98-232CITY OF SAINT PAUL �o��zz Fs� No. 98-23z
FZNAL ORDER IN
BY��� 3/
FILE NO �
VOTING WARD
In the matter o£ the condemnation and taking o£ certain properties for the new
Science Museum of Minnesota and for the construction o£ Eag1e Pazkway.
WFIEREAS, on November 6, 1996, the City Council adopted Council File No. 96-
1376, in which the City approved the acquisition of the real estate needed Por
the development of the Science Museum Project, and directed staff to proceed to
negotiate the acquisition of the real estate. Further, the City staf£ were
authorized to use eminent domain and legal counsel was directed to undertake
eminent domain proceedings if and to the extent necessary to aid in the
acquisition of such real estate; and
Wf�REAS, on November 6, 1996, the City and the Science Museum of Minnesota
entered into that certain Development Agreement, which sets forth the rights and
obligations of the City and the Science Museum with regard to the construction
of new facilities including a museum of not less than 300,000 square feet, a
parkinq ramp containinq at least 700 spaces, and several public improvements (the
"Upper Landing Improvements") (collectively, the "Project"). Attached hereto as
Exhibit "B" is a drawing which shows the general location and layout of the
Project; and
WF�REAS, included within the Upper Landinq Improvements is the construction
of Eagle Parkway, which will function as the entrance to the downtown from a
reconstructed Shepard Road. The desiqn plans £or Eagle Parkway show significant
landscaping and amenities designed to create a buffer between the residential
areas of Irvine Park and the Museum, and to provide a pleasing entrance into the
downtown area. Also included within the Upper Landing Improvements is the site
for Celebration Plaza, which will provide a public open space and be a
transitional setting from the urban, downtown development to the undeveloped and
natural areas of the river valley; and
WHEREAS, one o£ the City's obligations under the terms of the Development
Agreement requires the acquisition of real property owned by Plastics, Inc. by
no later than August 15, 1998, and that City staff has recommended the
acquisition of the Plastics` property through the process of eminent domain (the
Plastics' property is outlined on Exhibit "B"); and
WHEREAS, in Preliminary Order 98-152 dated February 25, 1998, a public
hearing was scheduled for March 25, 1998; the public hearing having been had upon
the above improvement upon due notice, and the Council having heard all persons,
objections, and recommendations relative thereto, and having fully considered the
same (a copy of said Preliminary Order is attached hereto as Exhibit "C");
BE IT RESOLVED, that the Council of the City of Saint Paul hereby
determines and orders the acquisition in £ee simple, absolute, of the real
property described on Exhibit "A" and shown on Exhibit "A-1" attached hereto and
the City OPficers and the City's legal counsel are hereby authorized and directed
to take all actions necessary to acquire said real estate by purchase or eminent
domain, including the use of quick-take procedures; and
BE IT E'ORTHER RESOLVED, that the Council hereby finds and determines that
the acquisition by purchase or by eminent domain of the real estate described in
98-�3z
Exhibit "A" attached hereto is necessary and serves a public purpose, that the
acquisition of said real estate will improve the economic base and aesthetic
condition of the City oP Saint Paul, and because without the acquisition of said
real estate the City would not be able to £ulfill its obligations under the
Development Agreement; and
BE IT FURTHER RESOLVED, that the acquisition by purchase or eminent domain
of the real estate described in Exhibit "A" attached hereto is necessary and
serves a public purpose in that the acquisition of said real property is needed
£or public improvements, including improvements to the road system of the City
of Saint Paul and providing £or land £or open space areas; and
BE IT FURTHER RESOLVED, that due to the provisions of both the Development
Agreement and for the circulation of traffic in and through the Project area, it
is necessary to acquire said real estate before the time within which the Court-
appointed commissioners could reasonably be expected to render their award,
whereby the use of quick-take procedures in accordance with Minn. Stat. � 117.042
is hereby specifically authorized; and
BE IT FINALLY RESOLVED, the City Officers and the City's legal counsel are
hereby authorized and directed to execute such documents and to take such actions
as are necessary to accomplish the acquisition by the City of the real estate
described in Exhibit "A" attached hereto.
COUNCILPERSONS
Yeas Nays
✓Benanav
✓�lakey
✓�ostrom
��oleman
✓Flarris � In Favor
�ntry
Reiter-Hb�<..� � Against
Adopted by Council: Date ��, l`�
)
Passed by Council Secretary
C'�T/
Mayor
1 i��Sev��
-Z-
-2 2
T.M.S.iREAL ESTATE DIVISION Date: March 17,1998 Green Sheet Number: 50043
EPOR1'NILN1' DII2EC1'OR C1TY COUNCII,
ntact Peison and Phone N�mber:
ATfORNEY CITYCLERK
Peter White 266-8853 [7pGgr DIILEClOR �.& MGT. SVC. Dllt.
YOR (OR ASSLSfAN19 1 OUNCII, RRCaexCg
ust be on Council enda by: March 25, 1998 (Scheduled Public H
OTAL # OF SIGNATIJRE PAGES 1 (CLIP ALL LOCATIONS FOR SIGNAT'URE)
CTION REQUESTED:
uthorize the acquisition of the Plastic Inc. site for the construction of the
ew Scienee Musevm and the construction of Eagle Parkway.
OMn�NDATiONS: APrROVE (a) OR REleC1• (R) ggONAL SERVICE CONTRACTS MUST ANSWER TTIE FOLIAWING:
1. Has the person/5rm ever worked under a contract for Utis deparhnent? YES NO
PI,ANNING COMMISSION A STAFF
. Has tbis person/Srm ever been a Cdy employee? YES NO
CIVII, SEAVICE COMMISSIOIV
. Does tLis person/fum possess a sin11 not normally possessed by any YES NO
current City employee?
c� conuHrrrEa
E lain all YES answers on a se rate sheet aud attach.
PORTS WIIICH COUNCII. OBJECTiVE?
COUNCII. WARD(S� 2 DLSTRICT PLANNING COUNCII, 9
TING PILOBLEM, IS5UE, OPPORTOHI'1'P (Who W6at, When, Where, Why?):
he City needs the authority to take the aetion to acquire the Plastics Inc.
site using the right of eminant domain. This requires a public hearing at the
ity Council.
VANTAGES IF APPROVED:
The new Science Museum site and the construction of Eagle Parkway can move
forward.
ISADVANI'AGES IF APPROVED:
Plastics Inc. will have to relocate their operations located on this site.
ISADVANTAGES IF NOT APPROVED:
he new Science Muaeum site and the construction o£ Eagle Parkway will not mov
£orward.
OTAL AMOUNT OF TRANSACTION: $` 2, 7 O O� O O 0 COST/REVENOE BUDGETED (CIItCLE ONE) YES NO
mresouxcE: Capital Improvement Bonds AcT1�ITYrrt��ER:
CR9fLW' u e4'vG�YSJ R�R'(�
ANC7AL INFORMATION: (EXPI.AII�
MAR 1 � �9�
9�-a3z
Exhibit "A"
All of Block thirty-four (34) (including alley and rights in adjoining right-of-
way�, Rice and Irvine's Addition to the Town of Saint Paul, according to the
recorded plat thereo£, and situate in Ramsey County, Minnesota.
Lots nine (91 and ten (10), Block thirty-five (35), Rice and Irvine's Addition
to the Town of Saint Paul, and that part of Lot One (1), Block thirty-£ive (35),
Rice and Irvine's Addition to the Town of Saint Paul, lyinq Southeasterly of a
line described as extending from a point on the East line o£ said Lot one (1�,
distant one hundred one and twenty-three hundredths (101.23) Peet Southeasterly
from the Northeast corner of said Lot one (1), to a point on the West line of
said Lot one (1), distant one hundred one and thirty-five hundredths (1Q1.35)
feet Southeasterly from the Northwest corner of said Lot one (1), according to
the recorded plat thereof on file and of record in the office of the Reqister of
Deeds in and £or Ramsey County.
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5� -z 3 Z
CITY OF ST. PAUL COUNC O.
PRELIMINARY ORDER BY ' 'u �
FILE NO. 1 0
VOTII3G WARD 2
In the Matter o£ condemning and taking the property described on the attached Exhibit
"A" and shown on the atCached map labeled Exhibit "B" for the construction of the
new Science Museum and for the construction of Eagle Parkway. (The site is owned
by Plastics, Inc.)
�
The Council of the City of Saint Paul having received the report of the Mayor
upon the above improvement, and having considered said zeport, hereby resolves:
1
2.
3
That the said report and the same is hereby approved with no alternatives, and
that the estimated cost thereof is $2,700,000 financed by Capital Improvement
Bonds.
That a public hearing be had on said improvement on the_25th dav of March,
1998,at 5:30 o'clock P.M., in the Council Chambers of the City Hall and Court
House Buildinq in the City of Saint Paul.
That notice of said public hearing be given to the persons and in the manner
provided by the Charter, stating the time and place of hearing, the nature of
the improvement and the total cost thereof as estimated.
COUNCILPERSONS
Yeas Nays
✓Benanev
✓�lakey
�strom
�leman
�rzis
�ntry
�ter
Adopted by Council: Date �c?o �S `��
Certified Passed by Council Secretary
�In Favor By �_
0 Against
Mayor
E'xt�� n, lT '�� „
9�-z 3 a
REPORT FOR
PRELIMINA.RY ORDER FOR CONDEMNATION AND TAKING
OF CEI2TAIN PROPERTIES OWNED BY PLASTICS, I�C.
FOR THE NEW SCIENCE MUSEUM PROJECT FOR
CONSTRUCTION OF EAGLE PARKWAY
On November 6, 1996, the City Council adopted Council File No. 96-1376, (see Exhibit
A) which was a Resolution Approving and Authorizing Execution of a Development
Agreement With the Science Museum of Minnesota ("SMM"), a Construction Grant
Agreement with the State of Minnesota and Other Necessary Docutnents in Connection
with the Science Museum Project. In the aforementioned Resolution, the City approved
the acquisition of the reai estate needed for the development of the Project, and directed
staff to proceed to negotiate the acquisition of the real estate. The City authorized the use
of eminent domain and to undertake such eminent domain proceedings if and to the
extent necessary to aid in the acquisition of such land, and, if found to be necessary.
2. The Science Museum Project is an apptoximately $100 million project. The City on
behalf of the SMM, has accepted $31.2 million of grants from the State of Minnesota. A
condition of the State grants is that the City own the real estate upon which the Project is
built which includes Plastics, Inc. (See Exhibit B).
As part of the 1996 Development Agreement the City obiigated itself as part of the
acquisition to purchase and demolish Plastics, Inc by august 15, 1998 and substantially
complete Eagle Pazkway (a new road at the westem end of the SMM Pioject which
bisects the Plastics property) by April 15, 1999 to avoid damages to the City under the
SMM Development Agreement.
In 1996 the City has budgeted in excess of $18.0 million of local funds to undertake the
SMM Project including $2.7 million dollars for the Plastic taking.
5. Since the fall of 1995, the City and Port staff have investigated more than 20 sites to
relocate Plastics and their Bagan facility in Saint Paul and structure a proposal. Over the
last yeaz that has been updates to the City Council or HRA Boazd on Plastics in Februazy
and Mazch 1997, as well as the City approval on September 24, 1997, in CF 97-1190 to
relocate Plastics and Eagan facility to the Citgo site, through the Port Authority, for
approximately $20 million dollazs.
6. In early December 1997, the City was informed that Newel Corporation�the parent of
Plastics, Inc. that Plastics would not execute a development agreement with the Port
Authority to relocate their combined Eagan and Saint Paul facility at the Citgo site. It
was agreed by both parties because of SMM schedule, that if negotiated settlement could
not be reached by January 31, 1998, for retaining the manufacturing operations in an
F:\USERS\WHITEIW PDATANIAILMESSPLAST.CON
9�-z3Z
100,000 squaze foot building in Saint Paul, the condemnation process would begin.
7. The Pretiminarv Order for the takina of Plastics is to set a pnblic hearinQ on Mazch 25.
1998.
Prepared by Bob Geurs - PED 266-6b53
F: W SERS\ W HITEI W PDATA�hfA1LMESS�PLAST.CON
9�- z 3 2
' ' � • • r � Council File # '��. �Tr'�Y �`�t_�
� -.° f� f n arv�erv oco-�•�`►g�
° ' ` ` ' ` ` �' ` ' ` Gceen Sheet # 3 � � R S
RESOLUTION
OF SAfNT PAUL, MiNNESOTA v�3
Presented By
Referred To
Committee: Date
1 RESOLUTION APPROVING AND AUTHORIZING EXECUTI�N OF A
2 DEVELOPMENT AGREEMENT WITH
3 THE SCIENCE MUSEUM OF MINNESOTA, A CONSTRUCTION
4 GRANT AGREEMENT WITH THE STATE QF MINNESOTA
5 __, AND OTHER_NECESSARY DOCUMENTS IN CONNECTION WITII .-- ..
6 - THE SCIENCE MUSEUM PROJECT '
7
8
9 WHEREAS:
1Q
11 �.. . � . .
12 1. City Council Resolution 87-1613 (November 10, 1987) and
13 HRA Resolution 87-11J4-2 (November 4, 1987) approved the
14 Redevelopment Plan and Development District for the Riverfront
15 Redevelopment Project and Development District pursuant to
16 applicable Minnesota Statutes. The Riverfront Redevelopment Plan
17 establishes the public purposes �or the acquisition of real
18. estate for the Project as further described in the Development
19 Agreement Exhibit c-1.
20
-- � --- --_—__ _: _ .. .. .. _ .
- - ------�— ------ - . _
=—?�^-'�"`-:�°==-=2_===::�P 643,.. -
_.._._..,�—=�- �---.._.,.,.... _. . _.- : -- . . :-. ; -_
:,-.. . -_-, . . _ w ,... .. _ . : " •- �- — � - ... w . . , . _ - �
. . ... _:._ _ ,. .::._
i =;,�- -- `y'�ec�i-on��;:_tHz=_City-"is=au��ioi�z'ec�—to-establish-and ma_i�tzzn" a .._ ---- ,: -:
. _ _..
="Z�=='"musei'Sm='�o'r'�lie`pfir_uose of - and enlightenment,
,:24_ _:_ixi�iuding, but not limited to, a museum of natural science and
25- teclinology (the "Governmental Program'�) and to exercise the
26 powers in Minriesota Statutes, Section 471.191, Lo acauire and
27 better facilities for a museum and to lease the same to a
28 non-profit organization to carry out the Governmer.tal Program.
29
30 3. The Science Museum of Minnesota, a Minnesota non-pro£it
31 corporation ("SMM") proposes to construct new facilities in the
32 Riverfront Redevelopment Area of the City oi_St. ?aul_, which .
33 �facilities will include, but are not limited to, a museum of not
34 less than 300,000 square feet (the "Museum"), a parking ramp
35 containing at least 700 snaces (the "Ramp"), and certain related
36 improvements (the "Uoper Landing Improvements") (collectively,
37 the "Project").
38
39 a. The Project will be one of the �irst major developments
�0 in the Riverfront Redevelopment Area, will draw a substantial
41 number of visitors to the City, and will have a signiiicant
42 employment impact.
43
?? 5. . _�_3—has-�iereto—approved—a—MemoY-ar��.�gt-�rE—
45 -�t�e�s�yr�ng bet z._.e r� �MM �..e—�3�e E�' " e�ao�r��a—e£
C �
J c_c ��q c �
O
».�„ � �.,I..a�� /}' P,1
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0
1' �'. ia8 O.S. Jd1TiL- YGLL1 b�-iT.+itytx JU�I�JVLyJ YLUYyK11ly
W!.YiytS"i.'✓� lAN/S�K Y ... � S ' . _ " d / .w...v.v.
2 const�uat,3on;a*or3c appo�tunstz�s ��or Paul�,resid,ents s throtig2i
„,..,
3 �,�ts.y�ffirmat-ive.:ac��an+poli�y:;�;
4
5. �5fi. 'The City Council has hereto approved a Memorandum of
6 Understanding between the SMM and the City (the "Memorandum of
7 Understanding") which set forth in a preliminary manner, among
8 other things, the obligations of SMM to construct the Project and
9 the contributions to be made by the City to the Project, which
10 Memorandum of Understanding, by its terms, was to be superseded
11 by a final development aqreeraent.
12
13 6;7?. In connection with the Project forms of the following
14 documents have been submitted to the City Council:
15 "
16 (a) a Development Agreement by and between the City
17 and SMM (the "Development Agreement") which sets forth the
18 rights and obligations of the City and SMM with respect to
19 the Project; . ,
20 .
21 (b) a Constzuction Grant Agreement by and between the
22 City and the State (the "Construction Grant Agreement")
23 setting forth the terms and conditions under which the State
24 has made a$30,000,000 grant to the City Por the Museum (the
25 "state Grant");
26
27 (c) a Disbursement Agreement Construction Grant by and
28 between the City and the State (the "State Disbursing
29 Agreement") setting forth the terms and conditions under
= 30- ---====:: �: �-iah-ich--the_ State Grant will- be disbursed - to pay for the =.�..
- - • - ----• -.._ . . ._ .
'-3�.=.:.:-_ -'- .':d"esign. and construction costs�of-the: Museum;
32 '...,. -... ._._... __. . . ...
33 (d) a Disbursing Agreement by and between the City and
34 3MM (the "Disbursing Agreement") setting forth the terms and
35 conditions under which the State Grant and the City
36 Contribution (as defined in the Development Agreement) will
37 be disbursed to SMM to pay costs of the design and
38 construction of the Museum and the Upper Landing
39 Improvements;
40
41 (e)_ a Ramp Lease by and between the City,and SMM (the
42 "Ramp Lease") pursuant to which the City agrees to lease to
43 SMM the land on which the Ramp will be constructed;
44
45 (f) a Museum Lease by and between the City and SMM
46 (the "Museum Lease") pursuant to which the City agrees to
47 lease to SMM the land on which the Museum will be
48 constructed; and
n9
50 (g) a Lease by and between the City and SMM (the "West
51 Building Lease") pursuant to which the City agrees to lease
52 to SMM the existing building currently occupied by SMM.
53
9�-z 3 Z
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--31:._.
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The above documents, together with all exhibits thereto, are
collectively rePerred to as the Project Documents.
RESOLVED:
1. The City Council hereby establishes the Governmental
Program and appraves and authorizes the Mayor, Clerk, Director,
Department of Planning and Economic Development and Director,
Department of Finance and Management Services (the "Authorized
Officers") to execute the Project Documents in substantially the
£orms submitted. The approval hereby given to the Project
Documents includes approval of such additional details therein as
may be necessary and appropriate and such modifications thereof,
deletions therefrom and additions thereto as may be necessary and
appropriate and approved by the City Attorney, the appropriate
staff person or by the officers authorized herein to execute or
accept, as the case may be, Project Documents prior to their
exeCUtiori; and said officers oz staff inembeYS are heYeby
authorized to approve said chanqes on behal£ of the City. The
execution of any instrument by the appropriate of£icer or
officers of the City herein authorized shall be conclusive
evidence of the approval of such document in accordance with the
terms hereoP.
2. The authority to approve Puture amendments to Project
Documents is hereby delegated to the Director, Department of
Planninq and Economic Development, subject to the following
-cond'itions: (a) such-amendments-do not'materially.adversely
--`-affect_•the...irrterests :o€ =the � Cit}�, -and . (b) .• snch .amendments- are - - -. .-. -
aaceptable�in form and substance to the appropriate staff person,
the City Attorney and any other counsel retained by the City to
review such amendments. Any amendments shall be executed by the
Authorized Officers described in paragraph 1 hereof. .
3. The authority to negotiate terms for a loan of
approximately $3,500,000 to assist in the acquisition of lands
for the SMM Project. The Budget Director and Airector of
Planning and Economic Development will by [November 30,1496] make
a recommendation to the City Council.on the.structure of the.loan.
and will investigate the feasibility of the following three
options: (1) a forgivable loan from the foundation community or
other non-profit organizations; (2) a City annual appropriation
lease;or 3) a City tax exempt revenue note which is secured by a
mortgage. Sources for the repayment of the loan may include but
are not limited to new District Heating and Cooling franchise
fees attributable to the SMM Project, temporary parking income
generated from the acquisition for the Project on the Ryan Block,
Puture sales proceeds from that property, and an annual Cultural
Star appropriation of $100,000 for the term of the loan.
4. The acquisition o£ the real estate described in Exhibit
C-1 of the Development Agreement is hereby approved, and staff is
9�-Z3�
�
1
2
3
4
5
6
7
8
9
10
11
iz
13
14
i5
hereby directed to proceed to negotiate the acquisition. The
City hereby authorizes the use of eminent domain and its legal
counsel is directed to undertake such eminent domain proceeding
if and to the extent necessary to aid in the acquisition of such
land and, if necessary, requests the Housing and Redevelopment
Authority to undertake such eminent domain proceeding.
__ r6;. The City's 1996 Budget is hereby amended to read as
shown on Exhibit A attached hereto.
Bostrom
Guerin
Harris
Megard
Rettman
Thune
Yeas 1fi avs �Absent
,�') I
�il I
�� i
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:/'
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-;
Adopted by Council
v
r-,
�
Date I\•�- (. 1y4�,
Requeste@ bv Departnen� c�:
By•
Form Approved by City Attorne}>
gy;
A rOved by Bud et Director for
S�i�mission to M�yor
B y : _
Ado�t�on Certified by Council AgpCoundi$y Mayor for Submissior
Sec e ary L
BY = � � F� :,��..�• :--�.- BY �
Approved by May r: Date i1 i yl�L�
; �
By : {�� �` , � �„�'j�.
1�� z3 Z
r
Inancin
Science Museum - City and Spte Contn'bution
C.�iGAT200
Exhibit A
Current
Budget Chan�
Scattered SRe 7ax Increment Finance District
Community Development Block Grant (CDBG) Contingencies
Urban Deveiopment Aetion Grani
1996 Capital Improvement 8onds
City of Saint Paut Sales Tax proeeeds - Cultural Account
River(ront Taz Increment Finance District
Civic Center Reserves
State o( Minnesota - Preiiminary Design Grant
Resolution Trust Corpore6on (RTC) assets
Science Museum of Minnesota
Repayment of Loan (9052)
Loan proceeds
Reimbursements/Temporary Income
Ramsey CounTy (morgue demolition)
Science Museum of Minnesoa (:�,W, Eagle St Acq.)
Parking income
.�- Spendina �-
-� Scrence Museum - City and State Cortfnbution
C9Cr0T20p
State of Minnesota - preliminary Design Grant
Land Assembly
AcquisitioNDemolitioNRelocation
Environmenial
Contingency
Rea{ Essateltegaf GosistMisc. •
SMM loan (52.5 million totai)
7ransfer - Civic Center Tum Around (0565)
3ransfer - SMM turn around oNer costs (0789)
NSP: teedes Iine reloca4on (0784)
•�� ���
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.�� ���
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�� ���
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2.500.000
3.549.500
100,Q�0
220.500
25.000
14.900.000 3,895.000
��� �•
c ��. ��
���
���
1.500.000
242.000
758.000
14.9pp.ppp
K :1 N�
(125.000)
2G5;000
3,895,D00
` �
Amended
Budget
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2.500.000 � ..
3,549,500
100.000
220.500
25,000
18.795,000
S,OOO,OCO .
:� ���
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7.500,000
242.000
758,000
18.795.000
' Excludes 53,100,0pp of 1997 CIB Bands not yet appropriated by t`�e Mayor and Gity Councit. If approved, City
contribution for pubiic improvements will total 510,500,Q'�.
9�-Z � z
Parcel 1
Parcel 2
Parcel. 3
Parcel 4
Parcel S
Parcel 6,
EXHZBIT C-1
DESCRIPTION OF THE LPND
Pormer Ramsey County Norgue
West - a, b, c& d
Plastics - a & b
272 Chestnut House
Eagle/Exchange/Kellogg area for right of way £or
Eagle Parkway Irr.orovements
a. Portion of the former Rehab Center land owned
by Robert Walsh/Seven Corners Hardware
b. WJW Properties
Portion of District Energy Property
331479.9
C-1
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CITY OF SAINT PAUL �o��zz Fs� No. 98-23z
FZNAL ORDER IN
BY��� 3/
FILE NO �
VOTING WARD
In the matter o£ the condemnation and taking o£ certain properties for the new
Science Museum of Minnesota and for the construction o£ Eag1e Pazkway.
WFIEREAS, on November 6, 1996, the City Council adopted Council File No. 96-
1376, in which the City approved the acquisition of the real estate needed Por
the development of the Science Museum Project, and directed staff to proceed to
negotiate the acquisition of the real estate. Further, the City staf£ were
authorized to use eminent domain and legal counsel was directed to undertake
eminent domain proceedings if and to the extent necessary to aid in the
acquisition of such real estate; and
Wf�REAS, on November 6, 1996, the City and the Science Museum of Minnesota
entered into that certain Development Agreement, which sets forth the rights and
obligations of the City and the Science Museum with regard to the construction
of new facilities including a museum of not less than 300,000 square feet, a
parkinq ramp containinq at least 700 spaces, and several public improvements (the
"Upper Landing Improvements") (collectively, the "Project"). Attached hereto as
Exhibit "B" is a drawing which shows the general location and layout of the
Project; and
WF�REAS, included within the Upper Landinq Improvements is the construction
of Eagle Parkway, which will function as the entrance to the downtown from a
reconstructed Shepard Road. The desiqn plans £or Eagle Parkway show significant
landscaping and amenities designed to create a buffer between the residential
areas of Irvine Park and the Museum, and to provide a pleasing entrance into the
downtown area. Also included within the Upper Landing Improvements is the site
for Celebration Plaza, which will provide a public open space and be a
transitional setting from the urban, downtown development to the undeveloped and
natural areas of the river valley; and
WHEREAS, one o£ the City's obligations under the terms of the Development
Agreement requires the acquisition of real property owned by Plastics, Inc. by
no later than August 15, 1998, and that City staff has recommended the
acquisition of the Plastics` property through the process of eminent domain (the
Plastics' property is outlined on Exhibit "B"); and
WHEREAS, in Preliminary Order 98-152 dated February 25, 1998, a public
hearing was scheduled for March 25, 1998; the public hearing having been had upon
the above improvement upon due notice, and the Council having heard all persons,
objections, and recommendations relative thereto, and having fully considered the
same (a copy of said Preliminary Order is attached hereto as Exhibit "C");
BE IT RESOLVED, that the Council of the City of Saint Paul hereby
determines and orders the acquisition in £ee simple, absolute, of the real
property described on Exhibit "A" and shown on Exhibit "A-1" attached hereto and
the City OPficers and the City's legal counsel are hereby authorized and directed
to take all actions necessary to acquire said real estate by purchase or eminent
domain, including the use of quick-take procedures; and
BE IT E'ORTHER RESOLVED, that the Council hereby finds and determines that
the acquisition by purchase or by eminent domain of the real estate described in
98-�3z
Exhibit "A" attached hereto is necessary and serves a public purpose, that the
acquisition of said real estate will improve the economic base and aesthetic
condition of the City oP Saint Paul, and because without the acquisition of said
real estate the City would not be able to £ulfill its obligations under the
Development Agreement; and
BE IT FURTHER RESOLVED, that the acquisition by purchase or eminent domain
of the real estate described in Exhibit "A" attached hereto is necessary and
serves a public purpose in that the acquisition of said real property is needed
£or public improvements, including improvements to the road system of the City
of Saint Paul and providing £or land £or open space areas; and
BE IT FURTHER RESOLVED, that due to the provisions of both the Development
Agreement and for the circulation of traffic in and through the Project area, it
is necessary to acquire said real estate before the time within which the Court-
appointed commissioners could reasonably be expected to render their award,
whereby the use of quick-take procedures in accordance with Minn. Stat. � 117.042
is hereby specifically authorized; and
BE IT FINALLY RESOLVED, the City Officers and the City's legal counsel are
hereby authorized and directed to execute such documents and to take such actions
as are necessary to accomplish the acquisition by the City of the real estate
described in Exhibit "A" attached hereto.
COUNCILPERSONS
Yeas Nays
✓Benanav
✓�lakey
✓�ostrom
��oleman
✓Flarris � In Favor
�ntry
Reiter-Hb�<..� � Against
Adopted by Council: Date ��, l`�
)
Passed by Council Secretary
C'�T/
Mayor
1 i��Sev��
-Z-
-2 2
T.M.S.iREAL ESTATE DIVISION Date: March 17,1998 Green Sheet Number: 50043
EPOR1'NILN1' DII2EC1'OR C1TY COUNCII,
ntact Peison and Phone N�mber:
ATfORNEY CITYCLERK
Peter White 266-8853 [7pGgr DIILEClOR �.& MGT. SVC. Dllt.
YOR (OR ASSLSfAN19 1 OUNCII, RRCaexCg
ust be on Council enda by: March 25, 1998 (Scheduled Public H
OTAL # OF SIGNATIJRE PAGES 1 (CLIP ALL LOCATIONS FOR SIGNAT'URE)
CTION REQUESTED:
uthorize the acquisition of the Plastic Inc. site for the construction of the
ew Scienee Musevm and the construction of Eagle Parkway.
OMn�NDATiONS: APrROVE (a) OR REleC1• (R) ggONAL SERVICE CONTRACTS MUST ANSWER TTIE FOLIAWING:
1. Has the person/5rm ever worked under a contract for Utis deparhnent? YES NO
PI,ANNING COMMISSION A STAFF
. Has tbis person/Srm ever been a Cdy employee? YES NO
CIVII, SEAVICE COMMISSIOIV
. Does tLis person/fum possess a sin11 not normally possessed by any YES NO
current City employee?
c� conuHrrrEa
E lain all YES answers on a se rate sheet aud attach.
PORTS WIIICH COUNCII. OBJECTiVE?
COUNCII. WARD(S� 2 DLSTRICT PLANNING COUNCII, 9
TING PILOBLEM, IS5UE, OPPORTOHI'1'P (Who W6at, When, Where, Why?):
he City needs the authority to take the aetion to acquire the Plastics Inc.
site using the right of eminant domain. This requires a public hearing at the
ity Council.
VANTAGES IF APPROVED:
The new Science Museum site and the construction of Eagle Parkway can move
forward.
ISADVANI'AGES IF APPROVED:
Plastics Inc. will have to relocate their operations located on this site.
ISADVANTAGES IF NOT APPROVED:
he new Science Muaeum site and the construction o£ Eagle Parkway will not mov
£orward.
OTAL AMOUNT OF TRANSACTION: $` 2, 7 O O� O O 0 COST/REVENOE BUDGETED (CIItCLE ONE) YES NO
mresouxcE: Capital Improvement Bonds AcT1�ITYrrt��ER:
CR9fLW' u e4'vG�YSJ R�R'(�
ANC7AL INFORMATION: (EXPI.AII�
MAR 1 � �9�
9�-a3z
Exhibit "A"
All of Block thirty-four (34) (including alley and rights in adjoining right-of-
way�, Rice and Irvine's Addition to the Town of Saint Paul, according to the
recorded plat thereo£, and situate in Ramsey County, Minnesota.
Lots nine (91 and ten (10), Block thirty-five (35), Rice and Irvine's Addition
to the Town of Saint Paul, and that part of Lot One (1), Block thirty-£ive (35),
Rice and Irvine's Addition to the Town of Saint Paul, lyinq Southeasterly of a
line described as extending from a point on the East line o£ said Lot one (1�,
distant one hundred one and twenty-three hundredths (101.23) Peet Southeasterly
from the Northeast corner of said Lot one (1), to a point on the West line of
said Lot one (1), distant one hundred one and thirty-five hundredths (1Q1.35)
feet Southeasterly from the Northwest corner of said Lot one (1), according to
the recorded plat thereof on file and of record in the office of the Reqister of
Deeds in and £or Ramsey County.
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CITY OF ST. PAUL COUNC O.
PRELIMINARY ORDER BY ' 'u �
FILE NO. 1 0
VOTII3G WARD 2
In the Matter o£ condemning and taking the property described on the attached Exhibit
"A" and shown on the atCached map labeled Exhibit "B" for the construction of the
new Science Museum and for the construction of Eagle Parkway. (The site is owned
by Plastics, Inc.)
�
The Council of the City of Saint Paul having received the report of the Mayor
upon the above improvement, and having considered said zeport, hereby resolves:
1
2.
3
That the said report and the same is hereby approved with no alternatives, and
that the estimated cost thereof is $2,700,000 financed by Capital Improvement
Bonds.
That a public hearing be had on said improvement on the_25th dav of March,
1998,at 5:30 o'clock P.M., in the Council Chambers of the City Hall and Court
House Buildinq in the City of Saint Paul.
That notice of said public hearing be given to the persons and in the manner
provided by the Charter, stating the time and place of hearing, the nature of
the improvement and the total cost thereof as estimated.
COUNCILPERSONS
Yeas Nays
✓Benanev
✓�lakey
�strom
�leman
�rzis
�ntry
�ter
Adopted by Council: Date �c?o �S `��
Certified Passed by Council Secretary
�In Favor By �_
0 Against
Mayor
E'xt�� n, lT '�� „
9�-z 3 a
REPORT FOR
PRELIMINA.RY ORDER FOR CONDEMNATION AND TAKING
OF CEI2TAIN PROPERTIES OWNED BY PLASTICS, I�C.
FOR THE NEW SCIENCE MUSEUM PROJECT FOR
CONSTRUCTION OF EAGLE PARKWAY
On November 6, 1996, the City Council adopted Council File No. 96-1376, (see Exhibit
A) which was a Resolution Approving and Authorizing Execution of a Development
Agreement With the Science Museum of Minnesota ("SMM"), a Construction Grant
Agreement with the State of Minnesota and Other Necessary Docutnents in Connection
with the Science Museum Project. In the aforementioned Resolution, the City approved
the acquisition of the reai estate needed for the development of the Project, and directed
staff to proceed to negotiate the acquisition of the real estate. The City authorized the use
of eminent domain and to undertake such eminent domain proceedings if and to the
extent necessary to aid in the acquisition of such land, and, if found to be necessary.
2. The Science Museum Project is an apptoximately $100 million project. The City on
behalf of the SMM, has accepted $31.2 million of grants from the State of Minnesota. A
condition of the State grants is that the City own the real estate upon which the Project is
built which includes Plastics, Inc. (See Exhibit B).
As part of the 1996 Development Agreement the City obiigated itself as part of the
acquisition to purchase and demolish Plastics, Inc by august 15, 1998 and substantially
complete Eagle Pazkway (a new road at the westem end of the SMM Pioject which
bisects the Plastics property) by April 15, 1999 to avoid damages to the City under the
SMM Development Agreement.
In 1996 the City has budgeted in excess of $18.0 million of local funds to undertake the
SMM Project including $2.7 million dollars for the Plastic taking.
5. Since the fall of 1995, the City and Port staff have investigated more than 20 sites to
relocate Plastics and their Bagan facility in Saint Paul and structure a proposal. Over the
last yeaz that has been updates to the City Council or HRA Boazd on Plastics in Februazy
and Mazch 1997, as well as the City approval on September 24, 1997, in CF 97-1190 to
relocate Plastics and Eagan facility to the Citgo site, through the Port Authority, for
approximately $20 million dollazs.
6. In early December 1997, the City was informed that Newel Corporation�the parent of
Plastics, Inc. that Plastics would not execute a development agreement with the Port
Authority to relocate their combined Eagan and Saint Paul facility at the Citgo site. It
was agreed by both parties because of SMM schedule, that if negotiated settlement could
not be reached by January 31, 1998, for retaining the manufacturing operations in an
F:\USERS\WHITEIW PDATANIAILMESSPLAST.CON
9�-z3Z
100,000 squaze foot building in Saint Paul, the condemnation process would begin.
7. The Pretiminarv Order for the takina of Plastics is to set a pnblic hearinQ on Mazch 25.
1998.
Prepared by Bob Geurs - PED 266-6b53
F: W SERS\ W HITEI W PDATA�hfA1LMESS�PLAST.CON
9�- z 3 2
' ' � • • r � Council File # '��. �Tr'�Y �`�t_�
� -.° f� f n arv�erv oco-�•�`►g�
° ' ` ` ' ` ` �' ` ' ` Gceen Sheet # 3 � � R S
RESOLUTION
OF SAfNT PAUL, MiNNESOTA v�3
Presented By
Referred To
Committee: Date
1 RESOLUTION APPROVING AND AUTHORIZING EXECUTI�N OF A
2 DEVELOPMENT AGREEMENT WITH
3 THE SCIENCE MUSEUM OF MINNESOTA, A CONSTRUCTION
4 GRANT AGREEMENT WITH THE STATE QF MINNESOTA
5 __, AND OTHER_NECESSARY DOCUMENTS IN CONNECTION WITII .-- ..
6 - THE SCIENCE MUSEUM PROJECT '
7
8
9 WHEREAS:
1Q
11 �.. . � . .
12 1. City Council Resolution 87-1613 (November 10, 1987) and
13 HRA Resolution 87-11J4-2 (November 4, 1987) approved the
14 Redevelopment Plan and Development District for the Riverfront
15 Redevelopment Project and Development District pursuant to
16 applicable Minnesota Statutes. The Riverfront Redevelopment Plan
17 establishes the public purposes �or the acquisition of real
18. estate for the Project as further described in the Development
19 Agreement Exhibit c-1.
20
-- � --- --_—__ _: _ .. .. .. _ .
- - ------�— ------ - . _
=—?�^-'�"`-:�°==-=2_===::�P 643,.. -
_.._._..,�—=�- �---.._.,.,.... _. . _.- : -- . . :-. ; -_
:,-.. . -_-, . . _ w ,... .. _ . : " •- �- — � - ... w . . , . _ - �
. . ... _:._ _ ,. .::._
i =;,�- -- `y'�ec�i-on��;:_tHz=_City-"is=au��ioi�z'ec�—to-establish-and ma_i�tzzn" a .._ ---- ,: -:
. _ _..
="Z�=='"musei'Sm='�o'r'�lie`pfir_uose of - and enlightenment,
,:24_ _:_ixi�iuding, but not limited to, a museum of natural science and
25- teclinology (the "Governmental Program'�) and to exercise the
26 powers in Minriesota Statutes, Section 471.191, Lo acauire and
27 better facilities for a museum and to lease the same to a
28 non-profit organization to carry out the Governmer.tal Program.
29
30 3. The Science Museum of Minnesota, a Minnesota non-pro£it
31 corporation ("SMM") proposes to construct new facilities in the
32 Riverfront Redevelopment Area of the City oi_St. ?aul_, which .
33 �facilities will include, but are not limited to, a museum of not
34 less than 300,000 square feet (the "Museum"), a parking ramp
35 containing at least 700 snaces (the "Ramp"), and certain related
36 improvements (the "Uoper Landing Improvements") (collectively,
37 the "Project").
38
39 a. The Project will be one of the �irst major developments
�0 in the Riverfront Redevelopment Area, will draw a substantial
41 number of visitors to the City, and will have a signiiicant
42 employment impact.
43
?? 5. . _�_3—has-�iereto—approved—a—MemoY-ar��.�gt-�rE—
45 -�t�e�s�yr�ng bet z._.e r� �MM �..e—�3�e E�' " e�ao�r��a—e£
C �
J c_c ��q c �
O
».�„ � �.,I..a�� /}' P,1
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0
1' �'. ia8 O.S. Jd1TiL- YGLL1 b�-iT.+itytx JU�I�JVLyJ YLUYyK11ly
W!.YiytS"i.'✓� lAN/S�K Y ... � S ' . _ " d / .w...v.v.
2 const�uat,3on;a*or3c appo�tunstz�s ��or Paul�,resid,ents s throtig2i
„,..,
3 �,�ts.y�ffirmat-ive.:ac��an+poli�y:;�;
4
5. �5fi. 'The City Council has hereto approved a Memorandum of
6 Understanding between the SMM and the City (the "Memorandum of
7 Understanding") which set forth in a preliminary manner, among
8 other things, the obligations of SMM to construct the Project and
9 the contributions to be made by the City to the Project, which
10 Memorandum of Understanding, by its terms, was to be superseded
11 by a final development aqreeraent.
12
13 6;7?. In connection with the Project forms of the following
14 documents have been submitted to the City Council:
15 "
16 (a) a Development Agreement by and between the City
17 and SMM (the "Development Agreement") which sets forth the
18 rights and obligations of the City and SMM with respect to
19 the Project; . ,
20 .
21 (b) a Constzuction Grant Agreement by and between the
22 City and the State (the "Construction Grant Agreement")
23 setting forth the terms and conditions under which the State
24 has made a$30,000,000 grant to the City Por the Museum (the
25 "state Grant");
26
27 (c) a Disbursement Agreement Construction Grant by and
28 between the City and the State (the "State Disbursing
29 Agreement") setting forth the terms and conditions under
= 30- ---====:: �: �-iah-ich--the_ State Grant will- be disbursed - to pay for the =.�..
- - • - ----• -.._ . . ._ .
'-3�.=.:.:-_ -'- .':d"esign. and construction costs�of-the: Museum;
32 '...,. -... ._._... __. . . ...
33 (d) a Disbursing Agreement by and between the City and
34 3MM (the "Disbursing Agreement") setting forth the terms and
35 conditions under which the State Grant and the City
36 Contribution (as defined in the Development Agreement) will
37 be disbursed to SMM to pay costs of the design and
38 construction of the Museum and the Upper Landing
39 Improvements;
40
41 (e)_ a Ramp Lease by and between the City,and SMM (the
42 "Ramp Lease") pursuant to which the City agrees to lease to
43 SMM the land on which the Ramp will be constructed;
44
45 (f) a Museum Lease by and between the City and SMM
46 (the "Museum Lease") pursuant to which the City agrees to
47 lease to SMM the land on which the Museum will be
48 constructed; and
n9
50 (g) a Lease by and between the City and SMM (the "West
51 Building Lease") pursuant to which the City agrees to lease
52 to SMM the existing building currently occupied by SMM.
53
9�-z 3 Z
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3II
--31:._.
32
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The above documents, together with all exhibits thereto, are
collectively rePerred to as the Project Documents.
RESOLVED:
1. The City Council hereby establishes the Governmental
Program and appraves and authorizes the Mayor, Clerk, Director,
Department of Planning and Economic Development and Director,
Department of Finance and Management Services (the "Authorized
Officers") to execute the Project Documents in substantially the
£orms submitted. The approval hereby given to the Project
Documents includes approval of such additional details therein as
may be necessary and appropriate and such modifications thereof,
deletions therefrom and additions thereto as may be necessary and
appropriate and approved by the City Attorney, the appropriate
staff person or by the officers authorized herein to execute or
accept, as the case may be, Project Documents prior to their
exeCUtiori; and said officers oz staff inembeYS are heYeby
authorized to approve said chanqes on behal£ of the City. The
execution of any instrument by the appropriate of£icer or
officers of the City herein authorized shall be conclusive
evidence of the approval of such document in accordance with the
terms hereoP.
2. The authority to approve Puture amendments to Project
Documents is hereby delegated to the Director, Department of
Planninq and Economic Development, subject to the following
-cond'itions: (a) such-amendments-do not'materially.adversely
--`-affect_•the...irrterests :o€ =the � Cit}�, -and . (b) .• snch .amendments- are - - -. .-. -
aaceptable�in form and substance to the appropriate staff person,
the City Attorney and any other counsel retained by the City to
review such amendments. Any amendments shall be executed by the
Authorized Officers described in paragraph 1 hereof. .
3. The authority to negotiate terms for a loan of
approximately $3,500,000 to assist in the acquisition of lands
for the SMM Project. The Budget Director and Airector of
Planning and Economic Development will by [November 30,1496] make
a recommendation to the City Council.on the.structure of the.loan.
and will investigate the feasibility of the following three
options: (1) a forgivable loan from the foundation community or
other non-profit organizations; (2) a City annual appropriation
lease;or 3) a City tax exempt revenue note which is secured by a
mortgage. Sources for the repayment of the loan may include but
are not limited to new District Heating and Cooling franchise
fees attributable to the SMM Project, temporary parking income
generated from the acquisition for the Project on the Ryan Block,
Puture sales proceeds from that property, and an annual Cultural
Star appropriation of $100,000 for the term of the loan.
4. The acquisition o£ the real estate described in Exhibit
C-1 of the Development Agreement is hereby approved, and staff is
9�-Z3�
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1
2
3
4
5
6
7
8
9
10
11
iz
13
14
i5
hereby directed to proceed to negotiate the acquisition. The
City hereby authorizes the use of eminent domain and its legal
counsel is directed to undertake such eminent domain proceeding
if and to the extent necessary to aid in the acquisition of such
land and, if necessary, requests the Housing and Redevelopment
Authority to undertake such eminent domain proceeding.
__ r6;. The City's 1996 Budget is hereby amended to read as
shown on Exhibit A attached hereto.
Bostrom
Guerin
Harris
Megard
Rettman
Thune
Yeas 1fi avs �Absent
,�') I
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Adopted by Council
v
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Date I\•�- (. 1y4�,
Requeste@ bv Departnen� c�:
By•
Form Approved by City Attorne}>
gy;
A rOved by Bud et Director for
S�i�mission to M�yor
B y : _
Ado�t�on Certified by Council AgpCoundi$y Mayor for Submissior
Sec e ary L
BY = � � F� :,��..�• :--�.- BY �
Approved by May r: Date i1 i yl�L�
; �
By : {�� �` , � �„�'j�.
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Inancin
Science Museum - City and Spte Contn'bution
C.�iGAT200
Exhibit A
Current
Budget Chan�
Scattered SRe 7ax Increment Finance District
Community Development Block Grant (CDBG) Contingencies
Urban Deveiopment Aetion Grani
1996 Capital Improvement 8onds
City of Saint Paut Sales Tax proeeeds - Cultural Account
River(ront Taz Increment Finance District
Civic Center Reserves
State o( Minnesota - Preiiminary Design Grant
Resolution Trust Corpore6on (RTC) assets
Science Museum of Minnesota
Repayment of Loan (9052)
Loan proceeds
Reimbursements/Temporary Income
Ramsey CounTy (morgue demolition)
Science Museum of Minnesoa (:�,W, Eagle St Acq.)
Parking income
.�- Spendina �-
-� Scrence Museum - City and State Cortfnbution
C9Cr0T20p
State of Minnesota - preliminary Design Grant
Land Assembly
AcquisitioNDemolitioNRelocation
Environmenial
Contingency
Rea{ Essateltegaf GosistMisc. •
SMM loan (52.5 million totai)
7ransfer - Civic Center Tum Around (0565)
3ransfer - SMM turn around oNer costs (0789)
NSP: teedes Iine reloca4on (0784)
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2.500.000
3.549.500
100,Q�0
220.500
25.000
14.900.000 3,895.000
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c ��. ��
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1.500.000
242.000
758.000
14.9pp.ppp
K :1 N�
(125.000)
2G5;000
3,895,D00
` �
Amended
Budget
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2.500.000 � ..
3,549,500
100.000
220.500
25,000
18.795,000
S,OOO,OCO .
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7.500,000
242.000
758,000
18.795.000
' Excludes 53,100,0pp of 1997 CIB Bands not yet appropriated by t`�e Mayor and Gity Councit. If approved, City
contribution for pubiic improvements will total 510,500,Q'�.
9�-Z � z
Parcel 1
Parcel 2
Parcel. 3
Parcel 4
Parcel S
Parcel 6,
EXHZBIT C-1
DESCRIPTION OF THE LPND
Pormer Ramsey County Norgue
West - a, b, c& d
Plastics - a & b
272 Chestnut House
Eagle/Exchange/Kellogg area for right of way £or
Eagle Parkway Irr.orovements
a. Portion of the former Rehab Center land owned
by Robert Walsh/Seven Corners Hardware
b. WJW Properties
Portion of District Energy Property
331479.9
C-1
. �
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• �:�•� _ rUUP,;('� � �-... _�.:. '—�'
�''` ""' �=- ` • �� ' '• ' Exhibit C2: Acquisition Par
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CITY OF SAINT PAUL �o��zz Fs� No. 98-23z
FZNAL ORDER IN
BY��� 3/
FILE NO �
VOTING WARD
In the matter o£ the condemnation and taking o£ certain properties for the new
Science Museum of Minnesota and for the construction o£ Eag1e Pazkway.
WFIEREAS, on November 6, 1996, the City Council adopted Council File No. 96-
1376, in which the City approved the acquisition of the real estate needed Por
the development of the Science Museum Project, and directed staff to proceed to
negotiate the acquisition of the real estate. Further, the City staf£ were
authorized to use eminent domain and legal counsel was directed to undertake
eminent domain proceedings if and to the extent necessary to aid in the
acquisition of such real estate; and
Wf�REAS, on November 6, 1996, the City and the Science Museum of Minnesota
entered into that certain Development Agreement, which sets forth the rights and
obligations of the City and the Science Museum with regard to the construction
of new facilities including a museum of not less than 300,000 square feet, a
parkinq ramp containinq at least 700 spaces, and several public improvements (the
"Upper Landing Improvements") (collectively, the "Project"). Attached hereto as
Exhibit "B" is a drawing which shows the general location and layout of the
Project; and
WF�REAS, included within the Upper Landinq Improvements is the construction
of Eagle Parkway, which will function as the entrance to the downtown from a
reconstructed Shepard Road. The desiqn plans £or Eagle Parkway show significant
landscaping and amenities designed to create a buffer between the residential
areas of Irvine Park and the Museum, and to provide a pleasing entrance into the
downtown area. Also included within the Upper Landing Improvements is the site
for Celebration Plaza, which will provide a public open space and be a
transitional setting from the urban, downtown development to the undeveloped and
natural areas of the river valley; and
WHEREAS, one o£ the City's obligations under the terms of the Development
Agreement requires the acquisition of real property owned by Plastics, Inc. by
no later than August 15, 1998, and that City staff has recommended the
acquisition of the Plastics` property through the process of eminent domain (the
Plastics' property is outlined on Exhibit "B"); and
WHEREAS, in Preliminary Order 98-152 dated February 25, 1998, a public
hearing was scheduled for March 25, 1998; the public hearing having been had upon
the above improvement upon due notice, and the Council having heard all persons,
objections, and recommendations relative thereto, and having fully considered the
same (a copy of said Preliminary Order is attached hereto as Exhibit "C");
BE IT RESOLVED, that the Council of the City of Saint Paul hereby
determines and orders the acquisition in £ee simple, absolute, of the real
property described on Exhibit "A" and shown on Exhibit "A-1" attached hereto and
the City OPficers and the City's legal counsel are hereby authorized and directed
to take all actions necessary to acquire said real estate by purchase or eminent
domain, including the use of quick-take procedures; and
BE IT E'ORTHER RESOLVED, that the Council hereby finds and determines that
the acquisition by purchase or by eminent domain of the real estate described in
98-�3z
Exhibit "A" attached hereto is necessary and serves a public purpose, that the
acquisition of said real estate will improve the economic base and aesthetic
condition of the City oP Saint Paul, and because without the acquisition of said
real estate the City would not be able to £ulfill its obligations under the
Development Agreement; and
BE IT FURTHER RESOLVED, that the acquisition by purchase or eminent domain
of the real estate described in Exhibit "A" attached hereto is necessary and
serves a public purpose in that the acquisition of said real property is needed
£or public improvements, including improvements to the road system of the City
of Saint Paul and providing £or land £or open space areas; and
BE IT FURTHER RESOLVED, that due to the provisions of both the Development
Agreement and for the circulation of traffic in and through the Project area, it
is necessary to acquire said real estate before the time within which the Court-
appointed commissioners could reasonably be expected to render their award,
whereby the use of quick-take procedures in accordance with Minn. Stat. � 117.042
is hereby specifically authorized; and
BE IT FINALLY RESOLVED, the City Officers and the City's legal counsel are
hereby authorized and directed to execute such documents and to take such actions
as are necessary to accomplish the acquisition by the City of the real estate
described in Exhibit "A" attached hereto.
COUNCILPERSONS
Yeas Nays
✓Benanav
✓�lakey
✓�ostrom
��oleman
✓Flarris � In Favor
�ntry
Reiter-Hb�<..� � Against
Adopted by Council: Date ��, l`�
)
Passed by Council Secretary
C'�T/
Mayor
1 i��Sev��
-Z-
-2 2
T.M.S.iREAL ESTATE DIVISION Date: March 17,1998 Green Sheet Number: 50043
EPOR1'NILN1' DII2EC1'OR C1TY COUNCII,
ntact Peison and Phone N�mber:
ATfORNEY CITYCLERK
Peter White 266-8853 [7pGgr DIILEClOR �.& MGT. SVC. Dllt.
YOR (OR ASSLSfAN19 1 OUNCII, RRCaexCg
ust be on Council enda by: March 25, 1998 (Scheduled Public H
OTAL # OF SIGNATIJRE PAGES 1 (CLIP ALL LOCATIONS FOR SIGNAT'URE)
CTION REQUESTED:
uthorize the acquisition of the Plastic Inc. site for the construction of the
ew Scienee Musevm and the construction of Eagle Parkway.
OMn�NDATiONS: APrROVE (a) OR REleC1• (R) ggONAL SERVICE CONTRACTS MUST ANSWER TTIE FOLIAWING:
1. Has the person/5rm ever worked under a contract for Utis deparhnent? YES NO
PI,ANNING COMMISSION A STAFF
. Has tbis person/Srm ever been a Cdy employee? YES NO
CIVII, SEAVICE COMMISSIOIV
. Does tLis person/fum possess a sin11 not normally possessed by any YES NO
current City employee?
c� conuHrrrEa
E lain all YES answers on a se rate sheet aud attach.
PORTS WIIICH COUNCII. OBJECTiVE?
COUNCII. WARD(S� 2 DLSTRICT PLANNING COUNCII, 9
TING PILOBLEM, IS5UE, OPPORTOHI'1'P (Who W6at, When, Where, Why?):
he City needs the authority to take the aetion to acquire the Plastics Inc.
site using the right of eminant domain. This requires a public hearing at the
ity Council.
VANTAGES IF APPROVED:
The new Science Museum site and the construction of Eagle Parkway can move
forward.
ISADVANI'AGES IF APPROVED:
Plastics Inc. will have to relocate their operations located on this site.
ISADVANTAGES IF NOT APPROVED:
he new Science Muaeum site and the construction o£ Eagle Parkway will not mov
£orward.
OTAL AMOUNT OF TRANSACTION: $` 2, 7 O O� O O 0 COST/REVENOE BUDGETED (CIItCLE ONE) YES NO
mresouxcE: Capital Improvement Bonds AcT1�ITYrrt��ER:
CR9fLW' u e4'vG�YSJ R�R'(�
ANC7AL INFORMATION: (EXPI.AII�
MAR 1 � �9�
9�-a3z
Exhibit "A"
All of Block thirty-four (34) (including alley and rights in adjoining right-of-
way�, Rice and Irvine's Addition to the Town of Saint Paul, according to the
recorded plat thereo£, and situate in Ramsey County, Minnesota.
Lots nine (91 and ten (10), Block thirty-five (35), Rice and Irvine's Addition
to the Town of Saint Paul, and that part of Lot One (1), Block thirty-£ive (35),
Rice and Irvine's Addition to the Town of Saint Paul, lyinq Southeasterly of a
line described as extending from a point on the East line o£ said Lot one (1�,
distant one hundred one and twenty-three hundredths (101.23) Peet Southeasterly
from the Northeast corner of said Lot one (1), to a point on the West line of
said Lot one (1), distant one hundred one and thirty-five hundredths (1Q1.35)
feet Southeasterly from the Northwest corner of said Lot one (1), according to
the recorded plat thereof on file and of record in the office of the Reqister of
Deeds in and £or Ramsey County.
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CITY OF ST. PAUL COUNC O.
PRELIMINARY ORDER BY ' 'u �
FILE NO. 1 0
VOTII3G WARD 2
In the Matter o£ condemning and taking the property described on the attached Exhibit
"A" and shown on the atCached map labeled Exhibit "B" for the construction of the
new Science Museum and for the construction of Eagle Parkway. (The site is owned
by Plastics, Inc.)
�
The Council of the City of Saint Paul having received the report of the Mayor
upon the above improvement, and having considered said zeport, hereby resolves:
1
2.
3
That the said report and the same is hereby approved with no alternatives, and
that the estimated cost thereof is $2,700,000 financed by Capital Improvement
Bonds.
That a public hearing be had on said improvement on the_25th dav of March,
1998,at 5:30 o'clock P.M., in the Council Chambers of the City Hall and Court
House Buildinq in the City of Saint Paul.
That notice of said public hearing be given to the persons and in the manner
provided by the Charter, stating the time and place of hearing, the nature of
the improvement and the total cost thereof as estimated.
COUNCILPERSONS
Yeas Nays
✓Benanev
✓�lakey
�strom
�leman
�rzis
�ntry
�ter
Adopted by Council: Date �c?o �S `��
Certified Passed by Council Secretary
�In Favor By �_
0 Against
Mayor
E'xt�� n, lT '�� „
9�-z 3 a
REPORT FOR
PRELIMINA.RY ORDER FOR CONDEMNATION AND TAKING
OF CEI2TAIN PROPERTIES OWNED BY PLASTICS, I�C.
FOR THE NEW SCIENCE MUSEUM PROJECT FOR
CONSTRUCTION OF EAGLE PARKWAY
On November 6, 1996, the City Council adopted Council File No. 96-1376, (see Exhibit
A) which was a Resolution Approving and Authorizing Execution of a Development
Agreement With the Science Museum of Minnesota ("SMM"), a Construction Grant
Agreement with the State of Minnesota and Other Necessary Docutnents in Connection
with the Science Museum Project. In the aforementioned Resolution, the City approved
the acquisition of the reai estate needed for the development of the Project, and directed
staff to proceed to negotiate the acquisition of the real estate. The City authorized the use
of eminent domain and to undertake such eminent domain proceedings if and to the
extent necessary to aid in the acquisition of such land, and, if found to be necessary.
2. The Science Museum Project is an apptoximately $100 million project. The City on
behalf of the SMM, has accepted $31.2 million of grants from the State of Minnesota. A
condition of the State grants is that the City own the real estate upon which the Project is
built which includes Plastics, Inc. (See Exhibit B).
As part of the 1996 Development Agreement the City obiigated itself as part of the
acquisition to purchase and demolish Plastics, Inc by august 15, 1998 and substantially
complete Eagle Pazkway (a new road at the westem end of the SMM Pioject which
bisects the Plastics property) by April 15, 1999 to avoid damages to the City under the
SMM Development Agreement.
In 1996 the City has budgeted in excess of $18.0 million of local funds to undertake the
SMM Project including $2.7 million dollars for the Plastic taking.
5. Since the fall of 1995, the City and Port staff have investigated more than 20 sites to
relocate Plastics and their Bagan facility in Saint Paul and structure a proposal. Over the
last yeaz that has been updates to the City Council or HRA Boazd on Plastics in Februazy
and Mazch 1997, as well as the City approval on September 24, 1997, in CF 97-1190 to
relocate Plastics and Eagan facility to the Citgo site, through the Port Authority, for
approximately $20 million dollazs.
6. In early December 1997, the City was informed that Newel Corporation�the parent of
Plastics, Inc. that Plastics would not execute a development agreement with the Port
Authority to relocate their combined Eagan and Saint Paul facility at the Citgo site. It
was agreed by both parties because of SMM schedule, that if negotiated settlement could
not be reached by January 31, 1998, for retaining the manufacturing operations in an
F:\USERS\WHITEIW PDATANIAILMESSPLAST.CON
9�-z3Z
100,000 squaze foot building in Saint Paul, the condemnation process would begin.
7. The Pretiminarv Order for the takina of Plastics is to set a pnblic hearinQ on Mazch 25.
1998.
Prepared by Bob Geurs - PED 266-6b53
F: W SERS\ W HITEI W PDATA�hfA1LMESS�PLAST.CON
9�- z 3 2
' ' � • • r � Council File # '��. �Tr'�Y �`�t_�
� -.° f� f n arv�erv oco-�•�`►g�
° ' ` ` ' ` ` �' ` ' ` Gceen Sheet # 3 � � R S
RESOLUTION
OF SAfNT PAUL, MiNNESOTA v�3
Presented By
Referred To
Committee: Date
1 RESOLUTION APPROVING AND AUTHORIZING EXECUTI�N OF A
2 DEVELOPMENT AGREEMENT WITH
3 THE SCIENCE MUSEUM OF MINNESOTA, A CONSTRUCTION
4 GRANT AGREEMENT WITH THE STATE QF MINNESOTA
5 __, AND OTHER_NECESSARY DOCUMENTS IN CONNECTION WITII .-- ..
6 - THE SCIENCE MUSEUM PROJECT '
7
8
9 WHEREAS:
1Q
11 �.. . � . .
12 1. City Council Resolution 87-1613 (November 10, 1987) and
13 HRA Resolution 87-11J4-2 (November 4, 1987) approved the
14 Redevelopment Plan and Development District for the Riverfront
15 Redevelopment Project and Development District pursuant to
16 applicable Minnesota Statutes. The Riverfront Redevelopment Plan
17 establishes the public purposes �or the acquisition of real
18. estate for the Project as further described in the Development
19 Agreement Exhibit c-1.
20
-- � --- --_—__ _: _ .. .. .. _ .
- - ------�— ------ - . _
=—?�^-'�"`-:�°==-=2_===::�P 643,.. -
_.._._..,�—=�- �---.._.,.,.... _. . _.- : -- . . :-. ; -_
:,-.. . -_-, . . _ w ,... .. _ . : " •- �- — � - ... w . . , . _ - �
. . ... _:._ _ ,. .::._
i =;,�- -- `y'�ec�i-on��;:_tHz=_City-"is=au��ioi�z'ec�—to-establish-and ma_i�tzzn" a .._ ---- ,: -:
. _ _..
="Z�=='"musei'Sm='�o'r'�lie`pfir_uose of - and enlightenment,
,:24_ _:_ixi�iuding, but not limited to, a museum of natural science and
25- teclinology (the "Governmental Program'�) and to exercise the
26 powers in Minriesota Statutes, Section 471.191, Lo acauire and
27 better facilities for a museum and to lease the same to a
28 non-profit organization to carry out the Governmer.tal Program.
29
30 3. The Science Museum of Minnesota, a Minnesota non-pro£it
31 corporation ("SMM") proposes to construct new facilities in the
32 Riverfront Redevelopment Area of the City oi_St. ?aul_, which .
33 �facilities will include, but are not limited to, a museum of not
34 less than 300,000 square feet (the "Museum"), a parking ramp
35 containing at least 700 snaces (the "Ramp"), and certain related
36 improvements (the "Uoper Landing Improvements") (collectively,
37 the "Project").
38
39 a. The Project will be one of the �irst major developments
�0 in the Riverfront Redevelopment Area, will draw a substantial
41 number of visitors to the City, and will have a signiiicant
42 employment impact.
43
?? 5. . _�_3—has-�iereto—approved—a—MemoY-ar��.�gt-�rE—
45 -�t�e�s�yr�ng bet z._.e r� �MM �..e—�3�e E�' " e�ao�r��a—e£
C �
J c_c ��q c �
O
».�„ � �.,I..a�� /}' P,1
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0
1' �'. ia8 O.S. Jd1TiL- YGLL1 b�-iT.+itytx JU�I�JVLyJ YLUYyK11ly
W!.YiytS"i.'✓� lAN/S�K Y ... � S ' . _ " d / .w...v.v.
2 const�uat,3on;a*or3c appo�tunstz�s ��or Paul�,resid,ents s throtig2i
„,..,
3 �,�ts.y�ffirmat-ive.:ac��an+poli�y:;�;
4
5. �5fi. 'The City Council has hereto approved a Memorandum of
6 Understanding between the SMM and the City (the "Memorandum of
7 Understanding") which set forth in a preliminary manner, among
8 other things, the obligations of SMM to construct the Project and
9 the contributions to be made by the City to the Project, which
10 Memorandum of Understanding, by its terms, was to be superseded
11 by a final development aqreeraent.
12
13 6;7?. In connection with the Project forms of the following
14 documents have been submitted to the City Council:
15 "
16 (a) a Development Agreement by and between the City
17 and SMM (the "Development Agreement") which sets forth the
18 rights and obligations of the City and SMM with respect to
19 the Project; . ,
20 .
21 (b) a Constzuction Grant Agreement by and between the
22 City and the State (the "Construction Grant Agreement")
23 setting forth the terms and conditions under which the State
24 has made a$30,000,000 grant to the City Por the Museum (the
25 "state Grant");
26
27 (c) a Disbursement Agreement Construction Grant by and
28 between the City and the State (the "State Disbursing
29 Agreement") setting forth the terms and conditions under
= 30- ---====:: �: �-iah-ich--the_ State Grant will- be disbursed - to pay for the =.�..
- - • - ----• -.._ . . ._ .
'-3�.=.:.:-_ -'- .':d"esign. and construction costs�of-the: Museum;
32 '...,. -... ._._... __. . . ...
33 (d) a Disbursing Agreement by and between the City and
34 3MM (the "Disbursing Agreement") setting forth the terms and
35 conditions under which the State Grant and the City
36 Contribution (as defined in the Development Agreement) will
37 be disbursed to SMM to pay costs of the design and
38 construction of the Museum and the Upper Landing
39 Improvements;
40
41 (e)_ a Ramp Lease by and between the City,and SMM (the
42 "Ramp Lease") pursuant to which the City agrees to lease to
43 SMM the land on which the Ramp will be constructed;
44
45 (f) a Museum Lease by and between the City and SMM
46 (the "Museum Lease") pursuant to which the City agrees to
47 lease to SMM the land on which the Museum will be
48 constructed; and
n9
50 (g) a Lease by and between the City and SMM (the "West
51 Building Lease") pursuant to which the City agrees to lease
52 to SMM the existing building currently occupied by SMM.
53
9�-z 3 Z
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2
3
4
5
10
11
12
13
14
15 -
16
17
18
19
20
21
22
23
24
25
26
27
28
29
3II
--31:._.
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
The above documents, together with all exhibits thereto, are
collectively rePerred to as the Project Documents.
RESOLVED:
1. The City Council hereby establishes the Governmental
Program and appraves and authorizes the Mayor, Clerk, Director,
Department of Planning and Economic Development and Director,
Department of Finance and Management Services (the "Authorized
Officers") to execute the Project Documents in substantially the
£orms submitted. The approval hereby given to the Project
Documents includes approval of such additional details therein as
may be necessary and appropriate and such modifications thereof,
deletions therefrom and additions thereto as may be necessary and
appropriate and approved by the City Attorney, the appropriate
staff person or by the officers authorized herein to execute or
accept, as the case may be, Project Documents prior to their
exeCUtiori; and said officers oz staff inembeYS are heYeby
authorized to approve said chanqes on behal£ of the City. The
execution of any instrument by the appropriate of£icer or
officers of the City herein authorized shall be conclusive
evidence of the approval of such document in accordance with the
terms hereoP.
2. The authority to approve Puture amendments to Project
Documents is hereby delegated to the Director, Department of
Planninq and Economic Development, subject to the following
-cond'itions: (a) such-amendments-do not'materially.adversely
--`-affect_•the...irrterests :o€ =the � Cit}�, -and . (b) .• snch .amendments- are - - -. .-. -
aaceptable�in form and substance to the appropriate staff person,
the City Attorney and any other counsel retained by the City to
review such amendments. Any amendments shall be executed by the
Authorized Officers described in paragraph 1 hereof. .
3. The authority to negotiate terms for a loan of
approximately $3,500,000 to assist in the acquisition of lands
for the SMM Project. The Budget Director and Airector of
Planning and Economic Development will by [November 30,1496] make
a recommendation to the City Council.on the.structure of the.loan.
and will investigate the feasibility of the following three
options: (1) a forgivable loan from the foundation community or
other non-profit organizations; (2) a City annual appropriation
lease;or 3) a City tax exempt revenue note which is secured by a
mortgage. Sources for the repayment of the loan may include but
are not limited to new District Heating and Cooling franchise
fees attributable to the SMM Project, temporary parking income
generated from the acquisition for the Project on the Ryan Block,
Puture sales proceeds from that property, and an annual Cultural
Star appropriation of $100,000 for the term of the loan.
4. The acquisition o£ the real estate described in Exhibit
C-1 of the Development Agreement is hereby approved, and staff is
9�-Z3�
�
1
2
3
4
5
6
7
8
9
10
11
iz
13
14
i5
hereby directed to proceed to negotiate the acquisition. The
City hereby authorizes the use of eminent domain and its legal
counsel is directed to undertake such eminent domain proceeding
if and to the extent necessary to aid in the acquisition of such
land and, if necessary, requests the Housing and Redevelopment
Authority to undertake such eminent domain proceeding.
__ r6;. The City's 1996 Budget is hereby amended to read as
shown on Exhibit A attached hereto.
Bostrom
Guerin
Harris
Megard
Rettman
Thune
Yeas 1fi avs �Absent
,�') I
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:/'
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-;
Adopted by Council
v
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�
Date I\•�- (. 1y4�,
Requeste@ bv Departnen� c�:
By•
Form Approved by City Attorne}>
gy;
A rOved by Bud et Director for
S�i�mission to M�yor
B y : _
Ado�t�on Certified by Council AgpCoundi$y Mayor for Submissior
Sec e ary L
BY = � � F� :,��..�• :--�.- BY �
Approved by May r: Date i1 i yl�L�
; �
By : {�� �` , � �„�'j�.
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Inancin
Science Museum - City and Spte Contn'bution
C.�iGAT200
Exhibit A
Current
Budget Chan�
Scattered SRe 7ax Increment Finance District
Community Development Block Grant (CDBG) Contingencies
Urban Deveiopment Aetion Grani
1996 Capital Improvement 8onds
City of Saint Paut Sales Tax proeeeds - Cultural Account
River(ront Taz Increment Finance District
Civic Center Reserves
State o( Minnesota - Preiiminary Design Grant
Resolution Trust Corpore6on (RTC) assets
Science Museum of Minnesota
Repayment of Loan (9052)
Loan proceeds
Reimbursements/Temporary Income
Ramsey CounTy (morgue demolition)
Science Museum of Minnesoa (:�,W, Eagle St Acq.)
Parking income
.�- Spendina �-
-� Scrence Museum - City and State Cortfnbution
C9Cr0T20p
State of Minnesota - preliminary Design Grant
Land Assembly
AcquisitioNDemolitioNRelocation
Environmenial
Contingency
Rea{ Essateltegaf GosistMisc. •
SMM loan (52.5 million totai)
7ransfer - Civic Center Tum Around (0565)
3ransfer - SMM turn around oNer costs (0789)
NSP: teedes Iine reloca4on (0784)
•�� ���
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2.500.000
3.549.500
100,Q�0
220.500
25.000
14.900.000 3,895.000
��� �•
c ��. ��
���
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1.500.000
242.000
758.000
14.9pp.ppp
K :1 N�
(125.000)
2G5;000
3,895,D00
` �
Amended
Budget
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2.500.000 � ..
3,549,500
100.000
220.500
25,000
18.795,000
S,OOO,OCO .
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7.500,000
242.000
758,000
18.795.000
' Excludes 53,100,0pp of 1997 CIB Bands not yet appropriated by t`�e Mayor and Gity Councit. If approved, City
contribution for pubiic improvements will total 510,500,Q'�.
9�-Z � z
Parcel 1
Parcel 2
Parcel. 3
Parcel 4
Parcel S
Parcel 6,
EXHZBIT C-1
DESCRIPTION OF THE LPND
Pormer Ramsey County Norgue
West - a, b, c& d
Plastics - a & b
272 Chestnut House
Eagle/Exchange/Kellogg area for right of way £or
Eagle Parkway Irr.orovements
a. Portion of the former Rehab Center land owned
by Robert Walsh/Seven Corners Hardware
b. WJW Properties
Portion of District Energy Property
331479.9
C-1
. �
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