2006-08-08mow, ~ r
PLEASE T[JRN OFF ALL CELL PHONES & PAGERS IN COUNCIL CHAMBERS.
i
`~~
~o~~
•
AGENDA
MOU~1D.~'I~~~ USING Bz~REDEUELOPMENT AUTHORITI'
%CTGCJ~ST 8 2006'- 6:00 PM
`'" )~, ..1:~~YCOYJNCIY.` CHAMBERS
Page
1. Open meeting
2. Action approving agenda, with any amendments
3. Action approving minutes: July 25, 2006
• 4. Discussion of Financing for Mound Transit District
5. Approval of 2007 HRA budget for special benefits
tax levy (transit center)
6. Consideration of options for financial assistance for
possible proposed development in Auditor's Road
area
7. Adjourn
1-2
3-6
7-9
10
•
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
• JULY 25, 2006
The Housing and Redevelopment Authority in and for the City of Mound met in
regular session on Tuesday, July 25, 2006 at 6:30 p.m. in the council chambers
of city hall
Members Present: Chairperson Pat Meisel; Commissioners David Osmek, Bob
Brown, Mike Specht and John Beise.
Others present: Executive Director Kandis Hanson, City Clerk Bonnie Ritter,
Community Development Director Sarah Smith, Public Works Director Carlton
Moore, Finance Director Gino Businaro, Mike Mueller, Bruce and Patti Dodds,
Terry Haakala, Jeff McMenimen, Dave Callister, Amanda Schwarze, Kim Britz
1. Open Meeting
Chair Meisel called the meeting to order at 6:30 p.m.
2. Approve Agenda
MOTION by Specht, seconded by Beise to approve the agenda. All voted in
favor. Motion carried.
3. Approve Minutes
• MOTION by Beise, seconded by Brown to approve the minutes of July 11, 2006.
The following voted in favor: Brown, Beise, Specht, and Meisel. The following
voted against: None. Osmek abstained from voting as he was absent from that
meeting. Motion carried.
4. Indian Knoll Manor Monthly Manager's Report
Kim Britz of Westport Properties presented the monthly report as follows:
A. June Bank Statement
B. May Income Statement
C. Review of Bills Paid: MOTION by Brown, seconded by Beise to
approve payment of the bills for June 2006. All voted in favor. Motion
carried.
D. Manager's Report
(1) PHA Plan Board Resolution -Businaro stated that this plan
was approved at the last meeting.
(2) Procurement Addendum Resolution -MOTION by Beise,
seconded by Brown to adopt the following resolution. All voted
in favor. Motion carried.
RESOLUTION NO. 06-03H: RESOLUTION APPROVING
AMENDMENT TO ORIGINAL PROCUREMENT AGREEMENT
OF JUNE 9, 1993.
•
-1-
Mound MRA Minutes -July 25, 2006
5. Presentation of Financing Options for Transit District Parking Deck
Sarah Smith gave an recap of what has occurred to date regarding this project.
Mike Mueller expressed to the Board that Mueller-Lansing has a continued
interest in the parcel to the east of the proposed deck, to be used for
commercial/retail development. He also indicated that he would like to see a
method to connect this parcel to the parking deck to make it available for patrons
of that proposed building.
Dave Callister of Ehlers & Associates reviewed the financing scenario for the
proposed project, showing a project gap of $773,125. He stated that the driving
force to bridge this gap is the commitment of present and future HRA levy
dollars. Businaro stressed the point that the project financing was counting on
the HRA levying to the maximum for the duration of the 20 year bonds. Callister
suggested a private placement through Piper for this bond issue. He also stated
that with bidding variables, interest rate variables, etc., financing the bridge is
feasible.
MOTION by Brown, seconded by Osmek to adopt the following resolution. All
voted in favor. Motion carried.
RESOLUTION NO. 06-04H: RESOLUTION APPROVING PLANS AND
SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS FOR
TRANSIT DISTRICT PARKING DECK
6. Adjourn
MOTION by Brown, seconded by Specht to adjourn at 7:22 p.m. All voted in
favor. Motion carried.
Chair Pat Meisel
Attest: Bonnie Ritter, City Clerk
2
-2-
•
EXHIBIT A
~~~~~~
& ASSOCIATES IkC
City of Mound
Parking RamplTransit Center Project
Base Bid:
Two Level Parking Ramp (TOD) $ 2,114,000 42%
Storm water Treatment (MCWD) $ 459,100 9%
Waiting RoomlRestroom (MT) $ 2,000 0%
Well house (TOD) $ 126,000 3%
Bus Layover (MT) $ 27,500 1
Utility Service (TOD) $ 41,700 1°h
Site Lighting (TOD) $ 111,350 2%
Pedestrian Pavements (TOD) $ 11,500 0%
Landscaping (TOD) $ 359,340 7%
Site Furnishings $ 14,300 0%
Farmers Market Surface Parking Lot $ 57,800 1%
True Value Surtace Parking Lot $ 113,000 2%
Mobilization $ 52, 500 1
Contin enc $ 196 875 4%
Total Construction costs $ 3,686,965 73%
Architectural & Engineering $ 393,750 8%
Land Acquisition (Hennepin County) $ 95,000. 2%
•
Contin enc $ 103,410 2%
Total Other $ 592,160 12%
Total Base Bid $ 4,279,125 85%
Add Alternate Bid
Add Third Level $ 750,000 15%
Total Uses (Expenses) $ 5,029,125 100%
HRA Fund $ 586,000 12%
Hennepin County TOD Grant $ 1,000,000 21
Metro Transit Grant $ 200,000 4%
Minnehaha Creek Watershed District Grant $ 300,000 6%
Mound Harbor Renaissance $ - 0%
Special Assessments $ - 0%
Land Sale Proceeds $ 0%
Bond Proceeds (30 yr)* $ 2,708,000 56%
Total Sources
• Total Sources
Project (Gap)
4,794,000 100%
$ 5,029,125
$ 4,794,000
$ 235,125
' $173,281 from HRA Levy proceeds in FY 2007 is budgeted for debt service
Notes: Construction Costs based Walker Parking Consultants Report, dated July 11, 2006.
294937V1 SJB MU195-23
A-1
814/2006
-3-
The Housing and Redevelopment Authority in and for the City of Mound, MN
Limited Tax Supported Parking Ramp Bonds
Jul 2006
S M T W T F S
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 29
30 31
Au ust 2006
S M T W T F S
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 29 30 31
Se tember 200 6
S M T W T F S
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 29 30
Responsible
Date Activity Party
June 16 Design development
9:00 am Conference Call to discuss final term sheet and initial drafting of
August 2 documents. All parties
Dial-in Number: 1-877-398-9589, Conference Code: 612.303.6230
August 7 HRA approves & submits to city an annual budget (needs to be completed City
by August 1)
August 11 Distribute first draft of bond resolution K & G
August 18 Comments due on bond documents. All parties
Distribute first draft of Official Statement K & G
August 25 Distribute second draft of bond documents K & G
Comments due on draft Official Statement All parties
Au ust 29
g 10:00 am Conference Call to discuss status of financing
Al
Dial-in Number: 1-877-398-9589, Conference Code: 612.303.6230,
l arties
p
Distribute second draft of Official Statement K & G
Sept. 1 Comments due on bond documents All parties
Contract Documents City
Distribute final draft of bond documents K & G
Sept. 8 Comments due on Official Statement All parties
Construction Bids delivered by City City
HRA to pass preliminary bond resolution City
Sept. 12 City approves annual budget (need to be complete by September 15) City
HRA certifies preliminary levy to county auditor (needs to be complete by City
September 15)
Sept. 15 Preliminary Official Statement printed and released K & G, Piper, City
Sept. 26 HRA passes final resolution authorizing issuance of debt K & G, City
City council awards construction contract City
Sept. 27 Bonds priced. BPA signed. All parties
Oct. 1 Construction Started City
Oct. 18 Pre-close All parties
Oct. 19 Close All parties
-4-
•
•
•
Responsible
Date Activity Party
6/31107 Construction Complete
June 16 Design development
c:\documents and settings\bonnie ritter\local settings\temporary Internet files\content ie5~shejcp2b\timetable.doc
-5-
08/02/06
Housing and Redevelopment Authority in and for the City of Mound, MN
Limited Tax Pledge Parking Ramp Bonds
Term Sheet (August 2, 2006)
Issuer: Housing and Redevelopment Authority in and for the City of Mound, MN
Issue: Limited Tax Pledge Parking Ramp Bonds
Tax Exemption: Federal and State of Minnesota Tax exempt, Non AMT and bank qualified.
Project: Construction of a 177 stall parking ramp located downtown Mound, MN.
Principal Amount: $2,805,000 (estimated, subject to change)
Interest Rate: Average coupon estimated at 5.02%
Final Maturity: August 1, 2036 (29.8 years)
Term Structure: Term Bonds Maturing 2/1/13, 2/1/17, 2/1/24, 2/1/31, 8/1/36
Minimum Bond $5,000
Denominations:
Anticipated Closing October 19, 2006
Date:
First Interest February 1, 2007
Payment Date:
First Principal February 1, 2008 and annually thereafter with the final maturity on August 1,
Payment Date: 2036. Debt structure will consist of several term bonds with annual sinking
funds.
Amortization: First year annual debt service equals $165,000 and increases 1 % per year. .
Tax Pledge: The HRA in and for the City of Mound will irrevocably pledge to the Bonds
the lessor of 105% of the next years annual debt service on the Bonds or their
maximum levy of .0144. For 2007, if the maximum levy were collected,
$173,000 would be available for the Bonds.
Bond and Disclosure
Counsel
Financial Advisor:
Underwriter:
Paying Agent:
Kennedy & Graven
Ehler's & Associates
Piper Jaffray
Bond Trust Services
-6-
HOUSING AND REDEVELOPMENT AUTHORITY
• IN AND FOR THE CITY OF MOUND
RESOLUTION NO.
AUTHORIZING THE LEVY OF
A SPECIAL BENEFIT LEVY PURSUANT TO MINNESOTA STATUTES,
SECTION 469.033, SUBDIVISION 6 AND APPROVAL
OF A BUDGET FOR FISCAL YEAR 2007
WHEREAS the Housing and Redevelopment Authority in and for the City of Mound (the
"HRA") has been duly established and operates under Minnesota Statutes, Sections 469.001 to
469.047 (the "HRA Act"); and
WHEREAS, Section 469.033, Subdivision 6, of the HRA Act permits the HRA to levy and
collect a special benefit levy of up to .0144 percent of taxable market value in the City upon all
taxable real property within the City in order to finance housing and redevelopment activities
authorized under the HRA Act; and
WHEREAS, the HRA currently administers its Development District No. 1 (the "Project"),
which constitutes a redevelopment project under the HRA Act; and
• WHEREAS, as part of its overall redevelopment objectives for the Project, the HRA intends
to construct the Mound Transit Center (the "Transit Center") to serve the Project; and
WHEREAS, the HRA intends to finance a portion of the Transit Center through issuance of
bonds secured by the special benefit levy; and
WHEREAS, the HRA has reviewed a budget for its operations for fiscal year 2007, which
budget earmarks the special benefits levy to pay debt service and any other costs related to the
construction, operation and maintenance of the Transit Center (see attached Exhibit); and
WHEREAS, the amount of the levy for collection in 2007 shall be based on this budget.
NOW, THEREFORE, be it resolved by the Board of Commissioners of the Housing and
Redevelopment Authority in and for the City of Mound as follows:
The budget of $173,281 for costs of the Transit Center in fiscal year 2007 is hereby
in all respects approved.
2. Staff of the HRA are hereby authorized and directed to file the budget with the City
in accordance with Minnesota Statutes, Section 469.033, Subdivision 6.
• 3. The Board approves a special benefit levy for taxes payable in 2007 pursuant to
294937V1 SJB MU195-23
-7-
Minnesota Statutes, Section 469.033, Subdivision 6, in the amount of $173,281, subject to consent
of the City Council of the City.
4. Staff of the HRA are hereby authorized and directed to seek the approval by
resolution of the City Council of the City of the levy of special benefit taxes in 2007, certify such
proposed special levy with the Hennepin County Auditor by September 15, 2006, certify the final
levy with the County Auditor by December 20, 2006, and take such other actions as are necessary to
levy and certify such levy.
Approved this 8th day of August, 2006 by the Board of Commissioners of the Housing and
Redevelopment Authority in and for the City of Mound.
Chair
ATTEST:
Secretary
294937V1 SJB MU195-23 2
-$-
,,
August 3, 2006
TO: Mayor and City Council
FROM: Kandis Hanson
RE: Possible Auditor's Road Area Development
PH: (952)472-0600
FAX: (952) 472-0620
WEB: www.cityofmound.com
The HRA has received inquiries from Mound Harbor Renaissance Development,
LLC, and Welsh Company concerning the possibility of locating the Ridgeview
Clinic within the Auditor's Road area.
• MHRD and Welsh Company have asked that this item be placed on the agenda
so that they may request that the HRA consider ways in which the HRA may
assist financing in facilitating the relocation of the clinic to that area.
No specific detail is available for inclusion in the packet, and it is anticipated that
information will be provided by MHRD and Welsh at the August 8th meeting.
Gv,-ut~sL..
Ka is Hanson
City Manager
•
5341 MAYWOOD ROAD
MOUND, MN 55364-1687
®~'- 9 -recycled paper