97-668� JvS i zU i�'c �'�
Council File # `,- � � �
S�z��q�
"3q 3S3
Green Sheet #
RESOLUTION
SAj�Q`i PAUL, MINNESOTA
Presented sy
Referred To
Committee: Date
RESOLUTION APPROVING THE (A) AMENDMENT OF THE
REDEVELOPMENT PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT; (B) MODIFICATION OF THE TAX
INCREMENT FINANCING PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT, AND (C) THE CREATION OF THE
BLOCK 39 ItENEWAL AND RENOVATION TAX INCREMENT
FINANCING DISTRICT AND THE TAX INCREMENT FINANCING PLAN
RELATING THERETO
BE IT RESOLVED by the Council of the Ciry of Saint Paul, Minnesota (the "Council"),as
follows:
Section 1. Recitals
1 A 1. On March 26, 1997, the HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare all notices and schedule a public heazing on certain matters in
connection with the redevelopment of Block 39 in the City.
1.02. It has been proposed that the Housing and Redevelopment Authority of the City of
Saint Paul, Minnesota (the "HF2A") establish the Block 39 Renewal and Renovation TaY Increment
Financing District (the "District") and, in connection therewith that the City of Saint Paul (the
"City") approve the creation of the Aistrict and the Tax Increment Financing Plan (the `Block 39
Plan") relating thereto, all pursuant to and in accordance with Minnesota Statutes, Section 469.174
through 469.179, inclusive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the HRA amend the Redevelopment Plan for the
Seventh Place Redevelopment Project originally adopted on November 16, 1978 (as previously
amended) and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Proj ect originally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such amendments shall remove Block 39 from the Seventh Place Tax Increment District.
1.04. The HRA has investigated the facts and has caused to be prepazed the proposed Plans.
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39 1.05. The HRA and/or the City, as appiicable, have performed all actions required by law
40 to be performed prior to the establishment of the District and the adoption of the Plans, including,
41 but not limited to, notification of Ramsey County and School District No. 625 having taxiug
42 jurisdiction over the property to be included in the District, a review of the Plans by the City of Saint
43 Paul Planning Commission (the "Planning Commission") and the holding of a public hearing after
44 published notice as required by law.
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1.06. Certain written reports (the "Reports") relating to the Plans and to the acfivities
contemplated therein have heretofore been prepared by HRA and City staff and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. The Reports include data,
information and/or substantiation constituting or relating to (1) the "studies and analysis" on why
the District meets the so called "but for" test; and (2) the basis for the other fmdings and
determinations made in this resolution. The Council hereby confirms, ratifies and adopts the
Reports, which aze hereby incorporated into and made as fully part of this resolution to the same
extent as if set forth in full herein.
Section 2. Findings by the Citv for the Approval of the Tax Increment Financing Pian
for the Block 39 Renewal and Renovation Tax Increment Financing District.
2.01. The Council hereby finds that the District is in the public interest and is a"renewal
and renovation district" pursuant to Minnesota Statutes, Section 469.174, Subd. 10a.
2.02. The Council hereby finds that the District, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgment of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and to further the public purposes and accompiish certain
objectives as specified in the Block 39 Plan, which is hereby incorporated herein.
2.03. The Council further finds that the proposed development or redevelopment in the
District, in the opinion of the City, would not occur solely through private investment within the
reasonably foreseeable future and that the increased market value on the Block 39 site that could
reasonably be expected to occur without the use of tax increment financing (being $0 because there
are no other proposals of any kind to redevelop Block 39) would be less than the increase in the
mazket value estimated to result from the proposed development (the new development of t�able
property will cost approximately $54,000,000) after subtracting tY2e present value of the projected
tax increments for the maximum duration of the District permitted by the Block 39 Plan and,
therefore, the use of tas increment fmancing is deemed necessary; that the Block 39 Plan conforms
to tUe general plan for the development or redevelopment of the City as a whole; and that the Block
39 Plan will afford masimum opportunity consistent with the sound needs of the City as a whole,
for the development of the District by private enterprise.
2.04. The City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Section 273.li99, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set forth in Section 273.1399.
2.05. The Council further finds, declares and determines that the City made the above
uor,;s
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findings stated in this Section 2 and has set forth the reasons and supporting facts for each
deternunation in writing, attached hereto as Attachment A. �� _� �8'
2.06. The Ciry elects to calculate fiscal disparities for the District in accordance with
Minnesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscal disparities
contribution would not be taken from within the District.
Section 3. Approval of the Pians and Further pocumentation.
3.01. The Plans, as presented to the Council on this date, aze hexeby approved and adopted,
and sha11 be placed on file in the office of the Executive Director of the HRA.
3.02. The staff ofthe Ciry, the City's advisors and legal counsel aze authorized and directed
to cooperate as necessary with the HRA in the implementation of the Plans and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration all further plans, resolufions,
documents and contracts which may be deemed necessary for this purpose.
3.03. The auditor of Ramsey County is requested to certify the original net tax capacity of
the District, as described in the Block 39 Plan, and to certify in each year thereafter the amount by
which the originai net tax capacity has increased or decreased; and the HRA is authorized and
directed to forthwith transmit this request to the county auditor in such form and content as the
auditor may specify, together with a list of all properties within the District for which building
permits have been issued during the 18 months immediately preceding the adoption of this
resolution. Further, the county auditor shall be informed of the removal of Block 39 from the
5eventh Place Tax Increment District.
Adopted by Council: Date
Adoption Certified by Council
By:
Apps
By:
Requested by Department of:
Plannina & Economic Develooment
By:
Eoxm Approved by City Attorney
$Y ��iGi� L��
.�
Approved by Mayor for Submission to Council
By:
�-� e��
A�A��A
RESOLUTION #_
The reasons and facts supporting the findings for the adoption of the Taac Increment
Financing Plan (the "Plan") for the Block 39 Renewal and Renovation Tas Increment Financing
District (the "District") as required pursuant to Minnesota Statutes, Secrion 469.175, Subdivision
3 aze as follows:
L Finding that the Distf-ict is a renewal and renovation district as defzned in Minnesota
Statutes, Section 469.174, Subd. IOa.
The Dishict is a configuous geographic azea consisting of a portion of a project within which (i)
parcels consisting of 70% of the azea of the District are occupied by buildings, streets, utilities, or
other unprovements; (ii) 20% of the buildings are siructurally substandazd; and (iii) 30% of the
other buildings require substantial renovation or clearance to remove existing conditions such as:
inadequate street layout, incompatible uses or land use relationships, overcrowding of buildings
on the land, excessive dwelling unit density, obsolete buildings not suitable for improvement or
conversion, or other identified hazards to the health, safety, and general well-being of the
community; and such conditions are reasonably distributed throughout the geographic area of the
District. Block 39 contains twelve pazcels of land totaling 89,894 square feet of which 100% is
occupied by either buildings, streets, utilities or other improvements. An internal and external
appraisal of the 9 buildings occupying Block 39 determined that 2 of them aze structurally
substandazd. In addifion to the structurally substandazd buildings indicated above, there are 3
buildings that have been vacant for more than 365 days qualifying them for conective action
under Chapter 43 of the St. Paul Legislative Code which exists to protect the public health, safety
and weifare of the community. These conditions are distributed throughout the block.
2. Finding that the proposed development, in the opinion of the Council, would not occur
solely through private investment within the reasonably foreseeable future and, therefore, the use
of tctt increment fznancing is deemed necessary and that the increased market value of the site
that could reasonably be expected to occur without the use of tax increment fanancing would be
Zess than the increase in the market value estimated to result from the proposed development
after subtracting the present value of the projected tax increments for the mncimum duration of
the district permitted by the plan.
Due to the fragmented ownership of the property in the District and excessive costs for the
ciearance and grading, this project is feasible only through assistance, in part, from tas increment
financing. The proposed development consists of an appro�mately 370,000 square foot office
building, parldng ramp and retail space, the increase in market value of which is estimated to be
appro�mately $$65,500,000. The value of development expected to occur without the use of tas
increment fmancing is $0, which is less than the esrimated increase in market value expected to
be created by the proposed project (approafimately $65,500,000) minus the present value of the
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projected tax increments (approximately $5,619,415).
3. Finding that the Tax Increment Financing Plan conforms to the general plan for the
deveZopment or redevelopment of the municipality as a whole.
The Block 39 Plan has been reviewed by the Plauning Commission and been found by resolufion
to conform to the general development and redevelopment plan of the City.
4. Finding that the Ta,r Increment Financing Plan for the District will afford maximum
opportunity, consistent with the sound needs of the City as a whole, for the development of the
District by private enterprise.
The establishxnent of the District will result in the facilitation of redevelopment in downtown
Saint Paul and the crearion of jobs for residents of the City.
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DEWIRTERITqFFlCE/COUNCiI DATE INRIATED � y� v�
rsn s-zi-� GREEN SHEE
CONTACTPERSON & PHONE INRIAVDATE INITIAVpATE
Tony Schertler (66593) � DEPARTMENT DIR � CRY COUNCIL
ASSIGN �CRYA7TpRNEY �CRYCLEqK
MUST BE ON COUNCIL AGENDA BV (DATE) NUYBEN FON ❑ BUDGET DIRECTOR � FIN. 6 MGT. SEFIVICES DIR.
p01RING
G ^ (� ` Q (+� � OPDER � �,�pVOR (OR ASS15fANn ❑
dZ7 1 �-�
TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE)
ACTION REQUESTED:
Resolurion approving the (A) amendment of the Redevelopment Plan for the Seventh Place Redevelopment Project; (B) Modificafion
of the TaY Increment Financing Plan for the Seventh Place Redevelopment Project, and (C) the creation of the Block 39 Renewat and
Renovation Taz Tncrement Financing District and the Ta� Tncrement Financing Plan related
RECAMMENDATiOrvS: npprove (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSWEti THE FOLLOWING �UESTONS:
_ PLANNINCa COMMISSION __ CIVIL SEFiVICE COMMISSION ti� Has this person/firm ever worketl under a coMract fm this tleparlmBM?
_ CIB COMMITTEE _ YES 'NO
2. Has this personffirm ever been a ciry employee?
_ S7n� — YES NO
_ DISTRiC7 CoUrxr , 3. Does this personflirm possess a skill not normally possessetl by any curreM city employee?
SUPPORTS WHICH COUNCILOBJECTIVE? YES NO
Explain all yea answers on separate sheet anE attach to 9�een sheet
1NITIMfNG PROBLEM, ISSUE, OPPORTUNITV (Who, What, When. Where, Why):
Oppor[unity to redevelop an underutIlized downtown city block with a new office tower and parldng ramp.
ADVANTAGES IFAPPROVE�.
Increase market value of block from $4,511,100 to approximately $70,0�0,0(10.
DISADVANTAGES IF APPROVED:
Redevelopment requires relocation of eusting tenanu and acquisition of properties. ��;'Yl"��= ;''°�^�*nP��. �r ., }
.. _ � _ 3 4a�:�€�.?"
� . fQ , � �'-
l�it"e �.' � im �J�
DISADVANTAGES IF NOTAPPROVED:
TOTAL AMOUNT OF TRANSAC710N $ COST/REVENUE BUDGE7ED (CIRCLE ONE) VES NO
FUNDIfiG SOURCE AC7IVITV NUMBER
FINANCIAL INFORFnATION: (EXPLAIN)
Counail File #
Green Sheet #
RESOLUTION
41NT PAUL, MINNESOTA
Presented By
Referred To
RESOLUTION APPROVING THE (A) A
REDEVELOPMENT PLAN FOR THE
REDEVELOPMENT PROJECT; (B) MODIFI
INCREMENT FINANCING PLAN FOR
REDEVELOPMENT PROJECT, AND (C)
BLOCK 39 RENEWAL AND RENOV TI�
FINANCING DISTRICT AND THE TAX REl
RELATING THERETO
BE IT RESOLVED by the Council
follows:
Section 1. Recitals
rL
. Date
1�?MENT OF THE
�SEVENTH PLACE
TION OF THE TAX
SEVENTH PLACE
CREATION OF THE
TAX INCREMENT
VT FINANCING PLAN
City of Saint Paul, Minnesota (the "Council"),as
1.01. On March 26, 1997 e HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare 1 notices and schedule a public hearing on certain matters in
connection with the redevelop ent of Block 39 in the City.
1.42. It has t
Saint Paul, Minnesota
Financing District (tt
"City") approve the
Plan") relating the o
through 469.179 ch
;en oposed that the Housing and Redevelopment Authority of the City of
"HIZA") establish the Block 39 Renewal and Renovation Tas Increment
"District") and, in connection therewith that the City of Saint Paul (the
�ation of the District and the TaY Increment Financing Plan (the `Block 39
all pursuant to and in accordance with Minnesota Statutes, Section 469.174
>ive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the I3RA amend the Redevelopment Flan for the
Seventh P ce Redevelopment Project originally adopted on November 16, 1978 (as previously
amende and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Projec a�inally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such endments sha11 remove Biock 39 from the Seventh Place T� Increment District.
1.04. The I�2A has invesfigated the facts and has caused to be prepared the proposed Plans.
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1.05. The IIRA and/or the City, as applicable, have performed all actions required by 1
to be performed prior to the establishment of the District and the adoption of the Plans, incl mg,
but not limited to, notification of Ramsey County and School District No. 625 hav' taxing
jurisdiction over the properiy to be included in the Dishict, a review of the Plans by the ' of Saint
Paul Plamiing Commission (the "Plauning Commission") and the holding of a publi earing after
published notice as required by law.
1.06. Certain written reports (the "Reports") relating to the Plans d to the activities
contemplated therein have heretofore been prepared by HRA and City s and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. e Reports include data,
information and(or substantiation constihxting or relating to (1) the "stu es and analysis" on why
the District meets the so called "but for" test; and (2) the basis r the other fmdings and
determinations made in this resolution. The Council hereby co E s, rafifies and adopts the
Reports, which are hereby incorporated into and made as fully p�of this resolution to the same
extent as if set forth in ful l herein.
Section 2.
2.01. The Council hereby finds that the Distri is in the public interest and is a"renewal
and renovation districY' pursuant to Minnesota Statu s, Section 469.174, 5ubd. 10a.
2.02. The Council hereby finds that the - istrict, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgme of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and t further the public purposes and accomplish certain
objectives as specified in the Block 39 Pl which is hereby incorporated herein.
2.03. The Council further fin that the proposed development or redevelopment in the
District, in the opinion of the City, w uld not occur solely through private investment within the
reasonably foreseeable future and t t the increased mazket value on the Block 39 site that could
reasonably be expected to occur ' out the use of tax increment financing (being $0) would be less
than the increase in the market alue estimated to result from the proposed development (being
approximately $65,000,000) er subtracting the present value of the projected taY increments for
the maximum duration of e District permitted by the Block 39 Plan (being approxixnately
$5,619,415) and, therefor e use of tax increment financing is deemed necessary; that the Block
39 Plan conforms to the eneral plan for the development or redevelopment of the City as a whole;
and that the Block 39 an will afford maxiuiuxn opportunity consistent with the sound needs of the
City as a whole, for e development of the District by private enterprise.
2.04. e City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Secti 2731399, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set fo in Section 273.1399.
. 5. The Council further finds, declazes and detennines that the City made the above
findi s stated in this Secfion 2 and has set forth the reasons and supporting facts for each
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detennivation in writing, attached hereto as Attachment A.
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2.06. The City elects to calculate fiscal disparities for the District in accordance wi
Miunesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscat dispari ' s
contribution would not be taken from within the Dislrict.
Section 3. Approval of the Plans and Further pocumentafion.
3.01. The Plans, as presented to the Council on this date, aze hereby appro and adopted,
and shall be placed on file in the office of the Executive D'uector of the I�ZA.
3.02. The staffofthe City, the City's advisors and legal counsel aze thorized and directed
to cooperate as necessary with the I�A in the implementation of the Pl and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration a fiu�ther plans, resolutions,
docuxnents and contracts which may be deemed necessary for this p ose.
3.03. The auditor of Ramsey County is requested to ce ' the original net taac capacity of
the District, as described in the Block 39 Plan, and to certify in ach yeaz thereafter the amount by
wluch the original net taa� capacity has increased or deerea d; and the IIRA is authorized and
directed to forthwith transmat this request to the county ditor in such form and content as the
auditor may specify, together with a list of all properti ' within the District for which building
permits haue been issued during the 18 months i ediately preceding the adoption of this
resolution. Further, the county auditor shall be � rmed of the removal of Block 39 from the
Seventh Place Tax Increment District.
Requested by Department of:
Planning & Economic Development
B
Adopted by Counci
Adoption Certi ed
By:
Approved y Mayor:
By: _
Date
Form
by Council Secretary
Date
B
Approv by� y r for mission to Council
Sy:
I50'7773
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Council File # `,- � � �
S�z��q�
"3q 3S3
Green Sheet #
RESOLUTION
SAj�Q`i PAUL, MINNESOTA
Presented sy
Referred To
Committee: Date
RESOLUTION APPROVING THE (A) AMENDMENT OF THE
REDEVELOPMENT PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT; (B) MODIFICATION OF THE TAX
INCREMENT FINANCING PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT, AND (C) THE CREATION OF THE
BLOCK 39 ItENEWAL AND RENOVATION TAX INCREMENT
FINANCING DISTRICT AND THE TAX INCREMENT FINANCING PLAN
RELATING THERETO
BE IT RESOLVED by the Council of the Ciry of Saint Paul, Minnesota (the "Council"),as
follows:
Section 1. Recitals
1 A 1. On March 26, 1997, the HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare all notices and schedule a public heazing on certain matters in
connection with the redevelopment of Block 39 in the City.
1.02. It has been proposed that the Housing and Redevelopment Authority of the City of
Saint Paul, Minnesota (the "HF2A") establish the Block 39 Renewal and Renovation TaY Increment
Financing District (the "District") and, in connection therewith that the City of Saint Paul (the
"City") approve the creation of the Aistrict and the Tax Increment Financing Plan (the `Block 39
Plan") relating thereto, all pursuant to and in accordance with Minnesota Statutes, Section 469.174
through 469.179, inclusive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the HRA amend the Redevelopment Plan for the
Seventh Place Redevelopment Project originally adopted on November 16, 1978 (as previously
amended) and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Proj ect originally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such amendments shall remove Block 39 from the Seventh Place Tax Increment District.
1.04. The HRA has investigated the facts and has caused to be prepazed the proposed Plans.
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39 1.05. The HRA and/or the City, as appiicable, have performed all actions required by law
40 to be performed prior to the establishment of the District and the adoption of the Plans, including,
41 but not limited to, notification of Ramsey County and School District No. 625 having taxiug
42 jurisdiction over the property to be included in the District, a review of the Plans by the City of Saint
43 Paul Planning Commission (the "Planning Commission") and the holding of a public hearing after
44 published notice as required by law.
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1.06. Certain written reports (the "Reports") relating to the Plans and to the acfivities
contemplated therein have heretofore been prepared by HRA and City staff and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. The Reports include data,
information and/or substantiation constituting or relating to (1) the "studies and analysis" on why
the District meets the so called "but for" test; and (2) the basis for the other fmdings and
determinations made in this resolution. The Council hereby confirms, ratifies and adopts the
Reports, which aze hereby incorporated into and made as fully part of this resolution to the same
extent as if set forth in full herein.
Section 2. Findings by the Citv for the Approval of the Tax Increment Financing Pian
for the Block 39 Renewal and Renovation Tax Increment Financing District.
2.01. The Council hereby finds that the District is in the public interest and is a"renewal
and renovation district" pursuant to Minnesota Statutes, Section 469.174, Subd. 10a.
2.02. The Council hereby finds that the District, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgment of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and to further the public purposes and accompiish certain
objectives as specified in the Block 39 Plan, which is hereby incorporated herein.
2.03. The Council further finds that the proposed development or redevelopment in the
District, in the opinion of the City, would not occur solely through private investment within the
reasonably foreseeable future and that the increased market value on the Block 39 site that could
reasonably be expected to occur without the use of tax increment financing (being $0 because there
are no other proposals of any kind to redevelop Block 39) would be less than the increase in the
mazket value estimated to result from the proposed development (the new development of t�able
property will cost approximately $54,000,000) after subtracting tY2e present value of the projected
tax increments for the maximum duration of the District permitted by the Block 39 Plan and,
therefore, the use of tas increment fmancing is deemed necessary; that the Block 39 Plan conforms
to tUe general plan for the development or redevelopment of the City as a whole; and that the Block
39 Plan will afford masimum opportunity consistent with the sound needs of the City as a whole,
for the development of the District by private enterprise.
2.04. The City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Section 273.li99, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set forth in Section 273.1399.
2.05. The Council further finds, declares and determines that the City made the above
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findings stated in this Section 2 and has set forth the reasons and supporting facts for each
deternunation in writing, attached hereto as Attachment A. �� _� �8'
2.06. The Ciry elects to calculate fiscal disparities for the District in accordance with
Minnesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscal disparities
contribution would not be taken from within the District.
Section 3. Approval of the Pians and Further pocumentation.
3.01. The Plans, as presented to the Council on this date, aze hexeby approved and adopted,
and sha11 be placed on file in the office of the Executive Director of the HRA.
3.02. The staff ofthe Ciry, the City's advisors and legal counsel aze authorized and directed
to cooperate as necessary with the HRA in the implementation of the Plans and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration all further plans, resolufions,
documents and contracts which may be deemed necessary for this purpose.
3.03. The auditor of Ramsey County is requested to certify the original net tax capacity of
the District, as described in the Block 39 Plan, and to certify in each year thereafter the amount by
which the originai net tax capacity has increased or decreased; and the HRA is authorized and
directed to forthwith transmit this request to the county auditor in such form and content as the
auditor may specify, together with a list of all properties within the District for which building
permits have been issued during the 18 months immediately preceding the adoption of this
resolution. Further, the county auditor shall be informed of the removal of Block 39 from the
5eventh Place Tax Increment District.
Adopted by Council: Date
Adoption Certified by Council
By:
Apps
By:
Requested by Department of:
Plannina & Economic Develooment
By:
Eoxm Approved by City Attorney
$Y ��iGi� L��
.�
Approved by Mayor for Submission to Council
By:
�-� e��
A�A��A
RESOLUTION #_
The reasons and facts supporting the findings for the adoption of the Taac Increment
Financing Plan (the "Plan") for the Block 39 Renewal and Renovation Tas Increment Financing
District (the "District") as required pursuant to Minnesota Statutes, Secrion 469.175, Subdivision
3 aze as follows:
L Finding that the Distf-ict is a renewal and renovation district as defzned in Minnesota
Statutes, Section 469.174, Subd. IOa.
The Dishict is a configuous geographic azea consisting of a portion of a project within which (i)
parcels consisting of 70% of the azea of the District are occupied by buildings, streets, utilities, or
other unprovements; (ii) 20% of the buildings are siructurally substandazd; and (iii) 30% of the
other buildings require substantial renovation or clearance to remove existing conditions such as:
inadequate street layout, incompatible uses or land use relationships, overcrowding of buildings
on the land, excessive dwelling unit density, obsolete buildings not suitable for improvement or
conversion, or other identified hazards to the health, safety, and general well-being of the
community; and such conditions are reasonably distributed throughout the geographic area of the
District. Block 39 contains twelve pazcels of land totaling 89,894 square feet of which 100% is
occupied by either buildings, streets, utilities or other improvements. An internal and external
appraisal of the 9 buildings occupying Block 39 determined that 2 of them aze structurally
substandazd. In addifion to the structurally substandazd buildings indicated above, there are 3
buildings that have been vacant for more than 365 days qualifying them for conective action
under Chapter 43 of the St. Paul Legislative Code which exists to protect the public health, safety
and weifare of the community. These conditions are distributed throughout the block.
2. Finding that the proposed development, in the opinion of the Council, would not occur
solely through private investment within the reasonably foreseeable future and, therefore, the use
of tctt increment fznancing is deemed necessary and that the increased market value of the site
that could reasonably be expected to occur without the use of tax increment fanancing would be
Zess than the increase in the market value estimated to result from the proposed development
after subtracting the present value of the projected tax increments for the mncimum duration of
the district permitted by the plan.
Due to the fragmented ownership of the property in the District and excessive costs for the
ciearance and grading, this project is feasible only through assistance, in part, from tas increment
financing. The proposed development consists of an appro�mately 370,000 square foot office
building, parldng ramp and retail space, the increase in market value of which is estimated to be
appro�mately $$65,500,000. The value of development expected to occur without the use of tas
increment fmancing is $0, which is less than the esrimated increase in market value expected to
be created by the proposed project (approafimately $65,500,000) minus the present value of the
�� ��o�
projected tax increments (approximately $5,619,415).
3. Finding that the Tax Increment Financing Plan conforms to the general plan for the
deveZopment or redevelopment of the municipality as a whole.
The Block 39 Plan has been reviewed by the Plauning Commission and been found by resolufion
to conform to the general development and redevelopment plan of the City.
4. Finding that the Ta,r Increment Financing Plan for the District will afford maximum
opportunity, consistent with the sound needs of the City as a whole, for the development of the
District by private enterprise.
The establishxnent of the District will result in the facilitation of redevelopment in downtown
Saint Paul and the crearion of jobs for residents of the City.
��,��
���
DEWIRTERITqFFlCE/COUNCiI DATE INRIATED � y� v�
rsn s-zi-� GREEN SHEE
CONTACTPERSON & PHONE INRIAVDATE INITIAVpATE
Tony Schertler (66593) � DEPARTMENT DIR � CRY COUNCIL
ASSIGN �CRYA7TpRNEY �CRYCLEqK
MUST BE ON COUNCIL AGENDA BV (DATE) NUYBEN FON ❑ BUDGET DIRECTOR � FIN. 6 MGT. SEFIVICES DIR.
p01RING
G ^ (� ` Q (+� � OPDER � �,�pVOR (OR ASS15fANn ❑
dZ7 1 �-�
TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE)
ACTION REQUESTED:
Resolurion approving the (A) amendment of the Redevelopment Plan for the Seventh Place Redevelopment Project; (B) Modificafion
of the TaY Increment Financing Plan for the Seventh Place Redevelopment Project, and (C) the creation of the Block 39 Renewat and
Renovation Taz Tncrement Financing District and the Ta� Tncrement Financing Plan related
RECAMMENDATiOrvS: npprove (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSWEti THE FOLLOWING �UESTONS:
_ PLANNINCa COMMISSION __ CIVIL SEFiVICE COMMISSION ti� Has this person/firm ever worketl under a coMract fm this tleparlmBM?
_ CIB COMMITTEE _ YES 'NO
2. Has this personffirm ever been a ciry employee?
_ S7n� — YES NO
_ DISTRiC7 CoUrxr , 3. Does this personflirm possess a skill not normally possessetl by any curreM city employee?
SUPPORTS WHICH COUNCILOBJECTIVE? YES NO
Explain all yea answers on separate sheet anE attach to 9�een sheet
1NITIMfNG PROBLEM, ISSUE, OPPORTUNITV (Who, What, When. Where, Why):
Oppor[unity to redevelop an underutIlized downtown city block with a new office tower and parldng ramp.
ADVANTAGES IFAPPROVE�.
Increase market value of block from $4,511,100 to approximately $70,0�0,0(10.
DISADVANTAGES IF APPROVED:
Redevelopment requires relocation of eusting tenanu and acquisition of properties. ��;'Yl"��= ;''°�^�*nP��. �r ., }
.. _ � _ 3 4a�:�€�.?"
� . fQ , � �'-
l�it"e �.' � im �J�
DISADVANTAGES IF NOTAPPROVED:
TOTAL AMOUNT OF TRANSAC710N $ COST/REVENUE BUDGE7ED (CIRCLE ONE) VES NO
FUNDIfiG SOURCE AC7IVITV NUMBER
FINANCIAL INFORFnATION: (EXPLAIN)
Counail File #
Green Sheet #
RESOLUTION
41NT PAUL, MINNESOTA
Presented By
Referred To
RESOLUTION APPROVING THE (A) A
REDEVELOPMENT PLAN FOR THE
REDEVELOPMENT PROJECT; (B) MODIFI
INCREMENT FINANCING PLAN FOR
REDEVELOPMENT PROJECT, AND (C)
BLOCK 39 RENEWAL AND RENOV TI�
FINANCING DISTRICT AND THE TAX REl
RELATING THERETO
BE IT RESOLVED by the Council
follows:
Section 1. Recitals
rL
. Date
1�?MENT OF THE
�SEVENTH PLACE
TION OF THE TAX
SEVENTH PLACE
CREATION OF THE
TAX INCREMENT
VT FINANCING PLAN
City of Saint Paul, Minnesota (the "Council"),as
1.01. On March 26, 1997 e HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare 1 notices and schedule a public hearing on certain matters in
connection with the redevelop ent of Block 39 in the City.
1.42. It has t
Saint Paul, Minnesota
Financing District (tt
"City") approve the
Plan") relating the o
through 469.179 ch
;en oposed that the Housing and Redevelopment Authority of the City of
"HIZA") establish the Block 39 Renewal and Renovation Tas Increment
"District") and, in connection therewith that the City of Saint Paul (the
�ation of the District and the TaY Increment Financing Plan (the `Block 39
all pursuant to and in accordance with Minnesota Statutes, Section 469.174
>ive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the I3RA amend the Redevelopment Flan for the
Seventh P ce Redevelopment Project originally adopted on November 16, 1978 (as previously
amende and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Projec a�inally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such endments sha11 remove Biock 39 from the Seventh Place T� Increment District.
1.04. The I�2A has invesfigated the facts and has caused to be prepared the proposed Plans.
�
`� 5 `3
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1.05. The IIRA and/or the City, as applicable, have performed all actions required by 1
to be performed prior to the establishment of the District and the adoption of the Plans, incl mg,
but not limited to, notification of Ramsey County and School District No. 625 hav' taxing
jurisdiction over the properiy to be included in the Dishict, a review of the Plans by the ' of Saint
Paul Plamiing Commission (the "Plauning Commission") and the holding of a publi earing after
published notice as required by law.
1.06. Certain written reports (the "Reports") relating to the Plans d to the activities
contemplated therein have heretofore been prepared by HRA and City s and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. e Reports include data,
information and(or substantiation constihxting or relating to (1) the "stu es and analysis" on why
the District meets the so called "but for" test; and (2) the basis r the other fmdings and
determinations made in this resolution. The Council hereby co E s, rafifies and adopts the
Reports, which are hereby incorporated into and made as fully p�of this resolution to the same
extent as if set forth in ful l herein.
Section 2.
2.01. The Council hereby finds that the Distri is in the public interest and is a"renewal
and renovation districY' pursuant to Minnesota Statu s, Section 469.174, 5ubd. 10a.
2.02. The Council hereby finds that the - istrict, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgme of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and t further the public purposes and accomplish certain
objectives as specified in the Block 39 Pl which is hereby incorporated herein.
2.03. The Council further fin that the proposed development or redevelopment in the
District, in the opinion of the City, w uld not occur solely through private investment within the
reasonably foreseeable future and t t the increased mazket value on the Block 39 site that could
reasonably be expected to occur ' out the use of tax increment financing (being $0) would be less
than the increase in the market alue estimated to result from the proposed development (being
approximately $65,000,000) er subtracting the present value of the projected taY increments for
the maximum duration of e District permitted by the Block 39 Plan (being approxixnately
$5,619,415) and, therefor e use of tax increment financing is deemed necessary; that the Block
39 Plan conforms to the eneral plan for the development or redevelopment of the City as a whole;
and that the Block 39 an will afford maxiuiuxn opportunity consistent with the sound needs of the
City as a whole, for e development of the District by private enterprise.
2.04. e City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Secti 2731399, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set fo in Section 273.1399.
. 5. The Council further finds, declazes and detennines that the City made the above
findi s stated in this Secfion 2 and has set forth the reasons and supporting facts for each
2
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detennivation in writing, attached hereto as Attachment A.
�� ���
2.06. The City elects to calculate fiscal disparities for the District in accordance wi
Miunesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscat dispari ' s
contribution would not be taken from within the Dislrict.
Section 3. Approval of the Plans and Further pocumentafion.
3.01. The Plans, as presented to the Council on this date, aze hereby appro and adopted,
and shall be placed on file in the office of the Executive D'uector of the I�ZA.
3.02. The staffofthe City, the City's advisors and legal counsel aze thorized and directed
to cooperate as necessary with the I�A in the implementation of the Pl and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration a fiu�ther plans, resolutions,
docuxnents and contracts which may be deemed necessary for this p ose.
3.03. The auditor of Ramsey County is requested to ce ' the original net taac capacity of
the District, as described in the Block 39 Plan, and to certify in ach yeaz thereafter the amount by
wluch the original net taa� capacity has increased or deerea d; and the IIRA is authorized and
directed to forthwith transmat this request to the county ditor in such form and content as the
auditor may specify, together with a list of all properti ' within the District for which building
permits haue been issued during the 18 months i ediately preceding the adoption of this
resolution. Further, the county auditor shall be � rmed of the removal of Block 39 from the
Seventh Place Tax Increment District.
Requested by Department of:
Planning & Economic Development
B
Adopted by Counci
Adoption Certi ed
By:
Approved y Mayor:
By: _
Date
Form
by Council Secretary
Date
B
Approv by� y r for mission to Council
Sy:
I50'7773
� JvS i zU i�'c �'�
Council File # `,- � � �
S�z��q�
"3q 3S3
Green Sheet #
RESOLUTION
SAj�Q`i PAUL, MINNESOTA
Presented sy
Referred To
Committee: Date
RESOLUTION APPROVING THE (A) AMENDMENT OF THE
REDEVELOPMENT PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT; (B) MODIFICATION OF THE TAX
INCREMENT FINANCING PLAN FOR THE SEVENTH PLACE
REDEVELOPMENT PROJECT, AND (C) THE CREATION OF THE
BLOCK 39 ItENEWAL AND RENOVATION TAX INCREMENT
FINANCING DISTRICT AND THE TAX INCREMENT FINANCING PLAN
RELATING THERETO
BE IT RESOLVED by the Council of the Ciry of Saint Paul, Minnesota (the "Council"),as
follows:
Section 1. Recitals
1 A 1. On March 26, 1997, the HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare all notices and schedule a public heazing on certain matters in
connection with the redevelopment of Block 39 in the City.
1.02. It has been proposed that the Housing and Redevelopment Authority of the City of
Saint Paul, Minnesota (the "HF2A") establish the Block 39 Renewal and Renovation TaY Increment
Financing District (the "District") and, in connection therewith that the City of Saint Paul (the
"City") approve the creation of the Aistrict and the Tax Increment Financing Plan (the `Block 39
Plan") relating thereto, all pursuant to and in accordance with Minnesota Statutes, Section 469.174
through 469.179, inclusive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the HRA amend the Redevelopment Plan for the
Seventh Place Redevelopment Project originally adopted on November 16, 1978 (as previously
amended) and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Proj ect originally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such amendments shall remove Block 39 from the Seventh Place Tax Increment District.
1.04. The HRA has investigated the facts and has caused to be prepazed the proposed Plans.
1507773
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��:�
39 1.05. The HRA and/or the City, as appiicable, have performed all actions required by law
40 to be performed prior to the establishment of the District and the adoption of the Plans, including,
41 but not limited to, notification of Ramsey County and School District No. 625 having taxiug
42 jurisdiction over the property to be included in the District, a review of the Plans by the City of Saint
43 Paul Planning Commission (the "Planning Commission") and the holding of a public hearing after
44 published notice as required by law.
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1.06. Certain written reports (the "Reports") relating to the Plans and to the acfivities
contemplated therein have heretofore been prepared by HRA and City staff and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. The Reports include data,
information and/or substantiation constituting or relating to (1) the "studies and analysis" on why
the District meets the so called "but for" test; and (2) the basis for the other fmdings and
determinations made in this resolution. The Council hereby confirms, ratifies and adopts the
Reports, which aze hereby incorporated into and made as fully part of this resolution to the same
extent as if set forth in full herein.
Section 2. Findings by the Citv for the Approval of the Tax Increment Financing Pian
for the Block 39 Renewal and Renovation Tax Increment Financing District.
2.01. The Council hereby finds that the District is in the public interest and is a"renewal
and renovation district" pursuant to Minnesota Statutes, Section 469.174, Subd. 10a.
2.02. The Council hereby finds that the District, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgment of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and to further the public purposes and accompiish certain
objectives as specified in the Block 39 Plan, which is hereby incorporated herein.
2.03. The Council further finds that the proposed development or redevelopment in the
District, in the opinion of the City, would not occur solely through private investment within the
reasonably foreseeable future and that the increased market value on the Block 39 site that could
reasonably be expected to occur without the use of tax increment financing (being $0 because there
are no other proposals of any kind to redevelop Block 39) would be less than the increase in the
mazket value estimated to result from the proposed development (the new development of t�able
property will cost approximately $54,000,000) after subtracting tY2e present value of the projected
tax increments for the maximum duration of the District permitted by the Block 39 Plan and,
therefore, the use of tas increment fmancing is deemed necessary; that the Block 39 Plan conforms
to tUe general plan for the development or redevelopment of the City as a whole; and that the Block
39 Plan will afford masimum opportunity consistent with the sound needs of the City as a whole,
for the development of the District by private enterprise.
2.04. The City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Section 273.li99, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set forth in Section 273.1399.
2.05. The Council further finds, declares and determines that the City made the above
uor,;s
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findings stated in this Section 2 and has set forth the reasons and supporting facts for each
deternunation in writing, attached hereto as Attachment A. �� _� �8'
2.06. The Ciry elects to calculate fiscal disparities for the District in accordance with
Minnesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscal disparities
contribution would not be taken from within the District.
Section 3. Approval of the Pians and Further pocumentation.
3.01. The Plans, as presented to the Council on this date, aze hexeby approved and adopted,
and sha11 be placed on file in the office of the Executive Director of the HRA.
3.02. The staff ofthe Ciry, the City's advisors and legal counsel aze authorized and directed
to cooperate as necessary with the HRA in the implementation of the Plans and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration all further plans, resolufions,
documents and contracts which may be deemed necessary for this purpose.
3.03. The auditor of Ramsey County is requested to certify the original net tax capacity of
the District, as described in the Block 39 Plan, and to certify in each year thereafter the amount by
which the originai net tax capacity has increased or decreased; and the HRA is authorized and
directed to forthwith transmit this request to the county auditor in such form and content as the
auditor may specify, together with a list of all properties within the District for which building
permits have been issued during the 18 months immediately preceding the adoption of this
resolution. Further, the county auditor shall be informed of the removal of Block 39 from the
5eventh Place Tax Increment District.
Adopted by Council: Date
Adoption Certified by Council
By:
Apps
By:
Requested by Department of:
Plannina & Economic Develooment
By:
Eoxm Approved by City Attorney
$Y ��iGi� L��
.�
Approved by Mayor for Submission to Council
By:
�-� e��
A�A��A
RESOLUTION #_
The reasons and facts supporting the findings for the adoption of the Taac Increment
Financing Plan (the "Plan") for the Block 39 Renewal and Renovation Tas Increment Financing
District (the "District") as required pursuant to Minnesota Statutes, Secrion 469.175, Subdivision
3 aze as follows:
L Finding that the Distf-ict is a renewal and renovation district as defzned in Minnesota
Statutes, Section 469.174, Subd. IOa.
The Dishict is a configuous geographic azea consisting of a portion of a project within which (i)
parcels consisting of 70% of the azea of the District are occupied by buildings, streets, utilities, or
other unprovements; (ii) 20% of the buildings are siructurally substandazd; and (iii) 30% of the
other buildings require substantial renovation or clearance to remove existing conditions such as:
inadequate street layout, incompatible uses or land use relationships, overcrowding of buildings
on the land, excessive dwelling unit density, obsolete buildings not suitable for improvement or
conversion, or other identified hazards to the health, safety, and general well-being of the
community; and such conditions are reasonably distributed throughout the geographic area of the
District. Block 39 contains twelve pazcels of land totaling 89,894 square feet of which 100% is
occupied by either buildings, streets, utilities or other improvements. An internal and external
appraisal of the 9 buildings occupying Block 39 determined that 2 of them aze structurally
substandazd. In addifion to the structurally substandazd buildings indicated above, there are 3
buildings that have been vacant for more than 365 days qualifying them for conective action
under Chapter 43 of the St. Paul Legislative Code which exists to protect the public health, safety
and weifare of the community. These conditions are distributed throughout the block.
2. Finding that the proposed development, in the opinion of the Council, would not occur
solely through private investment within the reasonably foreseeable future and, therefore, the use
of tctt increment fznancing is deemed necessary and that the increased market value of the site
that could reasonably be expected to occur without the use of tax increment fanancing would be
Zess than the increase in the market value estimated to result from the proposed development
after subtracting the present value of the projected tax increments for the mncimum duration of
the district permitted by the plan.
Due to the fragmented ownership of the property in the District and excessive costs for the
ciearance and grading, this project is feasible only through assistance, in part, from tas increment
financing. The proposed development consists of an appro�mately 370,000 square foot office
building, parldng ramp and retail space, the increase in market value of which is estimated to be
appro�mately $$65,500,000. The value of development expected to occur without the use of tas
increment fmancing is $0, which is less than the esrimated increase in market value expected to
be created by the proposed project (approafimately $65,500,000) minus the present value of the
�� ��o�
projected tax increments (approximately $5,619,415).
3. Finding that the Tax Increment Financing Plan conforms to the general plan for the
deveZopment or redevelopment of the municipality as a whole.
The Block 39 Plan has been reviewed by the Plauning Commission and been found by resolufion
to conform to the general development and redevelopment plan of the City.
4. Finding that the Ta,r Increment Financing Plan for the District will afford maximum
opportunity, consistent with the sound needs of the City as a whole, for the development of the
District by private enterprise.
The establishxnent of the District will result in the facilitation of redevelopment in downtown
Saint Paul and the crearion of jobs for residents of the City.
��,��
���
DEWIRTERITqFFlCE/COUNCiI DATE INRIATED � y� v�
rsn s-zi-� GREEN SHEE
CONTACTPERSON & PHONE INRIAVDATE INITIAVpATE
Tony Schertler (66593) � DEPARTMENT DIR � CRY COUNCIL
ASSIGN �CRYA7TpRNEY �CRYCLEqK
MUST BE ON COUNCIL AGENDA BV (DATE) NUYBEN FON ❑ BUDGET DIRECTOR � FIN. 6 MGT. SEFIVICES DIR.
p01RING
G ^ (� ` Q (+� � OPDER � �,�pVOR (OR ASS15fANn ❑
dZ7 1 �-�
TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE)
ACTION REQUESTED:
Resolurion approving the (A) amendment of the Redevelopment Plan for the Seventh Place Redevelopment Project; (B) Modificafion
of the TaY Increment Financing Plan for the Seventh Place Redevelopment Project, and (C) the creation of the Block 39 Renewat and
Renovation Taz Tncrement Financing District and the Ta� Tncrement Financing Plan related
RECAMMENDATiOrvS: npprove (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSWEti THE FOLLOWING �UESTONS:
_ PLANNINCa COMMISSION __ CIVIL SEFiVICE COMMISSION ti� Has this person/firm ever worketl under a coMract fm this tleparlmBM?
_ CIB COMMITTEE _ YES 'NO
2. Has this personffirm ever been a ciry employee?
_ S7n� — YES NO
_ DISTRiC7 CoUrxr , 3. Does this personflirm possess a skill not normally possessetl by any curreM city employee?
SUPPORTS WHICH COUNCILOBJECTIVE? YES NO
Explain all yea answers on separate sheet anE attach to 9�een sheet
1NITIMfNG PROBLEM, ISSUE, OPPORTUNITV (Who, What, When. Where, Why):
Oppor[unity to redevelop an underutIlized downtown city block with a new office tower and parldng ramp.
ADVANTAGES IFAPPROVE�.
Increase market value of block from $4,511,100 to approximately $70,0�0,0(10.
DISADVANTAGES IF APPROVED:
Redevelopment requires relocation of eusting tenanu and acquisition of properties. ��;'Yl"��= ;''°�^�*nP��. �r ., }
.. _ � _ 3 4a�:�€�.?"
� . fQ , � �'-
l�it"e �.' � im �J�
DISADVANTAGES IF NOTAPPROVED:
TOTAL AMOUNT OF TRANSAC710N $ COST/REVENUE BUDGE7ED (CIRCLE ONE) VES NO
FUNDIfiG SOURCE AC7IVITV NUMBER
FINANCIAL INFORFnATION: (EXPLAIN)
Counail File #
Green Sheet #
RESOLUTION
41NT PAUL, MINNESOTA
Presented By
Referred To
RESOLUTION APPROVING THE (A) A
REDEVELOPMENT PLAN FOR THE
REDEVELOPMENT PROJECT; (B) MODIFI
INCREMENT FINANCING PLAN FOR
REDEVELOPMENT PROJECT, AND (C)
BLOCK 39 RENEWAL AND RENOV TI�
FINANCING DISTRICT AND THE TAX REl
RELATING THERETO
BE IT RESOLVED by the Council
follows:
Section 1. Recitals
rL
. Date
1�?MENT OF THE
�SEVENTH PLACE
TION OF THE TAX
SEVENTH PLACE
CREATION OF THE
TAX INCREMENT
VT FINANCING PLAN
City of Saint Paul, Minnesota (the "Council"),as
1.01. On March 26, 1997 e HRA adopted its Resolution No. 97-3/26-7 authorizing the
Executive Director to prepare 1 notices and schedule a public hearing on certain matters in
connection with the redevelop ent of Block 39 in the City.
1.42. It has t
Saint Paul, Minnesota
Financing District (tt
"City") approve the
Plan") relating the o
through 469.179 ch
;en oposed that the Housing and Redevelopment Authority of the City of
"HIZA") establish the Block 39 Renewal and Renovation Tas Increment
"District") and, in connection therewith that the City of Saint Paul (the
�ation of the District and the TaY Increment Financing Plan (the `Block 39
all pursuant to and in accordance with Minnesota Statutes, Section 469.174
>ive; and Minnesota Statutes, Sections 469.001 through 469.047, inclusive.
1.03. It has also been proposed that the I3RA amend the Redevelopment Flan for the
Seventh P ce Redevelopment Project originally adopted on November 16, 1978 (as previously
amende and amend the Tas Increment Financing Plan for the Seventh Place Redevelopment
Projec a�inally approved on November 9,1989 (collectively, with the Block 39 Plan, the "Plans").
Such endments sha11 remove Biock 39 from the Seventh Place T� Increment District.
1.04. The I�2A has invesfigated the facts and has caused to be prepared the proposed Plans.
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1.05. The IIRA and/or the City, as applicable, have performed all actions required by 1
to be performed prior to the establishment of the District and the adoption of the Plans, incl mg,
but not limited to, notification of Ramsey County and School District No. 625 hav' taxing
jurisdiction over the properiy to be included in the Dishict, a review of the Plans by the ' of Saint
Paul Plamiing Commission (the "Plauning Commission") and the holding of a publi earing after
published notice as required by law.
1.06. Certain written reports (the "Reports") relating to the Plans d to the activities
contemplated therein have heretofore been prepared by HRA and City s and submitted to the
Council and/or made a part of the City files and proceedings on the Plans. e Reports include data,
information and(or substantiation constihxting or relating to (1) the "stu es and analysis" on why
the District meets the so called "but for" test; and (2) the basis r the other fmdings and
determinations made in this resolution. The Council hereby co E s, rafifies and adopts the
Reports, which are hereby incorporated into and made as fully p�of this resolution to the same
extent as if set forth in ful l herein.
Section 2.
2.01. The Council hereby finds that the Distri is in the public interest and is a"renewal
and renovation districY' pursuant to Minnesota Statu s, Section 469.174, 5ubd. 10a.
2.02. The Council hereby finds that the - istrict, and the approval of the Block 39 Plan
relating thereto, aze intended and, in the judgme of this Council, the effect of such actions will be,
to provide an impetus for redevelopment and t further the public purposes and accomplish certain
objectives as specified in the Block 39 Pl which is hereby incorporated herein.
2.03. The Council further fin that the proposed development or redevelopment in the
District, in the opinion of the City, w uld not occur solely through private investment within the
reasonably foreseeable future and t t the increased mazket value on the Block 39 site that could
reasonably be expected to occur ' out the use of tax increment financing (being $0) would be less
than the increase in the market alue estimated to result from the proposed development (being
approximately $65,000,000) er subtracting the present value of the projected taY increments for
the maximum duration of e District permitted by the Block 39 Plan (being approxixnately
$5,619,415) and, therefor e use of tax increment financing is deemed necessary; that the Block
39 Plan conforms to the eneral plan for the development or redevelopment of the City as a whole;
and that the Block 39 an will afford maxiuiuxn opportunity consistent with the sound needs of the
City as a whole, for e development of the District by private enterprise.
2.04. e City elects to make a qualifying local contribution in accordance with Minnesota
Statutes, Secti 2731399, Subd. 6(d), in order to qualify the District for exemption from state aid
losses set fo in Section 273.1399.
. 5. The Council further finds, declazes and detennines that the City made the above
findi s stated in this Secfion 2 and has set forth the reasons and supporting facts for each
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detennivation in writing, attached hereto as Attachment A.
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2.06. The City elects to calculate fiscal disparities for the District in accordance wi
Miunesota Statutes, Section 469.177, subd. 3, clause (a), which means the fiscat dispari ' s
contribution would not be taken from within the Dislrict.
Section 3. Approval of the Plans and Further pocumentafion.
3.01. The Plans, as presented to the Council on this date, aze hereby appro and adopted,
and shall be placed on file in the office of the Executive D'uector of the I�ZA.
3.02. The staffofthe City, the City's advisors and legal counsel aze thorized and directed
to cooperate as necessary with the I�A in the implementation of the Pl and for this purpose to
negotiate, draft, prepaze and present to this Council for its consideration a fiu�ther plans, resolutions,
docuxnents and contracts which may be deemed necessary for this p ose.
3.03. The auditor of Ramsey County is requested to ce ' the original net taac capacity of
the District, as described in the Block 39 Plan, and to certify in ach yeaz thereafter the amount by
wluch the original net taa� capacity has increased or deerea d; and the IIRA is authorized and
directed to forthwith transmat this request to the county ditor in such form and content as the
auditor may specify, together with a list of all properti ' within the District for which building
permits haue been issued during the 18 months i ediately preceding the adoption of this
resolution. Further, the county auditor shall be � rmed of the removal of Block 39 from the
Seventh Place Tax Increment District.
Requested by Department of:
Planning & Economic Development
B
Adopted by Counci
Adoption Certi ed
By:
Approved y Mayor:
By: _
Date
Form
by Council Secretary
Date
B
Approv by� y r for mission to Council
Sy:
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