HomeMy WebLinkAbout2016-02-17 HRA Work SessionAgenda
Housing and Redevelopment Authority Work Session Meeting
City of Edina, Minnesota
Edina City Hall Community Room
Revised Agenda February 17, 2016
Wednesday, February 17, 2016
5:30 PM
I.Call to Order
II.Roll Call
III.Investment Plan for Incremental Taxes
IV.Adjournment
The Edina Housing and Redevelopment Authority wants all participants to be
comfortable being part of the public process. If you need assistance in the way of
hearing ampli$cation, an interpreter, large-print documents or something else,
please call 952-927-8861 72 hours in advance of the meeting.
Date: February 17, 2016 Agenda Item #: III.
To:Chair & Commissioners of the Edina HRA Item Type:
Report / Recommendation
From:Bill Neuendorf, Economic Development Manager
Item Activity:
Subject:Investment Plan for Incremental Taxes Discussion
Edina Housing and Redevelopment
Authority
Established 1974
CITY OF EDINA
HOUSING & REDEVELOPMENT AUTHORITY
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
ACTION REQUESTED:
No action requested; for discussion purposes only.
INTRODUCTION:
Each year, the Housing and Redevelopment Authority has reviewed and updated an investment plan for the
incremental taxes collected in the Centennial Lakes TIF District.
This year, staff also suggests that an investment plan be created for remaining monies in other TIF districts that
have previously been decertified.
ATTACHMENTS:
Description
Staff Report
Cent Lakes Inv Plan DRAFT
Southdale 2 Inv Plan DRAFT
WVV 70-Cahill Inv Plan DRAFT
Grandview 1 Inv Plan DRAFT
February 17, 2016
Board Members of the Edina Housing and Redevelopment Authority
Bill Neuendorf, Economic Development Manager
Investment Plan for Incremental Taxes
Information / Background:
There are currently two active Tax Increment Financing TIF Districts in Edina – Pentagon Park and
Southdale 2. There are three expired TIF Districts that retain a cash balance – Centennial Lakes,
Grandview 1, and Wooddale/Valleyview/70th/Cahill. These monies can be invested to achieve the
redevelopment goals of the Districts in accordance with Minnesota TIF Statutes. If they are not re-
invested in the Districts in the next few years, they should be returned to Hennepin County.
Proposed investment plans for each of these TIF funds are attached for discussion purposes. Staff is
seeking input on how to finalize these investment plans so that the City Funds from decertified TIF
Districts can be closed out. Possible discussion points follow.
1) Centennial Lakes Fund
a. While a healthy balance remains, the demands of public improvements in the area
exceeds the monies available.
b. Direction is needed to prioritize the use of the available monies. A five-year
investment plan is suggested.
c. Items 27 & 28 – land acquisition may no longer be needed.
d. Item 30 – public improvements at Wooddale & Valleyview may be needed to allow
private investment to go forward
e. Item 31 – what is the priority of Gateway signs in the Southdale area?
f. Items 33 and 36 – additional monies may be needed to make significant
improvements at the France Ave/Highway 62 intersection
g. Items 34 and 35 – monies are needed to design and build improvements at the 66th
and York intersection
HOUSING AND
REDEVELOPMENT AUTHORITY
Established 1974
HRA STAFF REPORT Page 2
h. Item 36 – improvements are needed to improve turn lanes on W. 69th Street.
i. Item 37 – what is the priority of extending the Promenade from Galleria to Highway
62?
j. Items 38 and 39 – what is the priority of reconstructing the MnDOT pedestrian bridge
to Rosland Park?
k. Item 40 – the City previously committed to making public improvements to 50th &
France. What is the priority of these improvements?
l. Items 44 and 45 – What is the priority of adding more public parking at 50th &
France?
2) Grandview 1 Fund
a. The remaining monies have been committed to the ongoing redevelopment and
transportation studies.
b. Funds for a potential study of the Grandview Green over Highway 100 are proposed
to come from this fund.
3) Pentagon Park Fund
a. Incremental taxes will begin to be collected in 2018
b. Investment plan will be prepared as the first phase of redevelopment begins
4) Southdale 2 Fund
a. This district has begun to collect significant monies based on completion of private
investments at Southdale Center and One Southdale Place.
b. This is a short-term District, expiring in 2021.
c. The special legislation that was previously secured needs to be re-affirmed by the
State Legislature in order to invest these monies in new affordable housing projects.
d. Legislative action should be considered to extend the time period to invest these
funds.
e. Direction is needed regarding how to best put these monies to use to achieve
community goals regarding affordable housing.
5) Wooddale/Valleyview & 70th/Cahill Fund
a. This fund has not seen significant activity in several years.
b. No additional funds can be used for planning or administrative expenses.
HRA STAFF REPORT Page 3
c. The applicable TIF Statutes limit the type of projects that can be funded with these
monies; for example; properties with significant restaurant tenants may not be
improved.
d. Direction is sought regarding public or private projects to fund in the
Wooddale/Valleyview and/or 70th and Cahill Districts.
e. If projects cannot be identified in the next two years, staff suggests that these monies
be returned to Hennepin County for redistribution to the taxing agencies.
# # #
Printed 2/10/2016 D R A F T Cent Lakes TIF Page 1
$11,495,641
$11,584,070 CAFR, pg 100
STATUS YEAR APPROX.
COST
FUND
BALANCE
1 loan repayment Completed 2015 $400,000 $11,984,070
2 Redevelopment Agreement, Jan 2015 (final payment)Completed 2015 -$670,913 $11,313,157 actual Feb 2015
3 France Ave (CIP 13-003)- construction; phase 1 Completed 2014 -$2,140,000 $9,173,157 contract
4 France Ave - partial reimbursement for R-O-W construction by
Byerlys Completed 2014 -$593,043 $8,580,114 contract
5 France Ave - final reimbursement for R-O-W construction by
Byerlys Committed 2014 -$40,000 $8,540,114 estimate Dec 2014
6 France Ave - construction docs, WSB Completed 2014 -$265,000 $8,275,114 contract
7 France Ave - landscaping maintenance contract, WSB Committed 2014 -$68,000 $8,207,114 contract
8 France Ave - construction site engineering, WSB Completed 2014 -$285,000 $7,922,114 contract
9 France Ave - on site testing, Braun Completed 2014 -$35,000 $7,887,114 estimate
10 France Ave - signal cabinets Completed 2014 -$66,000 $7,821,114 contract
11 France Ave - (CIP-13-003) construction; phase 2 landscape Completed 2014 -$579,979 $7,241,135 NTE estimate
12 France Ave - (CIP-13-003) construction; phase 3 lighting Completed 2014 -$320,021 $6,921,114 NTE estimate
13 France Ave, lighting change order Completed 2015 -$58,625 $6,862,489 contract 2-17-15
14 CIP 15-172 (formerly #11-002) Promenade, Phase 4 -
construction Completed 2015 -$519,513 $6,342,976 contract 2-17-15
CIP 15-172 Promenade Phase 4, additional construction costs Completed 2015 -$200,000 $6,142,976 ESTIMATE
15 Hazelton Rd - construction administration, WSB Completed 2014 -$138,000 $6,004,976 contract
16 Hazelton Rd - on site testing, Braun Completed 2014 -$15,000 $5,989,976 contract
17 Hazelton Rd / BA417- construction Completed 2014 -$725,000 $5,264,976 contract
18 Hazelton Rd - land acquisition Committed 2014 -$142,000 $5,122,976 contract
19 Hazelton Rd - landscaping design & maintenance, WSB Completed 2014 -$32,000 $5,090,976 contract
20 Hazelton Rd - landscaping Committed 2014 -$70,000 $5,020,976 estimate
Investment Plan for Centennial Lakes TIF Funds (2015-2023)
DESCRIPTION
Year-end balance December 31, 2014 =
Greater
Southdale
Centennial
Lakes
Printed 2/10/2016 D R A F T Cent Lakes TIF Page 2
$11,495,641
$11,584,070 CAFR, pg 100
STATUS YEAR APPROX.
COST
FUND
BALANCE
Investment Plan for Centennial Lakes TIF Funds (2015-2023)
DESCRIPTION
Year-end balance December 31, 2014 =
21 Wooddale
Valleyview Small Area Plan; by Peter Musty Inc. (shared with WVV)Completed 2015 -$22,000 $4,998,976 contract
22 capital improvements - wayfinding, lighting, streetscape Completed 2014 -$1,400,000 $3,598,976 estimate
23 $0 $3,598,976
24 General administration costs 2015 Completed 2015 -$10,000 $3,588,976 estimate
25 Staff costs Committed 2015 -$125,000 $3,463,976 estimate
26 Incremental Taxes collected Q1 2015 Completed 2015 $3,463,976 estimate
27 CIP 15-221, possible Land Acquisition (estimate)Anticipated 2015 -$2,000,000 $1,463,976 placeholder
28 CIP 15-221, possible Land Acquisition (estimate)Anticipated 2016 -$1,000,000 $463,976 placeholder
29 CIP 15-004 Small Area Plan Anticipated 2016 -$50,000 $413,976 estimate
30 Wooddale Valleyview Village public improvements Anticipated 2016 -$100,000 $313,976 estimate
31 CIP 15-189 - Gateway signage at entry points (greater
Southdale)Anticipated 2015 -$250,000 $63,976 estimate
32 CIP 15-167 (formerly CIP #HRA-13-001) - Greater Southdale
Traffic Model In Progress 2015 -$125,000 -$61,024 estimate
33 CIP #15-218 (formerly HRA-11-003 - France Ave. at Hwy. 62
intersection improvements; design Anticipated 2016 -$100,000 -$161,024 estimate
34 66th & York intersection study (SE corner)Anticipated 2016 -$10,000 -$171,024 estimate
35 66th & York intersection study (NW corner)Anticipated 2016 -$10,000 -$181,024 estimate
69th Street - left turn lane to AMC/Southdale Anticipated 2017-18 -$200,000 -$381,024 estimate
36 CIP #15-218 (formerly HRA-11-003) - France Ave. at Hwy. 62
intersection improvements; construction Anticipated 2017 -$500,000 -$881,024 estimate
37 CIP 15-225 Promenade, Phase 5 construction Anticipated 2019 -$1,500,000 -$2,381,024 placeholder
38 Pedestrian Bridge over TH 62 - concept design Anticipated 2016 -$25,000 -$2,406,024 placeholder
39 HOLD (former CIP #HRA-13-002) - Pedestrian Bridge over TH62 TBD $0 -$2,406,024 on hold $3 M
estimate
Grandview
Adminis-
trative
Greater
Southdale
50th &
France
70th & Cahill
Printed 2/10/2016 D R A F T Cent Lakes TIF Page 3
$11,495,641
$11,584,070 CAFR, pg 100
STATUS YEAR APPROX.
COST
FUND
BALANCE
Investment Plan for Centennial Lakes TIF Funds (2015-2023)
DESCRIPTION
Year-end balance December 31, 2014 =
40 capital improvement to public areas - TBD TBD 2016-17 -$600,000 -$3,006,024
41 capital improvement - elev / stair tower restoration - const Committed -$200,000 -$3,206,024 estimate
42 demo and site prep - Hooten Cleaner Anticipated 2016 -$300,000 -$3,506,024 estimate Sept '15
43 CIP 15-223, planning for 49-1/2 Street Anticipated 2016 -$50,000 -$3,556,024 estimate
44 CIP 15-224 North Parking Ramp expansion, planning Anticipated 2016 -$200,000 -$3,756,024 estimate
45 CIP 15-224 North Parking Ramp expansion, construction Anticipated 2017 -$2,000,000 -$5,756,024 placeholder
46 General administration costs ($10k annually)Anticipated 2016-19 -$40,000 -$5,796,024 estimate
47 Staff costs Anticipated 2016 -$125,000 -$5,921,024
48 Staff costs (65k annually)Anticipated 2017-2019 -$195,000 -$6,116,024 estimate
49 Repayment of Southdale Center TIF loan (2015-2023)Anticipated 2015-23 $4,350,000 -$1,766,024 contract
NOTE: These are approximate costs only. The figures are unaudited and require confirmation before final decision making.
50th &
France
Admini-
strative
Printed 2/10/2016 D R A F T Southdale 2 TIF Page 1
Investment Plan for Southdale 2 TIF Funds (2015-2021)
Balance as of December 31, 2014 = -$4,368,912
DESCRIPTION STATUS YEAR
APPROX
REVENUE
(COST)
FUND
BALANCE NOTES
1 Revenue Incremental Taxes Collected In Process 2015 $1,600,000 -$2,768,912 estimate based on 2014
2 Revenue Income Earned In Process 2015 $1,000 -$2,767,912 estimate based on 2014
3 Revenue Incremental Taxes Collected Anticipated 2016 $2,500,000 -$267,912 estimate based on 2014
4 Revenue Incremental Taxes Collected Anticipated 2017 $2,500,000 $2,232,088
5 Revenue Incremental Taxes Collected Anticipated 2018 $2,500,000 $4,732,088
6 Revenue Incremental Taxes Collected Anticipated 2019 $2,500,000 $7,232,088
7 Revenue Incremental Taxes Collected Anticipated 2020 $2,500,000 $9,732,088
8 Revenue Incremental Taxes Collected Anticipated 2021 $2,500,000 $12,232,088
9 Revenue Income Earned Anticipated 2016 $1,000 $12,233,088
10 Revenue Income Earned Anticipated 2017 $1,000 $12,234,088
11 Revenue Income Earned Anticipated 2018 $1,000 $12,235,088
12 Revenue Income Earned Anticipated 2019 $1,000 $12,236,088
13 Revenue Income Earned Anticipated 2020 $1,000 $12,237,088
14 Revenue Income Earned Anticipated 2021 $1,000 $12,238,088
15 $12,238,088
16 Administrative Personnel Costs Complete 2015 -$10,000 $12,228,088 20% of $125k
17 Administrative Personnel Costs Anticipated 2016 -$10,000 $12,218,088
18 Administrative Personnel Costs Anticipated 2017 -$10,000 $12,208,088
19 Administrative Personnel Costs Anticipated 2018 -$10,000 $12,198,088
20 Administrative Personnel Costs Anticipated 2019 -$10,000 $12,188,088
21 Administrative Personnel Costs Anticipated 2020 -$10,000 $12,178,088
22 Administrative Personnel Costs Anticipated 2021 -$10,000 $12,168,088
23 Administrative TIF oversight Complete 2015 -$1,000 $12,167,088 Ehlers
24 Administrative TIF oversight Anticipated 2016 -$1,000 $12,166,088
25 Administrative TIF oversight Anticipated 2017 -$3,000 $12,163,088
26 Administrative TIF oversight Anticipated 2018 -$1,000 $12,162,088
27 Administrative TIF oversight Anticipated 2019 -$1,000 $12,161,088
Printed 2/10/2016 D R A F T Southdale 2 TIF Page 2
DESCRIPTION STATUS YEAR
APPROX
REVENUE
(COST)
FUND
BALANCE NOTES
28 Administrative TIF oversight Anticipated 2020 -$1,000 $12,160,088
29 Administrative TIF oversight Anticipated 2021 -$1,000 $12,159,088
30 Administrative misc administration costs $0 $12,159,088
31 $12,159,088
32 Debt Interest Payment Complete 2015 $12,159,088
33 Debt Principal Payment Complete 2015 -$400,000 $11,759,088
34 Debt Interest Payment Anticipated 2016 $11,759,088
35 Debt Principal Payment Anticipated 2016 $11,759,088
36 Debt Interest Payment Anticipated 2017 $11,759,088
37 Debt Principal Payment Anticipated 2017 $11,759,088
38 Debt Interest Payment Anticipated 2018 $11,759,088
39 Debt Principal Payment Anticipated 2018 -$4,350,000 $7,409,088
40 Debt Interest Payment Anticipated 2019 $7,409,088
41 Debt Principal Payment Anticipated 2019 $7,409,088
42 Debt Interest Payment Anticipated 2020 $7,409,088
43 Debt Principal Payment Anticipated 2020 $7,409,088
44 Debt Interest Payment Anticipated 2021 $7,409,088
45 Debt Principal Payment Anticipated 2021 $7,409,088
46 $7,409,088
47 Aff Housing grant to 66 West Pledged 2016 -$550,000 $6,859,088 estimate
48 Aff Housing grant to Proj #2 TBD Potential 2016 -$2,000,000 $4,859,088 placeholder
49 Aff Housing grant to Proj #3 TBD Potential 2017 -$3,000,000 $1,859,088 placeholder
50 Aff Housing grant to Proj #4 TBD Potential 2017 -$1,850,000 $9,088 placeholder
Printed 2/10/2016 44-70-WVV Page 1
Investment Plan for Pooled TIF Funds (70th & Cahill, Wooddale-Valleyview, 44th & France)
(2015-2021)
Balance as of December 31, 2014 = $364,149
DESCRIPTION STATUS YEAR APPROX
COST
FUND
BALANCE NOTES
1 Administrative Personnel Costs complete 2015 $0 $364,149 near admin cap
2 Administrative Personnel Costs pending 2016 $0 $364,149 near admin cap
3 Administrative Personnel Costs anticipated 2017 $0 $364,149 near admin cap
4 Administrative Personnel Costs anticipated 2018 $0 $364,149 near admin cap
5 Administrative TIF oversight complete 2015 -$1,000 $363,149 Ehlers
6 Administrative TIF oversight pending 2016 -$1,000 $362,149 Ehlers
7 Administrative TIF oversight anticipated 2017 -$1,000 $361,149 Ehlers
8 Administrative TIF oversight anticipated 2018 -$1,000 $360,149 Ehlers
9 Administrative misc administration costs anticipated 2016 $0 $360,149 near admin cap
10 Studies WVV small area plan complete 2015 -$14,000 $346,149 last admin cost
11 Studies 70th & Cahill small area plan anticipated 2017 $0 $346,149 no further admin allowed
12 $346,149
13 Projects TO BE DETERMINED anticipated 2016-18
$346,149 Estimated Balance
Printed 2/10/2016 D R A F T Grandview 1 Page 1
Investment Plan for Grandview 1 TIF Funds (2015-2021)
Balance as of December 31, 2014 = $401,143
DESCRIPTION STATUS YEAR APPROX
COST
FUND
BALANCE NOTES
1 Administrative Personnel Costs complete 2015 -$15,000 $386,143 staff, estimate
2 Administrative Personnel Costs anticipated 2016 -$10,000 $376,143 staff
3 Administrative Personnel Costs anticipated 2017 -$10,000 $366,143 staff
4 Administrative TIF oversight complete 2015 -$1,000 $365,143 Ehlers, estimate
5 Administrative TIF oversight anticipated 2016 -$1,000 $364,143 Ehlers
6 Administrative TIF oversight anticipated 2017 -$1,000 $363,143 Ehlers
7 Administrative misc administration costs pending 2016-17 -$1,000 $362,143 conf, materials
8 Studies/Admin Redevelopment planning - PW site complete 2015 -$56,187 $305,956 Frauenshuh
9 Studies/Admin Redevelopment planning - PW site complete 2015 -$15,000 $290,956 ESG Architects
10 Studies/Admin Redevelopment planning - PW site complete 2015 -$10,000 $280,956
Misc. consultants: Broz, Ehlers,
Dorsey, LHB, estimate
11 $280,956
12 Studies/Admin District-wide transportation study in progress 2016 -$185,000 $95,956 LHB, NN, Alta
13 Studies/Admin
Highway 100/Grandview Lid concept
study pending 2016-17 -$50,000 $45,956 tbd
14 Studies/Admin TIF building survey complete 2015-16 -$10,000 $35,956 LHB, estimate
15 Studies/Admin TIF plan in progress 2015-16 -$30,000 $5,956 Ehlers, Dorsey, estimate
$5,956 Estimated Balance