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HomeMy WebLinkAbout2001 07-09 EDAP EDA MEETING City of Brooklyn Center July 9, 2001 AGENDA 1. Call to Order 2. Roll Call 3. Approval of Agenda and Consent Agenda -The following items are considered to be routine by the Economic Development Authority and will be enacted by one motion. There will be no separate discussion of these items unless a Commissioner so requests, in which event the item will be removed from the consent agenda and considered at the end of Commission Consideration Items. a. Approval of Minutes - Commissioners not present at meetings will be recorded as abstaining from the vote on the minutes. 1. June 11, 2001— Regular Session 4. Commission Consideration Item a. Public Hearing Regarding the Sale of Land Along Brooklyn Boulevard by the . EDA in and for the City of Brooklyn Center to Bri -Mar Company, Inc. - Resolution Authorizing the Sale of Land Along Brooklyn Boulevard By the Economic Development Authority in and for the City of Brooklyn Center to Bri- Mar Company, Inc. Pursuant to a Development Agreement •Requested Commission Action: - Continue public hearing. -Take public input. -Close public hearing. - Motion to adopt resolution. 5. Adjournment I EDA Agenda Item No. 3a MINUTES OF THE PROCEEDINGS OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA REGULAR SESSION JUNE 11, 2001 CITY HALL 1. CAIN: TO ORDER The Brooklyn Center Economic Development Authority (EDA) met in regular session and was called to order by President Myrna Kragness at 8:21 p.m. - 2. ROLL CALL President Myrna Kragness, Commissioners Ed Nelson, Bob Peppe, and Tim Ricker. Commissioner Kay Lasman was absent and excused. Also present: Executive Director Michael J. McCauley, Community Development Director Brad Hoffman, Director of Fiscal and Support Services Doug Sell, Planning and Zoning Specialist Ron Warren, Public Works Director Diane Spector, City • Attorney Charlie LeFevere, and Deputy City Clerk Maria Rosenbaum. 3. APPROVAL OF AGENDA AND CONSENT AGENDA A motion by Commissioner Peppe, seconded by Commissioner Nelson to approve the agenda and consent agenda. Motion passed unanimously. 3a. APPROVAL OF MINUTES A motion by Commissioner Peppe, seconded by Commissioner Nelson to approve the May 29,200 1, regular session. Motion passed unanimously. 4. COMMISSION CONSIDERATION ITEMS 4a. RESOLUTION APPROVING DEVELOPMENT AGREEMENT INCLUDING A BUSINESS SUBSIDY AGREEMENT BETWEEN THE BROOKLYN CENTER ECONOMIC DEVELOPMENT AUTHORITY AND RONSAM LLC FOR THE SALE OF THE EDA OWNED PROPERTY LOCATED AT THE NORTHEAST QUADRANT OF 69 AVENUE NORTH AND BROOKLYN BOULEVARD AND AUTHORIZING THE EDA EXECUTIVE DIRECTOR TO EXECUTE THE DEVELOPMENT AGREEMENT • 06/11/01 -1- DRAFT 1. CONTINUE PUBLIC HEARING REGARDING THE SALE OF LAND 1 0 AT THE NORTHEAST QUADRANT OF 69 AVENUE NORTH AND BROOKLYN BOULEVARD BY THE EDA IN AND FOR THE CITY OF BROOKLYN CENTER Executive Director Michael McCauley discussed that the EDA continued a public hearing at the May 29, 2001, meeting and that the public hearing this evening relates to the last City Council agenda item which was approved by the City Council to convey the land of Lots 8 and 9, Block 1, Lanes Brooklyn Center Addition. The EDA will in turn convey the land to RonSam LLC. Mr. McCauley discussed with the Commission the changes in the site plan since the developer submitted the original site plan. The developer has submitted finalized site plans along with the preliminary replatting which was approved by the City Council at its May 29, 2001, meeting. The terms and conditions are consistent with the original site plat that was submitted which would accumulate $5,000,000 in value upon completion and generate $238,000 in property taxes. President Kragness opened the pubic hearing for the sale of the land and the granting of a business subsidy for the 69' Avenue North and Brooklyn Boulevard development project. No one wished to address the Commission. A motion by Commissioner Peppe, seconded by Commissioner Nelson to close the Public Hearing. • Motion passed unanimously. 2. CONTINUE PUBLIC HEARING ON THE GRANTING OF A BUSINESS SUBSIDY FOR THE 69 AVENUE NORTH AND BROOKLYN BOULEVARD RETAIL DEVELOPMENT PROJECT A motion by Commissioner Peppe, seconded by Commissioner Ricker to re -open the Public Hearing. Motion passed unanimously. No one wished to address the Commission. A motion by Commissioner Nelson, seconded by Commissioner Peppe to close the Public Hearing. Motion passed unanimously. RESOLUTION NO. 2001-12 Commissioner Nelson introduced the following resolution and moved its adoption: 06/11/01 -2- DRAFT RESOLUTION APPROVING DEVELOPMENT AGREEMENT INCLUDING A BUSINESS i SUBSIDY AGREEMENT BETWEEN THE BROOKLYN CENTER ECONOMIC DEVELOPMENT AUTHORITY AND RONSAM LLC FOR THE SALE OF THE EDA OWNED PROPERTY LOCATED AT THE NORTHEAST QUADRANT OF 69 AVENUE NORTH AND BROOKLYN BOULEVARD AND AUTHORIZING THE EDA EXECUTIVE DIRECTOR TO EXECUTE THE DEVELOPMENT AGREEMENT The motion for the adoption of the foregoing resolution was duly seconded by Commissioner Peppe. Motion passed unanimously. 4b. PUBLIC HEARING REGARDING THE SALE OF LAND ALONG BROOKLYN BOULEVARD BY THE EDA IN AND FOR THE CITY OF BROOKLYN CENTER TO BRI -MAR COMPANY, INC. Mr. McCauley requested that this public hearing be opened, public input taken, and continued with respect to the land being sold to Bri-Mar Company, Inc. The EDA at its May 29, 2001, meeting approved a development agreement with Bri-Mar Company, Inc. that would facilitate the combination and sale of various properties owned by the parties to the development agreement and makes the properties redevelopable in the future. The sale of the land along Brooklyn Boulevard by the EDA in and for the City of Brooklyn Center to Bri -Mar Company, Inc. is required by the State Statute before the EDA can sell property. A motion by Commissioner Peppe, seconded by Commissioner Ricker to open the Public Hearing. Motion passed unanimously. No one wished to address the Commission. A motion by Commissioner Nelson, seconded by Commissioner Peppe to continue the Public Hearing to July 9, 2001. Motion passed unanimously. 5. ADJOURNMENT A motion by Commissioner Nelson, seconded by Commissioner Peppe to adjourn the meeting at 8:32 p.m. Motion passed unanimously. President • 06/11/01 -3- DRAFT EDA Agenda Item No. 4a MEMORANDUM TO: Michael J. McCauley, City Manager FROM: Tom Bublitz, Community Development Specialist 111tP DATE: July 3, 2001 SUBJECT: Public Hearing Regarding the Sale of Land Along Brooklyn Boulevard by the Economic Development Authority in and for the City of Brooklyn Center to Bri-Mar Company The EDA approved a Development Agreement with Bri-Mar Company Inc., Tri- Fortune Companies Inc. and Hennepin County at their May 29, 2001 meeting. A copy of EDA Resolution No. 2001 -11, Authorizing Execution of a Development Agreement is included with this memorandum. The purpose of the agreement is to facilitate the combination and sale of various properties owned by the parties to the Development Agreement and ultimately to make the properties redevelopable in the future. • All parties to the Development Agreement have signed the Agreement and the property acquisition and transfer can proceed. The subj ect property is shown on the attached plat map. The necessity for the EDA involvement in the Agreement is that Hennepin County does not have the same authority to acquire land as the EDA. The EDA's role in the process is to facilitate the property transfer in a "pass through" capacity and not to retain ownership of any land. A public hearing is required by State Statute before the EDA can sell property. The legal notice for the sale of the property is attached to this memorandum. A Resolution Authorizing the Sale of Land Along Brooklyn Boulevard by the Economic Development Authority in and for the City of Brooklyn Center to Bri-Mar Company Inc. Pursuant to a Development Agreement has been prepared for EDA consideration. • Commissioner Kay Tasman introduced the following resolution and moved its adoption: EDA RESOLUTION NO. 2001 -11 RESOLUTION AUTHORIZING EXECUTION OF A DEVELOPMENT AGREEMENT WHEREAS, the Economic Development Authority of Brooklyn Center, Minnesota (the "EDA'), a body corporate and politic organized and existing under the laws of the State of Minnesota, has the power to engage in development and redevelopment activities pursuant to Minnesota Statutes § § 469.090 to 469.018 and related statutes. WHEREAS, there has been duly adopted and is now in legal effect a Modified Redevelopment Plan for Housing Development and Redevelopment Project No. 1, which was initially adopted by the Brooklyn Center Housing and Redevelopment Authority and the Brooklyn Center City Council on July 22, 1985, which initial plan has been subsequently modified and amended by various resolutions. WHEREAS the EDA has negotiated a Development Agreement made as of May 1, 2001, by and between the EDA, Bri-Mar Company, Inc., a Minnesota corporation (the "Developer "), Tri- Fortune Properties, Inc., a Minnesota corporation ( "Tri- Fortune "), and County of Hennepin, a body politic and corporate organized and existing under the laws of the State of Minnesota (the "County "). WHEREAS, the County and the City of Brooklyn Center (the "City ") have previously agreed to bring about the complete reconstruction of County State Aid Highway 152 (also known as Brooklyn Boulevard) between 64 Avenue North and 71 Avenue North, also known as County Project No. 9322 (the `Boulevard Reconstruction Project "), for which the County has previously prepared plans and specifications and has acquired certain properties in connection with the Boulevard Reconstruction Project. WHEREAS, the Developer is the owner of a certain parcel of improved property used, in part, for a new car dealership located in the City, which parcel has frontage on Brooklyn Boulevard and lies adjacent to certain parcels of excess right -of -way acquired by the County in connection with the Boulevard Reconstruction Project (the "Dodge Dealership Property"). WHEREAS, the Dodge Dealership Property lies adjacent to two separate parcels of excess right -of -way owned by the County and a third parcel owned by a third party, which three parcels all have frontage on Brooklyn Boulevard (defined in the Development Agreement as the "Development Property "). WHEREAS, the parcel of real property owned by a third party is owned by Cook Properties-Bloomington/Brooklyn Center, LLC, a Minnesota limited liability company, which has used the property as an automotive repair facility; WHEREAS, in order for the Project contemplated by the Development Agreement to proceed, it will be necessary to combine the parcels of excess right -of -way with the property owned by Cook Properties-Bloomington/Brooklyn Center, LLC, and for the existing structure on the parcel to be demolished and for all existing improvements thereon to be RESOLUTION NO. 2001 -11 removed, raising concerns regarding whether various hazardous substances, pollutants, or contaminants may be present in either the soils or the existing structure. WHEREAS, Tri- Fortune is the owner of a certain parcel of improved property used, in part, for a new car dealership located in the City, which parcel has frontage on Brooklyn Boulevard, over which the County acquired certain easements and which property lies adjacent to property owned by the Developer. WHEREAS, the various properties referenced above, lie in an area marked by obsolescence, faulty arrangement or design, obsolete layout, and other deficiencies which negatively impact upon adjacent property values and prevent the full development and tax capacity of the immediate area. WHEREAS, as set forth in the Development Agreement, the area under consideration also requires changes in ingress and egress to Brooklyn Boulevard from the affected properties. WHEREAS, the Developer desires to construct improvements to its facilities by replacing certain existing structures and to improve and restore its facilities. WHEREAS, in the Development Agreement, the EDA will undertake to assist the Developer with the acquisition of certain property in order to construct the Project and the Developer is willing to sell a portion of the Dodge Dealership Property to Tri - Fortune in order to provide access by Tri- Fortune at the intersection of 68 Avenue North, which agreement will rationalize the boundary lines between the two development parcels. WHEREAS, the Developer and Tri- Fortune, as a part of the consideration for the EDA's participation in the Project, agree to replat their properties and agree to certain covenants and restrictions upon future subdividing of their properties, which restrictions will prevent the future subdividing of the parcels and provide for parcels of sufficient size and shape as to be readily redevelopable by private parties in the future, should such redevelopment become economically feasible. WHEREAS, the EDA staff has worked cooperatively with the Developer, Tri- Fortune, and the County to develop a Project which minimizes the use of taxpayer funds while maximizing the future potential tax capacity and development potential of the area. NOW, THEREFORE, the Economic Development Authority of in and for the City of Brooklyn Center, Minnesota in view of the foregoing determinations which are hereby adopted as findings of fact, hereby resolves as follows: 1. The Board of Commissioners hereby approves the Development Agreement in substantially the form submitted, and hereby authorizes and directs its officers to execute the Development Agreement on behalf of the Authority. 2. The Board of Commissioners hereby authorizes and directs its Executive Director to continue with and to carry out the tasks and responsibilities of the EDA as set forth in the Development Agreement. RESOLUTION NO. 2001 -11 3. Because of the undertakings and commitments of the EDA pursuant to the Development Agreement, the Board of Commissioners hereby determines that it has reason to believe that acquisition of portions of the Development Property may need to be acquired by the EDA pursuant to eminent domain proceedings. 4. Because of the rior use of some of the portions of the Development P P P Property for automotive repair and because of the need to demolish existing structures in order for redevelopment to proceed, the EDA hereby determines that pursuant to Minnesota Statutes § 117.041, it has good reason to believe that one or more hazardous substances, pollutants, and/or contaminants are present on the Development Property and the release of one or more hazardous substances, pollutants, and/or contaminants (as defined in Minnesota Statutes Chapter 115B) may have occurred on the Development Property, whereby the Board of Commissioners hereby determines that early entry onto the Development Property is rationally related to the health, safety, or welfare concerns of the EDA and the citizens of the City of Brooklyn Center, whereby the Board of Commissioners of the EDA hereby further determines that it is necessary, pursuant to the requirements of Minnesota Statutues § 117.041 to I enter upon the Development Property for purposes of investigation, monitoring, testing, surveying, boring, or other similar activities, as the EDA's staff determines are necessary and appropriate to identify the existence and extent of any release or threat of release of a hazardous substance, pollutant, or contaminant. 5. The Board of Commissioners hereby directs the EDA staff and its legal counsel, contractors, or agents, in conjunction with Hennepin County and the Developer, to promptly obtain the consent of the owners of the Development Property or to proceed to obtain a court order pursuant to Minnesota Statutes § 117.041 to allow for all necessary environmental testing and inspection on the Development Property. 6. The Board of Commissioners hereby further authorizes and directs it's Executive Director to publish notice for and schedule a Public Hearing on the sale of the Development Property to the Developer upon the terms and conditions as set forth in the Development Agreement, such Public Hearing to be held on Monday, June 25 2001. May 29, 2001 40' `MC.et� Date a President The motion for the adoption of the foregoing resolution was duly seconded by commissioner Ed Nelson and upon vote being taken thereon, the following voted in favor thereof: Myrna Kragness, Kay Tasman, Fd Nelson, Bob Peppe; and Tim Ricker; i and the following voted against the same: none; whereupon said resolution was declared duly passed and adopted. ' ' I 1 (16) (15) 4300 i i 42/2 iI 4208 ; 4204 ; 6sw. 1 1 4108 ' 4100 I 1 i I I 75 I 60 1 75 _ _ i 75 I 75 T5 1 30 30 1 136.6 ' 136.6 I 30 3p - ,_____ ____ _________ _J 1__J l_ — IM 69TH AVE N (FORMERLY HCSAH NO 130 PLAT `27) 353.72 i i AMD SURD ,a I D I PART Of LOT 3 - NO 25 \\ 6846 \ w \ w \\ \\ I 4215 a rn WEST 169,77 250 16 �Rd �a o (9) s\ �F 0 ,G 8 / 6800 d \ ( I I \\ y 461.8.`, 461.6E 6801 I \ \\ \\ 1 14 4. QODGI� �- 15'34'W ,VE N ce \ 307 I 32 \ `� b •F. 1 4301 307 I ..CRY o Broofdyn NOTICE OF'PUBLIC BEARING''+ REGARDING THE SALE OF LAND ALONG - BROOBLYN BOULEVARD BY, THE ECONOMIC DEVELOPMENT AUTHORMIN AND FOR THE - '•~ �Noti�ceisherebygivent 'hattheEconomicDevelopmentAu thorny in and for the City of Brooklyn:0mter will hold a nk- ,*9L;opapers tatter h Brooks s th e - Brookl y n FC "`1iajTla�ted et 63 1; Si1in$ e :Parkway B k AFFIDAVIT OF PUBLICATION _�� and :40,029;,subdidiaioa 2; salB, �; teems a�ia'conditaona of �he' p t1?e,�aOne�ty STATE OF MINNESOTA) PSI W ss. sr risk 's -0 :' 4 ' ,RCF.It:.:r";:':°�r'z��z._ COUNTY OF HENNEPIN) rTliitpart Tradc?yiiiBl`?o W ot'i>inedrawn `;aiallel with and ,feet cmeaalirea st iightanglea) Frank Chilinski, being duly swom on an oath states or affirms, that he is the publisher of the N - mac, g Y P R6 &Wred. LandSarYeyN63 951 :Fites. Re�istiaret'Ti- Sun -Post =T_fl04: Co�r newspaper known as or the presidents designated agent, +r and has full knowledge of the facts stated below. :yBIHEEI.PAItCEL e > . TractB, snd' .. w„ zµs. ?' (A) The newspaper has complied with all of the requirements constituting qualification as a . 'A4thatpiatofTractClyingSou. x ` tper_"withanddietant > �) qualified newspaper, as provided by Minn. Stat. §331A.02 §331A.07 and other applicable tWestelyoft>aatery 0f,, A T laws, as amended. / y l pl'R \�1lYLL�LL • C0� ofHenne �;�._ ...��,. B e p rinted t that attached uc notice at is a was p ublished in the new once each week, �';ReseramgtoBalpha�urdum um,lnswde ( ) Th P P P PaP °and Joba Thomas Pardum and rauum; 5is wife onOfabove ' an easement for dtivewaq , . Pu �� - , ports Of for one successive weeks; it was first published on Wednesday, the 20 day of ' °,Traof_C; add Survey .'as � i rr soo ss, _ FSlee'of,Regiatra};of,:� �.t��,�rn,�: June , 2001, and was thereafter rinted and published on eve Wednesday to and P P every Y 44, including Wednesday, the day of 2001; and printed below is a copy of TractA; N0;458s€ s,_.. the lower case alphabet from A to Z, both inclusive, which is hereby acknowledged as being eID. si19 -21.21 bze and kind of type used in the composition and publication of the notice: Ther pe sale oir ' sstoBs --" Company. Inc for development of the pursuant to a Devel- r op nent Agreement between omic Development abodefghUklmnopgrswvwxyz ' Authority and Bri Mar Company In�Tri= Fortune Prop_ ernes Inc ana Eiennepin �,,,...� •� .. _ ' " "a the time . ' desiring�6lefihsptieaz' ta +a. " 8nd refer6aced aIMV& " Pugiisher Subscribed and swo or affirmed before me on thi day of 001. • Not u Ic ° .t MERIDEL M. HEDBLOM -4 ' � - NOTARY PUBLIGMINNESOTA MY COMMISSION EXPIRES 1.312005 RATE INFORMATION (1) Lowest classified rate paid by commercial users $ 2.85 oer line, for comparable space (2) Maximum rate allowed by law $ 6.20 oer line (3) Rate actually charged $ 1.40 oer line Commissioner introduced the following resolution and i moved its adoption: EDA RESOLUTION NO. RESOLUTION AUTHORIZING THE SALE OF LAND ALONG BROOKLYN BOULEVARD BY THE ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF BROOKLYN CENTER TO BRI -MAR COMPANY INC. PURSUANT TO A DEVELOPMENT AGREEMENT WHEREAS, the Economic Development Authority in and for the City of Brooklyn Center (EDA) approved Resolution No. 2001 -11 Resolution Authorizing Execution of a Development Agreement, at the May 29, 2001 meeting; and WHEREAS, Resolution No. 2001 -11 provided for a public hearing on the sale of the Development Property contemplated in the Development Agreement and legally described by the following: TOTAL PARCEL That part of Tract C lying Northwesterly of a line drawn parallel with and distant 15 feet (measured at right angles) Northwesterly of the Southeasterly line of said Tract C, Registered Land Survey No. 595, Files of Registrar of Titles, County of Hennepin. • PID #34- 119 -21 -21 -0028 BIG WHEEL PARCEL That part of Tract C lying Northwesterly of aline drawn parallel with and distant 15 feet (measured at right angles) Northwesterly of the Southeasterly line of said Tract C, Registered Land Survey No. 595, Files of Registrar of Titles, County of Hennepin. Reserving to Ralph S. Purdum and Mabel Purdum, his wife and John Thomas Purdum and Margery Purdum, his wife and easement for driveway purposes over a portion of above Tract C, said Survey as shown in deed Doc. No. 600185, Files of Registrar of Titles. PID #34- 119 -21 -21 -0027 CAR -X PARCEL Tract A, Registered Land Survey No. 1456. PID #34- 119 -21 -21 -0031 WHEREAS, the EDA opened the public hearing on the sale of land pursuant to the Development Agreement on June 11, 2001 and continued the public hearing to July 9, 2001; • and RESOLUTION NO. i WHEREAS, the EDA continued and concluded the ublic hearing at their Jul 9, p g Y 2001 meeting. NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority in and for the City of Brooklyn Center, Minnesota that it authorizes the sale of the Development Property to the Developer pursuant to the terms and conditions as set forth in the Development Agreement approved by the EDA at their May 29, 2001 meeting. BE IT FURTHER RESOLVED the EDA Executive Director is hereby authorized to undertake the necessary steps to facilitate the sale of the property pursuant to the terms of the Development Agreement. Date President The motion for the adoption of the foregoing resolution was duly seconded by commissioner and upon vote being taken thereon, the following voted in favor thereof: i and the following voted against the same: whereupon said resolution was declared duly passed and adopted. i