul , Minnesota (the "HRA" ) , has found (for sufficient
reasons the HRR has set forth in a resolution adopted September
25 , 1985) that the District is in the public interest because:
a) it will discourage commerce , industry or manufacturing
from moving their operations to another state ; and
b) it will result in increased employment in the City of
Saint Paul , Minnesota (the "City" ) ; and
c) it will result in preservation and enhancement of the
tax base of the City.
The HRA, with the proceeds of the sale of its $
Tax Increment Revenue Note of 1985 (West Midway Development
Project) , will purchase from Waldorf Corporation certain
excess steam purchase rights and properties currently used
only as warehouses. This purchase was instrumental in the
purchase by Waldorf Corporation of the Champion Corporation
assets , and in a Vendor Development Agreement Waldorf Corpor-
ation will promise to maintain its corporate headquarters
in the City of Saint Paul , Minnesota (the "City" ) for ten
years, maintain production at current levels at the City plant
for ten (10) years , undertake a minimum over four years of
$1 , 000 ,000 improvements within the site, indicate a market
value for ad valorem tax purposes of its remaining real
property at $ though most recently valued
at approximately $7 , 536, 100.
The development and marketing of the steam energy and the
productive use of the previous warehouse facilities will
create employment and enhance the tax base of the City.
: . : . ., � ��--�.�-�
2 . Private investment alone would not reasonably be expected to
maintain or develop the facilities formerly owned by Champion
Corporation. Without the HRA' s purchase and development of
the steam rights or warehouses, these facilities would not be
put to more productive use.
3 . The Saint Paul Comprehensive Plan contemplates
in the District and said Redevelopment Area. The Tax Increment
Financing Plan (the "Plan" ) will lead to more effective and
quicker development of the commercial and industrial activities
planned for this area in the Saint Paul Comprehensive Plan.
4. The sound needs of the municipality as a whole are for
development of the District and said Redevelopment Area in
the manner contemplated by the Plan. Though development is
dependent upon the tax increment financing outlined in the
Plan, and upon public redevelopment efforts by the Port Authority
of Saint Paul , the development affords maximum opportunity for
the development or redevelopment of the property by private
enterprise. Private enterprise in the District includes
Waldorf Corporation, the expected users of steam energy,
entities to whom the Port Authority will sell or lease the
warehouses , and entities to whom Waldorf Corporation may sell
other parcels.
5. The City and authorities within the City have had a policy
of not electing the method of tax increment computation
set forth in Section 273. 76 , Subdivision 3 , Clause (b) .
It has generally been considered, and is considered here,
necessary for all increment to support the development of
the district, directly or indirectly through the payment
of tax increment bonds or notes issued for such purposes.
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-� : . ,. . �'�� - 3�`�'��
. .
� � ��- ���
��� .
NOTICE OF PUBLIC HEARING �-��'� ��� 3
UPON PROPOSED AMENDMENT OF THE
REDEVELOPMENT PLAN, CREATION
OF A TAX INCREMENT FINANCING DISTRICT, . �
AND ADOPTION OF A TAX INCREMENT FINANCING PLAN � � `;� .
IN AND FOR THE
WEST MIDWAY-SOUTH ST. ANTHONY PARK
REDEVELOPMENT AREA -
/
NOTICE IS ��iEREBY GIVEN that a public hearing befo�re the Gouncil
of the City of Saint Paul will be held in the City Cotincil Chambers ,
City Hall, 1.5 West Kellogg Boulevard at 10 : 00 a ' Oct
1985 , to consider the proposal of the Housing and Redeve opment
Authority of the City of Saint Paul, Minnesota to amend the Rede-
velopment Plan for the West Midway-South St. Anthoriy Park Redevel-
opment Area and Project and to adopt a Tax Increment Financing Plan
for said area creating a Tax Increment Financing�;District.
The purpose of these actions is to assist Waldorf Corporation
in the purchase from Champion International of' the Project Area
paper mill and carton production facilities ,:�in improving these
facilities, in maintaining the existence of�" 1000 jobs in these
facilities and in preservi:ng and enhancing the tax base of the
property and the community by creation of a economic development-� -
tax increment financing district, encompassing the property making
up these facilities and issuance of 5 million in tax increment
revenue bonds , all as set forth in the proposed Tax Increment
Financing Plan and amended Redevelopment Plan, copies of which are
on file with the City Clerk, Room 386, City Hall and with the
Housing and Redevelopment Authority, 12th floor City Hall Annex,
and are available for inspection during regular business hours .
Additional information may be obtained from Rick Beeson, (612)
292-1577 , extension 256 .
Upon said hearing all interested persons will be given oppor-
tunity to be heard and the City Council will consider, among other
matters, (1) tahether the proposed Tax Increment Financing District
qualifies as an economic development district under Minnesota
Statutes Section 273 . 73 Subdivision 12, (2) whether the described
Project 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,
(3) whether the amended Redevelopment Plan and Tax Increment
Financing Plan conforms to the St. Paul Comprehensive Plan, the
general plan for development of the municipality as a whale, (4)
whether the amended Redevelopment Plan and Tax Increment Financing
Plan will afford maximum opportunity, consistent with the sound
needs of the municipality as a whole, for the development of the
. .. , . � �� ��3�
. , ,.
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Projec� by private enterprise, and (5) whether the Tax Increment
Financing District should be created and the amended Redevelopment
Plan and Tax Increment Financing Plan should be approved.
Dated September , 1985 .
''
ALBERT OLSON
City Clerk
_ __ --�__.�._ .._.....__,..._ ,__ .
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,p�?"�= "�'`.. ,;�.�.� �ITY OF sAINT �.c�.I7L
�=, ��;,�� �
f::� `sc�;, �=• OZ�'I`ICF OF THIC CITY COIIti'CZL �
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` '_t�,:.:r.c_;: ,
� _m . z D a t e ; Sept. 26, 1985
. ��, :�
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.. . �„�,�..-.,.r:.''� .
CO (V1M (TTEE F� E PORT
TO = Sain� Pau l City Cou�ci !
F R � I� = C O Tn C�'I 1�t�° O h F i NANGE, MANAGEMENT � PERSONNEL
CHAIR James Scheibel
t. Resolution amending the. l°85 budge: and �ransTerring $1,00�,000 from Community Oeveiopment
Biock Granc r'und-r'�ogram Inccme-.�and Sales to Community Oevelopmen[ 91ock Grant Fund-
- WorLd Trede Center. (P£7) �P�Q�.fl . _ ' � .
' ' 2. Resolution amending the 1985 budget and adding $58,b34 to the Fina�cing and Spending
• � '• Plan for Equipmenc Se�vices r"ire-Poiice. (Fire Dept.) /�p���
! j, Resoiutio� amending the 1985 budget and adding $15,364 to the Financing and Spending
- � PIaR for Fire r"ign[ing EquipmenC: (Fir.e Oept.) qpPROv� .
� 4. Resolutio� anending che 1985 budgeL and adding $28,310 to the Pinancing a�d Spending -
• i Plan for Int'rastructure i�vencory. (Puhlic Works).�1�0�/� '
, 5. Resolution anending tha 1985 budgeC and adding $20,OG0 to the rinancinc} and Spendina_�v�
' Plan for General Govt. Accouncs-City Attorney's Office. (City Attorney`s Office)���'�
. 6. ResoluCion auchorizing an agreement with Minnesota State Agricultural Society (Hinnesota
• State Fair Board) whereby the City will provide animal control services. (Comn. Services)��l�v�
� 7. Ordinance amending Chapcers 369, 376, •and 310 of the LegiSla[ive Code pertaining to
buildinq traaes business licenses and certificaces of competency. (Cortm_�erviEes)1,�C1� �VZ,l2 � ,
.. . !�$��-
, 8. Resolution au[ho�izing a supplemencal �agreemen[ with the Commissioner ocr•TranSportacion
to allow adaitional funding ror comoletion of cemmunication cable systesif'far. computerized
signal system. (?ublic Works) �pP��V� , � � �
9. Resolu[ion auchorizing an agreement with Ramsey Councy Pu61ic Health Nursing wnerehy Che ,����
City with receive services oT a nurse pracLi[ioner ior the Homeiess Clinics. (Cemm. Serv.
10. Resolution auchorizing a 1°85 Operating AgreemenC w�th I.S:D. „625 Whereby th��it���
furnishes variou5 services to the Discrict. (Finance E Mgmc. Services) �Q �0
I1. Resolution.�authorizing an agreemen� wich MN. State Agricultural Societ�F+hereb�v he�Ci`ty
� provided various police services during che 1985 Sta[e �air. (Police Dept.) ��` ' ""`�sC.� .
� 12. Resolution au[horizing. an amendment �o a Lease Agreement with the Pc�r.r Aut!�o ity for
addi[ional land �0 6e used for che City'S Impound lot. (Police Depc.') ���
1j. Resolucion au�norizing and accepting ;j0,000 Urban Parks & Recreation Recovery Proaram �p�a
granc to conduct a <itywide needs assessmenc ror the Parks E Rec. System. (Gemm. Services)lS� T^�'���"'°
14. Resolucion aporoving 1°85 Memo. of AgreemenL becween ISD .Tb25 and Operative Plasterers
_ �� Cemenc Masons, Locals �20 $ 560, Twin City. G.laziers E G ass Wotrk�rs, tocal 1324 and .
Twin City Carpenecers OistricL Council. (Personnel) ����W �
' • �5, Resolution approving 1985 Maintena�ce Labor A9ryemen[ hetween ISD ;6Z5 and the U i ��
Union of Rcorers, Wacerproofers and �ltied `dorkers, Local �96. (Personnel) �
� 16. Nesoluc,ion relacing to xhe uest-Midway So. SC. Anchony ?ark RedeveloQment area, �aproving
amencmenL or �he redevelopment plan and approving adon;iun oT a Cax increment plan crzaced
within and for said area {Waldor� Corp.) (PE'J) '���. ' : . . ' '.
� 17. Discus ion oT allocating additional 1;85 fu�ds for the 6as�cetweave program. �
��SOI.V'110N p(�' �NGI. OP g-�tle�-$S PcPPRDII�.
CITY HALL SEVENTH FLOOR SAINT PAUL, �3INNESOTA 55I0�
.,�=..�t.�:
� '
� - /3�
TAX INCREMENT FINANCING PLAN
FOR
TAX INCREMENT FINANCING DISTRICT
MINNESOTA STATUTES, SECTIONS 273.71-273.78
IN AND FOR THE
REDEVELOPMENT AREA
OF THE
HOUSING AND REDEVELOPMENT AUTHORITY (HRA) OF THE CITY OF
SAINT PAUL, MINNESOTA
Approved by the HRA , 1985
Approved by City of Saint Paul: , 1985
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TABLE OF CONTENTS
PAGE N0. .
A. Introduction -- Identification of Need 1
B. Statement of Objectives 2
C. Development Program 3
D. Description of Tax Increment District Property 5
E. Development Activities under Contract Z
F. Expected Development Activities 7
G. Cost of the Project g
H. Bonding Indebtedness g
I. Revenue to Finance Public Cost 9�
J. Assessed Value of Property 9
K. Estimated Captured Assessed Value 9
L. Duration of District 10
M. Fiscal Impact on Other Taxing Jurisdictions 10
N. Reasons and Supportive Facts for Determinations 11
Appendix 1: Revised Map No. 2
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TAX INCREMENT FINANCING PLAN
A. INTRODUCTION - IDENTIFICATION OF 1dEED
The FiRA Board, and the Council of the City of Saint Paul (the "City") , have .
determined that a need exists to establish a tax incre�ent f inancing district
within the boundaries of the West Midway-South St. Anthony Park Redevelopment
Project, in which is located the Waldorf Corporation paper mill, folding carton
plant and their adjacent property. The tax increment financing district is
bounded by University Avenue on the north, Vandalia Street on the east, and
the Chicago, Milwaukee, St. Paul b Pacific Railway on the south; boundaries
are outlined on Map No. 2 Rev. , attached as Appendix 1 hereto and hereby made
a part hereof.
In 1977, Champion International Corporation, based out of Stamford, Connecticut,
. purchased these facilities from the then locally owned Hoerner Waldorf, Inc.
In 1984, Champion acquired the much larger St. Regis Paper Company, nec e�ssi-
tating the raising of additional capital and resulting in the offering of the
Saint Paul �plant, five other folding carton plants, and one other mill for
sale. Nimmerous offers were submitted for this block of facilities, primarily
f rom international corporations with no linkage to the Twin Cities . A group
of local investors and executives , including the general manager of the Saint
Paul plant, also submitted an offer. During this period, this group, under
the name of the Waldorf Corporation, approached the City of Saint Paul for .
financial participation, with the objective of improving their chances for
having the offer accepted. Waldozf asked the City, through the HRA, to acquire
certain real property and assets for approximately $4,500,000, including un-
needed industrial buildings and property as well as the right to excess steam
energy. Champion accepted the Waldorf offer, and the sale was consummated
in July 1985. The specific Waldorf Corporation assets to be sold are two
industrial buildings and underlying land on the southwest corner of University
� Avenue and Vandalis Street to the HRA. In addition, the HRA will receive the
excess st�eam capacity of approximately 800,000 million BTUs of usable steam
fram Waldorf Corporation at the s�e price it is received from the Norenco
Corporation but without the capital cost repayment obligation. The HRA intends
to market the excess steam in the future for the purpose of providing below
market rate energy to industrial, commercial and residential users .
� This entity, the Waldorf Corporation, purchased the pzoperty which had a Champion
International book value in excess of $100,000,000. Financing was arranged
, through the. General Electric Corporation. The Saint Paul plant employs a
substantial nimmber of people and adds millions of dollars annually into the
local economy and government ta�c accounts. Without the selection of this
: locally based group, it is possible this plant could have been closed and jobs,
taxes, and other benefits lost.
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The purchase of the above referenced assets is consistent with the activities
proposed in the West Midway-South Saint Anthony Redevelopment Plan and
will assist the HRA in fulfilling the objectives of the Plan. In exchange �
for the HRA's acquisition of such surplus Waldorf Corporation assets, the
Corporation has agreed to the following.:
1. Maintain corporate headquarters in Saint Paul for ten years. .
2. Maintain production at current levels (presently employing approximatelq
1000 people) at the Saint Paul plant for ten years.
3. Undertake a minimum of $1,000,000 over four years in impzovements within
the site.
4. To execute an assessment agreement for the period 1986-1994 indicsting
a market value of the remaining real property of the Waldorf Corporation
at $25,370,000 f or the term of the Agreement, though most recently valued
at approximately $7,536,100.
The ARA will issue approximately $5,250,000 in a tax increment revenue note,
with debt service of principal and interest to.be repaid solely f rom the in-
. creased property taxes the Waldorf Corporation has agreed to pay. Note pro-
ceeds will finance the acquisition of property, costs of issuance, bank fee,
capitalized interest and othez expenses. This note is not a general obligation
of the HRA or City of Saint Paul. The Tax Increment District to be created �
will be an economic development district and will have a duration and tax
increment collection period of eight years. The economic development district
is the most restrictive type of tax increment district in terms of the maxim�mm
ni�ber of years from which increment may be captured.
The tax increment notes will be privately placed through First Bank Minneapolis.
B. STATEMENT OF OBJECTIVES
The HRA will use tax increments and proceeds of tax increment note payable
therefrom to pay public costs of redevelopment associated with the West Midway '
Development Project (the "Project") as identified in the Redevelopment Plan
for West Midway-South Saint Anthony Redevelopment Plan (the "Plan") , which
Plan further sets f orth the objectives of the HRA for improvement of the Pr-
oject and the project area covered by the Redevelopment Plan. The HRA has �
. ' determined that a need exists to assist large, locally-based corporations,
. such as the Waldorf Corporation, involved in manufacturing� activities, in
becoming economically viable and able to compete with out-of-state competitors.
By reducing its initial indebtedness by approximately $4,'S00,000, with the
receipts from the sale of its assets to the HRA, Waldorf Corporation will be
better able to survive in the long term and therefore maintain and eventually
increase production and employment.
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The objectives of the HRA for improvement of this project are to create an
economic environment which will:
1. Increase employment within the Waldorf Corporation organization and there- �
fore the City of Saint Paul. The company employs approximately one thousand
people and expects to maintain thi's approximate level in the future.
2. Preserve and enhance the tax base of the County of Ramsey and the City .
of Saint Paul. An assessment agreement associated with this project under-
taking will increase the Assessor' s market value from $7,536, 100 agreed
with Champion to $25,3�0,000 for the period between 1986 and 1994.
3. Discourage this level of production fram relocating to another state.
If an out-of-state corporation had acquired the facilities, there would
have been a possibility that the Saint Paul plant would have closed and
operations transf erred elsewhere.
4. Leverage significant private iaves�ent by the use of limited public finan-
cing. ,
5. Stabilize and reduce heating and cooling costs of residential, industrial
and co�ercial users in the Midway area.
6. Intensify the usage of underutilized properties for the purpose of pre-
venting blight. The HRA intends to sell the property to the Saint Paul
Port Authority pursuant to a recourse redevelopment agreement in accordance
with this objective and the Camprehensive Plan. The Port Authority will
sell or lease the property f or industrial or manufacturing purposes.
C. DEVELOPMENT PROGRAM �
. The development program for this Project is further set forth in Section D
of this Plan. Generally, the role of the public sector in co�ercial and
industrial development has been to pzovide controls and incentives in order
to encourage and obtain needed development. Among the various mechanisms
available to the City, HRA and the Port Authority are: '
1. Acquisition
To acquire as authorized under the Housing and Redevelopment Act, Minnesota
' Statutes, and the Act:
(a) blighted areas and other real property f or the purpose of removing,
preventing or reducing blight or the causes of blight;
(b) open or undeveloped land blighted by virtue of conditions which have
prevented normal development by private enterprise;
(c) underused or inappropriately used land which may be converted to
co�ercial use at a reasonable cost without major clearance activity;
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(d) lands acquired by the HRA in the undertaking of �other redevelopment
projects and presently available for and suitable to the provision •
of new or rehabil�tated commercial use. Specifically, the HRA intends
to acquire the following property:
1) Owner - Waldorf Corporation PIN 11-34400-081-00
2200 University Avenue West �
Saint Paul, Minnesota
2) Owner - Waldorf Corporation PIN 11-34404-911-00
2200 University Avenue West
Saini Paul, Minnesota
e) Other real or personal property which furthers the objectives of the
- � Redevelopment Plan, including without limitation steam and the rights
to acquire steam at low cost.
2. Site Preparation and •Public Improvements .
(a) demolition, removal or rehabilitation of buildings and improvements;
(b) activities to correct adverse physical. characteristics of the land,
faulty division or plan of lots, inadequate access or utility service
or other development-inhibiting conditions;
(c) activities deemed necessary or desirable to remove, reduce or prevent �
other blighting factors and causes of blight;
� (d) activities deemed necessary or desirable to improve and prepare sites
for development or redevelopment for co�ercial and related use in
accordance with the PZan; and
(e) installation, construction or reconstruction of streets , utilities,
and other public improvements or facilities as necessary or desirable
for carrying out Plan objectives.
3. Co�ercial and Industrial Financing ,
It is the City' s, HRA's and Port Authority' s intention to provide afford-
able sources of financing to companies involved in the com�ercial and .
� industrial job producing sectors. This public participation is necessary �
to help start up companies improve their likelihood of survival and to
allow them to reinvest more of their gross earnings back� into the company
rather than diverting it to paq for fixed debt service. In addition,
public assistance serves to discourage alzeady existing concerns frcm
expanding outside of Minnesota. Public financial assistance can offset
negative business factors such as the long destination to suppliers and
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user markets.
There are a number of different financing mechanisms that can be used as
appropriate to accomplish the HRA's and Port Authozity's goals:
(a) Industrial Development Revenue Bond Loans - This provides below market
rate loans to finance industrial and commercial projects. .
(b) Urban Development Action Grant Loans - This federally funded program
provides low interest, long-term loans to industrial and co�ercial
projects with special emphasis on distressed areas.
(c) Tax Increment Financing - This locally administered tool provides
a means by which to redevelop blighted areas, assist industry and
create affordable housing.
(d) Land Lease - Rather than selling a project site to the developer,
. a long-term lease can be conveyed, thus spreading the developer's
land costs over a longer period and reducing cash equity requirements,
in return for an agreement by the developer to construct certain �
improvements .
(e) Assistance Payments - An agreement to pay a developer, with respect
to a specified square f oot area, the difference between fair market
value/costs and actual costs recovered from income qualified businesses.
(f) SBA 503 Loan Guarantee Program - This federally-sponsored program
provides loan guarantees to banks providing loans to qualified small
businesses.
4. Development on Each Parcel in District
Development will occur on each parcel of the District pursuant to development
� agreements between the owners and the HRA. This development will constitute
demolition, rehabilitation or renovation of property or other. site prepar-
ation. In addition, the HRA shall devote up to $100,000 of proceeds of .
the tax increment revenue note to making public improvements , including
the streets adjacent to all or same of the pazcels in the District.
D. DESCRIPTION OF TAR INCREMENT DISTRICT PROYERTY
• Tax Increment District Tsx Parcels and Legal Descriptions:
1 . 11-34400-851-00
Hewitt' s Out Lots lst and 2nd Division -
Vacated Myrtle accruing and Lot 85
2. 11-34400-862-00
Hewitt' s Out Lots lst and 2nd Division -
Vacated Myrtle Ave. accruing and NWly 50 ft. of Lot 86
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3. 11-34400-863-00 �
Hewitt's Out Lots lst and 2nd Division - _
Vacated Myrtle accruing and SEly SO ft. of Lot 86
4. 11-34400-871-00
Hewitt's Out Lots - lst and 2nd Division - �
Vacated Myrtle Ave. and vacated Pillsbury Street accruing and Lot 87 �
S. 11-34400-881-00
Hewitt's Out Lots - lst and 2nd Division -
Vacated Myrtle Ave. and vacated Pillsbury Street accruing and Lot 88
6. 11-34400-911-00
Hewitt's Out Lots - lst and 2nd Division -
Vacated Myrtle Avenue accruing and Lots 89, 90, and 91
7. 11-34400-131-01
Hewitt's Out Lots - lst and 2nd Division - �
Vacated Pillsbury, Wabash, Hampden and Myrtle accruing and Lots 106-113�
8. 11-34400-235-01
Hewitt' s Out Lots - lst and 2nd Division -
Wabash Ave. accruing as vac. in TS Doc. 571960 � Abst. Docs . 991329 �
Raymond Ave. accruing as vac. in Doc. 1645101 � Railway Place � Hampden
� Ave. accruing as vac. in Doc. 991319;
Desc. Tract: Blks. A thru D in Geo. H. Watsons 2nd Add. � in sd Hewitts
Outlots lst Div. , subject to rd as in Doc. 1821176; Lot 123
9. 11-34400-055-OI
. Hewitt' s Out Lot - lst and 2nd Division Vac. Wabash Ave. and vac. Hampden
Ave. accruing and FOL: Part SWly of Alley of Lot 105
10. 11-34400-050-01
Hewitt' s Out Lot -. lst and 2nd Division Part NEly of Alley of Lot 104 and
of NWly SO ft. of Lot 105 .
11 . 11-34400-041-01
Hewitt' s Out Lot - lst and 2nd Divisi Vac. Wabash accruing and FOL: Part
SWly of Alley of Lot 104
� 12. 11-34400-021-01
Hewitt's 0ut Lot - lst and 2nd Division �'ac. Wabash accruing and FOL:
Subj. to Alley over SEly 20 ft. ; Lot 103 and Alley Lot 102
13. 11-13200-060-19
Baker' s Addition to the City of St. Paul Subj to Alley 6 Hwy the FOL: Part
of I,ot 7 Ford Place S of Lot A George H Watsons rear W'� of Raymond Ave
as vac in Doc 1645101 accruing � Blk D Desnoyer Park part of NE '� of NW
'� of Sec 32 T 29 R 23 N
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14. 11-13200-171-18
Baker' s Addition to the City of St. Paul Lots 7-17, Bloc}; 18
E. DEVELOPMENT ACTIVITLES UNDE& CONTRACT
At the time this Plan was prepared, no contracts had been entered into ffinong • ,
the HRA, City, Port Authority or any other party.
See Section F for development and contractiag activity conteaplated duriag
the duration of the Tax Increment District.
F. EXPECTED DEVELOPMENT ACTIVITIES
1. Waldorf Corporation Improvements - The Waldorf Corporation will privately
invest a minimimm of $25,000 per tax parcel ovez fouz qea-s on each of the
f ourteen parcels in building and eligible improvements . Ir, the aggregate,
� the Waldorf Corporation will iavest a miaimum of $1 ,000,000 in qualified
improvemeats over this s�e period. These capital expencitures will modernize
the pbysical plant and increase operating efficiency, thus improving productivit�
A vendor development agreement specifying these co��ents will be executed
between the HRA and the Waldorf Corporatian.
2. Surplus Waldorf Corporation Property - The HRA will acqu:re with note
proceeds two industrial properties at a cost of $1,SOO,fl00 and will, ia
turn, deed them to the St. Paul Pozt Authority under the Lerms of a Re-
� development Agreement. The buildings are currently used as wsrehousing
facilities. and as such, are underutilized in zelatioaship to their potential.
The Port_Authoz'ity will redevel.op these properties.
� 3. District fleating - The HRA will acquize the rights to �'�idorf Corporation' s
excess steam available under contract �+ith the Norenco Gorporation. A
power agreement, governing the terms and conditions of the arzangement,
will be executed. This capacity �:ill be purchased with �ote proceeds at
a cost of $3,000,000. Within the first several years o` approval , the
HRA will contract with an enezgy company to undeztake the planning, fiaancing
and coastruction of a Midway District Aeating Project. The HR.A will,
through sale or lease proceeds , finance construction of a converter station
in the Plan area. The total cost of the converter station is estimated
to be $1,000,000.
. ' 4. Public Improvements - $100,000 will be earmarked fram note proceeds to
� finance the separation of storm and sanitary sewers �it:^.in the Project
area, as Well as to pay for aew curba, gutters, landscaping, dedication
of easements, other public improvements and site preparation costs. An
additional $200,000 will be earmarked from HRA sale or lease proceeds to
separate sewers and finance atzeet improvements.
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S. Additional Waldorf Property - Proceeds from the sale _or lease of HRA prop-
erty will be designated for the acquisition and development of future
surplus property of the Waldorf Corporation. $200,000 has been identified
for this activity.
G. PUBLIC COSTS OF THE PROJECT (USES) .
1. Tax Increment Revenue Note Costs �
a) Purchase of Waldorf Corperation assets = $ 4,500,000
b) Cost of Issuance = $100,000
c) Bank Fee = $105,000
d) Capitalized Interest = $445,000
e) Public Improvements = $100,000
Subtotal = $ 5,250,000
2. Borrowing Costs
a) Interest to be paid on revenue note
Subtotal = . $ 2,200,000
3. Other Costs
a) Steam heat converter station = $ 1 ,000,000
b) Sewer and street improvements = $200,000
c) Acquisition of additional surplus
Waldorf property = $200 000
�
d) Administrative expenses = $100,000
Subtotal = $ 1 ,500,000
� Total Costs (1, 2 and 3) _ $ 8,950,000
The HRA amend or alter any line item while maintaining the integrity .
of the total estimated expenditures.
H. BONDING
. The HRA intends to issue a $5,250,000 in �iRA tax increment revenue note in
. connection with this Project. This note will not be a general obligation of
the HRA or of the City of Saint Paul, and will be repayable solely from the
� revenues generated by the incremental property taxes to which the Waldorf
Corporation has agreed to pay. '.
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I. REVENUE TO FINANCE PUBLIC COST (SOURCES)
1. Tax Increments "
a) A market value �f property = � . $25,370,000 .
b) Total Assessed Value = $10,900,100
c) (Less) Original Assessed Value = $3,231,523
d) Captured Assessed Value = $7 ,668,577
e) Annual captured increment at 120 mills (to pay note
principal and interest) _ $920,229
f) Captured increment over life of district = $7,450,000
Excess tax increment may result from fluctuating mill rate levels and will
be available to the HRA to finance technical and feasibility studies for
the proposed Midway District Heating Project or to reimburse the ARA for
administrative expenses associated vith establishment and monitoring of
the District.
2. Proceeds from sale or lease of HRA assets to be devoted to public rede-
velopment costs other than the tax increment note.
a) Property Disposition Subtotal = $1,500,000
Total Sources (1 and 2) $8,95fl,000
J. ASSESSED VALUE OF PROPERTY
Pursuant to Section� 273.74, Subdivision 1, and Section 273.76, Subdivision
1 of the Act, the Original Assessed .Value of the tax increment district is
$3,231,523 for 1984 taxes payable 1985. This is the most recent assessed value
certified by the State Co�issioner of Revenue. For the five year period
preceding the base year, the average increased percentage in assessed value
was less than zero, and therefore the Original Assessed Value will not be
�adjusted for inflation during the term of the District. The Assessor has
indicated that the Original Assessed Value will not be increased for the fifteen
month period three months prior to approval of this plan.
R. ESTIMATED CAPTURED ASSESSID VALUE
The HRA has discussed the District with the Ramsey County Assessor to arrive �
� at reasonable estimate of fair market and assessed values for the purpose of
arriving at an estimated captured value for the�District. For purposes of
these discussions, the HRA ass�ed:
1. That current statutory assessment classifications will remain unchanged,
and
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2. That the original assessed value contained in Section J is accurate and
will remain constant.
The estimated captured assessed value upon execution of the assessment agree-
ment is $7,668,577. Section I outlines the steps involved in the calculation
of estimated captured assessed value. �
A tax increment revenue account will be established into which increments will
be deposited. Funds will be appropriated by the HRA during the year for:
1) principal and interest on the note
2) project costs and public redevelopment costs pursuant to Minnesota
Statute, Chapter 462
3) HRA administrative expenses
4) Ramsey County for distribution to taxing jurisdiction. �
The HRA intends to use all of the captured assessed value except that
portion of the captured assessed value or tax increment generated
thereby which it may determine to share with other jurisdictions as
- delineated in the financing resolution to be approved.
L. DURATION OF THE DISTRICT
The district is expected to endure as long as it may under the Act. Pursuant
. to Section �273.73, Subdivision 1 of the Act, the maximimm duration of this tax
increment economic development dist�rict is the lesser of ten years fram the
approval of this plan or eight years. fzam the date of receipt by the HRA of
the first tax increment. It is estimated that the HR.A will receive the first
tax increment in I986 .
M. FISCAL IMPACT ON OTHER TAXING JURISDICTIONS
The overlapping jurisdictions upon whose assessed valuation this tax increment .
financing plan could have an impact are:
- Independent School District No. 625, whose boundaries are coterminous with
. those of the City of Saint Paul.
� - the County of Ramsey, to whose assessed total valuation the City of Saint
' Paul contributes about 54X.
- the HRA, which is the requesting suthority.
- the Port Authority of the City of Saint Paul, whose powers of levy and
use of property tax revenue are limited.
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- Metropolitan suthorities--such as the Metropolitan Council, Metropolitan
Airport Co�ission, Metropolitan Transit Cammission, Metropolitan Waste
Control Co�ission, and Metropolitan Mosquito Control District. Of these
metropolitan authorities, only the Metropolitan Council , Metropolitan
Transit Cammission and Metropolitan.Mosquito Control District levy taxes
on real estate.
The impact on these taxing jurisdictions will be to deny them taxes on any
increase in the taxable value of the property in the district during the term
of the district. However, the HRA believes that the increase in market value
to $25,370,000 of the Waldorf Corporation parcels will only occur due to the
public intervention and the provision of tax iacrement financing. The existing
assessed valuation level, in which the taxing authorities share, will not be
affected or decreased by this financing.
N. REASONS AND SUPPORTING FACTS FOR DETERMINATIONS
1 . The West Midway Tax Increment Financing District within and for the West
Midway-South St. Anthony Park Redevelopment Area consists of a portion
of said: Redevelopment Area that does not meet the requirements for a re-
development district or housing district in the Minnesota Tax Increment
Financing Act, Minnesota Statutes, Sections 273. 71 through 273. 78. The
� HRA has found (for sufficient reasons the HRA has set forth in a resolution
adopted September 25, 1985) that the District is in the public interest
because:
� a) it will discourage commerce, industry or manufacturing from moving
their operations to another state; the St. Paul Champion property
could have been purchased by an out-of-state entity and been either
liquidated or had their production transfered to another site; and
b) it will result in increased employment in the City of St. Paul; and
c) it will result in preservation and enhancement of the tax base of
the City of St. Paul. It is an objective of the City of St. Paul
to increase the industrial propertq base.
The HRA, with the proceeds of the sale of its $5.,250,000 Tax Increment Revenue
Note of 1985 (West Midway Development Project) , will purchase from Waldorf
Corporation certain excess steam purchase rights and properties currently used
only as warehouses. This purchase was instrimnental in the purchase by
: Waldorf Corporation of the Champion Corporation assets, and in a vendor developmen
agreement Waldorf Corporation will promise to maintain its corporate head-
�quarters in the Citq of Saint Paul, Minnesota for ten qears, maintain
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production aL current levels at the St. Paul plant for ten (10) years, .
undertake a minimtmm over four pears of $1,000,000 impro��ements within the
site, a miaimimm market value f cr ad valorem tax purposes of its remaining
real property at $25,370,000 as of January 2, 1985, �though most recently
valued at approximately $7,536,100. �
The development and marketing of the steam energy and the productive use
of the previous warehouse facilities will create employment and enhance
the tax base of the City.
2. Private iavest�ent al.one would not reasonably be expected to maintain or
develop the facilities fox�erly owned by Champion Corporation. Without
the HRA's purchase snd development of the steam rights o: warehouses, these
facilities would not beput to more productive use.
3. The Saint Psul Comprehensive Plan contemplates industrial development in
the District and said Redevelopment Area. The Tax Increment Financing
Plaa will lead to more ozderly, effective and quicker development of the
co�ercial and industrial activities planned for this a:ea in the Saint
Paul Comprehensive Plan. -
4. The sound needs of the municipality as a vhole are for development of the
District and said Redevelopment Azea in the manner contemplated by the
Plan. Though development is dependent upon the tax inc:ement financing �
outlined in the Plan, and upon public zedevelopment efforts by the Pozt
Authority of Saint Paul, the development affords maxim� opportunity for
the development •or redevelopment of the property by private enterprise.
Private enterprise in the District includes Waldorf Corporation, the ex-
� pected users of steam energy, entities to whom the Port Authority will
sell or lease the warehouses , and entities to whom Waldo:f Corporation
may sell other parcels.
S. The City and authorities within the City have had � policy of not electing
the method of tax increment computation set farth in Section 273.76, Sub-
division 3, Clause (b). It has generally been considered, and is considered •
here, necessary f or all increment to support the development of the District,
directly or indirectlq through the payment of tax increment notes issued
f oz such purposes.
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, , � ,. , APPENDIX I
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�
HOUSING AND REDEVELOPMENT AUTHORITY
�������
OF THE CITY OF SAINT PADL, MINNESOTA
REDEVELOPI�NT PLAN
WEST MIDWAY-SOUTH ST. ANTHONY PARR
Approved by HRA: � , 1985
Approved by City of Saint Paul: , 1985
Pursuant to Minnesota statutes chapter 462
- � ;.
. . , : CJ� �!, -�?�3
PREFACE
The West Midway-South St. Anthony Park Pr�ject was undertaken by the Housing
and Redevelopment Authority of the City of Saint Paul, Minnesota in January,
1970 under the Federal Neighborhood Development Program (NDP) , Public Law .
90-448, 82 Stat. 518, and extensive redevelopment activities were carried
out in the Project Urban Renewal Area funded by NDP Program through mid-year
1975. Commencing mid-year 1975 funding f or this Project was provided under
the Federal Co�munity Development Block Grant Program (CDBG) , Public Law 93-
383, 88 Stat. 633. The currrent CDBG Program contains no funding for these
Redevelopment Project activities.
The Redevelopment Plan f or this Project was initially approved in January
1970, Authority Resolution No. 70-1/15-2 and City Council File No. 247103,
with annual adoption of new plans each subsequent year through January 1978,
. which latter Plan approved by Authority Resolution No. 73-1/24-16 and City
Council File No. 260555, as supplemented bq the 1981 Citywide Redevelopment
Plan, remained in effect until adoption of this Avgust 1985 Amended �
Redevelopment Plan.
This revised Redevelopment Plan identifies redevelopment objectives, land
uses and standards for development of the Pzoject Area, and lists the urban
renewal redevelopment techniques to be employed in carrying out these objectives. `
. Land uses are brought into conformity with the District 12 Plan component �
� of the Saint Paul Comprehensive Plan. Provision is made for a steam or hot
water district heating system, and a Waldorf Corporation Project undertaking
is identified by this Plan.
. This doc�ent constitutes the Redevelopment Plan for West Midway-South St.
Anthony Park Redevelopment Project. The text, appendix and accompanying maps
supercede the January 1973 Redevelopment Plan and all prior approved Redevelop-
ment Plans for the Project Area. A Tax Increment Financing Plan for part of
the Redevelopment Project Area, of even date herewith, constitutes the current
financing plan for this Redevelopment Project. �
A. DESCRIPTION OF URBAN RENEWAL AREA
Commencing at the point of intersection of the Westerly lot line of Lot
• one (1), Block two (2); Eustis' Addition to St. Anthony Park, Ramsey Co. , ,
Minn. , with the Southerly right-of-way line of the Burlington Northern
• Railroad, then northeasterly along said Southerly right-of-way line of
said Burlington Northern Railroad extended to the point of intersection
with the Easterly right-of-waq line of Manvel Street, then Northwesterly
along. the Easterly right-of-wsy line of Manvel Street to :the point of
interaection with the Northwesterly line of Block 1, St. Anthony Park,
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Minn. , then Northeasterly along said last described line to the point
of intersection with the Northerly right-of-way line of the Burlington
Northern Railroad, then Southeastezly along said last described line extended
to the point of int�ersection with the Westerly right-of-way line of the Minnesota
�� Transfer•Railway Company, then Southerl} along said western right-of-way line
of Minnesota Transfer Railway Company to the point of intersection with the
northern right-of-way line of Charles Street extended, then southeasterly �
along a line to a point on the southe:n right-of-way line of University Avenue
Avenue, then southerly along a line approximately 1 , 350 feet to the point
of intersection with the northern right-of-way line of *�innesota Transfer
Railway Company, then southeastezly �lor.g s2id line to the point of intersection
with the western right-of-way line of Prior Avenue, then southerly along
said line to the point of intersection with the northern right-of-way
� line of Interstate Highway Number 9=� , then northwesterly along said line
to the point of intersection with the westerly bour.dzzr of the City of
Saint PauL, then northerly along said line to the point of intersection
with the southern right-of-way line o` t�e Burlington �orthern Railroad
. which is the point of beginning, all according to tae r?at thereof on
file and �f record in the office ef the ?egister o` Dee�s within and for
said Ramsey County.
B. STATEMENT OF DEVELOPMENT OBJECTIVES
The West Midway-South St. Anthor.: ar_2 :s a distric: �::-:ch is vital to
the economic stability and growth o� t�e Citr of Sa:nt ��ul by virtue
of its industrial development. This development represents an important
part of the economic base of the Cit� 2nC provides employment opportunities
for residents of the City and the :�ietropolitan 2re2. Tne district also
contains residential development surrcunded by the industry and, in part,
interspersed among industrial develc�ner.t . The resider:tial development ,
� while providing needed housing for :es_cents of the Ci�.:, is subject to
encroachment and the adverse effects oi adjacent ir.dus�rial development .
The primary overall development object�ve in the 4;est ''�dway-South St.
Anthony area is to eliminate and/or �e'_iorate tnese existing conditions
which serve to inflict an econo�ic b?ight upon existing private investment
in the area and prevent new private ir.vestment froW occarring, which �
induce industries vital to the econcwic �ase of the Cit�• to move from
the district, which induce many of tze :esidents to no longer consider
. the area an attractive place to res�de , �.:hich threaten :he sou:ces of
public revenue, and which serve to iapair the health, s�fety, morals and �
general welfare of the City of Saint Paul and its residents.
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The conditions which have been found to exist which cause the above noted �
factora, as related to industrial development, include overcrowding of
. buildings on land, building obsolescence or faulty arrangement in building
design or improvement, inappropriate platting and development patterns ,
i.nadequate public facilities including� streets and sewer systems, deleterious
. land use and land use relationships, and other equally deleterious conditions.
There also has been found to exist an inability on the part of existing
firms vital to the economic base of the City to expand because of platting, '
land ownership and .development patterns, thereby forcing them to move
from the City and thus decentralizing the City, or forcing them to curtail
production and employment opportunities contributing to the general welfare
of the City. .
Conditions causing the above noted factors as related to residential
development include unsafe and unsanitary housing conditions; overcrowding;
faulty arrangement .in building design or improvement; lack of adequate
. light, ventilation or sanitary facilities; inadequate public facilities
such as streets, sewers , and schools; deleterious land uses and land use
relationships; and other equally �deleterious conditions .
There also has been found to be an inadequate supp�y o� decent, safe,
and sanitary housing in the City of Saint Paul , p�:ticLlarly for families
of low and moderate incomes and for the elderly, ar:d ar.� objective of this
Redevelopment Plan is to remove and/or a.�eliorate tne conditions noted
above, through public intervention so that private er.t�rprise will achieve
the means and encouragement to provide such decent, sa�e and sanitary
housing for the residents �of the West Midway-South St. Anthony area.
Additional general development objectives related to t?-,e above are:
. . . The achievement of an industri2l district whic� is designed to permit
efficient operation and expansion of physical plant , as required,
of all firms which by virtue of their intensive ut:lization of land
and high employment levels make .�aximum cor.tri:ut_en to the economic
stability of the City of Saint P2u1 . The dist:ict should be appro-
priately platted; contribute to the efficient aper�tion of each firm;
be inoffensive by virtue of noise, smoke or ot'r,er emissions; be safe;
be adequately serviced; be visually attractive; be economically stable;
and be served with affordable energy sources .
. . . The achievement of a residential environment co*�ducive to urban living
for all segments of the population. The neighborhood should have
�. amenities sufficient for modern needs, be safe, be adequately serviced,
be energy efficient, and be visually attractive and economically
stable.
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. . . The achievement of a proper relationship between the industrial and
the residential district in terms of design factors , traffic needs,
mutual protection against encroachment, and other factors contributing
�to the stability� and desirability of each. .
. . . The achievement of an economic environment which discourages eommerce,
industry or �manufacturing from moving their headquarters and operations .
to another state, which increases or maintains employment or which
preserves and enhances the tax b2se of the City of Saint Paul .
Specific objectives to be achieved within the context oL the foregoing are
as follows:
� 1 . To remove blight ; conditions of eeterioration, and inappropriate land
uses by:
a. Undertaking a program of acau:sition and denolition of buildings blighted
_ to the extent of being incapaole of being .rehabilitated, substandard
buildings , or buildings otherwise deterr..inec to represent blighting
influences.
b. Encouraging and fostering volunt�:v reh�bil:tatior. of property
- by owners. All rehabilitaticn will , as a minimL.�, meet all applicable
codes of the City of Saint ?�ul . In additicn property owners
will be encouraged to meet aaditional rehabilitati.on objectives
intended to assure the livsbility, attractiveness, and marketability
of properties . Such additional rehabilitation objectives are
set forth in Appendix A of this Redevelopmer.t Plan.
c. Undertaking a program of publ:c rehabilitation o: deteriorated
� buildings in order to demonst-ste rehabilita�ie- feasibility and
public acquisition of deterio*ated buildings for resale to parties
capable of rehabilitating then.
2. To achieve safe and adequate vehicular and pedestri�n circulation
patterns and capacity in the area through:
a. The achievement of an adequate arterial street svstem to provide
better external access into the area and to eliminate existing
congestion within the area.
b. The redesign and reconstruction of major streets where necessary.
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c. The elimination'or reduction of unnecessary through traffic, parti-
cularly heavy truck traffic in t�he residential area, which acts '
to the detriment of the residential environment.
d. The facilitating of internal vehicular traffic flow in the
industrial area.by the removal ,�where feasible, of impediments
� � to such traffic flow, such as on-street loading, truck maneuvering,
and parking.
e. The provision of off-street parking, loading, and truck maneuvering
areas where feasible by industrial and commercial uses generating
vehicular traffic.
f. The reconstruction or construction as needed of sidewalks, pedes-
trian-ways, street lights, traffic control devices, and other
facilities contributing to pedestrian comfort and safety.
� 3. To achieve office and office-related light manufacturing or processing
development related to the activities of the University of Minnesota
which is located in close proximity to the project area, related to
the industrial district in the project area, and capitalizing upon
the location of the project midway between the downtown areas of Saint
Paul and Minneapolis. . �
. �. Secure the development, redevelop:�ent or expans�on c: public and semi-
public facilities contributing to the attractiveness and safety of
the project area. Such facilities shall include, as appropriate to
the district of the project, playgrounds , churches , utilities and .
� sewers, fire stations, neighborhood centers ; and sir:lar facilities.
S. Specific objectives for the residential dist:ict are:
a. To increase the supply of decent, safe, and sanitary housing and
to encourage the provision of new housing of va:�-ing types appealing
� to and meeting. the needs and financial zbility of all segments
of the population; to stage the provision of sucn housing, where
feasible, so as to maximize its utilization by residents of the
area who may be displaced by public action; and to assure that
the special housing needs of the elderly are met .
b. To encourage new private investment by members of the community
by making sites available for new housing construction.
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c. To encourage to the fullest extent the continuing participation
of the members of the community as represented through the District
� Council working with the �Housing and Redevelopment Authority and
, other groups , agencies and departments in the continuing planning, �
� programming, and implementing actrivities under the CDBG Program.
d. To foster the economic stability of resident-serving commercial/
retail facilities in the neighborhood by acquiring and removing
blighted and economically obsolete commercial/:etail facilities;
making sites available for new commercial/retail construction;
and by encouraging the grouping of commercial/retail facilities
at appropriate locations in the neighborhood c:nere such facilities
can be mutually supporting and provide greater convenience and
service to residents .
6. Specific objectives for the indLStrial district sr2:
� a. Permit the orderly and p�anr.ed expansion of 12nd-intensive uses
�r,d make land available for ae» uses of a sini:ar type.
b. Eliminate unnecessary rail t:ack2ge, particula:ly where such facilities
conflict with orderly vehicul�: circulatior. or prevent assembly
of suitable development p2rcels, k•hile sti?1 assuring that adequate
rail service is provided to a:: �ir.ns requirin� such facilities .
c. Increase the operating efficiency of fixms through consolidation,
where feasible, when such ef:iciency is hindered by the necessity
to operate fram n�erous huildings scattered ti:roughout the industrial
district .
d. Discourage commerce, industr: or manufactu:ing �ro� moving their
operations to another state.
e. Maintain and increase emplor�er.t in the area.
f. Preserve and enhance the tax base of the Cit} o` Saint Paul .
g. Reduce the heating and cooli�g costs of reside::tial , commercial
and industrial energy consu:ne:s in the area.
h. Encourage creation of industria? development districts within or adjacent
to the Project Area consistent with Plan land use requirements as a
means of accomplishing Plan objectives.
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C. GENERAL LAND USE PLAN
1 . Generalized Land Use Map showing the following: �
a. Predominant land uses including:
Predominant land use categories of residential , commercial/general,
commercial/retail , industrial , and public uses are shown on the
attached Land Use Map (Map No. 1 Rev. ) . Public and institutional
uses are permitted within any of the residential or commercial
areas, and are generally considered to be supporting uses. However, �
major public uses are mapped in ozder to indicate general location
. or service areas.
b. Major Circulation Routes:
The Land Use Map indicates circulation routes tnat are .part of
or fixed by external or m2jor internal requizements . �
2. Description of Each Predominant Land Use Categor� on the Land Use
Map (Map No. 1 Rev. )
a. Residential I
(1) Description of intended character or function .
Areas designated Residenti�l I are intended to be rehabilitated
and enhanced essentiall; in accord with present development,
which usually consists of det�ched single-f�.�ily and two-family
. structures at a net residentisl density gene:ally not less
than seven dwelling units per acre and not exceeding fourteen
dwelling units per acre. Such areas are intended to provide
homes appealing primarily to families in the child-raising
stages, where family size nay ordinaril� be expected to meet
or exceed three persons per household. k'here new development
may occur in such areas , the function and character of such .
new development is to be consistent with that of the existing
development.
- (2) Types of Uses to be permitted �
. Permitted uses shall include detached single and two-family
homes and attached single family homes utilizing party wall
construction ("townhouses") . Townhouses will be permitted
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subject to limitations specified in paragraph (3) immediately
following. Also permitted are churches, schools, parks, nonprofit
institutions and other similar uses which are compatible with
and enharice the residential environment.
(3) Density �
The maximum overall net residential density shall not exceed
fourteen dwelling units per acre. Specific density limits
are as follows:
(a) Detached, single-family structures, both existing and
new, shall not exceed a density of twelve dwelling units
per acre.
(b) Detached two-family structures, both existing and new
shall not exceed a density of twelve dwelling units
per acre.
(c) Townhouse construction, as defined above, may be permitted
on appropriate sites at a density not to exceed sixteen
dwelling units per acre, provided that such construction
� does not cause the overall densitq in the Residential
I area to exceed fourteen dwelling units per acre.
b. Residential II
. (1) Description of intended character of functions.
Areas designated Residential II are intended to provide a
wide variety of housing types serving a broad cross-section
of the populstion. This area is intended to encourage the
retention and enhancement of residential housing types which
currently consist of 1 and 2 family structures and also to
provide new housing resources which are appealing to young
families, elderly, and other segments of the population whose
housing preferences may not be primarily oriented to the '
detached, single-family, or two-family home. This area also
is intended to optimize the potential for its residential
- utilization, because of its proximity to jobs, accessibility
to major thoroughfares, location between the University of
Minnesota campuses and its equidistant location to the Saint
• Paul and Minneapolis central business districts.
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(2) Types of Uses to be Permitted
. Permitted uses shall include detached single and �two-family
homes, townhouses and garden apartments and other multi-family .
� . - residential development. . Higher density multi-family development
also is permitted at appropriate locations subject to limitation
specified in paragraph (3) i�ediately follok�ing. Also permitted
are churches, schools, parks, nonprofit institutions, and
other similar uses which are compatible with and enhance the
residential development.
(3) The maximum overall net residential density shall not exceed
24 d.u./acre. Specific density limits aze as follows:
(a) Detached single-family structures, both existing and
_ new, shall not exceed a density of 12 d.u./acre.
. (b) Detached two-f2milv structures, both existing and new,
. shall not exceed a density of 14 d.u. /acre.
(c) Townhouses shall not exceed a density of 16 d.u./acre.
(d) Garden or walk-up apartments shall not exceed a density
of 24 d.u./acre, except in instances wnere site design
features and/or location warrants , a density not to
exceed 44 d.u./acre may be permitted. Such circimmstances �
� which may warrant multi-family densities higher than
24 d.u./acre may include, but are not limited to, provision
of parking under the structure or .�ulti-level parking,
proximity to public open space, or other circumstances
� as determined by the Authority.
(e) higher density structures, as may be approved by the
Authority, shall not exceed a density of 60 d.u./acre,
except where it can be demonstrated Lhat by virtue of
proposed occupancy, absence of tenant-owned automobiles,
or other similar factors mitigating against adverse
effects on the neighborhood, a der.sitv not to exceed
72 d.u./acre may be permitted.
c. Residential III � ,
' (1) Description of Intended Character or� Function
Areas designated Residential III are intended to contain a
variety of housing types appropriate to highe�-density living.
Such areas are intended to be in close proximity to, and supportive
of, neighborhood or commercial centers, or located where special
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.� � _ . .
conditions such as large open spaces, bluff lines, proximity '
to high-intensity uses, adverse abutting uses, or soil conditions
� ' dictate that high density residential development is warranted
� or is the only feasible development.
• � •(2) T�pes of Uses to be Permitted �
Permitted uses shall include existing rehabilitable, detached,
single and two-family houses, but it is the intent of this
Redevelopment Plan that detached single-family or two-family
houses not be constructed or moved into areas designated Residential
III. Other permitted uses include townhouses , garden or walk-up
multi-family structures, and high-rise structures. Also permitted
are churches, schools, parks, nonprofit institutions and other
similar uses which are conpatible with and enhance the residential
environment.
(3) Density
: The maximum overall net residential density shall not exceed
44 d.u./acre. Specific density limits are as follows:
(a) Townhouses shall not exceed a density of 16 d.u./acre.
(b) Garden or walk-up apa:taents shall not exceed a density
of 44 d.u./acre.
(c) High-rise development will be permitted at densities
up to a maximum of 72 d.u./acre in locations as approved
by the Authority.
d. Commercial/General - -
(1) Intended Character or Function
The area delineated commercial general is intended to
encourage the further development of office, industrial
or general use that is not noxious or o:fensive by reason
of the emission of odor, smoke, gas, noise, or by reason
- of excessive fire hazard. The area is intended to provide ,
sites for the development of offices and related light
manufacturing or processing activities which may be
' housed in office-type structures and not requiring ope� .
storage of materials or finished products. The area,
by virtue of its exposure to University Avenue, and
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adjacency to manufacturing and other industrial plants, is
to be attractive for the office functions of nationally,
regionally, and locally oriented firms, both existing and
new, including those fi=ms whose manufacturing activities
occur elsewhere within the West Midway area.
(2) �pes of Uses Permitted
Permitted uses include retail facilities of a city or region
serving nature and office uses. Fabrication or assembly
facilities, light manufacturing, closed storage and distri-
butive functions also will be permitted if the nature and
character of such functions contributes to the character and
function of the area as described above. Transient housing
also will be permitted at appropriate locations. Excluded
, will be all resideatial uses, open storage and those uses
noxious by reason of odor emission, dust, smoke, noise, gas
or blare.
(3) Density and Development Controls
Building coverage limitations, setbacks, off-street parking
and loading spaces shall be required of new constzuction and
shall be established by the Authority prior to land marketing .
activities.
e. Industrial
. (1) Character or Function
The intent in this area is to assist city, regional and
national oriented f ixms in meeting the requirements of more
efficient, modern industrial and distributive operations,
to consolidate or group appropriate related and mutually
supportive firms and to eliminate inefficient, scattered
holdings and platting; to improve off-street parking and
loading spaces; and to rehabilitate existing sound structures
and replace inadequate facilities.
(2) Types of Permitted Uses
Permitted uses for this area will consist of heavy and ligbt
industry (provided tha� no use noxious by reason of odor
emission, dust, smoke, noise, gas or glare so as to interfere
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. . , . � � . . ������
� �� � - �
with other uses in this area will be permitted) and appro-
priate supporting office and co�ercial facilities. Residential
uses will be excluded from this area. Appropriate special
�erformance standards will be met. and approved by the Authority
in order to insure environmental compatibility.
(3) Development Controls
Building coverage limitations, setbacks, off-street parking
and loading •spaces shall be required of new construction
and shall be developed by the Authority prior to land marketing
activities. Where industrial uses abut the residential district,
appropriate special performance standards will be applied
in order to assure the environmental compatibility of the
abutting uses.
3. Planning Criteria or Standards to be Used
a. Accessory and Supporting Uses
Where residential is the predominant use, home occupations, off-
street parking facilities and public and semi-public facilities
intended to serve residents of the area may be permitted as author-
ized by the codes and ordinances of the City of Saint Paul, subject
to review and approval by the Housing and Redevelopment Authority.
Parking areas provided in all land use areas shall conform to
� the applicable codes and ordinances of the Citq of Saint Paul ,
and shall be landscaped, screened from view, shall be designed
to facilitate internal circulation, and shall not impede traffic
on ad j acent rights of way.
b. internal Circulation System �
(1) The vehicular circulation system is intended to separate through
traffic. This traffic separation will considerably preserve
and improve the desirability of the residential area by eliminating
through truck traffic, and will enhance and contribute to �
the efficiency of the industrial district.
(2) Design standards shall be applied to all circulation improvements.
In addition, traffic control devices shall be modern and efficient
throughout the neighborhood.
c. Additional Public Improvements
(1) All deteriorating oz unimproved streets, sidewalks, curbing
and alleys shall be brought up to city standards.
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(2) The separation iato storm and sanitary sewer systems shall
replace combined sewer lines Wherever feasible. .
�- (3) Inadequate utilities such as obsolete water lines and street
lighting shall be replaced wherever feasible.
(4) Parks , playgrounds and other zecreation and educational facilities
� shall be provided wherever necessary and feasible to meet
the needs of the area.
(5) Damaged or diseased street trees shall be replaced as well �
as appropriate planting of new street trees and other landscaping
� in accordance with a comprehensive street tree pzogram and HRA �
design standards.
(6) Expansion of steam or hot water district heating systems shall
be provided where feasible to meet the energ� needs of residential,
commercial and industrial custamers of the area. �
(7) Easements and public rights of way shall be provided where
necessary to improve circulation and access. �
D. URBAN RENEk'AL TECHNIQUES TO BE USED TO ACHIEVE PLAN OBJECTIVES
While the Authority is limited by annual funding in the extent to which .
. it can perform renewal activities, the following techniqLes can be used
in the West Midway Redevelopment area in order to meet tne above recited
� development objectives:
. Acquisition of properties and demolition of structures thzt aze substandard,
blighting influences, infeasible to rehabilitate, o: those needed for
public purposes or to effect necessary changes in land use; acquisition
of properties so identified in clear�ance and redevelopment sections,
regardless of building conditions, if such acquisition is necessary or
- desirable in the determination of the Authority to achieve the objective
of the Redevelopment Plan; service to owner of existing properties to ,
be rehabilitated by offering architectural and landscapir:g information
and advice concerning available financial assistance; accuisition, re-
habilitation and subsequent resale of residential properties for occupancy
- by low and moderate income families; public acquisition� e� deteriorated
bnildings where, as determined by the authority, the owner is unwilling
, or unable to rehabilitate such buildings to program. standards , for sub-
sequent resale to parties capable of rehabilitating them f�r low and ,
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moderate income housing; purchase of vacant or underutilized property,
which through subsequent resale is made available for reuse to meet Re-
development Plan objectives; provision of public improvements; relocation
of site occupants displaced by public action; property management; site
preparation, vacation of unnecessary streets and alleqs; removal of im-
� pediments to land disposition, creation or elimination of easements;
disposition of land f or public and private uses; enforcement of Plan .
requirements; and other activities as necessary in order to achieve the
objectives of the Plan.
In using these urban renewal techniques, it will be the Authority's objec-
tive to take maxim� advantage of available federal, state and local
financing tools including Minnesota Housing Finance Agencq home improve-
ment and ownership progrmms, Department of Energy and Economic Development
assistance programs, the Small Business Administration 503 Program, City
of Saint Paul Comaaercial Rehab Loan Program, Cammunity Development Block
Grant f unds, U rban Development Action Grant funds and loan repayments,
Port Authority of the City of Saint Paul programs, tax exempt industrial
development bonds, tax incre�ent revenue bonds or notes, and market rate �
lender funds.
1. Rehabilitation
All properties in the West Midway-South Saint Anthony Park area shall
comply with the standards set forth in all applicable statutes, codes, .
. and ordinances as amended fram time to time, relating to the use
maintenance, facilities, occupancy of existing property, including,
_ � but not limited to, the building, plimmbing, heating, electrical,
housing and pollution codes. �These code standards are hereby incor-
- � porated by reference and made a part hereof. Additional rehabilitation
objectives are set forth in Appendix A attached hereto, Yroperty
Rehabilitation Objectives, June, 1972.
a. Conditions under which rehabilitation will be permitted
(1) Residential Rehabilitation .
Rehabilitation will be permitted on all properties which meet
plan objectives.
(2) Nonresidential Rehabilitation
Rehabi.litation will be encouraged on all properties which
, meet plan objectives.
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b. Conditions under which properties will be acquired for rehabil-
itation by the HRA and others
The Authority or others maq acquire property through direct purchase
for rehsbilitation if such property and its use is consistent
with the objectives and land use provisions of the Plan. .
The Authority proposes to purehase a nimmber of structures, re-
habilitate them and subsequently resell or lease them to low and
moderate income families in order to promote home ownership,
provide relocation resources for families, and to demonstrate
rehabilitation. . Ia addition, the Authority proposes to acquire
a number of. properties from owners who are, in the determination
of the Authority, unwilling or unable to rehabilitate them, and
resell the properties to new owners willing and able to rehabil-
itate them to property rehabilitation standards.
c. Property Rehabilitation Standards �
Minim� enf orceable standards for rehabilitation of all properties
are the codes and ordinances of the City of Saint Paul and the
State of Minnesota. Additional Propezty Rehabilitation Objectives
which represent desirable zehabilitation activities beyond those
required by codes and ordinances are set forth in Appendix A
attached hereto.
2. Land Acquisition
a. To Remove Substandard Conditions
Certain properties identified for acquisition as shown on Revised
Map No. 2, are to be acquired to remove substandard building
conditions. Such determinations weze made only after detailed
interior and exterior inspections of the properties were made
and incapability of rehabilitation was established. Additional .
properties outside of clearance areas may be subsequently acquired
or additional clearance areas may be identified in order to remove
substandard conditions upon identification by detailed inspection
of such properties. .
b. To Remove Blighting Influences
Certain properties identified on Revised Map No. 2 are to be
' acquired to remove blighting influences, including but not limited
to obsolete building types, incompatible uses, underutilization,
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. - .� . ���'��/���
overcrowding of buildings on the land, etc. Other buildings may
subsequently be identified for such acquisition if they are deter-
mined to present blighting influences.
c. To Provide Land for Public Improvements or Facilities
Properties may be acquired to provide necessary public facilities, .
including, but not limited to, street rights of way, parks, public
buildings, etc.
d. To Provide Land for Redevelopment
Properties so identified in Revised Map No. 2 may be acquired,
regardless of building conditions, if such acquisition is neces-
sary or desired in the determination of the Authority to achieve
the objectives of the Redevelopment Plan.
e. Special Conditions under which Properties .not Desigaated for
Acquisition May be Acquired
Pr�operties not identified on the Acquisition Map (Revised Map
No. 2) will not be acquired during the action year, except in �
' � those cases where a property is not economicallq feasible or
. desirable to rehabilitate, or the property is substandard requir-
ing clearance, or the property constitutes a bligh.ting influence
on the_ surroundiug area, and,in all cases, the property owner �
is willing to sell the property, the Authority, in its determi-
n�tion, msy acquire such properties.
In situations where these basic conditions are met, the Authority
will assign high priority to acquisition of those properties �
described in the above paragraph that:
(1) are necessary to assure the implementation of a previously
identified proposal, or
(2) take maxim� advantage of new development opportunities that �
arise during the action qear that are in accordance with
redevelopment plan objectives.
f. Statement of the Specigl Conditions under which� Properties Identi- �
fied as "To be Acquired" may be Exempt from Acquisition
Properties identified as "to be acquired" and which have been
" included because of their present condition and apparent cost
of necessary repair and/or other factors of blight may be exempted
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fram acquisition and clearance providing that the owners conclu-
sively demonstrate to the satisfaction of the Authority the feasi-
bility of conservation and rehabilitation and will enter into
aa agreement with �the Authority to rehabilitate the properties
to substantially conform to City Codes and Ordinances and this
Plan, or in some cases to purchase. adjacent cleared land or to
permit the removal of a second structure on the lot, or other •
action serving to remove the cause of a determination of blight;
and provided further that such exemption shall not apply where
acquisition in a clearance section is required in order to f ulfill
a planning purpose or otherwise achieve proper effectuation of
this Plan.
3. West Midway Development Project
a. Tax Increment Financin
� A tax increment financing district will be established on property
now owned by the Waldorf Corporation. An economic development
district pursuant to Minnesota Statutes Chapter 273.73 Subdivision
12 will be created. Tax increment revenue notes will be issued
in the amount of approximately $5,200,000 to the above project in
- accordance with the objectives of this Redevelopment Plan and tax
increment statute criteria.
b. Use of Tax Increment Proceeds �
The Authoritq will acquire with $1,500,000 in proceeds two surplus
parcels within the Waldorf Corporation boundaries as identified
in Revised Map 2. These properties will be conveyed by the Auth-
� ority f or private development purposes. In addition, the Authority
will purchase the rights to excess stesm energy capacity from
Waldorf Corporation for $3,000,000. This will allow the Authority
to eventually establish a hot-water district and steam heating
system in the redevelopment area foz industrial, commercial and
residential users. "
E. LAND DISPOSITION SUPPLEMENT
Properties identified for disposition during the action year shall be �
� used in accordance with the development objectives and land use controls �
of this Plan. Properties acquired by the Authority pursuant to the Plan
' may be disposed of by any of the following methods or combination thereof:
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-- D�nolish the structure thereon and dispose of the land at fair market
value for redevelopment in accordance with this Plan.
-- Sell or lease the property subjett -to its being rehabilitated to meet
the Property Rehabilitatioa Standards. .
-- Rehabilitate the propertq to meet Property Rehabilitation Standards
and sell the property at its fair �market value or lease at fair rental
value.
-- Retain or sell the residential property for developme.nt of low or
moderate income housing.
-- Dispose to public entities for the purpose of providing supporting
facilities and project improvements.
-- Sell or lease property on a recourse basis for the purpose of increasing
utilization of surplus property.
� In any case_, the Housin� and Redevelopment Authority may elect to dispose
of the properties individually or in combinat�ons thereof as wili best
_ accomplish the purposes of the Plan. All disposition of sites will follow
the requirements of State and Federal laws.
1. Building Restrictions �
Standards and controls outlined above, supplemented by a full set
of redevelopmeAt controls will be developed prior to the disposition
of each individual industrial parcel offered f or sale during the
: � action year. These docu�ents will include controls imposed by exist- •
ing city and state statutes and regulations, as well as an outline
of intended function for each parcel.
Included, also, will be an outline for suggested building materials,
landscaping treatment and treatment of open spaces, lighting, signs,
paving materials, etc. Size and location of parking and loading faci- �.
lities, as well as railroad spuz tracks, if anq, will be included.
Individual setbacks of buildings �rill be related to location and
function of abutting streets as well as the required location of
access and parking spaces for each parcel. These will be designed '
and located so that minimum frictions for turning movements will be
encountered. "
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Also included in the proposed development standards will be provisions
which control the height, bulk and setback of buildings.. ' Restrictions
against air and water pollution as well as vibration and noise will •
� be outlined. • '
Special consideration and design standards will be developed for any
� industrial property to be disposed of during the action year which
abut or face. residential areas or property.
2. Circulation
Major existing and proposed arteries and thoroughf ares have been
identified. These will provide access into and through the area with �
� minimal friction or traffic conflicts.
Improvement and redesign of interior streets will be necessary to
. achieve safer and more efficient street systems, reduce the ntmmber.
of intersections, permit the elimination of small, odd-shaped blocks,
and to permit assembly of land.
3. Redeveloper' s Obligations �
The general requirements tc be imposed by the Contract for Sale between
the redeveloper of property and the Housing and Redevelopment Authority
of the City of Saint Paul.
. a. To .develop the land purchased in accordance with the controls
and objectives of the Urban Renewal Plan.
� b. To commence and compl�te the building of improvements on the land
within a reasonable period of time as determined by the Housing
and Redevelopment Authority of the City of Saint Paul .
c. Not to resell the land before improvements are made without the
prior consent of the Housing and Redevelopment Authority of the
City of Saint Paul.
d. Not to discriminate on the basis of race, color, religion, sex
or national osigin in the sale, lease, transfer., or occupancy
of the land purchased from the Housing and Redevelopment Authority '
of the City of Saint Paul.
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: � . � � . ����3��
.� � _. .
e. The contract and disposition documents will spell out in detail �
the provisions, standards and criteria for achieving applicable
objectives, requirements and regulations contained in this Re-
development Plan.
4. Urban Design Objectives and Controls
The Authority may contract for sale of property upon recei.pt and accep-
tance of preliminary •plans, but may not dispose of property under
such contract prior to receipt and acceptance of construction drawiags.
5. Duration of Control s �
The development controls and regulations will be ineorporated into
the deeds conveying land to developers and shall be maintained and
continued in effect for a period of thirty (30) years from the date
of approval of this, the Redevelopment Plan, by the City Council of
Saint Paul. �
F. OTHER PROVYSIONS NECESSARY TO MEET STATE AND LOCAL REQUIREMEIQTS
1 . Nondiscrimination �
Every contract for sale, lease or redevelopment of property within
the project area will include prohibitions against land speculation,
. require compliance with all State and local laws in effect from time
to time, prohibit discrimination or segregation by reasons of race;
religion, color., sex, or national origin in the sale, lease or occu-
pancy of the property; and require that this latter provision be made
� a covenant running with the land and be binding upon the redeveloper
and every successor in interest to the property. .
2. Vacations, Dedications and Covenants
- Vacations and dedications of public rights of way shall be accomp- �
lished by separate actions in accordance with State law and local •
ordinances and will be initiated by the Autt�ority or redeveloper.
Disposition agreements shall provide for the adoption of necessary
covenants on the disposition land f or its development exclusively
for public use and purpose by the City of Saint Paul .or for alter- �
native uses as permitted under this Plan.
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� . ��3`�3
. �
3. Citizen Pazticipation
*,. -_
Itlis the intent of this Redevelopment Plan, and of the governing
�body of the City of Saint Paul, that active participation by the citizens .
�� of the West Midway-South St. Anti�ony Park area, as represented by
the duly constituted District CounciZ, be encouraged in the continuing
planning and implementation of the renewal program.
Therefore, to the extent possible in a manner consistent with Federal ,
State, and local law and regulations , it is the intent that all activities
to be undertaken by the Housing and Redevelopment Authority under
the provisions of this Plan be undertaken with the knowledge and advice
of the duly constituted District Council.
G. PROCEDURE FOR CHANGES IN APPROVED PLAN
The Redevelopment Plan may be modified at any time by the Housing and
. Redevelopment Authority of the City of Saint Paul , Minnesota, in the manner
provided by law.
�
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. � - , . � . �����-���
, .� , _ . .
�
� � •
. HOUSING AND REDEVELOPMENT AUTHORITY � �
OF THE CITY OF SAINT PAUL, MINNESOTA
APPENDI% "A"
� : REDEVEIAPMENT PLAN
ALL PROJECT AREAS
- . �'�'— /333
Property Rehabilitation Objectives
Kitchen Facilities "
Each living unit shall have a specific kitchen space, six feet of counter
top, and space for cooking and refrigeration equipment, and for storage of
� utensils. Minimum areas and dimensions of kitchen storage space shall be
as follows:
a. At least 30 square feet of shelving in wall and base cabinets shall
be provided. Usable storage shelving under sink may be counted in
the total shelving needed.
b. At least 5 square feet of drawer area shall be provided.
. Space for Laundry Facilities
Adequate appropriate space for laundry equipment shall be provided.
Closets
Closet space shall be provided for each living unit, approximately 12 square
feet for the first bedroom, plus 6 square feet for each additional bedroom.
Bedroom closets shall be provided within each bedroom wherever p.ossible.
One additional closet located other than in a bedroom or a kitchen should
� be provided. Each living unit shall have shelf or drawer space for linens
of . at least 8 square feet.
General Storage
Each living unit shall have an appropriate designated space for general storage.
Attic and Basementless Space
� Attic and basementless spaces shall have minimum access openings of 12 x 22 �
inches. �
Painting and Decoration .
� Protective and decorative finish coating or surfacing shall provide (a) ade- ,
quate resistance to weathering, (b) protection of finished surfaces fram
moisture or corrosion, (c) an attractive appearance, �and (d) reasonable dur-
ability.
Basement and Ce12ar Floors .
All base�nent or cellar floors shall be paved in an acceptable manner.
Appendix "A"
_�_ -
r
, ' �S- /.:.�
.' , ... ,
Storm Equipment �
Weathertight. storm windows and doors shall be provided f or all window and
door openings.
Electric �
Living roams will be provided with at leas.t two duplex wall-type r.eceptacles.
Nonresidential Standards
The exteriors shall be maintained in a sound condition and attractive appear-
ance. All retail fronts shall be compatible with adjacent or nearby retail
frontage. All canopies, signs, awnings and other appurtenances shall be of
appropriate material , and shall be in good repair and properly installed.
Unused or deteriorated appurtenances shall be eliminated. All graphic elements
shall be harmonious with nearby retail frontage or surrounding residential
uses. Signs may not extend above the roof line of the structure. Appropriate
size lettering on windows stating address, business or professional name
and/or nature of business may be permitted. Free-standing signs are prohibited.
Off-street loading and parking shall be provided to the extent the parcel
�llows. � Plans for parking and off-street loading shall be submitted to the
Authority for approval .
Industrial or co�ercial proper�ties may utilize open storage, provided it
is screened from view from any public way.
To t�e extent possible, nonresidential properties shall comply to the "land
use provisions and building requirements ." .
Appendix "A"
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