EDA 1995 10 12FILE COPY
AGENDA
HOUSING & REDEVELOPMENT AUTHO~
THURSDAY, OCTOBER 12, 1995, 7:00 P.M.
CHANHASSEN CITY HALL, 690 COULTER DRIVE
CALL TO ORDER
1. Approval of September 28, 1995 Minutes.
VIS/TOR PRESENTATIONS
Anyone wishing to address the HRA may do so at this time.
NEW BUSINESS
2. Present 1996 Budget.
OLD BUSINESS
HRA PRESENTATIONS
3. Approval of Bills.
I
CHANHASSEN HOUSING AND
REDEVELOPMENT AUTHORITY
RF_~ULAR MEETING
SEFFEMBER 28, 1995
Chairman Boyle called the meeting to order at 7:00 p.m.
MEMBERS PIIKqENT: Don Chmiel, Mike Mason, Gary Boyle, and Jim Bohn
MEMBERS ABSENT: Charlie Robbins
STAFF PRESENT: Todd Gerhardt, Asst. Executive Director
APPROVAL OF MINUTES: Mason moved, Chmiel seconded to approve tho Minutes of tho
Housing and Redevelopment Authority meeting dated August 24, 1995 as presented. All
voted in favor and the motion carried.
VISITOR PI~I~ENTATIONS: None.
REQUEST BY RI~SSF_J.~ PAULY TO EXTEND ~ LEASE WITH ~ lIRA,
Todd Gerhardt presented the staff report on this item.
Bohn: Is that March 1st or April lst?
Chmiel: March as it indicates, yeah.
Boyle: Well I think we'll just move fight forward. I'd like to have a motion then that we
approve the extension of the lease until March 1, 1996 on a month to month basis.
Chmiel: I would do move that.
Bohn: I'll second it.
Chmiel moved, Bohn seconded that ~he Housing and Redevelopment Authority approve the
extension on the least with Pauly~ Inc. until Man:h 1, 1996 on a momh to month basis. AH
vo~ed in favor and the motion carded unanimously.
REQUEST BY RYAN CONSTRUCTION TO MODWY THE REDEVEIA)PMENT
AGREEMENT REGARDING THE TACO BEIJ~ DEVELOPMENT.
Todd Gerhardt presented the staff report on this item.
Housing and Redevelopment Authority - September 28, 1995
Boyle: Todd, just one quick question to you. What is the status with Perkins, just to refresh
the memory?
Gerhardt: Perkins is probably about, it's 50% complete. It's under construction fight now and
they, Perkins would receive the '96, '97, '98 increment. They're moving ahead. Everything is
signed. They probably will occupy before the...deadline so they will be meeting their
requirements.
Chmiel: Mr. Chair? It's just basically as I look at this...from what was intended for Boston
Market in using those specific years as opposed with Taco. And so that's basically all...
Mason: Is that then an issue for Boston Market? Because that's getting flip flopped?
Gerhardt: I never talked to the Boston Market representative. I think...as long as they receive
their full 3 years of increment, I don't think.
Mason: Sure, yeah. Okay.
Boyle: It really is no change on tiaeir increment. Could I have a motion that we approve the
amendment to the contract with the condition that Ryan Construction reimburse the city for
attorney's costs.
Bohn: I'll make a motion.
Mason: I'll second.
Boyle: Any discussion?
Bohn moved, Mason seconded that the Housing and Redevelopment Authority approve the
amendment to the contract with Taco Bell with the condition that Ryan Construction
aeimbm~e the city for attorney's costs. All voted in favor and the motion carried
unanimously.
CONSIDER APPROVAL OF THE PURCHASE AGREEMENT WITH APPLE AMERICAN.
LIMITED PARTNERSHIP OF MN (APPLEBEE~L
Todd Gerhardt presented the staff report on this item.
Boyle: Thank you Todd. Good job on it by the way. The net revenue is for the period of
what again Todd? 1998 to the year 2000?
Housing and Redevelopment Authority - September 28, 1995
Gerhardt: Tho net revenue, for taxes I took into account 1998 to the year 2000. And the
building permit would be a one time fee. The liquor license and sewer and water based on an
Boyle: Okay, understand.
Gerhardt: Some of the other questions that were brought up at the last meeting was what the
total assessments against the site were and that's $114,480.00. And the only other major
change in the purchase agreement that has occurred is the request to change the closing date
from January 31st to April 15th, 1996. Staff has again agreed with this change based on
Applebee's process...which is approximately a 3 month process. And they have not made
application yet. I would see them probably getting in here in the later part of December time
frame. So allowing them a few months after that to get city approval. And then we'd close
after that.
Boyle: I think there was also an issue about the closing fee and I see thai the purchasers
agreed to pay the closing fee.
Gerhardt: Yes.
Boyle: Okay. Jim, do you have any questions?
Bohn: What, what say will we have over the looks of the building or the building site itself
after we well it?
Gerhardt: I'd like to survey the rest of the HRA. I think, if I remember right, that the HRA.
I don't want to speak for anyone. Do you want to see architectural review of if? It's always
been a controversial item between the Planning Commission and City Council in looking at
the architectural view of the building. There's been discrepancies in the past where the lIRA
has seen site plans and then saying yeah, that's what we like. And then the developer has
taken it back to Planning Commission and City Council saying well this is what the HRA
likes. You can't change it because this is what our deal is predicated on. And the Planning
Commission and City Council then feel shorted. That they can't give it their full review. So
in the past few years we've taken the approach that once they have Planning Commission and
City Council approval, I would then ask the developer to como back to make a presentation to
you to show you the final product and that you don't make major changes so they can go
back through the Planning Commission and the City Council process to get their input.
Under city ordinance that's how a site plan is reviewed.
Housing and Redevelopment Authority - September 28, 1995
Boyle: I personally agree with that agenda and I think it's in the best .interest of the purchaser
to go that direction too. It makes it a much smoother transition.
Mason: Mr. Chairman, I concur 100%. I think with, we have city ordinance as a due process
if you will for going through architectural review. I do not personally feel it's the purview of
the HRA. I think Planning Commission does a fine job on that and City Council should have
and does have ultimate say on that. I agree with that 100%.
Gerhardt: Mr. Chairman, I know that Jim has, it's close to his heart and I know some of
these buildings turn out arid the sidewalks go and I will try to keep him appraised of when
the Planning Commission meeting is so he can attend that meeting and give his view of the
HKA's, or his thoughts about how that should...
Boyle: And I think that invitation would apply to any member of the HRA to attend those
meetings and that would be the appropriate time to voice your opinion.
Mason: Do you agree with that Jim?
Bohn: Right.
Boyle: May I have a motion to consider to approve the purchase agreement with Applebee's
as stated before us.
Mason: Move approval.
Boyle: May I have a second?
Chmiel: I'll second.
Boyle: Any discussion or further questions?
Mason moved, Chmiel seconded that the Housing and Redevelopment Authority approve the
Purchase Agreement with Apple American Limited Parmership of MN (Applebee's) as
presented. All voted in favor and the motion carded unanimously.
CONSIDER APPROVAL OF THE PURCHASE AGREEMENT WITH TIRFAq PLUS.
Todd Gerhardt presented the staff report on this item.
Boyle: And when would earlier might be?
Housing and Redevelopment Authority - September 28, 1995
Gerhardt: I think we were talking...
Tires Plus Representative: We're anticipating, we're hopeful that the City Council will
approve the final plans, site plan approval for the Tires Plus facility on about the 23rd so we
intend to notify McCarv/lle's of the intent to close immediately after that, which would
probably put us in that early October. 12th or 13th.
Boyle: Thank you. Jim?
Bohn: I don't have any questions.
Boyle: Don?
Chmiel: No. I too think that the way Todd has pulled this together, it's very easy to read
and know exactly what these figures are.
Mason: Very helpful.
Chmiel: I certainly appreciate that.
Mason: Very helpful Todd.
Boyle: May we have a motion to approve the purchase agreement with Tires Plus with a
purchase price of $260,000.00.
Bohn: I'll make the motion.
Boyle: Second?
Chmiel: I'll second it.
Boyle: Any further questions or discussion?
Bohn moved, Chmiel seconded that the Homing and Redevelopment Authority approve the
pureh~t~e agreement with ~res Plus with a pun:h~e price of $260,000.00. All volml in favor
and the motion carried unanimously.
HRA PREqENTATIONS:
Boyle: Do we have any HRA presentations?
Housing and Redevelopment Authority - September 28, 1995
Gerhardt: I would like to make one. I met with the Centennial Committee about 2 weeks
ago and they are really interested in rebuilding the railroad depot and they would like to ask
the I-IRA to find a home, or determine a location for it. That's the only request they're
making out of... Now let me preface that.
Chmiel: You've got one choking and one laughing.
Mason: Doing good so far Todd.
Gerhardt: The big selling point is that they're not asking you for any money. They want to
raise the money to move the railroad depot. They want to raise the money to fix up the
railroad depot and they want to raise the money to put the, they want to pay for it all. All
they're asking for is a piece of land to put it on and that we come up with the design that the
HRA, and I would suggest City Council approve both the design, and Planning Commission.
The design and the location of it. They're anxious to do this and going onto the coat tails of
the Centennial in that they would raise money calling this the Centennial Depot. If it would
be located next to old Village Hall, in that area, they would like to call that Centennial Park.
And wanted' to have me express to you that they would like to see it over in that Pony/Pauly/
Pryzrnus area but for what it's worth, that was that small group's consensus. Where they
would like to see it. Staff would like to present back to you at your next meeting three
concepts at three different locations and then have you direct us to take it to the Planning
Commission and City Council and get their endorsement. And then once we have determined
a site, let this group go to town to raise the money to fix the railroad depot up and put it on a
permanent home.
Boyle: Well I think you're right on target personally and I think that first of all, I think the
idea of having three options, or three altematives and I think the idea of going through City
Council and Planning before coming here is an excellent, or not excellent. Just the proper
and right way to go. So I would concur with that, unless anybody else has another.
Bohn: No. I agree. Totally agree.
Boyle: We'd love to find them a home but there's a proper protocol and I think that Todd,
your recommendations are right on target. Let's proceed ahead where they go to City
Council. First of all, come. Get some options. Go to City Council.
Mason: Mr. Chairman, I would really hope that when everything is said and done, the HRA
can accommodate that. I know some people, and I'll admit to chuckling a little bit about that
but it would be fun to have that railroad station in a permanent place in Chanhassen and that
Housing and Redevelopment Authority - September 28, 1995
would, yeah. I would hope HRA would at some point down the line be able to accommodate
that.
Boyle: Yes Don, you had a comment.
Chmiel: Just one quick comment. In the event the Centennial Commission is not able to
raise total dollars for whatever's going to eventually transpire, how are we going to pick up
tho rest of it?
Gerhardt: Well I would not, we're not asking you to up front the cost. That was not their
request.
Chmiel: No, I realize that but I'm just saying.
Gerhardt: I think if they do a fine job of collecting the necessary money to, or even coming
to 50%, then let them come back and make a request. Maybe you could help assist w/th that.
But I'm convinced that the method that they're thinking about doing in getting this
accomplished is one where they will raise enough money. I am working on trying to come
up with an estimated cost. That's another thing that we need to do and so once we have that.
We have to get a handle. It's about $5,000.00... We're getting some estimates on reshingling
the roof with using new shakes and we're getting some estimates for the windows and
replacement...
Chmiel: Do we want to replace the windows?
Gerhardt: Well the windows that need to be replaced. And then of course...and then Merit
Heating and Cooling has volunteered to install a brand new heating and air conditioning
facility.
Mason: Here, here. Well what the heck, you know.
Boyle: Well it probably would need a new air conditioner. I mean it's going to be heavily
populated.
Bohn: We're not going to hire another outside consultant to do the design work. We're going
to have the house do it?
Gerhardt: Well I would ask the HRA that Mike Schroeder from HGA has done a couple of
concepts for that park area. Knows the area quite well. I would recommend using Mike.
He's fairly reasonable but you know, if you want to go with somebody else. It's just that you
Housing and Redevelopment Authority - September 28, 1995
know, we've gone with some local people when they volunteer their time, it doesn't seem to
get the input that really needs to go into it. So I think we should really use a professional
services that specializes. There's three concepts that you don't like. I don't see a lot of work
that needs to go into this. I mean you're basically going to lay a building on and put some
landscaping and brick work. What the Centennial Committee wants to do is sell brick work
to people like Merit Heating and Cooling can buy a $500.00 brick and Campbell, Knutson
and Scott and Fuchs can buy a $500.00 brick and have their name encarved. And then that's
the money they will use to go in and renovate the facility. It was successful in Excelsior in
putting in their playground and I think it would even be heater here in having the names all
the way around the building and people walking up there and saying this is part of my
building. My name's here and then you have your kids run around and try to find your name.
Lions group could come in and buy a brick. The Rotary could come in and buy a brick.
Mason: I mean this is the kind of deal where John or Jane Q. Public could buy a brick?
Gerhardt: Sure. And then the bigger the brick, the more money you get.
Bohn: How about Jeff from the Planning Commission? He did Some plans and dra~ings for
old St. Hubert's park in front of Old St. Hubert's after Pauly's was gone...
(Taping of the meeting ended at this point in the discussion.)
APPROVAL OF BILLS: Mason moved, Chmiel seconded to approve the Housing and
Redevelopment Authority bills. All voted in favor and the motion carded.
Mason moved, Chmiel seconded to adjourn the meeting. All voted in favor and the motion
carried. The meeting was adjourned.
Submitted by Todd Gerhardt
Asst. Executive Director
Prepared by Nann Opheim
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
TO:
FROM:
Homing and Redevelopment Authority
Todd Gerhardt, Assistant Executive Director
DATE: October 6, 1995
SUB J:
Review of 1996 Budget
Attached for/IRA consideration is the proposed budget (Attachment #1).
The commentary section of the budget gives a
responsibility of the HRA. The attached
with the key personnel and outside services
improvemem projects and special projects
downtowr~ pedestrian bridge, railroad
support of the 4th of July festival and
budget.
etc. I
Festival
description of the specific role and
budget outlines the costs associated
e~h of the capital
on such as geometries for
Lso included money for continuing
the promotional section of the
Staff will be prepared to answer ~y'questions the I-IRA
Thursday night and also req~,.:St~ifiput from the HRA on
would like to consider.. :'.-?..---"
. .
~' ......'. !.~..:'_"'.i
ATI'ACHMENT
.
on the proposed budget
special projects the HRA
· .~ ..,,.~,~. · . ·.....
';~,~:.~.'.. ,..
· ..:~,!~:,~.,~,..,
Proposed 1996:B~ ....
..... _.. :..~.
Tax Increment District #1
CITY OF CHANHASSEN
1996 BUDGET
Comment. ry
General Comment: This fund is included In the 1996 Budget for notational purposes only. This operating budget,
per state law, is officially adopted by the Housing and Redevelopment Authority. Should funds be necessary over
and above the tax Increments generated within the district, or should the HRA propose to establish a general level
of t~(ation/require bonding, their budget would require action by the City Council. As City personnel maintain the
accounting records for both the HRA as well es the City funds, one source document 18 desired to review overall
accounting activities.
RevenueslExpendlturee: The Housing and Redevelopment Authority adopts a yearly work prograrn which
outlines In detail the specific revenue/expenditure levels proposed for the current year. The HRA's "Revenues,
Expenditures, and Cash Flow Analysis" describes the specific revenues/expenditures shown in the budget book
and is hereby adopted by reference. Generally, Fund 460 acts as the parent fund to control the numerous
activities currently being engaged In by the HRA. For example, the Housing and Redevelopment Authority has
underwritten the expenditures associated with various public Improvement projects within the downtown area and
business park. Each of these projects are a separate fund In and of themselves. Each fund requires a specific
debt payment to be paid each year during the course of the next 5-10 years. Recognizing that Fund 460 is the
parent fund, all tax increments are receipted Into this master fund. Similarly, all current and future debt transfers
are shown within the parent fund as a proposed transfer .out In the year necessary to cover the expenditure
associated with that particular prbJect. In addition to making payments for debt service funds, the parent fund also
accounts for payments made as Incentives to businesses locating within the community, paying, administrative
costs associated with the Housing and Redevelopment Authority, and completing acquisitions of parcels within the
downtown area in accordance with the Redevelopment Plan. Prior to the formation of Tax Increment District No.
1, less than 1% of Chanhassen's valuation was commercial/industrial. Today, nearly 20% of the valuation Is
commercial/industrial. By the time the district ceases, It Is anticipated that at least 30% to 40% of Chanhassen's
total valuation will be commercial/industrial. This diversification will significantly benefit Chanhassen's ability to
meet future local needs while not creating a tax burden during the period that the valuation is being generated.
Expenditures: Personal Services & Commodities represent a proportional share of the associated costs of the
"key personnel" involved In the general and financial administration of the fund.
The percentage allocations are:
t995 1996
City Manager 20% 20%
Ass't City Manager 50% 50%
Office Manager 20% 20%
Planning Director 20% 20%
Planning Secretary 20% 20%
City Engineer 10% 10%
Planner II upgrade to Senior Planner in 1996 25% 25%
Planner II 75% 75%
Treasurer 20% 0%
Finance Coordinator 10% 0%
Planner I 25% 25%
Intern for 8 months $8,000
4130 Computer software.
4300 1995 Senior Housing, Moderate-Cost HouslngAItematives.
1996 Pedestrian Bridge, West 79th Street lands, Downtown Grometrics.
4375 1996 February Festival Fireworks, 4th of July Picnic.
4703 1996 New equipment related to bringing the accounting data processing function In-house.
d
46O
CITY OF CHANHASSEN
-' 1996 BUDGET
TAX INCREMENT DISTRICT
Tax Increment District ~1
IACCOUNT
DESCRIPTION
REVENUE
GENERAL PROPERTY TAX
3012 Tax Increment Receipts
* TOTAL GENERAL PROPERTY TAX
OTHER REVENUE
3801 Interest Earnings
* TOTAL OTHER REVENUE
1995 1996 1996
BUDGET ' FIE-E8TIMATE BUDGET
5,150,000 5,150,000 5,750,000
5,150,000 5,150,000 5,750,000
88,133 88,133 ;88,000 -
88,133 88,133 88,000
** TOTAL REVENUE
, 8,133 s,2 8,133 ;.8,000 --
REVENUE OVER/(UNDER) EXPENDITURES
TRANSFER TO DEBT SERVICE
T.I. Ref Bonds of 1994D
T.I. Ref Bonds of 1994C
G.O. Ref Bonds of 1994A
G.O. Ref Bonds of 1994B
T.I. Ref Bonds 1990A
T.I. Bonds of 1991B
T.I. Bonds of 1992B
T.I. Bonds of 1993A
T.I. Bonds of 1993B
T.I. Ref Bonds of 1993E
TOTAL TRANSFER8
FUND BALANCE FORWARD
3,741,053 3,747,653 4,518,525
82,055
311,350
581,237
658,000
517,071
273,805
214,875
309,988
450,000
76,980
3,47~,361
290,622
82 055
311 350
581 237
658 000
517. 071
273 8O5
214. 875
309,988
450,000
76,980
3,47S,361
820,000
104,276
305,605
552,057
662,000
182,804
274,305
264,875
806,463
500,000
121,190
3,773,576
1,092,292
LESS REQUIRED RESERVE
:.: 556,314 1,092,292' .11837,242
TOTAL RESOURCES OVER/(UNDER) LIABILmE8 0 0 0
46O
CITY OF CHANHASSEN
.1996 BUDGET
TAX INCREMENT DISTRICT #1
Tax Increment District #1
IACCOUNT
DESCRIPTION
1996 t995 1996
BUDGET RE-ESTIMATE BUDGET
4010
4020
4030
4040
4050
Salaries & Wages-Reg
Salaries & Wages-Temp
Contributions-Retirement
Contributions-Insurance
Workers' Compensation
TOTAL PERSONAL SERVICES
138,000 138,000 132,000
6,000 0 8,000
17,300 17,300 16,800
12,600 12,600 11,500
800 800 800
174,700 168,700 169,100
4110
4130
Supplies-Office
Supplies-Program
TOTAL MATERIALS & SUPPLIES
1,600 1,600 1,600
2,000 2,000 1,000
3,600 3,600 2,600
4300
4302
4310
4320
4340
4360
4370
4375
4380
4420
Fees, Services 50,000 50,000 50,000
Fees, Legal 15,000 15,000 15,000
Telephone 100 100 100
Utilities 1,000 1,000 1,000
Printing & Publishing 1,600 1,000 1,000
Subscriptions & Memberships 250 250 250
Travel & Training 4,000 4,000 4,000
Promotional Expense 10,000 10,000 12,000
Mileage 100 100 100
Admin. Fees (Overhead) 75,000 75,000 75,000
TOTAL CONTRACTUAL SERVICES 157,050 156,450 158,450
4703
Office Equipment
TOTAL CAPITAL OUTLAY
10,000 10,000 9,000
10,000 10,000 9,000
4804
Special Assessment Pymts.
TOTAL DEBT SERVICE
1,151,730 1,151,730 980,325
1,151,730 1,151,730 980,325
** TOTAL TAX INCREMENT DISTRICT#1 t,497,080 1,490,480 1,319,476
Page: 1
Date: 10/06/95
City of Chanhassen
Detail Claims Roster
Invoice # Description
Checking Account 1010
ASHWOR - DONAT.n ASHWORTH
92595 HRA PLAN
Total for Vendor: ASHWOR
BARASC - BARTON ASCHMAN ASSOC.
00130315 WEST 79TH ST PARCEL
Total for Vendor: BARASC
·
CARTRE - CARVER COUNTY TREASURER
9165
9164
11393
6864
5937
5941
11394
5931
5954
5885
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAX~S
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
2ND HALF TAXES
Total for Vendor: CARTRE
KENNGR- KENNEDY & GRAVEN
CH130-0006 MISC
Total for Vendor: KENNGR.
Amount
21.51
21.51
259.97
259.97
2,077.00
2,254.00
1,379.00
12,755.00
2,738.00
15,882.00
3,584.00
4,272.00
1,083.00
34.00
2,666.00
2,584.00
2,000.00
53,308.00
2,803.80
2,803.80
56,393.28
$56,393.28
Total for Checking Acoount: 1010
** Total **
Page: 1
Date: 07/24/95
Vend #
Invoice
City of Chanhassen
Detail Claims Roster
Description Amount
Checking Account 1010
BARASC - BARTON ASCHMANASSOC.
124345 WEST 79TH STREET
Total for Vendor: BARASC
CAMKNU - CAMPBELL, KNUTSON, SCOTT & FUCHS, P
695 LEGAL SERVICES
063095 MISC. SERVICES-HRA
Total for Vendor: CAMKNU
HOIKOE - HOISINGTON KOEGLER GROUP
070695 PROFESSIONAL PLANNING SERVIC
Total for Vendor: HOIKOE
NAHRO - NAHRO
071995 NAHRO MEMBERSHIP
Total for Vendor: NAHRO
77.89
77.89
37.00
1,256.30
1,293.30
2,447.19
2,447.19
125.00
125.00
Total for Checking Acoount: 1010
3,943.38
** Total ** $3,943.38