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98-630Council File # ln �� 3 � 2 4 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 ORlGINAL � Presented By '" Referred To � Green Sheet # .� fl�� RESOLUTION CITY OF SAINT PAUL, MINNESOTA Committee: Date APPROVAL OF FINANCING FOR CLEANLTP AND REDEVELOPMENT OF THE MIDWAY CENTER PROJECT WHEREAS, on May 6, 1998 the Housing and Redevelopment Authority, Resolurion 98-5/6-1 and St. Paul City Council, File 98-387, approved the execution of a Memorandum ofUnderstanding with RK Midway LLC far the cleanup and redevelopment of the Midway Center project; and WHEREAS, the attached Midway Center Contract for Private Redevelopment ("Redevelopment AgreemenY') incorQarates the terms and conditions outlaned in the Memorandum of Understanding; and WIIEREAS, the City Council authorized the Department of Plaxming and Economic Development to submit a grant application to the Department of Trade and Economic Development on October 25, 1995 for cleanup of the Midway Center project; and WI3EREAS, the Department of Trade and Economic Development awazded the City of Saint Paul a grant of $481,482 for cleanup of the Midway Center project; and WI3EREAS, the Redevelopment Agreement provides for the award of the $481,482 DTED grant funds to RK Midway LLC for contamination cleanup; and VJF3EREAS, the DTED grant funds zequire a local match; and WHEREAS, the total cleanup cost as budgeted in the DTED grant application is $1,596,000; and WHEREAS, through City Council Resolution CF94-1306, the City of Saint Paul is authorized to apply for Section 108 Loan Program funds from the U.S. Department of Housing and Urban Development (H[JD); and WFIEREAS, through City Council Resolution 96-247, the City is authorized to execute a loan agreement between the City and HL)ID for expenditure of Section 108 Loan Program funds on the Saint Paul Polluted lands Cleanup Program; and WHEREAS, the locai match for the DTED funds will consist of $922,518 in Section 108 loan funds, which will be repaid with tas increment revenues, and $192,000 of Economic Development Initiarive grant funds; and WHEREAS, I3RA Resolution amends the Snelling and University Tax Increment Finance Plan to include the Voluntary Tnvestigation Response Action Plan for Midway Center; and `��'-� 43 Vi��,REAS, RK Midway LLC has agreed to enter into a Minimum Assessment and Shortfall Agreement to 44 ensure that sufficient taY increments are generated to provide for repayment of the Section 1081oan funds; 45 and 46 A7 WHEREAS, if RK Midway LLC is unable to complete construction of the project within tluee yeazs of 48 issuance of a Certificate of Completion, but no later than June 1, 2002, RK Midway LLC will repay the EDI 49 and DTED grant funds to the City of Saint Paul; 50 51 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Saint Paul, Minnesota (City) as 52 follows: 53 54 55 56 57 58 59 60 61 62 63 6A b5 66 Subject to the approval of the City Attorney, the form of the Redevelopment Agreement and e�ibits thereto, with RK Midway LLC to provide $481,482 in DTED grant funds, $922,518 in Section 108 loan funds, and $192,000 in EDI funds, all for cleanup of contamination of the Midway Center proj ect as specified in the VRAP dated December 29,1997, aze approved substantially in the form submitted and on file in the office of the City, with such subsequent changes as may be approved by the City Attorney and the City staff as may be necessary and appropriate. 2. The Redevelopment Agreement and exhibits thereto, in substantially the form approved hereby, are directed to be executed or consented to in the name and on behalf of the City by the Mayor, the Director, Office of Financial Services; and Duectar of Human Rights provided that all closing certificates and related instrwnents may be executed in the name of and on behalf of the City by its Director of the Deparhnent of Planning and Economic Development. by Department .�. .�.n �- . n-. Adopted by Council: Adoption Certified b By: Approved by Mayor� By: Date �\a y Council Se taty 1 Form Approved by City Attorney Approved by Mayor for Submission to Council �8�-��0 D�RSMENTAFFICE/COUNCII DATE INITIATED � � � j `Z Planning and Economic Development 7/8/98 GREEN SHEE � CAN�AGT PERSON & PHONE 1NITIALIDATE 1NITIALlDA7E � DEPAHiMENT DIRE � dTV COUNCIL Marie Franchett A$$�GN �CRYATfORNEY OCfTVCLERK NUMBERFON MU5T BE ON COUNCILAGENDA BY (DATE) ROUTING � BUDGEf DIflECTOR � FIN. & MGT. SERVICES DIR. 7f8f(�.$ OflDEH �MqYOR(ORASSISTANTJ O TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE) � ACTIONREQUESTED: APpI"OVa� of Resolution authorizing execution of Contract for Private Redevelooment with R.K. Midway LL�, execution of related documents, aporoval of HRA budqet and TIF Financing Plan amendments. FIECOMMENDATiONS: approve (A) or Fejea (A) pERSONAL SERVICE CONTHACTS MUST ANSWER TNE FOLLOWING QUESTIONS: __ PUINNING CAMMISSION _ CIVIL SERVICE COMMISSION �� Has this person/firm ever worketl under a contrac[ for this department? _ CIBCOMMfREE _ VES NO _�� 2. Has this person/firm ever been a city employee? — YES NO _ DISiRICT CoUR'r _ 3. Does this person/firm possess a skill not normally possessetl by any curtent city employeel SU�ORTS WHICH COUNCIL O&IECTIVE? YES NO Explaln all yes answers on separete sheet and attaeh to green sheet INITIATING PROBLEM, ISSUE. OPPG/RNNITY (Who, What, W�en, Where, Why): On May 6, 1998 the City Council approved executi'on of a Memo of Understanding regardinq $922,518 in TIF/Section 108 financing, $192,000 in EDI funds and $481,482 in DTED funds for project. ADVANTAGESIFAPPpOVED: Cleanup and redevelooment of 4,85 acre si'te, i;ncreased property taxes and removal of blight. DISAOVANTAGES IF APPftOVEO: None. DISADVANTAGES IF NOT APPROVED: Delay i;n cleanup and redevelopment TOTAL AMOUNT OF TRANSAC710N $ 1. 596 .000 COS7/FEVENUE BUD6EiED (CIRCLE ONE) VES NO DTED Grant, T�, �ection l��Coan FUNDIf1GSOURCE {� AC71VI7YNUM6ER Fund #148 and 108 FINANCIALINFORFhATION�(EXPU�RJe Section 108 loan of $922,518 will be repaid with TIf funds Council File # ln �� 3 � 2 4 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 ORlGINAL � Presented By '" Referred To � Green Sheet # .� fl�� RESOLUTION CITY OF SAINT PAUL, MINNESOTA Committee: Date APPROVAL OF FINANCING FOR CLEANLTP AND REDEVELOPMENT OF THE MIDWAY CENTER PROJECT WHEREAS, on May 6, 1998 the Housing and Redevelopment Authority, Resolurion 98-5/6-1 and St. Paul City Council, File 98-387, approved the execution of a Memorandum ofUnderstanding with RK Midway LLC far the cleanup and redevelopment of the Midway Center project; and WHEREAS, the attached Midway Center Contract for Private Redevelopment ("Redevelopment AgreemenY') incorQarates the terms and conditions outlaned in the Memorandum of Understanding; and WIIEREAS, the City Council authorized the Department of Plaxming and Economic Development to submit a grant application to the Department of Trade and Economic Development on October 25, 1995 for cleanup of the Midway Center project; and WI3EREAS, the Department of Trade and Economic Development awazded the City of Saint Paul a grant of $481,482 for cleanup of the Midway Center project; and WI3EREAS, the Redevelopment Agreement provides for the award of the $481,482 DTED grant funds to RK Midway LLC for contamination cleanup; and VJF3EREAS, the DTED grant funds zequire a local match; and WHEREAS, the total cleanup cost as budgeted in the DTED grant application is $1,596,000; and WHEREAS, through City Council Resolution CF94-1306, the City of Saint Paul is authorized to apply for Section 108 Loan Program funds from the U.S. Department of Housing and Urban Development (H[JD); and WFIEREAS, through City Council Resolution 96-247, the City is authorized to execute a loan agreement between the City and HL)ID for expenditure of Section 108 Loan Program funds on the Saint Paul Polluted lands Cleanup Program; and WHEREAS, the locai match for the DTED funds will consist of $922,518 in Section 108 loan funds, which will be repaid with tas increment revenues, and $192,000 of Economic Development Initiarive grant funds; and WHEREAS, I3RA Resolution amends the Snelling and University Tax Increment Finance Plan to include the Voluntary Tnvestigation Response Action Plan for Midway Center; and `��'-� 43 Vi��,REAS, RK Midway LLC has agreed to enter into a Minimum Assessment and Shortfall Agreement to 44 ensure that sufficient taY increments are generated to provide for repayment of the Section 1081oan funds; 45 and 46 A7 WHEREAS, if RK Midway LLC is unable to complete construction of the project within tluee yeazs of 48 issuance of a Certificate of Completion, but no later than June 1, 2002, RK Midway LLC will repay the EDI 49 and DTED grant funds to the City of Saint Paul; 50 51 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Saint Paul, Minnesota (City) as 52 follows: 53 54 55 56 57 58 59 60 61 62 63 6A b5 66 Subject to the approval of the City Attorney, the form of the Redevelopment Agreement and e�ibits thereto, with RK Midway LLC to provide $481,482 in DTED grant funds, $922,518 in Section 108 loan funds, and $192,000 in EDI funds, all for cleanup of contamination of the Midway Center proj ect as specified in the VRAP dated December 29,1997, aze approved substantially in the form submitted and on file in the office of the City, with such subsequent changes as may be approved by the City Attorney and the City staff as may be necessary and appropriate. 2. The Redevelopment Agreement and exhibits thereto, in substantially the form approved hereby, are directed to be executed or consented to in the name and on behalf of the City by the Mayor, the Director, Office of Financial Services; and Duectar of Human Rights provided that all closing certificates and related instrwnents may be executed in the name of and on behalf of the City by its Director of the Deparhnent of Planning and Economic Development. by Department .�. .�.n �- . n-. Adopted by Council: Adoption Certified b By: Approved by Mayor� By: Date �\a y Council Se taty 1 Form Approved by City Attorney Approved by Mayor for Submission to Council �8�-��0 D�RSMENTAFFICE/COUNCII DATE INITIATED � � � j `Z Planning and Economic Development 7/8/98 GREEN SHEE � CAN�AGT PERSON & PHONE 1NITIALIDATE 1NITIALlDA7E � DEPAHiMENT DIRE � dTV COUNCIL Marie Franchett A$$�GN �CRYATfORNEY OCfTVCLERK NUMBERFON MU5T BE ON COUNCILAGENDA BY (DATE) ROUTING � BUDGEf DIflECTOR � FIN. & MGT. SERVICES DIR. 7f8f(�.$ OflDEH �MqYOR(ORASSISTANTJ O TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE) � ACTIONREQUESTED: APpI"OVa� of Resolution authorizing execution of Contract for Private Redevelooment with R.K. Midway LL�, execution of related documents, aporoval of HRA budqet and TIF Financing Plan amendments. FIECOMMENDATiONS: approve (A) or Fejea (A) pERSONAL SERVICE CONTHACTS MUST ANSWER TNE FOLLOWING QUESTIONS: __ PUINNING CAMMISSION _ CIVIL SERVICE COMMISSION �� Has this person/firm ever worketl under a contrac[ for this department? _ CIBCOMMfREE _ VES NO _�� 2. Has this person/firm ever been a city employee? — YES NO _ DISiRICT CoUR'r _ 3. Does this person/firm possess a skill not normally possessetl by any curtent city employeel SU�ORTS WHICH COUNCIL O&IECTIVE? YES NO Explaln all yes answers on separete sheet and attaeh to green sheet INITIATING PROBLEM, ISSUE. OPPG/RNNITY (Who, What, W�en, Where, Why): On May 6, 1998 the City Council approved executi'on of a Memo of Understanding regardinq $922,518 in TIF/Section 108 financing, $192,000 in EDI funds and $481,482 in DTED funds for project. ADVANTAGESIFAPPpOVED: Cleanup and redevelooment of 4,85 acre si'te, i;ncreased property taxes and removal of blight. DISAOVANTAGES IF APPftOVEO: None. DISADVANTAGES IF NOT APPROVED: Delay i;n cleanup and redevelopment TOTAL AMOUNT OF TRANSAC710N $ 1. 596 .000 COS7/FEVENUE BUD6EiED (CIRCLE ONE) VES NO DTED Grant, T�, �ection l��Coan FUNDIf1GSOURCE {� AC71VI7YNUM6ER Fund #148 and 108 FINANCIALINFORFhATION�(EXPU�RJe Section 108 loan of $922,518 will be repaid with TIf funds Council File # ln �� 3 � 2 4 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 ORlGINAL � Presented By '" Referred To � Green Sheet # .� fl�� RESOLUTION CITY OF SAINT PAUL, MINNESOTA Committee: Date APPROVAL OF FINANCING FOR CLEANLTP AND REDEVELOPMENT OF THE MIDWAY CENTER PROJECT WHEREAS, on May 6, 1998 the Housing and Redevelopment Authority, Resolurion 98-5/6-1 and St. Paul City Council, File 98-387, approved the execution of a Memorandum ofUnderstanding with RK Midway LLC far the cleanup and redevelopment of the Midway Center project; and WHEREAS, the attached Midway Center Contract for Private Redevelopment ("Redevelopment AgreemenY') incorQarates the terms and conditions outlaned in the Memorandum of Understanding; and WIIEREAS, the City Council authorized the Department of Plaxming and Economic Development to submit a grant application to the Department of Trade and Economic Development on October 25, 1995 for cleanup of the Midway Center project; and WI3EREAS, the Department of Trade and Economic Development awazded the City of Saint Paul a grant of $481,482 for cleanup of the Midway Center project; and WI3EREAS, the Redevelopment Agreement provides for the award of the $481,482 DTED grant funds to RK Midway LLC for contamination cleanup; and VJF3EREAS, the DTED grant funds zequire a local match; and WHEREAS, the total cleanup cost as budgeted in the DTED grant application is $1,596,000; and WHEREAS, through City Council Resolution CF94-1306, the City of Saint Paul is authorized to apply for Section 108 Loan Program funds from the U.S. Department of Housing and Urban Development (H[JD); and WFIEREAS, through City Council Resolution 96-247, the City is authorized to execute a loan agreement between the City and HL)ID for expenditure of Section 108 Loan Program funds on the Saint Paul Polluted lands Cleanup Program; and WHEREAS, the locai match for the DTED funds will consist of $922,518 in Section 108 loan funds, which will be repaid with tas increment revenues, and $192,000 of Economic Development Initiarive grant funds; and WHEREAS, I3RA Resolution amends the Snelling and University Tax Increment Finance Plan to include the Voluntary Tnvestigation Response Action Plan for Midway Center; and `��'-� 43 Vi��,REAS, RK Midway LLC has agreed to enter into a Minimum Assessment and Shortfall Agreement to 44 ensure that sufficient taY increments are generated to provide for repayment of the Section 1081oan funds; 45 and 46 A7 WHEREAS, if RK Midway LLC is unable to complete construction of the project within tluee yeazs of 48 issuance of a Certificate of Completion, but no later than June 1, 2002, RK Midway LLC will repay the EDI 49 and DTED grant funds to the City of Saint Paul; 50 51 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Saint Paul, Minnesota (City) as 52 follows: 53 54 55 56 57 58 59 60 61 62 63 6A b5 66 Subject to the approval of the City Attorney, the form of the Redevelopment Agreement and e�ibits thereto, with RK Midway LLC to provide $481,482 in DTED grant funds, $922,518 in Section 108 loan funds, and $192,000 in EDI funds, all for cleanup of contamination of the Midway Center proj ect as specified in the VRAP dated December 29,1997, aze approved substantially in the form submitted and on file in the office of the City, with such subsequent changes as may be approved by the City Attorney and the City staff as may be necessary and appropriate. 2. The Redevelopment Agreement and exhibits thereto, in substantially the form approved hereby, are directed to be executed or consented to in the name and on behalf of the City by the Mayor, the Director, Office of Financial Services; and Duectar of Human Rights provided that all closing certificates and related instrwnents may be executed in the name of and on behalf of the City by its Director of the Deparhnent of Planning and Economic Development. by Department .�. .�.n �- . n-. Adopted by Council: Adoption Certified b By: Approved by Mayor� By: Date �\a y Council Se taty 1 Form Approved by City Attorney Approved by Mayor for Submission to Council �8�-��0 D�RSMENTAFFICE/COUNCII DATE INITIATED � � � j `Z Planning and Economic Development 7/8/98 GREEN SHEE � CAN�AGT PERSON & PHONE 1NITIALIDATE 1NITIALlDA7E � DEPAHiMENT DIRE � dTV COUNCIL Marie Franchett A$$�GN �CRYATfORNEY OCfTVCLERK NUMBERFON MU5T BE ON COUNCILAGENDA BY (DATE) ROUTING � BUDGEf DIflECTOR � FIN. & MGT. SERVICES DIR. 7f8f(�.$ OflDEH �MqYOR(ORASSISTANTJ O TOTAL # OF SIGNATURE PAGES (CLIP ALL LOCATIONS FOR SIGNATURE) � ACTIONREQUESTED: APpI"OVa� of Resolution authorizing execution of Contract for Private Redevelooment with R.K. Midway LL�, execution of related documents, aporoval of HRA budqet and TIF Financing Plan amendments. FIECOMMENDATiONS: approve (A) or Fejea (A) pERSONAL SERVICE CONTHACTS MUST ANSWER TNE FOLLOWING QUESTIONS: __ PUINNING CAMMISSION _ CIVIL SERVICE COMMISSION �� Has this person/firm ever worketl under a contrac[ for this department? _ CIBCOMMfREE _ VES NO _�� 2. Has this person/firm ever been a city employee? — YES NO _ DISiRICT CoUR'r _ 3. Does this person/firm possess a skill not normally possessetl by any curtent city employeel SU�ORTS WHICH COUNCIL O&IECTIVE? YES NO Explaln all yes answers on separete sheet and attaeh to green sheet INITIATING PROBLEM, ISSUE. OPPG/RNNITY (Who, What, W�en, Where, Why): On May 6, 1998 the City Council approved executi'on of a Memo of Understanding regardinq $922,518 in TIF/Section 108 financing, $192,000 in EDI funds and $481,482 in DTED funds for project. ADVANTAGESIFAPPpOVED: Cleanup and redevelooment of 4,85 acre si'te, i;ncreased property taxes and removal of blight. DISAOVANTAGES IF APPftOVEO: None. DISADVANTAGES IF NOT APPROVED: Delay i;n cleanup and redevelopment TOTAL AMOUNT OF TRANSAC710N $ 1. 596 .000 COS7/FEVENUE BUD6EiED (CIRCLE ONE) VES NO DTED Grant, T�, �ection l��Coan FUNDIf1GSOURCE {� AC71VI7YNUM6ER Fund #148 and 108 FINANCIALINFORFhATION�(EXPU�RJe Section 108 loan of $922,518 will be repaid with TIf funds