07-08-08 HRA Agenda
AGENDA
GOLDEN VALLEY HOUSING AND REDEVELOPMENT AUTHORITY REGULAR MEETING
Golden Valley City Hall
7800 Golden Valley Road
Council Chamber
July 8, 2008 - 6:30 PM
Paqes
1 . Roll Call
2. Approval of Minutes - Regular HRA Meeting - April 8, 2008
7-8
3. Approval of Bills:
City of Golden Valley Check Number 4022
TOTAL
Bill Summary:
General Fund - 2008
29
200,221.67
$200.221.67
172,398.49
Valley Square -
Capital Project Fund - Area B
Tax Increment Fund
-0-
-0-
Golden Hills -
Capital Project Fund - Central Area
Tax Increment Fund
27,823.18
-0-
North Wirth -
Capital Project Fund - District #3
-0-
GVEC
Check Number 4026
-0-
$200.221.67
5,000.63
30
Housing Program Fund
TOTAL
4. Receive and File June Financial Reports
31-34
5. Douglas Drive Redevelopment Area/Applewood Pointe
35-36
6. Other Business
7. Adjournment
REGULAR MEETING
OF THE
HOUSING AND REDEVELOPMENT AUTHORITY
April 8, 2008
Pursuant to due call and notice thereof, a regular meeting of the Housing and
Redevelopment Authority of the City of Golden Valley, Hennepin County, Minnesota, was
held at 7800 Golden Valley Road in said City on April 8, 2008, at 6:30 pm, in the City
Council Chambers.
The following members were present: Chair Paula Pentel and Commissioners Mike
Freiberg, Linda Loomis, DeDe Scanlon and Robert Shaffer. Also present were HRA
Director Thomas Burt, Assistant HRA Director Jeanne Andre, Finance Director Sue Virnig
and Administrative Assistant Christine Columbus.
Approval of the Minutes
MOVED by Loomis, seconded by Freiberg, and motion carried to approve the minutes of
the January 15, 2008 regular HRA meeting and February 12, 2008 special meeting.
Approval of Bills
MOVED by Loomis, seconded by Shaffer and motion carried unanimously to approve the
bills as submitted, reimbursing City expenditures for the HRA.
Receive and File April Financial Reports
MOVED by Loomis, seconded by Scanlon and motion carried to receive and file the April
Financial Reports.
Upcomina HRA Activities
Discussion of Memorandum submitted by Jeanne Andre, Assistant Director in regards to
upcoming HRA activities, resulted in the decision to include HRA members and staff on the
Saturday, April 26, Tour of the City from 8:30 to 11 :30 am.
The following special meetings may be called depending on the project status:
Tuesday, May 13, 6:30 pm - Special HRA meeting to consider the Opus Xenia Ridge
mixed-use project
Tuesday, June 10, 6:30 pm - special HRA meeting to consider the United Properties
Applewood point senior housing
Regular Meeting of the Housing and Redevelopment Authority
April 8, 2008
Page 2
Adiournment
The meeting was adjourned at 6:35 pm.
Paula Pentel, Chair
ATTEST:
Christine Columbus, Administrative Assistant
alley
Memorandum
Housing & Redevelopment
Authority
763-593-8002/763-593-8109 (fax)
7800 Golden Valley Rd. Golden Valley, MN 55427
763-593-8014
Date: July 8, 2008
To: Housing and Redevelopment Authority Commissioners
From: Sue Virnig, Finance Director
Through: Thomas D. Burt, Director
Subject: Reimbursement of City Expenditures for the HRA
As of June 30, 2008 the following expenditure amounts were owing to the City by the HRA:
Check
#
92303
92901
91852
91852
92040
92302
92304
92302
92900
92900
93054
93053
1000
1000
1000
1000
1000
1000
1000
1000
1000
1000
1000
1000
City Expenditures:
LHB (blight study-United Properties Deposit) *
LHB (blight study-United Properties Deposit) *
Best & Flanagan (February legal)
Best & Flanagan (February legal-Opus) *
Webb Golden Valley (deposit return) *
Best & Flanagan (March legal)
Springsted (Opus Financial run) *
Best & Flanagan (March legal-Opus) *
Best & Flanagan (April legal)
Best & Flanagan (April Legal-Opus) *
Wilson Development (United Properties Project) *
Best & Flanagan (May Legal-Opus) *
City Overhead
City Audit Fee
Amount
1,657.11
6,911.28
552.35
1,470.00
20,000.00
616.25
1,913.28
141.90
507.50
770.00
154.00
3,528.00
150,000.00
12,000.00
$200,221.67
HRA Expenditures:
9000 General Fund
9280 Golden Hills Capital Projects
172,398.49
27,823.18
$200,221.67
This reimbursement should be approved by the HRA as part of the normal bill paying
process. Those noted with an asterisk are coming from deposit accounts paid by the
Developer.
Hey
Memorandum
Housing & Redevelopment
Authority
763-593-8002/763-593-8109 (fax)
7800 Golden Valley Rd. Golden Valley, MN 55427
763-593-8014
Date: July 8, 2008
To: Housing and Redevelopment Authority Commissioners
From: Sue Virnig, Finance Director
Through: Thomas D. Burt, Director
Subject: Reimbursement of City Expenditures for the HRA
The following expenditure amounts will be paid on August 1, 2008:
City Expenditures:
9250 GVEC (Pay-as You Go Note) First half tax settlement)
Amount
5,008.63
HRA
Check
#
4022
This reimbursement should be approved by the HRA as part of the normal bill paying process
and will be sent out August 1. This is the first payment to GVEC for their project in North
Wirth. This note was approved when the development agreement was approved.
HRA of Golden Valley
General Fund
June 2008 Budget Report
Percentage Of Year Completed 50%
2008 Apr-June YTO
Revenue Budget Actual Actual
Transfer from TIF Funds:
Valley Square (3) $10,000 10,000.00 10,000.00
Golden Hills (3) 150,000 150,000.00 150,000.00
Interest Earnings (2) 0 289.17 417.55
Fund Balance 9,000 0.00 0.00
Totals $169,000 160,289.17 160,417.55
Over
(Under)
Budget
%Of
Budget
Received
0.00
0.00
100.00%
100.00%
417.55
(9,000.00)
(8,582.45)
0.00%
94.92%
Over %Of
2007 Apr-June YTO (Under) Budget
Expenditures Budget Actual Actual Budget Expended
Legal Services (1) $6,000 1,676.10 2,301.20 (3,698.80) 38.35%
Audit 12,000 12,000.00 12,000.00 0.00 100.00%
City Overhead (3) 150,000 150,000.00 150,000.00 0.00 100.00%
Miscellaneous 1,000 0.00 0.00 (1,000.00) 0.00%
Totals $169,000 163,676.10 164,301.20 (4,698.80) 97.22%
Notes:
(1) Includes January to date billings from Best & Flanagan.
(2) Interest is through 05/08.
(3) Transfers will be made in July 2009.
City of Golden Vallev - HRA - Tax Increment District Proiections
Vallev Square Tax Increment Fund:
2008 2009 2010 2011
Projected Cash Balance @ 1/1 $1,352,806 $1,193,231 $1,041,275 $904,842
Plus:
Non-Area B Increment - Applied To 1994 Bonds
Area B Increment 693,809 674,854 656,417
Interest Earnings @2% of Beg. Ba!. 27,056 23,865 20,825
Less:
Transfer to HRA General Fund (10,000) (10,000) (10,000)
Debt Service:
2003 Tax Increment Bonds (3.47%) (602,875) (583,000) (561,800) (540,600)
2003 Taxable Tax Increment Bonds (4.49%) (267,565) (257,675) (241,875) (230,625)
Projected Cash Bat @ 12/31
$1,193,231 $1,041,275
$904,842
$133,617
Bond Principal & Interest Outstanding @ 12/31
$2,415,575 $1,574,900
$771,225
$0
This report will be updated when tax increment is received on 7-7-08.
City of Golden Valley. HRA . Tax Increment District Proiections
Golden Hills Tax Increment Fund:
(Includes Tax Increment Fund and Debt Service)
2008 2009 2010 2011 2012 2013 2014 2015
Projected Cash Bal. @1/1 $3,442,070 $3,864,804 $4,372,931 $4,962,296 $5,624,202 $7,451,988 $8,303,188 $7,235,285
Plus:
Estimated Tax Increment 3,500,000 3,535,000 3,570,350 3,606,054 3,642,114 3,678,535 3,715,321
Interest Earnings (2% of Beg. Bal.) 68,841 77,296 87,459 99,246 112,484 149,040 166,064
Less:
Transfer to HRA General Fund (150,000) (150,000) (150,000) (150,000) (150,000) (150,000) (150,000)
Debt Service:
1999 C Tax Incr. Bonds (5.09%) (Callable 02/01/08) (871,495) (869,120) (869,470) (866,970)
2004 A Tax Incr. Refunding Bonds (2.27%) (225,387) (226,287) (226,562) (231 ,187)
2005 B Taxable Tax Incr. Refunding Bonds (4.69%) (423,704) (420,641) (411,841) (412,766) (407,991 ) (402,710) (1,759,910) (1,686,475)
2005 A Tax Increment Refunding Bonds (3.50%) (104,521) (107,871) (116,071) (123,971 ) (126,571) (128,915) (546,877) (533,282)
2006 A Taxable Tax Incr. Refunding Bonds (5.12%) (1,371,000) (1,330,250) (1,294,500) (1,258,500) (1,242,250) (2,294,750) (2,492,500) (2,950,500)
Projected Cash Bal. @ 12/31 $3,864,804 $4,372,931 $4,962,296 $5,624,202 $7,451,988 $8,303,188 $7,235,285 $2,065,028
Bond Principal & Interest Outstanding @12/31 $22,995,060 $20,062,785 $17,165,545 $14,293,355 $12,535,035 $9,755,255 $5,065,439 $0
This report will be updated when tax increment is received on 7-07-08.
HRA Of Golden Valley
2008 Financial Report
9280
Golden
Hills
Capital Proiect Funds
9220
Valley
Square
9250
North
Wirth #3
Cash Balance @ 04/01/108
Add:
Receipts:
Interest
Reimbursement of Appraisal-Webb
Less:
Expenditures:
City of Golden Valley (1)
Cash Balance @ 06/30/08
$279,930.08
2,800.59
$282,730.67
(1) Breakdown on City Expenditures Memo
$749,667.39
6,598.03
$756,265.42
$17,196.08
151.35
$17,347.43
,
,
,
Memorandum
Housing & Redevelopment
Authority
763-593-8002 I 763-593-8109 (fax)
Hey
7800 Golden Valley Rd. Golden Valley, MN 55427
763-593-8014
Date:
To:
July 8, 2008
Housing and Redevelopment Authority Commissioners
Jeanne Andre, Assistant Director
From:
Through: Thomas D. Burt, Director
Subject: Douglas Drive Redevelopment Area I Applewood Pointe
United Properties has previously approached the City about a proposed development at the northeast
corner of Douglas Drive and Golden Valley Road. The proposed project would have two buildings:
senior cooperative housing and senior rental apartments for independent and assisted living. United
has either purchased or secured purchase options on six parcels that lie north of Golden Valley Road,
east of Douglas Drive, south of Bassett Creek and west of the railroad. In March United applied for
Tax Increment Financing assistance and in May it applied for Preliminary PUD (Planned Unit
Development) approval.
The initial step for consideration of TIF was to undertake a Blight Analysis. This was completed by
LHB and a report dated May 12, 2008, was submitted that confirms that the property collectively
meets the standard of blight required to qualify as a TIF redevelopment district. Staff conducted a
preliminary analysis for a 25-year tax increment district. However during the planning review site plan
issues have arisen regarding the surface water plan and the dedication of right-of-way for Douglas
Drive. Hennepin County is interested in providing for a left turn lane on southbound Douglas Drive and
providing for a future multi-use trail on the east side of Douglas Drive. County staff suggested a 27-
foot dedication, which will impact the site plan and could reduce the number of units proposed.
Therefore staff has delayed detailed analysis of TIF until the site plan issues are resolved.
In the mean time staff has been wor~ing ~n a redevelopment plan for the project. The TIF district will.
be comprised of solely the parcels required for the development. However the redevelopment are~
can be larger than the TIF district. Minnesota Statutes allow up to ten percent of district proceeds to_
be spent in the redevelopment area outside the district. The Douglas Drive Corridor Study is just
getting started, and staff hopes that the study will provide further insight into redevelopment
opportunities along the corridor and recommend properties to be included in the redevelopment area.
However it is likely the Applewood project will go forward before the study is completed. Staff is
recommending that the initial redevelopment area include all of the parcels on the east side of
Douglas Drive from Golden Valley Road to Duluth Street. The rationale behind this recommendation
is that public improvements such as roadway (including acquisition of right-of-way) and trail
improvements and burying power lines could at least partially funded from this source. Some County
grant programs staff has previously investigated require the property to be in a redevelopment area.
The attached map outlines the parcels that could be included in the redevelopment area.
Requested Action:
Discussion by the HRA on the proposed TIF District and Redevelopment Area.
"'\t
Area
~
o
seOJ3
~
o
imm
o
m'ltll0
Ix 1S3O
'~ri.516
;liT$ii)
z .._
i450
. l430
Proposed Douglas Drive Redevelopment Area D
,
Applewood Pointe TIF District,.