HomeMy WebLinkAbout2007 [07] Jul 11
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www.cityofstjoseph.com
CITY OF ST. JOSEPH.
Administrdtor
Judy Weyrens
st. Joseph Econorni~ Deyelop~entAuthority
30INf1",\MEE~I~S.VVl~ff!;QI~,QQ.lJJ:NC1L.
Meeting Notice
Wednesday July 11, 2007
3:00 p.m. City Hall
Mdyor
Richdrd. Cdrlbom
Councilors
Steve Frdnk
AI Rdssier
Renee Symdnietz
Ddle Wick
1. Call to Order (by Treasurer Heinen, due to absence of vice-chair and
chair vacancy).
2. Oath of Office -appointee.
3. Approval of Agenda..
4. Approval of Minutes.
a. June 20, 2007
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5. Accounts Payable and Financial Report.
a. Approval of Accounts Payable
b. Approval of Financial Report
6. Business.
a. TIF Application - Schellinger.
b. Market Research Study ~ McComb Group.
c. 2008 Budget Workshop.
d. Approve Disbursements: TIF 1-3 and TIF 1-4.
e. Appointment of EDA Chairperson.
7. Board Member Announcements.
8. Adjournment.
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2.~ College Avenue North' PO Box 668 . Sdint. Joseph, Minnesotd .,6'314
Phone ,2.0.,6,.72.01 FdX ,2.0.,6,.0,42.
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OATH OF OFFICE
I,
. do solemnly swear to support the Constitution of the United
States, the Constitution of the State of Minnesota, the laws of the City of St.
Joseph and to discharge faithfully the duties of the office of Board Member of
the St. Joseph Economic Development Authority, to the best of my judgement
and ability, so help me God.
Signed this If1' day of July 2007.
Signature
ATTEST:
CITY OF ST. JOSEPH
Cynthia Smith-Strack, EDA Director
(0)
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CITY OF ST. JOSEPH
ECONOMIC DEVELOPMENT AURTHORITY
Meeting Minutes - Wednesday, June 20, 2007
Present: EDA Board Members Ken Jacobson, Tom Skahen, Dale Wick and Carolyn Yaggie-
Heinen.
Also present: Chris Schellinger and Wendy Haselbus with Remodeling ProfessionalS,. Traci ,Ryan
with David Drown Associates, St. Joseph Finance Director Lori Bartlett, City Administrator Judy
Weyrens and Cynthia Smith - Strack of Municipal Development Group.
Vice Chairperson Jacobson called the June 20, 2007 meeting ofthe St. Joseph EDA to order at
3:00 p.m.
Agenda.
Vice Chairperson Jacobson introduced the agenda. Moved by Wick seconded by Skahen to
approve the agenda as presented except for moving agenda item 5a up to just before agenda
item 4. Motion carried 4-0.
Approval of Minutes.
Vice Chairperson Jacobson introduced the minutes from the May 16, 2007 meeting. Motion
Skahen, Seconded Heinen to approve minutes from the previous meeting. Motion carried 4-0.
Preliminary TIF Application: Schellinger
Vice Chairperson Jacobson introduced the agenda item. Strack noted that developer Chris
Schellinger and consultant Wendy Haslebus were present to answer any questions regarding the
proposed project. In addition Traci Ryan was present to address any questions the EDA had
regarding. the use of redevelopment TIF in conjunction with the project.
Strack noted that Chris Schellinger had submitted a pre-application for Tax Increment Financing
assistance for the construction of an 8,000 to 9,000 square foot commercial (retail/office) facility
at 24 College Avenue North in Downtown St. Joseph. ,A summary of , the proposed project was
included in the EDA packet. Pay-as-you-go redevelopment TIF assistance is requested in order
to help the project move forward. Staff has requested the Company provide the EDAwith
preliminc;lry source/use statements illustrating a gap (net present value) in funding. The appliCant
had not as of the time of the meeting submitted a source and use statement and a sufficient
concept plan although the developer had initial source/use statements and concept sketches with
him at this time. Strabk noted the developer wanted to seek approval of the use ofTIF to assist
the project prior to closing on the property. Construction was expected to be at the earliest this fall
or the latest the Spring of 2008. The developer is representing the completed value of the project
to be $1.2 to $1.4 million.
Strack noted Ms. Ryan had prepared preliminary TIF projections based on the estimated
completion value. The projections indicated a net present value of TIF of $325,560 (25 years) or
$230,772 over a 15-year term. Ryan reviewed the projections in detail and described a proposed
method to modify TIF District 2-1. Ryan suggested including additional parcels within the
modification as a means of simplifying additional development that could occur near the proposed
development.
The EDA discussed the potential project and noted support for the concept of a new commercial
facility at the subject location. However, the EDA noted additional information regarding project
sources/uses and a more detailed site plan would be needed prior to the EDA making a
recommendation to the City Council regarding the use of redevel~ment TIF. If the required
information is submitted prior to the joint CC/EDA meeting on July 11 the preliminary application
could be acted on at that time.
EDA Minutes - June 20, 2007
1
The EDA thanked Schellinger for his interest in redevelopment in downtown St. Joseph.
EDA Accounts Payable.
Jacobson introduced the topic. Strack noted accounts payable for the month totaled $10,383.26
including $2;249.17 for MDG and $8,000 in dues to the St. Cloud Area Economic: Development
Partnership. Strack noted Administrator Weyrens had envisioned a transfer from the fund balance
covering the dues to the Partnership.
Motion by Wick, second by Heinen to approve the EDA accounts payable for the month of May
2007 in the amount of $10,383.26. Motion carried 4-0.
Financial Report.
Jacobson introduced the agenda item. Strack noted the City's new Finance Director, Lori Bartlett
was present at the meeting. Bartlett would be instrumental in. assisting the EDA through the
budget process and would also be available to advise the EDA on municipal finance matters and
the results of the 2006 audit. Reports presented included: revenue, expense, check register and
fund balance. .
Motion by Wick; second by Heinen to approve the May financial reports as presented. Motion
carried 4-0.
2006 Audit
Jacobson introduced the topic. Bartlett reviewed reports contained in the 2006 audit including a
combining balance sheet and revenues, expenditures and changes in fund balances as they
related to the EDA. EDA members thanked Bartlett for presenting the information.
Southwest ~eltway Transportation Corridor Study CAC
Jacobson introduced the agenda item. Strack noted the St. Cloud APO, Stearns County, Waite
Park, St. Joseph and St. Joseph Township agreed to initiate a corridor study for a regional arterial
roadway commonly referred to as the 'Southwest Beltway'. This arterial roadway is an extension
of 33rd Street from St. Cloud to Highway 15 to Highway 75 somewhere in the vicinity of CR 134.
The initial portion of the Southwest Beltway corridor from 33rd Street in St. Cloud (including an at-
grade intersection with Hwy 15) to the western boundary of Quarry P,ark in Waite Park has been
mapped. The remaining portion is the subject of the proposed study. A consulting engineering
firm has been selected to lead the corridor study. As part of the scope of the study a 'cori"idor
advisory committee' (CAe) will be convened to provide input on the study and various
altematives. The CAC group is to include a representative from the EDA. The CAC group is
scheduled to meet twice although the date, location, time of those meetings has not yet been
established. It is expected the initial CAC meeting will be held within the next month.
Weyrens joined the meeting and noted the initial meeting date was Wednesday, August 8th from 2
to 4:30 p. m. at Waite Park City Hall.
Motion Skahen, Second Heinen to appoint Ken Jacobson and Dale Wick as co-representatives to
the CAC. Motion carried 4-0.
20th Av~nue North Design Services
Jacobson introduced the agenda item. Strack noted the transportation plan completed by the City
of St. Joseph last year illustrated a collector street projecting north from existing 20th Avenue in
the vicinity of Ridgewood Road. Since completion of the transportation study, City staff have been
meeting with property owners potentially affected by the roadway extension. In the course of
meeting with some property owners it became apparent that special design services were needed
to properly evaluate the impact a potential roadway could have on efficient operation at an
existing facility. Staff had located a specialized engineering consultant to assist with site
evaluation. The cost of a site visit and report preparation was not to exceed $1,500. The potential
EDA Minutes - June 20, 2007
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roadway extension will impact cornrTIerciaVindustrial property. presently and in the future. The
EDA had budgeted $2,000 for engineering expense related to economic development for the year
2007. The $1,500 study was proposed to be paid by the EDA from the Engineering line item.
Motion Heinen, second Wick to approve the $1,500 study. Motion carried 4-0.
Downtown Work Group Urban Environs Draft D"ign Guidelines
Jacobson introduced the agenda item. Strack noted that at the previous EDA meeting Board
Members directed the draft guidelines be mailed to all business/property owners within Downtown
along with information on financial/technical resources available from tne EDA and answers to
questions which were likely to arise. The cover memo, FAQ's and financialltechnical resource
listings that were mailed to property owners along with the draft guidelines were included in the
. packet along with a listing of those receiving the mailing.
Strack noted the guidelines were mailed three weeks prior to the EDA meeting and that she had
not be contacted by anyone regardihg the standards.
The EDA noted the next step should be to bring the guidelines to public hearing at the next
Planning Commission meeting. Weyren~ noted she have the item added to the agenda, the
hearing notice mailed to business owners and the draft guidelines put on' the City website.
McComb Group Market Research Study - Preliminary Tables
Jacobson introduced the topic and noted Complete Electronics and City Hall should be added to
the list of businesses. Heinen noted GMS AutObody should be changed to CMS Autobody. Wick
noted Tam Photography should be changed to Tamm Photography. Weyrens noted Joseph's
Hair Care and Floral Arts should be added to the list of businesses. Strack noted she and
Weyrens were concerned with the classification of Sals, the LaPlayette and Loso's as full service
food establishments within the downtown. The EDA agreed and recommended reclassification of
the three facilities.
Strack noted the final study is due out by the end of June. A joint City Council and EDA meeting
is proposed for July 11th to review the study results.
Next Meeting Date: Change ftom July 18th to July 11th (proposed)
Jacobson introduced the agenda topic. Motion Heinen, second Skahen to hold the July EDA
meeting on July 11th versus the 18th. The meeting will be ajoint meeting with the City Council.
Adjournment.
Motion Skahen, s~cond Heinen to adjourn the EDA meeting. Meeting adjourned at 4:45 PM.
EDA Minutes - June 20, 2007
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www.cityofstjoseph.com
CITY OF ST. JOSEPH
Administrdtor
ludy Weyrens
DATE:
MEMO TO:
July 3, 2007
St. Joseph Economic Development Authority
FROM:
Cynthia Smith-Strack, Municipal Development Group
MdYor
Richdrd CdrlbomRE:
Accounts Payable - July 2007
June Financial Reports
Councilors
Steve Ffdnk A. Accounts Payable:
Al Rdssier Following are Accounts Payable for the EDA's Consideration.
Renee Symdnietz Payable To For Fund
Ddle Wick MDG,lnc. June Econ. Dev. Service 150-46500-300
Qwest Metrocom Telephone 150-46500-000
Pitney Bowes Postage 150-46500-322
Newsleader Visitor's Guide 150-46500-340
Total
Amount
$ 2,333.13
$ 26.59
$ 83.04
$ 71.00
$ 2,513.76
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Action:
A MOTION is in order to approve the Accounts Payable.
B. -Financial Report:
June financial reports for the EDA are following. The reports consist of:
1. EDA revenue to date.
2. EDA expenditures to date.
3. Check Register.
4. Fund Balances (Econ Dev. 150, TIF 1-3 155, TIF 1-4 156 and RLF250).
Action:
A MOTION is in order to approve the financial reports.
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2~ College
Avenue North' PO Box bb8
Phone ')20.')6')7201
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. Sdint. joseph, Minnesotd .,6)74
FdX ')20.')6').0')42
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INVOICE
MUNICIPAL DEVELOPMENT GROUP, INC.
25562WILLOW LANE
NEW PRAGU~. MN 56071
952,,758-7399
FAX:. 952-758-3711
mdg@bevcomm.net
City of St. Joseph
Attn: Judy Weyrens
City Acf.mil1istrator
PO 668 .
St. Joseph, MN 56374
Invoice D.ate 07-10-07 I Payment Terms: 30 days I Customer ID #: ST J07ED
Project June Economic Development Services
See attached detail
Amount: $1,925.00 Monthly contract fee - 33.00 hrs.
$ 408.13 841.5 miles x .485
$2,333.13
Code to: 150-46500-300 for general EDA
Remit To: Municipal Development Group, Inc.
25562 Willow Lane
New Prague, MN 56071
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Dates..EDA
June 6, 2007 EDA Office Hours 7.00 hrs. C. Strack
June 13, 2007 EDA Office Hours 8.50 hrs. C. Strack
June 14,2007 EDA Office Hours 3.50 hrs. C. Strack
June 20, 2007 EDA Office Hours 8.50 hrs. C. Strack
June 27, 2007 EDA Office Hours 8.25 hrs. C. Strack
Total June, 2007 35.75 hours
Total MDG, Inc. 2007 Hours through June, 2007 = 236.55
Thank you/ We appreciated the opportunity to work with you!
I Check No.
Date:
Principal
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CITY OF ST JOSEPH
07/03/07 11 :02 AIV
Page 1
EDA Report
June 2007
2007 YTD June 2007
Account Descr Budget 2007 Amt YTO Amt Balance
FUND 150 Economic Development
E 150-46500-103 Legislative Bodies $750.00 $0.00 $0.00 $750.00
E 150-46500-151 Workers Compo Ins $150.00 $0.00 $0.00 $150.00
E 150-46500-200 Office Supplies $500.00 $0.00 . $0.00 $500.00
E 150-46500-300 Professional Servic $24,100.00 $2,469.17 $11,815.47 $12,284.53
E 150-46500~303 Engineering Fee $2,000.00 $0.00 $0.00 $2,000.00
E 150-46500-304 Legal Fees $1,000.00 $0.00 $0.00 $1,000.00
E 150-46500-321 Telephone $600.00 $26..59 $374.77 $225.23
E 150-46500-322 Postage $250.00 $83.04 $148.24 $101.76
E 150-46500-327 Tax Increment Certif $0.00 $0.00 $0.00 $0.00
E 150-46500-331 Travel & Conferenc $500.00 $0.00 $0.00 $500.00
E 150-46500-340 Advertising $500.00 $71.00 $100.25 $399.75
E 150-46500-433 Dues & Subscription $0.00 $0.00 $8,000.00 -$8,000.00
E 150-46500_510 Land $0.00 $0.00 $0.00 $0.00
E 150-46500-582 Computer Software $300.00 $0.00 $0.00 $300.00
E 150-46500-587 Special Projects $0.00 $0.00 $0.00 $0.00
E 150-46500-700 Misc $0.00 $0.00 $0.00 $0.00
FUND 150 Economic Development $30,650.00 $2,649.80 $20,438.73 $10,211.27
FUND 155 TIF 1-3 Borgert (SKN)
E 155-46500-300 Professional Servic $935.00 $0.00 $0.00 $935.00
E 155-46500-327 Tax Increment Certif $0.00 $0.00 $0.00 $0.00
E 155-46500-340 Advertising $50.00 $0.00 $0.00 $50.00
E 155-46500-600 Debt Service - Prine $8,307.00 $0.00 $0.00 $8;307.00
E 155-46500-611 Bond Interest $10,413.00 $0.00 $0.00 $10,413.00
E 155-46500-620 Agent Fees $0.00 $0.00 $0.00 $0.00
FUND 155 TIF 1-3 Borgert (SKN) $19,705.00 $0.00 $0.00 $19,705.00
FUND 156 TIF 1-4 St. Joe Development $0.00
E 156-46500-300 Professional Servic $4,700.00 $0.00 $4,700.00
E 156-46500-304 Legal Fees $0.00 $0.00 $0.00 $0.00
E 156-46500-327 Tax Increment Certif $0.00 $0.00 $0.00 $0.00
E 156-46500-340 Advertising $50.00 $0.00 $0.00 $50.00
E 156-46500-600 Debt Service - Prine $14,996,00 $0.00 $0.00 $14,996.00
E 156-46500-611 Bond Interest $32,196.00 $0.00 $0.00 $32,196.00
E 156-46500-620 Agent Fees $0.00 $0.00 $0.00 $0.00
FUND 156 TIF 1-4 51. Joe Development $51,942.00 $0.00 $0.00 $51,942.00
FUND 157 TIF 2-1 Millstream
E 157-46500-340 Advertising $0.00 $0.00 $84.50 -$84.50
FUND 157 TIF 2-1 Millstream $0.00 $0.00 $84.50 -$84.50
FUND 250 Revolving Loan Fund
E 250-46500-304 Legal Fees $0.00 $0.00 $0.00 $0.00
E 250-46500-490 Revolving Loan $0.00 $0.00 $0.00 $0.00
FUND 250 Revolving Loan Fund $0.00 $0.00 $0.00 $0.00
$102,297.00 $2,649.80 $20,523.23 $81,773.77
II
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SOURCE
SOURCE Oeser
FUND 150 Economic Development
34150 TIF/MIF Deposit
36210 Interest Earnings
36300 Reimbursement
39201 Transfers from Other Fund
FUND 150 Economic Development
FUND 155 TIF 1-3 Borgert (SKN)
31050 Tax Increment
FUND 155 TIF 1-3 Borgert (SKN)
FUND 156 TIF 1-4 St. Joe Development
31050 Tax Increment
FUND 156 TIF 1-4 St. Joe Development
FUND 157 TIF 2-1 Millstream
34150 TIF/MIF Deposit
FUND 157 TIF 2-1 Millstream
FUND 250 Revolving Loan Fund
36210 Interest Earnings
36212 CDAP Loan Interest
39312 CDAP Loan Proceeds
F.50 Revolving Loan Fund
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CITY OF ST JOSEPH
EDA Revenues
Current Period: June 2007
YTD %
Budget Rev Revenue Balance of Budget
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $8,389.34 -$8,389.34 0.00%
$0.00 $8,389.34 -$8,389.34 0.00%
$0.00 $20,801.39 -$20,801.39 0.00%
$0.00 $20,801.39 -$20,801.39 0.00%
$0.00 $17,000.00 -$17,000.00 0.00%
$0.00 $17,000.00 -$17,000.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $0.00 $0.00 0.00%
$0.00 $46,190.73 -$46,190.73 0.00%
07/03/07 11 :08 AM
Page 1
11
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OBJ
CITY OF ST JOSEPH
EDA Expenditures
Current Period: June 2007
OBJ Oescr
YTO
Expense
Budget Exp
FUND 250 Revolving Loan Fund
$0.00
.
.
$0.00
$102,297.00
$20,438.73
Itf
Balance
$0.00
$81,858.27
%
of Budget
0.00%
19.98%
07/03/07 11 :05 AM
Page 2
Search Name
MUNICIPAL DEVELOPMENT CORP
QWEST-TELEPHONE
ST. JOSEPH NEWSLEADER
PITNEY BOWES
CHECK #
038997
039000
039007
039039
CITY OF ST JOSEPH
EDA Check Register
Comments
FUND
eda contract hours- 150
telephone service-J 150
Vistor's Guide Ad 150
postage 150
/5
07/03/07 11 :07 AM
Page 1
DEPART
Amount
46500
46500
46500
46500
$2,469.17
$26.59
$71.00
$83.04
$2,649.80
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Administrator
Judy Weyrens
Mdyor
Richard Carl60m
Councilors
Steve Frank
AI Rassier
Renee Symanietz
Dale Wick
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www.cityofstjoseph.com
CITY Of ST. JOSEPH
DATE:
July 3, 2007
MEMO TO:
Economic Development Authority
Honorable Mayer Rassier
Members of the City Council
Administrator Weyrens
Cynthia Smith-Strack, Municipal Development Group
FROM:
RE:
Request for Tax Increment Financing Assistance - Schellinger
Request:
Mr. Chris Schellinger has submitted a pre-application for $230,000 (net present value) Tax
Increment Financing assistance for the construction of a 9,000 square foot facility at 24
College Avenue North. A copy of the TIF Pre-Application is attached for your review. A
representative of the company will be present to answer questions regarding the preliminary
application.
Background:
TIF
Tax increment financing is a tool which allows the City/EDA to reimburse a company or land
owner a portion of the new property taxes aenerated as a result of an development project.
The amount of financial assistance available (TIF) is dependent upon a number of factors
including but not limited to the assessed market value of the building and the financial need of
the company. There are several types of tax increment financing districts, each of which has a
maximum increment period established by state law. Mr. Schellinger is requesting assistance
in the form of redevelopment TIF.
Redevelopment T1F
A "redevelopment district" means a type of TIF district consisting of a project, or portions of a
project, within which the authority finds by resolution that one or more of the following
conditions, reasonably distributed throughout the district, exists:
1. Parcels consisting of 70 percent of the area of the district are occupied
by buildings, streets, utilities, paved or gravel parking lots, or other
similar structures and more than 50 percent of the buildings, not
including outbuildings, are structurally substandard to a degree
requiring substantial renovation or clearance;
2. The property consists of vacant, unused, underused, inappropriately
used, or infrequently used rail yards, rail storage facilities, or excessive
or vacated railroad rights-of-way;
3. Tank facilities, or property whose immediately previous use was for tank
facilities, as defined in section 115C.02, subdivision 15, if the tank
facilities:
utA - I V
a. Have or had a capacity of more than 1,000,000 gallons;
b. Are located adjacent to rail facilities; and
c. Have been removed or are unused, underused,
inappropriately used, or infrequently used; or
(It -:s
2) College Avenue North' PO Box 668 . Saint. Joseph, Minnesota )6174
Phone ,20.,6,.]201 Fax ,20.,6,.0,42
4. A qualifying disaster area.
The Remodeling Professionals project is expected to qualify for redevelopment TIF under (1)
above.
Term of T1F Aareement
The maximum term of a redevelopment TIF district is 25 years, however, the term of any TIF
agreement should only reflect the amoLint needed to close a demonstrated 'gap' in financing;
therefore, very often the approved agreement terms are much shorter than the maximum
allowed by state taw. . .
Pavas vou ao TIF
State law allows the City/EoAto proceed with two type~ of TIF financing mechanisms. The
first is the issuance of a TIF bond by the City/EoA.ln this arrangement the proceeds of new
tax inCrements are immediately available to the developer in the form of cash. With this type of
mechanism the City/EDA bear significant risk in that if the project isn't completed and/or taxes
are not paid, the City is responsible for making the bond payment.
Due to the amount of risk involved, the City of S1. Joseph's TIF policy highly discourages the
issuance of TIF bonds. Instead an arrangement known as 'pay as you go' is the standard
mechanism embraced by the City/EOA.With 'pay as you go' TIF, the City does not issue
debt, instead the City enters into an agreement with the Developer pledging to 'rebate' a
portion of the tax increment provided property taxes are paid. In this kind of arrangement, the
Developer may use the TIF agreement to leverage a note from a conventional lender but the
City is not incurring risk if taxes aren't paid or the project not completed.
The Proiect
A site plan (draft) for the proposed development is attached. The redevelopment project
consists of the construction of an 9,000 s.f. commercial structure within the Downtown.
Estimated market value after taxes is anticipated to be $1.2 to $1.4 million; construction cost is
estimated at: 784,590.
. Pav-as-vou-qo redevelopment TI F assistance is reauested in order to help the project move
forward. Schellinger has provided the EDNCity with preliminary source/use statements
illustrating a gap (net present value) in funding.
Requirements: Preliminary TIF Application:
The following are required to be submitted with the preliminary application for TIF assistance:
1. A map showing the exact boundaries of the proposed development. A preliminary site
plan is attached.
2. A General description of the project including the following:
· Size and location of building(s); The proposed single story structure will be
utilized for commercial lease space. The building design is reminiscent of
traditional downtown buildings. Parking will be provided to the rear of the
facility.
· Business type and use; The redevelopment project will raze an existing
residential dwelling and add 9,000 sf of commercial lease/own units in
downtown. Commercial uses are expected to be a mix of retail and
professional offices. 4 portion of the new structure will house the
Applicant's business, Remodeling Professionals.
· Traffic information, inCluding parking; Pal"k.ing facilities are proposed to the rear
of the building, as required in the Central Business District. The Planning
EO d\ - Il
Cc-c.-f
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- Timing of project; The applicant wishes to proceed with the expansion on a
timely basis. The project cannot commence until, if .approved, a TlF
as!reement is. s(gned. Commencement of any construction activity prior. to
the. signing of a TlF agreement will void any/all increment available to the
p~"iect and, the~fore,theuseof tax increment financing. The applicant
wishe$ to. proceed with site plan. approval later this summer and with
construction to begin at the earliest in the Fall of this year or at the latest
the $pring 2008.
-Estimated. market value following. project completion. MDG has consulted with
the CounfYAssessorregllrdinga pr"jectedEMV. The review is pending at
this time, ho.wever,. a report is expected in time for the July 11th meeting. The
appJicanthasprovided project estimates within project pro..formas which
place the project cost at $1.2 to $1.4I11illion.
3. The existing Comprehensive Plan land use designation and zonin~ of the property. . the.
comprehens;ve planguide$ the subject Pelrcel. to contInued downtown (Central
Busine$S District) use. Current zoning class is 8..1. Professional offices and retail
facilities are permitted within said zoning class.
4. A statement identifying how the increment will be used and why it is needed to complete
the project The increment will be used to assist with the follo.wing eligible expenses
associated with the development: land acquisition, site preparation, demolition and
utility placement/service/connection.
Thorough sources/uses. will be included with the final application for T/F, the
company will be required to disclose financial information in conjunction with the
final application. Preliminary sources/uses are included in attachments to this
memo.
.
5. A statement identifying the public benefits for the proposal including estimated increase in
property valuation, new jobs to be created and other community assets. The preliminary
application includes the following statement "The redevelopment of this site will
increase the property tax value from a single familyhol1le with an estimated EMVof
$106,000 to a commercial development with. an estimated market ~alue .befi1leen
$1,200,000 and $1,400,000. Furthermore, the redevelopment of tl1js site will dIrectly
benefit the revitalization efforts of the City in promoting new businesses in the core
DQwntown. ,i
6. A written perspective of the developers company (i.e. corporation, principals, history, past
projects, etc.). A written narrative is attached to this memo.
TIF Policy:
A copy of the City's TIF policy is attached. The policies for the use of TIF include the
following:
1. General Policy... The City of St. Joseph and EDA shall consider Tax Increment
Financing for projects that serve to accomplish the City's goals for housing and
economic development as they may change over time. The goals include facilitating
projects that would result in the creation of quality jobs(Le. stable employment and/or
attractive wages and benefits) and the attraction. retention. and exoansion of business
and housing ootions in the City. The request appears to meet this policy criteria.
.
2. Objectives: As a matter of adopted policy, the City of St. Joseph and EDA will
consider using tax Increment Financing (TIF) to assist private development projects to
achieve one or more of the following purposes: The project appears to meet
objectives as outlined in (a), (c), (d), (e) and (f) below.
.~ ly4 ,- If)
((!~5
achieve one or more of the following purposes: The project appears to meet
objectives as outlined in (a). (C;). (d), (e) andlfJ below.
a.Remove blight and/or encourage redevelopment in the commercial
and industrial 'areas of the City in order to encourage high quality
development or redevelopment and private reinvestment in those
areas.
b. To provide for a balanced and sustainable housing stock to meet
diverse needs both today and in the future.
c. To retain local jobs and/or increase the number and diversity of
quality jobs {Le. stable employment andfor attractive wages and
benefits.
d. To encourage additional unsubsidized private development in the
area, either directly, or through secondary "spin-off' development.
e. To offset increased costs of redevelopment (i.e. contaminated site
clean-up, demolition of existing building), over and above those costs
that a developer would incur in normal urban and suburban
development.
f. To facilitate the development process and to achieve development on
sites which would not be developed without this assistance.
3. Costs that qualify for TIF assistance: The TIF would assist with the razing of a
substandard building and replacement of the building with a human-scale
commercial facility. Unless exempt from business subsidy law (Mn. Stat.) the
development will be required to create a minimum of one new livable wage job
within two years. The applicant ;s propQsing the creation of a minimum of two
new" employment ,positions. Upon final application additional 'information
regarding the occupatiofJal classification of proposed jobs will be submitted.
4. Minirnum Qualifications:
a. T1F would facilitate development that would not occur without the assistance. The
Preliminary TIF application is supplemented by source/use statements
including preliminary proforma analysis which identify a $230.00 (net
present value) gap in project funding. The applicant has certified the
development could not occur but for the use of TIF.
b. But...For Test The pre-application requires the developer to submit a statement
identifying how the increment will be uses and why it is needed to complete the
project. The applicant has submittedsources!uses analysis illustrating the
project does ,not cashflow without TIF assistance.
c. The project is consistent with the Comprehensive Plan and zoning
ordinance. The subject parcel is zoned dOtf'ntown commercial.
d. Prior to approval of the TIF Plan {at the time of final application}, financial
guarantees and credentials will be required.
e. The Applicant has executed a purchase agreement for the property.
E alA- -) q
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5. Desired Qualifications:
.
a. Taxes paid .before and after. the development will be .greater than a 2:1 ratio.
Current properly taxes payable on the subject parcel equal to $1,050. Taxes
pClSt construction are estimated at 3% of the project cost or $36,000
annually. Preliminary TIF projections have been cie;jted by Ms. Traci Ryan
of David Drown Assoc:iates and are attached for your information.
b. TIF should not be used for speculative projects. Mr.. Sc:hellinger has been a
develQpmentprofessicmalfor over a decade. Remodeli/1g Professionals wa,S
ffirmed in 2004. The company has conducts business within a 15-mile
radius of the City of St. Joseph. ComPlete financial information from the
cClmpany and major shareholders 'Hill be requIred ifl'Nhen a final application
is submitted.
.
c. TIF should not be used t6 pay for oVerpriced land. The Tj~ assistance is
proposed to be used for costs associated with redevelopment of
substandard property within the original townsite (Central Business District)
and not for greenfield development. As you are aware, redevelopment costs
in downtown areas far exceed greenfield development due to the fact the
parcel features an existing structure which shall be razed resulting in more
intensive site preparation work. In addition, since the site is within a dens.e,
developed urban area, specialized construction techniques must be
employed. TIF is not being used to pay for overpriced raw land.
d. TIF should be pay~as-you go. The request is for pay-as-you go assistance.
e. Preference is given to projects that do not cause extraordinary demands on City
services. The applicant is proposing retail/office space. No extraordinary
demands on the utility systems are anticipated.
f. Preference is given to projects that are consistent with the compo plan, improve
surrounding land uses, provide new employment, are financially feasible and
provide the highest and best desired use for the prOperty. The project appears
to. meet all of (/1eaforementione.d criteria in addition to furthering the City's
gClal of revitalizing the Downtown with pedestrian friendly, human-scale
construction.
The Developer and the City's new TIF Consultant will be present to provide. answers to
questions and additional comment as requested. The Developer's purchase agreement
expires at the close of August and the Developer can not close on the property unless TIF is
approved. The concept of 'preliminary' as it pertains to this request is similar to the concept of
'preliminary' in conjunction with a 'preliminary plat.' Although the conventional definition of
'preliminary' describes activities preceding the main discourse or business approval of the
'preliminary' TIF application is an action analogous to approving the conceptual use of TIF for
this project.
Action:
If the EQA is supportive of utilizing TIF for this project, a MOTION is in order to recommend
the City Council approve the pre-application and authorize submittal of the final application
and fee.
..
If the City Council is supportive of utilizing TIF for this project, a MOTION is in order to
approve the pre-application and authorize submittal of the final application and fee.
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City of St. Jos~ph
TIE AssistancePrQgram
Preliminary Application
(I?JeClseprintorty~)
Genera'lflf()nn~tiofl:
Legal name of owner/applicant:
C tHtt~ s.c~ '-~~
Operating Entity (if different): Tel>
Address: 3\5"es~J~\. A-~ A\JQN \ M!JSt.a~"O
Telephone Nurnber:-3Zo. ~4~'.l\'\~Fax Number: 3~. ~'1S"dl.\q L{
. , c,\ a;q Z, '44\.1 . ~
Name of contact person: . . ,. C \~S.L~tlU:lSUttL
.
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The following information should be presented in to the Sl Joseph EOA Office as soon as
possibleafterthe initial meeting with the EPADirector. The information will be evaluated to
determine if the proposed project conforms with the community's goals and objectives.
==> A map showing the exact boundaries of the proposed development.
==> Give a general description of th,e project including the following:
· Size and location of building{s)
· business type and use
· traffic information, including parking
· timing of project
· estimated market value following completion
=> The existing Comprehensive Plan land use designation and Zoning of the property.
Make a general statement as how the project will conform to the land use
designation.
=> A statement identifying how the increment will be used and why it is needed to
complete the project.
. ==> A statement identifying the public benefits of the proposal including estimated
increase in property evaluation, new jObs to be created and other community assets.
=> A written perspective of the developers company(i.e. corporation, principals, hist.ory,.
past project, etc.)
Signat",re
Applicants signature:
Date: \ Z~\JN ocr
.
E D/I ~ J ~
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24 College Avenue North
~. Name: No Parcels Selected
Address:
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Description:
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61612007.
Pin:
.
.
.
24 College Ave Project
The request to consider ill financing is being su.bmitted fora project proposed to be
constru.eted at 24 College Ave.
General J)eseripnon of PrOject
Thesitecoftsists of'24,328 sq.ft. and is curren.t1yincluded i1Jthe Downt()W11
Reaevelopment.TIF. di$trict. The proposed...walk.U}).office..col}dominiumswowd.be
consistent with the intent to.revitalize~. Core Downtown. as outliI1e(i. in the Final. Draft
oftheJJesign Standan;JsCommittee UtbanEnvirons WorkGroup dated May 1,2007.
The-Site is c~ntlyoccUpiea ?~ a sll1~:fmhi1)'.ho~ean~~8ra~~.$UfVey of the lot .
shows it tQ be 10n~Mcl narrow ~th a single acce$Sfrom. th~ adjAAent alley.
Redevelopment of the site will necessitate removal oithe house, garage, site preparation
and accessing utilities.
Utilities are . accessible to the site and it is anticipated that minimal disruption to College
Ave will OCCtlr during constructiOtL. .
Size and Loea-tittn of the Building
· The buildi~ IS proposed to be set-back from College Avenue property line 5 - 15
feet and front along the entire length of the West property line. abutting College
Avenue. .
· Proposed size of the building is estimated at between 8,000 - 9,000 square feet
Business Type and Use
.. Business type and use would be Professional Office Space and/or Retail.
Traffic infoJ'n)ation, parking~ ete.
· Parkfug is proposed to be at the rear of the building along with associated on-
street parking. .
· Ingress and egress to the rear lot parking will be through the East! West alley
along the South property line. -
Timing of Project .
· Timing of municipal approval of the project and initial interest in the pf()perty
will impact the start for the project, however,
· The goal is to begin COnstructi9D as early as Fall 2007 or as late as Spring 2008.
Estimated Market Value of Completed ~ject
· The proposed project is estimated to have a completed market value of between
$1,200,000 and $1,400,000.
~
tjy4 -21
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Existing Comprehensive Plan Designation and Land Zoning
24 College Avenue is within District Five of the Comprehensive Plan land use districts
and bas the following designations, zoning and/or uses: .
ClIITent Zoning
The Zoning of24 College Avenue is currently commercia1/B-l Central Business District
Compreheusive Piau Land Use designation(s)
The Comprehensive Plan identifies/recomtnends the land use f9r this property. as Central
Business and/or Medium to High Density residential.
Prop~Project's c()nfonnatioJl t() cUlTent zoning and land US~ design~tion
The ptoJX>seq OfficelRetaij business development weetS the goals and uses set forth in
the existing zoning and Comprehensive plan for this property in several ways: .
> Redevelopment of an existing residential unit within the Central Business District
near the city's core.
> Creation of a commercial development that meets the goal of expanding a vital
downtown business district
> Property is within the.service area of existing municipal utilities and will;
> Assist in prevention of "leap ftogn type development into un-serviced areas and;
> Provide for maximum. cost effectiveness for community residents.
> The property is largely underutilized relative to the potential for business activity.
Increment Uses and Necessity
The site is currently occupied by a single family home and garage. Survey of the lot
shows it to be long and narrow with a single access from the adjacent alley.
Redevelopment of the site willl1ecessitate removal of the house, garage, site preparation
and accessing utilities. BecaUSe of the limiteq access and size of th~ lot, maximization of
the lot is difllCUlt. Increment will be used to defray the costs of redevelopment and
llinited functionality of the site
Due to the current market structure in St Joseph, it is urilikely rents will be high enough
to support the redevelopment costs associated with this site. Similar commercial
developments within the core downtown are Iimitedto a new project proposed on the
next block to the south of the site. Existing office/commercial properties for rent or
purchase are significantly older and therefore depress tl1e market prices.
Tax increment proceeds will be used to dewy the redevelopment costs of the site and
support the depressed rents in the market to allow the. project to be successful.
Public Benefit of Devel()pment
The redevelopment of this site will increase the property tax value from a single family
home with an estimated market value of $1 06,000 to a commercial development with an
estimated market value between $1,200,000 and $l.400,OOO. Furthermore, the
redevelopment oftbis site will directly benefit the revitalization efforts of the city in
promo1:ing new businesses in the Core Downtown.
d
-EIJA- 2'5
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.
24 College Avenue Development Company Team
Developer:
Chris Sehellinger
A Life-long local ~dent residing in CoDegeville
Township and fourth..genera.tion General Contractor in the
St. Cloud area.
Owner ofRernodeling Professionals oiSt Clou~ me., a
company focusing prima.riIy in residential.remodeIing with
all ousiness occurring within a 15 mile radius of Saint
Joseph, MN". Significant b~iness and business
ttl.a:l1agement experienee Within. the St Cloud/St. Joseph
MetI'opolltap area within c(1)StrUction, manufacturing and
developrnent. _ .
Development Consultant: Wendy Hulsebus
Wendy. Hulsebus has over ten years of commercial lending
and real estate development experience. She specializes in
collUIlercialfinancing and land development.
LegalCounsel:
D. Michael NoonaD - Rinke Noonan
Mike Noonan is a. founding shareholder and has been
practicing law with Rinke Noonan since 1969. He
concentrates in the areas of business, corporations~
partnerships, mergers and acquisitions, commercial
transactions, and commercial real estate law.-
Scott Bamak - Rinke Noonan
Scott Hamak has been practicing law with Rinke Noo1l3Il
since 2000 and Concentrates in the areas of business law,
commercial transactions, mergers and acquisitions and real
estate development.
Marketing Agent:
BiD MolitorlMeyer Commercial
Bill has an extensive background in commercial and
industrial development, site selection and leasing. He is a
life-long resident of the area and very familiar with the St.
Cloud/St. Joseph area.
Architect:
To Be Determined
Financing:
To Be Determined
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Additional Site Plan Detail
24 College Avenue Project
1. Heating/Cooling-
a Rooftop cooling units
h. In floor, hot water heat.
2. Steel Truss
a. See notes on site plan for additional information.
3. # of Restrooms
a. Up to # 2 sets of common area testrooms.
4. Percentage RetaillOffice
a. Unknown at this time, depending entirely upon first tenants.
b. It is expected there will be approximately a SO/50 mix.
A-h
.
f'roperty Address:
Investment Property Analysis w/o TIF
Purchase Cost
Down Payment
e~
Financing:
Financing:
Amount
Amount
$1,008;000
$0
Land Value
Person.' prqpefty Value
Buildi,,!! Value
Land Improvement Value
TotlIl Depreciation
DSCR Parking Units
1.01 ~i
'I
Term 20 P&I $!l,9oa IlTlo. $106,894 Iyr;
Term 30 P&I $0 Imo, $0 Iyr.
X 0% Depreciation
X 20.00% $3,000
X 3,64% $44,1n
I X 6.67% $667
$47,844
$1,260;0110
$2S2,OOQ
Rate I
Rate
8.7S%
6:00%
Rent per Unit:
TIF
---....----........------.-----.-------..------....-......
$1 08; 000
$0
$108,000
Annual Operating Expeli.es:
RealE!itate Tax $0
Repail'S & Painti1l9 $0
MaintJCaretkr $0
Management $0
Reserves $0
Total Operating Expenses:
Gross Operating Inoome
Minus: Total Operating Expenses
Equals: Net Operating Income
Minus: Annual Debt Service
Equals: Cash Flow Before Taxes
.
II. Annual Debt Service
Minus: Interest
Equals: Principal Reduction
9,000 sq It $
Les. Vacancyl 0.00%1
0.0%
0.0%
0.0%
0.0%
0.0%
12 rent rate triple net
Gross Operating Income:
Insurance
UlilitieslWater/Cable
Advertising
Oleaning & Supplies
LawrilSnow
$0
$0
$0
$0
$0
...................._................n_........................._.__..___.._.........._.....................____._...............
$.108,000
$0
$108,000
$106,894
Oap Rate:
DSCR:
8.S7%
1.01
$106,894
$88,200
.........-.........._...._....n...._.._.._................___.........._....._.._
$108,000
$88,200
$47,844
($28,lJ44}
~
........_......~_..................--.........__...._-.._.._.._..................--...........
IV. Appreciation
~~x
III. Net Operatillg Income
Minus: Interest
Minus: Total Depreciation
Equals: Taxable income
Multiply: Tax Bracket
Equals: lncome Tax Saved or (Paid)
Return on Investment with Appreciation
Purchase Cost
......-.-........-..........-...............-.......................-...........-...............-
._...._._._.__.........-....._._----_..__...~_._.._-............--
Cash flow before taxes + Prine/oal reduction + Taxes Saved + Alloreciation
Gash Invested
Return on investment without Appreciation
---.-...-.....-.-.........--.......-...-.....-.......-.....-....-..
Capitalization Rate
Cash flow before taxes + Princ/oal reduction + Taxes Saved
Cash Invested
...--..............-.........-..----.--.......-.-................---.-.-...-.---.......-..-......-.....
Net Ooeratina Income
Purchase Oost
Cash on Cash
.-.........-....-----------..--.-..-.----.---..
Cash flow before tax
Cash Invested
NOTE: INFORMATION DEEMED RELIABLE BUT NOT GUARANTEED .. SOME CALCULATJONS ARE SUBJECT TO MATHMATlCAL ROUNDING
.
A -1
Income Value
$1,260,000
$1,106
$18,694
$9,81S
$25,200
21.8%
11.8%
8.6%
0.4%
0,0%
0.0.0/0
0.0%
0.0%
0.0%
$108,000
$0
Per Unit
$1,260,000
2%
Investment Property Analysis wI TIF
Property Address:
$1,260,000 DSCR Parking Units
$252,000 1.13 ..........~....,.,....<"'''''''''''''"'"
8.75% Term 20 P&I $7,998 Imo. $95,971 tyro
6.00% Term 30 P&I $0 tmo. $0 tyro
$20,000 X 0% Depreciation
$15,000 X 20.00% $3,000
$1,215,000 X 3.54% = $44,177
$10;000 X 6.67% $667
Purchase Cost
Down Payment
~
$905,003
$0
Rate
Rate
Financing:
Financing:
Amount
Amount
Land Value
Personal Property Value
Building Value
Land Impr()vement Value
Total Depreciation
$47,844
Rent per Unit:
TIF
$108,000
$0
$108,000
9,000 sq ft $
12 rent rate triple net
Less Vacancyl 0.00%1
Gross Operating Income:
'$108,000
Annual Operating Expenses:
Real Estate Tax
Repairs & Painting
MaintlCaretkr
Management
Reserves
$0
$0
$0
$0
$0
0.0%
0.0%
0.0%
0,0%
0.0%
Insurance
UtilitieslWatertCable
Advertising
Cleaning & Supplies
LaWrilSnow
$0
$0
$0
$0
$0
0.0%
0.0%
0.0%
0.0%
0.0%
Total Operating Expenses:
$0
I. Gross Operating Income
Minus: Total Operating Expenses
Equals: Net Operating Income
Minus: Annual Debt Service
Equals: Cash Flow Before Taxes
$108,000
$0
$108,000
$95,971
Cap Rate:
DSCR:
8.57% =
1.13
Income Value
$1,260,000
Per Unit
$1,260,000
$12,029
II. Annual Debt Service
Minus: Interest
Equals: Principal Reduction
$95,971
$79,188
$16,784
2%
III. Net Operating Income
Minus: Interest
Minus: Total Depreciation
Equals:' Taxable Income
Multiply: Tax Bracket
Equals: Income Tax Saved or (Paid)
$108,000
$79,188
$47,844
($19,032)
~
IV. Appreciation
~'X
. ," ,', "" . .';l
I _ ,~
Purchase Cost
$6,661
$25,200
Return on Investment with Appreciation
24.1%
Cash flow before taxes + Princioal reduction + Taxes Saved + Aooreciation
Cash Invested
Return on Investment without Appreciation .................................................................................................................
Cash flow before taxes + Princioal reduction + Taxes Saved
Cash Invested
14.1%
Capitalization Rate
8.6%
Net Ooeratina Income
Purchas.e Cost
Cash on Cash
4.8%
Cash flow before tax
Cash Invested
NOTE: INFORMATION DEEMED RELIABLE BUT NOT GUARANTEED. . . SOME CALCULATIONS ARE SUBJECT TO MATHMATlCAL ROUNDING
14'%
.1
24 CoUege Ave Project
Sources
$
$
$
Bank Financing
Tax Increment Financing
Deferred Developer Fees
Total Sources
.
.
905,00.3
230,000
100,000
$ 1,235,003
Uses
Land Acquisition
Building Construction
Demolition
Professional Fe~s
Development Fee
I nterest and Carrying Costs
Total Uses
A-~
$
$
$
$
$
$
215,900
784,590
10,000
77 ,639
50,000
96,874
$ 1 ,235,003
I
Development Budget
Project:
24 College Ave Project
July 3, 2007
DEVELOPMENT BUDGET
College Ave Project
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
liTEM COST
Building Acquisition 0
Land Acquisition 215,900
Rehab (see schedule) 0
NeW Construction (see Schedule) 716,265
Permits -intI. 0
Site Work whole site - incl. 0
Demolition - Remove Bldg. 10,000
Streets and Sidewalks - incl. 0
Water- incl. 0
Sewer- incl. 0
StolT!1water & Drainiage 0
Contingency - 2% 14,325
Site Planning 0
Architect & Engineer - 7% 50,139
RE Attorney 2,500
Tenant Buildout Allowance 54,000
Survey 1,500
Const. Loan Interest and Carrying Costs 68,874
Const. Origination 11,000
TIF Fee 15,000
Property Taxes 0
Appraisal 4,000
Environmental 2,000
Organization Expense 2,500
Development Fee 50,000
Marketing- 1 % 12,000
Other 5,000
TOTAL DEV COST 1,235,003
Land Area Phase I
61,519 sqft
Cost per Sq Ft
o
Total Bldg sqft
assumes $6 per sq foot 9,000
estimated at 1 % construction loan
Misc Carrying costs Cost/SqFt
$ 137
New Construction
Model Number
Size in Sq Ft Cost/Sq Ft Unit Cost # Units Total Sales Price Price/sqft
9000 137 1,235,003 1 1,235,003 1,260,000 $ 140
0 137 0 1 0 - $ -
0 137 0 3 0 - $ -
0 137 0 1 0 - $ -
0 0 0 -
205,834 6 1,235,003 1,260,000
1
2
3
4
5
Total
New Construction
Months to construct
Sales time
Less Sales Commissions
Total Profit
31months
4 months
Sales Expense
6.0%1
Page 1
Proforma lumber1 012306.xls
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Commercial Project Recap
Project Name ColI~e Avenue Professional BUilding
Project Location 24 College Avenue;!; Saint Joseph, MN 56374
Bltlg 1
Bld92
BlCi9 3
Bltlg 4
Id
x 1 bldgs 1 bldg x 3bldgs 1b 9
Phase Phase Description 0 0 O. 0 Total
172.00 SJgns 4,000 0
610.00 Performance Bond
650.00 Insurance 4500
850.00 Architectural costs - Printing 0
1000.00 Building Permits 12,600
1040,00 Supeniision/Site Sup/General 40 000.
1050.20 Staking 3500
1100.00 SAC Fee 5,400
1120.00 WAC Fee
1130.00 Park Fee
1400.00 Quality Control Test 3000
1500:00 General Requirements
1503.00 Winter Conditions 3000
1505.00 TemDUtilities 3.500
1600;00 Material and Eauipment 1200
1700.00 Final Clean Up/Close ..
1850.00 Dumpster/Scrap 5880
1900.00 Miscellaneous ReQuirements 1000
1910.00 Mileaae.oCaroenters 1100
2110.00 Off-Site.lmprovements Road
2200:00 Earthwork 15,000 I
2280.00 Fill Haulina 7500
2500.00 Paving & Surfacing & Curb 14,500
2510.00. Parking Lot Striping 0
2700.00 Site Utilities/Sewer, Water & Storm 9,600
t1110.00 UnderaroundS~rinklina
00.00 Landscaping 10,000
100.00 Concrete 2~New Approaches
3270,00 Concrete Curb
3270.00 Concrete Curb Face Walk .
3400.00 City Sidewalk with Ped Ramps
3500.00 Concrete Floor
4285.00 Stucco.
4400.00 Stonework
4990.00 Comb Masonry/Caner Bid 90 000
6100;00 Rough l!pC~rp Materials 137,800
6150.00 Trusses 28,300
6200.00 Finish Carp Materials
6210;00 Carp Labor - Roamh Uj) 59 300
6210.0.0 Carp Labor - Finish
6220..00 Millwork
6400.00. Cabinets
7100.00 WaterprOOfing
7200:0.0 Insulation 20.,685
7201.0.0 Blowing & Insulation Labor
7300.00 Shingles & Roofing 22.500
7301 ;00 Shingling Labor Only
7460.00 ~pecialty Siding Materials 19900
7460.00 Specialty Siding Labor
7630,00 Gutters & Downspouts
8100.00 Hollow Metal DoorfFr
8120.00 Alum Entrance DoorfFr
8520.00 WindowslEntry Doors 25,000
8700;00 Finish Hardware 2,500
9250.00 Sheetrock Material
9255.00 Sheetrock Hanging Labor 15.000
9255.00 Sheetrock Tape & Spray 15,000
.
A-I)
x 1 bldgs 1 bldg x 3 bldas 1 b Jg
Phase Phase Description 0 0 0 0 Tolal
9500.00 Acoustical Treatment 15,000
9680.00 Camet & Inlaid
9900.00 Paintina
9950.00 Wall Coverinas
10400.00 Identifvina Devices
10520.00 Fire Prot.Specialt\f .
10550.00 Postal Specialties
10800.00 TOilet & Bath Accessories
10830;00 Mirrors
10850.'00 Mai'ble Tops .
12500,00 Window Treatments
13900,'00 Firina Warnina System
15300.00 Fire Sprinklina System 35,000
15400.00 Plumbina 20,000
15450.00 Water Softener/Conditioner
15500.00 HVAC lHeaWentlAC) 25,000 .
16050,00 Electrical 35,000
16500;00 Liaht Fixtures
16720.00 Fire Alarm System
16730.00 Securltv Access System 5,000
16760.00 Intercom Systems
99999.00 MN Sales Tax
Contractor Ovel'head
Contractor Profit
Totals 716.265 0 0 0 0
Id
Square Foot
Building conStruction costs Sq Ft
9.000 0 0 0
79.59 #DIVlO! #DIV/O! #D1V/OI
$ 716,265.00
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City of St. Joseph
Policy and Procedures for Tax Increment Financing
Project
For the purpose of this policy, the "EDA" shall also mean the st. Joseph Economic Development
Authority, which serves in conducting various economic development, housing and redevelopment
programs and activities within the City of St. Joseph.
I. GENERAL POLICY
The purpose ofthis policy i$ to establish th!3 position ofthe City of St. Joseph and the Economic
Development Authority with respect to the use of Tax Increment Financing for private
development within the City. This poliqy shall be used as a guide in the application for, review and
consideration of any requests for Ta):( Increment assistance. The fundamental purposebf tax
increment financing in 81. Joseph is to encourage desirable development and/or redevelopment
that would not otherwise occur "but for " the assistance provided through TIF.
The City of St. Joseph and EDA shall considerTax Increment Financing for projects that serve to
accomplish the City's goals for housing anQ economic development as they may change over
time, The goals include facilitating projects that would result in the creation of qua.lity jobs(Le.
stable employment and/or attractive wages and benefits) and the attraction, retention, and
expansion of business and housing options in the City.
II. CITY's and EDA's OBJECTIVE FOR THE USE OF TIF
As a matter of adopted policy, the City of S1. Joseph and EDA will consider using tax Increment
Financing (TIF) to assist private development projects to achieve one or more of the following
purposes:
. RemOve blight and/or encourage redevelopment in the commercial and industrial areas of the
City in order to encourage high quality development or redevelopment and private
reinvestment in those areas.
. To provide for a balanced and sustainable housing stock to meet diverse needs both today
and in the future.
. To retain local jobs andlor increase the number and diversity of quality jobs (Le. stable
employment and/or attractive wages and benefits.
. To encourage additional unsubsidized private development in the area, either directly, or
through secondary "spin-off' development.
. To offset increased costs of redevelopment (Le. contaminated site clean-up), over and above
those costs that a developer would incur in normal urban and suburban development.
. To facilitate the development process and to achieve development on sites which would not
be developed without this assistance.
· To meet other uses of publiC policy, as adopted by the Council from time to time, including
promotion of quality urban design, quality architectural design, energy conservation,
decreasing the capital and operating costs of local government, etc.
St. Joseph TIF Policy
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III. COSTS WHICH QUALIFY FOR TIFASSISTANCE
· Project design fees including: utilities, landscape, architectural and engineering design.
· Site related Work including: permits for site worl<, earthwork/excavation, soil correction;
landscaping, utilities, streets and roads, street/parking lot paving, street/parking lotlighting,
curb and gutter, sidewalks
. Land acquisition
. Special assessments
. Legal fees (acquisition, finance, closing)
. Soil tests
· Environmental studies
. Surveys
. Park and open space dedication fees
. Interest rate write downs
. Relocation assistance
. Replacement or clean-up of contaminated soils which would otherwise preclude
redevelopment
. Rehabilitation
. Any other costs allowable by Statute
IV. PROJECTS WHICH NlAY QUALIFY FOR TIF ASSISTANCE
.
All new TIF projects considered by the City of St. Joseph and EDA must meet each of the
following minimum qualifications and will also be evaluated based on their ability to meet the
desired qualifications for assistance. However, it should not be presumed that a project meeting
any of the qualifications will automatically be approved. Meeting the qualifications creates no
contractual rights on the part of any potential developer to have its project approved.
MINIMUM QUALFICIATIONS
1. The project should meet one or more of the Tax Increment Financing Objectives outlined in
Section \I of this policy, but at a minimum shall:
· Remove blight and/or encourage redevelopment in the commercial and industrial
areas of the City in order to encourage high quality development and redevelopment
and private investment in those areas.
· To facilitate the development process and to achieve development on sites which
would not be developed without this assistance.
2. The developer must demonstrate that the project is not financially feasible "but for" the use of
TIF assistance.
.
3. The project mustbe consistent with the City's Comprehensive Plan, Zoning Ordinances and
the EDA's Strategic Plan or require changes to the plan and ordinances must be under active
consideration by the City at the time of final TIF application submittal.
4. Prior to approval of a TIF financing plan, the developer shall provide any requested market
and financial feasibility studies, appraisals, soil borings, private lender commitment,and/or
St. Joseph TIF Policy
2
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other information the City, EDA or its financial consultants may require in order to proceed
with an independent underwriting of the proposal.
5. The developer must provide adequate financial guarantees to ensure the completion of the
project. These may include, but not limited to: assessment agreements, letter of credit,
personal deficiency guarantees, maximum cost contract, etc.
6. Any developer requesting TIF assistance should be able to demonstrate past successful
general development capability as well as specific capability in the type and size of
development proposed. TIF will not be used when the developer's credentials, in the sole
judgement of the City, are inadequate due to past track record relating to: completion of the
projects, general reputation and/or bankruptcy, or other problems or issues considered
relevant by the City and EDA.
7. The developer shall retain ownership of the project at least long enough to complete it, to
stabilize its occupancy, and to establish the project management and initiate repayment via
the TI F assistance.
DESIRED QUALIFICATIONS
1. TIE proposals creating a higher ratio of property taxes paid before and after redevelopment
will receive priority consideration. Given the different assessment circumstances in the City,
this ratio will vary widely. A 1:2 ratio of taxes paid before and after redevelopment is desired.
2. TIF proposals should normally not be used to support speculative industrial, commercial,
office or housing projects. In general, the developer should be able to provide market data,
tenant letter of commitment or finance statements which support the market potentiaVdemand
for the proposed project.
3. TIF will normally not be used in a project that involves an excessive land and/or property
price, This will normally be where the acquisition price is more than 20% in excess of the
market value as determined by an independent appraisal of the property.
4. TIF will not be used in projects that would give a significant competitive financial advantage
over similar projects in the area due to the use of tax increment subsidies. Developers should
provide information to support that the TIF assistance will not create .such a competitive
advantage. Priority consideration will be given to projects that fill an unmet market need.
5. TIF will be provided on a pay-as-you-go basis. Any request for up front assistance will be
evaluated on its own merit in accordance with this policy. Projects requesting pay-as..,you-go
financing will receive priority consideration.
6. Preference will be given to projects that do not place extraordinary demands on City services.
If it is determined by the City's Public Works Director and City Engineer that an extraordinary
increase in public service would result because of the project, TIF financing will not be
considered.
7. TIF will not normally be used for projects that would generate significant environmental
problems in the opinion of the local, state, or federal governments. Priority will be given to
project that aim to clean-up existing contaminated sites and would facilitate the location of an
industry or business that has an environmentally sound track record, or meet a housing need
in the City. .
8. Preference will be given to projectS that meet good public policy criteria as determined by the
EDA and City Council, including:
St. Joseph TIF Policy
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. Projects that are in accord with the Comprehensive Plan,. Strategic Plan, Zoning Ordinances
.and other redevelopment plans of the, City and EDA,
. Projects that provide significant improvement to surrounding land uses, the neighborhood,
and/or the City,
. Projects that provide a significant increase in tl:iX base,
. Projects that provide significant new,.or retained employment,
. Projects that meet financial feasibility criteria established by the EDA. and
. Projects that provide the highest and best desired use for the property.
V. TAX INCREMENT PROJECT EVALUATION PROCESS
The following five methods of analysis for all TIF proposals will be used:
1. Consideration of project meeting minimum qualifications.
2. Consideration of project meeting desired. qualifications.
3. Project meets "but for" analysis and statutory qualifications (Exhibit A).
4. Project Report Gard (Exhibit 6).
5. Project is deemed conSistent with the EDA Strategic Plan and the City's Comprehensive Plan.
Please note that the evaluation methodology is intended to provide a balanced review. Each area
will be evaluated individually and collectively and in .no case shall one area outweigh another in
terms of importance to determining the level of TIF assistance.
VI. APPLICATION FOR TIF ASSISTANCE FOR ALL TIF DISTRICTS AND
PROJECT AREAS
The City's tax increment financing program will be administered by the 51. Joseph Economic
. Development Authority (EDA). The 51. Joseph EDA will require a non~refundable application fee
in the amount of $2,000 for its processing of the application. The application fee shall be paid to
the EDA at the time of final TIF application is submitted.
At the time a final TIF application is submitted, the applicant shall also deposit $8,000 with the
EDA if the project cQst is estimated at $750,000 or less or $15,000 if the project cost is estirnated
at $750,001 or more, with the EDA to cover its attorney's and consultant's costs incurred as part
of amending or establishing a TtF District, drafting and negotiating a development agreement and
conducting and fiscal analysis that may be require to meet the requirements of utilizing TIF. If.
additional costs are incurred beyond the $15,000, prior to the execution of a development
agreement, the EDA shall notify the applicant in writing and the applicant will be required to
deposit additional funds upon notice.
If the project is approved and the applicant proceeds with the project, the EDA shall reimburse the
applicant any unused portion of the deposit as of the date of execution of the development
agreement. If the applicant does not proceed with the project, the EDA shall reimburse the
applicant for the unused portion of tne deposit as of the date that the EDA is notified in writing that
the applicant desires to withdraw its application.
VII. APPLICATION PROCESS
The application process is a two-step process and must be completed in accordance with the TIF
application procedures (Exhibit C). The purpose of this approach is to give an applicant the
opportunity to present a development proposal without expending a great deal of money and time
in pursuing a development that may conflict with the City's and EDA's goals and objectives.
81. Joseph TIF Policy
4
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VIII. OTHER POLICY ISSUES
FISCAL DISPARITIES
Does not impact the. City of St. Joseph according to State Statute.
Loss of Government Aid
At any time, if the formation of a new TI F district or the use of an existing district to finance a
prqject will subject the City to an LGAlHACA penalty or local contribution to a project, the
transaction Shall be structured so as to have the u1timatecosUhe City minimized to the greatest
extent permitted by law, so as to have the project bear the cost of the penalty or contribution.
Public Use of Tax Increment
The City and EDA shall follow applicable state laws in terms of potential public improvement
financing with TIF. It shall be the general policy of the City and EDA to identify public
improvements at the time of adoption or amendment of the TIF Plan.
PASSED AND DULY ADOPTED this _ day of
PASSED AND DULY ADOPTED this _ day of
, 1998 by the City of St. Joseph.
. 1998 by the St. Joseph EDA.
Mayor
EDA Chair
ATTEST:
City Administrator
EDA Director
Attachment A "But For" Work.heet
Attachment B In..house Grading and Report Card
Attachment C Ap.plication Procedures
St. Joseph TIF Policy
5
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Attachment B
PROPOSED TAX INCREMENT FINANCING
Rating & Analysis
1. Ratio of Private to Public Investment in the Project:
PrivateFII~"~1l<'
C;~~
3:1
2:1
Below 2: 1
$ 1,005, (')() '3
$ '.2~tp: oOt)
$ I t?'7' (;)03
, /
Private Investment
TIFlPublic Investment
Ratio ofPrivatelPublic Financing
4. 31 ;
2. Jobs created and/or retained in the City:
~
# Jobs created/retained
26+
11-25
6-10
(I:K
None
Total number of jobs created and/or retained as
a result of the project.
3. Pay Level of Jobs:
Job Classification
Wae:e
% of Median Class Wa2'e*
~(7,SO (vV\.Rcl.ia.n=\S.Y5) 1151c>
$ t1.';Q (t'l/'€.dia/l?=\5.y.s) II stile>
~~J~~~~ /tab~:;:t'
Average Score:
.5
***
Score:
-~
'3
2
1
Score:
5
4
3
~
1
Score:**
b
.5
* Median Wage for Job Classifications is defined as the median wage for the applicable overall job classification in
the St. Cloud Metropolitan Statistical Area as identified by the Minnesota Workforce Center's most current report.
**Score Calculation (for each iob classification):
111% of median wage for job classification or greater = 5
101-110% of median wage for job classification = 4
100% of the median wage for job classification = 3
90 - 99% of the median wage for job classification = 2
Less than 89% of median wage for job classification = 0
*** The average score of all job classifications shall be used as the overall score for this category.
EIJ Ii -- 3 Y
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4. Increase in Estimated Market Value:
$ I J 3Q?,ooo
Before/~I.:.'5. ~"..IQnmp.nt .
Estimate market value of site after development ~ .
$ 1()~lqW
\..7 ~ I
Estimated market value of site before development 1:3
1:2
Ratio of value before/after development 1: 1
1:<1
5. Will the proposed projeet redevelop a previously contaminated or environmentally challenged' site;
red~velop a blighted or underutilized parcel; or, preserve/promote historieal features of existing
buildings?
~5
_ No (Zero points)
Score
" ~
4
3
2
1
o
6. 1$ the proposed pro.ject co.nsistent with the City's 1o.ng term development and redevelopment guidelines as
contained in the City's Comprehensive Plan?
~s
~Yest;po:Y _No (Zeropoomsl
7. Do.es the Develo.per agree to. pay-as-yo.u-go. fmancing?
-f5
~es(5po~
_ No. (Zero. paints)
CALCULATION OF OVERALL SCORE:
Total Points Scored / 7 = average score.
~ .~ .
~ Excellent, 4= V ery GOO~ Average, 4 = Below Average, 5 = Fail
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CITY Of ST. JOSEPH
www.cityofstjoseph.com
Administrator
Judy Weyrens
DATE:
MEMO TO:
July 3, 2007
MdYor
Richard Carl60m FROM:
St. Joseph Economic Development Authority
Honorable Mayor Rassier
Members of the City Council
Administrator Weyrens
Cynthia Smith-Strack, Municipal Development Group
Councilors
Steve Frank
AI Rassier
Renee'Symanietz
Dale Wick
RE:
McComb Group Market Study
Background:
In late February of this year the City executed a contract agreement with McComb Group to
conduct market research and analysis of St. Joseph business communities, trade areas.
potential demand for retail/services and potential' demand for rental units within the Central
Business District.
The market study was to be completed by June 30th. As of the date of this letter the City has not
taken receipt of the study. however, the Ci~/EDAlCollege/Chamber and Mr. McComb will be
meeting to review the final study on July 11 h. If copies of the study are received prior to the
meeting they will be forwarded to members of the City Council and EDA, time permitting.
Action:
Review and comment following the presentation by Mr. McComb is kindly requested.
3~
2." College Avenue North' PO Box bb8 . Saint. Joseph, Minnesota .,b')74
Phone ,2.0.,b,.72.01 Fax ')2.0.,b,.0,42.
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CITY OF ST. JOSEPH
www.cityofstjoseph.com
Administrdtor
ludy'Weyrens
DATE:
MEMO TO:
July 3, 2007
St. Joseph Economic Development Authority
FROM:
Cynthia Smith-Strack, Municipal Development Group
M RE:
dYor
Richdrd Cdrlbom Background
The City's Finance Director, Lori Bartlett has convened the 2008 budget process. The EDA must
submit a preliminary budget to the City Council for consideration at budget workshop(s) in August. A
preliminary budget will be adopted and certified to the County in September and a final budget to be
adopted in December, 2007.
EDA Budget - 2008
Councilors
Steve Frdnk
AI Rdssier
Renee Symdnietz
Ddle 'Wick
Finance Director Bartlett will be present at the EDA meeting to answer questions.
Attached is a worksheet illustrating preliminary budgets for the following funds:
1. The EDA is a separate entity with a separate Fund (Fund 150).
2. Tax Increment revenues and expenditures for TIF 1-3 (Borgert Products) - Fund 155
3. Tax Increment revenues and expenditures for TIF 1-4 (Vicwest Steel/St. Joe Dev. LLC) Fund
156
4. Revolving Loan Fund - Fund 250. Since there are no expenditures relative to this Fund, it is not
included on the worksheet.
Please note the following:
Fund 150: Operating Fund for the EDA: The 2008 budget is identical to that proposed in 2007.
The adopted budget for Fund 150 was decrease but supplemented by a fund transfer to reflect
the proposed budget. The proposed budget includes $8,000 for membership dues to the St.
Cloud Area Economic Development Partnership.
Fund 155: TIF Fund for 1-3: The anticipated revenues and expenses reflect TIF revenue
received in 2007. The City, via development agreement, is required to reimburse the developer
95% of the increment received.
Fund 156: TIF Fund 1-4: The anticipated revenues and expenditures are based on estimates.
Actual numbers are dependent on assessed market value. The TIF beneficiary did not enter into
an assessed market value agreement, therefore, the actual proceeds of the pay-as-you-go issue
is less than included in the TIF budget included in the plan for 1-4.
Fund 250: Revolving Loan Fund. The 2006 audited fund balance is $48,225. The balance is
available for loan to business establishments which create jobs at livable wages.
Also attached is a copy of last year's EDA capital improvement request for $10,000 for land
acquisition along with a clear capital improvement form for 2008.
Action:
The EDA is asked to recommend a preliminary budget for 2008 for City Council consideration. A
motion is in order.
tJo
2.) College Avenue North. PO Box 668. Sdint. joseph, Minnesotd ')'6174
Phone FO'565.72.01 FdX 12.0565.0142.
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L/I
CITY.OF ST. JOSEPH
CAPITAL IMPROVEMENT PLAN
2007 - 2011
PROJECT TITLE: Land Acquistion TOTAL COST: $10,000.00
PROJECT NUMBER: PROJECT CATEGORY:
DESCRIPTION:
JUSTIFICATION:
PROJECT COSTS ANO FUNDING SOURCES BY YEARS:
Project Funding Prior
Source Years 2007 2008 2009 2010 2011 Total
0.00
0.00
EDA 10,000.00 10,000.00
0.00
0.00
PROJECT COSTS
PROJECT STARTING DATE: 2005 preliminaries
Land Acquisition
PROJECT COMPLETION DATE: 2006 Construction
Equipment and Other
NEIGHBORHOOD: Total $0.00
43
.
.
.
CITY.OF ST. JOSEPH
CAPITAL IMPROVEMENT PLAN
2008 -2012
PROJECT TITL-=: TOTAL COST:
PROJECT NUMBER: PROJECT CATEGORY:
DESCRIPTION:
JUSTIFICATION:
PROJECT COSTS AND FUNDING SOURCES BY YEARS:
Project Funding Prior
Source Years 2008 2009 2010 2011 2012 Total
0.00
0.00
0.00
0.00
0.00
PROJECT COSTS
PROJECT STARTING DATE: Preliminaries
Land Acquisition
PROJECT COMPLETION DATE: Construction
Equipment and Other
NEIGHBORHOOD: Total $0.00
[pI
CITY Of ST. JOSEPH
www.cityofstjoseph.com
DATE:
July 3, 2007
Mdyor
Richdfd Cdrlbom
FROM:
RE:
St. Joseph Economic Development Authority
Cynthia Smith-Strack, Municipal Development Group
Administrdtor
Judy Weyrens
MEMO TO:
TIF Disbursements
Background
Councilors The City has received the initial settlement for 2007 property taxes. The first half payment includes
Steve Frdnk revenue for TIF 1-3 (Borgert) and TIF 1-4 (Gohman). Finance Director, Lori Bartlett has processed
AI Rdssier the payments and requests approval of the disbursement as follows:
Renee Symdnietz TIF 1-3 - BorgerUSKN: $7,969.87
Ddle Wick
TIF 1-4 - GohmanNicwest (payment to lender: Minnwest Bank): $18,721.25.
Associated information and documentation is attached to this memo.
Action:
A MOTION to approve the disbursement requests is in order.
L/6
2.) College Avenue North' PO Box bb8 S I h M
. dint. osep, innesotd )b'n4
Phone ,2.0.,b,.72.01 FdX ,2.0.,b,.O,42.
.
Stearns County
June 22, 2007 Distribution
Partial 1st Half
Real and Personal Tax/Special Assessments
Jan 1 - May 15, 2007
St. Joseph City
Total 2007 2006 2005 2004
290,536.37 288,053.99 2,229.62 247.43 5.33
805.45 794.14 7.54 3.69 0.08
9,583.27 9,477.75 90.42 14.75 0.35
49.04 47.90 1.14
15,328.46 14,919.27 351.36 56.80 1.03
40;654.38 40,187.53 390.53 73.97 2.35
30,639.01 30,312.63 281.68 44.70
55,415.38 54,903.50 511.88
39,674.04 39,674.04 ~ ~~)
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8,389.34 *"
8,389.34 X -
20,801.39 20,801.39 - T ,
784,856.17 780,493.62 3,863.03 489.24 10.28
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(101-41430-31010)
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(155-46500-31050) TIF District #89
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.
July 6, 2007
Sue Borgert
Borgert Products/SKN Properties
PO Box 39
St. Joseph MN 56374
RE: TIF 1-3 Tax Settlement
Dear Sir or Madam:
.
In accordance with the Tax Increment Financing Agreement with the City of St. Joseph,
enclosed is a payment in the amount of$ 7,969.87 for the fIrst halftax settlement for 2007.
This represents 95% of the increment received from the district as noted in the Development
Agreement.
If you have any questions or need additional information please feel free to contact me at
320-363-7201.
Sincerely,
CITY OF ST. JOSEPH
Judy Weyrens
Administrator
cc: St. Joseph EDA
File (Tax Increment Financing - District 1-3, Payments, 1 st Payment 2006)
.
Lf~
City ,of St. Joseph Minnesota
Tax Increment Financing District No. 1-4 St. Joe Development LLC (Vicwest)
TIF District #110
Note Payment Schedule
Payment to:
Minnwest Bank
Note Details
Amount of Note (starting ~
Note Dated
Annual Payment Date
Interest Rate
643,000
1-Aug-02
15-Dec
7.50%
12/30/2005.
7/17/2006 donofhallefo takeoutiritereSt
$
$ 2008
$
$ 2009
$
$ 2010
$
$ 2011 $
$ $
$ . 2012 $.
$ $
$171,066.93 $ 153,960.24
*Development Agreement notes: not to exceed $643,000 in principal payments.
** Note: The increment was n.ot collected in May due to an error in the Auditor's Office. The County fixed the error and
submitted payment for 2004 October 29, 2004.
2005 Note: The payment for the May Tax Settlement was not received by May 15. Therefore the increment could not be paid
t/-r
.
July 6, 2007
Minn West Bank
PO Box 7429
Sf. Cloud MN 56302-7429
RE: TIF 1-4 Tax Settlement
Dear Sir or Madam:
.
In accordance with the Tax Increment Financing Agreement with the City of St. Joseph,
enclosed is a payment in the amount of $ 18,721.25 for the first half tax settlement for 2007.
This represents 95% of the increment received from the district as noted in the Development
Agreement.
If you have any questions or need additional information please feel free to contact me at
320-363-7201.
Sincerely,
CITY OF ST. JOSEPH
Judy Weyrens
Administrator
cc: St. Joseph EDA
File (Tax Increment Financing - District 1-4, Payments, 1" Payment 2006)
.
q)
Administrdtor
Judy Weyrens
Mdyor
Richdrd Cmlbom
Councilors
Steve Ffdnk
AI Rdssier
Renee Symdnietz
Ddle Wick
CITY Of ST. JOSEPH
www.cityofstjoseph.com
DATE:
July 3, 2007
MEMO TO:
EDA Board Members
FROM:
Cynthia Smith-Strack, MDG, Inc.
RE:
Election of Chairperson
Background:
At its annual meeting in January of this year the EDA elected the following officers:
Richard Carlbom:
Ken Jacobson:
Carolyn Yaggie-Heinen:
Tom Skahen:
Chairperson
Vice-Chairperson
Treasurer
Secretary
EDA Board.appointments for 2007 were as follows:
Tom Skahen (2013)- at large
Carolyn Yaggie-Heinen (2012) - at large
Dale Wick (2009) City Council
Ken Jacobson (2012)- at large
Richard Carlbom (2009) - Mayor
Since Mayor Carlbom has resigned and relocated the Chairperson office is currently
vacant.
Action:
Nominations for the Office of Chairperson shall be made during the meeting.
A MOTION to elect a new Chairperson is in order:
51
2.)" College Avenue North. PO Box 668 . Sdint. Joseph, Minnesotd ,,6174
Phone ")2.0.,6'.72.01 FdX ")2.0.,6,.0'42.
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.
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52