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00-142ORIGINAL RESOLUTION Presented By Re£erred To Council File # 0 �-,� 7. Resolution # Green SheeC # �� o -c0 � WHEREAS, on September 28, 1994, the City Council of the City of Saint Paul established the Neighborhood Sales Tax Revitalization (STAR) Program, C.F. 94-1127; and WHEREAS, on Novembex 3, 1999, the City Council of the City of Saint Paul approved STAR grant funds of $260,000 and STAR loan funds of $390,000 for the Model Cities Brownstone project, City Council Resolution #99-1070;and 8 WHEREAS, Model Cities of St. Paul at that time anticipated a$250,000 CIB grant award for the Brownstone 9 project which was not awarded; and 10 11 WIIEREAS, Model Cities of St. Paul, Inc. subsequently submitted an application to the Department of 12 Planning and Economic Development for $250,000 in replacement funding; and 13 14 WHEREAS, the Department of Planning and Economic Development recommended a STAR loan of 15 $210,000 and a STAR grant of $40,000 for the project; and 16 17 WHEREAS, the $210,000 STAR loan will have an interest rate of 6.5% amortizing over ten years, with 18 payments deferred unti12006 and a balloon in 2011; and 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 WHEREAS, Notwithstanding the above, when the prior $650,000 non-City loan is paid off and the project has an annual net-operating income greater than $10,000, any annual net operating income in excess of $10,000 will be utilized to pay down the $600,000 STAR loan balance in annual balloon installments until the debt is e�inguished; and WHEREAS, the STAR Board approved the $210,000 loan and $40,000 grant at its meeting of Febn.iary 3, 2000; and WIIEREAS, Model Cities of St. Paul anticipates closing on a construcfion loan for the project in March, 2000; and WHEREAS, ttie $210,000 loan will be used for leasehold improvements and rehabilitation to facilitate the establishment of the Big Apple Bagel Factory operations and the $40,000 grant will be utilized for improvements to the facade of the building; and WHEREAS, the Borrower will comply with all federal, state and locallaws and policies ; and WHEREAS, the project will facilitate the rehabilitation of a building that had been vacant for many years; and CITY OF SAINT PAUL, MINNESOTA 39 WIIEREAS, the project will provide for job and entrepreneurship training opportunities for the hard to 40 employ Oo -14� 41 42 NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is 43 hereby granted for a loan in the amount of $210,000 and a$40,000 grant from the STAR Yeaz Round 44 Projects fund, under the terms described herein, and with such additional terms and conditions as the 45 Director of the Department of Planning and Economic Development of the CiTy of Saint Paul, Minnesota 46 deems necessary and appropriate. 47 48 BE IT FURTHER RESOLVED, the Director of the Department of Planning and Economic Development of 49 the City of Saint Paul, Minnesota and other appropriate City officials aze authorized to execute the necessary 50 documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the 51 City. 52 53 BE IT FURTHER RESOLVED, the budget for the STAR Program be amended as follows: 54 55 SPENDING PLAN 56 Current 57 Budget 58 59 Fund 930 City Sales Tax Capital Projects 60 61 P7-930-90305-0547-77160 379,648.02 62 STAR Year-Round Projects 63 64 P7-930-90305-0547-77341 390,000.00 65 P7-930-90306-0547-77341 260,000.00 66 Model Cities Brownstone 67 68 Net Change 0.00 69 70 ;2 OR(GINAL Amended Change Budget (250,000.00) 129,648.02 210,000.00 600,000.00 40,000.00 300,000.00 73 7[� Yeas Nays Absent 75 senanav Blakey �/ 76 Bostrom ']'] Coleman 78 Harris Lantzy 79 Aeiter g0 81 Adopted by Council: Date � , a`� a��p g2 83 Adoption Certified by Council Secretary 84 BY � '� � � � � .� � .� 9 �� 85 Approved by Mayor: Da � 86 87 $Y g8 Requested by Department of: Plannin & ECOnomic evelO�ment * By: w Form Approved by City orney By: Approved by M Submissio Council By: o c -44�- PED ACT PERSON 8 PFiONE Marie Franchett 6-6702 �� GREEN SH No 106484 BE IXJ COUNCIL AGENQ4 BY @4T� 2/i6/oo �� TOTAL # OF SIGNATURE PAGES Approval of attached resolution. PLANNING CAMMISSION CIB COMMITTEE CIVIL SERVICE COMMISSION eoa�e�row¢me arvcoue� � �..,� �� v b' D� � �«� ❑,.�,�.�,�. ❑��,.�,n �1J MYORIORAiORMRI j^[�� 1 Y T (CL1P ALL LOCATIONS FOR SIGNATURE) �� FI%ihis P�rm ever waketl uMer a co�Nact far Mis dePaRmerit? YES NO Has ihie DaeoMim aver heen e uH anWuYee4 YES NO Ooas ihis P�rm P� a cidll rwt normal�YP�� M anY curtent dty employee'7 YES NO Is Uxs p�eaJfifin e tefyMetl veMOYl , YES NO Model Cities of St. Paul Inc. is applying for $210,000 STAR Iaan and $40,000 STAR grant. The STAR Soard on February 3, 2000 approved t�,is funding for the Brownstone Project. Facilitate rehab of foxmerly vacant 61dg. Facilitate jobs and entre�neur training programs that will be part of the project. IFAPPROVEO None Project wi11 not move forward. OF TRANSACTION S ZS O OOO COSTrttEVENUE BUD6ETm (qRCLE ONE) �� NO souace �crrvinNw�oc - 9a3os-,osy7- 7�7��1- - - � . # �2/v, O o � INFORMATION (E%PI.NN) � 7 30 - �J u 306 - DS �f 7�� l-�"° °° �, d PUBLIC PURPOSE SUMMARY Track # _ 00—l4?- Project Name Bmwn�tr�na Pr�ar_t Account # 117_96501 ProjectAddress R39 UnivPrcet� AvPnnP City Contaet Maria Franr_hPH Today's Date nerPmhar R PUBLIC COST ANALYSIS Program Fundiug Source: STZiI� loan $Zfl€3,004, ST-AR grattt $4t?,OD4 InaerestRttae: 0 '£ypa: � I.oau X Grant fiot�t Subsit£y*: �o�: z�o.noa Su&sidizedR�te: [ � I'es j X ] I�TO j_] NTA jGiartt) Risk Itati�g: �$ccegtai�le (5°k res) � Su6szandai (2Q°k res} � Loss (IOQ°Ja res� X Boubtful �SO°fo res) gorgivabie {14t7Q10 resj 4�5,OQQ TotalPro�ect�ast: $2.2 million * Total Loan Subsidy: Pxesent value of the loan ovex its life, inctuding expected loss of pxincipal and intexest xate subsidy. PUBLIC BENEFIT ANALYSIS (Mark "1"forPrimaryBenefits and "2"forSecondaryBerie6ts) I. '! Re�aove BIig1��P�llution 1 Re�ab. Vacant Structure Remove V�caut Stnxcture Heritaee Preservazion II. Economic 8enefits I�npsave HealthdSa£ety/Se�riry Pu�slic ImprouemenLs 1 Gaods & Serviees Availahili�y 1 IvIainrain Tax Base Benefits III. Housing Development Benefits Irscrease Home t?wnership Stock � # uaits ne'ie consuvction: � # uniu conversion: iV. Job x 1€01� JmuaC� f� 1�U 1 � IncreaselMai�tain TaY Base a. r cucxe�t tax pmdu�ioxz: S,iJ7+� � est'dt�es a�buih: 45,694 � s�ez c� �h�ng� + az-: $,62d Address $pecial Hausing Needs Ratain Home Owners in �ity Affnrdabi� Housin� lies [ NA ] < �1 �tY Year 1 Yeax Z rmanent �� 10 l�a e $.88 9.09 m orat-y 3C1 rmanent) 27 27 � 112�intain H�rnsing _ � uniu sencat: r # uniu owner-occ.: >rate Welfare ap lies [ NA ] 1'ear 3 Year 4 Year 5 15 't5 9.37 9.&�a 3t1 32 za s.sa 35 ORIGINAL RESOLUTION Presented By Re£erred To Council File # 0 �-,� 7. Resolution # Green SheeC # �� o -c0 � WHEREAS, on September 28, 1994, the City Council of the City of Saint Paul established the Neighborhood Sales Tax Revitalization (STAR) Program, C.F. 94-1127; and WHEREAS, on Novembex 3, 1999, the City Council of the City of Saint Paul approved STAR grant funds of $260,000 and STAR loan funds of $390,000 for the Model Cities Brownstone project, City Council Resolution #99-1070;and 8 WHEREAS, Model Cities of St. Paul at that time anticipated a$250,000 CIB grant award for the Brownstone 9 project which was not awarded; and 10 11 WIIEREAS, Model Cities of St. Paul, Inc. subsequently submitted an application to the Department of 12 Planning and Economic Development for $250,000 in replacement funding; and 13 14 WHEREAS, the Department of Planning and Economic Development recommended a STAR loan of 15 $210,000 and a STAR grant of $40,000 for the project; and 16 17 WHEREAS, the $210,000 STAR loan will have an interest rate of 6.5% amortizing over ten years, with 18 payments deferred unti12006 and a balloon in 2011; and 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 WHEREAS, Notwithstanding the above, when the prior $650,000 non-City loan is paid off and the project has an annual net-operating income greater than $10,000, any annual net operating income in excess of $10,000 will be utilized to pay down the $600,000 STAR loan balance in annual balloon installments until the debt is e�inguished; and WHEREAS, the STAR Board approved the $210,000 loan and $40,000 grant at its meeting of Febn.iary 3, 2000; and WIIEREAS, Model Cities of St. Paul anticipates closing on a construcfion loan for the project in March, 2000; and WHEREAS, ttie $210,000 loan will be used for leasehold improvements and rehabilitation to facilitate the establishment of the Big Apple Bagel Factory operations and the $40,000 grant will be utilized for improvements to the facade of the building; and WHEREAS, the Borrower will comply with all federal, state and locallaws and policies ; and WHEREAS, the project will facilitate the rehabilitation of a building that had been vacant for many years; and CITY OF SAINT PAUL, MINNESOTA 39 WIIEREAS, the project will provide for job and entrepreneurship training opportunities for the hard to 40 employ Oo -14� 41 42 NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is 43 hereby granted for a loan in the amount of $210,000 and a$40,000 grant from the STAR Yeaz Round 44 Projects fund, under the terms described herein, and with such additional terms and conditions as the 45 Director of the Department of Planning and Economic Development of the CiTy of Saint Paul, Minnesota 46 deems necessary and appropriate. 47 48 BE IT FURTHER RESOLVED, the Director of the Department of Planning and Economic Development of 49 the City of Saint Paul, Minnesota and other appropriate City officials aze authorized to execute the necessary 50 documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the 51 City. 52 53 BE IT FURTHER RESOLVED, the budget for the STAR Program be amended as follows: 54 55 SPENDING PLAN 56 Current 57 Budget 58 59 Fund 930 City Sales Tax Capital Projects 60 61 P7-930-90305-0547-77160 379,648.02 62 STAR Year-Round Projects 63 64 P7-930-90305-0547-77341 390,000.00 65 P7-930-90306-0547-77341 260,000.00 66 Model Cities Brownstone 67 68 Net Change 0.00 69 70 ;2 OR(GINAL Amended Change Budget (250,000.00) 129,648.02 210,000.00 600,000.00 40,000.00 300,000.00 73 7[� Yeas Nays Absent 75 senanav Blakey �/ 76 Bostrom ']'] Coleman 78 Harris Lantzy 79 Aeiter g0 81 Adopted by Council: Date � , a`� a��p g2 83 Adoption Certified by Council Secretary 84 BY � '� � � � � .� � .� 9 �� 85 Approved by Mayor: Da � 86 87 $Y g8 Requested by Department of: Plannin & ECOnomic evelO�ment * By: w Form Approved by City orney By: Approved by M Submissio Council By: o c -44�- PED ACT PERSON 8 PFiONE Marie Franchett 6-6702 �� GREEN SH No 106484 BE IXJ COUNCIL AGENQ4 BY @4T� 2/i6/oo �� TOTAL # OF SIGNATURE PAGES Approval of attached resolution. PLANNING CAMMISSION CIB COMMITTEE CIVIL SERVICE COMMISSION eoa�e�row¢me arvcoue� � �..,� �� v b' D� � �«� ❑,.�,�.�,�. ❑��,.�,n �1J MYORIORAiORMRI j^[�� 1 Y T (CL1P ALL LOCATIONS FOR SIGNATURE) �� FI%ihis P�rm ever waketl uMer a co�Nact far Mis dePaRmerit? YES NO Has ihie DaeoMim aver heen e uH anWuYee4 YES NO Ooas ihis P�rm P� a cidll rwt normal�YP�� M anY curtent dty employee'7 YES NO Is Uxs p�eaJfifin e tefyMetl veMOYl , YES NO Model Cities of St. Paul Inc. is applying for $210,000 STAR Iaan and $40,000 STAR grant. The STAR Soard on February 3, 2000 approved t�,is funding for the Brownstone Project. Facilitate rehab of foxmerly vacant 61dg. Facilitate jobs and entre�neur training programs that will be part of the project. IFAPPROVEO None Project wi11 not move forward. OF TRANSACTION S ZS O OOO COSTrttEVENUE BUD6ETm (qRCLE ONE) �� NO souace �crrvinNw�oc - 9a3os-,osy7- 7�7��1- - - � . # �2/v, O o � INFORMATION (E%PI.NN) � 7 30 - �J u 306 - DS �f 7�� l-�"° °° �, d PUBLIC PURPOSE SUMMARY Track # _ 00—l4?- Project Name Bmwn�tr�na Pr�ar_t Account # 117_96501 ProjectAddress R39 UnivPrcet� AvPnnP City Contaet Maria Franr_hPH Today's Date nerPmhar R PUBLIC COST ANALYSIS Program Fundiug Source: STZiI� loan $Zfl€3,004, ST-AR grattt $4t?,OD4 InaerestRttae: 0 '£ypa: � I.oau X Grant fiot�t Subsit£y*: �o�: z�o.noa Su&sidizedR�te: [ � I'es j X ] I�TO j_] NTA jGiartt) Risk Itati�g: �$ccegtai�le (5°k res) � Su6szandai (2Q°k res} � Loss (IOQ°Ja res� X Boubtful �SO°fo res) gorgivabie {14t7Q10 resj 4�5,OQQ TotalPro�ect�ast: $2.2 million * Total Loan Subsidy: Pxesent value of the loan ovex its life, inctuding expected loss of pxincipal and intexest xate subsidy. PUBLIC BENEFIT ANALYSIS (Mark "1"forPrimaryBenefits and "2"forSecondaryBerie6ts) I. '! Re�aove BIig1��P�llution 1 Re�ab. Vacant Structure Remove V�caut Stnxcture Heritaee Preservazion II. Economic 8enefits I�npsave HealthdSa£ety/Se�riry Pu�slic ImprouemenLs 1 Gaods & Serviees Availahili�y 1 IvIainrain Tax Base Benefits III. Housing Development Benefits Irscrease Home t?wnership Stock � # uaits ne'ie consuvction: � # uniu conversion: iV. Job x 1€01� JmuaC� f� 1�U 1 � IncreaselMai�tain TaY Base a. r cucxe�t tax pmdu�ioxz: S,iJ7+� � est'dt�es a�buih: 45,694 � s�ez c� �h�ng� + az-: $,62d Address $pecial Hausing Needs Ratain Home Owners in �ity Affnrdabi� Housin� lies [ NA ] < �1 �tY Year 1 Yeax Z rmanent �� 10 l�a e $.88 9.09 m orat-y 3C1 rmanent) 27 27 � 112�intain H�rnsing _ � uniu sencat: r # uniu owner-occ.: >rate Welfare ap lies [ NA ] 1'ear 3 Year 4 Year 5 15 't5 9.37 9.&�a 3t1 32 za s.sa 35 ORIGINAL RESOLUTION Presented By Re£erred To Council File # 0 �-,� 7. Resolution # Green SheeC # �� o -c0 � WHEREAS, on September 28, 1994, the City Council of the City of Saint Paul established the Neighborhood Sales Tax Revitalization (STAR) Program, C.F. 94-1127; and WHEREAS, on Novembex 3, 1999, the City Council of the City of Saint Paul approved STAR grant funds of $260,000 and STAR loan funds of $390,000 for the Model Cities Brownstone project, City Council Resolution #99-1070;and 8 WHEREAS, Model Cities of St. Paul at that time anticipated a$250,000 CIB grant award for the Brownstone 9 project which was not awarded; and 10 11 WIIEREAS, Model Cities of St. Paul, Inc. subsequently submitted an application to the Department of 12 Planning and Economic Development for $250,000 in replacement funding; and 13 14 WHEREAS, the Department of Planning and Economic Development recommended a STAR loan of 15 $210,000 and a STAR grant of $40,000 for the project; and 16 17 WHEREAS, the $210,000 STAR loan will have an interest rate of 6.5% amortizing over ten years, with 18 payments deferred unti12006 and a balloon in 2011; and 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 WHEREAS, Notwithstanding the above, when the prior $650,000 non-City loan is paid off and the project has an annual net-operating income greater than $10,000, any annual net operating income in excess of $10,000 will be utilized to pay down the $600,000 STAR loan balance in annual balloon installments until the debt is e�inguished; and WHEREAS, the STAR Board approved the $210,000 loan and $40,000 grant at its meeting of Febn.iary 3, 2000; and WIIEREAS, Model Cities of St. Paul anticipates closing on a construcfion loan for the project in March, 2000; and WHEREAS, ttie $210,000 loan will be used for leasehold improvements and rehabilitation to facilitate the establishment of the Big Apple Bagel Factory operations and the $40,000 grant will be utilized for improvements to the facade of the building; and WHEREAS, the Borrower will comply with all federal, state and locallaws and policies ; and WHEREAS, the project will facilitate the rehabilitation of a building that had been vacant for many years; and CITY OF SAINT PAUL, MINNESOTA 39 WIIEREAS, the project will provide for job and entrepreneurship training opportunities for the hard to 40 employ Oo -14� 41 42 NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Saint Paul, that approval is 43 hereby granted for a loan in the amount of $210,000 and a$40,000 grant from the STAR Yeaz Round 44 Projects fund, under the terms described herein, and with such additional terms and conditions as the 45 Director of the Department of Planning and Economic Development of the CiTy of Saint Paul, Minnesota 46 deems necessary and appropriate. 47 48 BE IT FURTHER RESOLVED, the Director of the Department of Planning and Economic Development of 49 the City of Saint Paul, Minnesota and other appropriate City officials aze authorized to execute the necessary 50 documents in connection with the loan and grant, in form acceptable to the City Attorney, on behalf of the 51 City. 52 53 BE IT FURTHER RESOLVED, the budget for the STAR Program be amended as follows: 54 55 SPENDING PLAN 56 Current 57 Budget 58 59 Fund 930 City Sales Tax Capital Projects 60 61 P7-930-90305-0547-77160 379,648.02 62 STAR Year-Round Projects 63 64 P7-930-90305-0547-77341 390,000.00 65 P7-930-90306-0547-77341 260,000.00 66 Model Cities Brownstone 67 68 Net Change 0.00 69 70 ;2 OR(GINAL Amended Change Budget (250,000.00) 129,648.02 210,000.00 600,000.00 40,000.00 300,000.00 73 7[� Yeas Nays Absent 75 senanav Blakey �/ 76 Bostrom ']'] Coleman 78 Harris Lantzy 79 Aeiter g0 81 Adopted by Council: Date � , a`� a��p g2 83 Adoption Certified by Council Secretary 84 BY � '� � � � � .� � .� 9 �� 85 Approved by Mayor: Da � 86 87 $Y g8 Requested by Department of: Plannin & ECOnomic evelO�ment * By: w Form Approved by City orney By: Approved by M Submissio Council By: o c -44�- PED ACT PERSON 8 PFiONE Marie Franchett 6-6702 �� GREEN SH No 106484 BE IXJ COUNCIL AGENQ4 BY @4T� 2/i6/oo �� TOTAL # OF SIGNATURE PAGES Approval of attached resolution. PLANNING CAMMISSION CIB COMMITTEE CIVIL SERVICE COMMISSION eoa�e�row¢me arvcoue� � �..,� �� v b' D� � �«� ❑,.�,�.�,�. ❑��,.�,n �1J MYORIORAiORMRI j^[�� 1 Y T (CL1P ALL LOCATIONS FOR SIGNATURE) �� FI%ihis P�rm ever waketl uMer a co�Nact far Mis dePaRmerit? YES NO Has ihie DaeoMim aver heen e uH anWuYee4 YES NO Ooas ihis P�rm P� a cidll rwt normal�YP�� M anY curtent dty employee'7 YES NO Is Uxs p�eaJfifin e tefyMetl veMOYl , YES NO Model Cities of St. Paul Inc. is applying for $210,000 STAR Iaan and $40,000 STAR grant. The STAR Soard on February 3, 2000 approved t�,is funding for the Brownstone Project. Facilitate rehab of foxmerly vacant 61dg. Facilitate jobs and entre�neur training programs that will be part of the project. IFAPPROVEO None Project wi11 not move forward. OF TRANSACTION S ZS O OOO COSTrttEVENUE BUD6ETm (qRCLE ONE) �� NO souace �crrvinNw�oc - 9a3os-,osy7- 7�7��1- - - � . # �2/v, O o � INFORMATION (E%PI.NN) � 7 30 - �J u 306 - DS �f 7�� l-�"° °° �, d PUBLIC PURPOSE SUMMARY Track # _ 00—l4?- Project Name Bmwn�tr�na Pr�ar_t Account # 117_96501 ProjectAddress R39 UnivPrcet� AvPnnP City Contaet Maria Franr_hPH Today's Date nerPmhar R PUBLIC COST ANALYSIS Program Fundiug Source: STZiI� loan $Zfl€3,004, ST-AR grattt $4t?,OD4 InaerestRttae: 0 '£ypa: � I.oau X Grant fiot�t Subsit£y*: �o�: z�o.noa Su&sidizedR�te: [ � I'es j X ] I�TO j_] NTA jGiartt) Risk Itati�g: �$ccegtai�le (5°k res) � Su6szandai (2Q°k res} � Loss (IOQ°Ja res� X Boubtful �SO°fo res) gorgivabie {14t7Q10 resj 4�5,OQQ TotalPro�ect�ast: $2.2 million * Total Loan Subsidy: Pxesent value of the loan ovex its life, inctuding expected loss of pxincipal and intexest xate subsidy. PUBLIC BENEFIT ANALYSIS (Mark "1"forPrimaryBenefits and "2"forSecondaryBerie6ts) I. '! Re�aove BIig1��P�llution 1 Re�ab. Vacant Structure Remove V�caut Stnxcture Heritaee Preservazion II. Economic 8enefits I�npsave HealthdSa£ety/Se�riry Pu�slic ImprouemenLs 1 Gaods & Serviees Availahili�y 1 IvIainrain Tax Base Benefits III. Housing Development Benefits Irscrease Home t?wnership Stock � # uaits ne'ie consuvction: � # uniu conversion: iV. Job x 1€01� JmuaC� f� 1�U 1 � IncreaselMai�tain TaY Base a. r cucxe�t tax pmdu�ioxz: S,iJ7+� � est'dt�es a�buih: 45,694 � s�ez c� �h�ng� + az-: $,62d Address $pecial Hausing Needs Ratain Home Owners in �ity Affnrdabi� Housin� lies [ NA ] < �1 �tY Year 1 Yeax Z rmanent �� 10 l�a e $.88 9.09 m orat-y 3C1 rmanent) 27 27 � 112�intain H�rnsing _ � uniu sencat: r # uniu owner-occ.: >rate Welfare ap lies [ NA ] 1'ear 3 Year 4 Year 5 15 't5 9.37 9.&�a 3t1 32 za s.sa 35